Newport Beach City Council
January 25, 2022

SCHEDULE OF CHANGES IN THE NET PENSION LIABILITY AND RELATED RATIOS Last Ten Fiscal Years*
Measurement Period
Total Pension Liability
Service cost
Interest on total pension liability
Differences between expected and actual experience
Changes in assumptions
Changes in benefits
Benefit payments, including refunds of employee contributions Net Change in Total Pension Liability
Total Pension Liability - beginning
Total Pension Liability - ending (a)
Plan Fiduciary Net Position
Contributions - employer
Contributions - employee
Net investment income
Administrative expense
Other miscellaneous income/(expense)
Plan to plan resource movement
Benefit payments
Net change in Plan Fiduciary Net Position
Plan Fiduciary Net Position - beginning
Plan Fiduciary Net Position - ending (b)
Net pension liability - ending (a) -(b)
Plan fiduciary net position as a percentage of the total pension liability Covered payroll
Net pension liability as percentage of covered payroll
Notes to Schedule:
2021
June 30, 2020
$ 7,347,708
30,565,919
369,351
onon
$ 7,084,444
29,409,624
403,676
(21,516,515) (20,129,701)
16,766,463 16, 768,043
434, 210,401 417,442, 358
dFn Q7A, AAA AIA gin Ani
$ 16,346,284
4,067,751
16,074,793
(454,777)
!91 F1A F1 r,1
A99 FQ9 A,7Q
$ 15,700,833
3,955,144
19,895,019
(216,502)
700
1,570
(20,129,701)
19,207,063
.InAF R1R
$ 113,866,649 $ 111,617,722

74.75% 74.29%
$ 43,902,594 $ 42,153,383
259.36% 264.79%
* Fiscal year 2015 was the first year of implementation, therefore only seven years are shown.

Benefit Changes:

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

Change in Assumptions:

None in 2019 or 2020. In 2018, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in the discount rate. In 2017, the discount rate was reduced from 7.65 percent to 7.15 percent. In 2016, there were no changes. In 2015, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense). In 2014, amounts reported were based on the 7.5 percent discount rate.
7-163

CITY OF NEWPORT BEACH
an Agent Multiple -Employer Defined Benefit Pension Plan As of June 30, 2021
Last 10 Years *
Defined Benefit Plan for Miscellaneous Employees

2019
2018
2017
2016
2015
June 30, 2018
June 30, 2017
June 30, 2016
June 30, 2015
June 30, 2014
$ 7,334,861
$ 7,151,754
$ 6,303,642
$ 6,087,960
$ 6,523,874
28,226,598
27,069,673
26,375,073
25,427,094
24,624,559
2,243,854
(4,912,853)
(2,686,814)
(4,736,006)
-
(2,522,093)
22,616,424
(6,309,248)
-
(18,458,539)
(17,249,398)
(16,714,022)
(16,374,370)
(15,290,340)
16,824,681
34,675,600
13,277,879
4,095,430
15,858,093
400,617,677
365,942,077
352,664,198
348,568,768
332,710,674
$ 417,442,358
$ 400,617,677
$ 365,942,077
$ 352,664,198
$ 348,568,767
$ 15,797,595
$ 10,509,243
$ 9,904,636
$ 6,615,920
$ 5,793,768
3,979,337
4,134,130
4,206,942
4,321,646
4,319,336
23,855,196
28,349,491
1,241,432
5,687,908
38,237,161
(435,499)
(375,172)
(155,791)
(287,862)
-
(827,021)
-
-
-
(700)
(2,387)
26,981
-
$ 303,385,616
$ 279,475,247
$ 254,106,953
$ 255,626,143
$ 255,635,920
$ 114,056,742
$ 121,142,430
$ 111,835,124
$ 97,038,055
$ 92,932,847

72.68%

69.76%

69.44%

72.48%

73.34%
$ 41,468,634
$ 41,727,563
$ 40,031,404
$ 38,512,011
$ 37,775,051
275.04%
290.32%
279.37%
251.97%
246.02%
7-164

CITY OF NEWPORT BEACH
an Agent Multiple -Employer Defined Benefit Pension Plan As of June 30, 2021
Last 10 Years *
Defined Benefit Plan for Miscellaneous Employees

SCHEDULE OF CONTRIBUTIONS
Last Ten Fiscal Years*
Actuarially determined contribution
Contributions in relation to the actuarially determined contributions Contribution deficiency (excess)
Covered payroll
Contributions as a percentage of covered payroll
Notes to Schedule:

Valuation date:

Methods and assumptions used to determine contribution rates:

Actuarial cost method
Amortization method
Asset valuation method
Inflation
Salary increases
Investment rate of return
Retirement age
Mortality
2021
$ 14,600,178
(18,730,840)
$ (4,130,662)
2020
$ 13,080,630
(16,351,592)
$ (3,270,962)
$ 44,809,856 $ 43,902,594

41.80% 37.25%
06/30/2018 06/30/2017
Entry age
Entry age
(1)
(1)
Market Value
Market Value

2.50%

2.625%
(2)
(2)

7.00%(3)

7.25%(3)
(4)
(4)
(5)
(5)
(1) Level percentage of payroll, closed
(2) Depending on age, service, and type of employment
(3) Net of pension plan investment and administrative expense; includes inflation (4) Retirement assumptions are based on retirement rates resulting from the most recent CalPERS Experience Study adopted by the CalPERS Board
(5) Mortality assumptions are based on mortality rates resulting from the most recent CalPERS Experience Study adopted by the CalPERS Board
* Fiscal year 2015 was the first year of implementation, therefore only seven years are shown. 7-165

CITY OF NEWPORT BEACH
an Agent Multiple -Employer Defined Benefit Pension Plan As of June 30, 2021
Last 10 Years *
Defined Benefit Plan for Miscellaneous Employees

2019
2018
2017
2016
2015
(1)
(1)
(1)
(1)
(1)
$ 12,374,026
$ 11,924,053
$ 10,412,963
$ 9,943,342
$ 7,117,065
(15,713,898)
(15,742,587)
(10,412,963)
(9,943,342)
(7,117,065)
$ (3,339,872)
$ (3,818,534)
$ -
$ -
$ -

7.375%(3)

7.5%(3)

7.5%(3)

7.5%(3)

7.5%(3)
$ 42,153,383
$ 41,468,634
$ 41,727,563
$ 40,031,404
$ 38,512,011

37.28%

37.96%

24.95%

24.84%

18.48%
06/30/2016 06/30/2015 06/30/2014 06/30/2013 06/30/2012
Entry age
Entry age
Entry age
Entry age
Entry age
(1)
(1)
(1)
(1)
(1)
Market Value
Market Value
Market Value
Market Value
Market Value

2.75%

2.75%

2.75%

2.75%

2.75%
(2)
(2)
(2)
(2)
(2)

7.375%(3)

7.5%(3)

7.5%(3)

7.5%(3)

7.5%(3)
(4)
(4)
(4)
(4)
(4)
(5)
(5)
(5)
(5)
(5)
7-166

CITY OF NEWPORT BEACH
an Agent Multiple -Employer Defined Benefit Pension Plan As of June 30, 2021
Last 10 Years *
Defined Benefit Plan for Safety Employees

SCHEDULE OF CHANGES IN THE NET PENSION LIABILITY AND RELATED RATIOS Last Ten Fiscal Years*
Measurement Period
Total Pension Liability
Service cost
Interest on total pension liability
Differences between expected and actual experience
Changes in assumptions
Changes in benefits
Benefit payments, including refunds of employee contributions Net Change in Total Pension Liability
Total Pension Liability - beginning
Total Pension Liability - ending (a)
Plan Fiduciary Net Position
Contributions - employer
Contributions - employee
Net investment income
Administrative expense
Plan to plan resource movement
Benefit payments
Other miscellaneous income/(expense)
Net change in Plan Fiduciary Net Position
Plan Fiduciary Net Position - beginning
Plan Fiduciary Net Position - ending (b)
Net pension liability - ending (a) -(b)
Plan fiduciary net position as a percentage of the total pension liability Covered payroll
Net pension liability as percentage of covered payroll
Notes to Schedule:
2021 2020
June 30. 2020 June 30. 2019
$ 9,622,985 $ 9,292,715
41,449,511 40, 081,524
957,686 4,798,077
(32,285,653) (30,443,097)
19,744,529 23,729,219
590,087,083 566,357,864
Fna AA1 r,19 'R r;An nA7 nwi
$ 28,539,301
3,249,005
19,685,354
(556,832)
(32,285,653)
iE]1:ic1liEIll
$ 28,344,445
3,162,044
24,254,890
(263, 991)
(1,570)
(30,443,097)
855
25,053,576
394,985,375 369,931,799
P 41'1 r,1 F, .ricin P 1q4 AAF; '17.ri
$ 196,215,062

67.82%
$ 195,101,708

66.94%
$ 34,279,062 $ 33,935,043
572.40% 574.93%
* Fiscal year 2015 was the first year of implementation, therefore only seven years are shown.

Benefit Changes:

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

Change in Assumptions:

None in 2019 or 2020. In 2018, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in the discount rate. In 2017, the discount rate was reduced from 7.65 percent to 7.15 percent. In 2016, there were no changes. In 2015, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense). In 2014, amounts reported were based on the 7.5 percent discount rate.
7-167

CITY OF NEWPORT BEACH
an Agent Multiple -Employer Defined Benefit Pension Plan As of June 30, 2021
Last 10 Years
Defined Benefit Plan for Safety Employees

7-168
2019
2018
2017
2016
2015
June 30, 2018
June 30, 2017
June 30, 2016
June 30, 2015
June 30, 2014
$
9,223,465
$
9,015,985
$
8,075,553
$
8,077,826
$
8,091,585
38,458,387
37,083,966
36,239,226
35,098,055
33,807,462
3,278,018
(2,192,667)
(1,613,985)
(316,827)
-
(1,630,045)
30,110,384
(8,359,009)
(29,183,598)
(28,074,414)
(27,447,982)
(25,838,982)
(24,529,802)
20,146,227
45,943,254
15,252,812
8,661,063
17,369,245
546,211,637
500,268,383
485,015,571
476,354,508
458,985,263
$
566,357,864
$
546,211,637
$
500,268,383
$
485,015,571
$
476,354,508
$
26,779,897
$
19,260,537
$
18,496,776
$
21,529,513
$
12,089,637
3,104,318
2,967,318
2,826,831
2,969,503
3,122,237
29,064,749
34,814,011
1,561,480
7,049,577
47,151,493
(532,480)
(462,427)
(193,780)
(357,866)
-
(855)
2,387
(29,183,598)
(28,074,414)
(27,447,982)
(25,838,982)
(24,529,802)
(1,011,188)
-
-
-
28,220,843
28,505,025
(4,754,288)
5,351,745
37,833,565
341,710,956
313,205,931
317,960,219
312,608,474
274,774,909
$
369,931,799
$
341,710,956
$
313,205,931
$
317,960,219
$
312,608,474
$
196,426,065
$
204,500,681
$
187,062,452
$
167,055,352
$
163,746,034

65.32%

62.56%

62.61%

65.56%

65.63%
$
32,866,620
$
32,450,020
$
30,816,246
$
30,189,633
$
29,944,665
597.65%
630.20%
607.03%
553.35%
546.83%
7-168

CITY OF NEWPORT BEACH
an Agent Multiple -Employer Defined Benefit Pension Plan As of June 30, 2021
Last 10 Years *
Defined Benefit Plan for Safety Employees

SCHEDULE OF CONTRIBUTIONS
Last Ten Fiscal Years*
Actuarially determined contribution
Contributions in relation to the actuarially determined contributions Contribution deficiency (excess)
Covered payroll
Contributions as a percentage of covered payroll
Notes to Schedule:

Valuation date:

Methods and assumptions used to determine contribution rates:

Actuarial cost method
Amortization method
Asset valuation method
Inflation
Salary increases
Investment rate of return
Retirement age
Mortality
2021
$ 25,341,788
(32,251,903)
$ (6,910,115)
2020
$ 22,980,289
(28,531,744)
$ (5,551,455)
$ 34,863,204 $ 34,279,062

92.51% 83.23%
06/30/2018 06/30/2017
Entry age
Entry age
(1)
(1)
Market Value
Market Value

2.50%

2.625%
(2)
(2)

7.00%(3)

7.25%(3)
(4)
(4)
(5)
(5)
(1) Level percentage of payroll, closed
(2) Depending on age, service, and type of employment
(3) Net of pension plan investment and administrative expense; includes inflation (4) Retirement assumptions are based on retirement rates resulting from the most recent CalPERS Experience Study adopted by the CalPERS Board
(5) Mortality assumptions are based on mortality rates resulting from the most recent CalPERS Experience Study adopted by the CalPERS Board
* Fiscal year 2015 was the first year of implementation, therefore only seven years are shown. 7-169

CITY OF NEWPORT BEACH
an Agent Multiple -Employer Defined Benefit Pension Plan As of June 30, 2021
Last 10 Years *
Defined Benefit Plan for Safety Employees

2019 2018 2017 2016 2015
$ 22,227,698 $
21,524,636 $
19,338,360
$ 18,466,207 $
13,393,374
(28,346,069)
(26,620,697)
(19,338,360)
(18,466,207)
(20,993,374)
$ (6,118,371) $
(5,096,061) $
-
$ - $
(7,600,000)

2.75%

2.75%

2.75%

2.75%
$ 33,935,043 $
32,866,620 $
32,450,020
$ 30,816,246 $
30,189,633

83.53%

81.00%

59.59%

59.92%

69.54%
06/30/2016 06/30/2015 06/30/2014 06/30/2013 06/30/2012
Entry age
Entry age
Entry age
Entry age
Entry age
(1)
(1)
(1)
(1)
(1)
Market Value
Market Value
Market Value
Market Value
Market Value

2.75%

2.75%

2.75%

2.75%

2.75%
(2)
(2)
(2)
(2)
(2)

7.375%(3)

7.5%(3)

7.5%(3)

7.5%(3)

7.5%(3)
(4)
(4)
(4)
(4)
(4)
(5)
(5)
(5)
(5)
(5)
7-170

CITY OF NEWPORT BEACH
Post -Employment Health Care Benefits (OPEB) Retirement Plan As of June 30, 2021
Last 10 Years *

SCHEDULE OF CHANGES IN THE CITY'S NET OPEB LIABILITY AND RELATED RATIOS Last Ten Fiscal Years*
Notes to Schedule:
(1) Covered -employee payroll is used because contributions are not entirely based on a measure of pay. * Fiscal year 2018 was the first year of implementation, therefore only four years are shown. 7-171
2021
2020
2019
2018
Measurement Period
June 30, 2020
June 30, 2019
June 30, 2018
June 30, 2017
Total OPEB Liability
Service cost
$
521,285
$
524,717
$
509,434
$
478,341
Interest
2,944,050
2,795,490
2,814,685
2,830,153
Differences between expected and actual experience
(219,772)
2,532,319
-
-
Changes in assumptions
114,311
Changes in benefits terms
-
Beneft payments, including refunds of member contributions (3,787,663)
(3,627,695)
(3,641,715)
(3,513,406)
Net change in Total OPEB Liability
(542,100)
2,339,142
(317,596)
(204,912)
Total OPEB Liability - beginning
46,635,812
44,296,670
44,614,266
44,819,178
Total OPEB Liability - ending (a)
$
46,093,712
$
46,635,812
$
44,296,670
$
44,614,266
Plan fiduciary net position
Contributions - employer
$
4,674,814
$
4,460,937
$
4,675,193
$
4,594,772
Contributions - member
-
-
-
-
Net investment income
900,087
1,495,861
1,605,114
1,875,536
Benefit payments, including refunds of member contributions (3,787,663)
(3,627,695)
(3,641,715)
(3,513,406)
Administrative expense
(12,037)
(4,980)
(11,076)
(9,452)
Other expense
(25,258)
Net change in plan fiduciary net position
1,775,201
2,324,123
2,602,258
2,947,450
Plan fiduciary net position - beginning
24,021,071
21,696,948
19,094,690
16,147,240
Plan fiduciary net position - ending (b)
$
25,796,272
$
24,021,071
$
21,696,948
$
19,094,690
City's Net OPEB liability - ending (a) -(b)
$
20,297,440
$
22,614,741
$
22,599,722
$
25,519,576
Plan fiduciary net position as a percentage of the total OPEB liability

55.96%

51.51%

48.98%

42.80%
Covered- employee payroll (')
$
77,637,171
$
75,814,626
$
73,999,059
$
74,484,613
City's Net OPEB liability as percentage of covered -employee payroll

26.14%

29.83%

30.54%

34.26%
Notes to Schedule:
(1) Covered -employee payroll is used because contributions are not entirely based on a measure of pay. * Fiscal year 2018 was the first year of implementation, therefore only four years are shown. 7-171

CITY OF NEWPORT BEACH
Post -Employment Health Care Benefits (OPEB) Retirement Plan As of June 30, 2021
Last 10 Years

SCHEDULE OF CONTRIBUTIONS
Last Ten Fiscal Years"
7-172
2021
2020
2019
2018
Actuarially determined contribution
$ 4,108,719
$ 3,834,916
$ 3,827,337
$ 3,925,087
Contributions in relation to the actuarially determined contributions (6,511,545)
(5,379,799)
(5,133,062)
(5,309,626)
Contribution deficiency (excess)
$ (2,402,826)
$ (1,544,883)
$ (1,305,725)
$ (1,384,539)
Covered -employee payroll (1)
$ 78,621,426
$ 77,637,171
$ 75,814,626
$ 73,999,059
Contributions as a percentage of covered -employee payroll -8.28%
-6.93%
-6.77%
-7.18%
Notes to Schedule:

Valuation date:

June 30, 2019
June 30, 2017
June 30, 2017
June 30, 2015
(1) Covered -employee payroll is used because contributions are not entirely based on a measure of pay. " Fiscal year 2018 was the first year of implementation, therefore only four years are shown.
7-172

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7-173

SUPPLEMENTARY INFORMATION

OTHER GOVERNMENTAL FUNDS

This page left blank intentionally.
7-175

OTHER GOVERNMENTAL FUNDS
Other Special Revenue Funds
Special Revenue Funds are used to account for the proceeds of specific revenue sources which are legally restricted to expenditures for specified purposes. The City of Newport Beach Special Revenue Funds are as follows:

The State Gas Tax Fund accounts for all State Gas Tax related revenues and expenditures, including street repair, construction, and maintenance. State law requires that these funds be used exclusively for maintenance of the street and highway system.

The SB1 Gas Tax RMRA Fund accounts for all Road Maintenance and Rehabilitation Account related revenues and expenditures. State law requires that these funds be used exclusively for the transportation system. RMRA revenues are from fuel and vehicle registration taxes imposed by the state's Road Repair and Accountability Act of 2017.

The Asset Forfeiture Fund was established to account for all revenues resulting from the seizure of assets in conjunction with criminal cases (primarily drug trafficking) in which judicial proceedings have been completed. All such funds are property of the City, and it is the City's policy that these funds shall be used for enhancement of law enforcement programs.

The Office of the Traffic Safety (OTS) DUI Grant Fund is used to account for federal funding of the Selective Traffic Enforcement Program (STEP). These funds are used exclusively for DUI enforcement.

The Circulation and Transportation Fund is used to account for fair share revenues collected from developers and restricted for capital improvement projects meeting the circulation element of the City's General Plan.

The Building Excise Tax Fund is used to account for revenues received from builders or developers on building or remodeling projects within the City. Expenditures from this fund are used exclusively for public safety, libraries, parks, beaches, or recreational activities.

The Community Development Block Grant Fund is used to account for revenues and expenditures relating to the City's Community Development Block Grant program. These funds are received from the Federal Department of Housing and Urban Development and must be expended exclusively on programs for low or moderate income individuals/families.

The Air Quality Management District Fund is used to account for revenues received from the South Coast Air Quality Management District restricted for the use of reducing air pollution.

The Environmental Liability Fund is used to account for solid waste fees restricted for mitigation of future environmental liability relating to the handling of solid waste.

The Supplemental Law Enforcement Services Fund (SLESF) is used to account for revenues received from the county to be used exclusively for front line law enforcement services.

The Contributions Fund is used to account for revenues received from other government agencies or private developers and expended for specific streets, highway, construction, or water quality projects.
7-176

The Fostering Interest in Nature (FIIN) Fund is restricted for recreation and education programming as a mitigation effort by the California Coastal Commission.

The Small Business Grant Fund is used to account for funding received from the County of Orange for the use of economic support to small businesses in connection with the COVID-19 pandemic.

The Measure M Fund is used to account for the revenues and expenditures of funds received from the Orange County Transportation Authority. Expenditures from this fund are used exclusively for transportation related purposes.

Other Capital Projects Funds
Capital Projects Funds are used to account for resources used for the acquisition and construction of capital facilities by the City, except those financed by Enterprise Funds.

The City of Newport Beach Capital Projects Funds are as follows:

The Assessment District Fund is used to account for the receipt and expenditure of funds received from 1911 Act and 1915 Act Assessment Districts for capital improvement projects.

The Fire Station Fund is used to account for the design and construction of new fire stations.

The Civic Center and Park Fund is used to account for the design and construction of a new Civic Center Complex. In prior years, this fund was called City Hall Improvements Fund.

The Sunset Ridge Park Fund is used to account for the design and construction of the Sunset Ridge Park.

The Strategic Planning Fund is used to account for expenditures for study and concept development needed to further refine the Facilities Financing Planning Program. It includes developing both interim and long-term use plans for the old City Hall site on Newport Boulevard.

The Newport Uptown Undergrounding Fund is used to account for the receipt and expenditures related to the development within the Newport Uptown Planned Community Development Plan.

The Miscellaneous Facilities Financing Fund is used to account for expenditures for small scale facility rehabilitation, expansion and/or replacement in accordance with the Facilities Financing Planning Program.

The Parks and Community Centers Fund is used to account for expenditures for park and community center rehabilitation, expansion and/or replacement in accordance with the Facilities Financing Planning Program.

The West Newport Community Center Fund is used to account for the design and construction of the West Newport Community Center.

The Balboa Village Parking Management District Fund is used to account for revenues and expenditures associated with parking management improvements in Balboa Village.

The Facilities Maintenance Fund is used to account for revenues and expenditures associated with the maintenance of existing facilities.

The Neighborhood Enhancement Fund is used to account for projects that will enhance neighborhood aesthetics and functionality.
7-177

The Junior Lifeguards Fund is used to account for capital improvement projects related to the Junior Lifeguards program.

The Unrestricted Capital Improvements Fund is used to separately account for general fund capital improvement projects.

Other Permanent Funds
Permanent Funds are used to report resources that are legally restricted for the extent that only earnings, not principal, may be used for purposes that support the reporting government's programs. The City of Newport Beach Permanent Funds are as follows:

The Bay Dredging Fund is used to account for the receipt of permanent endowments intended to fund the ongoing cost of maintaining and dredging of the Upper Newport Bay.

The Ackerman Fund is used to account for the receipt of permanent endowments intended as follows: 75% of the fund's investment proceeds will be used for the purchase of high-tech library equipment while the remaining 25% will be used for scholarships for needy students. 7-178

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Balance Sheet
June 30, 2021

Special Revenue
State SB1 Gas Tax Asset OTS
Assets
Cash and investments
$
2,990,838
$
127,001
$
538,488
$
Receivables:

Accounts (net of allowance)
-
-
-
Interest
8,935
379
922
Intergovernmental receivables
-
289,786
-
46,358
Restricted cash and investments with fiscal agent
-
-
Prepaid items
-
-
-
-
Total assets
$
2,999,773
$
417,166
$
539,410
$
46,358
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:

Accounts payable
$
83,994
$
$
1,733
$
Accrued payroll
-
-
Unearned revenue
-
Due to other funds
-
-
46,358
Total liabilities
83,994
1,733
46,358
Deferred inflows of resources:

Unavailable revenue
-
-
-
Fund balances (deficits):

Nonspendable:

Prepaid items
Permanent endowment
-
-
Restricted
2,915,779
417,166
537,677
Committed
-
-
-
Unassigned
-
-
-
Total fund balances (deficits)
2,915,779
417,166
537,677
-
Total liabilities, deferred inflows of resources
and fund balances
$
2,999,773
$
417,166
$
539,410
$
46,358
(continued)
7-179

Assets
Cash and investments
Receivables:

Accounts (net of allowance)
Interest
Intergovernmental receivables
Restricted cash and investments with fiscal agent
Prepaid items
Total assets
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:

Accounts payable
Accrued payroll
Unearned revenue
Due to other funds
Total liabilities
Deferred inflows of resources:

Unavailable revenue

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Balance Sheet
June 30, 2021

Special Revenue
Circulation Building Community Air Quality
and Excise Development Management
Transportation Tax Block Grant District
$ 3,024,625 $ 392,848 $ $ 1,294,984
9,035 1,175 3,868
- - 93,210 28,481
$ 3,033,660 $ 394,023 $ 93,210 $ 1,327,333
$ $ $ 53,210 $ 44,453
93,210 44,453
28,481
Fund balances (deficits):

Nonspendable:

Prepaid items
Permanent endowment - - -
Restricted 3,033,660 394,023 1,254,399
Committed - - -
Unassigned - - -
Total fund balances (deficits) 3,033,660 394,023 - 1,254,399 Total liabilities, deferred inflows of resources
and fund balances $ 3,033,660 $ 394,023 $ 93,210 $ 1,327,333 (continued)
7-180

Assets
Cash and investments
Receivables:

Accounts (net of allowance)
Interest
Intergovernmental receivables
Restricted cash and investments with fiscal agent
Prepaid items
Total assets
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:

Accounts payable
Accrued payroll
Unearned revenue
Due to other funds
Total liabilities
Deferred inflows of resources:

Unavailable revenue

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Balance Sheet
June 30, 2021

Special Revenue
Supplemental
Environmental Law
Liability Enforcement Contributions FIIN
$ 8,567,846 $ $ 1,362,917 $ 1,331,133
2,342 983,781 -
25,576 4,349 3,976
- 739,186 -
77,549 - -
$ 8,673,313 $ $ 3,090,233 $ 1,335,109
$ 88,850 $ $
3,342
854,865 $
450,000
92,192 1,304,865
- 1,044,034
Fund balances (deficits):

Nonspendable:

Prepaid items 77,549
Permanent endowment - - -
Restricted 8,503,572 741,334 1,335,109
Committed - - -
Unassigned - - -
Total fund balances (deficits) 8,581,121 741,334 1,335,109 Total liabilities, deferred inflows of resources
and fund balances $ 8,673,313 $ $ 3,090,233 $ 1,335,109 (continued)
7-181

Assets
Cash and investments
Receivables:

Accounts (net of allowance)
Interest
Intergovernmental receivables
Restricted cash and investments with fiscal agent
Prepaid items
Total assets
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:

Accounts payable
Accrued payroll
Unearned revenue
Due to other funds
Total liabilities
Deferred inflows of resources:

Unavailable revenue

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Balance Sheet
June 30, 2021

Special Revenue Capital Projects
Small
Business Assessment
$ $ 2,742,957 $ 2,643,011 $ 120,973
8,541 7,660 361
1,002,747 - -
- 651,138 9,071,163
$ $ 3,754,245 $ 3,301,809 $ 9,192,497
$ $ 56,495 $ 447,121 $ 1,195,662
537,972
594,467 447,121 1,195,662
571,572
Fund balances (deficits):

Nonspendable:

Prepaid items
Permanent endowment - -
Restricted 2,588,206 2,854,688 7,875,501
Committed - 121,334
Unassigned - - -
Total fund balances (deficits) 2,588,206 2,854,688 7,996,835 Total liabilities, deferred inflows of resources
and fund balances $ $ 3,754,245 $ 3,301,809 $ 9,192,497 (continued)
7-182

Assets
Cash and investments
Receivables:

Accounts (net of allowance)
Interest
Intergovernmental receivables
Restricted cash and investments with fiscal agent
Prepaid items
Total assets
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:

Accounts payable
Accrued payroll
Unearned revenue
Due to other funds
Total liabilities
Deferred inflows of resources:

Unavailable revenue

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Balance Sheet
June 30, 2021

Capital Projects
Newport
Civic Center Sunset Strategic Uptown
and Park Ridge Park Planning Undergrounding
$ 497,092 $ $ $ 3,297
1,336 10
$ 498,428 $ $ $ 3,307
$ 443
$
$
$
443
Fund balances (deficits):

Nonspendable:

Prepaid items
Permanent endowment -
Restricted - 3,307
Committed 497,985 -
Unassigned - -
Total fund balances (deficits) 497,985 3,307
Total liabilities, deferred inflows of resources
and fund balances $ 498,428 $ $ $ 3,307
(continued)
7-183

Assets
Cash and investments
Receivables:

Accounts (net of allowance)
Interest
Intergovernmental receivables
Restricted cash and investments with fiscal agent
Prepaid items
Total assets
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:

Accounts payable
Accrued payroll
Unearned revenue
Due to other funds
Total liabilities
Deferred inflows of resources:

Unavailable revenue

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Balance Sheet
June 30, 2021

Capital Projects
Balboa Village
Parks and West Newport Parking
Misc Facilities Community Community Management
Financing Centers Center District
$ $ 4,975,484 $ $ 1,419,579
14,863 4,014
$ $ 4,990,347 $ $ 1,423,593
$ $ 318,441 $ $ 37,321
318,441
37,321
Fund balances (deficits):

Nonspendable:

Prepaid items
Permanent endowment
Restricted - -
Committed 4,671,906 1,386,272
Unassigned - -
Total fund balances (deficits) 4,671,906 1,386,272
Total liabilities, deferred inflows of resources
and fund balances $ $ 4,990,347 $ $ 1,423,593
(continued)
7-184

Assets
Cash and investments
Receivables:

Accounts (net of allowance)
Interest
Intergovernmental receivables
Restricted cash and investments with fiscal agent
Prepaid items
Total assets
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:

Accounts payable
Accrued payroll
Unearned revenue
Due to other funds
Total liabilities
Deferred inflows of resources:

Unavailable revenue

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Balance Sheet
June 30, 2021

Capital Projects
Unrestricted
Facilities Neighborhood Junior Capital
Maintenance Enhancement Lifeguards Improvements
$ 2,547,249 $ 3,637,739 $ $ 8,500,299
7,611 3,374
$ 2,554,860 $ 3,641,113 $ $ 8,500,299
$ 332,754 $ 530,119 $ $ 1,500,339
- - 136,299 -
332,754 530,119 136,299 1,500,339
Fund balances (deficits):

Nonspendable:

Prepaid items
Permanent endowment
Restricted - - -
Committed 2,222,106 3,110,994 6,999,960
Unassigned - - (136,299) -
Total fund balances (deficits) 2,222,106 3,110,994 (136,299) 6,999,960 Total liabilities, deferred inflows of resources
and fund balances $ 2,554,860 $ 3,641,113 $ $ 8,500,299 (continued)
7-185

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Balance Sheet
June 30, 2021

Assets
Cash and investments
Receivables:

Accounts (net of allowance)
Interest
Intergovernmental receivables
Restricted cash and investments with fiscal agent
Prepaid items
Total assets
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:

Accounts payable
Accrued payroll
Unearned revenue
Due to other funds
Total liabilities
Deferred inflows of resources:

Unavailable revenue
Fund balances (deficits):

Nonspendable:

Prepaid items
Permanent endowment
Restricted
Committed
Unassigned
Total fund balances (deficits)
Total liabilities, deferred inflows of resources
and fund balances
Permanent Fund
Bay Dredging
Ackerman
Donation
Total
Other
Governmental
Funds
$ 5,443,649 $ 1,214,798 $ 53,376,807
- - 986,123
16,262 3,629 125,876
- - 2,199,768
9,722,301
- 77,549
$ 5,459,911 $ 1,218,427 $ 66,488,424
$ $ 4,899 $ 5,550,699
- 3,342
987,972
- 222,657
4,899 6,764,670
1,644,087
- - 77,549
3,857,000 772,781 4,629,781
1,602,911 440,747 34,498,079
- - 19,010,557
- (136,299)
5,459,911 1,213,528 58,079,667
$ 5,459,911 $ 1,218,427 $ 66,488,424
7-186

Revenues:

Othertaxes
Intergovernmental
Licenses, permits and fees
Investment income
Net decrease in fair value of investments
Donations
Other
Total revenues
Expenditures:

Current:

Public safety
Public works
Community development
Community services
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over expenditures

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2021

Special Revenue
State SB1 Gas Tax Asset OTS
1,878,891 1,590,236 45,133 246,826
41,006 5,128 12,536
(37,296) (5,128) (10,973)
- - 1,748 -
1,882,601 1,590,236 48,444 246,826
373,421 246,826
1,689,543 2,781,222
1,689,543 2,781,222 373,421 246,826
193,058 (1,190,986) (324,977) -
Other financing sources (uses):

Transfers in
Transfers out
Certificates of participation issued
Premium on certificates of participation issued
Total other financing sources (uses) -
Net change in fund balances 193,058 (1,190,986) (324,977) Fund balances (deficits), beginning, as restated 2,722,721 1,608,152 862,654 Fund balances (deficits), ending $ 2,915,779 $ 417,166 $ 537,677 $ (continued)
7-187

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2021

Revenues:

Other taxes
Intergovernmental
Licenses, permits and fees
Investment income
Net decrease in fair value of investments
Donations
Other
Total revenues
Expenditures:

Current:

Public safety
Public works
Community development
Community services
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over expenditures
Other financing sources (uses):

Transfers in
Transfers out
Certificates of participation issued
Premium on certificates of participation issued
Total other financing sources (uses)
Net change in fund balances
Special Revenue
Circulation
Building
Community
Air Quality
and
Excise
Development
Management
Transportation
Tax
Block Grant
District
-
-
455,836
110,813
398,284
196,039
-
-
43,353
6,031
19,203
(38,647)
(5,405)
(17,089)
402,990 196,665 455,836 112,927
262,356
6,292 299,847 - 81,013
- - 182,000 -
- - 11,480 -
6,292 299,847 455,836 81,013
396,698 (103,182) 31,914
396,698 (103,182) 31,914
Fund balances (deficits), beginning, as restated 2,636,962 497,205 1,222,485 Fund balances (deficits), ending $ 3,033,660 $ 394,023 $ $ 1,254,399 (continued)
7-188

Revenues:

Othertaxes
Intergovernmental
Licenses, permits and fees
Investment income
Net decrease in fair value of investments
Donations
Other
Total revenues
Expenditures:

Current:

Public safety
Public works
Community development
Community services
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over expenditures

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2021

Special Revenue
- 205,263
606,652 -
6,829,350
606,652 205,263 6,829,350 -
(24,063) - (1,089,951) 2,177
Other financing sources (uses):

Transfers in 4,184
Transfers out -
Certificates of participation issued
Premium on certificates of participation issued -
Total other financing sources (uses) 4,184 -
Net change in fund balances (24,063) (1,085,767) 2,177
Fund balances (deficits), beginning, as restated 8,605,184 1,827,101 1,332,932 Fund balances (deficits), ending $ 8,581,121 $ $ 741,334 $ 1,335,109 (continued)
7-189
Supplemental
Environmental
Law
Liability
Enforcement
Contributions MIN
$ 499,406
$ -
$ - $
-
205,263
4,592,469
132,208
25,686 20,397
(117,600)
(22,747) (18,220)
-
100,000
68,575
-
1,043,991 -
582,589
205,263
5,739,399 2,177
- 205,263
606,652 -
6,829,350
606,652 205,263 6,829,350 -
(24,063) - (1,089,951) 2,177
Other financing sources (uses):

Transfers in 4,184
Transfers out -
Certificates of participation issued
Premium on certificates of participation issued -
Total other financing sources (uses) 4,184 -
Net change in fund balances (24,063) (1,085,767) 2,177
Fund balances (deficits), beginning, as restated 8,605,184 1,827,101 1,332,932 Fund balances (deficits), ending $ 8,581,121 $ $ 741,334 $ 1,335,109 (continued)
7-189

Revenues:

Other taxes
Intergovernmental
Licenses, permits and fees
Investment income
Net decrease in fair value of investments
Donations
Other
Total revenues
Expenditures:

Current:

Public safety
Public works
Community development
Community services
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over expenditures
Other financing sources (uses):

Transfers in
Transfers out
Certificates of participation issued
Premium on certificates of participation issued
Total other financing sources (uses)
Net change in fund balances

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2021

Special Revenue Capital Projects
Small
Business Assessment
2,413,427 2,138,388
5,585 37,980 35,731 29,757
(3,294) (33,877) (32,507) (27,824)
- - 973,870 -
2,415,718 2,142,491 977,094 1,933
2,597,023
2,419,337 - -
- 1,033,307 2,884,521
- - - 173,965
2,419,337 1,033,307 2,597,023 3,058,486
(3,619) 1,109,184 (1,619,929) (3,056,553)
25,000 400,000
- - (9,500,000)
7,860,000
- - 1,373,936
25,000 400,000 (266,064)
(3,619) 1,134,184 (1,219,929) (3,322,617)
Fund balances (deficits), beginning, as restated 3,619 1,454,022 4,074,617 11,319,452 Fund balances (deficits), ending $ - $ 2,588,206 $ 2,854,688 $ 7,996,835 (continued)
7-190

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2021

Expenditures:

Capital Projects
Public safety
Public works
Newport
Community development
Civic Center
Sunset Strategic
Uptown
Capital outlay
and Park
Ridge Park Planning
Undergrounding
Revenues:
-
Interest and fiscal charges
2,023
Othertaxes
$
$ $
$
Intergovernmental
(56,674) (93) (173) 5
Licenses, permits and fees
-
Investment income
7,188
106 50
50 Net decrease in fair value of investments
(7,866)
(199) (223)
(45)
Donations
- -
-
Other
-
-
-
Total revenues
(678)
(93) (173)
5 Expenditures:

Current:

Public safety
Public works
Community development
Community services
-
Capital outlay
53,973
Debt service:

Principal
-
Interest and fiscal charges
2,023
Total expenditures
55,996 - -
Excess (deficiency) of revenues
over expenditures
(56,674) (93) (173) 5
Other financing sources (uses):

Transfers in
Transfers out (1,222,853) (105,858) (157,066)
Certificates of participation issued
Premium on certificates of participation issued
Total other financing sources (uses) (1,222,853) (105,858) (157,066) - Net change in fund balances (1,279,527) (105,951) (157,239) 5 Fund balances (deficits), beginning, as restated 1,777,512 105,951 157,239 3,302 Fund balances (deficits), ending $ 497,985 $ - $ - $ 3,307 (continued)
7-191

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2021

Revenues:

Other taxes
Intergovernmental
Licenses, permits and fees
Investment income
Net decrease in fair value of investments
Donations
Other
Total revenues
Expenditures:

Current:

Public safety
Public works
Community development
Community services
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over expenditures
Other financing sources (uses):

Transfers in
Transfers out
Certificates of participation issued
Premium on certificates of participation issued
Total other financing sources (uses)
Net change in fund balances
Capital Projects
Balboa Village
Parks and West Newport Parking
Misc Facilities Community Community Management
Financing Centers Center District
- - - 403,733
31 128,422 29 18,951
(44) (104,627) (426) (16,810)
(13) 23,795 (397) 405,874
6,092,871 63,929
- 6,092,871 63,929
(13) (6,069,076) (397) 341,945
6,901,299
(14,983) - (343,884)
(14,983) 6,901,299 (343,884) -
(14,996) 832,223 (344,281) 341,945
Fund balances (deficits), beginning, as restated 14,996 3,839,683 344,281 1,044,327 Fund balances (deficits), ending $ - $ 4,671,906 $ - $ 1,386,272 (continued)
7-192

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2021

Revenues:

Othertaxes
Intergovernmental
Licenses, permits and fees
Investment income
Net decrease in fair value of investments
Donations
Other
Total revenues
Expenditures:

Current:

Public safety
Public works
Community development
Community services
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over expenditures
Other financing sources (uses):

Transfers in
Transfers out
Certificates of participation issued
Premium on certificates of participation issued
Total other financing sources (uses)
Net change in fund balances
Capital Projects
Unrestricted
Facilities Neighborhood Junior Capital
Maintenance Enhancement Lifeguards Improvements
51,403 28,442 -
(45,260) (29,465) (12)
6,143 (1,023) (12)
1,707,838
1,734,183
86,150
6,936,819
1,734,183
6,936,819
1,707,838
86,150
(1,701,695)
(1,735,206)
(86,162)
(6,936,819)
1,366,254
2,508,176
8,137,059
-
(2,623,249)
(2,790,286)
1,366,254
(115,073)
5,346,773
(335,441)
(1,850,279)
(86,162)
(1,590,046)
Fund balances (deficits), beginning, as restated 2,557,547 4,961,273 (50,137) 8,590,006 Fund balances (deficits), ending $ 2,222,106 $ 3,110,994 $(136,299) $ 6,999,960 (continued)
7-193

CITY OF NEWPORT BEACH
Other Governmental Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2021

Revenues:

Other taxes
Intergovernmental
Licenses, permits and fees
Investment income
Net decrease in fair value of investments
Donations
Other
Total revenues
Expenditures:

Current:

Public safety
Public works
Community development
Community services
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over expenditures
Other financing sources (uses):

Transfers in
Transfers out
Certificates of participation issued
Premium on certificates of participation issued
Total other financing sources (uses)
Net change in fund balances
Fund balances (deficits), beginning, as restated
Fund balances (deficits), ending
Permanent Funds
Bay Dredging
$ $ $ 499,406
13,677,282
- 998,056
83,415 18,616 751,304
(74,385) (16,610) (666,579)
100,000
2,088,184
Total
Other
Ackerman Governmental
Donation Funds
9,030 2,006 17,447,653
825,510
3,203,675
4,900 267,256
- 2,419,337
32,280,858
182,000
- 187,468
4,900 39,366,104
9,030 (2,894) (21,918,451
19,341,972
(16,758,179)
7,860,000
1,373,936
11, 817, 729
9,030 (2,894) (10,100,722)
5,450,881 1,216,422 68,180,389
$ 5,459,911 $ 1,213,528 $ 58,079,667
7-194

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
State Gas Tax Special Revenue Fund
For the Year Ended June 30, 2021
Budgeted Amounts
Original Final
Variance with
Final Budget
Positive
Actual (Negative)
Revenues:

Intergovernmental $ 1,863,809 $ 1,863,809 $ 1,878,891 $ 15,082 Investment income 21,669 21,669 41,006 19,337
Net decrease in fair value of investments - - (37,296) (37,296) Total revenues 1,885,478 1,885,478 1,882,601 (2,877)
Expenditures:

Capital outlay
Net change in fund balance
Fund balance, beginning
Fund balance, ending
1,980,995 4,533,068 1,689,543 2,843,525
(95,517) (2,647,590) 193,058 2,840,648
2,722,721 2,722,721 2,722,721 -
$ 2,627,204 $ 75,131 $ 2,915,779 $ 2,840,648
7-195

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
SB1 Gas Tax RMRA Fund
For the Year Ended June 30, 2021
Budgeted Amounts
Original Final
Variance with
Final Budget
Positive
Actual (Negative)
Revenues:

Intergovernmental $ 1,481,900 $ 1,481,900 $ 1,590,236 $ 108,336 Investment income 3,321 3,321 5,128 1,807
Net decrease in fair value of investments - - (5,128) (5,128) Total revenues 1,485,221 1,485,221 1,590,236 105,015
Expenditures:

Capital outlay - 2,781,222 2,781,222 -
Net change in fund balance 1,485,221 (1,296,001) (1,190,986) 105,015 Fund balance, beginning 1,608,152 1,608,152 1,608,152 - Fund balance, ending $ 3,093,373 $ 312,151 $ 417,166 $ 105,015 7-196

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Asset Forfeiture Special Revenue Fund
For the Year Ended June 30, 2021
Revenues:

Intergovernmental
Investment income
Net decrease in fair value of investments
Other
Total revenues
Expenditures:

Public safety
Net change in fund balance
Fund balance, beginning
Fund balance, ending
Budgeted Amounts
Original Final Actual
Variance with
Final Budget
Positive
$ 1,438 $ 1,438 $ 45,133 $ 43,695
14,333 14,333 12,536 (1,797)
- - (10,973) (10,973)
- - 1,748
15,771 15,771 48,444 32,673
40,000 555,218 373,421 181,797
(24,229) (539,447) (324,977) 214,470
862,654 862,654 862,654 -
$ 838,425 $ 323,207 $ 537,677 $ 214,470
7-197

Revenues:

Intergovernmental
Expenditures:

Public safety
Net change in fund balance
Fund balance, beginning
Fund balance, ending

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
OTS DUI Grant Special Revenue Fund
For the Year Ended June 30, 2021
Variance with
Final Budget
Budgeted Amounts Positive
Original Final Actual (Negative)
$ - $ 280,346 $ 246,826 $ (33,520)
280,346 246,826 33,520
7-198

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Circulation and Transportation Special Revenue Fund
For the Year Ended June 30, 2021
Revenues:

Licenses, permits and fees
Investment income
Net decrease in fair value of investments
Total revenues
Expenditures:

Capital outlay
Net change in fund balance
Fund balance, beginning
Fund balance, ending
7-199
Variance with
Final Budget
Budgeted
Amounts
Positive
Original
Final
Actual
(Negative)
$ 150,989
$ 150,989
$ 398,284
$ 247,295
43,015
43,015
43,353
338
-
-
(38,647)
(38,647)
194,004
194,004
402,990
208,986
365,790
365,790
6,292
359,498
(171,786)
(171,786)
396,698
568,484
2,636,962
2,636,962
2,636,962
-
$ 2,465,176
$ 2,465,176
$ 3,033,660
$ 568,484
7-199

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Building Excise Tax Special Revenue Fund
For the Year Ended June 30, 2021
7-200
Variance with
Final Budget
Budgeted Amounts
Positive
Original
Final
Actual
(Negative)
Revenues:

Licenses, permits and fees
$ 202,950
$ 202,950
$ 196,039
$ (6,911)
Investment income
3,006
3,006
6,031
3,025
Net decrease in fair value of investments
-
-
(5,405)
(5,405)
Total revenues
205,956
205,956
196,665
(9,291)
Expenditures:

Capital outlay
300,000
628,361
299,847
328,514
Net change in fund balance
(94,044)
(422,405)
(103,182)
319,223
Fund balance, beginning
497,205
497,205
497,205
-
Fund balance, ending
$ 403,161
$ 74,800
$ 394,023
$ 319,223
7-200

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Community Development Block Grant Special Revenue Fund
For the Year Ended June 30, 2021
Revenues:

Intergovernmental
Total revenues
Expenditures:

Community development
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total expenditures
Net change in fund balance
Fund balance, beginning
Fund balance (deficit), ending
Variance with
Final Budget
Budgeted Amounts Positive
Original Final Actual (Negative)
$ 359,743 $ 793,610 $ 455,836 $ (337,774)
359,743 793,610 455,836 (337,774)
117,311 600,128 262,356 337,772
- 52,942 - 52,942
182,000 182,000 182,000 -
11,480 11,480 11,480 -
310,791 846,550 455,836 390,714
48,952 (52,940) - 52,940
$ 48,952 $(52,940) $ - $ 52,940
7-201

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Air Quality Management District Special Revenue Fund
For the Year Ended June 30, 2021
Variance with
Final Budget
Budgeted Amounts Positive
Original Final Actual (Negative)
Revenues:

Intergovernmental $ 100,000 $ 100,000 $ 110,813 $ 10,813 Investment income 16,734 16,734 19,203 2,469
Net decrease in fair value of investments - - (17,089) (17,089) Total revenues 116,734 116,734 112,927 (3,807)
Expenditures:

Capital outlay
Net change in fund balance
Fund balance, beginning
Fund balance, ending
342,998 81,013 261,985
116,734 (226,264) 31,914 258,178
1,222,485 1,222,485 1,222,485 -
$ 1,339,219 $ 996,221 $ 1,254,399 $ 258,178
7-202

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Environmental Liability Special Revenue Fund
For the Year Ended June 30, 2021
Revenues:

Other taxes
Investment income
Net decrease in fair value of investments
Other revenue
Total revenues
Expenditures:

Public works
Capital outlay
Total expenditures
Net change in fund balance
Fund balance, beginning
Fund balance, ending
Budgeted Amounts
Original Final Actual
Variance with
Final Budget
Positive
/41......4:.... \
$ 600,000 $ 600,000 $ 499,406 $ (100,594)
153,829 153,829 132,208 (21,621)
- - (117,600) (117,600)
40,000 40,000 68,575 28,575
793,829 793,829 582,589 (211,240)
657,762 657,762 606,652 51,110
- 6,610 - 6,610
657,762 664,372 606,652 57,720
136,067 129,457 (24,063) (153,520)
8,605,184 8,605,184 8,605,184 -
$ 8,741,251 $ 8,734,641 $ 8,581,121 $ (153,520)
7-203

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Supplemental Law Enforcement Special Revenue Fund
For the Year Ended June 30, 2021
Revenues:

Intergovernmental
Expenditures:

Public safety
Net change in fund balance
Fund balance, beginning
Fund balance, ending
Variance with
Final Budget
Budgeted Amounts Positive
Original Final Actual (Negative)
$ 200,000 $ 200,000 $ 205,263 $ 5,263
200,000 200,000 205,263 (5,263)
7-204

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Contributions Fund Special Revenue Fund
For the Year Ended June 30, 2021
Revenues:

Intergovernmental
Investment income
Net decrease in fair value of investments
Donations
Other
Total revenues
Expenditures:

Capital outlay
Excess (deficiency) of revenues
over expenditures
Other financing sources:

Transfers in
Net change in fund balance
Fund balance, beginning
Fund balance, ending
Budgeted Amounts
Original Final
Variance with
Final Budget
Positive
Actual (Negative)
$ 431,000 $ 12,563,188 $ 4,592,469 $ (7,970,719)
36,533 36,533 25,686 (10,847)
- - (22,747) (22,747)
106,500 556,500 100,000 (456,500)
- 1,688,731 1,043,991 (644,740)
574,033 14,844,952 5,739,399 (9,105,553)
2,369,740 16,440,767 6,829,350 9,611,417
(1,795,707) (1,595,815) (1,089,951) 505,864
- 4,184 4,184 -
(1,795,707) (1,591,631) (1,085,767) 505,864
1,827,101 1,827,101 1,827,101 -
$ 31,394 $ 235,470 $ 741,334 $ 505,864
7-205

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
MIN Special Revenue Fund
For the Year Ended June 30, 2021
Variance with
Final Budget
Budgeted Amounts Positive
Original Final Actual (Negative)
Revenues:

Investment income $ 23,910 $ 23,910 $ 20,397 $ (3,513)
Net decrease in fair value of investments - - (18,220) (18,220) Total revenues 23,910 23,910 2,177 (21,733)
Expenditures:

Community services 147,000 147,000 - 147,000
Net change in fund balance
Fund balance, beginning
Fund balance, ending
(123,090) (123,090) 2,177 125,267
1,332,932 1,332,932 1,332,932 -
$ 1,209,842 $ 1,209,842 $ 1,335,109 $ 125,267
7-206

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Small Business Grant Special Revenue Fund
For the Year Ended June 30, 2021
Expenditures:

Community services
Net change in fund balance
Fund balance, beginning
Fund balance, ending
2,413,427 2,419,337 -
- - (3,619) (3,619)
3,619 3,619 3,619 -
$ 3,619 $ 3,619 $ - $ (3,619)
7-207
Variance with
Final Budget
Budgeted Amounts
Positive
Original Final
Actual
(Negative)
Revenues:

Intergovernmental
$ - $ 2,413,427
$ 2,413,427
$ -
Investment income
- -
5,585
5,585
Net decrease in fair value of investments
- -
(3,294)
(3,294)
Total revenues
- 2,413,427
2,415,718
2,291
Expenditures:

Community services
Net change in fund balance
Fund balance, beginning
Fund balance, ending
2,413,427 2,419,337 -
- - (3,619) (3,619)
3,619 3,619 3,619 -
$ 3,619 $ 3,619 $ - $ (3,619)
7-207

CITY OF NEWPORT BEACH
Budgetary Comparison Schedule
Measure M
For the Year Ended June 30, 2021
7-208
Variance with
Final Budget
Budgeted Amounts
Positive
Original
Final
Actual
(Negative)
Revenues:

Intergovernmental
$ 5,806,189
$ 3,456,589
$ 2,138,388
$ (1,318,201)
Investment income
7,123
7,123
37,980
30,857
Net decrease in fair value of investments
-
-
(33,877)
(33,877)
Total revenues
5,813,312
3,463,712
2,142,491
(1,321,221)
Expenditures:

Capital outlay
3,038,500
4,641,614
1,033,307
3,608,307
Excess (deficiency) of revenues
over expenditures
2,774,812
(1,177,902)
1,109,184
2,287,086
Other financing sources:

Transfers in
-
25,000
25,000
--
Net change in fund balance
2,774,812
(1,152,902)
1,134,184
2,287,086
Fund balance, beginning, as restated
1,454,022
1,454,022
1,454,022
-
Fund balance, ending
$ 4,228,834
$ 301,120
$ 2,588,206
$ 2,287,086
7-208

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7-209

SUPPLEMENTARY INFORMATION

INTERNAL SERVICE FUNDS

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7-211

INTERNAL SERVICE FUNDS
The Internal Service Funds are used to allocate the cost of providing goods and services by one department to other departments on a cost reimbursement basis.

The City of Newport Beach Internal Service Funds are listed below:

The Insurance Reserve Fund is used to account for the City's self- insured general liability and workers' compensation program.

The Compensated Absences Fund is used to account for the City's accumulated liability for compensated absences.

The Retiree Insurance Fund is used to account for the cost of providing post -employment health care benefits.

The Equipment Maintenance Fund is used to account for the cost of maintaining and replacing the City's rolling stock fleet, parking equipment, coordinated communications system equipment, fire equipment and recreation equipment.

The Information Technology Fund is used to account for the cost of maintaining and replacing the City's computers, printers, copiers and telecommunication services to other departments.
7-212

CITY OF NEWPORT BEACH
Internal Service Funds
Combining Statement of Net Position
June 30, 2021
7-213
Total
Insurance
Compensated
Retiree
Equipment
Information
Internal
Assets
Reserve
Absences
Insurance
Maintenance
Technology
Service Funds
Current assets:

Cash and investments
$ 38,784,627
$ 5,758,686
$ 773,824
$ 12,911,483
$ 9,090,957
$ 67,319,577
Receivables:

Accounts (net of allowance)
1,019,942
-
6,376
189,041
-
1,215,359
Interest
114,381
15,731
1,825
38,437
26,868
197,242
Inventories
-
-
-
447,455
-
447,455
Prepaid items
64,464
253,195
3,593,783
457,697
4,369,139
Total current assets
39,983,414
5,774,417
1,035,220
17,180,199
9,575,522
73,548,772
Noncurrent assets:

Capital assets:

Equipment
-
-
-
38,538,452
3,320,888
41,859,340
Structures
39,581
-
39,581
Software
-
3,603,419
3,603,419
Work in progress
462,981
462,981
Less accumulated depreciation
(24,091,486)
(5,711,362)
(29,802,848)
Total capital assets (net of
accumulated depreciation)
14,486,547
1,675,926
16,162,473
Total assets
39,983,414
5,774,417
1,035,220
31,666,746
11,251,448
89,711,245
Deferred outflows of resources:

Deferred amount from pension plans
-
-
-
408,277
818,341
1,226,618
Deferred amount from OPEB
96,021
192,463
288,484
Total deferred outflows of resources
-
-
504,298
1,010,804
1,515,102
Liabilities
Current liabilities:

Accounts payable
1,524,756
473,732
-
383,100
67,292
2,448,880
Accrued payroll
28,959
-
162,853
28,092
69,553
289,457
Due to other funds
-
352,836
-
-
352,836
Workers' compensation - current
2,716,603
-
2,716,603
General liability - current
2,679,733
-
2,679,733
Compensated absences - current
-
4,336,047
4,336,047
Total current liabilities
6,950,051
4,809,779
515,689
411,192
136,845
12,823,556
Noncurrent liabilities:

Workers' compensation
12,036,397
-
-
-
-
12,036,397
General liability
5,585,902
-
5,585,902
Compensated absences
-
9,176,960
-
-
9,176,960
Net pension liability
-
2,106,617
4,222,510
6,329,127
Net OPEB liability
-
-
229,572
460,159
689,731
Total noncurrent liabilities
17,622,299
9,176,960
-
2,336,189
4,682,669
33,818,117
Total liabilities
24,572,350
13,986,739
515,689
2,747,381
4,819,514
46,641,673
Deferred inflows of resources:

Deferred amount from pension plans
-
-
-
1,506
3,017
4,523
Deferred amount from OPEB
2,206
4,424
6,630
Total deferred inflows of resources
3,712
7,441
11,153
Net Position
Invested in capital assets
-
-
17,951,114
1,675,926
19,627,040
Unrestricted
15,411,064
(8,212,322)
519,531
11,468,837
5,759,371
24,946,481
Total net position
$ 15,411,064
$ (8,212,322)
$ 519,531
$ 29,419,951
$ 7,435,297
$ 44,573,521
7-213

Operating revenues:

Charges for services
Retiree reimbursements
Employee contributions
Other
Total operating revenues
Operating expenses:

Salaries and wages
Depreciation
Professional services
Maintenance and supplies
Fleet parts and supplies
Telecommunication
Hardware
Software
Workers' compensation
Claims and judgments
Compensated absences
OPEB
Total operating expenses
Operating income (loss)
Nonoperating revenues:

Investment income
Net decrease in fair value of investments
Gain on sale of capital assets
Total nonoperating revenues
Income (loss) before transfers
Transfers in
Transfer out
Total transfers
Change in net position
Net position, beginning
Net position, ending

CITY OF NEWPORT BEACH
Internal Service Funds
Combining Statement of Revenues, Expenses
and Changes in Net Position
For the Year Ended June 30, 2021
7-214
Total
Insurance
Compensated
Retiree
Equipment
Information
Internal
Reserve
Absences
Insurance
Maintenance
Technology
Service Funds
$ 11,225,000
$ 2,669,045
$ 4,924,163
$ 6,772,157
$ 7,232,902
$ 32,823,267
-
-
141,862
-
-
141,862
-
59,084
-
-
59,084
321,505
652,306
72,208
39 1,046,058
11,546,505
2,669,045
5,777,415
6,844,365
7,232,941
34,070,271
-
-
-
920,461
2,524,011
3,444,472
2,940,381
559,826
3,500,207
19,246
262,346
281,592
1,539,242
1,345,038
2,884,280
299,837
-
299,837
-
153,434
153,434
436,613
436,613
-
237,204
237,204
1,917,334
-
1,917,334
5,604,723
-
5,604,723
-
2,866,959
-
2,866,959
-
-
5,819,883
-
5,819,883
7,522,057
2,866,959
5,819,883
5,719,167
5,518,472
27,446,538
4,024,448
(197,914)
(42,468)
1,125,198
1,714,469
6,623,733
519,187
83,765
19,214
206,762
128,940
957,868
(470,668)
(74,032)
(16,319)
(186,805)
(117,260)
(865,084)
-
-
-
441,666
441,666
48,519
9,733
2,895
461,623
11,680
534,450
4,072,967
(188,181)
(39,573)
1,586,821
1,726,149
7,158,183
-
500,000
31,764
531,764
(2,000,000)
(946,576)
(2,000,000)
(4,946,576)
(2,000,000)
(446,576)
(1,968,236)
(4,414,812)
2,072,967
(188,181)
(39,573)
1,140,245
(242,087)
2,743,371
13,338,097
(8,024,141)
559,104
28,279,706
7,677,384
41,830,150
$ 15,411,064
$ (8,212,322)
$ 519,531
$ 29,419,951
$ 7,435,297
$ 44,573,521
7-214

CITY OF NEWPORT BEACH
Internal Service Funds
Combining Statement of Cash Flows
For the Year Ended June 30, 2021
Cash flows from noncapital financing activities:

Cash received from other funds
Cash paid to other funds
Net cash (used) by noncapital financing activities
Cash flows from capital and related financing activities:

Acquisition of capital assets
Proceeds from sale of capital assets
Net cash (used) for capital and related financing activities Cash flows from investing activities:

Investment income (loss)
Net cash (used) by investing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents, beginning
Cash and cash equivalents, ending
Reconciliation to the statement of net position:

Cash and investments reported on statement of net position Cash and cash equivalents
Reconciliation of operating income (loss) to net cash
provided by operating activities:

Operating income (loss)
Adjustments to reconcile operating income (loss)
to net cash provided by operating activities:

Depreciation
Changes in operating assets and liabilities:
(Increase) decrease in accounts receivable
Decrease in intergovernmental receivable
(Increase) in inventories
(Increase) decrease in prepaid items
Increase (decrease) in accounts payable and accrued payroll (Decrease) in workers' compensation
Increase in general liability
Increase in compensated absences
(Decrease) in net pension liability and deferred cash flows (Decrease) in net OPEB liability and deferred cash flows Total adjustments
Net cash provided by operating activities
Noncash investing, capital, and financing activities:

Net (decrease) in fair value of investments
Total of noncash activities
-
-
1,466,089
500,000
31,764
1,997,853
Total
-
Insurance
Compensated
Retiree
Equipment
Information
Internal
(14,876)
Reserve
Absences
Insurance
Maintenance
Technology
Service Funds
Cash flows from operating activities
-
-
-
(3,618,719)
Receipts from user departments
$ 11,955,935
$ 2,669,045
$ 5,095,412
$ 6,592,542
$ 7,232,902
$ 33,545,836
Payments to employees
(2,665,003)
(2,281,270)
-
(1,046,358)
(2,781,239)
(8,773,870)
Payments to suppliers
(3,844,693)
-
(5,811,065)
(4,786,556)
(2,946,801)
(17,389,115)
Other operating cash receipts
321,505
(18,480)
711,390
597,343
39 1,630,277
Net cash provided (used) by operating activities
5,767,744
387,775
(4,263)
1,356,971
1,504,901
9,013,128
Cash flows from noncapital financing activities:

Cash received from other funds
Cash paid to other funds
Net cash (used) by noncapital financing activities
Cash flows from capital and related financing activities:

Acquisition of capital assets
Proceeds from sale of capital assets
Net cash (used) for capital and related financing activities Cash flows from investing activities:

Investment income (loss)
Net cash (used) by investing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents, beginning
Cash and cash equivalents, ending
Reconciliation to the statement of net position:

Cash and investments reported on statement of net position Cash and cash equivalents
Reconciliation of operating income (loss) to net cash
provided by operating activities:

Operating income (loss)
Adjustments to reconcile operating income (loss)
to net cash provided by operating activities:

Depreciation
Changes in operating assets and liabilities:
(Increase) decrease in accounts receivable
Decrease in intergovernmental receivable
(Increase) in inventories
(Increase) decrease in prepaid items
Increase (decrease) in accounts payable and accrued payroll (Decrease) in workers' compensation
Increase in general liability
Increase in compensated absences
(Decrease) in net pension liability and deferred cash flows (Decrease) in net OPEB liability and deferred cash flows Total adjustments
Net cash provided by operating activities
Noncash investing, capital, and financing activities:

Net (decrease) in fair value of investments
Total of noncash activities
-
-
1,466,089
500,000
31,764
1,997,853
(2,000,000)
-
(1,480,965)
(946,576)
(2,000,000)
(6,427,541)
(2,000,000)
(14,876)
(446,576)
(1,968,236)
(4,429,688)
-
-
-
(3,618,719)
(163,684)
(3,782,403)
441,666
441,666
(3,177,053)
(163,684)
(3,340,737)
(65,862)
(5,998)
1,070
(18,480)
(15,188)
(104,458)
(65,862)
(5,998)
1,070
(18,480)
(15,188)
(104,458)
3,701,882
381,777
(18,069)
(2,285,138)
(642,207)
1,138,245
35,082,745
5,376,909
791,893
15,196,621
9,733,164
66,181,332
$ 38,784,627
$ 5,758,686
$ 773,824
$ 12,911,483
$ 9,090,957
$ 67,319,577
$ 38,784,627
$ 5,758,686
$ 773,824
$ 12,911,483
$ 9,090,957
$ 67,319,577
$ 38,784,627
$ 5,758,686
$ 773,824
$ 12,911,483
$ 9,090,957
$ 67,319,577
$ 4,024,448
$ (197,914)
$ (42,468)
$ 1,125,198
$ 1,714,469
$ 6,623,733
-
-
-
2,940,381
559,826
3,500,207
730,935
-
29,387
(179,615)
-
580,707
-
-
-
525,135
-
525,135
-
-
-
(34,440)
-
(34,440)
(21,194)
-
1,729
(3,083,881)
(281,413)
(3,384,759)
1,496,868
166,001
7,089
192,602
(230,604)
1,631,956
(768,000)
-
-
-
-
(768,000)
304,687
-
-
-
-
304,687
-
419,688
-
-
-
419,688
-
-
-
(87,734)
(175,851)
(263,585)
(40,675)
(81,526)
(122,201)
1,743,296
585,689
38,205
231,773
(209,568)
2,389,395

5.767.744 $ 387.775 $ (4.263) $ 1.356.971 11504 901 $9.013.128 $ (470,668) $ (74,032) $ (16,319) $ (186,805) $ (117,260) $ (865,084) $ (470,668) $ (74,032) $ (16,319) $ (186,805)$ (117,260) $ (865,084) 7-215

SUPPLEMENTARY INFORMATION

FIDUCIARY FUNDS
r
J
Q
V
Z
Q
_
Z
EL

FIDUCIARY FUNDS
Fiduciary Funds are used to account for assets held by the City in a trustee capacity, or as an agent for other government entities, private organizations, or individuals.

The City of Newport Beach Fiduciary Funds are listed below:

The Special Assessment District Fund is used to account for funds received from affected property owners and payable to holders of 1911 Act and 1915 Act special assessment bonds.

The Tourism Business Improvement Fund is used to account for the Newport Beach Tourism Business Improvement District's special assessment on short term room rental revenue collected by the City for Visit Newport Beach Inc.

The Other Business Improvement Fund is used to account for monies collected from local business districts for district property improvements and business enhancement.

The Police Custodial Fund is used to account for monies received by the City's police department in a custodial capacity, such as warrants and items pending adjudication.
7-217

CITY OF NEWPORT BEACH
Fiduciary Funds
Combining Statement of Fiduciary Net Position
June 30, 2021
Custodial Funds
Special Tourism Other Total
Assessment Business Business Police Custodial
District Improvement Improvement Custodial Funds
Assets
Cash and investments $ 514,653 $ 269,601 $ 168,615 $ 271,404 $ 1,224,273 Restricted cash and investments with fiscal agent 1,333,345 - - - 1,333,345 Receivable:

Accounts (net of allowance) - 336,687 336,687
Interest 1,490 - 1,490
Intergovernmental receivable 18,283 - - - 18,283
Total assets 1,867,771 606,288 168,615 271,404 2,914,078 Liabilities
Due to others
Total liabilities
962 606,288 168,615 646 776,511
962 606,288 168,615 646 776,511
Net Position
Restricted for:

Individuals, organizations, and other governments 1,866,809 270,758 2,137,567 Total net position $ 1,866,809 $ $ $ 270,758 $ 2,137,567 7-218

Additions
Special assessments
Investment earnings
Other
Total additions
Deductions
Debt service
Unclaimed property
Administrative
Other
Total deductions
Net (decrease) in fiduciary net position
Net position, beginning of year as restated
Net position, end of year

CITY OF NEWPORT BEACH
Fiduciary Funds
Combining Statement of Changes in Fiduciary Net Position June 30, 2021
7-219
Custodial Funds
Special
Tourism Other
Total
Assessment
Business Business
Police
Custodial
District
Improvement Improvement
Custodial
Funds
$ 1,283,969
$ $
$ -
$ 1,283,969
1,214
22 1,236
-
70,395
70,395
1,285,183
70,417
1,355,600
1,130,047
1,130,047
281,611
-
281,611
59,767
-
59,767
-
18,208
18,208
1,471,425
18,208
1,489,633
(186,242)
52,209
(134,033)
2,053,051
218,549
2,271,600
$ 1,866,809
$ $
$ 270,758
$ 2,137,567
7-219

STATISTICAL SE

This page left blank intentionally.
7-221

FINANCIAL TRENDS
This section of the City of Newport Beach's Annual Comprehensive Financial Report (ACFR) 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. The statistical information presented herein is un -audited.

The following schedules contain trend information illustrating how the City's financial performance and well-being has changed over time:
• Net Position by Component
• Changes in Net Position
• Fund Balances of Governmental Funds
• Changes in Fund Balance of Governmental Funds
Sources: Unless otherwise noted, the information in these schedules is derived from the Annual Comprehensive Financial Reports and underlying accounting records for the relevant years. 7-222

Governmental activities:

Net investment in capital assets
Restricted
Unrestricted
Total governmental activities
Business -type activities:

Net investment in capital assets
Restricted
Unrestricted
Total business -type activities
Primary government:

Net investment in capital assets
Restricted
Unrestricted
Total primary government

CITY OF NEWPORT BEACH
Net Position by Component
Last Ten Fiscal Years
(accrual basis of accounting)
$ 108,981,237 $ 111,177,135 $ 115,948,522 $ 113,914,514 15, 089,798
Fiscal Year
13,160,611
20121
2013
20142
20153
$ 135,670,638
$ 2,098,349,998
$ 2,124,797,794
$ 2,148,942,928
$ 2,176,644,408
61,923,719
72,119,674
59,998,344
45,689,702
82,515,232
77,966,414
(184,990,765)
(150,532,773)
$ 2,242,788,949
$ 2,274,883,882
$ 2,023,950,507
$ 2,071,801,337
$ 108,981,237 $ 111,177,135 $ 115,948,522 $ 113,914,514 15, 089,798
19,172,398
13,160,611
21,756,124
$ 124,071,035
$ 130,349,533
$ 129,109,133
$ 135,670,638
$ 2,207,331,235
$ 2,235,974,929
$ 2,264,891,450
$ 2,290,558,922
61,923,719
72,119,674
59,998,344
45,689,702
97,605,030
97,138,812
(171,830,154)
(128,776,649)
$ 2,366,859,984
$ 2,405,233,415
$ 2,153,059,640
$ 2,207,471,975
Reflects restatement of net position due to the implementation of GASB 65 in fiscal year ended June 30, 2013. 2 Reflects restatement of net position due to the implementation of GASB 68 in fiscal year ended June 30, 2015 and an adjustment to record deferred amount from gain on refunding. 3 Reflects restatement of net position due to compensated absences and deferred outflow adjustments related to fiscal year ended June 30, 2016.
4 Reflects restatement of net position due to deferred outflow adjustments related to fiscal year ended June 30, 2017. 5 Reflects restatement of net position due to implementation of GASB 75 in fiscal year ended June 30, 2018. 6 Reflects restatement of net position due to adjustments for capital assets and compensated absences liability in fiscal year ended June 30, 2019.

The City of Newport Beach implemented GASB 63 and GASB 65 for the fiscal year ended June 30, 2013.

The City of Newport Beach implemented GASB 68 for the fiscal year ended June 30, 2015.

The City of Newport Beach implemented GASB 75 for the fiscal year ended June 30, 2018. 7-223

CITY OF NEWPORT BEACH
Net Position by Component
Last Ten Fiscal Years
(accrual basis of accounting)
Fiscal Year
20164 20175 20186 2019 2020 2021
$ 2,193,773,102 $ 2,201,552,683 $ 2,208,832,391 $ 2,218,040,304 $ 2,217,852,660 $ 2,227,572,605 44,033,677 45,753,736 49,791,908 56,426,811 67,708,225 67,189,020 (130,468,268) (133,461,197) (122,024,754) (102,035,181) (90,214,086) (72,301,558) $ 2,107,338,511 $ 2,113,845,222 $ 2,136,599,545 $ 2,172,431,934 $ 2,195,346,799 $ 2,222,460,067 $ 117,055,576 $ 116,238,944 $ 119,375,596 $ 119,346,350 $ 120,291,689 $ 124,775,772 23,430,189 28,890,311 29,183,382 30,331,669 30,276,662 27,039,499 $ 140,485,765 $ 145,129,255 $ 148,558,978 $ 149,678,019 $ 150,568,351 $ 151,815,271 $ 2,310,828,678 $ 2,317,791,627 $ 2,328,207,987 $ 2,337,386,654 $ 2,338,144,349 $ 2,352,348,377 44,033,677 45,753,736 49,791,908 56,426,811 67,708,225 67,189,020 (107,038,079) (104,570,886) (92,841,372) (71,703,512) (59,937,424) (45,262,059) $ 2,247,824,276 $ 2,258,974,477 $ 2,285,158,523 $ 2,322,109,953 $ 2,345,915,150 $ 2,374,275,338 7-224

CITY OF NEWPORT BEACH
Changes in Net Position
Last Ten Fiscal Years
(accrual basis of accounting)
General revenues and other changes in net position:

Fiscal Year
2012
2013
2014
2015
Expenses:

Taxes:

Governmental activities:

Property tax
$ 71,546,249
$ 81,603,194
$ 79,889,346
General government
$ 14,325,966
$ 15,830,575 $
18,834,165
$ 24,558,041
Public safety
75,696,570
83,235,188
87,676,062
96,945,872
Public works
48,913,412
47,794,631
42,953,118
45,774,939
Community development
9,365,676
9,223,098
10,283,481
10,073,248
Community services
21,554,696
22,244,661
21,357,271
22,418,287
Interest on long-term debt
8,204,928
7,989,339
7,888,192
7,711,334
Total governmental activities expenses
178,061,248
186,317,492
188,992,289
207,481,721
Business -type activities:

Investment income
405,674
219,091
542,915
Water
18,358,646
20,208,300
22,037,284
21,175,954
Wastewater
3,360,418
3,462,165
3,368,656
3,452,398
Total business -type activities expenses
21,719,064
23,670,465
25,405,940
24,628,352
Total primary government expenses
199,780,312
209,987,957
214,398,229
232,110,073
Program revenues:

Transfers
-
-
-
Governmental activities:

Total governmental activities
133,149,203
137,486,968
141,707,759
Charges for services:

Business -type activities:

General government
2,593,741
2,759,306
3,046,232
3,647,210
Public safety
16,240,135
16,008,421
19,124,113
19,386,017
Public works
4,576,208
5,019,835
5,517,103
5,276,991
Community development
6,202,080
7,057,010
8,043,390
8,608,645
Community services
14,119,869
13,176,050
13,270,316
13,667,775
Operating grants and contributions:
11,418,147
11,290,989
15,196,696
10,673,286
Capital grants and contributions:
14,838,783
25,613,846 1
563,786
38,157,665 2
Total governmental activities program revenues
69,988,962
80,925,457
64,761,636
99,417,589
Business -type activities:

Governmental activities
25,076,917
32,094,933
17,477,106
Charges for services:

Business -type activities
5,651,588
6,278,498
7,577,250
Water
23,877,685
26,795,767
29,397,882
27,705,129
Wastewater
3,382,905
3,450,638
3,438,670
3,326,362
Total business -type activities program revenues
27,260,590
30,246,405
32,836,552
31,031,491
Total primary government program revenues
97,249,552
111,171,862
97,598,188
130,449,080
Net revenues (expenses):

Governmental activities
(108,072,286)
(105,392,035)
(124,230,653)
(108,064,132)
Business -type activities
5,541,526
6,575,940
7,430,612
6,403,139
Total net revenues (expenses)
$ (102,530,760)
$ (98,816,095) $
(116,800,041)
$ (101,660,993)
General revenues and other changes in net position:

Governmental activities:

Taxes:

Property tax
$ 71,546,249
$ 81,603,194
$ 79,889,346
$ 84,121,461
Sales tax
20,107,597
20,764,204
23,142,065
24,832,412
Sales tax in -lieu
6,523,492
7,078,517
7,727,876
8,046,424
Transient occupancy tax
14,798,191
16,500,285
18,176,369
20,369,158
Business license tax
4,073,725
4,145,666
4,156,130
4,141,282
Franchise tax
3,845,901
3,820,723
3,998,943
4,189,130
Motor vehicle license fees
42,911
-
-
-
Othertaxes
278,521
286,880
216,604
354,919
Investment income
405,674
219,091
542,915
437,272
Net increase (decrease) in fair value of investments
246,119
-
53,783
61,337
Other
2,789,471
2,748,524
3,803,728
3,161,567
Change in accounting estimates
8,484,000
-
-
-
Capital contributions
7,352
319,884
Transfers
-
-
-
-
Total governmental activities
133,149,203
137,486,968
141,707,759
149,714,962
Business -type activities:

Investment income
49,718
22,442
128,439
123,445
Net increase (decrease) in fair value of investments
67,696
-
18,199
34,921
Other
-
-
-
Capital contributions
(7,352)
(319,884)
Transfers
-
-
-
Total business -type activities
110,062
(297,442)
146,638
158,366
Total primary government
133,259,265
137,189,526
141,854,397
149,873,328
Changes in net position
Governmental activities
25,076,917
32,094,933
17,477,106
41,650,830
Business -type activities
5,651,588
6,278,498
7,577,250
6,561,505
Total primary government
$ 30,728,505
$ 38,373,431
$ 25,054,356
$ 48,212,335
1 2013 data varies from trend because of increased capital assets related to contribution from State of California 2 Data varies from trend because of one-time receipt of developer contributions. 7-225

CITY OF NEWPORT BEACH
Changes in Net Position
Last Ten Fiscal Years
(accrual basis of accounting)
Fiscal Year
2016 2017 2018 2019 2020 2021
$ 19,335,275
$ 20,443,569
$ 19,011,099
$ 20,549,224 $
20,714,050
$ 20,177,482
91,046,455
102,494,314
107,647,562
111,556,065
119,194,302
119,184,958
45,443,988
54,039,601
47,615,000
53,339,878
60,054,860
63,689,155
9,943,868
12,056,086
12,377,394
11,493,204
12,842,020
12,157,226
22,700,052
26,583,440
27,307,115
27,758,097
26,668,079
28,214,205
7,615,094
7,472,188
7,381,743
7,187,971
7,064,521
7,321,612
196,084,732
223,089,198
221,339,913
231,884,439
246,537,832
250,744,638
21,605,197
22,004,013
23,724,918
26,898,075
27,387,120
28,943,243
3,818,165
4,218,926
4,158,155
4,222,228
4,291,755
5,223,245
25,423,362
001 a04 OOA
26,222,939
IA. 010 107
27,883,073
IA. 000 Ota
31,120,303
Oa0 OOA 7A0
31,678,875
074 11. 7n7
34,166,488
O2A 011 11.
3,722,557
5,089,123
5,355,887
5,887,265
3,846,962
2,914,007
19,108,222
19,899,242
20,733,883
21,979,376
22,232,248
22,038,904
5,319,510
5,214,426
5,789,579
5,778,441
5,054,694
5,067,478
8,419,588
10,838,114
9,956,226
9,902,445
9,599,848
10,491,970
13,964,018
13,653,466
13,974,329
13,556,360
16,936,285
17,601,288
17,826,914
11,632,188
11,943,941
14,021,506
14,659,016
20,361,620
2,717,504
27,993,317 2
1,815,464
6,638,356
7,352,407
7,658,387
71,078,313
94,319,876
69,569,309
77,763,749
79,681,460
86,133,654
24,499,952
25,371,307
26,931,193
26,843,751
27,100,429
30,739,726
3,065,762
3,161,114
3,445,772
4,069,265
4,110,815
4,618,186
27,565,714
28,532,421
30,376,965
30,913,016
31,211,244
35,357,912
98,644,027
122,852,297
99,946,274
108,676,765
110,892,704
121,491,566
(125,006,419)
(128,769,322)
(151,770,604)
(154,120,690)
(166,856,372)
(164,610,984)
2,142,352
2,309,482
2,493,892
(207,287)
(467,631)
1,191,424
$ (122,864,067)
$ (126,459,840) $
(149,276,712)
$ (154,327,977)
$ (167,324,003)
$ (163,419,560)
$ 91,516,611
$ 96,964,060 $
101,593,290
$ 108,365,261
$ 113,313,535
$ 119,157,057
33,937,986
33,702,895
36,373,253
37,168,063
36,232,969
38,956,275
2,870,474
-
-
-
-
-
21,083,199
22,382,361
22,857,737
24,697,446
21,097,384
16,886,197
4,024,386
4,149,016
4,282,935
4,428,440
4,882,419
4,481,349
4,047,584
4,026,005
4,228,469
4,286,496
4,394,156
4,204,224
327,009
358,209
3,346,987
2,633,720
2,592,369
4,166,549
584,259
589,001
632,808
2,644,319
2,621,488
2,603,982
376,311
-
-
2,234,249
2,520,033
(2,086,189)
4,001,486
2,290,482
3,416,348
3,495,085
2,116,884
3,354,808
100 700 OnG
(3,500,000)
Ian Ono non
17a 701 277
140 OG1 n70
140 771 007
-
101 771 0.0
216,576 77,752 184,906 713,970 732,099 525,295
148,527 - - 612,358 625,864 (469,799)
2,375,000 - -
22,516 -
- 3,500,000
0 7a0 a10 1 .77 7G7 —A On. 1 Ion 004 1 OG7 Oa0 GG Ana
37,762,886 32,192,707 24,961,223 35,832,389 22,914,865 27,113,268 4,904,971 5,887,234 2,678,798 1,119,041 890,332 1,246,920 $ 42,667,857 $ 38,079,941 $ 27,640,021 $ 36,951,430 $ 23,805,197 $ 28,360,188 7-226

Data varies from trend due to the reclassification of the contingency reserve from committed fund balance to unassigned fund balance per council approval.
2 Data varies from trend due to the moving of general fund capital projects to a separate capital project fund. 3 Data varies from trend due to additional funds set aside for seawall construction and pension related items. 7-227

CITY OF NEWPORT BEACH
Fund Balances of Governmental
Funds
Last Ten Fiscal
Years
(modified accrual basis of accounting)
Fiscal Year
2012
2013
2014
2015
General fund:

Nonspendable
$ 7,854,478
$ 9,919,486
$ 16,316,499
$ 15,784,396
Restricted
2,263,049
2,410,373
3,939,751
5,389,810
Committed
29,673,333
29,371,507
12,782,235 1
11,847,852
Assigned
19,431,475
6,843,417
1,326,170
1,421,225
Unassigned
20,570,023
32,585,375
51,015,820 '
55,509,258
Total general fund
$ 79,792,358
$ 81,130,158
$ 85,380,475
$ 89,952,541
All other governmental funds:

Nonspendable
$ 5,396,436
$ 4,697,220
$ 4,629,781
$ 4,669,269
Restricted
30,957,184
27,433,342
33,243,790
29,842,384
Committed
70,500,156
33,961,163
19,513,389
26,159,261
Assigned
-
-
-
-
Unassigned
(11,339,671)
(15,723,261)
(14,291,969)
(12,495,729)
Total all other governmental funds
$ 95,514,105
$ 50,368,464
$ 43,094,991
$ 48,175,185
Total all governmental funds
$ 175,306,463
$ 131,498,622
$ 128,475,466
$ 138,127,726
Data varies from trend due to the reclassification of the contingency reserve from committed fund balance to unassigned fund balance per council approval.
2 Data varies from trend due to the moving of general fund capital projects to a separate capital project fund. 3 Data varies from trend due to additional funds set aside for seawall construction and pension related items. 7-227

CITY OF NEWPORT BEACH
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
2016 2017 2018 2019 2020 2021
$ 15,210,896
$ 14,434,017 $
14,050,930
3,083,133
3,797,009
4,412,302
2,726,020 2
10,570,638 3
13,444,487
4,201,311
567,132
590,368
56,618,041
60,009,244
61,415,049
$ 13,147,221
$ 11,864,115
$ 10,637,097
4,757,437
5,710,434
4,876,025
13,335,675
2,210,811
3,235,746
1,199,682
2,598,828
1,489,350
64,146,123
76,699,284
85,715,180
$ 81,839,401 2 $ 89,378,040 3 $ 93,913,136 $ 96,586,138 $ 99,083,472 $ 105,953,398 $ 4,629,781 $ 4,666,256 $ 4,787,243 $ 4,715,545 $ 4,646,529 $ 4,707,330 33,662,859 31,950,139 38,629,419 45,958,167 53,310,518 63,914,627 40,248,977 49,510,047 41,731,742 40,732,124 48,032,259 47,863,154 (15,422,984) (6,308,331) (376,162) (253) (50,137) (136,299) $ 63,118,633 $ 79,818,111 $ 84,772,242 $ 91,405,583 $ 105,939,169 $ 116,348,812 $ 144,958,034 $ 169,196,151 $ 178,685,378 $ 187,991,721 $ 205,022,641 $ 222,302,210 Fund Balances
$140,000,000
$120,000,000
$100,000,000
$80,000,000
$60,000,000
$40,000,000
$20,000,000
2012 2013 2014 2015
2016 2017 2018 2019 2020 2021
❑ Total General Fund
■ Total all other Governmental Funds
7-228

CITY OF NEWPORT BEACH
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
7-229
2012
2013
2014
2015
Revenues:

Taxes
$ 121,710,955
$ 134,733,550
$ 137,910,879
$ 146,664,903
Intergovernmental
12,122,963
11,393,589
16,825,839
11,813,208
Licenses, permits and fees
6,691,125
7,682,555
6,659,203
14,676,754
Charges for services
16,020,825
16,254,399
16,864,092
16,914,210
Fines and forfeitures
3,795,787
3,649,532
3,272,951
3,732,405
Investment income
1,142,935
372,514
1,136,062
928,729
Net increase (decrease) in fair value of investments
704,656
-
124,439
177,485
Property income
17,458,143
19,847,371
22,214,256
21,406,667
Donations
13,977,850
587,445
1,170,171
22,249,427
Other
691,125
3,543,894
1,400,048
6,984,418
Total revenues
194,316,364
198,064,849
207,577,940
245,548,206
Expenditures:

Current:

General government
12,896,492
13,671,480
14,471,167
14,060,512
Public safety
75,377,871
80,546,969
82,642,988
94,568,122
Public works
32,399,178
32,451,624
32,414,457
33,694,578
Community development
8,939,825
8,994,710
9,768,928
9,876,706
Community services
19,296,505
18,872,022
19,047,813
20,235,546
Capital outlay
80,617,948
72,133,582
33,572,193
47,169,671
Debt service:

Principal
4,529,854
3,998,000
4,091,000
4,183,000
Interest and fiscal charges
8,320,500
8,152,488
8,052,927
7,957,811
Total expenditures
242,378,173
238,820,875
204,061,473
231,745,946
Excess (deficiency) of revenues over (under)
expenditures
(48,061,809)
(40,756,026)
3,516,467
13,802,260
Other financing sources (uses):

Transfers in
24,640,318
47,875,107
41,223,727
53,281,956
Transfers out
(24,953,767)
(50,926,922)
(47,245,283)
(57,431,956)
Proceeds from sale
-
-
-
-
Certificates of participation issued
-
-
-
-
Premium on certificates of participation issued
-
-
-
-
Proceeds from loan issuance
1,339,000
Payment to refunded loan escrow agent
(1,339,000)
Total other financing sources (uses)
(313,449)
(3,051,815)
(6,021,556)
(4,150,000)
Net change in fund balances
$ (48,375,258)
$ (43,807,841)
$ (2,505,089)
$ 9,652,260
Debt service as a percentage of
noncapital expenditures

8.3%

15.8%

6.9%

6.6%
7-229

CITY OF NEWPORT BEACH
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
2016
2017
2018
2019
2020
2021
$ 158,386,385
$ 162,184,218
$ 171,982,240
$ 183,455,182
$ 182,983,069
$ 188,351,057
17, 262,147
17, 073, 653
16,148, 754
15, 818, 543
12, 672, 931
22, 233, 872
6,571,123
9,844,908
6,405,668
6,302,603
5,783,862
6,566,555
18,827,991
19,197,065
19,828,786
19,472,866
21,125,622
18,434,439
3,684,602
3,590,700
3,181,823
3,347,714
3,509,883
3,923,726
1,157,539
772,546
1,143,210
3,490,992
3,765,753
3,201,376
769,460
-
-
2,938,136
3,477,299
(2,634,682)
22,259,425
23,553,188
25,430,217
26,674,107
25,651,360
28,842,374
4,190,822
16,827,889
414,123
402,709
795,561
5,491,871
236,092,418 255,321,489 247,428,591 267,076,568 265,715,619 277,914,691 14, 629, 672 15, 086, 397 16, 099, 310 16, 769, 920 15, 968, 085 17,154, 507 96,225,784 98,750,981 109,760,129 116,054,531 118,290,847 126,006,313 36,000,905 35,961,024 38,012,230 44,132,877 45,730,965 46,817,293 10,913,205 11,696,779 12,979,656 12,310,621 12,612,751 12,996,840 21,784,680 23,607,284 25,538,966 26,372,495 24,474,242 26,745,189 31,934,463 30,822,972 24,054,866 26,347,312 20,376,106 33,728,085 4,272,000 4,401,000 3,335,000 3,470,000 3,576,000 3,247,000 7,839,341 7,704,957 7,617,107 7,428,469 7,265,703 7,306,143 223,600,050 228,031,394 237,397,264 252,886,225 248,294,699 274,001,370 12,492,368 27,290,095 10,031,327 14,190,343 17,420,920 3,913,321 48,523,132 45,342,446 45,308,862 54,664,532 40,373,981 70,379,824 (54,185,192) (49,390,226) (45,850,962) (59,548,532) (40,763,981) (65,965,012) 995,802 -
- 7,860,000
1,373,936
(5,662,060) (3,051,978) (542,100) (4,884,000) (390,000) 13,648,748 $ 6,830,308 $ 24,238,117 $ 9,489,227 $ 9,306,343 $ 17,030,920 $ 17,562,069

7.2% 6.0% 5.3% 4.8% 4.8% 4.2%
7-230

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7-231

REVENUE CAPACITY
This section of the City of Newport Beach's Annual Comprehensive Financial Report (ACFR) 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. The statistical information presented herein is un -audited.

The following schedules present factors affecting the City's ability to generate its own revenue and its most significant local revenue source, the property tax:
• Assessed Value and Estimated Actual Value of Taxable Property • Direct and Overlapping Property Tax Rates
• Principal Property Tax Payers
• Property Tax Levies and Collections
Sources: Unless otherwise noted, the information in these schedules is derived from the Annual Comprehensive Financial Reports and underlying accounting records for the relevant years. 7-232

CITY OF NEWPORT BEACH
Assessed Value and Estimated Actual Value of Taxable Property Last Ten Fiscal Years
NOTE
In 1978, the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1% based upon the assessed value of the property being taxed. Each year, the assessed value of property may be increased by an "inflation factor' (limited to a maximum increase of 2%). With few exceptions, property is only re -assessed as a result of new construction activity or at the time it is sold to a new owner. At that point, the property is reassessed based upon the added value of the construction or at the purchase price or economic value of the property sold. The assessed valuation data shown above represents the only data currently available with respect to the actual market value of taxable property and is subject to the limitations described above.

Source: HdL, Coren & Cone
7-233
Secured
Fiscal Year
Ended June
Total Taxable
Total Direct
30 Residential
Commercial
Other
Unsecured
Assessed Value
Change
Tax Rate
2012
31,603,505,416
4,504,291,343
1,442,600,505
1,565,104,496
39,115,501,760

0.94%

1.000%
2013
32,522,843,119
4,627,463,458
1,435,546,888
1,597,277,039
40,183,130,504

2.73%

1.000%
2014
34,678,952,381
4,688,189,694
1,489,111,147
1,484,909,241
42,341,162,463

5.37%

1.000%
2015
36,814,891,583
5,007,508,388
1,348,136,131
1,581,520,801
44,752,056,903

5.69%

1.000%
2016
39,263,791,190
5,264,898,550
1,394,764,145
1,465,016,213
47,388,470,098

5.89%

1.000%
2017
41,834,060,284
5,539,551,197
1,398,481,252
1,569,593,832
50,341,686,565

6.23%

1.000%
2018
44,862,969,434
5,953,148,011
1,499,414,812
1,464,683,763
53,780,216,020

6.83%

1.000%
2019
48,246,937,786
6,466,645,074
1,474,416,367
1,513,162,553
57,701,161,781

7.29%

1.000%
2020
50,791,887,238
6,807,750,346
1,552,189,492
1,592,979,478
60,744,806,554

5.27%

1.000%
2021
53,636,707,086
6,979,031,018
1,428,005,141
1,645,923,436
63,689,666,681

4.85%

1.000%
NOTE
In 1978, the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1% based upon the assessed value of the property being taxed. Each year, the assessed value of property may be increased by an "inflation factor' (limited to a maximum increase of 2%). With few exceptions, property is only re -assessed as a result of new construction activity or at the time it is sold to a new owner. At that point, the property is reassessed based upon the added value of the construction or at the purchase price or economic value of the property sold. The assessed valuation data shown above represents the only data currently available with respect to the actual market value of taxable property and is subject to the limitations described above.

Source: HdL, Coren & Cone
7-233

CITY OF NEWPORT BEACH
Direct and Overlapping Property Tax Rates
(Rate per $100 of assessed value)
Last Ten Fiscal Years
Fiscal Year
for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of other debt obligations.

Source: HdL, Coren & Cone
7-234
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
City Direct Rates:

City basic rate
$ 1.000
$ 1.000
$ 1.000
$ 1.000
$ 1.000
$ 1.000
$ 1.000
$ 1.000
$ 1.000
$ 1.000
Total City Direct Rate

1.000

1.000

1.000

1.000

1.000

1.000

1.000

1.000

1.000

1.000
Overlapping Rates:

Water districts

0.081

0.081

0.081

0.047

0.047

0.047

0.047

0.047

0.032

0.047
School districts

0.155

0.165

0.170

0.182

0.183

0.173

0.176

0.161

0.173

0.186
Total Overlapping Rate

0.236

0.246

0.251

0.229

0.230

0.220

0.223

0.208

0.205

0.233
Total Direct & Overlapping Rate
$ 1.236
$ 1.246
$ 1.251
$ 1.229
$ 1.230
$ 1.220
$ 1.223
$ 1.208
$ 1.205
$ 1.233
NOTE:

In 1978, California voters passed Proposition 13 which sets the property
tax rate at a 1.00% fixed amount.

This 1.00%
is shared
by all taxing
agencies
for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of other debt obligations.

Source: HdL, Coren & Cone
7-234

CITY OF NEWPORT BEACH
Principal Property Taxpayers
Current Year and Nine Years Ago
Source: HdL, Coren & Cone
7-235
2021
2012
Percent of Total
Percent of Total
Taxable Assessed
City Taxable
Taxable Assessed
City Taxable
Taxpayer
Value
Rank
Assessed Value
Value
Rank
Assessed Value
The Irvine Company
$ 1,183,524,147
1 1.86%
$ 1,869,769,413
1 4.78%
PH Finance LLC
307,523,372
2 0.48%
N/A
-

0.00%
Villas at Fashion Island
273,018,084
3 0.43%
N/A

0.00%
HG Newport Owner LLC
183,630,600
4 0.29%
N/A

0.00%
520 Newport Center Drive LLC
181,250,908
5 0.28%
N/A

0.00%
Newport Bluffs LLC
164,352,920
6 0.26%
138,854,048
2 0.36%
650 Newport Center Drive LLC
164,191,333
7 0.26%
N/A
-

0.00%
Balboa Bay Club Ventures LLC
150,719,813
8 0.24%
103,052,382
7 0.26%
WJ Newport LLC
144,514,518
9 0.23%
N/A
-

0.00%
UDR Newport Beach North LP
140,860,998
10 0.22%
118,405,791
3 0.30%
$ 2,893,586,693

4.55%
$ 2,230,081,634

5.70%
Source: HdL, Coren & Cone
7-235

CITY OF NEWPORT BEACH
Property Tax Levies and Collections
Last Ten Fiscal Years
Net collections reflect deductions for refunds and impoundments. 2 Exclusive of penalty charges.
3 The total amount of Fiscal Year 2021 delinquent taxes collected in subsequent years was not available as of the date the information was collected for the City's Annual Comprehensive Financial Report.

Source: Orange County Auditor Controller's Office
7-236
Collected within the Fiscal
Year of Levy
Total Collections
to Date
Fiscal Year
Collections in
Ended June
Taxes Levied for
Percent of
Subsequent
Percent
of
30 the Fiscal Year
Amount'
Levy
Years 2
Amount
Levy
2012
71,157,295
69,435,794

97.58%
985,344
70,421,138

98.97%
2013
74,165,333
72,532,734

97.80%
736,983
73,269,717

98.79%
2014
79,195,727
77,758,504

98.19%
650,273
78,408,777

99.01%
2015
83,843,488
82,191,604

98.03%
642,292
82,833,896

98.80%
2016
84,166,940
81,762,526

97.14%
612,863
82,375,389

97.87%
2017
86,264,321
84,019,053

97.40%
574,124
84,593,177

98.06%
2018
92,139,181
90,279,099

97.98%
581,969
90,861,068

98.61%
2019
98,471,700
96,356,203

97.85%
646,203
97,002,406

98.51%
2020
102,636,451
100,701,002

98.11%
371,100
101,072,102

98.48%
2021
107,647,017
105,781,072

98.27%
- 3
105,781,072

98.27%
Net collections reflect deductions for refunds and impoundments. 2 Exclusive of penalty charges.
3 The total amount of Fiscal Year 2021 delinquent taxes collected in subsequent years was not available as of the date the information was collected for the City's Annual Comprehensive Financial Report.

Source: Orange County Auditor Controller's Office
7-236

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7-237

DEBT CAPACITY
This section of the City of Newport Beach's Annual Comprehensive Financial Report (ACFR) 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. The statistical information presented herein is un -audited.

The following schedules exhibit the City's levels of outstanding debt over time, to help readers assess the affordability of the current level of outstanding debt, and the City's ability to issue additional debt:
• Ratios of Outstanding Debt by Type
• Ratios of General Bonded Debt Outstanding
• Direct and Overlapping Debt
• Legal Debt Margin Information
Sources: Unless otherwise noted, the information in these schedules is derived from the Annual Comprehensive Financial Reports and underlying accounting records for the relevant years. 7-238

CITY OF NEWPORT BEACH
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
Governmental Activities
Fiscal
Year
Ended
June 30
Certificates of
Participation 1 Note Payable
Pre -
Annexation
Agreement
CDBG Loan Capital Leases
2012
125,884,424 -
6,000,000
1,686,000 -
2013
123,073,871 -
4,800,000
1,578,000 -
2014
120,178,318 -
3,600,000
1,462,000 -
2015
117,197,765 -
2,400,000
1,339,000 -
2016
114,137,212 -
1,200,000
1,207,000 -
2017
110,956,659 -
-
1,066,000 -
2018
107,651,106 -
-
916,000 -
2019
104,220,553 -
-
756,000 -
2020
100,695,000 -
-
585,000 -
2021
106,781,026 -
-
403,000 -
Purchase
Agreement
Payable
Note: This schedule excludes claims and judgments, employee compensated absence, OPEB and Early Retirement Incentive Plan Liabilities. Details regarding the City's outstanding debt can be found in the notes to the financial statements.

Amounts include any applicable bond premium.
2 These ratios are calculated using personal income and population for the prior calendar year. 7-239

CITY OF NEWPORT BEACH
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
Business -type Activities
Total
Percentage of
Governmental Water Revenue Total Business-
Total Primary
Personal
Debt Per
Activities Bonds type Activities
Government
Income 2
Capita 2
133,570,424 - -
133,570,424

2.30%
1,553
129,451,871 - -
129,451,871

1.85%
1,498
125,240,318 - -
125,240,318

1.81%
1,442
120,936,765 - -
120,936,765

1.77%
1,386
116,544,212 - -
116,544,212

1.77%
1,383
112,022,659 - -
112,022,659

1.66%
1,319
108,567,106 - -
108,567,106

1.48%
1,245
104,976,553 - -
104,976,553

1.36%
1,204
101,280,000 - -
101,280,000

1.24%
1,181
107,184,026 - -
107,184,026

1.31%
1,248
7-240

Fiscal Year
Ended June 30
Certificates of
Participation'
2012
125,884,424
2013
123,073,871
2014
120,178,318
2015
117,197,765
2016
114,137,212
2017
110,956,659
2018
107, 651,106
2019
104,220,553
2020
100,695,000
2021
106,781,026

CITY OF NEWPORT BEACH
Ratios of General Bonded Debt
Last Ten Fiscal Years
Amounts
Percent of
General
restricted for
Assessed
Bonded Debt
debt service
Total
Value
Per Capita
(2,532,561)
123,351,863

0.32%
1,434
(1,157,250)
121,916,621

0.30%
1,410
(2,352,746)
117,825,572

0.28%
1,356
(2,350,210)
114,847,555

0.26%
1,316
(2,362,904)
111,774,308

0.24%
1,326
(2,364,034)
108,592,625

0.22%
1,279
(2,384,338)
105,266,768

0.20%
1,207
(2,362,228)
101,858,325

0.18%
1,168
(1,159,389)
99,535,611

0.16%
1,160
(2,255,795)
104,525,231

0.16%
1,217
' Amounts include any applicable bond premium.
2 Assessed value was used because the actual value of taxable property is not readily available in the State of California.
7-241

CITY OF NEWPORT BEACH
Direct and Overlapping Debt
June 30, 2021
City Net Assessed Valuation:

OVERLAPPING DEBT:

Metropolitan Water District
Coast Community College District
Rancho Santiago Community College District
Rancho Santiago Community College District School Facilities Improvement District No. 1 Laguna Beach Unified School District
Laguna Beach Unified School District Community Facilities District No. 98-1 Newport Mesa Unified School District
Newport Mesa Unified School District Community Facilities District No. 90-1 Santa Ana Unified School District
Irvine Ranch Water District Improvement Districts
Bonita Canyon Public Facilities Financing Authority Community Facilities District No. 98-1 California Statewide Communities Development Authority Community Facilities District No. 2018-3
City of Newport Beach 1915 Act Bonds
Orange County Newport Coast Assessment District No. 01-1 Orange County Newport Coast Reassessment District No. 17-1 R Orange County General Fund Obligations
Orange County Pension Obligation Bonds
Orange County Board of Education General Fund Obligations Coast Community College District General Fund Obligations Coast Community College District Pension Obligation Bonds Santa Ana Unified School District General Fund Obligations Overlapping Tax Increment Debt (Successor Agencies):

TOTAL OVERLAPPING DEBT
DIRECT DEBT:

City of Newport Beach Certificates of Participation
Community Development Block Grant Loan

TOTAL DIRECT DEBT

TOTAL DIRECT AND OVERLAPPING DEBT
GROSS COMBINED TOTAL DEBT 1'1
$ 63,689,666,681
Percentage
Outstanding Debt
Estimated Share of
Applicable (1)
6/30/21
Overlapping Debt

1.951%
$
26,830,000
$ 523,453

34.407%
886,289,825
304,945,740

2.900%
215,876,119
6,260,407

5.447%
159,970,000
8,713,566

15.038%
15,920,000
2,394,050
100.000%
7,460,000
7,460,000

73.245%
240,675,638
176,282,871
100.000%
1,240,000
1,240,000

6.716%
351,580,064
23,612,117

2.875%-
435,837,400
50,459,189
100.000%
100.000%
21,165,000
21,165,000
100.000%
8,300,000
8,300,000
100.000%
9,764,521
9,764,521
100.000%
3,826,000
3,826,000
100.000%
23,545,000
23,545,000

9.716%
381,885,000
37,103,947

9.716%
485,318,204
47,153,517

9.716%
12,310,000
1,196,040

34.407%
2,240,000
770,717

34.407%
2,280,000
784,480

6.716%
58,729,304
3,944,260

3.718%-
8,850,000
4,592,190

71.387%
$
3,359,892,075
$ 744,037,065
100.000%
$
106,781,026
$ 106,781,026
100.000%
403,000
403,000
$
107,184,026
$ 107,184,026
$ 851,221,091
851,221,091
I
The percentage of overlapping debt applicable to the city is estimated using taxable assessed property value. Applicable percentages were estimated by determining the portion of the overlapping district's assessed value that is within the boundaries of the city divided by the district's total taxable assessed value. 2 Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and tax allocation bonds and non -bonded capital lease obligations.

Ratios to 2020-21 Net Assessed Valuation:

Total Overlapping Debt 1.17%
Total Direct Debt ($107,184,026) 0.17%
Gross Combined Total Debt 1.34%
Ratios to Redevelopment Incremental Valuation ($1,409,620,816) Total Overlapping Tax Increment Debt 0.33%
Source: California Municipal Statistics, Inc.
7-242

CITY OF NEWPORT BEACH
Legal Debt Margin Information
Last Ten Fiscal Years
NOTE:

The State of California Government Code Section 43605 provides for a legal debt limit of 15% of gross assessed valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value.

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

Source: City Finance Department
7-243
Fiscal Year
2012
2013
2014
2015
Assessed valuation
$ 39,115,501,760
$ 40,183,130,504
$ 42,341,162,463
$ 44,752,056,903
Conversion percentage
25%
25%
25%
25%
Adjusted assessed valuation
9,778,875,440
10,045,782,626
10,585,290,616
11,188,014,226
Debt limit percentage
15%
15%
15%
15%
Debt limit
1,466,831,316
1,506,867,394
1,587,793,592
1,678,202,134
Total net debt applicable to limit:

General obligation bonds
Legal debt margin
$ 1,466,831,316
$ 1,506,867,394
$ 1,587,793,592
$ 1,678,202,134
Total debt applicable to the limit
as a percentage of debt limit

0.0%

0.0%

0.0%

0.0%
NOTE:

The State of California Government Code Section 43605 provides for a legal debt limit of 15% of gross assessed valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value.

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

Source: City Finance Department
7-243

CITY OF NEWPORT BEACH
Legal Debt Margin Information
Last Ten Fiscal Years
Fiscal Year
2016 2017 2018 2019 2020 2021
, - w ., ., ..., w w ., , .. , W w ., - w , - w
25% 25% 25% 25% 25% 25%
11,847,117,525 12, 585,421, 641 13,445, 054,005 14,425,290,445 15,186, 201,639 15, 922,416, 670 15% 15% 15% 15% 15% 15%
1,777,067,629 1,887,813,246 2,016,758,101 2,163,793,567 2,277,930,246 2,388,362,501 $ 1,777,067,629 $ 1,887,813,246 $ 2,016,758,101 $ 2,163,793,567 $ 2,277,930,246 $ 2,388,362,501

0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
7-244

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7-245

DEMOGRAPHIC AND ECONOMIC INFORMATION
This section of the City of Newport Beach's Annual Comprehensive Financial Report (ACFR) 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. The statistical information presented herein is un -audited.

The following schedules depict demographic and economic indicators to assist the reader in understanding the socio-economic, environment in which the City's financial activities take place:

Demographic and Economic Statistics
Principal Employers
Sources: Unless otherwise noted, the information in these schedules is derived from the Annual Comprehensive Financial Reports and underlying accounting records for the relevant years. 7-246

CITY OF NEWPORT BEACH
Demographic and Economic Statistics
Last Ten Fiscal Years
Population estimates are as of January 1 of the year shown and do not reflect revised estimates made available after the date the information was collected for the City's Annual Comprehensive Financial Report.
2 Unemployment rate represents an average of all monthly unemployment rates within a fiscal year.

Sources:
(1) California State Department of Finance, E-4 Population Estimates for Cities, Counties and State 2008-2010; and, E-1 Population Estimates for Cities, Counties and State January 1, 2015 - 2021.
(2) U.S. Census Bureau - American Community Survey 1 -Year Estimates (3) State of California, Employment Development Department (4) HdL, Coren & Cone
7-247
Personal Income
Per Capita
Unemployment
Fiscal Year
Population
(in thousands)
Income (2)
Rate 2(3)
2012
85,990
5,809,828
67,564

5.1%
2013
86,436
6,995,784
80,936

4.2%
2014
86,874
6,926,725
79,733

3.6%
2015
87,249
6,848,523
78,494

4.0%
2016
84,270
6,574,071
78,012

3.4%
2017
84,915
6,736,392
79,331

3.1%
2018
87,182
7,334,970
84,134

2.9%
2019
87,180
7,704,445
88,374

2.6%
2020
85,780
8,183,755
95,404

4.6%
2021
85,865
8,175,464
95,213 (4)

6.0%
Population estimates are as of January 1 of the year shown and do not reflect revised estimates made available after the date the information was collected for the City's Annual Comprehensive Financial Report.
2 Unemployment rate represents an average of all monthly unemployment rates within a fiscal year.

Sources:
(1) California State Department of Finance, E-4 Population Estimates for Cities, Counties and State 2008-2010; and, E-1 Population Estimates for Cities, Counties and State January 1, 2015 - 2021.
(2) U.S. Census Bureau - American Community Survey 1 -Year Estimates (3) State of California, Employment Development Department (4) HdL, Coren & Cone
7-247

CITY OF NEWPORT BEACH
Principal Employers'
Current Year and 9 years ago
' Figures reflect number of employees of employer at the time the information was collected. 2 Company listed was unable to provide employee data for 2012.

Source: Data obtained from companies listed and compiled by City Finance Department. 7-248
2021
2012
Number of
Percent of Total
Number of
Percent of Total
Employer
Employees
Rank
Employment
Employees
Rank
Employment
Hoag Memorial Hospital
5,292
1 6.43%
3,987
1 4.89%
PIMCO Advisors
1,258
2 1.53%
1,103
2 1.35%
Pacific Life Insurance
1,250
3 1.52%
1,013
4 1.24%
Glidewell Dental
1,008
4 1.23%
1,100
3 1.35%
Irvine Management Company
895
5 1.09%
N/A
2 -
N/A
Tower Semiconductor
868
6 1.05%
690
8 0.85%
Resort at Pelican Hill
798
7 0.97%
750
7 0.92%
Newport -Mesa Unified School District
780
8 0.95%
791
5 0.97%
City of Newport Beach
728
9 0.88%
763
6 0.93%
Fletcher Jones Motor Cars Inc.
465
10 0.57%
458
11 0.56%
Balboa Bay Club and Resort
427
11 0.52%
463
10 0.57%
Marriott Newport Coast Villas
371
12 0.45%
N/A
2 -
N/A
' Figures reflect number of employees of employer at the time the information was collected. 2 Company listed was unable to provide employee data for 2012.

Source: Data obtained from companies listed and compiled by City Finance Department. 7-248

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7-249

OPERATING INFORMATION
This section of the City of Newport Beach's Annual Comprehensive Financial Report (ACFR) 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. The statistical information presented herein is un -audited.

The following schedules present information on the City's operations and resources including service and infrastructure data to facilitate the readers' understanding of how financial statement information relates to the services the City provides and the activities it performs:
• Full Time City Employees by Functions
• Operating Indicators by Function
• Capital Asset Statistics by Function
• Water Sold by Customer Type
• Utility Rates
• Major Water Customers
Sources: Unless otherwise noted, the information in these schedules is derived from the Annual Comprehensive Financial Reports and underlying accounting records for the relevant years. 7-250

This page left blank intentionally.
7-251

Function
General government
Public safety
Community development
Public works
Community services
Water
Wastewater

CITY OF NEWPORT BEACH
Full-time City Employees by Function
Last Ten Fiscal Years
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
95 94
79 78
77 77
79 80
78 80
359
357
366
370
374
371
372
375
375
376
58 56
53 52
52 52
53 53
53 52
130
128
119
109
104
99 98
96 99
98 68
70 74
75 79
81 79
78 78
78 38
32 32
31 32
31 33
33 33
33 15
15 13
13 12
13 11
11 11
11 Total 763 752 736 728 730 724 725 726 727 728
Source: City Finance Department
7-252

CITY OF NEWPORT BEACH
Operating Indicators by Function
Last Ten Fiscal Years
Police:

Adult Arrests
Parking Citations Issued
Fire:

Fire Responses
Fire Inspections
General Services:

Street Patching (tons of mix)
Sidewalk Repair (square feet)
Recreation & Senior Services:

Co -Sponsored Youth Organization Attendance
Senior Transportation Services
Water:

New Connections
Average Daily Consumption (hundred cubic feet)
Sewer:

New Connections
Miles of Pipe Cleaned
Library Services:

Library Circulation of Materials
Fiscal Year
2012
2013
2014
2015
2,982
3,161
2,794
3,472
55,418
58,823
51,609
59,753
201
342
356
305
4,315
4,338
3,352
1,281
2,246
1,708
2,408
2,711
34,000
37,607
37,607
27,175
257,322
293,938
294,000
303,152
15,264
13,112
13,956
13,740
35 54
72 187

15.15 14.02

15.96 16.39
15 14
22 20
248
215
245
260
1,582,953 1,582,914 1,689,870 1,610,818
Data varies with trend due to inclusion of responses to fires, hazardous materials, medical and other emergencies. 2 Data varies with trend due to COVID-19 restrictions in 2021.

Source: City of Newport Beach
7-253

CITY OF NEWPORT BEACH
Operating Indicators by Function
Last Ten Fiscal Years
Fiscal Year
2016
2017
2018
2019
2020
2021
3,158
3,178
3,266
3,520
3,093
2,872
64,762
69,246
56,685
67,048
73,372
86,439
300
247
248
209
11,913 '
12,204
1,201
1,216
1,307
1,033
2,842
475 2
1,890
1,439
1,403
1,402
913
920
27,000
20,490
22,925
14,840
11,729
7,805
305,000
425,000
437,751
469,959
439,954
455,442
14,000
13,500
13,071
13,386
9,300
6,287
194
229
210
210
256
160

11.66 13.80

14.07 13.75

13.44 14.87
17 41
137
46 10
25 250
202
211
196
221
240
1,575,000
1,464,640
1,424,594
1,376,041
1,084,206
1,043,629
7-254

CITY OF NEWPORT BEACH
Capital Asset Statistics by Function
Last Ten Fiscal Years
Source: City of Newport Beach
7-255
Fiscal Year
2012
2013
2014
2015
Police:

Stations
1 1
1 1
Fire:

Fire Stations
8 8
8 8
Lifeguard Headquarters
1 1
1 1
Public works:

Streets (miles)
395
395
395
395
Streetlights
5,977
5,977
5,977
5,977
Traffic Signals
808
808
808
808
Recreation & Senior Services:

Parks
63 64
64 64
Community Centers (includes leased property)
14 14
14 14
Aquatic Center
1 1
1 1
Water:

Water Mains (miles)
303.25
303.25
298.37
299.58
Maximum Daily Capacity (thousands of gallons)
27,508
26,916
27,704
27,800
Wastewater:

Sanitary Sewers (miles)
202.40
202.40
202.62
202.64
Storm Sewers (miles)

95.40 95.40

70.62 94.14
Library Services:

Libraries
4 4
4 4
Source: City of Newport Beach
7-255

CITY OF NEWPORT BEACH
Capital Asset Statistics by Function
Last Ten Fiscal Years
Fiscal Year
2016 2017 2018 2019 2020 2021
1 1
1 1
1 1
8 8
8 8
8 8
1 1
1 1
1 1
399
400
400
400
400
400
5,978
5,978
5,978
5,971
5,972
5,973
808
808
808
808
808
808
64 64
64 65
65 65
15 15
15 15
15 15
1 1
1 1
1 1
299.77
300.64
300.30
300.88
300.82
301.23
27,800
27,800
27,800
27,800
27,800
27,800
202.75
202.72
203.56
203.99
204.10
204.13

92.08 94.74

95.12 95.35

95.89 96.18
4 4
4 4
4 4
7-256

CITY OF NEWPORT BEACH
Water Sold by Type of Customer
Last Ten Fiscal Years
(in hundred cubic feet)
Reflects increase in commodity rate effective January 1, 2020 2 Reflects increase in commodity rate effective January 1, 2021 Source: City Utilities Department
7-257
Fiscal Year
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
Type of Customer:

Residential
4,001,344
3,890,973
3,902,007
3,853,566
3,072,589
3,564,203
3,603,927
3,439,655
3,747,408
3,811,231
Commercial
2,369,492
2,389,822
2,525,169
2,560,620
1,847,372
2,142,952
2,201,254
2,075,812
2,081,860
2,231,809
Government
374,091
394,787
455,251
396,605
263,116
305,214
289,738
256,398
270,638
299,442
Total
6,744,927
6,675,582
6,882,427
8,791
6, 10
5,183,077
6,012,369
6,094,919
5,771,865
6,099,906
6,342,482
Total direct rate
per 100 cubic ft.
$ 2.73
$ 2.96
$ 3.08
$ 3.08
$ 3.08
$ 3.08
$ 3.08
$ 3.08
$ 3.11 1 $

3.35 2
Reflects increase in commodity rate effective January 1, 2020 2 Reflects increase in commodity rate effective January 1, 2021 Source: City Utilities Department
7-257

CITY OF NEWPORT BEACH
Utility Rates'
Last Ten Fiscal Years
Fiscal Year
Ended June
Monthly
Rate per
30 Base Rate
100 cubic ft
2012

19.61 3.08
2013

21.13 3.31
2014

21.77 3.43
2015

21.77 3.43
2016

21.77 3.43
2017

21.77 3.43
2018

23.73 3.46
2019

24.34 3.50
2020

28.09 3.57
2021

30.25 3.85
Rates are based on 5/8" or 3/4" meter,
which are the standard household meter
sizes. Rates include sewer service. The
City charges an excess -use rate above
normal demand.

Source: City Revenue Division
7-258

Water Customer
Irvine Company Apartment
Irvine Company Office
Big Canyon Country Club
Newport Beach Country Club
Bluffs Homeowners Association
Hoag Memorial Hospital
UDR Newport Beach
Park Newport Ltd
Newport -Mesa Unified School District
Pacific View - Pierce Bros.

Irvine Company Retail
Newport Dunes Resort
Jasmine Creek Community Association
Villa Balboa Community Association
One Ford Road Community Association
Source: City Revenue Division

CITY OF NEWPORT BEACH
Major Water Customers
Current Year and Nine Years Ago
7-259
2021
2012
Percent of Total
Percent of Total
Water Charges
Rank
Water Revenues
Water Charges
Rank
Water Revenues
$ 676,580
1 2.20%
$ 161,752
2 0.68%
623,020
2 2.02%
150,563
4 0.63%
366,871
3 1.19%
155,940
3 0.65%
358,526
4 1.16%
122,674
5 0.51%
344,392
5 1.12%
74,528
9 0.31%
342,220
6 1.11%
174,311
1 0.73%
259,914
7 0.84%
85,736
6 0.36%
246,218
8 0.80%
82,656
7 0.35%
231,845
9 0.75%
75,353
8 0.31%
216,726
10 0.70%
54,657
10 0.23%
211,309
11 0.69%
51,008
11 0.21%
156,282
12 0.51%
38,096
13 0.16%
135,509
13 0.44%
30,619
20 0.13%
125,475
14 0.41%
30,956
18 0.13%
122,102
15 0.40%
24,030
26 0.10%
$ 4,416,989

14.34%
$ 1,312,879

5.49%
7-259

7-260

y
7 �1
City of Newport Beach
100 Civic Center Drive
Newport Beach, CA 92660
(949) 644-3123
www.newportbeachca.gov/acfr
7-261

ATTACHMENT B
Auditor's Required Communications with the Audit Committee 7-262

*I DavisFarr

CERTIFIED PUBLIC ACCOUNTANTS
Davis Farr LLP
18201 Von Karmen Avenue I Suite 1100 1 Irvine, CA 92612 Main: 949.474.2020 1 Fax: 949.263.5520

REQUIRED AUDIT COMMUNICATIONS
The Honorable Mayor and
Members of the City Council
City of Newport Beach
Newport Beach, California
We have audited the financial statements of the governmental activities, the business -type activities, each major fund, and the aggregate remaining fund information of the City of Newport Beach (City) for the year ended June 30, 2021. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards Government Auditing Standards and the Uniform Guidance, as well as certain information related to the planned scope and timing of our audit. We have communicated such information during the Finance Committee meeting of May 27, 2021. Professional standards also require that we communicate to you the following information related to our audit.

Significant Audit Findings
Qualitative Aspects of Accounting Practices
Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 to the financial statements. During the year, the City implemented Governmental Accounting Standards Board (GASB) Statement No. 84 related to the Fiduciary Funds. The cumulative effect of the implementation of GASB Statement No. 84 as of the beginning of the year is described further in Notes 1 and 18 to the financial statements. The City also implemented GASB Statement No. 98 to replace the term and acronym for Comprehensive Annual Financial Report with Annual Comprehensive Financial Report (ACFR). We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.

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

The most sensitive estimates affecting the City's financial statements were:
• Judgments involving the calculation of the pension liability. • Judgments involving the calculation of the other post -employment benefit (OPEB) liability.
• Judgments involving estimates of the claims payable liabilities related to general liability and workers' compensation claims.
7-263

The Honorable Mayor and
Members of the City Council
City of Newport Beach
Newport Beach, California
Management's estimate of the pension liability, OPEB liability and claims payable liabilities are based on actuarial valuation reports. We evaluated the key factors and assumptions used to develop the pension liability, OPEB liability and claims payable liabilities in determining that it is reasonable in relation to the financial statements taken as a whole.

Certain financial statement disclosures are particularly sensitive because of their significance to financial statement users. The most sensitive disclosures affecting the financial statements were:
• Disclosures of the net pension liability and related amounts • Disclosures of the net OPEB liability and related amounts The financial statement disclosures are neutral, consistent, and clear.

Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.

Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are clearly trivial, and communicate them to the appropriate level of management. Management has corrected all such misstatements. In addition, none of the misstatements detected as a result of audit procedures and corrected by management were material, either individually or in the aggregate, to each opinion unit's financial statements taken as a whole.

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

Management Representations
We have requested certain representations from management that are included in the management representation letter dated December 23, 2021.

Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a "second opinion" on certain situations. If a consultation involves application of an accounting principle to the City's financial statements or a determination of the type of auditor's opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants.
2 7-264

The Honorable Mayor and
Members of the City Council
City of Newport Beach
Newport Beach, California
Other Audit Findings or Issues
We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the City's auditors.

However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.

Other Matters
We applied certain limited procedures to management's discussion and analysis, budgetary comparison information for the General Fund and each major special revenue fund, Schedule of Changes in the Net Pension Liability and Related Ratios - Miscellaneous Plan, Schedule of Contributions - Miscellaneous Plan, Schedule of Changes in the Net Pension Liability and Related Ratios - Safety Plan, Schedule of Contributions - Safety Plan, Schedule of Changes in the Net OPEB Liability and Related Ratios, Schedule of Contributions - OPEB, which are required supplementary information (RSI) that supplements the basic financial statements.

Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.

We were engaged to report on combining and individual nonmajor fund financial statements, which accompany the financial statements but are not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves.

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

Restriction on Use
This information is intended solely for the information and use of City Council and management of the City and is not intended to be, and should not be, used by anyone other than these specified parties.
y., w. �t,,,,,,, 1, ��
Irvine, California
December 23, 2021
3 7-265

ATTACHMENT C
Auditor's Report on Internal Control Over Financial Reporting and on Compliance and Other Matters
7-266

*I DavisFarr

CERTIFIED PUBLIC ACCOUNTANTS
Davis Farr LLP
18201 Von Karmen Avenue I Suite 1100 1 Irvine, CA 92612 Main: 949.474.2020 1 Fax: 949.263.5520
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 The Honorable Mayor and
Members of the City Council
City of Newport Beach
Newport Beach, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business -type activities, each major fund, and the aggregate remaining fund information of the City of Newport Beach ("City"), as of and for the year ended June 30, 2021, and the related notes to the financial statements, which collectively comprise the City's basic financial statements, and have issued our report thereon dated December 23, 2021.

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

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

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified. 7-267

The Honorable Mayor and
Members of the City Council
City of Newport Beach
Newport Beach, California
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

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

Irvine, California
December 23, 2021
2 7-268