CITY OF SOUTH SAN FRANCISCO
MEASURE A FUNDS
Report on Compliance with the
Agreement for Distribution of San Mateo County
Measure A Funds for Local Transportation Purposes
For the Year Ended June 30, 2023
This Page Left Intentionally Blank
CITY OF SOUTH SAN FRANCISCO
MEASURE A FUNDS
For the Year Ended June 30, 2023
Table of Contents
Page
Independent Accountant’s Report on Management’s Assertion .................................................... 1 Financial Statements:
Balance Sheet .................................................................................................................................. 2 Schedule of Revenues, Expenditures and Changes in Fund Balance ............................................. 3 Notes to Financial Statements ......................................................................................................... 5 Management’s Report on Compliance with the
Agreement for Distribution of San Mateo County
Measure A Funds for Local Transportation Purposes ................................................................. 7 This Page Left Intentionally Blank
INDEPENDENT ACCOUNTANT'S REPORT
ON MANAGEMENT’S ASSERTION
Honorable Mayor and Members of City Council of the
City of South San Francisco, California
We have examined management of the City of South San Francisco’s assertion, included in accompanying Management’s Report on Compliance with the Agreement for Distribution of San Mateo County Measure A Funds for Local Transportation Purposes (the Agreement) between the City of South San Francisco and the San Mateo County Transportation Authority dated March 5, 2009, that the City complied with the requirements of the Agreement during the year ended June 30, 2023. Management is responsible for that assertion. Our responsibility is to express an opinion on management’s assertion about the City’s compliance based upon our examination
Our examination was conducted in accordance with the attestation standards established by the American Institute of Certified Public Accountants. Those standards require that we plan and perform the examination to obtain reasonable assurance about whether management’s assertion that the City complied with the requirements of the Agreement is fairly stated, in all material respects. An examination involves performing procedures to obtain evidence about management’s assertion. The nature, timing and extent of procedures selected depend on our judgment, including an assessment of the risks of material misstatement of management’s assertion, whether due to fraud or error. We believe that the evidence we obtained is sufficient and appropriate to provide a reasonable basis for our opinion.
We are required to be independent and to meet our other ethical responsibilities in accordance with relevant ethical requirements relating to the engagement.
In our opinion, management’s assertion that the City complied with the requirements of the Agreement for the year ended June 30, 2023 is fairly stated, in all material respects.
This report is intended solely for the information and use of management, the City Council and the San Mateo County Transportation Authority and is not intended to be and should not be used by anyone other than those specified parties; however, this restriction is not intended to limit the distribution of this report, which is a matter of public record.
Pleasant Hill, California
December 21, 2023
1 CITY OF SOUTH SAN FRANCISCO
MEASURE A FUNDS
BALANCE SHEET
JUNE 30, 2023
ASSETS:
Cash and investments $5,486,805
Accounts receivable 166,956
Accrued interest receivable 25,212
TOTAL ASSETS $5,678,973
FUND BALANCE:
Restricted for Measure A capital projects and maintenance $5,678,973 TOTAL FUND BALANCE $5,678,973
See accompanying notes to the financial statements.
2 CITY OF SOUTH SAN FRANCISCO
MEASURE A FUNDS
SCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE
FOR THE YEAR ENDED JUNE 30, 2023
REVENUES
Sales tax from the County of San Mateo $2,251,147
County grants 5,416
Interest and investment income 53,726
Total Revenues 2,310,289
TRANSFERS OUT
Capital Improvements Projects:
Street Rehabilitation Program FY 18-19 5,924
Grand Blvd Project - Chestnut to Arroyo 32,061
West Orange and Hillside Pedestrian Crossing Improvements 35,505 Oyster Point Peninsula Flood Improvements 31,618
Commercial and Spruce Signalized Intersection 1,476
South Linden Grade Separation 1,733
General Fund Projects:
South City Shuttle 236,677
Total Transfers Out 344,994
Net Change in Fund Balance 1,965,295
Fund Balance, July 1 3,713,678
Fund Balance, June 30 $5,678,973
See accompanying notes to the financial statements.
3 This Page Left Intentionally Blank
CITY OF SOUTH SAN FRANCISCO
MEASURE A FUNDS
Notes to Financial Statements
For the Year Ended June 30, 2023
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Reporting Entity
At the General Election of June 7, 1988, the voters of City of San Mateo County approved Measure A, which is an ordinance providing for the creation of the San Mateo County Transportation Authority for the imposition of a one-half of one percent sales transaction and use tax. Twenty percent of the aforementioned tax is to be allocated to the cities of San Mateo County and to the County of San Mateo for the improvement of local transportation, including streets and roads in accordance with Measure A requirements.
B. Basis of Accounting
The Schedule of Measure A Funds (Transportation Sales Tax), a special revenue fund of the City of South San Francisco, California, have been prepared in conformity with accounting principles generally accepted in the United States of America as applied to governmental units.
The Governmental Accounting Standards Board is the accepted standard-setting body for establishing governmental accounting and financial reporting principles.
The Measure A Funds are accounted for using the modified accrual basis of accounting. Under this basis, revenues are recognized when they become both measurable and available to finance expenditures of the fiscal period. Expenditures are recognized when the liability is incurred. 5 This Page Left Intentionally Blank
December 21, 2023
San Mateo County Transportation Authority
120 San Carlos Avenue
San Carlos, California 94070
Management’s Report on Compliance with the Agreement for Distribution of San Mateo County Measure A Funds for Local Transportation Purposes
The City of South San Francisco is responsible for complying with the Agreement for Distribution of San Mateo County Measure A Funds for Local Transportation Purposes (the Agreement) between the City and the San Mateo County Transportation Authority entered into on March 5, 2009. The Agreement states that in return for receiving an annual allocation of a specified portion of the retail transactions and use tax approved by Measure A – San Mateo County Transportation Expenditure Plan (the Measure), the City agrees that funds “shall not be used to replace funds previously provided by property tax or other local revenues for public transportation purposes, and that City will limit the use of funds provided pursuant to this Agreement to the improvement and maintenance of local transportation, including streets and road improvements.” With respect to compliance with the Agreement, management attests to the following for the year ended June 30, 2023:
Management is responsible for establishing and maintaining an effective internal control structure with respect to compliance with the Agreement;
Management is responsible for complying with the Agreement; Management has evaluated the City’s compliance with the requirements of the Agreement; All Transactions, as summarized in the preceding Balance Sheet and Schedule of Revenues, Expenditures and Changes in Fund Balance for the Year Ended June 30, 2023, are in compliance with the Agreement.
__________________________ ________________________
City Manager Finance Director
CITY COUNCIL 2023
FLOR NICOLAS, MAYOR (DIST. 3)
MARK NAGALES, VICE MAYOR (DIST. 2)
MARK ADDIEGO, MEMBER (DIST. 1)
JAMES COLEMAN, MEMBER (DIST. 4)
EDDIE FLORES, MEMBER (DIST. 5)
SHARON RANALS, CITY MANAGER
7 This Page Left Intentionally Blank