ATT 2 - ACFR and Independent Auditor's Report FY 2025 — Mountain View City Council, December 16, 2025 (part 1 of 2)

ANNUAL COMPREHENSIVE

FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED JUNE 30, 2025
The Mountain View of Tomorrow
Mountain View, CA
Attachment 2

City of
Mountain View
Mountain View, California

Annual Comprehensive Financial Report

For the Fiscal Year Ended June 30, 2025

Prepared by:

Finance and Administrati ve Services Department

City of Mountain View
Annual Comprehensive Financial Report
Table of Contents
Exh
ibit

INTRODUCTORY SECTION
Let
ter of Transmittal ...................................................................................................................................................................... 1 City Officials .................................................................................................................................................................................. 2 City Government Organization....................................................................................................................................................... 3 GFOA Certificate of Achievement for Excellence in Financial Reporting ....................................................................................... 4 Page
FI

NANCIAL SECTION
Ind
ependent Auditor’s Report ....................................................................................................................................................... 1 Management’s Discussion and Analysis (Required Supplementary Information) (Unaudited) ..................................................... 5 Basic Financial Statements:

Government‐wide Financial Statements:

Statement of Net Position ..................................................................................................................................................... 29 Statement of Activities .......................................................................................................................................................... 30 Fund Financial Statements: Governmental Funds:

Balance Sheet ........................................................................................................................................................................ 34 Reconciliation of the Balance Sheet of Governmental Funds to the Government‐ wide Statement of Net Position – Governmental Activities .............................................................................................. 37 Statement of Revenues, Expenditures, and Changes in Fund Balances ............................................................................... 38 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Government‐wide Statement of Activities ‐ Governmental Activities ......................................................... 41 Statements of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual:

General Fund ..................................................................................................................................................................... 42 Shoreline Regional Park Community Fund ........................................................................................................................ 43 Housing Fund ..................................................................................................................................................................... 44 Proprietary Funds:

Statement of Net Position ................................................................................................................................................. 45 Statement of Revenues, Expenses, and Changes in Net Position ..................................................................................... 46 Statement of Cash Flows ................................................................................................................................................... 47 Custodial Funds:

Statement of Fiduciary Net Position .................................................................................................................................. 48 Statement of Changes in Fiduciary Net Position ............................................................................................................... 49 Notes to Basic Financial Statements ......................................................................................................................................... 53 i
City of Mountain View
Annual Comprehensive Financial Report
Table of Contents
Pa
ge
FINANCIAL SECTION, Continued
R
equired Supplemental Information:

Schedule of Changes in Net Pension Liability and
Related Ratios – Miscellaneous Plan ...................................................................................................................................... 110 Schedule of Changes in Net Pension Liability and Related Ratios – Safety Plan .................................................................... 112 Schedule of Employer Pension Contributions – Miscellaneous and Safety Plans .................................................................. 114 Schedule of Changes in Net OPEB Liability and Related Ratios .............................................................................................. 116 Schedule of Employer OPEB Contributions ............................................................................................................................ 118 Other Supplementary Information:

Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual – Park Land Dedication Capital Projects Fund ...................................................................................... 123 Nonmajor Governmental Funds:

Combining Balance Sheet ................................................................................................................................................... 128 Combining Statement of Revenues, Expenditures, and
Changes in Fund Balances ............................................................................................................................................... 132 Schedules of Revenues, Expenditures and Changes in Fund Balances ‐ Budget and Actual:

Gas Tax ............................................................................................................................................................................ 136 Other Streets and Transportation .................................................................................................................................. 137 Construction & Conveyance Tax ..................................................................................................................................... 138 Other Developer Fees ...................................................................................................................................................... 139 CSFRA / Rental Housing Committee ............................................................................................................................... 140 Mobile Home Rent Stabilization Ordinance (MHRSO) .................................................................................................... 141 Housing Successor .......................................................................................................................................................... 142 Shoreline Golf Links ........................................................................................................................................................ 143 Downtown Benefit Assessment District ......................................................................................................................... 144 General Special Purpose .................................................................................................................................................. 145 Police Asset Forfeitures .................................................................................................................................................. 146 Grants ............................................................................................................................................................................. 147 Cable Television ............................................................................................................................................................... 148 Deferred Assessments ..................................................................................................................................................... 149 Storm Drain Construction ................................................................................................................................................ 150 Internal Service Funds:

Combining Statement of Net Position ................................................................................................................................ 152 Combining Statement of Revenues, Expenses, and Changes in Net Position ..................................................................... 154 Combining Statement of Cash Flows .................................................................................................................................. 156 Custodial Funds:

Combining Statement of Fiduciary Net Position ................................................................................................................. 160 Combining Statement of Changes in Fiduciary Net Position............................................................................................... 161 ii
City of Mountain View
Annual Comprehensive Financial Report
Table of Contents
Pa
ge
ST

ATISTICAL SECTION
F
inancial Trends:

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.............................................................................................. 172 Changes in Fund Balances of Governmental Funds – Last Ten Fiscal Years ........................................................................... 174 Revenue Capacity:

Assessed Value of Taxable Property – Last Ten Fiscal Years .................................................................................................. 176 Direct and Overlapping Property Tax Rates – Last Ten Fiscal Years ....................................................................................... 178 Principal Property Tax Payers – Current Year and Nine Years Ago ......................................................................................... 179 Property Tax Levies and Collections – Last Ten Fiscal Years ................................................................................................... 180 Debt Capacity:

Ratio of Outstanding Debt by Type – Last Ten Fiscal Years .................................................................................................... 182 Ratio of General Bonded Debt Outstanding – Last Ten Fiscal Years ...................................................................................... 184 Direct and Overlapping Governmental Activities Debt ......................................................................................................... 185 Legal Debt Margin Information – Last Ten Fiscal Years .......................................................................................................... 186 Debt Pledged–Revenue Coverage – Last Ten Fiscal Years ...................................................................................................... 188 Demographic and Economic Information:

Demographic Statistics – Last Ten Fiscal Years ....................................................................................................................... 192 Principal Employers – Current Year and Nine Years Ago ........................................................................................................ 193 Operating Information:

Full‐Time Equivalent City Government Employees by
Function – Last Ten Fiscal Years .......................................................................................................................................... 194 Operating Indicators by Function/Program – Last Ten Fiscal Years ....................................................................................... 196 Capital Asset Statistics by Function/Program – Last Ten Fiscal Years .................................................................................... 198

COMPONENT UNIT FINANCIAL STATEMENTS SECTION
Mountain View Shoreline Regional Park Community ............................................................................................................. 201 iii
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OFFICE OF THE CITY MANAGER
500 Castro Street, P.O. Box 7540
Mountain View, CA 94039-7540
650-903-6301 | MountainView.gov
December 9, 2025
Honorable Mayor, City Council, and Members of the Mountain View Community:

I submit for your information and consideration the Annual Comprehensive Financial Report (ACFR) of the City of Mountain View (City) for the fiscal year ended June 30, 2025.

FACTORS AFFECTING FINANCIAL CONDITION
The local economy is beginning to show signs of slowing. While the City’s major revenues have generally remained stable and, in some cases, benefited from inflationary trends and higher interest rates, these factors are not expected to continue at the same pace. As a result, future growth in the City’s major revenue sources is anticipated to be modest, with some areas experiencing minimal increases or potential softening in the near future. Thanks to the leadership of the City Council and through the support and hard work of the Executive Leadership team and our outstanding City employees, we have provided an exceptional level of service to our community while maintaining fiscal stability during the fiscal year.

While revenues have been strong in recent years, expenditures are expected to increase at a faster pace than revenue growth, creating a more challenging long-term fiscal outlook. As a result, we remain cautiously optimistic about the future fiscal health of the City. However, continued uncertainty related to inflationary pressures, elevated interest rates, shifting national economic policies, and global geopolitical conflicts further clouds the economic picture. Collectively, these factors contribute to the likelihood of slower, more moderate growth in the years ahead.

The current General Operating Fund Forecast indicates that the City has sufficient financial resources to maintain the Mountain View of today. However, building the Mountain View of tomorrow will require continued efforts to enhance and diversify the City’s revenue streams, ensuring long-term fiscal stability and accomplishing the bold initiatives the City is advancing.

During the fiscal year, on November 5, 2024, Mountain View residents overwhelmingly supported the vision for the Mountain View of tomorrow and passed a proposed ballot measure, Measure G, by over 72%. Measure G creates an additional tier to the existing property transfer tax for transactions over $6.0 million, providing a new revenue source to help the City invest in key community priorities.

Per City Council direction, this additional source of revenue will be dedicated to the following funding priorities for the next 10 years:
• 35.0% to 40.0% for Public Safety Facilities;
• 30.0% to 35.0% for Parks, Open Space, and Biodiversity; Exhibit 1
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Honorable Mayor, City Council, and
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December 9, 2025

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• 20.0% to 25.0% for Affordable Housing; and
• 5.0% to 15.0% for other general governmental services, including road maintenance, active transportation, small business support, and homeless support services, among others.

FINANCIAL INFORMATION
It is my pleasure to present the City’s Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2025. The ACFR has been prepared in accordance with the principles and standards for financial reporting established by the Governmental Accounting Standards Board (GASB) and in compliance with City Charter, Section 1106.

Although the audit is conducted by an independent certified public accounting firm, City management assumes full responsibility for the accuracy of the data, as well as the completeness and fairness of the presentation, including all disclosures. We believe the data, as presented, is accurate in all material respects, that its presentation fairly shows the financial position and the results of the City’s operations as measured by the financial activity of the City’s various funds, and, in conjunction with the included notes, will provide the reader with an understanding of the City’s financial activities and status.

To provide a basis for making these representations, City management has established a comprehensive internal control framework that is designed to protect the government’s assets from loss, theft, or misuse and to compile sufficiently reliable information for the preparation of the City’s financial statements in accordance with accounting principles generally accepted in the United States of America (GAAP). Because the cost of internal controls should not outweigh its benefits, the City’s comprehensive framework of internal controls has been designed to provide reasonable, rather than absolute, assurance that the financial statements will be free from material misstatement.

The City’s books, financial records, and financial statements have been audited by Badawi & Associates, a firm of independent licensed certified public accountants, selected by and reporting to the City Council. The objective of the independent audit is to provide reasonable assurance that the financial statements of the City and related entities are free of material misstatement. The independent auditor concluded, based upon their audit, that there was a reasonable basis for rendering an unmodified “clean” opinion on the City’s basic financial statements as of, and for, the fiscal year ended June 30, 2025, and they are fairly presented in conformity with GAAP. The independent auditor’s report is presented at the beginning of the financial section of this report, on Page 1.

GAAP requires management to provide a narrative introduction, overview, and analysis to accompany the basic financial statements in a section entitled "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 vi
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December 9, 2025

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independent auditors. The notes to the financial statements are provided in the financial section and are considered essential to fair presentation and adequate disclosure.

The ACFR is divided into the following sections:

The Introductory Section includes this letter of transmittal, an overview of the organizational structure of the City, and prior awards received.

The Financial Section includes the following:
•
Independent Auditor’s Report.
• Management’s Discussion and Analysis.
• Basic Financial Statements—Includes the government-wide financial statements that present an overview of the City’s entire financial operations and the fund financial statements that present financial information for each of the City’s major funds as well as other governmental, proprietary, and custodial funds.
• Notes to Basic Financial Statements—The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements.
• Required Supplementary Information—Includes schedules required to be presented, showing information related to the City’s pension plans and other postemployment benefits plan. • Other Supplementary Information—Includes the Budgetary Schedule of the Park Land Dedication Capital Projects Fund, Combining Statements and Schedules of the nonmajor governmental funds, internal service funds, and custodial funds.

The Statistical Section includes tables containing historical financial data, debt statistics, and miscellaneous social and economic data of the City that may be of interest to potential investors in the City’s bonds and to other readers. The data includes 10-year revenue and expenditure information as well as 10 years of net position/fund balance information.

This ACFR includes the results of financial activities of the primary government, which encompasses several enterprise activities as well as all of its component units: the Mountain View Shoreline Regional Park Community (Shoreline Community) and the City of Mountain View Capital Improvements Financing Authority (Financing Authority). Separate financial statements for the Shoreline Community are included following the Statistical Section. There is no legal requirement for a separate component unit report for the Financing Authority. vii
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December 9, 2025

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PROFILE OF THE GOVERNMENT
The City was incorporated on November 7, 1902. The City Charter was originally approved by voters in 1952 and requires the City to operate under a Council-Manager form of government. Seven Councilmembers are elected at-large for four-year terms that are staggered, so three or four seats are filled at the general municipal election in November of every even-numbered year. Continuous service on the City Council is limited to two consecutive terms. Each year, in January, Council elects one of its members as Mayor and another as Vice Mayor.

With a population of approximately 86,513 and occupying just over 12 square miles, Mountain View is situated in Silicon Valley, about 36 miles southeast of the City of San Francisco and 15 miles northwest of the City of San Jose.

The City provides the following full range of municipal services, which are reflected in this report:
• General government (city management, legal, human resources, information technology, and financial activities);
• Public safety (police and fire services);
• Public works (engineering, design, and utility maintenance); • Community development (land use, development review, inspections, and affordable housing); and
• Culture and recreation (library, parks, recreation, performing arts, and golf course).

The City also provides water, wastewater, and solid waste utility enterprise activities, and the financial information regarding these activities is included in this report.

The financial reporting entity includes all funds of the primary government (i.e., the City) as well as its component units. The seven-member City Council serves as the governing body of the Mountain View Shoreline Regional Park Community and the City of Mountain View Capital Improvements Financing Authority, although these agencies are legal entities separate from the City. These two agencies are considered component units of the City and are blended in the reporting entity.

However, this does not mean the City assumes the obligations or liabilities of these entities, and they are budgeted and accounted for separately from the City.

No other agencies or activities associated with the City, or utilizing a name similar to the City, meet the established criteria for inclusion in the reporting entity and, accordingly, are excluded from this report.
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In accordance with the City Charter, the City Council is required to adopt an annual budget by July 1 of each fiscal year for the ensuing year, which begins on that date. The adopted budget establishes the legal level of budgetary control at the fund and department level, meaning that total appropriations for each fund and department may not be exceeded without City Council authorization.

Transfers and adjustments between departments or funds require City Council approval. In addition, pursuant to the City Charter, any amendment to the adopted budget be approved by at least five votes of the seven-member City Council.

LOCAL ECONOMY
The City is centrally located in Silicon Valley and is serviced by several major freeways (U.S. 101, Interstate 280, State Route 85, and State Route 237) connecting the City to three international airports, shipping, and rail lines in the Bay Area. Mountain View is also a regional transportation hub and has transit stops for the Caltrain commuter train and Santa Clara Valley Transportation Authority (VTA) light rail system.

Despite the strong revenue growth realized in FY 2024–25 compared to the prior fiscal year, this performance is considered an exception, and revenue growth is expected to moderate in subsequent years. Overall, total General Fund revenue increased from $221.1 million in FY 2023–24 to $236.9 million in FY 2024–25, an increase of $15.8 million, or 7.1%. The General Fund’s above-trend growth was primarily driven by higher-than-expected property taxes, the use of money and property (including investment and rental income), and other taxes, such as transient occupancy taxes and utility users’ taxes. Except for these outperforming categories, most General Fund revenues remained relatively stable, and sales tax revenues declined by $3.3 million, or 13.5%, compared to the prior fiscal year. Nearly half of this decline was attributable to the timing and recording of sales tax receipts in the City’s accounting records
The local business community continues to experience lingering effects from the COVID-19 pandemic.

As businesses adapt to hybrid and remote workforce strategies, commercial real estate vacancy rates remain elevated and corporate layoffs persist. According to Colliers, a commercial real estate firm, office vacancy rates in Silicon Valley were estimated at 15.9% between July and September 2025, down slightly from 17.2% a year earlier.

Another indicator of the local economy’s health is the unemployment rate. The unemployment rate in Mountain View in August 2025 was estimated to be 4.1% compared to the prior-year rate of 3.5% for the same month, reflecting a softening in employment in the local region. Unemployment rates in the area are expected to continue rising as corporate layoffs persist. ix
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Source: California Employment Development Department
Despite various financial challenges that have arisen in the past, the City has a history of maintaining prudent fiscal practices and budget discipline that has enabled the City to consistently maintain its AAA credit rating. The rating reflects the City’s sizable property tax base, substantial revenue generated annually from numerous commercial and residential leases in which the City is the lessor, and a positive financial position supported by strong reserve levels and a very modest debt burden.

The economic vitality of the City relies upon a strong and diversified business community that is flexible enough to withstand economic challenges. As part of the City’s economic development efforts, the City works to attract and retain companies with growth potential, making the City a desirable location for the corporate community. As a result, Mountain View continues to be recognized as a prime location in Silicon Valley, where it is both desirable to live and work. Mountain View’s innovation economy is home to major technology companies, including Google, Intuit, LinkedIn, Microsoft, Samsung, Siemens Medical Solutions, and Waymo. Mountain View has also quickly become a hub for autonomous vehicle and drone delivery services. Downtown Mountain View is a key location for businesses, particularly start-up companies, due to its diverse range of retailers, restaurants, and convenient access to public transportation.

The City is also committed to preserving its existing services and programs while investing in the future through prudent budgeting and infrastructure development. During the past decade, the City has experienced a strong economy, which, together with sound fiscal planning, has enabled the City to increase resources where needed and pay down pension liabilities, as well as fully fund its other postemployment benefit obligations. It has also enabled the maintenance of adequate reserves during economic downturns.

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%
Unemployment Rates
Mountain View California
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Honorable Mayor, City Council, and
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December 9, 2025

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Property Tax
Property tax accounts for 37.9% of total General Fund revenues and is a key indicator of the City’s economic outlook. For reference, property tax revenue accounted for 36.7% of total General Fund revenues in Fiscal Year 2023-24, continuing a trend in which property taxes have become a larger portion of total General Fund revenues. Property tax revenue in the General Fund totaled $89.8 million in Fiscal Year 2024-25 compared to $81.1 million in Fiscal Year 2023-24, an increase of $8.7 million, or 10.7%. Although property tax revenue has experienced significant growth over the past five years, future growth is expected to be modest.

Source: City of Mountain View ACFR
$0.0
$10.0
$20.0
$30.0
$40.0
$50.0
$60.0
$70.0
$80.0
$90.0
$100.0
FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 Property Tax Revenue - General Fund
(in millions)
xi
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The median sales price of single-family residences was $2.5 million for the quarter ended September 30, 2025, down slightly from $2.6 million a year earlier. As shown in the chart below, housing prices have remained relatively stable over the past two years, following a decline from a peak of $2.9 million for the quarter ended March 31, 2022.

Source: HdL Coren & Cone
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
Mountain View Detached Single-Family Residential Full Value Sales Median Price Average Price
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December 9, 2025

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Even with median sales prices hovering above $2.5 million and the average 30-year fixed mortgage rate having peaked at nearly 8% in October 2023 before settling to just above 6% currently, the number of home sales in the local housing market has remained steady. There were 259 single-family home sales in Fiscal Year 2024-25, compared to 261 in Fiscal Year 2023-24, a nominal decrease.

Source: HdL Coren & Cone
0 20
40 60
80 100
120
140
Number of Mountain View Detached Single-Family Residential Full Value Sales
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Honorable Mayor, City Council, and
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December 9, 2025

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Use of Money and Property
Use of money and property, which consists primarily of lease revenue and investment earnings, is an important source of General Fund revenue, accounting for 23.2% of total General Fund revenues. For reference, this category accounted for 23.3% of total General Fund revenues in Fiscal Year 2023-24, reflecting a stable trend. In Fiscal Year 2024-25, this revenue source generated $55.0 million, an increase of $3.6 million, or 7.0%, compared to Fiscal Year 2023-24. This revenue source is projected to continue growing in Fiscal Year 2025-26 as the City’s investment portfolio benefits from higher interest rates and annual increases in lease agreements take effect.

Source: City of Mountain View ACFR
$0.0
$10.0
$20.0
$30.0
$40.0
$50.0
$60.0
FY 2018-19 FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 Use of Money and Property Revenue - General Fund
(in millions)
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Sales Tax
Sales tax is another important General Fund revenue source, accounting for 8.9% of total General Fund revenues. For comparison, sales tax represented 11.1% of total General Fund revenues in Fiscal Year 2023-24, reflecting a declining trend. Sales tax revenue totaled $21.2 million in Fiscal Year 2024- 25, compared to $24.5 million in Fiscal Year 2023-24, a decrease of $3.3 million, or 13.5%. Nearly half of this decline was attributable to the timing and recording of sales tax receipts in the City’s accounting records. Sales tax revenue is projected to increase slightly for Fiscal Year 2025-26, reflecting the anticipated opening of new sales tax-generating businesses during the fiscal year.

Source: City of Mountain View ACFR
$0.0
$5.0
$10.0
$15.0
$20.0
$25.0
$30.0
FY 2018-19 FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 Sales Tax Revenue - General Fund
(in millions)
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Honorable Mayor, City Council, and
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LONG-TERM FINANCIAL PLANNING
The City annually prepares a five-year forecast for its General Operating Fund and periodically develops a Long-Range Financial Forecast to project revenue and expenditure trends for the next 10 years. As part of the Fiscal Year 2025-26 Adopted Budget, a Five-Year Financial Forecast (Forecast) was developed for Fiscal Years 2025-26 through 2029-30. Even with fluctuating economic variables, a financial forecast helps identify long-term financial trends, potential fiscal imbalances, emerging challenges, opportunities, and future requirements – information that supports the City’s ongoing commitment to fiscal sustainability. While accurately forecasting revenues is challenging due to the variable nature of the City’s revenue sources and their sensitivity to regional, state, national, and global economic conditions, it is possible to identify reasonable financial trends and develop a conceptual financial outlook to support informed decision-making. The Forecast provides a valuable tool to guide the City as it continues to balance expenditures with available revenues.

The General Fund Forecast projects a nominal positive ending operating balance of approximately $0.7 million for Fiscal Year 2025-26. However, modest operating deficits are projected in the subsequent fiscal years. Should these deficits materialize, maintaining adequate operating and emergency reserves will be critical to helping the City navigate the period and withstand potential future economic downturns.

In summary, local economic indicators suggest a flattening of revenues, with slower growth anticipated in Fiscal Year 2025-26, following several years of strong performance. Ongoing uncertainty related to inflation, interest rates, national and state economic policies, and geopolitical conditions contributes to this more cautious outlook. In contrast, expenditures are expected to grow at a faster pace than revenues for the foreseeable future, driven largely by rising operational costs. ($4.0)
($3.0)
($2.0)
($1.0)
$0.0
$1.0
FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30
Estimated General Operating Fund
Operating Balance
(in millions)
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Honorable Mayor, City Council, and
Members of the Mountain View Community
December 9, 2025

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RELEVANT FINANCIAL POLICIES
The City Council has established a financial and budgetary policy framework which is reviewed and updated as necessary by the City Council. A comprehensive and consistent set of financial and budgetary policies provides a basis for sound financial planning, identifies appropriate directions for service-level developments, aids budgetary decision-making, and serves as an overall framework to guide financial management and operations of the City.

The City’s adoption of financial policies also promotes public confidence and increases the City’s credibility in the eyes of bond-rating agencies and potential investors. Such policies also provide the resources to react to potential financial emergencies in a prudent manner.

APPROPRIATIONS LIMIT
Article XIIIB of the California State Constitution, which became effective in Fiscal Year 1979-80, and which was modified (by Proposition 111) in November 1989, establishes, by formula, an appropriation limit for governmental agencies. Using the appropriations of Fiscal Year 1978-79 as the base year, the limit is adjusted for the growth in inflation and population during each subsequent fiscal year. Inflation is measured as the year-over-year growth in per-capita personal income, while population growth is based on a weighted growth measure that blends growth in the civilian population with growth in K-12 and community college average daily attendance.

Article XIIIB also sets the guidelines as to what is to be included in the appropriation limits.

The City’s appropriation limit for Fiscal Year 2024-25 was $378,697,009; the City’s actual appropriations, subject to the limit, were $138,771,739, which is far below the limit. The Fiscal Year 2024-25 appropriation limit increased from $356,727,282 in Fiscal Year 2023-24 due primarily to the increase of 3.62% in California’s per-capita personal income over the prior year, one of the factors used in calculating the change in the appropriation limit. $0
$75
$150
$225
$300
$375
FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25
Millions
Appropriations Limit
(in millions)
Limit Subject to Limit
xvii
Honorable Mayor, City Council, and
Members of the Mountain View Community
December 9, 2025

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AWARDS AND ACKNOWLEDGMENTS
The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City for its Annual Comprehensive Financial Report for the fiscal year ended June 30, 2024. This was the 35th consecutive year the City has received this prestigious award. In order to be awarded a Certificate of Achievement, the City had to publish an easily readable and efficiently organized ACFR that satisfied both GAAP and applicable legal requirements. The GFOA award is valid for a one-year period only. I believe our current ACFR continues to meet the program’s requirements, and we are submitting it to the GFOA to determine its eligibility for another certificate.

In addition, the City also received the GFOA’s Distinguished Budget Presentation Award for the City’s annual budget document for Fiscal Year 2024-25. In order to qualify for this Distinguished Budget Presentation Award, the government’s budget document had to be judged proficient as a policy document, a financial plan, an operations guide, and a communication device.

Special recognition is extended to Arn Andrews, Assistant City Manager; Derek Rampone, Finance and Administrative Services Director; Grace Zheng, Assistant Finance and Administrative Services Director; and the entire staff of the Finance and Administrative Services Department for their dedication to all City departments, residents, and customers on a daily basis. The preparation of this report could not have been achieved without the skillful, dedicated, and efficient services of the entire staff of the Finance and Administrative Services Department. In particular, Helen He, Accounting Manager; Janet Shum, Senior Accountant; and Marichi Valle, Accountant, were instrumental in preparing the ACFR accurately and in a timely manner. Every member of the department deserves recognition and thanks for their commitment to the City and their profession.

I would also like to thank the members of the City Council and Council Finance Committee for their leadership and policy guidance in managing the financial operations of the City in a fiscally responsible manner that continues to serve in the best interests of the residents of the City.

Respectfully submitted,
Kimbra McCarthy
Cit
y Manager
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CITY OF MOUNTAIN VIEW

CALIFORNIA

CITY OFFICIALS

CITY COUNCIL
Ellen Kamei Ma
yor
Emily Ann Ramos Vice Mayor
Chris Clark Councilmember
Alison Hicks Councilmember
John McAlister Councilmember
Lucas Ramirez Councilmember
Patricia Showalter Councilmember

EXECUTIVE STAFF
Kimbra Mc
Carthy City Manager
Jennifer Logue City Attorney
Heather Glaser City Clerk
Audrey Seymour Ramberg Assistant City Manager
Arn Andrews Assistant City Manager
Lenka Wright Chief Communications Officer
Danielle Lee Chief Sustainability and Resiliency Officer Christian Murdock Community Development Director
Roger Jensen CIO/Information Technology Director
John Marchant Community Services Director
Kimberly Thomas Deputy City Manager
Derek Rampone Finance and Administrative Services Director Juan Diaz Fire Chief
Wayne Chen Housing Director
Maxine Gullo Human Resources Director
Tracy Gray Library Director
Michael Canfield Police Chief
Jennifer Ng Public Works Director
Exhibit 2
xix
Mountain View
Residents
Mountain View
City Council
City Manager City ClerkCity Attorney
City
Manager’s
Office
Community
Development
Community
Services
Finance and
Administrative
Services
Fire
Human
Resources
Information
Technology
Library Police Public
Works
City Boards, Commissions & Committees
Housing
City Auditor
Environmental Planning Commission
Board of Library Trustees
Parks and Recreation Commission
Rental Housing Committee
Bicycle/Pedestrian Advisory Committee
Downtown Committee
Human Relations Committee
Performing Arts Committee
Senior Advisory Committee
Tennis Advisory Board
Visual Arts Committee
Youth Advisory Committee
Charter Non-Charter
City Government Organization
*
Finance and Administrative Services Director
serves as City Auditor as appointed by City
Council.
*
Exhibit 3
xx
Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Mountain View
California
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2024
Executive Director/CEO
Exhibit 4
xxi
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xxii
INDEPENDENT AUDITOR’S REPORT
To the Honorable Mayor and Members of the City Council
of the City of Mountain View
Mountain View, 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 Mountain View (City), as of and for the year ended June 30, 2025, and the related notes to the financial statements, which collectively comprise City’s basic financial statements as listed in the table of contents.

In our opinion, the accompanying financial statements 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, as of June 30, 2025, and the respective changes in financial position and, where applicable, cash flows thereof and the respective budgetary comparison for the General Fund, Shoreline Regional Park Community Fund, and the Housing Fund, for the year then ended in accordance with accounting principles generally accepted in the United States of America.

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

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, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.

To the Honorable Mayor and Members
of the City Council of the City of Mountain View
Mountain View, California

Page 2 ends

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 assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS, we:

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

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

2 To the Honorable Mayor and Members
of the City Council of the City of Mountain View
Mountain View, California

Page 3 ends

Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis, and the required pension and OPEB information schedules, be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Supplementary Information

Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The individual and combining fund financial statements and schedules are presented for purposes of additional analysis and are not a required part of the basic financial statements.

The individual and combining fund financial statements and schedules are the responsibility of management and were derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the individual and combining fund financial statements and schedules are fairly stated, in all material respects, in relation to the basic financial statements as a whole.

Other Information

Management is responsible for the other information annual financial report. The other information comprises the introductory section, statistical section, and component unit financial statements section but does not include the basic financial statements and our auditor's report thereon. Our opinions on the basic 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 inconsistency 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. 3 To the Honorable Mayor and Members
of the City Council of the City of Mountain View
Mountain View, California

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Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued our report dated December 9, 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, contracts, and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of 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.

Badawi & Associates, CPAs
Emeryville, California
December 9, 2025
4 CITY OF MOUNTAIN VIEW, CALIFORNIA
Management’s Discussion and Analysis (MD&A) (Unaudited) For the Fiscal Year Ended June 30, 2025

This section of the City of Mountain View’s (City) Annual Comprehensive Financial Report (ACFR) presents a narrative overview and analysis of the financial activities of the City for the fiscal year ended June 30, 2025. We encourage readers to review this information in conjunction with the Letter of Transmittal and the Basic Financial Statements. It is important to recognize that the financial statements reflect past results, whereas the City’s operating budget focuses on future goals and the allocation of resources.

FINANCIAL HIGHLIGHTS

Key financial highlights for the fiscal year are outlined below. Details can be found in the Government-Wide Financial Analysis and the Financial Analysis of the City’s Funds sections of this MD&A.

• The assets and deferred outflows of resources of the City exceeded its liabilities and deferred inflows of resources at the close of the fiscal year ended June 30, 2025 by $1.7 billion (net position). Of this amount, $248.6 million represents unrestricted net position, which may be used to meet the City’s ongoing obligations.

• Total net position increased by $96.7 million, compared to an increase of $98.8 million in the prior fiscal year - a decrease of 2.2%. Of this year’s increase, $79.2 million was attributable to governmental activities and $17.5 million to business-type activities. The beginning net position was restated downward by $5.1 million due to the implementation of Governmental Accounting Standards Board (GASB) Statement No. 101. Citywide revenues increased by $22.7 million, while expenses increased by $19.8 million.

• Total outstanding long-term debt increased by $7.2 million in the current fiscal year. The increase was driven primarily by a $5.5 million increase in compensated absences associated with the implementation of GASB 101 and a $4.6 million increase in Subscription-based Information Technology Arrangement (SBITA) liabilities related to new Axon camera storage and Arctic Wolf security software agreements. These increases were partially offset by scheduled debt service payments.

• Net pension liabilities decreased by $14.6 million, compared to an increase of $12.9 million in the prior fiscal year. This reduction was primarily driven by strong investment returns during the reporting period and contributions that exceeded the plans’ annual costs and expenses. Net other post-employment benefit (OPEB) liabilities decreased by $1.9 million during the fiscal year. This decrease was driven by positive investment earnings and contributions to the plan that exceeded the plan’s annual costs and expenses.

5 • Governmental funds reported total fund balances of $1.1 billion, an increase of $60.9 million, or 5.9% from the prior fiscal year. The increase was driven primarily by the General Fund ($27.2 million) and the Shoreline Regional Park Community (SRPC) Fund ($20.3 million), where revenues exceeded expenditures during the fiscal year.

• The General Fund ended the fiscal year with a total fund balance of $265.8 million, an increase of $27.2 million, or 11.4% from the prior fiscal year. Of this amount, $162.1 million, or 61.0%, is unassigned and available to support the City’s current and future needs. The unassigned fund balance is designated for future one-time expenditures, payments toward unfunded liabilities, and emergency reserves, and represents 78.8% of total General Fund expenditures for the fiscal year ended June 30, 2025 – up from 70.6% in the prior fiscal year.

OVERVIEW OF THE FINANCIAL STATEMENTS

This Discussion and Analysis is intended to provide an overview of the City’s basic financial statements. The City’s basic financial statements include three key components:
(1) government-wide financial statements; (2) fund financial statements; and (3) notes to the basic financial statements. This report also includes required supplementary information and other supplementary schedules that provide additional context and detail beyond the basic financial statements .

Government-Wide Financial Statements

The government-wide financial statements are designed to provide readers with a comprehensive overview of the City’s finances, presented in a manner similar to that of a private- sector business.

The Statement of Net Position presents information on all of the City’s assets, deferred outflows of resources, liabilities, and deferred inflows of resources, with the difference between them reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the overall financial position of the City is improving or deteriorating.

The Statement of Activities presents information showing how the City’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows.

Thus, revenues and expenses are reported in this statement for certain items that will only result in cash flows in future fiscal periods, such as revenues related to uncollected taxes and expenses pertaining to earned, but unused, vacation and sick leave.

Both of the government-wide financial statements distinguish between the functions of the City that are principally supported by taxes and intergovernmental revenues (governmental activities) and other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). Governmental activities include general government, public safety, public works, community development, and culture and recreation 6 services. Business-type activities consist of the City’s water, wastewater, and solid waste enterprise operations (enterprise funds).

The government-wide financial statements include not only the City itself (known as the primary government) but also two legally separate entities for which the City is financially accountable:
(1) Mountain View Shoreline Regional Park Community (Shoreline Community or SRPC); and (2) City of Mountain View Capital Improvements Financing Authority (Financing Authority).

Although legally separate from the City, these component units are blended with the primary government because they have the same governing board as the City and because of their financial relationship with the City. In addition, separate financial statements for the Shoreline Community component unit are included within the City’s ACFR.

Fund Financial Statements

The fund financial statements are designed to report information about groupings of related accounts, which are used to maintain control over resources that have been segregated for specific activities or objectives. The City, like other State and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City can be divided into the following three categories: governmental funds, proprietary funds, and fiduciary funds.

Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near- term inflows and outflows of spendable resources as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in determining what financial resources are available in the near future to finance the City’s programs.

Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. Both the governmental funds Balance Sheet and the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities.

The City maintains several individual governmental funds organized according to their type (special revenue, debt service, and capital projects funds). Information is presented separately in the governmental funds Balance Sheet and in the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balances for the General Fund, Shoreline Regional Park Community Fund, Housing Fund, General Capital Projects Fund, and Park Land Dedication Capital Projects Fund, all of which are considered to be major funds. Data from the remaining governmental funds are combined into a single, aggregated presentation. Individual fund data 7 for each of these nonmajor governmental funds is provided in the form of combining statements elsewhere in this report.

The City adopts an annual appropriated budget for most of its funds, with the exception of the General Capital Projects Fund, which is budgeted on a project basis. Budgetary comparison statements and schedules are provided for these funds to demonstrate compliance with the adopted and amended budgets.

Proprietary funds are used to account for activities in which the City charges fees to customers - whether external users or internal departments - for the services provided. These funds present financial information similar to that found in the government-wide financial statements, but in greater detail. The City maintains two types of proprietary funds.

 Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for its water, wastewater, and solid waste operations, all of which are considered to be major funds of the City.

 Internal service funds are used to accumulate and allocate costs internally among the City’s various functions. The City uses internal service funds to account for its equipment maintenance and replacement, Retirees’ Health Plan, Employee Benefits Plan, and various other self-insurance liability programs. Because these services predominantly benefit governmental rather than business-type functions, they have been included within governmental activities in the government-wide financial statements. The internal service funds are combined into a single, aggregated presentation in the proprietary funds financial statements. Individual fund data for the internal service funds is provided in the form of combining statements elsewhere in this report.

Fiduciary funds are used to account for fiduciary activities and resources held for the benefit of individuals, organizations, or other governments that are not part of the City. These are comprised of custodial funds, which are not required to be reported in pension (and other employee benefit) trust funds, investment trust funds, or private-purpose trust funds and include custodial balances and activities of the City’s labor unions and Center for Performing Arts. Since the resources of these funds are not available to support the City’s own programs, they are not reflected in the government-wide financial statements.

Notes to the Basic Financial Statements

The notes provide additional information essential to a comprehensive understanding of the data presented in the government-wide and fund financial statements.

8 Other

Required Supplementary Information includes schedules required to be presented showing information related to the City’s pension plans and other post-employment benefits plan.

Other Supplementary Information includes the combining statements and schedules of the nonmajor governmental funds, internal service funds, and custodial funds.

GOVERNMENT-WIDE FINANCIAL ANALYSIS

Analysis of Net Position

A condensed summary of the City’s net position for governmental and business-type activities is as follows:

2025 2024 2025 2024 2025 2024
Assets:

Current and other assets $ 1,889,034 $ 1,876,734 $ 182,588 $ 174,308 $2,071,622 $2,051,042 Capital assets 640,717 602,825 114,763 110,350 755,480 713,175 Total assets 2,529,751 2,479,559 297,351 284,658 2,827,102 2,764,217 Deferred outflows of resources:

Pension items 58,689 82,255 5,564 7,308 64,253 89,563 OPEB Items 20,058 25,592 - 338 20,058 25,930 Total deferred outflows of resources 78,747 107,847 5,564 7,646 84,311 115,493 Liabilities:

Current and other liabilities 57,192 79,506 6,823 11,091 64,015 90,597 Noncurrent liabilities 402,424 410,772 31,470 33,899 433,894 444,671 Total liabilities 459,616 490,278 38,293 44,990 497,909 535,268 Deferred inflows of resources:

Pension items - 436 - 147 - 583 OPEB items 4,109 9,139 - - 4,109 9,139 Leases 697,361 719,367 - - 697,361 719,367 Total deferred inflows of resources 701,470 728,942 - 147 701,470 729,089 Net position:

Net investment in capital assets
619,378 583,085 104,891 99,104 724,269 682,189 Restricted 739,144 703,859 - - 739,144 703,859 Unrestricted 88,890 81,242 159,731 148,063 248,621 229,305 $ 1,447,412 $ 1,368,186 $ 264,622 $ 247,167 $1,712,034 $1,615,353 Condensed Statement of Net Position
(Dollars in Thousands)
TotalGovernmental Activities Business-Type Activities

Approximately 42.3% of the City’s net position, or $724.3 million, reflects its investment in capital assets (e.g., land, buildings, other improvements, etc.) less any related outstanding debt used to acquire or construct those assets. These capital assets are used to provide services to the community and are not available for future spending. Although the City’s investment is reported 9 net of related debt, the resources required to repay that debt must come from other funding sources, as the capital assets themselves cannot be liquidated to satisfy these obligations.

The largest portion of the City’s net position, 43.2% or $739.1 million, consists of resources that are subject to external restrictions. Restricted net position is limited in use for specific purposes, including capital projects, debt service, Low-and -moderate-income housing programs, and street and road improvements.

The remaining 14.5% of the City’s net position, or $248.6 million, represents unrestricted net position, which may be used to meet the City’s ongoing operational and financial obligations.

The City’s total assets increased by $62.9 million compared to the prior fiscal year. This increase includes a $42.3 million increase in capital assets and a $20.6 million increase in current and other assets. This growth is primarily attributable to a $45.1 million increase in cash and investments and a $3.1 million increase in loans receivable, partially offset by a $27.7 million decrease in leases receivable.

The City’s total liabilities decreased by $37.4 million from the prior fiscal year. Current liabilities declined by $26.6 million, largely due to the reclassification of a portion of unearned revenues to deferred inflow of resources related to leases. Non-current liabilities decreased by $10.8 million, driven primarily by a $14.6 million reduction in the net pension liability. This decrease was partially offset by an increase of $5.5 million in Compensated Absences, largely attributed to the implementation of GASB 101.

10 Analysis of Statement of Activities

The changes in net position for governmental and business-type activities are as follows:

2025 2024 2025 2024 2025 2024
Revenues:

Program Revenues:

Charges for services 70,322$ 75,091$ 99,723$ 92,965$ $170,045 $168,056 Operating grants and contributions 7,916 6,086 - 10 7,916 6,096 Capital grants and contributions 13,096 21,853 767 2,866 13,863 24,719 General Revenues:

Property taxes 164,321 153,598 - - 164,321 153,598 Sales taxes 21,177 24,492 - - 21,177 24,492 Transient occupancy tax 10,565 7,961 - - 10,565 7,961 Utility users tax 11,084 7,648 - - 11,084 7,648 Nonregulatory franchise and business 12,208 11,766 - - 12,208 11,766 Intergovernmental revenue 374 293 - - 374 293 Investment income 71,041 57,607 5,769 3,394 76,810 61,001 Total revenues 382,104 366,395 106,259 99,235 488,363 465,630 Expenses:

General government 75,532 68,714 - - 75,532 68,714 Public safety 99,773 95,753 - - 99,773 95,753 Public works 43,091 46,972 - - 43,091 46,972 Community development 21,192 19,081 - - 21,192 19,081 Culture and recreation 52,228 45,265 - - 52,228 45,265 Interest on long-term debt 3,953 3,918 - - 3,953 3,918 Water - - 43,870 43,734 43,870 43,734 Wastewater - - 29,516 28,181 29,516 28,181 Solid Waste - - 17,410 15,190 17,410 15,190 Total expenses 295,769 279,703 90,796 87,105 386,565 366,808 Change in net position before transfers 86,335 86,692 15,463 12,130 101,798 98,822 Transfers, net (2,430) (1,515) 2,430 1,515 - - Change in net position 83,905 85,177 17,893 13,645 101,798 98,822 Beginning net position 1,368,186 1,283,009 247,167 233,522 1,615,353 1,516,531 Restatements (4,679) - (438) - (5,117) - Ending net position 1,447,412$ 1,368,186$ 264,622$ 247,167$ 1,712,034$ 1,615,353$ Total
Condensed Statement of Activities
(Dollars in Thousands)
Governmental Activities Business-Type Activities

11 Governmental Activities

Program revenues, such as charges for services, operating grants and contributions, and capital grants and contributions, are generated by, or restricted for use in, the related activities. General revenues consist primarily of taxes and other revenues that are not specifically tied to individual activities. All tax revenues and investment earnings are classified as general revenues.

The following charts provide a graphical comparison of governmental revenues by source for Fiscal Years 2024-25 and 2023-24:

Total Governmental Revenues increased to $382.1 million, a $15.7 million increase compared to the prior fiscal year.

Revenue Highlights:

• Charges for services ($70.3 million), property taxes ($164.3 million), and investment income ($71.0 million) were the three largest revenue sources for governmental activities.

Combined, these totaled $305.6 million, or 80.0% of total revenues.

• Property taxes increased by $10.7 million over the prior fiscal year, reflecting continued strong growth in assessed values across both residential and commercial real estate.

Charges for
Services

20.5%
Operating
Grants and
Contributions

1.7%
Capital Grants
and
Contributions

6.0%
Property
Taxes

41.9%
Other
Taxes

10.9%
Nonregulatory
Franchise and
Business

3.2%
Intergovernmental
Revenue

0.1% Investment
Income

15.7%
Fiscal Year 2023-24 Governmental
Activities
Revenues by Source
Charges for
Services

18.4%
Operating
Grants and
Contributions

2.1%
Capital Grants
and
Contributions

3.4%Property
Taxes

43.0%
Other
Taxes

11.2%
Nonregulatory
Franchise and
Business

3.2%
Intergovernmental
Revenue

0.1%
Investment
Income

18.6%
Fiscal Year 2024-25 Governmental
Activities
Revenues by Source
12 • Investment income increased by $13.4 million, primarily due to unrealized gains and higher interest earnings resulting from sustained elevated interest rates during the fiscal year.

• Capital grants and contributions decreased by $8.8 million, primarily because several significant one-time grants were received in Fiscal Year 2023-24. These included a $2.3 million Measure B reimbursement from VTA for the El Camino Real Bike and Pedestrian Improvement Project (CIP 22-29), a $1.7 million Santa Clara County grant for the Magical Bridge Playground Project (CIP 18-36), and a $2.3 million CDBG grant for the Crestview Hotel project. Comparable levels of grant funding were not received in the current fiscal year.

The following charts provide a graphical comparison of the City’s governmental expenses by function for Fiscal Years 2024-25 and 2023-24. Please note that these expenses do not include capital outlays, as such amounts are capitalized and added to the City’s capital assets rather than reported as current period expenses.

Expense Highlights

Total expenses increased to $295.8 million in the current fiscal year, an increase of $16.1 million, or 5.7%, compared to the prior fiscal year. The increase is driven primarily by higher salaries and benefits, including pension and OPEB expenses, resulting from adjustments required under General
Government

25.5%
Public
Safety

33.7%
Public
Works

14.6%
Community
Development

7.2%
Culture and
Recreation

17.7%
Interest on
Long-term Debt

1.3%
Fiscal Year 2024-25
Governmental Activities
Expenses by Function
General
Government

24.6%
Public
Safety

34.2%
Public
Works

16.8%
Community
Development

6.8% Culture and
Recreation

16.2%
Interest on Long-
term Debt

1.4%
Fiscal Year 2023-24
Governmental Activities
Expenses by Function
13 GASB Statement No. 68 and No. 75. Salaries and benefit costs also rose due to an increase in Council-approved authorized positions, cost-of-living adjustments, and higher benefit costs.

Business-Type Activities

Business-type activities increased the City’s net position by $17.5 million compared to an increase of $13.6 million from the prior fiscal year. The significant key factors are as follows:

• Water net position increased by $6.9 million, primarily due to net operating income of $4.1 million and investment income of $2.3 million.

• Wastewater net position increased by $9.5 million, primarily due to net operating income of $6.0 million, investment income of $2.3 million, and transfers in of $1.1 million.

• Solid waste net position increased by $1.5 million, primarily due to investment income of $1.1 million.

FINANCIAL ANALYSIS OF THE CITY’S FUNDS

As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements.

Governmental Funds—The focus of the City’s governmental funds is to report near-term inflows, outflows, and balances of resources available for spending. This information is particularly useful in assessing the City’s short-term financing needs and fiscal capacity. In particular, unassigned fund balance serves as an important indicator of the resources the City has available for discretionary spending at the end of the fiscal year. The City’s governmental fund types include the General Fund, Special Revenue Funds, Debt Service Funds, and Capital Projects Funds.

As of June 30, 2025, the City’s governmental funds reported combined ending fund balances of $1.1 billion, an increase of $60.9 million compared to the prior fiscal year. The most significant contributors to this change include increases of:
 $27.2 million in the General Fund
 $20.3 million in the Shoreline Regional Park Community Fund  $6.8 million in the Housing Fund
 $9.6 million in the General Capital Project fund

These increases were partially offset by a $3.7 million decrease in the Park Land Dedication Capital Project Fund.

Total fund balance includes an unassigned fund balance of $162.1 million, which is available for spending at the City’s discretion. The remaining fund balance consists of nonspendable ($6.7 million), restricted ($811.6 million), committed ($113.0 million), and assigned ($4.9 million) amounts, none of which are available for new discretionary spending purposes. 14 During the fiscal year, total governmental fund revenues were $379.5 million, while expenditures were $320.3 million, resulting in revenues exceeding expenditures by $59.2.

The General Fund is used to account for all revenues and expenditures necessary to support the City’s basic governmental activities that are not required to be reported in other funds.

At June 30, 2025, the General Fund’s unassigned fund balance was $162.1 million, an increase of $28.8 million from the prior fiscal year.

As a measure of the General Fund’s liquidity, it is useful to compare both unassigned fund balance and total fund balance to total fund expenditures. The unassigned fund balance of $162.1 million represents 61.0% of total fund balance and 78.8% of General Fund expenditures of $205.9 Million. Total fund balance represents 129.1% of expenditures for the same period, demonstrating a strong liquidity position.

The fund balance of the City’s General Fund increased by $27.2 million during the current fiscal year. Total General Fund revenues increased to $236.9 million, an increase of $15.8 million over the prior fiscal year. The growth was primarily driven by an $8.6 million increase in property tax revenues and an $8.2 million increase in other taxes, partially offset by a $3.3 million decline in sales tax revenues.

The increase in property tax revenues reflects continued strong growth in assessed values across both secured and unsecured rolls in the residential and commercial real estate markets. The increase in other taxes was largely attributable to a $2.6 million rise in transient occupancy tax (TOT), a $3.4 million increase in utility user tax, and a $2.0 million increase in property conveyance tax. Additionally, the passage of a new property transfer tax tier in the November 2024 election and the reclassification of property conveyance tax from the Conveyance and Construction Tax Special Revenue Fund to the General Fund contributed to the overall increase in General Fund revenues.

Conversely, sales tax revenues declined due to several factors, including adjustments related to the timing and recording of sales tax receipts in the City’s accounting records, the relocation of Synopsys outside the City, multiple retail store closures, and reduced consumer spending— excluding restaurants and hotels, which continued to perform well.

General Fund expenditures increased by $16.9 million compared to the prior fiscal year, driven primarily by an $11.6 million increase in salaries and benefits and a $4.2 million increase in capital outlay. The rise in salaries and benefits reflects positions added in Fiscal Year 2024-25, merit and market salary adjustments, and higher pension contributions.

The increase in capital outlay is primarily related to SBITA assets associated with Axon’s camera data storage software and Arctic Wolf security software. It is important to note that the 15 recognition of capital outlay for a SBITA does not indicate that the full cost is paid upfront.

Instead, the subscription costs are paid over time; however, GASB Statement No. 96 require the City to record the full value of the subscription as both an asset and a liability in the year the agreement is executed.

The following charts provide a graphical comparison of General Fund revenues by source and expenditures by function for the fiscal years ended June 30, 2025 and 2024:

Property taxes

37.9%
Sales taxes

9.0%
Other taxes

12.4%
Licenses, permits
and others

7.2%
Use of money and
property

23.2%
Intergovernmental

0.6%
Charges for
services

9.7%
Fiscal Yarear 2024-25 General Fund
Revenues by Source
Property taxes

36.6%
Sales taxes

11.1%
Other taxes

9.6%
Licenses, permits
and others

8.4%
Use of money and
property

23.3%
Intergovernmental

0.6%
Charges for
services

10.4%
Fiscal Year 2023-24 General Fund
Revenues by Source
16 General
Government

19.6%
Public Safety

43.6%
Public Works

11.4%
Community
Development

6.5%
Culture and
Recreation

15.1%
Capital outlay

3.0%
Debt service

0.8%
Fiscal Year 2024-25 General Fund
Expenses by Type
General
Government

21.0%
Public Safety

44.1%
Public Works

11.7%
Community
Development

7.0%
Culture and
Recreation

14.7%
Capital outlay

0.9%
Debt service

0.6%
Fiscal Year 2023-24 General Fund
Expenses by Type
17 The Shoreline Regional Park Community Fund receives property tax revenues generated from properties located within the Shoreline Community. The fund accounts for all revenues and expenditures associated with activities and improvements within the Shoreline Community area.

Revenues totaled $82.4 million for the fiscal year ended June 30, 2025, an increase of $3.8 million compared to the prior fiscal year. The increase was primarily driven by a $2.1 million rise in property tax revenues and a $1.6 million increase in investment earnings, reflecting higher assessed property values and elevated interest earnings and unrealized gains during Fiscal Year 2024-25.

Expenditures were $34.4 million, up from $31.2 million in the prior fiscal year. Of this total, $27.0 million was expended on general government activities – an increase of $1.6 million from the prior fiscal year.

In addition, $33.2 million was transferred out to support capital improvement projects and debt service payments, which is consistent with the $33.7 million transferred in the prior fiscal year.

The fund balance at June 30, 2025, was $129.4 million, and remains restricted for expenditures benefiting the Shoreline Community.

The Housing Fund accounts for fees paid by developers to provide for increasing and improving the supply of extremely low-, very low-, low-, and moderate-income housing (affordable housing).

Revenues were $8.7 million for the fiscal year ended June 30, 2025, a decrease of $0.9 million from the prior fiscal year. The fund balance of $192.8 million is restricted for future affordable housing projects.

The General Capital Projects Fund accounts for all general capital improvement activities.

Revenues were $22.6 million for the fiscal year ended June 30, 2025, an increase of $0.5 million from the prior fiscal year. Investment earnings increased by $5.0 million, partially offset by a $4.2 million decrease in intergovernmental revenue. The decrease in intergovernmental revenue is primarily due to the absence of several one-time grants received in the prior fiscal year, including a $1.7 million grant from Santa Clara County for the Magical Bridge Playground project and $2.3 million in Silicon Valley Transportation Measure B grant funding.

Expenditures totaled $54.9 million, consistent with the prior fiscal year. These expenditures were used to support capital outlay projects, including:
 Water and Sewer Main Replacement 101 at Two Locations (CIP 20-41)  Fire Station 5 Classroom/Training Construction (CIP 20-35)  Stevens Creek Trail Bridge Over Central Expressway and Evelyn Avenue - Deck Replacement and Painting (CIP 22-35)

18 The fund balance at June 30, 2025, was $328.5 million, and is available to fund approved capital projects.

The Park Land Dedication Capital Projects Fund accounts for revenues derived from fees on residential subdivisions, which are restricted for use on park and recreation projects.

Revenues were $3.3 million for the fiscal year ended June 30, 2025, a decrease of $0.5 million from the prior fiscal year. No expenditures were incurred in the prior year. In the current year, expenditures totaled $6.0 million, primarily due to the purchase of the property located at 939 San Rafael Avenue.

The fund balance at June 30, 2025, was $61.7 million, and is available to fund park and recreation projects.

Proprietary Funds—The City’s proprietary funds statements provide information similar to that presented in the government-wide financial statements but with greater detail.

At the end of the fiscal year, the unrestricted net positions for the Water, Wastewater, and Solid Waste Funds were $67.2 million, $75.2 million, and $17.3 million, respectively. The total increase in net position for the enterprise funds was $17.5 million, which reflects a $17.9 million increase during the fiscal year, partially offset by a $0.4 million restatement of the beginning balance due to the implementation of GASB Statement No. 101.

Net operating income increased for both the Water and Wastewater Funds when compared to the prior fiscal year. The Water Fund’s net operating income of $4.1 million, increased by $4.4 million, primarily because the $4.0 million minimum water purchase obligation payment was made in the prior fiscal year, while no such payment was required in Fiscal Year 2024-25. The Wastewater Fund’s net operating income of $6.0 million increased by $0.7 million over the prior year.

The Solid Waste Fund reported negative net operating income of $0.5 million, a decrease of $1.9 million from the prior fiscal year. This decline was primarily due to a $1.6 million increase in charges from the SMaRT (Sunnyvale Materials Recovery and Transfer) Station.

Additional factors affecting the finances of the enterprise funds are discussed earlier in the analysis of the City’s business-type activities.

The City’s internal service funds reported an unrestricted net position of $34.8 million as of June 30, 2025.

19 Fiduciary Funds —The City maintains fiduciary funds to account for fiduciary activities and for assets held by the City in a custodial capacity for the benefit of external agencies or employees.

As of June 30, 2025, the assets of the custodial funds totaled $450,000, a decrease of $220,000 from the prior fiscal year. The decrease is primarily attributable to the reclassification of the Flexible Benefit Plan from a fiduciary fund to the General Fund.

GENERAL FUND BUDGETARY HIGHLIGHTS

Differences between the original and final amended Fiscal Year 2024-25 General Fund budget resulted in a $1.6 million increase in budgeted revenues, primarily within Other Revenues, and a $10.4 million increase in expenditure appropriations. Of the expenditure adjustments, $8.2 million reflects prior-year encumbrances that automatically carried forward at the beginning of the fiscal year, as required by the City Charter. An additional $1.8 million in appropriations was established for the payment of compensated absences. The remaining adjustments were made midyear to address operational needs not anticipated at the time of budget adoption, as well as to appropriate grants or reimbursements received during the fiscal year.

General Fund actual revenues are $40.9 million or 20.9% higher than the final amended budget for the fiscal year. The positive variance is primarily attributable to the following revenues exceeding expectations:

• Investment and lease interest income—$21.8 million higher (primarily due to noncash mark-to-market accounting adjustments for unrealized portfolio gains).

• Property tax revenues—$10.2 million higher (driven largely by $9.5 million in Excess Educational Revenue Augmentation Fund property tax, which is not a guaranteed revenue source and remains subject to legislative changes).

• Other taxes—$4.5 million higher (resulting from unbudgeted property transfer tax revenue of $2.0 million and higher-than-expected utility user tax and transient occupancy tax revenues of $1.1 million and $0.9 million, respectively).

• Charges for services —$2.5 million higher (primarily due to higher-than-expected administrative cost recovery related to capital projects of $2.0 million)

Also contributing to the large variance is the City’s practice of analyzing and projecting revenues throughout the fiscal year, but only adjusting the budgets of the City’s largest revenue sources when needed. In addition, the City generally does not budget for uncertain or one-time revenues, such as Excess Educational Revenue Augmentation Funds (ERAF) and various reimbursements, nor does it adjust the budget after such revenues are received. These practices can result in budgeted amounts that are significantly lower than actual revenues.

Actual General Fund expenditures were $27.8 million lower than the final amended budget for the fiscal year. This variance is primarily attributable to continued salary and benefit savings 20 resulting from vacant positions, as well as budgeted amounts for limited-period funding, one- time programs, and nondepartmental costs that were included in the final amended budget but were not fully expended during the fiscal year. As the City continues to accelerate recruitment for newly authorized and recently vacated positions, actual salary and benefit expenditures are expected to more closely align with budgeted levels. Since vacancy savings are not formally budgeted, but instead assumed as part of normal operations, these savings also contribute to the variance from budget.

As a result of higher-than-expected revenues and expenditure appropriations that were not fully expended, the General Fund realized a positive budget-to-actual variance.

CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital Assets

The City’s capital assets for its governmental and business-type activities totaled $755.5 million (net of accumulated depreciation and amortization) as of June 30, 2025. Capital assets include land, construction in progress, buildings, improvements other than buildings, machinery and equipment, lease assets, subscription-based IT arrangement (SBITA) assets, and infrastructure.

The total net increase in capital assets for the fiscal year was $42.3 million, or 5.9%.

The change in capital assets, net of depreciation, for governmental and business-type activities are summarized as follows:

2025 2024 2025 2024 2025 2024
Land $ 193,859 $ 182,829 $ 220 $ 220 $ 194,079 $ 183,049 Land easement - - 1,678 1,678 1,678 1,678 Construction in progress 150,362 120,658 38,884 28,129 189,246 148,787 Buildings 188,468 188,468 8,748 8,748 197,216 197,216 Improvements other than buildings 267,690 258,496 192,547 191,649 460,237 450,145 Machinery and equipment 46,234 41,603 10,871 8,956 57,105 50,559 Traffic signals 18,869 17,405 - - 18,869 17,405 Streetlights 13,894 13,513 - - 13,894 13,513 Bridges and culverts 18,934 18,583 - - 18,934 18,583 Sidewalks, curbs and gutters 118,306 117,523 - - 118,306 117,523 Streets and roads 293,941 290,062 - - 293,941 290,062 Less accumulated depreciation (677,978) (650,505) (138,185) (129,030) (816,163) (779,535) Lease assets 4,300 4,300 - - 4,300 4,300 Less accumulated armortization (1,304) (660) - - (1,304) (660) SBITA assets 6,576 1,590 - - 6,576 1,590 Less accumulated armortization (1,434) (1,040) - - (1,434) (1,040) $ 640,717 $ 602,825 $ 114,763 $ 110,350 $ 755,480 $ 713,175 Governmental Activities Business-Type Activities
Capital Assets
(Dollars in Thousands)
Total

21 Major capital asset activities during the fiscal year included the following:

• Total capital assets increased by $42.3 million, resulting from $80.0 million in capital asset additions, offset by a $37.7 million increase in accumulated depreciation and amortization.

• Construction in progress increased by $40.6 million. Significant projects worked on and/or completed during the year included:
 Water and Sewer Main Replacement 101 at Two Locations (CIP 20-41)  Fire Station 5 Classroom/Training Construction (CIP 20-35)  All Inclusive Playground (CIP 18-36)
 Rengstorff Park Maintenance and Tennis Buildings Replacement Design & Construction (CIP 21-48)

Additional information about the City’s capital assets is provided in Note 6 to the financial statements.

Debt Administration

As of June 30, 2025, the City had $171.6 million of outstanding noncurrent liabilities related to governmental activities and $11.6 million related to business-type activities, totaling $183.2 million. Noncurrent liabilities outstanding as of June 30, 2025, with a comparison to the prior year and the net change, are as follows:

2025 2024 Net Change
Revenue bonds $ 85,497 $ 87,574 $ (2,077) Compensated absences 16,896 11,911 4,985 Landfill containment 47,881 47,963 (82) Claims liabilities 13,035 11,794 1,241 Lease liabilities 3,367 3,946 (579) SBITA liabilties 4,948 395 4,553 Total governmental activities debt 171,624 163,583 8,041 Business-type activities 11,610 12,499 (889) Total $ 183,234 $ 176,082 $ 7,152 Debt Outstanding
(Dollars in Thousands)

The increase in noncurrent liabilities was primarily driven by higher SBITA liabilities resulting from two new software agreements entered into during the fiscal year, an increase in compensated 22 absences due to the implementation of GASB Statement No. 101, and higher claims liabilities.

These increases were partially offset by scheduled debt service payments.

The City Charter limits bonded indebtedness for General Obligation bonds to 15.0% of the total assessed valuation of all real and personal property within the City. The City has no general obligation debt outstanding as of June 30, 2025 and has maintained its underlying “AAA” issuer credit rating from Standard & Poor’s since July 2014.

Business-type activities debt consists of water revenue bonds, a reclaimed water loan with the City of Palo Alto, and a wastewater direct financing agreement.

Additional information regarding the City’s noncurrent liabilities can be found in Note 7 to the financial statements.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET AND RATES

All of the factors discussed below were considered in preparing the City’s budget for Fiscal Year 2025-26.

• The local economy is beginning to show signs of slowing. While the City’s major revenues have generally remained stable and, in some cases, benefited from inflationary trends and higher interest rates, these factors are not expected to continue at the same pace. As a result, future growth in the City’s major revenue sources is anticipated to be modest, with some areas experiencing minimal increases or potential softening in the near future. Ongoing uncertainty related to inflation, interest rates, national and state economic policies, and geopolitical conditions contributes to this more cautious outlook and slower projected growth.

• The County Assessor has cautioned that the 2025 assessment roll may show declines in commercial property values. In Mountain View, 11 commercial properties sold in 2024 for less than their prior purchase prices, with declines ranging from $80,000 to $80.3 million.

Assessment appeals are projected to reduce General Operating Fund revenue by $2.3 million. Slower home sales, sustained high home prices, and commercial valuation corrections are reflected in the FY 2025–26 Adopted Budget. Overall, property tax revenues are expected to increase 4.8 percent, a notably slower rate than in recent years.

• Sales tax revenue is projected to increase slightly for Fiscal Year 2025-26, reflecting the anticipated opening of new sales tax-generating businesses during the fiscal year. Forecast years beyond Fiscal Year 2025-26 anticipate a return to normal growth, with annual increases of approximately 3%.

• Business license revenue is projected to decline 4.5% due to known and potential layoffs.

Utility Users Tax (UUT) revenue is projected to be 8.1% higher than the current fiscal year when excluding the $1.1 million in prior year revenue recognized in Fiscal Year 2024-25, 23 primarily due to higher energy-related collections. Transient Occupancy Tax (TOT) revenue is expected to increase slightly relative to the current fiscal year, excluding the late payments received in the prior fiscal year.

• Cost-of-service studies were completed for all three utility funds during Fiscal Year 2023-

24. As a result, utility rates were adjusted to reflect the true cost of providing services rather than applying across-the-board rate increases. The Fiscal Year 2025-26 adopted rates for the Water, Wastewater, and Solid Waste Management Funds vary due to multi- year implementation of rate structure adjustments, with impacts differing by account type and billed usage. Effective July 1, 2025, the adopted rates reflect total revenue increases of 5% for the Water Fund, 6% for the Wastewater Fund, and 3% for the Solid Waste Fund.

REQUESTS FOR INFORMATION

These financial statements are intended to provide residents, taxpayers, investors, and creditors with a general overview of the City’s finances. Questions concerning any of the information provided in this report or requests for additional financial information should be directed to the Finance and Administrative Services Department, 500 Castro Street, P.O. Box 7540, Mountain View, California, 94039-7540, or [email protected]. 24 BASIC

FINANCIAL STATEMENTS
25 This page intentionally left blank
26 GOVERNMENT-WIDE

FINANCIAL STATEMENTS
27 This page intentionally left blank
28 City of Mountain View
Statement of Net Position
June 30, 2025
(Dollars in Thousands)
Governmental Business-type
Activities Activities Total
ASSETS
Current assets:

Cash and investments 959,732$ 104,075$ 1,063,807$ Restricted cash and investments 75,044 1 75,045 Receivables:

Accounts 3,176 17,657 20,833 Taxes 7,222 - 7,222 Interest 5,598 1,039 6,637 Leases 10,966 - 10,966 Internal balances (59,816) 59,816 - Inventories 869 - 869 Deposits and prepaid items 21,179 - 21,179 Total current assets 1,023,970 182,588 1,206,558 Noncurrent assets:

Capital assets:

Nondepreciable 344,221 40,782 385,003 Depreciable 977,212 212,166 1,189,378 Less accumulated depreciation (680,716) (138,185) (818,901) Total capital assets 640,717 114,763 755,480 Loans and notes 135,021 - 135,021 Lease Receivable 730,043 - 730,043 Total noncurrent assets 1,505,781 114,763 1,620,544 Total assets 2,529,751 297,351 2,827,102

DEFERRED OUTFLOWS OF RESOURCES
Pension items 58,689 5,564 64,253 OPEB items 20,058 - 20,058 Total deferred outflows of resources 78,747 5,564 84,311

LIABILITIES
Current liabilities:

Accounts payable and accrued liabilities 30,612 4,707 35,319 Interest payable 1,633 - 1,633 Refundable deposits 7,189 438 7,627 Unearned revenue 7,666 - 7,666 Compensated absences - current 2,855 212 3,067 Accrued self-insurance costs - current 4,202 - 4,202 Long-term debt - current portion 3,035 1,466 4,501 Total current liabilities 57,192 6,823 64,015 Noncurrent liabilities:

Compensated absences 14,041 1,526 15,567 Accrued self-insurance costs 8,833 - 8,833 Net pension liability 234,342 21,538 255,880 Net OPEB liability 6,550 - 6,550 Long-term debt 138,658 8,406 147,064 Total noncurrent liabilities 402,424 31,470 433,894 Total liabilities 459,616 38,293 497,909

DEFERRED INFLOWS OF RESOURCES
OPEB items 4,109 - 4,109 Leases 697,361 - 697,361 Total deferred inflows of resources 701,470 - 701,470

NET POSITION
Net investment in capital assets 619,378 104,891 724,269 Restricted for:

Capital projects 331,590 - 331,590 Debt service 45 - 45 Low and moderate income housing 205,847 - 205,847 Shoreline Regional Park Community 121,681 - 121,681 Grants and regulations 79,981 - 79,981 Total restricted 739,144 - 739,144 Unrestricted 88,890 159,731 248,621 Total net position 1,447,412$ 264,622$ 1,712,034$ Primary Government
See accompanying Notes to the Basic Financial Statements. 29 City of Mountain View
Statement of Activities
For the year ended June 30, 2025
(Dollars in Thousands)
Operating Capital
Charges for Grants and Grants and
Functions/Programs Expenses Services Contributions Contributions Total Governmental activities:

General government 75,532$ 49,074$ 380$ -$ 49,454$ Public safety 99,773 1,566 1,046 - 2,612 Public works 43,091 3,061 5,272 8,046 16,379 Community development 21,192 7,433 1,067 5,050 13,550 Culture and recreation 52,228 9,188 151 - 9,339 Interest on long-term debt 3,953 - - - - Total governmental activities 295,769 70,322 7,916 13,096 91,334 Business-type Activities:

Water 43,870 47,575 - 339 47,914 Wastewater 29,516 35,274 - 428 35,702 Solid Waste 17,410 16,874 - - 16,874 Total business-type activities 90,796 99,723 - 767 100,490 Total primary government 386,565$ 170,045$ 7,916$ 13,863$ 191,824$ General Revenues:

Taxes:

Property taxes
Sales taxes
Transient occupancy taxes
Utility users tax
Nonregulatory franchise and business, unrestricted
Intergovernmental - not restricted to specific programs Investment income
Total taxes
Transfers
Total general revenues and transfers
Change in net position
Net position - beginning of year
Restatements
Beginning of year, as restated
Net position - end of year
Program Revenues
See accompanying Notes to the Basic Financial Statements. 30 Governmental Business-Type
Activities Activities Total
(26,078)$ -$ (26,078)$ (97,161) - (97,161) (26,712) - (26,712) (7,642) - (7,642) (42,889) - (42,889) (3,953) - (3,953) (204,435) - (204,435) - 4,044 4,044 - 6,186 6,186 - (536) (536) - 9,694 9,694 (204,435) 9,694 (194,741) 164,321 - 164,321 21,177 - 21,177 10,565 - 10,565 11,084 - 11,084 12,208 - 12,208 374 - 374 71,041 5,769 76,810 290,770 5,769 296,539 (2,430) 2,430 - 288,340 8,199 296,539 83,905 17,893 101,798 1,368,186 247,167 1,615,353 (4,679) (438) (5,117) 1,363,507 246,729 1,610,236 1,447,412$ 264,622$ 1,712,034$ and Changes in Net Position
Net (Expense) Revenue
See accompanying Notes to the Basic Financial Statements. 31 This page intentionally left blank
32 FUND

FINANCIAL STATEMENTS
Governmental Fund Financial Statements
Proprietary Fund Financial Statements
Fiduciary Fund Financial Statements
33 City of Mountain View
Balance Sheet
Governmental Funds
June 30, 2025
(Dollars in Thousands)
ASSETS
Cash and investments 229,039$ 126,854$ 96,941$ Restricted cash and investments 195 7,703 - Receivables:

Accounts 2,179 142 11 Taxes 7,222 - - Interest 1,791 1,509 585 Loans and notes 2,033 - 100,774 Leases 740,875 - - Inventory 757 - - Deposits and prepaid items 3,777 - - Total assets 987,868$ 136,208$ 198,311$

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES

Liabilities:

Accounts payable and accrued liabilities 16,094$ 6,655$ 197$ Refundable deposits 6,635 57 376 Unearned revenue 2,102 112 4,984 Advances from other funds - - - Total liabilities 24,831 6,824 5,557

Deferred Inflows of Resources
Deferred inflows - leases 697,232 - - Total deferred inflows of resources 697,232 - -

Fund Balances:

Nonspendable 6,567 - - Restricted 449 129,384 192,754 Committed 91,754 - - Assigned 4,899 - - Unassigned 162,136 - - Total fund balances 265,805 129,384 192,754 Total liabilities, deferred inflows of
resources and fund balances 987,868$ 136,208$ 198,311$ General Fund
Shoreline
Regional Park
Community Housing Fund
Special Revenue Funds
See accompanying Notes to the Basic Financial Statements. 34 Nonmajor Total
Governmental Governmental
Funds Funds
334,388$ 44,338$ 81,017$ 912,577$ 59,946 - 6,098 73,942 20 - 824 3,176 - - - 7,222 - 428 964 5,277 - - 32,214 135,021 - 134 - 741,009 - - 112 869 - 17,000 - 20,777 394,354$ 61,900$ 121,229$ 1,899,870$ 6,066$ 5$ 543$ 29,560$ - 55 66 7,189 - 56 412 7,666 59,816 - - 59,816 65,882 116 1,021 104,231 - 129 - 697,361 - 129 - 697,361 - - 112 6,679 328,472 61,655 98,903 811,617 - - 21,233 112,987 - - - 4,899 - - (40) 162,096 328,472 61,655 120,208 1,098,278 394,354$ 61,900$ 121,229$ 1,899,870$ Park Land
Dedication
Capital Project
Capital Project
General Capital
Project
See accompanying Notes to the Basic Financial Statements. 35 This page intentionally left blank
36 Total Fund Balances - Total Governmental Funds 1,098,278$ Capital assets used in governmental activities were not current financial resources.

Therefore, they were not reported in the Governmental Funds Balance Sheet.

Except for the internal service funds reported below, the capital assets were adjusted as follows:

Government-Wide
Statement of Net
Position
Internal Service
Funds Total
Nondepreciable 344,221$ -$ 344,221$ Depreciable, net 296,496 - 296,496 Total capital assets 640,717$ -$ 640,717 Internal service funds were used by management to charge the costs of certain activities, such as insurance, to individual funds. The assets and liabilities of the Internal service funds were included in governmental activities in the Government- Wide Statement of Net Position. 34,781
In the Government-Wide Financial Statements, deferred employer contributions for pension and OPEB, certain differences between actuarial estimates and actual results, and other adjustments resulting from changes in assumptions and benefits are deferred in the current year.

Government-Wide
Statement of Net
Position
Internal Service
Funds Total
Deferred outflows of resources related to pension 58,689 - 58,689 Deferred outflows of resources related to OPEB 20,058 - 20,058 Deferred inflows of resources related to pension - - - Deferred inflows of resources related to OPEB (4,109) - (4,109) Long-term liabilities were not due and payable in the current period. Therefore, they were not reported in the Governmental Funds Balance Sheet.

Government-Wide
Statement of Net
Position
Internal Service
Funds Total
Compensated absences - due within one year (2,855)$ 15$ (2,840) Accrued self-insurance costs - due within one year (4,202) 4,202 - Interest payable (1,633) - (1,633) Long-term debt - due within one year (3,035) - (3,035) Compensated absences - due in more than one year (14,041) 97 (13,944) Accrued self-insurance costs - due in more than one year (8,833) 8,833 - Long-term debt - due in more than one year (138,658) - (138,658) Net pension liability (234,342) - (234,342) Net OPEB liability (6,550) - (6,550) Total long-term liabilities (414,149)$ 13,147$ (401,002) Net Position of Governmental Activities 1,447,412$
City of Mountain View
Reconciliation of the Governmental Funds Balance Sheet
to the Government-Wide Statement of Net Position
June 30, 2025
Amounts reported for governmental activities in the statement of net position are different because:
(Dollars in Thousands)
See accompanying Notes to the Basic Financial Statements. 37 City of Mountain View
Statement of Revenues, Expenditures and Changes in Fund Balances Governmental Funds
For the year ended June 30, 2025
(Dollars in Thousands)
REVENUES:

Property taxes 89,770$ 73,235$ -$ Sales taxes
21,177 - - Other taxes 29,435 - - Licenses, permits and fees 10,840 - - Fines and forfeitures 746 - - Use of money and property 54,964 8,997 5,518 Intergovernmental 1,414 - 838 Charges for services 22,942 56 49 Developer fees and contributions 494 - 2,104 Other 5,088 77 225 Total revenues 236,870 82,365 8,734 EXPENDITURES:

General government 40,363 27,028 - Public safety 89,993 136 - Public works 23,466 1,728 - Community development 13,379 451 2,528 Culture and recreation 31,043 5,042 - Capital outlay 5,960 64 - Debt service:

Principal 1,433 - - Interest and fiscal charges 239 - - Total expenditures 205,876 34,449 2,528

REVENUES OVER (UNDER)
EXPENDITURES 30,994 47,916 6,206 OTHER FINANCING SOURCES (USES):

Transfers in 8,837 5,579 617 Transfers out (18,087) (33,204) (5) Initiation of SBITAs 5,407 - - Total other financing sources (uses) (3,843) (27,625) 612 Net change in fund balances 27,151 20,291 6,818 FUND BALANCES:

Beginning of year 238,654$ 109,093$ 185,936$ End of year 265,805$ 129,384$ 192,754$ General Fund
Shoreline
Regional Park
Community Housing Fund
Special Revenue Funds
See accompanying Notes to the Basic Financial Statements. 38 Nonmajor Total
Governmental Governmental
Funds Funds
-$ -$ 1,317$ 164,322$ - - - 21,177 - - 4,881 34,316 - - 296 11,136 - - - 746 21,454 3,321 4,098 98,352 1,071 - 7,545 10,868 - - 4,776 27,823 - - 317 2,915 115 - 2,295 7,800 22,640 3,321 25,525 379,455 - - 2,652 70,043 - - 256 90,385 - - 117 25,311 - - 3,357 19,715 - - 4,312 40,397 54,895 6,012 - 66,931 - - 1,860 3,293 - - 3,964 4,203 54,895 6,012 16,518 320,278 (32,255) (2,691) 9,007 59,177 65,673 5,222 12,114 98,042 (23,769) (6,202) (20,493) (101,760) - - - 5,407 41,904 (980) (8,379) 1,689 9,649 (3,671) 628 60,866 318,823$ 65,326$ 119,580 1,037,412 328,472$ 61,655$ 120,208$ 1,098,278$ Park Land
Dedication
Capital Project
Capital Project
General Capital
Project
See accompanying Notes to the Basic Financial Statements. 39 This page intentionally left blank
40 City of Mountain View
Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Government-Wide Statement of Activities For the year ended June 30, 2025
(Dollars in Thousands)
Net Change in Fund Balances - Total Governmental Funds
60,866$
Governmental funds reported capital outlay as expenditures. However, in the Government-Wide Statement of Activities, the cost of those assets was allocated over their estimated lives as depreciation expense. This was the amount of capital assets recorded in the current period, net of the amount related to internal service funds. 62,988 Depreciation expense on capital assets was reported in the Government-Wide Statement of Activities, but did not require the use of current financial resources. Therefore, depreciation expense was not reported as expenditures in the governmental funds, net of the amount related to internal service funds. (30,502) Accrued compensated leave payments were reported as expenditures in the governmental funds, however expense is recognized in the Government-Wide Statement of Activities based on earned leave accruals. (304) Repayments of long-term debt are recognized as expenditures in the governmental funds. In the government-wide statements, repayments of long-term liabilities are reported as reductions of liabilities. Expenditures for repayment of principal portion of long-term debt were not reported in the Government-Wide Statement of Activities. 3,293 Current year employer pension and OPEB contributions are recorded as expenditures in the governmental funds, however, these amounts are reported as a deferred outflow of resources in the Government-Wide Statement of Net Position. 42,427
Pension and OPEB expense reported in the Government-Wide Statement of Activities does not require the use of current financial resources, and therefore is not reported as expenditures in governmental funds. (51,092) Some expenses reported in the statement of activities do not require the use of current financial resources and therefore are not reported as expenditures in governmental funds
Change in accrued interest payable 33
Change in landfill containment 82
Change in unamortized discount/premium 217
Internal service funds were used by management to charge the costs of certain activities, such as insurance and fleet management, to individual funds. The net revenue of the internal service funds was reported with governmental activities. (4,103)
Change in Net Position of Governmental Activities 83,905$ Amounts reported for governmental activities in the Government-Wide Statement of Activities were different because:

See accompanying Notes to the Basic Financial Statements. 41 City of Mountain View
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual General Fund
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Property taxes 78,063$ 79,616$ 89,770$ 10,154$ Sales taxes 24,478 21,487 21,177 (310) Other taxes 23,676 24,948 29,435 4,487 Licenses, permits and fees 10,600 10,600 10,840 240 Fines and forfeitures 457 457 746 289 Use of money and property 33,148 33,148 54,964 21,816 Intergovernmental 727 1,104 1,414 310 Charges for services 20,466 20,466 22,942 2,476 Developer fees and contributions 586 586 494 (92) Other 2,206 3,553 5,088 1,535 Total revenues 194,407 195,965 236,870 40,905 EXPENDITURES:

Current:

General government
City council 549 582 380 202 City clerk 1,511 1,512 1,333 179 City attorney 3,901 4,166 3,239 927 City manager 16,334 17,693 8,329 9,364 Human Resources 5,948 8,190 7,194 996 Information technology 9,365 9,568 7,395 2,173 Finance and administrative services 13,890 14,182 12,493 1,689 Public safety
Fire 38,040 39,337 37,305 2,032 Police 55,187 55,924 52,688 3,236 Public works 27,750 29,945 23,466 6,479 Community development
Community development 15,985 16,237 12,638 3,599 Housing 735 771 741 30 Culture and recreation
Community services 25,219 25,755 23,155 2,600 Library services 8,564 9,052 7,888 1,164 Capital outlay 271 731 5,960 (5,229) Debt service:

Principal - - 1,433 (1,433) Interest and fiscal charges - - 239 (239) Total expenditures 223,249 233,645 205,876 27,769

REVENUES OVER (UNDER)
EXPENDITURES (28,842) (37,680) 30,994 68,674 OTHER FINANCING SOURCES (USES):

Transfers in 1,770 4,670 8,837 4,167 Transfers out (8,946) (18,086) (18,087) (1) Proceeds from long-term debt - - 5,407 5,407 Total other financing sources (uses) (7,176) (13,416) (3,843) 9,573 Net change in fund balances (36,018)$ (51,096)$ 27,151 78,247$ FUND BALANCES:

Beginning of year 238,654
End of year 265,805$
Budgeted Amounts
See accompanying Notes to the Basic Financial Statements. 42 City of Mountain View
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Shoreline Regional Park Community
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Property taxes 77,122$ 73,214$ 73,235$ 21$ Use of money and property
4,613 7,423 8,997 1,574 Charges for services 55 55 56 1 Other 45 45 77 32 Total revenues 81,835 80,737 82,365 1,628 EXPENDITURES:

Current:

General government
City attorney
70 90 - 90 Finance and administrative services 27,282 27,322 27,028 294 Public safety
Fire 193 209 97 112 Police 40 40 39 1 Public works 2,137 2,210 1,728 482 Community development
Community development 720 750 429 321 Housing 22 22 22 - Culture and recreation
Community services 5,691 5,800 5,042 758 Capital outlay 141 185 64 121 Total expenditures 36,296 36,628 34,449 2,179

REVENUES OVER (UNDER)
EXPENDITURES 45,539 44,109 47,916 3,807 OTHER FINANCING SOURCES (USES):

Transfers in - - 5,579 5,579 Transfers out (23,622) (33,586) (33,204) 382 Total other financing sources (uses) (23,622) (33,586) (27,625) 5,961 Net change in fund balances 21,917$ 10,523$ 20,291 9,768$ FUND BALANCES:

Beginning of year 109,093
End of year 129,384$
Budgeted Amounts
See accompanying Notes to the Basic Financial Statements. 43 City of Mountain View
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Housing Fund
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 2,734$ 2,734$ 5,518$ 2,784$ Intergovernmental
- 870 838 (32) Charges for services - - 49 49 Developer fees and contributions - - 2,104 2,104 Other 150 225 225 - Total revenues 2,884 3,829 8,734 4,905 EXPENDITURES:

Current:

Community development 42,674 71,556 2,528 69,028 Total expenditures 42,674 71,556 2,528 69,028

REVENUES OVER (UNDER)
EXPENDITURES (39,790) (67,727) 6,206 73,933 OTHER FINANCING SOURCES (USES):

Transfers in
543 543 617 74 Transfers out (5) (5) (5) - Total other financing sources (uses) 538 538 612 74 Net change in fund balances (39,252)$ (67,189)$ 6,818 74,007$ FUND BALANCES:

Beginning of year 185,936
End of year 192,754$
Budgeted Amounts
See accompanying Notes to the Basic Financial Statements. 44 City of Mountain View
Statement of Net Position
Proprietary Funds
June 30, 2025
(Dollars in Thousands)
Governmental
Activities -
Internal Service
Totals Funds
ASSETS
Current Assets:

Cash and investments 44,717$ 41,284$ 18,074$ 104,075$ 47,155$ Restricted cash and investments 1 - - 1 1,102 Receivables:

Accounts 7,629 5,851 4,177 17,657 - Interest 442 478 119 1,039 321 Deposits and prepaid items - - - - 402 Total current assets 52,789 47,613 22,370 122,772 48,980 Noncurrent:

Advances to other funds 26,257 32,905 654 59,816 - Capital assets:

Nondepreciable capital assets 20,608 19,299 875 40,782 - Depreciable capital assets 122,229 78,601 11,336 212,166 178 Accumulated depreciation (80,027) (50,432) (7,726) (138,185) (178) Net capital assets 62,810 47,468 4,485 114,763 - Total noncurrent assets 89,067 80,373 5,139 174,579 - Total assets 141,856 127,986 27,509 297,351 48,980 DEFERRED OUTFLOWS OF RESOURCES Deferred outflow - pension related 2,801 1,602 1,161 5,564 - Total deferred outflows of resources 2,801 1,602 1,161 5,564 - LIABILITIES Current liabilities:

Accounts payable and accrued liabilities 2,468 378 1,861 4,707 1,052 Refundable deposits 438 - - 438 - Compensated absences - current 97 67 48 212 15 Accrued self-insurance costs - current - - - - 4,202 Long-term debt - current portion 825 641 - 1,466 - Total current liabilities 3,828 1,086 1,909 6,823 5,269 Noncurrent liabilities:

Compensated absences 750 464 312 1,526 97 Accrued self-insurance costs - - - - 8,833 Net pension liability 10,888 6,021 4,629 21,538 - Net OPEB liability - - - - - Long-term debt 2,425 5,981 - 8,406 - Total noncurrent liabilities 14,063 12,466 4,941 31,470 8,930 Total liabilities 17,891 13,552 6,850 38,293 14,199

DEFERRED INFLOWS OF RESOURCES
Total deferred inflows of resources - - - - -

NET POSITION
Net investment in capital assets 59,560 40,846 4,485 104,891 - Unrestricted 67,206 75,190 17,335 159,731 34,781 Total net position 126,766$ 116,036$ 21,820$ 264,622$ 34,781$ Business-Type Activities
Water Wastewater Solid Waste
See accompanying Notes to the Basic Financial Statements. 45 City of Mountain View
Statement of Revenues, Expenses and Changes in Net Position Proprietary Funds
For the year ended June 30, 2025
(Dollars in Thousands)
Governmental
Activities -
Internal
Service
Totals Funds
OPERATING REVENUES:

Charges for services 45,564$ 34,421$ 16,690$ 96,675$ 15,832$ Other 2,011 853 184 3,048 2,934 Total operating revenues 47,575 35,274 16,874 99,723 18,766 OPERATING EXPENSES:

Salaries and related expenses 8,287 5,150 3,704 17,141 8,527 Insurance claims and premiums - - - - 9,214 Cost of sales and services 25,461 17,055 10,125 52,641 - General and administrative 4,295 3,410 3,121 10,826 9,065 Depreciation 5,480 3,670 460 9,610 - Total operating expenses 43,523 29,285 17,410 90,218 26,806 Operating income (loss) 4,052 5,989 (536) 9,505 (8,040) NONOPERATING REVENUES (EXPENSES):

Investment income 2,305 2,345 1,119 5,769 2,649 Interest expense (172) (231) - (403) - Loss on disposal of capital assets (175) - - (175) - Total nonoperating revenues (expenses) 1,958 2,114 1,119 5,191 2,649 Income before contributions and transfers 6,010 8,103 583 14,696 (5,391) CONTRIBUTIONS AND TRANSFERS:

Capital contributions - developer fees 63 45 - 108 - Capital contributions - others 276 383 - 659 - Transfers in 922 1,099 1,004 3,025 5,089 Transfers out (348) (143) (104) (595) (3,801) Total contributions and transfers 913 1,384 900 3,197 1,288 Change in net position 6,923 9,487 1,483 17,893 (4,103) NET POSITION:

Beginning of year 120,060$ 106,668$ 20,439$ 247,167 38,909 Restatements (217) (119) (102) (438) (25) Beginning of year, as restated 119,843 106,549 20,337 246,729 38,884 End of year 126,766$ 116,036$ 21,820$ 264,622$ 34,781$ Business-Type Activities
Water Wastewater Solid Waste
See accompanying Notes to the Basic Financial Statements. 46 City of Mountain View
Statement of Cash Flows
Proprietary Funds
For the year ended June 30, 2025
(Dollars in Thousands)
Governmental
Activities -
Internal Service
Totals Funds
CASH FLOWS FROM OPERATING ACTIVITIES:

Cash received from customers 44,955$ 34,063$ 16,761$ 95,779$ -$ Cash received from Interfund charges - - - - 18,766 Cash paid to suppliers for goods and services (33,536) (20,179) (14,074) (67,789) (8,307) Cash paid to employees for services (7,997) (4,988) (3,639) (16,624) (8,527) Claims paid - - - - (7,973) Other receipts 2,011 853 184 3,048 - Net cash provided by (used in) operating activities 5,433 9,749 (768) 14,414 (6,041) CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES:

Transfers in 922 1,099 1,004 3,025 5,089 Transfers out (348) (143) (104) (595) (3,801) Advances paid to other funds 3,798 (13,723) 57 (9,868) - Net cash provided by (used in)
noncapital financing activities 4,372 (12,767) 957 (7,438) 1,288 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:

Principal paid on capital debt (755) (619) - (1,374) - Interest paid (172) (231) - (403) - Acquisition of capital assets (5,987) (6,583) (1,628) (14,198) - Contributions from developers 63 45 - 108 - Contributions from others 276 383 - 659 - Net cash provided by (used in)
capital and related financing activities (6,575) (7,005) (1,628) (15,208) - CASH FLOWS FROM INVESTING ACTIVITIES:

Interest received 2,225 2,209 1,101 5,535 2,586 Net cash provided by (used in) investing activities 2,225 2,209 1,101 5,535 2,586 Net cash flows 5,455 (7,814) (338) (2,697) (2,167) CASH AND INVESTMENTS - Beginning of year 39,263 49,098 18,412 106,773 50,424 CASH AND INVESTMENTS - End of year 44,718$ 41,284$ 18,074$ 104,076$ 48,257$ RECONCILIATION OF CASH AND CASH EQUIVALENTS:

Cash and investments 44,717 41,284 18,074 104,075 47,155 Restricted cash and investments 1 - - 1 1,102 Total cash and cash equivalents 44,718$ 41,284$ 18,074$ 104,076$ 48,257$

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

Operating income (loss) 4,052$ 5,989$ (536)$ 9,505$ (8,040)$ Adjustments to reconcile operating income (loss) to
net cash provided by (used in) operating activities:

Depreciation 5,480 3,670 460 9,610 - Changes in assets and liabilities:

Accounts receivable (588) (358) 71 (875) - Deposits and prepaid items - - - - (12) Accounts payable and accrued liabilities (3,780) 286 (828) (4,322) 770 Refundable deposits (21) - - (21) - Accrued compensated absences 57 17 (27) 47 - Accrued self-insurance costs - - - - 1,241 Deferred outflows of resources - OPEB items 104 97 137 338 - Deferred outflows of resources - pension items 866 521 357 1,744 - Deferred inflows of resources - pension items (76) (37) (34) (147) - Net pension liability (557) (339) (231) (1,127) - Net OPEB liability (104) (97) (137) (338) - Net cash provided by (used in) operating activities 5,433$ 9,749$ (768)$ 14,414$ (6,041)$ Business-Type Activities
Water Wastewater Solid Waste
See accompanying Notes to the Basic Financial Statements. 47 City of Mountain View
Statement of Fiduciary Net Position
Fiduciary Funds
June 30, 2025
(Dollars in Thousands)
Custodial
Funds
ASSETS
Cash and investments 50$
Restricted cash and investments 400
Total assets 450

LIABILITIES

Total liabilities -

NET POSITION
Restricted for:

Individuals, organizations, and other governments 450
Total Net Position 450$
See accompanying Notes to the Basic Financial Statements. 48 City of Mountain View
Statement of Changes in Fiduciary Net Position
Fiduciary Funds
For the year ended June 30, 2025
(Dollars in Thousands)
Custodial
Funds
ADDITIONS:

Fees and others collected 475$
Total additions 475
DEDUCTIONS:

Distribution to others 518
Total deductions 518
Change in net position (43)
NET POSITION:

Beginning of year 670
Restatements (177)
Beginning of year, as restated 493
End of year 450$
See accompanying Notes to the Basic Financial Statements. 49 This page intentionally left blank
50 NOTES TO BASIC

FINANCIAL STATEMENTS

51 This page intentionally left blank.
52 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Mountain View (City) was incorporated in 1902 and is a charter city, having had its charter granted by the State of California in 1952. The City operates under the Council-Manager form of government and provides the following services: public safety (police, fire, and paramedic), public works, utilities (water, wastewater, and solid waste), community development, cultural and recreation services and administration and support services.

A. Reporting Entity
The accompanying basic financial statements present the financial activities of the City, which is the primary government presented, along with the financial activities of its component units, which are entities for which the City is financially accountable. Although they are separate legal entities, blended component units are in substance part of the City's operations and are reported as an integral part of the City's financial statements. The City's component units, which are described below, are all blended.

The Mountain View Shoreline Regional Park Community (Shoreline Community) - is a separate government entity created for the purpose of developing approximately 1,550 acres of bayfront lands. The Shoreline Community’s governing board is the same as the City and the City’s management has operational responsibility for the Shoreline Community. Its financial activities have been blended in the accompanying financial statements in the Shoreline Regional Park Community Special Revenue Fund and the nonmajor debt service funds. Separate financial statements for the Shoreline Community are also included as a component of the City’s Annual Comprehensive Financial Report.

The City of Mountain View Capital Improvements Financing Authority (Financing Authority) - is a separate government entity whose purpose is to assist with the financing or refinancing of certain public capital improvements within the City. The Financing Authority’s governing board is the same as the City, the Financing Authority provides services solely to the City, and a financial benefit/burden relationship exists between the City and the Financing Authority. Its financial activities have been blended in the accompanying financial statements in the nonmajor debt service funds. Separate financial statements for the Financing Authority are not required and therefore, not issued.

B. Basis of Presentation
The City’s basic financial statements are prepared in conformity with accounting principles generally accepted in the United States of America. The Governmental Accounting Standards Board (GASB) is the acknowledged standard setting body for establishing accounting and financial reporting standards followed by governmental entities. These standards require that the financial statements described below be presented.

Government-Wide Financial Statements
The Statement of Net Position and the Statement of Activities display information about the primary government (the City and its component units). These statements include the financial activities of the overall City government, except for fiduciary activities. Eliminations have been made to minimize the double counting of internal activities. These statements distinguish between the governmental and business-type activities of the City. Governmental activities generally are financed through taxes, intergovernmental revenues and other nonexchange transactions. Business-type activities are financed in whole or in part by fees charged to external parties.
53 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) B. Basis of Presentation (Continued)
Government-Wide Financial Statements (Continued)
The Statement of Activities presents a comparison between direct expenses and program revenues for each segment of the business-type activities of the City and for each function of the City’s governmental activities.

Direct expenses are those that are specifically associated with a program or function and, therefore, are clearly identifiable to a particular function. Program revenues include (a) charges paid by the recipients of goods or services offered by the programs, (b) grants and contributions that arise from mandatory and voluntary nonexchange transactions with other governments, organizations, or individuals that are restricted for use in a particular program, and (c) grants and contributions of capital assets or resources that are restricted for capital purposes. Revenues that are not classified as program revenues, including all taxes, are presented as general revenues.

Fund Financial Statements
The fund financial statements provide information about the City's funds, including fiduciary funds and blended component units. Separate statements for each fund category - governmental, proprietary, and fiduciary - are presented. The emphasis of fund financial statements is on major individual governmental and enterprise funds, each of which is displayed in a separate column. All remaining governmental and enterprise funds are aggregated and reported as nonmajor funds.

Proprietary fund operating revenues, such as charges for services, result from exchange transactions associated with the principal activity of the fund. Exchange transactions are those in which each party receives and gives up essentially equal values. Nonoperating revenues, such as contributions and investment income, result from nonexchange transactions or ancillary activities.

C. Major Funds
Major funds are defined as funds that have either assets combined with deferred outflow of resources, liabilities combined with deferred inflow of resources, revenues or expenditures/expenses equal to 10.0 percent of their fund-type total and 5.0 percent of the grand total of governmental and enterprise funds.

Major governmental and business-type funds are identified and presented separately in the fund financial statements. All other funds, called nonmajor funds, are combined and reported in a single column, regardless of their fund-type. The General Fund is always a major fund, and the City may select other funds it believes should be presented as major funds.

The City reports major governmental funds in the basic financial statements as follows:

General Fund - This 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 another fund.

Shoreline Regional Park Community Fund (Special Revenue) - This fund receives property tax revenues on properties within the Shoreline Community. The fund accounts for the revenues and expenditures of the Shoreline Community.

Housing Fund (Special Revenue) - This fund accounts for fees paid by developers to provide for increasing and improving the supply of extremely low, very low, low, and moderate income housing (affordable housing).
54 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) C. Major Funds (Continued)
General Capital Projects Fund (Capital Projects) - This fund accounts for all capital improvement projects activities.

Park Land Dedication Capital Projects Fund (Capital Projects) - This fund accounts for revenues derived from fees on residential subdivisions used for park and recreation projects.

The City reports all of its enterprise funds as major funds in the accompanying financial statements:

Water Fund – This fund accounts for the revenues and expenses related to the operation, maintenance and capital outlay required to supply, distribute and meter water. The City has agreements with the San Francisco Public Utilities Commission and the Santa Clara Valley Water District for the supply of wholesale water.

Wastewater Fund – This fund accounts for the revenues and expenses related to the operation, maintenance and capital outlay required to provide wastewater services. The City has an agreement with the City of Palo Alto to purchase treatment capacity at the Palo Alto Regional Water Quality Control Plant (Treatment Plant).

Solid Waste Fund – This fund accounts for the revenues and expenses related to disposal services, recycling operations, other solid waste operations, capital outlay and certain costs related to maintenance of the closed landfill sites. Collection operations are provided by an outside private contractor. The City has an agreement with the City of Sunnyvale for disposal transfer capacity at the Sunnyvale Materials and Recovery Transfer (SMaRT®) Station.

The City also reports the following fund types:

Internal Service funds – These funds account for equipment maintenance and replacement, workers’ compensation insurance, unemployment self-insurance, liability self-insurance, retirees’ health plan, and employee benefits plan, all of which are provided to other funds on a cost-reimbursement basis.

Custodial funds – These funds are fiduciary funds used to report fiduciary activities that are not required to be reported in pension (and other employee benefit) trust funds, investment trust funds, or private purpose trust funds. These include custodial balances and activities of the labor unions and Center for Performing Arts. The financial activities of these funds are excluded from the government-wide financial statements, but are presented in separate fiduciary fund financial statements.

D. Basis of Accounting
The government-wide, proprietary fund, and fiduciary fund financial statements are reported using the economic resources measurement focus and the full accrual basis of accounting. Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place.
55 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) D. Basis of Accounting (Continued)
Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this method, revenues are recognized when measurable and available.

The City considers all revenues, except sales taxes, reported in the governmental funds to be available if the revenues are collected within sixty days after fiscal year end. A ninety-day availability period is used for sales taxes in order to include the State of California (State) final distribution of sales taxes revenue for the fiscal year. Expenditures are recorded when the related fund liability is incurred, except for principal and interest on long-term debt, claims and judgments, landfill containment costs and compensated absences, which are recognized as expenditures to the extent they have matured and are due and payable at year end. Capital asset acquisitions are reported as expenditures in governmental funds. Proceeds from long-term debt issuance and leases financing are reported as other financing sources.

Non-exchange transactions, in which the City gives or receives value without directly receiving or giving equal value in exchange, include property taxes, grants, entitlements and donations. On the accrual basis, revenues from property taxes are recognized in the fiscal year for which the taxes are levied. Revenues from grants, entitlements and donations are recognized in the fiscal year in which all eligibility requirements have been satisfied.

Those revenues susceptible to accrual are property taxes, sales taxes, certain intergovernmental revenues, transient occupancy taxes, utility user taxes, earned grant entitlements, special assessments due within the current fiscal year and investment revenue. All other revenue items are considered to be measurable and available only when cash is received.

Grant revenues are recognized in the fiscal year in which all eligibility requirements are met. Under the terms of grant agreements, the City may fund certain programs with a combination of cost -reimbursement grants, categorical block grants and general revenues. Thus, both restricted and unrestricted net position may be available to finance program expenditures. The City’s policy is to first apply restricted grant resources to such programs, followed by general revenues if necessary.

Certain indirect costs are included in program expenses reported for individual functions and activities.

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

Amounts reported as program revenues include 1) charges to customers or applicants for goods or services, 2) operating grants and contributions and 3) capital grants and contributions, including special assessments.

Internally dedicated resources and taxes are reported as general revenues rather than as program revenues. 56 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) D. Basis of Accounting (Continued)
Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of the City’s enterprise funds and internal service funds are charges to customers for sales and services. The City also recognizes as operating revenue the portion of connection fees intended to recover the cost of connecting new customers to the system. Operating expenses for enterprise funds and internal service funds include the cost of sales and services, administrative expenses and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses.

When both restricted and unrestricted resources are available for use, it is the City’s policy to use restricted resources first, then unrestricted resources as they are needed.

E. Inventory
Inventories are valued at cost (first in, first out). Inventories of the General Fund consist of expendable supplies held for consumption. The cost is recorded as expenditures at the time individual inventory items are consumed. Inventories of the Shoreline Golf Links Nonmajor Special Revenue Fund consist of merchandise held for resale to consumers. The cost is recorded as expenditures at the time individual inventory items are sold. Inventories of supplies are reported at cost, whereas inventories held for resale are reported at lower of cost or market.

F. Prepaids
Certain payments to vendors for services applicable to future accounting periods are recorded as prepaids in both the government-wide financial and fund financial statements. The City follows consumption method of recognizing revenue and as such prepaid amounts are expensed during the periods benefited.

G. Property Taxes
The County of Santa Clara (County) assesses properties and it bills, collects, and distributes property taxes to the City. The County remits to the City the entire amount levied and handles all delinquencies, retaining interest and penalties. Secured and unsecured property taxes are levied on July 1 for the fiscal year.

Secured property tax becomes a lien on January 1 and is due in two installments, on November 1 and February 1. It becomes delinquent after December 10 and April 10, respectively. Unsecured property tax bills are distributed in July and are due upon receipt, and become delinquent after August 31. Collection of delinquent accounts is the responsibility of the County, which retains all penalties.

The term “unsecured” refers to taxes on personal property other than real estate, land and buildings and are secured by liens on the property owner. Property tax revenues are recognized by the City in the fiscal year they are levied, provided they become available as defined above.

57 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) H. Compensated Absences
Compensated absences, representing earned but unused vacation, sick leave pay and related costs, are reported in the Statement of Net Position. The City implemented GASB Statement No. 101, Compensated Absences during fiscal year 2024-25. Liabilities for leave are assumed to be accrued using the first in, first out method, meaning the leave that was earned previously is used or paid or settled first. The City has recorded a liability only when it is more likely than not that the leave will be taken or paid for. All compensated absences and related costs are accrued when incurred in the government-wide and proprietary fund financial statements. The City uses the vesting method for the calculation of compensated absences.

I. Deferred Outflows and Inflows of Resources
In addition to assets, the Statement of Net Position and Balance Sheets report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net assets or fund balance that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then.

In addition to liabilities, the Statement of Net Position and Balance Sheets report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets or fund balance that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time.

J. Pension and Other Postemployment Benefits (OPEB) Items For purposes of measuring the net pension liability and net OPEB liability, deferred outflows/inflows of resources related to pension and OPEB, pension and OPEB expenses, information about the fiduciary net position of the City’s Pension and OPEB plans, and additions to/deductions from the plans’ fiduciary net positions have been determined on the same basis as they are reported by the California Public Employees’ Retirement System (CalPERS) and the California Employer’s Retiree Benefit Trust (CERBT) Fund Program, respectively. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. CalPERS plan member contributions are recognized in the period in which the contributions are due. Investments are reported at fair value. The governmental activities’ share of net pension liability and net OPEB liability are typically liquidated by the General Fund.

K. Effects of New GASB Pronouncements
The City adopted new accounting standards in order to conform to the following Governmental Accounting Standards Board Statements in Fiscal Year 2024-25:

1. In June 2022, the GASB issued Statement No. 101, Compensated Absences. The objective of this statement is to better meet the information needs of financial statement users by updating the recognition and measurement guidance for compensated absences. That objective is achieved by aligning the recognition and measurement guidance under a unified model and by amending certain previously required disclosures. Implementation of these requirements has significant impact on the City’s Sick leave balance. The City restated its beginning fund balances in accordance with GASB 100- Accounting Changes and Error Corrections as part of implementing this standard. See disclosure in Note

15. 58
City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) K. Effects of New GASB Pronouncements (Continued)
In December 2024, the GASB issued Statement No. 102, Certain Risk Disclosures. The objective of this Statement is to provide users of government financial statements with essential information about risks related to a government’s vulnerabilities due to certain concentrations or constraints. Implementation of these requirements did not have a significant impact on the City’s financial statements for the fiscal year ended June 30, 2025.

The City is currently analyzing its accounting practices to identify the potential impact on the financial statements for the GASB statements as follows:

1. In April 2025, the GASB issued Statement No. 103, Financial Reporting Model Improvements. The objective of this Statement is to improve key components of the financial reporting model to enhance its effectiveness in providing information that is essential for decision making and assessing a government’s accountability. The requirements of this statement are going to be effective for the City’s fiscal year ending June 30, 2026.

2. In September 2025, the GASB issued Statement No. 104, Disclosure of Certain Capital Assets – The primary objective of this Statement is to provide users of government financial statements with essential information about certain types of capital assets. This Statement requires certain types of capital assets to be disclosed separately in the capital assets note disclosures required by Statement 34. Lease assets recognized in accordance with Statement No. 87, Leases, and intangible right-to-use assets recognized in accordance with Statement No. 94, Public-Private and Public-Public Partnerships and Availability Payment Arrangements, should be disclosed separately by major class of underlying asset in the capital as-sets note disclosures. Subscription assets recognized in accordance with Statement No. 96, Subscription-Based Information Technology Arrangements, also should be separately disclosed. In addition, this Statement requires intangible assets other than those three types to be disclosed separately by major class. The requirements of this statement are going to be effective for the City’s fiscal year ending June 30, 2026.

L. Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenditures/expenses during the reporting period. Actual results could differ from those estimates.

59 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 2 BUDGETS AND BUDGETARY ACCOUNTING
A. Budgets and Budgetary Accounting
The City adopts an annual budget before July 1 for the ensuing fiscal year for the General Fund and all Special Revenue Funds except for the Deferred Assessments Fund.

No annual budgets are adopted for the Debt Service Funds. Repayment of the debt is authorized by the adoption of the indenture provisions for the life of the debt.

The Storm Drain Construction and Park Land Dedication Capital Projects Funds are budgeted annually. All other Capital Projects Funds are budgeted on a project basis. Such budgets are based on a project time frame, rather than a fiscal year operating time frame, whereby unused appropriations continue until project completion.

Budget appropriations become effective on each July 1. The City Council may amend the budget during the fiscal year. The legal level of budgetary control has been established at the fund and department level, meaning that total appropriations for each fund and department may not be exceeded without City Council authorization. Appropriations lapse at the end of the fiscal year to the extent they have not been expended or encumbered.

All Governmental Fund Type annual budgets are presented on a basis consistent with the basic financial statements prepared in accordance with GAAP.

Budgeted revenue amounts represent the original budget modified by adjustments authorized during the fiscal year. Budgeted expenditure amounts represent original appropriations adjusted for supplemental appropriations during the fiscal year and reappropriated amounts for encumbrances, grants, and donations outstanding at the end of each prior fiscal year.

The City Council must approve appropriation increases to departmental budgets; however, management may transfer Council-approved budgeted amounts within fund and departmental expenditure classifications. Judgments, settlements and certain accrual entries are not subject to budgetary control and expenditures exceeding budget due to these items do not constitute a violation of budget policy or control.

Supplemental appropriations were approved during the course of the fiscal year as needed.

B. Encumbrance Accounting
Under encumbrance accounting, purchase orders, contracts and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation. Encumbrance accounting is employed as an extension of formal budgetary integration. Encumbrances outstanding at fiscal year-end are automatically reappropriated for inclusion in the following fiscal year’s budget.

60 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 3 CASH AND INVESTMENTS
The City pools cash from all sources and all funds, except restricted cash and investments, so the pool of funds can be invested consistent with goals for safety and liquidity, while maximizing yield. Cash is pooled so individual funds can make expenditures at any time.

A. Policies
For custodial credit risk, California law requires banks and savings and loan institutions to pledge government securities with a fair value of 110.0 percent of the City’s cash on deposit, or first trust deed mortgage notes with a fair value of 150.0 percent of the deposit, as collateral for these deposits. Under California law, this collateral is held in a separate investment pool by another institution in the City’s name and places the City ahead of general creditors of the institution.

The City invests in individual investments and in investment pools. Individual investments are evidenced by specific identifiable securities instruments, or by an electronic entry registering the owner in the records of the institution issuing the security, called the book entry system. In order to increase security, the City employs the trust department of a bank as the custodian of certain City managed investments, regardless of their form.

The City’s investments are carried at fair value. The carrying value of these investments are periodically adjusted to reflect their fair value at each fiscal year end and the effects of these adjustments are included as income or expense for that fiscal year.

Investment income is allocated among funds on the basis of average daily cash and investment balances in each fund, unless there are specific legal or contractual requirements to do otherwise.

Cash and investments with an original maturity of three months or less are considered to be cash equivalents in the proprietary fund statements of cash flows because these assets are highly liquid and are expended to liquidate liabilities arising during the fiscal year.

61 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 3 CASH AND INVESTMENTS (Continued)
B. Classification
Cash and investments are classified in the financial statements based on whether or not their use is restricted under the terms of debt instruments. Investments are carried at fair value as of June 30, 2025.

Cash and investments are as follows (dollars in thousands):

Cash and investments as of June 30, 2025, consist of the following (dollars in thousands):

C. Investments Authorized by the California Government Code and the City’s Investment Policy The California Government Code and the City’s Investment Policy authorize the investment types in the following table, provided the credit ratings of the issuers are acceptable to the City; and approved percentages and maximum maturities are not exceeded. The table also identifies certain provisions of the California Government Code, or the City’s Investment Policy where the City’s Investment Policy is more restrictive, that addresses interest rate risk, credit risk and concentration of credit risk. 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.

Governmental Business-Type Fiduciary
Activities Activities Funds Total
Cash and investments 959,732$ 104,075$ 50$ 1,063,857$ Restricted cash and investments 75,044 1 400 75,445 Total cash and investments 1,034,776$ 104,076$ 450$ 1,139,302$ Cash on hand 14$
Deposits with financial institutions 4,162
Investments 1,135,126
Total cash and investments 1,139,302$
62 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 3 CASH AND INVESTMENTS (Continued)
C. Investments Authorized by the California Government Code and the City’s Investment Policy (Continued) The City’s Investment Policy and the California Government Code allow the City to invest in the following:

D. Investments Authorized by Debt Agreements
The City must maintain required amounts of cash and investments with trustees or fiscal agents under the terms of certain debt issues. These funds are unexpended bond proceeds or are pledged as reserves to be used if the City fails to meet its obligations under these debt issues. The investment of debt proceeds held by bond trustee is governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City’s Investment Policy. These debt agreements do not address interest rate, credit, and concentration of credit risks.

Maximum
Maximum Investment
Maximum Percentage of in One
Authorized Investment Type Maturity Portfolio Issuer
U.S. Treasury Obligations 5 years (A) No limit
U.S. Agency Securities 5 years 50% 25%
U.S. Agency Mortgage-backed Securities 5 years 20% 25%
Callable Securities (Treasuries, Agencies, Corp. Notes) 5 years 10% 5% Commercial Paper 180 days 15% 5%
Banker's Acceptances 180 days 20% 5%
Medium-term Notes Issued by U.S. Corporations 5 years 15% 5% Mutual Funds Invested in U.S Government Securities N/A 10% 5% Certificates of Deposit:

FDIC Insured Time Deposits 2 years 10% 5%
Collateralized Time Deposits 2 years 10% 5%
Negotiable Time Deposits 2 years 10% 5%
Municipal Bonds Issued by the City or any of its
Component Units (B) (B) (B)
Local Agency Investment Fund (LAIF) N/A 20% N/A
Joint Power Authority (JPA) Investment Pools N/A 10% N/A Supranational Securities 5 years 10% 5%
(A) The policy requires a minimum of 25 percent of the total portfolio to be invested in U.S. Treasury Obligations. The policy does not specify a maximum for this type of investment. (B) The policy allows only municipal bonds issued by the City of Mountain View or its component units at limits and maturities as approved by the City Council.
63 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 3 CASH AND INVESTMENTS (Continued)
D. Investments Authorized by Debt Agreements (Continued) The investment types that are authorized for investments held by bond trustee are as follows:

E. 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 the City manages its exposure to interest rate risk is by purchasing a combination of shorter term and longer term investments and by timing cash flows from maturities so 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. The City monitors the interest rate risk inherent in its portfolio by measuring the modified duration (modified duration is a measure of a fixed income’s cash flows using present values, weighted for cash flows as a percentage of the investments’ full price) of its portfolio. The City monitors interest rate risk inherent in investments held by the trustee by using specific identification.

Maximum
Authorized Investment Type Maturity
U.S. Treasury Obligations No Limit
U.S. Agency Securities No Limit
Deposit Accounts, Federal Funds and Banker's
Acceptances 180 days
FDIC Insured Certificates of Deposit No Limit
Commercial Paper 180 days
Money Market Mutual Funds No Limit
State and Local Agency Bonds No Limit
Insurer Approved Investment Contracts No Limit
Insurer Approved Other Forms of Investments Including
Repurchase Agreements No Limit
Local Agency Investment Fund (LAIF) No Limit
Joint Power Authority (JPA) Investment Pools No Limit
Certificate of deposit 2 years
64 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 3 CASH AND INVESTMENTS (Continued)
E. Interest Rate Risk (Continued)
The City’s interest rate risk by investment type and fair value is as follows (dollars in thousands):

Through the City’s Investments Policy, the City manages its exposure to fair value losses arising from increasing interest rates by limiting the modified duration of its investment portfolio to within 15.0 percent of the modified duration of a benchmark portfolio as defined in the Investment Policy. As of June 30, 2025, the allowed modified duration ranged from 1.67 to 2.27 years and the actual is within this range.

Investments in municipal bonds shown above represent the City’s investment in the Shoreline Regional Park Community 2018 Revenue Bonds. The balance as of June 30, 2025, is stated at amortized cost, which approximates fair value.

The City is a 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. The City reports its investment in LAIF at the fair value amount provided by LAIF, which is the same as the value of the pool share. The balance available for withdrawal is based on the accounting records maintained by the State, which are recorded on an amortized cost basis. LAIF is part of the State’s Pooled Money Investment Account (PMIA). The total balance of the PMIA is approximately $178.1 billion as of June 30, 2025. Of that amount,

97.04 percent was invested in nonderivative financial products and 2.96 percent in structured notes and asset backed securities. As of June 30, 2025, LAIF had an average maturity of 248 days.

Mutual Money Market Funds investments are available for withdrawal on demand and as of June 30, 2025, have an average maturity of less than 60 days.

Fair Value Modified Duration
Investment Type Amount (in years)
Held by the City:

LAIF 75,349$ N/A
U.S. Treasury Obligations 605,027 2.55 U.S. Agency Securities 156,671 2.06
Corporate Notes 124,573 2.71
Supranational Securities 84,851 2.54 Municipal Bonds - Shoreline Regional Park Community 2018 Revenue Bonds 2,377 3.48
Money Market Mutual Funds 13,805 N/A Held by Bond Trustee:

Money Market Mutual Funds 72,473 N/ACertificate of Deposit - 0 Total Investments 1,135,126$
65 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 3 CASH AND INVESTMENTS (Continued)
F. Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. The City’s Investment Policy is to apply the prudent investor’s standard in managing the overall portfolio. The standard states that investments shall not be made for speculation but shall be made with judgment and care, which investors of prudence, discretion and intelligence exercise considering the safety of principal, liquidity, and return on investment in this priority order. As of June 30, 2025, the City’s investment in money market mutual funds, and supranational securities are rated AAA by Standard & Poor’s.

U.S. agency securities are rated AA by Standard & Poor’s. The medium-term notes are rated between A and AA by Standard & Poor’s. The U.S. Treasury obligations are exempt from credit rating disclosure. The Municipal Bonds - Shoreline Regional Park Community 2018 Revenue Bonds are rated A+ by Standard & Poor’s. The Local Agency Investment Fund was not rated as of June 30, 2025.

G. Concentration of Credit Risk
The City’s Investment Policy regarding the amount that can be invested in any one issuer is stipulated by the California Government Code. However, the City is required to disclose investments that represent a concentration of 5.0 percent or more of investments in any one issuer other than U.S. Treasury obligations, money market mutual funds and external investment pools. As of June 30, 2025, those investments held by the City consisted of the following (dollars in thousands):

H. Fair Value Hierarchy
The City categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The hierarchy is based on the valuation inputs used to measure fair value of the assets. Level 1 inputs are quoted prices in an active market for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 inputs are significant unobservable inputs. As of June 30, 2025, All of the City’s investments are measured using level 2 inputs, except for investments in LAIF and money market mutual funds, which are not subject to the fair value hierarchy. Investments measured using level 2 inputs are valued using prices determined by the use of matrix pricing techniques maintained by the pricing vendors for these investments. Matrix pricing is used to value investments based on the investments’ relationship to benchmark quoted prices.

Issuer Investment Type Amount
Federal Home Loan Bank Federal Agency Securities 97,787$ 66 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 4 LOANS AND NOTES RECEIVABLE
As of June 30, 2025, the City’s loans and notes receivable are as follows (dollars in thousands):

The City engages in programs designed to encourage construction or improvement of housing for persons with extremely low to moderate income or other such projects. Under these programs, grants or loans are provided under favorable terms to homeowners or developers who agree to spend these funds in accordance with the City’s terms. The City does not expect to collect these loans in the near term, and most of the loan terms are deferred to the future. Any proceeds collected are restricted by grant requirements and thus these balances have been offset by a restriction of fund balance in the fund financial statements. Due to the nature of the repayment structures of the City’s housing loans, the City is not accruing interest on these loans. Interest revenue is recognized upon receipt.

These loan programs are funded by Community Development Block Grants (CDBG) funds, Home Investment Partnership Act (HOME) grant funds, Housing Fund, General Fund, and former Mountain View Revitalization Authority (Authority). With the dissolution of the Authority effective January 31, 2012, the City became the Housing Successor Agency. The balances of the loans were transferred to the Housing Successor Special Revenue Fund (Housing Successor) of the City.

Bill Wilson Center 133$
CDBG Rehabilitation 95
Central Park Apartments 1,816
East Evelyn Affordable Housing 21,700
901 E El Camino Real 7,985
950 W El Camino Real (PAH) 22,773
El Camino West Affordable Studios 3,452
Employee homebuyer Program 2,033
Franklin Street Family Apartments 12,547
Ginzton Terrace 666
HomeSafe 100
1100 La Avenida 14,737
Mid-Peninsula Support network 55
Montecito LP 12,782
MV Lot 12 Housing Partners 1,049
North Shoreline Housing 8,158
Palo Alto Housing 8,000
Project Match 132
Rengstorff Affordable Housing 8,166
San Antonio Place LP 5,465
San Veron Park 187
Sierra Vista Apartments Affordance Housing 238
SR Fountains LP 1,041
Stoney Pine Charities 124
Tyrella Gardens 1,587
Total 135,021$
67 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 4 LOANS AND NOTES RECEIVABLE (Continued)
A. Bill Wilson Center
On December 5, 2008, the City loaned $133,000 to The Bill Wilson Center, a nonprofit corporation, for the acquisition and operation of a youth and counseling services shelter. The loan was funded by CDBG funds and is due in 30 years and has a term of 3.0 percent simple interest. As of June 30, 2025, the amount of the loan outstanding is $133,000.

B. CDBG Rehabilitation
The City administers a housing rehabilitation loan program initially funded with CDBG funds. Under this program, individuals with incomes below a stated level are eligible to receive low-interest loans for rehabilitation work on their home. These loans are secured by deeds of trust, which may be subordinated with the prior written consent of the City. The loan repayments may be amortized over the life of the loans, deferred to maturity or combination of both. There are three such loans outstanding totaling $95,000 as of June 30, 2025.

C. Central Park Apartments
On July 1, 1998, the City and Housing Successor funds loaned $2.2 million to the Coalition for the acquisition and rehabilitation of a 149-unit apartment complex known as Central Park Apartments at 90 Sierra Vista Avenue to be used to provide housing for very-low- to low income seniors. The entire project was initially funded by three loans: $388,000 from Housing set aside funds to be repaid over nine years, commencing in Fiscal Year 1998-99 and bearing 3.0 percent annual interest; $1.2 million of CDBG funds to be repaid over 36 years commencing in Fiscal Year 2012-13 and bearing 3.0 percent annual interest; and $612,000 from HOME grant funds to be repaid over 21 years commencing in Fiscal Year 2004-05 and bearing 3.0 percent annual interest.

On August 19, 2004, the City loaned $498,000 to the Coalition for the rehabilitation of the Central Park Apartments. The loan was funded by CDBG funds to be repaid over 16 years commencing in Fiscal Year 2017- 18 and bearing 1.2 percent annual interest. This CDBG loan was fully paid off during Fiscal Year 2025.

On April 17, 2006, the City approved a $748,000 loan to the Coalition for the construction of the New Central Park Apartments. The loan was funded by CDBG funds with zero percent interest and repayment is deferred until January 1, 2054, or upon the repayment of the $1.3 million HOME loans described below.

On June 1, 2007, the City approved a loan of $1.3 million to fund the development cost of 104 apartments.

The loan was funded by HOME grant funds with zero percent interest and repayment is deferred until the later of January 1, 2041, or upon repayment of the $851,000 Housing Successor’s loan. The HOME loan was fully paid off during Fiscal Year 2024.

On July 24, 2007, the City approved a $405,000 loan to the Coalition for the development of the New Central Park Apartments. The loan was funded by CDBG funds with zero percent interest and final payment is deferred until July 1, 2063. As of June 30, 2025, the amount of this CDBG loan is $367,000.

68 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 4 LOANS AND NOTES RECEIVABLE (Continued)
C. Central Park Apartments (Continued)
On April 23, 2013, the City approved an additional loan of $275,000 from CDBG funds to the Coalition. The loan was used to upgrade the utilities and install energy-efficient hot water heaters in the original 149-unit apartment complex. The loan bears annual interest at 1.5 percent, with repayment deferred until calendar year 2034 or upon repayment of the $498,000 CDBG loan.

As of June 30, 2025, the total outstanding balance of all loans related to Central Park apartments is $1.8 million.

D. East Evelyn Affordable Housing
On May 31, 2016, the City entered into a loan agreement with Evelyn Avenue Family Apartments, LP for an affordable housing development at 779 East Evelyn Avenue. The total loan amount is $21.7 million and was funded by Housing funds. The loan has a 55-year term with 3.0 percent simple interest rate. As of June 30, 2025, the amount of the loan outstanding is $21.7 million.

E. 901 E El Camino Real
In January 2021, the City Council voted to work with the County of Santa Clara to facilitate the acquisition and rehabilitation of the Crestview Hotel, located at 901 East El Camino Real, to meet various housing needs.

Since then, the City Council has approved to loan up to $9.1 million to Jamboree Housing Corporation for this affordable housing project. This loan is to be funded by HOME grant funds, CDBG grants funds, Housing funds, and federal grants for the amounts of $3.6 million, $3.8 million, $878,000, and $750,000, respectively.

The term of the loan is 3.0 percent interest for 55 years. As of June 30, 2025, the amount of the loan outstanding is $8.0 million.

F. 950 W El Camino Real (PAH)
On June 1, 2020, the City entered into a loan agreement with 950 El Camino Real, L.P. (950 ECR) for an affordable housing development at 950 West El Camino Real. The total loan amount is $22.8 million and was funded by Housing funds. The loan has a 55-year term with 3.0 percent simple interest rate.

During the year ended June 30, 2020, 950 ECR entered into a loan agreement with a third party. The City’s loan is subordinate to the third-party loan. 950 ECR, the third party, and the City entered into a subordination agreement in which the City is required to holdback loan proceed of $4.7 million and deposit into a segregated bank account. During Fiscal Year 2022-23, the holdback loans proceed was disbursed to 950 ECR.

As of June 30, 2025, the amount of the loan outstanding is $22.8 million.

G. El Camino West Affordable Studios
On January 22, 2013, the City approved an agreement to loan up to $3.5 million to First Community Housing to acquire 0.48 acre of property located at 1581-1585 El Camino Real West. The loan was funded by HOME grant funds and Housing funds for the amounts of $920,000 and $2.5 million, respectively. The term of the loan is 3.0 percent interest for 55 years. As of June 30, 2025, the amount of the loan outstanding is $3.5 million.

69 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 4 LOANS AND NOTES RECEIVABLE (Continued)
H. Employee Homebuyer Program
The City has an Employee Homebuyer Program to provide home buying and relocation assistance to eligible City employees. The program was funded by General Fund and the notes have terms of thirty years and interest based on applicable federal rate. Payment is deducted from the employee’s biweekly paycheck. As of June 30, 2025, there is one employee loan and the outstanding balance is $2.0 million.

I. Franklin Street Family Apartments
On April 18, 2011, the City approved an agreement to loan up to $1.3 million to ROEM Development Corporation (ROEM) to acquire a long-term ground lease of property known as 135 Franklin Street. The loan was funded by CDBG funds at 4.0 percent interest and a term of 55 years.

On April 18, 2011, the City approved an agreement to loan up to $10.6 million to ROEM for the development of an affordable family rental housing development to be located at the property mentioned above. The loan was funded by Housing Successor funds with 4.0 percent interest and a term of 55 years.

On April 18, 2011, the City approved an agreement to loan up to $646,000 from the Housing fund to ROEM for the same project mentioned above. The loan was funded with 4.0 percent interest and a term of 55 years.

On November 1, 2011, the full loan was assigned to Franklin Street Family Apartments. As of June 30, 2025, the total outstanding balance of all loans related to Franklin Street Family Apartments is $12.5 million.

J. Ginzton Terrace
On December 11, 1991, the City loaned $380,000 to the Mid-Peninsula Housing Coalition (Coalition) for predevelopment and land acquisition costs related to the development of a 107- unit affordable senior housing complex located at 375 Oaktree Drive. On May 1, 1993, the City amended the loan agreement and loaned the Coalition an additional $215,000 for the purpose of paying park and recreation fees required prior to occupancy of the land. On February 12, 1996, excess funds not used were returned to the City in the amount of $78,000. The loan balance of $517,000 was funded by CDBG funds.

On May 21, 2013, the City approved another modification to extend the loan term to May 31, 2038, reducing the annual simple interest rate from 6.0 percent to 3.0 percent effective June 1, 2013, and restructured the repayment to be based on 50.0 percent of the residual receipts. The loan balance and accrued interest will become payable on May 31, 2038.

On April 21, 2015, the City awarded $340,000 in CDBG funds and $185,000 in HOME funds for rehabilitation activities. The CDBG and HOME loans are to be repaid by January 31, 2066 and January 31, 2071, respectively, with zero percent interest.

As of June 30, 2025, the total outstanding amount of all loans related to Ginzton Terrace is $666,000. 70 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 4 LOANS AND NOTES RECEIVABLE (Continued)
K. HomeSafe
On February 21, 2001, the City loaned $100,000 to the HomeSafe Santa Clara L.P. for the construction of a 25-unit apartment complex at 611 El Camino Real, Santa Clara, to provide affordable housing for women and children who are victims of domestic violence. The loan was funded by $100,000 of HOME grant funds.

The loan bears simple interest at 3.0 percent, but repayment of interest and principal is deferred for 55 years unless during the term of the loan, the apartments no longer meet the affordability test for very low to low- income victims of domestic violence, or if the property is sold or transferred. The loan is collateralized by a first deed of trust. As of June 30, 2025, the amount of the loan outstanding is $100,000.

L. 1100 La Avenida
On December 8, 2020, the City Council approved a prefunding of $1.3 million from Housing funds for use in predevelopment activities related to affordable housing developments at 1188 Armand Drive. The City entered into an affordable housing loan agreement, effective as of December 1, 2022, with Avenida Armand, L.P. to provide construction/permanent loan to the developer in the amount of $15.0 million. The term of the loan is 3.0 percent interest for 55 years. As of June 30, 2025, the amount of the loan outstanding is $14.7 million.

M. Mid-Peninsula Support Network
On December 23, 1980, the City loaned $55,000 to Mid-Peninsula Support Network for the acquisition and rehabilitation of a residential structure for the purpose of providing temporary shelter for battered parents and their children. The loan was funded by CDBG funds and becomes payable upon demand by the City upon failure to comply with the terms of the loan agreement. The loan carries a 12.0 percent annual interest rate and shall accrue beginning 30 days following the date of demand. The loan is collateralized by a first deed of trust. As of June 30, 2025, the amount of the loan outstanding is $55,000.

N. Montecito L.P.

On June 22, 2021, the City Council approved a prefunding of $1.3 million from Housing funds for use in predevelopment activities related to affordable housing developments at 1265 Montecito Ave. The City executed a predevelopment loan agreement on July 1, 2022 with Montecito, L.P. The term of the loan is no interest and matures on the earlier of i) December 31, 2025, and ii) the date of closing for any construction/permanent loan provided by the City. During the Fiscal year 2024-25, Montecito L.P made an additional draw amounting to $7.8 million. As of June 30, 2025, the amount of the loan outstanding is $12.8 million.

O. MV Lot 12 Housing Partners
On March 2, 2024, the City entered into a predevelopment loan agreement of $1.3 million with MV Lot 12 Housing Partners, L.P. for funding of predevelopment activities on a 1.5-acre real property bounded by California, Bryant, and Mercy Streets. The loan was funded by Housing funds, and the term of the loan is 3.0 percent simple interest and matures on the earlier of i) March 2, 2026, and ii) the date of closing for any construction/permanent loan provided by the City. As of June 30, 2025, the amount of the loan outstanding is $1.0 million.
71 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 4 LOANS AND NOTES RECEIVABLE (Continued)
P. North Shoreline Housing
On April 1, 2019, the City entered into an agreement to loan up to $8.2 million to MP Shorebreeze Associates, L.P. for the development of an affordable multi-family residential rental development to be located at 460 North Shoreline Boulevard. The $8.2 million loan was funded by HOME grant funds, CDBG grants funds, and Housing funds for the amounts of $421,000, $96,000, and $7.6 million, respectively. The term of the loan is

3.0 percent interest for 55 years. As of June 30, 2025, the amount of the loan outstanding is $8.2 million.

Q. Palo Alto Housing
On December 20, 2015, the City entered into a predevelopment funding agreement with Palo Alto Housing Corporation for predevelopment activities at 1701 West El Camino Real. This prefunding loan of $1.0 million was funded from Housing funds. On April 3, 2017, the City entered into a permanent loan agreement with 1701 ECR, LP where the outstanding principal balance of the predevelopment loan was rolled over into the permanent loan. The approved total amount of loan funded by Housing funds for this housing development was $8.0 million, with 3.0 percent simple interest rate commencing upon City’s issuance of a final certificate of occupancy. As of June 30, 2025, the amount of the loan outstanding is $8.0 million.

R. Project Match
On May 1, 1997, the City loaned $132,000 to Project Match for the acquisition of the house located at 1675 South Wolfe Road, Sunnyvale, to provide affordable housing for low-income seniors. The loan was funded by HOME grant funds. The loan is to be repaid over a 30-year period at 3.0 percent annual simple interest.

Interest and principal amounts are deferred. The loan is collateralized by a second deed of trust. As of June 30, 2025, the amount of the loan outstanding is $132,000.

S. Rengstorff Affordable Housing
On June 3, 2013, the City approved an agreement to loan up to $9.0 million to ROEM for the development of an affordable family rental housing development to be located at 819 North Rengstorff Avenue. The loan was funded by Housing funds with 3.0 percent interest and a term of 55 years. As of June 30, 2025, the amount of the loan outstanding is $8.2 million.

T. San Antonio Place LP (Charities Housing Development Corporation) On April 25, 2002, the City approved an agreement to loan up to $5.3 million to Charities Housing Development Corporation (Corporation) for development of an efficiency studios housing project to provide affordable housing for very-low to low-income persons. On July 1, 2004, the Corporation assigned to the San Antonio Place LP all of the rights and obligations under the agreements. The loan amount was amended to loan up to $5.5 million on December 1, 2006, which would be funded by $2.5 million of CDBG funds, $2.2 million of HOME grant funds and $809,000 of the Housing Successor funds. The loan is provided at zero percent interest with repayment deferred for 55 years unless the San Antonio Place LP no longer meets the terms and conditions of the agreement. As of June 30, 2025, the amount of the loan outstanding is $5.5 million.
72 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 4 LOANS AND NOTES RECEIVABLE (Continued)
U. San Veron Park
On December 1, 2009, the City amended an agreement with San Veron Corporation to loan up to $898,000 to renovate one hundred twenty-four affordable Town home units for very-low and low- income households. The loan was funded by HOME grant funds, however, the construction did not occur until Fiscal Year 2012-13. On July 1, 2013, the City approved and authorized the provision of increasing the loan amount to $1.1 million, and to be drawn from the HOME grant funds. As of June 30, 2025, the amount of the loan outstanding is $187,000.

V. Sierra Vista Apartment Affordable Housing
On February 1, 1999, the City approved to loan up to $100,000 to Sierra Vista I Limited Partnership/Charities Housing Corporation for the development and renovation of a 34-unit affordable apartment complex to low and moderate income families to be located at 1909 Hackett Avenue. An additional loan in the amount of $255,000 was approved on January 16, 2007. The loans were funded by CDBG funds with 6.0 percent interest and a term of September 2019 and January 2032, respectively.

On September 24, 2013, the City approved an amendment to the loan agreements with Charities Housing Corporation. This CDBG loan funding will bear interest at 3.3 percent, compound annually on September 1.

The term of the loan will be 57 years, maturing on October 1, 2070. As of June 30, 2025, the amount of the loans outstanding is $238,000.

W. SR Fountains LP
On December 1, 2009, the City approved to loan up to $255,000 to SR Fountains Limited Partnership for the rehabilitation of 124 existing units at The Fountains Apartments property located at 2005 San Ramon Avenue. The loan was funded by HOME grant funds with zero percent interest and repayment is deferred until December 1, 2019. In 2010 and 2012, the City approved an additional $466,000 and $305,000, respectively, loan to SR Fountains Limited Partnership.

On April 19, 2016, the City authorized an additional $675,000 loan from CDBG funds. This loan bears no interest and repayment is deferred until December 31, 2026. Subsequently on May 2, 2017, the City awarded an additional $450,000 in CDBG funding, increasing this deferred loan to a total of $1.1 million. An amendment to the loan agreement was entered on June 1, 2018, with no changes to the key loan terms.

As of June 30, 2025, the total outstanding balance of all loans related to SR Fountains LP is $1.0 million.

X. Stoney Pine Charities
On August 16, 2000, the City loaned $124,000 to the Stoney Pine Charities Housing Corporation for the construction of a 23-unit apartment complex at 212 North Mathilda Avenue and 271-283 West California Avenue, Sunnyvale, to provide affordable housing for very low income persons with developmental disabilities. The loan was funded by $9,000 of CDBG funds and $115,000 of HOME grant funds. The loans bear simple interest at 3.0 percent, but repayment of interest and principal is deferred for 40 years. The loans and accumulated interest remain deferred unless during the term of the loan, or after 40 years, the apartments no longer meet the affordability test for very low-income persons with developmental disabilities, or if the property is sold or transferred. The loan is collateralized by a second deed of trust. As of June 30, 2025, the amount of the loan outstanding is $124,000. 73 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 4 LOANS AND NOTES RECEIVABLE (Continued)
Y. Tyrella Gardens
On May 20, 2003, the City approved to loan up to $390,000 to MP Tyrella Associates for the development and renovation of an affordable apartment complex to low and moderate income families to be located at 449 Tyrella Avenue. The loan was funded by CDBG funds with 3.0 percent interest and a term of 55 years.

On April 22, 2014, the City awarded MP Tyrella Associates additional loans of $172,000 from CDBG funds and $653,000 from HOME funds to rehabilitate 56 existing rental units. The loan agreement for CDBG funds was executed on July 1, 2015, with 3.0 percent simple interest and is due in 50 years. The loan agreement from HOME funds was executed on July 1, 2015, with 3.0 percent simple interest and is due in 43 years.

On August 1, 2022, the City entered into an amended and restated secured promissory note agreement with MP Tyrella Associates and the loan funded by CDBG funds and HOME funds were amended to $819,000 and $771,000, respectively. The loan has a 3.0 percent interest and a term of 55 years. As of June 30, 2025, the total outstanding balance of all loans related to Tyrella Gardens is $1.6 million.

NOTE 5 INTERFUND TRANSACTIONS
A. Current Interfund Balances
Current interfund balances arise in the normal course of business and are expected to be repaid shortly after the end of the fiscal year. As of June 30, 2025, there is no outstanding interfund balances.

B. Interfund Advances
Advances are not expected to be repaid within the next fiscal year. As part of the City’s capital projects budgeting and funding process, resources from enterprise funds are advanced to the General Capital Projects Fund where the project costs are budgeted for and incurred. These advances are reduced as funds are expended on enterprise fund projects. Any unspent advances will be repaid to the enterprise fund upon the completion of the projects. As of June 30, 2025, the General Capital Projects Fund has outstanding advances of $26.2 million, $32.9 million, and $654,000 from the Water, Wastewater, and Solid Waste enterprise funds, respectively.

C. Internal Balances
Internal balances are presented only in the government-wide financial statements. They represent the net receivables and payables remaining after the elimination of all such balances within governmental and business-type activities.
74 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 5 INTERFUND TRANSACTIONS (Continued)
D. Transfers Between Funds
With Council approval, resources may be transferred from one City fund to another. The purpose of the majority of transfers is to allocate resources from the fund that receives them to the fund where they will be spent without a requirement for repayment. Less often, a transfer may be made to open or close a fund.

Transfers between funds during the fiscal year ended June 30, 2025, are as follows (dollars in thousands):

Amount Funding
Funds Receiving Transfers Funds Making Transfers Transferred Purpose General Fund Shoreline Regional Park Community 48$ C Housing 3 C
General Capital Projects 4,167 B
Internal Service 2,800 C
Nonmajor Governmental 1,599 C
Water 220 C
8,837
Shoreline Regional Park Community General Capital Projects 5,579 B Housing General Fund 617 C
617
General Capital Projects General Fund 16,029 C
Shoreline Regional Park Community 24,630 C
Park Land Dedication Capital Projects 6,202 C
Nonmajor Governmental 18,812 C
65,673
Park Land Dedication Capital Projects General Capital Projects 5,222 B Nonmajor Governmental Shoreline Regional Park Community 5,447 A General Capital Projects 6,667 B
12,114
Water General Capital Projects 922 B
922
Wastewater General Capital Projects 1,076 B
Internal Service 23 C
1,099
Solid Waste Internal Service 978 C
General Capital Projects 26 B
1,004
Internal Service Funds General Fund 1,441 C
Shoreline Regional Park Community 3,079 C
Housing 2 C
General Capital Projects 110 B
Nonmajor Governmental 82 C
Water 128 C
Wastewater 143 C
Solid Waste 104 C
5,089
Total Interfund Transfers 106,156$
75 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 5 INTERFUND TRANSACTIONS (Continued)
D. Transfers Between Funds (Continued)
The purposes for these transfers are as follows:

A. To fund debt service payments.

B. To transfer remaining balances on completed capital improvement projects, interest back to original funding source, and other funds.

C. Recurring transfers for capital, operating costs, or equipment replacement.

NOTE 6 CAPITAL ASSETS
All capital assets, including intangible assets, are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated capital assets, donated works of art and similar items, and capital assets received in a service concession arrangement are valued at their acquisition value. The City defines capital assets as assets with an initial individual cost of more than $100,000 for land and infrastructure, $25,000 for buildings and improvements other than buildings, and $5,000 for others, and an estimated useful life in excess of two years.

Depreciation is provided using the straight-line method, which means the cost of the asset is divided by its expected useful life in years and the result is charged to expense each fiscal year until the asset is fully depreciated. The City has assigned the useful lives to capital assets as follows:

Major outlays for capital assets and improvements are capitalized as projects are constructed.

Buildings 25 to 50 years
Improvements other than buildings 5 to 50 years
Machinery and equipment 3 to 20 years
Traffic signals 20 years
Streetlights 50 years
Bridges and culverts 60 years
Sidewalks, curbs, and gutters 40 years
Streets and roads 40 years
Intangible right-to-use lease assets 5 years
Intangible right-to-use SBITA assets 3 to 10 years
76 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 6 CAPITAL ASSETS (Continued)
A. Capital Asset Activities
Capital assets activity for the fiscal year ended June 30, 2025, is as follows (dollars in thousands):

Balance Balance
Governmental Activities June 30, 2024 Additions Retirements Transfers June 30, 2025 Capital assets not being depreciated:

Land 182,829$ 6,012$ -$ 5,018$ 193,859$ Construction in Progress 120,658 47,789 - (18,085) 150,362 Total capital assets not being depreciated 303,487 53,801 - (13,067) 344,221 Capital assets being depreciated/amortized:

Buildings 188,468 - - - 188,468 Improvements other than buildings 258,496 - - 9,194 267,690 Machinery and equipment 41,603 6,124 (1,508) 15 46,234 Traffic signals 17,405 1,464 - - 18,869 Streetlights 13,513 381 - - 13,894 Bridges and culverts 18,583 - - 351 18,934 Sidewalks, curbs and gutters 117,523 848 (65) - 118,306 Streets and roads 290,062 400 (28) 3,507 293,941 Intangible right-to-use lease assets (Note 11) 4,300 - - - 4,300 Intangible right-to-use SBITA assets (Note 12) 1,590 5,407 (421) - 6,576 Total capital assets being depreciated/amortized 951,543 14,624 (2,022) 13,067 977,212 Less accumulated depreciation/amortization:

Buildings (115,263) (4,987) - - (120,250) Improvements other than buildings (195,696) (9,732) - - (205,428) Machinery and equipment (31,747) (2,920) 1,499 - (33,168) Traffic signals (10,086) (625) - - (10,711) Streetlights (7,341) (156) - - (7,497) Bridges and culverts (7,113) (312) - - (7,425) Sidewalks, curbs and gutters (84,390) (2,856) 49 - (87,197) Streets and roads (198,869) (7,455) 22 - (206,302) Intangible right-to-use lease assets (660) (644) - - (1,304) Intangible right-to-use SBITA assets (1,040) (815) 421 - (1,434) Total accumulated depreciation/amortization (652,205) (30,502) 1,991 - (680,716) Net capital assets being depreciated/amortized 299,338 (15,878) (31) 13,067 296,496 Governmental Activities Capital Assets, Net 602,825$ 37,923$ (31)$ -$ 640,717$ 77 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 6 CAPITAL ASSETS (Continued)
A. Capital Asset Activities (Continued)

B. Depreciation Allocation
Depreciation expense is charged to functions and programs based on their usage of the related assets. The amounts allocated to each function for the fiscal year ended June 30, 2025, are as follows (dollars in thousands):

Balance Balance
Business-type Activities June 30, 2024 Additions Retirements Transfers June 30, 2025 Capital assets not being depreciated:

Land 220$ -$ -$ -$ 220$ Land easement 1,678 - - - 1,678 Construction in Progress 28,129 11,635 - (880) 38,884 Total capital assets not being depreciated 30,027 11,635 - (880) 40,782 Capital assets being depreciated:

Buildings 8,748 - - - 8,748 Improvements other than buildings 191,649 658 (640) 880 192,547 Machinery and equipment 8,956 1,919 (4) - 10,871 Net capital assets being depreciated 209,353 2,577 (644) 880 212,166 Less accumulated depreciation:

Buildings (8,570) (6) - - (8,576) Improvements other than buildings (113,200) (9,231) 451 - (121,980) Machinery and equipment (7,260) (373) 4 - (7,629) Total accumulated depreciation (129,030) (9,610) 455 - (138,185) Net capital assets being depreciated 80,323 (7,033) (189) 880 73,981 Business-type Activities Capital Assets, Net 110,350$ 4,602$ (189)$ -$ 114,763$ Governmental Activities:

General government 3,197$
Public safety 2,227
Public works 15,695
Community development 193
Culture and recreation 9,190
Total 30,502$
Business-type Activities:

Water 5,480
Wastewater 3,670
Solid Waste 382
Landfill 544 Acre 78
Total 9,610$
78 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 6 CAPITAL ASSETS (Continued)
C. Construction Commitments
The City has active construction projects that include land; improvements other than buildings; buildings; infrastructure; and water, wastewater, and solid waste improvements. Commitments for construction, as of June 30, 2025, are as follows (dollars in thousands):

Commitments are funded from 1) revenues received directly by the capital projects fund and 2) general fund, special revenue fund and enterprise fund revenues transferred to the capital projects fund.

D. Joint Use Open Space and Recreational Facilities at a Future School Site The Los Altos School District (LASD) intended to acquire an approximately 11.65-acre site (Property) within the City for the construction of a new school facility. Of the total site, 9.65-acre of the property (School Site) will be retained by LASD to develop as a school site and for joint use recreational purposes with the City. The remaining 2.0-acre open space (Open Space Park) is planned to be developed into a community park and recreational facilities. On December 11, 2018, the City Council authorized a contribution of $43.0 million toward the site acquisition, of which $23.0 million is for the School Site and $20.0 million is for the Open Space Park.

On July 16, 2019, the City executed a funding and joint use agreement with LASD outlining the City’s involvement in the development of the School Site and the opportunities for use of certain joint use recreational facilities during non-school days and non-school hours serving the community. During the year ended June 30, 2020, LASD acquired the Property and the City contributed $23.0 million to LASD.

On November 19, 2019, the City entered into a property transfer agreement where LASD agrees to transfer the title of the Open Space Park to the City upon the acquisition of the Property and the completion of pre- transfer due diligence activities. As of June 30, 2025, pre-transfer due diligence activities were not completed and the $20.0 million payment made by the City for the Open Space Park was reported as deposits and prepaid items.

Spent Remai ning
to Da te Commitment
Governmental activities:

La nd 903$ 197$
Improvements other tha n buil di ngs 76,459 7,854 Bui ldings 36,385 857
Infras tructure 36,615 4,619
Total governmental activities 150,362$ 13,527$
Business-type activities:

Wa ter projects 20,401$ 1,042$
Wa s tewa ter projects 17,609 1,698
Sol id Wa ste projects 875 3
38,885$ 2,743$
79 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 7 NONCURRENT LIABILITIES
The City generally incurs long-term debt to finance projects or purchase assets, which will have useful lives equal to or greater than the related debt. The City’s debt issues and other liability transactions are summarized below and discussed in detail thereafter.

A. Composition and Changes
Noncurrent liabilities activities for the fiscal year ended June 30, 2025, are as follows (dollars in thousands):

Original
Is sue Bal ance Balance Due within
Amount June 30, 2024 Additions Reti rements June 30, 2025 one yea r Governmental activities
Revenue Bonds:

Shoreline Regional Park Community 2018
Revenue Bonds Series A

5.0%, due Fi s ca l Yea r 2048-49 53,485$ 53,485$ -$ -$ 53,485$ -$ Add unamortized premium 6,416 5,223 - (217) 5,006 - Subtotal 2018 Revenue Bonds Series A 59,901 58,708 - (217) 58,491 - Shoreline Regional Park Community 2018
Revenue Bonds Series B

3.36% to 4.24%, due Fis cal Year 2031-32 10,315 8,445 - (985) 7,460 1,020 Shoreline Regional Park Community 2022
Refunding Revenue Bonds Series A

4.83%, due Fi s cal Yea r 2039-40 21,565 20,421 - (875) 19,546 920 Tota l Revenue Bonds 91,781 87,574 - (2,077) 85,497 1,940 Compensated Absences as restated* - 16,590 306 - 16,896 2,855 Landfill Containment - 47,963 - (82) 47,881 - Lease Liabilities (Note 11) - 3,946 - (579) 3,367 663 SBITA Liabilities (Note 12) - 395 5,407 (854) 4,948 432 Claims liabilities - 11,794 1,241 - 13,035 4,202 Total governmental activities 91,781$ 168,262$ 6,954$ (3,592)$ 171,624$ 10,092$ * The cha nge in compensa ted absences l iabi l ity is pres ented as a Net Change Origi na l
Is s ue Ba la nce Ba lance Due within
Business-type activities: Amount June 30, 2024 Addi tions Retirements June 30, 2025 one yea r Water Revenue Bonds 2004 Series A

3.0%-4.5%, due Fis ca l Year 2028-29 9,700$ 2,755$ -$ (505)$ 2,250$ 525$ City of Palo Alto Loan
0%, due Fis ca l Year 2028-29 6,000 1,500 - (300) 1,200 300 Les s unamorti zed dis count (1,000) (250) - 50 (200) (50) - Wastewater Direct Financing Arrangement -

3.4%, due Fis ca l Yea r 2033-34 10,100 7,241 - (619) 6,622 641 Compensated Absences as restated* - 1,690 48 - 1,738 212 Total business-type activities 24,800$ 12,936$ 48$ (1,374)$ 11,610$ 1,628$ * The cha nge in compens ated a bsences lia bi lity is presented as a Net Change 80 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 7 NONCURRENT LIABILITIES (Continued)
B. Descriptions of Noncurrent Liabilities
2018 Revenue Bonds Shoreline Regional Park Community - On December 19, 2018, the Shoreline Community issued 2018 Revenue Bonds, Series A (Tax-Exempt) and Series B (Taxable) (2018 Bonds) of $53.5 million and $10.3 million, respectively. Proceeds from the 2018 Bonds were used to provide funds to acquire and construct certain capital improvements of benefit to the Shoreline Community. The 2018 Bonds are special obligations of the Shoreline Community and are secured by a portion of all taxes levied upon all taxable property within the Shoreline Community. Principal payments are payable annually on August 1 and interest payments semiannually on August 1 and February 1 from property tax revenues generated within the Shoreline Community. The Shoreline Community is considered to be in default if the Shoreline Community fails to pay the principal of and interest on the outstanding bonds when they become due and payable. If an event of default has occurred and is continuing, the trustee may, and if requested in writing by the owners of a majority in aggregate principal amount of the bonds then outstanding, declare the accreted value and principal of the bonds, together with the accrued interest, to be due and payable immediately.
2022 Refunding Revenue Bonds Shoreline Regional Park Community - On November 22, 2022, the Shoreline Community issued the 2022 Bonds of $21.6 million through private placement. Proceeds from the 2022 Bonds were used to fully refund the outstanding 2011 Bonds of $21,100,000. The 2022 Bonds are special obligations of the Shoreline Community and are secured by a portion of all taxes levied upon all taxable property within the Shoreline Community. Principal payments are payable annually on August 1 and interest payments semi-annually on August 1 and February 1 from property tax revenues generated within the Shoreline Community. The refunding resulted in net present value savings of $1.1 million. The Shoreline Community is considered to be in default if the Shoreline Community fails to pay the principal of and interest on the outstanding bonds when they become due and payable. If an event of default has occurred and is continuing, the trustee may, and if requested in writing by the owners of a majority in aggregate principal amount of the bonds then outstanding, declare the accreted value and principal of the bonds, together with the accrued interest, to be due and payable immediately.

Compensated Absences - Compensated absences are liquidated by the fund that has recorded the liability.

The long-term portion of governmental activities compensated absences is liquidated by contributions from various funds, but primarily the General Fund.

Landfill Containment - The City is responsible for managing and controlling methane gas and containment of leachate at three former City-operated landfill sites.

Pursuant to a Postclosure Maintenance Plan filed with the State, the City is obligated for additional postclosure care costs for two of its landfill sites. The estimated costs of postclosure care are subject to changes such as the effects of inflation, revision of laws and other variables. The estimated amount of this obligation as of June 30, 2025, is approximately $48.0 million. Annual revenues from the Solid Waste Enterprise Fund will fund the postclosure care costs. In accordance with a State-mandated Financial Assurance Mechanism (FAM), the City has pledged Solid Waste Enterprise Fund revenues in the amount of $3.1 million as of June 30, 2025, for postclosure care costs on these two landfill sites. A third landfill site maintained by the City did not require a FAM to be established for the closure of the site and the City’s postclosure care cost is not estimable.
81 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 7 NONCURRENT LIABILITIES (Continued)
B. Descriptions of Noncurrent Liabilities (Continued)
Claims Liabilities - The City has established various self-insurance programs to account for and finance its uninsured risks of loss. Estimated liabilities are recorded for claims when it is probable that a loss has occurred and the amount of the loss can be reasonably determined. Further discussion on the City’s claim liabilities and Risk Management is included in Note 10. 2004 Water Revenue Bonds - On September 29, 2004, the City issued $9.7 million of 2004 Water Revenue Bonds, 2004 Series A, to fund the construction of Graham Reservoir. Water fund revenues are pledged to pay the debt service on the bonds. Principal payments are payable annually on June 1 and interest payments semi-annually on June 1 and December 1 from Water Fund Revenues. The City is considered to be in default if the City fails to pay the principal of and interest on the outstanding bonds when they become due and payable and such default has continued for a period of thirty days. Upon the occurrence and during the continuance of any event of default, the trustee may, and upon written notice from the owners of a majority in aggregate principal amount of the bonds then outstanding, declare the principal of the bonds, together with the accrued interest, to be due and payable immediately.

City of Palo Alto Loan – The Cities of Palo Alto and Mountain View began a joint project to construct a reclaimed water pipeline (Project) in 2004. In October 2007, the City of Palo Alto approved a $9.0 million loan agreement with the State Water Resources Control Board (SWRCB) to finance a portion of the Project.

Under the terms of the loan agreement, the Project received $7.5 million in proceeds. The additional $1.5 million due on the loan represents in-substance interest. Payments are due annually on the loan for twenty years following the completion of the construction. The City agreed to repay the City of Palo Alto a $6.0 million share of this loan to finance $5.0 million of the costs of the Project within the City under the same terms as the original loan agreement with SWRCB. The City will pay $300,000 annually for twenty years. The project has been completed and payments on the loan commenced on June 30, 2010. There are no acceleration provisions in the event of a payment default for this loan.

Wastewater Direct Financing Arrangement – On November 1, 2018, the City executed an Installment Sale Agreement between the City and the Financing Authority and an Assignment Agreement between the Financing Authority and Opus Bank to provide funds for Wastewater infrastructure capital projects. The financing arrangement is for up to $10.1 million with a maximum term of 15 years. Wastewater fund revenues are pledged to pay the debt service on the direct financing arrangement. Principal payments are payable annually on December 1 and interest payments semi-annually on June 1 and December 1 from Wastewater Fund Revenues. The City is considered to be in default if the City fails to pay the installment payments when they become due and payable. If an event of default has occurred and is continuing, the lender has the right to declare all unpaid installment payments, principal and accrued interest, to be due and payable immediately.

C. Debt Service Requirements
The pledge of future tax increment revenues ends upon repayment of the $137.0 million in remaining debt service on the Shoreline Community’s Revenue Bonds, which is scheduled to occur in Fiscal Year 2048-49.

For the fiscal year ended June 30, 2025, tax increment revenues amounted to $73.2 million, which represented coverage of 12.6 over the $5.8 million in debt service. 82 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 7 NONCURRENT LIABILITIES (Continued)
C. Debt Service Requirements (Continued)
The pledge of future water fund revenues ends upon repayment of the $3.7 million in remaining debt service on the Water Revenue Bonds and City of Palo Alto Loan, which are both scheduled to occur in Fiscal Year 2028-29. For the fiscal year ended June 30, 2025, Water Fund revenues including operating revenues, non- operating interest earnings, capital contributions – developer fees, and transfers in amounted to $51.1 million and operating expenses, excluding depreciation or amortization amounted to $38.1 million. Net Revenues available for debt service amounted to $13.0 million, which represented coverage of 14.0 over the $929,000 in debt service.

The pledge of future wastewater fund revenues ends upon repayment of the $7.7 million in remaining debt service on the Wastewater Direct Financing Arrangement, which are scheduled to occur in Fiscal Year 2033-

34. For the fiscal year ended June 30, 2025, Wastewater Fund revenues including operating revenues, non- operating interest earnings, capital contributions – developer fees, and transfers in amounted to $39.1 million and operating expenses, excluding depreciation or amortization amounted to $25.6 million. Net Revenues available for debt service amounted to $13.5 million, which represented coverage of 15.8 over the $852,000 in debt service.

Annual debt service requirements to maturity are as follows (dollars in thousands):

There are a number of limitations, covenants and restrictions contained in the various bond indentures. The City is in compliance with all material limitations, covenants and restrictions.

NOTE 8 PENSION PLANS
A. General Information about the Pension Plans
Plan Descriptions – All qualified regular and probationary employees are eligible to participate in either the City’s Miscellaneous (all other) or Safety (police and fire) plans (Plans), agent multiple-employer defined benefit pension plans administered by CalPERS, which acts as a common investment and administrative agent for its participating member employers. Benefit provisions under the Plans are established by State statute and City resolution. CalPERS issues publicly available reports that include a full description of the pension plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website at www.calpers.ca.gov.

For the Fiscal Year
Ending June 30 Principal Interest Principal Interest Principal Interest 2026 1,940$ 3,878$ 825$ 101$ 641$ 212$ 2027 2,025 3,793 850 78 663 190 2028 2,105 3,703 875 53 685 167 2029 2,205 3,607 900 27 709 144 2030 2,300 3,507 - - 733 119 2031-2035 13,110 15,795 - - 3,191 219 2036-2040 16,740 12,153 - - - - 2041-2045 19,175 7,901 - - - - 2046-2049 20,891 2,153 - - - - Total 80,491$ 56,490$ 3,450$ 259$ 6,622$ 1,051$ Governmental Activities
Business-type Activities
(Excluding Wastewater
Direct Financing
Arrangement)
Wastewater Direct
Financing Arrangement
83 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 8 PENSION PLANS (Continued)
A. General Information about the Pension Plans (Continued) Benefits Provided – CalPERS provides service retirement and disability benefits, annual cost-of-living adjustments and death benefits to plan members, who must be public employees and beneficiaries. Benefits are based on years of credited service, age at retirement and compensation. The cost-of-living adjustments for the CalPERS plans are applied as specified by the Public Employees’ Retirement Law. The California Public Employees’ Pension Reform Act (PEPRA), which became effective in January 2013, changes the way CalPERS retirement and health benefits are applied, and places compensation limits on members. As such, members who established CalPERS membership on or after January 1, 2013 are known as “PEPRA” members.

The Plans’ provisions and benefits in effect as of June 30, 2025, are summarized as follows:

Employees Covered – Employees covered by the benefit terms for each Plan as of June 30, 2024, the most recent actuarial valuations information available, are as follows:

Prior to On or after
Hire Date January 1, 2013 January 1, 2013
Benefit formula 2.7% 55 2.0% @ 62
Benefit vesting schedule 5 years service 5 years service Benefit payment Monthly for life Monthly for life
Retirement age 50+ 52+
Required employee contribution rates 8.00% 7.00%
Required employer contribution rates 11.67% 11.67%
Prior to On or after
Hire Date January 1, 2013 January 1, 2013
Benefit formula 3% @50 2.7% @57
Benefit vesting schedule 5 years service 5 years service Benefit payment Monthly for life Monthly for life
Retirement age 50+ 50+
Required employee contribution rates 9.00% 12.00%
Required employer contribution rates 23.11% 23.11%
Miscellaneous
Safety
Mis cella neous Safety
Inacti ve employees or benefici aries
currently receiving benefits 774 335 Inacti ve employees enti tled to but not yet
receiving benefits 570 102
Acti ve employees 479 154
Tota l 1,823 591
84 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 8 PENSION PLANS (Continued)
A. General Information about the Pension Plans (Continued) Contributions – Section 20814(c) of the California Public Employees’ Retirement Law requires the employer contribution rates for all public employers to be determined on an annual basis by the CalPERS actuary and shall be effective on the July 1 following notice of a change in the rate. The actuarially determined rate is the projected amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The City is required to contribute the difference between the actuarially determined rate and the contribution rate of employees. For the purpose of increasing the funded status of the Plans, the City contributed $2.7 million and $1.6 million in excess of the actuarially determined contributions for the Miscellaneous and Safety Plans, respectively, during the fiscal year ended June 30, 2025.

B. Net Pension Liability
The City’s net pension liability for each Plan is measured as the total pension liability, less the pension plan’s fiduciary net position. The net pension liability of each of the Plans is measured as of June 30, 2024, using an annual actuarial valuation as of June 30, 2023 using standard update procedures. A summary of principal assumptions and methods used to determine the net pension liability is shown below.

Actuarial Assumptions – The total pension liabilities in the June 30, 2023 actuarial valuations were determined using actuarial assumptions as follows:

All other actuarial assumptions used in the June 30, 2023 actuarial valuation were based on the 2021 CalPERS Experience Study for the period from 2001 to 2019, including updates to salary increase, mortality and retirement rates. Further details of the 2021 CalPERS Experience Study can be found on the CalPERS website under Forms and Publications.

Change of Assumptions – There were no assumption changes in measurement period 2024.

Miscellaneous and Safety Plans
Valuation Date June 30, 2023
Measurement Date June 30, 2024
Actuarial Cost Method Entry-Age Normal Cost Method
Actuarial Assumptions:

Discount Rate 6.90%
Inflation 2.30%
Projected Salary Increase Varies by Entry Age and Service Post Retirement Benefit Increase The lessor of contract COLA or 2.30% until Purchasing Power Protection Allowance Floor on
purchasing power applies, 2.30% thereafter.

Mortality Rate Table Derived using CalPERS membership Data for all Funds (1)
(1) The 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. 85 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 8 PENSION PLANS (Continued)
B. Net Pension Liability (Continued)
Discount Rate – The discount rate used to measure the total pension liability was 6.90 percent. The projection of cash flows used to determine the discount rate assumed that the contributions from plan members will be made at the current member contribution rates and that contributions from employers will be made at statutorily required rates, actuarially determined. Based on those assumptions, the plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on plan investments was applied to all periods of projected benefit payments to determine the total pension liability.

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

In determining the long-term expected rate of return, CalPERS took into account both short-term and long- term market return expectations. 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 approach. The expected rate of return was then adjusted to account for assumed administrative expense of 10 basis points.

The expected real rates of return by asset class are as follows:

Assumed Asset
Asset Class Allocation Real Return (1, 2)
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%
Total 100%
(1) - An expected inflation of 2.30% used for this period. (2) - Figures are based on the 2021 Asset Liability Management study. 86 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 8 PENSION PLANS (Continued)
C. Changes in the Net Pension Liability
The changes in the net pension liability for each Plan are as follows (dollars in thousands):

Miscellaneous Plan:

Safety Plan:

Net Pension
Total Pension Plan Fiduciary Liability
Liability (a) Net Position (b) (c) = (a) - (b)
Balance at Measurement Date 6/30/2023 540,539$ 407,806$ 132,733$ Changes during the measurement period:

Service Cost 10,926 - 10,926 Interest on the total pension liability 37,350 - 37,350 Changes of Benefit Terms - - - Differences between expected and actual experience 10,220 - 10,220 Contributions - employer - 20,538 (20,538) Contributions - employee - 6,808 (6,808) Investment income - 39,276 (39,276) Administrative expenses - (331) 331 Benefit payments, including refunds of employee contributions (29,836) (29,836) - Net changes 28,660 36,455 (7,795) Balance at Measurement Date 6/30/2024 569,199$ 444,261$ 124,938$ Increase (Decrease)
Net Pension
Total Pension Plan Fiduciary Liability
Liability (a) Net Position (b) (c) = (a) - (b)
Balance at Measurement Date 6/30/2023 474,377$ 336,678$ 137,699$ Changes during the measurement period:

Service Cost 9,453 - 9,453 Interest on the total pension liability 32,602 - 32,602 Changes of Benefit Terms - - - Differences between expected and actual experience 5,772 - 5,772 Contributions - employer - 17,676 (17,676) Contributions - employee - 4,640 (4,640) Investment income - 32,542 (32,542) Administrative expenses - (274) 274 Benefit payments, including refunds of employee contributions (24,760) (24,760) - Net changes 23,067 29,824 (6,757) Balance at Measurement Date 6/30/2024 497,444$ 366,502$ 130,942$ Total Net Pension Liability - All Plans at June 30, 2024 1,066,643$ 810,763$ 255,880$ Increase (Decrease)
87 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 8 PENSION PLANS (Continued)
C. Changes in the Net Pension Liability (Continued)
Sensitivity of the Net Pension Liability to Changes in the Discount Rate – The net pension liability of the City for each Plan, calculated using the discount rate for each Plan, as well as what the City’s net pension liability would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate are as follows (dollars in thousands):

Pension Plan Fiduciary Net Position – Detailed information about each pension plan’s fiduciary net position is available in the separately issued CalPERS financial reports.

Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions For the fiscal year ended June 30, 2025, the City recognized pension expense of $25.1 million and $23.5 million for the Miscellaneous and Safety Plans, respectively.

The City reported deferred outflows of resources related to pensions by sources for the fiscal year ended June 30, 2025 as follows (dollars in thousands):

Miscellaneous Plan:

Safety Plan:

Current
Discount Rate
-1% (5.90%)
Discount Rate
(6.90%)
Discount Rate
+1% (7.90%)
Miscellaneous Plan 198,532$ 124,938$ 64,196$ Safety Plan 195,960 130,942 77,253 Total 394,492$ 255,880$ 141,449$ Deferred Deferred
Outflows of Inflows of
Resources Resources
Pension contributions subsequent to measurement date 20,934$ -$ Differences between actual and expected experience 9,813 - Changes in assumptions - -
Net differences between projected and actual earnings on plan investments 6,071 - Total 36,818$ -$
Deferred Deferred
Outflows of Inflows of
Resources Resources
Pension contributions subsequent to measurement date 17,508$ -$ Differences between actual and expected experience 4,940 - Changes in assumptions - -
Net differences between projected and actual earnings on plan investments 4,987 - Total 27,435$ -$
Total - All Plans 64,253$ -$
88 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 8 PENSION PLANS (Continued)
C. Changes in the Net Pension Liability (Continued)
As of June 30, 2025, the City reported $20.5 million and $17.5 million as deferred outflows of resources related to contributions subsequent to the measurement date for the Miscellaneous and Safety Plans, respectively, which will be recognized as a reduction of the net pension liability in the fiscal year ending June 30, 2025. Net amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense are as follows (dollars in thousands):

NOTE 9 OTHER POSTEMPLOYMENT BENEFITS
A. General Information about the OPEB Plan
Plan Descriptions – By Council resolution and through agreements with its labor units, the City provides certain health care benefits for retirees (spouse and dependents are not included for CalPERS Miscellaneous employees, but are included for CalPERS Safety employees in the CalPERS Health Program governed by the Public Employees’ Medical and Hospital Care Act (PEHMCA)) under a single employer defined benefit OPEB plan. In December 2008, the City entered into an agreement with CalPERS to participate in the CERBT, an agent multiple-employer other postemployment benefits plan, to fund the City’s OPEB. CERBT, administrated by CalPERS, is managed by an appointed board not under the control of the City Council.

CERBT issues a publicly available financial report that can be found on the CalPERS website at www.calpers.ca.gov.

The City also offers a Defined Contribution (DC) Plan to eligible miscellaneous employees. If an employee elects to participate in the DC Plan, the City makes contributions on behalf of the employee into a Health Savings Account (HSA). Employees who have elected the DC Plan are not included in the City’s actuarial valuation for OPEB.

Employees Covered – Employees covered by the benefit terms as of June 30, 2024, the most recent actuarial valuations information available, are as follows:

Fi s cal Year
Ending June 30
Mis cella neous
Pla n Safety Pla n Tota l
2026 6,040$ 2,964$ 9,004$
2027 13,854 10,305 24,159
2029 (1,758) (1,459) (3,217)
2030 (2,252) (1,883) (4,135)
Total 15,884$ 9,927$ 25,811$
Inactive employees or beneficiaries
currently receiving benefits 485
Active employees 372
Total 857
89 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 9 OTHER POSTEMPLOYMENT BENEFITS (Continued)
A. General Information about the OPEB Plan (Continued)
Benefits Provided – The City provides medical and vision OPEB benefits. The City provided OPEB by group and eligibility is as follows:

Group Hire Date
Minimum
Years of
Service
CalPERS
Retirement Date City-Paid Benefit
MVFF Safety
POA Safety
Fire and Police
Managers
Prior to July 1, 1992 100% of single premium
July 1, 1992 and later 85% of single premium
July 1, 1990 through
June 30, 2007 85% of single premium
July 1, 2007
and later*
85% of single premium for
any open City HMO plan
Prior to
September 1, 1989 5
September 1, 1989
through June 30, 2007
July 1, 2007 and later* 85% of single premium for
any open City HMO plan
Prior to March 1, 1993 100% of single premium
March 1, 1993 through
June 27, 1998 85% of single premium
After June 27, 1998
September 1, 1989
through June 30, 2007
July 1, 2007 and later* 85% of single premium for
any City HMO plan
Prior to March 1, 1993 100% of single premium
March 1, 1993 and later 85% of single premium
15 Prior to January 1, 1997 No Coverage or Benefits
5, but less
than 10 50% of single premium
10, but less
than 15 65% of single premium
15 or more 85% of single premium
July 1, 2007 and later* 15 Any 85% of single premium for any open City HMO plan
Greater
than 5, but
less than 10
Any 50% of single premium for
any open City HMO plan
Unrepresented July 1, 2024 and later*
At least 10
but less than
15 Any 65% of single premium for
any open City HMO plan
15 or more Any 85% of single premium for
any open City HMO plan
▪ Non-Sworn POA hired July 1, 2015 and later
▪ SEIU hired July 1, 2010 and later
▪ EAGLES and Unrepresented hired July 1, 2007 and later Any
5 years
CalPERS
service
Any
PEMHCA benefits;
Same contribution %
as active employees
Non-Sworn POA
Prior to July 1, 1990 5
15 Any
*The following employees may waive the Defined Benefit plan and in lieu will be enrolled in the Defined Contribution plan (described above):

SEIU Maintenance Any
100% of single premium
15 SEIU Clerical and
Technical
Prior to
September 1, 1989 5
100% of any single HMO premium;
85% of any single PPO premium
15 Any
EAGLES and
Unrepresented
Prior to August 1, 1989 5
August 1, 1989 through
June 30, 2007 January 1, 1997
and later
90 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 9 OTHER POSTEMPLOYMENT BENEFITS (Continued)
A. General Information about the OPEB Plan (Continued)
Contributions – The City’s OPEB funding policy is to contribute 100 percent or more of the actuarially determined contribution each year. For the fiscal year ended June 30, 2025, the City's contributions totaled $6.7 million, which is approximately $2.5 million above the actuarially determined contributions. This amount includes $2.0 million from the implied subsidy.

B. Net OPEB Liability
The City’s net OPEB liability is measured as the total OPEB liability, less the OPEB plan’s fiduciary net position.

The net OPEB liability is measured as of June 30, 2024 using an annual actuarial valuation as of June 30, 2024.

Actuarial Assumptions – The total OPEB liability as of June 30, 2025 were determined using actuarial assumptions as follows:

(1) Demographic actuarial assumptions used are based on the 2021 CalPERS Experience Study for the period from 1997 to 2019, except for using the MacLeod Watts Scale 2022 applied generationally from 2015 as the basis to project future morality improvements.

Change in Assumptions – There were no changes in assumptions during measurement.

Discount Rate - The discount rate used to measure the total OPEB liability is 5.6 percent. The projection of cash flows used to determine the discount rate assumed that the City's contribution will be made equal to the actuarially determined contribution. Based on those assumptions, the OPEB plan's fiduciary net position was projected to be available to make all projected OPEB payments for current active and inactive employees. Therefore, the long-term expected rate of return on OEPB plan investments is applied to all periods of projected benefit payments to determine the total OPEB Liability.

Valuation Date June 30, 2023
Measurement Date June 30, 2024
Actuarial Cost Method Entry-Age Normal Cost Method
Actuarial Assumptions:

Discount Rate 5.60%
Inflation 2.50%
Projected Salary Increase 3.00%
Healthcare cost trend rates 6.0% in 2026, fluctuating down to 3.9% by 2075 Mortality 2021 CalPERS Experience Study
Mortality Inprovement MW Scale 2022
91 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 9 OTHER POSTEMPLOYMENT BENEFITS (Continued)
B. Net OPEB Liability (Continued)
The long-term expected rate of return for OPEB plan investments is 5.60 percent. Using historical returns of all the funds’ asset classes, expected compound geometric returns were calculated over the short-term (1- 5 years) and the long-term (6-20 years) using a building-block approach. The long-term expected real rate of return by asset class and the target allocation are as follows:

C. Changes in the Net OPEB Liability (Asset)
The changes in the net OPEB liability (asset) are as follows (dollars in thousands):

Current
Target Real Return Real Return
Asset Class Allocation Years 1-5 Years 6-20
Global Equity 34.0% 6.30% 7.10%
Fixed Income 41.0 5.10 5.00
REITS 17.0 6.10 6.40
TIPS 5.0 4.10 3.80
Commodities 3.0 5.30 4.40
To derive the expected future trust return specifically for the City, we first adjusted CalPERS' future return expectations to align with the 2.5% general inflation assumption used in this report.

Then applying the plan specific benefit payments (as determined from the June 30, 2023, valuation) to CalPERS' bifurcated return expectation, we determined the single equivalent long-term rate of return to be 6.2 percent. The District is less optimistic about future expected returns and approved 5.6% as the expected return on assets.

Total OPEB Fiduciary Net OPEB
Liability (a) Net Position Liability
Balance at June 30, 2023 163,684$ 155,249$ 8,435$ Changes during the measurement period:

Service Cost 3,979 - 3,979 Interest Cost 9,170 - 9,170 City Contributions - 5,718 (5,718) Plan Experience 3,349 - 3,349 Expected Investment income - 8,633 (8,633) Administrative expenses - (50) 50 Investment Experience - 4,082 (4,082) Benefit payments (7,818) (7,818) - Net changes 8,680 10,565 (1,885) Balance at Measurement Date 6/30/2024 172,364$ 165,814$ 6,550$ Increase (Decrease)
92 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 9 OTHER POSTEMPLOYMENT BENEFITS (Continued)
C. Changes in the Net OPEB Liability (Asset) (Continued) Sensitivity of the Net OPEB Liability (Asset) to Changes in the Discount Rate – The net OPEB liability of the City, calculated using the discount rate of 5.60 percent, as well as what the City’s net OPEB liability would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate are as follows (dollars in thousands):

Sensitivity of the Net OPEB Liability (Asset) to Changes in the Healthcare Cost Trend Rates – The net OPEB liability of the City, as well as what the City's net OPEB liability would be if it were calculated using healthcare cost trend rates that are one percentage point lower or one percentage point higher than the current rate are as follows (dollars in thousands):

OPEB Plan Fiduciary Net Position – Detailed information about the OPEB plan’s fiduciary net position is available in the separately issued CERBT financial report.

D. OPEB Expenses and Deferred Outflows/Inflows of Resources Related to OPEB For the fiscal year ended June 30, 2025, the City recognized OPEB Expenses of $5.6 million.

The City reported deferred outflows of resources and deferred inflows of resources related to OPEB by sources for the fiscal year ended June 30, 2025 are as follows (dollars in thousands):

Current
Dis count Rate
-1% (4.60%)
Discount Ra te
(5.60%)
Discount Ra te
+1% (6.60%)
29,329$ 6,550$ (12,208)$ Hea lthcare Hea lthca re Heal thca re
Cost Trend Cos t Trend Cost Trend
Rate -1% Current Ra te +1%
(13,636)$ 6,550$ 31,239$ Deferred Deferred
Outflows of Inflows of
Resources Resources
OPEB contributions subsequent to measurement date 6,680$ -$ Differences between expected and actual experience 2,673 1,844 Changes in assumptions 3,133 2,265 Net differences between projected and actual earnings on plan investments 7,572 -
Total 20,058$ 4,109$
93 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 9 OTHER POSTEMPLOYMENT BENEFITS (Continued)
D. OPEB Expenses and Deferred Outflows/Inflows of Resources Related to OPEB (Continued) As of June 30, 2025, the City reported $6.7 million as deferred outflows of resources related to contributions for OPEB subsequent to the measurement date, which will be recognized as a reduction of the net OPEB liability in the fiscal year ending June 30, 2026. Net amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized as OPEB expense are as follows (dollars in thousands):

NOTE 10 RISK MANAGEMENT
The City is exposed to various risks of loss related to torts, errors and omissions, injuries to employees or others, and unemployment. The City has established various self-insurance programs to account for and finance its uninsured risks of loss. Under the self-insurance programs, the City retains the risk of loss up to a maximum of $1.0 million for general liability and property claims, $750,000 for workers' compensation claims with statutory excess insurance and actual costs incurred for unemployment.

For general liability claims, the City has excess liability coverage through the Authority for California Cities Excess Liabilities (ACCEL) to cover the risk of loss for claims in excess of $1.0 million per incident. ACCEL is a joint powers authority of medium-sized California municipalities, which pools catastrophic general liability, automobile liability and public officials’ errors and omissions losses. Amounts of settlements have not exceeded insurance coverage in the past three years.

Charges to the General Fund and other insured funds are determined from an analysis of self- insured claims costs and reserve requirements and are recorded as operating expenditures or expenses of such funds and operating revenues of the various internal service funds.

Estimated liabilities are recorded for claims in cases where such amounts are reasonably determinable and where the liability is likely for claims which are incurred through the end of the fiscal year but not reported until after that date. The estimated liability is determined based upon historical claims data discounted at 2.0 percent annually and independently determined estimates of the amounts needed to pay prior and current year claims.

Fiscal Year
Ending June 30
2026 2,933$
2027 6,898
2028 (388)
2029 (174)
Total 9,269$
94 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 10 RISK MANAGEMENT (Continued)
Changes in accrued self-insurance claims for the fiscal year ended June 30 are as follows (dollars in thousands):

The City has not significantly reduced its insurance coverage from the prior fiscal year. Furthermore, settlements have not exceeded insurance coverage for the past three fiscal years.

NOTE 11 LEASES
The City entered into various lease agreements as either a lessor or lessee for land, equipment, and other asset classes. As a lessee, the City is required to recognize a lease liability and an intangible right-to-use lease asset.

As a lessor, the City is required to recognize a lease receivable and a deferred inflow of resources. The City defines leases as balances with an initial individual value of more than $200,000.

A. City as Lessor
As a lessor, the City entered into lease agreements with various lease terms. Most leases include periodic adjustments to the lease amount at determined intervals. For the year ended June 30, 2025, the City received an immaterial amount of variable and other payments from the lease arrangements.

Information about lease revenues and interest revenues recognized during the year ended June 30, 2025, as well as lease receivable and lease related deferred inflows of resources as of June 30, 2025 are as follows (dollars in thousands):

2024 2025
Beginning Balance 11,343$ 11,794$
Liability for current and change in prior fiscal year claims and claims incurred but not reported (IBNR) 2,062 1,241 Claims paid (1,611) -
Ending Balance 11,794$ 13,035$
Current portion 3,854$ 4,202$
General Park Land Governmental
Fund Dedication Fund Activities
Lease revenue for the year 26,908$ 516$ 27,424$ Lease interest revenue for the year 12,836 11 12,847 Lease receivable at year-end 740,875 134 741,009 Deferred inflow of resources at year-end 697,232 129 697,361 95 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 11 LEASES (Continued)
A. City as Lessor (Continued)
The annual lease receipt schedule for the lease receivables is as follows (dollars in thousands):

B. City as Lessee
As a lessee, the City entered into lease agreements with various lease terms. For the year ended June 30, 2025, the City had not paid any variable and other payments for the lease arrangement. As of June 30, 2025, the leased liabilities balance was $3.3 million.

The annual debt service requirement for the leases liabilities is as follows (dollars in thousands):

For the Fiscal Year
Ending June 30 Principal Interest Total Principal Interest Total1 2026 10,832$ 12,656$ 23,488$ 134$ 1$ 135$ 2027 11,342 12,479 23,821 - - - 2028 12,615 12,286 24,901 - - - 2029 13,790 12,067 25,857 - - - 2030 14,740 11,829 26,569 - - - 2031-2035 81,954 55,134 137,088 - - - 2036-2040 111,176 46,795 157,971 - - - 2041-2045 152,393 35,556 187,949 - - - 2046-2050 199,476 20,324 219,800 - - - 2051-2055 61,205 7,900 69,105 - - - 2056-2060 35,614 4,684 40,298 - - - 2061-2065 26,087 1,636 27,723 - - - 2066-2070 9,651 407 10,058 - - - Total 740,875$ 233,752$ 974,627$ 134$ 1$ 135$ Governmental Activities
General Fund/ Park Land Dedication Fund/
Governmental Activities
For the Fiscal Year
Ending June 30 Principal Interest Total
2026 663$ 81$ 744$ 2027 705 63 768 2028 655 44 699 2029 608 28 636 2030 642 11 653 2031 94 - 94 Total 3,367$ 227$ 3,594$ Governmental Activities
96 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 11 LEASES (Continued)
C. Significant Lease Arrangements
SFX Entertainment, Inc. ‐ On May 10, 2006, the City, the Shoreline Community, and SFX Entertainment, Inc. (SFX), wholly owned by Live Nation, entered into an Amended and Restated Amphitheatre Ground Lease Agreement (Agreement) for the period from March 15, 2006 through December 31, 2020. SFX excised the first five-year option to extend the lease with an expiration date of December 31, 2025. A second five-year option is at the discretion of the City. The lessee is required to pay annual base rent to the City, due in nine equal installments in the months of April through December. Beginning March 15, 2018, the lease payment shall increase 2.0 percent annually. As of June 30, 2025, the amount of lease receivable is $12.2 million.

Google LLC. (Google) - On March 7, 1995, the City, as lessor, entered into a 55-year lease with Silicon Graphics, Inc. (SGI), an entity not affiliated with the City (1995 Lease). This lease provides for the rental of City land located within the Shoreline Community upon which SGI constructed a 500,000 square foot corporate campus. On December 12, 1996, the City, as lessor, entered into another 55-year lease with SGI (1997 Lease). This lease provides for the rental of City land located within the Shoreline Community upon which SGI constructed a second 556,000 square foot facility. On April 19, 2001, SGI assigned the two lease agreements described above to Goldman Sachs, Inc., an entity not affiliated with SGI or the City. Goldman Sachs assigned the agreements to WXIII/Crittenden Realty C, LLC on May 22, 2001, which assigned the agreements to Google on June 29, 2006. The 1995 Lease and 1997 Lease provide for rent increases of 4.0 percent per annum and the rent is to be adjusted every 10 years to the greater of 6.0 percent of the then fair value of the property or the initial base rent. As of June 30, 2025, the amount of lease receivable for the 1995 Lease and 1997 Lease are $261.6 million and $287.3 million, respectively.

On August 31, 2007, the City, as lessor, entered into a 55-year lease with Google (2007 Lease). The lease provides for rent increases of 3.0 percent per annum and the rent is to be adjusted every 10 years to the greater of 7.0 percent of the then fair value of the property or the initial base rent. The revalued monthly rent shall not exceed 165.0 percent of the monthly rent payable during the initial year of the prior escalation period. As of June 30, 2025, the amount of lease receivable for the 2007 Lease is $108.6 million.

In Fiscal Year 2017-18, the City Council approved the development for the Charleston East site and approved the sublease of Parking Lots C & D between Google and SFX through December 31, 2025 to provide temporary parking space during the Charleston East Site construction. In exchange for the City’s consent to accept the sublease between Google and SFX, starting January 1, 2021, the City receives payment of $2.3 million annually with annual adjustments of 4% through December 31, 2025. On June 29, 2024, an amendment was signed and starting July 1, 2024, the City receives payment of $930,000 annually with annual adjustments of 2% through December 31, 2025. As of June 30, 2025, the amount of lease receivable is $480,000.
97 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 11 LEASES (Continued)
C. Significant Lease Arrangements (Continued)
MV 101 Development, LLC - On April 1, 2015, the City, as lessor, entered into a DDA and a 55-year ground lease with MV 101 Development, LLC, (MV 101), an entity not affiliated with the City. The DDA provides for the development of 6.69 acres of land owned by the City, at 750 Moffett Boulevard, commonly referred to as Ameswell (formerly Moffett Gateway) in conjunction with adjacent land formerly owned by Caltrans and acquired by MV 101, with a hotel, office building and joint parking structure. The ground lease provides for the rental of the City land for 55 years with four 10-year extensions. The agreement also provides for office building minimum rent upon the issuance of a building permit at $140 per buildable square foot at 5.0 percent of the fair value of the land, with increases of 3.0 percent per annum. Commencing with the 16th operating year and every 10 years thereafter, the building minimum base rent shall be increased or decreased to the current market rate based on 5.0 percent of the then current fair value of the property or the initial base rent, whichever is higher and adjusted thereafter by the annual CPI. As of June 30, 2025, the amount of lease receivable is $61.7 million.

NOTE 12 SUBSCRIPTION-BASED INFORMATION TECHNOLOGY ARRANGEMENTS (SBITA) The City entered into various agreements for SBITA. The City is required to recognize a SBITA liability and an intangible right-to-use SBITA asset. The City defines SBITA as balances with an initial individual value of more than $200,000.

For the year ended June 30, 2025, the City had not paid any variable and other payments for the SBITA. As of June 30, 2025, the SBITA liabilities balance was $4.9 million.

The annual debt service requirement for the SBITA liabilities is as follows (dollars in thousands):

Significant SBITA Arrangements
Axon Enterprise Inc
In Fiscal year 2024-25, the City entered into an agreement with Axon Enterprise Inc. (Axon) for the purchase and use of Axon devices and services, which includes hardware provided by Axon and Axon’s web and cloud services, as well as other professional services. The term of the agreement is 10 years with an additional 5-year extension.

The annual payment ranges from $390,000 to $429,000. The SBITA asset and liability related to the Axon agreement is $4.9 million. As of June 30, 2025, the amount of SBITA liability is $4.6 million.

For the Fiscal Year
Ending June 30 Principal Interest Total
2026 432$ 142$ 574$ 2027 455 129 584 2028 283 118 401 2029 292 109 401 2030 301 100 401 2031-2035 1,657 350 2,007 2036-2040 1,528 77 1,605 Total 4,948$ 1,025$ 5,973$ Governmental Activities
98 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 13 NET POSITION AND FUND BALANCES
A. Net Position
Net position is the excess of all assets and deferred outflows of resources over all liabilities and deferred inflows of resources, regardless of fund. Net position is divided into three captions on the Statement of Net Position. These captions apply only to net position, which is determined at the Government-wide level and proprietary funds and are described as follows:

Net investment in capital assets – This caption groups all capital assets, including infrastructure, into one component of net position. Accumulated depreciation and the outstanding balances of debt, including debt related deferred outflows and inflows of resources that are attributable to the acquisition, construction or improvement of these assets reduce the balance in this category.

Restricted – This caption represents net position, which is restricted as to use by the terms and conditions of agreements with outside parties, governmental regulations, laws or other restrictions which the City cannot unilaterally alter. These principally include developer fees received for use on capital projects, grant funds, funds restricted for debt service, and funds restricted to low and moderate income housing purposes.

Unrestricted – This caption represents net position of the City not restricted for any project or purpose.

B. Fund Balances
Governmental fund balances represent the assets and deferred outflows of resources less the liabilities and deferred inflows of resources of each fund. Governmental funds report fund balance in classifications based primarily on the extent to which the City is bound to honor constraints on how specific amounts in the funds can be spent. For programs with multiple funding sources, the City prioritizes and expends funds in the following order: Restricted, Committed, Assigned and Unassigned. Each category in the following hierarchy is ranked according to the degree of spending constraint as follows:

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

Restricted fund balances have external restrictions imposed by creditors, grantors, contributors, laws, regulations, or enabling legislation, which requires the resources to be used only for a specific purpose.

Nonspendable amounts subject to restrictions are included along with spendable resources.

Committed fund balances have constraints imposed by resolution of the City Council, which may only be altered by resolution of the City Council. Nonspendable amounts subject to Council commitments are included along with spendable resources.

Assigned fund balances are amounts constrained by the City’s intent to be used for a specific purpose, but are neither restricted nor committed. Intent is expressed by the City Council or its designees and may be changed at the discretion of the City Council or its designees. The City Council has not delegated the authority to make assignments of fund balance. This category also includes residual fund balances of Special Revenue, Capital Projects and Debt Service Funds, which have not been restricted or committed.

Unassigned fund balance represents residual amounts that have not been restricted, committed or assigned.

This includes the residual general fund balance and residual fund deficits, if any, of other governmental funds.
99 City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 13 NET POSITION AND FUND BALANCES (Continued)
B. Fund Balances (Continued)
Detailed classifications of the City’s fund balances, as of June 30, 2025, are as follows (dollars in thousands):

Shoreline Park Land
Regional Park General Capital Dedication Other
Fund Balance Classifications General Community Housing Projects Capital Projects Governmental Total Nonspendables:

Inventory 757$ -$ -$ -$ -$ 112$ 869$ Loans and notes receivable 2,033 - - - - - 2,033 Deposits and prepaid costs 3,777 - - - - - 3,777 Total Nonspendable 6,567 - - - - 112 6,679 Restricted for:

Shoreline Regional Park Community - 129,369 - - - - 129,369 Landfill Containment - 13 - - - - 13 Housing - - 192,754 - - - 192,754 General Capital Projects - - - 328,472 - - 328,472 Park Land Dedication Fees - - - - 61,655 - 61,655 Gas Tax - - - - - 4,728 4,728 Other Streets and Transportation - - - - - 645 645 Construction Tax - - - - - 9,629 9,629 Development Services - - - - - 3,986 3,986 CSFRA/Rental Housing Committee - - - - - 1,321 1,321 Mobile Home Rent Stabilization - - - - - 545 545 Housing Successor - - - - - 13,093 13,093 Downtown Benefit Assessment District - - - - - 26,108 26,108 Police Asset Forfeitures - - - - - 431 431 Grants - - - - - 30,992 30,992 Cable Television - - - - - 757 757 Deferred Assessments - - - - - 390 390 Debt Service - - - - - 6,078 6,078 Special Assessment - - - - - 45 45 Storm Drain Construction - - - - - 155 155 Minor Estate Trust 449 - - - - - 449 Total Restricted 449 129,382 192,754 328,472 61,655 98,903 811,615 Committed to:

Development Services 5,092 - - - - 20,912 26,004 Budget Contingency 19,973 - - - - - 19,973 Earned Lease Revenue 7,231 - - - - - 7,231 Property Management 1,510 - - - - - 1,510 Graham School Site Maintenance 284 - - - - - 284 Transportation 7,871 - - - - - 7,871 Capital Improvement 13,323 - - - - - 13,323 Open Space Acquisition 991 - - - - - 991 Strategic Property Acquisition 20,561 - - - - - 20,561 Childcare Commitment 109 - - - - - 109 Compensated Absences 7,526 - - - - - 7,526 General Special Purpose - - - - - 321 321 Parental Leave Absence 1,014 - - - - - 1,014 Employee Loan 6,269 - - - - - 6,269 Total Committed 91,754 - - - - 21,233 112,987 Assigned:

Contractual Obligations 4,899 - - - - - 4,899 Unassigned: 162,136 - - - - (40) 162,096 Total Fund Balances 265,805$ 129,382$ 192,754$ 328,472$ 61,655$ 120,208$ 1,098,276$ 100
City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 13 NET POSITION AND FUND BALANCES (Continued)
C. Committed Fund Balances
The City Council adopted reserve policies and additional council actions which includes commitments of fund balances as follows:

1. The Development Services fund balances shall be used to fund the future obligations of the City’s development activity.

2. The General Fund Budget Contingency Reserve shall be used to provide one-time financial resources during uncertain economic conditions. This reserve may be used for such things as the transitioning of positions to be eliminated, the phasing out of certain expenditures, smoothing of employee benefit changes, or anticipated or unanticipated revenue declines, as approved by City Council.

3. The General Fund Earned Lease Revenue Reserve Shall be used to accumulate the rent from the ground lease of a portion of the City’s Charleston East property to Google LLC (Google). Google prepaid $30.0 million as rent for the initial approximately 52-year lease term. The intent is for this reserve to accumulate the rent, as it is earned, to fund one-time expenses of the City.

4. The General Fund Property Management Reserve shall be used to provide a source of funds for obligations, which could arise from the City's leasing of property including legal services, certain responsibilities identified in land leases, environmental testing, or other costs normally incurred by a lessor.

5. The Graham Site Maintenance Reserve shall be used to fund the maintenance obligations, per the agreement with the school district, of the Graham Sports Complex, including the playing field at Graham Middle School beneath which the City has a reservoir.

6. The General Fund Transportation Reserve shall be used for the purpose of major priority transportation projects to mitigate traffic congestion, improve infrastructure, and meet the needs of the City, as authorized by the City Council.

7. The General Fund Capital Improvement Reserve, to be funded with a goal of a minimum balance of $5,000,000, shall be used for the funding of unanticipated priority capital improvement projects authorized by the City Council. To the extent possible, General Operating Fund carryovers remaining from the end of the fiscal year, not designated for other reserve purposes, may be applied to this reserve.

8. The General Fund Open Space Acquisition Reserve shall be used for the purpose of acquiring open space to meet the needs of the City and as authorized by the City Council. Proceeds from excess City-owned properties shall fund this reserve as directed by City Council.

9. The General Fund Strategic Property Acquisition Reserve shall be used for the purpose of setting aside specific funds for the City to use for the acquisition of strategic property(ies).

10. The Childcare Commitment Reserve shall be used to fund low-income subsidies for Childcare.

11. The Compensated Absences Reserve shall fund the disbursements of terminated or retired employees for accrued vacation and sick leave or other accrued leave as applicable. This Reserve shall be funded at a minimum of 80.0% of the accrued liabilities of the City for compensated absences such as vacation and vested sick leave.
101
City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 13 NET POSITION AND FUND BALANCES (Continued)
C. Committed Fund Balances (Continued)

12. The Parental Leave Reserve will be reviewed annually and maintained at a level adequate to meet estimated benefit liabilities.

13. The Employee Loan Reserve shall be used to provide a source of funds for the employee homebuyer and relocation assistance programs administrated by Council Policy D-13

14. The General Special Purpose Reserve is designated for resources the City has received to be spent on specific purposes, such as revenue received from the Tree Mitigation Fees, which shall be used for tree planting-related expenses.

15. The Shoreline Golf Links Reserve shall be used to fund Shoreline Golf Links and related golf course operations and improvements.

D. Minimum Fund Balance / Net Position Policies
The City’s Financial and Budgetary Policy requires the City to strive to maintain the following fund balances/net position:

1. The General Fund Reserve at 20 to 25 percent of General Fund appropriations.

2. The General Fund Capital Improvement Reserve to be funded with a goal of a minimum balance of $5.0 million.

3. The Compensated Absences Reserve shall be funded at a minimum of 80 percent of the accrued liabilities of the City for compensated absences such as vacation and vested sick leave.

4. The Shoreline Regional Park Community Special Revenue Fund shall maintain a reserve of 25 percent of operating expenditures; the landfill reserve shall be incrementally increased to accumulate funds to rebuild the landfill system based on the most recent Landfill Master Plan. The reserve shall have adequate balance to rebuild the landfill system, in case of a catastrophic event; and the sea level rise reserve is to be incrementally increased to accumulate funds for projects identified in the most recent Shoreline Sea Level Rise Study. The contributed amount shall be determined annually based on the available resources, timeline of the projects, and results of the Shoreline Sea Level Rise Study.

5. The Enterprise Fund Reserves shall maintain a minimum 10 percent of operating budget for emergency, a minimum of 5 percent operating budget for contingency and a goal of 10 percent of operating budget for rate stabilization.

6. The Equipment Replacement Reserve shall be maintained to fund the replacement of capital equipment.

7. The Workers’ Compensation Self-Insurance Reserve shall be maintained at 70 percent confidence level for the projected liabilities as determined by an actuarial valuation to be conducted at least once every three years.
102
City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 13 NET POSITION AND FUND BALANCES (Continued)
D. Minimum Fund Balance / Net Position Policies (Continued)

8. The Liability Self-Insurance Reserve shall be maintained at a 70 percent confidence level for the projected liabilities as determined by an actuarial valuation to be conducted at least once every three years.

9. The Unemployment Self-Insurance Reserve and the Employee Benefit Plan Reserve shall be reviewed annually and maintained at a level adequate to meet estimated benefit liabilities.

E. Landfill Containment Reserve
In 2013, CalRecycle regulations required the City to create a reserve, in whole or incrementally, for potential corrective actions associated with a non-water release event at the landfill site. The estimated costs of the corrective actions are adjusted annually by an inflation factor approved by CalRecycle. On June 25, 2013, the City Council approved to restrict funds for landfill containment in the Landfill reserve of the Shoreline Community Fund. The City estimated the costs for the corrective actions to be $1.2 million for the fiscal year ended June 30, 2025, and $13.0 million to rebuild a new landfill system. As of June 30, 2025, the City restricted $13.0 million for landfill containment and planned to increase the balance to accumulate funds to rebuild the landfill system based on the most recent Landfill Master Plan.

NOTE 14 COMMITMENTS AND CONTINGENCIES
A. Encumbrances
The City’s outstanding encumbrances as of June 30, 2025, are as follows (dollars in thousands):

B. Litigation
The City is a defendant in several lawsuits and other matters arising in the normal course of operations. The City's management and legal counsel are of the opinion the potential claims against the City not covered by insurance resulting from such litigation would not materially affect the financial position of the City.

Fund Balance
Amount Classification
General Fund 1,858$ Committed
General Fund 4,899 Assigned
Shoreline Regional Park Communtiy 430 Restricted Housing 2,520 Restricted
General Capital Projects 50,166 Restricted Park Land Dedication Capital Project 3 Restricted Non-Major Governmental Funds 1,668 Restricted Total 61,544$
103
City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 14 COMMITMENTS AND CONTINGENCIES (Continued)
C. City of Palo Alto Regional Water Quality Control Plant The City of Mountain View conveys all of its wastewater for treatment to the Palo Alto Regional Water Quality Control Plant (Treatment Plant) owned and administered by the City of Palo Alto. The Treatment Plant is governed by a Partners Agreement between the City of Palo Alto, the City of Mountain View, and the City of Los Altos. As part of the Agreement, the City purchases treatment capacity at the Treatment Plant. The Agreement provides that the City will purchase capacity through December 31, 2060, and for the City of Palo Alto to set service charges annually with quarterly billings based on estimated use. A reconciliation of actual to estimated charges is completed annually. For the fiscal year ending June 30, 2025, these costs totaled $16.4 million, which is included as a component of cost of sales and services expenses in the Wastewater Enterprise Fund.

The Agreement has been amended from time to time. Recent addenda include provisions for large capital improvement projects at the treatment plant and a portion of the Joint Interceptor System for which debt was issued by the City of Palo Alto and the Partners agreed to pay their share of debt based on capacity rights. Each Partner’s share of debt is included in the annual budget provided by the City of Palo Alto and is billed through the quarterly billings. For the fiscal year ended June 30, 2025, the City’s share of debt services totaled to $624,000.

On May 19, 2025, the City executed an amendment with the City of Palo Alto for the Advanced Water Purification System (AWPS) Construction project. The total project cost is approximately $60.0 million, with the City agreeing to contribute $22.0 million as a cash payment to help reduce the debt. Of this, $17.0 million will be paid in Fiscal Year 2025-26, and the remaining $5.0 million is anticipated to be paid in Fiscal Year 2026-27.

Palo Alto has applied for a State Revolving Fund (SRF) loan and plans to use between $10.5 million to $12.9 million, depending on the status of a separate U.S. Bureau of Reclamation grant fund for the project, with an interest rate of 1.7%. Loan payments are expected to begin after the project is completed, around Fiscal Year 2027-28, and the debt payments will be included in the City of Palo Alto's quarterly billings.

D. Sunnyvale Material Recovery and Transfer (SMaRT®) Station During Fiscal Year 1992-93, the City entered into a Memorandum of Understanding (MOU) with the City of Sunnyvale to obtain solid waste and recycling services at the SMaRT® Station. The MOU provides that the City has a capacity share of 23.45 percent of this facility for 30 years which expired during Fiscal Year 2021-

22. The City entered into a new MOU with the City of Sunnyvale with an effective date of December 22, 2021 and termination date of December 31, 2036. Annual service charges are determined based on actual per- ton charges. For the fiscal year ended June 30, 2025, these costs totaled $8.0 million.

104
City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 14 COMMITMENTS AND CONTINGENCIES (Continued)
E. Education Enhancement Reserve Joint Powers Agreement (JPA) On June 30, 2013, the Shoreline Community entered into an Education Enhancement JPA with the Mountain View Los Altos Unified High School District (MVLAUHSD) and the Mountain View Whisman School District (MVWSD) effective July 1, 2013, for a period of 10 years, superseding any prior agreements dating back to the first such agreement in 2006. The purpose of the Education Enhancement JPA is to create an Education Enhancement Reserve in which funds provided by the Shoreline Community are used to enhance the educational and technology capacity of students in the districts, which will contribute to the availability of a local technology workforce to further the objectives of the Shoreline Community. The agreement provides for minimum annual payments, which commenced with the fiscal year ended June 30, 2014, and have increased annually based on growth in property tax revenues in the preceding fiscal year. Each subsequent fiscal year increases based on growth in property tax revenues in the preceding fiscal year. The Agreement expired in June 2023. In May 2023, the Shoreline Community and the school districts extended the Agreement until June 30, 2024. An amendment to the 2023 EER Agreement, dated June 13, 2024, for a three-year extension was finalized in October 2024. In May 2025, a new EER Agreement was executed by all parties to supersede any prior agreements and will remain effective through June 30, 2035.

For the fiscal year ended June 30, 2025, the Shoreline Community paid a total of $12.0 million in contributions to the school districts, including $7.3 million to MVWSD and $4.7 million to MVLAUHSD.

F. Tax Revenue Sharing
Pursuant to an agreement between the City, the Shoreline Community, and the County dated June 22, 2005, the Shoreline Community is annually obligated to pay the County from tax revenues, an amount equal to the County’s total retirement tax override levies and pass-through an additional amount of taxes that would have been allocated to the County in the absence of the existence of the Shoreline Community. For the fiscal year ended June 30, 2025, $2.8 million and $3.5 million in retirement tax override levies and pass-through payments, respectively, were paid to the County.

G. Bay Area Water Supply and Conservation Agency Revenue Bonds Surcharge The City contracts with the City and County of San Francisco for the purchase of water from the Hetch Hetchy System operated by the San Francisco Public Utilities Commission (SFPUC). The City is also a member of the Bay Area Water Supply and Conservation Agency (BAWSCA), which represents the interests of all the 24 cities and water districts, as well as two private utilities, that purchase wholesale water from the SFPUC.

Under the 2009 25-year agreement with the SFPUC, a minimum water delivery level is included. On June 21, 2017, the City entered an agreement to permanently transfer all rights, title and interest of 1.0 MGD of annual Individual Supply Guarantee to the City of East Palo Alto (EPA). After SFPUC approved the agreement, the City received a one-time payment of $5.0 million in Fiscal Year 2017-18 from EPA for the 1.0 MGD water rights. During the Fiscal year 2024-25 the SFPUC and a supermajority of the BAWSCA member agencies ratified the minimum purchase requirements and as a result of this ratification the City is no longer required to make minimum water purchase.

105
City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 14 COMMITMENTS AND CONTINGENCIES (Continued)
G. Bay Area Water Supply and Conservation Agency Revenue Bonds Surcharge (Continued) In addition, under the agreement, the SFPUC issues revenue bonds and the debt service (which also includes an interest component) is paid for through rates over the life of the bonds. Prior assets under the previous agreement were transferred to the new agreement and assigned a life with an agreed upon rate of return of 5.13 percent.

BAWSCA issued Revenue Bonds (Bonds) in the principal amount of $335.8 million in January 2013 to prepay the capital cost recovery payment obligation and fund a stabilization fund. The Bonds mature in October 2034 and are secured by surcharges to the monthly water purchase charges imposed upon the participating members. The Bonds are not a debt obligation of any member, and BAWSCA’s failure to pay its Bonds would not constitute a default by any participating member.

The City paid its surcharge of $1.2 million during the fiscal year ended June 30, 2025, which is included as a component of cost of sales and services expenses in the Water Enterprise Fund. The surcharge for Fiscal Year 2025-26 is estimated to be $1.4 million.

H. Education Revenue Augmentation Fund
In 1992, as a way of solving its own budget shortfalls, the State enacted legislation that shifted partial financial responsibility for funding K-14 education to local government. Property tax revenues belonging to cities, counties, and special districts were shifted to the Education Revenue Augmentation Fund (ERAF).

When the State shifts more local property tax than required, these funds are returned to cities, counties and special districts and are known as excess ERAF.

In November 2021, the County notified cities that the California School Boards Association and its Education Legal Alliance filed a lawsuit against the Controller of the State of California (SCO), disputing the calculation and disbursement of excess ERAF funds. As a result, the County estimates that 20 to 30 percent of ERAF disbursed to all cities over three years is subject to litigation. This case has since been resolved in favor of the SCO.

The City’s primary concern now is the County’s upcoming audit with the SCO, expected to take place in late 2025 or early 2026, following the conclusion of the SCO’s audit of San Francisco. The County has strongly encouraged each agency to reserve a portion of its excess ERAF distributions going back to Fiscal Year 2020-

21. The estimated at-risk percentages, based on the completed SCO audit findings for Marin County, are:
 Fiscal Year 2020-21 through 2023-24: 22%
 Fiscal Year 2024-25: 20%
 Fiscal Year 2025-26: 18%
The City estimates that approximately $9.0 million is at risk as of June 30, 2025. ERAF revenue for Fiscal Year 2025-26 is projected to be $9.8 million, net of the 18% at-risk amount.

The City has currently set aside $2.7 million as a liability for the potential ERAF clawback. Combined with the eligible $9.8 million in ERAF revenue the City is projected to receive for fiscal year 2025-26, the City would have $3.5 million more than the potential clawback amount, assuming the SCO audit does not conclude in the City’s favor.
106
City of Mountain View
Notes to Basic Financial Statements
For the Year Ended June 30, 2025

NOTE 15 RESTATEMENTS
A. Restatements due to the implementation of GASB Statement No. 101, Compensated Absences

For the year ended June 30, 2025, the City implemented GASB Statement No. 101, Compensated Absences, which requires recognition of a liability as leave is earned and likely to be used or paid. Adoption of this Statement will enhance the relevance and reliability of information about the liability for compensated absences. The implementation represents a change in accounting principle and resulted in a restatement of the opening balance of compensated absences reported in the Statement of Net Position. This change affected the compensated absence line item within Governmental and Business Type Activities as well as Water, Wastewater, Solid Waste and Internal Services funds to reflect previously unrecognized liabilities, and the opening balance net position was restated retrospectively as presented above.

B. Restatements due to Change in Reporting Entity

During the fiscal year 2024-25 the City changed reporting of Flexible Benefits Plan from Custodial Funds to General Fund. As a result, the beginning restricted cash and accounts payable increased by $177,000 respectively in the General Fund and restricted cash and accounts payable by decreased by the same amounts in the Flexible Benefits Plan. There was no overall impact on the Net position of the General Fund. However, this led to a decrease in the beginning net position of the total Custodial Funds which was overstated by $177,000 in the previous year.

Water Wastewater Solid Waste
Internal Service
Funds
Governmental
Activities
Business-Type
Activities
Fund Balance/net position as
previously reported at June 30, 2024 120,060$ 106,668$ 20,439$ 38,909$ 1,368,186$ 247,167$ Change in Accounting Principle (217) (119) (102) (25) (4,679) (438) Total restatements (217) (119) (102) (25) (4,679) (438) Fund balance/net position as
restated at June 30, 2024 119,843$ 106,549$ 20,337$ 38,884$ 1,363,507$ 246,729$ General Fund Flexible Benefits
plan
General Fund Flexible Benefits
plan
Restricted Cash Balance
as previously reported at
June 30, 2024 -$ 177$
Accounts Payable Balance as
previously reported at June 30, 2024 17,085$ 177$ Change in Reporting Entity 177 (177) Change in Reporting Entity 177 (177) Total restatements 177 (177) Total restatements 177 (177) Restricted Cash as
restated at June 30, 2024 177$ -$
Accounts Payable as
restated at June 30, 2024 17,262$ -$
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108

REQUIRED

SUPPLEMENTARY INFORMATION
109
City of Mountain View
Required Supplementary Information
For the year ended June 30, 2025
(Dollars in Thousands)
Schedule of Changes in the Net Pension Liability and Related Ratios - Miscellaneous Plan Last Fiscal 10 Years*
Fiscal year ended 2016 2017 2018
Measurement period 2015 2016 2017

TOTAL PENSION LIABILITY
Service cost 6,412$ 6,675$ 7,473$ Interest on the total pension liability 25,058 26,269 27,198 Changes in benefit terms - - - Changes in assumptions (6,028) - 22,221 Differences between expected and actual experience (568) (577) (2,154) Benefit payments, including refunds of
employee contributions (14,861) (15,518) (17,303) Net change in the total pension liability 10,013 16,849 37,435 Total pension liability - beginning 338,379 348,392 365,241 Total pension liability - ending (a) 348,392$ 365,241$ 402,676$

PLAN FIDUCIARY NET POSITION
Contributions - employer 8,673$ 11,318$ 12,413$ Contributions - employee 3,148 3,065 3,121 Plan to plan resource movement - - - Investment income 5,709 1,328 29,071 Benefit payments, including refunds of
employee contributions (14,861) (15,518) (17,303) Administrative expenses (288) (156) (378) Net change in plan fiduciary net position 2,381 37 26,924 Plan fiduciary net position - beginning 253,338 255,719 255,756 Plan fiduciary net position - ending (b) 255,719$ 255,756$ 282,680$ Net pension liability - ending (a) - (b) 92,673$ 109,485$ 119,996$ Plan fiduciary net position as a percentage of the total pension liability 73.4% 70.0% 70.2%
Covered payroll 36,233$ 38,450$ 39,034$ Net pension liability as a percentage of covered payroll 255.8% 284.7% 307.4% Notes to the Schedule:

Benefit Changes - The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary. In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. The impact, if any, is included in the changes of benefit terms. 110
2019 2020 2021 2022 2023 2024 2025
2018 2019 2020 2021 2022 2023 2024
7,669$ 8,342$ 8,622$ 8,642$ 9,639$ 9,953$ 10,926$ 28,405 29,850 31,427 32,778 33,695 35,480 37,350 - - - - - 472 - (2,554) - - - 14,543 - - 2,350 2,677 4,461 1,435 (1,882) 8,997 10,220 (18,056) (19,708) (21,764) (23,432) (25,927) (28,251) (29,836) 17,814 21,161 22,746 19,423 30,068 26,651 28,660 402,676 420,490 441,651 464,397 483,820 513,888 540,539 420,490$ 441,651$ 464,397$ 483,820$ 513,888$ 540,539$ 569,199$ 17,917$ 17,514$ 18,696$ 15,273$ 17,345$ 17,839$ 20,538$ 3,513 3,549 3,959 5,489 5,666 6,214 6,808 (1) - - - - - - 24,062 20,477 16,690 78,758 (31,970) 24,132 39,276 (18,056) (19,708) (21,764) (23,432) (25,927) (28,251) (29,836) (1,277) (219) (466) (347) (264) (285) (331) 26,158 21,613 17,115 75,741 (35,150) 19,649 36,455 282,680 308,838 330,451 347,566 423,307 388,157 407,806 308,838$ 330,451$ 347,566$ 423,307$ 388,157$ 407,806$ 444,261$ 111,652$ 111,200$ 116,831$ 60,513$ 125,731$ 132,733$ 124,938$

73.4% 74.8% 74.8% 87.5% 75.5% 75.4% 78.1%
40,657$ 43,994$ 46,084$ 47,644$ 49,915$ 53,084$ 58,363$ 274.6% 252.8% 253.5% 127.0% 251.9% 250.0% 214.1%
Change in assumptions - During measurement period 2014, the discount rate was 7.50%. During measurement period 2015, the discount rate was increased from 7.50% to 7.65 percent. There is no change in discount rate during measurement period 2016.

During measurement period 2017, the discount rate was reduced from 7.65% to 7.15 percent. During measurement period 2018, demographic assumptions and inflation rate were changed in accordance to the 2017 CalPERS Experience Study. There were no changes in assumptions during measurement periods 2019, 2020, and 2021. During measurement period 2022, the discount rate was reduced from 7.15% to 6.90%, inflation rate was reduced from 2.50% to 2.30%, and demographic assumptions were changed in accordance with the 2021 CalPERS Experience Study. There were no assumption changes in 2023 or 2024. 111
City of Mountain View
Required Supplementary Information
For the year ended June 30, 2025
(Dollars in Thousands)
Schedule of Changes in the Net Pension Liability and Related Ratios - Safety Plan Last Fiscal 10 Years*
Fiscal year ended 2016 2017 2018
Measurement period 2015 2016 2017

TOTAL PENSION LIABILITY
Service cost 6,061$ 5,945$ 6,857$ Interest on the total pension liability 21,792 22,704 23,599 Changes in benefit terms - - - Changes in assumptions (5,345) - 19,688 Differences between expected and actual experience 1,234 (1,633) (157) Benefit payments, including refunds of
employee contributions (13,721) (14,765) (15,977) Net change in the total pension liability 10,021 12,251 34,010 Total pension liability - beginning 292,808 302,829 315,080 Total pension liability - ending (a) 302,829$ 315,080$ 349,090$

PLAN FIDUCIARY NET POSITION
Contributions - employer 8,139$ 9,904$ 10,572$ Contributions - employee 2,656 2,697 2,709 Plan to plan resource movement 32 - - Investment income 4,852 1,117 24,545 Benefit payments, including refunds of
employee contributions (13,721) (14,765) (15,977) Administrative expenses (246) (133) (321) Net change in plan fiduciary net position 1,712 (1,180) 21,528 Plan fiduciary net position - beginning 216,804 218,516 217,336 Plan fiduciary net position - ending (b) 218,516$ 217,336$ 238,864$ Net pension liability - ending (a) - (b) 84,313$ 97,744$ 110,226$ Plan fiduciary net position as a percentage of the total pension liability 72.2% 69.0% 68.4%
Covered payroll 22,547$ 22,493$ 23,263$ Net pension liability as a percentage of covered payroll 373.9% 434.6% 473.8% Notes to the Schedule:

Benefit Changes - The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary. In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. The impact, if any, is included in the changes of benefit terms. 112
2019 2020 2021 2022 2023 2024 2025
2018 2019 2020 2021 2022 2023 2024
6,677$ 7,066$ 7,613$ 7,933$ 8,910$ 8,816$ 9,453$ 24,593 25,815 27,043 28,366 29,621 31,081 32,602 - - - - - 178 - (1,385) - - - 16,330 - - 1,416 2,998 2,235 2,993 74 4,742 5,772 (16,998) (17,734) (18,711) (19,902) (21,344) (23,139) (24,759) 14,303 18,145 18,180 19,390 33,591 21,678 23,068 349,090 363,393 381,538 399,718 419,108 452,699 474,377 363,393$ 381,538$ 399,718$ 419,108$ 452,699$ 474,377$ 497,445$ 14,872$ 14,385$ 15,569$ 12,508$ 13,748$ 14,581$ 17,676$ 2,965 2,951 3,345 4,329 4,295 4,721 4,640 (1) - - - - - - 20,199 17,013 13,769 65,428 (26,507) 19,867 32,542 (16,998) (17,734) (18,711) (19,902) (21,344) (23,139) (24,759) (1,079) (184) (388) (289) (219) (236) (274) 19,958 16,431 13,584 62,074 (30,027) 15,794 29,825 238,864 258,822 275,253 288,837 350,911 320,884 336,678 258,822$ 275,253$ 288,837$ 350,911$ 320,884$ 336,678$ 366,503$ 104,571$ 106,285$ 110,881$ 68,197$ 131,815$ 137,699$ 130,942$

71.2% 72.1% 72.3% 83.7% 70.9% 71.0% 73.7%
22,764$ 24,248$ 26,188$ 27,301$ 27,611$ 27,475$ 29,722$ 459.4% 438.3% 423.4% 249.8% 477.4% 501.2% 440.6%
Change in assumptions - During measurement period 2014, the discount rate was 7.50%. During measurement period 2015, the discount rate was increased from 7.50% to 7.65%. There is no change in discount rate during measurement period 2016. During measurement period 2017, the discount rate was reduced from 7.65% to 7.15%. During measurement period 2018, demographic assumptions and inflation rate were changed in accordance to the 2017 CalPERS Experience Study. There are no change in assumptions during measurement periods 2019, 2020, and 2021. During measurement period 2022, the discount rate was reduced from 7.15% to 6.90%, inflation rate was reduced from 2.50% to 2.30%, and demographic assumptions were changed in accordance with the 2021 CalPERS Experience Study. There were no assumption changes in 2023 or 2024. 113
City of Mountain View
Required Supplementary Information
For the year ended June 30, 2025
(Dollars in Thousands)
Schedule of Employer Pension Contributions - Miscellaneous and Safety Plans Fiscal Year Ended June 30,
Miscellaneous Plan 2016 2017 2018
Actuarially determined contribution (ADC) 8,806$ 9,925$ 11,289$ Contributions in relation to The ADC (11,318) (12,413) (17,917) Contribution deficiency (excess) (2,512)$ (2,488)$ (6,628)$ Covered payroll 38,450$ 39,034$ 40,657$ Contributions as a percentage of
covered payroll 29.4% 31.8% 44.1%
Fiscal Year Ended June 30,
Safety Plan 2016 2017 2018
Actuarially determined contribution 8,229$ 8,915$ 9,112$ Contributions in relation to The ADC (9,904) (10,572) (14,872) Contribution deficiency (excess) (1,675)$ (1,657)$ (5,760)$ Covered payroll 22,493$ 23,263$ 22,764$ Contributions as a percentage of
covered payroll 44.03% 45.45% 65.33%
ADC for fiscal year June 30, 2025
Actuarial valuation date June 30, 2023
Actuarial cost method Entry-Age Normal Cost Method
Asset valuation method Actuarial value of assets
Inflation 2.30%
Salary increases Varies by entry age and services
Payroll growth 2.80%
Investment rate of return
Retirement age
Mortality improvement
The actuarial methods and assumptions used to set the actuarially determined contributions for the fiscal year ended June 30, 2025 were as follows:

6.80%, net of pension plan investment and
administrative expenses, includes inflation.

The probabilities of retirement are based on the
2021 CalPERS Experience Study.

The probabilities of mortality are based on the
2021 CalPERS Experience Study.
114
2019 2020 2021 2022 2023 2024 2025
12,769$ 14,207$ 14,159$ 15,117$ 15,909$ 11,462$ 13,435$ (17,514) (18,696) (15,273) (17,345) (17,837) (20,537) (20,934) (4,745)$ (4,489)$ (1,114)$ (2,228)$ (1,928)$ (9,075)$ (7,499)$ 43,994$ 46,084$ 47,644$ 49,915$ 53,084$ 58,363$ 69,485$

39.8% 40.6% 32.1% 34.7% 33.6% 35.2% 30.1%
2019 2020 2021 2022 2023 2024 2025
10,277$ 11,682$ 11,752$ 12,341$ 13,456$ 9,568$ $11,054 (14,385) (15,569) (12,508) (13,748) (14,581) (17,676) (17,507) (4,108)$ (3,887)$ (756)$ (1,407)$ (1,125)$ (8,108)$ (6,453)$ 24,248$ 26,188$ 27,301$ 27,611$ 27,475$ 29,722$ 18,867$

59.32% 59.45% 45.82% 49.79% 53.07% 59.47% 92.79%
115
City of Mountain View
Required Supplementary Information
For the year ended June 30, 2025
(Dollars in Thousands)
Schedule of Changes in the Net OPEB Liability and Related Ratios Fiscal year ended 2018 2019 2020
Measurement period 2017 2018 2019
Total OPEB Liability
Service cost 3,054$ 3,231$ 3,336$ Interest on the total OPEB liability 8,820 9,392 9,857 Changes of assumptions 15,660 - (670) Differences between expected and actual experience (9,020) - (12,915) Benefit payments (5,044) (5,459) (5,729) Net change in the total OPEB liability 13,470 7,164 (6,121) Total OPEB liability - beginning 130,527 143,997 151,161 Total OPEB liability - ending (a) 143,997 151,161 145,040 Plan Fiduciary Net Position
Contribution - employer 12,424 13,233 8,014 Net investment income 7,065 6,858 8,797 Benefit payments (5,044) (5,459) (5,729) Administrative expense (51) (206) (27) Net change in plan fiduciary net position 14,394 14,426 11,055 Plan fiduciary net position - beginning 96,374 110,768 125,194 Plan fiduciary net position - ending (b) 110,768 125,194 136,249 Net OPEB liability/asset - ending (a) - (b) 33,229$ 25,967$ 8,791$ Plan fiduciary net position as a percentage of the total pension liability 76.9% 82.8% 93.9%
Covered-employee payroll 44,181$ 46,799$ 49,135$ Net OPEB liability as a percentage of covered-employee payroll 75.21% 55.49% 17.89% Change in assumptions - During measurement period 2019, the discount rate was reduced from 6.50 percent to 6.25 percent. Demographic assumptions were change in accordance to the 2017 CalPERS Experience Study. There is no change in assumptions during measurement period 2020. During the measurement period 2021, the discount rate was reduced from 6.25 percent to 6.00 percent. Inflation rate was reduced from 2.75 percent to 2.50 percent. Other assumptions including projected salary increase, post retirement benefit increase, and other demographic assumptions were also changed. During the measurement period 2022, the discount rate was reduced from 6.00 percent to 5.60 percent. During the measurement period 2023, the healthcare cost trend rates changed to 6.5% in 2025, fluctuating down to 3.9% by 2075 and investment rate of return reduced from 6.00% to 5.60%. For FY 2025 no assumptions were changed. *Fiscal year ended June 30, 2018 was the first year of implementation of GASB Statement No. 75, therefore only eight years of information is shown.
116
2021 2022 2023 2024 2025
2020 2021 2022 2023 2024
3,320$ 3,428$ 3,474$ 3,927$ 3,979$ 9,079 9,456 8,929 9,102 9,170 - 4,921 7,823 (3,800) - - (13,543) - (615) 3,349 (6,183) (6,772) (6,820) (7,082) (7,818) 6,216 (2,510) 13,406 1,532 8,680 145,040 151,256 148,746 162,152 163,684 151,256 148,746 162,152 163,684 172,364 8,497 6,772 5,848 5,387 5,718 7,384 28,673 (21,942) 5,445 12,715 (6,183) (6,772) (6,820) (7,082) (7,818) (67) (53) (44) (43) (50) 9,631 28,620 (22,958) 3,707 10,565 136,249 145,880 174,500 151,542 155,249 145,880 174,500 151,542 155,249 165,814 5,376$ (25,754)$ 10,610$ 8,435$ 6,550$

96.4% 117.3% 93.5% 94.8% 96.2%
50,838$ 49,104$ 49,318$ 51,730$ 52,639$

10.57% -52.45% 21.51% 16.31% 12.44%
117
City of Mountain View
Required Supplementary Information
For the year ended June 30, 2025
(Dollars in Thousands)
Schedule of Employer OPEB Contributions
Fiscal Year Ended June 30, 2017 2018 2019
Actuarially determined contribution (ADC) 5,577$ 5,639$ 5,334$ Contributions in relation to The ADC (12,424) (13,233) (8,014) Contribution deficiency (excess) (6,847)$ (7,594)$ (2,680)$ Covered employee payroll 44,181$ 46,799$ 49,135$ Contributions as a percentage of
covered employee payroll 28.12% 28.28% 16.31%
ADC for fiscal year June 30, 2025
Actuarial valuation date June 30, 2023
Actuarial cost method Entry-Age Normal Cost Method
Asset valuation method Actuarial value of assets
Inflation 2.50%
Projected salary increases 3.00%
Investment rate of return 5.60%
Post Retirement Benefit Increase
Mortality Based on 2021 CalPERS Experience Study
Mortality Improvement Based on MacLeod Watts Scale 2022 The actuarial methods and assumptions used to set the actuarially determined contributions for the fiscal year ended June 30, 2025 were as follows:

For medical plan premiums: 6.0% for the year
beginning, fluctuating down to 3.90% by 2075
118
2020 2021 2022 2023 2024 2025
6,068$ 4,151$ 3,123$ 3,014$ 3,753$ 4,191$ (8,497) (6,772) (5,848) (5,387) (5,718) (6,680) (2,429)$ (2,621)$ (2,725)$ (2,373)$ (1,965)$ (2,489)$ 50,838$ 49,104$ 49,318$ 51,730$ 52,640$ 57,612$

16.71% 13.79% 11.86% 10.41% -10.86% -11.59%
119
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120

OTHER SUPPLEMENTARY INFORMATION
121
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122
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Park Land Dedication Capital Project
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 2,685$ 2,685$ 3,321$ 636$ Total revenues 2,685 2,685 3,321 636 EXPENDITURES:

Capital outlay
- 6,050 6,012 38 Total expenditures - 6,050 6,012 38

REVENUES OVER (UNDER)
EXPENDITURES 2,685 (3,365) (2,691) 598 OTHER FINANCING SOURCES (USES):

Transfers in - - 5,222 5,222 Transfers out (1,800) (6,202) (6,202) - Total other financing sources (uses) (1,800) (6,202) (980) 5,222 Net change in fund balances 885$ (9,567)$ (3,671) 5,820$ FUND BALANCES:

Beginning of year 65,326
End of year 61,655$
Budgeted Amounts
123
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124
City of Mountain View
Nonmajor Governmental Funds
June 30, 2025

SPECIAL REVENUE FUNDS
Gas Tax Fund
The Gas Tax Fund accounts for gas tax revenues received from the State and expended for construction and maintenance of City streets.

Other Streets and Transportation Fund (Formerly Vehicle Registration Fees Fund) The Other Streets and Transportation Fund (Formerly Vehicle Registration Fees Fund) accounts for fees that voters approved to collect from vehicle registrations accounts for voters approved vehicle registrations fees and sales taxes used to fund local road improvements and repairs, and enhance transit, highways, expressways and active transportation.

Construction Tax Fund
The Construction Tax Fund accounts for revenues from excise tax imposed on the construction of buildings and mobile home lots for the sole purpose of raising revenue for municipal purposes. These revenues are used for acquisition, improvement, maintenance, expansion or implementation of the Capital Improvements Program.

Other Developer Fees Fund
The Other Developer Fees Fund accounts for revenues to be used to encourage development and rejuvenation of areas served by transit facilities.

CSFRA / Rental Housing Committee Fund
The CSFRA / Rental Housing Committee Fund accounts for the activities related to stabilize rents and provide just cause eviction protections for certain rental units in the City.

Mobile Home Rent Stabilization Ordinance Fund
The Mobile Home Rent Stabilization Ordinance Fund accounts for the activities related to stabilize rents and protect the rights for both the mobile home residents and the mobile park owners in the City.

Housing Successor Fund
The Housing Successor Fund accounts for the activities related to the housing assets assumed by the City as Housing Successor to the former Revitalization Authority. The activities are governed by California redevelopment law and must be used to provide housing for people with low and moderate incomes.

Shoreline Golf Links Fund
The Shoreline Golf Links Fund accounts for revenues from user fees at Shoreline Golf Links and related golf course operations and improvements.

Downtown Benefit Assessment District Fund
The Downtown Benefit Assessment District Fund accounts for revenue received for offstreet parking, fees paid in-lieu of providing parking in the District and for annual ad valorem rate and direct assessments levied against the property owners within the
125
City of Mountain View
Nonmajor Governmental Funds
June 30, 2025
SPECIAL REVENUE FUNDS (Continued)
General Special Purpose Fund
The General Special Purpose Fund accounts for fees paid for replacement trees and the CASp training program.

Police Asset Forfeitures Fund
The Police Asset Forfeitures Fund accounts for funds derived from criminal assets seized by police, primarily from illegal narcotics sales activity.

Grants Fund
The Grants Fund accounts for grants received, including Community Development Block Grants, Home Investment Partnership Act Grants, and other Housing related grants, the Local Law Enforcement Block Grant Program, the Supplemental Law Enforcement Services Grants and Traffic Safety grants Cable Television Fund
The Cable Television Fund accounts for Public, Education and Government (PEG) fees collected by the cable providers and restricted for PEG channel support. The City passes a portion of these funds through to a third party to provide public, governmental and educational access television services.

Deferred Assessments Fund
The Deferred Assessments Fund accounts for a program which allows certain property owners to defer up to 100 percent of any special assessment levied on their property. The assessment becomes due upon certain specified occurrences.

DEBT SERVICE FUNDS
Shoreline Regional Park Community 2018 Revenue Bonds Fund The Shoreline Regional Park Community 2018 Revenue Bonds Fund accounts for the resources used for the purpose of paying the principal, interest and related costs on the Shoreline Regional Park Community 2018 Revenue Bonds Series A and Series B as they become due.

Shoreline Regional Park Community 2022 Revenue Bonds Fund The Shoreline Regional Park Community 2022 Revenue Bonds Fund accounts for the resources used for the purpose of paying the principal, interest and related costs on the Shoreline Regional Park Community 2022 Refunding Revenue Bonds Series A as they become due.
126
City of Mountain View
Nonmajor Governmental Funds
June 30, 2025
DEBT SERVICE FUNDS (Continued)
Special Assessments Fund
The Special Assessments Fund accounts for resources financed by special assessments levied against property receiving special benefits, contributions from other funds for general benefits and certain reserve requirements.

CAPITAL PROJECTS FUNDS
Storm Drain Construction Fund
The Storm Drain Construction Fund accounts for revenues derived from off-site drainage fees used for storm drain projects in the Capital Improvements Program.
127
City of Mountain View
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2025
(Dollars in Thousands)
ASSETS
Cash and investments 4,038$ 496$ 9,380$ 24,536$ Restricted cash and investments - - - - Receivables:

Accounts 605 125 - - Interest 85 24 249 362 Loans and notes - - - - Inventory - - - - Total assets 4,728$ 645$ 9,629$ 24,898$

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES

Liabilities:

Accounts payable and accrued liabilities -$ -$ -$ -$ Refundable deposits - - - - Unearned revenue - - - - Total liabilities - - - -

Fund Balances:

Nonspendable - - - - Restricted 4,728 645 9,629 3,986 Committed - - - 20,912 Unassigned - - - - Total fund balances 4,728 645 9,629 24,898 Total liabilities, deferred inflows of
resources and fund balances 4,728$ 645$ 9,629$ 24,898$ Special Revenue Funds
Gas Tax
Other Streets and
Transportation Construction Tax
Other Developer
Fees
128
1,224$ 543$ 1,683$ 439$ 26,300$ 377$ - - - 20 - - 94 - - - - - 9 4 - 1 168 2 - - 11,410 - - - - - - 112 - - 1,327$ 547$ 13,093$ 572$ 26,468$ 379$ 6$ 2$ -$ 82$ 358$ -$ - - - 6 2 58 - - - 412 - - 6 2 - 500 360 58 - - - 112 - - 1,321 545 13,093 - 26,108 - - - - - - 321 - - - (40) - - 1,321 545 13,093 72 26,108 321 1,327$ 547$ 13,093$ 572$ 26,468$ 379$ (Continued)
Special Revenue Funds
Mobile Home
Rent Stabilization
Ordinance
(MHRSO) Housing Successor
Shoreline Golf
Links
Downtown
Benefit
Assessment
District
General Special
Purpose
CSFRA / Rental
Housing
Committee
129
City of Mountain View
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2025
(Dollars in Thousands)
ASSETS
Cash and investments 431$ 10,194$ 793$ 390$ Restricted cash and investments - - - - Receivables:

Accounts - - - - Interest - 53 - - Loans and notes - 20,804 - - Inventory - - - - Total assets 431$ 31,051$ 793$ 390$

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES

Liabilities:

Accounts payable and accrued liabilities -$ 59$ 36$ -$ Refundable deposits - - - - Unearned revenue - - - - Total liabilities - 59 36 -

Fund Balances:

Nonspendable - - - - Restricted 431 30,992 757 390 Committed - - - - Unassigned - - - - Total fund balances 431 30,992 757 390 Total liabilities, deferred inflows of
resources and fund balances 431$ 31,051$ 793$ 390$ Special Revenue Funds
Police Asset
Forfeitures Grants Cable Television
Deferred
Assessments
130
Capital Projects
Funds
Total Nonmajor
Governmental
Funds
-$ -$ 45$ 148$ 81,017$ 6,078 - - - 6,098 - - - - 824 - - - 7 964 - - - - 32,214 - - - - 112 6,078$ -$ 45$ 155$ 121,229$ -$ -$ -$ -$ 543$ - - - - 66 - - - - 412 - - - - 1,021 - - - - 112 6,078 - 45 155 98,903 - - - - 21,233 - - - - (40) 6,078 - 45 155 120,208 6,078$ -$ 45$ 155$ 121,229$ Storm Drain
Construction
Debt Service Funds
Shoreline Regional
Park Community
2018 Revenue
Bonds
Shoreline Regional
Park Community
2022 Revenue
Bonds
Special
Assessments
131
City of Mountain View
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Nonmajor Governmental Funds
For the year ended June 30, 2025
(Dollars in Thousands)
REVENUES:

Property taxes -$ -$ -$ -$ Other taxes
- - 4,866 - Licenses, permits and fees - - - - Use of money and property 117 (21) 96 1,389 Intergovernmental 4,765 1,463 - - Charges for services - 125 - - Developer fees and contributions - - - 59 Other - - - - Total revenues 4,882 1,567 4,962 1,448 EXPENDITURES:

Current:

General government
- - - 2,450 Public safety - - - - Public works - 117 - - Community development - - - - Culture and recreation - - - - Debt service:

Principal - - - - Interest and fiscal charges - - - - Total expenditures - 117 - 2,450

REVENUES OVER (UNDER)
EXPENDITURES 4,882 1,450 4,962 (1,002) OTHER FINANCING SOURCES (USES):

Transfers in
727 155 4,494 1,125 Transfers out (5,881) (1,641) (10,918) (1,500) Total other financing sources (uses) (5,154) (1,486) (6,424) (375) Net change in fund balances (272) (36) (1,462) (1,377) FUND BALANCES:

Beginning of year
5,000 681 11,091 26,275 End of year 4,728$ 645$ 9,629$ 24,898$ Special Revenue Funds
Gas Tax
Other Streets and
Transportation Construction Tax
Other Developer
Fees
132
-$ -$ -$ -$ 1,317$ -$ - - - - - 15 - - - - 296 - 73 26 152 17 1,395 20 - - - - 3 - - - - 4,431 218 - - - - - 258 - 1,781 322 - 4 54 - 1,854 348 152 4,452 3,541 35 - - - - - - - - - - - - - - - - - - 2,009 230 - - 602 27 - - - 4,312 - - - - - - - - - - - - - - 2,009 230 - 4,312 602 27 (155) 118 152 140 2,939 8 - - - - 31 - (5) - - (178) (109) - (5) - - (178) (78) - (160) 118 152 (38) 2,861 8 1,481 427 12,941 110 23,247 313 1,321$ 545$ 13,093$ 72$ 26,108$ 321$ (Continued)
Special Revenue Funds
CSFRA / Rental
Housing
Committee
Mobile Home
Rent Stabilization
Ordinance
(MHRSO) Housing Successor
Shoreline Golf
Links
Downtown
Benefit
Assessment
District
General Special
Purpose
133
City of Mountain View
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Nonmajor Governmental Funds
For the year ended June 30, 2025
(Dollars in Thousands)
REVENUES:

Property taxes -$ -$ -$ -$ Other taxes
- - - - Licenses, permits and fees - - - - Use of money and property 2 571 - - Intergovernmental - 1,314 - - Charges for services - - - - Developer fees and contributions - - - - Other - - 134 - Total revenues 2 1,885 134 - EXPENDITURES:

Current:

General government
- - 202 - Public safety - 256 - - Public works - - - - Community development - 489 - - Culture and recreation - - - - Debt service:

Principal - - - - Interest and fiscal charges - - - - Total expenditures - 745 202 -

REVENUES OVER (UNDER)
EXPENDITURES 2 1,140 (68) - OTHER FINANCING SOURCES (USES):

Transfers in
- - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balances 2 1,140 (68) - FUND BALANCES:

Beginning of year
429 29,852 825 390 End of year 431$ 30,992$ 757$ 390$ Special Revenue Funds
Police Asset
Forfeitures Grants Cable Television
Deferred
Assessments
134
Capital Projects
Funds
Total Nonmajor
Governmental
Funds
-$ -$ -$ -$ 1,317$ - - - - 4,881 - - - - 296 253 - - 8 4,098 - - - - 7,545 - - - 2 4,776 - - - - 317 - - - - 2,295 253 - - 10 25,525 - - - - 2,652 - - - - 256 - - - - 117 - - - - 3,357 - - - - 4,312 985 875 - - 1,860 2,996 968 - - 3,964 3,981 1,843 - - 16,518 (3,728) (1,843) - 10 9,007 3,612 1,836 - 134 12,114 - - - (261) (20,493) 3,612 1,836 - (127) (8,379) (116) (7) - (117) 628 6,194 7 45 272 119,580 6,078$ -$ 45$ 155$ 120,208$ Debt Service Funds
Storm Drain
Construction
Shoreline Regional
Park Community
2018 Revenue
Bonds
Shoreline Regional
Park Community
2022 Revenue
Bonds
Special
Assessments
135
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Gas Tax
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 307$ 307$ 117$ (190)$ Intergovernmental
4,427 4,427 4,765 338 Total revenues 4,734 4,734 4,882 148 EXPENDITURES:

Total expenditures - - - -

REVENUES OVER (UNDER)
EXPENDITURES 4,734 4,734 4,882 148 OTHER FINANCING SOURCES (USES):

Transfers in
- - 727 727 Transfers out (5,656) (5,881) (5,881) - Total other financing sources (uses) (5,656) (5,881) (5,154) 727 Net change in fund balances (922)$ (1,147)$ (272) 875$ FUND BALANCES:

Beginning of year
5,000
End of year 4,728$
Budgeted Amounts
136
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Other Streets and Transportation
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 109$ 109$ (21)$ (130)$ Intergovernmental 550 976 1,463 487 Charges for services - - 125 125 Total revenues 659 1,085 1,567 482 EXPENDITURES:

Current:

Public works
50 189 117 72 Total expenditures 50 189 117 72

REVENUES OVER (UNDER)
EXPENDITURES 609 896 1,450 554 OTHER FINANCING SOURCES (USES):

Transfers in - - 155 155 Transfers out 100 (1,641) (1,641) - Total other financing sources (uses) 100 (1,641) (1,486) 155 Net change in fund balances 709$ (745)$ (36) 709$ FUND BALANCES:

Beginning of year 681
End of year 645$
Budgeted Amounts
137
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Construction Tax
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Other taxes 5,010$ 5,010$ 4,866$ (144)$ Use of money and property
1,233 1,233 96 (1,137) Total revenues 6,243 6,243 4,962 (1,281) EXPENDITURES:

Total expenditures - - - -

REVENUES OVER (UNDER)
EXPENDITURES 6,243 6,243 4,962 (1,281) OTHER FINANCING SOURCES (USES):

Transfers in
- - 4,494 4,494 Transfers out (10,593) (10,918) (10,918) - Total other financing sources (uses) (10,593) (10,918) (6,424) 4,494 Net change in fund balances (4,350)$ (4,675)$ (1,462) 3,213$ FUND BALANCES:

Beginning of year
11,091
End of year 9,629$
Budgeted Amounts
138
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Other Developer Fees
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 1,645$ 1,645$ 1,389$ (256)$ Developer fees and contributions
- - 59 59 Total revenues 1,645 1,645 1,448 (197) EXPENDITURES:

Current:

General government
City council
- 2,450 2,450 - Total expenditures - 2,450 2,450 -

REVENUES OVER (UNDER)
EXPENDITURES 1,645 (805) (1,002) (197) OTHER FINANCING SOURCES (USES):

Transfers in
- - 1,125 1,125 Transfers out (1,500) (1,500) (1,500) - Total other financing sources (uses) (1,500) (1,500) (375) 1,125 Net change in fund balances 145$ (2,305)$ (1,377) 928$ FUND BALANCES:

Beginning of year
26,275
End of year 24,898$
Budgeted Amounts
139
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual CSFRA / Rental Housing Committee
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 33$ 33$ 73$ 40$ Other
1,697 1,697 1,781 84 Total revenues 1,730 1,730 1,854 124 EXPENDITURES:

Current:

Community development
2,342 2,478 2,009 469 Total expenditures 2,342 2,478 2,009 469

REVENUES OVER (UNDER)
EXPENDITURES (612) (748) (155) 593 OTHER FINANCING SOURCES (USES):

Transfers out
(5) (5) (5) - Total other financing sources (uses) (5) (5) (5) - Net change in fund balances (617)$ (753)$ (160) 593$ FUND BALANCES:

Beginning of year
1,481
End of year 1,321$
Budgeted Amounts
140
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Mobile Home Rent Stabilization Ordinance (MHRSO)
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 8$ 8$ 26$ 18$ Other
316 316 322 6 Total revenues 324 324 348 24 EXPENDITURES:

Current:

Community development
321 323 230 93 Total expenditures 321 323 230 93

REVENUES OVER (UNDER)
EXPENDITURES 3 1 118 117 Net change in fund balances 3$ 1$ 118 117$ FUND BALANCES:

Beginning of year
427
End of year 545$
Budgeted Amounts
141
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Housing Successor
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 39$ 39$ 152$ 113$ Total revenues 39 39 152 113 EXPENDITURES:

Current:

Community development
1,000 1,000 - 1,000 Total expenditures 1,000 1,000 - 1,000

REVENUES OVER (UNDER)
EXPENDITURES (961) (961) 152 1,113 Net change in fund balances (961)$ (961)$ 152 1,113$ FUND BALANCES:

Beginning of year
12,941
End of year 13,093$
Budgeted Amounts
142
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Shoreline Golf Links
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property -$ -$ 17$ 17$ Charges for services
4,699 4,699 4,431 (268) Other 9 9 4 (5) Total revenues 4,708 4,708 4,452 (256) EXPENDITURES:

Current:

Culture and recreation
Community services
4,453 4,464 4,312 152 Total expenditures 4,453 4,464 4,312 152

REVENUES OVER (UNDER)
EXPENDITURES 255 244 140 (104) OTHER FINANCING SOURCES (USES):

Transfers out (78) (178) (178) - Total other financing sources (uses) (78) (178) (178) - Net change in fund balances 177$ 66$ (38) (104)$ FUND BALANCES:

Beginning of year 110
End of year 72$
Budgeted Amounts
143
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Downtown Benefit Assessment District
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Property taxes 1,327$ 1,327$ 1,317$ (10)$ Licenses, permits and fees
250 250 296 46 Use of money and property 658 658 1,395 737 Intergovernmental 3 3 3 - Charges for services 231 231 218 (13) Developer fees and contributions - - 258 258 Other - - 54 54 Total revenues 2,469 2,469 3,541 1,072 EXPENDITURES:

Current:

Community development 626 897 602 295 Total expenditures 626 897 602 295

REVENUES OVER (UNDER)
EXPENDITURES 1,843 1,572 2,939 1,367 OTHER FINANCING SOURCES (USES):

Transfers in
- - 31 31 Transfers out (109) (109) (109) - Total other financing sources (uses) (109) (109) (78) 31 Net change in fund balances 1,734$ 1,463$ 2,861 1,398$ FUND BALANCES:

Beginning of year 23,247
End of year 26,108$
Budgeted Amounts
144
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual General Special Purpose
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Other taxes -$ -$ 15$ 15$ Use of money and property
11 11 20 9 Charges for services 50 50 - (50) Total revenues 61 61 35 (26) EXPENDITURES:

Current:

Community development
131 136 27 109 Total expenditures 131 136 27 109

REVENUES OVER (UNDER)
EXPENDITURES (70) (75) 8 83 Net change in fund balances (70)$ (75)$ 8 83$ FUND BALANCES:

Beginning of year
313
End of year 321$
Budgeted Amounts
145
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Police Asset Forfeitures
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property -$ -$ 2$ 2$ Total revenues - - 2 2 EXPENDITURES:

Current:

Public safety
Police
- 430 - 430 Total expenditures - 430 - 430

REVENUES OVER (UNDER)
EXPENDITURES - (430) 2 432 Net change in fund balances -$ (430)$ 2 432$ FUND BALANCES:

Beginning of year
429
End of year 431$
Budgeted Amounts
146
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Grants
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property -$ -$ 571$ 571$ Intergovernmental
1,820 1,902 1,314 (588) Total revenues 1,820 1,902 1,885 (17) EXPENDITURES:

Current:

Public safety
Police
175 257 256 1 Community development 1,647 6,314 489 5,825 Total expenditures 1,822 6,571 745 5,826

REVENUES OVER (UNDER)
EXPENDITURES (2) (4,669) 1,140 5,809 Net change in fund balances (2)$ (4,669)$ 1,140 5,809$ FUND BALANCES:

Beginning of year
29,852
End of year 30,992$
Budgeted Amounts
147
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Cable Television
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Other 145$ 145$ 134$ (11)$ Total revenues 145 145 134 (11) EXPENDITURES:

Current:

General government
City manager
195 284 202 82 Total expenditures 195 284 202 82

REVENUES OVER (UNDER)
EXPENDITURES (50) (139) (68) 71 Net change in fund balances (50)$ (139)$ (68) 71$ FUND BALANCES:

Beginning of year
825
End of year 757$
Budgeted Amounts
148
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Deferred Assessments
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Total revenues -$ -$ -$ -$ EXPENDITURES:

Total expenditures - - - -

REVENUES OVER (UNDER)

EXPENDITURES - - - - Net change in fund balances
-$ -$ - -$ FUND BALANCES:

Beginning of year 390
End of year 390$
Budgeted Amounts
149
City of Mountain View
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Storm Drain Construction
For the year ended June 30, 2025
(Dollars in Thousands)
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property 32$ 32$ 8$ (24)$ Charges for services
10 10 2 (8) Total revenues 42 42 10 (32) EXPENDITURES:

Total expenditures - - - -

REVENUES OVER (UNDER)
EXPENDITURES 42 42 10 (32) OTHER FINANCING SOURCES (USES):

Transfers in
- - 134 134 Transfers out (261) (261) (261) - Total other financing sources (uses) (261) (261) (127) 134 Net change in fund balances (219)$ (219)$ (117) 102$ FUND BALANCES:

Beginning of year
272
End of year 155$
Budgeted Amounts
150
City of Mountain View
Internal Service Funds
June 30, 2025
Equipment Maintenance and Replacement Fund
The Equipment Maintenance and Replacement Fund accounts for equipment maintenance services provided to other funds and the replacement of certain equipment.

Workers' Compensation Insurance Fund
The Workers' Compensation Insurance Fund accounts for the City's self-insurance program for workers' compensation benefits and for the administration of safety and loss prevention programs.

Unemployment Self-Insurance Fund
The Unemployment Self-Insurance Fund accounts for State and Federal-mandated unemployment insurance benefits for employees.

Liability Self-Insurance Fund
The Liability Self-Insurance Fund accounts for the City's general liability self-insurance and property insurance programs.

Retirees' Health Plan Fund
The Retirees' Health Plan Fund accounts for the health plan contributions for retirees of the City and the funds set aside for future retirees' benefits.

Employee Benefits Plan Fund
The Employee Benefits Plan Fund accounts for the City's self-insurance vision and other benefits for City employees. 151
City of Mountain View
Combining Statement of Net Position
Internal Service Funds
June 30, 2025
(Dollars in Thousands)
ASSETS
Current Assets:

Cash and investments 28,312$ 12,364$ 612$ Restricted cash and investments - 200 - Receivables:

Interest 210 70 4 Deposits and prepaid items - - - Total current assets 28,522 12,634 616 Noncurrent:

Capital assets:

Depreciable capital assets 178 - - Accumulated depreciation (178) - - Net capital assets - - - Total noncurrent assets - - - Total assets 28,522 12,634 616 LIABILITIES Current liabilities:

Accounts payable and accrued liabilities 854 151 - Compensated absences - current 15 - - Accrued self-insurance costs - current - 3,695 - Total current liabilities 869 3,846 - Noncurrent liabilities:

Compensated absences 97 - - Accrued self-insurance costs - 8,309 - Total noncurrent liabilities 97 8,309 - Total liabilities 966 12,155 -

NET POSITION
Unrestricted 27,556 479 616 Total net position 27,556$ 479$ 616$ Equipment Maintenance
& Replacement
Unemployment Self-
Insurance
Workers' Compensation
Insurance
152
Totals
4,844$ 504$ 519$ 47,155$ 902 - - 1,102 32 2 3 321 402 - - 402 6,180 506 522 48,980 - - - 178 - - - (178) - - - - - - - - 6,180 506 522 48,980 30 7 10 1,052 - - - 15 507 - - 4,202 537 7 10 5,269 - - - 97 524 - - 8,833 524 - - 8,930 1,061 7 10 14,199 5,119 499 512 34,781 5,119$ 499$ 512$ 34,781$ Employee Benefits Plan
Retirees' Health
Plan
Liability Self-
Insurance
153
City of Mountain View
Combining Statement of Revenues, Expenses and Changes in Net Position Internal Service Funds
For the year ended June 30, 2025
(Dollars in Thousands)
OPERATING REVENUES:

Charges for services
3,247$ 2,600$ -$ Other 300 21 - Total operating revenues 3,547 2,621 - OPERATING EXPENSES:

Salaries and related expenses 1,843 126 - Insurance claims and premiums - 4,505 - General and administrative 7,675 196 21 Total operating expenses 9,518 4,827 21 Operating income (loss) (5,971) (2,206) (21) NONOPERATING REVENUES (EXPENSES):

Investment income 1,752 689 35 Total nonoperating revenues (expenses) 1,752 689 35 Income before contributions and transfers (4,219) (1,517) 14 CONTRIBUTIONS AND TRANSFERS:

Transfers in 2,089 - - Transfers out (1,001) - - Total contributions and transfers 1,088 - - Change in net position (3,131) (1,517) 14 NET POSITION:

Beginning of year
30,712$ 1,996$ 602$ Restatements (25) - - Beginning of year, as restated 30,687 1,996 602 End of year 27,556$ 479$ 616$ Equipment
Maintenance &
Replacement
Workers'
Compensation
Insurance
Unemployment Self-
Insurance
154
Totals
5,621$ 4,327$ 37$ 15,832$ 348 2,263 2 2,934 5,969 6,590 39 18,766 - 6,508 50 8,527 4,709 - - 9,214 1,142 24 7 9,065 5,851 6,532 57 26,806 118 58 (18) (8,040) 165 (21) 29 2,649 165 (21) 29 2,649 283 37 11 (5,391) 200 2,800 - 5,089 - (2,800) - (3,801) 200 - - 1,288 483 37 11 (4,103) 4,636$ 462$ 501$ 38,909 - - - (25) 4,636 462 501 38,884 5,119$ 499$ 512$ 34,781$ Employee Benefits
Plan
Liability Self-
Insurance Retirees' Health Plan
155
City of Mountain View
Combining Statement of Cash Flows
Internal Service Funds
For the year ended June 30, 2025
(Dollars in Thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:

Cash received from Interfund charges 3,547$ 2,621$ -$ Cash paid to suppliers for goods and services (6,895) (217) (21) Cash paid to employees for services (1,843) (126) - Claims paid - (3,368) - Net cash provided by (used in) operating activities (5,191) (1,090) (21) CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES:

Transfers in 2,089 - - Transfers out (1,001) - - Net cash provided by (used in)
noncapital financing activities 1,088 - - CASH FLOWS FROM INVESTING ACTIVITIES:

Interest received 1,716 684 34 Net cash provided by (used in) investing activities 1,716 684 34 Net cash flows (2,387) (406) 13 CASH AND INVESTMENTS - Beginning of year 30,699 12,970 599 CASH AND INVESTMENTS - End of year 28,312$ 12,564$ 612$ RECONCILIATION OF CASH AND CASH EQUIVALENTS:

Cash and investments 28,312 12,364 612 Restricted cash and investments - 200 - Total cash and cash equivalents 28,312$ 12,564$ 612$

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

Operating income (loss) (5,971)$ (2,206)$ (21)$ Adjustments to reconcile operating income (loss) to
net cash provided by (used in) operating activities:

Changes in assets and liabilities:

Deposits and prepaid items - - - Accounts payable and accrued liabilities 780 (21) - Accrued compensated absences - - - Accrued self-insurance costs - 1,137 - Net cash provided by (used in) operating activities (5,191)$ (1,090)$ (21)$ Unemployment Self-
Insurance
Workers'
Compensation
Insurance
Equipment
Maintenance &
Replacement
156
Totals
5,969$ 6,590$ 39$ 18,766$ (1,154) (20) - (8,307) - (6,508) (50) (8,527) (4,605) - - (7,973) 210 62 (11) (6,041) 200 2,800 - 5,089 - (2,800) - (3,801) 200 - - 1,288 157 (34) 29 2,586 157 (34) 29 2,586 567 28 18 (2,167) 5,179 476 501 50,424 5,746$ 504$ 519$ 48,257$ 4,844 504 519 47,155 902 - - 1,102 5,746$ 504$ 519$ 48,257$ 118$ 58$ (18)$ (8,040)$ (12) - - (12) - 4 7 770 - - - - 104 - - 1,241 210$ 62$ (11)$ (6,041)$ Employee Benefits
Plan
Retirees' Health
PlanLiability Self-Insurance
157
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158
City of Mountain View
Custodial Funds
June 30, 2025
Fire Union Custodial Fund
The Fire Union Custodial Fund accounts for money received on behalf of the Fire Union used for union activities.

Police Union Custodial Fund
The Police Union Custodial Fund accounts for money received on behalf of the Police Union used for union activities.

Center for the Performing Arts Custodial Fund
The Center for the Performing Arts Custodial Fund accounts for money received by the Center for the Performing Arts on behalf of the event organizers.
159
City of Mountain View
Combining Statement of Fiduciary Net Position
Custodial Funds
June 30, 2025
(Dollars in Thousands)
Total
Custodial
Funds
ASSETS
Cash and investments 43$ 7$ -$ -$ 50$ Restricted cash and investments - - - 400 400 Total assets 43 7 - 400 450

LIABILITIES

Total liabilities - - - - -

NET POSITION
Restricted for:

Individuals, organizations, and other governments 43 7 - 400 450 Total Net Position 43$ 7$ -$ 400$ 450$ Fire Union Police Union
Flexible Benefits
Plan
Center For the
Performing Arts
160
City of Mountain View
Combining Statement of Changes in Fiduciary Net Position Custodial Funds
For the year ended June 30, 2025
(Dollars in Thousands)
Total
Custodial
Funds
ADDITIONS:

Fees and others collected 53$ 16$ -$ 406$ 475$ Total additions 53 16 - 406 475 DEDUCTIONS:

Distribution to others 45$ 29$ -$ 444$ 518 Total deductions 45 29 - 444 518 Change in net position 8 (13) - (38) (43) NET POSITION:

Beginning of year 35$ 20$ 177$ 438$ 670 Restatements - - (177) - (177) Beginning of year, as restated 35 20 - 438 493 End of year 43$ 7$ -$ 400$ 450$ Fire Union Police Union
Flexible Benefits
Plan
Center For the
Performing Arts
161
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162

STATISTICAL SECTION
163
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164

CITY OF MOUNTAIN VIEW, CALIFORNIA
Statistical Section
For the Fiscal Year Ended June 30, 2025

This section of the City's Annual Comprehensive Fi nancial 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
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
These schedules contain information to help the reader assess the City's most significant local revenue source, the property tax.

Debt Capacity
These schedules present information to help the reader 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
These schedules offer demographic and economic indicators to help the reader understand the environment within which the City's financial activities take place.

Operating Information
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 City provides and the activities it performs.

Sources
Unless otherwise noted, the information in these schedules is derived from the Annual Comprehensive Financial Reports for the relevant year.

165
Schedule 1
Fiscal Year Ended June 30,
2016 2017 2018 2019
Governmental activities
Net investment in capital assets 450,011 $ 446,280 $ 450,851 $ 466,424$ Restricted 256,471 319,980 382,993 463,224 Unrestricted (11,492) 20,918 (42,935) (1) (31,615) Total governmental activities net position 694,990 $ 787,178 $ 790,909 $ 898,033$ Business-type activities
Net investment in capital assets 82,555 80,809 79,783 86,332 Unrestricted 38,244 51,586 78,278 82,193 Total business-type activities net position 120,799 $ 132,395 $ 158,061 $ 168,525$ Primary government
Net investment in capital assets 532,566$ 527,089 $ 530,634 $ 552,756$ Restricted 256,471 319,980 382,993 463,224 Unrestricted 26,752 72,504 35,343 (1) 50,578 Total primary government net position 815,789 $ 919,573 $ 948,970$ 1,066,558$ (1) The Unrestricted Net Position decreased in fiscal year ended June 30, 2018 due to the implementation of GASB No. 75.
(2) The Unrestricted Net Position restated in fiscal year ended June 30, 2021 due to the implementation of GASB No. 87.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Net Position by Component
Last Ten Fiscal Years
(Dollars in Thousands)
166
Schedule 1
Fiscal Year Ended June 30,
2020
2021
2022 2023 2024 2025
467,378$ 467,855$ 502,737$ 555,678$ 583,085$ $619,378 516,825 562,840 624,062 626,817 703,859 739,144 (1,976) 8,772 (2) 66,457 100,514 81,242 88,890 982,227$ 1,039,467 $ 1,193,256 $ 1,283,009 $ 1,368,186 $ 1,447,412 $ 89,969 86,020 87,218 92,486 99,104 104,891 93,692 106,155 124,051 141,036 148,063 159,731 183,661$ 192,175 $ 211,269 $ 233,522 $ 247,167 $ 264,622 $ 557,347$ 553,875$ 589,955$ 648,164$ 682,189$ 724,269$ 516,825 562,840 624,062 626,817 703,859 739,144 91,716 114,927 190,508 241,550 229,305 248,621 1,165,888$ 1,231,642$ 1,404,525$ 1,516,531$ 1,615,353$ 1,712,034$ 0 200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
($ 000)

CITY OF MOUNTAIN VIEW, CALIFORNIA
Net Position by Component
Primary Government
Net investment in capital assets Restricted Unrestricted (as restated)
167
Schedule 2
Fiscal Year Ended June 30,
2016 2017 2018 2019
Expenses
Governmental activities
General government 35,510 $ 38,460 $ 44,602 $ 46,797 $ Public safety 53,538 57,759 66,688 70,435 Public works 31,052 29,541 36,057 35,195 Community development 11,991 13,564 18,206 18,859 Culture and recreation 30,105 31,275 35,698 35,619 Interest on long term debt 1,860 1,732 1,633 3,971 Total governmental activities expenses 164,056 172,331 202,884 210,876 Business-type activities
Water 27,809 30,459 35,101 35,868
Wastewater 17,332 18,250 17,294 19,526
Solid Waste 11,945 11,762 13,235 13,682 Total business-type activities expenses 57,086 60,471 65,630 69,076 Total primary government expenses 221,142 $ 232,802 $ 268,514 $ 279,952 $ Program Revenues
Governmental activities
Charges for services
General government 28,846 $ 34,198 $ 39,415 $ 53,704 $ Public safety 1,643 1,205 1,333 1,407 Public works 3,911 3,165 3,546 3,906 Community development 11,941 14,055 20,485 18,266 Culture and recreation 5,106 5,057 5,315 5,741 Operating grants and contributions 4,297 3,902 3,265 5,111 Capital grants and contributions 31,291 68,541 68,479 62,861 Total government activities program revenues 87,035 130,123 141,838 150,996 Business-type activities
Charges for services:

Water 27,953 33,847 40,571 34,844
Wastewater 19,730 22,818 22,369 23,513
Solid Waste 13,125 14,053
14,870 15,588
Operating grants and contributions - - - - Capital grants and contributions 385 2,443 12,761 2,636 Total business-type activities program revenues 61,193 73,161 90,571 76,581 Total primary government program revenues 148,228 $ 203,284 $ 232,409 $ 227,577 $ Net (Expense) Revenue
Governmental activities (77,021) $ (42,208) $ (61,046) $ (59,880) $ Business-type activities 4,107 12,690 24,941 7,505 Total primary government net expense (72,914) $ (29,518) $ (36,105) $ (52,375) $ (1) California Water and Wastewater Arrearage Payment Program funding received in Fiscal Year 2021-22 applied to delinquent water and wastewater bills during the COVID-19 pandemic.

CITY OF MOUNTAIN VIEW, CALIFORNI
A
Changes in Net Position
Last Ten Fiscal Years
(Dollars in Thousands)
168
Schedule 2
Fiscal Year Ended June 30,
2020 2021 2022 2023 2024 2025
48,167 $ 51,531 $ 50,952 $ 57,508 $ 68,714 $ 75,532 $ 76,853 77,385 62,335 87,425 95,753 99,773 40,789 39,487 42,119 51,273 46,972 43,091 20,423 17,143 15,726 21,303 19,081 21,192 58,221 35,164 33,840 40,854 45,265 52,228 4,278 4,176 4,179 4,303 3,918 3,953 248,731 224,886 209,151 262,666 279,703 295,769 37,522 36,981 32,425 35,284 43,734 43,870 20,109 21,848 22,359 22,472 28,181 29,516 15,077 13,573 12,543 15,255 15,190 17,410 72,708 72,402 67,327 73,011 87,105 90,796 321,439 $ 297,288 $ 276,478 $ 335,677 $ 366,808 $ 386,565 $ 39,191 $ 43,087 $ 59,868 $ 54,643 $ 52,215 $ $49,074 1,270 801 823 1,038 1,099 1,566 2,916 3,397 3,553 2,333 6,273 3,061 15,229 13,123 14,352 13,149 6,768 7,433 4,993 4,903 6,664 7,841 8,736 9,188 6,637 4,572 20,073 15,452 6,086 7,916 81,176 56,217 94,132 35,641 21,853 13,096 151,412 126,100 199,465 130,097 103,030 91,334 38,092 38,205 36,373 36,760 43,175 47,575 25,850 22,962 27,347 29,965 33,247 35,274 15,837 14,731 14,967 15,693 16,543 16,874 - - 546 (1) 4 10 - 5,014 5,033 9,465 10,987 2,866 767 84,793 80,931 88,698 93,409 95,841 100,490 236,205 $ 207,031 $ 288,163 $ 223,506 $ 198,871 $ 191,824 $ (97,319) $ (98,786) $ (9,686) $ (132,569)$ (176,673) $ (204,435)$ 12,085 8,529 21,371 20,398 8,736 9,694 (85,234) $ (90,257) $ 11,685 $ (112,171)$ (167,937) $ (194,741)$ 169
Schedule 2
Fiscal Year Ended June 30,
2016 2017 2018
General Revenues and Other Changes in Net Position
Governmental activities
Taxes:

Property taxes 71,563 $ 86,373 $ 92,478 $
Sales taxes 21,401 21,829 20,713
Transient occupancy tax 6,591 7,043 7,057
Utility users tax 9,898 8,573 8,136
Nonregulatory franchise and business 4,954 4,997 5,364 Intergovernmental revenue 211 219 228
Investment income 8,551 1,314 1,459
Other 1,724 2,859 -
Transfers 386 1,189 (588)
Total government activities 125,279 134,396 134,847 Business-type activities
Investment income 498 95 137
Transfers (386) (1,189) 588
Total business-type activities 112 (1,094) 725
Total primary government 125,391$ 133,302 $ 135,572$ Change in Net Position
Change in net position before extraordinary
and special items:

Governmental activities 48,258 $ 92,188 $ 73,801 $ Business-type activities 4,219 11,596 25,666
Total primary government 52,477 103,784 99,467 Change in net position 52,477 $ 103,784$ 99,467$

CITY OF MOUNTAIN VIEW, CALIFORNI
A
Changes in Net Position
Last Ten Fiscal Years
(Dollars in Thousands)
170
Schedule 2
Fiscal Year Ended June 30,
2019 2020 2021 2022 2023 2024 2025
95,420 $ 107,192$ 119,678 $ 128,861 $ 143,153 $ 153,598 $ 164,321$ 25,058 19,792 18,284 23,456 25,394 24,492 21,177 7,051 5,602 1,918 4,437 9,522 7,961 10,565 7,850 7,870 7,654 8,717 9,672 7,648 11,084 5,549 7,886 9,408 11,784 11,789 11,766 12,208 219 245 242 281 270 293 374 26,411 33,613 1,056 (14,108) 23,594 57,607 71,041 - - - - - - - (554) (687) (9) 47 (1,072) (1,515) (2,430) 167,004 181,513 158,231 163,475 222,322 261,850 $ 288,340 2,405 2,364 (24) (2,230) 783 3,394 5,769 554 687 9 (47) 1,072 1,515 2,430 2,959 3,051 (15) (2,277) 1,855 4,909 8,199 169,963$ 184,564 $ 158,216 $ 161,198 $ 224,177 $ 266,759 $ 296,539$ 107,124$ 84,194$ 59,445 $ 153,789$ 89,753$ 85,177 $ 83,905 $ 10,464 15,136 8,514 19,094 22,253 13,645 17,893
117,588 99,330 67,959 172,883 112,006 98,822 101,798 117,588$ 99,330$ 67,959 $ 172,883$ 112,006 $ 98,822$ 101,798$ 171
Schedule 3

Fiscal Year Ended June 30,
2016 2017 2018 2019
General Fund
Nonspendable 523 $ 541 $ 407 $ 519 $ Restricted - 410 420 424 Committed 53,399 58,655 68,483 74,881 Assigned 1,860 2,094 2,202 2,819 Unassigned 52,459 56,979 55,913 64,539
Total General Fund 108,241 $ 118,679 $ 127,425 $ 143,182 $ All Other Governmental Funds
Nonspendable 57 $ 64 $ 60 $ 72 $ Restricted 256,281 318,281 382,132 532,282
Committed 4,149 17,027 10,553 8,175
Unassigned (3) - (55) (128) Total all other governmental funds 260,484 $ 335,372 $ 392,690 $ 540,401 $

CITY OF MOUNTAIN VIEW, CALIFORNIA
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Dollars in Thousands)
172
Schedule 3
Fiscal Year Ended June 30,
2020 2021 2022 2023 2024 2025
3,757$ 4,292 $ 835$ 1,960$ 7,059 $ 6,567$ 430 437 436 445 442 449 83,827 83,453 96,704 100,554 92,519 91,754 4,604 4,044 5,920 6,479 5,293 4,899 59,394 67,792 93,390 127,142 133,341 162,136 152,012$ 160,018 $ 197,285 $ 236,580 $ 238,654 $ 265,805$ 17,051$ 17,060$ 72$ 75$ 144$ 112$ 586,008 632,852 696,443 696,079 775,590 811,168 13,318 20,869 36,067 34,634 23,024 21,233 - - - - - (40) 616,377$ 670,781 $ 732,582 $ 730,788 $ 798,758 $ 832,473$ 0 50,000
100,000
150,000
200,000
250,000
300,000
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
($ 000)

CITY OF MOUNTAIN VIEW, CALIFORNIA
Fund Balance for General Fund
Nonspendable Restricted Committed Assigned Unassigned
173
Schedule 4

2016 2017 2018 2019 2020
Revenues
Taxes 116,783 $ 131,921 $ 136,206 $ 146,048 $ 149,433$ Licenses, permits and fees 28,136 12,554 17,202 14,688 12,368 Fines and forfeitures 697 872 912 979 768 Use of money and property 19,730 17,508 20,228 45,389 52,008 Intergovernmental 6,415 4,590 5,706 7,062 6,397 Charges for services 27,882 27,330 30,077 32,594 30,479 Developer fees and contributions - 57,628 (1) 60,239 52,291 66,709 Other 7,681 6,233 7,055 17,052 6,903 Total Revenues 207,324 258,636 277,625 316,103 325,065 Expenditures
Current:

General government 34,269 37,379 43,432 44,284 46,303 Public safety 54,790 56,893 65,276 65,968 69,665 Public works 11,924 12,852 16,229 16,400 16,875 Community development 11,941 13,304 18,099 17,988 20,062 Culture and recreation 23,979 24,707 29,257 28,315 52,912 Capital outlay 17,914 16,495 32,688 39,817 24,490 Debt service:

Principal 7,187 4,782 3,355 3,453 1,927 Interest and fiscal charges 1,936 1,782 1,673 2,847 4,533 Total Expenditures 163,940 168,194 210,009 219,072 236,767 Excess (deficiency) of revenues
over (under) expenditures 43,384 90,442 67,616 97,031 88,298 Other Financing Sources (Uses)
Sale of capital assets 1,950 2,894 1,821 - - Issuance of bonds - - - 63,800 - Bond premium - - - 6,416 - - - - - - Lease and SBITA financing - - - - - Transfers in 42,300 57,452 96,599 82,995 143,720 Transfers (out) (49,958) (65,462) (99,972) (86,774) (147,212)
(5,708) (5,116) (1,552) 66,437 (3,492)
Net Change in fund balances 37,676 $ 85,326 $ 66,064 $ 163,468$ 84,806$ Debt service as a percentage of
noncapital expenditures 6.1% 4.3% 2.8% 3.5% 3.0%
(1) Beginning the fiscal year ended June 30, 2017, the City reclassified Developer fees & contributions from various line items. The City elected not to reclassify prior years' balances.

Changes in Fund Balances of Governmental Funds

CITY OF MOUNTAIN VIEW, CALIFORNIA
Payment to refund bond escrow
agent
Total other financing sources
(uses)
Fiscal Year Ended June 30,
(Dollars in Thousands)
Last Ten Fiscal Years
174
Schedule 4
.
2021 2022 2023 2024 2025
160,404 $ 182,055 $ 197,855 $ 204,770 $ 219,815 $ 12,521 11,867 11,835 11,044 11,136 312 316 506 506 746 22,833 18,359 54,272 86,615 98,352 8,251 22,079 16,470 18,321 10,868 27,642 32,495 32,864 27,755 27,823 45,890 85,585 29,559 6,399 2,915 7,509 15,448 7,487 9,409 7,800 285,362 368,204 350,848 364,819 379,455 49,541 53,605 55,564 65,138 70,043 71,579 75,243 78,556 83,768 90,385 18,548 21,245 23,339 23,429 25,311 16,828 17,981 21,305 18,413 19,715 27,192 30,584 33,219 35,918 40,397 29,699 74,108 93,942 56,721 66,931 1,997 2,135 2,403 3,039 3,293 4,437 4,439 4,599 4,172 4,203 219,821 279,340 312,927 290,598 320,278 65,541
88,864 37,921 74,221 59,177
- - - - - - - 21,565 - - - - - - - - - (21,100) - - - 6,549 4,790 474 5,407 58,910 114,413 131,160 131,943 98,042 (62,041) (108,553) (136,835) (136,594) (101,760) (3,131) 12,409 (420) (4,177) 1,689 62,410 $ 101,273 $ 37,501 $ 70,044 $ 60,866 $

3.3% 3.0% 3.0% 3.0% 2.9%
s revenue
Fiscal Year Ended June 30,
175
Schedule 5
Real Property
Fiscal Residential Commercial Industrial
Year Property Property Property Other
2015-16 12,697,503$ 3,633,892 $ 3,381,658 $ 1,016,306 $ 2016-17 14,015,191 4,794,158 3,420,298 1,125,702 2017-18 15,613,793 5,376,731 3,676,616 1,072,122 2018-19 16,641,242 6,027,299 3,944,104 1,087,814 2019-20 18,323,758 6,408,156 4,373,020 1,386,810 2020-21 20,011,424 6,971,532 4,498,546 1,936,547 2021-22 21,255,921 7,778,649 4,680,879 2,537,478 2022-23 23,103,147 8,136,153 5,125,851 3,454,199 2023-24 24,560,282 8,893,367 5,488,294 3,771,063 2024-25 26,642,137 9,551,259 5,852,661 3,739,636 Source: Santa Clara County Assessor
Note: Actual property value data not available in California. (1) California cities do not set their own direct tax rate. The state constitution establishes the rate at 1 percent and allocates a portion of that amount, by an annual calculation, to all the taxing entities within a tax rate area. The City of Mountain View encompasses more than 15 tax rate areas.

CITY OF MOUNTAIN VIEW, CALIFORNI
A
Assessed Value of Taxable Property
Last Ten Fiscal Years
(Dollars in Thousands)
176
Schedule 5
Less: Total Taxable
Tax-Exempt Assessed Total Direct
Unsecured Property Value Tax Rate (1)
2,689,859$ (993,411) $ 22,425,807 $ 1.00% 2,972,482 (1,094,913) 25,232,918 1.00%
3,437,332 (1,145,258) 28,031,336 1.00%
2,830,453 (1,125,615) 29,405,297 1.00%
2,816,506 (1,400,344) 31,907,906 1.00%
2,969,624 (1,611,881) 34,775,792 1.00%
2,815,937 (1,487,266) 37,581,597 1.00%
2,873,920 (1,643,803) 41,049,467 1.00%
3,220,524 (1,650,242) 44,283,288 1.00%
3,807,327 (1,993,586) 47,687,355 1.00%
0 5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
40,000,000
45,000,000
50,000,000
($ 000)

CITY OF MOUNTAIN VIEW, CALIFORNIA
Total Taxable Assessed Value
177
Schedule 6
City Direct Rates
Fiscal Basic Total County of Special Total Direct
Year Rate (2) Direct Santa Clara School Districts Hospitals Districts and Overlapping 2015-16 1.00 1.00 0.0476 0.0476 0.0632 0.1174 0.0129 0.0065 1.1173 1.1844 2016-17 1.00 1.00 0.0474 0.0474 0.0772 0.0943 0.0129 0.0092 1.1338 1.1638 2017-18 1.00 1.00 0.0597 0.0597 0.0737 0.1052 0.0100 0.0071 1.1405 1.1820 2018-19 1.00 1.00 0.0565 0.0565 0.1015 0.1259 0.0100 0.0060 1.1640 1.1984 2019-20 1.00 1.00 0.0557 0.0557 0.0962 0.1158 0.0100 0.0057 1.1576 1.1872 2020-21 1.00 1.00 0.0457 0.0457 0.1110 0.1578 0.0100 0.0052 1.1619 1.2187 2021-22 1.00 1.00 0.0576 0.0576 0.1015 0.1392 0.0100 0.0066 1.1657 1.2134 2022-23 1.00 1.00 0.0559 0.0559 0.0854 0.1479 0.0090 0.0057 1.1470 1.2185 2023-24 1.00 1.00 0.0538 0.0538 0.0783 0.1259 0.0050 0.0053 1.1374 1.1900 2024-25 1.00 1.00 0.0486 0.0486 0.0769 0.1340 0.0020 0.0054 1.1309 1.1900 Source: County of Santa Clara
(1) Overlapping rates are those of local and county governments that apply to property owners within the City of Mountain View. Not all overlapping rates apply to all Mountain View property owners. These are voter approved levies in addition to the 1 percent State levy. (2) The City's share of the basic state wide property tax rate can only be increased by a 2/3 vote of the City's residents.

Overlapping Rates (1)

CITY OF MOUNTAIN VIEW, CALIFORNIA
Direct and Overlapping Property Tax Rates
Last Ten Fiscal Years
(Rate per $100 of assessed value)
178
Schedule 7
Fiscal Year 2024-25 Fiscal Year 2015-16
Percentage Percentage
of Total City of Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Rank Value Value Rank Value
Google LLC $ 8,493,793 1 17.8% $ 3,036,853 1 13.5% Baccarat Shoreline LLC 708,842 2 1.5% 188,422 3 0.8% Sobrato Interests 497,582 3 1.0% - - Microsoft Corporation 261,595 4 0.5% 80,831 7 0.4% Nor Cal Plymouth Realty LLC 234,681 5 0.5% - - Intuit Inc. 546,786 6 1.1% 135,371 6 0.6% P A Charleston Road LLC 124,938 7 0.3% 106,034 5 0.5% Del Rey Investment 122,100 8 0.3% - 0.0% Orion V Sac Village Office Property LLC 669,092 9 1.4% - - IL SH Hotel LLC 85,239 10 0.2% - - HCP Life Science REIT Inc. - - 347,804 2 1.6% Richard T. Peery Trustee - - 138,079 4 0.6% Richard M. & Beverly J. Salado Trustee - - 78,908 8 0.4% LinkedIn Corporation - - 56,027 9 0.2% Murphy Road Apartments - San Jose LP - - 49,069 10 0.2% Subtotal $ 11,744,648 24.6% $ 4,217,398 18.8%

Fiscal Year 2024-25 Total Net Assessed Valuation: $ 47,687,355 Fiscal Year 2015-16 Total Net Assessed Valuation: $ 22,425,807 Source: Santa Clara County Assessor Fiscal Year Combined Tax Rolls.

Ranking based on Tax Revenue.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Principal Property Tax Payers
Current Year and Nine Years Ago
(Dollars in Thousands)
179
Schedule 8

CITY OF MOUNTAIN VIEW, CALIFORNIA
Property Tax Levies and Collections
Last Ten Fiscal Years
(Dollars in Thousands)
Percent Delinquent Total
Fiscal Taxes Current of Levy Tax Taxes Percent
Year Levied (1) Collections (2) Collected Collections Collected of Levy 2015-16 71,563$ 71,563 $ 100% - 71,563 $ 100% 2016-17 86,373 86,373 100% - 86,373 100% 2017-18 92,478 92,478 100% - 92,478 100% 2018-19 95,420 95,420 100% - 95,420 100% 2019-20 107,192 107,192 100% - 107,192 100% 2020-21 119,678 119,678 100% - 119,678 100% 2021-22 128,861 128,861 100% - 128,861 100% 2022-23 143,153 143,153 100% - 143,153 100% 2023-24 153,598 153,598 100% - 153,598 100% 2024-25 164,321 164,321 100% - 164,321 100% Source: City of Mountain View
(1) Levies include real and personal property. Amount excludes Special Assessments and the penalties and fees on delinquent Special Assessments.
(2) The City selected to participate in the "Teeter" plan offered by the County whereby cities receive 100 percent of the taxes levied in exchange for foregoing any interest and penalties collected on delinquent taxes.

The "Teeter" plan does not apply to Special Assessment Districts. 180
This page intentionally left blank
181
Schedule 9
Governmental Activities
Tax Certificates Special
Fiscal Allocation of Bank Lease SBITA Assessment
Year Bonds Participation Loan Liabilities Liabilities Debt 2015-16 32,955 $ - $ 6,265 $ - $ - $ 174 $ 2016-17 31,290 - 3,187 - - 134 2017-18 29,555 - 1,607 - - 95 2018-19 97,863 (3) - - - - 49 2019-20 95,756 - - - - 12 2020-21 93,554 - - - - - 2021-22 91,252 - - 6,499 - - 2022-23 89,885 - - 3,817 1,308 (4) - 2023-24 87,574 - - 3,946 395 - 2024-25 85,497 - - 3,367 4,948 - Sources: City of Mountain View
State of California, Department of Finance (population) U.S. Department of commerce, Bureau of the Census (income) (1) Includes the City of Palo Alto Loan. See Note 7 for additional information. (2) See Schedule 14 (Demographic Statistics) for personal income and population data. (3) Includes 2018 SRPC Revenue Bonds, Series A and Series B (2018 Bonds). (4) Fiscal Year 2022-23 restated to include SBITA liabilities. (5) Personal income data for Fiscal Year 2024-25 is not available until May of 2026.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Ratio of Outstanding Debt by Type
Last Ten Fiscal Years
(Dollars in Thousands)
182
Schedule 9
WasteWater Total Percentage
Water Direct Primary of Personal Per
Bonds (1) Financing Government Income (2) Capita (2)
9,355$ -$ 48,749$ 0.76% 0.61 8,740 - 43,351 0.59% 0.54 8,110 - 39,367 0.49% 0.49 7,470 59 105,441 1.21% 1.30 6,810 9,521 112,099 1.17% 1.36 6,135 8,979 108,668 1.13% 1.31 5,445 8,419 111,615 0.96% 1.33 4,735 7,840 107,585 0.88% 1.27 4,005 7,241 103,161 0.79% 1.19 3,250 6,622 103,684 (5) 1.20 Business-Type
Activities
0 20,000
40,000
60,000
80,000
100,000
120,000
($ 000)

CITY OF MOUNTAIN VIEW, CALIFORNIA
Outstanding Debt by Activity Type
Total Government Total Business
183
Schedule 10

CITY OF MOUNTAIN VIEW, CALIFORNIA
Ratio of General Bonded Debt Outstanding
Last Ten Fiscal Years
(Dollars in Thousands)
General Bonded Debt Outstanding
Percentage of
Tax Actual Taxable
Fiscal Allocation Value of Per
Year Bonds Total Property Capita (1)
2015-16 32,955 $ 32,955 $ 0.15% 0.41
2016-17 31,290 31,290 0.12% 0.39 2017-18 29,555 29,555 0.11% 0.37 2018-19 97,863 (2) 97,863 0.33% 1.21 2019-20 95,756 95,756 0.30% 1.16 2020-21 93,554 93,554 0.27% 1.13 2021-22 91,252 91,252 0.24% 1.09 2022-23 89,885 89,885 0.22% 1.06 2023-24 87,574 87,574 0.20% 1.01 2024-25 85,497 85,497 0.18% 0.99 (1) Per capita numbers are restated as updated population numbers are available. (2) Total bonds outstanding incre ased due to issuance of 2018 SRPC Revenue Bonds, Series A and Series B.
184
Schedule 11

CITY OF MOUNTAIN VIEW, CALIFORNIA
Direct and Overlapping Governmental Activities Debt
As of June 30, 2025

2024-25 Assessed Valuation: $47,687,354,998 (A)

Total Debt City’s Share of
OVERLAPPING TAX AND ASSESSMENT DEBT: 6/30/25 % Applicable (1) Debt 6/30/25 Santa Clara County $ 1,217,905,000 6.857% $ 83,511,746
Foothill-DeAnza Community College District 592,800,578 19.271 114,238,599 Fremont Union High School District 717,450,088 0.433 3,106,559 Mountain View-Los Altos Union High School District 245,162,900 59.074 144,827,532 Los Altos School District 128,450,000 17.624 22,638,028 Sunnyvale School District 363,305,820 0.937 3,404,176
Mountain View-Whisman School District 415,490,000 91.791 381,382,426 Whisman School District 1,421,091 98.599 1,401,182
El Camino Hospital District 98,789,066 33.617 33,209,920 Midpeninsula Regional Open Space District 114,920,000 11.154 12,818,177 Shoreline Regional Park Community 80,490,000 100.000 80,490,000 Santa Clara Valley Water District Benefit Assessment District 24,940,000 6.857 1,710,136 TOTAL OVERLAPPING TAX AND ASSESSMENT DEBT $882,738,481

DIRECT AND OVERLAPPING GENERAL FUND DEBT:

Santa Clara County General Fund Obligations $ 1,002,458,930 6.857% $ 68,738,609 Santa Clara County Pension Obligation Bonds 317,654,990 6.857 21,781,603 Santa Clara County Board of Education Certificates of Participation 12,072,417 6.857 827,806 Mountain View-Los Altos Union High School District General Fund Obligations 1,085,000 59.074 640,953 Los Altos School District Certificates of Participation 911,776 17.624 160,691 City of Mountain View - 100.000 -
Midpeninsula Regional Park District General Fund Obligations 74,065,600 11.154 8,261,277 TOTAL GROSS DIRECT AND OVERLAPPING GENERAL FUND DEBT $100,410,939 Less: Santa Clara County supported obligations 165,939 TOTAL NET DIRECT AND OVERLAPPING GENERAL FUND DEBT $100,245,000

TOTAL DIRECT DEBT $93,811,026 ( 2) (3)
TOTAL GROSS OVERLAPPING DEBT $983,149,420
TOTAL NET OVERLAPPING DEBT $982,983,481

GROSS COMBINED TOTAL DEBT $988,155,447 (3) (4)
NET COMBINED TOTAL DEBT $987,989,508 (3) (4)

(1) The percentage of overlapping debt a pplicable 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) Includes unamortized premiu m of $5,006,027 for direct debt. (3) Includes lease and SBITA liabilities.
(4) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue bonds and non-bonded capital lease obligations.

Ratios to 2024-25 Assessed Valuation:

Total Overlapping Tax and Assessment Debt .................................... 1.85% Total Direct Debt ($0) ................................................................... 0.20% Gross Combined Total Debt .............................................................. 2.07% Net Combined Total Debt ................................................................. 2.07%

Source: California Municipal Statistics, Inc.
(A)The assessed valuation number provided by Santa Clara County Assessor. 185
Schedule 12
2015-16 2016-17 2017-18 2018-19
Debt limit 3,363,871 $ 3,784,938 $ 4,204,700 $ 4,410,795 $ Total net debt applicable to limit - - - - Legal debt margin 3,363,871 $ 3,784,938 $ 4,204,700 $ 4,410,795 $ Total net debt applicable to the limit
as a percentage of debt limit 0.0% 0.0% 0.0% 0.0%
(1) Source: Santa Clara County Assessor.
(2) The legal debt margin for the City of Mountain View, California, is calculated using a debt limit of 15 percent of the assessed value of property within the city limits.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Legal Debt Margin Information
Last Ten Fiscal Years
(Dollars in Thousands)
Fiscal Year
186
Schedule 12
Legal Debt Margin Calculation for Fiscal Year 2024-25
Assessed value (net) - June 30, 2025 (1) $ 47,687,355
Debt limit: 15% of assessed value $ 7,153,103
Less total bonded debt, general obligation -
Legal debt margin (2) $ 7,153,103
2019-20 2020-21 2021-22 2022-23 2023-24 2024-25
4,786,186$ 5,216,369$ 5,637,240$ 6,157,420$ 6,642,493$ 7,153,103$ - - - - - - 4,786,186$ 5,216,369$ 5,637,240$ 6,157,420$ 6,642,493$ 7,153,103$

0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Fiscal Year
187
Schedule 13
Less: Net
Fiscal Gross Operating Available
Year Revenues (1) Costs (2) Revenues Principal Interest Coverage 2015-16 28,479 $ 23,472 $ 5,007 $ 350 $ 277 $ 8.0 2016-17 36,005 25,894 10,111 365 263 16.1 2017-18 48,005 30,746 17,259 380 248 27.5 2018-19 37,520 31,425 6,095 390 234 9.8 2019-20 42,135 32,544 9,591 410 219 15.2 2020-21 40,978 31,733 9,245 425 202 14.7 2021-22 41,390 27,507 13,883 440 184 22.2 2022-23 40,246 30,123 10,123 460 166 16.2 2023-24 46,714 38,163 8,551 480 146 13.7 2024-25 50,865 38,043 12,822 505 124 20.4 Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. (1) Gross revenues include developer capital contribution fees, non-operating interest earnings and transfers in. (2) Operating costs exclude depreciation or amortization.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Debt Pledged-Revenue Coverage
Last Ten Fiscal Years
(Dollars in Thousands)
Water Revenue Bonds
Debt Service
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
$18,000
($ 000)
Water Revenue Bonds
Net Revenue
Debt Service
188
Schedule 13

CITY OF MOUNTAIN VIEW, CALIFORNIA
Debt Pledged-Revenue Coverage
Last Ten Fiscal Years
(Dollars in Thousands)
Special
Fiscal Assessment
Year Collections (1) Principal Interest Coverage
2015-16 50$ 34$ 12$ 1.1 2016-17 48 39 11 1.0 2017-18 51 40 8 1.1 2018-19 40 46 5 0.8 2019-20 13 37 2 0.3 2020-21 - 12 2 - 2021-22 - - - - 2022-23 - - - - 2023-24 - - - - 2024-25 - - - - Note: Current fiscal year debt service is paid from prior year collections. (1) Collections include interest payments from property owners.

Special Assessment Bonds
Debt Service
$0
$10
$20
$30
$40
$50
$60
($ 000)
Special Assessment Bonds
Revenue
Debt Service
189
Schedule 13
Tax
Fiscal Increment
Year Revenues Principal Interest (1) Coverage
2015-16 31,304$ 4,623 $ 1,884 $ 4.8
2016-17 41,635 4,743 1,771 6.4
2017-18 42,100 3,315 1,665 8.5
2018-19 40,219 3,407 1,917 7.6
2019-20 46,565 1,890 4,531 7.3
2020-21 51,943 1,985 4,435 8.1
2021-22 55,486 2,085 4,333 8.6
2022-23 62,947 1,615 4,422 10.4
2023-24 71,154 2,095 4,048 11.6
2024-25 73,235 1,860 3,964 12.6
(1) Includes other fiscal charges and other related costs.

Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Debt Pledged-Revenue Coverage
Last Ten Fiscal Years
(Dollars in Thousands)
Revenue Bonds-Shoreline Regional Park Community
Debt Service
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
$80,000($ 000)
Revenue Bonds - Shoreline Regional Park Community
Revenue Debt Service
190
Schedule 13
Less: Net
Fiscal Gross Operating Available
Year Revenues (2) Costs (3) Revenues Principal Interest Coverage 2018-19 (1) 25,394$ 17,434 $ 7,960 $ - $ 1 $ 7,960.0 2019-20 29,452 17,847 11,605 579 35 18.9 2020-21 26,380 19,300 7,080 542 311 8.3 2021-22 29,147 19,073 10,074 560 292 11.8 2022-23 35,456 18,774 16,682 579 273 19.5 2023-24 36,951 23,988 12,963 599 253 15.2 2024-25 38,763 25,615 13,148 619 233 15.4 Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. (1) Fiscal Year 2018-19 was the first year of the Wastewater debt, therefore, only seven years of information is presented.
(2) Gross revenues include developer capital contribution fees, non-operating interest earnings, and transfers in. (3) Operating costs exclude depreciation or amortization.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Debt Pledged-Revenue Coverage
Last Ten Fiscal Years
(Dollars in Thousands)
Wastewater Direct Financing Arrangement
Debt Service
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
$18,000($ 000)
Wastewater Direct Financing Arrangement
Net Revenue
Debt Service
191
Schedule 14

CITY OF MOUNTAIN VIEW, CALIFORNIA
Demographic Statistics
Last Ten Fiscal Years
(Dollars in Thousands)
Population Per Capita
Fiscal Density Personal Personal School Unemployment
Year Population (1) (Sq. Mile) (2) Income (3) Inc ome (3) Enrollment Rate (%) (3) 2015-16 79,429 6,511 6,433,749 81 7,577 4.0%
2016-17 79,966 6,555 7,356,872 92 7,620 3.5%
2017-18 80,104 6,566 8,010,400 100 7,678 2.9%
2018-19 80,986 6,638 8,746,488 108 7,719 2.6%
2019-20 82,376 6,752 9,555,616 116 7,511 9.3%
2020-21 83,128 6,814 10,307,872 124 7,427 4.8%
2021-22 83,856 6,818 11,655,984 139 7,294 2.3%
2022-23 84,463 6,867 12,078,209 143 7,146 3.9%
2023-24 86,535 7,035 13,066,785 151 7,212 4.4%
2024-25 86,513 7,034 (4) (4) 7,274 4.8%
Sources: Santa Clara County Office of Education.

State of California, Department of Finance.

U.S. Census Bureau.
(1) Population numbers are provisional estimates as of January 1st, revised annually. (2) Population Density per square mile calculations are restated from 12.2 to 12.3 square miles starting Fiscal Year 2021-22.
(3) Per capita personal income and unemployment rate are for Santa Clara County.

Personal income is the product of the countywide per capita amount and the City's population. (4) Personal income data for Fiscal Year 2024-25 is not available until May of 2026. 192
Schedule 15

Fiscal Year 2024-25 Fiscal Year 2015-16
Estimated Percentage Estimated Percentage
Number of of Total City Number o f of Total City
Employer Employees Rank Employment Employees Rank Employment Google LLC 23,100 1 19.1% 19,711 1 17.1% El Camino Health 3,400 2 2.8% 1,273 5 1.1% Intuit Inc. 3,400 3 2.8% 1,287 4 1.1% Microsoft Corporation 3,000 4 2.5% 1,668 3 1.5% LinkedIn Corporation 2,500 5 2.1% 2,018 2 1.8% Waymo LLC 1,700 6 1.4% - - Palo Alto Medical Foundation 1,000 7 0.8% - - Mountain View Whisman School District 600 8 0.5% - - Bytedance 560 9 0.5% - - Nuro, Inc. 500 10 0.4% - - Samsung Research American Inc. - - 1,085 6 0.9% Synopsys, Inc. - - 1,031 7 0.9% Pure Storage - - 900 8 0.8% Veritas Technologies - - 801 9 0.7% City of Mountain View - - 596 10 0.5% Subtotal 39,760 32.9% 30,370 26.3%
Total City Daytime Population 120,900 115,000

Sources: City of Mountain View Business License Data
Silicon Valley Business Journal
Company Representatives

CITY OF MOUNTAIN VIEW, CALIFORNI
A
Principal Employers
Current Year and Nine Years Ago
193
Schedule 16

CITY OF MOUNTAIN VIEW, CALIFORNIA
Full-Time Equivalent City Government Employees by Function Last Ten Fiscal Years
Adopted for Fiscal Year Ended June 30,
2016 2017 2018 2019
Function
General government 75.40 78.65 80.65 83.65
Public safety:

Fire:

Firefighters and Safety Officers 74.00 74.00 73.00 73.00 Civilians 5.60 4.60 5.60 7.60
Police:

Sworn Police 96.00 95.00 95.00 95.00
Civilians 44.00 45.50 46.00 46.00
Public works 56.20 57.70 62.40 63.90
Community development 38.75 41.75 49.00 51.00
Housing - - - -
Culture and recreation:

Community Services 83.75 84.25 84.50 88.50
Library 30.00 29.75 29.75 30.75
Water 38.25 38.25 38.35 37.35
Wastewater 21.60 21.60 21.70 21.70
Solid Waste 14.70 14.70 14.80 14.80
Total Regular Positions 578.25 585.75 600.75 613.25
Limited-Period Positions 12.25 17.50 19.00 22.50
Total 590.50 603.25 619.75 635.75
Source: City of Mountain View
(1) New department established in FY 2023-24. FY 2023-24 FTE includes transfer of 13.5 positions from the Community Development Department and a newly added position. 194
Schedule 16
.

Adopted for Fiscal Year Ended June 30,
2020 2021 2022 2023 2024 2025

91.65 95.15 99.15 104.60 112.10 112.10

71.00 71.00 71.00 71.00 71.00 74.00

8.60 8.60 8.60 8.60 10.60 10.60

96.00 96.00 95.00 95.00 96.00 96.00

47.50 47.50 47.50 47.50 47.50 48.50

66.90 68.90 69.90 77.00 79.50 80.50

52.00 54.00 55.00 60.00 49.50 49.50
- - - - 14.50 (1) 16.50

90.50 90.50 90.50 91.25 96.25 99.25

30.75 30.75 30.75 31.75 32.25 32.25

37.35 37.85 37.85 39.70 39.70 39.70

22.70 22.70 22.70 23.50 23.00 23.00

14.80 14.80 14.80 16.10 16.10 16.10
629.75 637.75 642.75 666.00 688.00 698.00

20.00 23.50 19.50 13.25 10.00 11.50
649.75 661.25 662.25 679.25 698.00 709.50
0 100
200
300
400
500
600
700
800
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
FTE's

CITY OF MOUNTAIN VIEW, CALIFORNIA
Employees by Function
General government Public safety Public works Community development Housing Culture and recreation Water Wastewater
Solid Waste Limited-Period
195
Schedule 17
Function/Program 2016 2017 2018 2019
Public safety:

Fire:

Fire calls for service 5,955 6,117 6,049 6,188
Primary fire inspections conducted 2,844 (2) 1,972 (3) 1,520 2,262 Environmental safety inspections conducted 1,641 1,572 1,613 1,363 Police:

Communication Center calls answered 91,826 91,782 92,011 83,400 Police calls for service 48,875 (4) 48,515 44,188 44,725 Law violations:

Part I and Part II crimes 4,901 4,689 4,914 5,335
Physical arrests (adult and juvenile) 1,978 2,218 2,119 1,970 Traffic violations 11,821 8,233 3,563 4,270
Parking violations 6,733 8,149 12,506 12,144
Public works
Street resurfacing (miles) 2.40 6.80 2.97 3.93
Potholes repaired (square feet) 1,800 3,271 1,071 3,724 Culture and recreation:

Community Services:

Recreation class participants 8,697 8,412 8,501 9,023
Performing Arts Center performances 399 437 555 504
Library:

Volumes in Collection (thousands) 326 329 302 308
Total Volumes Borrowed (thousands) 1,416 1,339 1,177 1,253 Water
Water service connections 17,516 18,004 18,199 18,341
Water main breaks 5 10 2 8
Average daily consumption (thousands of gallons) 6,917 7,807 8,395 8,341 Wastewater
Storm drain inlets 3,030 3,086 3,086 3,086
Sewer service connections 16,906 (7) 16,906 16,863 (8
) 16,990
Sewer main blockages 4 3 6 6
Average daily treatment (thousands of gallons) 6,235 6,285 7,005 7,295 Solid Waste
Landfilled (tons per year) 40,961 40,092 41,320 47,578
Recyclables Processed (tons per year
) 40,499 41,649 41,381 42,248
Source: City of Mountain View
(1) Variance, unless otherwise noted, due to the COVID-19 public health crisis and Shelter-in-Place restrictions. (2) Beginning in the Fiscal Year ended June 30, 2016, includes total multi-family housing inspections completed by FEPD not previously accounted for.
(3) Lower due to vacancy and turnover in personnel, resulting in reduced staffing. (4) For the Fiscal Year ended June 30, 2016, Police calls for service number is restated. Number of calls have decreased due to the different way the new CAD system records some activities. (5)
a new records management software (RMS).
(6) The City was unable to advertise and bid the surface project; therefore, street resurfacing project was delayed. (7) Methodology to estimate number of sewer connections changed to reflect more accurate count. (8) Fiscal Year ended June 30, 2018 was restated in Fiscal Year ended June 30, 2019 due to incorrect figures reflected for the year.
(9) Includes curbside, multi-family, commercial and school recycling, yard waste, debris box recycling, MV Recycling Center, and recyclables recovered from refuse at the SMaRT station.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Operating Indicators by Function/Program
Last Ten Fiscal Years
Fiscal Year ended June 30, 2023 was restarted in Fiscal Year ended June 30, 2024 due to PD using 196
Schedule 17
2020 (1) 2021 (1) 2022 (1) 2023 2024 2025
6,120 5,604 6,741 7,979 7,820 7,672
2,498 1,401 1,321 1,288 976 953
1,718 1,605 1,841 1,540 1,239 1,357
73,201 93,101 107,424 110,453 104,226 100,800
40,254 34,953 39,194 41,151 43,145 46,027
4,873 4,241 4,488 4,916 (5) 4,884 4,043
1,732 1,147 841 1,134 (5) 1,342 1,820
3,073 1,307 1,131 1,280 1,664 2,025
6,761 559 2,019 6,047 6,540 9,792

9.62 2.25 - (6) - (6) 2.29 5.90
2,025 780 684 4,617 3,413 1,199
2,606 2,356 8,709 11,159 11,749 13,395
276 274 396 397 560 862
305 283 273 260 263 250
961 742 1,232 1,310 1,373 1,375
18,572 18,747 18,838 18,920 18,999 19,055
71 5 8 1 3 7 4
8,823 8,950 8,265 7,574 8,260 8,683
3,086 3,242 3,242 3,253 3,256 3,334
17,373 17,373 17,373 17,428 17,487 17,535
69 8 5 4 2
7,598 6,400 6,130 6,471 6,914 7,574
42,667 (9) 35,067 31,506 28,314 26,691 27,358
36,751 35,961 34,484 34,185 35,967 31,535
Fiscal Year Ended June 30,
197
Schedule 18
2016 2017 2018 2019
Function/Program
Public safety:

Fire stations 5555
Police stations 1111
Police patrol units 38 38 38 38
Public works
Miles of streets 140.2 140.2 140.2 140.1 (1)
Street lights 4,120 4,120 4,120 4,270
Traffic Signals 83 83 85 85
Culture and recreation:

Community services:

City parks (2) 42 42 42 42
City parks acreage (2) 212.32 (2) 212.32 212.32 212.32
Playgrounds (2) 30 30 30 30
City trails (2) 5555
City trails miles (2
) 9.26 9.26 9.71 (3) 9.71
Roadway landscaping acreage 120.25 120.25 120.25 120.25 Regional park acreage (including trails) (4) 784.13 784.13 784.13 784.13 Regional park facilities:

Golf courses (18 holes) 1111
Boathouse 1111
Sailing lake acreage 50 50 50 50
Clubhouse and banquet facility 1111
Historic Buildings 13 (5) 33
Community gardens 2223
Community centers 1111
Senior centers 1111
Teen Center 01 (6) 11
Sports centers 2222
Performing arts centers 1111
Swimming pools 2222
Tennis courts 35 35 35 35
Baseball/softball diamonds 8888
Soccer/football fields 16 16 16 16
Library:

City Libraries 1111
Water
Miles of water mains 176 177 188 188
Fire hydrants 2,118 2,118 2,136 2,136
Storage capacity (thousands of gallons) 38,530 38,530 38,530 38,530 Wastewater
Miles of sanitary sewers 158 158 158 157 (7)
Miles of storm sewers 109 109 109 109
Treatment capacity (thousands of gallons) (8) 15,100 15,100 15,100 15,100 Source: City of Mountain View
(1) The miles of streets are based on the certified report dated May 22, 2019 derived from the updated database. (2) Shoreline Athletic Fields converted 12 acres of Regional park acreage to City parks acreage in Fiscal Year ended June 30, 2016.
(3) Additions of Permanente Creek Trail Rock St to Middlefield Rd and Hetch-Hetchy Trail between N Whisman Rd and Tyrella Ave.
(4) Includes assets not owned by the City but maintained by the City. (5) Includes Adobe Building and Immigrant House beginning Fiscal Year ended June 30, 2017. (6) Reflects Teen Center as a separate category beginning Fiscal Year ended June 30, 2017. (7) The miles of sanitary sewers are updated based on correction by GIS due to mischaracterization. (8) The City of Mountain View owns treatment capacity at the Palo Alto Treatment Plant.

CITY OF MOUNTAIN VIEW, CALIFORNIA
Capital Asset Statistics by Function/Program
Last Ten Fiscal Years
Fiscal Year Ended June 30,
198
Schedule 18
.
2020 2021 2022 2023 2024 2025
555555
111111
38 38 38 38 38 38
140.1 140.1 140.1 140.1 140.1 140.1
4,270 4,270 4,270 4,270 4,270 4,305
86 87 88 91 92 92
42 42 44 44 45 46
212.32 212.59 215.80 215.80 216.30 216.99
30 33 35 35 36 38
555555

9.71 9.71 9.71 9.71 9.71 9.71
120.25 120.25 120.25 120.25 120.25 120.25
784.13 784.13 784.13 784.13 784.13 784.13
111111
111111
50 50 50 50 50 50
111111
333333
333333
111111
111111
111111
222222
111111
222222
35 35 35 35 35 35
888888
16 16 16 16 16 16
111111
188 188 188 188 188 190
2,136 2,117 2,117 2,118 2,126 2,206
38,530 38,530 38,530 38,530 38,530 38,530
157 157 157 157 157 157
109 114 114 114 114 117
15,100 15,100 15,100 15,100 15,100 15,100
Fiscal Year Ended June 30,
199
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200

Mountain View
Shoreline Regional
Park Community

A Component Unit of the City of
Mountain View, California

Basic Financial Statements

For the Fiscal Year Ended June 30, 2025

Prepared by:

Finance and Administrati ve Services Department

201
202
Mountain View Shoreline Regional Park Community
Annual Financial Report

Table of Contents

Page

Independent Auditor’s Report ......................................................................................................................................... 205

Management’s Discussion and Analysis (Required Supplementary Information - Unaudited) ........................................... 209

Basic Financial Statements:

Government-wide Financial Statements:

Fund Financial Statements:

Governmental Funds:

Balance Sheet .............................................................................................................. .................................................... 229 Reconciliation of the Balance Sheet of Governmental Funds to the Government-wide Statement of Net Position - Governmental Activities ....................................................................... ........................... 230 Statement of Revenues, Expenditure s, and Changes in Fund Balances .......................................................................... 231 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Government-wide Statement of Activities - Governmental Activities ................................................................................................... ........................................... 232 Statement of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual – Shoreline Regional Park Community Fund ........................................................................... .......................... 233

Notes to Basic Financial Statements .......................................................................................... ............................................. 237

Required Supplementary Information – Unaudited:

Schedule of the Shoreline Community’s Proportionate Share of the Net Pension Liability ................................................................................................ ................................................. 260 Schedule of the Shoreline Comm unity Pension Contributions .............................................................................................. 262 Schedule of the Shoreline Community’s Proportionate Share of the Net OPEB Liability ................................................................................................... .................................................. 264 Schedule of the Shoreline Comm unity OPEB Contributions .................................................................................................. 266

Other Supplementary Information:

Shoreline Regional Park Community Fund:

Independent Auditor’s Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards .................................................................................. 275 203

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204
INDE
PENDENT AUDITOR’S REPORT
To the Board of Directors
of the Mountain View Shoreline Regional Park Community
Mountain View, California
Report on the Audit of the Financial Statements
Opinions
We have audited the financial statements of the governmental activities and each major fund of the Mountain View Shoreline Regional Park Community (Shoreline Community), a component unit of the City of Mountain View, California (City) as of and for the year ended June 30, 2025, and the related notes to the financial statements, which collectively comprise the Shoreline Community’s basic financial statements as listed in the table of contents.

In our opinion, the accompanying financial statements present fairly, in all material respects, the respective financial position of the governmental activities and each major fund of the Shoreline Community, as of June 30, 2025, and the respective changes in financial position thereof and the budgetary comparison for the Shoreline Regional Park Community Fund for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Shoreline Community 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.

Responsibilities of Management for the Financial Statements The 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, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

To the Board of Directors
of the Mountain View Shoreline Regional Park Community
Mountain View, California

Page 2 ends

Mountain View City CouncilDecember 16, 2025

Mountain View City Council
December 16, 2025