Patterson City Council
May 6, 2025

City of Patterson Page 1 Updated 5/1/2025 12:52 PM
Agenda
City of Patterson
City Council Regular Meeting
Patterson Public Financing Authority Meeting
West Patterson Financing Authority Meeting
May 6, 2025
7:00 PM
Council Chambers
1 Plaza
Patterson, CA 95363

PUBLIC MEETING GUIDELINES
City of Patterson City Council meetings are conducted in person at City Hall Council Chambers. As a courtesy, and technology permitting, members of the public may participate virtually. However, the City cannot guarantee that the public’s access to teleconferencing and translating technology will be uninterrupted, and technical difficulties may occur from time to time.

MEMBERS OF THE PUBLIC MAY PARTICIPATE IN THE MEETING IN PERSON OR VIA TELECONFERENCE BY CALLING 1-669-900-9128, MEETING ID: 693 538 4239, PASSWORD: 20995363. JOIN FROM A PC, MAC, IPAD, IPHONE, OR ANDROID DEVICE BY USING THIS URL:
https://us02web.zoom.us/j/6935384239?pwd=ZmZwMFdYajRsTjlKTnNTamZCWXFXdz09 The meeting will be televised or available for public viewing on comcast cable channel 7 on the following days: Wednesday at 3:00 p.m., Friday at 8:00 p.m. and Saturday at 12:00 p.m. Or watch on internet Vimeo link: https://vimeo.com/channels/patterson/ To access written translation during the meeting, please scan the QR Code or click this link:

Para acceder a la traducción escrita durante la reunión, escanee el código QR o haga clic en este enlace:
https://attend.wordly.ai/join/HSEU-6978
Choose Language and Click Attend / Elija el idioma y haga clic en Asistir Use a headset on your phone for audio or read the transcript on your device.

Use audífonos en su teléfono para audio o lea la transcripción en su dispositivo.

City of Patterson Page 2 Updated 5/1/2025 12:52 PM
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk at (209) 895-8012. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. [28 CFR 35.102-35.104 ADA Title II] The City Council agenda and supporting public documents are available for viewing in City Hall, Administration Department, 1 Plaza, 2nd Floor, Patterson, California, during normal business hours. The City Council agenda and supporting public documents are also available online on the City web site pattersonca.gov listed under Popular Links “City Council Agendas” or please call or email the City Clerk at (209) 895-8012 or [email protected] If you wish to be notified of future City Council Meetings, please visit our web site pattersonca.gov go to Popular Links “City Council Agendas” and Subscribe to “RSS” ═══════════════════════════════════════════════════════════════

1. Call to Order

2. Pledge of Allegiance

3. Statements of Conflict

4. Proclamation

4.1. Proclamation for Public Works Week 2025 (Mayor Clauzel)

4.2. Proclamation Las Promotoras (Mayor Clauzel)

5. Items from the Public
Any member of the audience desiring to address the Council regarding a matter not on the agenda, please raise your hand or step to the podium, or if using the zoom app by pressing *9 on your cell phone at the time the item is announced by the Mayor. The public wishing to address the Council on items that do not appear on the agenda may do so; however, Council will take no action other than referring the item to staff for study and analysis and may place the item on a future agenda (Resolution 92-25)
In order that all interested parties have an opportunity to speak, any person addressing the Council will be limited to a maximum of three (3) minutes unless the Mayor grants a longer period of time (Resolution 2025-11)

6. Consent Calendar
All items are approved by a single action. Any item may be removed from the Consent Calendar for separate discussion upon request from a member of the Public, Staff and/or Councilmember.

6.1. Motion to Waive Readings - All Readings of Ordinances and Resolutions, Except by Title are hereby waived.

6.2. Approve Minutes of Special Meeting/Closed Session - April 15, 2025 (6:00 PM)

6.3. Approve Minutes of Regular Meeting - April 15, 2025 (7:00 PM) City of Patterson Page 3 Updated 5/1/2025 12:52 PM

6.4. Adopt Resolution No. 2025-18, in Concurrence with the Stanislaus Urban County and Stanislaus HOME Consortium Fiscal Year (FY) 2025-2026 Annual Action Plan (AAP) and the Consolidated Plan for Fiscal Years 2025-2029 and Support of Submission to the U.S. Department of Housing and Urban Development (HUD), and authorize the Finance Department to make the necessary budget adjustments.

6.5. Approve the proposal from Provost & Pritchard for Design Services for American Eagle Avenue Pavement Rehabilitation Project and authorize staff to enter into a negotiated Consultant Agreement with a not to exceed cost of $177,784.00, and authorize the Finance Department to make the necessary budget adjustments.

6.6. Accept all bids for the 2025 Slurry Seal Project, award construction to American Pavement Systems, Inc., authorize Staff to execute the Contract, and authorize the Finance Department to make the necessary budget amendments.

6.7. Accept all proposals for SCADA for the WQCF Admin Phase 3A Wastewater Treatment Expansion Project, award SCADA Programming to PACE Advanced Water Engineering, authorize Staff to execute the Contract and authorize the Finance Department to make the necessary budget adjustments.

6.8. Accept all Proposals for the Construction Management and Contract Administration for the WQCF Admin Phase 3A Wastewater Treatment Expansion Project, award Construction Management and Contract Administration to HDR, Engineering, Inc., authorize Staff to execute the Contract and authorize the Finance Department to make the necessary budget adjustments.

6.9. Approve Resolution No. 2025-27 Accepting the Public Improvements for Villages of Patterson, Clayton Shire Ph 2 Offsite Improvements as Complete; Authorizing the City Clerk to File the Notice of Completion; and Begin the OneYear Warranty.

6.10. Approve Resolution No. 2025-28 Approving the Landscape and Stormwater Treatment Control Measures (SCMs) Maintenance & Access Agreement with Dan Vander Pol for the Oak Harbor Freight Project; Authorizing the City Manager or his Designee to Execute the Agreement; and Authorizing the City Clerk to Record the Agreement.

7. Presentation/Action Item

7.1. Engineering, Building, and Capital Projects - Approve one of the two different prototype sign design options that will serve as a base for the City of Patterson’s Wayfinding Sign Program, and authorize staff to proceed with the award of a Small Value Contract for the fabrication of the prototype signs to Third Floor North.

Staff Report: Engineering, Building, and Capital Projects Director Rodriguez City of Patterson Page 4 Updated 5/1/2025 12:52 PM
Council: Motion to Approve one of the two different prototype sign design options that will serve as a base for the City of Patterson’s Wayfinding Sign Program and authorize staff to proceed with the award of a Small Value Contract for the fabrication of the prototype signs to Third Floor North.

7.2. Finance - Accept the City of Patterson’s 2023-24 Financial Audit Report, 2023-24 Single Audit Report, 2023-24 Transportation Development Act Funds Financial Audit Report, 2023-24 Abandoned Vehicle Abatement Program Financial Audit Report.

Staff Report: Interim Finance Director Williams
Council: Motion to Accept the City of Patterson’s 2023-24 Financial Audit Report, 2023-24 Single Audit Report, 2023-24 Transportation Development Act Funds Financial Audit Report, 2023-24
Abandoned Vehicle Abatement Program Financial Audit Report.

Adjourn to the Patterson Public Financing Authority
a. Call to Order
b. Roll Call

7.3. Finance - Accept the Patterson Public Financing Authority’s 2023-24 Financial Audit Report.
c. Staff Report: Interim Finance Director Williams
d. PPFA Board: Motion to Accept the Patterson Public Financing Authority’s 2023-24 Financial Audit Report.
e. Adjourn to the West Patterson Financing Authority
Adjourn to the West Patterson Financing Authority
a. Call to Order
b. Roll Call

7.4. Finance - Accept the West Patterson Financing Authority’s 2023-24 Financial Audit Report.
c. WPFA Board: Motion to Accept the West Patterson Financing Authority’s 2023-24 Financial Audit Report.
d. Adjourn

8. City Council Reports
City of Patterson Page 5 Updated 5/1/2025 12:52 PM
A. Councilmember Hernandez
. Stanislaus Homeless Alliance (Councilmember Mora alternate) . Stanislaus County Hazardous Waste Advisory Committee (Councilmember Mora alternate)
B. Councilmember Romero
. San Joaquin Valley Air Pollution Control District (Mayor Pro Tem roque alternate)
C. Councilmember Mora
. Workforce Development Board (Mayor Pro Tem Roque alternate) D. Mayor Pro Tem Roque
. (EDAC) Stanislaus County Economic Development Action Committee (Councilmember Romero alternate)
E. Mayor Clauzel
. Stanislaus County Mayor's Meeting
. StanCOG (Mayor Pro Tem Roque alternate)
. League of California Cities (Mayor Pro Tem Roque 1st alternate, Councilmember Romer 2nd alternate)

9. Other Matters

10. Adjournment

DECLARATION OF POSTING
I, Aracely Alegre, City Clerk of the City of Patterson, California do hereby declare that the foregoing notice was posted on the Bulletin Board at City Hall, 1 Plaza, Patterson, California on May 1, 2025.

The Agenda is also posted for public view on the Bulletin Board of the Patterson Branch Library, 46 N. Salado Avenue, Patterson, and the City of Patterson City Web Site www.pattersonca.gov Dated this 1st day of May 2025
/s/ Aracely Alegre, CMC
City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Mike Willett, Assistant City Manager
MEETING DATE: May 6, 2025
ITEM NO: 4.1
SUBJECT: Proclamation - National Public Works Week (NPWW) May 18th - May 24th, 2025
This item is informational. No action needed.

BACKGROUND
National Public Works Week (NPWW) is a celebration of the many men and women in North America who provide and maintain the infrastructure and services collectively known as public works.

Instituted as a public education campaign by the American Public Works Association (APWA) in 1960, NPWW calls attention to the importance of public works in community life. The Week seeks to enhance the prestige of the often-unsung heroes of our society-the professionals who serve the public good every day with quiet dedication.

National Public Works Week is observed each year during May. This year’s week is May 18 - 25, 2025. Through NPWW and other efforts, APWA seeks to raise the public’s awareness of public works issues and to increase confidence in public works employees who are dedicated to improving the quality of life for present and future generations.

ANALYSIS
Public Works Community Expo - National Public Works Week Celebration In celebration of National Public Works Week, City staff will host a Public Works Community Expo at North Park, located in the downtown area. This community event is scheduled for Wednesday, May 21, 2025, from 5:00 p.m. to 7:00 p.m.

4.1 Packet Pg. 6
The Expo will showcase various Public Works equipment, educational booths, and entertainment for all ages. Community members will have the opportunity to engage directly with Public Works staff to learn more about the essential services they provide on a day-to-day basis.

Featured equipment will include:

The Collections Division’s Vactor Truck
The Streets Division’s Asphalt Compactor
The Urban Forestry Division’s Genie Lift
In addition, the Environmental Compliance team will host an educational booth offering resources and information on stormwater management, water conservation, solid waste management, and other environmental initiatives.

Details about National Public Works Week and the Expo will also be shared through digital platforms such as the City’s website, Facebook, and other available communication channels.

Event Details:

Location: North Park
Date: Wednesday, May 21, 2025
Time: 5:00 p.m. - 7:00 p.m.

FISCAL IMPACT
Costs include purchasing promotional items for these various environmental programs (FOG, Water Conservation, Recycling, and Stormwater Pollution Prevention). The costs for this item have been budgeted and approved in FY 24/25. Funds have been budgeted to cover all costs associated with this event.

4.1 Packet Pg. 7
Proclamation
A Proclamation of the City Council
of the City of Patterson Declaring
National Public Works May 18-24, 2025
“People, Purpose, Presence”
WHEREAS, public works professionals focus on infrastructure, facilities, and services that are of vital importance to sustainable and resilient communities and to public health, high quality of life, and well-being of the people of the City of Patterson and, WHEREAS, these infrastructure, facilities, and services could not be provided without the dedicated efforts of public works professionals, who are engineers, managers, and employees at all levels of government and the private sector, who are responsible for rebuilding, improving, and protecting our nation’s transportation, water supply, water treatment and solid waste systems, public buildings, and other structures and facilities essential for our citizens; and, WHEREAS, it is in the public interest for the citizens, civic leaders, and children of the City of Patterson to gain knowledge of and maintain an ongoing interest and understanding of the importance of public works and public works programs in their respective communities; and, WHEREAS, the year 2025 marks the 65th annual National Public Works Week sponsored by the American Public Works Association/Canadian Public Works Association be it now, NOW, THEREFORE BE IT RESOLVED that I, Michael Clauzel Mayor of the City of Patterson, do hereby designate the week of May 18–24, 2025, as National Public Works Week. I urge all citizens to join with representatives of the American Public Works Association and government agencies in activities, events, and ceremonies designed to pay tribute to our public works professionals, engineers, managers, and employees and to recognize the substantial contributions they make to protecting our national health, safety, and advancing quality of life for all.

IN WITNESS WHEREOF, I have hereunto set my hand and caused the Seal of the City of Patterson to be affixed this 6th Day of May 2025.
______________________
Michael Clauzel
Mayor

4.1.a
Packet Pg. 8
Attachment: Proclamation (Public Works Week 2025) (Proclomation for Public Works Week 2025) City Council Agenda Report
TO: Mayor Clauzel and Members of the City Council
FROM: Fernando Ulloa, City Manager
BY: Aracely Alegre, City Clerk
MEETING DATE: May 6, 2025
ITEM NO: 4.2
SUBJECT: Proclamation - Las Promotoras
This item is informational. No action needed.

4.2 Packet Pg. 9
Proclamation
A Proclamation of the City Council
of the City of Patterson
Honoring Las Promotoras Raíces for Their Dedication to Mental Wellness and Community Advocacy
WHEREAS, Las Promotoras Raíces is a dedicated group of women who work tirelessly to uplift and support the residents of Patterson and Stanislaus County; and WHEREAS, this remarkable group of advocates is committed to promoting mental wellness, providing education, and offering compassionate support to women and children in need; and
WHEREAS, Las Promotoras Raíces has been instrumental in fostering a culture of care, empowerment, and resilience, ensuring that every individual they serve feels heard, valued, and supported; and
WHEREAS, their efforts extend beyond advocacy, as they actively work to break down barriers to mental health services, encourage open conversations about emotional well-being, and promote a sense of belonging in the community; and
WHEREAS, the dedication of Las Promotoras Raíces exemplifies the power of grassroots leadership and community-driven solutions, making a lasting impact on the lives of countless families throughout the region; and
WHEREAS, their work aligns with the shared vision of a healthier, stronger, and more compassionate community, inspiring others to join in their mission of service and advocacy; and
NOW, THEREFORE BE IT RESOLVED be it proclaimed that the City of Patterson hereby recognizes and honors Las Promotoras Raíces for their unwavering commitment to mental wellness, their advocacy for women and children, and their profound contributions to the well-being of our community.

IN WITNESS WHEREOF, I have hereunto set my hand and caused the Seal of the City of Patterson to be affixed this 6th Day of May 2025.
______________________
Michael Clauzel, Mayor

4.2.a
Packet Pg. 10
Attachment: Proclamation (Las Promotoras) English (Proclomation Las Promotoras) Proclamacion
Una Proclamación del Concejo Municipal de la Ciudad de
Patterson
Homenaje a Las Promotoras Raíces por su Dedicación al
Bienestar Mental y ayudar a la Comunidad
CONSIDERANDOQUE, Las Promotoras Raíces es un grupo dedicado de mujeres que trabaja incansablemente para impulsar y apoyar a los residentes de Patterson y el Condado de Stanislaus; y
CONSIDERANDO QUE, este extraordinario grupo de defensoras está comprometido con la promoción del bienestar mental, la educación y el apoyo compasivo a mujeres y niños necesitados; y
CONSIDERANDO QUE, Las Promotoras Raíces han sido fundamentales para fomentar una cultura de cuidado, empoderamiento y resiliencia, garantizando que cada persona a la que sirven se sienta escuchada, valorada y apoyada; y
CONSIDERANDO QUE, sus esfuerzos van más allá de la defensa, ya que trabajan activamente para derribar las barreras al acceso a los servicios de salud mental, fomentar conversaciones abiertas sobre el bienestar emocional y promover un sentido de pertenencia en la comunidad; y CONSIDERANDO QUE, la dedicación de Las Promotoras Raíces ejemplifica el poder del liderazgo comunitario y las soluciones impulsadas por la comunidad, generando un impacto duradero en la vida de innumerables familias en toda la región; y CONSIDERANDO QUE, su trabajo se alinea con la visión compartida de una comunidad más sana, fuerte y compasiva, inspirando a otros a unirse a su misión de servicio y defensa; POR TANTO, se proclama que la Ciudad de Patterson reconoce y honra a Las Promotoras Raíces por su inquebrantable compromiso con el bienestar mental, su defensa de las mujeres y los niños, y sus profundas contribuciones al bienestar de nuestra comunidad.

EN TESTIMONIO DE LO CUAL, firmo y ordeno que se estampe el sello de la Ciudad De Patterson este 6 de Mayo, 2025.
______________________
Michael Clauzel, Alcalde

4.2.b
Packet Pg. 11
Attachment: Proclamation (Las Promotoras) Spanish (Proclomation Las Promotoras) City of Patterson Page 1 Updated 4/28/2025 11:02 AM
City Of Patterson
Special Meeting/Closed Session Minutes
April 15, 2025
City Manager
Fernando Ulloa
City Attorney
Nubia Goldstein
Deputy City Attorney
Douglas White
www.pattersonca.gov
Mayor
Michael Clauzel
City Council
Gabriela Hernandez, District A
Jessica Romero, District B
Kendra Mora, District C
Carlos Roque, District D
City Clerk
Aracely Alegre

1. Call to Order
Attendee Name Title Status Arrived
Michael Clauzel Mayor Present
Gabriela Hernandez District A Present
Jessica Romero District B Present
Kendra Mora District C Present
Carlos Roque District D Excused
The special (closed session) meeting of the City Council of the City of Patterson was called to order in the City of Patterson, Council Chambers at 6:00 p.m. by Mayor Clauzel.

City Staff Present:

City Manager Ulloa
Assistant City Willett
City Clerk Alegre
Deputy City Clerk Mandujano
The City Council will adjourn to Closed Session to address the following:
a. Conference with Labor Negotiator per Government Code Section 54957.6 Agency Negotiator: City Manager Ulloa, Human Resources Director Guillory-Jones, Human Resources Consultant Clark. Employee Organization: American Federation of State, County and Municipal Employees Local 10 (AFSCME), Professional Management-Mid Management Employees Association (PMMEA), Unrepresented Employees and Patterson Fire Fighters Association IAFF Local 4577.
b. Conference with Real Property Negotiator per Government Code Section 54956.8.

Agency Negotiation: Fernando Ulloa City Manager and Mike Willett, Assistant City Manager, City of Patterson

6.2 Packet Pg. 12
Minutes Acceptance: Minutes of Apr 15, 2025 6:00 PM (Consent Calendar) City of Patterson Page 2 Updated 4/28/2025 11:02 AM
Negotiating Parties: Yadira Arteaga
Property: 131-006-029 (Located on B Street between S. 3rd and S. 4th Street Patterson). Under Negotiation: Price & Terms of Payment. c. Conference with Real Property Negotiator per Government Code Section 54956.8.

Agency Negotiation: Fernando Ulloa City Manager and Mike Willett, Assistant City Manager, City of Patterson
Negotiating Parties: Greg Nunes
Property: 131-014-049-000 (335 W. Las Palmas Ave. Patterson).

Under Negotiation: Price & Terms of Payment.
d. Conference with Legal Counsel - Existing litigation pursuant to Government Code Section 54956.9(d)(1):City of Patterson v. Western Hills Water District, et. al (Stanislaus County Superior Court Case No. CV-23-005834)
e. Conference with Legal Counsel - Anticipated Litigation pursuant to Government Code Section 54956.9(d)(2): One (1) case

2. Statements of Conflict
None.

3. Items from the Public
None.

4. Adjourn to Closed Session
At 6:03 p.m. there being no items from the public, the Patterson City Council adjourned to closed session.

5. Report from Closed Session (if any)
At 7:00 p.m., Mayor Clauzel announced that, regarding Items 1.a through 1.e, the City Council had provided direction to staff.

6. Adjournment
There being no further business, the special (Closed Session) meeting of the City Council of the City of Patterson of April 15, 2025 was adjourned at 7:00 p.m.

Approved by the City Council on (date pending).

6.2 Packet Pg. 13
Minutes Acceptance: Minutes of Apr 15, 2025 6:00 PM (Consent Calendar) City of Patterson Page 1 Updated 4/28/2025 2:04 PM
City Of Patterson
Regular Meeting Minutes
April 15, 2025
City Manager
Fernando Ulloa
City Attorney
Nubia Goldstein
Deputy City Attorney
Douglas White
www.pattersonca.gov
Mayor
Michael Clauzel
City Council
Gabriela Hernandez, District A
Jessica Romero, District B
Kendra Mora, District C
Carlos Roque, District D
City Clerk
Aracely Alegre

1. Call to Order
Attendee Name Title Status Arrived
Michael Clauzel Mayor Present
Gabriela Hernandez District A Present
Jessica Romero District B Present
Kendra Mora District C Present
Carlos Roque District D Excused
The regular meeting of the City Council of the City of Patterson of April 15, 2025 was called to order in the City of Patterson at 7:02 p.m. by Mayor Clauzel.

City Staff Present:

City Manager Ulloa
Assistant City Manager Willett
Management Analyst Renfrow
Interim Finance Director Williams
Police Chief Hill
Sergeant Decroy
Water Resources Manager Encinas
Associate Planner Rodriguez
Director of Engineering, Building & Capital Projects Rodriguez Fire Chief Frye
Recreation & Community Services Director Weaver
IT Manager Marty
City Clerk Alegre
Deputy City Clerk Mandujano

2. Pledge of Allegiance

6.3 Packet Pg. 14
Minutes Acceptance: Minutes of Apr 15, 2025 7:00 PM (Consent Calendar) City of Patterson Page 2 Updated 4/28/2025 2:04 PM

3. Statements of Conflict
None.

4. Items from the Public
John Mataka- Addressed the City Council to express concerns about law enforcement issues, he also requested a citizen review board.

Paul Willett Director of Ambulance Operations - Addressed the City Council regarding his positive encounters with Fire Chief Frye, he also addressed social media regarding ambulance postings and encouraged the public to contact him with any questions.

Bianca Lopez- Addressed the City Council to express concerns about law enforcement issues, she also requested a citizen review board.

Sam Patterson Resident - Addressed the City Council to express concerns about law enforcement issues throughout Stanislaus County.

Dr. Samuel White-Ephraim Vice President of the Stanislaus County NAACP - Addressed the City Council to express concerns about law enforcement issues.

Maria Gabriel Patterson Resident - Addressed the City Council to Express concerns about law enforcement issues, she also would like to see ethnic classes and diversity program for Sheriffs.

Marvin Kane - Addressed the City Council to Express concerns about law enforcement issues, he also raised concerns regarding the streets and needing repairs.

Mr. Gonzales Patterson Resident - Addressed the City Council to Express concerns about law enforcement issues, he also requested a citizen review board.

Kandace Weyhrauch Chamber of Commerce - Provided an update on upcoming events for the Chamber.

Tim Benefield - Addressed the City Council and thanked them for the improvements he has seen in the streets, he also shared experiences during his traffic stops with the Sheriff’s department but emphasized on the importance of having them.

Vivian Ratliff - Addressed the City Council to express concerns about law enforcement issues.

Member of the Public - Addressed the City Council to express concerns about law enforcement issues.

Member of the Public- Addressed the City Council to express concerns about law enforcement issues. Also addressed correcting the deficiency we have in the Sheriff’s office.

Melanali - Addressed the City Council to express concerns about law enforcement issues, he also addressed the need for Patterson to have its own Police Department.

Kat Richie Advocate for youth programs - Addressed the City Council and thanked the City for the recently fixed fields at the Sports Park.

Julissa - Addressed the City Council to express concerns about law enforcement issues throughout Stanislaus County and citizens who have lost their lives.

Susan Rigney - Addressed the City Council to express concerns about law enforcement issues throughout Stanislaus County.

Wendy Byrd President of NAACP - Addressed the City Council to express concerns about law enforcement issues as well as incidents with the School District.

6.3 Packet Pg. 15
Minutes Acceptance: Minutes of Apr 15, 2025 7:00 PM (Consent Calendar) City of Patterson Page 3 Updated 4/28/2025 2:04 PM
Sebastian Jones Community Activist - Addressed the City Council to express concerns about law enforcement issues.

5. Presentation

5.1. Traffic Incident Debrief – (Police Chief Hill)
Chief Hill reviewed his presentation.

At 8:30 p.m. Mayor Clauzel opened the item for public comments.

Ralph - Addressed the City Council to express concerns about law enforcement issues, he also stated he would like to see a citizen review board.

Member of the Public - Addressed the City Council to express concerns about law enforcement issues.

Mr. Gonzalez - Addressed the City Council to express concerns about law enforcement issues. He also stated that he would like sheriffs to be more involved in the community Melanali - Addressed the City Council to express concerns about law enforcement issues. He also stated he would like to see an independent audit done for the sheriff's department.

Daily Perry Modesto Resident - Addressed the City Council to express concerns about law enforcement issues, he also stated he would like to see a citizen review board.

Member of the Public - Addressed the City Council to express concerns about law enforcement issues.

John Mataka - Addressed the City Council to express concerns about law enforcement issues, he also requested a citizen review board.

Member of the Public - Addressed the City Council to express concerns about law enforcement issues.

Sebastian Jones - Addressed the City Council to express concerns about law enforcement issues.

Member of the Public - Addressed the City Council to express concerns about law enforcement issues.

Shawun Anderson- Addressed the City Council to express concerns about law enforcement issues, she also stated that the sheriffs should have emotional intelligence training and would also like to see Patterson have its own Police Department.

Dianna Anderson - Addressed the City Council to express concerns about law enforcement issues.

Member of the Public - Addressed the City Council to express concerns about law enforcement issues. He also stated he would like to see an independent audit done for the sheriff's department.

Member of the Public - Addressed the City Council to express concerns about law enforcement issues, he also stated he would like to see a citizen review board.

Tanya Leroy - Addressed the City Council to shared concerns about people using racial language during incidents and stressed the importance of being respectful. Also thanked the Sheriff's Department for all they do.

Rosemarie - Addressed the City Council to express concerns about law enforcement issues.

Angelica Hernandez - Addressed the City Council to express concerns about law enforcement issues.

Daniela Rodriguez - Addressed the City Council to express concerns about law enforcement issues.

At 9:45 p.m. with no further comments, Mayor Clauzel closed the public comment period.

6.3 Packet Pg. 16
Minutes Acceptance: Minutes of Apr 15, 2025 7:00 PM (Consent Calendar) City of Patterson Page 4 Updated 4/28/2025 2:04 PM

6. Consent Calendar
At 9:55 p.m. Mayor Clauzel calls for a short 5 Minute Break.

At 10:00 p.m. Mayor Clauzel calls the meeting to order.

Item 6.6 pulled by City Manager Ulloa, item will be moved to a future meeting.

Councilmember Mora made a motion to approve Consent Calendar Items 6.1 through 6.13 with the exception of item 6.6 being pulled to a future meeting. The motion was seconded by Councilmember Romero and unanimously approved by a 4-0 roll call vote.

RESULT: ADOPTED
MOVER: Mora
SECONDER: Romero
AYES: Clauzel, Hernandez, Romero, Mora
EXCUSED: Roque

6.1. Motion to Waive Readings - All Readings of Ordinances and Resolutions, Except by Title are hereby waived.

6.2. Approve Minutes of Special Meeting/Closed Session - April 1, 2025 (6:00 PM)

6.3. Approve Minutes of Regular Meeting - April 1, 2025 (7:00 PM)

6.4. Approve City Department Reports for the Month of January - March 2025 (Fire, Community Development, Public Works, and Finance).

6.5. Approve City Commission Reports for the Month of March 2025 (Parks Recreation & Beautification Commission).

6.6. Adopt Resolution No. 2025-18, in Concurrence with the Stanislaus Urban County and Stanislaus HOME Consortium Fiscal Year (FY) 2025-2026 Annual Action Plan (AAP) and the Consolidated Plan for Fiscal Years 2025-2029 and Support of Submission to the U.S. Department of Housing and Urban Development (HUD), and authorize the Finance Department to make the necessary budget adjustments.

6.7. Approve the proposal from Provost & Pritchard Consulting Group for Engineering and Design Services for NP-1B Waterline Improvements and authorize staff to enter into a negotiated Consultant Agreement with a not to exceed cost of $79,500 and authorize the Finance Department to allocate additional funds.

6.8. Approve the proposal from Provost & Pritchard for Engineering and Design Services for Engineering and Design for Mini Roundabout at Ward and Salado and authorize staff to enter into a negotiated Consultant Agreement with a not to exceed cost of $181,350.00 and authorize the Finance Department to make the necessary budget adjustments.

6.9. Approve the proposal from Provost & Pritchard for Design Services for Park Center Pavement Rehabilitation Project and authorize staff to enter into a negotiated Consultant Agreement with a not to exceed cost of $130,890.00.

6.3 Packet Pg. 17
Minutes Acceptance: Minutes of Apr 15, 2025 7:00 PM (Consent Calendar) City of Patterson Page 5 Updated 4/28/2025 2:04 PM

6.10. Adopt Resolution No.2025-19 to Abandon the unused Storm Drain Easement located within APN 021-085-036.

6.11. Adopt Resolution No. 2025-20 Authorizing the City Manager to Execute a FourYear Agricultural Lease Agreement with a One-Year Extension, with Katealynn Cadena and 5C Genetics for the Orange Avenue and First Street Properties.

6.12. Adopt Resolution No. 2025-25 Authorizing the City Manager to Execute a ThreeYear Agricultural Lease Agreement, and Two-One-Year Extensions, with David Fantozzi Farms for the Olive and Sycamore Avenue Property.

6.13. Approve Resolution No. 2025-26 Accepting the Public Improvements for Villages of Patterson, Cromwell Shire Unit 2 offsite Improvements as Complete; Authorizing the City Clerk to File the Notice of Completion; and Begin the OneYear Warranty.

7. Presentation/Action

7.1. Engineering, Building, and Capital Projects - Accept all bids for the WQCF Admin Phase 3A Wastewater Treatment Expansion Project, award construction to Auburn Constructors, LLC., authorize Staff to execute the Contract and authorize the Finance Department to allocate additional funds.

Director of Engineering, Building & Capital Projects Rodriguez reviewed her presentation.

At 10:12 p.m. Mayor Clauzel opened the item for public comments. There were no comments.

At 10:13 p.m. Mayor Clauzel closed the public comment period.

Councilmember Mora motioned to approve Item No. 7.1. The motion was seconded by Councilmember Romero and unanimously approved by a 4-0 roll call vote.

RESULT: APPROVED
MOVER: Mora
SECONDER: Romero
AYES: Clauzel, Hernandez, Romero, Mora
EXCUSED: Roque

8. City Staff Reports

8.1. Public Works Department - Adopt Resolution No. 2025-21 Setting a Public Hearing for Proposed Rate Increase Associated with Solid Waste Collection Services, City Programs & Maintenance, and State of California Recycling Mandates, and Also Authorizing the Proposition 218 Notice Proceedings.

Assistant City Manager Willett reviewed his staff report.

6.3 Packet Pg. 18
Minutes Acceptance: Minutes of Apr 15, 2025 7:00 PM (Consent Calendar) City of Patterson Page 6 Updated 4/28/2025 2:04 PM
Management Analyst Renfrow Reviewed first presentation.

Bartle Wells Consultant reviewed the second presentation At 10:36 p.m. Mayor Clauzel opened the item for public comments.

Kandace Weyhrauch - Addressed the City Council regarding concerns that the garbage is being mixed.

At 10:38 p.m. with no further comments, Mayor Clauzel closed the public comment period.

Councilmember Mora motioned to approve Item No. 8.1. The motion was seconded by Councilmember Hernandez and unanimously approved by a 4-0 roll call vote.

RESULT: APPROVED
MOVER: Mora
SECONDER: Hernandez
AYES: Clauzel, Hernandez, Romero, Mora
EXCUSED: Roque

9. Public Hearing

9.1. Public Works Department - Approve Resolution No. 2025-22, a Resolution of the City Council of the City of Patterson Providing for the Addition of Territory to Future Annexation Area of Community Facilities District (CFD) No. 2013-01 (Non-Residential Maintenance Services); and Approve Resolution No. 2025-23, a Resolution of the City Council of the City of Patterson Providing for the Addition of Territory to Future Annexation Area of Community Facilities District (CFD) No. 2018-02 (Residential Maintenance Services); and Approve Resolution No. 2025-24, a Resolution of the City Council of the City of Patterson Providing for the Addition of Territory to Future Annexation Area of Community Facilities District (CFD) No. 2022-01 (Public Safety Services).

Assistant City Manager Willett reviewed his staff report.

Regarding Resolution No. 2025-22
At 10:45 p.m. Mayor Clauzel opened the item for public comments. There were no comments.

At 10:45 p.m. Mayor Clauzel closed the public comment period.

Councilmember Romero motioned to approve Resolution No. 2025-22 The motion was seconded by Councilmember Hernandez and unanimously approved by a 4-0 roll call vote.

Regarding Resolution No. 2025-23

6.3 Packet Pg. 19
Minutes Acceptance: Minutes of Apr 15, 2025 7:00 PM (Consent Calendar) City of Patterson Page 7 Updated 4/28/2025 2:04 PM
At 10:48 p.m. Mayor Clauzel opened the item for public comments. There were no comments.

At 10:48 p.m. Mayor Clauzel closed the public comment period.

Councilmember Romero motioned to approve Resolution No. 2025-23 The motion was seconded by Councilmember Mora and unanimously approved by a 4-0 roll call vote
Regarding Resolution No. 2025-24
At 10:49 p.m. Mayor Clauzel opened the item for public comments. There were no comments.

At 10:50 p.m. Mayor Clauzel closed the public comment period.

Councilmember Mora motioned to approve Resolution No. 2025-24. The motion was seconded by Councilmember Romero and unanimously approved by a 4-0 roll call vote.

10. City Council Reports
A. Appointment/Reappointment of Three (3) Members to the Planning Commission for the Term of Feb. 2025-2027

10.A.1.Planning Commission Appointments/Reappointments
Mayor Clauzel motioned to reapportioned Lynn Apland, Eric Bendix and Michael Sidhu to the Planning Commission for the Term of Feb. 2025-2027.

The motion was unanimously approved by q 4-0 Vote.

B. Councilmember Hernandez
Nothing to report.
. Stanislaus Homeless Alliance (Councilmember Mora alternate) . Stanislaus County Hazardous Waste Advisory Committee (Councilmember Mora alternate)
C. Councilmember Romero
Nothing to report.
. San Joaquin Valley Air Pollution Control District (Mayor Pro Tem roque alternate)

6.3 Packet Pg. 20
Minutes Acceptance: Minutes of Apr 15, 2025 7:00 PM (Consent Calendar) City of Patterson Page 8 Updated 4/28/2025 2:04 PM
D. Councilmember Mora
Nothing to report.
. Workforce Development Board (Mayor Pro Tem Roque alternate) E. Mayor Pro Tem Roque
. (EDAC) Stanislaus County Economic Development Action Committee (Councilmember Romero alternate)
F. Mayor Clauzel
Mayor Clauzel provided an update on the upcoming StanCOG meeting. . Stanislaus County Mayor's Meeting
. StanCOG (Mayor Pro Tem Roque alternate)
. League of California Cities (Mayor Pro Tem Roque 1st alternate, Councilmember Romer 2nd alternate)

11. Other Matters

12. Adjournment
There being no further business, the regular meeting of the City Council of the City of Patterson of April 15, 2025 was adjourned at 10:53 p.m.

Approved by the City Council on (date pending).

6.3 Packet Pg. 21
Minutes Acceptance: Minutes of Apr 15, 2025 7:00 PM (Consent Calendar) City Council Agenda Report
TO: Mayor Clauzel and Members of the City Council
FROM: Fernando Ulloa, City Manager
BY: Bryan Stice, Community Development Director
MEETING DATE: May 6, 2025
ITEM NO: 6.4
SUBJECT: Adopt Resolution No. 2025-18, in Concurrence with the Stanislaus Urban County and Stanislaus HOME Consortium Fiscal Year (FY) 2025-2026 Annual Action Plan (AAP) and the Consolidated Plan for Fiscal Years 2025-2029 and Support of Submission to the U.S. Department of Housing and Urban Development (HUD), and authorize the Finance Department to make the necessary budget adjustments.

RECOMMENDATION
Motion to Adopt Resolution No. 2025-18 in concurrence with Stanislaus Urban County and the Stanislaus HOME Consortium Fiscal Year (FY) 2025-2026 Annual Action Plan and Consolidated Plan for Fiscal Years 2025-2029 and in support of submission to the HUD, and authorize the Finance Department to make the necessary budget adjustments.

BACKGROUND
The City in partnership with Stanislaus County (that together with the cities of Ceres, Hughson, Newman, Oakdale, Riverbank, and Waterford) form the Stanislaus Urban County for purposes of receiving U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant Program (CDBG) and Emergency Solutions Grants (ESG) Program funding. Stanislaus County is the lead entity with responsibility for implementing and administering CDBG and ESG funding.

Stanislaus County is also the lead entity for the Stanislaus HOME Consortium, established on July 1, 2023, that includes all the Stanislaus Urban County member cities and the City of Turlock. Participation in the Stanislaus Urban County and the Stanislaus HOME Consortium enables the County and participating jurisdictions to access funds directly from the federal

6.4 Packet Pg. 22
government for the Community Development Block Grant (CDBG) and Home Investment Partnership (HOME) Programs, rather than compete for funds through the State. The Consolidated Plan outlines the goals and objectives for funding for the next five years of 2025- 2029 to assist low-income households and persons in the areas of housing, public infrastructure, public services and homeless assistance and prevention. The Consolidated Plan may be found at the following link.
https://www.stancounty.com/planning/cdbg/documents/consolidated/2025-2029-consolidatedplan-draft-2.pdf The FY 2025-2026 Annual Action Plan covers CDBG, ESG and HOME projects and funded programs for the upcoming fiscal year. As of the date of this staff report the final HUD allocations for the CDBG, ESG and HOME programs had not been released. Once released, the funding allocations for all members of the Urban County and Consortium will be adjusted proportionally. The estimated funding allocations in the draft AAP are based on the Fiscal Year 2024-2025 HUD funding and are only used as projections per HUD guidance. The 2025-2026 Annual Action Plan may be found at the following link.
https://www.stancounty.com/planning/cdbg/documents/action-plan/2025-2026-action-plandraft.pdf CDBG
For Fiscal Year 2025-2026, it is anticipated that the City of P a t t e r s o n will be allocated approximately $181,638.00 under the Community Development Block Grant (CDBG) Program (see attached allocation chart). The goals of the CDBG program as established under the federal CDBG programs guidelines are as follows: 1) to provide decent housing; 2) to provide a suitable living environment; and 3) to expand economic opportunities.

The City of Patterson's CDBG allocation for FY 2025-2026 will be utilized towards the engineering costs of the Apricot Estates Infrastructure Project and the E Street & 9th Street Improvement Project.

HOME
For Fiscal Year 2024-2025, it is anticipated that the City of Patterson will be allocated approximately $98,737.00, under the Home Investment Partnership (HOME) Program (see attached allocation chart). The goal of the Consortium as established under the federal HOME program guidelines is to further affordable housing activities benefiting low-income households.

PUBLIC PARTICIPATION
The Stanislaus County Planning and Community Development Department, as the Consortium administrator, leads the preparation of the Annual Action Plan (AAP), including meeting the public participation requirements established by HUD guidelines. As part of this process, a series of public meetings were held across the Urban County and its Consortium members’ jurisdictions. The City of Patterson conducted two community outreach meetings to gather input from residents. The first community meeting regarding the Annual Action Plan and Consolidated Plan was held on April 9, 2025, at 5:30 p.m., followed by a second meeting on

6.4 Packet Pg. 23
April 24, 2025 at 5:00 pm at the Council Chambers.

In addition, the Draft FY 2025-2026 Annual Action Plan and Consolidated Plan for Fiscal Years 2025-2029 has been available for public review in the Stanislaus County Planning and Community Development Department, as well as various locations throughout the County, for over a month. To date, the city has not received any verbal or written comments regarding the Annual Action Plan and the Consolidated Plan for Fiscal Years 2025-2029.

Any public comments received by members of the City Council will be forwarded to the County Board of Supervisors for inclusion in the final FY 2025-2026 Annual Action Plan and Consolidated Plan being submitted to HUD by the County.

FISCAL IMPACT
Funds are derived from the Federal Community Development Block Grant Program (CDBG) and the Home Investment Partnership (HOME) Program; there is no impact to the City General Fund.

The HOME amount allocated to the City of Patterson in the amount of $98,737 will be added to the Fiscal Year 2025 budget in Fund 311 upon authorization.

The CDBG amount allocated to the City of Patterson in the amount of $181,638 will be included in the Fiscal Year 2026 budget brought to Council as part of the total Fiscal Year 2026 budget adoption.

6.4 Packet Pg. 24
RESOLUTION NO. 2025-18

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PATTERSON OF

CONCURRENCE AND SUPPORT OF THE STANISLAUS URBAN COUNTY AND STANISLAUS HOME CONSORTIUM FISCAL YEAR (FY) 2025-2026 ANNUAL ACTION PLAN AND THE CONSOLIDATED PLAN FOR FISCAL YEARS 2025-2029 AND SUPPORT OF SUBMISSION TO THE U.S. DEPARTMENT OF HOUSING AND

URBAN DEVELOPMENT (HUD)
WHEREAS, the Stanislaus Urban County is a recognized U.S. Department of Housing and Urban Development (HUD) Entitlement jurisdiction that is comprised of the Cities of Ceres, Hughson, Newman, Oakdale, Patterson, Riverbank, Waterford and the unincorporated areas of Stanislaus County that is eligible to receive Community Development Block Grant (CDBG) funds and Emergency Solutions Grants (ESG) funds for FY 2025-2026; and WHEREAS, the Stanislaus HOME Consortium which includes the Stanislaus Urban County and the City of Turlock and the unincorporated areas of Stanislaus County have received Home Investment Partnership (HOME) funds from the U.S. Department of Housing and Urban Development (HUD) for FY 2025-2026; and
WHEREAS, a Consolidated Plan and Annual Action Plan are HUD requirements to remain in compliance for federal funding; and
WHEREAS, the City as a member of the Stanislaus Urban County and the HOME Consortium is required to assist the County in the Consolidated Plan and Annual Action Plan planning process to set community priorities, objectives and proposed projects; and WHEREAS, the Draft Consolidated Plan and Annual Action Plan were made available for public review period for the minimum 30 days requirement to allow the public the opportunity to review and provide comments prior to the public hearing by the Stanislaus County Board of Supervisors on May 13, 2025.

NOW THEREFORE BE IT RESOLVED by the City Council of the City of Patterson as follows:

1. The City Council hereby adopts a resolution of concurrence and support of the Stanislaus County CDBG Consortium to prepare a Consolidated Plan (Con Plan), and Annual Action Plan (AAP) to document progress made in accomplishing goals set forth in the Consolidated Plan and Action Plan.

The foregoing resolution was introduced at a regular meeting of the City Council of the City of Patterson, held on the 6
th day of May, 2025, by_______________, who
moved its adoption, which motion was duly seconded by ________________, and the resolution adopted by the following roll call vote:

6.4.a
Packet Pg. 25
Attachment: Resolution No. 2025-18 of Concurrence and Support AAP_ConPlan CDBG (Adopt Resolution No. 2025-18 CDBG/HOME AYES:

NOES:

EXCUSED:

APPROVED:

Michael Clauzel
Mayor of the City of Patterson
ATTEST:

Aracely Alegre
City Clerk of the City of Patterson
I hereby certify that the foregoing is a full, correct, and true copy of a resolution passed by the City Council of the City of Patterson, a Municipal Corporation of the County of Stanislaus, State of California, at a regular meeting held on the 6
th day of May 2025, and I further certify that said
resolution is in full force and effect and has never been rescinded or modified.

DATED:
_____________________________
City Clerk of the City of Patterson
.

6.4.a
Packet Pg. 26
Attachment: Resolution No. 2025-18 of Concurrence and Support AAP_ConPlan CDBG (Adopt Resolution No. 2025-18 CDBG/HOME

STANISLAUS URBAN COUNTY

COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)

EMERGENCY SOLUTIONS GRANTS (ESG)
FISCAL YEAR 2025-2026 ANNUAL ACTION PLAN
Estimated FY 2025-2026 CDBG Allocation: $2,335,030
Estimated FY 2025-2026 ESG Allocation: $ 208,317
TOTAL: $2,543,347
The table below shows the estimated CDBG and ESG grant allocation breakdown among Urban County members and special programs based on FY 2024-2025 awarded funding.

ESTIMATED CDBG AND ESG ALLOCATIONS

URBAN COUNTY
MEMBER

ACTIVITIES ADMINISTRATION TOTAL
City of Ceres $213,623 $5,000 $218,623
City of Hughson $158,003 $5,000 $163,003
City of Newman $144,702 $5,000 $149,702
City of Oakdale $163,815 $5,000 $168,815
City of Patterson $176,638 $5,000 $181,638
City of Riverbank $140,064 $5,000 $145,064
City of Waterford $217,545 $5,000 $222,545
Stanislaus County $328,634 $407,006 $735,640
Public Services @14% $325,000 $325,000
Fair Housing $25,000 $25,000
CDBG Total $1,868024 $467,006 $2,335,030
ESG Total $192,694 $15,623 $208,317
TOTAL ALLOCATION $2,060,718 $482,629 $2,543,347
All allocations will be proportionally increased or decreased from the estimated funding levels to match final allocation amounts.

6.4.b
Packet Pg. 27
Attachment: CDBG Estimates 2025 (Adopt Resolution No. 2025-18 CDBG/HOME Consolidated Plan 2025)

STANISLAUS HOME CONSORTIUM

HOME INVESTMENT PARTNERSHIPS PROGRAM (HOME)
FISCAL YEAR 2025-2026 ANNUAL ACTION PLAN
Estimated FY 2025-2026 HOME Allocation: $1,262,718.33
The table below shows the estimated HOME grant allocation breakdown among Stanislaus HOME Consortium members. Estimate is based on FY 2024-2025 awarded funding.

HOME ALLOCATIONS*

HOME CONSORTIUM MEMBER ALLOCATION
City of Ceres $106,408.00
City of Hughson $94,221.00
City of Newman $100,536.00
City of Oakdale $102,904.00
City of Patterson $98,737.00
City of Riverbank $97,544.00
City of Turlock $116,257.00
City of Waterford $94,475.00
Stanislaus County $135,956.00
Community Housing Development
Organization (CHDO) Set-aside @ 15%
$189,408.00
HOME Total $1,136,446.00
County Administration Total $126,272.33
TOTAL ALLOCATION $1,262,718.33
*Please Note- All allocations will be proportionally increased or decreased from the estimated funding levels to match final allocation amounts. These funds shall be allocated to individual Consortium members and will be required to be committed to an approved project within six (6) months from July 1 of each year unless such deadline is extended by the County. An approved project shall be a project included within a HUD certified Annual Action Plan and approved by the County. If there are no approved projects within 6 months, the funding will be made available to the Consortium members for projects through a Request for Proposal (RFP) selection process by the County.

6.4.c
Packet Pg. 28
Attachment: HOME Estimates 2025 (Adopt Resolution No. 2025-18 CDBG/HOME Consolidated Plan 2025) City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Tiffany Rodriguez, Director of Engineering, Building & Capital Projects MEETING DATE: May 6, 2025
ITEM NO: 6.5
SUBJECT: Approve the proposal from Provost & Pritchard for Design Services for American Eagle Avenue Pavement Rehabilitation Project and authorize staff to enter into a negotiated Consultant Agreement with a not to exceed cost of $177,784.00, and authorize the Finance Department to make the necessary budget adjustments.

RECOMMENDATION
Motion to Approve the proposal from Provost & Pritchard for Design Services for American Eagle Avenue Pavement Rehabilitation Project and authorize staff to enter into a negotiated Consultant Agreement with a not to exceed cost of $177,784.00, and authorize the Finance Department to make the necessary budget adjustments.

BACKGROUND
This project consists of a pavement rehabilitation project, including full depth reconstruction, overlay with dig-outs as needed, curb ramp upgrades, and striping along American Eagle Avenue in the City of Patterson, Stanislaus County. The road segment where construction will occur spans approximately 0.6 miles. American Eagle Avenue is one of Patterson’s Major Collectors and serves as a vital connection for residential neighborhoods and educational institutions. This section of American Eagle Avenue is a heavily trafficked corridor that plays a key role in the city’s transportation network with close proximity to multiple schools. Before overlaying, pavement surfaces with severe conditions will be reconstructed to full section depth wherever necessary, including excavation and reconstruction with aggregate base and asphalt concrete.

The existing road will be cold planed where tying into the existing road sections and along existing gutter sections. All existing striping and markings will be removed in preparation of an overlay, disposed of in accordance with regulations, and replaced with thermoplastic striping and markings after the completion of an overlay. All existing manhole and valve covers are required

6.5 Packet Pg. 29
to be raised to the final grade. In addition, all crosswalks and curb ramps within the project area will be evaluated and reconstructed, if necessary, to meet the most current Americans with Disabilities Act (ADA) Standards. This is an effort to maintain and improve roadway safety within the City of Patterson. All improvements are located within the City of Patterson right-ofway.

ANALYSIS
A Request For Proposals (RFP) for Engineering and Design Services was prepared and sent to the engineering firms on the on-call list.

Two (2) proposals and estimated fees (based on hourly rates) were submitted by the following firms:

Provost & Pritchard Consulting Group
Sanbell
$177,784.00
$239,628.00
The proposal was screened by a selection committee and rated on:
• Understanding of the Project (40%, scored on a 1-10 scale) • Costs for services provided (60%, scored on a 1-15 scale) The proposal was very clear and concise and showed good understanding of the project, while also meeting the requirements set forth in the RFP.

Staff recommends Provost & Pritchard for the design of this project based on the evaluation of their qualifications and experience.

FISCAL IMPACT
Staff negotiated with Provost & Pritchard to an agreeable scope and fee of $177,784.00. Staff recommends awarding the design to Provost & Pritchard for this amount and authorizing the budget with our standard 10% contingency.
$177,784.00 Provost & Pritchard Consulting Group
$17,778.40 10% Contingency
$195,562.40 Total Phase Project Cost
Contingency will only be utilized if needed.

Current funding for this project is as follows:
$195,562.40 American Eagle Avenue Pavement Rehabilitation- Design (ACCT# 327-000-7637 ) from SB1 Funds

6.5 Packet Pg. 30
City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Tiffany Rodriguez, Director of Engineering, Building & Capital Projects MEETING DATE: May 6, 2025
ITEM NO: 6.6
SUBJECT: Accept all bids for the 2025 Slurry Seal Project, award construction to American Pavement Systems, Inc., authorize Staff to execute the Contract, and authorize the Finance Department to make the necessary budget amendments.

RECOMMENDATION
Motion to Accept all bids for the 2025 Slurry Seal Project, award construction to American Pavement Systems, Inc., authorize Staff to execute the Contract, and authorize the Finance Department to make the necessary budget amendments.

BACKGROUND
The project consists of removing existing traffic striping and markings, crack sealing, applying Type II Slurry Seal, and restoring traffic striping and markings for approximately 453,275 SqYds of various streets within the City of Patterson.

ANALYSIS
Over the past years, the City has been collecting fees from multiple Benefit Assessment Districts (BAD’s) to help pay for the maintenance of streets located within these BADs which include Patterson Gardens, Walker Ranch, Heartland Ranch, Keystone Business Park, and Patterson Gardens Annexation 1. The City has budgeted $2,557,537.61 in FY 2023/24 for the slurry seal project.

FISCAL IMPACT
This project was advertised on the Valley Builders Exchange, the City’s website, and the

6.6 Packet Pg. 31
Patterson Irrigator Newspaper. Bid opening was held on April 2, 2025, at 2:00 P.M. The City received Six (6) bids for this project. The Six (6) bids received are listed below from lowest to highest:

Bids
Total Base Bid ($) Bid Additive ($) Total Base Bid and Bid Additive ($)
American Pavement
Systems, Inc.
$1,517,263.14 $610,967.68 $2,128,230.82
Pavement Coatings Co. $1,603,412.45 $599,075.35 $2,202,487.80 Dryco Construction, Inc. $1,659,659.00 $626,626.00 $2,286,285.00 VSS International, Inc. $1,763,120.00 $694,000.00 $2,457,120.00 American Asphalt Repair
and Resurfacing Co., Inc.
$1,784,662.08 $649,811.15 $2,434,473.23
Doolittle Construction,
LLC
$2,091,058.89 $684,941.11 $2,776,000.00
After reviewing the bid documents, American Pavement Systems, Inc., was deemed the lowest responsible bidder.

Funding for this project is as follows:
$1,517,263.14 Base Bid
$610,967.68 Bid Additive
$212,823.09 10% Contingency
$212,823.09 10% Construction Inspection and Management
$2,553,877.00 TOTAL
Budget for this Project is as follows:
$665,176.93 Local City Funds for Construction
-Patterson Gardens (BAD)
(Acct # 176-999-9760)
$553,990.79 Local City Funds for Construction
-Walker Ranch (BAD)
(Acct # 176-999-9765)
$264,888.70 Local City Funds for Construction
-Heartland Ranch (BAD)
(Acct # 176-999-9752)
$124,026.77 Local City Funds for Construction
-Villages of Patterson - Measure L
(Acct # 329-999-9002)
$204,114.48 Local City Funds for Construction
-Keystone PKWY (BAD)

6.6 Packet Pg. 32
(Acct # 176-999-9754)
$41,516.65 Local City Funds for Construction
-Patterson Gardens Annexation #1 (BAD)
(Acct # 176-999-9761)
$700,162.98 Local City Funds for Construction
-Street Capital Funds From Garbage
(Acct # 327-000-7572)
$2,553,877.30 Total Funds Available

6.6 Packet Pg. 33
City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Tiffany Rodriguez, Director of Engineering, Building & Capital Projects MEETING DATE: May 6, 2025
ITEM NO: 6.7
SUBJECT: Accept all proposals for SCADA for the WQCF Admin Phase 3A Wastewater Treatment Expansion Project, award SCADA Programming to PACE Advanced Water Engineering, authorize Staff to execute the Contract and authorize the Finance Department to make the necessary budget adjustments.

RECOMMENDATION
Motion to Accept all proposals for SCADA for the WQCF Admin Phase 3A Wastewater Treatment Expansion Project, award SCADA Programming to PACE Advanced Water Engineering, authorize Staff to execute the Contract and authorize the Finance Department to make the necessary budget adjustments.

BACKGROUND
The City’s existing Wastewater Quality Control Facility (WQCF) is located at the easterly end of Walnut Avenue, approximately 1.5 miles east of city limits. The WQCF has a permitted wastewater treatment capacity of 2.25 MGD, with an approximate 2.25 MGD of reliable treatment capacity, and an existing average Dry Weather Flow of approximately 1.75 MGD.

The WQCF consists of three existing separate processes: The North Activated Sludge Treatment System (NASTS), the Advanced Integrated Pond System (AIPS), and the South Activated Sludge Treatment System (SASTS), with a Phase 3 expansion, concurrent with this project, to incorporate a pre-fabricated packaged Membrane Bioreactor (MBR) treatment system with a minimum treatment capacity of 0.625 MGD and all necessary appurtenances associated for its integration to the City’s WQCF.

6.7 Packet Pg. 34
The WQCF uses PLC, PLC2, and SCADA hardware and programming system for industrial automation, allowing the City to monitor, control, and analyze the processes of the WQCF that are
outdated. The current system consists of outdated Allen Bradley hardware and PLC programs.

This project consists of upgrading all hardware and migrating programs to versions compatible with new hardware, including any programming and integration to WQCF components, to bring the SCADA system up to date.

ANALYSIS
A request for proposals (RFP) was prepared and advertised in the Patterson Irrigator, on the City’s website, and with the Valley Builder Exchange.

The City received three proposals from the following firms:
• PACE Advanced Water Engineering
• Telstar Instruments
• Agilitech
Proposals were screened by a selection committee and rated on a scale of 1-10:
• Understanding of work to be performed
• Experience with similar types of work
• Quality of staff for work to be done
• Capability of developing innovative or advanced techniques • Financial Responsibility
• Demonstrated Technical Ability
The proposals were clear, concise, and showed good understanding of the project, while also meeting the requirements set forth in the RFP. City Staff also conducted interviews with the top three ranked firms. While all consultants interviewed exhibited good comprehension of the project, PACE Advanced Water Engineering, was the top ranked consultant. Therefore, staff recommends PACE Advanced Water Engineering for the programming of SCADA for this project based on the evaluation of their qualifications and experience.

FISCAL IMPACT
Staff negotiated with PACE Advanced Water Engineering to an agreeable scope and fee of $478,170. The total cost for the contract includes all tasks 1-4 as listed in the RFP. Staff recommends awarding the design to PACE Advanced Water Engineering for this amount and authorizing the budget with our standard 10% contingency. $478,170.00 PACE Advanced Water Engineering
$47,817.00 10% Contingency

6.7 Packet Pg. 35
$525,987.00 Total Phase Project Cost
Contingency will only be utilized if needed.

Budget for this Project is as follows:

Four hundred dollars of funding is already included in the FY25 budget in account # 605-790- 7550. The additional funding needed in the amount of $125,987, will be funded by interest earned in Fund 191 (CFD 2005-1). Amounts will be transferred from Fund 191 to Fund 605 as they are incurred.

6.7 Packet Pg. 36
City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Tiffany Rodriguez, Director of Engineering, Building & Capital Projects MEETING DATE: May 6, 2025
ITEM NO: 6.8
SUBJECT: Accept all Proposals for the Construction Management and Contract Administration for the WQCF Admin Phase 3A Wastewater Treatment Expansion Project, award Construction Management and Contract Administration to HDR, Engineering, Inc., authorize Staff to execute the Contract and authorize the Finance Department to make the necessary budget adjustments.

RECOMMENDATION
Motion to Accept all Proposals for the Construction Management and Contract Administration for the WQCF Admin Phase 3A Wastewater Treatment Expansion Project, award Construction Management and Contract Administration to HDR, Engineering, Inc., authorize Staff to execute the Contract and authorize the Finance Department to make the necessary budget adjustments.

BACKGROUND
The City’s existing Wastewater Quality Control Facility (WQCF) is located at the easterly end of Walnut Avenue, approximately 1.5 miles east of city limits. The WQCF has a permitted wastewater treatment capacity of 2.25 MGD, with an approximate 2.25 MGD of reliable treatment capacity, and an existing average Dry Weather Flow of approximately 1.75 MGD.

The WQCF consists of three separate processes: The North Activated Sludge Treatment System (NASTS), the Advanced Integrated Pond System (AIPS), and the South Activated Sludge Treatment System (SASTS). The treated effluent is then pumped to percolation ponds for groundwater recharging. The current capacity for the NASTS is 0.8 MGD, AIPS is 0.2 MGD and the SASTS is 1.25 MGD. The remaining scope of this project includes construction inspections, contract administration, and material testing.

6.8 Packet Pg. 37

ANALYSIS
A Request For Proposals (RFP) was prepared and advertised in the Patterson Irrigator, listed on the City’s website, and on the Valley Builder Exchange website.

The City received four proposals from the following firms:
• HDR Engineering, Inc.
• Consolidated Construction
• Mountaineering Engineering, Corp
• Cecil and Cecil
Proposals were screened by a selection committee and rated on a scale of 1-10:
• Understanding of work to be performed
• Experience with similar types of work
• Quality of staff for work to be done
• Capability of developing innovative or advanced techniques • Financial Responsibility
• Demonstrated Technical Ability
The proposals were clear, concise, and showed good understanding of the project, while also meeting the requirements set forth in the RFP. City Staff also conducted interviews with the top three ranked firms. While all consultants interviewed exhibited good comprehension of the project, HDR Engineering, Inc., was the top ranked consultant. Therefore, staff recommends HDR Engineering, Inc., for the Construction Management and Contract Administration of this project based on the evaluation of their qualifications and experience.

FISCAL IMPACT
Staff negotiated with HDR Engineering, Inc., to an agreeable scope and fee of $1,696,413. The total cost for the contract includes all tasks 1-5 as listed in the RFP. Staff recommends awarding the Construction Management and Contract Administration to HDR for this amount and authorizing the budget with our standard 10% contingency. $1,696,413.00 HDR Engineering, Inc.
$ 169,641.30 10% Contingency
$1,866,054.30 Total Phase Project Cost
Contingency will only be utilized if needed.

6.8 Packet Pg. 38
Budget for this Project is as follows:

Funding is available from CFD 2005-1 (Fund 191) from previously assessed Direct Funding of Facilities and previously recorded interest income. Project costs will be housed in Fund 606 (Acct # 606-306-7576) and amounts will be transferred as incurred.

6.8 Packet Pg. 39
City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Tiffany Rodriguez, Director of Engineering, Building & Capital Projects MEETING DATE: May 6, 2025
ITEM NO: 6.9
SUBJECT: Approve Resolution No. 2025-27 Accepting the Public Improvements for Villages of Patterson, Clayton Shire Ph 2 Offsite Improvements as Complete; Authorizing the City Clerk to File the Notice of Completion; and Begin the One-Year Warranty.

RECOMMENDATION
Motion to Approve Resolution No. 2025-27 Accepting the Public Improvements for Villages of Patterson, Clayton Shire Ph 2 Offsite Improvements as Complete; Authorizing the City Clerk to File the Notice of Completion; and Begin the One-Year Warranty.

BACKGROUND
On December 12, 2006 City Council of the City of Patterson adopted a resolution 2006-122 conditionally improving the tentative map for Villages of Patterson subdivision. On February 5, 2019 the City Council authorized City Manager to enter into a Subdivision Improvement Agreement and to receive a Final Map of Patterson Ranch Development located in VOP Master Development Area.

The City Council approved the development of Villages of Patterson, Clayton Shire Phase 1 and 2 (98) residential lots located at (APN# 047-035-003). The developer, VOP 2.1 LLC. (Greg Galletly), hired Ross F Carroll Inc. and their sub-contractors to construct the project. Villages of Patterson, Clayton Shire Phase 1 (41 lots) and Phase 2 (57 lots) Onsite improvements were accepted by the City Council on September 22, 2022, and March 21, 2023 respectively. Now, Offsite improvements has been completed and the developer has complied with all Conditions of Approval and is requesting to be placed on the City Council agenda for acceptance of all Public Improvements.

6.9 Packet Pg. 40

ANALYSIS
The City’s Engineer(s) and Public Works staff have performed the necessary inspections on all the offsite public improvements and certify that the developer has met all requirements for the general improvements and offsite operations. A notice of completion and a resolution are attached for Council’s approval.

The developer has constructed the improvements on Sycamore and Walnut Avenue and has completed the following:

Sycamore Ave: Street widening, median, curb/gutter, sidewalk, sewer, water, storm, nonpotable water main, landscaping and irrigation Walnut Ave: Street widening, curb/gutter, sidewalk, water main, sewer, storm drain, landscaping & irrigation
Storm Basin: New Storm Drain with complete landscaping and irrigation, SCADA, outlet structure and appurtenances.

The City has collected the Warranty Bond/Payment for the Public Improvements. A resolution has been prepared and attached to accept the public improvements and to begin the one-year warranty period. The Notice of Completion and the Agreement will need to be recorded by the City Clerk.

FISCAL IMPACT
There is no budget impact associated with this item. The developer has paid all costs associated with these items and posted the required warranty bonds/check with the City Clerk.

Attachments: Resolution No. 2025-27
Notice of Completion

6.9 Packet Pg. 41
1 1
2 RESOLUTION NO. 2025-27
3 4 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PATTERSON 5 ACCEPTING THE OFF-SITE WORK AS COMPLETE, AUTHORIZING STAFF TO 6 FILE THE NOTICE OF COMPLETION FOR THE PUBLIC IMPROVEMENTS FOR 7 VILLAGES OF PATTERSON CLAYTON SHIRE OFF-SITE IMPROVEMENTS 8 WHEREAS, the Developer/Owner, “VOP 2.1 LLC.”, and the Contractor, “Ross F 9 Carroll Inc.” have completed all the public improvements for the Villages of Patterson 10 Clayton Shire Phase Offsite in accordance to the contract requirements and plans and 11 specifications; and
12 WHEREAS, the Engineering and Public Works Department have inspected the 13 work and recommended that the project be accepted as complete. 14 15 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of 16 17 Patterson that it hereby accepts the project as complete, directs the City Clerk of the 18 19 City of Patterson to file the Notice of Completion and commence the Warranty Period 20 21 for the Villages of Patterson Clayton Shire Phase Offsite Improvements. 22 23
24 The foregoing resolution was introduced at a regular meeting of the City Council 25 26 of the City of Patterson held on the 6th day of May 2025, by ______________, 27 28 who moved its adoption, which motion was duly seconded by __________________, 29 30 and it was upon roll call carried and the resolution adopted by the following roll 31 32 call vote:
33 34 AYES:
35 NOES:
36 EXCUSED:
37 APPROVED:
38 39 _________________________
40 Michael Clauzel
41 Mayor of the City of Patterson

6.9.a
Packet Pg. 42
Attachment: Resolution No. 2025-27 NOC - Clayton Shire Ph 2 offsite (Approve Resolution No. 2025-27 NOC Claytonshire Ph 2 Offsite) 2 1
2 ATTEST:
3 4 ______________________________
5 Aracely Alegre
6 City Clerk of the City of Patterson
7 8
9 10
11 12 I hereby certify that the foregoing is a full, correct and true copy of a resolution 13 passed by the City Council of the City of Patterson, a Municipal Corporation of the County of Stanislaus, State of California, at a regular meeting held on the 6 th 14 day of May
15 2025, and I further certify that said resolution is in full force and effect and has never 16 been rescinded or modified.
17 DATED:
18 19 ____________________________
20 City Clerk of the City of Patterson
21 22
23 6.9.a
Packet Pg. 43
Attachment: Resolution No. 2025-27 NOC - Clayton Shire Ph 2 offsite (Approve Resolution No. 2025-27 NOC Claytonshire Ph 2 Offsite) Recording Requested By:

CITY OF PATTERSON
When Recorded Mail To:

City Clerk’s Office
City of Patterson
P.O. Box 667
Patterson, CA 95363
SPACE ABOVE THIS LINE FOR RECORDER’S USE

CITY OF PATTERSON

NOTICE OF COMPLETION
(Resolution Attached)
Notice is hereby given that:

1. The undersigned is a representative of the owner of the interest or estate stated below in the property hereinafter described.

2. The full name of the owner is the City of Patterson.

3. The full address of the owner is 1 Plaza, Patterson, CA 95363.

4. The nature of the title of the owner is In Fee.

5. A work of improvement on the property hereinafter described was completed on May 6, 2025.

6. The name of the contractor, for such work of improvement was Ross F Carroll Inc.

7. The nature of the work of improvement was Subdivision Infrastructure Improvements Clayton Shire Offsite.

8. The property on which said work of improvement was completed is in the city of Patterson, County of Stanislaus, State of California, and is described as follows: Street Pavement, median, curbs & gutters, sidewalks streetlights, water system, sewer system and storm system utilities, landscaping, storm basin, striping etc.

9. The street address of said property is located on Sycamore Ave & Walnut Ave.

I, Tiffany Rodriguez, declare under penalty of perjury, under the laws of the State of California that the foregoing is true and correct.

Signing on behalf of City of Patterson
Dated: ____________ By
Tiffany Rodriguez, City Engineer
VERIFICATION:

I, Tiffany Rodriguez , the undersigned, declare under penalty, under the laws of the State of California that I am the owner, or agent to the owner, of the interest or estate in the property described in the above notice; that I have read the notice, that I know and understand the contents thereof, and that the facts stated therein are true and correct.

Executed on at Patterson, California.
(date)
Signing on behalf of City of Patterson
Tiffany Rodriguez, City Engineer, City of Patterson

6.9.b
Packet Pg. 44
Attachment: NOC - Clayton Shire offsite (Approve Resolution No. 2025-27 NOC Claytonshire Ph 2 Offsite) City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Mike Willett, Assistant City Manager
MEETING DATE: May 6, 2025
ITEM NO: 6.10
SUBJECT: Approve Resolution No. 2025-28 Approving the Landscape and Stormwater Treatment Control Measures (SCMs) Maintenance & Access Agreement with Dan Vander Pol for the Oak Harbor Freight Project; Authorizing the City Manager or his Designee to Execute the Agreement; and Authorizing the City Clerk to Record the Agreement.

RECOMMENDATION
Motion to Approve Resolution No. 2025-28 Approving the Landscape and Stormwater Treatment Control Measures (SCMs) Maintenance & Access Agreement with Dan Vander Pol for Oak Harbor Freight Project; Authorizing the City Manager or his Designee to Execute the Agreement; and Authorizing the City Clerk to Record the Agreement.

BACKGROUND
The City of Patterson Planning Commission approved an application for Conditional Use Permit and Architectural & Site Plan Review #22-09 for construction of building for Oak Harbor Freight. The Project is located at 275 Rogers Road, Patterson, California, Stanislaus County Assessor’s Parcel Number 021-093-012 (the “Subject Property”). According to the Project’s Conditions of Approval and the City of Patterson Stormwater Ordinance No. 777, Developer agrees to install, construct, and to perpetually maintain and repair all stormwater treatment control measures and all landscaping on the Subject Property and to comply with all stormwater regulations (State, Federal, and local).

ANALYSIS
The Landscape and Stormwater Control Measures Maintenance Agreement has been prepared and reviewed by all parties and is attached for Council’s approval. Additionally, a resolution is

6.10 Packet Pg. 45
also attached for Council approval. The resolution is required for the city to record the agreement.

FISCAL IMPACT
There is no budget impact associated with this item. All costs associated with this item are paid for by the developer, including the on-going maintenance.

ATTACHMENTS
Attachment: Resolution No. 2025-28
Attachment: Landscape and Stormwater Control Measures (SCMs) Maintenance Agreement

6.10 Packet Pg. 46
1 1 RESOLUTION NO. 2025-28
2 3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PATTERSON 4 APPROVING THE LANDSCAPE AND STORMWATER TREATMENT CONTROL 5 MEASURES (SCMS) MAINTENANCE & ACCESS AGREEMENT WITH DAN 6 VANDER POL, OWNER, FOR OAK HARBOR FREIGHT PROJECT; AUTHORIZING 7 THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE THE AGREEMENT; AND 8 AUTHORIZING THE CITY CLERK TO RECORD THE AGREEMENT
9 10 WHEREAS, the City of Patterson Planning Commission approved an application for 11 Conditional Use Permit and Architectural & Site Plan Review #22-09 for construction of a 12 building for Oak Harbor Freight as described in the Exhibits of the Agreement; and 13 14 WHEREAS, the Project is located 275 Rogers Road, Patterson, California, Stanislaus 15 County Assessor’s Parcel Number 021-093-012; and
16 17 WHEREAS, as a condition of approval of the project, the developer installed, 18 constructed, and agreed to perpetually to maintain and repair all landscaping, and stormwater 19 treatment control measures (SCMs) located on the property as described in the Landscape & 20 Stormwater Treatment Control Measures (SCMs) Maintenance & Access Agreement; and 21 22 WHEREAS, The City’s approval of the Project was conditioned upon Developer 23 satisfying certain conditions, which included the obligation to construct and maintain certain 24 offsite/on-site improvements for the Subject Property and as described in the approved 25 Improvement Plans project plans and Conditions of Approval; and 26 27 WHEREAS, as a condition of approval, Developer shall maintain the landscaping and all 28 stormwater treatment control measures (SCMs) for the Oak Harbor Freight Project location as 29 described in the Landscape & Stormwater Treatment Control Measures (SCMs) Maintenance & 30 Access Agreement; and
31 32 WHEREAS, the City and Developer desire to enter into this Agreement to clearly define 33 the responsibilities for both Parties with respect to the Onsite Improvements and the Offsite 34 Improvements installed as part of the Project (collectively, the “Project Maintenance”); and 35 36 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Patterson 37 that it hereby accepts the Landscape and Stormwater Treatment Control Measures (SCMs) 38 Maintenance & Access Agreement, authorizes the City Manager or his Designee to execute the 39 agreement, and directs the City Clerk of the City of Patterson to record the agreement. 40 41 The foregoing resolution of the City Council of the City of Patterson was passed by the City Council at a regular meeting held on the 6
th 42 day of May 2025, by ______________, who moved
43 its adoption, which motion was duly seconded by _______________, and the resolution adopted 44 by the following roll call vote:
45 46

6.10.a
Packet Pg. 47
Attachment: Resolution No. 2025-28 SCM AGREEMENT-OAK HARBOR FREIGHT (Resolution No. 2025-28 Approving the Landscape & SCMs 2 1 AYES:
2 NOES:
3 EXCUSED:
4 5
6 APPROVED:
7 8
9 ______________________________
10 Michael Clauzel
11 Mayor of the City of Patterson
12 13
14 ATTEST:
15 16
17 ________________________________
18 Aracely Alegre
19 City Clerk of the City of Patterson
20 21
22 23
24 25 I hereby certify that the foregoing is a full, correct and true copy of a resolution passed by the 26 City Council of the City of Patterson, a Municipal Corporation of the County of Stanislaus, State of California, at a regular meeting held on the 6
th 27 day of May 2025, and I further certify that said
28 resolution is in full force and effect and has never been rescinded or modified. 29 30 DATED:
31 32
33 ___________________________________
34 City Clerk of the City of Patterson
35 6.10.a
Packet Pg. 48
Attachment: Resolution No. 2025-28 SCM AGREEMENT-OAK HARBOR FREIGHT (Resolution No. 2025-28 Approving the Landscape & SCMs

RECORDING REOUESTED BY
City of Patterson
PLEASE RETU RN TO / MAIL TO:

City of Patterson City Clerk
P.O. Box 667
Patterson, CA 95363

SPACE ABOVE THIS LINE FOR RECORDER S USE

ACCESS AND MAINTENANCE AGREEMENT

LANDSCAPING, STORMWATER TREATMENT,

LOW IMPACT DEVELOPMENT STRUCTURES
Mr. Dan Vander Pol OWNER
PROPERTY ADDRESS 275 Rogers Rd. Patterson, CA 95363
APN 021-093-012
PROJECT NAIVIE Oak Harbor Freight
PROJECT APPROVALS Architectural and Site Plan Review #22-09, Conditional Use Permit #23-02 (City Council and/or Planning Commission Resolution Numbers)

RECITALS
THts AGREEMENT is made and entered ,n,o on April 1 Sth ,2025 , o, uno between Mr. Dan Vander Pol ("Owne/'), and the CITY OF PATTERSON, a California municipal corporation ("Citv")i and
WHEREAS, Owner owns real property ("Propertv") in City of Patterson, County of Stanislaus, State of California, more specifically described in Exhibit A attached hereto; and WHEREAS, at the time of initial approval of the development project known as Oak Harbor Freight (the "Proiect"), the Pro;ect Approvals referenced above required lhe Owner to install landscaping improvements, employ on-site control measures to minimize pollutants in urban runoff, install low-impact development improvements, and contain or reduce all stormwater runoff at the site. All landscaping, low-impact development improvements, stormwater features, and containment or reduction measures may collectively be referred to herein as the "lmprovements" ; and
WHEREAS, the lmprovements, as generally described or depicted in Exhibit B attached hereto, have been installed in accordance with plans and specifications approved by Cityi and WHEREAS. the lmprovements are private facilities and all maintenance and replacement is the sole responsibility of Owner in accordance with the terms of this Agreement; and

6.10.b
Packet Pg. 49
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the WHEREAS, Owner agrees that periodic and continuous maintenance, including but not limited to, landscaping, f!lter material replacement, and sediment removal is required to assure peak performance of the lmprovements and that such maintenance activity will require compliance with all local, state, or federal laws and regulations, including those pertaining to confined space and waste disposal methods in effect at the time such maintenance occurs.

NOW THEREFORE, it is mutually agreed as follows

3. Owner shall provide City complete access, of any duration, to the lmprovements and the immediate vicinity at any time, upon reasonable notice, for the purpose of inspection, sampling, and testing of the lmprovements. ln the event of an emergency, as determined by City, no advanced notice is required for City to access the lmprovements and undertake all necessary repairs or other preventative measures to abate the danger or emergency, at Owner's expense as provided herein. City shall make every effort to minimize or avoid interference with Owner's use of the Property and the lmprovements.

4. ln the event Owner fails to accomplish the necessary maintenance contemplated by this Agreement, within five (5) days of written notice by City, City is hereby authorized to enter the Property and perform any required maintenance on the lmprovements. City shall have the right to charge the entire cost and expense of maintenance of the lmprovements to Owner, including administrative costs, attorneys' fees, and interest thereon at the maximum rate authorized by law until paid in full. City may place a laen on the Property for Owner's failure to pay costs and expenses associaled with maintenance of the lmprovements performed by City.

5. All reasonable precautions shall be exercised by Owner and Owner's representative or contractor in the removal, extraction, and disposal of material(s) from the stormwater facilities on the Property in a manner consistent with all relevant laws and regulations.

Upon written request from City, Owner shall provide City with documentation identifying the type and quantity of material(s) and the disposal destination of all materials removed from the stormwater facilities.

6. In the event Owner fails to perform the required maintenance after writlen notice provided by City, City may require Owner to flle a security with City to guarantee the performance of the obligations stated herein. The form and period of Owner's security shall be determined by City. Should Owner fail to perform the obligations under the Agreement, City may use the proceeds from the security to fulflll Owner's obligations.

7. On behalf of City, the Public Works Director or his or her designee shall be responsible for the implementation and administration of this Agreement. Before initiating any claim or challenge in a cou( of law, any decision of the Public Works Director shall first be appealed to the City Manager.
4915-1695-7476. v. 1

1. The "Recitals" set forth above, the Exhibits referenced herein, the introductory paragraph preceding the Recitals, and all defined terms set forth therein, are hereby incorporated into and made part of this Agreement.

2. Owner shall diligently maintain the lmprovements and in a manner assuring peak performance at all times. Owner shall not destroy or remove the lmprovements from the Property nor modify or otherwise allow the lmprovements to exist in any manner that lessens their aesthetic or effectiveness.

6.10.b
Packet Pg. 50
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the

8. This Agreement shall be recorded in the Office of the Recorder of Stanislaus County, California, at the expense of City and shall constitute notice to all successors and assigns of the title to the Property of the obligations set forth herein.

9. ln the event of legal action occasioned by any default or action of Owner, then Owner agrees to pay all costs incurred by City in enforcing the terms of this Agreement, ancluding reasonable attorneys' fees and costs, and that the same may become part of the lien against said Property.
'10. lt is the intent of the parties hereto that the burdens and benefits herein shall constitute covenants runnrng with the land, and be binding upon all successors acquiring any interest in the Property or any portion thereof. Owner shall provide notice of this Agreement to any successor obtaining an interest in all or part of the Property. 'l'1. Owner shall provide advance notice to City of any change in ownership or control of the Property, before transferring such ownership or control of the Property or any portion thereof.

12. Time is of the essence in the performance of this Agreement.

13. Owner shall hold harmless, indemnify, and defend City and City officials, employees, contractors, and agents from all liability that may be incurred by City as a result of any inluries to persons or property arising out of or attribulable to Owner's operation and maintenance of the lmprovements, except for such liability directly resulting from City's negligence or willful misconduct.

15. Each person executing this Agreement represents and warrants that he or she is duly authorized and has the legal authority to execute and deliver this Agreement.

16. Any notice to a party required or called for in this Agreement shall be served in person, or by deposit in the U.S. Mail, first class postage prepaid, to the address set forth below.

Notice(s) shall be deemed effective upon receipt, or seventy-two (72) hours after deposit in the U.S. Mail, whichever is earlier. All notices delivered personally or by U.S. Mail shall be accompanied by a copy sent by email. A party may change a notice address only by providing written notice thereof to the other party.

IF TO CITY:

City of Patterson
Public Works Department
1 Plaza
Patterson, CA 95363
[email protected] oov
Email:

IF TO OWNER:
[t/r. Dan Vander Pol
MDHE Enterprises, LLC
PO Box 1469
Auburn, WA 98071

14.lf any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions shall continue in full force without being impaired.
4915 1695-7476 v 1

6.10.b
Packet Pg. 51
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the lN WITNESS THEREOF, the parties hereto have affixed their signatures as of the date first written above.

CITY OF PATTERSON,
a municipal corporation
By
Fernando Ulloa, City lVlanager
OWNER: Dan Vander Pol
By
snature
, f.l IL \;J,,-/
Titie)
By.
(Signature)
(Pnnl Name & Title)
By
ATTEST
Aracely Alegre, City Clerk

APPROVED AS TO FORM
Nubia Goldstein, City Attorney
4915-1695 7476 v 1
I

6.10.b
Packet Pg. 52
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the

EXHIBIT
A
Legal Description of Property
4915 1695 7476 v 1

6.10.b
Packet Pg. 53
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the EXHIBIT "A"
Legat Description

THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF PATTERSON, COUNW OF STANISLAUS, STATE OF CALIFORNIA AND IS DESCRIBED AS FOLLOWS:

APN: 021-093-012-000
Parcet 1 1 as shown on Parce[ Map fited for record l,lay 31 , 2022 in Book 58 of Parcet Maps, at Page 52, Stanistaus County Records.

6.10.b
Packet Pg. 54
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the

EXHIBIT B
Landscaping, Stormwater Features, Low-lmpact Development lmprovements 4915 1695 7476. v 1

6.10.b
Packet Pg. 55
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the oqq
rtl ot
/'l
tou:r.tls,\orr yoi _!rI,\ yv^i tiv il l ad I o)ao
:sE\
tl I
l,/ //

6.10.b
Packet Pg. 56
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the

EXHIBIT C
(Operation & lvlarntenance (O&ful) Plan)
Property Owner lnformation
Development lnformation
Dan Vander Pol
Dan Vander Pol
PO Box '1469
Auburn I
st,t",
lwe
Zip: 980 71
I
(253) 804-1007 lEmair: [email protected]
Oak Harbor Freight Lines
275 Rogers Road
I sut", ^ ^
l"^ I zin'
lnrru. Patterson
02'1-093-012
Oak Harbor Freight Lines
PO Box Box 1469
lstate, | ''o I
Auburn 98071
I
r.rit
l
(253) 804-1007 [email protected]
/
Property Owner
Name:

Name of Contact
Person:

Mailing Address
City
Telephone
Name of Development
Developmenl
Address:

City
Assessor Parcel No
Name of Person or
0rganization
Responsible for
Performing
lnspections and
Maintenance of the
Treatment Control
Measures:

Mailing Street
Address:

City
Telephone:

6.10.b
Packet Pg. 57
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the Treatment Control Measu res
List lhe treatment contral f:F-asures al the develapnent and ther nspectDn frequenaes (m!ntmum of once per year) Fcr each ircatment canlrcl measurc. descnbe conchttons that requ[e mantenance ot tepar Descnbe preventaltve mantenance needed to keep the treatment control oreasure effective
Vegetated Swales Twice a
year or as
necessary
Clear openings, check inlet covers & frames for
damage, replant if necessary
CDS Manhole Structure Annually
or as
necessary
Clear openings, check slructure for any damage
Lit)d.ltcd 11102./ l7 l'JgL. ll
Treatment Control Measure lnspection
Frequency
Describe Conditions that Require Maintenance /
Repair and Describe Routine Preventative
Maintenance

6.10.b
Packet Pg. 58
Attachment: SIGNED OAK HARBOR FREIGHT LANDSCAPE AND SCMs AGREEMENT - FINAL (Resolution No. 2025-28 Approving the City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Tiffany Rodriguez, Director of Engineering, Building & Capital Projects MEETING DATE: May 6, 2025
ITEM NO: 7.1
SUBJECT: Approve one of the two different prototype sign design options that will serve as a base for the City of Patterson’s Wayfinding Sign Program, and authorize staff to proceed with the award of a Small Value Contract for the fabrication of the prototype signs to Third Floor North.

RECOMMENDATION
Motion to Approve one of the two different prototype sign design options that will serve as a base for the City of Patterson’s Wayfinding Sign Program, and authorize staff to proceed with the award of a Small Value Contract for the fabrication of the prototype signs to Third Floor North.

BACKGROUND
This Project consists of fabricating two prototype signs, one ±17-foot and one ±14-foot sign, to be installed by City Staff. The prototype signs will serve as a base for the City of Patterson’s Wayfinding sign Program. Proposed locations are as follows: the larger sign will be installed at the intersection of Ward and Las Palmas Avenues, and the smaller sign at Las Palmas Avenue and 9th Street.

ANALYSIS
This project went out to bid through the City of Patterson’s informal bid process and was sent to a list of sign fabricators that was provided by the designer, offering two options- an original design, and a more decorative alternate design. The City only received one bid; the bid was received from Third Floor North.

The costs are as follows:

7.1 Packet Pg. 59
Design Intent
Bid Alternate
$16,887.79
$27,701.12

FISCAL IMPACT
Fiscal impact comparison between designs, including the 10% contingency.

Original Design:
$16,887.79 Total Base Bid
$1,688.78 10% Contingency
$18,576.57 Total Phase Project Cost
Alternate Design:
$27,701.12 Total Base Bid
$2,770.11 10% Contingency
$30,471.23 Total Phase Project Cost
Contingency will only be utilized if needed.

Budget for this Project is as follows:

General Fund (100-250-6241)

7.1 Packet Pg. 60
City of Patterson
Prototype Wayfinding Signs
Design Selection
&
Award of Contract for Fabrication

7.1.a
Packet Pg. 61
Attachment: Design Selection PowerPoint (Presentation Prototype Design Selection)

PROJECT BACKGROUND
 The Wayfinding Sign Program is an opportunity for the City of Patterson to incorporate a brand that creates a welcoming environment by providing decorative signs throughout City that appeal to the public and help provide direction.  This Project consists of fabricating two prototype signs as a base for the City’s Wayfinding Sign Program.
 City staff to Install:
 One ±17’ tall sign to be installed at Ward Avenue & Las Palmas Avenue.  One ±14’ tall sign to be installed at Las Palmas Avenue & 9th Street.  This Project went out to bid through the City’s informal bidding process offering two design options.
 Staff requests direction form City Council on the sign design selection.

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Attachment: Design Selection PowerPoint (Presentation Prototype Design Selection)

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Attachment: Design Selection PowerPoint (Presentation Prototype Design Selection) ORIGINAL DESIGN - $16,887.79
POST

SIGN PANEL
& GRAPHICS

FOOTING

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Attachment: Design Selection PowerPoint (Presentation Prototype Design Selection) ALTERNATE DESIGN - $27,701.12

SIGN PANEL &

GRAPHICS
POST

FOOTING

CURLICUES DECORATIVE
RINGS

DECORATIVE
BASE

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Attachment: Design Selection PowerPoint (Presentation Prototype Design Selection)

COST COMPARISON
 Original Design
 Large Sign- $10,317.07
 Small Sign- $6,570.72
 Total Base Bid- $16,887.79
 10% Contingency- $1,688.78
 Total Project Cost- $18,576.57
 Alternate Design:
 Large Sign- $16,237.10
 Small Sign- $11,464.02
 Total Base Bid- $27,701.02
 10% Contingency- $2,770.11
 Total Project Cost- $30,471.23

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Attachment: Design Selection PowerPoint (Presentation Prototype Design Selection) QUESTIONS?

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Attachment: Design Selection PowerPoint (Presentation Prototype Design Selection) City Council Agenda Report
TO:

FROM:

BY:

Mayor Clauzel and Members of the City Council
Fernando Ulloa, City Manager
Kevin Williams, Interim Finance Director
MEETING DATE: May 6, 2025
ITEM NO: 7.2
SUBJECT: Accept the City of Patterson’s 2023-24 Financial Audit Report, 2023-24 Single Audit Report, 2023-24 Transportation Development Act Funds Financial Audit Report, 2023-24 Abandoned Vehicle Abatement Program Financial Audit Report.

RECOMMENDATION
Motion to Accept the City of Patterson’s 2023-24 Financial Audit Report, 2023-24 Single Audit Report, 2023-24 Transportation Development Act Funds Financial Audit Report, 2023-24 Abandoned Vehicle Abatement Program Financial Audit Report.

BACKGROUND
The City of Patterson publishes financial statements presented in conformance with Generally Accepted Accounting Principles (GAAP). The financial statements were audited by the independent public accounting firm of The Pun Group, LLP, whose unmodified opinion is included within the financial section of the report. The unmodified opinion indicates that the financial statements present fairly the financial position of the City of Patterson as of June 30, 2024, and the results of operations, in accordance with generally accepted accounting principles. As part of the audit, The Pun Group, LLP also reviewed and performed a test of the City’s internal accounting control procedures to determine if there are any material weaknesses or instances of non-compliance. Based on the audit, there is no instance of non-compliance.

All non-Federal entities that expend $750,000 or more of Federal awards in a year are required to obtain an annual audit to comply with both the Single Audit Act Requirements and Federal Government’s Office of Management and Budget (OMB) standards. The Single Audit has been completed and the independent auditors have indicated that the City of Patterson has no instance of non-compliance.

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The City of Patterson’s 2023-24 financial report, 2023-24 Single Audit Report, 2023-24 Abandoned Vehicle Abatement Program financial report and 2023-24 Transportation Development Act Funds financial report are available on the City’s website and are attached to this staff report.

Representative of The Pun Group will be present to discuss the audit and answer questions.

ANALYSIS
Governmental funds. The focus of the City of Patterson’s governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City of Patterson’s financing requirements. Spendable fund balance may serve as a useful measure of a government’s net resources at the end of the fiscal year.

As of June 30, 2024, the City of Patterson’s governmental activities reported an ending net position of $105,143,380, an increase of 18% primarily due to an increase in charges for services in the amount of $3,784,298 and $2,424,744 in taxes.

The General Fund is the chief operating fund of the City of Patterson. At the end of the current fiscal year, the committed, assigned and unassigned fund balance of the general fund was $23,393,334, while total fund balance was $24,266,693. The general fund’s ending fund balance increased by $6.1 million compared to the prior year.

As a measure of the General Fund’s liquidity, it may be useful to compare only the committed, assigned, and unassigned fund balance to total fund expenditures. Committed, assigned and unassigned fund balance represents 77.07% of the total general fund expenditures for the year, most of which is committed or assigned to meet future long-term obligations. The key factors in the increase of General Fund’s fund balance as follows:
• Overall, General Fund revenues (including transfers in) increased from last year by $5.2 million or 18% and expenditures (including transfers out) increased by $2.9 million or 11% over the prior year. Tax related revenue increased by $2.4 million mainly due to a one time increase in Sales Tax revenue. Licenses and Permits increased by about $600 thousand and charges for services increased by about $700 thousand due to increases in development. • The overall increase in expenditures in the amount of $3.6 million or 13% was attributed mostly to increased capital outlay expenditures.

As of the end of the current fiscal year, the City of Patterson’s governmental funds reported combined ending fund balances of $115,731,725, an increase of $19 million in comparison with the prior year.

The city’s total governmental funds ending fund balances of $33,361,273 or 28.83% constitute committed, assigned and unassigned fund balance, which is available for spending at the government’s discretion within the guidelines of the funding sources. The remainder of the fund balance of $82,370,452 is either non-spendable or restricted for purposes imposed by creditors, grantors, contributors, laws, or regulations of other governments or through enabling legislation.

Proprietary funds. The City of Patterson’s proprietary funds include the Water, Sewer and Garbage funds. As of June 30, 2024, the City’s total ending net position of $48,012,963 decreased 1% primarily due to a decrease in capital grants and contributions in the amount of $5,181,105.

Water operating revenue increased by $680,487, and expenses increased by $354,623 in fiscal year

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2024,
resulting in operating income of $1.5 million. The increase in revenue primarily generated from the increase in newly adopted water rates in January 2024.

Sewer operating revenue increased by $748,197 and expenses increased by $12,344 in fiscal year 2024, resulting in an operating deficit of $960,971. The increase in operating revenue primarily generated from the increase in newly adopted sewer rate in July 2023.

Garbage operating revenue increased by $323,369 in fiscal year 2024. This increase in revenue resulted from an increase in garbage rates of 4.9% and increase in the number of customers. Garbage operating expenses increased by $693,936 primarily resulted from increasing operating costs related new customers and increasing public outreach in compliance with Senate Bill 1383, which requires every jurisdiction to provide organic waste collection services to all residents and businesses.

The Unrestricted net position of the Enterprise Funds at the end of the year resulted in a deficit of $2,325,327, an increase of $1,202,050 from the prior year. This change is primarily the result of the acquisition and construction of capital assets.

FISCAL IMPACT
Acceptance of these reports does not affect the City’s budget or its financial condition. The report merely reflects an audit of the City’s financial records at June 30, 2024.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Department

CITY OF PATTERSON
FOR THE FISCAL YEAR ENDED JUNE 30, 2024

CITY OF PATTERSON, CALIFORNIA

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Annual Comprehensive Financial Report
For the Year Ended June 30, 2024
Table of Contents
Page
INTRODUCTORY SECTION (Unaudited)
Letter of Transmittal ....................................................................................................................................................... i Principal Officials .......................................................................................................................................................... v Organizational Chart ..................................................................................................................................................... vi GFOA Certificate of Achievement .............................................................................................................................. vii

FINANCIAL SECTION
Independent Auditors’ Report on Financial Statements ......................................................................................... 1 Management’s Discussion and Analysis
(Required Supplementary Information) (Unaudited) .............................................................................................. 5 Basic Financial Statements:

Government-Wide Financial Statements:

Statement of Net Position ................................................................................................................................ 18 Statement of Activities .................................................................................................................................... 20 Fund Financial Statements:

Governmental Fund Financial Statements:

Balance Sheet ............................................................................................................................................ 26 Reconciliation of the Governmental Funds Balance Sheet
to the Government-Wide Statement of Net Position .......................................................................... 29 Statement of Revenues, Expenditures, and
Changes in Fund Balances .................................................................................................................. 30 Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances to the Government-Wide Statement of Activities ....................................................................................................................... 32 Proprietary Fund Financial Statements:

Statement of Net Position ......................................................................................................................... 34 Statement of Revenues, Expenses, and Changes in Net Position ............................................................. 35 Statement of Cash Flows ........................................................................................................................... 36 Fiduciary Fund Financial Statements:

Statement of Fiduciary Net Position ......................................................................................................... 41 Statement of Changes in Fiduciary Net Position ...................................................................................... 42 Notes to the Basic Financial Statements ............................................................................................................. 47

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Annual Comprehensive Financial Report
For the Year Ended June 30, 2024
Table of Contents (Continued)
Page
FINANCIAL SECTION (Continued)
Required Supplementary Information (Unaudited)
Budgetary Comparison Schedule:

General Fund ................................................................................................................................................... 101 CFD 2003-1 Public Safety/Fire Protection Special Revenue Fund ................................................................. 102 Notes to the Budgetary Comparison Schedule ..................................................................................................... 103 Defined Benefits Pension Plans – CalPERS:

Schedule of Proportionate Share of the Net Pension Liability ........................................................................ 104 Schedules of Plan Contributions – Pension ..................................................................................................... 106 Defined Benefits Other Postemployment Benefit Plan:

Schedule of Changes in Net OPEB Liability and Related Ratios .................................................................... 108 Schedule of Plan Contributions – OPEB ......................................................................................................... 109 Supplementary Information:

Nonmajor Special Revenue Funds:

Combining Balance Sheet ............................................................................................................................. 115 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances ..................................... 123 Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual:

Debt Service Fund:

Patterson Public Financing Authority Debt Service Fund ...................................................................... 131 Special Revenue Funds:

Landscape Maintenance District Special Revenue Fund ........................................................................ 132 Benefit Assessment Districts Special Revenue Fund .............................................................................. 133 CSA #15 Assessment District Special Revenue Fund ............................................................................ 134 CFD 2001-01 Patterson Gardens Public Safety Special Revenue Fund ................................................. 135 Beautification Committee Special Revenue Fund .................................................................................. 136 State HCD Rehab Program Special Revenue Fund ................................................................................ 137 Federal CDBG Grant Special Revenue Fund .......................................................................................... 138 First Time Home Buyers Special Revenue Fund .................................................................................... 139 Federal HOME Special Revenue Fund ................................................................................................... 140 Neighborhood Stabilization Program Special Revenue Fund ................................................................. 141 Gas Tax Special Revenue Fund .............................................................................................................. 142 Local Transportation Special Revenue Fund .......................................................................................... 143 Local Transportation Non-Motorized Special Revenue Fund ................................................................ 144 Street Project Special Revenue Fund ...................................................................................................... 145 Measure L Special Revenue Fund .......................................................................................................... 146 Developer Housing In-Lieu Fee Special Revenue Fund ......................................................................... 147 Police Asset Forfeiture Special Revenue Fund ....................................................................................... 148 Westside Drainage Study Special Revenue Fund ................................................................................... 149 CFD 2013-1 Special Revenue Fund ........................................................................................................ 150 CFD 2015-2 Public Safety Special Revenue Fund ................................................................................. 151 CFD 2018-2 VOP Maintenance Special Revenue Fund ......................................................................... 152

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Annual Comprehensive Financial Report
For the Year Ended June 30, 2024
Table of Contents (Continued)
Page
FINANCIAL SECTION (Continued)
Supplementary Information (Continued)
Custodial Funds:

Combining Statement of Fiduciary Net Position – Custodial Funds ............................................................... 155 Combining Statement of Changes in Fiduciary Net Position – Custodial Funds ............................................ 156 STATISTICAL SECTION (Unaudited)
Description of Statistical Section Contents .................................................................................................................. 159 Financial Trends:

Net Position by Classification – Last Ten Fiscal Years ......................................................................................... 160 Changes in Net Position – Last Ten Fiscal Years .................................................................................................. 162 Fund Balance, Governmental Funds – Last Ten Fiscal Years ............................................................................... 166 Changes in Fund Balance of Governmental Funds – Last Ten Fiscal Years ......................................................... 168 Revenue Capacity:

Tax Revenues by Source – Last Ten Fiscal Years ................................................................................................. 170 Water Sold by Customer Type – Last Six Fiscal Years ......................................................................................... 172 Water and Wastewater Utility Rates – Last Ten Fiscal Years ............................................................................... 173 City-Wide Assessed Value and Estimated Actual Value of Taxable Property – Last Ten Fiscal Years ............... 174 Taxable Property by Use Code, City-Wide – Last Eight Fiscal Years .................................................................. 176 Direct and Overlapping Property Tax Rates – Last Ten Fiscal Years ................................................................... 178 Principal Property Tax Payers – Last Fiscal Year and Nine Years Ago ................................................................ 179 Principal Sales Tax Producers – Last Fiscal Year and Nine Years Ago ................................................................ 181 Historical Sales Tax Amounts by Benchmark Year – Last Ten Fiscal Years ........................................................ 182 Debt Capacity:

Ratios of Outstanding Debt by Type – Last Ten Fiscal Years ............................................................................... 184 Direct and Overlapping Governmental Activities Debt ......................................................................................... 185 Demographic and Economic Information:

Demographic and Economic Statistics – Last Ten Fiscal Years ............................................................................ 186 Principal Employers – Last Fiscal Year and Seven Years Ago ............................................................................. 187 Operating Information:

Full-Time Equivalent City Government Employees
By Function/Program/Department – Last Seven Fiscal Years ......................................................................... 188

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

City of Patterson
1 Plaza
P.O. Box 667
Patterson, California 95363
Phone (209) 895-8000
i
March 14, 2025
To the Honorable Mayor,
Members of the City Council, and the
Citizens of City of Patterson, California
We are pleased to present the City of Patterson’s (“City”) Annual Comprehensive Financial Report (“ACFR”) for the year ended June 30, 2024. The information in this ACFR is prepared in accordance with Generally Accepted Accounting Principles (“GAAP”) and included an unmodified opinion on the report by the City’s independent certified accountants. Although we rely on the standards and expertise of these external auditors, the responsibility for the accuracy and fairness of this report rests with the City.

An overview of the City’s financial activities for the fiscal year is discussed in the Management’s Discussion and Analysis (“MD&A”) section of the ACFR.

CITY PROFILE
The City was incorporated in 1919 and is located in Stanislaus County, on Highway 33, along the Interstate 5 corridor, and is approximately 280 miles north of Los Angeles, 92 miles south of Sacramento, 89 miles southeast of San Francisco and 45 miles southeast of Livermore. The City has a permanent staffing level of 156 City employees and serves approximately 24,370 residents in a land area of 6.0 square miles.

The City operates utilizing the Council-Manager form of government. The Mayor and four Council members are elected for staggered two-year and four-year terms respectively to govern the City. The City recently went to District elections for Council members. The Mayor seat is still an at-large election. The City Council is responsible for establishing policies, adopting the annual budget, appointing commissions and committees, and hiring the City Manager and City Attorney. The City Manager is responsible for implementing the Council’s policies, overseeing the day-to-day operations of the City, and appointing the directors of the various City’s departments.

City Departments and areas of responsibility are comprised of the following:

General Government (Administration) includes staff and activities associated with the City Council, City Manager, City Clerk, City Attorney, Human Resources, Risk Management, Finance, Public Information Officer, Code Enforcement, and Information Technology.

Public Safety includes Stanislaus Sheriff which includes, Detectives, Communications, Patrol, Investigations and Traffic and Parking Enforcement divisions, as well as Fire with Emergency Services, Prevention Services and Advance Life Support Services (ALS).

Community Development includes Economic Development, Housing, Building and Planning.

Engineering includes Capital Projects, and Engineering Services.

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Public Works includes Wastewater, Garbage, Water, Streets and Park Maintenance, and other facility maintenance.

Parks and Recreation includes Community Services, Senior Center and Programs, Youth Programs, and Crossing Guards.

ECONOMIC CONDITION AND OUTLOOK
The City continues to see strong economic growth over the last several years. The City of Patterson remains focused on new business opportunities and residential growth, including amenities for our residents. Factors that will impact our economic strength are the online sales which, in some instances, do not provide the City with a “point-of-sale” taxable nexus. The City is still fortunate to have a more diverse revenue structure which can continue to benefit from Measure L; the ½ cents transaction and use tax over 25 years, SB1 revenue, new businesses such as the Love’s Travel Center, Valero Gas Station, Grocery Outlet, Popeyes Chicken, Dutch Bros Coffee and other interested businesses.

The City’s water, sewer, and garbage rates were approved in the past 3-4 years and will need to adjust new rates accordingly to provide stable enterprise funding to provide a high level of infrastructure maintenance in these areas.

Our budget provides for a continuation of high levels of service, capital improvement projects provided by grants and Capital Facility fees, and continued funds to further improve the City and maintain public safety staffing, and new programs to enhance community quality of life for our City’s residents.

Several new businesses coming to Patterson include one new industrial Warehouse (1,000,000 sf), a 120,000 sf furniture manufacturing company, Dutch Bros Coffee, Old Water Office Restaurant, just to name a few. A new restaurant was also recently opened in the Historic downtown core and is currently open for business. A new truck maintenance facility was recently added to the Love’s Travel Center located in the business park. The 700,000 sf building in the Keystone Business Park is completed and has welcomed new tenants. Self-Help Enterprise is planning to start build out of the remainder of the Self Help homes in Spring 2025. The Villages of Patterson Project have installed streets and underground facilities and have built numerous homes. To date approximately 750 new homes have been sold.

Patterson Ranch has built approximately 250 affordable homes that fit into the middle-income affordable category.

The City received American Rescue Plan Act (ARPA) Funding in the amount of $5.3 million total in FY 2022 that helped City fund some of the operation and maintenance costs related to COVID-19 prevention, stimulate our economy and public safety related costs. It was also utilized for various community incentives, such as, the Homeless Shelter assistance, IT upgrades, cyber security, aid to non-profit organizations, and aid to local small businesses mostly centered in our historic downtown.

Staff will continue providing services at current staffing levels and will most likely keep staff levels as they are currently but may consider adding key new positions if the budget allows for it.

The city sales tax revenues have experienced a decreased in FY 2024 from the previous years. Some key tax revenues are coming from on-line sales, agricultural products sales, and a diverse business portfolio.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) iii

INTERNAL CONTROLS
The management of the City is responsible for establishing and maintaining internal controls designated to ensure that the assets of the City are protected from loss, theft or misuse, and that adequate accounting data is compiled to allow for the preparation of financial statements in conformity with GAAP.

Internal controls are designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that: the cost of a control should not exceed the benefits likely to be derived; and the evaluation of costs and benefits requires estimates and judgments by management. All internal control evaluations occur within the stated framework. City management believes the City’s internal accounting controls adequately safeguard assets and provide reasonable assurance of proper recording of financial transactions.

BUDGETARY CONTROL
As part of the City’s internal controls, it maintains budgetary controls. The objective of these budgetary controls is to ensure compliance with legal provisions embodied in the appropriated budget approved by the City Council. Annually, departments work with the City Manager and Finance Department to submit operating budget requests for the year. The City Manager then makes recommendations to the City Council regarding the budget. After public discussion and evaluations of their recommendations, the City Council adopts the budget for the fiscal year with or without modifications.

Expenditures are controlled at the fund level for all budgeted departments within the City. At this level, expenditures may not legally exceed appropriations. The City Manager or his designee is authorized to transfer funds between departments within the same fund, and limit expenditures in response to lower than expected revenues whenever necessary. The budgets are adopted on a basis substantially consistent with GAAP. Any amendment to the total level of appropriations for a fund or transfers between funds must be approved by the City Council.

MAJOR INITIATIVES AND PROJECTS
As part of the budget preparation process, the City Council articulates goals and objectives for the next year and evaluates the progress made on the goals established as part of the previous budget. The following represent some of the most significant goals established for Fiscal Years 2023-2024 budget process:
 Approved City’s Strategic Plan December 2024.
 Increase in project revenues through grants, Measure L, and SB1 for street maintenance, and infrastructure projects.
 Leverage technology to improve efficiency and service delivery.  Continued application processes for grant opportunities to fund our Public Safety Center, the Sperry/I-5 Interchange expansion project, and the Centennial Park Community Center.  Continue review and analysis of development and redevelopment activities including production of our Downtown revitalization Committee and Master plan and final design of our Wayfinding strategies.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) iv
Some of the specific projects underway in Fiscal Year 2023-2024 included the following:
 I-5 Interchange PS&E design and construction
 Rogers Road Bridge Replacement
 Patterson Public Safety Center
 Wastewater Treatment Phase-3A Expansion
 Salado Creek Bike Trail Project
 Ward Avenue Overlay
 New Potable Well #14
New Commercial/Industrial Development includes:
 Delta Market Place Commercial Park
 New McDonald’s Restaurant
 Old Water Office Restaurant
 Popeye’s Restaurant
 Safavieh Warehouse
 Oak Harbor Freight Warehouse
 Locktec Warehouse
 Patterson Veterinary Office
New Residential Development included:
 Villages of Patterson will provide approximately 600 to 800 new homes over the next 5 years  Baldwin Ranch is well underway and plans to provide 420 homes over the next 5 years.  The Zacharias Annexation was approved in April 2024 and will provide another 320 acres of industrial/Business Park Land and approximately another 5000 homes for the future growth of Patterson.

Acknowledgements
This ACFR was prepared by the City’s Finance Department staff. This report is representative of the staff’s ongoing effort and commitment to provide excellent service to Patterson residents. Our Thank you is also extended to the independent auditor of The PUN Group, LLP for their review of this report and to the City Council for their stewardship and commitment to assist in ensuring the long-term fiscal health of the City.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

CITY OF PATTERSON
Annual Comprehensive Financial Report

FISCAL YEAR
2023 – 2024
City Council
MAYOR
Michael Clauzel

COUNCIL MEMBERS
Shivaugn Alves, District A
Jessica Romero, District B
Dominic Farinha, District C
Carlos Roque, District D
Executive Staff
Kenneth Irwin, City Manager
Aracely Alegre, City Clerk
Joshua Clayton, Chief of Police
Jeffrey Frye, Chief of Fire
Marie R, Guillory-Jones , Director of Human Resource
Michael Willett, Director of Public Works
Fernando Ulloa, Director of Engineering, Building & Capital Projects Jennifer Riedeman, Director of Finance
Ashley Weaver, Recreation & Community Services Director Bryan Stice, Community Development Director
Nubia Goldstein, City Attorney
Douglas L. White, Deputy City Attorney
v

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Citizens
City Council
City Manager City Attorney
Fire
Boards and
Commissions
Administration Public Works & Parks EnŐŝŶĞĞƌŝŶŐ ^ĞƌǀŝĐĞƐ Community Development Recreation Police
Human
Resources
Finance
Information
Systems
Organizational Chart
City Clerk
vi

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Patterson
California
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2023
Executive Director/CEO
vii

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2121 North California Blvd., Suite 290
Walnut Creek, California 94596
INDEPENDENT AUDITORS’ REPORT
To the Honorable Mayor and Members
of the City Council of the City of Patterson
Patterson, California
Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Patterson, California (the “City”), as of and for the year ended June 30, 2024, and the related notes to the basic financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents.

In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City, as of June 30, 2024, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.

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

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

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

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) To the Honorable Mayor and Members
of the City Council of the City of Patterson
Patterson, California

2 Auditors’ Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinions.

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

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

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

Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the Management’s Discussion, Analysis, the Budgetary Comparison Schedules – General Fund and Major Special Revenue Funds, the Schedule of Proportionate Share of the Net Pension Liability, the Schedules of Plan Contributions – Pension, and the Schedule of Changes in Net OPEB Liability and Related Ratios, and the Schedule of Plan Contributions – OPEB, as listed in the accompanying table of contents, 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.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) To the Honorable Mayor and Members
of the City Council of the City of Patterson
Patterson, California

3 Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The Combining and Individual Fund Financial Statements and Budgetary Comparison Schedules are presented for purposes of additional analysis and are not a required part of the basic financial statements.

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

Other Information
Management is responsible for the other information included in the annual report. The other information comprises the Introductory and Statistical Sections but does not include the basic financial statements and our auditors’ report thereon. Our opinions on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon.

In connection with our audit of the basic financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the basic financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report.

Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated March 14, 2025, on our consideration of City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of City’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 City’s internal control over financial reporting and compliance.

Walnut Creek, California
March 14, 2025

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited)
For the Year Ended June 30, 2024
5 As management of the City of Patterson, California, (the “City”) we offer readers of the City’s Annual Comprehensive Financial Report (ACFR) this narrative overview and analysis of the financial performance of the City for the year ended June 30, 2024. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal, which can be found in the introductory section of this report, and with the City’s ACFR, which follows this discussion.

Financial Highlights
 Changes in Net Position: At the end of the fiscal year, Governmental Activities increased by $15,691,457 and Business-type Activities decreased by $462,284 resulting in the government’s total net position of $15,529,173 or an 11.04% increase from prior year. The increase in total net position is primarily due to an increase in charges for service, operating grants, tax revenues, investment earnings, and a decrease in expenditures that led to a positive change in Net Position.
 Governmental Activities: As of June 30, 2024, the City’s Governmental Activities reported an ending net position of $105,143,380, an increase of 18% primarily due to an increase in charges for services in the amount of $3,784,298 and $2,424,744 in taxes.
 Business-Type Activities: As of June 30, 2024, the City’s total ending net position of $48,012,963, a decrease of 1% primarily due to a decrease in capital grants and contributions in the amount of $5,181,105. The annual rate increases of 2% for Water and 6% for Sewer that took effect in July of 2023 and January of 2024 have generated a 10% increase in service revenues.
 General Fund: As of June 30, 2024, committed, assigned and unassigned fund balances of the general fund were $23,393,334. $18,208,762 of these funds have been committed and/or assigned for specific purposes in accordance with City policies and budgetary guidelines. The remaining balance of $5,184,572 is unassigned.

Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City’s basic financial statements. The City’s basic financial statements consist of three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the basic financial statements. This report also contains required and other supplementary information in addition to the basic financial statements themselves. Certain accounts in the previous year’s financial statements have been reclassified for comparative purposes to conform with the presentation in the current year’s financial statements.

Government-wide financial statements. The government-wide financial statements are designed to provide readers with a broad overview of the City’s finances, in a manner like a private sector business.

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

The statement of activities presents information showing how the government’s net position changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave).

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
6 Both government-wide financial statements distinguish functions of the City that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the City include general government, public safety, community development, public works, and parks and recreation.

The government-wide financial statements include the City and a component unit, the Patterson Public Financing Authority (PPFA). Financial information for this component unit is reported within the funds of the City.

The government-wide financial statements can be found on pages 18 – 21 of this report.

Fund financial statements. A fund is a group of related accounts used to maintain control over resources that have been segregated or assigned for specific activities or objectives. The City, like states and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All the funds of the City are classified into three categories: governmental funds, proprietary funds, and fiduciary funds.

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

Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s short-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental fund and governmental activities.

The City currently maintains thirty-nine governmental funds. Fund information for the three major governmental funds is presented separately in the governmental fund balance sheet and the governmental funds statement of revenues, expenditures, and changes in fund balances. Data from the other thirty-six governmental funds is combined into a single, aggregated presentation. Individual fund data for each of these other governmental funds is provided in the form of combining statements in supplementary information.

The City adopts an annual appropriated budget for its general fund. A budgetary comparison schedule has been provided for the general fund to demonstrate compliance with this budget in the required supplementary information. Budgetary comparisons for other funds are located in the supplementary information of this report.

The governmental fund financial statements can be found on pages 26 – 32 of this report.

Proprietary funds. The City maintains three proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for its Water, Sewer, and Garbage operations.

Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the Water, Sewer and Garbage operations.

The proprietary fund financial statements can be found on pages 34 – 37 of this report.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
7 Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statements because the resources of those funds are not available to support the City’s own programs. The accounting used for fiduciary funds is similar to proprietary funds. The fiduciary fund financial statement can be found on page 41– 42 of this report.

Notes to the basic financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the basic financial statements can be found on pages 47 – 98 of this report.

Other information. In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning the City’s General Fund budgetary comparison schedule, pension and changes in net pension liabilities and related ratio schedules, pension contribution schedules, and other post-employment funding progress schedule. Required supplementary information can be found on pages 103 – 109 of this report.

The combining statements referred to earlier in connection with other governmental funds and agency funds are presented immediately following the required supplementary information. Combining and individual fund statements and schedules can be found on pages 115 – 130 of this report.

Government-wide Financial Analysis
As noted earlier, net positions may serve, over time, as a useful indicator of a government’s financial position. In the case of the City, assets and deferred outflows of resources exceeded liabilities and deferred inflows of resources by $153,156,343 at June 30, 2024. The table below presents the Net Position of the City:

By far, the largest portion of the City’s net position is its net investment in capital assets (i.e., land, buildings, improvements other than buildings, machinery and equipment, infrastructure, and construction in progress) as it represents $115,371,054 or 75.33% of the total net position. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City’s investments in its capital assets are reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources since the capital assets themselves cannot be used to liquidate these liabilities. 2024 2023 2024 2023 2024 2023
Current and other assets $ 129,386,816 $ 110,675,930 $ 19,882,001 $ 18,898,741 $ 149,268,817 $ 129,574,671 Capital assets 72,638,447 69,922,501 60,439,184 60,319,398 133,077,631 130,241,899 Total assets 202,025,263 180,598,431 80,321,185 79,218,139 282,346,448 259,816,570 Deferred outflows of resources 6,427,990 6,266,891 2,914,011 2,879,905 9,342,001 9,146,796 Long-term liabilities 81,707,182 73,433,842 29,997,064 27,575,758 111,704,246 101,009,600 Other liabilities 16,438,409 18,164,247 2,269,995 2,603,301 18,708,404 20,767,548 Total liabilities 98,145,591 91,598,089 32,267,059 30,179,059 130,412,650 121,777,148 Deferred inflows of resources 5,164,282 6,115,310 2,955,174 3,443,738 8,119,456 9,559,048 Net Position:

Net investment in capital assets 67,129,360 67,981,454 48,241,694 48,865,099 115,371,054 116,846,553 Restricted 28,261,493 14,864,418 3,219,807 3,137,525 31,481,300 18,001,943 Unrestricted 9,752,527 6,606,051 (3,448,538) (3,527,377) 6,303,989 3,078,674 Total net position $ 105,143,380 $ 89,451,923 $ 48,012,963 $ 48,475,247 $ 153,156,343 $ 137,927,170 Net Position
Governmental Activities Business-type Activities Total

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
8 A portion of the City’s net position totaling $31,481,300 or 20.56% represents resources that are subject to external restrictions on how they may be used. The remaining balance of $6,303,989 is unrestricted and may be used to meet the government’s ongoing obligation to citizens and creditors. However, these unrestricted funds are subject to designation for specific City programs. The negative $3.4 Million in Unrestricted Net Position for the Business-type Activities is primarily the result of the use of cash for capital and related expenses.

At the end of the current fiscal year, the City is able to report positive balances in all categories of net position for governmental activities. The table below presents the changes in Net Position of the City:
2024 2023 2024 2023 2024 2023
Revenues:

Program revenues:

Charges for services 10,934,845 $ 7,150,547 $ 18,570,675 $ 16,829,284 $ 29,505,520 $ 23,979,831 $ Operating grants and contributions 5,561,697 3,200,329 - - 5,561,697 3,200,329 Capital grants and contributions 4,449,223 9,699,274 975,414 6,156,519 5,424,637 15,855,793 Total program revenues 20,050,150 20,945,765 19,546,089 22,985,803 40,491,854 43,035,953 General revenues:

Taxes 23,204,502 20,779,758 - - 23,204,502 20,779,758
Investment earnings 4,647,090 4,004,069 797,750 462,486 5,444,840 4,466,555 Other and transfers 5,951,681 4,292,921 (2,527,856) (1,417,295) 3,423,825 2,875,626 Total general revenues 29,076,748 33,803,273 (1,730,106) (954,809) 32,073,167 28,121,939 Total revenues 49,126,898 54,749,038 17,815,983 22,030,994 72,565,021 71,157,892 Expenses:

General government 7,749,472 10,196,494 - 7,749,472 - 10,196,494 Police 7,117,215 6,739,695 - 7,117,215 - 6,739,695
Fire 7,115,407 6,294,195 - 7,115,407 - 6,294,195
Community development and planning 2,314,006 2,329,664 - 2,314,006 - 2,329,664 Public works 6,537,838 8,127,788 - 6,537,838 - 8,127,788 Parks and recreation 4,312,372 3,959,583 - 4,312,372 - 3,959,583 Interest and fiscal charges 3,611,271 3,962,077 - 3,611,271 - 3,962,077 Water - - 6,643,380 7,594,552 6,643,380 7,594,552
Sewer - - 7,518,474 7,506,130 7,518,474 7,506,130
Garbage - - 4,116,413 3,422,477 4,116,413 3,422,477
Total expenses 38,757,581 41,609,496 18,278,267 18,523,159 57,035,848 60,132,655 Changes in net position $ 15,991,457 $ 7,517,402 $ (462,284) $ 3,507,835 $ 15,529,173 $ 11,025,237 Net Position:

Beginning of year 89,151,923 81,634,521 48,475,247 44,967,412 137,627,170 126,601,933 End of year $ 105,143,380 $ 89,151,923 $ 48,012,963 $ 48,475,247 $ 153,156,343 $ 137,627,170 Changes in Net Position
Governmental Activities Business-type Activities Total
Additional information on the change in net position can be found on page 20 – 21 of this report.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
9 Governmental Activities. Overall, governmental revenues increased by $5.6 million, an 11% increase from the prior year. Key elements of the change are as follows:
 Total taxes increased by $2.4 million, a 12% increase in taxes, from prior fiscal year. The City has received $761,145 in Property Tax and $1,706,618 in Sales Tax more than the prior fiscal year. These increases resulted from residential and commercial developments, increase in property values, and a correction made by the State of California for prior fiscal years Sales Tax paid in FY 2024.  Charges for services increased incrementally by $3.7 million as a result of increasing participation in activities where fees are charged.
 Operating grants and contributions increased by $2.3 million largely from one-time funding received during the year.
 Capital grants and contributions decreased by $5.2 million because of a reduction in capital contributions related to donated infrastructure.
 Other and transfer revenues increased by $1.6 million largely related to capital projects fund transfers from Enterprise Funds.

Overall, expenses in the governmental activities decreased by $2,851,915, a 7% decrease compared to the prior year.

Additional information on activities and changes in net position can be found on pages 30 – 31 of this report.

Business-type Activities. Overall, Business-type Revenues decreased by $4,215,011, a 19% decrease from the prior year. Key elements of the change are as follows:
 Water operating revenue increased by $680,487, and expenses increased by $354,623 in fiscal year 2024, resulting in operating income of $1.5 million. The increase in revenue primarily generated from the increase in newly adopted water rates in January 2024.
 Sewer operating revenue increased by $748,197 and expenses increased by $12,344 in fiscal year 2024, resulting in an operating deficit of $960,971. The increase in operating revenue primarily generated from the increase in newly adopted sewer rate in July 2023.
 Garbage operating revenue increased by $323,369 in fiscal year 2024. This increase in revenue resulted from an increase in garbage rates of 4.9% and increase in the number of customers. Garbage operating expenses increased by $693,936 primarily resulted from increasing operating costs related new customers and increasing public outreach in compliance with Senate Bill 1383, which requires every jurisdiction to provide organic waste collection services to all residents and businesses.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
10 Financial Analysis of the Government’s Funds
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements.

Governmental funds. The focus of the City’s governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City’s financing requirements. Spendable fund balance may serve as a useful measure of a government’s net resources at the end of the fiscal year.

As of the end of the current fiscal year, the City’s governmental funds reported combined ending fund balances of $115,731,725, an increase of $19,356,313 from prior year. The City’s governmental funds ending fund balances of $33,361,273 or 28.83% constitute committed, assigned and unassigned fund balance, which is available for spending at the government’s discretion within the guidelines of the funding sources. The remainder of $82,370,452 is either non-spendable or restricted for purposes imposed by creditors, grantors, contributors, laws, or regulations of other governments or through enabling legislation.

CFD 2003-1 Public Safety/Fire Protection Services Special Revenue Fund The CFD 2003-1 Public Safety/Fire Protection Services Special Revenue Fund had revenues of $1,607,502, expenditures of $2,993,524, and other financing sources of $1,245,000. The ending fund balance decreased from $4,118,174 million at June 30, 2023 to $4,295,196 million at June 30, 2024.

Patterson Public Financing Authority Debt Service Fund
The Patterson Public Financing Authority Debt Service Fund had revenues of $5,271,117, expenditures of $62,952,774, and other financing sources of $60,987,848. The ending fund balance increased from $58,371,376 million at June 30, 2023 to $61,677,567 million at June 30, 2024.

Proprietary funds. The City’s proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail.

At the end of the year, the Enterprise Funds reported a deficit of $2,325,327 of Unrestricted net position, a decrease of $1,202,050 from the prior year. This change is primarily the result of decreasing investment in capital assets. Other factors concerning the finance of these funds have already been addressed in the discussion of the City’s Business-type Activities.

General Fund Financial Highlights
The General Fund is the chief operating fund of the City. At the end of the current fiscal year, General Fund reported a total fund balance of $24,266,693, an increase of $6.1 million compared to the prior year. $23,393,334 of the total were committed, assigned and unassigned. As a measure of the General Fund’s liquidity, it may be useful to compare only the committed, assigned, and unassigned fund balance to total fund expenditures. Committed, assigned and unassigned fund balance represents 77% of the total General Fund expenditures for the year, most of which is committed or assigned to meet future long-term obligations. The key factors in the increase of General Fund’s fund balance as follows:
 Overall, General Fund revenues (including transfers in) increased from last year by $5.2 million or a 19% increase. Tax related revenues contributed an increase of $2,467,763 resulted from increasing real estate value, new residential and commercial developments in FY 2024, and Sales Tax revenue true-up payment from the State of California. In addition, Intergovernmental revenues also increased by $195,046. Licenses, permits, and fees also increased by $599,743 in fiscal year 2024.

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
11  Overall, General Fund expenditures (including transfers out) increased by $2.9 million or a 11% increase over the prior year. General government and capital outlay expenditures showed an increase of $2.4 million which was a combined 83% of the increase in fiscal year 2024.

General Fund Budgetary Highlights
For the fiscal year ended June 30, 2024, the General Fund’s revenue final amended budget increased over the original budget by $2.6 million and the actual revenues were $149,342 lower than the final amended budget of $29,912,125.

The final amended expenditure budget increased by $865 thousand over the original budget and the actual expenditures were $5.2 million lower than the final amended budget. The related factors are summarized as follows:
 The actual revenues were lower than the final budget mainly due to less actual licenses, permits, and fees received.
 The expenditure final budget was higher than the original budget by $865 thousand due to Council approved budget increases primarily for capital outlay and public safety.  General fund actual expenditure is lower than the final budget by $5.2 million primarily due to unspent ARPA funds at the end of FY 2024 in the amount of $2.6 million. In addition, capital outlay expenditures in the amount of $3.6 million were not completed during the fiscal year.

Capital Asset and Long-Term Liabilities Administration
Capital assets. The City’s total capital assets for its governmental and Business-type Activities as of June 30, 2024 amounts to $133,077,631, an increase of $2.8 million or 2% of total capital assets over the prior year. This investment in capital assets includes land, buildings, improvements, machinery and equipment, park facilities, and streets.

Additional information on the City’s capital assets can be found in Note 7 to the basic financial statements. 2024 2023 2024 2023 2024 2023 2
Land $ 5,459,235 $ 5,459,235 $ 7,455,922 $ 7,455,922 $ 12,915,157 $ 12,915,157 Construction in progress 6,315,503 9,739,792 8,673,915 12,211,807 14,989,418 21,951,599 Depreciable/amortizable capital assets, net 60,863,709 54,723,474 44,309,347 40,651,669 105,173,056 95,375,143 Total assets 72,638,447 69,922,501 60,439,184 60,319,398 133,077,631 130,241,899 Capital Assets (Net of depreciation and amortization)
Governmental Activities Business-type Activities Total

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Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
12 Long-Term Liabilities. At the end of the current fiscal year, the City’s total long-term debt and compensated absences outstanding increased by $7,553,943 an increase mainly attributable to the issuance of the PPFA 2023 series bonds to refund the PPFA 2013 Series A&B bonds, and the assumption of leases to acquire fire apparatuses.

Additional information on the City’s long-term debt and compensated absences can be found in Note 8 and Note 9, respectively to the basic financial statements.
2024 2023
Governmental Activities:

PPFA 2013 Heartland Ranch Revenue Bonds 914,788 $ $ 1,385,747 PPFA 2013 Series A Revenue Bonds 53,265,000 -
Less: Bond Discount (568,849) -
PPFA 2013 Series B Revenue Bonds 5,235,000 -
PPFA 2023 Series A Sp. Tax Revenue Bonds 54,360,000 -
Add: Bond Premium 6,397,253 -
2019 Lease Revenue Bonds 1,604,451 1,753,961
Finance purchase agreements 3,517,975 -
Lease liability 365,973 420,639
Subscription liability 4,519 57,903
Keystone Corporation Settlement 364,000 364,000
Settlement payable 1,333,355 1,333,355
Compensated Absences 711,362 667,297
Total governmental activities $ 69,573,676 $ 63,914,053 Business-type Activities:

Water Fund:
2021 State Revolving Fund Loan $ 1,975,932 $ 41,000
2019A Water Revenue Bonds 8,895,000 8,965,000
Add: Bond Premium 497,934 517,461
2019B Water Revenue Refunding Bonds 5,660,000 5,930,000 Add: Bond Premium 734,254 762,768
Compensated Absences 158,735 137,690
Total water fund 17,921,855 16,353,919
Sewer Fund:
2009 Sewer Revenue Bonds - 90,000
2017 Sewer Refunding Revenue Bonds 2,478,400 2,511,000
2008 State Revolving Fund loan 311,135 358,490
2021 State Revolving Fund loan 1,397,532 621,907
Banc of America loan 1,128,267 1,221,057
CEC loan 942,116 1,145,765
Patterson Ranch Development Settlement 1,123,211 1,123,211 Compensated Absences 190,396 177,944
Total sewer fund 7,571,057 7,249,374
Garbage Fund:

Compensated Absences 51,659 46,958
Total garbage fund 51,659 46,958
Total business-type activities $ 23,650,251 25,544,571 $

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Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
13 Economic Condition, Outlook, and Activity
The City has continued to see strong economic growth over the last several years. As the economy resumes after the COVID-19 Pandemic, the City remains focused on several new businesses interested in the City’s business parks over the last year. Factors that will impact our economic strength are the online sales which, in some instances, do not provide the city with a “point-of-sale” taxable nexus. Patterson benefits from a more diverse revenue structure including Measure L, the ½ cents transaction and use tax over 25 years, SB1 revenue and new businesses such as the Love’s Travel Center, Valero Gas Station, Grocery Outlet, and other interested business.

The City’s new water, sewer, and garbage rates approved in the last few years will provide stable enterprise funding for infrastructure maintenance in these areas.

Our budget provides for a continuation of high levels of services, capital improvement projects, and continued funds to further improve the City and maintain public safety staffing, and develop new programs to enhance community quality of life for our residents.

Next Year’s Budget
The following factors were taken into consideration during the preparation of the City’s budget for the fiscal year 2024- 2025:
 The increase in unemployment rate in our local economy. Although the fourth year of the pandemic has shown signs of recovery in our local economy, the unemployment rate in Stanislaus County was at 6.8%, according to California EDD’s new release, as of December 2024, a .1% higher than a year ago.  The continued rising costs of consumer goods across the nation. According to the US Bureau of Labor Statistics, the annual inflation rate, as measured by the Consumer Price Index (CPI), increased by 3.0 percent for the last 12 months ending December 2024 across all sectors, before seasonal adjustment. The all items less food and energy index rose 3.3 percent over the last 12 months. The food and energy increased by 2.5 percent and 3.3 percent for the 12 months, respectively.
 The expected increase in commercial and residential developments, which will contribute to increases in major revenue sources such as building permits, property tax and sales tax.  The availability of both Federal and State grants and State Revolving Fund Loan (SRF).  The remaining American Rescue Plan Act (ARPA) spending plan which will help the City to respond, rebuild and recover from the pandemic and focus on economic recovery, stabilizing the government, and uplifting our communities.
 The increase of California’s minimum wage to $16 per hour for all employers starting on January 1, 2024.  The accumulation of Measure L revenue received provides the funding source for street projects that are being carefully planned to begin upon the completion of various underground capital pipeline projects.  During the water rate study, the City has incorporated the 5-year long range Capital Improvement Plan. The City will begin replacing the water mains and service lines on the southside of the old town (WM-6B) and the water mains and service lines in the downtown commercial area (WM-6A) to enhance and improve the quality of our community’s sewer infrastructure and continue with Water Meter replacement project (WM-19B) of changing out 6,500 meters and 1,000 meter boxes which is nearly complete.

7.2.a
Packet Pg. 97
Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Management’s Discussion and Analysis (Unaudited) (Continued) For the Year Ended June 30, 2024
14 Requests for Information
This financial report is designed to provide a general overview of the City’s finances for all those with an interest in the government’s finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Finance Director of the City of Patterson, 1 Plaza, Patterson, CA 95363.

7.2.a
Packet Pg. 98
Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

BASIC FINANCIAL STATEMENTS
15 7.2.a
Packet Pg. 99
Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) This page intentionally left blank.
16 7.2.a
Packet Pg. 100 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

GOVERNMENT-WIDE FINANCIAL STATEMENTS
17 7.2.a
Packet Pg. 101 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Governmental Business-Type
Activities Activities Total
ASSETS
Current assets:

Cash and investments 53,250,193 $ 5,796,647 $ 59,046,840 $ Restricted cash and investments 3,620,607 408,615 4,029,222 Accounts receivable 376,479 2,272,511 2,648,990
Intergovernmental receivable 3,957,962 28,028 3,985,990 Interest receivable 449,358 60,471 509,829
Lease receivable - current 18,756 16,091 34,847
Internal balances - - -
Due from Fiduciary Funds 4,552,336 - 4,552,336
Prepaid items 501,210 16,770 517,980
Total current assets 8,599,133 66,726,901 75,326,034
Noncurrent assets:

Cash and investments with fiscal agents 5,023,043 11,279,966 16,303,009 Investments held in trust 55,869,678 - 55,869,678
Lease receivable - noncurrent 154,559 2,902 157,461
Notes and loans receivable 1,612,635 - 1,612,635
Capital assets:

Non-depreciable 11,774,738 16,129,837 27,904,575
Depreciable and amortizable, net 60,863,709 44,309,347 105,173,056 Capital assets, net 72,638,447 60,439,184 133,077,631
Total noncurrent assets 71,722,052 135,298,362 207,020,414 Total assets 80,321,185 202,025,263 282,346,448

DEFERRED OUTFLOWS OF RESOURCES
Deferred loss on refunding - 287,983 287,983
OPEB-related deferred outflows of resources 1,403,127 650,271 2,053,398 Pension-related deferred outflows of resources 5,024,863 1,975,757 7,000,620 Total deferred outflows of resources 6,427,990 2,914,011 9,342,001 Primary Government
City of Patterson
Statement of Net Position
June 30, 2024
See accompanying Notes to the Basic Financial Statements. 18 7.2.a
Packet Pg. 102 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Governmental Business-Type
Activities Activities Total

LIABILITIES
Current liabilities:

Accounts payable 1,548,768 649,100 2,197,868
Accrued liabilities 398,149 7,382 405,531
Accrued interest payable 1,092,327 72,777 1,165,104
Unearned revenue 4,554,340 114,432 4,668,772
Deposits payable 5,313,481 112,071 5,425,552
Compensated absences - due within one year 711,362 400,790 1,112,152 Long-term debt - due within one year 2,819,982 913,443 3,733,425 Total current liabilities 2,269,995 16,438,409 18,708,404 Noncurrent liabilities:

Long-term debt - due in more than one year 66,042,332 24,230,338 90,272,670 Net OPEB liability 5,994,307 2,023,173 8,017,480
Aggregate net pension liability 9,670,543 3,743,553 13,414,096 Total noncurrent liabilities 29,997,064 81,707,182 111,704,246 Total liabilities 32,267,059 98,145,591 130,412,650

DEFERRED INFLOWS OF RESOURCES
Lease-related deferred inflows of resources 173,314 18,993 192,307 OPEB-related deferred inflows of resources 4,976,963 2,936,181 7,913,144 Pension-related deferred inflows of resources 14,005 - 14,005 Total deferred inflows of resources 2,955,174 5,164,282 8,119,456

NET POSITION
Net investment in capital assets 67,129,360 48,241,694 115,371,054 Restricted for:

Special programs 28,261,493 28,261,493 -
Capital projects 2,620,013 - 2,620,013
Debt service - 599,794 599,794
Total restricted 28,261,493 3,219,807 31,481,300
Unrestricted (deficit) 9,752,527 (3,448,538) 6,303,989
Total net position $ 48,012,963 105,143,380 $ 153,156,343 $ Primary Government
City of Patterson
Statement of Net Position (Continued)
June 30, 2024
See accompanying Notes to the Basic Financial Statements. 19 7.2.a
Packet Pg. 103 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Operating Capital
Charges for Grants and Grants and
Functions/Programs Expenses Services Contributions Contributions Governmental activities:

General government $ 7,749,472 $ 369,569 $ 837,465 $ -
Police 7,117,215 163,852 186,159 -
Fire 7,115,407 2,944,815 614,717 -
Community development and planning 2,314,006 2,815,452 1,947,353 - Public works 6,537,838 3,189,913 1,847,919 3,905,516
Parks and recreation 4,312,372 1,451,244 128,084 543,707 Interest and fiscal charges 3,611,271 - - -
Total governmental activities 38,757,581 10,934,845 5,561,697 4,449,223 Business-type Activities:

Water 6,643,380 7,671,454 - 305,916
Sewer 7,518,474 6,335,105 - 572,351
Garbage 4,116,413 4,564,116 - 97,147
Total business-type activities 18,278,267 18,570,675 - 975,414 Total primary government $ 29,505,520 57,035,848 $ 5,561,697 $ 5,424,637 $ Program Revenues
City of Patterson
Statement of Activities
For the Year Ended June 30, 2024
See accompanying Notes to the Basic Financial Statements. 20 7.2.a
Packet Pg. 104 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Governmental Business-Type
Functions/Programs Activities Activities Total
Governmental Activities:

General government (6,542,438) $ - $ (6,542,438) $
Police - (6,767,204) (6,767,204)
Fire - (3,555,875) (3,555,875)
Community development and planning 2,448,799 - 2,448,799 Public works 2,405,510 - 2,405,510
Parks and recreation (2,189,337) - (2,189,337)
Interest and fiscal charges (3,611,271) - (3,611,271)
Total governmental activities - (17,811,816) (17,811,816) Business-type Activities:

Water 1,333,990 - 1,333,990
Sewer (611,018) - (611,018)
Garbage 544,850 - 544,850
Total business-type activities 1,267,822 - 1,267,822
Total primary government 1,267,822 (17,811,816) (16,543,994) General revenues and transfers:

General revenues:

Taxes:

Property taxes 8,141,486 - 8,141,486
Sales taxes 14,549,483 - 14,549,483
Franchise taxes 241,771 - 241,771
Other taxes 271,762 - 271,762
Total taxes 23,204,502 - 23,204,502
Investment earnings 4,647,090 797,750 5,444,840
Revenue from Fiduciary Fund 2,409,468 135,683 2,545,151 Miscellaneous 818,875 59,799 878,674
Transfers (2,723,338) 2,723,338 -
Total general revenues and transfers (1,730,106) 33,803,273 32,073,167 Changes in net position (462,284) 15,991,457 15,529,173 Net Position:

Beginning of year 48,475,247 89,151,923 137,627,170
End of year $ 48,012,963 105,143,380 $ 153,156,343 $
Changes in Net Position
Net (Expense) Revenue and
City of Patterson
Statement of Activities (Continued)
For the Year Ended June 30, 2024
See accompanying Notes to the Basic Financial Statements. 21 7.2.a
Packet Pg. 105 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) This page intentionally left blank.
22 7.2.a
Packet Pg. 106 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

FUND FINANCIAL STATEMENTS
23 7.2.a
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24 7.2.a
Packet Pg. 108 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

GOVERNMENTAL FUND FINANCIAL STATEMENTS
25 7.2.a
Packet Pg. 109 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CFD 2003-1 Patterson
Public Safety/ Public
General Fire Protection Financing
Fund Services Fund Authority
ASSETS
Cash and investments 17,574,179 $ - $ 928,197 $
Restricted cash and investments 3,620,607 - -
Cash and investments with fiscal agents - - 5,023,043
Investments held in trust - - 55,869,678
Receivables:

Accounts - 376,479 -
Intergovernmental 3,291,994 51,698 -
Interest - 106,075 4,581
Notes and loans 16,632 - -
Lease - 170,660 -
Due from other funds 4,864,853 - -
Due from Fiduciary Funds 4,552,336 - -
Prepaid items 4,623 249,161 247,426
Total assets $ 56,321 34,822,976 $ 62,072,925 $

LIABILITIES, DEFERRED INFLOWS

OF RESOURCES, AND FUND BALANCES
LIABILITIES:

Accounts payable 1,309,274 $ 9,795 $ 10,301 $
Accrued liabilities 378,650 19,499 -
Due to other funds 4,286,223 - 385,057
Unearned revenue 3,418,654 - -
Deposit and other liabilities 5,239,631 - -
Total liabilities 4,315,517 10,346,209 395,358
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources 170,660 - - Unavailable revenue 39,414 - -
Total deferred inflows of resources 210,074 - -
FUND BALANCES:

Nonspendable 249,161 4,623 247,426
Restricted 624,198 61,430,141 -
Committed 10,759,106 - -
Assigned 7,449,656 - -
Unassigned (deficit) 5,184,572 (4,263,819) -
Total fund balances (deficit) 24,266,693 (4,259,196) 61,677,567 Total liabilities, deferred inflows
of resource, and fund balances $ 34,822,976 $ 56,321 $ 62,072,925 Major Funds
June 30, 2024
City of Patterson
Balance Sheet
Governmental Funds
See accompanying Notes to the Basic Financial Statements. 26 7.2.a
Packet Pg. 110 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Other Total
Governmental Governmental
Funds Funds
ASSETS
Cash and investments $ 34,747,817 $ 53,250,193
Restricted cash and investments 3,620,607 -
Cash and investments with fiscal agents 5,023,043 -
Investments held in trust 55,869,678 -
Receivables:

Accounts - 376,479
Intergovernmental 614,270 3,957,962
Interest 338,702 449,358
Notes and loans 1,596,003 1,612,635
Lease 2,655 173,315
Due from other funds 4,864,853 -
Due from Fiduciary Funds 4,552,336 -
Prepaid items - 501,210
Total assets $ 37,299,447 $ 134,251,669

LIABILITIES, DEFERRED INFLOWS

OF RESOURCES, AND FUND BALANCES
LIABILITIES:

Accounts payable $ 219,398 $ 1,548,768
Accrued liabilities - 398,149
Due to other funds 193,573 4,864,853
Unearned revenue 1,135,686 4,554,340
Deposit and other liabilities 73,850 5,313,481
Total liabilities 1,622,507 16,679,591
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources 2,654 173,314 Unavailable revenue 1,627,625 1,667,039
Total deferred inflows of resources 1,630,279 1,840,353 FUND BALANCES:

Nonspendable - 501,210
Restricted 19,814,903 81,869,242
Committed 14,550,061 25,309,167
Assigned 7,449,656 -
Unassigned (deficit) (318,303) 602,450
Total fund balances (deficit) 34,046,661 115,731,725
Total liabilities, deferred inflows
of resource, and fund balances $ 37,299,447 $ 134,251,669 City of Patterson
Balance Sheet (Continued)
Governmental Funds
June 30, 2024
See accompanying Notes to the Basic Financial Statements. 27 7.2.a
Packet Pg. 111 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) This page intentionally left blank.
28 7.2.a
Packet Pg. 112 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Total fund balances of governmental funds $ 115,731,725 Amounts reported for governmental activities in the Statement of Net Position are different because:

Capital assets used in governmental activities are not current financial resources and therefore are not reported in governmental funds. 72,638,447
Pension-related deferred outflows/inflows of resources in the governmental activities were not financial resources (uses) and therefore were not reported in the Governmental Funds Balance Sheet.

Pension-related deferred outflows of resources 5,024,863 Pension-related deferred inflows of resources (14,005)
OPEB-related deferred outflows/inflows of resources in the governmental activities were not financial resources (uses) and therefore were not reported in the Governmental Funds Balance Sheet.

OPEB-related deferred outflows of resources 1,403,127
OPEB-related deferred inflows of resources (4,976,963)
Interest payable on long-term debt does not require current financial resources. Therefore, interest payable is not reported as a liability in the Governmental Funds Balance Sheet. (1,092,327) Unavailable revenues reported on the Governmental Fund Financial Statements resulting from activities in which revenues were earned but were not available are reclassified as revenues in the Government-Wide Financial Statements. 1,667,039 Long-term liabilities are not due and payable in the current period and therefore are not reported in the Governmental Funds Balance Sheet.

Long-term debt (68,862,314)
Compensated absences (711,362)
Net OPEB liability (5,994,307)
Aggregated net pension liability (9,670,543)
Net position of governmental activities $ 105,143,380
City of Patterson
Reconciliation of the Governmental Funds
Balance Sheet to the Government-Wide Statement of Net Position June 30, 2024
See accompanying Notes to the Basic Financial Statements. 29 7.2.a
Packet Pg. 113 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CFD 2003-1 Patterson
Public Safety/ Public
General Fire Protection Financing
Fund Services Fund Authority
REVENUES:

Taxes:

Property $ - 8,141,486 $ - $
Sales - 14,549,483 -
Franchise - 241,771 -
Motor vehicle in lieu - - -
Other - 271,762 -
Licenses, permits, and fees 1,838,710 - -
Charges for services 1,229,790 1,582,090 -
Intergovernmental:

Federal grant and subsidies 746,742 - -
Other governmental 914,096 - -
Fines, forfeitures and penalties 236,381 - -
Investment income (loss) 775,210 - 3,168,392
Revenue from Fiduciary Fund 230,000 - 2,102,725
Miscellaneous 25,412 587,352 -
Total revenues 1,607,502 29,762,783 5,271,117
EXPENDITURES:

Current:

General government 5,652,942 4,766 753,047
Police - 7,054,677 -
Fire 2,916,060 3,692,370 -
Community development and planning 2,259,863 - -
Public works 4,146,556 - -
Park and recreation 3,488,259 - -
Capital outlay 3,656,635 72,698 -
Debt service:

Principal - 335,531 58,980,959
Interest and fiscal charges 65,888 - 3,218,768
Total expenditures 2,993,524 30,352,721 62,952,774

REVENUES OVER (UNDER)
EXPENDITURES (1,386,022) (589,938) (57,681,657)
OTHER FINANCING SOURCES (USES):

Proceeds from bond issuance - - 54,370,000
Bond premium received - - 6,617,848
Inception of lease liability 77,971 - -
Inception of finance purchase agreement 2,857,975 660,000 - Transfers in 3,837,525 585,000 -
Transfers out - (80,003) -
Total financing sources (uses) 1,245,000 6,693,468 60,987,848 Net change in fund balances (141,022) 6,103,530 3,306,191 FUND BALANCES (DEFICIT):

Beginning of year (4,118,174) 18,163,163 58,371,376
End of year $ (4,259,196) 24,266,693 $ 61,677,567 $
Major Funds
For the Year Ended June 30, 2024
Governmental Funds
Statement of Revenues, Expenditures, and Changes in Fund Balances City of Patterson
See accompanying Notes to the Basic Financial Statements. 30 7.2.a
Packet Pg. 114 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Other Total
Governmental Governmental
Funds Funds
REVENUES:

Taxes:

Property $ 8,141,486 - $
Sales 14,549,483 -
Franchise - 241,771
Motor vehicle in lieu - -
Other - 271,762
Licenses, permits, and fees 6,015,231 7,853,941
Charges for services 4,084,194 6,896,074
Intergovernmental:

Federal grant and subsidies 278,599 1,025,341
Other governmental 3,589,365 4,503,461
Fines, forfeitures and penalties - 236,381
Investment income (loss) 965,295 4,908,897
Revenue from Fiduciary Fund 76,743 2,409,468
Miscellaneous 18,739 631,503
Total revenues 51,669,568 15,028,166
EXPENDITURES:

Current:

General government 7,053,219 642,464
Police 7,054,677 -
Fire 6,615,410 6,980
Community development and planning 3,529 2,263,392
Public works 4,355,004 208,448
Park and recreation 3,488,259 -
Capital outlay 6,189,280 2,459,947
Debt service:

Principal 59,316,490 -
Interest and fiscal charges 3,284,656 -
Total expenditures 99,620,387 3,321,368

REVENUES OVER (UNDER)
EXPENDITURES (47,950,819) 11,706,798
OTHER FINANCING SOURCES (USES):

Proceeds from bond issuance 54,370,000 -
Bond premium received 6,617,848 -
Inception of lease liability 77,971 -
Inception of finance purchase agreement 3,517,975 -
Transfers in 5,225,574 803,049
Transfers out (2,422,233) (2,502,236)
Total financing sources (uses) 67,307,132 (1,619,184)
Net change in fund balances 19,356,313 10,087,614
FUND BALANCES (DEFICIT):

Beginning of year 96,375,412 23,959,047
End of year $ 115,731,725 34,046,661 $
City of Patterson
Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Governmental Funds
For the Year Ended June 30, 2024
See accompanying Notes to the Basic Financial Statements. 31 7.2.a
Packet Pg. 115 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Net change in fund balances - total governmental funds $ 19,356,313 Amounts reported for governmental activities in the Statement of Activities are different because:

Governmental funds reported capital outlay as expenditures. However, in the Government-Wide Statement of Activities and Changes in Net Position, the cost of those assets was allocated over their estimated useful lives as depreciation and amortization expense. This was the amount of capital assets recorded in the current period. ($11,575 of the governmental fund capital outlay balance were for repairs and maintenance expenditures). 6,177,705 In the Government-Wide Statement of Activities, donated assets are reported as a capital contribution. 568,563 Depreciation and amortization expense on capital assets was reported in the Government-Wide Statement of Activities and Changes in Net Position, but it did not require the use of current financial resources. Therefore, depreciation and amortization expense was not reported as expenditures in the Governmental Funds. (3,965,177) The net effect of various miscellaneous transactions involving capital assets (i.e. sales, trade-ins, and donations) decreased net position. (65,145)
Issuance of long-term liabilities does not provide current financial resources to governmental funds, but the issuance increased long-term liabilities in the Government-Wide Statement of Net Position.

Bonds payable (54,370,000)
Bond premium (6,617,848)
Lease liability (77,971)
Finance purchase agreement (3,517,975)
Repayment of long-term liabilities was an expenditures in governmental funds, but the repayment reduced long-term liabilities in the Government-Wide Statement of Net Position.

Principal payment of long-term debt 59,316,490
Amortization of bond discount (348,254)
Interest expenses on long-term debt was reported in the Government-Wide Statement of Activities, but it did not require the use of current financial resources. This amount represented the changes in accrued interest from prior year. 21,639 Compensated absences expenses reported in the Government-Wide Statement of Activities do not require the use of current financial resources and, therefore, are not reported as expenditures in the governmental funds. (44,065) Revenues in the Government-Wide Statement of Activities that do not provide current financial resources and are not reported as revenue in the governmental funds. (212,431)
Certain pension expenses reported in the Government-Wide Statement of Activities do not require the use of current financial resources and therefore, are not reported as expenditures in governmental funds.

Changes in pension related deferred outflows of resources 237,124 Changes in net pension liabilities (1,075,554)
Changes in pension related deferred inflows of resources 278,309 Certain OPEB expenses reported in the Government-Wide Statement of Activities do not require the use of current financial resources and therefore, are not reported as expenditures in governmental funds.

Changes in OPEB related deferred outflows of resources (76,025) Changes in net OPEB liabilities (246,958)
Changes in OPEB related deferred inflows of resources 652,717 Change in net position of governmental activities $ 15,991,457 City of Patterson
Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances to the Government-Wide Statement of Activities For the Year Ended June 30, 2024
See accompanying Notes to the Basic Financial Statements. 32 7.2.a
Packet Pg. 116 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

PROPRIETARY FUND FINANCIAL STATEMENTS
33 7.2.a
Packet Pg. 117 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Water Sewer Garbage Total
ASSETS
Current assets:

Cash and investments $ 3,684,181 $ 547,488 $ 1,564,978 $ 5,796,647 Restricted cash and investments - 408,615 - 408,615
Accounts receivable 845,489 917,272 509,750 2,272,511
Intergovernmental receivable 5,813 110 22,105 28,028
Interest receivable 7,146 40,357 12,968 60,471
Lease receivable - current 16,091 - - 16,091
Advances from other funds - current - 146,438 - 146,438 Prepaid items 7,143 7,593 2,034 16,770
Total current assets 4,795,501 1,838,235 2,111,835 8,745,571 Noncurrent assets:

Cash and investments with fiscal agents 11,126,482 153,484 11,279,966 - Lease receivable - noncurrent 2,902 - - 2,902
Advances from other funds - noncurrent - 1,310,434 - 1,310,434 Capital assets:

Non-depreciable 10,346,207 5,783,630 - 16,129,837
Depreciable/amortizable, net 19,835,347 24,171,045 302,955 44,309,347 Capital assets, net 30,181,554 29,954,675 302,955 60,439,184 Total noncurrent assets 42,618,470 30,111,061 302,955 73,032,486 Total assets 47,413,971 31,949,296 2,414,790 81,778,057

DEFERRED OUTFLOWS OF RESOURCES
Deferred loss on refunding 147,764 140,219 - 287,983
OPEB-related deferred outflows of resources 304,123 272,189 73,959 650,271 Pension-related deferred outflows of resources 819,114 822,861 333,782 1,975,757 Total deferred outflows of resources 1,235,269 1,271,001 407,741 2,914,011

LIABILITIES
Current liabilities:

Accounts payable 264,216 203,064 181,820 649,100
Accrued liabilities 4,891 2,337 154 7,382
Deposits payable 112,071 - - 112,071
Unearned revenue 739 - 113,693 114,432
Accrued interest 18,921 53,856 - 72,777
Compensated absences - due within one year 190,396 158,735 51,659 400,790 Advances to other funds - due within one year 146,438 - - 146,438 Long-term liabilities - due within one year 558,443 355,000 - 913,443 Total current liabilities 948,769 1,120,338 347,326 2,416,433 Noncurrent liabilities:

Advances to other funds - due in more than one year 1,310,434 - - 1,310,434 Long-term liabilities - due in more than one year 17,408,120 6,822,218 24,230,338 - Net OPEB liability 871,002 1,010,635 141,536 2,023,173
Aggregate net pension liability 1,559,111 1,552,011 632,431 3,743,553 Total noncurrent liabilities 19,977,866 10,555,665 773,967 31,307,498 Total liabilities 20,926,635 11,676,003 1,121,293 33,723,931

DEFERRED INFLOWS OF RESOURCES
Lease-related deferred inflows of resources 18,993 - - 18,993 OPEB-related deferred inflows of resources 1,419,645 1,200,330 316,206 2,936,181 Total deferred inflows of resources 1,200,330 1,438,638 316,206 2,955,174

NET POSITION
Net investment in capital assets 23,685,135 23,130,393 302,955 47,118,483 Restricted:

Capital projects 2,620,013 - - 2,620,013
Debt service 446,310 153,484 - 599,794
Total restricted 153,484 3,066,323 - 3,219,807
Unrestricted (deficit) (229,183) (3,178,221) 1,082,077 (2,325,327) Total net position $ 20,105,656 26,522,275 $ 1,385,032 $ 48,012,963 $ City of Patterson
Statement of Net Position
Proprietary Funds
June 30, 2024
Major Funds
See accompanying Notes to the Basic Financial Statements. 34 7.2.a
Packet Pg. 118 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Water Sewer Garbage Total
OPERATING REVENUES:

Charges for services $ 7,387,299 $ 6,189,753 $ 4,402,978 $ 17,980,030 Fees, fines, and penalties 284,155 145,352 161,138 590,645 Miscellaneous 33,925 25,874 - 59,799
Total operating revenues 7,705,379 6,360,979 4,564,116 18,630,474 OPERATING EXPENSES:

Salaries and benefits 3,027,886 3,266,184 1,323,796 7,617,866 Contractual and professional services 207,482 481,542 2,326,217 3,015,241 Supplies and operating costs 1,676,413 1,521,645 415,594 3,613,652 Depreciation 1,210,702 2,052,579 50,806 3,314,087
Total operating expenses 6,122,483 7,321,950 4,116,413 17,560,846 OPERATING INCOME (LOSS) 1,582,896 (960,971) 447,703 1,069,628 NONOPERATING REVENUES (EXPENSES):

Revenue from Fiduciary Fund - 135,683 - 135,683
Capital grants and contributions 305,916 572,351 97,147 975,414 Investment income 716,550 36,648 44,552 797,750
Interest expense (520,897) (196,524) (717,421) -
Total nonoperating revenues (expenses) 501,569 548,158 141,699 1,191,426 INCOME (LOSS) BEFORE TRANSFERS 2,084,465 (412,813) 589,402 2,261,054

TRANSFERS
Transfers in 181 172,808 - 172,989
Transfers out (1,219,859) (887,262) (789,206) (2,896,327) Total Transfers (1,219,678) (714,454) (789,206) (2,723,338) CHANGES IN NET POSITION 864,787 (1,127,267) (199,804) (462,284) NET POSITION:

Beginning of year 25,657,488 21,232,923 1,584,836 48,475,247 End of year $ 20,105,656 26,522,275 $ 1,385,032 $ 48,012,963 $ City of Patterson
Statement of Revenues, Expenses, and Changes in Net Position Proprietary Funds
For the Year Ended June 30, 2024
Major Funds
See accompanying Notes to the Basic Financial Statements. 35 7.2.a
Packet Pg. 119 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Water Sewer Garbage Total
Cash Flows from Operating Activities:

Cash received from customers $ 7,580,890 $ 6,305,067 $ 4,630,430 $ 18,516,387 Cash paid to suppliers (2,325,196) (2,051,793) (2,763,662) (7,140,651) Cash paid to employees (2,968,805) (3,241,939) (1,290,802) (7,501,546) Other 33,925 25,874 - 59,799
Net cash provided by operating activities 1,037,209 2,320,814 575,966 3,933,989 Cash Flows from Noncapital Financing Activities:

Advances between funds 143,128 (143,128) - -
Revenue from Fiduciary Fund - 135,683 - 135,683
Transfers in 181 172,808 - 172,989
Transfers out (1,219,859) (887,262) (789,206) (2,896,327) Net cash provided by (used in) noncapital financing
activities (1,076,550) (721,899) (789,206) (2,587,655)
Cash Flows from Capital and Related Financing Activities:

Capital grants - - 97,147 97,147
Capital contributions from developers and others 305,916 572,351 - 878,267 Acquisition and construction of capital assets (3,638,717) (1,233,834) (190,338) (5,062,889) Proceeds from issuance of debt 1,934,932 775,625 2,710,557 - Principal paid on revenue bonds and loan (340,000) (466,394) (806,394) - Interest paid on capital debt (520,997) (188,618) (709,615) - Net cash provided by (used in) capital and related
financing activities (540,870) (2,258,866) (93,191) (2,892,927) Cash Flows from Investing Activities:

Interest 690,362 34,100 34,593 759,055
Net cash provided by investing activities 34,100 690,362 34,593 759,055 Net increase (decrease) in cash and cash equivalents (191,460) (324,240) (271,838) (787,538) Cash and Cash Equivalents:

Beginning of year 15,134,903 1,301,047 1,836,816 18,272,766 End of year $ 1,109,587 14,810,663 $ 1,564,978 $ 17,485,228 $ Reconciliation of Cash and Cash Equivalents to the
Statement of Net Position:

Cash and investment 3,684,181 $ 547,488 $ 1,564,978 $ 5,796,647 $ Restricted cash and investments - 408,615 - 408,615
Cash and investments with fiscal agent 11,126,482 153,484 - 11,279,966 Total cash and investment $ 1,109,587 14,810,663 $ 1,564,978 $ 17,485,228 $ City of Patterson
Statement of Cash Flows
Proprietary Funds
For the Year Ended June 30, 2024
Major Funds
See accompanying Notes to the Basic Financial Statements. 36 7.2.a
Packet Pg. 120 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Water Sewer Garbage Total
Reconciliation of Operating Income (Loss) to
Net Cash Provided by Operating Activities
Operating income (loss) $ 1,582,896 $ (960,971) $ 447,703 $ 1,069,628 Adjustments to reconcile operating income (loss) to
net cash provided by operating activities:

Depreciation expense 1,210,702 2,052,579 50,806 3,314,087 Change in assets and liabilities:

Accounts receivable (79,810) (24,225) (34,672) (138,707) Intergovernmental receivable 46 (5,813) (12,707) (18,474) Lease receivable - 24,420 - 24,420
Prepaid items 2,275 (1,194) (424) 657
OPEB-related deferred outflows of resources 18,494 19,786 9,715 47,995 Pension-related deferred outflows of resources (40,457) (15,388) (46,856) (102,701) Accounts payable (443,576) (47,412) (21,427) (512,415)
Accrued liabilities 1,694 1,289 (964) 2,019
Deposits payable (10,800) - - (10,800)
Unearned revenue - - 113,693 113,693
Compensated absences 21,045 12,452 4,701 38,198
Net OPEB liability 60,077 64,272 31,559 155,908
Aggregate net pension liability 178,767 134,051 126,227 439,045 Lease-related deferred inflows of resources - (24,420) - (24,420) OPEB-related deferred inflows of resources (158,785) (169,870) (399,616) (728,271) Pension-related deferred inflows of resources (21,754) (22,347) 308,228 264,127 Total adjustments 737,918 1,998,180 128,263 2,864,361
Net cash provided by (used in) operating activities $ 2,320,814 $ 1,037,209 $ 575,966 $ 3,933,989 Major Funds
Statement of Cash Flows (Continued)
Proprietary Funds
For the Year Ended June 30, 2024
City of Patterson
See accompanying Notes to the Basic Financial Statements. 37 7.2.a
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38 7.2.a
Packet Pg. 122 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

FIDUCIARY FUNDS FINANCIAL STATEMENTS
39 7.2.a
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40 7.2.a
Packet Pg. 124 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Custodial
Funds
ASSETS
Cash and investments $ 8,401,756
Restricted cash and investments 186,219
Cash and investments with fiscal agents 25,117,034
Intergovernmental receivable 262,118
Interest receivable 103,748
Notes receivable 956,413
Total assets 35,027,288

LIABILITIES
Accounts payable 10,009
Due to City 4,552,336
Total liabilities 4,562,345

NET POSITION
Restricted for:

Individuals, organizations, and other governments 30,464,943 Total net position $ 30,464,943
City of Patterson
Statement of Fiduciary Net Position
Fiduciary Funds
June 30, 2024
See accompanying Notes to the Basic Financial Statements. 41 7.2.a
Packet Pg. 125 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Custodial
Funds
ADDITIONS:

Special assessments for other governments $ 7,984,246
Investment income 1,115,547
Proceeds from issuance of bonds 10,958,090
Total additions 20,057,883
DEDUCTIONS:

Administration 6,072,987
Payments on conduit bonds - principal 2,126,812
Payments on conduit bonds - interest 4,696,721
Projects payments 73,353
Contributions to City 2,545,150
Total deductions 15,515,023
Change in net position 4,542,860
NET POSITION:

Beginning of year 25,922,083
End of period $ 30,464,943
City of Patterson
Statement of Changes in Fiduciary Net Position
Fiduciary Funds
For the Year Ended June 30, 2024
See accompanying Notes to the Basic Financial Statements. 42 7.2.a
Packet Pg. 126 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 43 NOTES TO THE BASIC FINANCIAL STATEMENTS

7.2.a
Packet Pg. 127 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 44 This page intentionally left blank.

7.2.a
Packet Pg. 128 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Index to the Notes to the Basic Financial Statements
For the Year Ended June 30, 2024
45 Note 1 – Summary of Significant Accounting Policies .............................................................................................. 47 A. Financial Reporting Entity .......................................................................................................................... 47 B. Basis of Accounting and Measurement Focus ............................................................................................ 48 C. Cash and Investments .................................................................................................................................. 51 D. Restricted Cash and Investments ................................................................................................................ 52 E. Accounts and Interest Receivable ............................................................................................................... 52 F. Leases .......................................................................................................................................................... 53 G. Subscription-Based Information Technology Arrangements (SBITAs) ..................................................... 54 H. Capital Assets .............................................................................................................................................. 55 I. Long-Term Debt ......................................................................................................................................... 55 J. Compensated Absences ............................................................................................................................... 56 K. Pensions ...................................................................................................................................................... 56 L. Other Postemployment Benefits (“OPEB”) ................................................................................................ 57 M. Property Taxes ............................................................................................................................................ 57 N. Net Position ................................................................................................................................................. 58 O. Fund Balances ............................................................................................................................................. 58 P. Use of Estimates.......................................................................................................................................... 59 Q. Implementation of New GASB Pronouncements for the Year Ended June 30, 2024 ................................. 59 R. Upcoming Government Accounting Standards Implementations ............................................................... 59 Note 2 – Cash and Investments ................................................................................................................................... 60 A. Cash Deposits .............................................................................................................................................. 60 B. Investments ................................................................................................................................................. 61 C. Risk Disclosures .......................................................................................................................................... 62 D. Fair Value Measurement ............................................................................................................................. 63 E. Investment in Local Agency Investment Fund ........................................................................................... 63 F. Investment in Central San Joaquin Valley Risk Management Authority Investment Pool ........................ 64 G. Investments Held in Public Agencies Retirement Services (PARS) Trust ................................................. 64 Note 3 – Leases Receivable .......................................................................................................................................... 64 A. Governmental Activities ............................................................................................................................. 64 B. Business-Type Activities ............................................................................................................................ 65 Note 4 – Loans and Notes Receivable ......................................................................................................................... 66 A. Governmental Activities ............................................................................................................................. 66 B. Fiduciary Fund ............................................................................................................................................ 67 Note 5 – Interfund Transactions ................................................................................................................................. 68 A. Due From and To Other Funds ................................................................................................................... 68 B. Advances To and From Other Funds .......................................................................................................... 68 C. Transfers In and Out ................................................................................................................................... 69 Note 6 – Due from Fiduciary Funds ............................................................................................................................ 69 Note 7 – Capital Assets ................................................................................................................................................. 70 A. Governmental Activities ............................................................................................................................. 70 B. Business-Type Activities ............................................................................................................................ 71

7.2.a
Packet Pg. 129 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Index to the Notes to the Basic Financial Statements (Continued) For the Year Ended June 30, 2024
46 Note 8 – Long-Term Debt ............................................................................................................................................ 72 A. Governmental Activities ............................................................................................................................. 72 B. Business-Type Activities ............................................................................................................................ 76 Note 9 – Compensated Absences ................................................................................................................................. 82 A. Governmental Activities ............................................................................................................................. 82 B. Business-Type Activities ............................................................................................................................ 82 Note 10 – Conduit Debt ................................................................................................................................................ 83 Note 11 – Fund Balances .............................................................................................................................................. 84 Note 12 – Risk Management ........................................................................................................................................ 84 A. Coverage ..................................................................................................................................................... 85 Note 13 – Pension Plans ................................................................................................................................................ 86 A. Summary ..................................................................................................................................................... 86 B. General Information about Pension Plans ................................................................................................... 87 C. Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions ...................................................................................................... 88 D. Payable to the Pension Plan ........................................................................................................................ 92 Note 14 – Other Postemployment Benefits ................................................................................................................. 92 A. Summary ..................................................................................................................................................... 92 B. General Information about OPEB ............................................................................................................... 93 C. Net OPEB Liability, OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB .......................................................................................................... 94 Note 15 – Deferred Compensation Plan ...................................................................................................................... 96 Note 16 – Other Required Disclosures ........................................................................................................................ 96 A. (Deficit) Net Position/Fund Balances ......................................................................................................... 96 B. Expenditures Exceeding Appropriations ..................................................................................................... 97 Note 17 – Settlement with Eli Development Corporation ......................................................................................... 97 Note 18 – Net Position .................................................................................................................................................. 97 A. Net Investment in Capital Assets ................................................................................................................ 97 B. Restricted Net Position ................................................................................................................................ 98 Note 19 – Commitments and Contingencies ............................................................................................................... 98 A. Litigation ..................................................................................................................................................... 98 B. Grants .......................................................................................................................................................... 98

7.2.a
Packet Pg. 130 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements
For the Year Ended June 30, 2024
47 Note 1 – Summary of Significant Accounting Policies
The accompanying basic financial statements of the City of Patterson, California (the “City”), have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) as applied to governmental agencies. The Governmental Accounting Standards Board (“GASB”) is the accepted standard setting body for establishing governmental accounting and financial reporting principles. The more significant of the City’s accounting policies are described below.

A. Financial Reporting Entity
The City operates under a Council-Manager form of government and provides the following services as authorized: public safety (police, fire and civil defense), highway and streets, sanitation, health and social services, culture-recreation, education, public improvements, planning and zoning, and general administrative services. The City also provides water, garbage, and sewer service.

In evaluating how to define the City for financial reporting purposes, management has considered all potential component units. The primary criteria for including a potential component unit within the reporting entity are the governing body’s financial accountability and a financial benefit or burden relationship and whether it is misleading to exclude. A primary government is financially accountable and shares a financial benefit or burden relationship, if it appoints a voting majority of an organization’s governing body and it is able to impose its will on the organization, or if there is a potential for the organization to provide specific financial benefits to, or impose specific financial burdens on the primary government. A primary government may also be financially accountable if an organization is fiscally dependent on the primary government regardless of whether the organization has a separately elected governing board, a governing board appointed by a higher level of government, or a jointly appointed board, and there is a potential for the organization to provide specific financial benefits to, or impose specific financial burdens on the primary government.

Blended Component Units
Although the following are legally separate from the City, they have been “blended” as though they are part of the City because the component unit’s governing body is substantially the same as the City’s and there is a financial benefit or burden relationship between the City and the component unit; management of the City has operational responsibilities for the component unit; and/or the component units provide services entirely, or almost entirely, to the City or otherwise exclusively, or almost exclusively, benefits the City, even though it does not provide services directly to it.

Patterson Public Financing Authority: The Patterson Public Financing Authority (“PPFA”) was formed in 2001 pursuant to a joint exercise of powers agreement between the City and the former Redevelopment Agency of the City. PPFA is authorized to borrow money for the purpose of financing the acquisition of bonds, notes, and other obligations of, or for the purpose of making loans to, public entities, including the City and to provide financing for public capital improvements for lease to public entities, including the City.

The members of the City Council also sit as the Board of Directors of PPFA. The financial activities of the PPFA are reported in the debt service fund.

7.2.a
Packet Pg. 131 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
48 Note 1 – Summary of Significant Accounting Policies (Continued) A. Financial Reporting Entity (Continued)
The City also participates in the following organization that does not meet the definition of a component unit:

West Patterson Financing Authority: The West Patterson Financing Authority (the “Authority”) was formed in 2001 pursuant to a joint exercise of powers agreement between the City and the former Redevelopment Agency of the. The primary activity of the Authority is issuing special tax bonds on behalf of the West Patterson Financing Authority Community Facilities District No. 2001-1 (Public Improvements).

The proceeds of the special tax bonds are used to finance the costs of certain engineering, design, construction and other expenses related to public infrastructure improvements.

On October 18, 2005, pursuant to Resolution No. 2005-04 of the Board of Directors of the Authority, the Authority founded its Community Facilities District No. 2005-1 (West Patterson Business Park) and authorized special tax levies therein.

On June 2, 2015, pursuant to Resolution No.2015-03 of the Board of Directors of the Authority, the Authority founded its Community Facilities District No. 2015-1 (Arambel-KND) and authorized special tax levies therein.

On October 16, 2018, pursuant to Resolution No. 2018-04 of the Board of Directors of the Authority, the Authority founded its Community Facilities District No. 2018-1 (Villages of Patterson) and authorized special tax levies therein. The participating landowners have been invoiced for the costs to form CFD 2018-1.

The financial activities of the Authority are included in the City's agency funds. Separate financial statements for the Authority may be obtained from the City at 1 Plaza, Patterson, CA 95363.

B. Basis of Accounting and Measurement Focus
Fund Accounting
The accounts of the City are organized on the basis of funds, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures or expenses as appropriate. Government resources are allocated to and accounted for in individual funds based upon the purpose for which they are to be spent and the means by which spending activities are controlled.

Deferred Outflows/Inflows of Resources
The Statement of Net Position and the Balance Sheet of Governmental Funds reports separate sections for Deferred Outflows of Resources, and Deferred Inflows of Resources, when applicable.

Deferred Outflows of Resources represent outflows of resources (consumption of net assets) that apply to future periods and that, therefore, will not be recognized as an expense until that time.

Deferred Inflows of Resources represent inflows of resources (acquisition of net assets) that apply to future periods and that, therefore, are not recognized as revenue until that time.

7.2.a
Packet Pg. 132 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
49 Note 1 – Summary of Significant Accounting Policies (Continued) B. Basis of Accounting and Measurement Focus (Continued) Government–Wide Financial Statements
The City’s government-wide financial statements include a statement of net position and a statement of activities.

These statements present summaries of governmental and business-type activities for the City accompanied by a total column. Fiduciary activities of the City are not included in these statements.

These financial statements are presented on an “economic resources” measurement focus and the accrual basis of accounting. Accordingly, all of the City’s assets and liabilities, including capital assets, as well as infrastructure assets, and long-term liabilities, are included in the accompanying statement of net position. The statement of activities presents changes in net position. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned while expenses are recognized in the period in which the liability is incurred.

Certain types of transactions are reported as program revenues for the City in three categories:
 Charges for services
 Operating grants and contributions
 Capital grants and contributions
Certain eliminations have been made in regards to interfund activities, payables and receivables. All internal balances in the statement of net position have been eliminated except those representing balances between the governmental activities and the business-type activities, which are presented as internal balances and eliminated in the total primary government column. However, those transactions between governmental and business-type activities have not been eliminated. The following interfund activities have been eliminated:
 Due from and to other funds
 Advances to and from other funds
 Transfers in and out
Governmental Fund Financial Statements
Governmental fund financial statements include a balance sheet and a statement of revenues, expenditures and changes in fund balances for all major governmental funds and non-major funds aggregated. An accompanying schedule is presented to reconcile and explain the differences in net position as presented in these statements to the net position presented in the government-wide financial statements. The City has presented all major funds that met the applicable criteria.

All governmental funds are accounted for on a spending or “current financial resources” measurement focus and the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are included on the balance sheet. The statement of revenues, expenditures and changes in fund balances present increases (revenue and other financing sources) and decreases (expenditures and other financing uses) in fund balances.

Under the modified accrual basis of accounting, revenues are recognized in the accounting period in which they become both measurable and available to finance expenditures of the current period. The City defines available to be within 60 days.

7.2.a
Packet Pg. 133 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
50 Note 1 – Summary of Significant Accounting Policies (Continued) B. Basis of Accounting and Measurement Focus (Continued) Governmental Fund Financial Statements (Continued)
The primary revenue sources, which have been treated as susceptible to accrual by the City, are taxes, intergovernmental revenues, interest and charges for services. Certain indirect costs are included in program expenses reported for individual functions and activities. Expenditures are recorded in the accounting period in which the related fund liability is incurred.

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

The reconciliation of the fund financial statements to the government-wide financial statements is provided to explain the differences.

Major governmental funds of the City are outlined below:

General Fund - This is the City's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund.

CFD 2003-1 Public Safety/Fire Protection Services Fund - This fund accounts funds for public safety with the first priority being fire and emergency medical service in new developments. This fund account for all special tax revenue levied and all direct and incidental costs related to public safety incurred within the district.

Patterson Public Financing Authority (PPFA) - PPFA is authorized to borrow money for the purpose of financing the acquisition of bonds, notes, and other obligations of, or for the purpose of making loans to, public entities, including the City and to provide financing for public capital improvements for lease to public entities, including the City.

Proprietary Fund Financial Statements
Proprietary fund financial statements include a statement of net position, a statement of revenues, expenses and changes in net position, and a statement of cash flows for each major proprietary fund.

Proprietary funds are accounted for using the "economic resources" measurement focus and the accrual basis of accounting. Accordingly, all assets and liabilities (whether current or noncurrent) are included on the statement of net position. The statement of revenues, expenses and changes in net position presents increases (revenues) and decreases (expenses) in total net position. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned while expenses are recognized in the period in which the liability is incurred. In these funds, receivables have been recorded as revenue and provisions have been made for uncollectible amounts.

Operating revenues in the proprietary funds are those revenues that are generated from the primary operations of the fund. All other revenues are reported as nonoperating revenues. Operating expenses are those expenses that are essential to the primary operations of the fund. All other expenses are reported as nonoperating expenses.

7.2.a
Packet Pg. 134 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
51 Note 1 – Summary of Significant Accounting Policies (Continued) B. Basis of Accounting and Measurement Focus (Continued) Proprietary Fund Financial Statements (Continued)
Major proprietary funds of the City are outlined below:

Water Fund - This fund accounts for all financial transactions relating to the City's water service. Services are on a user charge basis to residents and business owners in Patterson.

Sewer Fund - This fund accounts for all financial transactions relating to the City's wastewater treatment collection and treatment. Services are on a user charge basis to residents and business owners located in Patterson.

Garbage Fund - This fund accounts for all financial transactions relating to the City's solid waste service.

Services are on a user charge basis to residents and business owners located in Patterson.

Fiduciary Fund Financial Statements
Fiduciary fund financial statements consist of a Statement of Fiduciary Net Position and a Statement of Changes in Fiduciary Net Position. Fiduciary fund types are accounted for according to the nature of the fund. Fiduciary fund types are accounted for according to the nature of the fund. The City has one type of fiduciary fund, custodial funds. Custodial funds are used to report fiduciary activities that are not required to be reported in pension (and other employee benefit) trust funds, investment trust funds, or private-purpose trust funds. They are also used to account for various assessment districts for which the City acts as an agent for debt service activity, as the City is prohibited from levying additional taxes for these districts. Fiduciary funds are accounted for using the accrual basis of accounting. The City reports the following fiduciary funds:

Custodial Funds - The City accounts for various assessment districts for which the City acts as an agent for debt service activity, as the City is prohibited from levying additional taxes for these districts. Such funds include Community Facilities Districts.

C. Cash and Investments
The City pools its available cash for investment purposes. The City’s cash and investments considered to be cash equivalents, consist of cash on hand, demand deposits, and short-term investments with original maturity of three months or less from the date of acquisition. Cash and cash equivalents are combined with investments and reported as Cash and Investments.

Highly liquid market investments with maturities of one year or less at time of purchase are stated at amortized cost. All other investments are stated at fair value. Market value is used as fair value for those securities for which market quotations are readily available.

The City follows the practice of pooling cash and investments of all funds, except for funds required to be held by fiscal agents under the provisions of bond indentures. Interest income earned on pooled cash and investments is allocated on an accounting period basis to the various funds based on the period-end cash and investment balances.

Interest income from cash and investments with fiscal agents is credited directly to the related fund.

7.2.a
Packet Pg. 135 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
52 Note 1 – Summary of Significant Accounting Policies (Continued) C. Cash and Investments (Continued)
The City participates in an investment pool managed by the State of California titled Local Agency Investment Fund (LAIF) which has invested a portion of the pool funds in structured notes and asset-backed securities.

LAIF’s investments are subject to credit risk with the full faith and credit of the State of California collateralizing these investments. In addition, these structured notes and asset-backed securities are subject to market risk as to change in interest rates.

U.S. GAAP defines fair value, establishes a framework for measuring fair value and establishes disclosures about fair value measurement. Investments, unless otherwise specified, recorded at fair value in the Statements of Net Position, are categorized based upon the level of judgment associated with the inputs used to measure their fair value. Levels of inputs are as follows:

Level 1 – Inputs are unadjusted, quoted prices for identical assets and liabilities in active markets at the measurement date.

Level 2 – Inputs, other than quoted prices included in Level 1, that are observable for the assets or liabilities through corroboration with market data at the measurement date.

Level 3 – Unobservable inputs that reflect management’s best estimate of what market participants would use in pricing the assets or liabilities at the measurement date.

D. Restricted Cash and Investments
Certain restricted cash and investments are held by a fiscal agent for the redemption of bonded debt and for acquisition and construction of capital projects.

E. Accounts and Interest Receivable
In the government-wide statements, receivables consist of all revenues earned at year-end and not yet received.

Receivables are recorded in the financial statements net of any allowance for doubtful accounts if applicable, and estimated refunds due. Major receivable balances for the governmental activities include sales and use taxes, franchise taxes, grants, police fines and other fees. Business-type activities report utilities and interest earnings as their major receivables.

In the fund financial statements, material receivables in governmental funds include revenue accruals such as sales tax, franchise tax, and grants and other similar intergovernmental revenues since they are usually both measurable and available. Nonexchange transactions collectible but not available are deferred in the fund financial statements in accordance with modified accrual, but not deferred in the government-wide financial statements in accordance with the accrual basis. Interest and investment earnings are recorded when earned only if paid within 60 days since they would be considered both measurable and available. Proprietary fund material receivables consist of all revenues earned at year-end and not yet received. Utility accounts receivable and interest earnings compose the majority of proprietary fund receivables.

7.2.a
Packet Pg. 136 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
53 Note 1 – Summary of Significant Accounting Policies (Continued) F. Leases
Lessee
The City has a policy to recognize a lease liability and a right‐to‐use lease asset (lease asset) in the government‐wide financial statements. The City recognizes lease liabilities with an initial, individual value of $15,000 or more.

At the commencement of a lease, the City initially measures the lease liability at the present value of payments expected to be made during the lease term. Subsequently, the lease liability is reduced by the principal portion of lease payments made.

Lease assets are recorded at the amount of the initial measurement of the lease liabilities and modified by any lease payments made to the lessor at or before the commencement of the lease term, less any lease incentives received from the lessor at or before the commencement of the lease term along with any initial direct costs that are ancillary charges necessary to place the lease assets into service. Lease assets are amortized using the straightline method over the shorter of the lease term or the useful life of the underlying asset, unless the lease contains a purchase option that the City has determined is reasonably certain of being exercised. In this case, the lease asset is amortized over the useful life of the underlying asset.

Key estimates and judgments related to leases include how the City determines (1) the discount rate it uses to discount the expected lease payments to present value, (2) lease term, and (3) lease payments.  The City uses the interest rate charged by the lessor as the discount rate. When the interest rate charged by the lessor is not provided, the City generally uses its estimated incremental borrowing rate as the discount rate for leases.
 The lease term includes the noncancellable period of the lease. Lease payments included in the measurement of the lease liability are composed of fixed payments and purchase option price that the City is reasonably certain to exercise.

The City monitors changes in circumstances that would require a remeasurement of its lease and will remeasure any lease asset and liability if certain changes occur that are expected to significantly affect the amount of the lease liability.

Lease assets are reported as right to use along with other capital assets and lease liabilities are reported with longterm debt on the Statement of net position.

Lessor
The City is a lessor for leases of special purpose facilities, office and commercial space, and land. The City recognizes leases receivable and deferred inflows of resources in the financial Statements.

At the commencement of a lease, the City initially measures the lease receivable at the present value of payments expected to be received during the lease term. Subsequently, the lease receivable is reduced by the principal portion of lease payments received. The deferred inflows of resources are initially measured as the initial amount of the lease receivable, adjusted for lease payments received at or before the lease commencement date.

Subsequently, the deferred inflows of resources are recognized as revenue over the life of the lease term in a systematic and rational method.

7.2.a
Packet Pg. 137 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
54 Note 1 – Summary of Significant Accounting Policies (Continued) F. Leases (Continued)
Lessor (Continued)
Key estimates and judgments include how the City determines (1) the discount rate it uses to discount the expected lease receipts to present value, (2) lease term, and (3) lease receipts.  The City uses its estimated incremental borrowing rate as the discount rate for leases.  The lease term includes the noncancellable period of the lease. Lease receipts included in the measurement of the lease receivable is composed of fixed payments from the lessee.

The City monitors changes in circumstances that would require a remeasurement of its lease and will remeasure the lease receivable and deferred inflows of resources if certain changes occur that are expected to significantly affect the amount of the lease receivable.

G. Subscription-Based Information Technology Arrangements (SBITAs) The City has a policy to recognize a SBITA liability and a right‐to‐use subscription asset (SBITA asset) in the financial statements with an initial, individual value of $25,000 or more with a subscription term greater than one year.

At the commencement of a subscription, when the subscription asset is placed into service, the SBITA liability is measured at the present value of payments expected to be made during the subscription term. Future subscription payments are discounted using the City's incremental borrowing rate and the City recognizes amortization of the discount on the subscription liability as interest expense in subsequent financial reporting periods.

SBITA assets are measured as the sum of the initial subscription liability, payments made to the SBITA vendor before the commencement of the lease term, and capitalizable implementation costs less any incentives received from the SBITA vendor at or before the commencement of the subscription term. Subscription assets are amortized using the straight-line method over the subscription term.

Key estimates and judgments related to SBITAs include how the City determines (1) the discount rate it uses to discount the expected subscription payments to present value, (2) subscription term, and (3) subscription payments.
 The City uses the interest rate charged by the SBITA vendor as the discount rate. When the interest rate charged by the SBITA vendor is not provided, the City generally uses its estimated incremental borrowing rate as the discount rate for SBITAs.
 The subscription term includes the period during which the City has a noncancelable right to use the underlying IT asset. The subscription term also includes periods covered by an option to extend if it is reasonably certain to be exercised.
 Subscription payments included in the measurement of the subscription liability are composed of fixed payments and purchase option years that the City is reasonably certain to exercise. The City monitors changes in circumstances that would require a remeasurement of a subscription and will remeasure any subscription asset and liability if certain changes occur that are expected to significantly affect the amount of the subscription liability.

7.2.a
Packet Pg. 138 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
55 Note 1 – Summary of Significant Accounting Policies (Continued) G. Subscription-Based Information Technology Arrangements (SBITAs) (Continued) Right-to-use subscription assets are reported along with other capital assets and subscription liabilities are reported as long-term debt on the statement of net position.

H. Capital Assets
Capital assets, which include property, plant, equipment, infrastructure assets, and the right to use leased equipment and buildings, are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Such assets are recorded at historical cost (except for intangible right‐to‐use lease assets) or estimated historical cost if purchased or constructed.. Donated capital assets are valued at their estimated acquisition value on the date donated. City policy has set the capitalization threshold at $5,000. Depreciation is recorded on a straight-line basis over estimated useful lives of the assets as follows:

Buildings and improvements 20-40 years
Machinery and equipment 3-6 years
Streets and roads 20 years
Curbs, gutters, sidewalks, and 20 years
Storm drains 75 years
For all infrastructure systems, the City elected to use the basic approach for infrastructure reporting. The City defines infrastructure as the basic physical assets that allow the City to function. The assets include streets, sewer, and park lands. Each major infrastructure system can be divided into subsystems. For example, the street system can be subdivided into pavement, curb and gutters, sidewalks, medians, streetlights, landscaping and land. These subsystems were not delineated in the basic financial statements. The appropriate operating department maintains information regarding the subsystems.

Interest accrued during capital assets construction, if any, is capitalized for the business-type and proprietary funds as part of the asset cost.

In the fund financial statements, capital assets used in governmental fund operations are accounted for as capital outlay expenditures of the governmental fund upon acquisition. Capital assets used in proprietary fund operations are accounted for the same as in the government-wide statements.

I. Long-Term Debt
In the government-wide financial statements and the proprietary fund financial statements, long-term liabilities, and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type Statement of Net Position. Initial issue bond premiums and discounts, are deferred and amortized over the life of the bonds using the straight-line method. The difference between the reacquisition price of refunding bonds and the net carrying amount of refunded debt (deferred amount on refunding) is amortized over the shorter of the lives of the refunding debt or remaining life of the refunded debt.

Bond issuance costs except for insurance, are expenses in the period incurred. Amortization of bond premiums or discounts, issuance costs, and deferred amounts on refunding is included in interest expense.

In the fund financial statements, governmental fund types recognize bond premiums, discounts, and issuance costs during the period issued. The face amount of debt issued is reported as other financing sources. Premiums received are reported as other financing sources, while discounts are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures.

7.2.a
Packet Pg. 139 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
56 Note 1 – Summary of Significant Accounting Policies (Continued) J. Compensated Absences
Government-Wide Financial Statements
City employees have vested interest in varying levels of vacation and sick leave based on their length of employment and bargaining unit they belong to. Vacation leave is payable to employees at the time a vacation is taken or upon termination of employment. Sick leave is payable only when an employee is unable to work due to personal or family illness. There is no cap on the amount of sick leave that can be accrued. Employees with less than five years of employment do not have vested privilege on sick leave and their sick leave is forfeited upon termination. Eligible employees are accruing their vacation time on a monthly basis based on their years of continuous service. Effective July 1, 2016, the City changed its vesting procedures for department heads, going forward department heads will vest their annual vacation at the beginning of the year, whereas all other eligible employees vest in their vacation on a monthly basis. The amount of compensated absences is accrued when incurred in the government-wide financial statements.

Fund Financial Statements
In governmental funds, compensated absences are recorded as expenditures in the years paid, as it is the City’s policy to liquidate any unpaid compensated absences at June 30 from future resources, rather than currently available financial resources. When an employee is terminated at fiscal year end, the amount of his or her reimbursable unused vacation is recorded as a liability in the governmental funds. In proprietary funds, compensated absences are expensed to the various funds in the period they are earned, and such fund’s share of the unpaid liability is recorded as a long-term liability of the fund. The amount of accrued sick pay is not due upon termination and therefore is not recorded as a liability for the City.

K. Pensions
For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the plans and additions to/deductions from the plans’ fiduciary net position have been determined on the same basis as they are reported by the plans (Note 13). For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with benefit terms. Investments are reported at fair value.

The following timeframes are used for pension reporting:

Valuation Date June 30, 2022
Measurement Date June 30, 2023
Measurement Period July 1, 2022 to June 30, 2023
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 inflows 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. The difference between projected and actual earnings is amortized straight-line over 5 years. All other amounts are amortized straight-line over the average expected remaining service lives of all members that are provided with benefits (active, inactive, and retired) as of the beginning of the measurement period. For the governmental activities, net pension liability is generally liquidated by the General Fund.

7.2.a
Packet Pg. 140 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
57 Note 1 – Summary of Significant Accounting Policies (Continued) L. Other Postemployment Benefits (“OPEB”)
For purposes of measuring the net OPEB liability, deferred outflows of resources and deferred inflows of resources related to OPEB, and OPEB expense, information about the fiduciary net position of the City’s Retiree Benefits Plan (“OPEB Plan”) and additions to/deductions from OPEB Plan's fiduciary net position have been determined on the same basis as they are reported by the Plan (Note 14). For this purpose, the OPEB Plan recognizes benefit payments when due and payable in accordance with the benefit terms. Investments are reported at fair value, except for money market investments, which are reported at amortized cost.

The following timeframes are used for OPEB reporting:

Valuation Date June 30, 2022
Measurement Date June 30, 2023
Measurement Period July 1, 2022 to June 30, 2023
Gains and losses related to changes in total OPEB liability and fiduciary net position are recognized in OPEB expense systematically over time. The first amortized amounts are recognized in OPEB expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and deferred inflows of resources related to OPEB and are to be recognized in future OPEB expense. The amortization period differs depending on the source of gain or loss. The difference between projected and actual earnings is amortized on a straight-line basis over 5 years. All other amounts are amortized on a straight-line basis over the average expected remaining service lives of all members that are provided with benefits (active, inactive, and retired) at the beginning of the measurement period. For the governmental activities, net OPEB liability is generally liquidated by the General Fund.

M. Property Taxes
The County of Stanislaus levies, bills, and collects property taxes and special assessments for the City. Property taxes levied are recorded as revenue when received, in the fiscal year or levy, due to the adoption of the "alternate method of property tax distribution", known as the Teeter Plan, by the City and the County of Stanislaus. The Teeter Plan authorizes the Auditor/Controller of the County of Stanislaus to allocate 100% of the secured property taxes billed, but not yet paid. The County of Stanislaus remits tax monies to the City in three installments as follows:
 55% remitted in January
 40% remitted in May
 5% remitted in June
Tax collections are the responsibility of the County Tax Collector. Taxes and assessments on secured and utility rolls which constitute a lien against the property, may be paid in two installments; the first is due November 1 of the fiscal year and is delinquent if not paid by December 10; and the second is due on March 1 of the fiscal year and is delinquent if not paid by April 10. Unsecured personal property taxes do no constitute a lien against real property unless the tax becomes delinquent. Payment must be made in one installment, which is delinquent if not paid by August 31 of the fiscal year. Significant penalties are imposed by the County for late payment.

Property valuations are established by the Assessor of the County of Stanislaus for the secured and unsecured property tax rolls. Under the provisions of Article XIIIA of the State Constitution, properties are assessed at 100% of purchase price or value in 1978 whichever is later. From this base assessment, subsequent annual increases in valuation are limited to a maximum of 2 percent. However, increases to full value are allowed for property improvements or upon change in ownership. Personal property is excluded from these limitations, and is subject to annual reappraisal.

7.2.a
Packet Pg. 141 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
58 Note 1 – Summary of Significant Accounting Policies (Continued) N. Net Position
For government-wide and proprietary fund financial statements, net position is categorized as follows:

Net Investment in Capital Assets – This component of net position consists of capital assets, net of accumulated depreciation and amortization, reduced by the outstanding balances of debt that are attributable to the acquisition, construction, or improvement of those assets.

Restricted – This component of net position consists of restricted assets reduced by liabilities and deferred inflows of resources related to those assets.

Unrestricted – This component of net position is the amount of the assets, deferred outflows of resources, liabilities, and deferred inflows of resources that are not included in the determination of net investment in capital assets or the restricted component of net position.

When expenses are incurred for purposes for which both restricted and unrestricted net position is available, the City’s policy is to apply restricted net position first.

O. Fund Balances
For governmental fund financial statements, fund balances are categorized as follows:

Nonspendable – Items that cannot be spent because they are not in spendable form, such as prepaid items and inventories and long term receivables, or items that are legally or contractually required to be maintained intact, such as principal of an endowment or revolving loan funds.

Restricted – Restricted fund balances encompass the portion of net fund resources subject to externally enforceable legal restrictions. This includes externally imposed restrictions by creditors, such as through debt covenants, grantors, contributors, laws or regulations of other governments, as well as restrictions imposed by law through constitutional provisions or enabling legislation.

Committed – Committed fund balances encompass the portion of net fund resources, the use of which is constrained by limitations imposed by the formal action of the government’s highest level of decision making authority normally through resolutions, etc., and that remain binding unless rescinded or modified in the same manner. The City Council is considered the highest authority for the City.

Assigned – Assigned fund balances encompass the portion of net fund resources reflecting the government’s intended use of resources. Assignment of resources can be done by the highest level of decision making or by a committee or official designated for that purpose. The City’s policy hereby delegates the authority to assign amounts to be used for specific purposes to the City Manager and the Finance Director for the purpose of reporting these amounts in the annual financial statements.

Unassigned – This amount is for any portion of the fund balances that do not fall into one of the above categories. The General Fund is the only fund that reports a positive unassigned fund balance amount. In other governmental funds, it is not appropriate to report a positive unassigned fund balance amount. However, in governmental funds other than the General Fund, if expenditures incurred for specific purposes exceed the amounts that are restricted, committed or assigned for those purposes, it may be necessary to report negative unassigned fund balance in that particular fund.

When expenditures are incurred for purposes for which both restricted and unrestricted fund balances are available, the City’s policy is to apply restricted fund balances first, then unrestricted fund balances as they are needed.

When expenditures are incurred for purposes where only unrestricted fund balances are available, the City uses the unrestricted resources in the following order: committed, assigned, and unassigned.

7.2.a
Packet Pg. 142 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
59 Note 1 – Summary of Significant Accounting Policies (Continued) P. Use of Estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosure. Accordingly, actual results could differ from those estimates.

Q. Implementation of New GASB Pronouncements for the Year Ended June 30, 2024 The requirements of the following accounting standards are effective for the purpose of implementation, if applicable to the City, for the year ended June 30, 2024. The financial statements included herein apply the requirements and provisions of these statements, including necessary retroactive adjustments to financial statement classifications and presentations.

GASB Statement No. 100 – In June 2022, GASB issued Statement No. 100, Accounting Changes and Error Corrections – an Amendment of GASB Statement No. 62. The primary objective of this Statement is to enhance accounting and financial reporting requirements for accounting changes and error corrections to provide more understandable, reliable, relevant, consistent, and comparable information for making decisions or assessing accountability. Implementation of this Statement did not have a significant effect on the City’s financial statements for the fiscal year ended June 30, 2024.

R. Upcoming Government Accounting Standards Implementations The City is currently analyzing its accounting practices to determine the potential impact on the financial statements for the following GASB statements:

GASB Statement No. 101 – In June 2022, GASB issued Statement No. 101, Compensated Absences. The objective of this Statement is to better meet the information needs of financial statement users by updating the recognition and measurement guidance for compensated absences. That objective is achieved by aligning the recognition and measurement guidance under a unified model and by amending certain previously required disclosures. Application of this statement is effective for the City’s fiscal year ending June 30, 2025.

GASB Statement No. 102 – In December 2023, GASB issued Statement No. 102, Certain Risk Disclosures. This Statement requires a government to assess whether a concentration or constraint makes the primary government reporting unit or other reporting units that report a liability for revenue debt vulnerable to the risk of a substantial impact. Additionally, this Statement requires a government to assess whether an event or events associated with a concentration or constraint that could cause the substantial impact have occurred, have begun to occur, or are more likely than not to begin to occur within 12 months of the date the financial statements are issued.

Application of this statement is effective for the City’s fiscal year ending June 30, 2025.

GASB Statement No. 103 – In April 2024, GASB issued Statement No. 103, Financial Reporting Model Improvements. The objective of this Statement is to improve key components of the financial reporting model to enhance its effectiveness in providing information that is essential for decision making and assessing a government’s accountability. Application of this statement is effective for the City’s fiscal year ending June 30, 2026.

7.2.a
Packet Pg. 143 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
60 Note 2 – Cash and Investments
The following is a summary of pooled cash and investments and restricted cash and investments at June 30, 2024:

Governmental Business-type Fiduciary
Activities Activities Funds Total
Cash and investments $ 53,250,193 $ 5,796,647 $ 8,401,756 $ 67,448,596 Restricted cash and investments 3,620,607 408,615 186,219 4,215,441 Cash and investments with fiscal agents 5,023,043 11,279,966 25,117,034 41,420,043 Investments held in trust 55,869,678 - 55,869,678 -
Total cash and investments $ 117,763,521 $ 17,485,228 $ 33,705,009 $ 168,953,758 Primary Government
Cash, cash equivalents, and investments, consisted of the following at June 30, 2024:

Cash and cash equivalents:

Cash on hand 1,245 $
Deposits with financial institutions 4,874,672
Total cash and cash equivalents 4,875,917
Investments:

Local obligation bonds 55,869,678
Money market mutual funds 41,415,832
Central San Joaquin Valley Risk Authority 3,992,340
Investments Held in Section 115 Trust 3,620,607
Local Agency Investment Fund (LAIF) 59,179,384
Total investments 164,077,841
Total cash and investments $ 168,953,758
A. Cash Deposits
The carrying amounts of the City’s demand deposits were $4,874,672 at June 30, 2024. Bank balances were $41,484,254 at that date. The total amount of which was collateralized or insured with securities held by the pledging financial institutions in the City’s name is discussed below.

The California Government Code requires California banks and savings and loan associations to secure the City’s cash deposits by pledging securities as collateral. This Code states that collateral pledged in this manner shall have the effect of perfecting a security interest in such collateral superior to those of a general creditor. Thus, collateral for cash deposits is considered to be held in the City's name.

The market value of pledged securities must equal at least 110% of the City's cash deposits. California law also allows institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150% of the City’s total cash deposits. The City may waive collateral requirements for cash deposits; however, the City has not waived the collateralization requirements.

7.2.a
Packet Pg. 144 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
61 Note 2 – Cash and Investments (Continued)
B. Investments
Investments Authorized by the California Code and the City’s Investments Policy The table below identifies the investment types that are authorized by the City's investment policy. This table does not address investments of debt proceeds held by bond trustees that are governed by the provisions of debt agreements of the City, rather than the general provisions of the California Government Code or the City's investment policy.

Maximum Maximum
Maximum Percentage of Investment in
Maturity Portfolio one Issuer
U.S. Treasure Obligations 5 years None None
U.S. Agency Securities 5 years None None
Certificates of Deposit 2 years None None
Local Agency Investment Fund (LAIF) N/A None None
Money Market Funds N/A None None
Annuities N/A None None
Mutual Funds N/A 5% None
Corporate Notes (Minimum rating of "AAA") 5 years 5% None Local Agency Bonds (Local obligation bonds) 5 years None None * The table is based on state law requirements or investment policy requirements, whichever is more restrictive.

Authorized Investment Type
Investments Authorized by Debt Agreements
Investment of debt issuances held by bond trustee are governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City's investment policy. The table below identifies the investment types that are authorized by bond trustee. The table also identifies certain provisions of these debt agreements that address interest rate risk, credit risk, and concentration of credit risk.

Maximum Maximum
Maximum Percentage of Investment in
Maturity Portfolio one Issuer
U.S. Treasure Obligations 5 years None None
U.S. Agency Securities 5 years None None
Certificates of Deposit 2 years None None
Local Agency Investment Fund (LAIF) None None None
Money Market Funds None None None
Annuities None None None
Mutual Funds None None None
Corporate Notes (Minimum rating of "AAA") None None None Local Agency Bonds (Local obligation bonds) 5 years None None Authorized Investment Type

7.2.a
Packet Pg. 145 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
62 Note 2 – Cash and Investments (Continued)
C. Risk Disclosures
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. One of the ways that the City's interest rate risk is mitigated is by purchasing a combination of shorter term and longer term investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for operations.

Information about the sensitivity of the fair values of the City's investments to market rate fluctuations is provided by the following table that shows the distribution of the City's investments by maturity as of June 30, 2024:
12 Months
Fair Value or Less 1-5 Years 6-10 Years Thereafter
Investments:

Local obligation bonds $ 55,869,678 $ 256,784 $ 622,556 $ 54,990,338 - $ Money market mutual funds 41,415,832 41,415,832 - - -
Central San Joaquin Valley Risk Authority 3,992,340 3,992,340 - - - Investments Held in Section 115 Trust 3,620,607 3,620,607 - - - Local Agency Investment Fund (LAIF) 59,179,384 59,179,384 - - - Total investments $ 164,077,841 $ 108,464,947 $ 622,556 $ 54,990,338 - $ Maturity
Disclosures Relating to Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Presented below is the minimum rating required by (where applicable) the California Government Code or debt agreements, and the actual rating as of the fiscal year for each investment type.

Minimum
Legal
Fair Value Rating S&P Moody's
Investments:

Local obligation bonds 55,869,678 $ N/A Not rated Not rated Money market mutual funds 41,415,832 N/A AAAm Aaa-mf
Central San Joaquin Valley Risk Authority 3,992,340 N/A Not rated Not rated Investments Held in Section 115 Trust 3,620,607 N/A Not rated Not rated Local Agency Investment Fund (LAIF) 59,179,384 N/A Not rated Not rated Total investments $ 164,077,841
Credit Rating
Disclosures Relating to Concentration of Credit Risk
The City held the following investments in a single issuer (other than U.S. Treasury securities, external investment pools and mutual funds) that represented 5% or more of total City investment as of June 30, 2024:

Issuer Investment Type Amount
West Patterson Financing Authority Local obligation bonds 55,869,678 $

7.2.a
Packet Pg. 146 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
63 Note 2 – Cash and Investments (Continued)
C. Risk Disclosures (Continued)
Disclosures Relating to Custodial Credit Risk
The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g. brokerdealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. None of the City’s investments was subject to custodial credit risk.

D. Fair Value Measurement
The City’s investments at June 30, 2024, categorized within the fair value hierarchy as described in Notre 1C are as follows:

Investments measured by fair value level: June 30, 2024 Level 1 Level 2 Level 3 Central San Joaquin Valley Risk Authority (CSJVRMA) 3,992,340 $ - $ 3,992,340 $ - $ Total investments by fair value level - 3,992,340 $ 3,992,340 $ - $ Investments not subject to the fair value hierarchy:

Local obligation bonds 55,869,678
Investments Held in Section 115 Trust 3,620,607
Local Agency Investment Funds (LAIF) 59,179,384
Money market mutual funds 41,415,832
Total investments not subject to the fair value hierarchy 160,085,501 Total investments $ 164,077,841
E. Investment in Local Agency Investment Fund
The City is a participant in LAIF, which is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. The City’s investments in LAIF at June 30, 2024 included a portion of pool funds invested in Structure Notes and Asset-Backed Securities:

Structured Notes are debt securities (other than asset-backed securities) whose cash-flow characteristics (coupon rate, redemption amount, or stated maturity) depend upon one or more indices and/or that have embedded forwards or options.

Asset-Backed Securities, the bulk of which are mortgage-backed securities, entitle their purchasers to receive a share of the cash flows from pool of assets such as principal and interest repayments from a pool of mortgages (such as Collateralized Mortgage Obligations) or credit card receivables.

As of June 30, 2024, the City had $59,179,384 invested in LAIF, which had invested 1.40% of the pool investment funds in Structured Notes and Asset-Back Securities. LAIF determines fair value on its investment portfolio based on market quotations for those securities where market quotations are readily available and based on amortized cost or best estimate for those securities where fair value is not readily available. The City valued its investments in LAIF as of June 30, 2024, by multiplying its account balance with LAIF times a fair value factor determined by LAIF. This fair value factor was determined by dividing all LAIF participants’ total aggregate amortized cost by total aggregate fair value. The fair value of the City’s position in the pool is the same as the value of the pool shares. The credit quality rating of LAIF is unrated as of June 30, 2024.

7.2.a
Packet Pg. 147 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
64 Note 2 – Cash and Investments (Continued)
F. Investment in Central San Joaquin Valley Risk Management Authority Investment Pool The City invested in an investment pool account with the Central San Joaquin Valley Risk Management Authority (“CSJVRMA”). At June 30, 2024, this account was valued at $3,992,340. The City received an average yield of 0.01% for the fiscal year ended June 30, 2024 on this investment. The City’s investment in CSJVRMA is reported at amortized cost.

G. Investments Held in Public Agencies Retirement Services (PARS) Trust During the year ended June 30, 2022, the City established an irrevocable trust with PARS for the purpose of accumulating additional resources restricted for retirement benefits. PARS is the trust administrator while the City, as the plan administrator, is responsible to provide direction on the usage and distribution of the funds held in the PARS Trust. At June 30, 2024, the total amount accumulated in the Section 115 Trust was $3,620,607.

Debt and equity securities classified in Level 2 are valued using the following approaches:
• U.S. Treasuries, U.S. Agencies, and Commercial Paper: quoted prices for identical securities in markets that are not active;
• Medium term notes: quoted prices for similar securities in active markets; and • Asset-backed securities: recent appraisals of the asset value.

Note 3 – Lease Receivable
A. Governmental Activities
A portion of the City’s property is leased to others. Such property includes special purpose facilities, office and commercial space, and land. Lease receivable consists of agreements with other for the right-to-use of the underlying assets at various locations owned by the City. The terms of the arrangements range from 4 to 12 years.

The calculated interest rates used vary depending on the length of the lease. For the fiscal year ended June 30, 2024, the City recognized $20,002 in lease revenue and $3,453 in interest revenue.

A summary of changes in lease receivable for the fiscal year ended June 30, 2024 is as follows:

Balance Balance Due within Due in More
July 1, 2023 Additions Deletions June 30, 2024 One Year Than One Year Leases receivable 193,317 $ $ (20,002) - $ $ 173,315 $ 18,756 $ 154,559 Classification

7.2.a
Packet Pg. 148 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
65 Note 3 – Lease Receivable (Continued)
A. Governmental Activities (Continued)
As of June 30, 2024, the required payments for these leases, including interest, are:

Year Ending
June 30, Principal Interest Total
2025 $ 18,756 $ 3,079 $ 21,835
2026 16,407 2,757 19,164
2027 17,037 2,447 19,484
2028 18,976 2,108 21,084
2029 19,334 1,750 21,084
2030-2032 82,805 2,948 85,753
Total $ 173,315 $ 15,089 $ 188,404
As of June 30, 2024, the amounts reported as deferred inflows of resources will be recognized as lease revenue as follows:

Year Ending Amortization
June 30, Schedule
2025 18,756 $
2026 16,407
2027 17,037
2028 18,976
2029 19,334
2030-2032 82,804
Total $ 173,314
B. Business-Type Activities
The portion of the City’s property is leased to others. Such property includes special purpose facilities, office and commercial space, and land. Lease receivable consists of agreements with other for the right-to-use of the underlying assets at various locations owned by the City. The terms of the arrangements range from 4 to 6 years.

The calculated interest rates used vary depending on the length of the lease. For the fiscal year ended June 30, 2024, the City recognized $24,420 in lease revenue and $605 in interest revenue.

A summary of changes in lease receivable for the fiscal year ended June 30, 2024 is as follows:

Balance Balance Due within Due in More
July 1, 2023 Additions Deletions June 30, 2024 One Year Than One Year Leases receivable 43,413 $ $ (24,420) - $ $ 18,993 $ 16,091 $ 2,902 Classification
As of June 30, 2024, the required payments for these leases, including interest, are:

Year Ending
June 30, Principal Interest Total
2025 $ 16,091 $ 162 $ 16,253
2026 1,735 40 1,775
2027 1,167 7 1,174
Total $ 18,993 $ 209 $ 19,202

7.2.a
Packet Pg. 149 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
66 Note 3 – Lease Receivable (Continued)
B. Business-Type Activities (Continued)
As of June 30, 2024, the amounts reported as deferred inflows of resources will be recognized as lease revenue as follows:

Year Ending Amortization
June 30, Schedule
2025 $ 16,091
2026 1,735
2027 1,167
Total $ 18,993
Note 4 – Loans and Notes Receivable
A. Governmental Activities
The City engages in programs designed to encourage business enterprises, construction or improvements in lowto- moderate income housing, or other projects. Under these programs, grants or loans are provided with favorable terms to businesses, homeowners or developers who agree to spend these funds in accordance with the City's terms. Although these notes are expected to be repaid in full, their balance has been offset in the fund financial statements by deferred inflows of resources, as they are not expected to be repaid within the first 60 days of fiscal year 2024.

Summary of changes in loans and notes receivable for the year ended June 30, 2024 is as follows:

Loans and Notes Loans and Notes Unavailable
Receivable Receivable Revenue
Balance Balance Balance
July 1, 2023 Additions Deletions June 30, 2024 June 30, 2024 Housing Authority of the County of Stanislaus $ 290,000 $ - $ 290,000 - $ $ 290,000 Greater Valley Housing Development Corporation 900,000 - 900,000 - 900,000 Housing Rehabilitation and Affordable Housing 464,884 (42,249) - 422,635 422,635 Total loans and notes receivable $ 1,654,884 $ (42,249) - $ $ 1,612,635 $ 1,612,635 Housing Authority of the County of Stanislaus
On December 1, 1997, the City entered into a 30-year loan agreement with the Housing Authority of the County of Stanislaus in the amount of $170,000. The note does not bear interest and principal payments are deferred for 30 years with a final maturity date of December 1, 2027. The balance of this note has been offset by deferred inflows of resources in the amount of $170,000 in the fund financial statements.

On November 19, 1998, the City entered into a 30-year loan agreement with the Housing Authority of the County of Stanislaus in the amount of $120,000. The note does not bear interest and principal payments are deferred for 30 years with a final maturity date of November 19, 2028. The balance of this note has been offset by deferred inflows of resources in the amount of $120,000 in the fund financial statements.

7.2.a
Packet Pg. 150 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
67 Note 4 – Loan and Notes Receivable (Continued)
A. Governmental Activities (Continued)
Greater Valley Housing Development Corporation
On February 1, 2007, the City entered into a loan agreement with the Greater Valley Housing Development Corporation in the amount of $900,000. These funds were used to build an elderly housing project for low-income senior citizens known as the "Las Palmas Place Senior Apartments". Funding for this loan is derived from developer fees collected over the past few years. As of June 30, 2018, the City had advanced the full amount of $900,000 to the Greater Valley Housing Development Corporation. The balance of this loan has been offset by related deferred inflows of resources. There are no payments of principal and interest during the first three years of the initial term of this loan. Commencing on the fourth anniversary (February 2011) all accrued interest and principal shall be repaid as long as the Project is generating positive cash flow as determined by a formula in the promissory note. As positive cash flow was not generated during the year, the interest and principal amount is still outstanding.

Housing Rehabilitation and Affordable Housing
The City has provided loans to various homeowners and businesses for rehabilitation. The loans have various interest rates and payment dates. The balance of these loans receivable at June 30, 2024 was $422,635. The balance of these loans have been offset by deferred inflows of resources in the amount of $422,635 in the financial statements.

B. Fiduciary Fund
Notes receivable as of June 30, 2024, was as follows:

Balance Balance
July 1, 2023 Additions Deletions June 30, 2024
Darron Silva Promissory Note $ 975,361 $ (18,948) - $ $ 956,413 Total notes receivable $ 975,361 $ (18,948) - $ $ 956,413 Darron Silva Promissory Note
On November 21, 2018, the City entered into a promissory note secured by deed of trust dated February 19, 2020 with Darron Silva, a developer within the City, in the amount of $1,045,000 for the sale of land to be developed.

On March 22, 2020 an amended promissory note secured by deed of trust was executed for the benefit of the City and encumbering the parcel. The promissory note bears 5% fixed interest rate per annum, payable at $5,610 per month for a term of 5 years amortized over 30 years. The outstanding principal amount plus any accrued and unpaid interest shall be due and payable on August 1, 2024. The balance of the note receivable at June 30, 2024 was $956,413.

7.2.a
Packet Pg. 151 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
68 Note 5 – Interfund Transactions
A. Due From and To Other Funds
Due from and to other funds as of June 30, 2024, was as follows:

Receivable Fund Payable Fund Amount Purpose
General Fund CFD 2003-1 Public Safety/Fire $ 4,286,223 Overdrawn Cash Protection Services Special Revenue Fund
General Fund Patterson Public Financing Authority Debt Service Fund 385,057 Overdrawn Cash General Fund Federal CDBG Grant Special Revenue Fund 193,573 Overdrawn Cash Total $ 4,864,853
B. Advances To and From Other Funds
Water Fund Advance to the Sewer Fund
On March 14, 2023, the Sewer Fund entered into loan agreement with the Water Fund in the amount of $1,600,000. The loan is to be repaid over 10 years at 2.425% interest rate per year. This loan is for funding the settlement with Patterson Ranch Development for oversized storm drain infrastructure. At June 30, 2024, the outstanding balance of the agreement was $1,456,872.

The annual requirements to amortize the loan are as follows:

Year Ending
June 30, Principal Interest Total
2025 146,638 $ $ 33,706 $ 180,344
2026 150,233 30,111 180,344
2027 153,917 26,427 180,344
2028 157,692 22,653 180,345
2029 161,558 18,786 180,344
2030-2033 686,834 34,543 721,377
Total $ 1,456,872 $ 166,226 $ 1,623,098

7.2.a
Packet Pg. 152 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
69 Note 5 – Interfund Transactions (Continued)
C. Transfers In and Out
Transfers in and out for the year ended June 30, 2024, was as follows:

Transfers In Transfers Out Amount Purpose
General Fund Gas Tax Special Revenue Fund $ 300,000 Capital projects General Fund Landscape Maintenance District Special Revenue Fund 1,123,430 Administration General Fund Benefit Assessment Districts Special Revenue Fund 27,132 Administration General Fund Community Facility Impact Fee Capital Projects Fund Indirect overhead 4,000 General Fund Water Enterprise Fund 806,495 Indirect overhead General Fund Sewer Enterprise Fund 887,262 Indirect overhead General Fund Garbage Enterprise Fund 689,206 Indirect overhead Subtotal 3,837,525
CFD 2003-1 Public Safety/Fire
Protection Services Fund CFD 2015-2 Special Revenue Fund Assessments 85,000 CFD 2003-1 Public Safety/Fire Patterson Garden Fire Suppression Protection Services Fund Assessment Special Revenue Fund 500,000 Assessments Subtotal 585,000
Street Project Capital Projects Fund General Fund 3,792 Capital projects Street Project Capital Projects Fund Measure L Special Revenue Fund 133,188 Capital projects Local Transportation Fund Non Motorized
Street Project Capital Projects Fund Special Revenue Fund 200 Capital projects Street Project Capital Projects Fund Local Transportation Fund Special Revenue Fund 20,000 Capital projects Street Project Capital Projects Fund Gas Tax Special Revenue Fund 55,762 Capital projects Street Project Capital Projects Fund Street Improvement Impact Fee Capital Projects Fund 76,743 Capital projects Street Project Capital Projects Fund Garbage Enterprise Fund 100,000 Capital projects Subtotal 389,685
Sewer Enterprise Fund General Fund 76,211 Debt service
Sewer Enterprise Fund Benefit Assessment Districts Special Revenue Fund 86,597 Administration Sewer Enterprise Fund CFD 2013-1 Special Revenue Fund 10,000 Capital projects Subtotal 172,808
Water Fund Measure L Special Revenue Fund 181 Indirect overhead Measure L Special Revenue Fund Water Fund 413,364 Indirect overhead Total $ 5,398,563
Note 6 – Due from Fiduciary Funds
Due from fiduciary funds as of June 30, 2024, was as follows:

Receivable Fund Payable Fund Amount Purpose
General Fund CFD 2015-1 Arambel-KDN Custodial Fund $ 47,815 Overdrawn Cash General Fund CFD 2018-1 VOP Infrastructure Custodial Fund 4,504,521 Overdrawn Cash Total $ 4,552,336

7.2.a
Packet Pg. 153 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
70 Note 7 – Capital Assets
A. Governmental Activities
Summary of changes in capital assets for governmental activities for the year ended June 30, 2024 is as follows:

Balance Adjustments/ Balance
July 1, 2023 Additions Deletions Transfers June 30, 2024 Capital assets, not being depreciated
Land $ 5,459,235 $ - $ - $ 5,459,235 - $
Construction in progress 9,739,792 4,531,491 (65,145) (7,890,635) 6,315,503 Total capital assets, not being depreciated 15,199,027 4,531,491 (65,145) (7,890,635) 11,774,738 Capital assets being depreciated/amortized:

Building 24,538,184 - - 24,538,184 -
Improvements 16,991,017 409,972 2,200 - 17,403,189
Infrastructure 42,179,177 563,563 6,261,278 - 49,004,018 Equipment 7,381,092 1,163,270 (408,137) 1,627,157 9,763,382 Lease assets - buildings and improvements 550,753 77,972 - 628,725 - Subscription assets 110,022 - - 110,022 -
Total capital assets being depreciated/amortized 91,750,245 2,214,777 (408,137) 7,890,635 101,447,520 Less accumulated depreciation/amortization for:

Building (8,508,244) (613,840) - (9,122,084) -
Improvements (10,598,593) (851,762) - (11,450,355) -
Infrastructure (11,459,957) (1,707,376) - (13,167,333) - Equipment (6,367,747) (569,846) 408,137 (6,529,456) -
Lease assets - buildings and improvements (39,420) (169,543) - (208,963) - Subscription assets (52,810) (52,810) - (105,620) -
Total accumulated depreciation/amortization (37,026,771) (3,965,177) 408,137 (40,583,811) - Total capital assets, being
depreciated/amortized, net 54,723,474 (1,750,400) 7,890,635 - 60,863,709 Total capital assets, net $ 69,922,501 $ 2,781,091 $ (65,145) $ 72,638,447 - $ Governmental activities depreciation and amortization expenses for capital assets for the year ended June 30, 2024 are as follows:

General government $ 578,854
Fire 460,457
Public works 2,173,768
Park and recreation 752,098
Total depreciation/amortization 3,965,177$

7.2.a
Packet Pg. 154 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
71 Note 7 – Capital Assets (Continued)
B. Business-Type Activities
Summary of changes in capital assets for business-type activities for the year ended June 30, 2024 is as follows:

Balance Adjustments/ Balance
July 1, 2023 Additions Deletions Transfers June 30, 2024 Capital assets, not being depreciated
Land $ 7,455,922 $ - $ - $ 7,455,922 - $
Construction in progress 12,211,807 2,150,560 (5,688,452) - 8,673,915 Total capital assets, not being depreciated 19,667,729 2,150,560 (5,688,452) - 16,129,837 Capital assets, being depreciated
Building - - 3,608,900 - 3,608,900
Infrastructure 76,596,776 357,901 1,866,919 - 78,821,596 Equipment 7,729,204 925,412 212,633 - 8,867,249
Subtotal 84,325,980 1,283,313 5,688,452 - 91,297,745
Less: accumulated depreciation
Building (30,074) - - (30,074) -
Infrastructure (38,370,744) (2,830,006) - (41,200,750) - Equipment (5,303,567) (454,007) - (5,757,574) -
Subtotal (43,674,311) (3,314,087) - (46,988,398) -
Total capital assets, being depreciated, net 40,651,669 (2,030,774) 5,688,452 - 44,309,347 Total capital assets, net $ 60,319,398 $ 119,786 $ - $ 60,439,184 - $ Business-type activities depreciation expenses for capital assets for the year ended June 30, 2024 are as follows:

Water $ 1,210,702
Sewer 2,052,579
Garbage 50,806
Total depreciation 3,314,087$

7.2.a
Packet Pg. 155 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
72 Note 8 – Long-Term Debt
A. Governmental Activities
Summary of changes in long-term liabilities for the governmental activities for the year ended June 30, 2024 is as follows:

Original Balance Balance Due Within Due In More
Issuance July 1, 2023 Additions Deletions June 30, 2024 One Year Than One Year Private Placement:

PPFA 2013 Heartland Ranch Revenue Bonds 4,963,568 $ $ 1,385,747 $ (470,959) - $ $ 914,788 $ 273,775 $ 641,013 PPFA 2013 Series A Revenue Bonds 67,190,000 53,265,000 (53,265,000) - - - - Less: Bond Discount (853,389) (568,849) 568,849 - - - - PPFA 2013 Series B Revenue Bonds 6,465,000 5,235,000 (5,235,000) - - - - PPFA 2023 Series A Special Tax
Special Revenue Refunding Bonds 54,370,000 54,370,000 - (10,000) 54,360,000 2,110,000 52,250,000 Less: Bond Premium 6,617,848 6,617,848 - (220,595) 6,397,253 6,397,253 - 2018 Lease Revenue Bonds 2,429,000 1,753,961 (149,510) - 1,604,451 154,743 1,449,708 Direct Borrowing:

Finance purchase agreements 3,517,975 3,517,975 - 3,517,975 - 148,672 3,369,303 Lease liability 498,610 420,639 77,971 (132,637) 365,973 128,273 237,700 Subscription liability 110,020 57,903 (53,384) - 4,519 4,519 - Keystone Corporation Settlement 1,300,000 364,000 - 364,000 - 364,000 - Patterson Ranch Development Settlement 1,333,355 1,333,355 - 1,333,355 - - 1,333,355 Total long-term debt $ 63,246,756 147,941,987 $ $ 64,583,794 $ 68,862,314 (58,968,236) $ $ 2,819,982 $ 66,042,332 2013 Heartland Ranch Revenue Bonds
On July 30, 2013, the Patterson Public Financing Authority issued $4,963,568 of revenue refunding bonds (Series 2013 Heartland Ranch Revenue Bonds) to repay, in part, the principal of the Authority's 2002 Heartland Ranch Revenue bond. Interest on the bonds is payable semi-annually on March 2 and September 2 of each year through September 2, 2027, beginning on March 2, 2014. The interest rate on the bonds is 3.73 percent. Principal payments are due annually beginning on September 2, 2014. At June 30, 2024, the outstanding balance of the 2013 Heartland Ranch Revenue bonds was $914,788.

The annual debt service requirements are as follows:

Year Ending
June 30, Principal Interest Total
2025 273,775 $ 29,016 $ 302,791 $
2026 284,557 18,603 303,160
2027 174,771 10,036 184,807
2028 181,685 3,388 185,073
Total 914,788 $ 61,043 $ 975,831 $
PPFA 2013 Series A Revenue Bonds
On August 14, 2013, the Patterson Public Financing Authority issued $67,190,000 of special tax refunding bonds (Senior Series 2013A) to purchase, in part, the 2013-A1, 2013-A2, and 2013-B special tax bonds issued by the West Patterson Financing Authority. Interest on the bonds is payable semi-annually on March 1 and September 1 of each year through September 1, 2039, beginning on March 1, 2014. The interest rate on the bond is 3.00 percent. Principal payments are due annually beginning on September 1, 2014. The bonds are secured by a first pledge of the investment revenues and funds on deposit in the Bond Fund, Reserve Fund, and Special Tax Fund.

The PPFA 2013 Series A Revenue Bonds were refunded with the issuance of the PPFA 2023 Series A Special Tax Revenue Refunding Bonds.

7.2.a
Packet Pg. 156 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
73 Note 8 – Long-Term Debt (Continued)
A. Governmental Activities (Continued)
PPFA 2013 Series B Revenue Bonds
On August 14, 2013, the Patterson Public Financing Authority issued $6,465,000 of special tax refunding bonds (Subordinate Series 2013B) to purchase, in part, the 2013-A1, 2013-A2, and 2013-B special tax bonds Issued by the West Patterson Financing Authority. Interest on the bonds is payable semi-annually on March 1 and September 1 of each year through September 1, 2039, beginning on March 1, 2014. The interest rate on the bonds is 5.875 percent. Principal payments are due annually beginning on September 1, 2014. The bonds are secured by a first pledge of the investment revenues and funds on deposit in the Bond Fund, Reserve Fund, and Special Tax Fund. The PPFA 2013 Series B Revenue Bonds were refunded with the issuance of the PPFA 2023 Series A Special Tax Revenue Refunding Bonds.

PPFA 2023 Series A Special Tax Revenue Refunding Bonds
On August 1, 2023, the Patterson Public Financing Authority issued $54,370,000 of special tax revenue refunding bonds (Series 2023 A) to refund the 2013 PPFA Series A Bonds and the 2013 PPFA Series B Bonds which had outstanding balances of $53,265,000 and $5,235,000, respectively. The bonds were sold with a net original issue premium of $6,617,848 and costs of issuance of $1,029,942 (including the underwriter’s discount, the fee for bond insurance and a surety fee for the reserve fund).

Interest on the bonds is payable semi-annually on March 1 and September 1 of each year through September 1, 2024, beginning on March 1, 2024. The interest rates on the bonds range from 2.790 to 3.890 percent. Principal payments are due annually beginning on September 1, 2024. The bonds are secured by a first pledge of the investment revenues and funds on deposit in the Bond Fund, Reserve Fund, and Special Tax Fund.

At June 30, 2024, the outstanding balance of the PPFA 2023 Series A Special Tax Revenue Refunding Bonds was $54,360,000.

The annual debt service requirements are as follows:

Year Ending
June 30, Principal Interest Total
2025 2,110,000 $ 2,665,250 $ 4,775,250 $
2026 2,395,000 2,552,625 4,947,625
2027 2,550,000 2,429,000 4,979,000
2028 2,685,000 2,298,125 4,983,125
2029 2,810,000 2,160,750 4,970,750
2030-2034 16,250,000 8,488,250 24,738,250
2035-2039 20,455,000 3,997,875 24,452,875
2040 5,105,000 127,625 5,232,625
Total 54,360,000 $ $ 24,719,500 $ 79,079,500

7.2.a
Packet Pg. 157 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
74 Note 8 – Long-Term Debt (Continued)
A. Governmental Activities (Continued)
2018 Lease Revenue Bonds
In June 2018, the Patterson Public Financing Authority issued $2,429,000 of Lease Revenue Bonds, Series 2018 through ZMFU II, INC., a corporation organized under the laws of the State of Utah. The proceeds were utilized to provide funding for acquisition of land for a multipurpose center and adjacent park site. The bonds mature annually in amounts ranging from $62,400 to $102,760. Interest is due and payable semiannually at a rate of 3.47 percent. At June 30, 2024, the outstanding balance of the 2018 Lease Revenue Bonds was $1,604,451.

The annual debt service requirements are as follows:

Year Ending
June 30, Principal Interest Total
2025 154,743 $ 54,344 $ 209,087 $
2026 160,158 48,927 209,085
2027 165,764 43,322 209,086
2028 171,566 37,520 209,086
2029 177,571 31,515 209,086
2030-2033 774,649 61,694 836,343
Total 1,604,451 $ 277,322 $ 1,881,773 $
Finance Purchase Agreements
The City has entered into various finance purchase agreements for various fire equipment purchases. These lease qualifies as a capital lease for accounting purposes and, therefore, has been recorded at the present value of future minimum lease payments as of the date of inception. The finance purchase agreements carry annual interest rates from 5.23 to 6.76 percent with principal and interest payments due bi-annually. The asset acquired under the finance purchase agreement is classified as machinery, equipment and vehicles. The gross value of equipment acquired under finance purchase agreements at June 30, 2024, was $3,517,975, with an accumulated amortization of $203,395. The outstanding balance at June 30, 2024, was $3,517,975.

The annual debt service requirements are as follows:

Year Ending
June 30, Principal Interest Total
2025 148,672 $ 212,920 $ 361,592 $
2026 156,448 205,144 361,592
2027 278,346 196,962 475,308
2028 294,644 180,664 475,308
2029 311,911 163,397 475,308
2030-2034 1,593,807 510,928 2,104,735
2035-2037 734,147 109,089 843,236
Total 3,517,975 $ $ 1,579,104 $ 5,097,079

7.2.a
Packet Pg. 158 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
75 Note 8 – Long-Term Debt (Continued)
A. Governmental Activities (Continued)
Lease Payable
The City has entered into leases for building space. The terms of the agreements range from 2 to 6 years. The interest rate on the lease payable was 1.875%. As of June 30, 2024, the capitalized right-to-use assets related to leases were $550,753 and the total lease liability was $365,973, of which $128,273 is reported as a current liability representing the amount due within the next fiscal year.

The annual debt service requirements are as follows:

Year Ending
June 30, Principal Interest Total
2025 128,273 $ 4,691 $ 132,964 $
2026 129,609 2,196 131,805
2027 73,633 705 74,338
2028 15,483 336 15,819
2029 18,975 102 19,077
Total $ 365,973 $ 8,030 $ 374,003
Subscription Liability
The City’s Governmental Activities has entered into subscription-based information technology arrangements (SBITAs) for services related to cloud-based software applications, data storage and management services. Under the terms of these arrangements, the Town does not take possession of the software at any time and the vendor provides ongoing services for the software's operation. The subscription period is 25 months and the calculated interest rate used was 2.92%.

As of June 30, 2024, the capitalized right-to-use assets related to SBITAs were $110,022 and the total subscription liability was $4,519, of which $4,519 is reported as a current liability representing the amount due within the next fiscal year.

The annual debt service requirements on the subscription liability are as follows:

Year Ending
June 30, Principal Interest Total
2025 4,519 $ 11 $ 4,530 $
Keystone Corporation Settlement
On June 20, 2012, the City filed a complaint against Keystone Corporation and the Keystone Pacific Business Park for breach of contract (“Keystone”) based on Keystone’s failure to pay its share of General Plan updates costs incurred by the City. After this filing, the City and Keystone immediately began settlement discussions and requested the case be stayed. Subsequently, a Request for Dismissal was filed on June 24, 2013. Following the dismissal, the City and Keystone had settlement discussions regarding possible money owed to Keystone for the environmental and engineering work performed in relation to the Keystone project, which was not the subject of the City’s breach of contract claim.

7.2.a
Packet Pg. 159 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
76 Note 8 – Long-Term Debt (Continued)
A. Governmental Activities (Continued)
Keystone Corporation Settlement (Continued)
Under the terms of the settlement agreement, the total amount the City will pay Keystone is $1,300,000. Of that sum, $936,000 will be paid in three annual installments, beginning July 15, 2014 with the final payment due in July 2016. The remaining amount of the settlement in the amount of $364,000 will be paid to Keystone upon collection from the entitlement or development of undeveloped land in the West Patterson Business Park. The settlement agreement does not require payment of the $364,000 in any particular time frame other than as early in the entitlement or development process as possible, but no later than entering into development agreements or approving tentative maps or final maps on currently underdeveloped land in the West Patterson Business Park. At June 30, 2024, the remaining balance of the settlement payable was $364,000.

Patterson Ranch Development Settlement
On November 3, 2022, Patterson Ranch Development LLC (PRD LLC) sent a letter to the City alleging that the City failed to comply with its Reimbursement Administration obligations under Section 5.9 of the Development Agreement in that it failed to condition the subdivision map approvals or reach a reimbursement agreement with the Stakeholders and PRD LLC to allow for the timely payment of the Reimbursement Obligation owed to PRD LLC for the Public Facilities Improvements. The City and PRD LLC had settlement discussions and PRD LLC has agreed to waive their claim as to the timing of the reimbursement obligation in exchange for a portion of the reimbursement obligation being paid immediately and the rest of the reimbursement obligation being covered after the issuance of bond proceeds from Community Facilities District 2018-1. Under the terms of the settlement agreement, the total amount the City will pay PRD LLC is $1,333,355. At June 30, 2024, the outstanding balance of the settlement liability was $1,333,355.

B. Business-Type Activities
Summary of changes in long-term liabilities for the business-type activities for the year ended June 30, 2024 is as follows:

Original Balance Balance Due Within Due In More
Issuance July 1, 2023 Additions Deletions June 30, 2024 One Year Than One Year Water Fund:

Public Offering:
2019A Water Revenue Bonds $ 9,215,000 $ 8,965,000 $ (70,000) - $ $ 8,895,000 $ 75,000 $ 8,820,000 Add: Bond Premium 517,461 - (19,527) - 497,934 497,934 - 2019B Water Revenue Refunding Bonds 7,015,000 5,930,000 (270,000) - 5,660,000 280,000 5,380,000 Add: Bond Premium 762,768 - (28,514) - 734,254 734,254 - Direct Borrowing:
2021 State Revolving Fund Loan 4,000,000 41,000 1,934,932 1,975,932 - 1,975,932 - Total water fund 20,230,000 16,216,229 1,934,932 (388,041) 17,763,120 355,000 17,408,120 Sewer Fund:

Public Offering:
2009 Sewer Revenue Bonds 3,195,000 90,000 (90,000) - - - - Private Placement:
2017 Sewer Refunding Revenue Bonds 2,712,200 2,511,000 (32,600) - 2,478,400 128,700 2,349,700 Direct Borrowing:
2008 State Revolving Fund loan 774,790 358,490 (47,355) - 311,135 48,586 262,549 2021 State Revolving Fund Loan 2,084,000 621,907 775,625 1,397,532 - 61,816 1,335,716 Banc of America loan 951,540 1,221,057 (92,790) - 1,128,267 113,620 1,014,647 CEC loan 2,876,172 1,145,765 (203,649) - 942,116 205,721 736,395 Patterson Ranch Development Settlement 2,723,211 1,123,211 - 1,123,211 - 1,123,211 - Total sewer fund 15,316,913 7,071,430 775,625 (466,394) 7,380,661 558,443 6,822,218 Total business-type activities $ 35,546,913 $ 23,287,659 $ 2,710,557 $ (854,435) $ 25,143,781 $ 913,443 $ 24,230,338

7.2.a
Packet Pg. 160 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
77 Note 8 – Long-Term Debt (Continued)
B. Business-Type Activities (Continued)
2019A Water Revenue Bonds
On December 24, 2019, the Patterson Public Financing Authority issued $9,215,000 Water Revenue Bonds, Series 2019A (“Series 2019A”). The City entered into an Installment Sale Agreement dated December 1, 2019 with the Patterson Public Financing Authority to assist with the financing of certain water system improvements in the amount of $9,591,000. The Series 2019A bonds are scheduled to mature on each June 1 from 2021 to 2049 with serial bonds from 2021 to 2039 and principal amounts ranging from $50,000 to $120,000 and term bonds maturing in 2044 in the amount of $3,415,000 and 2049 in the amount of $4,080,000. Interest rates range from

2.75 percent to 4.00 percent. The Series 2019A bonds are secured by a pledge of Net Revenues of the water System and are on parity with the Water Revenue Bonds, Series 2010. The Series 2019A bonds were sold with a net original issue premium of $585,803 and costs of issuance of $209,803 (including the underwriter’s discount, the fee for bond insurance and a surety fee for the reserve fund). At June 30, 2024, the outstanding balance of the 2019A Water Revenue Bonds was $8,895,000.

The annual debt service requirements are as follows:

Year Ending
June 30 Principal Interest Total
2025 75,000 $ 310,544 $ 385,544 $
2026 70,000 307,544 377,544
2027 75,000 304,744 379,744
2028 80,000 301,744 381,744
2029 85,000 298,544 383,544
2030-2034 460,000 1,440,719 1,900,719
2035-2039 555,000 1,345,456 1,900,456
2040-2044 3,415,000 1,032,800 4,447,800
2045-2049 4,080,000 374,400 4,454,400
Total 8,895,000 $ $ 5,716,495 $ 14,611,495
2019B Water Revenue Refunding Bonds
On March 3, 2020 the PPFA issued $7,015,000 in Water Revenue Refunding Bonds, Series 2019B (“Series 2019B”) in order to refund in full the Series 2010 Water Revenue Bonds. The City entered into a First Supplemental Installment Sale Agreement dated March 1, 2021. Proceeds from the issuance of the bonds were held by the Bank of New York Mellon as Escrow Agent in escrow to redeem the remaining principal and accrued interest due on the Water Revenue Bonds, Series 2010 on June 1, 2021.

The Series 2019B bonds are scheduled to mature as serial bonds on each June 1 from 2021 to 2039 with an interest rate of 4.00 percent. The bonds are secured by a pledge of net revenues of the water system and are on parity with the Series 2019A bonds. The bonds were sold with a net original issue premium of $855,441 and costs of issuance of $158,580 (including the underwriter’s discount, the fee for bond insurance and a surety fee for the reserve fund).

7.2.a
Packet Pg. 161 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
78 Note 8 – Long-Term Debt (Continued)
B. Business-Type Activities (Continued)
2019B Water Revenue Refunding Bonds (Continued)
Interest on the refunding bonds is payable each December 1 and June 1 beginning on June 1, 2020. Principal is payable each June 1 beginning June 1, 2021 to June 1, 2039. At June 30, 2024, the outstanding balance of the 2019B Sewer Refunding Revenue Bonds was $5,660,000.

The annual debt service requirements are as follows:

Year Ending
June 30 Principal Interest Total
2025 280,000 $ 226,400 $ 506,400 $
2026 295,000 215,200 510,200
2027 305,000 197,300 502,300
2028 315,000 184,900 499,900
2029 330,000 178,600 508,600
2030-2034 1,865,000 683,200 2,548,200
2035-2039 2,270,000 279,600 2,549,600
Total 5,660,000 $ 1,965,200 $ 7,625,200 $
2021 Water State Revolving Fund Loan
In 2021, the City entered into an agreement with the State Water Resource Board for a loan in the amount of $4,000,000. The loan amount is based on the amount of draws by the City for reimbursable costs. The loan bears interest in the amount of 1.2 percent. The loan matures in October 2050. At June 30, 2024, the outstanding balance of the State Revolving Fund Loan was $1,975,932.

The annual debt service requirements are as follows:

Year Ending
June 30 Principal Interest Total
2025 - $ 10,354 $ 10,354 $
2026 88,004 23,711 111,715
2027 89,060 22,655 111,715
2028 90,128 21,586 111,714
2029 91,210 20,505 111,715
2030-2034 472,732 85,842 558,574
2035-2039 501,785 56,789 558,574
2040-2044 532,623 25,950 558,573
2050 110,390 1,325 111,715
Total 1,975,932 $ 268,717 $ 2,244,649 $

7.2.a
Packet Pg. 162 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
79 Note 8 – Long-Term Debt (Continued)
B. Business-Type Activities (Continued)
2009 Sewer Revenue Bonds
In May 2009, the Patterson Financing Authority authorized the issuance of $3,195,000 of revenue bonds (Series 2009) to (i) finance, together with other available moneys, certain wastewater system improvements, (ii) fund a reserve for the bonds, and (iii) to pay the cost of issuance of the bonds. The bonds were issued at a discount of $9,180 and issuance costs totaled $219,345. Principal is payable on June 1 of each year through June 2024.

Interest is payable semi-annually, on each June 1 and December 1. Interest rates range from 1.55 percent to 5.50 percent. The bonds are secured by a pledge and lien on the net revenues of the City's municipal wastewater enterprise. During fiscal year 2017-18 the bonds were partially refunded by the issuance of the 2017 Sewer Revenue Bonds. At June 30, 2024, the 2009 Sewer Revenue Bonds were paid in full. 2017 Sewer Refunding Revenue Bonds
On September 5, 2017, Resolution 2017-49 approved the refinancing of a portion of the Patterson Public Financing Authority Revenue Bonds, Series 2009 (City of Patterson Wastewater System Financing Project) (the “2009 Bonds”). The 2009 Bonds were originally issued to finance the costs of acquiring and constructing wastewater system improvements, fund a reserve fund and pay costs of issuance.

The refinancing in the amount of $2,712,200 closed on September 21, 2017 as a direct placement to Capital One Public Funding at an interest rate of 3.4 percent. The refinancing refunded the 2039 term bond of the 2009 Bonds consisting of sinking fund payments from 2025 to 2039. Savings from the refinancing were capitalized in the amount of $469,905 and will be held by the City to provide additional funding for wastewater capital projects.

Interest on the refinancing is payable each December 1 and June 1 beginning December 1, 2017. Principal is payable each June 1 beginning June 1, 2018 to June 1, 2039. At June 30, 2024, the outstanding balance of the 2017 Sewer Refunding Revenue Bonds was $2,478,400.

The annual debt service requirements are as follows:

Year Ending
June 30 Principal Interest Total
2025 128,700 $ 84,266 $ 212,966 $
2026 132,800 79,890 212,690
2027 136,800 75,375 212,175
2028 145,700 70,723 216,423
2029 149,300 65,770 215,070
2030-2034 815,300 249,907 1,065,207
2035-2039 969,800 101,028 1,070,828
Total 2,478,400 $ 726,959 $ 3,205,359 $

7.2.a
Packet Pg. 163 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
80 Note 8 – Long-Term Debt (Continued)
B. Business-Type Activities (Continued)
2008 Sewer State Revolving Fund Loan
In 2008, the City entered into an agreement with the State Water Resource Board for a loan in the amount of $1,069,602. However, the project for the loan did not commence until fiscal year 2010. The loan amount is based on the amount of draws by the City for reimbursable costs. The loan bears interest at the amount of 1.3 percent.

The loan matures in October 2029. At June 30, 2024, the outstanding balance of the State Revolving Fund Loan was $311,135.

The annual debt service requirements are as follows:

Year Ending
June 30 Principal Interest Total
2025 48,586 $ 8,089 $ 56,675 $
2026 49,849 6,826 56,675
2027 51,145 5,530 56,675
2028 52,475 4,200 56,675
2029 53,840 2,836 56,676
2030 55,240 1,436 56,676
Total 311,135 $ 28,917 $ 340,052 $
2021 Sewer State Revolving Fund Loan
In 2021, the City entered into an agreement with the State Water Resource Board for a loan in the amount of $2,084,000 (of which $520,367 was forgiven). However, the project for the loan did not commence until the current fiscal year. The loan amount is based on the amount of draws by the City for reimbursable costs. The loan bears interest in the amount of 1.3 percent. The loan matures in October 2044. At June 30, 2024, the outstanding balance of the State Revolving Fund Loan was $1,397,532.

The annual debt service requirements are as follows:

Year Ending
June 30 Principal Interest Total
2024 61,816 $ 18,221 $ 80,037 $
2025 62,620 17,417 80,037
2026 63,434 16,603 80,037
2027 64,259 15,779 80,038
2028 65,094 14,943 80,037
2029-2033 338,386 61,801 400,187
2034-2038 360,960 39,226 400,186
2039-2044 380,963 11,068 392,031
Total 1,397,532 $ 195,058 $ 1,592,590 $

7.2.a
Packet Pg. 164 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
81 Note 8 – Long-Term Debt (Continued)
B. Business-Type Activities (Continued)
Banc of America Public Capital Loan
In 2014, the City entered into an agreement with Banc of America Public Capital for a loan in the amount of $1,668,961 which was allocated between the General and Sewer Funds. Interest is calculated at 3.46 percent per annum payable each April and October 25 of each year through April 25, 2029. Principal payments are due semiannually on April 25 and October 25 are payable from energy savings from different funds that benefitted from solar panels, streetlights, and energy efficient fixtures. In 2015, the remaining General Fund balance of $686,473 was transferred to the Sewer fund. At June 30, 2024, the outstanding balance of the Banc of America Public Capital Loan was $1,128,267.

Year Ending
June 30 Principal Interest Total
2025 $ 113,620 $ 38,063 $ 151,683
2026 136,041 33,940 169,981
2027 160,803 29,020 189,823
2028 409,222 21,326 430,548
2029 308,581 8,030 316,611
Total 1,128,267 $ $ 130,379 $ 1,258,646
CEC Loan
In 2014, the City entered into an agreement with the California Energy Commission for a loan in the amount of $2,876,172. Interest is calculated at 1.0 percent per annum payable each June and December 22 of each year through December 22, 2028. Principal payments are due semi-annually on June 22 and December 22 and are paid from energy savings from the different funds that benefit from the solar panels, streetlights, and energy efficient fixtures. At June 30, 2024, the outstanding balance of the CEC loan was $942,116.

The annual debt service requirements are as follows:

Year Ending
June 30 Principal Interest Total
2025 $ 205,721 $ 8,910 $ 214,631
2026 207,783 6,847 214,630
2027 209,866 4,764 214,630
2028 211,964 2,666 214,630
2029 106,782 535 107,317
Total $ 942,116 $ 23,722 $ 965,838

7.2.a
Packet Pg. 165 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
82 Note 8 – Long-Term Debt (Continued)
B. Business-Type Activities (Continued)
Patterson Ranch Development Settlement
On November 3, 2022, Patterson Ranch Development LLC (PRD LLC) sent a letter to the City alleging that the City failed to comply with its Reimbursement Administration obligations under Section 5.9 of the Development Agreement in that it failed to condition the subdivision map approvals or reach a reimbursement agreement with the Stakeholders and PRD LLC to allow for the timely payment of the Reimbursement Obligation owed to PRD LLC for the Public Facilities Improvements. The City and PRD LLC had settlement discussions and PRD LLC has agreed to waive their claim as to the timing of the reimbursement obligation in exchange for a portion of the reimbursement obligation being paid immediately and the rest of the reimbursement obligation being covered after the issuance of bond proceeds from Community Facilities District 2018-1. Under the terms of the settlement agreement, the total amount the City will pay PRD LLC is $2,723,211. In Fiscal Year 2023, the Water Fund advanced the Sewer Fund $1,600,000 to pay for a portion of the settlement (see Note 5 B). At June 30, 2024, the outstanding balance of the settlement liability was $1,123,211.

Note 9 – Compensated Absences
A. Governmental Activities
For the governmental activities, compensated absences are generally liquidated by the General Fund.

Summary of changes in compensated absences for the year ended June 30, 2024 is as follows:

Balance Balance Due Within Due In More
July 1, 2023 Additions Deletions June 30, 2024 One Year Than One Year Governmental Activities $ 667,297 $ 625,326 $ (581,261) $ 711,362 $ 711,362 $ - Classification
B. Business-Type Activities
Summary of changes in compensated absences for the year ended June 30, 2024 is as follows:

Balance Balance Due Within Due In More
July 1, 2023 Additions Deletions June 30, 2024 One Year Than One Year Business-Type Activities:

Water Fund $ 137,690 $ 140,979 $ (119,934) $ 158,735 $ 158,735 $ - Sewer Fund 177,944 156,343 (143,891) 190,396 190,396 -
Garbage Fund 46,958 49,722 (45,021) 51,659 51,659 -
Total business-type activities $ 362,592 $ 347,044 $ (308,846) $ 400,790 $ 400,790 $ - Classification

7.2.a
Packet Pg. 166 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
83 Note 10 – Conduit Debt
Special assessment districts in various parts of the City have issued debt to finance infrastructure improvements and facilities within their boundaries. The City is the collecting and paying agent for the debts issued by these Districts, but does not have a direct, contingent or moral obligation for the payment of this debt. Therefore, these debts are not included in the general long-term liabilities of the City.

The outstanding balance of each of these issues as of June 30, 2024 was as follows:

Heartland Ranch Authority Bonds $ 879,341
Community Facilities District No. 2013-A1 Special Tax Bonds 28,675,982 Community Facilities District No. 2013-A2 Special Tax Bonds 22,959,348 Community Facilities District No. 2013-B Special Tax Bonds 3,355,009 Community Facilities District No. 2005-1 Business Park Special Tax Bonds 8,920,000 Community Facilities District No. 2015-1 Special Tax Bonds 4,560,000 Community Facilities District No. 2018-1 Special Tax Bonds, Series 2021 4,385,000 Community Facilities District No. 2005-1 Special Tax Bonds, Series 2021 6,770,000 Community Facilities District No. 2018-1 2024 Bonds 10,905,000 Total $ 91,409,680

7.2.a
Packet Pg. 167 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
84 Note 11 – Fund Balances
At June 30, 2024, fund balances classification is as follows:

CFD 2003-1 Patterson
Public Safety/ Public Other
General Fire Protection Financing Governmental
Fund Services Fund Authority Funds Total
Nonspendable:

Prepaid items 249,161 $ 4,623 $ 247,426 $ - $ 501,210 $ Total nonspendable 4,623 249,161 247,426 - 501,210
Restricted:

Debt service 506,268 - 61,430,141 - 61,936,409
Assessment Districts - - - 4,775,782 4,775,782
Grants 117,930 - - 701,381 819,311
Streets and roads - - - 4,936,092 4,936,092
Measure L - - - 4,238,655 4,238,655
Developer housing in-lieu - - - 2,911,499 2,911,499
Community Facilities Districts - - - 1,051,606 1,051,606 Impact fee - - - 1,199,888 1,199,888
Total restricted - 624,198 61,430,141 19,814,903 81,869,242 Committed:

Contingencies 10,759,106 - - - 10,759,106
Capital projects - - - 14,550,061 14,550,061
Total committed - 10,759,106 - 14,550,061 25,309,167
Assigned:

General government operations 1,118,770 - - - 1,118,770 Fund deficits 4,259,197 - - 4,259,197 -
Encumbrances 1,651,415 - - 1,651,415 -
OPEB 71,713 - - - 71,713
Capital projects 348,561 - - 348,561 -
Total assigned 7,449,656 - - 7,449,656 -
Unassigned (deficit) 5,184,572 (4,263,819) (318,303) - 602,450 Total $ 24,266,693 $ (4,259,196) $ 61,677,567 $ 34,046,661 $ 115,731,725 Note 12 – Risk Management
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; and natural disasters for which the City obtains insurance coverage.

Public entity risk pools are formally organized and separate entities established under the Joint Exercise of Powers Act of the State of California. As separate legal entities, those entities exercise full powers and authorities within the scope of the related Joint Powers Agreements including the preparation of annual budgets, accountability for all funds, the power to make and execute contracts and the right to sue and be sued. Each risk pool is governed by a board consisting of representatives from member municipalities. Each board controls the operations of the respective risk pool, including selection of management and approval of operating budgets, independent of any influences by member municipalities beyond their representation of that board. Obligations and liabilities of these risk pools are not the City's responsibility.

7.2.a
Packet Pg. 168 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
85 Note 12 – Risk Management (Continued)
Since 1986, the City has joined together with other cities to form a public entity risk pool known as the Central San Joaquin Valley Risk Management Authority (“CSJVRMA”), a joint powers authority established in accordance with the California government code. The relationship between the City and CS is such that the CSJVRMA is not a component unit of the City for financial reporting purposes. Financial statements for the CSJVRMA may be obtained from the CSJVRMA's management.

The CSJVRMA is currently operating as a common risk management and insurance program for 54 member cities.

The program's general objectives are to formulate, develop, and administer, on the behalf of the member cities, a program of insurance, to obtain lower cost for that coverage, and to develop a comprehensive loss control program. A member may withdraw from the CSJVRMA only by giving six-month notice. Cities applying for membership in the CSJVRMA may do so on approval of a two-thirds vote of the board of the CSJVRMA.

The latest financial information of the CSJVRMA for fiscal year ended June 30, 2024, is as follows:

Total Assets $ 179,635,612
Total Liabilities $ 144,400,470
Net Position $ 35,235,142
Operating Revenues $ 89,306,501
Operating Expenses $ 94,324,180
Nonoperating Revenues (Expenses) $ 6,290,415
Change in Net Position $ 1,272,736
A. Coverage
The City participates in the Central San Joaquin Valley Risk Management Authority (CSJVRMA), a public entity risk pool currently operating as a common risk management and insurance program for 54 cities. The purpose of CSJVRMA is to spread the adverse effect of losses among the members and to purchase excess insurance as a group, thereby reducing its expense. The CSJVRMA is governed by a Board of Directors elected by the member agencies; it is not a component unit of the City. Audited financial statements are available from the Central San Joaquin Risk Management Authority at 1750 Creekside Oaks Drive, Suite 200, Sacramento, CA 95833.

The City participates in the following pooled coverages through CSJVRMA:

Type of Coverage (Deductible) Coverage Limits
Liability ($100,000) $ 54,000,000
Property ($5,000 to $25,000) 1,000,000,000
Worker's Compensation ($500,000) Statutory Limit
Boiler and Machinery ($5,000 to $25,000) 100,000,000
Automobile - for vehicles with values more than $25,000 ($500) 1,000,000,000 The CSJVRMA maintains separate records for each member for each year of participation. The records track cash paid to the CSJVRMA through deposit premium assessments, the City’s self-insured retention portion of claims paid, and the City’s allocation of shared risks. Three years after the close of the workers’ compensation coverage year and five years after the close of the general liability coverage year, the CSJVRMA assesses the status of all members for the year, then either makes a refund to a member if it has positive balance (i.e., payout and reserve experience is less than premiums paid) or collects any deficit.

During the fiscal year ended June 30, 2024, the City contributed $2,223,765 for current year coverage. Settled claims have not exceeded insurance coverage in any of the past three fiscal years.

7.2.a
Packet Pg. 169 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
86 Note 13 – Pension Plans
A. Summary
Governmental Business-Type
Activities Activities Total
Deferred outflows of resources:

Pension contribution after measurement date:

Miscellaneous 1,036,238 $ 732,745 $ 1,768,983 $
Safety 835,739 - 835,739
Change in assumptions:

Miscellaneous 319,627 226,015 545,642
Safety 255,417 - 255,417
Difference between expected and actual experience:

Miscellaneous 228,497 161,575 390,072
Safety 293,806 - 293,806
Differences between City's contributions and
proportionate share of contributions
Miscellaneous 67,166 47,495 114,661
Adjustments due to differences in proportions
Miscellaneous 285,398 201,813 487,211
Safety 246,898 - 246,898
Differences between projected and actual investment
investment earnings
Miscellaneous 857,159 606,114 1,463,273
Safety 598,918 - 598,918
Total deferred outflows of resources $ 1,975,757 5,024,863 $ 7,000,620 $ Net pension liabilities:

Miscellaneous 5,294,075 $ 3,743,553 $ 9,037,628 $
Safety 4,376,468 - 4,376,468
Total net pension liabilities $ 3,743,553 9,670,543 $ 13,414,096 $ Deferred inflows of resources:

Differences between City's contributions and
proportionate share of contributions
Safety 14,005 - 14,005
Total deferred inflows of resources $ - 14,005 $ 14,005 $ Pension expenses:

Miscellaneous 1,433,297 $ 1,005,744 $ 2,439,041 $
Safety 1,010,067 - 1,010,067
Total pension expenses $ 1,005,744 2,443,364 $ 3,449,108 $

7.2.a
Packet Pg. 170 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
87 Note 13 – Pension Plans (Continued)
B. General Information about Pension Plans
Plan Description
The City contributes to the California Public Employees’ Retirement System (“CalPERS”), a cost-sharing multiple-employer defined benefit pension plan. CalPERS provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. CalPERS acts as a common investment and administrative agent for participating public entities within the State of California. Benefit provisions and all other requirements are established by State statute and City ordinance. Copies of the CalPERS annual financial report may be obtained from their Executive Office located at 400 P Street, Sacramento, California 95814.

Employees Covered by Benefit Terms
At June 30, 2023, measurement date, the following employees were covered by the benefit terms:

Miscellaneous Safety
Miscellaneous PEPRA Safety PEPRA
Active employees 49 84 14 7
Transferred and terminated employees 49 33 5 6
Retired employees and beneficiaries 49 2 40 1
Total 147 119 59 14
Benefit Provided
CalPERS provide retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. Classic and PEPRA Safety CalPERS member becomes eligible for service retirement upon attainment of age 55 with at least 5 years of credited service. PEPRA miscellaneous members become eligible for service retirement upon attainment of age 62 with at least 5 years of service. The service retirement benefit is a monthly allowance equal to the product of the benefit factor, years of service, and final compensation.

The final compensation is the monthly average of the member's highest 36 full-time equivalent monthly pay.

Following are the benefit provisions for each plan:

Miscellaneous Safety
Miscellaneous PEPRA Safety PEPRA
Benefit formula 2.7% @ 55 2.0% @ 62 3.0% @ 50 2.7% @ 57 Benefit vesting schedule 5 years service 5 years service 5 years service 5 years service Benefit payments monthly for life monthly for life monthly for life monthly for life Retirement age 5562 5057
Monthly benefits, as a % of
eligible compensation 2.7% 2.0% 3.0% 2.7%
Required employee contribution rate 8.000% 7.750% 9.000% 13.750% Required employer contribution rate 15.170% 7.680% 25.650% 13.540%

7.2.a
Packet Pg. 171 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
88 Note 13 – Pension Plans (Continued)
B. General Information about Pension Plans (Continued)
Contributions
For the year ended June 30, 2024, the contributions recognized as part of pension expense for each Plan are as follows:

Miscellaneous Safety Total
Contributions - employer $ 1,768,983 $ 835,739 $ 2,604,722 C. Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions Proportionate Share of Net Pension Liability and Pension Expense The following table shows the plan’s proportionate share of the risk pool collective net pension liability over the measurement period:

Plan Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability/(Asset)
Miscellaneous
Balance at: 6/30/22 (Valuation date) 39,403,463 $ 31,389,666 $ 8,013,797 $ Balance at: 6/30/23 (Measurement date) 43,584,775 34,547,147 9,037,628 Net changes during 2022-2023 4,181,312 3,157,481 1,023,831 Safety
Balance at: 6/30/22 (Valuation date) $ 15,902,290 $ 12,016,589 $ 3,885,701 Balance at: 6/30/23 (Measurement date) 17,355,375 12,978,907 4,376,468 Net changes during 2022-2023 1,453,085 962,318 490,767
The City’s net pension liability/(asset) for each Plan is measured as the proportionate share of the net pension liability/(asset). The net pension liability/(asset) of each of the Plans is measured as of June 30, 2023, and the total pension liability/(asset) for each Plan used to calculate the net pension liability/(asset) was determined by an actuarial valuation as of June 30, 2022 rolled forward to June 30, 2023 using standard update procedures. The City’s proportion of the net pension liability/(asset) was based on a projection of the City’s long-term share of contributions to the pension plans relative to the projected contributions of all participating employers, actuarially determined. The City’s proportionate share of the net pension liability/(asset) for each Plan as of June 30, 2023 and 2022 were as follows:

Miscellaneous Safety Total
Proportion - June 30, 2022 0.17126% 0.05655% 0.22781%
Proportion - June 30, 2023 0.18074% 0.05855% 0.23929%
Change - Increase/(Decrease) 0.00948% 0.00200% 0.01148%

7.2.a
Packet Pg. 172 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
89 Note 13 – Pension Plans (Continued)
C. Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (Continued)
Proportionate Share of Net Pension Liability and Pension Expense (Continued) For the year ended June 30, 2024, the City recognized pension expense/credit of $2,439,041 and $1,010,067, for the Miscellaneous and Safety plans, respectively. At June 30, 2024, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Deferred outflows Deferred inflows
of resources of resources
Contribution made after the measurement date $ 1,768,983 $ - Difference between expected and actual
experience 390,072 -
Changes of assumptions 545,642 -
Net difference between projected and actual
earnings on pension plan investments 1,463,273 -
Employer contributions in excess/(under)
proportionate share of contributions 114,661 -
Adjustments due to difference in proportions 487,211 -
Total $ 4,769,842 $ -
Miscellaneous Plan
Deferred outflows Deferred inflows
of resources of resources
Contribution made after the measurement date $ 835,739 $ - Difference between expected and actual
experience 293,806 -
Changes of assumptions 255,417 -
Net difference between projected and actual
earnings on pension plan investments 598,918 -
Employer contributions in excess/(under)
proportionate share of contributions - 14,005
Adjustments due to difference in proportions 246,898 -
Total $ 2,230,778 $ 14,005
Safety Plan
Deferred outflows Deferred inflows
of resources of resources
Contribution made after the measurement date $ 2,604,722 $ - Difference between expected and actual
experience 683,878 -
Changes of assumptions 801,059 -
Net difference between projected and actual
earnings on pension plan investments 2,062,191 -
Employer contributions in excess/(under)
proportionate share of contributions 114,661 14,005
Adjustments due to difference in proportions 734,109 -
Total $ 7,000,620 $ 14,005
Aggregate Total

7.2.a
Packet Pg. 173 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
90 Note 13 – Pension Plans (Continued)
C. Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (Continued)
Proportionate Share of Net Pension Liability and Pension Expense (Continued) For the Miscellaneous Plan and Safety Plan, $1,768,983 and $835,739, respectively, was reported as deferred outflows of resources related to pensions resulting from City’s contributions subsequent to the measurement date and will be recognized as a reduction of the net pension liability in the year ended June 30, 2025. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows:

Year Ended
June 30 Miscellaneous Plan Safety Plan Total
2025 1,029,454 $ 491,127 $ 1,520,581 $
2026 702,936 338,628 1,041,564
2027 1,226,482 534,561 1,761,043
2028 41,987 16,718 58,705
2029 - - -
Thereafter - - -
Total 3,000,859 $ 1,381,034 $ 4,381,893 $
Deferred Outflows/(Inflows) of Resources
Actuarial Assumptions
The total pension liabilities in the June 30, 2022 actuarial valuations were determined using the following actuarial assumptions:

Actuarial Cost Method
Actuarial Assumptions:

Discount Rate
Inflation
Salary Increases
Mortality Rate Table(1)
Post Retirement Benefit Increase
Entry Age Normal

6.90%

2.30%
Varies by Entry Age and Service
Derived using CalPERS’ Membership Data for all Funds.

The lesser of contract COLA or 2.30% until Purchasing Power Protection.

Allowance floor on purchasing power applies, 2.30% thereafter. (1)The mortality table used was developed based on CalPERS-specific data. The rates incorporate Generational Mortality to capture ongoing mortality improvement using 80% of Scale MP 2020 published by the Society of Actuaries. For more details, please refer to the 2021 experience study report that can be found on the CalPERS website.

7.2.a
Packet Pg. 174 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
91 Note 13 – Pension Plans (Continued)
C. Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (Continued)
Change of Assumptions
There were no assumption changes in 2023.

Discount Rate
The discount rate used to measure the total pension liability was 6.90%. 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, none of the tested plans run out of assets. Therefore, the current 6.90% discount rate is adequate and the use of the municipal bond rate calculation is not necessary. The long term expected discount rate of 6.90% 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.

The long-term expected rate of return on pension 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 pension plan investment expense and inflation) are developed for each major asset class. In determining the long-term expected rate of return, staff took into account both short-term and long-term market return expectations as well as the expected pension fund cash flows. Such cash flows were developed assuming that both members and employers will make their required contributions on time and as scheduled in all future years. Using historical returns of all the funds’ asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years) and the long-term (11-60 years) using a building block approach. 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 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 equivalent to the single equivalent rate calculated above and rounded down to the nearest one quarter of one percent. The table below reflects long-term expected real rate of return by asset class. The rate of return was calculated using the capital market assumptions applied to determine the discount rate and asset allocation. These geometric rates of return are net of administrative expenses.

Assumed Asset Real Return
Asset Class1 Allocation Years 1-101,2
Global Equity 30.00% 4.45%
Global Equity 12.00% 3.84%
Private Equity 13.00% 7.28%
Treasury 5.00% 0.27%
Mortgage-backed Securities 5.00% 0.50%
Investment Grade Corporates 10.00% 1.56%
High Yield 5.00% 2.27%
Emerging Market Debt 5.00% 2.48%
Private Debt 5.00% 3.57%
Real Assets 15.00% 3.21%
Liquidity -5.00% -0.59%
100.00%
1 An expected inflation of 2.30% used for this period.
2 Figures are based on the 2021 Asset Liability Management study.

7.2.a
Packet Pg. 175 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
92 Note 13 – Pension Plans (Continued)
C. Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (Continued)
Sensitivity of the Proportionate Share of the Net Pension Liability to Changes in the Discount Rate The following presents the City’s proportionate share of the net position liability for the Plan, calculated using the discount rate for each Plan, as well as what the City’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1-percentage point lower or 1-percentage point higher than the current rate:

Discount Rate - 1% Current Discount Discount Rate + 1%
(5.90%) Rate (6.90%) (7.90%)
Miscellaneous 14,932,284 $ 9,037,628 $ 4,185,821 $
Safety 6,757,317 4,376,468 2,429,955
Total 21,689,601 $ 13,414,096 $ 6,615,776 $
Plan's Net Pension Liability/(Asset)
Pension Plan Fiduciary Net Position
Detailed information about the pension plan’s fiduciary net position is available in the separately issued CalPERS financial reports.

D. Payable to the Pension Plan
At June 30, 2024, the City had no outstanding amounts owed to the pension plan for contributions for the year ended June 30, 2024.

Note 14 – Other Postemployment Benefits
A. Summary
Governmental Business-Type
Activities Activities Total
Deferred outflows of resources:

Employer contributions made
subsequent to the measurement date 389,208 $ 180,376 $ $ 569,584 Net difference between projected and
actual earnings on plan investments 11,259 5,218 16,477 Changes in assumptions 1,002,660 464,677 1,467,337
Total deferred outflows of resources $ 1,403,127 $ 650,271 $ 2,053,398 Net OPEB liability:

Net OPEB liability $ 5,994,307 $ 2,023,173 $ 8,017,480
Total OPEB liability $ 5,994,307 $ 2,023,173 $ 8,017,480 Deferred inflows of Resources:

Difference between expected and actual experience $ 1,600,584 $ 944,272 $ 2,544,856 Change in assumption 3,376,379 1,991,909 5,368,288
Total deferred inflows of resources $ 4,976,963 $ 2,936,181 $ 7,913,144 Net OPEB Expense $ 19,524 $ 12,164 $ 31,688

7.2.a
Packet Pg. 176 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
93 Note 14 – Other Postemployment Benefits (Continued)
B. General Information about OPEB
Plan Description
The City’s administers a defined benefit OPEB plan (Plan), which provides medical insurance benefits to eligible retirees and their spouses in accordance with applicable Memoranda of Understanding and the California Government Code to all employees who retire from the City. The Plan is an agent multiple-employer defined benefit OPEB plan administered by the City and is governed by the City Council. No assets are accumulated in a trust that meets the criteria in paragraph 4 of Statement 75.

Employees of the Miscellaneous bargaining group and other non-represented employees, who retire from the City with ten years or more of contiguous City service, are eligible for a Post-Retirement Health Benefit for themselves and spouse or child or children. This benefit is finite in nature and provides for the cost of benefits for one year only. This cost is computed at the rate of the current health care premiums and the current dental premiums, in place at the time of retirement.

Eligibility
Employees become eligible to retire under PEMHCA and receive City-paid healthcare benefits upon attainment of age 50 and 5 years of covered PERS service, or by attaining qualifying disability retirement status. The City has selected the unequal contribution method, where it contributes a percent of the amount paid for actives to its eligible retirees. The percent increases each year until the City's contribution for retirees eventually equals that for similarly stated active employees. The City currently covers 100% of the cost of medical coverage for active employees and their dependents up to, but not exceeding, the dollar amount of the family premium for the lowest cost HMO.

Membership in the plan consisted of the following at June 30, 2022, the valuation date:

Active employees 155
Transferred and terminated employees 16
Retired employees and beneficiaries 17
Total 188
Contributions
The obligation of the City to contribute to the Plan is established and may be amended by the City Council. For the 2022-23 fiscal year, measurement period, Payments made outside of the trust were $169,186. Employees are currently not required to contribute to the plan.

In fiscal year 2022, the City elected to begin prefunding its OPEB obligation through the use of an irrevocable trust established with the Public Agencies Retirement System (PARS) OPEB Trust Program. This trust fund is an agent multiple-employer plan. The trust is used to accumulate and invest funds necessary to pay for future retiree benefits and to reduce the Town’s future cash flow requirements. PARS is a tax qualified irrevocable trust, organized under Internal Revenue Code (IRC) Section 115, established to prefund retirement health benefits. At June 30, 2023, measurement date, the balance in this trust account was $1,030,696.

Net OPEB Liability
The City’s net OPEB liability was measured as of June 30, 2023. The total OPEB liability used to calculate the net OPEB liability was determined by an actuarial valuation as of June 30, 2022.

7.2.a
Packet Pg. 177 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
94 Note 14 – Other Postemployment Benefits (Continued)
C. Net OPEB Liability, OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB Actuarial Assumptions
The net OPEB liability in the June 30, 2022 actuarial valuation was determined using the following actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified:

Actuarial Assumptions:

Discount Rate
Inflation
Aggregate payroll increases
Expected long-term investment rate of return
Mortality, Termination, and Disability
Mortality Improvement Scale
Healthcare Trend Rate - Non-Medicare
Healthcare Trend Rate - Medicare
Modified projected fully generational with Scale MP-2019

5.50%

2.50%

2.75%
n/a
CalPERS 2000-2019 Experience Study
An annual healthcare cost trend rate of 6.50% initially reduced by decrements to an ultimate of 3.75% in 2076.

An annual healthcare cost trend rate of 5.65% initially reduced by decrements to an ultimate of 3.75% in 2076.

Discount Rate
The discount rate used to measure the net OPEB liability was 5.50% percent. This discount rate is the mid-point, rounded to five basis points, of the range of 3-20 year municipal bond rate indices; S&P Municipal bond 20 Year High Grade Rate Index, Bond Buyer 20-Bond GO Index, and Fidelity GO AA 20 Year Bond Index.

Change in the Net OPEB Liability
Total OPEB Fiduciary Net Net OPEB
Liability Position Liability
Balance at June 30, 2022 (Valuation Date) 8,342,847 $ 728,233 $ 7,614,614 $ Changes Recognized for the Measurement Period:

Service Cost 440,278 - 440,278
Interest on the total OPEB liability 477,237 - 477,237
Difference between expected and actual experience - - - Changes of assumptions - - -
Contributions from the employer - 464,237 (464,237)
Net investment income - 54,867 (54,867)
Administrative expenses - (4,455) 4,455
Benefit payments (212,186) (212,186) -
Net Changes during July 1, 2022 to June 30, 2023 705,329 302,463 402,866 Balance at June 30, 2023 (Measurement Date) 9,048,176 $ 1,030,696 $ 8,017,480 $

7.2.a
Packet Pg. 178 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
95 Note 14 – Other Postemployment Benefits (Continued)
C. Net OPEB Liability, OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB (Continued)
Sensitivity of the Net OPEB Liability to Changes in the Discount Rate The following presents the net OPEB liability of the City, as well as what the City’s net OPEB liability would be if it were calculated using a discount rate that is 1-percentage-point lower (4.50 percent) or 1-percentage- point higher (6.50 percent) than the current discount rate:

Discount Rate - 1% Current Discount Discount Rate + 1%
(4.50%) Rate (5.50%) (6.50%)
$ 8,017,480 9,117,032 $ 7,087,091 $
Plan's Net OPEB Liability
Sensitivity of the Net OPEB Liability to Changes in the Health Care Cost Trend Rates The following presents the net OPEB liability of the City, as well as what the City’s net OPEB liability would be if it were calculated using healthcare cost trend rates that are 1-percentage-point lower or 1-percentage-point higher than the current healthcare cost trend rates:

Healthcare Cost
-1% Trend Rates 1%
$ 8,017,480 7,093,965 $ 9,231,840 $
Plan's Net OPEB Liability
OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB For the fiscal year ended June 30, 2024, the City recognized OPEB expense of $31,688. At June 30, 2024, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources:

Deferred outflows Deferred inflows
of Resources of Resources
Difference between expected and actual experience - $ 2,544,856 $ Changes of assumptions 1,467,337 5,368,288
Net difference between projected and
actual earnings on plan investments 16,477 -
Employer contributions made
subsequent to the measurement date 569,584 -
Total 2,053,398 $ 7,913,144 $
The difference between projected OPEB plan investment earnings and actual earnings is amortized over a five year period. The remaining gains and losses are amortized over the expected average remaining service life. The expected average remaining service life is 10.6 years, which was determined as of July 1, 2022, the beginning of the measurement period, for employees covered by the OPEB plan benefit terms as of the valuation date.

7.2.a
Packet Pg. 179 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
96 Note 14 – Other Postemployment Benefits (Continued)
C. Net OPEB Liability, OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB (Continued)
OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB (Continued)
For the OPEB Plan, $569,584 was reported as deferred outflows of resources related to pensions resulting from City’s contributions subsequent to the measurement date and will be recognized as a reduction of the net OPEB liability in the year ended June 30, 2025. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows:

Year Ended Deferred Outflows/
June 30 (Inflows) of Resources
2025 (837,095) $
2026 (837,095)
2027 (836,097)
2028 (730,038)
2029 (684,728)
Thereafter (2,504,277)
$ (6,429,330)
Note 15 – Deferred Compensation Plan
The City offers its employees a deferred compensation plan created in accordance with Internal Revenue Code Section 457. The plan, available to all City employees, permits them to defer a portion of their current salary until future years. Under these plans, participants are not taxed on the deferred portion of their compensation until distributed to them. Distributions are not available to the employees until termination, retirement, death or unforeseeable emergency as defined by the Plan.

Note 16 – Other Required Disclosures
A. (Deficit) Net Position/Fund Balances
At June 30, 2024, the following funds had a fund balances (deficit) or unrestricted net position (deficit), which will be eliminated through the reduction in future expenditures and/or the use of new funding sources:

Fund Fund Type Deficit
CFD 2003-1 Public Safety/Fire Special Revenue $ 4,259,196 Protection Services Fund
Federal CDBG Grant Fund Special Revenue 193,573
Local Transportation Fund Special Revenue 124,730
The City plans to eliminate the deficits through the reduction in future expenditures, as well as budgeted transfers from the General Fund in 2025, which will eliminate these deficits.

7.2.a
Packet Pg. 180 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
97 Note 16 – Other Required Disclosures (Continued)
B. Expenditures Exceeding Appropriations
For the year ended June 30, 2024, expenditures exceeded appropriations in the following funds/functions:

Fund Function Excess Expenditures
Landscape Maintenance District Special Revenue Fund Capital outlay $ 10,424 State HCD Rehab Program Special Revenue Fund General government 5,703 Federal CDBG Grant Special Revenue Fund General government 16,534 CFD 2013-1 Special Revenue Fund Public works 498
CFD 2018-2 VOP Maintenance Special Revenue Fund General government 6,534 CFD 2018-2 VOP Maintenance Special Revenue Fund Public works 18,955 Note 17 – Settlement with Eli Development Corporation
On September 17, 2013, Eli Development Corporation submitted a reimbursement request to the City, pursuant to the development agreement between the City and Northeast Territories Patterson, LP, entered into as of December 19, 2006. The City has received the requested evidence from Eli Development Corporation and has determined that only a portion of the amount requested is subject to reimbursement. The landowner has proposed terms for settlement of the dispute and a release agreement has been prepared, subject to landowner review and acceptance. Therefore, the reimbursement would come from other parties and landowners, not the City.

Note 18 – Net Position
A. Net Investment in Capital Assets
Net Investment in Capital Assets at June 30, 2024 consisted of the following:

Governmental Business-Type
Activities Activities
Net investment in capital assets:

Capital assets, nondepreciable 11,774,738 $ $ 16,129,837 Capital assets, depreciable/amortizable, net 60,863,709 44,309,347 Unspent bond proceeds - Restricted cash and investment - 408,615 Unspent bond proceeds - Cash with fiscal agent 11,126,482 - Deferred amount on refunding - 287,983
Long-term debt:

Accounts payable (capital-related) (16,169) -
Finance purchase agreements (3,517,975) -
Lease liability (365,973) -
Subscription liability (4,519) -
2018 Lease Revenue Bonds (1,604,451) -
2019A Water Revenue Bonds (9,392,934) -
2019B Water Revenue Refunding Bonds (6,394,254) -
2017 Sewer Refunding Revenue Bonds (2,478,400) -
2008 State Revolving Fund Loan (311,135) -
2021 State Revolving Fund Loan (3,373,464)
Banc of America loan (1,128,267) -
CEC loan (942,116) -
Total net investment in capital assets $ 67,129,360 $ 48,241,694

7.2.a
Packet Pg. 181 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2024
98 Note 18 – Net Position (Continued)
B. Restricted Net Position
Restricted Net Position at June 30, 2024 consisted of the following:

Governmental Business-Type
Activities Activities
Restricted net position:

Restricted amount on fund statements 81,869,242 $ 3,219,807 $ Unavailable revenue 1,667,039 -
Long-term debt offset by investments held by trust:

PPFA 2013 Heartland Ranch Revenue Bonds (914,788) -
PPFA 2023 Series A Special Tax
Special Revenue Refunding Bonds (54,360,000) -
Total restricted net position $ 28,261,493 $ 3,219,807
Note 19 – Commitments and Contingencies
A. Litigation
The City is a defendant in certain legal actions arising in the normal course of operations. The accompanying basic financial statements reflect a liability for the probable amounts of loss associated with these claims.

B. Grants
Amounts received or receivable from granting agencies are subject to audit and adjustment by grantor agencies.

While no matters of non-compliance were disclosed by the audit of the financial statements or single audit of the Federal grant programs, grantor agencies may subject grant programs to additional compliance tests, which may result in disallowed costs. In the opinion of management, future disallowances of current or prior grant expenditures, if any, would not have a material adverse effect on the financial position of the City.

7.2.a
Packet Pg. 182 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 99 REQUIRED SUPPLEMENTARY INFORMATION

7.2.a
Packet Pg. 183 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 100
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7.2.a
Packet Pg. 184 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Budgetary Comparison Schedule
General Fund
For the Year Ended June 30, 2024
101
Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Taxes:

Property 7,774,111 $ 7,774,111 $ 8,141,486 $ 367,375 $
Sales 13,161,426 14,542,635 14,549,483 6,848
Franchise 255,000 255,000 241,771 (13,229)
Other 286,451 286,451 271,762 (14,689)
Licenses, permits, and fees 1,963,287 1,963,287 1,838,710 (124,577) Charges for services 563,946 1,063,946 1,229,790 165,844 Intergovernmental:

Federal grant and subsidies - - 746,742 746,742
Other governmental 2,926,570 2,939,570 914,096 (2,025,474) Fines, forfeitures and penalties 96,000 96,000 236,381 140,381 Interest 12,937 737,937 775,210 37,273
Miscellaneous 233,089 253,188 587,352 334,164
Total revenues 29,912,125 27,272,817 29,762,783 (149,342) EXPENDITURES:

Current:

General government 8,164,617 7,887,950 5,652,942 2,235,008 Police 7,262,542 7,457,650 7,054,677 402,973
Fire 4,223,482 4,345,658 3,692,370 653,288
Community development and planning 2,598,471 2,624,369 2,259,863 364,506 Public works 4,640,097 4,687,505 4,146,556 540,949
Park and recreation 4,225,482 4,341,263 3,488,259 853,004 Capital outlay 3,339,881 3,704,395 3,656,635 47,760
Debt service:

Principal 149,510 335,531 335,531 -
Interest and fiscal charges 59,577 144,677 65,888 78,789 Total expenditures 34,663,659 35,528,998 30,352,721 5,176,277

REVENUES OVER (UNDER)
EXPENDITURES (7,390,842) (5,616,873) (589,938) 5,026,935 OTHER FINANCING SOURCES (USES):

Inception of lease payable - - 77,971 77,971
Inception of finance purchase agreement - 2,857,975 - 2,857,975 Transfers in 5,541,286 5,722,390 3,837,525 (1,884,865)
Transfers out (1,649,897) (1,649,897) (80,003) 1,569,894 Total other financing sources (uses) 3,891,389 4,072,493 6,693,468 2,620,975 Net change in fund balances $ (3,499,453) $ (1,544,380) 6,103,530 $ 7,647,910 FUND BALANCE:

Beginning of year 18,163,163
End of year $ 24,266,693
Budgeted Amounts

7.2.a
Packet Pg. 185 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Budgetary Comparison Schedule
CFD 2003-1 Public Safety/Fire Protection Special Revenue Fund For the Year Ended June 30, 2024
102
Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Charges for services 1,346,155 $ 1,346,155 $ 1,582,090 $ 235,935 $ Miscellaneous 47,000 47,000 25,412 (21,588)
Total revenues 1,393,155 1,393,155 1,607,502 214,347
EXPENDITURES:

Current:

General government 23,000 4,800 4,766 34
Fire 2,933,325 3,014,657 2,916,060 98,597
Capital outlay 1,009,200 335,364 72,698 262,666
Total expenditures 3,354,821 3,965,525 2,993,524 361,297

REVENUES OVER (UNDER)
EXPENDITURES (1,961,666) (2,572,370) (1,386,022) 575,644 OTHER FINANCING SOURCES (USES):

Inception of finance purchase agreement - - 660,000 660,000 Transfers in 585,000 585,000 585,000 -
Total other financing sources (uses) 585,000 585,000 1,245,000 660,000 Net change in fund balances $ (1,376,666) (1,987,370) $ (141,022) 1,235,644 $ FUND BALANCE (DEFICIT):

Beginning of year (4,118,174)
End of year $ (4,259,196)
Budgeted Amounts

7.2.a
Packet Pg. 186 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Notes to the Budgetary Comparison Schedule
Budgetary Information
For the Year Ended June 30, 2024
103
The City maintains budgetary controls in order to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City Council. The City maintains an encumbrance accounting system to provide management with information regarding obligations against appropriations. Budgetary compliance is based on expenditures during the period (U.S. GAAP), rather than expenditures and encumbrances (non-GAAP). Because appropriations lapse at June 30, encumbrances outstanding at June 30, 2024 are disclosed in the notes to the financial statements. Appropriations for fiscal year 2024 will provide authority to complete those transactions.

The City is required by its municipal code to adopt an annual budget on or before June 30 for the ensuing fiscal year.

From the effective date of the budget, the amounts become the "annual appropriated budget".

The following procedures are performed by the City in establishing the budgetary data reflected in the financial statements:

1. The Finance Director submits a proposed budget by June 30 of each year to City Council. The operating budget includes proposed expenditures and the means of financing them.

2. Public hearings are conducted to obtain taxpayers' comments.

3. The appropriated budget is prepared by fund, department, and division. The government department heads may make transfers of appropriation within a department. Transfers of appropriations between departments requires approval of the City Manager. The legal level of budgetary control (i.e., the level at which expenditures may not legally exceed appropriations) is the fund level.

4. The budget is legally adopted through the passage of a council resolution.

5. The City Council may amend the budget by resolution during the fiscal year. The City Manager may transfer appropriations from one program, activity, or object to another within the same fund. All appropriations lapse at the end of the fiscal year to the extent they have not been expended. Capital project and grant funds are based on a project time frame, rather than a fiscal year "operating" time frame appropriating unused appropriations from year to year until project completion.

6. A budget review is presented to the City Council by the City Manager mid-year and approved additions or changes are legally adopted through Council resolution.

7. Formal budgetary integration is employed as a management control device during the year for the General Fund, Special Revenue Funds, and the Capital Project Funds.

8. Budgets for the General, Special Revenue, and Capital Project Funds are adopted on a basis consistent with United States generally accepted accounting principles.

9. The City did not adopt a budget for the following fund: CDBG HA Loan Special Revenue Fund.

7.2.a
Packet Pg. 187 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Schedule of Proportionate Share of the Net Pension Liability Last Ten Years
For the Year Ended June 30, 2024
104
Measurement period, year ended 6/30/2023 6/30/2022 6/30/2021 6/30/2020 6/30/2019 Plan's proportion of the
net pension liability (asset) 0.1807375% 0.1712600% 0.1456588% 0.1580126% 0.1530113% Plan's proportionate share of
the net pension liability (asset) $ 9,037,628 $ 8,013,797 $ 2,765,773 $ 6,665,091 $ 6,127,339 Plan's covered payroll $ 5,033,063 $ 4,886,469 $ 4,744,145 $ 4,605,966 $ 4,471,812 Plan's proportionate share of
the net pension liability as a percentage
of covered payroll 179.57% 164.00% 58.30% 144.71% 137.02% Plan's fiduciary net position $ 34,547,147 $ 31,389,666 $ 31,784,954 $ 24,491,193 $ 22,526,868 Plan's fiduciary net position as a percentage
of the total pension liability 79.26% 79.66% 92.00% 78.61% 78.62% Plan's proportionate share of aggregate
employer contributions $ 1,706,925 $ 1,426,665 $ 1,291,216 $ 1,103,312 $ 1,043,720 Measurement period, year ended 6/30/2018 6/30/2017 6/30/2016 6/30/2015 6/30/2014 Plan's proportion of the
net pension liability (asset) 0.1496090% 0.1499839% 0.1499839% 0.1557567% 0.1455000% Plan's proportionate share of
the net pension liability (asset) $ 5,638,335 $ 5,912,437 $ 5,141,345 $ 4,273,133 $ 3,638,246 Plan's covered payroll $ 4,341,565 $ 4,215,111 $ 4,092,341 $ 3,973,147 $ 3,857,424 Plan's proportionate share of
the net pension liability as a percentage
of covered payroll 129.87% 140.27% 125.63% 107.55% 94.32% Plan's fiduciary net position $ 19,926,425 $ 16,132,739 $ 13,690,393 $ 12,687,998 $ 12,287,961 Plan's fiduciary net position as a percentage
of the total pension liability 77.94% 73.18% 72.70% 74.81% 77.16% Plan's proportionate share of aggregate
employer contributions $ 900,310 $ 821,442 $ 693,115 $ 748,691 $ 691,154 Miscellaneous Plan

7.2.a
Packet Pg. 188 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Schedule of Proportionate Share of the Net Pension Liability (Continued) Last Ten Years
For the Year Ended June 30, 2024
105
Measurement period, year ended 6/30/2023 6/30/2022 6/30/2021 6/30/2020 6/30/2019 Plan's proportion of the
net pension liability (asset) 0.058549% 0.056550% 0.050366% 0.049523% 0.047853% Plan's proportionate share of
the net pension liability (asset) $ 4,376,468 $ 3,885,701 $ 1,767,602 $ 3,299,373 $ 2,987,220 Plan's covered payroll $ 1,452,424 $ 1,410,121 $ 1,410,121 $ 1,369,049 $ 1,329,174 Plan's proportionate share of
the net pension liability as a percentage
of covered payroll 301.32% 275.56% 125.35% 241.00% 224.74% Plan's fiduciary net position $ 12,978,907 $ 12,016,589 $ 12,315,218 $ 9,701,523 $ 9,134,775 Plan's fiduciary net position as a percentage
of the total pension liability 74.78% 75.57% 87.45% 74.62% 75.36% Plan's proportionate share of aggregate
employer contributions $ 668,931 $ 571,316 $ 552,488 $ 494,902 $ 457,665 Measurement period, year ended 6/30/2018 6/30/2017 6/30/2016 6/30/2015 6/30/2014 Plan's proportion of the
net pension liability (asset) 0.046974% 0.045984% 0.046120% 0.046242% 0.026700% Plan's proportionate share of
the net pension liability (asset) $ 2,756,215 $ 2,747,657 $ 2,388,655 $ 1,905,383 $ 1,661,368 Plan's covered payroll $ 1,290,460 $ 1,252,874 $ 1,216,383 $ 1,177,974 $ 1,094,057 Plan's proportionate share of
the net pension liability as a percentage
of covered payroll 213.58% 219.31% 196.37% 161.75% 151.85% Plan's fiduciary net position $ 8,394,137 $ 7,539,289 $ 6,653,977 $ 6,545,084 $ 6,325,433 Plan's fiduciary net position as a percentage
of the total pension liability 75.28% 73.29% 73.58% 77.45% 79.20% Plan's proportionate share of aggregate
employer contributions $ 393,732 $ 337,685 $ 312,567 $ 364,763 $ 312,579 Safety Plan

7.2.a
Packet Pg. 189 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Schedule of Plan Contributions – Pension
Last Ten Years
For the Year Ended June 30, 2024
106
Fiscal Year: 2023-24 2022-23 2021-22 2020-21 2019-20
Contractually determined contribution (actuarially determined) 1,768,983 $ 1,706,925 $ 1,426,665 $ 1,291,216 $ 1,103,312 $ Contributions in relation to the actuarially determined contributions (1,768,983) (1,706,925) (1,426,665) (1,291,216) (1,103,312) Contribution deficiency (excess) $ - $ - $ - $ - $ -
Covered payroll $ 5,184,055 $ 5,033,063 $ 4,886,469 $ 4,744,145 $ 4,605,966 Contributions as a percentage of covered payroll 34.12% 33.91% 29.20% 27.22% 23.95% Fiscal Year: 2018-19 2017-18 2016-17 2015-16 2014-15
Contractually determined contribution (actuarially determined) 1,043,720 $ $ 900,310 $ 821,442 $ 693,115 $ 748,691 Contributions in relation to the actuarially determined contributions (1,043,720) (900,310) (821,442) (693,115) (748,691) Contribution deficiency (excess) $ - $ - $ - $ - $ -
Covered payroll $ 4,471,812 $ 4,341,565 $ 4,215,111 $ 4,092,341 $ 3,973,147 Contributions as a percentage of covered payroll 23.34% 20.74% 19.49% 16.94% 18.84% Notes to Schedule
Methods and assumptions used to determine contribution rates for the fiscal year ended June 30, 2024:

Actuarial cost method Entry Age Normal
Amortization method/period For details, see June 30, 2021 Funding Valuation Report Asset valuation method Actuarial Value of Assets. For details, see June 30, 2021 Funding Valuation Report.

Inflation 2.30%
Salary increases Varies by entry age and service
Payroll growth 2.50%
Investment rate of return 6.90% net of pension plan investment and administrative expenses.

Retirement age
Mortality
Miscellaneous Plan
The actuarial methods and assumption used to set the actuarially determined contributions for Fiscal Year 2024 were derived from the June 30, 2021 funding valuation report.

The probabilities of retirement are based on the 2021 CalPERS Experience Study for the period from 2000 and 2019.

The probabilities of mortality are based on the the 2021 experience study report. The mortality table was developed based on CalPERS-specific data. The rates incorporate Generational Mortality to capture ongoing mortality improvement using 80% of Scale MP 2020 published by the Society of Actuaries.

7.2.a
Packet Pg. 190 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Schedule of Plan Contributions – Pension (Continued)
Last Ten Years
For the Year Ended June 30, 2024
107
Fiscal Year: 2023-24 2022-23 2021-22 2020-21 2019-20
Contractually determined contribution (actuarially determined) 835,739 $ 668,931 $ 571,316 $ 552,488 $ 494,902 $ Contributions in relation to the actuarially determined contributions (835,739) (668,931) (571,316) (552,488) (494,902) Contribution deficiency (excess) $ - $ - $ - $ - $ -
Covered payroll $ 1,495,997 $ 1,452,424 $ 1,410,121 $ 1,410,121 $ 1,369,049 Contributions as a percentage of covered payroll 55.87% 46.06% 40.52% 39.18% 36.15% Fiscal Year: 2018-19 2017-18 2016-17 2015-16 2014-15
Contractually determined contribution (actuarially determined) $ 457,665 $ 393,732 $ 337,685 $ 312,567 $ 364,763 Contributions in relation to the actuarially determined contributions (457,665) (393,732) (337,685) (312,567) (364,763) Contribution deficiency (excess) $ - $ - $ - $ - $ -
Covered payroll $ 1,329,174 $ 1,290,460 $ 1,252,874 $ 1,216,383 $ 1,177,974 Contributions as a percentage of covered payroll 34.43% 30.51% 26.95% 25.70% 30.97% Notes to Schedule
Methods and assumptions used to determine contribution rates for the fiscal year ended June 30, 2024:

Actuarial cost method Entry Age Normal
Amortization method/period For details, see June 30, 2021 Funding Valuation Report Asset valuation method Actuarial Value of Assets. For details, see June 30, 2021 Funding Valuation Report.

Inflation 2.30%
Salary increases Varies by entry age and service
Payroll growth 2.50%
Investment rate of return 6.90% net of pension plan investment and administrative expenses.

Retirement age
Mortality
Safety Plan
The probabilities of mortality are based on the the 2021 experience study report. The mortality table was developed based on CalPERS-specific data. The rates incorporate Generational Mortality to capture ongoing mortality improvement using 80% of Scale MP 2020 published by the Society of Actuaries.

The actuarial methods and assumption used to set the actuarially determined contributions for Fiscal Year 2024 were derived from the June 30, 2021 funding valuation report.

The probabilities of retirement are based on the 2021 CalPERS Experience Study for the period from 2000 and 2019.

7.2.a
Packet Pg. 191 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Schedule of Changes in Net OPEB Liability and Related Ratios Last Ten Years
For the Year Ended June 30, 2024
108
Measurement period, year ending: 6/30/2023 6/30/2022 6/30/2021 6/30/2020 6/30/2019 6/30/2018 6/30/2017 1 Total OPEB liability
Service cost $ 440,278 $ 1,156,354 1,088,576$ $ 930,865 $ 868,965 $ 951,252 $ 1,055,000 Interest 477,237 346,275 341,695 413,592 393,931 394,277 327,000 Changes of benefit terms - - - - (891,666) - -
Differences between expected and actual experience (1,645,289) - (1,584,352) - (552,203) - - Changes of assumptions (6,213,884) - 639,497 1,127,249 490,438 102,481 (1,129,000) Benefit payments, including
refunds of member contributions (212,186) (203,232) (164,926) (177,238) (163,179) (179,631) (175,000) Change in total OPEB liability 705,329 (6,559,776) 1,904,842 710,116 1,590,155 (175,490) 78,000 Total OPEB liability - beginning 8,342,847 14,902,623 12,997,781 12,287,665 10,697,510 10,873,000 10,795,000 Total OPEB liability - ending (a) $ 9,048,176 8,342,847$ $ 12,997,781 14,902,623 $ 12,287,665 $ 10,697,510 $ 10,873,000 $ OPEB fiduciary net position
Contributions - employer $ 464,237 955,100$ 164,926$ $ 177,238 $ 163,179 $ 179,631 $ 175,000 Net investment income 54,867 (21,455) - - - - -
Benefit payments, including
refunds of member contributions (212,186) (203,232) (164,926) (177,238) (163,179) (179,631) (175,000) Administrative expense (4,455) (2,180) - - - - -
Change in plan fiduciary net position 302,463 728,233 - - - - - Plan fiduciary net position - beginning 728,233 - - - - - - Plan fiduciary net position - ending (b) 1,030,696 728,233 - - - - - Plan net OPEB liability - ending (a) - (b) $ 8,017,480 7,614,614$ $ 12,997,781 14,902,623 $ 12,287,665 $ 10,697,510 $ 10,873,000 $ Plan fiduciary net position as a
percentage of the total OPEB liability 11.39% 8.73% 0.00% 0.00% 0.00% 0.00% 0.00% Covered-employee payroll $ 9,551,738 11,827,606 $ $ 8,917,985 $ 8,559,266 $ 8,196,189 $ 7,352,843 $ 6,620,000 Plan net OPEB liability as a
percentage of covered-employee payroll 76.50% 87.34% 167.11% 151.86% 149.92% 145.49% 164.24% Notes to Schedule
1 Information only presented from the implementation year.

7.2.a
Packet Pg. 192 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Schedule of Plan Contributions – OPEB
Last Ten Years
For the Year Ended June 30, 2024
109
Fiscal Year: 2023-24 2022-23 2021-22 2020-21 2019-20
Contractually determined
contribution (actuarially determined) 1,029,000 $ 976,000 $ 955,100 $ 164,926 $ 177,238 $ Contributions in relation to the
actuarially determined contributions (569,584) (976,000) (955,100) (164,926) (177,238) Contribution deficiency (excess) $ - 459,416 $ - $ - $ - $ Covered-employee payroll 13,581,283 $ 11,827,606 $ 9,551,738 $ 8,917,985 $ 8,559,266 $ Contributions as a percentage of
covered-employee payroll 4.19% 8.25% 10.00% 1.85% 2.07% Fiscal Year: 2018-19 2017-18 2016-171
Contractually determined
contribution (actuarially determined) 163,179 $ 179,631 $ 175,000 $ Contributions in relation to the
actuarially determined contributions (163,179) (179,631) (175,000) Contribution deficiency (excess) $ - $ - $ -
Covered-employee payroll $ 8,196,189 $ 7,352,843 $ 6,620,000 Contributions as a percentage of
covered-employee payroll 1.99% 2.44% 2.64%
1 Information only presented from the implementation year.

Notes to Schedule:

Methods and assumptions used to determine contribution rates:

Actuarial cost method Entry Age Normal, Level % of pay
Amortization method/period Level % of pay / 20-year fixed period for 2022/23 Asset valuation method Investment gains and losses spread over 5-year rolling period Discount rate
Inflation
Salary increases Varies by entry age and service
Medical trend Non-Medicare - 6.50% for 2023, decreasing to an ultimate rate of 3.75% in 2076 Medicare (Non-Kaiser) - 5.65% for 2023, decreasing to an ultimate rate of 3.75% in 2076 Medicare (Kaiser) - 4.60% for 2023, decreasing to an ultimate rate of 3.75% in 2076 Mortality CalPERS 2000-2019 Experience Study
Mortality improvement Mortality projected fully generational with Scale MP-2021 The actuarial methods and assumptions used to set the actuarially determined contributions for the fiscal year ended June 30, 2024 were as follows:

The actuarial methods and assumption used to set the actuarially determined contributions for Fiscal Year 2024 are as follows:

2.50%

5.50%

7.2.a
Packet Pg. 193 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 110
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7.2.a
Packet Pg. 194 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

SUPPLEMENTARY INFORMATION
111

7.2.a
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112

7.2.a
Packet Pg. 196 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

NON-MAJOR GOVERNMENTAL FUNDS
113

7.2.a
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114

7.2.a
Packet Pg. 198 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CFD 2001-01
Landscape Benefit CSA #15 Patterson
Maintenance Assessment Assessment Gardens Beautification District Districts District Public Safety Committee
ASSETS
Cash and investments 1,380,593 $ 2,966,090 $ 6,451 $ 384,196 $ 41,233 $ Receivables:

Intergovernmental 43,824 10,161 386 7,455 -
Interest 30,438 27,257 57 5,613 365
Notes and loans - - - - -
Lease - - - - -
Total assets $ 3,003,508 1,454,855 $ 6,894 $ 397,264 $ 41,598 $

LIABILITIES, DEFERRED

INFLOWS OF RESOURCES,

AND FUND BALANCES
LIABILITIES:

Accounts payable 80,294 $ 6,164 $ 281 $ - $ - $
Due to other funds - - - - -
Unearned revenue - - - - -
Deposits and other liabilities - - - - -
Total liabilities 6,164 80,294 281 - -
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources - - - - -
Unavailable revenue - - - - -
Total deferred inflows of resources - - - - -
FUND BALANCES (DEFICIT):

Restricted 1,374,561 2,997,344 6,613 397,264 41,598
Committed - - - - -
Unassigned (deficit) - - - - -
Total fund balances 1,374,561 2,997,344 6,613 397,264 41,598 Total liabilities, deferred inflows
of resources and fund balances $ 3,003,508 1,454,855 $ 6,894 $ 397,264 $ 41,598 $ (Continued)
City of Patterson
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2024
Special Revenue Funds
115

7.2.a
Packet Pg. 199 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CDBG State Federal First Time Federal
HA Loan HCD Rehab CDBG Home HOME
Fund Program Grant Buyers Funds
ASSETS
Cash and investments $ 229,360 - $ $ 206,948 - $ $ 210,621 Receivables:

Intergovernmental - - - - -
Interest - 2,030 - 1,915 13,985
Notes and loans 293,489 3,072 - 76,881 192,684
Lease - - - - -
Total assets $ 293,489 $ 234,462 $ 285,744 - $ $ 417,290

LIABILITIES, DEFERRED

INFLOWS OF RESOURCES,

AND FUND BALANCES
LIABILITIES:

Accounts payable $ - $ - $ - $ - $ 5,633
Due to other funds - 193,573 - - -
Unearned revenue - - - - -
Deposits and other liabilities - - - - -
Total liabilities - 193,573 - - 5,633
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources - - - - -
Unavailable revenue 293,489 3,072 - 76,881 201,428
Total deferred inflows of resources 293,489 3,072 - 76,881 201,428 FUND BALANCES (DEFICIT):

Restricted 231,390 - 208,863 - 210,229
Committed - - - - -
Unassigned (deficit) - (193,573) - - -
Total fund balances 231,390 - (193,573) 208,863 210,229 Total liabilities, deferred inflows
of resources and fund balances $ 234,462 293,489 $ - $ 285,744 $ 417,290 $ (Continued)
Special Revenue Funds
June 30, 2024
City of Patterson
Combining Balance Sheet (Continued)
Non-Major Governmental Funds
116

7.2.a
Packet Pg. 200 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Local
Neighborhood Local Transportation
Stabilization Transportation Fund Street Project
Program Gas Tax Fund Non Motorized Fund
ASSETS
Cash and investments 9,097 $ 1,497,843 $ 170,765 $ 92,861 $ 3,187,656 $ Receivables:

Intergovernmental - 166,580 - - 86,430
Interest 190 14,989 1,647 824 26,051
Notes and loans 26,544 - - - -
Lease - - - - -
Total assets $ 1,679,412 35,831 $ 172,412 $ 93,685 $ 3,300,137 $

LIABILITIES, DEFERRED

INFLOWS OF RESOURCES,

AND FUND BALANCES
LIABILITIES:

Accounts payable - $ 18,203 $ - $ - $ 84,694 $
Due to other funds - - - - -
Unearned revenue - - 297,142 11,353 -
Deposits and other liabilities - - - - -
Total liabilities 18,203 - 297,142 11,353 84,694
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources - - - - -
Unavailable revenue 26,530 - - - 22,892
Total deferred inflows of resources - 26,530 - - 22,892 FUND BALANCES (DEFICIT):

Restricted 9,301 1,661,209 - 82,332 3,192,551
Committed - - - - -
Unassigned (deficit) - (124,730) - - -
Total fund balances 9,301 1,661,209 (124,730) 82,332 3,192,551 Total liabilities, deferred inflows
of resources and fund balances $ 1,679,412 35,831 $ 172,412 $ 93,685 $ 3,300,137 $ (Continued)
Special Revenue Funds
City of Patterson
Combining Balance Sheet (Continued)
Non-Major Governmental Funds
June 30, 2024
117

7.2.a
Packet Pg. 201 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Developer
Housing Police Westside
Measure L In-Lieu Asset Drainage
Fund Fee Forfeiture Study CFD 2013-1
ASSETS
Cash and investments 4,736,476 $ 2,885,958 $ 4,428 $ 67,585 $ 1,038,460 $ Receivables:

Intergovernmental 291,764 - - - 1,724
Interest 38,763 25,541 39 598 9,235
Notes and loans - 1,003,333 - - -
Lease - - - - -
Total assets $ 3,914,832 5,067,003 $ 4,467 $ 68,183 $ 1,049,419 $

LIABILITIES, DEFERRED

INFLOWS OF RESOURCES,

AND FUND BALANCES
LIABILITIES:

Accounts payable 1,157 $ - $ - $ - $ 2,280 $
Due to other funds - - - - -
Unearned revenue 827,191 - - - -
Deposits and other liabilities - - - - -
Total liabilities - 828,348 - - 2,280
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources - - - - -
Unavailable revenue - 1,003,333 - - -
Total deferred inflows of resources 1,003,333 - - - -
FUND BALANCES (DEFICIT):

Restricted 4,238,655 2,911,499 4,467 - 1,047,139
Committed - - - 68,183 -
Unassigned (deficit) - - - - -
Total fund balances 4,238,655 2,911,499 4,467 68,183 1,047,139 Total liabilities, deferred inflows
of resources and fund balances $ 3,914,832 5,067,003 $ 4,467 $ 68,183 $ 1,049,419 $ (Continued)
City of Patterson
Combining Balance Sheet (Continued)
Non-Major Governmental Funds
June 30, 2024
Special Revenue Funds
118

7.2.a
Packet Pg. 202 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CFD 2015-2 CFD 2018-2 Downtown Community General
Public VOP Revitalization Facility Government
Safety Maintenance Impact Fee Impact Fee Impact Fee
ASSETS
Cash and investments 91,936 $ 1,019,327 $ 102,756 $ 1,997,546 $ 478,608 $ Receivables:

Intergovernmental - 5,946 - - -
Interest 1,190 9,021 909 17,679 4,236
Notes and loans - - - - -
Lease - - - - -
Total assets $ 1,034,294 93,126 $ 103,665 $ 2,015,225 $ 482,844 $

LIABILITIES, DEFERRED

INFLOWS OF RESOURCES,

AND FUND BALANCES
LIABILITIES:

Accounts payable - $ 4,523 $ - $ - $ 72 $
Due to other funds - - - - -
Unearned revenue - - - - -
Deposits and other liabilities - 26,674 - - -
Total liabilities 31,197 - - - 72
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources - - - - -
Unavailable revenue - - - - -
Total deferred inflows of resources - - - - -
FUND BALANCES (DEFICIT):

Restricted 93,126 1,003,097 103,665 - -
Committed - - 2,015,225 - 482,772
Unassigned (deficit) - - - - -
Total fund balances 93,126 1,003,097 103,665 2,015,225 482,772 Total liabilities, deferred inflows
of resources and fund balances $ 1,034,294 93,126 $ 103,665 $ 2,015,225 $ 482,844 $ (Continued)
City of Patterson
Combining Balance Sheet (Continued)
Non-Major Governmental Funds
June 30, 2024
Special Revenue Funds Capital Projects Funds
119

7.2.a
Packet Pg. 203 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Parkland Street
Public Safety In-Lieu Improvement Water Storm Drain
Impact Fee Fee Impact Fee Impact Fee Impact Fee
ASSETS
Cash and investments 1,182,990 $ 62,642 $ 1,931,888 $ 6,160,145 $ 1,237,179 $ Receivables:

Intergovernmental - - - - -
Interest 10,470 554 17,638 54,459 10,942
Notes and loans - - - - -
Lease - - - - -
Total assets $ 63,196 1,193,460 $ 1,949,526 $ 6,214,604 $ 1,248,121 $

LIABILITIES, DEFERRED

INFLOWS OF RESOURCES,

AND FUND BALANCES
LIABILITIES:

Accounts payable - $ - $ 89 $ - $ 16,008 $
Due to other funds - - - - -
Unearned revenue - - - - -
Deposits and other liabilities - - - - -
Total liabilities - - 89 - 16,008
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources - - - - -
Unavailable revenue - - - - -
Total deferred inflows of resources - - - - -
FUND BALANCES (DEFICIT):

Restricted - - - - -
Committed 1,193,460 63,196 1,949,437 6,214,604 1,232,113 Unassigned (deficit) - - - - -
Total fund balances 1,193,460 63,196 1,949,437 6,214,604 1,232,113 Total liabilities, deferred inflows
of resources and fund balances $ 63,196 1,193,460 $ 1,949,526 $ 6,214,604 $ 1,248,121 $ (Continued)
City of Patterson
Combining Balance Sheet (Continued)
Capital Projects Funds
Non-Major Governmental Funds
June 30, 2024
120

7.2.a
Packet Pg. 204 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Delta Aquatic Heartland
Sewer Mendota Center Future Water Ranch
Impact Fee Storm Gate Construction Acquisition Infrastructure ASSETS
Cash and investments $ 98,130 $ 179,296 $ 645,953 $ 155,695 $ 47,358 Receivables:

Intergovernmental - - - - -
Interest 844 1,587 5,717 1,378 419
Notes and loans - - - - -
Lease - - - 2,655 -
Total assets $ 98,974 $ 180,883 $ 651,670 $ 159,728 $ 47,777

LIABILITIES, DEFERRED

INFLOWS OF RESOURCES,

AND FUND BALANCES
LIABILITIES:

Accounts payable $ - $ - $ - $ - $ -
Due to other funds - - - - -
Unearned revenue - - - - -
Deposits and other liabilities - - - - 47,176
Total liabilities - - - - 47,176
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources - - - 2,654 - Unavailable revenue - - - - -
Total deferred inflows of resources - - - 2,654 -
FUND BALANCES (DEFICIT):

Restricted - - - - -
Committed 98,974 180,883 651,670 157,074 601
Unassigned (deficit) - - - - -
Total fund balances 98,974 180,883 651,670 157,074 601
Total liabilities, deferred inflows
of resources and fund balances $ 180,883 98,974 $ 651,670 $ 159,728 $ 47,777 $ (Continued)
City of Patterson
Combining Balance Sheet (Continued)
Capital Projects Funds
Non-Major Governmental Funds
June 30, 2024
121

7.2.a
Packet Pg. 205 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Capital Projects
Funds
Total
Downtown Non-major
Assistance Governmental
Fee Funds
ASSETS
Cash and investments $ 34,747,817 239,747 $
Receivables:

Intergovernmental 614,270 -
Interest 338,702 2,122
Notes and loans 1,596,003 -
Lease 2,655 -
Total assets $ 37,299,447 241,869 $

LIABILITIES, DEFERRED

INFLOWS OF RESOURCES,

AND FUND BALANCES
LIABILITIES:

Accounts payable $ 219,398 - $
Due to other funds 193,573 -
Unearned revenue 1,135,686 -
Deposits and other liabilities 73,850 -
Total liabilities 1,622,507 -
DEFERRED INFLOWS OF RESOURCES:

Lease-related deferred inflows of resources 2,654 -
Unavailable revenue 1,627,625 -
Total deferred inflows of resources 1,630,279 -
FUND BALANCES (DEFICIT):

Restricted 19,814,903 -
Committed 14,550,061 241,869
Unassigned (deficit) (318,303) -
Total fund balances 34,046,661 241,869
Total liabilities, deferred inflows
of resources and fund balances $ 37,299,447 241,869 $
(Concluded)
City of Patterson
Combining Balance Sheet (Continued)
Non-Major Governmental Funds
June 30, 2024
122

7.2.a
Packet Pg. 206 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CFD 2001-01
Landscape Benefit CSA #15 Patterson
Maintenance Assessment Assessment Gardens Beautification District Districts District Public Safety Committee
REVENUES:

Licenses, permits, and fees - $ - $ - $ - $ - $
Charges for services 2,135,453 530,893 8,521 586,155 -
Intergovernmental:

Federal grant and subsidies - - - - -
Other governmental - - - - -
Investment income(loss) 66,942 86,090 108 10,613 1,249
Revenue from Fiduciary Fund - - - - -
Miscellaneous - - - - -
Total revenues 2,202,395 616,983 8,629 596,768 1,249
EXPENDITURES:

Current:

General government 533,508 - - - -
Fire - - - 6,980 -
Community development and planning - - 3,529 - -
Public works 123,970 - - - -
Capital outlay 10,424 - - - -
Total expenditures 543,932 123,970 3,529 6,980 -

REVENUES OVER (UNDER)
EXPENDITURES 1,658,463 493,013 5,100 589,788 1,249
OTHER FINANCING SOURCES (USES):

Transfers in - - - - -
Transfers out (1,123,430) (113,729) (500,000) - -
Total financing sources (uses) (1,123,430) (113,729) (500,000) - - Net change in fund balances 379,284 535,033 5,100 89,788 1,249 FUND BALANCES (DEFICIT):

Beginning of year 839,528 2,618,060 1,513 307,476 40,349 End of year $ 2,997,344 1,374,561 $ 6,613 $ 397,264 $ 41,598 $ (Continued)
Non-Major Governmental Funds
For the Year Ended June 30, 2024
City of Patterson
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Special Revenue
123

7.2.a
Packet Pg. 207 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CDBG State Federal First Time Federal
HA Loan HCD Rehab CDBG Home HOME
Fund Program Grant Buyers Funds
REVENUES:

Licenses, permits, and fees $ - $ - $ - $ - $ -
Charges for services - - - - -
Intergovernmental:

Federal grant and subsidies - - 82,170 - 11,651
Other governmental - - - - -
Investment income(loss) - 6,948 - 7,272 14,779
Revenue from Fiduciary Fund - - - - -
Miscellaneous - 5,704 - 1,793 5,633
Total revenues - 12,652 82,170 9,065 32,063
EXPENDITURES:

Current:

General government - 5,703 16,534 - 5,635
Fire - - - - -
Community development and planning - - - - -
Public works - - - - -
Capital outlay - - 26,128 - -
Total expenditures - 5,703 42,662 - 5,635

REVENUES OVER (UNDER)
EXPENDITURES - 6,949 39,508 9,065 26,428
OTHER FINANCING SOURCES (USES):

Transfers in - - - - -
Transfers out - - - - -
Total financing sources (uses) - - - - -
Net change in fund balances 6,949 - 39,508 9,065 26,428 FUND BALANCES (DEFICIT):

Beginning of year 224,441 - (233,081) 199,798 183,801
End of year $ 231,390 - $ (193,573) $ 208,863 $ 210,229 $ (Continued)
Non-Major Governmental Funds
For the Year Ended June 30, 2024
City of Patterson
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Special Revenue Funds
124

7.2.a
Packet Pg. 208 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Local
Neighborhood Local Transportation
Stabilization Transportation Fund Street Project
Program Gas Tax Fund Non Motorized Fund
REVENUES:

Licenses, permits, and fees - $ - $ - $ - $ - $
Charges for services - - - - -
Intergovernmental:

Federal grant and subsidies - - - - 184,778
Other governmental - 1,291,851 - - 444,473
Investment income(loss) 1,392 40,050 5,662 2,819 89,269 Revenue from Fiduciary Fund - - - - 76,743
Miscellaneous 1,413 - - - -
Total revenues 1,331,901 2,805 5,662 2,819 795,263
EXPENDITURES:

Current:

General government - - - - -
Fire - - - - -
Community development and planning - - - - -
Public works - 32,687 - - 28,876
Capital outlay - 58,796 - - 622,458
Total expenditures 91,483 - - - 651,334

REVENUES OVER (UNDER)
EXPENDITURES 1,240,418 2,805 5,662 2,819 143,929
OTHER FINANCING SOURCES (USES):

Transfers in - - - 389,685 -
Transfers out (355,762) - (20,000) (200) -
Total financing sources (uses) (355,762) - (20,000) (200) 389,685 Net change in fund balances 884,656 2,805 (14,338) 2,619 533,614 FUND BALANCES (DEFICIT):

Beginning of year 6,496 776,553 (110,392) 79,713 2,658,937 End of year $ 1,661,209 9,301 $ (124,730) $ 82,332 $ 3,192,551 $ (Continued)
City of Patterson
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Non-Major Governmental Funds
Special Revenue Funds
For the Year Ended June 30, 2024
125

7.2.a
Packet Pg. 209 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Developer
Housing Police Westside
Measure L In-Lieu Asset Drainage
Fund Fee Forfeiture Study CFD 2013-1
REVENUES:

Licenses, permits, and fees - $ 1,787,244 $ - $ - $ - $ Charges for services - - - - 272,614
Intergovernmental:

Federal grant and subsidies - - - - -
Other governmental 1,853,041 - - - -
Investment income(loss) 122,859 62,071 134 2,047 27,518 Revenue from Fiduciary Fund - - - - -
Miscellaneous - - - - -
Total revenues 1,849,315 1,975,900 134 2,047 300,132
EXPENDITURES:

Current:

General government - - - - 25,738
Fire - - - - -
Community development and planning - - - - -
Public works - - - - 498
Capital outlay 1,524,734 - - - -
Total expenditures - 1,524,734 - - 26,236

REVENUES OVER (UNDER)
EXPENDITURES 1,849,315 451,166 134 2,047 273,896
OTHER FINANCING SOURCES (USES):

Transfers in 413,364 - - - -
Transfers out (133,369) - - - (10,000)
Total financing sources (uses) 279,995 - - - (10,000)
Net change in fund balances 1,849,315 731,161 134 2,047 263,896 FUND BALANCES (DEFICIT):

Beginning of year 3,507,494 1,062,184 4,333 66,136 783,243 End of year $ 2,911,499 4,238,655 $ 4,467 $ 68,183 $ 1,047,139 $ (Continued)
City of Patterson
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Non-Major Governmental Funds
Special Revenue Funds
For the Year Ended June 30, 2024
126

7.2.a
Packet Pg. 210 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CFD 2015-2 CFD 2018-2 Downtown Community General
Public VOP Revitalization Facility Government
Safety Maintenance Impact Fee Impact Fee Impact Fee
REVENUES:

Licenses, permits, and fees - $ - $ 102,000 $ 755,226 $ 375,796 $ Charges for services 102,176 448,382 - - -
Intergovernmental:

Federal grant and subsidies - - - - -
Other governmental - - - - -
Investment income(loss) 2,734 23,952 1,665 51,822 11,522 Revenue from Fiduciary Fund - - - - -
Miscellaneous - - - - -
Total revenues 472,334 104,910 103,665 807,048 387,318
EXPENDITURES:

Current:

General government 26 18,217 - - 37,103
Fire - - - - -
Community development and planning - - - - -
Public works - 22,417 - - -
Capital outlay - - - - 133,937
Total expenditures 40,634 26 - - 171,040

REVENUES OVER (UNDER)
EXPENDITURES 431,700 104,884 103,665 807,048 216,278
OTHER FINANCING SOURCES (USES):

Transfers in - - - - -
Transfers out (85,000) - - (4,000) -
Total financing sources (uses) - (85,000) - (4,000) -
Net change in fund balances 431,700 19,884 103,665 803,048 216,278 FUND BALANCES (DEFICIT):

Beginning of year 73,242 571,397 1,212,177 - 266,494
End of year $ 1,003,097 93,126 $ 103,665 $ 2,015,225 $ 482,772 $ (Continued)
For the Year Ended June 30, 2024
Special Revenue Funds Capital Projects Funds
City of Patterson
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Non-Major Governmental Funds
127

7.2.a
Packet Pg. 211 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Parkland Street
Public Safety In-Lieu Improvement Water Storm Drain
Impact Fee Fee Impact Fee Impact Fee Impact Fee
REVENUES:

Licenses, permits, and fees 525,952 $ 3,689 $ 1,197,843 $ 1,025,464 $ 3,142 $ Charges for services - - - - -
Intergovernmental:

Federal grant and subsidies - - - - -
Other governmental - - - - -
Investment income(loss) 25,592 1,877 42,782 178,624 38,126 Revenue from Fiduciary Fund - - - - -
Miscellaneous - - - - -
Total revenues 5,566 551,544 1,240,625 1,204,088 41,268 EXPENDITURES:

Current:

General government - - - - -
Fire - - - - -
Community development and planning - - - - -
Public works - - - - -
Capital outlay - 2,000 3,239 - 78,231
Total expenditures 2,000 - 3,239 - 78,231

REVENUES OVER (UNDER)
EXPENDITURES 3,566 551,544 1,237,386 1,204,088 (36,963) OTHER FINANCING SOURCES (USES):

Transfers in - - - - -
Transfers out - - (76,743) - -
Total financing sources (uses) - - (76,743) - -
Net change in fund balances 3,566 551,544 1,160,643 1,204,088 (36,963) FUND BALANCES (DEFICIT):

Beginning of year 641,916 59,630 788,794 5,010,516 1,269,076 End of year $ 63,196 1,193,460 $ 1,949,437 $ 6,214,604 $ 1,232,113 $ (Continued)
City of Patterson
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Non-Major Governmental Funds
Capital Projects Funds
For the Year Ended June 30, 2024
128

7.2.a
Packet Pg. 212 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Delta Aquatic Heartland
Sewer Mendota Center Future Water Ranch
Impact Fee Storm Gate Construction Acquisition Infrastructure REVENUES:

Licenses, permits, and fees $ - $ 199,875 - $ $ - $ -
Charges for services - - - - -
Intergovernmental:

Federal grant and subsidies - - - - -
Other governmental - - - - -
Investment income(loss) 2,890 5,432 17,263 4,768 1,435
Revenue from Fiduciary Fund - - - - -
Miscellaneous - - - 4,196 -
Total revenues 2,890 5,432 217,138 8,964 1,435
EXPENDITURES:

Current:

General government - - - - -
Fire - - - - -
Community development and planning - - - - -
Public works - - - - -
Capital outlay - - - - -
Total expenditures - - - - -

REVENUES OVER (UNDER)
EXPENDITURES 2,890 5,432 217,138 8,964 1,435
OTHER FINANCING SOURCES (USES):

Transfers in - - - - -
Transfers out - - - - -
Total financing sources (uses) - - - - -
Net change in fund balances 5,432 2,890 217,138 8,964 1,435 FUND BALANCES (DEFICIT):

Beginning of year 96,084 175,451 434,532 148,110 (834)
End of year $ 180,883 98,974 $ 651,670 $ 157,074 $ 601 $ (Continued)
Capital Projects Funds
City of Patterson
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Non-Major Governmental Funds
For the Year Ended June 30, 2024
129

7.2.a
Packet Pg. 213 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Capital Projects
Funds
Total
Downtown Non-major
Assistance Governmental
Fee Funds
REVENUES:

Licenses, permits, and fees $ 6,015,231 39,000 $
Charges for services 4,084,194 -
Intergovernmental:

Federal grant and subsidies 278,599 -
Other governmental 3,589,365 -
Investment income(loss) 965,295 6,989
Revenue from Fiduciary Fund 76,743 -
Miscellaneous 18,739 -
Total revenues 15,028,166 45,989
EXPENDITURES:

Current:

General government 642,464 -
Fire 6,980 -
Community development and planning 3,529 -
Public works 208,448 -
Capital outlay 2,459,947 -
Total expenditures 3,321,368 -

REVENUES OVER (UNDER)
EXPENDITURES 45,989 11,706,798
OTHER FINANCING SOURCES (USES):

Transfers in 803,049 -
Transfers out (2,422,233) -
Total financing sources (uses) (1,619,184) -
Net change in fund balances 10,087,614 45,989
FUND BALANCES (DEFICIT):

Beginning of year 195,880 23,959,047
End of year $ 34,046,661 241,869 $
(Concluded)
City of Patterson
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Non-Major Governmental Funds
For the Year Ended June 30, 2024
130

7.2.a
Packet Pg. 214 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Investment income (loss) 3,534,469 $ 3,210,234 $ 3,168,392 $ (41,842) $ Revenue from Fiduciary Fund 513,864 54,743,037 2,102,725 (52,640,312) Total revenues 57,953,271 4,048,333 5,271,117 (52,682,154) EXPENDITURES:

Current:

General government - 1,029,942 753,047 276,895
Debt service:

Principal 2,948,467 61,004,333 58,980,959 2,023,374
Interest and fiscal charges 3,340,980 5,199,072 3,218,768 1,980,304 Total expenditures 67,233,347 6,289,447 62,952,774 4,280,573

REVENUES OVER (UNDER)
EXPENDITURES (9,280,076) (2,241,114) (57,681,657) (48,401,581) OTHER FINANCING SOURCES (USES):

Proceeds from bond issuance - 54,370,000 54,370,000 -
Bond premium received - 6,617,848 6,617,848 -
Transfers in 779,180 779,180 - (779,180)
Total other financing sources (uses) 779,180 61,767,028 60,987,848 (779,180) Net change in fund balances $ 52,486,952 (1,461,934) $ 3,306,191 (49,180,761) $ FUND BALANCE:

Beginning of year 58,371,376
End of year $ 61,677,567
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Patterson Public Financing Authority Debt Service Fund
For the Year Ended June 30, 2024
131

7.2.a
Packet Pg. 215 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Charges for services 2,132,273 $ 2,132,273 $ 2,135,453 $ 3,180 $ Investment income (loss) 2,247 - 66,942 66,942
Total revenues 2,132,273 2,134,520 2,202,395 70,122
EXPENDITURES:

Current:

General government 1,125,197 1,125,197 533,508 591,689
Public works 15,237 - - -
Capital outlay - - 10,424 (10,424)
Total expenditures 1,140,434 1,125,197 543,932 581,265

REVENUES OVER (UNDER)
EXPENDITURES 994,086 1,007,076 1,658,463 651,387
OTHER FINANCING SOURCES (USES):

Transfers out (1,393,125) (1,391,609) (1,123,430) 268,179 Total other financing sources (uses) (1,393,125) (1,391,609) (1,123,430) 268,179 Net change in fund balances $ (384,533) (399,039) $ 535,033 919,566 $ FUND BALANCE:

Beginning of year 839,528
End of year $ 1,374,561
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Landscape Maintenance District Special Revenue Fund
For the Year Ended June 30, 2024
132

7.2.a
Packet Pg. 216 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Charges for services 530,279 $ 530,279 $ 530,893 $ 614 $ Investment income (loss) 4,346 4,346 86,090 81,744
Total revenues 534,625 534,625 616,983 82,358
EXPENDITURES:

Current:

Public works 1,898,290 374,576 123,970 250,606
Total expenditures 374,576 1,898,290 123,970 250,606

REVENUES OVER (UNDER)
EXPENDITURES 160,049 (1,363,665) 493,013 332,964
OTHER FINANCING SOURCES (USES):

Transfers out (840,728) (74,320) (113,729) (39,409)
Total other financing sources (uses) (74,320) (840,728) (113,729) (39,409) Net change in fund balances $ 85,729 (2,204,393) $ 379,284 293,555 $ FUND BALANCE:

Beginning of year 2,618,060
End of year $ 2,997,344
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Benefit Assessment Districts Special Revenue Fund
For the Year Ended June 30, 2024
133

7.2.a
Packet Pg. 217 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Charges for services 8,522 $ 8,522 $ 8,521 $ (1) $
Investment income (loss) - - 108 108
Total revenues 8,522 8,522 8,629 107
EXPENDITURES:

Current:

Community development and planning 12,650 12,650 3,529 9,121 Total expenditures 12,650 12,650 3,529 9,121
Net change in fund balances $ (4,128) (4,128) $ 5,100 9,228 $ FUND BALANCE (DEFICIT):

Beginning of year 1,513
End of year $ 6,613
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual CSA #15 Assessment District Special Revenue Fund
For the Year Ended June 30, 2024
134

7.2.a
Packet Pg. 218 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Charges for services 553,166 $ 553,166 $ 586,155 $ 32,989 $ Investment income (loss) 372 372 10,613 10,241
Total revenues 553,538 553,538 596,768 43,230
EXPENDITURES:

Current:

Fire 7,092 7,092 6,980 112
Total expenditures 7,092 7,092 6,980 112

REVENUES OVER (UNDER)
EXPENDITURES 546,446 546,446 589,788 43,342
OTHER FINANCING SOURCES (USES):

Transfers out (500,000) (500,000) (500,000) -
Total other financing sources (uses) (500,000) (500,000) (500,000) - Net change in fund balances $ 46,446 46,446 $ 89,788 43,342 $ FUND BALANCE:

Beginning of year 307,476
End of year $ 397,264
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual CFD 2001-01 Patterson Gardens Public Safety Special Revenue Fund For the Year Ended June 30, 2024
135

7.2.a
Packet Pg. 219 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Investment income (loss) 75 $ 75 $ 1,249 $ 1,174 $
Total revenues 75 75 1,249 1,174
EXPENDITURES:

Current:

Public works 300 300 - 300
Total expenditures 300 300 - 300
Net change in fund balances $ (225) (225) $ 1,249 1,474 $ FUND BALANCE:

Beginning of year 40,349
End of year $ 41,598
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Beautification Committee Special Revenue Fund
For the Year Ended June 30, 2024
136

7.2.a
Packet Pg. 220 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Investment income (loss) 456 $ 456 $ 6,948 $ 6,492 $
Miscellaneous - - 5,704 5,704
Total revenues 456 456 12,652 12,196
EXPENDITURES:

Current:

General government - - 5,703 (5,703)
Total expenditures - - 5,703 (5,703)
Net change in fund balances $ 456 456 $ 6,949 6,493 $
FUND BALANCE:

Beginning of year 224,441
End of year $ 231,390
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual State HCD Rehab Program Special Revenue Fund
For the Year Ended June 30, 2024
137

7.2.a
Packet Pg. 221 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Intergovernmental:

Federal grant and subsidies 150,000 $ 150,000 $ 82,170 $ (67,830) $ Total revenues 150,000 150,000 82,170 (67,830)
EXPENDITURES:

Current:

General government - - 16,534 (16,534)
Capital outlay 150,000 150,000 26,128 123,872
Total expenditures 150,000 150,000 42,662 107,338
Net change in fund balances $ - - $ 39,508 39,508 $
FUND BALANCE (DEFICIT):

Beginning of year (233,081)
End of year $ (193,573)
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Federal CDBG Grant Special Revenue Fund
For the Year Ended June 30, 2024
138

7.2.a
Packet Pg. 222 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Investment income (loss) 852 $ 852 $ 7,272 $ 6,420 $
Miscellaneous 768 768 1,793 1,025
Total revenues 1,620 1,620 9,065 7,445
Net change in fund balances $ 1,620 1,620 $ 9,065 7,445 $ FUND BALANCE:

Beginning of year 199,798
End of year $ 208,863
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual First Time Home Buyers Special Revenue Fund
For the Year Ended June 30, 2024
139

7.2.a
Packet Pg. 223 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Intergovernmental:

Federal grant and subsidies - $ - $ 11,651 $ 11,651 $
Investment income (loss) 2,075 2,075 14,779 12,704
Miscellaneous 1,874 1,874 5,633 3,759
Total revenues 3,949 3,949 32,063 28,114
EXPENDITURES:

Current:

General government 72,000 72,000 5,635 66,365
Total expenditures 72,000 72,000 5,635 66,365
Net change in fund balances $ (68,051) (68,051) $ 26,428 94,479 $ FUND BALANCE:

Beginning of year 183,801
End of year $ 210,229
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Federal HOME Special Revenue Fund
For the Year Ended June 30, 2024
140

7.2.a
Packet Pg. 224 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Investment income (loss) 508 $ 508 $ 1,392 $ 884 $
Miscellaneous 603 603 1,413 810
Total revenues 1,111 1,111 2,805 1,694
Net change in fund balances $ 1,111 1,111 $ 2,805 1,694 $ FUND BALANCE:

Beginning of year 6,496
End of year $ 9,301
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Neighborhood Stabilization Program Special Revenue Fund For the Year Ended June 30, 2024
141

7.2.a
Packet Pg. 225 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Intergovernmental:

Other governmental 1,297,692 $ 1,297,692 $ 1,291,851 $ (5,841) $ Investment income (loss) 781 781 40,050 39,269
Total revenues 1,298,473 1,298,473 1,331,901 33,428
EXPENDITURES:

Current:

Public works 85,000 85,000 32,687 52,313
Capital outlay 65,843 63,113 58,796 4,317
Total expenditures 150,843 148,113 91,483 56,630

REVENUES OVER (UNDER)
EXPENDITURES 1,147,630 1,150,360 1,240,418 90,058
OTHER FINANCING SOURCES (USES):

Transfers out (790,230) (1,379,675) (355,762) 1,023,913 Total other financing sources (uses) (790,230) (1,379,675) (355,762) 1,023,913 Net change in fund balances $ (229,315) 357,400 $ 884,656 1,113,971 $ FUND BALANCE:

Beginning of year 776,553
End of year $ 1,661,209
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Gas Tax Special Revenue Fund
For the Year Ended June 30, 2024
142

7.2.a
Packet Pg. 226 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Intergovernmental:

Other governmental 2,000 $ 2,000 $ - $ (2,000) $
Investment income (loss) 319 319 5,662 5,343
Total revenues 2,319 2,319 5,662 3,343
OTHER FINANCING SOURCES (USES):

Transfers out (20,000) - (20,000) (20,000)
Total other financing sources (uses) - (20,000) (20,000) (20,000) Net change in fund balances $ 2,319 (17,681) $ (14,338) (16,657) $ FUND BALANCE (DEFICIT):

Beginning of year (110,392)
End of year $ (124,730)
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Local Transportation Special Revenue Fund
For the Year Ended June 30, 2024
143

7.2.a
Packet Pg. 227 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Investment income (loss) 222 $ 222 $ 2,819 $ 2,597 $
Total revenues 222 222 2,819 2,597
OTHER FINANCING SOURCES (USES):

Transfers out (105,564) (83,025) (200) 82,825
Total other financing sources (uses) (83,025) (105,564) (200) 82,825 Net change in fund balances $ (82,803) (105,342) $ 2,619 85,422 $ FUND BALANCE:

Beginning of year 79,713
End of year $ 82,332
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Local Transportation Non-Motorized Special Revenue Fund For the Year Ended June 30, 2024
144

7.2.a
Packet Pg. 228 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Intergovernmental:

Federal grant and subsidies 379,909 $ 379,909 $ 184,778 $ (195,131) $ Other governmental 552,361 794,478 444,473 (350,005)
Investment income (loss) 5,911 5,911 89,269 83,358
Revenue from Fiduciary Fund - - 76,743 76,743
Total revenues 1,180,298 938,181 795,263 (385,035)
EXPENDITURES:

Current:

Public works 65,000 112,180 28,876 83,304
Capital outlay 7,250,937 8,971,509 622,458 8,349,051
Total expenditures 7,315,937 9,083,689 651,334 8,432,355

REVENUES OVER (UNDER)
EXPENDITURES (6,377,756) (7,903,391) 143,929 8,047,320
OTHER FINANCING SOURCES (USES):

Transfers in 4,423,934 5,058,403 389,685 (4,668,718)
Total other financing sources (uses) 4,423,934 5,058,403 389,685 (4,668,718) Net change in fund balances $ (2,844,988) (1,953,822) $ 533,614 3,378,602 $ FUND BALANCE:

Beginning of year 2,658,937
End of year $ 3,192,551
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Street Project Special Revenue Fund
For the Year Ended June 30, 2024
145

7.2.a
Packet Pg. 229 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Intergovernmental:

Other governmental 1,124,762 $ 1,124,762 $ 1,853,041 $ 728,279 $ Investment income (loss) 7,040 7,040 122,859 115,819
Total revenues 1,131,802 1,131,802 1,975,900 844,098
EXPENDITURES:

Capital outlay 2,072,534 2,068,365 1,524,734 543,631
Total expenditures 2,072,534 2,068,365 1,524,734 543,631

REVENUES OVER (UNDER)
EXPENDITURES (940,732) (936,563) 451,166 1,387,729
OTHER FINANCING SOURCES (USES):

Transfers in - - 413,364 413,364
Transfers out (1,199,944) (1,508,455) (133,369) 1,375,086 Total other financing sources (uses) (1,199,944) (1,508,455) 279,995 1,788,450 Net change in fund balances $ (2,445,018) (2,140,676) $ 731,161 3,176,179 $ FUND BALANCE:

Beginning of year 3,507,494
End of year $ 4,238,655
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Measure L Special Revenue Fund
For the Year Ended June 30, 2024
146

7.2.a
Packet Pg. 230 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Licenses, permits, and fees 198,898 $ 198,898 $ 1,787,244 $ 1,588,346 $ Investment income (loss) 2,016 2,016 62,071 60,055
Total revenues 200,914 200,914 1,849,315 1,648,401
Net change in fund balances $ 200,914 200,914 $ 1,849,315 1,648,401 $ FUND BALANCE:

Beginning of year 1,062,184
End of year $ 2,911,499
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Developer Housing In-Lieu Fee Special Revenue Fund
For the Year Ended June 30, 2024
147

7.2.a
Packet Pg. 231 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Investment income (loss) 8 $ 8 $ 134 $ 126 $
Total revenues 8 8 134 126
Net change in fund balances $ 8 8 $ 134 126 $
FUND BALANCE:

Beginning of year 4,333
End of year $ 4,467
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Police Asset Forfeiture Special Revenue Fund
For the Year Ended June 30, 2024
148

7.2.a
Packet Pg. 232 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Investment income (loss) 126 $ 126 $ 2,047 $ 1,921 $
Total revenues 126 126 2,047 1,921
Net change in fund balances $ 126 126 $ 2,047 1,921 $
FUND BALANCE:

Beginning of year 66,136
End of year $ 68,183
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Westside Drainage Study Special Revenue Fund
For the Year Ended June 30, 2024
149

7.2.a
Packet Pg. 233 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Charges for services 219,300 $ 219,300 $ 272,614 $ 53,314 $ Investment income (loss) 944 944 27,518 26,574
Total revenues 220,244 220,244 300,132 79,888
EXPENDITURES:

Current:

General government 33,210 35,210 25,738 9,472
Public works - - 498 (498)
Total expenditures 35,210 33,210 26,236 8,974

REVENUES OVER (UNDER)
EXPENDITURES 185,034 187,034 273,896 88,862
OTHER FINANCING SOURCES (USES):

Transfers out (10,000) (10,000) (10,000) -
Total other financing sources (uses) (10,000) (10,000) (10,000) - Net change in fund balances $ 175,034 177,034 $ 263,896 88,862 $ FUND BALANCE:

Beginning of year 783,243
End of year $ 1,047,139
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual CFD 2013-1 Special Revenue Fund
For the Year Ended June 30, 2024
150

7.2.a
Packet Pg. 234 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Charges for services 102,726 $ 102,726 $ 102,176 $ (550) $ Investment income (loss) 194 194 2,734 2,540
Total revenues 102,920 102,920 104,910 1,990
EXPENDITURES:

Current:

General government 26 26 26 -
Total expenditures 26 26 26 -

REVENUES OVER (UNDER)
EXPENDITURES 102,894 102,894 104,884 1,990
OTHER FINANCING SOURCES (USES):

Transfers out (85,000) (85,000) (85,000) -
Total other financing sources (uses) (85,000) (85,000) (85,000) - Net change in fund balances $ 17,894 17,894 $ 19,884 1,990 $ FUND BALANCE:

Beginning of year 73,242
End of year $ 93,126
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual CFD 2015-2 Public Safety Special Revenue Fund
For the Year Ended June 30, 2024
151

7.2.a
Packet Pg. 235 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Variance with
Final Budget
Favorable
Original Final Actual (Unfavorable)
REVENUES:

Charges for services 222,286 $ 222,286 $ 448,382 $ 226,096 $ Investment income (loss) 344 344 23,952 23,608
Total revenues 222,630 222,630 472,334 249,704
EXPENDITURES:

Current:

General government 11,683 11,683 18,217 (6,534)
Public works 2,462 3,462 22,417 (18,955)
Total expenditures 15,145 14,145 40,634 (25,489)
Net change in fund balances $ 207,485 208,485 $ 431,700 224,215 $ FUND BALANCE:

Beginning of year 571,397
End of year $ 1,003,097
-
Budgeted Amounts
City of Patterson
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual CFD 2018-2 VOP Maintenance Special Revenue Fund
For the Year Ended June 30, 2024
152

7.2.a
Packet Pg. 236 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

CUSTODIAL FUNDS
153

7.2.a
Packet Pg. 237 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) This page intentionally left blank.
154

7.2.a
Packet Pg. 238 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CFD 2001-1 CFD 2005-1
West Patterson West CFD 2018-1
Financing Patterson CFD 2015-1 Heartland VOP
Authority Business Park Arambel-KDN Ranch 2013 Infrastructure Total ASSETS
Cash and investments 5,675,328 $ 2,339,646 $ - $ 386,782 $ - $ 8,401,756 $ Restricted cash and investments - 186,219 - - - 186,219 Cash and investments with fiscal agents 213,104 8,569,567 429,721 230,691 15,673,951 25,117,034 Accounts receivable - - - - - -
Intergovernmental receivable 86,392 133,576 2,175 - 39,975 262,118 Interest receivable 78,273 22,052 3,423 - 103,748 -
Notes receivable 956,413 - - - 956,413 -
Total assets 7,009,510 11,251,060 429,721 623,071 15,713,926 35,027,288

LIABILITIES
Accounts payable - 5,050 3,130 1,829 - 10,009
Due to City - 47,815 - 4,504,521 - 4,552,336
Total liabilities - 5,050 50,945 4,506,350 - 4,562,345

NET POSITION
Restricted for:

Individuals, organizations, and other
governments 7,009,510 11,246,010 378,776 623,071 11,207,576 30,464,943 Total net position $ 11,246,010 7,009,510 $ 378,776 $ 623,071 $ 11,207,576 $ 30,464,943 $ Fiduciary Funds - Custodial Funds
June 30, 2024
City of Patterson
Combining Statement of Fiduciary Net Position
155

7.2.a
Packet Pg. 239 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CFD 2001-1 CFD 2005-1
West Patterson West CFD 2018-1
Financing Patterson CFD 2015-1 Heartland VOP
Authority Business Park Arambel-KDN Ranch 2013 Infrastructure Total ADDITIONS:

Special assessments for other governments 5,466,153 $ 1,134,574 $ 299,088 $ 384,153$ $ 700,278 $ 7,984,246 Investment income 257,018 479,240 777 6,040 372,472 1,115,547 Proceeds from issuance of bonds - - - - 10,958,090 10,958,090 Total additions 5,723,171 1,613,814 299,865 390,193 12,030,840 20,057,883 DEDUCTIONS:

Administration 4,917 11,550 7,985 24,879 6,023,656 6,072,987 Payments on conduit bonds - principal 1,911,812 135,000 50,000 - 30,000 2,126,812 Payments on conduit bonds - interest 3,205,484 657,225 240,338 - 593,674 4,696,721 Projects payments 73,353 - - - 73,353 -
Contributions to City 1,792,945 186,312 509,779 - 56,114 2,545,150 Total deductions 6,988,511 990,087 298,323 534,658 6,703,444 15,515,023 Changes in net position (1,265,340) 623,727 (144,465) 1,542 5,327,396 4,542,860 NET POSITION:

Beginning of year 8,274,850 10,622,283 377,234 767,536 5,880,180 25,922,083 End of year $ 11,246,010 7,009,510 $ 378,776 $ 623,071$ $ 11,207,576 $ 30,464,943 City of Patterson
Combining Statement of Changes in Fiduciary Net Position Fiduciary Funds - Custodial Funds
For the Year Ended June 30, 2024
156

7.2.a
Packet Pg. 240 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports)

STATISTICAL SECTION
157

7.2.a
Packet Pg. 241 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) This page intentionally left blank.
158

7.2.a
Packet Pg. 242 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Contents Page
160
Helps readers understand how the City's financial position and well-being have changed over time. 170
184
186
Help readers understand the socioeconomic environment within which the City's financial activities take place, and provides information to facilitate comparisons of financial statement information over time and among other governments.
188
Information about the City's operations and resources to help readers use financial information to understand and assess the related services the City provides and the activities it performs.

Operating Information…………………………………………………………………………………….

The Statistical Section provides financial statement users with additional historical perspective, context, and detail to assist in using the information in the financial statements, notes to financial statements, and required supplementary information to understand and assess a government's economic condition.

The Statistical Section is required by the Governmental Accounting Standards Board (GASB) to be reported in the following sections:

Helps readers understand and assess the affordability of the City's current level of outstanding debt and the City's ability to issue additional debt in the future.

STATISTICAL SECTION
Financial Trends Information…………………………………………………………………………….

Debt Capacity Information…………………………………………………………………………..

Demographic and Economic Information……………………………………………………………….

Revenue Capacity Information…………………………………………………………………………..

Helps readers understand and assess the City's ability to generate its own sources of revenue, the most significant local revenue source being sales and use tax. 159

7.2.a
Packet Pg. 243 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2024 2023 2022 2021 2020
Governmental activities:

Net investment in capital assets $ 67,129,360 $ 67,681,454 $ 61,241,920 $ 59,507,530 $ 61,274,713 Restricted 28,261,493 14,864,418 15,315,965 14,976,923 10,752,749 Unrestricted net position (deficit) 9,752,527 6,606,051 9,993,088 413,664 (5,182,490) Total Net Position $ 105,143,380 $ 89,151,923 $ 86,550,973 $ 74,898,117 $ 66,844,972 Business-type activities:

Net investment in capital assets $ 48,241,694 $ 49,988,310 $ 36,458,905 $ 36,978,338 $ 37,930,411 Restricted 3,219,807 3,137,525 3,133,590 3,133,810 983,202 Unrestricted net position (deficit) (3,448,538) (4,650,588) 4,888,385 2,943,625 4,536,071 Total Net Position $ 48,012,963 $ 48,475,247 $ 44,480,880 $ 43,055,773 $ 43,449,684 Primary Government:

Net investment in capital assets $ 115,371,054 $ 117,669,764 $ 97,700,825 $ 96,485,868 $ 99,205,124 Restricted 31,481,300 18,001,943 18,449,555 18,110,733 11,735,951 Unrestricted net position (deficit) 6,303,989 1,955,463 14,881,473 3,357,289 (646,419) Total Net Position $ 153,156,343 $ 137,627,170 $ 131,031,853 $ 117,953,890 $ 110,294,656 Source: City of Patterson Finance Department
Note: Some prior year balances may have been restated from previous financial statements to reflect the new GASB implementations or prior period reinstatements
City of Patterson
Table 1
Net Position by Classification
Last Ten Fiscal Years
Fiscal Year
160

7.2.a
Packet Pg. 244 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2019 2018 2017 2016 2015
Governmental activities:

Net investment in capital assets $ 60,390,350 $ 60,721,785 $ 55,621,936 $ 55,756,984 $ 50,237,700 Restricted 11,572,138 8,385,204 6,391,176 5,270,127 4,867,200 Unrestricted net position (deficit) (7,892,944) (4,612,193) 1,816,668 1,909,873 987,000 Total Net Position $ 64,069,544 $ 64,494,796 $ 63,829,780 $ 62,936,984 $ 56,091,900 Business-type activities:

Net investment in capital assets $ 37,746,179 $ 37,346,159 $ 38,857,716 $ 35,232,028 $ 34,725,800 Restricted 469,817 469,905 4,102,582 - 5,303,228
Unrestricted net position (deficit) 2,567,625 (77,313) 517,319 1,250,675 1,737,680 Total Net Position $ 40,783,621 $ 37,738,751 $ 39,375,035 $ 40,585,285 $ 41,766,708 Primary Government:

Net investment in capital assets $ 98,136,529 $ 98,067,944 $ 94,479,652 $ 90,989,012 $ 84,963,500 Restricted 12,041,955 8,855,109 6,391,176 9,372,709 10,170,428 Unrestricted net position (deficit) (5,325,319) (4,689,506) 2,333,987 3,160,548 2,724,680 Total Net Position $ 104,853,165 $ 102,233,547 $ 103,204,815 $ 103,522,269 $ 97,858,608 Source: City of Patterson Finance Department
Note: Some prior year balances may have been restated from previous financial statements to reflect the new GASB implementations or prior period reinstatements
City of Patterson
Table 1
Net Position by Classification (Continued)
Last Ten Fiscal Years
Fiscal Year
161

7.2.a
Packet Pg. 245 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Fiscal Year
2024 2023 2022 2021 2020
Expenses
Governmental activities:

General government $ 7,749,472 $ 10,196,494 $ 3,280,417 $ 4,196,700 $ 4,514,103 Police 7,117,215 6,739,695 5,909,652 5,859,954 5,838,153 Fire 7,115,407 6,294,195 5,402,965 5,592,559 5,367,429
Community development and planning 2,314,006 2,329,664 1,959,595 1,829,511 2,084,354 Public works 6,537,838 8,127,788 4,270,332 5,414,262 4,687,210 Parks and recreation 4,312,372 3,959,583 2,321,417 2,747,819 4,536,510 Interest and fiscal charges 3,611,271 3,905,165 6,142,450 3,818,561 3,942,429 Total governmental activities $ 38,757,581 $ 41,552,584 $ 29,286,828 $ 29,459,366 $ 30,970,188 Business-type activities:

Water $ 6,643,380 $ 7,594,552 $ 4,019,102 $ 5,056,402 $ 5,404,924 Sewer 7,518,474 7,506,130 4,709,466 5,532,181 5,533,806 Garbage 4,116,413 3,422,477 3,152,032 2,774,714 2,912,990 Total business-type activities $ 18,278,267 $ 18,523,159 $ 11,880,600 $ 13,363,297 $ 13,851,720 Total expenses $ 57,035,848 $ 60,075,743 $ 41,167,428 $ 42,822,663 $ 44,821,908 Program Revenues
Governmental activities:

Charges for services:

General government 369,569 $ 338,534 $ 274,622 $ 553,126 $ 374,895 $ Police 163,852 87,704 153,959 177,795 86,776
Fire 2,944,815 2,216,509 2,058,970 1,965,540 1,741,172
Community development and planning 2,815,452 780,969 984,408 796,707 810,870 Public works 3,189,913 1,323,138 1,399,256 961,761 968,384 Parks and recreation 1,451,244 2,403,693 2,330,698 2,463,997 1,890,773 Operating grants and contributions 5,561,697 3,200,329 5,918,650 3,564,498 2,040,401 Capital grants and contributions 4,449,223 9,699,274 3,494,698 4,333,162 3,609,391 Total governmental activities 20,945,765 $ 20,050,150 $ 16,615,261 $ 14,816,586 $ 11,522,662 $ Business-type activities:

Water 7,671,454 $ 7,269,812 $ 6,755,521 $ 6,336,607 $ 5,660,058 $ Sewer 6,335,105 5,431,483 4,716,644 4,440,546 4,610,985 Garbage 4,564,116 4,127,989 3,878,211 3,577,780 3,378,155 Operating grants and contributions - - 33,872 - -
Capital grants and contributions 975,414 6,156,519 81,253 - 8,493 Total business-type Activities 19,546,089 $ 22,985,803 $ 15,465,501 $ 14,354,933 $ 13,657,691 $ Total program revenues $ 43,035,953 40,491,854 $ 32,080,762 $ 29,171,519 $ 25,180,353 $ Net (Expense) Program Revenues
Governmental activities $ (17,811,816) $ (21,502,434) $ (12,671,567) $ (14,642,780) $ (19,447,526) Business-type activities 1,267,822 4,462,644 3,584,901 991,636 (194,029) Total Primary Government $ (16,543,994) $ (17,039,790) $ (9,086,666) $ (13,651,144) $ (19,641,555) Last Ten Fiscal Years
City of Patterson
Table 2
Changes in Net Position
162

7.2.a
Packet Pg. 246 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Fiscal Year
2019 2018 2017 2016 2015
Expenses
Governmental activities:

General government $ 3,167,076 $ 3,328,847 $ 2,259,261 $ 2,003,932 $ 2,650,997 Police 6,711,694 6,880,924 4,458,567 4,156,842 3,298,276 Fire 4,937,738 2,699,018 3,532,864 3,594,435 3,381,961
Community development and planning 2,523,052 1,724,146 3,024,928 1,258,725 1,213,617 Public works 4,455,175 4,790,738 2,631,811 4,652,522 4,043,774 Parks and recreation 4,618,872 4,473,167 3,277,134 2,696,555 2,558,315 Interest and fiscal charges 4,360,669 3,847,304 3,955,958 3,935,590 4,118,232 Total governmental activities $ 30,774,276 $ 27,744,144 $ 23,140,523 $ 22,298,601 $ 21,265,172 Business-type activities:

Water $ 4,561,024 $ 4,917,985 $ 4,481,750 $ 3,567,751 $ 3,734,709 Sewer 5,287,098 5,297,929 4,893,962 4,221,112 4,091,034 Garbage 2,545,016 2,397,523 2,310,200 2,080,840 2,069,439 Total business-type activities $ 12,393,138 $ 12,613,437 $ 11,685,912 $ 9,869,703 $ 9,895,182 Total expenses $ 43,167,414 $ 40,357,581 $ 34,826,435 $ 32,168,304 $ 31,160,354 Program Revenues
Governmental activities:

Charges for services:

General government 653,327 $ 4,797 $ 678,608 $ 108,119 $ 166,427 $ Police 198,638 300,973 218,337 268,929 392,009
Fire 1,620,028 720,761 587,593 413,973 681,690
Community development and planning 530,975 65,114 645,985 390,721 885,242 Public works 920,656 2,362,593 2,161,045 2,000,190 2,296,599 Parks and recreation 1,763,473 1,690,041 1,481,692 1,804,685 1,780,112 Operating grants and contributions 2,064,434 2,767,848 1,590,404 998,122 1,318,671 Capital grants and contributions 2,262,266 1,877,817 1,112,733 342,867 556,120 Total governmental activities 10,013,797 $ 9,789,944 $ 8,476,397 $ 6,327,606 $ 8,076,870 $ Business-type activities:

Water 4,764,097 $ 4,197,555 $ 3,680,373 $ 3,389,473 $ 3,972,456 $ Sewer 4,665,525 4,344,858 4,011,227 3,855,492 3,406,079 Garbage 3,228,053 3,079,843 2,921,089 2,800,845 2,667,681 Operating grants and contributions 34,318 68,852 701,283 - - Capital grants and contributions - - - (1,582) -
Total business-type Activates 12,691,993 $ 11,691,108 $ 11,313,972 $ 10,044,228 $ 10,046,216 $ Total program revenues $ 21,481,052 22,705,790 $ 19,790,369 $ 16,371,834 $ 18,123,086 $ Net (Expense) Program Revenues
Governmental activities $ (20,760,479) $ (17,954,200) $ (14,664,126) $ (15,970,995) $ (13,188,302) Business-type activities 298,855 (922,329) (371,940) 174,525 151,034 Total Primary Government $ (20,461,624) $ (18,876,529) $ (15,036,066) $ (15,796,470) $ (13,037,268) Last Ten Fiscal Years
City of Patterson
Table 2
Changes in Net Position (Continued)
163

7.2.a
Packet Pg. 247 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2024 2023 2022 2021 2020
General Revenues:

Governmental activities:

Taxes:

Property tax $ 8,141,486 $ 7,381,341 $ 6,466,296 $ 6,196,152 $ 3,621,765 Sales tax 14,549,483 12,842,865 12,317,056 10,029,499 6,840,520 Franchise tax 241,771 247,538 193,226 222,803 211,963
Motor vehicle in lieu - - - 2,267,086 -
Other taxes 271,762 308,014 277,779 248,158 162,436
Use of money and property - - - - -
Investment earnings 4,647,090 735,910 (474,168) 3,442,805 4,145,959 Revenue from Fiduciary Fund 2,409,468 4,004,069 527,556 - 2,387,683 Miscellaneous 818,875 6,277,085 - 379,911 896,921
Transfers 2,723,338 617,936 1,649,041 - 1,642,806
Special / Extraordinary item 2,939,075 - - - -
Total governmental activities $ 33,803,273 $ 29,076,748 $ 25,057,274 $ 22,695,925 $ 22,177,139 Business-type activities:

Investment earnings $ 797,750 $ 462,486 $ 3,208,319 $ 43,762 $ 205,023 Revenue from Fiduciary Fund 135,683 1,472,643 518,052 155,744 1,648,115 Miscellaneous 59,799 49,137 1,366,103 63,988 2,649,760
Transfers (2,723,338) (2,939,075) 2,306,094 (1,649,041) (1,642,806) Total business-type activities $ (1,730,106) $ (954,809) $ 7,398,568 $ (1,385,547) $ 2,860,092 Total general revenues $ 28,121,939 32,073,167 $ 32,455,842 $ 21,310,378 $ 25,037,231 $ Change in Net Position
Governmental activities $ 15,991,457 $ 7,574,314 $ 6,094,327 $ 8,053,145 $ 2,729,613 Business-type activities: (462,284) 3,507,835 (2,872,483) (393,911) 2,666,063 Total 15,529,173 $ $ 11,082,149 $ 3,221,844 $ 7,659,234 $ 5,395,676 Changes in Net Position (Continued)
Last Ten Fiscal Years
Fiscal Year
City of Patterson
Table 2
164

7.2.a
Packet Pg. 248 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2019 2018 2017 2016 2015
General Revenues:

Governmental activities:

Taxes:

Property tax $ 3,386,596 $ 3,417,541 $ 3,414,365 $ 3,172,489 $ 2,657,306 Sales tax 5,837,364 5,027,535 5,502,627 5,045,260 3,732,177 Franchise tax 205,047 206,354 274,792 188,834 179,313
Motor vehicle in lieu 2,089,248 1,947,375 1,844,519 1,693,793 1,596,755 Other taxes 136,047 717,288 137,847 549,654 719,718
Use of money and property 473,114 - 4,530,279 - 4,491,782 Investment earnings 4,179,507 4,515,819 4,312,058 6,075,652 - Revenue from Fiduciary Fund 1,745,012 1,681,843 - - -
Miscellaneous 1,038,772 203,070 633,427 188,402 159,416 Transfers 1,290,335 1,271,753 895,861 1,371,990 2,117,754 Special / Extraordinary item - - - - -
Total governmental activities $ 20,381,042 $ 18,988,578 $ 17,015,496 $ 22,816,353 $ 15,654,221 Business-type activities:

Investment earnings $ 171,436 $ 74,144 $ 31,002 $ 14,451 $ 13,985 Revenue from Fiduciary Fund 3,850,536 500,786 - - -
Miscellaneous 14,378 64,483 26,549 - -
Transfers (1,290,335) (1,271,753) (895,861) (1,371,990) (2,117,754) Total business-type activities $ 2,746,015 $ (632,340) $ (838,310) $ (1,357,539) $ (2,103,769) Total general revenues $ 18,356,238 23,127,057 $ 16,177,186 $ 21,458,814 $ 13,550,452 $ Change in Net Position
Governmental activities $ (379,437) $ 1,034,378 $ 2,351,370 $ 6,845,358 $ 2,465,919 Business-type activities: 3,044,870 (1,554,669) (1,210,250) (1,183,014) (1,952,735) Total 2,665,433 $ $ (520,291) $ 1,141,120 $ 5,662,344 $ 513,184 Changes in Net Position (Continued)
Last Ten Fiscal Years
Fiscal Year
City of Patterson
Table 2
165

7.2.a
Packet Pg. 249 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2024 2023 2022 2021 2020
FUND BALANCES:

General Fund
Nonspendable $ 249,161 $ 138,149 $ 138,586 $ 106,172 $ 104,997 Restricted 624,198 560,761 360,498 360,498 344,809
Committed 10,759,106 9,838,576 3,762,470 3,762,470 3,751,813 Assigned 7,449,656 6,236,338 2,896,296 2,896,296 2,889,800 Unassigned 5,184,572 1,389,339 12,651,739 6,589,826 1,984,909 Total General Fund $ 24,266,693 $ 18,163,163 $ 19,809,589 $ 13,715,262 $ 9,076,328 All Other Governmental Funds
Nonspendable $ 252,049 $ 6,596 $ 138,586 $ 3,338 $ -
Restricted 81,245,044 72,309,934 75,829,140 75,922,386 75,515,298 Committed 14,550,061 10,364,796 13,042,711 7,173,724 4,986,655 Assigned - 2,935,856 - 38,865 -
Unassigned (deficit) (4,582,122) (4,469,077) 8,607,342 (3,567,982) (2,935,948) Total All Other Governmental Funds $ 91,465,032 $ 78,212,249 $ 100,553,635 $ 79,570,331 $ 77,566,005 Total Fund Balance $ 115,731,725 $ 96,375,412 $ 120,363,224 $ 93,285,593 $ 86,642,333 City of Patterson
Table 3
Fund Balance, Governmental Funds
Last Ten Fiscal Years
Fiscal Year
166

7.2.a
Packet Pg. 250 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2019 2018 2017 2016 2015
FUND BALANCES:

General Fund
Nonspendable $ 84,466 $ 73,526 $ 68,630 $ 78,491 $ -
Restricted 290,150 146,789 144,229 51,773 40,508
Committed 3,725,949 3,658,050 3,642,337 3,626,143 3,605,039 Assigned 2,879,593 2,883,371 2,879,809 1,879,546 2,051,675 Unassigned 1,192,981 873,038 1,502,483 1,564,376 568,385 Total General Fund 8,173,139 $ 7,634,774 $ 8,237,488 $ 7,200,329 $ 6,265,607 All Other Governmental Funds
Nonspendable $ - $ 2,865 $ 574 $ - $ -
Restricted 74,293,766 75,770,466 76,995,568 78,162,371 78,664,140 Committed 4,905,500 4,905,500 6,016,084 5,734,508 6,335,270 Assigned 40,109 - - 38,985 105
Unassigned (deficit) (2,777,683) (1,283,973) (729,053) (283,235) (135,283) Total All Other Governmental Funds $ 76,461,692 $ 79,394,858 $ 82,283,173 $ 83,652,629 $ 84,864,232 Total Fund Balance $ 84,634,831 $ 87,029,632 $ 90,520,661 $ 90,852,958 $ 91,129,839 City of Patterson
Table 3
Fund Balance, Governmental Funds (Continued)
Last Ten Fiscal Years
Fiscal Year
167

7.2.a
Packet Pg. 251 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2024 2023 2022 2021 2020
Revenues:

Taxes:

Property $ 8,141,486 $ 7,380,341 $ 6,466,296 $ 6,196,152 $ 3,621,765 Sales 14,549,483 12,842,865 12,317,056 10,029,499 6,840,520 Franchise 241,771 247,538 193,226 222,803 211,963
Motor vehicle in lieu - - - 2,267,086 -
Other 271,762 308,014 277,779 248,158 162,436
License, permits, and fees 7,853,941 2,564,469 3,760,608 3,872,859 2,135,391 Charges for current services 6,896,074 5,780,377 5,165,200 4,651,557 4,446,008 Intergovernmental 5,528,802 4,868,843 7,400,132 5,943,756 6,225,231 Fines, forfeitures and penalties 236,381 112,090 158,125 339,080 66,683 Investment earnings 4,908,897 4,001,071 2,779,382 3,528,985 4,152,528 Revenue from Fiduciary Fund 2,409,468 735,910 518,052 527,556 2,387,683 Miscellaneous revenues 631,503 714,667 658,984 393,511 981,021 Total Revenues $ 51,669,568 $ 39,556,185 $ 39,694,840 $ 35,953,916 33,498,315 Expenditures:

Current:

General government $ 7,053,219 $ 4,416,045 $ 3,280,417 $ 3,539,563 $ 3,803,016 Police 7,054,677 6,542,712 5,909,652 5,410,959 5,373,752 Fire 6,615,410 6,037,410 5,402,965 5,289,020 5,057,265
Community development and planning 2,263,392 2,213,335 1,959,595 1,728,594 2,021,174 Public Works 4,355,004 4,920,769 4,270,332 3,899,114 3,323,065 Parks and recreation 3,488,259 3,046,238 2,321,417 1,878,060 3,713,674 Capital outlay 6,189,280 8,309,343 4,513,191 2,964,721 3,417,460 Debt service:

Principal 59,316,490 2,879,858 2,444,648 2,427,337 2,476,386 Interest and fiscal charges 3,284,656 3,975,707 3,697,802 3,822,329 3,947,827 Total Expenditures $ 42,341,417 99,620,387 $ 33,800,019 $ 30,959,697 $ 33,133,619 $ Excess (deficiency) of revenue over $ (2,785,232) (47,950,819) $ 5,894,821 $ 4,994,219 $ 364,696 $ (under) expenditures
Other financing sources (uses)
Proceeds from loan repayments $ - $ - $ - $ - $ -
Proceeds from bond issuance 54,370,000 - 59,040 - -
Bond premium received 6,617,848 - - - -
Proceeds from leases 77,971 464,205 - - -
Inception of finance purchase agreement 3,517,975 - - - - Transfers in 5,225,574 7,693,815 3,469,860 6,985,786 3,339,258 Transfers out (2,502,236) (4,754,740) (2,155,679) (5,336,745) (1,696,452) Total Other Financing Sources $ 3,403,280 67,307,132 $ 1,373,221 $ 1,649,041 $ 1,642,806 $ Net Change in Fund Balance $ 618,048 19,356,313 $ 7,268,042 $ 6,643,260 $ 2,007,502 $ Debt Service as a Percentage of Noncapital Expenditure 67.01% 20.30% 20.97% 22.32% 21.62% Source: City of Patterson Finance Department
City of Patterson
Table 4
Changes in Fund Balance of Governmental Funds
Last Ten Fiscal Years
Fiscal Year
168

7.2.a
Packet Pg. 252 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2019 2018 2017 2016 2015
Revenues:

Taxes:

Property $ 3,386,596 $ 3,417,541 $ 3,414,365 $ 3,172,489 $ 2,657,306 Sales 5,837,364 5,027,535 5,502,627 5,045,260 3,732,177 Franchise 205,047 206,354 274,792 188,834 179,313
Motor vehicle in lieu 2,089,248 1,947,375 1,844,519 1,693,793 1,596,755 Other 136,047 131,701 137,847 549,654 719,718
License, permits, and fees 1,360,937 2,055,853 1,791,391 983,115 2,016,921 Charges for current services 4,369,186 5,519,738 3,849,087 3,763,566 4,021,749 Intergovernmental 3,483,936 2,028,281 1,989,969 1,340,990 1,844,850 Fines, forfeitures and penalties 181,044 146,100 157,307 239,936 193,350 Investment earnings 4,198,697 4,535,040 4,312,058 4,530,279 4,577,761 Revenue from Fiduciary Fund 1,745,012 1,681,843 - - -
Miscellaneous revenues 1,189,088 355,285 612,457 188,402 1,565,122 Total Revenues $ 28,182,202 $ 27,052,646 $ 23,886,419 $ 21,696,318 $ 23,105,022 Expenditures:

Current:

General government $ 2,899,263 $ 2,656,904 $ 2,507,830 $ 2,704,512 $ 2,744,062 Police 5,374,098 6,377,259 4,218,306 4,290,965 4,039,064 Fire 4,696,647 2,437,226 3,574,689 3,274,834 3,069,601
Community development and planning 2,545,955 1,654,039 1,485,366 1,240,042 1,374,632 Public Works 3,267,381 3,707,312 2,874,435 2,691,886 2,746,358 Parks and recreation 4,014,566 3,719,906 2,466,882 1,940,339 1,841,033 Capital outlay 2,776,974 7,237,219 2,080,160 1,432,210 1,873,381 Debt service:

Principal 2,225,040 2,250,465 2,060,273 1,765,836 3,105,901 Interest and fiscal charges 4,067,414 4,204,098 3,954,933 4,016,686 4,123,116 Total Expenditures $ 34,244,428 31,867,338 $ 25,222,874 $ 23,357,310 $ 24,917,148 $ Excess (deficiency) of revenue over $ (7,191,782) (3,685,136) $ (1,336,455) $ (1,660,992) $ (1,812,126) $ (under) expenditures
Other financing sources (uses)
Proceeds from loan repayments $ - $ - $ - $ 12,116 $ 760 Proceeds from bond issuance 2,429,000 - - - -
Bond premium received - - - - -
Proceeds from leases - 161,990 - - -
Inception of finance purchase agreement - - - - -
Transfers in 3,818,998 4,107,492 3,012,930 4,711,665 4,655,106 Transfers out (2,528,663) (2,835,739) (2,117,069) (3,339,675) (3,223,826) Total Other Financing Sources $ 3,700,753 1,290,335 $ 1,057,851 $ 1,384,106 $ 1,432,040 $ Net Change in Fund Balance $ (3,491,029) (2,394,801) $ (278,604) $ (276,886) $ (380,086) $ Debt Service as a Percentage of Noncapital Expenditure 21.63% 23.90% 25.99% 26.37% 31.37% Source: City of Patterson Finance Department
Fiscal Year
City of Patterson
Table 4
Changes in Fund Balance of Governmental Funds (Continued) Last Ten Fiscal Years
169

7.2.a
Packet Pg. 253 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2024 2023 2022 2021 2020
Revenues:

Taxes:

Property $ 8,141,486 $ 7,381,341 $ 6,466,296 $ 6,196,152 $ 3,621,765 Sales 14,549,483 12,842,865 12,317,056 10,029,499 6,840,520 Franchise 241,771 247,538 193,226 222,803 211,963
Motor vehicle in lieu - - - 2,267,086 -
Other 271,762 308,014 277,779 248,158 162,436
Total Taxes $ 23,204,502 $ 20,779,758 $ 19,254,357 $ 16,696,612 $ 13,103,770 Source: City of Patterson Finance Department
Fiscal Year
City of Patterson
Table 5
Tax Revenues by Source
Last Ten Fiscal Years
170

7.2.a
Packet Pg. 254 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2019 2018 2017 2016 2015
Revenues:

Taxes:

Property $ 3,386,596 $ 3,417,541 $ 2,931,682 $ 3,172,489 $ 2,657,306 Sales 5,837,364 5,027,535 5,502,627 5,045,260 3,732,177 Franchise 205,047 206,534 274,792 188,834 179,313
Motor vehicle in lieu 2,089,248 1,947,375 1,844,519 1,693,793 1,596,755 Other 136,047 131,701 137,847 549,654 719,718
Total Taxes $ 11,654,302 $ 10,730,686 $ 10,691,467 $ 10,650,030 $ 8,885,269 Source: City of Patterson Finance Department
Fiscal Year
City of Patterson
Table 5
Tax Revenues by Source (Continued)
Last Ten Fiscal Years
171

7.2.a
Packet Pg. 255 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2024 2023 2022 2021 2020 2019
Type of Customer
Residential* 1,023,340 1,020,933 1,065,086 1,146,893 1,095,305 1,018,052 Commercial/Industrial* 168,410 160,824 135,263 132,374 165,164 151,297 Irrigation* 403,161 321,211 411,831 450,848 444,466 334,844 Total* 1,594,911 1,502,968 1,612,180 1,730,115 1,704,935 1,504,193 Source: City of Patterson Finance Department
* Amounts in Cubic Feet
Fiscal Year
City of Patterson
Table 6a
Water Sold by Customer Type
Last Six Fiscal Years
172

7.2.a
Packet Pg. 256 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Wastewater
Fiscal Year
Monthly
Base Rate
Additional
Per 100cf**
Monthly Base
Rate
2024 $ 17.46 $ 3.38 $ 59.49
2023 17.12 3.86 49.94
2022 16.79 3.86 49.94
2021 15.12 3.48 49.94
2020 13.62 3.14 49.94
2019 12.27 2.82 49.94
2018 11.06 2.54 44.44
2017 11.06 2.54 44.44
2016 11.04 2.76 41.92
2015 11.04 2.76 39.55
100 cf = 100 cubic feet (748 gallons)
Rates are based on 3/4" meter, which is the standard household meter size. **The Utility charges an excess use rate above normal demand.

Source: City of Patterson Finance Department
City of Patterson
Table 6b
Water and Wastewater Utility Rates
Last Ten Fiscal Years
Water
173

7.2.a
Packet Pg. 257 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2014-15 2015-16* 2016-17 2017-18 2018-19
Residential Property $ 1,067,738,189 - $ 1,125,435,937 $ 1,221,805,158 $ 1,336,735,402 $ Commercial Property 106,365,150 - 134,692,261 141,903,335 162,332,795 Industrial Property 278,228,208 - 461,416,004 460,796,304 464,865,277 Other Property 1,490,319,496 187,566,714 62,594,490 66,537,768 73,659,817 Unsecured Property 69,354,774 81,491,675 87,592,650 84,553,479 82,368,182 Less: Tax-Exempt Property 18,375,785 35,591,679 36,416,220 38,086,325 38,436,037 Taxable Assessed Value $ 1,541,298,485 $ 1,685,798,257 $ 1,835,315,122 $ 1,937,329,719 $ 2,081,525,436 Total Direct Tax Rate (1) 1.092819 1.097113 1.095707 1.104825 1.106684 Estimated Actual Taxable Value (2) $ 1,541,298,485 $ 2,474,212,386 $ 2,515,245,600 $ 2,880,528,379 $ 3,191,213,893 Factor of Taxable Assessed Value (2) 1.000000 1.467680 1.370471 1.486855 1.533113 Source: County Assessor data, MuniServices, LLC / Avenue Insights & Analytics 2015-16 is the city's first ACFR publication, therefore prior year data availability is limited. (-) indicates data not available
*Other property includes state unitary $99,152.
(1) Total Direct Tax Rate is represented by TRA 5-001
(2.) Estimated Actual Value is derived from a series of calculations comparing median assessed values from 1940 to current median sale prices.

Based on these calculations a factor was extrapolated and applied to current assessed values.

Fiscal Year
City of Patterson
Table 6
City-Wide Assessed Value and Estimated Actual Value of Taxable Property Last Ten Fiscal Years
174

7.2.a
Packet Pg. 258 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2019-20 2020-21 2021-22 2022-23 2023-24
Residential Property $ 1,420,672,172 $ 1,472,464,677 $ 1,572,562,406 $ 1,727,967,560 $ 1,902,837,372 Commercial Property 201,385,521 175,943,468 213,310,784 236,429,368 245,997,504 Industrial Property 470,160,844 537,164,362 535,210,557 541,200,991 558,911,277 Other Property 141,632,148 113,983,444 126,040,766 150,812,186 223,032,283 Unsecured Property 87,689,106 83,230,002 82,516,633 82,171,485 97,076,853 Less: Tax-Exempt Property 44,893,026 42,869,663 57,029,494 57,996,914 64,414,026 Taxable Assessed Value $ 2,253,228,075 $ 2,363,334,980 $ 2,472,611,652 $ 2,680,584,676 $ 2,963,441,263 Total Direct Tax Rate (1) 1.141246 1.136632 1.131314 1.125102 1.164085 Estimated Actual Taxable Value (2) $ 3,457,556,850 $ 2,968,433,744 $ 4,764,749,852 $ 4,558,931,744 $ 6,494,406,767 Factor of Taxable Assessed Value (2) 1.534490 1.256036 1.927011 1.700723 2.191509 Source: County Assessor data, MuniServices, LLC / Avenue Insights & Analytics 2015-16 is the city's first ACFR publication, therefore prior year data availability is limited. (-) indicates data not available
*Other property includes state unitary $99,152.
(1) Total Direct Tax Rate is represented by TRA 5-001
(2.) Estimated Actual Value is derived from a series of calculations comparing median assessed values from 1940 to current median sale prices.

Based on these calculations a factor was extrapolated and applied to current assessed values.

City of Patterson
Table 6
City-Wide Assessed Value and Estimated Actual Value of Taxable Property (Continued) Last Ten Fiscal Years
Fiscal Year
175

7.2.a
Packet Pg. 259 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Category 2015-16 2016-17 2017-18 2018-19
Residential $ 1,067,738,189 $ 1,125,435,937 $ 1,221,805,158 $ 1,336,735,402 Industrial 278,228,208 461,416,004 460,796,304 464,865,277 Commercial 106,365,150 134,692,261 141,903,335 162,332,795 Vacant 34,897,566 41,941,904 49,709,923 59,900,775
Agriculture 138,855,433 5,164,703 1,245,101 1,096,217
Unknown 13,022,637 14,009,788 14,548,636 11,793,401
Rural 739,952 1,337,947 712,923 727,181
Unitary 51,126 51,905 52,942 54,000
Miscellaneous 476,983 88,243 88,243 88,243
Institution - - - -
Gross Secured Value $ 1,640,375,244 $ 1,784,138,692 $ 1,890,862,565 $ 2,037,593,291 Unsecured $ 81,014,692 $ 87,592,650 $ 84,553,479 $ 82,368,182 Exemptions 35,591,649 36,416,220 38,086,325 38,436,037
Net Taxable Value $ 1,685,798,287 $ 1,835,315,122 $ 1,937,329,719 $ 2,081,525,436 Source: County Assessor data, MuniServices, LLC / Avenue Insights & Analytics 2015-16 is the city's first ACFR publication, therefore prior year data availability is limited.

City of Patterson
Table 7
Taxable Property by Use Code, City-Wide
Last Eight Fiscal Years
Fiscal Year
176

7.2.a
Packet Pg. 260 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Category 2019-20 2020-21 2021-22 2022-23 2023-24
Residential $ 1,420,672,172 $ 1,472,464,677 $ 1,572,562,406 $ 1,727,967,560 $ 1,902,837,372 Industrial 470,160,844 537,164,362 535,210,557 541,200,991 558,911,277 Commercial 175,943,468 201,385,521 213,310,784 236,429,368 245,997,504 Vacant 111,593,169 79,088,199 91,050,322 116,283,431 186,921,093 Agriculture 9,299,298 18,838,976 19,138,532 12,713,957 13,300,143 Unknown 14,729,866 14,082,823 13,859,051 19,784,066 20,801,687 Rural 5,866,493 1,818,114 1,836,948 1,873,685 1,911,156 Unitary 55,079 56,180 56,761 57,895 39,152
Miscellaneous 88,243 99,152 99,152 99,152 59,052
Institution - - - - -
Gross Secured Value $ 2,208,408,632 $ 2,324,998,004 $ 2,447,124,513 $ 2,656,410,105 $ 2,930,778,436 Unsecured $ 87,689,106 $ 83,230,002 $ 82,516,633 $ 82,171,485 $ 97,076,853 Exemptions 42,869,663 44,893,026 57,029,494 57,996,914 64,414,026 Net Taxable Value $ 2,253,228,075 $ 2,363,334,980 $ 2,472,611,652 $ 2,680,584,676 $ 2,963,441,263 Source: County Assessor data, MuniServices, LLC / Avenue Insights & Analytics 2015-16 is the city's first ACFR publication, therefore prior year data availability is limited.

City of Patterson
Table 7
Taxable Property by Use Code, City-Wide (Continued)
Last Eight Fiscal Years
Fiscal Year
177

7.2.a
Packet Pg. 261 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 Basic City and County Levy:

City of Patterson 0.188770 0.188770 0.188770 0.188770 0.188770 0.188770 0.188770 0.188770 0.188770 0.188770 All Others:

County General Fund 0.241442 0.241442 0.241442 0.241442 0.241442 0.241442 0.241442 0.241442 0.241442 0.241442 Co Supt of Schools 0.003947 0.003947 0.003947 0.003947 0.003947 0.003947 0.003947 0.003947 0.003947 0.003947 County Fire Service 0.005658 0.005658 0.005658 0.005658 0.005658 0.005658 0.005658 0.005658 0.005658 0.005658 Patterson Cemetery 0.007696 0.007696 0.007696 0.007696 0.007696 0.007696 0.007696 0.007696 0.007696 0.007696 Patterson Hospital District 0.034410 0.034410 0.034410 0.034410 0.034410 0.034410 0.034410 0.034410 0.034410 0.034410 Turlock Mosquito Abatement 0.011318 0.011318 0.011318 0.011318 0.011318 0.011318 0.011318 0.011318 0.011318 0.011318 Patterson Unified School District 0.386426 0.386426 0.386426 0.386426 0.386426 0.386426 0.386426 0.386426 0.386426 0.386426 Yosemite Community College 0.070620 0.070620 0.070620 0.070620 0.070620 0.070620 0.070620 0.070620 0.070620 0.070620 County School Service Fund 0.020908 0.020908 0.020908 0.020908 0.020908 0.020908 0.020908 0.020908 0.020908 0.020908 Schools-equalization aid 0.018355 0.018355 0.018355 0.018355 0.018355 0.018355 0.018355 0.018355 0.018355 0.018355 Schools-tuition 0.010450 0.010450 0.010450 0.010450 0.010450 0.010450 0.010450 0.010450 0.010450 0.010450 TOTAL 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 Override Assessments
Patterson U - 1996 0.011640 0.010596 0.010415 0.009953 0.009910 0.008517 0.007773 0.008517 0.000000 0.000000 Patterson U - 01A 0.045680 0.043932 0.043952 0.042364 0.042913 0.037489 0.034404 0.037489 0.030812 0.024990 Patterson U - 01B 0.008691 0.007974 0.007850 0.000000 0.000000 0.009804 0.007718 0.009804 0.007859 0.007317 Patterson U - 2008A 0.004985 0.007691 0.010456 0.010179 0.011078 0.009759 0.009435 0.009759 0.009993 0.009547 Patterson U - 2016 GO Ref 0.000000 0.000000 0.000000 0.018261 0.016809 0.005718 0.006936 0.005718 0.006695 0.006199 Patterson U - 2018A 0.000000 0.000000 0.000000 0.000000 0.000000 0.046179 0.047588 0.046179 0.046326 0.042528 Patterson 2022 GOB Series A 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.050396 YCCD 2005 A 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 YCCD 2007 C 0.015663 0.011618 0.009190 0.007585 0.009093 0.008839 0.008883 0.008839 0.009875 0.010324 YCCD 2010 D 0.000334 0.000467 0.000459 0.000359 0.000410 0.000405 0.000425 0.000405 0.000000 0.000000 YCCD 2012 Ref 0.005826 0.008285 0.008500 0.008753 0.007962 0.007286 0.006554 0.007286 0.000000 0.000000 YCCD 2015 Ref 0.000000 0.006550 0.004885 0.007371 0.008509 0.007250 0.006916 0.007250 0.000000 0.000489 Yosemite 2020 GOB Series A 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 Yosemite 2020 GOB Series B 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.006848 0.006385 Yosemite 2022 GOB Refunding 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000 0.006694 0.005910 TOTAL 0.092819 0.097113 0.095707 0.104825 0.106684 0.141246 0.136632 0.141246 0.125102 0.164085 TOTAL TAX RATE 1.092819 1.097113 1.095707 1.104825 1.106684 1.141246 1.136632 1.141246 1.125102 1.164085 Source: County Assessor data, MuniServices, LLC / Avenu Insights & Analytics TRA 5-001 is represented for this report
*In 1978, California voters enacted Proposition 13 which held property taxes to 1% of the assessed value. Taxing entity's do not impose mileage rates but instead receive a share of the total 1% tax.

City of Patterson
Table 8
Direct and Overlapping Property Tax Rates
Last Ten Fiscal Years
Fiscal Year
178

7.2.a
Packet Pg. 262 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Taxpayer Taxable Value ($) Percent of Total City
Taxable Value (%) Taxable Value ($)
Percent of Total
City Taxable Value
(%)
WR Griffin Patterson LLC 111,772,902 3.77%
W W Grainger Inc 94,348,395 3.18% 90,256,350 5.86%
Bit Holdings Seventy-Seven Inc 84,199,368 2.84%
Longs Drug Stores California Inc 65,193,961 2.20% 55,514,350 3.60% Baldwin Ranch Development LLC 61,814,215 2.09%
Westcore Alpha Patterson LLC 61,477,417 2.07%
Kohls Department Stores Inc 41,049,040 1.39% 42,086,840 2.73% LBA RV-Company XVII LP 32,328,572 1.09%
Amazon.Com Services Inc 28,732,160 0.97%
Wal Mart Real Estate Business Trust 23,591,682 0.80% 24,720,965 1.60% Ramos John J & Brenda J 15,503,664 0.52% 8,246,989 0.54% Sierra Pacific Refrig Serv Ltd 14,947,257 0.50% 12,400,865 0.80% Eagle Valley Investments 14,533,296 0.49%
Restoration Hardware Inc 13,414,050 0.45%
Pilot Travel Centers LLC 12,396,154 0.42%
Buzz Oates LLC 10,962,973 0.37%
Gill Hospitality LLC 10,602,364 0.36%
Rogers Road LLC 10,076,580 0.34%
Save Mart Portfolio Owner Fund V CA LLC 9,624,836 0.32% 5,002,267 0.32% Sai Shiva LLC 9,588,386 0.32%
Proto 8,302,931 0.28% 3,921,000 0.25%
Patterson Marketplace LLC 8,039,021 0.27% 6,822,795 0.44% Traina Pacific LLC 7,746,959 0.26% 8,553,655 0.55%
US Real Estate Limited Partnership LP 63,852,178 4.14%
N Tax Dept 46,240,870 3.00%
Boersma Properties LLC 5,305,610 0.34%
Three D Patterson LLC 5,040,000 0.33%
Ormond Peter M 4,321,331 0.28%
Snider Paul H 3,991,888 0.26%
Patterson Plaza Associates LLC 3,383,398 0.22%
Westside Property Management 3,025,984 0.20%
Keystone Flex II Associates LLC 2,780,500 0.18%
Johnson Patricia A 2,623,983 0.17%
Buzz Oates Enterprises II 2,560,552 0.17%
Hensley Investment Co LLC 2,525,080 0.16%
Total Top 25 Taxpayers 777,970,134 26.25% 444,716,917 28.85% Total Taxable Value 2,963,441,263 100.00% 1,541,298,485 100.00% Source: County Assessor data, MuniServices, LLC / Avenue Insights & Analytics 2014-15
City of Patterson
Table 9
Principal Property Tax Payers
Last Fiscal Year and Nine Years Ago
2023-24
179

7.2.a
Packet Pg. 263 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) This page intentionally left blank.
180

7.2.a
Packet Pg. 264 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Taxpayer Business Type Taxpayer Business Type
76 Service Stations Service Stations 76 Service Stations Service Stations 76 Service Stations Service Stations 76 Service Stations Service Stations Amazon Com Services Fulfillment Centers AutoZone Automotive Supply Stores Amazon MFA Fulfillment Centers Carls Jr Quick-Service Restaurants Arco AM PM Service Stations Chevron Patterson Service Stations Article Home Furnishings CVS Pharmacy Drug Stores
Cali Kosher Cannabis Del Don Chemical Garden/Agricultural Supplies Chevron Service Stations Denny's Casual Dining
Del Don Fertilizer Company Garden/Agricultural Supplies Dollar Tree Variety Stores Flying J Travel Plaza Service Stations G's Food Mart Service Stations JM Equipment Warehse/Farm/Const. Equip. Jack in the Box Quick-Service Restaurants Kwik Serv Gas Service Stations Jesses Used Cars Used Automotive Dealers Loves Travel Stop Service Stations JM Equipment Warehse/Farm/Const. Equip.

Lowry Cardlock Fuel Petroleum Prod/Equipment Kwik Serv Gas Service Stations McAuley Ford New Motor Vehicle Dealers Lowry Cardlock Fuel Petroleum Prod/Equipment McDonalds Quick-Service Restaurants McAuley Ford New Motor Vehicle Dealers O'Reilly Auto Parts Automotive Supply Stores McDonalds Quick-Service Restaurants Plug Power Warehouse/Farm/Const. Equip. Exxon Liquor & Food Service Stations Restoration Hardware Fulfillment Centers San Joaquin Equipment Warehse/Farm/Const. Equip.

San Joaquin Equipment Warehse/Farm/Const. Equip. Save Mart Supermarket Grocery Stores Save Mart Supermarket Grocery Stores Storeroom Solutions Light Industrial/Printers Thompson Chevrolet Buick New Motor Vehicle Dealers Taco Bell Quick-Service Restaurants Valero Service Stations True Value Hardware Building Materials WW Grainger Electrical Equipment Walgreens Drug Stores
Walmart Supercenter Discount Dept Stores
Source: HdL Companies
2023-24 2014-15
City of Patterson
Table 10
Principal Sales Tax Producers
Last Fiscal Year and Nine Years Ago
181

7.2.a
Packet Pg. 265 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CATEGORY NAME 2015 Q1 2016 Q1 2017 Q1 2018 Q1 2019 Q1
All Other Outlets $ 389,253 $ 592,368 $ 597,886 $ 567,498 $ 536,620 Apparel Stores 799 597 774 526 1,116
Auto Dealers & Auto 107,648 104,804 123,336 123,204 111,997 Bldg. Matrl. & Farm 102,671 62,643 60,911 32,749 69,889 Drug Stores 9,002 8,922 9,318 4,655 23,628
Eating & Drinking Pl 53,868 58,015 56,766 56,023 74,473 Food Stores 18,922 16,884 14,235 13,203 13,447
Home Furnishings & A 5,519 9,228 12,564 10,601 9,814
General Merchandise 72,612 79,659 80,118 83,482 84,760
Other Retail Stores 3,149 3,345 3,495 5,543 4,237
Packaged Liquor Store 689 997 8,353 4,945 2,877
Service Station 73,795 63,428 142,584 174,114 202,665
TOTAL $ 837,927 $ 1,000,890 $ 1,110,340 $ 1,076,543 $ 1,135,523 Source: HdL Companies
City of Patterson
Table 11
Historical Sales Tax Amounts by Benchmark Year
Last Ten Fiscal Years
* HdL combined business type Packaged Liquor Stores with Convenience Stores in 4Q16 thus causing a spike in 1Q17 and forward. 182

7.2.a
Packet Pg. 266 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) CATEGORY NAME 2020 Q1 2021 Q1 2022 Q1 2023 Q1 2024 Q1
All Other Outlets $ 934,427 $ 1,802,510 $ 1,556,150 $ 1,623,385 $ 1,508,510 Apparel Stores 894 30 222 379 397
Auto Dealers & Auto 113,273 171,906 153,886 169,261 162,815 Bldg. Matrl. & Farm 94,280 145,119 112,958 92,400 76,710 Drug Stores 17,646 35,512 33,705 27,710 20,072
Eating & Drinking Pl 51,621 84,011 89,794 93,097 97,938 Food Stores 11,203 18,345 19,660 18,691 21,002
Home Furnishings & A 12,462 11,105 11,550 11,693 112,743 General Merchandise 86,678 98,236 93,077 91,890 96,776
Other Retail Stores -2,373 5,287 5,704 5,281 5,317
Packaged Liquor Store 6,607 7,165 6,372 6,126 6,837
Service Station 188,080 292,674 345,035 405,712 378,539 TOTAL $ 1,514,798 $ 2,671,900 $ 2,428,113 $ 2,545,625 $ 2,487,656 Source: HdL Companies
* HdL combined business type Packaged Liquor Stores with Convenience Stores in 4Q16 thus causing a spike in 1Q17 and forward.

City of Patterson
Table 11
Historical Sales Tax Amounts by Benchmark Year (Continued) Last Ten Fiscal Years
183

7.2.a
Packet Pg. 267 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Fiscal
Year Loans Payable
Lease Revenue
Bonds Revenue Bonds
Settlement
Payable
Finance Purchase
Obligations and
Leases
Subscription-Based
IT Arrangements Total
2015 $ - $ 76,200,410 - $ $ 988,000 $ - $ 77,188,410 - $ 2016 - 75,999,122 - 676,000 - 76,675,122 -
2017 - 74,197,073 - 364,000 128,967 74,690,040 -
2018 2,429,000 - 70,840,652 364,000 97,979 73,731,631 - 2019 2,303,118 - 68,801,769 364,000 66,170 71,535,057 - 2020 2,172,830 - 66,516,789 364,000 33,518 69,087,137 - 2021 2,037,982 - 64,286,264 364,000 - 66,688,246 -
2022 1,898,414 - 61,856,080 364,000 72,094 64,190,588 - 2023 1,753,961 - 59,316,898 1,697,355 420,639 57,903 63,246,756 2024 1,604,451 - 61,672,041 1,697,355 3,883,948 4,519 68,862,314 Fiscal
Year Loans Payable
Public Offering
Revenue Bonds
Private
Placement
Revenue Bonds
Settlement
Payable
Finance Purchase
Obligations and
Leases
Subscription-Based
IT Arrangements Total
2015 5,297,539 11,860,000 - - - - 17,157,539
2016 4,926,020 11,585,000 - - - - 16,511,020
2017 4,538,540 11,300,000 - - - - 15,838,540
2018 4,134,079 9,865,000 2,658,300 - - - 16,657,379
2019 3,889,225 8,565,000 2,630,800 - - - 15,085,025
2020 3,627,227 17,609,352 2,602,300 - - - 23,838,879
2021 3,040,868 17,176,312 2,572,900 - - - 22,790,080
2022 3,046,581 16,728,271 2,542,500 - - - 22,317,352
2023 3,388,219 16,265,229 2,511,000 1,123,211 - - 23,287,659 2024 5,754,982 15,787,188 2,478,400 1,123,211 - - 25,143,781 Fiscal
Year
Total Primary
Government
Percentage of
Personal Income Per Capita
2015 94,345,949 23.46% 4,473
2016 93,186,142 21.37% 4,125
2017 90,528,580 19.70% 3,983
2018 90,389,010 17.95% 3,860
2019 86,620,082 16.07% 3,645
2020 92,926,016 17.07% 4,027
2021 89,478,326 15.08% 3,840
2022 86,507,940 13.10% 3,550
2023 86,534,415 13.10% 3,556
2024 94,006,095 10.72% 3,792
See Demographic and Economic Statistics for personal income and population data.

Additional information can be found in Note 8 to the basic financial statements.

Revenue Bond Information for FY2023 has been corrected compared to past filings.

In prior filings, Leases and Subscriptions were reported together. In FY2024, these amounts have been separated.

Business-Type Activities
City of Patterson
Table 12
Ratio of Outstanding Debt By Type
Last Ten Fiscal Years
Governmental Activities
184

7.2.a
Packet Pg. 268 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Total 2023-24 Assessed Valuation: $2,981,893,263
Total Debt % Applicable (1) City’s Share of Debt
DIRECT AND OVERLAPPING TAX AND ASSESSMENT DEBT: 6/30/2024 6/30/2024 Yosemite Community College District 241,492,298.0 $ 3.360% 8,114,141 $ Patterson Joint Unified School District 61,585,352 72.121% 44,415,972 City of Patterson Community Facilities District No. 2005-1 15,690,000 100% 15,690,000 City of Patterson Community Facilities District No. 2015-1 4,560,000 100% 4,560,000 City of Patterson Community Facilities District No. 2018-1 15,290,000 100% 15,290,000 City of Patterson PFA Revenue Bonds (Less Bond Discount) 61,672,041 100% 61,672,041 TOTAL DIRECT AND OVERLAPPING TAX AND ASSESSMENT DEBT 400,289,691 $ 149,742,154 $ DIRECT AND OVERLAPPING GENERAL FUND DEBT:

Stanislaus County Certificates of Participation 3,980,000 $ 4.539% 180,652.00 $ Stanislaus County Office of Education Certificates of Participation 400,000 4.539% 18,156 Patterson Joint Unified School District General Fund Obligations 9,960,000 72.121% 7,183,252 City of Patterson Lease Revenue Bonds 1,604,451 100% 1,604,451 Finance Purchase Agreements 3,517,975 100% 3,517,975
Leases Payable 100% 365,973 365,973
Subscriptions Payable 4,519 100% 4,519
Settlements Payable 1,697,355 100% 1,697,355
Turlock Mosquito and Vector Control District Pension Obligation Bonds 1,268,809 11.103% 140,876 TOTAL DIRECT AND OVERLAPPING GENERAL FUND DEBT 22,799,082 $ 14,713,209 $ TOTAL DIRECT DEBT $ 68,862,314
TOTAL OVERLAPPING DEBT $ 95,593,049
COMBINED TOTAL DEBT $ 164,455,363
Ratios to 2023-24 Assessed Valuation:

Direct Debt ($61,672,041) 2.07%
Total Direct and Overlapping Tax and Assessment Debt 5.02% Total Direct Debt ($68,862,314) 2.31%
Combined Total Debt 5.52%
Source: Avenu Insights & Analytics & City of Patterson Finance Department (2) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded lease obligations. (1) The percentage of overlapping debt applicable to the city is estimated using taxable assessed property value. Applicable percentages were estimated by determining the portion of the overlapping district's assessed value that is within the boundaries of the city divided by the district's total taxable assessed value.

Direct and Overlapping Governmental Activities Debt
City of Patterson
Table 13
185

7.2.a
Packet Pg. 269 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Fiscal Year City Population
(1)
Personal Income
(2)
Per Capita
Personal Income
(2)
Median Age
(4)
**Public School
Enrollment
County
Unemployment
Rate (%) (3)
City
Unemployment
Rate (%) (3)
County
Population (1)
2014-15 21,094 402,136,016 $ 19,064 $ 30.5 6,024 9.8% 9.3% 532,297 2015-16 436,077,360 22,590 19,304 30.5 6,031 9.5% 9.0% 540,214 2016-17 459,580,598 22,730 20,219 30.5 6,083 8.5% 8.1% 548,057 2017-18 503,526,733 23,414 21,505 30.6 6,103 7.1% 7.2% 555,624 2018-19 539,051,882 23,764 22,684 30.8 6,077 5.6% 5.5% 558,972 2019-20 544,361,808 23,074 23,592 31.3 6,179 16.1% 14.9% 557,709 2020-21 593,436,826 23,304 25,465 31.1 6,012 10.7% 10.0% 555,968 2021-22 660,385,084 24,370 27,098 31.5 6,214 4.5% 4.6% 549,466 2022-23 768,597,389 24,317 31,607 39.0 6,177 6.4% 5.4% 545,939 2023-24 876,598,446 24,790 35,361 30.4 6,138 6.2% 5.3% 548,744 Source: MuniServices, LLC / Avenu Insights & Analytics, U.S. Census Bureau, 2015 American Community Survey. (-) indicates data not available
The California Department of Finance demographics estimates now incorporate 2010 Census counts as the benchmark.

1.) Population Projections are provided by the California Department of Finance Projections.

2.) Income Data is provided by the U.S. Census Bureau, 2015 American Community Survey.

3.) Unemployment Data is provided by the EDD's Bureau of Labor Statistics Department.

4.) Median Age reflects the U.S. Census data estimation table. **Student Enrollment reflects the total number of students enrolled in Patterson Joint Unified.

City of Patterson
Table 14
Demographic and Economic Statistics
Last Ten Fiscal Years
186

7.2.a
Packet Pg. 270 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Business Name Number of
Employees
Percent of Total
Employment (%)
Number of
Employees
Percent of Total
Employment (%)
Patterson Joint Unified School District 867 7.88% 617 6.78% CVS Caremark Distribution Center 544 4.95% 466 5.12%
Amazon Fulfillment Center 541 4.92% 1000 10.99%
Grainger Distribution Center 397 3.61% 346 3.80%
Walmart Supercenter 330 3.00% 241 2.65%
City of Patterson* 264 2.40% 225 2.47%
Traina Foods 161 1.46%
King's Roofing 139 1.26% 100 1.10%
Restoration Hardware Distribution Center 95 0.86% 122 1.34% Advanced Linen Service 84 0.76%
Save Mart 73 0.80%
Brake Parts Inc (BPI) Distribution Center 56 0.62%
Total Top 10 Employers 3,422 31.11% 3,246 35.67%
Total City Labor Force (1) 11,000 9,100
Source: MuniServices, LLC / Avenu Insights & Analytics
2016-17 is the city's first ACFR publication, therefore prior year data availability is limited.

Results based on direct correspondence with city’s local businesses. (1) Total City Labor Force provided by EDD Labor Force Data. *Includes full and part time
2016-17
City of Patterson
Table 15
Principal Employers
2023-24
Last Fiscal Year and Seven Years Ago
187

7.2.a
Packet Pg. 271 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Number Number Number Number Number
Authorized Authorized Authorized Authorized Authorized
19-20 20-21 21-22 22-23 23-24
Administration:

City Manager 11111
Program Manager 00011
Public Information Officer 00001
Human Resources Director 11111
City Clerk 11111
HR Analyst 11122
HR Technician 00001
Executive Administrative Assistant Confidential 11111
Deputy City Clerk 11111
Administrative Assistant 00000
IT Manager 11111
IT Technician II 11111
Senior Code Enforcement Officer 00001
Code Enforcement Officer II 11120
Code Enforcement Officer I 11111
Graffiti Abatement Technician 00001
10 10 10 13 15
Finance:

Finance Director 11111
Accounting Manager 00011
Revenue & Utility Billing Manager 11111
Supervising Accountant 11111
Accountant 12222
Accounting Technician 11111
Account Clerk, Senior 33445
Account Clerk 32121
11 11 11 13 13
Recreation & Community Services:

Recreation & Community Services Director 11111
Recreation & Community Services Manager 11111
Recreation & Community Services Supervisor 44445
Recreation Coordinator I 00001
Recreation Coordinator II 00002
Account Clerk 22220
Administrative Assistant I 2
Administrative Assistant II 00111
Facilities & Maintenance Supervisor 11000
Facilities Superintendent 00111
Maintenance Worker I 10011
Maintenance Worker II 01110
Maintenance Worker III 11112
11 11 12 13 17
Fire:

Chief 11111
Division Chief 22333
Fire Captain - Paramedic 22233
Fire Captain 44443
Fire Engineer - Paramedic 11113
Fire Engineer 55553
Fire Fighters - Paramedic 66693
Fire Fighters 00003
Fire Marshall 00001
Fire Prevention Specialist 11111
Administrative Manager 11111
Administrative Assistant II 11111
24 24 25 29 26
City of Patterson
Table 16
Full-Time Equivalent City Government Employees
By Function/Program/Department
Last Seven Fiscal Years
188

7.2.a
Packet Pg. 272 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Number Number Number Number Number
Authorized Authorized Authorized Authorized Authorized
19-20 20-21 21-22 22-23 23-24
Community Development:

Community Development Director 11111
Planner 11111
Associate Planner 11111
Planning Technician II 22222
55555
Building & Permits:

Permit Technician I 02222
Permit Technician II 11111
13333
Engineering
Director of Engineering 11111
Associate Engineer 11111
Assistant Engineer 11111
Management Analyst 00001
Secretary I 11111
44445
Capital Projects:

Capital Project Manager 1 1 1 11
Public Works:

Director of Public Works 11111
Deputy Director of Public Works Ops & Maint 11122
Deputy Director of Public Works Compliance & Admin S 00001 Sr. Administrative Manager 11110
Public Works Inspector I 00000
Public Works Inspector II 11122
Public Works Inspector III 11111
Management Analyst 33332
Water Resource Program Manager 00001
Administrative Assistant I 00001
Administrative Assistant II 22221
Environmental Compliance Specialist 00133
Maintenance Worker I 11110
11 11 12 16 15
Equipment Mechanic:

Mechanic - Crew Leader 11111
Mechanic I 00000
Mechanic II 11122
22233
Building Maintenance:

Maintenance Worker I 12222
Maintenance Worker II 10100
10122
Parks:

Parks Supervisor 11112
Maintenance Worker III 54444
Maintenance Worker II 33444
Maintenance Worker I 12134
10 10 10 12 14
Streets:

Public Works Supervisor - Streets 0.5 0.5 0.5 0.5 0.5
Maintenance Worker III 1 1 1
Maintenance Worker II 22111
Maintenance Worker I 01123

2.5 3.5 3.5 4.5 5.5
City of Patterson
Table 15
Full-Time Equivalent City Government Employees (Continued) By Function/Program/Department
Last Seven Fiscal Years
189

7.2.a
Packet Pg. 273 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) Number Number Number Number Number
Authorized Authorized Authorized Authorized Authorized
19-20 20-21 21-22 22-23 23-24
Urban Forestry:

Public Works Supervisor - Tree 11111
Maintenance Worker III 10000
Maintenance Worker II 11453
Maintenance Worker I 23006
5 5 5 6 10
Water:

Public Works Supervisor - Water 11111
Water Operator III 44332
Water Operator II 11000
Water Operator I 00000
Water Operator in Training 00002
Maintenance Worker III 1 1 0
Maintenance Worker II 1 1 2
66667
Sewer:

Wastewater Manager 11111
Chief Waste Water Operator 11111
Wastewater Operator III 12111
Wastewater Operator II 21121
Wastewater Operator I 01002
Wasterwater Operator in Training 2 2 0
Maintenance Worker I 1 0 1 3 1
6 6 710 7
Collection:

Public Works Supervisor - Collections 0.5 0.5 0.5 0.5 0.5 Maintenance Worker III 23444
Maintenance Worker II 10000
Maintenance Worker I 11000

4.5 4.5 4.5 4.5 4.5
Electrical & Instrumentation
Electrical & Instrumentation Manager 1.0 1.0 1.0 1.0 1.0 Electrician Technician II 1.0 1.0 2.0 1.0 2.0
Electrician Technician I

2.0 2.0 3.0 2.0 3.0
Total Allocated Positions 117 119 125 147 156
Incentives Available: Specified by MOU
Source: City of Patterson Finance Department
By Function/Program/Department
Last Seven Fiscal Years
City of Patterson
Table 15
Full-Time Equivalent City Government Employees (Continued) 190

7.2.a
Packet Pg. 274 Attachment: 2024_Patterson, City of_ACFR_FINAL (FY 23-24 Financial Reports) City of Patterson
Abandoned Vehicle Abatement Program
Patterson, California
Independent Auditors’ Reports
and Financial Statements
For the Year Ended June 30, 2024

7.2.b
Packet Pg. 275 Attachment: 2024_Patterson, City of_AVA_FINAL (FY 23-24 Financial Reports) City of Patterson
Abandoned Vehicle Abatement Program
For the Year Ended June 30, 2024
Table of Contents
Page
Independent Auditors’ Report on Financial Statements .......................................................................................... 1 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 and the Abandoned Vehicle Abatement Program Handbook ........................................................................... 3 Financial Statements:

Statement of Revenues, Expenditures, and Changes in Fund Balances ................................................................... 7 Notes to the Financial Statement................................................................................................................................ 11

7.2.b
Packet Pg. 276 Attachment: 2024_Patterson, City of_AVA_FINAL (FY 23-24 Financial Reports) This page intentionally left blank.

7.2.b
Packet Pg. 277 Attachment: 2024_Patterson, City of_AVA_FINAL (FY 23-24 Financial Reports) 2121 North California Blvd., Suite 290
Walnut Creek, California 94596
INDEPENDENT AUDITORS’ REPORT
To the Honorable Mayor and Members of the City Council
of the City of Patterson
Patterson, California
Report on the Audit of the Financial Statements
Opinion
We have audited the accompanying Statement of Revenues, Expenditures and Changes in Fund Balance (the “Statement”) of the Abandoned Vehicle Abatement Program (the “Program”) of the City of Patterson, California (the “City”) as of and for the year ended June 30, 2024, and the related notes to the financial statement, as listed in the table of contents.

In our opinion, the Statement referred to above presents fairly, in all material respects, the revenues, expenditures and changes in fund balance of the program for the year ended June 30, 2024 in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion
We conducted our audit in accordance with auditing standards generally accepted in the United States of America, the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and certain provisions of the Abandoned Vehicle Abatement Program Handbook (AVA Program Handbook), issued by the California Highway Patrol. Our responsibilities under those standards are further described in the Auditors’ Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Program, and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Emphasis of Matter
As described in Note 1, the Statement is intended to present only the results of operations of the Program of the City.

It does not purport to, and does not, present fairly the financial position of the City as of June 30, 2024, and change in fund balance for the year then ended in accordance with accounting principles generally accepted in the United States of America. Our opinion is not modified with respect to this matter.

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

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

7.2.b
Packet Pg. 278 Attachment: 2024_Patterson, City of_AVA_FINAL (FY 23-24 Financial Reports) To the Honorable Mayor and Members of the City Council
of the City of Patterson
Patterson, California