CITY OF PASADENA
AGREED-UPON PROCEDURES
APPROPRIATIONS LIMIT WORKSHEET NO. 6
YEAR ENDED JUNE 30, 2022
ATTACHMENT J
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INDEPENDENT ACCOUNTANTS REPORT ON APPLYING AGREED-UPON PROCEDURES The Honorable City Council City of Pasadena Pasadena, California We have performed the procedures enumerated below on the accompanying Appropriations Limit Worksheet No. 6 of the City of Pasadena, California, (the City) for the year ended June 30, 2022. The Citys management is responsible for the Appropriations Limit Worksheet No. 6. The City and the League of California Cities (as presented in the League publication entitled "Article XIII-B Appropriations Limit Uniform Guidelines") have agreed to and acknowledged that the proceduresperformed are appropriate to meet the intended purpose of meeting the requirements of Section 1.5 ofArticle XIII-B of the California Constitution. This report may not be suitable for any other purpose. Theprocedures performed may not address all the items of interest to a user of this report and may notmeet the needs of all users of this report and, as such, users are responsible for determining whetherthe procedures performed are appropriate for their purposes.The procedures performed and our findings were as follows: a. We obtained the completed Appropriations Limit Worksheet No. 6 for the year endedJune 30, 2022, and compared the limit and annual adjustment factors included in that worksheetto the limit and annual adjustment factors that were adopted by resolution of the City Council.We also compared the population and inflation options included in the aforementionedworksheet to those that were selected by a recorded vote of the City Council.No exceptions were noted as a result of our performing this procedure.b.For the Appropriations Limit Worksheet No. 6, we added last years limit to the totaladjustments, and compared the resulting amount to this years limit. We also recalculated theadjustment factor and the adjustment for inflation and population, and compared the results tothe amounts on Worksheet No. 6.No exceptions were noted as a result of our performing this procedure.c. We compared the prior year appropriations limit presented in the accompanying AppropriationsLimit Worksheet No. 6 to the prior year appropriations limit adopted by the City Council for theprior year.No exceptions were noted as a result of our performing this procedure. (3)
The Honorable City Council City of Pasadena Pasadena, CaliforniaWe were engaged by the City to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the American Institute of Certified Public Accountants. We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on the accompanying Appropriations Limit Worksheet No. 6. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. We are required to be independent of the City and to meet our other ethical responsibilities, inaccordance with the relevant ethical requirements related to our agreed-upon procedures engagement. This report is intended solely for the information and use of the City Council and management of the City and is not intended to be, and should not be, used by anyone other than these specified parties. CliftonLarsonAllen LLP Irvine, California
CITY OF PASADENA APPROPRIATIONS LIMIT WORKSHEET NO. 6 YEAR ENDED JUNE 30, 2022 See accompanying Notes to Appropriations Limit Worksheet No. 6. (4) Appropriations Limit for Fiscal Year Ended June 30, 2021 (see Note 2) 325,510,567$ Adjustments Factors for the Fiscal Year Ended June 30, 2022 (see Note 2):Inflation PopulationFactor Factor Combined(Note 3) (Note 4) Factor1.05730000000 1.00168894465 1.05908572000 x 0.05908572000 Adjustment for Inflation and Population 19,233,027 Other Adjustments (Note 5) - Total Adjustments 19,233,027 Appropriations Limit for Fiscal Year Ended June 30, 2022 344,743,594$ CITY OF PASADENA NOTES TO APPROPRIATIONS LIMIT WORKSHEET NO. 6 JUNE 30, 2022 (5)
NOTE 1 PURPOSE OF LIMITED PROCEDURES REVIEW Under Article XIIIB of the California Constitution (the Gann Spending Limitation Initiative), California governmental agencies are restricted as to the amount of annual appropriations from proceeds of taxes. Effective for years beginning on or after July 1, 1990, under Section 1.5 of Article XIIIB, the annual calculation of the appropriations limit is subject to a limited procedures review in connection with the annual audit. NOTE 2 METHOD OF CALCULATION Under Section 10.5 of Article XIIIB, for fiscal years beginning on or after July 1, 1990, the appropriations limit is required to be calculated based on the limit for the fiscal year 1986-87, adjusted for the inflation and population factors discussed at Notes 3 and 4 below. NOTE 3 INFLATION FACTORS A California governmental agency may adjust its appropriations limit by either the percentage change in California per capita personal income from the preceding year (which is supplied by the State Department of Finance), or the percentage change in the local assessment roll from the preceding year due to the change of local nonresidential construction. The factor adopted by the City of Pasadena (the City) for fiscal year 2021-2022 represents the percentage change in California per capita personal income from the preceding year. NOTE 4 POPULATION FACTORS A California governmental agency may adjust its appropriations limit by either the annual percentage change of the jurisdictions own population, or the annual percentage change in population in the County where the jurisdiction is located. The factor adopted by the City for fiscal year 2021-2022 represents the annual percentage change in the population of the City. NOTE 5 OTHER ADJUSTMENTS A California governmental agency may be required to adjust its appropriations limit when certain events occur, such as the transfer of responsibility for municipal services to, or from, another governmental agency or private entity. The City had no such adjustments for the year ended June 30, 2022.