Finance Committee
February 14, 2022

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 78 Annual Comprehensive Financial Report | June 30, 2021 (9) Long-Term Debt and Other Liabilities (Continued)
Disclosure Related to
Long-Term Debt under GASB 88 (Continued)
The City waives any and all claims for damages caused or which may be caused by the Authority in re-entering and taking possession of the Lease Premises as provided in the Lease and all claims for damages that may result from the destruction of or injury to the Leased Premises and all claims for damages to or loss of any property belonging to the City, or any other person, that may be in or upon the Lease Premises.

Each and all of the remedies given to the Authority under the Lease or by any law enacted are cumulative and the exercise of one right or remedy will not impair the right of the Authority to any or all other remedies, provided, however, that the Lease Premises continue to be operated and maintained as public off-street vehicular parking facility, subject to the provisions of the Development Agreement. The term “re-let” or “re-letting” as used in the Lease include, but not be limited to re-letting by means of the operation of the Leased Premises by the Authority.

If any statute or rule of law validly limits the remedies given to the Authority under the Lease, the Authority nevertheless will be entitled to whatever remedies are allowable under any statute or rule of law.

In the event the Authority prevails in any action brought to enforce any of the terms and provisions of the Lease, the City agrees to pay a reasonable amount as and for at torney’s fees incurred by the Authority to enforce any of the remedies available to the Authority under the Lease, whether or not a lawsuit has been filed and whether or not any lawsuit culminates in a judgment.
(c) If (1) the City’s interest in the Lease or any part thereof be assigned or transferred without the written consent of the Authority, wither voluntarily or by operation of law or otherwise, or if (2) any proceeding under the United States Bankruptcy Code or any federal or state bankruptcy, insolvency or similar law or any law providing for the appointment of a receiver, liquidator, trustee or similar official of the City or all or substantially all of its assets is instituted by or with the consent of the City, or it instituted with its consent and is not permanently stayed or dismissed within sixty days, or it the City offers to the City’s’ creditors to effect a composition or extension of time to pay the City’s debts, or asks, seeks or prays for reorganization or to effect a plan of reorganization or for readjustment of the City’s debts, or if the City makes a general assignment or any assignment for the benefit of the City’s creditors, or if (3) the City will abandon or vacate any part of the Leased Premises, then the City will be deemed to be default under the Lease.

In regards to, the City’s outstanding bonds from public offerings related to business-type, activities (2010AB, 2011A and 2017A Water Revenue Bonds and 2010A, 2012A, 2013A, 2016A and 2019A Electric Revenue Bonds) are payable from and secured by revenue received by the Utilities (Water and Power Funds).

In relation to the Electric Revenue Bonds course of action in case of the City’s default, the following is the course of action:

Upon the concurrence and continuation of and Event of Default the Bond Owners’ Committee or, if there is none, the Owners of 25% in aggregate Bond Obligation of Bonds then Outstanding may, by written notice to the City, declare the entire unpaid principal of the Bonds due and payable and, thereupon the entire unpaid principal of the Bonds will forthwith become due and payable. Upon any such declaration the City will forthwith pay to the Owners of the Bonds the entire unpaid principal of, premium, pledged for such purpose. If at any time after such a declaration and before the entry of a final judgement or decree in any suit, action or proceeding instituted on account of such default or before the completion of the enforcement of any other remedy under the Fiscal Agent Agreement, the principal of all Bonds that have matured or been called for redemption pursuant to any sinking fund provision and all arrears of interest have been paid and any other Events of Default which may have occurred have been remedied, then the Bonds Owners’ Committee or, if there is none, the Owne rs of 25% in aggregate Bonds Obligation of Bond then Outstanding may, by written notice of the City, rescind of annual such declaration and its consequences. No such rescission or annulment will extend to or affect any subsequent default or impair any right consequent thereon.

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 79 (9) Long-Term Debt and Other Liabilities (Continued)

Disclosure Related to Long-Term Debt under GASB 88 (Continued)

In relation to the Water Revenue Bonds course of action in case of the City’s default, the following is the course of action:

Application of Pledged Revenues and Other Funds after Default; Acceleration. If an Event of Default shall occur and be continuing, the City shall immediately transfer to the Trustee all Pledged Revenues held by it and received thereafter and the Trustee shall apply all Pledged Revenues and any other funds then held or thereafter received by the Trustee under any of the provisions of the Indenture (e xcept as otherwise provided in the Indenture) as follows and in the following order:

(1) To the payment of any expenses necessary in the opinion of the Trustee to protect the interests of the Owners of the Bonds and Parity Debt, including the costs and expenses of the Trustee and the Bondholders in declaring such Event of Default, and payment of reasonable fees and expenses of the Trustee (including reasonable fees and disbursements of its counsel and other agents) incurred in and about the performance of its powers and duties under the Indenture;

(2) To the payment of the whole amount of Bond Obli gation then due on the Bonds and Parity Debt (upon presentation of the Bonds and Parity Debt to be paid, and stamping thereon of the payment if only partially paid, or surrender thereof if fully paid) subject to the provisions of the Indenture, with interest on such Bond Obligation at the rate or rates of interest borne by the respective Bonds and Parity Debt, to the payment to the persons entitled thereto of all installments of interest then due and the unpaid principal or Redemption Price of any Bonds and Parity Debt which shall have become due, whether at maturity or by call for redemption, in the order of their due dates, with interest on the overdue Bond Obligation and Parity Debt at the rate borne by the respective Bonds and Parity Debt, and, if the amount available shall not be sufficient to pay in full all the Bonds and Parity Debt due on any date, together with such interest, th en to the payment thereof ratably, according to the amounts of principal or interest or Accreted Value (plus accrued interest) due on such date to the persons entitled thereto, without any discrimination or preference; and

(3) To the extent not paid pursuant to clause (1) or (2) above, to any Credit Provider any amounts then due and owing.

In each and every such case during the continuance of such Event of Default, the Owners of not less than a majority in aggregate amount of Bond Obligation of the Bonds at the time Outstanding shall be entitled, upon notice in writing to the City, to declare the principal of all of the Bonds then Outstanding, and the interest accrued thereon, to be due and payable immediately, and upon any such declaration the same shall become and shall be immediately due and payable, anything in the Indenture or in the Bonds contained to the contrary notwithstanding.

This provision, however, is subject to the condition that if, at any time after the principal of the Bonds shall have been so declared due and payable, the City shall pay to or shall deposit with the Trustee a sum sufficient to pay all principal on such Bonds matured prior to such declaration and all matured installments of interest (if any) upon all the Bonds, and the reasonable fees and expenses of the Trustee, and any and all other defaults known to the Trustee (other than in the payment of principal of and interest on the Bonds du e and payable solely by reason of such declaration) shall have been made good or cured to the satisfaction of the Trustee, or provision deemed by the Trustee to be adequate shall have been made therefor, then, and in every such case, the Owners of not less than a majority in aggregate amount of Bond Obligation of the Bonds at the time Outsta nding, by written notice to the City and to the Trustee, may, on behalf of the Owners of all the Bonds, rescind and annul such declaration and its consequences; but no such rescission and annulment shall extend to or shall affect any subsequent default, or shall impair or exhaust any right or power consequent thereon.

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 80 Annual Comprehensive Financial Report | June 30, 2021 (9) Long-Term Debt and Other Liabilities (Continued)
Disclosure Related to
Long-Term Debt under GASB 88 (Continued)
With regards to the Discretely Presented Component Units as it relates to the Rose Bowl Lease Revenue Bonds series, 2010AB, 2016A, and 2018AB in case of default, the following is the course of action:
(a) Upon the happening of any of the events & default, then it shall be lawful for the Authority or its assignee, subject to the terms of the Lease, with the consent of the Majority Holder, to (i) exercise any and all remedies available or granted to it under the Sublease or pursuant to law, to the extent not inconsistent with the remedies granted under the Sublease or (ii) by mandamus or other suit, action or proceeding at law or in equity to enforce the Authority’s or its assignee’s rights against the City and to compel the City to perform and carry out its duties and obligations under the law and its covenants and agreements with the City as provided in the Sublease. Upon the breach of any agreement, condition, covenant or term contained in the Sublease required to be observed or performed by the City, the Authority or its assignee may not exercise any rights of entry upon or repossession of the Leased Property. In the event of such default, the Authority or its assignee must thereafter maintain the Sublease in full force and effect and may only recover rent and other monetary charges as they become due, all without terminating the City’s right to possession of the Leased Property, regardless of whether or not the City has abandoned the Leased Property; THIS SHALL BE THE SOLE AND EXCLUSIVE REMEDY AVAILABLE AGAINST THE CITY UNDER THE SUBLEASE OR OTHERWISE.

THE AUTHORITY SHALL HAVE NO RIGH T UPON AN EVENT OF DEFAULT UNDER THE SUBLEASE BY THE CITY TO ACCELERATE THE RENTAL PAYMENTS, TERMINATE THE SUBLEASE OR RE-ENTER THE LEASED PROPERTY. (10) Derivative Instruments
Discretely Presented Component Unit
s
Pasadena Center Operating Compa
ny (PCOC)
Conference Center Variable Rate Demand Refunding Certificates of Participation – SWAP No. 2 On September 18, 2006, the City entered in
to an interest rate swap agreement with DEPFA Bank related to the $135,500,000 Conference Center Auction Rate Certificates Series 2006B. The objective was to effectively change the City’s Variable interest rate to a synthetic fixed rate of 3.536%. Under the terms of the swap, the City pays the counterparty the fixed rate of 3.536% and receives a floating rate equal to 64% of the one month LIBOR rate. The swap has a notional amount of $133,000,000 representing a hedge ratio of 98.7% and declines according to the schedule set forth in the contract until the final principal payment on the certificates in 2034.

Objective and Terms of Hedging Derivative Instruments
The following table displays the objective and terms of PC OC’s hedging derivative instruments outsta nding at June
30, 2021, along with the credit rating of the associated counterparty:

Cash Flow Notational Effective Maturity Counterparty
Hedge Objective Amount Date Date Term Credit Rating
Pay-fixed interest
rate swaps
Hedge of changes
in cash flows on
the 2008A COP's
$ 133,000,000 4/1/2011 2/1/2034
Pays 3.536%;
receive 64% of
LIBOR index
A1/AA-

Note in 2011, due to its declining cr edit ratings, DEPFA was replaced by RBC as the counterparty for the swap.

Pursuant to GASB 64, the replacement did not require any change in accounting treatment.

On April 15, 2008, the City issued the 2008 Refunding Certif icates of Participation, Seri es 2008A in the amount of $134,720,000. These certificates were issu ed to refund the City’s Certificates of Participation (Conference Center Project), Series 2006B and finance the cost of execution of the 2008A Certificates of Participation backed by a letter of credit from Bank of America. The final maturity on the 2008A COP’s was extended by one year to 2035 in order

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 81 (10) Derivative Instruments (Continued)
to reduce the reserve requirement and consequently, reduce the size of the issue by approximately $800,000. The refunded certificates are considered to be defeased and the liability has been removed from the component unit’s column of the statement of net position and recorded as a deferred amount upon a refunding.

During the fiscal year ending June 30, 2011, PCOC entered into a new agreement to take advantage of a more advantageous interest rate adjustment mode than the 2008 Series Bonds previously had. As a result, the former derivative instrument terminated and the new instrument has off-market terms. As a result, an up-front payment was received. The up-front payment is reported as a borrowing. The borrowing is amortized over the life of the swap and amortizes using the effective interest method for the life of the swap with adjustments to interest expense during each fiscal year. The original balance of the borrowing was $8,935,613. As of the year ended June 30, 2021, the balance was $4,613,215.

Objective and Terms of Hedging Derivative Instruments (Continued) Beginning Accrued Ending
June 30 Balance Interest Payment Balance
2022 4,613,215$ 199,651$ (646,380)$ 4,166,486$ 2023 4,166,486 179,003 (646,380) 3,699,109
2024 3,699,109 157,461 (635,404) 3,221,166
2025 3,221,166 136,068 (601,344) 2,755,890
2026 2,755,890 115,332 (563,760) 2,307,462
2027 2,307,462 95,454 (522,409) 1,880,507
2028 1,880,507 76,649 (477,171) 1,479,985
2029 1,479,985 59,154 (427,721) 1,111,418
2030 1,111,418 43,226 (373,774) 780,870
2031 780,870 29,157 (315,009) 495,018
2032 495,018 17,258 (251,140) 261,136
2033 261,136 7,877 (181,805) 87,208
2034 87,208 1,487 (88,695) -
The Company categorizes its fair value measurements with in the fair value hierarch y established by ge nerally
accepted accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of the asset or liability. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs. Level 3 inputs are significant unobservable inputs.

The Company has the following recurring fair value measurements as of June 30, 2021:

Level
Me
asure m e nts by fair value le ve l 1 2 3
Derivative instrument liability 25,068,456$ - $ 25,068,456$ -$ Derivative Instrument Liability
The fair value balance and notional amount of the derivative instrument outstan ding at June 30, 2021, classified by
type, and the changes in fair value of such derivative instruments for the year then ended are as follows:

Cash Flow
Hedge Classification Amount Classification Amount Notional Pay-fixed interest
rate swaps Deferred Outflow $ (8,338,494) Liability $ 25,068,456 $ 133,000,000 Changes in Fair Value Fair Value at June 30, 2021

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 82 Annual Comprehensive Financial Report | June 30, 2021 (10) Derivative Instruments (Continued)
The fair values of the interest rate swaps were estimated using the zero-coupon method. This method calculates the future net settlement payments required by the swap, assuming that the current forward rates implied by the yield curve correctly anticipate future spot interest rates. These payments are then discounted using the spot rates implied by the current yield curve for hypothetical zero-coupon bonds due on the date of each future net settlement on the swaps.

Credit risk: PCOC is exposed to credit risk on hedging derivative instruments to the extent that value of the swap is position from PCOC’s perspective. The aggregate fair value of hedging derivative instruments was negative as of June 30, 2021 and therefore PCOC had no credit risk exposure.

Interest rate risk: The purpose of the swap is to eliminate interest rate risk on the associated hedged bonds and therefore the swap, in combination with related bonds does not create interest rate risk for PCOC.

Basis risk: PCOC is exposed to basis risk on its pay-fixed inte rest rate swap because the variable-rate payments received by PCOC on these hedging deri vative instruments are based on a rate or index other than interest rates PCOC pays on its hedged variable-rate debt, which is typically remarketed every 7 days. As of June 30, 2021, the weighted-average interest rate on the PCOC’s hedged variable-rate debt is 0.1433%, while 64 percent of LIBOR is

0.0594%.

Termination risk: PCOC or its counterparty may terminate a derivative instrument if the other party fails to perform under the terms of the contract. The derivative contract uses the International Swap Dealers Association Master Agreement which includes standard termin ation events such as failure to pay and bankruptcy. In addition, PCOC may optionally terminate the agreement on any date. If at the time of a termination, PCOC may be required to make a termination payment to its counterparty. If PCOC had to terminate the Swap for any reason on June 30, 2021, the maximum exposure/loss would have been $30,683,055.

Rollover risk: PCOC is exposed to rollover risk on hedging derivative instruments that are hedges of debt that mature or may be terminated prior to the maturity of the hedged debt. When these hedging derivative instruments terminate prior to the maturity of the related debt, PCOC will be re-exposed to the risks being hedged by the hedging derivative instrument.

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 83 (11) Fund Balance and Net Position

Fund Balances, Governmental Funds

On the Governmental Balance Sheet, the fund balances are reported in the aggregate in the classifications defined by GASB Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions. Fund balances by classification for the year ended June 30, 2021, are as follows:

Project General Non-Major
Management Debt Housing Governmental
General Fund Capital Project Service Successor Funds
Fund Balances
Nonspendable:

Prepaid and other assets 121,096$ - - - 116,266$ Permanent fund principal - - - - 1,434,131 Notes receivable 13,505,395 - - - - Total Nonspendable 13,626,491 - - - 1,550,397 Restricted for:

Air Quality Improvement - - - - 117,085 City Charter/Capital projects - 621,222 - - 2,048,731 Debt service - - 594 - 8,208,531 Culture and literacy - - - - 2,535,879 Housing and Community Development
Housing funds - - - - 1,818,407 Inclusionary Housing Trust - - - - 10,266,310 Rental Assistance programs - - - - 2,046,760 Other purposes - - - 6,883,870 606,483 Property held for resale - - - - 867,166 Public Safety
Asset Forfeiture - - - - 1,865,217 Public Safety Augmentation - - - - 1,203,257 Other Public Safety Programs - - - - 619, 347 Section 108 HUD Loan Security for
Robinson Park Recreation Center
Rehabilitation 400,000 - - - - Section 115 Trust - Pension 13,317,499 - - - - Transportation - - - - 30,287,265 Total Restricted 13,717,499$ 621,222$ 594$ 6,883,870$ 62,490,438$

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 84 Annual Comprehensive Financial Report | June 30, 2021 (11) Fund Balance and Net Position (Continued)
Fund Balances, Governmental Fu
nds (Continued)
Project General Non-Major
Management Debt Housing Governmental
General Fund Capital Project Service Successor Funds
Fund Balances, continued
Total from previous page 27,343,990$ 621,222$ 594$ 6,883,870$ 64,040,835$ Committed to:

Building Plan Check and Permit
Services - - - - 10,493,519
Building Services - General Plan
Maintenance Fee and
Technology Fee - - - - 4,609,596
Capital Projects - - - - 28,517,432
Emergency Contingency 40,441,800 - - - - Operating Reserve 11,245,600 - - - -
Libraries - - - - 9,771,220
Pasadena Center Capital
Improvement Trust - - - - 74,632
Parking - - - - 3,293,986
Sewer Construction and
Maintenance - - - - 13,881,393
Underground Utilities - - - - 40,677,135
Total Committed 51,687,400 - - - 111,318,913 Assigned to:

General Government 12,293,255 - - - - Health 9,024,239 - - - -
Capital Projects 10,008,206 1,944,212 - - - Total Assigned 31,325,700 1,944,212 - - - Unas
signed (11,293,801) - - - (7,822,582)
Total Fund Balance 99,063,289$ 2,565,434$ 594$ 6,883,870$ 167,537,166$

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 85 (11) Fund Balance and Net Position (Continued)
Net Position
On the government-wide statement of net position, the net position is r eported in one of three classifications: Net
Investment in Capital Assets, Restricted, or Unrestricted. Net position by classification as of June 30, 2021 are as follows:

Component Units
Total Aggregate
Governmental Business-Type Primary Component
Activities Activities Government Units
Net investment in capital assets 468,005,192$ 486,943,967 $ 954,949,159 $ (2,671,828) $ Restricted:

Nonexpendable 1,434,131 - 1,434,131 -
Expendable:

Community development 13,407,859 - 13,407,859 -
Public safety 3,687,821 - 3,687,821 -
Capital projects 2,669,953 - 2,669,953 -
Debt service 8,209,125 36,238,457 44,447,582 15,352,313 Stranded investments - 63,395,757 63,395,757 -
Transportation 30,287,265 - 30,287,265 -
Contribution to General Fund* - 19,544,138 19,544,138 - Culture and literacy 2,535,879 - 2,535,879 -
Other purposes 6,056,222 7,489,978 13,546,200 870,240 Air quality improvement 117,085 - 117,085 -
Trust and loans 13,717,499 - 13,717,499 -
Unrestricted (390,132,521) 240,454,322 (149,678,199) (33,494,517) Total Net Position 159,995,510$ 854,066,619$ 1,014,062,129$ (19,943,792)$ Primary Government
* The Power Fund will contribute $18,000,000 to the Genera l Fund in fiscal year 2022. The Water Fund will reimburse an estimated $1,544,138 for the cost of services to be provided by the General Fund in fiscal year 2022.

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 86 Annual Comprehensive Financial Report | June 30, 2021 (12) Restricted Net Positi on – Stranded Investments
In 1998, the City Co uncil established a Reserve for Stranded Inve stment (Reserve) and imposed a Stranded Investment
Surcharge (SIS) on all elec tric utility bills. The purpose of the Re serve for Stranded Investment was to create a fund to mitigate the potential impacts of open access to the energy market for Water and Power Department (PWP) customers and offset short and long term stranded energy co sts associated with the Intermountain Power Project (IPP) and Palo Verde Nuclear Generating Station (PVNGS). Several sources of funding for the Reserve were identified in addition to the SIS and funding continued until June 30, 2002. At that time, it was determined that the Reserve was fully funded with no additional contributions required. Collection of the SIS was discontinued and excess funds returned to PWP customers. All funds depo sited into the Reserve, including investment earnings, were recorded as income during the year collected or realized.

In November 2006, the City Council approved the Stranded Investment Reserv e Utilization Plan (Plan). In January 2009, in accordance with the Plan and a previously approved Prepayment Agreement (Agreement), PWP utilized approximately $80.0 million of the reserve funds to complete an economic defeasance of selected bonds for IPP. As authorized in the Agreement, the Intermountain Power Agency (IPA) issu ed approximately $70.0 million of subordinated notes to PWP, the payments for which will o ffset a portion of the debt service associated with the economically-defeased bonds, thereby reducing the cost of energy purchased from IPP.

As of June 30, 2021, the St randed Investment Reserve balance was $63. 4 million. The details of the additions and subtractions, in the Reserve, that occurred during fiscal year 2021 are shown below:

Restricte d Cash and Inve stme nt
Beginning balance 60,774,869$
Interest earnings 917,070
Market gain (loss) (691,093)
Transfer of SIR (7,000,000)
Restricted cash and investment ending balance 54,000,846$ IPA Subordinated Notes
Balance at Balance at
June 30, 2020 Reduction June 30, 2021
Notes receivable 14,630,000$ (6,583,333)$ 8,046,667$ Premium 2,022,366 (674,122) 1,348,244
Total IPA subordinated notes 16,652,366$ (7,257,455)$ 9,394,911$ Restricted for Stranded Investments at June 30, 2021 63,395,757$

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 87 (13) Accumulated Fund Deficits
The following funds re
ported accumulated deficits in their respective fund balances/net position at June 30, 2021:

Due to
Operations
Due to GASB 68
Implementation
Due to GASB 75
Implementation
Total
Accumulated
Deficit
Governmental Activities:

Special Revenue Funds:

Health (6,115,532) $ - $ -$ (6,115,532)$
Internal Service Funds:

Computing and Communications Service 7,952,453 (14,554,999) (3,117,307) (9,719,853) Benefits (20,350,471) (70,481,825) (222,665) (91,054,961) Workers' Compensation (19,597,076) (8,765,111) (267,198) (28,629,385) Ge ne ral L iability (4,784,694) (474,953) (89,066) (5,348,713) 311 Call Center 348,532 (567,386) (222,665) (441,519) Management’s
plans for resolution of the accumulated fund deficits are as follows:

Health
The Health Fund was established to acco unt for grants for the provision of health services which are restricted by grant award agreement as well as state health realignm ent funding requirements. Th e Pasadena Public Health Department continues its steadfast commitment to offering programs that improve public health outcomes while maintaining systems and controls for a financially sustainable operation. In fiscal year 2021, the Department ended the year with a shortfall largely attributable to COVID pandemic response; however, the City will be requesting FEMA reimbursement for pandemic related expenses. To address any continued fiscal cha llenges, the Department will continue to expedite processing of grant reimbursement requests; maintain monitoring of program and financial performance.

Computing and Communications Fund
The Computing and Communications fund was established to historically track and fund the operations and lifecycle capital replacement of the City’s Department of Information Technology, which provides centralized IT support across all City department. In fiscal year 2021, there was a deficit primarily attr ibutable to an incr ease in GASB 68 and 75 costs, and higher than expected personnel costs in operations due to COVID-19. With employees unable to take as much time off as in prior fiscal years, the benefit factor applied to employees’ regular time reported resulted in higher than anticipated personnel costs. Also, in order to assist employees returning to the office, and working in a hybrid model, more equipment was purchased under the Desktop Replacement Program than in prior years. The deficit is being monitored by management, and an appropriate revenue recovery plan to gradually reduce the deficit will be developed, as IT is solely fu nded by the fixed rates it charges to its customer departments. These rates increased by about 6% from fiscal year 2020 to 2021, but were held flat for fiscal year 2022, in response to the financial pressures bought on by the COVID-19 pandemic.

Benefits Fund
The City has established a Workers’ Compensation Fund to provide benefits for potential claim and cost expenditures for workers’ compensation claims against the City. In addi tion to any monies held in this Fund, the City makes an annual appropriation based upon its estimate of claim an d expense payments during the fiscal year. Management has reviewed the deficit, and is working to correct the situation through a combination of injury prevention programs, training programs, reduction of claim severity and claim frequency, return-to-work procedures, medical management and minimizing delays in all aspects of cl aims handling. An increase in rates charged to the Departments remains a part of the annual budget process. The City initiated the Carve Out program with Pasadena Police Officers Association (PPOA) and th at program remains in effect through all of the current fiscal year. That program is focused on ensuring timely delivery of treatment that will: (1) expedite claim resolutions and; (2) reduce costs and litigation. All of this will continue to reduce the negative fund balance.

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 88 Annual Comprehensive Financial Report | June 30, 2021 (13) Accumulated Fund Deficits (Continued)
Workers’ Compensation
The City has established a Workers’ Compensation Fund to provide benefits for potential claim and cost expenditures for workers’ compensation claims against the City. In addition to any monies held in this Fund, the City makes an annual appropriation based upon its estimate of claim an d expense payments during the fiscal year. Management has reviewed the deficit, and is working to correct the situation through a combination of injury prevention programs, training programs, reduction of claim severity and claim frequency, return-to-work procedures, medical management and minimizing delays in all aspects of cl aims handling. An increase in rates charged to the Departments remains a part of the annual budget process. The City initiated the Carve Out program with Pasadena Police Officers Association (PPOA) and th at program remains in effect through all of the current fiscal year. That program is focused on ensuring timely delivery of treatment that will: (1) expedite claim resolutions and; (2) reduce costs and litigation. All of this will continue to reduce the negative fund balance.

General Liability
The City has established a General Liability Fund to provide for the potential claim and cost expenditures for general liability claims against the City. In addition to any monies held in this Fund, the City makes an annual appropriation based upon its estimate of claim and expense payments during the fiscal year. In fiscal year 2019, there was a deficit primarily attributable to lower rates charged to Departments. In fiscal year 2020, the City increased rates to collect an additional $1.2 million from Departments. Additionally, the General Fund transferred $5.0 million into this fund to help address increased claims and improve the defici t. Management monitors the deficit and is implementing appropriate recovery measures to gradually reduce the deficit. This resulted in a $1.6 million reduction of the deficit. 311 Call Center
The City has established the 311 Call Cent er fund to account for the operations of the City’s central call center. In fiscal year 2021, there was a deficit pr imarily attributable to the implementation of GASB 68 and 75. Management reviewed the deficit during the fisc al year 2021 Operating Budget Proce ss and proposed to increase revenue transfers for fiscal year 2022. However due to Covid-19 rela ted setbacks and the City’s direction to maintain a flat budget, the Fund will incur a deficit from GASBE 68 and 75 for both fiscal year 2021 and 2022. For fiscal year 2023, the revenue sources and fund structure will be reviewed to address the ongoing GASB 68 and 75 deficits.

GASB Implementation
In fiscal year 2015, the City implemented GASB Statement No. 68, Accounting and Financial Reporting for Pensions.

As part of the implementation, the City has recorded ce rtain deferred inflows/outflows and obligations, related to the pension benefits provided to employees, to the pr oprietary funds. This caused several of the fund’s fund balances to fall into or increase a deficit position.

In fiscal year 2018, the City implemented GASB Statement No. 75, Accounting and Financial Reporting for Postemployment Benefits Other than Pensions. As part of the implementation, the City has recorded certain deferred inflows/outflows and obligations, related to other postemployment benefits provided to employees, to the proprietary funds. This caused several of the fund’s fund balances to fall into or increase a deficit position.

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 89 (14) Excess of Expenditures over Appropriations

The following funds reported an excess of expenditures over appropriations at June 30, 2021:

Variance with
Budget Actual Final Budget
General Fund:

General Government
City Attorney 9,280,354 $ 9,938,023 $ (657,669) $ Non-departmental 23,650,332 24,992,175 (1,341,843) Capital Outlay - 137,228 (137,228) Underground Utilities Fund:

Utility 124,195 171,217 (47,022) Air Quality Improvement Fund:

Transportation 172,388 196,976 (24,588)

General Fund
In fiscal year ended 2021, the City Attorney department incurred more outside legal service expenses than the budgeted amount due to litigation related to the Rose Bowl, Housing, and other matters.

The general government, non-departmental expenditures exceeded appropriations primarily due to decreased revenues from code compliance and various budgeted revenues from Los Angeles County.

(15) Pledged Revenue

The City and its component units have a number of debt issuances outstanding that are collateralized by the pledging of certain revenues. The amount and term of the remainder of these commitments are indicated in the debt service to maturity tables presented in the accompanying notes. The purposes for which the proceeds of the related debt issuances were utilized are disclosed in the debt descriptions of the accompanying notes. For the current year, debt service payments as a percentage of the pledged gross revenue (net of certain expenses where so required by the debt agreement) are indicated in the table below. These percentages also approximate the relationship of debt service of pledged revenues for the remainder of the term of the commitments.

Total pledged revenue reported for Successor Agency to Pasadena Community Development Commission is the net property tax revenue received to pay for all approved expe nses (not exclusive to debt service) on the Recognized Obligation Payment Schedule (ROPS).

Annual Amount
of Pledged Revenue Annual Debt Debt Service
Description of (net of expenses) Service Payment as a Percentage of Pledged Revenue (in thousands) (in thousands) Pledged Revenue Primary Government
Light and Power Revenues 67,394$ 23,059$ 34% Water Revenues 19,154 6,218 32% Fiduciary Funds
Tax Increment
(Successor Agency PCDC) 8 $ 226 $ 2825%

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 90 Annual Comprehensive Financial Report | June 30, 2021 (16) Transfers
The following is a summary of transfers in and out f
or the year ended June 30, 2021:

General Light
Project Debt Non-Major and Non-Major Internal
General Management Service Governmental Power Enterprise Service Transfers Out Fund Fund Fund Funds Fund Funds Funds Total General Fund -$ 5,052,005$ A 3,412,420$ 17,817,159 $ B -$ - $ 96,903$ 26,378,487$ Project Management Fund - - - - - 192,452 1,005,061 1,197,513 Non-Major Governmental
Funds 125,857 15,330,839 C 12,073 - 5,717,151 D - - 21,185,920 Light and Power Fund 18,000,000 E - - - - - - 18,000,000 Water Fund 1,894,138 - - - - - - 1,894,138 Non-Major Enterprise Funds 1,886,318 50,863 - - - 345,000 2,282,181 Internal Service Funds - 3,144,091 - - - - - 3,144,091 Total 21,906,313$ 23,577,798$ 3,424,493$ 17,817,159$ 5,717,151$ 192,452$ 1,446,964$ 74,082,330$ Transfers In
Primary Government
(A) Transfers of $5,052,005 from General Fund to Project Management Fund mainly consist of:
• $2,864,006 for the renovation and improvement of Municipal buildings • $1,299,351 for the upgrade and replacement of the technology equipment • $792,231 for the street improvement projects
(B) Transfers of $17,817,159 from General Fund to Non-Major Governmental Funds mainly consist of:
• $11,184,932 to support the Library Services Fund
• $4,303,595 to pay for 2015A Refunding COPs
• $1,549,638 to Housing and Community Development
(C) Transfers of $15,330,839 from Non-Major Governmental Funds to Project Management Fund mainly consist of:
• $4,609,662 from Residential Development Impact Fund
• $2,536,893 from Road Maintenance and Rehabilitation Account • $2,999,179 from Sewer Facility Charge Fund and Sewer Construction Management Fund • $2,186,295 from Gas Tax Fund
(D) Transfers of $5,717,151 from Non-Major Governmental Funds to Light and Power Fund for the reimbursement of the underground utilities program expenses.
(E) Light and Power Fund contributed $18,000,000 to the General Fund for the payment of interest and principal on City bonds, municipal improvements, and other purposes.

Fiduciary Funds
The following is a summary of transfers in and out for the year ended June 30, 2021:

Transfers Out
Redevelopment Obligation
Transfers In Retirement Fund Total
Successor Agency Debt Service 11,817,140$ 11,817,140 The Redevelopment Obligation Re
tirement Fund transferred $11,817,140 to the Successor Agency Debt Funds.

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 91 (17) Self-Insurance

The City maintains self-insurance and excess insurance programs for various lines of liability coverage. Liability claims are self-administered, within the self-insured retention. For the period July 1, 2020 to June 30, 2021 excess liability insurance was purchased with limits of $25,000,000 excess of $5,000,000 per occurrence self-insured retention.

Excess workers’ compensation insurance currently with a $4,000,000 self-insurance retention, was renewed with the current carrier Safety National Insurance Company. This coverage was initially purchased in fiscal year 2016 and renewed through fiscal year 2021, with a $5,000,000 self-i nsured retention. Workers’ compensation claims for all City workers, including Public Safety, Fire and Police, are administered by a Third Party Administrator, AdminSure.

The City maintains a few self-administered claims (with dates of Injury before 7/1/2012).

Seven workers’ compensation claims from prior years, when the retention was $500,000, have exceeded the excess level. Eight workers’ compensation claims from prior ye ars, when the retention was $250,000 have exceeded the excess level. Five workers’ compensation claims from prior years, when the retention was $50,000, have exceeded the excess level. No workers’ compensation injury was incu rred during the past three to four fiscal years that is expected to exceed $4,000,000, over the course of succeeding years.

The Civil Division of the Department of the City Attorney /City Prosecutor, primarily using in-house civil attorneys, controls litigated liability claims. A claim is a demand seek ing damages allegedly arising out of a wrongful act for which the claimant asserts the City is responsible. During fiscal year 2021, the City paid $6,106,348 in loss payments.

For new claims with alleged dates of loss within fiscal year 2021, the overall total incurred was $10,937,660. Liability against a public entity is mitigated by existing laws/sta tutes/codes, which provide certain immunities. The City currently has approximately 12 active litigation cases, each with reserves estimated in excess of $2,000,000.

Self-insurance losses and administrative costs are reported in the General Liability and Workers’ Compensation Internal Service Funds. Losses incurred are reimbursed by departments over a period of time as part of an internal service assessment system. Legal expenses are reported in the City Attorney Department of the General Fund. A case reserve is established for each claim, monitored and adjusted by the Liabilit y Division or the Workers’ Compensation Claims Supervisor, including expected litigat ion expenses and losses that will be paid by the City Treasurer.

Heliport and Aircraft coverage provides protection to th e City for liability arising out of its public safety/police helicopter operations and for the City’s leadership role on the LA Impact Team. The policy carries a per occurrence limit of $50,000,000 for Aircraft Hull and Liability, with an aggregate of $50,000,000. Coverages include hull physical damage for the scheduled aircraft, damage done by the Ci ty’s aircraft to someone else’s hangar, and emergency landing. The policy also covers liability resulting from an error by pilot. In addition, the policy provides coverage for Airport Liability with a $50,00 0,000 per occurrence limit. Th is coverage complies with the City’s contract with Hollywood Burbank airport. The annual premium is apportioned between the City and LA Impact since the policy carries hull coverage for LA Impact aircraft.

The City renewed Property Insurance on all its buildings, including Equipmen t Breakdown, with a combined total scheduled insured value of $1.058 billion. The policy incl udes coverage for fine arts , valuable papers, business personal property, business income and extended business income or rental va lue. Policy limits are $250,000,000 with a deductible of $25,000 for Earthquake Sprinkler Leakage, $100,000 for Flood, and $25,000 for any other covered loss. Exclusions include earthquake, collapse of buildings and nuclear hazard. There have been no new claims during fiscal year 2021.

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 92 Annual Comprehensive Financial Report | June 30, 2021 (17) Self-Insurance (Continued)
The City’s Property: Power Plant Boiler and Machinery policy, with total insured value of $425,202,564. The program provides property and equipment breakdown coverage for City’s power plant facilities and machinery. The policy affords coverage for risks of loss or damage, including boiler explosion and machinery breakdown. Policy limits are $250,000,000 with deductibles of $750,000 per occurrence for all other property damage and $1,500,000 per occurrence for machinery breakdown of GT1, GT3, and GT5. The City has received no new claims under this policy for fiscal year 2021.

In an effort to protect the City’s assets and transfer po tential risk, the City also pur chases the following insurance policies: Medical Malpractice; Pollution Liability; Terrorism for Property and Business Interruption and Terrorism & Sabotage Insurance; Auto Physical Damage; Cyber Risk Privacy Liability; Fiduciary (purchased for and by the Fire and Police Retirement System); and Crime policies.

Pasadena Center Operating Company (PCOC) is entitled to indemnity from the City; however, PCOC purchases a Special Liability Insurance Program (SLIP) for general liability and employment practice coverage. The City manages the PCOC claims and tenders to the insurance carrier thir d party administrator. PCOC carries statutory workers’ compensation insurance with no retention. PCOC requires licensees to provide insurance or purchase Special Events Liability Insurance from PCOC. The City buys liability insurance on the parking structures at PCOC. PCOC buys separate liability insurance on the ice rink.

Rose Bowl Operating Company (RBOC) is entitled to indemnity from the City, and its losses are included in the City’s general liability self-insurance program and under the ex cess general liability policies. RBOC carries statutory workers’ compensation insurance with no retention. Brookside Golf Course is also managed through RBOC. Major Rose Bowl tenants include the Pasadena Tournament of Roses, UCLA Football, and th e R.G. Canning Swap Meet.

Tenants provide insurance, naming City of Pasadena as additional insured on their policies.

The claims liability reported in the General Liability and Workers’ Compensation Internal Service Funds is based on the requirements of GASB Statement No. 10, which requires a liability for claims to be reported if information prior to the issuance of the financial statements indicates that it is probable that a liability has been incurred at the date of the financial statements and the amount of loss can be reasonably estimated, including incurred but not yet reported claims. As of June 30, 2021, General Liability claims payable amounted to $10,568,596, of which $5,164,065 is estimated to be paid within one year. Workers’ Compensation claims payable amounted to $31,475,597, of which $13,079,052 is estimated to be paid within one year.

Beginning Fiscal Year Claim Ending
Fiscal Year Liability in Estimates Payments Liability
2019-20 45,442,474$ 1,642,063$ (6,845,299)$ 40,239,238$ 2020-21 40,239,238 20,854,833 (19,049,878) 42,044,193

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 93 (18) Deferred Compensation Plan
For the benefit of its employ
ees, the City has adopted a deferred compensation plan in accordance with Section 457 of the Internal Revenue Code. Generally, eligible employees may defer receipt of a portion of their salary until termination, retirement, death, or an unforeseeable emergency. As a result of changes under the Small Business Job Protection Act of 1996, all amounts of compensation deferred under the plan, all property and rights purchased with those amounts, and all income attributable to those amounts must be held in a trust, custodial account, or annuity contract for the exclusive benefit of the employee participants and their beneficiaries.

The plan has a Plan Administrator and an oversight co mmittee. The five member committee is comprised of three elected City employees and two members of the community appointed by the City Council. The oversight committee members basically monitor the plan ac tivity, performance of investment options and ensure that the Plan Administrator carries out his duties and responsibilities. Th e Plan Administrator, the Director of Finance or his designee, is responsible for the day to day administration. The Plan Administ rator has authority to sign all legal agreements with approved plan providers, and ensures proper amounts are withheld, immediately transferred to the trust, and invested in accordance with participants’ directions.

As of June 30, 2021 the market value of the City’s deferred compensation plan assets amounted to $373,569,449. (19) Pension Plans
Each full-time employee and each part-time
employee (with 1,000 hours or more of service) of the City is a member of either the FPRS or CalPERS. Both plans are defined benefit pension plans and are described individually in the following notes.

Summary of Pension Plans
Net Pension
Asset Net Pension Liability
Pension (Income)/
Expense
Deferred Outflows
Related to Pension
Deferred Inflows
Related to Pension
Pasadena Fire and Police
Retirement Plan 7,881,000 $ -$ (4,117,000)$ -$ 10,243,000$ CalPERS - Safety Plan - 191,226,521 30,565,699 41,619,674 2,209,652 CalPERS - Miscellaneous Plan - 322,182,631 41,739,066 48,585,421 4,305,655 Total Plans 7,881,000$ 513,409,152$ 68,187,765$ 90,205,095$ 16,758,307$

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 94 Annual Comprehensive Financial Report | June 30, 2021 (19) Pension Plans (Continued)
Pasadena Fire and Police Ret
irement System (FPRS)
Plan Description
FPRS (the System) is a sin
gle-employer defined benefit plan governed by a Retirement Board (Board) under provisions of the City Charter. The plan covers all fire and police personnel who were employed by the City prior to July 1, 1977, except for those who elected to transfer to CalPERS when FPRS closed to new member in June 2004. In June 2004, active members were provided a one-time opportunity to transfer from FPRS to CalPERS as provided by an agreement with the City. Once transferred to CalPERS, retirement benefits for all fire and police personnel employed thereafter are provided under CalPERS. The plan provides retirement, death and disability benefits. Copies of FPRS’s annual financial report may be obtained from the Pasadena Fire & Police Retirement System, 100 N.

Garfield Ave., Rm. S201 Pasadena, CA 91101-1726 or at https://www.cityofpasadena.net/commissions/fire-and- police-retirement-board/.

Cash and Investments
Unrestricted pooled cash 105,955 $
Designated pooled cash 1,250,000
Money market funds 822,672
Cash and cash equivalents 2,178,627
Short-term investments 4,124,710
Investments 135,540,289
Total Investments 139,664,999
Total Cash and Investments 141,843,626$
Funding Policy
Section 1509.9 of the City Charter provides that the normal member cont ribution rates will provide an average annuit
y, at age 50, equal to 1/100 of the final compensation of members for each year of service according to tables adopted by the Board. The basic benefits otherwise funded by these contributions have now been fully funded by Contribution Agreement 16,900. Pursuant to the agreement, the City contributed $100,000,000 net proceeds from the issuance of pension bonds to FPRS on August 5, 1999. The net proceeds plus the existing assets of FPRS became sufficient to fully fund the basic benefits, the unfunded ba sic benefits, the 1919 benefits, and the cost-of-living adjustment (COLA) benefits. Contributions are recogn ized when due. Therefore, member contributions are suspended as long as basic benefits remain fully funded.

On October 20, 2011, the Board approved Amended and Restated Agreement No. 20,823 (“Agreement No. 20,823”).

Under this new agreement, the City’s minimum funding percentage schedule and reimbursement cap in Agreement No. 16,900 carried forward, and the City agreed to provide a contribution of $46,600,000 to the System through the issuance of pension obligation bonds. Agreement No. 20,823 provided that the annual required supplemental contribution would be actuarially calculated using an interest assumption of 6% and an inflation rate of 3% beginning with the June 30, 2012 valuation. Pursuant to this agreem ent, future annual valuations after June 30, 2012, shall adopt an assumed interest rate and inflation assumption based on analysis performed by the System’s actuary and after seeking input from the City and System’s investment consultant. Agreements No. 16,900 and No. 20,823 state that if the minimum funding deficit is greater than $3,000,000 in a year, the City will pay $3,000,000 to the System.

Any remaining amount necessary to reach the minimum funding percentage will be phased in over a five-year period; however, no annual supplemental payment may exceed a reimbursement cap measured by the prior year’s payments for benefits other than the funded basic benefits.

As of June 30, 2021, the funded percentage of the System, calculated in accordance with Agreement No. 20,823 and Agreement No. 16,900, was 92.1%. As provided by Contribution Agreement No. 16,900, if the funded percentage is below the minimum funding percentage of 80% for fiscal year 2021, the City will reimburse the System in the following fiscal year subject to certain reimbursement lim its. Based on the June 30, 2021 actuarial valuation, the funding deficiency was $0, or 0%, below the funding requi rement of 80% as of June 30, 2021. Thus, no required supplemental contribution is owed to the System by the City during fiscal year ended June 30, 2021.

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 95 (19) Pension Plans (Continued)
The components of the net pension liability of the System as of June 30, 2021 are as follows:

Total Pension Liability 126,851,000$
Plan Fiduciary Net Position 134,732,000
Net Pension Liability/(Asset) (7,881,000)
Plan Fiduciary Net Position as a
Percentage of Total Pension Liability 106.2%
FPRS
Actuarial Methods and Assumptions Used to
Determine Total Pension Liability
Actuarial valuations of an ongoing plan involve estima tes of the value of reported amounts a nd assumptions
about the probability of occurrence of events far into the future. Examples include assumptions about future employment, mortality, and cost trends. Actuarially de termined amounts are subject to continual review or modification as actual results are compared with past expectations and new estimates are made about the future. Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employers and plan members) and incl ude the types of benefits provided at the time of each valuation. Upon analysis prov ided by the System’s Actuary on Ma y 19, 2021, the Board accepted the recommended assumptions (that were concurred with by City Treasury and the System’s Investment Advisor) for use in the preparation of the actuarial valuation fo r the fiscal year ending June 30, 2021. The TPL was determined by the actuarial valuat ion performed as of June 30, 2021, using the following actuarial assumptions:

Discount Rate 5.75%*
Inflation 2.75%
Salary Increases No active employees
Mort ality CalPERS 1997-2015 Experience Study, MP-
2017
Geometric Real Rate of Return Based on the CalPERS 2017 10-year Expected Geometric Rate of Return
Large Cap US Equity 4.36%
Small Cap US Equity 5.18%
Foreign Equity 4.60%
Domestic Core Fixed Income 1.47%
Senior Bank Loans 3.10%
Short-Term I-G Bonds 1.26%
TIPS 1.29%
Risk Parity 2.79%
Real Estate 3.04%
Actuarial Assumptions
*
Discount Rate reflects assumed investment expense of 40 basis points.

Inactive employees or beneficiaries currently receiving benefits 179 Inactive employees enti tled to but not yet receiving benefits - Acti ve empl oyees -
Total 179

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 96 Annual Comprehensive Financial Report | June 30, 2021 (19) Pension Plans (Continued)
Discount Rate
The discount rate of 5.75% was selected by the System actuary and approved by the Board to measure the June 30, 2021 TPL for accounting purposes. The discount rate is the expected real long-term rate of return, plus the inflation assumption of 2.75%, less assumed inve stment expenses of 40 basis points. Th e expected long-term real rate of return is compared at the 50% and 55% confidence levels of capital market assumptions. Based on the assumptions, the Plan's Fiduciary Net Position was projected to be ava ilable to make all projected future benefit payments. The discount rate used as of June 30, 2021, is the same as the discount rate used as of June 30, 2020.

Asset Class
Target Asset
Allocation
Large Cap US Equity 16.00%
Small Cap US Equity 4.00%
Foreign Equity 20.00%
Domestic Core Fixed Income 25.00%
TIPS 5.00%
Short-Term Investment-Grade Bonds 10.00%
Senior Bank Loans 5.00%
Alternative (Risk Parity) 5.00%
Real Estate 10.00%
Total 100.00%
Changes in Pension Liability
AB C = B - A
Total Pension
Liability
Plan Fiduciary Net
Position
Net Pension
Asset/(Liability)
Balance at 6/30/2020 133,821,000$ 125,211,000$ (8,610,000)$ Changes Recognized for the
Measurement Period:

Service Cost - - -
Interest on the Total Pension Liability 7,335,000 - (7,335,000) Differences between Expected and Actual
Experience (1,799,000) - 1,799,000
Contribution from Employers - - -
Contribution from Employees - - -
Net Investment Income - 22,354,000 22,354,000
Benefit Payments (12,506,000) (12,506,000) -
Administrative Expense - (327,000) (327,000)
Change of Assumptions - - -
Net Change during 2020-21 (6,970,000) 9,521,000 16,491,000 Balance at 6/30/2021 126,851,000$ 134,732,000$ 7,881,000$ Ending Fiduciary Net Position as a
Percentage of the Total Pension
Liability 106.2%
Pension Expense/(Income) (4,117,000)$
Increase / (Decrease)

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 97 (19) Pension Plans (Continued)
Sensitivity of the Net Pension Liability to Changes in the Discount Rates Examining the sensitivity of the net pen sion liability (NPL) to changes i n the discount rate by a 1% decrease, from

5.75% to 4.75%, revealed an increase in the NPL by $10,525,000 to a total NPL of $2,644,000. Conversely, increasing the discount rate by 1%, from 5.75% to 6.75%, revealed a corresponding decrease in the NPL of $9,150,000 to total Net Pension Asset of $17,031,000 as of June 30, 2021.

Discount Rate -1%
(4.75%)
Current Discount
Rate (5.75%)
Discount Rate +1%
(6.75%)
N e t Pe nsion L iability (N PL ) 2,644,000 (7,881,000) (17,031,000) NPL Funded Percentage 98.1% 106.2% 114.5%
FPRS
Deferred Outflows and Defer
red Inflows of Resources Related to Pensions
Deferred Outflows of
Resources
Deferred Inflows of
Resources
Net Deferred of
Resources
Projected versus Actual Earnings on
Investments -$ (10,243,000)$ (10,243,000)$
Total -$ (10,243,000)$ (10,243,000)$
FPRS
Measurement Period
ended June 30:

Deferred
Outflows/(Inflows) of
Resources
2022 (2,200,000) $
2023 (2,415,000)
2024 (2,525,000)
2025 (3,103,000)
FPRS

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 98 Annual Comprehensive Financial Report | June 30, 2021 (19) Pension Plans (Continued)
CalPERS Miscellaneous an
d Safety Plans
Plan Description
All qualified permanent and probationary employees are eligible to participate in the City’s Miscellaneous Plan and
Safety Plan (Plans), agent multiple-employer defined bene fit pension plans administered by the California Public Employees’ Retirement System (CalPE RS), which acts as a common investme nt and administrative agent for its participating member employers. Benefit provisions unde r the Plans are established by State statute and City resolution. CalPERS issues public ly available reports that include a full de scription of the pen sion plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website.

Benefits Provided
CalPERS provide service retirement and disability benefits, annual cost of liv ing adjustments and death benefits to
plan members, who must be public employees and beneficiar ies. Benefits are based on years of credited service, equal to one year of full time employment. Members with five years of total service are e ligible to retire at age 50 with statutorily reduced benefits. All members are eligible for non-duty disability benefits after 10 years of service.

The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the Optional Settlement 2W Death Benefit. The cost of living adjustments for each plan ar e applied as specified by the Public Employees’ Retirement Law.

The Plan provisions and benefits in effect at June 30, 2021, are summarized as follows:

Hire date Prior to January 1, 2013 Hire date Prior to January 1, 2013 Benefit formula 2.5% @ 55 Benefit formula 3% @ 55
Benefit vesting schedule 5 years service Benefit vesting schedule 5 years service Benefit payments monthly for life Benefit payments monthly for life Reti rement age 50 Reti rement age 50
Monthly be ne fits, as a % of e ligible
compensati on 2.00% to 2.50%
Monthly benefits, as a % of eligible
compensation 2.40% to 3.00%
Required employee contribution rates 7.593% Required employee contribution rates 9.461% Required employer contribution rates* 32.805% Required employer contribution rates 50.085% *As a percentage of projected payroll
Miscellaneous Safety
Employees Covered
At the measurement date June 30, 2020, the following employees were covered by the benefit terms of the plan:

Miscellaneous Safety
Inactive employees or
beneficiaries currently receiving
benefits 1,737 378
Inactive employees entitled to but
not yet receiving benefits 1,080 144
Active employees 1,408 376
Total 4,225 898

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 99 (19) Pension Plans (Continued)
CalPERS Miscellaneou
s and Safety Plans (Continued)
Contribution Description
Section 2081
4(c) of the California Public Employees’ Retirement Law (PERL) requires that the employer contribution rates for all public employers be determ ined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. The total plan contributions are determined through CalPERS’ annual actuarial valuation process. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The employer is required to contribute the diffe rence between the actuarially determined rate and the contribution rate of employees. Employer contribution ra tes may change if plan contracts are amended. It is the responsibility of the employer to make necessary accounting adjustments to reflect the impact due to any Employer- Paid Member Contributions or situations where members are paying a portion of the employer contribution. The City made contributions to the Miscellaneous and Safety Plans during the fiscal year ended June 30, 2021 of $39,008,790 and $23,786,665, respectively.

Net Pension Liability
The City’s net pension liability for each Plan is measured as the total pension liability, less the pension plan’s fiduciary net
position. The net pension liability of the Plan is measured as of June 30, 2020, using an annual actuarial valuation as of June 30, 2019 rolled forward to June 30, 2020 using standard update procedures. A summary of principal assumptions and methods used to determine the net pension liability is shown below.

The total pension liabilities in the June 30, 2019 actuarial valuations were determined using the following actuarial assumptions:

Actuarial Methods and Assumptions Used to Determine Total Pension Liability Actuari al Cost Method Entry Age Normal i n accordance with the requirements of GASB Statement No. 68
Discount Rate 7.15%
Inflation 2.50%
Sal ary Increases Vari es by Entry Age and Servi ce
Mortality Rate Table (1) De rive d using CalPERS' Me m be rship Data for all Funds
A ctuarial A ssumptions
(1) The mortal i ty tabl e used was devel oped based on Cal PERS-speci fi c data. The tabl e i ncl u
des 15 years of mortal i ty i mprovements usi ng Soci ety of Actuari es Scal e. For more details on this table, please refer to the 2017 experience study report.

Discount Rate
The discount rate used to measure the total pension liability was 7.15 perc ent. To determine whether the municipal
bond rate should be used in the calculation of a discount rate for each plan, CalPERS stress tested plans that would most likely result in a discount rate that would be different from the actuarially assumed discount rate. Based on the testing of the plans, the tests revealed the assets would not run out. Therefore, the current 7.15 percent discount rate is appropriate and the use of the municipal bond rate calculation is not deemed necessary. The long-term expected discount rate of 7.15 percent is applied to all plans in the Public Employees Retirement Fund. The stress test results are presented in a detailed report called GASB Crossover Testing Report that can be obtained at CalPERS’ website under the GASB 68 section.

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 100 Annual Comprehensive Financial Report | June 30, 2021 (19) Pension Plans (Continued)
Long-Term Expected Rate of Return
The long-term expected rate of return on
pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.

In determining the long-term expected rate of return, Ca lPERS took into account both short-term and long-term market return expectations as well as the expected pension fund cash flows. Using historical returns of all of the funds’ asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years) and the long-term (11+ years) using a building-block appr oach. Using the expected nominal returns for both short- term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the rounded single equivalent expected return that arrived at the same present value of benefits for cash flows as the one calculated using both short-term and long-term returns. The expected rate of return was then set equal to the single equivalent rate calculated above and adjusted to account for assumed administrative expenses.

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

Asset Class (1)
New Strategic
Allocation
Real Return
Years 1 - 10 (2)
Real Return
Years 11+ (3)
Global Equity 50.00% 4.80% 5.98%
Fixed Income 28.00 1.00 2.62
Inflation Assets - 0.77 1.81
Private Equity 8.00 6.30 7.23
Real Assets 13.00 3.75 4.93
Liquidity 1.00 - (0.92)
(2) An expected inflation of 2.00% used for this period (3) An expected inflation of 2.92% used for this period (1) In the System's ACFR, Fixed Income is included in Global Debt Securities; Liquidity is included in S
hort-term Investments; Inflation Assets are included in both Global Equity Securities and Global Debt Securities.

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 101 (19) Pension Plans (Continued)

Changes in Net Pension Liability

Miscellaneous
AB C = B - A
Total Pension Liability
Plan Fiduciary Net
Position Net Pension Asset/(Liability)
Balance at 6/30/2019,
Measurement Date (MD) 1,169,746,075$ 859,294,486$ $ (310,451,589) Changes Recognized for the
Measurement Period 2019-20:

Service Cost 19,565,533 - (19 ,565,533) Interest on the Total Pension Liability 81,858,875 - (81,858,875) Differences between Expected and
Actual Experience (3,981,645) - 3,981,645 Contribution from Employers - 35,785,979 35,785,979 Contribution from Employees - 8,895,269 8,895,269 Net Investment Income - 42,241,867 42,241,867 Benefit Payments, including
Refunds of Employee Contribution (61,335,630) (61,335,630) - Administrative Expense - (1,211,394) (1,211,394) Net Changes 36,107,133 24,376,091 (11,731,042) Balance at 6/30/2020, MD 1,205,853,208$ 883,670,577$ (322,182,631)$ Pension Expense 41,739,066$
Increase/(Decrease)

Safety

AB C = B - A
Total Pension Liability
Plan Fiduciary Net
Position
Net Pension
Asset/(Liability)
Balance at 6/30/2019,
Measurement Date (MD) 677,107,639$ 497,675,230$ (179,432,409)$ Changes Recogni zed for the Measurement
Period 2019-20:

Service Cost 13,264,435 - (13,264,435) Interest on the Total Pension Liability 47,906,317 - (47,906,317) Di fferences between Expected and
Actual Experience 1,037,581 - (1,037,581) Contribution from Employers - 21,823,026 21,823,026 Contribution from Employees - 4,616,959 4,616,959 Net Investment Income - 24,675,836 24,675,836 Benefit Payments, including Refunds of
Employee Contribution (29,518,039) (29,518,039) - Administrative Expense - (701,600) (701,600) Net Changes 32,690,294 20,896,182 (11,794,112) Balance at 6/30/2020, MD 709,797,933$ 518,571,412$ (191,226,521)$ Pension Expense 30,565,699$
Increase/(Decrease)

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 102 Annual Comprehensive Financial Report | June 30, 2021 (19) Pension Plans (Continued)
Sensitivity of the Net Pension Liability to Changes in the Discount Rates The following presents the net pension liability of the Plan as of the measurement date, calculated using the discount rate of 7.15 percent, as well as what the net pension liability would be if it were calculated using a discount rate that is 1 per
centage-point lower (6.15 percent) or 1 percentage-point higher (8.15 percent) than the current rate:

Discount Rate -1%
(6.15%)
Current Discount
Rate (7.15%)
Discount Rate +1%
(8.15%)
Plan Net Pension Liability/(Asset) 472,806,092$ 322,182,631$ 196,815,270$ Discount Rate -1%
(6.15%)
Current Discount
Rate (7.15%)
Discount Rate +1%
(8.15%)
Plan Net Pension Liability/(Asset) 291,016,813$ 191,226,521$ 109,492,021$ Miscellaneous
Safety
Subsequent Events
There were no subsequent events that would materially affect the results presented in this disclosure.

Amortization of Deferred Outflows and Deferred Inflows of Resources Under GASB 68, gains and losses related to changes in total pension liability and fiduciary net position are recognized in pension expense systematically over time.

The first amortized amounts
are recognized in pension expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and deferred in flows of resources related to pensions and are to be recognized in future pension expense.

The amortization period differs depending on the source of the gain or loss:

Net di fference between
projected and actual
earnings 5 year straight-line amortization
All other amounts Straight-line amortization over the
expected average remai ni ng service
l i feti me (EARSL) of al l members that
are provided with benefits (active,
inactive, and retired) as of the
beginning of the measurement period
The EARSL for the Plan for the measurement period endin g June 30, 2020 is 3.4 years for Miscellaneous and 5 years for Safety, which was obtained by dividing the total service years of 14,262 (Miscellaneous) and 4,495 (Safety) (the sum of remaining service lifetimes of the active employees) by 4,225 (Misce llaneous) and 898 (Safety) (the total number of participants: active, inactive, and retired). Note that inactive employees and retirees have remaining service lifetimes equal to 0. Also note that total future service is based on the members’ probability of decrementing due to an event other than receiving a cash refund.

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 103 (19) Pension Plans (Continued)
Pension Expense and Deferre
d Outflows and Deferred Inflows of Resources Related to Pensions As of June 30, 20
21, the City has deferred outflows and deferred inflows of resources related to pensions as follows:

Deferred Deferred Deferred Deferred Deferred Deferred
Outflows of Inflows of Outflows of Inflows of Outflows of Inflows of Resources Resources Resources Resources Resources Resources Changes of A ssum ption -$ (1,063,267)$ 8,964,309$ (431,624)$ 8,964,309$ (1,494,891)$ Differences between Expected and
Actual Experi ence 2,261,263 (3,242,388) 4,160,066 (1,778,028) 6,421,329 (5,020,416) Net Difference between Projected
and Actual Earnings on Pension
Plan Investments
7,315,368 - 4,708,634 - 12,024,002 -
Contributions Subsequent to the
Measurement Date 39,008,790 - 23,786,665 - 62,795,455 - Total 48,585,421$ (4,305,655)$ 41,619,674$ (2,209,652)$ 90,205,095$ (6,515,307)$ Miscellaneous Safety Total
The amounts above are net of ou
tflows and inflows recogn ized in the fiscal year 2019-20 measurement period expense.

The $39,008,790 and $23,786,665 reported as deferred outflows of resources related to contributions subsequent to the measurement date will be recogn ized as a reduction of th e net pension liability in the year ended June 30, 2022. Other amounts reported as deferred outflows or deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Measurement Period
ended June 30
Deferred
Outflows/(Inflows) of
Resources
Measurement Period
ended June 30:

Deferred
Outflows/(Inflows) of
Resources
2021 (4,496,126)$ 2021 5,099,110 $
2022 1,897,145 2022 4,439,446
2023 4,175,950 2023 3,724,940
2024 3,694,007 2024 2,359,861
2025 - 2025 -
Thereafter - Thereafter -
Miscellaneous Safety
Defined Contribution Plan (PARS)
The City provides pension benefits for employees not covered by CalPERS or FPRS through the PARS. This is a defined contribution plan created in accordance with Internal Revenue Code Sections 401(a) and 501, and administered by Phase II Systems. In a defined contribution plan, benefits depend solely on amounts contributed to the plan plus investment earnings. Employees are eligible to participate from the date of employment. On October 29, 2012, the City adopted a Salary Resolution for the Non-Represented Non-Management employees requiring the covered employees to contribute the full 7.5% of their earnings ef fective December 31, 2012. Prior to the adoption of the Salary Resolutions, the plan agreement required the City to contribute an amount equal to 4.0% of the employees’ earnings and the covered employee contributed 3.5%. The City contributions for each employee were fully vested.

The City’s payroll for employees covered by PARS for th e year ended June 30, 2021 was $4,583,094. The covered employees made the total required 7.5% contributions of $343,732.

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 104 Annual Comprehensive Financial Report | June 30, 2021 (20) Postemployment Benefits Other than Pensions (OPEB) The City of Pasadena provides a subsidy to re
tirees of the City who are members of the California Public Employees’ Retirement System or the Pasadena Fire and Police Pension System. Benefit provisions are established and amended through negotiations between the City and the respective unions. Two different levels of subsidy toward the purchase of medical insurance from CalPERS under the Public Employees’ Medical and Hospital Care Act (PEMHCA) are offered. These are currently at $143.00 or $107.25 per month depending on the bargaining unit or the unrepresented group the employee was a member. At the June 30, 2020 actuarial valuation, the following current and former employees were covered by the benefit terms:

Inactive plan members or beneficiaries currently receiving benefits 718 Inactive plan members entitled to but not yet receiving benefits 246 Active plan members 1,833
2,797
Plan Description
Eligibility: The plan is an agent multiple-emplo yer plan administered by CalPERS, which provides benefits under
PEMHCA to individuals who retire with the City and begin to collect a monthly benefit under one of the retirement plans sponsored by the City. Employees who terminate under service retirement or disability retirement and certain survivors of Safety members who die in active service are eligible.

Service Retirement: Employees retiring directly from active status receive medical benefits commencing at retirement. Employee must be age 50 or 52 if a “new member” as defined in the Public Employees’ Pension Reform Act (PEPRA) of 2013 or older with 5 or more years of service.

Disability Retirement: Employees retiring directly from active status due to disability receive medical benefits commencing at retirement. Employees are eligible for Industrial Disability retirement at hire and for Non-Industrial Disability retirement after 5 years of CalPERS service.

Pre-retirement Death:

Safety Employees
Industrial Survivor receives medical benefits commencing immediatel y.

Non-Industrial Survivor receives medical benefits immediately if death occurs after member reaches age 50 with 5 years of service.

Miscellaneous Employees Survivor receives medical benefits immediately if death occurs after member reaches age 50 with 5 years of service.

Dependent Eligibility Dependents are not eligible for benefits.

Survivor Eligibility Survivors are eligible for be
nefits if the retiree elected a form of
coverage providing for continued pension payments to the retiree.

Benefits:

Medical Benefit Eligible retirees are prov ided a subsidy for medical benefits though PEHMCA. For the calendar year 2021, this monthly amount is $143.00 for certain classes of employees and $107.25 for remaining employees.

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 105 (20) Postemployment Benefits Other than Pensions (Continued) Contributions
The City cont
ributes the minimum amount allowed under Government Code Section 22825 of the PEMHCA enacted by CalPERS pursuant to State Law. The City’s required monthly contributions for calendar years 2021 and 2020 were $143 and $139, respectively. The statutory contribution will be indexed by the medical CPI each year. The required contribution is based on pay-as-you-go financing requirements. Retirees must contribute any premium amounts in excess of the City contribution. In fiscal year 2018, the City set aside $2 million in a Section 115 trust account, which was recognized as a reduction to the OPEB liability. The City has not made any contribution to the Section 115 trust account during fiscal year ended June 30, 2021.

Net OPEB Liability
The City’s net OPEB liability was measured as of June 30, 2021 and the total OPEB liability used to calculate the net
OPEB liability was determined by an ac tuarial valuation dated July 1, 2020, rolled forward to June 30, 2021, using standard updating procedures based on the following actuarial methods and assumptions:

Actuarial Cost Method Entry Age Normal – level percentage of pay-as-you-go basis Actuarial Assumptions
Discount Rate Pay-as-you
-go – 2.19% per annum
Inflation 2.50% per annum
Payroll Increases 2.75% per annum, plus salary merit increases Merit Increases Merit increases from the most recent CalPERS pension plan valuation.

The benefits are not payroll related but each individual’s projected cost is allocated over their lifetime as a level-percentage of pay.

Healthcare Trend Rate Based on recent premium experience assuming 1%-2% increase due to market trends then reduced to a rate reflecting medical price inflation Investment Rate of Return 5.0% per annum
Pre-retirement Turnover According to the termination rates under the 2017 experience study for the CalPERS pension plan [Rates have been updated to the CalPERS 2017 experience study from the 2014 experience study for the pension plan]
Mortality Rates Based on the 2014 CalPERS pension plan valuation Retirement Age According to the retirement rates under the most recent CalPERS pension plan valuation
Participation Rates 60% of eligible active employees are assumed to elect medical coverage at retirement. Future retirees are assumed to elect similar coverage as current retirees. Actual plan coverage is used for current retirees.

Spouse Coverage 50% of future retirees are assumed to elect coverage for their spouse.

Male spouses are assumed to be 3 years older than female spouses.

Actual spouse coverage and spouse ages are used for current retirees.

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 106 Annual Comprehensive Financial Report | June 30, 2021 (20) Postemployment Benefits Other than Pensions (Continued) The long-term expected rate
of return on OPEB plan investments was determined using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of OPEB plan investment expense and inflation) are developed for each major asset class. These ranges are combined to produce the long- term expected rate of return by weighting the expected fu ture real rates of return by the target asset allocation percentage and by adding expected inflation. Best estimates of arithmetic real rates of return for each major asset class included in the OPEB plan’s target asset allocation as of June 30, 2021 are summarized in the following table:

Long-term
Target Expected Real
Asset Class Allocation Rate of Return
Fixed Income 65.00% 4.00%
Equity 30.00% 7.70%
Cash 5.00% 2.40%
Total 100.00%
Long-term expected rate of return is 5.00%.

Changes in the OPEB Liability
AB C = A - B
Total OPEB Liability Plan Fiduciary Net
Position
Net OPEB
(Asset)/Liability
Balance at 6/30/2020 85,974,627$ 2,215,925$ 83,758,702$ Service Cost 4,253,500 - 4,253,500
Interest 2,364,686 - 2,364,686
Differences between Expected
and Actual Experience (553,234) - (553,234)
Changes of Assumptions 6,723,753 - 6,723,753
Contributions - Employer - 2,677,871 (2,677,871)
Net i nvestment income - 311,987 (311,987)
Benefit payments, net (2,677,871) (2,677,871) -
A dministrative Expe nse s - (6,208) 6,208
Net Changes 10,110,834 305,779 9,805,055
Balance at 6/30/2021 96,085,461$ 2,521,704$ 93,563,757$ Increase/(Decrease)
Changes Recognized for the
Measurement Period:

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 107 (20) Postemployment Benefits Other than Pensions (Continued) Sensitivity of the Net OPEB Liability to Changes in the Discount Rate The following presents the net OPEB liability of the City, calculated using the discount rate of 2.19%, as well as what the net OPEB would be if it
were calculated using a d iscount rate that is one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2021:
1% Decrease Current Discount Rate 1% Increase
(1.19%) (2.19%) (3.19%)
Ne t OPEB L iabilit y 110,673,544$ 93,563,756 $ 80,085,219$ Sensitivity of the Net OPEB Liability to Changes in Health Care Cost Trend Rates The following presents the net OPEB liability of the City if it were cal culated using health care cost trend rates that
are one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2021:

Current Healthcare
1% Decrease Cost Tre nd Rate s 1% Incre ase
(5.50% (6.50% (7.50%
decreasing to decreasing to decreasing to

3.50%) 4.50%) 5.50%)
Net OPEB Liability 77,362,776$ 93,563,756$ 114,890,075$

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 108 Annual Comprehensive Financial Report | June 30, 2021 (20) Postemployment Benefits Other than Pensions (Continued) OPEB Expense and Deferred Outflows/Inflows of Reso
urces Related to OPEB
For the fiscal year ended June 30
, 2021, the City recogniz ed OPEB expense of $8,395,325. As of fiscal year ended June 30, 2021, the City reported deferred outflows of re sources and deferred inflows of resources related to OPEB form the following sources:

Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Changes of assumption 14,109,178 $ (197,623) $
Differences between expected and actual experience - (5,037,291) Net difference between projected and actual earnings on OPEB plan investments - (171,869) Total 14,109,178$ (5,406,783) $
The $14,109,178 reported as
deferred outflows of resources and $5,406,783 reported as deferred inflows related to pensions will be recognized as pension expense as follows:

Deferred
Fiscal Year Ended Outflows/(Inflows) of
June 30 Resources
2022 1,881,576$
2023 2,079,639
2024 1,353,386
2025 645,346
2026 685,614
Thereafter 2,056,834
Total 8,702,395$

CITY OF PASADENA FINANCIAL SECTION NOTES TO THE BASIC FINANCIAL STATEMENTS Annual Comprehensive Financial Report | June 30, 2021 109 (21) Commitments and Contingencies
Primary Government
“Take or Pay” Contracts
The City’s electric operation has entered into various long term “Take or Pay” contracts to provide for current and future electri
c generating capacity and transmission of ener gy for City customers. The Ci ty is obligated to pay the amortized cost of indebtedness regardless of the ability of the contracting agency to provide electricity and/or transmission, as applicable. Th e original indebtedness will be amortized by adding the financing costs to purchase energy over the life of the contract. The contracts expire at various times through fiscal year 2036. The total commitment under these contracts as of June 30, 2021 is $124 million.

Additional financial information on the SCPPA may be obtained by contacting the City of Pasadena Department of Water and Power at 150 South Los Robles, Suite 200, Pasadena, CA 91101.

Stranded Investments
In response to California Assembly Bill 1890 (“AB1890”), the City chose to open its market to competition on January
1, 2000. The City has long-term contracts with IPA and SCPPA, most of which obligate the City to purchase power and/or services at cost, which was projected to be higher than market in a deregulated environment. As a result, the City was faced with a “stranded investment” with a net present value estimated to be approximately $63.4 million in 2021. The City has implemented the approved Stranded Investment Utilization Plan by direct defeasance of the debt service of IPP outstanding bonds and mitigation of variable energy costs.

Additional information related to IPA and SCPPA is available online from Water and Power Department’s website or may be obtained by contacting the department at 150 South Los Robles, Suite 200, Pasadena, CA 91101.

Lawsuits and Claims
A number of suits and claims are pending against the City arising in the normal course of operations. In the opinion of management, the results of such legal actions will not have a material adverse effect on the financial position or results of oper
ations of the City.

In 2017, the City was served with a class action lawsuit entitled Komesar v. City of Pasadena, which generally asserted that the City’s electric utility rates ar e more than reasonably necessary to operate the utility to the extent they finance the City’s annual Charter-authorized transfers from the Light & Power Fund to the General Fund, which was $18.0 million for fiscal year 2021. The lawsuit sought a refund of the transf erred funds. In February 2021, a Los Angeles County Superior Court judge granted the City's Motion for Summary Judgment, adopting the City’s view that the transfers are authorized by the voter-approved Charter provisions. Plaintiff appealed the decision, but dismissed her appeal shortly thereafter, ending the litigation in the City's favor, which allows th e transfers to continue, as allowed by the Charter.

Other
Certain federal and state revenues are received for specif ic purposes and are subject to audit by the grantor
agencies. City management is of the op inion that adjustments, if any, resulting from such audits will not be significant.

NOTES TO THE BASIC FINANCIAL STATEMENTS FINANCIAL SECTION CITY OF PASADENA 110 Annual Comprehensive Financial Report | June 30, 2021 (22) Restatement of Beginning Net Position and Fund Balance The City adopted the provision of the Governmental Accounting Standard Board (GASB) Statement No. 84, Fiduciary
Activities, which became effective during the year ended June 30, 2021. The intention of this Statement is to improve guidance regarding the identification of fiduciary activities for accounting and financial reporting purposes and how those activities should be reported.

The implementation of the Statement required the City to record prior period adjustments. As a result, the beginning net positions of the Custodial Funds were restated and decreased to a net deficit by $1,281,967. (23) Subsequent Events
Subsequent events were evaluated thro
ugh the date of the audit report.

Water Revenue/Refunding Bonds, 2021A Series
On September 20, 2021 the City Council a
uthorized th e issuance of Pasadena Water Revenue/Refunding Series 2021A Bonds. The 2021A Bonds were issued to provide moneys, together with certain other available funds, to (1) refund substantially all of the City’s Water Revenue Refu nding Bonds, 2011A Series in the outstanding amount of $12,645,000, (2) finance the costs of acquisition and construction fund of certain capital improvements to the Water System in the amount of $15,000,000, (3) make an additi onal deposit to the Parity Reserve Fund, and (4) pay costs of issuance of the 2021A Bonds.

American Rescue Plan Act (ARPA)
ARPA is a $1.9 trillion economic stimulus bill signed into la w by the President on March 11, 2021.

Within the ARPA
total allocation is $350 billion for state, local, territori al, and Tribal governments to respond to the COVID-19 e m e r ge n cy. T h e C i t y o f P a s a d e n a ’s a l l o ca t i o n o f d i r e c t l ocal stimulus is $52,625,975 with the first 50 percent of $26,312,987 paid to the City in June 2021. The remaining balance will be paid in June 2022.

REQUIRED SUPPLEMENTARY INFORMATION
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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112

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual General Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Taxes 178 ,716,468$ 178,716,468 181,231,144 2,514,676$ Licens es a nd permits 4,618,380 4,618,380 3,468,341 (1,150,039) Inter governmental revenues 20,904,469 22,524,644 24,489,916 1,965,272 C har ges for ser v ic es 42 ,1 2 3 ,2 46 42,169,246 35,761,861 (6,407,385) Fines and forfeits 7,153,000 7,153,000 3,490,959 (3,662,041) Inv estment e
arnin gs1 ,281,693 1,281,693 1,950,907 669,214
Rental income 902,400 902,400 832,562 (69,838)
Miscella
neous revenues 1,517,994 1,607,994 2,417,226 809,232 Contributions 27,620 27,620 27,620 -
Total revenues 257,245,271 259,001,446 253,670,536 (5,330,910) Expenditures:

General government:

Ci ty Attorne y 8,828,541 9,280,354 9,938,023 (657,669) Ci ty Cl e rk 3,358,853 3,339,405 2,953,821 385,584 Ci ty Council 2,894,346 2,944,403 2,560,888 383,515 Ci ty Ma nager 5,674,776 5,738,238 5,376,523 361,715 Finance 13,249,479 13,387,788 13,276,467 111,321 Human Resources 4,601,925 4,588,567 4,231,777 356,790 Non-de pa rtmenta l 12,150,332 23,650,332 24,992,175 (1,341,843) Public safe
ty:

Fire 56 ,043,038 55,754,796 53,103,081 2,651,715 Pol i ce 86,805,178 88,030,029 83,514,668 4,515,361 Transportation:

Public Works and Trans porta tion 21,366,769 22,158,191 21,522,450 635,741 Culture and leisure:

Human Services and Recreation 22,667,113 25,923,647 22,944,588 2,979,059 Non-de pa rtmenta l - PCOC 7,365,000 7,365,000 4,301,870 3,063,130 Community development:

Plannin g and Permittin g 9,274,165 9,282,774 8,887,779 394,995 Capital outlay - - 137,228 (137,228)
Total expenditures 254,279,516 271,443,524 257,741,338 13,702,186 Excess (deficiency) of revenues over (under)
expenditures 2,965,755 (12,442,078) (4,070,802) 8,371,276 Other financing sources (uses):

Tr ansfer s in 19 ,640,438 22,337,914 22,538,963 201,049 Tra ns fers out (23,847,278) (20,763,270) (27,011,137) (6,247,867) Total other financing sources (uses) (4,206,840) 1,574,644 (4,472,174) (6,046,818) Change in fund balances (1,241,085) (10,867,434) (8,542,976) 2,324,458 Fund balances at be ginnin g of year 107,606,265 107,606,265 107,606,265 - Fund balances at end of year 106,365,180$ 96,738,831 99,063,289 2,324,458$ Budget
Annual Comprehensive Financial Report | June 30, 2021 113

REQUIRED SUPPLEMENTARY INFORMATION FINANCIAL SECTION CITY OF PASADENA Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Housing Successor Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Cha rges for serv ices 400$ 400 90 (310)$ Inv estment earnin gs- - 5,221 5,221 Rental income 12,660 12,660 61,741 49,081
M isc ellaneous r ev enues 1 6 9,094 169,094 298,958 129,864 Total revenues 182,154 182,154 366,010 183,856
Expenditures:

Current:

Communit y develo pment 3,771,309 3,824,862 515,321 3,309,541 Total expenditures 3,771,309 3,824,862 515,321 3,309,541 Excess (deficiency) of revenues over (under)
expenditures (3,589,155) (3,642,708) (149,311) 3,493,397 Change in fund balances (3,589,155) (3,642,708) (149,311) 3,493,397 Fund ba l a nce a t begi nni ng of yea r 7,033,181 7,033,181 7,033,181 - Fund balance at end of year 3,444,026$ 3 ,390,473 6,883,870 3,493,397$ Budget
114 Annual Comprehensive Financial Report | June 30, 2021

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Annual Comprehensive Financial Report | June 30, 2021 115 Notes to the Required Supplementary Information
Budgets and Budgetary Data
The City Council is required to adopt an annual budget resolution by Jun e 30 of each fiscal year. The budgets are
adopted on a basis that does not differ materially from GAAP.

An appropriated annual budget is legally adopted for the General and Special Revenue Governmental Funds. Annual appropriated budgets are not adopted for Debt Service Funds because bond indentures are used as the method for adequate budgetary control. Some Capital Projects Fund s have annual appropriated budgets. Control over some projects is maintained by means of an annual budget; others through a project-length capital improvement budget.

This project-length budget authorizes total expenditures over the durati on of a construction project, rather than year by year.

The City maintains budgetary controls to ensure compliance with legal provisions embodied in the appropriated budget approved by the City Council. The level of budgetary control (the level at which expenditures cannot legally exceed the appropriated amount) is the department level and within a single fund. The City Manager may authorize transfers of appropriations within a department so long as it is within a single fund. Supplemental appropriations during the year must be approved by the City Council. All unencumbered appropriations lapse at the end of the fiscal year. In order to be an encumbered appropriation there must be either an approved purchase order or contract in force as of June 30.

REQUIRED SUPPLEMENTARY INFORMATION FINANCIAL SECTION CITY OF PASADENA Schedule of Changes in the Net Pension Liability and Related Ratios CalPERS Pension Plans – Miscellaneous
Last Ten Fiscal Years1
Fiscal year ended June 30, 2021 June 30, 2020
Measurement period ended June 30, 2020 June 30, 2019
Total Pe nsion L iability:

Service cost 19,565,533$ 19,269,901 $
Inte re st on t ot al pe nsion liability 81,858,875 79,378,592 Changes of benefits - -
Changes of assumptions - -
Di fference between expected and actual experi ence (3,981,645) 5,491,637 Benefit payments, including refunds of
employee contributions (61,335,630) (58,915,135) N e t Change in Tot al Pe nsion L iabilit y 36,107,133 45,224,995 Total Pension Liability - Beginning of Year 1,169,746,075 1,124,521,080 Total Pension Liability - End of Year (a) 1,205,853,208$ 1,169,746,075$ Plan Fiduciary Net Position:

Contributions - employer 35,785,979$ 31,374,515$ Contributions - employee 8,895,269 8,840,701
Net investment i ncome 42,241,867 53,457,806
Benefit payments, including refunds of
employee contributions (61,335,630) (58,915,135) Net plan to plan resource movement - -
Administrative expense (1,211,394) (588,826)
Other miscellaneous income/(expense) - 1,921
Net Change in Plan Fiduciary Net Position 24,376,091 34,170,982 Plan Fiduciary Net Position - Beginning of Year 859,294,486 825,123,504 Plan Fiduciary Net Position - End of Year (b) 883,670,577$ 859,294,486$ Net Pension Liability - Ending (a)-(b) 322,182,631$ 310,451,589$ Plan fiduciary net position as a percentage of the
total pe nsion liabilit y 73.28% 73.46%
Covered payroll 116,645,392$ 112,847,855$
Ne t pe nsion liability as pe rce ntage of
covered payroll 276.21% 275.11%
Notes to Schedule:

Benefit Changes:

Changes in A ssumptions:

From fiscal year June 30, 2015 to June 30, 2016:

From fiscal year June 30, 2016 to June 30, 2017:

There were no significant changes in assumptions.

From fiscal year June 30, 2017 to June 30, 2018:

The discount rate was reduced from 7.65% to 7.15%.

For fiscal years ended 2019, 2020, and 2021:

There were no significant changes in assumptions.
1 GASB Statement No. 68, which requires ten years of history for this schedule, was implemented during fiscal year ended June 30, 2015. Additional ye ars will be adde d as the y be com e available in the future .

There were no changes in benefits.

GASB 68, paragraph 68 states that the long-term expected rate of return should be determined net of pension plan investment exp ense but without reduction for pension plan administrative expense. The discount rate of 7.50% used for the June 30, 2014 measurement date was net of administrative expenses. The discount rate of 7.65% used for the June 30, 2015 measurement date is without reduction of pensio n plan administrative expense.
116 Annual Comprehensive Financial Report | June 30, 2021

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Annual Comprehensive Financial Report | June 30, 2021 117 June 30, 2019 June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 June 30, 2014 19,070,473$ 18,792,979$ 16,452,420$ 16,518,922$ 17,348,789$ 76,248,959 74,168,164 72,631,606 70,707,742 68,656,376 - - - - -
(7,442,869) 59,447,425 - (16,681,849) -
(3,022,702) (11,333,020) (13,975,158) (14,487,681) - (55,364,250) (51,700,328) (49,268,669) (46,870,745) (44,238,909) 29,489,611 89,375,220 25,840,199 9,186,389 41,766,256 1,095,031,469 1,005,656,249 979,816,050 970,629,661 928,863,405 1,124,521,080$ 1,095,031,469$ 1,005,656,249$ 979,816,050$ 970,629,661$ 27,112,138$ 24,681,004$ 22,252,101$ 19,682,618$ 18,058,021$ 8,823,902 8,903,856 8,658,628 8,503,246 10,977,440 66,083,117 80,076,002 3,806,528 16,554,269 111,123,445 (55,364,250) (51,700,328) (49,268,669) (46,870,745) (44,238,909) (1,921) (482) (207) 704 -
(1,218,576) (1,064,667) (448,619) (828,526)
(2,314,097) - - - -
43,120,313 60,895,385 (15,000,238) (2,958,434) 95,919,997 782,003,191 721,
107,806 736,108,044 739,066,478 643,146,481
825,123,504$ 782,003,191$ 721,107,806$ 736,108,044$ 739,066,478$ 299,397,576$ 313,028,278$ 284,548,443$ 243,708,006$ 231,563,183$

73.38% 71.41% 71.71% 75.13% 76.14%
111,573,287$ 107,545,903$ 105,291,971$ 102,406,150$ 103,616,666$ 268.34% 291.06% 270.25% 237.98% 223.48%

REQUIRED SUPPLEMENTARY INFORMATION FINANCIAL SECTION CITY OF PASADENA 118 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Contributions
CalPERS Pension Plans – Miscellaneous
Last Ten Fiscal Years1
Fiscal year ended 2021 2020 2019
A ctuarially de te rm ine d contribution2 35,785,979$ 31,374,515$ 27,112,138$ Contributions in re lation to the actuarially
determined contribution (35,785,979) (31,374,515) (27,112,138) Contribution deficiency (excess) -$ -$ -$
Covered payroll 119,504,738$ 116,645,392$ 112,847,855$ Contributions as a percentage
of covered payroll 29.95% 26.90% 24.03%
Notes to Schedule:

Valuation Date 6/30/2019 6/30/2018 6/30/2017
Measurement Date 6/30/2020 6/30/2019 6/30/2018
Methods and Assumptions Used to Determine Contribution Rates:

Actuarial cost method Entry age Entry age Entry age
A sse t valuation m e thod Fair value Fair value Fair value Inflation 2.625% 2.625% 2.75%
Amortization method3
Salary incre ase s4
Investment rate of return5 7.25% 7.25% 7.375%
Retirement age6
Mortality 7
1 2
3 L e ve l pe rce ntage of payroll, close d.
4 Depending on age, service, and type of employment.
5 Net of pension plan investment expense, including inflation 6 The probabilities of retirement are based on the most recent CalPERS Experience Study adopted by the CalPERS Board. 7 Mortality assumptions are based on mortality rates resulting from the most recent CalPERS Experience Study adopted by the CalPE RS Board.

GASB Statement No. 68, which requires ten years of history for this schedule, was implemented during fiscal year ended June 30, 2015.

Additional years will be added as they become available in the future.

Empl oyers are assumed to make contri buti ons equal to the actuari l l y determi ned contri buti ons. However, some empl oyers may choose to make addi ti onal contri buti ons towards thei r unfunded l i abi l i ty. Empl oyer contri buti ons for such pl ans exceed the actuari al l y determined contributions.

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Annual Comprehensive Financial Report | June 30, 2021 119 2018 2017 2016 2015
24,681,004$ 22,252,101$ 19,682,618$ 18,058,021$ (24,681,004) (22,252,101) (19,682,618) (18,058,021) -$ -$ -$ -$
111,573,287$ 107,545,903$ 105,291,971$ 102,406,150$

22.12% 20.69% 18.69% 17.63%
6/30/2016 6/30/2015 6/30/2014 6/30/2013
6/30/2017 6/30/2016 6/30/2015 6/30/2014
Entry age Entry age Entry age Entry age
Fair value Fair value Fair value 15 Year
Smoothed
Market Method

2.75% 2.75% 2.75% 2.75%

7.50% 7.50% 7.50% 7.50%

REQUIRED SUPPLEMENTARY INFORMATION FINANCIAL SECTION CITY OF PASADENA 120 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Changes in the Net Pension Liability and Related Ratios CalPERS Pension Plans – Safety
Last Ten Fiscal Years1
Fiscal year ended June 30, 2021 June 30, 2020
Measurement peri od June 30, 2020 June 30, 2019
Total Pension L iability:

Service cost 13,264,435$ 12,763,700$
Inte re st on total pe nsion liability 47,906,317 45,653,513 Changes of benefit terms - -
Changes of assumptions - -
Di fference between expected and actual experi ence 1,037,581 4,033,593 Benefit payments, including refunds of
employee contributions (29,518,039) (26,876,788)
N e t Change in Total Pe nsion L iability 32,690,294 35,574,018 Total Pension Liability - Beginning of Year 677,107,639 641,533,621 Total Pension L iability - End of Ye ar (a) 709,797,933$ 677,107,639$ Plan Fiduciary Net Posi tion:

Contributions - employer 21,823,026$ 19,187,119$
Contributions - employee 4,616,959 4,382,598
N e t inve stm ent income 24,675,836 30,715,531
Benefit payments, including refunds of
employee contributions (29,518,039) (26,876,788)
Net plan to plan resource movement - -
Administrative expense (701,600) (335,831)
Other mi scel l aneous i ncome/(expens e) - 1,095
Net Change in Plan Fiduciary Net Position 20,896,182 27,073,724 Plan Fiduciary Net Position - Beginning of Year 497,675,230 470,601,506 Plan Fiduciary Net Position - End of Year (b) 518,571,412$ 497,675,230$ N e t Pe nsion L iability - Ending (a)-(b) 191,226,521$ 179,432,409$ Plan fiduciary net position as a percentage of the
total pe nsion liability 73.06% 73.50%
Covered payroll 47,456,523$ 46,443,734$
N e t pe nsion liability as pe rce ntage of
covered payroll 402.95% 386.34%
Notes to Schedule:

Benefit Changes:

Changes in Assumptions:

From fiscal year June 30, 2015 to June 30, 2016:

From fiscal year June 30, 2016 to June 30, 2017:

There were no significant changes in assumptions.

From fiscal year June 30, 2017 to June 30, 2018:

The discount rate was reduced from 7.65% to 7.15%.

For fiscal years ended 2019, 2020, and 2021:

There were no significant changes in assumptions.
1 GASB Statement No. 68, which requires ten years of history for this schedule, was implemented during fiscal year ended June 30, 2015.

Additional years will be added as they become available in the future.

There were no changes in benefits.

GASB 68, paragraph 68 states that the long-term expected rate of return should be determined net of pension plan investment exp ense but without reduction for pension plan administrative expense. The discount rate of 7.50% used for the June 30, 2014 measureme nt date was net of administrative expenses. The discount rate of 7.65% used for the June 30, 2015 measurement date is without red uction of pension plan administrative expense.

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Annual Comprehensive Financial Report | June 30, 2021 121 June 30, 2019 June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 June 30, 2014 12,756,843$ 12,323,779$ 10,508,643$ 10,701,701$ 11,182,155$ 43,215,347 41,004,210 39,393,555 37,307,299 35,798,456 - - - - -
(994,610) 36,546,793 - (9,887,742) -
2,172,478 (7,057,346) (634,242) (8,454,840) - (24,941,212) (22,653,545) (20,870,861) (19,142,925) (16,923,959) 32,208,846 60,163,891 28,397,095 10,523,493 30,056,652 609,324,775 549,160,884 520,763,789 510,240,296 480,183,644 641,533,621$ 609,324,775$ 549,160,884$ 520,763,789$ 510,240,296$ 16,541,698$ 15,279,240$ 13,026,190$ 12,026,962$ 10,533,400$ 4,197,458 4,056,265 3,803,804 3,764,101 4,225,771 37,156,382 44,322,546 2,093,377 8,834,410 59,051,934 (24,941,212) (22,653,545) (20,870,861) (19,142,925) (16,923,959) (1,095) - 207 - -
(685,071) (589,420) (244,639) (451,748) -
(1,300,962) - - 684,181 -
30,967,198 40,415,086 (2,191,922) 5,714,981 56,88 7,146 439,634,308 399,219,222 401,411,144 395,696,163 338,809,017 470,601,506$ 439,634,308$ 399,219,222$ 401,411,144$ 395,696,163$ 170,932,115$ 169,690,467$ 149,941,662$ 119,352,645$ 114,544,133$

73.36% 72.15% 72.70% 77.08% 77.55%
44,887,069$ 41,527,930$ 41,141,713$ 41,013,280$ 34,243,101$ 380.80% 408.62% 364.45% 291.01% 334.50%

REQUIRED SUPPLEMENTARY INFORMATION FINANCIAL SECTION CITY OF PASADENA 122 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Contributions
CalPERS Pension Plans – Safety
Last Ten Fiscal Years1
Fiscal year ended 2021 2020
A ctuarially de t e rmine d contribution2 21,823,026$ 19,187,119$ Contributions in re lation to the actuarially
determined contribution (21,823,026) (19,187,119)
Contribution deficiency (excess) -$ -$
Covered payroll 47,997,014$ 47,456,523$
Contributions as a percentage
of covered payroll 45.47% 40.43%
Notes to Schedule:

Valuation Date 6/30/2019 6/30/2018
Measurement Date 6/30/2020 6/30/2019
Methods and Assumptions Used to Determine Contribution Rates:

Actuarial cost method Entry age Entry age
A sse t valuation m e thod Fair value Fair value
Inflation 2.625% 2.625%
Amortization method3
Salary incre ase s4
Investment rate of return5 7.25% 7.25%
Retirement age6
Mortalit y7
1 2
3 Level percentage of payroll, closed.
4 Depending on age, service, and type of employment.
5 Net of pension plan investment expense, including inflation 6 7
The probabilities of retirement are based on the most recent CalPERS Experience Study adopted by the CalPERS Board.

Mortality assumptions are based on mortality rates resulting from the most recent CalPERS Experience Study adopted by the CalPERS Board.

Employers are assumed to make contributions equal to the actuarilly determined contributions. However, some employers may choose to make additional contributions towards their unfunded liability. Employer contributions for such plans exceed the actuarially determined contributions.

GASB Statement No. 68, which requires ten years of history for this schedule, was implemented during fiscal year ended June 30, 2015. Additional years will be added as they become available in the future.

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Annual Comprehensive Financial Report | June 30, 2021 123 2019 2018 2017 2016 2015
16,541,698$ 15,279,240$ 13,026,190$ 12,026,962$ 10,533,400$ (16,541,698) (15,279,240) (13,026,190) (12,026,962) (10,533,400) -$ -$ -$ -$ -$
46,443,734$ 44,887,069$ 41,527,930$ 41,141,713$ 41,013,280$

35.62% 34.04% 31.37% 29.23% 25.68%
6/30/2017 6/30/2016 6/30/2015 6/30/2014 6/30/2013
6/30/2018 6/30/2017 6/30/2016 6/30/2015 6/30/2014
Entry age Entry age Entry age Entry age Entry age
Fair value Fair value Fair value Fair value 15 Ye ar
Smoothed
Market Method

2.75% 2.75% 2.75% 2.75% 2.75%

7.375% 7.50% 7.50% 7.50% 7.50%

REQUIRED SUPPLEMENTARY INFORMATION FINANCIAL SECTION CITY OF PASADENA 124 Annual Comprehensive Financial Report | June 30, 2021 Fire and Police Retirement System
Schedule of Changes in the Net Pension Liability and Related Ratios Last Ten Fiscal Years1
Fiscal year ended June 30, 2021 June 30, 2020
Measurement period June 30, 2021 June 30, 2020
Total Pe nsion L iability:

Inte re st on total pe nsion liability 7,335,000 $ 7,600,000 $ Di fferences between expected and actual experi ence (1,798,000) 438,000 Changes of assumptions - -
Changes of benefits - -
Benefit payments, including refunds of
employee contributions (12,506,000) (12,773,000) Ne t Change in Total Pe nsion L iability (6,969,000) (4,735,000) Total Pe nsion L iability - Be ginning of Ye ar 133,821,000 138,556,000 Total Pe nsion L iability - End of Ye ar (a) 126,852,000$ 133,821,000$ Plan Fiduciary Net Position:

Contributions - employer -$ 23,137,000$
Contributions - employee - -
N e t inve st m e nt incom e 22,355,000 3,394,000 Benefit payments, including refunds of
employee contributions (12,506,000) (12,773,000) Administrative expense (327,000) (321,000)
Net Change in Plan Fiduciary Net Position 9,522,000 13,437,000 Plan Fiduciary Net Position - Beginning of Year 125,211,000 111,774,000 Plan Fiduciary Net Position - End of Year (b) 134,733,000$ 125,211,000$ Net Pension Liability - Ending (a)-(b) (7,881,000)$ 8,610,000$ Plan fiduciary net position as a percentage of the
total pe nsion liability 106.21% 93.57%
Notes to Schedule:
1 GASB Statement No. 68, which requires ten years of history for this schedule, was implemented during fiscal year ended June 30, 2015. Additional years w ill be adde d as the y be com e available in the future .

Changes of Assumptions: Fiscal years ended 2019, 2020, and 2021 had no significant changes of assumptions. June 30, 2018 assumption changes of $2,189,000 for change in the discount rate, from 6.50% in 2017 to 5.75% in 2018, and inflation rate, from 3.00% in 2017 to 2.75% in 2018. June 30, 2015 assumption changes of $1,895,000 for change in base mortality rates, $8,301,000 for change in mortality improvements scale, and ($7,055,000) for change in the discount rate.

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Annual Comprehensive Financial Report | June 30, 2021 125 June 30, 2019 June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 June 30, 2019 June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 7,781,000$ 8,832,000$ 9,272,000$ 9,644,000$ 9,162,000$ 1,862,000 1,261,000 (3,081,000) (2,098,000) (3,075,000) - 2,189,000 - - 3,141,000
- - - - -
(12,824,000) (12,815,000) (13,118,000) (13,448,000) (13,645,000) (3,181,000) (533,000) (6,927,000) (5,902,000) (4,417,000) 141,737,000 142,270,000 149,197,000 155,099,000 159,516,000 138,556,000$ 141,737,000$ 142,270,000$ 149,197,000$ 155,099,000$ -$ -$ -$ -$ -$
- - - - -
5,923,000 6,656,000 12,512,000 50,000 5,683,000 (12,824,000) (12,815,000) (13,118,000) (13,448,000) (13,645,000) (257,000) (272,000) (300,000) (302,000) (273,000) (7,158,000) (6,431,000) (906,000) (13,700,000) (8,235,000) 118,932,000 125,363,000 126,269,000 139,969,000 148,204,000 111,774,000$ 118,932,000$ 125,363,000$ 126,269,000$ 139,969,000$ 26,782,000$ 22,805,000$ 16,907,000$ 22,928,000$ 15,130 ,000$

80.67% 83.91% 88.12% 84.63% 90.24%

REQUIRED SUPPLEMENTARY INFORMATION FINANCIAL SECTION CITY OF PASADENA 126 Annual Comprehensive Financial Report | June 30, 2021 Fire and Police Retirement System
Schedule of Plan Contributions
As of June 30 for the Last Ten Fiscal Years1
Actuarially Actual Contribution as
Fiscal Year Determined Fiscal Year Deficiency Covered a Percentage of Ending Contribution* Contribution (Excess) Payroll Payroll 6/30/2021 -$ -$ -$ n/a n/a
6/30/2020 3,478,000 23,137,000 (19,659,000) n/a n/a 6/30/2019 - - - n/a n/a
6/30/2018 - - - n/a n/a
6/30/2017 - - - n/a n/a
6/30/2016 - - - n/a n/a
6/30/2015 - - - n/a n/a
Note to Schedule:
1 * Actuarially determined contribution based on Board-adopted assumptions for use in preparing the valuation, and as required by applicable Contribution Agreement with the City. Additional years will be presented as they become available.

GASB Statement No. 68, which requires ten years of history for this schedule, was implemented during fiscal year ended June 30, 2015. Additional years will be added as they become available in the future.

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Annual Comprehensive Financial Report | June 30, 2021 127 Schedule of Changes in the Net OPEB Liability and Related Ratios As of June 30 for the Last Ten Fiscal Years1
Fiscal year ended 2021 2020 2019 2018
Total OPEB Liability
Service cost 4,253,500 $ 3,567,267 $ 3,216,534 $ 3,178,096 $ Interest on the total OPEB liability 2,364,686 2,560,523 2,596,030 2,447,926 Differences between expected and actual experience (553,234) (7,575,879) - - Changes in assumptions 6,723,752 11,111,122 3,664,587 (988,115) Benefit payments (2,677,871) (2,815,139) (2,612,362) (2,391,366) Net change in Total OPEB Liability 10,110,833 6,847,894 6,864,789 2,246,541 Total OPEB liability - beginning 85,974,627 79,126,733 72,261,944 70,015,403 Total OPEB liability - ending (a) 96,085,460$ 85,974,627$ 79,126,733$ 72,261,944$ Plan Fiduciary Net Position
Contribution - employer 2,677,871$ 2,815,139$ 2,612,362$ 4,391,366$ Net investment income 311,987 101,072 133,177 2,193 Benefit payments (2,677,871) (2,815,139) (2,612,362) (2,391,366) Administrative expense (6,208) (10,840) (9,677) - Net change in plan fiduciary net position 305,779 90,232 123,500 2,002,193 Plan fiduciary net position - beginning 2,215,925 2,125,693 2,002,193 - Plan fiduciary net position - ending (b) 2,521,704$ 2,215,925$ 2,125,693$ 2,002,193$ Net OPEB Liability/(Assets) - ending (a) - (b) 93,563,756$ 83,758,702$ 77,001,040$ 70,259,751$ Plan fiduciary net position as a percentage of the
total OPEB liability 2.62% 2.58% 2.69% 2.77%
Covered - employee payroll 167,501,752$ 164,101,914 $ 134,733,594 $ 130,809,315 $ Net OPEB Liability as percentage of covered-
employee payroll 55.86% 51.04% 57.15% 53.71%
Note to
Schedule:
1 Fiscal year 2018 was the first year of implementation, therefore only four years are shown.

REQUIRED SUPPLEMENTARY INFORMATION FINANCIAL SECTION CITY OF PASADENA 128 Annual Comprehensive Financial Report | June 30, 2021 Schedule of OPEB Plan Contributions
As of June 30, for the Last Ten Fiscal Years1
2021 2020 2019 2018
2,677,871$ 2,815,139$ 2,612,362$ 2,391,366$ (2,677,871) (2,815,139) (2,612,362) (4,391,366) -$ -$ -$ (2,000,000)$
167,501,752$ 164,101,914$ 134,733,594$ 130,809,315$

1.60% 1.72% 1.94% 1.83%
Note to Schedule:
1 Fiscal year 2018 was the first year of implementation, therefore only four years are shown.

Covered employee payroll
Contributions as a percentage of covered-employee payroll Contractually determined contribution
Contribution in relation to the contractually determined contributions Contribution deficiency/(excess)

CITY OF PASADENA FINANCIAL SECTION REQUIRED SUPPLEMENTARY INFORMATION Annual Comprehensive Financial Report | June 30, 2021 129 Schedule of OPEB Plan Investment Returns
As of June 30, for the Last Ten Fiscal Years1
Fiscal year ended June 30, 2021 June 30, 2020 June 30, 2019 June 30, 2018

13.80% 4.29% 6.15% 0.00%
Note to Schedule:
1 Fiscal year 2018 was the first year of implementation, therefore only four years are shown.

Weighted average investment return rates

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130

ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

SUPPLEMENTARY INFORMATION

NON-MAJOR GOVERNMENTAL FUNDS SUPPLEMENTARY INFORMATION CITY OF PASADENA 132 Annual Comprehensive Financial Report | June 30, 2021 Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2021

Special 2015 Series A Ca pital
Revenue Refundin g COP Pro jects Permanent
Funds Debt Service Funds Funds Total
Assets:

Pooled cash and investments 128 ,089,244$ - 30 ,507,076 2 ,108,942 160 ,705,262$ Accounts recei vabl e 18 ,169,755 - 87,560 6 ,304 18 ,263,619 Notes receivable 53 ,322,822 - - - 53 ,322,822 Prepaids and other assets 116,266 - - - 116,266 Allowanc e for unc ollec tible lon g-term receivables (53,322,822) - - - (53,322,822) Restricted assets:

Cash and investments 2 ,887,436 2,887,436
Cash with fiscal a gent 742,886 8,208,531 - - 8,951,417 Pro perty held for resale 867,166 - - - 867,166 Total assets 150,872,753$ 8,208,531 30,594,636 2 ,115,246 191 ,791,166$ Liabilities, deferred inflow of resources and
fund balances:

Liabilities:

Accounts payable and accrued liabilities 5 ,078,562 - 28,473 - 5 ,107,035 De posits 679,750 - - - 679,750 Due to other funds 9 ,024,239 - - - 9,024,239 Unearned rev enue 2 ,446,109 - - - 2,446,109 Total liabilities 17,228,660 - 28,473 - 17 ,257,133 Deferred inflows of resources:

Unavailable revenues 6,996,867 - - - 6,996,867 Total deferred inflow of resources 6,996,867 - - - 6,996,867 Fund balances:

Nons pendable 116,266 - - 1,434,131 1 ,550,397 Restricted 51 ,626,693 8,208,531 2,048,731 606 ,483 62 ,490,438 Committed 82 ,726,849 - 28 ,517,432 74 ,632 111 ,318,913 Unassi gned (7,822,582) - - - (7,822,582) Total fund balances 126,647,226 8,208,531 30,566,163 2 ,115,246 167 ,537,166 Total liabilities, deferred inflow of resources and
fund balances 150,872,753$ 8,208,531 30,594,636 2,115,246 191,791,166$

CITY OF PASADENA SUPPLEMENTARY INFORMATION NO N-MAJOR GOVERNMENTAL FUNDS Annual Comprehensive Financial Report | June 30, 2021 133 Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
June 30, 2021

Special 2015 Series A Ca pital
Revenue Refundin g COP Pro jects Permanent
Funds Debt Service Funds Funds Total
Revenues:

Taxes 7 ,812,758$ - - - 7 ,812,758$ Licenses and permits 9,322,874 - - - 9 ,322,874 Inter governmental revenues 58,066,340 - - - 58 ,066,340 Cha rges for s ervi ces 9,996,166 - 205,776 - 10 ,201,942 Inv estment earnin gs4 97,260 (152,249) 138,432 8 ,095 491,538 Rental income 2,357,939 - - - 2 ,357,939 M isc ellaneous r ev enues 3,055,307 - 20,952 - 3 ,076,259 Contributions 1,037,232 - 1,551,313 - 2 ,588,545 Total revenues 92,145,876 (152,249) 1,916,473 8 ,095 93,918,195 Expenditures:

Current:

General government - 3,700 28,473 - 32 ,173 Publ i c s a fety 2,166,047 - - - 2 ,166,047 Trans portation 14,989,724 - - - 14 ,989,724 Utilit y 171,217 - - - 171,217 Sanitation 4,643,131 - - - 4 ,643,131 Health 16,265,484 - - - 16 ,265,484 C ultur e and leisur e 1 3,935,969 - - - 13 ,935,969 Communit y develo pment 38,544,007 - - - 38 ,544,007 Debt service:

Pri ncipa l reti rement 300,000 1,995,000 - - 2 ,295,000 Interest 139 ,428 2,304,900 - - 2 ,444,328 Total expenditures 91,155,007 4,303,600 28,473 - 95 ,487,080 Excess (deficiency) of revenues over
(under) expenditures 990,869 (4,455,849) 1,888,000 8,095 (1,568,885) Other financing sources (uses):

Transfers in 13 ,615,736 4,303,595 - - 17 ,919,331 Transfers out (15,891,214) - (5,396,878) - (21,288,092) Total other financing sources (uses) (2,275,478) 4,303,595 (5,396,878) - (3,368,761) Change in fund balances (1,284,609) (152,254) (3,508,878) 8,095 (4,937,646) Fund ba l a nces a t begi nni ng of yea r 127,931,835 8,360,785 34,075,041 2,107,151 172,474,812 Fund balances at end of year 126,647,226$ 8,208,531 30,566,163 2,115,246 167,537,166$

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134

SPECIAL REVENUE FUNDS
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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136

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS Annual Compr ehensive Financial Report | June 30, 2021 137

NON-MAJOR GOVERNMENTAL FUNDS

SPECIAL REVENUE FUNDS
Special revenue funds are
used to account for specific re venues that are legally rest ricted to expenditure for particular purposes. In a governmental fund other than the general fund, expenditures incurred for a specific purpose might exceed the amounts in the fund that are restricted, committed, and assigned to that purpose and a negative residual balance for that purpose may result. If that occurs, amount assigned to other purposes in that fund should be reduced to eliminate the deficit. If the remaining deficit eliminates all other assigned amounts in the fund, or if there are no amounts assigned to other purposes, the negative residual amount should be classified as unassigned fund balance.

Public Safety Fund - to account for revenue received from State AB3229 funds, the 1/2-cent sales tax approved by the voters in November 1993, money received by the Police Department from forfeited cash and other tangible property seized under the Federal Comprehensive Crime Control Act of 1984 and grants received from the Homeland Security Grant Program.

Health Fund - to account for all grants received for the pr ovision of health services which ar e restricted by grant award agreements.

Building Services Fund - to account for fees col lected and restricted to the operations of the Permit Center.

Sewer Construction and Maintenance Fund - to account for revenue received from sewer use and storm drain charges restricted for the construction and maintenance of the City's sewer system. This includes the use of revenue derived from a special parcel tax (Measure W) approved by voters for improving water quality, recapturing, treating, and recycling stormwater in Los Angeles County.

Underground Utilities Fund - to account for revenue rece ived from the underground surtax on sales of electric energy restricted for the extension, conversion, replacement and repair of underground utility lines.

Transportation Fund - to account for the use of revenue derived from the 1/2-cent sales tax approved by voters, state gasoline tax, sales tax collected for bikeways and pedestrian facilities, and State AB2928 traffic congestion relief, all of which are restricted for construction, maintenance, preservation and rehabilitation of the City’s street and road system.

Library Fund - to account for the operations of the City's public libraries and the library special tax approved by the voters on June 22, 1993 and restricted for Library use.

Parking Fund - to account for revenue derived from on-o ff street parking, zoni ng credits, parking and business improvement tax, parking space rental and leases, and on-street parking meters. These funds are restricted for use in the various enterprise zones of the City.

Air Quality Improvement Fund - to account for the use of revenue derived from a fee added to the motor vehicle registration fee for reducing air pollution in accordance with the California Government Code (AB2766).

Housing and Community Development Fund - to account for the use of Community Develop ment Block Grant and
other U.S. Department of Housing and Urban Development programs restricted for housing and community development.

Donated Funds - to account for principal and interest on funds donated to the City for expressed and exp endable purposes.

138 Annual Comprehensive Financial Report | June 30, 2021 Combining Balance Sheet
Non-Major Governmental Funds
Special Revenue Funds
June 30, 2021
Sewer
Construction
Public Buildin g and Under ground
Safety Health Services Maintenance Utilities
Assets:

C ash and inv estments 3,330,688$ 350,000 16,598,526 11,735,736 40,046,532 Accounts recei va bl e 415,991 3,645,336 77,182 2,176,902 630,603 Prepaids and other assets - 17,352 - - -
Notes r ec eiv able - - - - -
Allowanc e for unc ollec tible long-ter m r ec eiv ables - - - - - Restricted assets:

C ash and inv est ment s - - - - -
Cash with fiscal a gent - 225,224 - - -
Property hel d for res a l e - - - - -
Total assets 3,746,679 4,237,912 16,675,708 13,912,638 40,677,135 Liabilities, deferred inflow of resources
and fund balances:

Liabilities:

Accounts payable and accrued liabilities 26,903 448,759 541,011 31,245 - Deposits - 79 57,966 - -
Due to other funds - 9,024,239 - - -
Unearned rev enue - 227,218 973,616 - -
Total liabilities 26,903 9,700,295 1,572,593 31,245 - Deferred inflows of resources:

Unav ailable r ev enues 3 1,955 653,149 - - -
Total deferred inflow of resources 31,955 653,149 - - - Fund balances:

Nons pendable - 17,352 - - -
Restricted 3,687,821 - - - -
Committed - - 15 ,103,115 13,881,393 40,677,135 Unassi gned - (6,132,884) - - -
Tota
l fund balances (deficit) 3,687,821 (6,115,532) 15,103,115 13,881,393 40,677,135 Total liabilities, deferred inflow of resources
and fund balances 3,746,679$ 4,237,912 16,675,708 13,912,638 40,677,135

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 139 Housing and
Air Quality Community Donated
Transportation Librar y Parking Improvement Develo pment Funds Total 28,703,196 9,886,220 3,751,208 72,131 10,360,324 3,254,683 128,089,244$ 3,217,842 81,521 36,714 48,264 7,835,898 3,502 18,169,755 - - - - 98,914 - 116,266
- - - - 53 ,322,822 - 53,322,822 - - - - (53,322,822) - (53,322,822) - - - - 2,887,436 - 2,887,436 - - - - 517,662 - 742,886
- - - - 867,166 - 867,166
31,921,038 9,967,741 3,787,922 120,395 22,567,400 3,258,185 150,872,753 1,209,287 194,916 493,936 3,310 2,025,989 103,206 5,078,562 - 1,605 - - 1,000 619,100 679,750
- - - - - - 9,024,239
- - - - 1,245,275 - 2,446,109
1,209,287 196,521 493,936 3,310 3,272,264 722,306 17,228,660 424,486 - - - 5,887,277 - 6,996,867 424,486 - - - 5,887,277 - 6,996,867 - - - - 98,914 - 116,266
30,287,265 - - 117,085 14,998,643 2,535,879 51,626,693 - 9,771,220 3,293,986 - - - 82,726,849 - - - - (1,689,698) - (7,822,582)
30,287,265 9,771,220 3,293,986 117,085 13,407,859 2,535,879 126,647,226 31,921,038 9,967,741 3,787,922 120,395 22,567,400 3,258,185 150,872,753$

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

140 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Revenues, Expenditures and Changes in Fund Balance Non-Major Governmental Funds
Special Revenue Funds
For the Fiscal Year Ended June 30, 2021
Sewer
Construction
Public Building and Underground
Safety Health Services Maintenance Utilities
Revenues:

Taxes -$ 877 ,619 - - 4,093,664
Licenses and permits - 1 ,387,243 7,935,631 - -
Inter gov ernmental rev enues 3,107,767 11,725,778 457,675 1,536,502 - Cha rges for serv ices - 432 ,994 1,098,140 7,320,573 - Inv estment earnin gs1 1,189 221 67,616 46,510 166,587 Rental income - 252,199 - - -
M isc ellaneous r ev enues 4,524 121,021 68,361 - - Contributions - - - - -
Total revenues 3,123,480 14,797,075 9,627,423 8,903,585 4,260,251 Expenditures:

Current:

P ublic safety 2,166,047 - - - -
Trans portation - - - - -
Utilit y 171,217
Sa nitation - - - 4,643,131 -
Health - 16 ,265,484 - - -
C ultur e and leisur e - - - - -
Communi ty develo pment - - 9,812,611 - -
Debt service:

Pri ncipal r et ir ement - - - - -
Interest - - - - -
Total expenditures 2,166,047 16,265,484 9,812,611 4,643,131 171,217 Excess (deficiency) of revenues over (under)
expenditures 957,433 (1,468,409) (185,188) 4,260,454 4,089,034 Other financing sources (uses):

Transfers in - 502,172 - - -
Transfers out (780,026) - (192,815) (2,999,179) (6,027,982) Total other
financing sources (uses) (780,026) 502,172 (192,815) (2,999,179) (6,027,982) Change in fund balances 177,407 (966,237) (378,003) 1,261,275 (1,938,948) Fund balance
s (deficit ) at be ginnin g of year 3 ,510,414 (5,149,295) 15,481,118 12,620,118 42,616,083 Fund balances (deficit) at end of year 3,687,821$ (6,115,532) 15,103,115 13,881,393 40,677,135

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 141 Housing and
Air Quality Community Donated
Transportation Librar y Parking Improvement Develo pment Funds Total - 2,830,744 10,731 - - - 7,812,758$
- - - - - - 9,322,874
17,792,821 254,200 - 189,132 23,002,465 - 58,066,340 1,036,751 984 98,759 - 7,965 - 9,996,166 100,347 30,882 16,527 1,668 41,875 13,838 497,260 - 56,534 2,035,884 - 13,322 - 2,357,939
586,336 112,219 2,798 - 2,160,048 - 3,055,307 - - - - - 1,037,232 1,037,232
19,516,255 3,285,563 2,164,699 190,800 25,225,675 1,051,070 92,145,876 - - - - - - 2,166,047
11,800,665 - 2,992,083 196,976 - - 14,989,724 171,217
- - - - - - 4,643,131
- - - - - - 16,265,484
- 13,106,832 - - - 829,137 13,935,969 - - - - 28 ,731,396 - 38,544,007 - - - - 300,000 - 300,000
- - - - 139,428 - 139,428
11,800,665 13,106,832 2,992,083 196,976 29,170,824 829,137 91,155,007 7,715,590 (9,821,269) (827,384) (6,176) (3,945,149) 221,933 990,869 378,994 11,184,932 - - 1,549,638 - 13,615,736 (5,030,222) (93,275) (57,113) - (710,602) - (15,891,214) (4,651,228) 11,091,657 (57,113) - 839,036 - (2,275,478) 3,064,362 1,270,388 (884,497) (6,176) (3,106,113) 221,933 (1,284,609) 27,222,903 8,500,832 4,178,483 123,261 16,513,972 2,313,946 127,931,835 30,287,265 9,771,220 3,293,986 117,085 13,407,859 2,535,879 126,647,226$

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

142 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Public Safety Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Inter governmental revenues 2,122,500$ 2,272,937 3,107,767 834,830$ Inv estment earnin gs4 8,156 48,156 11,189 (36,967) M isc ellan
eous r ev enues - - 4,524 4,524
Total revenues 2,170,656 2,321,093 3,123,480 802,387 Expenditures:

Current:

Publ i c s a fety 2,766,528 2,916,965 2,166,047 750,918 Total expenditures 2,766,528 2,916,965 2,166,047 750,918 Excess (deficiency) of revenues over
(under) expenditures (595,872) (595,872) 957,433 1,553,305 Other financing sources (uses):

Transfers out - (55,000) (780,026) (725,026)
Total othe
r financing sources (uses) - (55,000) (780,026) (725,026) Change in fund balances (595,872) (650,872) 177,407 828,279 Fund balance at be ginnin g of year 3,510,414 3,510,414 3,510,414 - Fund balance at end of year 2,914,542$ 2,859,542 3,687,821 828,279$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 143 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Health Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Taxes 804,075$ 804 ,075 877,619 73,544$
Licenses and permits 2,131,137 1,781,137 1,387,243 (393,894) Inter governmental revenues 10,814,267 15,502,609 11,725,778 (3,776,831) Cha rges for serv ices 607,040 607,040 432,994 (174,046) Inv estme
nt earnin gs- - 221 221
Rental income 210,093 210,093 252,199 42,106 M isc ellaneous r ev enues - - 121,021 121,021
Total revenues 14,566,612 18,904,954 14,797,075 (4,107,879) Expenditures:

Current:

Health 15 ,521,340 19,926,182 16,265,484 3,660,698 Total expenditures 15,521,340 19,926,182 16,265,484 3,660,698 Excess (deficiency) of revenues over
(under) expenditures (954,728) (1,021,228) (1,468,409) (447,181) Other financing sources:

Transfers in 50,000 116,500 502,172 385,672 Total other financing sources 50,000 116,500 502,172 385,672 Change in fund balances (904,728) (904,728) (966,237) (61,509) Fund balanc
e (deficit) at
beginning of year (5,149,295) (5,149,295) (5,149,295) - Fund balance (deficit) at end of year (6,054,023)$ (6,054,023) (6,115,532) (61,509)$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

144 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Building Services Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Licenses and permits 7,360,000$ 7 ,360,000 7,935,631 575,631$ Inter governmental revenues 345,000 345,000 457,675 112,675 Cha rges for serv ices 1,900,000 1,900,000 1,098,140 (801,860) Inv estme
nt earnin gs 293,799 293,799 67,616 (226,183) M isc ella
neous r ev enues 6 0,000 60,000 68,361 8,361 Total revenues 9,958,799 9,958,799 9,627,423 (331,376) Expenditures:

Current:

Communit y develo pment 11,472,514 11,472,514 9 ,812,611 1,659,903 Total expenditures 11,472,514 11,472,514 9,812,611 1,659,903 Excess (deficiency) of revenues over
(under) expenditures (1,513,715) (1,513,715) (185,188) 1,328,527 Other financing sources (uses):

Transfers out - (1,500,000) (192,815) 1,307,185
Total other financing sources (uses) - (1,500,000) (192,815) 1,307,185 Change in fund balances (1,513,715) (3,013,715) (378,003) 2,635,712 Fund ba l a nce a t begi nni ng of yea r 15,481,118 15,481,118 15,481,118 - Fund balance at end of year 13,967,403$ 12,467,403 15,103,115 2,635,712$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 145 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Sewer Construction and Maintenance Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Inter gov ernmental rev enues -$ - 1,536,502 1,536,502$ Cha rges for s ervi ces 7,448,573 7,448,573 7,320,573 (128,000) Inv est
ment earnin gs 187,577 187,577 46,510 (141,067)
Tota
l revenues 7,636,149 7,636,149 8,903,585 1,267,436 Expenditures:

Current:

Sa nita tion 4,825,512 4,825,512 4,643,131 182,381 Total expenditures 4,825,512 4,825,512 4,643,131 182,381 Excess (deficiency) of revenues over
(under) expenditures 2,810,637 2,810,637 4,260,454 1,449,817 Other financing sources (uses):

Transfers out - (5,738,136) (2,999,179) 2,738,957 Total other financing sources (uses) - (5,738,136) (2,999,179) 2,738,957 Change in fund balances 2,810,637 (2,927,499) 1,261,275 4,188,774 Fund balance at be ginnin g of year 12,620,118 12,620,118 12,620,118 - Fund balance at end of year 15,430,755$ 9,692,619 13,881,393 4,188,774$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

146 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Underground Utilities Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Taxes -$ - 4,093,664 4,093,664$
Inv estment earnin gs 848,976 848,976 166,587 (682,389) Total re
venues 848,976 848,976 4,260,251 3,411,275
Expenditures:

Current:

Utilit y 124,195 124,195 171,217 (47,022)
Total expenditures 124,195 124,195 171,217 (47,022) Excess (def
iciency) of revenues over
(under) expenditures 724,781 724,781 4,089,034 3,364,253 Other financing sources (uses):

Transfers out (5,853,060) (6,303,060) (6,027,982) 275,078 Total other financing sources (uses) (5,853,060) (6,303,060) (6,027,982) 275,078 Change in fund balances (5,128,279) (5,578,279) (1,938,948) 3,639,331 Fund balance at be ginnin g of year 42,616,083 42,616,083 42,616,083 - Fund balance at end of year 37,487,804$ 37,037,804 40,677,135 3,639,331$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 147 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Transportation Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Inter governmental revenues 17,497,092$ 17,459,352 17,792,821 333,469$ Cha rges for s ervi ces 1,042,050 1,042,050 1,036,751 (5,299) Inv estme
nt earnin gs 346,305 346,305 100,347 (245,958)
M isc ella
neous r ev enues 1,449,265 1,449,265 586,336 (862,929) Total r
evenues 20,334,712 20,296,972 19,516,255 (780,717) Expenditures:

Current:

Trans portation 12,411,764 12,912,876 11,800,665 1,112,211 Total expenditures 12,411,764 12,912,876 11,800,665 1,112,211 Excess (deficiency) of revenues over
(under) expenditures 7,922,947 7,384,096 7,715,590 331,494 Other financing sources (uses):

Transfers in 378,994 378,994 378,994 -
Transfers out - (5,566,000) (5,030,222) 535,778 Total other financing sources (uses) 378,994 (5,187,006) (4,651,228) 535,778 Change in fund balances 8,301,941 2,197,090 3,064,362 867,272 Fund balance at be ginnin g of year 27,222,903 27,222,903 27,222,903 - Fund balance at end of year 35,524,844$ 29,419,993 30,287,265 867,272$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

148 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Library Services Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Taxes 2,900,213$ 2 ,900,213 2,830,744 (69,469)$ Inter governmental revenues - 282,500 254,200 (28,300) Cha rges for s ervi ces 65,000 65,000 984 (64,016) Inv estme
nt earnin gs 114,317 114,317 30,882 (83,435)
Rental i
ncome 50,000 50,000 56,534 6,534
M isc ellaneous r ev enues 6 4,800 126,288 112,219 (14,069) Total rev
enues 3,194,330 3,538,318 3,285,563 (252,755) Expenditures:

Current:

Culture and leisure 15,337,573 15,662,925 13,106,832 2,556,093 Total expenditures 15,337,573 15,662,925 13,106,832 2,556,093 Excess (deficiency) of revenues over
(under) expenditures (12,143,243) (12,124,606) (9,821,269) 2,303,337 Other financing sources (uses):

Transfers in 11,684,932 11,100,754 11,184,932 84,178 Transfers out - - (93,275) (93,275) Total ot
her financing sources (uses) 11,684,932 11,100,754 11,091,657 (9,097) Change in fund balances (458,311) (1,023,853) 1,270,388 2,294,241 Fund balance at be ginnin g of year 8,500,832 8,500,832 8,500,832 - Fund balance at end of year 8,042,521$ 7,476,979 9,771,220 2,294,241$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 149 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Parking Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Taxes 14,000$ 14,000 10,731 (3,269)
Cha rges for s ervi ces 304,000 304,000 98,759 (205,241) Inv estment
earnin gs6 7,541 67,541 16,527 (51,014)
Rental i
ncome 3,318,700 3,318,700 2,035,884 (1,282,816)
M isc ellaneo
us r ev enues 2,000 2,000 2,798 798
Total revenues 3,706,241 3,706,241 2,164,699 (1,541,542) Expenditures:

Current:

Trans porta tion 3,194,469 3,411,920 2,992,083 419,837 Total expenditures 3,194,469 3,411,920 2,992,083 419,837 Excess (deficiency) of revenues over
(under) expenditures 511,772 294,321 (827,384) (1,121,705) Other financing sources (uses):

Transfers out (24,147) (179,147) (57,113) 122,034 Total other financing sources (uses) (24,147) (179,147) (57,113) 122,034 Change in fund balances 487,625 115,174 (884,497) (999,671) Fund balanc
e at be ginnin g of year 4,178,483 4,178,483 4,178,483 - Fund balance at end of year 4,666,108$ 4,293,657 3,293,986 (999,671)$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

150 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Air Quality Improvement Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Inter gov ernmental rev enues 170,000$ 170,000 189,132 19,132$ Inv estment earnin gs3 ,299 3,299 1,668 (1,631)
Total r
evenues 173,299 173,299 190,800 17,501
Expenditures:

Current:

Trans porta tion 172,388 172,388 196,976 (24,588)
Total expenditures 172,388 172,388 196,976 (24,588)
Excess
(deficiency) of revenues over
(under) expenditures 911 911 (6,176) (7,087)
Change in fund balances 911 911 (6,176) (7,087)
Fund balanc
e at be ginnin g of yea r 123,261 123,261 123,261 -
Fund balance at end of year 124,172$ 124,172 117,085 (7,087)$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 151 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Housing and Community Development Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Inter governmental revenues 25,472,125$ 29,210,500 23,002,465 (6,208,035)$ Cha rges for s ervi ces 800 800 7,965 7,165
Inv estment earnin gs 141,947 141,947 41,875 (100,072) Rental
i ncome 152,700 152,700 13,322 (139,378)
M isc ella
neous r ev enues 3,527,962 3,527,962 2,160,048 (1,367,914) Total r
evenues 29,295,534 33,033,909 25,225,675 (7,808,234) Expenditures:

Current:

Communit y develo pment 33,183,908 40,358,883 28,731,396 11,627,487 Debt service:

Pri ncipa l reti rement 300,000 300,000 300,000 - Interes t 140,000 140,000 139,428 572
Total expenditures 33,623,908 40,798,883 29,170,824 11,628,059 Excess (deficiency) of revenues over
(under) expenditures (4,328,374) (7,764,974) (3,945,149) 3,819,825 Other financing sources (uses):

Transfers in 1,549,638 1,549,638 1,549,638 -
Transfers out - (66,500) (710,602) (644,102)
Total ot
her financing sources (uses) 1,549,638 1,483,138 839,036 (644,102) Change in fund balances (2,778,736) (6,281,836) (3,106,113) 3,175,723 Fund balances at be ginnin g of year 16,513,972 16,513,972 16,513,972 - Fund balance at end of year 13,735,236$ 10,232,136 13,407,859 3,175,723$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

152 Annual Comprehensive Financial Report | June 30, 2021 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Donated Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Final Budget
Original Final Actual Positive (Negative)
Revenues:

Inv estment earnin gs4 6,480$ 46,480 13,838 (32,642)$ Contri buti ons 450 ,250 547,936 1,037,232 489,297
Total revenues 496,730 594,416 1,051,070 456,654
Expenditures:

Current:

C ultur e and leisur e 4 1 1,648 961,648 829,137 132,511 Total expenditures 411,648 961,648 829,137 132,511 Excess (deficiency) of revenues over
(under) expenditures 85,082 (367,233) 221,933 589,166 Change in fund balances 85,082 (367,233) 221,933 589,166 Fund balance at be ginnin g of year 2,313,946 2,313,946 2,313,946 - Fund balance at end of year 2,399,028$ 1,946,713 2,535,879 589,166$ Budget

CITY OF PASADENA FINANCIAL SECTION SPECIAL REVENUE FUNDS

CAPITAL PROJECT FUNDS
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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154

CITY OF PASADENA FINANCIAL SECTION CAPITAL PROJECTS FUNDS

NON-MAJOR GOVERNMENTAL FUNDS

CAPITAL PROJECTS FUNDS
Capital projects funds are used to account for the acquisition or construction of major capital facilities by the City,
other than those financed by proprietary funds.

Charter Capital Projects Fund - to account for certain reso urces identified by the City Council for the acquisition, construction, replacement or repair of municipal im provements where disbursements other than specific municipal improvement projects can be authorized only by a vote of the people.

New Development Impact Fund - to account for fees rece ived from developers of commercial and industrial facilities to be used to fund capital projects, which are made necessary in whole or in part by new development.

Residential Development Impact Fund - to account for fees received from developers of residential facilities to be used to develop park or recreational facilities.
10% Green Fee Capital Projects Fund - to account for ca pital improvements related to the development of the Arroyo Seco. Funding comes from 10% of the gross receipts generated from green fees at the Brookside Golf Course, which are submitted to the capital project fund.

Capital Public Art Fund - to account for fees collected to be used for public art projects.

Traffic Reduction and Transportation Improvement Fee F und - to account for fees assessed on new fee for new
industrial, office, retail, and residential development, to insure that the transportation improvements identified in the Mobility Element necessary to address the impact of new development on the City’s transportation system are equitably shared by all new development.

Annual Comprehensive Financial Report | June 30, 2021 155

156 Annual Comprehensive Financial Report | June 30, 2021 Combining Balance Sheet
Non-Major Governmental Funds
Capital Project Funds
June 30, 2021
10%
Charter New Residential Green Fee
Capital Develo pment Develo pment Ca pital
Projects Impact Impact Projects
Assets:

Ca s h a nd i nve s tme nts 2 ,064,297$ 269,940 22,187,212 84,570 Ac c ount s r ec eiv able 1 2,907 2,060 64,013 461 Total assets 2,077,204 272,000 22,251,225 85,031 Liabilities and fund balances:

Liabilities:

Accounts payable and
accrued liabilities 28,473 - - -
Total liabilities 28,473 - - -
Fund balances:

Restricted 2,048,731 - - -
Committed - 272,000 22,251,225 85,031
Total fund balances 2,048,731 272,000 22,251,225 85,031 Total liabilities and fund balances 2,077,204$ 272,000 22,251,225 85,031

CITY OF PASADENA FINANCIAL SECTION CAPITAL PROJECTS FUNDS

Annual Comprehensive Financial Report | June 30, 2021 157 Traffic
Capital Reduction
Public Trans portation
Art Im provement Total
1,068,429 4,832,628 30,507,076$
2,182 5,937 87,560
1,070,611 4,838,565 30,594,636
- - 28,473
- - 28,473
- - 2,048,731
1,070,611 4,838,565 28,517,432
1,070,611 4,838,565 30,566,163
1,070,611 4,838,565 30,594,636$

CITY OF PASADENA FINANCIAL SECTION CAPITAL PROJECTS FUNDS

158 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
Capital Project Funds
For the Fiscal Year Ended June 30, 2021
10%
Charter New Residential Green Fee
Capital Develo pment Develo pment Ca pital
Projects Impact Impact Projects
Revenues:

Cha rges for s ervi ces -$ - - -
Inv estment earnin gs1 5,611 1,037 96,817 325
Miscellaneous revenues - - - -
Contributions - - 1,551,313 -
Total revenues 15,611 1,037 1,648,130 325
Expenditures:

Current:

General government 28,473 - - -
Total expenditures 28,473 - - -
Excess (deficiency) of revenues over (under)
expenditures (12,862) 1,037 1,648,130 325
Other financing sources (uses):

Transfers out - - (4,609,662) -
Total
other financing sources (uses) - - (4,609,662) - Change in fund balances (12,862) 1,037 (2,961,532) 325 Fun
d bal ances a t beginni ng of yea r 2,061,593 270,963 25,212,757 84,706 Fund balances at end of year 2,048,731$ 272,000 22,251,225 85,031

CITY OF PASADENA FINANCIAL SECTION CAPITAL PROJECTS FUNDS

Annual Comprehensive Financial Report | June 30, 2021 159 Traffic
Capital Reduction
Public Trans portation
Art Im provement Total
- 205,776 205,776$
4,024 20,618 138,432
20,952 - 20,952
- - 1,551,313
24,976 226,394 1,916,473
- - 28,473
- - 28,473
24,976 226,394 1,888,000
- (787,216) (5,396,878)
- (787,216) (5,396,878)
24,976 (560,822) (3,508,878)
1,045,635 5,399,387 34,075,041
1,070,
611 4,838,565 30,566,163$

CITY OF PASADENA FINANCIAL SECTION CAPITAL PROJECTS FUNDS

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160

PERMANENT FUNDS
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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162

CITY OF PASADENA FINANCIAL SECTION PERMANENT FUNDS
Annual Compre hensive Financial Report | June 30, 2021 163

NON-MAJOR GOVERNMENTAL FUNDS

PERMANENT FUNDS
Permanent funds are used to account for resources
that are legally restricted to the extent that only earnings, and not principal, may be used for purposes that support the City’s programs.

Vroman Art Bequest Fund - for purchase of books on art and works of art for the Pasadena Public Library.

Singer Trust Fund - for maintenan
ce of Singer Park.

Noble Award Fund - for purchase of medals to award pers ons rend ering notable service in promoting the beauty
or general welfare of Pasadena.

Sheldon Memorial Fund - to finance periodic awards to deserving citizens.

Pasadena Center Capital Improvement Trust F
und - for capital improvements.

Cox Trust Fund - for purchas
e of literary classics.

Jankos Trust Fund - for purc
hase of books and materials for the purpose of self-improvement, career development, and agriculture.

Hudson Family Trust Fund - for the purchase of any type of library material for the Lamanda Park Branch of the Pasadena Public Library.

M. A. Berger Trust Fund - for support and maintenance of the Pasadena Public Library’s business and economic collections.

164 Annual Comprehensive Financial Report | June 30, 2021 Combining Balance Sheet
Non-Major Governmental Funds
Permanent Funds
June 30, 2021
Pasadena
Center Capital
Vroman Art Sin ger Noble Sheldon Im provement
Bequest Trust Award Memorial Trust
Assets:

C ash and inv est ment s 6 ,0 6 4$ 48,143 6,412 335 473,217 Accounts recei va bl e 18 144 19 1 1,415
Total assets 6,082 48,287 6,431 336 474,632
Fund balances:

Nons pendable 5,000 23,426 1,100 298 400,000
Restricted 1,082 24,861 5,331 38 -
Committed - - - - 74,632
Total fund balances 6,082$ 48,287 6,431 336 474,632

CITY OF PASADENA FINANCIAL SECTION PERMANENT FUNDS

Annual Comprehensive Financial Report | June 30, 2021 165 Hudson M. A.

Cox Jankos Family Berger
Trust Trust Trust Trust Total
4,838 28,902 114,764 1,426,267 2,108,942$
14 86 343 4,264 6,304
4,852 28,988 115,107 1,430,531 2,115,246
4,307 25,000 100,000 875,000 1,434,131
545 3,988 15,107 555,531 606,483
- - - - 74,632
4,852 28,988 115,107 1,430,531 2,115,246$

CITY OF PASADENA FINANCIAL SECTION PERMANENT FUNDS

166 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
Permanent Funds
For the Fiscal Year Ended June 30, 2021
Pasadena
Center Capital
Vroman Art Sin ger Noble Sheldon Im provement
Bequest Trust Award Memorial Trust
Revenues:

Inv estment earnin gs2 3$ 185 24 1 1,817
Total revenues 23 185 24 1 1,817
Change in fund balances 23 185 24 1 1,817
Fund balances at be ginnin g of year 6,059 48,102 6,407 335 472,815 Fund balances at end of year 6,082$ 48,287 6,431 336 474,632

CITY OF PASADENA FINANCIAL SECTION PERMANENT FUNDS

Annual Comprehensive Financial Report | June 30, 2021 167 Hudson M. A.

Cox Jankos Famil y Berger
Trust Trust Trust Trust Total
18 111 441 5,475 8,095$
18 111 441 5,475 8,095
18 111 441 5,475 8,095
4,834 28,877 114,666 1,425,056 2,107,151
4,852 28,988 115,107 1,430,531 2,115,246$

CITY OF PASADENA FINANCIAL SECTION PERMANENT FUNDS

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168

NON-MAJOR ENTERPRISE FUNDS
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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170

CITY OF PASADENA FINANCIAL SECTION NON-MAJOR ENTERPRISE FUNDS

NON-MAJOR ENTERPRISE FUNDS
Enterprise funds are used to account for City operations that are financed and operated in a manner similar to private business enterprises, where the costs of providing these services to the general public on a continuing basis are financed or recovered primarily through user charges.

Refuse Collection Fund - to account for the operations of the City's refuse collection program, a self-supporting activity, which renders services on a user charge basis to residents and businesses.

Telecommunications Fund - to account for revenues received for the use of the fiber optic system excess capacity by private sector firms and used to repay the loan, which funded its construction, as well as fees for setting up wireless facilities on City-owned property.

Annual Comprehensive Financial Report | June 30, 2021 171

172 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Net Position
Non-Major Enterprise Funds
June 30, 2021
Refuse Tele-
Collection communications Total
Assets:

Current assets:

C ash and inv est ment s 2 4,237,719$ 1,152,450 25,390,169$ Accounts recei va bl e, net 2,242,027 776 2,242,803 Total current assets 26,479,746 1,153,226 27,632,972
Noncurrent assets:

Capit al asset s 1 1,698,838 2,060,402 13,759,240
Less accumulated de preci a ti on (7,890,231) (759,282) (8,649,513) Capit al asset s , net of accumulated de preci a ti on 3,808,607 1,301,120 5,109,727 Total noncurrent assets 3,808,607 1,301,120 5,109,727 Total assets 30,288,353 2,454,346 32,742,699
Deferred outflow of resources:

Deferred outflows related to net pension liabilit y 1,347,986 - 1,347,986 Defer r ed outflows r elated to net OP EB liabilit y 416,358 - 416,358 Total deferred outflow of resources 1,764,344 - 1,764,344 Liabilities:

Current liabilities:

Accounts payable and ac c r ued liabilities 7 1 8,737 9,015 727,752 De posits 9,491,039 - 9,491,039
Total current liabilities 10,209,776 9,015 10,218,791 Noncurrent liabilities:

Net pension liabilit y 8,027,830 - 8,027,830
Net OP EB liabilit y 2,761,044 - 2,761,044
Total noncurrent liabilities 10,788,874 - 10,788,874
Total liabilities 20,998,650 9,015 21,007,665
Deferred inflow of resources:

Deferred inflows related to net pension liabilit y 119,459 - 119,459 Defer r ed inflows r elated to net OP EB liabilit y 159,553 - 159,553 Total deferred inflow of resources 279,012 - 279,012 Net position:

Investment in ca pit al asset s 3,808,607 1,301,120 5,109,727 Unres tri cted 6,966,428 1,144,211 8,110,639
Total net position 10,775,035$ 2,445,331 13,220,366$

CITY OF PASADENA FINANCIAL SECTION NON-MAJOR ENTERPRISE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 173 Combining Statement of Revenues, Expenditures and Changes in Net Position Non-Major Enterprise Funds
For the Fiscal Year Ended June 30, 2021
Refuse Tele-
Collection communications Total
Operating revenues:

Charges for services:

Refuse c ollection 1 1,502,454$ - 11,502,454$
Telecommunica tion - 567,472 567,472
Total operating revenues 11,502,454 567,472 12,069,926 Operating expenses:

Refuse c ollec tion 1 9 ,376,302 - 19,376,302
Telecommunications - 38,193 38,193
De preciation 691,857 150,791 842,648
Total operating expenses 20,068,159 188,984 20,257,143 Operating income (loss) (8,565,705) 378,488 (8,187,217) Nonoperating revenues (expenses):

Taxes 5,722,056 - 5,722,056
Inter gov ernmental rev enues 51,728 - 51,728
Inv estment earnin gs 105,717 4,313 110,030
Gain (loss ) on dis posal of assets 8,706 - 8,706 M isc ellaneous r ev enues 2,209,765 - 2,209,765
Total nonoperating revenues (expenses) 8,097,972 4,313 8,102,285 Income (loss) before transfers (467,733) 382,801 (84,932) Transfers:

Tr ansfer s in - 192,452 192,452
Transfers out (1,886,318) (395,863) (2,282,181)
Changes i
n net position (2,354,051) 179,390 (2,174,661)
Net pos
i ti on at begi nni ng of year 13,129,086 2,265,941 15,395,027 Net position at end of year 10,775,035$ 2,445,331$ 28,615,393$

CITY OF PASADENA FINANCIAL SECTION NON-MAJOR ENTERPRISE FUNDS

174 Annual Comprehensive Financial Report | June 30, 2021 Statement of Cash Flows
Non-Major Enterprise Funds
For the Fiscal Year Ended June 30, 2021
Refuse Tele-
Collection communication Total
Cash Flows from Operating Activities:

Ca s h recei ved from cus tomers 11,551,178$ 586,918 12,138,096$ Cash payments to suppliers for goods and services (12,207,797) (38,034) (12,245,831) Ca s h pa yments to empl oyees for s ervi ces (8,032,619) - (8,032,619) Cash payments to other funds for services 31,552 - 31,552 Mi s cel l a neous revenue/(expens es ) 2,209,765 - 2,209,765 Net cash provided by (used for) operating activities (6,447,921) 548,884 (5,899,037) Cash Flows from Noncapital Financing Activities:

C ash t r ansfer s in - 192,452 192,452
Ca s h tra ns fers out (1,886,318) (395,863) (2,282,181) Ta xes recei ved 5,722,056 - 5,722,056
Intergovernmental revenues 51,728 - 51,728
Net cash provided by (used for) noncapital financing activities 3,887,466 (203,411) 3,684,055 Cash Flows from Capital and Related Financing Activities:

Acqui s i ti on a nd cons tructi on of ca pi ta l a s s ets (974,582) (192,451) (1,167,033) P r oc eeds fr om sale of c apital asset s 8 ,7 0 6 - 8,706 Net cash used for capital and related financing activities (965,876) (192,451) (1,158,327) Cash Flows from Investing Activities:

Inves tment ea rni ngs 105,716 4,314 110,030
Net cash provided by (used for) investing activities 105,716 4,314 110,030 Net increase (decrease) in cash and cash equivalents (3,420,615) 157,336 (3,263,279) Cash and cash equivalents at beginning of year 27,658,334 995,114 28,653,448 Cash and cash equivalents at end of year 24,237,719 1,152,450 25,390,169 Reconciliation of cash and cash equivalents to amounts
reported on the Statement of Net Position:

Ca s h a nd i nves tments 24,237,719 1,152,450 25,390,169 Cash and cash equivalents at end of year 24,237,719$ 1,152,450 25,390,169$

CITY OF PASADENA FINANCIAL SECTION NON-MAJOR ENTERPRISE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 175 Statement of Cash Flows
Non-Major Enterprise Funds (continued)
For the Fiscal Year Ended June 30, 2021
Refuse Tele-
Collection communication Total
Reconciliation of operating income (loss) to net cash
provided by (used for) operating activities:

Opera ti ng i ncome (l os s ) (8,565,704)$ 378,487 (8,187,217)$ Adjustments to reconcile operating income (loss) to net cash provided by (used for) operating activities:

Depreci a ti on a nd a morti za ti on 691,857 150,791 842,648 Mi s cel l a neous revenue (expens e) 2,209,765 - 2,209,765 (Increas e) decrea s e i n a ccounts recei va bl e (137,238) 19,446 (117,792) Increa s e (decrea s e) i n a l l owance for uncol l ecti bl e a ccounts 185,962 - 185,962 Increa s e (decrea s e) i n a ccounts pa ya bl e a nd a ccrued l i a bi l i ti es (16,498) 160 (16,338) Increa s e (decrea s e) i n depos i ts pa ya bl e (784,513) - (784,513) Increa s e (decrea s e) i n deferred i nfl ows (202,940) - (202,940) (Increas e) decrea s e i n deferred outfl ows (170,949) - (170,949) Increase (decrease) in net OPEB liability 7,972 - 7,972 Increa s e (decrea s e) i n net pens i on l i abi l i ty 334,365 - 334,365 Total adjustments 2,117,783 170,397 2,288,180
Net cash provided by (used for) operating activities (6,447,921) 548,884 (5,899,037) Non-Cash Investing, Capital and Financing Activities
Gain/(L oss) on disposition of c apit al assets 8 ,7 0 6 - 8,706 Cha nges i n fa i r val ue of i nves tments 198,899 8,564 207,463

CITY OF PASADENA FINANCIAL SECTION NON-MAJOR ENTERPRISE FUNDS

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176

INTERNAL SERVICE FUNDS
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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178

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

INTERNAL SERVICE FUNDS
Internal service funds are used to accoun
t for the financing of goods and services provided by one City department to another or to other governmental units on a cost-reimbursement basis.

Computing and Communication Services Fund - to account for all operations of the Computing and Communications Division of the City Manager's Department, which includes such services as data processing, radio communications, telephone, and voice services.

Building Maintenance Fund - to account for housekeeping and structural maintenance of City buildings.

Fleet Replacement Fund - to account for
the procurement of City vehicles.

Fleet Repair and Maintenance Fund
- to account for the repair and maintenance of City vehicles.

Benefits Fund - to account for em
ployee compensated absences, retirement, and health benefits.

Workers’ Compensation Fund - to account for investigation services, temporary disability and medical pa yments,
excess insurance, permanent disability awards, administrati ve services, and litigation costs. Premiums based on employee worker classifications are indirectly charged to each department for claims proportionate to current industry rates applicable to job functions.

General Liability Fund - to account for payment of self-i nsured general liability and automobile liability claims, excess insurance, claims adjusting serv ices, litigation costs, and administrative services. Contributions are made from each department and are based on past claims experience and appropriate risk factors. 311 Call Center Fund – to account for the operation of the City’s central call center.

Annual Comprehensive Financial Report | June 30, 2021 179

180 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Net Position
Internal Service Funds
June 30, 2021
Computing and
Communication Buildin g Fleet
Assets: Services Maintenance Re placement
Current assets:

C ash and inv est ment s 2,073,898$ 8,612,258 14,532,071 Accounts receiva ble 9,678 50,391 1,218
Inv entories - - -
Prepaids and ot her asset s 9 5 2,134 - -
Total current assets 3,035,710 8,662,649 14,533,289
Noncurrent assets:

Capital assets 1 4,314,315 24,310 25,456,365
Less accumulated de preci a ti on (10,889,631) (24,102) (16,799,292) Capital assets , net of accumulated de preci a ti on 3,424,684 208 8,657,073 Total noncurrent assets 3,424,684 208 8,657,073
Total assets 6,460,394 8,662,857 23,190,362
Deferred outflow of resources:

Deferred outflows rel a ted to net pension liabilit y 2,560,525 1,048,286 40,404 Deferred outflows rel a ted to net OPEB li a bil it y 470,082 308,911 6,715 Total deferred outflow of resources 3,030,607 1,357,197 47,119 Liabilities:

Current liabilities:

Accounts payable and accrued liabilities 1,131,493 495,779 9,604 Insurance claims payable - c ur r ent - - -
Due to other funds - - -
Compensated absences due within one year - - -
Total current liabilities 1,131,493 495,779 9,604
Noncurrent liabilities:

Insurance claims payable - long-term - - -
Compensated absences due in more than one year - - - Net pension liabilit y 14,554,999 6,862,767 3,051,874 Net OP EB liabilit y 3,117,307 2,048,516 44,533
Total noncurrent liabilities 17,672,306 8,911,283 3,096,407 Total liabilities 18,803,799 9,407,062 3,106,011
Deferred inflows of resources:

Deferred infl ows rel a ted to net pension liabilit y 226,915 92,899 3,581 Defer r ed inflows r elated to net OP EB liabilit y 180,140 118,378 2,573 Total deferred inflows of resources 407,055 211,277 6,154 Net position:

Net investment in ca pit al asset s 3,424,684 208 8,644,166 Unrestricted (13,144,537) 401,507 11,481,150
Total net position (deficit) (9,719,853)$ 401,715 20,125,316

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 181 Fleet Workers' General 311
Maintenance Benefits Com pensation Liabilit y Call Center Total 2,890,278 - 9,902,318 1,992,489 216,953 40,220,265$ 265,248 170,173 - 68,669 564 565,941
440,837 - - - - 440,837
- 17,350 28,028 - - 997,512
3,596,363 187,523 9,930,346 2,061,158 217,517 42,224,555 42,516 - - 3,714,391 - 43,551,897
(9,397) - - - - (27,722,422)
33,119 - - 3,714,391 - 15,829,475
33,119 - - 3,714,391 - 15,829,475
3,629,482 187,523 9,930,346 5,775,549 217,517 58,054,030 513,756 12,036,204 2,180,214 68,521 136,478 18,584,388 141,025 33,577 40,293 13,431 33,577 1,047,611
654,781 12,069,781 2,220,507 81,952 170,055 19,631,999 576,104 6,476,638 134,290 62,380 14,078 8,900,366 - - 13,151,488 5,164,065 - 18,315,553
- 12,293,255 - - - 12,293,255
- 9,740,019 - - - 9,740,019
576,104 28,509,912 13,285,778 5,226,445 14,078 49,249,193 - - 18,324,109 5,404,531 - 23,728,640
- 3,236,068 - - - 3,236,068
704,190 70,481,825 8,765,111 474,953 567,386 105,463,105 935,192 222,665 267,198 89,066 222,665 6,947,142 1,639,382 73,940,558 27,356,418 5,968,550 790,051 139,374,955 2,215,486 102,450,470 40,642,196 11,194,995 804,129 188,624,148 45,530 848,928 122,601 6,072 12,095 1,358,621
54,042 12,867 15,441 5,147 12,867 401,455
99,572 861,795 138,042 11,219 24,962 1,760,076
33,119 - - 3,714,391 - 15,816,568
1,936,086 (91,054,961) (28,629,385) (9,063,104) (441,519) (128,514,763) 1,969,205
(91,054,961) (28,629,385) (5,348,713) (441,519) (112,698,195)$

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

182 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Revenues, Expenditures and Changes in Net Position Internal Service Funds
For the Fiscal Year Ended June 30, 2021
Computing and
Communication Buildin g Fleet
Services Maintenance Re placement
Operating revenues:

Charges for services:

Computin g and communication services 18,415,518$ - - Buildin g maintenance - 13,240,174 -
Fleet maintenance - - 2,400,485
Emplo yee benefits - - -
Insurance - - -
311 Ca l l Center - - -
Total operating revenues 18,415,518 13,240,174 2,400,485 Operating expenses:

Computin g a nd communi cati on s ervi ces 17,711,967 - - Buildin g maintenance - 13,020,147 -
Fleet re placement and maintenance - - 580,966 Benefits - - -
Insurance - - -
311 Ca l l Ce nte r - - -
De preci a ti on 1,274,425 594 1,217,459
Total operating expenses 18,986,392 13,020,741 1,798,425 Operating income (loss) (570,874) 219,433 602,060
Nonoperating revenues (expenses):

Inv estment earnin gs4 ,312 38,412 54,370
M isc ellaneous r ev enue - - -
Gain (loss ) on dis posal of assets - - 11,390 Total nonoperating revenues (expenses) 4,312 38,412 65,760 Income (loss) before transfers (566,562) 257,845 667,820 Transfers from (to) other funds:

Transfers in 1,436,061 96,903 -
Transfers out (1,232,550) (1,997,541) -
Net income (loss) (363,051) (1,642,793) 667,820
Net position (deficit) at beginning of year (9,356,802) 2,044,508 19,457,496 Net position (deficit) at end of year (9,719,853)$ 401,715 20,125,316

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 183 Fleet Workers' General 311
Maintenance Benefits Com pensation Liabilit y Call Center Total - - - - - 18,415,518$
- - - - - 13,240,174
10,097,635 - - - - 12,498,120
- 33,545,227 - - - 33,545,227
- - 16,478,093 4 ,263,614 - 20,741,707 - - - - 850,557 850,557
10,097,635 33 ,545,227 16 ,478,093 4 ,263,614 850,557 99,291,303 - - - - - 17,711,967
- - - - - 13,020,147
8,433,876 - - - - 9,014,842
- 41,421,638 - - - 41,421,638
- - 14,851,934 5 ,639,001 - 20,490,935 - - - - 763,957 763,957
4,252 - - - - 2,496,730
8,438,128 41,421,638 14,851,934 5,639,001 763,957 104,920,216 1,659,507 (7,876,411) 1,626,159 (1,375,387) 86,600 (5,628,913) 6,287 (70,973) 32,625 7,514 523 73,070
3,680 87,307 - - - 90,987
- - - - - 11,390
9,967 16,334 32,625 7,514 523 175,447
1,669,474 (7,860,077) 1,658,784 (1,367,873) 87,123 (5,453,466) - - - -
- 1,532,964
- - - - - (3,230,091)
1,669,474 (7,860,077) 1,658,784 (1,367,873) 87,123 (7,150,593) 299,731 (83,
194,884) (30,288,169) (3,980,840) (528,642) (105,547,602) 1,969,205 (91,054,961) (28,629,385) (5,348,713) (441,519) (112,698,195)$

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

184 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Cash Flows
Internal Service Funds
For the Fiscal Year Ended June 30, 2021
Computing and
Communication Building Fleet
Services Maintenance Replacement
Cash Flows from Operating Activities:

Ca s h recei ved from cus tomers 18,415,511 $ 13,268,870 2,400,487 Ca s h pa yments to s uppl i ers for goods a nd s ervi ces (6,106,714) (7,933,710) (390,468) Ca s h pa yments to empl oyees for s ervi ces (11,359,652) (5,236,069) (198,622) Net cash provided by (used for) operating activities 949,145 99,091 1,811,397 Cash Flows from Noncapital Financing Activities:

Tra ns fers from other funds 1,436,061 96,903 -
Tra ns fers to other funds (1,232,550) (1,997,545) - Non-oper ating misc ellaneous r ev enue - - -
Net cash provided by (used for) noncapital financing activities 203,511 (1,900,642) - Cash Flows from Capital and Related Financing Activities:

Acqui s i ti on and cons tructi on of capi tal as s ets (1,005,055) - (913,504) P r oc eeds fr om sale of c apit al asset s - - 11,390 Net cash used for capital and related financing activities (1,005,055) - (902,114) Cash Flows from Investing Activities:

Inv est ment ear nings (ex penses) 7 ,9 4 9 59,958 85,998 Net cash provided by (used for) investing activities 7,949 59,958 85,998 Net increase (decrease) in cash and cash equivalents 155,550 (1,741,593) 995,281 Cash and cash equivalents at beginning of year 1,918,348 10,353,851 13,536,790 Cash and cash equivalents at end of year 2,073,898 8,612,258 14,532,071 Reconciliation of cash and cash equivalents to amounts
reported on the Statement of Net Position:

Ca s h and i nves tments 2,073,898 8,612,258 14,532,071 Cash and cash equivalents at end of year 2,073,898$ 8,612,258 14,532,071

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 185 Fleet Workers' General 311
Maintenance Benefits Compensation Liability Call Center Total 9,863,789 40,092,898 16,494,140 3,462,029 850,557 104,848,281$ (5,805,385) (2,276,827) (9,796,921) (9,252,957) (152,292) (41,715,274) (2,662,541) (37,772,064) (4,620,692) (313,323) (682,872) (62,845,835) 1,395,863 44,007 2,076,527 (6,104,251) 15,393 287,172 - - - - - 1,532,964
- - - - - (3,230,095)
3,683 87,326 - 1,056,548 - 1,147,557
3,683 87,326 - 1,056,548 - (549,574)
- - - - - (1,918,559)
- - - - - 11,390
- - - - - (1,907,169)
9,959 (131,333) 32,625 7,879 886 73,921
9,959 (131,333) 32,625 7,879 886 73,921
1,409,505 - 2,109,152 (5,039,824) 16,279 (2,095,650) 1,480,773 - 7,793,166 7,03 2,313 200,674 42,315,915 2,890,278 - 9,902,318 1,992,489 216,953 40,220,265 2,890,278 - 9,902,318 1,992,489 216,953 40,220,265 2,890,278 - 9,902,318 1,992,489 216,953 40,220,265$

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

186 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Cash Flows (continued)
Internal Service Funds
For the Fiscal Year Ended June 30, 2021
Computing and
Communication Building Fleet
Services Maintenance Replacement
Reconciliation of operating income (loss) to net cash
provided by (used for) operating activities:

Opera ti ng i ncome (l os s ) (570,874)$ 219,433 602,060 Adjustments to reconcile operating income (loss) to net cash provided by (used for) operating activities:

Depreci a ti on a nd a morti za ti on 1,274,425 594 1,217,459 (Increase) decrease in accounts receivable - 28,692 -
Increase (decrease) in due to other funds - - -
(Inc r ease) dec r ease in inv entor ies - - -
(Increa s e) decrea s e i n prepa i ds a nd other a s s ets (81,440) - - Inc r ease (dec r ease) in ac c ounts pay able and ac c r ued liabilities 373,275 (206,788) (6,388) Increase (decrease) in insurance claims pay able - - - Inc r ease (dec r ease) in c ompensat ed absenc es - - - Increa s e (decrea s e) i n deferred i nfl ows (334,354) (150,138) (1,116) (Increa s e) decrea s e i n deferred outfl ows (344,964) (139,199) (24,213) Inc r ease (dec r ease) in net OP EB liability (5 5 ,725) 88,702 (2,129) Inc r ease (dec r ease) in net pension liability 688,802 257,795 25,724 Total adjustments 1,520,019 (120,342) 1,209,337
Net cash provided by (used for) operating activities 949,145$ 99,091 1,811,397 Non-Cash Investing, Capital and Financing Activities
Gain/(L oss) on disposit ion of c apit al asset s - - (36,344) C hanges in fair v alue of inv estments 1 4 ,1 5 7 64,588 103,248

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

Annual Comprehensive Financial Report | June 30, 2021 187 Fleet Workers' General 311
Maintenance Benefits Compensation Liability Call Center Total 1,659,507 (7,876,411) 1,626,159 (1,375,387) 86,600 (5,628,913)$ 4,252 - - - - 2,496,730
(233,843) (1,274) 16,049 (21,475) - (211,851)
- 6,548,964 - - - 6,548,964
(15,944) - - - - (15,944)
- 17,013 (28,028) 11,785 - (80,670)
(53,583) (740,358) (62,518) (5,245,840) (15,256) (5,957,456) - - 217,309 530,733 - 748,042
- 839,196 - - - 839,196
(67,666) (1,520,129) (217,075) (9,580) (24,880) (2,324,938) (86,704) (435,044) (426,882) (7,564) (4,227) (1,468,797) 48,610 (10,646) (12,775) (4,258) (57,308) (5,529) 141,234 3,222,696 964,288 17,335 30,464 5,348,338 (263,644) 7,920,418 450,368 (4,728,864) (71,207) 5,916,085 1,395,863 44,007 2,076,527 (6, 104,251) 15,393 287,172$ - - - - - (36,344)
13,826 (234,044) 66,257 (14,164) 1,287 15,155

CITY OF PASADENA FINANCIAL SECTION INTERNAL SERVICE FUNDS

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188

FIDUCIARY FUNDS
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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190

CITY OF PASADENA FINANCIAL SECTION FIDUCIARY FUNDS

FIDUCIARY FUNDS
Fiduciary funds are used to account for assets held by th e City in a trustee or custodial capacity for individuals, governmental entities, and others, and are operated by carrying out the specifications of trust indentures, statutes, ordinances, or other governing regulations.

Employee Benefit Trust Funds:

Deferred Compensation Fund - to acco
unt for resources earned by present and former employees and held in a trust capacity by the City in accordance with the provisions of Internal Revenue Code Section 457.

Fire and Police Retirement Fund - to account for transactions of the Fire and Police Retirement System, which is governed by its own retirement board.

Custodial Funds:

Lake/Washington Special Assessment District Fund - to ac count for mainte nance costs of the parking lot located
at Lake Avenue and Washington Boulevard.

Library Equipment Replacement Fund - to account for the library automated control system operated under joint agreement with the City of Glendale.

Workforce Innovation and Opportunity Act Fund - to account for the administration of Workforce Innovation and Opportunity Act (WIOA) activities under the direction of the Foothill Workforce Development Board (FWDB).

Open Space Assessment District Fund - to account for receipt and disbursement of debt service activity related to the acquisition and improvement of the Annandale Canyon Estates and adjacent property to be established as open space.

Private-Purpose Trust Funds : The fiduciary fund type used to report all trust arrangements, other than those properly reported in employee benefit trust funds or in vestment trust funds, under which principal and income benefit individuals, private organizations, or other gove rnments. Private-purpose trust funds are used for the activities of the Successor Agency to the Pasadena Community Development Commission (PCAC). See the next tab for the combining statements related to the Successor Agency.

Annual Comprehensive Financial Report | June 30, 2021 191

192 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Net Position
Employee Benefit Trust Funds
June 30, 2021
Fire and Police
Deferred Retirement
Compensation System Total
Assets:

C ash and c ash e quivalents 373,569,449$ 6 ,303,337 379,872,786$ Receivables:

Pendin g trade s ales - 6,786,349 6,786,349
Interest - 169,918 169,918
Total receivables - 6,956,267 6,956,267
Investments, at fair value:

Government and a gencies - 24,232,920 24,232,920
Domestic cor porate obli gations - 23,274,707 23,274,707 International cor porate obli gations - 1,587,182 1,587,182 Fixed income mutual funds - 20,169,940 20,169,940
Real estate - 11,931,126 11,931,126
Domestic cor porate stocks - 27,382,351 27,382,351
International cor porate stocks - 26,962,063 26,962,063 Total investments - 135,540,289 135,540,289
Total assets 373,569,449 148,799,893 522,369,342 Liabilities:

Accounts payable and ac c r ued liabilities - 61,286 61,286 Pending purchases - 14,006,021 14,006,021
Total liabilities - 14,067,307 14,067,307
Net position reserved in trust:

Held in tr ust for pens i ons 373,569,449 134,732,586 508,302,035 Total net position reserved in trust 373,569,449$ 134,732,586 508,302,035$

CITY OF PASADENA FINANCIAL SECTION EMPLOYEE BENEFIT TRUST FUNDS

Annual Comprehensive Financial Report | June 30, 2021 193 Combining Statement of Changes in Net Position
Employee Benefit Trust Funds
For the Fiscal Year Ended June 30, 2021
Fire and Police
Deferred Retirement
Compensation System Total
Additions:

Contributions:

Pl a n members 16,949,928$ - 16,949,928$
Total contributions 16,949,928 - 16,949,928
Net investment income:

Inv estment earnin gs7 1,832,846 20,826,387 92,659,233
Interest - 603,309 603,309
Dividends - 1,363,394 1,363,394
Gross investment income 71,832,846 22,793,090 94,625,936 L ess inv est ment ex penses - (439,243) (439,243)
Total net investment income 71,832,846 22,353,847 94,186,693 Total additions 88,782,774 22,353,847 111,136,621
Deductions:

Benefits paid to par ticipants 2 3,440,214 12,505,972 35,946,186 Administrative ex pens es 225,136 326,542 551,678
Total deductions 23,665,350 12,832,514 36,497,864
Change in net position 65,117,424 9,521,333 74,638,757
Net position held in trust for employees:

Be ginnin g of yea r 308,452,025 125,211,253 433,663,278 End of year 373,569,449$ 134,732,586 508,302,035$

CITY OF PASADENA FINANCIAL SECTION EMPLOYEE BENEFIT TRUST FUNDS

194 Annual Comprehensive Financial Report | June 30, 2021 Combining Balance Sheet
Custodial Funds
June 30, 2021
Lake/
Washington Workforce
Special Library Innovation and O pen Space
Assessment E quipment O pportunity Assessment
District Re placement Act (WIOA) District Total
Assets:

Cash and investments -$ 305,351 - 150,005 455,356$
Accounts recei va bl e 710 5,279 469 ,215 4,873 480,077 Other assets - - 173 - 173
Total assets 710 310,630 469,388 154,878 935,606 Liabilities:

Accounts payable and ac c r ued liabilities - - 346,083 - 346,083 Due to other gov ernments 5,613 - - - 5,613
Total liabilities 5,613 - 346,083 - 351,696
Net position held in custody:

Res tri cted for l i bra ry equi pment - 310,630 - - 310,630 Restricted for WIOA - - 123,305 - 123,305
Restricted for bondholders - - - 154,878 154,878
Unres tri cted (4,903) - - - (4,903)
Net posi
tion (deficit) at end of year (4,903)$ 310,630 123,305 154,878 583,910$

CITY OF PASADENA FINANCIAL SECTION CUSTODIAL FUNDS

Annual Comprehensive Financial Report | June 30, 2021 195 Combining Statement of Fiduciary Net Position
Custodial Funds
For the Fiscal Year Ended June 30, 2021
Lake/
Washington Workforce
Special Library Innovation and O pen Space
Assessment E quipment O pportunity Assessment
District Re placement Act (WIOA) District Total
Additions:

Inv estment earnin gs (22)$ 2,226 - 495 2,699$ Assessment r ev enue 2 4 ,425 - - 1,054,723 1,079,148 Progra m revenue - - 4,548,237 - 4,548,237 Total additions 24,403 2,226 4,548,237 1,055,218 5,630,084 Deductions:

Contributions to Cit y 27,620 - - - 27,620 Progra m expense - - 3,675,439 - 3,675,439 Administrative ex pense - - - 2,998 2,998 Interest ex pense - - - 58,150 58,150
Total deductions 27,620 - 3,675,439 61,148 3,764,207 Change in net position (3,217) 2,226 872,798 994,070 1,865,877 Net position (deficit) at beginning of year,
as restated (1,686) 308,404 (749,493) (839,192) (1,281,967) Net position at end of year (4,903)$ 310,630 123,305 154,878 583,910$

CITY OF PASADENA FINANCIAL SECTION CUSTODIAL FUNDS

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196

SUCCESSOR AGENCY COMBINED
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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198

CITY OF PASADENA FINANCIAL SECTION PRIVATE-PURPOSE TRUST FUNDS

PRIVATE-PURPOSE TRUST FUNDS
Private-purpose trust funds are one type of the fiduciary fund s reported in the prior tab.

Successor Agency to Pasadena Community Development Commission (PCAC) - was formed to account for receipt of incremental property tax and disbursements relate d to enforceable obligations (debts) of the former redevelopment agency. It will remain in place until all enforceable obligations, as approved on the Recognized Obligation Payment Schedule (ROPS) by California Department of Finance, are paid in full and all assets have been liquidated. It includes the following funds:
• Administration Fund - to account for administrative costs of the Successor Agen cy as approved on the ROPS.
• Redevelopment Obligation Retirement Fund - to acco unt for receipts and disbursements of incremental property tax.
• Debt Funds - to account for enforceable obligations of the former redevelopment agency. They include Old Pasadena, Lincoln, Downtown, Fair Oaks, Orange Grove, Villa Parke, Lake/Washington project areas, and the Affordable Housing debt function. The Affordable Housing debt fund is used to account for the 2006 Tax Allocation Revenue Bonds (housing set-aside revenues – Townhouse Project Refunding), Housing Enabled by Local Partnerships (HELP) program loans, and payment of enforceable obligations of the former Low and Moderate Income Housing Fund.

Annual Comprehensive Financial Report | June 30, 2021 199

200 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Net Position
Private-Purpose Trust Funds
June 30, 2021
Redevelopment
Administration
Obligation
Retirement Fund Old Pasadena Lincoln Downtown
Assets
Current assets:

Cash and investments 11,243$ 12,943 - - - Notes receivable - - - - -
Allowanc e for unc ollec tible lon g-term receivables - - - - - Total current assets 11,243 12,943 - - -
Noncurrent assets:

Ca pital a ss ets - 214,261 - - -
Total noncurrent assets - 214,261 - - -
Total assets 11,243 227,204 - - -
Liabilities
Accounts payable and ac c r ued liabilit ies - - - - - Bonds payable - due within one year - - - - - Total liabilities - - - - -
Net Position
Net posit ion held in tr ust 1 1,243$ 227,204 - - -

CITY OF PASADENA FINANCIAL SECTION PRIVATE-PURPOSE TRUST FUNDS

Annual Comprehensive Financial Report | June 30, 2021 201 Fair Oaks Orange Grove Villa Parke
Lake
Washington
Affordable
Housing Total
300,657 40,843 9,278 86,438 80 461,482$
515,000 - - - - 515,000
(515,000) - - - - (515,000)
300,657 40,843 9,278 86,438 80 461,482
- - - - - 214,261
- - - - - 214,261
300,657 40,843 9,278 86,438 80 675,743
5,513 - - - - 5,513
225,000 - - - - 225,000
230,513 - - - - 230,513
70,144 40,843 9,278 86,438 80 445,230$
Successor Agency

CITY OF PASADENA FINANCIAL SECTION PRIVATE-PURPOSE TRUST FUNDS

202 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Changes in Net Position
Private-Purpose Trust Funds
For the Fiscal Year Ended June 30, 2021
Redevelopment
Administration
Obligation
Retirement Fund Old Pasadena Lincoln Downtown
Additions:

Property taxes -$ 11 ,598,616 - - -
Inv estment earnin gs- - - - -
Miscellaneous rev enues - - - - -
Total additions - 11 ,598,616 - - -
Deductions:

Fiscal a genc y expenses - - - - -
Interest ex pense - - - - -
Statutor y pass-t hr ough ex penses - - 9 ,230,444 47,732 - Administrative expenses:

Count y administ r at iv e expenses - - 152,794 7,634 706,713 Total deductions - - 9 ,383,238 55,366 706,713 Transfers:

Transfers in - - 9 ,383,238 55,366 706,713 Transfers out - (11,817,140) - - -
Tota
l transfers - (11,817,140) 9,383,238 55,366 706,713 Change in amount held in trust - (218,524) - - -
Amou
nt held in trust at be ginnin g of year 11,243 445,728 - - - Amount held in trust at end of year 11,243$ 227,204 - - - Successor Agency

CITY OF PASADENA FINANCIAL SECTION PRIVATE-PURPOSE TRUST FUNDS

Annual Comprehensive Financial Report | June 30, 2021 203 Fair Oaks Orange Grove Villa Parke
Lake
Washington
Affordable
Housing Total
- - - - - 11 ,598,616$
136 - 5 46 - 187
- 20,176 - - - 20,176
136 20,176 5 46 - 11 ,618,979
1,601 - - - - 1,601
11,025 - - - - 11,025
461,519 65,910 474,637 342,329 - 10 ,622,571
32,936 14,996 41,898 11,559 - 968,530
507,081 80,906 516,535 353,888 - 11 ,603,727
720,493 80,906 516,536 353,888 - 11 ,817,140
- - - - - (11,817,140)
720,493 80,906 516,536 353,888 - -
213,548 20,176 6 46 - 15,252
(143,404) 20,667 9,272 86,392 80 429,978
70,144 40,843 9,278 86,438 80 445,230$
Successor Agency

CITY OF PASADENA FINANCIAL SECTION PRIVATE-PURPOSE TRUST FUNDS

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204

COMPONENT UNIT
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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206

CITY OF PASADENA FINANCIAL SECTION COMPONENT UNIT

DISCRETELY PRESENTED COMPONENT UNIT

ROSE BOWL OPERATING COMPANY
Component units are legally separate organizations for which the elected officials of the primary government are financially accountable. In addition, component units can be other organizations for which the nature and significance of their relationship with a primary govern ment are such that exclusion would cause the reporting entity’s financial statements to be misleading or incomplete. Discretely presented component units do not meet one of the two criteria for blending. The two criteria required to blend component units are (1) the Board of the component unit is substantively the same as that of the City or (2) the component unit serves the City exclusively.

Rose Bowl Operating Company - incorporated on January 18, 1994, as a legally separate entity with the primary purpose of returning economic and civic value to the City by managing a world class stadium and a professional quality golf course complex in a residential open-space environment.

Annual Comprehensive Financial Report | June 30, 2021 207

208 Annual Comprehensive Financial Report | June 30, 2021 Combining Statement of Net Position
Discretely Presented Component Unit
Rose Bowl Operating Company
June 30, 2021
Golf
Rose Bowl Course Total
Assets
Current assets:

C ash and inv estments 7 ,094,714$ 12,841,069 19,935,783$ Accounts receivable , net 2,420,429 315,559 2,735,988 Inv entory 861 13,842 14,703
Prepaids and other asset s 9 2,109 7,802 99,911 Total current assets 9,608,113 13,178,272 22,786,385
Noncurrent assets:

Restr ic t ed asset s - c ash and inv est ment s 1 5 ,352,313 - 15,352,313 Due from the C it y of P asadena 4 5 5,325 - 455,325 Capital assets:

Construction in progres s 134,135 970 135,105 De pre ci a bl e capital assets , net 159,251,628 6,910,299 166,161,927 Total noncurrent assets 175,193,401 6,911,269 182,104,670 Total assets 184,801,514 20,089,541 204,891,055
Deferred outflow of resources:

Deferred refundi n g cha rge2 ,157,461 - 2,157,461 Outfl ows rel ated to net pension liabilit y 916,478 24,249 940,727 Total deferred outflow of resources 3,073,939 24,249 3,098,188 Liabilities
Current liabilities:

Accounts payable and accrued ex penses 2,408,225 963,521 3,371,746 Accrued interest payable 3,140,299 - 3,140,299 Due to the Ci t y of Pa s a dena 445,181 - 445,181 De posits 1,003,662 - 1,003,662
Unearned rev enues 2,372,958 49,622 2,422,580
Curre nt portion of lon g-term a dva nce 100,000 100,000 Curre nt portion of com pensat ed absenc es 1 6 7,438 7,008 174,446 Curre nt portion of lon g-term debt 3,845,000 51,769 3,896,769 Total current liabilities 13,482,763 1,071,920 14,554,683 Noncurrent liabilities:

Long-term a dva nce 600,000 - 600,000
Compensated absenc es 4 7,318 5,726 53,044
Long-term debt , net of current portion 202,538,236 569,455 203,107,691 Net pension liabilit y 2,714,639 282,128 2,996,767
Total noncurrent liabilities 205,900,193 857,309 206,757,502 Total liabilities 219,382,956 1,929,229 221,312,185
Deferred inflows of resources:

Deferred inflows related to net pension liabilit y 20,823 551 21,374 Total deferred inflows of resources 20,823 551 21,374 Net Position
Net inv estment in ca pit al asset s (14,128,889) 6,217,040 (7,911,849) Res tri cted
for debt s e rvi ce 15,352,313 - 15,352,313
Unres tri cted (32,751,750) 11,966,970 (20,784,780)
Total net pos
ition (31,528,326)$ 18,184,010 (13,344,316)$

CITY OF PASADENA FINANCIAL SECTION COMPONENT UNIT

Annual Comprehensive Financial Report | June 30, 2021 209 Combining Statement of Revenues, Expenditures and Changes in Net Position Discretely Presented Component Unit
Rose Bowl Operating Company
For the Fiscal Year Ended June 30, 2021
Golf
Rose Bowl Course Total
Operating revenues:

Charges for services:

Rose Bowl 8,087,414$ - 8,087,414$
Golf course - 2,724,945 2,724,945
Total operating revenues 8,087,414 2,724,945 10,812,359 Operating expenses:

Rose Bowl 11,856,614 - 11,856,614
Golf course - 839,069 839,069
De preciation 13,178,616 1,236,512 14,415,128
Total operating expenses 25,035,230 2,075,581 27,110,811 Operating income (loss) (16,947,816) 649,364 (16,298,452) Nonoperating revenues (expenses):

Inv estment gain (loss ) (122,228) 18,496 (103,732)
Interest ex pense (12,312,912) - (12,312,912)
Contribut
ion from the Cit y of Pasadena 11,515,463 - 11,515,463 Other nono peratin g revenues 4,942,719 94,848 5,037,567 Total nonoperating revenues (expenses) 4,023,042 113,344 4,136,386 Change in net position (12,924,774) 762,708 (12,162,066) Net position (deficit ) at be ginnin g of year (18,603,552) 17,421,302 (1,182,250) Net posit
ion (deficit) at end of year (31,528,326)$ 18,184,010 (13,344,316)$

CITY OF PASADENA FINANCIAL SECTION COMPONENT UNIT

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210

STATISTICAL SECTION
ANNUAL COMPREHENSIVE FINANCIAL REPORT | JUNE 30, 2021

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212 Annual Comprehensive Financial Report | June 30, 2021

CITY OF PASADENA STATISTICAL SECTION

STATISTICAL SECTION
(Unaudited)
______________________________________
This section of the City of Pasadena’s annual comprehens ive financial re port 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. ______________________________________
Contents
Financial Trends
These schedules contain trend information to
help the reader understand how the City’s
financial performance and well-being have changed over time. 214
Revenue Capacity
These schedules contain information to help the reader assess the City’s most significant local revenue source, the property tax.
225
Debt Capacity
These schedules present information to help the
reader assess the affordability of the City’s
current levels of outstanding debt and the City’s ability to issue additional debt in the future. 234
Demographic and Economic Information
These schedules offer demographic and
economic indicators to help the reader understand the
environment within which the City’s financial activities take place. 247
Operating Information
These schedules contain service and infrastructure data to help th e reader understand how the
information in the City’s financ ial report relates to the servic es the City provides and the activities it performs.
252
Sources:

Unless otherwise noted, the information in these schedu les is derived from the annual comprehensive financial reports for the relevant year. The City implemente d GASB Statement 34 in 2002; schedules presenting government-wide information include information beginning in that year.

Annual Comprehensive Financial Report | June 30, 2021 213

STATISTICAL SECTION CITY OF PASADENA
214 Annual Comprehensive Financial Report | June 30, 2021 Net Position by Component
Last Ten Fiscal Years
(Accrual Basis of Accounting)
(in Thousands)
2012 2013 2014 2015
Governmental activities
Net inv estment in c a pital assets 3 8 2,296$ 430,453 419,328 408,195 Restricted 37,259 63,633 60,592 44,327
Unres tri cted 36,017 (41,046) (29,751) (339,336)
Total governmenta l a ctivities net position 4 5 5,572$ 453,040 450,169 113,186 Business-type activities
Net inv estment in c a pital assets 3 3 2,781$ 364,493 422,610 371,526 Res tri cted 149,763 144,017 133,791 176,248
Unres tri cted 188,164 185,593 159,948 114,512
Tot al business-t ype a ctivities net position 6 7 0,708$ 694,103 716,349 662,286 Primary government
Net inv estment in c a pital assets 7 1 5,077$ 794,946 841,938 779,721 Res tri cted 187,022 207,650 194,383 220,574
Unres tri cted 224,181 144,547 130,197 (224,824)
Total pri ma ry government net position 1 ,126,280$ 1,147,143 1,166,518 775,471 Fiscal Year

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30, 2021 215 Table 1
2016 2017 2018 2019 2020 2021
405,858 418,266 439,355 458,378 470,689 468,005$ 56,050 55,477 69,730 79,205 84,006 82,123
(325,826) (310,488) (362,358) (362,242) (364,572) (390,132) 136,082 163,254 146,726 175,341 190,123 159,996$ 449,141 408,944 420,692 434,358 458,534 486,944$ 153,241 171,545 152,811 142,806 128,220 126,668 131,037 183,279 199,209 230,707 244,811 240,454 733,419 763,768 772,712 807,871 831,565 854,066$ 854,999 827,210 860,047 892,736 929,223 954,949$ 209,291 227,022 222,541 222,011 212,226 208,791 (194,789) (127,209) (163,149) (131,535) (119,761) (149,678) 869,501 927,023 919,439 983,212 1,021,688 1,014,062$ Fiscal Year

STATISTICAL SECTION CITY OF PASADENA
216 Annual Comprehensive Financial Report | June 30, 2021 Changes in Net Position
Last Ten Fiscal Years
(Accrual Basis of Accounting)
(in Thousands)
2012 2013 2014 2015
Expenses
Governmenta l activities :

General gov ernment 35,085$ 54,650 53,260 38,902
P ublic safet y 103,389 105,541 104,708 106,327
Trans porta tion 63,839 45,045 59,581 49,526
Utilit y - - - -
Sanita tion 3,516 3,744 4,106 4,232
Health 11,422 14,228 14,239 13,764
C ult ur e and leisur e 27,825 29,402 31,321 30,127 Communi ty develo pment 42,169 35,156 31,669 35,248 Interest and other fiscal char ges 41,481 3,142 11,047 10,310 Total gov ernmental activ ities ex pens es 328,726 290,908 309,931 288,436 Business-t ype activities :

El ectri c 173 ,410 183,202 177,590 171,282
Water 43,771 46,484 51,054 48,462
Refuse 16,783 13,185 13,022 12,843
Pa rki ng 11,711 12,229 14,556 13,532
Telecommunication 267 827 849 89
Total business-t ype activities ex pens es 245,942 255,927 257,071 246,208 Total pri ma ry gov ernment ex pens es 574,668 546,835 567,002 534,644 Program Revenues
Governmenta l activities :

Cha rges for s ervi ces
General gov ernment 17,465 17,563 17,872 18,750
P ublic safet y 11,085 13,370 13,050 14,674
Trans porta tion 12,863 13,784 14,253 16,059
Sanita tion 7,220 7,083 8,010 7,875
Hea l th 666 741 797 1,022
C ult ur e and leisur e 2,856 2,975 3,382 3,566
Communi ty develo pment 9,594 9,085 12,935 12,630 Operatin g grants and contributions 86,051 38,350 35,948 41,943 Capital grants and contributions 15,665 7,116 16,504 16,197 Total gov ernmental activ ities progra m revenues 163 ,465 110,067 122,751 132,716 Business-t ype activities :

Cha rges for s ervi ces :

El ectri c 185 ,951 190,071 188,174 203,748
Water 54,301 58,536 61,233 57,440
Refuse 11,291 12,057 11,925 11,959
Pa rki ng 11,991 12,783 13,334 13,603
Telec ommunic ation 6 7 0 580 816 655
Operatin g grants and contributions - - - -
Capital grants and contributions 2,317 1,933 2,828 2,905 Tot al business-t ype activities progra m revenues 266 ,521 275,960 278,310 290,310 Total pri ma ry government progra m revenues 429,986 386,027 401,061 423,026 Net Revenues (Expenses)
Governmental activities (165,261) (180,841) (187,180) (155,720) Business-t ype activities 20,579 20 ,033 21 ,239 44 ,102 Total net revenues (expenses ) (144,682)$ (160,808) (165,941) (111,618) Fiscal Year

CITY OF PASADENA STATISTICAL SECTION
Table 2
2016 2017 2018 2019 2020 2021
59,425 42,895 45,755 49,619 67,355 72,811$
96,484 127,760 142,495 145,937 152,889 148,287
35,739 41,738 46,452 52,239 55,429 48,597
- - - - 6,134 171
4,267 4,290 4,376 4,117 4,600 6,783
10,914 10,558 11,347 13,401 15,367 17,465
32,286 34,249 38,365 37,135 37,224 45,291
72,725 39,787 45,114 47,304 52,019 57,362
9,187 8,611 8,411 7,889 6,425 6,500
321,027 309,888 342,315 357,641 397,442 403,267
174,858 183,522 187,872 196,874 197,138 196,389
45,240 48,009 54,757 56,738 58,974 63,933
14,421 14,330 15,695 16,528 19,429 20,059
14,488 13,062 14,140 14,502 14,713 12,097
141 110 144 170 164 189
249,148 259,033 272,608 284,812 290,418 292,667
570,175 568,921 614,923 642,453 687,860 695,934
18,053 14,651 10,861 11,203 20,245 13,504
14,841 19,244 15,708 15,297 13,656 10,322
16,384 16,663 28,165 30,555 26,933 20,811
7,008 7,127 7,665 8,193 7,728 7,321
644 870 2,346 2,432 2,497 2,154
4,504 5,870 3,181 2,748 1,725 674
14,193 15,803 13,286 14,954 12,487 11,795
40,422 41,050 47,058 59,763 56,837 60,764
15,383 9,083 14,190 8,582 36,663 9,449
131,432 130,361 142,460 153,727 178,771 136,794
199,197 202,480 212,116 218,054 217,873 222,266
50,835 58,287 62,592 60,181 62,466 71,269
11,880 11,775 11,413 11,743 11,644 11,502
14,621 14,595 14,560 13,977 11,229 9,198
609 669 471 680 439 568
- - 2,355 1,462 1,784 2,777
2,790 4,811 4,112 3,615 2,934 4,248
279,932 292,617 307,619 309 ,712 308,369 321,828
411,364 422,978 450,079 463,439 487,140 458,622
(189,595) (179,527) (199,855) (203,914) (218,671) (266,473) 30,784 33 ,584 35 ,011 24 ,900 17,951 29,161
(158,811) (145,943) (164,844) (179,014) (200,720) (237,312)$ (continued)
Fiscal Year
Annual Comprehensive Financial Report | June 30, 2021 217

STATISTICAL SECTION CITY OF PASADENA
Changes in Net Position (continued)
Last Ten Fiscal Years
(Accrual Basis of Accounting)
(in Thousands)
2012 2013 2014 2015
General Revenues and Other Changes in Net Position
Governmenta l activiti es :

Taxes:

Property tax, lev ied for general purpose 54,051$ 42,957 44,066 56,446 Sales tax 32,239 30,871 33,198 33,706
Utilit y users' tax 29,318 29,531 28,893 29,316
Transient occu panc y tax 9,553 11,109 12,043 13,165 Cons truction ta x 2,819 2,066 3,682 4,770
Business lic ense t ax 5,479 5,230 5,633 5,836
Fra nchi s e tax 2,015 2,063 2,361 2,903
Other taxes 6,262 6,532 7,088 7,181
Other inter gov ernmental 14,919 15,187 15,924 16,648 Inv estment earnin gs3 ,178 2,681 4,833 4,461
Gain on sale of assets 5,396 424 1,153 370
M isc ellaneous r ev enues 1 1,509 4,023 4,655 4,863 Reinstatement of P C DC loan - - - -
Transfers 19,285 22,083 16,305 14,657
Extraordinar y ga i n 150,399 (2,197) - -
Total governmental activities 346,422 172 ,560 179 ,834 194 ,322 Business-type activities:

Taxes:

Transient occu panc y ta x 541 - - -
Franchise tax 2,760 3,825 3,907 4,319
Inv estment earnin gs9 ,401 4,743 7,136 5,529
Gain on sale of assets - (92) (1,161) -
M isc ellaneou
s r ev enues 6,670 20,614 8,977 15,631
Transfers (19,300) (20,974) (16,305) (14,657)
Extraordin
ary gain 1 0,825 - - -
Tot al business-t ype activities 10,897 8,116 2,554 10,822 Total pri ma ry government 357,319 180 ,676 182 ,388 205 ,144 Changes in Net Position
Governmental activities 181,161 (8,281) (7,346) 38,602 Business-t ype activities 31,476 28,149 23,793 54,924 Total pri ma ry government $ 212 ,637 19,868 16,447 93,526 Fiscal Year
218 Annual Comprehensive Financial Report | June 30, 2021

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30, 2021 219 Table 2
2016 2017 2018 2019 2020 2021
59,141 68,752 63,483 68,275 70,689 76,579$
36,855 35,708 35,076 44,616 57,513 62,308
28,100 28,251 27,881 26,982 26,966 26,938
14,864 15,229 15,814 16,948 13,090 6,298
4,375 3,491 3,265 4,985 4,091 2,097
6,483 6,347 7,196 7,302 6,900 6,351
2,542 2,797 2,733 2,881 2,827 2,813
7,335 7,298 7,449 7,286 1,614 5,661
18,005 18,259 19,996 20,345 20,831 25,424
4,955 1,857 3,008 10,922 8,231 2,518
(60) - (299) - 2,288
14,621 8,224 11,372 8,270 5,493 3,091
11,128 - - - - -
15,033 18,652 18,766 13,976 14,349 16,267
- - - - - -
223,376 214 ,865 215 ,740 232 ,788 234 ,882 236 ,345 - - - - - -
4,575 4,893 5,359 5,787 6,083 5,722
6,593 2,372 2,506 16,216 10,940 1,033
(311) - (49) (1,114)
42,427 8,154 2,552 3,346 3,069 2,852
(15,033) (18,652) (18,766) (13,976) (14,349) (16,266) - - - -
- -
38,252 (3,234) (8,398) 10,259 5,743 (6,659)
261,627 211 ,631 207 ,342 243 ,047 240 ,625 229 ,686 33,781 35,338 15,885 28,874 16,211 (30,128)
69,036 30,351 26,613 35,159 23,694 22,502
102,816 65,688 42,498 64,033 39,905 $ (7,626)
Fiscal Year

STATISTICAL SECTION CITY OF PASADENA
220 Annual Comprehensive Financial Report | June 30, 2021 Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
(in Thousands)
2012 2013 2014 2015
General Fund:

Nons pendable 8,352$ 8,351 8,352 8,620
Restricted - - - 400
Committed 80,043 37,380 34,868 30,951
A ssigned 5,510 4,249 5,043 11,087
Unassi gned (40,129) 11,965 15,015 12,140
Total General Fund 53,776$ 61,945 63,278 63,198 All Other Governmental Funds:

Nons pendable 36,311$ 33,356 31,674 30,997
Restricted 85,250 69,676 57,300 52,516
Committed 59,078 62,629 72,479 87,144
Assigned - - - -
Una s s i gned (6,874) (4,265) (7,981) (7,482)
Total all other governmental funds 173,765$ 161,396 153,472 163,175 Total Governmental Funds 227,541$ 223,341 216,750 226,373 Fiscal Year

CITY OF PASADENA STATISTICAL SECTION
Table 3
2016 2017 2018 2019 2020 2021
12,236 11,108 4,545 1,590 14,853 13,626$
400 400 10,995 11,631 12,106 13,718
33,451 47,563 46,949 50,775 55,120 51,687
17,227 26,825 12,426 15,099 25,082 31,326
15,139 3,832 11,957 19,605 445 (11,294)
78,453 89,727 86,872 98,700 107,606 99,063$
7,799 2,482 1,574 1,478 1,554 1,550$
55,650 55,077 58,597 67,575 71,848 68,307
101,338 106,631 108,569 121,002 115,446 111,319
- - - - 1,652 1,944
(8,126) (10,950) (2,273) (3,574) (5,180) (6,133) 156,661 153,240 166,467 186,481 185,320 176,987$
235,114 242,967 253,339 285,181 292,926 276,050$
Annual Comprehensive Financial Report | June 30, 2021 221

STATISTICAL SECTION CITY OF PASADENA
222 Annual Comprehensive Financial Report | June 30, 2021 Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
(in Thousands)
2012 2013 2014 2015
Revenues:

Ta xes 141,736$ 130,356 136,965 153,323
Licenses and permits 9,525 9,196 13,675 11,235
Inter gov ernmental rev enues 64,715 58,988 61,505 63,785 Cha rges for s ervi ces 38,939 42,006 43,416 49,413 Fines and forfeits 6,796 7,453 6,768 7,329
Inv estment earnin gs1 1,745 11,041 5,255 4,294
Rental income 4,462 4,355 4,064 3,822
M isc ellaneous r ev enues 1 3,618 6,172 6,081 7,133 Contri buti ons 5,280 1,534 7,807 11,759
Tota l revenues 296,816 271,101 285,536 312,093
Expenditures:

Current:

General gov ernment 77,897 30,977 34,613 44,283
P ublic safet y 100,265 99,680 99,871 106,469
Trans porta tion 35,275 34,419 36,912 37,018
Utilit y - - - -
Sanitati on 3,517 3,744 4,106 4,274
Health 10,899 13,480 13,551 13,553
C ultur e and leisur e 2 7,192 28,240 30,039 30,505 Communit y develo pment 37,848 32,447 29,579 31,933 Capital outla y 20,645 24,907 23,571 16,855
Debt service:

Pri ncipa l reti rement 20,303 20,415 20,808 129,469 Interes t 16,486 10,783 9,797 8,730
Bond issuanc e c ost s - - - -
Tota l expendi tures 350,327 299,092 302,847 423,089 Excess (deficiency) of revenues over (under)
expendi tures (53,511) (27,991) (17,311) (110,996)
Other financing sources (uses):

Premi um (discount ) on debt issued - (459) - -
Issuanc
e of lon g-term debt - 51,097 841 351
Payment to refunded bond escrow a gent - - - -
Proceeds from sale of ca pital assets - - - -
Transfers in 95,951 81,635 84,444 61,085
Transfers out (77,238) (63,131) (65,045) (50,718)
Reinstate
ment of P C DC loan - - - -
Total other financin g sour c es (uses ) 18,713 69,142 20,240 10,718 Extraordinary gain (loss): - - - 152,582
Net chan ge in fund balances (34,798)$ 41,151 2,929 52,304 Debt service as a percentage of noncapital
expenditures 11.2% 11.4% 11.0% 34.0%
Fiscal Year

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 3
0, 2021 223
Table 4
2016 2017 2018 2019 2020 2021
159,694 167,874 162,898 179,275 183,689 189,044$ 14,946 14,882 15,022 13,979 13,297 12,791
65,299 62,121 74,093 75,237 78,475 87,260
46,984 49,324 53,417 59,111 53,066 45,996
7,378 7,802 7,262 6,377 6,520 3,491
4,780 1,752 1,597 9,207 7,536 2,445
4,212 4,765 4,418 4,326 10,748 3,252
16,341 12,072 14,240 11,929 7,082 5,792
6,496 5,397 5,512 12,476 8,103 3,630
326,130 325,989 338,459 371,917 368,516 353,701 47,488 42,054 38,611 40,655 73,958 65,554
111,012 116,577 126,827 133,461 138,942 138,803 35,282 40,196 45,078 49,621 50,298 44,110
- - - - 6,134 171
4,356 4,324 4,352 4,300 4,493 6,669
11,294 10,309 10,977 12,522 14,250 16,265
32,241 32,663 37,111 34,529 34,266 41,355
60,841 34,370 39,365 40,599 45,126 47,952
29,032 32,254 28,707 21,492 23,795 15,985
6,611 6,345 10,520 5,996 5,572 5,117
8,139 8,744 8,558 8,220 6,081 6,559
- - - - 562 -
346,296 327,836 350,106 351,395 403,477 388,540 (20,166) (1,847) (11,647) 20,522 (34,961) (34,839) (2,283) 5,790 - - - -
119,460 60,460 - - 138,605 -
- (60,762) - - (131,154) -
- - - -
31,819 -
51,606 121,920 80,737 76,926 72,394 67,461
(38,028) (109,631) (62,326) (62,000) (67,530) (49,497) - 11,128 - - - -
130,755 28,905 18,411 14,926 44,134 17,964
(2,197) - - - - -
108,392 27,058 6,764 35,448 9,173 (16,875)$

4.6% 5.1% 5.9% 4.3% 3.1% 3.1%
Fiscal Year

(This page intentionally left blank)
224

Table 5
Assessed Value and Actual Value of Taxable Property
Last Ten Fiscal Years
(in Thousands)
Fiscal Secured Homeowners' Net Secured Unsecured Total Assessed Total Direct Year Valuations Exemption Valuations Valuations Valuation Tax Rate 2012 20,969,532$ (137,843)$ 20,831,689$ $ 567,527 21,399,216$ 0.32% 2013 21,368,295 (136,241) 21,232,054 571,614 21,803,668 0.24% 2014 22,534,203 (134,257) 22,399,946 575,006 22,974,952 0.22% 2015 23,756,525 (131,813) 23,624,712 608,539 24,233,251 0.25% 2016 25,354,224 (130,238) 25,223,986 602,659 25,826,645 0.26% 2017 26,599,121 (128,241) 26,470,880 625,032 27,095,912 0.30% 2018 28,631,957 (126,543) 28,505,414 638,858 29,144,272 0.25% 2019 30,388,233 (124,908) 30,263,325 662,995 30,926,320 0.23% 2020 32,158,077 (123,481) 32,034,595 672,205 32,706,801 0.25% 2021 34,107,320 (120,266) 33,987,055 676,673 34,663,728 0.25% NOTE:

Amounts pertaining to the Pasadena Community Development Commission and the City have been combined.

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 at the time that it is sold to a new owner. At that point, the new assessed value is reassessed at the purchase price of th e 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: Los Angeles County Assessor 2020-21 Combined Tax Rolls

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30, 2021 225

STATISTICAL SECTION CITY OF PASADENA
226 Annual Comprehensive Financial Report | June 30, 2021 Direct and Overlapping Property Tax Rates
Last Ten Fiscal Years
(Rate per $100 of assessed value)
2012 2013 2014 2015
City Direct Rates:

Ci ty bas i c ra te 0.1921 0.1970 0.1918 0.2329
Pasadena Communit y Develo pment Commission (PCDC) 0.0605 - - - P C DC Suc c essor Agenc y 0.0657 0.0437 0.0282 0.0219 Total Cit y Di rect Ra te 0.3183 0.2407 0.2200 0.2548 Overlapping Rates:

Los Angeles C ount y Genera l 0.3346 0.4266 0.4483 0.4118 La Cañada Unified School District
Pa s a dena School Di s tri ct 0.3589 0.4389 0.4379 0.4389 Pasadena Communit y
C ollege Di s tri ct 0.1121 0.1248 0.1247 0.1254
Fl ood Control Di s tri ct - - - -
Me tropol i ta n Wa ter Di s tri ct 0.0037 0.0035 0.0035 0.0035 Total Di rect Rate 1.1276 1.2345 1.2345 1.2344
Fiscal Year
NOTE:

In 1978, California voters passed Proposition 13 which sets the prop erty 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 additi on to the 1.00% fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of the various intergovernmental overlapping debt.

PCDC dissolved in January 2012, thereby, this schedule represents its seven months of enforceable obligations. The remaining five months are reported under the Successor Agency for the former PCDC.

The La Cañada Unified School District Election of 2017 General Obligation Bonds, Series A, were authorized at an election of the registered voters of the La Cañada Unified School Di strict. The Bonds are general obligations of the District payable solely from the proc eeds of ad valorem property taxes. The total ad valorem tax rates levied, as a percentage of assessed valuation, by all taxing entities in Tax Rate Area 4774, which includes Pasadena Area Community College District.

Source: Los Angeles County Assessor 2020-21 Combined Tax Rolls

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 3
0, 2021 227
Table 6
2016 2017 2018 2019 2020 2021

0.2290 0.2537 0.2178 0.2208 0.2161 0.2209
- - - - - -

0.0331 0.0479 0.0356 0.0096 0.0301 0.0335

0.2621 0.3016 0.2534 0.2304 0.2462 0.2544

0.4060 0.3647 0.4169 0.4396 0.4238 0.4377
- - - 0.0579 0.0552 0.0562

0.4375 0.4386 0.4359 0.4363 0.4365 0.4276

0.1254 0.1260 0.1248 0.1247 0.1245 0.1205
- - - - - -

0.0035 0.0035 0.0035 0.0035 0.0035 0.0035

1.2345 1.2345 1.2345 1.2924 1.2897 1.2999
Fiscal Year

STATISTICAL SECTION CITY OF PASADENA
Table 7
Principal Property Taxpayers
Current Year and Ten Years Ago
Percent of Percent of
Total City Total City
Total Taxable Total Taxable
Assessed Assessed Assessed Assessed
Property Owner Valuation Valuation Valuation Valuation
Kaiser Foundation Health Plan 312,665,801$ 0.96% 219,217,122$ 1.05% CPUS Pasadena LP 277,102,627 0.85% - 0.00%
CVFI S Lake Ave LP 264,261,600 0.81% - 0.00%
CSCDA Community Improvement Authority 252,732,309 0.77% - 0.00% BPP East Union LLC 217,568,855 0.67% - 0.00%
Capref Paseo LLC Lessor 193,215,808 0.59% - 0.00% Pacific Huntington Hotel Corp 185,066,874 0.57% 152,481,783 0.73% PPF Off 100 W Walnut St LP 184,882,266 0.57% - 0.00% PPF Off 74 N Psdna Ave 171,813,681 0.53% - 0.00% Western Asset Plaza LLC 171,091,790 0.52% - 0.00% Leonard M Marangi Et Al Trust - 0.00% 488,287,923 2.33% Pase o Colorado Holdings L L C - 0.00% 192,843,484 0.92% Equity Office Properties Trust - 0.00% 127,437,391 0.61% Ti shman Speyer Archstone Smi th - 0.00% 119,279,517 0.57% SSR Paseo Colorado LLC - 0.00% 110,712,369 0.53%
South Lake Ave Investors LLC - 0.00% 108,414,246 0.52% BCSP Pasadena Towers Properti es LLC - 0.00% 97,505,455 0.47% SPF 888 Walnut Pasadena LLC - 0.00% 89,600,000 0.43%
Total principal prope rty taxpaye rs
gross assessed value 2,230,401,611$ 6.84% 1,705,779,290$ 8.16% 2020 2011
NOTE:

The amounts shown above include assess
ed value data for both the City and the Redevelopment Agency.

Data is only presented for the top ten properties in each of the two years presented.

Source: HdL Coren & Cone, starting from FY2021.
228 Annual Comprehensive Financial Report | June 30, 2021

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 3
0, 2021 229
Table 8
Property Tax Levies and Collections 1
Last Ten Fiscal Years
Fiscal Tax
es Levied Collections in
Year Ended for the Percent Subsequent Percent
June 30 Fiscal Year Amount of Levy Years Amount of Levy 2 2012 38,752,298 38,214,429 99.92% 567,546 38,214,429 98.61% 2013 39,044,561 38,331,579 99.63% 516,462 38,331,579 98.17% 2014 41,214,435 41,488,565 100.67% 626,989 41,488,565 100.67% 2015 43,784,611 53,950,721 123.22% * 53,950,721 123.22% 2016 46,436,623 3 56,653,799 122.63% * 56,653,799 122.63% 2017 48,735,223 3 66,159,085 134.82% * 66,159,085 134.82% 2018 52,461,971 3 58,934,277 112.34% 608,224 58,934,277 112.34% 2019 55,562,005 65,535,044 117.95% * 65,535,044 117.95% 2020 59,511,441 67,889,708 114.08% * 67,889,708 114.08% 2021 62,968,533 73,748,044 117.12% * 73,748,044 117.12% Collected within the
Fiscal Year of Levy Total Collections to Date
NOTE:
1 Excludes collections from Police Building General Obligation Bond Assessment. 2 This percentage may exceed 100%, because information provided by Tax Assessor may not clearly identify the year collected. 3 Taxes Levied for the Fiscal Years 2016, 2017 and 2018 restated on Fiscal Year 2019 table. * Collection in subsequent year information not available.

Source: County of Los Angeles, Department of Auditor-Controller, Information for Reconciliation of Taxes

STATISTICAL SECTION CITY OF PASADENA
230 Annual Comprehensive Financial Report | June 30, 2021 Electricity Sold by Type of Customer
Last Ten Fiscal Years
(in Megawatt-Hours)
2012 2013 2014 2015
Type of C ustomer:

Residential 316 ,084$ 334,179 316,631 324,657
C ommer cial and industr ial 7 8 3,296 776,816 783,878 768,735 Street li ghts and traffic si gnals 15,598 15,683 13,678 13,423 Wholesales to other utilities 1 9 9,045 185,361 36,811 30,969 Other (867) 574 - -
Tota
l 1,313,156 1,312,613 1,150,998 1,137,784
Total direct rate per mega wa tt hour 1 147.09 139.95 162.46 163.43 Fiscal Year
NOTE:
1 Rate represents average cost per megawatt hour with respect to total revenue sales from electricity.

Source: Pasadena Water and Power

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 3
0, 2021 231
Table 9
2016 2017 2018 2019 2020 2021
326,023 320,280 320,878 325,487 319,437 344,009$ 755,510 720,678 709,597 686,614 657,633 586,683
13,384 13,368 13,372 13,371 12,273 11,573
310 - 20,719 26,868 68,714 32,496
- - - - - -
1,095,227 1,054,326 1,064,566 1,052,340 1,058,057$ 974,761$ 173.54 178.48 179.07 174.22 173.28 191.00
Fiscal Year

STATISTICAL SECTION CITY OF PASADENA
Table 10
Electricity Rates
Last Ten Fiscal Years
(Average Rate in Dollar per Kilowatt-Hour)
Fiscal
Year Ended Commercial & Street Li ghts &
June 30* Residential Industrial Traffic Signals
2012 0.1570 $ 0.1362$ 0.1396$
2013 0.1613 0.1443 0.1313
2014 0.1612 0.1442 0.1427
2015 0.1784 0.1556 0.1514
2016 0.1827 0.1582 0.1505
2017 0.1826 0.1597 0.1467
2018 0.1927 0.1684 0.1495
2019 0.1940 0.1677 0.1495
2020 0.2092 0.1867 0.1793
2021 0.2106 0.1903 0.1813
NOTE:
* FY 2012 - FY 2021 include Public Benefit Charge (PBC) Source: Pasadena Water and Power
232 Annual Comprehensive Financial Report | June 30, 2021

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 3
0, 2021 233
Table 11
Electricity Customers
Current Year
Percent of
Electricity Operating Electric
Electricity Customer Charges Revenues
P asadena Hospit al Assoc iation 5 ,2 7 8 ,8 5 6$ 2.37% Wa ter Depa rtment 2,728,063 1.23%
California Institute of Technology 2,504,413 1.12% Street l i ghts 2,129,807 0.96%
Pasadena Unified School District 2,100,015 0.94%
Pasadena City College 1,940,169 0.87%
Publ i c Works 1,722,860 0.77%
Kaiser Permanente 1,383,747 0.62%
Metropolitan Transit Authority 1,172,088 0.53%
Art Center Col l ege of Des i gn 1,111,970 0.50%
22,071,987$ 9.91%
2021
Source: Pasadena Water and Power

STATISTICAL SECTION CITY OF PASADENA
234 Annual Comprehensive Financial Report | June 30, 2021 Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
General Tax
Obligation Revenue Pension Certificates of Allocation
Bonds Bonds Bonds Participation Bonds *
-$ 7,880,000 143,040,000 94,920,443 -
- 6,700,000 133,905,000 85,772,925 -
- 6,180,000 123,890,000 76,589,936 -
- 5,617,649 117,184,671 73,165,019 -
- 5,059,568 117,259,853 73,397,830 -
- 4,501,487 117,335,939 68,275,669 -
- - 117 ,412,025 62,967,375 -
- - 117 ,488,112 57,635,920 -
- - 136 ,738,949 55,477,731 -
- - 134 ,885,718 53,219,542 -
Governmental Activities
Fiscal Year
Ended
June 30
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
NOTE:
* FY 2012's balance from Tax Allocation Bonds under Govern m ental Activities were transferred to FY 2012's Long-Term Liabilities under Private Purpose Trust Fund.
** Beginning with fiscal year 2015, the City implemented GASB 68, so the pension liability amount was removed from the long term debt section.

Beginning with fiscal year 2018, the City implemented GASB 75, so the other post-employment benefits liability amount was removed from the long term debt section.

Beginning with fiscal year 2019, the City implemented GASB 88, so the other comp ensated absences and insurance claim liability amount were removed from the long term debt section.

Source: City of Pasadena Notes to Financial Statements and Statistical Table 18

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30
, 2021 235
Table 12
Capitalized Total
Lease Notes Governmental
Obligations Payable Other ** Activities
9,494,610 685,000 61,632,939 317,652,992$
8,532,705 925,642 75,837,593 311,673,865
7,542,101 561,673 89,295,467 304,059,177
6,153,430 547,411 67,172,783 269,840,963
4,838,030 6,532,849 69,774,761 276,862,891
3,360,807 6,217,983 87,229,120 286,921,005
1,844,179 5,902,803 59,668,752 247,795,134
832,685 5,587,305
6,811,926 5,271,481
5,876,051 4,955,325
181,544,022
204,300,087
198,936,636
(continued)
Governmental Activities

STATISTICAL SECTION CITY OF PASADENA
236 Annual Comprehensive Financial Report | June 30, 2021 Ratios of Outstanding Debt by Type (continued)
Last Ten Fiscal Years
Fiscal Year Capitalized Total
Ended Revenue Certificates of Lease Notes Business-type June 30 Bonds Participation Obligations Payable Other Activities 2012 251,565,000$ 13 ,764,557 78,828 1,283,965 2,641,858 269 ,334,208 2013 239 ,665,000 9,837,075 44,626 1,139,066 3,346,787 254 ,032,554 2014 304 ,245,000 8,125,064 9 ,096 986,804 (3,040,335) 310,325,629 2015 303 ,423,927 6,300,977 - 826,805 - 310 ,551,709 2016 289,292,444 4,358,024 - 658,777 - 294 ,309,245 2017 366,890,070 2,291,366 - 482,108 - 369 ,663,544 2018 348,915,418 105,841 - 296,462 - 349 ,317,721 2019 330,295,767 - 3,252,694 101,224 - 333 ,649,685 2020 311,558,207 - 2,824,168 - - 314 ,382,375 2021 306,453,348 - 2,384,123 - - 308 ,837,471 Business-type Activities
NOTE:
* FY 2012's balance from Tax Allocation Bonds under Gove rnmental Activities were transferred to FY 2012's long-term liabilities under Private Purpose-Trust Fund.

Source: City of Pasadena Notes to Financial Statements and Statistical Table 18

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 3
0, 2021 237
Table 12
Total Private Purpose Percenta geD ebt
Primary Long-Term of Personal per
Government Liabilities* Income * Capita
586,987,200$ 66 ,886,678 10.77% 4,192
565,706,419 51,256,905 10.86% 4,016
614,384,806 48,552,905 10.34% 4,359
580,392,672 7,525,000 9.73% 4,116
571,172,136 16,553,159 9.67% 3,985
656,584,549 10,483,543 10.44% 4,547
597,112,855 3,501,092 8.86% 4,081
515,193,707 635,000 8.24% 3,557
518,682,462 435,000 8.11% 3,570
507,774,107 225,000 7.51% 3,495
Business-type Activities

STATISTICAL SECTION CITY OF PASADENA
238 Annual Comprehensive Financial Report | June 30, 2021 Ratios of General Bonded Debt Outstanding
Last Ten Fiscal Years
Fiscal Year General Tax
Ended Obli gation Revenue Pension Certificates of Allocation June 30 Bonds Bonds Bonds Participation Bonds ** Total
2012 - $ 7 ,880,000 143,040,000 94,920,443 - 245 ,840,443 2013 - 6 ,700,000 133,905,000 85,772,925 - 226 ,377,925 2014 - 6 ,180,000 123,890,000 76,589,936 - 206 ,659,936 2015 - 5 ,617,649 117,184,671 73,165,019 - 195 ,967,339 2016 - 5 ,059,568 117,259,853 73,397,830 - 195 ,717,251 2017 - 4 ,501,487 117,335,939 68,275,669 - 190 ,113,095 2018 - - 117 ,412,025 62,967,375 - 180 ,379,400 2019 - - 117 ,488,112 57,635,920 - 175 ,124,032 2020 - - 136 ,738,949 55,477,731 - 192 ,216,680 2021 - - 134 ,885,718 53,219,542 - 188 ,105,260 Outstanding General Bonded Debt
NOTE:

General bonded debt is debt payable with governmental fund r esources and general obligation bonds recorded in enterprise funds, of which, the City has none.
1 Assessed value has been used, because the actual value of taxable property is not readily available in the State of California. ** FY 2012's balance from Tax Allocation Bonds under Governmental Activities were transferred to FY 2012's long-term liabilities under the Private-Purpose Trust Funds.

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30,
2021 239
Table 13
Restricted Percent of
Net Assets for Net Assessed Per
Debt Service Bonded Debt Value 1 Capita
-$ 245 ,840,443 1.15% 1,756
31,126,374 195,251,551 1.04% 1,607
24,754,798 181,905,138 0.90% 1,466
9,723,366 186,243,973 0.81% 1,321
12,036,110 183,681,141 0.71% 1,281
11,519,460 178,593,635 0.70% 1,237
11,528,304 168,851,096 0.62% 1,154
11,931,653 163,192,379 0.57% 1,127
11,883,151 180,333,529 0.59% 1,241
8,209,125 179,896,135 0.54% 1,238

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240

Table 14
Direct and Overlapping Debt
June 30, 2021
C it y A ssessed Valuat ion 29,440,738,527$
Redev elopment Agenc y Inc r emental Valuation 5 , 2 2 2 ,9 8 9 , 4 0 7 Tot al Assessed Valuat ion 34,663,727,934$
Es tima ted
Outs tandin g Share of
Percenta ge Debt at Ov erlapp in g
App lic able 1 June 30, 2021 Debt
Metropol i tan Water Di s tri ct 2.184% 13,101,783$ 286,143$ Pa s a dena Area Communi ty Col l ege Di s tri ct 35.200% 62,530,000 22,010,454 La Ca ña da Uni fi ed School Di s tri ct 0.213% 75,420,000 160,926 Pa s a dena Uni fi ed School Di s tri ct 73.824% 338,380,000 249,806,251 Total ov er lapping tax and assessment debt 4 8 9 ,4 3 1 ,7 8 3$ 272,263,774$ Ci ty direct debt 198,936,636
Total direct and overlapping debt 1 471,200,410$
NOTE:
1 For debt repaid with property taxes, the percentage of overlapping debt applicable is estimated using taxable assessed property values.

Applicable percentages were estimated by determining the portion of another governmental unit's taxable assessed value that is within the city's boundaries and dividing it by each unit's total taxable assessed value.

Overlapping governments are those that coincide, at least in pa rt, with the geographic boundaries of the City. This schedule e stimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of the City. This process recognizes that, when considering the City's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and the refore responsible for repaying the debt, of each overlapping government. The City Direct Debt amount does not include business-type activities debt.

Source: HdL Coren & Cone, Los Angeles County Assessor and Auditor Combined 2020-21 Lien Date Tax Rolls

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30, 2021 241

STATISTICAL SECTION CITY OF PASADENA
242 Annual Comprehensive Financial Report | June 30, 2021 Legal Debt Margin Information
Last Ten Fiscal Years
(in Thousands)
2012 2013 2014 2015
Assessed v aluat ion 5 6 7,527$ 571,614$ 575,006$ 24,233,251$ Conve rs i on percenta ge 25% 25% 25% 25%
Adjust ed assessed v aluation 1 41,882 142,904 143,752 6,058,313 Debt limit percenta ge 15% 15% 15% 15%
Debt limit 21,282 21,436 21,563 908,747
Tota l net debt a pp lic able t o limit : -$ -$ -$ -$ Legal debt mar gin 21 ,28 2$ 21,436$ 21,563$ 908,747$ Total debt a pp lic able to the limit
as a percenta ge of debt l i mi t 0.0% 0.0% 0.0% 0.0%
Fiscal Year
NOTE:

The Government Code of the State of Cali
fornia 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 refl ect 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 of Pasadena, Department of Finance
Los Angeles County Tax Assessor

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June
30, 2021 243
Table 15
2016 2017 2018 2019 2020 2021
25,826,921$ 27 ,095,911$ 29,144,272$ 30,926,320$ 32,706,801$ 34,663,728$ 25% 25% 25% 25% 25% 25%
6,456,730 6,773,978 7,286,068 7,731,580 8,176,700 8,665,932 15% 15% 15% 15% 15% 15%
968,510 1,016,097 1,092,910 1,159,737 1,226,505 1,299,890 -$ -$ -$ -$ -$ -$
968,510$ 1,016,097$ 1,092,910$ 1,159,737$ 1,226,505$ 1,299,890$

0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Fiscal Year

STATISTICAL SECTION CITY OF PASADENA
244 Annual Comprehensive Financial Report | June 30, 2021 Pledged-Revenue Coverage
Governmental Activity Debt
Last Ten Fiscal Years
(in Thousands)
Fiscal Year
Ended Property
June 30 Taxes Principal Interest Coverage
2012 41,106$ -$ -$ -$
2013 44,066 - - -
2014 44,066 - - -
2015 56,446 - - -
2016 59,141 - - -
2017 68,752 - - -
2018 63,484 - - -
2019 68,276 - - -
2020 70,689 - - -
2021 76,579 - - -
General Obligation Bonds
Debt Service
NOTE:

Details regarding the City's outstanding debt can be found in the Notes to the Financial Statements. * Up to January 31, 2012, the date of PCDC dissolution, tax increment was reported under Primary Government grouping. **As of February 1, 2012, tax increment is reported under Private-Purpose Trust Fund grouping.

Prior to fiscal year 2015, gross amount was reported (before deduction of pass-through and County administrative cost).

Starting in fiscal year 2015, net amount is reported (post deduction of pass-through and county administrative cost).

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 3
0, 2021 245
Table 16
Tax Tax
Increment Principal Interest Coverage Increment ** Principal Interest Coverage 12,945$ 455$ 182$ 20$ 14 ,065$ 500$ 65$ 25$ - - - - 9 ,537 13,433 1,187 0.65
- - - - 6 ,486 2,704 725 1.89
- - - - 1 ,925 2,245 409 0.73
- - - - 4 ,965 2,100 284 2.08
- - - - 9 ,327 2,235 234 3.78
- - - - 4 ,586 2,360 177 1.81
- - - - 143 195 35 0.62
- - - - 65 200 26 0.29
- - - - 8 210 16 0.04
Tax Allocation Bonds
Primary Government* Private-Purpose Trust Fund**
Debt Service Debt Service

STATISTICAL SECTION CITY OF PASADENA
Table 17
Pledged-Revenue Coverage
Business-Type Activity Debt
Last Ten Fiscal Years
(in Thousands)
Fiscal Year Light & Less Net
Ended Power Operating Available
June 30 Revenue
1 Expenses
2 Revenue Principal Interest Coverage
2012 192,542$ 149,327$ 43,215$ 7,945$ 6,181$ 305.93% 2013 193,400 159,351 34,049 9,060 5,885 227.83%
2014 193,701 155,663 38,038 8,695 7,190 239.46%
2015 207,745 147,810 59,935 8,950 8,715 339.29%
2016 204,224 146,510 57,714 9,340 8,347 326.31%
2017 204,287 151,499 52,788 11,290 10,865 238.27%
2018 213,873 148,636 65,237 12,000 11,250 280.59%
2019 230,980 155,634 75,346 12,475 10,778 324.03%
2020 226,285 156,038 70,247 13,005 10,249 302.09%
2021 222,862 155,468 67,394 13,930 9,679 285.46%
Fiscal Year Less Net
Ended Water Operating Available
June 30 Revenue
1 Expenses
2 Revenue Principal Interest Coverage
2012* 54,777$ 36,413$ 18,364$ 2,390$ 4,340$ 272.87% 2013 58,839 37,699 21,140 2,985 4,188 294.72%
2014 61,772 42,615 19,157 3,070 4,045 269.25%
2015 58,039 38,810 19,229 3,185 3,915 270.83%
2016 51,538 35,501 16,037 3,305 3,782 226.29%
2017 58,551 38,589 19,962 4,430 3,634 247.54%
2018 62,819 43,801 19,018 3,525 3,456 272.43%
2019 62,244 45,322 16,922 3,695 3,287 242.37%
2020 63,901 47,447 16,454 2,475 3,114 294.40%
2021 71,441 52,287 19,154 2,720 2,858 343.38%
Debt Service 3
Water Revenue Bonds
Debt Service 3
Light & Power Revenue Bonds
NOTE:

Details regarding the City's outstanding debt can be found in the Notes to the Financial S tatements. Operating expenses do not include interest or depreciation expenses.
1 Total operating revenues including investment earnings 2 Total operating expenses exclusive of depreciation
3 Requirements are reported on a cash basis, excluding premiums *Amount restated
246 Annual Comprehensive Financial Report | June 30, 2021

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30
, 2021 247
Table 18
Demographic Statistics
Last Ten Fiscal Years
Personal Per Capita 2
Fiscal Income Personal Unemployment 3
Year Population 1 (in thousands) Income Rate
2012 139,222 5,273,729 37,880 9.4%
2013 140,020 5,448,318 38,911 7.0%
2014 140,879 5,206,803 39,806 5.8%
2015 140,949 5,940,727 40,292 7.4%
2016 141,023 5,965,432 40,694 6.0%
2017 143,333 5,905,778 41,641 4.7%
2018 144,388 6,287,051 41,867 3.7%
2019 146,312 6,736,226 42,725 4.0%
2020 144,842 6,251,241 44,181 3.9%
2021 145,306 6,399,297 46,529 10.4%
Source:

HdL, Coren & Cone (2019-2021)
Avenu Insights & Analytics (2018 and prior)
1 California State Department of Finance
2 U.S. Census
Bureau, most recent American Community Survey
3 State of California Employment Development Department, Bureau of Labor Statistics Department

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248

Table 19
Principal Employers
Current Year and Nine Years Ago
Percent of 2 Percent of 2
Number of Total Number of Total
Employer Employees Em ployment Em ployees Em ployment
California Institute of Technology - Jet Propulsion
La bora tory 5,029 9.04% 5,029 14.96%
Ka i s er Perma nente 4,760 8.56% 4,760 14.16%
California Institute of Technology - Campus 3,900 7.01% 3,900 11.60% Hunti ngton Memori a l Hos pi ta l 3,200 5.75% 3,200 9.52% Pa s a dena Ci ty Col l ege 2,619 4.71% 1,500 4.46% Pa s a dena Uni fi ed School Di s tri ct 2,420 4.35% 3,000 8.92% City of Pasadena 1 2,260 4.06% 2,179 6.48%
Ba nk of Ameri ca 1,300 2.34% 1,300 3.87%
P ac ific C linic s Administ r at ion 1 ,1 0 0 1.98% 1,100 3.27% Art Ce nte r Col l e ge of De s i gn 883 1.59% 883 2.63% Hat haway -Sy c amor es 6 5 7 1.18% 615 1.83%
The Langham Huntington Hotel (The Ritz-Carlton) 592 1.06% 584 1.74% Ea s t Wes t Ba nk 569 1.02% 342 *
Western Asset Management Co. 558 1.00% 577 *
One Wes t Ba nk 554 1.00% 800 *
Southern California News Group/San Gabriel Valley
Newspapers 525 0.94% **
AT&T 491 0.88% 2,525 7.51%
2021 2012
Source: Pasadena Chamber of Commerce unless noted below:
1 For City of Pasadena, the number includes seasonal employees. The information was provided by City of Pasadena Human Resources. 2 Total Employment, as used above, represents the total employment of all employers located within City limi ts. The information was provided by City of Pasadena Busi
ness License Division.
* Data not available.

Annual Comprehensive Financial Report | June 30, 2021 249

CITY OF PASADENA STATISTICAL SECTION

STATISTICAL SECTION CITY OF PASADENA
250 Annual Comprehensive Financial Report | June 30, 2021 Full-time and Part-time City Employees by Function
Last Ten Fiscal Years
Function 2012 2013 2014 2015 2016
Genera l government 338.0 348.5 338.0 365.0 382.0 Publ i c s afety 560.0 562.9 540.0 548.0 550.0 Publ i c works 292.0 306.6 293.0 315.0 317.0 Tra ns porta ti on 43.0 45.0 51.0 50.0 51.0
Heal th 96.0 103.9 124.0 125.0 85.0
Cul ture a nd l ei s ure 210.0 192.2 281.0 94.0 97.0 Water and power 371.0 422.0 355.0 426.0 433.0 Informa ti on s ervices 150.0 104.9 140.0 107.0 108.0 Sea s ona l 119.0 288.0 267.0 192.0 265.0
Total 2,179.0 2,374.0 2,389.0 2,222.0 2,288.0
Fiscal Year
Source: City Payroll Office

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 3
0, 2021 251
Table 20
2017 2018 2019 2020 2021
405.0 394.0 392.5 466.9 387.2
563.0 561.0 556.8 564.8 564.8
320.0 320.0 320.0 319.0 272.0

51.0 50.0 50.0 50.0 51.0

80.0 84.0 89.1 105.6 98.4
103.0 107.0 104.7 106.8 230.2
443.0 406.0 418.0 417.0 419.0
108.0 105.0 103.6 103.6 100.0
262.0 260.0 242.0 41.0 84.0
2,335.0 2,287.0 2,276.6 2,174.5 2,206.5
Fiscal Year

STATISTICAL SECTION CITY OF PASADENA
252 Annual Comprehensive Financial Report | June 30, 2021 Operating Indicators by Function
Last Ten Fiscal Years
2012 2013 2014 2015
Police:

Arres ts 6,031 4,906 3,852 3,966
Transportation:

Pa rki ng ci ta ti ons i s s ued* 160,384 172,154 168,896 185,832 Fire:

Number of emergency ca l l s 16,431 16,570 17,368 18,237 Ins pecti ons 7,168 7,123 7,445 7,500
Water:

New connections 42 55 57 31
Average daily consumption (thousands of gallons) 25,174 26,982 28,368 25,436 Fiscal Year
NOTE:
* Parking citations were originally reported under Police Department. This category moved to Transportation Department in FY 2010, because a majority of parking tickets are issued by Transportation Department.

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30,
2021 253
Table 21
2016 2017 2018 2019 2020 2021
4,210 4,078 5,701 6,018 5,444 2,429
166,481 175,430 150,945 129,108 125,715 68,620
19,488 19,458 19,483 19,016 19,223 16,947
8,296 9,251 9,096 8,959 8,253 6,006
35 98 100 88 65 63
21,144 22,535 24,757 23,519 23,083 25,331
Fiscal Year

STATISTICAL SECTION CITY OF PASADENA
254 Annual Comprehensive Financial Report | June 30, 2021 Capital Asset Statistics by Function
Last Ten Fiscal Years
2012 2013 2014 2015
Police:

Stations 1 1 1 1
Subs tations 5 5 5 3
Fire:

Fire stations 7 8 8 8
Transportation:

Streets (miles ) 322 322 357 357
Streetli ghts 17,100 17,207 17,452 17,584
Traffic si gna ls 329 329 329 330
Pa rki ng facilities 1 2 9 9 9
Culture and leisure:

Pa rk s i tes 24 20 20 20
Communi ty centers 4 4 4 4
Libraries 10 10 10 10
Electric utility:

Power plants 1 1 1 1
Cus tome rs 64,163 64,931 65,039 65,564
M iles of ser v ic e 5 2 5 673 680 680
Maximum ca pac ity (me gawatts ) 175 174 175 174
Water:

Water mains (miles ) 508 516 520 520
Cus tome rs 38,069 37,911 37,974 37,972
Avera ge dail y consum ption (mgd) 25.17 26.98 28.37 25.43 Fiscal Year

CITY OF PASADENA STATISTICAL SECTION
Annual Comprehensive Financial Report | June 30
, 2021 255
Table 22
2016 2017 2018 2019 2020 2021
1 1 1 1 1 1
3 3 2 2 2 2
8 8 8 8 8 8
357 338 338 338 338 338
17,597 17,597 17,708 17,731 17,753 17,723
330 330 330 313 332 351
9 9 9 9 9 9
20 20 23 24 24 24
4 4 4 4 4 4
10 10 10 10 10 10
1 1 1 1 1 1
65,318 65,979 66,505 66,712 67,103 67,560
687 687 662 664 665 667
174 174 174 174 174 175
520 520 520 520 520 520
37,959 38,067 38,046 38,114 38,193 38,262

21.14 22.54 24.76 23.52 23.08 25.33
Fiscal Year

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INDEPENDENT AUDITORS’ REP

ORT 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 City Council
of the City of Pasadena
Pasadena, 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 activitie s
, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of the City of Pasadena(the City), as of and for the year ended June 30, 2021, and the related notes to the financial statements, which collectively comprise City’s basic financial statements, and have issued our report thereon dated January 19, 2022.

Our report includes a reference to other auditors who audited the financial statements of the Pasadena Fire and Police Retirement System, the blended component unit of the City, as described in our report on the City’s financial statements.

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 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.

Attachment B

City Council
City of Pasadena
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 financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed 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.

CliftonLarsonAllen LLP
Irvine California
January 19, 2022

PASADENA CENTER OPERATING COMPANY
(A COMPONENT UNIT OF THE

CITY OF PASADENA, CALIFORNIA)

FINANCIAL STATEMENTS
YEAR ENDED JUNE 30, 2021
Attachment C

PASADENA CENTER OPERATING COMPANY

TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2021
INDEPENDENT AUDITORS’ REPORT 1
MANAGEMENT’S DISCUSSION AND ANALYSIS 3

BASIC FINANCIAL STATEMENTS
STATEMENT OF NET POSITION 9
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION 10 STATEMENT OF CASH FLOWS 11
NOTES TO FINANCIAL STATEMENTS 13
INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL OVER

FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN
ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS 29

(1)
INDEPENDENT AUDITORS’ REPORT
Board of Directors
Pasadena Center Operating Company
Pasadena, California
Report on the Financial Statements
We have audited the accompanying financial statements of Pasadena Center Operating Company (the Company), a component unit of the City of Pasadena, California, as of and for the year ended June 30, 2021, and the related notes to the financial statements, which collectively comprise the Company’s basic financial statements as listed in the table of contents.

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

Auditors’ Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with 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. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

CLA is an independ
ent member of Nexia International, a leading, global network of independent accounting and consulting firms. See nexia.com/member-firm-disclaimer for details.

CliftonLarsonAllen LLP
CLAconnect.com

Board of Directors
Pasadena Center Operating Company
(2)
Opinion
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Pasadena Center Operating Company, as of June 30, 2021, and the changes in its financial position and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management's discussion and analysis be presented to supplement the basic financial statements.

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

Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards , we have also issued a report dated December 15, 2021 on our consideration of the Company’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Company’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Company’s internal control over financial reporting and compliance.

CliftonLarsonAllen LLP
Irvine, California
December 15, 2021

PASADENA CENTER OPERATING COMPANY
MANAGEMENT’S DISCUSSION AND ANALYSIS
YEAR ENDED JUNE 30, 2021
(3)
As the Pasadena Center Operating Company (the PCOC) management, we offer readers of the PCOC’s financial statements, this narrative overview, and an analysis of the financial activities for the year ended June 30, 2021. The PCOC’s financial statements consist of management’s discussion and analysis (MD&A), statement of net position; statement of revenues, expenses, and changes in net position; statement of cash flows; and notes to the basic financial statements. We encourage readers to consider the information presented herein in conjunction with the accompanying basic financial statements and the accompanying notes.

BACKGROUND
The PCOC is a nonprofit 501(c) (4) corporation incorporated in 1973 to manage the Pasadena Convention Center, the Pasadena Civic Auditorium, the Pasadena Convention and Visitors Bureau, and the Pasadena Ice Skating Center. The PCOC was one of the first independent nonprofit organizations in the United States to combine its facility operations and destination marketing efforts.

The PCOC is funded by revenue from its facilities, proceeds from a Tourism Business Improvement District (2.9 percent), a self-imposed hotel assessment, and a 60 percent portion of the Transient Occupancy Tax (12.1 percent). In FY 2017, The City of Pasadena and the PCOC amended their operating agreement establishing a maximum amount of Transient Occupancy Tax revenue to be transferred to the PCOC annually. In FY 2018, the Pasadena Convention and Visitors Bureau converted the Pasadena TBID from the Parking and Business Area Law 1989 (’89 Law) to the Property and Business Improvement District Law of 1994 (’94 Law). The district assessment remained the same (2.89 percent) and was approved for a five-year term through June 30, 2023.

ABOUT OUR BUSINESS
The PCOC operates a world-class state of the art public assembly facilities that generate significant regional economic activity by attracting conventions, tradeshows, entertainment, and other events to Pasadena. Our facilities include a 55,000 square feet Exhibition Hall, 25,000 square feet Ballroom, 18 meeting rooms of varying sizes, the Historic Civic Auditorium that seats 3,000, the Gold Room, and a 17,000 square feet Exhibit Hall. The PCOC also manages a regulation-size skating rink onsite.

The Pasadena Convention and Visitor’s Bureau (PCVB) attracts hundreds of thousands of people to the City annually, enriching the local economy with hotel and retail spending and other direct spending on goods and services.

PCVB promotes economic development, provides marketing support to the City’s art, culture, innovation, and special events, including operating a Visitor Information Center opened year-round.

MANAGEMENT OBJECTIVE AND STRATEGY
The Company’s mission is to promote Pasadena as a meeting and travel destination by attracting conventions, tradeshows, entertainment events, and tourism to its professionally managed facilities and first-class service. The Company’s management operates the business consistent with strategic business principles for success in both the short term and over more extended periods. PCOC focuses on unifying the management team, dedicated employees, and third-party contractors to achieve its priority and remain competitive in the meeting industry.

PASADENA CENTER OPERATING COMPANY
MANAGEMENT’S DISCUSSION AND ANALYSIS
YEAR ENDED JUNE 30, 2021
(4)

OVERVIEW OF FINANCIAL STATEMENTS
This discussion and analysis are intended to serve as the introduction to PCOC’s basic financial statements. The annual financial report comprises three components: management’s discussion and analysis, the financial statements, and the notes to the financial statements.

The Statement of Net Position presents all PCOC’s assets, deferred outflows of resources, liabilities, and deferred inflows of resources as of June 30, 2021. The difference between (a) assets and deferred outflows of resources and (b) liabilities and deferred inflows of resources is reported as net position.

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

The Statement of Revenues, Expenses, and Changes in Net Position presents information showing PCOC’s net position changes during the most recent fiscal year. All changes in net position are reported when the underlying event giving rise to the change occurs, regardless of the related cash flow timing. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods.

The Statement of Cash Flows presents information showing cash receipts and cash payments during the fiscal year, a reconciliation of operating income to net cash provided by operating activities, and detail of noncash investing, capital, and financing activities.

SUMMARY OF FINANCIAL PERFORMANCE
The COVID-19 pandemic impact on the Company's business resulted in a substantial reduction in operating revenues in the fiscal year 2021 compared to the previous year and recent trends. PCOC was closed for eleven of the twelve months in the year.

In the fiscal year 2021, the Company's cash and cash equivalents decreased by $10.0 million to support its operation and debt service payments. Capital assets also decreased by $3.3 million, mostly from depreciation expense of $4.2 million.

Deferred outflows of resources for PCOC are related to the accumulated decrease in fair value of hedging derivatives and amortization of deferred refunding charge. Deferred outflows of resources decreased $8.3 million from 2020 to 2021, mainly due to the change in the derivatives' fair value at year-end.

The Company's current liabilities, including accounts payable, other accrued liabilities, accrued salaries and benefits, deposits decreased by $530,000 compared to the fiscal year 2020. The current portion of long-term debt increased by $190,000.

Deferred inflows of resources for PCOC are related to the deferred refunding charges and an upfront amount received as part of a service concession agreement with Centerplate. Deferred inflows of resources decreased by $12,676 from 2020 to 2021 due to recognizing these revenues due to the passage of time. In the fiscal year 2021, the amortization of capital investments by Centerplate was suspended for ten months from September 2020 through June 2021.

PASADENA CENTER OPERATING COMPANY
MANAGEMENT’S DISCUSSION AND ANALYSIS
YEAR ENDED JUNE 30, 2021
(5)
The net position represents the residual interest in PCOC's assets, and deferred outflows of resources after all liabilities and deferred inflows of resources are deducted. PCOC's net position at the end of FY 2021 is a deficit totaling $7,024,616, decreased by $7,480,680 during the year. Net position is reported in three major categories: net investment in capital assets, restricted, and unrestricted. A full explanation is in Note 7 to the basic financial statements.

The portion of net position classified as net investment in capital assets, represents capital assets net of accumulated depreciation and net of related outstanding liabilities is $5.1 million at year end.

Although PCOC's net investment in capital assets is net of related liabilities, the resources used to repay the debt must be from other sources; the capital assets cannot be used to liquidate these liabilities.

The restricted net position remained the same at $870 thousand in the fiscal year 2021. $867 thousand of this amount represents funds restricted for public art. 2021 2020 Change
Cash and cash equivalents 18,365,214$ 28,405,322$
(10,040,108)$
Receivables and other assets 126,635,522 129,721,140 (3,085,618) Total assets 145,000,736 158,126,462 (13,125,726)
Deferred outflows of resources 26,057,346 34,473,402 (8,416,056) Total assets and deferred outflows
of Resources 171,058,082 192,599,864 (21,541,782)
Current liabilities 8,040,154 8,381,046 (340,892)
Noncurrent liabilities 165,159,755 178,440,296 (13,280,541) Total liabilities 173,199,909 186,821,342 (13,621,433) Deferred inflows of resources 4,882,789 5,322,458 (439,669) Total liabilities and deferred inflows 178,082,698 192,143,800 (14,061,102) Net position (deficit) (7,024,616)$ 456,064$ (7,480,680)$

RESULTS OF OPERATIONS
Operating Revenues
The fiscal year 2021 operating revenue equaled $1.35 million, representing an 84.2% decline compared to the previous fiscal year. During the forced building closure due to public health concerns, the PCOC’s primary mission was to protect employees and to mitigate revenue losses.

PASADENA CENTER OPERATING COMPANY
MANAGEMENT’S DISCUSSION AND ANALYSIS
YEAR ENDED JUNE 30, 2021
(6)
During the months of July 2020 through June 2021, revenues for the PCOC were recognized through space rental and all ancillary services (such as food & beverage, parking, etc.). Key revenue drivers were:
• Television production and Corporate Focus Groups
• F&B operations for the City of Pasadena initiatives, preparing meals for senior citizens and people experiencing homelessness
• Pasadena Ice Skating Center skating classes and hockey league games • Parking for short-term leases for nearby projects
Operating Expenses
In the fiscal year 2021, total operating expenses fell to $8.6 million from $14.1 million, a reduction of

39.0%. The decrease was driven by immediate cost control efforts taken by PCOC’s management to mitigate COVID related revenue shortfall. Personnel services decreased by $3.3 million or 52.7%. The decrease was due to realignment of labor requirements to match revenue generation in the fiscal year.

Contractual services costs decreased by $964,000 or 62.6% compared to the fiscal year 2020. This was primarily due to management's renegotiating existing contracts, suspend some services during the period of closure, and reducing the operating budget to align with the revenue shortfall. Occupancy expense, which includes all utility-related costs such as electricity, telecommunications, water, and natural gas, totaled $798,000, a decrease of 35.3% from the fiscal year 2020. The decline resulted from the pandemic-related reduction of events related activities due to the cancellation and/or postponement of events. Depreciation expense, primarily for the convention center building, amounted to $4.2 million.

PCVB contracted and direct expenses in the fiscal year 2021 totaled $78,000, a decrease of 91.5% compared to $916,000 million in 2020. The reduction in PCVB spending directly results from the decline in TBID revenue in the year.

Nonoperating Revenues (Expenses), Net
Nonoperating revenues, mainly Transient Occupancy Tax and Tourism Business Improvement Tax revenue, totaled $5.5 million and were substantially impacted by the COVID 19 pandemic, declining $6.1 million or 52.3% compared to the fiscal year 2020. Interest income also decreased by $218,000 or

45.5% compared to the fiscal year 2020.

PASADENA CENTER OPERATING COMPANY
MANAGEMENT’S DISCUSSION AND ANALYSIS
YEAR ENDED JUNE 30, 2021
(7)
Capital Contributions
Capital contributions include $12,676, which is recognized as revenue from the $1.6 million contribution paid by Boston Culinary Group, now Centerplate. The remainder of the $269,574 unamortized amount paid by Centerplate will be recognized in equal monthly installments over the life of the agreement with PCOC.
2021 2020 Change
Operating revenues 1,347,177$ 8,506,912$
(7,159,735)$
Operating expenses 8,594,402 14,083,681 5,489,279
Operating loss (7,247,225) (5,576,769) (1,670,456)
Nonoperating revenues, net (246,131) 6,433,441 (6,679,571) Income before capital contributions (7,493,356) 856,672 (8,350,027) Capital Contributions 12,676 58,025 (45,349)
Change in net position (7,480,680) 914,697 (8,395,377) Net position, beginning of year 456,064 (458,633) 914,697 Net position, end of year (7,024,616)$ 456,064$ (7,480,680)$

CAPITAL ASSETS
PCOC’s investment in capital assets as of June 30, 2021, and 2020, amounts to $125,439,846 and $128,748,847, respectively (net of accumulated depreciation). This investment in capital assets includes building and improvements, machinery and equipment, furniture and fixtures, land, and construction in progress. The net decrease in PCOC’s investment in capital assets, net of depreciation, for the current fiscal year was $3.3 million. Additional information on PCOC’s capital assets can be found in Note 4 of the financial statements.

June 30, 2021 June 30, 2020
Buildings and improvements 122,081,487$ 125,122,552$
Machinery and equipment 747,998 823,062
Furniture and fixtures 66,372 79,497
Land 2,423,473 2,423,473
Construction in progress 120,516 300,263
Total 125,439,846$ 128,748,847$

PASADENA CENTER OPERATING COMPANY
MANAGEMENT’S DISCUSSION AND ANALYSIS
YEAR ENDED JUNE 30, 2021
(8)

DEBT ADMINISTRATION
As of June 30, 2021, PCOC had long-term debt outstanding balance is $145,756,910, a decrease of $4.9 million from 2020 due to current year principal payments. There were no major debt events during the current fiscal year. For additional information on PCOC’s long-term debt activity, refer to Note 5 of the financial statements' notes.

June 30, 2021 June 30, 2020
COP 2006 Series A Capital Appreciation Bonds 10,556,151$ 14,977,587$ COP 2008 Series A Capital Appreciation Bonds 134,720,000 134,720,000 Energy Conservation Loan 480,759 774,600
Ice Skating Loan 2012 - 167,208
Total 145,756,910$ 150,639,395$

REQUEST FOR INFORMATION
This financial report is designed to provide a general overview of PCOC’s finances. Questions concerning any of the information provided in this report or request for additional financial information should be addressed to the Director of Finance, Pasadena Center Operating Company, 300 E. Green Street, Pasadena, California 91101.

PASADENA CENTER OPERATING COMPANY

STATEMENT OF NET POSITION
JUNE 30, 2021
See accompanying Notes to Financial Statements.
(9)
ASSETS

CURRENT ASSETS
Cash and Cash Equivalents 7,246,445$
Investments
Accounts Receivables 125,433
Due from the City of Pasadena 966,742
Prepaid Items 103,501
Total Current Assets 8,442,121
RESTRICTED CASH AND CASH EQUIVALENTS 11,118,769

NONCURRENT ASSETS
Capital Assets, Not Depreciated 2,543,989
Capital Assets, Net of Accumulated Depreciation 122,895,857 Total Noncurrent Assets 125,439,846
Total Assets 145,000,736

DEFERRED OUTFLOWS OF RESOURCES
Accumulated Decrease in Fair Value of Hedging Derivatives 25,068,455 Deferred Charges on Refunding 988,891
Total Deferred Outflows of Resources 26,057,346

LIABILITIES

CURRENT LIABILITIES
Accounts Payable and Other Liabilities 295,512$
Interest Payable 520,358
Accrued Salaries and Benefits 350,761
Advance Deposits Payable 1,077,963
Long-Term Debt - Due Within One Year 5,795,560
Total Current Liabilities 8,040,154

NONCURRENT LIABILITIES
Derivative Instruments Liability 25,068,456
Accrued Salaries and Benefits 129,949
Long-Term Debt 139,961,350
Total Noncurrent Liabilities 165,159,755
Total Liabilities 173,199,909

DEFERRED INFLOWS OF RESOURCES
Deferred Charges on Refunding 4,613,215
Service Concession Arrangement 269,574
Total Deferred Inflows of Resources 4,882,789

NET POSITION
Net Investment in Capital Assets 5,108,608
Restricted for Public Art 867,377
Restricted for Organ Repairs and Maintenance Project 2,863 Unrestricted (13,003,464)
Total Net Position (7,024,616)$