Agenda — Roseville City Council, February 2, 2022 (part 2 of 4)

TABLE OF CONTENTS
SECTION 00 31 46: PERMITS
SECTION 01 10 00: SUMMARY OF WORK
SECTION 01 57 23: STORM WATER POLLUTION CONTROL
SECTION 31 10 00: CLEARING AND GRUBBING
SECTION 33 00 00: UTILITIES

For Council Approval
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For Council Approval
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Maidu Softball Restroom Renovation Project
January 2022

Section 00 31 46: Permits

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SECTION 00 31 46

PERMITS
PART 1 - GENERAL

1.01 General Requirem ents
A. The requirements set forth in the General Conditions shall be in addition to the standards provided herein.

B. The requirements set forth in the Supplemental Conditions shall be in addition to the standards provided herein.

C. The intent of this Section is to furnish bidders with the known list of required permits for the Work under the Contract Documents . Bidders should note that the list is not necessarily complete and that additional requirements may exist or arise.

1.02 Permits
A. The Contractor shall obtain copies of the following permits from the Project Manager. Copies of these shall be obtained prior to start of work and shall be kept on the jobsite.

1. State Water Resources Control Board General Permit for Discharges of Storm Water Associated with Construction Activity:

Contractors must comply with General Conditions 5-1.20 Water Pollution. .

2. City of Roseville Department of Development Services, Building Permit for all structural items associated with this project, including, but not limited to, accessibility alterations to existing restrooms including replacing concrete floor, toilet partitions, lighting, doors, and signage.

B. Contractor shall comply with the conditions of these permits, and will be solely responsible for all costs associated with meeting permit conditions unless specifically specified otherwise in these Contract Documents.

C. A trench/excavation permit must be on file with the City. Submit a copy of the notification letter to CAL OSHA, which outlines the project, and contracted scope of work.

PART 2 - PRODUCTS
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For Council Approval
Not for Bidding
Maidu Softball Restroom Renovation Project
January 2022

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PART 3 - EXECUTION
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END OF SECTION
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Not for Bidding
Maidu Softball Restroom Renovation Project
January 2022

Section 01 10 00: Summary of Work

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SECTION 01 10 00

SUMMARY OF WORK
PART 1 - GENERAL

1.01 General
A. The requirements set forth in the General Conditions shall be in addition to the standards provided herein.

B. The requirements set forth in the Special Conditions shall be in addition to the standards provided herein.

1.02 Project Description
A. Project Name and address:

Maidu Softball Restroom Renovation Project
Maidu Regional Park
1550 Maidu Drive
Roseville, CA 95661
B. Project description/scope of work:

The scope of this project includes, but is not limited to: accessibility alterations to existing restrooms including replacing concrete floor, toilet partitions, lighting, doors, and signage.

C. The Contractor, prior to submission of his bid, shall visit the site and become familiar with the physical site conditions, the plans and specifications . All existing site conditions, apparent in a detailed, on- site inspection, shall be a part of the project . Submission of a bid shall represent the Contractor’s acknowledgment of the existing site conditions and its effect on the implementation of the contract documents.

1.03 E ngineering
A. Field Engineering, as a part of this contract, shall include:

1. Layout of the work and establishment of lines and grades.

2. Said work to be performed by a California Registered Civil Engineer or a California licensed Land Surveyor.

3. When discrepancies between the drawings and actual site conditions are discovered, notify the Inspector for instruction on how to proceed.

4. All work shall:
a) Establish indicated layout in relation to the property survey and existing reference points.

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January 2022

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b) Establish and preserve permanent reference points during the course of construction.
c) Set locations and elevations of all site elements as required for proper completion of the work.

1.04 Permits, Fees and Notices
A. The Contractor and/or his assigned Subcontractors shall obtain any and all required permits (beyond those provided in the Appendix) from all governing authorities, including other City Departments, prior to start of construction.

1.05 Construction Plans
A. Any discrepancies or omissions found in the Contract Documents shall be reported to the City’s project manager immediately. The City’s project manager will clarify discrepancies or omissions, in writing, within a reasonable time.

B. In resolving inconsistencies among two or more sections of the Contract Documents, precedence shall be given in the following order:

1. Notice to Contractors

2. Special Provisions

3. City of Roseville Parks Construction Standards

4. City of Roseville Design and Construction Standards

5. Drawings
Addenda shall take precedence over all sections referenced therein. Figure dimensions on Drawings shall take precedence over scale dimensions .

Detailed Drawings shall take precedence over general Drawings.

1.06 Definitions
A. The term “accepted” where used within, shall mean accepted in writing by the City of Roseville’s Project Manager.

B. The term “Inspector”, where noted, shall mean the project representative, appointed by the City of Roseville, who will oversee the project on a day -to- day basis.

C. The term “Project Manager”, where noted, shall mean the project representative appointed by the Parks Department.

D. The term “Consultant”, where noted, shall mean the prime Consultant listed on the cover sheet of these Specifications.

E. The term “accepted equal”, where used herein, shall mean the equal in the opinion of the Project Manager, in consultation with the Consultant, when necessary, and as accepted in writing by the Project Manager.

F. The term “Project Owner”, where used herein, shall mean the landowner or developer.

G. The term “provide”, where used herein, shall mean furnish and install complete.

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H. The term “as selected”, where used herein, shall mean as selected by the Consultant and as accepted by the Project Manager.

I. The term “substantially complete”, where used herein, shall mean the state of which the project can be used in the manner of which it is intended wi th the exception of minor items as determined by the Project Manager.

J. See Section 1 of the General Conditions for additional definitions and terms.

1.07 Standards
A. Numerous standards are referenced in these contract documents . The referenced standards shall be the current edition as of the date of these contract documents. Also, see Section 4 - 1.02 of the General Conditions.

B. The codes adopted by the City, County, State and federal agencies shall govern minimum requirements for this project. Where codes conflict with these Specifications, the more stringent shall apply, and such conflicts shall be brought to the attention of the Project Manager . Caltrans Standards shall be applied where specifically referenced . In the absence of specific reference requirements in the contract documents, the applicable codes shall govern.

C. In addition to the standards noted in individual sections of these Specifications, standards of the following organizations shall be noted by initials only.

1. ANSI: American National Standards Institute.

2. ASTM: American Society for Testing and Materials.

1.08 Submittals
A. All submittals shall be submitted at one time within ten (10) working days from issuance of Notice to Proceed. The review time for submittals shall be as noted in Section 2 - 1.04 of the Special Conditions . Items returned for re - submittal shall be returned to the City within two weeks
B. The Contractor shall include a cover sheet indicating the following (A sample is provided in Section 5: Forms):

1. Drawing sheet or specification section reference (by section, paragraph and sub-paragraph numbers);

2. Item description;

3. Indication whether this item is “as specified” or “proposed substitution” and

4. A space for itemized response summary, e.g. “reviewed” or “resubmit”.

C. Contractor shall provide submittals electronically in PDF file format and physical product samples as required in specifications. It shall be the Contractor’s responsibility to ensure that the summary sheet is included in the submittal package. Incomplete submittal packages (i.e., the lack of a summary sheet or lack an appropriate product sample) will not be reviewed.

D. Proposed substitution requests must include a comparison between the originally specified item and the proposed substitute. The burden of proof of For Council Approval
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January 2022

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compliance for proposed substitutions with project requirements rests with the Contractor. Coordination of the installation of accepted substitutions, including incidental changes/modifications to accommodate proposed products shall be at no additional cost to the Owner.

E. Where required in specified Section of these Specifications, submittals shall include proof of order of site furnishings, play equipment or other materials within two weeks (ten working days) of receipt of the returned, approved submittal. Submittals of orders shall be made at one time. Exceptions will be considered, with justification.

1.09 Tests
A. In addition to Section 4 - 1.03 of the General Conditions, testing and inspections may be performed by a private testing laboratory . The testing laboratory, provided by the City, shall be under the direction of a California registered civil engineer. All work shall conform to requirements set forth by ASTM B329, and shall be acceptable to the City.

B. Copies of the laboratory reports/results of each test or inspection shall be provided to the Project Manager, Inspector and Contractor.

1.10 Temporary Facilities
A. Sanitary provisions shall be the responsibility of the Contractor . Existing restroom facilities shall be not utilized by the Contractor, his Sub-contractors, or employees thereof, unless specifically accepted by the Project Manager .

Provide chemical toilets or water closets and urinals connected to the sewer in a location accepted by the Project Manager.

B. Barricades shall be the responsibility of the Contractor and shall be erected as necessary to protect the property, the construction and the public from hazards due to construction.

C. Signs, other than those identified in these Specifications, shall be prohibited .

Notices, required by law, shall be posted and maintained.

1.11 Utilities
A. All utility fees, including, but not limited to, connection fees, installation fees, meters, monthly service fees and cost of utilities used during the course of construction are considered a direct cost and are the responsibility of the Contractor until project acceptance by City Council.

1.12 Dust/Noise Control Requirements
A. Dust and other air pollution nuisances on or adjacent to the site shall be abated, per Section 2 - 1.15 of the General Conditions . Dirt shall not be allowed to accumulate on streets or sidewalks nor be washed into sewer.

For Council Approval
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Maidu Softball Restroom Renovation Project
January 2022

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B. Noise from construction operations shall be kept to a minimum. Allowable hours of operations shall be from 7 a.m . to 7 p.m. Monday through Friday. Work on weekends and holidays must be approved by the P roject Manager. Work on weekends and holidays shall not begin before 8 a.m . and must be completed by 8 p.m. Requests for weekend work shall be submitted to the Project Manager 7 days in advance.

1.13 Tree Replacement Schedule
A. Trees damaged or removed without prior approval shall be replaced at an inch per inch basis on- site, except otherwise accepted. New stock shall follow the table provided:

Plant Size Inch Value
3 Five Gallon Stock One Inch
1 Fifteen Gallon Stock One Inch
1 24” Box Stock Two Inches
1 36” Box Stock Three Inches

1.14 Inspection of Construction
A. In addition to the routine inspections performed by the Parks Inspector, portions of work may be inspected by the other city department s. Notify the Parks Inspector and Project Manager a minimum of 48 hours prior to date of inspection.

B. The Parks Inspector shall be the main line of communication between the site superintendent, the project manager and other City department inspectors .

Changes in scope of work or standards shall be approved by the project manager.

C. Refer to the parks inspection record. This shall be issued at the Pre- Construction meeting and shall be utilized by the Contractor throughout the course of construction . A completed “hard card” shall be submitted to the Project Manager along with required turn in items (See 1.19 this Section) upon final acceptance of the project. The Notice of Completion shall not be filed until all record documents have been received and accepted.

1.15 Adverse Impacts to Site Conditions Due to Construction A. Impacts that affect the site conditions to the detriment of the park or streetscape Impacts that affect the site conditions to the detriment of the park or streetscape construction or long term viability of the site shall be mitigated by the contractor prior to acceptance of the project . Such impacts shall include, but are not limited to:

1. Soil compaction in non-structural areas;

2. Diesel or gas fuel leaks/spillage;

3. Buried concrete or other construction debris;
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4. Hazardous material contamination;

5. Lime treatment in planting areas;

6. and more.

1.16 Pre-final (Punch List) Review
A. Notify, in writing, to the Parks Construction Inspector, that the work is substantially complete. Substantially complete is defined as “the state of work where it may be used in a suitable and intended manner with exception of minor corrections”. Partial acceptances will not be granted. Items to be reviewed as a part of substantial completion include:

1. All construction items

2. Installation of all site furnishings, including lights and signs

3. Seeding or sodding of all turf areas

4. All planting, including weeding of planted areas

5. The irrigation system is fully functioning as designed and as confirmed by the Parks Construction Inspector.

B. Within five workings days of receipt of notification, the Parks Construction Inspector will confirm substantial com pletion. The Parks Construction Inspector will schedule the punch list walk (pre-final review) within five working days after the project has been determined as substantially complete. A formal punch list will be developed at the punch list walk. The Parks Construction Inspector will provide a copy of the formal punch list to the Contractor within five working days of punch list walk. .

1. If at any point during this review that it becomes apparent that the Contractor has not properly prepared for the site review, the inspection shall immediately be terminated and re-scheduled at such a time as the site has been readied for a review. Any costs for the re- scheduling of the review shall be the responsibility of the Contractor.

C. Concurrent to the pre -final review, the City will make a formal request for all required turn-in items to be submitted to the City. All turn -in items shall be submitted to the City (single point of contact), at one time and only by appointment. Do not drop off the turn-in items at the front counter and without an appointment.

1.17 Establishment Period – not applicable

1.18 Final Review
A. A final on-site review shall be conducted to review project readiness for final turn-over. All punch list items must be satisfactorily addressed prior to the final review.

For Council Approval
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Maidu Softball Restroom Renovation Project
January 2022

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B. The project shall be prepared and cleaned per Section 2 - 1.12 of the General Conditions; the turf shall be mowed; and the irrigation heads shall be adjusted appropriately one day prior to the scheduled final review.

C. Acceptance of the project shall be considered “field accepted” and a recommendation will be forwarded to the City Council for “final acceptance” per Section 7 - 1.01 of the General Conditions.

D. Turn over for City maintenance shall occur only after:

1. A Notice of Completion (NOC) for city-built parks and for streetscapes has been approved by the City Council.

E. Contractor shall provide a written guarantee covering all improvements associated with this project. See 1.19 – Warrantees and Guarantees.

1.19 Record Documents
A. Record documents or as- built plans shall be maintained on- site and updated routinely as specified in Section 2 - 1.13 of the General Conditions . Record documents shall include all items under the contracted scope of work.

B. Record documents shall be submitted:

1. one full size set of final as -built drawings (verified/initialed by the Parks Inspector)

2. one set of 11 x 17 reductions of the complete as-built package; and

3. one USB storage device containing PDF scanned images (in color) of the verified/initialed as-built drawings.

4. For City of Roseville CIP projects, SWPPP binder, if applicable.

1.20 Warranties and Guarantees
A. Warranties are required under various Sections of these Specifications. Prior to final acceptance, the Contractor shall assemble all warranties into a single, bound or stapled package. All warrant ies shall be clearly labeled and the number of years highlighted. Also, see Sections 7 - 1.10 and 7 - 1.11 of the General Conditions.

1. Warranties for equipment shall be submitted in the manufacturer’s standard form and shall be countersigned by the subcontractor or supplier and the Contractor.

2. All other warranties shall be provided in the following format, written on subcontractor’s or supplier’s letterhead, signed by the subcontractor or supplier and countersigned by the Contractor:

WARRANTY FOR YEARS

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“We hereby warrant that the product which we have installed at project name has been done in accordance with the contract documents, and that the work, as installed will fulfill the warranty requirements included in the Specifications.

We agree to repair or replace any or all of our work, together with any other adjacent work which may be displaced by so doing, that may prove to be defective in its workmanship or material within the warranty period stated above commencing from the date of final acceptance of the above named project by the City of Roseville’s City Council, without additional expense to the City, ordinary wear and tear and unusual abuse or neglect excepted.

In the event of failure to comply with the above conditions within thirty (30) days of notification by the City, we collectively or separately do hereby authorize the City to proceed with the repairs or replacement of such defects at our expense. Payment of said costs and charges will be forwarded to the City upon demand.

Signed:

Subcontractor or Supplier Date

Countersigned:

Contractor Date
B. Guarantees shall be a minimum of one (1) year for all plant material, including trees and shrubs. The guarantee shall state that plant materials (trees & shrubs) to be free of all defects or disease and all plants are in a healthy and thriving condition at the completion of the contract. Deciduous plant material shall be warranted beyond the time of contract completion until such time as growth becomes evident.

PART 2 - PRODUCTS
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PART 3 - EXECUTION
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END OF SECTION
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January 2022

Section 01 57 23: Storm Water Pollution Control

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SECTION 01 57 23

STORM WATER POLLUTIO N CONTROL
PART 1 - GENERAL

1.01 General
A. The requirements set forth in the General Conditions shall be in addition to the standards provided herein.

B. The requirements set forth in the Special Conditions shall be in addition to the standards provided herein.

1.02 References
A. State Water Resources Control Board Order No. 2009-0009-DWQ National Pollutant Discharge Elimination System General Permit No . CAS0000002, for Storm Water Discharges Associated with Construction and Land Disturbance Activities.

B. CASQA California Stormwater BMP Handbook – Construction, November 2009

1.03 Definitions
A. NOI: Notice of Intent
B. NOT: Notice of Termination
C. QSP: Qualified SWPPP Practitioner
D. QSD: Qualified SWPPP Developer
E. SWPPP: Storm Water Pollution Prevention Plan
F. SWRCB: State Water Resources Control Board
G. NPDES: National Pollutant Discharge Elimination System General H. WDID: Waste Discharger Identification number
I. BMP: Best Management Practices
PART 2 - PRODUCTS
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PART 3 - EXECUTION

3.01 SWPPP
A. Comply with State Water Resources Control Board Order No. 2009-0009- DWQ National Pollutant Discharge Elimination System General Permit No.

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CAS0000002, for Storm Water Discharges Associated with Construction and Land Disturbance Activities.

B. A SWPPP has not been developed for this project . Contractors must comply with General Conditions 5-1.20 Water Pollution.

C. Implementation of the Erosion and Sediment Control Plan is the responsibility of the Contractor and a part of this project . Costs associated with implementation and maintenance of the BMPs per the Erosion and Sediment Control Plan shall be included in the lump sum base bid.

D. Major changes to the Erosion and Sediment Control Plan shall be reviewed by the Parks Inspector prior to implementation . Cost associated with the major changes will be paid for using the unit cost listed in the Additions or Deletions Sheet of the Proposal
E. The Parks Inspector will perform inspections of the jobsit e. Implementation of and minor changes to the Erosion and Sediment Control Plan as directed by the Parks Inspector shall be incidental to the Work . Contractor shall start all inspection corrective actions within 72 hours of observation, and complete as soon as possible.

F. All BMPs installed will be inspected by the Parks Inspector for compliance with the Erosion and Sediment Control Plan and BMP Fact Sheets . BMPs that are not in compliance shall be brought into compliance by the Contractor at no cost to the City.

G. Keep one copy of the Erosion and Sediment Control Plan and amendments at the project site.

H. The Erosion and Sediment Control Plan shall be readily available throughout the course of construction and until the Project has been accepted by the City.

The Erosion and Sediment Control Plan shall be made available upon request by a representative of the Regional Water Quality Control Board, State Water Resources Control Board, United States Environmental Protection Agency, or City’ storm water staff.

I. When requested by the City for pre-fianl (punch list) review, the Contractor shall submit the project site copy of the Erosion and Sediment Control Plan to the City’s Project Manager.

3.02 Schedule
A. Contractor shall develop a Water Pollution Control Schedule that describes the timing of grading or other work activities that could affect water pollution. The schedule shall be updated by the Contractor to reflect changes in the Contractor’s operations that would affect the necessary implementation of water pollution control practices . The typical sequence of work shall be adjusted by the Contractor based on weather conditions and forecasted rain events. The schedule is considered an appropriate and applicable BMP.

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3.03 Penalties and fines
A. Contractor is responsible for all penalties and fines assessed to or levied on the project related to the implementation of the Erosion and Sediment Control Plan.

B. In an effort to maintain compliance with the General Permit, the Contractor may be asked to make changes to the BMPs. If the Contractor is unable to perform these services in a timely manner the City reserves the right to address any areas of concern and deduct the cost from the contract.

3.04 BMP’s
A. Construction BMP’s shall be installed per the Erosion / Sediment Control Plan, and in accorda nce with the CASQA California Stormwater BMP Handbook.

Use of alternative BMP’s will be reviewed and accepted at the discretion of the City’s Parks Inspector.

3.05 Cleaning
A. Thoroughly clean all areas where work has occurred. Remove from the site excess material, debris and rubbish.

B. Take all precautions to protect completed work . Immediately repair or replace all damaged areas due to tire ruts, erosion, compaction failure, etc . Keep all erosion control measures intact.

END OF SECTION
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Maidu Softball Restroom Renovation Project
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Section 31 10 00: Clearing and Grubbing

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SECTION 31 10 00

CLEARING AND GRUBBING
PART 1 - GENERAL

1.01 General Requirements
A. The requirements set forth in the General Conditions shall be in addition to the standards provided herein.

B. The requirements set forth in the Supplemental Conditions shall be in addition to the standards provided herein.

1.02 Description
A. Preserve and protect existing site amenities to remain, including, but not limited to, trees, shrubs, underground utilities and other improvements as shown on the Plans. Protection of work shall include affected improvements on adjoining properties.

B. Scope of work includes: site preparation, removal of debris, staging of equipment and materials and securing the site for construction.

1.03 Related Work
A. Section 31 20 00: Earthwork
B. Section 01 57 23: Storm Water Pollution Control

1.04 Protection/Repl acement
A. Prior to demolition, erect protective fencing a minimum of one foot (1’) beyond the canopy of all trees to remain. The radius of the canopy shall be measured from the longest branch furthest from the trunk . Refer to the environmental document for additional requirements for protective fencing on other existing natural features. For work within or near protected trees, a tree permit may be required.

B. If public use is to be maintained on unaffected portions of the project site, the Contractor shall be responsible for directing pedestrian and vehicular traffic safely around the construction zone. Utilization of temporary fencing, barricades, signage, etc . shall be the responsibility of the Contractor . Safe detours shall be available to the general public at all times during the course of construction.

C. Protection of existing site improvements shown to remain, including, but not limited to, fencing, signs, benches, picnic tables, play structures, shade structures, drinking fountains, concrete paving, concrete wall and curbs, For Council Approval
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decomposed granite paving, asphalt concrete paving, recreational site improvements, etc. are to be protected and preserved.

D. The Contractor shall be responsible for any damage to and maintenance of all existing street improvements, drainage facilities and irrigation systems and to re-establish these improvements to their original condition as soon as possible after completion of the work in the area, to the complete satisfaction of the Project Manager and Inspector . Realignments or modifications to the existing facilities as shown on the plans are accepted.

E. Survey monuments and markers either shown on the Plans or encountered during the course of construction shall be protected and preserved. The Contractor shall notify the Inspector upon discovery of an unmarked monument, at which time, arrangements for the relocation or adjustment of the monument will be determined. All costs associated with the relocation or adjustment of these monuments shall be the Contractor’s responsibility.

F. Burning or burying removed material on-site is prohibited.

G. Where the removal of specific material creates an open hole, pit, trench or other depression, the Contractor shall immediately backfill and compact the areas consistent with requirements outlined in Section 31 20 00 of these Specifications.

H. All items identified in the Plans to remain or identified in the field to remain, removed in error by the Contractor, shall be repaired or replaced to match in equal or better construction, at no cost to the City . The quality of the repair or replacement shall be measured as that existing at contract award.

PART 2 - PRODUCTS
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PART 3 - EXECUTION

3.01 Pre-Construction Site Review
A. Contractor shall review existing site conditions with the Inspector prior to start of construction and document any conditions which adversely affect the satisfactory execution of the work and final acceptance of the project.

B. Commencement of work constitutes acceptance of existing conditions . The Contractor shall, at his expense, be responsible for correcting all unsatisfactory and defective work.

3.02 Clearing
A. Completely remove trees, shrubs, stumps, vines, rubbish/debris, undergrowth, deadwood, structures, and other elements identified to be removed and/or which interfere with the construction as shown on the Plans and as specified.

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B. Obtain verification from the Project Manager for non-identified items scheduled to be removed prior to actual removal.

3.03 Grubbing
A. Remove all stumps, roots, grasses and weeds in its entirety . Apply systemic weed killer. Confirm weed kill prior to removal.

B. Once surface material is removed, the Contractor shall stockpile the top twelve inches (12”) of topsoil for use during the final grading phase of work . This soil shall be free of rocks, debris, roots and other undesirable material.

3.04 Utilities
A. Contact USA Alert (800) 642- 2444 prior to commencement of any demolition or excavation work. Provide a minimum of 48 hours’ notice. Verify all utilities entering into and their locations within the project site.

B. Where utilities lie within th e project site, but are not a part of the project, the Contractor shall cooperate with the agency or utility company having jurisdiction to maintain its use and the integrity of the structure.

C. Where utilities enter into the project site and taps, connections to or extensions of the utility are identified in the Plans, the Contractor shall coordinate all work with the agency or utility company having jurisdiction to minimize or eliminate disruption of use by the adjacent properties.

D. Verify that all utilities , shown to be removed on the Plans, are inactive and turned off prior to disconnection and/or re-routing, prior to demolition.

3.05 Debris Removal
A. All materials removed as a part of this contract shall become the property of the Contractor and shall be legally disposed of off-site, unless otherwise noted on the Plans.

B. Where a portion of a concrete slab, curb or wall and asphalt concrete paving or curb is to be removed, the concrete shall be cut with a concrete saw at a 90 degree angle so that the edge of the remaining concrete shall form a neat, straight line . Conform to the City of Roseville Design and Construction Standards, latest edition.

END OF SECTION
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Section 33 00 00: Utilities

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SECTION 33 00 00

UTILITIES
PART 4 - GENERAL

4.01 General Requirements
A. The requirements set forth in the General Conditions shall be in addition to the standards provided herein.

B. The requirements set forth in the Supplemental Conditions shall be in addition to the standards provided herein.

C. The standards set forth in the City of Roseville Design and Construction Standards, latest edition, for storm drainage throughout the project and for sanitary sewer installations within the public r ights-of-ways, easements, or as shown on the improvement plans shall be in addition to the standards provided herein.

D. The standards set forth in the latest edition of the California Building Code (CBC) for sanitary sewer installation within the project site, outside of the public right-of-way or easement shall be in addition to the standards provided herein.

4.02 Description
A. Furnish all labor, materials and equipment for the complete installation of the storm drain system and sanitary sewer pipe, and necessary appurtenances as shown on the Plans and as specified herein.

B. Submit a materials listing for review and approval prior to commencement of specified work.

4.03 Related Work
A. Section 31 10 00: Clearing and Grubbing
B. Section 31 20 00: Earthwork

4.04 Safety Requirements
A. Furnish, install and maintain required sheeting, shoring, bracing, and other methods to ensure complete and safe work environment for all workers. Upon completion of work, remove all bracing, shoring, etc . in its entirely, unless otherwise directed by the Inspector.

B. Prior to excavation or trenching, the Contractor shall contact USA Alert (800) 227-2600 to locate all known utilities a minimum of 48 hours prior to start of work. During the course of construction, the Contractor shall take every precaution to maintain and protect utilities noted to remain. Said utilities shall remain operational at all times, unless otherwise noted on the plans.

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C. The existing utilities are shown on the Plans based on the information available at the time of contract document development . The City shall not assume responsibility for any inaccuracies or incompleteness of the Plans based on such information. The Contractor shall immediately notify, upon damage of any pipeline or facility, the Owner and/or its agents and take every action necessary to repair or replace damaged facilities to the satisfaction of the Inspector, and at no additional cost to the City.

D. Trenches, excavations and repair of pavement shall be consistent with Section 31 20 00: Earthwork.

4.05 Coordination
A. The piping system as shown on the Plans is diagrammatic. The Contractor shall make reasonable adjustments to the layout to avoid conflicts, based on actual field conditions. Said changes shall not interfere with the design intent of the system.

4.06 Tolerance
A. The allowable tolerance for the installation of pipe is 0.05 feet within grades or spot elevations indicated on the Plans.

4.07 Product Storage
A. Take every precaution to protect the materials and pipes from damage during the delivery, storage and installation of the pipe system . Store in a cool, contained area, protected from direct sunlight and per manufacturer’s recommendations. Pipe shall be supported on firm level ground at the site.

4.08 Record Drawings
A. The Contractor shall keep an accurate record of the as -built conditions of the storm drain and sanitary sewer system . These records shall be updated daily and kept at the construction site. At any time, the Inspector may examine the conditions of the “as-builts” to ensure compliance of the above.

PART 5 - PRODUCTS

5.01 General
A. All products shall conform to City of Roseville Design and Construction Standards, latest edition, except as noted below.

5.02 Drain Pipe
A. Solid drainpipe shall be PVC SDR 35 and shall conform to ASTM D1784, or accepted equal. Gasketed connections shall conform to ASTM F477.

For Council Approval
Not for Bidding
Maidu Softball Restroom Renovation Project
January 2022

Section 33 00 00: Utilities

Page 3 of 5 ends

B. Perforated drainpipe shall be smooth walled PVC, open per Caltrans Section 68-1.02K, or accepted equal.

5.03 Drain Rock
A. Drain rock shall be Class 2 washed, ¾” diameter.

5.04 Filter Fabric
A. Filter fabric shall be MiraDRAIN 5000, or accepted equal.

5.05 Drains
A. Drain Inlets shall be pre-cast and a minimum size of twenty -four inches (24”) square or round by Jensen Precast, or accepted equal.

1. Grate shall be heavy duty, cast iron, walk-on, and bolt down.

2. Box extensions shall be Jensen Precast, or accepted equal.

3. The base shall be six inches (6”) thick.

4. Walls shall be six inches (6”) thick.

5. A “No Dumping” Metal Storm Drain Marker shall be affixed to the concrete color of each drain inlet (See Detail DR-20)

6. Contractor may install cast-in-place drain inlets in lieu of pre-cast drain inlets.

Submit shop drawings and concrete mix design for review and approval.

B. Channel Drains for baseball/softball backstop areas shall be Polycast 600 series pre-sloped trench drains with galvanized steel slotted grates or accepted equal.

C. Sanitary sewer clean outs shall be as specified in the City of Roseville, Design and Construction Standards, latest edition.

5.06 Manholes
A. Manholes shall have tongue and groove joints, be forty -eight inches (48”) minimum in diameter, meeting ASTM C-478.

B. Covers shall be cast iron.

C. All components shall conform to the City of Roseville Design and Construction Standards, latest edition.

5.07 Tracer Wire
A. Insulated solid copper wire, minimum #12 gauge. Color shall be green.

5.08 Sanitary Sewer Pipe
A. Vitrified clay pipe (VCP) shall be as specified in Section 91 Sanitary Sewer in the City of Roseville, Design and Construction Standards, latest edition.

B. PVC SDR 35 may be used for drinking fountain drain applications only, with prior approval, and shall conform to ASTM D3034.

For Council Approval
Not for Bidding
Maidu Softball Restroom Renovation Project
January 2022

Section 33 00 00: Utilities

Page 4 of 5 ends

5.09 Potable Water Warning T ape
A. On sites with both Recycled water and potable water lines. Blue plastic tape, 3 inches wide, with the words “CAUTION: POTABLE WATERLINE” imprinted in minimum 1 -inch high, black letters. Imprinting shall be continuous and permanent.

PART 6 - EXECUTION

6.01 General
A. All pipes shall slope uniformly from given elevations shown on the Plans.

B. All pipes shall be accurately laid true to line and grade, utilizing accepted construction methods.

C. Damaged or cracked pipe and fittings shall not be installed and shall be removed from site.

D. Install all pipe in locations shown on the Plans, except where existing conditions necessitate minor changes.

E. All pipe and fittings shall be kept clean and closed throughout the course of construction.

F. Connections to existing sanitary sewer stubs shall be “TV-ed” and air tested prior to the start of construction per the City of Roseville Design and Construction Standards, latest edition.

6.02 Installation
A. Installation of the specified pipe lines shall conform to the City of Roseville Design and Construction Standards, latest edition.

B. Notify the Inspector a minimum of 48 hours prior to covering of work to ensure timely inspections.

C. Cutting of AC or concrete paving shall be clean, vertical and straight, using a saw, or other tool specific to this applicat ion. Replace paving to existing or better condition prior to work.

D. Trench and backfill shall be per City of Roseville Design and Construction Standards, latest edition.

E. Catch basins and drain inlets shall be installed with a concrete collar with “No Dumping” message and fish symbol depressed into the concrete or bolted in place, consistent with Drawing DR -20 the City of Roseville Design and Construction Standards, latest edition.

F. Drain inlets installed in mulched planter areas shall have a 12-inch wide collar of 2- to 6-inch river cobble placed over filter fabric.

G. Channel drains shall be set per manufacturer’s instructions . Place slotted grates along the entire length of the backstop, including wing fencing, wherever concrete is placed adjacent to the back stop system. Provide a below grade For Council Approval
Not for Bidding
Maidu Softball Restroom Renovation Project
January 2022

Section 33 00 00: Utilities

Page 5 of 5 ends

piped connection at all gate openings into the infield area. Do not install grated drain sections at these entry/exit points.

H. Manholes shall be per City of Roseville Design and Construction Standards, latest edition. Install grate flush with finish grade.

I. Sanitary Sewer Clean-outs shall be installed with 3M ball markers and shall be located within planted or turf areas, whenever possible. Place clean-outs at 100’ intervals throughout the project . Clean-outs shall not be located within play areas. Install per City of Roseville Design and Construction Standards, latest edition.

J. Upon completion, thoroughly flush storm drain system in the presence of the Parks Inspector.

K. Installation of additional products not listed in the City Standards.

6.03 Tracer Wire
A. Install tracer wire on top of the potable water lines B. Tracer wire shall be continuous with no splices.

6.04 Potable Water Warning Tape
A. To be used on all potable water piping installed within the same project limits as on-site recycled water piping.

B. Install plastic warning tape in pipe backfill, six inches above pipe, for the entire length of the pipe.

6.05 Cleaning
A. Keep site clean at all times . Remove from the site all debris and rubbish and legally dispose.

END OF SECTION
For Council Approval
Not for Bidding

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For Council Approval
Not for Bidding

DRAW

[E:\agreement\form agreements\Project Manuals\buildings & grounds.docx; 4/25/2018]

DRAWINGS

Project: __________________________

For Council Approval
Not for Bidding
Project Drawings are issued a separate plan set titled:
"Maidu Softball Restroom Alterations," dated 10/22/21
as prepared by WMB Architects.

Maidu Softball Restroom Renovation

THIS PAGE INTENTIONALLY LEFT BLANK
For Council Approval
Not for Bidding

AB 626 - 1

[E:\agreement\form agreements\Project Manuals\buildings & grounds.docx; 4/25/2018] TEXT OF AB 626
Assembly Bill No. 626

CHAPTER 810

An act to add and repeal Section 9204 of the Public Contract Code, relating to public contracts.

[Approved by Governor September 29, 2016. Filed with Secretary of State September 29, 2016.]
LEGISLATIVE COUNSEL’S DIGEST
AB 626, Chiu. Public contracts: claim resolution.

Existing law prescribes various requirements regarding the formation, content, and enforcement of state and local public contracts. Existing law applicable to state public contracts generally requires that the resolution of claims related to those contracts be subject to arbitration.

Existing law applicable to local agency contracts prescribes a process for the resolution of claims related to those contracts of $375,000 or less.

This bill would establish, for contracts entered into on or after January 1, 2017, a claim resolution process
applicable to any claim by a contractor in connection with a public works project. The bill would define a claim as a separate demand by the contractor for one or more of the following: a time extension for relief from damages or penalties for delay, payment of money or damages arising from work done pursuant to the contract for a public work, or payment of an amount disputed by the public entity, as specified.

This bill would require a public entity, defined to exclude certain state entities, upon receipt of a claim sent by registered or certified mail, to review it and, within 45 days, provide a written statement identifying the disputed and undisputed portions of the claim. The bill would authorize the 45-day period to be extended by mutual agreement. The bill would require any payment due on an undisputed portion of the claim to be processed within 60 days, as specified. The bill would require that the claim be deemed rejected in its entirety if the public entity fails to issue the written statement.

This bill would authorize, if the claimant disputes the public entity’s written response or if the public entity fails to respond to a claim within the time prescribed, the claimant to demand to meet and confer for settlement of the issues in dispute. The bill would require any disputed portion of the claim that remains in dispute after the meet and confer conference to be subject to nonbinding mediation, as specified. The bill would provide that unpaid claim amounts accrue interest at 7% per annum. The bill would prescribe a procedure by which a subcontractor or lower tier contractor may make a claim through the contractor.

This bill would require the text of these provisions, or a summary, to be set forth in the plans or specifications for any public work which may give rise to a claim. The bill would specify that a waiver of these rights is void and contrary to public policy, except as specified. The bill would also specify that it does not impose liability on a public entity that makes loans or grants available through a competitive application process, for the failure of an awardee to meet its contractual obligations.

For Council Approval
Not for Bidding

AB 626 - 2

[E:\agreement\form agreements\Project Manuals\buildings & grounds.docx; 4/25/2018] By increasing the duties of local agencies and officials, this bill would impose a state- mandated local program.

This bill would, on January 1, 2020, repeal the provision establishing the claim resolution process.

This bill would specify that these provisions constitute a matter of statewide concern.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

The people of the State of California do enact as follows:

SECTION 1.

Section 9204 is added to the Public Contract Code, to read:

9204. (a) The Legislature finds and declares that it is in the best interests of the state and its citizens to ensure that all construction business performed on a public works project in the state that is complete and not in dispute is paid in full and in a timely manner.
(b) Notwithstanding any other law, including, but not limited to, Article 7.1 (commencing with Section 10240) of Chapter 1 of Part 2, Chapter 10 (commencing with Section 19100) of Part 2, and Article 1.5 (commencing with Section 20104) of Chapter 1 of Part 3, this section shall apply to any claim by a contractor in connection with a public works project. (c) For purposes of this section:
(1) ”Claim”
means a separate demand by a contractor sent by registered mail or certified mail with return receipt requested, for one or more of the following:
(A) A time extension, including, without limitation, for relief from damages or penalties for delay assessed by a public entity under a contract for a public works project. (B) Payment by the public entity of money or damages arising from work done by, or on behalf of, the contractor pursuant to the contract for a public works project and payment for which is not otherwise expressly provided or to which the claimant is not otherwise entitled. (C) Payment of an amount that is disputed by the public entity. (2) ”Contractor”
means any type of contractor within the meaning of Chapter 9 (commencing with Section 7000) of Division 3 of the Business and Professions Code who has entered into a direct contract with a public entity for a public works project. (3) (A) ”Public entity” means, without limitation, except as provided in subparagraph (B), a state agency, department, office, division, bureau, board, or commission, the California State University, the University of California, a city, including a charter city, county, including a charter county, city and county, including a charter city and county, district, special district, public authority, political subdivision, public corporation, or nonprofit transit corporation wholly owned by a public agency and formed to carry out the purposes of the public agency. (B) ”Public entity”
shall not include the following:
(i) The Department of Water Resources as to any project under the jurisdiction of that department.
(ii) The Department of Transportation as to any project under the jurisdiction of that department.

For Council Approval
Not for Bidding

AB 626 - 3

[E:\agreement\form agreements\Project Manuals\buildings & grounds.docx; 4/25/2018] (iii) The Department of Parks and Recreation as to any project under the jurisdiction of that department.
(iv) The Department of Corrections and Rehabilitation with respect to any project under its jurisdiction pursuant to Chapter 11 (commencing with Section 7000) of Title 7 of Part 3 of the Pena
l Code.
(v) The Military Department as to any project under the jurisdiction of that department. (vi) The Department of General Services as to all other projects. (vii) The High-Speed Rail Authority.
(4) ”Public works project”
means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. (5) ”Subcontractor” means any type of contractor within the meaning of Chapter 9 (commencing with Section 7000) of Division 3 of the Business and Professions Code who either is in direct contract with a contractor or is a lower tier subcontractor. (d) (1) (A) Upon receipt of a claim pursuant to this section, the public entity to which the claim applies shall conduct a reasonable review of the claim and, within a period not to exceed 45 days, shall provide the claimant a written statement identifying what portion of the claim is disputed and what portion is undisputed. Upon
receipt of a claim, a public entity and a contractor
may, by mutual agreement, extend the time period provided in this subdivision. (B) The claimant shall furnish reasonable documentation to support the claim. (C) If the public entity needs approval from
its governing body to provide the claimant a
written statement identifying the disputed portion and the undisputed portion of the claim, and the governing body does not meet within the 45 days or within the mutually agreed to extension of time following receipt of a claim sent by registered mail or certified mail, return receipt requested, the public entity shall have up to three days following the next duly publicly noticed meeting of the governing body after the 45-day period, or extension, expires to provide the claimant a written statement identifying the disputed portion and the undisputed portion. (D) Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the public entity issues its written statement. If the public entity fails to issue a written statement, paragraph (3) shall apply.
(2) (A) If the claimant disputes the public entity’s written response, or if the public entity fails to respond to a claim issued pursuant to this section within the time prescribed, the claimant may demand in writing an informal conference to meet and confer for settlement of the issues in dispute. Upon receipt of a demand in writing sent by registered mail or certified mail, return receipt requested, the public entity shall
schedule a meet and confer conference within 30 days
for settlement of the dispute.
(B) Within 10 business days following the conclusion of the meet and confer conference, if the claim or any portion of the claim remains in dispute, the public entity shall provide the claimant a written statement identifying the portion of the claim that remains in dispute and the portion that is undisputed. Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the public entity issues its written statement. Any disputed portion of the claim, as identified by the contractor in writing, shall be submitted to nonbinding mediation, with the public entity and the claimant sharing the associated costs equally. The public entity and claimant shall mutually agree to a mediator within 10 business days after the disputed portion of the claim has been identified in writing. If the parties cannot agree upon a mediator, each party shall select a mediator and those mediators shall select a qualified neutral third party to mediate with regard to the disputed portion of the claim. Each For Council Approval
Not for Bidding
AB 626 - 4
[E:\agreement\form agreements\Project Manuals\buildings & grounds.docx; 4/25/2018] party shall bear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator. If mediation is unsuccessful, the parts of the claim remaining in dispute shall be subject to applicable procedures outside this section. (C) For purposes of this section, mediation includes any nonbinding process, including, but not limited to, neutral evaluation or a dispute review board, in which an independent third party or board assists the parties in dispute resolution through negotiation or by issuance of an evaluation. Any mediation utilized shall conform to the timeframes in this section. (D) Unless otherwise agreed to by the public entity and the contractor in writing, the mediation conducted pursuant to this section shall excuse any further obligation under Section 20104.4 to mediate after litigation has been commenced. (E) This section does not preclude a public entity from requiring arbitration of disputes under private arbitration or the Public Works Contract Arbitration Program, if mediation under this section does not resolve the parties’ dispute.
(3) Failure by the public entity to respond to a claim from a contractor within the time periods described in this subdivision or to otherwise meet the time requirements of this section shall result in the claim being deemed rejected in its entirety. A claim that is denied by reason of the public entity’s failure to have responded to a claim, or its failure to otherwise meet the time requirements of this section, shall not constitute an adverse finding with regard to the merits of the claim or the responsibility or qualifications of the claimant. (4) Amounts not paid in a timely manner as required by this section shall bear interest at 7 percent per annum.
(5) If a subcontractor or a lower tier subcontractor lacks legal standing to assert a claim against a public entity because privity of contract does not exist, the contractor may present to
the public entity a claim on behalf of a subcontractor or lower tier subcontractor. A subcontractor may request in writing, either on his or her own behalf or on behalf of a lower tier subcontractor, that the contractor present a claim for work which was performed by the subcontractor or by a lower tier subcontractor on behalf of the subcontractor. The subcontractor requesting that the claim be presented to the public entity shall furnish reasonable documentation to support the claim. Within 45 days of receipt of this written request, the contractor shall notify the subcontractor in writing as to whether the contractor presented the claim to the public entity and, if the original contractor did not present the claim, provide the subcontractor with a statement of the reasons for not having done so.
(e) The text of this section or a summary of it shall be set forth in the plans or specifications for any public works project that may give rise to a claim under this section. (f) A waiver of the rights granted by this section is void and contrary to public policy, provided, however, that (1) upon receipt of a claim, the parties may mutually agree to waive, in writing, mediation and proceed directly to the commencement of a civil action or binding arbitration, as applicable; and (2) a public entity may prescribe reasonable change order, claim, and dispute resolution procedures and requirements in addition to the provisions of this section, so long as the contractual provisions do not conflict with or otherwise impair the timeframes and procedures set forth in this section.
(g) This section applies to contracts entered into on or after January 1, 2017. (h) Nothing in this section shall impose liability upon a public entity that makes loans or grants available through a competitive application process, for the failure of an awardee to meet its contractual obligations.
(i) This section shall remain in effect only until January 1, 2020, and as of that date is For Council Approval
Not for Bidding

AB 626 - 5

[E:\agreement\form agreements\Project Manuals\buildings & grounds.docx; 4/25/2018] repealed, unless a later enacted statute, that is enacted before January 1, 2020, deletes or extends that date.

SECTION 2.

The Legislature finds and declares that it is of statewide concern to require a charter city, charter county, or charter city and county to follow a prescribed claims resolution process to ensure there are uniform and equitable procurement practices.

SECTION 3.

If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.

For Council Approval
Not for Bidding
Maidu Softball Restroom Vicinity Map

Rocky Ridge
Drive
Softball Restrooms
(Area of Work)
Maidu Regional
Park
Johnson
Ranch Drive

COUNCIL COMMUNICATION
CC #:
1900
File #:
0400-04-13-1
Title:

Creekview Phase 2 Village 12 - Notice of Completion
Contact:

Troy Galvin
916-223-7441 [email protected]

Meeting Date: 2/2/2022
Item #: 7.2.

RECOMMENDATION TO COUNCIL
Staff recommends that the City Council adopt the attached resolution accepting Creekview Phase 2 Village 12
as complete and authorizing the City Engineer to execute the Notice of Completion.

BACKGROUND
The Engineering Division has made a final inspection of the above project and has found the roadway infrastructure work complete in accordance with the improvement plans and City specifications.

FISCAL IMPACT
The actions requested as part of this action have no impact to the City's General Fund.

Construction costs were paid by the developer.

ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) does not apply to activities that will not result in a direct or reasonably foreseeable indirect physical change in the environment, or is otherwise not considered a project as defined by CEQA Statute §21065 and CEQA State Guidelines §15060(c)(3) and §15378. Approval of a Notice of Completion meets the above criteria and is not subject to CEQA. No additional environmental review is required.

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS
Goal F - Invest in well-planned infrastructure and growth

Respectfully Submitted,
Troy Galvin, Construction Inspector
Mike Isom, Development Services Director

_____________________________
Dominick Casey, City Manager
ATTACHMENTS:

Description
Resolution 22-027
NOC
Exhibit A
Vicinity Map
Final Map

RESOLUTION NO. 22-027

RESOLUTION OF THE COUNCIL OF THE CITY OF ROSEVILLE ACCEPTING THE PUBLIC WORK KNOWN AS CREEKVIEW PHASE 2 VILLAGE 12 PROJECT, APPROVING THE "NOTICE OF COMPLETION", AND AUTHORIZING AND DIRECTING THE CITY

ENGINEER TO EXECUTE SAID NOTICE ON BEHALF OF THE CITY OF ROSEVILLE,

THEREFORE, AND ACCEPTING ALL DEDICATIONS OFFERED ON THE REC ORDED MAP OF THE SUBDIVISION.

BE IT RESOLVED by the Council of the City of Roseville as follows:

1. The "Notice of Completion" on file in the City Clerk's Department relative to that public work known as the Creekview Phase 2 Village 12 is hereby approved and the public work accepted.

2. All rights of way and easements as offered on the final map of recorded with Placer County Recorder’s Office Book FF of Maps, Page 60 is hereby accepted.

3. The City Engineer is hereby authorized and directed to execute said Notice on behalf of the City of Roseville.

PASSED AND ADOPTED by the Council of the City of Roseville, this 2nd day of February, 2022, by the following vote on roll call:

AYES COUNCILMEMBERS:

NOES COUNCILMEMBERS:

ABSENT COUNCILMEMBERS:

MAYOR

ATTEST:

CITY CLERK

RECORDING REQUESTED BY AND WHEN
RECORDED MAIL TO:

ITY CLERK

CITY OF ROSEVILLE
311 VERNON STREET
ROSEVILLE, CA 95678
Exemp
t from recording fees
Pursuant to Gov’t Code §27383

NOTICE OF COMPLETION
NOTICE IS HEREBY GIVEN that the public work of improvement known as the Project was completed and
accepted by the City of Roseville on . The location is situated in the City of Roseville, County of Placer, State of California and is indicated on the attached map, marked as Exhibit “A” and incorporated herein by this reference. The real property herein described is owned by the City of Roseville, 311 Vernon Street, Roseville CA 95678.

The direct/general contractor on said project was .

The surety on said project was
.
___________________________________
C
ity of Roseville
Owner
ATTEST:
________________________________
_
Sonia Orozco, City Clerk

State of California )
County of Placer )

I, , being first duly sworn, depose and say: I am the of the City of Roseville, a municipal corporation in the State of California, owner of the property described in the above Notice. I am duly authorized to make this verification for and on behalf of the City of Roseville. I have read the Notice of Completion and know its contents and the facts stated therein are true.

___________________________________

City of Roseville

State of California )
County of Placer )
Subscribed and sworn to (or affirmed) before
me on this _ ____
day of ,
20 ___,
proved to me on the basis of satisfactory
evidence to be the person(s) who appeared
before me.

____________________________________
Place Notary Seal and/or Stamp Above Signature of Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

ESTBROOKBL

LOWER BANK DR

EXHIBIT A
City of Roseville
Creekview Phase 2
Village 12
Project
Location
.
0 0.250.125
Miles
CREEKVIEW PHASE 2 VILLAGE 12
Vicinity Map

COUNCIL COMMUNICATION
CC #:
1903
File #:
0400-04-12-1
Title:

Sierra Vista Specific Plan Westbrook Boulevard - Reimbursement Agreement Contact:

Matthew Todd 916-774-5562 [email protected]

Meeting Date: 2/2/2022
Item #: 7.3.

RECOMMENDATION TO COUNCIL
Staff recommends City Council adopt a resolution to approve the Reimbursement Agreement with Solaire Community Builders LLC, and authorize the City Manager to execute it on behalf of the City of Roseville.

BACKGROUND
On May 19, 2010, City Council approved the Development Agreement (DA) for the Sierra Vista Specific Plan. The DA allows the developers of the Sierra Vista Specific Plan the opportunity to receive reimbursement for City roadway improvements along Westbrook Boulevard, including signalized intersection improvements, which are beyond the developer's obligations
. Funding for
the City improvements is supplied through the Sierra Vista Set-aside in the Traffic Mitigation Fund.

The Sierra Vista Set-aside is funded by developer fees and is intended to specifically fund the capital improvements associated with the Sierra Vista Specific Plan.

FISCAL IMPACT
The actions requested as part of this item will have no impact to the City's General Fund. This reimbursement agreement, in the amount of $341,995.50, is funded through the Sierra Vista Set- aside in the Traffic Mitigation Fund by developer-paid fees collected over time.

ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) only applies to projects which have the potential to cause a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. (CEQA Guidelines §15061(b)(3)).

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS
Goal F - Invest in well-planned infrastructure and growth

Respectfully Submitted,
Matthew Todd, Principal Engineer
Mike Isom, Development Services Director

_____________________________
Dominick Casey, City Manager
ATTACHMENTS:

Description
Resolution 22-028
Reimbursement Agreement
Vicinity Map
RESOLUTION NO. 22-028

APPROVING A CITY/DEVELOPER REIMBURSEMENT AGREEMENT, BY AND

BETWEEN THE CITY OF ROSEVILLE AND SOLAIRE COMMUNITY BUILDERS LLC,

AND AUTHORIZING THE CITY MANAGER TO EXECUTE IT ON BEHALF

OF THE CITY OF ROSEVILLE

WHEREAS, a City/Developer Reimbursement Agreement for the Sierra Vista – Westbrook Boulevard project, with Solaire Community Builders LLC, has been reviewed by City Council.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Roseville that said reimbursement agreement is hereby approved and that the City Manager is authorized to execute it on behalf of the City of Roseville; and

PASSED AND ADOPTED by the Council of the City of Roseville this day of , 2022, by the following vote on roll call:

AYES COUNCILMEMBERS:

NOES COUNCILMEMBERS:

ABSENT COUNCILMEMBERS:

MAYOR

ATTEST:

City Clerk

MARKET STEARL RUSH DR

WESTBROOK BL

SANTUCCIBL
Project
Location
.
0 0.20.1
Miles

VICINITY MAP
City of Roseville
Sierra Vista
Westbrook Boulevard Reimbursement Agreement

COUNCIL COMMUNICATION
CC #:
1909
File #:
0800-03
Title:

Long-Term Firm Point-to-Point Transmission - Service Agreement Renewal Contact:

Ryley Kelly
916-774-5649
[email protected]

Meeting Date: 2/2/2022
Item #: 7.4.

RECOMMENDATION TO COUNCIL
Staff requests City Council to:

1 .

Adopt a resolution authorizing the City Manager to execute a contract renewal for 50MW of long-term firm point-to-point transmission with PacifiCorp, upon approval as to form by the City Attorney. The Agreement is substantially the same in form as the attached previously executed Agreement.

2 .

Additionally, authorize the City Manager or his designee to reserve this transmission in the Open Access Same-Time Information System (OASIS) and submit the appropriate application necessary to facilitate the contract renewal for March 1, 2023 through February 29, 2028.

BACKGROUND
In December of 2017, Roseville City Council adopted Resolution No. 17-512 approving a form of service agreement for long-term firm point-to-point transmission service between Roseville and PacifiCorp. Subsequently, in January of 2018, Roseville executed a long-term transmission contract with PacifiCorp in which Roseville purchased a five-year, 50MW, transmission product that increased access to the Pacific Northwest.

The existing contract is set to expire in February of 2023. As an existing customer, Roseville holds the right of first refusal and must notify PacifiCorp 12 months prior to the termination of the contract if Roseville intends to exercise the roll-over right.

PacifiCorp’s renewal process requires the City to make a transmission reservation in OASIS and submit a renewal application. The reservation and application then enter the PacifiCorp review process. Upon approval, PacifiCorp will issue a partially executed renewal contract to the City.

The City then has 15 days to fully execute the renewal. Once the renewal is completed, Roseville would maintain its 50MW point-to-point transmission service through February 29, 2028.

FISCAL IMPACT
The estimated cost of this five-year contract is $10 million, or about $3.33/ kW-mo. This renewal price is approximately 20% higher than the original contract due to an increase in the value of firm long-term transmission to the Pacific Northwest. Even with the increase, the renewal is expected to provide a net savings of $13 million over the five-year term. The savings come from lower energy costs and the avoided cost to purchase needed replacement capacity. Since Roseville is a current long-term transmission customer, a deposit is not required. Funds are available in the Fiscal Year 2021-22 Electric Fund budget and will be budgeted in future fiscal years.

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS
Goal A - Remain fiscally responsible in a changing world.

Respectfully Submitted,
Ryley Kelly, Electric Business Analyst
Michelle Bertolino, Electric Utility Director

_____________________________
Dominick Casey, City Manager
ATTACHMENTS:

Description
Resolution 22-030
Previously Executed PAC Transmission Contract - SA 881- Signed PAC Pro Forma Service Agreement
RESOLUTION NO. 22-030

APPROVING A FORM OF SERVICE AGREEMENT FOR LONG-TERM FIRM

POINT-TO-POINT TRANSMISSION SERVICE BETWEEN THE CITY OF

ROSEVILLE AND PACIFICORP, AND AUTHORIZING THE CITY MANAGER TO

EXECUTE IT ON BEHALF OF THE CITY OF ROSEVILLE

WHEREAS, a template “Form of Service Agreement for Long-Term Firm PointTo-Point Transmission Service”, between the City of Roseville and PacifiCorp, is attached as Attachment A and has been reviewed by the City Council and City Attorney; and

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Roseville that the City Manager is authorized to execute, on behalf of the City of Roseville, a final “Form of Service Agreement for Long-Term Firm Point-To-Point Transmission Service”, between the City of Roseville and PacifiCorp, that is in substantially the same form as the template attached as Attachment A.

BE IT FURTHER RESOLVED that the City Manager or his designee is hereby authorized to reserve this transmission in the Open Access Same-Time Information System (OASIS) and submit the appropriate application necessary to facilitate the contract renewal for March 1, 2023 through February 29, 2028.

PASSED AND ADOPTED by the Council of the City of Roseville this day of , 2022, by the following vote on roll call:

AYES COUNCILMEMBERS:

NOES COUNCILMEMBERS:

ABSENT COUNCILMEMBERS:

MAYOR

ATTEST:

City Clerk
PacifiCorp
FERC Electric Tariff Volume No. 11
Open Access Transmission Tariff

Page 295 ends

Issued By: Rick Vail
Vice President, Transmission
Attachment A, v.2.0.0
Effective: November 15, 2013

ATTACHMENT A
Form Of Service Agreement For

[Long-Term or Short-Term]
Firm Point-To-Point Transmission Service

1.0 This Service Agreement, dated as of , is entered

into, by and between PacifiCorp ("Transmission Provider"), and ("Transmission Customer") for the provision of
[Long-Term or Short-Term] Firm Point-to-Point Transmission Service.

2.0 The Transmission Customer has been determined by the Transmission Provider to have a Completed Application for Firm Point-To-Point Transmission Service under the Tariff.

3.0 For Long-Term Firm Point-to-Point Transmission Service:

3.1 The Transmission Customer has provided to the
Transmission Provider an Application deposit in
accordance with the provisions of Section 17.3 of the
Tariff.

3.2 Service under this agreement shall commence on the
later of (1) the requested Service commencement date,
(2) the date on which construction of any Direct
Assignment Facilities and/or Network Upgrades are
completed, or (3) such other date as it is permitted
to become effective by the Commission. Service under
this agreement shall terminate on such date as
mutually agreed upon by the parties.

3.3 Service under this agreement shall be in accordance with the attached Specifications.

4.0 For Short-Term Firm Point-to-Point Transmission Service:

4.2 The Transmission Customer agrees to supply information the Transmission Provider deems reasonably necessary
in accordance with Good Utility Practice in order for
it to provide the requested service.

4.3 The Transmission Customer will provide to the
Transmission Provider an Application deposit for
PacifiCorp
FERC Electric Tariff Volume No. 11
Open Access Transmission Tariff

Page 296 ends

Issued By: Rick Vail
Vice President, Transmission
Attachment A, v.2.0.0
Effective: November 15, 2013

Short-Term Firm Point-to-Point Transmission Service in
accordance with the provisions of Section 17.3 of the
Tariff at the time such service is arranged.

4.4 Service under this agreement shall commence and shall be provided as agreed to at the time such service is
arranged.

5.0 The Transmission Provider agrees to provide and the Transmission Customer agrees to take and pay for Firm
Point-To-Point Transmission Service in accordance with the provisions of Part II of the Tariff and this Service
Agreement.

6.0 Any notice or request made to or by either Party regarding this Service Agreement shall be made to the representative of the other Party as indicated below.

Transmission Provider:

US Mail Deliveries: PacifiCorp Transmission Services
Attn: Central Cashiers Office
PO Box 2757
Portland, OR 97208-2757

Other Deliveries:

Phone Number:

Central Cashiers Office
Attn: PacifiCorp Transmission Services
825 NE Multnomah Street, Suite 550
Portland, OR 97232

[Add Central Cashiers Office Number]

Transmission Customer:

7.0 The Tariff is incorporated herein and made a part hereof.

PacifiCorp
FERC Electric Tariff Volume No. 11
Open Access Transmission Tariff

Page 297 ends

Issued By: Rick Vail
Vice President, Transmission
Attachment A, v.2.0.0
Effective: November 15, 2013

IN WITNESS WHEREOF, the Parties have caused this Service Agreement to be executed by their respective authorized officials.

PacifiCorp:

By:

Name Title Date

Transmission Customer:

By:

Name Title Date
PacifiCorp
FERC Electric Tariff Volume No. 11
Open Access Transmission Tariff

Page 298 ends

Issued By: Rick Vail
Vice President, Transmission
Attachment A, v.2.0.0
Effective: November 15, 2013

Specifications For Long-Term Firm Point-To-Point
Transmission Service

1.0 Term of Transaction:

Start Date:

Termination Date:

2.0 Description of capacity and energy to be transmitted by Transmission Provider including the electric Control Area in which the transaction originates.

3.0 Point(s) of Receipt:

Delivering Party:

PacifiCorp
FERC Electric Tariff Volume No. 11
Open Access Transmission Tariff

Page 299 ends

Issued By: Rick Vail
Vice President, Transmission
Attachment A, v.2.0.0
Effective: November 15, 2013

4.0 Point(s) of Delivery:

Receiving Party:

5.0 Maximum amount of capacity and energy to be transmitted (Reserved Capacity):

6.0 Designation of party(ies) subject to reciprocal service obligation:

7.0 Name(s) of any Intervening Systems providing transmission service:

8.0 Service under this Agreement may be subject to some combination of the charges detailed below. (The appropriate charges for individual transactions will be determined in accordance with the terms and conditions of the Tariff.)

8.1 Transmission Charge:

8.2 System Impact and/or Facilities Study Charge(s)

8.3 Direct Assignment Facilities Charge:

8.4 Ancillary Services Charges:

JAN 2 3 2018
Form Of Service Agreement For Long-Term Firm Point-To-Point Transmission Service 'tRANSMISSION SERVICES

1. 0 This Service Agreement, dated as of ~ .:2S .~lfjf r is entered intor by and between PacifiCorp
( 11 Transmission Provider 11 ) r and City of Roseville ( 11 Transmission Customer 11 ) for the provision of Long Term Firm Point-to-Point Transmission Service.

PACIFICORP

2.0 The Transmission Customer has been determined by the Transmission Provider to have a Completed Application
for Firm Point-To-Point Transmission Service under the
Tariff.

3.0 For Long-Term Firm Point-to-Point Transmission
Service:

3.1 The Transmission Customer has provided to the
Transmission Provider an Application deposit in
accordance with the provisions of Section 17.3 of
the Tariff .

3.2 Service under this agreement shall commence on
the later of (l) the requested Service
commencement dater (2) the date on which
construction of any Direct Assignment Facilities
and/or Network Upgrades are completed/ or (3)
such other date as it is permitted to become
effective by the Commission . Service under this
agreement shall terminate on such date as
mutually agreed upon by the parties.

3.3 Service under this agreement shall be in
accordance with the attached Specifications.

4.0 For Short-Term Firm Point-to-Point Transmission
Service:

4.1 Service under this Agreement shall be provided by
the Transmission Provider upon request by an
authorized representative of the Transmission
Customer pursuant to the terms and conditions of
the Tariff .
4 . 2 The Transmission Customer agrees to supply
information the Transmission Pro v ider deems
reasonably necessary in accordance with Good
Utility Practice in order for it to provide the
requested service.

4.3 The Transmission Customer will provide to the
Transmission Provider an Application deposit for
Short-Term Firm Point-to-Point Transmission
Service in accordance with the provisions of
Section 17.3 of the Tariff at the time such
service is arranged.

4.4 Service under this agreement shall commence and
shall be provided as agreed to at the time such
service is arranged.

5.0 The Transmission Provider agrees to provide and the Transmission Customer agrees to take and pay for Firm
Point-To-Point Transmission Service in accordance with
the provisions of Part II of the Tariff and this
Service Agreement.

6.0 Any notice or request made to or by either Party
regarding this Service Agreement shall be made to the
representative of the other Party as indicated below.

Transmission Provider:

US Mail Deliveries: PacifiCorp Transmission Services
Attn: Central Cashiers Office
Other Deliveries:

Phone Number:

PO Box 2757
Portland, OR 97208-2757
Central Cashiers Office
Attn: PacifiCorp Transmission Services
825 NE Multnomah Street, Suite 550
Portland, OR 97232
503-813-6774
Transmission Customer:

City of Roseville
2090 Hilltop Circle
Roseville, California 95747
916-746-1671
7 . 0 The Tariff is incorporated herein and made a part hereof .

IN WITNESS WHEREOF, the Parties have caused this Service Agreement to be executed by their respective authorized officials .

PacifiCorp:

By:

Name Title Date
Transmission Customer:

By: I -19·- J tl
Date
Specifications For Long-Term Firm Point-To-Point
Transmission Service

1.0 Term of Transaction: 5 years
Start Date: March 1, 2018
Termination Date: February 28, 2023

2.0 Description of capacity and energy to be transmitted by Transmission Provider including the electric
Control Area in which the transaction originates.

Firm capacity and associated energy in the amounts as
shown in Section 5.0 shall be transmitted by the
Transmission Provider . All capacity and associated
energy transmitted under this Service Agreement shall
be scheduled pursuant to the scheduling practices of
the Tariff.

This transaction originates in the Bonneville Power
Administration's balancing authority area and
terminates in the California Independent System
Operator's balancing authority area.

3.0 Point(s) of Receipt: Malin 500 as represented by
MALIN500 on Transmission Provider's OASIS.

Delivering Party: Transmission Customer
4 . 0 Point(s) of Delivery: Round Mountain, as represented by RDM230 on Transmission Provider's OASIS.

Receiving Party: Transmission Customer

5.0 Maximum amount of capacity and energy to be
transmitted (Reserved Capacity) : 50 MW
The Reserved Capacity identified in this Section 5.0
shall not be assessed losses pursuant to Schedule 10
of the Tariff for schedules that do not originate in
the PacifiCorp Balancing Authority Area and use only
the PacifiCorp California-Oregon Intertie segment
between Malin and Round Mountain .
6 . 0 Designation of party(ies) subject to reciprocal
service obligation: none
7 . 0 Name(s) of any Intervening Systems providing
transmission service : none
8 . 0 Service under this Agreement may be subject to some combination of the charges detailed below. (The
appropriate charges for individual transactions will
be determined in accordance with the terms and
conditions of the Tariff . )

8.1 Transmission Charge: The currently effective
yearly delivery charge as provided in Schedule 7
of the Tariff.

8.2 System Impact and/or Facilities Study Charge(s)
none

8.3 Direct Assignment Facilities Charge : no

8.4 Ancillary Services Charges :
a) Scheduling, Sy stem Control and Dispatch
Service:

Only to the extent required pursuant to
Schedule 1 of the Tariff .
b) Reactive Supply and Voltage Control from
Generation Sources Service:

Onl y to the ex tent required pursuant to
Schedule 2 of the Tariff.
c) Regulation and Frequency Response Service:

Only to the extent required pursuant to
Schedule 3 of the Tariff .
d) Generator Regulation and Frequency Response
Service
Only to the extent required pursuant to
Schedule 3A of the Tariff.
e) Energy Imbalance Service:

Only to the extent required pursuant to
Schedule 4 of the Tariff.
f) Operating Reserve - Spinning Reserve
Service:

Only to the extent required pursuant to
Schedule 5 of the Tariff.
g) Operating Reserve - Supplemental Reserve
Service:

Only to the extent required pursuant to
Schedule 6 of the Tariff.
h) Real Power Losses:

Not applicable because losses are assessed
by the California ISO pursuant to Attachment
S for transmission service between Malin and
Round Mountain.

COUNCIL COMMUNICATION
CC #:
1905
File #:
0400-04-17-1
Title:

Community Facilities District No. 3 (Municipal Services) - Annexation No. 27 Torrente at Sierra Vista - Resolution of Intention to Annex Territory Contact:

Jeannine Thrash 916-774-5473 [email protected]
Dennis Kauffman 916-774-5313 [email protected]

Meeting Date: 2/2/2022
Item #: 7.5.

RECOMMENDATION TO COUNCIL
Staff recommends that Council adopt a Resolution of Intention to Annex Territory to Community Facilities District and to Authorize the Levy of Special Taxes Therein, City of Roseville Community Facilities District No. 3 (Municipal Services), Annexation No. 27. Staff also recommends that Council set Wednesday March 2, 2022 at 6:00 p.m. in the Roseville City Council Chambers at 311 Vernon Street, Roseville, California as the time and place to conduct a public hearing on the annexation.

BACKGROUND
The landowner is obligated per the Developer Agreement by and between the City of Roseville and The Cyril G. Barbaccia Irrevocable Trust Dated December 15, 1976, relative to the Sierra Vista Specific Plan, to annex into the Municipal Services Community Facilities District prior to the issuance of the first residential building permit.

The property is being annexed into the Community Facilities District No. 3 in order to offset the property's impact on City General Fund resources available to pay for municipal services citywide, including the project area.

FISCAL IMPACT
The CFD will generate special taxes levied on the landowner's annual property tax bill. Annexation into Community Facilities District No. 3 (Municipal Services) helps offset the property's impact on City General Fund resources available to pay for municipal services and therefore will not negatively impact the General Fund.

ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) does not apply to activities that will not result in a direct or reasonably foreseeable indirect physical change in the environment, or is otherwise not considered a project as defined by CEQA Statute §21065 and CEQA State Guidelines §15060(c)(3) and §15378. Adoption of the resolution meets the above criteria and is not subject to CEQA. No additional environmental review is required.

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS
Goal A - Remain fiscally responsible in a changing world

Respectfully Submitted,
Jeannine Thrash, Management Analyst
Dennis Kauffman, Assistant City Manager/Chief Financial Officer

_____________________________
Dominick Casey, City Manager
ATTACHMENTS:

Description
Resolution 22-029
Proposed Boundary Map

CITY COUNCIL OF THE CITY OF ROSEVILLE
RESOLUTION NO. 22-029

A RESOLUTION OF INTENTION TO ANNEX TERRITORY

TO COMMUNITY FACILITIES DISTRICT

AND TO AUTHORIZE THE LEVY OF SPECIAL TAXES THEREIN

CITY OF ROSEVILLE
Community Facilities District No. 3
(Municipal Services)

Annexation No. 27 (Torrrente at Sierra Vista)

WHEREAS, the City Council (the “Council”) of the City of Roseville (the “City”) has conducted proceedings to establish Community Facilities District No. 3 (Municipal Services) (the “CFD”) pursuant to the Mello -Roos Community Facilities Act of 1982, as amended (the "Act"), Chapter 2.5 of Part 1 of Division 2 of Title 5, commencing at Section 53311, of the California Government Code; and

WHEREAS, under the Act, this Council, as the legislative body for the CFD, is empowered with the authority to annex territory to the CFD, and now desires to undertake proceedings to annex territory to the CFD.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ROSEVILLE RESOLVES AS FOLLOWS:

1. Findings. This Council hereby finds and determines that public convenience and necessity require that territory be added to the CFD.

2. Territory Described . The name of the existing CFD is “City of Roseville Community Facilities District No. 3 (Municipal Service s).” The territory originally included in the existing CFD is set forth in the map of the CFD heretofore recorded in the Placer County Recorder’s Office on August 18, 2004, in Book 3 at Page 41 of Maps of Assessment and Community Facilities Districts, to w hich map reference is hereby made, as such map has been supplemented in connection with subsequent annexations.

The territory now proposed to be annexed to the CFD is as shown on the Annexation Map for the captioned Annexation No. 27 (Torrente at Sierra Vista) to the CFD, on file with the Clerk, the boundaries of which territory are hereby preliminarily approved and to which map reference is hereby made for further particulars. The City Clerk is hereby directed to cause to be recorded such Annexation Map, showing the territory to be annexed, in the office of the County Recorder of the County of Placer within 15 days of the date of adoption of this resolution.

3. The Services. The types of public services financed by the CFD and pursuant to the Act consist of those services (the “Services”) as described in Exhibit B to the Resolution of Formation with respect to the CFD adopted by the Council as Resolution No. 04 -426 on September 15, 2004 (the “Resolution of Formation”) and included as Exhibit B hereto. It is presently intended that the Services will be provided, without preference or priority, to the existing territory in the CFD and the territory proposed to be annexed to the CFD.

4. Special Tax. Except to the extent that funds are otherwise available to the CFD to pay for the Services, a special tax sufficient to pay the costs thereof is intended to be levied annually within the CFD, and collected in the same manner as ordinary ad valorem property taxes.

The special tax proposed to pay for Services to be supplied within the territory proposed to be annexed will be equal to the special taxes levied to p ay for the same Services in the CFD, except that a higher or lower tax may be levied within the territory proposed to be annexed or to be annexed in the future to the extent that the actual cost of providing the Services in that territory is higher or lower than the cost of providing those Services in the CFD.

The proposed rate and method of apportionment of the special tax among the parcels of real property within the CFD, as now in existence and following the annexation proposed herein, in sufficient detail to allow each landowner within the territory proposed to be annexed to the CFD to estimate the maximum amount such owner will have to pay, are described in the Resolution of Formation and included as Exhibit A hereto.

5. Hearing. Wednesday, March 2, 2022 at 6:00 p.m. or as soon as possible thereafter, at the City of Roseville Civic Center Council Chambers located at 311 Vernon Street, Roseville, California 95678, be, and the same are hereby appointed and fixed as the time and place when and where this Council, as legislative body for the CFD, will conduct a public hearing on the matters described in this Resolution.

6. Notice. The City Clerk is hereby directed to cause notice of said public hearing to be given by publication one time in a newspaper of general circulation in the area of the CFD, including the area to be annexed to the CFD. The publication of said notice shall be completed at least 7 days before the date herein set for said hearing. The City Clerk may also cause a copy of such notice and a copy of this Resolution to be mailed to each landowner within the territory proposed to be annexed, which notice and resolution shall be mailed at least 15 days before the date of said hearing. Such notice shall be substantially in the form specified in Section 53339.4 of the Act, with a summary form specifically authorized.

7. Effective Date. This Resolution shall take effect upon its adoption.

* * * * * *

I hereby certify that the foregoing Resolution was duly adopted by the Ci ty Council of the City of Roseville, California, at a regularly scheduled meeting thereof, held on the day of 20 , by the following vote of the City Council:

AYES: COUNCILMEMBERS
NOES: COUNCILMEMBERS
ABSENT: COUNCILMEMBERS
ABSTAIN: COUNCILMEMBERS

Mayor

ATTEST:

City Clerk
Exhibit A

Page 1 ends

EXHIBIT A

CITY OF ROSEVILLE
COMMUNITY FACILITIES DISTRICT NO. 3
(MUNICIPAL SERVICES)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX

A Special Tax applicable to each Assessor’s Parcel in Community Facilities District No. 3 (Municipal Services) [herein “CFD No. 3”] shall be levied and collected acc ording to the tax liability determined by the City Council, acting in its capacity as the legislative body of CFD No. 3, through the application of the appropriate Special Tax rate, as described below. All of the property in CFD No. 3, unless exempted by l aw or by the provisions of Section E below, shall be taxed for the purposes, to the extent, and in the manner herein provided.

A. DEFINITIONS

The terms hereinafter set forth have the following meanings:

“Acreage” or “Acre” means the land area making up an Assessor’s Parcel as shown on an Assessor’s Parcel Map, or if the land area is not shown on an Assessor’s Parcel Map, the land area shown on the applicable final subdivision map or other parcel map recorded at the County Recorder’s Office.

“Administrative Expenses” means the costs incurred by the City to determine, levy and collect the Special Tax, including salaries of City employees and fees of consultants and the costs of collecting installments of the Special Taxes upon the general tax rolls; preparation of required reports, and any other costs required to administer the CFD as determined by the Finance Director.

“Administrator” means the person or firm designated by the City to administer the Special Taxes according to this Rate and Method of Apportionment of Special Tax.

“Affordable Housing Director” means, at any point in time, the person within the City who services as head of the department that is in charge of the City’s affordable housing program.

“Affordable Unit” means a Unit built on a Parcel for which an Affordable Purchase Development Agreement or similar agreement has been recorded on title of the property designating the Unit as affordable (as determined by the City) and resulting in a deed of trust on t he Parcel in favor of the City. The City’s Affordable Housing Director shall determine which Units are designated as Affordable Units and maintain an Affordable Exhibit A

Page 2 ends

Unit Listing which shall contain all designated buildable parcels by tract and lot number.

The Affordable Unit Listing shall also be updated to reflect those Units no longer qualifying as Affordable Units, also known as Market Rate Units. The Affordable Unit Listing, which shall contain all qualifying Affordable Units as of April 30, shall be made available to the Administrator by July 1 of each year for purposes of determining the Maximum Special Tax for Parcels pursuant to Section C.

“Affordable Unit Assignment” means a reduction in the Maximum Special Tax for a Parcel due to the assignment of an Affordable Unit(s) to the Parcel.

“Annual Tax Escalation Factor” means an annual increase in the Maximum Special Tax following the Base Year in an amount equal to the lesser of: (i) the combined percentage increase, if any, in the City of Roseville General Fund Operating Budget for police and fire services, or (ii) four percent (4%).

“Assessor’s Parcel” or “Parcel” means a lot or parcel shown in an Assessor’s Parcel Map with an assigned Assessor’s Parcel number.

“Assessor’s Parcel Map” means an official map of the County Assessor designating parcels by Assessor’s Parcel number.

“Authorized Services” means the public services auth orized to be funded by CFD No. 3 as set forth in the documents adopted by the City Council when the CFD was formed.

“Base Year” means Fiscal Year 2009-10.

“City” means the City of Roseville.

“City Council” means the City Council of the City of Roseville, acting as the legislative body of CFD No. 3.

“County” means the County of Placer.

“Developed Property” means, in any Fiscal Year, both of the following:

 For Condominium Conversion Parcels, all individual Units for which an escrow has closed prior to June 30 of the preceding Fiscal Year; and  All other Parcels of Taxable Property within the CFD for which a use permit or building permit for new construction of a residential or non-residential structure was issued prior to June 30 of the preceding Fiscal Year.

“Finance Director” means the Finance Director for the City of Roseville or his or her designee or successor.

Exhibit A

Page 3 ends

“Fiscal Year” means the period starting on July 1 and ending on the following June 30.

“Land Use Designation” means the land use designated to be built on a particular Parcel based on reference to an adopted community plan or specific plan or, to the extent that such a plan has not been approved for a Parcel, to the City’s general plan.

“Market Rate Unit” means a Unit that is not an Affordable Unit.

“Multi-Family Property” means, in any Fiscal Year, all Parcels in CFD No. 3 for which a building permit was issued or may be issued for construction of a residential structure with multiple units that share common walls, all of which are offered for rent to the general public.

“Maximum Special Tax” means the maximum Special Tax determined in accordance with Section C below that can be levied on Taxable Property in any Fiscal Year.

“Public Property” means any property within the boundaries of CFD No. 3 that is owned by the federal government, State of California, County, City, or other public agency.

“Single Family Attached Property” means, in any Fiscal Year, all Parcels in CFD No. 3 for which a building permit was issued for construction of a residential structure consisting of two or more Units that share common walls and are offered as for-sale Units, including such residential structures that meet the statutory definition of a condominium contained in Civil Code Section 1351.

“Single Family Detached Property” means, in any Fiscal Year, all Parcels in CFD No. 3 for which a building permit was issued for construction of a Unit that does not share a common wall with another Unit.

“Special Tax” means any tax levied to pay for Authorized Services.

“Taxable Property” means all Assessor’s Parcels within the boundaries of CFD No. 3 which are not exempt from the Special Tax pursuant to law or Section E below.

“Unit” means an individual single-family detached unit or an individual residential unit within a duplex, triplex, fourplex, townhome, condominium, or apartment structure.

“Zoning Designation” means, for a particular Parcel, the designation of zoning for the Parcel based on the zoning map symbols set forth in the City’s zoning ordinance or, if the designation is inconsistent with the City’s zoning ordinance, as determined by the Administrator.

Exhibit A

Page 4 ends

B. CATEGORIZING PARCELS FOR ANNUAL TAX LEVY

Each Fiscal Year, the Administrator shall identify the current Assessor’s Parcel numbers for all Parcels of Developed Property within CFD No. 3. The Administrator shall then identify the Land Use Designation for each Parcel of Developed Property to determine the appropriate Maximum Special Tax pursuant to Section C below. If a Land Use Designation has not been ass igned to a Parcel of Developed Property, the Administrator shall determine the Zoning Designation for the Parcel and reference Table 1 below to determine the Maximum Special Tax associated with that Zoning Designation.

If the Zoning Designation for the Parcel applies to more than one Land Use Designation as reflected in Table 1, the Administrator shall determine the appropriate Maximum Special Tax rate for the Parcel by identifying the Maximum Special Tax shown in Table 1 for the land use category that is most similar to the land use that will be built on the Parcel.

For Single Family Attached Property or multi-family property, the number of Units shall be determined by referencing the condominium plan, apartment plan, site plan or other development plan for the property. For Condominium Parcels, the Administrator shall also determine the date of which escrow closed for any Units that were sold to individual buyers in the prior Fiscal Year.

For Parcels with a Land Use Designation of Residential, Mixed Use; Village Center – Medium Density Residential; Village Center – High Density Residential; or Commercial, Mixed Use, the Administrator shall determine whether (i) residential units that have been or will be built on the Parcel will be offered for sale to individual home buyers and (ii) a separate Assessor’s Parcel number will be assigned to the airspace parcel associated with each residential unit. Once separate Parcel numbers have been assigned to the residential airspace Parcels, the Administrator shall assign a Maximum Special Tax to the airspace Parcel for each reside ntial unit. In addition, the Administrator shall tax the commercial land uses on the Parcel using the Maximum Special Tax for the appropriate commercial Land Use Designation in Table 1 below. The acreage to be used to calculate the Maximum Special Tax on the commercial uses shall be the full land area of the underlying Assessor’s Parcel on which the residential and commercial land uses are located.

Upon recordation of each Final Map creating Single Family Detached Propert y and/or Single Family Attached Property, the ECS Director is to determine the number of Affordable Units included within the Final Map. When building permits are issued for the Affordable Units designated on each Parcel, the Administrator shall reduce the Maximum Special Tax for each Affordable Unit to fifty percent (50%) of the Maximum Special Tax that applies to the Market Rate Units with the same Zoning Designation. After May 1 of each Fiscal Year, the Administrator shall obtain the Affordable Unit List ing from the Affordable Housing Director to confirm which Parcels qualify for an Affordable Unit Adjustment in the following Fiscal Year.

Exhibit A

Page 5 ends

C. MAXIMUM SPECIAL TAX

All Taxable Property within the CFD shall be subject to a Maximum Special Tax that will be levied each Fiscal Year to pay for Authorized Services. As discussed above, the Administrator shall rely first on the Land Use Designation for a Parcel to determine the appropriate Maximum Special Tax in Table 1 below but, in the absence of an assigned Land Use Designation, th e Administrator shall refer to the Zoning Designation and land use to be built on the Parcel. The following Maximum Special Tax rates apply to all Parcels of Developed Property within CFD No. 3:

Table 1
Maximum Special Taxes

Land Use Designation Zoning
Designation
Maximum Special Tax
(Fiscal Year
2009-10) *
Low Density Residential (LDR) R1 $342.00 per Unit
Medium Density Residential (MDR) RS R2 $200.00 per Unit High Density Residential (HDR) R3 $100.00 per Unit
Community Commercial CC $932.00 per Acre
General Commercial GC $932.00 per Acre
Highway Commercial HC $932.00 per Acre
Regional Commercial RC $932.00 per Acre
Central Business District CBD $932.00 per Acre
Business Professional BP, MP $801.00 per Acre
* Beginning July 1, 2010 and each July 1 thereafter, the Maximum Special Taxes shown above shall be adjusted by applying the Annual Tax Escalation Factor. The Maximum Special Tax for Affordable Units within a particular Zoning Designation shall be fifty percent (50%) of the amount shown above for that Zoning Designation, as adjusted by the Annual Tax Escalation Factor.

D. METHOD OF LEVY AND COLLECTION OF SPECIAL TAX

Each Fiscal Year, the Administrator shall levy the Maximum Special Tax on each Parcel of Developed Property in CFD No. 3. The Special Tax for CFD No. 3 shall be collected in the same manner and at the same time as ordinary ad valorem property taxes provided, however, that CFD No. 3 may (under the authority of Government Code Section 53340) in any particular case bill the taxes directly to the property owner off the County tax roll, and the Special Tax will be equally subject to foreclosure if delinquent.

E. LIMITATIONS

Notwithstanding any other provision of this Rate and Method of Apportionment of Special Tax, no Special Tax shall be levied on Public Property.

Exhibit A

Page 6 ends

F. INTERPRETATION OF SPECIAL TAX FORMULA

The City reserves the right to make minor administrative and technical changes to this document that does not materially affect the rate and method of apportioning the Special Taxes. In addition, the interpretation and application of any section of this document shall be left to the City’s discretion. Interpretations may be made by t he City by ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment of Special Tax.

EXHIBIT B

CITY OF ROSEVILLE
COMMUNITY FACILITIES DISTRICT NO. 3
(MUNICIPAL SERVICES)

LIST OF AUTHORIZED SERVICES

The Community Facilities District No. 3 (Municipal Services) (the “CFD”) shall include the City services authorized under Section 53313 of the Community Facilities Act of 1982, Chapter 2.5 of Division 2 of Title 5 of the Califo rnia Government Code, commencing with Section 53311 (the “Act”), which include the following services, to the extent that such services are in addition to those provided in the territory of the CFD before the CFD was created (or, as to territory which may be annexed to the CFD, before such territory was annexed to the CFD.) In accordance with Section 53313 of the Act, the additional services may not supplant services already available within the territory when the district was created.

(a) Police protecti on services, including, but not limited to, criminal justice services. However, criminal justice services are limited to providing services for jails, detention facilities, and juvenile halls.
(b) Fire protection and suppression services, and ambulance and paramedic services.
(c) Recreation program services, library services, maintenance services for elementary and secondary school sites and structures, and the operation and maintenance of museums and cultural facilities, subject to the limitations contained in Section 53313 of the Act.
(d) Maintenance of parks, parkways, and open space.
(e) Flood and storm protection services, including, but not limited to, the operation and maintenance of storm drainage systems, and sandstorm protection systems.
(f) Services with respect to removal or remedial action for the cleanup of any hazardous substance released or threatened to be released into the environment, subject to the limitations contained in Section 53313 of the Act.

Exhibit B

Page 1 ends

BASELINE ROAD

MARKET STREETSIERRA VILLAGE DRIVE

VISTA GRANDE BLVD
APN 498-010-062-000
APN 498-010-063-000
APN 498-010-065-000APN 498-010-064-000
APN 498-010-061-000
APN 498-010-059-000APN 498-010-060-000
APN 498-010-066-000APN 498-010-069-000
SHEET 1 OF 1
JANUARY 2022
PROPOSED BOUNDARY MAPANNEXATION MAP NO 27. OFCOMMUNITY FACILITIES DISTRICT NO. 3(MUNICIPAL SERVICES)CITY OF ROSEVILLE PLACER COUNTY CALIFORNIA BOOK _______ OF COMMUNITY FACILITIES DISTRICT, PAGE _______

CITY CLERK'S MAP STATEMENT

RECORDER'S STATEMENT

CITY CLERK'S MAP FILING STATEMENT
LEGEND

COUNCIL COMMUNICATION
CC #:
1908
File #:
0721 & 0201-01
Title:

South Placer Express On-Route Chargers - Budget Adjustment Contact:

Ed Scofield
916-869-9109
[email protected]

Meeting Date: 2/2/2022
Item #: 7.6.

RECOMMENDATION TO COUNCIL
Staff recommends that the City Council adopt an Ordinance adding $136,816 to the Alternative Transportation Division’s FY2021-22 budget to pay for professional design services for two on- route chargers at the Galleria that will be used as part of the South Placer Express bus service.

BACKGROUND
The South Placer Express bus service will provide a transit connection between the City of Lincoln, City of Roseville, and the Watt/I-80 light rail station. The new bus service, which will start as a 3-year pilot program, will begin in Lincoln, continue along Highway 65 to the Galleria Mall, Sutter Hospital and Kaiser Hospital in Roseville, and will then travel on Interstate 80 to the Watt/I- 80 light rail station. This regional service is expected to begin in 2023 and will be operated by Roseville Transit using electric buses.

As part of this project, there is a need to install two on-route bus chargers at the Galleria Mall, which will provide small amounts of recharging when at this bus station, enabling the South Placer Express buses to run continuously throughout the day.

Staff developed a scope of work to design the on-route chargers and requested work plans from Engineering’s design on-call consultants. Two responded. After reviewing both work plans, staff selected Psomas to design the project. The total not-to-exceed amount to do this work is $136,816.

FISCAL IMPACT
Working closely with the Placer County Transportation Planning Agency (PCTPA), the Alternative Transportation Division has secured $75,000 from the Western Placer Consolidated Transportation Services Agency (WPCTSA) to assist with funding the on-route charger design.

The remaining $61,816 needed for the design will come from Roseville's Local Transportation Fund. Future costs associated with construction of the on-route chargers, purchase of five electric buses, and operating costs for the 3-year pilot program will be funded by a variety of regional, state and federal grant monies designated by PCTPA. General Fund resources will not be used for this project.

ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) does not apply to activities that will not result in a direct or reasonably foreseeable indirect physical change in the environment, or is otherwise not considered a project as defined by CEQA Statute §21065 and CEQA State Guidelines §15060(c)(3) and §15378. The budget adjustment
meets the above criteria and is not subject to
CEQA. No additional environmental review is required.

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS
Goal C - Maintain a safe and healthy community
Goal E - Deliver exceptional city services
Goal F - Invest in well-planned infrastructure and growth

Respectfully Submitted,
Ed Scofield, Transit Operations Analyst
Jason Shykowski, Public Works Director

_____________________________
Dominick Casey, City Manager
ATTACHMENTS:

Description
Ordinance 6448
Budget Adjustment
ORDINANCE NO.

ORDINANCE OF THE COUNCIL OF THE CITY OF ROSEVILLE
AUTHORIZING CERTAIN AMENDMENTS TO THE FISCAL YEAR 2021-22

BUDGET AND DECLARING THIS ORDINANCE TO BE IMMEDIATELY

EFFECTIVE AS AN APPROPRIATION MEASURE

THE CITY OF ROSEVILLE ORDAINS:

SECTION 1. The City of Roseville Annual Budget, Fiscal Year 2021-22, is hereby amended as listed on the attached budget adjustment for South Placer Express On-Route Chargers.

SECTION 2. This ordinance is hereby declared to be an appropriation measure, immediately effective pursuant to the provisions of Section 5.03 of the Charter.

SECTION 3. The City Clerk is hereby authorized and directed to post a true copy of the foregoing ordinance in each of three (3) conspicuous locations in the City and she shall immediately after such posting enter in the ordinance book, under the record of the ordinance, a certificate under her hand stating the time and place of such publication by posting.

PASSED AND ADOPTED by the Council of the City of Roseville, this day of , 2022, by the following vote on roll call:

AYES COUNCILMEMBERS:

NOES COUNCILMEMBERS:

ABSENT COUNCILMEMBERS:

MAYOR
ATTEST:

City Clerk
FISCAL YEAR:2021-22
REQUESTER NAME & TITLE: Mike Dour, Alt. Transportation Manager PREPARER NAME & TITLE: Cameron Schreiter, Transportation Grants Analyst DEPARTMENT/DIVISION: PW - Alternative Transportation ORDINANCE:

EXPENDITURES/EXPENSES/TRANSFERS OUT
BUDGET ($)
Fund Account Center Project Adjustment
6511 5301 84001 700029 136,816
136,816

REVENUES/TRANSFERS IN
BUDGET ($)
Fund Account Center Project Adjustment
6511 4425 84001 700029 61,816
6511 4435 84001 700029 75,000
136,816
-

FUND BALANCE
BUDGET ($)
Fund Account Center Project Adjustment
3601 00000 000000
3601 00000 000000
3601 00000 000000
3601 00000 000000
3601 00000 000000
3601 00000 000000
-
Justification for Budget Adjustment:

REQUESTING DEPARTMENT HEAD / DESIGNEE DATE BUDGET MANAGER / DESIGNEE DATE

CHIEF FINANCIAL OFFICER / DESIGNEE DATE CITY MANAGER / DESIGNEE DATE

POSTED BY DATE

BUDGET ADJUSTMENT REQUEST
Updated 11/17/2021

ACCOUNT STRING DESCRIPTION

NET ADJUSTMENT

ACCOUNT STRING DESCRIPTION

ACCOUNT STRING DESCRIPTION
TOTAL
BUDGET DEPARTMENT USE ONLY:

This Budget Adjustment is requested to increase the South Placer Express Bus Service Project - #700029 budget by $136,816 to fund design services for two (2) on-route chargers. The revised project budget will be $186,816. The project is fully funded by two grants from the County of Placer.

TOTAL
REQUIRED APPROVALS:

Increase Other Grants Budget - County of Placer
Increase Expenditure Budget for Professional Design Services for the two (2) on -route chargers at the Galleria.

TOTAL
Increase Local Transportation Funds (LTF) - County of Placer revenue budget
Revsied October 12, 2021 12/20/202112:31 PM

COUNCIL COMMUNICATION
CC #:
1910
File #:
0400-04-10-2 & 0400-04-12-2 & 0400-03 & 0400-04
Title:

Second Reading - Sierra View Subdivision Project on Infill Parcels 3 & 100 and the Sierra Vista Specific Plan Parcels WB-41 & WB-31 Project - Rezone and Development Agreement Amendment
Contact:

Kinarik Shallow 916-746-1309
[email protected]

Meeting Date: 2/2/2022
Item #: 7.7.

RECOMMENDATION TO COUNCIL
ORDINANCE NO. 6449 AMENDING ZONING ORDINANCE NO. 5428 OF THE CITY OF

ROSEVILLE CHANGING THE ZONING OF CERTAIN REAL PROPERTY LOCATED WITHIN THE CITY OF ROSEVILLE; and adopt ORDINANCE NO. 6450 AMENDING ZONING ORDINANCE NO. 5428 OF THE CITY OF ROSEVILLE CHANGING THE

ZONING OF CERTAIN REAL PROPERTY LOCATED WITHIN THE CITY OF ROSEVILLE; and adopt ORDINANCE NO. 6451 ADOPTING A SECOND AMENDMENT OF

THE DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF ROSEVILLE AND WESTPARK S.V. 400, LLC, RELATIVE TO THE SIERRA VISTA SPECIFIC PLAN AND

AUTHORIZING THE CITY MANAGER TO EXECUTE IT ON BEHALF OF THE CITY OF ROSEVILLE, for second reading and adoption.

BACKGROUND
Not applicable.

FISCAL IMPACT
Not applicable.

ENVIRONMENTAL REVIEW
Not applicable.

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS

Respectfully Submitted,
Kinarik Shallow, Associate Planner
Mike Isom, Development Services Director

_____________________________
Dominick Casey, City Manager
ATTACHMENTS:

Description
Ordinance 6449
Ordinance 6450
Ordinance 6451
ORDINANCE NO. 6449

ORDINANCE OF THE COUNCIL OF THE CITY OF ROSEVILLE
AMENDING ZONING ORDINANCE NO. 5428 OF THE CITY OF ROSEVILLE

CHANGING THE ZONING OF CERTAIN REAL PROPERTY LOCATED

WITHIN THE CITY OF ROSEVILLE

THE CITY OF ROSEVILLE ORDAINS:

SECTION 1. The Council of the City of Roseville has reviewed the findings of the Planning Commission recommending approval of the rezone specified herein, and makes the following findings pursuant to Section 19.86.050 of the Zoning Ordinance:

1. The rezone is in conformance with the public interest, health, safety, or welfare of the City; and

2. The rezone is consistent with the objectives, policies, programs, and land use designations of the City of Roseville General Plan.

SECTION 2. That Section 19.06.020 of the Zoning Ordinance of the City of Roseville, Ordinance No. 5428, is amended to change the zoning of that portion of certain real property located on Parcel 3 and Parcel 100 of the Infill Planning Area in the City of Roseville, as shown and so designated in Exhibit C, attached and incorporated herein by reference, is hereby rezoned from Single-Family Residential (R1) and Multi-Family Housing (R3) to Small Lot Residential (RS).

SECTION 3. This ordinance shall be effective at the expiration of thirty (30) days from the date of adoption.

SECTION 4. The City Clerk is hereby directed to cause this ordinance to be published in full at least once within fourteen (14) days after it is adopted in a newspaper of general circulation in the City, or shall within fourteen (14) days after its adoption cause this ordinance to be posted in full in at least three (3) public places in the City and enter in the Ordinance Book a certificate stating the time and place of said publication byposting.

PASSED AND ADOPTED by the Council of the City of Roseville this day of , 20 , by the following vote on roll call:

AYES COUNCILMEMBERS:

NOES COUNCILMEMBERS:

ABSENT COUNCILMEMBERS:

MAYOR
ATTEST:

City Clerk
ORDINANCE NO. 6450

ORDINANCE OF THE COUNCIL OF THE CITY OF ROSEVILLE
AMENDING ZONING ORDINANCE NO. 5428 OF THE CITY OF ROSEVILLE

CHANGING THE ZONING OF CERTAIN REAL PROPERTY LOCATED

WITHIN THE CITY OF ROSEVILLE

THE CITY OF ROSEVILLE ORDAINS:

1. The rezone is in conformance with the public interest, health, safety, or welfare of the City; and

2. The rezone is consistent with the objectives, policies, programs, and land use designations of the City of Roseville General Plan and the Sierra Vista Specific Plan.

SECTION 2. That Section 19.06.020 of the Zoning Ordinance of the City of Roseville, Ordinance No. 5428, is amended to change the zoning of that portion of certain real property located on Parcel WB-41 of the Sierra Vista Specific Plan in the City of Roseville, as shown and so designated in Exhibit H, attached and incorporated herein by reference, is hereby rezoned from Community Commercial (CC) to Small Lot Residential/Development Standards (RS/DS).

SECTION 3. This ordinance shall be effective at the expiration of thirty (30) days from the date of adoption.

PASSED AND ADOPTED by the Council of the City of Roseville this day of , 20 , by the following vote on roll call:

AYES COUNCILMEMBERS:

NOES COUNCILMEMBERS:

ABSENT COUNCILMEMBERS:

MAYOR
ATTEST:

City Clerk
ORDINANCE NO. 6451

ADOPTING A SECOND AMENDMENT OF THE DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF ROSEVILLE AND WESTPARK S.V. 400, LLC, RELATIVE TO

THE SIERRA VISTA SPECIFIC PLAN AND AUTHORIZING THE CITY MANAGER TO

EXECUTE IT ON BEHALF OF THE CITY OF ROSEVILLE

THE CITY OF ROSEVILLE ORDAINS:

SECTION 1. In accordance with Chapter 19.84 of Title 19 of the Roseville Municipal Code (the Zoning Ordinance) of the City of Roseville, the City Council has received the recommendation of the Planning Commission that the City of Roseville enter into a Second Amendment of the Development Agreement by and between the City of Roseville and Westpark S.V. 400, LLC, pertaining to property located within the Sierra Vista Specific Plan area.

SECTION 2. Prior to considering the proposed Second Amendment to Development Agreement, the City Council considered the 6 th Addendum to the Sierra Vista Specific Plan Environmental Impact Report (EIR) (SCH # 2008032115, certified May 5, 2010), pursuant to the California Environ mental Quality Act, California Public Resources Code Section 21000 et seq.

SECTION 3. The Council of the City of Roseville has reviewed the findings of the Planning Commission recommending approval of the Second Amendment to Development Agreement, and makes the following findings:

1. The Second Amendment to the Development Agreement is consistent with the objectives, policies, programs and land use designations of the City of Roseville General Plan and the Sierra Vista Specific Plan;

2. The Second Amendment to the Development Agreement is consistent with the City of Roseville Zoning Ordinance;

3. The Second Amendment to the Development Agreement is in conformance with the public health, safety and welfare;

4. The Second Amendment to the Development Agreement will not adversely affect the orderly development of the property or the preservation of property values; and

5. The provisions of the Second Amendment to the Development Agreement will provide sufficient benefit to the City to justify entering into said Amendment.

SECTION 4. The Second Amendment to Development Agreement, by and between the City of Roseville and Westpark S.V. 400, LLC, a copy of which is on file in the City Clerk's Department and incorporated herein by reference, is hereby approved and the City Manager is authorized to execute it on behalf of the City of Roseville.

SECTION 5. The City Clerk is directed to record the executed Development Agreement Amendment within ten (10) days of the execution of the agreement by the City Manage r with the County Recorder's Office of the County of Placer.

SECTION 6. This ordinance shall be effective at the expiration of thirty (30) days from the date of its adoption.

SECTION 7. The City Clerk is hereby directed to cause this ordinance to be published in full at least once within fourteen (14) days after it is adopted in a newspaper of general circulation in the City, or shall within fourteen (14) days after its adoption cause this ordinance to be posted in full in at least three (3) public places in the City and enter in the Ordinance Book a certificate stating the time and place of said publication by posting.

PASSED AND ADOPTED by the Council of the City of Roseville this day of 2022, by the following vote on roll call:

AYES COUNCILMEMBERS:

NOES COUNCILMEMBERS:

ABSENT COUNCILMEMBERS:

MAYOR
ATTEST:

City Clerk

2 COUNCIL COMMUNICATION
CC #:
1907
File #:
0600-02
Title:

Out-of-State Travel Request - Public Works Department
Contact:

Dan Allen 916-774-5741 [email protected]

Meeting Date: 2/2/2022
Item #: 7.8.

RECOMMENDATION TO COUNCIL
Staff recommends Council approve travel for three Public Works Department staff members to attend the International Facility Management Association (IFMA) Facility Fusion Conference and Expo in Austin Texas in April of 2022.

BACKGROUND
Facility Fusion focuses on the needs of the facility manager, concerns related to supporting specific facility types, career guidance, and building a professional network.

Other benefits of the conference include:

Learning best practices for improving operational efficiency, as well as field-tested strategies for increasing employee productivity through a better work environment.

Staying up to date on the latest industry trends and standards, helping you ensure that your organization is current, compliant, and competitive.

A tailored learning agenda applicable to your specific job responsibilities and existing facility issues.

Connecting with fellow practitioners, topic experts, and reputable solution providers allowing you to compare processes, share ideas, and return to work with solid recommendations for improving the workplace.

Staff will continue to monitor the COVID situation and will only attend if the then-current situation supports safe conference travel.

FISCAL IMPACT
Funding for travel, lodging, and conference costs for three Public Works staff members is estimated to be $3,916 each, totaling $11,748. Funding is included in the Fiscal Year 2021-22 operating budgets in the Facility Services Fund and Public Works Administration Division in the General Fund.

ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) does not apply to activities that will not result in a direct or reasonably foreseeable indirect physical change in the environment, or is otherwise not considered a project as defined by CEQA Statute §21065 and CEQA State Guidelines §15060(c)(3) and §15378. Approval of out-of-state travel meets the above criteria and is not subject to CEQA. No additional environmental review is required.

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS
Goal E - Deliver exceptional city services
Goal F - Invest in well-planned infrastructure and growth

Respectfully Submitted,
Dan Allen, Facility Manager
Jason Shykowski, Public Works Director

_____________________________
Dominick Casey, City Manager

COUNCIL COMMUNICATION
CC #:
1904
File #:
0202-01
Title:

Annual Comprehensive Financial Report and Other Audit Reports for Fiscal Year Ended June 30, 2021
Contact:

Nick Rosas 916-774-5314 [email protected]

Meeting Date: 2/2/2022
Item #: 7.9.

RECOMMENDATION TO COUNCIL
Staff recommends City Council receive three financial reports, along with two required auditor communication letters, for the year ended June 30, 2021. This item requires no Council action and is for information only.

BACKGROUND
The following informational reports are included with this communication:

Annual Comprehensive Financial Report (ACFR)
Auditor Communication Letter
Auditor Report on Internal Controls over Financial Reporting and Compliance and Other Matters
School-Age Child Care Report
Independent Accountant’s Report on Applying Agreed-Upon Procedures Related to the Article XIII-B Appropriations Limit for the year ended June 30, 2021

The City Charter requires that the City Council engage an independent certified public accounting firm to conduct an annual financial audit of the City. Lance, Soll, and Lunghard, LLP (LSL), a certified public accounting firm, conducted the audits of the City’s financial statements for the fiscal year ended June 30, 2021. The City received an unmodified (clean) opinion on the ACFR.

The ACFR conforms to generally accepted accounting principles and the latest applicable Governmental Accounting Standards Board (GASB) Statements. This report continues to reflect the financial stability and proper accounting practices of the City. In addition, the 2020 CAFR received the Government Finance Officers Association's (GFOA) Certificate of Achievement for Excellence in Financial Reporting. GFOA awarded this certificate to the City for the 17th consecutive year and it is included in the 2021 ACFR.

The auditor’s letter to the City Council is additional communication required by audit standards which conveys that there were no difficulties encountered performing the audit or disagreements between the auditors and City staff. The letter also includes information about significant estimates and footnote disclosures included in the financial statements and any misstatements noted.

Included in the letter are two immaterial misstatements noted by the auditors that were not corrected in the financial statements in time to meet the City's filing deadlines.

The Independent Auditor's Report on Internal Control over Financial Reporting and Compliance and Other Matters is required communication that includes three audit findings this year resulting from staff vacancies in the City's Finance Department. Staff is in the process of recruiting for all of its vacant positions and anticipates that it will be able to properly and timely reconcile all account balances and provide a final trial balance for the audit in future years.

Separately issued financial statements are required to be completed for the School-Age Child Care Fund (also referred to as the Youth Development Fund) that detail activity in the current fiscal year and year-end balances. There were no financial statement or compliance findings included in this year's report.

The California State Constitution Article XIII-B Appropriations Limit places limits on the growth of expenditures for publicly funded programs. The Independent Accountant’s Report on Applying Agreed-Upon Procedures Related to the Article XIII-B Appropriations Limit for the year ended June 30, 2022 was performed to assist the City in meeting the requirements of Section 1.5 of the Article XIII-B which requires the annual calculation of the appropriations limit to be reviewed as part of an annual financial audit. There were no findings included in this year's report.

FISCAL IMPACT
There is no fiscal impact as a result of these informational reports.

ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) does not apply to activities that will not result in a direct or reasonably foreseeable indirect physical change in the environment, or is otherwise not considered a project as defined by CEQA Statute §21065 and CEQA State Guidelines §15060(c)(3) and §15378. The financial reports meet the above criteria and are not subject to CEQA. No additional environmental review is required.

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS
Goal A - Remain fiscally responsible in a changing world

Respectfully Submitted,
Nick Rosas, Accounting Manager
Dennis Kauffman, Assistant City Manager/Chief Financial Officer

_____________________________
Dominick Casey, City Manager
ATTACHMENTS:

Description
Annual Comprehensive Financial Report
Auditor Communication Letter
Auditor Report on Internal Controls Over Financial Reporting School-Age Child Care Report
Appropriations Limit Agreed-Upon Procedures Report
Annual Comprehensive Financial Report
Fiscal Year Ended June 30, 2021
Downtown Bridges and Trails Project

CITY OF ROSEVILLE, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT

FOR THE YEAR ENDED JUNE 30, 2021

PREPARED BY

FINANCE DEPARTMENT

THIS PAGE INTENTIONALLY LEFT BLANK

CITY OF ROSEVILLE, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT

FOR THE YEAR ENDED JUNE 30, 2021

TABLE OF CONTENTS

Page
Number

INTRODUCTORY SECTION
Letter of Transmittal ............................................................................................................................. i Organizational Chart ......................................................................................................................... vii Elected Officials ................................................................................................................................. viii GFOA Certificate ................................................................................................................................ ix

FINANCIAL SECTION
INDEPENDENT AUDITOR’S REPORT .................................................................................................... 1 MANAGEMENT’S DISCUSSION AND ANALYSIS ................................................................................... 5

BASIC FINANCIAL STATEMENTS
Government-Wide Financial Statements
Statement of Net Position ........................................................................................................... 25 Statement of Activities .............................................................................................................. 26

Fund Financial Statements
Governmental Fund Financial Statements:

Balance Sheet – Governmental Funds ................................................................................ 30 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position ................................................................................... 31 Statement of Revenues, Expenditures, and Changes in Fund Balances – Governmental Funds .................................................................................. 32 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the
Statement of Activities ................................................................................................ 33

Proprietary Fund Financial Statements
Statement of Net Position – Proprietary Funds ................................................................... 36 Statement of Revenues, Expenses, and Changes in Fund Net Position – Proprietary Funds ......................................................................................... 38 Statement of Cash Flows – Proprietary Funds .................................................................... 40

Fiduciary Fund Financial Statements
Statement of Fiduciary Net Position – Fiduciary Funds ...................................................... 46 Statement of Changes in Fiduciary Net Position ................................................................. 47

Notes to Financial Statements .............................................................................................................. 49

CITY OF ROSEVILLE, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT

FOR THE YEAR ENDED JUNE 30, 2021

TABLE OF CONTENTS

Page
Number

REQUIRED SUPPLEMENTAL INFORMATION

Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual– General Fund .............................................................................................................. 113 Schedule of Changes in the City’s Net Pension Liability and Related Ratios ................................ 114 Schedule of Contributions - Pensions ............................................................................................. 118 Schedule of Changes in the City’s Net OPEB Liability and Related Ratios .................................. 121 Schedule of Contributions – OPEB ............................................................................................... 122 Modified Approach to Reporting Street Pavement Costs ............................................................... 123 Notes to Required Supplementary Information ............................................................................... 125

SUPPLEMENTAL INFORMATION

Non-Major Governmental Funds
Combining Balance Sheet ........................................................................................................ 128 Combining Statement of Revenues, Expenditures and
Changes in Fund Balances ................................................................................................ 136 Combining Schedule of Revenues, Expenditures and
Changes in Fund Balances – Budget and Actual .............................................................. 143

Non-Major Enterprise Funds
Combining Statement of Net Position ...................................................................................... 160 Combining Statement of Revenue, Expenses and Changes in Fund Net Position ................ 161 Combining Statement of Cash Flows ....................................................................................... 162

Internal Service Funds
Combining Statement of Net Position ...................................................................................... 164 Combining Statements of Revenues, Expenses and Changes in Fund Net Position ............. 166 Combining Statement of Cash Flows ....................................................................................... 168

Private-Purpose Trust Funds
Combining Statement of Fiduciary Net Position ....................................................................... 172 Combining Statement of Changes in Fiduciary Net Position ................................................... 173

Custodial Funds
Combining Statement of Fiduciary Net Position ....................................................................... 176 Combining Statement of in Fiduciary Net Position ................................................................. 180

CITY OF ROSEVILLE, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT

FOR THE YEAR ENDED JUNE 30, 2021

TABLE OF CONTENTS

Page
Number

STATISTICAL SECTION

Net Position by Component ............................................................................................................. 189 Changes in Net Position .................................................................................................................. 190 Fund Balances of Governmental Funds ....................................................................................... 192 Changes in Fund Balances of Governmental Funds ...................................................................... 193 Sales Tax Revenue ......................................................................................................................... 194 Assessment Roll Values .................................................................................................................. 195 Property Tax Rates – Direct and Overlapping Governments ......................................................... 196 Principal Property Tax Payers ......................................................................................................... 197 Property Tax Levies and Collections ............................................................................................... 198 Electric Customers and Revenues .................................................................................................. 199 Residential Energy Prices ............................................................................................................... 200 Business Energy Prices .................................................................................................................. 201 Ratio of Outstanding Debt by Type ................................................................................................. 202 Revenue Bond Coverage - 2014 Redevelopment Project Tax Allocation Bonds .......................... 203 Revenue Bond Coverage - 2016 Redevelopment Project Tax Allocation Bonds .......................... 204 Computation of Direct and Overlapping Debt ................................................................................. 205 Computation of Legal Bonded Debt Margin .................................................................................... 206 Demographic and Economic Statistics ........................................................................................... 207 Principal Employers ......................................................................................................................... 208 Full-Time Equivalent City Employees by Function ......................................................................... 209 Operating Indicators by Function/Program ..................................................................................... 210 toCapital Asset Statistics by Function/Program .............................................................................. 211

THIS PAGE INTENTIONALLY LEFT BLANK
i

December 30, 2021

Honorable Mayor and Members of the City Council:

We are pleased to present the Annual Comprehensive Financial Report (ACFR) of the City of Roseville (City) for the fiscal year ended June 30, 2021. Article VII of the City Charter and federal and state law requires that the City issue an annual report on its financial position and activity , and that the report be audited by an independent firm of certified public accountants. The format and content of this ACFR complies with the principles and standards of accounting and financial reporting adopted by the Governmental Accounting Standards Board (GASB) and contains all information needed for readers to gain a reasonable understanding of the City’s financial activities.

Management takes sole responsibility for the completeness and reliability of the information contained in this report, based upon a comprehensive framework of internal control that it has established for this purpose. The objective of internal controls is to provide reasonable, rather than absolute, assurance that the financial statements are free of any material misstatements.

The City’s financial statements have been audite d by Lance, Soll & Lunghard, LLP, Certified Public Accountants. The goal of the audit is to obtain reasona ble assurance that the financ ial statements are free of material misstatements and are fairly presente d in conformity with generally accepted accounting principles (GAAP). The City’s auditors have issued an unmodified opinion on the City’s financial statements for the fiscal year ended June 30, 2021. The independent auditors’ report is presented as the first component of the financial section of this report.

Management’s discussion and analysis (MD&A) immediately follows the independent auditors’ report and provides a narrative introduction, overview, and anal ysis of the basic financial statements. MD&A complements this letter of transmittal and should be read in conjunction with it.

THE REPORTING ENTITY AND ITS SERVICES

Roseville is a charter law city in the State of Califor nia. The City was incorporated on April 10, 1909 and operates under a Council-Manager form of government. The City Council, the City's political and legislative body, is empowered by the City’s charter to formulat e citywide policy, including a fiscal program, City services, and appointment of the City Manager and City Attorney. The City is currently transitioning from at large City Council elections to district elections. There are five City Council members who are elected by district (three in 2020 and two in 2022) for stagge red four-year terms, and the Mayor and Vice-Mayor will be determined by rotation in sequential order of the five districts after the two-year term of the current at-large Mayor.

Residents of the City may assist the City Council in formulating government po licy by serving on a City commission, committee, or board. The following commissi ons, committees, and boards act in an advisory capacity to the City Council:

 Board of Appeals
 Charter Review Commission
 Design Committee
 Economic Development Advisory Committee
 Grants Advisory Commission
 Library Board
 Local Sales Tax Citizens’ Oversight Committee
 Independent Redistricting Commission
 Parks & Recreation Commission
 Personnel Board
 Placer Mosquito & Vector Control District
 Planning Commission
 Public Utilities Commission
 Senior Commission
 Transportation Commission
 Youth Sports Coalition

Roseville is a full-service City providing a full range of municipal utilities and services. These services include: police; fire; parks, recreation and libraries; economic development and housing; planning; building and public facility inspection; engineering; streets; electric; water, wastewater and solid waste utilities; and general administrative services.

The ACFR presents the financial status of the City and its five component units:

 Roseville Finance Authority (Finance Authority)
 Roseville Natural Gas Financing Authority (RNGFA)
 City of Roseville Housing Authority (Housing Authority)  Successor Agency to the City of Roseville Redevelopment Agency (Successor Agency)  City of Roseville Other Post-Employment Benefits Trust (OPEB Trust)

Component units are separate legal entities included in this report due to significant operational or financial relationships with the City. The Finance Authority , Housing Authority, RNGFA, and OPEB Trust are separate legal entities from the City, but have the same governing board. The Successor Agency has a governing board determined by State law that does not report to the City Council. RNGFA and the OPEB Trust issue separate component unit financial statements . Separate financial statements are not issued for the Finance Authority, the Housing Authority, or the Successor Agency.

LOCAL ECONOMY

The City of Roseville is the largest city in Placer County with a population of 146,875 as of January 1, 2021, an increase of 3,382 new resident s from the previous year. There are nearly 11,000 business within the City that sustained 92,281 jobs th is past year. The overall local unemployment rate for the City of Roseville is at 5.5% due to effects of the ongoing pandemic and the median household income is $91,306. The largest industry sector is health care a nd social assistance at approximately 21.1 percent.

Retail businesses are second at approximately 12.1 pe rcent. Rounding out the remaining top business sectors are food service, government, and construction.

The housing market in Roseville is very healthy, with consistent growth year over year. Currently, there are 57,155 housing units and the median home value is $535,967; an increase of 9% over the prior year.

iii

BUDGET INITIATIVES

The Measure B half-cent sales tax increase that went into effect Apr il 1, 2019 mitigated some of the financial impacts of COVID-19 on the City’s Gene ral Fund during fiscal year 2020-21. The additional revenues stabilized General Fund services and conti nues to fund high priority areas identified by the community. The City was also able to set aside resources in a General Fund economic stabilization reserve fund which was established to minimize drastic cuts to services during future economic downturns. There was no need to draw from the reserve funds in fiscal year 2020-21 due to better than expected revenues.

LONG-TERM FINANCIAL PLANNING

The City has consistently planned its budgets with a focus on its long-term needs. This is accomplished through financial policies and the establishment of several funds that serve to direct City revenues to long- term financial needs. This ensures that funding is available for needs as they arise. These funds include:

Operating Reserves: The City maintains an emergency reserve in its General Fund of 10 percent of operating expenditures. The City also maintains a stabilization reserve in its General Fund of 15 percent of operating expenditures, bringing the total operating reserve target up to 25 percent of operating expenditures.

Federal Stimulus Reserve: The City established a temporary federal stimulus reserve for the City’s allocation of the American Rescue Plan federal stimulus (2021 Coronavirus State and Local Fiscal Recovery Funds) until one-time expe nditures or transfers to other City funds are approved over the remaining course of the pandemic. The federal stimulus funding must be spent by December 31, 2024.

Rate Stabilization Funds: The Electric Department maintains a rate stabilization fund targeted at a minimum policy level of 40 percent of operating expenses. This allows the City time to react to major changes to the cost of electricity without having to impose an emergency rate increase. The City also uses this fund as a reserve for the electric utility. Rate stabilization funds are also used in the Environmental Utilities Department funds, Water, Wastewater, and Waste Services, to help ease the impacts of rate increases over a period of years.

Fleet Replacement Fund: The City funds the cost of replacem ent vehicles over the useful life of the vehicle. This ensures that money is available to keep the City’s vehicle fleet operating properly and safely.

Strategic Improvement Fund: The City developed a fund that provides Council with resources that can be used for periodic, strategic investments on behalf of the City. This fund has been used to acquire land and construct im provements, primarily in redevelopment areas. This fund is included in the City’s General Fund for financial reporting.

OPEB Trust: In fiscal year 2011, the City established an irrevocable trust to address the City’s long-term liability for post-retirement health benefits and transferred $34 million of accumulated resources into the OPEB Trust. The investments in the trust have performed well, achieving a return of 9.11% since inception. In fiscal year 2021, the OPEB plan assets grew to $142.57 million. In fiscal year 2014, the City negotiated with labor groups to cap future liabilities by creating a Tier III benefit for new hires. Tier III employees are require d to set aside a portion of their salary into a Retirement Health Savings account. With the City’s OPEB funding policy, the OPEB unfunded liability is decreasing with increased contributions and investment returns.

MAJOR ACTIVITIES IN THE CITY

Many of the major activities undertaken in fiscal year 2021 are consistent with the City Council’s direction to focus on projects and funding that provide economic stab ility and enhance the City’s long-term financial condition while maintaining high levels of service to the older parts of the community. Major projects included:

 Public Works: The City has completed the following projects: Oak Ridge Drive Bridge Replacement; a new traffic signa l at the intersection of West brook and Payson/Octave; Pleasant Grove Changeable Message Sign; the first two (of four) phases of curb ramp replacement and one (of four) phases of road repairs for the Sun City Resurfacing Project; and Phase 2 of the Maidu Park Bike Trail Project. The City has also begun or continued design of the following projects: remaining phases of curb ramp replacement and road repairs for the Sun City Resurfacing Project; Roseville Parkway Extension; Washington All America City Roundabout Project; Bridge Preventative Maintenance; Hillcrest Neighborhood Resurfacing; Phase 1 of the Dry Creek Greenway East Trail Project; Pleasant Grove Widening; Roseville Parkway Widening and Pleasant Grove Triple Lefts; and Fire Station No. 8. The City continues c onstruction on the following projects: Washington Boulevard Bikeway and Pedestrian Pathways (Phase 1 of the Washington “Andora” Underpass Widening) and the 2018 Arterial Resurfacing. Design is anticipated to begin soon on the following projects: Vernon and Atlantic Street Roundabout.

 Water Utility: In December 2021, the City completed a water main and appurtenance rehabilitation in the Hillcrest neighborhood, considered part of Roseville’s older neighborhoods. This work provided additional system capacity in this older neighborhood and increased overall water delivery reliability.

The City has made significant progress on the design of six new additional aquifer storage and recovery (ASR) wells. As part of drought mi tigation measures, Roseville began construction on two of the ASR wells and they are expected to be completed in late 2022. The remaining wells will be constructed over the next four years.

Ongoing construction on the West Side Tanks and Pump Station Project will increase both water storage capacity and water syst em pressure for buildout conditions in west Roseville. The water tanks and pump station are set to go operational by May 2022, with the office facility and mechanics shop anticipated to be complete in 2023.

The City continues to work on a joint water project with the Placer County Water Agency (PCWA) to increase the capacity of water intakes and to build higher capacity conveyance within the PCWA service area that will ultimately allow access to existing contract water supplies upstream of Folsom Reservoir for greater water delivery reliability. Th is joint agency project is anticipated to be complete by 2026.

 Wastewater Utility: The City continued construction of the Pleasant Grove Wastewater Treatment Plant Expansion Project and the Pleasant Grove Energy Recovery Project. These projects will increase the treatment capacity by 2.5 million gallons per day to accommodate growth within the South Placer Wastewater Authority service area through 2035, and will utilize gas from the Pleasant Grove Wastewater Treatment Plant to create compressed natural gas to fuel the City’s Waste Services fleet.

 Electric Utility: The City continued ongoing expansion of its electric distribution system to serve new customers and rehabilitation of existing electric assets to maintain reliable service.

 Parks, Recreation & Libraries: The City completed construction of three (3) City-wide parks:

Central Park, Harry Crabb Park and Pistachio Regional Park and two (2) neighborhood or pocket parks: Jim Gray Park and John L Sullivan Pa rk. Construction started on North Hayden Park, Four Corners Park and the F-94 park site. Design continues for Denio Family Park, Gibson Park (Phase 1) and the WB-50, F-51, JM-50, and W-50D park sites. New design work began for the regional soccer complex and for the CO-62 and CO -64/HP park sites. Rehabs completed or underway include Wanish Play Structure Replacement and shade replacements at Cambria Park and Hughes Park.

The City issued a total of 7,277 building permits in fiscal year 2021. Single-family residential permit issuance increased dramatically to 1,807 compared to 976 last fiscal year. No multifamily residential permits were issued, a decrease from 16 in fiscal year 2020. The number of new construction commercial permits increased, rising from 22 to 30 compared to the prior year. However, the total commercial square footage issued in fiscal year 2021 was 602,963 square feet, compared to 896,5 33 square feet in the prior fiscal year. Significant commercial permits included Recess Self Storage Facility (115,301 square feet), Raley’s (39,470 square feet), and several retail shell buildings of varying sizes and locations (totaling 71,494 square feet).

The City has continued to grow toward the west, within the City's adopted specific plan areas. Most of this growth has occurred within the City's West Roseville and Sierra Vista Sp ecific Plan areas, with the West Roseville Specific Plan area nearing buildout. Significant development has also occu rred within the City's Campus Oaks Master Plan area, beginning with the construction of the commercial retail complex, the completion of the multi-family housing and issuance of 261 single-family residential permits. The extension of Blue Oaks Boulevard to Westbrook Boulevard was completed, which has facilitated development within the Creekview Specific Plan, including the issuance of 172 single-family permits in that area. The extension of infrastructure through the Creekview Specific Plan area is underway, allowing for construction to begin within the Amoruso Ranch Specific Plan.

AWARDS AND ACKNOWLEDGMENTS

The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City for its ACFR for the fiscal year ended June 30, 2020. The organization of the City's ACFR follows the guidelines set fo rth by GFOA. This marks the seventeenth consecutive year the City has been recognized with this award.

In order to be awarded a Certificate of Achievement, the City must publish an easily readable and efficiently organized ACFR. The report must satisfy both genera lly accepted accounting principles and applicable legal requirements. We believe this ACFR also meets the requirements of the program and we will be submitting it to GFOA to determine its eligibility for the certificate.

The City of Roseville also received the Government Finance Officers Association's (GFOA) Distinguished Budget Award and the California Society of Munici pal Finance Officer's (CSMFO) Operating Budget Excellence Award for the budget for the fiscal year 2020-21.

The Finance Department, in particular the Accounting Di vision, takes great pride in the preparation of the ACFR. The professionalism, commitment and effort of each employee of the Accounting Division have made this report possible. We also want to thank the other employees of the Finance Department as well as those in other City departments who contributed to the preparation of this report. Finally, we thank the Mayor and City Council for their support, interest, and integrity in directing the financial affairs of the City in a responsible, professional, and progressive manner.

City Council Mayor/
Council Members
Grants
Advisory
Commission
Library
Board
Parks &
Recreation
Commission
City Attorney
City Manager
Personnel
Board
Planning
Commission
Public
Utilities
Commission
Senior
Commission
Transportation
Commission
Public Affairs /
Communications
Parks, Recreation,
&L i b r a r i e s
Fire
Assistant City
ManageU/CFO
Assistant City
Manager
Environmental
Utilities
Police
Public Works
Information
Technology
Human Resources
Roseville Residents
Roseville Electric
Economic
Development
The City Council also acts as the
Board for the following:

Housing Authority
Finance Authority
Natural Gas Financing Authority
Successor Agency
City Clerk
City Wide Organization (1,206.48 FTE)
Development
Services
Assistant City
Manager
)LQDQFH
vii

CITY OF ROSEVILLE

ELECTED OFFICIALS
2021
Mayor
Vice Mayor
Council Member
Council Member
Council Member
Krista Bernasconi
Bruce Houdesheldt
Tracy Mendonsa
Scott Alvord
Pauline Roccucci
viii
Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Roseville
California
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2020
Executive Director/CEO
ix

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INDEPENDENT AUDITORS’ REPORT

To the Honorable Mayor and Members of the City Council
City of Roseville, California

Report on 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 City of Roseville, California, (the City) as of and for the year ended June 30, 2021 , 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 abov e 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 of Roseville, California, as of June 30, 2021, 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 accept ed in the United States of America (GAAS) and the standards applicable to fi nancial audits contained in Government Auditing Standards, issued by the Comptroller G eneral of the United States. Our responsibilitie s under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be inde pendent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Responsibilities of Management for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principl es generally accepted in the Unit ed 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 date of the financial statements.

2151 River Plaza Dr., Suite 150
Sacramento , CA 95833 Phone: 916.503.9691 Lance, Soll & Lunghard, LLP

To the Honorable Mayor and Members of the City Council
City of Roseville, California

Auditor’s 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 auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conduct ed in accordance with the GAAS and Government Auditing Standards will always detect a material misst atement 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, misrepr esentations, or the override of in ternal control. Misstatements are considered material if, there is a substantial likelih ood 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 the City’s internal control. Accordingly, no such opinion is expressed.  Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
 Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for a reasonable period of time.

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

Other Reporting Responsibilities

Required Supplementary Information

Accounting principles generally accepted in the Unit ed States of America require that the management’s discussion and analysis, the budgetary comparison schedules for the general fund, the modified approach for the City’s infrastructure assets, the schedules of changes in net pension liability and related ratios, the schedules of contributions - pensions, the schedule of changes in net OPEB liability and related ratios, and the schedule of contri butions – OPEB, as listed in the table of contents, be presented to supplement the basic financial statements. Such in formation 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 fi nancial 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. 2 To the Honorable Mayor and Members of the City Council City of Roseville, California

Supplementary Information

Our audit was conducted for the purpose of forming opinions on the financial stat ements that collectively comprise the City’s basic financial statements. T he combining and individual nonmajor fund financial statements and schedules are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements.

The information has been subjected to the auditing proc edures 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 themse lves, and other additional procedur es in accordance with auditing standards generally accepted in the United States of America. In our opinion, the combining and individual nonmajor fund financial statements and 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 section and statistical section but does not include the basic financial statements and our auditor’s report thereon. Our opinions on t he financial statements d oes 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 financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the financial st atements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report.

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards , we have also issued our report dated December 30, 2021 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 te sting 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.

Sacramento, California
December 30, 2021

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4 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

The following discussion provides readers of the City of Roseville’s (City) financial statements a narrative overview and analysis of the financial activities of the City for the fiscal year ended June 30, 2021. This document should be read in conjunction with the accompanying Letter of Transmittal and Basic Financial Statements.

FISCAL YEAR 2021 FINANCIAL HIGHLIGHTS

Financial highlights of the City’s fiscal year 2021 include the following:

 The City’s General Fund revenue and other financing sources (uses) exceeded expenditures by $37.3 million in fiscal year 2021. This was primar ily attributable to Bradley Burns and local Measure B sales tax revenue, and property ta x revenue, exceeding budgeted amounts which were conservatively estimated due to the uncertainty surrounding the COVID-19 pandemic, as well as expenditure savings from hiring and other spending controls.

 The City’s voter-approved Measure B local sales tax generated General Fund revenue totaling $24.5 million in the City’s second full fiscal year of the new revenue source. The additional revenue allowed the City to maintain essential services and build upon its General Fund Stabilization Reserve to address future economic downturns.

 The City’s assets and deferred outflows of resources exceeded its liabilities and deferred inflows of resources, as of June 30, 2021, by $3.1 billion, an increase of $344 million or 12.4 percent over the prior year, primarily related to infrastructure investments associated with new development in the City.

OVERVIEW OF THE CITY’S ANNUAL COMPREHENSIVE FINANCIAL STATEMENT

The City’s Annual Comprehensive Financial Report (ACFR) is divided into four sections:

 Introductory section, including the letter of transmittal, list of City elected officials, and the City’s organization chart.

 Financial section, including the independent auditors’ report, management’s discussion and analysis, the basic financial statements, and the footnotes to the basic financial statements.

 Supplemental Information section, including th e required supplementary information and supplemental information.

 Statistical section, comprised of unaudited data organized to present financial trends, revenue capacity, debt capacity and demographic and economic information.

The government-wide financial statements provide both long-term and short-term information about the City’s overall financial status. The fund financial statements focus on individual parts of the City government, reporting the City’s operations in more detail than the government-wide statements.

The notes to the basic financial statements provide additional information essential to understanding the data contained in the government-wide and fund financial statements. The statements and notes are followed by the required supplementary information: Schedule of Ch anges in Net Pension Liability and Related Ratios, Schedule of Contributions for the City’s pension pl ans, Schedule of Changes in Net OPEB Liability and Related Ratios, Schedule of Contri butions for the City’s OPEB plan, and the Budgetary Comparison Schedule for the General Fund. In addition to these required elements, we have included combining statements and schedules that provide details about the City’s non-major governmental funds, non-major enterprise funds, internal service funds, private purpose trust funds, and custodia l funds, each of which is presented in a column in the basic financial statements. 5 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

Government-wide Financial Statements

The government-wide statements report information about the City using accounting methods like those used by private-sector companies. The statement of net position includes all the City’s assets and liabilities, as well as any deferred outflows or inflows of reso urces. The statement of activities includes all current year revenues and expenses regardless of when cash is received or paid. These government-wide statements report the City’s net position and how the City’s net position has changed during the fiscal year.

The government-wide financial statements of the City present information about the following:

 Governmental Activities: Most of the City’s basic services are considered to be governmental activities. These services are supported by general C ity revenues such as taxes, and by specific program revenues such as user fees and charges.

 Business-type Activities: Certain services provided by the City are funded by customer fees. Among these are the City’s utility services, local transportation, and school-age child care.

Fund Financial Statements

A fund is a group of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. Fund financial statements provide more detailed information about the City’s largest funds, not the City as a whole.

The City has three types of fund financial statements:

 Governmental fund statements provide informa tion about how the general government services such as police, fire and public wo rks were financed in the short- term as well as what remains for future spending. Most of the City’s basic services are included in governmental funds, which focus on (1) short-term inflows and outflows of spen dable resources, and (2) the remaining year-end balances available for spending. Because this information does not encompass the additional long- term focus of the government-wide statements, reconciliations that explain the relationship (or differences) between governmental funds and governmental activities follow the governmental fund statements.

 Proprietary fund statements provide information about the services for which customer fees are intended to finance the costs of operations are generally reported in proprietary funds. Proprietary fund statements, like the government-wide statements , provide short-term and long-term financial information about the activities the City operates like businesses, such as utility services.

 Fiduciary fund statements provide information about the financial relationships in which the City acts solely as a trustee or agent for the benefit of others, to whom the resources belong. The City is the trustee or fiduciary for assets, reported in a private-purpose trust fund, which because of trust agreements, can be used only for the trust benefi ciaries. The City elected to serve as the successor agency for its former redeve lopment agency which was disso lved by state law. The successor agency activity is accounted for in a private-purpose trust fund. The City is responsible for ensuring that the assets reported in these funds are used for their intended purposes. All the City’s fiduciary activities are reported in a separate statement of fiduciary net position and a statement of changes in fiduciary net position. We exclude these activ ities from the City’s government-wide financial statements because the City cannot use these resources to finance its operations.

6 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

FINANCIAL ANALYSIS OF THE GOVERNMENT-WIDE STATEMENTS

This analysis focuses on the City’s net position and changes of its governmental and business-type activities for the fiscal year ending June 30, 2021.

The largest portion of the City’s net position is recorded in the net investment in capital assets category of $2,682.7 million. This cat egory reports capital assets less any related outstanding debt that was used to acquire those assets. The City uses these capital assets to provide services to its residents and businesses.

The restricted portion of the City’s net position of $296.4 million represents resources that are restricted for use by external sources. The remaining net position of $150.1 million is unrestricted and can be used to meet the ongoing obligations of the City.

2021 2020 2021 2020 2021 2020
Assets
$ 378.6 $ 299.7 $ 451.6 $ 425.8 $ 830.2 $ 725.5 113.4 103.2 269.4 374.6 382.8 477.8 1,075.9 1,013.9 1,816.2 1,645.4 2,892.1 2,659.3 1,567.9 1,416.8 2,537.2 2,445.8 4,105.1 3,862.6

53.5 62.1 45.8 63.6 99.3 125.7

23.5 25.1 296.2 416.7 319.7 441.8 363.4 352.9 258.9 234.5 622.3 587.4 386.9 378.0 555.1 651.2 942.0 1,029.2

35.0 52.8 98.2 121.0 133.2 173.8 1,052.4 1,013.8 1,630.3 1,350.0 2,682.7 2,363.8 248.9 166.3 47.5 53.7 296.4 220.0 (101.8) (132.0) 251.9 333.5 150.1 201.5 $ 1,199.5 $ 1,048.1 $ 1,929.7 $ 1,737.2 $ 3,129.2 $ 2,785.3 Total Net Position Other liabilities
T otal Liabilities
Deferred Inflows of Resources
Net Position
Net investment in capital assets
Restricte d
Cash and investments
Governmental
Activities
(in millions)
Unrestricte d
Deferred Outflows of Resources
Long-term debt outstanding
Liabilities
Other assets
Capital assets
Total Assets
Tabl e 1
Statement of Net Position - Primar y Government
As of June 30, 2021 and 2020
Business-type
Activities
Government-wide
Activities
7 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

Governmental Activities

Government Activities – Net Position

This analysis focuses on the net position and changes in net position of the City’s governmental activities, presented in the Government-wide Statement of Net Position and Statement of Activities.

The City’s governmental activities net position increased by $151.4 million to $1,199.5 million as of June 30, 2021, primarily due to an increase in constr uction in progress related to the construction of city parks and infrastructure improvements.

2021 2020
Increase/
Decrease
Assets
$ 378.6 $ 299.7 $ 78.9
113.4 103.2 10.2
1,075.9 1,013.9 62.0
1,567.9 1,416.8 151.1

53.5 62.1 (8.6)
Liabilities

23.5 25.1 (1.6)
363.4 352.9 10.5
386.9 378.0 8.9

35.0 52.8 (17.8)
Net Position
1,052.4 1,013.8 38.6
248.9 166.3 82.6
(101.8) (132.0) 30.2
$ 1,199.5 $ 1,048.1 $ 151.4 Total Net Position Net investment in capital assets
Capital assets
Long-term debt outstanding
Unrestricted
Restricted
Tabl e 2
Statement of Net Position - Governmental Activities
(in millions)
Other liabilities
T otal Liabilities
Other assets
Total Assets
Cash and investments
As of June 30, 2021 and 2020
Deferred Outflows of Resources
Deferred Inflows of Resources
8 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

Program revenues are comprised of charges for services of $60.9 million that include permit revenues, fees, and charges used to fund expenses incurred in prov iding services; $28.4 million of operating grants and contributions which include housing, and police grants; and capital grants and contributions of $85.8 million that consist mainly of street project grants and developer impact fees restricted for capital outlay.

General revenues were mainly comprised of prope rty and sales taxes totaling $158.6 million. General revenues are not allocable to programs and are used to pay the net cost of governmental programs.

Total expenses for governmental activities decreased by $23.5 million compared to the prior year, primarily related to a decrease in non-capital project costs for development services and public works. 2021 2020
Increase/
Decrease
$ 60.9 $ 30.5 $ 30.4

28.4 18.7 9.7

85.8 69.3 16.5
175.1 118.5 57.0
163.8 143.7 20.1
Franchise Fees 2.4 2.0 0.4

2.7 5.7 (3.0)

0.4 1.0 (0.6)
169.3 152.4 16.9
344.4 270.9 73.5

23.1 20.1 3.0

32.8 50.9 (18.1)

3.8 17.4 (13.6)

50.2 47.3 2.9

36.1 36.9 (0.8)

6.0 4.8 1.2

35.0 31.8 3.2

7.5 7.1 0.4

5.7 7.4 (1.7)

1.5 1.5 -
201.7 225.2 (23.5)
142.7 45.7 97.0
Transfers 8.7 10.2 (1.5) 151.4 55.9 95.5
Net Position-Beginning 1,048.1 992.1 56.0 Net Position-Ending $ 1,199.5 $ 1,048.1 $ 151.4 Police
Chan
ges in Net Position before Transfers
Expenses
General government
Development and operations
Public works
T otal General Revenues
Revenues
Pro
gram Revenues
Charges for services
Operating contributions and grants
Capital contributions and grants
Total Pro
gram Revenues
General Revenues
Taxes
Changes in Net Position after Transfers
Fire
Library
Parks and recreatio
n
Housing assistance payments
Interest on long-term debt
Total Ex
penses
Annexation payments
Tabl e 3
Changes in Net Position - Governmental Activities
For the Years Ended June 30, 2021 and 2020
(in millions)
Total Revenues
Use of money and property
Miscellaneous
9 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

Governmental Activities – Revenues by Source

The chart below describes the revenues by source for Governmental Activities.

17.7%

8.2%

24.9%

0.7%

47.6%

0.8% 0.1%
Charges for services
Operating grants and
contributions
Capital grants and
contributions
Franchise Fees
Taxes
Use of money and property
Miscellaneous

As the revenues chart reflects, 50.8% ($175.1 million) of the City’s fiscal year 2021 governmental activities revenue came from program revenu es and 49.2% ($169.3 million) came from general revenues such as taxes, interest, and miscellaneous revenues.

Governmental Activities – Functional Expenses

The functional expenses chart below includes only current year expenses for governmental activities.

11.5%

16.3%

1.9%

24.9%

17.9%

3.0%

17.4%

3.7% 2.8% 0.7%
General government
Development and operations
Public works
Police
Fire
Library
Parks and recreation
Annexation payments
Housing assistance payments
Interest on long‐term debt

Capital outlay is excluded from functional expenses as those expenses are added to the City's capital assets.

As the chart reflects, police was 24.9% ($50.2 million) of total governmental activities expenses; fire was

17.9% ($36.1 million); parks and recreation was 17. 4% ($35 million); development and operations was

16.3% ($32.8 million); public works was 2.8% ($3.8 million); general government was 11.5% ($23.1 million); and the remainder was for other governmental programs and functions, as shown above. 10 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

Business-type Activities

The Statement of Net Position and Statement of Activities present a summary of the City’s business-type activities that are composed of the City’s enterprise funds.

The net position of business-type activities amounted to $1,929.7 million in fiscal year 2021, an increase of $192.5 million from fiscal year 2020.

2021 2020
Increase/
Decrease
Assets
Cash and investments $ 451.6 $ 425.8 $ 25.8 Other assets 269.4 374.6 (105.2)
Capital assets 1,816.2 1,645.4 170.8
Total Assets 2,537.2 2,445.8 91.4
Deferred Outflow s of Resources 45.8 63.6 (17.8) Liab ilities
Long-term debt outstanding 296.2 416.7 (120.5) Other liabilities 258.9 234.5 24.4
Total Liab ilities 555.1 651.2 (96.1)
Deferred Inflow s of Resources 98.2 121.0 (22.8) Net Position
Net investment in capital assets 1,630.3 1,350.0 280.3 Restricted 47.5 53.7 (6.2)
Unrestricted 251.9 333.5 (81.6)
Total Net Position $ 1,929.7 $ 1,737.2 $ 192.5 Table 4
Statement of Net Position - Business-type Activities
(in millions)
As of June 30, 2021 and 2020
11 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

Business-type program revenues and general revenues totaled $533.1 million while business-type expenses and transfers out were $340.9 m illion in 2021. Major enterprise fund activity is discussed in the Proprietary Funds section below.

2021 2020
Increase/
Decrease
Revenues
Program Revenues
Charges for services $ 293.0 $ 289.2 $ 3.8 Operating grants and contributions 14.0 11.4 2.6 Capital grants and contributions 215.6 97.3 118.3 Total Program Revenues 522.6 397.9 124.7 General Revenues
Use of property and money 8.3 19.7 (11.4) Miscellaneous 2.8 - 2.8 Gain (loss) on sale of capital asset (0.6) - (0.6)

10.5 19.7 (9.2)
Total Revenues 533.1 417.6 115.5 Expenses
Electric 154.8 139.6 15.2
Water 39.9 37.5 2.4
Wastewater 74.3 45.8 28.5 Solid waste 25.1 26.5 (1.4) Natural gas 22.6 23.2 (0.6) Local transportation 9.5 10.8 (1.3) School-age child care 6.0 9.7 (3.7) Total Expenses 332.2 293.1 39.1 Change in Net Position before Transfers 200.9 124.5 76.4 Transfers (8.7) (10.2) 1.5 Changes in Net Position after Transfers 192.2 114.3 77.9 Net Position-Beginning, as Restated 1,737.5 1,622.9 114.6 Net Position-Ending $ 1,929.7 $ 1,737.2 $ 192.5 T otal General Revenues
Tabl e 5
Chan
ges in Net Position - Business-t ype Activities
For the Years Ended June 30, 2021 and 2020
(in millions)
12 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

FINANCIAL ANALYSIS OF THE FUND STATEMENTS

Governmental Funds

The City’s governmental funds provide information on near-term inflows, outflows, and balances of spendable resources.

General Fund

83.4%

2.6% 9.6%

1.5% 0.8%

0.1% 0.4%

1.7%
Revenues
Taxes
Licenses and permits
Charges for services
Subventions and grants
Use of money and property
Fines, forfeitures and
penalties
Contributions from
developers and others

13.6%

8.6%

5.5%

29.9%

22.4%

3.3%

11.6%

4.7%

0.5%

0.0%
Expenditures
General government
Development and operations
Public works
Police
Fire
Library
Parks and recreation
Annexation payments
Capital outl ay
Debt service

General Fund revenues increased by $22.3 million from the prior year, primarily due to increases in taxes of $19.3 million. Total actual revenues were higher than the final budget by $23.0 million, with the following major breakdown:

 Taxes were more than budget by $22.4 million, primarily due to:
o Bradley Burns and local Measure B revenue sales tax revenue were $13.7 million and $6 million above the budgeted amounts, resp ectively, which were conservatively established during the onset of the pandemic.
13 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

o Property tax revenue was $3.3 million higher than budget due to continued growth in the City exceeding projections and increasing property tax values.

 Licenses and permits revenue outperformed the budget by $1.6 million, primarily due to development in the West Roseville and Sierra Vista Specific Plan areas exceeding expectations.

General Fund expenditures increased by $1.3 million from the prior year, primarily caused by increases in police, general government, and most other departments, offset by reduced capital outlay expenditures. All General Fund departments ended the year within their appropriated expenditure budgets.

As of June 30, 2021, the Genera l Fund’s fund balance totaled $118.6 million, including $17.1 million nonspendable fund balance, primarily for notes receivable; $31.9 committed for emergency and economic stabilization reserves; and the balance of $69.6 m illion represents assigned and unassigned fund balance.

Community Facilities District Capital Projects Fund

Fund balance in the Community Facilities District Capital Projects Fund increased by $8.7 million, from $11.6 million to $20.3 million, resulting from land-secured bond issues to acquire or construct infrastructure in the City’s new growth areas.

Non-Major Governmental Funds

These rest of the City’s governmental funds are pre sented in the basic financ ial statements as non-major governmental funds as required by generally accepted accounting principles. They are individually presented as supplemental information.

Proprietary Funds

Electric Fund

Net position of the Electric Fund increased $35.4 million in fiscal year 2021 primarily due to an increase in capital assets of $22 million funded by developers for infrastructure in new growth areas and by ratepayers for infrastructure improvements. The fund also expe rienced a increase in cash and investments of $9.8 million and a decrease in long-term debt of $7.7 million. As of June 30, 2021, the fund’s net position was $474.1 million, of which $331.4 million was invested in capital assets; $16.1 million was restricted for debt service; $13.6 million was restricted for th e sustainable energy program; and $113 million was unrestricted as to use.

Water Fund

Net position of the Water Fund increased $68.2 million in fiscal year 2021 primarily due to an increase in cash and investments of $10.4 million and capital assets of $63.8 million. As of June 30, 2021, the fund’s net position was $667.5 million, of wh ich $551.3 million was invested in capital assets; $4.1 million was restricted for debt service; $8.2 million was rest ricted for capital projects; and $103.8 million was unrestricted as to use.

14 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

Wastewater Fund

Net position of the Wastewater Fund increased $82.4 million in fiscal year 2021, primarily due to an increase in capital assets of $79.9 million, and an increase in cash and investments of $10.9 million. As of June 30, 2021, the fund’s net position was $743.3 million of which $704.2 million was invested in capital assets; $5.5 million was restricted for debt service; and $33.5 million was unrestricted as to use.

Solid Waste Fund

Net Position of the Solid Waste Fund increased by $4.2 million in fiscal year 2021, primarily due an increase in charges for services of $1.8 million. As of June 30, 2021, the fund’s net position was $19 million, of which $3.6 million was invested in capital assets and $15.4 million was unrestricted as to use.

Roseville Natural Gas Financing Authority

This fund was created as the financing mechanism to purchase prepaid natural gas for the Roseville Energy Park, an electric power plant, through the issuance of revenue bonds. Bonds payable totaling $101.7 million remains due, while the balance of prepaid natural gas at June 30, 2021 was $102.9 million. Net position of the Roseville Natural Gas Financing Authority Fu nd in fiscal year 2021 was $3.6 million which is unrestricted as to use.

Non-Major Enterprise Funds

The remaining enterprise funds are presented in the basic financial statements as non-major enterprise funds as required by generally accepted accounting principl es. They are individually presented as supplemental information.

CAPITAL ASSETS

As of June 30, 2021, the City had invested $2.9 billion in a broad range of capital assets, including land, buildings, vehicles, parks and park improvements, roads, bridges, and water, wastewater, and storm drainage transmission and distribution systems, as well as the electric generation and distribution system. Current year capital asset additions of $319.6 million were offset by current year depreciati on expense of $72.2 million and retirements of $4.5 million, for a net increase in capital assets of $242.9 million. The table below presents a summary of the City’s capital assets for governmental and business-type activities:

15 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

2021 2020
Increase/
Decrease
Governmental Activities
Land $ 126.7 $ 133.8 $ (7.1)
Streets (modified approach) 383.9 359.0 24.9
Construction in progress 67.0 66.6 0.4
Buildings 185.0 185.2 (0.2)
Improvements 48.4 44.4 4.0
Equipment 90.6 80.5 10.1
Parks 107.5 89.9 17.6
Landscaping 60.8 56.4 4.4
Bike paths 10.1 10.0 0.1
Bridges 85.5 75.0 10.5
Culverts 21.0 21.0 0.0
Curb, gutter, sidewalk, and median curbs 187.3 181.4 5.9 Drain inlets 22.1 21.9 0.2
Soundwall 43.5 42.2 1.3
Storm drains 126.6 111.9 14.7
Traffic Signals 1.8 1.4 0.4
Less: accumulated depreciation (491.9) (466.8) (25.1)
Governmental Activity Capital Assets, Net $ 1,075.9 $ 1,013.8 $ 62.1 2021 2021
Increase/
Decrease
Business-Type Activities
Land 17.7 $ 17.7 $ - $
Streets (Modified) 2.3 2.3 0.0
Construction in progress 119.4 48.2 71.2
Buildings 33.6 33.2 0.4
Improvements 43.3 43.3 0.0
Vehicles and equipment 52.1 49.1 3.0
Landscaping 1.7 1.7 0.0
Bike paths 6.5 6.5 0.0
Bridges 12.0 12.0 0.0
Culverts 0.3 0.3 0.0
Curb, gutter, sidewalk, and median curbs 1.2 0.8 0.4
Drain Inlets 0.1 0.1 0.0
Storm Drains 0.2 0.2 0.0
Traffic signals 74.2 72.6 1.6
Plant and substations 391.3 379.0 12.3
Distribution 1,635.6 1,515.0 120.6
Generation 212.8 204.4 8.4
Less: accumulated depreciation (788.1) (741.0) (47.1)
Business-Type Activity Capital Assets, Net 1,816.2 $ 1,645.4$ 170.8$ Tabl e 6
Ca
pital Assets
(in millions)
As of June 30, 2021 and 2020
16 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

Detail on capital assets, current year additions, construction in progress and depreciable lives can be found in Note 8 to the financial statements.

The City depreciates all its capital assets over their es timated useful lives, except for streets which are reported using the modified approach. The purpose of de preciation is to spread the cost of a capital asset over the years of its useful life so that an allocable portion of the cost of the asset is borne by all users. The modified approach requires the City to employ an asset management system that maintains a current inventory of these assets, estimates annual costs to maintain them, and assesses the condition of the assets in a replicable way.

The City uses a computerized pavement management system to track the condition levels of each of the street sections. The City’s policy based on current funding is to maintain arterial and collector roadways at an average Pavement Quality Index (PQI) of 72 and residential roadways at an average PQI of 65. This policy allows for minor cracking and revealing of the pavement along with minor roughness that could be noticeable to drivers traveling at posted speed.

At June 30, 2021, the City’s streets averaged 69 PQI for arterial and collector roadways and 66 PQI for residential roadways. The City e xpended $6 million on preservation of its streets in fiscal year 2021, compared to the budgeted amount of $20.7 million.

DEBT ADMINISTRATION

The City made all scheduled repa yments of existing debt. The 2013 Electric system revenue refunding bonds were partially refunded and the 2014 electric system revenue refunding bonds were refunded by the 2020 electric system revenue refunding bonds. Additionally , the City changed its method for reporting its proportionate share of South Placer Wastewater Authority debt. This was previously reported as a liability of the wastewater fund, and is now included in the fund’s calculation of its investment in SPWA reserves.

Each of the City’s debt issues is discussed in deta il in Note 9 to the financial statements. As of June 30, 2021 the City’s debt portfolio comprised:

17 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

2021 2020
Increase/
Decrease
Governmental Activity Debt
Lease
2013 Public Facilities Refunding, 2.15%, due 8/1/25 6.1$ 7.5 $ (1.4) $ Loans
Successor Agency 3.5 3.5 -
Certificates of Participation
2015 316 Vernon Street Project, 2.00%-5.00%, due 2/1/34 13.2 13.4 (0.2) Add: deferred debt premium 0.7 0.7 - Total Governmental Activity Debt 23.5$ 25.1 $ (1.6) $ Business-type Activity Debt
Loans
State Revolving Fund Loans, 1.30%, due 6/10/52 $4.3 - 4.3 $ Total l oans 4.3 - 4.3
Direct Placement Certificates of Participation
2012 Electric System Revenue Refunding, variable rate, due 2/1/35 54.0$ 54.0 $ - $ Total direct placement debt 54.0 54.0 - Certificates of Participation
2015 Water Utility Revenue Refunding, 2.00%-5.00%, due 12/1/29 27.6 30.3 (2.7) Add deferred bond premium 4.2 4.6 (0.4) T otal certificates of participation 31.8 34.9 (3.1) Revenue Bonds
2007 Gas Revenue Bonds

4.00%-5.00%, due 2/15/28 97.3 108.7 (11.4) Add: deferred bond premium 4.4 5.1 (0.7) 2013 Electric System Revenue Refunding

2.00%-5.00%, due 2/1/29 6.3 25.3 (19.0) Add: deferred bond premium 1.0 3.3 (2.3) 2011 Refunding Wastewater Revenue Bonds, Series C

1.00%-5.25%, due 11/1/25 - 3.4 (3.4) Add: deferred bond premium - 0.1 (0.1) 2014 Refunding Electric System Revenue Bonds

5.00%, due 2/1/34 - 16.5
Add: deferred bond premium - 1.5 (1.5) 2017A Electric System Rev enue Refunding

3.0%-5.00%, due 2/1/37 56.2 56.2
Add: deferred bond premium 3.8 4.1 (0.3) 2017B Taxable Electric System Rev enue Refunding

1.03%-2.41%, due 2/1/22 2.5 5.2 (2.7) 2017 Wastewater Revenue Bonds

5.00%, due 11/1/37 - 48.3 (48.3)
Add: deferred bond premium - 9.4 (9.4) 2020 Wastewater Revenue Refunding Bonds

5.00%, due 11/1/35 - 30.3 (30.3)
Add: deferred bond premium - 10.4 (10.4) 2020 Refunding Electric System Revenue Bonds

0.39%-2.08%, due 2/1/34 34.5 - 34.5 Total Revenue Bonds 206.0 327.8 (121.8)
Total Business-type Activity Debt 296.1$ 416.7$ (120.6)$ Table 7
Outstanding Debt
(in millions)
As of June 30, 2021 and 2020
18 CITY OF ROSEVILLE
MANAGEMENT’S DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED JUNE 30, 2021

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET

Economic Factors

Development activity remains strong in most sectors in the City, despite the impacts from the COVID-19 pandemic. In fiscal year 2021, Roseville issued 1, 807 single-family residential building permits, an 85 percent increase over the prior year. The City con tinues to grow westward, with significant growth occurring in the West Roseville and Sierra Vista Specific Plan areas. The extension of Blue Oaks Boulevard to Westbrook Boulevard was completed, which has facilitated development within the Creekview Specific Plan area. Unemployment in Roseville rose from three percent prior to the pandemic to a high of 13 percent in 2020, before steadily declining over the past year to below six percent. While the pandemic has brought a great amount of uncertainty to predicting General Fund tax revenues, commitments for labor contracts, increases in retirement contributions, and rising costs for utilities continue to add costs to the City’s General Fund budget.

Next Year’s Budget

General Fund budget appropriations for fiscal year 2 022 are $182.5 million, an increase of 9.7 percent compared to the fiscal year 2021 approved budget. The approved fiscal year 2022 General Fund budget, adopted during the COVID-19 pandemic, maintains ess ential services, includes only the most critical augmentations given the continued uncertainty surrounding the pandemic, and increases the General Fund reserves up to Council-adopted policy targets.

CONTACTING THE CITY’S FINANCIAL MANAGEMENT

This financial report is intended to provide residents, businesses, customers, investors and creditors with a general overview of the City’s finances. Questions a bout this report should be directed to the Finance Department of the City of Roseville at 311 Vernon Street, Roseville, California, 95678.

19 THIS PAGE INTENTIONALLY LEFT BLANK
20 BASIC FINANCIAL STATEMENTS
21 THIS PAGE INTENTIONALLY LEFT BLANK
22 STATEMENT OF NET POSITION AND STATEMENTS OF ACTIVITIES

The purpose of the Statement of Net Position and the Stat ement of Activities is to summarize the entire City’s financial activities and financial position.

The Statement of Net Position reports the difference between the City’s total assets and deferred outflows of resources and the City’s total liabilities and deferred inflows of resources, including all the City’s capital assets and all its long-term debt. The Statement of Ne t Position focuses the reader on the composition of the City’s net position, by subtracting total liabilities and deferred inflows of resources from total assets and deferred outflows of resources and summarizes the financial position of all the City’s governmental activities in a single column, and the financial position of all the City’s business-type activities in a single column; these columns are followed by a total column that presents the financial position of the entire City.

The City’s governmental activities include the activities of its General Fund, along with the special revenue, capital projects, debt service, and permanent funds. Sinc e the City’s internal service funds predominately service these funds, their activities are consolidated with governmental activities, after eliminating inter-fund transactions and balances. The City’s business-type activities include activities of the enterprise funds. Fiduciary activities are excluded.

The Statement of Activities reports increases and decreases in the City’s net position. It is also prepared on the full accrual basis, which means it includes all the City’s revenues and all its expenses, regardless of when cash changes hands. This differs from the modifi ed accrual basis used in the governmental fund financial statements, which reflect only current assets, current liabilities, available revenues and measurable expenditures.

The Statement of Activities and the Statement of Net Position include the financial activities of the City, the Roseville Finance Authority, the Roseville Natural Gas Financing Authority, the Roseville Community Development Corporation and the City of Roseville Hous ing Authority, which are legally separate, but are component units of the City because they are controlled by the City which is financially accountable for the activities of these entities.
23 THIS PAGE INTENTIONALLY LEFT BLANK
24 CITY OF ROSEVILLE

STATEMENT OF NET POSITION
Governmental Business-Type
Activities Activities Total
Assets:

Cash and Investments in City Treasury 364,057,027$ 418,256,445$ 782,313,472$ Receivables 37,971,232 58,282,181 96,253,413 Notes and loans 56,807,436 4,392,509 61,199,945 Internal balances 3,386,622 (3,386,622) - Prepaid items and other assets 182,676 5,232,488 5,415,164 Deposits 7,520,267 - 7,520,267 Inventories 1,296,911 16,383,534 17,680,445 Restricted assets:

Cash with fiscal agent 14,553,818 33,304,137 47,857,955 Investment in NCPA reserves - 5,158,628 5,158,628 Prepaid purchased gas - 102,898,775 102,898,775 Derivatives at fair value - 80,477,824 80,477,824 Capital assets not being depreciated 577,644,482 139,367,342 717,011,824 Capital assets, net of depreciation 498,246,987 1,676,842,418 2,175,089,405 Total Assets 1,567,848,926 2,537,209,659 4,105,058,585 Deferred Outflows of Resources:

Deferred charge on refunding - 8,588,519 8,588,519 Accumulated decrease in fair value of hedging derivative - 10,219,188 10,219,188 Deferred outflows related to OPEB 7,260,684 4,044,000 11,304,684 Deferred outflows related to pensions 46,233,310 22,947,685 69,180,995 Total Deferred Outflows
of Resources 53,493,994 45,799,392 99,293,386 Liabilities:

Accounts payable 8,328,404 22,571,352 30,899,756 Accrued liabilities 6,441,290 5,617,435 12,058,725 Unearned revenue 19,240,766 6,873,412 26,114,178 Deposits payable 193,803 8,260,100 8,453,903 Due to other governments 93,246 18,035 111,281 Net invetment in SPWA reserves - 13,227,399 13,227,399 Derivative at fair value - 10,219,188 10,219,188 Compensated absences:

Due in one year 7,715,832 5,427,093 13,142,925 Due in more than on year 8,080,121 4,112,726 12,192,847 Self-insurance claims payable and litigation settlement:

Due in one year 2,776,803 - 2,776,803 Due in more than on year 7,804,068 - 7,804,068 Other long-term liabilities:

Due in one year 1,655,949 23,500,000 25,155,949 Due in more than on year 21,817,241 272,692,967 294,510,208 Long-term liabilities due in more than one year:

Landfill closure and post closure liability - 784,378 784,378 Net OPEB liability 63,992,843 35,635,000 99,627,843 Net pension liability 238,740,827 146,140,827 384,881,654 Total Liabilities 386,881,193 555,079,912 941,961,105 Deferred Inflows of Resources:

Accumulated increase in fair value of hedging derivatives - 80,477,824 80,477,824 Deferred OPEB related items 30,349,945 16,901,000 47,250,945 Deferred pension related items 4,633,360 845,182 5,478,542 Total Deferred Inflows
of Resources 34,983,305 98,224,006 133,207,311 Net Position:

Net investment in capital assets 1,052,418,279 1,630,310,774 2,682,729,053 Restricted for:

Community development 74,208,630 - 74,208,630 Streets and roads - - - Capital projects 174,619,185 8,173,965 182,793,150 Debt service - 25,734,502 25,734,502 Global warming prevention (AB 32) - 13,609,695 13,609,695 Unrestricted (101,767,672) 251,876,197 150,108,525 Total Net Position 1,199,478,422$ 1,929,705,133$ 3,129,183,555$ JUNE 30, 2021
Primary Government
See Notes to Financial Statements.
25 CITY OF ROSEVILLE

STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2021
Operating Capital
Charges for Contributions Contributions
Expenses Services and Grants and Grants
Functions/Programs
Primary Government:

Governmental Activities:

General government 18,900,319$ 8,023,303$ 634,759$ -$ Police 50,161,215 2,836,860 2,580,294 - Fire 36,101,836 933,148 1,478,931 - Economic development 4,177,122 35,903 10,195,475 - Parks and recreation 34,984,176 16,731,091 69,123 - Public works 3,801,296 5,271,802 6,618,427 83,757,057 Library 5,960,578 134,472 - - Development services 32,782,151 27,002,711 38,263 2,013,500 Annexation payments 7,494,258 - - - Housing assistance payments 5,706,057 - 6,840,858 - Interest on long-term debt 1,549,203 - - - Total Governmental Activities 201,618,211 60,969,290 28,456,130 85,770,557 Business-Type Activities:

Electric 154,771,931 165,995,197 - 28,875,498 Water 39,906,556 36,887,506 - 72,007,822 Wastewater 74,288,202 43,609,275 - 113,717,266 Waste Services 25,082,857 28,638,281 - 911,572 Roseville Natural Gas Financing Authority 22,649,501 14,568,504 - - Local Transportation 9,544,110 268,884 13,461,259 69,468 School-Age Child Care 5,965,804 2,986,556 493,578 - Total Business-Type Activities 332,208,961 292,954,203 13,954,837 215,581,626 Total Primary Government 533,827,172$ 353,923,493$ 42,410,967$ 301,352,183$ General Revenues:

Taxes:

Property taxes, levied for general purpose
Transient occupancy taxes
Sales taxes
Business licenses taxes
Other taxes
Franchise fees
Use of money and property
Miscellaneous revenues
Gain (loss) on sale of capital asset
Transfers
Total General Revenues,
and Transfers
Change in Net Position
Net Position at Beginning of Year
Restatement of Net Position
Net Position at End of Year
Program Revenues
See Notes to Financial Statements.
26 Primary Government
Governmental Business-Type
Activities Activities Total
(10,242,257)$ -$ (10,242,257)$ (44,744,061) - (44,744,061) (33,689,757) - (33,689,757) 6,054,256 - 6,054,256
(18,183,962) - (18,183,962) 91,845,990 - 91,845,990
(5,826,106) - (5,826,106) (3,727,677) - (3,727,677) (7,494,258) - (7,494,258) 1,134,801 - 1,134,801
(1,549,203) - (1,549,203) (26,422,234) - (26,422,234) - 40,098,764 40,098,764
- 68,988,772 68,988,772
- 83,038,339 83,038,339
- 4,466,996 4,466,996
- (8,080,997) (8,080,997) - 4,255,501 4,255,501
- (2,485,670) (2,485,670) - 190,281,705 190,281,705
(26,422,234) 190,281,705 163,859,471
69,084,347 - 69,084,347
2,383,853 - 2,383,853
89,504,214 - 89,504,214
858,637 - 858,637
1,899,611 - 1,899,611
2,401,009 - 2,401,009
2,650,187 8,341,902 10,992,089
351,002 2,750,278 3,101,280
- (466,792) (466,792) 8,681,939 (8,681,939) -
177,814,799 1,943,449 179,758,248
151,392,565 192,225,154 343,617,719
1,048,085,857 1,737,285,146 2,785,371,003
- 194,833 194,833
1,199,478,422$ 1,929,705,133$ 3,129,183,555$
Net (Expenses) Revenues and Changes in Net
Position
See Notes to Financial Statements.
27 THIS PAGE INTENTIONALLY LEFT BLANK
28 FUND FINANCIAL STATMENTS

Major funds are defined generally as having significant activities or balances in the current year.

The funds described below were determined to be major funds by the City in fiscal year 2021. Individual non- major funds may be found in the supplemental information section.

General Fund

The General Fund is used for all the general revenues of the City not specifically levied or collected for other City funds and the related expenditures. The General Fund accounts for all financial resources of a governmental unit which are not accounted for in another fund.

Community Facilities Districts Capital Projects Fund

This fund is used to account for the construction of infrastructure improvements, or reimbursement to developers for such improvements, funded by special taxes levied against benefited properties.

29 CITY OF ROSEVILLE

BALANCE SHEET

GOVERNMENTAL FUNDS
JUNE 30, 2021
Capital Projects
Fund
Other Total
Governmental Governmental
General Funds Funds
Assets:

Cash and investments 89,752,868$ 7,148,462$ 210,881,507$ 307,782,837$ Receivables 24,244,578 18,700 10,841,969 35,105,247 Notes and loans 11,356,595 - 44,787,480 56,144,075 Prepaids 93,663 - 15,690 109,353 Developer permit fees receivable 1,426,228 - 6,094,039 7,520,267 Due from other governments - - 6,181,468 6,181,468 Due from other funds 3,518,421 - - 3,518,421 Advances to other funds 5,461,850 - - 5,461,850 Inventories 228,590 - - 228,590 Restricted assets:

Cash and investments with fiscal agents - 14,487,633 66,185 14,553,818 Total Assets 136,082,793$ 21,654,795$ 278,868,338$ 436,605,926$ Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable 2,099,600$ 1,340,868$ 4,091,585$ 7,532,053$ Accrued liabilities 3,467,103 - 2,477,252 5,944,355 Unearned revenues 10,367,600 - 8,873,166 19,240,766 Deposits payable 183,803 - 10,000 193,803 Due to other government agencies 21,768 - 71,478 93,246 Due to other funds - - 1,605,540 1,605,540 Advances from other funds - - 9,901,440 9,901,440 Total Liabilities 16,139,874 1,340,868 27,030,461 44,511,203 Deferred Inflows of Resources:

Unavailable revenues 1,294,120 - 52,390,046 53,684,166 Total Deferred Inflows of Resources 1,294,120 - 52,390,046 53,684,166 Fund Balances:

Nonspendable 17,140,698 - 17,287,404 34,428,102 Restricted - 20,313,927 176,123,842 196,437,769 Committed 31,946,376 - - 31,946,376 Assigned 1,651,026 - 9,249,174 10,900,200 Unassigned 67,910,699 - (3,212,589) 64,698,110 Total Fund Balances 118,648,799 20,313,927 199,447,831 338,410,557 Total Liabilities, deferred inflows of
resources, and Fund Balances 136,082,793$ 21,654,795$ 278,868,338$ 436,605,926$ Community
Facilities
District
See Notes to Financial Statements.
30 CITY OF ROSEVILLE

RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS

TO THE STATEMENT OF NET POSITION
JUNE 30, 2021
Total Fund Balances - Total Governmental Funds 338,410,557$ Amounts reported for governmental activities in the Statement of Net Position are different from those reported in the governmental funds above because of the following:

Capital Assets
Capital assets used in Governmental Activities are not current assets or financial resources and therefore are not reported in the Governmental Funds. 946,220,948 Allocation of Internal Service Fund Net Position
Internal service funds are used to charge the costs of certain activities such as insurance, post employment benefits, facility maintenance, and information technology. The net position of the internal service funds are therefore included in governmental activities in the statement of net position. 155,196,416
Long-Term Liabilities
Long-term liabilities are not due and payable in the current period and, therefore, are not reported in the governmental funds:

Direct placement debt and certificates of participation (23,473,190)$ Interest payable (292,486)
Compensated absences (14,205,051)
Net OPEB liability (57,268,843)
Net pension liability (216,345,722) (311,585,292)
Deferred Outflows/(Inflows) of Resources
Deferred outflows related to pensions 42,716,729
Deferred inflows related to pensions (4,503,841)
Deferred outflows related to OPEB 6,498,684
Deferred inflows related to OPEB (27,159,945)
Unavailable revenue in the governmental funds is revenue in the governmental activities 53,684,166 71,235,793 Net Position of Governmental Activities 1,199,478,422$
See Notes to Financial Statements.
31 CITY OF ROSEVILLE

STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Capital Projects
Funds
Other Total
Governmental Governmental
General Funds Funds
Revenues:

Taxes 153,341,681$ -$ 12,789,990$ 166,131,671$ Licenses and permits 4,668,439 - - 4,668,439 Subventions and grants 4,430,729 - 25,827,780 30,258,509 Charges for services 15,050,711 - 40,304,550 55,355,261 Use of money and property 1,376,288 500 48,127 1,424,915 Fines, forfeitures and penalties 79,177 - 150,401 229,578 Contributions from developers and others 670,635 - 3,237,323 3,907,958 Miscellaneous revenues 1,386,782 238,575 756,692 2,382,049 Revenue from others - 76,323,849 3,500,603 79,824,452 Total Revenues 181,004,442 76,562,924 86,615,466 344,182,832 Expenditures:

Current:

General government 17,562,048 - 2,198,807 19,760,855 Police 47,702,602 - 1,125,141 48,827,743 Fire 35,706,906 - - 35,706,906 Economic development 3,990,798 - 99,383 4,090,181 Parks and recreation 18,513,097 - 10,980,900 29,493,997 Public works 8,657,316 - 4,455,625 13,112,941 Library 5,241,683 - - 5,241,683 Development services 13,717,062 18,106,777 2,915,649 34,739,488 Housing assistance payments - - 5,706,057 5,706,057 Annexation payments 7,494,258 - - 7,494,258 Capital outlay 823,939 49,282,313 18,707,835 68,814,087 Debt service:

Principal retirement - - 1,613,400 1,613,400 Interest and fiscal charges 22,872 495,469 1,072,367 1,590,708 Total Expenditures 159,432,581 67,884,559 48,875,164 276,192,304 Excess (Deficiency) of Revenues
Over (Under) Expenditures 21,571,861 8,678,365 37,740,302 67,990,528 Other Financing Sources (Uses):

Transfers in 12,418,371 22 8,294,049 20,712,442 Transfers out (3,715,337) - (8,279,972) (11,995,309) Proceeds from sale of capital asset 6,991,269 - 321,609 7,312,878 Total Other Financing Sources
(Uses) 15,694,303 22 335,686 16,030,011 Net Change in Fund Balances 37,266,164 8,678,387 38,075,988 84,020,539 Fund Balances, Beginning of Year 81,382,635 11,635,540 161,371,843 254,390,018 Fund Balances, End of Year 118,648,799$ 20,313,927$ 199,447,831$ 338,410,557$ Community
Facilities District
See Notes to Financial Statements.
32 CITY OF ROSEVILLE

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,

AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS

TO THE STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2021
Net Change in Fund Balances - Total Governmental Funds 84,020,539$ Amounts reported for governmental activities in the statement of activities are different from those reported in the governmental funds because of the following:

Capital Assets Transactions
Governmental funds report capital outlays as expenditures. 86,163,359$ Non-capitalized capital outlay expenditures are reclassified to various governmental activities.

In the statement of activities the cost of capital assets is allocated over their estimated useful lives as depreciation expense (net of depreciation on (16,274,954) internal service fund capital assets of $11,184,981).

Proceeds from the sale of assets are deducted from fund balance (7,312,878) Loss on sales of assets (820,328)
Transfer of assets from the Successor Agency to the Redevelopment Agency (159,156) 61,596,043 Long Term Debt Transactions
Issuance of debt and repayment of principal is an other financing source and expenditure, respectively, in the governmental funds but in the statement of net position the transactions increase and reduce long term liabilities.

Payment of debt principal 1,613,400
Amortization of premium 27,808 1,641,208
Pension Related Items
Governmental funds report pension contributions as expenditures. However, in the Statement of Activities, pension expense is measured as the change in net pension liability and the amortization of deferred outflows and inflows related to pensions. This amount represents the net change in pension related amounts. (2,019,667)
OPEB Related Items
Governmental funds report OPEB contributions as expenditures. However, in the Statement of Activities, OPEB expense is measured as the change in net OPEB liability and the amortization of deferred outflows and inflows related to OPEB. This amount represent the net change in OPEB related amounts. 17,780,686
Accrual of Non-Current Items
Certain amounts included in the Statement of Activities do not require the use of current financial resources and therefore are not reported as revenue or expenditures in governmental funds (net change):

Compensated absences 1,523,812
Interest payable 13,697 1,537,509
Unavailable Revenues
Revenue and other resources not available to fund liabilities of the current period are not recognized in governmental funds. Revenue in the statement of activities is not limited by availability, so certain revenues need to be reduced by the amounts that were unavailable at the beginning of the year and increased by the amounts that were unavailable at the end of the year.

This adjustment is the change between prior year's unavailable revenues and the current year unavailable revenues. (75,184)
Allocation of Internal Service Fund Activity
Internal Service Funds are used by management to charge the costs of certain activities, such as equipment acquisition, maintenance, and insurance to individual funds. The portion of the net revenue (expense) of these Internal Service Funds arising out of their transactions with Governmental Funds is reported with governmental activities because they service those activities. (13,088,569) Change in Net Position of Governmental Activities 151,392,565$ See Notes to Financial Statements.
33 THIS PAGE INTENTIONALLY LEFT BLANK
34 PROPRIETARY FUNDS

Proprietary funds account for City operations financed and operated in a manner similar to a private business enterprise. The intent of the City is that the cost of providing goods and services be financed primarily through user charges.

The City has identified the funds below as major enterprise funds in fiscal year 2021.

Electric Fund

This fund accounts for all financial transactions relating to the City’s electric services. Services are on a user charge basis to residents and business owners located in the City.

Water Fund

This fund accounts for all financial transactions relating to the City’s water services. Services are on a user charge basis to residents and busines s owners located in the City.

Wastewater Fund

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

Waste Services Fund

This fund accounts for all financial transactions relating to the City’s solid waste services. Services are on a user charge basis to residents and business owners located in the City.

Roseville Natural Gas Financing Authority

This fund accounts for financing and purchasing pre-pai d natural gas for the generation of power for the Roseville Energy Park.

Internal Service Funds

These funds account for activities and services performed by a designated department for other departments in the City.
35 CITY OF ROSEVILLE

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2021
Assets:

Current:

Cash and investments 170,175,119$ 134,154,868$ 74,359,402$ 35,949,144$ Receivables 28,661,900 9,376,697 9,286,356 3,331,691 Notes and loans - 48,147 4,344,362 - Prepaid costs 5,232,488 - - - Due from other funds - - - - Inventories 12,899,751 3,151,070 139,135 193,578 Restricted:

Cash with fiscal agent 16,180,219 8,173,965 - - Total Current Assets 233,149,477 154,904,747 88,129,255 39,474,413 Noncurrent:

Prepaid purchased gas - - - - Investment in NCPA reserves 5,158,628 - - - Derivative instruments - - - - Advances to other funds - - - - Capital assets not being depreciated 20,545,912 29,043,404 81,807,710 1,088,866 Capital assets - net of accumulated depreciation 462,141,763 552,562,820 626,741,083 2,491,090 Total Noncurrent Assets 487,846,303 581,606,224 708,548,793 3,579,956 Total Assets 720,995,780 736,510,971 796,678,048 43,054,369 Deferred Outflows of Resources:

Deferred charge on refunding 7,054,828 1,533,691 - - Accumulated decrease in fair value of hedging derivative 10,219,188 - - - Deferred OPEB related items 1,325,000 861,000 666,000 619,000 Deferred pension related items 10,774,865 3,448,622 4,382,146 2,491,150 Total Deferred Outflows of Resources 29,373,881 5,843,313 5,048,146 3,110,150 Liabilities:

Current:

Accounts payable 10,878,843 8,074,226 1,696,609 965,970 Accrued liabilities 2,525,688 398,355 421,650 262,405 Unearned revenues - 6,303 3 - Deposits payable 3,455,794 39 61,703 50,794 Due to other governments 18,035 - - - Due to other funds - - - - Accrued compensated absences 2,495,110 732,944 1,226,573 656,164 Accrued claims and judgments - - - - Long-term debt - due within one year 8,755,000 2,825,000 - - Total Current Liabilities 28,128,470 12,036,867 3,406,538 1,935,333 Noncurrent:

Advances from other funds - - - - Net Investment in SPWA reserves - - 13,227,399 - Derivative at fair value 10,219,188 - - - Accrued compensated absences 2,080,112 613,062 772,722 435,971 Accrued claims and judgments - - - - Net OPEB liability 11,681,000 7,580,000 5,869,000 5,457,000 Net pension liability 68,619,020 21,962,323 27,907,407 15,864,731 Landfill closure and post closure liability - - - 784,378 Long-term debt - due in more than one year 149,590,464 28,972,679 4,344,362 - Total Noncurrent Liabilities 242,189,784 59,128,064 52,120,890 22,542,080 Total Liabilities 270,318,254 71,164,931 55,527,428 24,477,413 Deferred Inflows of Resources:

Accumulated increase in fair value of hedging derivatives - - - - Deferred OPEB related items 5,540,000 3,595,000 2,784,000 2,588,000 Deferred pension related items 396,847 127,016 161,398 91,751 Total Deferred Inflows of Resources 5,936,847 3,722,016 2,945,398 2,679,751 Net Position:

Net investment in capital assets 331,397,039 551,342,236 704,204,431 3,579,956 Restricted for capital projects - 8,173,965 - - Restricted for debt service 16,084,167 4,134,075 5,516,260 - Restricted for sustainable energy programs (AB 32) 13,609,695 - - - Unrestricted 113,023,659 103,817,061 33,532,677 15,427,399 Total Net Position 474,114,560$ 667,467,337$ 743,253,368$ 19,007,355$ Business-Type Activities - Enterprise Funds
Electric Water Wastewater Waste Services
See Notes to Financial Statements.
36 CITY OF ROSEVILLE

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2021
Assets:

Current:

Cash and investments
Receivables
Notes and loans
Prepaid costs
Due from other funds
Inventories
Restricted:

Cash with fiscal agent
Total Current Assets
Noncurrent:

Prepaid purchased gas
Investment in NCPA reserves
Derivative instruments
Advances to other funds
Capital assets not being depreciated
Capital assets - net of accumulated depreciation
Total Noncurrent Assets
Total Assets
Deferred Outflows of Resources:

Deferred charge on refunding
Accumulated decrease in fair value of hedging derivative Deferred OPEB related items
Deferred pension related items
Total Deferred Outflows of Resources
Liabilities:

Current:

Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other governments
Due to other funds
Accrued compensated absences
Accrued claims and judgments
Long-term debt - due within one year
Total Current Liabilities
Noncurrent:

Advances from other funds
Net Investment in SPWA reserves
Derivative at fair value
Accrued compensated absences
Accrued claims and judgments
Net OPEB liability
Net pension liability
Landfill closure and post closure liability
Long-term debt - due in more than one year
Total Noncurrent Liabilities
Total Liabilities
Deferred Inflows of Resources:

Accumulated increase in fair value of hedging derivatives Deferred OPEB related items
Deferred pension related items
Total Deferred Inflows of Resources
Net Position:

Net investment in capital assets
Restricted for capital projects
Restricted for debt service
Restricted for sustainable energy programs (AB 32)
Unrestricted
Total Net Position

Governmental
Other Activities-
Enterprise Internal
Funds Totals Service Funds
-$ 3,617,912 $ 418,256,445$ 56,274,190 $ 28 7,625,509 58,282,181 2,865,985 - - 4,392,509 663,361 - - 5,232,488 73,323 - - - 583,741 - - 16,383,534 1,068,321 8,949,953 - 33,304,137 - 8,949,981 11,243,421 535,851,294 61,528,921 102,898,775 - 102,898,775 - - - 5,158,628 - 80,477,824 - 80,477,824 - - - - 5,329,590 - 6,881,450 139,367,342 4,109,571 - 32,905,662 1,676,842,418 125,560,950 183,376,599 39,787,112 2,004,744,987 135,000,111 192,326,580 51,030,533$ 2,540,596,281 196,529,032 - - 8,588,519 - - - 10,219,188 - - 573,000 4,044,000 762,000 - 1,850,902 22,947,685 3,516,581 - 2,423,902 45,799,392 4,278,581 170 955,534 22,571,352 796,351 1,824,188 185,149 5,617,435 204,449 - 6,867,106 6,873,412 - 4,691,755 15 8,260,100 - - - 18,035 - 44,226 2,452,396 2,496,622 - - 316,302 5,427,093 779,221 - - - 2,776,803 11,920,000 - 23,500,000 - 18,480,339 10,776,502 74,764,049 4,556,824 - 890,000 890,000 - - - 13,227,399 - - - 10,219,188 - - 210,859 4,112,726 811,681 - - - 7,804,068 - 5,048,000 35,635,000 6,724,000 - 11,787,346 146,140,827 22,395,105 - - 784,378 - 89,785,462 - 272,692,967 - 89,785,462 17,936,205 483,702,485 37,734,854 108,265,801 28,712,707 558,466,534 42,291,678 80,477,824 - 80,477,824 - - 2,394,000 16,901,000 3,190,000 - 68,170 845,182 129,519 80,477,824 2,462,170 98,224,006 3,319,519 - 39,787,112 1,630,310,774 129,670,521 - - 8,173,965 - - - 25,734,502 - - - 13,609,695 - 3,582,955 (17,507,554) 251,876,197 25,525,895 3,582,955$ 22,279,558$ 1,929,705,133$ 155,196,416$ Business-Type Activities - Enterprise Funds
Roseville Natural
Gas Financing
Authority
See Notes to Financial Statements.
37 CITY OF ROSEVILLE

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN NET POSITION

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Operating Revenues:

Sales and service charges 165,995,197$ 36,887,506$ 43,609,275$ 28,638,281$ Miscellaneous 1,781,914 89,293 292,707 164,326 Total Operating Revenues 167,777,111 36,976,799 43,901,982 28,802,607 Operating Expenses:

Administration and general 13,418,904 2,884,655 2,435,389 2,411,170 Depreciation and amortization 22,645,187 10,908,056 14,092,506 152,482 Operations 51,954,726 24,682,407 35,108,437 22,519,205 Power supply 60,759,929 - - - Claims expense - - - - Total Operating Expenses 148,778,746 38,475,118 51,636,332 25,082,857 Operating Income (Loss) 18,998,365 (1,498,319) (7,734,350) 3,719,750 Nonoperating Revenues (Expenses):

Subventions and grants 36,796 2,808 2,258,834 17,660 Interest revenue 206,028 279,041 34,934 34,117 Interest expense (5,975,893) (1,431,438) (7,548) - Increase (decrease) in JPA reserves (17,292) - (22,644,322) - Gain (loss) on disposal of capital assets (158,677) (14,661) (222,189) - Total Nonoperating
Revenues (Expenses) (5,909,038) (1,164,250) (20,580,291) 51,777 Income (Loss) Before Transfers 13,089,327 (2,662,569) (28,314,641) 3,771,527 and Capital Contributions
Capital contributions - connection/impact fees 2,067,795 16,766,432 17,431,213 893,912 Contributions in aid of construction 11,313,621 - - - Capital contributions from developers and other agencies 15,457,286 55,238,582 94,027,219 - Transfers in - - - - Transfers out (6,548,407) (1,113,032) (736,672) (445,331) Changes in Net Position 35,379,622 68,229,413 82,407,119 4,220,108 Net Position:

Beginning of Year, as orginally reported 438,734,938 599,237,924 660,846,249 14,787,247 Restatements - - - - Beginning of Fiscal Year, as restated 438,734,938 599,237,924 660,846,249 14,787,247 End of Fiscal Year 474,114,560$ 667,467,337$ 743,253,368$ 19,007,355$ Waste Services
Business-Type Activities - Enterprise Funds
Electric Water Wastewater
See Notes to Financial Statements.
38 CITY OF ROSEVILLE

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN NET POSITION

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Operating Revenues:

Sales and service charges
Miscellaneous
Total Operating Revenues
Operating Expenses:

Administration and general
Depreciation and amortization
Operations
Power supply
Claims expense
Total Operating Expenses
Operating Income (Loss)
Nonoperating Revenues (Expenses):

Subventions and grants
Interest revenue
Interest expense
Increase (decrease) in JPA reserves
Gain (loss) on disposal of capital assets
Total Nonoperating
Revenues (Expenses)
Income (Loss) Before Transfers
and Capital Contributions
Capital contributions - connection/impact fees
Contributions in aid of construction
Capital contributions from developers and other agencies Transfers in
Transfers out
Changes in Net Position
Net Position:

Beginning of Year, as orginally reported
Restatements
Beginning of Fiscal Year, as restated
End of Fiscal Year

Governmental
Other Activities-
Enterprise Internal
Funds Totals Service Funds
14,568,504$ 3,255,440$ 292,954,203$ 43,385,677$ - 422,038 2,750,278 2,181,846 14,568,504 3,677,478 295,704,481 45,567,523 9,190 1,232,349 22,391,657 9,329 (735,910) 2,016,722 49,079,043 11,184,981 - 12,240,343 146,505,118 39,326,858 18,133,391 - 78,893,320 - - - - 8,480,075 17,406,671 15,489,414 296,869,138 59,001,243 (2,838,167) (11,811,936) (1,164,657) (13,433,720) - 13,954,837 16,270,935 - 7,844,889 (57,107) 8,341,902 144,576 (5,242,830) (20,500) (12,678,209) - - - (22,661,614) - - (71,265) (466,792) - 2,602,059 13,805,965 (11,193,778) 144,576 (236,108) 1,994,029 (12,358,435) (13,289,144) - - 37,159,352 235,768 - - 11,313,621 - - 69,468 164,792,555 - - 161,503 161,503 11,240 - - (8,843,442) (46,434) (236,108) 2,225,000 192,225,154 (13,088,570) 3,819,063 19,859,725 1,737,285,146 168,284,986 - 194,833 194,833 - 3,819,063 20,054,558 1,737,479,979 168,284,986 3,582,955$ 22,279,558$ 1,929,705,133$ 155,196,416$ Roseville Natural
Gas Financing
Authority
Business-Type Activities - Enterprise Funds
See Notes to Financial Statements.
39 CITY OF ROSEVILLE

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Cash Flows from Operating Activities:

Cash received from customers and users 162,784,231$ 35,258,303$ 44,004,183$ 28,539,239$ Cash paid to suppliers for goods and services (92,275,823) (8,348,487) (28,083,165) (22,240,664) Cash paid to employees for services (25,240,898) (9,475,390) (7,234,242) (4,310,605) Claims paid - - - Net Cash Provided (Used) by Operating Activities 45,267,510 17,434,426 8,686,776 1,987,970 Cash Flows from Non-Capital
Financing Activities:

Cash transfers out (6,548,407) (1,113,032) (725,431) (445,331) Cash transfers in - - - - Increase (decrease) in due to other funds - - - - Changes in deposits 836,932 (18) (1,432) (161) Increase/decrease in notes and loans receivable - 8,753 (4,344,362) - Increase/decrease in advances to other funds - - - - Subventions and grants 36,796 2,808 2,258,834 17,660 Net Cash Provided (Used) by
Non-Capital Financing Activities (5,674,679) (1,101,489) (2,812,391) (427,832) Cash Flows from Capital
and Related Financing Activities:

Capital contributions 11,476,773 55,238,582 52,727,022 - Acquisition and construction of capital assets (29,735,815) (74,972,643) (52,931,027) (736,793) Principal paid on capital debt (8,120,000) (2,695,000) - - Interest paid on capital debt (5,975,893) (1,431,438) (7,548) - Increase/decrease in advance from other funds - - - - Refunding principal proceeds 34,770,000 - - - Refunding principal payoff (33,609,951) - - - Additional refunding proceeds deposited in escrow (1,860,887) - - - Proceeds from capital debt issued - - 4,344,362 - Proceeds from sale of capital assets 13,943 - - - Connection/impact fees 2,067,795 16,766,432 17,431,213 893,912 Net Cash Provided (Used) by
Capital and Related Financing Activities (30,974,035) (7,094,067) 21,564,022 157,119 Cash Flows from Investing Activities:

Investment in JPA Reserves - - (16,601,916) Interest received 206,028 279,040 34,934 34,117 Net Cash Provided (Used) by
Investing Activities 206,028 279,040 (16,566,982) 34,117 Net Increase (Decrease) in Cash
and Cash Equivalents 8,824,824 9,517,910 10,871,425 1,751,374 Cash and Cash Equivalents at Beginning of Year 177,530,514 132,810,923 63,487,977 34,197,770 Cash and Cash Equivalents at End of Year 186,355,338$ 142,328,833$ 74,359,402$ 35,949,144$ Business-Type Activities - Enterprise Funds
Electric Water Wastewater Waste Services
See Notes to Financial Statements.
40 CITY OF ROSEVILLE

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
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
Claims paid
Net Cash Provided (Used) by Operating Activities
Cash Flows from Non-Capital
Financing Activities:

Cash transfers out
Cash transfers in
Increase (decrease) in due to other funds
Changes in deposits
Increase/decrease in notes and loans receivable
Increase/decrease in advances to other funds
Subventions and grants
Net Cash Provided (Used) by
Non-Capital Financing Activities
Cash Flows from Capital
and Related Financing Activities:

Capital contributions
Acquisition and construction of capital assets
Principal paid on capital debt
Interest paid on capital debt
Increase/decrease in advance from other funds
Refunding principal proceeds
Refunding principal payoff
Additional refunding proceeds deposited in escrow
Proceeds from capital debt issued
Proceeds from sale of capital assets
Connection/impact fees
Net Cash Provided (Used) by
Capital and Related Financing Activities
Cash Flows from Investing Activities:

Investment in JPA Reserves
Interest received
Net Cash Provided (Used) by
Investing Activities
Net Increase (Decrease) in Cash
and Cash Equivalents
Cash and Cash Equivalents at Beginning of Year
Cash and Cash Equivalents at End of Year

Governmental
Other Activities-
Enterprise Internal
Funds Totals Service Funds
14,568,447$ (629,119)$ 284,525,284$ 45,420,596$ (5,639,527) (7,403,776) (163,991,442) (22,532,877) - (6,600,906) (52,862,041) (6,984,995) - - - (8,480,075) 8,928,920 (14,633,801) 67,671,801 7,422,649 - - (8,832,201) (46,434) - 161,503 161,503 57,666 (23,505) 2,397,396 2,373,891 (16,955) 50,180 - 885,501 - - - (4,335,609) - - - - 593,804 - 13,954,837 16,270,935 2,243 26,675 16,513,736 6,524,020 590,324 - 69,468 119,511,845 - - (7,025,527) (165,401,805) (11,473,203) (11,385,000) - (22,200,000) - (5,456,298) (20,500) (12,891,677) - - (55,000) (55,000) - - - 34,770,000 - - - (33,609,951) - - - (1,860,887) - - - 4,344,362 - - 22,730 36,673 2,557 - - 37,159,352 - (16,841,298) (7,008,829) (40,197,088) (11,470,646) - (16,601,916) -
7,844,889 (57,107) 8,341,901 144,576 7,844,889 (57,107) (8,260,015) 144,576 (40,814) (5,186,001) 25,738,718 (3,313,097) 8,990,767 8,803,913 425,821,864 59,587,287 8,949,953$ 3,617,912$ 451,560,582$ 56,274,190$ Roseville Natural
Gas Financing
Authority
Business-Type Activities - Enterprise Funds
See Notes to Financial Statements.
41 CITY OF ROSEVILLE

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Business-Type Activities - Enterprise Funds
Electric Water Wastewater Waste Services
Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:

Operating income (loss) 18,998,365$ (1,498,319)$ (7,734,350)$ 3,719,750$ Adjustments to Reconcile Operating Income (Loss)
Net Cash Provided (Used) by Operating Activities:

Depreciation 22,645,187 10,908,056 14,092,506 152,482 (Increase) decrease in receivables (4,992,880) (1,698,188) 103,201 (263,368) (Increase) decrease in inventory (249,319) (32,348) (32,388) (46,731) (Increase) decrease in prepaid expense (310,064) - - - Increase (decrease) in accounts payable 2,005,999 6,476,116 (464,341) (485,216) Increase (decrease) in accrued liabilities (356,971) 36,967 49,392 46,105 Increase (decrease) in unearned revenue - (20,308) (1,000) - Increase (decrease) in claims and judgments - - - - Increase (decrease) in net pension liability 5,327,173 4,594,953 1,851,824 277,617 Increase (decrease) in OPEB liability (2,453,000) 31,000 (2,079,000) (1,122,000) (Increase) decrease in deferred pension related items 1,572,030 (4,090,642) 1,558,927 1,736,444 (Increase) decrease in deferred OPEB related items 3,248,000 2,820,000 1,500,000 (2,050,000) Increase (decrease) in compensated absences (167,010) (92,861) (157,995) 22,887 Total Adjustments 26,269,145 18,932,745 16,421,126 (1,731,780) Net Cash Provided (Used) by
Operating Activities 45,267,510$ 17,434,426$ 8,686,776$ 1,987,970$ Non-Cash Investing, Capital, and Financing Activities:

Capital assets transferred to governmental activities -$ -$ (11,241)$ -$ Net amortization of premium and deferred loss 742,753 - - - Capital contributions 15,294,134 - - - See Notes to Financial Statements.
42 CITY OF ROSEVILLE

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:

Operating income (loss)
Adjustments to Reconcile Operating Income (Loss)
Net Cash Provided (Used) by Operating Activities:

Depreciation
(Increase) decrease in receivables
(Increase) decrease in inventory
(Increase) decrease in prepaid expense
Increase (decrease) in accounts payable
Increase (decrease) in accrued liabilities
Increase (decrease) in unearned revenue
Increase (decrease) in claims and judgments
Increase (decrease) in net pension liability
Increase (decrease) in OPEB liability
(Increase) decrease in deferred pension related items
(Increase) decrease in deferred OPEB related items
Increase (decrease) in compensated absences
Total Adjustments
Net Cash Provided (Used) by
Operating Activities
Non-Cash Investing, Capital, and Financing Activities:

Capital assets transferred to governmental activities
Net amortization of premium and deferred loss
Capital contributions

Governmental
Other Activities-
Enterprise Internal
Funds Totals Service Funds
Roseville Natural
Gas Financing
Authority
Business-Type Activities - Enterprise Funds
(2,838,167)$ (11,811,936)$ (1,164,657)$ (13,433,720)$ (735,910) 2,016,722 49,079,043 11,184,981 (57) (5,317,420) (12,168,712) (146,927) - - (360,786) (134,410) 12,503,066 - 12,193,002 267,312 (12) 182,928 7,715,474 (941,466) - 36,492 (188,015) 60,235 - 1,010,823 989,515 - - - - 757,937 - 209,361 12,260,928 630,471 - (159,999) (5,782,999) (145,000) - (131,806) 644,953 2,760,104 - (564,999) 4,953,001 6,505,000 - (103,967) (498,946) 58,132 11,767,087 (2,821,865) 68,836,458 20,856,369 8,928,920$ (14,633,801)$ 67,671,801$ 7,422,649$ -$ -$ (11,241)$ -$ - (71,265) 671,488 - - 69,468 15,363,602 244,781 See Notes to Financial Statements.
43 THIS PAGE INTENTIONALLY LEFT BLANK
44 FIDUCIARY FUNDS

Fiduciary funds are presented separately from the government-wide and fund financial statements. The City had the following types of fiducia ry funds in fiscal year 2021:

Other Post-Employment Benefits Trust Fund

This fund is used to account for assets held by the City as a trustee agent for the members and beneficiaries of the other post-employment benefit plan.

Private-Purpose Trust Funds

These funds are used to account for trust arrangements under which principal and income benefit private organizations or other governments.

Custodial Funds

These funds are used to account for assets held by the City as an agent for individuals, private organizations, and other governments.
45 CITY OF ROSEVILLE

STATEMENT OF FIDUCIARY NET POSITION

FIDUCIARY FUNDS
JUNE 30, 2021
Assets:

Cash and investments in City Treasury 644,119$ 5,901,935$ 131,778,925$ OPEB Plan Assets:

Domestic equity funds 96,021,844 - - Fixed income securities 41,892,086 - - Real estate partnership 4,520,608 - - Receivables:

Accounts - 114,421 9,306,839 Notes and loans - 2,313,965 - Restricted assets:

Cash and investments with fiscal agents - 251,938 74,914,883 Total Assets 143,078,657 8,582,259 216,000,647 Deferred Outflows of Resources:

Deferred charge on refunding - - 18,919,471 Total Deferred Outflows of Resources - - 18,919,471 Liabilities:

Accounts payable 1,532 643 16,039,829 Accrued liabilities - 804,612 6,758,553 Unearned revenues - - 82,648 Deposits payable - - 152,082 Due to other government agencies - - 8,532,713 Long-term liabilities:

Bonds due in one year - 2,424,328 20,590,500 Bonds due in more than one year - 41,487,924 587,663,181 Total Liabilities 1,532 44,717,507 639,819,506 Net Position (Deficit):

Restricted for OPEB 143,077,125 - - - (36,135,248) (404,899,388) Total Net Position (Deficit) 143,077,125$ (36,135,248)$ (404,899,388)$ Custodial
Funds
Held in trust for private purposes, organizations and other governments
Other Post
Employment
Benefits Trust
Fund
Private-
Purpose Trust
Funds
See Notes to Financial Statements.
46 CITY OF ROSEVILLE

STATEMENT OF CHANGES IN FIDUCIARY NET POSITION

FIDUCIARY FUNDS
YEAR ENDED JUNE 30, 2021
Additions:

Property taxes, net of pass through payments -$ 3,220,763$ 36,316,428$ Intergovernmental - - 2,258,586 Investment income 28,429,784 48,779 467,349 Contributions from City 13,124,359 - 163,061 Contributions from members - - 22,590,272 Miscellaneous - - 15,140,238 Total Additions 41,554,143 3,269,542 76,935,934 Deductions:

Retiree health plan benefits 8,099,464 - - Administrative expenses 58,764 2,041,780 1,130,082 Contractual services - 14,800 - Interest and fiscal charges - 1,031,688 24,932,156 Contributions to other governments - 74,369 149,470,679 Total Deductions 8,158,228 3,162,637 175,532,917 Changes in Net Position 33,395,915 106,905 (98,596,983) Net Position - Beginning of the Year 109,681,210 (36,242,153) - Restatements - - (306,302,405) Net Position - Beginning of the Year, as Restated 109,681,210 (36,242,153) (306,302,405) Net Position - End of the Year 143,077,125$ (36,135,248)$ (404,899,388)$ Custodial
Funds
Other Post
Employment
Benefits Trust
Fund
Private-
Purpose Trust
Funds
See Notes to Financial Statements.
47 THIS PAGE INTENTIONALLY LEFT BLANK
48 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies

The City of Roseville (City) was incorporated on April 10, 1909 under provisions of Act 279, P.A. 1909, as amended (Home Rule City). The City operates under the Council-Manager form of government and provides the following services: public safety (police and fire), streets, water, wastewater, waste services, electric, local transportation, school-age child care, golf course, parks and recreation, public improvements, planning and zoning, libraries, general administration services, economic development, and housing.

The financial statements and accounting policies of t he City conform with generally accepted accounting principles in the United States of America applicable to government s. The Governmental Accounting Standards Board (GASB) is the accepted standard-setti ng body for establishing governmental accounting and financial reporting principles. Significant accounting policies are summarized below:

a. Reporting Entity

The accompanying basic financial statements present the financial activity of the City, which the primary government presented, along with the financial activities of its component units, which are entities for which the City is financially accountable. Although they are separate legal entities, blended component units are, in substance, part of the City’s operations and are r eported as an integral part of the City’s financial statements. The City’s component units which are described below are all blended component units.

The Roseville Finance Authority is a separate government entity whose purpose is to assist with the financing or refinancing of certain public capital facilit ies within the City. The Authority has the power to purchase bonds issued by any local agency at public or negotiated sale and may sell such bonds to public or private purchasers at public or negotiated sale. The Authority is controlled by the City and has the same governing body as the City, which also performs all accounting and administrative functions for the Authority.

The financial activities of the Authority are included in the Roseville Finance Authority Debt Service Fund and Capital Projects Fund.

The City of Roseville Housing Authority is a separate government entity whose purpose is to assist with the housing for the City’s extremely low and very low-income residents. The Authority is controlled by the City and has the same governing body as the City, which also performs all accounting and administrative functions for the Authority. The fi nancial activities of the Authority are included in the Housing Authority Housing Choice Voucher Special Revenue Fund.

The Roseville Natural Gas Financing Authority is a Joint Exercise Powers Agency created on December 6, 2006, for the purpose of acquiring, financing and supplying natural gas to the City of Roseville. The members of the Authority are the City of Roseville and the former City of Roseville Redevelopment Agency.

The Roseville Natural Gas Financing Authority is governed by a five-member Board. City Council serves as the governing body of the Authority and officers of t he Authority are employees of the City. The financial activities of the Authority have been included in thes e financial statements in the Roseville Natural Gas Financing Authority Enterprise Fund.

The Roseville Community Development Corporation is a California 501(c)(3) nonprofit public benefit corporation formed in November 2010 by the Ci ty and the former Redevelopment Agency under the California Nonprofit Corporation Laws of the State of California. The Corporation was formed for the purpose of implementing the revitalization and economic goals of the City by securing private and public capital through development of both residential and commercial properties as well as developing affordable housing, redeveloping properties to create mixed-use, commercial and office projects, business recruitment and retention, commercial loans, and ongoing property management. As a separate legal entity and non-profit corporation, the corporation can secure f unding that is not legally available to the former Redevelopment Agency and its activities can ex tend outside of the Redevelopment Plan areas. 49 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

The Corporation is governed by a volunteer five-member board appointed by the City Council. The members, all from the community, have development, financing and business operations related experience. The board has operations, management, budget approval and st rategy implementation authority that are separate from the City Council.

The Corporation has established a service agreement with the City to utilize existing City staff to accomplish its initial goals. The financial activities of the Corporation are included in the Roseville Community Development Corporation Special Revenue Fund.

The City of Roseville Other Post-Employment Benefits Trust is governed by the City’s Resolution 10-275 and is used to account for contributions and inve stment income restricted to pay medical benefits.

Benefit and contribution provisions are established by the City Council. Eligibility, actuarial interest rates, administration and certain other tasks are the responsibility of the Council established by the above resolution. The financial activities of the plan have been included in these financial statements in the Other Post-Employment Benefits Trust Fund.

The Successor Agency to the Redevelopment Agency of the City of Roseville (Successor Agency) is a separate government entity which was created after the dissolution of the City of Roseville Redevelopment Agency (RDA) to serve as a custodian for assets and to wind down the affairs of the RDA. The City was designated to serve as the Successor Agency subject to control of an Oversight Board. The Oversight Board is comprised of seven members of the local agencies that serve the RDA project area: two appointed by the mayor, two by the County of Placer, one by t he Placer County Superintendent of Schools, one by the Chancellor of Sierra Community College and one by the Cities of Rocklin and Newcastle and the Hold Hill Cemetery District. The financial activities of t he Successor Agency are included in the Successor Agency to the Redevelopment Agency Private Purpose Trust Fund.

Financial statements for the Roseville Natural Gas Financing Authority and the City of Roseville Other Post- Employment Benefits Trust may be obtained from the City of Roseville at 311 Vernon Street, Roseville, California, 95678. Separate financial statements for th e Roseville Finance Authority, Roseville Housing Authority, the Roseville Community Development Corporation, and the Successor Agency are not issued.

The California Joint Powers Risk Management Authority, the Local Agency Workers’ Compensation Excess Joint Powers Authority, the Highway 65 Joint Powers Authority, and the South Placer Wastewater Authority are not included in the accompanying basic financial statements because they do not meet the above financial accountability criteria as these entities are administered by governing boards separate from and wholly independent of the City.

b. Basis of Presentation

Government-wide Statements: The Statement of Net Position and the Statement of Activities display information about the primary government, the City and its component units. These statements include the financial activities of the overall City government, excluding fiduciary activities. Eliminations have been made to minimize the double counting of internal activities . However, the interfund services provided and used are not eliminated in the process of consolidation. These statements distinguish between the governmental and business-type activities of the City. Governmental activities generally are financed through taxes, intergovernmental revenues, and other nonexchange transactions. Business-type activities are financed in whole or in part by fees charged to external parties.

The Statement of Activities presents a comparison between direct expenses and program revenues for each segment of the business-type activities of the City and for each function of the City’s governmental activities.

Direct expenses are those that are specifically asso ciated with a program or function and, therefore, are clearly identifiable to a particular function. Program revenues include (a) charges paid by the recipients of

50 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

goods or services offered by the programs, (b) grants and contributions that are restricted to meeting the operational needs of a particular program and (c) fees , grants and contributions that are restricted to financing the acquisition or construction of capital a ssets. Revenues that are not classified as program revenues, including all taxes, are presented as general revenues. Certain indirect costs are included in the program expense reported for individual functions and activities. Indirect cost charges appear on the fund summaries that are paying for the services and redu ce the expenditures of the departments providing the services on the fund summary for the General Fund. T he purpose is to ensure that the General Fund is reimbursed for the services that it is providing throughout the City.

Fund Financial Statements: The fund financial statements provide information about the City’s funds, including fiduciary funds and blended component unit s. Separate statements for each fund category— governmental, proprietary, and fiduciary—are presented. The emphasis of fund financial statements is on major governmental and enterprise funds, each of which is displayed in a separate column. All remaining governmental and enterprise funds are aggregated and r eported as nonmajor funds in the supplemental section.

Proprietary fund operating revenues, such as charges for services, result from exchange transactions associated with the principal activi ty of the fund. Exchange transacti ons are those in which each party receives and gives up essentially equal values. Nonoperating revenues, such as subsidies and investment earnings, result from nonexchange trans actions or ancillary activities.

c. Major Funds

Major funds are defined as funds that have either assets and deferred outflows of resources, liabilities and deferred inflows of resources, revenues or expenditu res/expenses equal to ten percent of their fund-type total and five percent of the grand total. The General Fund is always a major fund. The City may also select other funds it believes should be presented as major funds.

The City reported the following major governmental funds in the accompanying financial statements:

General Fund – This is used as the main operating governmental fund of the City to account for the general revenues of the City not specifically levied or collected for other City funds and the related expenditures. The General Fund accounts for all financial resources of a governmental unit which are not accounted for in another fund.

Community Facilities Districts Capital Projects Fund – This fund is used to account for specific public improvements such as streets, sewers, storm drains, sidewalks or other amenities funded by special taxes levied against benefited properties.

The City reported the following enterprise funds as major funds in the accompanying financial statements:

Electric Fund – This fund accounts for all financial transaction s relating to the City’s electric service.

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

Water Fund – This fund accounts for all financial transactions relating to the City’s water services. Services are on a user charge basis to residents and business owners located in the City.

Wastewater Fund – This fund accounts for all financial transactions relating to the City’s wastewater collection and treatment. Services are on a user char ge basis to residents and business owners located in the City.

51 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

Waste Services Fund – This fund accounts for all financial transactions relating to the City’s waste services.

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

Roseville Natural Gas Financing Authority – This fund accounts for financing and purchasing pre-paid natural gas for the generation of power for the Roseville Energy Park.

The City also reports the following funds:

Special Revenue Funds – The funds are used to account for and report the proceeds of specific revenue sources that are restricted or committed to expenditure for specified purposes other than debt service or capital projects.

Internal Service Funds – The funds account for automotive, faci lities services, information technology, general equipment replacement, work ers’ compensation, general liability, unemployment reserve, and general benefits such as vision, dental, and section 125 benefits; all of which are provided to other departments on a cost reimbursement basis.

Fiduciary Funds – These funds account for assets held by the City as an agent for various functions. The Endowment Private-Purpose Trust Fund is used to account for assets held by the City as an agent for various endowment funds for the benefits of certain private-purpose trust funds. The Successor Agency to the Redevelopment Agency Private-Purpose Trust Fund accounts for the accumulation of resources to be used for payments at appropriate amounts and times in the future. The Other Post-Employment Benefits Trust Fund accounts for the accumulation of resources to be used for retiree medical benefit payments at appropriate amounts and times in the future. The Custodial Funds are used to account for assets held by the City as an agency for ce rtain special assessment districts in the City, North Roseville-Rocklin Sewer Refunding District, Foothills Boulevar d Extension Assessments, various joint powers authorities, Dry Creek Drainage Basin, County Capital Facilities Fee, South Pl acer Wastewater Authority, Special Sewer Benefit Areas, South Placer County Tourism. Business Improvement District (SPCTBID), South Placer County Safe Kids Coalition, and other programs for the benefits of par ties outside of the City. The financial activities of these funds are excluded from the government-wide financial statement but are presented in separate Fiduciary Fund financial statements.

d. Basis of Accounting

The government-wide, proprietary, and fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place.

Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this method, revenues are recognized when measurable and available.

The City considers all revenues reported in the govern mental funds to be available if the revenues are collected within one hundred twenty (120) days after year-end with the exception of property and sales taxes which is considered available if collected within sixty (60) days. Expenditures are recorded when the related fund liability is incurred, except for principal and interest on general long-term debt, claims and judgments, and compensated absences, which are recognized as expenditures to the extent they have matured.

General capital asset acquisitions are reported as expenditures in governmental funds. Proceeds of general long-term debt and acquisitions under capital leases are reported as other financing sources.

Those revenues subject to accrual are property, sales tax, transient occupancy tax, franchise fees, certain other intergovernmental revenues, certain charges fo r services and interest revenue. Fines, licenses and permits, and charges for services are not subject to accrual because they are not measurable until received in cash.
52 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

Non-exchange transactions, in which the City gives or receives value without directly receiving or giving equal value in exchange, include taxes, grants, entitlements, and donations. On the accrual basis, revenue from taxes is recognized in the fiscal year for which the taxes are levied or assessed. Revenue from grants, entitlements, and donations is recogniz ed in the fiscal year in which all eligibility requirements have been satisfied.

The City may fund programs with a combination of cost-reimbursement grants, categorical block grants, and general revenues. Thus, both restricted and unrestricted net position may be available to finance program expenditures. The City’s policy is to first apply restri cted grant resources to such programs, followed by general revenues if necessary.

e. Cash, Cash Equivalents, and Investments

The City pools its available cash for investment purposes. The City considers pooled cash and investment amounts, with original maturities of three months or less, to be cash equivalents. Highly liquid market investments with maturities of one year or less at time of purchase are stated at amortized costs. All other investments are stated at fair value. For purposes of reporting cash flows, the City considers each fund’s share in the cash and investments pool to be cash and cash equivalents.

f. Revenue Recognition for Electric, Water, Wastewater, and Waste Services Funds

Revenues are recognized based on services rendered to customers. All residential and commercial utility customers are billed once per month. There are twenty-four billing cycles per month which include all types of customers, based on their location within the City. Revenues for services provided but not billed at the end of a fiscal year are accrued. Contributions of cash or assets to proprietary funds from state and federal agencies, developers and others are recor ded as revenue at acquisition value.

g. Deferred Outflows/Inflows of Resources

In addition to assets, the statement of net position and balance sheet reports a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net position or fund balance that app lies to a future period and so will not be recognized as an outflow of resources (expense/expenditure) until then. The City has four items that qualify for reporting in this category on the government-wide and proprieta ry fund statements of net position. They are the deferred amounts on refunding, accumulated decrease in fair value of hedging derivatives, deferred outflows related to other postemployment benefits (OPEB), and deferred outflows related to pensions. A deferred amount on refunding results from the diffe rence in the carrying value of refunded debt and its reacquisition price. This amount is deferred and amorti zed over the shorter of the life of the refunded or refunding debt. The accumulated decrease in fair value of hedging derivatives represents the change in fair value for the City’s derivative liabilities that have been determined to be not effective. The deferred outflows related to pensions and OPEB are described in Note 12 and Note 13, respectively.

In addition to liabilities, the statement of net posit ion and balance sheet reports a separate section for deferred inflows of resources. This separate financia l statement element, deferr ed inflows of resources, represents an acquisition of net position or fund balance that applies to a future period and so will not be recognized as an inflow of resources (revenue) until t hat time. The City has four types of these items reported in the government- wide and proprietary f und statements of net posit ion and the governmental funds balance sheet. They are the accumulated increa se in fair value of hedging derivatives, deferred inflows related to pensions, the deferred inflows related to OPEB, and unavailable revenues. The accumulated increase in fair value of hedging derivatives represents the change in fair value for the City’s derivative assets that have been determined to be effective.

53 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

The deferred inflows related to pensions and OPEB are described in Note 12 and 13, respectively.

Unavailable revenue represents revenues which has been earned but will not be collected within the City’s period of availability as defined in Note 1D.

In the governmental funds balance sheet, the unavailable revenue cat egory arises only under a modified accrual basis of accounting. When amounts have been earned, but have not been received within the availability period, these amounts are deferred and recognized as revenue in the period that the amounts become available.

h. Property Tax

Placer County assesses properties and bills, collects, and distributes property taxes to the City. The County remits the entire amount levied and handles all delinquencies, retaining interest and penalties. Secured and unsecured property taxes are levied on July 1st of the preceding fiscal year.

Secured property tax is due in two installments, on November 1st and February 1st, and becomes a lien on those dates. It becomes delinquent on December 10th and April 10th, respectively. Unsecured property tax is due on July 1st and becomes delinquent on August 31st. Collection of delinquent accounts is the responsibility of the County, which retains all penalties.

The term “unsecured” refers to taxes on personal property other than real estate, land and buildings. These taxes are secured by liens on the property being taxed. Property tax revenues are recognized by the City in the fiscal year they are assessed provided they become available as defined above.

i. Compensated Absences

Compensated absences comprise unused vacation leave, vested sick pay and certain compensated time off, which are accrued as earned. The City’s liability for compensated absences is recorded in various governmental funds or proprietary funds as appropriate. The liability for compensated absences is determined annually. For all governmental funds, a liabilit y of these amounts is reported only if they have matured, for example, as a result of employee resignations and retirements. The remaining portion is recorded as a liability in the statement of net position. Proprietary funds' liability for compensated absences is recorded in each proprietary fund.

The changes in compensated absence balances were as follows:

Governmental
Activ ities
Business
Activ ities Total
17,261,633$ 10,038,765$ 27,300,398$
Additions 2,856,029 2,574,504 5,430,533
Payments (4,321,709) (3,073,450) (7,395,159)
15,795,953$ 9,539,819$ 25,335,772$
Current Portion 7,715,832$ 5,427,093$ 13,142,925$ Beginning Balance
Ending Balance

Compensated absences are liquidated by the fund that has recorded the liability. Governmental activities compensated absences are liquidated primarily by the General Fund. 54 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

j. Inventories

Inventories are valued at cost, using the weighted-average method. Inventories of the governmental funds consist of expendable supplies held for consumption. The cost is recorded as an expenditure in the governmental funds at the time individual invent ory items are consumed. Inventories reported in governmental funds are equal ly offset by nonspendable fund balance which indicates that they do not constitute available spendable resources even tho ugh they are a component of net current assets.

Inventories of the proprietary funds consist primarily of supplies and equipment held for internal consumption.

k. Prepaid Items

Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items. In governmental funds, prepaid items are not in spendable form and are therefore included in nonspendable fund balance and recorded on the consumption method.

l. Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the reported amounts and disclosures.

Accordingly, actual results could differ from those estimates.

m. Pensions

For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the City's California Public Employees Retirement System (CalPERS) plan and additions to/deductions from the plan's fiduciary net position have been determined on the same basis as they are reported by CalPERS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value.

n. Other Post-Employment 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 of Roseville Retiree Healthcare Plan (Plan) and additions to/deductions from the Plan's fiduciary net position have been determined on the same basis as they are reported by the Plan. For this purpose, benefit payments (including refunds of employee cont ributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value.

o. Fair Value Measurement

The City categorizes the fair value measurements of its investments based on the hierarchy established by generally accepted accounting principles. The fair value hierarchy, which has three levels, is based on the valuation inputs used to measure an asset’s fair value: 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.

55 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

p. Net Position

Net position is the excess of all the City’s assets and deferred outflows of resources over all its liabilities and deferred inflows of resources, regardless of fund. Net position is di vided into three categories. These categories apply only to net position, which is determined only for proprietary funds and at the government-wide level, and are described below:

Net investment in capital assets describes the portion of net position which is represented by the current net book value of the capital assets, less the outstanding balance of any debt issued to finance these assets.

Restricted describes the portion of net position which is restricted as to use by the terms and conditions of agreements with outside parties, governmental regulations, laws, or other restrictions which the City cannot unilaterally alter. These principally include developer fees received for use on capital projects (expended) or contributions received in permanent funds (unexp ended), debt service requirements, and redevelopment funds restricted to low and moderate income purposes.

Unrestricted describes the portion of net position which is not restricted to use.

The City applies restricted resources when an expense is incurred for purposes which both restricted and unrestricted net position are available.

q. Fund Balance

In the fund financial statements, fund balances represent the net current assets of each fund. Net current assets generally represent a fund’s assets and deferred outflows of resources, less its liabilities and deferred inflows of resources.

The City’s fund balances are classified based on spending constraints imposed on the use of resources. For programs with multiple funding sources, the City pr ioritizes and expends funds in the following order:
restricted, committed, assigned, and unassigned. Each category in the following hierarchy is ranked according to the degree of spending constraint:

Nonspendable represents balances set aside to indicate items do not represent available, spendable resources even though they are a component of assets. Fund balances required to be maintained intact, such as permanent endowments, and assets not expected to be converted to cash, such as prepaids, notes receivable, and land held for redevelopment are included. However, if proceeds realized from the sale or collection of nonspendable assets are restricted, committed or assigned, then nonspendable amounts are required to be presented as a component of the applicable category.

Restricted fund balances have external restrictions imposed by creditors, grantors, contributors, laws, regulations, or enabling legislation which requires the resources to be used only for a specific purpose.

Encumbrances and nonspendable amounts subject to restrictions are included along with spendable resources.

Committed fund balances have constraints imposed by form al action of the City Council, such as an ordinance, which may be altered only by the same form al action of the City Council. Encumbrances and nonspendable amounts subject to council commitments are included along with spendable resources.

Assigned fund balances are amounts intended to be used by the City for specific purposes but do not meet the criteria to be classified as committed. Assignmen ts may be made by the City Council or its designee, the Assistant City Manager/Chief Financial Officer. Unlike commitments, assignments generally only exist temporarily. Thus, additional action does not normally have to be taken for the removal of an assignment. 56 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

Unassigned fund balance represents residual amounts that have not been restricted, committed, or assigned. This includes the residual General Fund balance and residual fund defic its, if any, of other governmental funds.

It is the City’s policy to consider restricted f und balance to have been depleted before using any of the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is depleted first, followed by assigned fund balance.

Unassigned fund balance is applied last.

r. Capital Assets

The City has recorded all its public domain (infrastructure) capital assets, which include roads, bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting systems.

Capital assets with limited useful lives are depreciated over their estimated useful lives. Alternatively, the modified approach is used for certain capital assets. Depreciation is not provided under this approach, but all costs associated with these assets are expensed, unless they are additions or improvements.

The purpose of depreciation is to spread the cost of capital assets equitably among all users over the life of these assets. The amount charged to depreciation expense each year represents that year’s pro rata share of the cost of capital assets.

Depreciation is provided using the straight-line method which means the cost of the asset is divided by its expected useful life in years and the result is ch arged to expense each year until the asset is fully depreciated. The City has assigned the useful lives and capitalization thresholds listed below to capital assets:

Useful Lives
Capitalization
Thresholds
40 years 20,000$
20 -75 years no threshold
6 - 20 years 5,000
6 years 5,000
6 - 8 years 5,000
25 years 5,000
12 years 20,000
20 years 20,000
90 years 20,000
75 years 20,000
50 years 20,000
20 years 20,000
35 years 20,000
75 years 20,000
Traffic Signals 20 years no threshold
Electric Distributions System 15 - 60 years no threshold Sewer and Water Distributions Systems 75 years no threshold Electric Generation 15 - 30 years 5,000
Electric Power Plants and Substation 40 years 5,000
Sewer and Water Treatment Plants 50 years 5,000
Vehicles
Buildings
Improvements
Equipment
Computer Equipment
Roadway Minor Concrete
Sound Walls
Storm Drains
Parks
Landscaping
Bike Paths
Bridges
Culverts
Crain Inlets

Major outlays for capital assets and improvements are capitalized as projects are constructed. 57 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

s. New Accounting Pronouncements

Effect of New Governmental Accounting Standards Board (GASB) Pronouncements

GASB Statement No. 84 – In January 2017, GASB issued Statement No. 84, Fiduciary Activities. The objective of this Statement is to improve guidance r egarding the identification of fiduciary activities for accounting and financial reporting purpose s and how those activities should be reported. This statement is effective for the current fiscal year. The cumulative ef fects of this change in reporting are further described in Note 22.

GASB Statement No. 98 – In October 2021, the GASB issued Statement No. 98, The Annual Comprehensive Financial Report. The Statement establishes the term annual comprehensive financial report and its acronym ACFR. The new term and acronym replace instances of comprehensive annual financial report and its acronym in generally accepted accounting principles for state and local governments. The City has chosen to early implement this statement.

Future Governmental Accounting Standards Board (GASB) Pronouncements

GASB Statement No. 87 – In June 2017, GASB iss ued Statement No. 87, Leases. The objective of this Statement is to better meet the information needs of financial statement users by improving accounting and financial reporting for leases; enhancing the compar ability of financial statements between governments; and also enhancing the relevance, re liability (representational faithfulness), and consistency of information about the leasing activities of governments. This Statement is effective for reporting periods beginning after June 15, 2021. The City has not determined its effect on the financial statements.

GASB Statement No. 89 – In June 2018, the GASB issued Statement No. 89, Accounting for Interest Cost Incurred Before the End of a Construction Period . The objectives of this Statement are (a) to enhance the relevance and comparability of information about capital assets and the cost of borrowing for a reporting period and (b) to simplify accounting for certain interest costs. This Statement is effective for reporting periods beginning after December 15, 2020. The City has not determined its effect on the financial statements.

GASB Statement No. 90 – In September 2018, the GASB iss ued Statement No. 90, Majority Equity Interests, an amendment of GASB Statements No. 14 and No. 61. The objectives of this Statement are to improve the consistency and comparability of reporting a government’s majority equity interest in a legally separate organization and to improve the relevance of financial statement information for certain component units. The Statement is effective for reporting periods beginning after December 15, 2019. The City has not determined its effect on t he financial statements.

GASB Statement No. 91 – In May 2019, the GASB issued Statement No. 90, Conduit Debt Obligations.

The objectives of this statement are to provide a si ngle method for reporting conduit debt obligations by issuers and eliminate diversity in practice associ ated with (1) commitments extended by issuers, (2) arrangements associated with conduit debt obligations, and (3) related note disclosures. The Statement is effective for reporting periods beginning after December 15, 2021. The City has not determined its effect on the financial statements.

GASB Statement No. 92 – In January 2020, the GASB iss ued Statement No. 92, Omnibus 2020. The objectives of this Statement are to enhance comparability in accounting and financial reporting to improve the consistency of authoritative literature by addressing practices issues that have been identified during implementation and application of certain GASB Statements. The Statement is effective for reporting periods beginning after June 15, 2 021. The City has not determined the effect on the financial statements.

58 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 1: Summary of Significant Accounting Policies (Continued)

GASB Statement No. 93– In March 2020, the GASB issued Statement No. 93, Replacement of Interbank Offered Rates. The objective of this Statement is to improve financial reporting by addressing issues related to the replacement of an interbank offered rate (IBOR). The removal of LIBOR as an appropriate benchmark interest rate is effective for reporting periods ending after December 31, 2021.

GASB Statement No. 94 – In March 2020, the GASB issued Statement No. 94, Public-Private and Public-Public Partnerships and Av ailability Payment Arrangements. The objective of this Statement is to improve financial reporting by addressing issues related to public-private and public-public partnership arrangements (PPPs). The Statement is effective for reporting periods beginning after June 15, 2022. The City has not determined the effe ct on the financial statements.

GASB Statement No. 96– In May 2020, the GASB issued Statement No. 96, Subscription-based Information Technology Arrangements. The objective of this Statement is to provide guidance on the accounting and financial reporting for subscription-based information technology arrangements (SBITAs) for government end users (governments). The Statement is effectiv e for reporting periods beginning after June 15, 2022.

The City has not determined the e ffect on the financial statements.

GASB Statement No. 97 – In June 2020, the GASB issued Statement No. 97, Certain Component Unit Criteria, and Accounti ng and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans – An Amendment of GASB Statement No.14 and No.84 and A Supersession of GASB Statement No.32. The objective of this Statement is (1) increase consistency and comparability related to the reporting of fiduciary component units in circumstances in which a potential component unit does not have a governing board and the primary government performs the dutie s that a governing board typically would perform; (2) mitigate costs associated with the reporting of certain defined contribution pension plans, defined contributi on other postemployment benefit (O PEB) plans, and employee benefit plans other than pension plans or OPEB plans (other employee benefit plans) as fiduciary component units in fiduciary fund financial statements; and (3) enhance the relevance, consistency, and comparability of the accounting and financial reporting for Internal Revenue C ode (IRC) Section 457 deferred compensation plans (Section 457 plans) that meet the definition of a pension plan and for benefits provided through those plans. The Statement is effective for reporting per iods beginning after June 15, 2021. The City has not determined the effect on the financial statements.

Note 2: Cash and Investments

The City pools cash from all sources and all funds, except certain specific investments within funds and cash with fiscal agents, so that it can be invested at the maximum yield, consistent with safety and liquidity, while individual funds can make expenditures at any time.

The City and its fiscal agents invest in individual investments and in investment pools. Individual investments are evidenced by specific identifiable pieces of paper called securities instruments, or by an electronic entry registering the owner in the records of the institution issuing the security, called the book entry system.

Individual investments are generally made by the City’s fiscal agents as required under its debt issues. In order to maximize security, the City employs the Trust Department of a bank as the custodian of all City managed investments, regardless of their form.

The City’s investments are reported at fair value, as required by generally accepted accounting principles.

The City adjusts the carrying value of its investments to reflect fair value at each fiscal year end, and it includes the effects of these adjustments in income for that fiscal year.

59 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 2: Cash and Investments (Continued)

a. Classification

Cash and investments are classified in the financial statements as shown below:

Cash and investment in City Treasury 782,313,472$
47,857,955
830,171,427
Fiduciary Funds (separate statement):

Cash and investments in City Treasury 280,759,517
Restricted cash and investments with fiscal agents 75,166,821 Total cash and investments 1,186,097,765$
Cash and investments as of June 30, 2021, consist of the following:

Cash in bank and on hand 175,832,996$
Investments 1,010,264,769
Total cash and investments 1,186,097,765$
Primary Government:

Restricted cash and investments with fiscal agents
Total city cash and investments with primary government

Cash and investments with original maturities of three months or less are treated as cash and equivalents for purpose of preparing Proprietary Fund statements of cash flows. Also, each Proprietary Fund’s portion of the City’s overall cash and investment pool is treated as cash and equivalents since these amounts are in substance demand deposits.

b. Investments Authorized by the California Government Code and the City’s Investment Policy

The City’s Investment Policy and the California Government Code allow the City to invest in the following, provided the credit ratings of the issuers are acceptable to the City; and approved percentages and maturities are not exceeded. The table below also identifies certain provisions of the California Government Code or the City’s Investment Policy where it is more restrictive:

Maximum
Maturity
Minimum
Credit Quality
Maximum
Percentage of
Portfolio
Maximum
Investment in
One Issuer
5 years None None None
U.S. Agencies Securities
(1)
5 years None None None
N/A A None None
5 years None None N/A
1 Year None None None
180 Days None 40% 30%
270 Days A - 1 25% 10%
(2)
5 years A 30% None
5 years None 30% None
5 years A 30% None
Local Agency Investment Fund (LAIF) N/A None None LAIF Limit N/A None None None
N/A None 20 10%
Shares in a California Common Law Trust N/A None None None Interest Rate Swaps
(3)
N/A None None None
Supranationals 5 years AA 30% None
Mortgage Pass-Through Securities 5 years AA 20% None
Insured Savings Accounts
Money Market Mutual Funds
Bankers' Acceptance
Commercial Paper
Medium Term Notes
Collateralized Time Deposit
Negotiable Certificate of Deposit
Repurchase Agreements
Authorized Investment Type
U.S. Treasury Obligations
(1)
Forward Delivery Agreements
Local Agency Bonds
60 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 2: Cash and Investments (Continued)

(1) In specified fund accounts where liquidity is not the primary investment objective, the maximum maturity can be up to ten years with granted express authority by the City Council. Such investments cannot be made less than three months following the approval of extended investment terms. All longer-term investments must be Federal Treasury or Agency securities. The specified fund accounts are:

 City Pool, subject to 25%
 Citizens Benefit Permanent Fund
 Roseville Aquatics Complex Maintenance Permanent Fund  Endowment Private-Purpose Trust Fund
 OPEB Trust Fund
 All future trust and/or endowment funds established by the City with no anticipated use of principal

(2)Eligible commercial paper may not represent more than 10% of the outstanding paper of an issuing corporation.

(3)Interest rate swaps may only be used in conjunction with enterprise fund debt or investments, not the General Fund. Pursuant to its function as custodian and investment manager of the South Placer Wastewater Authority (Authority), the City invested certain Authority funds in Forward Delivery Agreements which are investments with fixed maturities, and whic h bear interest at a variable rate. To hedge against changes in short-term interest rates, the Authority entered into a swap agreement to create a synthetic fixed interest rate on one of the Forward Delivery Agreements. Risks associated with the Forward Delivery Agreement and associated swap agreement are those of the Authority and not those of the City. Details of the swap agreement and associated risks may be found in the Basic Financial Statements of the Authority which may be obtained by contacting the City Finance Department at 311 Vernon Street, Roseville, California 95678.

c. Investments Authorized by Debt Agreements

The City must maintain required amounts of cash and investments with trustees or fiscal agents under the terms of certain debt issues. These funds are unex pended bond proceeds or are pledged reserves to be used if the City fails to meet its obligations under these debt issues. The California Government Code requires these funds to be invested in accordance with City resolutions, bond indentures or State statutes.

The table below identifies the investment types that are authorized for investments held by fiscal agents.

The table also identifies certain provisions of these debt agreements:

Maximum
Maturity
Minimum Credit
Quality
N/A None
U.S. Agencies Securities N/A None
N/A - 30 days None to A-1
N/A - 30 days None to A-1
N/A - 30 days None to A
N/A - 270 days None to A-1
N/A None to Aam-G
N/A None
180 - 270 days A-1 to AA
N/A AA
Pre-refunded Municipal Obligations N/A AAA

N/A AAA
N/A None
California Asset Management Pool (CAMP) N/A None
Lawful Investments N/A None
Investment Agreements N/A A+ to AA
Local Agency Investment Fund (LAIF) N/A None
Placer County Investment Pool N/A None
Supranationals N/A None
Mortgage Pass - Through Securities N/A None
Repurchase Agreements
Authorized Investment Type
U.S. Treasury Obligations
Certificates of Deposit
Time Deposits
Municipal Obligations
Common Law Trust
Bankers' Acceptance
Money Market Funds
Taxable Governmental Money
Commercial Paper
Special Revenue Bonds
61 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 2: Cash and Investments (Continued)

d. Interest Rate Risk

Interest rate risk is the risk that changes in market in terest rates will adversely affect the fair value of an investment. Normally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. The City also manages its interest rate risk by holding most investments to maturity.

Information about the sensitivity of the fair values of the City’s investments (including investments held by bond trustees) to market interest rate fluctuations is provided by the follo wing table that shows the distribution of the City’s investments by maturity or earliest call date:

12 Months or
Less
13 to 24
Months
25 to 60
Months
More Than 60
Months Total
78,396,435$ 5,694,808 $ 195,366,123 $ 108,061,425 $ 387,518,791 $ 4,026,088 - - - 4,026,088 - - 14,510,663 - 14,510,663 34,005,659 34,164,583 178,160,705 - 246,330,947 45,306,469 - - - 45,306,469 10,130,644 - - - 10,130,644 62,993,680 - - - 62,993,680 - - - 6,068,861 6,068,861 142,571,035 - - - 142,571,035 89,965,317 - - - 89,965,317 842,274 - - - 842,274 468,237,601$ 39,859,391 $ 388,037,491 $ 114,130,286 $ 1,010,264,769 $ Federal Agency Securities
California Asset Management Pool
Total
Remaining Maturity (in Months)
Forward Purchase Agrrement
Local Agency Bonds
Corporate Notes
Money market Mutual Funds
Roseville Advantage Banks
Commercial Paper
Guaranteed Investment Contracts (GIC)
Local Agency Investment Fund
Post Employment Welfare Benefits Program Trust

The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. The City reports its investment in LAIF at the fair value amoun t provided by LAIF, which is the same as the value of the pool share. At June 30, 2021, the fair value was $18,125 greater than the City’s cost. The balance is available for withdrawal on demand and is based on the accounting records maintained by LAIF, which are recorded on an amortized cost basis. Included in LAIF ’s investment portfolio are collateralized mortgage obligations, mortgage-backed securities, other asset-bac ked securities, loans to certain state funds, and floating rate securities issued by federal agencie s, government-sponsored enterprises, United States Treasury Notes and Bills, and corporations. At June 30, 2021, these investments matured in an average of 291 days. LAIF is not registered with the Securities and Exchange Commission and is not rated.

The City is a participant in the California Asset Management Program (CAMP). CAMP is an investment pool offered by the California Asset Management Trust (Trust). The Trust is a joint powers authority and public agency created by the Declaration of Trust and establis hed under the provisions of the California Joint Exercise of Powers Act (California Government Code Sections 6500 et seq., or the “Act”) for the purpose of exercising the common power of its Participants to invest certain proceeds of debt issues and surplus funds.

The Pool’s investments are limited to investments permitted by subdivisions (a) to (n), inclusive, of Section 53601 of the Califor nia Government Code. The City reports its investments in CAMP at the fair value amounts provided by CAMP, which is the same as the value of the pool share. At June 30, 2 021, the fair value approximated.
62 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 2: Cash and Investments (Continued)

is the City’s cost, and these investments had an average maturity of 52 days. CAMP is not registered with the Securities and Exchange Commission and is not rated.

Money market mutual funds were available for withdrawal on demand and at June 30, 2021 and had an average maturity of 27 days for the Dreyfus U.S. Treasury Money Market Fund and 27 days for the First American Money Market Fund.

e. Credit Risk

Credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment.

This is measured by the assignment of a rating by a nationally recognized statistical rating organization.

Presented below is the actual rating as of June 30, 2021, for each investment type as provided by Standard and Poor’s investment rating system:

AAA / AAAm AA+ / AA / AA- A+ / A / A- Total
Inv estments:

Federal agency securities -$ 89,400,330$ 2,163,634$ 91,563,964$ Forward purchase agreement - 4,026,088 - 4,026,088 Local Agency Bonds - 12,570,512 - 12,570,512 Corporate notes 7,585,951 76,745,049 161,999,947 246,330,947 California Asset Management Program 842,274 - - 842,274 Total 8,428,225$ 182,741,979$ 164,163,581$ 355,333,785 Not Rated:

Local Agency Investment Fund (LAIF) 89,965,317
FAMC & FHLB Discount Notes 212,982,707
Federal agency securities* 82,972,120
Local Agency Bonds 1,940,151
Money Market Mutual Funds 45,306,469
Commercial Paper 62,993,680
Roseville Advantage Banks 10,130,644
Post Employment Welfare Benefits Program Trust 142,571,035 Guaranteed Investment Contracts 6,068,861
Total Investments 1,010,264,769$
*These federal agency securities are not rated under Standard and Poors rating, however did meet the minimum rating for Moody's.

f. Concentration of Credit Risk

Investments in any one issuer, other than U. S. Tr easury securities, money market mutual funds, and investment pools that represent 5 per cent or more of total entity-wide investments are as follows at June 30, 2021:

Investment Type Amount % of Portfolio
Federal Farm Credit Bank Federal agency securities 54,652,990$ 5.39% Federal Home Loan Bank Federal agency securities 97,094,665 9.57% Federal Home Loan Mortgage Corporation Federal agency securities 73,012,830 7.20% Federal Agricultural Mortgage Corporation (FAMC) Federal agency securities 115,888,041 11.42% Issuer

63 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 2: Cash and Investments (Continued)

Investments in any one issuer that represent 5 percent or more of total investments by individual funds were as follows at June 30, 2021:

Issuer Investment Type Amount
Major Enterprise Funds:

Roseville Natural Gas Financing Authority Wachovia Bank Forward Purchase Agreement 4,026,088$ Water FSA Security Assurance Guaranteed Investment Contract 3,918,125 Fund

g. Fair Value Measurements

The City’s Pool categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. These principles recognize a three-tiered fair value hierarchy, as follows:

 Level 1: Investments reflect prices quoted for identical assets in active markets;  Level 2: Investments reflect prices that are based on a similar observable inputs;  Level 3: Investments reflect prices based on unobservable inputs.

The asset’s level within the hierarchy is based on the lowest level of input that is significant to the fair value measurement. Valuation techniques used need to maximize the use of observable inputs and minimize the use of unobservable inputs. The determination of what constitutes observable requires judgment by management. City management consider observable data to be that market data, which is readily available, regularly distributed or updated, reliable, and verifiable, not proprietary, and provided by multiple independent sources that are actively involved in the relevant ma rket. The categorization of an investment within the hierarchy is based upon the relative observability of the inputs to its fair value measurement and does not necessarily correspond to City management’s perceived risk of that investment. The City has a forward purchase agreement that is measured using level 3 inputs. This item is valued using the discounted cash flows approach. Deposits and withdrawals in government al investment pools, such as LAIF and CAMP Investment Pools, are made on the basis of $1 and not fair value. Accordingly, the City’s measured fair value of its proportionate share in these types of investments is based on uncategorized inputs not defi ned as a Level 1, Level 2, or Level 3 input.

The Pool has the following recurring fair value measurements as of June 30, 2021:

Total
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
Significant Other
Observable Inputs
(Level 2)
Significant
Unobservable
Inputs (Level 3)
Federal Agency Securities 387,518,791$ -$ 387,518,791$ -$ Commercial Paper 62,993,680 - 62,993,680 - Corporate Medium Term Notes (MTN) Securities 246,330,947 - 246,330,947 - Municipal Securities 14,510,663 - 14,510,663 - Forward Purchase Agreements 4,026,088 - - 4,026,088 Post Employment Welfare Benefits Program Trust 142,571,035 2,280,220 135,770,207 4,520,608 Money Market Mutual Funds 45,306,469 45,306,469 - - Total Investments at Fair Value 903,257,673 47,586,689$ 847,124,288$ 8,546,696$ Investments measure at amorized cost
Guaranteed Investment Contracts (GIC's) 6,068,861
Investments with uncategorized inputs
Local Agency Investment Fund 89,965,317
California Asset Management Program 842,274
Roseville Advantage Bank 10,130,644
Total investments measured with uncategorized inputs 100,938,235 Total investments 1,010,264,769$
Investments at Fair Value

64 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 3: Interfund Transactions

a. Transfers Among Funds

With City Council approval, resources may be transferred from one City fund to another. Transfers between funds during the fiscal year ended June 30, 2021, were as follows:

Fund Receiving Transfer
Amount
Transferred
General Fund Landscaping and Lighting Services Districts Fund 4,915,056 (A) Grants Fund 135,000 (A)
Roadway Fund 1,200,000 (C)
Equipments Replacement Fund 11,879 (B)
Electric Fund 6,156,436 (C)
Total General Fund 12,418,371
Open Space Fund Landscaping and Lighting Services Districts Fund 634,777 (A) Golf Course Fund General Fund 1,004,749 (A)
CFD Capital Projects General Fund 22 (A) Landscaping and Lighting Services Districts Fund 128,005 (A) Roseville Finance Authority Capital Projects Fund 619,335 (B) Total Development Impact Fund 747,340
Cable TV PEG Fund Fleet Replacement Fund 34,555 (D) Roadway Fund Solid Waste Fund 301,453 (C)
Water Fund 754,503 (C)
Wastewater Fund 686,545 (C)
Total Roadway Fund 1,742,501
Citizens Benefit Fund General Fund 1,044,840 (A) General Fund Capital Fund General Fund 707,000 (A),( B RFA Debt Service Fund General Fund 797,223 (B)
Development Impact Fund 166,065 (B)
Electric Fund 391,971 (B)
Water Fund 358,529 (B)
Wastewater Fund 38,886 (B)
Golf Course Fund 481,735 (B)
Solid Waste Fund 143,878 (B)
Total RFA Debt Service Fund 2,378,287
Local Transporation Fund General Fund 91,422 (A) School-Age Child Care Fund General Fund 70,081 (A) Total Enterprise Funds 161,503
Fleet Replacement Fund Wastewater Fund 11,240 (D) Total Interfund Transfers 20,885,185$
(A) Transfers to fund operations
(B) Transfers to fund various projects and/or pay debt service (C) Transfers to fund in-lieu franchise fees
(D) Transfers of capital assets between funds
Fund Making Transfer

65 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 3: Interfund Transactions (Continued)

b. Current Interfund Balances

Current interfund balances arise in the normal course of business and are expected to be repaid shortly after the end of the fiscal year. At June 30, 2021, interfund balances comprised the following:

Amount
Governmental Funds
Special revenue funds:

Golf Fund Fleet Replacement Fund 127,000 $ (A)
Roseville Aquatics Maintenance General Fund 36,537 (B) TotalSpecial revenue funds Fund 163,537
Debt service fund:

Roseville Financing Authority General Fund 61,780 (B) Capital projects fund:

Development Impact Fund General Fund 409,042 (A) Development Impact Fund General Fund 569,440 (A) Development Impact Fund Fleet Replacement Fund 33,345 (A) Development Impact Fund Fleet Replacement Fund 368,396 (A) Total Development Impact Fund 1,380,223
Enterprise Funds
Roseville Natural Gas Financing Authority General Fund 44,226 (B) School-Age Child Care Fund Fleet Replacement Fund 55,000 (A) General Fund 2,397,396 (B)
Total School-Age Child Care Fund 2,452,396
4,102,162$
(A) Current portion of the advances mentioned in 3C below. (B) To cover negative cash balances as of June 30.

Due From Other FundsDue to Other Funds

c. Long-Term Interfund Advances

At June 30, 2021, the funds below had made advances which were not expected to be repaid within the next year:

Amount of
Advance
Governmental Funds
Special revenue funds:

Golf Course Fund Fleet Replacement Fund 1,861,000 $
Total Special Revenue Funds 1,861,000
Capital projects fund:

Development Impact Fund General Fund 5,461,850
Development Impact Fund Fleet Replacement Fund 2,578,590 Total Development impact fund 8,040,440
Enterprise Funds
School-Age Child Care Fund Fleet Replacement Fund 890,000 10,791,440$
Fund Marketing AdvanceFund Receiving Advance

66 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 3: Interfund Transactions (Continued)

Golf Course advance from the Fleet Fund bears interest at the prior fiscal year’s average interest rate of the City’s pooled investments. Principal is paid annually in the amount of $127,000 with the final principal payment in fiscal year 2037. Simple interest is defe rred for the life of the loan and a lump-sum deferred interest payoff is due in fiscal year 2037. As of June 30, 2021, the accrued deferred interest payable not included in the advance amount in the table above is $2,324,045.

Development Impact has two advances from the General Fund that bears interest at the prior fiscal year’s average interest rate of the City’s pooled investments. The first advance has principal payments of $409,042 and interest are being paid over the period beginning in fiscal year 2018 and ending in fiscal year 2028. The second advance has principal and interest that are deferred until fiscal year 2022. Deferred interest is added to the principal balance annually as incurred. Begi nning in fiscal year 2022, principal of $571,393 and interest are payable over seven years with final payment in fiscal year 2028.

Development Impact has two advances from the Fleet Fund. The first advance bears interest at the prior fiscal year’s average interest rate of the City’s pooled investments plus one-half percent. Interest only payments were made the first three years of the advance beginning in fiscal year 2015. Principal payments of $33,345 plus interest are being paid over an 18-year term beginning in fiscal year 2018 and ending in fiscal year 2035. The second advance bears interest at the prior fiscal year’s interest rate of the City’s pooled investments. Principal and interest will be paid annually over six years starting in fiscal year 2021 with the final payment in fiscal year 2026.

School-Age Child Care advance from the Fleet Fund bears interest at the prior fiscal year’s average interest rate of the City’s pooled investments. In fiscal year 2018 two prior advances and one new $300,000 advance were consolidated into one total advance. Principal and interest payments are being paid over a 15-year term beginning in fiscal ye ar 2018 and ends in fiscal year 2037. In fiscal year 2020, $340,000 was added.

Principal amount repayments are $55,000 annually.

d. Internal Balances

Internal balances are presented in the City-wide financial statements only. They represent the net interfund receivables and payables remaining after the eliminat ion of all such balances within governmental and business- type activities.

Note 4: Receivables

The City nets its Accounts, Interest, and Due From Other Agency receivables together and presents this amount as Receivables in the financial statements. These separate receivables are classified below for the Governmental and Proprietary funds:

67 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 4: Receivables (Continued)

General
Community
Facilities
District
Capital
Projects
Non-Major
Governmental
Funds
Total
Governmental
Funds
Governmental
Activ ities
Internal
Service Funds
Total
Governmental
Activ ities
Accounts receivables 21,426,046$ -$ 6,620,965$ 28,047,011$ 258,711$ 28,305,722$ Taxes receivable 2,420,056 - 465,300 2,885,356 - 2,885,356 Interest receivable 398,476 18,700 3,755,704 4,172,880 2,607,274 6,780,154 Total 24,244,578$ 18,700$ 10,841,969$ 35,105,247$ 2,865,985$ 37,971,232$ Electric Water Wastewater Waste Serv ices
Roseville
Natural Gas
Financing
Authority
Non-Major
Enterprise
Funds Total Totals
Accounts receivables 27,845,887$ 4,715,645$ 4,887,547$ 3,264,559$ -$ 7,605,730$ 48,319,368$ Taxes receiv able 28,278 - - - - - 28,278 Interest receivable 539,117 256,033 150,593 66,722 28 11,410 1,023,903 Permits receivables 248,618 4,405,019 4,248,216 410 - 8,369 8,910,632 Total 28,661,900$ 9,376,697$ 9,286,356$ 3,331,691$ 28$ 7,625,509$ 58,282,181$ Business-Type Activities - Enterprise Funds

Note 5: Notes Receivable

The City engages in programs designed to encourage business enterprises, construction or improvement in low- to-moderate income housing, or other projects. Under these programs, grants or loans are provided with favorable terms to businesses, homeowners or developers who agree to spend these funds in accordance with the City’s terms. Although these notes are expected to be repaid in full, their balances have been offset in the fund financial statements by unavailable revenue, due to other government agencies or fund balance. Notes receivable were comprised of the following at June 30, 2021:

Flood Loan Notes 6,633$
Housing Elevation Notes 10,000
Water Meter Notes Receiv able 48,147
Tenant Improvement Notes Receivable 90,793
Flood Control Loan 601,397
SPWA Loan 4,344,362
First Time Home-Buyer Notes 9,430,950
Due From Successor Agency 15,610,127
Housing Rehabilitation and Affordable Housing Notes 31,057,536 Total 61,199,945$

a. Flood Loan Notes Receivable

The City has provided notes to various homeowners and businesses for rehabilitation due to flood damage.

The maximum note amount is $5,000 carrying various interest rates and payment dates. The balance of these notes receivable at June 30, 2021 was $6,633.

b. Housing Elevation Notes Receivable

In fiscal year 1997, the Federal Emergency Management Agency (FEMA) approved Hazard Mitigation Grant Program funds to be used for residential home elevation projects in the City at a maximum of $5,000 per household, with the total federal share not to exceed $1,493,096. The City provided matching funds to each eligible household at a maximum of $5,000 in the form of a zero percent, deferred loan payable upon sale, change of title or change of use. As of June 30, 2021, two notes funded through the FEMA Hazard Mitigation Grant Program were outstanding with a total balance of $10,000. 68 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 5: Notes Receivable (Continued)

c. Water Meter Notes Receivable

The City entered into an agreement with Stonesfair Management for Water Meter Installations at Windscape Apartments. The original note amount is payable in 120 monthly installments. The balance of note at June 30, 2021 was $48,147.

d. Tenant Improvement Notes Receivable

The City entered into a tenant improvement notes receivable with the Sierra Joint Community College District for overages in their Tenant Improvement allowance for the 316 Vernon Street Office Building Project. The original note amount was for $128,141 payable in 120 monthly installments. The balance of note at June 30, 2021 was $90,793.

e. Flood Control Loan

On May 10, 2017, the City entered into an agreement with the Placer County Flood Control and Water Conservation District to fund the Antelope Creek Flood Control project with a loan to be paid back with future development fees. The loan bears simple interest based on the Construction Cost Index. As of June 30, 2021, the balance of the loan was $601,397.

f. SPWA Loan

In June 2020, the City entered into loan agreements with the State Water Resources Control Board to secure funding for the Pleasant Grove Wastewater Treatment Plant Expansion and Energy Recovery Projects in the form of loans from the Clean Water State Revolving Fund. The City then entered into a reimbursement agreement with the South Placer Wastewater Authority as the Authority is responsible for the completion of these projects. The loans are approved for up to $108,021,755, bear interest at the rate of 1.30% and are payable in 30 annual payments beginning on June 10, 2023. Total funds drawn on the loans at June 30, 2021 was $4,344,362.

g. First Time Home-Buyer Notes Receivable

The City engages in a first-time home-buyer program designed to encourage home ownership among low- income residents. Under this program, grants are provided at no interest and are due upon sale or transfer of the property. Although these notes are expected to be repaid in full, their balance has been offset with the with a deferred inflow of resources, as they ar e not expected to be repaid during the next fiscal year and any repayments will be used to reduce future grant draw-downs by the City. The balance of the notes receivable arising from this program at June 30, 2021, was $9,430,950.

h. Successor Agency Loans

Prior to July 1, 2011, the former Redevelopment Agency had received various advances from various City funds. These advances bore interest at the average interest rate of the City’s pooled investments. Principal and accrued interest on the advances totaled $32,768,517 at July 1, 2011. During fiscal year 2012, the City and Redevelopment Agency determined that certai n advances should have instead been funded by bond proceeds of the Agency. Therefore, the Redevelopment Agency repaid advances from the City in the amount of $7,309,447 prior to the dissolution of the Agency on January 31, 2012.

69 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 5: Notes Receivable (Continued)

With the dissolution of the Agency effective February 1, 2012, the Successor Agency assumed the balance of the obligation to repay the advances in the amount of $25,603,129 for principal and accrued interest and recorded a notes payable to the Low and Moderate Income Housing Asset Fund equal to twenty percent of the balance of the notes. During fiscal year 2013, the State D epartment of Finance denied the prepaid advance and required the return of $7,309,447 to the Successor Agency. The General Fund returned the cash to the Successor Agency during fiscal year 2013. The Successor Agency received its Finding of Completion in August 2013 determining that notes are enforceable obligations.

During fiscal year 2014, the Successor Agency completed its Long-Range Property Management Plan which was approved by the Department of Finance in May 2014 and as a result, the Successor Agency transferred land that was designated for governmental use to the City in the amount of $7, 107,581. As a result of the transfer, the City cancelled the notes that had bee n made to the former Redevelopment Agency for the purchase of those properties, including accrued interest, in the amount of $5,902,331.

During fiscal year 2014, the Department of Finance clarified how the interest is to be calculated on each note to the Successor Agency. The City recalculated the interest due on the notes using the revised guidance and as a result the interest receivable was reduced by $3,030,067. The principal balance of the notes as of June 30, 2021 is $15,610,127.

i. Housing Rehabilitation and Affordable Housing Notes Receivable

The City engages in programs designed to encourage construction or improvement in low-to-moderate income housing or other projects. Under these programs, grants or notes are provided under favorable terms to home- owners or developers who agree to spend thes e funds in accordance with the City’s or Agency’s terms. Although these notes are expected to be repaid in full, their balance has been offset with a deferred inflow of resources as they are not expected to be repaid during the next fiscal year and any repayments will be used to reduce future grant draw-downs by t he City. With the dissolution of the Agency effective February 1, 2012, the assets of the Low and Moderate Income Housing Fund, including affordable housing notes receivable, were assumed by the Low and M oderate Income Housing Asset Fund. The balance of the notes receivable arising from these programs at June 30, 2021, was $24,985,689.

Note 6: Developer Permit Fees Receivable

The City has entered into a number of agreements with developers to defer permit fees for various projects within the City. Although these fees are expected to be repaid in full, their balance has been offset by unavailable revenue in governmental funds, as t hey are not expected to be repaid early enough to be reported as a current asset. The receivable was valued at $7,520,267 at June 30, 2021.

Note 7: Development Agreements

The City may enter into development agreements in an effort to provide incentives to develop new businesses and new tax revenues. The substance of thes e agreements is that developers or other public agencies will be paid a portion of future sales tax or traffic mitigation fee revenues produced by their developments. These payments are conditioned on the generation of sales tax revenues or traffic mitigation fee revenues by these developments and the City is not required to use any other resources to pay these amounts.

70 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 8: Capital Assets

a. Capital Asset Additions, Retirements and Transfers

Capital asset activity for the year ended June 30, 2021, was as follows:

Balance
July 1, 2020 Additions Retirements Transfers
Balance
June 30, 2021
Governmental activities
Capital assets, not being depreciated:

Land 133,831,323 $ 765,074 $ (7,903,873) $ - $ 126,692,524$ Streets (modified) 358,999,990 8,400,979 - 16,510,564 383,911,533 Construction in progress 66,612,104 74,857,443 - (74,429,122) 67,040,425 Total capital assets not being depreciated 559,443,417 84,023,496 (7,903,873) (57,918,558) 577,644,482 Capital assets, being depreciated:

Buildings 185,182,857 99,656 (253,554) - 185,028,959 Improvements 44,406,471 146,930 - 3,870,861 48,424,262 Vehicles & equipment 80,524,893 2,101,165 (2,223,860) 10,151,470 90,553,668 Parks 89,879,384 990,899 - 16,619,407 107,489,690 Landscaping 56,406,041 425,010 - 3,990,824 60,821,875 Bike Paths 9,961,675 156,453 - - 10,118,128 Bridges 75,006,498 - - 10,481,324 85,487,822 Culverts 21,029,296 - - - 21,029,296 Curb, gutter, sidewalk, and median curbs 181,375,078 3,638,769 - 2,317,933 187,331,780 Drain inlets 21,896,150 1,730 - 164,061 22,061,941 Soundwall 42,166,030 1,076,560 - 277,436 43,520,026 Storm drains 111,893,434 4,612,434 - 10,045,242 126,551,110 Traffic signals 1,426,196 391,403 - - 1,817,599 Total capital assets being depreciated 921,154,003 13,641,009 (2,477,414) 57,918,558 990,236,156 Less accumulated depreciation for:

Buildings (73,330,610) (4,551,925) 26,388 - (77,856,147) Improvements (15,516,389) (871,098) - - (16,387,487) Vehicles & equipment (56,669,814) (8,027,198) 2,219,136 - (62,477,876) Parks (53,129,414) (3,035,885) - - (56,165,299) Landscaping (46,692,868) (1,632,564) - - (48,325,432) Bike Paths (8,090,185) (233,002) - - (8,323,187) Bridges (15,238,355) (861,801) - - (16,100,156) Culverts (7,234,218) (280,390) - - (7,514,608) Curb, gutter, sidewalk, and median curbs (139,102,309) (4,586,704) - - (143,689,013) Drain inlets (11,238,575) (440,134) - - (11,678,709) Soundwall (17,329,232) (1,215,988) - - (18,545,220) Storm drains (23,138,497) (1,589,889) - - (24,728,386) Traffic signals (64,292) (133,357) - - (197,649) Total accumulated depreciation (466,774,758) (27,459,935) 2,245,524 - (491,989,169) Net capital assets being depreciated 454,379,245 (13,818,926) (231,890) 57,918,558 498,246,987 Governmental activities capital assets, net 1,013,822,662$ 70,204,570$ (8,135,763)$ -$ 1,075,891,469$

71 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 8: Capital Assets (Continued)

Balance
July 1, 2020 Additions Retirements Transfers
Balance
June 30, 2021
Business-type activities
Capital assets, not being depreciated:

Land 17,689,908$ -$ -$ -$ 17,689,908$ Streets (modified) 2,304,491 - - - 2,304,491 Construction in progress 48,221,785 109,507,310 (11,241) (38,344,911) 119,372,943 Total capital assets not being depreciated 68,216,184 109,507,310 (11,241) (38,344,911) 139,367,342 Capital assets, being depreciated:

Buildings 33,228,239 - - 383,791 33,612,030 Improvements 43,259,851 - - - 43,259,851 Vehicles & equipment 49,128,223 296,843 (2,667,162) 5,308,777 52,066,681 Landscaping 1,740,121 - - - 1,740,121 Bike Paths 6,531,682 - - - 6,531,682 Bridges 12,018,098 - - - 12,018,098 Culverts 348,248 - - - 348,248 Curb, gutter, sidewalk, and median curbs 755,592 - - 467,515 1,223,107 Drain inlets 75,699 - - - 75,699 Storm drains 164,362 - - - 164,362 Traffic signals 72,561,009 34,721 (387,647) 2,032,517 74,240,600 Plants and substations 379,028,082 - (195,088) 12,454,575 391,287,569 Distribution 1,514,987,083 112,157,262 (738,913) 9,182,035 1,635,587,467 Generation 204,380,728 - (50,008) 8,515,701 212,846,421 Total capital assets being depreciated 2,318,207,017 112,488,826 (4,038,818) 38,344,911 2,465,001,936 Less accumulated depreciation for:

Buildings (9,039,566) (838,702) - - (9,878,268) Improvements (3,848,570) (1,010,603) - - (4,859,173) Vehicles & equipment (30,911,691) (4,819,689) 2,572,217 - (33,159,163) Landscaping (706,546) (99,177) - - (805,723) Bike Paths (3,039,003) (326,584) - - (3,365,587) Bridges (343,276) (133,534) - - (476,810) Culverts (53,609) (4,643) - - (58,252) Curb, gutter, sidewalk, and median curbs (144,450) (57,259) - - (201,709) Drain inlets (2,379) (1,514) - - (3,893) Storm drains (10,878) (2,191) - - (13,069) Traffic signals (45,453,400) (2,545,037) 381,795 - (47,616,642) Plants and substations (155,510,700) (8,616,881) 195,088 - (163,932,493) Distribution (397,034,756) (24,250,385) 367,044 - (420,918,097) Generation (94,931,672) (7,958,176) 19,209 - (102,870,639) Total accumulated depreciation (741,030,496) (50,664,375) 3,535,353 - (788,159,518) Net capital assets being depreciated 1,577,176,521 61,824,451 (503,465) 38,344,911 1,676,842,418 Business-type activities capital assets, net 1,645,392,705$ 171,331,761$ (514,706)$ -$ 1,816,209,760$

72 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 8: Capital Assets (Continued)

b. Depreciation Allocation

Depreciation expense is charged to functions and programs based on their usage of the related assets. The amounts allocated to each function or program is as follows:

Governmental Activities
General Government 1,191,331$
Development & Operations 193,192
Public Works 8,425,796
Police 200,458
Fire 260,977
Library 310,502
Parks and Recreation 5,692,698
11,184,981
Total Governmental Activities 27,459,935 $
Business-Type Activities
Electric 22,902,800$
Water 11,199,610
Wastewater 14,092,506
Waste Serv ices 452,737
Local Transportation 1,902,734
School-Age Child Care 113,988
Total Business-Type Activities 50,664,375 $
Capital assets held by the City's internal service funds are charged to the various functions based on their usuage of the assets

c. Streets Covered By the Modified Approach

The City has elected to use the modified approach with respect to its streets. The City’s policy based on current funding is to maintain the arterial and collect or roadways at an average Pavement Quality Index (PQI) of 72 and residential roadways at an average PQI of 65, instead of providing depreciation. During fiscal year 2021, the City expended $6,033,245 to preserve its streets. The City estimates that it will be required to expend approximately $4,588,932 in fiscal year 2022 to maintain its streets at this condition level.

Note 9: Long-Term Debt

The City generally incurs long-term debt to finance projects or purchase assets, which will have useful lives equal to or greater than the related debt.

For governmental fund types, bond premiums and discounts, as well as issuance costs, are recognized during the current period. Bond proceeds are reported as other financing sources gross of the applicable premium or discount. Issuance costs, even if withheld from the actual net proceeds received, are reported as debt service expenditures. For proprietary fund types included, bond premiums and discounts are deferred and amortized over the life of the bonds usi ng the effective interest method. Bonds payable are reported net of the applicable bond premium or di scount. Any differences between proprietary and government-wide refunded debt and the debt issued to re fund it, is amortized over the remaining life of either the refunded debt or the refunding debt, whichever is shorter.

73 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 9: Long-Term Debt (Continued)

a. Current Year Transactions and Balances

Original Issue
Amount
Balance
June 30, 2020 Additions Deletions*
Balance
June 30, 2021
Short term
Portion
Gov ernmental Activ ities Debt:

Direct Placement Debt:

Lease:
2013 Public Facilities Refunding

2.15%, due 8/1/25 16,324,609 $ 7,482,335 $ - $ 1,338,400$ 6,143,935 $ 1,365,949 $ Loans:

Successor Agency 4,072,574 3,469,049 - - 3,469,049 - Total direct placement 20,397,183 10,951,384 - 1,338,400 9,612,984 1,365,949 Certificates of Participation
2015 316 Vernon Street Project

2.00% - 5.25%, due 8/1/45 14,425,000 13,440,000 - 275,000 13,165,000 290,000 Add: dept premium - 723,014 - 27,808 695,206 - Total certificate of participation 14,425,000 14,163,014 - 302,808 13,860,206 290,000 Total Governmental-Type Activities Debt: 34,822,183$ 25,114,398$ -$ 1,641,208$ 23,473,190$ 1,655,949$ Business-Type Activities Debt:

Direct Placement Debt:

Certificates of Participation
2012 Electric System Revenue Refunding
variable rates, due 2/1/35 90,000,000$ 54,000,000$ -$ -$ 54,000,000$ -$ Loans
2020 SRF Loan

1.30% Interest, due 6/10/2052 4,344,362 - 4,344,362 - 4,344,362 - Total direct placement debt 94,344,362 54,000,000 4,344,362 - 58,344,362 - Certificates of Participation
2004 Electric System Revenue,

3.00% - 5.25%, due 2/1/34 39,940,000 5,000 - - 5,000 - Less: bond discount (728,254) - - - - - 2015 Water Utility Revenue Refunding

2.00% - 5.00%, due 12/1/30 42,565,000 30,335,000 - 2,695,000 27,640,000 2,825,000 Add: bond preminum 6,899,891 4,619,644 - 461,965 4,157,679 Total Certificates of Participation 88,676,637 34,959,644 - 3,156,965 31,802,679 2,825,000 Revenue Bonds
2007 Gas Revenue Bonds

4.00% - 4.00%, due 2/15/28 209,350,000 108,675,000 - 11,385,000 97,290,000 11,920,000 Add: bond preminum 15,454,116 5,151,372 - 735,910 4,415,462 - 2013 Electric System Revenue Refunding

2.00% - 5.00%, due 2/1/29 48,780,000 25,275,000 - 18,985,000 6,290,000 5,415,000 Add: bond preminum 5,899,513 3,318,476 - 2,315,821 1,002,655 - 2011 Refunding Wastewater Revenue Bonds, Series C

1.00% - 5.25%, due 11/1/25 36,315,568 3,412,525 - 3,412,525 - - Add: bond preminum 2,839,017 80,695 - 80,695 - - 2014 Refunding Electric System Revenue Bonds

5.00%, due 2/1/34 16,485,000 16,485,000 - 16,485,000 - - Add: bond preminum 2,129,224 1,490,457 - 1,490,457 - - 2017A Electric System Revenue Refunding

3.00% - 5.00%, due 2/1/37 56,210,000 56,210,000 - - 56,210,000 175,000 Add: bond preminum 5,069,937 4,104,235 - 241,426 3,862,809 - 2017
B Taxable Electric System Revenue Refunding

1.03% - 2.41%, due 2/1/22 6,265,000 5,160,000 - 2,635,000 2,525,000 2,525,000 2020 Refunding Electric System Revenue Bonds

0.39%-2.08%, due 2/1/34 34,770,000 - 34,770,000 320,000 34,450,000 640,000 2017 Wastewater Revenue Bonds

5.00%, due 11/1/37 46,109,348 48,285,446 - 48,285,446 - - Add: bond preminum 10,618,219 9,451,437 - 9,451,437 - - 2020 Wastewater Reveune Bonds

5.00%, due 11/1/35 30,296,244 30,296,244 - 30,296,244 - - Add: bond preminum 10,372,759 10,372,759 - 10,372,759 - - Total Revenue Bonds 536,963,945 327,768,646 34,770,000 156,492,720 206,045,926 20,675,000 Total Business-Type Activities Debt: 719,984,944$ 416,728,290$ 39,114,362$ 159,649,685$ 296,192,967$ 23,500,000$

74 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 9: Long-Term Debt (Continued)

b. Direct Placement Debt

2013 Public Facilities Refunding Lease

On June 1, 2013, the City entered into a Lease and Sublease Agreement in the amount of $16,324,609 to refund the outstanding 2003A Public Facilities Refunding Certificates of Partici pation (2003A COPs) and the 2003B Golf Course Refunding Certificates of Participation (2003B COPs). The 2003A and 2003B COPs were called on August 1, 2013. The Lease is repayable from any source of available funds of the City which includes the General Fund; however, the Golf Course Special Revenue Fund is expected to repay the portion of the lease related to the refunding of the 2003B Certificates of Participation. Principal and interest payments are payable semi-annually on February 1 and August 1 through 2025. The amount outstanding as of June 30, 2021 was $6,143,935 in governmental activities.

Loans from the Successor Agency

The former Redevelopment Agency made a loan in the amount of $3,469,049 in May 2011 to the Roseville Community Development Corporation, a component unit of the City. The Agency had entered into the agreement with the Corporation under which the Agency agreed to provide funding to the Corporation in the form of a start-up loan not to exceed five million dollars ($5,000,000). The loan is a 20-year loan deferred for 10 years with accrued interest and principal due beginning January 1, 2021. A State Supreme Court decision on August 11, 2011 suspended all redevelopment activity effective June 28, 2011. However, the Successor Agency of the Redevelopment Agen cy continued to make disbursements related to the loan agreement after that date, because it had been approved by t he Redevelopment Agency Board prior to the Court decision.

Under the provisions of Health and Safety Code Section 34171(d)(2), agreements between the City or any of its component units and the former Redevelopment Agency that were executed after December 31, 2010 are no longer enforceable obligations and Health and Safety Code Section 34167.5 requires that if the City or component unit is not contractually committed to a third party for the expenditure or encumbrance of those funds that they be returned to the Successor Agency.

The City continues to contend that the loan agreement was lawfully entered into at the time of its execution and therefore transactions executed with the Corporati on prior to the dissolution of the redevelopment agency were not reversed in the current fiscal year and remain in the Corporation as of June 30, 2021.

Upon dissolution of the redevelopment agency, the note was transferred to the Successor Agency. The note accrues interest at a rate equal to the City's averag e interest earnings plus 1 percent, adjusted every five years. Principal and interest pay ments commence on June 30, 2021 and will be due annually with the final payment scheduled on June 30, 2030. As of June 30, 2021, the note bears interest of 2.288 percent with interest accrued of $683,003. The principal amount outstanding as of June 30, 2021 was $3,469,049.

2012 Electric System Revenue Refunding Certificates of Participation

On November 7, 2012, the City entered into a direct placement agreement with U.S. Bank for the purchase of the 2012 bonds. The COPSs were issued to refund and retire the outstanding balance of the 2008A Electric System Revenue COPs. As of June 30, 2021, the City’s outstanding debt from direct borrowing of $54,000,000 are subject to special redemption prior to thei r respective stated date of maturity by the City upon written notice. There is no provision for early redemption by U.S. Bank (Purchaser).

The bonds are secured by a pledge of the net revenue of the Electric Department. The revenue may not be used for any other purpose while any of the bonds remain outstanding.

75 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 9: Long-Term Debt (Continued)

The continuing covenant agreement for the bonds includes a provision that in an event of default, the repayment of the outstanding principal plus any accrued interest becomes immediately due. The City is responsible for cost increases caused by the adoption of a law or rule applicable to the bonds, changes in the taxes or tax basis of the Purchaser or Credit Protection Provider.

The terms of this agreement were renewed on April 20, 2016 and expired on November 1, 2019. The City originally entered into a 27-year interest rate swap agreement for the entire amount of the 2008A COPs, and the interest rate swap agreement remains outstanding after the refunding, but the notional amount of the swap is based on the notional amount of the 2008A COPs. The combination of the variable rate COPs and a floating rate swap creates synthetic fixed-rate debt for the City. The synthetic fixed rate for the COPs was

4.191 percent for the year ended June 30, 2020. On November 1, 2019, the 2012 Electric COPs were paid down by $36,000,000 leaving a balance of $54,000,000. In addition, the Bank of America Merrill Lynch swap was terminated as of this date. As a result, the City paid $7,176,500 to terminate the interest rate swap agreement. The U.S. Bank direct placement was renewed with new interest rate terms of 80% of one-month LIBOR plus 60 basis points with direct placement expiring May 1, 2023. The COPs are subject to mandatory prepayment annually beginning February 1, 2023 th rough 2035. The balance outstanding as of June 30, 2021 is $54,000,000.

The continuing covenant agreement for the bonds includes a provision that in an event of default, the repayment of the outstanding principal plus any accrued interest becomes immediately due.

2020 State Revolving Fund Loan

In June 2020, the City entered into a loan agreement with the State Water Resources Control Board to secure funding for the Pleasant Gr ove Wastewater Treatment Plant Expansion and Energy Recovery Project in the form of a loan from the Clean Water State Revolving Fund. The loan is approved for up to $108,021,755, bears interest at the rate of 1.30%, and is payable in 30 annual payments beginning on June 10, 2023. Total funds drawn on the loan at June 30, 2021 was $4,344,362.

c. Certificates of Participation

2015 316 Vernon Street Project Certificates of Participation

On July 14, 2015, the Rose ville Finance Authority iss ued the Certificates of Pa rticipation, Series 2015 (316 Vernon Street Project), in the principal amount of $14,425,000 to fund a portion of the acquisition and construction of an office building located at 316 Vernon Street. The Lease bears interest at 2.00 percent to

5.25 percent and are due semi-annually at February 1 and August 1 of each year. The Lease is repayable from any source of legally available funds of the City, including (but not limited to) amounts held by the City in its General Fund according to the Lease Agreement in the official statement. Principal payments are due annually on August 1 through 2045. The amount out standing as of June 30, 2021 is $13,165,000.

2004 Electric System Revenue Certificates of Participation

On July 1, 2004, the City issued $39,940,000 of Certificates of Participation to finance capital improvements to the City’s Electric System. The COPs are repayable from net revenue of the Electric Utility System. The COPs bear interest at 3.00 percent to 5.25 per cent and are due semi-annual ly on February 1 and

76 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 9: Long-Term Debt (Continued)

August 1 of each year beginning February 1, 2005. Principal payments are due annually on February 1 through February 2034. The COPs were partially refunded by the 2013 Electric System Revenue Refunding Bonds as discussed below. In August 2014, the 2004 Electric System Revenue Certificates of Participation were partially refunded by the 2014 Electric System Revenue Refunding Bonds l eaving a par amount of $5,000.

2015 Water Utility Revenue Refunding Certificates of Participation

On August 20, 2015, the Roseville Finance Authority issued the Water Revenue Certificates of Participation, Series 2015, in the principal amount of $42,565,000 to refund the 2007 Water Utility Certificates of Participation. The Bonds bear inte rest at 2.00 percent to 5.00 percent and are due semi-annually on December 1 and June 1 of each year. The Bonds are repayable by a pledge of net revenue from the Water Utility System. Principal payments are due annually on December 1 through 2030.

As of June 30, 2021, the total principal and interest remaining to be paid on the bonds was $33,550,700. As disclosed in the official statement, all net revenues of the Water Utility System are expected to provide coverage over debt service of 120 percent over the life of the Bonds. For fi scal year 2021, net revenues amounted to $31,850,248 which represented coverage of 773 percent over the $4,122,845 in debt service.

The balance outstanding as of June 30, 2021 is $27,640,000.

d. Revenue Bonds

2007 Roseville Natural Gas Financing Authority Gas Revenue Bonds

On January 24, 2007, the Authority issued $209,350,000 of Gas Revenue Bonds, Series 2007 (the Bonds), to finance a lump sum prepayment to a Gas Supplier (See Note 20A) in order to acquire a supply of natural gas to be delivered over a period of twenty-years. The gas purchased by the Authority will be sold to the City pursuant to a Natural Gas Supply Agreement (See Note 20C) to produce revenues to be used for debt service on the Bonds.

Principal payments are due annually on February 15 through 2028 and interest is payable semiannually on February 15 and August 15. The balance outstanding as of June 30, 2021 is $97,290,000. As of June 30, 2021, the total principal and interest to be paid on the bonds was $117,708,500. For fiscal year 2021, net revenues amounted to $22,411,836, which repr esented coverage of 135 percent over the $16,614,602 in debt service.

2013 Electric System Revenue Refunding Bonds

On November 14, 2013, the Roseville Finance Authority issued the Electric System Revenue Refunding Bonds, Series 2013, in the principal amount of $48,780,000 to refund a portion of each of the 2004 Electric System Revenue and 2005 Electric System Revenue, Series A, Certificat es of Participation. The Bonds bear interest at 2.00 percent to 5.00 percent and are due semi-annually on February 1 and August 1 of each year. The Bonds are repayable by a pledge of net rev enue from the Electric System. Principal payments are due annually on February 1 through 2029. In September 2020, the City issued the 2020 Taxable Electric System Revenue Refunding Bonds, which refunded a portion of the 2013 bonds, which are further described below. The balance outstanding as of June 30, 2021 was $6,290,000.

2014 Electric System Revenue Refunding Bonds

On July 24, 2014, the Roseville Finance Authority issued Electric System Revenue Refunding Bonds, Series 2014, in the amount of $16,485,000 to refund the 2004 Electric System Revenue Certificates of Participation.

The Bonds bear interest of 5 percent. Principal payments are due annually on February 1 beginning in 2030.

Interest payments are due semi-annually on ea ch August 1 and February 1, commencing on February 1, 2015 through February 1, 2034. In September 2020, the City issued the 2020 Taxable Electric 77 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 9: Long-Term Debt (Continued)

System Revenue Refunding Bonds, which refunded a portion of the 2014 bonds, which are further described below.

The balance outstanding as of June 30, 2021 was zero.

2017A Electric System Revenue Refunding Bonds

On February 8, 2017, the City issued Revenue Bonds in the original principal amount of $56,210,000. The Bonds were issued to refund a portion of the 2009 El ectric System Revenue Re funding Certificates of Participation and the 2010 Electric System Revenue Refunding Bonds. The Revenue Bonds bear interest at 3.00 percent to 5.00 percent and are due semi-annually on February 1 and August 1 of each year.

Principal payments are due annually on February 1 through 2037. The balance outstanding as of June 30, 2021 is $56,210,000.

2017B Taxable Electric System Revenue Refunding Bonds

On February 8, 2017, the City issued Taxable Revenue Bonds in the original principal amount of $6,265,000.

The Bonds were issued to refund a portion of the 2009 Electric System Revenue Refunding Certificates of Participation and the 2010 Electric System Revenue Refunding Bonds. The Revenue Bonds bear interest at

1.03 percent to 2.41 percent and are due semi-annually on February 1 and August 1 of each year. Principal payments are due annually on February 1 through 2022. The balance outstanding as of June 30, 2021 is $2,525,000.

2020 Taxable Electric System Revenue Refunding Bonds

On September 2020, the City issued Taxable Rev enue Bonds in the original principal amount of $34,770,000. The Bonds were issued to refund a portion of the 2013 and 2014 Electric System Revenue Refunding Bonds. The Revenue Bonds bear interest at 0.389 percent to 2.081 percent and are due semi-annually on February 1 and August 1 of each year. Principal payments are due annually on February 1 through 2034. The balance outstanding as of June 30, 2021 is $34,450,000.

Electric Bonds Net Revenue Summary

As of June 30, 2021, the total principal and interest remaining to be paid on the 2004 Electric System Revenue COPs, 2012 Electric Syst em Revenue Refunding COPs, the 2013 Electric System Revenue Refunding Bonds, the 2014 Electric System Revenue Refunding bonds, the 2017A Electric System Revenue Refunding bonds and the 2017B Electric System Revenue Refunding bonds was $207,774,169.

As disclosed in the official statement s, all net revenues of the Electric System are expected to provide coverage over debt service of 110% over the lives of the Bonds. For fiscal year 2021, net revenues amount to $69,159,018 which represents coverage of 504% over the $13,712,507 in debt service.

e. Interest Rate Swap Agreements

The City entered into interest rate swap agreem ents in connection with t he 2008 Electric Revenue Certificates of Partici pation (COPs), Series A. Additionally, t he South Placer Wastewater Authority (Authority), in which the City has a 64.57 interest, entered into an interest rate swap agreement in connection with the 2008 Refunding Wastewater Revenue Bonds, Se ries B. The Authority amended the swap with the issuance of the 2017 Bonds, in cluding reducing the notional amount of the swap by $29.12 million.

These transactions allow the City to create synthetic fixed rates on the COPs and Revenue Bonds, protecting it against increases in short-term interest rates. The terms, fair value and credit risk of the swap agreements are disclosed below.
78 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 9: Long-Term Debt (Continued)

The Bank of America Merrill Lynch swap related to Electric System Reve nue COP was terminated on November 1, 2019, and the Authority’s swap was terminated in April 2020.

Terms. The terms, including the counterparty credit ratings of the outstanding swaps, as of June 30, 2021, are included below. The swap agreements contain scheduled reductions to the outstanding notional amount that are expected to follow scheduled reductions in the associated bond issues.

Related Bond Issue
Notional
Amount Effective Date Counterparty
Credit
Rating
(A)
Fixed Rate
Paid
Variable Rate
Received
Termination
Date
2012 Electric System Morgan Stanley 80% of 1m
Revenue Refunding COP 54,000,000$ 5/13/2008 Capital Services, Inc. A+ 3.321% LIBOR plus 60 5/1/2023 54,000,000$ basis points
(A)
Credit rating by Standard & Poor's Agency.

Based on the swap agreement, the City owes interest calc ulated at a fixed rate to the counterparty of the swap. In return, the counterparty owes the City inte rest based on the variable ra te that approximates the rate required by the associated COPs. Debt principal is not exchanged; it is only the basis on which the swap receipts and payments are calculated.

Fair value. Fair value of the swaps takes into considerat ion the prevailing interest rate environment, the specific terms and conditions of each transaction and any upfront payments that may have been received.

Hedging derivative instruments are classified as Level 2 and are valued using a discounted cash flow technique, which calculates the future net settlement payments, assuming that current forward rates implied by the yield curve correctly anticipate future spot in terest rates (LIBOR or SIFMA). The payments are then discounted using the spot rates (LIBOR or SIFMA) imp lied by the current yield curve for hypothetical zero- coupon bonds due on the date of each future net settlement on the swap. As of J une 30, 2021, the fair value of the swap was not in favor of the City as follows:

2021 2020
(10,219,188)$ (13,691,174)$
Fair Value
2012 Electric System Revenue Refunding COP (based on notational amount of 2008 Electric System Revenue COP, Series A)
Related Bond Issue
Morgan Stanley Capital Services Inc.

Credit Risk. Since the fair values of the swap is negative, the City is not currently exposed to credit risk. The fair value may increase if interest rates increase in the future. Should interest rates increase to the point where the fair values become positive, the City w ould be exposed to credit risk on the outstanding swaps.

The City will be exposed to interest rate risk only if a c ounterparty to a swap defaults or if the swap is terminated.

Basis Risk. Basis risk is the risk that the interest rate paid by the City on the underlying variable rate bonds to the bondholders temporarily differs from the variable swap rates received from the applicable counterparty. The City bears basis risk on the swaps. The swaps have basis risk since the City receives a percentage of the LIBOR Index to offset the actual variable bond rates the City pays on the underlying COPs and Bonds. The City is exposed to basis risk should the floating rate that it receives on a swap be less than the actual variable rate the City pays on the bonds. Depending on the magnitude and duration of any basis risk shortfall, the expected cost of the basis risk may vary.

Termination Risk. The City may terminate if the other party fails to perform under the terms of the contract.

The City will be exposed to variable rates if the counte rparty to the swap contract defaults or if the swap contract is terminated. A termination of the swap contract may also result in the City’s making or receiving a termination payment based on market interest rates at the time of the terminat ion. If at the time of 79 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 9: Long-Term Debt (Continued)

termination, the swap has a negative fair value, the City would be liable to the c ounterparty for a payment equal to the swap’s fair value.

Rollover Risk. Rollover risk is the risk that the swap associated with a debt issue matures or may be terminated prior to the maturity of the associated deb t. When the swap terminates or a termination option is exercised by the counterparty, the City will be re-exposed to the risks being hedged by the swap. The would be exposed to rollover risk if the swap terminates before the maturity date.

Swap payments and associated debt . Using rates as of June 30, 2021, debt service requirements of the City’s outstanding swap-related variable-rate and fixed rate debt and net swap payments are as follows. As rates vary, variable-rate bond interest payments and net swap payments will vary. These payments below are included in the Debt Service Requirements at June 30, 2021:

Principal Interest
Interest rate
Swaps, Net Total
-$ 394,092$ 1,731,571$ 2,125,663$ 2,925,000 385,198 1,692,491 5,002,689 3,420,000 362,346 1,592,084 5,374,430 3,555,000 336,976 6,199,346 10,091,322 19,950,000 1,268,520 2,817,251 24,035,771 24,150,000 468,769 97,361 24,716,130 Totals 54,000,000$ 3,215,901$ 14,130,104$ 71,346,005$ 2025
2026-2030
2031-2035
2023
Variable-Rate Bonds
Year Ending June 30,
2022
2024

f. Debt Service Requirements

Debt service requirements are shown below for the remaining long-term debt:

Principal Interest Principal Interest Principal Interest 290,000$ 596,588$ 1,365,945$ 204,125$ 1,655,949$ 800,713$ 305,000 581,713 1,742,128 174,600 2,047,128 756,313 320,000 566,088 1,770,577 133,964 2,090,577 700,052 335,000 549,713 1,313,822 100,420 1,648,822 650,133 1,955,000 2,471,813 2,726,699 66,226 1,694,080 2,538,039 2,445,000 1,967,456 693,813 134,932 3,432,620 2,102,388 2,980,000 1,421,306 - 4,630 2,896,905 1,425,936 3,685,000 687,694 - - 3,100,000 687,694 850,000 21,250 - - 3,865,000 21,250 Totals 13,165,000 8,863,621$ 9,612,984 818,897$ 22,777,984 9,682,518$ Reconciliation of long-term debt
Add deferred bond premium 695,206 - 695,206 Net long-term debt 13,860,206$ 9,612,984$ 23,473,190$ 2023
Year Ending June 30
Gov ernmental Activ ities
Private Placement Lease and Loans Total
2022
2024
2025
2026
2027-2031
2042-2046
2032-2036
2037-2041

80 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 9: Long-Term Debt (Continued)

Principal Interest Principal Interest Principal Interest 23,500,000$ 9,448,991$ -$ 367,416$ 23,500,000$ 9,816,407$ 19,775,000 8,364,509 3,044,332 415,601 22,819,332 8,780,110 20,530,000 7,417,611 3,540,884 392,744 24,070,884 7,810,355 21,475,000 6,413,967 3,677,455 367,520 25,152,455 6,781,487 22,385,000 5,465,651 3,814,047 341,357 26,199,047 5,807,008 66,100,000 14,169,386 21,374,846 1,278,901 87,474,846 15,448,287 35,165,000 7,713,588 20,367,865 476,572 55,532,865 8,190,160 15,480,000 619,200 733,755 145,289 16,213,755 764,489 - - 782,705 96,339 782,705 96,339 - - 834,921 44,122 834,921 44,122 - - 173,552 2,256 173,552 2,256 Totals 224,410,000 59,612,903$ 58,344,362 3,928,117$ 282,754,362 63,541,020$ Reconciliation of long-term debt
Add deferred bond premium 13,438,605 - 13,438,605 Net long-term debt 237,848,605$ 58,344,362$ 296,192,967$ Total
2022
2024
2025
2026
Year Ending June 30
Business-Type Activities
Private Placement & Loans
2027-2031
2032-
2036
2042-2046
2047-2051
2052-2056
2037-2041
2023

g. Special Assessment Districts

Special Assessment Districts, including Mello Roos Dist ricts, in various parts of the City have issued debt to finance infrastructure improvements and facilities within their boundaries. The City is the collecting and paying agent for the debt issued by these Districts but has no direct or contingent liability or moral obligation for the payment of this debt. Ther efore, this debt is not recorded as long-term debt of the City. The outstanding balance of each of these issues as of June 30, 2021, is as follows:

Maturity Outstanding
9/1/2036 42,480,000$
9/1/2047 23,670,000
9/1/2027 12,114,000
9/1/2027 2,731,000
9/1/2033 13,020,500
9/1/2031 9,940,000
9/1/2031 7,760,000
9/1/2030 1,115,000
9/1/2038 9,815,000
9/1/2021 790,000
9/1/2036 6,335,000
9/1/2044 13,925,000
9/1/2030 9,840,000
9/1/2023 4,125,000
9/1/2039 62,345,000
9/1/2046 20,995,000
9/1/2028 4,285,000
9/1/2036 4,205,000
8/5/2037 32,159,000
9/1/2048 11,540,000
9/1/2049 13,965,000
9/1/2037 4,865,000
9/1/2049 11,125,000
9/1/2049 16,630,000
9/1/2049 7,745,000
9/1/2049 9,835,000
9/1/2050 10,905,000
9/1/2050 20,875,000
9/1/2049 29,305,000
9/1/2049 8,130,000
Total $ 426,569,500
Stone Point Community Facilites District No. 1, Series 2017 Stone Point Community Facilities District No. 5, Series 2017 Placer Valley Sports Complex and Tourism Marketing District, Series 2017 Stoneridge West Community Facilities District No. 1, Series 2007 Westbrook Community Facilities District No. 1, Series 2014 Longmeadow Parkside Community Facilities District No. 1, Series 2013 Northeast Community Facilities District No. 2, Series 2012 Fountains Community Facilities District No. 1, Series 2016 Stoneridge Parcel 1 Community Facilities District No. 1, Series 2007 Roseville Fiddyment Ranch Community Facilities District No. 1, Series 2017 SVSP Westpark-Federico Community Facilities District No. 1, Series 2019 Roseville Fiddyment Ranch Community Facilities District No. 5, Series 2019 Villages at Sierra Vista Community Facilities District No. 1, Series 2019 Diamond Creek Community Facilities District No. 1, Series 2019 Westbrook Community Facilities District No. 1, Series 2019 Westbrook Community Facilities District No. 1, Series 2018 Westpark Community Facilities District No. 1, Series 2015 North Roseville Community Facilities District No. 1 Refunding Bonds, Series 2015 Woodcreek West Community Facilities District No. 1 Refunding Bonds, Series 2015 Stoneridge East Community Facilities District No. 1, Series 2007 Crocker Ranch Community Facilities District No. 1, Series 2007 Woodcreek East Community Facilities District No. 1, Series 2006 Highland Reserve North Community Facilities District No. 1, Series 2006 Roseville Fiddyment Ranch Community Facilities District No. 5, Series 2017 HP Campus Oaks Community Facilities District No. 1, Series 2016 SVSP Westpark-Federico Community Facilities District No. 1, Series 2021 Villages at Sierra Vista Community Facilities District No. 1, Series 2020 Creekview Community Facilities District No.1, Series 2020 Ranch at Sierra Vista Community Facilities District No. 1, Series 2020 Roseville Fiddyment Ranch Community Facilities District No. 5, Series 2021

81 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 10: Derivative Instruments

a. Summary of Notional Amounts and Fair Values

The City enters into contracts to hedge its price exposures to power and natural gas, and to procure energy supplies. These contracts are evaluated pursuant to GASB Statem ent No. 53, Accounting and Financial Reporting for Derivative Instruments , to determine whether they meet the definition of derivative instruments, and, if so, whether they effectively hedge the expected cash flows associated with interest rate and energy exposures.

The City applies hedge accounting for derivativ es that are deemed effective hedges . Under hedge accounting, the increase (decrease) in the fair value of a hedge is reported as a deferred inflow or outflow of resources on the statement of net position. For the reporting perio d, all of the City’s derivatives are considered effective hedges.

For energy derivatives, fair values are estimated by comparing contract prices to forward market prices quoted by third party market participants or pr ovided in relevant industry publications.

The following is a summary of the fair values and notional amounts of derivative instruments outstanding as of June 30, 2021.

Classification Amount Classification Amount Notational Level Effective Cash Flow Hedges
Electric Fund
Pay Fixed SWAP, Natural Gas Deferred Outflow (3,471,986)$ Derivative (10,219,188)$ 342,000 MWh 2 (10,219,188)$
Roseville Narual Gas Financing Authority
Pay Fixed SWAP, Natural Gas Deferred Inflow 45,090,068$ Derivative 10,870,353$ 34,513,500 mmBtu 2 Receive Fixed SWAP, Natural Gas Deferred Outflow (10,370,746) Derivative 69,607,471 76,000-372,000
monthly mmBtu 2
80,477,824$
Fair Value, End of Fiscal Year 20212021 Change in Fair Value

b. Objective and Terms of Hedging Derivative Instruments

The objectives and terms of the City’s hedging derivativ e instruments that were outstanding at June 30, 2021, are summarized in the next table. The table is aggregated by the credit ratings of the City’s counterparties. For counterparties having multiple ra tings, the rating indicating the greatest degree of risk is used.

Objectives and terms of the City’s hedging derivative instruments that were outstanding at June 30, 2021 are summarized in the table below:

Notational Amount Effective Date Maturity Date Terms Counterparty Rating Forward Contracts, Gas:

Hedge Cash Flows on PG&E citygate Gas 615,000 mmBtu 7/1/2020 8/31/2021 Pay $4.10; Receive NGI PG&E citygate price BP Energy A2 Hedge Cash Flows on PG&E citygate Gas 1,372,500 mmBtu 8/1/2021 6/30/2022 Pay $3.54; Receive NGI PG&E citygate price EDF Trading Nort h America Baa2 Hedge Cash Flows on PG&E citygate Gas 2,282,500 mmBtu 8/1/2021 3/31/2022 Pay $3.24; Receive NGI PG&E citygate price J Aron & Company A2 Hedge Cash Flows on PG&E citygate Gas 4,040,000 mmBtu 8/1/2021 6/30/2022 Pay $3.14; Receive NGI PG&E citygate price Macquarie Energy A2 Forward Contracts, Power:

Hedge Cash Flows on NP15 Power 100,425 MWh 7/1/2021 12/31/2021 Average Cost/Unit at $4.00 Conoco Phillips A3 Hedge Cash Flows on NP15 Power 92,000 MWh 7/1/2021 3/31/2022 Average Cost/Unit at $4.00 EDF Trading North America Baa2 Hedge Cash Flows on NP15 Power 64,600 MWh 9/1/2021 6/30/2023 Average Cost/Unit at $3.00 Exelon Generation Baa2 Hedge Cash Flows on NP15 Power 30,800 MWh 7/1/2022 9/30/2022 Average Cost/Unit at $5.00 J Aron A2 Hedge Cash Flows on NP15 Power 122,800 MWh 1/1/2022 12/31/2022 Average Cost/Unit at $3.00 Macquarie Energy A2 Commodity Swaps, Gas:

Prepayment 20-year supply of Natural Gas 20,426,500 mmBtu 1/1/2008 12/31/2027 Pay index minus 0.68; Receive NGI Merryll Lynch Aa3 1/24/2007 1/24/2028 JPMorgan Chase Bank, NA Aa2
Hedge on Cash Flows on prepayment of
20-year supply of Natural Gas
Type and Objective
From 75,000 to
372,000 mmBtu per
month
Pay NGI PG&E citygate price; Receive
&7.7224 per mmBtu
82 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 10: Derivative Instruments (Continued)

c. Risks of Derivative Instruments

Credit risk – Credit risk is the risk of loss due to a counterparty defaulting on its obligations. The City seeks to minimize credit risk by transacting with creditworthy counterparties. Interest rate swap counterparties are evaluated at the time of transaction execution. The procedure prohibits the City from executing energy hedge transactions with counterparties rated lower than BBB by Standard & Poor’s or Fitch rating services, or Baa2 by Moody’s. Subsequent to entering into transactions, the credit ratings of one or more counterparties may deteriorate. If so, the City’s credit risk management policies increase the amount of collateral that the counterparty must post with the City when the counter party owes the City, thereby reducing credit risk associated with the decline in the counterparty’s credit worthiness.

Termination risk – Termination risk is the risk that a derivativ e will terminate prior to its scheduled maturity due to a contractual event. Contractual events include bankruptcy, illegality, default, and mergers in which the successor entity does not meet credit criteria. One aspect of termination risk is that the City would lose the hedging benefit of a derivative th at becomes subject to a termination event. Another aspect of termination risk is that, if at the time of termination, the mark-to-market value of the derivative was a liability to the City, the City could be required to pay that amount to the counterparty. Termination risk is associated with all of the City’s derivatives up to the fair value amounts.

Note 11: Net Position and Fund Balances

a. Fund Balance and Net Position Deficits

The City reported the following deficit net position and fund balances:

The School-Age Child Care Fund had a deficit net position of at June 30, 2021 of $14,547,099. The City is evaluating the operations of this fund to ensure that service rates are sufficient to cover operations.

The Golf Fund had a deficit fund balance as of J une 30, 2021 of $3,161,119. The City is expecting to eliminate this deficit with future program revenues and transfers from the general fund.

The Roseville Finance Authority debt service fund had a deficit fund balance as of June 30, 2021 of $51,470.

The City is expecting to eliminate this deficit with future transfers from other funds.

The Information Technology Fund had deficit net posit ion at June 30, 2021 of $4,383,007. The City is expecting to eliminate this deficit th rough future internal service rates. 83 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 11: Net Position and Fund Balances (Continued)

b. Classifications

Detailed classifications of the City’s Fund Balances, as of June 30, 2021, are below:

Capital Projects
Fund
General Fund
Community Facilities
District
Non-Major
Governmental Funds Total
Items not in spendable form:

Prepaids 93,663 $ - $ 15,690$ 109,353 $ Notes receivable 11,356,595 - - 11,356,595 Advances 5,461,850 - - 5,461,850 Inventories 228,590 - - 228,590 Subtotal 17,140,698 - 15,690 17,156,388 Amounts required to be maintainded intact:

Permanent funds - - 17,271,714 17,271,714 Total nonspendable fund balances 17,140,698 - 17,287,404 34,428,102 Restriced for:

Community facilities districts - 20,313,927 - 20,313,927 Landscape and lightening - - 14,725,659 14,725,659 Street projects - - 15,476,642 15,476,642 Affordable housing - - 14,349,469 14,349,469 Technology replacement - - 2,228,091 2,228,091 Local access television - - 1,959,737 1,959,737 Public safety services and projects - - 1,106,496 1,106,496 Open space maintenace - - 917,650 917,650 Traffic projects - - 33,779,898 33,779,898 Federal grant programs - - 7,545,620 7,545,620 Wildlife preservation - - 1,296,057 1,296,057 Community development - - 1,467,780 1,467,780 Tree propogation - - 2,090,959 2,090,959 Aquatics complex maintenance - - 572,702 572,702 Other capital projects - - 78,607,082 78,607,082 Total restricted fund balances - 20,313,927 176,123,842 196,437,769 Committed to:

Emergency reserve 15,806,405 - - 15,806,405 Economic Stabilization Reserve 16,139,971 - - 16,139,971 Total committed fund balances 31,946,376 - - 31,946,376 Assigned to:

Annual parks and recreation facility maintenance 806,214 - - 806,214 Police operations and supplies 265,680 - - 265,680 Fire operations and supplies 111,138 - - 111,138 Development services 54,407 - - 54,407 Public works projects 152,683 - - 152,683 Housing projects 226,724 - - 226,724 Various contracts 34,180 - - 34,180 Building and general rehabilitation projects - - 9,249,174 9,249,174 Total assigned fund balances 1,651,026 - 9,249,174 10,900,200 Unassigned:

General Fund 67,910,699 - - 67,910,699 Other governmental fund deficit residuals - - (3,212,589) (3,212,589) Total unassigned fund balances 67,910,699 - (3,212,589) 64,698,110 Tot
al fund balances 118,648,799$ 20,313,927$ 199,447,831$ 338,410,557$ Fund Balance Classification
Nonspendable:
84 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 11: Net Position and Fund Balances (Continued)

c. Emergency Reserve

The city maintains an Emergency Reserve Committed Fund Balance that is set at a minimum of 10% of budgeted General Fund operating expenditures. Appropriations from the Emergency Reserve may only be made by a vote of the City Council to meet a critical, unpredictable financial need such as a declared emergency.

d. Stabilization Reserve

The City also maintains a Stabilization Reserve reported as part of the committed fund balance. The stabilization reserve is equal to 15% of budgeted General Fund operating expenditures as the target reserve level.

Appropriations may only be made by a vote of the City Council in the event of temporary revenue shortfalls caused by an economic downturn.

Note 12: Pension Plans

Plan Descriptions – Substantially all full-time City employees are eligible to participate in the City’s separate Safety (police and fire) and Miscellaneous (all other) Plans, agent-multiple employer defined benefit pension plans administered by the California Public Employees Retirement System (CalPERS), which acts as a common investment and administrative agent for its participating member employers. Benefit provisions under the Plans are established by State statute and may be amended by City resolution. CalPERS issues publicly available reports that include a full descripti on of the pension plans regarding benefit provisions, assumptions and membership information t hat can be found on the CalPERS website.

Benefits Provided – CalPERS provides 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 non-duty 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 th e Public Employees’ Retirement Law. 85 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 12: Pension Plans (Continued)

The Plans’ provisions and benefits in effect at the measurement date, are summarized as follows:

Prior to January 1, 2013 After January 1, 2013
Benefit vesting schedule 5 years service 5 years service Benefit payments monthly for life monthly for life
Retirement age 50 - 55 50 - 54
Monthly benefits, as a % of annual salary 3.000% 2.000% - 2.700% Required employee contribution rates 9.000% 12.250% (Police) & 13.250% (Fire) Required normal employer contribution rates 24.061% 24.537% (Police) & 26.504% (Fire) Required employer payment of unfunded liability $6,862,594 $ - Prior to January 1, 2013 After January 1, 2013
Benefit vesting schedule 5 years service 5 years service Benefit payments monthly for life monthly for life
Retirement age 50 - 55 52 - 67
Monthly benefits, as a % of annual salary 2.0% - 2.7% 1.0% - 2.5% Required employee contribution rates 8.000% 6.250%
Required normal employer contribution rates 10.847% 12.500% Required employer payment of unfunded liability $15,938,108 $ - Hire date
Miscellaneous
Hire date
Safety

Employees Covered – As of the measurement date, the following employees were covered by the benefit terms for each Plan:

Miscellaneous Safety
Inactive employees or beneficiaries currently receiving benefits 756 213 Inactive employees entitled to but not yet receiving benefits 746 76 Active employees 1015 220
Total 2517 509

Contributions – Section 20814(c) of the California Public Employees’ Retirement law requires that the employer contribution rates for all public employer s are determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in rate. Funding contributions for both Plans are determined annually on an actuarial basis as of June 30 by CalPERS. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. For the year ended June 30, 2021, the employer contributions recognized as a reduction to the net pension liability for the Miscellaneous Rate Plan and Safety Rate Plan were $23,130,931 and $15,077,558, respectively. 86 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 12: Pension Plans (Continued)

Net Pension Liability

The City’s net pension liability for each Plan is measured as the total pension liability, less the pension plan’s fiduciary net position. The net pension liability of each of the Plans is measured as of June 30, 2020, using an annual actuarial valuation as of June 30, 2019 rolled forward to June 30, 2020. The net pension liability and related deferred outflows/inflows of resources are liquidated by the fund that has recorded the liability.

The long-term portion of governmental activities net pens ion liability is liquidated primarily by the General Fund. A summary of principal assumptions and met hods used to determine the net pension liability are described below and in the following pages.

Actuarial Assumptions – The total pension liabilities in the June 30, 2019 actuarial valuations were determined using the following actuarial assumptions:

Valuation Date June 30, 2019
Measurement Date June 30, 2020
Actuarial Cost Method Entry Age Normal Cost Method
Discount Rate 7.15%
Inflation 2.50%
Payroll Growth 3.00%
Projected Salary Increase 3.3% - 14.2% (1)
Inv estment Rate of Return 7.15% (2)
Mortality (3) Derived using CalPERS’ Membership Data for all funds
(1) Depending on age, service and type of employment
Actuarial Assumptions
(2) Net of Pension Plan Investment and Administrative Expenses; includes inflation (3) The mortality table used was developed based on CalPERS-specific data. The probabilities of mortality are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015. Pre-retirement and Post-retirement mortality rates include 15 years of projected mortality improvement using 90% of Scale MP-2016 published by the Society of Actuaries. For more details on this table, please refer to the CalPERS Experience Study and Review of Actuarial Assumptions report from December 2017 that can be found on the CalPERS website.

The long-term expected rate of return on pension plan investments was determined using a building block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense an inflation) are developed for each major asset class. In determining the long-term expected rate of return on pension plan investments, CalPERS took into account both short and long-term market return expectations as well as the expected pension fund cash flows. Such cash flows were developed assuming that both members and employers will make their required contributions on time and as scheduled in all future years. Using historical returns of all the funds’ asset classes, expected compound (geometric) re turns were calculated over the short-term (first 10 years) and the long-term (11+ years) using a building-block approach. Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the single equivalent expected return t hat arrived at the same present value of benefits for cash flows as the one calculated using both short-term and long-term returns. The expected rate of return was then set equivalent to the single equivalent rate calculated above and rounded down to the nearest one quarter of one percent.
87 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 12: Pension Plans (Continued)

The table below reflects long-term expected real rate of return by asset class. The rate of return was calculated using the capital market assumptions applied to determine the discount rate and asset allocation.

These geometric rates of return ar e net of administrative expenses.

Asset Class 1
Assume d Asse t
Allocation
Real Return
Years 1 - 10 2
Real Return
Years 11+ 3
Global Equity 50.0% 4.80% 5.98%
Fixed Income 28.0 1.00 2.62
Inflation Assets - 0.77 1.81
Private Equity 8.0 6.30 7.23
Real Estate 13.0 3.75 4.93
Liquidity 1.0 - (0.92)
2 An expected inflation of 2.0% used for this period
3 An expected inflation of 2.92% used for this period
1 In the Basic Financial Statement, Fixed Income is included in Global Debt Securities; Liquidity is included in Short-Term Investment; Inflation Assets are included in both Global Equity Securities and Global Debt Securities.

Discount rate – The discount rate used to measure the total pension liability was 7.15 percent for each plan.

The projection of cash flows used to determine the discount rate assumed that employee contributions will be made at the current contribution rate and that the district’s contributions will be made at rates equal to the difference between actuarially det ermined contributions rates and the employee rate. Based on those assumptions, each pension plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current active and inactive employees. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability.

Subsequent Events- Discount Rate – On November 15, 2021, the CalPERS Board of Administration selected a new asset allocation mix that will guide the fund’s investment portfolio for the next for years, while at the same time retaining the current target rate of return. The Board also approved adding 5 percent leverage to increase investment diversification. The new asset allocation takes effect July 1, 2022. 88 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 12: Pension Plans (Continued)

Changes in the Net Pension Liability

The changes in the net pension liability for each Plan as of the measurement date of June 30, 2020 follows:

Miscellaneous Plan:

Total Pension
Liability (a)
Plan Fiduciary
Net Position (b)
Net Pension
Liability
(a) - (b) = (c)
Balances as of June 30, 2019 (Measurement Date) 708,947,152$ 461,423,549$ 247,523,603$ Changes for the year:

Service cost 14,943,938 - 14,943,938 Interest on total pension liability 50,429,001 - 50,429,001 Differences between expected and actual experience 5,475,145 - 5,475,145 Contribution - employer - 24,661,517 (24,661,517) Contribution - employee - 6,469,454 (6,469,454) Net inv estment income - 23,210,947 (23,210,947) Benefit payments, including refunds of employee contributions (33,187,110) (33,187,110) - Administrative expenses - (650,494) 650,494 Net changes 37,660,974 20,504,314 17,156,660 Balances as of June 30, 2020 (Measurement Date) 746,608,126$ 481,927,863$ 264,680,263$ Safety Plan:

Total Pension
Liability (a)
Plan Fiduciary
Net Position (b)
Net Pension
Liability
(a) - (b) = (c)
Balances as of June 30, 2019 (Measurement Date) 354,908,468$ 243,587,781$ 111,320,687$ Changes for the year:

Service cost 9,042,832 - 9,042,832 Interest on total pension liability 25,312,431 - 25,312,431 Differences between expected and actual experience 2,619,056 - 2,619,056 Contribution - employer - 13,409,112 (13,409,112) Contribution - employee - 2,754,718 (2,754,718) Net inv estment income - 12,273,184 (12,273,184) Benefit payments, including refunds of employee contributions (16,057,838) (16,057,838) - Administrative expenses - (343,399) 343,399 Net changes 20,916,481 12,035,777 8,880,704 Ba
lances as of June 30, 2020 (Measurement Date) 375,824,949 255,623,558 120,201,391 Total of both miscellaneous and safety plans 1,122,433,075$ 737,551,421$ 384,881,654$ Increas e(Decreas e)
Increas e(Decreas e)

89 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 12: Pension Plans (Continued)

Sensitivity of the Net Pension Liab ility to Changes in the Discount Rate – The following presents the net pension liability of the City for each Plan, calculated usi ng the discount rate for each Plan, as well as what the City’s net pension liability would be if it were calculated using a discount rate that is 1-percentage point lower or 1 percentage point higher than the current rate:

Miscellaneous Safety Total
1% Decrease 6.15% 6.15% 6.15%
Net Pension Liability 365,827,245$ 176,379,558$ 542,206,803$ Current Discount Rate 7.15% 7.15% 7.15%
Net Pension Liability 264,680,263$ 120,201,391$ 384,881,654$ 1% Increase 8.15% 8.15% 8.15%
Net Pension Liability 181,102,502$ 74,650,239$ 255,752,741$

Pension Plan Fiduciary Net Position – Detailed information about each pension plans’ fiduciary net position is available in the separately issued CalPERS financial reports.

Pension Expense and Deferred Outflows/Inflows of Resources Related to Pensions

For the year ended June 30, 2021, the City recognized pension expense of $41,763,759 in the Miscellaneous Plan and $18,702,426 in the Safety Plan. At June 30, 2021, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Deferred Outflows Deferred Inflows
of Resources of Resources
Pension contributions subsequent to measurement date 27,226,777$ -$ Changes of assumption - 1,530,736 Difference between expected and actual experience 10,843,310 - Net difference between projected and actual earnings
on plan investments 3,491,190 -
Total 41,561,277$ 1,530,736$
Deferred Outflows Deferred Inflows
of Resources of Resources
Pension contributions subsequent to measurement date 15,061,145$ -$ Changes of assumption 5,669,182 2,597,125
Difference between expected and actual experience 4,804,191 1,350,681 Net difference between projected and actual earnings
on plan investments 2,085,200 -
Total 27,619,718 3,947,806
Total Primary Government 69,180,995$ 5,478,542$ Miscellaneous
Safety

90 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 12: Pension Plans (Continued)

The amount of $27,226,777 in the miscellaneous plan and $15,061,145 in the safety plan reported as deferred outflows of resources related to contributions subsequent to the measurement date will be recognized as a reduction of the net pension liab ility in the year ended June 30, 2022. Other amounts reported as deferred outflows of resources and deferr ed inflows of resources re lated to pensions will be recognized as pension expense as follows:

Year ended June 30: Miscellaneous Safety
Total primary
government
2022 2,368,444$ 2,606,671$ 4,975,115$ 2023 4,825,566 2,625,179 7,450,745 2024 3,683,084 1,683,839 5,366,923 2025 1,926,670 1,501,072 3,427,742 2026 - 194,006 194,006 12,803,764$ 8,610,767$ 21,414,531$ Deferred Outflows

Note 13: Other Post-Employment Benefits

Plan Description

The City provides medical benefits to substantially all retirees under the City of Roseville Retiree Healthcare Plan (Plan), a sole employer defined benefit healthcare plan administered by the Trust Investment Review Committee. The City is responsible for establishing and amending the funding policy of the Plan. The Plan financial statements can be obtained at www.roseville.ca.us or by contacting the City of Roseville Accounting Division at 311 Vernon Street, Roseville, California 95678.

Benefits Provided –The Plan provides medical, dental, and vision insurance benefits to eligible retirees and their dependents. Benefits are provided through a third-par ty insurer, and the full cost of the benefits is covered by the Plan. Benefit provisions are es tablished and may be amended by City labor agreements, which are approved by the City Council.

Employees Covered By Benefit Terms – As of measurement date, the following employees were covered by the benefit terms:

Number of
Covered
Participants
Activ e 1343
Inactive employees or beneficiaries currently receiving benefits 826 Inactive employees entitled to, but not yet receiving benefits 63 Total 2,232

Contributions – The contribution requirements of plan members and the City are established and may be amended by the City Council. The City Council estab lishes rates based on an actuarially determined rate.

For the year ended June 30, 2021, the City contributed $15,353,152 to the Plan. 91 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 13: Other Post-Employment Benefits (Continued)

Net OPEB Liability

The City’s net OPEB liability was measured as of June 30, 2021, and the total OPEB liability used to calculate the net OPEB liability was determined by an ac tuarial valuation as of June 30, 2019.

Actuarial Assumptions – The total OPEB liability in the June 30, 2019 actuarial valuation was determined using the following actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified:

Valuation Date June 30, 2019
Measurement Date June 30, 2021
Contribution Policy
Discount Rate 6.00%
Expected Long-Term Rate of Return Same as discount rate - expected City contributions projected to keep sufficient plan assets to pay all
benefits from trust
General Inflation 2.75% per annum
Mortality, Retirement, Disability,
Termination
CalPERS 1997-2015 Experience Study
Mortality Improvement Mortality projected fully generational with Scale MP-2019 Salary Increases Aggregate 3%
Merit - CalPERS 1997-2015 Experience Study
Medical Trend Non-Medicare - 7.5% for 2020, decreasing to an ultimate rate of 4.0% in 2076
Medicare - 6.5% for 2020, decreasing to an ultimate rate of 4.0% in 2076
Healthcare Participation Tier 1: 100%
Tier 2 & 3 RFF: 80% at 50% of cap to 100% at 100% of
cap
Tier 3 Non-RFF & Tier 4: 60%
Pre-Funded with pay-go plus a percent of pay which
varies by employee group

These geometric rates of return ar e net of administrative expenses.

Target
Allocation
Expected Real
Rate of Return
60% 4.65%
40% 0.78%
100%
Assumed long-term rate of inflation 2.75%
Expected Long-Term Net Rate of Return, Rounded 6.00%
Asset Class Component
Equities
Fixed Income

92 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 13: Other Post-Employment Benefits (Continued)

Discount rate – The discount rate used to measure the total OPEB liability was 6.00 percent. The projection of cash flows used to determine the discount rate a ssumed that City contributions will be made at rates equal to the actuarially determined contribution rate s. 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. Therefore, the long-term ex pected rate of return on OPEB plan investments was applied to all periods of projected benefit payments to determine the total OPEB liability.

Changes In Net OPEB Liability

Total OPEB
Liability
Fiduciary Net
Position
Net OPEB
Liability
Balances as of June 30, 2020 (Measurement Date) 225,754,000$ 109,681,210$ 116,072,790$ Service cost 5,414,588 - 5,414,588 Interest on total pension liability 14,125,117 - 14,125,117 Changes in assumptions 7,744,727 - 7,744,727 Contribution - employer* - 15,353,152 (15,353,152) Net investment income - 28,457,424 (28,457,424) Benefit payments (10,333,464) (10,333,464) -
Administrative expenses - (81,197) 81,197 Net changes 16,950,968 33,395,915 (16,444,947) Balances as of June 30, 2021 (Measurement Date) 242,704,968$ 143,077,125$ 99,627,843$ * Contributions to the trust of $5,019,688 plus $8,099,464 cash benefit payments and $2,234,000 implied subsidy benefit payments by the City.

Sensitivity of the net OPEB liability to changes in the discount rate and healthcare cost trend rates – The following presents the net OPEB liability of the City, as well as what the City’s net OPEB liability would be if it were calculated using a discount rate that is 1 percentage point lower (5.00 percent) or 1 percentage point higher (7.00 percent) than the current discount rate:

Discount Rate - 1%
(5.00%)
Current Discount Rate
(6.00%)
Discount Rate +1%
(7.00%)
Net OPEB Liability $ 135,097,316 $ 99,627,843 $ 70,894,437

Sensitivity of the net OPEB liability to changes in the healthcare cost trend rates – The following presents the net OPEB liability of the City, as well as what the City’s net OPEB liability would be if it were calculated using healthcare cost trend rates that are 1 percentage point lower (6 percent decreasing to 4 percent) or 1 percentage point higher (8 percent decreasing to 6 percent) than the current healthcare cost trend rates:

1% Decreasing (6.5%
decreasing to 3%)
Current Rate (7.5%
decreasing to 4%)
1% Increasing (8.5%
decreasing to 5%)
Net OPEB Liability $ 72,770,355 $ 99,627, 843 $ 126,159,118

OPEB plan fiduciary net position – Detailed information about the Plan’s fiduciary net position is available in the separately issued City of Roseville Other Post-Employment Benefits Trust financial report.

93 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 13: Other Post-Employment Benefits (Continued)

OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB

For the year ended June 30, 2021, the City recognized OPEB expense of $3,102,466. At June 30, 2021, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources:

Deferred Outflows Deferred Inflows
of Resources of Resources
Difference between expected and actual experience - $ 25,597,000$ Change of assumptions 11,304,684 4,119,000
Net difference between projected and actual earnings
on pension plan investments - 17,534,945 Total 11,304,684 $ 47,250,945 $

Amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows:

Year ended June 30:

Deferred Outflows/
(Inflows) of
Resources
2022 (9,516,443)$
2023 (9,316,443)
2024 (8,420,443)
2025 (6,376,444)
2026 (2,084,957)
Thereafter (231,531)
(35,946,261)$

Note 14: Post-Employment Benefits Trust

Plan Description

Plan administration –The City of Roseville Retiree Healthcare Plan (Plan) is a single-employer defined benefit healthcare plan that is used to provide postemployment benefits other than pensions (OPEB), including medical, dental and vision insurance benefits to eligible retirees. Management of the plan is vested with the Trust Investment Review Committee (Co mmittee). The Committee consists of nine members appointed by the City Manager. It includes one member from each of the City’s employee labor bargaining groups (5), one retiree, one investment professional, the City Human Resource Director, and the City Treasurer (Assistant City Manager/Chief Financial Officer).

The City has delegated authority of the OPEB trust to PFM Asset Management LLC (PFM), per the trust agreement. Upon signing the agreement, PFM has been deemed to have executed the Trust and during the term of this Agreement, PFM further agreed to serve as a discretionary trustee, with fiduciary oversight and authority over the operations and management of the Trust. 94 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 14: Post-Employment Benefits Trust (Continued)

Plan membership – At June 30, 2021, the Plan membership consisted of the following:

Number of
Covered
Participants
Active 1343
Inactive employees or beneficiaries currently receiving benefits 826 Inactive employees entitled to, but not yet receiving benefits 63 Total 2,232

Benefits Provided – The Plan provides medical, dental, and vision insurance benefits to eligible retirees and their dependents. Benefits are provided through a third-party insurer, and the full cost of the benefits is covered by the Plan. Benefit provisions are es tablished and may be amended by City labor agreements, which are approved by the City Council.

Contributions – The contribution requirements of plan memb ers and the City are established and may be amended by the City Council. The Council establishes rates based on an actuarially determined rate. For the year ended June 30, 2021, the City made contributions of $5, 019,688 plus $8,099,464cash benefit payments and $2,234,000 implied subsidy benefit payments by the City. Plan members receiving benefits contributed $0.

Investments Authorized for the Other Post-Employment Benefits Trust Fund

The authorized investments for the Other Post-Employment Benefits Trust (Trust) were established pursuant to the Trust Agreement. The City, as tr ustee, has elected to invest the Trust assets in up to six months of cash, cash equivalent and/or money market funds for near term Trust benefits and expenses. All remaining assets will be invested in longer-term se curities and shall be diversified with the intent to minimize the risk of long-term investment losses. Consequently, the total portfolio will be constructed and maintained to provide diversification with regard to the concentration of holdings in individual issues, issuers, countries, governments or industries. To achieve the Trust’s investment objectives and the best balance between risk and return for optimal diversification, assets will be invested in accordance with the targets for each asset class as follows to attempt to achieve a long-term av erage total annual rate of return that is equal to or greater than the Trust’s actuarial discount rate as described above.

Rate of return – For the year ended June 30, 2021, the annual money-weighted rate of return on investments, net of investment expense, was 5.75 percent. The money-weighted rate of return expresses investment performance, net of investment expense, adjusted for the changing amounts actually invested. 95 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 14: Post-Employment Benefits Trust (Continued)

Net OPEB Liability of The City

The components of the net OPEB liability of the City at June 30, 2021, were as follows:

Total OPEB Liability 242,704,968$
Plan Fiduciary Net Position 143,077,125
City's Net OPEB Liability 99,627,843$

58.95%
Plan Fiduciary Net Position as a
Percentage of the Total OPEB Liability

Actuarial assumptions – The total OPEB liability was determined by an actuarial valuations as of June 30, 2019, using the following actuarial assumptions applied to all periods included in the measurement, unless otherwise specified:

Valuation Date June 30, 2019
Measurement Date June 30, 2021
Contribution Policy
Discount Rate 6.00%
Expected Long-Term Rate of Return Same as discount rate - expected City contributions projected to keep sufficient plan assets to pay all benefits from trust
General Inflation 2.75% per annum
Mortality, Retirement, Disability,
Termination
CalPERS 1997-2015 Experience Study
Mortality Improvement Mortality projected fully generational with Scale MP-2019 Salary Increases Aggregate 3%
Merit - CalPERS 1997-2015 Experience Study
Medical Trend Non-Medicare - 7.5% for 2020, decreasing to an ultimate rate of 4.0% in 2076
Medicare - 6.5% for 2020, decreasing to an ultimate rate of 4.0% in 2076
Healthcare Participation Tier 1: 100%
Tier 2 & 3 RFF: 80% at 50% of cap to 100% at 100% of
cap
Tier 3 Non-RFF & Tier 4: 60%
Pre-Funded with pay-go plus a percent of pay which
varies by employee group

The long-term expected rate of return on OPEB plan investments was determined using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of investment expense and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. Best estimates of arithmetic real rates of return for each major asset class included in the target asset alloca tion as of June 30, 2021 (see the discussion of the Plan’s investment policy).

96 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 14: Post-Employment Benefits Trust (Continued)

Sensitivity of the net OPEB liability to changes in the discount rate – The following presents the net OPEB liability of the City, as well as what the City’s net OPEB liability would be if it were calculated using a discount rate that is 1-percentage point lower (5.00 percent) or 1-percentage-point higher (7.00 percent) than the current discount rate:

Discount Rate - 1%
(5.00%)
Current Discount Rate
(6.00%)
Discount Rate +1%
(7.00%)
Net OPEB Liability $ 135,097,316 $ 99,627,843 $ 70,894,437

Sensitivity of the net OPEB liability to changes in the healthcare cost trend rates – The following presents the net OPEB liability of the City, as well as what the City’s net OPEB liability would be if it were calculated using healthcare cost trend rates that are 1-percentage-point lower (6.00 per cent decreasing to 4.00 percent) or 1- percentage-point higher (8.00 percent decreasing to 6.00 percent) than the current healthcare cost trend rates:

1% Decreasing (6.5%
decreasing to 3%)
Current Rate (7.5%
decreasing to 4%)
1% Increasing (8.5%
decreasing to 5%)
Net OPEB Liability $ 72,770,355 $ 99,627, 843 $ 126,159,118

Note 15: Risk Management

The City manages risk of loss related to torts; t heft of, damage to, and destructi on of assets; errors and omissions; injuries to employees; and natural disa sters by participating in the public entity risk pools described below and by retaining certain risks.

Public entity risk pools are formally organized and separate entities established under the Joint Exercise of Powers Act of the State of Califor nia. As separate legal entities, those entities exercise full powers and authorities within the scope of the related Joint Po wers Agreements including the preparation of annual budgets, accountability for all funds, the power to make and execute contracts and the right to sue and be sued. Each risk pool is governed by a board consisti ng of representatives from member agencies. Each board controls the operations of the respective risk pool, including selection of management and approval of operating budgets, independent of any influence by member agencies beyond their representation on that board.

Obligations and liabilities of these risk pools are not the City’s responsibility.

The contributions made to the risk pools below equal the ratio of the respective member payrolls to the total payrolls of all entities participating in the same layer of each program, in each program year. Actual surpluses or losses are shared according to a formula developed from overall loss costs and spread to member entities on a percentage basis after a retrospective rating.

a. Risk Coverage

General Liability, Property and Boiler and Machinery

The City is a member of the California Joint Powers Risk Management Authority (CJPRMA) which covers general liability claims, property, and boiler and machinery losses. Once the City’s self-insured retention (SIR) is met, CJPRMA becomes responsible for payment of all claims up to the limit. Financial statements for the risk pool and more information may be obt ained from CJPR MA, 3201 Doolan Road, Suite 285, Livermore, California 94551.

97 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 15: Risk Management (Continued)

General Liability Coverage

The City has a SIR of $500,000 per claim up to a $40,000,000 limit. The City’s premium was $1,008,371.

Property Coverage

CJPRMA has purchased commercial insurance against property damage, boiler and machinery claims. The City has a SIR of $25,000 per claim up to a $400,000,000 limit. The City’s premium for coverage is $528,646.

Roseville Energy Park Property Coverage

The City purchased commercial property insurance specifically to cover the Roseville Energy Park. The City has a SIR of $250,000 per claim up to a $200,000,000 limit. The City’s premium for coverage is $658,399.

Fiduciary Coverage

The City purchased fiduciary insurance specifically to cover the OPEB Trust. The SIR is $25,000 per claim up to a $3,000,000 limit. The City’s premium for coverage is $35,419.

Workers’ Compensation

The City is also a member of the Local Agency Workers’ Compensation Excess Joint Powers Authority (LAWCX), which covers workers’ compensation claims up to $5,000,000 and has excess coverage through CSAC-EIA up to the statutory limit. The City has a SIR of $500,000 per claim. The total premium charged to the City was $1,220,000.

Financial statements for the risk pool and more information may be obtained from LAWCX, 1750 Creekside Oaks Drive, Suite 200, Sacramento, California 95833.

b. Insurance Internal Service Funds

The Governmental Accounting Standards Board (GASB) requires municipalities to record their liability for uninsured claims and to reflect the current portion of this liability as an expense in their financial statements.

As discussed above, the City has coverage for such cl aims, but it has retained the risk for the deductible or uninsured portion of these claims.

The change in the Workers’ Compensation Internal Service Fund’s claims liability, including claims incurred but not reported is based on an independent actuarial study prepared annually and was computed as follows for the years ended June 30:

2021 2020
Claims liability, beginning of year 8,094,420$ 8,605,040$ Current year claims 3,402,000 3,257,000
Change in prior year claims (90,266) (827,098)
Claims paid, current year claims (590,188) (356,462) Claims paid, prior year claims (2,114,885) (2,584,060) Claims liability, end of year 8,701,081$ 8,094,420$
Current claims liabilities 2,175,270$ 1,537,940$

98 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 15: Risk Management (Continued)

The City’s liability for uninsured general liability claims, including claims incurred but not reported is reported in the General Liability Internal Service Fund. The liability is based on an independent actuarial study prepared annually and was computed as follows for the years ended June 30:

2021 2020
Claims liability, beginning of year 1,728,514$ 1,601,748$ Current year claims 1,124,000 607,000
Change in prior year claims 273,935 103,821
Claims paid, current year claims (193,098) (54,741) Claims paid, prior year claims (1,053,561) (529,314) Claims liability, end of year 1,879,790$ 1,728,514$
Current claims liabilities 601,533$ 518,554$
Claims have not exceeded coverage during the last three years.

Note 16: Northern California Power Agency (NCPA)

a. General

The City participates in joint ventures through Joint Powers Authorities (JPAs) established under the Joint Exercise of Powers Act of the State of California. As separate legal entities, these JPAs exercise full powers and authorities within the scope of the related Joint Powers Agreement, including the preparation of annual budgets, accountability for all funds, the power to make and execute contracts and the right to sue and be sued. Obligations and liabilities of the JPAs are not those of the City.

Each JPA is governed by a board consisting of r epresentatives from each member agency. Each board controls the operations of its respective JPA, including selection of management and approval of operating budgets, independent of any influence by member agenc ies beyond their representation on the Board.

The City is a member of NCPA, a joint powers agency which operates under a joint powers agreement among fifteen public agencies. The purpose of NCPA is to use the combined strength of its members to purchase, generate, sell and interchange electric energ y and capacity through the acquisition and use of electrical generation and transmission facilities, and to optimize the use of those facilities and the member’s position in the industry. Each agency member has agreed to fund a pro rata share of certain assessments by NCPA and certain members have entered into take-or-pay power supply contracts with NCPA. While NCPA is governed by its members, none of its obligat ions are those of its members unless expressly assumed by them.

The City receives no income from NCPA, and does not participate in all of its projects. Further, NCPA does not measure or determine the City’s equity in NCPA as a whole. NCPA reports only the City’s share of its General Operating Reserve, compris ed of cash and investments, and the City’s share of those Projects in which the City is a participant. These amounts are reflected in the financial statements as Investment in NCPA Reserve.

During the year ended June 30, 2021, the City incurred expenses totaling $5,352,544 for purchased power, regulatory and legislature assessments, association dues and prepaid assets paid to NCPA.

99 CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 16: Northern California Power Agency (NCPA) (Continued)

The City’s interest in certain NCPA Projects and Reserve, as computed by NCPA using unaudited information, is set forth below:

June 30, 2021
General operating reserve (including advances) 3,974,683 $ Associated member services (including advances) 85,739
Undivided equity interest, at cost, in certain NCPA power projects:

Geothermal projects 509,432
Calveras hydroelectric project 419,706
Combustion turbine project no. 2 169,068
5,158,628$

The General Operating Reserve (GOR) is an additi onal operating reserve for non-budgeted items that are contingent or non-specific. Deposits to the GOR include items such as the City’s portion of funds which resulted from the settlement with third parties of issues with financial consequenc es and reconciliations of prior years’ budgets for programs. It is recognized that all the funds credi ted to the City are linked to the collection of revenue from the City’s ratepayers, or to the settlement of disputes relating to electric power supply and that the money was collected from the City’s ratepayers to pay power bills. Additionally, the NCPA Commission identified and approved the funding of specific reserves for working capital, accumulated employees post- retirement medical benefits, and billed property taxes for the geothermal project. The Commission also identified a number of contingent liabilit ies that may or may not be realized, the cost of which in most cases is difficult to estimate at this time. One such contingent liability is the steam field depletion which will require funding to cover debt service and operational costs in excess of the expected value of the electric power. The General Operating Reserve is intended to minimize the number and amount of individual reserves needed for each project, prot ect NCPA’s financial condition and maintain its credit worthiness. These funds are available on demand, but the City maintains funds with NCPA as a reserve against these contingencies identified by NCPA.

Members of NCPA may participate in an individual project of NCPA without obligation for any other project.

Member assessments collected for one project may not be used to finance other projects of NCPA without the member’s permission.

b. Projects

Geothermal Projects

NCPA’s Geothermal Project has experienced a greater than originally anticipated decline in steam production from geothermal wells on its leasehold proper ty. NCPA will continue to monitor the wells while pursuing alternatives for improving and extending reservoir performance, including supplemental water reinjection, plant equipment modifications, and changes in operating methodology. NCPA, along with other steam field operators, has observed a s ubstantial increase in steam production in the vicinity of reinjection wells and is attempting to increase water reinjection at strategic locations. NCPA, together with other steam developers and the Lake County Sanitation District, has completed the construction of a wastewater pipeline project that greatly increased the amount of water available for reinjection.

Based on an internal assessment of the melded costs of power from the Geothermal Project and all other resources available to the members, NCPA believes it s members will continue to be able to operate their electric utilities on a competitive basis, when compared to local investor-owned utility rates, while meeting all electric system obligations including those to NCPA. In March 2009, NCPA issued $35,610,000 Geothermal Project Number 3 Revenue Bonds (2009 Series A). The proceeds were used to finance and operate the two NCPA 110 MW geothermal steam powered generating plants, Plant Number 1 and Plant 100

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 16: Northern California Power Agency (NCPA) (Continued)

Number 2. In 2012, NCPA issued $12,910,000 in bonds for Plant Number 1 turbine upgrades. The City is obligated to pay its contractual share of 7.883 percent of the operating costs and debt service until it is fully satisfied, regardless of resulting cost or availability of energy. At June 30, 2021, the book value of this Project’s plant, equipment and other assets was $136,571,820 while its long-term debt totaled $15,505,000 and other liabilities totaled $114,608,477. The City’s share of t he Project’s long-term debt amounted to $1,222,259 at that date.

On October 28, 2004, NCPA approved a resolution to finance the expansion and remodeling of the NCPA main office building located in Roseville. The expans ion is included as part of the Geothermal Projects funded by the bonds mentioned above. The City will recover its 7.883 percent share of the cost of the expansion which was $204,958, with a 5 percent return on the investment over a ten year period. The City has fully recovered its costs associated with this project.

Calaveras Hydroelectric Project

In July 1981, NCPA agreed with Calaveras County Water District to purchase the output of the North Fork Stanislaus River Hydroelectric Development Project and to finance its construction. Debt service payments to NCPA began in Febr uary 1990 when the project was declared substantially complete and power was delivered to the participants. Under its power purchase agreement with NCPA, the City is obligated to pay 12% of this Project’s debt service and operating co sts. In March 2018, NCPA refunded a portion of the outstanding Revenue Bonds with the $70,215,000 2018 Hydroelectric Project Number One

Revenue Bonds. The City’s share of the 2018 bonds is 4.586%. In April 2019, NCPA refunded a portion of the outstanding Revenue Bonds with the $39,250,000 2019 Hydroelectric Project Number One Revenue Bonds. At June 30, 2021, the book value of this Project’s plant, equipment and other assets was $303,750,805 while its long-term debt totaled $255,822,613 and other liabilities totaled $44,430,637. The City’s share of the Project’s long-term debt amounted to $25,946,605 at that date.

Combustion Turbine Project No. 2 (Steam Injected Gas Turbine Project)

The City is a participant in a 49.8 megawatt Steam Injected Gas Turbine project which was built under turnkey contract near the City of Lodi and declared substantially complete on April 23, 1996. In October 1992, NCPA issued $152,320,000 of Multiple Capital Fac ilities Revenue Bonds to finance this project. In January 2010, NCPA refinanced the outstanding Capital Fac ilities Revenue Bonds by the issuance of the $55,120,000 Capital Facilities Revenue Bonds Series A (2010 Refunding Series A). Under the NCPA power purchase agreement, the City is obligated to pay 36.50 percent of the debt service and operating costs for the Lodi unit.

The City’s participation in procurement of natural gas for fuel for existing and new combustion turbine units was approved in 1993. Although there is currently no additional debt financing, the City and NCPA have committed to long-term payments for gas transmission pipeline capacity, and entered a purchase contract for natural gas. The City is obligated to pay 17.9218 percent of the natural gas purchase contract.

At June 30, 2021, the book value of this Project’s plant, equipment and other assets was $22,057,438, while its long-term debt totaled $19,315,661 and other liabilities totaled $2,278,578. The City’s share of the Project’s long-term debt amounted to $7,050,216 at that date.

c. NCPA Financial Information

NCPA’s financial statements can be obtained from NCPA, 651 Commerce Drive, Roseville, California 95678. 101

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 17: South Placer Wastewater Authority

The City is a member of the South Placer Wastew ater Authority (SPWA), a joint powers agency which operates under a joint powers agreement among three public agencies, the City of Roseville, South Placer Municipal Utility District and Placer County. The purpose of SPWA is to provide for the planning, financing, acquisition, construction and operation of the Regional Wastewater Facilities. Under the terms of the amended and restated funding agreement, effective October 1, 2012, the City w ill own and operate the Regional Wastewater Facilities and th e member agencies will share the operating costs of the Facilities after construction is complete. The Regional Wast ewater Facilities include the Dry Creek Plant and the Pleasant Grove Plant.

Under the terms of the Reallocation and Repayment Agreement, effective October 1, 2012, the three agencies are responsible for the repayment of all the revenue bonds. The City’s share of this obligation was

61.66 percent but with the second amendment to the funding agreement discussed below, the City’s obligation is now 64.57 percent.

During the year ended June 30, 2021, the City paid $16,601,916 to SPWA based on connection fees collected during the fiscal year.

The City records its share of income and expenses from SPWA in the Wastewater Enterprise Fund and these changes are reflected in the Statement of Revenues, Expenses and Changes in Fund Net Position.

During the fiscal year, the City changed the method for recording its investment in SPWA reserves to record a net investment, which captures the City’s portion of cash, investments, long term debt and other related items. The City’s net investment in SPWA Reserves at June 30, 2021, was a liability of $13,227,399, which includes the City’s rate stabilization fund balance of $47,345,557.

SPWA’s financial statements can be obtained from t he City of Rose ville, 311 Vernon Stree t, Roseville, California, 95678.

Note 18: Municipal Solid Waste Landfill Closure and Post Closure Care Costs

State and federal laws and regulations require that the City perform certain maintenance and monitoring functions at the Roseville sanitary landfill site, which is closed, through the year 2024. Accordingly, the City has recorded a liability and expense in the Solid Waste Enterprise Fund for the estimated post closure care cost. The recorded amount is based on applicable state and local laws and regulations concerning closure and post closure care. If additional post closure care requirements are determined (due to changes in technology or applicable laws or regulations, for exampl e), these costs may result in increased charges to future landfill users or the usage of future tax revenues. During fiscal year 2021, the changes of l andfill closure liabilities were as follows:

Beginning Balance 1,084,633$
Deductions (300,255)
Ending Balance 784,378$

Note 19: Commitments and Contingent Liabilities

a. NCPA, Transmission Agency of Northern California, and Western Area Power Administration

Under the terms of its NCPA joint venture agreement, t he City is contingently li able for a portion of the bonded indebtedness issued by these agencies under take-or-p ay or similar agreements, as discussed in Note 16. The City’s estimated share of such debt outstanding at June 30, 2021, was $34,219,080. Under certain circumstances, the City may also be responsible for a portion of the costs of operating these entities.

Under certain circumstances, such as default or bankruptcy of other participants, the City may also be liable 102

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 19: Commitments and Cont ingent Liabilities (Continued)

to pay a portion of the debt of these joint ventures on behalf of the other participants.

The City is a member of the Transmission Agency of Northern California (TANC), a joint powers agency.

The City is entitled to 2.1119 percent of TANC’s s hare of transfer capability in the California-Oregon Transmission Project (approximately 29.35MW). The City is responsible for a share of debt service on debt issued by TANC under a take-or-pay agreement, approximately $400,000 annually through 2039. The City’s estimated share of debt outstanding at June 30, 2021, was $3,878,289.

In addition, the City has a long-term obligation to the United States Department of Energy, Western Area Power Administration, for 4.58533 percent of the output of the Central Valley Project, California. This contract, also known as the Western Base Resource, obligates the City to make payments on a take-or-pay basis through December 31, 2024. The City expects to pay approximately $4 million annually for the term of this contract. The City receives approximat ely 155,000 MWh of energy per year under average hydro and storage conditions.

b. Federal and State Grant Programs

The City participates in Federal and State grant programs. These programs have been audited by the City’s independent accountants in accordance with the provisions of the federal Single Audit Act as amended and applicable State requirements. No cost disallowances were proposed as a result of these audits; however, these programs are still subject to further examination by the grantors and the amount, if any, of expenditures which may be disallowed by the granting agencies cannot be determined at this time. The City expects such amounts, if any, to be immaterial.

c. Litigation

The City is subject to litigation arising in the normal c ourse of business. In the opinion of the City Attorney there is no pending litigation, other th an disclosed above, which is likely to have a material adverse effect on the financial position of the City.

d. Encumbrances

The City uses an encumbrance system as an extension of normal budgetary accounting for governmental funds. Under this system, purchase orders, contracts, and other commitments for the expenditure of monies are recorded in order to reserve that portion of applicable appropriations. Encumbrances outstanding at year-end are recorded as restrict ed, committed or assigned fund balance, depending on the classification of the resources to be used to liquidate the encumbranc e, since they do not constitute expenditures or liabilities. Outstanding encumbrances at year-end may be re-appropriated for the following year.

Unencumbered and unexpended appropriations lapse at y ear-end. Encumbrances outstanding as of June 30, 2021, by individual major funds and non-major funds in total were as follows:

Major Governmental Funds:

General Fund 1,819,302 $
Non-Major Governmental Funds 17,910,881
Total Encumbrances 19,730,183 $

103

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 19: Commitments and Cont ingent Liabilities (Continued)

e. Other Commitments

The City had the following outstanding significant commitments at June 30, 2021:

Projects In Millions
Natural Gas Forward Obligations 50.9$
Roseville Energy Park Long-Term Service Agreement 36.5
Renewable Power Purchase Obligations 31.3
Net Power Purchase Contracts 5.5
Pleasant Grove Wastewater Treatment Plan Expansion 21.3 Aquifer Storage and Recovery Wells 1 and 2 9.7
West Side Tank and Pump Station 9.2
2017 Arterial Resurfacing 6.3

Note 20: Gas Supply Acquisitions and Resale

The City operates certain electrical generating plants which provide power for sale to the public and needs reliable, economic supplies of natural gas to generate the needed electricity. In pursuit of that objective the City and its component unit, the former City of Roseville Redevelopment Agency formed the Roseville Natural Gas Financing Authority (Aut hority) for the purpose of acqui ring, financing and supplying natural gas to the City.

Summarized below are various agreements entered into by the Authority to achieve its purpose.

a. Prepaid Gas Agreement

Pursuant to an Agreement for the Purchase and Sale of Natural Gas dated January 24, 2007, the Authority used a portion of the proceeds of its $209,350,000 of Gas Reve nue Bonds, Series 2007 (the Bonds) to prepay Merrill Lynch Commodities, Inc. (Gas Supplier) for a twenty year supply of natural gas. Commencing January 1, 2008, and cont inuing through December 31, 2027, the Gas Supplier is obligated to deliver daily contract quantities of natural gas on a firm basis to the designated delivery point. Daily contract quantities vary from month to month but not from year to year. This commitment totals 2,352,000 MMBtus (millions of British thermal units) per year or 47,040,000 MMBtus for the twenty year contract period. The Authority has recorded a Prepaid Natural Gas asset which is to be amortized as daily contract quantities are delivered.

The agreement provides for payments to be made by the Gas Supplier if it fails to deliver the daily contract quantities and may be terminated by the Authority in t he event of non-performance by the Supplier. The Agreement will automatically terminate if there is a termination of the Commodity Swap (See Note 20 D) which is not due to default by the Authority or if there is an event of default under the swap agreement entered into by the Gas Supplier and a third party. Upon early termination, whether due to the above or due to any other optional termination event as defined in the agreement, the Gas Supplier is required to make a termination payment to the Authority that is expected to be sufficient, together with other available funds, to redeem the Bonds. The Gas Supplier’s commitments under this agreement are guaranteed by its parent company, Merrill Lynch & Co. Inc. under a guarantee agreement with the Authority.

As of June 30, 2021, the book value of prepaid gas under this agreement amounted to $102,898,775. 104

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 20: Gas Supply Acquisitions and Resale

b. Funding Agreement

Under certain conditions specified in a Funding and Assignment Agreement dated January 24, 2007 between the Authority and Gas Supplier, the Gas Supplier has agreed to advance funds to the Trustee to pay debt service when due or to redeem bonds in the event of early termination. Advances are required under covered swap deficiencies and covered termination deficie ncies and optional advances may also be made.

Advances are repayable from by the responsible party causing the deficiency requiring an advance under this agreement. This agreement is coterminous with the Bonds. The Gas Supplier’s commitment under this agreement is guaranteed by its par ent company, Merrill Lynch & Co. Inc. under a guarantee agreement with the Authority.

There were no advances outstanding as of June 30, 2021.

c. Supply Agreement

Pursuant to a Natural Gas Supply Agreement dated February 1, 2007, the Authority has agreed to sell to the City a twenty-year supply of natural gas. This Suppl y Agreement is coterminous with and provides for the delivery of natural gas in quantities which are ma tched to the Prepaid Gas Agreement, discussed above.

For each MMBtu delivered (sold) to the City, the Authority will receive a variable revenue stream based on a first of the month index for the delivery location. The Agreement terminates upon termination of the Prepaid Gas Agreement or upon the City’s failure to make any required payment within two business days of the due date.

d. Commodity Swap Agreement

In order to have its gas price exposure consistent with prevailing market rates, the Authority entered into a natural gas Commodity Swap Agreement with JPMor gan Chase Bank (Counterparty). For the term of deliveries under the Prepaid Gas Agreement and the Supply Agreement, the Authority will pay an index price per MMBtu to the Counterparty, and the Counterparty will pay a fixed price to the Authority. The index price paid by the Authority is expected to approximate the price paid by the City under the Supply Agreement.

The monthly quantity and term of the Commodity Sw ap Agreement are matched to those of the Supply Agreement.

Detail of the commodity swap agreement is discussed in Note 10.

Note 21: Redevelopment Agency Dissolution and Successor Agency Activities

a. Redevelopment Dissolution

In an effort to balance its budget, the State of California adopted ABx1 26 on June 28, 2011, amended by AB1484 on June 27, 2012, which suspended all new redevelopment activities except for limited specified activities as of that date and dissolved redevelopment agencies on January 31, 2012.

The suspension provisions prohibited all redevelopment agencies from a wide range of activities, including incurring new indebtedness or obligations, entering into or modifying agreements or contracts, acquiring or disposing of real property, taking actions to adopt or amend redevelopment plans and other similar actions, except actions required by law or to carry out existing enforceable obligations, as defined in ABx1 26.

105

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 21: Redevelopment Agency Dissolution and Successor Agency Activities (Continued)

Effective January 31, 2012, the Redevelopment Agency was dissolved. Certain housing assets of the Redevelopment Agency were distributed to a Housing Successor; and all remaining Redevelopment Agency assets and liabilities were distributed to a Successor Agency.

Under the provisions of AB 1484, the City can elect to become the Housing Successor and retain the housing assets. The City elected to become the Housing Su ccessor and on February 1, 2012, the housing assets were transferred to the City’s Low and Moderate Income Housing Asset Special Revenue Fund. The activities of the Housing Successor are reported in the Low and Moderate Income Housing Assets Special Revenue Fund as the City has control of those assets, which may be used in accordance with the low and moderate income housing provisions of California Redevelopment Law.

The City also elected to become the Succe ssor Agency and on February 1, 2012 the Redevelopment Agency’s remaining assets were distributed to and liabilities were assumed by the Successor Agency. ABx1 26 requires the establishment of an Oversight Board to oversee the activities of the Successor Agency and one was established in March 2012. The activities of the Successor Agency are subject to review and approval of the Oversight Board, which is comprised of seven me mbers, including one member of City Council and one former Redevelopment Agency employee appointed by the Mayor.

The activities of the Successor Agency are reported in the Successor Agency to the Redevelopment Agency Private-Purpose Trust Fund as the activities are under the control of the Oversight Board. The City provides administrative services to the Successor Agency to wind down the affairs of the former Redevelopment Agency. With the dissolution of the Redevelopmen t Agency, pass-through payments to affected taxing entities become the responsibility of the County.

b. Cash and Investments

Cash and investments of the Successor Agency as of June 30, 2021, are included in the pooled cash and investments discussed in Note 2.

c. Notes Receivable

The Successor Agency assumed the non-housing loans receivable of the Redevelopment Agency as of February 1, 2012. The R edevelopment Agency engaged in programs designed to encourage construction of or improvement to low-to-moderate income housi ng. Under these programs, grants or loans were provided under favorable terms to homeowners, devel opers or others who agreed to expend these funds in accordance with the A gency’s terms. The balances of the notes receivable were $2,313,965 at June 30, 2021.

Included in the notes receivable above, is a loan to the Roseville Community Development Corporation in the amount of $3,469,049. The Agency had entered into an agreement with the Corporation, a component unit of the City, under which the Agency agreed to provide funding to the Corporation in the form of a start- up loan not to exceed five million dollars ($5,000,000). The loan is a 20-year loan deferred for 10 years with accrued interest and principal due beginning January 1, 2021. The Agency Board approved the execution of the loan agreement in May 2011. A State Supr eme Court decision on A ugust 11, 2011 suspended all redevelopment activity effective June 28, 2011. Ho wever, the Successor Agency continued to make disbursements related to the loan agreement after that date, because it had been approved by the Agency Board prior to the Court decision.

Under the provisions of Health and Safety Code Section 34171(d)(2), agreements between the City or any of its component units and the Agency that were executed after December 31, 2010 are no longer enforceable obligations and Health and Safety Code Section 34167.5 requires that if the City or component unit is not contractually committed to a third party for the expenditure or encumbrance of those funds that they be returned to the Successor Agency.
106

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 21: Redevelopment Agency Dissolution and Successor Agency Activities (Continued)

The State Controller’s Office, but not the State Department of Finance, has denied that this loan agreement is an enforceable obligation of the Successor Agency. The City continues to contend that the loan agreement was lawfully entered into at the time of its ex ecution and therefore transac tions executed with the Corporation prior to the dissolution were not reversed in the current fiscal year and remain as payable from the Corporation as of June 30, 2021.

Also included in the notes receivable above are two loans to one owner of two commercial businesses on Vernon Street for tenant improvements. These loans were made in 2011 by the former Redevelopment Agency and were assumed by the Successor Agency. The loans were paid off during fiscal year 2021. As of June 30, 2021, the balance of the two loans was zero.

d. Capital Assets

The Successor Agency assumed the capital assets of the Redevelopment Agency as of February 1, 2012.

All capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Contributed capital assets are valued at their estimated fair value on the date contributed. The Successor Agency’s policy is to capitalize all assets with costs exceeding certain minimum thresholds and with useful lives exceeding two years. The Successo r Agency did not hold any capital assets as of June 30, 2021.

e. Long-Term Obligations

The Successor Agency assumed the long-term debt and loans of the Redevelopment Agency as of February 1, 2012. All of the long-te rm debt of the Successor Agency is comprised of Tax Allocation Bonds and loans issued by the Redevelopment Agency. The Bonds and Loans are special obligations of the Agency and are secured only by the Agency’s tax increment revenues. Tax Allocation Bond and loan transactions were as follows:

Tax Allocation Bonds:

Balance
June 30, 2020 Reductions
Balance
June 30, 2021
Current
Portion
2014 Redevelopment Project Taxable Tax Allocation

2.00% - 5.00%, due 9/1/33 8,475,000 $ 505,000 $ 7,970,000 $ 525,000 $ Add: bond premium 400,750 28,625 372,125 - 2016-T Redevelopment Project Taxable Tax Allocation

1.02% - 4.066%, due 9/1/40 20,375,000 415,000 19,960,000 415,000 Total Tax Allocation Bonds 29,250,750 948,625 28,302,125 940,000 Loans from the City 17,288,826 1,678,699 15,610,127 1,484,328 Total 46,539,576 $ 2,627,324 $ 43,912,252 $ 2,424,328 $

i. Debt Service Requirements

Debt service requirements are shown below for all long-term debt except the advance made to the Successor Agency, because the ultimate repayment terms cannot be determined at this time as discussed in the Loans from the City section below.

107

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 21: Redevelopment Agency Dissolution and Successor Agency Activities (Continued)

Principal Interest
940,000$ 1,003,447$
975,000 973,811
1,000,000 947,729
1,025,000 914,176
5,790,000 3,980,639
7,185,000 2,875,253
8,995,000 1,342,713
2,020,000 41,067
27,930,000$ 12,078,835$
2031-2035
2036-2040
2041
Total
For the Year Ending June 30,
2022
2023
2024
2025
2026-2030

ii. 2014 Roseville Redevel opment Project Tax Allocation Refunding Bonds

On September 9, 2014, the Roseville Successor Agency issued the Series 2014 Refunding Bonds, in the amount of $10,740,000 for the purpose of refunding the 2002 Tax Allocation Bonds. The Bonds bear interest at rates ranging from 2.00 percent to 5.00 percen t. Principal payments are due annually on September 1.

Interest payments are due semi-annually on ea ch September 1 and March 1, commencing on September 1, 2015 through September 1, 2033.

iii. 2016-T Roseville Redevelopmen t Project Tax Allocation Bonds

On July 19, 2016, the Roseville Successor Agency issued the Series 2016-T Refunding Bonds, in the amount of $21,520,000 for the purpose of refunding the 2006 Series A, 2006 Series A-T and 2006 Series H-T Tax Allocation Bonds. The Bonds bear interest at rates ranging from 1.021 percent to 4.066 percent. Principal payments are due annually on September 1. Interest payments are due semi-annually on each September1 and March 1, commencing on September 1, 2017 through September 1, 2040.

iv. Loans from the City

108

CITY OF ROSEVILLE

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021

Note 21: Redevelopment Agency Dissolution and Successor Agency Activities (Continued)

Note 22: Prior Period Adjustments

At June 30, 2021, the City reported a prior period adjustment in the amount of $(306,302,405) in the custodial funds in the Statement of Changes in Fiduciary Net Position. The prior period adjustment was due to the implementation of GASB Statement No. 84, Fiduciary Activities, for accounting and financial reporting purposes. The adjustment will convert former agency funds, which previously only reported assets and liabilities, to a full accrual custodial fund with an economic resources measurement focus to include the reporting of custodial funds net position.

The City also reported a prior period adjustment in the amount of $194,833 in the nonmajor enterprise funds.

The prior period adjustment was due to cash receipts received in the prior fiscal year that were erroneously recorded as revenue. These receipts were determined to have spending stipulations that have not yet been met as of June 30, 2021. As such, the $194,833 remain as unearned revenue at June 30, 2021.

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REQUIRED SUPPLEMENTARY INFORMATION

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CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

GENERAL FUND
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Taxes 128,524,850$ 128,524,850$ 153,341,681$ 24,816,831$ Licenses, permits and fees 3,069,193 3,069,193 4,668,439 1,599,246 Subventions and grants 1,134,379 5,867,182 4,430,729 (1,436,453) Charges for services 16,639,563 16,606,563 15,050,711 (1,555,852) Use of money and property 1,826,509 1,826,509 1,376,288 (450,221) Fines, forfeitures and penalties 89,250 89,250 79,177 (10,073) Contributions from developers and others 400,000 464,590 670,635 206,045 Miscellaneous revenues 1,434,118 1,543,666 1,386,782 (156,884) Total Revenues 153,117,862 157,991,803 181,004,442 23,012,639 Expenditures:

Current:

General government:

City council 181,264 181,264 98,081 83,183 City manager 1,767,975 1,758,147 1,592,865 165,282 Public affairs / communications 653,355 650,504 630,197 20,307 City attorney 2,275,684 2,516,633 2,269,419 247,214 City Clerk 1,415,379 1,551,817 1,542,653 9,164 Finance 5,705,605 5,649,728 4,566,859 1,082,869 Human resources 1,595,945 1,603,372 1,571,092 32,280 Public Safety:

Police 46,814,329 47,876,320 47,702,602 173,718 Fire 34,649,868 35,885,279 35,706,906 178,373 Economic Development 2,942,530 3,026,379 2,514,847 511,532 Parks, Recreation, and Libraries 20,908,321 20,781,642 18,513,097 2,268,545 Library 5,694,938 5,708,875 5,241,683 467,192 Public Works 9,269,088 9,995,224 8,657,316 1,337,908 Development services 15,395,067 16,950,589 13,717,062 3,233,527 Annexation payments 7,494,258 7,494,258 7,494,258 - Retiree medical benefits 5,327,737 5,327,737 5,290,882 36,855 Capital outlay 285,095 502,211 823,939 (321,728) Other expenditures 2,050,278 101,278 1,475,951 (1,374,673) Debt service:

Interest and fiscal charges 15,955 15,955 22,872 (6,917) Total Expenditures 164,442,671 167,577,212 160,908,532 7,180,212 Excess (Deficiency) of Revenues Over (Under) Expenditures (11,324,809) (9,585,409) 20,095,910 30,192,851 Other Financing Sources (Uses)
Transfers in 16,208,300 14,807,992 12,418,371 2,389,621 Transfers (out) (6,041,784) (6,150,807) (3,715,337) (2,435,470) Total Other Financing Sources (Uses) 10,166,516 15,641,638 15,694,303 (39,033) Net Change in Fund Balance (1,158,293)$ 6,056,229$ 35,790,213 30,231,884$ Fund Balance, July 1 81,382,635
Fund Balance, June 30 117,172,848$
113

CITY OF ROSEVILLE

SCHEDULE OF CHANGES IN THE CITY'S NET PENSION LIABILITY AND RELATED RATIOS LAST TEN YEARS**
Measurement Date
Miscellaneous Safety Miscellaneous Safety
Total Pension Liability
12,410,363$ 7,979,496$ 12,377,311$ 7,650,925$ 35,999,301 17,970,776 38,106,634 18,851,867 - - (1,796,891) (4,348,535) - - (9,697,397) (5,162,388) (18,188,166) (9,003,224) (19,339,004) (9,908,333) Net change in total pension liability 30,221,498 16,947,048 19,650,653 7,083,536 Total Pension Liability-beginning 482,879,572 240,122,220 513,101,070 257,069,269 Total Pension Liability-ending (a) 513,101,070$ 257,069,268$ 532,751,723$ 264,152,805$ Plan Fiduciary Net Position
-$ -$ 3,810$ (26,514)$ 14,691,280 8,482,557 15,901,790 9,010,440 5,879,856 2,321,899 5,785,312 2,299,042 51,318,939 26,953,304 7,885,768 4,110,266 (18,188,166) (9,003,224) (19,339,004) (9,908,333) - - (401,772) (210,832) - - - - Net change in plan fiduciary net position 53,701,909 28,754,536 9,835,904 5,274,069 Plan Fiduciary Net Position-beginning 293,249,174 153,271,540 346,951,083 182,026,076 Plan Fiduciary Net Position-ending (b) 346,951,083$ 182,026,076$ 356,786,987$ 187,300,145$ Net pension liability-ending (a) - (b) 166,149,987$ 75,043,192$ 175,964,736$ 76,852,660$ Plan fiduciary net position as a percentage of the total pension liability 67.62% 70.81% 66.97% 70.91% Covered payroll 67,642,462$ 25,304,421$ 70,574,246$ 25,172,485$ Net pension liability as a percentage of covered payroll 245.63% 296.56% 249.33% 305.30% Notes to Schedule:

Benefit Changes: The figures above do not include any liability impact that may have resulted from plan changes which occurred after June 30, 2019. This applies for voluntary benefit changes as well as any offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes).

Changes of Assumptions: In 2019 and 2020, there were no changes. In 2018, demographic assumptions and inflation rates were changed in accordance with the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in the discount rate. In 2017, the accounting discount rate reduced from 7.65 percent to 7.15 percent. In 2016, there were no changes. In 2015, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense.) In 2014, amount reported were based on the 7.5 percent discount rate. **Historical information is required only for measurement periods for which GASB 68 is applicable. Fiscal Year 2015 was the first year of implementation, therefore only seven years are shown.

Administrative expenses
Service Cost
Interest on total pension liability
Differences between expected and actual experience
Changes in assumptions
Benefit payments, including refunds of employee contributions Contributions-employer
Contributions-employee
Net investment income
Benefit payments
Plan to plan resource movement
Other miscellaneous income/(expense)
June 30, 2014
2016
June 30, 2015
2015
114
Miscellaneous Safety Miscellaneous Safety
12,872,902$ 7,764,644$ 14,861,538$ 9,405,915$ 40,468,522 20,340,470 42,476,046 21,361,661 316,698 3,415,651 (3,545,559) (4,417,042) - - 36,462,156 19,842,134 (21,009,168) (11,124,582) (23,354,942) (11,825,080) 32,648,954 20,396,183 66,899,239 34,367,588 532,751,723 264,152,805 565,400,677 284,548,988 565,400,677$ 284,548,988$ 632,299,916$ 318,916,576$ (386)$ -$ 7,316$ -$ 17,491,938 9,590,596 19,450,887 10,566,516 6,323,610 2,418,065 6,168,110 2,577,887 1,875,529 906,270 40,706,669 21,245,779 (21,009,168) (11,124,582) (23,354,942) (11,825,080) (217,443) (114,150) (533,363) (279,011) - - - - 4,464,080 1,676,199 42,444,677 22,286,091 356,786,987 187,300,145 361,251,067 188,976,344 361,251,067$ 188,976,344$ 403,695,744$ 211,262,435$ 204,149,610$ 95,572,644$ 228,604,172$ 107,654,141$

63.89% 66.41% 63.85% 66.24%
74,134,013$ 26,276,305$ 74,820,705$ 25,815,804$ 275.38% 363.72% 305.54% 417.01%
2017
June 30, 2016
2018
June 30, 2017
115
Miscellaneous Safety Miscellaneous Safety Miscellaneous Safety 15,197,311$ 8,932,221$ 14,927,042$ 9,116,368$ 14,943,938$ 9,042,832$ 44,939,359 22,591,319 47,819,167 23,857,020 50,429,001 25,312,431 8,065,105 5,319,784 9,146,285 (140,829) 5,475,145 2,619,056 (5,705,470) (6,138,658) - - - - (27,471,425) (13,202,641) (30,270,138) (14,342,692) (33,187,110) (16,057,838) 35,024,880 17,502,025 41,622,356 18,489,867 37,660,974 20,916,481 632,299,916 318,916,576 667,324,796 336,418,601 708,947,152 354,908,468 667,324,796$ 336,418,601$ 708,947,152$ 354,908,468$ 746,608,126$ 375,824,949$ (1,010)$ (530)$ -$ -$ -$ -$ 19,671,137 10,743,429 21,557,305 11,972,740 24,661,517 13,409,112 6,408,266 2,505,197 6,237,988 2,593,796 6,469,454 2,754,718 34,705,395 17,996,253 29,023,516 15,176,590 23,210,947 12,273,184 (27,471,425) (13,202,641) (30,270,138) (14,342,692) (33,187,110) (16,057,838) (629,069) (329,205) (310,557) (162,955) (650,494) (343,399) (1,194,613) (625,166) 1,010 530 - - 31,488,681 17,087,337 26,239,124 15,238,009 20,504,314 12,035,777 403,695,744 211,262,435 435,184,425 228,349,772 461,423,549 243,587,781 435,184,425$ 228,349,772$ 461,423,549$ 243,587,781$ 481,927,863$ 255,623,558$ 232,140,371$ 108,068,829$ 247,523,603$ 111,320,687$ 264,680,263$ 120,201,391$

65.21% 67.88% 65.09% 68.63% 64.55% 68.02%
77,213,278$ 27,411,760$ 79,529,676$ 28,234,113$ 80,417,208$ 27,578,559$ 300.65% 394.24% 311.23% 394.28% 329.13% 435.85%
2020 20212019
June 30, 2018 June 30, 2019 June 30, 2020
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CITY OF ROSEVILLE

SCHEDULE OF CONTRIBUTIONS - PENSIONS
LAST TEN YEARS**
Valuation Date
Miscellaneous Safety Miscellaneous Safety
Actuarial Determined Contribution 15,872,491$ 9,015,161$ 17,564,085$ 9,409,229$ (15,872,491) (9,015,161) (17,564,085) (9,409,229) -$ -$ -$ -$ Covered payroll 67,642,462$ 25,304,421$ 70,574,246$ 25,172,485$ Contributions as a percentage of covered payroll 23.47% 35.63% 24.89% 37.38% Notes to Schedule:

Methods and assumptions used to determine contribution rates:

Actuarial cost method
Amortization method
Asset valuation method
Inflation
Salary increases
Payroll growth
Investment rate of return
Retirement age
Mortality
**Historical information is required only for measurement periods for which GASB 68 is applicable. Fiscal Year 2015 was the first year of implementation, therefore only seven years are shown.

The mortality table used was developed based on CalPERS’ specific data. The table includes 15 years of mortality improvements using 90 percent of Society of Actuaries' Scale 2016. For more details on this table, please refer to the 2017 experience study report.

All other actuarial assumptions used in the June 30, 2018 valuation were based on the results of an actuarial experience study for the period from 1997 to 2015, including updates to salary increase, mortality and retirement rates. The Experience Study report may be accessed on the CalPERS website at www.calpers.ca.gov under Forms and Publications.

2.75%

7.00%, net of pension plan investment expenses, including inflation.

Varies by Entry Age and Service
Market Value

2.50%
Contribution in relation to the Actuarially Determined Contribution Contribution Deficiency (Excess)
Entry age normal cost method
Level percentage of pay, a summary of the current policy is provided in the table below:

June 30, 2013 June 30, 2014
2015 2016
118
Miscellaneous Safety Miscellaneous Safety
19,896,723$ 11,655,656$ 18,499,075$ 11,936,348$ (19,896,723) (11,655,656) (18,499,075) (11,936,348) -$ -$ -$ -$ 74,820,705$ 25,815,804$ 79,210,839$ 27,559,890$

26.59% 45.15% 23.35% 43.31%
June 30, 2015 June 30, 2016
2017 2018
Entry age normal cost method
Level percentage of pay, a summary of the current policy is provided in the table below:

2.75%

7.00%, net of pension plan investment expenses, including inflation.

Varies by Entry Age and Service
Market Value

2.50%
119
Miscellaneous Safety Miscellaneous Safety Miscellaneous Safety 20,601,494$ 12,920,861$ 23,130,931$ 15,077,558$ 27,226,777$ 15,061,145$ (20,601,494) (12,920,861) (23,130,931) (15,077,558) (27,226,777) (15,061,145) -$ -$ -$ -$ -$ -$ 81,801,133$ 26,701,606$ 80,417,208$ 27,578,559$ 86,494,346$ 29,053,134$

25.18% 48.39% 28.76% 54.67% 31.48% 51.84%
2020 2021
June 30, 2017 June 30, 2018 June 30, 2019
2019
120

CITY OF ROSEVILLE
SCHEDULE OF CHANGES IN THE CITY’S NET OPEB LIABILITY AND RELATED RATIOS LAST TEN YEARS**
2018 2019 2020 2021
Measurement Date June 30, 2018 June 30, 2019 June 30, 2020 June 30, 2020 Total OPEB Liability
Service cost 6,665,000$ 6,021,000$ 5,701,000$ 5,414,588$ Interest on the total OPEB liability 15,256,000 14,291,000 14,961,000 14,125,116 Differences between expected and actual experiences (29,958,000) - (17,999,000) - Changes in assumptions 11,123,000 - (5,591,000) 7,744,727 Benefit payments, including refunds of employee contributions (8,449,000) (8,550,000) (9,988,000) (10,333,464) Net change in total OPEB liability (5,363,000) 11,762,000 (12,916,000) 16,950,967 Total OPEB liability - beginning 232,271,000 226,908,000 238,670,000 225,754,000 Total OPEB liability - ending (a) 226,908,000 238,670,000 225,754,000 242,704,967 Plan Fiduciary Net Position
Contributions - employer 14,213,477 15,342,178 16,425,867 15,353,152 Miscellaneous revenue - 69,429 - - Net investment income 5,902,312 7,122,750 5,318,871 28,457,423 Benefit payments (8,449,000) (8,550,000) (9,988,000) (10,333,464) Administrative expenses (210,775) (144,591) (34,934) (81,197) Net change in plan fiduciary net position 11,456,014 13,839,766 11,721,804 33,395,914 Plan fiduciary net position - beginning 72,663,626 84,119,640 97,959,406 109,681,210 Plan fiduciary net position - ending (b) 84,119,640 97,959,406 109,681,210 143,077,124 Net OPEB Liability/(Assets) - ending (a) - (b) 142,788,360$ 140,710,594$ 116,072,790$ 99,627,843$ Plan fiduciary net position as a percentage of the total OPEB liability 37.07% 41.04% 48.58% 58.95% Covered-employee payroll 106,770,729$ 108,508,739$ 107,995,767$ 115,547,480$ Net OPEB liability as a percentage of covered-employee payroll 133.73% 129.68% 107.48% 86.22% (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 10 years as information becomes available. 121

CITY OF ROSEVILLE
SCHEDULE OF CONTRIBUTIONS – OPEB
LAST TEN YEARS**
2018 2019 2020 2021
Valuation Date June 30, 2017 June 30, 2017 June 30, 2019 June 30, 2019 15,132,000$ 15,342,000$ 13,739,000$ 14,026,000$ (14,213,000) (15,226,000) (16,485,000) (15,353,152) 919,000$ 116,000$ (2,746,000)$ (1,327,152)$ 106,770,729$ 108,508,739$ 107,995,767$ 115,547,480$

13.31% 14.03% 15.26% 13.29%
Notes to Schedule:

Methods and assumptions used to determine contributions:

Most Recent Valuation Date June 30, 2019
Actuarial Cost Method
Amortization Method
Asset Valuation Method
Inflation
Salary Increase
Discount rate
Mortality
Contribution Deficiency (Excess)
Covered-employee payroll
Contributions as a percentage of covered-employee payroll Actuarially Determined Contribution
Level percent of pay
Contribution in Relation to the Actuarially Determined Contributions ** 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 10 years as information becomes available.

Entry Age Normal, level percent of payroll
Investment gains and losses spread over 5 year rolling period Derived using CalPERS membership data

6.25%

2.75%
Aggregate of 3.00%
122

MODIFIED APPROACH TO REPORTING STREET PAVEMENT COSTS

GASB Statement No. 34 allows the City to use the Modified Approach with respect to infrastructure assets instead of depreciating these assets. The Modified Approach may be used if two requirements are met:

a. The City must have an asset management system (AMS) with certain features:

 It must maintain an up-to-date inventory of the infrastructure assets.  It must estimate the annual costs to maintain and preserve those assets at the condition level the City has established and disclosed through administrative or executive policy or legislative action.  The AMS must be used to assess the condition of the assets periodically, using a measurement scale.
 The condition assessments must be replicable as those that are based on sufficiently understandable and complete measurement methods such that different measurers using the same methods would reach subst antially similar results.

b. The City must document that the roads are being preserved approximately at or above the condition level the City has established and disclosed. This doc umentation must include the results of the three most recent complete condition assessments and mu st provide reasonable assurance that the assets are being preserved approximately at or above the intended condition level.

Street Pavement

The City has elected to use the Modified Approach to report street pavement costs. The City uses a computerized Pavement Management System to track the condition levels of each of the street sections.

The condition of the pavement is based on a weighted average of seven distress factors found in pavement surfaces. The pavement management system uses a measurement scale that is based on a condition index ranging from zero for a failed pavement to 100 for pa vement with perfect condition. The condition index is used to classify pavement in good or better condition (70-100), fair condition (55–69), and substandard condition (less than 55).

The City’s maintenance costs are budgeted to be $4,588,932 in fiscal year 2022. The Pavement Quality Index (PQI) for the City’s street pavement for the last five years is as follows:

Fiscal Year
Arterial/
Collector Residential
Maintenance
Budget
Actual
Maintenance
2017 72 69 14,379,921 $ 11,893,473 $
2018 72 70 3,491,657 5,154,352
2019 74 69 3,136,162 12,387,602
2020 70 66 5,265,978 10,948,940
2021 69 66 20,696,490 6,033,245
PQI

The City’s policy based on current funding is to mainta in arterial and collector roadways at an average Pavement Quality Index (PQI) of 72 and residential r oadways at an average PQI of 65. This rating allows for minor cracking and reveling of the pavement alo ng with minor roughness that could be noticeable to drivers traveling at posted speed. The City expended $6,033,245 for street preservation in fiscal year 2021. 123

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124

CITY OF ROSEVILLE

NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2021

Note 1: Budgeting Procedures

The City follows these procedures in establishing the budgetary data:

a. The City Manager submits to the City Council a proposed operating budget for the fiscal year commencing the following July 1. The operati ng budget includes proposed expenditures and the means of financing them.
b. Public hearings are conducted to obtain taxpayer comments. c. The budget is legally enacted through passage of minute order and ordinance. d. The City Manager or designee is authorized to apply prudent monitoring procedures to assure that actual expenditures/expenses of the City do not exceed the appropriations at the department level within each fund in conformance with the adopted policies set by the City Council. Capital Improvement Projects, including annual projects, ma y not exceed budget at the total project level.

Additional appropriations or interfund transfers not included in the original budget ordinance require approval by the City Council.
e. Expenditures may not legally exceed budgeted appropriations at the department by fund. f. A formal budgetary process is employed as a management control device during the year. g. Budgets are adopted for all governmental funds. In addition, the capital projects funds are budgeted on a project length basis and therefore are not comparable on an annual basis.

For fiscal year 2020-21, budgets have not been adopted for the following funds:
a. Housing Authority Housing Choice Voucher Fund
b. Roseville Community Development Corporation Fund

Note 2: Adjustments to GAAP Basis from Budgetary Basis

City budgets are adopted on a basis consistent with generally accepted accounting principles (GAAP) except that capital projects expenditures are budgeted on a project length basis rather than a fiscal year.

The effects of these differences are shown as capital outlay in the budget and actual statements.

Note 3: Encumbrances

Under encumbrance accounting, purchase orders, contracts and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation. Encumbrance accounting is employed as an extension of formal budgetary integration in all budgeted funds.

Encumbrances outstanding at year end are reported as restricted, committed or assigned fund balances, as applicable, since they do not constitute expenditures or liabilities and are reappropriated in the following year. Unexpended appropriations lapse at year end and must be carried forward to be reappropriated in the following year.

Note 4: Budgets Exceeding Appropriations

General Fund
Capital outlay 321,728 $
Other expenditures 1,374,673
Interest and fiscal charges 6,917

125

NON-MAJOR GOVERNMENTAL FUNDS

Special Revenue Funds

Special revenue funds are used to account for and report the proceeds of specific revenue sources that are restricted or committed to expenditure for specified purposes other than debt service or capital projects.

Landscape and Lighting and Service Districts Fund . To account for the collection of assessment revenue from property owners for the maintenance of surroun ding park and landscaping improvements within the boundaries of each district.

State Gasoline Tax Fund. To account for revenue apportioned to the City from the State-collected gas tax revenues and spent for construction and maintenance of City streets.

Traffic Safety Fund. To account for the City’s share of fines generated from violations of the State Motor Vehicle Code.

Trench Cut Recovery Fund. To account for the collection of fees charged by the City for cutting trenches in paved roadway and spent for maintaining the street if useful life is decreased.

Technology Replacement Fund. To account for the activities related to the City’s permit system funded by a 3 percent technology fee on permits.

Open Space Fund. To account for the accumulation of funding for the maintenance of the City’s bike trails and open spaces.

Tree Propagation Fund. To account for fees assessed on oak tree removal and expended on the continuation and preservation of tree planting within the City.

Grants Fund. To account for monies various housing and police grants received from federal, state, and local grantors.

Housing Authority Housing Choice Voucher Fund. To account for monies received from the U.S. Department of Housing and Urban Development and expended for rent al assistance to low income households within the Roseville and Rocklin areas.

Affordable Housing Fund. To account for monies received from property whose land use was changed from residential to commercial and from affordable housing agreements. These monies are then used to fund other affordable housing projects.

Low/Mod Income Housing Asset Fund. To account for the activities related to the assets assumed by the City as Housing Successor to the housing activities of the former Redevelopment Agency of the City of Roseville.

Cable TV PEG Fund. To account for activity related to Public, Educational, and Governmental Access TV Channels.

Police Evidence Fund. To account for confiscated property and evidence funds for the Police department.

Roseville Community Development Corporation Fund . To account for revenues and expenditures of the Corporation for economic development, affordable housing and other community programs.

Golf Fund. This fund accounts for all financial transacti ons associated relating to the development, operations, and maintenance of the City’s public golf courses.

126

NON-MAJOR GOVERNMENTAL FUNDS (CONTINUED)

Roseville Aquatics Complex Maintenance Fund. A permanent fund established to account for contribution from the High School District. Only the interest earnings can be spent on helping maintain the Aquatics Complex.

Capital Projects Funds

Capital projects funds are used to account for and report financial resources that are restricted, committed, or assigned to expenditure for capital outlays, includi ng the acquisition or construction of capital facilities and other capital assets. Capital projects funds exclude those types of capital-related outflows financed by proprietary funds or for assets that will be held in trust for individuals, privat e organizations, or other governments.

Development Impact Fee Fund . To account for fees applied to new construction and expended for the development of public facilities for which it creates a need.

Traffic Mitigation Fund. To account for revenues and expenditures related to major roadways and related structures such as bridges or interchanges.

Al Johnson Wildlife Area Fund. To account for activity related to the maintenance of the AL Johnson Wildlife area.

Roadway Fund. To account for non-Gas Tax grants and other restricted revenues to construct and or maintain City streets.

General Fund Capital Projects Rehabilitation Fund . To account for the approved rehabilitation of existing City property funded by the General Fund.

RFA Capital Projects Fund . To account for specific public improvements such as streets, sewers, storm drains, sidewalks or other amenities funded by special assessments against benefited properties.

Debt Service Fund

Debt service funds are used to account for and report financial resources that are restricted, committed, or assigned to expenditure for principal and interest.

Roseville Finance Authority Fund. To account for the accumulation of resources from lease payments and the payment of long-term debt incurred by the Finance Authority.

Permanent Fund

Permanent funds are used to account for and report res ources that are restricted to the extent that only earnings, and not principal, may be used for purpos es that support the reporting government’s programs—that is, for the benefit of the government or its citizenry.

Citizens Benefit Fund. A permanent fund established to account for the proceeds from the sale of any municipally owned Hospital and interest earnings expended for improving the quality of life for the citizens of the City of Roseville.
127

CITY OF ROSEVILLE

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments 14,645,165$ 12,173,810$ 813,310$ 161,157$ Receivables- due from other government agencies 503,743 567,257 36,969 420 Notes and loans - 608,167 - - Prepaids - - - - Developer permit fees receivable - - - - Due from other governments - - - - Restricted assets:

Cash and investments with fiscal agents - - - - Total Assets 15,148,908$ 13,349,234$ 850,279$ 161,577$ Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable 372,513$ 254,870$ 83,620$ -$ Accrued liabilities - 16,182 - - Unearned revenues 50,736 - - - Deposits payable - - - - Due to other government agencies - - - - Due to other funds - - - - Advances from other funds - - - - Total Liabilities 423,249 271,052 83,620 - Deferred inflows of resources:

Unavailable revenues - - - - Total Deferred Inflows of Resources - - - - Fund Balances:

Nonspendable - - - - Restricted 14,725,659 13,078,182 766,659 161,577 Assigned - - - - Unassigned - - - - Total Fund Balances (Deficits) 14,725,659 13,078,182 766,659 161,577 Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 15,148,908$ 13,349,234$ 850,279$ 161,577$ Landscape
and Lighting
Districts and
Services
District
State
Gasoline Tax Traffic Safety
Trench Cut
Recovery Fund
Special Revenue Funds
128

CITY OF ROSEVILLE

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables- due from other government agencies
Notes and loans
Prepaids
Developer permit fees receivable
Due from other governments
Restricted assets:

Cash and investments with fiscal agents
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other government agencies
Due to other funds
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

(CONTINUED)
2,230,976$ 949,836$ 2,088,526$ 15,957,331$ 3,314 885 5,756 1,874,577 - - - 12,527,706 - - - 15,690 - - - - - - - - - - - - 2,234,290$ 950,721$ 2,094,282$ 30,375,304$ 6,199$ 33,071$ 3,323$ 84,623$ - - - 3,200 - - - 8,822,430 - - - - - - - - - - - - - - - - 6,199 33,071 3,323 8,910,253 - - - 13,903,741 - - - 13,903,741 - - - 15,690 2,228,091 917,650 2,090,959 7,545,620 - - - - - - - - 2,228,091 917,650 2,090,959 7,561,310 2,234,290$ 950,721$ 2,094,282$ 30,375,304$ Tree
Propagation Grants
Technology
Replacement Open Space
Special Revenue Funds
129

CITY OF ROSEVILLE

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables- due from other government agencies
Notes and loans
Prepaids
Developer permit fees receivable
Due from other governments
Restricted assets:

Cash and investments with fiscal agents
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other government agencies
Due to other funds
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

786,429$ 7,742,646$ 1,886,783$ 1,862,586$ 42,198 618,875 1,410,401 97,406 - 16,998,513 14,051,336 - - - - - - - - - - - - - 66,185 - - - 894,812$ 25,360,034$ 17,348,520$ 1,959,992$ 5,796$ 40,146$ 231$ 255$ 62,507 16,987 675 - - - - - - - - - 66,185 1,423 - - - - - - - - - - 134,488 58,556 906 255 - 17,598,513 11,461,434 - - 17,598,513 11,461,434 - - - - - 760,324 7,702,965 5,886,180 1,959,737 - - - - - - - - 760,324 7,702,965 5,886,180 1,959,737 894,812$ 25,360,034$ 17,348,520$ 1,959,992$ Housing
Authority
Choice
Housing
Voucher
Affordable
Housing
Low/Mod
Income
Housing Asset Cable TV Peg
Special Revenue Funds
130

CITY OF ROSEVILLE

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables- due from other government agencies
Notes and loans
Prepaids
Developer permit fees receivable
Due from other governments
Restricted assets:

Cash and investments with fiscal agents
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other government agencies
Due to other funds
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

(CONTINUED)
339,536$ 2,943,731$ 750,577$ 608,069$ 598 - 551,139 1,170 - - - - - - - - - - - - - - - - - - - - 340,134$ 2,943,731$ 1,301,716$ 609,239$ 297$ 1,475,951$ 150,791$ -$ - - 2,324,044 - - - - - - - - - - - - - - - 127,000 36,537 - - 1,861,000 - 297 1,475,951 4,462,835 36,537 - - - - - - - - - - - - 339,837 1,467,780 - 572,702 - - - - - - (3,161,119) - 339,837 1,467,780 (3,161,119) 572,702 340,134$ 2,943,731$ 1,301,716$ 609,239$ Police
Evidence
Roseville
Community
Development
Corporation Golf
Roseville
Aquatics
Complex
Maintenance
Special Revenue Funds
131

CITY OF ROSEVILLE

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables- due from other government agencies
Notes and loans
Prepaids
Developer permit fees receivable
Due from other governments
Restricted assets:

Cash and investments with fiscal agents
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other government agencies
Due to other funds
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

80,186,527$ 32,487,406$ 1,293,175$ 1,560,735$ 3,402,660 73,999 2,882 1,542,205 601,397 361 - - - - - - 4,287,576 1,806,463 - - - 6,181,468 - - - - - - 88,478,160$ 40,549,697$ 1,296,057$ 3,102,940$ 45,393$ 588,331$ -$ 700,610$ 53,657 - - - - - - - 10,000 - - - - - - 3,870 1,380,223 - - - 8,040,440 - - - 9,529,713 588,331 - 704,480 3,244,890 6,181,468 - - 3,244,890 6,181,468 - - - - - - 75,703,557 33,779,898 1,296,057 2,398,460 - - - - - - - - 75,703,557 33,779,898 1,296,057 2,398,460 88,478,160$ 40,549,697$ 1,296,057$ 3,102,940$ Traffic
Mitigation
Al Johnson
Wildlife Area Roadway
Development
Impact
Capital Projects Funds
132

CITY OF ROSEVILLE

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables- due from other government agencies
Notes and loans
Prepaids
Developer permit fees receivable
Due from other governments
Restricted assets:

Cash and investments with fiscal agents
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other government agencies
Due to other funds
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

(CONTINUED)
Debt Service
Fund
Permanent
Fund
9,442,350$ 2,748,966$ -$ 17,221,880$ 37,051 - 10,310 58,154 - - - - - - - - - - - - - - - - - - - - 9,479,401$ 2,748,966$ 10,310$ 17,280,034$ 230,227$ 7,018$ -$ 8,320$ - - - - - - - - - - - - - - - - - - 61,780 - - - - - 230,227 7,018 61,780 8,320 - - - - - - - - - - - 17,271,714 - 2,741,948 - - 9,249,174 - - - - - (51,470) - 9,249,174 2,741,948 (51,470) 17,271,714 9,479,401$ 2,748,966$ 10,310$ 17,280,034$ Citizen
Benefit
Roseville
Finance
Authority
General Fund
Capital
Projects
RFA Capital
Projects
Capital Projects Funds
133

CITY OF ROSEVILLE

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables- due from other government agencies
Notes and loans
Prepaids
Developer permit fees receivable
Due from other governments
Restricted assets:

Cash and investments with fiscal agents
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other government agencies
Due to other funds
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Total
Governmental
Funds
210,881,507$
10,841,969
44,787,480
15,690
6,094,039
6,181,468
66,185
278,868,338$
4,091,585$
2,477,252
8,873,166
10,000
71,478
1,605,540
9,901,440
27,030,461
52,390,046
52,390,046
17,287,404
176,123,842
9,249,174
(3,212,589)
199,447,831
278,868,338$
134

THIS PAGE INTENTIONALLY LEFT BLANK
135

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021

Revenues:

Taxes 12,789,990$ -$ -$ -$ Subvention and grants - 3,275,418 - - Charges for services - - - - Use of money and property 30,141 (515) (1,679) (49) Fines, forfeitures and penalties - - 150,401 - Contributions from developers and others - 2,691,110 - - Miscellaneous revenues 165,920 - - - Revenue from others - - - - Total Revenues 12,986,051 5,966,013 148,722 (49) Expenditures:

Current:

General government - - - - Police - - 106,130 - Economic development - - - - Parks and recreation 6,384,168 - - - Public works - 3,232,007 156,658 - Development services - - - - Housing assistance payments - - - - Capital outlay 142,854 669,522 - - Debt service:

Principal retirement - - - - Interest and fiscal charges - - - - Total Expenditures 6,527,022 3,901,529 262,788 - Excess (Deficiency) of Revenues
Over (Under) Expenditures 6,459,029 2,064,484 (114,066) (49) Other Financing Sources (Uses):

Transfers in - - - - Transfers out (5,677,838) - - - Proceeds from sale of capital assets - - - - Total Other Financing Sources
(Uses) (5,677,838) - - - Net Change in Fund Balances 781,191 2,064,484 (114,066) (49) Fund Balances, Beginning of Year 13,944,468 11,013,698 880,725 161,626 Fund Balances, End of Year 14,725,659$ 13,078,182$ 766,659$ 161,577$ Landscape
and Lighting
Districts and
Services
District
State
Gasoline Tax Traffic Safety
Trench Cut
Recovery
Fund
Special Revenue Funds
136

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021

Revenues:

Taxes
Subvention and grants
Charges for services
Use of money and property
Fines, forfeitures and penalties
Contributions from developers and others
Miscellaneous revenues
Revenue from others
Total Revenues
Expenditures:

Current:

General government
Police
Economic development
Parks and recreation
Public works
Development services
Housing assistance payments
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
Proceeds from sale of capital assets
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

(CONTINUED)
-$ -$ -$ -$ - - - 8,286,564 778,624 - 45,770 1,328 1,814 (3,059) (954) 25,578 - - - - - - - - - 10,447 - - - - - 25,888 780,438 7,388 44,816 8,339,358 - - - 1,838,027 - - - 994,029 - - - - - 611,430 208,551 - - - - - 244,949 - - - - - - - 14,399 - - - - - - - - - - - 259,348 611,430 208,551 2,832,056 521,090 (604,042) (163,735) 5,507,302 - 634,777 - - - - - (135,000) - - - - - 634,777 - (135,000) 521,090 30,735 (163,735) 5,372,302 1,707,001 886,915 2,254,694 2,189,008 2,228,091$ 917,650$ 2,090,959$ 7,561,310$ Tree
Propagation Grants
Technology
Replacement Open Space
Special Revenue Funds
137

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021

Revenues:

Current:

General government
Police
Economic development
Parks and recreation
Public works
Development services
Housing assistance payments
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
Proceeds from sale of capital assets
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

-$ -$ -$ -$ 6,840,858 1,459,641 176,104 -
- 35,903 134,472 363,510 64 21,675 35,465 (4,471) - - - - - 3,600 - - 4,970 395,174 - - - - - - 6,845,892 1,915,993 346,041 359,039 - - - 239,233 - - - - - - 99,383 - - - - - - - - - 815,271 233,259 - - 5,706,057 - - - - - - - - - - - - - - - 6,521,328 233,259 99,383 239,233 324,564 1,682,734 246,658 119,806 - - - 34,555 - - - - - - - - - - - 34,555 324,564 1,682,734 246,658 154,361 435,760 6,020,231 5,639,522 1,805,376 760,324$ 7,702,965$ 5,886,180$ 1,959,737$ Housing
Authority
Choice
Housing
Voucher
Affordable
Housing
Low/Mod
Income
Housing Asset Cable TV Peg
Special Revenue Funds
138

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021

Revenues:

Current:

General government
Police
Economic development
Parks and recreation
Public works
Development services
Housing assistance payments
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
Proceeds from sale of capital assets
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

(CONTINUED)
-$ -$ -$ -$ - - - - - - 2,999,732 - 464 4,928 1,964 (7,038) - - - - - - - - 115,994 - 6,000 - - - - 600,000 116,458 4,928 3,007,696 592,962 - - - - 24,982 - - - - - - - - - 2,282,445 50,629 - - - - - 82,339 - - - - - - - - - - - - - - - - 43,358 - 24,982 82,339 2,325,803 50,629 91,476 (77,411) 681,893 542,333 - - 1,004,749 - - - (481,735) - - 321,609 - - - 321,609 523,014 - 91,476 244,198 1,204,907 542,333 248,361 1,223,582 (4,366,026) 30,369 339,837$ 1,467,780$ (3,161,119)$ 572,702$ Police
Evidence
Roseville
Community
Development
Corporation Golf
Roseville
Aquatics
Complex
Maintenance
Special Revenue Funds
139

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021

Revenues:

Current:

General government
Police
Economic development
Parks and recreation
Public works
Development services
Housing assistance payments
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
Proceeds from sale of capital assets
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

-$ -$ -$ -$ - - - 5,789,195 25,280,419 10,632,170 - - 28,965 (208) 61,795 (27,452) - - - - - 542,613 - - 43,540 - - - - 1,470,887 - - 25,352,924 12,645,462 61,795 5,761,743 82,064 39,483 - - - - - - - - - - 136,296 - 267 - 135,928 499,941 - 249,535 89,191 - - - - - - - 6,282,050 4,071,889 - 6,100,795 - - - - 264,120 - - - 6,989,649 4,611,313 267 6,350,330 18,363,275 8,034,149 61,528 (588,587) 747,340 - - 1,742,501 (166,065) - - (1,200,000) - - - - 581,275 - - 542,501 18,944,550 8,034,149 61,528 (46,086) 56,759,007 25,745,749 1,234,529 2,444,546 75,703,557$ 33,779,898$ 1,296,057$ 2,398,460$ Traffic
Mitigation
Al Johnson
Wildlife Area Roadway
Development
Impact
Capital Projects Funds
140

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021

Revenues:

Current:

General government
Police
Economic development
Parks and recreation
Public works
Development services
Housing assistance payments
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
Proceeds from sale of capital assets
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

(CONTINUED)
Debt Service
Fund
Permanent
Fund
-$ -$ -$ -$ - - - - 32,622 - - - (13,077) 8,104 7,818 (122,146) - - - - - - - - 12,893 - - 1,754 - 1,403,828 - - 32,438 1,411,932 7,818 (120,392) - - - - - - - - - - - - 1,307,114 - - - 181,556 - - - - - - 1,450,640 - - - - 1,163,275 263,051 - - - - 1,613,400 - - - 764,889 - 2,651,945 263,051 2,378,289 1,450,640 (2,619,507) 1,148,881 (2,370,471) (1,571,032) 707,000 - 2,378,287 1,044,840 - (619,334) - - - - - - 707,000 (619,334) 2,378,287 1,044,840 (1,912,507) 529,547 7,816 (526,192) 11,161,681 2,212,401 (59,286) 17,797,906 9,249,174$ 2,741,948$ (51,470)$ 17,271,714$ Citizen
Benefit
Roseville
Finance
Authority
General Fund
Capital
Projects
RFA Capital
Projects
Capital Projects Funds
141

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021

Revenues:

Current:

General government
Police
Economic development
Parks and recreation
Public works
Development services
Housing assistance payments
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
Proceeds from sale of capital assets
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
Total
Governmental
Funds
12,789,990$
25,827,780
40,304,550
48,127
150,401
3,237,323
756,692
3,500,603
86,615,466
2,198,807
1,125,141
99,383
10,980,900
4,455,625
2,915,649
5,706,057
18,707,835
1,613,400
1,072,367
48,875,164
37,740,302
8,294,049
(8,279,972)
321,609
335,686
38,075,988
161,371,843
199,447,831$
142

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

LANDSCAPE AND LIGHTING DISTRICTS AND SERVICES DISTRICT
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Taxes 15,409,643$ 12,712,242$ 12,789,990$ 77,748$
Use of money and property 156,478 156,478 30,141 (126,337) Miscellaneous revenues - 49,000 165,920 116,920 Total Revenues 15,566,121 12,917,720 12,986,051 68,331 Expenditures:

Current:

Operating services and supplies
Parks and recreation 7,118,015 7,298,855 6,384,168 914,687 Capital outlay - 126,000 142,854 (16,854) Total Expenditures 7,118,015 7,424,855 6,527,022 897,833 Excess (Deficiency) of Revenues
Over (Under) Expenditures 8,448,106 5,492,865 6,459,029 966,164 Other Financing Sources (Uses):

Transfers out (5,675,086) (5,677,839) (5,677,838) 1 Total Other Financing Sources (Uses) (5,675,086) (5,677,839) (5,677,838) 1 Net Change in Fund Balance 2,773,020$ (184,974)$ 781,191 966,165$ Fund Balance, July 1 13,944,468
Fund Balance, June 30 14,725,659$
143

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

STATE GASOLINE TAX
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Subventions and grants 3,520,622$ 11,925,744$ 3,275,418$ (8,650,326)$ Use of money and property 274,929 274,929 (515) (275,444) Contributions from developers and others 2,637,415 2,637,415 2,691,110 53,695 Total Revenues 6,432,966 14,838,088 5,966,013 (8,872,075) Expenditures:

Current:

Operating services and supplies
Public works 5,441,096 7,619,096 3,232,007 4,387,089 Capital outlay - 7,512,990 669,522 6,843,468 Total Expenditures 5,441,096 15,132,086 3,901,529 11,230,557 Excess (Deficiency) of Revenues
Over (Under) Expenditures 991,870 (293,998) 2,064,484 2,358,482 Other Financing Sources (Uses):

Transfers in 1,342,959 - - - Total Other Financing Sources (Uses) 1,342,959 - - - Net Change in Fund Balance 2,334,829$ (293,998)$ 2,064,484 2,358,482$ Fund Balance, July 1 11,013,698
Fund Balance, June 30 13,078,182$
144

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TRAFFIC SAFETY
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property 19,756$ 19,756$ (1,679)$ (21,435)$ Fines, forfeitures and penalties 230,000 230,000 150,401 (79,599) Total Revenues 249,756 249,756 148,722 (101,034) Expenditures:

Current:

Operating services and supplies
Police 109,074 109,074 106,130 2,944 Public works 200,000 200,000 156,658 43,342 Total Expenditures 309,074 309,074 262,788 46,286 Excess (Deficiency) of Revenues
Over (Under) Expenditures (59,318) (59,318) (114,066) (54,748) Net Change in Fund Balance (59,318)$ (59,318)$ (114,066) (54,748)$ Fund Balance, July 1 880,725
Fund Balance, June 30 766,659$
145

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TRENCH CUT RECOVERY FUND
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 5,000$ 5,000$ -$ (5,000)$ Use of money and property 3,069 3,069 (49) (3,118) Total Revenues 8,069 8,069 (49) (8,118) Net Change in Fund Balance 8,069$ 8,069$ (49) (8,118)$ Fund Balance, July 1 161,626
Fund Balance, June 30 161,577$
146

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TECHNOLOGY REPLACEMENT
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 759,000$ 559,000$ 778,624$ 219,624$ Use of money and property 30,719 30,719 1,814 (28,905) Total Revenues 789,719 589,719 780,438 190,719 Expenditures:

Current:

Operating services and supplies
Development and operations 536,000 589,529 244,949 344,580 Capital outlay - - 14,399 (14,399) Total Expenditures 536,000 589,529 259,348 330,181 Excess (Deficiency) of Revenues
Over (Under) Expenditures 253,719 190 521,090 520,900 Net Change in Fund Balance 253,719$ 190$ 521,090 520,900$ Fund Balance, July 1 1,707,001
Fund Balance, June 30 2,228,091$
147

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

OPEN SPACE
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property 15,118$ 15,118$ (3,059)$ (18,177)$ Miscellaneous revenues 10,447 10,447 10,447 - Total Revenues 25,565 25,565 7,388 (18,177) Expenditures:

Current:

Operating services and supplies
Parks and recreation 673,712 673,712 611,430 62,282 Total Expenditures 673,712 673,712 611,430 62,282 Excess (Deficiency) of Revenues
Over (Under) Expenditures (648,147) (648,147) (604,042) 44,105 Other Financing Sources (Uses):

Transfers in 634,777 634,777 634,777 - Total Other Financing Sources (Uses) 634,777 634,777 634,777 - Net Change in Fund Balance (13,370)$ (13,370)$ 30,735 44,105$ Fund Balance, July 1 886,915
Fund Balance, June 30 917,650$
148

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TREE PROPAGATION
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 35,000$ 35,000$ 45,770$ 10,770$ Use of money and property 44,751 44,751 (954) (45,705) Total Revenues 79,751 79,751 44,816 (34,935) Expenditures:

Current:

Operating services and supplies
Parks and recreation 422,019 422,019 208,551 213,468 Total Expenditures 422,019 422,019 208,551 213,468 Excess (Deficiency ) of Revenues
Over (Under) Expenditures (342,268) (342,268) (163,735) 178,533 Net Change in Fund Balance (342,268)$ (342,268)$ (163,735) 178,533$ Fund Balance, July 1 2,254,694
Fund Balance, June 30 2,090,959$
149

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL GRANTS
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Subventions and grants 1,639,562$ 10,756,022$ 8,286,564$ (2,469,458)$ Charges for services - - 1,328 1,328 Use of money and property 29,352 29,352 25,578 (3,774) Revenue from others 15,000 15,000 25,888 10,888 Total Revenues 1,683,914 10,800,374 8,339,358 (2,461,016) Expenditures:

Current:

Operating services and supplies
General government 1,291,173 3,040,010 1,838,027 1,201,983 Public safety 159,006 7,527,100 994,029 6,533,071 Total Expenditures 1,450,179 10,567,110 2,832,056 7,735,054 Excess (Deficiency ) of Revenues
Over (Under) Expenditures 233,735 233,264 5,507,302 5,274,038 Other Financing Sources (Uses):

Transfers out (135,000) (135,000) (135,000) - Total Other Financing Sources (Uses) (135,000) (135,000) (135,000) - Net Change in Fund Balance 98,735$ 98,264$ 5,372,302 5,274,038$ Fund Balance, July 1 2,189,008
Fund Balance, June 30 7,561,310$
150

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

AFFORDABLE HOUSING
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Subventions and grants 650,000$ 650,000$ 1,459,641$ 809,641$ Charges for services - - 35,903 35,903 Use of money and property 109,527 109,527 21,675 (87,852) Contributions from developers and others - - 3,600 3,600 Miscellaneous revenues 115,000 115,000 395,174 280,174 Total Revenues 874,527 874,527 1,915,993 1,041,466 Expenditures:

Current:

Operating services and supplies
Development and operations 3,916,329 375,129 233,259 141,870 Total Expenditures 3,916,329 375,129 233,259 141,870 Excess (Deficiency ) of Revenues
Over (Under) Expenditures (3,041,802) 499,398 1,682,734 1,183,336 Net Change in Fund Balance (3,041,802)$ 499,398$ 1,682,734 1,183,336$ Fund Balance, July 1 6,020,231
Fund Balance, June 30 7,702,965$
151

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

LOW/MOD INCOME HOUSING ASSET
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 40,000$ 40,000$ 134,472$ 94,472$ Use of money and property 22,330 22,330 35,465 13,135 Total Revenues 103,494 103,494 346,041 242,547 Expenditures:

Current:

Operating services and supplies
Community development 908,642 348,809 99,383 249,426 Total Expenditures 908,642 348,809 99,383 249,426 Excess (Deficiency ) of Revenues
Over (Under) Expenditures (805,148) (245,315) 246,658 491,973 Other Financing Sources (Uses):

Transfers in 535,740 - - - Total Other Financing Sources (Uses) 535,740 - - - Net Change in Fund Balance (269,408)$ (245,315)$ 246,658 491,973$ Fund Balance, July 1 5,639,522
Fund Balance, June 30 5,886,180$
152

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

CABLE TV PEG
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 240,000$ 240,000$ 363,510$ 123,510$ Use of money and property 49,362 49,362 (4,471) (53,833) Total Revenues 289,362 289,362 359,039 69,677 Expenditures:

Current:

Operating services and supplies
General government 163,540 363,540 239,233 124,307 Total Expenditures 163,540 363,540 239,233 124,307 Excess (Deficiency ) of Revenues
Over (Under) Expenditures 125,822 (74,178) 119,806 193,984 Other Financing Sources (Uses):

Transfers in 22,712 34,555 34,555 - Total Other Financing Sources (Uses) 22,712 34,555 34,555 - Net Change in Fund Balance 148,534$ (39,623)$ 154,361 193,984$ Fund Balance, July 1 1,805,376
Fund Balance, June 30 1,959,737$
153

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

POLICE EVIDENCE
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property 4,972$ 4,972$ 464$ (4,508)$ Miscellaneous revenues 40,000 41,982 115,994 74,012 Total Revenues 44,972 46,954 116,458 69,504 Expenditures:

Current:

Operating services and supplies
Police 23,000 24,982 24,982 - Total Expenditures 23,000 24,982 24,982 - Excess (Deficiency ) of Revenues
Over (Under) Expenditures 21,972 21,972 91,476 69,504 Net Change in Fund Balance 21,972$ 21,972$ 91,476 69,504$ Fund Balance, July 1 248,361
Fund Balance, June 30 339,837$
154

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL GOLF
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 2,000,000$ 2,000,000$ 2,999,732$ 999,732$ Use of money and property 123,345 123,345 1,964 (121,381) Miscellaneous revenues - - 6,000 6,000 Total Revenues 2,123,345 2,123,345 3,007,696 884,351 Expenditures:

Current:

Operating services and supplies
Parks and recreation 2,478,197 2,478,197 2,282,445 195,752 Debt service:

Interest and fiscal charges - - 43,358 (43,358) Total Expenditures 2,478,197 2,478,197 2,325,803 152,394 Excess (Deficiency ) of Revenues
Over (Under) Expenditures (354,852) (354,852) 681,893 1,036,745 Other Financing Sources (Uses):

Transfers in 1,004,749 1,004,749 1,004,749 - Transfers out (607,539) (480,539) (481,735) (1,196) Total Other Financing Sources (Uses) 397,210 524,210 523,014 (1,196) Net Change in Fund Balance 42,358$ 169,358$ 1,204,907 1,035,549$ Fund Balance (Deficit), July 1 (4,366,026)
Fund Balance (Deficit), June 30 (3,161,119)$
155

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

ROSEVILLE AQUATICS COMPLEX MAINTENANCE
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property 9,239$ 9,239$ (7,038)$ (16,277)$ Revenue from others - 600,000 600,000 - Total Revenues 9,239 609,239 592,962 (16,277) Expenditures:

Current:

Operating services and supplies
Parks and recreation - 50,629 50,629 - Total Expenditures - 50,629 50,629 - Excess (Deficiency ) of Revenues
Over (Under) Expenditures 9,239 558,610 542,333 (16,277) Net Change in Fund Balance 9,239$ 558,610$ 542,333 (16,277)$ Fund Balance, July 1 30,369
Fund Balance, June 30 572,702$
156

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

ROSEVILLE FINANCE AUTHORITY
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ -$ 7,818$ 7,818$ Total Revenues - - 7,818 7,818 Expenditures:

Debt service:

Principal retirement 21,881,799 21,881,799 1,613,400 20,268,399 Interest and fiscal charges 11,994,847 11,994,847 764,889 11,229,958 Total Expenditures 33,876,646 33,876,646 2,378,289 31,498,357 Excess (Deficiency ) of Revenues
Over (Under) Expenditures (33,876,646) (33,876,646) (2,370,471) 31,506,175 Other Financing Sources (Uses):

Transfers in 2,496,055 2,496,055 2,378,287 (117,768) Total Other Financing Sources (Uses) 2,496,055 2,496,055 2,378,287 (117,768) Net Change in Fund Balance (31,380,591)$ (31,380,591)$ 7,816 31,388,407$ Fund Balance (Deficit), July 1 (59,286)
Fund Balance (Deficit), June 30 (51,470)$
157

CITY OF ROSEVILLE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

CITIZEN BENEFIT
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property 375,000$ 375,000$ (122,146)$ (497,146)$ Miscellaneous revenues 5,500 5,500 1,754 (3,746) Total Revenues 380,500 380,500 (120,392) (500,892) Expenditures:

Current:

Development and operations 391,666 413,575 1,450,640 (1,037,065) Total Expenditures 391,666 413,575 1,450,640 (1,037,065) Excess (Deficiency ) of Revenues
Over (Under) Expenditures (11,166) (33,075) (1,571,032) (1,537,957) Other Financing Sources (Uses):

Transfers in - 1,044,840 1,044,840 - Total Other Financing Sources (Uses) - 1,044,840 1,044,840 - Net Change in Fund Balance (11,166)$ 1,011,765$ (526,192) (1,537,957)$ Fund Balance, July 1 17,797,906
Fund Balance, June 30 17,271,714$
158

NON-MAJOR ENTERPRISE FUNDS

Local Transportation Fund

This fund accounts for the activities associated with the operations and maintenance of the City’s public transit activities and has particular emphasis on serving the elderly and the handicapped.

School-Age Child Care Fund

The fund accounts for the receip t of parent fees and State grants used to finance child development programs.
159

CITY OF ROSEVILLE

COMBINING STATEMENT OF NET POSITION

NON-MAJOR ENTERPRISE FUNDS
JUNE 30, 2021
Totals
Assets:

Current:

Cash and investments 3,617,517$ 395$ 3,617,912$ Receivables 7,405,346 220,163 7,625,509 Total Current Assets 11,022,863 220,558 11,243,421 Noncurrent:

Capital assets not being depreciated 6,881,450 - 6,881,450 Capital assets - net of accumulated depreciation 30,348,302 2,557,360 32,905,662 Total Noncurrent Assets 37,229,752 2,557,360 39,787,112 Total Assets 48,252,615$ 2,777,918$ 51,030,533$ Deferred Outflows of Resources:

Deferred outflows related to OPEB 89,000$ 484,000$ 573,000$ Deferred outflows related to pensions 448,112 1,402,790 1,850,902 Total Deferred Outflows of Resources 537,112$ 1,886,790$ 2,423,902$ Liabilities, Deferred Inflows of Resources, and Net Position:

Liabilities:

Current:

Accounts payable 882,785$ 72,749$ 955,534$ Accrued liabilities 43,094 142,055 185,149 Unearned revenues 6,779,533 87,573 6,867,106 Deposits payable 15 - 15 Due to other funds - 2,452,396 2,452,396 Accrued compensated absences 100,234 216,068 316,302 Total Current Liabilities 7,805,661 2,970,841 10,776,502 Noncurrent:

Advances from other funds - 890,000 890,000 Accrued compensated absences 133,133 77,726 210,859 Net OPEB liability 783,000 4,265,000 5,048,000 Net pension liability 2,853,772 8,933,574 11,787,346 Total Noncurrent Liabilities 3,769,905 14,166,300 17,936,205 Total Liabilities 11,575,566 17,137,141 28,712,707 Deferred Inflows of Resources:

Deferred inflows related to OPEB 371,000 2,023,000 2,394,000 Deferred inflows related to pensions 16,504 51,666 68,170 Total Deferred Inflows of Resources 387,504 2,074,666 2,462,170 Net Position:

Net investment in capital assets 37,229,752 2,557,360 39,787,112 Unrestricted (403,095) (17,104,459) (17,507,554) Total Net Position 36,826,657 (14,547,099) 22,279,558 Total Liabilities, Deferred Inflows
of Resources and Net Position 48,789,727$ 4,664,708$ 53,454,435$ Business-Type Activities - Enterprise Funds
Local
Transportation
School-Age
Child Care
160

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

NON-MAJOR ENTERPRISE FUNDS
YEAR ENDED JUNE 30, 2021
Totals
Operating Revenues:

Sales and service charges 268,884$ 2,986,556$ 3,255,440$ Miscellaneous 170,221 251,817 422,038 Total Operating Revenues 439,105 3,238,373 3,677,478 Operating Expenses:

Administration and general 1,008,429 223,920 1,232,349 Operations 6,632,947 5,607,396 12,240,343 Depreciation and amortization 1,902,734 113,988 2,016,722 Total Operating Expenses 9,544,110 5,945,304 15,489,414 Operating Income (Loss) (9,105,005) (2,706,931) (11,811,936) Nonoperating Revenues (Expenses):

Subventions and grants 13,461,259 493,578 13,954,837 Interest revenue (42,073) (15,034) (57,107) Interest expense - (20,500) (20,500) Gain (loss) on disposal of capital assets (71,265) - (71,265) Total Nonoperating
Revenues (Expenses) 13,347,921 458,044 13,805,965 Income (Loss) Before Transfers 4,242,916 (2,248,887) 1,994,029 Capital contributions from developers
and governmental activities 69,468 - 69,468 Transfers in 91,422 70,081 161,503 Changes in Net Position 4,403,806 (2,178,806) 2,225,000 Net Position:

Beginning of Year, as originally reported 32,228,018 (12,368,293) 19,859,725 Restatements 194,833 - 194,833 Beginning of Fiscal Year, as restated 32,422,851 (12,368,293) 20,054,558 End of Fiscal Year 36,826,657$ (14,547,099)$ 22,279,558$ Business-Type Activities - Enterprise Funds
Local
Transportation
School-Age
Child Care
161

CITY OF ROSEVILLE

COMBINING STATEMENT OF CASH FLOWS

NON-MAJOR ENTERPRISE FUNDS
YEAR ENDED JUNE 30, 2021
Totals
Cash Flows from Operating Activities:

Cash received from customers and users (3,903,987)$ 3,274,868$ (629,119)$ Cash paid to suppliers for goods and services (5,950,108) (1,453,668) (7,403,776) Cash paid to employees for services (1,855,402) (4,745,504) (6,600,906) Net Cash Provided (Used) by Operating Activities (11,709,497) (2,924,304) (14,633,801) Cash Flows from Non-Capital
Financing Activities:

Cash transfers in 91,422 70,081 161,503 Increase/decrease in due to other funds - 2,397,396 2,397,396 Increase/decrease in deposits - - - Subventions and grants 13,461,259 493,578 13,954,837 Net Cash Provided (Used) by
Non-Capital Financing Activities 13,552,681 2,961,055 16,513,736 Cash Flows from Capital
and Related Financing Activities:

Capital contributions 69,468 - 69,468 Acquisition and construction of capital assets (6,645,088) (380,439) (7,025,527) Interest paid on capital debt - (20,500) (20,500) Advance from other funds - (55,000) (55,000) Proceeds from sales of capital assets 22,730 - 22,730 Net Cash Provided (Used) by
Capital and Related Financing Activities (6,552,890) (455,939) (7,008,829) Cash Flows from Investing Activities:

Interest received (42,073) (15,034) (57,107) Net Cash Provided (Used) by
Investing Activities (42,073) (15,034) (57,107) Net Increase (Decrease) in Cash
and Cash Equivalents (4,751,779) (434,222) (5,186,001) Cash and Cash Equivalents at Beginning of Year 8,369,296 434,617 8,803,913 Cash and Cash Equivalents at End of Year 3,617,517$ 395$ 3,617,912$ Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:

Operating income (loss) (9,105,005)$ (2,706,931)$ (11,811,936)$ Adjustments to Reconcile Operating Income (Loss)
Net Cash Provided (Used) by Operating Activities:

Depreciation 1,902,734 113,988 2,016,722 (Increase) decrease in receivables (5,356,342) 38,922 (5,317,420) Increase (decrease) in accounts payable 171,436 11,492 182,928 Increase (decrease) in accrued liabilities 463 36,029 36,492 Increase (decrease) in unearned revenue 1,013,250 (2,427) 1,010,823 Increase (decrease) in net pension liability (497,001) 706,362 209,361 Increase (decrease) in OPEB liability (75,999) (84,000) (159,999) Increase (decrease) in deferred pension related items 163,141 (294,947) (131,806) Increase (decrease) in deferred OPEB related items 121,001 (686,000) (564,999) Increase (decrease) in compensated absences (47,175) (56,792) (103,967) Total Adjustments (2,604,492) (217,373) (2,821,865) Net Cash Provided (Used) by
Operating Activities (11,709,497)$ (2,924,304)$ (14,633,801)$ Non-Cash Investing, Capital, and Financing Activities:

Gain/(Loss) on disposition of capital assets (71,265)$ -$ (71,265)$ Capital contributions 69,468 - 69,468
Business-Type Activities - Enterprise Funds
Local
Transportation
School-Age
Child Care
162

INTERNAL SERVICE FUNDS

Internal Service Funds are used to finance and account for special activities and services performed by a designated department for other departments in the City on a cost reimbursement basis.

Financial reporting standards require that for the Statement of Activities , the net revenues or expenses of each internal service fund be eliminated by netting them against the operations of the other City departments which generated them. The remaining balance sheet item s are consolidated with these same funds in the Statement of Net Position.

However, internal service funds are still presented separately in the Fund financial statements, including the funds below.

Fleet Fund. To account for the maintenance and replacement of vehicles used by City departments. Funds are received by means of a rental fee charged to the various departments.

Facilities Fund. To account for building maintenance and custodial services for City departments.

Information Technology Fund. To account for the City’s IT infrastructure and related support services.

General Equipment Replacement Fund. To account for the replacement of equipment for City departments.

Worker’s Compensation Fund. To account for the City’s self-insurance program for Workers’ Compensation benefits and for the administration of various preventative programs.

General Liability Fund. To account for the cost of claims and administrative costs of the City’s self-insured general liability program.

Unemployment Reserve Fund. To account for State and Federal mandated unemployment insurance benefits for employees.

General Benefits. To account for the City’s insurance programs for employee benefits. 163

CITY OF ROSEVILLE

COMBINING STATEMENT OF NET POSITION

INTERNAL SERVICE FUNDS
JUNE 30, 2021
Assets:

Current:

Cash and investments 31,842,445$ 3,339,130$ 3,910,263$ 779,798$ Receivables 2,722,765 76,266 485 2,336 Notes and loans 663,361 - - - Prepaid costs - - 73,323 - Due from other funds 583,741 - - - Inventories 1,061,985 6,336 - - Total Current Assets 36,874,297 3,421,732 3,984,071 782,134 Noncurrent:

Advances to other funds 5,329,590 - - - Capital assets not being depreciated 3,998,391 57,682 53,498 - Capital assets - net of accumulated depreciation 14,708,192 102,891,967 6,719,157 1,241,634 Total Noncurrent Assets 24,036,173 102,949,649 6,772,655 1,241,634 Total Assets 60,910,470 106,371,381 10,756,726 2,023,768 Deferred Outflows of Resources:

Deferred OPEB related items 301,000 211,000 250,000 - Deferred pension related items 758,804 550,537 2,049,784 - Total Deferred Outflows of Resources 1,059,804 761,537 2,299,784 - Liabilities:

Current:

Accounts payable 283,124 178,607 72,316 27,388 Accrued liabilities 84,030 25,087 80,513 - Accrued compensated absences 164,812 124,264 454,960 - Accrued claims and judgments - - - - Total Current Liabilities 531,966 327,958 607,789 27,388 Noncurrent:

Accrued compensated absences 173,972 115,961 454,316 - Accrued claims and judgments - - - - Net OPEB liability 2,658,000 1,863,000 2,203,000 - Net pension liability 4,832,391 3,506,053 13,053,917 - Total Noncurrent Liabilities 7,664,363 5,485,014 15,711,233 - Total Liabilities 8,196,329 5,812,972 16,319,022 27,388 Deferred Inflows of Resources:

Deferred OPEB related items 1,261,000 884,000 1,045,000 - Deferred pension related items 27,948 20,277 75,495 - Total Deferred Inflows of Resources 1,288,948 904,277 1,120,495 - Net Position:

Investment in capital assets 18,706,583 102,949,649 6,772,655 1,241,634 Unrestricted 33,778,414 (2,533,980) (11,155,662) 754,746 Total Net Position 52,484,997$ 100,415,669$ (4,383,007)$ 1,996,380$ Governmental Activities - Internal Service Funds
Fleet Facilities
Information
Technology
General Equipment
Replacement
164

CITY OF ROSEVILLE

COMBINING STATEMENT OF NET POSITION

INTERNAL SERVICE FUNDS
JUNE 30, 2021
Assets:

Current:

Cash and investments
Receivables
Notes and loans
Prepaid costs
Due from other funds
Inventories
Total Current Assets
Noncurrent:

Advances to other funds
Capital assets not being depreciated
Capital assets - net of accumulated depreciation
Total Noncurrent Assets
Total Assets
Deferred Outflows of Resources:

Deferred OPEB related items
Deferred pension related items
Total Deferred Outflows of Resources
Liabilities:

Current:

Accounts payable
Accrued liabilities
Accrued compensated absences
Accrued claims and judgments
Total Current Liabilities
Noncurrent:

Accrued compensated absences
Accrued claims and judgments
Net OPEB liability
Net pension liability
Total Noncurrent Liabilities
Total Liabilities
Deferred Inflows of Resources:

Deferred OPEB related items
Deferred pension related items
Total Deferred Inflows of Resources
Net Position:

Investment in capital assets
Unrestricted
Total Net Position
Totals
10,786,062$ 3,857,600$ 438,543$ 1,320,349$ 56,274,190$ 34,635 19,323 3,884 6,291 2,865,985 - - - - 663,361 - - - - 73,323 - - - - 583,741 - - - - 1,068,321 10,820,697 3,876,923 442,427 1,326,640 61,528,921 - - - - 5,329,590 - - - - 4,109,571 - - - - 125,560,950 - - - - 135,000,111 10,820,697 3,876,923 442,427 1,326,640 196,529,032 - - - - 762,000 82,913 74,543 - - 3,516,581 82,913 74,543 - - 4,278,581 1,956 2,676 31,299 198,985 796,351 7,639 7,180 - - 204,449 18,412 16,773 - - 779,221 2,175,270 601,533 - - 2,776,803 2,203,277 628,162 31,299 198,985 4,556,824 34,102 33,330 - - 811,681 6,525,811 1,278,257 - - 7,804,068 - - - - 6,724,000 528,023 474,721 - - 22,395,105 7,087,936 1,786,308 - - 37,734,854 9,291,213 2,414,470 31,299 198,985 42,291,678 - - - - 3,190,000 3,054 2,745 - - 129,519 3,054 2,745 - - 3,319,519 - - - - 129,670,521 1,609,343 1,534,251 411,128 1,127,655 25,525,895 1,609,343$ 1,534,251$ 411,128$ 1,127,655$ 155,196,416$ General Benefits
Governmental Activities - Internal Service Funds
Worker's
Compensation General Liability
Unemployment
Reserve
165

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN NET POSITION

INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2021
Operating Revenues:

Sales and service charges 14,862,939$ 7,287,722$ 12,674,058$ 300,000$ Miscellaneous 425,392 61,933 - 300 Total Operating Revenues 15,288,331 7,349,655 12,674,058 300,300 Operating Expenses:

Depreciation and amortization 4,645,669 4,256,242 2,088,077 194,993 Operations 11,340,388 9,494,000 14,315,673 73,271 Claims expense - - - - Total Operating Expenses 15,986,057 13,750,242 16,403,750 268,264 Operating Income (Loss) (697,726) (6,400,587) (3,729,692) 32,036 Nonoperating Revenues (Expenses):

Interest revenue 195,400 2,375 (14,816) 561 Contributions 44,875 - 186,150 2,500 Total Nonoperating
Revenues (Expenses) 240,275 2,375 171,334 3,061 Income (Loss) Before Transfers (457,451) (6,398,212) (3,558,358) 35,097 Transfers in 11,240 - - - Transfers out (34,555) - - (11,879) Changes in Net Position (480,766) (6,398,212) (3,558,358) 23,218 Net Position:

Beginning of Year 52,965,763 106,813,881 (824,649) 1,973,162 End of Fiscal Year 52,484,997$ 100,415,669$ (4,383,007)$ 1,996,380$ Governmental Activities - Internal Service Funds
Fleet Facilities
Information
Technology
General Equipment
Replacement
166

CITY OF ROSEVILLE

COMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN NET POSITION

INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2021
Operating Revenues:

Sales and service charges
Miscellaneous
Total Operating Revenues
Operating Expenses:

Depreciation and amortization
Operations
Claims expense
Total Operating Expenses
Operating Income (Loss)
Nonoperating Revenues (Expenses):

Interest revenue
Contributions
Total Nonoperating
Revenues (Expenses)
Income (Loss) Before Transfers
Transfers in
Transfers out
Changes in Net Position
Net Position:

Beginning of Year
End of Fiscal Year
Totals
3,993,355$ 2,110,063$ 124,656$ 2,032,884$ 43,385,677$ 1,143,462 - 550,551 208 2,181,846 5,136,817 2,110,063 675,207 2,033,092 45,567,523 - - - - 11,184,981 1,315,677 2,619,594 - 168,255 39,326,858 4,480,193 1,136,018 662,407 2,201,457 8,480,075 5,795,870 3,755,612 671,736 2,369,712 59,001,243 (659,053) (1,645,549) 3,471 (336,620) (13,433,720) (12,898) (26,521) (5,584) 6,059 144,576 - 2,243 - - 235,768 (12,898) (24,278) (5,584) 6,059 380,344 (671,951) (1,669,827) (2,113) (330,561) (13,053,376) - - - - 11,240 - - - - (46,434) (671,951) (1,669,827) (2,113) (330,561) (13,088,570) 2,281,294 3,204,078 413,241 1,458,216 168,284,986 1,609,343$ 1,534,251$ 411,128$ 1,127,655$ 155,196,416$ Governmental Activities - Internal Service Funds
Worker's
Compensation General Liability
Unemployment
Reserve General Benefits
167

CITY OF ROSEVILLE

COMBINING STATEMENT OF CASH FLOWS

INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2021
Cash Flows from Operating Activities:

Cash received from customers and users 15,165,083$ 7,303,377$ 12,676,529$ 301,136$ Cash paid to suppliers for goods and services (6,685,505) (4,482,992) (7,950,398) (238,929) Cash paid to employees for services (1,722,723) (1,099,054) (3,375,300) - Claims paid - - - - Net Cash Provided (Used) by Operating Activities 6,756,855 1,721,331 1,350,831 62,207 Cash Flows from Non-Capital
Financing Activities:

Cash transfers out (34,555) - - (11,879) Cash transfers in - - 57,666 - Payment made to other funds (16,955) - - - Advance to other funds 593,804 - - - Subventions and grants - - - - Net Cash Provided (Used) by
Non-Capital Financing Activities 542,294 - 57,666 (11,879) Cash Flows from Capital
and Related Financing Activities:

Acquisition and construction of capital assets (10,722,579) (63,745) - (686,879) Proceeds from sale of capital assets - - - 2,557 Net Cash Provided (Used) by
Capital and Related Financing Activities (10,722,579) (63,745) - (684,322) Cash Flows from Investing Activities:

Interest received 195,400 2,375 (14,816) 561 Net Cash Provided (Used) by
Investing Activities 195,400 2,375 (14,816) 561 Net Increase (Decrease) in Cash
and Cash Equivalents (3,228,030) 1,659,961 1,393,681 (633,433) Cash and Cash Equivalents at Beginning of Year 35,070,475 1,679,169 2,516,582 1,413,231 Cash and Cash Equivalents at End of Year 31,842,445$ 3,339,130$ 3,910,263$ 779,798$ Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:

Operating income (loss) (697,726)$ (6,400,587)$ (3,729,692)$ 32,036$ Adjustments to Reconcile Operating Income (Loss)
Net Cash Provided (Used) by Operating Activities:

Depreciation 4,645,669 4,256,242 2,088,077 194,993 (Increase) decrease in receivables (123,248) (46,278) 2,471 836 (Increase) decrease in inventory (128,074) (6,336) - - (Increase) decrease in prepaid expense - 34,249 - Increase (decrease) in accounts payable (108,840) 55,011 (227,962) (165,658) Increase (decrease) in accrued liabilities 21,302 8,495 27,941 - Increase (decrease) in claims and judgments - - Increase (decrease) in net pension liability 337,886 405,720 (75,905) - Increase (decrease) in net OPEB liability (253,000) 155,000 (47,000) - (Increase) decrease in deferred pension related items 44,210 598,312 2,434,483 - (Increase) decrease in deferred OPEB related items 2,982,000 2,695,000 828,000 - Increase (decrease) in compensated absences 36,676 752 16,169 - Total Adjustments 7,454,581 8,121,918 5,080,523 30,171 Net Cash Provided (Used) by
Operating Activities 6,756,855$ 1,721,331$ 1,350,831$ 62,207$ Non-Cash Investing, Capital, and Financing Activities:

Roseville City CouncilFebruary 2, 2022

Roseville City Council
February 2, 2022