Annual
Comprehensive
Financial Report
(ACFR)
FY 2022/23
ATTACHMENT 4
PURPOSE
• Present Council & Community on the
Fi
nancial Status (Audited) of the City as
of June 30, 2023
• Council to receive the A nnual
Comprehensive Financial Report for
Fiscal Year Ending June 30, 2023
• Council provide direction to staff on
al
location of the available General Fund
unassigned fund balance
2 ATTACHMENT 4
AUDIT & AUDITORS OPINION
• Audit for Fiscal Year Ended June 30,
202
3 completed by The Pun Group
• Fifth and final year of their agreement
• Auditors Opinion: Unmodified (clean)
3 ATTACHMENT 4
GFOA AWARD
Certificate of Achievement for Excellence
in Financial Reporting:
• Received the award for nine
con
secutive years
• Submitted for FYE 2023
4 ATTACHMENT 4
FY 2022/23 AUDITED
FINANCIAL STATUS REPORT
5 ATTACHMENT 4
GENERAL FUND
6 ATTACHMENT 4
FY 2022/23 General Fund
Revenue
Budget Actual YTD %
Property Tax 40.99 42.93 104.7%
Sales Tax 22.21 22.58 101.6%
Transient Occupancy Tax 31.03 30.88 99.5% Business License Tax 3.73 4.62 123.9% Charges for Services 6.15 5.76 93.7% Licenses and Permits 2.49 3.00 120.4% Other Operating Revenues 7.34 15.35 209.2% Non-Operating Revenues 2.00 2.00 100.0% Total Operating Revenue 115.93 127.12 109.6% 7 ATTACHMENT 4
FY 2022/23 General Fund
Expenditures
Budget Actual YTD %
Salaries & Wages & Benefits 81.85 7 8.38 95.8% Materials & Supplies & Services 29.02 26.22 90.4% Other Expenditures (Includes
Transfers to Reserves) 5.10 4.86 95. 3% Total Operating Expenditures 115.97 109.46 94.4% 8 ATTACHMENT 4
FY 2022/23 Reserves
• Operating Reserve: $5.54 million
– Target: 5% of operating expenditures
• Emergency Reserve: $15.52 million
– Target: 14% of operating expenditures
• Contingency Reserve: $1.11 million
– Target: 1% of operating expenditures
9 ATTACHMENT 4
CASH AND INVESTMENTS
10 ATTACHMENT 4
General Fund
11 Cash & Investments $28,917,964
ATTACHMENT 4
AMERICAN RESCUE PLAN ACT
(ARPA) FUNDS
12 ATTACHMENT 4
ARPA Funds
13 Total
Received
Total
Obligations
Total
Expenditures Unexpended
$15,118,910 $15,118,910 $2,503,383 $12,615,527
ATTACHMENT 4
CIP PROJECT FUND
14 ATTACHMENT 4
FY 2022/23 CIP Reserves
• CIP Facilities Reserve
– $6.85 million ending balance for current and
fut
ure projects
– Per Fiscal Policy, will also receive end of year
avai
lable fund balance from General Fund and
Non-Recurring General Fund
• CIP General Reserve
– $3.73 million ending balance for current and
fut
ure projects
15 ATTACHMENT 4
PENSION & POST-
EMPLOYMENT BENEFITS FUND
16 ATTACHMENT 4
Section 115 Trust
• Created to help mitigate increases in
fut
ure pension costs
• Balance at 6/30/23: $5.0 million
• Planned usage in FY24 to offset UAL
Pay
ment
17 $0.00
$2.00
$4.00
$6.00
$8.00
$10.00
$12.00
$14.00
$16.00
$18.00
Annual CalPERS UAL Payments, in millions
Misc Safety
ATTACHMENT 4
PENSION & OTHER POST
EMPLOYMENT BENEFITS
(OPEB) LIABILITIES
18 ATTACHMENT 4
Pension & OPEB
19 Net Pension
Liability Governmental Business-Type Total
CalPERS Misc. 89,604,121 20,601,073 $110,205,194
CalPERS Safety 106,613,209 0 106,613,209
Total: $196,217,330 $20,601,073 $216,818,403
Net OPEB Liability $5,230,603
ATTACHMENT 4
ENTERPRISE FUNDS
20 ATTACHMENT 4
Enterprise Funds – Solid Waste
21 Solid Waste & Recycling Budget Actual YTD %
Operating Revenues 43.79 43.96 100.4%
Operating Expenditures 47.26 46.14 97.6%
Operating Surplus / (Deficit) (3.48) (2.17)
Non-Recurring/Capital Revenues 3.88 3.90 100.6%
Non-Recurring/Capital Expenditures 3.93 1.71 43.5%
Transfer to Street Resurfacing 1.15 1.15 100.0%
Debt Service Expenditures 0.87 0.29 32.9%
Net Change in Fund Balance (5.55) (1.41)
ATTACHMENT 4
Enterprise Funds – Water
22 Water Budget Actual YTD %
Operating Revenues 35.80 33.74 94.3%
Operating Expenditures 33.58 32.69 97.4%
Operating Surplus / (Deficit) 2.22 1.05
Non-Recurring/Capital Revenues 2.45 1.59 64.9%
Non-Recurring/Capital Expenditures 18.69 2.02 10.8%
Disaster Project Revenues 6.92 3.19 46.1%
Disaster Project Expenditures 9.70 0.31 3.2%
Debt Service Expenditures 3.33 1.22 36.5%
Interfund Transfer Revenue 5.09 26.84 n/a
Interfund Transfer Expense 5.09 26.84 n/a
Net Change in Fund Balance (20.13) 2.28
ATTACHMENT 4
OPERATING POSITION:
GENERAL FUND &
NON-RECURRING GENERAL FUND
23 ATTACHMENT 4
FY 2022/23 General Fund
Operating Position
24 FY
2022/23
Budget
FY
2022/23
Actual
General Fund ($ in millions)
Total Revenues 115.9 127.1
- Operating Expenditures 116.0 109.5
- Contributions to General Fund Reserves - 0.9 Operating Surplus/ Deficit (0.0) 16.8
- Mark-to-Market Adjustment - 9.6
- Encumbrances - 0.9
Available Fund Balance (0.0) 6.3
ATTACHMENT 4
FY 2022/23 NR General Fund
Operating Position
25 FY 2022/23
Budget
FY
2022/23
Actual
Non-Recurring General Fund ($ in millions)
Beginning Fund Balance 6.5 6.5
Revenues 10.3 6.1
Expenditures 12.5 6.1
Ending Fund Balance 4.3 6.5
ATTACHMENT 4
Recommendations
• Project Funding
– $0.25M to CIP Project 33PA22PR03
• Public Art In Parks – Full er Park
• PERS UAL
– $3M to Section 115 Trust
• Labor Costs
– $0.3M for costs associated with restoring
Engi
ne 1 (3 x Fire Captains)
• Downtown Specific Plan
– $0.1M
26 ATTACHMENT 4
Recommendations
• Fleet Replacement Reserve
– $0.25M
• Fire Apparatus Replacement Reserve
– $0.25M
• CIP General Reserve
– $0.5M
• CIP Facilities Reserve
– Remaining $1.8M (approx.) per fiscal policy
27 ATTACHMENT 4
Questions and Comments
28 ATTACHMENT 4
Recommendation to Council
• Receive the Annual Comprehensive
Fina
ncial Statement for the Year Ending
June 30, 2023
• Provide Direction to staff to return to a
futur
e Council meeting regarding the
allocation of the available General Fund
u
nassigned fund balance
29 ATTACHMENT 4
Annual
Comprehensive
Financial Report
(ACFR)
FY 2022/23
ATTACHMENT 4