1.O. FY 2024-25 FIRST QUARTER BUDGET REPORT — Placentia City Council, September 17, 2024

PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: September 17, 2024
Submitted by: Jennifer Lampman
From: Finance
Subject:

FY 2024-25 First Quarter Budget Report
Financial Impact:

The City's Operating Budget is reviewed and presented to the City Council quarterly for recommended amendments and to provide current information on the financial activities of the City. Additionally, these types of quarterly reports assist City departments in communicating their financial operations throughout the fiscal year including any program changes and significant impacts to their annual budgets, as well as ensuring spending and revenues received throughout the year closely align with the adopted budget. This report includes requested departmental budget adjustments through the first quarter of fiscal year 2024-25, as well as continuing appropriations for capital projects from FY 2023-24.

Please note that the complete Staff Report is provided as an attachment.

Recommendation:

Recommended Action: It is recommended that the City Council:

1. Approve the First Quarter Budget Report and adopt Resolution No. R-2024-66, amending the City's FY 2024-25 Budget.

Strategic Plan Statement:

This item is consistent with the City Council approved 5 -Year Strategic Goal to Ensure Long - Term Fiscal Sustainability, under Objective #1.6 Update the existing 10 -Year Financial Plan. 1 Attachments
Staff Report - FY24-25 First Q Budget Report-Updated.docx Attachment_1-Resolution_R-2024-66 - FY24-25_Q1_Financial_Report.docx Resolution - Exhibit A.pdf
Attachment 2- Placentia 1 Q24 Newsletter.pdf
Attachment 3- Placentia Property Tax Newsletter.pdf
2 TO:

VIA:

FROM:

DATE:

CITY COUNCIL

CITY ADMINISTRATOR

DIRECTOR OF FINANCE
SEPTEMBER 17, 2024
Placentia City Council
SUBJECT: FY 2024-25 FIRST QUARTER BUDGET REPORT
FISCAL
IMPACT:

Fund
General Fund
Special Revenue
Capital Projects (All Funds)
Enterprise Funds
Internal Service Fund
Total
SUMMARY:

AGENDA REPORT
Revenues
(Including Transfers -
In)
1,447,091
14,273,238
132,790
200,000
16,053,119
Appropriations
(Including Capital &
Transfers -Out)
324,343
1,486,876
18,209,526
429,090
200,000
20,649,835
The City's Operating Budget is reviewed and presented to the City Council quarterly for recommended amendments and to provide current information on the financial activities of the City. Additionally, these types of quarterly reports assist City departments in communicating their financial operations throughout the fiscal year including any program changes and significant impacts to their annual budgets, as well as ensuring spending and revenues received throughout the year closely align with the adopted budget. This report includes requested departmental budget adjustments through the first quarter of fiscal year 2024-25, covering the period through September 2024 as well as continuing appropriations for capital projects from FY 2023-24.

RECOMMENDATION:

It is recommended that the City Council take the following action:

1. Approve the First Quarter Budget Report and adopt Resolution No. R-2024-66, amending the City's FY 2024-25 Budget.

STRATEGIC PLAN STATEMENT:

Page 2 of 5 ends

DISCUSSION:

The City adopted a balanced budget for FY 2024-25 on June 4, 2024, utilizing a combination of departmental reductions, monies set aside within the City's Section 115 trust, which is designed to fund retiree health costs and the $446,000 unfunded actuarial liability payment to CaIPERS as well as reserve funding. Since June, the City has received additional information related to the budget including the final figures for insurance for FY 2024-25. The Adopted budget had included an increase of approximately $400,000 for insurance premiums from FY 2023-24 and based upon preliminary estimates from our broker; however the final figure was $88,000 higher than budgeted.

On the revenue side, the City had positive news on property tax with the City's taxable assessed value increasing 5.7% from FY 2023-24, beating the countywide average of 5.4%. The City's total assessed value is now at $9.5 billion, with the median price of a detached, single-family home now at $1,050,000.

Sales tax continues to be impacted by uncertainty in the economy and the loss of several local and national retail chains with locations in Placentia including CVS, Rubio's and the 99 Cents Store. On a positive note, and through some of the city's economic development efforts many of those shuttered locations have been leased by new retailers with store and/or restaurant openings expected within this fiscal year, including a new Ace hardware store that opened in July.

General Fund: The General Fund FY 2024-25 Adopted Budget included revenues of $50.4 million and expenditures of $50.9 million. The proposed operating budget adjustments in the FY 2024-25 First Quarter Budget Report include an increase in expenditures of $324,343. These adjustments include the carryover of funds for an ongoing classification and compensation study that began in FY 2023-24 but will not be complete until this fiscal year, increased costs for the City's animal services contract with the County of Orange, increased costs associated with tree maintenance and other smaller contract increases not finalized at the time of the original budget adoption. In addition to the proposed adjustments to the operating budget, $10,253,801 is proposed to be carried over from FY 2023-24 relating to capital projects supported by the General Fund. The largest project is the public safety building which includes $8,143,823 being carried over, with smaller projects such as the administrative office renovation, ADA transition plan, dog park planning and design, EIFD design, and Senior/Community Center 35% design also being carried over.

Adjustments to General Fund revenue are related to capital projects being carried over from FY 2023-24, specifically the bond proceeds supporting the public safety building project. No adjustments to operating revenue are proposed at this time. 4 City Council Agenda
September 17, 2024

Page 3 of 5 ends

General Fund Revenue:
4 jJ4.;
Revenue
Property Taxes
Sales & Use Taxes
Other Taxes
Permits/ Licenses
Fines & Forfeitures
Intergovernmental
Charges for Service
Misc. Revenue
Subtotal Revenues
Operating Transfers -In
Measure U Transfer In:

Employee Retention
OPEB
Reserve
Subtotal Transfers -In
Total Operating Resources
Capital Projects Revenue
Total Revenue
General Fund Expenditures:

Operating Expenditures
Legislative
City Administrator
Administrative Services
Finance
Development Services
Public Safety -Police
Fire & Life Safety
Public Works
Community Services
General Government
Subtotal Operating Expenditures
Non -Operating Expenditures
Interfund Transfers Out
GF Debt Service
Subtotal Non -Operating
Expenditures
Capital Improvement Program
Total Expenditures
21,796,023
8,408,000
7,896,040
2,788,900
485,000
312,000
1,716,990
2,129,075
45,532,028
455,100
2,665,800
888,600
888,600
4,898,100
50,430,128
50,430,128
7,150,174
7,150,174
21,796,023
8,408,000
7,896,040
2,788,900
485,000
312,000
1,716,990
2,129,075
45,532,028
455,100
2,665,800
888,600
888,600
4,898,100
50,430,128
7,150,174
57,580,302
2024-25 Adopted
- P
Requests
- P
Amended
1,075,316
1,055,675
6,662,469
1,370,550
1,782,450
14,738,672
5,233,350
3,999,786
3,513,350
4,711,700
44,143, 318
143,756
6,458,866
6,602,622
180,000
50,925,940
25,000
84,913
116,430
98,000
324,343
10,253,801
10,578,144
1,075,316
1,055,675
6,687,469
1,370,550
1,782,450
14,533,585
5,233,350
4,406,216
3,513,350
4,809,700
44,467,661
143,756
6,458,866
6,602,622
10,433,801
61, 504, 084
5 City Council Agenda
September 17, 2024

Page 4 of 5 ends

Special Revenue Funds: Minor adjustments to the FY 2024-25 operating budgets in special revenue funds are proposed in the first quarter. See Exhibit A on the attached resolution for a detailed list of projects being carried over.
• Placentia Navigation Center: Approved increase of both revenue and expenditures of $1.4 million for operational costs and maintenance of the facility. • Miscellaneous Grant: Receipt of a FEMA grant of $65,455 for Placentia Fire and Life Safety for training.
• Refuse Fund: Increase of $133,000 in revenue and $118,000 in expenses relating to changes in the refuse rates.

Capital Projects: The FY 2024-25 First Quarter Budget Report includes projects from the previous fiscal year that have not been completed and will be continued into the current fiscal year (carried over). Below is a summary of the capital projects' funding sources to be carried forward with the specific projects identified on Exhibit A of the attached resolution.

FY 2023-24 Capital Projects to be Carried Forward into FY 2024-25 Revenue Expense
101 General Fund (0010)
117 Measure U Fund (0079)
209 State Gas Tax - RMRA (0060)
210 Measure M (0018)
215 Air Quality Management (0019)
233 Gen Plan Update Fees (0074)
234 Technology Impact Fees (0075)
238 City Traffic Impact Fees (0065)
242 City Pub Safety Impact Fee (0067)
243 City Quimby In Lieu Fee (0069)
246 TOD Traffic Impact Fees (0070)
247 TOD Sewer Impact Fees (0071)
248 TOD Streetscape Impact Fee (0072)
250 Thoroughfare Construction (0026)
270 CDBG Fund (0030)
280 Misc Grants Fund (0050)
401 City Capital Projects (0033)
Total
7,150,174
10,253,801
986,477
275,397
- 35,710
- 285,638
- 177,012
- 71,385
- 185,000
- 38,633
- 299,428
- 314,601
- 125,971
- 1,764
- 4,172
28,936
2,308,837 1,990,962
4,785,291 3,175,892
14,273,238 18,221,843
See Exhibit A on the attached resolution for a detailed list of projects being carried over.

FISCAL IMPACT:

The fiscal impact associated with the approval of this item is summarized below with the detailed budget adjustments as listed in Exhibit A.
6 City Council Agenda
September 17, 2024

Page 5 of 5 ends

Fund
General Fund
Special Revenue
Capital Projects (All Funds)
Enterprise Funds
Internal Service Fund
Total
Revenues
(Including Transfers -In)
1,447,091
14,273,238
132,790
200,000
16,053,119
Appropriations
(Including Capital & Transfers -Out)
324,343
1,486,876
18,209,526
429,090
200,000
20,649,835
Based upon preliminary FY 2024-25 projections, which reflect an increase in revenues of $7,150,174 and an increase in expenditures of $10,578,144, primarily for capital projects, it is anticipated that the General Fund unassigned fund balance will decrease by $3.9 million on June 30, 2025 for a reserve level of 23%. Of the $3.9 million, $3.1 million is related to capital projects, specifically the public safety building representing $2.1 million or 67% of this total amount. The City previously committed $3.5 million in fund balance for this project in FY 2022-

23. As this project has not been completed, this commitment is being carried over into FY 2024-

25. Staff will continue to monitor revenue and expenses throughout the fiscal year and develop a plan to increase reserves above 25% per Policy 460. It should be noted that historically revenue received for property tax has been higher than budget for the past several years and Staff is cautiously optimistic that this trend will continue for FY 2024-25, thereby helping to increase the projected reserve level. In addition Council recently directed Staff to research additional revenue opportunities that may be considered and Staff will be presenting those options in the coming month.

Prepared by: Reviewed and approved:

Jennifer Lampman Damien R. Arrula
Director of Finance City Administrator
Attachments:

1. Resolution R-2024-66 — Authorizing a Budget Amendment in Fiscal Year 2024-25 a. Exhibit A — Detailed Budget Adjustments

2. 2024 Q1 (January -March) Sales Tax Update

3. FY 2024-25 Property Tax Newsletter
7 RESOLUTION NO. R-2024-66

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PLACENTIA, CALIFORNIA AUTHORIZING A BUDGET
AMENDMENT IN FISCAL YEAR 2024-25 IN COMPLIANCE

WITH CITY CHARTER OF THE CITY OF PLACENTIA
SECTION 1206 PERTAINING TO APPROPRIATIONS FOR

ACTUAL EXPENDITURES
A. Recitals.
(i). The adopted budget for the 2024-25 Fiscal Year sets out estimated appropriations for City expenses throughout the year.
(ii). From time to time the adopted budget must be adjusted when precise expenditures are finally determined or when estimated expenditures exceed projected costs allocated.
(iii). City Charter of the City of Placentia § 1206 authorizes the City Council to amend or supplement the budget by motion adopted by the affirmative votes of at least three members so as to authorize the transfer of unused balances appropriated for one purpose to another purpose, or to appropriate available revenues not included in the budget. All other legal prerequisites to the adoption of this Resolution have occurred.

B. Resolution.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:

1. In all respects as set forth in the Recitals, Part A., of this Resolution.

2. The adopted budget for Fiscal Year 2024-25, Resolution No. R-2024-38, is hereby amended to reflect the following available balances from FY2023-24 to the Account specified:

Fund
See Exhibit A
Description
Department
GL Account
Amount
Type

4. The Mayor shall sign this resolution, and the City Clerk shall attest and certify to the passage and adoption thereof.

Resolution R-2024-66 ATTACHMENT 1

Page 1 of 2 ends

8 PASSED, ADOPTED AND APPROVED THIS 17th DAY OF SEPTEMBER 2024.

Jeremy Yamaguchi, Mayor
ATTEST:

Robert S. McKinnell, City Clerk

STATE OF CALIFORNIA

COUNTY OF ORANGE
I, Robert S. McKinnell, City Clerk of the City of Placentia, do hereby certify that the foregoing resolution was adopted at a regular meeting of the City Council of the City of Placentia held on the 17th day of September 2024 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Councilmembers:

Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:

Christian Bettenhausen, City Attorney
Resolution R-2024-66 ATTACHMENT 1

Page 2 of 2 ends

9 EXHIBIT A Operating Budget Adjustments
Key Budget Division
780000 Navigation Center
503066 Fire FEMA Training
370000 Refuse Administration Fund
370000 Refuse Administration Fund
370000 Refuse Administration Fund
400000 Risk Management/Revenue
404582 Risk Mgt/Liability
Total Q1 Revenue
101512 Human Resources
103041 Police Field Services
103042 Police Investigation
103043 Police Support Services
103045 Animal Control
103047 Traffic
103652 Maint Svcs Street Maint
103652 Maint Svcs Street Maint
103654 Maint Svcs Facilities Maint
103655 Medians and Parkways
109595 General Government
109595 General Government
173555 Parks
784070 Navigation Center CS
784070 Navigation Center CS
484356 Envrn Svcs Swr Maint Fnd-Swrs
484356 Envrn Svcs Swr Maint Fnd-Swrs
484356 Envrn Svcs Swr Maint Fnd-Swrs
484356 Envrn Svcs Swr Maint Fnd-Swrs
484356 Envrn Svcs Swr Maint Fnd-Swrs
503066 Fire FEMA Training
374386 Environmental Svcs Refuse Mgt
1 374386 Environmental Svcs Refuse Mgt
374386 Environmental Svcs Refuse Mgt
404582 Risk Mgt/Liability
Total Q1 Expense
Object
4095
4201
4354
4358
4710
4399
4710
Q1 Adjustments
1,381,636
65,455
33,000
80,840
18,950
88,000
112,000
1,779,881
6099 25,000
6148 7,000
6366 7,400
6099 3,755
6280 27,558
6290 39,200
5005 26,000
6290 1,097
5005 47,600
6116 41,733
6175 10,000
6295 88,000
6116 39,785
6290 1,331,636
6999 50,000
6120 250,000
6122 42,000
6255 250
6297 14,000
6301 5,000
6250 65,455
6099
6101
6290
6201
30,000
80,840
7,000
200,000
2,440,309
10 EXHIBIT A Capital Projects
Org Keys Description Object Carryforward
105213 Public Safety Building 4201 700,000
305101 Old City Hall ADA Improvement 4201 28,936
331801 GoldenAv Bridge JL61116 4201 2,200,000
105213 Public Safety Building 4205 250,000
332908 HSIP Traffic Singals 4206 1,643,000
505003 Powell Build HVAC 4206 208,837
507313 Jaycee Parkette Renovation 4206 610,000
507911 La Placita Parkette Improvemen 4206 640,000
509104 Chapman Corridor 4206 130,000
509105 Adoption of CEQA Guidelines 4206 20,000
105213 Public Safety Building 4210 5,551
505212 Senior/Community Center 35% 4210 500,000
101206 Caltrans Public Art Program 4240 1,079,825
501301 FY 2022-23 Roadway Rehab Proje 4241 200,000
331201 FY 2021-22 Roadway Rehab Proj 4299 232,929
331201 FY 2021-22 Roadway Rehab Proj 4710 309,362
331301 FY 2021-22 Roadway Rehab Proj Anaheim Reimbursement 4710 400,000 105213 Public Safety Building 4985 5,114,797
Total Revenue 14,273,238
509104 Chapman Corridor 6017 30,269
509105 Adoption of CEQA Guidelines 6017 20,000
749104 Chapman Corridor 6017 177,012
796302 IT Infrastructure Replacement 6364 60,949
101206 Caltrans Public Art Program 6730 109,750
101304 Citywide Median projects 6740 10,280
101508 City General Wayfinding Signage (No Monument or Gantry Signs) 6740 182,286 101509 City Intersection Street Name Sign Replacement (Wayfinding) 6740 131,701 181301 FY 2022-23 Roadway Rehab Proje 6740 35,710
331201 FY 2021-22 Roadway Rehab Proj 6740 62,145
331801 GoldenAv Bridge JL61116 6740 2,479,882
501301 FY 2022-23 Roadway Rehab Proje 6740 28,360
601509 City Intersection Street Name Sign Replacement (Wayfinding) 6740 275,397 701301 FY 2022-23 Roadway Rehab Project 6740 95,000
791302 FY 2022-23 Concrete Repair Pro 6740 457
791303 Citewide Median Improvements 6740 89,000
791304 Citywide Median projects 6740 9,937
192002 Orangethorpe TS Sync 6741 22,000
192203 Rose/Tustin Regional Traffic S 6741 53,000
192808 ImpHwy TS Synch -M68010 6741 25,000
192809 ChapMal TSSynch-JL68004 6741 45,638
262002 Orangethorpe TS Synchro 6741 4,172
332908 HSIP Traffic Singals 6741 634,865
651508 City General Wayfinding Signage (No Monument or Gantry Signs) 6741 52,000 652002 Orangethorpe TS Synchro 6741 8,000
11 EXHIBIT A Capital Projects
Org Keys Description Object Carryforward
652203 Rose/Tustin Regional Traffic S 6741 100,000
702001 TOD Traf Mitigation 6741 217,834
103101 TOD/Crowther Sewer Project 6750 8,731
713101 TOD/Crowther Sewer Project 6750 125,971
107507 Tuffree Park Sidewalk Replacement Project 6760 54,280 107510 Dog Park Planning and Design Services 6760 60,105 107911 La Placita Parkette Improvemen 6760 27,884
507313 Jaycee Parkette Renovation 6760 599,658
507911 La Placita Parkette Improvemen 6760 145,148
697210 Playground Resurfacing (Variou 6760 150,000
697212 McFadden Pergola Replacement 6760 50,000
697213 Koch Picnic Shelter Replacemen 6760 43,950
697302 Playground Shade Sails 6760 6,208
697303 Replace Park Benches 6760 49,270
797311 Gomez Park Landscape Improveme 6760 24,701
797507 Tuffree Park Sidewalk Replacement Project 6760 54,280 797508 Gomez Park and Playground Renovation Project 6760 96,110 797509 Koch Park Sidewalk Replacement Project 6760 50,000 109202 EIFD Design 6770 93,382
109401 ADA Transition Plan 6770 168,990
109402 IT Strategic Plan & Smart City Master Plan 6770 21,770 659302 Caltrans Sustainable Active Tr 6770 25,000
709201 Citywide Wayfinding Signage 6770 1,767
729201 Citywide Wayfinding Signage Pr 6770 1,764
799202 EFL!) Design 6770 90,096
799403 PW Maintenance Master Plan & Condition Assessment 6770 11,771 505003 Powell Build HVAC 6840 167,528
756205 Citywide Digitalization Proj 6840 71,385
796509 IT Emergency Repairs (Server HVAC & Key Reader System) 6840 185,000 108510 PD Patrol Units Replacement (7) 6842 89,407
105208 City Campus Modernization 6850 263,263
105212 Senior/Community Center 35% 6850 608,134
105213 Public Safety Building 6850 8,143,823
105307 Admin Office Improvement Project 6850 176,800
105507 Fire Station 2 Bay Door Replacement 6850 50,000
105508 EOC Office Space Renovation 6850 9,900
107508 Soil Samples for Gas Leak 6850 30,000
195208 City Hall Modernization Projec 6850 140,000
505212 Senior/Community Center 35% 6850 1,000,000
675308 Refurbish PD Traffic Bureau Wo 6850 324
675309 Refurbish PD Armory 6850 13,309
675311 Refurbish PD Motor Barn 6850 25,000
795208 City Hall Modernization 6850 126,449
795301 Refurbish Police Chief Admin C 6850 19,987
795302 Refurbish PD Jail Booking Area 6850 40,000
12 EXHIBIT A Capital Projects
Org Keys Description Object Carryforward
795303 Refurbish PD Report Writing Ro 6850 25,000
795305 City Hall/PD Interior Lighting 6850 17,510
795307 EOC Office Improvement Project 6850 1,232
795313 Whitten Center Flooring Improv 6850 50,000
795508 Gomez Teen Center Technology Project 6850 34,000 Total Expense 18,209,525
13 CITY OF PLACENTIA

SALES TAX UPDATE
IQ 2024 (JANUARY - MARCH)

PLACENTIA
TOTAL: $ 1,944,399

6.6%-0.5% -0.3%
0 1Q2024 411) COUNTY co
STATE
*Allocation aberrations have been adjusted to reflect sales activity $450,000
$400,000
$350,000
$300,000
$250,000
$200,000
$150,000
$100,000
$50,000
$o
Business
and
Industry
Autos
and
Transportation

SALES TAX BY MAJOR BUSINESS GROUP
County
and State
Pools
Fuel and
Service
Stations
Restaurants
and
Hotels
1 1
Building
and
Construction
General
Consumer
Goods
Food
and
Drugs
Legend
Q1 2023*
• Q1 2024*
Measure U
TOTAL: $2,054,856
© 1.0%

CITY OF PLACENTIA HIGHLIGHTS
Placentia's receipts from January
through March were 7.1% above the first
sales period in 2023. Excluding reporting
aberrations, actual sales were up 6.6%.

One time use tax payments helped
to boost revenue from the business -
industry sector.

The business -industry category reported
a strong sales quarter.

Revenue from general consumer goods
was up slightly compared to the year-
ago period.

Continued consumer interest in dining
out resulted in a modest increase in the
restaurant -hotels industry.

Prices at the pump were lower in 1Q24
than in 1Q23, resulting in reduced totals
from fuel -service stations.

Receipts from food -drugs remained flat
when compared to the first quarter of
2023.

Higher interest rates combined with
higher unit prices continued to plague
the auto -transportation sector.

The City's share of the countywide use
tax pool increased 6.7% when compared
to the same period in the prior year.

Measure U, the City's voter -approved
transactions and use tax, brought in an
additional $2,054,856.

Net of aberrations, taxable sales for all of
Orange County declined 0.5% over the
comparable time period; the Southern
California region was flat.

TOP 25 PRODUCERS
76 Arco AM PM
Audi North Oc
Beacon Sales
Acquisition
Bejac
Best 4 Less 76
Chevron
CVS Pharmacy
Dell Marketing
Facility Solutions Group
Fairway Ford Sales
Marshalls
Mason West
Nickey Petroleum
Print & Finishing
Solutions
Prosource of North
Orange County
Ralphs
Roofing Wholesale
Ross
SC Motors
Schorr Metals
Stater Bros
Suburban Propane
TMG
United Service
Technologies
HdL° Companies
www.hdlcompanies.com 1888.861.0220 Published by HdL Companies in Summer 20.14

1Q 2024

CITY OF PLACENTIA SALES TAX UPDATE

STATEWIDE RESULTS
California's local one cent sales and
use tax receipts during the months
of January through March were

0.2% lower than the same quarter
one year ago after adjusting for
accounting anomalies. The calendar
year first quarter is traditionally the
lowest sales tax generating period;
however, returns were more on par
with the comparison period.

One of the only sectors continuing
to display declines was autos -
transportation. High interest rates
created more expensive long-
term financing costs. Combined
with a dramatic cost of insurance
coverage rate spike, this group
declined 7.5%.

Fuel and service stations was the
other sector with a drop over last
year. As California drivers embark
on summer travel, they'll do so with
slightly elevated gas prices versus
2023, probably yielding the final
period of negative results for the
category heading into 2025.

During this post -holiday shopping
period, general consumer goods
experienced a soft rebound
with very modest 0.5% growth.

Although retailers selling gas were
hurt by fuel prices, it did not stop
family apparel and department
stores from lifting revenues.

Restaurant activity contributed
constant growth of 2.1%. Only
fine dining establishments remain
hindered as more affordable menus
are preferred. Also, it appears some
eateries made operational changes
while implementing AB 1228;
however, there isn't enough data
yet to understand if this new bill
impacted revenue.

Seemingly dramatic one-time
events helped boost business -
industry, as investments in office
supplies -furniture and energy
projects were a significant reason for

3.6% gains this quarter. Additionally,
strong fulfillment center direct
payments demonstrated sustained
Iogistical expansion. When
coupled with improved returns
via the countywide use tax
pools, customers demonstrated
e-commerce preferences for
obtaining various goods. Overall
pool allocations improved 1.6%.

Statewide, 2024 begins in a more
positive fashion compared to the
recent trends of 2023. Buoyed 1st
quarter results may signify 'the floor'
helping ease tax revenue concerns
while awaiting the next growth
cycle. The Federal Reserve and
their position with the Fed Funds
Rate remains the most probable
component between economic
stagnation or spring -boarding
consumer spending. Tourism and
local travel in the coming summer
period could further inspire
confidence.

SALES TAX RATE BREAKDOWN

8.75%
State General Fund

3.9375%
City/County General Fund (Bradley -Burns)
Placentia Measure U (PLCT)
County Public Safety (Prop 172)

1.0000%

0.5000%
County Realignment (Mental Health/Welfare/Public Safety)

1.5625%
Countywide Transportation Fund
Orange County Local Transportation Authority (OCTA) (OCTA) Tax Rate Effective April 01, 2019

0.2500%

0.5000%

8.7500%

TOP NON -CONFIDENTIAL BUSINESS TYPES
Placentia
Business Type
Service Stations
Casual Dining
Quick -Service Restaurants
Heavy Industrial
Building Materials
Family Apparel
Grocery Stores
Contractors
Auto Repair Shops
Light Industrial/Printers
*Allocation aberrations have been adiusted to reflect sales activity County HdL State
Q1'24* Change Change Change
201.5 3.9%© -0.2%© -0.8%©
118.6 -7.7%© 2.0%© 2.3%0
115.0 3.4% 0 4.4% 0 2.7%0

PROPERTY TAX NEWSLETTER
TAX YEAR 2024/25

TAXABLE ASSESSED VALUE
$9.5 BILLION
+5.7% CA +5.4% a

PLACENTIA COUNTY

VALUE GROWTH (IN BILLIONS)

1.0B

0.8B

0.6B

0.4B

0.2B

0.0B

0.2B

HISTORY OF VALUE CHANGES BY CAUSE

INCLUDING TOTAL ASSESSED VALUE

5.9B 6.1B 6.4B 6.8B 7.1B 7.4B 7.6B 8.1B 9.0B 9.5B
t -f■ ■ i -r 1 1 1
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
OTHER
■ PRIOR YEAR TRANSFER■ PROP. 13 INFLATION NEW CONSTRUCTION

OF OWNERSHIP ADJUSTMENT
The Other change category may include effects of assessment appeals, multi parcel sales, and changes to secured exemptions, personal property, or utility -owned property values

PROPERTY

HIGHLIGHTS
The largest increase in secured assessed value
was 1500 Cherry Street which increase $13.8
million primarily as a result of change of
ownership.

The second largest increase in secured
assessed value was 550 W Crowther Avenue
which increased by $11.3 million as a result of
change of ownership.

The third largest increase was 1314 N Angelina
Drive which increased by $10.7 million as a
result of a dropped exemption.

The fourth largest increase was 172 E La Jolla
Street which increased by $5.8 million as a
result of change of ownership.
hdlcompanies.com/proptax 1 714 879.5000
TOP 10 OWNERS
WITH PRIMARY USE CATEGORY, TOTAL VALUE AND % OF ALL VALUE 1 310 S JEFFERSON STREET GROUND OWNER LP
2 MG HERALD APARTMENTS LLC
3 JEFFERSON CENTERPOINT LLC
4 PLACENTIA422
5 GELT CHERRY STREET FEE OWNER LLC
6 VILLA ANGELINA APARTMENT FUND LIMITED
7 GRI VILLAGE CENTER LLC
8 HP BRADFORD TERRACE LLC
9 NMC PLACENTIA LLC
10 SEDONA-PLACENTIA OWNER LLC
RESIDENTIAL $184 MILLION 1.94%
RESIDENTIAL $137 MILLION 1.44%
RESIDENTIAL $71.7 MILLION 0.76%
RESIDENTIAL $64.4 MILLION 0.68%
RESIDENTIAL $63.2 MILLION 0.67%
RESIDENTIAL $61.3 MILLION 0.65%
COMMERCIAL $60.6 MILLION 0.64%
RESIDENTIAL $45.8 MILLION 0.48%
COMMERCIAL $42.3 MILLION 0.45%
RESIDENTIAL $42.1 MILLION 0.44%
TOP 10 TOTAL $773 MILLION 8.14 %
Published by HdL© Coren & Co 16

Placentia City CouncilSeptember 17, 2024

Placentia City Council
September 17, 2024