Planned Scope and Timing of the Audit
We conducted our audit consistent with the planned scope and timing we previously communicated to you.
Compliance with All Ethics Requirements Regarding Independence
The engagement team, others in our firm, as appropriate, and our firm, have complied with all relevant ethical requirements regarding independence.
Significant Risks Identified
We have identified the following significant risks:
Risk of Management Override of Internal Controls – A risk of management override of internal controls exists at any entity where management can change or decide not to perform that entity’s internal controls.
Revenue Recognition Risk – Errors in revenue recognition can affect bond covenant ratios and the net position of the City.
Qualitative Aspects of the Entity’s Significant Accounting Practices
Significant Accounting Policies
Management has the responsibility to select and use appropriate accounting policies. A summary of the significant accounting policies adopted by the City is included in Note 1 to the financial statements. There have been no initial selection of accounting policies and no changes in significant accounting policies or their application during the year ended June 30, 2024. No matters have come to our attention that would require us, under professional standards, to info rm you about (1) the methods used to account for significant unusual transactions and (2) the effect of significant accounting policies in controversial or emerging areas for which there is a lack of authoritative guidance or consensus.
Significant Accounting Estimates and Related Disclosures
Accounting estimates and related disclosures are an integral part of the financial statements prepared by management and are based on management’s current judgments. Those judgments are normally based on knowledge and experience about past and curre nt events and assumptions about future events.
Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ markedly from management’s current judgments.
The most sensitive accounting estimates affecting the financial statements are capital asset depreciation and useful life, and pension plan and other post-employment benefits (OPEB) plan assumptions.
Management’s estimate of capital assets deprecia tion and useful life, and pension and OPEB plan assumptions are based on historical useful lives of such assets, and ac tuarial assumptions, respectively.
We evaluated the key factors and assumptions used to develop the estimate of capital assets depreciation 2 296
To the Honorable Mayor and Members
of the City Council of the City of Pittsburg
Pittsburg, California
and useful life, and pension and OPEB plan assumptions and determined that they are reasonable in relation to the basic financial statements taken as a whole and in relation to the applicable opinion units.
Financial Statement Disclosures
Certain financial statement disclosures involve sign ificant judgment and are particularly sensitive because of their significance to financial statement users. The most sensitive disclosures affecting the City’s financial statements relate to:
Summary of Significant Accounting Policies
Cash and Investments
Long-term Debt
Capital Assets
Employee Retirement Plans
Other Post-Employment Benefits
Commitments and Contingencies
Prior Period Adjustments
Significant Difficulties Encountered during the Audit
We encountered no significant difficulties in dealin g with management relating to the performance of the audit.
Uncorrected and Corrected Misstatements
For purposes of this communication, professional standards also require us to accumulate all known and likely misstatements identified duri ng the audit, other than those that we believe are trivial, and communicate them to the appropriate level of managem ent. Further, professional standards require us to also communicate the effect of uncorrected misst atements related to prior periods on the relevant classes of transactions, account balances or disclosures, and the financial statements as a whole and each applicable opinion unit. Uncorrected misstatements or matters underlying those uncorrected misstatements could potentially cause future-period financial statements to be materially misstated, even though the uncorrected misstatements are immaterial to the financial statements currently under audit.
Management has corrected all identified misstatements.
In addition, professional standar ds require us to communicate to you all material, corrected misstatements that were brought to the attention of management as a result of our audit procedures. The following material misstatements that we identified as a result of our audit procedures were brought to the attention of, and corrected by, management:
$28,894,793 - to reverse deferred inflows of resour ces (unavailable revenues) relating to loans receivable principal and report it as part of the fund balance. $11,157,224 - to correct the recognition of ARPA grant revenue, which was recorded as revenue in fiscal year 2022/2023 without corresponding expenditures.
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To the Honorable Mayor and Members
of the City Council of the City of Pittsburg
Pittsburg, California
Disagreements with Management
For purposes of this letter, professional standards define a disagreement with management as a matter, whether or not resolved to our satisfaction, concerning a financial ac counting, reporting, or auditing matter, which could be significant to the City’s fi nancial statements or the auditor’s report. No such disagreements arose during the course of the audit.
Representations Requested from Management
We have requested certain written representations from management, which are included in the attached letter dated March 31, 2025.
Management’s Consultations with Other Accountants
In some cases, management may decide to consult with other accountants about auditing and accounting matters. Management informed us that, and to our kn owledge, there were no consultations with other accountants regarding auditing and accounting matters.
Other Significant Matters, Findings, or Issues
In the normal course of our professional associatio n with the City, we generally discuss a variety of matters, including the application of accounting principles and auditing standards, significant events or transactions that occurred during the year, operating and regulatory conditions affecting the entity, and operational plans and strategies that may affect the risks of material misstatement. None of the matters discussed resulted in a condition to our retention as the City’s auditors.
Single Audit Compliance
In accordance with the Uniform Guidance, we examin ed, on a test basis, evidence about the City’s compliance with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) Compliance Supplement applicable to each of its major federal programs for the purpose of expressing an opinion on the City’s compliance with those requirements. While our audit provides a reasonable basis for our opinion, it does not provide a legal determination on the City’s compliance with those requirements.
Required Supplementary Information
We applied certain limited procedures to the required supplementary information (RSI) that supplements the basic financial statements. Our pr ocedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.
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To the Honorable Mayor and Members
of the City Council of the City of Pittsburg
Pittsburg, California
Supplementary Information
We were engaged to report on the supplementary information which accompany the financial statements but are not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our au dit of the financial statements. We compared and reconciled the supplementary information to the unde rlying accounting records used to prepare the financial statements or to the financial statements themselves.
Other Information Included in the Annual Report
Pursuant to professional standards, our responsibility as auditors for the introductory and the statistical sections, whether financial or nonfinancial, included in the City’s annual report, does not extend beyond the information identified in the audit report, and we are not required to perform any procedures to corroborate such other information. However, in accordance with such standards, we have read the information and considered whether such information, or the manner of its presentation, was materially inconsistent with its presentation in the financial statements.
Our responsibility also includes communicating to you any information which we believe is a material misstatement of fact. Nothing came to our attention that caused us to believe that such information, or its manner of presentation, is materially inconsistent with the information, or manner of its presentation, appearing in the financial statements.
This report is intended solely for the information and use of the City Council, and management of the City and is not intended to be and should not be used by anyone other than these specified parties.
Badawi & Associates, CPAs
Berkeley, California
March 31, 2025
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March 31, 2025
Badawi & Associates, CPAs
2855 Telegraph Ave, Suite 312
Berkeley, CA 94705
This representation letter is provided in connection with your audit of the financial statements of the City of Pittsburg, California (City) as of June 30, 2024 and for the year then ended, and the related notes to the financial statements, for the purpose of ex pressing opinions on whether the basic financial statements present fairly, in all material respects, the financial position, results of operations, and cash flows, where applicable, of the various opinion units of the City in accordance with accounting principles generally accepted for governments in the United States of America (U.S. GAAP).
Certain representations in this letter are described as being limited to matters that are material. Items are considered material, regardless of size, if they involve an omission or misstatement of accounting information that, in the light of surrounding circ umstances, there is a substantial likelihood that, individually or in the aggregate, they would influence the judgement made by a reasonable user based on the financial statements.
We confirm that, to the best of our knowledge and belief, having made such inquiries as we considered necessary for the purpose of appropriately informing ourselves as of March 31, 2025:
Financial Statements
1. We have fulfilled our responsibilities, as set out in the terms of the audit engagement letter dated September 16, 2024 for the preparation and fair presentation of the financial statements of the various opinion units referred to above in accordance with U.S. GAAP.
2. We acknowledge our responsibility for the design, implementation, and maintenance of the system 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.
3. We acknowledge our responsibility for the design, implementation, and maintenance of internal control to prevent and detect fraud.
4. We acknowledge our responsibility for compliance with the laws, regulations, and provisions of contracts and grant agreements.
5. We have reviewed, approved, and taken responsibi lity for the financial statements and related notes.
6. We have a process to track the status of audit findings and recommendations.
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7. We have identified and communicated to you all previous audits, attestation engagements, and other studies related to the audit objectives and whether related recommendations have been implemented.
8. The methods, data, and significant assumptions used by us in making accounting estimates and their related disclosures are appropriate to achieve recognition, measurement, or disclosure that is reasonable in the context of the applicable financial reporting framework.
9. All related party relationships and transaction s have been appropriately accounted for and disclosed in accordance with the requirements of U.S. GAAP.
10. All events subsequent to the date of the financial statements and for which U.S. GAAP requires adjustment or disclosure have been adjusted or disclosed.
11. The effects of all known actual or possible lit igation and claims have been accounted for and disclosed in accordance with U.S. GAAP.
12. All component units, as well as joint ventures with an equity interest, are included and other joint ventures and related organizations are properly disclosed.
13. All funds and activities are properly classified.
14. All funds that meet the quantitative criteria in GASB Statement No. 34, Basic Financial Statements—and Management's Discussion and Analysis—for State and Local Governments , GASB Statement No. 37, Basic Financial Statements—and Management's Discussion and Analysis—for State and Local Governments: Omnibus as amended, and GASB Statement No. 65, Items Previously Reported as Assets and Liabilities, for presentation as major are id entified and presented as such and all other funds that are presented as major are considered important to financial statement users.
15. All components of net position, nonspendable fund balance, and restricted, committed, assigned, and unassigned fund balance are properly classified and, if applicable, approved.
16. Our policy regarding whether to first apply restricted or unrestricted resources when an expense is incurred for purposes for which both restricted and unrestricted net position/fund balance are available is appropriately disclosed and net position/fund balance is properly recognized under the policy.
17. All revenues within the statement of activities have been properly classified as program revenues, general revenues, contributions to term or permanent endowments, or contributions to permanent fund principal.
18. All expenses have been properly classified in or allocated to functi ons and programs in the statement of activities, and allocations, if any, have been made on a reasonable basis.
19. All interfund and intra-entity transactions an d balances have been pr operly classified and reported.
20. Deposit and investment risks have been properly and fully disclosed.
21. Capital assets, including infrastructure asse ts, are properly capitalized, reported, and if applicable, depreciated.
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22. All required supplementary information is me asured and presented within the prescribed guidelines.
23. With regard to investments and other instruments reported at fair value:
a. The underlying assumptions are reasonable and they appropriately reflect management’s intent and ability to carry out its stated courses of action. b. The measurement methods and related assumptions used in determining fair value are appropriate in the circumstances and have been consistently applied. c. The disclosures related to fair values are complete, adequate, and in accordance with U.S.
GAAP.
d. There are no subsequent events that require adjustments to the fair value measurements and disclosures included in the financial statements.
24. With respect to providing assistance in preparation of the financial statements and related notes of the City, we have performed the following:
a. Made all management decisions and performed all management functions; b. Assigned a competent individual to oversee the services; c. Evaluated the adequacy of the services performed;
d. Evaluated and accepted responsibility for the result of the service performed; and e. Established and maintained controls, including the process to monitor the system of internal control.
Information Provided
25. We have provided you with:
a. Access to all information, of which we are aw are that is relevant to the preparation and fair presentation of the financial statements of the various opinion units referred to above, such as records, documentation, meeting minutes, and other matters; b. Additional information that you have requested from us for the purpose of the audit; and c. Unrestricted access to persons within the entity from whom you determined it necessary to obtain audit evidence.
26. The financial statements and any other information included in the annual report are consistent with one another, and the other information does not contain any material misstatements.
27. All transactions have been recorded in the accoun ting records and are reflected in the financial statements.
28. We have disclosed to you the results of our assessme nt of the risk that the financial statements may be materially misstated as a result of fraud.
29. We have provided to you our analysis of the enti ty’s ability to continue as a going concern, including significant conditions and events present, and if necessary, our analysis of management’s plans, and our ability to achieve those plans.
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30. We have no knowledge of any fraud or suspected fraud that affects the entity and involves:
a. Management;
b. Employees who have significant roles in internal control; or c. Others where the fraud could have a material effect on the financial statements.
31. We have no knowledge of any allegations of frau d, or suspected fraud, affecting the entity’s financial statements communicated by employees, former employees, vendors, regulators, or others..
32. We have disclosed to you all known actual or possible litigation, claims, and assessments whose effects should be considered when preparing the financial statements.
33. We have disclosed to you the identity of the en tity’s related parties an d all the related party relationships and transactions of which we are aware.
34. There have been no communication s from regulatory agencies co ncerning noncompliance with or deficiencies in accounting, internal control, or financial reporting practices.
35. The City has no plans or intentions that may materially affect the carrying value or classification of assets and liabilities.
36. We have disclosed to you all guarantees, whethe r written or oral, under which the City is contingently liable.
37. We have disclosed to you all nonexchange financial guarantees, under which we are obligated and have declared liabilities and disclosed properly in accordance with GASB Statement No. 70, Accounting and Financial Reporting for Nonexchange Financial Guarantees , for those guarantees where it is more likely than not that the entity will make a payment on any guarantee.
38. For nonexchange financial guarantees where we have declared liabilities, the amount of the liability recognized is the discounted present valu e of the best estimate of the future outflows expected to be incurred as a result of the guarantee. Where there was no best estimate but a range of estimated future outflows has been established, we have recognized the minimum amount within the range.
39. We have disclosed to you all significant esti mates and material concentrations known to management that are required to be disclosed in accordance with GASB Statement No. 62 (GASB- 62), Codification of Accounting and Financial Reportin g Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncements. Significant estimates are estimates at the balance sheet date that could change materially within the next year. Concentrations refer to volumes of business, revenues, available sources of supply, or market s or geographic areas for which events could occur that would significantly disrupt normal finances within the next year.
40. We have identified and disclosed to you the laws , regulations, and provisions of contracts and grant agreements that could have a direct and material effect on financial statement amounts, including legal and contractual provisions for reporting specific activities in separate funds.
41. There are no:
a. Violations or possible violations of laws or regulations, or provisions of contracts or grant agreements whose effects should be considered for disclosure in the financial statements Docusign Envelope ID: 883D968F-ED24-4405-90B0-F5B583167E62 10 304
or as a basis for recording a loss contingency, including applicable budget laws and regulations.
b. Unasserted claims or assessments that our lawy er has advised are probable of assertion and must be disclosed in accordance with GASB-62.
c. Other liabilities or gain or loss contingencies that are required to be accrued or disclosed by GASB-62
d. Continuing disclosure consent decree agreements or filings with the Securities and Exchange Commission and we have filed updates on a timely basis in accordance with the agreements (Rule 240, 15c2-12).
42. The City has satisfactory title to all owned assets, and there are no liens or encumbrances on such assets nor has any asset or future revenue been pledged as collateral, except as disclosed to you.
43. We have complied with all aspects of grant agreements and other contractual agreements that would have a material effect on the financial statements in the event of noncompliance.
44. We have reviewed and approved the various adjusting journal entries that were proposed by you for recording in our books and records reflected in the financial statements.
45. We have provided to you our views on re ported audit findings, conclusions, and recommendations, as well as planned corrective actions.
46. The City has satisfactory title to all owned assets (not right to use assets that are leased), and there are no liens or encumbrances on such capital assets; nor has the City pledged any capital assets as collateral.
47. There have been no cybersecurity breaches or other cyber events whose effects should be considered for disclosure in the financial statements, as a basis for a loss contingency, or otherwise considered when preparing the financial statements.
48. The significant judgements made in making the accounting estimates have taken into account all relevant information of which we are aware.
49. We have consistently and appropriately selected and applied methods, assumptions, and data when making the accounting estimates.
50. The assumptions we used in making and disclosi ng accounting estimates appropriately reflect our intent and ability to carry out specific courses of action on behalf of the City when relevant to the accounting estimates and disclosures.
51. The disclosures related to accounting estimates, including those disclosures describing estimation uncertainty, are complete and are reasonable in the context of the applicable financial reporting framework.
52. We have obtained and applied appropriate spec ialized skills and expertise in making the accounting estimates.
53. We are not aware of any events subsequent to th e date of the financial statements that require adjustment to our accounting estimates and related disclosures included in the financial statements.
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54. We agree with the findings of specialists in eval uating the amounts related to the City’s pension and OPEB plans, and have adequately considered the qualifications of the specialist in determining the amounts and disclosures used in the financial statements and underlying accounting records. We did not give or cause an y instructions to be given to specialists with respect to the values or amounts derived in an attempt to bias their work, and we are not otherwise aware of any matters that have had an impact on the independence or objectivity of the specialists.
55. Provisions for uncollectible receivables have been properly identified and recorded.
56. The methods and significant inputs and assumption s used to determine fair values of financial instruments are determined by the City’s investment custodians
57. The following information about financial instrume nts with off-balance shee t risk and financial instruments with concentrations of credit risk has been properly disc losed in the financial statements: (a) the extent, nature, and terms of financial instrume nts with off-balance-sheet risk, (b) the amount of credit risk of financial instruments with off-balance-sheet risk and information about the collateral supporting such financial instruments, and (c) significant concentrations of credit risk from all financial instruments and information about the collateral supporting such financial instruments.
58. We believe that the actuarial assumptions and methods used to measure the pension and other postemployment benefit liabilities and cost for financial accounting purposes are appropriate in the circumstances.
59. With respect to the required supplementar y information (RSI) accompanying the financial statements:
a. We acknowledge our responsibility for the presentation of the RSI in accordance with U.S.
GAAP.
b. We believe the RSI, including its form and co ntent, is measured and fairly presented in accordance with U.S. GAAP.
c. The methods of measurement or presentation have not changed from those used in the prior period.
d. There were no significant assumptions or interpretations underlying the measurement or presentation of the RSI.
60. With respect to the Supplementary Information on which an in-relation opinion is issued accompanying the financial statements:
a. We acknowledge our responsibility for the presentation of the Supplementary Information in accordance with U.S. GAAP.
b. We believe the Supplementary Information, in cluding its form and content, is fairly presented in accordance with U.S. GAAP.
c. The methods of measurement or presentation have not changed from those used in the prior period.
d. There were no significant assumptions or interpretations underlying the measurement of the Supplementary Information.
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e. When the Supplementary Information is not presented with the audited financial statements, management will make the audited financial statements re adily available to the intended users of the Supplementary Information no later than the date of issuance by the entity of the Supplementary Information and the auditor’s report thereon. f. We acknowledge our responsibility to include the auditor’s report on the Supplementary Information in any document containing the Supplementary Information and that indicates the auditor reported on such Supplementary Information. g. We acknowledge our responsibility to presen t the Supplementary Information with the audited financial statements or, if the Supp lementary Information will not be presented with the audited financial statements, to make the audited financial statements readily available to the intended users of the Supplementary Information no later than the date of issuance by the entity of the Supplemen tary Information and the auditor’s report thereon.
Schedule of Expenditures of Federal Awards (SEFA)
61. With respect to federal awards, we represent the following to you:
a. We are responsible for understanding and complying with, and have complied with, the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
b. We are responsible for the preparation and pres entation of the schedule of expenditures of federal awards in accordance with the Uniform Guidance. c. We believe the schedule of expenditures of federal awards, including its form and content, is fairly presented in accordance with the Uniform Guidance. d. The methods of measurement or presentation have not changed from those used in the prior period.
e. We are responsible for including the auditor’s report on the schedule of expenditures of federal awards in any document that contains the schedule and that indicates that the auditor has reported on such information.
f. We have identified and disclosed all of our government programs and related activities subject to the Uniform Guidance compliance audit.
g. We have notified you of federal awards and funding increments that were received before December 26, 2014 (if any) and differentiated those awards from awards and funding increments received on or after December 26, 2014, and subject to the audit requirements of the Uniform Guidance.
h. We have notified you if we have elected to delay implementation the procurement sections (317 to 326) of the Uniform Guidanc e as allowed for three fiscal years after the effective date of the uniform guidance. We understand that sections 317 to 326 are allowed to be delayed until fiscal years beginning on or after December 26, 2017 (if electing to delay).
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i. When the schedule of expenditures of federal awards is not presented with the audited financial statements, we will make the audite d financial statements readily available to the intended users of the schedule of expenditures of federal awards no later than the date of issuance by the entity of the schedule of expenditures of federal awards and the auditor’s report thereon.
j. We have, in accordance with the Uniform Guidance, identified in the schedule of expenditures of federal awards, expenditures made during the audit period for all awards provided by federal agencies in the form of grants, federal cost-reimbursement contracts, loans, loan guarantees, property (including donated surp lus property), cooperative agreements, interest subsidies, food commo dities, direct appropriations, and other assistance.
k. We have provided to you our interpretation s of any compliance requirements that are subject to varying interpretations.
l. We have made available to you all federal awards (including amendments, if any) and any other correspondence relevant to federa l programs and related activities that have taken place with federal agencies or pass-through entities. m. We have received no requests from a federal agency to audit one or more specific programs as a major program.
n. We have identified and disclosed to yo u all amounts questioned and any known noncompliance with the direct and material compliance requirements of federal awards, including the results of other audits or program reviews, or stated that there was no such noncompliance. We also know of no instances of noncompliance with direct and material compliance requirements occurring subsequent to period covered by the auditor’s report. o. We have disclosed to you any communications from federal awarding agencies and pass- through entities concerning possible nonc ompliance with the direct and material compliance requirements, including communications received from the end of the period covered by the compliance audit to the date of the auditor’s report. p. We have made available to you all documentat ion related to compliance with the direct and material compliance requirements, including information related to federal program financial reports and claims for advances and reimbursements. q. Federal program financial reports and clai ms for advances and reimbursements are supported by the books and records from which the basic financial statements have been prepared (and are prepared on a basis consis tent with the schedule of expenditures of federal awards).
r. The copies of federal program financial reports provided to you are true copies of the reports submitted, or electronically transmitted, to the respective federal agency or pass- through entity, as applicable.
s. We have properly classified amounts claimed or used for matching in accordance with related guidelines in the Uniform Guidance, as applicable. t. We have charged costs to federal awards in accordance with applicable cost principles.
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u. We are responsible for and have accurately prepared the summary schedule of prior audit findings to include all findings required to be included by the Uniform Guidance, and we have provided you with all information on th e status of the follow-up on prior audit findings by federal awarding agencies and pass-through entities, including all management decisions.
v. We have disclosed to you the findings received and related corrective actions taken for previous audits, attestation engagements, an d internal or external monitoring that directly relate to the objectives of the comp liance audit, including findings received and corrective actions taken from the end of the period covered by the compliance audit to the date of the auditor’s report.
w. The reporting package does not contain personally identifiable information. x. We have reviewed, approved, and taken responsibility for accrual adjustments and an acknowledgment of the auditor’s role in the preparation of the adjustments. y. We have disclosed to you the nature of any subsequent events that provide additional evidence with respect to conditions that exis ted at the end of the reporting period that affect noncompliance during the reporting period.
In addition:
z. We are responsible for understanding and co mplying with the requirements of federal statutes, regulations, and the terms and conditions of federal awards related to each of our federal programs and have identified and disclosed to you the federal statutes, regulations, and the terms and conditions of federal awards that are considered to have a direct and material effect on each major federal program; and we ha ve complied with these direct and material compliance requirements.
aa. We are responsible for establishing and maintaining, and have established and maintained, effective internal control over compliance for federal programs that provide reasonable assurance that we are managing our federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal award that could have a material effect on our federal programs. Also, no changes have been made in the internal control over compliance or other factors that might significantly affect internal control, including any corrective action taken by management with regard to significant deficiencies and material weaknesses in inte rnal control over compliance, have occurred subsequent to the period covered by the auditor’s report. bb. We are responsible for and have accurately completed the appropriate sections of the Data Collection Form and we are responsible for taki ng corrective action on audit findings of the compliance audit and have developed a corrective action plan that meets the requirements of the Uniform Guidance.
Garrett Evans, City Manager Paul Rodrigues, Finance Director
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City of
Pittsburg
Pittsburg, California
Single Audit Reports
For the year ended June 30, 2024
310
311
City of Pittsburg
Single Audit Reports
For the year ended June 30, 2024
Table of Contents
Page
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 .................................................................... 1 Report on Compliance for Each Major Program and Report on Internal Control over Compliance in Accordance with the Uniform Guidance And on the Schedule of Expenditures of Federal Awards ................................................................................ 3 Schedule of Expenditures of Federal Awards..................................................................................................... 7 Notes to the Schedule of Expenditures of Federal Awards.............................................................................. 8 Schedule of Findings and Questioned Costs....................................................................................................... 9 312
313
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
Independent Auditor’s Report
To the Honorable Mayor and Members of City Council
of the City of Pittsburg
Pittsburg, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Pittsburg, California (City), as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements and have issued our report thereon dated March 31, 2025.
Report on Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. We identified certain deficiencies in internal control, described in the accompanying schedule of findings and questioned costs as items 2024-001 and 2024-002 that we consider to be significant deficiencies. 1 314
To the Honorable Mayor and Members of City Council
of the City of Pittsburg
Pittsburg, California
Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.
City’s Response to Findings
Government Auditing Standards requires the auditor to perform limited procedures on the City’s response to findings identified in our audit and described in the accompanying schedule of findings and questioned costs. The City’s response was not subjected to the other auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on it.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
Badawi & Associates, CPAs
Berkeley, California
March 31, 2025
2 315
REPORT ON COMPLIANCE FOR EACH MAJOR PROGRAM AND REPORT ON INTERNAL
CONTROL OVER COMPLIANCE IN ACCORDANCE WITH THE UNIFORM GUIDANCE AND
ON THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
Independent Auditor’s Report
To the Honorable Mayor and Members of City Council
of the City of Pittsburg
Pittsburg, California
Report on Compliance for Each Major Federal Program
Opinion on Each Major Federal Program
We have audited the City of Pittsburg, California’s (City) compliance with the types of compliance requirements described in the OMB Compliance Supplement that could have a direct and material effect on each of the City’s major federal programs for the year ended June 30, 2024. The City’s major federal programs are identified in the summary of auditor’s results section of the accompanying schedule of findings and questioned costs.
In our opinion, the City, complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2024.
Basis for Opinion on Each Major Federal Program
We conducted our audit of compliance 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 the audit requirements of Title 2 U.S.
Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Our responsibilities under those standards and the Uniform Guidance are further described in the Auditor’s Responsibilities for the Audit of Compliance section of our report.
We are required to be independent of City and to meet our other ethical responsibilities, in accordance with 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 opinion on compliance for each major federal program.
Our audit does not provide a legal determination of City’s compliance with the compliance requirements referred to above.
3 316
To the Honorable Mayor and Members of City Council
of the City of Pittsburg
Pittsburg, California
Responsibilities of Management for Compliance
Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over compliance with the requirements of laws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to the City’s federal programs.
Auditor’s Responsibilities for the Audit of Compliance
Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on City’s compliance based on our audit. 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 generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance will always detect material noncompliance when it exists. The risk of not detecting material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about City’s compliance with the requirements of each major federal program as a whole.
In performing an audit in accordance with generally accepted auditing standards (GAAS), Government Auditing Standards, and the Uniform Guidance, we:
Exercise professional judgment and maintain professional skepticism throughout the audit. Identify and assess the risks of material noncompliance, 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 City’s compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances. Obtain an understanding of City’s internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of City’s internal control over compliance. Accordingly, no such opinion is expressed.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit. 4 317
To the Honorable Mayor and Members of City Council
of the City of Pittsburg
Pittsburg, California
Report on Internal Control over Compliance
A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, material weaknesses or significant deficiencies in internal control over compliance may exist that were not identified.
Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed.
The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose. 5 318
To the Honorable Mayor and Members of City Council
of the City of Pittsburg
Pittsburg, California
Report on Schedule of Expenditures of Federal Awards Required by the Uniform Guidance
We have audited the financial statements of the governmental activities, business-type activities, each major fund, and the aggregate remaining fund information of the City, as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements. We issued our report thereon dated March 31, 2025, which contained unmodified opinions on those financial statements. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the basic financial statements. The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by the Uniform Guidance and is not a required part of the basic financ ial statements. Such information is the responsibility of management and was derived from and relates direct ly 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 financial statements and certai n 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 th e 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 schedule of expenditures of federal awards is fairly stated in all material respects in relation to the basic financial statements as a whole.
Badawi & Associates, CPA’s
Berkeley, California
March 31, 2025
6 319
City of Pittsburg
Schedule of Expenditures of Federal Awards
For the year ended June 30, 2024
Program Name
Assistance
Listing
Number
Agency or Pass-
Through Entity Grant
Number
Program
Expenditures
Subrecipient
Payments
Federal Awards
U.S. Department of Housing and Urban Development:
Direct Programs
CDBG-Entitlement /Special Purpose Grants Cluster
Community Development Block Grants/Entitlement Grants 14.225 B20MC060054 499,203$ - Subtotal CDBG-Entitlement /Special Purpose Grants Cluster 499,203 - Housing Voucher Cluster-Cluster
Section 8 Housing Choice Vouchers 14.871 n/a 24,370,202 - Subtotal Housing Voucher cluster 24,370,202 -
Total U.S. Department of Housing and Urban Development 24,869,405 - U.S. Department of Justice:
Direct Programs
Edward Byrne Memorial Justice Assistance Grant Program 16.738 15PBJA-22-GG-02545-JAGX 685 - Edward Byrne Memorial Justice Assistance Grant Program 16.738 15PBJA-23-GG-03153-JAGX 36,344 - Total U.S. Department of Justice 37,029 -
U.S. Department of Transportation:
Passed through the State of California Department of Transportation Highway Planning and Construction 20.205 CML-5127(036) 122,474 - Highway Planning and Construction 20.205 HSIPL-5127(037) 579,260 - Highway Planning and Construction 20.205 STPL-5127(041) 1,547,427 - Total U.S. Department of Transportation 2,249,161 - U.S. Department of the Treasury:
Direct Programs
Coronavirus Relief Fund 21.019 n/a 91,154 - Coronavirus State and Local Fiscal Recovery Funds 21.027 n/a 2,191,671 - Total U.S. Department of the Treasury 2,282,825 - U.S. Environemntal Protection Agency:
Direct Programs
Brownfields Multi-Purpose Cooperative Program 66.818 99T90901 45,358 - Total U.S. Environemntal Protection Agency: 45,358 - Total Federal Expenditures 29,483,778$ -$
See accompanying Notes to the Schedule of Expenditures of Federal Awards 7 320
City of Pittsburg
Notes to the Schedule of Expenditures of Federal Awards For the year ended June 30, 2024
A. Reporting Entity
The Schedule of Expenditure of Federal Awards (the Schedule) includes expenditures of federal awards for the City of Pittsburg, California (City) and its component units as disclosed in the notes to the Basic Financial Statements.
The City was incorporated under the General Laws of the State of California and enjoys all the rights and privileges pertaining to such “General Law” cities. The City uses the Council/Manager form of government. The financial reporting entity consists of (a) the primary government, the City, (b) organizations for which the primary government is financially accountable, and (c) other organizations for which the primary government is not accountable, but for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity’s financial statements to be misleading or incomplete.
Component units are legally separate organizations for which the elected officials of the primary government are financially accountable. In addition, component units can be other organizations for which the primary government’s exclusion would cause the reporting entity’s financial statements to be misleading or incomplete.
The following component units are included in the basic financial statements of the City:
Housing Authority
Public Infrastructure Financing Authority
Pittsburg Arts & community Foundation
Southwest Pittsburg GHADD II
B. Basis of Accounting
Funds received under the various grant programs have been recorded with separated account codes.
The City utilizes the modified accrual method of accounting for the special revenue funds. Modified accrual accounting recognizes revenues when they become available and measurable and, with a few exceptions, recognizes expenditures when liabilities are incurred. The accompanying Schedule of Expenditures of Federal Awards (Schedule) has been prepared on the modified accrual basis of accounting.
C. Relationship of Schedule of Expenditures of Federal Awards to Financial Statements The accompanying Schedule presents the activity of all federal financial assistance programs of the City.
Federal financial assistance received directly from federal agencies as well as federal financial assistance passed through the State of California is included in the Schedule.
The Schedule was prepared only from the accounts of various grant programs and, therefore, does not present the financial position or results of operations of the City. 8 321
City of Pittsburg
Notes to the Schedule of Expenditures of Federal Awards For the year ended June 30, 2024
D. Pass-Through Entities’ Identifying Number
When federal awards were received from a pass-through entity, the Schedule shows, if available, the identifying number assigned by the pass-through entity. When no identifying number is shown, the City determined that no identifying number is assigned for the program or the City was unable to obtain an identifying number from the pass-through entity.
E. Indirect Costs
The City did not elect to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
F. Loans and/or Loan Guarantee Program
The following loan program balance and transaction relating to these programs are included in City’s basic financial statements. Loans outstanding at the beginning of the year and loans made during the year are included in the federal expenditures presented in the Schedule. The balance of loans outstanding at June 30, 2024 consists of the following:
Assistance
Listing
Number Program Name
Outstanding
Balance at
June 30, 2024
14.218 Community Development Block Grant/Entitlement Grants $235,800 9 322
City of Pittsburg
Single Audit Reports
Schedule of Expenditures of Federal Awards
For the year ended June 30, 2024
Section I - Summary of Auditor’s Results
Financial Statements
Types of auditor’s report issued: Unmodified
Internal control over financial reporting:
Material weakness(es) identified? No
Significant deficiency(ies) identified? Yes
Any noncompliance material to the financial statements noted? No
Federal Awards
Internal control over major programs:
Material weakness(es) identified? No
Significant deficiency(ies) identified? None noted
Type of auditor’s report issued on compliance for major programs Unmodified
Any audit findings disclosed that are required to be reported in Accordance with section 200.516(a) No
Identification of major programs:
Federal ALN # Name of Federal Program or Cluster Expenditures
14.871 Section 8 Housing Choice Vouchers 24,370,202$
20.205 Highway Planning and Construction 2,249,161
21.027 Coronavirus State and Local Fiscal Recovery Funds 2,191,671 Total Expenditures of All Major Federal Programs 28,811,034$ Total Expenditures of Federal Awards 29,483,778$
Percentage of Total Expenditures of Federal Awards 97.7%
Dollar threshold used to distinguish between type A and type B program $884,513
Auditee qualified as low-risk auditee under
section 200.520? Yes
10 323
City of Pittsburg
Single Audit Reports
Schedule of Expenditures of Federal Awards
For the year ended June 30, 2024
Section II – Financial Statement Findings
A. Current Year Findings
2024-001: Restatements of Previously Issued Financial Statements – Significant Deficiency
Criteria
The City is responsible for the fair presentation of the financial statements in conformity with accounting principles generally acce pted in the United States of Amer ica. This includes having controls in place to detect and address errors, omissions, and misstatements in a timely manner.
Condition
During fiscal year 2023/2024, the City recorded prior period adjustments to (1) correct the accounting for loans receivable, which had previously been offset by a corresponding deferred inflow of resources, instead of reporting it as part of the City’s fund balance, and (2) correct the recognition of ARPA grant revenue, which was recorded as revenue in fiscal year 2022/2023 without corresponding expenditures.
Cause
The misstatement relating to loans receivable appears to be a misinterpretation of how to apply the accounting standards at the time the loans were given, and the City control procedures did not extend to review previously adopted acco unting practices. The misstatement relating to the recognition of ARPA grant revenue was an oversight.
Effect
The City’s previously issued financial statements were not fairly stated in conformity with accounting principles generally accepted in the United States of America.
Recommendation
We recommend that the City expand its year-end closing to include formalized procedures for identifying, investigating, and correcting errors or misstatements in previously issued financial statements such as review of all accounts in the City's general ledger to ensure that amounts can be supported, are complete and are derived by correctly applying accounting standards.
Management Response
The City is implementing GASB 100 (Accounting Chang es and Error Corrections) for the first time with the FY 23-24 audit. Before GASB 100, recording deferred inflows of resources to offset the loan receivable principal portion was a common practice by government agencies. The City will change its accounting practice moving forward.
From the city’s perspective, the early guidance on AR PA lacked clarity in recognizing when to record the City’s loss of revenue due to COVID which led to some governmental agencies, that the city consulting with, recording revenue when funds we re formally committed rather than expended. The City will change its accounting practice moving forward.
11 324
City of Pittsburg
Single Audit Reports
Schedule of Expenditures of Federal Awards
For the year ended June 30, 2024
Section II – Financial Statement Findings, Continued
A. Current Year Findings
2024-002: Financial Closing and Audit Preparedness– Significant Deficiency Criteria
The City is responsible for a timely presentation of the financial statements in conformity with accounting principles generally accepted in the United States of America. In addition, an effective internal control system over financial closing and reporting provides reasonable assurance for the safeguarding of assets, the reliability of financial information, and compliance with laws and regulations.
Condition
During the performance of the audit, we noted that the City was not fully prepared for the audit. As a result, numerous journal entries were posted after the trial balance was provided for the audit.
Additionally, many of the requested audit documents and schedules were not available within the scheduled fieldwork period.
Cause
The city was not fully prepared for the audit. Furthermore, the closing procedures in place were not adequate to ensure all transactions were properly recorded and accounted for.
Effect
The trial balance provided by the City did not include all necessary adjustments needed to complete the audit timely.
Recommendation
We recommend that the City enhance its year-end closing procedures to ensure that its books are as complete and accurate as possible before commencement of the audit Management Response
The City agrees with the findings and is in the process of updating and improving year-end closing. 12 325
City of Pittsburg
Single Audit Reports
Schedule of Expenditures of Federal Awards
For the year ended June 30, 2024
Section II – Financial Statement Findings, Continued
B. Prior year Findings
2023-001: Timely Bank Reconciliations
Criteria
The City should ensure that bank reconciliations are prepared and reviewed in a timely matter, within 30 to 45 days after receipt of the respective month’s bank statement.
Condition
During our fiscal year 2 023 audit, we noted that the City’s b ank reconciliations for the months from October 2022 through June 2023 were not prepared and reviewed until December 2023 and January 2024, respectively.
Cause
Due to delays related to a new Housing software implementation that occurred during fiscal year 2023 combined with staff shortages within the Finance and Housing departments.
Effect
Without timely preparation and review of bank reconc iliations, the risk of unauthorized transactions, errors, material misstatements or potential fraud increases.
Recommendation
We recommend that the City develop procedures to ensure that bank reconc iliations are prepared and reviewed in a timely manner, within 30 to 45 days after receipt of the respective month’s bank statement.
Management’s Response
The City agrees with the finding and the recommendation for timely Bank Reconciliations. Management will review the internal control process and staffi ng allocations of duties to make sure Bank Reconciliations are completed, reviewed and approved on a timely matter, within 30-45days.
Current Status
Implemented.
13 326
City of Pittsburg
Single Audit Reports
Schedule of Expenditures of Federal Awards
For the year ended June 30, 2024
Section III – Federal Award Program Audit Findings
A. Current Year Findings and Questioned Costs – Major Federal Award Program Audit
No findings or questioned costs were noted in the current year.
B. Prior Year Findings and Questioned Costs – Major Federal Award Program Audit
Finding SA2023-001: Department of Housing and Urban Development Voucher Management System (VMS) Monitoring Review Findings
Assistance Listing Number: 14.871
Assistance Listing Title: Section 8 Housing Choice Vouchers Cluster Name of Federal Agency: Department of Housing and Urban Development Federal Award Identification Number and Year: CA060VO (2023)
Criteria
24 CFR Section 982 requires recipients of Section 8 Ho using Choice Vouchers to submit data on monthly leasing activities and costs for the program via m andatory Public Housing Authority (PHA) reporting through the Voucher Management System (VMS). The Department of Housing and Urban Development (HUD) reviews VMS data and uses the data for a variety of major functions, including budget formulation, utilization analysis and funding allocations.
Condition
During the current year, the City underwent a moni toring review by the grantor related to the VMS data submitted by the City to HUD for the City’s Section 8 Housing Choice Voucher Program (Program) for the time period of December 1, 2021 through No vember 30, 2022. The purpose of the review was to validate the Unit Months Leased (UML) and rela ted Housing Assistance Payment (HAP) expenses certified as accurate by the PHA. The grantor issued a letter dated March 6, 2023 detailing the results of the review.
The monitoring review results included one finding and three concerns:
Finding 1: Multiple HAP and unit months leased (UML) categories could not be validated, adversely affecting validation of total HAP and total UML. Concern 1: The portable vouchers administered UML and HAP could not be validated. Concern 2: Vouchers issued but not under HAP co ntract on the last day of the month could not be validated.
Concern 3: The PHA did not report the number of project-based vouchers (PBVs) under an agreement to enter into a HAP contract and not under a HAP contract. Concern 4: The number of PBVs under HAP contract and leased/not leased; and the total PBV HAP expenses could not be validated.
Effect
The Housing Authority is not in compliance with the requirements set forth by 24 CFR Section 982 regarding VMS reporting.
14 327
City of Pittsburg
Single Audit Reports
Schedule of Expenditures of Federal Awards
For the year ended June 30, 2024
Section III – Federal Award program Audit Findings, Continued
B. Prior Year Findings and Questioned Costs – Major Federal Award Program Audit, Continued
Cause
The Housing Authority’s re-inspection delays disc ussed above were due to understaffing at the Housing Authority during fiscal years 2022 and 2023. Furthermore, the Housing Authority converted its Housing software during fiscal year 2022. During the data migration process, certain leasing and contract documents did not transfer into the new Housing software and the Housing Authority no longer had access to certain leasing and contract documents.
Recommendation
Although the City responded to the findings in it s April 6, 2023 letter to the grantor with corrective action plans, the City should revise its policies and procedures, where applicable, to ensure that all VMS reporting is in compliance with the grant requirements and CFR. In addition, the City should continue to work with HUD to ensure compliance with all goal s identified in the corrective action plan provided to HUD.
View of Responsible Officials and Planned Corrective Actions With the implementation of the new software, Yardi Voyager 7s, a plan is in place to develop Standard Operating Procedures that are consistent with the City of Pittsburg’s Standard Operating Procedures. The Housing Authority Staff is updating the Administrative Plan to address operational procedures, and the Finance Department Staff are de veloping procedures for internal control and transactional review.
The Housing Authority has and will continue to pr ovide resources for training and education. The budget for Fiscal Year 2023-2024 includes an increased allocation for Staff Training. Source documents have been collected and data is under review. We have engaged our former Accountant II to assist with corrections for Decemb er 2021- June 2022. The current Accountant II is finalizing an open ticket with Yard i to correct errors to the softwa re-generated VMS report for July 2022-November 2022.
The reporting errors have been identified as originating from an improper account set up during initial implementation. We have opened a ticket with the software vendor and the Yardi Development team is reviewing our findings.
Current Status
Implemented.
15 328
OFFICE OF THE CITY MANAGER/EXECUTIVE DIRECTOR
65 Civic Avenue
Pittsburg, CA 94565
TO: Mayor and Council Members
FROM: Garrett Evans, City Manager
SUBJECT: Adoption of City Council Ordinance Amending Section 1.28.015 of the Pittsburg Municipal Code to Replace City Logo
MEETING DATE: April 21, 2025
EXECUTIVE SUMMARY
On April 7, 2025, staff introduced and the Council waived the first reading of the Amendment to Section 1.28.015, “City Logo,” at the City Council meeting. The ordinance is now ready for City Council adoption.
FISCAL IMPACT
There is no fiscal impact with this amendment to the PMC.
RECOMMENDATION
Move to adopt the Ordinance approving the Amendment to Section 1.28.015, “City Logo,” of the Pittsburg Municipal Code to update the City’s new logo.
BACKGROUND
The requested amendment, if approved, would replace the existing logos in Section
1.28.015, “City Logo.”
For a more detailed discussion of the application in its entirety, the City Council may refer to the April 7, 2025 staff report titled “Introduction and Waive First Reading of an Ordinance Amending Section 1.28.015 of the Pittsburg Municipal Code and by Minute Order Accepting the Brand Standards.”
SUBCOMMITTEE FINDINGS
This item was not reviewed by a subcommittee.
329
STAFF ANALYSIS
The City of Pittsburg has adopted an official seal and logo, which are used in the authentication of official records and to identify City programs, initiatives, partnerships, and sponsorships. The official seal and logo are considered symbols of the authority and jurisdiction of the City.
The City of Pittsburg has developed a revised logo, which retains the general look of the current logo, but modernizes its overall appearance. The logo also incorporates a revised wordmark.
On April 7, 2025, staff introduced and the Council waived the first reading of the Amendment to Section 1.28.015, “City Logo,” at the City Council meeting. The Ordinance becomes effective 30 days after its adoption.
ATTACHMENTS: Ordinance
Report Prepared By: Dhaynae Romero, Administrative Analyst II 330
Ordinance No. 25- Page 1 of 2 April 21, 2025
BEFORE THE CITY COUNCIL OF THE CITY OF PITTSBURG
In the Matter of:
Amending Section 1.28.015 of the)
Pittsburg Municipal Code to ) ORDINANCE NO. 25-
Replace City Logo )
WHEREAS, the City of Pittsburg has adopted an official seal and logo, which are used in the authentication of official records and to identify City programs, initiatives, partnerships, and sponsorships; and
WHEREAS, the official seal and logo are considered symbols of the authority and jurisdiction of the City; and
WHEREAS, in 2018, the City Council adopted an ordinance setting forth the logo of the City of Pittsburg within the Pittsburg Municipal Code, at Section 1.28.015; and WHEREAS, economic development staff have proposed a modernized logo to replace the current logo.
NOW, THEREFORE, the City Council of the City of Pittsburg does ORDAIN as follows:
SECTION 1. Section 1.28.015, “City logo”, is hereby amended to read as follows:
The logo of the city is the same as that heretofore used and depicted below:
SECTION 2. Severability.
If any section, subdivision, sentence, clause, phrase or portion of this Ordinance is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision, and such holding shall not affect the validity of the remaining portions. 331
Ordinance No. 25- Page 2 of 2 April 21, 2025
SECTION 3. Publication.
The Ordinance shall be posted and published in accordance with the California Government Code.
The foregoing Ordinance was introduced at a regular meeting of the City Council of the City of Pittsburg held on April 7, 2025, and was adopted and ordered published at a meeting of the City Council held on April 21, 2025, by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
________________________________
Jelani Killings, Mayor
ATTEST:
______________________________
Alice E. Evenson, City Clerk
332