CITY OF PLACENTIA
Measure U Annual
Report
Citizens' Oversight Committee
10/17/2023
The contents of this report represent the best information available as of the date of this document. In some cases the data presented are estimates of future balances, revenues, or expenditures which are subject to restatement in the future after the formal, annual audit of the City of Placentia is completed.
Executive Summary
Measure U, which was passed by the voters in November 2018 enacted a 1% Transaction and Use Tax which became effective on April 1, 2019. This report represents the satisfaction of a Measure U legal requirement that the City Council form a Citizens' Oversight Committee consisting of three members responsible for issuing an annual report to the City Council and the citizens of Placentia.
The Placentia City Council placed the additional obligation on the Oversight Committee to report on whether Measure U revenues collected and expended are done so in accordance with the City of Placentia Policy 460. This policy calls for a specific allocation of Measure U funds based upon the level of the City's General Fund Contingency Reserve Balance as compared to a City Council adopted General Fund Contingency Reserve Balance Goal.
Entering Fiscal Year 2022-2023, the General Fund Contingency Reserve Balance exceeded the Council adopted goal. The current Reserve Goal is 25% of the General Fund Operating Expenses.
Given the Reserve Goal was exceeded at the beginning of the fiscal year, consistent with Policy 460, the allocation of Measure U funds received in FY22-23 by category was 60% for infrastructure maintenance, vehicles, and equipment; 10% for post -employment benefits sustainability; 30% for employee recruitment and retention; and 0% toward the General Fund Contingency Reserves.
For the Fiscal Year running from July 1, 2022, through June 30, 2023, using a cash basis of accounting, a total of $8,937,889 was collected in accordance with Measure U. Similarly, using a cash basis of accounting, an unaudited estimated total of $9,210,590 was expended or encumbered. The allocated and expended amounts by category are as follows:
Measure U Fund Infrastructure Expenditures
Period: 07/01/2022 - 06/30/2023
Category Allocation Allocation % Expended* Expended %
Infrastructure, Vehicles, Equipment $ 5,362,733 60% $ 5,635,434 61% Post -Employee Benefits $ 893,789 10% $ 893,789 10%
Employee Recruitment and Retention $ 2,681,367 30% $ 2,681,367 29% General Fund Contingency Reserve $ - 0% $ 0%
Total $ 8,937,889 100% $ 9,210,590 100%
* - expended total includes actual expenses to date plus encumbrances 2 Infrastructure projects supported during the past fiscal year include continued work toward the completion of a citywide street maintenance plan and the associated rehabilitation of streets and sidewalks; purchase of new and replacement public safety vehicles; maintenance of city buildings, and facilities; public safety technology investments; and recreational park improvements.
In closing, the conclusion of the Oversight Committee is that all Measure U revenues received through June 30, 2023, have been properly accounted for and allocated to appropriate uses. In addition, all expenditures have been properly authorized, expended, and reported in accordance with all applicable city policies and practices.
3 FISCAL YEAR 2022-2023 MEASURE U ACTIVITIES
Measure U Fund Revenues/Expenditures Report
The table below shows a cash accounting -based summary of Measure U monthly revenues received as of June 30, 2023. Also shown in the table is the beginning balance in the fund as well as in the allocation subcategories called for in Policy 460. Finally, the unaudited total resources available in Fiscal Year 2022-23 are shown.
CITY OF PLACENTIA
Measure U Fund
Year -to -Date Unaudited Actuals as of 6/30/2023
Beginning Balance
Tax Revenues*:
7/2022 Tax Disbursement
8/2022 Tax Disbursement
9/2022 Tax Disbursement
10/2022 Tax Disbursement
11/2022 Tax Disbursement
12/2022 Tax Disbursement
01/2023 Tax Disbursement
02/2023 Tax Disbursement
03/2023 Tax Disbursement
04/2023 Tax Disbursement
05/2023 Tax Disbursement
06/2D23 Tax Disbursement
FY 2022- 23 Total
Total Resources
Measure U Budget
Measure U
100%
4,807,409 4,807,449
9,100,000
13,907,409
627,44-3
660,223
1,058,168
646,250
627,4-05
989,951
646,349
569,365
899,231
623,650
738,732
851,121
8,937,889
13,745,298
Infrastructure Emp. Reten. OPEB
6496 30% 10%
Year -to -Date Astrals
4,036,814
376,466
396,134
634,901
387,750
376,443
593,971
387,809
341,619
539,539
374,190
443,239
510,673
5,362,733
9,399, 548
188,233
198,067
317,450
193,875
188,221
296,985
193,905
170,810
269,769
187,095
221,619
255,336
2,681,367
2,681,367
1 770,59.5
62,744
66,022
105,817
64,625
62,740
98,995
64,635
56,937
89,923
62,365
73,873
85,112
893,789
1•664,384
The following table summarizes the revenues received and beginning balance information to a yearly total. Additionally, the table provides the corresponding cash accounting detail associated with Measure U expenditures in each Policy 460 category. 4 CITY OF PLACENTIA
Measure U Fund
Year -to -Date Unaudited Actuals as of 6/30/23
Measure U Budget
Measure U Infrastructure Ernp. Reten. OPER
100% 64% 3096 10%
Year -to -Date Actuals
Beginning Balance 4,807,409 4,807,409 4,035,814
774,595
Tax Revenues*:
FY 2022- 23 Total 9,100,060 8,937,889 5,352,733 2,681,367 893,789 Total Resources 13,907,409 13,745,298 9,399,548 2,681,367 1,664,384 Total fo (IP Expenditures 9,064,791 5,635,434 5,535,434 - - Transfers -Out: - -
Quarterly transfer to GF - Employee Retention 2,730,000 2,681,367 - 2,581,357 - Quarterlytransferto GF - Contingency Reserve - - -
OPEB 910,000 893,739 - - 893,739
Total Transfers -Out 3,540,000 3,515,156 - 2,681,367 893,789 Total Expenditures & Transfers -Out 12,704,791 9,210,590 5,635,434 2,681,367 893,789 Unaudited Ending Balance 1,202,618 4,534,708 3,754,113
$ ax d-sl:ursernents are received two months after they are collected_ (i_e_ July Tax disbursements are received in September) Summary of Measure U Supported Infrastructure Projects
770,595
Measure U supported a wide range of infrastructure projects during Fiscal Year 2022-23 including the addressing of deferred general maintenance, equipment replacement, rehabilitation of city facilities, and recreational park improvements. A summary table of infrastructure projects supported during Fiscal Year 2022-23 by Measure U is shown below. Project status is reported as either 1) completed, 2) under construction, 3) in design, or 4) cancelled. Note that the expenditures reported are estimates of unaudited balances that will be finalized with the completion of the City of Placentia's annual formal audit. 5 CITY OF PLACENTIA
Measure U Fund
Year -to -Date Unaudited Actuals as of 6134/2023
CIP Expenditures: (Including Encumbrances)
1101- FY 2020-21 Arterial Roadway R
1201- FY 2021-22 Roadway Rehab Proje
1202- FY 2021-22 Slurry Seal Project
1301- FY 2022-23 Roadway Rehab Proje
1302- FY 2022-23 Concrete Repair Pro
1303- Bastanchury Rd Landscape Med
1304-Yorba Linda Blvd Median
1305 -ADA Access Ramp Installation P
1801- Golden Avenue Bridge
4201 -Storm Drain Master Plan
5101-OId City Hall ADA Improvement
5104- Replace Hydraulic Vehicle Lift
5105- Fire Station Interior Building
5105-OId City Hall Renovation
5203- Refurbish PD Briefing/Break Ro
5204- Bradford Pedestrian Bridge Rep
5205-Oberle Gym Floor Resurfacing
5208 -City Hall Modernization Projec
5211- Main Street Parking Lot Improv
5301- Refurbish Police Chief Admin C
5302 - Refurbish PD Jail Booking Area
5303- Refurbish PD Report Writing Ro
5305 -City HalI/PD Interior Lighting
5307- EOCOffice Improvement Project
5313 -Whitten Center Flooring Improv
5314 - Civic Center Pergola Painting
6204- Bitech Finance System Software
6205 - Security Cameras for Civic Ctr
6302- IT Infrastructure Replacement
7203- Playground Equipment Replacer
7204- Paint Backs Building Rooms 6&7
7205- Replace Park Benches
7205- Replace Park BBQs
7207 - Replace Park Picnic Tables
7208- Replace Park Trash Cans
7305- Replace Park BBOS
7306- Replace Park Picnic Tables
7307- Replace Park Trash cans
7309- Install New Park Monument Sigi
7310- Gomez Park and Playground Rer'
7311- Gomez Park Landscape Improve
7312- Koch Park Playground Phase 2
7902- Prqe del Arroyo Verde
8206- EV Pilot Program
8301- Public Works Facility Maintena
8302- Fire F250Truck
8303- Fleet Replacement Vehicles
8304 - Public Works Trucks
9202- EFID Design
9203- Hazard Mitigation Plan
Total fo CIP Expenditures
Budget ActuaIs
86,500.00 86,039.60
2,902,850.00 2,580,931.36
51,539.76 51,639.76
76, 600.00 34,181.9
107, 650.00 376.L
33,845.00
14,844.00
134, 250.0}
188,747.40
2,571.00
49,701.00
24,985.50
517, 204.57
2, 245.09
52, 575.00}
62,500.00
174,504.04
411, 550.00
51,23-2.58
40,000.00
25,000.00
60,000.00
30,000.00
50,000.00
28,000.00
133, 631.25
180,000.00
431, 254.00
600,000.00
10,000.00
72, 604.00
6,729.78
22,496.12
26,161.39
10, 1:100.00
49,500.00
43, 620.00
25,000.00
600,000.04
758,2E5.55
16,910.94
53,000.00
67,500.00
351, 341.00
341, 259.00
94,1Y1YD.I 0
9,06-4,791
134,11.0.vC.
184,925.6=
52,653.51
23,363.55
512,076.70
2,245.09
50,485.23
120,000.00
411,304.00
14,922.82
3E584.22
16,362.19
16,352.vv
73,753.7E. -
179,368.65
3,753._Y179,368.65
67,639.22
300,000.0
7,880.11
37,460.80
6,729.78
22,496.12
26,161.39
37,722.76
10,225.88
16,910.58
52,498.03
70,648.90
351,301.00
7,990.52
42,092.62
5,635,434
Status
1 Completed
Completed
Completed
Under Construction
'Under Construction
Deferred
Deferred
Completed
Deferred
Completed
Completed
Completed
Completed
Completed
Under Construction
Completed
Completed
LJ nder Construction
Completed
Under Construction
Deferred
Deferred
Under Construction
Under Construction
Deferred
11 Completed
Completed
Completed
Under Construction
Completed
Completed
_ Under Construction
■ Completed
Completed
Completed
Deferred
Deferred
Completed
Deferred
Deferred
Deferred
Under Construction
Under Construction
Completed
Completed
Completed
Completed
Cancel led
Under Construction
Under Construction
6 Summary of Measure U Supported Employee Recruitment and Retention Activities
In accordance with Policy 460 General Fund Reserve, 30% of Fiscal Year 2022-23 Measure U revenues were allocated and transferred to the General Fund for employee recruitment and retention in the unaudited amount of $2,681,376. This Measure U contribution was applied toward the General Fund's total unaudited employee salary and benefits for Fiscal Year 2022-23 which totaled $23,730,239. Of the total of approximately $1.5M represents the increase of direct costs of the employee retention market adjustments, step increases and new positions.
Summary of Measure U Supported Post -Employment Benefits Sustainability Activities
In accordance with Policy 460 General Fund Reserve, 10% of Fiscal Year 2022-23 Measure U revenues were allocated and transferred to the General Fund for post -employment benefits sustainability activities in the unaudited amount of $893,789. This Measure U contribution was applied to the General Fund's total unaudited post -employment benefits expenses for Fiscal Year 2022-23 which was $6,031.172 and represents the direct costs as detailed below:
CITY OF PLACENTIA
General Fund Post Employees Benefits
Period: 7/1/2022 - 6/30/2023
Category Unaudited Amount
CaIPERS Retirement $ 1,613,152
Retiree Health Benefits $ 875,652
Pension Bond $ 3,542,368
Total General Fund Post
Employment Benefit $ 6,031,172
Expenditures
7 Accumulation and Use of General Fund Reserves Using Measure U Funds In accordance with Policy 460, no Fiscal Year 2022-23 Measure U funds were allocated and transferred to the General Fund for the purpose of building general fund contingency reserves.
Given the beginning of the year reserve level exceeded the council established reserve level goal, and the forecast for general reserve level continued to stay above the goal for the duration of the long-term forecast, Policy 460 did not call for any Measure U funds to be transferred to the General Fund to be held as reserves.
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