Redondo Beach City Council
December 16, 2025

CITY OF REDONDO BEACH, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
YEAR ENDED JUNE 30, 2024

CITY OF REDONDO BEACH

TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2024

INTRODUCTORY SECTION

LETTER OF TRANSMITTAL I

LIST OF PRINCIPAL OFFICIAL XVII

ORGANIZATIONAL CHART XVIII

FINANCIAL SECTION
INDEPENDENT AUDITORS’ REPORT 2
MANAGEMENT’S DISCUSSION AND ANALYSIS 6

BASIC FINANCIAL STATEMENTS

GOVERNMENT-WIDE FINANCIAL STATEMENTS
STATEMENT OF NET POSITION 26
STATEMENT OF ACTIVITIES 28

FUND FINANCIAL STATEMENTS
BALANCE SHEET – GOVERNMENTAL FUNDS 31

RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL
FUNDS TO THE STATEMENT OF NET POSITION 32

STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN
FUND BALANCES – GOVERNMENTAL FUNDS 33

RECONCILIATION OF THE STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES OF
GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES 34
STATEMENT OF NET POSITION – PROPRIETARY FUNDS 35

STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET
POSITION – PROPRIETARY FUNDS 37
STATEMENT OF CASH FLOWS – PROPRIETARY FUNDS 39
STATEMENT OF FIDUCIARY NET POSITION – FIDUCIARY FUNDS 43 STATEMENT OF CHANGES IN NET POSITION – FIDUCIARY FUNDS 44 NOTES TO BASIC FINANCIAL STATEMENTS 46

CITY OF REDONDO BEACH

TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2024

REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO REQUIRED SUPPLEMENTARY INFORMATION 103

BUDGETARY COMPARISON INFORMATION
BUDGETARY COMPARISON SCHEDULE – GENERAL FUND 104
BUDGETARY COMPARISON SCHEDULE – OTHER
INTERGOVERNMENTAL GRANTS 105
BUDGETARY COMPARISON SCHEDULE – LOW-MOD INCOME
HOUSING 106

PENSION INFORMATION

SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS – MISCELLANEOUS PLAN – AGENT MULTIPLE-EMPLOYER
PLAN 107
SCHEDULE OF PLAN CONTRIBUTIONS – MISCELLANEOUS PLAN –
AGENT MULTIPLE-EMPLOYER PLAN 109

SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS – SAFETY PLAN – AGENT MULTIPLE-EMPLOYER PLAN 111 SCHEDULE OF PLAN CONTRIBUTIONS – SAFETY PLAN – AGENT
MULTIPLE-EMPLOYER PLAN 113

OPEB INFORMATION
SCHEDULE OF CHANGES IN OPEB LIABILITY AND RELATED RATIOS 115 SCHEDULE OF CONTRIBUTIONS 117

MODIFIED APPROACH FOR CITY STREETS INFRASTRUCTURE
CAPITAL ASSETS 119

SUPPLEMENTARY INFORMATION
COMBINING BALANCE SHEET – NONMAJOR GOVERNMENTAL FUNDS 125

COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES – NONMAJOR GOVERNMENTAL FUNDS 131 BUDGETARY COMPARISON SCHEDULES – SPECIAL REVENUE FUNDS
STATE GAS TAX 137

CITY OF REDONDO BEACH

TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2024
PARKS AND RECREATION FACILITIES 138
NARCOTIC SEIZURE / FORFEITURE 139
PROPOSITION A 140
PROPOSITION C 141
MEASURE R 142
LOCAL TRANSPORTATION ARTICLE 3 143
AIR QUALITY IMPROVEMENT 144
STORM DRAIN IMPROVEMENT 145
STREET LANDSCAPING AND LIGHTING DISTRICT 146
COMMUNITY DEVELOPMENT BLOCK GRANT 147
DISASTER RECOVERY 148
HOUSING AUTHORITY 149
SUBDIVISION PARK TRUST 150
MEASURE M 151
MEASURE W 152
BUDGETARY COMPARISON SCHEDULES – CAPITAL PROJECT FUNDS
CAPITAL IMPROVEMENT PROJECTS 153
MAJOR FACILITIES RECONSTRUCTION 154
OPEN SPACE ACQUISITION 155
BUDGETARY COMPARISON SCHEDULES – DEBT SERVICE FUNDS
PUBLIC FINANCING AUTHORITY 156
COMBINING STATEMENT OF NET POSITION – NONMAJOR ENTERPRISE FUNDS 157

COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION – NONMAJOR ENTERPRISE FUNDS 158

CITY OF REDONDO BEACH

TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2024
COMBINING STATEMENT OF CASH FLOWS – NONMAJOR ENTERPRISE FUNDS 159
COMBINING STATEMENT OF NET POSITION – INTERNAL SERVICE
FUNDS 160

COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION – INTERNAL SERVICE FUNDS 162
COMBINING STATEMENT OF CASH FLOWS – INTERNAL SERVICE
FUNDS 164

STATISTICAL INFORMATION
NET POSITION BY COMPONENT 167
CHANGES IN NET POSITION 169
FUND BALANCES OF GOVERNMENTAL FUNDS 173
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS 175

ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE
PROPERTY 177
DIRECT AND OVERLAPPING PROPERTY TAX RATES 179
PRINCIPAL PROPERTY TAXPAYERS 180
PROPERTY TAX LEVIES AND COLLECTIONS 181
RATIOS OF OUTSTANDING DEBT BY TYPE 182
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT 183 LEGAL DEBT MARGIN INFORMATION 184
PLEDGED – REVENUE COVERAGE 186
DEMOGRAPHIC AND ECONOMIC STATISTICS 187
PRINCIPAL EMPLOYERS 188
FULL-TIME CITY GOVERNMENT EMPLOYEES BY FUNCTION 189
OPERATING INDICATORS BY FUNCTION 190
CAPITAL ASSET STATISTICS BY FUNCTION 191

CITY OF REDONDO BEACH

TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2024

REDONDO BEACH PUBLIC FINANCING AUTHORITY, WASTEWATER

SYSTEM FINANCING PROJECT
CERTIFICATION OF CONTINUING DISCLOSURE 192
SEWER RATES PER MONTH 193
TOP TEN CUSTOMERS – SEWAGE USAGE 194
SEWER CONNECTIONS BY TYPE OF CUSTOMER 195

REDONDO BEACH PUBLIC FINANCING AUTHORITY, LEASEBACK

AGREEMENT
CERTIFICATION OF CONTINUING DISCLOSURE 196

COMPLIANCE SECTION
INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL OVER

FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN
ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS 198

INTRODUCTORY SECTION
(i)
(ii)
(iii)
(iv)
(v)
(vi)
(vii)
(viii)
(ix)
(x)
(xi)
(xii)
(xiii)
(xiv)
(xv)
(xvi)
(xvii)
(xviii)
(1)

FINANCIAL SECTION
CLA (CliftonLarsonAllen LLP) is an independent network member of CLA Global. See CLAglobal.com/disclaimer.

CliftonLarsonAllen LLP
CLAconnect.com
(2)
INDEPENDENT AUDITORS’ REPORT
Honorable Mayor and Members of the City Council
City of Redondo Beach
Redondo Beach, California
Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Redondo Beach (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, as listed in the table of contents.

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

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

Emphasis of Matter
As discussed in Note 17 to the financial statements, the City made restatements to beginning fund balance/net position resulting from corrections of errors. Our opinions are not modified with respect to this matter.

Honorable Mayor and Members of the City Council
City of Redondo Beach
(3)
Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditors’ Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and, therefore, is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

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

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

Honorable Mayor and Members of the City Council
City of Redondo Beach
(4)
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis, the budgetary comparison schedule for the General Fund and major special revenue funds, the modified approach for the City’s infrastructure assets, and the required pension and other postemployment benefits schedules, as listed on the table of contents, be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The combining and individual nonmajor fund financial statements are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion, the combining and individual nonmajor fund financial statements and budgetary comparison schedules are fairly stated, in all material respects, in relation to the basic financial statements as a whole.

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

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

Honorable Mayor and Members of the City Council
City of Redondo Beach
(5)
Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated October 31, 2025, on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance.

CliftonLarsonAllen LLP
Irvine, California
October 31, 2025

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(6)
Management of the City of Redondo Beach (the “City”) provides the Management Discussion and Analysis of the City’s Annual Comprehensive Financial Report (ACFR) for readers of the City’s financial statements. This narrative overview and analysis of the financial activities of the City is for the fiscal year ended June 30, 2024. We encourage readers to consider this information in conjunction with the additional information that is furnished in the letter of transmittal, which can be found preceding this narrative, and with the City’s financial statements, which follow. Keep in mind that the Financial Highlights, immediately following, are strictly snapshots of information. Net position, changes in net position, and fund disclosures are discussed in more detail later in the report.

Financial Highlights - Primary Government
 Government-Wide Highlights
Net Position - Assets and deferred outflows of resources of the City exceeded its liabilities and deferred inflows of resources at fiscal year ending June 30, 2024, by $124.8 million. Assets and deferred outflows for governmental activities exceeded liabilities and deferred inflows by $42.5 million and assets and deferred outflows for business-type activities exceeded liabilities and deferred inflows by $82.3 million.

Changes in Net Position - The City’s net position decreased $1.4 million in fiscal year 2023- 2024. Net position of governmental activities decreased $0.2 million and net position of business-type activities decreased $1.3 million.
 Fund Highlights
Governmental Funds - At the close of fiscal year 2023-2024, the City’s total governmental funds reported a fund balance of $71.4 million, an increase of $2.3 million from the prior year.

Highlighted below are this year’s major funds included in this grouping.

General Fund - The fund balance of the General Fund (including Special Revenue–CalPERS Reserve Fund, with a balance of $7,975,721) on June 30, 2024, was $36.3 million, an increase of $3.1 million from the prior year.

Special Revenue - Other Intergovernmental Grants Fund – The fund balance of the Special Revenue – Other Intergovernmental Grants Fund on June 30, 2024, was negative $6.4 million, a decrease to the negative fund balance by $0.3 million from the prior year.

Special Revenue - Low-Mod Income Housing Fund - The fund balance of the Special Revenue - Low-Mod Income Housing Fund on June 30, 2024, was $3.2 million, a decrease of $0.3 million from the prior year.

OVERVIEW OF FINANCIAL STATEMENTS
This discussion and analysis are intended to serve as an introduction to the City’s basic financial statements. The City’s basic financial statements are comprised of three components: 1) governmentwide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(7)
Government-Wide Financial Statements
The government-wide financial statements are designed to provide readers with a broad overview of the City’s finances, in a manner similar to private-sector business. They are comprised of the following:
 Statement of Net Position
The Statement of Net Position presents summarized information of all the City’s assets and deferred out flows of resources, and liabilities and deferred inflows of resources with the difference between the two groups reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. This financial statement combines and consolidates governmental funds’ current financial resources with capital assets and long-term obligations.  Statement of Activities
The Statement of Activities presents information showing how the government’s net position changed during the fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of the related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned, but unused vacation leave).

Government-wide financial statements distinguish functions of the City that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the City include general government, public safety, public works, cultural and leisure services and housing and community development. Business type activities include operations of the harbor, sewer (wastewater), solid waste, and transit.

The government-wide financial statements include not only the City itself (known as the primary government), but also the activities of legally separate component units: the Parking Authority of the City of Redondo Beach, the Redondo Beach Public Financing Authority (PFA), the Redondo Beach Community Financing Authority (CFA), and the Redondo Beach Housing Authority. Because the City Council acts as the governing board for each of these component units and because they function as part of the City government, their activities are blended with those of the primary government.

The government-wide financial statements can be found behind the tab section titled Government-Wide Financial Statements.

Fund Financial Statements
A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City can be divided into three categories: Governmental funds, proprietary funds, and fiduciary funds.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(8)
The fund financial statements provide detail information about each of the City’s most significant funds, called Major Funds. The concept of Major Funds, and the determination of which are major funds, was established by GASB Statement No. 34 (GASB 34) and replaces the concept of combining like funds and presenting them in total. Instead, each Major Fund is presented individually, while all Non-Major Funds are summarized and presented in a single column.
 Governmental Funds
Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on nearterm inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government’s near-term financial requirements.

Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements.

By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. A reconciliation of both the governmental funds balance sheet and the governmental funds statement of revenues, expenditures, and changes in fund balance with the government-wide financial statements can be found on pages behind the tab section titled Fund Financial Statements.

The City has 25 governmental funds, of which three are considered major funds for presentation purposes. Each major fund is presented separately in the governmental funds balance sheet and in the governmental funds statement of revenues, expenditures, and changes in fund balances. The City’s three major funds are: the General Fund, the Other Intergovernmental Grants Special Revenue Fund, and the Low-Mod Income Housing Special Revenue Fund. Data from the non-major governmental funds (e.g., State Gas Tax Fund, Proposition A Fund, Storm Drain Fund, Disaster Recovery Fund…) are combined into a single aggregated presentation.

The governmental funds financial statements can be found on pages behind the tab section titled Fund Financial Statements. Individual fund data for each of the non-major governmental funds is provided in the form of combining statements on pages in the Supplementary Information section behind the tab section titled Non-Major Governmental Funds.  Proprietary Funds
The City maintains two types of proprietary funds: enterprise funds and internal service funds.

Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. Enterprise funds are used to account for harbor activities, solid waste (i.e., collection, recycling and hazardous waste disposal), operations and maintenance of City sewers, and transit activities. Internal service funds are used to accumulate and account for the City’s vehicles, building maintenance and repair, major facilities repair, information technology, emergency communications, and insurance. Because internal services predominantly benefit governmental rather than business-type functions, they have been included within governmental activities in the government-wide financial statements.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(9)
Proprietary funds’ financial statements provide the same type of information as the governmentwide financial statements, only in more detail. Like the government-wide financial statements, proprietary funds’ financial statements use the accrual basis of accounting. Separate financial statements are provided for the City’s three major enterprise funds: Harbor Uplands, Harbor Tidelands, and Wastewater. Data from the nonmajor enterprise funds, the Solid Waste and Transit Funds, are combined into a single aggregated presentation. The internal service funds are also combined into a single, aggregated presentation in the proprietary funds financial statements. Individual fund data for each internal service fund is provided in the form of combining statements on pages in the Supplementary Information section behind the tab section titled Internal Service Funds.

The basic proprietary funds financial statements can be found behind the tab section titled Fund Financial Statements.
 Fiduciary Funds
Fiduciary (Custodial and Private-Purpose Trust Fund) funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statements because the resources of those funds are not available to support City programs.

Notes to the Financial Statements
The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements can be found behind the tab section titled Notes to the Financial Statements.

Required Supplementary Information
In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information. The required supplementary information includes disclosure of the modified approach for the city pavement infrastructure and budgetary, pension plan information, and other post-employment benefit (OPEB) information. This information can be found behind the tab section titled Required Supplementary Information.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(10)
Net Position
The chart above reflects the City’s combined net position (governmental and business-type activities) of $124.8 million at the close of fiscal year ending June 30, 2024.

The largest portion of the City’s total net position (208.4%) reflects investment in capital assets (e.g., land, streets, sewers, buildings, machinery, equipment and intangible leased assets and subscriptions) net of outstanding debt used to acquire those assets. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City’s investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities.

The remaining City net position represents resources that are either subject to external restrictions (e.g., certain capital projects, debt service) or unrestricted. The unrestricted net position is negative primarily as a result of pension and other post-employment benefits (OPEB) related reporting.

Changes in Net Position
Also noted in the chart on the following page, the City’s Fiscal Year 2023-2024 total net position decreased by $1.4 million (including restatements of ($10.4 million)), or 11%, from the prior year. The governmental activities net position decreased $0.2 million (including restatements of ($11.5 million)), or 0.4%, and business-type activities net position decreased $1.3 million (including restatements of $1.1 million), or 1.5%.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(11)
Within total assets, capital assets, net of accumulated depreciation, increased by $3.4 million or 1.3%.

This increase in capital assets also resulted in an increase in Net Investments in Capital Assets of $4.9 million, or 1.9%. The increase in net position is due to these capital asset increases and a decrease in deferred inflows of resources related to pensions and other post-employment benefits (OPEB) of $2.6 million.

Levels of revenues and expenditures also impact current assets and other liabilities and, therefore, cause changes in net position. As reflected above, total revenues increased in fiscal year 2023-2024 by $5.2 million, or 3.1%. Increases in program revenues are primarily reflected in capital grants and contributions. General revenue increased overall as a result of higher property tax revenue and higher interest earnings.

Citywide total expenses increased $22.0 million, or 14.5%, when compared to fiscal year 2022-2023.

The increase in expenses was primarily related to increased citywide personnel costs and operating expenses related to administration and general services, as well as personnel services in the Harbor Tidelands and Harbor Uplands funds.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(12)
Governmental Activities
As reflected in the Changes in Net Position schedule on the previous page, the total governmental activity expenses were $137.2 million in fiscal year 2023-2024; and total revenues from governmental activities were $137.5 million, of which 36.3% were derived from program revenues primarily consisting of charges for services and grants.

As shown on the following chart, the governmental activity expenses net of program revenues, increased $18.1 million, or 26.1%, in fiscal year 2023-2024. As with the increase in citywide total expenses, the increase reflects higher expenditures for personnel costs, pension-related items and capital improvement projects. In addition to these general factors impacting all categories, the shift in General Government reflects the removal of internal revenue from the program revenues calculations, while Housing and Community Development changes reflect an increase in housing voucher spending and decrease in plan check revenue reflecting lower building and development activity in fiscal year 2023-24.
*Program revenues are derived directly from the program itself or from parties outside the reporting government’s taxpayers or citizenry. They reduce the net cost of the function to be financed from the government’s general revenues.

The chart below is a graphical representation of the schedule above.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(13)
General Revenues Related to Governmental Activities
General revenues are all other revenues not attributable to a specific program and, therefore, not categorized as program revenues. These revenues include taxes, use of money and property, and other revenues and increased 8.4% over the prior year.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(14)
Business-Type Activities
The City has five business-type activities: Harbor Tidelands, Harbor Uplands, Solid Waste, Wastewater, and Transit. The total net position of the business-type activities decreased by $1.3 million from the prior year.

Harbor Tidelands is used for the operations of small boat harbor facilities available to the general public, including related pier activities. This fund is restricted under the City Tidelands Trust Agreement with the State of California. In fiscal year 2023-2024, the total net position of the Harbor Tidelands decreased by $2.5 million from the prior year.

Harbor Uplands is also used for the operations of small boat harbor facilities available to the general public, including related pier activities. However, the use of these funds is subject only to the decisions of the City Council. In fiscal year 2023-2024, the total net position of Harbor Uplands decreased by $0.7 million from the prior year.

Wastewater is funded by a capital facility charge, more commonly referred to as a sewer user fee.

These funds are used to support the City's sewer infrastructure operations and improvements. In fiscal year 2023-2024, the total net position of Wastewater increased $2.9 million from the prior year.

Solid Waste is the City’s comprehensive solid waste program, which includes refuse collection, recycling, and hazardous waste disposal services. The solid waste program is supported through user service fees. In fiscal year FY 2023-2024, the total net position of Solid Waste increased $0.4 million from the prior year.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(15)
Transit operations provide transportation services mainly to the cities of Redondo Beach, Hermosa Beach, and Manhattan Beach. The transit system is supported through bus passes, passenger fares, Transportation Development Act Article 4 funding, and Propositions A and C discretionary funding. In fiscal year 2023-2024, the total net position of Transit decreased $0.3 million from the prior year.

FINANCIAL ANALYSIS OF INDIVIDUAL FUNDS
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with financerelated legal requirements. Please note that unlike the Government-Wide financial statements displayed previously, the fund financial statements which follow are not reflected on a full accrual basis.

Therefore, amounts reflected in the fund financial statements versus the Government-Wide statements may differ due to this change in accounting methodology.

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

Governmental Funds - The following schedule is a summary of governmental fund revenues for fiscal year ended June 30, 2024, and includes Major and Non-Major Funds. It reflects the amount and percent of increase or decrease of each source of revenue compared to the prior year.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(16)
Total governmental fund revenues increased $0.6 million, or 0.4%, from fiscal year 2022-2023. Taxes increased $4.0 million, or 5.2%, primarily from property tax revenue. Intergovernmental revenue increased $4.4 million, or 16.5%, with higher funding from sources recorded in the Intergovernmental Grants Fund for various capital improvement projects and bus purchases. Use of Money and Property increased $3.0 million, or 83.5%, primary due to the increase in investment earnings and unrealized gain in investment. Miscellaneous revenue reduced $2.0 million, or 32.2%. The decrease was primarily due to a $1.4 million decrease in Quimby fees which are related to development projects occurring in the City. The remainder of the decrease was due to the $1.0 million settlement received in fiscal year 2022-2023.

The following schedule is a summary of governmental fund expenditures by function for fiscal year ended June 30, 2024, and includes both Major and Non-Major Funds. It reflects the amount and percent of increase or decrease for each functional category of expenditures compared to the prior year.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(17)
Total governmental fund expenditures decreased $4.1 million, or 3.0%, from fiscal year 2022-2023. As mentioned earlier, the variances are attributable to:
 Current expenditures decreased by $3.0 million, or 2.9%, due to higher personnel costs.  Capital outlay expenditures decreased by $1.4 million, or 6.6%, reflecting the fluctuating nature of capital improvement project expenses.
 Debt service expenditures increased by $0.2 million or 1.7% reflecting a change in the way that the City budgets for debt expenses.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(18)
Although there are three major funds in the City of Redondo Beach (the General Fund, the Other Intergovernmental Grants Fund, and the Low-Mod Income Housing Fund), the following discussions focus on the General Fund, which is the major operating fund of the City.

When compared to fiscal year 2022-2023, fiscal year 2023-2024 General Fund revenues decreased by $2.8 million, or 2.7%, while expenditures also decreased $3.2 million, or 3.5%. The decrease in General Fund revenues was primarily due to the adjustment for interdepartmental revenue reporting which offset the increase in use of money and property. The decrease in General Fund expenditures was mainly due to the decrease in general government expenditures.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(19)
General Fund Balance
The fund balance of the General Fund as of June 30, 2024 was $36.3 million, an increase of $3.1 million or 9.3%, when compared to the prior year. The City Council approved the constraints of the General Fund balance reflected below.

As part of year-end activities, the City Council reviews the General Fund balance and determines how the City should commit/assign the unrestricted portion. As illustrated above, Council constraints of General Fund balance over the past several years reflect the City’s Strategic Plan. Aside from policydesignated amounts (i.e., General Fund Contingency and Compensated Absences), much of the money is committed or assigned to accomplish strategic goals.

Other Intergovernmental Grants Fund Balance
The fund balance of the Other Intergovernmental Grants Fund as of June 30, 2024 was negative $6.4 million, a decrease to the negative fund balance of $0.3 million, when compared to the prior year.

Revenues and expenditures of the fund, where monies from Federal, State and other governmental agencies are used primarily for capital improvement projects, tend to fluctuate from year to year depending on resources received from other governmental agencies.

Low-Mod Income Housing Fund Balance
The fund balance of the Low-Mod Income Housing Fund as of June 30, 2024 was $3.2 million, a decrease of $0.3 million, when compared to the prior year. Housing assets transferred from the dissolved Redevelopment Agency and funds generated from those assets are used to assist with housing needs for low- and moderate- income individuals.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
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GENERAL FUND BUDGETARY HIGHLIGHTS
The final amended fiscal year 2023-2024 budget totaled $106.8 million, including net amendments to the originally adopted budget and excluding transfers out of $2.7million. The City Council adopts budget adjustments during the year to reflect both changed priorities and consideration of events that took place subsequent to the budget adoption. The amendments can be briefly summarized as follows:
 Funding of prior-year encumbrances of $2,130,355.
 Funding of carry-over appropriations of $6,374,435.
 Increased mid-year appropriations by $3,981,624.

Budget amendments were funded from/credited to available fund balance. During the year, however, revenues fell behind budgetary estimates by approximately $6.2 million and expenditures were $21.1 million less than budgetary estimates, primarily due to contractual services that were not completed by year-end.

CAPITAL ASSETS AND DEBT ADMINISTRATION
Capital Assets
Capital assets of the City, including infrastructure assets are those assets used in the performance of the City’s functions. At June 30, 2024, net capital assets of the governmental and business-type activities totaled $192.2 million and $77.4 million, respectively. Depreciation on capital assets is recognized in the Government-Wide financial statements.

The City has elected to use the “Modified Approach” as defined by GASB 34 for infrastructure reporting for its paving system (streets). Under GASB 34, eligible infrastructure capital assets are not required to be depreciated as long as:
 The City manages the eligible infrastructure capital assets using an asset management system with characteristics of: 1) an up-to-date inventory, 2) condition assessments which summarize the results using a measurement scale, and 3) estimated annual amounts budgeted to maintain and preserve an established condition assessment level.  The City documents the eligible infrastructure capital assets being preserved approximately at the established and disclosed condition assessment level.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(21)
Prior to fiscal year 2008-2009, the City’s PQI rating, an amalgam of the PCR and the International Roughness Index (IRI) established by the World Bank, was based on a 10.0 scale. In fiscal year 2008- 2009, the PQI rating was converted to a 100 point scale to make it comparable to alternative pavement rating methods. In fiscal year 2017-2018, the City moved to the PCI rating, an alternate paving rating method, which is most frequently used by adjacent cities for an easier comparison. In line with the Capital Improvement Program and as presented to the City Council on January 16, 2018, City policy is to achieve an average PCI rating of 75 for all streets beginning in fiscal year 2028. This rating allows minor cracking and raveling of the pavement along with minor roughness that could be noticeable to drivers traveling at posted speeds. As of June 30, 2024, the City’s street system was rated at a PCI of

67. The City’s budget for street maintenance for the fiscal year ended June 30, 2024 was $30.6 million.

Actual expenditures were $7.0 million, with the remaining budget carried forward as continuing appropriations. The City is judiciously investing in this infrastructure asset as part of the five-year Capital Improvement Program and will continue to rehabilitate and maintain its streets in order to achieve this goal. The estimated expenditures required to maintain and improve the overall condition of the streets from July 1, 2024 through June 30, 2025 is a minimum of $5.8 million.

More information on the modified approach for City streets infrastructure capital assets is behind the tab section titled Required Supplementary Information.

For more information on the City’s capital assets, refer to Note 8 of the Notes to Financial Statements.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(22)
Debt Administration
Debt service funds are used to account for the accumulation of resources for payment of interest and principal on bonds issued by the City. The ratios of net bonded debt to assessed valuation and the amount of bonded debt per capita for the fiscal years 2022 -2023 and 2023-2024 are provided below.

These indicators provide important information for management and concerned citizens, as well as potential investors.

When compared to fiscal year 2022-2023, fiscal year 2023-2024 governmental liabilities decreased by $7.1 million, or 3%, and business-type activities decreased by $1.0 million, or 4%. Total citywide longterm liabilities were $243.6 million, a decrease of $8.2 million or 3% from fiscal year 2022-2023. The decrease was primary due to a $7.5 million decrease of CFA Series 2019A and 2021A lease revenue refunding bonds.

For the details regarding components of the City’s long-term financings, refer to Note 10 of the Notes to Financial Statements.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET AND RATES
In considering Fiscal Year 2024-2025 the local economy continues to be impacted by high interest rates and economic uncertainty.
 Only impacted by possible payment delinquencies, property tax revenue for fiscal year 2024-2025 is projected to increase by $1.1 million, or 3%, to $36.1 million, reflecting an incremental improvement in property values as assessed in calendar year 2023. Redondo Beach's housing market has remained fairly stable due to its coastal location. Property tax revenue is the City’s primary source of operating revenue.

CITY OF REDONDO BEACH
MANAGEMENT’S DISCUSSION AND ANALYSIS
(23)
 The City projects Sales and Use Tax revenue to increase slightly, by $83,000 or 0.8% to $11 million, based on the City’s tax consultant recommendations, which indicate a slight improvement over the prior fiscal year.
 The FY 2024-25 Budget projects Utility Users’ Tax (UUT) revenue to remain flat at $8.5 million. This estimate is based upon analysis of the projected performance from each of the categorical components of the City’s UUT tax base, including electricity, natural gas, telecommunications, water, and cable television. A decreased usage of utilities (primarily water and electric) during the pandemic-related business closures is not offsetting the increased residential usage as more individuals work from home. UUT revenue provides support for essential City operational services.
 Transient Occupancy Tax (TOT) revenue is projected to increase by $1.5 million or 22% to $8.3 million, based on anticipated additional revenue from the City’s three hotel properties that are party to a site-specific tax agreement pledging generated TOT to a reserve fund under certain conditions. Based on consultation with the hotel ownership and the properties’ recent performance, staff anticipates retaining partial TOT from these hotels during FY 2024-

25. General Fund appropriations for fiscal year 2024-2025 are projected at $103.2 million, excluding transfers; or $119.1 million, including $15.9 million in transfers out. Personnel costs in the General Fund increased by $4.0 million, or 7.2%. The FY 2024-25 proposed personnel amounts reflect the impact of memoranda of understanding (MOU) increases approved in FY 2023-24.

During fiscal year 2023-2024, Redondo Beach experienced a 5.44% growth in real property assessed valuations, compared to the 2022-2023 increase of 6.5%. Transient occupancy tax saw a 4.7% revenue increase, and sales tax saw an 2% decrease, and ranked 60 of 89 in Los Angeles County cities in yearover-year percent change in total taxable retail sales. The unemployment rate for Redondo Beach in 2024 was 4.9%, a slight increase over 2023 (4.5%), but below 6.5% in 2022 and a pandemic-high peak of 9.4% in 2020. It is also below the Los Angeles County and the State of California 2024 unemployment rates of 5.0% and 5.4%, respectively, according to the California State Economic Development Department.

CONTACTING THE CITY’S FINANCIAL MANAGEMENT
The financial report is designed to provide our citizens, taxpayers, customers, investors and creditors with a general overview of the City’s finances and to show the City’s accountability for the money it receives. If you have questions about this report, or need additional financial information, contact the Financial Services Department at 415 Diamond Street, Redondo Beach CA 90277, phone 310-318- 0683, or e-mail [email protected].
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BASIC FINANCIAL STATEMENTS
(25)

GOVERNMENT-WIDE FINANCIAL STATEMENTS

CITY OF REDONDO BEACH

STATEMENT OF NET POSITION
JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(26)
Primary Government
Governmental Business-Type
Activities Activities Total
ASSETS
Cash and Cash Equivalents 96,773,956 $ 28,104,520 $ 124,878,476 $ Receivables:

Accounts 1,081,745 2,535,073 3,616,818
Taxes 5,231,567 178,672 5,410,239
Accrued Interest 453,922 321,953 775,875
Notes and Loans 2,405,808 - 2,405,808
Leases 5,812,597 69,830,037 75,642,634
Internal Balances 1,292,629 (1,292,629) -
Prepaid Costs 152,736 306,950 459,686
Due from Other Governments 14,500,112 82,675 14,582,787 Advances to Successor Agency 535,731 - 535,731
Restricted Assets:

Cash with Fiscal Agent 55,246 873 56,119
Deposits Receivable 1,574,054 - 1,574,054
Capital Assets, Not Being Depreciated 93,736,738 31,676,591 125,413,329 Capital Assets, Net of Depreciation 98,454,142 45,703,720 144,157,862 Total Assets 322,060,983 177,448,435 499,509,418

DEFERRED OUTFLOWS OF RESOURCES
Deferred Charge on Refunding - 257,077 257,077
Deferred Pension Related Items 46,272,661 5,172,436 51,445,097 Deferred OPEB Related Items 3,931,106 461,455 4,392,561 Total Deferred Outflows of Resources 50,203,767 5,890,968 56,094,735

CITY OF REDONDO BEACH

STATEMENT OF NET POSITION (CONTINUED)
JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(27)
Primary Government
Governmental Business-Type
Activities Activities Total

LIABILITIES
Current Liabilities:

Accounts Payable $ 7,939,117 $ 3,196,457 $ 11,135,574
Accrued Liabilities 5,048,642 - 5,048,642
Accrued Interest 1,017,143 106,784 1,123,927
Unearned Revenue 635,208 43,243 678,451
Deposits Payable 4,000,601 573,121 4,573,722
Due to Other Governments - 266,467 266,467
Pollution Remediation Liability - - -
Compensated Absences Due in One Year 1,011,470 125,323 1,136,793 Claims Payable Due in One Year 1,203,177 - 1,203,177
Long-Term Obligations Due in One Year 8,386,583 986,284 9,372,867 Total Current Liabilities 29,241,941 5,297,679 34,539,620 Noncurrent Liabilities:

Compensated Absences Due in More than One Year 3,034,406 375,954 3,410,360 Claims Payable Due in More than One Year 23,199,925 - 23,199,925 Long-Term Obligations Due in More than One Year 213,016,619 21,170,637 234,187,256 Net Pension Liability 38,421,560 3,883,837 42,305,397
Net OPEB Liability 12,231,453 1,435,795 13,667,248
Total Noncurrent Liabilities 289,903,963 26,866,223 316,770,186 Total Liabilities 319,145,904 32,163,902 351,309,806

DEFERRED INFLOWS OF RESOURCES
Deferred Pension Related Items 1,649,716 248,816 1,898,532 Deferred OPEB Related Items 3,271,474 384,023 3,655,497 Deferred Leases Related Items 5,716,656 68,266,390 73,983,046 Total Deferred Inflows of Resources 10,637,846 68,899,229 79,537,075

NET POSITION
Net Investment in Capital Assets 188,122,322 71,887,538 260,009,860 Restricted for:

Housing and Community Development 12,484,541 - 12,484,541 Public Safety 423,133 - 423,133
Public Works 7,810,731 - 7,810,731
Debt Service 4,639,885 - 4,639,885
Low and Moderate Income Housing 4,864,048 - 4,864,048
Unrestricted (175,863,660) 10,388,734 (165,474,926)
Total Net Position $ 42,481,000 $ 82,276,272 $ 124,757,272

CITY OF REDONDO BEACH

STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
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Program Revenues
Charges Operating Capital
for Grants and Grants and
Functions/Programs Expenses Services Contributions Contributions

PRIMARY GOVERNMENT
Governmental Activities:

General Government $ 8,920,293 $ 2,268,072 $ - $ -
Public Safety 76,577,489 5,754,175 1,716,724 -
Housing and Community Development 15,558,950 4,331,471 811,366 - Cultural and Leisure Services 12,428,392 10,169,027 8,896,026 2,462,965 Public Works 17,338,480 3,441,632 4,181,705 5,888,527
Interest on Long-Term Debt and
Fiscal Charges 6,373,477 - - -
Total Governmental Activities 137,197,081 25,964,377 15,605,821 8,351,492 Business-Type Activities:

Harbor Tidelands 12,448,283 8,702,859 12,627 -
Harbor Uplands 7,325,917 7,350,413 - -
Wastewater 4,081,219 5,644,278 - -
Solid Waste 6,632,516 6,990,772 27,206 -
Transit 5,967,261 217,107 3,343,088 -
Total Business-Type Activities 36,455,196 28,905,429 3,382,921 - Total Primary Government $ 173,652,277 $ 54,869,806 $ 18,988,742 $ 8,351,492

CITY OF REDONDO BEACH

STATEMENT OF ACTIVITIES (CONTINUED)
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(29)
Functions/Programs

PRIMARY GOVERNMENT
Governmental Activities:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Interest on Long-Term Debt and
Fiscal Charges
Total Governmental Activities
Business-Type Activities:

Harbor Tidelands
Harbor Uplands
Wastewater
Solid Waste
Transit
Total Business-Type Activities
Total Primary Government

GENERAL REVENUES
Taxes:

Property Taxes, Levied for General
Purposes
Transient Occupancy Taxes
Sales Taxes
Franchise Taxes
Business Licenses Taxes
Utility Users Tax
Other Taxes
Motor Vehicle In Lieu - Unrestricted
Investment Income
Gain on Sale of Capital Asset
Transfers
Total General Revenues

CHANGE IN NET POSITION
Net Position - Beginning of Year,
as Previously Reported
Error Corrections
Net Position - Beginning of Year,
as Restated

NET POSITION - END OF YEAR
Net (Expenses) Revenues and
Changes in Net Position
Primary Government
Governmental Business-Type
Activities Activities Total
$ (6,652,221) $ - $ (6,652,221)
(69,106,590) - (69,106,590)
(10,416,113) - (10,416,113)
9,099,626 - 9,099,626
(3,826,616) - (3,826,616)
(6,373,477) - (6,373,477)
(87,275,391) - (87,275,391)
- (3,732,797) (3,732,797)
- 24,496 24,496
- 1,563,059 1,563,059
- 385,462 385,462
- (2,407,066) (2,407,066)
- (4,166,846) (4,166,846)
(87,275,391) (4,166,846) (91,442,237)
48,021,316 - 48,021,316
9,114,545 - 9,114,545
10,822,480 - 10,822,480
1,964,410 - 1,964,410
1,266,051 - 1,266,051
8,481,267 - 8,481,267
1,118,398 - 1,118,398
86,764 - 86,764
6,575,739 2,427,116 9,002,855
115,613 - 115,613
(487,401) 487,401 -
87,079,182 2,914,517 89,993,699
(196,209) (1,252,329) (1,448,538)
54,191,573 82,449,722 136,641,295
(11,514,364) 1,078,879 (10,435,485)
42,677,209 83,528,601 126,205,810
$ 42,481,000 $ 82,276,272 $ 124,757,272
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FUND FINANCIAL STATEMENTS

CITY OF REDONDO BEACH

BALANCE SHEET

GOVERNMENTAL FUNDS
JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(31)
Special Revenue Funds
Other Other Total
Intergovernmental Low-Mod Income Governmental Governmental General Grants Housing Funds Funds
ASSETS
Pooled Cash and Investments $ 28,233,374 $ - $ 1,898,524 $ 35,840,443 $ 65,972,341 Receivables:

Accounts 399,354 502,174 - 125,763 1,027,291
Taxes 5,205,519 - - 26,048 5,231,567
Accrued Interest 369,305 - - 84,617 453,922
Notes and Loans 15,616 - 2,078,965 311,227 2,405,808
Leases 4,785,455 - - 1,027,142 5,812,597
Prepaid Costs 152,736 - - - 152,736
Due from Other Governments 1,649,840 6,949,747 - 5,900,525 14,500,112 Due from Other Funds 9,586,431 - - 5,222,879 14,809,310 Advances to Successor Agency - - 535,731 - 535,731
Restricted Assets:

Cash and Investments with Fiscal Agents - - - 55,246 55,246 Deposits Receivable 1,574,054 - - - 1,574,054
Total Assets $ 51,971,684 $ 7,451,921 $ 4,513,220 $ 48,593,890 $ 112,530,715

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES, AND FUND BALANCES

LIABILITIES
Accounts Payable $ 1,686,301 $ 1,597,925 $ 28,563 $ 2,190,159 $ 5,502,948 Accrued Liabilities 4,964,108 84,534 - - 5,048,642
Unearned Revenue 340,529 294,679 - - 635,208
Deposits Payable 4,000,601 - - - 4,000,601
Due to Other Funds - 5,868,098 861,213 6,787,370 13,516,681 Total Liabilities 10,991,539 7,845,236 889,776 8,977,529 28,704,080

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues - 5,969,180 389,992 311,230 6,670,402 Deferred Leases Related Items 4,713,253 - - 1,003,403 5,716,656 Total Deferred Inflows of Resources 4,713,253 5,969,180 389,992 1,314,633 12,387,058

FUND BALANCES
Nonspendable:

Prepaid Costs 152,736 - - - 152,736
Notes and Loans 15,616 - - - 15,616
Restricted for:

Housing and Community Development - - - 12,195,736 12,195,736 Public Safety - - - 423,133 423,133
Public Works - - - 7,810,731 7,810,731
Debt Service - - - 5,608,337 5,608,337
Low and Moderate Income Housing - - 3,233,452 1,240,604 4,474,056 Committed to:

Contingency 8,599,208 - - - 8,599,208
Assigned to:

Capital Projects - - - 11,118,944 11,118,944
Compensated Absences 785,832 - - - 785,832
Future Pension Payments 7,975,721 - - - 7,975,721
Continuing Operations 17,206,519 - - - 17,206,519
Unassigned 1,531,260 (6,362,495) - (95,757) (4,926,992) Total Fund Balances 36,266,892 (6,362,495) 3,233,452 38,301,728 71,439,577 Total Liabilities, Deferred Inflows of
Resources, and Fund Balances $ 51,971,684 $ 7,451,921 $ 4,513,220 $ 48,593,890 $ 112,530,715

CITY OF REDONDO BEACH

RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS

TO THE STATEMENT OF NET POSITION
JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(32)
Fund Balances of Governmental Funds $ 71,439,577
Amounts reported for governmental activities in the Statement of Net Position are different because:

Capital assets, net of depreciation have not been included as financial resources in governmental fund activity. 181,254,325
Long-term debt and compensated absences that have not been included in the governmental fund activity:

Bonds Payable (208,713,498)
Leases and Subscriptions (2,456,226)
Net OPEB Liability (11,466,108)
Net Pension Liability (36,533,607)
Compensated Absences (3,722,950)
Accrued interest payable for the current portion of interest due on bonds are not reported in the governmental funds. (968,452) Revenues reported as unavailable revenue in the governmental funds and recognized in the Statement of Activities. These are included in the intergovernmental revenues in the governmental fund activity. 6,670,402 Deferred outflows and inflows of resources in governmental activities are not financial resources and, therefore, are not reported in the governmental funds:

Deferred Outflows of Resources - Pension Related Items 43,748,421 Deferred Inflows of Resources - Pension Related Items (1,527,125) Deferred Outflows of Resources - OPEB Related Items 3,685,130 Deferred Inflows of Resources - OPEB Related Items (3,066,773) Internal service funds are used by management to charge the costs of certain activities, such as equipment management and self-insurance, to individual funds. The assets and liabilities of the internal service funds must be added to the Statement of Net Position. 4,137,884
Net Position of Governmental Activities $ 42,481,000

CITY OF REDONDO BEACH

STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES

GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(33)
Special Revenue Funds
Other Other Total
Intergovernmental Low-Mod Income Governmental Governmental General Grants Housing Funds Funds

REVENUES
Taxes $ 80,645,193 $ - $ - $ 143,274 $ 80,788,467
Licenses and Permits 2,386,229 - - 2,386,229 -
Intergovernmental 186,830 10,354,606 - 20,259,672 30,801,108 Charges for Services 10,078,596 - 1,924,566 - 12,003,162 Use of Money and Property 5,289,634 - 54,897 1,183,824 6,528,355 Fines and Forfeitures 1,230,559 - - 72,107 1,302,666
Miscellaneous 3,202,016 - - 897,087 4,099,103
Total Revenues 103,019,057 10,354,606 54,897 24,480,530 137,909,090

EXPENDITURES
Current:

General Government 8,907,675 822,491 - 3,937 9,734,103
Public Safety 55,215,054 323,778 - 154,517 55,693,349
Housing and Community Development 3,272,031 - 40,159 9,465,472 12,777,662 Cultural and Leisure Services 11,080,717 - 279,000 - 11,359,717 Public Works 6,619,942 330,126 - 4,369,383 11,319,451
Capital Outlay 896,456 9,177,283 - 9,391,848 19,465,587 Debt Service:

Principal Retirement 593,041 58,989 - 7,227,940 7,879,970 Interest and Fiscal Charges 14,332 8,754 - 5,883,177 5,906,263 Total Expenditures 86,599,248 10,721,421 319,159 36,496,274 134,136,102

EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 16,419,809 (366,815) (264,262) (12,015,744) 3,772,988

OTHER FINANCING SOURCES (USES)
Transfers In 1,653,179 - 13,973,838 - 15,627,017
Transfers Out (13,973,838) - (2,140,580) - (16,114,418) Subscription Financing 619,252 - - 10,500 629,752
Total Other Financing Sources (Uses) (11,701,407) - 11,843,758 - 142,351 NET CHANGE IN FUND BALANCES 4,718,402 (366,815) (264,262) (171,986) 3,915,339 Fund Balances (Deficits) - Beginning of Year
as Previously Presented 33,188,418 (6,053,354) 3,497,714 38,473,714 69,106,492 Error Corrections (1,639,928) 57,674 - (1,582,254) -
Fund Balances (Deficits) - Beginning of Year
as Restated 31,548,490 (5,995,680) 3,497,714 38,473,714 67,524,238 FUND BALANCES (DEFICITS) - END OF YEAR $ 36,266,892 $ (6,362,495) $ 3,233,452 $ 38,301,728 $ 71,439,577

CITY OF REDONDO BEACH

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES

IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(34)
Net Change in Fund Balances - Total Governmental Funds $ 3,915,339 Amounts reported for governmental activities in the Statement of Activities are different because:

Governmental funds report capital outlays as expenditures. However, in the Statement of Activities, the cost of those assets is allocated over the estimated useful lives as depreciation expense. This is the amount by which capital outlay exceeded depreciation and disposals in the current period.

Capital Outlay 14,099,618
Depreciation (6,033,685)
Repayment of bond principal is an expenditure in the governmental funds, but the repayment reduces long-term liabilities in the Statement of Net Position.

Principal Repayments 7,194,296
Leases and Subscriptions Principal Repayments 685,674
Subscriptions Financing (629,752)
Amortization of Bond Premium / Discounts (24,902)
Accrued interest for long-term liabilities. This is the net change in accrued interest for the current period. (180,987)
Compensated absences expenses reported in the Statement of Activities do not require the use of current financial resources and, therefore, are not reported as expenditures in the governmental funds. (236,250)
Governmental funds report all contributions in relation to the annual required contribution for pensions as expenditures, however, in the Statement of Activities, pension expense is actually determined and certain pension related adjustments are deferred to future periods. (12,917,021)
Governmental funds report all contributions in relation to the annual required contribution for OPEB as expenditures, however, in the Statement of Activities, OPEB expense is actually determined and certain pension related adjustments are deferred to future periods. 787,610
Revenues reported as unavailable revenue in the governmental funds and recognized in the Statement of Activities. These are included in the intergovernmental revenues in the governmental fund activity. (583,815)
Internal service funds are used by management to charge the costs of certain activities, such as equipment management and self-insurance, to individual funds.

The net revenues (expenses) of the internal service fund is reported with governmental activities. (6,272,334)
Change in Net Position of Governmental Activities $ (196,209)

CITY OF REDONDO BEACH

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(35)
Business-Type Activities - Enterprise Funds
Harbor Harbor
Tidelands Uplands Wastewater
ASSETS
Current Assets:

Cash and Investments $ 6,435,936 $ 954,289 $ 17,328,654 Receivables:

Accounts 1,304,809 853,163 27,199
Taxes - - 77,922
Accrued Interest 154,763 77,384 89,806
Leases 1,835,890 2,280,027 -
Prepaid Costs 176,038 130,912 -
Due from Other Governments - - -
Due from Other Funds 175,000 - -
Restricted:

Cash with Fiscal Agent - - 810
Total Current Assets 10,082,436 4,295,775 17,524,391
Noncurrent Assets:

Leases Receivable 41,618,323 24,095,797 -
Capital Assets - Net of Accumulated Depreciation/Amortization 24,793,149 23,310,687 27,472,177 Total Noncurrent Assets 66,411,472 47,406,484 27,472,177 Total Assets 76,493,908 51,702,259 44,996,568

DEFERRED OUTFLOWS OF RESOURCES
Deferred Charge on Refunding - - 257,077
Deferred Pension Related Items 2,451,096 1,313,039 747,421 Deferred OPEB Related Items 205,980 111,557 79,708
Total Deferred Outflows of Resources 2,657,076 1,424,596 1,084,206

LIABILITIES
Current Liabilities:

Accounts Payable 1,548,882 158,229 744,147
Accrued Interest 39,603 13,140 44,460
Unearned Revenues - - -
Deposits Payable 315,517 257,604 -
Due to Other Funds 544,986 - -
Due to Other Governments - - -
Accrued Compensated Absences 43,910 15,664 34,641
Accrued Claims and Judgments - - -
Long-Term Debt - Due within One Year 330,491 109,656 466,179 Total Current Liabilities 2,823,389 554,293 1,289,427
Noncurrent Liabilities:

Accrued Compensates Absences 131,729 46,992 103,921
Accrued Claims and Judgments - - -
Long-Term Debt - Due in More than One Year 8,830,815 2,930,040 7,273,294 Net Pension Liability 1,973,255 1,009,957 477,985
Net OPEB Liability 640,895 347,104 248,008
Total Noncurrent Liabilities 11,576,694 4,334,093 8,103,208 Total Liabilities 14,400,083 4,888,386 9,392,635

DEFERRED INFLOWS OF RESOURCES
Deferred Pension Related Items 97,097 59,396 48,998
Deferred OPEB Related Items 171,416 92,838 66,333
Deferred Leases Related Items 42,539,439 25,726,951 -
Total Deferred Inflows of Resources 42,807,952 25,879,185 115,331

NET POSITION
Net Investment in Capital Assets 24,651,273 23,310,687 22,132,980 Unassigned (2,708,324) (951,403) 14,439,828
Total Net Position $ 21,942,949 $ 22,359,284 $ 36,572,808

CITY OF REDONDO BEACH

STATEMENT OF NET POSITION (CONTINUED)

PROPRIETARY FUNDS
JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(36)
ASSETS
Current Assets:

Cash and Investments
Receivables:

Accounts
Taxes
Accrued Interest
Leases
Prepaid Costs
Due from Other Governments
Due from Other Funds
Restricted:

Cash with Fiscal Agent
Total Current Assets
Noncurrent Assets:

Leases Receivable
Capital Assets - Net of Accumulated Depreciation/Amortization Total Noncurrent Assets
Total Assets

DEFERRED OUTFLOWS OF RESOURCES
Deferred Charge on Refunding
Deferred Pension Related Items
Deferred OPEB Related Items
Total Deferred Outflows of Resources

LIABILITIES
Current Liabilities:

Accounts Payable
Accrued Interest
Unearned Revenues
Deposits Payable
Due to Other Funds
Due to Other Governments
Accrued Compensated Absences
Accrued Claims and Judgments
Long-Term Debt - Due within One Year
Total Current Liabilities
Noncurrent Liabilities:

Accrued Compensates Absences
Accrued Claims and Judgments
Long-Term Debt - Due in More than One Year
Net Pension Liability
Net OPEB Liability
Total Noncurrent Liabilities
Total Liabilities

DEFERRED INFLOWS OF RESOURCES
Deferred Pension Related Items
Deferred OPEB Related Items
Deferred Leases Related Items
Total Deferred Inflows of Resources

NET POSITION
Net Investment in Capital Assets
Unassigned
Total Net Position
Business-Type Activities - Enterprise Funds Governmental Other Activities -
Nonmajor Internal
Enterprise Funds Totals Service Funds
$ 3,385,641 $ 28,104,520 $ 30,801,615
349,902 2,535,073 54,454
100,750 178,672 -
- 321,953 -
- 4,115,917 -
- 306,950 -
82,675 82,675 -
- 175,000 -
63 873 -
3,919,031 35,821,633 30,856,069
- 65,714,120 -
1,804,298 77,380,311 10,936,555
1,804,298 143,094,431 10,936,555
5,723,329 178,916,064 41,792,624
- 257,077 -
660,880 5,172,436 2,524,240
64,210 461,455 245,976
725,090 5,890,968 2,770,216
745,199 3,196,457 2,436,169
9,581 106,784 48,691
43,243 43,243 -
- 573,121 -
922,643 1,467,629 -
266,467 266,467 -
31,108 125,323 80,732
- - 1,203,177
79,958 986,284 573,852
2,098,199 6,765,308 4,342,621
93,312 375,954 242,194
- - 23,199,925
2,136,488 21,170,637 9,659,626
422,640 3,883,837 1,887,953
199,788 1,435,795 765,345
2,852,228 26,866,223 35,755,043
4,950,427 33,631,531 40,097,664
43,325 248,816 122,591
53,436 384,023 204,701
- 68,266,390 -
96,761 68,899,229 327,292
1,792,598 71,887,538 10,202,312
(391,367) 10,388,734 (6,064,428)
$ 1,401,231 $ 82,276,272 $ 4,137,884

CITY OF REDONDO BEACH

STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(37)
Business-Type Activities -
Enterprise Funds
Harbor Harbor
Tidelands Uplands Wastewater

OPERATING REVENUES
Sales and Service Charges $ 976,667 $ 1,871,509 $ 5,642,079 Harbor Rentals 7,705,127 5,478,904 -
Miscellaneous 21,065 - 2,199
Total Operating Revenues 8,702,859 7,350,413 5,644,278

OPERATING EXPENSES
Administrative and General 5,496,558 2,441,356 164,666
Personnel Services 4,431,588 2,420,697 1,788,490
Contractual Services 500,772 281,048 559,421
Internal Service Charges 1,214,436 1,720,316 523,564
Depreciation and Amortization Expense 565,103 382,990 728,479 Total Operating Expenses 12,208,457 7,246,407 3,764,620 OPERATING INCOME (LOSS) (3,505,598) 104,006 1,879,658

NONOPERATING REVENUES (EXPENSES)
Intergovernmental 12,627 - -
Interest Revenue 1,200,278 492,302 734,536
Interest Expense (239,826) (79,510) (316,599)
Gain (loss) on Disposal of Capital Assets - - -
Total Nonoperating Revenues (Expenses) 973,079 412,792 417,937 INCOME (LOSS) BEFORE TRANSFERS (2,532,519) 516,798 2,297,595 Transfers In - - -
Transfers Out - (1,653,179) -
CHANGES IN NET POSITION (2,532,519) (1,136,381) 2,297,595 Net Position - Beginning of Year, as Previously Reported 24,411,236 23,056,218 33,700,013 Error Corrections 64,232 439,447 575,200
Fund Balances (Deficits) - Beginning of Year, as Restated 24,475,468 23,495,665 34,275,213 NET POSITION - END OF YEAR $ 21,942,949 $ 22,359,284 $ 36,572,808

CITY OF REDONDO BEACH

STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION (CONTINUED)

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(38)

OPERATING REVENUES
Sales and Service Charges
Harbor Rentals
Miscellaneous
Total Operating Revenues

OPERATING EXPENSES
Administrative and General
Personnel Services
Contractual Services
Internal Service Charges
Depreciation and Amortization Expense
Total Operating Expenses

OPERATING INCOME (LOSS)

NONOPERATING REVENUES (EXPENSES)
Intergovernmental
Interest Revenue
Interest Expense
Gain (loss) on Disposal of Capital Assets
Total Nonoperating Revenues (Expenses)

INCOME (LOSS) BEFORE TRANSFERS
Transfers In
Transfers Out

CHANGES IN NET POSITION
Net Position - Beginning of Year, as Previously Reported Error Corrections
Fund Balances (Deficits) - Beginning of Year, as Restated

NET POSITION - END OF YEAR
Business-Type Activities -
Enterprise Funds Governmental
Other Activities -
Nonmajor Internal
Enterprise Funds Totals Service Funds
$ 7,041,104 $ 15,531,359 $ 16,910,807
- 13,184,031 -
166,775 190,039 5,296,111
7,207,879 28,905,429 22,206,918
578,447 8,681,027 14,868,615
1,643,399 10,284,174 6,327,360
9,320,936 10,662,177 2,896,111
738,505 4,196,821 2,497,069
260,624 1,937,196 1,791,770
12,541,911 35,761,395 28,380,925
(5,334,032) (6,855,966) (6,174,007)
3,370,294 3,382,921 -
- 2,427,116 47,385
(57,866) (693,801) (261,325)
- - 115,613
3,312,428 5,116,236 (98,327)
(2,021,604) (1,739,730) (6,272,334)
2,140,580 2,140,580 -
- (1,653,179) -
118,976 (1,252,329) (6,272,334)
1,282,255 82,449,722 10,410,218
- 1,078,879 -
1,282,255 83,528,601 10,410,218
$ 1,401,231 $ 82,276,272 $ 4,137,884

CITY OF REDONDO BEACH

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(39)
Business-Type Activities -
Enterprise Funds
Harbor Harbor
Tidelands Uplands Wastewater

CASH FLOWS FROM OPERATING ACTIVITIES
Cash Received from Customers and Users $ 8,416,965 $ 7,211,418 $ 5,642,768 Cash Paid to Suppliers for Goods and Services (7,183,963) (4,205,689) (1,904,813) Cash Paid to Employees for Services (4,468,717) (2,406,589) (1,791,874) Net Cash Provided (Used) by Operating Activities (3,235,715) 599,140 1,946,081

CASH FLOWS FROM NONCAPITAL

FINANCING ACTIVITIES
Cash Transfers Out - (1,653,179) -
Cash Transfers In - - -
Repayments Received from Other Funds 117,173 - -
Principal Paid on Noncapital Debt Issues (328,104) (108,864) (110,376) Payment for Cost of Issuance - - -
Interest Paid on Noncapital Debt (239,650) (79,452) (80,462) Cash Received from Other Governments 32,627 - -
Net Cash Provided (Used) by Noncapital
Financing Activities (417,954) (1,841,495) (190,838)

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Acquisition and Construction of Capital Assets (1,114,811) (55,464) (3,666,455) Principal Paid on Capital Debt - - (340,000)
Interest Paid on Capital Debt - - (205,488)
Proceeds from Sale of Capital Assets - - -
Net Cash Used by Capital and Related
Financing Activities (1,114,811) (55,464) (4,211,943)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest Received 1,161,095 456,566 741,795
Net Cash Provided (Used) by Investing Activities 1,161,095 456,566 741,795

NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS (3,607,385) (841,253) (1,714,905)
Cash and Cash Equivalents - Beginning of Year 10,043,321 1,795,542 19,044,369 CASH AND CASH EQUIVALENTS - END OF YEAR $ 954,289 6,435,936 $ 17,329,464 $

NONCASH CAPITAL AND FINANCING ACTIVITIES
Qualifying Lease/Subscription Contracts $ - $ - $ -

CITY OF REDONDO BEACH

STATEMENT OF CASH FLOWS (CONTINUED)

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(40)

CASH FLOWS FROM OPERATING ACTIVITIES
Cash Received from Customers and Users
Cash Paid to Suppliers for Goods and Services
Cash Paid to Employees for Services
Net Cash Provided (Used) by Operating Activities

CASH FLOWS FROM NONCAPITAL

FINANCING ACTIVITIES
Cash Transfers Out
Cash Transfers In
Repayments Received from Other Funds
Principal Paid on Noncapital Debt Issues
Payment for Cost of Issuance
Interest Paid on Noncapital Debt
Cash Received from Other Governments
Net Cash Provided (Used) by Noncapital
Financing Activities

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Acquisition and Construction of Capital Assets
Principal Paid on Capital Debt
Interest Paid on Capital Debt
Proceeds from Sale of Capital Assets
Net Cash Used by Capital and Related
Financing Activities

CASH FLOWS FROM INVESTING ACTIVITIES
Interest Received
Net Cash Provided (Used) by Investing Activities

NET INCREASE (DECREASE) IN CASH AND

CASH EQUIVALENTS
Cash and Cash Equivalents - Beginning of Year

CASH AND CASH EQUIVALENTS - END OF YEAR

NONCASH CAPITAL AND FINANCING ACTIVITIES
Qualifying Lease/Subscription Contracts
Business-Type Activities -
Enterprise Funds Governmental
Other Activities -
Nonmajor Internal
Enterprise Funds Totals Service Funds
$ 7,181,367 $ 28,452,518 $ 25,697,446
(10,852,952) (24,147,417) (20,882,982)
(1,664,641) (10,331,821) (6,307,261)
(5,336,226) (6,026,720) (1,492,797)
- (1,653,179) -
2,140,580 2,140,580 -
- 117,173 -
(79,380) (626,724) (343,979)
- - -
(57,822) (457,386) (167,258)
5,032,535 5,065,162 -
7,035,913 4,585,626 (511,237)
(639,309) (5,476,039) (2,847,605)
- (340,000) (267,547)
- (205,488) (90,200)
- - 115,613
(639,309) (6,021,527) (3,089,739)
- 2,359,456 47,385
- 2,359,456 47,385
1,060,378 (5,103,165) (5,046,388)
2,325,326 33,208,558 35,848,003
$ 3,385,704 $ 28,105,393 $ 30,801,615
$ - $ - $ 667,684

CITY OF REDONDO BEACH

STATEMENT OF CASH FLOWS (CONTINUED)

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(41)
Business-Type Activities -
Enterprise Funds
Harbor Harbor
Tidelands Uplands Wastewater

RECONCILIATION OF OPERATING INCOME (LOSS) TO

NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES
Operating Income (Loss) $ (3,505,598) $ 104,006 $ 1,879,658 Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities:

Depreciation and Amortization 565,103 382,990 728,479
Loss on CIP write-off - - -
(Increase) Decrease In:

Accounts Receivable (75,958) 38,136 (6,151)
Taxes Receivable - - 4,641
Leases Receivable 1,742,779 (2,549,458) -
Deferred Outflow Pension Related Items 430,999 34,561 209,706 Deferred Outflow OPEB Related Items (10,220) (19,118) (7,512) Prepaid Expense (139,953) (30,949) -
Increase (Decrease) In:

Accounts Payable (494,893) (5,439) (848,482)
Deposits Payable 93,254 (26,152) -
Unearned Revenue - - -
Claims and Judgments - - -
Net Pension Liability 436,837 317,051 74,268
OPEB Liability (5,338) 41,951 9,677
Deferred Pension Related Items (123,600) (55,590) (73,582) Deferred OPEB Related Items (66,029) (19,284) (21,237)
Deferred Inflow Lease Related Items (2,045,969) 2,372,327 - Compensated Absences (37,129) 14,108 (3,384)
Net Cash Provided (Used) by Operating Activities $ (3,235,715) $ 599,140 $ 1,946,081

CITY OF REDONDO BEACH

STATEMENT OF CASH FLOWS (CONTINUED)

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(42)

RECONCILIATION OF OPERATING INCOME (LOSS) TO

NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES
Operating Income (Loss)
Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities:

Depreciation and Amortization
Loss on CIP write-off
(Increase) Decrease In:

Accounts Receivable
Taxes Receivable
Leases Receivable
Deferred Outflow Pension Related Items
Deferred Outflow OPEB Related Items
Prepaid Expense
Increase (Decrease) In:

Accounts Payable
Deposits Payable
Unearned Revenue
Claims and Judgments
Net Pension Liability
OPEB Liability
Deferred Pension Related Items
Deferred OPEB Related Items
Deferred Inflow Lease Related Items
Compensated Absences
Net Cash Provided (Used) by Operating Activities
Business-Type Activities -
Enterprise Funds Governmental
Other Activities -
Nonmajor Internal
Enterprise Funds Totals Service Funds
$ (5,334,032) $ (6,855,966) $ (6,174,007)
260,624 1,937,196 1,791,770
- - 45,362
(24,927) (68,900) 8,812
(1,116) 3,525 -
- (806,679) -
188,343 863,609 (54,210)
(2,522) (39,372) (44,430)
- (170,902) 11,910
(374,652) (1,723,466) (1,243,798)
- 67,102 -
(469) (469) -
- - 3,481,716
64,437 892,593 755,597
(3,849) 42,441 100,016
(65,436) (318,208) (151,874)
(21,385) (127,935) (39,760)
- 326,358 -
(21,242) (47,647) 20,099
$ (5,336,226) $ (6,026,720) $ (1,492,797)

CITY OF REDONDO BEACH

STATEMENT OF FIDUCIARY NET POSITION

FIDUCIARY FUNDS
JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(43)
Private-Purpose
Trust Fund
Redevelopment
Custodial Obligation
Funds Retirement Fund
ASSETS
Pooled Cash and Investments 178,012 $ 1,717,335 $
Receivables:

Accounts 37,758 67,571
Accrued Interest - 22,189
Total Assets 215,770 1,807,095

LIABILITIES
Accrued Interest - 94,870
Due to Other Governments - 3,254,988
Long-Term Liabilities:

Due in One Year - 1,790,275
Due in More than One Year - 9,238,750
Advances from City - 535,731
Total Liabilities - 14,914,614

NET POSITION
Restricted for Other Purposes 215,770 (13,107,519)
Total Net Position $ 215,770 $ (13,107,519)

CITY OF REDONDO BEACH

STATEMENT OF CHANGES IN FIDUCIARY NET POSITION

FIDUCIARY FUNDS
YEAR ENDED JUNE 30, 2024
See accompanying Notes to Basic Financial Statements.
(44)
Private-Purpose
Trust Fund
Redevelopment
Custodial Obligation
Funds Retirement Fund

ADDITIONS
Charges for Services $ - $ 267,634
RRTTF Distributions - 2,142,756
Investment Earnings- 122,024
Total Additions - 2,532,414

DEDUCTIONS
Interest Expense - 189,742
Contributions to Other Governments - 811,366
Total Deductions - 1,001,108
CHANGES IN NET POSITION - 1,531,306
Net Position - Beginning of year 215,770 (14,638,825)
NET POSITION - END OF YEAR $ 215,770 $ (13,107,519)
(45)

NOTES TO FINANCIAL STATEMENTS

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(46)
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The basic financial statements of the City of Redondo Beach, California (City) have been prepared in conformity with generally accepted accounting principles (GAAP) as applied to governmental agencies. The Governmental Accounting Standards Board (GASB) is the accepted standard setting body for establishing governmental accounting and financial reporting principles. The more significant of the City's accounting policies are described below.

A. Financial Reporting Entity
The City was incorporated on April 29, 1892, under the laws of the State of California and enjoys all the rights and privileges applicable to a Charter City. It is governed by an elected Mayor and a five-member council.

As required by GAAP, the financial statements present the City and its component units, entities for which the City is substantively the same governing body of the component unit's governing body and there is either a financial benefit or burden relationship between the City and the component units. Blended component units, although legally separate entities are, in substance, part of the City's operations and data from these units are combined with data of the City. Each blended component unit has a June 30 year-end. The City had no discretely presented component units. The following entities are reported as blended component units:

The Parking Authority of the City of Redondo Beach (Parking Authority) was established on March 3, 1969, pursuant to the provisions of the Streets and Highway Code of the State of California. The principal purpose of the Parking Authority is to provide public offstreet parking within the City. The Parking Authority serves all the citizens of the government and is governed by a board comprised of the government's elected council.

The Parking Authority is considered a blended component unit due to the financial benefit or burden relationship the Parking Authority shares with the City as its financial transactions are reported in a Debt Service Fund. Separate financial statements are not prepared for this blended component unit.

The Redondo Beach Housing Authority (Housing Authority) was formed on June 2, 1975, for the purpose of providing affordable, decent housing for lower income residents of the City. The Housing Authority operates the Fair Housing and Section 8 housing programs. The Housing Authority serves all the citizens of the government and is governed by a board comprised of the government's elected council. The Housing Authority is considered a blended component unit due to the financial benefit or burden relationship the Housing Authority shares with the City as its financial transactions are reported in a Special Revenue Fund. Separate financial statements are not prepared for this blended component unit.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(47)
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) A. Financial Reporting Entity (Continued)
The Redondo Beach Public Financing Authority (Public Financing Authority), a joint powers authority, was formed on June 25, 1996, to provide financing for capital improvement projects. The Redevelopment Agency joined with the City to form the Public Financing Authority to operate rental property and issue bonds to provide funds for public capital improvements. The Public Financing Authority has the same governing board as the City, which also performs all accounting and administrative functions for the Public Financing Authority. The Public Financing Authority is considered a blended component unit due to the financial benefit or burden relationship the Public Financing Authority shares with the City as its financial transactions are reported in a Debt Service Fund. Separate financial statements are not prepared for this blended component unit.

The Redondo Beach Community Financing Authority (Community Financing Authority), a joint powers authority, was formed on January 31, 2012, to provide financing for capital improvement projects as the State's elimination of the Redevelopment Agency, which was a member of the Public Financing Authority, created the need for a new financing authority. The Parking Authority joined with the City to form the Community Financing Authority. The Community Financing Authority has the same governing board as the City, which also performs all accounting and administrative functions for the Community Financing Authority. The Community Financing Authority is considered a blended component unit due to the financial benefit or burden relationship the Community Financing Authority shares with the City as its financial transactions are combined with the Public Financing Authority and reported in a Debt Service Fund. The Community Financing Authority does not issue separate financial statements.

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

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(48)
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) B. Basis of Accounting and Measurement Focus (Continued) Government-Wide Financial Statements
The City's government-wide financial statements include a statement of net position and a statement of activities. These statements present summaries of governmental and business-type activities for the City accompanied by a total column. Fiduciary activities of the City are not included in these statements. These basic financial statements are presented on an "economic resources" measurement focus and the accrual basis of accounting. Accordingly, all of the City's assets, deferred outflows of resources, deferred inflows of resources, and liabilities, including capital assets (as well as infrastructure assets) and long-term liabilities, are included in the accompanying statement of net position. The statement of activities presents changes in net position. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned while expenses are recognized in the period in which the liability is incurred. The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Certain indirect costs are included in the program expenses reported for specific functions.

Certain types of transactions are reported as program revenues for the City in three categories:
 Charges for services
 Operating grants and contributions
 Capital grants and contributions
Certain eliminations have been made in regard to interfund activities, payables and receivables. All internal balances in the statement of net position have been eliminated except those representing balances between the governmental activities and the business-type activities, which are presented as internal balances and eliminated in the total primary government column. In the Statement of Activities, internal service fund transactions have been eliminated; however, those transactions between governmental and business-type activities have not been eliminated. The following interfund activities have been eliminated:
 Due to/from other funds
 Advances to/from other funds
 Transfers in/out

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NOTES TO BASIC FINANCIAL STATEMENTS
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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) B. Basis of Accounting and Measurement Focus (Continued) Governmental Fund Financial Statements
Governmental fund financial statements include a balance sheet and a statement of revenues, expenditures, and changes in fund balances for all major governmental funds and nonmajor funds aggregated. The City has presented all major funds that have met the applicable criteria.

All governmental funds are accounted for on a spending, or "current financial resources” measurement focus and the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are included on the balance sheet. the statement of revenues, expenditures and changes in fund balances presents increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Under the modified accrual basis of accounting, revenues are recognized in the accounting period in which they become both measurable and available to finance expenditures of the current period.

Revenues are recorded when received in cash, except for revenues subject to accrual (generally 60 days after year-end), which are recognized when due. The primary revenue sources, which have been treated as susceptible to accrual by the City, are property taxes, sales taxes, franchise taxes, special assessments, intergovernmental revenues and other taxes. Expenditures are recorded in the accounting period in which the related fund liability is incurred.

Unavailable revenues arise when potential revenues do not meet both the "measurable" and "available" criteria for recognition in the current period. Unearned revenues also arise when the government receives resources before it has a legal claim to them, as when grant monies are received prior to incurring qualifying expenditures. In subsequent periods, when both revenue recognition criteria are met or when the government has a legal claim to the resources, the unavailable or unearned revenue is removed, and revenue is recognized.

The reconciliations of the Fund Financial Statements to the Government-Wide Financial Statements are provided to explain the differences created by the integrated approach of GASB Statement No. 34.

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) B. Basis of Accounting and Measurement Focus (Continued) Governmental Fund Financial Statements (Continued)
The City reports the following major governmental funds:
 General Fund – The City's primary operating fund that accounts for all financial resources of the general government except those required to be accounted for in another fund.
 Other Intergovernmental Grants Special Revenue Fund – To account for federal, state and other governmental agencies grant funding that supplements local funding.  Low-Mod Income Housing Asset Special Revenue Fund – To account for all transferred housing assets of the dissolved Redevelopment Agency and funds generated from those housing assets.

Proprietary Fund Financial Statements
Proprietary fund financial statements include a statement of net position, a statement of revenues, expenses, and changes in net position, and a statement of cash flows for each proprietary fund. A separate column representing internal service funds is also presented in these statements. However, internal service balances and activities have been combined with the governmental activities in the government-wide financial statements.

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

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

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) B. Basis of Accounting and Measurement Focus (Continued) Proprietary Fund Financial Statements (Continued)
The City reports the following enterprise funds as major proprietary funds:
 Harbor Tidelands Fund – To account for the operations of small boat harbor facilities available to the general public, including related pier activities. The use of this fund is restricted under the City Tideland Trust Agreement with the State of California.  Harbor Uplands Fund – To account for the operations of small boat harbor facilities available to the general public, including related pier activities. The use of this fund is subject only to the decisions of the City Council.
 Wastewater Fund – To account for the capital facility charge and a sewer user fee.

The charges are designed to reimburse the City's wastewater system for the capital and maintenance and operations costs necessary for providing wastewater capacity to system users. These charges are associated with the expansion of the system required over time to address increases in wastewater flow generated by new development.

Fiduciary Fund Financial Statements
Fiduciary Funds are using the "economic resources" measurement focus and the accrual basis of accounting. The City reports a private-purpose trust and a custodial fund. Private-purpose trust funds are used to report trust arrangements under which principal and income benefit individuals, private organizations, or other governments.

Custodial funds account for assets held by the city for other governments or individuals in a custodial capacity.

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

Cash and cash equivalents are combined with investments and displayed as Cash and Investments.

In accordance with GASB Statement No. 31, Accounting and Financial Reporting for Certain Investments and for External Investment Pools, highly liquid market investments with maturities of one year or less at time of purchase are stated at amortized cost. All other investments are stated at fair value. Market value is used as fair value for those securities for which market quotations are readily available.

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) C. Cash, Cash Equivalents, and Investments (Continued)
The City participates in an investment pool managed by the state of California, titled Local Agency Investment Fund (LAIF), which has invested a portion of the pool funds in Structured Notes and Asset-Backed Securities. LAIF's investments are subject to credit risk with the full faith and credit of the state of California collateralizing these investments. In addition, these Structured Notes and Asset-Backed Securities are subject to market risk as to change in interest rates.

In accordance with GASB Statement No. 40, Deposit and Investment Risk Disclosures, certain disclosure requirements, if applicable, are provided for deposit and investment risk in the following areas:
 Interest Rate Risk
 Credit Risk
 Overall
 Custodial Credit Risk
 Concentration of Credit Risk
 Foreign Currency Risk
For purposes of the statement of cash flows of the proprietary fund types, cash and cash equivalents include all investments, as the City operates an internal cash management pool which maintains the general characteristics of a demand deposit account.

D. Restricted Cash and Investments
Certain restricted cash and investments are held by fiscal agents for the redemption of bonded debt, for acquisition and construction of capital projects, or to serve as collateral for debt. Cash and investments are also restricted for deposits held for others within the enterprise funds.

E. Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items. The cost of prepaid items is recorded as expenditures/expenses when consumed rather than when purchased.

F. Interfund Transactions
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either "due to/from other funds" (i.e., the current portion of interfund loans) or "advances to/from other funds" (i.e., the noncurrent portion of interfund loans)." Any residual balances outstanding between the governmental activities and business-type activities are reported in the governmental-wide financial statements as "internal balances."

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) G. Capital Assets
In the Government-Wide Financial Statements, capital assets, which include land, buildings, right-to-use buildings, improvements, equipment, furniture, subscriptions and infrastructure assets (e.g., roads, sidewalks, and similar items), are reported in the applicable governmental or business-type activities. Capital assets are recorded at historical cost or estimated historical cost if actual cost is not available. Donated assets and capital assets received in a service concession are valued at their acquisition value rather than fair value. City policy has set the capitalization threshold for reporting capital assets at the following:

General Capital Assets $ 5,000
Infrastructure Capital Assets 25,000
Buildings, Paring Structures, and Parking Lots 100,000
The City has chosen the Modified Approach for reporting of the Street Pavement Subsystem infrastructure assets, and as a result no depreciation is recorded for that system; instead, all expenditures made for these assets, except for additions and improvements, are expensed in the year incurred. For all other assets, depreciation is recorded on a straight-line basis over the useful lives of the assets as follows:

Buildings and Improvements 5 to 45 Years
Equipment 5 to 20 Years
Vehicles 4 to 20 Years
Infrastructure 5 to 60 Years
The City defines infrastructure as the physical assets that allow the City to function.

These assets include:
 Streets system
 Site amenities such as parking and landscaped areas used by the City in the conduct of its business
 Underground utilities
Each major infrastructure system can be divided into subsystems. For example, the street system can be divided into concrete and asphalt pavements, concrete curb and gutters, sidewalks, medians, etc. Subsystem detail is not presented in these financial statements; however, the City maintains detailed information on these subsystems.

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) G. Capital Assets (Continued)
In May 2020, a physical assessment of all pavement segments was conducted to assess the existing surface condition of each of the individual pavement segments. Upon completion of the study, a Pavement Condition Index (PCI) was calculated for each segment in the City's pavement network to reflect the overall pavement condition.

Ratings ranged from 0 to 100. A PCI of 0 would correspond to badly deteriorated pavement with virtually no remaining life; a PCI of 100 would correspond to pavement with proper engineering design and construction at the beginning of its life cycle. During the year, the comprehensive survey is updated to reflect the pavement's current condition.

The following conditions were defined:

Condition Rating
Very Good 70-100
Good 50-69
Poor 25-49
Very Poor 0-24
In line with the Capital Improvement Program and as presented to the City Council on January 16, 2018, City policy is to achieve an average PCI rating of 75 for all streets beginning in fiscal year 2028. This rating allows minor cracking and raveling of the pavement along with minor roughness that could be noticeable to drivers traveling at posted speeds. For 2024, 2023, and 2022, the City's street system was rated at a PCI of 67, 70, and 69 on the average, respectively.

For a detailed description of the Modified Approach, see the Required Supplementary Information section of this report.

For all other infrastructure systems, the City elected to use the Basic Approach for infrastructure reporting. As such, the City records the assets at historical cost and depreciates them over their useful lives, and regularly evaluates them for impairment.

Expenditures that extend the life of the asset are capitalized.

In the governmental fund financial statements, capital assets are not presented.

Consequently, capital assets are a reconciling item and are shown in the reconciliation of the balance sheet of governmental funds to the statement of net position.

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) H. Interest Payable
In the government-wide financial statements, interest payable on long-term debt is recognized as the liability is incurred for governmental activities and business-type activities.

In the fund financial statements, governmental fund types do not recognize interest payable, while proprietary fund and fiduciary fund types recognize the interest payable when the liability is incurred.

I. Unearned/Unavailable Revenue
In the financial statements, unearned revenue is recognized for transactions in which revenue has not yet been earned, and unavailable revenue is recognized for transactions in which revenue is measurable but not available. Typical transactions recorded as unearned revenues in the financial statements are prepaid charges for services, and grants received but not yet earned. Typical transactions recorded as unavailable revenues in the financial statements are long term loans receivable, and reimbursable grants that are not collected in the City's availability period.

J. Compensated Absences Payable
Only the short-term liability for compensated absences (the amount due to employees for future absences, such as vacation and compensatory time, which are attributable to services already rendered) is reported as a current liability in the governmental funds and only if they have matured, for example, as a result of employee resignations and retirements; the long-term liability is reported in the government-wide financial statements. The short-term liability is the amount that will be liquidated with current financial resources and is expected to be paid during the next fiscal year. All of the liability for compensated absences applicable to proprietary funds is reported in those funds.

Vacation pay is payable to employees at the time a vacation is taken or upon termination of employment. Employees may accrue from two to three times their annual accrual rate.

Upon termination an employee will be paid for any unused accrued vacation pay. Sick leave is payable when an employee is unable to work because of illness. Unused sick leave is forfeited upon termination.

K. Claims and Judgments Payable
The short-term and long-term claims are reported as liabilities in the Self-Insurance Program Internal Service Fund. The short-term liability which will be liquidated with current financial resources is the amount of the settlement reached, but unpaid, related to claims and judgments entered.

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) L. Long-Term Debt
Government-Wide Financial Statements
Long-term debt and other long-term obligations are reported as liabilities in the appropriate activities. Bond premiums and discounts are amortized over the life of the bonds using the effective interest method. Bonds payable is reported net of the applicable bond premium or discount.

Fund Financial Statements
The fund financial statements do not present long-term debt. Consequently, long-term debt is a reconciling item and is shown in the reconciliation of the balance sheet of governmental funds to the statement of net position.

Bond premiums and discounts, as well as issuance costs, are recognized during the current period. Bond proceeds are reported as other financing sources net of the applicable premium or discount.

M. Pension Plans
For purposes of measuring the net pension liability, deferred outflows and inflows of resources related to pensions, and pension expense, information about the fiduciary net position and additions to/deductions from the fiduciary net position have been determined on the same basis as they are reported by the CalPERS Financial Office.

For this purpose, benefit payments (including refunds of employee contributions) are recognized when currently due and payable in accordance with the benefit terms.

Investments are reported at fair value. CalPERS audited financial statements are publicly available reports that can be obtained at CalPERS' website under Forms and Publications.

GASB 68 requires that the reported results must pertain to liability and asset information within certain defined timeframes. For this report, the following timeframes are used.

Valuation Date (VD) June 30, 2022
Measurement Date (MD) June 30, 2023
Measurement Period (MP) July 1, 2022 to June 30, 2023

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) N. Other Postemployment Benefits (OPEB)
For purposes of measuring the net OPEB liability, deferred outflows of resources and deferred inflows of resources related to OPEB, and OPEB expense, information about the fiduciary net position of the City's plan (OPEB Plan), the assets of which are held by California Employers' Retiree Benefit Trust (CERBT), and additions to/deductions from the OPEB Plan's fiduciary net position have been determined by an independent actuary. For this purpose, benefit payments are recognized when currently due and payable in accordance with the benefit terms. Investments are reported at fair value.

Generally accepted accounting principles require that the reported results must pertain to liability and asset information within certain defined timeframes. For this report, the following timeframes are used:

Valuation Date (VD) June 30, 2022
Measurement Date (MD) June 30, 2023
Measurement Period (MP) July 1, 2022 to June 30, 2023
Gains and losses related to changes in total OPEB liability and fiduciary net position are recognized in OPEB expense systematically over time. Amounts are first recognized in OPEB expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and deferred inflows of resources related to OPEB and are to be recognized in future OPEB expense.

The recognition period differs depending on the source of the gain or loss:

Net difference between projected and actual
earnings on pension plan investments
5 Years
All other amounts Expected average remaining service lifetime (EARL) (8.5 years at July 1, 2022)
O. Net Position
In the Government-Wide Financial Statements, net position is classified in the following categories:

Net Investment in Capital Assets – This amount consists of capital assets net of accumulated depreciation and reduced by outstanding debt attributed to the acquisition, construction, or improvement of the assets.

Restricted Net Position – This amount is restricted by external creditors, grantors, contributors, laws or regulations of other governments.

Unrestricted Net Position – This amount is all net position that does not meet the definition of "net investment in capital assets" or "restricted net position."

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) P. Fund Balances
In the Governmental Fund Financial Statements, fund balances are classified in the following categories:

Nonspendable – Nonspendable fund balances are items that are not expected to be converted to cash, such as prepaid items and inventories, or items that are required to be maintained intact, such as principal of an endowment or revolving loan funds.

Restricted – Restricted fund balances include amounts that can be spent only for the specific purposes stipulated by external resources providers, such as grant providers, constitutionally, or through enabling legislation. Effectively, restrictions may be changed or lifted only with the consent of resource providers.

Committed – Committed fund balances include amounts that can be used only for the specific purposes when the City Council passes a resolution that places specific constraints on how the resources may be used. The City Council can modify or rescind the resolution at any time through passage of an additional resolution.

Assigned – Assigned fund balances comprise amounts intended to be used by the government for specific purposes, but are neither restricted nor committed. Intent is expressed when the City Council approves which resources should be assigned to expenditures of particular purposes during the adoption of the annual budget. The City Manager uses that information to determine whether those resources should be classified as assigned or unassigned for presentation in the City's fund financial statements.

Unassigned – Unassigned fund balance is a residual (surplus) classification used for the General Fund only and includes amounts not contained in the other classifications.

Unassigned amounts in the General Fund are technically available for any purpose. If a governmental fund, other than the General Fund, has a fund balance deficit, it will be reported as a negative amount in the unassigned classification in that fund.

Q. Spending Policy
Government-Wide Financial Statements and the Proprietary Fund Financial Statements When an expense is incurred for purposes for which both restricted and unrestricted net position are available, the City's policy is to apply restricted net position first.

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Q. Spending Policy (Continued)
Governmental Fund Financial Statements
When expenditures are incurred for purposes for which all restricted, committed, assigned and unassigned fund balances are available, the City's policy is to apply in the following order, except for instances wherein an ordinance specifies the source:
 Restricted
 Committed
 Assigned
 Unassigned
R. Property Taxes
Under California law, property taxes are assessed and collected by the counties on up to 1% of assessed property value, plus other increases approved by the voters. Property taxes collected are pooled and then allocated to the cities based on complex formulas.

January 1 Lien Date
June 30 Levy Date
November 1 and February 1 Due Dates
December 10 and April 10 Collection Date
S. Use of Estimates
The preparation of the basic financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities. In addition, estimates affect the reported amount of expenses. Actual results could differ from these estimates and assumptions.

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) T. Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net assets that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then. The City only has three items that qualify for reporting in this category. One is the deferred charge on refunding reported in the governmentwide statement of net position. A deferred charge on refunding results from the difference in the carrying value of refunded debt and its reacquisition price. This amount is deferred and amortized over the shorter of the life of the refunding or refunded debt.

Secondly, the City also has deferred outflows related to pensions, which arises only under a full accrual basis of accounting. Accordingly, this item (pension related items), is reported only in the government-wide statement of net position. This includes pension contributions subsequent to the measurement date of the net pension liability and other amounts (see Note 11), which are amortized by an actuarial determined period. Thirdly, the City has deferred outflows related to Other Postemployment Benefits (OPEB), which include contributions subsequent to the measurement date of the total OPEB liability and other amounts:

In addition to liabilities, the statement of financial position will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The City has several items that qualify for reporting in this category:

1. Unavailable revenue reported only in the governmental funds balance sheet. The governmental funds report unavailable revenues from grant revenues. These amounts are deferred and recognized as an inflow of resources in the period when they become available.

2. Pension and OPEB related deferred inflows are reported only on the statement of net position. The government reports deferred inflows of resources related to items arising from certain changes in the net pension liability, net pension asset, net OPEB asset or net OPEB liability. Deferred inflows and outflows of resources related to changes in the net pension liability, net pension asset, net OPEB asset or net OPEB liability are recognized systematically over time. Amounts are first recognized in the year the change occurs. The remaining amounts are to be recognized in future periods. The recognition period differs depending on the source of the change, and the changes are currently amortized over 5 years or the average remaining service life time.

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NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) T. Deferred Outflows/Inflows of Resources (Continued)

3. A deferred inflow of resources related to leases is reported for the value of lease receivable payments to be recognized as an inflow of resources in a systematic and rational manner over the term of the lease agreements.

U. Adoption of New Accounting Standards
GASB Statement No. 100, Accounting Changes and Error Corrections – An Amendment to GASB Statement No. 62, defines accounting changes as changes in accounting principles, changes in accounting estimates, and changes to or within the financial reporting entity and describes the transactions or other events that constitute those changes. The Statement prescribes the accounting and financial reporting for each type of accounting change and for error corrections. See Note 17 for further information on how the implementation of GASB Statement No. 100 had an effect of the City’s financial statements.

NOTE 2 STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY
Deficit Fund Balance
The following funds had a deficit balance as of June 30, 2024:

Major Funds:

Other Intergovernmental Grants (6,362,495) $
Nonmajor Funds:

Local Transportation Article 3 (73,332)
Community Development Block Grant (22,425)
Internal Service Funds:

Building Occupancy (318,327)
Self-Insurance Program (16,227,925)
Private-Purpose Trust Fund (13,107,519)
The deficit fund balances are expected to be recovered through grant and other reimbursement revenues. For the Private-Purpose Trust Fund, deficit will be recovered from future payments from the County Redevelopment Property Tax Trust Fund.

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NOTE 3 CASH AND INVESTMENTS
Cash and investments are presented on the statement of net position as follows at June 30, 2024:

Government-Wide Statement of Net Position
Fiduciary Funds
Governmental Business-Type Statement of
Activities Activities Total Net Position Total
Cash and Investments 96,773,956 $ 28,104,520 $ 124,878,476 $ 1,895,347 $ 126,773,823 $ Restricted Cash and Investments
with Fiscal Agents 55,246 873 56,119 - 56,119
Total $ 96,829,202 $ 28,105,393 $ 124,934,595 $ 1,895,347 $ 126,829,942 Cash, cash equivalents, and investments consisted of the following at June 30, 2024:

Cash and Cash Equivalents:

Petty Cash 13,450 $
Demand Deposits - City 17,899,137
Demand Deposits - Successor Agency 1,656,515
Total Cash and Investments 19,569,102
Investments:

Local Agency Investment Fund (LAIF) - City 289,521
Local Agency Investment Fund (LAIF) -
Successor Agency 1,959,343
Negotiable Certificates of Deposit 245,520
Money Market Mutual Funds 18,202,927
Medium-term Notes 8,363,570
U.S. Government Securities 32,608,610
Federal Agency Securities 45,535,230
Total Investments 107,204,721
Total Cash and Investments 126,773,823
Cash and Investments with Fiscal Agents 56,119
Total $ 126,829,942
A. Cash Deposits
The City follows the practice of pooling cash and investments of all funds, except for funds required to be held by fiscal agents under the provisions of bond indentures.

Interest income earned on pooled cash and investments is allocated on an accounting period basis to the various funds based on the period-end cash and investment balances. Interest income from cash and investments with fiscal agents is credited directly to the related fund.

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NOTE 3 CASH AND INVESTMENTS (CONTINUED)
B. Investments
Under the provisions of the City's investment policy, and in accordance with California Government Code, the following investments are authorized:
 United States Treasury Bills, Notes and Bonds
 Obligations issued by the Federal Government
 Bankers' Acceptances with a maturity of 180 days or less  Time Certificates of Deposits
 Negotiable Certificates of Deposit
 Commercial Paper with a maturity of 270 days or less
 Local Agency Investment Fund (LAIF) limited to $65,000,000 by LAIF  Medium-Term Notes (5 year maximum) of Domestic Corporations or Depository Institutions
 Mutual Funds
 Guaranteed Investment Contracts not to exceed $5 million annually  Certificate of Deposit Placement Services
 Collateralized Bank Deposits
 Supranationals
The City investment policy applies to all financial assets, investment activities and debt issues of the City (including funds which are invested by trustees appointed under debt trust indentures, with direction from the City Treasurer).

The City is a participant in LAIF which is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. The City's investments with LAIF at June 30, 2024, include a portion of the pool funds invested in Structured Notes and Asset-Backed Securities.

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

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

As of June 30, 2024, the City and the Successor Agency had $2,248,865 invested in LAIF, which had invested 0.204% of the pool investment funds in Structured Notes and Mortgage-Backed Securities. The LAIF fair value factor of 0.996316042 was used to calculate the fair value of the investments in LAIF.

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NOTE 3 CASH AND INVESTMENTS (CONTINUED)
C. Deposit and Investment Risk
Credit Risk
The City's investment policy limits investments in medium-term notes (MTN's) to those rated "A" or higher by Standard and Poor's (S&P) or "A2" or higher by Moody's. As of June 30, 2024, all MTN's were rated "A2" or higher by Moody's. As of June 30, 2024, the City's Federal Agency investments were rated "AA+" by Moody's and "Aaa" by S&P. All securities were investment grade and were in accordance with State and City law.

Investments in U.S. government securities are not considered to have credit risk; therefore, their credit quality is not disclosed. As of June 30, 2024, the City's investments in external investment pools are unrated.

Custodial Credit Risk
The custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover deposits or will not be able to recover collateral securities that are in the possession of an outside party.

The carrying amounts of the City's cash deposits were $16,165,228 at June 30, 2024.

Bank balances at June 30, 2024, were $19,913,905 which were fully insured or collateralized with securities held by the pledging financial institutions in the City's name as discussed below.

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

The fair value of pledged securities must equal at least 110% of the City's cash deposits.

California law also allows institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150% of the City's total cash deposits. The City may waive collateral requirements for cash deposits which are fully insured up to $250,000 by the Federal Deposit Insurance Corporation. The City, however, has not waived the collateralization requirements.

Concentration of Credit Risk
The City's investment policy imposes restrictions on the maximum percentage it can invest in a single type of investment. Investments in Federal Agencies have the implied guarantee of the United States government. While all the City's investments are in compliance with the City's investment policy as of June 30, 2024, in accordance with GASB Statement No. 40, if a City has invested more than 5% of its total investments in any one issuer, they are exposed to concentration of credit risk. Investments guaranteed by the U.S. government and investments in mutual funds and external investment pools are excluded from this requirement.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(65)
NOTE 3 CASH AND INVESTMENTS (CONTINUED)
C. Deposit and Investment Risk (Continued)
Concentration of Credit Risk (Continued)
As of June 30, 2024, the City has invested more than 5% of its total investment value with the following issuers:
% of Total
Investments
Federal Home Loan Bank 18,233,620 $ 16%
Federal Farm Credit Bank 7,884,260 16%
Federal National Mortgage Association 4,923,400 4%
Federal Home Loan Mortgage Corporation 14,493,950 13%
Total $ 45,535,230 49%
Interest Rate Risk
The City's investment policy limits investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates. The City's investment policy states that at least 50% of the City's portfolio shall mature in three years or less; and at least 25% in one year or less. The only exception to these maturity limits shall be the investment of the gross proceeds of tax-exempt bonds. The City has elected to use the segmented time distribution method of disclosure for its interest rate risk. As of June 30, 2024, the City had the following investments and remaining maturities:

Investment Maturities
Investment Types Up to 1 Year 1 to 2 Years 2 to 3 Years 3 to 5 Years Fair Value External Investment Pools -
Local Agency Investment
Fund $ 2,248,864 $ - $ - $ - $ 2,248,864
Negotiable Certificate of
Deposits 245,520 - - - 245,520
U.S. Treasury Notes 6,912,140 21,097,560 4,598,910 - 32,608,610 Federal Agencies:

Federal Farm Credit Bank 2,987,460 - 4,896,800 - 7,884,260 Federal Home Loan Bank 6,946,820 - 11,286,800 - 18,233,620 Federal Home Loan
Mortgage Corporation - 9,515,900 - 4,978,050 14,493,950 Federal National Mortgage
Association 4,923,400 - - 4,923,400 -
Money Market 18,202,927 - - 18,202,927 -
Medium-term Notes 1,938,880 4,424,830 1,999,860 - 8,363,570 Total Investments $ 44,406,011 $ 25,522,390 $ 27,401,470 $ 9,874,850 $ 107,204,721

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(66)
NOTE 3 CASH AND INVESTMENTS (CONTINUED)
C. Deposit and Investment Risk (Continued)
Fair Value Measurements
GASB Statement No. 72, Fair Value Measurements and Application, establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. This hierarchy consists of three broad levels: Level 1 inputs consist of quoted prices (unadjusted) for identical assets and liabilities in active markets that a government can access at the measurement date, Level 2 inputs consist of inputs other than quoted prices that are observable for an asset or liability, either directly or indirectly, and Level 3 inputs have the lowest priority and consist of unobservable inputs for an asset or liability.

Fair Value Hierarchy
The City categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; Level 3 inputs are significant unobservable inputs.

The following table presents the balances of the assets measured at fair value on a recurring basis as of June 30, 2024.

Fair Value Measurement Using
Level 1 Level 2 Level 3 Total
Investments by Fair Value Level:

U.S. Treasury Notes $ 32,608,610 $ - $ - $ 32,608,610
Federal Farm Credit Bank - 7,884,260 - 7,884,260
Federal Home Loan Bank - 18,233,620 - 18,233,620
Federal Home Loan Mortgage
Corporation - 14,493,950 - 14,493,950
Federal National Mortgage
Association - 4,923,400 - 4,923,400
Money Market 18,202,927 - 18,202,927 -
Medium-term Notes - 8,363,570 - 8,363,570
Negotiable Certificates of Deposit - 245,520 - 245,520
Total Investments by
Fair Value Level 50,811,537 $ 54,144,320 $ - $ 104,955,857 Investments Measured at Net
Asset Value:

Local Agency Investment
Fund (LAIF) 2,248,864
Total Investments $ 107,204,721
Investments classified in Level 1 of the fair value hierarchy are valued using prices quoted in active markets for those securities. Investments classified in Level 2 of the fair value hierarchy are valued using specified fair value factors. Federal Agency Securities classified in Level 2 of the fair value hierarchy are valued using institutional bond quotes.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(67)
NOTE 4 RECEIVABLES
The following is a summary of receivables net of allowances for uncollectible amounts at June 30, 2024:

Government-Wide Fiduciary
Statement of Net Position Funds
Governmental Business-Type Statement of
Activities Activities Net Position Total
Accounts Receivable 1,081,745 $ 2,535,073 $ 105,329 $ 3,722,147 $ Taxes Receivable 5,395,414 178,672 - 5,574,086
Accrued Interest Receivable 453,922 321,953 22,189 798,064 Notes and Loans Receivable 2,405,808 - - 2,405,808
Leases Receivable 5,812,597 69,830,037 - 75,642,634
Total $ 15,149,486 $ 72,865,735 $ 127,518 $ 88,142,739
At June 30, 2024, the Fund Financial Statements show the following receivables:

A. Accounts Receivable
Accounts receivable consisted of amounts accrued in separate funds in the ordinary course of operations. The total amount of accounts receivable for each major fund and nonmajor fund in the aggregate as of June 30, 2024, was as follows:

Governmental Funds:

General Fund 399,354 $
Other Intergovernmental Grants 502,174
Remaining Governmental Funds 125,763
Total Governmental Funds 1,027,291
Proprietary Funds:

Harbor Tidelands 1,304,809
Harbor Uplands 853,163
Wastewater 27,199
Other Nonmajor Enterprise Funds 349,902
Internal Service Funds 54,454
Total Proprietary Funds 2,589,527
Total $ 3,616,818

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(68)
NOTE 4 RECEIVABLES (CONTINUED)
B. Accrued Interest Receivable
Interest receivable consists of interest from investments pooled by the City and is distributed among the funds according to their ending cash balances. The interest receivable as of June 30, 2024, was as follows:

Governmental Funds:

General Fund 369,305 $
Remaining Governmental Funds 84,617
Total Governmental Funds 453,922
Proprietary Funds:

Harbor Tidelands 154,763
Harbor Uplands 77,384
Wastewater 89,806
Total Proprietary Funds 321,953
Total $ 775,875
C. Taxes Receivable
At June 30, 2024, the City had the following taxes receivable:

Government Funds Proprietary Funds
Nonmajor
General Governmental Wastewater Solid Waste
Fund Funds Fund Fund Total
Types of Taxes:

Property Taxes $ 1,024,706 $ 26,048 $ 77,922 $ 100,750 $ 1,229,426 Sales Taxes 2,023,464 - - - 2,023,464
Transient Occupancy Taxes 1,108,152 - - - 1,108,152
Utility Users Taxes 679,791 - - - 679,791
Franchise Taxes 196,552 - - - 196,552
Transfer Taxes 172,854 - - - 172,854
Total Taxes $ 5,205,519 $ 26,048 $ 77,922 $ 100,750 $ 5,410,239

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(69)
NOTE 4 RECEIVABLES (CONTINUED)
D. Notes and Loans Receivable
At June 30, 2024, the City had the following notes and loans receivable:

Government Funds
Low-Mod Nonmajor
General Income Governmental
Fund Housing Funds Total
Home Rehabilitation Loans $ - 389,992 $ - $ 389,992
Housing Assistance Loans - - 311,227 311,227
Senior Housing Program - 1,688,973 - 1,688,973
Computer Loan Program 15,616 - - 15,616
Total $ 15,616 $ 2,078,965 $ 311,227 $ 2,405,808
Home Rehabilitation Loans
At June 30, 2024, the City was owed, in its Low and Moderate Income Housing Asset Special Revenue Fund, $389,992 for various home rehabilitation loans made by the City.

The terms of repayment vary. Because the notes do not meet the City's availability criteria for revenue recognition, the City has classified the revenue related to these loans as deferred inflows of resources in the governmental funds. Revenue is recognized in the year of repayment. All loans are secured by trust deeds.

Housing Assistance Loans
At June 30, 2024, the City was owed, in its Community Development Block Grant Special Revenue Fund, $311,227 for various housing assistance loans made by the City. The terms of repayment vary. Because the notes do not meet the City's availability criteria for revenue recognition, the City has classified the revenue related to these loans as deferred inflows of resources. Revenue is recognized in the year of repayment. All loans are secured by trust deeds.

Senior Housing Program
On June 21, 1995, the Agency loaned $2,200,000 to the Corporate Fund for Housing (a California nonprofit public benefit corporation) for the McCandless senior housing complex. The loan term is for 45 years and bears interest at 2% per annum. Any portion of the Agency loan remaining unpaid upon the 45th anniversary of completion will be forgiven. Repayments will be made from residual receipts of the housing complex. The loan is secured by the Agency Deed of Trust. At June 30, 2024, the loan receivable included accrued interest of $1,688,973.

Computer Loan Program
The City has a computer loan program for employees to purchase computers. The maximum loan amount per employee is $1,500 with a repayment term maximum of two years. Repayments from the employees are made through payroll deductions. At June 30, 2024, the loan receivable balance was $15,616.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(70)
NOTE 5 LEASES
Leases are financings of the right to use an underlying asset. A lessee is required to recognize a lease liability and an intangible right-to-use lease asset, and a lessor is required to recognize a lease receivable and a deferred inflow of resources.

A. Leases Receivable and Deferred Inflows of Resources
The City entered into 40 leases as a Lessor for the use of various pieces of land and building. The terms range from 2 to 90 year beginning on the contract commencement date. As of June 30, 2024, the City reported a lease receivable of $75,642,634, $5,812,597 for governmental funds and $69,830,037 for proprietary funds, respectively.

The lessees were required to make monthly payments in fiscal year 2024 ranging from $788 to $105,400. The leases have interest rates ranging from 0.3150% to 3.5290%.

The value of the deferred inflow of resources as of June 30, 2024, was $73,983,046, $5,716,656 for governmental funds and $68,266,390 for proprietary funds respectively, and the City recognized lease revenue of $5,137,957, $495,052 for governmental funds and $4,642,905 for proprietary funds, respectively. The City also recognized interest income of $1,361,493, $80,341 for governmental funds and $1,281,152 for proprietary funds, respectively. The lessees have various extension options, ranging from one 12- month option to two 60-month options. Variable and other miscellaneous payments are not included in the amount receivable.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(71)
NOTE 5 LEASES (CONTINUED)
A. Leases Receivable and Deferred Inflows of Resources (Continued) The following is a schedule, by year, of minimum future lease rentals on noncancellable operating leases as of June 30, 2024:

Governmental Activities
Minimum Future
Year Ending June 30, Lease Interest Rental Revenue
2025 $ 453,757 97,693 $ 551,450
2026 462,856 91,032 553,888
2027 472,187 84,187 556,374
2028 429,571 77,176 506,747
2029 137,236 72,288 209,524
2030 - 2034 597,445 308,173 905,618
2035 - 2039 111,739 273,261 385,000
2040 - 2044 121,675 263,325 385,000
2045 - 2049 132,495 252,505 385,000
2050 - 2054 144,277 240,723 385,000
2055 - 2059 157,107 227,893 385,000
2050 - 2064 171,077 213,923 385,000
2065 - 2069 186,290 198,710 385,000
2070 - 2074 202,855 182,145 385,000
2075 - 2079 220,894 164,106 385,000
2080 - 2084 240,537 144,463 385,000
2085 - 2089 261,926 123,074 385,000
2090 - 2094 285,217 99,782 384,999
2095 - 2099 310,580 74,420 385,000
2100 - 2104 338,198 46,802 385,000
2105 - 2109 368,271 16,729 385,000
2110 6,407 9 6,416
Total $ 5,812,597 $ 3,252,419 $ 9,065,016
Business-Type Activities
Minimum Future
Year Ending June 30, Lease Interest Rental Revenue
2025 $ 4,115,917 $ 1,163,374 $ 5,279,291
2026 4,165,906 1,105,325 5,271,231
2027 3,528,663 1,047,024 4,575,687
2028 2,182,206 997,210 3,179,416
2029 1,999,430 957,594 2,957,024
2030 - 2034 10,066,399 4,206,028 14,272,427
2035 - 2039 6,124,511 3,478,140 9,602,651
2040 - 2044 6,669,058 2,933,593 9,602,651
2045 - 2049 7,262,023 2,340,628 9,602,651
2050 - 2054 7,907,710 1,694,941 9,602,651
2055 - 2059 8,610,806 991,845 9,602,651
2050 - 2064 5,381,002 320,651 5,701,653
2065 - 2069 1,816,406 67,457 1,883,863
2070 - 2074 - - -
Total $ 69,830,037 $ 21,303,810 $ 91,133,847

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(72)
NOTE 5 LEASES (CONTINUED)
B. Lease Payable and Right to Use Lease Assets
On July 1, 2021, City of Redondo Beach, California, entered into a 102-month lease as Lessee for the use of 1922 Artesia Boulevard – Community Services Dept Building – Chuka. An initial lease liability was recorded in the amount of $2,245,558. As of June 30, 2024, the value of the lease liability is $1,501,429. The City of Redondo Beach, California, is required to make monthly fixed payments of $20,798. The City is using an implicit interest rate of 0.4570% for this lease. The City has one extension option of 60 months should it choose to exercise it. The buildings estimated useful life was 102 months as of the contract commencement.

On February 1, 2024, City of Redondo Beach, CA entered into a 54 month lease as Lessee for the use of workstation equipment. An initial lease liability was recorded in the amount of $550,897. As of June 30, 2024, the value of the lease liability is $410,147.

The City is required to make annual fixed payments of $140,750. The City is using an implicit interest rate of 1.5132% for this lease. The workstation equipment useful life is 54 months as of the contract commencement. The City has the option to purchase the Equipment for $385 should it choose to exercise it.

The right to use leased assets at June 30, 2024, include the following:

Amount of
Leased Capital Accumulated
Lease Underlying Asset Assets Amortization
Community Service Department Building $ 792,551 2,245,558 $ Workstation Equipment 550,897 57,385
Total $ 2,796,455 $ 849,936
Future principal and interest requirements to maturity for the lease liabilities are as follows:

Governmental Activities
Principal Interest Total
Year Ending June 30, Payments Payments Payments
2025 393,892 $ 12,528 $ 406,420 $
2026 401,907 9,294 411,201
2027 410,068 6,002 416,070
2028 278,010 2,651 280,661
2029 283,958 1,363 285,321
2030 143,741 192 143,933
Total $ 1,911,576 $ 32,030 $ 1,943,606

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(73)
NOTE 6 SUBSCRIPTIONS
As of June 30, 2024, the City has 17 subscription-based information technology arrangements (SBITA) for the use of various software. The City is required to make principal and interest payments through fiscal year 2030. An initial lease liability was recorded in the amount of $1,298,779. As of June 30, 2024, the value of the subscription liability was $1,173,532. The subscriptions have interest rates ranging from 1.7103% to 3.6310%. The value of the subscription asset at June 30, 2024 is $2,101,699 with accumulated amortization of $662,306.

The subscription assets at June 30, 2024, include the following:

Subscription Accumulated
Asset Class Asset Value Amortization
Software 2,101,699 $ 662,306 $
Future principal and interest requirements to maturity for the subscription liability are as follows:

Governmental Activities
Principal Interest Total
Year Ending June 30, Payments Payments Payments
2025 383,975 $ 31,679 $ 415,654 $
2026 345,408 21,357 366,765
2027 213,940 11,374 225,314
2028 151,000 5,572 156,572
2029 79,210 1,830 81,040
2030 - - -
Total $ 1,173,533 $ 71,812 $ 1,245,345
NOTE 7 INTERFUND TRANSACTIONS
A. Government-Wide Financial Statements
Internal Balances
At June 30, 2024, the City had the following internal receivables and payables for covering cash shortfalls:

Internal
Balances
Receivable
Governmental
Activities
Internal Balances Payable:

Business-Type Activities $ 1,292,629

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(74)
NOTE 7 INTERFUND TRANSACTIONS (CONTINUED)
A. Government-Wide Financial Statements (Continued)
Transfers
The City had the following transfers as of June 30, 2024:

Transfers In
Business-Type
Activities
Transfers Out:

Governmental Activities 487,401 $
B. Fund Financial Statements
Due to/from Other Funds
The City had the following due to/from other funds as of June 30, 2024:

Due from Other Funds
Government Funds Enterprise Funds
Other
General Governmental Harbor
Due to Other Funds Fund Funds Tidelands Total
Governmental Funds:

Other Intergovernmental
Grants $ 5,868,098 $ - $ - $ 5,868,098
Low-Mod Income Housing 861,213 - - 861,213
Other Governmental Funds 1,934,477 4,677,893 175,000 6,787,370 Enterprise Funds:

Harbor Tidelands - 544,986 - 544,986
Transit 922,643 - - 922,643
Total $ 9,586,431 $ 5,222,879 $ 175,000 $ 14,984,310
The $5,868,098 due to other funds in the Other Intergovernmental Grants Fund is to cover negative cash balances.

The $861,213 due to other funds in the Low-Mod Income Housing Fund is due to the General Fund for housing compliance services.

Of the $6,787,370 due to other funds in Other Governmental Funds, $4,677,893 is due to the Capital Improvement Projects fund to cover project expenditures, $109,478 is due to the General Fund for expenditures made on behalf of the Public Financing Authority, $175,000 is for Kincaids rental income passed through to the Harbor Tidelands Fund, $1,726,139 is due to the General for expenditure made on behalf of the Housing Authority, and $25,528 and $73,332 are due to the General Fund to cover negative cash balance in the Community Development Block Grant fund and Local Transportation Article 3 fund, respectively.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(75)
NOTE 7 INTERFUND TRANSACTIONS (CONTINUED)
B. Fund Financial Statements (Continued)
Due to/from Other Funds (Continued)
The $544,986 due to other funds in the Harbor Tidelands Fund is to cover the obligations of the Public Financing Authority (PFA) including a loan payoff and any excess of the Kincaid's Restaurant rental income.

The $922,643 due to other funds in the Transit Fund relate to reimbursements to be made to the General Fund for current year payments of certain transit costs.

Transfers
The City had the following transfers as of June 30, 2024:

Transfers In
Governmental Funds
Other Other
General Governmental Enterprise
Transfers Out Fund Funds Funds Total
Governmental Funds:

General Fund $ - $ - 13,973,838 $ $ 13,973,838
Other Governmental Funds - 2,140,580 2,140,580
Enterprise Funds:

Harbor Uplands 1,653,179 - - 1,653,179
Total $ 13 1,653,179 $ 2 ,973,838 $ 17 ,140,580 $ ,767,597 Of the $13,973,838 transfer from the General Fund, $13,973,833 was to fund debt service payments.

The $2,140,580 transfer from the nonmajor governmental funds to the Other Enterprise Fund for a transit subsidy.

The $1,653,179 transfer from the Harbor Tidelands Enterprise Fund to the General Fund to reimburse rental payments.

NOTE 8 CAPITAL ASSETS
The City elected to use the "Modified Approach" as defined by GASB Statement No. 34 for infrastructure reporting for its street pavement system. As a result, no accumulated depreciation or depreciation expense has been recorded for this system. A more detailed discussion of the "Modified Approach" is presented in the Required Supplementary Information section of this report. All other capital assets including other infrastructure systems were reported using the Basic Approach whereby accumulated depreciation and depreciation expense have been recorded.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(76)
NOTE 8 CAPITAL ASSETS (CONTINUED)
At June 30, 2024, the City's capital assets consisted of the following:

Governmental Business-Type
Activities Activities Total
Nondepreciable Assets:

Land 19,079,909 $ 20,773,255 $ 39,853,164 $
Construction in Progress 20,602,793 10,903,336 31,506,129 Infrastructure - Streets 54,054,036 - 54,054,036
Total Nondepreciable Assets 93,736,738 31,676,591 125,413,329 Depreciable Assets:

Buildings and Improvements 79,131,391 49,010,137 128,141,528 Right-to-Use Buildings 2,796,455 - 2,796,455
Right-to-Use Subscriptions 2,101,699 - 2,101,699
Furniture and Equipment 13,883,875 1,121,730 15,005,605 Automotive Equipment 21,145,209 4,077,406 25,222,615
Infrastructure 102,696,119 33,634,671 136,330,790
Total Depreciable Assets 221,754,748 87,843,944 309,598,692 Less Accumulated Depreciation for:

Buildings and Improvements 32,298,051 23,793,297 56,091,348 Right-to-Use Buildings 849,936 - 849,936
Right-to-Use Subscriptions 662,306 - 662,306
Furniture and Equipment 10,788,260 1,002,891 11,791,151 Automotive Equipment 14,233,405 2,276,422 16,509,827
Infrastructure 64,468,649 15,067,614 79,536,263
Total Accumulated Depreciation 123,300,607 42,140,224 165,440,831 Total Depreciable Assets, Net 98,454,141 45,703,720 144,157,861 Total Capital Assets, Net $ 192,190,879 $ 77,380,311 $ 269,571,190

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(77)
NOTE 8 CAPITAL ASSETS (CONTINUED)
The following is a summary of changes in the capital assets for governmental activities during the fiscal year:

Balance at
June 30, 2023 Balance at
As Restated* Additions Deletions Transfers June 30, 2024 Nondepreciable Assets:

Land $ 16,522,947 $ 1,486,478 $ - $ 1,070,484 $ 19,079,909 Construction in Progress 32,382,403 9,961,885 (45,360) (21,696,135) 20,602,793 Infrastructure - Streets 54,054,036 - - 54,054,036 -
Total Nondepreciable
Assets 102,959,386 11,448,363 (45,360) (20,625,651) 93,736,738 Depreciable Assets:

Buildings and Improvements 58,523,343 - - 20,608,048 79,131,391 Right-to-Use Buildings 2,245,558 - - 2,245,558 -
Right-to-Use Subscriptions 1,422,465 788,039 (108,805) - 2,101,699 Furniture and Equipment 13,730,204 174,497 (38,429) 17,603 13,883,875 Right-to-Use Furniture and Equipment - 550,897 - - 550,897 Automotive Equipment 19,603,617 4,653,108 (3,111,516) - 21,145,209 Infrastructure 102,696,119 - - - 102,696,119
Total Depreciable
Assets 198,221,306 6,166,541 (3,258,750) 20,625,651 221,754,748 Less Accumulated Depreciation for:

Buildings and Improvements 29,849,247 2,448,804 - 32,298,051 - Right-to-Use Buildings 528,367 264,184 - - 792,551
Right-to-Use Subscriptions 245,987 525,124 (108,805) - 662,306 Furniture and Equipment 10,230,226 596,463 (38,429) - 10,788,260 Right-to-Use Furniture and Equipment - 57,385 - - 57,385 Automotive Equipment 15,170,169 2,174,752 (3,111,516) - 14,233,405 Infrastructure 62,709,906 1,758,743 - 64,468,649 -
Total Accumulated
Depreciation 118,733,902 7,825,455 (3,258,750) - 123,300,607 Total Depreciable
Assets, Net 79,487,404 (1,658,914) - 20,625,651 98,454,141 Governmental Activities
Capital Assets, Net $ 182,446,790 $ 9,789,449 $ (45,360) $ - $ 192,190,879 *The beginning balance has been restated to reflect adjustments to construction in progress from a prior year. See Note 17 for more information.

Depreciation/amortization expense was charged to functions/programs of governmental activities for the fiscal year ended June 30, 2024, as follows:

General Government:

General Government 2,482,209 $
Public Safety 336,407
Public Works 2,712,176
Cultural and Leisure Services 502,893
Internal Service Funds:

Vehicle Replacement 1,189,704
Building Occupancy 19,903
Information Technology 312,854
Self-Insurance Program 5,491
Emergency Communications 233,011
Major Facilities Repair 30,807
Total Depreciation and Amortization Expense $ 7,825,455

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(78)
NOTE 8 CAPITAL ASSETS (CONTINUED)
The following is a summary of changes in the capital assets for business-type activities for the year ended June 30, 2024:

Balance at
June 30, 2023 Balance at
As Restated* Additions Deletions Transfers June 30, 2024 Nondepreciable Assets:

Land $ 20,323,255 $ - $ - $ 450,000 $ 20,773,255
Construction in Progress 10,374,372 4,501,001 (114,443) (3,857,594) 10,903,336 Total Nondepreciable
Assets 30,697,627 4,501,001 (114,443) (3,407,594) 31,676,591 Depreciable Assets:

Buildings and Improvements 45,184,647 417,896 - 3,407,594 49,010,137 Furniture and Equipment 1,094,505 27,225 - - 1,121,730
Automotive Equipment 3,698,852 644,560 (266,006) - 4,077,406 Infrastructure 33,634,671 - - 33,634,671 -
Total Depreciable
Assets 83,612,675 1,089,681 (266,006) 3,407,594 87,843,944 Less Accumulated Depreciation for:

Buildings and Improvements 22,589,621 1,203,676 - 23,793,297 - Furniture and Equipment 989,771 13,120 - 1,002,891 -
Automotive Equipment 2,277,921 264,507 (266,006) - 2,276,422 Infrastructure 14,611,721 455,893 - 15,067,614 -
Total Accumulated
Depreciation 40,469,034 1,937,196 (266,006) - 42,140,224 Total Depreciable
Assets, Net 43,143,641 (847,515) - 3,407,594 45,703,720 Business-Type Activities
Capital Assets, Net $ 73,841,268 $ 3,653,486 $ (114,443) $ - $ 77,380,311 *The beginning balance has been restated to reflect the transfer of assets from a prior year. See Note 17 for more information.

Depreciation/amortization expense for business-type activities for the fiscal year ended June 30, 2024, was charged as follows:

Harbor Tidelands $ 565,103
Harbor Uplands 382,990
Wastewater 728,479
Other Nonmajor Enterprise Funds 260,624
Total Depreciation and Amortization Expense $ 1,937,196 In the governmental fund financial statements, capital assets are not presented.

Consequently, capital assets are a reconciling item and are shown in the reconciliation of the governmental funds balance sheet to the government-wide statement of net position.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(79)
NOTE 9 COMPENSATED ABSENCES PAYABLE
The following is a summary of compensated absences payable transactions for the year ended June 30, 2024:

Amounts Due
Balance at Balance at Within One
June 30, 2023 Additions Deletions June 30, 2024 Year
Governmental Activities:

Compensated Absences Payable 3,789,527 $ 3,138,414 $ (2,882,065) $ 4,045,876 $ 1,011,470 $ Business-Type Activities:

Compensated Absences Payable 548,924 350,557 (398,204) 501,277 125,323 Total $ 4,338,451 $ 3,488,971 $ (3,280,269) $ 4,547,153 $ 1,136,793 The long-term portion of compensated absences payable has been accrued for the governmental activities on the government-wide financial statement. Also, compensated absences are generally liquidated by the General Fund. There is no fixed payment schedule to pay these liabilities.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(80)
NOTE 10 LONG-TERM LIABILITIES
The following is a summary of long-term liabilities transactions for the year ended June 30, 2024:

Amounts Due
Balance at Balance at Within One
June 30, 2023 Additions Deletions June 30, 2024 Year
Governmental Activities:

CFA 2019A Lease Revenue
Refunding Bonds 25,955,000 $ - $ $ (605,000) $ 25,350,000 $ 625,000 Unamortized Bond Discount (647,448) - 24,902 (622,546) - CFA Lease Revenue Bonds
Series 2021A 200,523,915 - (6,933,276) 193,590,639 6,983,716 Leases (See Note 5.B.) 1,754,910 550,897 (394,231) 1,911,576 393,892 Subscriptions (See Note 6) 985,983 746,539 (558,989) 1,173,533 383,975 Total Governmental
Activities $ 228,572,360 $ 1,297,436 $ (8,466,594) $ 221,403,202 $ 8,386,583 Business-Type Activities:

Wastewater Revenue Refunding
2014 Series A $ 4,735,000 $ - $ (340,000) $ 4,395,000 $ 355,000 Unamortized Bond Premium 288,815 - (26,255) 262,560 -
CFA Lease Revenue Bonds -
Series 2021A 18,126,085 - (626,724) 17,499,361 631,284
Total Business-Type
Activities $ 23,149,900 $ - $ (992,979) $ 22,156,921 $ 986,284 Community Financing Authority (CFA) 2019A Lease Revenue Refunding Bonds The Community Financing Authority issued refunding revenue bonds dated February 2019, totaling $28,015,000. The proceeds of the bonds were used to refund the various leaseback contingencies and finance the purchase of a sublease between the City and Redondo Fisherman's Cove Company. The bonds bear interest at rates between 4.00% and 5.00% and interest is payable on each May 1 and November 1, commencing November 1, 2019.

The bonds are payable from base rental payments. Principal is due annually beginning on May 1, 2020, in amounts ranging from $350,000 to $1,585,000. The bonds mature on May 1, 2049. The bonds are subject to optional and mandatory early redemption provisions.

As of June 30, 2024, the balance outstanding was $25,350,000, with an unamortized discount of $622,546.

The annual requirements to amortize the outstanding bond indebtedness as of June 30, 2024, including interest, are as follows:

Year Ending June, 30, Principal Interest Total
2025 $ 625,000 $ 1,030,038 $ 1,655,038
2026 640,000 1,010,506 1,650,506
2027 665,000 989,706 1,654,706
2028 685,000 968,094 1,653,094
2029 710,000 944,975 1,654,975
2030 - 2034 3,960,000 4,296,425 8,256,425
2035 - 2039 4,830,000 3,426,237 8,256,237
2040 - 2044 5,930,000 2,329,212 8,259,212
2045 - 2049 7,305,000 957,314 8,262,314
Total $ 25,350,000 $ 15,952,507 $ 41,302,507

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(81)
NOTE 10 LONG-TERM LIABILITIES (CONTINUED)
The following is a summary of the 2019A Lease Revenue Refunding unamortized discount outstanding at June 30, 2024:

Balance at Balance at
June 30, 2023 Additions Deletions June 30, 2024
$ (647,448) $ - $ 24,902 $ (622,546)
Wastewater Revenue Bonds 2014, Series A
On March 25, 2014, the City issued $7,230,000 of Wastewater Revenue Refunding Bonds for the purpose of refunding $7,230,000 of then-outstanding 2004 Wastewater Revenue Refunding Bonds. The purpose of the bonds was to finance certain improvements and related facilities that constitute part of the Wastewater Enterprise Fund. The serial bonds in the amount of $4,795,000 mature through May 1, 2029 and bear a variable interest rate ranging from 3% to 5% per annum. Term bonds in the amount of $2,435,000 mature through May 1, 2034, and bear interest at the rate of 4%. The serial bonds maturing on or after May 1, 2015, are subject to optional redemption provisions. The term bonds are subject to optional and mandatory redemption provisions. The bonds are payable solely from and secured by a pledge of and lien upon the net revenues of the Wastewater Enterprise Fund. For the current year, net revenues were $2,612,528 and debt service requirements were $545,488.

As of June 30, 2024, the balance outstanding was $4,395,000, with an unamortized bond premium of $262,560.

The annual requirements to amortize the outstanding bond indebtedness as of June 30, 2024, including interest, are as follows:

Year Ending June, 30, Principal Interest Total
2025 $ 355,000 $ 188,488 $ 543,488
2026 375,000 170,738 545,738
2027 395,000 151,988 546,988
2028 405,000 139,150 544,150
2029 430,000 118,900 548,900
2030 - 2034 2,435,000 299,600 2,734,600
Total $ 4,395,000 $ 1,068,864 $ 5,463,864
The following is a summary of the 2014 Revenue Bond Series A unamortized premium outstanding at June 30, 2024:

Balance at Balance at
June 30, 2023 Additions Deletions June 30, 2024
$ 288,815 $ - $ (26,255) $ 262,560

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(82)
NOTE 10 LONG-TERM LIABILITIES (CONTINUED)
Community Financing Authority (CFA) Lease revenue Bonds Series 2021A In July 2021, the Redondo Beach Community Financing Authority (CFA) issued $226,180,000 Lease Revenue Bonds Series 2021A (federally taxable) to fund a portion of the City's obligation to the California Public Employees' Retirement System. The bond will be payable from base rental payment made by the City to the Authority as rental for portion of certain street located in the City. The bonds include $115,865,000 serial bonds with principal due on May 1 of each year starting in 2023 until 2026 and ranging in amount of $7,530,000 to $9,485,000. The bonds also include term bonds in the amount of $51,785,000 and 58,530,000 due May 1, 2041 and 2049 respectively. Interest payable on the bonds range from 0.415% to 3.068% payable semiannually.

Year Ending June, 30, Principal Interest Total
2025 $ 7,615,000 $ 5,485,044 $ 13,100,044
2026 7,695,000 5,408,056 13,103,056
2027 7,795,000 5,306,406 13,101,406
2028 7,920,000 5,181,998 13,101,998
2029 8,060,000 5,039,754 13,099,754
2030 - 2034 42,970,000 22,540,718 65,510,718
2035 - 2039 48,870,000 16,644,262 65,514,262
2040 - 2044 49,920,000 9,039,890 58,959,890
2045 - 2049 30,245,000 2,510,238 32,755,238
Total $ 211,090,000 $ 77,156,366 $ 288,246,366
In the event of default, there is no remedy of acceleration of any Base Rental Payments which have not come due, and no right for the Authority to terminate the Lease and re-let the Leased Property. The sole remedy provided for in the Lease is to exercise any action at law or in equity necessary or desirable to collect the amounts due under the Lease.

In addition, the City is reporting a deferred charge on refunding as a deferred outflows of resources. The following is a summary of the amortization of the deferred charge for the fiscal year ending June 30, 2024:

Balance at Balance at
June 30, 2023 Additions Deletions June 30, 2024
Deferred Outflows of Resources:

Deferred Loss on Refunding $ - 282,785 $ $ (25,708) $ 257,077

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(83)
NOTE 11 RISK MANAGEMENT
The City is exposed to risks of losses related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters; and currently reports all of its risk management activities in its Self-Insurance Program Internal Service Fund.

The City has adopted a self-insurance workers' compensation program, which is administered by a third-party agent, AdminSure. The self-insurance coverage for each claim is limited to $750,000. Excess coverage of up to $50,000,000 for each claim is provided by the Public Risk Innovations, Solutions, and Management (PRISM), an insurance pool, in which a consortium of counties and cities has agreed to share risks and losses. As of June 30, 2024, the estimated claims payable for workers' compensation was $14,669,120, which included claims incurred but not reported (IBNR). The current year's portion of the claims was $611,066.

For general liability claims, the City is also self-insured up to $500,000 for each occurrence.

The self-insurance program is administered by a third-party agent, AdminSure. Each claim in excess of the self-insured retention of up to $30,000,000 is covered by the CSAC-EIA. As of June 30, 2024, the estimated claims payable for general liability was $9,733,982, which included IBNR. The current year's portion was $592,111. Governmental activities claims and judgments are generally liquidated by the General Fund.

Liability on
June 30, 2024
General Liability $ 9,733,982
Workers' Compensation 14,669,120
Total Claims Payable $ 24,403,102
Due Within on Year $ 1,203,177
Due in More than One Year 23,199,925
Total Claims Payable $ 24,403,102
The following is a summary of the changes in the claim liability over the past two fiscal years. Changes in the reported liability resulted from the following:

Beginning Ending Due Within
Fiscal Year Balance Increase Decrease Balance One Year
2022 - 2023
Workers' Compensation $ 16,533,937 $ 1,331,205 $ (4,595,226) $ 13,269,916 $ 456,300 General Liabilities 7,704,242 7,423,908 (7,476,680) 7,651,470 292,264 Total $ 24,238,179 $ 8,755,113 $ (12,071,906) $ 20,921,386 $ 748,564 2023 - 2024
Workers' Compensation $ 13,269,916 $ 4,729,543 $ (3,330,339) $ 14,669,120 $ 611,066 General Liabilities 7,651,470 5,525,923 (3,443,411) 9,733,982 592,111 Total $ 20,921,386 $ 10,255,466 $ (6,773,750) $ 24,403,102 $ 1,203,177

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(84)
NOTE 11 RISK MANAGEMENT (CONTINUED)
Settled claims have not exceeded any of the City's coverage amounts in any of the last three fiscal years and there were no reductions in the City's coverage during the year. The estimated claims payable for workers' compensation and general liability is based on estimates provided by the third-party administrator, the City Attorney, the Risk Management staff, and the City's actuary.

NOTE 12 EMPLOYEE RETIREMENT PLANS
A. Pension Plans
Plan Description
The Plans are agent, multiple-employer defined benefit pension plans administered by the California Public Employees' Retirement System (CalPERS). A full description of the pension plans regarding number of employees covered, benefit provisions, assumptions (for funding, but not account purposes), and membership information are listed in the June 30, 2022, Annual Actuarial Valuation Report (funding valuation). Details of the benefits provided can be obtained in Appendix B of the actuarial valuation report. The actuarial valuation report and CalPERS' audited financial statements are publicly available reports that can be obtained at CalPERS' website, at www.calpers.ca.gov.

Benefits Provided
CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees and beneficiaries. Benefits are based on years of credited service, equal to one year of full time employment. Members with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. All members are eligible for nonduty disability benefits after 10 years of service. The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the Optional Settlement 2W Death Benefit. The cost of living adjustments for each plan are applied as specified by the Public Employees' Retirement Law.

Miscellaneous
Tier 1 * Tier 2 * Tier 3
On or After
May 1, 2012
Prior to and Before On or After
Hire Date May 1, 2012 January 1, 2013 January 1, 2013
Benefit Formula 2% @ 55 2% @ 60 2% @ 62
Benefit Vesting Schedule 5 Years Service 5 Years Service 5 Years Service Benefit Payments Monthly for Life Monthly for Life Monthly for Life Retirement Age 50-63 50-63 52-67
Monthly Benefits, as a % of Eligible
Compensation 1.426% - 2.418% 1.092% - 2.418% 1.0% - 2.5% Required Employee Contribution Rates 7.00% 7.00% 7.75%
Required Employer Contribution Rates 10.34% 10.34% 10.34% Required Employer UAL Contribution $ - $ - $ -

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(85)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
A. Pension Plans (Continued)
Benefits Provided (Continued)
Safety
Tier 1 * Tier 2 * Tier 3
On or After
May 1, 2012
Prior to and Before On or After
Hire Date May 1, 2012 January 1, 2013 January 1, 2013
Benefit Formula Police - 3% @ 50 Police and Fire Police and Fire Fire - 3% @ 55 3% @ 55 2.7% @ 57
Benefit Vesting Schedule 5 Years Service 5 Years Service 5 Years Service Benefit Payments Monthly for Life Monthly for Life Monthly for Life Retirement Age 50-55 50-55 50-57
Monthly Benefits, as a % of Eligible
Compensation 2.4% - 3% 2.4% - 3% 2% - 2.7%
Required Employee Contribution Rates 9.00% 9.00% 13.00% Required Employer Contribution Rates 23.340% 23.340% 23.340% Required Employer UAL Contribution $ - $ - $ -
As of the valuation date of June 30, 2022, the following employees were covered by the benefit terms of the Plan:

Miscellaneous Safety
Inactive Employees or Beneficiaries Currently
Receiving Benefits 542 325
Inactive Employees Entitled to but Not Yet
Receiving Benefits 433 62
Active Employees 281 143
Total 1,256 530
Contributions
Section 20814(c) of the California Public Employees' Retirement Law (PERL) requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. The total plan contributions are determined through the CalPERS' annual actuarial valuation process. The actuarially determined rate is based on the estimated amount necessary to finance the costs and benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The employer is required to contribute the difference between the actuarially determined rate and the contribution rate of employees. Employer contribution rates may change if plan contracts are amended. Payments made by the employer to satisfy contribution requirements that are identified by the pension plan terms as plan member contribution requirements are classified as plan member contributions.

For the year ended June 30, 2024, the City made $7,326,864 of employer contributions to the pension plans ($2,347,150 miscellaneous plan and $4,979,714 safety plan).

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(86)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
A. Pension Plans (Continued)
Actuarial Methods and Assumptions Used to Determine Total Pension Liability The June 30, 2022 valuation was rolled forward to determine the June 30, 2023 total pension liability based on the following actuarial methods and assumptions:

Miscellaneous Safety
Valuation Date June 30, 2022 June 30, 2022
Measurement Date June 30, 2023 June 30, 2023
Actuarial Cost Method Entry Age Normal Entry Age Normal Asset Valuation Method Market Value of Assets Market Value of Assets Actuarial Assumptions:

Discount Rate 6.90% 6.90%
Inflation 2.30% 2.30%
Salary Increases (1) 3.30% to 14.20% 3.30% to 10.90%
Mortality Rate Table (2) Derived using CalPERS membership data for all funds Postretirement Benefit Increase The lesser of contract COLA or 2.30% until Purchasing Power Protection Allowance floor on purchasing power
applies, 2.30% thereafter
(1) Annual increases vary by category, entry age, and duration of service. (2) The mortality table used was developed based on CalPERS-specific data. The probabilities of mortality are based on the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. Mortality rates incorporate full generational mortality improvement using 80% of Scale MP-2020 published by the Society of Actuaries. For more details on this table, please refer to the 2021 experience study report from November 2021 that can be found on the CalPERS website.at www.calpers.ca.gov.

Long-Term Expected Rate of Return
The long-term expected rate of return on pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.

In determining the long-term expected rate of return, CalPERS took into account both short-term and long-term market return expectations. Using historical returns of all of the funds' asset classes, expected compound (geometric) returns were calculated over the next 20 years using a building-block approach. The expected rate of return was then adjusted to account for assumed administrative expenses of 10 Basis points.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(87)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
A. Pension Plans (Continued)
Long-Term Expected Rate of Return (Continued)
The expected real rates of return by asset class are as followed:

Assumed
Asset Real Return
Asset Class (1) Allocation (1, 2)
Global Equity - Cap-Weighted 30.00% 4.54%
Global Equity - Noncap-Weighted 12.00% 3.84%
Private Equity 13.00% 7.28%
Treasury 5.00% 0.27%
Mortgage-Backed Securities 5.00% 0.50%
Investment Grade Corporates 10.00% 1.56%
High Yield 5.00% 2.27%
Emerging Market Debt 5.00% 2.48%
Private Debt 5.00% 3.57%
Real Assets 15.00% 3.21%
Leverage -5.00% -0.59%
(1) An expected price inflation of 2.30% used for this period. (2) Figures are based on the 2021 Asset Liability Management study.

Discount Rate
The discount rate used to measure the total pension liability was 6.90%. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers will be made at statutorily required rates, actuarially determined. Based on those assumptions, the Plan's fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on plan investments was applied to all periods of projected benefit payments to determine the total pension liability.

Subsequent Events
There were no subsequent events that would materially affect the results presented in this disclosure.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(88)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
A. Pension Plans (Continued)
Changes in the Net Pension Liability
The following tables show the changes in net pension liability recognized over the measurement period for the Miscellaneous and Safety Plans:

Plan Total Plan Fiduciary Plan Net
Pension Liability Net Position Pension Liability
Miscellaneous Plan (a) (b) (c) = (a) - (b)
Balance - June 30, 2022 - Measurement Date 240,496,017 $ 232,288,394 $ 8,207,623 $ Changes Recognized for the
Measurement Period:

Service Cost 3,441,839 - 3,441,839
Interest on the Total Pension Liability 16,219,473 - 16,219,473 Changes of Benefit Terms (2) 339,225 - 339,225
Differences between Expected
and Actual Experience (707,830) - (707,830)
Net Plan to Plan Resource Movement - (14,324) 14,324
Contributions from the Employer - 2,014,388 (2,014,388) Contributions from the Employees - 1,571,290 (1,571,290) Net Investment Income - 13,829,787 (13,829,787)
Benefit Payments, Including Refunds
of Employee Contributions (13,567,007) (13,567,007) -
Administrative Expense - (170,814) 170,814
Net Changes during 2022-23 5,725,700 3,663,320 2,062,380 Balance - June 30, 2023 - Measurement Date ( $ 235,951,714 246,221,717 $ 10,270,003 $ Plan Total Plan Fiduciary Plan Net
Pension Liability Net Position Pension Liability
Safety Plan (a) (b) (c) = (a) - (b)
Balance - June 30, 2022 - Measurement Date 421,286,399 $ 398,696,709 $ 22,589,690 $ Changes Recognized for the
Measurement Period:

Service Cost 6,407,011 - 6,407,011
Interest on the Total Pension Liability 28,719,706 - 28,719,706 Changes of Benefit Terms (2) 168,350 - 168,350
Differences between Expected
and Actual Experience 4,346,921 - 4,346,921
Net Plan to Plan Resource Movement - 14,324 (14,324)
Contributions from the Employer - 4,682,522 (4,682,522) Contributions from the Employees - 2,209,903 (2,209,903) Net Investment Income - 23,582,718 (23,582,718)
Benefit Payments, Including Refunds
of Employee Contributions (25,555,133) (25,555,133) -
Administrative Expense - (293,183) 293,183
Net Changes during 2022-23 14,086,855 4,641,151 9,445,704 Balance - June 30, 2023 - Measurement Date ( $ 403,337,860 435,373,254 $ 32,035,394 $ (1) The fiduciary net position includes receivables for employee service buybacks, deficiency reserves, fiduciary selfinsurance and OPEB expense. As described in the previous section of this note, this may differ from the plan assets reported in the funding actuarial valuation report.
(2) In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. The impact is included in the changes of benefit terms.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(89)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
A. Pension Plans (Continued)
Sensitivity of the Net Pension Liability to Changes in the Discount Rate The following presents the net pension liability for the Plans as of the measurement date, calculated using the discount rate of 6.90 percent, as well as what the net pension liability would be if it were calculated using a discount rate that is 1 percentage-point lower (5.90 percent) or 1 percentage-point higher (7.90 percent) than the current rate:

Net Pension Liability (Asset)
Discount Current Discount
Rate - 1% Discount Rate + 1%
(5.90%) (6.90%) (7.90%)
Miscellaneous Plan $ 40,900,979 $ 10,270,003 $ (15,131,406) Safety Plan 86,227,678 32,035,394 (12,824,173)
Total $ 127,128,657 $ 42,305,397 $ (27,955,579)
Pension Plan Fiduciary Net Position
The plan fiduciary net position disclosed in the GASB 68 accounting valuation report may differ from the plan assets reported in the funding actuarial valuation report due to several reasons. First, for the accounting valuations, CalPERS must keep items such as deficiency reserves, fiduciary self-insurance and OPEB expense included as assets.

These amounts are excluded for rate setting purposes in the funding actuarial valuation.

In addition, differences may result from early Comprehensive Annual Financial Report closing and final reconciled reserves. Detailed information about each pension plan's fiduciary net position is available in the separately issued CalPERS financial reports.

See CalPERS website for additional information.

For the measurement period ended June 30, 2023 (the measurement date) and for the reporting period ended June 30, 2024 (the reporting date), the City incurred a pension expense of $6,388,554 and $15,861,738 the miscellaneous and safety plans, respectively.

As of June 30, 2024, the following were the reported deferred outflows of resources and deferred inflows of resources related to all pension plans:

Miscellaneous Safety
Deferred Deferred Deferred Deferred
Outflows of Inflows of Outflows of Inflows of
Resources Resources Resources Resources
City Pension Contribution
Subsequent to Measurement Date $ 2,347,150 $ - $ 4,979,714 $ - Difference Between Expected
and Actual Experience - (1,052,782) 3,029,674 (845,750) Change in Assumptions 1,009,614 - 4,752,553 -
Net Difference Between Projected
and Actual Earnings on Pension
Plan Investments 12,702,364 - 22,624,028 -
Total $ 16,059,128 $ (1,052,782) $ 35,385,969 $ (845,750)

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(90)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
A. Pension Plans (Continued)
Pension Plan Fiduciary Net Position (Continued)
Contributions subsequent to the measurement date are reported as deferred outflows of resources and will be recognized as a reduction of the net pension liability in the year ended June 30, 2025. Other amounts reported as deferred outflows or deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Miscellaneous Safety
Deferred Deferred
Outflows Outflows
(Inflows) (Inflows)
Measurement Period Ended June 30, of Resources of Resources 2025 2,995,291 $ 10,698,759 $
2026 2,100,685 6,028,656
2027 7,196,867 12,179,561
2028 366,353 653,524
Total $ 12,659,196 $ 29,560,500
B. Other Postemployment Benefits
Plan Description and Eligibility
In addition to the pension benefits described above, the City provides certain health insurance benefits, in accordance with memorandums of understanding, to retired employees through the California Employers' Retiree Benefit Trust (CERBT) Fund, which is an agent multiple-employer plan administered by CalPERS. The City provides medical insurance for employees in accordance with agreements reached with various bargaining groups. The City shall pay the single retiree medical premium rate, for qualified retirees, for a medical insurance plan in which the retiree is enrolled from among those medical plans provided by the City. These contributions of the City for such medical premiums shall cease on the date the retiree becomes eligible to enroll in the Federal Medicare program and/or any Medicare supplemental plans. Membership of the plan consisted of the following at June 30, 2023 (the measurement date).

Number of
Employees
Active Employees 400
Inactives Currently Receiving Benefits 184
Inactives Entitled to But Not Yet Receiving
Benefits 330
Total 914

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(91)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
B. Other Postemployment Benefits (Continued)
Contributions
The required contribution of the City is based on a percentage of PERSable payroll. For the fiscal year ended June 30, 2024 the City's contributions were $1,970,280 ($1,560,280 of premiums and a $410,000 implicit subsidy).

Actuarial Methods and Assumptions Used to Determine Net OPEB Liability The City's net OPEB Liability was measured as of June 30, 2023 and the total OPEB liability used to calculate the net OPEB liability was determined based on the following actuarial methods and assumptions:

Valuation Date June 30, 2023
Contribution Policy City contributes full actuarially determined contribution as a percentage of covered payroll
Discount Rate and
Long-Term Expected Rate
of Return on Assets

6.25% at June 30, 2023

6.25% at June 30, 2022
Expected City contributions projected to keep sufficient plan assets to pay all benefits from trust
General Inflation 2.5%
Mortality, Retirement, Disability,
Termination
CalPERS 2000-2019 Experience Study
Mortality Improvement Mortality projected fully generational with Scale MP-2021 Salary Increases Aggregate – 2.75% annually
Merit – CalPERS 2000-2019 Experience Study
Medical Trend Non-Medicare – 8.5% for 2025, decreasing to an ultimate rate of 3.45% in 2076
Medicare – N/A
PEMHCA Minimum Increases 3.5% annually
Medical Participation for
Additional Benefit
Currently covered – 100%, 90%, 60%, 50% for employees
receiving 100%, 75%, 50%, 25% City paid premium
respectively
Not currently covered – 90% of above rates
PEMHCA Medical Participation Currently covered – 10% for 2021, increasing to ultimate rate of 50% in 2033
Not currently covered – 90% of above rates
Life Insurances Participation Future retirees: 10%
Change of Assumptions Update to medical trend assumptions Changes of Benefit Items None

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(92)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
B. Other Postemployment Benefits (Continued)
Long-Term Expected Rate of Return
The expected real rates of return by asset class are as followed:

Target
Allocation Expected
CERBT - Real Rate
Asset Class Component Strategy 1 of Return
Global Equity 49% 4.56%
Fixed Income 23% 1.56%
TIPS 5% -0.08%
Commodities 3% 1.22%
REITs 20% 4.06%
(1) Assumed Long-Term Rate of Inflation 2.50%
(2) Expected Long-Term Net Rate of Return,
Rounded to the Nearest Quarter Percent 6.25%
The long-term expected real rates of return are presented as geometric means.

Discount Rate
The discount rate used to measure the total OPEB liability was 6.25 percent. The projection of cash flows used to determine the discount rate assumed that City contributions will be made at rates equal to the actuarially determined contribution rates.

Based on those assumptions, the OPEB plan's fiduciary net position was projected to be available to make all projected OPEB payments for current active and inactive employees and beneficiaries. Therefore, the long-term expected rate of return on OPEB plan investments was applied to all periods of projected benefit payments to determine the total OPEB liability.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(93)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
B. Other Postemployment Benefits (Continued)
Changes in the OPEB Liability
Total OPEB Fiduciary Net OPEB
Liability Net Position Liability
(a) (b) (c) = (a) - (b)
Balance at June 30, 2023 (Measurement
Date June 30, 2022) $ 9,133,983 22,122,970 $ 12,988,987 $ Changes Recognized for the
Measurement Period:

Service Cost 752,978 - 752,978
Interest 1,382,435 - 1,382,435
Benefit Changes - - -
Actual Versus Expected Experience 545,675 - 545,675
Assumption Changes 575,958 - 575,958
Contributions - Employer - 1,822,393 (1,822,393)
Net Investment Income - 765,828 (765,828)
Benefit Payments (1,513,984) (1,513,984) -
Administrative Expense - (9,436) 9,436
Net Changes 1,743,062 1,064,801 678,261
Balance at June 30, 2024 (Measurement
Date June 30, 2023) $ 10,198,784 23,866,032 $ 13,667,248 $ Sensitivity of the Net OPEB Liability to Changes in the Discount Rate The following presents the net OPEB liability of the City if it were calculated using discount rate that is one percentage point lower or one percentage point higher than the current rate for the measurement period ended June 30, 2023.

Current
1% Decrease Discount Rate 1% Increase
(5.25%) (6.25%) (7.25%)
Net OPEB Liability $ 13,667,248 15,823,845 $ 11,777,238 $ Sensitivity of the Net OPEB Liability to Changes in the Health Care Cost Trend Rates The following presents the net OPEB liability of the City if it were calculated using health care cost-trend rates that are one percentage point lower or one percentage point higher than the current rate for the measurement period ended June 30, 2023.

Current
Healthcare Cost
1% Decrease Trend Rates 1% Increase
Net OPEB Liability $ 13,667,248 11,000,220 $ 17,210,599 $

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(94)
NOTE 12 EMPLOYEE RETIREMENT PLANS (CONTINUED)
B. Other Postemployment Benefits (Continued)
OPEB Plan Fiduciary Net Position
CalPERS issues a publicly available financial report that includes financial statements and required supplementary information. Copies of the CalPERS' annual financial report may be obtained from the CalPERS Executive Office, 400 P Street, Sacramento, California 95814.

OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB For the fiscal year ended June 30, 2024, the City recognized OPEB expense of $1,073,630. As of fiscal year ended June 30, 2024 (June 30, 2023 measurement date), the City reported deferred outflows of resources related to OPEB from the following sources:

Deferred Deferred
Outflows Inflows
of Resources of Resources
OPEB Contributions Subsequent to Measurement
Date $ 1,970,280 $ -
Differences Between Expected and Actual
Experience 481,478 (2,931,496)
Changes of Assumptions 1,363,594 (724,001)
Net Difference Between Projected and Actual
Earnings on OPEB Plan Investments 577,209 -
Total $ 4,392,561 $ (3,655,497)
The $1,970,280, reported as deferred outflows of resources related to contributions subsequent to measurement date will be recognized as a reduction to net OPEB liability in the year ended June 30, 20245. Other amounts reported as deferred inflows of resources related to OPEB will be recognized as expense as follows:

Deferred
Outflow
(Inflows)
Year Ended June 30, of Resources
2025 $ (436,912)
2026 (419,782)
2027 (33,988)
2028 (325,119)
2029 (237,726)
Thereafter 220,311
Total $ (1,233,216)

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(95)
NOTE 13 COMMITMENTS AND CONTINGENCIES
A. Lawsuits
The City is a defendant in various lawsuits. Although the outcome of these lawsuits is not presently determinable, it is the opinion of the City's legal counsel that resolution of these matters will not have a material adverse effect on the financial condition of the City.

B. Federal and State Grant Programs
The City participates in Federal and State grant programs. These programs are subject to audit. No cost disallowance is expected as a result of any audits. Expenditures which may be disallowed, if any, by the granting agencies cannot be determined at this time.

The City expects such amounts, if any, to be immaterial.

C. Commitments
The following material construction commitments existed at June 30, 2024:

Expenditures
Contract to Date as of Remaining
Project Name Amount June 30, 2024 Commitments
Portofino Way Sewer Pump Station $ 7,526,868 $ 2,497,100 $ 5,029,768 Manhattan Beach Blvd Resurfacing Project 3,968,958 1,341,394 2,627,564 Seaside Lagoon Revitalization 3,112,534 564,877 2,547,657 Bicycle Transportation Plan 2,352,630 - 2,352,630
International Boardwalk Repair 1,249,100 - 1,249,100
Fire Pump Communication Equipment 1,143,254 - 1,143,254 Dominguez Park Playground 1,519,619 707,561 812,058
NOTE 14 POLLUTION REMEDIATION OBLIGATIONS
The Department of Toxic Substances Control (DTSC) filed a regulatory Notice of Violation against the City regarding the Redondo Beach Police Department's gun range concerning issues with contamination from lead bullet fragments. Cleanup, fines, assessments, and settlements incurred by the City for this DTSC action were approximately $282,000. This liability has been accrued in the General Fund, and the City does not anticipate any recoveries reducing the liability, nor any further liability from this DTSC investigation as the DTSC has closed the matter.

Neighboring property owners adjacent to the gun range also filed civil claims for bodily injury and property damage due to alleged lead exposure. This matter is currently in mediation and in preparation for arbitration. Defense costs are being covered by several of the City's historical insurance policies and the related insurance carriers defending under a reservation of rights.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(96)
NOTE 14 POLLUTION REMEDIATION OBLIGATIONS (CONTINUED)
Cleanup and settlements currently are estimated to be $150,000, using assumptions based on similar cleanup and settlements previously paid in the DTSC matter. Plaintiffs' demands are significantly higher. The pollution remediation obligation is an estimate and is subject to revision because of price increases or reductions, changes in technology, changes in evidence, or changes in applicable laws or regulations. Similarly, bodily injury claims are estimated based on current evidence (or lack thereof) presented by the various plaintiffs and are subject to revision if additional admissible evidence is presented during preparation for arbitration.

NOTE 15 SUCCESSOR AGENCY
Dissolution of California Redevelopment Agencies
On December 29, 2011, the California Supreme Court upheld Assembly Bill X1 26 (Bill) that provides for the dissolution of all redevelopment agencies in the State of California. Most cities in California had established a redevelopment agency that was included in the reporting entity of the City as a blended component unit (since the City Council, in many cases, also served as the governing board for those agencies).

The Bill provides that upon dissolution of a redevelopment agency, either the City or another unit of local government will agree to serve as the "successor agency" to hold the assets until they are distributed to other units of state and local government. If the City declines to accept the role of successor agency, other local agencies may elect to perform this role. If no local agency accepts the role of successor agency, the Governor is empowered by the Bill to establish a local "designated local authority" to perform this role. On January 10, 2012 the City Council met and created a Successor Agency in accordance with the Bill as part of the City's resolution number 12-01.

After enactment of the law, which occurred on June 28, 2011, redevelopment agencies in the State of California cannot enter into new projects, obligations or commitments. Subject to the control of a newly established oversight board, remaining assets can only be used to pay enforceable obligations in existence at the date of dissolution (including the completion of any unfinished projects that were subject to legally enforceable contractual commitments).

A. Long-Term Debt
In future fiscal years, successor agencies will only be allocated tax revenue in the amount that is necessary to pay the estimated annual installment payments on enforceable obligations of the former redevelopment agency until all enforceable obligations of the prior redevelopment agency have been paid in full.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(97)
NOTE 15 SUCCESSOR AGENCY (CONTINUED)
Dissolution of California Redevelopment Agencies (Continued) A. Long-Term Debt (Continued)
The Bill directs the State Controller of the State of California to review the propriety of any transfers of assets between redevelopment agencies and other public bodies that occurred after January 1, 2011. If the public body that received such transfers is not contractually committed to a third party for the expenditure or encumbrance of those assets, the State Controller is required to order the available assets to be transferred to the public body designated as the successor agency by the Bill.

In accordance with the timeline set forth in the Bill (as modified by the California Supreme Court on December 29, 2011) all redevelopment agencies in the State of California were dissolved and ceased to operate as a legal entity as of February 1, 2012.

Prior to that date, the final seven months of the activity of the redevelopment agency is reported in the governmental funds of the City. After the date of dissolution, activities of the dissolved redevelopment agency are reported in a fiduciary trust fund (private purpose trust fund) in the fiduciary statements of the City.

In accordance with the provisions of Assembly Bill X1 26 (Bill) and the California Supreme Court's decision to uphold the Bill, the obligations of the former redevelopment agency became vested with the funds established for the successor agency upon the date of dissolution, February 1, 2012. Former tax increment revenues pledged to fund the debts of the former redevelopment agency will be distributed to the Successor Agency subject to the reapportionment of such revenues as provided by the Bill.

The debt of the Successor Agency as of June 30, 2024 is as follows:

Amounts Due
Balance at Balance at Within One
June 30, 2023 Additions Deletions June 30, 2024 Year
Successor Agency:

County Deferral Loan - 1983
Tax Increment 4,683,632 $ - $ $ 867,944 $ 3,815,688 $ 430,832 County Deferral Loan - 1984
Tax Increment 5,602,499 - 509,162 5,093,337 714,443
City Loan - South Bay Center 2,715,000 - 595,000 2,120,000 645,000 Total $ 13,001,131 $ - $ 1,972,106 $ 11,029,025 $ 1,790,275

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(98)
NOTE 15 SUCCESSOR AGENCY (CONTINUED)
Dissolution of California Redevelopment Agencies (Continued) A. Long-Term Debt (Continued)
1983 Tax Increment Deferral – On November 15, 1983, the Agency and the County of Los Angeles (County) entered into an agreement for reimbursement of tax increment funds. It was recognized that the South Bay Center Project Area needed to utilize a substantial portion of the annual tax increment in the early years to finance its redevelopment activities. Therefore, the County taxing entities agreed to defer receipt of tax increment reimbursement from the Agency. This deferral is debt of the Agency to be repaid only from the Agency's share of future pledged tax increment. There is no fixed payment schedule to repay this loan and the loan is noninterest bearing. The balance outstanding at June 30, 2024, was $3,815,688.
1984 Tax Increment Deferral – On February 14, 1984, the Agency and the County entered into an agreement for reimbursement of tax increment funds. It was recognized that the Aviation High School Project Area needed to utilize a substantial portion of the annual tax increment in the early years to finance its redevelopment activities. Therefore, the County taxing entities agreed to defer receipt of tax increment reimbursement from the Agency. This deferral is debt of the Agency to be repaid only from the Agency's share of future pledged tax increment. There is no fixed payment schedule to repay this loan and the loan is noninterest bearing. The balance outstanding at June 30, 2024, was $5,093,337.

South Bay Center City Loan – On July 1, 1996, the Public Financing Authority advanced $8,660,000 to the former Redevelopment Agency for improvements within the South Bay Center Redevelopment Project Area. This advance was made through the Authority's purchase of the Agency's 1996 tax allocation bonds and bears interest at

8.95% per annum. As of June 30, 2024, the balance outstanding was $2,120,000.

B. Advances from City
During the 2014-2015 fiscal year, the Successor Agency Oversight Board adopted resolutions approving the repayment of loans from the Low and Moderate Income Housing fund of the former Redevelopment Agency for legally required payments to the Supplemental Educational Revenue Augmentation Fund (SERAF) for Fiscal Years 2009- 2010 and 2010-2011. As of June 30, 2024, the outstanding balance was $535,731.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(99)
NOTE 16 RISKS AND UNCERTAINTIES
A. Grants
Amounts received or receivable from grant agencies are subject to audit and adjustment by grantor agencies. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of expenditures that may be disallowed by the grantor cannot be determined at this time, although the City expects such amounts, if any, to be immaterial.

B. Successor Agency
Deductions (expenses) incurred by the Successor Agency for the year ended June 30, 2023 (and subsequent years in which the Successor Agency is in operation) are subject to review by various State agencies and the County in which the Successor Agency resides. If any expenses incurred by the Successor Agency are disallowed by the State agencies or County, the City, acting as the Successor Agency could be liable for the repayment of the disallowed costs from either its own funds or by the State withholding remittances normally paid to the City. The amount, if any, of expenses that may be disallowed by the State agencies or County cannot be determined at this time, although the Successor Agency expects such amounts, if any, to be immaterial.

NOTE 17 RESTATEMENTS
Net Position and Fund Balances as of July 1, 2023 were restated as follows:

Other
Governmental Business-Type General Intergovernmental Harbor Tidelands Harbor Uplands Wastewater Activities Activities Fund Grants Enterprise Fund Enterprise Fund Enterprise Fund Net Position/Fund Balance - Beginning of Year, as
Previously Reported, July 1, 2023 54,191,573 $ 82,449,722 $ 33,188,418 $ (6,053,354) $ 24,411,236 $ 23,056,218 $ 33,700,013 $ Increase(Decrease) in Net Position/Fund Balance for
Correction of an Error:

Removal of Capitalized Harbor Dredging Costs - (490,188) - - (490,188) - - Construction in Progress Reported In Incorrect Opinion Unit (575,200) 575,200 - - - 575,200 - Removal of Capitalized Street Infrastructure Preservation and Maintenance Costs (9,356,910) - - - - - -
Reconciliation of Grants Receivable 308,981 - 251,307 57,674 - - - Write-off of Uncollectible Developer Receivable (1,891,235) - (1,891,235) - - - - Accounting for Third-Party Management Activity - 993,867 - - 554,420 439,447 - Net Position/Fund Balance - Beginning of Year, as
As Restated, July 1, 2023 $ 42,677,209 $ 83,528,601 $ 31,548,490 $ (5,995,680) $ 24,475,468 $ 23,495,665 $ 34,275,213 A. Correction of an Error in Previously Issued Financial Statements The City determined that certain harbor dredging expenditures incurred as maintenance to restore navigation depth rather than improvement or enhancements were erroneously capitalized in the prior year. Therefore, the business-type activities and Harbor Tidelands Enterprise Fund’s capital assets were overstated by approximately $490,000 for the fiscal year ended June 30, 2023 and is presented as a correction of an error in the Statement of Activities and in the Harbor Tidelands Statement of Revenues, Expenses and Changes in Net Position. Had the error not occurred, the prior period’s change in net position for the business-type activities and the Harbor Tidelands Enterprise Fund would have been lower by the aforementioned amount.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(100)
NOTE 17 RESTATEMENT (CONTINUED)
A. Correction of an Error in Previously Issued Financial Statements The City identified a classification error in the prior year financial statement presentation of capital assets. $575,200 of capital assets were erroneously included in governmental activities. As a result, beginning net position of the Business-Type Activities and the Wastewater Enterprise Fund were understated and Governmental Activities was overstated. Had the error not occurred, the prior period’s change in net position would have been higher for the Business-Type Activities and the Wastewater Enterprise Fund and lower for the Governmental Activities by the aforementioned amount.

The City conducted a comprehensive review of its capital asset reporting under the modified approach for infrastructure assets, specifically its Streets Pavement System. As part of this review, the City identified several infrastructure projects previously capitalized as construction in progress (CIP) that were determined to be preservation and maintenance activities under the criteria of the modified approach. In accordance with GASB Statement No. 34, infrastructure assets reported under the modified approach are not depreciated, and expenditures that preserve or maintain these assets should be expensed in the period incurred rather than capitalized. As a result, a prior period adjustment was recorded to remove capitalized costs from beginning balances of Governmental Activities. The cumulative effect of this adjustment resulted in a decrease to beginning net position of Governmental Activities as of July 1, 2023 by approximately $9.4 million. The impact on the prior period change in net position of the Governmental Activities had the errors not occurred is not readily determinable as the affected CIP projects span over multiple prior years.

The City conducted a comprehensive review of the Other Intergovernmental Grants Fund activity during the fiscal year ended 2024. Based on the results, the City determined that the General Fund needed to be reimbursed a net of approximately $251,000 for prior years expenditures incurred on grants accounted for in the Other Intergovernmental Grants Fund; therefore, the beginning fund balance of the General Fund was increased and the beginning fund balance of the Other Intergovernmental Grants Fund was decreased by the aforementioned amount. Additionally, it was determined that previously recorded deferred revenue related to Supplemental Law Enforcement Services Funds (SLESF) funding from the State of California should have been recognized as revenue in prior years when they were received. As a result, beginning fund balance of the Other Intergovernmental Grants Fund was increased by approximately $309,000. The impact on the prior period change in fund balance of the General Fund and Other Intergovernmental Grants Fund had the errors not occurred is not readily determinable as the affected grant projects span over multiple prior years.

CITY OF REDONDO BEACH

NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2024
(101)
NOTE 17 RESTATEMENT (CONTINUED)
A. Correction of an Error in Previously Issued Financial Statements The City reviewed the financial activity associated with the Marine Avenue Hotel projects, including the Redondo Beach Public Financing Authority-funded reserve account held in connection with the projects developer’s financing arrangement. As part of this review, the City identified a receivable balance of approximately $1.9 million recorded in prior years as a developer receivable. Upon further evaluation, it was determined that the developer drawdowns from the reserve account are unlikely to be repaid, and no formal repayment obligation exists under the terms of the agreement, so the receivable should not have been recorded. Accordingly, the City eliminated the receivable and restated the beginning net position of the Governmental Activities and the beginning fund balance of the General Fund by the aforementioned amount. Had the error not occurred, the prior period’s change in net position of the Governmental Activities and change in fund balance of the General Fund would not have been affected as the receivable was initially created prior to the beginning of the prior year.

The City conducted a comprehensive review of its lease management activity. This review revealed that revenue and expenditures associated with managed properties were being reported on a net basis, rather than gross, which obscures the full scope of lease-related financial activity. Additionally, related balance sheet accounts such as cash deposits held by third-party, unamortized leasing commissions, and tenant deposit liabilities were either missing or inaccurately recorded. As a result, the City made restatements of $993,867, $554,420 and $439,447, respectively, to increase the beginning net position of the Business-type Activities, the Tidelands Enterprise Fund and the Uplands Enterprise Fund, respectively. The impact on the prior period changes in net position of the Business-type Activities, the Tidelands Enterprise Fund and the Uplands Enterprise Fund had the errors not occurred is not readily determinable as the issues span over multiple prior years.
(102)

REQUIRED SUPPLEMENTARY INFORMATION

CITY OF REDONDO BEACH

NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
YEAR ENDED JUNE 30, 2024
(103)
NOTE 1 BUDGETARY INFORMATION
Through the budget, the City Council sets the direction of the City, allocates its resources and establishes its priorities. The Annual Budget assures the efficient and effective uses of the City's economic resources, as well as establishing that the highest priority objectives are accomplished.

The Annual Budget serves from July 1 to June 30, and is a vehicle that openly communicates these priorities to the community, businesses, vendors, employees and other public agencies. Additionally, it establishes the foundation of effective financial planning by providing resource planning performance measures and controls that permit the evaluation and adjustment of the City's performance.

The City follows these procedures in establishing the budgetary data reflected in the basic financial statements:

1. The City Council approves each year's budget submitted by the City Manager prior to the beginning of the new fiscal year.

2. The City Council's policy is to adopt an annual line-item budget for the general, special revenue, debt service, and capital projects funds.

3. Public hearings are conducted prior to its adoption by the Council.

4. Supplemental appropriations, when required during the period, are also approved by the Council. Intradepartmental budget changes are approved by the City Manager.

5. Expenditures may not exceed appropriations at the departmental level, which is the legal level of control.

Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation, is employed as an extension of formal budgetary integration in the general, special revenue, debt service, and capital projects funds. Unexpended and unencumbered appropriations of these governmental funds automatically lapse at the end of the fiscal year.

Encumbrances outstanding at year-end are reported with restricted, committed, assigned, and/or unassigned fund balances. They do not constitute expenditures or estimated liabilities. Budgets were legally adopted for all governmental funds with the exception of the Parking Authority Debt Service Fund, the Pier Parking Structure Rehabilitation Capital Projects Fund, and Major Facilities Reconstruction Capital Projects Fund.

The following are the budget comparison schedules for General Fund, Other Intergovernmental Grants Special Revenue Fund and Low-Mod Income Housing Special Revenue Fund.

CITY OF REDONDO BEACH

NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
YEAR ENDED JUNE 30, 2024
(104)
NOTE 1 BUDGETARY INFORMATION (CONTINUED)
For the fiscal year ended June 30, 2024, the following departments have excess expenditures over appropriations:

Excess on
Expenditure
Over
Expenditures Appropriations Appropriations
General Fund:

Debt Service 607,373 $ 31,082 $ 576,291 $
Other Intergovernmental Grants:

Debt Service 67,743 - 67,743
Low-Mod Income Housing:

Cultural and Leisure Services 279,000 - 279,000
Gas Tax:

Public Works 1,462,195 1,360,224 101,971
Narcotics Seizure/Forfeiture:

Debt Service 25,353 - 25,353
Street Landscaping and Lighting District
Public Works 2,548,429 2,527,908 20,521
Housing Authority:

Housing and Community
Development 9,015,825 7,702,744 1,313,081
Capital Improvement Projects
Public Works 149,654 145,556 4,098
Open Space Acquisition
General Government 3,937 - 3,937
Public Financing Authority
Housing and Community
Development 295,562 273,975 21,587

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

GENERAL FUND
YEAR ENDED JUNE 30, 2024
(105)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year, As Restated 31,548,490 $ 31,548,490 $ 31,548,490 $ - $ Resources (Inflows):

Taxes 76,464,074 77,079,429 80,645,193 3,565,764
Interdepartmental 8,747,688 13,809,642 12,108 (13,797,534) Licenses and Permits 2,372,809 2,412,453 2,386,229 (26,224) Intergovernmental 160,000 160,000 186,830 26,830
Charges for Services 9,362,827 8,705,866 10,078,596 1,372,730 Use of Money and Property 3,155,630 3,243,743 5,289,634 2,045,891 Fines and Forfeitures 1,446,200 1,312,392 1,230,559 (81,833) Miscellaneous 3,141,822 3,033,578 3,189,908 156,330
Transfers In 1,750,927 1,770,345 1,653,179 (117,166)
Subscription Financing - - 619,252 619,252
Amounts Available for Appropriations 138,150,467 143,075,938 136,839,978 (6,235,960) Charges to Appropriation (Outflow):

General Government:

Mayor and City Council 792,845 853,179 729,054 124,125
City Clerk 1,401,653 1,507,462 858,339 649,123
City Treasurer 359,136 413,782 165,561 248,221
City Attorney 4,189,286 4,388,105 3,962,674 425,431
City Manager 1,083,087 1,225,122 407,392 817,730
Human Resources 4,269,843 3,616,791 243,570 3,373,221
Financial Services 2,992,073 3,108,313 2,541,085 567,228 Public Safety:

Police 39,411,964 42,895,899 37,988,714 4,907,185
Fire 17,623,498 19,442,906 17,226,340 2,216,566
Housing and Community Development:

Community Development 3,527,120 3,713,844 2,992,652 721,192 Waterfront and Economic Development 321,176 295,089 279,379 15,710 Cultural and Leisure Services:

Community Services 7,377,436 7,831,311 6,691,918 1,139,393 Library 4,526,703 4,493,998 4,388,799 105,199
Public Works 8,587,707 8,489,532 6,619,942 1,869,590
Capital Outlay 1,147,000 4,465,330 896,456 3,568,874
Debt Service:

Principal Retirement 6,458,866 17,863 593,041 (575,178) Interest and Fiscal Charges 4,773,334 13,219 14,332 (1,113) Transfers Out - 14,857,972 13,973,838 884,134
Total Charges to Appropriations 108,842,727 121,629,717 100,573,086 21,056,631 Budgetary Fund Balance - End of Year $ 29,307,740 $ 21,446,221 $ 36,266,892 $ 14,820,671

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

OTHER INTERGOVERNMENTAL GRANTS
YEAR ENDED JUNE 30, 2024
(106)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year, As Restated (5,995,680) $ $ (5,995,680) $ (5,995,680) $ - Resources (Inflows):

Intergovernmental 12,823,248 15,953,758 10,354,606 (5,599,152) Amounts Available for Appropriations 6,827,568 9,958,078 4,358,926 (5,599,152) Charges to Appropriation (Outflow):

General Government 40,588 1,547,701 822,491 725,210
Public Safety 278,380 913,650 323,778 589,872
Public Works 78,410 358,346 330,126 28,220
Capital Outlay 11,506,458 39,319,695 9,177,283 30,142,412 Debt Service:

Principal Retirement - - 58,989 (58,989)
Interest and Fiscal Charges - - 8,754 (8,754)
Total Charges to Appropriations 11,903,836 42,139,392 10,721,421 31,417,971 Budgetary Fund Balance - End of Year $ (5,076,268) $ (32,181,314) $ (6,362,495) $ (37,017,123)

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

LOW-MOD INCOME HOUSING
YEAR ENDED JUNE 30, 2024
(107)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year $ 3,497,714 $ 3,497,714 $ 3,497,714 $ - Resources (Inflows):

Use of Money and Property - - 54,897 54,897
Charges to Appropriation (Outflow):

Housing and Community Development 150,000 261,826 40,159 221,667 Cultural and Leisure Services - - 279,000 (279,000)
Total Charges to Appropriations 150,000 261,826 319,159 (57,333) Budgetary Fund Balance - End of Year $ 3,347,714 $ 3,235,888 $ 3,233,452 $ 112,230

CITY OF REDONDO BEACH

SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS MISCELLANEOUS PLAN – AGENT MULTIPLE-EMPLOYER PLAN
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS
(108)
Fiscal Year 2024 2023 2022 2021 2020
Total Pension Liability:

Service Cost $ 3,441,839 $ 3,349,243 $ 3,267,559 $ 3,426,450 $ 3,397,192 Interest 16,219,473 15,836,385 15,785,975 15,398,568 14,990,021 Difference Between Expected and Actual Experience (707,830) (3,768,503) (1,273,036) (1,088,566) 4,185,447 Changes of Benefit Terms 339,225 - - - -
Changes of Assumptions - 6,057,682 - - -
Benefit Payments, Including Refunds of
Employee Contributions (13,567,007) (13,055,631) (12,251,572) (11,856,917) (11,341,781) Net Change in Total Pension Liability 5,725,700 8,419,176 5,528,926 5,879,535 11,230,879 Total Pension Liability - Beginning 240,496,017 232,076,841 226,547,915 220,668,380 209,437,501 Total Pension Liability - Ending (a) 246,221,717 240,496,017 232,076,841 226,547,915 220,668,380 Plan Fiduciary Net Position:

Contributions - Employer 2,014,388 70,759,414 6,313,617 5,895,816 5,141,337 Contributions - Employee 1,571,290 1,393,334 1,370,930 1,487,258 1,461,551 Plan to Plan Resource Movement (14,324) - - - -
Net Investment Income 13,829,787 (18,874,022) 36,083,015 7,811,724 9,905,031 Benefit Payments, Including Refunds of
Employee Contributions (13,567,007) (13,055,631) (12,251,572) (11,856,917) (11,341,781) Administrative Expense (170,814) (119,720) (160,659) (222,338) (108,939) Other Miscellaneous Income (Expense) - - - - 355
Net Change in Fiduciary Net Position 3,663,320 40,103,375 31,355,331 3,115,543 5,057,554 Plan Fiduciary Net Position - Beginning 232,288,394 192,185,019 160,829,688 157,714,145 152,656,591 Plan Fiduciary Net Position - Ending (b) 235,951,714 232,288,394 192,185,019 160,829,688 157,714,145 Plan Net Pension Liability (Assets) -
Ending (a) - (b) $ 10,270,003 $ 8,207,623 $ 39,891,822 $ 65,718,227 $ 62,954,235 Plan Fiduciary Net Position as a Percentage of the
Total Pension Liability 95.83% 96.59% 82.81% 70.99% 71.47% Covered Payroll $ 20,726,906 $ 18,792,136 $ 19,503,029 $ 20,914,206 $ 21,343,149 Plan Net Pension Liability (Asset) as a Percentage
of Covered Payroll 49.55% 43.68% 204.54% 314.23% 294.96% Notes to Schedule:

Benefit Changes:

The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary.

In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. The impact, if any, is included in the changes of benefit terms.

Changes of Assumptions:

There were no assumption changes for measurement date 2023. Effective with the June 30, 2021 valuation date (2022 measurement date), the accounting discount rate was reduced from 7.15% to 6.90%. In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. Projected returns for all asset classes are estimated, combined with risk estimates, and are used to project compound (geometric) returns over the long term. The discount rate used to discount liabilities was informed by the long-term projected portfolio return. In addition, demographic assumptions and the inflation rate assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. The accounting discount rate was 7.15% for measurement dates 2017 through 2021, 7.65% for measurement dates 2015 through 2016, and 7.50% for measurement date 2014.

CITY OF REDONDO BEACH

SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS (CONTINUED) MISCELLANEOUS PLAN – AGENT MULTIPLE-EMPLOYER PLAN
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS
(109)
Fiscal Year
Total Pension Liability:

Service Cost
Interest
Difference Between Expected and Actual Experience
Changes of Benefit Terms
Changes of Assumptions
Benefit Payments, Including Refunds of
Employee Contributions
Net Change in Total Pension Liability
Total Pension Liability - Beginning
Total Pension Liability - Ending (a)
Plan Fiduciary Net Position:

Contributions - Employer
Contributions - Employee
Plan to Plan Resource Movement
Net Investment Income
Benefit Payments, Including Refunds of
Employee Contributions
Administrative Expense
Other Miscellaneous Income (Expense)
Net Change in Fiduciary Net Position
Plan Fiduciary Net Position - Beginning
Plan Fiduciary Net Position - Ending (b)
Plan Net Pension Liability (Assets) -
Ending (a) - (b)
Plan Fiduciary Net Position as a Percentage of the
Total Pension Liability
Covered Payroll
Plan Net Pension Liability (Asset) as a Percentage
of Covered Payroll
2019 2018 2017 2016 2015
$ 3,370,814 $ 3,296,064 $ 2,658,781 $ 2,537,587 $ 2,874,216 14,225,068 13,844,417 13,391,115 12,947,817 12,419,054
(291,950) 808,043 (717,631) (58,913) -
- - - - -
(1,050,285) 11,132,579 - (3,072,251) -
(10,849,928) (10,173,782) (9,282,593) (8,784,656) (7,872,679) 5,403,719 18,907,321 6,049,672 3,569,584 7,420,591
204,033,782 185,126,461 179,076,789 175,507,205 168,086,614 209,437,501 204,033,782 185,126,461 179,076,789 175,507,205 4,408,505 4,018,170 3,517,596 2,783,258 2,678,754
1,456,828 1,404,270 1,361,650 1,282,878 1,301,991
(355) - (2,463) 2,745 -
12,226,183 14,967,632 777,656 3,161,165 21,314,935
(10,849,928) (10,173,782) (9,282,593) (8,784,656) (7,872,679) (227,625) (200,883) (85,184) (158,175) -
(432,265) - - - -
6,581,343 10,015,407 (3,713,338) (1,712,785) 17,423,001 146,075,248 136,059,841 139,773,179 141,485,964 124,062,963 152,656,591 146,075,248 136,059,841 139,773,179 141,485,964 $ 56,780,910 $ 57,958,534 $ 49,066,620 $ 39,303,610 $ 34,021,241

72.89% 71.59% 73.50% 78.05% 80.62%
$ 20,156,748 $ 19,613,902 $ 19,222,807 $ 17,124,613 $ 17,538,911 281.70% 295.50% 255.25% 229.52% 193.98%
Notes to Schedule:

Benefit Changes:

The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary.

In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. The impact, if any, is included in the changes of benefit terms.

Changes of Assumptions:

There were no assumption changes for measurement date 2023. Effective with the June 30, 2021 valuation date (2022 measurement date), the accounting discount rate was reduced from 7.15% to 6.90%. In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. Projected returns for all asset classes are estimated, combined with risk estimates, and are used to project compound (geometric) returns over the long term. The discount rate used to discount liabilities was informed by the long-term projected portfolio return. In addition, demographic assumptions and the inflation rate assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. The accounting discount rate was 7.15% for measurement dates 2017 through 2021, 7.65% for measurement dates 2015 through 2016, and 7.50% for measurement date 2014.

CITY OF REDONDO BEACH

SCHEDULE OF PLAN CONTRIBUTIONS
MISCELLANEOUS PLAN – AGENT MULTIPLE-EMPLOYER PLAN
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS
(110)
Fiscal Year 2024 2023 2022 2021 2020
Actuarially Determined Contribution $ 2,347,150 $ 1,995,492 $ 6,865,116 $ 6,314,575 $ 5,895,512 Contribution in Relation to the Actuarially
Determined Contributions (2,347,150) (1,995,492) (70,759,414) (6,314,575) (5,895,512) Contribution Deficiency (Excess) $ - $ - $ (63,894,298) $ - $ - Covered Payroll $ 21,519,482 $ 20,726,906 $ 18,792,136 $ 19,503,029 $ 20,914,206 Contributions as a Percentage
of Covered Payroll 10.91% 9.63% 376.54% 32.38% 28.19%
Notes to Schedule - 2024:

Valuation Date: June 30, 2021
Methods and Assumptions Used to Determine Contribution Rates:

Actuarial Cost Method Entry Age Normal Cost Method
Amortization Method Level percentage of payroll, closed Assets Valuation Method Fair Value of Assets
Discount Rate 6.90% (net of investments and administrative expenses, includes inflation)
Projected Salary Increases Varies by Entry Age and Service Inflation 2.50%
Payroll Growth 2.75%

CITY OF REDONDO BEACH

SCHEDULE OF PLAN CONTRIBUTIONS (CONTINUED)
MISCELLANEOUS PLAN – AGENT MULTIPLE-EMPLOYER PLAN
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS
(111)
Fiscal Year
Actuarially Determined Contribution
Contribution in Relation to the Actuarially
Determined Contributions
Contribution Deficiency (Excess)
Covered Payroll
Contributions as a Percentage
of Covered Payroll
2019 2018 2017 2016 2015
$ 5,140,690 $ 4,399,141 $ 4,018,056 $ 3,517,053 $ 2,783,258 (5,140,690) (4,399,141) (4,018,056) (3,517,053) (2,783,258) $ - $ - $ - $ - $ -
$ 21,343,149 $ 20,156,748 $ 19,613,902 $ 19,222,807 $ 17,124,613

24.09% 21.82% 20.49% 18.30% 16.25%

CITY OF REDONDO BEACH

SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS SAFETY PLAN – AGENT MULTIPLE-EMPLOYER PLAN
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS
(112)
Fiscal Year 2024 2023 2022 2021 2020
Total Pension Liability:

Service Cost $ 6,407,011 $ 6,249,142 $ 5,458,828 $ 5,883,763 $ 5,753,947 Interest 28,719,706 27,763,771 27,413,478 26,796,647 25,990,861 Difference Between Expected and Actual Experience 4,346,921 (1,796,249) (1,214,915) 968,299 9,616,039 Changes of Benefit Terms 168,350 - - - -
Changes of Assumptions 11,089,291 - - - -
Benefit Payments, Including Refunds of
Employee Contributions (25,555,133) (23,950,891) (23,233,659) (22,018,409) (20,998,140) Net Change in Total Pension Liability 14,086,855 19,355,064 8,423,732 11,630,300 20,362,707 Total Pension Liability - Beginning 421,286,399 401,931,335 393,507,603 381,877,303 361,514,596 Total Pension Liability - Ending (a) 435,373,254 421,286,399 401,931,335 393,507,603 381,877,303 Plan Fiduciary Net Position:

Contributions - Employer 4,682,522 155,865,005 12,912,307 11,860,288 10,499,397 Contributions - Employee 2,209,903 1,976,975 1,789,951 1,816,584 1,753,382 Plan to Plan Resource Movement 14,324 - - - -
Net Investment Income 23,582,718 (32,498,996) 56,472,719 12,249,408 15,582,752 Benefit Payments, Including Refunds of
Employee Contributions (25,555,133) (23,950,891) (23,233,659) (22,018,409) (20,998,140) Administrative Expense (293,183) (185,318) (249,533) (347,134) (170,963) Other Miscellaneous Income (Expense) - - - - 559
Net Change in Fiduciary Net Position 4,641,151 101,206,775 47,691,785 3,560,737 6,666,987 Plan Fiduciary Net Position - Beginning 398,696,709 297,489,934 249,798,149 246,237,412 239,570,425 Plan Fiduciary Net Position - Ending (b) 403,337,860 398,696,709 297,489,934 249,798,149 246,237,412 Plan Net Pension Liability (Assets) -
Ending (a) - (b) $ 32,035,394 $ 22,589,690 $ 104,441,401 $ 143,709,454 $ 135,639,891 Plan Fiduciary Net Position as a Percentage of the
Total Pension Liability 92.64% 94.64% 74.02% 63.48% 64.48% Covered Payroll $ 16,696,199 $ 15,212,797 $ 18,079,966 $ 18,508,977 $ 18,388,027 Plan Net Pension Liability (Asset) as a Percentage
Notes to Schedule:

Benefit Changes:

The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary.

In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. The impact, if any, is included in the changes of benefit terms.

Changes of Assumptions:

There were no assumption changes for measurement date 2023. Effective with the June 30, 2021 valuation date (2022 measurement date), the accounting discount rate was reduced from 7.15% to 6.90%. In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. Projected returns for all asset classes are estimated, combined with risk estimates, and are used to project compound (geometric) returns over the long term. The discount rate used to discount liabilities was informed by the long-term projected portfolio return. In addition, demographic assumptions and the inflation rate assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. The accounting discount rate was 7.15% for measurement dates 2017 through 2021, 7.65% for measurement dates 2015 through 2016, and 7.50% for measurement date 2014.

CITY OF REDONDO BEACH

SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS (CONTINUED) SAFETY PLAN – AGENT MULTIPLE-EMPLOYER PLAN
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS
(113)
Fiscal Year
Total Pension Liability:

Service Cost
Interest
Difference Between Expected and Actual Experience
Changes of Benefit Terms
Changes of Assumptions
Benefit Payments, Including Refunds of
Employee Contributions
Net Change in Total Pension Liability
Total Pension Liability - Beginning
Total Pension Liability - Ending (a)
Plan Fiduciary Net Position:

Contributions - Employer
Contributions - Employee
Plan to Plan Resource Movement
Net Investment Income
Benefit Payments, Including Refunds of
Employee Contributions
Administrative Expense
Other Miscellaneous Income (Expense)
Net Change in Fiduciary Net Position
Plan Fiduciary Net Position - Beginning
Plan Fiduciary Net Position - Ending (b)
Plan Net Pension Liability (Assets) -
Ending (a) - (b)
Plan Fiduciary Net Position as a Percentage of the
Total Pension Liability
Covered Payroll
Plan Net Pension Liability (Asset) as a Percentage
of Covered Payroll
2019 2018 2017 2016 2015
$ 5,468,356 $ 5,065,945 $ 4,352,710 $ 4,369,526 $ 4,500,890 24,611,566 23,940,703 23,438,824 22,764,197 21,930,219
817,752 (493,558) (769,075) 854,509 -
- - - - -
(1,235,646) 19,087,843 - (5,276,514) -
(20,097,705) (18,716,805) (17,877,775) (17,197,393) (16,352,903) 9,564,323 28,884,128 9,144,684 5,514,325 10,078,206
351,950,273 323,066,145 313,921,461 308,407,136 298,328,930 361,514,596 351,950,273 323,066,145 313,921,461 308,407,136 9,310,708 8,431,955 7,448,334 6,493,477 5,790,913
1,887,216 1,592,490 1,457,236 1,397,695 2,003,854
(559) - 2,463 (2,745) -
19,399,983 23,744,382 1,150,020 5,030,896 34,672,500
(20,097,705) (18,716,805) (17,877,775) (17,197,393) (16,352,903) (358,575) (317,989) (136,109) (251,346) -
(680,940) - - - -
9,460,128 14,734,033 (7,955,831) (4,529,416) 26,114,364 230,110,297 215,376,264 223,332,095 227,861,511 201,747,147 239,570,425 230,110,297 215,376,264 223,332,095 227,861,511 $ 121,944,171 $ 121,839,976 $ 107,689,881 $ 90,589,366 $ 80,545,625

66.27% 65.38% 66.67% 71.14% 73.88%
$ 17,552,942 $ 16,424,748 $ 15,770,385 $ 15,122,058 $ 14,418,451 694.72% 741.81% 682.86% 599.05% 558.63%
Notes to Schedule:

Benefit Changes:

The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary.

In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. The impact, if any, is included in the changes of benefit terms.

Changes of Assumptions:

There were no assumption changes for measurement date 2023. Effective with the June 30, 2021 valuation date (2022 measurement date), the accounting discount rate was reduced from 7.15% to 6.90%. In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. Projected returns for all asset classes are estimated, combined with risk estimates, and are used to project compound (geometric) returns over the long term. The discount rate used to discount liabilities was informed by the long-term projected portfolio return. In addition, demographic assumptions and the inflation rate assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. The accounting discount rate was 7.15% for measurement dates 2017 through 2021, 7.65% for measurement dates 2015 through 2016, and 7.50% for measurement date 2014.

CITY OF REDONDO BEACH

SCHEDULE OF PLAN CONTRIBUTIONS
SAFETY PLAN – AGENT MULTIPLE-EMPLOYER PLAN
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS
(114)
Fiscal Year 2024 2023 2022 2021 2020
Actuarially Determined Contribution $ 4,979,714 $ 4,682,522 $ 14,283,371 $ 12,915,506 $ 11,860,372 Contribution in Relation to the Actuarially
Determined Contributions (4,979,714) (4,682,522) (155,865,005) (12,915,506) (11,860,372) Contribution Deficiency (Excess) $ - $ - $ (141,581,634) $ - $ - Covered Payroll $ 18,160,046 $ 16,696,199 $ 15,212,797 $ 18,079,966 $ 18,508,977 Contributions as a Percentage
of Covered Payroll 27.42% 28.05% 1024.57% 71.44% 64.08% Notes to Schedule- 2024:

Valuation Date: June 30, 2021
Methods and Assumptions Used to Determine Contribution Rates:

Actuarial Cost Method Entry Age Normal Cost Method
Amortization Method Level percentage of payroll, closed Assets Valuation Method Fair Value of Assets
Discount Rate 6.90% (net of investments and administrative expenses) Projected Salary Increases Varies by Entry Age and Service Inflation 2.50%
Payroll Growth 2.75%

CITY OF REDONDO BEACH

SCHEDULE OF PLAN CONTRIBUTIONS (CONTINUED)
SAFETY PLAN – AGENT MULTIPLE-EMPLOYER PLAN
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS
(115)
Fiscal Year
Actuarially Determined Contribution
Contribution in Relation to the Actuarially
Determined Contributions
Contribution Deficiency (Excess)
Covered Payroll
Contributions as a Percentage
of Covered Payroll
2019 2018 2017 2016 2015
$ 9,310,585 10,498,710 $ 8,431,955 $ 7,448,335 $ 6,493,477 $ (10,498,710) (9,310,585) (8,431,955) (7,448,335) (6,493,477) $ - $ - $ - $ - $ -
$ 18,388,027 $ 17,552,942 $ 16,424,748 $ 15,770,385 $ 15,122,058

57.10% 53.04% 51.34% 47.23% 42.94%

CITY OF REDONDO BEACH

SCHEDULE OF CHANGES IN NET OPEB LIABILITY AND RELATED RATIOS AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS (1)
(116)
Fiscal Year 2024 2023 2022 2021
Total OPEB Liability:

Service Cost $ 752,978 $ 732,825 $ 869,592 $ 854,481
Interest on the Total OPEB Liability 1,382,435 1,351,025 1,620,655 1,592,234 Difference Between Expected and Actual
Experience 545,675 - (3,732,173) -
Changes in Assumptions 575,958 - 700,641 (359,831)
Changes in Benefit Terms - - -
Benefit Payments (1,513,984) (1,688,875) (1,741,685) (1,620,198) Net Change in Total OPEB Liability 1,743,062 394,975 (2,282,970) 466,686 Total OPEB Liability - Beginning 22,122,970 21,727,995 24,010,965 23,544,279 Total OPEB Liability - Ending (a) 23,866,032 22,122,970 21,727,995 24,010,965 Plan Fiduciary Net Position:

Contributions - Employer 1,822,393 2,024,400 1,975,728 2,214,831 Net Investment Income 765,828 (1,612,311) 2,465,620 300,557 Benefit Payments (1,513,984) (1,688,875) (1,741,685) (1,620,198) Administrative Expense (9,436) (7,783) (8,390) (9,132)
Net Change in Plan Fiduciary Net Position 1,064,801 (1,284,569) 2,691,273 886,058 Plan Fiduciary Net Position - Beginning 9,133,983 10,418,552 7,727,279 6,841,221 Plan Fiduciary Net Position - Ending (b) 10,198,784 9,133,983 10,418,552 7,727,279 Plan OPEB Liability (Assets) - Ending (a) - (b) $ 13,667,248 $ 12,988,987 $ 11,309,443 $ 16,283,686 Plan Fiduciary Net Position as a Percentage of the 42.73% 41.29% 47.95% 32.18% Total OPEB Liability
Covered Payroll $ 40,375,037 $ 37,783,818 $ 37,142,464 $ 38,202,693 Plan OPEB Liability (Asset) as a Percentage
of Covered Payroll 33.85% 34.38% 30.45% 42.62%
(1) Historical information is required only for the measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation. Future years’ information will be displayed up to ten years as information becomes available.

Notes to Schedule: None
Changes of Assumptions:

Updated medical trend assumptions were made for measurement date June 30, 2023. The discount rate was updated based on newer capital market assumptions as of measurement date June 30, 2022. ACA excise tax was removed as of measurement date June 30, 2020. The discount rate was changed from 6.75 percent to 6.25 percent for the measurement period ended June 30, 2022.

CITY OF REDONDO BEACH

SCHEDULE OF CHANGES IN NET OPEB LIABILITY AND RELATED RATIOS (CONTINUED) AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS (1)
(117)
Fiscal Year
Total OPEB Liability:

Service Cost
Interest on the Total OPEB Liability
Difference Between Expected and Actual
Experience
Changes in Assumptions
Changes in Benefit Terms
Benefit Payments
Net Change in Total OPEB Liability
Total OPEB Liability - Beginning
Total OPEB Liability - Ending (a)
Plan Fiduciary Net Position:

Contributions - Employer
Net Investment Income
Benefit Payments
Administrative Expense
Net Change in Plan Fiduciary Net Position
Plan Fiduciary Net Position - Beginning
Plan Fiduciary Net Position - Ending (b)
Plan OPEB Liability (Assets) - Ending (a) - (b)
Plan Fiduciary Net Position as a Percentage of the
Total OPEB Liability
Covered Payroll
Plan OPEB Liability (Asset) as a Percentage
of Covered Payroll
2020 2019 2018
$ 911,766 $ 885,210 $ 560,000
1,635,748 1,581,920 1,521,000
(147,110) - (3,502,000)
(1,415,841) - 2,900,000
- - 2,593,000
(1,523,667) (1,868,747) (2,002,000)
(539,104) 598,383 2,070,000
24,083,383 23,485,000 21,415,000
23,544,279 24,083,383 23,485,000
2,217,998 2,191,008 1,428,000
497,289 469,710 632,000
(1,523,667) (1,868,747) (2,002,000)
(5,691) (9,679) (3,000)
1,185,929 782,292 55,000
5,655,292 4,873,000 4,818,000
6,841,221 5,655,292 4,873,000
$ 16,703,058 $ 18,428,091 $ 18,612,000

29.06% 23.48% 20.75%
$ 38,823,317 $ 36,708,000 $ 35,816,000

43.02% 50.20% 51.97%
(1) Historical information is required only for the measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation. Future years’ information will be displayed up to ten years as information becomes available.

Notes to Schedule: None
Changes of Assumptions:

Updated medical trend assumptions were made for measurement date June 30, 2023. The discount rate was updated based on newer capital market assumptions as of measurement date June 30, 2022. ACA excise tax was removed as of measurement date June 30, 2020. The discount rate was changed from 6.75 percent to 6.25 percent for the measurement period ended June 30, 2022.

CITY OF REDONDO BEACH

SCHEDULE OF CONTRIBUTIONS
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS (1)
(118)
Fiscal Year 2024 2023 2022 2021
Actuarially Determined Contribution $ 1,970,280 $ 1,822,393 $ 2,024,144 $ 1,975,728 Contribution in Relation to the Actuarially
Determined Contributions (1,970,280) (1,822,393) (2,024,144) (1,975,728) Contribution Deficiency (Excess) $ - $ - $ - $ -
Covered Payroll $ 43,856,027 $ 40,375,037 $ 37,783,818 $ 37,142,464 Contributions as a Percentage of Covered Payroll 4.49% 4.51% 5.36% 5.32% (1) Historical information is required only for the measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation. Future years’ information will be displayed up to ten years as information becomes available.

Methods and Assumptions Used to Determine 2024 Contribution Rates:

Valuation Date June 30, 2021
Actuarial Cost Method Entry Age Normal
Amortization Valuation Method Level percent of payroll
Amortization Valuation Period 15-year average remaining fixed period for 2023/24 Assets Valuation Method Investment gains and losses spread over 5-year rolling period
Discount Rate 6.25%
Inflation 2.50%
Mortality CalPERS 2000-2019 Experience Study
Mortality Improvement Mortality projected fully generational with Scale MP-2021

CITY OF REDONDO BEACH

SCHEDULE OF CONTRIBUTIONS (CONTINUED)
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS (1)
(119)
Fiscal Year
Actuarially Determined Contribution
Contribution in Relation to the Actuarially
Determined Contributions
Contribution Deficiency (Excess)
Covered Payroll
Contributions as a Percentage of Covered Payroll
2020 2019 2018
$ 2,214,831 $ 2,217,998 $ 1,802,000
(2,214,831) (2,217,998) (705,000)
$ - $ - $ 1,097,000
$ 32,202,693 $ 38,823,317 $ 36,708,000

6.88% 5.71% 1.92%
(1) Historical information is required only for the measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation. Future years’ information will be displayed up to ten years as information becomes available.

CITY OF REDONDO BEACH

MODIFIED APPROACH FOR CITY STREETS INFRASTRUCTURE CAPITAL ASSETS YEAR ENDED JUNE 30, 2024
(120)
In accordance with GASB Statement No. 34, the City is required to account for and report infrastructure capital assets. GASB Statement No. 34 defines infrastructure assets as "long-lived capital assets that are stationary in nature and normally can be preserved for a significantly greater number of years than most capital assets..." Major infrastructure systems include the street system, storm water system, sewer system, and traffic control system. Each major infrastructure system can be divided into subsystems. For example, the street system can be divided into concrete and asphalt pavements, concrete curb and gutters, sidewalks, medians, etc. Subsystem detail is not presented in these basic financial statements; however, the City maintains detailed information on these subsystems.

The City has elected to use the "Modified Approach" as defined by GASB Statement No. 34 for infrastructure reporting for its Streets Pavement System. Under GASB Statement No. 34, eligible infrastructure capital assets are not required to be depreciated under the following requirements:
 The City manages the eligible infrastructure capital assets using an asset management system with characteristics of (1) an up-to-date inventory; (2) condition assessments which summarize results using a measurement scale; and (3) estimated annual amounts budgeted to maintain and preserve an established condition assessment level.
 The City documents that the eligible infrastructure capital assets are being preserved approximately at or above the established and disclosed condition assessment level.

The City commissioned a physical assessment of the street conditions as of June 30, 2023. The study assisted the City by providing inspection data used to evaluate pavement condition. This helped to establish a City-defined target level of pavement performance, while optimizing the expenditure of limited fiscal resources. The entire pavement network within the City is composed of approximately 152 centerline miles of paved surfaces. The City's street system can be grouped by function class as follows: 43 centerline miles of arterial, 13 centerline miles of collector, and 96 centerline miles of local.

In August 2023, a physical assessment of all pavement segments was conducted to assess the existing surface condition of each of the individual pavement segments based on the ASTM D6433 standards for Pavement Condition Index (PCI). The PCI method only looks at distresses in the pavement since all of the City streets are structurally adequate and have speed limits less than 45 mph. Evaluating the pavement based on PCI is a widely used standard in the United States, internationally, and commonly used by adjacent cities. This change allows the City to easily compare street conditions with comparable adjacent cities.

Upon completion of the study, the PCI was calculated for each segment in the City's pavement network to reflect the overall pavement condition. Ratings range from 0 to 100. A newly constructed street will have a PCI of 100, while a failed street will have a PCI of 25 or less. The pavement condition is primarily affected by the climate, traffic loads and volumes, construction materials and age. During the year, the comprehensive survey is updated to reflect the pavement's current condition.

CITY OF REDONDO BEACH

MODIFIED APPROACH FOR CITY STREETS INFRASTRUCTURE CAPITAL ASSETS YEAR ENDED JUNE 30, 2024
(121)
The following conditions were defined:

Condition Rating
Very Good 70-100
Good 50-69
Poor 25-49
Very Poor 0-24
In line with the Capital Improvement Program and as presented to City Council on January 16, 2018, City policy is to achieve a citywide average rating of 75 PCI, by fiscal year 2027/2028. This rating allows minor cracking and raveling of the pavement along with minor roughness that could be noticeable to drivers traveling at posted speeds.

The condition assessments for the most recent years since implementation are as follows:

Year PQI Rate Condition % of Streets
2021 70 PCI Very Good
Good
Poor
Very Poor
52%
34%
13%
1%
2022 69 PCI Very Good
Good
Poor
Very Poor
49%
34%
16%
1%
2023 68 PCI Very Good
Good
Poor
Very Poor
49%
35%
16%
0%
2024 67 PCI Very Good
Good
Poor
Very Poor
47%
36%
17%
0%
The City expended $6,950,340 on street improvement projects for the fiscal year ended June 30, 2024.

These capital improvements expenditures enhanced the condition of many streets and delayed deterioration on others. The estimated expenditures required to maintain and improve the overall condition of the streets from July 1, 2024 through June 30, 2025 is a minimum of $5,780,000.

CITY OF REDONDO BEACH

MODIFIED APPROACH FOR CITY STREETS INFRASTRUCTURE CAPITAL ASSETS YEAR ENDED JUNE 30, 2024
(122)
A schedule of budget versus actual for the most recent years since implementation, which preserved City streets at the current 67 PCI rating, is presented in the following:

Funded by
Capital
Improvement Funded by Total
Fiscal Year Final Budget Project Fund Other Funds Expenditures 2015-2016 18,316,725 $ 349,942 $ 2,225,322 $ 2,575,264 $ 2016-2017 18,181,254 426,308 2,176,521 2,602,829
2017-2018 25,410,860 2,277,323 3,029,105 5,306,428
2018-2019 28,101,756 858,836 1,567,341 2,426,177
2019-2020 25,722,992 983,290 5,101,794 6,085,084
2020-2021 25,883,121 1,303,631 3,707,000 5,010,631
2021-2022 35,923,606 1,329,143 2,556,402 3,885,545
2022-2023 40,322,463 2,107,750 12,428,564 14,536,314
2023-2024 30,600,262 1,013,516 5,936,824 6,950,340

CITY OF REDONDO BEACH

MODIFIED APPROACH FOR CITY STREETS INFRASTRUCTURE CAPITAL ASSETS YEAR ENDED JUNE 30, 2024
(123)
As of June 30, 2023, 48.4% of City streets were rated below the targeted average condition level of 70 PCI. However, as noted above, the City is investing in these infrastructure assets as part of the fiveyear Capital Improvement Program and will continue to rehabilitate and maintain its streets in order to achieve this goal.

General Fund Other Fund Total
Project Project # Budget Expenditures Expenditures Expenditures Residential Street Rehabilitation 40190 $ 141,530 2,999,885 $ 223,378 $ 364,908 $ Citywide Curb Ramp Improvements 40399 385,504 - 75,858 75,858 Traffic Calming Project 40470 1,145,190 81,079 62,425 143,504 Bicycle Trans Plan Implementation 40510 772,469 - 36,619 36,619 Artesia/Aviation NB Rt Turn Lane 40780 1,795,175 - 261,989 261,989 PCH Study Recommendations 40800 2,037,111 - - -
Kingsdale Resurfacing- 182nd/Grant Ave 40880 1,921,047 - 60,747 60,747 Bike Plan Grant - Beryl St. Bike Lanes 40940 136,829 - - - Bike Plan Grant - N Catalina Bikelane 40941 414,370 - - - Bike Plan Grant - S Catalina/I Bikelane 40942 44,640 - - - Bike Plan Grant - Lilienthal Bikelane 40943 282,525 - - - Bike Plan Grant - Torrance Blvd Bike Lane 40944 215,790 - - - Bike Plan Grant - Citywide Bike Facilities 40945 853,340 - - - Inglewood at MBB Rt Turn Lane Feasibility 40960 2,736,911 - 153,945 153,945 Torrance Blvd & Francisca Traffic Signal Mod 41070 4,272 - 1,797 1,797 Artesia Blvd Improvements - Phase 1 41080 169,943 10,085 - 10,085 Median Reno - PV Blvd/Prospect/MBB 41110 209,825 - - -
Beryl Resurfacing & Drainage - Prospect to Flag 41130 1,685 - 214 214 Citywide Slurry Seal Program 41140 1,608,962 385,601 339,520 725,121 Manhattan Beach Boulevard Resurfacing 41160 4,333,451 - 970,363 970,363 Citywide Striping 41180 662,855 - 159,561 159,561
Artesia Blvd Resurfacing - Harper to Hawthorne 41190 360,000 - - - Citywide Traffic Signal Upgrades 41200 296,239 - 87,224 87,224 Torrance Blvd Resurfacing - PCH to Prospect 41230 2,278,962 - 1,933,288 1,933,288 NRB Bikeway Ext - Inglewood Design 41260 1,735,000 5,676 1,486,479 1,492,155 Sidewalk Improvements & Repairs 41270 443,599 346,441 - 346,441 Dow/Vail/Johnston Bicycle Implementation Plan 41290 143,500 - - - Residential Street Reconstruction-Deferred Maintenance 41300 750,000 - - - Riviera Village Sidewalk Pavers 41310 535,680 26,592 - 26,592 Artesia Intersection Safety Implementation 41330 380,825 - 83,417 83,417 Alleyway Resurfacing with PCI<25 41370 565,000 - - -
Avenue I Resurfacing 41380 68,206 16,512 - 16,512
Pave Emerald Between Juanita to Lucia 41410 311,472 - - - Total $ 30,600,262 $ 1,013,516 $ 5,936,824 $ 6,950,340
(124)

SUPPLEMENTARY INFORMATION

CITY OF REDONDO BEACH

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2024
(125)
Special Revenue Funds
Parks and Narcotic
Recreation Seizure /
State Gas Tax Facilities Forfeiture Proposition A
ASSETS
Pooled Cash and Investments 4,339,967 $ 126,843 $ $ 88,889 $ 2,395,331 Receivables:

Accounts 2,608 - - -
Taxes - - - -
Accrued Interest 20,289 - 646 18,082
Notes and Loans - - - -
Leases - - - -
Due from Other Governments 479,756 - 22,222 -
Due from Other Funds - - - -
Restricted Assets:

Cash and Investments with Fiscal Agents - - - -
Total Assets $ 4,842,620 $ 126,843 $ 111,757 $ 2,413,413

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES, AND FUND BALANCES

LIABILITIES
Accounts Payable $ 499,548 $ - $ 13,229 $ -
Due to Other Funds - - - -
Total Liabilities 499,548 - 13,229 -

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues - - - -
Deferred Leases Related Items - - - -
Total Deferred Inflows of Resources - - - -

FUND BALANCES
Restricted for:

Housing and Community Development - 126,843 2,413,413 - Public Safety - - 98,528 -
Public Works 4,343,072 - - -
Debt Service - - - -
Low and Moderate Income Housing - - - -
Assigned to:

Capital Projects - - - -
Unassigned - - - -
Total Fund Balances 4,343,072 126,843 98,528 2,413,413
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances $ 4,842,620 $ 126,843 $ 111,757 $ 2,413,413

CITY OF REDONDO BEACH

COMBINING BALANCE SHEET (CONTINUED)

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2024
(126)
ASSETS
Pooled Cash and Investments
Receivables:

Accounts
Taxes
Accrued Interest
Notes and Loans
Leases
Due from Other Governments
Due from Other Funds
Restricted Assets:

Cash and Investments with Fiscal Agents
Total Assets

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES, AND FUND BALANCES

LIABILITIES
Accounts Payable
Due to Other Funds
Total Liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues
Deferred Leases Related Items
Total Deferred Inflows of Resources

FUND BALANCES
Restricted for:

Housing and Community Development
Public Safety
Public Works
Debt Service
Low and Moderate Income Housing
Assigned to:

Capital Projects
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Special Revenue Funds
Local
Transportation Air Quality
Proposition C Measure R Article 3 Improvement
$ 4,109,221 $ 2,346,190 $ - $ 316,587
- - - -
- - - -
22,219 2,704 - 1,495
- - - -
- - - -
- - - -
- - - -
- - - -
$ 4,131,440 $ 2,348,894 $ - $ 318,082
$ 360,703 $ 89,149 $ - $ 912
- - 73,332 -
360,703 89,149 73,332 912
- - - -
- - - -
- - - -
3,770,737 2,259,745 - 317,170
- - - -
- - - -
- - - -
- - - -
- - - -
- - (73,332) -
3,770,737 2,259,745 (73,332) 317,170
$ 4,131,440 $ 2,348,894 $ - $ 318,082

CITY OF REDONDO BEACH

COMBINING BALANCE SHEET (CONTINUED)

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2024
(127)
ASSETS
Pooled Cash and Investments
Receivables:

Accounts
Taxes
Accrued Interest
Notes and Loans
Leases
Due from Other Governments
Due from Other Funds
Restricted Assets:

Cash and Investments with Fiscal Agents
Total Assets

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES, AND FUND BALANCES

LIABILITIES
Accounts Payable
Due to Other Funds
Total Liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues
Deferred Leases Related Items
Total Deferred Inflows of Resources

FUND BALANCES
Restricted for:

Housing and Community Development
Public Safety
Public Works
Debt Service
Low and Moderate Income Housing
Assigned to:

Capital Projects
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Special Revenue Funds
Street
Landscaping Community
Storm Drain and Lighting Development Disaster
Improvement District Block Grant Recovery
$ 269,070 $ 206,250 $ 16,848 $ 324,605
- - - -
- 26,048 - -
- - - -
- - 311,227 -
- - - -
- - 23,559 -
- - - -
- - - -
$ 269,070 $ 232,298 $ 351,634 $ 324,605
$ - $ 232,298 $ 37,301 $ -
- - 25,528 -
232,298 - 62,829 -
- - 311,230 -
- - - -
- - 311,230 -
- - - -
- - 324,605 -
269,070 - - -
- - - -
- - - -
- - - -
- - (22,425) -
269,070 - (22,425) 324,605
$ 269,070 $ 232,298 $ 351,634 $ 324,605

CITY OF REDONDO BEACH

COMBINING BALANCE SHEET (CONTINUED)

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2024
(128)
ASSETS
Pooled Cash and Investments
Receivables:

Accounts
Taxes
Accrued Interest
Notes and Loans
Leases
Due from Other Governments
Due from Other Funds
Restricted Assets:

Cash and Investments with Fiscal Agents
Total Assets

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES, AND FUND BALANCES

LIABILITIES
Accounts Payable
Due to Other Funds
Total Liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues
Deferred Leases Related Items
Total Deferred Inflows of Resources

FUND BALANCES
Restricted for:

Housing and Community Development
Public Safety
Public Works
Debt Service
Low and Moderate Income Housing
Assigned to:

Capital Projects
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Special Revenue Funds
Housing Subdivision
Authority Park Trust Measure M Measure W
$ 3,695,241 2,966,743 $ 2,818,424 $ 731,754 $
- 150 - -
- - - -
- - 13,379 3,625
- - - -
- - - -
- - - -
- - - -
- - - -
$ 2,966,743 $ 3,695,391 $ 2,831,803 $ 735,379
$ - $ 387,563 $ 251,630 $ 116,963
1,726,139 - - -
1,726,139 387,563 251,630 116,963
- - - -
- - - -
- - - -
- 3,307,828 - -
- - - -
- - 2,580,173 618,416
- - - -
1,240,604 - - -
- - - -
- - - -
1,240,604 3,307,828 2,580,173 618,416
$ 2,966,743 $ 3,695,391 $ 2,831,803 $ 735,379

CITY OF REDONDO BEACH

COMBINING BALANCE SHEET (CONTINUED)

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2024
(129)
ASSETS
Pooled Cash and Investments
Receivables:

Accounts
Taxes
Accrued Interest
Notes and Loans
Leases
Due from Other Governments
Due from Other Funds
Restricted Assets:

Cash and Investments with Fiscal Agents
Total Assets

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES, AND FUND BALANCES

LIABILITIES
Accounts Payable
Due to Other Funds
Total Liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues
Deferred Leases Related Items
Total Deferred Inflows of Resources

FUND BALANCES
Restricted for:

Housing and Community Development
Public Safety
Public Works
Debt Service
Low and Moderate Income Housing
Assigned to:

Capital Projects
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Capital Projects Funds
Capital Pier Parking Major
Improvement Structure Facilities Open Space
Projects Rehabilitation Reconstruction Acquisition
$ 831 4,909,739 $ $ 365,565 $ 1,225,751
117,643 - - -
- - - -
- - - -
- - - -
- - - -
- - - -
4,677,893 - - -
- - - -
$ 9,705,275 $ 831 $ 365,565 $ 1,225,751
$ 161,890 $ - $ 16,588 $ -
- - - -
161,890 - 16,588 -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
9,543,385 831 348,977 1,225,751
- - - -
9,543,385 831 348,977 1,225,751
$ 9,705,275 $ 831 $ 365,565 $ 1,225,751

CITY OF REDONDO BEACH

COMBINING BALANCE SHEET (CONTINUED)

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2024
(130)
ASSETS
Pooled Cash and Investments
Receivables:

Accounts
Taxes
Accrued Interest
Notes and Loans
Leases
Due from Other Governments
Due from Other Funds
Restricted Assets:

Cash and Investments with Fiscal Agents
Total Assets

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES, AND FUND BALANCES

LIABILITIES
Accounts Payable
Due to Other Funds
Total Liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues
Deferred Leases Related Items
Total Deferred Inflows of Resources

FUND BALANCES
Restricted for:

Housing and Community Development
Public Safety
Public Works
Debt Service
Low and Moderate Income Housing
Assigned to:

Capital Projects
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Debt Service Funds
Public Total Other
Financing Parking Governmental
Authority Authority Funds
$ 6,442 4,580,152 $ $ 35,840,443
5,362 - 125,763
- - 26,048
2,117 61 84,617
- - 311,227
1,027,142 - 1,027,142
5,374,988 - 5,900,525
544,986 - 5,222,879
55,246 - 55,246
$ 11,589,993 $ 6,503 $ 48,593,890
$ 22,385 $ - $ 2,190,159
4,962,371 - 6,787,370
4,984,756 - 8,977,529
- - 311,230
1,003,403 - 1,003,403
1,003,403 - 1,314,633
- 12,195,736 -
- - 423,133
- - 7,810,731
5,601,834 6,503 5,608,337
- - 1,240,604
- 11,118,944 -
- - (95,757)
5,601,834 6,503 38,301,728
$ 11,589,993 $ 6,503 $ 48,593,890

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND

BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2024
(131)
Special Revenue Funds
Parks and Narcotic
Recreation Seizure /
State Gas Tax Facilities Forfeiture Proposition A

REVENUES
Taxes - $ $ - $ - $ -
Intergovernmental 3,709,045 - 1,828,888 -
Charges for Services - 27,200 - -
Use of Money and Property 95,619 - 15,463 83,568
Fines and Forfeitures - - 72,107 -
Miscellaneous 17,825 - - -
Total Revenues 3,822,489 27,200 87,570 1,912,456

EXPENDITURES
Current:

General Government - - - -
Public Safety - - 147,006 -
Housing and Community Development - - - -
Cultural and Leisure Services - - - -
Public Works 1,462,195 - - -
Capital Outlay 744,356 - - -
Debt Service:

Principal Retirement - - 23,144 -
Interest and Fiscal Charges - - 2,209 -
Total Expenditures 2,206,551 - 172,359 -

EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 1,615,938 27,200 (84,789) 1,912,456

OTHER FINANCING SOURCES (USES)
Transfers In - - - -
Transfers Out - - - (2,140,580)
Subscription Financing - - - -
Total Other Financing Sources (Uses) - - - (2,140,580)
NET CHANGE IN FUND BALANCES 1,615,938 27,200 (84,789) (228,124) Fund Balances (Deficit) - Beginning of Year 2,727,134 99,643 183,317 2,641,537 FUND BALANCES (DEFICIT) - END OF YEAR $ 126,843 4,343,072 $ 98,528 $ 2,413,413 $

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS (CONTINUED)
YEAR ENDED JUNE 30, 2024
(132)

REVENUES
Taxes
Intergovernmental
Charges for Services
Use of Money and Property
Fines and Forfeitures
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Capital Outlay
Debt Service:

Principal Retirement
Interest and Fiscal Charges
Total Expenditures

EXCESS (DEFICIENCY) OF REVENUES

OVER (UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Subscription Financing
Total Other Financing Sources (Uses)

NET CHANGE IN FUND BALANCES
Fund Balances (Deficit) - Beginning of Year

FUND BALANCES (DEFICIT) - END OF YEAR
Special Revenue Funds
Local
Transportation Air Quality
Proposition C Measure R Article 3 Improvement
$ - $ - $ - $ -
1,517,020 1,137,409 - 74,129
- - - -
159,870 64,920 - 9,625
- - - -
- - - -
1,676,890 1,202,329 - 83,754
- - - -
- - - -
- - - 48,071
- - - -
- - - -
1,634,624 737,104 72,425 -
- - - -
- - - -
1,634,624 737,104 72,425 48,071
42,266 465,225 (72,425) 35,683
- - - -
- - - -
- - - -
- - - -
42,266 465,225 (72,425) 35,683
3,728,471 1,794,520 (907) 281,487
$ 3,770,737 $ 2,259,745 $ (73,332) $ 317,170

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS (CONTINUED)
YEAR ENDED JUNE 30, 2024
(133)

REVENUES
Taxes
Intergovernmental
Charges for Services
Use of Money and Property
Fines and Forfeitures
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Capital Outlay
Debt Service:

Principal Retirement
Interest and Fiscal Charges
Total Expenditures

EXCESS (DEFICIENCY) OF REVENUES

OVER (UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Subscription Financing
Total Other Financing Sources (Uses)

NET CHANGE IN FUND BALANCES
Fund Balances (Deficit) - Beginning of Year

FUND BALANCES (DEFICIT) - END OF YEAR
Special Revenue Funds
Street
Landscaping Community
Storm Drain and Lighting Development Disaster
Improvement District Block Grant Recovery
$ - $ - $ - $ -
- - 358,820 -
34,655 1,503,280 27,000 10
- - - -
- - - -
- 3,000 - 19,788
34,655 1,506,280 385,820 19,798
- - - -
- - - 7,511
- - 106,014 -
- - - -
- 2,548,429 - -
- - 275,178 -
- - - -
- - - -
- 2,548,429 381,192 7,511
34,655 (1,042,149) 4,628 12,287
- 928,829 - -
- - - -
- - - -
- 928,829 - -
34,655 (113,320) 4,628 12,287
234,415 113,320 (27,053) 312,318
$ 269,070 $ - $ (22,425) $ 324,605

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS (CONTINUED)
YEAR ENDED JUNE 30, 2024
(134)

REVENUES
Taxes
Intergovernmental
Charges for Services
Use of Money and Property
Fines and Forfeitures
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Capital Outlay
Debt Service:

Principal Retirement
Interest and Fiscal Charges
Total Expenditures

EXCESS (DEFICIENCY) OF REVENUES

OVER (UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Subscription Financing
Total Other Financing Sources (Uses)

NET CHANGE IN FUND BALANCES
Fund Balances (Deficit) - Beginning of Year

FUND BALANCES (DEFICIT) - END OF YEAR
Special Revenue Funds
Housing Subdivision
Authority Park Trust Measure M Measure W
$ - $ - $ - $ -
8,822,762 - 1,284,377 715,856
- - - -
76,866 - 92,047 27,079
- - - -
- 700,150 - -
8,899,628 700,150 1,376,424 742,935
- - - -
- - - -
9,015,825 - - -
- - - -
- - - 209,105
- 1,139,884 905,902 751,017
- - - -
- - - -
9,015,825 1,139,884 905,902 960,122
(116,197) (439,734) 470,522 (217,187)
- - - -
- - - -
- - - -
- - - -
(116,197) (439,734) 470,522 (217,187)
1,356,801 3,747,562 2,109,651 835,603
$ 1,240,604 $ 3,307,828 $ 2,580,173 $ 618,416

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS (CONTINUED)
YEAR ENDED JUNE 30, 2024
(135)

REVENUES
Taxes
Intergovernmental
Charges for Services
Use of Money and Property
Fines and Forfeitures
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Capital Outlay
Debt Service:

Principal Retirement
Interest and Fiscal Charges
Total Expenditures

EXCESS (DEFICIENCY) OF REVENUES

OVER (UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Subscription Financing
Total Other Financing Sources (Uses)

NET CHANGE IN FUND BALANCES
Fund Balances (Deficit) - Beginning of Year

FUND BALANCES (DEFICIT) - END OF YEAR
Capital Projects Funds
Capital Pier Parking Major
Improvement Structure Facilities Open Space
Projects Rehabilitation Reconstruction Acquisition
$ 143,274 $ - $ - $ -
811,366 - - -
332,421 - - -
- - - -
- - - -
- - - 156,324
1,287,061 - - 156,324
- - - 3,937
- - - -
- - - -
- - - -
149,654 - - -
2,702,584 - 285,017 143,757
10,500 - - -
- - - -
2,862,738 - 285,017 147,694
(1,575,677) - (285,017) 8,630
- - - -
- - - -
10,500 - - -
10,500 - - -
(1,565,177) - (285,017) 8,630
11,108,562 831 633,994 1,217,121
$ 9,543,385 $ 831 $ 348,977 $ 1,225,751

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS (CONTINUED)
YEAR ENDED JUNE 30, 2024
(136)

REVENUES
Taxes
Intergovernmental
Charges for Services
Use of Money and Property
Fines and Forfeitures
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Capital Outlay
Debt Service:

Principal Retirement
Interest and Fiscal Charges
Total Expenditures

EXCESS (DEFICIENCY) OF REVENUES

OVER (UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Subscription Financing
Total Other Financing Sources (Uses)

NET CHANGE IN FUND BALANCES
Fund Balances (Deficit) - Beginning of Year

FUND BALANCES (DEFICIT) - END OF YEAR
Debt Service Funds
Public Total Other
Financing Parking Governmental
Authority Authority Funds
$ - $ - $ 143,274
- - 20,259,672
- - 1,924,566
558,451 316 1,183,824
- - 72,107
- - 897,087
558,451 316 24,480,530
- - 3,937
- - 154,517
295,562 - 9,465,472
- - -
- - 4,369,383
- - 9,391,848
7,194,296 - 7,227,940
5,880,968 - 5,883,177
13,370,826 - 36,496,274
(12,812,375) 316 (12,015,744)
13,045,009 - 13,973,838
- - (2,140,580)
- - 10,500
13,045,009 - 11,843,758
232,634 316 (171,986)
5,369,200 6,187 38,473,714
$ 5,601,834 $ 6,503 $ 38,301,728

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

STATE GAS TAX
YEAR ENDED JUNE 30, 2024
(137)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 2,727,134 $ 2,727,134 $ 2,727,134 $ - $ Resources (Inflows):

Intergovernmental 3,720,671 3,720,671 3,709,045 (11,626) Use of Money and Property 20,000 20,000 95,619 75,619
Miscellaneous 6,000 6,000 17,825 11,825
Transfers In - - - -
Amounts Available for Appropriations 6,473,805 6,473,805 6,549,623 75,818 Charges to Appropriation (Outflow):

Public Works 1,360,224 1,360,224 1,462,195 (101,971)
Capital Outlay 1,650,000 1,650,000 744,356 905,644
Total Charges to Appropriations 3,087,396 3,087,396 2,206,551 880,845 Budgetary Fund Balance - End of Year $ 3,386,409 $ 3,386,409 $ 4,343,072 $ 956,663

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

PARKS AND RECREATION FACILITIES
YEAR ENDED JUNE 30, 2024
(138)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 99,643 $ 99,643 $ 99,643 $ - $ Resources (Inflows):

Charges for Services 31,500 31,500 27,200 (4,300)
Amounts Available for Appropriations 131,143 131,143 126,843 (4,300) Charges to Appropriation (Outflow):

Capital Outlay 23,000 123,000 - 123,000
Total Charges to Appropriations 23,000 123,000 - 123,000 Budgetary Fund Balance - End of Year $ 108,143 $ 8,143 $ 126,843 $ 118,700

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

NARCOTIC SEIZURE / FORFEITURE
YEAR ENDED JUNE 30, 2024
(139)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 183,317 $ 183,317 $ 183,317 $ - $ Resources (Inflows):

Use of Money and Property 10,000 10,000 15,463 5,463
Fines and Forfeitures 20,000 20,000 72,107 52,107
Transfers In - 5,742 - (5,742)
Amounts Available for Appropriations 213,317 219,059 270,887 51,828 Charges to Appropriation (Outflow):

Public Safety 158,699 234,182 147,006 87,176
Capital Outlay - 563 - 563
Debt Service:

Principal Retirement - - 23,144 (23,144)
Interest and Fiscal Charges - - 2,209 (2,209)
Total Charges to Appropriations 158,699 234,745 172,359 62,386 Budgetary Fund Balance - End of Year $ 54,618 $ (15,686) $ 98,528 $ 114,214

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

PROPOSITION A
YEAR ENDED JUNE 30, 2024
(140)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 2,641,537 $ 2,641,537 $ 2,641,537 $ - $ Resources (Inflows):

Intergovernmental 1,993,365 1,993,365 1,828,888 (164,477) Use of Money and Property 30,000 30,000 83,568 53,568
Amounts Available for Appropriations 4,664,902 4,664,902 4,553,993 (110,909) Charges to Appropriation (Outflow):

Capital Outlay - 75,000 - 75,000
Transfers Out - 1,331,582 2,140,580 (808,998)
Total Charges to Appropriations - 1,406,582 2,140,580 (733,998) Budgetary Fund Balance - End of Year $ 4,664,902 $ 3,258,320 $ 2,413,413 $ (844,907)

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

PROPOSITION C
YEAR ENDED JUNE 30, 2024
(141)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 3,728,471 $ 3,728,471 $ 3,728,471 $ - $ Resources (Inflows):

Intergovernmental 1,653,444 1,653,444 1,517,020 (136,424) Use of Money and Property 120,000 120,000 159,870 39,870 Amounts Available for Appropriations 5,501,915 5,501,915 5,405,361 (96,554) Charges to Appropriation (Outflow):

Cultural and Leisure Services 566 - - -
Public Works 2,825 - - -
Capital Outlay 1,680,000 5,404,996 1,634,624 3,770,372
Total Charges to Appropriations 1,683,391 5,404,996 1,634,624 3,770,372 Budgetary Fund Balance - End of Year $ 3,818,524 $ 96,919 $ 3,770,737 $ 3,673,818

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

MEASURE R
YEAR ENDED JUNE 30, 2024
(142)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 1,794,520 $ 1,794,520 $ 1,794,520 $ - $ Resources (Inflows):

Intergovernmental 1,240,083 1,240,083 1,137,409 (102,674) Use of Money and Property 15,000 54,814 64,920 10,106
Amounts Available for Appropriations 3,049,603 3,089,417 2,996,849 (92,568) Charges to Appropriation (Outflow):

Cultural and Leisure Services 562 - - -
Public Works 2,144 - - -
Capital Outlay 1,285,000 2,877,848 737,104 2,140,744
Total Charges to Appropriations 1,287,706 2,877,848 737,104 2,140,744 Budgetary Fund Balance - End of Year $ 1,761,897 $ 211,569 $ 2,259,745 $ 2,048,176

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE
LOCAL TRANSPORTATION ARTICLE 3
YEAR ENDED JUNE 30, 2024
(143)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Deficit - Beginning of Year (907) $ $ (907) $ (907) $ - Resources (Inflows):

Intergovernmental 80,698 - - -
Amounts Available for Appropriations 79,791 (907) (907) - Charges to Appropriation (Outflow):

Capital Outlay 80,698 145,541 72,425 73,116
Total Charges to Appropriations 80,698 145,541 72,425 73,116 Budgetary Fund Deficit - End of Year $ (907) $ (146,448) $ (73,332) $ 73,116

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

AIR QUALITY IMPROVEMENT
YEAR ENDED JUNE 30, 2024
(144)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 281,487 $ 281,487 $ 281,487 $ - $ Resources (Inflows):

Intergovernmental 88,000 88,000 74,129 (13,871)
Use of Money and Property 2,000 2,000 9,625 7,625
Transfers In - 45 - (45)
Amounts Available for Appropriations 371,487 371,532 365,241 (6,291) Charges to Appropriation (Outflow):

Housing and Community Development 117,510 120,692 48,071 72,621 Capital Outlay 150,000 194,355 - 194,355
Debt Service:

Principal Retirement 1,919 1,919 - 1,919
Interest and Fiscal Charges 1,420 1,420 - 1,420
Total Charges to Appropriations 270,849 318,386 48,071 270,315 Budgetary Fund Balance - End of Year $ 100,638 $ 53,146 $ 317,170 $ 264,024

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

STORM DRAIN IMPROVEMENT
YEAR ENDED JUNE 30, 2024
(145)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 234,415 $ 234,415 $ 234,415 $ - $ Resources (Inflows):

Charges for Services 30,000 36,000 34,655 (1,345)
Amounts Available for Appropriations 264,415 270,415 269,070 (1,345) Charges to Appropriation (Outflow):

Capital Outlay 200,000 228,425 - 228,425
Total Charges to Appropriations 200,000 228,425 - 228,425 Budgetary Fund Balance - End of Year $ 64,415 $ 41,990 $ 269,070 $ 227,080

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

STREET LANDSCAPING AND LIGHTING DISTRICT
YEAR ENDED JUNE 30, 2024
(146)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 113,320 $ 113,320 $ 113,320 $ - $ Resources (Inflows):

Charges for Services 1,523,600 1,523,600 1,503,280 (20,320) Miscellaneous 7,000 7,000 3,000 (4,000)
Transfers In - 950,759 928,829 (21,930)
Amounts Available for Appropriations 1,643,920 2,594,679 2,548,429 (46,250) Charges to Appropriation (Outflow):

Public Works 2,351,660 2,527,908 2,548,429 (20,521)
Debt Service:

Principal Retirement 56,005 56,005 - 56,005
Interest and Fiscal Charges 41,445 41,445 - 41,445
Total Charges to Appropriations 2,449,110 2,625,358 2,548,429 76,929 Budgetary Fund Balance - End of Year $ (805,190) $ (30,679) $ - $ 30,679

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

COMMUNITY DEVELOPMENT BLOCK GRANT
YEAR ENDED JUNE 30, 2024
(147)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Deficit - Beginning of Year (27,053) $ (27,053) $ (27,053) $ - $ Resources (Inflows):

Intergovernmental 285,916 338,096 358,820 20,724
Charges for Services - - 27,000 27,000
Amounts Available for Appropriations 258,863 311,043 358,767 47,724 Charges to Appropriation (Outflow):

Housing and Community Development 140,071 183,282 106,014 77,268 Capital Outlay 131,920 472,227 275,178 197,049
Total Charges to Appropriations 271,991 655,509 381,192 274,317 Budgetary Fund Deficit - End of Year $ (13,128) $ (344,466) $ (22,425) $ 322,041

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

DISASTER RECOVERY
YEAR ENDED JUNE 30, 2024
(148)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 312,318 $ 312,318 $ 312,318 $ - $ Resources (Inflows):

Charges for Services 1,000 - 10 10
Miscellaneous 50,000 19,788 19,788 -
Amounts Available for Appropriations 363,318 332,106 332,116 10 Charges to Appropriation (Outflow):

Public Safety 24,439 17,060 7,511 9,549
Public Works - - - -
Total Charges to Appropriations 24,439 17,060 7,511 9,549 Budgetary Fund Balance - End of Year $ 338,879 $ 315,046 $ 324,605 $ 9,559

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

HOUSING AUTHORITY
YEAR ENDED JUNE 30, 2024
(149)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 1,356,801 $ 1,356,801 $ 1,356,801 $ - $ Resources (Inflows):

Intergovernmental 7,845,801 7,845,801 8,822,762 976,961 Use of Money and Property - - 76,866 76,866
Transfers In - 298 - (298)
Amounts Available for Appropriations 9,202,602 9,202,900 10,256,429 1,053,529 Charges to Appropriation (Outflow):

Housing and Community Development 7,702,744 7,702,744 9,015,825 (1,313,081) Total Charges to Appropriations 7,702,744 7,702,744 9,015,825 (1,313,081) Budgetary Fund Balance - End of Year $ 1,499,858 $ 1,500,156 $ 1,240,604 $ (259,552)

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

SUBDIVISION PARK TRUST
YEAR ENDED JUNE 30, 2024
(150)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 3,747,562 $ 3,747,562 $ 3,747,562 $ - $ Resources (Inflows):

Miscellaneous 350,000 750,000 700,150 (49,850)
Amounts Available for Appropriations 4,097,562 4,497,562 4,447,712 (49,850) Charges to Appropriation (Outflow):

Capital Outlay 1,963,101 3,324,367 1,139,884 2,184,483
Total Charges to Appropriations 1,963,101 3,324,367 1,139,884 2,184,483 Budgetary Fund Balance - End of Year $ 2,134,461 $ 1,173,195 $ 3,307,828 $ 2,134,633

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

MEASURE M
YEAR ENDED JUNE 30, 2024
(151)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 2,109,651 $ 2,109,651 $ 2,109,651 $ - $ Resources (Inflows):

Intergovernmental 1,405,427 1,405,427 1,284,377 (121,050) Use of Money and Property 30,000 30,000 92,047 62,047
Amounts Available for Appropriations 3,545,078 3,545,078 3,486,075 (59,003) Charges to Appropriation (Outflow):

Capital Outlay 1,450,000 3,361,336 905,902 2,455,434
Total Charges to Appropriations 1,450,000 3,361,336 905,902 2,455,434 Budgetary Fund Balance - End of Year $ 2,095,078 $ 183,742 $ 2,580,173 $ 2,396,431

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

MEASURE W
YEAR ENDED JUNE 30, 2024
(152)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 835,603 $ 835,603 $ 835,603 $ - $ Resources (Inflows):

Intergovernmental 720,000 720,000 715,856 (4,144)
Use of Money and Property - - 27,079 27,079
Transfers In - 5,284 - (5,284)
Amounts Available for Appropriations 1,555,603 1,555,603 1,578,538 (4,144) Charges to Appropriation (Outflow):

Public Works 203,272 247,296 209,105 38,191
Capital Outlay 520,000 1,911,543 751,017 1,160,526
Debt Service:

Principal Retirement 6,618 6,618 - 6,618
Interest and Fiscal Charges 4,897 4,897 - 4,897
Total Charges to Appropriations 734,787 2,170,354 960,122 1,210,232 Budgetary Fund Balance - End of Year $ 820,816 $ (614,751) $ 618,416 $ 1,206,088

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

CAPITAL IMPROVEMENT PROJECTS
YEAR ENDED JUNE 30, 2024
(153)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 11,108,562 $ 11,108,562 $ 11,108,562 $ - $ Resources (Inflows):

Taxes 180,000 180,000 143,274 (36,726)
Intergovernmental - 1,697,937 811,366 (886,571)
Charges for Services 332,421 332,421 332,421 -
Miscellaneous - - - -
Subscription Financing - - 10,500 (10,500)
Amounts Available for Appropriations 11,620,983 13,318,920 12,406,123 (933,797) Charges to Appropriation (Outflow):

Public Works 170,930 145,556 149,654 (4,098)
Capital Outlay 2,203,334 11,380,091 2,702,584 8,677,507 Debt Service:

Principal Retirement 13,085 13,085 10,500 2,585
Interest and Fiscal Charges 9,683 9,683 - 9,683
Total Charges to Appropriations 2,397,032 11,548,415 2,862,738 8,685,677 Budgetary Fund Balance - End of Year $ 9,223,951 $ 1,770,505 $ 9,543,385 $ 7,751,880

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

MAJOR FACILITIES RECONSTRUCTION
YEAR ENDED JUNE 30, 2024
(154)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 633,994 $ 633,994 $ 633,994 $ - $ Resources (Inflows):

Transfers In - 156,324 - (156,324)
Amounts Available for Appropriations 633,994 790,318 633,994 (156,324) Charges to Appropriation (Outflow):

Capital Outlay 500,000 1,113,280 285,017 828,263
Total Charges to Appropriations 500,000 1,113,280 285,017 828,263 Budgetary Fund Balance - End of Year $ 133,994 $ (322,962) $ 348,977 $ 671,939

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

OPEN SPACE ACQUISITION
YEAR ENDED JUNE 30, 2024
(155)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 1,217,121 $ 1,217,121 $ 1,217,121 $ - $ Resources (Inflows):

Miscellaneous - - 156,324 156,324
Amounts Available for Appropriations 1,217,121 1,217,121 1,373,445 156,324 Charges to Appropriation (Outflow):

General Government - - 3,937 (3,937)
Capital Outlay - 593,972 143,757 450,215
Total Charges to Appropriations - 593,972 147,694 446,278 Budgetary Fund Balance - End of Year $ 1,217,121 $ 623,149 $ 1,225,751 $ 602,602

CITY OF REDONDO BEACH

BUDGETARY COMPARISON SCHEDULE

PUBLIC FINANCING AUTHORITY
YEAR ENDED JUNE 30, 2024
(156)
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance - Beginning of Year 5,369,200 $ 5,369,200 $ 5,369,200 $ - $ Resources (Inflows):

Use of Money and Property 13,376,289 13,376,289 558,451 (12,817,838) Transfers In - 2,463,119 13,045,009 10,581,890
Amounts Available for Appropriations 18,745,489 21,208,608 18,972,660 (2,235,948) Charges to Appropriation (Outflow):

Housing and Community Development 273,975 273,975 295,562 (21,587) Debt Service:

Principal Retirement 8,115,000 8,115,000 7,194,296 920,704 Interest and Fiscal Charges 6,638,052 6,638,052 5,880,968 757,084 Transfers Out - 812,381 - (812,381)
Total Charges to Appropriations 15,027,027 15,027,027 13,370,826 1,656,201 Budgetary Fund Balance - End of Year $ 3,718,462 $ 6,181,581 $ 5,601,834 $ (579,747)

CITY OF REDONDO BEACH

COMBINING STATEMENT OF NET POSITION

NONMAJOR ENTERPRISE FUNDS
JUNE 30, 2024
(157)
Business-Type Activities - Enterprise Funds
Solid Waste Transit Totals
ASSETS
Current Assets:

Cash and Cash Equivalents $ 2,223,530 $ 1,162,111 $ 3,385,641 Receivables:

Accounts 317,918 31,984 349,902
Taxes 100,750 - 100,750
Due from Other Governments - 82,675 82,675
Due from Other Funds - - -
Restricted Assets:

Cash with Fiscal Agents - 63 63
Total Current Assets 2,642,198 1,276,833 3,919,031
Noncurrent:

Capital Assets - Net of Accumulated Depreciation/
Amortization 36,924 1,767,374 1,804,298
Total Noncurrent Assets 36,924 1,767,374 1,804,298
Total Assets 2,679,122 3,044,207 5,723,329

DEFERRED OUTFLOWS OF RESOURCES
Deferred Pension Related Items 390,316 270,564 660,880
Deferred OPEB Related Items 35,856 28,354 64,210
Total Deferred Outflows of Resources 426,172 298,918 725,090

LIABILITIES
Current Liabilities:

Accounts Payable 81,125 664,074 745,199
Accrued Interest 5,110 4,471 9,581
Unearned Revenues 42,218 1,025 43,243
Due to Other Funds - 922,643 922,643
Due to Other Governments - 266,467 266,467
Accrued Compensated Absences 12,742 18,366 31,108
Long-Term Obligations - Due in One Year 42,644 37,314 79,958 Total Current Liabilities 183,839 1,914,360 2,098,199
Noncurrent Liabilities:

Accrued Compensated Absences 38,222 55,090 93,312
Long-Term Debt - Due in More than One Year 1,139,460 997,028 2,136,488 Net Pension Liability 249,611 173,029 422,640
Net OPEB Liability 111,565 88,223 199,788
Total Noncurrent Liabilities 1,538,858 1,313,370 2,852,228 Total Liabilities 1,722,697 3,227,730 4,950,427

DEFERRED INFLOWS OF RESOURCES
Deferred Pension Related Items 25,588 17,737 43,325
Deferred OPEB Related Items 29,840 23,596 53,436
Total Deferred Inflows of Resources 55,428 41,333 96,761

NET POSITION
Net Investment in Capital Assets 25,224 1,767,374 1,792,598 Unrestricted 1,301,945 (1,693,312) (391,367)
Total Net Position $ 1,327,169 $ 74,062 $ 1,401,231

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION

NONMAJOR ENTERPRISE FUNDS
YEAR ENDED JUNE 30, 2024
(158)
Business-Type Activities - Enterprise Funds
Solid Waste Transit Totals

OPERATING REVENUES
Sales and Service Charges 6,824,240 $ 216,864 $ 7,041,104 $ Miscellaneous 166,532 243 166,775
Total Operating Revenues 6,990,772 217,107 7,207,879

OPERATING EXPENSES
Administrative and General 41,246 537,201 578,447
Personnel Services 818,083 825,316 1,643,399
Contractual Services 5,416,740 3,904,196 9,320,936
Internal Service Charges 323,454 415,051 738,505
Depreciation Expense 2,084 258,540 260,624
Total Operating Expenses 6,601,607 5,940,304 12,541,911 OPERATING INCOME (LOSS) 389,165 (5,723,197) (5,334,032)

NONOPERATING REVENUES (EXPENSES)
Intergovernmental 27,206 3,343,088 3,370,294
Interest Expense (30,909) (26,957) (57,866)
Total Nonoperating Revenues (Expenses) (3,703) 3,316,131 3,312,428 INCOME (LOSS) BEFORE TRANSFERS 385,462 (2,407,066) (2,021,604) Transfers In - 2,140,580 2,140,580
CHANGES IN NET POSITION 385,462 (266,486) 118,976
Net Position - Beginning of year 941,707 340,548 1,282,255 NET POSITION - END OF YEAR $ 1,327,169 $ 74,062 $ 1,401,231

CITY OF REDONDO BEACH

COMBINING STATEMENT OF CASH FLOWS

NONMAJOR ENTERPRISE FUNDS
YEAR ENDED JUNE 30, 2024
(159)
Business-Type Activities - Enterprise Funds
Solid Waste Transit Totals

CASH FLOWS FROM OPERATING ACTIVITIES
Cash Received from Customers and Users 6,995,332 $ 186,035 $ 7,181,367 $ Cash Paid to Suppliers for Goods and Services (6,061,241) (4,791,711) (10,852,952) Cash Paid to Employees for Services (809,542) (855,099) (1,664,641) Net Cash Provided (Used) by Operating Activities 124,549 (5,460,775) (5,336,226)

CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Cash Received from Other Funds - 2,140,580 2,140,580
Principal Paid on Noncapital Debt Issues (42,336) (37,044) (79,380) Interest Paid on Noncapital Debt (30,886) (26,936) (57,822) Grant Subsidies 27,206 5,005,329 5,032,535
Net Cash Provided (Used) by Noncapital
Financing Activities (46,016) 7,081,929 7,035,913

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Acquisition and Construction of Capital Assets (23,569) (615,740) (639,309) Net Cash Used by Capital and Related
Financing Activities (23,569) (615,740) (639,309)

NET INCREASE IN CASH AND
CASH EQUIVALENTS 54,964 1,005,414 1,060,378
Cash and Cash Equivalents - Beginning of Year 2,168,566 156,760 2,325,326 CASH AND CASH EQUIVALENTS - END OF YEAR $ 2,223,530 $ 1,162,174 $ 3,385,704

RECONCILIATION OF OPERATING INCOME (LOSS) TO

NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES
Operating Income (Loss) $ 389,165 $ (5,723,197) $ (5,334,032) Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities:

Depreciation 2,084 258,540 260,624
(Increase) Decrease In:

Accounts Receivable 5,676 (30,603) (24,927)
Taxes Receivable (1,116) - (1,116)
Deferred Outflow Pension Related Items 80,117 108,226 188,343 Deferred Outflow OPEB Related Items (2,741) 219 (2,522) Increase (Decrease) In:

Accounts Payable (365,623) (9,029) (374,652)
Unearned Revenue - (469) (469)
Net Pension Liability 51,182 13,255 64,437
Net OPEB Liability 2,250 (6,099) (3,849)
Deferred Inflow Pension Related Items (34,661) (30,775) (65,436) Deferred Inflow OPEB Related Items (10,325) (11,060) (21,385) Compensated Absences 8,541 (29,783) (21,242)
Net Cash Provided (Used) by Operating Activities $ 124,549 $ (5,460,775) $ (5,336,226)

CITY OF REDONDO BEACH

COMBINING STATEMENT OF NET POSITION

INTERNAL SERVICE FUNDS
JUNE 30, 2024
(160)
Governmental Activities - Internal Service Funds
Vehicle Building Information
Replacement Occupancy Technology
ASSETS
Current Assets:

Cash and Cash Equivalents 10,884,641 $ 2,568,660 $ 2,050,911 $ Receivables:

Accounts 54,454 - -
Due from Other Funds - - -
Total Current Assets 10,939,095 2,568,660 2,050,911
Noncurrent:

Capital Assets - Net of Accumulated Depreciation/Amortization 6,881,730 115,183 1,827,061 Total Noncurrent Assets 6,881,730 115,183 1,827,061
Total Assets 17,820,825 2,683,843 3,877,972

DEFERRED OUTFLOWS OF RESOURCES
Deferred Pension Related Items 245,707 596,345 563,441
Deferred OPEB Related Items 26,715 61,286 47,150
Total Deferred Outflows of Resources 272,422 657,631 610,591

LIABILITIES
Current Liabilities:

Accounts Payable 174,661 433,511 301,311
Accrued Interest 7,089 10,585 15,505
Accrued Compensated Absences 10,027 26,227 16,431
Accrued Claims and Judgments - - -
Long-Term Obligations - Due in One Year 77,537 88,334 275,018 Total Current Liabilities 269,314 558,657 608,265
Noncurrent Liabilities:

Accrued Compensated Absences 30,080 78,680 49,297
Accrued Claims and Judgments - - -
Long-Term Debt - Due in More than One Year 1,199,920 2,360,310 2,670,597 Net Pension Liability 157,133 381,370 360,327
Net OPEB Liability 83,123 190,688 146,704
Total Noncurrent Liabilities 1,470,256 3,011,048 3,226,925 Total Liabilities 1,739,570 3,569,705 3,835,190

DEFERRED INFLOWS OF RESOURCES
Deferred Pension Related Items 16,108 39,094 36,937
Deferred OPEB Related Items 22,232 51,002 39,238
Total Deferred Inflows of Resources 38,340 90,096 76,175

NET POSITION
Net Investment in Capital Assets 6,786,377 115,183 1,308,982 Unrestricted 9,528,960 (433,510) (731,784)
Total Net Position $ 16,315,337 $ (318,327) $ 577,198

CITY OF REDONDO BEACH

COMBINING STATEMENT OF NET POSITION (CONTINUED)

INTERNAL SERVICE FUNDS
JUNE 30, 2024
(161)
ASSETS
Current Assets:

Cash and Cash Equivalents
Receivables:

Accounts
Due from Other Funds
Total Current Assets
Noncurrent:

Capital Assets - Net of Accumulated Depreciation/Amortization Total Noncurrent Assets
Total Assets

DEFERRED OUTFLOWS OF RESOURCES
Deferred Pension Related Items
Deferred OPEB Related Items
Total Deferred Outflows of Resources

LIABILITIES
Current Liabilities:

Accounts Payable
Accrued Interest
Accrued Compensated Absences
Accrued Claims and Judgments
Long-Term Obligations - Due in One Year
Total Current Liabilities
Noncurrent Liabilities:

Accrued Compensated Absences
Accrued Claims and Judgments
Long-Term Debt - Due in More than One Year
Net Pension Liability
Net OPEB Liability
Total Noncurrent Liabilities
Total Liabilities

DEFERRED INFLOWS OF RESOURCES
Deferred Pension Related Items
Deferred OPEB Related Items
Total Deferred Inflows of Resources

NET POSITION
Net Investment in Capital Assets
Unrestricted
Total Net Position
Governmental Activities - Internal Service Funds
Self-Insurance Emergency Major Facilities
Program Communications Repair Totals
$ 4,891,668 9,743,683 $ 662,052 $ 30,801,615 $
- - - 54,454
- - - -
9,743,683 4,891,668 662,052 30,856,069
95,878 996,225 1,020,478 10,936,555
95,878 996,225 1,020,478 10,936,555
9,839,561 5,887,893 1,682,530 41,792,624
584,418 534,329 - 2,524,240
45,797 65,028 - 245,976
630,215 599,357 - 2,770,216
1,421,318 7 105,361 2,436,169
730 14,782 - 48,691
- 28,047 - 80,732
1,203,177 - - 1,203,177
6,092 126,871 - 573,852
2,631,317 169,707 105,361 4,342,621
- 84,137 - 242,194
23,199,925 - 23,199,925 -
162,780 3,266,019 - 9,659,626
505,388 483,735 - 1,887,953
142,497 202,333 - 765,345
24,010,590 4,036,224 - 35,755,043
26,641,907 4,205,931 105,361 40,097,664
17,681 12,771 - 122,591
38,113 54,116 - 204,701
55,794 66,887 - 327,292
95,878 980,775 915,117 10,202,312
(16,323,803) 1,233,657 662,052 (6,064,428)
$ (16,227,925) $ 2,214,432 $ 1,577,169 $ 4,137,884

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION

INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2024
(162)

OPERATING REVENUES
Sales and Service Charges
Miscellaneous
Total Operating Revenues

OPERATING EXPENSES
Administrative and General
Personnel Services
Contractual Services
Internal Service Charges
Depreciation and Amortization Expense
Total Operating Expenses

OPERATING INCOME (LOSS)

NONOPERATING REVENUES (EXPENSES)
Interest Revenue
Interest Expense
Gain (Loss) on Disposal of Capital Assets
Total Nonoperating Revenues (Expenses)

CHANGES IN NET POSITION
Net Position (Deficit) - Beginning of year

NET POSITION (DEFICIT) - END OF YEAR
Governmental Activities - Internal Service Funds
Vehicle Building Information
Replacement Occupancy Technology
$ 3,316,655 4,862,726 $ 4,243,192 $
216,228 695 140,750
5,078,954 3,317,350 4,383,942
1,581,921 1,583,562 545,299
654,914 1,453,604 1,047,201
17,291 343,514 2,068,335
403,277 465,981 557,676
1,189,704 19,903 312,854
3,847,107 3,866,564 4,531,365
1,231,847 (549,214) (147,423)
- - -
(34,478) (63,985) (70,060)
115,613 - -
81,135 (63,985) (70,060)
1,312,982 (613,199) (217,483)
15,002,355 294,872 794,681
$ 16,315,337 $ (318,327) $ 577,198

CITY OF REDONDO BEACH

COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION

INTERNAL SERVICE FUNDS (CONTINUED)
YEAR ENDED JUNE 30, 2024
(163)

OPERATING REVENUES
Sales and Service Charges
Miscellaneous
Total Operating Revenues

OPERATING EXPENSES
Administrative and General
Personnel Services
Contractual Services
Internal Service Charges
Depreciation and Amortization Expense
Total Operating Expenses

OPERATING INCOME (LOSS)

NONOPERATING REVENUES (EXPENSES)
Interest Revenue
Interest Expense
Gain (Loss) on Disposal of Capital Assets
Total Nonoperating Revenues (Expenses)

CHANGES IN NET POSITION
Net Position (Deficit) - Beginning of year

NET POSITION (DEFICIT) - END OF YEAR
Governmental Activities - Internal Service Funds
Self-Insurance Emergency Major Facilities
Program Communications Repair Totals
$ 2,554,415 1,822,687 $ 111,132 $ 16,910,807 $
4,938,438 - - 5,296,111
6,761,125 2,554,415 111,132 22,206,918
11,016,266 141,567 - 14,868,615
1,140,252 2,031,389 - 6,327,360
182,926 284,045 - 2,896,111
349,668 720,467 - 2,497,069
5,491 233,011 30,807 1,791,770
12,694,603 3,410,479 30,807 28,380,925
(5,933,478) (856,064) 80,325 (6,174,007)
47,385 - - 47,385
(4,441) (88,361) - (261,325)
- - - 115,613
42,944 (88,361) - (98,327)
(5,890,534) (944,425) 80,325 (6,272,334)
(10,337,391) 3,158,857 1,496,844 10,410,218
$ (16,227,925) $ 2,214,432 $ 1,577,169 $ 4,137,884

CITY OF REDONDO BEACH

COMBINING STATEMENT OF CASH FLOWS

INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2024
(164)
Governmental Activities - Internal Service Funds
Vehicle Building Information
Replacement Occupancy Technology

CASH FLOWS FROM OPERATING ACTIVITIES
Cash Received from Customers and Users 5,087,766 $ 3,317,350 $ 4,383,942 $ Cash Paid to Suppliers for Goods and Services (1,988,715) (2,040,173) (2,852,958) Cash Paid to Employees for Services (647,587) (1,438,233) (1,054,623) Net Cash Provided (Used) by Operating Activities 2,451,464 (161,056) 476,361

CASH FLOWS FROM NONCAPITAL FINANCING

ACTIVITIES
Principal Paid on Noncapital Debt (42,336) (87,696) (86,939) Interest Paid on Noncapital Debt (4,276) (63,938) (6,492) Net Cash Provided (Used) by Noncapital
Financing Activities (46,612) (151,634) (93,431)

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Acquisition and Construction of Capital Assets (2,251,939) - (137,107) Principal Paid on Capital Debt (36,200) - (225,353)
Interest Paid on Capital Debt (30,909) - (59,291)
Proceeds from Sale of Capital Assets 115,613 - -
Net Cash Provided (Used) by Capital and Related
Financing Activities (2,203,435) - (421,751)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest Received - - -
Net Cash Provided (Used) by Investing Activities - - -

NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS 201,417 (312,690) (38,821)
Cash and Cash Equivalents - Beginning of Year 10,683,224 2,881,350 2,089,732 CASH AND CASH EQUIVALENTS - END OF YEAR $ 10,884,641 $ 2,568,660 $ 2,050,911

NONCASH CAPITAL AND FINANCING ACTIVITIES
Qualifying Lease/Subscription Contracts $ - $ - $ 646,240

RECONCILIATION OF OPERATING INCOME TO

NET CASH PROVIDED BY OPERATING ACTIVITIES
Operating Income (Loss) $ 1,231,847 $ (549,214) $ (147,423) Adjustments to Reconcile Operating Income to Net
Cash Provided (Used) by Operating Activities:

Depreciation and Amortization 1,189,704 19,903 312,854
Loss on CIP write-off - - -
(Increase) Decrease In:

Accounts Receivable 8,812 - -
Deferred Outflow Pension Related Items 103,926 167,946 173,420 Deferred Outflow OPEB Related Items 746 (4,758) 5,426
Prepaid Expenses - - 11,910
Increase (Decrease) In:

Accounts Payable (53,280) 202,977 186,899
Claims and Judgments - - -
Net Pension Liability 9,657 58,991 49,519
Net OPEB Liability (7,529) 4,080 (26,856)
Deferred Inflow Pension Related Items (28,670) (58,789) (57,433) Deferred Inflow OPEB Related Items (11,076) (17,563) (24,533) Compensated Absences 7,327 15,371 (7,422)
Net Cash Provided (Used) by Operating Activities $ 2,451,464 $ (161,056) $ 476,361

CITY OF REDONDO BEACH

COMBINING STATEMENT OF CASH FLOWS (CONTINUED)

INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2024
(165)

CASH FLOWS FROM OPERATING ACTIVITIES
Cash Received from Customers and Users
Cash Paid to Suppliers for Goods and Services
Cash Paid to Employees for Services
Net Cash Provided (Used) by Operating Activities

CASH FLOWS FROM NONCAPITAL FINANCING

ACTIVITIES
Principal Paid on Noncapital Debt
Interest Paid on Noncapital Debt
Net Cash Provided (Used) by Noncapital
Financing Activities

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Acquisition and Construction of Capital Assets
Principal Paid on Capital Debt
Interest Paid on Capital Debt
Proceeds from Sale of Capital Assets
Net Cash Provided (Used) by Capital and Related
Financing Activities

CASH FLOWS FROM INVESTING ACTIVITIES
Interest Received
Net Cash Provided (Used) by Investing Activities

NET INCREASE (DECREASE) IN CASH AND

CASH EQUIVALENTS
Cash and Cash Equivalents - Beginning of Year

CASH AND CASH EQUIVALENTS - END OF YEAR

NONCASH CAPITAL AND FINANCING ACTIVITIES
Qualifying Lease/Subscription Contracts

RECONCILIATION OF OPERATING INCOME TO

NET CASH PROVIDED BY OPERATING ACTIVITIES
Operating Income (Loss)
Adjustments to Reconcile Operating Income to Net
Cash Provided (Used) by Operating Activities:

Depreciation and Amortization
Loss on CIP write-off
(Increase) Decrease In:

Accounts Receivable
Deferred Outflow Pension Related Items
Deferred Outflow OPEB Related Items
Prepaid Expenses
Increase (Decrease) In:

Accounts Payable
Claims and Judgments
Net Pension Liability
Net OPEB Liability
Deferred Inflow Pension Related Items
Deferred Inflow OPEB Related Items
Compensated Absences
Net Cash Provided (Used) by Operating Activities
Governmental Activities - Internal Service Funds
Self-Insurance Emergency Major Facilities
Program Communications Repair Totals
$ 10,242,841 $ 2,554,415 $ 111,132 $ 25,697,446
(12,808,362) (1,113,591) (79,183) (20,882,982)
(1,140,252) (2,026,566) - (6,307,261)
(3,705,773) (585,742) 31,949 (1,492,797)
(6,048) (120,960) - (343,979)
(4,438) (88,114) - (167,258)
(10,486) (209,074) - (511,237)
- (44,899) (413,660) (2,847,605)
- (5,994) - (267,547)
- - - (90,200)
- - - 115,613
- (50,893) (413,660) (3,089,739)
47,385 - - 47,385
47,385 - - 47,385
(3,668,874) (845,709) (381,711) (5,093,773)
13,412,557 5,737,377 1,043,763 35,848,003
$ 9,743,683 $ 4,891,668 $ 662,052 $ 30,754,230
$ - $ 21,444 $ - $ 667,684
$ (5,933,478) $ (856,064) $ 80,325 $ (6,174,007)
5,491 233,011 30,807 1,791,770
45,362 - - 45,362
- - - 8,812
(476,003) (23,499) - (54,210)
(40,056) (5,788) - (44,430)
- - - 11,910
(1,406,957) (94,254) (79,183) (1,243,798)
3,481,716 - - 3,481,716
459,659 177,771 - 755,597
123,547 6,774 - 100,016
3,796 (10,778) - (151,874)
31,150 (17,738) - (39,760)
- 4,823 - 20,099
$ (3,705,773) $ (585,742) $ 31,949 $ (1,492,797)
(166)

STATISTICAL INFORMATION
(UNAUDITED)

CITY OF REDONDO BEACH

NET POSITION BY COMPONENT

LAST TEN FISCAL YEARS
(ACCRUAL BASIS OF ACCOUNTING)
(167)
Fiscal Year
2024 2023 2022 2021 2020
Governmental Activities
Net Investment in Capital Assets 188,122,322 $ 189,024,081 $ 146,082,092 $ 164,993,054 $ 155,670,310 $ Restricted 30,222,338 29,038,880 31,365,112 27,392,685 29,323,216 Unrestricted (175,863,660) (163,871,388) (134,974,819) (175,501,877) (169,266,411) Total Governmental Activities
Net Position $ 42,481,000 $ 54,191,573 $ 42,472,385 $ 16,883,862 $ 15,727,115 Business-Type Activities
Net Investment in Capital Assets $ 71,887,538 $ 66,054,613 $ 60,441,156 $ 59,334,911 $ 58,077,077 Restricted - - - - -
Unrestricted 10,388,734 16,395,109 18,369,052 16,913,909 18,858,253 Total Business-Type Activities
Net Position $ 82,276,272 $ 82,449,722 $ 78,810,208 $ 76,248,820 $ 76,935,330 Primary Government
Net Investment in Capital Assets 260,009,860 $ 255,078,694 $ 206,523,248 $ 224,327,965 $ 213,747,387 $ Restricted 30,222,338 29,038,880 31,365,112 27,392,685 29,323,216 Unrestricted (165,474,926) (147,476,279) (116,605,767) (158,587,968) (150,408,158) Total Primary Government
Net Position $ 124,757,272 $ 136,641,295 $ 121,282,593 $ 93,132,682 $ 92,662,445 Source: City of Redondo Beach Comprehensive Annual Financial Report, Government-Wide Financial Statements

CITY OF REDONDO BEACH

NET POSITION BY COMPONENT (CONTINUED)

LAST TEN FISCAL YEARS
(ACCRUAL BASIS OF ACCOUNTING)
(168)
Governmental Activities
Net Investment in Capital Assets
Restricted
Unrestricted
Total Governmental Activities
Net Position
Business-Type Activities
Net Investment in Capital Assets
Restricted
Unrestricted
Total Business-Type Activities
Net Position
Primary Government
Net Investment in Capital Assets
Restricted
Unrestricted
Total Primary Government
Net Position
Fiscal Year
2019 2018 2017 2016 2015
$ 147,571,518 $ 147,515,377 $ 139,053,697 $ 135,628,091 $ 139,555,634 36,179,269 24,348,682 22,833,987 26,346,341 16,503,649
(150,061,607) (118,477,214) (83,567,317) (81,186,849) (85,699,247) $ 33,689,180 $ 53,386,845 $ 78,320,367 $ 80,787,583 $ 70,360,036 $ 44,986,964 $ 43,285,102 $ 37,169,598 $ 37,542,589 $ 37,629,261 - - - - -
23,360,854 24,562,294 28,549,056 24,136,647 18,257,918
$ 68,347,818 $ 67,847,396 $ 65,718,654 $ 61,679,236 $ 55,887,179 $ 194,558,482 $ 190,800,479 $ 176,223,295 $ 173,170,680 $ 177,184,895 36,179,269 24,348,682 22,833,987 26,346,341 16,503,649
(126,700,753) (93,914,920) (55,018,261) (57,050,202) (67,441,329) $ 104,036,998 $ 121,234,241 $ 144,039,021 $ 142,466,819 $ 126,247,215 Source: City of Redondo Beach Comprehensive Annual Financial Report, Government-Wide Financial Statements

CITY OF REDONDO BEACH

CHANGES IN NET POSITION

LAST TEN FISCAL YEARS
(ACCRUAL BASIS OF ACCOUNTING)
(169)
Fiscal Year
2024 2023 2022 2021 2020

EXPENSES
Governmental Activities:

General Government 8,920,293 $ 8,875,247 $ 10,676,673 $ 11,692,177 $ 13,574,385 $ Public Safety 76,577,489 77,329,726 50,336,195 68,527,338 71,807,026 Housing and Community Development 15,558,950 10,119,877 12,241,640 11,119,995 11,456,603 Cultural and Leisure Services 12,428,392 11,227,624 11,259,954 10,033,842 11,810,514 Public Works 17,338,480 11,459,350 17,327,400 14,439,178 15,373,701 Interest on Long-Term Debt 6,373,477 6,046,346 7,161,637 1,117,677 1,272,259 Total Governmental Activities Expenses 137,197,081 125,058,170 109,003,499 116,930,207 125,294,488 Business-Type Activities:

Harbor Tidelands 12,448,283 6,414,101 7,593,555 4,636,895 9,067,251 Harbor Uplands 7,325,917 3,877,153 5,671,184 5,898,608 4,707,797 Wastewater 4,081,219 4,852,027 2,766,293 3,319,536 3,809,885 Solid Waste 6,632,516 5,627,344 5,270,585 5,115,305 4,894,581 Transit 5,967,261 5,819,936 4,437,245 4,440,739 3,975,884 Total Business-Type Activities Expenses 36,455,196 26,590,561 25,738,862 23,411,083 26,455,398 Total Primary Government Expenses 173,652,277 151,648,731 134,742,361 140,341,290 151,749,886

PROGRAM REVENUES
Governmental Activities:

Charges for Services:

General Government 2,268,072 11,449,964 17,442,962 10,760,125 10,699,014 Public Safety 5,754,175 5,214,506 6,389,408 6,414,431 4,922,828 Housing and Community Development 4,331,471 5,923,067 3,426,571 3,274,369 3,189,541 Cultural and Leisure Services 10,169,027 10,742,331 7,840,440 6,182,448 6,609,840 Public Works 3,441,632 2,953,076 2,420,262 3,447,892 2,297,396 Operating Grants and Contributions 15,605,821 16,501,962 14,317,249 14,547,505 10,326,680 Capital Grants and Contributions 8,351,492 3,088,905 7,786,097 2,285,961 2,882,105 Total Governmental Activities Program Revenues 49,921,690 55,873,811 59,622,989 46,912,731 40,927,404 Business-Type Activities:

Charges for Services:

Harbor Tidelands 8,702,859 7,624,821 7,611,643 4,816,599 5,729,264 Harbor Uplands 7,350,413 5,754,907 6,239,484 4,945,241 4,886,188 Wastewater 5,644,278 5,433,482 5,417,916 5,487,873 5,523,009 Solid Waste 6,990,772 6,141,657 5,549,427 4,780,684 4,330,439 Transit 217,107 165,196 280 250,758 -
Operating Grants and Contributions 3,382,921 4,191,328 4,291,625 2,853,567 2,958,743 Capital Grants and Contributions - - - - -
Total Business-Type Activities Program Revenues 32,288,350 29,311,391 29,110,375 22,883,964 23,678,401 Total Primary Government Program Revenues 82,210,040 85,185,202 88,733,364 69,796,695 64,605,805 Net (Expense) Revenue:

Governmental Activities (87,275,391) (69,184,359) (49,380,510) (70,017,476) (84,367,084) Business-Type Activities (4,166,846) 2,720,830 3,371,513 (527,119) (2,776,997) Total Primary Government Net Expense (91,442,237) (66,463,529) (46,008,997) (70,544,595) (87,144,081) Source: City of Redondo Beach Comprehensive Annual Financial Report, Government-Wide Financial Statements

CITY OF REDONDO BEACH

CHANGES IN NET POSITION (CONTINUED)

LAST TEN FISCAL YEARS
(ACCRUAL BASIS OF ACCOUNTING)
(170)

EXPENSES
Governmental Activities:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Interest on Long-Term Debt
Total Governmental Activities Expenses
Business-Type Activities:

Harbor Tidelands
Harbor Uplands
Wastewater
Solid Waste
Transit
Total Business-Type Activities Expenses
Total Primary Government Expenses

PROGRAM REVENUES
Governmental Activities:

Charges for Services:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Operating Grants and Contributions
Capital Grants and Contributions
Total Governmental Activities Program Revenues
Business-Type Activities:

Charges for Services:

Harbor Tidelands
Harbor Uplands
Wastewater
Solid Waste
Transit
Operating Grants and Contributions
Capital Grants and Contributions
Total Business-Type Activities Program Revenues
Total Primary Government Program Revenues
Net (Expense) Revenue:

Governmental Activities
Business-Type Activities
Total Primary Government Net Expense
Fiscal Year
2019 2018 2017 2016 2015
$ 12,380,308 $ 14,142,348 $ 10,846,646 $ 10,946,935 $ 10,293,394 62,740,166 60,845,022 55,489,827 46,362,851 47,331,250
11,460,619 11,797,299 9,769,288 8,936,256 9,229,689
12,296,505 14,539,255 12,496,716 11,556,891 10,990,481
14,655,265 16,496,964 14,135,326 12,616,719 15,500,144
641,587 51,658 80,782 124,522 152,348
114,174,450 117,872,546 102,818,585 90,544,174 93,497,306 9,433,807 7,035,921 6,395,134 5,652,988 5,279,836
5,016,104 3,224,093 4,479,269 4,469,890 4,230,371
3,406,302 3,667,593 2,917,527 2,144,353 2,022,271
4,690,425 3,968,186 3,973,666 3,763,513 3,506,271
4,004,654 3,844,008 3,626,075 3,536,593 3,366,535
26,551,292 21,739,801 21,391,671 19,567,337 18,405,284
140,725,742 139,612,347 124,210,256 110,111,511 111,902,590 9,769,717 8,305,869 8,570,506 8,689,834 9,083,395
5,766,102 5,310,033 4,764,211 4,503,948 4,611,279
3,491,863 3,458,586 3,577,756 2,160,284 2,681,729
7,283,873 6,709,262 5,837,816 6,606,802 6,733,424
2,737,458 2,459,268 2,579,475 2,334,537 2,154,679
10,151,972 8,090,195 8,563,072 8,135,187 8,170,736
485,693 1,872,910 492,146 912,045 2,310,026
39,686,678 36,206,123 34,384,982 33,342,637 35,745,268
4,886,188 6,129,658 6,694,914 6,483,927 6,526,625
6,129,658 5,267,564 5,378,886 5,314,448 4,585,998
5,419,215 5,575,855 5,546,090 5,618,086 5,433,185
3,965,662 3,836,976 3,792,964 3,832,166 3,569,336
338,835 336,962 344,071 366,314 360,519
2,362,021 2,247,490 1,888,902 2,200,958 1,848,671
- - - - -
23,101,579 23,394,505 23,645,827 23,815,899 22,324,334
62,788,257 59,600,628 58,030,809 57,158,536 58,069,602
(74,487,772) (81,666,423) (68,433,603) (57,201,537) (57,752,038) (1,621,138) 2,090,665 2,254,156 4,248,562 3,919,050
(76,108,910) (79,575,758) (66,179,447) (52,952,975) (53,832,988) Source: City of Redondo Beach Comprehensive Annual Financial Report, Government-Wide Financial Statements

CITY OF REDONDO BEACH

CHANGES IN NET POSITION (CONTINUED)

LAST TEN FISCAL YEARS
(ACCRUAL BASIS OF ACCOUNTING)
(171)
Fiscal Year
2024 2023 2022 2021 2020

GENERAL REVENUES AND OTHER CHANGES

IN NET POSITION
Governmental Activities:

Taxes:

Property Taxes, Levied for General Purpose 48,021,316 $ 45,649,338 $ 44,424,757 $ 43,705,194 $ 39,774,170 $ Transient Occupancy Taxes 9,114,545 6,174,326 5,419,197 3,400,322 6,335,445 Sales Taxes 10,822,480 11,036,523 11,813,896 10,018,217 9,716,883 Franchise Taxes 1,964,410 2,131,206 1,864,336 1,731,846 1,706,355 Business Licenses Taxes 1,266,051 1,301,224 1,193,814 1,211,539 1,251,673 Utility Users Taxes 8,481,267 9,166,031 8,024,511 6,713,480 6,824,873 Other Taxes 1,118,398 1,173,417 1,133,754 1,019,041 969,721 Motor Vehicle in Lieu 86,764 72,000 77,111 49,136 54,193 Investment Earnings 6,575,739 3,558,292 69,136 1,408,878 5,219,501 Other Revenues - 470,103 714,946 1,642,581 1,640,662
Gain (Loss) on Sale of Capital Assets 115,613 17,785 - - - Special Item - - - (1,595,860) -
Transfers (487,401) 138,511 233,575 273,989 (7,492,597) Total Governmental Activities 87,079,182 80,888,756 74,969,033 71,174,223 64,405,019 Business-Type Activities:

Investment Income 2,427,116 1,055,954 (576,550) (72,233) 1,563,880 Gain (Loss) on Sale of Capital Assets - 1,241 - - -
Other Revenues - - 186,831 - 712,172
Special Item - - - 1,595,860 -
Transfers 487,401 (138,511) (233,575) (273,989) 7,492,597 Total Business-Type Activities 2,914,517 918,684 (810,125) (159,391) 11,364,509 Total Primary Government Activities 89,993,699 81,807,440 74,158,908 71,014,832 75,769,528 Change in Net Position:

Governmental Activities (196,209) 11,704,397 25,588,523 1,156,747 (19,962,065) Business-Type Activities (1,252,329) 3,639,514 2,561,388 (686,510) 8,587,512 Total Primary Government $ (1,448,538) $ 15,343,911 $ 28,149,911 $ 470,237 $ (11,374,553) Source: City of Redondo Beach Comprehensive Annual Financial Report, Government-Wide Financial Statements

CITY OF REDONDO BEACH

CHANGES IN NET POSITION (CONTINUED)

LAST TEN FISCAL YEARS
(ACCRUAL BASIS OF ACCOUNTING)
(172)

GENERAL REVENUES AND OTHER CHANGES

IN NET POSITION
Governmental Activities:

Taxes:

Property Taxes, Levied for General Purpose
Transient Occupancy Taxes
Sales Taxes
Franchise Taxes
Business Licenses Taxes
Utility Users Taxes
Other Taxes
Motor Vehicle in Lieu
Investment Earnings
Other Revenues
Gain (Loss) on Sale of Capital Assets
Special Item
Transfers
Gain (Loss) on Dissolution of Redevelopment Agency
Total Governmental Activities
Business-Type Activities:

Investment Earnings
Gain (Loss) on Sale of Capital Assets
Other Revenues
Special Item
Transfers
Total Business-Type Activities
Total Primary Government Activities
Change in Net Position:

Governmental Activities
Business-Type Activities
Total Primary Government
Fiscal Year
2019 2018 2017 2016 2015
$ 36,847,562 38,249,535 $ 34,375,818 $ 32,766,493 $ 31,424,789 $ 8,816,739 9,172,934 7,689,889 8,627,801 4,464,811
10,578,527 10,185,208 10,059,087 12,347,884 11,889,190
1,647,287 1,896,809 1,706,371 1,963,752 1,981,936
1,295,050 1,322,333 1,201,068 1,186,567 1,178,016
6,757,622 6,928,129 7,085,063 7,411,930 7,664,385
917,102 632,084 731,571 - 5,149
32,965 36,272 31,132 27,475 27,910
5,483,218 3,134,966 3,038,633 1,184,588 1,069,970
2,314,681 1,407,243 1,521,902 2,826,066 2,271,960
19,352 - - 71,254 27,676
(18,823,249) - - - -
(498,722) (1,106,621) (1,474,147) (784,726) (1,462,139) - - - - -
56,790,107 70,456,919 65,966,387 67,629,084 60,543,653
1,442,556 237,280 99,085 450,632 237,235
244 - 5,606 11,868 -
180,038 282,370 206,424 296,269 375,982
- - - - -
498,722 1,106,621 1,474,147 784,726 1,462,139
2,121,560 1,626,271 1,785,262 1,543,495 2,075,356
58,911,667 72,083,190 67,751,649 69,172,579 62,619,009
(17,697,665) (11,209,504) (2,467,216) 10,427,547 2,791,615 500,422 3,716,936 4,039,418 5,792,057 5,994,406
$ (17,197,243) $ (7,492,568) $ 1,572,202 $ 16,219,604 $ 8,786,021 Source: City of Redondo Beach Comprehensive Annual Financial Report, Government-Wide Financial Statements

CITY OF REDONDO BEACH

FUND BALANCES OF GOVERNMENTAL FUNDS

LAST TEN FISCAL YEARS
(MODIFIED ACCRUAL BASIS OF ACCOUNTING)
(173)
Fiscal Year
2024 2023 2022 2021 2020
General Fund:

Nonspendable $ 168,352 $ 169,999 $ 71,426 $ 89,771 $ 107,697 Restricted - - - - -
Committed 8,599,208 8,599,208 8,599,208 7,241,252 7,585,231 Assigned 25,968,072 24,228,260 20,421,828 8,908,619 9,149,145 Unassigned 1,531,260 190,951 271,557 2,039,523 704,067
Total General Fund $ 36,266,892 $ 33,188,418 $ 29,364,019 $ 18,279,165 $ 17,546,140 All Other Governmental Funds:

Nonspendable $ - $ - $ - $ - $ -
Restricted 30,511,993 29,038,880 22,498,317 23,255,534 25,180,005 Assigned 11,118,944 12,960,508 15,208,719 8,013,238 9,708,041 Unassigned (6,458,252) (6,081,314) (69,761) (310,276) (878,585) Total All Other Governmental
Funds $ 35,172,685 $ 35,918,074 $ 37,637,275 $ 30,958,496 $ 34,009,461 Source: City of Redondo Beach Comprehensive Annual Financial Report, Governmental Fund Statements

CITY OF REDONDO BEACH

FUND BALANCES OF GOVERNMENTAL FUNDS (CONTINUED)

LAST TEN FISCAL YEARS
(MODIFIED ACCRUAL BASIS OF ACCOUNTING)
(174)
General Fund:

Nonspendable
Restricted
Committed
Assigned
Unassigned
Total General Fund
All Other Governmental Funds:

Nonspendable
Restricted
Assigned
Unassigned
Total All Other Governmental
Funds
Fiscal Year
2019 2018 2017 2016 2015
$ 980,737 $ 93,705 $ 1,013,152 $ 87,345 $ 90,836
- - - 3,000,000 -
7,989,184 7,605,573 7,409,689 7,154,237 6,738,848
10,999,817 9,431,007 9,134,516 9,303,536 10,500,675
753,238 653,649 945,992 1,694,671 5,786,193
$ 20,722,976 $ 17,783,934 $ 18,503,349 $ 21,239,789 $ 23,116,552 $ - $ - $ - $ - $ 2,749,394
17,751,026 20,061,786 18,625,842 22,309,801 12,107,627
2,352,347 2,152,347 2,152,347 2,150,834 6,466,871
(403) (5,146) (66,919) (106,954) (64,425)
$ 20,102,970 $ 22,208,987 $ 20,711,270 $ 24,353,681 $ 21,259,467 Source: City of Redondo Beach Comprehensive Annual Financial Report, Governmental Fund Statements

CITY OF REDONDO BEACH

CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS

LAST TEN FISCAL YEARS
(MODIFIED ACCRUAL BASIS OF ACCOUNTING)
(175)
Fiscal Year
2024 2023 2022 2021 2020
Revenues:

Taxes 80,788,467 $ 76,632,065 $ 73,874,265 $ 67,799,639 $ 66,579,120 $ Interdepartmental - 8,745,517 10,034,053 9,379,851 9,417,289 Licenses and Permits 2,386,229 2,607,527 1,731,398 1,641,684 1,503,909 Intergovernmental 30,801,108 26,443,713 29,628,555 19,252,605 18,215,129 Charges for Services 12,003,162 11,805,303 10,895,140 8,482,823 8,851,688 Use of Money and Property 6,528,355 3,558,292 69,136 1,408,878 5,219,501 Fines and Forfeitures 1,302,666 1,347,895 1,247,572 1,331,574 1,163,678 Other Revenues 4,099,103 6,049,378 3,727,529 6,194,701 3,835,968 Total Revenues 137,909,090 137,189,690 131,207,648 115,491,755 114,786,282 Expenditures:

Current:

General Government 9,734,103 11,874,752 24,894,820 11,365,610 12,701,080 Public Safety 55,693,349 56,313,610 209,643,074 60,812,252 61,281,401 Housing and Community Development 12,777,662 11,686,810 16,644,042 10,936,532 11,075,922 Cultural and Leisure Services 11,359,717 11,603,710 15,492,140 9,364,095 10,466,375 Public Works 11,319,451 12,372,547 23,081,641 11,522,810 11,543,612 Capital Outlay 19,465,587 20,838,116 14,567,037 13,563,804 19,525,792 Debt Service:

Principal 7,879,970 7,619,104 812,926 555,000 795,000
Interest 5,906,263 5,937,747 6,046,920 1,095,981 1,322,680 Total Expenditures 134,136,102 138,246,396 311,182,600 119,216,084 128,711,862 Excess (Deficiency) of Revenues
Over Expenditures 3,772,988 (1,056,706) (179,974,952) (3,724,329) (13,925,580) Other Financing Sources (Uses):

Transfers In 15,627,017 16,012,542 10,782,356 10,407,106 4,918,105 Transfers Out (16,114,418) (15,853,941) (10,548,781) (10,335,494) (3,410,702) Leases/Subscription Financing 629,752 980,472 2,245,558 - - Other Debts Issued - 197,138,488 - - -
Bond Premium - - - - -
Total Other Financing Sources
(Uses) 142,351 1,139,073 199,617,621 71,612 1,507,403
Special Item - - - - -
Net Change in Fund Balances $ 3,915,339 $ 82,367 $ 19,642,669 $ (3,652,717) $ (12,418,177) Debt Service as a Percentage of Noncapital
Expenditures 12.98% 13.05% 2.37% 1.59% 1.98%
Source: City of Redondo Beach Comprehensive Annual Financial Report, Government-Wide Financial Statements

CITY OF REDONDO BEACH

CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS (CONTINUED)

LAST TEN FISCAL YEARS
(MODIFIED ACCRUAL BASIS OF ACCOUNTING)
(176)
Revenues:

Taxes
Interdepartmental
Licenses and Permits
Intergovernmental
Charges for Services
Use of Money and Property
Fines and Forfeitures
Other Revenues
Total Revenues
Expenditures:

Current:

General Government
Public Safety
Housing and Community Development
Cultural and Leisure Services
Public Works
Capital Outlay
Debt Service:

Principal
Interest
Debt Issuance Costs
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenditures
Other Financing Sources (Uses):

Transfers In
Transfers Out
Leases
Refunding Bond Issued
Other Debts Issued
Bond Premium
Refunding Bonds Redeemed
Gain (Loss) on Redevelopment Agency
Dissolution
Total Other Financing Sources
(Uses)
Special Item
Net Change in Fund Balances
Debt Service as a Percentage of Noncapital
Expenditures
Fiscal Year
2019 2018 2017 2016 2015
$ 68,325,779 $ 67,323,695 $ 62,848,867 $ 64,304,427 $ 58,603,127 8,503,283 8,170,297 8,292,178 8,176,790 7,588,928
1,555,407 1,801,502 1,755,119 1,701,786 1,333,512
15,303,534 12,574,428 12,359,047 12,259,088 14,091,278
10,211,917 9,732,500 9,128,589 9,618,003 8,511,455
5,483,218 3,134,966 3,038,633 3,113,269 2,795,350
1,489,424 1,368,615 1,523,928 1,645,777 1,960,083
5,049,393 2,498,976 2,540,369 678,261 2,147,500
115,921,955 106,604,979 101,486,730 101,497,401 97,031,233 11,546,126 9,920,879 10,535,983 10,189,258 9,757,869
58,235,693 57,451,797 52,875,881 50,019,597 48,274,212
11,185,303 10,156,777 9,759,833 9,546,763 8,883,086
11,979,745 11,598,804 11,265,379 11,001,375 10,023,420
11,004,195 11,016,488 11,235,682 11,198,389 10,325,935
5,142,247 7,442,754 4,682,977 3,235,047 7,382,451
805,000 775,000 745,000 715,000 695,000
412,427 89,856 121,999 152,896 187,296
- - - - -
110,310,736 108,452,355 101,222,734 96,058,325 95,529,269 5,611,219 (1,847,376) 263,996 5,439,076 1,501,964
3,701,950 2,326,416 4,031,647 8,464,353 1,394,604
(3,607,949) (3,372,317) (5,324,544) (9,366,070) (3,150,572) - - - - -
- - - - -
28,015,000 - - - -
(745,056) - - - -
- - - - -
- - - - -
27,363,945 (1,045,901) (1,292,897) (901,717) (1,755,968) (18,823,249) - - - -
$ 14,151,915 $ (2,893,277) $ (1,028,901) $ 4,537,359 $ (254,004)

1.17% 0.86% 0.91% 0.94% 1.01%
Source: City of Redondo Beach Comprehensive Annual Financial Report, Government-Wide Financial Statements

CITY OF REDONDO BEACH

ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY

LAST TEN FISCAL YEARS
(177)
City
Taxable
Fiscal Year Less: Assessed
Ended June 30 Secured Unsecured Exemptions Value
2015 $ 12,740,467,541 $ 424,217,169 $ (73,103,981) $ 13,091,580,729 2016 13,389,390,286 445,897,750 (74,129,707) 13,761,158,329 2017 14,185,826,554 422,121,124 (72,679,071) 14,535,268,607 2018 14,985,005,088 475,749,665 (72,464,646) 15,388,290,107 2019 15,796,994,740 475,845,459 (72,083,515) 16,200,756,684 2020 16,570,567,490 495,949,088 (43,871,304) 17,022,645,274 2021 17,457,397,477 537,895,062 (55,071,992) 17,940,220,547 2022 18,203,914,759 581,594,262 (79,188,547) 18,706,320,474 2023 19,357,977,502 637,683,663 (101,991,595) 19,893,669,570 2024 20,441,714,680 649,480,661 (94,847,093) 20,996,348,248 In 1978 the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1% based upon the assessed value of the property being taxed. Each year, the assessed value of property may be increased by an "inflation factor" (limited to a maximum increase of 2%). With few exceptions, property is only re-assessed at the time that it is sold to a new owner. At that point, the new assessed value is reassessed at the purchase price of the property sold. The assessed valuation data shown above represents the only data currently available with respect to the actual market value of taxable property and is subject to the limitations described above.

Source: HdL Coren & Cone, Los Angeles County Auditor-Controller/Tax Division Combined Tax Rolls

CITY OF REDONDO BEACH

ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY (CONTINUED)

LAST TEN FISCAL YEARS
(178)
Redevelopment
Taxable Total
Fiscal Year Less: Assessed Direct
Ended June 30 Secured Unsecured Exemptions Value Tax Rate 2015 $ 470,317,505 $ 55,967,662 $ (221,000) $ 526,064,167 0.15797 2016 481,010,582 48,097,617 - 529,108,199 0.15808
2017 492,828,395 26,806,104 - 519,634,499 0.15834
2018 502,042,344 27,984,358 - 530,026,702 0.15871
2019 522,861,449 26,288,663 - 549,150,112 0.15883
2020 533,318,662 25,264,657 - 558,583,319 0.16317
2021 683,183,671 22,737,911 - 705,921,582 0.16331
2022 537,056,295 19,303,263 - 556,359,558 0.14634
2023 599,090,312 19,730,213 - 618,820,525 0.16353
2024 611,072,093 21,300,750 - 632,372,843 0.16365
In 1978 the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1% based upon the assessed value of the property being taxed. Each year, the assessed value of property may be increased by an "inflation factor" (limited to a maximum increase of 2%). With few exceptions, property is only re-assessed at the time that it is sold to a new owner. At that point, the new assessed value is reassessed at the purchase price of the property sold. The assessed valuation data shown above represents the only data currently available with respect to the actual market value of taxable property and is subject to the limitations described above.

Source: HdL Coren & Cone, Los Angeles County Auditor-Controller/Tax Division Combined Tax Rolls

CITY OF REDONDO BEACH

DIRECT AND OVERLAPPING PROPERTY TAX RATES

LAST TEN FISCAL YEARS
(RATE PER $100 OF TAXABLE VALUE)
(179)
Fiscal Year
2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
City Basic Rate 0.16539 0.16539 0.16539 0.16539 0.16539 0.16539 0.16539 0.16539 0.16539 0.16539 Overlapping Rates:

Los Angeles County
Detention Facilities
1987 Debt 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 Flood Control 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 Metropolitan Water District 0.00350 0.00350 0.00350 0.00350 0.00350 0.00350 0.00350 0.00350 0.00350 0.00350 Community Collect 0.02116 0.02299 0.02264 0.02362 0.02155 0.02223 0.02120 0.02294 0.01745 0.01742 Unified School District 0.07234 0.07711 0.07201 0.08430 0.08428 0.08086 0.08630 0.09079 0.09174 0.09689 Total Direct Rate 0.16365 0.16353 0.16340 0.16331 0.16317 0.15883 0.15871 0.15834 0.15808 0.15797 NOTES:

General fund tax rates are representative and based upon the direct and overlapping rates for the largest general fund tax rate area (TRA) by net taxable value.

Total Direct Rate is the weighted average of all individual direct rates applied by the City of Redondo Beach.

RDA rate is based on the largest RDA tax rate area (TRA) and includes only rate(s) from indebtedness adopted prior to 1969 per California State statute.

RDA direct and overlapping rates are applied only to the incremental property values.

In 1978, California voters passed Proposition 13 which set the property tax rate at a 1.00% fixed amount. This 1.00% is shared by all taxing agencies for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage to assessed property values for the payment of any voter approved bonds.

Source: HdL Coren & Cone, Los Angeles County Assessor
Tax Rate Table

CITY OF REDONDO BEACH

PRINCIPAL PROPERTY TAXPAYERS

CURRENT YEAR AND NINE YEARS AGO
(180)
2024 2015
Percent of Percent of
Total Total
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Value Value Value
Northrop Grumman Systems Corporation $ 615,706,082 2.85% 481,690,805 $ 3.54% South Bay Center SPE LLC * 307,310,873 1.42% 231,695,543 1.70% Rexford Industrial 2410 Santa Fe LLC 107,262,448 0.50% - 0.00% Ray Pellegrino Trust * 83,611,094 0.39% - 0.00%
The Kobe Group Inc 83,535,077 0.39% 70,897,625 0.52%
Extra Space Properties Two LLC 79,962,770 0.37% - 0.00% Noble House Recp Hotel Venture LLC 77,219,493 0.36% 64,693,705 0.48% 9300 Willshire LLC ET AL * 69,412,470 0.32% - 0.00%
Redondo Beach Distribution Center LLC 58,825,775 0.27% - 0.00% LPF Redondo Beach Inc * 53,919,852 0.25% 45,762,228 0.34% AES Redondo Beach LLC 0.00% 145,825,701 1.07%
HPT IHG 2 Properties Trust * - 0.00% 44,733,208 0.33%
MKEG P LLC - 0.00% 38,661,134 0.28%
Lightning PropCo I LLC - 0.00% 35,356,702 0.26%
SCG 616 Esplanade Street LLC - 0.00% 34,297,765 0.25%
Total $ 1,536,765,934 7.11% 1,193,614,416 $ 8.77%
NOTE:

The amounts shown above include assessed value date for both the City and the Successor Agency (former Redevelopment Agency). * (Pending appeals on parcels)
Source: HdL Coren & Cone, Los Angeles County Assessor Combined Tax Rolls

CITY OF REDONDO BEACH

PROPERTY TAX LEVIES AND COLLECTIONS

LAST TEN FISCAL YEARS
(181)
Collected Within the
Total Tax Fiscal Year of the Levy Collections Total Collections to Date Fiscal Year Levy for Percentage in Subsequent Percentage Ended June 30 Fiscal Year Amount of Levy Years Amount of Levy 2015 $ 13,503,828 $ 31,035,789 98.51% $ 451,369 $ 31,487,158 99.95% 2016 32,883,797 32,440,070 98.65% 405,762 32,845,832 99.88% 2017 34,125,966 33,690,049 98.72% 388,499 34,078,548 99.86% 2018 35,718,202 35,230,091 98.63% 383,301 35,613,392 99.71% 2019 37,267,914 36,719,102 98.53% 364,627 37,083,729 99.51% 2020 39,182,819 38,271,140 97.67% 404,113 38,675,253 98.70% 2021 40,917,175 40,165,051 98.16% 602,163 40,767,214 99.63% 2022 42,386,631 41,678,608 98.33% 594,526 42,273,134 99.73% 2023 45,094,012 44,393,742 98.45% 574,364 44,968,106 99.72% 2024 47,343,461 46,406,198 98.02% 890,817 47,297,015 99.90% Source: County of Los Angeles Auditor-Controller

CITY OF REDONDO BEACH

RATIOS OF OUTSTANDING DEBT BY TYPE

LAST TEN FISCAL YEARS
(182)
Governmental Activities Business-type Activities
Refunding Wastewater Total Percentage
Revenue Revenue Revenue Construction Capital Primary of Personal Per Fiscal Year Bonds Leases Subscriptions Bonds Bonds Loans Leases Government Income Capita 2015 $ 3,553,356 $ 750,436 $ - $ 7,503,861 $ - $ 2,045,512 $ 114,597 $ 13,967,762 0.39% 205 2016 2,815,570 565,029 - 7,232,606 - 1,721,727 58,404 12,393,336 0.35% 180 2017 2,047,784 253,265 - 6,951,350 - 1,383,372 - 10,635,771 0.30% 154 2018 1,250,000 28,902 - 6,660,094 - 1,029,790 - 8,968,786 0.24% 131 2019 27,712,944 - 6,353,838 - - 660,298 - 34,727,080 0.91% 507 2020 26,942,846 186,587 - 6,037,582 - 274,194 - 33,441,209 0.84% 499 2021 26,411,918 96,652 - 5,711,326 - - 32,219,896 - 0.76% 485 2022 233,296,498 2,002,632 - 5,375,070 18,750,322 - 259,424,522 - 6.02% 3,761 2023 225,831,468 1,754,910 985,983 5,023,814 18,126,085 - 251,722,260 - 5.26% 3,680 2024 218,318,093 1,911,576 1,173,533 4,657,560 17,499,361 - 243,560,123 - 4.71% 3,569 Source: Note 10 of the Notes to Financial Statements

CITY OF REDONDO BEACH

DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
JUNE 30, 2024
(183)
Estimated
Share of
Percentage Outstanding Overlapping
Applicable Debt 6/30/24 Debt
Direct Debt:

Community Financing Authority Lease Revenue Bonds 2021A 100% $ 211,090,000 $ 211,090,000 Community Financing Authority Lease Revenue Refunding Bonds 2019A 100% 25,350,000 25,350,000 Community Financing Authority 2019A Unamortized Bond Premium 100% (622,546) (622,546) Total Direct Debt $ 235,817,454 235,817,454
Overlapping Debt:
* Metropolitan Water District 0.559% $ 18,210,000 101,794 Los Angeles County General Fund Obligations 1.079% 2,479,229,730 26,750,889 Los Angeles County Superintendent of Schools Certificates of Participation 1.079% 2,857,300 30,830 El Camino Community College District 14.617% 447,104,356 65,353,244 Redondo Beach Unified School District 100% 195,066,803 195,066,803 Total Overlapping Debt $ 3,142,468,189 287,303,560
Total Direct and Overlapping Debt $ 523,121,014
NOTE:
* This fund is a portion of a larger agency and is responsible for debt in areas outside the City.

Source: HdL Coren & Cone, Los Angeles County Assessor and Auditor Combined 2023/2024 Lien Date Tax Rolls

CITY OF REDONDO BEACH

LEGAL DEBT MARGIN INFORMATION

LAST TEN FISCAL YEARS
(184)
Fiscal Year
2024 2023 2022 2021 2020
Debt Limit 3,244,308,164 $ 3,076,873,514 $ 2,889,402,005 $ 2,796,921,319 $ 2,637,184,289 $ Total Net Debt Applicable to Limit - - - - -
Legal Debt Margin 3,244,308,164 3,076,873,514 2,889,402,005 2,796,921,319 2,637,184,289 Total Net Debt Applicable to the Limit
as a Percentage of Debt Limit 0% 0% 0% 0% 0%
Legal Debt Margin Calculation for Fiscal Year 2024
Assessed Value $ 21,628,721,091
Debt Limit (15% of Assessed Value) 3,244,308,164
Debt Applicable to Limit -
Legal Debt Margin $ 3,244,308,164
Source: County of Los Angeles Auditor-Controller

CITY OF REDONDO BEACH

LEGAL DEBT MARGIN INFORMATION (CONTINUED)

LAST TEN FISCAL YEARS
(185)
Debt Limit
Total Net Debt Applicable to Limit
Legal Debt Margin
Total Net Debt Applicable to the Limit
as a Percentage of Debt Limit
Fiscal Year
2019 2018 2017 2016 2015
$ 2,387,747,521 2,512,486,019 $ 2,258,235,466 $ 2,143,539,979 $ 2,042,646,734 $ - - - - -
2,512,486,019 2,387,747,521 2,258,235,466 2,143,539,979 2,042,666,734 0% 0% 0% 0% 0%
Source: County of Los Angeles Auditor-Controller

CITY OF REDONDO BEACH
PLEDGED – REVENUE COVERAGE

LAST TEN FISCAL YEARS
(186)
Wastewater Revenue Bonds
Less Net
Fiscal Year Wastewater Operating Available Debt Service Ended June 30 Revenue Expenses Revenue Principal Interest Coverage 2015 $ 5,290,338 $ 1,432,699 $ 3,857,639 $ 225,000 $ 322,459 7.05 2016 5,320,916 1,575,501 3,745,415 245,000 301,988 6.85 2017 5,475,892 2,283,864 3,192,028 255,000 289,738 5.86 2018 5,521,455 2,597,120 2,924,335 265,000 279,538 5.37 2019 5,364,859 2,751,925 2,612,934 280,000 268,938 4.76 2020 5,455,997 3,148,875 2,307,122 290,000 257,189 4.22 2021 5,368,274 2,768,598 2,599,676 300,000 246,138 4.76 2022 5,332,000 2,257,488 3,074,512 310,000 234,138 5.65 2023 5,344,095 3,607,690 1,736,405 325,000 221,738 3.18 2024 5,527,389 2,914,861 2,612,528 340,000 205,488 4.79 Source: City of Redondo Beach

CITY OF REDONDO BEACH

DEMOGRAPHIC AND ECONOMIC STATISTICS
JUNE 30, 2024
(187)
Per
Personal Capita
Income * Personal Unemployment
Calendar Year Population (In Thousands) Income * Rate ** 2015 68,095 3,602,147 $ 53,169 $ 6.9%
2016 68,844 3,562,911 51,269 5.0%
2017 68,907 3,587,933 52,069 4.7%
2018 68,677 3,707,238 53,980 4.1%
2019 68,473 3,835,542 56,015 4.0%
2020 66,994 3,961,378 59,130 13.6%
2021 66,484 4,215,803 63,410 7.4%
2022 68,972 4,311,229 62,506 6.5%
2023 68,407 4,789,934 70,021 3.9%
2024 68,239 5,175,396 75,842 4.1%
NOTES:
* Personal income data was not available from the California Department of Finance subsequent to fiscal year 2019/2020. Per Capita Personal Income is based on the metropolitan area of Los Angeles-Long Beach-Anaheim, CA. Statistics not available subsequent to fiscal year 2019/2020.
** Unemployment rate is based on the metropolitan area of Los Angeles-Long Beach-Anaheim, CA.

Sources: HdL Coren & Cone, Los Angeles
California State Department of Finance
U.S. Census Bureau

CITY OF REDONDO BEACH

PRINCIPAL EMPLOYERS

CURRENT YEAR AND NINE YEARS AGO
(188)
2024 2015
Percentage Percentage
of Total City of Total City
Taxpayer Employees Employment Employees Employment
Northrup Grumman Corporation 9,396 24.92% 4,591 14.14%
The Cheesecake Factory 261 0.69% 261 0.80%
Target Stores 217 0.58% 217 0.67%
Macy's 171 0.45% 203 0.63%
Frontier 164 0.43% - 0.00%
Ralph's Grocery 120 0.32% - 0.00%
Von's Grocery 117 0.31% - 0.00%
Whole Food Market 113 0.30% - 0.00%
Kohl's 112 0.30% - 0.00%
Redondo Beach Unified School District - 0.00% 710 3.06% City of Redondo Beach - 0.00% 431 1.32%
Crowne Plaza Redondo Beach - 0.00% 339 1.04%
United States Postal Service - 0.00% 260 0.80%
Nordstrom, Inc. - 0.00% 251 0.77%
DHL Global Forwarding - 0.00% 209 0.64%
Source: City of Redondo Beach

CITY OF REDONDO BEACH

FULL-TIME CITY GOVERNMENT EMPLOYEES BY FUNCTION

LAST TEN FISCAL YEARS
(189)
Fiscal Year
Function 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 General Government 57 54 54 48 51 54 54 53 51 51
Public Safety:

Police:

Officers 96 95 95 92 95 96 96 96 96 93
Civilians 59 58 58 53 58 58 58 58 58 59
Fire:

Firefighters and Officers 63 59 59 56 62 62 62 62 62 62 Civilians 5 5 5 4 5 5 5 3 3 3
Public Works 114 108 108 104 109 110 112 112 111 111
Cultural and Leisure Services 34 29 29 26 31 32 33 33 34 34 Housing and Community
Development 18 14 14 16 18 18 18 17 17 17
Harbor, Business, and Transit 4 3 3 3 3 4 4 4 4 3
Total 450 425 425 402 432 439 442 438 436 433
Source: City of Redondo Beach

CITY OF REDONDO BEACH

OPERATING INDICATORS BY FUNCTION

LAST TEN FISCAL YEARS
(190)
Fiscal Year
2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Public Safety:

Police:

Physical Arrests 2,515 1,966 1,693 2,022 1,497 2,108 2,184 2,490 2,235 2,146 Traffic Citations Issued 3,045 3,489 2,932 3,386 2,651 4,015 4,200 4,699 3,898 4,516 Fire:

Number of Runs - Rescues 5,790 5,555 5,503 4,561 4,472 4,791 4,665 5,025 4,702 4,604 Number of Runs - Structures and Other 2,038 3,002 2,530 2,890 2,833 2,602 2,605 2,107 2,115 1,989 Public Works:

Street Rehabilitation (Miles) 0.1 4.6 - 4.1 1.4 0.7 4.1 - 2.4 1.1 Culture and Leisure Services:

Library:

Number of Items Borrowed 378,465 420,318 411,909 242,530 402,964 447,966 479,575 476,837 545,316 584,643 Number of Visitors 208,071 177,873 134,103 18,821 210,999 314,093 308,542 332,181 343,395 350,958 Recreation and Community Services:

Admissions - Seaside Lagoon -** 42,020 35,367 - * - * 60,419 79,856 79,833 87,422 81,328 Number of Facility Rentals 433 275 765 - * - * 422 382 378 388 381 Housing and Community Development:

Number of Permits Issued 2,234 - ** 3,023 5,651 2,655 3,172 3,522 3,435 6,899 3,295 Number of Plan Checks Issued 451 - ** 1,294 3,997 2,038 2,060 2,436 2,492 4,200 1,559 Number of Inspections 7,757 - ** 10,372 19,130 9,723 17,007 11,748 12,276 12,827 10,326 Number of Real Estate Reports 451 - ** 800 1,559 672 807 814 861 1,925 973 Number of Bus Boardings - Transit 260,615 277,558 295,365 166,176 288,912 367,087 375,545 383,112 407,272 415,259 Revenue Miles - Transit 418,534 436,056 437,141 365,731 414,401 448,016 448,541 448,682 458,198 459,468 NOTE:
* Seaside Lagoon did not operate for the 2019-2020 fiscal year and reopened June 18, 2021 due to the COVID-19 closure. ** Information not available.

Source: City of Redondo Beach - Financial Services Department

CITY OF REDONDO BEACH

CAPITAL ASSET STATISTICS BY FUNCTION

LAST TEN FISCAL YEARS
(191)
Fiscal Year
Function 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Public Safety:

Police:

Stations 1 1 1 1 1 1 1 1 1 1
Sub-Station 1 1 1 1 1 1 1 1 1 1
Fire Stations 3 3 3 3 3 3 3 3 3 3
Public Works:

Streets (Miles) 127 127 127 127 127 127 127 127 127 127 Streetlights * 1,899 1,899 1,899 1,892 1,892 1,892 1,892 1,892 1,892 1,892 Street Traffic Controllers 84 84 84 84 84 84 84 84 84 84 Sanitary Sewers (Miles) 112 112 112 112 112 112 112 112 112 112 Culture and Leisure Services:

Parks 15 15 15 15 15 15 15 15 15 15
Parkettes 13 13 13 13 13 13 13 13 13 13
Total Park Acreage 143.26 143.26 143.26 143.26 143.26 143.26 143.26 143.26 143.26 143.26 Boat Slips 1,509 1,509 1,509 1,509 1,509 1,509 1,509 1,509 1,509 1,509 Harbor Acreage:

Total Water Area (Exclusive
of the Pier) 107 107 107 107 107 107 107 107 107 107
Total Land Area 52.5 52.5 52.5 52.5 52.5 52.5 52.5 52.5 52.5 52.5 Libraries 2 2 2 2 2 2 2 2 2 2
Community Centers 5 5 5 5 5 5 5 5 5 5
Source: City of Redondo Beach

CITY OF REDONDO BEACH

CERTIFICATION OF CONTINUING DISCLOSURE
REDONDO BEACH COMMUNITY FINANCING AUTHORITY 2014

WASTEWATER SYSTEM FINANCING PROJECT
JUNE 30, 2024
(192)
This Certification of Continuing Disclosure is provided by the City of Redondo Beach (the City) and the Redondo Beach Community Financing Authority through US Bank, as Dissemination Agent pursuant to a Continuing Disclosure Certificate dated March 25, 2014 executed and delivered by the City of Redondo Beach and the Community Financing Authority and the Dissemination Agent in connection with the issuance of $7,230,000 Refunding Revenue Bonds, City of Redondo Beach Wastewater System Financing Project Bonds (the Bonds). The Bonds were issued pursuant to an Indenture of Trust dated as of March 25, 2014 between the Financing Authority and US Bank. The proceeds of the Bonds were issued to provide funds to (a) finance the Improvements and related facilities which constitute part of the Wastewater Enterprise of the City, (b) fund capitalized interest on the Bonds through November 1, 2014, (c) fund a reserve fund for the Bonds, and (d) pay the cost of issuance for the Bonds.

This Certification is made pursuant to the requirements of Section 3(a) of the Continuing Disclosure Certificate with respect to the 2023-24 fiscal year.

The City and the Community Financing Authority hereby report the following:

1. The audited financial statements of the City, prepared in accordance with generally accepted accounting principles as promulgated to apply to governmental entities from time to time by the Governmental Accounting Standards Board, for the fiscal year ended June 30, 2024 comprise the book in which this report is included.

2. During the fiscal year ended June 30, 2024, neither the City nor the Community Financing Authority has given or caused to be given notice of the occurrence of any of the following events:
a. Principal and interest payment delinquencies;
b. Nonpayment related defaults;
c. Unscheduled draws on debt service reserves reflecting financial difficulties; d. Unscheduled draws on credit enhancements reflecting financial difficulties; e. Substitution of credit or liquidity providers, or their failure to perform; f. Adverse tax opinions or events affecting the tax-exempt status of the security; g. Modifications to rights of security holders;
h. Contingent or unscheduled bond calls;
i. Defeasances;
j. Resale, substitution, or sale of property securing repayment of the securities; or k. Rating changes

CITY OF REDONDO BEACH

SEWER RATES PER MONTH

LAST TEN FISCAL YEARS
(193)
Use Classification 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Each Single Family Dwelling Unit 16.25 $ 16.25 $ 16.25 $ 16.25 $ 16.25 $ 16.25$ $ 16.25 $ 16.25 $ 16.25 $ 16.25 Each Unit in a 2-3 Unit
Condo Structure 16.25 16.25 16.25 16.25 16.25 16.25 16.25 16.25 16.25 16.25 Each Unit in a 2-3 Unit
Apartment Structure 12.64 12.64 12.64 12.64 12.64 12.64 12.64 12.64 12.64 12.64 Each Unit in a 4 or More Unit
Condo Structure 12.64 12.64 12.64 12.64 12.64 12.64 12.64 12.64 12.64 12.64 Each Unit in a 4 or More Unit
Apartment Structure 8.70 8.70 8.70 8.70 8.70 8.70 8.70 8.70 8.70 8.70 Commercial/Industrial/
Institutional Parcels * 1.39 1.39 1.39 1.39 1.39 1.39 1.39 1.39 1.39 1.39 NOTE:
* Per 100 cubic feet of average monthly water usage. 100 cubic feet of water is equal to 748 gallons, average monthly water usage is established based on the latest actual annual water usage record available to the City. On an annual basis, the city will recalculate the monthly charge by using the latest available annual water usage record of each non-residential user at the same $1.13 per 100 cubic feet rate to set a new monthly rate. Any water proven to be used for boilers, cooling towers or similar devises that will not be discharged into the sewer system may be deducted from the annual water usage record for rate calculation purposes.

Source: City of Redondo Beach

CITY OF REDONDO BEACH
TOP TEN CUSTOMERS – SEWAGE USAGE
JUNE 30, 2024
(194)
Account Name Usage (ccf) Billed Amount Revenue
9300 Wilshire LLC et al 150,127 208,677 $ 3.8%
Northrop Grumman Systems Corp 45,419 63,132 1.2%
HPTMI Properties Trust 14,276 19,844 0.4%
South Bay Center SPE LLC 12,357 17,176 0.3%
Haagen Redondo LLC 9,952 13,833 0.3%
Redondo Distribution Center LLC 7,715 10,724 0.2%
LPF Redondo Beach Inc 5,024 6,983 0.1%
Artesia Operating Associates LLC 4,921 6,840 0.1%
Seven J Investment Co 4,802 6,675 0.4%
Seven J Investment Co * 4,802 6,675 0.1%

6.9%
Source: City of Redondo Beach

CITY OF REDONDO BEACH

SEWAGE CONNECTIONS BY TYPE OF CUSTOMER

LAST TEN FISCAL YEARS
(195)
2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Type of Customer:

Residential 13,123 13,123 13,121 13,117 13,116 13,114 13,113 13,111 13,105 13,105 Industrial 53 53 57 57 57 58 59 59 59 61
Commercial 456 456 458 464 465 465 463 464 462 461
Institutional 56 56 56 56 56 57 58 58 59 59
Mixed Use 44 44 44 43 43 43 43 43 43 43
Total 13,732 13,732 13,736 13,737 13,737 13,737 13,736 13,735 13,728 13,729 Source: City of Redondo Beach

CITY OF REDONDO BEACH

CERTIFICATION OF CONTINUING DISCLOSURE

REDONDO BEACH PUBLIC FINANCING AUTHORITY, LEASEBACK AGREEMENT JUNE 30, 2024
(196)
This Certification of Continuing Disclosure is provided by the City of Redondo Beach (the City) and the Redondo Beach Community Financing Authority through US Bank, as Dissemination Agent pursuant to a Continuing Disclosure Certificate dated February 1, 2019 executed and delivered by the City of Redondo Beach and the Community Financing Authority and the Dissemination Agent in connection with the issuance of $28,015,000 Lease Revenue Refunding Bonds (the Bonds). The Bonds were issued pursuant to an Indenture of Trust dated as of February 1, 2019 between the Financing Authority and US Bank. The proceeds of the Bonds were issued to provide funds to (a) refund the City of Redondo Beach’s (the City) $8,300,000 Leaseback Agreement (Redondo Beach Pier Plaza), dated as of March 1, 2012, by and between Compass Bank and the City, currently outstanding in the principal amount of $6,314.012.91; (b) refund the City’s $2,700,000 Leaseback Agreement (Redondo Beach International Boardwalk Project), dated as of May 1, 2012 by and between Compass Bank and the City, currently outstanding in the principal amount of $2,021,296.58; (c) refund the City’s $12,500,000 Leaseback Agreement (Redondo Beach Marina Project), dated as of May 1, 2014, by and between Compass Bank and the City, currently outstanding in the principal amount of $10,076,474.18; (d) finance the purchase of a Sublease between the City and Redondo Fisherman’s Cove Company; and (e) pay costs of issuance of the Bonds.

This Certification is made pursuant to the requirements of Section 3 and 4 of the Continuing Disclosure Certificate with respect to the 2023-24 fiscal year.

The City and the Community Financing Authority hereby report the following:

1. The audited financial statements of the City, prepared in accordance with generally accepted accounting principles as promulgated to apply to governmental entities from time to time by the Governmental Accounting Standards Board, for the fiscal year ended June 30, 2024 comprise the book in which this report is included.

2. During the fiscal year ended June 30, 2024, neither the City nor the Community Financing Authority has given or caused to be given notice of the occurrence of any of the following events:
a. Principal and interest payment delinquencies;
b. Nonpayment related defaults;
c. Unscheduled draws on debt service reserves reflecting financial difficulties; d. Unscheduled draws on credit enhancements reflecting financial difficulties; e. Substitution of credit or liquidity providers, or their failure to perform; f. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices of determinations with respect to the tax status of the Bonds, or other material events affecting the tax status of the Bonds;
g. Modifications to rights of security holders;
h. Contingent or unscheduled bond calls;
i. Defeasances;
j. Resale, substitution, or sale of property securing repayment of the securities; k. Rating changes
l. Bankruptcy, insolvency, receivership or similar event of the Obligated Person; m. The consummation of a merger, consolidation, or acquisition involving an Obligated Person or the sale of all or substantially all of the assets of the Obligated Person, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms; and n. Appointment of a successor or additional trustee or the change of name of a trustee. (197)

COMPLIANCE SECTION
CLA (CliftonLarsonAllen LLP) is an independent network member of CLA Global. See CLAglobal.com/disclaimer.

CliftonLarsonAllen LLP
CLAconnect.com
(198)
INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL OVER

FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED

IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Honorable Mayor and Members of the City Council
City of Redondo Beach
Redondo Beach, 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 City of Redondo Beach, as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise the City of Redondo Beach’s basic financial statements, and have issued our report thereon dated October 31, 2025.

Report on Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered City of Redondo Beach’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 City of Redondo Beach’s internal control. Accordingly, we do not express an opinion on the effectiveness of City of Redondo Beach’s internal control.

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that were not identified. However, as described in the accompanying schedule of findings and responses, we identified certain deficiencies in internal control that we consider to be material weaknesses and significant deficiencies.

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.

We consider the deficiencies described in the accompanying schedule of findings and responses as items 2024-001, 2024-002 and 2024-003 to be material weaknesses.

Honorable Mayor and Members of the City Council
City of Redondo Beach, California
(199)
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. We consider the deficiencies described in the accompanying schedule of findings and responses as items 2024-004 and 2024-005 to be significant deficiencies.

Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether City of Redondo Beach’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 that are required to be reported under Government Auditing Standards.

City of Redondo Beach’s Response to Findings
Government Auditing Standards requires the auditor to perform limited procedures on the City of Redondo Beach’s response to the findings identified in our audit and described in the accompanying schedule of findings and responses. The City of Redondo Beach’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 the response.

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.

CliftonLarsonAllen LLP
Irvine, California
October 31, 2025

CITY OF REDONDO BEACH

SCHEDULE OF FINDINGS AND RESPONSES
YEAR ENDED JUNE 30, 2024
(200)
2024-001 - Grant Accounting
Type of Finding: Material Weakness in Internal Control over Financial Reporting Condition: The City recorded a material journal entry of approximately $3.4 million to correct longstanding balances in the Other Intergovernmental Grants special revenue fund, specifically related to grants receivable and unavailable revenue. The adjustment was necessary to eliminate unsupported or outdated balances that had accumulated over multiple reporting periods.

Criteria or specific requirement: The City’s management is responsible for establishing and maintaining internal controls for the proper recording of grant revenues and related receivables.

Effect: Amounts due from other governments, related unavailable revenues and beginning fund balance in the Other Intergovernmental Grants special revenue fund were materially overstated.

Cause: The lack of effective monitoring and reconciliation procedures related to grant activity and staff turnover.

Repeat finding: No
Recommendation: We recommend that the City update the internal controls related to the recording of grant activity to ensure the accuracy of affected account balances and the timeliness of monitoring and reconciliations. Such controls should be documented in writing and disseminated to all staff involved with grant activities and should include:
 Monthly reviews of grant activity and receivable aging schedules,  Documentation of reconciliations and resolution of discrepancies,  Oversight by finance and grant management to ensure compliance and accuracy.

Views of responsible officials and planned corrective actions:

Management concurs with the finding. The City recognizes the importance of maintaining accurate and timely reconciliations of grant-related receivables and unavailable revenue. Prior to receiving this finding, the City had initiated actions that will correct the identified issue, including the development of a formal reconciliation schedule and associated procedures and the assignment of dedicated staff to oversee grant fund activity. Additionally, the City has initiated a comprehensive review of grant processes and procedures which involve City staff in all Departments who use grant funding. This review will help to ensure a broad understanding of grant management, and the responsibility associated with each role related to grants, with the end goal of ensuring accuracy and compliance with grant accounting requirements. These procedures will be documented and implemented in the upcoming fiscal year to ensure compliance with grant requirements and to strengthen internal controls over financial reporting.

CITY OF REDONDO BEACH

SCHEDULE OF FINDINGS AND RESPONSES
YEAR ENDED JUNE 30, 2024
(201)
2024-002 - Construction in Progress (CIP) Accounting
Type of Finding: Material Weakness in Internal Control over Financial Reporting Condition: The following misstatements were identified in the capital asset CIP schedules:
 Dredging costs incurred to maintain the navigability of the waterways (approximately $490,000 related to the prior year and $3,000,000 related to the current year) were improperly capitalized in the Harbor Tidelands enterprise fund.
 Approximately $18,000,000 in completed project costs were removed from CIP of the governmental activities since they had remained beyond their completion date and reclassified to their appropriate capital asset classes.
 Approximately, $14,290,000 in street infrastructure project costs were removed from CIP of the governmental activities since the costs related to preservation and maintenance costs which should be not be capitalized under the modified approach for reporting infrastructure assets.

Criteria or specific requirements: Capital projects costs that do not enhance the use of an asset or extend its useful life should not be capitalized and, therefore, not be included in CIP. Once CIP projects are completed and the assets are placed in service, the project costs should be transferred from CIP to the appropriate capital asset class and depreciation should commence. Governmental entities that have elected to account for one or more of its networks or subsystems of infrastructure assets under the modified approach forego depreciation of those assets by committing to preserving and maintaining a given network or subsystem of infrastructure assets at a specific condition level. The costs of preservation and maintenance at that condition level are expensed when incurred and not capitalized.

Effect: CIP and net position were overstated for governmental activities and the Harbor Tidelands enterprise fund.

Cause: Internal controls to ensure proper classification and timely capitalization of completed capital projects were not functioning properly and staff turnover.

Repeat finding: No
Recommendation: We recommend that internal control policies and procedures over accounting and reporting of CIP be reviewed, updated and documented in writing. In particular, the policies and procedures update should address capitalization thresholds, costs eligible for capitalization, monitoring of CIP activity and timely capitalization and removal of completed projects. In addition, the policies and procedures should address accounting and reporting for street infrastructure assets under the modified approach.

Views of responsible officials and planned corrective actions:

Management concurs with the finding. The City is reviewing its capital asset accounting policies and procedures and will implement additional controls to ensure timely and accurate classification of capital projects. The City plans for staff training and updating the current system for capital asset reporting to improve compliance with GASB 34 and strengthen internal controls over financial reporting.

CITY OF REDONDO BEACH

SCHEDULE OF FINDINGS AND RESPONSES
YEAR ENDED JUNE 30, 2024
(202)
2024-003 – Accounting for Third-Party Activity
Type of Finding: Material Weakness in Financial Reporting and Ledger Controls Condition: The City identified two key areas where financial activity was not being properly accounted for in the City's general ledger:

1. Third-Party Managed Leases: Revenues and expenditures associated with properties managed by third-party were being reported on a net basis, rather than gross, which obscures the full scope of lease-related financial activity. Additionally, related balance sheet accounts such as cash deposits held by third-party, unamortized leasing commissions, and tenant deposit liabilities were either missing or inaccurately recorded.

2. Marine Avenue Agreement: The Authority Reserve Fund (AFR), held externally by the hotel’s lender, was not tracked within the City’s general ledger accurately. Although the AFR receives City contributions (funded by transient occupancy taxes generated by the agreement’s subject properties) and hotel owner/operator draws, its activity was not shown appropriately in the City’s financial system.

Criteria or specific requirement: Per Generally Accepted Accounting Principles (GAAP) and Governmental Accounting Standards Board (GASB) Guidelines, entities must report gross revenues and expenditures to ensure transparency and comparability. All material financial transactions, including those managed externally or held off-ledger, must be recorded in the City’s general ledger.

Effect: Revenue, expenditures and various balance sheet accounts of the General Fund, Harbor Tidelands Enterprise Fund and Harbor Uplands Enterprise Fund were understated.

Cause: Reliance on third-party management companies without sufficient oversight and misinterpretation of accounting standards related to lease reporting and off-ledger agreements.

Repeat finding: No
Recommendation: We recommend the City establish procedures to ensure all lease-related transactions and long-term financial agreements are fully recorded in the general ledger and strengthen internal controls and oversight over third-party managed assets and off-ledger agreements to ensure consistent and accurate financial reporting.

Views of responsible officials and planned corrective actions: Management concurs with the finding relating to unique third-party relationships. City staff has instituted process changes to address findings, including recording identified revenues and expenditures on a gross basis. Staff is working closely with the identified external third parties to monitor and provide a clear accounting of related activity in the City’s general ledger.

CITY OF REDONDO BEACH

SCHEDULE OF FINDINGS AND RESPONSES
YEAR ENDED JUNE 30, 2024
(203)
2024-004 – Deposits Payable
Type of Finding: Significant Deficiency in Internal Control Over Financial Reporting Condition: We noted that some deposit payable accounts are not being reconciled timely resulting in aged balances that lacked adequate supporting documentation. These accounts balances have not been reviewed regularly, and no formal reconciliation procedures seem to be in place.

Criteria or specific requirement: Effective internal control systems should include procedures for the periodic reconciliation of liability accounts, including deposits payable, to ensure accuracy and completeness of accounting and financial reporting.

Effect: The lack of oversight of deposits payable increases the risk of errors, misstatements, or potential misappropriation of funds.

Cause: Lack of monitoring the details of transactions involving deposit payable accounts and staff turnover
Repeat finding: No
Recommendation: We recommend establishing a formal reconciliation process for deposits payable accounts that is performed regularly throughout the year. The reconciliation should include reviewing aged balances for validity, identifying transactions involving deposits and clearing unsupported amounts. The department overseeing the services requiring deposits should be maintaining the documentation supporting the deposits and regular reconciliations and the finance department should provide periodic oversight.

Views of responsible officials and planned corrective actions:

Management concurs with the finding. The City will implement a reconciliation schedule for all deposits payable accounts, including those identified in this finding for which long-standing balances without activity exist, and assign staff to review and resolve aged balances. These procedures will be documented and incorporated into the City’s year-end close process to strengthen internal controls and improve financial reporting accuracy.

CITY OF REDONDO BEACH

SCHEDULE OF FINDINGS AND RESPONSES
YEAR ENDED JUNE 30, 2024
(204)
2024-005 – Financial Statement Closing Process
Type of Finding: Significant Deficiency in Internal Control Over Financial Reporting Condition: We observed that several unexpected journal entries were recorded after the delivery of the final trial balance to us, suggesting that the financial statement closing process may benefit from additional refinement to ensure completeness prior to the start of final audit fieldwork.

Criteria or specific requirement: Effective internal control over financial reporting includes timely and well-documented closing procedures that ensure the completeness and accuracy of financial data prior to the start of final audit fieldwork.

Effect: While these entries did not result in a material misstatement of the audited financial statements, the volume and timing of the adjustments indicate opportunities to enhance the City’s internal controls over the year-end closing process.

Cause: Certain adjustments and reconciliations were not finalized before the initial close, which contributed to the need for post-close entries to update financial statement balances and staff turnover.

Repeat finding: No
Recommendation: We recommend:
 Reviewing and refining the year-end closing procedures to promote completeness, consistency, and accuracy.
 Developing a formal checklist and timeline to guide the closing process.  Assigning clear responsibilities for key closing tasks and reconciliations across the organization.  Conducting a post-close review to identify areas for improvement and reduce reliance on postclose adjustments.

Views of responsible officials and planned corrective actions:

Management agrees with the recommendation and will take steps to strengthen the financial statement closing process. The City plans to enhance its year-end procedures through improved documentation, clearer task assignments, and the use of a structured checklist to support a more efficient and accurate close.