Agenda packet — Solana Beach City Council, June 8, 2022 (part 2 of 3)

$25.00 per benefit unit. This maximum benefit unit charge will not apply to Zone B of the District as it was formed after Solana Beach was incorporated.

Notice of this public hearing was published in the Union-Tribune on May 27, 2022, as required by Streets and Highways Code and is the only public hearing to receive public input required by law.

The assessment information is to be submitted to the County by August 10th of each year.

The current benefit fee for Zone A is $8.80 per single-family unit per year and $1.62 per single-family unit per year in Zone B. Zone B consists of the portion of the City adjacent to San Elijo Lagoon and a segment of the City between San Andres Drive and I-5. This zone is the City’s “dark sky” area designated in the General Plan as neighborhoods that seek to preserve their traditional semi-rural character, a major component of which is very low levels of nighttime illumination. Zone A consists of all other properties in the City except those in Zone B.

Attachment 3 is the Final Report for Fiscal Year (FY) 2022/23. The basis for spreading the cost of constructing, operating, maintaining and servicing improvements to the benefiting parcels is based on vehicular trip generation rates. Vehicular trips are directly proportional to the concentration and activity associated with each parcel of land. Derivation of Street Lighting Benefit Units, as shown in the Engineer’s Report, is based on the most current trip generation rates published by the San Diego Association of Governments. The improvements include those designated in the District boundaries and shown in the Street Light Master Plan.

Fiscal Year 2022/23 Benefit Fees
The total annual amount to be assessed for street lighting is $76,849 for FY 2022/23.

There is no proposed increase to the annual assessment charged to each property, but the total amount collected has decreased slightly (a total reduction of $167) due to land use changes in Zone A.

CEQA COMPLIANCE STATEMENT:

Not a project as defined by CEQA.

FISCAL IMPACT:

The District has been financed by a benefit charge and by using the District’s share of one percent ad valorem property tax revenues since FY 1989/90. The amount to be collected from the benefit assessment is proposed to be $8.80 per benefit unit in Zone A and $1.62 in Zone B, which is unchanged from last year.

June 8, 2022
Renewal and Assessment for Lighting Maintenance District for FY 2022/23

Page 3 of 3 ends

WORK PLAN:

N/A
OPTIONS:
• Approve Staff recommendation.
• Do not confirm Lighting Maintenance District Engineer’s Report and annual levy of assessments.
• Provide direction.

DEPARTMENT RECOMMENDATION:

Staff recommends that the City Council:

1. Conduct the Public Hearing: open the public hearing, report Council disclosures, receive public testimony and close the public hearing.

2. Adopt Resolution 2022-063 confirming the diagram and assessment and approving the City of Solana Beach Lighting Maintenance District Engineer’s Report.

3. Adopt Resolution 2022-064 ordering the levy and collection of annual assessments for FY 2022/23 and ordering the transmission of charges to the County Auditor for collection.

CITY MANAGER’S RECOMMENDATION:

Approve Department Recommendation.
_________________________
Gregory Wade, City Manager
Attachments:

1. Resolution 2022-063

2. Resolution 2022-064

3. FY 2022/23 Lighting Maintenance District Engineer’s Report ATTACHMENT 1
RESOLUTION 2022-063

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SOLANA BEACH, CALIFORNIA, APPROVING THE FISCAL
YEAR 2022/23 ENGINEER’S REPORT REGARDING THE

SOLANA BEACH LIGHTING MAINTENANCE DISTRICT
WHEREAS, the City Council, pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code of California, beginning with Section 22500 (the “Act"), did, by previous Resolution 2022-056 adopted on May 24, 2022, order the Assessment Engineer, to prepare and file the Fiscal Year (FY) 2022/23 Engineer's Report for the City of Solana Beach Lighting Maintenance District (District); and
WHEREAS, the Assessment Engineer has prepared and filed with the City Clerk of the City of Solana Beach, California, and the City Clerk has presented to the City Council such report entitled City of Solana Beach Lighting Maintenance District Engineer's Report FY 2022/23 (“Report”) as required by the Act; and WHEREAS, the City Council has carefully examined and reviewed the Report as presented, considered all oral and written comments presented with respect to the District and Report at a noticed Public Hearing and has discussed any necessary or desired modifications to the Report, and is satisfied that the levy for each parcel has been calculated in accordance with the special benefits received from the operation, maintenance and services performed, as set forth in the Report.

NOW, THEREFORE, the City Council of the City of Solana Beach, California does resolve as follows:

1. The above recitals are true and correct.

2. The Report as presented or as modified, contains the following:
a. Description of Improvements.
b. Diagram of the District.
c. Method of Apportionment that details the method of calculating each parcel's proportional special benefits and annual assessment. d. The FY 2022/23 Assessment based upon the Method of Apportionment determined that all costs and expenses of the work and incidental expenses have been apportioned and distributed to the benefiting parcels in accordance with the special benefits received.

Resolution 2022-063
Approve Lighting District Engineer’s Report for FY 2022/23

Page 2 of 2 ends

e. The FY 2022/23 Annual Budget Costs and Expenses and the resulting FY 2022/23 assessment levy per benefit unit for the fiscal year. f. The District Roll containing the levy for each Assessor's Parcel Number within the District for FY 2022/23.

3. The City Clerk is hereby directed to enter on the minutes of the City Council any and all modifications to the Report determined and approved by the City Council, and all such changes and/or modifications by reference are to be incorporated into the Report.

4. The City Council is satisfied with the Report as presented or modified and each and all of the budget items and documents as set forth therein, and is satisfied that the FY 2022/23 annual assessments and spread is in accordance with the special benefits received from the improvements pursuant to the provisions of the California Constitution Article XIIID.

5. The Report is hereby approved as submitted or modified and ordered to be filed in the Office of the City Clerk as a permanent record and to remain open to public inspection.

6. The City Clerk shall certify to the passage and adoption of this resolution, and the minutes of this meeting shall so reflect the presentation and approval of the Report as submitted or modified.

PASSED AND ADOPTED this 8th day of June, 2022, at a regularly scheduled meeting of the by the City council of the City of Solana Beach by the following vote:

AYES: Councilmembers -
NOES: Councilmembers -
ABSENT: Councilmembers -
ABSTAIN: Councilmembers -
________________________________
LESA HEEBNER, Mayor
APPROVED AS TO FORM: ATTEST:
_____________________________ ________________________________ JOHANNA N. CANLAS, City Attorney ANGELA IVEY, City Clerk ATTACHMENT 2
RESOLUTION 2022-064

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SOLANA BEACH, CALIFORNIA ORDERING THE LEVY

AND COLLECTION OF ANNUAL ASSESSMENTS

REGARDING THE CITY OF SOLANA BEACH LIGHTING
DISTRICT FOR FISCAL YEAR 2022/23
WHEREAS, the City Council has, by previous resolutions, initiated proceedings to form and declared its intention to levy and collect annual assessments against parcels of land within the City of Solana Beach Lighting Maintenance District (District), for the Fiscal Year commencing July 1, 2022 and ending June 30, 2023 pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code of California, beginning with Section 22500 (Act) to pay the costs and expenses of operating, maintaining and servicing the improvements and appurtenant facilities related thereto; and
WHEREAS, the Assessment Engineer has prepared and filed with the City Clerk, and the City Clerk has presented to the City Council, the Engineer’s Report entitled City of City of Solana Beach Lighting Maintenance District Engineer's Report Fiscal Year (FY) 2022/23 (Report) in connection with the proposed levy and collection of special benefit assessment upon eligible parcels of land within the District, and the City Council did, by previous Resolution 2022-063 adopted on June 8, 2022, approve such Report; and
WHEREAS, the City Council desires to levy and collect assessments against parcels of land within the District for the Fiscal Year commencing July 1, 2022 and ending June 30, 2023 to pay the costs and expenses of operating, maintaining and servicing the improvements and appurtenant facilities related thereto; and WHEREAS, the City Council, following notice duly given, has held a full and fair Public Hearing on June 8, 2022, regarding the levy and collection of assessments as described in the Report prepared in connection therewith, and considered all oral and written statements, protests and communications made or filed by interested persons regarding these matters, pursuant to the Act and in accordance with the provisions of the California Constitution Article XIIID.

NOW, THEREFORE, the City Council of the City of Solana Beach, California does resolve as follows:

1. The above recitals are true and correct.

Resolution 2022-064
Assess for Lighting District for FY 2022/23

Page 2 of 3 ends

2. The City Council desires to levy and collect assessments against parcels of land within the District for the fiscal year commencing July 1, 2022 and ending June 30, 2023, to pay the costs and expenses of operating, maintaining and servicing the landscaping, public lighting improvements and appurtenant facilities located within public places in the District.

3. The City Council has carefully reviewed and examined the Report in connection with the District, and the levy and collection of assessments. Based upon its review the Report, a copy of which has been presented to the City Council and which has been filed with the City Clerk, the City Council hereby finds and determines that:
a. The territory of land within the District will receive special benefits from the operation, maintenance and servicing of the landscaping, lighting, drainage and appurtenant facilities and improvements related thereto. b. The District includes all of the lands so benefited. c. The amount to be assessed upon the lands within the District, in accordance with the proposed budget for the fiscal year commencing July 1, 2022 and ending June 30, 2023, is apportioned by a formula and method that fairly distributes the net amount among all eligible parcels in proportion to the special benefits, to be received by each parcel from the improvements and services, and the assessments are levied without regard to property valuation.

4. The Report and FY 2022/23 assessments, as presented to the City Council and on file in the office of the City Clerk, are hereby confirmed as filed.

5. The City Council hereby orders the proposed improvements to be made; the improvements are briefly described as the operation, administration, maintenance and servicing of all public landscaping, lighting improvements and appurtenant facilities and expenses associated with the District, and that will be maintained by the City of Solana Beach or their designee and all such maintenance, operation and servicing of the landscaping, lighting and all appurtenant facilities shall be performed pursuant to the Act. A more complete description of the improvements is detailed in the Report and by reference this document is made part of this resolution.

6. The San Diego County Auditor shall place on the County Assessment Roll, opposite each parcel of land, the amount of levy so apportioned by the method of apportionment formula, outlined in the Report and such levies shall be collected at the same time and in the same manner as County taxes are collected pursuant to Chapter 4, Article 2, Section 22646 of the Act. After collection by the Resolution 2022-064
Assess for Lighting District for FY 2022/23

Page 3 of 3 ends

County, the net amount of the assessments, after deduction of any compensation due the County for collection, shall be paid to the City Treasurer.

7. The City Treasurer, shall deposit all money from the assessments collected by the County for the District into a fund for the Solana Beach Lighting District, and such money shall be expended to pay the costs and expenses of operating, maintaining and servicing the improvements and appurtenant facilities related thereto described above.

8. The adoption of this resolution constitutes the authorization of the District levy for the Fiscal Year commencing July 1, 2022 and ending June 30, 2023.

9. The City Clerk or Clerk's designee is hereby authorized and directed to file the levy with the San Diego County Auditor subsequent to the adoption of this resolution.

PASSED AND ADOPTED this 8th day of June, 2022, at a regularly scheduled meeting of the by the City Council of the City of Solana Beach by the following vote:

AYES: Councilmembers -
NOES: Councilmembers -
ABSENT: Councilmembers -
ABSTAIN: Councilmembers -
________________________________
LESA HEEBNER, Mayor
APPROVED AS TO FORM: ATTEST:
______________________________ ________________________________ JOHANNA N. CANLAS, City Attorney ANGELA IVEY, City Clerk Prepared May 9, 2022 ATTACHMENT 3

CITY OF SOLANA BEACH

LIGHTING MAINTENANCE DISTRICT
ENGINEER’S REPORT
FISCAL YEAR 2022/2023
Prepared by:

Dan Goldberg
Principal Civil Engineer
R.C.E. 57292
2 TABLE OF CONTENTS
INTRODUCTION ........................................................................................3 GENERAL DESCRIPTION OF THE DISTRICT..........................................3 DESIGNATION OF ZONES........................................................................4 DISTRICT IMPROVEMENT........................................................................4 METHOD OF APPORTIONMENT..............................................................6 DISTRICT FINANCING ..............................................................................6 ASSESSMENT ROLL ................................................................................7 CALCULATION OF ASSESSMENT FEES ................................................7 EXHIBIT 1 – STREETLIGHT ZONE MAP ..................................................8 EXHIBIT 2 – DERIVATION OF STREETLIGHT BENEFIT UNITS..............9 EXHIBIT 3 – BUDGET 2022-2023............................................................11 3 Introduction
The City of Solana Beach (“City”) Lighting Maintenance District (“District”) was formed to provide funding for operation, maintenance and servicing of all lights within the City, owned both by City of Solana Beach and San Diego Gas and Electric as shown on the City’s Streetlight Master Plan. The City Council, pursuant to the provisions of the “Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Street and Highway Code of California” (Act), desires to levy and collect annual assessment against lots and parcels within the District beginning in the fiscal year beginning July 1, 2022 and ending June 30, 2023. The collected assessments would pay for the operation, maintenance and servicing of the public lighting improvements within the City. The proposed assessments are based on the City’s estimate for the cost for fiscal year 2022/2023 to maintain the District that provides a special benefit to properties assessed within the District. The assessment rates set for Fiscal Year 2022/2023, as set forth in this Engineer’s Report (“Report”), do not exceed the maximum rates established at the time the District was formed, therefore, the City and the District are not required to go through property owner ballot procedure to establish the 2022/2023 assessment rates.

This report describes the District boundaries and the proposed operation, maintenance and services to be assessed to the property owners located within the District. For this Report, each lot or parcel to be assessed refers to an individual property and is assigned its own Assessment Parcel Number (“APN”) by the San Diego County (“County”) Assessor’s Office as shown on the latest equalization roll of the assessor.

Following the conclusion of the Public Hearing, the City Council will confirm the Report as submitted or amended and may order the collection of the assessments for Fiscal Year 2022/2023.

General Description of the District
The boundaries of the District are defined as being contiguous with the boundaries of the City of Solana Beach. The properties within the District include single-family residential, multi-family residential, timeshare, multiuse, commercial and industrial parcels.

Section 22573, Landscape and Lighting Act of 1972 (“1972 Act”), requires assessments to be levied according to benefit rather than according to assessed value. This section of the 1972 Act states:
"The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements.”
4 The 1972 Act also provides for the classification of various areas within an assessment district into different zones where, "...by reason of variations in the nature, location, and extent of the improvements, the various areas will receive differing degrees of benefit from the improvements. A zone shall consist of all territory, which will receive substantially the same degree of benefit from the improvements. An assessment district may consist of contiguous or non-contiguous areas."
Properties owned by public agencies, such as a city, county, state, or the federal government, are not assessable without the approval of the particular agency. For this reason, they are traditionally not assessed.

Designation of Zones
The District consists of two zones in the City of Solana Beach; Zone “A” and Zone “B”.

Properties within Zone “A”, which represent the majority of the parcels in the City, benefit from streetlights on six significant circulation element streets as well as streetlights on their local streets. Properties within Zone “B”, also known as “Dark Sky Zone”, do not have streetlights on their local streets. These properties benefit only from streetlights on circulation element streets and do not benefit from streetlights on local streets. A map showing the boundaries of the District and the zones are on file in the office of the City Engineer and is also attached herein as Exhibit 1.

District Improvements
The public lighting improvements to be maintained and serviced include but are not limited to the following:
• Maintenance, repair and replacement of public light poles and fixtures, including changing light bulbs, painting, photoelectric cell repair or replacement, repairing damages caused by automobile accidents and vandalism, and repairing normal deterioration caused by time and weather.
• Electrical conduit repair and replacement due to damage by vandalism and normal deterioration.
• Service-call maintenance repair and replacement including painting, replacing worn out electrical components and repairing damage due to accidents, vandalism, and normal deterioration.
• Payment of the electrical bill for the existing street lighting system. • Responding to constituent and business inquiries and complaints regarding the public lighting.
5 Maintenance
The City provides services and furnishes materials for the ordinary and usual maintenance, operation and servicing of public lighting improvements facilities and appurtenant facilities. This includes inspecting lights during daylight as well as evening hours for condition assessment and performing repair, removal or replacement of all or part of any of the streetlights found to be inoperable in order to provide for the health welfare and safety of the residents in the district.

Servicing
The City workforces along with assistance from private contractors provide all labor, materials, equipment and utilities necessary to maintain and operate the public lighting improvements or appurtenant facilities in order to provide adequate illumination.

City’s Streetlight System
The City’s streetlight system consists of streetlights which are owned by the San Diego Gas and Electric (SDG&E) and streetlights that are owned by the City of Solana Beach.

A listing (printout) showing the type, size, location and ownership of the specific streetlights in the City is on file in the Office of the City Engineer. There are currently 801 streetlights in the District of which 149 are located on circulation element streets such as Highway 101, Lomas Santa Fe Drive, Via De La Valle, Cedros Avenue, San Andres Drive, Highland Avenue and Stevens Avenue. The remaining 652 streetlights are located on local streets. Approximately 274 streetlights are owned and maintained by SDG&E and the rest are owned and maintained by the City of Solana Beach. The City pays SDG&E for the use of their streetlights. For the purpose of this report, all lights have been analyzed regardless of ownership. Additionally, there are 247 bollard lights and 16 pedestrian pole lights on the Coastal Rail Trail that are included in the District.

Streetlight Retrofit
In April 2012, the City entered into an agreement with Chevron Energy Solution (Chevron ES) for a series of energy efficient projects, which included retrofitting all Cityowned streetlights to the latest LED technology. This project replaced the approximately two-thirds of the streetlights throughout the City that are owned and operated by the City. The remaining one-third of the streetlights were not retrofitted because they are owned and operated by SDG&E. Because of this partial ownership arrangement, a few streetlights in some neighborhoods remained unchanged.
6 Capital Improvement Projects
Since the City-owned streetlights were converted to LED fixtures in 2012, there was not a need for a capital improvement project for the streetlights this past year.

Method of Apportionment
The 1972 Act requires that a parcel’s assessment may not exceed the reasonable cost for the proportional benefit conferred to that parcel. To establish the benefit to the individual lots or parcels within the district, an Equivalent Benefit Unit (“EBU”) system based on land use is used along with special consideration based on City’s “Dark Sky Zone”. Each parcel of land in the District was determined by the Engineering Department to have a specific land use. Each land use type was assigned a land use factor determined by trip generation rates developed by San Diego Association of Government (SANDAG). If a land use was not included in the SANDAG’s study, the Engineering Department made a determination as to its probable trip generation compared to that of a single family residential and assigned a land use factor accordingly. Single-family residential units were assigned a land use factor of 1.0 regardless of its size. The theory is that all single-family residential units, regardless of parcel size, generate approximately the same number of trips and therefore receive the same benefit from the use of streets and their appurtenances such as streetlights.

Under this method, vacant lots are assigned an EBU of “0”. Exhibit 2 provides the EBU determination for all land uses within the City.

District Financing
The District will be financed by assessing a benefit assessment and by using the District’s share of 1.0 percent ad valorem tax revenues. The amount to be generated from the benefit assessment is $8.80 per benefit unit in Zone “A” and $1.62 per benefit unit in Zone “B”. As mentioned above, the total amount of revenue to be generated by assessment was calculated from a methodology, which identifies two benefit zones within the District. This methodology assumes that circulation element streetlights provide City-wide benefit and therefore properties located in Zone “B”, the Dark Sky Zone properties, are assessed for this portion of the District’s expenses only. Properties located within Zone “A” are assessed for expenses associated with the streetlights located on the circulation element streets as well as those on local streets. Both the circulation element streetlight benefit and local streetlight benefit are allotted in proportion to the Average Daily Traffic (ADT) generated by properties within the District to establish equivalent benefit charge per property. These are estimates only because the County Assessor’s information will not be available until August 2022. The City does 7 not assess governmental agencies owning properties within the District. See Exhibit 3 for the proposed District budget.

Assessment Roll
Parcel identification, for each lot or parcel within the District shall be the parcel as shown on the County Assessor’s map for the year in which this Report is prepared.

A listing of parcels assessed within the District, along with the proposed assessment amounts, has been submitted to the City Clerk, under a separate cover, and by reference is made part of this Report. Said listing of parcels to be assessed shall be submitted to the County Auditor/Controller and included on the property tax roll for each parcel in Fiscal Year 2022/2023. If any parcel submitted for collection is identified by the County Auditor/Controller to be an invalid parcel number for the current fiscal year, a corrected parcel number and/or new parcel numbers will be identified and resubmitted to the County Auditor/Controller. The assessment amount to be levied and collected for the resubmitted parcel or parcels shall be based on the method of apportionment and assessment rate approved in this Report. Therefore, if a single parcel has changed to multiple parcels, the assessment amount applied to each of the new parcels shall be recalculated and applied according to the approved method of apportionment and assessment rate rather than a proportionate share of the original assessment.

Calculation of Assessment Fees
Following is a calculation of assessment fees for the Solana Beach Lighting District.

There are two zones in this lighting district; Zone “A” and Zone “B”.

Total streetlights on six circulation element streets 149 Total streetlights on local streets 652
Total streetlights 801
Bollard lights on Coastal Rail Trail 247
Pedestrian pole lights on Coastal Rail Trail 16
Total Benefit Units in Zone “A” 8,645
Total Benefit Units in Zone “B” 477
Assessment per Benefit Unit in Zone “A” $8.80
Assessment per Benefit Unit in Zone “B” $1.62
Total Assessment for Zone “A” $76,076
Total Assessment for Zone “B” $773
Total Assessment for the District $76,849
8 EXHIBIT 1

STREETLIGHT ZONE MAP
Dari( Sky Areas
Zone B
6 N

SAN DIEGO
COUNTY
....,cr,,,...,tJj' };se,vkebureau
9 EXHIBIT 2

DERIVATION OF STREETLIGHT BENEFIT UNITS
Traffic generation rates are derived from a report issued by the San Diego Association of Governments (SANDAG) dated April 2002. The information in the report is based on the San Diego Traffic Generators manual. Land uses are defined by the County Assessor. Using traffic generated by single family dwellings as 10 per dwelling unit (d.u.) or 40 per acre, the derivation of Benefit Units from land use is as follows:

LAND USE BENEFIT UNITS HOW DERIVED
Vacant Land 0.0 Generates little or no traffic.

Assigned a value of 0.0
Residential 1.0/d.u. 10 trips/d.u.
10 trips/d.u.

Time Shares .02/Time Share 0.2 trips/time share
10 trips/d.u.

Mobilehome/Trailer Parks 0.5/Space 5 trips/d.u. or space 10 trips/d.u.
1-3 Story Misc. Stores 10.0/Acre 400 trips/acre
40 trips/acre
4+ Story Offices/Stores 15.0/Acre 600 trips/acre
40 trips/acre
Regional Shopping Center
Medical, Dental, Animal Hospital

12.5/Acre 500 trips/acre
40 trips/acre
Community Shopping Center 17.5/Acre 700 trips/acre
40 trips/acre
Neighborhood Shopping Center 30.0/Acre 1200 trips/acre
40 trips/acre
10 Hotel, Motel 5.0/Acre 200 trips/acre
40 trips/acre
Convalescent Hospital, Rest Home 1.0/Acre 40 trips/acre 40 trips/acre
Office Condominiums 0.5/Condo 20 trips/condo
10 trips/d.u.

Parking lot, Garage, Used Cars,
Auto Sales/Service, Service Station

7.5/Acre 300 trips/acre
40 trips/acre
Bowling Alley 7.5/Acre 300 trips/acre
40 trips/acre
11 EXHIBIT 3

STREETLIGHT DISTRICT

PROPOSED BUDGET
FISCAL YEAR 2022-23
Amended Budget
2021-22
Proposed Budget
2022-23
COSTS
Energy $93,600 $93,600
Maintenance 208,970 199,942
Administration 109,825 113,138
Capital Outlay 0 0
Debt Service 70,400 70,400
Contingency Reserve 3,235,361 3,421,081
TOTAL COSTS $3,718,156 $3,898,161

FUNDING
Property Taxes $521,100 $542,100
Benefit Fees 77,000 77,000
Interest 40,500 40,500
Intergovernmental 3,200 3,200
Fund Balance 3,076,356 3,235,361
TOTAL RESOURCES $3,718,156 $3,898,161
CITY COUNCIL ACTION:
______________________________________________________________________ ______________________________________________________________________ AGENDA ITEM # B.3.

STAFF REPORT

CITY OF SOLANA BEACH
TO: Honorable Mayor and City Councilmembers
FROM: Gregory Wade, City Manager
MEETING DATE: June 8, 2022
ORIGINATING DEPT: Engineering Department
SUBJECT: Public Hearing: Consideration of Resolutions 2022-061 and 2022-062 Accepting the Final Engineer’s Report and
Ordering the Levy and Collection of Annual Assessments
for the City of Solana Beach Coastal Rail Trail
Maintenance District for FY 2022/23
BACKGROUND:

In 2006, the City Council adopted a resolution forming the City of Solana Beach Coastal Rail Trail (CRT) Maintenance District (District) under the provisions of the Landscape and Lighting Act of 1972, Division 15, Part 2, of the California Streets and Highways Code (the 1972 Act). The District was formed for the purpose of levying and collecting funds for the operations, maintenance, and servicing of landscaping, lighting and all appurtenant facilities related to the District.

On May 24, 2022, the City Council adopted Resolutions 2022-053, 2022-054 and 2022- 055 initiating the proceedings for the annual levy of assessments for the District; approving the preliminary CRT Maintenance District Engineer’s Report (Report) for the Fiscal Year (FY) 2022/23 annual levy of assessments for the District; declaring the City’s intent to provide for the annual levy and collection of assessments for the District; and setting a time and place for the public hearing, respectively.

This item is presented to the City Council to conduct the Public Hearing and to consider Resolution 2022-061 (Attachment 1) accepting the Final CRT Maintenance District Engineer’s Report and Resolution 2022-062 (Attachment 2) ordering the levy and collection of annual assessments for the District for FY 2022/23.

DISCUSSION:

The District’s major costs are for the maintenance and operation of the Coastal Rail Trail (CRT). The maintenance items include landscaping, irrigation and hardscape June 8, 2022
Renew & Levy CRT Maintenance District for FY 2022/23

Page 2 of 5 ends

maintenance, including tree trimming and graffiti removal. The costs also include the utility charges for water.

The District budget includes funds for capital replacement costs for possible replacement of the following items: landscape, irrigation, pedestrian/bike path and hardscape items. The capital replacement costs also include an operating reserve of 10% of the direct operating and maintenance costs.

The District’s assessment methodology uses an Equivalent Benefit Unit (EBU) System.

The EBU method of apportioning benefit is typically viewed as the most appropriate and equitable assessment methodology for districts formed under the 1972 Act. The EBU for the proposed District establishes the single-family detached residential unit as the basic unit, representing 1.0 EBU. The following summarizes the EBU application by land use:

Land Use EBU
Single-Family Residential 1.0 per parcel
Residential Condominium 1.0 per dwelling unit
Multi-Family Residential 0.75 per dwelling unit
Planned Residential Development 1.0 per proposed unit
Commercial/Industrial 1.0 per parcel
Vacant Single-Family Residential 1.0 per parcel
Vacant Multi-Family Residential 0.75 per parcel
Vacant Commercial/Industrial 1.0 per parcel
The methodology also identifies parcels that are exempt from the proposed District.

They may include, but are not limited to, parcels identified as public streets, roadways, dedicated public easements, open space, and rights-of-way. These properties, as well as other publicly owned properties such as schools, the fire station and community centers, are considered to receive little or no benefit from the improvements of the proposed District.

In addition to assigning each property an EBU by land type, the assessment methodology utilizes three zones based on the location of parcels in proximity to the CRT. Properties located the closest to the CRT will receive a greater special benefit than those properties that are located the farthest away from the CRT. A factor is applied to each of the zones according to their locations. The three zones are as follows:

Zone 1:

This zone includes all properties generally located within a few blocks of the CRT. The properties are located east of Acacia Avenue and Sierra Avenue and west of Rios Avenue. Parcels in this zone are assessed the EBU amounts based on land use and are then multiplied by a factor of three.

June 8, 2022
Renew & Levy CRT Maintenance District for FY 2022/23

Page 3 of 5 ends

Zone 2:

This zone includes all properties that are generally located west of Acacia Avenue and those properties located east of Rios Avenue and west of Interstate 5. Parcels in this zone are assessed the EBU amounts based on land use and are then multiplied by a factor of two.

Zone 3:

This zone includes properties located east of Interstate 5. Parcels in this zone are assessed the EBU amounts based on land use and are then multiplied by a factor of

0.5. The following shows the maximum assessment rates proposed to be levied in the FY 2022/23 by land use:

Land Use Description Per
Base
Rate
Zone 1
Base
Rate
Zone 2
Base
Rate
Zone 3
Single-Family Residential
Lot or
Parcel $24.06 $16.04 $4.01
Residential Condominium
Dwelling
Unit $24.06 $16.04 $4.01
Multi-Family Residential
Dwelling
Unit $18.04 $12.03 $3.01
Planned Residential
Development
Lot or
Dwelling
Unit $24.06 $16.04 $4.01
Commercial/Industrial Parcel $24.06 $16.04 $4.01
Vacant Single-Family
Residential Parcel $24.06 $16.04 $4.01
Vacant Multi-Family Residential Parcel $18.04 $12.03 $3.01 Vacant Commercial/Industrial Parcel $24.06 $16.04 $4.01 Timeshare Units
1 week of
ownership $ 0.00 $ 0.00 $0.00
Exempt Parcels Parcel $ 0.00 $ 0.00 $0.00
Public Owned Parcels Parcel $ 0.00 $ 0.00 $0.00
The 1972 Act requires the City Council to adopt a resolution annually directing the preparation and filing of an Annual Report and a Resolution of Intention to renew the annual assessments for the District. The resolutions declare the City Council's intention to levy and collect assessments and set the date of the public hearing at which the assessments will be levied. The law requires the assessment information to be submitted to the County by August 10th of each year.

June 8, 2022
Renew & Levy CRT Maintenance District for FY 2022/23

Page 4 of 5 ends

Fiscal Year 2022/23 Benefit Fees
Attachment 3 is the proposed Coastal Rail Trail Maintenance District Engineer's Report for FY 2022/23 dated May 24, 2022 (Report). The Report contains an overview of the District, a description of the services and improvements to be maintained, the proposed FY 2022/23 Budget, and the method of apportionment.

The Report identifies and allocates costs and assessments of the District based on provisions of the 1972 Act and the Streets and Highways Code of California. Per the 1972 Act, the Maximum Assessment may be increased using the lesser of the increase in the San Diego Consumer Price Index for All Urban Consumers (CPI-U) or the maximum of the first year levy beginning in Fiscal Year 2007/2008, known as the Assessment Range Formula (2.0%). The Maximum Assessment adjusted annually by this formula is not considered an increased assessment because it is consistent with the formula approved by the voters in January 2006. A copy of the Assessment Roll is available for review in the Office of the City Clerk.

The CPI-U for 2021 was 5.21%. Since the maximum amount the assessment is allowed to increase each year is equal to the CPI-U but not greater than 2.00%, the assessments for FY 2022/23 are proposed to increase by 2.00% per Table 1 of the Report. The City has notified the property owners about levying and collecting the assessment in the Coastal Rail Trail Maintenance District by publishing a notice of this public hearing in the San Diego Union-Tribune.

CEQA COMPLIANCE STATEMENT:

Not a project as defined by CEQA.

FISCAL IMPACT:

The District began assessing a benefit charge in FY 2006/07. The CPI-U for 2021 was

5.21%. Since the maximum amount the assessment is allowed to increase each year is equal to the CPI-U but not greater than 2.00%, the assessments for FY 2022/23 are proposed to increase by 2.00% per Table 1 of the Report (and indicated above). The Assessment Amount per Equivalent Benefit Unit for FY 2022/23 is $8.02. This is $0.16 more per EBU than last year’s assessment and is consistent with the approval of the District by the vote of the property owners in January 2006.

Based on the above methodology and included in the Engineer’s Report, the CRT is expected to receive $83,779 in benefit charge revenues. Total expenditures that are expected to be spent on the CRT are $93,901. The shortfall of $10,122, or the difference between the amount expected to be received ($83,779) and the amount expected to be spent ($93,901), will be covered by available projected reserves in the CRT fund of $104,498 on July 1, 2022. The CRT fund should keep reserves equal to approximately 50% of the annual assessment amount. The proposed budget will reduce the CRT fund balance to approximately $94,376 by June 30, 2023. This reserve will still be over the 50% June 8, 2022
Renew & Levy CRT Maintenance District for FY 2022/23

Page 5 of 5 ends

recommended maximum fund balance of $41,890. Once the reserves drop below the 50% recommended maximum fund balance, additional funds will need to be appropriated from non-CRT funding sources.

WORK PLAN:

Renewal of the District is consistent with the Fiscal Sustainability section of the FY 2022/23 Work Plan.

OPTIONS:
• Approve Staff recommendation.
• Do not renew the CRT Maintenance District and fund the cost for maintenance of the CRT through the General Fund.
• Provide direction.

DEPARTMENT RECOMMENDATION:

Staff recommends that the City Council:

1. Conduct the Public Hearing: open the public hearing, report Council disclosures, receive public testimony, close the public hearing.

2. Adopt Resolution 2022-061, approving the Engineer's Report regarding the Coastal Rail Trail Maintenance District.

3. Adopt Resolution 2022-062, ordering the levy and collection of the annual assessments regarding the Coastal Rail Trail Maintenance District for Fiscal Year 2022/23.

CITY MANAGER’S RECOMMENDATION:

Approve Department Recommendation.
_______________________
Gregory Wade, City Manager
Attachments:

1. Resolution 2022-061

2. Resolution 2022-062

3. Engineer’s Report for FY 2022/23
ATTACHMENT 1
RESOLUTION 2022-061

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SOLANA BEACH, CALIFORNIA, APPROVING THE FISCAL
YEAR 2022/23 ENGINEER'S REPORT REGARDING THE

COASTAL RAIL TRAIL MAINTENANCE DISTRICT
WHEREAS, the City Council, pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code of California, beginning with Section 22500 (the “Act"), did by previous Resolution 2022-054 adopted on May 24, 2022 order the Assessment Engineer, Koppel & Gruber Public Finance, to prepare and file the Fiscal Year (FY) 2022/23 Engineer's Report for the City of Solana Beach Coastal Rail Trail Maintenance District (District); and WHEREAS, the Assessment Engineer has prepared and filed with the City Clerk of the City of Solana Beach, California and the City Clerk has presented to the City Council such report entitled City of Solana Beach Coastal Rail Trail Maintenance District Engineer's Report FY 2022/23 dated May 24, 2022 (Report) as required by the Act; and WHEREAS, the City Council has carefully examined and reviewed the Report as presented, considered all oral and written comments presented with respect to the District and Report at a noticed Public Hearing and has discussed any necessary or desired modifications to the Report, and is satisfied that the levy for each parcel has been calculated in accordance with the special benefits received from the operation, maintenance and services performed, as set forth in the Report.

NOW, THEREFORE, the City Council of the City of Solana Beach, California does resolve as follows:

1. The above recitals are true and correct.

Resolution 2022-061
Approve Engineer’s Report for CRT Assessment District for FY 2022/23

Page 2 of 3 ends

d. The FY 2022/23 Assessment based upon the Method of Apportionment as approved by the property owners pursuant to the provision of the California Constitution Article XIIID Section 4.
e. An Assessment Range Formula for calculating annual inflationary adjustments to the initial “Maximum Assessment” (Adjusted Maximum Levy per benefit unit), also approved by the property owners. f. The FY 2022/23 Annual Budget (Costs and Expenses) and the resulting FY 2022/23 assessment (levy per benefit unit) for the fiscal year. g. The District Roll containing the levy for each Assessor's Parcel Number within the District for FY 2022/23.

4. The City Council is satisfied with the Report as presented or modified and each and all of the budget items and documents as set forth therein, and is satisfied that the FY 2022/23 annual assessments contained therein are consistent with the assessments approved by the property owners and spread in accordance with the special benefits received from the improvements pursuant to the provisions of the California Constitution Article XIIID.

5. The Report is hereby approved as submitted or modified and ordered to be filed in the Office of the City Clerk as a permanent record and to remain open to public inspection.

Resolution 2022-061
Approve Engineer’s Report for CRT Assessment District for FY 2022/23

Page 3 of 3 ends

6. The City Clerk shall certify to the passage and adoption of this resolution, and the minutes of this meeting shall so reflect the presentation and approval of the Report as submitted or modified.

PASSED AND ADOPTED this 8th day of June, 2022, at a regularly scheduled meeting of the by the City council of the City of Solana Beach by the following vote:

AYES: Councilmembers -
NOES: Councilmembers -
ABSENT: Councilmembers -
ABSTAIN: Councilmembers -
_______________________ _____
LESA HEEBNER, Mayor
APPROVED AS TO FORM: ATTEST:
______________________________ ________________________________ JOHANNA N. CANLAS, City Attorney ANGELA IVEY, City Clerk ---
ATTACHMENT 2
RESOLUTION 2022-062

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

SOLANA BEACH, CALIFORNIA, ORDERING THE LEVY AND

COLLECTION OF ANNUAL ASSESSMENTS REGARDING THE

COASTAL RAIL TRAIL MAINTENANCE DISTRICT FOR FISCAL
YEAR 2022/23
WHEREAS, the City Council has, by previous Resolutions 2022-053, 2022-054 and 2022-055 adopted on May 24, 2022, initiated proceedings to form and declare its intention to levy and collect annual assessments against parcels of land within the City of Solana Beach Coastal Rail Trail Maintenance District (“District”), for the Fiscal Year (FY) commencing July 1, 2022 and ending June 30, 2023 pursuant to the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code of California, beginning with Section 22500 (Act) to pay the costs and expenses of operating, maintaining and servicing the improvements and appurtenant facilities related thereto; and
WHEREAS, Koppel & Gruber Public Finance, the Assessment Engineer selected by the City Council, has prepared and filed with the City Clerk, and the City Clerk has presented to the City Council the Engineer’s Report entitled City of Solana Beach Coastal Rail Trail Maintenance District Engineer's Report FY 2022/23 dated May 24, 2022 (Report) in connection with the proposed levy and collection of special benefit assessment upon eligible parcels of land within the District, and the City Council did by previous Resolution 2022-061 adopted on June 8, 2022 approve such Report; and WHEREAS, the City Council desires to levy and collect assessments against parcels of land within the District for the Fiscal Year commencing July 1, 2022 and ending June 30, 2023 to pay the costs and expenses of operating, maintaining and servicing the improvements and appurtenant facilities related thereto; and WHEREAS, the City Council, following notice duly given, has held a full and fair Public Hearing on June 8, 2022, regarding the levy and collection of assessments as described in the Report prepared in connection therewith, and considered all oral and written statements, protests and communications made or filed by interested persons regarding these matters, pursuant to the Act and in accordance with the provisions of the California Constitution Article XIIID.

NOW, THEREFORE, the City Council of the City of Solana Beach, California does resolve as follows:

1. The above recitals are true and correct.

Resolution 2022-062
Assessment for CRT District for FY 2022/23

Page 2 of 3 ends

3. The City Council has carefully reviewed and examined the Report in connection with the District, and the levy and collection of assessments. Based upon its review of the Report, a copy of which has been presented to the City Council and which has been filed with the City Clerk, the City Council hereby finds and determines that:
a. The territory of land within the District will receive special benefits from the operation, maintenance and servicing of the landscaping, lighting, drainage and appurtenant facilities and improvements related thereto. b. The District includes all of the lands so benefited; and c. The amount to be assessed upon the lands within the District, in accordance with the proposed budget for the fiscal year commencing July 1, 2022 and ending June 30, 2023 is apportioned by a formula and method that fairly distributes the net amount among all eligible parcels in proportion to the special benefits to be received by each parcel from the improvements and services, and the assessments are levied without regard to property valuation.

4. The Report and FY 2022/23 assessments, as presented to the City Council and on file in the office of the City Clerk, are hereby confirmed as filed.

Page 3 of 3 ends

County, the net amount of the assessments, after deduction of any compensation due the County for collection, shall be paid to the City Treasurer.

7. The City Treasurer shall deposit all money from the assessments collected by the County for the District into a fund for the Coastal Rail Trail Maintenance District, and such money shall be expended to pay the costs and expenses of operating, maintaining and servicing the improvements and appurtenant facilities related thereto described above.

8. The adoption of this resolution constitutes the authorization of the District levy for the Fiscal Year commencing July 1, 2022 and ending June 30, 2023.

9. The City Clerk or Clerk's designee is hereby authorized and directed to file the levy with the San Diego County Auditor subsequent to the adoption of this resolution.

PASSED AND ADOPTED this 8th day of June, 2022, at a regularly scheduled meeting of the by the City Council of the City of Solana Beach by the following vote:

CITY OF SOLANA BEACH

COASTAL RAIL TRAIL MAINTENANCE DISTRICT
ENGINEER’S REPORT
FISCAL YEAR 2022/2023
DATE JUNE 8, 2022

TABLE OF CONTENTS
SECTION I. OVERVIEW ....................................................................................................1 SECTION II. PLANS AND SPECIFICATION................................................................... 3 SECTION III. PROPOSED FISCAL YEAR 2022/2023 BUDGET ....................................... 5 A. ESTIMATED FISCAL YEAR 2022/2023 BUDGET .................................... 5 B. DESCRIPTION OF BUDGET ITEMS........................................................ 7 SECTION IV. METHOD OF APPORTIONMENT ............................................................ 8 A. GENERAL ..................................................................................................... 8 B. GENERAL BENEFIT ANALYSIS ............................................................... 8 C. SPECIAL BENEFIT ANALYSIS .................................................................. 9 D. ASSESSMENT METHODOLOGY .............................................................10 E. RATES ...........................................................................................................12 F. ASSESSMENT RANGE FORMULA...........................................................13 SECTION V. ASSESSMENT ROLL...................................................................................14 SECTION VI. ASSESSEMENT DIAGRAM .........................................................................15 City of Solana Beach Coastal Rail Trail Maintenance District Page 1 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
SECTION I. OVERVIEW
A. INTRODUCTION AND BACKGROUND
The Coastal Rail Trail (the “CRT”) is a project sponsored by the cities of Oceanside, Carlsbad, Encinitas, Solana Beach and San Diego for a multi-use pathway (bicycle facilities and pedestrian) that will ultimately extend from the San Luis Rey River in Oceanside to the Santa Fe Depot in San Diego. Each of the sponsoring cities has agreed to construct and maintain the portion of the trail that is located within their jurisdiction.

The City of Solana Beach (the “City”) began construction on their portion of the CRT (“City CRT”) in August 2003 by obtaining outside grants and the City CRT was substantially completed in November of 2004.

The City CRT encompasses approximately 1.7 miles extending from the north boundary of the City at the San Elijo Lagoon and the City of Encinitas to the south boundary of the City at Via de la Valle. The Class I bicycle trail proceeds south through the City, crossing Lomas Santa Fe Road and continuing to Via de la Valle in the City of Del Mar.

The City of Solana Beach Coastal Rail Trail Maintenance District (“District”) was formed in January 2006 in order to provide funding for the maintenance of certain public improvements including but not limited to the operation, maintenance and servicing of landscaping and public lighting improvements along the City CRT. This report constitutes the Fiscal Year 2022/2023 Engineer’s Report for the District.

The City Council pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the Streets and Highways Code of California, beginning with Section 22500 (“Act”) and in compliance with the substantive and procedural requirements of the California State Constitution Article XIIIC and XIIID (“Proposition 218”) and the Proposition 218 Omnibus Implementation Act (Government Code Section 53750 and following) (the “Implementation Act”) desires to levy and collect annual assessments against lots and parcels within the District beginning in the fiscal year commencing July 1, 2022 and ending June 30, 2023 to pay for the operation, maintenance and servicing of landscaping and public lighting improvements along the City CRT. The proposed assessments are based on the City’s estimate of the costs for Fiscal Year 2022/2023 to maintain the City CRT improvements that provide a special benefit to properties assessed within the District. The assessment rates set for Fiscal Year 2022/2023 as set forth in this Engineer’s Report, do not exceed the maximum rates established at the time the District was formed, therefore, the City and the District are not required to go through a property owner ballot procedure in order to establish the 2022/2023 assessment rates.

City of Solana Beach Coastal Rail Trail Maintenance District Page 2 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
B. CONTENTS OF ENGINEER’S REPORT
This Report describes the District boundaries and the proposed improvements to be assessed to the property owners located within the District. The Report is made up of the following sections.

SECTION I. OVERVIEW – Provides a general introduction into the Report and provides background on the District and the assessment.

SECTION II. PLANS AND SPECIFICATIONS – Contains a general description of the improvements that are maintained and serviced by the District.

SECTION III. PROPOSED FISCAL YEAR 2022/2023 BUDGET – Identifies the cost of the maintenance and services to be provided by the District including incidental costs and expenses.

SECTION IV. METHOD OF APPORTIONMENT – Describes the basis in which costs have been apportioned to lots or parcels within the District, in proportion to the special benefit received by each lot or parcel.

SECTION V. ASSESSMENT ROLL – The assessment roll identifies the maximum assessment to be levied to each lot or parcel within the District.

SECTION VI. ASSESSMENT DIAGRAM – Displays a diagram of the District showing the boundaries of the District.

For this Report, each lot or parcel to be assessed, refers to an individual property assigned its own Assessment Parcel Number (“APN”) by the San Diego County (“County”) Assessor’s Office as shown on the last equalized roll of the assessor.

Following the conclusion of the Public Hearing, the City Council will confirm the Report as submitted or amended and may order the collection of assessments for Fiscal Year 2022/2023.

City of Solana Beach Coastal Rail Trail Maintenance District Page 3 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
SECTION II. PLANS AND SPECIFICATION
A. GENERAL DESCRIPTION OF THE DISTRICT
The boundaries of the District are defined as being contiguous with the boundaries of the City of Solana Beach. Solana Beach is located approximately thirty miles north of the City of San Diego in the north coastal area of the County. The City is bordered by the Pacific Ocean to the west, the City of Encinitas to the north, the City of Del Mar to the south and the unincorporated village of Rancho Santa Fe to the east.

The properties within the District include single-family residential, multi-family residential, timeshare, commercial, and industrial parcels. Each parcel has been categorized into three zones based upon their general proximity to the City CRT. Please refer to Section IV D of the Report for a further explanation on the zones included within the District.

B. DESCRIPTION OF SERVICES AND IMPROVEMENTS TO BE MAINTAINED The District provides a funding mechanism for the ongoing maintenance, operation and servicing of landscaping and public lighting improvements that were installed as part of the construction of the City CRT. These improvements may include, but are not limited to, all materials, equipment, utilities, labor, and appurtenant facilities related to those improvements.

The improvements constructed as part of the project that are to be maintained and serviced by the District relate to landscaping and public lighting improvements, and are generally described as follows:
 Concrete and decomposed granite trails including landscaping, irrigation, drainage, grading, lighting, and hardscape features.
 Concrete paths, trees, plantings, lighting, irrigation, conduit, infrastructure, earthwork, trash receptacles, fencing, node structures (bus shelters, art amenities, garden nodes), drinking fountains, signage, and observation deck.  Open space and irrigated and planted slopes located along the Trail.  Public lighting facilities within and adjacent to the City CRT.

Maintenance services will be provided by City personnel and/or private contractors. The proposed improvements to be maintained and services are generally described as follows:

City of Solana Beach Coastal Rail Trail Maintenance District Page 4 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022

LANDSCAPING AND APPURTENANT IMPROVEMENTS
The landscaping improvements and services to be maintained by the District include but are not limited to landscaping, planting, ground cover, shrubbery, turf, trees, irrigation and drainage systems, hardscape, fixtures, sidewalks, fencing and other appurtenant items located along and adjacent to the City CRT.

PUBLIC LIGHTING AND APPURTENANT IMPROVEMENTS
The public lighting improvements to be maintained and serviced include but are not limited to the following, which provide public lighting directly or indirectly to the City CRT or to other public areas associated with or necessary for use of the trail:
 Maintenance, repair and replacement of public light poles and fixtures, including changing light bulbs, painting, photoelectric cell repair or replacement, and repairing damage caused by automobile accidents, vandalism, time, and weather.  Electrical conduit repair and replacement due to damage by vandalism, time and weather.
 Service-call maintenance, repair and replacement including painting, replacing worn out electrical components and repairing damage due to accidents, vandalism, and weather.
 Payment of the electrical bill for the existing street lighting system.  Responding to constituent and business inquiries and complaints regarding the public lighting.

Maintenance means the furnishing of services and materials for the ordinary and usual maintenance, operation and servicing of landscaping and public lighting improvements facilities and appurtenant facilities. This includes repair, removal or replacement of all or part of any of the landscaping and street lighting improvements, or appurtenant facilities; providing for the life, growth, health and beauty of landscaping improvements and for the operation of the lighting improvements.

Servicing means the furnishing of all labor, materials, equipment and utilities necessary to maintain the landscaping improvements and to maintain and operate the public lighting improvements or appurtenant facilities in order to provide adequate illumination.

City of Solana Beach Coastal Rail Trail Maintenance District Page 5 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
SECTION III. PROPOSED FISCAL YEAR BUDGET
A. ESTIMATED FISCAL YEAR 2022/2023 BUDGET
A summary of the proposed District Fiscal Year 2022/2023 budget is summarized, by category, in Table 1 shown on the following page:

City of Solana Beach Coastal Rail Trail Maintenance District Page 6 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
TOTAL
BUDGET

GENERAL

BENEFIT
PORTION1&2

PROPOSED FY
2022/23

ASSESSMENT
Operating and Maintenance
Landscape, Irrigation & Hardscape Maintenance Thru an
Outside Contract (Includes Tree Trimming) $68,500 $13,500 $55,000 Utilities (Water) $20,600 $0 $20,600
Utilities (Electricity) $29,500 $29,500 $0
Trail Maintenance (DG & Concrete Paths) $1,400 $0 $1,400 Graffiti Abatement $200 $0 $200
Total Operating and Maintenance Costs $120,200 $43,000 $77,200 Capital Replacement
Landscape & Irrigation Replacement $3,600 $200 $3,400
Pedestrian/Bicycle Path Replacement $2,600 $200 $2,400
Hardscape Features Replacement (water fountain, art
work, bus shelter) $2,600 $200 $2,400
Reserves
Fiscal Year 2022/2023 Reserve Collection $0 $0 $0
Total Capital Replacement and Reserves $8,800 $600 $8,200 District Administration Costs
County SB 2557 Costs $300
County Electronic Data Processing Costs $601
City Administration/Consultant Costs $7,600
Total Administration Costs $8,501
TOTAL BUDGET $93,901
LESS OPERATING RESERVES USED IN FY2 ($10,122)
TOTAL ASSESSMENT AMOUNT $83,779
Total Parcels in the District 13,128
Total Parcels Levied 5,654
Total Equivalent Benefit Units 10,446.38
Proposed Levy Per Equivalent Benefit Unit $8.02
Inflation Percentage Applied to Proposed Levy Per EBU 2.00% Beginning Balance as of 7/1/22 $104,498
FY 2022/2023 Collection $83,779
Expenditures ($93,901)
Projected Ending Balance as of 6/30/233 $94,376
Maximum Recommended Cash Flow Reserve Amount $41,890

1. While the cost of the electricity is not 100% general benefit, the City is paying for the entire cost through other available funds and none of the cost is being allocated to the parcels located within the District.

2. The CRT landscaping cost is greater than the available funding from the District so other available funding is being utilized to cover the difference.

3. The City is developing a plan on how to utilize the operating reserves on the CRT in the future.

ADMINISTRATION COSTS

AMOUNT TO LEVY

OPERATING RESERVES
Table 1

CITY OF SOLANA BEACH

COASTAL RAIL TRAIL MAINTENANCE DISTRICT
2022/23 BUDGET

OPERATING AND MAINTENANCE COSTS

CAPITAL REPLACEMENT AND RESERVES
City of Solana Beach Coastal Rail Trail Maintenance District Page 7 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
B. DESCRIPTION OF BUDGET ITEMS
The following is a brief description of the major budget categories that includes the detailed costs of maintenance and services for the District included in the table above.

OPERATING AND MAINTENANCE COSTS – This includes the costs of maintaining and servicing the landscaping and lighting improvements. This may include, but is not limited to, the costs for labor, utilities, equipment, supplies, repairs, replacements and upgrades that are required to properly maintain the items that provide a direct benefit to properties located within the District.

CAPITAL REPLACEMENT AND RESERVES – These items provide a funding source to pay for items that wear out over time, other unanticipated items not directly budgeted for and for the replacement of the landscaping, pathways and hardscape features located along and adjacent to the City CRT.

ADMINISTRATION COSTS – This includes the indirect costs not included above that are necessary to pay for administrative costs related to the District, including the levy and submittal of the assessments to the County to be placed on the Fiscal Year 2022/2023 County equalized tax roll, responding to property owner inquiries relating to the assessments and services, and any other related administrative costs.

City of Solana Beach Coastal Rail Trail Maintenance District Page 8 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
SECTION IV. METHOD OF APPORTIONMENT
A. GENERAL
The 1972 Act permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements, which include the construction, maintenance, and servicing of landscaping and public lights and appurtenant facilities.

Streets and Highways Code Section 22573 requires that maintenance assessments be levied according to benefit rather than the assessed value. “The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements.”
In addition, Article XIIID and the Implementation Act require that a parcel’s assessment may not exceed the reasonable cost for the proportional special benefit conferred to that parcel. A special benefit is a particular and distinct benefit over and above general benefits conferred on property located within the assessment district. Article XIIID and the Implementation Act further provides that only special benefits are assessable and the City must separate the general benefits from the special benefits. They also require that publicly owned properties which specifically benefit from the improvements be assessed.

B. GENERAL BENEFIT ANALYSIS
The improvements described in Section II B of this Report are for the special benefit, enhancement and use of properties within the District. However, the City CRT was constructed as a portion of a much larger regional trail that will extend from the City of Oceanside to the north to the City of San Diego to the south. Residents and property owners located in each of the cities along the trail will receive a special benefit from the construction and maintenance of the trail within their city. Residents from each of these cities will have an opportunity to use the entire trail upon completion including the portion in Solana Beach which creates a general benefit.

Additionally, included among the different property types in the City are timeshare units.

Though individuals may purchase and “own” their timeshare unit, their ownership rights are limited and temporary (typically one week per year.) Owners of timeshare units have an opportunity to use the CRT while vacationing in the City. Due to the limited ownership time-frame of timeshare owners, their special benefit is limited and thus considered as part of the general benefit similar to the general benefit to the public at large.

The general benefit portion of the assessment has been determined by looking at each participating city’s trail length as a factor or the entire trail. The City of Solana Beach’s portion of the CRT is 1.7 miles compared to the entire proposed trail length of 44.0 miles.

Comparing the length of the City CRT to the total length of the CRT results in a general City of Solana Beach Coastal Rail Trail Maintenance District Page 9 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
benefit of 3.86%. Engineering also determined that timeshares add an additional 2.0% general benefit impact. For rounding purposes after adding the two components (3.86% +

2.0%) the general benefit is considered to be 6.0% overall to the public at large. The budget has been allocated to parcels based on their special benefit share. In addition, the City is paying 100% of the electricity costs, totaling $29,000, for the District through funds available from other sources resulting in over 30% of the costs paid directly by the City.

C. SPECIAL BENEFIT ANALYSIS
Each of the proposed improvements and the associated costs and assessments within the District has been reviewed, identified and allocated based on special benefit pursuant to the provisions of Article XIIID, the Implementation Act, and the Streets and Highways Code Section 22573.

Proper maintenance and operation of the City CRT landscaping, hardscape, open space and public lighting provides special benefit to adjacent properties by providing community character, security, safety and vitality. Additionally, one of the purposes of the trail is to facilitate alternative transportation opportunities in order to reduce air pollution and vehicular traffic congestion which provide special benefit to the properties within the District.

TRAIL AND LANDSCAPING SPECIAL BENEFIT
Landscaping and appurtenant facilities, if well maintained, provide beautification, shade and enhancement of the desirability of the surroundings, and therefore increase property values. Specifically, they provide a sense of ownership and a common theme in the community providing aesthetic appeal, recreational and health opportunities and increased desirability of properties.

PUBLIC LIGHTING SPECIAL BENEFIT
The operation, maintenance and servicing of public lighting along and adjacent to the City CRT provide safety and security to properties along City CRT specifically as follows:
 Improved security, deterrence of crime and aid to police and fire protection.  Reduced vandalism and damage to the improvements and property.  Increased business activity to the coastal community during nighttime hours.

City of Solana Beach Coastal Rail Trail Maintenance District Page 10 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
D. ASSESSMENT METHODOLOGY
To establish the special benefit to the individual lots or parcels within the District, an Equivalent Benefit Unit system based on land use is used along with a Zone Factor based on geographic proximity to the City CRT.

EQUIVALENT BENEFIT UNITS
Each parcel of land is assigned an Equivalent Benefit Unit in proportion to the estimated special benefit the parcel receives relative to other parcels within the District. The single family detached (“SFD”) residential property has been selected as the basic unit for calculating assessments; therefore, a SFD residential parcel equals one Equivalent Benefit Unit (“EBU”).

The EBU method of apportioning benefit is typically seen as the most appropriate and equitable assessment methodology for districts formed under the 1972 Act, as the benefit to each parcel from the improvements are apportioned as a function of land use type, size and development. A methodology has been developed to relate all other land uses to the SFD residential as described below.

EBU APPLICATION BY LAND USE:

SINGLE-FAMILY RESIDENTIAL — This land use is defined as a fully subdivided residential parcel in which a tract map has been approved and recorded. This land use is assessed 1.0 EBU per lot or parcel. This is the base value that all other land use types are compared and weighted against (i.e. Equivalent Benefit Unit or EBU).

RESIDENTIAL CONDOMINIUM — This land use is defined as a fully subdivided residential parcel that has more than one residential unit developed on the property with individual unit ownership. This land use is assessed 1.0 EBU per dwelling unit.

MULTI-FAMILY RESIDENTIAL — This land use is defined as a fully subdivided residential parcel that has more than one residential unit developed on the property not available for individual unit ownership. This land use is assessed 0.75 EBU per dwelling unit.

PLANNED-RESIDENTIAL DEVELOPMENT — This land use is defined as any property not fully subdivided with a specific number of proposed residential lots or dwelling units to be developed on the parcel. This land use type is assessed at 1.0 EBU per planned (proposed) residential lot or dwelling unit.

COMMERCIAL/INDUSTRIAL — This land use is defined as property developed for either commercial or industrial use. This land use type is assessed at 1.0 EBU per parcel.

VACANT SINGLE-FAMILY RESIDENTIAL — This land use is defined as property currently zoned for single-family detached residential development, but a tentative or final tract map has not been submitted and/or approved. This land use is assessed at 1.0 EBU per parcel.

VACANT MULTI-FAMILY RESIDENTIAL — This land use is defined as property currently zoned for multi-family residential development, but a tentative or final tract map has not been submitted and/or approved. This land use is assessed at 0.75 EBU per parcel.

City of Solana Beach Coastal Rail Trail Maintenance District Page 11 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
VACANT COMMERCIAL/INDUSTRIAL — This land use is defined as property currently zoned for either commercial or industrial use. This land use is assessed at 1.0 EBU per parcel.

EXEMPT PARCELS — This land use identifies properties that are not assessed and are assigned 0.0 EBU. This land use classification may include, but is not limited, to lots or parcels identified as public streets and other roadways (typically not assigned an APN by the County); dedicated public easements, open space areas and right-of-ways including greenbelts and parkways; utility right-of-ways; common areas, sliver parcels and bifurcated lots or any other property that can not be developed; park properties and other publicly owned properties that are part of the District improvements or that have little or no improvement value. These types of parcels are considered to receive little or no benefit from the improvements and are therefore exempted from assessment.

PUBLIC OWNED PARCELS — This land use identifies properties that are not assessed and are assigned 0.0 EBU. This land use classification includes other typically non-assessed parcels that are not considered exempt parcels and may include, but is not limited, to lots or parcels identified as schools, government owned buildings, fire and police stations, and administration offices. These types of properties are considered to receive little special benefit from the improvements and any benefit that they may receive is considered to be part of the City’s general benefit contribution to the District.

ZONE FACTOR
The District was divided into three zones based on the proximity of parcels in location to the City CRT. Properties located the closest to the trail will receive a greater special benefit as compared to those parcels the farthest away. In order to calculate this into the assessment a factor is applied to each parcel according to the following Zone location.

ZONE 1 PROPERTIES – This Zone is defined as properties located adjacent to or within a few blocks of the City CRT improvements. This includes all properties that are generally located east of Acacia and Sierra Avenue and west of Rios Avenue. Parcels located in this zone use the EBU amounts derived above based on land use and then multiplied by a proximity factor of three (3).

ZONE 2 PROPERTIES – This Zone is defined as properties located close to the improvements but not adjacent to the City CRT or properties defined as Zone 1 Properties. This includes all properties that are generally located west of Acacia Avenue and also those properties located east of Rios Avenue and west of Interstate-5. Parcels located in this zone use the EBU amounts derived above based on land use and then multiplied by a proximity factor of two (2).

ZONE 3 PROPERTIES – This Zone is defined as properties located the furthest away from the City CRT improvements. This includes all properties that are located east of Interestate-5. Parcels located in this zone use the EBU amounts derived above based on land use and then multiplied by a proximity factor of 0.5.

City of Solana Beach Coastal Rail Trail Maintenance District Page 12 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
The following table summarizes the EBU and Zone Factors based on land use.

Land Use Description
Equivalent
Benefit Units
(EBUs) Per
Zone 1
Multiplier
Zone 2
Multiplier
Zone 3
Multiplier
No. of EBUs
for Property
in Zone 1
No. of EBUs
for Property
in Zone 2
No. of EBUs
for Property
in Zone 3
Single Family Residential 1.00 Lot or Parcel 3.00 2.00 0.50 3.00 2.00 0.50 Residential Condominium 1.00 Dwelling Unit 3.00 2.00 0.50 3.00 2.00 0.50 Multi-Family Residential 0.75 Dwelling Unit 3.00 2.00 0.50 2.25 1.50 0.38 Planned Residential Development 1.00
Lot or Dwelling
Unit 3.00 2.00 0.50 3.00 2.00 0.50
Commercial/Industrial 1.00 Parcel 3.00 2.00 0.50 3.00 2.00 0.50 Vacant Single Family Residential 1.00 Parcel 3.00 2.00 0.50 3.00 2.00 0.50 Vacant Multi-Family Residential 0.75 Parcel 3.00 2.00 0.50 2.25 1.50 0.38 Vacant Commercial/Industrial 1.00 Parcel 3.00 2.00 0.50 3.00 2.00 0.50 Timeshare Units 0.00
1 week of
ownership 3.00 2.00 0.50 0.00 0.00 0.00
Exempt Parcels 0.00 Parcel 3.00 2.00 0.50 0.00 0.00 0.00 Public Owned Parcels 0.00 Parcel 3.00 2.00 0.50 0.00 0.00 0.00 Table 2

CITY OF SOLANA BEACH

COASTAL RAIL TRAIL MAINTENANCE DISTRICT

EQUIVALENT BENEFIT UNITS AND ZONE FACTOR BY LAND USE
In order to determine the maximum annual assessment rate for each type of land use described above, the following formula is applied:

Applicable EBU * Applicable Zone Factor*Maximum Assessment Rate per 1.0 EBU=Assessment Rate per Unit/Parcel.

E. RATES
Table 3 below shows the maximum assessments rates proposed to be levied in Fiscal Year 2022/2023 by land use. Because the San Diego Consumer Price Index for All Urban Consumers (“CPI-U”) was over 2.00% for 2021 (5.21%), the maximum assessments were increased by 2.00% as allowed for in the assessment range formula discussed below.

City of Solana Beach Coastal Rail Trail Maintenance District Page 13 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
Land Use Description Per
Base Rate for
Zone 1
Base Rate
for Zone 2
Base Rate
for Zone 3
Single Family Residential Lot or Parcel $24.06 $16.04 $4.01 Residential Condominium Dwelling Unit $24.06 $16.04 $4.01 Multi-Family Residential Dwelling Unit $18.04 $12.03 $3.01 Planned Residential Development
Lot or Dwelling
Unit $24.06 $16.04 $4.01
Commercial/Industrial Parcel $24.06 $16.04 $4.01
Vacant Single Family Residential Parcel $24.06 $16.04 $4.01 Vacant Multi-Family Residential Parcel $18.04 $12.03 $3.01 Vacant Commercial/Industrial Parcel $24.06 $16.04 $4.01 Timeshare Units
1 week of
ownership $0.00 $0.00 $0.00
Exempt Parcels Parcel $0.00 $0.00 $0.00
Public Owned Parcels Parcel $0.00 $0.00 $0.00

COASTAL RAIL TRAIL MAINTENANCE DISTRICT

EQUIVELANT BENEFIT UNITS AND ZONE FACTOR BY LAND USE
Table 3

CITY OF SOLANA BEACH
F. ASSESSMENT RANGE FORMULA
The purpose of establishing an Assessment Range Formula is to provide for reasonable inflationary increases to the annual assessments without requiring the District to go through an expensive balloting process required by law in order to get a small increase.

On July 1, 2007 and each year thereafter, the Maximum Assessment Rate shall be increased by the lesser of Local CPI-U in the San Diego County area or 2.0%. The CPI-U used shall be as determined annually by the Bureau of Labor Statistics beginning with the CPI-U rate increase for 2006.

Beginning in the Fiscal Year 2007/2008 the Maximum Assessment may be increased using the lesser of the increase in the CPI-U from first year levy (the Assessment Range Formula) or 2.0%. This Assessment Rate Formula would be applied every fiscal year thereafter and a new Maximum Assessment will be established to include the allowable increase.

The Maximum Assessment adjusted annually by this formula is not considered an increased assessment. Although the Maximum Assessment will increase each year, the actual assessment will only reflect the necessary budgeted amounts and may remain unchanged. Increases in the budget or an increase in the rate in one year from the prior year will not require a new 218 balloting unless the rate is greater than the Maximum Assessment adjusted to reflect an increase in the CPI-U.

City of Solana Beach Coastal Rail Trail Maintenance District Page 14 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
SECTION V. ASSESSMENT ROLL
Parcel identification, for each lot or parcel within the District shall be the parcel as shown on the County Assessor's map for the year in which this Report is prepared.

City of Solana Beach Coastal Rail Trail Maintenance District Page 15 Fiscal Year 2022/2023 Engineer’s Report 5/31/2022
SECTION VI. ASSESSMENT DIAGRAM
The parcels within the District consist of all lots, parcels and subdivisions of land located in the City. A boundary map of the area is attached.
900· 450• o· 900'
SCALE : 1 • = 900'
334 Via Vera Crus SUlte 268 San 11a!'0011, California 82078 Plume (780) 610-0290 Fu: (780) 610-0288 (05-057) APRIL 2005

CITY OF

SAN DIEGO
SHEET 1 OF 1
FILED IN THE omcE OF THE CITY CLERK OF THE CITY OF SOLANA BEACH THIS __ DAY OF ________ 2005.

I HEREBY CERTIFY THAT THE V.,THIN MAP SHOV.,NG PROPOSED BOUNDARIES

OF THE COASTAL RAIL TRAIL MAINTENANCE DISTRICT, CITY OF SOLANA

BEACH, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, WAS APPROVED BY THE CITY COUNCIL OF THE CITY OF SOLANA BEACH AT A REGULAR MEETING THEREOF, HELD ON THE ___ DAY OF _______ _ 2005, BY ITS RESOLUTION NO. ________ _

CITY CLERK

CITY OF SOLANA BEACH
FILED THIS ___ DAY OF----~-- 2005, AT THE
HOUR OF ____ O'CLOCK --~M. IN BOOK ___ OF MAPS OF
ASSESSMENT AND COMMUNITY FACILITIES DISTRICTS, AT PAGE(S) __ AND AS INSTRUMENT NO. _______ IN THE OFFICE OF THE
COUNTY RECORDER IN THE COUNTY OF SAN DIEGO, STATE OF CALIFORNIA.

COUNTY RECORDER

COUNTY OF SAN DIEGO

STATE OF CALIFORNIA
NOTE: FOR PARTICULARS OF THE LINES AND DIMENSIONS OF ASSESSOR'S

PARCELS, REFERENCE IS MADE TO THE MAPS OF THE SAN DIEGO COUNTY

ASSESSOR OF SAN DIEGO COUNTY RECORDS, WHICH MAPS SHALL GOVERN FOR ALL DETAILS RELATING THERETO.

PROPOSED BOUNDARY MAP OF

COASTAL RAIL TRAIL MAINTENANCE DISTRICT

CITY OF SOLANA BEACH

COUNTY OF SAN DIEGO

STATE OF CALIFORNIA

CITY OF SOIANA BEACH

CITY OF SOLANA BEACH

COAST AL RAIL TRAIL MAINTENANCE DISTRICT
Engineer's Report
Fiscal Year 2022/2023
The undersigned respectfully submits the enclosed Report as directed by City Council.

Report Submitted By:

By:-------------- Scott Koppel
Koppel & Gruber Public Finance
Mohammad Sammak
City of Solana Beach Coastal Rail Trail Maintenance District Fiscal Year 2022/2023 Engineer's Report

Page 16 ends

5/11/2022
CITY COUNCIL ACTION: ____________________________________________________ _________________________________________________________________________ AGENDA ITEM # C.1.

STAFF REPORT

CITY OF SOLANA BEACH
TO: Honorable Mayor and City Councilmembers
FROM: Gregory Wade, City Manager
MEETING DATE: June 8, 2022
ORIGINATING DEPT: City Manager’s Office
SUBJECT: FY 2022/23 Community Grant Program Requests
____________________________________________________________________________ BACKGROUND:

On May 4, 2004, the City Council adopted Resolution No. 2004-68 approving Council Policy No. 14 establishing the Community Grant Program (“Grant Program”) and Application Guidelines for the Grant Program.

At the March 9, 2022 City Council Meeting, the City Council authorized the Fiscal Year (FY) 2022/23 Community Grant Program. The FY 2022/23 Proposed Budget contains an appropriation of $25,000 to fund the Community Grants Program. Included in the $25,000 appropriation is a $15,000 contribution from EDCO as part of the community enhancement efforts through the solid waste Franchise Agreement with the City.

Following the approval of the FY 2022/23 Community Grant Program, Staff distributed a request for financial assistance for community grants. Staff utilized the City’s “e-blast” notification system, social media accounts (Facebook and Twitter), and the City’s website to notify the community that the request for proposals application period had started. The deadline for submission was May 26, 2022.

This item is before the City Council to review the grant applications received and to allow the applicants to make a brief presentation regarding their proposed programs.

DISCUSSION:

The community grant criteria approved by the City Council on March 9, 2022 was incorporated into the application guidelines of the “Request for Financial Assistance” document for FY 2022/23 (Attachment 1). The highlights of the application are as follows:

Application Criteria

1. Preferences will be given towards non-profits that provide services/goods to Solana Beach groups or individuals with special economic needs that are not being met in the June 8, 2022
FY 2022-23 Community Grants Program Requests

Page 2 of 4 ends

economic environment. These can be non-profits whose funding has been reduced or eliminated and are unable to serve the populations in need.

2. Fair and justifiable program costs (budget required).

3. Program Originality (new and unique).

4. Collaboration/Partnerships.

5. Leverage of matching funds/resources.

6. Applicants must submit a financial conditions (Balance Sheet) statement as well as the applicant(s) revenue/expenditure statements and tax return statements for the prior operating year.

7. Completion of project between date of grant approval through May 31, 2023.

8. Grant funds are only intended for non-governmental agencies.

Qualifying Criteria for Financial Assistance
The main qualifying criteria for financial assistance under Council Policy No. 14 are summarized below:

Non-Profit Organizations
Nonprofit organizations which have officially filed as a nonprofit with the State of California and have a 501(c)3 certification must attach a copy of their current year non-profit certification form along with a Request for Financial Assistance Application. For organizations that are “recognized” nonprofits within the community but have never formally filed with the State, the City Council, at its discretion, may consider their application. It has been the practice in the past to allow applicants to submit a letter from either the Internal Revenue Service (IRS) or the California State Board of Equalization declaring the entity’s tax-exempt status for the 501(c)3 certification.

Threshold Qualifying Criteria
Request for Financial Assistance Applications are limited to non-governmental, nonprofit organizations serving the Solana Beach community. Excluded entities include the following:

County of San Diego, municipal organizations, special or water districts, school districts, schools (but not their supporting organizations) and private individuals. Applicants should have a State of California non-profit status certification or be a recognized Solana Beach “nonprofit” service, civic or youth organization.

June 8, 2022
FY 2022-23 Community Grants Program Requests

Page 3 of 4 ends

Grant Requests FY 2022/23
The following eleven (11) applications were received by the City during the solicitation period (in alphabetical order).

Applicant Amount Requested
Assistance League Rancho San Dieguito $3,000
Boys and Girls Club of San Dieguito $5,000
Casa De Amistad $5,000
Community Resource Center $2,500
Disconnect Collective, Inc. $5,000
La Colonia Community Foundation $5,000
North Coast Repertory Theatre $5,000
Pathways to Citizenship $5,000
Rancho Santa Fe Youth Soccer $2,270
Solana Beach Civic & Historical Society $5,000
San Diego Organizing Project $5,000
Total $47,770
The complete applications are included in a separate attachment that was distributed to Council along with the agenda packet prior to the City Council meeting.

Santa Fe Christian (SFC) Schools Cooperation
Ten years ago, the City and SFC created a unique partnership to more efficiently and effectively assist the non-profit organizations that specifically serve the La Colonia de Eden Gardens community. This partnership, which has included a contribution ranging from $10,000 - $25,000 from SFC in past years, has allowed both the City and SFC to maximize its limited resources to provide the most benefit for this underserved population. SFC has confirmed their generous contribution amount of $25,000 for this year’s partnership.

CEQA COMPLIANCE STATEMENT:

Not a project as defined by CEQA.

FISCAL IMPACT:

The FY 2022/23 Proposed Budget contains an appropriation in the amount of $25,000 to be used to fund community grants, subject to the City Council’s discretion. All fiscal appropriations are budgeted under the City Council budget unit Contribution to Other Agencies.

In past years, the Council has authorized an additional $5,000 from the Reserve Public Arts Account to be used to fund the North Coast Repertory Theatre grant application.

WORK PLAN:

N/A
June 8, 2022
FY 2022-23 Community Grants Program Requests

Page 4 of 4 ends

OPTIONS:
• Approve Staff recommendation
• Approve Staff recommendation with modifications
• Deny Staff recommendation and provide direction
DEPARTMENT RECOMMENDATION:

Staff recommends that the City Council receive the Staff Report, Community Grant applications and consider the presentations from the grant applicants. This item will come back to the City Council at the June 22, 2022 City Council Meeting for Council’s grant allocations.

CITY MANAGER RECOMMENDATION:

Approve Department Recommendation
_________________________
Gregory Wade, City Manager
Attachments:

1. City of Solana Beach Community Grant Program “Request for Financial Assistance” FY 2022/23

2. Grant Applications
City of Solana Beach
Community Grant Program
Request for Financial Assistance
FY 2022-23

APPLICATION GUIDELINES
The City of Solana Beach is soliciting grant applications until 5:00 p.m., Thursday, May 26, 2022. The City Council has a total of $25,000 available for community organizations. A maximum of two grant applications may be submitted per community organization. Grants will be awarded with a maximum award of $5,000.

Request for Grants are limited to non-governmental, nonprofit organizations serving the Solana Beach community. Excluded entities include the following: County of San Diego, Municipal Organizations, Special or Water Districts, school districts or schools (but not their supporting organizations), and private individuals.

Grant Application & Documents Required
Applicants must complete the attached application form and provide the following documents:
• Summary of organization’s (overall) budget
• Proposed program budget detailing costs which are fair and reasonable. • Financial Statements including the Balance Sheet and Revenue/Expenditure Statement, and the Tax Statements filed for the prior year. • W-9 Form
• California Franchise Tax Board Entity Status Letter showing nonprofit status • Non-Profit Organizations
Organizations which have filed as a nonprofit with the State of California must attach a copy of its current year 501 (c) 3 nonprofit certification form.

Organizations that are “recognized” nonprofits within the community but have not formally filed with the State, will be considered at the City Council’s discretion. Note, any decision made by City Council is final in regards to the community grants process.

Program Requirements;
• Must serve the residents of Solana Beach.
• Preferred to be a new program or one that provides a new or unique aspect to an existing program. Funds are available as one-time seed-money to augment a community program.

Application Submittal and Deadline: NO LATER THAN 5:00 p.m. Thursday, May 26, 2022 It is the City’s preference that completed forms be received via email to [email protected] and copied to [email protected]. If email submission is not possible for an applicant, hard copies may be dropped off at City Hall 635 South Highway 101, Solana Beach, CA. 92075, Attn: Community Grants Program.

Please contact Dan King, Assistant City Manager, at (858) 720-2477 if you need additional information.

Applications will be judged and selected on the following criteria:

Preferences will be given towards non-profits that provide services/goods to Solana Beach groups or individuals with special economic needs that are not being met in the economic environment. These can be non-profits whose funding has been reduced or eliminated and are unable to serve these populations in need.

Program costs that are fair and justifiable.

Program originality (new and unique).

Consideration may be given to applications that collaborate or partner with other organizations.

Consideration may be given to applications which receive matching funds from other organizations.

Consideration may be given to applications as decided by the City Council.

Information provided on application will be used to review prior grant management and performance history. Significant non-compliance issues will be taken into consideration and may affect future funding decisions by the City Council.

Grant Award and Expenditures:

The City Council, at its discretion, may modify the grant award to qualified recipients based on qualifying criteria, number of qualified applicants received, and purpose of request to meet areas as enumerated by the City Council that benefit the Solana Beach community.

The total of all grant awards may not exceed $25,000.

Grants will be funded after the approval of the awards by the City Council. Expenses must be directly related to services or materials of proposed activity during the grant award period (Date of Grant Approval through May 31, 2023). Grantees will be required to maintain records to support claimed expenditures and project accomplishments. Funds for the proposed project must not be used to replace or offset funding sources normally available for any portion of the project, nor be used by the applicant to fund/supplement its own monetary giving.

Final Report and Receipts:

The City Manager’s Office will review submitted copies of paid receipts/invoices and a written report to ensure that funds were spent in compliance with the approved application. Applicant(s) will be required to reimburse the City of Solana Beach all inappropriately spent funds.

PROGRAM FY 2022-23 KEY DATES:

April 28, 2022 Distribute Grant Program Application, have it available and solicit for applications.

May 26, 2022 DEADLINE for Request for Financial Assistance Applications (5:00pm). The City Manager’s Office will review each application and make recommendations based upon:
1) Completed application;
2) Clear indication of the grant amount requested;
3) Receipt of grant application before the deadline WITH attachments;
4) Benefit to Solana Beach community and conformity with threshold criteria.

June 8, 2022 First Council Review: All eligible grant applications for Fiscal Year 2022-23 will be considered by City Council. Review and public comment/presentations will be accepted.

June 22, 2022 Final Council Review: Council makes decision and approves grant recipients. The City Manager will be directed to issue awards to recipients. Announcement of grant award recipients is made to community via public notification.

May 1, 2023 Letter will be sent to FY 2022-23 grant recipients reminding them to submit their reports and copies of receipts by May 31, 2023. (Exception to the May 31, 2023 completion date can be made with proof of good cause.)
May 31, 2023 All FY 2022-23 grant recipients must submit copies of paid receipts/invoices and written report, that includes the number of citizens served and outcome of grant funded activity. If no paid receipts/invoices are received, recipient will be required to immediately reimburse City of Solana Beach grant funds.

All grant recipients’ final reports will be submitted before the City Council for approval of expenditures. If determination is made that funds were expended inappropriately, Council will direct Grant recipients to reimburse the City of Solana Beach for the designated amount of award.

SOLANA BEACH

COMMUNITY GRANTS
FISCAL YEAR 2022-2023

CITY OF SOLANA BEACH

COMMUNITY GRANT PROGRAM
Fiscal Year 2022 - 2023

1. ASSISTANCE LEAGUE OF RANCHO SAN DIEGUITO

2. BOYS ANO GIRLS CLUBS OF SAN DIEGUITO

3. CASA DE AMIST AO

4. COMMUNITY RESOURCE CENTER

5. DISCONNECT COLLECTIVE

6. LA COLONIA COMMUNITY FOUNDATION

7. NORTH COAST REPERTORY THEATER

8. PATHWAYS TO CITIZENSHIP (FORMERLY NCICC)

9. RANCHO SANTE FE YOUTH SOCCER

10. SOLANA BEACH CIVIC & HISTORICAL SOCIETY

11. SAN DIEGO ORGANIZING PROJECT
$3,000.00
$5,000.00
$5,000.00
$2,500.00
$5,000.00
$5,000.00
$5,000.00
$5,000.00
$2,270.00
$5,000.00
$5,000.00

ASSISTANCE
LEAGUE

OF RANCHO

SAN DIEGUITO
...... 0•·~{1~
, #}JI
1':Jt,O
The City of Solana Beach Community Grant Program
Request for Financial Assistance Application FY 2022-23 All Applications MUST BE RECEIVED by 5:00 p.m. Thursday, May 26, 2022.

Please Print Clearly or Type. All requests will be determined by the following criteria:

Name of Organization: Assistance League of Rancho San Dieguito Mailing Address: 270 F North El Camino Real, Box 368 __________ _ City: Encinitas ___________ State: CA ___ Zip: 92024
Contact Person: Kathy O'Leary _____ Email address: alrsd1 [email protected] Daytime Phone: 760-753-1319 Evening Phone: 760-753-1319 ____ _

1. All the documents below are attached to this application:
[!I W-9
[!I Summary of Organization's Budget
[!] Proposed Program Budget
[!] Financial and Tax Statements (see Application Guidelines) ~ A copy of the California Franchise Tax Board Entity Status Letter, showing exemption under Section 23701 d or Internal Revenue Code section 501 (c)(3)

2. Has your organization received financial assistance from the City before? II Yes □ No

3. If yes, please state the fiscal year it was received and for the proposed program was:

Shoes for Preschoolers/ Operation School Bell from 2014-2022

4. Title of FY 2022-23 Proposed Program/Service:

Shoes for Preschoolers/ Operation School Bell

5. What is the total amount requested for the FY 2022-23 Proposed Total Program? Includes all esti'T!,ated costs to conduct proposed activity/program.

Our request is for $3000. We plan on providing shoe events at Marshall"s store in Solana Beach.

We would invite all the preschoolers at St. Leo's Head Start which is usually 75 students. Each child would be able to buy one pair of shoes. Last year the average cost of a pair of shoes was $40.

Page 11 ends

6. Grant funds must be used for services or materials directly associated to proposed activity.

Please describe how grant funds will be used:
_We invite the preschool children and their families from St. Leo's Head Start pnrgram to_come to Marshall's in Solana Beach to shop for shoes The grant money is divided equally among the children.

Last year there were only 40 children, so they had more money to spend on shoes and_clotbes Assistance I eag11e members are there to help We plan the shoe events for two dates in March.

7. Anticipated Program Objectives or Accomplishments:

We invite all the children and their families from the Head Start Program. They choose one of the two dates in March. Many of these children have never had a new pair of shoes--or bad the experience of shopping with their families This is a very special opportunity tor the children and their families Ibey know that tbe community cares about them.

8. Program Dates/Location:

Iwo days in March 2023

9. Estimated number of Solana Beach residents to be served by proposed program:
75 10. How will the organization acknowledge the City's financial contribution to the community/ beneficiaries of the proposed activity?
1\ssistance League will list the City of Solana Beach Community Grants as one of our donors in publciity materials: community ne\•1slettcr, the program for our aAru:1al fundrsiser, ore our vtebsite,at our Encinitas Thrift Shop aAd OR other grant applications.

11. Will there be any matching funds or other grants that would be applied to this program or service? If awarded this grant, will that enable other funding sources? _No, there are no matching funds or gifts.

Ibe grants pays far the entire program

12. Will volunteers be used for the proposed program or service and, if so, will they reduce expenses?
~Our volunteer members wm work at the Marshall's store during the program Our volunteers are not paid and we don't pay the staff at Marshall's.

Page I 2

However. fewer students wouid be invited.

If we receive less than $1500. we will not do the program.

Acknowledgment of Responsibility:

Authorized Signature assumes all responsibility for developing and implementing proposed activities or events in this application, including public .acknowledgment of.the City's financial contribution. Authorized signature will complywithall accounting and budget procedures outlined by the City. Authorized signature and c1ccornpanying group will hold harmless the City of Solana Beach from all losses,.claims, accid~nts, clnd Prpl:>lerns a~sociated, directly or indirectly with the development and implementation of proposed a~tiViti~s or ~vents.

Authorized Signature of Organization
??1_¥ ,;z3) o2.oo'lr
Date
ALL INFORMATION REQUESTED ON THI$ APP4.!.~(\TJQf\J MUST BE COMPLETED AS A

CONDITION FOR BEING CONSIDERED FOR PUBLIC FUNDS BY THE CITY COUNCIL OF SOLANA BEACH.

Page I 3
Assistance League of Rancho San Dieguito
Shoes for Preschoolers at Marshall in Solana Beach
Budget for 2022-2023
75 preschoolers x $40 each = $3000
Assistance League of Rancho San Dieguito
Profit & Loss
Income
4000 • Contributions
4100, Grants
4201 • Thrift Shop
4300 • Special events
4500 • Investment Income
4600 • Member-Only
Total Income
Gross Profit
Expense
04/08/2022
5100 • Philanthropic Programs
5200 • Thrift Shop Expense
5300 • Fundraising Expense
5600 • Special Events Expense
5800 • Management & General
5900 • Member Only expense
Total Expense
Net Income
Draft Budget
Jun '22 • May 23
33,575.00
32,200.00
199,000.00
34,000.00
370.00
9,095.00
308,240.00
308,240.00
173,240.00
143,545.00
900.00

0.00 13,380.00
7,175.00
338,240.00
-30,000.00
New Phil Project

Page 1 of 1 ends

r·u1111_..,....,
Return of Organizad?n E~empt From lm:QmeTax · Under section 501 (c), 521/ or 4947(.i)(l );of'theJritemal Revenue Code (except,ptfyiite;:{oundations) Pn1~i~~r~~~~~:es!1ift~ry ,, ► ~cft~0~Ji:iittk~~1J1t2~r,~j3gtmiri!0~J;ge~i:~~t1~f~~l1~n:
8 Chei:kftiipplicabiii: C - ·' I), l;~pl<>yeriderrtilic;,tic,rj,j~!~ibjli( ' · A~ifressc/Jaoge .· Assistance League of Ranch~· San Dieguito 33-0556542 Narilechan~e · 270,.;_F North El Camino Real .f:368 I; JeleJ)llonernimber. lnitialrelurn .. Encinitas, C::A 92024 858.232.0678
Fm;I retur~;terminated •
13 Grants and similar amounts pafcL(Part IX, column (A); 'liM~sl~3).: . ;.;,; , i. '>. '.,:; . i'. ; ; ; . ;, 95 ; . 14 Benefits paid to or for members (Part IX, column (A); line4) ; .. ; ; ..... ; . ; . ; . ; . , .. , ... ----------1---,--------....... -.,....- 15 Salaries, other compensation, employee benefits (ParHX; column (A); linesS-10) .... . g:
~ 16a Professional fund raising tees (Part IX, column (A), line 11 e) .. , . , ........ , .... , , ..... . ----~----------'----- G) b Total fundraisirig expenses. (Part IX, column (D), line 25) ► 127 ~ 715 . in 17 Other expenses (Part IX, column (A),lines 11a-11d, 11f-24e) .. : ....... :: : ...... , ..... · ·· · ·· ··· 'ii5f 842. 155 899. 1----,..,.,.--,,a,--;+-__ ..,.....,...,.;-;,,J~....;;.-"- 1 s Total expenses. Add lines 13-17 (must equal Part IX, column (A), line 25) ........ ,.... _____ 27(1, 683. 246 .694. ,.,__-__________ _ 19 Revenue less expenses. Subtract line 18 from line)2 •. , ... ,,.,., ............ , ........ . ,38500. 28, .643. li I Beginning of Current Year Eo~ ,;,f Y1:1ar fg , , .. .s 20 Totalassets(PartX,line16}....................................................... 520,099.· · 525,222. ~Ill ..21 TotalliabiliUes(PartX,line26)..................................................... ------~-,,..,...-------=---- 59,249. 35,729. z.., -! 22 Netassetsorfundbalances.Subtractline21 fromline20............................ 1------------------- 460,850. 489,493.

Under penalties oi perjury, i declare that i have examined !his retum, including accompanying schedules and slatemenls, and to the best of my knowledge and belie!. it is true, correct. and complete. Declaration of preparer (other than officer) is based on all information of which preparer has any knowledge. ► I
Sign Signature of officer Dale
Here
► Marilyn Scheining:er Treasurer
Type or print name and tille
Print/Type preparer's name I Preparer's signalure I Dale Check ~if I PTIN Paid Katherine Gluck Katherine Gluck selt-emplO',.ed P00858780 Preparer ► Katherine Gluck,•· CPA. '. •,' ,'
Firm·s name
Use Only Firm·s address ► 703 PierAve'B621 . Firm's EIN ► ,Hermosa Beach, CA 90254 .... ·.·. '· Phohe ~6, ·. 310 40 66256 .·-, ......

May the IRS discuss this return with the preparer shown above? See instructions ....................................... IXI Yes I I No . I=' nr,,., QQfl l'?f\?n\ February 11, 2022
Dear Assistance League of Rancho San Dieguito,
This letter is to confirm that Assistance League of Rancho San Dieguito is registered with the Internal Revenue Service as a 501 (c)(3) under Group Exemption Number 4176.

The parent (central) organization is National Assistance League®.

Parent and the subsidiary organizations are registered as follows:

Parent: National Assistance League
3100 W. Burbank Blvd., Suite 100
Burbank, CA 91505-2348
EIN: 95-1945908
GEN: 4176
Subsidiary: Assistance League of Rancho San Dieguito
270F N. El Camino Real, Box 368
Encinitas, CA 92024
EIN: 330556542
AL
assistance league
The Internal Revenue Service recognizes Assistance League of Rancho San Dieguito a subordinate organization. Therefore, Assistance League of Rancho San Dieguito can provide this letter to donors, along with the accompanying Internal Revenue Service Group Exemption Determination letter for the parent organization, as verification of exemption status.

As such, Assistance League of Rancho San Dieguito may use and provide donors with the enclosed Group Exemption Number 4176 and the chapter's Federal Identification Number 330556542. Donors to Assistance League of Rancho San Dieguito may deduct contributions to the chapter under the Group Exemption Number 4176 and the Federal Identification Number 330556542 as provided in Section 170 of the Internal Revenue Code. In addition, the chapter qualifies for the charitable contribution deduction under Section 170(b)(1 )(A) and has been classified as an organization that is not a private foundation under Section 509(a)(2).

Please keep this letter with other legal documents and/or in a safe deposit box.

If you have further questions, please contact me at:

National Assistance League
3100 W. Burbank Blvd., Suite 100
Burbank, CA 91505-2348
or by phone at 818-846-3777 or by e-mail at [email protected].

With regards,
National
~~~-~ Treasurer
National Assistance League
Transfor1ning Lives • Strengthening Co1n1nunity
3100 W. Burbank Boulevard, Suite 100, Burbank, CA 91505 • Tel: 818-846-3777 • Fax: 818-846-3535 • Assistanceleague.org Form W-9 Request for Taxpayer Give Form to the
(Rev. October 2018) Identification Number and Certification requester. Do not Department of the Treasury send to the IRS.

Internal Revenue Service ► Go to www.irs.gov/FormW9 for instructions and the latest information. 1 Name (as shown on your income tax. return). Name is requ~ed on this line: do not leave th;s line blank.

Assistance League of Rancho San Dieguito
2 Business name/disregarded entity name. if different from above t') 3 Check appropriate box for federal tax c!asSification of the person whose name is entered on line 1. Chee!< only one of 1he 4 Exemptions (codes apply only to (I) en following seven boxes. certain entities. not individuals; see m C. instructions on page 3):

C: 0 Individual/sole proprietor or 0 C Corporation 0 S Corporation 0 Partnership 0 TrusVestate 0 . ., single-member LLC Exempt payee code {if any} C1> I: C. 0 btt D Limited liability company. Enter the tax classification (C,.C corporation, s .. s corporation, p,.partnership} ► .. :, 0 .. Note: Check the appropriate box in the line above for the tax cla:;srfication of the single-member owner. Do not check Exemption from FATGA reporting 1: -; LLC if the LLC is classified as a Single-member LLC that is disregarded from the owner unless the owner of the LLC is code {if any) 'C: .5 another LLC that is not disregarded from the owner for U.S. federal tax purposes. Otherwise, a single-member LLC that a. 0 is disregarded from the owner should check the appropriate box for the tax classification of its owner. t;::
·;:; 0 Other (see instructions) ► 501 (c)(3) ~ppliff: to accounts marntmmc1 ,oumide tho- U.S.J G) C.
w 5 Address (number, street, and apt. or suite no.) See instructions. Requester's name and address (optional) 3l 270-F North El Camino Real, #368 en 6 City, stale, and ZIP code Encinitas, CA 92024
7 List account number(s) here (optional)
:.r:1 ••• Taxpayer Identification Number (TIN)
I Social security number Enter you~ TIN in. the app.ro~rr~te box. !h~ TIN provided must_ match the name given on line 1 to avoid I backup withholding. For md1v1duals, this Is generally your social security number {SSN). However, for a DJ] [D I \ \ I I resident alien, sole proprietor, or disregarded entity, see the instructions for Part I, later. For other - - entities, it is your employer identification number (EIN). If you do not have a number, see How to get a . . . . .

TIN, later. -o_r ___________ ~
Note: If the account is in more than one name, see the instructions for line 1. Also see What Name and I Employer identification number Number To Gfve the Requester for guidelines on whose number to enter. 33 -0556542
Certification
Under penalties of perjury, I certify that:

1. The number shown on this form is my correct taxpayer identification number (or! am waiting for a number to be Issued to me); and

2. I am not subject to backup withholding because: (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dMdends, or (cl the IRS has notified me that I am no longer subject to backup withholding; and

3. I am a U.S. citizen or other U.S. person (defined below); and

4. The FATCA code(s) entered on this form Of any) indicating that I am exempt from FATCA reporting is correct, Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply. For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement arrangement ~RA). and generally, payments other than interest and dividends. you are not required to sign the certification, but you must provide your correct TIN. See the instructions for Part !I, later.

Sign
Here Signature of
U.S. person ►
General Instructions
Section references are to the Internal Revenue Code unless otheiwise noted.

Future developments. For the latest information about developments related to Form W-9 and its instructions, such as legislation enacted after they were published, go to www.irs.gov/FormW9.

Purpose of Form
An individual or entity (Form W-9 requester) wt10 is required to file an information return with the IRS must obtain your correct taxpayer identification number (TIN) which may be your social security number (SSN), individual taxpayer identification number (!TIN), adoption taxpayer identification number (ATIN), or employer identification number (EIN), to report on an information return the amount paid to you, or other amount reportable on an information return. Examples of information returns include, but are not limited to, the following. • Form 1099-INT (interest earned or paid)
Cat. No. 10231X
Date ►
• Form 1099-DIV (dividends, including those from stocks or mutual funds)
• Form 1099-MISC (various types of income, prizes, awards, or gross proceeds)
• Form 1099-B {stock or mutual fund sales and certain other transactions by brokers)
• Form 1099-S {proceeds from real estate transactions)
• Form 1099-K (merchant card and third party network transactions) • Form 1098 (home mortgage interest), 1098-E (student loan interest), 1098-T (tuition)
• Form 1099-G (canceled debt)
• Form 1099-A (acquisition or abandonment of secured property) Use Form W-9 only if you are a U.S. person (including a resident alien), to provide your correct TIN,
If you do not return Form W-9 to the requester with a TIN, you might be subject to backup withholding. See What is backup withholding, later.

Form W-9 (Rev. 10·2018)
BOYS&

GIRLS CLUBS
OF

SAN DIEGUITO
The City of Solana ·Beach Community Grant Program
Request for Financial Assistance Application FY 2022-23 All Applications MUST BE RECEIVED by 5:00 p.m. Thursday, May 26, 2022.

Please Print Clearly or Type. All requests will be determined by the following criteria:

Name of Organization: Boys & Girls Clubs of San Dleguito Mailing Address: 533 Lomas Santa Fe Drive
City: Solana Beach State: _C_A ____ Zip: 92075
Contact Person: Annalyse Ortega Email address: [email protected] ---------"------- Daytime Phone: (858) 755-937 ext. 328 Evening Phone: (858) 755-9371 ext. 328

1. All the documents below are attached to this application:
[!I W-9
[!] Summary of Organization's Budget
l!l Proposed Program Budget
l!1 Financial and Tax Statements (see Application Guidelines) ~ A copy of the California Franchise Tax Board Entity Status Letter, shoVt(ing exemption under Section 23,701d or Internal Revenue Code section 501(c)(3)

2. Has your organization receiv:ed financial assistance from the City before? Ill Yes □ No

3. If yes, please state the fiscal year it was received and for the proposed program was:

Mentoring Programs ('18-'22); Summer Programs ('15-'17); STEM .Program ('14}; College Nights ('13)

4. Title of FY 2022-23 Proposed Program/Service:

Financial Aid for Youth in After-School Programs

5. What is the total amount requested for the FY 2022-23 Proposed Total Program? Includes all estimated costs to conduct proposed activity/program.

We respectfully request $5,000 to ensure that all children who request financial aid receive it.

At the La Coionia Clubhouse and Harper Teen Center, we expect to expend at least $105,218.40 at these two sites alone in the upcoming fiscal year. $5,000 would completely cover fees for at least 25 low-income youth. Providing equal access to all youth is a core tenet of our mission, but it also produces a significant budgetary strain.

Page 11 ends

6. Grant funds must be used for services or materials directly associated to proposed activity.

Please describe how grant funds will be used:
92% of our members at these two Clubs are on financial aid. Of those on financial aid, 81 % are attending with discounts ranging from 50-100%; 45% pay a dollar or less a day. Many of the families are cut off from resources, opportunities, and services through challenges associated with low socioeconomic or immigrant status such as language differences or lack of transportation. Funds would ensure that all youth, regardless of their families' situation, receive high-quality enrichment, mentoring, and academic programming designed to develop their health, character,education, and self-esteem.

7. Anticipated Program Objectives or Accomplishments:

Our objectives are: to offset learning loss caused by the pandemic and ensure that all graduate to the next grade or graduate high school with post-secondary plans; to ensure that all who request financial aid receive it; to use evidence-based enrichment, academic, and mentoring programs to reduce high-risk behaviors and instill a sense of belonging, competency, and selfefficacy in youth; to help families connect to local resources.

8. Program Dates/Location:

The Solana Beach School District is .in session from August 15, 2022-June 2, 2023.

9. Estimated number of Solana Beach residents to be served by proposed program:

We estimate that we will serve 74 Solana Beach youth through the Financial Aid Program.

10. How will the organization acknowledge the City's financial contribution to the community/beneficiaries of the proposed activity?
We acknowledge funders through our newsletter and social media pages; cumulatively, they reach over 19,000 in our community. We also include funders in our Annual Report which goes out to 170 donors and is also posted on our website.

11. Will there be any matching funds or other grants that would be applied to this program or service? If awarded this grant, will that enable other funding sources? Our development team solicits donors, hosts fundraisers and special events, and writes to grants to support our Financial Aid Program. All support helps us maintain and create new partnerships. This year, we are grateful for Nordson Foundation's, Truman C. Kuehn Charities', and The Conrad Prebys Foundation's support.

12. Will volunteers be used for the proposed program or service and, if so, will they reduce expenses?
We utilize a strong volunteer base. Volunteers lead specialty programs, mentor and tutor youth, and assist with events and administrative tasks. They are valued partners in helping us serve the community and in reducing overhead costs.

Page I 2

13. If the proposed program or service is only awarded partial funding, will it still move forward? Will the program/service be scaled back and/or is there a threshold at which it will not move forward?
We will never turn away a child due to their family's finances. Throughout the economic strain of the pandemic, we have continued the Financial Aid Program due to the support of funders, individuals, and our community. We will continue to host fundraisers, solicit donations, and writing to grants as the Financial Aid Program wrn always be a priority.

Acknowledgment of Responsibility:

Authorized Signature assumes all responsibility for developing and implementing proposed activities or events in this application, including public acknowledgment of the City's financial contribution. Authorized signature will comply with all accounting and budget procedures outlined by the City. Authorized signature and accompanying group will hold harmless the City of Solana Beach from all losses, claims, accidents, and problems associated, directly or indirectly with the development and implementation of proposed activities or events.

Authorized Signature of Organization Date

ALL INFORMATION REQUESTED ON THIS APPLICATION MUST BE COMPLETED AS A

CONDITION FOR BEING CONSIDERED FOR PUBLIC FUNDS BY THE CITY COUNCIL OF SOLANA BEACH.

Page I 3
La Colonia Clubhouse and Harper Teen Center After-School Programs: Projected Financial Aid Given FY 23
Item Cost
Financial assistance for, on average, 74 youth at La Colonia Clubhouse and Harper Teen Center to participate in After-School Programs for the academic 105,218.40 year of 22-23

BOYS AND GIRLS CLUBS OF SAN DIEGUITO AND

BOYS & GIRLS CLUBS OF SAN DIEGUITO FOUNDATION
Schedule Ill: Combining Statement of Activities
Year Ended June 30, 2021
Club
Nat Assets Without Donor Restrictions:

Revenue and Support:

Program services:

Youth community services $ 2,814,579 $
Support and other revenue:

Contributions 941,254
Investment return, net 632
Government grants and assistance 429,225
Grants 650,976
Special events 317,324
Less direct expenses (84,952)
Rental Income 209,166
Gain on disposal 1,500
Other Income 22
lnterfund transfers
Net assets relea6ed from restriction 4,122
2,469,269
Total Revenue and Support Without
Donor Restrictions 5,283,848
Expenses:

Program semces:

Youth community services 4,088,569
Scholarships
Supporting services:

Management and general 640,841
Fund raising 314,345
Total Expenses 51043,755
Change In Net Assets Without Donor Restrictions 240,093 Net Assets With Donor Restrictions:

Contributions 100,000
Change In charllable remainder trusts 33,553
lnterfund transfers
Net assets released from restriction (4,122}
Change In Net Assets With Donor Restrictions 129.431
Change In Net Assets 359,524
Net Assets, beginning 7,866,480
Net Assets, ending $ 8,236,004 $
See independent auditors' report.

Ellmlnatlng
Foundation Entries Total
- $ - $ 2,814,579
14,000 955,254
534,727 535,369
429,225
(260,000) 390,976
317,324
(84,952)
209,166
1,500
4 26
9,992 9,992
304,225 3081347
862,946 12eo1oooi 3,012.211
862,948 (260,000) 5,886,796
4,088,569
438,716 (360,000) 78,716 ·
32,646 673,487
314.345
471,362 (360,000} 5,155,117
391,586 100,000 731,679
68,401 (100,000) 68,401
101,502 135,055.
(9,992) (9,092)
(304,225) (308,34I}
(1441314} ,100,000) (14,883)
247,272 616,796
3,421,569 11,2881049
3,6681841 $ - $ 11,9041845
23 Boys & Gltls Clubs of San Dlegulto
Balance Sheet
%Va~al\Ca
March 11,2022 Februa,y28,2<122 MonlhloMoolll June :io, 2021 ASSETS
OperaUng Cash 473,792 43,320 994% 224,779
Savings Account 2,208,830 2,208,737 1,033,182
Accounts Receivable 20,814 37,097
Olher current Assets 43,484 42,708 265,790
Total Current Asaets 2,748,922 2,331,861 18% 1,613,750
Property and Equipment:

Land, Bulldlngs and BUildlng Improvement& 14,174,401 14,174,401 14,165,679 Autos, Equipment and Furniture 2,187,477 2,187,477 2,075,384 Accumulated Depreciation (7,847,397) {7,725,928) (7,462,990) Totel Property and Equipment $ 8,514,481 $ 8,636,960 -1% $ 8,768,073 Due from Foundation 290,437 290,437 290,437
Restricted F11nds:

Pledges Receivable 25,234 121,234 29,067
Grisel Garden Fund • Encinitas 6,392 8,392 6,392
IA84 Foundation for Athlellos
Del Mar Remodel rlfflllilnlng funds 6,366 8,365 8,366
Steam Grant remaining funds 3,990 3,990
Athletic Donation for Equipment
Total Other Assets $ 41,981 $ 137,981 -7D% $ 41,824
Total Assets $ 11,693,821 $ 11,396,230 2% $ 10,604,086

LIABILITIES AND CAPITAL
current Liabilities:

Accounts Payable 83,682 48,781 116,037
Payroll and Taxes Payable 180,381 141,959 114,808
Deferred Social Seourlly Tl!l<es and ERC Credits 59,223 69,223 294,786 PPP Loans 785,826 785,825 1,671,825
Accrued Expenses 346 430
Deferred Income 273,679 117,837 258,269
Total Current LlabllHies 1,382,936 1,164,056 2,356,324
long-Term Llabllltles:

Vacation Accrual 165,236 185,235 166,235
Line of Credit
Accrued Expense
Other Llabllllles 16,747 16,747 12,757
Total Long-Term Llabllltles $ 181,982 $ 181,982 0% $ 177,992 Total Llabllitles $ 1,664,918 $ 1,336,038 17% $ 2,533,317 Capl1al: 10,028,903 10,060,192 B,07D,768
, Total Llabllltles and Capita! $ 11,693,621 $ 11,398,230 2% $ 10,604,085 Form99Q
** PUBLIC DISCLOSURE COPY**
Return of Organization Exempt From Income Tax
Under section 501 (c), 527, or 4947(a)(1) of the Internal Revenue Code (except private foundations) ► Do not enter social security numbers on this form as it may be made public. Department of the Treasury Internal Revenue Service Go to www.irs. ov/Form990 for instructions and the latest information.

A For the 2020 calendar year, or tax year beginning JUL 1 , 2 0 2 0 and ending JUN 3 0 , 2 0 21 0MB No. 1545-0047
2020
B Checkif C Name of organization D Employer identification number applicable:

Address change BOYS AND GIRLS CLUBS OF SAN DIEGUITO
Name change Doino business as 95-2470435 Initial return Number and street (or P.O. box if mail is not delivered to street address) I Room/suite E Telephone number DFinal PO BOX 230520 (858) 755-9371 return/ termln- ated City or town, state or province, country, and ZIP or foreign postal code G Gross receipts $ 5,464,678. return Amended ENCINITAS, CA 92024 H(a) Is this a group return o~ppflca• t1on F Name and address of principal officer:MARINEKE VANDERVORT for subordinates? ...... Dves 00 No pending SAME AS C ABOVE H(b) Ne all subordinates lnctuded?DYes D No I Tax-exemot status: I XJ 501(c)(3) I __J 1(c) ( )◄ (insert no.) LJ 4947(a)( 1) or T7 527 If "No,• attach a list. See instructions J Website: ► WWW. BGCSANDIEGUITO. ORG H(c) Grouo exemotion number ► K Form of organization: LXJ Corporation I J Trust L_J Association I I Other ► l L Vearofformation: 19-661 M State of leaal domicile: CA lile@!'.st!!ll Summary
CIJ 1 Briefly describe the organization's mission or most significant activities: TO IMPACT THE LIVES OF THE YOUTH L) C WHO NEED us MOST THROUGH POSITIVE PROGRAMS AND ACTIVITIES. Ill D if the organization discontinued its operations or disposed of more than 25% of its net assets. C ...

CIJ 2 Check this box ►
> 3 Number of voting members of the governing body (Part VI, line 1a) 3 24 0 • •• • •• • • •• O O O • •• O •• O • O O O 00 O 00 O 00 O 00 0 LOO 00 o. 0 o o• O 00 O O O O O O O O 00 C, 4 Number of independent voting members of the governing body (Part VI, line 1 b) .......................................... 4 24 ol! II) 5 Total number of individuals employed in calendar year 2020 (Part V, line 2a) ................................................ 5 253 CIJ :;::; 6 Total number of volunteers (estimate if necessary) .......... , ............................................................................ 6 92 ·s:
:;::;
tl 7 a Total unrelated business revenue from Part VIII, column (C), line 12 7a o. <( ····················•·••···································· b Net unrelated business taxable income from Form 990-T, Part I, line 11 ············································-········· 7b o.

Prior Year Current Year
CIJ 8 Contributions and grants (Part VIII, line 1h) ····-·························································· 1,247,908. 2,278,806. ::i C 9 Program service revenue (Part VIII, line 2g) 4,052,000. 2,814,579. CIJ ······························································· > CIJ 10 Investment income (Part VIII, column (A), lines 3, 4, and 7d) 7,727. 2,132. a: ·······································
11 Otherrevenue (Part VI II, column (A), lines 5, 6d, Sc, 9c, 1 0c, and 11 e) 590,270. 284,209. ························ 12 Total revenue· add lines 8 throuah 11 (must eaual Part VIII, column (Al, line 12} ......... 5,897,905. 5,379,726. 13 Grants and similar amounts paid (Part IX, column (A), lines 1 ·3) ································· o. 0.
14 Benefits paid to or for members (Part IX, column (A), line 4) ········································ o. o. Ill 15 Salaries, other compensation, employee benefits (Part IX, column (A), lines 5-10) ......... 4,094,770. 3,290,835. CIJ II) 16a Professional fund raising fees (Part IX, column (A), line 11 e) .......................................... o. 0. C CIJ
► CL b Total fund raising expenses (Part IX, column (D), line 25) 314,345. )( w 17 Other expenses (Part IX, column (A), lines 11a-11d, 11f-24e) ....................................... 2,247,072. 1,752,920. 18 Total expenses. Add lines 13-17 (must equal Part IX, column (A), line 25) ..................... 6,341,842. 5,043,755. 19 Revenue less exoenses. Subtract line 18 from line 12 ................................................ -443,937. 335,971. 0~ Beginning of Current Year End of Year
.:,20::
..,,!'S! 20 Total assets (Part X, line 16) 10,116,275. 10,604,085 • "'"' ········································•······· .. ·····························-··-· ~ 21 Total liabilities (Part X, line 26) ················································································· 2,249,795. 2,368,081. -o::
~ 22 Net assets or fund balances. Subtract line 21 from line 20 .......................................... 7,866,480. 8,236,004.

E!Jl@r,J;I!lt\ll Signature Block
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than officer) is based on all information of which preparer has any knowledge.

Sign ► ::;1gnature at onicer oate
Here ► MARINEKE VANDERVORT, CEO
I ype or print name ana title -
PrfnVfype preparer's name I Preparer's signature ~ate JCh~ 1 t'IIN Paid 3 / 16 / 2 2 !e11-emotov1d
Preparer Firm's name --. ALDRICH CPAS AND ADVISORS, LLP Firm'sEIN--.

Use Only Firm's address ► 59 4 6 PRIESTLY DRIVE, SUITE 200 CARLSBAD, CA 92008 Phone no. ( 7 6 0 ) 431-8440
Ma~ the IRS discuss this return with the ereearer shown above? See instructions ........ ■ •••• - •• - -- - -·. -- ■ --•••••• ■ .................... ·-•••••• IXlves I I No 032001 12-23.20 LHA For Paperwork Reduction Act Notice, see the separate instructions. Form 990 (2020) Internal Revenue Service
Date: January 17, 2007

THE BOYS AND GIRLS CLUBS OF

SAN DIEGUITO
3800 A MYKONOS LANE
SAN DIEGO CA 92130-3572
Dear Sir or Madam:

Department of the Treasury
P.O. Box 2508
Cincinnati, OH 45201
Person to Contact:

Viola Wahoff 31-07420
Customer Service Specialist
Toll Free Telephone Number:
877-829-5500
Federal Identification Number:
95-2470435
This Is in response to your request of January 17, 2007, regarding your organization's taxexempt status.

In August 1967 we issued a determination letter that recognized your organization as exempt from federal income tax. Our records indicate that your organization is currently exempt under section 501 (c)(3) of the Internal Revenue Code.

Our records indicate that your organization is also classified as a public charity under section 509(a)(2) of the Internal Revenue Code.

Our records indicate that contributions to your organization are deductible under section 170 of the Code, and that you are qualified to receive tax deductible bequests, devises, transfers or gifts under section 2055, 2106 or 2522 of the Internal Revenue Code.

If you have any questions, please call us at the telephone number shown in the heading of this letter.

Sincerely,
~\~ Michele M. Sullivan, Oper. Mgr.

Accounts Management Operations 1
Form W•9
(Rev. October 2018)
Department of the Treasury
Internal Revenue service
Request for Taxpayer
Identification Number and Certification
Give Form to the
requester. Do not
send to the IRS. ► Go to www.irs.gov/FarmW9 for Instructions and the latest Information. t Name (as shown on your income t8lt return). Name is required on this tine; do not leave this line blank.

The Boys &.Girls Clubs of San Dlegulto
2 Business name/disregarded entity name, If different from above . · ... . · ---~-r~:-~.· .. ---- :_-; ·- >·:.~ .. M 1-,3....,..Chec_.;.k,.._ap_p_ro_p.,.ri-at_e_b.,.ox-,'""or_i_ed_e_ral_tax_cl_ass_lflca __ t!o_n_o_f_the-.'-p-ers-.. o ... n_wh_o_se_n_am_e~~-e~~tered~- ---~~n-line-1-.C-h_ec_k.,._o_n..:.,ly-o~i:.=---of-th_e....,.4_Exe.,. ___ m_p.;.ti,..ons.,....(co..,..des!'"_ .:.ap-p-ly:..;o:.;nl:;..y..;.to--, c.
j following seven boxes. certaln entities, not lnclivlduals; see § D lndividuaVsole proprietor or 0 C Corporation D S Corporation D Partnership D Trust/estate Instructions on page 3):
• Ill single-member LLC } fl D Limited liability company. Enter the tax classification (C=C corporation, S>=S corporation, P=Partnershfp) ►--- Exempt payee code (If any) __ _ 5 2 Note: Check the appropriate box In the line above for the tax classification of the single-member owner. Do not check Exemption from FATCA reporting 1: 'In LLC If the Ll.C Is classified as a single-member LLC that is disregarded from the owner unless the owner of the LLC Is 'C .5 another LLC that is not disregarded from the owner for U.S. federal tax purposes. Otherwise, a single-member LLC that code (If any) IL ~ is disregarded from the owner should check the appropriate box for the tax classification of Its owner. g D Other(seelnstruct1ons) ► ~•,.-~,..,,,......,•-lhoU.SJ :, 6 Address (number, street, and apl or suite no.) See instructions. Requester's name and address (optional) j ..,s,_3.,,.3,...L_o_m_a_s_s...,a,,,,n,,,ta,--F.,..e_D_r_lv_e _________________ --1 6 City, state, and ZIP code ,
Solana Beach, CA 92075
7 List account number(s) here (optionaO
Taxpayer Identification Number {TIN)
Enter you~TIN In_ the app!o~ri~te box. :h~ TIN providedJTiust_ match t~e name given on line 1 to avoid l Socia( security number I backup withholding. For 1nd1v1duals, this 1s generally your social secunfy number {SSN). However, for a resident alien, sole proprietor, or disregarded entity, see the instructions for Part I, later. For other entities, it is your employer Identification number (EIN}. If you do not have a number, see How to get a TIN, later.
[]]] -[D -I I I I I
or
Note: If the account Is in more than one name, see the instructions for line 1. Also see What Name and Number To Give the Requester for guidelines on whose number to enter. -2470435
Certification
Under penalties of perjury, I certify that

1. The number shown on this form is my correct taxpayer identification number (or I am waiting tor a number to be issued to me); and

2. I am not subject to backup withholding because: (a) I am exempt from backup wlthholdlng, or (b) I have not been notified by the Internal Revenue Service ORS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has notified me that I am no longer subject to backup withholding; and

3.1 am a U.S. citizen or ether U.S. person (defined below); and

4. The FATCA code(s) entered on this form (If any) Indicating that I am exempt from FATCA reporting Is correct.

Certification il'lstnictions. You must cross out item 2 above If you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, Item 2 does not apply. For mortgage interest pakl, acquisition or abandonment of secured property, cancellation of debt, contributions_to an individual retirement arrangement (IRA), and generally, payments other than Interest and dividends, you are not required to sign the certification, but you must provide your correct TIN. See the instructions for Part II, later.

Sign
Here Signature of
U.S. person ►
Section references are to the Internal Revenue Code unless otherwise noted.

Future developments. For the latest infonnation about developments related to Fonn W-9 and its instructions, such as legislation enacted after they were published, go to www.irs.gov/FormW9.

Purpose of Form
An indlvidual or entity (Form W-9 requester) who is required to flle an information return with 'the IAS must obtain your correct taxpayer identification number {flN) which may be your social security number {SSN), individual taxpayer identification number (ITIN}, adoption taxpayer Identification number (ATIN), or employer identification number (EIN), to report on an Information return the amount paid to you, or other amount reportable on an information return. Examples of Information returns incfude, but are not limited to, the following. • Form 1099-INT [Interest earned or paid)
Cat No.10231X
l J Zl • Form 1099-DIV (dividends, including those from stocks or mutual funds)
• Form 1099-MISC (various types of income, pr',zes, awards, or gross proceeds)
• Form 1099-B (stock or mutual fund sales and certain other transactions by brokers)
• Form 1099-S {proceeds from real estate transactions}
• Form 1099-K (merchant card and third party network transactions) • Fenn 1098 (home mortgage Interest), 1098-E {student loan interest), 1098-T (tuition)
• Form 1099-C (canceled debt)
• Form 1099-A (acquisition or abandonment of secured property) Use Form W-9 only if you are a U.S. person Qncluding a resident alien), to provide your correct TIN. ·
If you do not return Form W-9 to the requester with a TIN, you might be subject to backup withholding. See What Is backup withholding, later.

ForrnW-9 (Rev. 10-2018)
CASA
DE

AMISTAD
The City of Solana Beach Community Grant Program
Request for Financial Assistance Application FY 2022-23 All Applications MUST BE RECEIVED by 5:00 p.m. Thursday, May 26, 2022.

Please Print Clearly or Type. All requests will be determined by the following criteria:

Name of Organization: Casa De Amistad Centro De Ensenanza Mailing Address: 120 Stevens Avenue
City: Solana Beach State: _C_A ____ Zip: 92075
Contact Person: Corey Ford Email address: [email protected] ----'--------- Daytime Phone: _8_5_8_-5_0_9-_2_5_90 _______ Evening Phone: _8_5_8_-2_0_4-_1_2_92 _____ _

1. All the documents below are attached to this application:
~ W-9
~ Summary of Organization's Budget
[!] Proposed Program Budget
~ Financial and Tax Statements (see Application Guidelines) ~ A copy of the California Franchise Tax Board Entity Status Letter, showing exemption under Section 23701d or Internal Revenue Code section 501(c)(3)

2. Has your organization received financial assistance from the City before? Ill Yes □ No

3. If yes, please state the fiscal year it was received and for the proposed program was:
2021-22 Study Companions Program

4. Title of FY 2022-23 Proposed Program/Service:

Kinder to College Study Companions Program

5. What is the total amount requested for the FY 2022-23 Proposed Total Program? Includes all estimated costs to conduct proposed activity/program.

Casa de Amistad is requesting a $5,000 grant. The program budget for 2022-2023 is $537,536.82 and includes staffing, scholarships, tutoring, supplies, facility fees, curriculum, events and outreach.

Page 11 ends

6. Grant funds must be used for services or materials directly associated to proposed activity.

Please describe how grant funds will be used:

Casa de Amistad is seeking support to expand the Kinder to College Study Companions Program. which provides a safe space for low-income youth to receive the academic and soda I-emotional support services the¥ need to reach their full potential, lo an effort to bridge the learning gaps exacerbated b¥ the pandemic. funding will support the program's strategic shift to allow for more in-person sessions, and expand the curriculum of the Kindergarten Readiness and College & Career Pathways activities The focus is on strengthening early child education for our youngest learners and leading to the ultimate goal of empowering high school students to succeed □ their educational ioocoev

7. Anticipated Program Objectives or Accomplishments:

The goals of Casa de Amistad' s Kinder to College Study Companions Program are to 1) Remove educational barriers for underserved students in North County Coastal San Diego: 2) Strengthen academic achievement/success for students at each stage of their educational journey: 3) Increase college enrollment for low-income. underserved San Diego students: 4) Enhance the emotional and social well-being for diverse student populations and the community.

8. Program Dates/Location:

The program rnns year-ra, md at Sola a Beach Presbyterian Chiircb Casa is also wnrking to partner >Mith Christ Presbvterian Church io I a Costa to accoroodate mace io-oecsoo sessions

9. Estimated number of Solana Beach residents to be served by proposed program:
160

10. How will the organization acknowledge the City's financial contribution to the community/ beneficiaries of the proposed activity?
Casa de Aroistad appreciates the generosity of all donors and will recagnize the City' s financial cootribution through acknowledgement in print materials, website, social roedia, and at all nrgaoizatiooal events Donors ace also invited tn an aorn ,al stewardship event beld at a different caroro, mitv lacatioo each vear

11. Will there be any matching funds or other grants that would be applied to this program or service? If awarded this grant, will that enable other funding sources? One hundred percent of Casa de Amistad' s annual revenue comes from individual donors, private foundations and government sources, A grant from the City of Solana Beach will provide the leverage needed to secure support from additional funding sources within the communiW,

12. Will volunteers be used for the proposed program or service and, if so, will they reduce expenses?
Casa de Amistad successful!¥ leverages the time and talent of over 200 volunteers each year to help support the sustainability of the program Volunteers help reduce expenses, effective!¥ address the needs ofthe cnmmunif¥ and bring valuable skill sets across all levels of the organization to successfully deliver its sacial mission

Page 12 ends

13. If the proposed program or service is only awarded partial funding , will it still move forward? Will the program/service be scaled back and/or is there a threshold at which it will not move forward?
Funding is critical to support additional staffing space capacity and enhancing the program to better meet the needs of students as the community recovers from the CQYID-19 pandemic, While the program will move forward on partial funding it could result in scaling back these program enhancement goals
Acknowledgment of Responsibility:

Authorized Signature of Organization~
I I
Date

ALL INFORMATION REQUESTED ON THIS APPLICATION MUST BE COMPLETED AS A

CONDITION FOR BEING CONSIDERED FOR PUBLIC FUNDS BY THE CITY COUNCIL OF SOLANA BEACH.

Page I 3
Proposed Program Budget
Casa de Amistad, Centro de Ensenanza
Kinder to College Study Program Budget

SUPPORT & REVENUE
Individual Contributions
Site Contributions
Alternative Christmas Market
Fundraising Event Income
Corporate/Business Grants
Foundation/Non Profit Grants
Dividends & interest-securities·
Donated Rent Income
Designated Scholarship Revenue
Total Support & Revenue

EXPENDITURES
Personnel
Salary/ Hourly Pay
Payroll Processing
Employer Payroll Taxes
Workers Comp Insurance
Insurance - other
Staff Development
Employee Benefits
Total Personnel
Casa Parent Fundraiser
Storage Rental
Facilities Fee
Donated Rent Expense
Computer Hardware Supplies
Software Expenses
Kinder to College Curriculum
Parties & Celebrations
Personal Background Checks
Gifts, Awards, Recognition
Tutor Expense
Communications & Outreach
Nutrition
Supplies
Field Trips
Scholarship
Total Expenditures
Net Operating Revenue
124,064.38
2,000.00
3,760.28
47,752.91
48,134.67
167,363.16
13,515.68
30,945.74
100,000.00
537,536.82
316,187.25

68.68 22,061.76
2,544.83
2,250.00
2,500.00
10,500.00
356,112.52
700.00
1,269.00
11,250.00
36,502.42
447.88
3,600.00
3,000.00
2,500.00
1,155.00
1,000.00
500.00
10,000.00
3,000.00
4,500.00
2,000.00
100,000.00
537,536.82
Summary of Organization's Budget
Casa de Amistad, Centro de Ensenanza
Organizational Budget

SUPPORT & REVENUE
Individual contribution
Site Contributions
Fundraising Event Income
Alternative Christmas Market
Casa Parent Raffle
Corporate/business grants
Foundation/Non Profit grants
Total Contributed Support
Earned Revenue
Donated Rent Income
Designated Scholarship Revenue
Reserves*
Total Support & Revenue

EXPENDITURES
Personnel
Salary/ Hourly Pay
Employer Payroll truces
Worker Compensation Insurance
Insurance - other
Staff Development
Employee Benefits
Payroll Processing Expenses
Total Personnel
Fundraisers
Fundraising Expenses
Casa Parent Fundraiser
Total Fundraisers
Occupancy
Storage Rental
Facilities Fee
Donated Rent Expense
Total Occupancy
Professional Fees
Legal&CPA
Accounting
Legal and HR
Grant Writer
Total Professional Fees
Office Expenses
Computer Hardware Supplies
Office Equipment & Decor
171,551.50
2,400.00
120,000.00
4,071.47
1,200.00
84,000.00
214,169.03
597,392.00
13,515.68
48,669.90
100,000.00
75,245.00
834,822.58
421,583.00
36,486.72
4,800.00
6,000.00
5,000.00
14,000.00
772.70
488,642.42
30,000.00
700.00
30,700.00
1,692.00
15,000.00
48,669.90
65,361.90
6,200.00
25,000.00
12,000.00
30,000.00
73,200.00
1,119.69
1,500.00
Software Expense
Web Site Expenses
Postage, shipping, delivery
Total Office Expenses
Other Operation Expenses
Advertising
Kinder to College Initiative Curriculum
Parties and Celebrations
Board Development
Personal Background Checks
Gifts, Awards, Recognition
Tutor Expense
Communications & Outreach
Nutrition
Field Trips
Supplies
Total Other Operation Expenses
Scholarships
Other Expenses
Square, Inc. Charges
PayPal Charges
Bank Charges
Misc. Expense
Donor Perfect Charges
Total Other Expenses
Total Expenses
Revenues Over Expenses
9,000.00
1,500.00
800.00
,13,919.69
5,000.00
3,000.00
2,500.00
2,500.00
2,000.00
1,000.00
500.00
25,000.00
3,000.00
2,000.00
5,000.00
51,500.00
100,000.00
150.00
150,00
8,198.57
3,000.00
11,498.57
834,822.58
*The board has approved use ofreserves for FY 22-23 to support growth of organizational capacity.

Financial and Tax Statements
MUNGER & COMPANY, CPAs
2170 S. El Camino Real, Suite 217
Oceaside, CA 92054
(760) 730-8020
www.mungercpa.com

CASA DE AMISTAD CENTRO

DE ENSENANZA
Reviewed Financial Statements
Year Ended June 30, 2021

CONTENTS
Independent Accountant's Review Report
Statement of Financial Position
Statement of Activities
Statement of Functional Expenses
Statement of Cash Flows
Notes to Financial Statements
Member: The American Institute of Certified Public Accountants 2 3
4 5
6-12
MUNGER & COMPANY, CPAs
2170 S. El Camino Real, Suite 217
Oceaside, CA 92054
(760) 730-8020
www.mungercpa.com

INDEPENDENT ACCOUNT ANT'S REVIEW REPORT
To the Board of Directors of
Casa de Amistad Centro de Ensenanza
Solana Beach, California
We have reviewed the accompanying financial statements of Casa de Amistad Centro de Ensenanza (a nonprofit organization), which comprise the statement of financial position as of June 30, 2021 , and the related statements of activities, functional expenses, and cash flows for the year then ended, and the related notes to the financial statements. A revjew includes primarily applying analytical procedures to management's financial data and making inquiries of entity management. A review is substantially less in scope than an audit, the objective of which is the expression of an opinion regarding the financial statements as a whole. Accordingly, we do not express such an opinion.

Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from mateiial misstatement whether due to fraud or enor.

Accountant's Responsibility
Our responsibility is to conduct the review engagement in accordance with Statements on Standards for Accounting and Review Services promulgated by the Accounting and Review Services Committee of the AICPA. Those standards require us to perform procedures to obtain limited assurance as a basis for reporting whether we are aware of any material modifications that should be made to the financial statements for them to be in accordance with accounting principles generally accepted in the United States of America. We believe that th.e results of our procedures provide a reasonable basis for our conclusion.

Accountant's Conclusion
Based on our review, we are not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in accordance with accounting principles generally accepted in the United States of America.

Munger & Company, CPAs
December 8, 2021
1 Member: Th e American Institute of Certifi ed Public Accountants Casa de Amistad Centro de Esperanza
Statements of Financial Position
June 30, 2021
ASSETS:

Cash and Cash Equivalents
Restricted Cash and Cash Equivalents
Money Market Funds
Certificates of Deposit
Interest Receivable
Equities
Bonds
Other Assets
Beneficial Interest in Assets Held by Ranco Santa Fe Foundation Restricted Beneficial Interest in Assets Held by Ranco Santa Fe Foundation Property and Equipment, net of Accumulated Depreciation of $58,581

TOT AL ASSETS
LIABILITIES:

Accounts Payable
Scholarship Payable
Payroll Liabilities
PPP Loan

TOT AL LIABILITIES
NET ASSETS:

Without Donor Restrictions
Undesignated
Invested in property and equipment
With Donor Restrictions
Purpose Restrictions

TOT AL NET ASSETS

TOTAL LIABILITIES AND NET ASSETS
See independent accountant's review report and notes to the financial statements. 2 $
$
$
$
616,285
18,010
879
309,926
6 184,612
105,941
2,906
152,244
1,101,915
5,441
2,498,165
14,644
48,000
23,966
60,658
147,268

1.225,531
5,441
1,119,925
2,350,897
2,498,165
Casa de Amistad Centro de Esperanza
Statement of Activities
For the Year Ended June 30, 2021
Without Donor With Donor
Restrictions Restrictions
REVENUES:

Contributions $ 59,288 $ 591,478
Grants 162,959
Special Event Revenues 73,099
Less Special Event Expenses (6,724)
In-Kind Rent 48,670
Investment Return 285,137
Released from Restrictions 113,320 (113,320)
Total Revenues 735,749 478,158
EXPENSES:

Program Services 503,035
Management & General 186,868
Total Expenses 689,903
Change In Net Assets $ 45,846 $ 478,158
Begim1ing Net Assets 1,185,126 641,767
Ending Net Assets $ 1,230,972 $ 1,119,925
Total
$ 650,766
162,959
73,099
(6,724)
48,670
285,137
I.213,907
503,035
186,868
689,903
$ 524,004
1,826,893
$ 2,350,897
See independent accountant's review report and notes to the financial statements. 3 Casa de Amistad Centro de Esperanza
Statement of Functional Expenses
For the Year Ended June 30, 2021
Program Management
EXPENSES Services & General
Salaries $ 309,223 $ 87,757
Benefits 3,468 15,764
Payroll Taxes 27,135 7,159
Payroll Processing Fees 383 466
Subtotal Payroll Expenses 340,209 111,146
Donated Rent 35,529 13,141
Legal and Accounting 51,210
Scholarships 84,067
Advertising 225 198
Operating 4,850 146
Supplies 2.440 1,181
Facility Fees 2,750
COVID-19 Relief 9,398
Office 13,577 3,183
Finance Charges 9,006 466
Depreciation 4,274
Storage 423 1,269
Communication and Outreach 561 654
Other 6,724
Total Expenses by Function $ 503,035 $ 193,592
Less Expenses Included with Revenues
on the Statement of Activities
Cost of Direct Benefit to Donors {6,724)
Total Expenses Included in the Expense
Section on the Statement of Activities $ 503,035 $ 186,868 $
$
$
See independent accountant1s review report and notes to the financial statements. 4 Total
396,980
19,232
34,294
849
451,355
48,670
51,210
84,067
423
4,996
3,621
2,750
9,398
16,760
9,472
4,274

1.692
1,215
6,724
696,627
(6,724)
689,903
Casa de Amistad Centro de Esperanza
Statement Of Cash Flows
For the Year Ended June 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:

Change In Net Assets
AdjustmenL,; to Reconcile Change in Net Assets
to Net Cash Provided/Used by Operating Activities:

Depreciation
Investment Return
Decrease/ (Increase) in:

Interest Receivable
Change in Beneficial Interest Held by RSSF
Other Assets
Increase/ (Decrease) in:

Accounts Payable
Sholarship Payable
Accrued Liabilities
Payroll Liabilities
Net Cash Provided by (Used in) Operating Activities
CASH FLOWS FROM INVESTING ACTIVITIES:

Withdrawals of Jnvestments
Purchases of Investments
Purchases of Property and Equipment
Net Cash Provided by (Used in) Investing Activities
CASH FLOWS FROM FINANCING ACTIVITIES:

Proceeds on PPP Loan
Net Casl1 Provided by (Used in) Financing Activities
Net Change in Cash and Cash Equivalents
Cash and Cash Equivalents at:

Beginning of Year
End of Year
CASH AND CASH EQUlVALENTS:

Cash and Cash Equivalents
Restricted Cash and Cash Equivalents
Total Restricted Cash and Cash Equivalents
SUPPLEMENTARY INFORMATION:

Cash Paid for Interest
$
$
See independent accountant's review report and notes to the financial statements. s
$ 524,004
4,274
(285,137)
266
(347,037)
(578)
12,264
33,500
(1,500)
10,321
(49,623)
532,827
(581,713)
(4,000}
(52,886)
(l0,658
60,658
(41,851)
676,146
$ 634,295
616,285
18,0IO
634,295
$ 1,129
Casa de Amistad Centro de Ensenanza
Notes to Financial Statements
Year Ended June 30, 2021
Note I - Organization and Nature of Activities
The Casa de Amistad Centro de Ensenanza (the Organization) is a California non-profit corporation.

The Organization's mission is dedicated to assisting the education and character development of underserved children, teens and their families in coastal North County San Diego. The cornerstone of the Organization is its Study Companions Program: an educational mentoring program designed to improve the academic achievement of children in grades K-12.

Note 2 - Significant Accounting Policies
Basis of Accounting
The accompanying financial statements have been prepared on the accrual basis in conformity with accounting principles generally accepted in the United States of America.

Cash and Cash Equivalents
The Organization consider all cash and highly liquid financial instruments with original maturities of three months or less, which are neither held for nor restricted by donors for long-tenn purposes, to be cash and cash equivalents. Cash and highly liquid financial instruments restricted to endowments that are perpetual in nature, or other long-tenn purposes are excluded from this definition.

Receivables and Credit Policies
Accounts receivable consist primarily of interest receivable on investments. We determine the allowance for uncollectable accounts receivable based on historical experience, an assessment of economic conditions, and a review of subsequent collections. Accounts receivable are written off when deemed uncollectable. At June 30, 2021, management detern1ined that no allowance was necessary.

Property and Equipment
The Organization records property and equipment additions over $1,000 at cost, or if donated, at fair value on the date of donation. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the assets of five years, or in the case of capitalized leased assets or leasehold improvements, the lesser of the useful life of the asset or the lease term. When assets are sold or otherwise disposed of, the cost and related depreciation or amortization are removed from the accounts, and any resulting gain or loss is included in the statements of activities.

Costs of maintenance and repairs that do not improve or extend the useful lives of the respective assets are expensed currently.

The Organization reviews the carrying values of property and equipment for impairment whenever events or circumstances indicate that the canying value of an asset may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. When considered impaired, an impairment loss is recognized to the extent carrying value exceeds the fair value of the asset. There were no indicators of asset impairment during the year ended June 30, 2021. 6 Casa de Amistad Centro de Ensenanza
Notes to Financial Statements
Year Ended Jime 30, 2021
Note 2 - Significant Accounting Policies (continued)
Beneficial Interest in Assets Held by Rancho Santa Fe Foundation (RSFF) The funds are held by RSFF in a managed pool of assets invested in indexed mutual funds and exchange traded funds (ETFs) at The Vanguard Group. The Organization has not granted variance power to the RSFF, which would allow the RSFF to modify any condition or restriction on ·its distributions for any specified charitable purpose or to any specified organization if, in the sole judgment of the RSFF's Board of Directors, such restriction or condition becomes unnecessary, incapable of fulfillment, or inconsistent with the chaiitable needs of the community. The fund is held and invested by the RSFF for our benefit and is reported at fair value in the statements of financial position, with distributions and changes in fair value recognized in the statements of activities. The managed pool is designed to support distributions of student scholarships, while increasing the value of the corpus at a rate greater than inflation, net of distributions and expenses. At June 30, 2021, the pool was invested in Equities (approximately 60%) and Bonds (approximately 40%). Amounts are restricted for scholarships to graduating seniors who plan to attend either a four-year college, a community college, or a vocational and technical school and other items. The balance of$1,I0!,915 is included in net assets with donor resl!ictions for the year ended June 30, 2021.

Investments
The Organization records investment purchases at cost, or if donated, at fair value on the date of donation. Thereafter, investments are reported at their fair values in the statements of financial position. Net investment retum/(loss) is reported in the statements of activities and consists of interest and dividend income, realized and unrealized capital gains and losses, less external and direct internal investment expenses.

Net Assets
Net assets, revenues, gains, and losses are classified based on the existence or absence of donor or grantor imposed restrictions. Accordingly, net assets and changes therein are classified and reported as follows:

Net Assets Without Donor Restrictions - Net assets available for use in general operations and not subject to donor ( or certain grantor) restdctions.

Net Assets With Donor Restrictions - Net assets subject to donor- ( or certain grantor-) imposed restlictions. Some donor-imposed restrictions are temporary in nature, such as those that will be met by the passage of time or other events specified by the donor. Other donor-imposed restrictions are perpetual in nature, where the donor stipulates that resources be maintained in perpetuity. Donorimposed restrictions are released when a restriction expires, that is, when the stipulated time has elapsed, when the stipulated purpose for which the resource was restricted has been fulfilled, or both. 7 Casa de Amistad Centro de Ensenanza
Notes to Financial Statements
Year Ended June 30, 2021
Note 2 - Significant Accounting Policies (continued)
Revenue and Revenue Recognition
Revenue is recognized revenue from services when the services are provided. We record special events revenue equal to the cost of direct benefits to donors, and contribution revenue for the difference. All services are transferred at a point in time.

Contributions are recognized contributions when cash, securities or other assets, an unconditional promise to give, or notification of a beneficial interest is received. Conditional promises to give, that is, those with a measurable performance or other barrier, and a right of return, are not recognized until the conditions on which they depend have been substantially met.

In-Kind Contributions
Volunteers contribute significant amounts of time to our program services, administration, and fundraising and development activities; however, the financial statements do not reflect the value of these contributed services because they do not meet recognition criteria prescribed by generally accepted accounting piinciples. Contributed goods are recorded at fair value at the date of donation.

The Organization records donated goods, services and rent at the respective fair values of those items received (Note 8).

Advertising Costs
Advertising costs are expensed as incurred.

Functional Allocation of Expenses
The costs of program and supporting services activities have been summarized on a functional basis in the statements of activities. The statements of functional expenses present the natural classification detail of expenses by function. Accordingly, certain costs have been allocated among the programs and supporting services benefited.

Income Taxes
The Organization is organized as a California nonprofit corporation and has been recognized by the IRS as exempt from federal income taxes under IRC Section 50l(a) as organizations described in IRC Section 50l(c)(3), qualify for the charitable contribution deduction under !RC Section 170(b)(l)(A)(vi), and has been determined not to be a private foundation under IRC Sections 509(a)(l). The Organization is annually required to file a Return of Organization Exempt from Income Tax (Form 990) with the IRS and California Franchise Tax Board (Forms 199 and RRF-1). In addition, they are subject to income tax on net income that is derived from business activities that are unrelated to its exempt purposes. The Organization is not subject to unrelated business income tax and have not filed an Exempt Organization Business Income Tax Return (Fonn 990-T) with the IRS or (Fonn l 09) with California.

The Organization has reviewed its position for all open tax years and believes that it has appropriate support for any tax positions taken, and as such, does not have any uncertain tax positions that are material to the financial statements.
8 Casa de Amistad Centro de Ensenanza
Notes to Financial Statements
Year Ended June 3 0, 2021
Note 2 - Significant Accounting Policies (continued)
The Organization's federal and state Exempt Organization Tax Returns are subject to examination, generally for three years after they were filed for federal returns and four years for state returns.

Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates, and those differences could be material.

Financial Instruments and Credit Risk
The Organization manages deposit concentration risk by placing cash, money market accounts, and certificates of deposit with financial institutions believed by us to be creditworthy. At times, amounts on deposit may exceed insured limits or include uninsured investments in money market mutual funds. To date, The Organization have not experienced losses in any of these accounts. Credit risk associated with accounts receivable and promises to give is considered to be limited due to high historical collection rates and because substantial portions of the outstanding amounts are due from Board members, governmental agencies, and foundations supportive of our mission. Investments are made by diversified investment managers whose perfonnance is monitored by us and the investment committee of the Board of Directors. Although the fair values of investments are subject to fluctuation on a year-to-year basis, The Organization and the Board of Directors believe that the investment policies and guidelines are prudent for the long-term welfare of the organizations.

Subsequent Events
The Organization have evaluated subsequent events through December 8, 2021, the date the financial statements were available to be issued. One subsequent event was noted which was the forgiveness of its PPP loan on August 6, 2021.

Note 3. Liguiditv and Availability
Financial assets available for general expenditure, that is, without donor or other restrictions limiting their use, within one year of the balance sheet date, comprise the following:

Cash
Interest Receivable
Money Market Funds
Certificates of Deposits
Equities
Bonds
As part of our liquidity management plan, the Organization requirements in investments, CDs, and money market funds. 9 $ 616,285
6 879
309,926
184,612
105.941
$2.171,249
invests cash in excess of daily
Note 4.

Casa de Amistad Centro de Ensenanza
Notes to Financial Statements
Year Ended June 30, 2021
Fair Value Measurements and Disclosures
The Organization reports certain assets at fair value in the financial statements. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction in the principal, or most advantageous, market at the measurement date under current market conditions regardless of whether that price is directly observable or estimated using another valuation technique.

Inputs used to determine fair value refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk. Inputs may be observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity's own assumptions about the assumptions market participants would use in pricing the asset or liability based on the best information available. A three-tier hierarchy categorizes the inputs as follows:

Level I - Quoted prices (unadjusted) in active markets for identical assets or liabilities that The Organization can access at the measurement date.

Level 2 - Inputs other than quoted prices included within Level I that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, and market-con-oborated inputs.

Level 3 - Unobservable inputs for the asset or liability. In these situations, The Organization develops inputs using the best infonnation available in the circumstances.

In some cases, the inputs used to measure the fair value of an asset or a liability might be categorized within different levels of tl1e fair value hierarchy. In those cases, tl1e fair value measurement is categorized in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement. Assessing the significance of a particular input to entire measurement requires judgment, taking into account factors specific to tl1e asset or liability. The categorization of an asset within the hierarchy is based upon the pricing transparency of the asset and does not necessarily correspond to our assessment of the quality, risk, or liquidity profile of the asset or liability.

A significant portion of our investment assets are classified within Level 1 because they comprise open-end mutual funds, certificates of deposit and money market funds with readily detenninable fair values based on daily redemption values.

We invest in CDs traded in the financial markets and have funds with Rancho Santa Fe Foundation.

Those CDs and Rancho Santa Fe Foundation obligations are valued by the custodians of the securities using pricing models based on credit quality, time to maturity, stated interest rates, and market-rate assumptions, and are classified within Level 2.

IO
CA Franchise Tax Board Entity Status Letter

STATE OF CALIFORNIA

FRANCHISE TAX BOARD
PO BOX 942857
SACRAMENTO CA 94257-0540
Entity Status Letter
Why You Received This Letter
Date: 5/24/2022
ESLID: 6929596438
According to our records, the following entity information is true and accurate as of the date of this letter.

Entity ID: 2356814
Entity Name: CASA DE AMISTAD, CENTRO DE ENSENANZA

1. The entity is in good standing with the Franchise Tax Board.

2. The entity is not in good standing with the Franchise Tax Board.

3. The entity is currently exempt from tax under Revenue and Taxation Code (R&TC) Section 23701 d.

4. We do not have current information about the entity.

5. The entity was administratively dissolved/cancelled on Administrative Dissolution process.

Important Information
through the Franchise Tax Board
• This information does not necessarily reflect the entity's current legal or administrative status with any other agency of the state of California or other governmental agency or body. • If the entity's powers, rights, and privileges were suspended or forfeited at any time in the past, or if the entity did business in California at a time when it was not qualified or not registered to do business in California, this information does not reflect the status or voidability of contracts made by the entity in California during the period the entity was suspended or forfeited (R& TC Sections 23304.1, 23304.5, 23305a, 23305.1 ).
• The entity certificate of reviver may have a time limitation or may limit the functions the revived entity can perform, or both (R&TC Section 23305b).

Connect With Us
Web: ftb.ca.gov
Phone: 800.852.5711 from 7 a.m. to 5 p.m. weekdays, except state holidays 916.845.6500 from outside the United States
TTY/TDD: 800.822.6268 for persons with hearing or speech impairments FTB 4263A WEB (REV 12-2019)
W-9
Fonn W•9
(Rev. October 201 8)
Department of the Treasury
tntemol Revenue SeMce
Request for Taxpayer
Identification Number and Certification
Give Form to the
requester. Do not
send to the IRS. ► Go to www.i~.gov/FonnW91or instructions and the latest information. 1 Name (os shown on your Income tax return). Name ,s required on this l,ne. do not leave this hne blank. o.. s a. m i sta.d 2 Business name/disregarded entity name, rt different from above ..;t-----------------------------------------..------------- a, 3 Check appropriate box for federal tax classlficat1on of tho person whoso namo Is entered on hne 1. Check only one of tho 4 Exemptions (codas npply only to g> following seven boxes certain entitles, not lnd,vlduols; see a. lns1ructions on pogo 3):
0 lndIvidu0Vsolo proprietor or D C Corporation D S Corpora~on D Partnership D Trust/estate single-member LLC Exempt payee code ~f any) _ _ _ _
C:
0 . ., QI C: a. 0 ]:;- t; 0 l.Jmlted liability comptmy. Entor tho tax ciass1ftcatlon (C=C corporation. S=S corporation, P=Partn=hip) ► __ _ o 2 Note: Check tho opproprioto box In the hne above for tho tax classification of the s,nglo-mcmber owner. Do not chock Exemption from FATCA reporting c io LLC If the LLC Is classified as a single-member LLC that Is disregarded from the owner unless tho owner of the LLC Is ·c .E another LLC that Is not disregarded from the owner for U.S. federal tax purposes, Otherwlso. a single-member LLC that code (rt on)') a. ~ is disrogarded from tho owner should check the apptoprlo'.o box 0for tho tax ctass1r:cation or Its ownor. d e~ 1 n ~ ' v i u Other(scol nstrucllons) ► n rof; or; af11ZAt,on exern tMd.er" lRS _,,._,.,_,_..,.,_,,,.US) ~1-:i=.,----'---,---...;.:.__,..LIL-"'"--'-1"-'--='-.!...:...l-...!:C:,+~c.J...:===~=c.!!...:pl..-==:__:=:::--.....::.=..1-..... L-.L------ --,,------ (/) Address (number, street, and apt or s lte no.) See inst Requester's n.m,e end address (optlonoQ (/) m 1-,--L"-~'-- z. --""'-'---'C.C...=---'---'--....:....;....:....;;.._ vet\.£ Ave 0. UL _______________ ~ 6 c,ty. state. and IP code
D \a,(\ c?i B 7 List account numbcr(s) here (optlonaQ
Taxpayer Identification Number (TIN)
Enter your TIN In the appropriate box. The TIN provided must match the name given on line 1 to avoid backup w ithholding. For individuals. this Is generally your social secunty number {SSN). However, for a resident alien. sole proprietor, or disregarded entity, see the instructions for Part I, later. For other entitles, it is your employer identification number (EIN). If you do not have a number. see How to get a nN. later.

Social security number
DJJ -[I] -I I I I I or
Note: If the account Is in more than one name, see the instructions for line 1. Also see What Name and Number To Give the Requester tor guidelines on whose number to enter.

I Employer ldentlflcmlon number
Certification
Under penalties of pe~ury. I certify that:
1, The number shown on this form Is my correct taxpayer identification number (or I am warting for a number to be issued to me): and

2. I am not subject to backup withholding because: (a) I am exempt from backup withholding, or (bl I have not been notified by the Internal Revenue Service (IRS) that I am subJect to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has notified me that I am no longer subject to backup withholding; and

3. I am a U.S. citizen or other U.S. person (defined below); and

4. The FATCA code{s) entered on this form (11 any) indicating that I am exempt from FATCA reportlng Is correct.

Certification Instructions. You must cross out Item 2 above if you have been notified by the IRS that you are currently subIect to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, Item 2 does not apply. For mortgage Interest paid, acquisition or abandonment of secured property. cancellation of debt. contributions to an individual retirement arrangement ORA). and generally. payments other than Interest and dividends. you are not required to sign the certification. but you must provide your correct TlN. See the instructions fo( Part II, later.

Sign
Here
Signature of
U.S. person ►
General Instructions
Section references are to the Internal Revenue Code unless otherwise noted.

Future developments. For the latest information about developments related to Form W-9 and its instructions, such as legislation enacted after they were published, go to www.lrs.gov/FormW9.

Purpose of Form
An individual or entity (Form W-9 requester) who Is required to file an information return with the IRS must obtain your correct taxpayer identification number (TIN) which may be your social security number (SSN), individual taxpayer Identification number (ITIN). adoption taxpayer identification number (ATIN), or employer identification number (EIN). to report on an information return the amount paid to you, or other amount reportable on an Information return. Examples of information returns include. but are not limited to, the following. • Form 1099-INT (interest earned or paid)
Cat. No. 10231X
Date ► '2,2.,
• Form 1099-DIV (dividends, including those from s1ocks or mutual funds)
• Form 1 099-MISC (various types of Income, prizes, awards, or gross proceeds)
• Form 1099-8 (stock or mutual fund sales and certain other transactions by brokers)
• Form 1099-S (proceeds from real estate transactions)
• Form 1099-K (merchant card and third party network transactions) • Form 1098 (home mortgage Interest), 1098-E (student loan interest), 1098-T (tuition)
• Forrn 1099-C (canceled debt}
• Form 1099-A (acqu1s1tIon or abandonment of secured property) Use Form W-9 only if you are a U.S. person (including a resident alien), to provide your correct TIN.

If you do not retum Form W-9 to the requester with a TTN. you m,ghr be subject to backup w1thholdmg. See What is backup withholding , later.

Form W-9 (Rev 10-2018)

COMMUNITY

RESOURCE
CENTER
DocuSign Envelope ID: E42EA75C-ABAD-4A56-B19B-E9702708BC5D The City of Solana Beach Community Grant Program
Request for Financial Assistance Application FY 2022-23 All Applications MUST BE RECEIVED by 5:00 p.m. Thursday, May 26, 2022.

Please Print Clearly or Type. All requests will be determined by the following criteria:

Name of Organization: Community Resource Center
Mailing Address: _6_5_0_2_nd_St_re_e_t _____________________ _ City: Encinitas State: _C_A ____ Zip: 92024
Contact Person: John Van Cleef Email address: [email protected] ----------- Daytime Phone: _7_6_0-_2_30_-_6_30_9 _______ Evening Phone: __________ _

2. Has your organization received financial assistance from the City before? lil Yes □ No

3. If yes , please state the fiscal year it was received and for the proposed program was:
2022 Holiday Baskets

4. Title of FY 2022-23 Proposed Program/Service:
2022 Holiday Baskets

5. What is the total amount requested for the FY 2022-23 Proposed Total Program? Includes all estimated costs to conduct proposed activity/program.
$2,500 to s1:1pport 10 low income ~olana Beach resielents participating in 2022 Molielay Baskets. The total Molielay Baskets project b1:1elget is $189,035 .

Page 11 ends

DocuSign Envelope ID: E42EA75C-ABAD-4A56-B19B-E9702708BC5D

6. Grant funds must be used for services or materials directly associated to proposed activity.

Please describe how grant funds will be used:

CRC v·o·ill use grant funds for progrem/project costs of its 2022 I lolide'y' Besl~ets Pregrem.

7. Anticipated Program Objectives or Accomplishments:

CRC's Holida·,· BaslECts 13ro1Jides a digAif'ied, f'ree 'sho1313iAg' e*13erieAee to low iAeeme SaA DiegaAs, ineluaing eAildfen, sel'liers, al'ld suPv"ivers ef deme~ie v·ielel'lee, al'ld engages aeelieatea eemrnunit,· velt1F1teers. The gifts, feed, CRC Resale Store vettehers and basie household st1pplies provide a lite savil'lg bridge duril'lg the holidavs.

8. Program Dates/Location:

December 10, 2022 - 650 211d Street, E1rcirritas, CA

9. Estimated number of Solana Beach residents to be served by proposed program:
10 10. How will the organization acknowledge the City's financial contribution to the community/ beneficiaries of the proposed activity?
Holiday Baskets dm,01s and sporrs01 s receive logo r ecog11itio11 OJI CRC's eve11t website, e-blasts a11d pr 0111otio11s, a1 rd i1 r social 11 ,edia r ecog11itio11 posts received by 6,500e-111ail subscribers and 2,000 followers or I social II redia

11. Will there be any matching funds or other grants that would be applied to this program or service? If awarded this grant, will that enable other funding sources? 'fes, there will be other grMts, though l'IO matchil'lg fttl'lds. CRC is jttst starting its ftil'ldraisil'lg for the 2022 I lolida'y' Besl~ets progr8n'I. I lolidey B!:!sl<ets r ecei·ves ftindil'lg fron, corJ'.IOl ate, prin1te found8tion, gover 1111,e11t, and ilidividttal do1,ors. Past co1,tr ibuto1 s 'll'vl ,o a1 e 1easo11eblv expected to do11ate agai11 inc

12. Will volunteers be used for the proposed program or service and, if so, will they reduce expenses?
'fes, oolu11tee1 s a1 e esse11tial to lloliday Beskets. Their se1 vice reduces exJ'.ler ,ses. Tl ,e p1 ogr an, would not be fi11a11cially feasible without tl,e 0vo1k of dedicated co111111u11ity 'll'olu1,tee,s.

Page I 2
DocuSign Envelope ID: E42EA75C-ABAD-4A56-B19B-E9702708BC5D

13. If the proposed program or service is only awarded partial funding, will it still move forward? Will the program/service be scaled back and/or is there a threshold at which it will not move forward?
CRC's 2022 I lolidav Baskets pI ogI aI n will take place if Sola11a Beach is 01,ly able to pI ooide pa1 ti al ftuidi1 ,g. Tl Ie pI ogI aI, r uoould 1 ,ot be scaled back 01 ca, 1celed m ,less ti ,eI e was a sig, 1ifica1 ,t, substa11tial sl 101 tfall i11 total fu11d1 aisi11g. CRC has iiOL dete1 liliued a specific ti II esl ,old of advance fu11di11g fo1 the ev Acknowledgment of Responsibility:

ALL INFORMATION REQUESTED ON THIS APPLICATION MUST BE COMPLETED AS A

CONDITION FOR BEING CONSIDERED FOR PUBLIC FUNDS BY THE CITY COUNCIL OF SOLANA BEACH.

Page I 3
Community Resource Center
FY23 Budget Holiday Baskets
Ordinary Income/Expense
Income
Private grants and Private donations $118,735
(campaign appeals; major gifts)
planned, pending, or to be identified
In-Kind Donations - Goods $15,000
In-Kind Donation - Services $52,800
City of Solana Beach Community Grant $2,500
(if awarded)
Total Income $189,035
Personnel Expense
Salaries $22,736
Fringe/Taxes @33% $7,503
Subtotal Personnel Expense $30,239
Program Expense
Occupancy Expense $4,200
Operating Expense $1,146
Client Assistance $131,550
Equipment $1,000
Board & Volunteers $800
Mileage & Parking $100
Professional Fees $20,000
Subtotal Program Expense $158,796
Total Expense $189,035
Community Resource Center FY 22 Budget Summary
Revenue Amount
FundraisinQ Events $129,700
Government Contract Revenue $3,305,000
ProQram Service Revenue $15,500
Public SupporVDonations $2,542,120
Private, Corporate, and Foundation Grants $634,750
Resale Stores $950,000
Other Revenue $112,220
Total Revenue $7,689,290
Expenses
Personnel Expenses includinQ Benefits/Taxes $3,621,836
Direct Service to Clients $2,048,500
Operating Expenses $244,265
Occupancy Expenses $943,172
Equipment $269,719
Professional Fees $134,600
Administrative & Fundraising Expenses $170,932
Total Expenses $7,433,024
Net Income $256,266
COMMUNITY RESOURCE CENTER AND 660 ENCINITAS, LLC

CONSOLIDATED FINANCIAL STATEMENTS
II GIi
June 30, 2021 and 2020
YSR CPA GROUP, P.C.

CERTIFIED PUBLIC ACCOUNTANTS
AUDIT + TAX + ADVISORY

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATED FINANCIAL STATEMENTS
June 30, 2021 and 2020

TABLE OF CONTENTS

INDEPENDENT AUDITORS' REPORT

CONSOLIDATED FINANCIAL STATEMENTS
Page No.
1 Consolidated Statements of Ffnancial Position as of June 30, 2021 and 2020 3 Consolidated Statements of Activities for the Years Ended June 30, 2021 and 2020 4 - 5 Consolidated Statements of Functional Expenses for the Years Ended June 30, 2021 and 2020 6 - 7 Consolidated Statements of Cash Flows for the Years Ended June 30, 2021 and 2020 a Notes to the Consolidated Financial Statements 9 - 23

SUPPLEMENTAL INFORMATION
Consolidating Schedule of Financial Position for the Years Ended June 30, 2021 and 2020 Consolidating Schedule of Activities for the Years Ended June 30, 2021 and 2020 Independent Auditors' Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards
Independent Auditors' Report on Compliance for Each Major Program and on Internal Control Over Compliance Required by the Uniform Guidance Schedule of Expenditures of Federal Awards
Notes to the Schedule of Expenditures of Federal Awards Schedule of Findings and Questioned Costs
24-25
26-27
28-29
30 -31
32 33
34 •• GIi
YSR CPA GROUP, P.C.

CERTIFIED PUBLIC ACCOU NTANTS
AUDIT + TAX + ADVISORY
WWW.YSRCPAS.COM
Member of American Institute of Certified Public Accountants Member of California Society of Certified Public Accountants

INDEPENDENT AUDITORS' REPORT
To the Board of Directors of
Community Resource Center and Subsidiary
Report on the Audit of the Consolidated Financial Statements We have audited the accompanying consolidated financial statements of Community Resource Center and 660 Encinitas, LLC (the "Subsidiary") (a California nonprofit organization), which comprise the consolidated statements of financial position as of June 30, 2021 and 2020, and the related consolidated statements of activities, functional expenses and cash flows for the years then ended, and the related notes to the consolidated financial statements.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position of Community Resource Center and Subsidiary as of June 30, 2021 and 2020, and the changes in its net assets and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America.

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

Management's Responsibility for the Consolidated Financial Statements Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about Community Resource Center and Subsidiary's ability to continue as a going concern within one year after the date that the consolidated financial statements are available to be issued.

Auditors' Responsibility for the Audit of the Consolidated Financial Statements Our objectives are to obtain reasonable assurance about whether the consolidated 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 conducted in accordance with generally accepted auditing standards and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion , forgery , intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the consolidated financial statements.

Los Angeles I 2529 Foothill Blvd. Ste 212. La Crescenta. CA 91214 San Diego I 336 Encinitas Blvd. Ste 120, Encinitas. CA 92024 818 ·330 ·9772 f: 818 ·330·9079 760 ·634 ·1120 f: 760·452·7860 In performing an audit in accordance with generally accepted auditing standards 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 consolidated 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 consolidated 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 Community Resource Center and Subsidiary'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 Community Resource Center and Subsidiary'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.

Supplementary Information
Our audits were conducted for the purpose of forming an opinion on the consolidated financial statements as a whole.

The accompanying supplementary information on pages 24 to 27 is presented for purposes of additional analysis, and is not a required part of the consolidated financial statements. The accompanying schedule of expenditures of federal awards on page 32, as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, is presented for purposes of additional analysis and is not a required part of the 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 consolidated financial statements. The information has been subjected to the auditing procedures applied in the audit of the consolidated financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the consolidated financial statements or to the consolidated financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the schedule of expenditures of federal awards is fairly stated, in all material respects, in relation to the consolidated financial statements as a whole.

Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated March 24, 2022 on our consideration of Community Resource Center and Subsidiary's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters.

The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of Community Resource Center and Subsidiary'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 Community Resource Center and Subsidiary's internal control over financial reporting and compliance.

Emphasis of a Matter- Change in Accounting Principle
For the year ended June 30, 2021, the Organization adopted Financial Accounting Standards Board's (FASB) Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606) as described in Note 1. The changes required by the update have been applied to all periods presented. Our opinion is not modified with respect to that matter.
'I SR C..,? A Cx-o~ , 'v. C-. .

Encinitas, California
March 24, 2022

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
June 30, 2021 and 2020
6/30/21 6/30/20
ASSETS

CURRENT ASSETS
Cash $ 1,079,224 $ 641,250
Investments (Note 4) 893
Accounts receivable 320
Grants and contributions receivable (Note 5) 915,605 571,539 Inventory 54,565 53,815
Prepaid expenses and other assets 100,800 78,387
TOTAL CURRENT ASSETS 2,150,194 1,346,204

NONCURRENT ASSETS
Contributions receivable, net (Note 5) 193,327
Deposits 34,427 34,427
Property and equipment, net (Note 6) 3,339,547 1,091,839 Donated property (Note 7) 25,600
3,567,301 1,151,866
TOTAL ASSETS $ 5,717,495 $ 2,498,070

LIABILITIES AND NET ASSETS

CURRENT LIABILITIES
Accounts payable $ 15,469 $ 45,497
Accrued expenses 301,234 229,891
Current portion of notes payable (Note 9) 5,259 4,995
TOTAL CURRENT LIABILITIES 321,962 280,383

NONCURRENT LIABILITIES
Other liabilities 16,312 3,966
Notes payable, net of current portion (Note 9) 1,566,284 171,751 TOTAL NONCURRENT LIABILITIES 1,582,596 175,717
TOTAL LIABILITIES 1,904,558 456,100

COMMITMENTS & CONTINGENCIES

NET ASSETS
Without donor restrictions 3,017,913 1,736,954
With donor restrictions (Note 10) 795,024 305,016
TOTAL NET ASSETS 3,812,937 2,041,970
TOTAL LIABILITIES AND NET ASSETS $ 5,717,495 $ 2,498,070 See accompanying independent auditors' report and notes to the financial statements 3 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATED STATEMENT OF ACTIVITIES
For the Year Ended June 30, 2021
Without Donor With Donor
Restrictions Restrictions

SUPPORT AND REVENUE
Contributions $ 1,428,105 $ 1,580,155 $
In kind contributions 1,094,599
Government grants 3,252,755
Rental income 18,020
Resale shop sales, net $944,672
cost of sales of donated goods 946,539
Special events, net direct expenses of $3,678 73,959
Program services 32,609
Investment return 1,339
Interest income 177
Loss on sale of property (13,100)
Other income 27,500
Net assets released from restrictions,
satisfaction of program restrictions (Note 10) 1,090,147 (1,090,147) TOTAL SUPPORT AND REVENUE 7,952,649 490,008

EXPENSES
Program services
Integrative services 2,457,193
Domestic violence 1,921,621
Resale store 795,534
Supporting servfces
Management and general 939,618
Fundraising 557,724
TOTAL EXPENSES 6,671,690
INCREASE IN NET ASSETS 1,280,959 490,008
NET ASSETS AT BEGINNING OF YEAR 1,736,954 305,016
NET ASSETS AT END OF YEAR $ 3,017,913 $ 795,024 $
See accompanying independent auditors' report and notes to the financial statements 4 Total
3,008,260
1,094,599
3,252,755
18,020
946,539
73,959
32,609
1,339
177
(13,100)
27,500
8,442,657
2,457,193
1,921,621
795,534
939,618
557,724
6,671,690
1,770,967
2,041,970
3,812,937

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATED STATEMENT OF ACTIVITIES
For the Year Ended June 30, 2020
Without Donor With Donor
Restrictions Restrictions

SUPPORT AND REVENUE
Contributions $ 1,263,013 $ 563,361 $
In kind contributions 674,217
Government grants 2,338,255
Resale shop sales, net $946,751
cost of sales of donated goods 916,371
Special events, net direct expenses of $77,535 286,580
Program services 79,193
Investment return (570)
Loss on disposal of fixed assets (3,278)
Net assets released from restrictions,
satisfaction of program restrictions (Note 10) 318,225 (318,225) TOTAL SUPPORT AND REVENUE 5,872,006 245,136

EXPENSES
Program services
Integrative services 1,997,469
Domestic violence 1,551,472
Resale store 822,654
Supporting services
Management and general 624,825
Fundraising 480,026
TOTAL EXPENSES 5,476,446
INCREASE IN NET ASSETS 395,560 245,136
NET ASSETS AT BEGINNING OF YEAR 1,341,394 59,880
NET ASSETS AT END OF YEAR $ 1,736,954 $ 305,016 $
See accompanying independent auditors' report and notes to the financial statements 5 Total
1,826,374
674,217
2,338,255
916,371
286,580
79,193
(570)
(3,278)
6,117,142
1,997,469
1,551,472
822,654
624,825
480,026
5,476,446
640,696
1,401,274
2,041,970

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATED STATEMENT OF FUNCTIONAL EXPENSES
For the Year Ended June 30, 2021
Pro9ram Services Sueeortin9 Services
Salaries and wages $
Employee benefits
Payroll taxes
Professional fees
Advertising
Office expenses
Information technology
Occupancy
Travel
Interest expense
Depreciation
Insurance
Postage and shipping
Direct program expense
Fundraising expense
Auto expense
Staff and board development
Miscellaneous
$
Domestic
Violence and
Integrative Emergency Total Program Management
Services Shelter Resale Stores Services and general Fundraisinfl 506,267 $ 1,054,206 $ 314,962 $ 1,875,435 $ 442,848 $ 312,880 86,807 133,095 57,445 277,347 46,722 36,043
40,529 71,705 23,514 135,748 39,946 22,480
36,301 5,670 480 42,451 129,693 20,858
763 763 3,946
40,621 68,707 8,131 117,459 32,588 10,400
20,538 23,329 1,480 45,347 31,981 49,928
71,262 118,905 347,614 537,781 36,236 6,011
778 2,702 46 3,526 2,080 760
18,079
35,171 49,811 14,515 99,497 7,060 1,300
1,875 1,781 2,156 5,812 39,028 1,406
263 356 57 676 1,681 1,481
1,602,469 384,080 1,986,549
74,736
9,285 2,577 4,004 15,866 157
4,802 2,343 84 7,229 11,835 3,717
225 2,354 20,283 22,862 99,841 11,621
2,457,193 $ 1,921,621 $ 795,534 $ 5,174,348 $ 939,618 $ 557,724 See accompanying independent auditors' report and notes to the financial statements 6 $
$
Total
Supporting
Services Total
755,728 $ 2,631,163
82,765 360,112
62,426 198,174
150,551 193,002
3,946 4,709
42,988 160,447
81,909 127,256
42,247 580,028
2,840 6,366
18,079 18,079
8,360 107,857
40,434 46,246
3,162 3,838
1,986,549
74,736 74,736
157 16,023
15,552 22,781
111,462 134,324
1,497,342 $ 6,671,690

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATED STATEMENT OF FUNCTIONAL EXPENSES
For the Year Ended June 30, 2020
Program Services Sueeortin!l Services
Salaries and wages $
Employee benefits
Payroll taxes
Professional fees
Advertising
Office expenses
Information technology
Occupancy
Travel
Interest expense
Depreciation
Insurance
Postage and shipping
Direct program expense
Fundraising expense
Auto expense
Staff and board development
Miscellaneous
$
Domestic
Violence and
Integrative Emergency Total Program Management
Services Shelter Resale Stores Services and general Fund raising 621,809 $ 741,793 $ 312,633 $ 1,676,235 $ 339,162 $ 284,274 122,511 111,855 55,922 290,288 32,550 29,269
41,231 60,739 23,405 125,375 26,732 21,612
27,605 7,365 930 35,900 98,158 12,827
164 2,142 2,306 769 2,049
43,911 141,830 37,427 223,168 35,126 35,441
20,358 29,209 2,760 52,327 7,651 49,996
91,728 98,891 355,273 545,892 18,098 10,568
1,834 8.019 9,853 2,844 659
10 10 15,065
35,239 46,333 16,266 97,838 6,983 3,285
2,424 2,790 2,895 8,109 16,310 1,830
197 288 11 496 818 1,730
968,589 260,419 1,229,008
157 157 21,483
8,630 3,071 6,315 18,016 11,023
4,211 2,092 6,303 8,711 4,766
7,035 36,604 6,675 50,314 4,825 237
1,997,469 $ 1,551,472 $ 822,654 $ 4,371,595 $ 624,825 $ 480,026 See accompanying independent auditors' report and notes to the financial statements 7 $
$
Total
Supporting
Services Total
623,436 $ 2,299,671
61,819 352,107
48,344 173,719
110,985 146,885
2,818 5,124
70,567 293,735
57,647 109,974
28,666 574,558
3,503 13,356
15,065 15,075
10,268 108,106
18,140 26,249
2,548 3,044
1,229,008
21,483 21,640
11,023 29,039
13,477 19,780
5,062 55,376
1,104,851 $ 5,476,446

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Years Ended June 30, 2021 and 2020
6/30/21 6/30/20

CASH FLOWS FROM OPERATING ACTIVITIES
Change in net assets $ 1,770,967 $ 640,696
Adjustments to reconcile change in net assets to net cash provided (used) by operating activities:

Depreciation 107,857 108,107
Loss on sale of fixed assets 3,279
Contributed securities (181,232) (99,533)
Proceeds from sale of contributed securities 182,512 98,284 (Gain) loss on sale of contributed securities (387) 356 Loss on sale of other asset 875
Loss on sale of donated property 13,100
Donated resale inventory (750) 13,966
(Increase) decrease in operating assets
Accounts receivable 320 2,680
Grants and contributions receivable (537,393) (248,283) Prepaid expenses and other assets (22,413) (22,717)
Increase (decrease) in operating liabilities
Accounts payable (30,028) (7,473)
Accrued expenses 71,343 48,595
Line of credit (100,000)
Other liabilities 12,346 (140)
CASH PROVIDED BY OPERATING ACTIVITIES 1,386,242 438,692

CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds on sale of other assets 1,140
Proceeds on sale of fixed assets 3,500
Proceeds from sale of donated property 12,500
Purchase of property and equipment (955,565} (24,880}
CASH USED BY INVESTING ACTIVITIES (943,065) (20,240}

CASH FLOWS FROM FINANCING ACTIVITIES
Payments on note payable (5,203} (50,620}
CASH USED BY FINANCING ACTIVITIES (5,203) (50,620}
NET INCREASE IN CASH 437,974 367,832
CASH AT BEGINNING OF YEAR 641,250 273,418
CASH AT END OF YEAR $ 1,079,224 $ 641,250

SUPPLEMENTAL DISCLOSURE OF NON-CASH FINANCING ACTIVITIES During the year ended June 30, 2021, the Organization financed a portion of the purchase of building and land in the amount of $1,400,000 through a mortgage obligation.

See accompanying independent auditors' report and notes to the financial statements 8 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Activities
Community Resource Center ("CRC") was organized as a California Nonprofit Public Benefit Corporation in 1979 to provide emergency assistance, housing stability and food to low-income individuals and families who are experiencing homelessness or at imminent risk of homelessness, including domestic violence survivors. CRC is the primary provider of social services and domestic violence programs in coastal North County San Diego, serving more than 6,400 people each year without regard to race, religion, gender identity, sexual orientation, ethnicity, age or immigration status.

CR C's mission - to help our neighbors create paths to healthy food, stable homes and safe relationships - is supported by donor contributions, private and government grants as well as the net proceeds from resale stores and events.

The following is a brief description of CRC's programs:

Integrative Services
CRC assists individuals and households experiencing homelessness, or are at risk of homelessness, with housing, rental assistance, financial education, resources and individualized support.

CRC case managers assist individuals and households experiencing homelessness, or are at risk of homelessness, with housing, resources, rental assistance, financial education and individualized support.

Each individual and family walk a unique path to self-sufficiency, and CRC supports them along the way.

Comprehensive, wraparound services provided during case management include:
• Homelessness Prevention and Intervention: Seasonal shelter and emergency housing assistance, Rapid Re-housing, deposit/ rental assistance
• Stabilization Services: Benefits enrollment assistance, transportation assistance, employment readiness resources, financial literacy training, budgeting • Health & Well-being Programs: Food assistance, CalFresh and Medi-Cal Benefits applications Holiday Baskets
What began as a delivery of a food basket and a few gifts to 25 families, has grown to serving thousands of community members in low-income households with the help of dedicated volunteers. Households receive nonperishable food, fresh produce, a blanket and family presents, while gift bags are delivered to seniors in their homes. The food and basic household supplies provide a life-saving bridge during the holidays, so scarce dollars may be spent on other needs such as rent, utilities or transportation, while the gifts help children receive a wonderful holiday experience.

Food & Nutrition
CRC's Food & Nutrition Center provides participants with free nutritious fresh food - produce, meat and dairy - along with non-perishable food and personal hygiene items (including diapers). This food allows scarce dollars to be spent on other needs such as rent, utilities or transportation.

See accompanying independent auditors' report
9 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Nature of Activities (continued)
Domestic Violence Prevention and Intervention
At CRC, families and individuals escaping domestic violence find safety and healing through our wraparound services, which include:
• Emergency Hotline
• Carol's House Emergency Shelter
• Transitional Housing
• Case Management
• Therapeutic Children's Center, providing therapeutic services specifically for children to help them to effectively cope with the traumatic effects of domestic violence. • Legal Advocacy
• Counseling, offering individual counseling sessions, weekly group therapy sessions for mothers and for children, and family counseling.
• Prevention Education, presentations and trainings for area colleges and schools, including education on healthy relationships and teen relationship violence prevention, as well as a comprehensive 40- hour domestic violence advocate training.

CRC's 2020 Impact (calendar year)
• 1,391 unduplicated participants made 13,037 visits to the Food and Nutrition Center, which collected and distributed 507,225 pounds of food.
• 3,713 individuals participated in the Holiday Baskets drive-thru distribution program (home delivery for seniors) for low-income households, including 1,784 children and 323 seniors. • Integrative Services provided case management to 349 unduplicated individuals during 3,655 sessions, assisted 114 benefit applicants and successfully placed more than 213 households (431 individuals) in safe housing - shelter, transitional housing and permanent housing. • 1,401 sessions were provided by our professional counselors, offering empathic, compassionate and solution-oriented counseling.
• 475 individuals found safe housing through our intervention programs, domestic violence shelter and transitional housing units.
• 151 domestic violence (DV) survivors and children found shelter and assistance, the DV Hotline responded to 2,012 calls, and 100% of families in transitional housing moved to permanent housing. • CRC provided domestic violence prevention education throughout the community to more than 1,500 high school students.
660 Encinitas, LLC is a single member LLC owned by Community Resource Center and was formed in 2021. The purpose of 660 Encinitas, LLC is to serve as a holding entity for property located at 660 2nd Street.

Basis of Consolidation
The consolidated financial statements include Community Resource Center and 660 Encinitas, LLC (collectively, "the Organization"). All significant intercompany balances and transactions have been eliminated in consolidation.

See accompanying independent auditors' report
10 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Consolidated Financial Statement Presentation
The consolidated financial statements of the Organization have been prepared on the accrual basis in accordance with accounting principles generally accepted in the United States of America. The consolidated financial statements are presented in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 958 dated August 2016, and the provisions of the American Institute of Certified Public Accountants (AICPA) "Audit and Accounting Guide for Not-for-Profit Organizations" (the "Guide"). ASC 958-205 was effective January 1, 2018.

Under the provisions of the Guide, net assets and revenues, and gains and losses are classified based on the existence or absence of donor-imposed restrictions. Accordingly, the net assets of the Organization and changes therein are classified as follows:
• Net assets without donor restrictions: Net assets that are not subject to donor-imposed restrictions and may be expended for any purpose in performing the primary objectives of the Organization. The Organization's board may designate assets without restrictions for specific operational purposes from time to time.
• Net assets with donor restrictions: Net assets subject to stipulations imposed by donors, and granters.

Some donor restrictions are temporary in nature; those restrictions will be met by actions of the Organization or by the passage of time. Other donor restrictions may be perpetual in nature, where by the donor has stipulated the funds be maintained in perpetuity.

Donor restricted contributions are reported as increases in net assets with donor restrictions. When a restriction expires, net assets are reclassified from net assets with donor restrictions to net assets without donor restrictions in the statements of activities.

Measure of Operations
The consolidated statement of activities reports all changes in net assets, including changes in net assets from operating and nonoperating activities. Operating activities consist of those items attributable to the Organization's ongoing services and interest earned. Nonoperating activities are limited to resources that generate return from other activities considered to be of a more unusual or nonrecurring nature.

Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.

Fair Value Measurement
In accordance with Financial Accounting Standards Board Codification No. 820 (FASB ASC 820), fair value is defined as the exchange price that would be received for an asset or paid for a liability in the principal or most advantageous market. The Organization applies fair value measurement to assets and liabilities that are required to be recorded at fair value under generally accepted accounting principles.

FASB ASC 820 establishes a three-tier hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs and to establish the classification of fair value measurement for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability developed based on market date obtained from sources independent of the reporting entity.

See accompanying independent auditors' report
11 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Fair Value Measurement (continued)
Unobservable inputs are inputs that reflect the reporting entity's own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available.

The standard describes three-tier hierarchy of inputs that may be used to measure fair value:

Level 1 - Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 2 - Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the same term of the financial instrument.

Level 3 - Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

A financial instrument's categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

Due to the short-term nature of cash, receivables, other assets, accounts payable and accrued expenses, fair value approximates carrying value.

New Accounting Pronouncements Recently Adopted
In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers ("Topic 606"). ASU 2014-09 states that an entity should recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.

This update also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments, and assets recognized from costs incurred to obtain or fulfill a contract. The update supersedes prior revenue recognition guidance, including industry specific guidance. Effective July 1, 2020, the Organization adopted the new standard through the modified retrospective method. The modified retrospective method requires that the cumulative effect of initially applying the new guidance be recorded as an adjustment to the opening balance of net assets in the statement of financial position. The adoption of this new accounting guidance did not have an impact on prior period earnings and no adjustment was recorded to the opening net asset balances as of July 1, 2020. The adoption did not have a financial statement impact to the Organization.

Recent Accounting Pronouncements Not Yet Adopted
In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which amends the existing guidance to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the statement of financial position and by disclosing key information about leasing arrangements. ASU 2016-02 will, among other things, require lessees to recognize a lease liability, which is a lessee's obligation to make lease payments arising from a lease, measured on a discounted basis; and a right-of-use asset, which is an asset that represents the lessee's right to use, or control the use of, a specified asset for the lease term.

ASU 2016-02 does not significantly change lease accounting requirements applicable to lessors; however, the ASU contains some targeted improvements that are intended to align, where necessary, lessor accounting with the lessee accounting model and with the updated revenue recognition guidance issued in 2014.

See accompanying independent auditors' report
12 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Recent Accounting Pronouncements Not Yet Adopted (continued) Additionally, in July 2018, the FASS issued ASU No. 2018-10, Codification Improvements to Topic 842, Leases and ASU No. 2018-11, Leases, Targeted Improvements. The amendments in these updates provide additional clarification and implementation guidance on certain aspects of ASU 2016-02 and have the same effective and transition requirements as ASU 2016-02. Specifically, ASU 2018-11 creates an additional transition method option allowing entities to record a cumulative effect adjustment to opening net assets in the year of adoption.

In December 2018, the FASS further issued ASU 2018-20, Leases (Topic 842) Narrow-Scope Improvements for Lessors. The amendments in this update permits lessors to make an accounting policy election to not evaluate whether certain sales taxes and other similar taxes are lessor costs or lessee costs and instead account for the costs as if they were lessee costs. Additionally, the amendment requires lessors to exclude from variable payments, and therefore revenue, lessor costs paid by lessees directly to third parties. The amendments also require lessors to account for costs excluded from the consideration of a contract that are paid by the lessor and reimbursed by the lessee as variable payments.

In March 2019, the FASS also issued ASU 2019-01, Leases (Topic 842) Codification Improvements, to further clarify certain identified issues regarding implementation of ASU 2016-02. Specifically, the amendments in ASU 2019-01 clarify the determination of fair value of underlying assets by lessors that are not manufacturers or dealers, the cash flow presentation of sales-type or direct financing leases, and transition disclosures for interim periods. Issued in November 2019, ASU 2019-10, "Financial Instruments-Credit Losses, Derivatives and Hedging, and Leases" alters the effective date of ASU 2016-02 for private companies. On June 3, 2020, the FASS issued ASU 2020-05, which deferred the effective dates of the Board's standards on ASU 2016-02 to give immediate relief to certain entities as a result of the widespread adverse economic effects and business disruptions caused by the coronavirus disease 2019 (COVID-19) pandemic.

In September 2020, the FASS issued ASU 2020-07, Not-for-Profit Entities (Topic 958): Presentation and Disclosures by Not-for-Profit Entities for Contributed Nonfinancial Assets. This ASU is meant to improve generally accepted accounting principles (GAAP) by increasing the transparency of contributed nonfinancial assets for not-for-profit (NFP) entities through enhancements to presentation and disclosure. The amendments in this Update address certain concerns about the lack of transparency about the measurement of contributed nonfinancial assets recognized by NFPs, as well as the amount of those contributions used in an NFP's programs and other activities. An NFP will be required to present contributed nonfinancial assets as a separate line item in the statement of activities, apart from contributions of cash and other financial assets.

The amendments address presentation and disclosure of contributed nonfinancial assets. The term nonfinancial asset includes fixed assets (such as land, buildings, and equipment), use of fixed assets or utilities, materials and supplies, intangible assets, services, and unconditional promises of those assets. An NFP will be required to disclose a disaggregation of the amount of contributed nonfinancial assets recognized within the statement of activities by category that depicts the type of contributed nonfinancial assets and additional information for each category of contributed nonfinancial assets. The amendments in this ASU are affective for annual periods beginning after June 15, 2021 and interim periods within annual periods beginning after June 15, 2022 and should be applied on a retrospective basis. Early adoption is permitted.

Accounts and Grants Receivable
Accounts and grants receivable arise in the normal course of business. It is the policy of management to review the outstanding accounts receivable at period end, as well as the bad debt write-offs experienced in the past, and establish an allowance for doubtful accounts for uncollectible amounts.

Bad debts are recognized on the allowance method based on historical experience and management's evaluation of outstanding receivables. No allowance for doubtful accounts and grants receivable was considered necessary for both years ended June 30, 2021 and 2020, respectively, as management determined all receivables are collectable.

See accompanying independent auditors' report
13 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Contributions Receivable
Contributions receivables represent unconditional promises to give and are reported at fair value by discounting the expected future contribution payments at the statement of financial position date. Contributions extending beyond one year are discounted to recognize the present value of the future cash flows. In subsequent years, this discount is recorded as additional contribution revenue in accordance with donor-imposed restrictions, if any.

In addition, contributions are recorded net of an allowance. The allowance for uncollectible contributions is determined by management. No allowance for uncollectible contributions was considered necessary for the year ended June 30, 2021 as management determined all contributions are collectible. There were no contributions receivable for the year ended June 30, 2020 therefore no allowance for uncollectible contributions was considered necessary. Changes in the fair value of contributions receivable are reported in the statement of activities as contribution revenue except for changes in the allowance which are reported as program expenses at each subsequent reporting date.

Resale Shop Inventory
The resale shop inventory consists of items that have been donated by individuals in the community. Because many of the donations are used items, the value of donations is not readily determinable until such items are sold. Sales on donated items are recorded at the point of sale. Valuable donated items, such as jewelry or artwork, with a readily determinable fair market value are recorded at their appraised value or the value based on prices of identical or similar assets in the marketplace.

Property and Equipment
The Organization capitalizes all expenditures in excess of $2,500 for property and equipment at cost, while donations of property and equipment are recorded at their estimated fair values. Such donations are reported as without donor restriction unless the donor has restricted the donated asset to a specific purpose. Assets donated with explicit restrictions regarding their use and contributions of cash that must be used to acquire property and equipment are reported as with donor restriction.

Absent donor stipulations regarding how long those donated assets must be maintained, the Organization reports expirations of donor restrictions when the donated or acquired assets are placed in service as instructed by the donor.

The Organization reclassifies net assets with donor restriction to net assets without donor restriction at that time.

Property and equipment are depreciated using the straight-line method over the estimated useful asset lives as follows:

Buildings
Leasehold improvements
Furniture and fixtures
Automobile
Software

31.5 years
5-15 years
3- 7 years
4 years
5 years
Maintenance, repairs and minor renewals are charged to operations as incurred. Upon sale or disposition of property, the asset account is relieved of the cost and the accumulated depreciation account is charged with depreciation taken prior to the sale of any resultant gain or loss is credited or charged to earnings.

See accompanying independent auditors' report
14 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Impairment of Real Estate
The Organization reviews its investment in real estate for impairment whenever events and changes in circumstances indicate that the carrying value of such property may not be recoverable. Recoverability is measured by a comparison of the carrying amount of the real estate to the future net undiscounted net cash flows expected to be generated by the property and any estimated proceeds from the eventual disposition of the real estate. If the real estate is considered to be impaired, the impairment to be recognized is measured at the amount by which the carrying amount of real estate exceeds the fair value of such property. There were no impairment losses recognized for the years ended June 30, 2021 and 2020, respectively.

Compensated Absences
Vested and accumulated personal time off (PTO) is recorded as an expense and liability as benefits accrue to employees. The accrued PTO liability totaled $144,227 and $102,924 at June 30, 2021 and 2020, respectively, and is included in accrued expenses in the consolidated statement of financial position.

Revenue Recognition
Government Grants
The Organization receives government grants and contracts. These grants and contracts provide funding to be used for purposes indicated in the grant agreements. As the government is not receiving a benefit as a result of these transactions, the grants and contracts are considered to be contributions to the Organization. The grant and contract agreements contaln spending requirements. As these stipulations create a barrier that must be achieved, government grants and contracts are considered conditional contributions until such time as the barriers are overcome. Contributions from these grant and contract agreements are therefore recognized as revenue when costs are incurred as required by the agreements.

Until the financial information required by the funding sources is accepted, costs billed for program services under cost reimbursement contracts are subject to review and possible disallowance. In management's opinion, the potential for material disallowances is remote and, therefore, is not a barrier that would prevent the recognition of revenue.

Contributions and Support
Contributions are recognized when the donor makes a promise to give to the Organization that is in substance, unconditional. Contributions that are restricted by the donor are reported as increases in net assets without donor restrictions if the restrictions expire in the fiscal year in which the contributions are recognized. All other donor restricted contributions are reported as increases in net assets with donor restrictions, depending on the nature of the restrictions. When a restriction expires, net assets with donor restrictions are reclassified to net assets without donor restrictions. Contributions to be received in future periods are discounted at an appropriate discount rate.

Amortization of discounts is recorded as additional contribution revenue in accordance with donor-imposed restrictions, if any, on the contributions.

Special Events
Special event revenues received are not recognized until the revenue is earned, which is at the time of the event or when the services are provided, and the Organization does not believe it is required to provide additional goods or services to fulfill its related performance obligation. The recognition of revenue is conditional on the event taking place, as this is the point in time when the performance obligation of hosting the event occurs.

The Organization records special event revenue equal to contribution revenue less the cost of direct benefits to donors which is included in special event revenue on the statement of activities and changes in net assets.

See accompanying independent auditors' report
15 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Revenue Recognition {continued}
Other Revenue
Revenue from resale store sales is recognized at a point in time when the transaction occurs. Rental income is recognized in the month earned. Advance receipts of rental income are deferred and classified as liabilities until earned.

Contributed Services
Volunteer Services
The Organization utilizes the services of volunteers throughout the year that perform a variety of tasks that assist the Organizatlon with various programs. This contribution of services by the volunteers is not recognized in the financial statements unless the services received (a) create or enhance nonfinancial assets or (b) require specialized skills which are provided by individuals possessing those skills and would typically need to be purchased if not provided by donation. Such services do not meet the criteria for recognition as a contribution and are not reflected in the consolidated financial statements.

Donated Professional Services
A law firm that employs one of the Board members provided legal services to the Organization without charge. During the years ended June 30, 2021 and 2020, respectively, the Organization recognized revenue and related expense of $59,207 and $73,499 for in-kind legal services.

Donated Goods
Revenues from in-kind contributions are recognized in accordance with generally accepted accounting principles and are recorded at the fair value of the products or services surrendered. Fair value is determined by using comparable market rates at the time of the transaction.

In-kind contributions of goods used for program services with an estimated fair value of $913,367 and $605, 159 for the years ended June 30, 2021 and 2020, respectively, are included in in-kind contributions in the statement of activities.

In-kind contributions of donated goods and materials with an estimated fair value of $945,422 and $932,785 for the years ended June 30, 2021 and 2020, respectively, reduce resale stores revenue on the statement of activities.

Functional Expenses
The consolidated financial statements report certain categories of expenses that are attributable to more than one program or supporting function. Therefore, these expenses require allocation on a reasonable basis that is consistently applied. The expenses that are allocated include salaries and wages, benefits, payroll taxes, insurance and depreciation, which are allocated on the basis of estimates of time and effort, as well as occupancy, which is allocated on a square-footage basis.

See accompanying independent auditors' report
16 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Income Taxes
Community Resource Center is exempt from income taxes under Section 501(c)(3) of the Internal Revenue Code and Section 23701 (d) of the California Revenue and Taxation Code. The Organization has been determined by the Internal Revenue Service not to be a private foundation within the meaning of Section 509(a) of the Internal Revenue Code. Income generated from activities unrelated to the Organization's exempt purpose is subject to tax under IRC Section 511. The Organization did not have any unrelated business income for the years ended June 30, 2021 and 2020, respectively, and therefore, no provision for income taxes has been made. 660 Encinitas, LLC is a single member limited liability company. Under provisions of the Internal Revenue Code, a single member LLC is considered a disregarded entity for income tax purposes. Accordingly, no provision for income taxes appear in the consolidated financial statements.

The Organization follows the provision of uncertain tax positions as addressed in FASB Accounting Standards Codification. The Organization recognizes accrued interest and penalties associated with uncertain tax positions as part of the income tax provision, when applicable. The Organization believes that it has taken no significant uncertain tax positions for the year ended June 30, 2021. Management believes the Organization is no longer subject to income tax examinations by applicable taxing jurisdictions for the years prior to June 30, 2017.

Advertising
The Organization expenses the cost of advertising as incurred. Advertising expense for the years ended June 30, 2021 and 2020, respectively, was $4,709 and $5,124.

Going Concern Evaluation
Management evaluates whether there are conditions or events that raise substantial doubt about the entity's ability to continue as a going concern for a period of one year from the date the consolidated financial statements are available to be issued.

NOTE2. AVAILABILITY AND LIQUIDITY
The following represents the Organization's financial assets at June 30:

Financial assets at year-end: 6/30/21
Cash $ 1,079,224
Investments
Accounts and grants receivable, current - net 765,605
Contributions receivable, current 150,000
Total financial assets 1,994,829
Less amounts not available to be used within one year:

Restricted by donor with purpose restrictions 795,024
Less restricted contributions receivable (350,000)
Debt obligations to be met in less than a year 69,744
Financial assets available to meet general expenditures over the next twelve months $ 1,480,061
See accompanying independent auditors' report
17 6/30/20
$ 641,250
893
571,859
1,214,002
305,016
13,740
$ 895,246

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 2. AVAILABILITY AND LIQUIDITY
The Organization receives contract payments from federal and non-federal agencies, private grants and contributions. This money is used to meet cash needs for general expenditures. The Organization manages its liquidity following two guiding principles: operating within a prudent range of financial soundness and stability and maintaining adequate liquid assets to fund near-term operating needs. The Organization has a liquidity target to maintain current financial assets less current liabilities at a minimum of 30 days operating expenses. The Organization operates with a balanced budget and anticipates collecting sufficient revenue to cover general expenditures not covered by donor-restricted resources. The Organization regularly monitors the availability of resources required to meet its operating needs and other contractual commitments. During the years ended June 30, 2021 and 2020, respectively, the level of liquidity was close to target.

In the event of an unanticipated liquidity need, the Organization could also draw upon its available line of credit up to $200,000.

NOTE 3. CONCENTRATION OF CREDIT RISK
Financial instruments that potentially subject the Organization to significant concentrations of credit risk consist principally of cash. The Organization maintains its cash in bank deposit accounts that are insured by the Federal Deposit Insurance Corporation (FDIC) up to a limit of $250,000 per depositor. At June 30, 2021 and 2020, the Organization exceeded federally insured limits by $943,513 and $449,831, respectively. Management has not experienced any losses in the past and does not believe the Organization is exposed to any significant risk.

NOTE 4. INVESTMENTS
Investments consist of the following at June 30:

Cost
Equity stock $
6/30/21
Fair Value
Unrealized
Gain (Loss)
6/30/20
Fair Value
893
The investments in equity stocks are Level 1 assets. Interest and dividends are recorded when earned.

NOTE 5. GRANTS AND CONTRIBUTIONS RECEIVABLE
Grants and contributions receivable consist of the following at June 30:
6/30/21
Contributions receivable $ 350,000
California Office of Emergency Management 305,271
City of Carlsbad 215,579
City of Encinitas 128,280
Department of Housing and Urban Development 55,575
Other 60,900
Total grants and contributions receivable 1,115,605
Less: discount on long term pledge (6,673)
$ 1,108,932
See accompanying independent auditors' report
18 6/30/20
$
226,671
228,169
69,062
47,637
571,539
571,539

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 5. GRANTS AND CONTRIBUTIONS RECEIVABLE (continued) Unconditional promises to give consist of the following at June 30:

Pledges due in one year or Jess $
Pledges due after one year through five years
Less: imputed discount
6/30/21
150,000
200,000
350,000
(6,673)
Net pledged contributions $ 343,327 ----- At June 30, 2021, 100% of the contribution receivable was from a single donor. Amounts due beyond one year have been discounted at a rate of 2.504%. There were no contributions receivable for the year ended June 30, 2020.

NOTE6. PROPERTY AND EQUIPMENT
Property and equipment consist of the following at June 30:
6/30/21 6/30/20
Buildings $ 1,839,037 $ 1,234,827
Leasehold improvements 493,578 403,770
Furniture and fixtures 82,908 82,908
Vehicles 108,075 125,175
Computers and software 40,276 83,005
Equipment 79,402 50,390
Gross fixed assets 2,643,276 1,980,075
Less accumulated depreciation (1,456,707} (1,428,173}
1,186,569 551,902
Construction in progress 13,041
Land 2,139,937 539,937
Fixed assets, net $ 3,339,547 $ 1,091,839
Depreciation expense for the years ended June 30, 2021 and 2020 was $107,857 and $108,107, respectively.

NOTE 7. DONATED PROPERTY
Donated property consists of land in Apache County, Arizona donated to the Organization. The property was recorded at fair value based on the value of the County Tax Assessor upon acquisition. The impairment of long-lived donated property was $13,600 as of June 30, 2021. The property was sold in October 2020.

NOTE 8. LINE OF CREDIT
The Organization executed a line-of-credit with U.S. Bank (the "Bank") in the amount of $100,000, originally dated September 30, 2015. On October 6, 2017, the Bank increased the line of credit to $200,000. On January 28, 2019, the Bank extended the maturity date to December 31, 2019. On December 31, 2019, the Bank extended the maturity date to December 31, 2020, with interest calculated at the bank's prime rate plus 0.75% (4.0% at June 30, 2020).

On March 19, 2021, the Bank extended the maturity date to December 31, 2021, with interest calculated at the bank's prime rate plus 1.0% (4.25% at June 30, 2021 ). All other terms and conditions remained the same, and the line-ofcredit is collateralized by investment in real estate.

See accompanying independent auditors' report
19 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 8. LINE OF CREDIT (continued)
There was no balance on the line of credit as of June 30, 2021 and 2020, respectively. As of the date of the consolidated financial statements, the Organization is in the process of renewing the line of credit.

NOTE 9. NOTES PAYABLE
Notes payable consists of the following at June 30:

Note payable to U.S. Bank in the amount of $197,452,
payable in monthly installments of $1,145 including interest at 4.83% due on October 15, 2025. The note is collateralized by investment in real estate. $
Note payable to Beach Studio LLC in the amount of
$1,400,000, interest only at 4% payable in monthly
installments of $4,667. The principal balance is due on May 1, 2031. Principal payments not to exceed $70,000 per
calendar year may be prepaid beginning January 1, 2022.

Less current portion
6/30/21
171,543 $
1,400,000
1,571,543
5,259
6/30/20
176,746
176,746
4,995
$ 1,566,284 $ 171,751 ----- At June 30, 2021, principal payments are due as follows:

Year Ending
June 30,
2022
2023
2024
2025
2026
Thereafter
$ 5,259
5,529
5,802
6,089
148,864
1,400,000
$ __ 1...,,5_7_1,...,54_3_
NOTE 10. RESTRICTIONS ON NET ASSETS
As of June 30, 2021 and 2020, respectively, net assets with donor restrictions were available for the following programs or purposes:

COVID-19 response
Shelter
Holiday baskets
IT purchases
Capital campaign
Other
6/30/21
$
$
See accompanying independent auditors' report
20 153,911
96,061
76,233
8,383
430,687
29,749
795,024
6/30/20
$ 154,462
84,505
19,679
16,619
29,751
$ 305,016

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 10. RESTRICTIONS ON NET ASSETS (continued)
Net assets released from net assets with donor restrictions are as follows:

Purpose restriction:

Holiday baskets $
Integrative services
IT purchases
COVI D-19 response
Capital campaign
Purchase of new vehicle
Other
$
6/30/21 6/30/20
71,134 $ 150,521
18,162
33,646 38,175
62,124 70,490
923,243
24,627
16,250
1,090,147 $ 318,225
NOTE 11. TRANSFERS OF ASSETS TO A RECIPIENT ORGANIZATION THAT RAISES OR HOLDS

CONTRIBUTIONS FOR OTHERS
Beneficial Interest in Endowment Funds
The Organization has a beneficial interest in funds held at Rancho Santa Fe Foundation (RSFF}. The Organization has not recorded this asset in the accompanying consolidated financial statements. The Organization irrevocably transferred $25,000 to the Rancho Santa Fe Foundation (RSFF) on December 29, 2004 to establish the Community Resource Center Endowment Fund. The Organization granted variance power to RSFF to carry out the purposes of the fund established by the transfer including but not limited to the power to retain, invest and reinvest the funds in any manner within the "prudent investor" standard and the power to commingle the assets of the established fund with those of other funds for investment purposes.

Further, the RSFF was granted the ability to modify any restriction or condition on the distribution of funds for any specified charitable purpose or to any specified organization if, in the sole discretion of the RSFF Board of Directors, such restriction or condition becomes unnecessary, incapable of fulfillment, or inconsistent with the charitable needs of the community or area served. RSFF's spending policy is to disburse 5% of the value of the fund annually, based on a historical average value of the fund. The calculation is based on the average value of the fund for twelve quarters prior to the date of the distribution. Distributions made are used to further the Organization's mission.

Currently, the value of each fund in the RSFF is determined on December 31st of each year. Administrative costs are charged annually against the Fund in accordance with the then current fee policy identified by the RSFF. Any costs to the RSFF in accepting, transferring or managing property donated to the RSFF for the established fund shall also be paid from the established fund. The Organization did not receive any distributions for the years June 30, 2021 and 2020. The beneficial interest in funds held at Rancho Santa Fe Foundation totaled $92,286 and $74,088, respectively, at June 30, 2021 and 2020.

NOTE 12. COMMITMENTS AND CONTINGENCIES
Operating Leases
The Organization leases administrative office facilities under operating lease agreements that expire through May 2022. The Organization also leases several properties for resale stores under non-cancelable operating lease agreements through March 2026. Rent expense, including real estate taxes, maintenance and other related charges for operating leases totaled $402,995 and $406,691, respectively, for the years ended June 30, 2021 and 2020 and is included in occupancy expenses in the statement of functional expenses.

See accompanying independent auditors' report
21 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 12. COMMITMENTS AND CONTINGENCIES (continued)
Operating Leases {continued}
Minimum future lease payments required under non-cancelable operating lease agreements (exclusive of real estate taxes, maintenance and other related charges) for the year ended June 30, 2021 are as follows:

Year Ending
June 30,
2022
2023
2024
2025
2026
Grants and Contracts
$ 290,510
206,780
211,246
215,844
69,885
$ 994,265
The Organization receives revenue from government grants and contracts which are subject to audit. No provision has been made for any liabilities that may arise from such audits since the amounts, if any, cannot be determined.

Management believes that any liability which may result from these audits is not significant.

Litigation
In addition to commitments and obligations in the ordinary course of business, the Organization is subject to various claims and potential legal actions or other matters arising out of the normal course of business. When a loss is considered probable and reasonably estimable, the Organization records a liability in the amount of the estimated loss. However, the likelihood of a loss with respect to a particular contingency is often difficult to predict and determining a meaningful estimate of the loss or a range of loss may not be practicable based on the information available and the potential effect of future events and decisions by third parties that will determine the ultimate resolution of the contingency. Moreover, it is not uncommon for such matters to be resolved over many years, during which time relevant developments and new information must be reevaluated at least quarterly to determine both the likelihood of potential loss and whether it is possible to reasonably estimate a range of possible loss. When a loss is probable, but a reasonable estimate cannot be made, disclosure of the proceeding is provided.

As discussed above, development of a meaningful estimate of loss or a range of potential loss is complex when the outcome is directly dependent on negotiations with or decisions by third parties, such as regulatory agencies, the court system and other interested parties. Such factors bear directly on whether it is possible to reasonably estimate a range of potential loss and boundaries of high and low estimates. As of June 30, 2021, the Organization has not recorded any probable and reasonably estimable losses due to any potential legal actions.

NOTE 13. RETIREMENT PLAN
The Organization participates in a SIMPLE IRA savings plan, which is qualified under the Internal Revenue Code and covers substantially all employees. Employees are eligible after they have earned $5,000 during any two preceding years and reasonably expected to earn at $5,000 during the current year. Employees may elect to defer up to $13,500 of their salaries. The Organization matches 3% of the participant's elective deferrals to the Plan. The Organization paid contributions in the amount of $34,946 and $35,094, respectively, during the years ended June 30, 2021 and 2020.

See accompanying independent auditors' report
22 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Years Ended June 30, 2021 and 2020
NOTE 14. SUBSEQUENT EVENTS
The Organization has evaluated subsequent events through March 24, 2022, the date which the consolidated financial statements were available to be issued.

See accompanying independent auditors' report
23 SUPPLEMENTAL INFORMATION

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATING SCHEDULE OF FINANCIAL POSITION
June 30, 2021
Community
Resource 660 Encinitas
Center LLC Eliminating Consolidated
ASSETS

CURRENT ASSETS
Cash $ 994,158 $ 85,066 $ - $
Grants and contributions recefvable, net 915,605
Inventory 54,565
Prepaid expenses and other assets 97,601 3,199
TOTAL CURRENT ASSETS 2,061,929 88,265

NON CURRENT ASSETS
Contributions receivable, net 193,327
Deposits 34,427
Investment in 660 LLC 862,650 (862,650)
Property and equipment, net 1,138,670 2,200,877
2,229,074 2?00,877 (862,650}
TOTALASSETS $ 4,291,003 $ 2,289,142 $ (862,650} $

LIABILITIES AND NET ASSETS

CURRENT LIABILITIES
Accounts payable $ 15,469 $ - $ - $
Accrued expenses 297,395 3,839
Current portion of notes payable 5,259
TOTAL CURRENT LIABILITIES 318,123 3,839

NONCURRENT LIABILITIES
Other liabilities 5,342 10,970
Notes payable, net of current portion 166,284 1,400,000 TOTAL NONCURRENT LIABILITIES 171,626 1,410,970
TOTAL LIABILITIES 489,749 1,414,809

COMMITMENTS & CONTINGENCIES

NET ASSETS
Without donor restrictions 3,006,230 874,333 (862,650)
With donor restrictions 795,024
TOTAL NET ASSETS 3,801,254 874,333 (862,650}
TOTAL LIABILITIES AND NET ASSETS $ 4,291,003 $ 2,289,142 $ tB62,650} $ See accompanying independent auditors' report and notes to the financial statements 24 1,079,224
915,605
54,565
100,800
2,150,194
193,327
34,427
3,339,547
3,567,301
5,717,495
15,469
301,234
5,259
321,962
16,312
1,566,284
1,582,596
1,904,558
3,017,913
795,024
3,812,937
5,717,495

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATING SCHEDULE OF FINANCIAL POSITION
June 30, 2020
Community
Resource 660 Encinitas
Center LLC Eliminating Consolidated
ASSETS

CURRENT ASSETS
Cash $ 641,250 $ - $ - $
Investments 893
Accounts receivable 320
Grants and contributions receivable, net 571,539
Inventory 53,815
Prepaid expenses and other assets 78,387
TOTAL CURRENT ASSETS 1,346,204

NON CURRENT ASSETS
Deposits 34,427
Property and equipment, net 1,091,839
Donated property 25,600
1,151,866
TOTAL ASSETS $ 2,498,070 $ - $ - $

LIABILITIES AND NET ASSETS

CURRENT LIABILITIES
Accounts payable $ 45,497 $ - $ - $
Accrued expenses 229,891
Current portion of notes payable 4,995
TOTAL CURRENT LIABILITIES 280,383

NONCURRENT LIABILITIES
Other liabilities 3,966
Notes payable, net of current portion 171,751
TOTAL NONCURRENT LIABILITIES 175,717
TOTAL LIABILITIES 456,100

COMMITMENTS & CONTINGENCIES

NET ASSETS
Without donor restrictions 1,736,954
With donor restrictions 305,016
TOTAL NET ASSETS 2,041,970
TOTAL LIABILITIES AND NET ASSETS $ 2,498,070 $ - $ - $
See accompanying independent auditors' report and notes to the financial statements 25 641,250
893
320
571,539
53,815
78,387
1,346,204
34,427
1,091,839
25,600
1,151,866
2,498,070
45,497
229,891
4,995
280,383
3,966
171,751
175,717
456,100
1,736,954
305,016
2,041,970
2,498,070

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATING SCHEDULE OF ACTIVITIES
For the Year Ended June 30, 2021
660 Encinitas
Community Resource Center LLC
Without Donor With Donor Without Donor Without Donor
Restrictions Restrictions Total Restrictions Eliminations Restrictions

SUPPORT AND REVENUE
Contributions $ 1,428,105 $ 1,580,155 $ 3,008,260 $ - $ - $ 1,428,105 In kind contributions 1,094,599 1,094,599 1,094,599
Government grants 3,252,755 3,252,755 3,252,755
Rental income 18,020 18,020
Resale shop sales, net $944,672
cost of sales of donated goods 946,539 946,539 946,539
Special events, net direct expenses of $3,678 73,959 73,959 73,959 Program services 32,609 32,609 32,609
Investment return 1,339 1,339 1,339
Interest income 177 177 177
Loss on sale of property (13,100) (13,100) (13,100)
Other income 27,500 27,500
Net assets released from restrictions,
satisfaction of program restrictions 1,090,147 (1,090,147) 1,090,147 TOTAL SUPPORT AND REVENUE 7,907,129 490,008 8,397,137 45,520 7,952,649

EXPENSES
Program services
Integrative services 2,457,193 2,457,193 2,457,193
Domestic violence 1,921,621 1,921,621 1,921,621
Resale store 795,534 795,534 795,534
Supporting services
Management and general 905,781 905,781 33,837 939,618
Fund raising 557,724 557,724 557,724
TOTAL EXPENSES 6,637,853 6,637,853 33,837 6,671,690
INCREASE IN NET ASSETS 1,269,276 490,008 1,759,284 11,683 1,280,959 Capital Contributions 862,650 (862,650)
NET ASSETS AT BEGINNING OF YEAR 1,736,954 305,016 2,041,970 1,736,954 NET ASSETS AT END OF YEAR $ 3,006,230 $ 795,024 $ 3,801,254 $ 874,333 $ (862,650) $ 3,017,913 See accompanying independent auditors' report and notes to the financial statements 26 Consolidated
With Donor
Restrictions Total
$ 1,580,155 $ 3,008,260
1,094,599
3,252,755
18,020
946,539
73,959
32,609
1,339
177
(13,100)
27,500
(1,090,147)
490,008 8,442,657
2,457,193
1,921,621
795,534
939,618
557,724
6,671,690
490,008 1,770,967
305,016 2,041,970
$ 795,024 $ 3,812,937

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

CONSOLIDATING SCHEDULE OF ACTIVITIES
For the Year Ended June 30, 2020
660 Encinitas
Community Resource Center LLC
Without Donor WrthDonor Without Donor Without Donor
Restrictions Restrictions Total Restrictions Eliminations Restrictions

SUPPORT AND REVENUE
Contributions $ 1,263,013 $ 563,361 $ 1,826,374 $ - $ - $ 1,263,013 In kind contributions 674,217 674,217 674,217
Government grants 2,338,255 2,338,255 2,338,255
Resale shop sales, net $946,751
cost of sales of donated goods 916,371 916,371 916,371
Special events, net direct expenses of $77,535 286,580 286,580 286,580 Program services 79,193 79,193 79,193
Investment return (570) (570) (570)
Loss on disposal of fJXed assets (3,278) (3,278) (3,278) Net assets released from restrictions,
satisfaction of program restrictions 318,225 (318,225} 318,225 TOTAL SUPPORT AND REVENUE 5,872,006 245,136 6,117,142 5,872,006

EXPENSES
Program services
Integrative services 1,997,469 1,997,469 1,997,469
Domestic violence 1,551,472 1,551,472 1,551,472
Resale store 822,654 822,654 822,654
Supporting services
Management and general 624,825 624,825 624,825
Fundraising 480,026 480,026 480,026
TOTAL EXPENSES 5,476,446 5,476,446 5,476,446
INCREASE IN NET ASSETS 395,560 245,136 640,696 395,560
NET ASSETS AT BEGINNING OF YEAR 1,341,394 59,880 1,401,274 1,341,394 NET ASSETS AT END OF YEAR $ 1,736,954 $ 305,016 $ 2,041,970 $ - $ - $ 1,736,954 See accompanying independent auditors' report and notes to the financial statements 27 '
Consolidated
With Donor
Restrictions Total
$ 563,361 $ 1,826,374
674,217
2,338,255
916,371
286,580
79,193
(570)
(3,278)
(318,225)
245,136 6,117,142
1,997,469
1,551,472
822,654
624,825
480,026
5,476,446
245,136 640,696
59,880 1,401,274
$ 305,016 $ 2,041,970
•• 0 11
YSR CPA GROUP, P.C .

CERTIFIED PUBLIC ACCOUNTANTS
AUDIT + TAX + ADVISORY
WWW YSRCPAS.COM
Member of American Institute of Certified Public Accountants Member of California Society of Certified Public Accountants

INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROL OVER FINANCIAL

REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON

AN AUDIT OF FINANCIAL STATEMENTS PERFORMED

IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
To the Board of Directors of
Community Resource Center and Subsidiary
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the consolidated financial statements of Community Resource Center and Subsidiary (a California nonprofit organization), which comprise the consolidated statements of financial position as of June 30, 2021 and 2020, and the related consolidated statements of activities, functional expenses, and cash flows for the years then ended, and the related notes to the consolidated financial statements, and have issued our report thereon dated March 24, 2022.

Report on Internal Control over Financial Reporting
In planning and performing our audit of the consolidated financial statements, we considered Community Resource Center and Subsidiary's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinion on the consolidated financial statements, but not for the purpose of expressing an opinion on the effectiveness of Community Resource Center and Subsidiary's internal control. Accordingly, we do not express an opinion on the effectiveness of Community Resource Center and Subsidiary's internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's consolidated financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.

Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether Community Resource Center and Subsidiary's consolidated financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of consolidated financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

Los Angeles I 2529 Foothill Blvd, Ste 212, La Crescenta, CA 91214 San Diego I 336 Encinitas Blvd, Ste 120, Encinitas, CA 92024 818 ·330·9772 ~ 818·330·9079 760 · 634 · 1120 f: 760 · 452 · 7860 Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of Community Resource Center and Subsidiary's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering Community Resource Center and Subsidiary's internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Encinitas, California
March 24, 2022
y s
■ ~l
YSR CPA GROUP, P.C.

CERTIFIED PUBLIC ACCOUNTANTS
AUDIT + TAX + ADVISORY
WWW YSRCPAS.COM
Member of American Institute of Certified Public Accountants Member of California Society of Certified Public Accountants

INDEPENDENT AUDITORS' REPORT ON COMPLIANCE FOR EACH MAJOR PROGRAM

AND ON INTERNAL CONTROL OVER COMPLIANCE REQUIRED BY THE UNIFORM GUIDANCE To the Board of Directors of
Community Resource Center and Subsidiary
Report on Compliance for Each Major Federal Program
Opinion on Each Major Federal Program
We have audited Community Resource Center and Subsidiary's compliance with the types of compliance requirements described in the 0MB Compliance Supplement that could have a direct and material effect on each of Community Resource Center and Subsidiary's major federal programs for the year ended June 30, 2021 . Community Resource Center and Subsidiary's major federal program is identified in the summary of auditor's results section of the accompanying schedule of findings and questioned costs.

In our opinion, Community Resource Center and Subsidiary complied , in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2021.

Basis for Opinion on Each Major Federal Program
We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States; and the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Our responsibilities under those standards and the Uniform Guidance are further described in the Auditor's Responsibilities for the Audit of Compliance section of our report.

We are required to be independent of Community Resource Center and Subsidiary and to meet our other ethical responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on compl iance for each major federal program. Our audit does not provide a legal determination of Community Resource Center and Subsidiary's compliance with the compliance requirements referred to above.

Responsibilities of Management for Compliance
Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over compliance with the requirements of laws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to Community Resource Center and Subsidiary's federal programs.

Auditor's Responsibilities for the Audit of Compliance
Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on Community Resource Center and Subsidiary's compliance based on our audit. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance will always detect material noncompliance when it exists. The risk of not detecting material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion , forgery , intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about Community Resource Center and Subsidiary's compliance with the requirements of each major federal program as a whole.

Los Angeles I 2529 Foothill Blvd, Ste 212, La Crescenta. CA 91 214 San Diego I 336 Encinitas Blvd, Ste 120. Encinitas, CA 92024 818·330·9772 f: 818· 330·9079 760 ·634· 11 20 f: 760·452·7860 In performing an audit in accordance with generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance, we:
• Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding Community Resource Center and Subsidiary's compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances.
• Obtain an understanding of Community Resource Center and Subsidiary's internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of Community Resource Center and Subsidiary's internal control over compliance. Accordingly, no such opinion is expressed.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit.

Report on Internal Control over Compliance
Our consideration of internal control over compliance was for the limited purpose described in the Auditor's Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance and therefore, material weaknesses or significant deficiencies may exist that were not identified. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, as discussed below, we did identify certain deficiencies in internal control over compliance that we consider to be significant deficiencies.

A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis.

A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.

Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed.

The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance.

Accordingly, this report is not suitable for any other purpose. 'I SR C..,? A G-o'--"f), 'I)· C... •
Encinitas, California
March 24, 2022

COMMUNITY RESOURCE CENTER

SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
For the Year Ended June 30, 2021
Federal
CFDA Agency or Pass- Subrecipient
Federal/Pass-through Granter and Program Title Number through Granter No, Expenditures Expenditures U.S. Department of Justice
Pass-through from California Governar's Office of Emergency Services Crime Victim Assistance 16.575 DV19118628 106,200
Crime Victim Assistance 16.575 DV2012 8628 182,954
Crime Victim Assistance 16.575 XH19 02 8628 168,403
Crime Victim Assistance 16.575 XH20038628 133,926
Crime Victim Assistance 16,575 XD19 02 8628 181,739
Crime Victim Assistance 16.575 XD20038628 222,642
Crime Victim Assistance 16.575 AT20 018628 82,196
Total U.S. Department of Justice
U.S. Department of Health and Human Services
Poss-through from California Governor's Office of Emergency Services Family Violence Prevention and Services/Domestic Wolence Shelter and Supportive Services 93.671 DV19118628 38,119
Family Violence Prevention and Services/Domestic Violence Shelter and Supportive Services 93,671 FX18 018628 38,925
Total U.S. Department of Health and Human Services
U.S. Department of Housing and Urban Development
Direct Program
Continuum of Care Program 14,267 CA1598L90011903 221,806 Continuum of Care Program - DV Bonus 14.267 CAl 793D9D011800 144,612 Continuum of Care Program• DV Bonus 14.267 CA1793D9D011901 302,877 Poss-through from City of Encinitas
Community Development Block Grants 14.218 N/A 66,491
Poss-through from City of Carlsbad
Community Development Block Grant - Coronavirus 14.218 N/A 225,350 Community Development Block Grants 14.218 N/A 2S,OOO
Total U.S. Department of Housing and Urban Development
U.S. Department of Agriculture
Pass-through from California Deportment of Social Services State Administrative Matching Grants for the Supplemental Nutrition Assistance Program 10.561 18-SUB-7013 26,686
Total U.S. Department of Agriculture
U.S. Department of Homeland Security
Poss-through from Federal Emergency Management Agency
Emergency Food and Shelter Program• Mass Shelter· Phase 36 97,024 N/A 3,421 Total U.S. Department of Homeland Security
U.S. Department of the Tre.isury
Poss-through from Federal Emergency Monogement Agency
Emergency Food and Shelter Program- Mass Shelter• CARES 21.019 N/A 4,879 Total U.S. Department of the Treasury
Total Expenditures of Federal Awards
See independent auditors' report and notes to schedule of expenditures of federal awards 32 Total
1,078,060
77,044
986,136
26,686
3,421
4,879
2,176,226

COMMUNITY RESOURCE CENTER AND SUBSIDIARY

NOTES TO THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Year ended June 30, 2021
NOTE 1-BASIS OF PRESENTATION
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Community Resource Center and Subsidiary under programs of the federal government for the year ended June 30, 2021. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the consolidated operations of Community Resource Center and Subsidiary it is not intended to and does not present the consolidated financial position, changes in net assets, or cash flows of Community Resource Center and Subsidiary.

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles contained in Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass through entity identifying numbers are presented where available.

Community Resource Center and Subsidiary has elected to use the 10% de minimis cost rate as allowed under Uniform Guidance.

See accompanying independent auditors' report
33 COMMUNITY RESOURCE CENTER AND SUBSIDIARY

SCHEDULE OF FINDINGS AND QUESTIONED COSTS
June 30, 2021
Section I-Summary of Auditors' Results
Financial Statements
Type of auditors' report issued:

Internal control over financial reporting:

Significant deficiency(ies) identified?
Material weakness(es) identified?
Noncompliance material to the financial statements noted? Federal Awards
Type of auditors' report issued on compliance for major programs Internal control over major programs:

Significant deficiency(ies) identified?
Material weakness(es) identified?
Any audit findings disclosed that are required to be reported in accordance with the Uniform Guidance, 2 CFR 200.516(a)? Identification of major programs:

CFDA Number

16.575

14.218
Name of Federal Program or Cluster
Domestic Violence Assistance Program
Community Development Block Grant
Dollar threshold used to distinguish between Type A and Type B programs:

Auditee qualified as a low-risk audltee under the Uniform Grant Guidance,

2.CFR.200.520?
Section II - Financial Statement Findings
None reported
Section 111- Federal Award Findings
None reported
See accompanying independent auditors' report
34 Unmodified
None reported
None
No
Unmodified
None reported
None
No
$ 750,000
Yes

STATE OF CALIFORNIA

FRANCHISE TAX BOARD
PO BOX 942857
SACRAMENTO CA 94257-0540
Entity Status Letter
Why You Received This Letter
Date: 5/25/2022
ESLID:4763522014
According to our records, the following entity information is true and accurate as of the date of this letter.

Entity ID: 0967931
Entity Name: COMMUNITY RESOURCE CENTER

1. The entity is in good standing with the Franchise Tax Board.

2. The entity is not in good standing with the Franchise Tax Board. lg]
□ lg] 3. The entity is currently exempt from tax under Revenue and Taxation Code (R& TC) Section 23701 d. □
□

4. We do not have current information about the entity.

5. The entity was administratively dissolved/cancelled on Administrative Dissolution process.

Important Information
through the Franchise Tax Board
• This information does not necessarily reflect the entity's current legal or administrative status with any other agency of the state of California or other governmental agency or body. • If the entity's powers, rights, and privileges were suspended or forfeited at any time in the past, or if the entity did business in California at a time when it was not qualified or not registered to do business in California, this information does not reflect the status or voidability of contracts made by the entity in California during the period the entity was suspended or forfeited (R& TC Sections 23304.1, 23304.5, 23305a, 23305.1 ).
• The entity certificate of revivor may have a time limitation or may limit the functions the revived entity can perform, or both (R&TC Section 23305b).

Connect With Us
Web: ftb.ca.gov
Phone: 800.852.5711 from 7 a.m. to 5 p.m. weekdays, except state holidays 916.845.6500 from outside the United States
TTY/TDD: 800.822.6268 for persons with hearing or speech impairments FTB 4263A WEB (REV 12-2019)
Form W-9 Request for Taxpayer Give Form to the
(Rev. October 2018) Identification Number and Certification requester. Do not Dapar1menl of the Treasury send to the IRS.

Internal Revenue Service ► Go to www.lrs.gov/FormW9 for instructions and the latest information. 1 N11me (es shown on your Income tax return}. Name Is required on 11>,s line: do not leave this line blank.

Community Resource Center
2 Business name/dlsregnrded enlily name, If different from above M
Q) 3 Check appropriate box for federal tax classification of the person whose name is entered on line 1. Check only one of the 4 Exemptions (codes apply only to Cl following seven boxes. certain entities, not individuals; see ro a. instructions on page 3):

C
□ Individual/sole proprietor or D C Corporation D S Corporation D Partnership D Trust/estate 0 • Ill single-member LLC Exempt payee code (if any) Q) C:
a. 0 l::-~ □ Limited liability company. Enter the tax classification (C=C corporation, S=S corporation. P=Partnership) ► u 0 .5 Note: Check the appropriate box in the line above for the tax classification of the single-member owner. Do not check Exemption from FATCA reporting = Ill Ll.C if the LLC Is classified as a single-member LLC that rs disregarded from the owner unless the owner of the LLC 1s code (if any) 'i: ..5 another LLC that Is not disregarded from the owner for U.S. federal tax purposes. Otherwise, a single-member LLC hat ~ 0 is disregarded from the owner should check the appropriate box for the tax classification of Its owner 1,1:
·u 0 Other (seu 1nst1uc11011s) ► 501 (c)(3) and 509(a)(2) Or~an lzation {Applies lo nccou111., maJn~rnOO outsldiJ l'ie US.} Ill a. 5 Address (number, street, and apt. or suite no.} See Instructions. Requester's name and address (op11onnl) (/) al
en 650 2nd Street
6 City, state, and ZIP code
Encinitas, CA 92024-3560
7 List account number(s) here (optional)
- :.r.T 1111 ■ Taxpayer Identification Number (TIN)
1 Social security number Enter you~ TIN in the app:o~riate box. Th~ TIN provided must match the name given on line 1 to avoid I backup w1thhofdlng. For md,vlduals, this 1s generally your social secunty number (SSN}, However, for a resident alien, sole proprietor, or disregarded entity, see the Instructions for Part I, later. For other entitles, It is your employer identlncation number (EIN}. If you do not have a number, see How to get a TIN, later.
[IJJ -DJ -I I I I I or
Note: If the account is in more than one name, see the Instructions for line 1. Also see What Name and Number To Give the Requester for guidelines on whose number to enter. j Employer Identification number
95 -3497926
Certification
Under penalties of perjury, I certify that:

1. The number shown on this form is my correct taxpayer identification number (or f am waiting for a number to be issued to me); and

2. I am not subject to backup withholding b ecause: (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all Interest or d ividends, or (c) the IRS has notified me that I am no longer subject to backup withholding; and

3. I am a U.S. citizen or other U.S. person (defined below); and

4. The FATCA code(s) entered on this form (if any) indicating that I am exempt from FATCA reporting is correct.

Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all ,nteresl and dividends on your tax return. For real estate transactions, item 2 does not apply. For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt. contributions to an individual retirement arrangement (IRA}, and generally, payments other than Interest and dividends, you are not required to s1911 the certiiication, but you must provide your correct TIN. See the Instructions for Part II, later.

Sign
Here Signature of
U.S. person ►
General Instructions
Section references are to the Internal Revenue Code unless otherwise noted.

Future developments, For the latest information about developments related to Form W-9 and its instructions , such as legislation enacted after they were published, go to www.irs.gov/FormW9.

Purpose of Form
An individual or entity (Form W-9 requester) who is required to file an information return with the IRS must obtain your correct taxpayer identification number (TIN) which may be your social security number (SSN), individual taxpayer identification number (ITIN), adoption taxpayer identification number (ATIN), or employer Identification number (EIN), to report on an information return the amount paid to you, or other amount reportable on an Information return, Examples of information returns include, but are not limited to, the following. • Form 1099-INT (Interest earned or paid)
Cat. No, 10231X
• Form 1099-DIV (dividends, including those from stocks or mutual funds)
• Form 1099-MISC (various types of rncome, prizes, awards, or gross proceeds)
• Form 1099-B (stock or mutual fund sales and certain other transactions by brokers)
• Form 1099-S (proceeds from real estate transactions)
• Form 1099-K (merchant card and third party network transactions) • Form 1098 (home mortgage interest), 1098-E (student loan interest), 1098-T (tuition}
• Form 1099-C (canceled debt)
• Form 1099-A (acquisition or abandonment of secured property) Use Form W-9 only it you are a U.S. person (including a resident alien). to provide your correct TIN.

If you do not return Form W-9 to the requester with a TIN, you might be subject to backup withholding. See What is backup withholding, later.

Form W~9 (Rev. 10·2018)

DISCONNECT

COLLECTIVE
The City of Solana Beach Community Grant Program
Request for Financial Assistance Application FY 2022-23 All Applications MUST BE RECEIVED by 5:00 p.m. Thursday, May 26, 2022.

Please Print Clearly or Type. All requests will be determined by the following criteria:

Name of Organization: _D_is_co_n_n_e_ct_C_o_ll_ec_t_iv_e_ln_c_. ________________ _ Mailing Address: _P_O_B_4_33 ________________________ _ City: Solana Beach State: _C_A ____ Zip: 92075
Contact Person: Monica Stapleton Email address: [email protected] Daytime Phone: _8_58_-_52_5_-_31_5_2 _______ Evening Phone: _8_58_-_52_5_-_31_5_2 _____ _

1. All the documents below are attached to this application:
~ W-9
~ Summary of Organization's Budget
l:!J Proposed Program Budget
~ Financial and Tax Statements (see Application Guidelines) ~ A copy of the California Franchise Tax Board Entity Status Letter, showing exemption under Section 23701d or Internal Revenue Code section 501(c)(3)

2. Has your organization received financial assistance from the City before? Iii Yes □ No

3. If yes, please state the fiscal year it was received and for the proposed program was:

Mental Health Support Services to Solana Beach Immigrant Residents and Community Building Opportu

4. Title of FY 2022-23 Proposed Program/Service:

Mental Health Support Services to Solana Beach Immigrant Residents and Community Building Opportu

5. What is the total amount requested for the FY 2022-23 Proposed Total Program? Includes all estimated costs to conduct proposed activity/program.
$5 000
The program and costs assoiciated with supplies, materials, and supplementing recreational programs, is between $5,200 and $9,200

Page 11 ends

6. Grant funds must be used for services or materials directly associated to proposed activity.

Please describe how grant funds will be used:

Plee:!le :!lee 8U8el,eel pege.

7. Anticipated Program Objectives or Accomplishments:

Please see atMel<lea 1:1ae:e

8. Program Dates/Location:

Please see attached page

9. Estimated number of Solana Beach residents to be served by proposed program:
124-200

10. How will the organization acknowledge the City's financial contribution to the community/ beneficiaries of the proposed activity?
r'lease see attacl 1ed

11. Will there be any matching funds or other grants that would be applied to this program or service? If awarded this grant, will that enable other funding sources? Plee:!le :!lee etteeheel

12. Will volunteers be used for the proposed program or service and, if so, will they reduce expenses?
Please see attael ,ed
Page I 2

Monica Stapleton 5/25/22
Authorized Signature of Organization Date

ALL INFORMATION REQUESTED ON THIS APPLICATION MUST BE COMPLETED AS A

CONDITION FOR BEING CONSIDERED FOR PUBLIC FUNDS BY THE CITY COUNCIL OF SOLANA BEACH.

Page I 3

6. Grant funds must be used for services or materials directly associated to proposed activity.Please describe how grant funds will be used:

Grant Funds will be used to continue the 5th year of the 8 month Psychosocial Educational Support group for Immigrant mothers, led by a licensed Bilingual LMFT. The costs include educational supplies, and promotional materials. This year we have added new support services including summer tutoring, yoga, art and relaxation techniques. Disconnect Collective will also help low income Solana Beach families to receive recreational and educational activities, and to help offset the costs of these activities.

We plan to continue to accept scholarship applications for families seeking personal development, community involvement, recreational activities, and mental health improvement. We will also continue to grow our local partnerships and create opportunities for community building.

7.Anticipated Program Objectives or Accomplishments:

We anticipate having 20-35 immigrant Mothers graduate from our group again. They have reported many benefits to the program. We were working with UCSD to gather data which hopefully we can resume soon. An IRB was filed a couple of years ago to support the study, but it has been delayed. We would like to continue to connect these families with City resources and help them offset the costs of these programs. We will continue to provide mental health support and education for local immigrant families. This year we will add more recreational activities and family opportunities for community building.
a.Program Dates/Location:

The Platicas de Mejorar class is held every Wednesday from 7-9 pm. Additionally, we are including more evenings and weekends to include families and community members. We have began tutoring for younger students, yoga, and art projects.
1 0.How will the organization acknowledge the City's financial contribution to the community/beneficiaries of the proposed activity?
The City of Solana Beach logo will be proudly added to our promotional materials and to our scholarship applications. We are happy to proudly credit the city for it's generous contribution.

11.Will there be any matching funds or other grants that would be applied to this program or service? If awarded this grant, will that enable other funding sources? This cycle our Foundation has provided some extra funds to help some children with recreational activities. We hope to fundraise in the near future.

12.Will volunteers be used for the proposed program or service and, if so, will they reduce expenses?
Currently most of our programs are volunteer run. We have some teens that have been paid to lead tutoring and other events. Any funds received from the city or fundraising will go to families and the costs associated with running the programs or community building events.

13. If the proposed program or service is only awarded partial funding, will it still move forward? Will the program or service be scaled back and/or is there a threshold at which it will not move forward? Our program will continue to move forward as planned. We will continue to provide mental Health Support services to the community regardless of how we much get funded.

Disconnect Collective 2022/2023
Dear Madam Mayor and Solana Beach City Council Members, I just wanted to give you an outline of our last year. We have had an incredible year and are very grateful for your support.

We were fortunate enough to secure our Platicas de Mejorar group with a permanent space. This alleviates the need to be scrambling to find a new space every year. We are also able to store our items and decreases the constant packing and unpacking of materials and supplies.

During the summer of 21 and now planning summer of 22, we have supported some students with the "Summer Educational Slide" by providing free one-on-one tutoring and peer led tutoring for approximately 15-20 students. (article below)
We started the Fall off to a great start with our friends at Nature Unplugged. We led a community presentation. It was a great success with about 50-75 parents in attendance. (pies below) We were also able to subsidize our partners at Nature Unplugged with a nature mental wellness day serving around 15-20 families pies below.

For our Platicas de Mejorar group, we were fortunate enough to have several presenters come to our group and share their expertise. We had some Phycologists and artists come share their knowledge and passions. We were so inspired by the art that we decided to hold a show featuring our art. Many of the women had never held a paintbrush before so it was exciting to see them develop this passion and increase their confidence through their artwork. Our first event was held May 15, 2022. We are hoping to make this an annual event. (article below)
We've also started practicing yoga and meditation. We had a local yoga teacher come offer her expertise and it is something that we hope to continue practice yoga.

We will continue to invite community experts to share the knowledge with us and inspire us as well.

Thank you again for your support. We appreciate any suggestions you have for our group. You're always welcome to visit!
Monica
Solana Beach mothers display their art in first annual Platicas de Meiorar show - Del Mar Times Summer enrichment program in La Colonia Park supports local students - Del Mar Times

Fiscal Year 2022
Disconnect Collective / Platicas de Mejorar
Program Budget for Disconnect Collective Mental Health, Parenting & Support Groups and Community Building Opportunities Expense Item Description Low Estimate High Estimate
Creating welcoming meeting spaces $ 400 $ 800
Community outreach $ 500 $ 1,000
Promotional materials $ 300 $ 500
Staffing $ 500 $ 1,000
Educational materials $ 1,700 $ 2,700
Education Scholarship $ 2,000 $ 4,000
Educational Partnerships $ 1,000 $ 2,000
Estimated Totals $ 6,400 $ 12,000
Please note this is both the overall and program budget.

Disconnect Collective/ Platicas de Mejorar
Statement of Financial Position
Assets
Cash
Inventory/ Assets
Pledges Receivable- Short Term
Liabilities
Accounts Payable
Net Assets
$
$
$
$
$
31-Dec-21
1,444
350
1,000
2,794
Please note that the 2020 Tax Return has not been filed yet.

Disconnect Collective / Platicas de Mejorar
Statement of Financial Activities
31-Dec-21
Revenue
City of Solana Beach Grant $ 4,500
Other Fundraising $ 2,120
Total Revenue $ 6,620
Expenses
Program Expenses $ 3,573
Educational Expenses $ 1,982
Community Outreach $ 1,000
Bank/ Transaction Fees $ 176
Total Expenses $ 6,731
Change in Net Assets {Surplus / Deficiency) $ (111)
Please note that the 2021 Tax Return has not been filed yet.

BANK OF AM ERICA ~'41"""'.A"".:,
P .0. Box 152S4
Wihnit.gton, DE 19800
DISCONNECT COLLEC1VE, INC.
514 VIA DE lA VALLE STE 210
SOL.ANA BEACH, CA 92075-2717
Your Business Advantage FundamentalsT"'
for December 1. 2021 to December 31, 2021
DISCONNECT COLLECTVE, INC.

Account summary
Beginning balance on December 1, 2021 S1,814.25
Deposits and otner credits 0.00
Withdrawals and other debits -354.69
Checks -0.00
Service fees -16.00
Ending balance on December 31, 2021 $1,443.56
Submission of Exemption Request ■ CALIFORNIA FORM
Exemption Based on Internal Revenue Code (IRC) Sections 501 (c)(3), 501(c)(4), 501(c)(5), 501(c)(6), 501(c)(7), or 501(c)(19), Federal Determination Letter 3500A Enclose a copy of the Federal Determination Letter.

Organization Information
California corporation number/California Secretary of State file number C4142642
Name of organization as shown in the organization's creating document Disconnect Collective, Inc.

Street address (suite, room, or PMB no.)
514 Via De La Valle, Ste. 210
City
Solana Beach
Telephone Second telephone
(213) 235-0601
Representative Information
Name of representalive
David Stapleton
Representative's mailing address (suite, room, or PMB no.) 514 Via De La Valle, Ste. 210
City
Solana Beach
Telephone Second telephone
(213) 235-0601
Part I - Entity Information. See instructions.

FEIN
8 2 5 4 6 4 9 9
Web address
www.disconnectcollective .com
State ZIP code
CA92075
Fax
213 235 - 0620
Email address
david@stapleton inc. com
State ZIP code
CA92075
Fax
1 Has the Franchise Tax Board (FTB) previously revoked the entity's tax-exempt status? .. . ..... . .. . . . . .... .. .. . .. .. .. 1 □ Yes If "Yes," STOP. File form FTB 3500.
6 @No
2 Is the entity a trust? .... .... .. . ... .. .......... ... .. . .. . . .. . . . . .. . ... . .... ......... .... · .. .. ........... 2 □ Yes [2) No 3 When did the organization establish, incorporate, organize, or conduct business in California? ....... .. .. .. . . . .. .... . 3 0 4 / -1...§_ I 2 0 18 4 Provide gross receipts for the current year and the three immediately preceding taxable years in existence. Gross receipts are defined as the total amounts the organization received from all sources during its annual account period without subtracting any costs or expenses. If the organization has been in existence for less than one year, provide the projected amount of gross receipts for the entire year. List the account period beginning to the account period ending. Example: mm/dd/yyyy Current Year or Projected Gross Receipts for the three immediately preceding taxable years:

Gross Receipts
From: 4/16/18 From: From: From:

To: 12/31/18 To: To: To:
6,000
Part II - Group Exemption. See instructions.
5 Is the parent organization applying for a group exemption? .. . . . ..... .. ................ .... . . ........ . .. . . ... 5 □ Yes If "Yes," attach the federal group determination letter and a list of all California subordinates . Include each subordinate's name, corporation number, Federal employer identification number (FEIN), address, and affiliation date. 6 Is a subordinate unit applying for tax-exempt status using a parent's IRS group determination letter? @ No
If "Yes," see instructions ........... . .. .. .. ......... . ..... .. ....... .. . ......... .. ........ . . ... ........ 6 □ Yes lll No Mail form FTB 3500A and a copy of the federal determination letter to:

EXEMPT ORGANIZATIONS UNIT, MS F120, FRANCHISE TAX BOARD, PO BOX 1286, RANCHO CORDOVA CA 95741-1286.

Under penalties of perjury, I declare I have examined this submission for exem ion based on the IRC Sections 501(c)(3), 501 (c)(4), 501 (c)(5), 501 (c)(6), 501 (c)(7), or 501 (c)(19), federal determination ~tter, and to the best o my knowledge and belief, it is true, correct, and complete.

DAT~/'(fi 1 Secretary

NTATIVE TITLE
■ 8091183 FTB 3500A 2018 Side 1 ■
Part Ill - Purpose and Activity
1 Exemption based on IRC 501(c)(3) Federal Determination Letter Check the organization's primary purpose and activity:

Ill Charitable □ Educational
D Testing for public safety D Religious
D Hospital D Health care center
D Literary
D Scientific
2 Exemption based on IRC 501(c)(4) Federal Determination Letter Check the organization's primary purpose and activity:
■
D Prevent cruelty to animals
0 Church
D Qualified sports organization
□ Civic league □ Local association of □ Social welfare □ Service clubs employees
□ Legislative activities □ Festival organizations □ Municipal building corporation
□ Police, sheriff,
volunteer firemen
association
3 Exemption based on IRC 501(c)(5) Federal Determination Letter Check the organization's primary purpose and activity:
□ Agriculture □ Horticulture □ Labor
□ AFL-CIO □ Independent □ Transportation
workers
4 Exemption based on IRC 501{c)(6) Federal Determination Letter Check the organization's primary purpose and activity:

D Agriculture or horticulture county fair
Teamsters
D Prevent cruelty to children
□ School
□ Veterans' organization
□ Quasi governmental
□ Public employees union
□ Board of trade □ Business league □ Chamber of commerce □ Real estate board □ Professional association or society 5 Exemption based on IRC 501(c)(7) Federal Determination Letter Check the organization's primary purpose and activity:
□ Social and recreational □ Golf club D Camps
□ Car, motorcycle, □ Hunting or D Common recreational
trailer club fishing club area
6 Exemption based on JRC 501(c)(19) Federal Determination Letter Check the organization's primary purpose and activity:
□ Veterans' organization
■ FTB 3500A 2018 Side 2 I 8092183
D Fraternity or sorority
D Flying or airplane club
□ Dog or horse club
■
IRS
Confirmation
Your Form 990-N(e-Postcard) has been submitted to the IRS Organization Name: DISCONNECT COLLECTIVE INC
EIN: 825464996
Tax Year: 2019
Tax Year Start Date: 01-01-2019
• Tax Year End Date: 12-31-2019
Submission ID: 10065520201823838900
• Filing Status Date: 06-30-2020
Filing Status: Pending
Home I ~y..E.r.Q!i!i; I l&g!l.!J.!
Note: J:.ri.n! a copy of this filing for your records. Once you leave this page, you will not be able to do so.

MANAGE FORM 990-N SUBMISSIONS

INTERNAL REVENUE SERVICE
P. 0. BOX 2508
CINCINNATI, OH 45201
Date: MAR 1 5 2019

DISCONNECT COLLECTIVE INC
C/0 MONICA STAPLETON
PO BOX 433
SOLANA BEACH, CA 92075
Dear Applicant:

DEPARTMENT OF THE TREASURY
Employer Identification Number:
82-5464996
DLN:
17053260320018
Contact Person:

CHRIS BROWN
Contact Telephone Number:
(877) 829-5500
Accounting Period Ending:

December 31
Public Charity Status:
170(b) (l) (A) (vi)
ID# 31503
Form 990/990-EZ/990-N Required:

Yes
Effective Date of Exemption:

April 17, 2018
Contribution Deductibility:

Yes
Addendum Applies:

No
We're pleased to tell you we determined you're exempt from federal income tax under Internal Revenue Code (IRC) Section 50l(c) (3). Donors can deduct contributions they make to you under IRC Section 170. You're also qualified to receive tax deductible bequests, devises, transfers or gifts under Section 2055, 2106, or 2522. This letter could help resolve questions on your exempt status. Please keep it for your records.

Organizations exempt under IRC Section 50l(c) (3) are further classified as either public charities or private foundations. We determined you're a public charity under the IRC Section listed at the top of this letter.

If we indicated at the top of this letter that you're required to file Form 990/990-EZ/990-N, our records show you're required to file an annual information return (Form 990 or Form 990-EZ) or electronic notice (Form 990-N, thee-Postcard). If you don't file a required return or notice for three consecutive years, your exempt status will be automatically revoked.

If we indicated at the top of this letter that an addendum applies, the enclosed addendum is an integral part of this letter.

For important information about your responsibilities as a tax-exempt organization, go to www.irs.gov/charities. Enter "4221-PC" in the search bar to view Publication 4221-PC, Compliance Guide for 50l(c) (3) Public Charities, which describes your recordkeeping, reporting, and disclosure requirements.

Letter 947

DISCONNECT COLLECTIVE INC
Sincerely,
Director, Exempt Organizations
Rulings and Agreements
Letter 947
Form W-9 Request for Taxpayer Give Fonn to the
(Rev. December 2014) Identification Number and Certification requester. Do not Department of the Treasury send to the IRS.

Internal Revenue Service
1 Name (as shown on your income tax return), Name ls required on this line; do not loave this line blank.

Disconnect Collective, Inc.
c\j 2 Business name/disregarded entity name, if ditrerenl from above Ql
Ol
nl
a. 3 Check appropriate box for federal tax classification; check only one of the following seven boxes: 4 Exemptions (codes apply only to C 0 0 Individual/sole proprietor or 0 C Corporation 0 S Corporation □ Partneiship 0 TrusVestate certain entities, not individuals; see
Ql I!! instructions on page 3): single-member LLC Exempt payee code (if any) i:8 D Limited liability company. Enter the tax classification (C;C corporation, S;S corporation, P;partnership) ► .. 0 Note. For a single-member LLC that is disregarded, do not check LLC; check the appropriate box in the line above for Exemption from FATCA reporting 0 2 ....... the tax classification of the single-member owner. code (if any) C Ill ·c .!:: 0 Other (see instructions) ► (Applim to accounts msJntsined outs/do tho U.S.) Q. 0 !E
0 5 Address (number, street, and apt. or suite no.) Requester's name and address (oplional) Ql
a. 514 Via de la Valle, Suite 210 (/) 6 City, state, and ZIP code 3l Cl) Solana Beach, CA 92075
7 List account number(s) here (optional)
. . Taxpayer Identification Number fTIN)
Enter your TIN in the apprn~ri_ate box. The TIN provided must_match t~e name g iven on line 1 to avoid I Social security number I backup withholding. For tnd1v1duals, this Is generally your socral secunty number (SSN). However, for a resident alien, sole proprietor, or disregarded entity, see the Part I Instructions on page 3. For other entitles, It is your employer identification number (EIN). If you do not have a number, see How to get a TIN on page 3.
[II] -[D -I I I I I or
Note. If the account is in more than one name, see the Instructions for line 1 and the chart on page 4 for guidelines on whose number to enter.
j Employer Identification number
82-54649 9 6
Certification
Under penalties of perjury, I certify that:

1. The number shown on this fonn Is my correct taxpayer identification number (or I am waiting for a number to be issued to me); and

2. I am not subject to backup wtthholding because: (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c} the IRS has notified me that I am no longer subject to backup withholding; and

3. I am a U.S. citizen or other U.S. person (defined below); and

4. The FATCA code(s) entered on this form (if any) Indicating that I am exempt from FATCA reporting Is correct.

Certification instructions. You must cross out item 2 above If you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply. For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an Individual retirement arrangement (IRA), and generally, payments other than interest and dividends, you are not required to sign the certification, but you must provide your correct TIN. See the Instructions on page 3.

Sign I Signature of
Here
General
Section references
u.s.

Instructions
person
are to the
►
Internal
~
Revenue Code unless otherwise noted.

Future developments. Information about developments affecting Form W-9 (such as legislation enacted after we release it) is at www.irs.gov/fw9.

Purpose of Form
An Individual or entity (Form W-9 requester) who is required to file an information return with the IRS must obtain your corr9Ct taxpayer identification number (TIN) which may be your social security number (SSN), Individual taxpayer identification number (ITIN), adoption taxpayer identification number (ATIN), or employer identification number (EIN), to report on an information return the amount paid to you, or other amount reportable on an information return. Examples of information returns include, but are not limited to, the following:
• Form 1099-INT (interest earned or paid)
• Form 1099-DIV (dividends, including those from stocks or mutual funds) • Form 1099-MISC (various types of income, prizes, awards, or gross proceeds) • Form 1099-B (stock or mutual fund sales and certain other transactions by brokers)
• Form 1099-S (proceeds from real estate transactions)
• Form 1099-K (merchant card and third party network transactions) Date ►
, , • Form 1098 (home mortgage interest), 1098-E (student loan interest), 1098-T (tuition)
• Form 1099-C (canceled debt)
• Form 1099-A (acquisition or abandonment of secured property) Use Form W-9 only if you are a U.S. person (including a resident alien), to provide your correct TIN.

If you do not return Form W-9 to the requester with a TIN, you might be subject to backup withholding. See What is backup withholding? on page 2.

By signing the filled-out form , you:
1 . Certify that the TIN you are giving is correct (or you are waiting for a number to be issued),

2. Certify that you are not subject to backup withholding, or

3. Claim exemption from backup withholding if you are a U.S. exempt payee. If applicable, you are also certifying that as a U.S. person, your allocable share of any partnership income from a U.S. trade or business is not subject to the withholding tax on foreign partners' share of effectively connected income, and

4. Certify that FATCA code(s) entered on this form (if any) indicating that you are exempt from the FATCA reporting, is correct. See What is FATCA reporting? on page 2 for further information.

Cat. No. 10231X Form W-9 (Rev. 12-2014)

LA COLONIA

COMMUNITY

FOUNDATION
The City of Solana Beach Community Grant Program
Request for Financial Assistance Application FY 2022-23 All Applications MUST BE RECEIVED by 5:00 p.m. Thursday, May 26, 2022.

Please Print Clearly or Type. All requests will be determined by the following criteria:

Name of Organization: La Colonia Community Foundation, Inc.

Mailing Address: _P_O_B_o_x_1_62_3 ______________________ _ City: Solana Beach State: _CA ____ Zip: 92075
Contact Person: Lisa Montes Email address: [email protected] ----------- Daytime Phone: _8_58_-_5_19_-_66_4_5 _______ Evening Phone: _sa_m_e ________ _

1. All the documents below are attached to this application:
[!] W-9
~ Summary of Organization's Budget
~ Proposed Program Budget
[!] Financial and Tax Statements (see Application Guidelines) ~ A copy of the California Franchise Tax Board Entity Status Letter, showing exemption under Section 23701d or Internal Revenue Code section 501(c)(3)

2. Has your organization received financial assistance from the City before? iJ Yes □ No

3. If yes, please state the fiscal year it was received and for the proposed program was:

Latino Student and Parent Conference

4. Title of FY 2022-23 Proposed Program/Service:

Latino Student and Parent Conference

5. What is the total amount requested for the FY 2022-23 Proposed Total Program? Includes all estimated costs to conduct proposed activity/program.

We are requesting $5,000 for the Latino Student and Parent Conference.

Page I 1

6. Grant funds must be used for services or materials directly associated to proposed activity.

Please describe how grant funds will be used:

This amount would cover keynote speaker honorarium. interpreter costs. printing. supplies, food, rentals, and conference tshirts for attendees.

7. Anticipated Program Objectives or Accomplishments:

Expose middle and high school students, as well as their parents to college and career opportunities.

Attendees will have meet industry leaders in STEM. Law. Business. Government, and more. Industry leaders will present highly interactive 40 minute workshops on their industry. as well as have a booth during lunchtime for another opportunity for attendees to explore. By exposing students and parents to higher education and careers. we hope families will visualize themselves in these careers one day.

8. Program Dates/Location:

Spir 11g 2623 (TBD)

9. Estimated number of Solana Beach residents to be served by proposed program:
100

10. How will the organization acknowledge the City's financial contribution to the community/ beneficiaries of the proposed activity?
Social media print and verbal ackoowledgmeot We produce a flyer for social media and print as well as a printed caoference program for attendees and we will list the City of Solana Beach as the funder We also invite the mayor and city ca, mcil to the event and ask the mayor ta da tbe welcome

11. Will there be any matching funds or other grants that would be applied to this program or service? If awarded this grant, will that enable other funding sources? We plan to seek donations from STAPLES of Solana Beach for school supplies and a reduced rate on printing of photocopying, Dokhe Cafe of Solana Beach donates half of the coffee we need for the conference and gives us a discount on the conference food,

12. Will volunteers be used for the proposed program or service and, if so, will they reduce expenses?
Yes, several volunteers will assist us for the conference, We purchase from Costco (salad kits, drinks, breakfast items) to cut the cost of a caterer. We have our vphmteers set up the food far us as well as decorate Also, MiraCosta College students help with set up moderators hmch tear down Page I 2

13. If the proposed program or service is only awarded partial funding, will it still move forward? Will the program/service be scaled back and/or is there a threshold at which it will not move forward?
It we recieve partial tundine, we will search for additional fundine elsewhere and possibly scale back our conference sjze Howeve the conference will still take place Acknowledgment of Responsibility:

ALL INFORMATION REQUESTED ON THIS APPLICATION MUST BE COMPLETED AS A

CONDITION FOR BEING CONSIDERED FOR PUBLIC FUNDS BY THE CITY COUNCIL OF SOLANA BEACH.

Page I 3
Latino Student and Parent Conference
Spring 2023
La Colonia Community Park
Estimated Budget
Rentals
Advertising
Graphic artist
Supplies
Food
Canopies, chairs
program, posters, banners
Conference t-shirts
Chef
Interpreter
DJ
Total
In Kind Donations
$700
$700
$300
$350
$1700
$800
$300
$300
$150
$5300
La Colonia
',,;__,r.::·.-.·. ?i?i-· ..

Cornmlmiwr{lun1J;mon
-~-- ·..,, Li !+ sr,t, '\
Financial Report
La Colonia Community Foundation, Inc.

For the period of May 1, 2021-May 1, 2022
Income
Contributions, Gifts and Grants
Corporate Donations
Individual Donations
Fundraising (Ways and Means)
Fundraising event
Programs
Adelante Mujer Conference
Youth Empowerment Conference
Dia de los Muertos Festival
Total Income
Expenditures
Fundraising (Ways and Means)
Fundraising Event
Administrative and Operations
Bank Fees
Taxes and Licenses
Miscellaneous
Legal and Professional
Postage
Insurance
Office Supplies
General & Administrative
Programs
Adelante Mujer Conference
Youth Empowerment Conference
Dia de los Muertos Festival
Food Distribution
Total Expenditures
La Colonia Community Foundation, Inc.
$2, 900.00
$1, 450.00
$588.00
$4,750.00
$5,000.00
$27, 597.21
$42,285.21
$36.00
$24.49
$76.15
$162.98
$20.00
$213.00
$325.00
$183.90
$5398.78
$3468.08
$19,115.15
$8,213.00
$37,236.53
lr'.liill IRS DEPARTMENT OF THE TREASURY
;fdl9fJ INTERNAL REVENUE SERVICE
CINCINNATI OH 45999-0023

LA COLONIA COMMUNITY FOUNDATION
1092 GOLDEN RD
ENCINITAS, CA 92024
Date of this notice: 11-09-2018
Employer Identification Number:
83-2489325
Form: SS-4
Number of this notice: CP 575 E
For assistance you may call us at:
1-800-829-4933

IF YOU WRITE, ATTACH THE
STUB AT THE END OF THIS NOTICE.

WE ASSIGNED YOU AN EMPLOYER IDENTIFICATION NUMBER
Thank you for applying for an Employer Identification Number (EIN). We assigned you EIN 83-2489325. This EIN will identify you, your business accounts, tax returns, and documents, even if you have no employees. Please keep this notice in your pennanent records.

When filing tax documents, payments, and related correspondence, it is very important that you use your EIN and complete name and address exactly as shown above.

Any variation may cause a delay in processing, result in incorrect information in your account, or even cause you to be assigned more than one EIN. If the information is not correct as shown above, please make the correction using the attached tear-off stub and return it to us.

When you submitted your application for an EIN, you checked the box indicating you are a non-profit organization. Assigning an EIN does not grant tax-exempt status to non-profit organizations. Publication 557, Tax-Exempt Status for Your Organization, has details on the application process, as well as infonnation on returns you may need to file. To apply for recognition of tax-exempt status under Internal Revenue Code Section 501(c) (3), organizations must complete a Form 1023-series application for recognition. All other entities should file Fonn 1024 if they want to request recognition under Section 501(a).

Nearly all organizations claiming tax-exempt status must file a Fann 990-series annual information return (Form 990, 990-EZ, or 990-PF) or notice (Form 990-N) beginning with the year they legally form, even if they have not yet applied for or received recognition of tax-exempt status.

Unless a filing exception applies to you (search www.irs.gov for Annual Exempt Organization Return: Who Must File), you will lose your tax-exempt status if you fail to file a required return or notice for three consecutive years. We start calculating this three-year period from the tax year we assigned the EIN to you. If that first tax year isn't a full twelve months, you're still responsible for submitting a return for that year. If you didn't legally form in the same tax year in which you obtained your EIN, contact us at the phone number or address listed at the top of this letter.

For the most current infonnation on your filing requirements and other important . infonnation, visit www.irs.gov/charities.

Fomi -9 Request for Taxpayer Give Fonn to the
(Rev. October 2018) Identification Number and Certification requester. Do not Oepanment or the Treasul}' send to the IRS.
intemal Revenue Service ► Go to www.irs,gcwlFonnW9 for instructions and the latest information. 1 Name (as shown on your Income tax mtum). Name is required on this line; do not leave this line blank.

La Colonia Community Foundation, Inc.
2 Business namal'dlsregarded enllly name, If different from above t"i
(I) 3 Check appropriate box for federal tax classlflcallon ol lhe pemin whose name Is enlerad on line 1. Check only one of Iha 4 Eicemptlons (codes apply only to Cl rollowlng seven bo~es. certain entitles, not Individuals: see <O C.

D c Corporation
Instructions on page 3): C: 0 lndivldual/sole proprietor or D S Corporation D Partnership 0 TrusVestete (;l • Ill single-member LLC Exempt payee code fsl any) at C: J:!l u 0 Limited liability company. Enler the tax classlficallon (C=C corporation. S•S corporation, P=Partnershlpl ► a .s Note: Check the appropriate box In the line above for the tax classincation ol the singte·member owner. Do not check Ellempllon from FATCA reporting 'l:! VI LLC II the LLC ls classified as a slng1e•member LLC that is disrega.-ded from Iha owner unless the owner of the LLC Is code«f any) ·c .5 another LLC that Is not disregarded lrom the owner ror U,S. federal tax purposes. Otherwise, a single-member UC that

4. 0 Is disregarded from Iha owner should check the appropriate box for lhe tax classification ol Its owner. !c u n Other (see lnslrucllonsl ► l,lppm 1oo==-1111-- moUSJ ,u CL 5 Address {number, street, and apt. or suite no.) see lnstruclions. ReQUilSler's name and address (optional) Ill ,u
816 Juanita Street QI
(I)
6 City, slate, end ZIP code
Solana Beach, CA 92075
7 Ust account number(s} here (optional)
11111 ..... ,. •11111 Taxpayer Identification Number (TIN) . I Social security number Enter you~ TIN in. !he app:o~riate box. !h~ TIN provided must.match t~e name given on line 1 to avoid I backup wilhholding. For md1vlduals, this 1s generally your social security number (SSN). However, for a DJ] DJ I I I I I resident alien, sole proprietor, or disregarded entity, see the instructions for Part I, later. For other - - • entities, it is your employer identification number (EIN). If you do not have a number, see I-low to get a . . . . .

TIN, later. ""o,,,,r__,,___,..,..._,.,..,,....,., __ ..,... ___ _, Note: If the account is in more than one name. see the instructions for line 1. Also see What Name and ! Empklyer ld.,ntlffcatlon numb•r Number To Give the Requester for guidelines on whose number to enter. 83 -2489325
Certification
Under penalties of perjury, I certify that:

1. The number shown on !his form is my correct taxpayer identlfication number (or I am waiting for a number to be Issued to me); and

2. I am not subject to backup withholding because: (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup wilhholding as a resu,t of a failure to report all Interest or dividends, or (c) !he IRS has notified me that I am no longer subject to backup withholding; and

3. I am a U.S. citizen or other U.S. person (defined below); and

4. The FATCA code(s) entered on this form (if any) indicating that I am exempt from FATCA reporting is correct Certification instructions. You must cross out item 2 above if you havtl been nolifred by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply. For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement arrangement (IRA), and generally, payments other than interest and dividends, you are not required to sign the certification, but you must provide your correct TIN. See the Instructions for Part II. later.

Sign
Here
I Signature DI
U.S. person ►
General Instructions
Section references are to the Internal Revenue Code unless otherwise noted.

Future developments. For the lat41!st information about developm.ents related to Form W-9 and Its instructions, such as !egistation enacted after they were published, go to www.irs.gov/FormW9.

Purpose of Form
An indivldual or entity (Form W-9 requester) who is required to file an information return with the IRS must obtain your correct taxpayer identification number (TIN) which may be your social security number ($SN), individual taxpayer identification number (ITIN), adopt,on taxpayer identification number (ATIN), or employer identification number (EIN), to report on an information return the amount paid to you, or other amount reportable on an information return. Examples of information returns include, but are not limited to, the following. • Form 1099-INT (interest earned or paid)
Cat. No. 10231X
• Form 1099-DIV (dividends, includ,ng those from stocks or mutual funds)
• Form 1099-MISC (various types of income, prizes, awards. or gross proceeds)
• Form 1099-B (stock or mutual fund sales and certain other transactions by brokers)
• Form 1099-S (proceeds from real estate transactions)
• Form 1099-K (merchant card and third party network transactions) • Form 1098 (home mortgage interest), 1098-1:'(Student loan interest), 1098-T (tuition)
• Form 1099-C (canceled debt)
• Form 1099·A (acquisition or abandonment of secured property) Use Form W-9 only if you are a U.S. person (including a resident alien), to provide your correct TIN.

If you do not return Form W•9 to the requester with a TIN, you might be subject to backup withholding. See What is backup withholding, later.

Form W-9 !Rev. 10-2018)

NORTH COAST

REPERTORY

THEATRE
The City of Solana Beach Community Grant Program
Request for Financial Assistance Application FY 2022-23 All Applications MUST BE RECEIVED by 5:00 p.m. Thursday, May 26, 2022.

Please Print Clearly or Type. All requests will be determined by the following criteria:

Name of Organization: North Coast Repertory Theatre
Mailing Address: 987 Lomas Santa Fe Drive, Suite D
City: So lana Beach State: _C_A ____ Zip: 92075
Contact Person: Bill Kerlin, Managing Director Email address: [email protected] Daytime Phone: 858-481-2155, ext. 222 Evening Phone: _3_05_-_5_10_-_02_1_7 _____ _

2. Has your organization received financial assistance from the City before? Ill Yes □ No

3. If yes , please state the fiscal year it was received and for the proposed program was:

Please see attached sheet 3 - Previous Funding

4. Title of FY 2022-23 Proposed Program/Service:

Theatre School@ North Coast Repertory Theatre - MUCH ADO ABOUT NOTHING & FRANKENSTEIN

5. What is the total amount requested for the FY 2022-23 Proposed Total Program? Includes all estimated costs to conduct proposed activity/program.

The total amount re guested is $5,000 from the City of Solana Beach to support the Proposed Total Program of $17,500.

Page 11 ends

Solana Beach City CouncilJune 8, 2022

Solana Beach City Council
June 8, 2022