CALL TO ORDER
ROLL CALL
1. APPROVAL OF AGENDA: (Additions and/or Deletions)
2. PUBLIC COMMENT REGARDING CLOSED SESSION ITEMS (if any): Any person may address the Council at this time upon any subject for discussion during Closed Session.
3. CLOSED SESSION:
A. CONFERENCE WITH REAL PROPERTY NEGOTIATOR - pursuant to Government Code Section §54956.8
Property: Ramsey Ditch
Agency Negotiator: Dan Newton, City Administrator
Negotiating Party: Kim Dieter
Under Negotiation: Price/Terms
B. PUBLIC EMPLOYEE APPOINTMENT - pursuant to Government Code Section §54957
1. City Administrator
4. RETURN TO OPEN SESSION: (recess if necessary)
Reconvene in open session at 5:00pm
Pledge of allegiance
Invocation
Report any changes to agenda
Report any action out of Closed Session
Proclamations, awards or presentations by the City Council
5. BUSINESS FROM THE FLOOR: Any person may address the Council at this time upon any subject on the agenda or not on the agenda within the jurisdiction of the City Council. However, comments on items on the agenda may be reserved until the item is discussed and any matter not on the agenda that requires action will be referred to staff for a report and action at a subsequent meeting.
Presentations are subject to a five-minute limit.
6. CONSENT CALENDAR: All matters listed under the Consent Calendar are considered to be routine by the City Council. There will be no separate discussion on these items. Any member of the public or the City Council may request removal of an item from the Consent Calendar to be considered separately.
6.A Minutes of the City Council's November 15, 2023 regular meeting.
6.B Vendor and payroll warrants
6.C Consider Resolution No. 23-6258, approving contract with Express Evaluations, an employee evaluation software.
CITY OF SUSANVILLE
66 N. Lassen Street • Susanville CA
Quincy McCourt, Mayor
Thomas Herrera, Mayor pro tem
Russ Brown • Mendy Schuster • Kevin Stafford
Susanville City Council
Regular Council Meeting • City Council Chambers
Wednesday, December 6, 2023 – 4:30 PM
1 7. PUBLIC HEARINGS:
8. COUNCIL DISCUSSION/ANNOUNCEMENTS:
9. NEW BUSINESS:
9.A Discussion regarding expenditure or ARPA Funds.
9.B Consider Resolution No. 23-6257, Accepting the City of Susanville's Audited Financial Statements for the Fiscal Year ending June 30, 2022
9.C Discussion regarding Public Safety Chief Position
9.D Consider Resolution No. 23-6259, authorizing the Streets Division to purchase 300 cubic yards of cinders from TNS Trucking and Ready Mix of Susanville, CA for $7,839 dollars and authorize the Finance Director to adjust the Streets budgets as necessary.
9.E Consider Resolution No. 23-6260, adopting the city of Susanville Social Media Policy
10. SUSANVILLE COMMUNITY REDEVELOPMENT AGENCY: No business.
11. SUSANVILLE MUNICIPAL ENERGY CORPORATION: No business.
12. CONTINUING BUSINESS:
13. CITY ADMINISTRATOR'S REPORTS:
13.A Department Reports
14. FUTURE COUNCIL ITEMS:
14.A Future Council Items
15. ADJOURNMENT:
The next regular meeting of the Susanville City Council will be held on December 20, 2023 at 4:30PM.
Reports and documents relating to each agenda item are on file in the Office of the City Clerk and are available for public inspection during normal business hours and at the meeting. These reports and documents are also available at the City’s website www.cityofsusanville.net, unless there were systems problems posting to the website.
Accessibility: An interpreter for the hearing-impaired may be made available upon request to the City Clerk seventy-two hours prior to a meeting. A reader for the vision-impaired for purposes of reviewing the agenda may be made available upon request to the City Clerk. The location of this meeting is wheelchair-accessible.
I, Heidi Whitlock, certify that I caused to be posted notice of the regular meeting scheduled forDecember 6, 2023 in the areas designated on December 1, 2023.
2 AGENDA ITEM NO. 6.A
Action Item
Submitted By: Heidi Whitlock, Administrative Services
Action Date: December 6, 2023
SUBJECT: Minutes of the City Council's November 15, 2023 regular meeting.
PRESENTED BY: Heidi Whitlock, City Clerk
SUMMARY: Attached for the Council’s review are the minutes of the City Council’s November 15, 2023 regular meeting.
FISCAL IMPACT: None
ACTION REQUESTED: Motion to waive the reading of and approval to receive and file the City Council's November 15, 2023 regular meeting.
SUSANVILLE CITY COUNCIL AGENDA ITEM
ATTACHMENTS:
231115.min.draft.pdf
3 SUSANVILLE CITY COUNCIL
Regular Council Meeting Minutes
WEDNESDAY, NOVEMBER 15, 2023 – 4:30 PM
Mayor McCourt called the meeting to order at 4:30pm.
Roll Call of Councilmembers Present: McCourt, Stafford, Herrera, Schuster, Brown
1. APPROVAL OF AGENDA:
Moved by Schuster; seconded by Herrera to approve.
Motion Carried: 5 - 0
Voting For: McCourt, Stafford, Herrera, Schuster, Brown Voting Against: None
2. PUBLIC COMMENT REGARDING CLOSED SESSION ITEMS (if any): No public comment.
3. CLOSED SESSION: City Council convened in Closed Session at 4:31pm to discuss the following:
A. PUBLIC EMPLOYMENT – pursuant to Government Code §54957
1. City Administrator Evaluation
4. RETURN TO OPEN SESSION:
The City Council reconvened in open session at 5:00pm.
The Pledge of Allegiance and Invocation were provided.
Dan Newton, City Administrator, stated that the Council met in closed session to discuss the items listed above. He continued that direction was provided to staff and no reportable action was taken.
Presentation on Tobacco education and Susanville's tobacco presence.
5. BUSINESS FROM THE FLOOR:
Patty Parker, public, requested that the apartment complex item brought forward at last night's Planning Commission be brought back at a City Council meeting for discussion as no property owners near the proposed site were notified.
Desiree, Lassen Family Services, provided information on SART and what they do within the community as well as the agencies that they work with to provide community members resources as needed.
Dan Douglas, Wildfire Mitigation, stated that Susanville has been previously designated as a Fire Wise community; however, there have been many items changed and to maintain that status there is now a board requirement. He requested that a board be formed to be able to continue with this program.
6. CONSENT CALENDAR:
Moved by Herrera; seconded by Schuster to approve.
Motion Carried: 5 - 0
Voting For: McCourt, Stafford, Herrera, Schuster, Brown Voting Against: None
6.A Minutes of the City Council's November 1, 2023 regular meeting. 4 Motion to waive the reading of and approval to receive and file the minutes from the November 1, 2023 regular meeting.
231101.min.draft.pdf
6.B Vendor and payroll warrants
Motion to receive and file
10-26-23.pdf
10-31-23.pdf
11-02-23.pdf
7. PUBLIC HEARINGS: No business.
8. COUNCIL DISCUSSION/ANNOUNCEMENTS:
Mayor McCourt offered the Land Acknowledgment Statement and the city's Mission Statement.
He added an explanation of what city staff has been doing to promote transparency.
9. NEW BUSINESS:
9.A Authorize the use of civic contribution funds / city council discretionary funds for Lassen County Fair Grounds and Magical County Christmas.
Mr. Newton provided an explanation of the item and requested Council direction.
Brown would be okay using non-discretionary funds.
Schuster both to fireworks with non-discretionary funds, and picnic table with Stafford's funds.
doc03642320231103165451.pdf
Motion by Schuster to approve non-discretionary funds to cover $1,000 Chamber donation for fireworks and further approve the $550 donation for a picnic table to be taken from Council Member Stafford’s discretionary funds.
Moved by Schuster; seconded by Brown to approve.
Motion Carried: 5- 0
Voting For: McCourt, Stafford, Herrera, Schuster, Brown Voting Against: None
9.B Consider appointment of Susanville Planning Commissioners.
Heidi Whitlock, City Clerk, provided an explanation of the item and requested Council direction.
Letter of Interest - DeBoer.pdf
Letter of Interest - Ardito.pdf
Motion to approve the appointment of Ardito and DeBoer to another term on the Planning Commission and to contact Matthew Eltzroth, who submitted a letter yesterday, to confirm interest in the second alternate position and appoint if accepted.
Moved by Brown; seconded by Schuster to approve.
Motion Carried: 0- 0
Voting For: None
Voting Against: None
5 9.C Consider Resolution No. 23-6256, Supporting Sacred Heart Church procession in honor of Our Lady of Guadalupe and authorizing closure of Nevada Street from N. Roop Street to Weatherlow Street and Union Street from North Alley to North Street on Sunday, December 10, 2023, from 12:00 pm to 1:00 pm.
Bob Godman, Public Works Director, provided an explanation of the item and requested approval of Resolution No. 23-6256.
23-6256.pdf
Sacred Heart Request_2023.pdf
Motion to approve Resolution No. 23-6256, Supporting Sacred Heart Church procession in honor of Our Lady of Guadalupe and authorizing closure of Nevada Street from N. Roop Street to Weatherlow Street and Union Street from North Alley to North Street on Sunday, December 10, 2023, from 12:00 pm to 1:00 pm.
Moved by Schuster; seconded by Herrera to approve.
Motion Carried: 5- 0
Voting For: McCourt, Stafford, Herrera, Schuster, Brown Voting Against: None
10. SUSANVILLE COMMUNITY REDEVELOPMENT AGENCY: No business.
11. SUSANVILLE MUNICIPAL ENERGY CORPORATION: No business.
12. CONTINUING BUSINESS:
12.A City Project Priorities
Mr. Newton provided an explanation of the item, reviewed the current items on the list, and requested Council direction.
Council Member Schuster requested the strip on the corner of North Street and N.
Weatherlow by the tennis courts be brought back to life as it used to be grass. She asked to have it above the red line but at the very bottom. It was agreed on by all members.
Mayor pro tem Herrera requested an update on the St. Francis property to which Mr. Newton responded.
Mayor pro tem Herrera also reminded staff about the 99-cent bottle discussion being that it ties in with the tobacco presentation provided tonight. 231115_City_Priorities_List.docx
13. CITY ADMINISTRATOR'S REPORTS:
13.A Department Reports
Mr. Newton provided an update on the happenings at last night's Planning Commission meeting and the proposed 75-unit apartment complex and what could potentially come to the council.
Department Heads shared updates on what was happening within their departments.
14. FUTURE COUNCIL ITEMS: No business.
15. ADJOURNMENT: Motion to adjourn at 6:17pm
6 ___________________________
Quincy McCourt, Mayor
Respectfully submitted by:
______________________________
Heidi Whitlock, City Clerk
7 AGENDA ITEM NO. 6.B
Action Item
Submitted By: Alicia Cordova, Administrative Services
Action Date: December 6, 2023
SUBJECT: Vendor and payroll warrants
PRESENTED BY: Chandra Jabbs, Finance Manager
SUMMARY: Warrants dates November 4, 2023 through November 17, 2023 numbered 219719-219807.
FISCAL IMPACT: Accounts Payable vendor warrants totaling $580,821.34, plus $357,946.71 in payroll warrants, for a total of $$938,768.05.
ACTION REQUESTED: Motion to receive and file
SUSANVILLE CITY COUNCIL AGENDA ITEM
ATTACHMENTS:
11-9-23.pdf
11-16-23.pdf
8 9
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
AGENDA ITEM NO. 6.C
Action Item
Submitted By: Heidi Whitlock, Administrative Services
Action Date: December 6, 2023
SUBJECT: Consider Resolution No. 23-6258, approving contract with Express Evaluations, an employee evaluation software.
PRESENTED BY: Dan Newton, City Administrator
SUMMARY: The city has historically used employee evaluation software to document and prepare employee evaluations; however, the software platform is outdated and no longer supported. Several city departments and divisions have reverted to conducting evaluations without the software using MS Word to document employee evaluations. The city staff has investigated alternate employee evaluation software options and has discovered a low-cost option that is compatible with our payroll software. Express evaluation is a secure web-based software that is highly customizable and performs similarly to the city's previous software. Senior staff have experimented with the software. The Council, during its August 8, 2023 meeting, provided direction to move forward. Since that time, the meet and confer process with the majority of the bargaining units has concluded. While there are a few items that need to be resolved with specific bargaining units, the evaluation software is not one of them.
To move the process forward, it is appropriate to commit to the software subscription at this time. Staff is presenting the Council with the service contract to implement the Express Evaluation software.
FISCAL IMPACT: Year one cost $4,000 for the Professional plan ($3,000 with $1,000 onboarding/creation/training) then $3,000 annually.
ACTION REQUESTED: Motion to approve Resolution No. 23-6258, approving contract with Express Evaluations, an employee evaluation software.
SUSANVILLE CITY COUNCIL AGENDA ITEM
ATTACHMENTS:
Quote for Susanville Essentials and Professional.pdf
End User License Agreement - Susanville.docx
23-6258.pdf
30 1
EXPRESS EVALUATIONS
PROPOSAL FOR CITY OF SUSANVILLE
OVERVIEW
Express Evaluations is pleased to submit this proposal for services to support City of Susanville in achieving its goals of improving employee satisfaction, improvement, and retention through an optimized employee performance management process.
OUR PROPOSAL
The Software
Express Evaluations has created an online solution designed to facilitate the streamlining of employee performance procedures for HR departments and organizations. Our mission at Express Evaluations is to furnish a platform that empowers employees and managers to provide feedback on employee growth and development. Simultaneously, we aim to offer HR departments an uncomplicated yet comprehensive tool for expeditiously managing the process.
Technical/Project Approach
Our onboarding team is committed to working at your preferred pace and ensuring that the project aligns with your specified timeline. At your convenience, we will schedule an implementation call, during which your organization’s admin team will receive a comprehensive introduction to the Express Evaluation Software. If City of Susanville chooses to utilize our HR Consulting Service, a dedicated client success manager will be assigned to collaborate with you on designing and scheduling evaluations, adhering to industry best practices from project inception to completion.
31 2
PRICING
Pricing is based off the plan selection (Essential or Professional), the number of employees in the system, and is billed annually. The initial license fee will be based off of the assumption that 70 employees will be active in the system. If the active number of employees during the year exceeds more than 15% of the initial count, a new invoice will be generated for those employees above the initial count.
Essential Plan Features Price $2.25 PEPM
Custom Questions
Manager/Employee Evaluations
Evaluation Signatures
Goal Tracking
Essential Reports
PDF and CSV Exports
Calendar Date Reviews
Anniversary Date Reviews
Hire Date Reviews
Automated Notifications
Employee Profiles
Manager Notes
70 Employees
$2000.00 Annually
Professional Plan Features Price $3.50 PEPM
Everything in the Essential Plan, Plus: 70 Employees
Peer/360 Reviews
Multi Manager Reviews
Advanced Approval Flows
Enhanced Dashboards
Pulse Surveys
Check-Ins
Company Logos and Branding
$3000.00 Annually
Additional Optional Features
Single Sign On100 Employees $1000 First Year
$500 Annually
We look forward to working with City of Susanville in achieving its goals of improving employee satisfaction, improvement, and retention through an optimized employee performance management process. We are confident that we can meet the challenges ahead and stand ready to partner with you in delivering an effective HR support solution.
If you have questions on this proposal, feel free to contact Albert at your convenience by email at [email protected] or by phone at 385-301-2122 Thank you for your consideration,
Albert Foster
President/CEO
[email protected]
32 3
ONBOARDING AND SERVICE AGREEMENT
Complementary Price:
HR Training of the system
Creation of up to 3 Templates
Creation of 1 evaluation schedule
Basic Customer Support (72 hours)
No Cost
Enhanced Service Price
HR Training of the system
Manager Training of the system
Creation of up to 10 Templates
Creation of 5 evaluation schedules
Enhanced Customer Support (24 hours)
One Pulse Survey Template and Schedule
Consulting on evaluations using industry best practices. $500
Per Year
Concierge Service Price:
Full Service $750 Per Month
33 END USER LICENSE AGREEMENT
This End User License Agreement is between Licensee (defined below) and Express Evaluations, Inc., a Utah corporation, regarding Licensee's use of the Software (defined below) and related documentation and other materials.
When Licensee uses the Software, Licensee acknowledges that Licensee has read this Agreement (defined below), understands it, and agrees to be bound by its terms. Any individual that acts on behalf of CITY OF SUSANVILLE or other entity warrants that such individual is duly authorized to enter into this Agreement on behalf of or other entity. If Licensee does not agree to the terms and conditions of this Agreement, Licensee is not permitted to use the Software.
1. DEFINITIONS.
1.1 Defined Terms. Capitalized terms used in this Agreement have the following meanings:
(a) "Agreement" means this End User License Agreement and any other document incorporated herein by reference, including any Purchase Orders, as it may be amended from time to time. (b) "Archive Service" has the meaning set forth in Section 5.2(a). (c) "As-Documented Warranty" has the meaning set forth in Section 9.1(a). (d) "Authorized User" means an employee or agent of Licensee that is assigned by Licensee to use the Software for legitimate business purposes.
(e) "Breach" means a misrepresentation made by a Party in this Agreement or a violation by a Party of any covenant or warranty in this Agreement.
(f) "Breaching Party" has the meaning set forth in Section 12.2(a). (g) "Bug" has the meaning set forth in Section 7.2.
(h) "Bug Report" has the meaning set forth in Section 7.2. (i) "Business Day" means a day other than a Saturday, Sunday or other day on which commercial banks in Utah are authorized or required by law to close. (j) "Confidential Information" means Protected Information and information that: (i) is disclosed in writing or other tangible form to the Receiving Party by the Disclosing Party and is designated in such writing or tangible form as confidential; (ii) is not generally known in the relevant industry or industry segment; and (iii) affords possessors of the information a commercial or business advantage over others who do not have the information. Confidential Information does not include 34 any information that, through no fault of the Receiving Party, is or becomes generally known or is developed independently by or on behalf of the Receiving Party, or is disclosed to the Receiving Party by a third party not having an obligation of confidence to the Disclosing Party. (k) "Disclosing Party" means a Party disclosing Confidential Information to the other Party. (l) "Fee" has the meaning set forth in Section 2.2.
(m) "Governmental Authority" means the United States of America, any state, commonwealth, territory or possession thereof and any political subdivision or quasi-governmental authority of any of the same, including, without limitation, any unit, tribunal, department, commission, board, bureau, administrative or regulatory agency or court.
(n) "Express Evaluations" means Express Evaluations, Inc., a Utah corporation. (o) "Identity Theft Prevention Program" means that certain program adopted by Express Evaluations in compliance with all applicable Legal Requirements. (p) "Initial Term" has the meaning set forth in Section 3.1. (q) "Legal Requirement" means applicable common law and any applicable statute, permit, ordinance, code or other law, rule, regulation or order enacted, adopted, promulgated or applied by any Governmental Authority, including any applicable order, decree or judgment handed down, adopted or imposed by any Governmental Authority, all as in effect from time to time. (r) "License" has the meaning set forth in Section 2.1. (s) "Licensee" refers to a person (whether an individual or an entity) that has entered into an end user agreement with Express Evaluations, paid all applicable fees, and been duly granted a License for the use of the Software. This term also applies to such person's Authorized Users. (t) "Material Bug" means a Bug that renders the Software inoperable. (u) "Non-breaching Party" has the meaning set forth in Section 12.2(a). (v) "Party" means either Express Evaluations or Licensee. (w) "Protected Information" includes, but is not limited to, employer identification numbers, social security numbers, names, addresses, salary information, bank account information, and credit card information.
(x) "Purchase Order" means a separate written agreement between Licensee and Express Evaluations specifying the applicable Software, the term of the subscription, and the fees payable to Express Evaluations in connection with this Agreement. (y) "Receiving Party" means a Party receiving Confidential Information from the other Party. 35 (z) "Renewal Date" means the day after the Initial Term or any Renewal Term expires, unless renewal is cancelled in accordance with Section 2.2.
(aa) "Renewal Fee" has the meaning set forth in Section 2.2. (bb) "Renewal Term" has the meaning set forth in Section 3.2. (cc) "Software" means the applicable Express Evaluations product as specified in the End User Agreement.
(dd) "Software Documentation" means all user manuals provided in connection with the Software.
(ee) "Term" means the Initial Term together with any Renewal Terms. (ff) "Third Party Vendor" has the meaning set forth in Section 6.1. (gg) "Trademarks" has the meaning set forth in Section 8.1. (hh) “Unauthorized Code” means any virus, Trojan horse, worm, or other software routines or hardware components designed to permit unauthorized access; to disable, erase, or otherwise harm software, hardware, or data; or to perform any other such actions.
2. GRANT OF LICENSE AND FEES
2.1 Grant of License. The Software is licensed to Licensee by Express Evaluations on a limited basis and solely for the term of Licensee’s subscription. In consideration of Licensee's compliance with all of the terms and conditions of this Agreement, Express Evaluations hereby grants Licensee a limited, personal, non-exclusive, non-assignable right to use the Software solely as described in this Agreement and as described in any Software Documentation Express Evaluations may provide or otherwise make available to Licensee (the "License"). The License granted to Licensee may not be sublicensed, distributed, commercially distributed, or otherwise shared with any other person without the express prior written consent of Express Evaluations. This Agreement does not grant Licensee any rights to patents, copyrights, trade secrets, trade names, trademarks (whether registered or unregistered), or any other rights, functions or licenses in respect of the Software. If Licensee unlawfully creates any derivative work based on the Software, then Express Evaluations will be the owner of all such derivative works (and all intellectual property rights relating thereto) and any proceeds or profits derived therefrom by Licensee. The License only entitles Licensee to the use of the most recent version of the Software that Express Evaluations has released for use.
2.2 Fees. Upon commencement of the License, Licensee shall pay Express Evaluations the fees specified in this End User Agreement (the "Fee"). Except as otherwise provided in an applicable Purchase Order, Express Evaluations shall invoice Licensee on an annual basis for an amount agreed upon mutually between Express Evaluations and Licensee. 36 3. TERM
3.1 Initial Term. Unless a different period is specified in an applicable Purchase Order, the License is for a minimum one-year period from the effective date specified in Section 13 below. (the "Initial Term").
3.2 Extension of Term. Except as otherwise provided in an applicable Purchase Order, unless either Party gives the other Party notice of cancelation at least thirty (30) days prior to the end of the Term, the License shall automatically extend for successive one-year periods (each a "Renewal Term") which shall commence on the Renewal Date.
3.3 Expiration of Term. Upon the expiration of the Term or other termination of this Agreement, all use of the Software by Licensee shall immediately cease.
4. ACCESS AND USE OF SOFTWARE
4.1 Initial Setup. It is Licensee's sole responsibility to determine whether the Software is appropriate for Licensee's business needs and is compatible with Licensee's existing computer system and software programs. Express Evaluations will provide commercially reasonable technical support to Licensee at the commencement of the Term to ensure that Licensee is capable of accessing and using the Software. This technical support shall include access to user materials, online demos, and email support.
4.2 Access to Software. Software products will be available for Licensee's access and use via a secure website provided and maintained by Express Evaluations. An appropriate Internet connection is necessary to access and use the Software. Express Evaluations shall inform Licensee of the applicable website(s) through which the Software may be accessed. From time to time, Express Evaluations may update or modify the website(s) used to access the Software, but shall inform Licensee of any such update or modification. It is Licensee's responsibility to maintain an appropriate Internet connection and computer system running the most recent and up-to-date version of Edge, Firefox, Chrome, or similar software, which shall be used to access the Software. Express Evaluations does not and will not provide copies of the Software on physical media (e.g., CDs). Express Evaluations’ software is not intended to operate with Internet Explorer.
4.3 No Backup Copy Rights. Although Licensee's data and user-generated reports may be stored locally on Licensee's computer system, Licensee has no right to any backup copy of the operational Software.
4.4 Security of Account Information. It shall be Licensee's responsibility to register its user information, and create a secure user name and password for each Authorized User that complies with the Express Evaluations’ requirements, as modified from time to time. Licensee shall limit use of its user name and password to Authorized Users and for internal use only. Express Evaluations shall have the right to suspend or otherwise restrict Licensee's access of the Software in the event any suspicious activity is detected with respect to use of Licensee's account information. In any such event, Express Evaluations shall notify Licensee of such action and shall work with Licensee to resolve any suspicious activity.
37 4.5 Catastrophic Loss Arrangement. To ensure the availability of the Software to Licensee, Express Evaluations shall take commercially reasonable measures to ensure that loss of power or damage to the primary servers hosting the Software (including interruptions caused by malicious third-party software) shall not render the Software unavailable for any period longer than fortyeight (48) hours. These measures shall include hosting the Software on backup servers, providing alternate webservers for access, and maintaining a copy of all recent versions of the Software's source code on physical media in a secure location.
5. SECURITY OF LICENSEE DATA AND DATA RETENTION
5.1 Licensee Safeguards.
(a) Account Access Information. Licensee shall safeguard its user name and password by restricting access to only Authorized Users. Express Evaluations shall have no liability to any person for any damages or other losses suffered by Licensee (or any employee or agent of Licensee) related to any use of Licensee's user name and password resulting from Licensee's failure to safeguard said information.
(b) Malicious Software. Licensee shall keep its computer system free of viruses and other malicious software. Express Evaluations shall have no liability to any person for any damages or other losses suffered by Licensee (or any employee or agent of Licensee) related to any malicious third party software operating on Licensee's computer system (e.g., keylogging programs). (c) Phishing Scams and Spoof Websites. Licensee shall train its employees regarding information security and shall not divulge account information via email to any person. Express Evaluations shall have no liability to any person for any damages or other losses suffered by Licensee (or any employee or agent of Licensee) related to any response by Licensee (or any employee or agent of Licensee) to any phishing scam or spoof website.
5.2 Express Evaluations Safeguards.
(a) Data Retention. The Software is not meant to satisfy any Legal Requirement related to document retention and it is the sole responsibility of Licensee to retain copies of any documentation that has a Legal Requirement that sets forth a retention period, either through the retention of hard copies or electronic copies stored on Licensee's local computer system. (b) Physical Security. Express Evaluations shall maintain the servers that store Protected Information in a secured and alarmed facility housed separately from the main work site. Express Evaluations employees shall access the servers remotely and the only persons with access to the servers will be those employees with a legitimate business need to have such access. Each workstation at the main work site shall be assigned to a specific employee, password protected using commercially reasonable standards, and virus protected. Express Evaluations employees shall not be permitted to attach personal peripherals onto their workstations. Access to the main work site of Express Evaluations shall be monitored and limited by keycard access. After hours access shall be monitored and restricted to those employees with a legitimate business need.
38 5.3 Treatment of Confidential Information.
(a) Nondisclosure. As further set forth in 1.1(j) above the Receiving Party shall not disclose the Confidential Information of the Disclosing Party except as required by law. (b) Court Orders. If the Receiving Party is ordered by a court, administrative agency, or other governmental body of competent jurisdiction to disclose said Confidential Information, or if the Receiving Party is served with or otherwise becomes aware of a motion or similar request that such an order be issued, then the Receiving Party will not be liable to the Disclosing Party for disclosure of Confidential Information required by such order if the Receiving Party complies with the following requirements:
(i) if the order calls for disclosure more than five (5) days in the future, then the Receiving Party shall immediately move for or otherwise request a stay of such order to permit the Disclosing Party to respond as set forth in this subsection; (ii) the Receiving Party shall notify the Disclosing Party of the motion or order by the most expeditious means possible; and
(iii) the Receiving Party shall join or agree to (or at a minimum shall not oppose) a motion or similar request by the Disclosing Party for an order protecting the confidentiality of the Confidential Information, including joining or agreeing to (or non-opposition to) a motion for leave to intervene by the Disclosing Party. (iv) if an already-issued order requires the Receiving Party to disclose Confidential Information five or fewer days in the future, then the Receiving Party shall not be liable to the Disclosing Party for Compliance with such order, provided that the Receiving Party attempts in good faith to move for a protective order or equivalent at the same time that it discloses the Confidential Information.
6. THIRD PARTY VENDORS
6.1 Third Party Vendors. Express Evaluations makes no representations or warranties with respect to the information security policies and practices of its Third Party Vendors. Upon request, Express Evaluations will provide Licensee with the contact information for each Third Party Vendor for Licensee's independent review of the adequacy of each Third Party Vendor's information security policies and practices. Should Licensee object to any Third Party Vendor, Express Evaluations will work with Licensee to arrange a commercially reasonable alternative.
7. UPDATES, BUGS, AND TELEPHONE SUPPORT
7.1 Updates. Express Evaluations shall, from time-to-time update the Software to improve functionality or add features. During the Term, Licensee must use the Software as updated or modified. Express Evaluations, at its sole discretion, will determine type, frequency, and notification parameters for updates or upgrades of the Software and any software documentation. The terms of this License will govern any Software updates provided by Express Evaluations that replace and/or supplement the original Software product. 39 7.2 Bugs. Licensee agrees to provide Express Evaluations with reasonable notice (“Bug Report”) of any actual or potential defect (“Bug”) in the Software. Express Evaluations shall evaluate any such Bug and take commercially reasonable steps to resolve the Bug. If the Bug is a Material Bug, then Express Evaluations shall resolve the Bug within forty-eight (48) hours. At its option, in lieu of resolving a Material Bug, Express Evaluations may revert to an earlier version of the Software that does not contain the Material Bug.
7.3 Email Support. During the Term, Express Evaluations will make support available by email to Licensee's Authorized Users at substantially all times from 9:00 a.m. until 6:00 p.m. MST each Business Day. Express Evaluations will make all attempts to respond to emails within the service delivery expectations of the agreement.
8. INTELLECTUAL PROPERTY MATTERS
8.1 Intellectual Property Rights. The content, organization, graphics, design, compilation, magnetic translation, digital conversion, routines, subroutines, formulae, and other matters related to the Software are protected under applicable copyrights, patents, trademarks, and other proprietary and/or intellectual property rights. The copying, redistribution, use, or publication by Licensee of any such matters or any part of the Software, except as otherwise expressly authorized, is strictly prohibited. Express Evaluations expressly reserves all intellectual property rights in all text, programs, products, processes, technology, content, and other materials relating to the Software. Any and all logos, emblems, company names, product names, and service names (“Trademarks”) referenced in or by the Software or accessible within any application of the Software are Trademarks of their respective owners. In particular, the name "Express Evaluations" and Express Evaluations' logo are trademarks of Express Evaluations. Licensee shall not acquire permission to use any Trademark owned by Express Evaluations or any third party Trademark referenced on, in, or by the Software without express permission from Express Evaluations or the applicable owner of the Trademark.
8.2 Prohibitions. Licensee shall not: (a) delete the copyright notices or any other proprietary legends on or in the Software; (b) decompile, modify, reverse engineer, disassemble or otherwise reproduce the Software, or create derivative works based on the Software; (c) copy, rent, lend, lease, sublicense, distribute, assign, or commercially exploit the Software; (d) use the Software in any manner that could damage, disable, overburden, or impair Express Evaluations' or any other party's search services, servers, or other services; (e) use, download or otherwise transmit the Software to a location other than as authorized in this Agreement; (f) permit the use of the Software or Software Documentation by unauthorized persons; or (g) export the Software or Software Documentation into any country that does not have copyright laws that will protect the copyright of Express Evaluations. Express Evaluations reserves all rights not expressly granted in this Agreement. Each of the terms and conditions of Section 8 of this Agreement is material to the Agreement and failure of Licensee to comply with any of these terms and conditions will result in automatic termination of the License.
40 9. WARRANTIES, LIMITATION OF LIABILITY, AND DISCLAIMERS
9.1 As-Documented Warranty.
(a) Operation. SUBJECT TO THE REMEDY LIMITATIONS SET FORTH BELOW, Express Evaluations warrants to Licensee that during the Term, the Software will operate in all material respects in accordance with the Software Documentation (the "As-Documented Warranty"). (b) Deadline for Reports of Breaches of As-Documented Warranty. No instance of noncompliance with the As-Documented Warranty will be deemed to be a Breach of that warranty unless the procedure set forth in Section 7.2 is followed.
(c) Exclusive Remedies for Breach of As-Documented Warranty. Licensee's sole remedy for any Breach of the As-Documented Warranty (i.e., failure of the Software to perform as represented), to the exclusion of all other remedies therefore, in contract, tort, or otherwise, is a refund of a pro rata portion of any Fees for any remaining portion of the Initial Term or Renewal Term, as the case may be.
9.2 No Surreptitious Code Warranty. Express Evaluations warrants to Licensee that the Software does not contain any Unauthorized Code (the “No Surreptitious Code Warranty”).
9.3 Non-infringement. Express Evaluations warrants that the use of the Software by Licensee pursuant to this Agreement will not infringe any valid and subsisting intellectual property right owned by any person.
9.4 Warranty Limitations.
(a) Limitations of Express Evaluations' Warranties. Express Evaluations does not warrant:
(i) that the operation of the Software will be error free in all circumstances; (ii) that all defects in the Software that are not material with respect to the functionality thereof as set forth in the Software Documentation will be corrected; (iii) that the operation of the Software will not be interrupted for short periods of time by reason of defect therein or by reason of fault on the part of Express Evaluations; or (iv) anything with respect to any information, content, goods, or services provided by any third party and accessed via link from any Express Evaluations website. (b) No Warranty by Express Evaluations. Licensee will be exclusively responsible as between the Parties for, and Express Evaluations makes no representation or warranty with respect to:
(i) Licensee is responsible for ensuring that employee identifiers provided to the Software are unique per company for all of Licensee’s past and present employees; 41 (ii) Determining whether the Software will achieve the results desired by Licensee; (iii) Selecting, procuring, installing, operating, and maintaining computer hardware to run the Software;
(iv) Training Licensee's Authorized Users in computer operations, other than such Express Evaluations provided training as is expressly set forth in this Agreement; (v) Ensuring the accuracy of any input data used with the Software; (vi) Establishing adequate data backup provisions for backing up Licensee's data; (vii) Establishing adequate operational backup provisions (e.g., alternate manual operation plans) in the event of a defect or malfunction that impedes the anticipated operation of the Software;
(viii) Ensuring the adequacy of any third party's information security policies and practices; and
(ix) Ensuring the accuracy and adequacy of any information, content, goods, or services provided by any third party, regardless of whether that information, contact, goods, or services are accessed via a link from any Express Evaluations website.
9.5 DISCLAIMER OF ALL OTHER WARRANTIES AND REPRESENTATIONS. THE
EXPRESS WARRANTIES AND EXPRESS REPRESENTATIONS SET FORTH IN THIS
AGREEMENT AND THE AS-DOCUMENTED WARRANTY ARE IN LIEU OF, AND
EXPRESS EVALUATIONS DISCLAIMS, ANY AND ALL OTHER WARRANTIES,
CONDITIONS, OR REPRESENTATIONS (EXPRESS OR IMPLIED, ORAL OR WRITTEN),
WITH RESPECT TO THE LICENSED SOFTWARE OR ANY PART THEREOF, INCLUDING
ANY AND ALL IMPLIED WARRANTIES OR CONDITIONS OF TITLE,
NONINFRINGEMENT, MERCHANTABILITY, OR FITNESS OR SUITABILITY FOR ANY
PURPOSE (WHETHER OR NOT EXPRESS EVALUATIONS KNOWS, HAS REASON TO
KNOW, HAS BEEN ADVISED, OR IS OTHERWISE IN FACT AWARE OF ANY SUCH
PURPOSE), WHETHER ALLEGED TO ARISE BY LAW, BY REASON OF CUSTOM OR USAGE IN THE TRADE, OR BY COURSE OF DEALING. IN ADDITION, EXPRESS
EVALUATIONS EXPRESSLY DISCLAIMS ANY WARRANTY OR REPRESENTATION TO
ANY PERSON OTHER THAN LICENSEE WITH RESPECT TO THE LICENSED SOFTWARE OR ANY PART THEREOF.
IN NO EVENT SHALL EXPRESS EVALUATIONS BE LIABLE TO LICENSEE OR TO ANY
OTHER PARTY FOR THE USE OF A NON-PROPRIETARY PLUG-IN THAT MAY BE ADDED TO THE SOFTWARE.
42 10. TERMINATION AND BREACH
10.1 Termination.
(a) End of Term. The License shall terminate at the end of the Term if either party gives the other party notice of cancelation at least thirty (30) days prior to the end of the Term. (b) Early Termination by Express Evaluations. Unless otherwise provided in an applicable Purchase Order, Express Evaluations or the CITY OF SUSANVILLE may terminate the License at any time upon thirty (30) days prior written notice to the other party. In the event a party terminates the License pursuant to this Section 10.1(b), Express Evaluations shall refund to Licensee a pro rata portion of any Fees for any remaining portion of the Initial Term or Renewal term, as the case may be, minus any amounts paid to Third Parties in commissions or referral fees. (c) Termination Upon Breach and Failure to Cure. The Non-breaching Party may terminate the License immediately upon the occurrence of an uncured Breach after providing the Breaching Party with the notice and opportunity to cure required by Section 10.2.
10.2 Breach.
(a) Notice Required. The Party not in breach (“Non-breaching Party”) shall give the Party in breach (the “Breaching Party”) notice describing the Breach and stating the time provided below, if any, within which the Breach must be cured. If a provision of this Agreement provides a cure period for the Breach in question (e.g., a period within which Express Evaluations can attempt to remedy a Material Bug), then that provision shall take precedence over any cure period set forth in this Section 10.2.
(i) No Cure Period. No cure period is required, except as may be otherwise provided in this Agreement, if:
(A) This Agreement sets forth specific deadline dates for the obligation allegedly breached, and
(B) The Breach is a willful breach of an obligation of the Breaching Party. (ii) Non-willful Breach. If the Breach is non-willful, then the Breaching Party shall have five (5) Business Days to cure the Breach after written notice of such Breach by the Non-breaching Party.
(b) Cure. The Breaching Party will be deemed to have cured such Breach if within the cure period the Breaching Party takes steps reasonably adequate to prevent any future damage to the Nonbreaching Party resulting from the Breach and to prevent a similar future Breach. 43 11. DISPUTE RESOLUTION
11.1 Informal Settlement Discussions. With regard to any controversy or claim arising out of or relating to this Agreement, the parties will attempt to resolve the issue(s) with informal settlement discussions before filing litigation in any jurisdiction.
11.2 Injunctive Relief. If Licensee uses the Software in any unauthorized manner, or breaches any terms or conditions of this Agreement, and such use or breach would have a devastating and serious impact on Express Evaluations’ continuing ability to compete profitably and could, therefore, result in immediate and irreparable injury, loss or damage to Express Evaluations, then in addition to Express Evaluations’ right to recover damages for a breach of this Agreement, Express Evaluations shall also be entitled to seek a temporary restraining order or a preliminary injunction from a court of competent jurisdiction, without the necessity of posting a bond, to prevent Licensee and Licensee's employees, agents, consultants, and independent contractors from engaging in any further use of the Software and the continued breach of this Agreement.
11.3 EXCLUSION OF INCIDENTAL AND CONSEQUENTIAL
DAMAGES. INDEPENDENT OF, SEVERABLE FROM, AND TO BE ENFORCED
INDEPENDENTLY OF ANY OTHER ENFORCEABLE OR UNENFORCEABLE PROVISION
OF THIS AGREEMENT, OTHER THAN FOR INFRINGEMENT OF ONE PARTY'S
INTELLECTUAL PROPERTY RIGHTS BY ANOTHER PARTY, NEITHER PARTY WILL BE
LIABLE TO THE OTHER PARTY (NOR TO ANY PERSON CLAIMING RIGHTS DERIVED
FROM THE OTHER PARTY'S RIGHTS) FOR INCIDENTAL, CONSEQUENTIAL, SPECIAL,
PUNITIVE, OR EXEMPLARY DAMAGES OF ANY KIND INCLUDING LOST PROFITS,
LOSS OF BUSINESS, OR OTHER ECONOMIC DAMAGE, AND FURTHER INCLUDING
INJURY TO PROPERTY, AS A RESULT OF BREACH OF ANY WARRANTY OR OTHER
TERM OF THIS AGREEMENT, REGARDLESS OF WHETHER THE PARTY LIABLE OR
ALLEGEDLY LIABLE WAS ADVISED, HAD OTHER REASON TO KNOW, OR IN FACT KNEW OF THE POSSIBILITY THEREOF.
11.4 MAXIMUM AGGREGATE LIABILITY. INDEPENDENT OF, SEVERABLE FROM,
AND TO BE ENFORCED INDEPENDENTLY OF ANY OTHER ENFORCEABLE OR
UNENFORCEABLE PROVISION OF THIS AGREEMENT, IN NO EVENT SHALL EXPRESS EVALUATIONS’ AGGREGATE LIABILITY TO LICENSEE (INCLUDING LIABILITY TO
ANY PERSON OR PERSONS WHOSE CLAIM OR CLAIMS ARE BASED ON OR DERIVED
FROM A RIGHT OR RIGHTS CLAIMED BY LICENSEE), WITH RESPECT TO ANY AND
ALL CLAIMS AT ANY AND ALL TIMES ARISING FROM OR RELATED TO THE
SUBJECT MATTER OF THIS AGREEMENT, IN CONTRACT, TORT, OR OTHERWISE,
EXCEED THE AMOUNT OF THE FEE AND ANY RENEWAL FEE AS PROVIDED HEREIN AND ITEMS COVERED IN SECTION 11.7.
11.5 Choice of Law. The laws of the state of California, without giving effect to its conflict of laws principles, govern all matters arising out of or related to this Agreement and all transactions it contemplates including, without limitation, its validity, interpretation, construction, performance, and enforcement.
44 11.6 Forum Selection. Any Party bringing an action for injunctive relief shall bring the legal action or proceeding in either the United States District Court for the District of California. Each party consents to the exclusive jurisdiction of the United States District Court for the District of California, and their respective appellate courts. Each party agrees that the exclusive choice of forum set forth in this Section 11.7 does not prohibit the enforcement of any judgment obtained in that forum or any other appropriate forum.
11.7 Attorneys' Fees. In the event that any dispute between the Parties should result in litigation or arbitration, the prevailing party to such dispute shall be entitled to recover from the other party all reasonable fees, costs, and expenses of enforcing any right of the prevailing party. Attorney’s fees and costs include costs for such items for any appeals.
12. MISCELLANEOUS
12.1 Notice. Any notice required or permitted to be given under this Agreement shall be sufficient if sent via email to Licensee at the email address used during the registration process referenced in Section 4.5 or to Express Evaluations at [email protected]. The Parties may designate any other or additional email addresses from time to time in a writing delivered in accordance with this Section 12.1.
12.2 Assignment and Delegation. Licensee shall not assign the rights or obligations of this Agreement without the prior written consent of Express Evaluations. Express Evaluations may freely assign its rights and obligations under this Agreement without Licensee's prior written consent.
12.3 Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the Parties’ permitted successors and assigns.
12.4 Third Party Beneficiaries. This Agreement does not and is not intended to confer any rights or remedies upon any individual, group, or entity other than the Parties.
12.5 Amendment. This Agreement is subject to amendment by Express Evaluations from time-totime and agreement to any such amendment shall be a condition precedent to the continued use of the Software by Licensee. Should Licensee refuse to agree to any such amendment, at Express Evaluations’ option this Agreement will be deemed terminated by Express Evaluations as contemplated by Section 11.1(b).
12.6 Severability. If any word, phrase, sentence, clause, section, subsection or provision of this Agreement as applied to either Party or to any circumstance is adjudged by a court to be invalid or unenforceable, the same shall in no way affect any other circumstance or the validity or enforceability of any other word, phrase, sentence, clause, action, section, subsection, or provision of this Agreement to the extent possible without destroying the intent of this Agreement.
12.7 Waiver. The waiver of either Party of a breach or violation of any term or provision of this Agreement shall not operate or be construed as a waiver of any subsequent breach or violation. 45 12.8 Strict Construction. The language used in this Agreement shall be deemed to be in the language chosen by both Parties to express their mutual intent, and no rule of strict construction shall be applied for or against any Party by reason of such Party being deemed the draftsman of this Agreement.
12.9 Interpretation. The terms that are defined in this Agreement may be used in the singular or plural, as the context requires. Whenever the context of this Agreement requires, the gender of all words shall include the masculine, feminine, and neuter. The words "including," "includes," and "include" are deemed to be followed by the words "without limitation." References to "Sections" are to Sections of this Agreement, unless otherwise specifically provided.
12.10 Captions. Captions in this Agreement are asserted for convenience only and do not define, describe, or limit the scope or the intent of this Agreement or any of the terms of this Agreement.
12.11 Entire Agreement. Together with any Purchase Order, this Agreement contains the entire agreement between the Parties and supersedes all prior or contemporaneous agreements, understandings, representations, and statements, oral or written, between the Parties with respect to the subject matter of this Agreement.
46 13. FEE SCHEDLE AND INVOICING
13.1 For annual license fees, Express Evaluations will submit the invoice to the Licensee’s administrative contact. The term of the contract is 365 days from the date this agreement is signed, or from the date agreed upon below. Subsequent annual invoices will be generated 30 days in advance to the end of the 365 day term.
Pricing is based off the plan selection (Essential or Professional), the number of employees in the system, and is billed annually. The initial license fee will be based on the assumption that 70 employees will be active in the system. If the active number of employees during the year exceeds more than 15% of the initial count, a new invoice will be generated for those employees above the initial count.
License Start and Renewal Date: January 1, 2024 through December 31, 2024 Initial Pricing: Pro Tier 70 Employees - $3.50 PEPM, billed annually = $3,000 (minimum contract amount).
Additional support and consulting - $500 per year.
__________________ ____________
Date 11/17/2023
Dan Newton Albert Foster
City Administrator President
CITY OF SUSANVILLE Express Evaluations, Inc
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28 RESOLUTION NO. 23-6258
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE
AUTHORIZING THE CITY ADMINISTRATOR TO EXECUTE AGREEMENT
BETWEEN THE CITY AND EXPRESS EVALUATIONS,
AN EMPLOYEE EVALUATION SOFTWARE
WHEREAS, the city’s existing employee evaluation software has been out of date and can no longer be used; and
WHEREAS, the city reached out to Express Evaluations to request a demo of their software; and
WHEREAS, Express Evaluations created a template based on city provided criteria for staff to tryout the software; and
WHEREAS, staff presented Express Evaluations to the City Council on August 2, 2023 and; and
WHEREAS, Council provided direction to staff to complete the meet and confer process with the bargaining units and bring back the agreement for adoption.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the city of Susanville hereby authorizes the City Administrator to enter into an Agreement with Express Evaluations for employee evaluation software services and authorizes the Finance Director to modify the budget in the amount of $4,000.00
APPROVED:_______________________
Quincy McCourt, Mayor
ATTEST:_______________________
Heidi Whitlock, City Clerk
The foregoing resolution was adopted at a regular meeting of the City Council of the City of Susanville, held on the 6thth day of December 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_____________________________
Heidi Whitlock, City Clerk
APPROVED AS TO FORM:_____________________________
Margaret Long, City Attorney
48 AGENDA ITEM NO. 9.A
Discussion Item
Submitted By: Heidi Whitlock, Administrative Services
Action Date: December 6, 2023
SUBJECT: Discussion regarding expenditure or ARPA Funds.
PRESENTED BY: Dan Newton, City Administrator
SUMMARY:
The American Rescue Plan Act provided approximately $3.5 million to the city of Susanville. The funds can be used for a variety of items with an expenditure/obligation deadline of December 31, 2024. On January 6, 2022 the U.S. Department of Treasury released their Final Rule for Coronavirus State and Local Fiscal Recovery (SLFRF) under ARPA. The most flexible spending category under the SLFRF grant program is “Replacement of Lost Revenue” for government services, which the final rule says generally includes any service traditionally provided by local governments. To take advantage of this category of spending, the interim rule required all grantees, regardless of size, to perform a complex calculation to determine how much revenue a locality could claim as lost. The final rule presents a significantly simpler option by permitting local governments to choose a “standard allowance” for lost revenue of $10 million for the lifetime of their grant. Local governments may continue to use the amount provided under the calculation, but for those that select the standard allowance, they may use up to $10 million for government services with streamlined reporting requirements compared to those that choose to stay with their calculated amount. In practice, almost no NonEntitlement Unit of local governments received a grant larger than $10 million under the SLFRF program. So in effect, the rule excuses almost local governments with fewer than 50,000 residents who received their grant through their state from requirements associated with the calculation of lost revenue, if they choose, and instead allows all those smaller cities and towns to claim the standard allowance.
The city has approximately $2.5 million in ARPA funds remaining. At previous council meetings the city council discussed apportioning the funds to the following categories:
$1,000,000 for economic development as an external
investment. For example, improving Main St. building facades. $500,000 for economic development as an internal investment.
SUSANVILLE CITY COUNCIL AGENDA ITEM
49 For example, hiring an outside firm to provide professional development training to city staff and recommend
improvements to development processes.
$500,000 for marketing Susanville.
$500,000 for city facility repairs and improvements.
Input has been requested from the public as well as city staff and councilmembers. With council direction, staff will compile a list of various projects and rank them. A recommended project list will be provided at the January 17, 2024 city council meeting.
FISCAL IMPACT: Potential expenditure of approximately $2.5 million in ARPA funds.
ACTION REQUESTED: Direction to staff.
ATTACHMENTS:
231206 Potential ARPA Projects - Word Cloud.pdf
231206 List of Discussed and Submitted Potential Projects.pdf 50 Poten�al ARPA Projects
51 List of Discussed and Submitted Potential ARPA Projects Projects listed are in no particular order
1 Building Façade Vouchers – Main St
2 New Christmas Lights
3 Pay off Debt
4 Veterans Memorial Exhibit in Memorial Park
5 Backhoe with Mowing Boom
6 Fire Dept Roof
7 Police Dept Roof
8 Fire Dept Heating
9 Police Dept Interior Repairs
10 Police Dept Exterior Repairs
11 Sewer Capacity Study
12 Golf Course Irrigation Improvements
13 Golf Course Tunnel
14 Pool Land Scaping
15 Message Board at Memorial Park Bathroom
16 Solar Lights for Trail
17 City Hall Interior Repairs
18 Community Security Cameras
19 Fire Department Property Expansion
20 General Plan Update
21 Electric Vehicle Charging Stations
22 Code Enforcement Abatement Fund
23 T-Hangars at Airport
24 Museum Storage Building
25 Pickle Ball Courts
26 Development Infrastructure Improvements
27 Citizen's Boot Camp - How to keep your property safe 28 Scooters for the trail
29 S.E. Gateway Landscaping
30 Susan River Parkway
31 Little League Parking Improvements
32 Main St. Decorative Solar Lights
33 Improve Water Infrastructure for Fire Protection
34 New Christmas Decorations (more than lights)
35 Sidewalk Repair / New Sidewalk
52 53
AGENDA ITEM NO. 9.B
Action Item
Submitted By: Chandra Jabbs, Administrative Services
Action Date: December 6, 2023
SUBJECT: Consider Resolution No. 23-6257, Accepting the City of Susanville's Audited Financial Statements for the Fiscal Year ending June 30, 2022
PRESENTED BY: Chandra Jabbs, Finance Manager
SUMMARY:
The firm of Van Lant & Fankhanel, LLP, CPAs has completed the audit of the City’s Financial Statements for the fiscal year ended June 30, 2022. The audit included the financial statements of the governmental entities, business-type activities, each major fund, and the aggregate remaining fund information of the City, which collectively comprises the City’s basic financial statements. The audited financial statements are presented in our Annual Comprehensive Financial Report (ACFR). The ACFR not only presents the basic financial information, but also includes Management’s Discussion and Analysis (MD&A) comparing audited numbers from this year and the previous audited year. It also includes a statistical section which presents detailed information as a context for understanding what is presented in the financial statements, note disclosures and required supplemental information regarding the City’s overall financial health.
The auditor's identified one material weakness during the course of the audit. This weakness was identified as "Timeliness and Accuracy of Accounting Records". The cause of this weakness was the delays in completing the year-end financial close process for the 2021-22 fiscal year. The recommendation for improvement was to develop a schedule for year-end closing, including a list of all tasks to be completed along with due dates. City staff agree with the auditors' comments and recommendations. The city recognizes the delays that occurred in FY21-22 were the combined result of staffing issues, the Dixie Fire, and prioritizing identifying additional revenues for city solvency during this period. Delays are expected to continue into FY22-23, but the City expects to return to a more appropriate timeline for FY23-24. For the full report on internal control, please see the internal control report attachment of this agenda item.
SUSANVILLE CITY COUNCIL AGENDA ITEM
54 FISCAL IMPACT: None.
ACTION REQUESTED: Motion to approve Resolution No.23-6257, Accepting the City of Susanville's Audited Financial Statements for the Fiscal Year ending June 30, 2022.
ATTACHMENTS:
23-6257.pdf
appropriations limit report.pdf
AU-C 260 Conclusion Letter.pdf
internal control report 2022.pdf
management letter 2022.pdf
Final FS Susanville 6-30-22.pdf
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28 RESOLUTION NO. 23-6257
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE
ACCEPTING THE ANNUAL AUDIT REPORT FOR THE CITY OF SUSANVILLE FOR THE FISCAL YEAR ENDED JUNE 30, 2022
WHEREAS, Van Lant and Fankhanel, LLP Certified Public Accountants, having been engaged by the City of Susanville to perform the annual audit for the Fiscal Year Ended June 30, 2022; and
WHEREAS, Van Lant and Fankhanel, LLP CPAs, have performed the audit and submitted a Annual Comprehensive Financial Report (ACFR) for the City of Susanville for the Fiscal Year ending June 30, incorporated herein by reference.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Susanville that the CAFR for the fiscal year ended June 30, 2022 is hereby accepted for the City of Susanville.
Dated: December 6, 2023
APPROVED: _______________________________
Quincy McCourt, Mayor
ATTEST: _______________________________
Heidi Whitlock, City Clerk
The foregoing Resolution was adopted at a regular meeting of the City Council of the City of Susanville held on the 6th day of December, 2023 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_____________________________
Heidi Whitlock, City Clerk
APPROVED AS TO FORM: _____________________________
Margaret Long, City Attorney
56 INDEPENDENT ACCOUNTANT’S REPORT ON AGREED-UPON PROCEDURES
APPLIED TO APPROPRIATIONS LIMIT WORKSHEETS
City Council
City of Susanville
Susanville, California
We have performed procedures enumerated below to be the accompanying Appropriations Limit worksheet of the City of Susanville, for the year ended June 30, 2022. These procedures, which were agreed to by the City of Susanville and the League of California Cities (as presented in the publication entitled Agreed-upon Procedures Applied to the Appropriations Limitation Prescribed by Article XIIIB of the California Constitution), were performed solely to assist the City in meeting the requirements of Section 1.5 of Article XIIIB of the California Constitution. The City’s management is responsible for the Appropriations Limit worksheet. This agreed-upon procedures engagement was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of the procedures is solely the responsibility of those parties specified in this report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which this report has been requested of for any other purpose.
The procedures performed and our findings were as follows:
1. We obtained the completed worksheets and compared the limit and annual adjustment factors included in those worksheets to the limit and annual adjustment factors that were adopted by resolution of the City Council. We also compared the population and inflation options included in the aforementioned documents to those that were selected by a recorded vote of the City Council.
Findings: No exceptions were noted as a result of our procedures.
2. For the accompanying Appropriations Limit worksheet, we added last year’s limit to total adjustments and agreed the resulting amount to this year’s limit.
Findings: No exceptions were noted as a result of our procedures
3. We agreed the current year information presented in the accompanying Appropriations Limit worksheet to the other documents referenced in #1 above.
Findings: No exceptions were noted as a result of our procedures. 57 4. We agreed the prior year appropriations limit presented in the accompanying Appropriations Limit worksheet to the prior year appropriations limit adopted by the City Council during the prior year.
Findings: No exceptions were noted as a result of our procedures We were not engaged to, and did not, perform an examination, the objective of which would be the expression of an opinion on the accompanying Appropriations Limit worksheet. Accordingly, we do not express such an opinion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. No procedures have been performed with respect to the determination of the appropriations limit for the base year, as defined by the League publication entitled Article XIIIB of the California Constitution.
This report is intended solely for the use of the City Council and management of the City of Susanville and is not intended to be and should not be used by anyone other than these specified parties. However, this report is a matter of public record and its distribution is not limited.
November 30, 2023
58 CITY OF SUSANVILLE
APPROPRIATIONS LIMIT COMPUTATION
2021-22 Fiscal Year
2021 - 2022
Change in Per Capita Personal Income 5.73%
Population Change
City Population Growth -1.50%
Change in Per Capita Personal Income Converted to a Ratio 1.0573 Population Change Converted to a Ratio 0.985
Calculation Growth Factor 1.04144050
2020-2021 Appropriations Limit 12,109,959 $
2021-2022 Appropriations Limit
($12,109,959 X 1.04144050) 12,611,803 $
59 November 30, 2023
City Council
City of Susanville
Susanville, CA
We have audited the financial statements of the governmental activities, business-type activities, each major fund, and the aggregate remaining fund information of the City of Susanville for the year ended June 30, 2022. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards and Government Auditing Standards, as well as certain information related to the planned scope and timing of our audit.
We have communicated such information in our letter to you dated October 19, 2023.
Professional standards also require that we communicate to you the following information related to our audit.
Significant Audit Findings
Qualitative Aspects of Accounting Practices
Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 to the financial statements.
No new significant accounting policies were adopted and the application of existing policies was not changed during the fiscal year. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.
Accounting estimates are an integral part of the financial statements prepared by management and are based on management’s knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the financial statements were:
Management’s estimate of the fair value of investments is based on information provided by financial institutions. We evaluated the key factors and assumptions used to develop the fair value of investments in determining that it is reasonable in relation to the financial statements as a whole.
60 Management’s estimate of capital assets depreciation is based on historical estimates of each capitalized item’s useful life. We evaluated the key factors and assumptions used to develop the estimated useful lives in determining that they are reasonable in relation to the financial statements as a whole.
Management’s estimate of the net pension liability is based on actuarial information provided by the California Public Employee Retirement System’s (CalPERS) actuarial office. We evaluated the key factors and assumptions used to develop these liabilities in determining that the estimated liabilities are reasonable in relation to the financial statements as a whole.
Certain financial statement disclosures are particularly sensitive because of their significance to financial statement users. The most sensitive disclosures affecting the financial statements were:
The disclosure of the fair value of investments in Note 2 to the financial statements represents amounts susceptible to market fluctuation.
The disclosure of accumulated depreciation in Note 4 to the financial statements is based on estimated useful lives which could differ from actual useful lives of each capitalized item.
The disclosures for the net pension liability in Note 6 to the financial statements are based on assumptions for discount rates, etc., which could differ from actual experience. The notes disclose the differences in these liabilities if different assumptions are used in estimating these liabilities.
Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.
Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. We noted misstatements detected as a result of audit procedures and corrected by management which were material, either individually or in the aggregate, to each opinion unit’s financial statements taken as a whole.
Disagreements with Management
For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor’s report. We are pleased to report that no such disagreements arose during the course of our audit.
Management Representations
We have requested certain representations from management that are included in the management representation letter dated November 30, 2023. 61 Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to the City’s financial statements or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants.
Other Audit Findings or Issues
We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the City’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.
Other Matters
We applied certain limited procedures to the Management’s Discussion and Analysis, Schedule of Proportionate Share of the Net Pension Liability, and the Schedule of Plan Contributions, which are required supplementary information (RSI) that supplements the basic financial statements.
Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.
We were engaged to report on supplementary information, as listed in the table of contents, which accompany the financial statements but are not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves.
We were not engaged to report on the introductory and statistical sections, which accompany the financial statements but are not RSI. Such information has not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we do not express an opinion or provide any assurance on it.
This information is intended solely for the use of the City Council and management of the City and is not intended to be, and should not be, used by anyone other than these specified parties.
Very truly yours,
62 Independent Auditor’s 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 City Council
City of Susanville
Susanville, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, business-type activities, each major fund and the aggregate remaining fund information of the City of Susanville (City), as of and for the year ended June 30, 2022, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements, and have issued our report thereon dated November 30, 2023.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City’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 opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’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 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 preceding paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that were not identified. We did identify certain deficiencies in internal control, described in the accompanying schedule of findings and questioned costs as item 2022-001, that we consider to be a material weakness.
63 Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of 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.
City of Susanville’s Responses to Findings
The City’s responses to the findings identified in our audit are described in the accompanying schedule of findings and responses. The City’s responses were not subjected to the auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on them.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the organization’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
November 30, 2023
64 CITY OF SUSANVILLE
SCHEDULE OF FINDINGS AND RESPONSES
Year Ended June 30, 2022
2022-001 Timeliness and Accuracy of Accounting Records
Condition:
In preparation for the annual audit, the City’s Finance staff performed significant analysis and reconciliations of various accounts in the City’s general ledger. However, when we began our year-end audit fieldwork, it became apparent that certain accounts had not yet been thoroughly analyzed and reconciled to supporting records, resulting in several adjustments being made during the audit process. Adjusting journal entries were still being made during 2023 for the 2021- 22 fiscal year. While performing audit procedures, we identified and proposed various material adjusting entries to the City’s accounting records. Statements on Auditing Standards No. 115, ”Communicating Internal Control Related Matters Identified in an Audit” states that “indicators of material weaknesses in internal control include: identification by the auditor of a material misstatement of the financial statements under audit in circumstances that indicate the misstatement would not have been detected by the entity’s internal control.” Timely reconciliation and review of all balance sheet accounts and various revenue and expenditure accounts on a recurring basis, and especially at year-end, is a vital part of maintaining the integrity of the accounting and financial reporting system. If the year-end closing process is not completed in a timely manner, the issuance of audit reports will be delayed and reporting deadlines will not be met.
Criteria:
The City’s management is responsible for establishing and maintaining effective internal controls over financial reporting to help ensure that appropriate goals and objectives are met. This responsibility includes the selection and application of accounting principles, ensuring that financial information is reliable and properly recorded, and evaluating and monitoring ongoing activities.
Cause of Condition:
Delays in completing the year-end financial close process for the 2021-22 fiscal year.
Recommendation:
In order to maintain the integrity of the accounting and financial reporting system, and to ensure timely reporting, we recommend that the City develop a schedule for the year-end closing process, including a list of all accounting tasks to be completed, along with the due dates for each task, and provision for signing off by date and initials when the procedure is complete. 65 CITY OF SUSANVILLE
SCHEDULE OF FINDINGS AND RESPONSES
Year Ended June 30, 2022
2020-001 Timeliness and Accuracy of Accounting Records - Continued Views of Responsible Officials:
The management team agrees with the auditors’ comments and recommendations. During FY20- 21 and FY21-22, the City had adopted deficit budgets, as CalPERS UAL repayments were scheduled to continue to ramp up in future fiscal years. The City prioritized identifying additional revenue resources and focused efforts on a new sales tax measure to increase revenues for the city. The City also adopted an Expenditure Reduction Plan in April 2022, in the event that a tax measure was not passed in June 2022. These items delayed the adoption of the FY22-23 budget to accommodate for the results of the election resulting in budget adoption taking place in September 2022, thus delaying the year-end close process for FY21-22.
From January 2021 through August 2022, there was a 60% turnover in staffing in the Finance Division of the Administration Department. The City also struggled with vacancies in the entire Administration Department as there was over a 33% vacancy rate during this period in the department. These vacancies included turnover in the City Administrator and Finance Manager roles, both of which play a critical role in the audit process. The Expenditure Reduction Plan referenced above eliminated one of the vacant positions within the department. (This position is reinstated for FY23-24.) FY2021-22 also included a more thorough analysis of funds as the COVID pandemic was slowing down, which enabled the auditors to come on-site and the audit process was not rushed to accommodate this analysis.
Additionally, the local area was greatly impacted by the declaration of emergency due to the Dixie Fire which occurred July-October 2021. This fire caused evacuations, rolling power outages, and loss of internet connectivity, greatly impacting our ability to complete the year-end close process and budget adoption in timely fashion. Staff is continuing to review duties and set timelines to ensure a timelier review process for the audit. Delays are expected to affect the FY22-23 audit as well, although not to such a large extent, as we work to recover from these delays and staffing issues in FY21-22. Staff expects to return to a more appropriate timeline for FY23-24. 66 November 30, 2023
Ms. Chandra Jabbs, Finance Manager
City of Susanville
66 N. Lassen St.
Susanville, CA 96130
Dear Ms. Jabbs:
In planning and performing our audit of the financial statements of the City for the year ended June 30, 2022, we considered its internal control in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the internal control.
During our audit, we noted certain matters involving internal control and other operational matters that are presented for your consideration below. We will review the status of these comments during our next audit engagement.
This letter by its very nature is critical and does not highlight the many positive features of the City's internal control. These comments and recommendations are intended to improve the internal control or result in other operating efficiencies and are summarized as follows:
(1)
Building Permits
During the performance of our procedures over the City’s building permit issuance and revenue collections, we noted that the City’s Building Permit Technician issues permits, receipts payments, and calculates the fees to be charged. In addition, the Building Permit Technician runs reports from the iWorq building permit system for the month and reconciles the activity to the City’s general ledger.
The reconciliation should be done by someone independent of the building permit issuance and revenue collections. These duties are incompatible and should be segregated. 67 (2)
Cash Receipts
During our procedures performed over cash collections, we noted that the City has manual receipt booklets at the Fire Department, City Hall, and the Public Works Department. There does not appear to be a review of the numerical sequence of the receipts issued from the manual receipt books. In addition, the Golf Course uses a generic cash register system with a Z-tape. Individuals who take in payments and input into the cash register system have the ability to void transactions. There doesn’t appear to be any follow-up or oversight of the voided transactions to determine their validity. In addition, there is no user login to identify who voided the transaction on the register. We recommend the City only use manual receipt books in rare occasions and maintain tight controls over their use.
In addition, the City should consider implementing a more formal cash register system for the payments collected at the Golf Course.
Summation
We would like to take this opportunity to express our appreciation for the assistance extended us during the course of our audit. If we can be of further assistance, or if you have any questions regarding our recommendations, please call our office. This letter is intended solely for the information and use of management and is not intended to be and should not be used by anyone other than these specified parties.
Respectfully submitted,
68 Fiscal Year Ended June 30
City of Susanville
Annual Comprehensive
Financial Report
2022
Photo Credit: Jeremy Couso
69 CITY OF SUSANVILLE, CALIFORNIA
ANNUAL COMPREHENSIVE
FINANCIAL REPORT
Year Ended June 30, 2022
70 City of Susanville
Comprehensive Annual Financial Report
Year Ended June 30, 2022
TABLE OF CONTENTS
PAGE
I. INTRODUCTORY SECTION
Letter of Transmittal i
Organization Chart vii
City Council viii
Executive Staff ix
II. FINANCIAL SECTION
Independent Auditor’s Report 1
Management’s Discussion & Analysis 5-22
Basic Financial Statements:
Government-wide Financial Statements:
Statement of Net Position 23
Statement of Activities 24-25
Fund Financial Statements:
Governmental Funds:
Balance Sheet 26
Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Position 27 Statement of Revenues, Expenditures and Changes in Fund Balances 28 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities 29 Proprietary Funds:
Statement of Net Position 30
Statement of Revenues, Expenses and Changes in Net Position 31 Statement of Cash Flows 32
Fiduciary Funds:
Statement of Fiduciary Net Position 33
Statement of Changes in Fiduciary Net Position 34
Notes to Financial Statements 35-58
Required Supplementary Information:
Schedule of the City’s Proportionate Share of the Net Pension Liability 59 Schedule of Plan Contributions 60
Budgetary Comparison Schedules - Major Governmental Funds:
General Fund 61
Gas Tax Special Revenue Fund 62
ARPA Special Revenue Fund 63
Notes to Required Supplementary Information 64
Supplementary Information:
Non-major Governmental Funds: 65 - 66
Combining Balance Sheet 67 - 70
Combining Statement of Revenues, Expenditures and Changes in Fund Balances 71 - 74 Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual:
Local Law Enforcement Grant Special Revenue Fund 75
Street Mitigation Special Revenue Fund 76
Police Mitigation Special Revenue Fund 77
Fire Mitigation Special Revenue Fund 78
Park Land In-lieu Special Revenue Fund 79
State Revolving Loan Special Revenue Fund 80
HOME Revolving Special Revenue Fund 81
Traffic Safety Special Revenue Fund 82
Skyline Bicycle Special Revenue Fund 83
71 City of Susanville
Comprehensive Annual Financial Report
Year Ended June 30, 2022
TABLE OF CONTENTS – Continued
Supplementary Information - Continued: PAGE
Traffic Signals Special Revenue Fund 84
CDBG Special Revenue Fund 85
Road Special Revenue Fund 86
Tobacco Grant Special Revenue Fund 87
Asset Forfeiture Special Revenue Fund 88
FEMA AFG Grant Special Revenue Fund 89
LEAP Grant Special Revenue Fund 90
ABC Grant Special Revenue Fund 91
OTS Grant Special Revenue Fund 92
City Hall Debt Service Fund 93
Community Swimming Pool Debt Service Fund 94
Sierra Dog Park Capital Projects Fund 95
City Hall Parking Lot Capital Projects Fund 96
Non-major Enterprise Funds 97
Combining Statement of Net Position – Nonmajor Enterprise Funds 98 Combining Statement of Revenues, Expenses and Changes in Net Position - Nonmajor Enterprise Funds 99
Combining Statement of Cash Flows – Nonmajor Enterprise Funds 100 Internal Service Funds 101
Combining Statement of Net Position - Internal Service Funds 102 Combining Statement of Revenues, Expenses and Changes in Net Position - Internal Service Funds 103
Combining Statement of Cash Flows - Internal Service Funds 104 Fiduciary Funds 105
Combining Statement of Fiduciary Net Position - Custodial Funds 106 Combining Statement of Changes in Fiduciary Net Position - Custodial Funds 107 III. STATISTICAL SECTION
Description of Statistical Section Contents, Exhibit A-1 108 Financial Trends:
Net Position by Component - Last Ten Fiscal Years 109-110 Changes in Net Position - Last Ten Years 111-114
Fund Balances of Governmental Funds - Last Ten Fiscal Years 115-116 Changes in Fund Balances of Governmental Funds - Last Ten Fiscal Years 117-118 Revenue Capacity:
Assessed Value of Taxable Property - Last Eighteen Fiscal Years 119 Direct and Overlapping Property Tax Rates - Last Fifteen Fiscal Years 120 Principal Property Tax Payers (Top Ten) - Current Year and Nine Years Ago 121 Property Tax Levies and Collections - Last Nineteen Fiscal Years 122 Debt Capacity:
Ratios of Outstanding Debt by Type - Last Twenty Fiscal Years 123-124 Legal Debt Margin Information - Last Fifteen Fiscal Years 125-126 Direct and Overlapping Debt 127
Ratios of General Bonded Debt Outstanding 128
Pledged Revenue Coverage - Last Nineteen Fiscal Years 129-130 Demographic and Economic Information:
Demographic and Economic Statistics 131
Principal Employers - Current Year and Nine Years Ago 132 Operating Information:
Full-time and Part-time City Employees by Function - Last Twenty Fiscal Years 133-134 Operating Indicators by Function - Last Ten Fiscal Years 135 Capital Asset Statistics by Function - Last Ten Fiscal Years 136 Water Sold by Type of Customer – Last Fifteen Fiscal Years 137-138 72 City of Susanville
Comprehensive Annual Financial Report
Year Ended June 30, 2022
TABLE OF CONTENTS – Continued
Statistical Section - Continued:
Water Rates – Last Nineteen Fiscal Years 139
Top 10 Water Customers – Current Year and Nine Years Ago 140 Gas Sold by Type of Customer – Last Fourteen Fiscal Years 141-142 Gas Rates – Last Nineteen Fiscal Years 143
Top 10 Gas Customers - Current Year and Nine Years Ago 144 73 INTRODUCTORY SECTION
74 i
66 North Lassen Street
Susanville, California 93130
Telephone (530) 252-5112
Fax (530) 257-4725
November 30, 2023
To the Honorable Mayor, Members of the
City Council and Citizens of the City of Susanville:
The Annual Comprehensive Financial Report (ACFR) for the City of Susanville for the fiscal year ended June 30, 2022, is hereby submitted as mandated by state statutes. This report was prepared in accordance with accounting principles generally accepted in the United States of America and contains information to help readers gain a reasonable understanding of the City’s financial activities.
This report consists of the management’s representations concerning the finances of the City of Susanville. Consequently, management assumes full responsibility for the completeness and reliability of all the information presented in this report. To provide a reasonable basis for making these representations, management has established a comprehensive internal control framework that is designed to both protect the government’s assets from loss, theft or misuse and to compile sufficient reliable information for the preparation of the City of Susanville’s financial statements in conformity with Generally Accepted Accounting Principles (GAAP). Because the cost of internal controls should not outweigh their benefits, the City of Susanville’s comprehensive framework of internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement.
As management, we assert that to the best of our knowledge and belief, this financial report is complete and reliable in all material aspects.
The City of Susanville’s financial statements have been audited by Van Lant and Fankhanel LLP, a firm of licensed certified public accountants. The goal of the audit was to provide reasonable assurance that the financial statements of the City of Susanville for the fiscal year ended June 30, 2022, are free of material misstatement. The independent auditor concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified or clean opinion and the City’s financial statements are fairly presented in conformity with GAAP. The independent auditor’s report is presented as the first component of the financial section of this report.
GAAP requires that the management provide a narrative introduction, overview and analysis to accompany the basic financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The MD&A can be found immediately following the report of the independent auditors.
75 ii
City of Susanville Profile
The City of Susanville is a general-law city incorporated under California law in 1900. The city is located in
northeastern California (85 miles from Reno, Nevada and 112 miles from Redding, California.) and offers a wide variety of experiences for the outdoor enthusiast. There are
approximately 60 miles of developed trails for hiking, biking, cross country skiing and horseback riding that provide
breathtaking views of the mountain ranges and fall colors.
Numerous rivers and streams as well as the beauty of Eagle Lake provide ample opportunities for fisherman and boating enthusiast to experience our great outdoors. The city has over 147 acres of parks, golf course, pool, and airport, all of which host a variety of community events to bring the
community together.
Form of Government
The City operates under the City
Council/City Manager form of
government. The people of Susanville
elect five councilmembers, from
which the City Council chooses the
mayor and the mayor pro-tempore.
The mayor and mayor pro-tempore
are appointed for a two-year term.
Councilmembers are elected to serve
alternating four-year terms. The City
Council appoints the City
Administrator and the City Attorney.
All municipal elections are at large.
City Services
The City of Susanville provides a wide range of municipal services, including police and fire protection, water, natural gas and geothermal utilities, street maintenance, snow removal, parks, planning, economic vitality, grant administration, contract administration services for other government agencies, zoning, building and safety, and other general government services. Accounting, payroll, revenue collection, accounts payable, treasury, budget, financial reporting, business licensing and utility billing are the responsibility of the Administrative Services Department.
Accounting Policy and Control
The city’s accounting records are maintained on a modified accrual basis. Revenues are recorded when measurable and available and expenditures are recorded when goods or services are received, and the liability incurred. The annual budget serves as the foundation for the City of Susanville’s financial planning and control. The annual budget is legally required to be adopted by July 1 of each year and is appropriated at the fund level.
City Council may appropriate, amend or transfer funds by an affirmative vote of three councilmembers at any regular or special council meeting, with the transfer of some Bizz Johnson Trail
76 iii
restricted funds requiring a 4/5ths vote. The City Administrator is authorized to transfer between departments of the General Fund and department heads have the authority to transfer between most line items within their respective budgets.
Factors Affecting Financial Condition
The General Fund revenues continued to recover in FY 2021-22 from the economic effects of the COVID-19 pandemic. Continued growth is expected as the recovery process is expected to continue over the next five years. On March 11, 2021, the American Rescue Plan Act of 2021 (ARPA), was signed into law. The City of Susanville received an allocation of $3,590,711 with the first payment in July of 2021, and a second and final was received in July 2022. The COVID-19 pandemic affected sales and use taxes considerably during FY2019-2020, seeing a drop in sales tax of 15.7% from FY2018-19. The City began to see a recovery of these taxes during FY2020-21, increasing 7.8% over preCOVID (FY2018-19) levels, and again saw an increase of 14.9% in FY2021-22. COVID-19 also affected room tax (TOT), dropping 15% from 18/19 to 19/20, with 2020-21 remaining stable comparatively to 2019-20. In 2020-21, the City saw growth of 9.6%, which could be attributed to the Dixie Fire, as Susanville was a base of operations for fire personnel from July-September 2021. Due to the inflationary impacts, we expect to see continued growth in sales tax for FY2022-23.
On April 13, 2021, the California Department of Corrections and Rehabilitation (CDCR) announced its intention to close the California Correctional Center (CCC) by June 30, 2022. As the 2nd largest employer in the city, this raised considerable concerns regarding the economic impacts this would have on the community. The City of Susanville filed a Writ of Mandamus and an Application for a Temporary Restraining Order against CDCR, Secretary of the Department Kathleen Allison, and Governor Gavin Newsom to stop the closure of CCC, based upon the failure to conduct review under CEQA prior to making the decision to close. On September 16, 2021, the Lassen County Superior Court issued a preliminary injunction suspending CDCR from performing any acts to further the closure of CCC. In June of 2022, the governor’s budget included a trailer bill that modified penal codes sections upon which the city based its lawsuit. The penal code specifically names the CCC for closure, exempted prison closures from the environmental review process, 77 iv
and prohibits cities and counties from taking any action against the state regarding a closure. The preliminary injunction was dissolved on September 7, 2022, and the closure completed on June 30, 2023. Despite the closure, the non-incarcerated population of Susanville only saw a decrease of 3% from 2020 to 2021 according to the California Department of Finance. Possible causes of the moderate decline in population include the following:
• High Desert State Prison was able to absorb many of the employees that were displaced as part of the closure.
• Influx of new residents as a result of the pandemic, low housing cost, and wildfire destruction of nearby communities.
The three major sources of General Fund revenue include sales and use tax, property tax and property tax in-lieu of vehicle license fees. These three revenue sources account for approximately 68% of the General Fund revenues.
Sales and Use Tax
Sales and use tax is the City’s largest source of revenue, representing approximately 30% of all General Fund revenues. Sales and use tax increased 17.5% over FY2021/22. The ongoing recovery from the COVID-19 pandemic was also aided by the robust fire season that the city saw with the Dixie Fire located just outside of city limits, drawing large quantities of fire personnel into the community.
The City placed a sales and use tax ballot measure on the June 7, 2022, ballot. Voters passed the measure to maintain and enhance existing public safety services (police and fire) and provide funding to support street infrastructure improvements. The funds will also 78 v
be used to support economic development efforts designed to increase businesses, jobs and visitors to Susanville. The general tax measure of 1% is estimated to generate $1.8 million in annual revenue for FY 2022-23 with the tax taking effect October 1, 2022. FY 2023-24 anticipates $2.4 million in revenues from sales tax as it will be collected for the entire fiscal year.
Property Tax
Property taxes represent approximately 16% of all general fund revenues. Property tax revenue increased by 10.7% over the previous fiscal year primarily due to continuing growth in property values. Housing sales are up as real property transfer taxes continues to grow and local realtors are stating that inventory is low. Continued growth in new housing construction and commercial development continues to be uncertain, but development projects are currently underway. Although there has been an influx of pandemic related migration into Susanville in addition to wildfire related relocations, the CCC closure expected to result in a mass exodus of residents because the city has no comparable alternative job sector for CCC employees within a reasonable commuting distance. As the closure was recently completed, the City will be monitoring population and other economic indicators to evaluate the long-term implications of the closure.
Property Tax In-Lieu of Vehicle License Fees
Property tax in-lieu of VLF represents approximately 22% of all General Fund revenues.
This revenue increased by 4.7% from the previous year due to the increased assessed value of taxable properties in the city.
Long Range Planning
In the forthcoming fiscal year, the City plans to use a five-year fiscal planning forecast.
This forecast will assist in identifying important trends and understanding the long-term consequences of budget decisions.
Major Initiatives
Managing Rising Pension Costs
The City of Susanville, like many municipalities throughout the state, is facing rising CalPERS pension costs. This is primarily related to the changes in CalPERS actuarial assumptions which include changes to discount rate, amortization policies, mortality rates, and the implementation of risk mitigation strategies. The City’s FY 2021-22 contribution for the unfunded accrued liability (UAL) portions of pension costs was $1,017,592. This represents an increase of $174,027 from the previous year. Pending any additional changes to the actuarial assumptions, these payments would have continued to ramp up through FY 2031/32. The CalPERS side fund loan was paid off in 2019/20 with reserve cash that was borrowed from the natural gas system. In 2021-22, the City of Susanville successfully refinanced 90% of its current CalPERS UAL obligations in the amount of $10,601,500, stabilizing the interest rate and reducing annual payments. Total principal and interest payments on these loans is now $743,060. This refinance is estimated to save approximately $200,000 in FY 2022-23 compared to what the city paid in FY2021-22. The City is continuing to identify other ways to stabilize the City against these rising costs by creating other funding resources, such as a Section 115 trust. 79 vi
Future and on-going projects
• Technology assessment and security upgrades for various city offices. • 5-year plan for the General Fund
• Economic development to bring growth and business to the community • Strategic planning for each department to identify needs for ongoing development • Funding deferred capital improvements
• Federally funded pavement rehabilitation projects throughout the city including programming of funds for the Southeast Gateway project to improve aesthetics and safety features along Highway 36/Main Street
• Replacing water lines throughout the city using the reserves created by the increase in water rates in 2017 and completing phase one of a water delivery project utilizing $1.7 million in state water funds to improve water infrastructure. • Establishing a Section 115 trust to protect the city against rising pension costs • Improved economic vitality through promotion of recreation activities for residents and visitors as well as attracting new businesses.
• Water tank Inspection and maintenance project
• Natural gas cross bore investigations, system mapping, and video record-keeping • Water rate evaluation and calculations report
• Natural gas 5-year plan
• City Transportation Infrastructure Maintenance Plan
• Rehabilitation of Memorial Park
• Susan River Trail rehabilitation
• Continued transition to online payment options for city services Acknowledgments
We wish to express our thanks and appreciation to members of the City Council and department heads for their leadership, interest, and continued support in planning and conducting the financial operations of the City of Susanville in a responsible and prudent manner in the best interests of the citizens of Susanville. We would also like to thank the city staff for their continued dedication to improving our wonderful city.
Respectfully submitted,
Dan Newton Chandra Jabbs
City Administrator Finance Director
80 CITY COUNCIL
ADMINISTRATIVE
SERVICES
FINANCE
ACCOUNTING,
ACCOUNTS
PAYABLE,
ACCOUNTS
RECEIVABLE,
REVENUES,
PAYROLL,
UTILITY
BILLING
CITY
CLERK
AGENDAS,
MINUTES,
ELECTIONS, RISK
MANAGEMENT,
RECORDS
MANAGEMENT,
PERSONNEL
GOLF
COURSE
FIRE
FIRE
PREVENTION
FIRE
FIGHTERS
VOLUNTEERS
POLICE
SWORN
OFFICERS
NON‐SWORN
PERSONNEL
PUBLIC
WORKS
ENGINEERING
AIR
POLLUTION
CODE
ENFORCEMENT
COMMUNITY
DEVELOPMENT
BUILDING &
PLANNING
POOL AIRPORT OPERATIONS
PARKS,
GROUNDS,
BUILDING
MAINTENANCE
STREETS
GEOTHERMAL
WATER
NATURAL
GAS
CITY
ATTORNEY
PUBLIC
CITY ADMINISTRATOR
Organization Chart
vii
81 City Council
Fiscal Year 2021-22
_________________________________
Council Members
Quincy McCourt– Mayor
Thomas Herrera – Mayor Pro-Tempore
Kevin Stafford
Mendy Schuster
Russ Brown
viii
82 City of Susanville
Executive Staff
City Administrator Dan Newton
City Clerk Heidi Whitlock
Fire Chief James Moore
Police Chief Ryan Cochran
Public Works Director Robert Godman
Finance Manager Chandra Jabbs
ix
83 FINANCIAL SECTION
84 Independent Auditor’s Report
The Honorable City Council
City of Susanville, California
Report on the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities, business-type activities, each major fund, and the aggregate remaining fund information of the City of Susanville (City), as of and for the year ended June 30, 2022, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the governmental activities, business-type activities each major fund, and the aggregate remaining fund information of the City of Susanville, as of June 30, 2022, and the respective changes in financial position, and, where applicable, cashflows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of America 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 Financial Statements section of our report. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
Change in Accounting Principle
As described in Note 1 to the financial statements, in 2022, the City adopted new accounting guidance, GASB Statement No. 87, Leases. Our opinion is not modified with respect to this matter.
Responsibilities of Management 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, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to error or fraud. 11 85
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.
Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with 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 financial statements.
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 financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, no such opinion is expressed. Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis and other required supplementary information, as listed in the table of contents, be presented to supplement the basic financial statements. Such information is the responsibility of 22 86
management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The accompanying combining statements and budget schedules, as listed in the table of contents, are presented for purposes of additional analysis and are not a required part of the basic financial statements.
Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the combining statements, as listed in the table of contents, are fairly stated, in all material respects, in relation to the basic financial statements as a whole.
Other Information
Management is responsible for the other information included in the annual report. The other information comprises the introductory and statistical sections but does not include the basic financial statements and our auditor’s report thereon. Our opinions on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon.
In connection with our audit of the basic financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the basic financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report.
Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued a report dated November 30, 2023, on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters.
The purpose of that report is 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 internal control over 3 87
financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance.
November 30, 2023
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City of Susanville
Management’s Discussion & Analysis
Year Ended June 30, 2022
This is the management’s discussion and analysis of the financial performance of the City of Susanville for the fiscal year ended June 30, 2022. Please read this in conjunction with the transmittal letter, which can be found in the introductory section of this report, and with the city’s financial statements, which follow this discussion.
BASIC FINANCIAL STATEMENTS
The basic financial statements, including the accompanying notes, constitute the core of the city’s financial section. The fiscal year of the City starts on July 1 and ends on June
30. This report includes a blend of fund accounting and government-wide financial reporting. The basic financial statements presented are:
Government-wide
Governmental funds
Proprietary funds
Fiduciary funds
A fund is a group of related accounts that is used to maintain control over resources that have been segregated for specific activities and objectives.
Government‐Wide Financial Statements
Generally accepted accounting principles (GAAP) for state and local governments prescribe two basic government-wide financial statements:
Government-wide Statement of Net Position
Government-wide Statement of Activities
The government-wide financial statements include all governmental and business type activities of the City, but not its fiduciary activities. 5 89
The government-wide Statement of Net Position is the basic government-wide statement of all the City’s assets, liabilities, and net position. The difference between assets and liabilities on the Statement of Net Position is referred to as net position (rather than equity).
GAAP requires that the primary government’s governmental activities be reported separately from its business-type activities. Business-type activities include enterprise funds. Internal service funds are included as part of governmental activities. GAAP requires that the government-wide Statement of Net Position provide a total column for the primary government. All internal balances (payables and receivables between governmental activities) are generally eliminated from this total column.
The government-wide Statement of Activities is used to report changes in the net position reported in the government-wide Statement of Net Position. This statement presents expenses before revenues. This is to emphasize that in the public sector, revenues are generated for the purpose of providing services rather than maximizing revenues as the ultimate goal.
Direct expenses - The first column of the government-wide Statement of Activities presents direct expenses associated with each of the city’s functional activities.
Examples of functions are: general government, public safety, streets & public works, planning, community services and recreation, and community development.
Indirect expenses - GAAP does not require governments to allocate indirect expenses to their various functional activities.
Program revenues - Some programs are directly financed, in whole or in part, by resources generated by or dedicated to the program. GAAP requires that such program revenues be presented separately. Examples of program revenues include charges for services, fees, permits, licenses, fines, grants, contributions, donations, etc. that are restricted to specific programs.
General revenues - All revenues that do not qualify as program revenues are reported as general revenues. Examples of general revenues are: property taxes, sales taxes, transient lodging taxes, franchise taxes, business license taxes, and use of money and property.
Governmental Fund Financial Statements
GAAP requires two basic governmental fund financial statements:
Governmental Funds Balance Sheet
Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balances
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The difference between the assets and liabilities of governmental funds is reported as fund balance. Fund balance is divided into non-spendable, restricted, committed, assigned and unassigned.
GAAP requires that each major fund be reported in a separate column. The General Fund is always considered a major fund. All other non-major governmental funds are aggregated and reported in a single column regardless of fund type. A fund is considered major if it meets both of the following criteria:
1. 10% Criterion – An individual fund reports at least 10 percent of any of the following:
Total governmental fund assets
Total governmental fund liabilities
Total governmental fund revenues
Total governmental fund expenditures
Total governmental fund net position
2. 5% Criterion – An individual fund reports at least 5 percent of the aggregate total for both governmental funds and enterprise funds of any one of the items for which it met the 10 percent criterion.
A budgetary comparison is presented for the General Fund for which an annual budget is legally adopted. The budgetary comparison includes the original appropriated budget, the final amended budget and actual amounts. For the purposes listed above, the major governmental funds for the City are the General Fund and the Streets and Highways fund.
For a listing of non-major governmental funds, please refer to the supplementary information in the financial statements.
Proprietary Fund Financial Statements
GAAP prescribes three basic financial statements for proprietary funds:
Statement of Net Position
Statement of Revenues, Expenses, and Changes in Net Position Statement of Cash Flows
GAAP requires the same major fund reporting for enterprise funds described earlier for governmental funds. GAAP also indicates that internal service funds are never to be reported as major funds. Although internal service funds are proprietary funds (like enterprise funds) they are consolidated as part of governmental activities in the government-wide financial statements because their primary customers are typically the governmental operations. Therefore, internal service funds are reported in a separate aggregated column on the proprietary fund financial statements. The major proprietary funds for the City are the Natural Gas fund and the Water fund. For a listing of the non-major proprietary (enterprise) funds, please refer to the Supplementary Information pages in the financial statements.
7 91
Fiduciary Fund Financial Statements
Fiduciary fund financial statements provide information about the financial relationships in which the City acts solely as a trustee or agent for the benefit of others, to whom the resources in question belong.
GAAP prescribes up to two basic financial statements for fiduciary funds:
Statement of Fiduciary Net Position
Statement of Changes in Fiduciary Net Position
Fiduciary funds are never reported as major funds. Therefore, the focus of reporting for the fiduciary fund financial statements is the various fund types. That is, the statement should present one column for each fund type reported. The City’s only fiduciary funds are custodial funds.
The Statement of Changes in Fiduciary Net Position is unique in that all changes in net position are classified as either additions or deletions. The City has three fiduciary funds:
Lassen County Air Pollution Control District, Integrated Regional Water Management Plan (IRWMP), and Lassen Local Agency Formation Commission.
ANALYSIS OF GOVERNMENT‐WIDE FINANCIAL STATEMENTS
Net position acts as an indicator of a government’s financial position. Overall, the net position of the City shows an increase from the prior fiscal year. Assets exceeded liabilities by $17.5 million as of June 30, 2021 ($3.5 million for governmental activities and $13.9 million for business-type activities), and by $22.1 million as of June 30, 2022 ($7.6 million for governmental activities and $14.4 million for business-type activities).
In fiscal year 2021-22, Cash and Investments increased by $5,227,600, ($4,182,201 in governmental activities and $1,045,099 in business-type activities), and restricted Cash and Investments decreased by $4,762. Deferred outflows of resources increased by $9,987,518 ($7,769,239 in governmental activities and $2,218,279 in business-type activities). Capital Assets increased by $1,598,689 from FY2020-21. Governmental activities included the purchase of a Quint Ladder Truck for the Fire Department, a grader for the Streets department, and a new police vehicle. Business-type activities included the purchase of a new vehicle for the gas division and new meter reading software for the gas and water. In fiscal year 2021-22, liabilities increased by $5,522,740, ($2,505,186 in governmental activities and $3,017,554 in business-type activities). The large increase in liabilities can be attributed to the refinancing of the CalPERS Unfunded Accrued Liability (UAL) which was completed in April of 2022.
Governmental activities are generally financed through taxes and intergovernmental revenues. These activities are reported in the governmental funds (General Fund, special revenue funds, capital projects funds, debt service funds) and internal service funds.
Business-type activities are generally funded through user fees and charges. These activities are reported in the proprietary funds.
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Tables A-1 and A-2 on the following pages, present a summary of the City’s statements of Net Position as of June 30, 2021 and 2022.
Table A-1
Government-wide Net Position as of June 30, 2021 and 2022 Governmental Activities
2021 2022
Cash & Investments 4,742,381 8,924,582
Capital Assets 10,034,852 10,479,762
Other Assets 1,758,973 571,861
TOTAL ASSETS $16,538,227 $19,976,205
Deferred Ouƞlows of Resources 2,861,834 10,631,073
Current liabiliƟes 985,345 1,394,975
Net pension liabiliƟes 12,345,510 6,679,535
Other non‐current liabiliƟes 2,005,552 9,467,083
TOTAL LIABILITIES $15,336,407 $17,541,593
Deferred Inflows of Resources 814,850 5,439,983
Net investment in Capital Assets 8,389,623 9,016,992
Restricted 3,534,116 3,580,027
Unrestricted (8,376,956) (4,971,317)
TOTAL NET POSITION $3,546,783 $7,625,702
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Table A-2
Government-wide Net Position as of June 30, 2021 and 20223 Business‐type Activities
2021 2022
Cash & Investments 8,649,422 9,694,521
Capital Assets 30,354,254 31,508,033
Other Assets 3,747,883 4,434,159
TOTAL ASSETS $42,753,580 $45,636,713
Deferred Ouƞlows of Resources 2,052,092 4,270,371
Current liabiliƟes 1,446,598 2,611,415
Net pension liabiliƟes 1,319,951 1,689,406
Other non‐current liabiliƟes 28,027,343 29,510,625
TOTAL LIABILITIES $30,793,892 $33,811,446
Deferred Inflows of Resources 83,793 1,615,897
Net investment in Capital Assets 3,136,200 4,823,903
Restricted 0 0
Unrestricted 10,789,766 9,655,838
TOTAL NET POSITION $13,925,966 $14,479,741
The Statement of Activities presents program revenues and expenses and general revenues in detail. These elements are summarized for the year ended June 30, 2021 and 2022 in Tables B-1 and B-2 on the following pages.
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Table B-1
Changes in Government-wide Net Position
For the Fiscal Years Ended June 30, 2021 and 2022
Governmental Activities
2021 2022
Expenses (by FuncƟon)
General Government 837,240 668,276
Public Safety 6,120,015 4,365,037
Streets 1,273,293 1,305,474
ProtecƟve InspecƟons 176,004 244,339
Community services 410,160 513,650
Community development 159,255 236,045
Interest 56,661 245,702
TOTAL EXPENSES $9,032,628 $7,578,523
Program revenues (by major source)
Charges for services 1,301,616 1,326,657
OperaƟng grants and contribuƟons 933,086 2,677,707
Capital grants and contribuƟons 1,503,002 1,398,349
TOTAL PROGRAM REVENUES $3,737,704 $5,402,713
General revenues and transfers
Property Taxes 1,081,577 1,198,106
Property Tax in lieu of VLF 1,580,790 1,655,849
Sales & Use 1,967,257 2,309,006
Transient lodging taxes 454,622 503,097
Franchise taxes 2,753 13,364
Business license taxes 265,769 539,663
Other taxes 32,901 25,799
Investment earnings 25,103 ‐71,740
Miscellaneous Income 0 0
Transfers (15,000) 81,585
TOTAL GENERAL REVENUES AND TRANSFERS $5,395,772 $6,254,729
Change in net posiƟon 100,848 4,078,919
Net posiƟon, beginning of year 3,445,935 3,546,783
Net posiƟon, end of year $3,546,783 $7,625,702
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Table B-2
Changes in Government-wide Net Position
For the Fiscal Years Ended June 30, 2021 and 2022
Business‐type Activities
2021 2022
Expenses (by FuncƟon)
Airport 276,776 281,288
Water 2,327,176 3,419,890
Geothermal 91,969 139,023
Natural Gas 3,531,090 4,786,890
Golf Course 289,892 331,085
TOTAL EXPENSES $6,516,903 $8,958,176
Program revenues (by major source)
Charges for services 7,829,778 8,290,086
OperaƟng grants and contribuƟons 0 0
Capital grants and contribuƟons 0 1,286,912
TOTAL PROGRAM REVENUES $7,829,778 $2,725,006
General revenues and transfers
Miscellaneous 56,166 0
Investment Income 0 16,538
Transfers 15,000 (81,585)
TOTAL GENERAL REVENUES AND TRANSFERS $71,166 ($65,047)
Change in net posiƟon 1,384,041 553,775
Net posiƟon, beginning of year 12,541,925 13,925,966
Net posiƟon, end of year $13,925,966 $14,479,741
At June 30, 2022, the total cash and investments for all funds increased by $5,299,600 (from $13,391,803 to $18,619,103). The primary reasons for this increase are:
General Fund cash increased by $2,717,638, (from $1,650,231 to $4,367,869) during fiscal year 2021/22. This increase is primarily due increased tax receipts over the year. Additionally, accounts receivable decreased by $1,035,083 as grant projects were completed and final payments were received. The American Rescue Plan Act (ARPA) funds were received by the city during fiscal year 2021/22 in the amount of $1,029,635. This is the first of two traches of funds to be received through the ARPA allocation, with the second payment set to be received in 2022/23.
The Streets Gas Tax Fund cash increased by $16,535. This is primarily due to an increase in allocation for the State Highway Users Tax. 12 96
The Water Fund cash and investments increased by $471,912 (from $3,399,364 to $3,871,276). This is primarily due to a decrease in cash flow from capital financing activities as funds were received from the debt issuance for the CalPERS UAL.
The Natural Gas Fund cash and investments increased by $557,302 (from $4,777,248 to $5,334,550). Receipts from customers increased by $464,343 as the city experienced record setting usage for the gas system due to a long and cold winter. Payments to Suppliers and Contractors increased by $323,324 as compared to the prior fiscal year. In 2020, the city borrowed $ 3.2 million in cash reserves from the Natural Gas Fund to pay down a higher interest rate CalPERS Side Fund loan with Umpqua Bank. Fund repayments began in 2021, and the Natural Gas Fund received $164,566 in repayments. Balances of this internal borrowing back to the Natural Gas Fund (including interest) are as follows: General Fund $1,954,014 (Administrative Services $372,007, Public Safety Police $1,095,354 and Public Safety Fire $486,656), Streets Fund $169,326, Water Fund $300,262 and Public Works Administration $51,042. The Natural Gas portion of this loan in the amount of $413,000 has been defeased.
Repayment terms and interest rate were adopted by Resolution 20-5785.
ANALYSIS OF MAJOR GOVERNMENTAL FUNDS
Following is a short description of the financial highlights for each of the city’s major governmental funds for fiscal year 2021-22:
General Fund
The fiscal year 2021-22 annual budget began with a continuing resolution adopted and approved on June 30, 2021 by Resolution 21-5898 and with the final operating budget adopted and approved on August 4, 2021 by Resolution 21-5904 with a budgeted deficit of $256,800. Prior to FY 22-23 the city’s annual budgets projected deficit spending each year; however, the city never concluded a fiscal year in deficit. The deficit budget decreased by $567,171 from FY2020-21 to FY2021-22, as staff thoroughly analyzed all sources of funding to ensure that positions were budgeted correctly within the appropriate funds and included any potential grant sources. All adopted positions are included in the budget and current revenues are not sufficient to cover the increasing costs to CalPERS unfunded liability, bargained employee increases and needs of each department.
The reserve fund at June 30, 2022 was $1,406,022. As part of the budget policies adopted by Resolution No. 21-5904, the city will strive to maintain General Fund reserve equal to twenty percent (20%) of annual operating revenues. 13 97
BUDGET VARIANCES IN THE GENERAL FUND
Original
Budget Final Budget Difference Actual Actual vs Final Budget Revenues 6,427,129 6,676,964 $249,835 7,538,515 861,551 Expenditures (6,924,822) (7,451,916) (527,094) (6,647,210) (804,706) Other Financing Sources and (uses):
Issuance of Debt 0 0 0 8,279,512 8,279,512
Transfers In 586,950 586,950 0 664,866 77,916
Transfers out (407,324) (477,324) ($70,000) (305,080) (172,244) Net change in Fund
Balance (318,067) (665,326) (347,259) $950,027 $8,242,029 After the 2021-22 budget was adopted, the city council approved several budget amendments. Changes throughout the year resulted in the final budget. Changes were as follows:
Revenues
3,170 Resolution 21-5925 Carryover (606 Nevada Purchase/Remodel) 5,000 2021 Calrecycle Grant
350,000 Increase sales tax revenues
2,000 Bullet Proof Vest grant program
-45,000 Remove estimated transfer in for grants (actuals below) 48,400 AFG Grant
1,000 Walmart Donation
500 Rice Donation
5,368 Increase budget for grant
7,931 Vehicle purchase
8,279,512 CalPERS UAL Refinance
5,000 2022 Calrecycle Grant
7,700 IGA/Soroptomist Donation
13,059 Soroptomist Donation
1,000 Walmart Donation
$8,684,640
Expenditures
700 Resolution 21-5925 Carryover (606 Nevada Purchase/Remodel) 12,500 Covid Supplies
5,000 2021 Calrecycle Grant
111,247 Removed Vacancy Rates
18,200 Increased Insurance Costs
18,072 Increase City HLVRA Budget
27,835 Increase pool budget to meet minimum wage
70,000 RMRA MOE match
2,000 Bullet Proof Vest grant program
7,000 Increase for professional services
3,482 K9 budget
5,368 Increase budget for grant
6,000 MOU changes for xrays
7,931 Vehicle purchase
25,000 Boiler project increase – Fire Department
5,000 2022 Calrecycle Grant
1,000 Walmart Donation
8,042,758 CalPERS UAL Refinance
$8,369,093
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As of June 30, 2022, total General Fund revenues and other financing sources were $16,076,490 or $906,762 more than budgeted. This budget vs actual variance is primarily due to receiving $291,531 more in Sales and Use Tax, $123,097 more in TOT tax, $328,916 more in Business License tax, and $180,609 more in Property Tax. Out of Area Fires revenues were $207,854 more than budgeted.
Actual expenditures and other financing sources were $14,818,053 or ($1,801,785) less than budgeted. This was primarily due to salary savings throughout the general fund through vacant positions. Vacancies were identified in the Finance division (2), Administration (1), Police (2) and Fire (1). The Police Department saw an overall savings of $397,745 primarily in salaries and interest , and savings in the dispatch contract as our contract with the County of Lassen is based upon actual expenses, and there were multiple vacancies in their department as well. Savings in Fire Department of $289,197 due to out of area fires and unused grant budget for the hazard materials training as we did not receive the funding. In response to budget short-falls city staff worked diligently on a service reduction plan. Two vacant administrative positions from the Fire Department and the Administrative Services Department were combined into one position. The overall number of full-time benefitted positions was reduced by one, vacancies were temporarily frozen.
The General Fund ended Fiscal Year 2021-22 with an increase in fund balance of $950,027 (from $1,331,864 to $2,281,891) compared to the prior year. This increase in fund balance can be primarily attributed to an increase in sales tax of $291,531, property taxes of $180,610, and out of area fires revenue of $207,854 combined with salary savings from unfilled positions ($516,174) helped to offset an increase in expenditures for CalPERS and professional services.
For the year, General Fund total revenues exceeded total expenditures (excluding transfers) by $1,258,437, as compared to $558,485 for fiscal year 2020-21.
Total General Fund revenues increased from the prior year by $9,097,933 (from $6,978,557 to $16,076,490). Of this amount, $8,279,512 is the issuance of debt for the CalPERS UAL refinancing project. The remaining amount is primarily due to an increase in Property Tax of $192,337 an increase in Sales and Use Tax of $341,749, and an increase in Business Tax of $273,147. Intergovernmental revenues decreased by $39,856 due to lessened out of area fire responses by our Fire Department in the total amount of $632,854. Charges for services increased by $10,302 as compared to the previous.
Compared to the prior year, the General Fund expenditures increased by $227,138 (from $6,420,072 to $6,647,210). The General Fund also had expenditures in the amount of $8,045,978 for the CalPERS UAL refinancing project. General Government expenses decreased by $91,457, Protective Inspections increased by $68,335, Community Services decreased by $136,102 and Community Development decreased by $190,652. Public Safety expenses increased by $259,294 for having a fully staffed fire department, 15 99
increase to PERS of $156,015, and negotiated salary increases. Capital Outlay decreased by $366,582 for the sale of property to the enterprise funds.
General Fund transfers out increased from the prior year by $53,848 (from $251,232 to $305,080). This is primarily due to debt service payments to the Gas fund loan repayment.
Gas Tax Special Revenue Fund
This fund accounts for gas tax revenue received from the State of California and is used for street purposes within the city. The Gas Tax Fund ended fiscal year 2021-22 with an decrease in fund balance of $228,890 (from $417,179 to $188,289 compared to the prior year). Revenues decreased over the previous year by $922,248 from $1,558,439 to $636,191 primarily due to payments from the State of California for various STIP projects. Expenses increased over the previous year by $90,874, from $817,567 to $908,441 as the final retentions for were paid for a major capital outlay for improvements to 13 streets within the city limits under STIP SC-4 and SC-5 projects was completed in 2019-20.
ANALYSIS OF MAJOR PROPRIETARY FUNDS
Following is a short description of the financial highlights for each of the city’s major proprietary funds for fiscal year 2021-22:
Water Enterprise Fund
At June 30, 2022, the Water Fund ending net position shows an decrease of $485,531 (from $6,666,552 to $6,181,021). Overall the assets of the water fund increased by $548,590, excluding Deferred Outflows of Resources. This is primarily due to an increase in cash of $472,259, a decrease in accounts receivable ($54,388), and an increase in interest receivable of $4,571. Non-depreciable assets increased by $600,000 due to the purchase of land for surface water reserve (Barry Reservoir), with the total capital assets increasing $548,590 over the prior fiscal year. $1,489,085 in value comes as contributed capital from the IRWM Agency Fund for use of the Prop 84 grant that was awarded to the city in 2017 and $442,719 from the water fund for additional costs to this project.
The total liabilities increased by $1,378,926, (from $8,130,893 to $9,509,819) mostly due to increases in net pension liability of $246,955, increases in notes payable of $264,554 for the purchase of Barry Reservoir, and increases of bonds payable of $741,937 for the CalPERS UAL refinancing.
Water Fund sales and charges for services decreased by $23,894 (from $3,013,537 to $2,989,643) from the previous year primarily due to water conservation efforts initiated by the State for drought measures. These losses were tempered by water sales generated through metered sales by the fire agencies for fire suppression efforts during the Dixie Fire. Interest income decreased over the prior year by $16,744. 16 100
Total expenses, including interest expense and transfers out increased by $1,108,038 (from $2,327,176 to $3,435,214). This is primarily due to an increase in operating expenses of $1,104,793 due to a refinancing of the CalPERS UAL costs.
There were approximately 3,788 water customer accounts at June 30, 2022.
As with most cities and counties within California, Susanville is not immune from experiencing drought conditions. Susanville, however, is located in the high desert and is accustomed to low rainfall and is not as impacted as the rest of the state. The city’s water supply is fed by two natural springs and 3 wells. The wells are used to meet watering demand during irrigation season, which is typically April through September.
With the exception of peak irrigation season, (June, July, August) the springs (Cady and Bagwell), supply the majority of the city’s water.
Natural Gas Enterprise Fund
The Natural Gas Fund decreased its net position by $68,013 during fiscal year 2021-22 (from $2,483,408 to $2,415,395). The 2021-22 increased in usage with an 18.3% increase in usage than the previous year. Natural Gas sales and charges for services increased by $490,862 due to below average temperatures during the winter months which increased usage. LAIF interest allocation also decreased by $20,270 due to lower returns in the investment fund.
‐
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec
CF of Water Billed
Water Billed by Year
2019 2020 2021 2022
Year Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec
2019 4,603,729 3,244,971 3,131,247 4,877,267 3,417,382 8,016,150 11,587,246 14,975,945 13,633,111 7,026,196 4,917,216 3,605,538 2020 3,475,925 3,265,473 3,535,686 5,879,174 3,600,914 9,561,175 11,873,358 13,517,417 12,253,797 10,603,348 6,609,334 3,218,653 2021 4,048,837 2,464,758 3,832,124 7,881,677 10,318,122 4,970,835 14,150,912 12,195,343 12,874,427 10,090,881 5,733,122 5,481,787 2022 5,618,243 1,625,579 4,207,241 5,813,649 2,565,590 8,689,178 13,588,579 10,508,887 14,312,179 14,945,123 766,477 2,718,397 17 101
Expenses including interest expense and transfers out increased from the previous year by $1,276,070. This is primarily due to increases in administration, billing, and finance services of $847,350 and purchases of natural gas of $398,602.
Total Assets excluding Deferred Outflows, increased by $303,763 (from $24,276,872 to $24,580,635), primarily due to an increase in cash and investments of $561,717 and accounts receivable of $73,519, a decrease in advances to other funds ($164,566), and a decrease in depreciable assets of ($170,443).
Total liabilities increased by $713,146 (from $22,931,942 to $23,645,088), primarily due to an increase in net pension liability of $122,500, an increase in accounts payable of $44,710, an increase in current portion of long-term debt of $59,148, and an increase in bonds payable of $487,191.
During FY 2021-22, natural gas prices began low, but then increased toward the end of the fiscal year. The long-term purchase done in May 2018 covered approximately sixty percent of the City’s wintertime supply and continues again for winter 2022-23. The price is attractively low at $2.54 per MMBtu, or $0.254 per Therm. During winter 2021- 22, additional baseload gas was purchased leading into each month, done to avoid the risk of price volatility in the day-priced market. These purchases ranged from $7.70 per MMBtu in January 2022 to $4.41 per MMBtu in March 2022. Prior to the price increases in 2022, an additional purchase had been done in April 2021. Gas was purchased at $3.09 per MMBtu for winter gas supply during 2023-24 and 2024-25. This purchase covers an estimated 46 percent of supply for those winters. The city continues to strategically 0 5000
10000
15000
20000
25000
30000
35000
40000
45000
JulAugSepOctNovDecJanFebMarAprMayJun
Susanville FY21/22 Gas Supply Portfolio
Monthly Market Priced
Monthly Baseload Priced
$2.54 Fixed Price Gas
18 102
purchase winter gas in advance to avoid wholesale price volatility and to assure price stability for residents.
Beyond wholesale natural gas purchases representing 20% of the expenses for FY 2021- 22, operations and debt service are larger components at 28% each. The pie chart below illustrates the cost component proportions within the Natural Gas Fund.
The city continues to benefit from the refunding of the 2010 natural gas bonds through the 2019 bond refinance. This refunding lowered the interest rate, maintained the defeasance date of 2045, and is saving an estimated $522,000 per year.
The city utilizes the services of Interstate Gas Services, Inc. (IGS), a consulting firm specializing in natural gas. IGS evaluates and monitors the natural gas system operations and its performance, and periodically advises the City on industry changes.
CAPITAL ASSET AND LONG‐TERM DEBT ACTIVITY
For more detailed information, please read this in conjunction with the city’s basic financial statements and related notes, which follow this discussion.
Capital Assets Activity
Capital assets are reported at historical cost. The cost of capital assets includes capitalized interest and ancillary charges necessary to place the asset into its intended location and condition for use. Ancillary charges include costs that are directly attributable to asset acquisition, such as freight and transportation charges, site preparation costs, and professional fees. Donated capital assets are reported at their estimated fair value at the time of acquisition plus ancillary charges if any. 19 103
Capital assets include land, improvements to land, buildings, building improvements, vehicles, machinery, equipment, works of art and historical treasures, infrastructure, all other tangible and intangible assets that are used in operations and that have initial useful lives extending beyond a single reporting period.
Infrastructure assets are long-lived capital assets that normally are stationary in nature and normally can be preserved for a significantly greater number of years than most capital assets. Examples of infrastructure assets include roads, bridges, tunnels, drainage systems, water systems, dams and lighting systems.
The City depreciates its capital assets according to their estimated useful lives and uses a straight-line depreciation method.
The City’s primary capital projects in 2021-22 were the purchase of Barry Reservoir which increases the surface water storage for the city and the purchase of a new Ladder Truck for the fire department through the FEMA Assistance to Firefighters Grants Program.
Long‐term Debt Activity
The principal amount of the City’s outstanding debt at June 30, 2022 was as follows:
2019 Refunding Revenue Bonds $19,030,000 Secured by natural gas and water revenues
City Hall Bonds $677,770 Secured by 2013 lease financing agreement with Compass Bank
USDA Note $718,000 Secured by Water Fund Infrastructure Community Pool Debt Service $785,000 Secured by General Fund gross revenues On May 1, 2022, the City entered into Series 2022A and Series 2022B lease agreements in the aggregate amount of $10,601,500 to provide funds to pay a portion of the City’s UAL with CalPERS relating to the City’s pension benefits. Proceeds from the obligations, less costs of issuances were immediately transferred to CalPERS to pay a portion of the UAL. Repayment of these agreements will begin on October 1, 2022, with the final lease payments to be made in 2042.
Scheduled principal repayments of $1,249,626 were made during fiscal year 2021-22.
The 2013 CalPERS Refunding loan outstanding principal balance of $3,390,000 was paid in full in June of 2020. The City used reserve cash funds from the natural gas system to repay this loan through an internal borrowing from the General Fund, Water Fund, Streets Fund and Public Works Administration Fund. All debt service principal and interest payments are current. For more detailed information, please refer to the notes to the financial statements for long-term debt.
20 104
SUMMARY OF KNOWN FACTS, DECISIONS AND CONDITIONS
The City of Susanville, like most cities is facing skyrocketing CalPERS costs. Revenue growth is low compared to increasing expenses and the City was greatly concerned with revenue generation prior to the announced closure of the California Correction Center.
The city saw sales and use tax and TOT tax decreases of approximately 15% from 18-19 to 19-20. Fiscal year 2020-21 saw gains in our Sales Tax of 7.8%, and again in Fiscal Year 2021-22 we saw gains of 14.9%. TOT remained level from 19-20 to 20-21, but we had significant growth in 21-22 of 9.6% due to the Dixie Fire in July-September 2021, which helped our local motels with occupancy with fire personnel.
One of the primary goals during 21-22 was to refinance our CalPERS Unfunded Accrued Liability to maintain more manageable payments during the CalPERS ramp up period.
The refinance was completed in May of 2022. This refinance is anticipated to save approximately $150,000 during the first year, and increase each year thereafter.
While the winter of 22-23 proved to be one of the wettest winters on record, it is not sufficient to pull the area out of drought conditions, so concerns are still valid for fire events. However, revenues from out of area fire personnel, will be less in FY2022-23 as the fire season was not as prominent.
The City asked voters in June 2022 for a 1% sales and use tax increase to be a general tax. The measure passed along with advisory measure Q which stipulated that the usage of funds be used primarily to maintain and enhance existing public safety services (police and fire) and provide funding to support street infrastructure improvements, and provide funding to support economic development efforts designed to increase businesses, jobs and visitors to Susanville. The city began receiving the additional sales tax in October of 2022.
On September 5, 2019, the City issued the 2019 Refunding Natural Gas and Water Bonds, defeasing the 2010 Series A and Series B Bonds. This bond issuance reduced the interest rate, maintained the current maturity dates, reduced rate stabilization funds, and gave the Water Fund an estimated annual savings of $118,307 and the Natural Gas Fund a savings of $521,619.
The City Council adopted a continuing budget for fiscal year 2022-23 on June 29, 2022, with the final budget approval on September 21, 2022. The budget reflects council priorities and maintains the same level of services provided in fiscal year 2021-22. It also incorporated the passage of the 1% sales and use tax increase. The General Fund expenditures budget for fiscal year 2022-23 is $615,289 is 7.75% more than the prior fiscal year. The increase (from $7,933,259 in fiscal year 2021-22 to $8,548,545 in fiscal year 2022-23) reflects funding all approved positions within the budget including a new Economic Development Director, increases in negotiated salaries are part of unit salary negotiations, increases to public safety spending for dispatch/animal control contract increases and grant matches. General Fund budgeted revenues are projected to increase 21 105
7%, (from $6,438,779 in 2021-22 to $7,574,609) with increases in sales and use tax, and property tax.
CONTACTING CITY MANAGEMENT
This annual financial report is intended to provide citizens, taxpayers, investors, and creditors with a general overview of the city’s finances. Questions about this report should be directed to the Administrative Services Department, at 66 North Lassen Street, Susanville, California 96130.
22 106
BASIC FINANCIAL STATEMENTS
107
City of Susanville
Statement of Net Position
June 30, 2022
Governmental Business-type
Activities Activities Total
ASSETS
Cash and Investments 8,924,582 $ 9,461,741 $ 18,386,323 $ Restricted Cash and Investments - 232,780 232,780
Accounts Receivable 1,586,940 1,614,001 3,200,941
Interest Receivable 14,283 18,009 32,292
Prepaid Items 102,770 5,319 108,089
Prepaid Bond Insurance - 88,706 88,706
Internal Balances (2,174,386) 2,174,386 -
Inventory 36,355 68,636 104,991
Due From Other Governments - 465,102 465,102
Leases Receivable 184,004 - 184,004
Loans Receivable 821,895 - 821,895
Capital Assets, Not Depreciated 3,743,500 5,394,794 9,138,294 Capital Assets, Depreciated, Net 6,736,262 26,113,239 32,849,501 Total Assets 19,976,205 45,636,713 65,612,918
DEFERRED OUTFLOWS OF RESOURCES
Deferred Charges on Refunding - 1,669,019 1,669,019
Deferred Outflows Related to Pensions 10,631,073 2,601,352 13,232,425 Total Deferred Outflows of Resources 10,631,073 4,270,371 14,901,444
LIABILITIES
Accounts Payable 389,811 1,047,254 1,437,065
Accrued Liabilities 358,367 8,559 366,926
Interest Payable 16,202 79,017 95,219
Deposits Payable 20,699 232,780 253,479
Unearned Revenue - 34,600 34,600
Long-Term Liabilities:
Due Within One Year 609,896 1,209,205 1,819,101
Due in More Than One Year 16,146,618 31,200,031 47,346,649 Total Liabilities 17,541,593 33,811,446 51,353,039
DEFERRED INFLOWS OF RESOURCES
Lease Related 184,004 - 184,004
Deferred Inflows Related to Pensions 5,255,979 1,615,897 6,871,876 Total Deferred Inflows of Resources 5,439,983 1,615,897 7,055,880
NET POSITION
Net Investment in Capital Assets 9,016,992 4,823,903 13,840,895 Restricted for:
Public Safety 254,198 - 254,198
Parks & Recreation 154,318 - 154,318
Housing and Economic Development 818,096 - 818,096
HOME Program 771,265 - 771,265
Traffic Safety 41,499 - 41,499
Traffic Signals 85,498 - 85,498
Streets and Roads 1,455,153 - 1,455,153
Debt Service - - -
Unrestricted (4,971,317) 9,655,838 4,684,521
Total Net Position $ 7,625,702 $ 14,479,741 $ 22,105,443 The accompanying notes are an integral part of this statement. 23 108
City of Susanville
Statement of Activities
Year Ended June 30, 2022
Charges Operating Capital
for Grants and Grants and
Expenses Services Contributions Contributions
Governmental Activities:
General Government 668,276 $ 62,316 $ 1,795,356 $ - $
Public Safety 4,365,037 895,189 882,026 197,191
Streets 1,305,474 - - 1,200,011
Protective Inspections 244,339 123,573 - -
Community Services 513,650 225,295 - 1,147
Community Development 236,045 20,284 325 -
Interest Expense & Issuance Costs 245,702 - - -
Total Governmental Activities 7,578,523 1,326,657 2,677,707 1,398,349 Business-type Activities:
Water 3,419,890 2,989,643 - -
Natural Gas 4,786,890 4,725,359 - -
Airport 281,288 122,580 - 1,286,912
Golf Course 331,085 361,030 - -
Geothermal 139,023 91,474 - -
Total Business-type Activities 8,958,176 8,290,086 - 1,286,912 Total Primary Government 16,536,699 $ 9,616,743 $ 2,677,707 $ 2,685,261 $ General Revenues:
Taxes:
Property
Sales and Use
Transient Occupancy Taxes
Business License Taxes
Franchise
Other Taxes
Investment Income
Transfers
Total General Revenues and Transfers
Change in Net Position
Net Position - Beginning of Year
Net Position - End of Year
Functions/Programs
Program Revenues
The accompanying notes are an integral part of this statement. 24 109
Governmental Business-type
Activities Activities Total
$ - 1,189,396 $ 1,189,396 $
- (2,390,631) (2,390,631)
(105,463) (105,463) -
(120,766) (120,766) -
(287,208) (287,208) -
(215,436) (215,436) -
(245,702) (245,702) -
(2,175,810) (2,175,810) -
(430,247) - (430,247)
- (61,531) (61,531)
1,128,204 - 1,128,204
- 29,945 29,945
- (47,549) (47,549)
- 618,822 618,822
(2,175,810) 618,822 (1,556,988)
2,853,955 2,853,955 -
2,309,006 2,309,006 -
503,097 - 503,097
539,663 - 539,663
13,364 - 13,364
25,799 - 25,799
(71,740) 16,538 (55,202)
81,585 (81,585) -
6,254,729 (65,047) 6,189,682
4,078,919 553,775 4,632,694
3,546,783 13,925,966 17,472,749
$ 7,625,702 $ 14,479,741 $ 22,105,443
Net (Expense) Revenue and Changes in Net Position
25 110
City of Susanville
Balance Sheet
Governmental Funds
June 30, 2022
Gas Tax ARPA Non-major
General Special Special Governmental
Fund Revenue Fund Revenue Fund Funds Total
ASSETS
Cash and Investments $ 4,367,869 $ 210,703 $ 981,306 $ 2,625,288 $ 8,185,166 Accounts Receivable 976,952 447,678 - 92,240 1,516,870
Interest Receivable 7,688 - - 4,818 12,506
Prepaid Expenditures 40,174 - 48,329 - 88,503
Inventory 36,355 - - - 36,355
Due From Other Funds 52,552 - - - 52,552
Leases Receivable 184,004 - - 184,004 -
Loans Receivable 52,136 - 769,759 - 821,895
Total Assets $ 5,717,730 $ 658,381 $ 1,029,635 $ 3,492,105 $ 10,897,851
LIABILITIES
Accounts Payable $ 180,342 $ 87,767 $ - $ 88,975 $ 357,084 Accrued Liabilities 219,991 - - 219,991 -
Deposits 13,731 6,968 - - 20,699
Due to Other Funds - - - 52,552 52,552
Advances from Other Funds 1,954,018 169,326 - 2,123,344 - Total Liabilities 2,368,082 264,061 141,527 2,773,670 -
DEFERRED INFLOWS OF RESOURCES
Lease Related 184,004 - - 184,004 -
Unavailable Revenues - Grants 154,027 206,031 - 21,046 381,104 Total Deferred Inflows of Resources 338,031 206,031 - 21,046 565,108
FUND BALANCES
Nonspendable 128,665 - 48,329 176,994 -
Restricted 19,590 188,289 981,306 3,313,145 4,502,330
Assigned 250,195 - - 67,772 317,967
Unassigned 2,613,167 - (51,385) - 2,561,782
Total Fund Balances 3,011,617 188,289 1,029,635 3,329,532 7,559,073 Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 5,717,730 $ $ 658,381 $ 1,029,635 $ 3,492,105 $ 10,897,851 The accompanying notes are an integral part of this statement. 26 111
City of Susanville
Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position
June 30, 2022
Fund Balances for Governmental Funds $ 7,559,073
Amounts reported for Governmental Activities in the Statement of Net Position are different because:
Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the funds.
Capital Assets 18,970,965
Accumulated Depreciation (8,491,203)
Long-term liabilities applicable to the City's governmental activities are not due and payable in the current period and accordingly are not reported as fund liabilities. All liabilities, both current and long-term, are reported in the Statement of Net Position. Balances at June 30, 2021:
Compensated Absences (303,440)
Net Pension Liability (6,679,535)
Lease Financing (City Hall Project) (677,770)
Community Swimming Pool Loan (785,000)
Series 2022A & B Lease Agreement (8,279,512)
Interest Payable on Long-term Debt (16,202)
Amounts for deferred outflows and deferred inflows related to the City's Net Pension Liabililty are not reported in the funds:
Deferred Outflows Related to Pensions 10,631,073
Deferred Inflows Related to Pensions (5,255,979)
Other long-term receivables are not available to pay for current period expenditures and, therefore, are reported as unavailable revenue in the funds. 381,104 The internal service funds are used by management to charge the costs of operations to individual funds. The assets and liabilities of the internal service funds are included in Governmental Activities in the Statement of Net Position. 572,128
Net Position of Governmental Activities $ 7,625,702
The accompanying notes are an integral part of this statement. 27 112
City of Susanville
Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds
Year Ended June 30, 2022
Gas Tax ARPA Non-major
General Special Special Governmental
Fund Revenue Fund Revenue Fund Funds Total
REVENUES
Taxes and Assessments 6,143,124 $ - $ - $ - $ 6,143,124 $ Licenses and Permits 114,783 - - - 114,783
Fines and Forfeitures 30,682 - - 13,415 44,097
Investment Earnings (1,119) (401) - (55,675) (57,195)
Intergovernmental 769,480 554,576 1,795,356 1,183,238 4,302,650 Charges for Services 481,565 82,016 - 28,768 592,349
Total Revenues 7,538,515 636,191 1,795,356 1,169,746 11,139,808
EXPENDITURES
Current:
General Government 637,945 - 264,025 - 901,970
Public Safety 4,940,023 - - 189,355 5,129,378
Streets - 769,312 - 53,424 822,736
Protective Inspections 244,339 - - - 244,339
Community Services 434,559 - - 327 434,886
Community Development 185,573 - - 50,472 236,045
Capital Outlay 9,643 139,129 - 1,067,987 1,216,759
Debt Service:
Issuance Costs 195,128 - - - 195,128
Principal - - - 182,459 182,459
Interest and Fiscal Charges - - - 52,620 52,620
Total Expenditures 6,647,210 908,441 264,025 1,596,644 9,416,320 Excess of Revenues Over (Under)
Expenditures 891,305 (272,250) 1,531,331 (426,898) 1,723,488
OTHER FINANCING SOURCES (USES)
Issuance of Debt 8,279,512 - - 8,279,512 -
Transfers In 664,866 70,000 283,380 - 1,018,246
Transfers Out (305,080) (26,640) (501,696) (48,300) (881,716) Total Other Financing Sources (Uses) 8,639,298 43,360 (501,696) 235,080 8,416,042
SPECIAL ITEM
Payment towards Unfunded Pension Liability (7,850,850) - - (7,850,850) - Net Change in Fund Balances 1,679,753 (228,890) 1,029,635 (191,818) 2,288,680 Fund Balances, Beginning of Year 1,331,864 417,179 3,521,350 5,270,393 - Fund Balances, End of Year $ 3,011,617 $ 188,289 $ 1,029,635 $ 3,329,532 $ 7,559,073 The accompanying notes are an integral part of this statement. 28 113
City of Susanville
Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities Year Ended June 30, 2022
Net Change in Fund Balances - Total Governmental Funds $ 2,288,680 Amounts reported for Governmental Activities in the Statement of Activities are different because:
Governmental funds report capital outlay as expenditures. However, in the Statement of Activities, the cost of those assets is allocated over the estimated useful lives as depreciation expense.
Capital Expenditures 1,213,600
Depreciation Expense (768,690)
The issuance of long-term debt provides current financial resources to governmental funds, while the repayment of the principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any effect on net position. The following represent differences in the treatment of long-term debt and related items:
Issuance of Series 2022A & B Lease Agreement (8,279,512) Principal payment on Lease Financing 107,459
Principal payment on Community Swimming Pool Loan 75,000 Some expenses reported in the Statement of Activities do not require the use of current financial resources and therefore are not reported as expenditures in the governmental funds, as follows:
Compensated Absences (10,059)
Net Pension Liability 5,665,975
Accrued Interest Payable 2,046
Amounts for deferred inflows and deferred outflows related to the City's Net Pension Liability are not reported in the funds. This is the net change in these deferred outflows and inflows:
Deferred Outflows Related to Pensions 7,769,239
Deferred Inflows Related to Pensions (4,441,129)
Some revenues reported in the Statement of Activities are not considered to be available to finance current expenditures and, therefore, are not reported as revenues in the governmental funds. 381,104
The change in net position of the internal service funds is reported with governmental activities. 75,206
Change in Net Position of Governmental Activities $ 4,078,919 The accompanying notes are an integral part of this statement. 29 114
City of Susanville
Statement of Net Position
Proprietary Funds
June 30, 2022
Governmental
Activities
Internal Service
Water Natural Gas Airport Nonmajor Totals Funds
ASSETS
Current Assets:
Cash and Investments 3,818,732 $ 5,154,314 $ 114,471 $ 374,224 $ 9,461,741 $ 739,416 $ Accounts Receivable 433,331 356,820 69,985 7,541 867,677 70,070 Interest Receivable 7,476 9,684 197 652 18,009 1,777
Due from Other Governments 465,102 - 746,324 - 1,211,426 - Prepaid Expenses 1,037 4,164 27 91 5,319 14,267
Inventory 16,648 49,455 - 2,533 68,636 -
Total Current Assets 4,742,326 5,574,437 931,004 385,041 11,632,808 825,530 Noncurrent Assets:
Restricted Cash and Investments 52,544 180,236 - - 232,780 - Advances to Other Funds - 2,474,649 - - 2,474,649 -
Prepaid Bond Insurance - 88,706 - - 88,706 -
Capital Assets:
Non-depreciable 1,563,184 - 1,414,379 2,417,231 5,394,794 - Depreciable, net 8,158,160 16,262,607 1,450,324 242,148 26,113,239 - Total Capital Assets 9,721,344 16,262,607 2,864,703 2,659,379 31,508,033 - Total Noncurrent Assets 9,773,888 19,006,198 2,864,703 2,659,379 34,304,168 - Total Assets 14,516,214 24,580,635 3,795,707 3,044,420 45,936,976 825,530
DEFERRED OUTFLOWS OF RESOURCES
Deferred Charges on Refundings 688,375 980,644 - 1,669,019 - - Pension Actuarial Amounts 1,283,580 1,317,772 - 2,601,352 - - Total Deferred Outflows of Resources 1,971,955 2,298,416 - 4,270,371 - -
LIABILITIES
Current Liabilities:
Accounts Payable 56,929 68,170 894,501 27,654 1,047,254 32,727 Accrued Liabilities 8,512 - 47 - 8,559 138,376
Interest Payable 17,096 61,921 - - 79,017 -
Deposits Payable 52,544 180,236 - 232,780 - -
Unearned Revenue - - - 34,600 34,600 -
Current Portion of Compensated Absences 3,018 7,709 - - 10,727 6,257 Current Portion of Long-term Debt 510,910 687,568 - 1,198,478 - - Total Current Liabilities 649,009 1,005,604 894,548 62,254 2,611,415 177,360 Noncurrent Liabilities:
Advances from Other Funds 300,263 - - 300,263 - 51,042
Compensated Absences 9,556 24,410 - - 33,966 25,000
Net Pension Liability 833,600 855,806 - 1,689,406 - -
Notes Payable 982,554 - - 982,554 - -
Bonds Payable 6,734,837 21,759,268 - 28,494,105 - -
Total Noncurrent Liabilities 8,860,810 22,639,484 - 31,500,294 - 76,042 Total Liabilities 9,509,819 23,645,088 894,548 62,254 34,111,709 253,402
DEFERRED INFLOWS OF RESOURCES
Pension Actuarial Amounts 797,329 818,568 - 1,615,897 - - Total Deferred Inflows of Resources 797,329 818,568 - 1,615,897 - -
NET POSITION
Net Investment In Capital Assets 3,328,647 (4,028,826) 2,864,703 2,659,379 4,823,903 - Restricted for Debt Service - - - - - -
Unrestricted 2,852,374 6,444,221 36,456 322,787 9,655,838 572,128 Total Net Position $ 6,181,021 $ 2,415,395 $ 2,901,159 $ 2,982,166 $ 14,479,741 $ 572,128 Enterprise Funds
Business-type Activities
The accompanying notes are an integral part of this statement. 30 115
City of Susanville
Statement of Revenues, Expenses, and Changes in Net Position Proprietary Funds
Year Ended June 30, 2022
Governmental
Activities
Internal Service
Water Natural Gas Airport Nonmajor Totals Funds
OPERATING REVENUES
Sales and Charges for Services 2,989,643 $ 4,725,359 $ 122,580 $ 452,504 $ 8,290,086 $ 1,237,298 $ Total Operating Revenues 2,989,643 4,725,359 122,580 452,504 8,290,086 1,237,298
OPERATING EXPENSES
Purchases of Natural Gas - 1,107,821 - - 1,107,821 -
Administration 2,673,537 2,547,744 119,220 457,086 5,797,587 505,062 Insurance Costs and Claims - - - - - 599,116
Depreciation and Amortization 471,877 422,164 162,068 13,022 1,069,131 - Total Operating Expenses 3,145,414 4,077,729 281,288 470,108 7,974,539 1,104,178 Operating Income (Loss) (155,771) 647,630 (158,708) (17,604) 315,547 133,120
NONOPERATING REVENUES (EXPENSES)
Interest Income (15,324) 33,478 (398) (1,218) 16,538 (2,969) Interest Expense (274,476) (709,161) - - (983,637) -
Total Nonoperating Revenues (Expenses) (289,800) (675,683) (398) (1,218) (967,099) (2,969) Income Before Capital Contributions
and Transfers (445,571) (28,053) (159,106) (18,822) (651,552) 130,151 Capital Contributions - - 1,286,912 - 1,286,912 -
Transfers In - - - - - -
Transfers Out (39,960) (39,960) - (1,665) (81,585) (54,945) Change in Net Position (485,531) (68,013) 1,127,806 (20,487) 553,775 75,206 Net Position, Beginning of Year 6,666,552 2,483,408 1,773,353 3,002,653 13,925,966 496,922 Net Position, End of Year $ 6,181,021 $ 2,415,395 $ 2,901,159 $ 2,982,166 $ 14,479,741 $ 572,128 Business-type Activities
Enterprise Funds
The accompanying notes are an integral part of this statement. 31 116
City of Susanville
Statement of Cash Flows
Proprietary Funds
Year Ended June 30, 2022
Governmental
Activities
Internal Service
Water Natural Gas Airport Nonmajor Totals Funds
Cash Flows from Operating Activities
Receipts from Customers and Users 3,043,684 $ 4,647,425 $ $ 68,441 $ 461,727 $ 8,221,277 $ 1,167,558 Payments to Suppliers and Contractors (1,159,969) (2,201,411) (16,849) (330,847) (3,709,076) (1,172,119) Payments to Employees (1,646,849) (1,668,996) (34,259) (120,819) (3,470,923) 9,043 Net Cash Flows from Operating Activities 236,866 777,018 17,333 10,061 1,041,278 4,482 Cash Flows from Noncapital Financing Activities
Transfers from (To) Other Funds (39,960) (39,960) - (1,665) (81,585) (3,395) Proceeds from Debt Issuance 1,147,229 1,174,759 - - 2,321,988 - Payments Received from (Paid to) Other Funds (19,967) 164,566 - - 144,599 (54,945) Net Cash Flows from Noncapital Financing Activities 1,087,302 1,299,365 (1,665) - 2,385,002 (58,340) Cash Flows from Capital Financing Activites
Acquisition of Capital Assets (600,000) (251,721) (548,310) (1,400,031) - - Capital Grants - - 540,588 540,588 - -
Interest Paid (234,933) (759,944) - - (994,877) -
Proceeds from Debt Issuance 450,000 - - 450,000 -
Payments on Long-term Debt (447,428) (535,000) - (982,428) - - Net Cash Flows from Capital Financing Activities (832,361) (1,546,665) (7,722) (2,386,748) - - Cash Flows from Investing Activities
Interest Received (19,895) 27,584 (517) (1,605) 5,567 (4,264) Net Increase (Decrease) in Cash and Cash Equivalents 471,912 557,302 9,094 6,791 1,045,099 (58,122) Cash and Cash Equivalents - Beginning of Year 3,399,364 4,777,248 105,377 367,433 8,649,422 797,538 Cash and Cash Equivalents - End of Year $ 3,871,276 $ 5,334,550 $ 114,471 $ 374,224 $ 9,694,521 $ 739,416 Reconciliation of Operating Income (Loss) to Net
Cash Provided (Used) by Operating Activities:
Operating Income (Loss) $ (155,771) $ 647,630 $ (158,708) $ (17,604) $ 315,547 $ 133,120 Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by Operating Activities:
Depreciation 471,877 422,164 162,068 13,022 1,069,131 - Changes in Assets and Liabilities:
(Increase) Decrease in Accounts Receivable 54,388 (73,519) (54,139) 2,080 (71,190) (69,740) (Increase) Decrease in Prepaids 1,055 14,431 (1) 63 15,548 313 (Increase) Decrease in Inventory 572 (16,488) - (2,022) (17,938) - (Increase) Decrease in Deferred Outflows - Pensions (1,154,180) (1,156,023) - (2,310,203) - - Increase (Decrease) in Accounts Payable 26,920 44,710 68,066 7,778 147,474 3,129 Increase (Decrease) in Accrued Liabilities 3,004 - 47 (399) 2,652 (67,528) Increase (Decrease) in Deposits Payable (347) (4,415) - - (4,762) Increase (Decrease) in Unearned Revenue - - - 7,143 7,143 Increase (Decrease) in Compenstated Absences (17,695) 4,012 - - (13,683) 5,188 Increase (Decrease) in Net Pension Liability 246,955 122,500 - - 369,455 - Increase (Decrease) in Deferred Inflows - Pensions 760,088 772,016 - - 1,532,104 - Net Cash Provided by Operating Activities $ 236,866 $ 777,018 $ 17,333 $ 10,061 $ 1,041,278 $ 4,482 Noncash Capital and Related Financing Activities
Amortization Related to Long-term Debt $ 49,288 $ 42,637 $ - $ - $ 91,925 $ - Acquisition of Capital Assets on Account - 822,879 - - 822,879 - Business-type Activities
Enterprise Funds
The accompanying notes are an integral part of this statement. 32 117
City of Susanville
Statement of Fiduciary Net Position
Custodial Funds
June 30, 2022
Custodial Funds
ASSETS
Cash and Investments 546,094 $
Accounts Receivable 569,477
Interest Receivable 981
Total Assets 1,116,552
LIABILITIES
Accounts Payable 8,973
Due to City of Susanville 465,102
Total Liabilities 474,075
NET POSITION
Restricted
Held for the Benefit of Others 642,477
Total Net Position $ 642,477
The accompanying notes are an integral part of this statement. 33 118
City of Susanville
Statement of Changes in Fiduciary Net Position
Custodial Funds
June 30, 2022
Custodial Funds
ADDITIONS
Contributions:
Donations and Other Charges 489,409 $
Investment Earnings:
Interest Income (2,092)
Total Additions 487,317
DEDUCTIONS
General and Administrative 538,424
Total Deductions 538,424
Net Increase (Decrease) in Net Position (51,107)
Net Position, Beginning of Year (Restated) 693,584
Net Position, End of Year $ 642,477
The accompanying notes are an integral part of this statement. 34 119
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The basic financial statements of the City of Susanville, California (City) have been prepared in conformity with generally accepted accounting principles (GAAP) as applied to governmental agencies. The Governmental Accounting Standards Board (GASB) is the accepted standard setting body for establishing governmental accounting and financial reporting principles. The more significant of the City’s accounting policies are described below.
A. Financial Reporting Entity
The City of Susanville was incorporated in 1900, under the laws of the State of California.
The accompanying basic financial statements present the financial activities of the City and its component units, entities for which the City is considered to be financially accountable. Blended component units, although legally separate entities are, in substance, part of the City’s operations and data from these units are combined with data of the City. The City has no discretely presented component units. The blended component units have a June 30 year end. The following entity is reported as blended component unit:
The City of Susanville Public Financing Authority (Authority) was established solely to assist the City in the issuance of certain revenue bonds. It is controlled by and financially dependent on the City; its financial activities are accounted for in respective enterprise funds.
B. Government-wide and Fund Financial Statements
The government-wide financial statements (i.e., the Statement of Net Position and the Statement of Activities) report information about the reporting government as a whole, except for its fiduciary activities. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from businesstype activities, which rely to a significant extent on fees and charges for support. Likewise, the primary government (including its blended component units) is reported separately from discretely presented component units for which the primary government is financially accountable. The City has no discretely presented component units.
The Statement of Activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are expenses that are clearly identifiable with a specific function or segment. Program revenues include: 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items that are properly not included among program revenues are reported instead as general revenues.
The underlying accounting system of the City is organized and operated on the basis of separate funds, each of which is considered to be a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditures or expenses, as appropriate. Governmental resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are controlled.
Certain eliminations have been made regarding interfund activities, payables, and receivables. All internal balances in the Statement of Net Position have been eliminated except those representing balances between the governmental activities and the business-type activities, which are presented as internal balances and eliminated in the total primary government column. In the Statement of Activities, internal fund transactions have been eliminated; however, those transactions between governmental and business-type activities have not been eliminated.
Separate financial statements for the City's governmental and proprietary funds are presented after the Government-wide Financial Statements. These statements display information about major funds individually and other governmental funds in the aggregate for governmental and enterprise funds. 35 120
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued C. Measurement Focus, Basis of Accounting, and Financial Statement Presentation The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Under the economic resources measurement focus, all assets and liabilities (whether current or noncurrent) associated with their activity are included on their balance sheets. Under the accrual basis of accounting, revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows.
Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. Operating expenses for proprietary funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. Nonexchange transactions, in which the City gives (or receives) value without directly receiving (or giving) equal value in exchange include property taxes, grants, entitlements, and donations. On an accrual basis, revenue from property taxes is recognized in the fiscal year which the taxes are levied. Revenue from grants, entitlements, and donations is recognized in the fiscal year in which all the eligibility requirements have been satisfied.
When both restricted and unrestricted resources are available for use, it is the City’s policy to use restricted resources first, then unrestricted resources as they are needed.
Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under the current financial resources measurement focus, only current assets and current liabilities are generally included on their balance sheets. The reported fund balance (net current assets) is considered to be a measure of "available spendable resources". Governmental fund operating statements present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Accordingly, they are said to present a summary of sources and uses of "available spendable resources" during a period. Noncurrent portions of long-term receivables due to governmental funds are reported on their balance sheets in spite of their spending measurement focus. However, special reporting treatments are used to indicate that they should not be considered "available spendable resources" since they do not represent net current assets. Recognition of governmental fund type revenue represented by noncurrent receivables is deferred until they become current receivables. Noncurrent portions of other long-term receivables are offset by nonspendable fund balance accounts.
Under the modified accrual basis of accounting, revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, except for principal and interest on general long-term liabilities, claims and judgments, and compensated absences that are recognized as expenditures to the extent they have matured. General capital asset acquisitions are reported as expenditures in governmental funds.
Proceeds of general long-term liabilities are reported as other financing sources.
Property taxes, taxpayer-assessed tax revenues (sales taxes, transient occupancy taxes, franchise taxes, etc.), grant revenues and earnings on investments are all considered to be susceptible to accrual, and so have been recognized as revenues of the current fiscal period. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and available only when cash is received by the government.
As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements.
Exceptions to this general rule are charges between the government’s proprietary funds functions and various other functions of the government. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned.
36 121
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued Fund Classifications
The City reports the following funds as major governmental funds:
General Fund - this is the City's primary operating fund and accounts for all financial resources of the general government, except those required to be accounted for in another fund.
Gas Tax Special Revenue Fund - accounts for the receipt and expenditure of gas tax revenues received from the State of California.
ARPA Special Revenue Fund – accounts for the funds received from the State of California for Coronavirus Relief Funds (CRF) provided in the Federal ARPA Act.
The City reports the following major proprietary funds:
Water Fund - accounts for the activities of providing water to the residents of the City.
Natural Gas Fund - accounts for the activities of providing natural gas to the residents of the City.
Airport Fund – accounts for the activities of the City’s airport.
Additionally, the City reports the following fund types:
Internal Service Funds are used to account for the financing of goods and services provided by one City department to other departments on a cost-reimbursement basis. The City uses internal service funds to account for Public Works administration, risk administration, and retirement benefits.
Fiduciary Funds - The City reports Custodial Funds in the Statement of Fiduciary Net Position. Custodial Funds are used to account for assets held by the City as an agent for individuals, private organizations, and other governmental units. The City maintains three Custodial Funds: LAFCO, Air Pollution District and IRWMG. Custodial funds are accounted for using the accrual basis of accounting and economic resources measurement focus.
D. Cash, Cash Equivalents, and Investments
In order to maximize investment return, the City pools its available cash for investment purposes. The cash management pool is used essentially as a demand deposit account by the participating funds. The City has defined cash and cash equivalents, for purposes of the statement of cash flows, as all deposits and investments purchased with a maturity date of 90 days or less. Investments are stated at fair value (the value at which an investment could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale).
E. Restricted Cash and Investments
Certain restricted cash and investments are held by fiscal agents for the redemption of bonded debt and for acquisition and construction of capital projects. Restricted cash and investments are also reported for customer deposits in the enterprise funds, as applicable.
F. Compensated Absences
In compliance with Governmental Accounting Standards Board Statement No. 16, the City has established a liability for accrued compensatory and vacation time in relevant funds. All vacation is accrued when incurred in the government-wide and proprietary funds financial statements. This liability is established for the current employees at the current rates of pay. If compensatory and vacation time are not used by the employee during the term of employment, compensation is payable to the employee at the time of retirement. Such compensation is calculated 37 122
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued at the employee's prevailing rate at the time of retirement or termination. The General Fund is primarily responsible for the repayment of the governmental activities portion of compensated absences.
G. Property Taxes
California Constitution Article XIII A, limits the combined property tax rate to one percent of a property's assessed valuation Additional taxes may be imposed with voter approval. Assessed value is calculated at one hundred percent of a property's fair value, as defined by Article XIII A, and may be increased no more than two percent per year unless a change in ownership occurs.
The state legislature has determined the method of distributing the one percent tax levy among the various taxing jurisdictions. Property tax revenues are recognized in the fiscal year for which taxes have been levied and collected within sixty days of fiscal year end.
The following are significant dates relating to the City’s property taxes:
H) Inventories
Inventories of the enterprise funds, consisting primarily of materials and supplies, are stated at cost determined by the first-in, first-out method. Inventories of the governmental funds are recorded as expenditures when purchased.
I. Capital Assets
Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, sidewalks, traffic lights and signals, street lights, and similar items), are reported in the applicable government-wide financial statements. Capital assets are defined by the City as assets with an initial, individual cost of $5,000 ($100,000 for infrastructure) or more and an estimated useful life in excess of one year. Such capital assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets received prior to the implementation of GASB 72 were recorded at fair value on the date of donation. Donated capital assets received subsequent to the implementation of GASB 72 are recorded at acquisition value as of the date received. The cost of normal maintenance and repairs that do not add to the value of the capital asset or materially extend capital asset lives are not capitalized.
Land and Construction in Progress are not depreciated. Other capital assets of the City are depreciated using the straight-line method over the following estimated useful lives:
J. Unavailable and unearned revenue
Unearned revenue is reported for transactions for which revenue has not yet been earned. In the governmental fund financial statements, unavailable revenue is recorded when transactions have not met the revenue recognition Secured Unsecured
Valuation/lien dates January 1 January 1
Levy dates July 1 July 1
Due dates November 1 and February 1 August 1
Delinquency dates December 10 and April 10 August 31
Capital Assets Years
Buildings 20 - 40
Machinery and Equipment 2 - 15
Infrastructure 30 - 50
Other Improvements 10 - 45
38 123
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued criteria based on the modified accrual basis of accounting. The City records unavailable and unearned revenues for transactions for which revenues have not been earned, or for which funds are not available to meet current financial obligations. Typical transactions for which unearned and unavailable revenues are recorded are grants received but not yet earned or available.
K. Claims and Judgments
When it is probable that a claim liability has been incurred at year-end, and the amount of the loss can be reasonably estimated, the City records the estimated loss, net of any insurance coverage under its self-insurance program.
The short-term and long-term workers’ compensation and general liability claims payable are reported in an Internal Service Fund.
L. Use of Estimates
The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America, as prescribed by the GASB and American Institute of Certified Public Accountants (AICPA), requires management to make 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/expenditures during the reporting period. Actual results could differ from those estimates.
M. Net Position Flow Assumptions
Sometimes the City will fund outlays for a particular purpose from both restricted (e.g. restricted bond or grant proceeds) and unrestricted resources. In order to calculate the amounts to report as restricted net position and unrestricted net position in the statement of net position, a flow assumption must be made about the order in which the resources are considered to be applied. It is the City’s policy to consider restricted net position to have been depleted before unrestricted net position.
N. Fund Balance Flow Assumptions
Fund balances in governmental funds are reported in classifications that comprise a hierarchy based primarily on the extent to which the City is bound to honor constraints on the specific purposes for which amounts in those funds can be spent. Sometimes the City will fund outlays for a particular purpose from both restricted and unrestricted resources (the total of committed, assigned, and unassigned fund balance). In order to calculate the amounts to report as restricted, committed, assigned, and unassigned fund balance in the governmental fund financial statements a flow assumption must be made about the order in which the resources are considered to be applied.
It is the government’s policy to consider restricted fund balance to have been depleted before using any of the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is depleted first, followed by assigned fund balance. Unassigned fund balance is applied last.
O. Fund Balance Policies
Non-spendable Fund Balances
These include amounts that cannot be spent because they are either (a) not in spendable form or (b) legally or contractually required to be maintained intact; e.g., the principal of an endowment fund. Examples of “not in spendable form” include inventory, prepaid amounts, property held for resale and other items not expected to be converted to cash. However, if the proceeds from the eventual sale or liquidation of the items would be considered restricted, committed or assigned (as defined further on) then these amounts would be classified as restricted, committed or assigned rather than non-spendable. A debt service reserve fund held by a trustee is an example of fund balance in non-spendable form that is classified as restricted instead of non-spendable since the reserve is eventually liquidated to make the final debt service principal payment. 39 124
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued Restricted Fund Balances
Restricted fund balances have externally enforceable limitations on use. The limitations on use can be imposed by creditors, grantors, or contributors as well as by constitutional provisions, City charter, enabling legislation, laws and government regulations.
Committed Fund Balances
Amounts that can only be used for specific purposes pursuant to constraints imposed by formal action (Ordinance) of the City Council are classified as committed fund balances.
Assigned Fund Balances
Fund balance amounts for which the City Council has expressed intent for use but not taken formal action to commit are reported as assigned under GASB 54.
Unassigned Fund Balance
The residual classification for the General Fund is unassigned fund balance. The General Fund is the only fund that may report a positive unassigned fund balance. Negative fund balance reported in Special Revenue Funds is classified as unassigned fund balance.
P. Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element represents a consumption of net position that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then. The City reports deferred outflows related to pensions and for a deferred loss on a debt refunding.
In addition to liabilities, the statement of financial position and balance sheet for the governmental funds will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net position that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The City has certain items, which arise only under the modified accrual basis of accounting, which qualifies for reporting in this category. Accordingly, the item, unavailable revenue, is reported in the governmental funds balance sheet. The governmental funds report unavailable revenues from property taxes, special assessments, grant receivables, and other miscellaneous receivables. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available. In addition, the City reports deferred inflows as a result of the City’s implementation of GASB Statement No. 68, Accounting and Financial Reporting for Pensions, which qualify for reporting in this category.
Q. Pensions
For purposes of measuring the net pension liability and deferred outflows/inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the City of Susanville’s California Public Employees’ Retirement System (CalPERS) plan (Plan) and additions to/deductions from the Plan’s fiduciary net position have been determined on the same basis as they are reported by CalPERS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value.
R. New Accounting Pronouncements
The Governmental Accounting Standards Board has issued the following Pronouncements, which may affect the City’s financial reporting requirements in the future:
40 125
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued GASB 96 – Subscription-Based Information Technology Arrangements: The requirements of this Statement will improve financial reporting by establishing a definition for SBITAs and providing uniform guidance for accounting and financial reporting for transactions that meet that definition. That definition and uniform guidance will result in greater consistency in practice. Establishing the capitalization criteria for implementation costs also will reduce diversity and improve comparability in financial reporting by governments. This Statement also will enhance the relevance and reliability of a government’s financial statements by requiring a government to report a subscription asset and subscription liability for SBITA and to disclose essential information about the arrangement. The disclosures will allow users to understand the scale and important aspects of a government’s SBITA activities and evaluate a government’s obligations and assets resulting from SBITAs. The requirements of this Statement will take effect for financial statements starting with the fiscal year that ends June 30, 2023.
S. Leases
Lessor: The City is a lessor for noncancellable leases of land owned by the City. The City recognizes a lease receivable and a deferred inflow of resources in the government-wide and governmental fund financial statements. At the commencement of a lease, the City initially measures the lease receivable at the present value of payments expected to be received during the lease term. Subsequently, the lease receivable is reduced by the principal portion of lease payments received. The deferred inflow of resources is initially the same amount as the beginning lease receivable.
The deferred inflow of resources is reduced as revenue on a straight-line basis over the life of the lease term.
Key estimates and judgments include how the City determines (1) the discount rate it uses to discount the expected lease receipts to present value, (2) lease term, and (3) lease receipts. The City uses its estimated incremental borrowing rate as the discount rate for leases. The lease term includes the noncancellable period of the lease. Lease receipts included in the measurement of the lease receivable is composed of fixed payments from the lessee.
The City monitors changes in circumstances that would require a remeasurement of its lease, and will remeasure the lease receivable and deferred inflows of resources if certain changes occur that are expected to significantly affect the amount of the lease receivable.
The City has entered into a lease with a tenant to allow the utilization of a cellular tower on City property. The lease term continues until 2043. Annual lease payments of $12,600 are to be made. At June 30, 2022 the balances of the lease receivable and deferred inflow of resources were $184,004.
2. CASH AND INVESTMENTS
A. Summary of Cash and Investments
Cash and investments are reported within the basic financial statements as follows:
Governmental Business-Type Fiduciary
Activities Activities Funds Total
Cash and Investments $ 8,924,582 $ 9,461,741 $ 546,094 $ 18,932,417 Restricted Cash and Investments 232,780 - 232,780 -
Total Cash and Investments $ 8,924,582 $ 9,694,521 $ 546,094 $ 19,165,197 Government-wide
Statement of Net Position
41 126
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
2. CASH AND INVESTMENTS – Continued
Cash and investments as of June 30, 2022, consist of the following:
B. Deposits
The carrying amount of the City’s deposits was $2,088,409 at June 30, 2022. Bank balances before reconciling items amounted to $2,416,860 at June 30, 2022. The City has not waived the collateral requirements for cash deposits, which are fully insured up to $250,000 by the Federal Deposit Insurance Corporation. Amounts are collateralized with securities held by the pledging financial institution in the City’s name.
The California Government Code (Code) requires California banks and savings and loan associations to secure the City’s deposits by pledging securities as collateral. The Code states that collateral pledged in this manner shall have the effect of perfecting a security interest in such collateral superior to those of a general creditor. Thus, collateral for deposits is considered to be held in the City's name. The market value of pledged securities must equal at least 110% of the City’s deposits. California law also allows institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150% of the City’s total deposits.
The City follows the practice of pooling cash and investments of all funds, except for funds required to be held by fiscal agents under the provisions of bond indentures. Interest income earned on pooled cash and investments is allocated to the various funds based on the period-end cash and investment balances. Interest income from cash and investments with fiscal agents is credited directly to the related fund.
C. Investments Authorized by the California Government Code and the City’s Investment Policy The table below identifies the investment types that are authorized for the City of Susanville by the California Government Code (or the City’s investment policy, where more restrictive). The table also identifies certain provisions of the California Government Code (or the City’s investment policy, where more restrictive) that address interest rate risk, credit risk, and concentration of credit risk. This table does not address investments of debt proceeds held by bond trustee that are governed by the provisions of debt agreements of the City, rather than the general provisions of the California Government Code or the City’s investment policy.
D. Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment.
Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. One of the ways that the City manages its exposure to interest rate risk is by purchasing a combination of shorter-term and longer-term investments and by timing cash flows from maturities so that a portion of the portfolio Cash on Hand $ 1,650
Deposits with Financial Institutions 2,088,409
Local Agency Investment Fund 17,075,138
Total Cash and Investments $ 19,165,197
Maximum Maximum
Maximum Percentage/Amount Investment in
Authorized Investment Type Maturity of Portfolio One Issuer Local Agency Investment Fund (LAIF) N/A $50 million $50 million U.S. Treasury Obligations 5 years None None
U.S. Government Agency Issues 5 years None None
Bankers' Acceptances 6 months 30% None
Commercial Paper 6 months 15% None
Negotiable Certificates of Deposits 6 months 30% None
Non-negotiable Certificates of Deposits 1 year 20% None Federally Insured Time Deposits 1 year 20% None
42 127
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
2. CASH AND INVESTMENTS – Continued
is maturing or coming close to maturity evenly over time, as necessary, to provide the cash flows and liquidity needed for operations. Information about the sensitivity of the fair values of the City’s investments (including investments held by bond trustees) to market interest rate fluctuations is provided by the following table that shows the distribution of the City’s investments by maturity:
E. Investments with Fair Values Highly Sensitive to Interest Rate Fluctuations The City’s investments (including investments held by bond trustees) do not include any investments that are highly sensitive to interest rate fluctuations.
F. Disclosures Relating to Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization.
Presented below is the minimum rating required by the California Government Code, the City’s investment policy, or debt agreements, and the actual rating as of fiscal year end for each investment type.
G. Concentration of Credit Risk
The investment policy of the City contains no limitations on the amount that can be invested in any one issuer. The City has no investments in any one issuer (other than U.S. Treasury securities, mutual funds, and external investment pools) that represent 5% or more of total City investments by reporting unit (primary government, governmental activities, business type activities, fiduciary funds, major funds, non-major funds in the aggregate).
H. Custodial Credit Risk
Custodial credit risk is the risk that, in the event of the failure of the counterparty, the City will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. None of the City’s investments were subject to custodial credit risk.
I. External Investment Pools
The California Local Agency Investment Fund (LAIF) is a special fund of the California State Treasury through which local governments may pool investments. The City may invest up to $75,000,000 in the fund. Investments in LAIF are highly liquid, as deposits can be converted to cash within 24 hours without loss of interest. All investments with the LAIF are secured by the full faith and credit of the state of California. Included in LAIF's investment portfolio are collateralized mortgage obligations, mortgage-backed securities, other asset-backed securities, loans to certain state funds, and floating rate securities issued by federal agencies, government-sponsored enterprises, and corporations.
12 Months 13 to 36 37 to 60 More than
Investment Type Total Or Less Months Months 60 Months
LAIF 17,075,138 $ 17,075,138 $ - $ $ - $ -
$ 17,075,138 17,075,138 $ - $ $ - $ -
Remaining Maturity (in Months)
Minimum Exempt from
Investment Type Total Legal Rating Rating
LAIF $ N/A 17,075,138 17,075,138 $
Total Pooled Investments 17,075,138 $ 17,075,138 $
43 128
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
2. CASH AND INVESTMENTS – Continued
The LAIF is a governmental investment pool managed and directed by the California State Treasurer and is not registered with the Securities and Exchange Commission. An oversight committee, comprised of California State officials and various participants, provide oversight to the management of the fund. The daily operations and responsibilities of LAIF fall under the auspices of the State Treasurer's Office. The City is a voluntary participant in the investment pool. The fair value of the City’s investment in this pool is reported in the accompanying financial statements at amounts based upon the City’s pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio (in relation to the amortized cost of that portfolio). The balance available for withdrawal is based on the accounting records maintained by LAIF, which are recorded on an amortized cost basis.
J. Investment Valuation
Investments (except for money market accounts, time deposits, and commercial paper) are measured at fair value on a recurring basis. Recurring fair value measurements are those that Governmental Accounting Standards Board (GASB) Statements require or permit in the statement of net position at the end of each reporting period. Fair value measurements are categorized based on the valuation inputs used to measure an asset’s fair value: Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; Level 3 inputs are significant unobservable inputs.
None of the City’s investments as of June 30, 2022 are subject to the fair value hierarchy measurements (LAIF only).
3. LOANS RECEIVABLE
As of June 30, 2022, total Loans Receivable of $821,895 consisted of the following:
EDBG Business Assistance Program: The Economic Development Block Grant (EDBG) business assistance loan program provides loans for small businesses. These loans are reported in the City’s General Fund, with outstanding balances of $52,136 as of June 30, 2022.
State Revolving Loan Program: This program provides loans to eligible low-income qualifying residents. Loans include first-time homebuyer loans and loans for housing rehabilitation. Loan repayment funds are restricted for the program. Each loan is secured by a lien against the borrower’s property and repayment is deferred until the resident moves out of the property, sells the property, or otherwise violates the loan provisions. These loans are reported in nonmajor governmental funds, with outstanding balances of $611,759 as of June 30, 2022.
HOME Revolving Loan Program: This program provides housing rehabilitation loans to eligible low-income qualifying residents. Funding is provided through the State of California HOME program and loan repayment funds are restricted for the program. Each loan is secured by a lien against the borrower’s property and repayment is deferred until the resident moves out of the property, sells the property, or otherwise violates the loan provisions.
These loans are reported in nonmajor governmental funds, with balances of $158,000 owed as of June 30, 2022.
4. CAPITAL ASSETS
The following represents capital asset activity for the fiscal year ended June 30, 2022:
44 129
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
4. CAPITAL ASSETS – Continued
Beginning Ending
Governmental Activities: Balance Increases Decreases Balance Capital Assets, Not Depreciated:
Land 3,585,211 $ - $ - $ 3,585,211 $
Construction in Progress 158,289 - - 158,289
Total Capital Assets Not Depreciated 3,743,500 - - 3,743,500 Capital Assets, Being Depreciated:
Infrastructure 6,110,478 268,929 - 6,379,407
Buildings 1,092,436 - - 1,092,436
Machinery and Equipment 3,699,747 944,671 - 4,644,418
Other Improvements 3,111,204 - - 3,111,204
Total Capital Assets Being Depreciated 14,013,865 1,213,600 - 15,227,465 Less Accumulated Depreciation:
Infrastructure (1,436,498) (407,365) - (1,843,863)
Buildings (1,066,176) (5,364) - (1,071,540)
Machinery and Equipment (2,780,174) (281,346) - (3,061,520) Other Improvements (2,439,665) (74,615) - (2,514,280)
Total Accumulated Depreciation (7,722,513) (768,690) - (8,491,203) Net Capital Assets Being Depreciated 6,291,352 444,910 - 6,736,262 Total Capital Assets 10,034,852 $ 444,910 $ - $ 10,479,762 $ Beginning Ending
Business-type Activities: Balance Increases Decreases Balance Capital Assets, Not Depreciated:
Land 3,423,604 $ 600,000 $ - $ 4,023,604 $
Construction in Progress - 1,371,190 - 1,371,190
Total Capital Assets Not Depreciated 3,423,604 1,971,190 - 5,394,794 Capital Assets, Being Depreciated:
Infrastructure 29,307,496 22,992 - 29,330,488
Buildings 862,483 - - 862,483
Machinery and Equipment 5,172,016 228,728 - 5,400,744
Other Improvements 11,575,799 - - 11,575,799
Total Capital Assets Being Depreciated 46,917,794 251,720 - 47,169,514 Less Accumulated Depreciation:
Infrastructure (7,913,443) (537,036) - (8,450,479)
Buildings (564,816) (15,944) - (580,760)
Machinery and Equipment (4,800,893) (84,300) - (4,885,193) Other Improvements (6,707,992) (431,851) - (7,139,843)
Total Accumulated Depreciation (19,987,144) (1,069,131) - (21,056,275) Net Capital Assets Being Depreciated 26,930,650 (817,411) - 26,113,239 Total Capital Assets 30,354,254 $ 1,153,779 $ - $ 31,508,033 $ 45 130
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
4. CAPITAL ASSETS – Continued
Depreciation expense was allocated to the various functions as follows:
5. LONG-TERM DEBT ACTIVITY AND BALANCES
For governmental activities, compensated absences and the net pension liability are generally liquidated by the General Fund.
Direct Borrowings:
Lease Financing (2012 City Hall Refunding Project)
On June 1, 2012, the City entered into a lease agreement with Compass Bank in the amount of $1,581,555, with interest and principal payable each September 1 and March 1, at an interest rate of 3.5%. The lease ends on September 1, 2027. The City has leased five properties, including improvements on those properties to Compass Bank in exchange for an advance rental payment of $1,581,555 from Compass Bank. Compass Bank has leased back the five properties, including improvements on those properties, to the City, in exchange for future monthly lease payments. The purpose of the lease financing was to defease the 2002 City Hall Revenue Bonds. If an event of default occurs, the Bank at its option may terminate this lease agreement and re-lease all or any portion of the leased property.
Future debt service requirements are as follows:
Govnernmental Activities
General Government 2,938 $
Public Safety 207,409
Streets 479,579
Community Services 78,764
Total Depreciation Expense 768,690 $
Business-type Activities
Water 471,877 $
Natural Gas 422,164
Airport 162,068
Golf Course 10,888
Geothermal 2,134
Total Depreciation Expense 1,069,131 $
Beginning Ending Due in
Governmental Activities Balance Additions Retirements Balance One Year Compensated Absences $ 319,450 $ 15,247 $ 334,697 - $ $ 76,668 Net Pension Liability 12,345,510 (5,665,975) - 6,679,535 - Direct Borrowings:
Lease Financing (City Hall Project) 785,229 (107,459) - 677,770 112,669 Community Swimming Pool Loan 860,000 (75,000) - 785,000 77,000 Series 2022A & B Lease Agreement 8,279,512 - 8,279,512 - 343,559 Total Government Activities $ 8,294,759 14,310,189 $ $ (5,848,434) $ 609,896 16,756,514 $ 46 131
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
5. LONG-TERM DEBT ACTIVITY AND BALANCES – Continued
Community Swimming Pool Loan
On September 1, 2015, the City entered into a loan agreement with Umpqua Bank in the amount of $1,200,000, with interest and principal payable each March 31and September 30, at an interest rate of 3.17%. Final payment is due on September 1, 2030. The proceeds of the loan were used to provide financing to Honey Lake Valley Recreation Authority. The City has leased the City's police department building in exchange for an advance rental payment of $1,200,000 from Umpqua Bank. Umpqua Bank has leased back the property to the City in exchange for future monthly lease payments. Future debt service requirements are as follows:
Series 2022A and 2022B Lease Agreements
On May 1, 2022, the City entered into Series 2022A and Series 2022B lease agreements with First Foundation Bank (Bank) in the aggregate principal amounts of $9,577,000 and $1,024,500, respectively, to provide funds to pay a portion of the City’s unfunded accrued liability (UAL) with CalPERS relating to the City’s pension benefits.
Proceeds from the obligations, less costs of issuance, were immediately transferred to CalPERS to pay a portion of the UAL.
In accordance with the agreements, the City has leased certain real property to the Bank, and the Bank has leased the property back to the City, in exchange for lease payment to be made by the City, including interest at 3.5%, commencing on October 1, 2022, with the final lease payments to be made in 2042. The City’s Water and Gas enterprise funds are responsible for paying a portion of the lease payments due on the Series 2022A lease obligation, and, therefore, those funds are reporting liabilities for the lease agreement. Future debt service requirements are as follows:
Fiscal Year Ending
June 30, Principal Interest Total
2023 $ 112,669 $ 22,761 $ 135,430
2024 117,638 18,750 136,388
2025 120,783 14,613 135,396
2026 126,685 10,403 137,088
2027 133,386 5,864 139,250
2028 66,609 1,184 67,793
Totals $ 677,770 $ 73,575 $ 751,345
Fiscal Year Ending
June 30, Principal Interest Total
2023 $ 77,000 $ 23,664 $ 100,664
2024 80,000 21,176 101,176
2025 82,000 18,608 100,608
2026 85,000 15,961 100,961
2027 87,000 13,235 100,235
2028 89,000 10,445 99,445
2029 92,000 7,576 99,576
2030 95,000 4,612 99,612
2031 98,000 1,553 99,553
Totals $ 785,000 $ 116,830 $ 901,830
47 132
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
5. LONG-TERM DEBT ACTIVITY AND BALANCES – Continued
2019 Natural Gas Revenue Refunding Bonds
The City issued $20,470,000 in Series 2019 Natural Gas Revenue Refunding Bonds, to refund the 2010 Refunding Revenue Bonds, Series B. Proceeds from the 2019 Bonds were placed in escrow to refund in full the 2010 Refunding Revenue Bonds, Series B, to purchase a municipal bond insurance policy, purchase a debt reserve insurance policy, and pay issuance costs. As a result, the 2010 Series B Bonds are considered defeased and the liability has been removed from these financial statements. The 2010 Series B Bonds were issued to refund the Natural Gas Certificates of Participation, which were issued to finance improvements in the City’s Natural Gas Enterprise. Interest rates range from 2% to 4.0%, with interest payments due on June 1 and December 1 of each year. Principal is due on June 1 of each year, with the final payment due in 2045.
All revenues from the City’s Natural Gas Enterprise are generally pledged to repayment of the 2019 Natural Gas Revenue Refunding Bonds. Annual revenues approximate $4.7 million per year. For the 2021-22 fiscal year, net revenues were approximately $1.9 million, while total principal and interest payments totaled approximately $1.3 million. The bond indenture contains a provision that, in an event of default, outstanding amounts may become immediately due and payable.
The liability for the 2019 Natural Gas Revenue Refunding Bonds is reported in the Natural Gas Enterprise Fund.
The Bonds are secured by revenues received from the operation of the Natural Gas Enterprise Fund. The City has covenanted to set rates and charges for the service and facilities of the Natural Gas Enterprise sufficient to provide net revenues each fiscal year equal to 125% of the aggregated annual amount of principal and interest due on all parity obligations for such fiscal year and sufficient to provide 100% of the aggregate amount of principal and interest due on all parity obligations and subordinate obligations for such fiscal year. The future debt service requirements are as follows:
Fiscal Year Ending
June 30, Principal Interest Total
2023 $ 440,699 $ 328,794 $ 769,493
2024 452,039 356,553 808,592
2025 467,860 343,025 810,885
2026 484,235 329,024 813,259
2027 501,184 314,533 815,717
2028 - 2032 2,781,645 1,336,908 4,118,553
2033 - 2037 3,303,721 890,518 4,194,239
2038 - 2042 2,170,117 360,348 2,530,465
Totals $ 10,601,500 $ 4,259,703 $ 14,861,203
Beginning Ending Due in
Business-type Actvities Balance Additions Retirements Balance One Year Compensated Absences $ 58,376 $ (13,683) - $ $ 44,693 $ 10,727 Net Pension Liability 1,319,951 369,455 1,689,406 - -
2019 Natural Gas Revenue Refunding Bonds 19,565,000 (535,000) - 19,030,000 545,000 Premium on Bonds 2,335,497 (93,420) - 2,242,077 93,420
2019 Water Revenue Refunding Bonds 6,340,500 (347,600) - 5,992,900 357,300 Direct Borrowings:
USDA Note Payable 738,000 (20,000) - 718,000 21,000
Note Payable (Land Purchase) 450,000 - (79,828) 370,172 84,618 Series 2022A & B Lease Agreement 2,321,988 - 2,321,988 - 97,140 Total Business-type Activities $ 3,141,443 30,357,324 $ $ (1,089,531) $ 1,209,205 32,409,236 $ 48 133
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
5. LONG-TERM DEBT ACTIVITY AND BALANCES – Continued
2019 Water Revenue Refunding Bonds
The City issued $6,946,300 in Series 2019 Water Revenue Refunding Bonds, to refund the 2010 Refunding Revenue Bonds, Series A. Proceeds from the 2019 Water Bonds were placed in escrow to refund the 2010 Refunding Revenue Bonds, Series A and to pay issuance costs. As a result, the 2010 Bonds are considered defeased and the liability has been removed from these financial statements. The 2010 Series A bonds were issued, in part, to finance improvements in the City’s water enterprise system. The interest rate on the bonds is
2.75% and principal and interest payments are due on the 1st of each month.
The City refunded the Series A Revenue Bonds to decrease total debt service payments by approximately $4.2 million and to obtain an economic gain (difference between the present values of the debt service payments on the old and new debt) of $3.8 million. All revenues from the City’s Water Enterprise are generally pledged to repayment of the 2019 Water Revenue Refunding Bonds. Annual revenues approximate $3.0 million per year. For the 2020- 21 fiscal year, net revenues were approximately $1.4 million, while total principal and interest payments totaled approximately $518,000. The bond indenture contains a provision that, in an event of default, outstanding amounts may become immediately due and payable.
The liability for the 2019 Water Revenue Refunding Bonds is reported in the Water Enterprise Fund. The Bonds are secured by revenues received from the operation of the Water Enterprise Fund. The City has covenanted to set rates and charges for the service and facilities of the Water Enterprise sufficient to provide net revenues each fiscal year equal to the aggregated annual amount of principal and interest due on all parity obligations for such fiscal year and sufficient to provide 100% of the aggregate amount of principal and interest due on all parity obligations and subordinate obligations for such fiscal year. The future debt service requirements are as follows:
Fiscal Year Ending
June 30, Principal Interest Total
2023 545,000 $ 732,350 $ 1,277,350 $
2024 560,000 716,000 1,276,000
2025 575,000 699,200 1,274,200
2026 595,000 681,950 1,276,950
2027 610,000 664,100 1,274,100
2028 - 2032 3,410,000 2,966,800 6,376,800
2033 - 2037 4,145,000 2,228,400 6,373,400
2038 - 2042 5,050,000 1,330,000 6,380,000
2043 - 2045 3,540,000 286,800 3,826,800
Totals 19,030,000 $ 10,305,600 $ 29,335,600 $
Fiscal Year Ending
June 30, Principal Interest Total
2023 357,300 $ 160,973 $ 518,273 $
2024 367,300 151,022 518,322
2025 377,500 140,793 518,293
2026 387,900 130,281 518,181
2027 398,800 119,478 518,278
2028 - 2032 2,166,700 424,487 2,591,187
2033 - 2036 1,937,400 112,070 2,049,470
Totals 5,992,900 $ 1,239,104 $ 7,232,004 $
49 134
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
5. LONG-TERM DEBT ACTIVITY AND BALANCES – Continued
Direct Borrowings - USDA Loan
The City entered into a loan agreement with the United States Department of Agriculture in 2003 to help finance a water transmission line project. The outstanding balance of $738,000 at June 30, 2021 is reported in the water enterprise fund. Interest is payable semiannually each March and September until 2043, at 4.25%. Principal is payable annually on September 23. Future debt service requirements are as follows:
Direct Borrowing - Note Payable (Land Purchase)
In October 2021, the City financed the purchase of certain property by executing and delivering to the seller at closing a payment of $150,000 and a five-year promissory note on the property in the amount of $450,000, with interest at 6% per annum. The property was acquired for the purpose of water surface storage, development and recreation to benefit the citizens of Susanville.
Principal and interest payments are due on January 30 for five years, commencing on January 30, 2022. Future debt service requirements are as follows:
6. DEFINED BENEFIT PENSION PLAN
General Information about the Defined Benefit Pension Plan Plan Descriptions – All qualified permanent and probationary employees are eligible to participate in the Public Agency Cost-Sharing Multiple-Employer Defined Benefit Pension Plan (Plan) administered by the California Public Employees’ Retirement System (CalPERS.) The Plan consists of individual rate plans (benefit tiers) within a safety risk pool and a miscellaneous risk pool. Plan assets may be used to pay benefits for any employer rate plan of the safety and miscellaneous pools. Accordingly, rate plans within the safety or miscellaneous pools are not separate plans under GASB Statement No. 68. Individual employers may sponsor more than one rate plan in the miscellaneous or safety risk pools. The City sponsors five rate plans (two miscellaneous and three safety). Benefit provisions under the Plan are established by State statute and City resolution. CalPERS issues publicly available reports that include a full description of the pension plan regarding benefit provisions, assumptions and membership Fiscal Year Ending
June 30, Principal Interest Total
2023 $ 21,000 $ 30,069 $ 51,069
2024 22,000 29,155 51,155
2025 23,000 28,199 51,199
2026 24,000 27,200 51,200
2027 25,000 26,159 51,159
2028 - 2032 141,000 113,667 254,667
2033 - 2037 174,000 80,324 254,324
2038 - 2042 215,000 39,206 254,206
2043 - 2044 73,000 2,571 75,571
Totals $ 718,000 $ 376,550 $ 1,094,550
Fiscal Year Ending
June 30, Principal Interest Total
2023 84,618 $ 22,210 $ 106,828 $
2024 89,695 17,133 106,828
2025 95,077 11,752 106,829
2026 100,782 6,047 106,829
Totals 370,172 $ 57,142 $ 427,314 $
50 135
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
6. DEFINED BENEFIT PENSION PLAN - Continued
information that can be found on the CalPERS website.
Benefits Provided – The Plan is a cost-sharing multiple-employer defined benefit pension plan administered by the California Public Employees’ Retirement System (CalPERS). A full description of the pension plan benefit provisions, assumptions for funding purposes but not accounting purposes, and membership information is listed in the June 30, 2020 Annual Actuarial Valuation Report. Details of the benefits provided can be obtained in Appendix B of the June 30, 2020 actuarial valuation report. This report is a publicly available valuation report that can be obtained at the CalPERS’ website under Forms and Publications. The rate plan provisions and benefits in effect at June 30, 2022, are summarized as follows:
Contributions – Section 20814(c) of the California Public Employees’ Retirement Law requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. Funding contributions for the Plan are determined annually on an actuarial basis as of June 30 by CalPERS. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The City is required to contribute the difference between the actuarially determined rate and the contribution rate of employees.
Beginning in fiscal year 2016, CalPERS collects employer contributions for the Plan as a percentage of payroll for the normal cost portion as noted in the rates above and as a dollar amount for contributions toward the unfunded liability. The dollar amounts are billed on a monthly basis. The City’s required contribution for the unfunded liability was $1,037,103 in fiscal year 2022. The City’s contributions to the Plan for the year ended June 30, 2022 were $11,606,929.
Miscellaneous
Miscellaneous PEPRA
Prior to On or after
Hire date January 1, 2013 January 1, 2013
Benefit formula 3.0% @ 60 2% @ 62
Benefit vesting schedule 5 years service 5 years service Benefit payments monthly for life monthly for life
Retirement age 55 to 60 62
Monthly benefits, as a % of eligible compensation 2% to 3% 2% Required employee contribution rates 8% 6.75%
Required employer contribution rates 15.25% + $447,719 7.59% + $2,605 Safety
Safety PEPRA
Prior to On or after
Hire date January 1, 2013 January 1, 2013
Benefit formula 3% @ 50 2.7% @ 57
Benefit vesting schedule 5 years service 5 years service Benefit payments monthly for life monthly for life
Retirement age 50 57
Monthly benefits, as a % of eligible compensation 3% 2.7% Required employee contribution rates 9% 13%
Required employer contribution rates 23.71% + $580,351 13.13% + $6,428 51 136
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
6. DEFINED BENEFIT PENSION PLAN - Continued
Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions As of June 30, 2022, the City reported a liability of $8,368,941 for its proportionate share of the net pension liability.
The City’s net pension liability for the Plan is measured as of June 30, 2021, and the total pension liability for the Plan used to calculate the net pension liability was determined by an actuarial valuation as of June 30, 2020 rolled forward to June 30, 2021 using standard update procedures. The City’s proportion of the net pension liability was based on a projection of the City’s long-term share of contributions to the pension plan relative to the projected contributions of all participating employers, actuarially determined. The City’s proportionate share of the Plan’s net pension liability as of June 30, 2021 and 2022 was as follows:
For the year ended June 30, 2022, the City recognized pension expense of $2,204,200. At June 30, 2022, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:
The $11,606,929 reported as deferred outflows of resources related to contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ending June 30, 2023.
Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:
Actuarial Assumptions – The total pension liabilities in the June 30, 2020 actuarial valuations were determined using the following actuarial assumptions:
Proportion - June 30, 2021 0.12560%
Proportion - June 30, 2022 0.15474%
Change - Increase (Decrease) 0.02914%
Deferred Outflows Deferred Inflows
of Resources of Resources
Pension contributions subsequent to measurement date 11,606,929 $ - $ Differences between actual and expected experience 1,222,890 - Changes in assumptions - -
Change in employer's proportion 402,606 10,332
Differences between the employer's contributions and
the employer's proportionate share of contributions - 901,403 Net differences between projected and actual
earnings on plan investments - 5,960,141
Total 13,232,425 $ 6,871,876 $
Year Ending
June 30,
2023 $ (1,090,422)
2024 (1,165,615)
2025 (1,346,619)
2026 (1,643,724)
2027 -
Thereafter -
52 137
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
6. DEFINED BENEFIT PENSION PLAN - Continued
The mortality table used was developed based on CalPERS-specific data. The probabilities of mortality are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015. Pre-retirement and Post-retirement mortality rates include 15 years of projected mortality improvement using 90% of Scale MP-2016 published by the Society of Actuaries. For more details on this table, please refer to the CalPERS Experience Study and Review of Actuarial Assumptions report from December 2017 that can be found on the CalPERS website.
Long-term Expected Rate of Return - The long-term expected rate of return on pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.
In determining the long-term expected rate of return, CalPERS took into account both short-term and long-term market return expectations as well as the expected pension fund cash flows. Using historical returns of all of the funds’ asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years) and the long-term (11+ years) using a building-block approach. Using the expected nominal returns for both shortterm and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the rounded single equivalent expected return that arrived at the same present value of benefits for cash flows as the one calculated using both short-term and long-term returns. The expected rate of return was then set equal to the single equivalent rate calculated above and adjusted to account for assumed administrative expenses. The expected real rates of return by asset class are as followed:
Valuation date June 30, 2020
Measurement date June 30, 2021
Actuarial cost method entry-age normal
Actuarial assumptions:
Discount rate 7.15%
Inflation 2.50%
Payroll Growth 3.00%
Projected salary increase (1)
Investment rate of return 7.15%
Mortality (2)
(1) Depending on age, service and type of employment
(2) Derived using CalPERS’ Membership Data for all Funds.
New Strategic Real Return Real Return
Asset Class Allocation Years 1 - 10 (1) Years 11+ (2)
Global Equity 50% 4.80% 5.98%
Global Fixed Income 28% 1.00% 2.62%
Inflation Assets - 0.77% 1.81%
Private Equity 8% 6.30% 7.23%
Real Estate 13% 3.75% 4.93%
Liquidity 1% - -0.92%
(1) An expected inflation of 2.0% used for this period. (2) An expected inflation of 2.92% used for this period. 53 138
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
6. DEFINED BENEFIT PENSION PLAN – Continued
Discount Rate – The discount rate used to measure the total pension liability was 7.15%. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers will be made at statutorily required rates, actuarially determined. Based on those assumptions, the Plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on plan investments was applied to all periods of projected benefit payments to determine the total pension liability.
Subsequent Events - On July 12, 2021, CalPERS reported a preliminary 21.3% net return on investments for fiscal year 2020-21. Based on the thresholds specified in CalPERS Funding Risk Mitigation policy, the excess return of 14.3% prescribes a reduction in investment volatility that corresponds to a reduction in the discount rate used for funding purposes of 0.20%, from 7.00% to 6.80%. Since CalPERS was in the final stages of the four-year Asset Liability Management (ALM) cycle, the board elected to defer any changes to the asset allocation until the ALM process concluded, and the board could make its final decision on the asset allocation in November 2021.
On November 17, 2021, the board adopted a new strategic asset allocation. The new asset allocation along with the new capital market assumptions, economic assumptions and administrative expense assumption support a discount rate of 6.90% (net of investment expense but without a reduction for administrative expense) for financial reporting purposes. This includes a reduction in the price inflation assumption from 2.50% to 2.30% as recommended in the November 2021 CalPERS Experience Study and Review of Actuarial Assumptions.
This study also recommended modifications to retirement rates, termination rates, mortality rates and rates of salary increases that were adopted by the board. These new assumptions will be reflected in the GASB 68 accounting valuation reports for the June 30, 2022, measurement date.
Sensitivity of the Proportionate Share of the Net Pension Liability to Changes in the Discount Rate – The following presents the City’s proportionate share of the net pension liability for the Plan, calculated using the discount rate for the Plan, as well as what the City’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1-percentage point lower or 1-percentage point higher than the current rate:
Pension Plan Fiduciary Net Position – Detailed information about the Plan’s fiduciary net position is available in the separately issued CalPERS financial reports.
Payable to the Pension Plan - At June 30, 2022, the City reported no payables to the pension plan, for outstanding contributions required for the year ended June 30, 2022.
1% Decrease 6.15%
Net Pension Liability 15,377,154 $
Current Discount Rate 7.15%
Net Pension Liability 8,368,941 $
1% Increase 8.15%
Net Pension Liability 2,596,289 $
54 139
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
7. RISK MANAGEMENT
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; and natural disasters, for which the City is a member of the Small Cities Organized Risk Effort (SCORE) through a joint powers agreement. SCORE provides liability and workers’ compensation coverage for its members by pooling risk.
Member cities participate in a Banking Plan for the first $25,000 of loss. The portion of loss greater than $25,000 but less than $250,000 is shared among the Member cities in the Shared Risk Pool. The JPA participates in the California Joint Powers Risk Management Authority (CJPRMA) for the portion of losses greater than $250,000. The JPA is comprised of twenty-one small cities located in Northern and Central California. Upon review of the application, a new member may be admitted by a three-quarters (3/4) vote of the board. Members may be expelled by a two-thirds (2/3) vote. Upon entry into the JPA, members may not voluntarily withdraw for a period of three years and in no case before the JPA's commitment to CJPRMA is satisfied. Members must submit six months written notice prior to voluntarily withdrawing. After withdrawal, a member may not re-enter the JPA for a period of three years.
The City makes payments to SCORE based on actuarial estimates of the amounts needed to pay prior and current year claims and to establish a reserve for catastrophic losses. Claims liabilities of the City are reported when it is probable that a loss has occurred and the amount of the loss can be reasonably estimated. Liabilities include an amount for claims that have been incurred but not reported (IBNR). The result of the process to estimate the claims liability is not an exact amount as it depends on many complex factors, such as inflation, changes in legal doctrines, and damage awards. Accordingly, claims are reevaluated periodically to consider the effects of inflation, recent claim settlement trends (including frequency and pay-out amounts), and other economic and social factors.
No claims liabilities have been reported in the City’s financial statements for the past three years. Settlements have not exceeded coverage for each of the past three fiscal years. The City’s claims activity is reported in internal service funds.
8. FUND BALANCES
The details of fund balances as of June 30, 2022 are as follows:
Nonmajor
General Gas Tax ARPA Governmental
Fund Fund Fund Funds Total
Nonspendable:
Prepaid Items 40,174 $ - $ 48,329 $ - $ 88,503 $
Inventory 36,355 - - - 36,355
Loans Receivable 52,136 - - - 52,136
Restricted for:
General Government - - 981,306 - 981,306
Public Safety - - - 167,919 167,919
Parks - - - 154,318 154,318
Housing - - - 1,589,361 1,589,361
Streets and Transportation - 188,289 - 1,401,547 1,589,836 Capital Projects 19,590 - - - 19,590
Assigned for:
Debt Service - - - 53,924 53,924
Capital Projects 250,195 - - 13,848 264,043
Unassigned 2,613,167 - - (51,385) 2,561,782
Total Fund Balances 3,011,617 $ 188,289 $ 1,029,635 $ 3,329,532 $ 7,559,073 $ 55 140
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
9. INTERFUND RECEIVABLES, PAYABLES, AND TRANSFERS
Interfund Transfers
The details of the interfund transfers are as follows:
The General Fund transferred $235,080 to the Non-major Governmental Funds for debt service payments, and $70,000 to the Gas Tax Special Revenue Fund to pay for project costs. The ARPA Special Revenue Fund transferred $501,696 to the General Fund for public safety costs. The Water and Natural Gas Funds each transferred $39,960 to the General Fund for Public Works reorganization costs. The Internal Service Funds and the Non-major Enterprise Funds transferred $54,945 and $1,665, respectively, to the General Fund for this same purpose. The non-major Fire Mitigation fund transferred $48,300 to the nonmajor FEMA AFG Grant fund to fund Fire equipment costs.
Due to/From Other Funds
The General Fund loaned $52,552 to non-major governmental funds to cover temporary cash deficits at year-end.
This will be repaid in the following year.
Advances From/To Other Funds
Interfund advances as of June 30, 2022 are as follows:
The Natural Gas Enterprise Fund advanced $2,474,649 to the General Fund, Gas Tax, Water, and Internal Service Funds to provide funding to pay-off each fund’s portion of the CalPERS side fund loan. Payments on these advances, including interest are being made each year, through the 2034-35 fiscal year.
Gas Tax Non-major
General Special Revenue Governmental
Transfers Out Fund Fund Funds Total
General Fund - $ 70,000 $ 235,080 $ 305,080 $
Gas Tax Special Revenue Fund 26,640 - - 26,640
ARPA Special Revenue Fund 501,696 - 501,696 -
Non-major Governmental Funds - - 48,300 48,300
Water Fund 39,960 - - 39,960
Natural Gas Fund 39,960 - - 39,960
Non-major Enterprise Funds 1,665 - - 1,665
Internal Service Funds 54,945 - - 54,945
Total $ 664,866 $ 70,000 $ 283,380 $ 1,018,246
Transfers In
Advance From Advance To
Natural Gas Enterprise Fund 2,474,649 $ - $
General Fund - 1,954,018
Gas Tax Special Revenue Fund - 169,326
Water Enterprise Fund - 300,263
Internal Service Funds - 51,042
Total 2,474,649 $ 2,474,649 $
56 141
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
10. JOINTLY GOVERNED AND RELATED ORGANIZATIONS
Honey Lake Valley Recreation Authority
The Honey Lake Recreation Authority (HLVRA) was created by a joint powers agreement between the County of Lassen and the City of Susanville on November 18, 2013 under the provisions of California Government Code 6500 et. Seq. HLVRA is an entity separate from its member agencies created for the purpose of owning and operating public recreation facilities, including a swimming pool. HLVRA has a five-member board of directors comprised of two representatives from each member agency and one member at large.
Lassen Regional Solid Waste Management Authority
In 1999, the Lassen Regional Solid Waste Management Authority (Authority') was created under a joint powers agreement between the County of Lassen and the City of Susanville. It was formed to fund, plan, operate, administer, and maintain solid waste facilities, sites and services, including all mandated costs for planning, waste diversion, and both closure and post-closure of sites, as well as public education, waste transfer, material recovery, recycling, household hazardous waste programs, and other AB939 programs. The Authority has a board of directors, which consists of five persons, two from the County and two from the City, and one public member atlarge who is appointed by the City and County members. The members have no share of the Authority's debts, liabilities, and obligations.
Lassen Transit Service Agency
The Lassen Transit Service Agency (Agency) was created through a joint powers agreement between the County of Lassen and the City of Susanville on July 17, 2002, under the provisions of Article 1, Chapter 5, Division 7, Title 1 of the California Government Code Section 6500. The Agency is charged with the administration and operation of the Lassen Rural Bus (LRB) public transportation services within Lassen County under the jurisdiction of the Lassen County. The Commission is comprised of three members of the Lassen County Board of Supervisors and three members of the City of Susanville City Council. The Agency allocates and distributes the Transportation Development Act (TDA) funding for LRB service operations. In addition to TDA funds, the Agency receives funding from several sources including the federal government and the State of California.
Lassen County Air Pollution Control District
The Lassen County Air Pollution Control District (District) is a local air district governing the Lassen County region.
The District Board has six members comprised of three members from the Lassen County Board of Supervisors and three members from the Susanville City Council.
11. COMMITMENTS AND CONTINGENCIES
A. Grants
Amounts received or receivable from grant agencies are subject to audit and adjustment by grantor agencies. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of expenditures that may be disallowed by grantors cannot be determined at this time, although the City expects such amounts, if any, to be immaterial.
B. Other Commitments and Contingencies
At June 30, 2022, the City had outstanding construction contracts of approximately $2.1 million. In addition, the City is a defendant in various pending lawsuits of a nature common to many similar jurisdictions. City management and legal counsel estimates that the potential claims against the City not covered by insurance resulting from such litigation would not materially affect the City’s financial statements.
57 142
City of Susanville
Notes to the Financial Statements
Year Ended June 30, 2022
12. SUBSEQUENT EVENTS
In June of 2022, the voters approved Measure P, an additional one-cent sales tax for the City, which was implemented during the 2022-23 fiscal year. The City estimates an additional $2.4 million in Measure P revenues in future years.
13. RESTATEMENT OF BEGINNING NET POSITION
Net Position, Beginning of Year, in the Custodial Funds, was increased by $411,766 for receivables previously not recorded.
58 143
REQUIRED SUPPLEMENTARY INFORMATION
144
City of Susanville
Required Supplementary Information
Year Ended June 30, 2022
*Fiscal year 2015 was the first year of implementation; therefore, 10 years of information are not yet available.
Notes to the Schedule of the City’s Proportionate Share of the Net Pension Liability Benefit Changes: None
Changes in Assumptions: In 2017, the accounting discount rate changed from 7.65% to 7.15%
Proportionate Plan Fiduciary
Proportion of Proportionate Share of the Net Net Position as the Net Pension Share of Net Covered Pension Liability a % of the Total Measurement Date Liability Pension Liability Payroll as a % of Payroll Pension Liability 2021 0.154740% 8,368,941 $ $ 3,657,003 228.85% 84.06%
2020 0.125600% 13,665,461 3,705,758 368.76% 73.27%
2019 0.121720% 12,472,688 3,331,464 374.39% 74.92%
2018 0.118440% 11,413,410 3,144,855 362.92% 76.50%
2017 0.115290% 11,433,943 3,167,033 361.03% 73.31%
2016 0.113640% 9,833,346 3,342,599 294.18% 74.06%
2015 0.106160% 7,287,061 3,234,445 225.30% 78.40%
2014 0.109380% 6,657,753 2,953,546 225.42% 79.82%
Schedule of the City's Proportionate Share of the Net Pension Liability Last 10 Years*
59 145
City of Susanville
Required Supplementary Information
Year Ended June 30, 2022
*Fiscal year 2015 was the first year of implementation; therefore, 10 years of information are not yet available.
Notes to the Schedule of Plan Contributions
Valuation Date: 6/30/13, 6/30/14, 6/30/15, 6/30/16, 6/30/17, 6/30/18, 6/30/19 and 6/30/20
Contributions in
Relation to the Contributions
Contractually Actuarially Contribution as a % of
Required Determined Deficiency/ Covered Covered
Fiscal Year Contributions Contributions (Excess) Payroll Payroll 2022 1,546,929 $ (11,606,929) $ (10,060,000) $ 3,970,887 $ 292.30% 2021 1,387,761 (1,387,761) - 3,657,003 37.95%
2020 1,233,427 (1,233,427) - 3,705,758 33.28%
2019 1,030,749 (1,030,749) - 3,331,464 30.94%
2018 865,752 (865,752) - 3,144,855 27.53%
2017 848,437 (848,437) - 3,167,033 26.79%
2016 749,220 (749,220) - 3,342,599 22.41%
2015 601,837 (601,837) - 3,237,445 18.59%
Schedule of Pension Plan Contributions
Last 10 Years*
60 146
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances General Fund
Year Ended June 30, 2022
Actual Variance with
Original Final Amounts Final Budget
REVENUES
Taxes and Assessments 4,954,000 $ 5,304,000 $ 6,143,124 $ 839,124 $ Licenses and Permits 94,050 94,050 114,783 20,733
Fines and Forfeitures 51,091 53,368 30,682 (22,686)
Investment Earnings 2,099 3,749 (1,119) (4,868)
Intergovernmental 699,599 738,803 769,480 30,677
Charges for Services 626,290 482,994 481,565 (1,429)
Other - - - -
Total Revenues 6,427,129 6,676,964 7,538,515 861,551
EXPENDITURES
Current:
General Government 630,207 722,988 637,945 85,043
Public Safety 5,325,414 5,451,202 4,940,023 511,179
Protective Inspections 387,772 404,556 244,339 160,217
Community Services 404,935 495,267 434,559 60,708
Community Development 176,494 185,995 185,573 422
Capital Outlay - - 9,643 (9,643)
Debt Service:
Issuance Costs - 191,908 195,128 (3,220)
Principal - - - -
Interest - - - -
Total Expenditures 6,924,822 7,451,916 6,647,210 804,706 Excess (Deficiency) of Revenues
over Expenditures (497,693) (774,952) 891,305 1,666,257
OTHER FINANCING SOURCES (USES)
Issuance of Debt - - 8,279,512 8,279,512
Transfers In 586,950 586,950 664,866 77,916
Transfers Out (407,324) (477,324) (305,080) 172,244
Total Other Financing Sources (Uses) 179,626 109,626 8,639,298 8,529,672
SPECIAL ITEM
Payment towards Unfunded Pension Liability - (7,850,850) - (7,850,850) Net Change in Fund Balances (318,067) (665,326) 1,679,753 2,345,079 Fund Balance, Beginning of Year 1,331,864 1,331,864 1,331,864 - Fund Balance, End of Year $ 1,013,797 $ 666,538 $ 3,011,617 $ 2,345,079 Budgeted Amounts
61 147
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual - Gas Tax Special Revenue Fund
Year Ended June 30, 2022
Actual Variance with
Original Final Amounts Final Budget
REVENUES
Investment Earnings 369 $ 369 $ (401) $ (770) $
Intergovernmental 767,615 767,615 554,576 (213,039)
Charges for Services 69,488 69,488 82,016 12,528
Other - - - -
Total Revenues 837,472 837,472 636,191 (201,281)
EXPENDITURES
Current:
Streets 511,922 857,366 769,312 88,054
Capital Outlay 37,480 139,219 139,129 90
Total Expenditures 549,402 996,585 908,441 88,144
Excess (Deficiency) of Revenues
Over (Under) Expenditures 288,070 (159,113) (272,250) (113,137)
OTHER FINANCING SOURCES (USES)
Transfers In 135,744 70,000 70,000 -
Transfers Out (13,515) (82,712) (26,640) 56,072
Total Other Financing Sources (Uses) 122,229 (12,712) 43,360 56,072 Net Change in Fund Balances 410,299 (171,825) (228,890) (57,065) Fund Balance, Beginning of Year 417,179 417,179 417,179 - Fund Balance, End of Year 827,478 $ 245,354 $ 188,289 $ (57,065) $ Budgeted Amounts
62 148
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual - ARPA Special Revenue Fund
Year Ended June 30, 2022
Actual Variance with
Original Final Amounts Final Budget
REVENUES
Investment Earnings - $ - $ - $ - $
Intergovernmental - 1,795,356 1,795,356 -
Total Revenues - 1,795,356 1,795,356 -
EXPENDITURES
Current:
General Government - 269,860 264,025 5,835
Total Expenditures - 269,860 264,025 5,835
Excess (Deficiency) of Revenues
Over (Under) Expenditures - 1,525,496 1,531,331 5,835
OTHER FINANCING SOURCES (USES)
Transfers In - - - -
Transfers Out - (546,950) (501,696) 45,254
Total Other Financing Sources (Uses) - (546,950) (501,696) 45,254 Net Change in Fund Balances - 978,546 1,029,635 51,089
Fund Balance, Beginning of Year - - - -
Fund Balance, End of Year - $ 978,546 $ 1,029,635 $ 51,089 $ Budgeted Amounts
63 149
City of Susanville
Required Supplementary Information
Year Ended June 30, 2022
1. BUDGETS AND BUDGETARY ACCOUNTING
Budgetary Control and Budgetary Accounting
Annual budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America. The City’s budget ordinance requires that in June of each year the City Administrator must submit a preliminary budget that includes projected expenditures and the means of financing them to the City Council for the fiscal year commencing the following July 1. As modified during public hearing sessions, the preliminary budget becomes the proposed budget. Following public hearings on the proposed budget, the final annual budget is adopted by the City Council in June of the fiscal year. After adoption of the budget, transfers of appropriations within the general fund departments may be done by the City Administrator. Budget transfers within a department/fund may be done by department heads. Budget modifications between funds and increases in appropriations for expenditures to a fund’s overall budget must be approved by the City Council or Agency Board.
Revenues can be increased at any time without Council approval. Approval has to be made to spend it. Numerous properly authorized amendments are made during the fiscal year. The budget is modified again at mid-year, usually in February with updated revenue projections.
At fiscal year-end, all operating budget appropriations lapse with the exception of encumbered and continuing appropriations.
64 150
SUPPLEMENTARY INFORMATION
151
City of Susanville
Non-major Governmental Funds
Year Ended June 30, 2022
Special Revenue Funds
Local Law Enforcement Block Grant Fund - accounts for a State grant used to fund a Police Sergeant's position to supplement the number of personnel assigned to provide law enforcement services to the City.
Street, Police and Fire Mitigation Funds - account for fees collected from new developments within the City used for the purchase and maintenance of vehicles, equipment, and various facilities.
Park Land In-lieu Fund - accounts for fees collected from new developments within the City which are used to purchase necessary equipment and land to maintain and expand the City's parks.
State Revolving Loan Fund - accounts for program income received from Community Development Block Grant loans given for Housing Rehabilitation, Façade Improvement, Business Assistance, and First-Time Home Buyers loan that are then re-issued in the form of new loans.
HOME Revolving Loan Fund - accounts for program income received from the Façade Improvement, Business Assistance, and First-Time Home Buyers loan re-payments which are re-issued in the form of new loans.
Traffic Safety Fund - accounts for a portion of fines and forfeitures received by the City for any arrests by a City Officer under VC 42200 that is used for the purchase and maintenance of equipment associated with Traffic Law Enforcement.
Skyline Bicycle Fund - accounts for fees collected from new development within the Skyline area to be used for the installation and maintenance of traffic signals, parks and parkways.
Traffic Signals Fund - accounts for fees collected from new developments within the Barry Creek and Chestnut Street areas used to repay the City for installation of the culverts.
CDBG Fund – accounts for amounts restricted for the City’s Community Development Block Grant programs.
Road Fund – accounts for amounts set aside for basic road maintenance, rehabilitation and safety projects on the local streets and road system.
Tobacco Grant Fund – accounts for a State grant used to fund tobacco enforcement education to reduce illegal sales and marketing of cigarettes and tobacco products to minors.
Asset Forfeiture Fund – accounts for asset forfeiture funds seized by the Police Department. These funds can only be used to purchase supplies and equipment for public safety.
FEMA AFG Grant Fund - accounts for the funds received from FEMA for assistance to firefighters.
LEAP Grant Fund – accounts for Local Early Action Planning grant funds received from the California Department of Housing and Community Development.
ABC Grant Fund – accounts for Alcohol Beverage Control grant funds received from the State of California.
OTS Grant Fund – accounts for OTS grant funds received from the California Office of Traffic Safety.
Debt Service Funds
City Hall Debt Service Fund - accounts for debt service payments on bond issued to remodel the City Hall.
Community Swimming Pool Debt Service Fund - accounts for the debt service payments on the Community Swimming Pool Loan that was used to finance a portion of the costs of the construction of a community swimming pool and related costs and improvements there to by the Honey Lake Valley Recreational Authority. 65 152
City of Susanville
Non-major Governmental Funds - Continued
Year Ended June 30, 2022
Capital Project Funds
Sierra Road Dog Park Project Fund - accounts for amounts set aside for the Sierra Road Dog Park Project.
City Hall Parking Lot Project Fund - accounts for amounts set aside for the City's City Hall Parking Lot Project. 66 153
City of Susanville
Combining Balance Sheet
Non-major Governmental Funds
June 30, 2022
Local Law
Enforcement Street Police Fire Park Land
Block Grant Mitigation Mitigation Mitigation In-lieu
ASSETS
Cash and Investments 129,844 $ 82,069 $ 46,215 $ 45,096 $ 154,335 $ Accounts Receivable 34,049 - - - -
Interest Receivable 257 148 83 125 278
Loans Receivable - - - - -
Total Assets 164,150 $ 82,217 $ 46,298 $ 45,221 $ 154,613 $
LIABILITIES
Accounts Payable 1,471 $ - $ - $ - $ 295 $
Due to Other Funds - - - - -
Total Liabilities 1,471 - - - 295
DEFERRED INFLOWS
Unavailable Revenues - Grants - - - - -
FUND BALANCES
Nonspendable - - - - -
Restricted 162,679 82,217 46,298 45,221 154,318
Assigned - - - - -
Unassigned - - - - -
Total Fund Balances 162,679 82,217 46,298 45,221 154,318 Total Liabilities, Deferred Inflows
and Fund Balances 164,150 $ 82,217 $ 46,298 $ 45,221 $ 154,613 $ Special Revenue
67 154
State HOME Skyline
Revolving Revolving Traffic Bicycle Traffic Tobacco
Loan Loan Safety Lane Signals CDBG Road Grant
$ 205,803 $ 612,161 $ 41,104 $ 10,301 $ 85,344 $ 1,110,344 - $ $ 31,008 - - 326 - 21,371 - 29,133 -
534 1,104 69 19 154 - 2,046 -
611,759 158,000 - - - - - -
$ 818,096 $ 771,265 $ 41,499 $ 10,320 $ 85,498 $ 21,371 $ 1,141,523 $ 31,008 $ - $ - $ - $ - $ 6,352 - $ $ 80,690 $ -
- - - - 40,583 - - -
- - - - 46,935 - 80,690 -
- - - - 21,046 - - -
- - - - - - - -
818,096 771,265 41,499 10,320 85,498 1,060,833 - 31,008 - - - - - - - -
- - - - - (46,610) - -
818,096 771,265 41,499 10,320 85,498 (46,610) 1,060,833 31,008 $ 818,096 $ 771,265 $ 41,499 $ 10,320 $ 85,498 $ 21,371 $ 1,141,523 $ 31,008 Continued
Special Revenue
68 155
City of Susanville
Combining Balance Sheet
Non-major Governmental Funds - Continued
June 30, 2022
Asset FEMA LEAP ABC OTS
Forfeiture AFG Grant Grant Grant Grant
ASSETS
Cash and Investments 3,318 $ 574 $ - $ - $ - $
Accounts Receivable - - - 2,396 4,965
Interest Receivable - 1 - - -
Loans Receivable - - - - -
Total Assets 3,318 $ 575 $ - $ 2,396 $ 4,965 $
LIABILITIES
Accounts Payable - $ - $ 14 $ - $ 153 $
Due to Other Funds - - 3,524 3,480 4,965
Total Liabilities - - 3,538 3,480 5,118
DEFERRED INFLOWS
Unavailable Revenues - Grants - - - - -
FUND BALANCES
Nonspendable - - - - -
Restricted 3,318 575 - - -
Assigned - - - - -
Unassigned - - (3,538) (1,084) (153)
Total Fund Balances 3,318 575 (3,538) (1,084) (153)
Total Liabilities, Deferred Inflows
and Fund Balances $ 3,318 $ 575 $ 2,396 - $ $ 4,965
Special Revenue
69 156
Community
Swimming Sierra Road City Hall
City Hall Pool Dog Park Parking Lot Total
$ 1,689 52,235 $ - $ 13,848 $ 2,625,288 $
- - - - 92,240
- - - - 4,818
- - - - 769,759
$ 1,689 52,235 $ - $ 13,848 $ 3,492,105 $
$ - - $ - $ - $ 88,975 $
- - - - 52,552
- - - - 141,527
- - - - 21,046
- - - - -
- - - - 3,313,145
1,689 52,235 - 13,848 67,772
- - - - (51,385)
52,235 1,689 - 13,848 3,329,532
$ 1,689 52,235 $ - $ 13,848 $ 3,492,105 $
Debt Service Capital Projects
70 157
City of Susanville
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-major Governmental Funds
Year Ended June 30, 2022
Local Law
Enforcement Street Police Fire Park Land
Block Grant Mitigation Mitigation Mitigation In-lieu
REVENUES
Fines and Forfeitures - $ - $ - $ - $ - $
Investment Earnings (428) (298) (168) (289) (569)
Intergovernmental 167,556 - - - -
Charges for Services - 5,503 11,298 10,820 1,147
Total Revenues 167,128 5,205 11,130 10,531 578
EXPENDITURES
Current:
General Government - - - - -
Public Safety 158,496 - - - -
Streets - - - - -
Community Services - - - - 327
Community Development - - - - -
Capital Outlay - - 8,767 - -
Debt Service:
Principal - - - - -
Interest and Fiscal Charges - - - - -
Total Expenditures 158,496 - 8,767 - 327
Excess (Deficiency) of Revenues
Over (Under) Expenditures 8,632 5,205 2,363 10,531 251
OTHER FINANCING SOURCES (USES)
Transfers In - - - - -
Transfers Out - - - (48,300) -
Total Other Financing Sources (Uses) - - - (48,300) -
Net Change in Fund Balances 8,632 5,205 2,363 (37,769) 251 Fund Balances, Beginning of Year 154,047 77,012 43,935 82,990 154,067 Fund Balances, End of Year $ 162,679 $ 82,217 $ 46,298 $ 45,221 $ 154,318 Special Revenue
71 158
State HOME Skyline
Revolving Revolving Traffic Bicycle Traffic Tobacco
Loan Loan Safety Lane Signals CDBG Road Grant
$ - $ - $ 11,539 $ - $ - $ - $ - $ -
(47,109) (2,297) (130) (37) (314) - (4,006) -
- - - - - 324 380,083 33,749
- - - - - - - -
(47,109) (2,297) 11,409 (37) (314) 324 376,077 33,749
- - - - - - - -
- - - - - - - -
- - - - - - 53,424 -
- - - - - - - -
- - - - - 46,934 - -
- - - - - - 189,049 -
- - - - - - - -
- - - - - - - -
- - - - - 46,934 242,473 -
(47,109) (2,297) 11,409 (37) (314) (46,610) 133,604 33,749 - - - - - - - -
- - - - - - - -
- - - - - - - -
(47,109) (2,297) 11,409 (37) (314) (46,610) 133,604 33,749 865,205 773,562 30,090 10,357 85,812 - 927,229 (2,741)
$ 818,096 $ 771,265 $ 41,499 $ 10,320 $ 85,498 $ (46,610) $ 1,060,833 $ 31,008 Continued
Special Revenue
72 159
City of Susanville
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-major Governmental Funds - Continued
Year Ended June 30, 2022
Asset FEMA LEAP ABC OTS
Forfeiture AFG Grant Grant Grant Grant
REVENUES
Fines and Forfeitures 1,876 $ -$ -$ -$ -$
Investment Earnings - (30) - - -
Intergovernmental 571,904 - - 8,293 21,329
Charges for Services - - - - -
Total Revenues 1,876 571,874 - 8,293 21,329
EXPENDITURES
Current:
General Government - - - - -
Public Safety - - - 9,377 21,482
Streets - - - - -
Community Services - - - - -
Community Development - - 3,538 - -
Capital Outlay 870,171 - - - -
Debt Service:
Principal - - - - -
Interest and Fiscal Charges - - - - -
Total Expenditures 870,171 - 3,538 9,377 21,482
Excess (Deficiency) of Revenues
Over (Under) Expenditures 1,876 (298,297) (3,538) (1,084) (153)
OTHER FINANCING SOURCES (USES)
Transfers In 48,300 - - - -
Transfers Out - - - - -
Total Other Financing Sources (Uses) 48,300 - - - -
Net Change in Fund Balances (249,997) 1,876 (3,538) (1,084) (153) Fund Balances, Beginning of Year 1,442 250,572 - - -
Fund Balances, End of Year $ 3,318 $ 575 $ (3,538) $ (1,084) $ (153) Special Revenue
73 160
Community
Swimming Sierra Road City Hall
City Hall Pool Dog Park Parking Lot Total
$ - - $ - $ - $ 13,415 $
- - - - (55,675)
- - - - 1,183,238
- - - - 28,768
- - - - 1,169,746
- - - - -
- - - - 189,355
- - - - 53,424
- - - - 327
- - - - 50,472
- - - - 1,067,987
107,459 75,000 - 182,459 -
26,547 26,073 - 52,620 -
134,006 101,073 - 1,596,644 -
(134,006) (101,073) - (426,898) -
134,004 101,076 - 283,380 -
- - - (48,300) -
134,004 101,076 - 235,080 -
(2) 3 - - (191,818)
52,237 1,686 13,848 - 3,521,350
52,235$ $ 1,689 $ 13,848 - $ $ 3,329,532
Debt Service Capital Projects
74 161
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ (428) $ (428) $
Intergovernmental 173,377 167,556 (5,821)
Total Revenues 173,377 167,128 (6,249)
EXPENDITURES
Current:
Public Safety 188,517 158,496 30,021
Total Expenditures 188,517 158,496 30,021
Excess (Deficiency) of Revenues
Over (Under) Expenditures (15,140) 8,632 23,772
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances (15,140) 8,632 23,772
Fund Balance, Beginning of Year 154,047 154,047 -
Fund Balance, End of Year 138,907 $ 162,679 $ 23,772 $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Local Law Enforcement Block Grant Fund Year Ended June 30, 2022
75 162
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings 49 $ (298) $ (347) $
Charges for Services 9,800 5,503 (4,297)
Total Revenues 9,849 5,205 (4,644)
EXPENDITURES
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 9,849 5,205 (4,644)
Fund Balance, Beginning of Year 77,012 77,012 -
Fund Balance, End of Year 86,861 $ 82,217 $ (4,644) $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Street Mitigation Fund
Year Ended June 30, 2022
76 163
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings 131 $ (168) $ (299) $
Charges for Services 12,600 11,298 (1,302)
Total Revenues 12,731 11,130 (1,601)
EXPENDITURES
Capital Outlay - 8,767 (8,767)
Total Expenditures - 8,767 (8,767)
Excess (Deficiency) of Revenues
Over (Under) Expenditures 12,731 2,363 (10,368)
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances 12,731 2,363 (10,368)
Fund Balance, Beginning of Year 43,935 43,935 -
Fund Balance, End of Year $ 56,666 $ 46,298 $ (10,368)
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Police Mitigation Fund
Year Ended June 30, 2022
77 164
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings 131 $ (289) $ (420) $
Charges for Services 12,300 10,820 (1,480)
Total Revenues 12,431 10,531 (1,900)
EXPENDITURES
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (under) Expenditures 12,431 10,531 (1,900)
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out (48,300) (48,300) -
Total Other Financing Sources (Uses) (48,300) (48,300) - Net Change in Fund Balances (35,869) (37,769) (1,900)
Fund Balance, Beginning of Year 82,990 82,990 -
Fund Balance, End of Year 47,121 $ 45,221 $ (1,900) $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Year Ended June 30, 2022
Budget and Actual - Fire Mitigation Fund
78 165
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings 328 $ (569) $ (897) $
Charges for Services 1,600 1,147 (453)
Total Revenues 1,928 578 (1,350)
EXPENDITURES
Current:
Community Services 24,817 327 24,490
Capital Outlay - - -
Total Expenditures 24,817 327 24,490
Excess (Deficiency) of Revenues
Over (Under) Expenditures (22,889) 251 23,140
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances (22,889) 251 23,140
Fund Balance, Beginning of Year 154,067 154,067 -
Fund Balance, End of Year 131,178 $ 154,318 $ 23,140 $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Park Land In-lieu Fund
Year Ended June 30, 2022
79 166
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings 82 $ (47,109) $ (47,191) $
Total Revenues 82 (47,109) (47,191)
EXPENDITURES
Current:
Community Development - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 82 (47,109) (47,191)
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances 82 (47,109) (47,191)
Fund Balance, Beginning of Year 865,205 865,205 -
Fund Balance, End of Year 865,287 $ 818,096 $ (47,191) $ City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - State Revolving Loan Fund
Year Ended June 30, 2022
80 167
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings 951 $ (2,297) $ (3,248) $
Total Revenues 951 (2,297) (3,248)
EXPENDITURES
Current:
Community Development - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (under) Expenditures 951 (2,297) (3,248)
Fund Balance, Beginning of Year 773,562 773,562 -
Fund Balance, End of Year 774,513 $ 771,26 $ 5 $ (3,248) City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - HOME Revolving Loan Fund
Year Ended June 30, 2022
81 168
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Fines and Forfeitures 10,000 $ 11,539 $ 1,539 $
Investment Earnings 26 (130) (156)
Total Revenues 10,026 11,409 1,383
EXPENDITURES
Current:
Public Safety - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 10,026 11,409 1,383
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances 10,026 11,409 1,383
Fund Balance, Beginning of Year 30,090 30,090 -
Fund Balance, End of Year 40,116 $ 41,499 $ 1,383 $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual -Traffic Safety Fund
Year Ended June 30, 2022
82 169
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ (37) $ (37) $
Charges for Services 100 - (100)
Total Revenues 100 (37) (137)
EXPENDITURES
Current:
Public Safety - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 100 (37) (137)
OTHER FINANCING SOURCES (USES)
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances 100 (37) (137)
Fund Balance, Beginning of Year 10,357 10,357 -
Fund Balance, End of Year 10,457 $ 10,320 $ (137) $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Skyline Bicycle Fund
Year Ended June 30, 2022
83 170
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ (314) $ (314) $
Charges for Services 500 - (500)
Total Revenues 500 (314) (814)
EXPENDITURES
Current:
Public Safety - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 500 (314) (814)
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances 500 (314) (814)
Fund Balance, Beginning of Year 85,812 85,812 -
Fund Balance, End of Year $ 86,312 $ 85,498 $ (814)
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Traffic Signals Fund
Year Ended June 30, 2022
84 171
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ - $ - $
Intergovernmental - 324 324
Charges for Services - - -
Total Revenues - 324 324
EXPENDITURES
Current:
Community Development - 46,934 (46,934)
Capital Outlay - - -
Total Expenditures - 46,934 (46,934)
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (46,610) (46,610)
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances - (46,610) (46,610)
Fund Balance, Beginning of Year - - -
Fund Balance, End of Year - $ (46,610) $ (46,610) $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - CDBG Fund
Year Ended June 30, 2022
85 172
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings 328 $ (4,006) $ (4,334) $
Intergovernmental 338,962 380,083 41,121
Total Revenues 339,290 376,077 36,787
EXPENDITURES
Current:
Streets 122,500 53,424 69,076
Capital Outlay 305,800 189,049 116,751
Total Expenditures 428,300 242,473 185,827
Excess (Deficiency) of Revenues
Over (Under) Expenditures (89,010) 133,604 222,614
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances (89,010) 133,604 222,614
Fund Balance, Beginning of Year 927,229 927,229 -
Fund Balance, End of Year 838,219 $ 1,060,833 $ 222,614 $ City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Road Fund
Year Ended June 30, 2022
86 173
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ - $ - $
Intergovernmental - 33,749 33,749
Total Revenues - 33,749 33,749
EXPENDITURES
Current:
Public Safety - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures - 33,749 33,749
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances - 33,749 33,749
Fund Balance, Beginning of Year (2,741) (2,741) -
Fund Balance, End of Year (2,741) $ 31,008 $ 33,749 $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Tobacco Grant Fund
Year Ended June 30, 2022
87 174
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Fines and Forfeitures - $ 1,876 $ 1,876 $
Investment Earnings - - -
Total Revenues - 1,876 1,876
EXPENDITURES
Current:
Public Safety - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures - 1,876 1,876
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances - 1,876 1,876
Fund Balance, Beginning of Year 1,442 1,442 -
Fund Balance, End of Year 1,442 $ 3,318 $ 1,876 $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Asset Forfeiture Fund
Year Ended June 30, 2022
88 175
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ (30) $ (30) $
Intergovernmental 571,904 571,904 -
Total Revenues 571,904 571,874 (30)
EXPENDITURES
Current:
Public Safety - - -
Capital Outlay 672,581 870,171 (197,590)
Total Expenditures 672,581 870,171 (197,590)
Excess (Deficiency) of Revenues
Over (Under) Expenditures (100,677) (298,297) (197,620)
OTHER FINANCING SOURCES (USES)
Transfers In - 48,300 48,300
Transfers Out - - -
Total Other Financing Sources (Uses) - 48,300 48,300
Net Change in Fund Balances (100,677) (249,997) (149,320) Fund Balance, Beginning of Year 250,572 250,572 -
Fund Balance, End of Year 149,89 $ 5 $ (149,320 575 $ ) City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - FEMA AFG Grant Fund
Year Ended June 30, 2022
89 176
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Intergovernmental 65,000 $ - $ (65,000) $
Investment Earnings - - -
Total Revenues 65,000 - (65,000)
EXPENDITURES
Current:
Community Development 65,000 3,538 61,462
Capital Outlay - - -
Total Expenditures 65,000 3,538 61,462
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (3,538) (3,538)
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances - (3,538) (3,538)
Fund Balance, Beginning of Year - - -
Fund Balance, End of Year - $ (3,538) $ (3,538) $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - LEAP Grant Fund
Year Ended June 30, 2022
90 177
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Intergovernmental 52,918 $ 8,293 $ (44,625) $
Investment Earnings - - -
Total Revenues 52,918 8,293 (44,625)
EXPENDITURES
Current:
Public Safety 52,918 9,377 43,541
Capital Outlay - - -
Total Expenditures 52,918 9,377 43,541
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (1,084) (1,084)
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances - (1,084) (1,084)
Fund Balance, Beginning of Year - - -
Fund Balance, End of Year - $ (1,084) $ (1,084) $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - ABC Grant Fund
Year Ended June 30, 2022
91 178
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Intergovernmental 50,000 $ 21,329 $ (28,671) $
Investment Earnings - - -
Total Revenues 50,000 21,329 (28,671)
EXPENDITURES
Current:
Public Safety 50,000 21,482 28,518
Capital Outlay - - -
Total Expenditures 50,000 21,482 28,518
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (153) (153)
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances - (153) (153)
Fund Balance, Beginning of Year - - -
Fund Balance, End of Year - $ (153) $ (153) $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - OTS Grant Fund
Year Ended June 30, 2022
92 179
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ - $ - $
Charges for Services - - -
Total Revenues - - -
EXPENDITURES
Current:
Community Development - - -
Debt Service:
Principal 107,459 107,459 -
Interest and Fiscal Charges 26,547 26,547 -
Total Expenditures 134,006 134,006 -
Excess (Deficiency) of Revenues
Over (Under) Expenditures (134,006) (134,006) -
OTHER FINANCING SOURCES (USES)
Transfers In 134,006 134,004 (2)
Transfers Out - - -
Total Other Financing Sources (Uses) 134,006 134,004 (2) Net Change in Fund Balances - (2) (2)
Fund Balance, Beginning of Year 52,237 52,237 -
Fund Balance, End of Year 52,237 $ 52,235 $ (2) $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - City Hall Fund
Year Ended June 30, 2022
93 180
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ - $ - $
Charges for Services - - -
Total Revenues - - -
EXPENDITURES
Current:
Community Development - - -
Debt Service:
Principal 75,000 75,000 -
Interest and Fiscal Charges 26,073 26,073 -
Total Expenditures 101,073 101,073 -
Excess (Deficiency) of Revenues
Over (Under) Expenditures (101,073) (101,073) -
OTHER FINANCING SOURCES (USES)
Transfers In 101,073 101,076 3
Transfers Out - - -
Total Other Financing Sources (Uses) 101,073 101,076 3
Net Change in Fund Balances - 3 3
Fund Balance, Beginning of Year 1,686 1,686 -
Fund Balance, End of Year 1,686 $ 1,689 $ 3 $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Community Swimming Pool Fund
Year Ended June 30, 2022
94 181
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ - $ - $
Intergovernmental - - -
Total Revenues - - -
EXPENDITURES
Community Services - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures - - -
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances - - -
Fund Balance, Beginning of Year - - -
Fund Balance, End of Year - $ - $ - $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Sierra Road Dog Park
Year Ended June 30, 2022
95 182
Budgeted
Amounts Actual Variance with
Final Amounts Final Budget
REVENUES
Investment Earnings - $ - $ - $
Charges for Services - - -
Total Revenues - - -
EXPENDITURES
Capital Outlay 13,848 - 13,848
Total Expenditures 13,848 - 13,848
Excess (Deficiency) of Revenues
Over (Under) Expenditures (13,848) - 13,848
OTHER FINANCING SOURCES (USES)
Transfers In - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances (13,848) - 13,848
Fund Balance, Beginning of Year 13,848 13,848 -
Fund Balance, End of Year - $ 13,848 $ 13,848 $
City of Susanville
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - City Hall Parking Lot Fund
Year Ended June 30, 2022
96 183
City of Susanville
Non-major Enterprise Funds
Year Ended June 30, 2022
Airport Fund - accounts for the activities of the City’s airport.
Golf Course Fund - accounts for the activities of the City’s golf course.
Geothermal Fund - accounts for the activities of providing geothermal heat to residents of the City.
97 184
City of Susanville
Combining Statement of Net Position
Non-major Enterprise Funds
June 30, 2022
Golf Course Geothermal Totals
ASSETS
Current Assets:
Cash and Investments 138,895 $ 235,329 $ 374,224 $
Accounts Receivable 116 7,425 7,541
Interest Receivable 222 430 652
Prepaid Expenses 91 - 91
Inventory 2,533 - 2,533
Total Current Assets 141,857 243,184 385,041
Noncurrent Assets:
Capital Assets:
Non-depreciable 2,168,107 249,124 2,417,231
Depreciable, net 210,527 31,621 242,148
Total Capital Assets 2,378,634 280,745 2,659,379
Total Noncurrent Assets 2,378,634 280,745 2,659,379
Total Assets 2,520,491 523,929 3,044,420
LIABILITIES
Current Liabilities:
Accounts Payable 22,557 5,097 27,654
Accrued Liabilities - - -
Unearned Revenue 34,600 - 34,600
Total Current Liabilities 57,157 5,097 62,254
Total Liabilities 57,157 5,097 62,254
NET POSITION
Investment in Capital Assets 2,378,634 280,745 2,659,379 Unrestricted 84,700 238,087 322,787
Total Net Position 2,463,334 $ 518,832 $ 2,982,166
98 185
City of Susanville
Combining Statement of Revenues, Expenses, and Changes in Net Position Nonmajor Enterprise Funds
Year Ended June 30, 2022
Golf Course Geothermal Total
OPERATING REVENUES
Charges for Services 361,030 $ 91,474 $ 452,504 $
Total Operating Revenues 361,030 91,474 452,504
OPERATING EXPENSES
Administration 320,197 136,889 457,086
Depreciation 10,888 2,134 13,022
Total Operating Expenses 331,085 139,023 470,108
Operating Income (Loss) 29,945 (47,549) (17,604)
NONOPERATING REVENUES (EXPENSES)
Interest Income (295) (923) (1,218)
Interest Expense - - -
Total Nonoperating Revenues (Expenses) (295) (923) (1,218) Income Before Capital Contributions
and Transfers 29,650 (48,472) (18,822)
Capital Contributions - - -
Transfers In - - -
Transfers Out - (1,665) (1,665)
Change in Net Position 29,650 (50,137) (20,487)
Net Position, Beginning of Year 2,433,684 568,969 3,002,653 Net Position, End of Year 2,463,334 $ 518,832 $ 2,982,166 $ 99 186
City of Susanville
Combining Statement of Cash Flows
Nonmajor Enterprise Funds
Year Ended June 30, 2022
Golf Course Geothermal Totals
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from Customers and Users $ 90,394 371,333 $ $ 461,727 Payments to Suppliers and Contractors (206,020) (124,827) (330,847) Payments to Employees (112,663) (8,156) (120,819)
Net Cash from Operating Activities 52,650 (42,589) 10,061
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers from (to) Other Funds - (1,665) (1,665)
Payments Received from (Paid to) Other Funds - - -
Net Cash from Noncapital Financing Activities - (1,665) (1,665)
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITIES
Acquisition of Capital Assets - - -
Capital Grants - - -
Net Cash from Noncapital Financing Activities - - -
CASH FLOWS FROM INVESTING ACTIVITIES
Interest Received (469) (1,136) (1,605)
Net Increase (Decrease) in Cash 52,181 (45,390) 6,791
Cash and Cash Equivalents - Beginning of Year 86,714 280,719 367,433 Cash and Cash Equivalents - End of Year 138,895 $ 235,329 $ 374,224 $ Reconciliation of Operating Income (Loss)
to Net Cash from Operating Activities:
Operating Income (Loss) 29,945 $ (47,549) $ (17,604) $
Adjustments to Reconcile Operating Income to Net
Cash Provided (Used) by Operating Activities:
Depreciation 10,888 2,134 13,022
Changes in Assets and Liabilities:
(Increase) Decrease in Accounts Receivable 3,160 (1,080) 2,080 (Increase) Decrease in Prepaids - 63 63
(Increase) Decrease in Inventory (2,022) - (2,022)
Increase (Decrease) in Accounts Payable 3,843 3,935 7,778 Increase (Decrease) in Accrued Liabilities - (399) (399) Increase (Decrease) in Unearned Revenue 7,143 - 7,143
Net Cash Provided by Operating Activities $ 52,650 $ (42,589) $ 10,061 100
187
City of Susanville
Internal Service Funds
Year Ended June 30, 2022
Public Works Administration Fund - accounts for the City’s public works administration activities.
Risk Administration Fund - accounts for City’s risk administration activities.
Retirement Benefits Fund - accounts for expenses related to other postemployment benefit costs.
101
188
City of Susanville
Combining Statement of Net Position
Internal Service Funds
June 30, 2022
Public Works Risk Retirement
Administration Management Benefits Totals
ASSETS
Current Assets:
Cash and Investments 211,541 $ 522,986 $ 4,889 $ 739,416 $ Accounts Receivable - 70,070 - 70,070
Interest Receivable 950 827 - 1,777
Prepaids 2,892 11,375 - 14,267
Total Current Assets 215,383 605,258 4,889 825,530
LIABILITIES
Current Liabilities:
Accounts Payable 18,620 14,107 - 32,727
Accrued Liabilities - 133,487 4,889 138,376
Current Portion of
Compensated Absences 6,257 - - 6,257
Total Current Liabilities 24,877 147,594 4,889 177,360
Noncurrent Liabilities:
Advances from Other Funds 51,042 - - 51,042
Compensated Absences 25,000 - - 25,000
Total Noncurrent Liabilities 76,042 - - 76,042
Total Liabilities 100,919 147,594 4,889 253,402
NET POSITION
Unrestricted 114,464 457,664 - 572,128
Total Net Position 114,464 $ 457,664 $ - $ 572,128 $
Governmental Activities
Internal Service Funds
102
189
City of Susanville
Combining Statement of Revenues, Expenses, and Changes in Net Position Internal Service Funds
Year Ended June 30, 2022
Public Works Risk Retirement
Administration Management Benefits Totals
OPERATING REVENUES
Charges for Services 194,408 $ 1,042,890 $ - $ 1,237,298 $ Total Operating Revenues 194,408 1,042,890 - 1,237,298
OPERATING EXPENSES
Administration (3,855) 508,917 - 505,062
Insurance and Claims Costs 147,369 451,747 - 599,116
Depreciation - - - -
Total Operating Expenses 143,514 960,664 - 1,104,178
Operating Income (Loss) 50,894 82,226 - 133,120
NONOPERATING REVENUES (EXPENSES)
Interest Income (1,745) (1,224) - (2,969)
Interest Expense - - - -
Total Nonoperating Revenues (Expenses) (1,745) (1,224) - (2,969) Income (Loss) Before Transfers 49,149 81,002 - 130,151
Transfers In - - - -
Transfers Out (54,945) - - (54,945)
Change in Net Position (5,796) 81,002 - 75,206
Net Position, Beginning of Year 120,260 376,662 - 496,922 Net Position, End of Year 114,464 $ 457,664 $ - $ 572,128 $ Governmental Activities
Internal Service Funds
103
190
City of Susanville
Combining Statement of Cash Flows
Internal Service Funds
Year Ended June 30, 2022
Public Works Risk Retirement
Administration Management Benefits Totals
CASH FLOWS FROM OPERATING ACTIVITIES
Cash Received from Interfund Services Provided $ 972,820 194,738 $ $ 1,167,558 - $ Cash Paid to Suppliers for Goods and Services (138,590) (1,032,864) - (1,171,454) Cash Paid to Employees 9,043 - (665) 8,378
Net Cash from Operating Activities 65,191 (60,044) (665) 4,482
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Advances Received (Paid to) Other Funds (3,395) - - (3,395) Transfers to Other Funds (54,945) - - (54,945)
Net Cash from Noncapital Financing Activities (58,340) - - (58,340)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest Received (2,486) (1,778) - (4,264)
Net Increase (Decrease) in Cash 4,365 (61,822) (665) (58,122) Cash and Cash Equivalents - Beginning of Year 207,176 584,808 5,554 797,538 Cash and Cash Equivalents - End of Year $ 211,541 $ 522,986 $ 4,889 $ 739,416 Reconciliation of Operating Income (Loss)
to Net Cash from Operating Activities:
Operating Income (Loss) $ 50,894 $ 82,226 $ 133,120 - $ Adjustments to Reconcile Operating Income to Net
Cash Provided (Used) by Operating Activities:
Changes in Assets and Liabilities:
(Increase) Decrease in Accounts Receivable 330 (70,070) (69,740) - (Increase) Decrease in Prepaids 794 (481) - 313
Increase (Decrease) in Accounts Payable 7,985 (4,856) - 3,129 Increase (Decrease) in Accrued Liabilities (66,863) - - (66,863) Increase (Decrease) in Compensated Absences 5,188 - (665) 4,523 Net Cash from Operating Activities $ 65,191 $ (60,044) $ (665) $ 4,482 Governmental Activities
Internal Service Funds
104
191
City of Susanville
Fiduciary Funds
Year Ended June 30, 2022
LAFCO Fund - accounts for agency activities for LAFCO.
Air Pollution District Fund - accounts for agency activities for the Air Pollution District & California Climate Investments Reduction.
IRWMB Fund - accounts for agency activities for IRWMB.
105
192
City of Susanville
Combining Statements of Fiduciary Net Position
Custodial Funds
June 30, 2022
Air
Pollution
LAFCO District IRWMG Totals
ASSETS
Cash and Investments $ 53,475 $ 492,619 $ 546,094 - $
Accounts Receivable 36,097 - 533,380 569,477
Interest Receivable 104 877 - 981
Total Assets $ 53,579 $ 529,593 $ 533,380 $ 1,116,552
LIABILITIES
Accounts Payable 5,644 3,329 - 8,973
Wages Payable - - - -
Due to City of Susanville - 465,102 - 465,102
Deposits - - - -
Total Liabilities $ 5,644 $ 3,329 $ 465,102 $ 474,075
NET POSITION
Restricted
Held for the Benefit of Others 47,935 526,264 68,278 642,477 Total Net Position $ 47,935 $ 526,264 $ 68,278 $ 642,477 Custodial Funds
106
193
City of Susanville
Combining Statements of Changes in Fiduciary Net Position June 30, 2022
Air
Pollution
LAFCO District IRWMG Totals
ADDITIONS
Contributions:
Donations and Other Charges 61,458 $ 427,951 $ - $ 489,409 $ Investment Earnings:
Interest Income (170) (1,922) - (2,092)
Total Additions 61,288 426,029 - 487,317
DEDUCTIONS
General and Administrative 51,776 486,648 - 538,424
Total Deductions 51,776 486,648 - 538,424
Net Increase (Decrease) in Net Position 9,512 (60,619) - (51,107) Net Position, Beginning of Year (Restated) 38,423 586,883 68,278 693,584 Net Position, End of Year 47,935 $ 526,264 $ 68,278 $ 642,477 $ Custodial Funds
107
194
STATISTICAL SECTION
195
Exhibit A-1
Statistical Section
This part of the report is consisted of the City of Susanville's comprehensive annual financial report which presents detailed information as a context for understanding in regarding to what the information in the financial statements, note disclosures, and required supplemental information says about the City's overall financial health.
Contents
Financial Trends
These schedules contain trend information to help the reader understand how the City's financial performance and well-being have changed over time.
Revenue Capacity
These schedules contain information to help the reader assess the factors affecting the City's ability to generate its property and sales taxes.
Debt Capacity
These schedules present information to help the reader assess the affordability of the City's current levels of outstanding debt and the City's ability to issue additional debt in the future.
Demographic and Economic Information
These schedules offer demographic and economic indicators to help the reader understand the environment within which the City's financial activities take place and to help make comparison over time and with other governments.
Operating Information
These schedules contain information about the City's operations and resources to help the reader understand how the City's financial information relates to the services the City provides and the activities it performs.
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports for the relevant year. The City implemented GASB Statement No. 34 as of June 30, 2004; schedules presenting government-wide information, include information beginning in that year. 108
196
Schedule 1
City of Susanville
Net Position by Component,
Last Ten Fiscal Years
Accrual Basis of Accounting
2013 2014 (1) 2015 2016 2017
Governmental activities
Net investment in capital assets 2,012,346 $ 1,857,866 $ 2,419,492 $ 2,861,071 $ 3,011,863 $ Restricted 4,087,019 4,440,352 3,939,682 3,228,998 3,091,763 Unrestricted 2,510,650 (1,756,001) (8,820,376) (9,305,978) (9,198,224) Total governmental activities net position 8,610,015 $ 4,542,217 $ (2,461,202) $ (3,215,909) $ (3,094,598) $ Business-type activities
Net investment in capital assets (488,623) $ (3,222,304) $ (2,742,485) $ (1,573,502) $ (1,984,283) $ Restricted for Debt Service 2,446,070 2,445,921 2,446,530 2,446,094 2,447,781 Unrestricted 5,049,590 8,308,203 7,722,700 6,449,364 7,568,558 Total business-type activities net position $ 7,531,820 7,007,037 $ 7,426,745 $ 7,321,956 $ 8,032,056 $ Primary government
Net investment in capital assets 1,523,723 $ (1,364,438) $ (322,993) $ 1,287,569 $ 1,027,580 $ Restricted 6,533,089 6,886,273 6,386,212 5,675,092 5,539,544 Unrestricted 7,560,240 6,552,202 (1,097,676) (2,856,614) (1,629,666) Total primary government net position $ 12,074,037 15,617,052 $ 4,965,543 $ 4,106,047 $ 4,937,458 $ Source: City of Susanville's audited financial statements Note: The City began to report accrual information when it implemented GASB Statement 34 in fiscal year 2003-04. (1) Net assets restated for prior period adjustment to comply with GASB 65 Fiscal Year
109
197
2018 2019 2020 2021 2022
$ 5,935,334 3,175,697 $ 8,432,628 $ 8,389,623 $ 9,016,992 $ 2,694,959 2,967,351 2,903,744 3,534,116 3,580,027
(8,920,877) (7,644,408) (7,890,437) (8,376,956) (4,971,317) $ 1,258,277 (3,050,221) $ 3,445,935 $ 3,546,783 $ 7,625,702 $ $ 1,382,183 (1,465,481) $ 2,883,742 $ 3,136,200 $ 4,823,903 $ 2,453,021 88,104
8,237,205 9,048,747 9,658,183 10,789,766 9,655,838
$ 10,519,034 9,224,745 $ 12,541,925 $ 13,925,966 $ 14,479,741 $ $ 7,317,517 1,710,216 $ 11,316,370 $ 11,525,823 $ 13,840,895 $ 5,147,980 3,055,455 2,903,744 3,534,116 3,580,027
(683,672) 1,404,339 1,767,746 2,412,810 4,684,521
$ 11,777,311 6,174,524 $ 15,987,860 $ 17,472,749 $ 22,105,443 $ 110
198
Schedule 2
City of Susanville
Changes in Net Position
Last Ten Fiscal Years
Accrual Basis of Accounting
2013 2014 2015 2016
Expenses
Governmental activities:
General government $787,118 $943,178 $975,485 $528,514
Public safety 3,249,421 3,373,503 3,701,118 3,742,579
Streets 2,580,926 1,006,322 956,939 1,898,033
Protective Inspections 214,070 237,433 207,152 205,391
Community services 240,801 328,807 259,123 1,300,553
Community development 405,626 141,523 153,554 343,208
Interest on long term debt 116,906 289,184 311,569 327,131 Total governmental activities expenses 7,594,868 6,319,950 6,564,940 8,345,409 Business-type activities:
Rodeo 0000
Airport 236,959 219,979 217,642 274,051
Water 2,041,448 1,989,849 2,091,691 2,166,356
Geothermal 48,214 57,744 57,029 79,069
Natural Gas 4,052,356 4,170,689 3,766,602 4,180,922
Swimming Pool (closed in 2004-05) 0000
Day Care 0000
Golf Course 429,898 350,476 386,181 354,273
Total business-type activities expenses 6,808,875 6,788,737 6,519,145 7,054,671 Total primary government expenses $14,403,743 $13,108,687 $13,084,085 $15,400,080 Program Revenues
Governmental activities
Charges for services:
General government $12,830 $103,486 $106,054 $76,733
Public safety 68,428 52,593 136,678 83,481
Streets 436 1,715 4,448 197,411
Protective Inspections 75,200 117,560 94,793 84,744
Community services 99,123 178,785 74,784 88,125
Community development 33,288 52,538 38,249 48,694
Operating grants and contributions 994,075 1,096,669 925,909 1,030,102 Capital grants and contributions 1,736,845 896,293 738,606 987,566 Total governmental activities program revenues 3,020,225 2,499,639 2,119,521 2,596,856 Business-type activities:
Charges for services:
Rodeo 0000
Airport 78,488 81,680 97,128 69,394
Water 2,335,499 2,280,947 2,194,458 2,188,967
Geothermal 92,732 92,732 85,004 86,132
Natural Gas 4,499,718 4,581,073 3,945,118 4,182,414
Swimming Pool 0000
Day Care 0000
Golf Course 314,274 334,239 354,173 334,800
Operating grants and contributions 38,574 0 0 0
Capital grants and contributions 99,685 61,354 586,883 163,969 Total business-type activities program revenues 7,458,970 7,432,025 7,262,764 7,025,676 Total primary government program revenues $10,479,195 $9,931,664 $9,382,285 $9,622,532 Fiscal Year
111
199
2017 2018 2019 2020 2021 2022
$478,702 $969,254 $1,244,074 $609,300 $837,240 $668,276 4,373,474 4,596,119 4,064,275 5,526,037 6,120,015 4,365,037 2,960,232 1,747,522 1,079,366 1,278,011 1,273,293 1,305,474 189,901 271,724 226,543 185,822 176,004 244,339
301,068 443,536 346,781 340,401 410,160 513,650
300,922 295,884 242,905 546,163 159,255 236,045
308,646 182,460 397,707 262,643 56,661 245,702
8,912,945 8,506,499 7,601,651 8,748,377 9,032,628 7,578,523 000
278,398 274,429 264,759 279,308 276,776 281,288
2,217,023 2,146,258 2,137,896 2,343,498 2,327,176 3,419,890 85,691 97,254 95,228 97,672 91,969 139,023
4,171,912 3,868,114 4,054,528 3,860,551 3,531,090 4,786,890 000 0 0
000 0 0
314,412 299,189 298,278 270,412 289,892 331,085
7,067,436 6,685,244 6,850,689 6,851,441 6,516,903 8,958,176 $15,980,381 $15,191,743 $14,452,340 $15,599,818 $15,549,531 $16,536,699 $126,315 $239,593 $228,967 $402,309 $48,405 $62,316
119,412 131,708 213,694 324,893 859,362 895,189
1,581 526 0 0 0 0
87,614 136,430 122,968 124,946 168,298 123,573
57,475 103,050 25,863 117,623 214,588 225,295
12,607 14,856 33,233 16,038 10,963 20,284
823,166 1,373,417 583,063 837,781 933,086 2,677,707
2,475,395 924,443 2,707,994 3,321,307 1,503,002 1,398,349 3,703,565 2,924,023 3,915,782 5,144,897 3,737,704 5,402,713 000 0 0
72,722 89,210 87,927 125,229 112,102 122,580
2,755,870 2,751,353 2,722,266 2,923,739 3,013,537 2,989,643 69,227 87,385 102,314 93,757 93,036 91,474
4,681,446 4,542,782 4,792,701 4,589,085 4,234,497 4,725,359 000 0 0
000 0 0
242,509 259,707 250,089 249,367 376,606 361,030
000 0
43,524 163,666 34,471 1,499,085 0
7,865,298 7,894,103 7,989,768 9,480,262 7,829,778 8,290,086 $11,568,863 $10,818,126 $11,905,550 $14,625,159 $11,567,482 $13,692,799 112
200
Schedule 2
City of Susanville
Changes in Net Position
Last Ten Fiscal Years
Accrual Basis of Accounting
2013 2014 2015 2016
Net (Expense)/Revenue
Governmental activities ($4,574,643) ($3,820,311) ($4,445,419) ($5,748,553) Business-type activities 650,095 643,288 743,619 (28,995) Total primary government net expense ($3,924,548) ($3,177,023) ($3,701,800) ($5,777,548) General Revenues and Other Changes in
Net Assets Governmental activities:
Taxes
Property taxes $859,457 $1,455,797 $858,107 $877,382
Sales taxes 1,162,834 1,118,328 1,209,899 1,449,788
Transient Lodging Taxes 379,119 400,724 442,376 455,099 Franchise taxes 24,493 49,776 24,242 36,767
Business license taxes 226,004 221,939 237,758 241,985
Other taxes 45,175 39,786 37,731 42,996
Property tax in lieu of sales tax, unrestricted 428,017 384,924 358,806 349,848 Property tax in lieu of VLF, unrestricted 1,362,579 1,335,361 1,353,298 1,389,739 Use of Money and Property 12,535 34,761 11,607 39,206
Gain (loss) on sale of capital assets 0 0 7,514 0
Miscellaneous revenues 0000
Transfers (562,239) (410,379) (55,164) 111,036
Total governmental activities 3,937,974 4,631,017 4,486,174 4,993,846 Business-type activities:
Use of Money and Property 18,103 18,698 24,380 35,242
Gain on sale of capital assets 0000
Miscellaneous revenues 0000
Transfers 562,239 410,379 55,164 (111,036)
Total business-type activities 580,342 429,077 79,544 (75,794) Total primary government 4,518,316 5,060,094 4,565,718 4,918,052 Change in Net Position
Governmental activities (636,669) 810,706 40,755 (754,707) Business-type activities 1,230,437 1,072,365 823,163 (104,789) Total primary government $593,768 $1,883,071 $863,918 ($859,496) Source: City of Susanville's audited financial statements Note: The city began to report accrual information when it implemented GASB Statement 34 in fiscal year 2003-04.
Fiscal Year
113
201
2017 2018 2019 2020 2021 2022
($5,209,380) ($5,582,476) ($3,685,869) ($4,349,634) ($5,294,924) ($2,175,810) 797,862 1,208,859 1,139,079 2,628,821 1,312,875 618,822 ($4,411,518) ($4,373,617) ($2,546,790) ($1,720,813) ($3,982,049) ($1,556,988) $980,191
$915,021 $942,800 $950,310 $1,047,463 $1,081,577 $2,853,955 2,017,089 2,145,343 1,823,116 1,541,794 1,967,257 2,309,006 507,981 520,158 534,174 454,076 454,622 503,097
34,409 26,211 22,972 18,593 2,753 13,364
278,286 200,760 263,874 216,050 265,769 539,663
40,227 48,364 71,768 15,828 32,901 25,799
000 00
1,354,666 1,545,612 1,578,415 1,583,061 1,580,790
46,938 63,022 91,527 53,413 25,103 (71,740)
000 0
0 0 0 19,785 0
136,074 134,583 113,028 841,075 (15,000) (15,000)
5,330,691 5,626,853 5,449,183 5,791,138 5,395,772 6,158,144 48,312 118,413 268,238 235,145 56,166 16,538
000 0
000 0
(136,074) (134,583) (113,028) (841,075) 15,000 (81,585) (87,762) (16,170) 155,210 (605,930) 71,166 (65,047)
5,242,929 5,610,683 5,604,393 5,185,208 5,466,938 6,093,097 121,311 44,377 1,763,314 2,187,658 100,848 4,078,919
710,100 1,192,689 1,294,289 2,022,891 1,384,041 553,775 $831,411 $1,237,066 $3,057,603 $4,210,549 $1,484,889 $4,632,694 114
202
Schedule 3
City of Susanville
Fund Balances - Governmental Funds,
Last Ten Fiscal Years
Modified Accrual Basis of Accounting
2013 2014(1) 2015 2016 2017 2018
General Fund
Reserved $0 $0 $0 $0 $0 $0
Unreserved 000000
Nonspendable 286,411 445,196 104,869 101,417 90,344 109,993 Restricted 0 18,145 18,196 18,196 18,375 18,615
Committed 000000
Assigned 14,776 17,066 63,462 63,462 113,679 303,927
Unassigned 1,846,833 1,859,126 2,319,757 2,521,280 3,054,261 3,125,488 Total general fund 2,148,020 2,339,533 2,506,284 2,704,355 3,276,659 3,558,023 All Other Governmental Funds
Nonspendable 742 00000
Restricted 3,130,806 4,097,490 3,921,486 3,210,802 3,073,388 2,676,344 Committed 000000
Assigned 0 44,599 596,858 632,817 351,353 548,240
Unassigned (478,663) 0000 (165,397)
Total all other governmental funds $2,652,885 $4,142,089 $4,518,344 $3,843,619 $3,424,741 $3,059,187 Source: City of Susanville's audited financial statements (1) The City includes advances to other funds as nonspendable 115
203
2019 2020 2021 2022
$0
0 109,653 100,427 118,129 128,665
18,615 19,133 19,563 19,590
0 00
223,380 426,694 589,615 250,195
3,462,765 478,357 604,557 2,613,167
3,814,413 1,024,611 1,331,864 3,011,617
0 197,719 48,329
2,957,539 2,890,235 3,675,780 4,482,740
00 0
326,997 97,065 67,771 67,772
(128,652) (385,212) (2,741) (51,385)
$3,155,884 $2,602,088 $3,938,529 $4,547,456
116
204
Schedule 4
City of Susanville
Changes in Fund Balances - Governmental Funds
Last Ten Fiscal Years
Modified Accrual Basis of Accounting
2013 2014 2015 2016 2017
Revenues
Taxes and assessments $4,498,960 $5,035,959 $4,495,698 $4,907,453 $5,104,539 Licenses and permits 74,183 101,323 78,350 86,142 87,084 Fines and forfeitures 31,203 24,301 95,579 99,371 94,449 Use of money and property 27,504 54,042 45,589 72,112 83,168 Intergovernmental revenues 2,722,868 1,985,090 1,293,514 1,999,435 3,280,340 Program income 50,400 14,824 27,271 2,910 2,910
Charges for services 66,244 71,367 74,323 83,214 151,018 Other revenues 43,270 249,062 150,233 261,704 45,330
Total revenues 7,514,632 7,535,968 6,260,557 7,512,341 8,848,838 Expenditures
General government 605,024 753,719 859,783 559,612 459,732 Public safety 3,247,121 3,285,119 3,478,557 3,705,924 3,908,056 Streets 2,663,852 973,660 973,736 2,003,878 2,974,325
Protective Inspections 218,394 229,397 205,594 213,935 191,767 Community services 185,481 209,120 199,819 1,274,122 284,846 Community development 311,528 216,459 153,555 356,909 307,596 Capital Outlay 83,207 64,123 182,134 315,516 57,939
Debt service:
Principal 135,216 236,367 390,777 427,488 513,770
Interest 94,110 168,604 430,116 313,639 307,056
Debt issuance cost 0 108,809 0 45,444 0
Total expenditures 7,543,933 6,245,377 6,874,071 9,216,467 9,005,087 Excess (deficiency) of revenues over (under)
expenditures (29,301) 1,290,591 (613,514) (1,704,126) (156,249) Other Financing Sources (Uses) .....
Contributions from trust funds
Transfers in 168,537 1,335,422 353,284 719,001 801,774
Transfers out (775,416) (1,058,395) (455,583) (693,029) (494,940) Payment to refunded debt escrow agent 0 (4,798,191) 0 0 0 Proceeds from sale of capital asset 16,356 4,300 7,499 1,500 2,841 Proceeds from debt issuance 4,907,000 0 1,200,000 0
Proceeds of long-term debt 00000
Total other financing sources (uses) (590,523) 390,136 (94,800) 1,227,472 309,675 Special Item 00000
Net changes in fund balances (619,823) 1,680,727 (708,314) (476,654) 153,426 Debt service as a percentage of non-capital
expenditures 3.1% 8.3% 12.3% 8.8% 9.2%
Source: City of Susanville's audited financial statements 117
205
2018 2019 2020 2021 2022
$5,493,736 $5,236,015 $4,862,661 $5,372,508 $6,143,124
114,154 110,100 98,955 146,625 114,783
79,169 43,220 26,857 35,558 44,097
94,655 157,021 115,413 40,287 (57,195)
2,302,882 3,011,764 3,819,141 3,068,903 4,302,650
20,000 0 0 0
307,453 389,570 831,652 1,012,836 592,349
62,007 99,506 16,783
8,474,056 9,047,196 9,771,462 9,676,717 11,139,808
1,028,544 747,423 666,501 729,402 901,970
4,299,489 3,981,685 4,452,669 5,125,431 5,129,378
1,734,312 899,280 915,714 818,359 822,736
258,145 226,543 185,822 176,004 244,339
427,010 340,624 334,913 331,395 434,886
287,325 242,905 938,415 159,255 236,045
50,707 1,446,778 2,386,145 441,947 1,216,759
424,876 568,915 3,869,121 177,577 182,459
182,421 352,984 264,597 58,653 52,620
0 0 0 195,128
8,692,829 8,807,137 14,013,897 8,018,023 9,416,320
(218,773) 240,059 (4,242,435) 1,658,694 1,723,488
...
1,201,520 1,038,117 3,990,414 296,327 1,018,246
(1,066,937) (925,089) (3,091,577) (311,327) (881,716)
00 0
00 0
0 0 0 8,279,512
0000
134,583 113,028 898,837 (15,000) 8,416,042
0000 (7,850,850)
(84,190) 353,087 (3,343,598) 1,643,694 2,288,680
7.0% 12.5% 35.6% 3.1% 5.2%
118
206
Schedule 5
City of Susanville
Assessed Value and Estimated Actual Value of Taxable Property, Last Eighteen Fiscal Years
Total
Total Taxable Direct
Fiscal Less: Assessed Tax
Year Secured Utility Unsecured Tax Exemptions Value Rate 2005 $375,828,965 $207,787 $25,279,665 $12,003,306 $389,313,111 1.0090 2006 $399,569,372 $206,940 $25,966,041 $12,284,799 $413,457,554 1.0096 2007 $435,313,349 $206,482 $26,084,788 $12,428,869 $449,175,750 1.0008 2008 $484,139,014 $13,587 $26,234,905 $12,657,141 $497,730,365 1.0000 2009 $532,562,134 $12,621 $24,895,905 $12,659,754 $544,810,906 1.0279 2010 $568,493,249 $12,420 $26,872,204 $12,432,005 $582,945,868 1.0264 2011 $578,912,881 $12,420 $30,360,571 $12,561,467 $596,724,405 1.0268 2012 $557,198,947 $12,420 $27,185,570 $12,331,805 $572,065,132 1.0288 2013 $538,897,975 $12,420 $23,844,638 $12,071,824 $550,683,209 1.0324 2014 $521,207,925 $41,856 $23,462,897 $11,615,402 $533,097,276 1.0389 2015 $519,626,089 $41,856 $21,828,632 $11,042,346 $530,454,231 1.0379 2016 $535,237,902 $41,856 $21,353,144 $10,785,608 $545,847,294 1.0396 2017 $553,097,267 $41,856 $21,842,156 $10,513,069 $564,468,210 1.0396 2018 $576,049,189 $41,818 $23,382,432 $10,318,697 $589,154,742 1.0544 2019 $602,821,995 $41,818 $24,212,708 $9,990,843 $637,067,364 1.0232 2020 $646,348,484 $41,818 $25,019,647 $9,897,235 $681,307,184 1.0394 2021 $645,421,455 $41,818 $24,035,311 $9,756,364 $679,254,948 1.0506 2022 $676,067,010 $41,818 $23,725,282 $9,624,560 $709,458,670 1.0294 Source:
Lassen County - Assessor's Office
Notes:
The voters of the State of California passed Proposition 13 in 1978 which limited property taxes to a total maximum rate of 1% based upon the assessed value of the property. Each year, the assessed value of property may be increased by an "Inflation factor" of no more than 2%. Property is assessed at 100% of the original purchase price and is reassessed upon each subsequent sale.
Tax rates are per $1,000 of assessed value.
119
207
Schedule 6
City of Susanville
Direct and Overlapping Property Tax Rates,
Last Fifteen Fiscal Years
Rate per $1,000 of assessed value
City Direct Rate Overlapping Rates (a)
Total
Fiscal Basic Elementary Elementary Elementary Direct
Year Rate School Bond Bond 2009 Bond 2020 Rate
2008 1.0000 1.0000
2009 1.0000 0.0279 1.0279
2010 1.0000 0.0264 1.0264
2011 1.0000 0.0268 1.0268
2012 1.0000 0.0288 1.0288
2013 1.0000 0.0324 1.0324
2014 1.0000 0.0389 1.0389
2015 1.0000 0.0379 1.0379
2016 1.0000 0.0396 1.0396
2017 1.0000 0.0396 1.0396
2018 1.0000 0.0544 1.0544
2019 1.0000 0.0232 1.0232
2020 1.0000 0.0394 1.0394
2021 1.0000 0.0506 1.0506
2022 1.0000 0.0294 1.0294
Source:
Lassen County
Notes:
The city's basic property tax rate is the same rate as Lassen County.
Refer to Schedule5 for explanation on direct rate limits. (a) Overlapping rates are those of city and county governments that apply to property owners within the City of Susanville. Not all overlapping rates apply to all Susanville property owners.
120
208
Schedule 7
City of Susanville
Principal Property Tax Payers
Current Year and Nine Years Ago
2022
Percentage Percentage
of Total City of Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Rank Value (a) Value Rank Value (a)
Wal-Mart Real Estate Bus Trust 12,735,158 1 2.16% Wal-Mart 11,296,903 1 2.05% Rassier-Mariani 12,077,580 2 2.05% Rassier-Mariani 10,204,027 2 1.85% ACS Lassen Shopping Center CA, LLC 8,383,065 3 1.42% Triple E Investments 7,856,334 3 1.43% Cunha Enterprises LP ETAL 6,224,624 4 1.06% Susanville Limited Partnershp 6,846,208 4 1.24% CPI SUSANVILLE I, LLC ETAL 5,559,000 5 0.94% Foxdale Associates LTD (Walgreens) 6,280,769 5 1.14% Foggy-Declaration of Trust 5,460,000 6 0.93% Lassen Station LP 4,360,865 6 0.79% Malhi Hotels LLC 5,201,926 7 0.88% Susanville Citrus Manor 4,355,889 7 0.79% Triple E Investment Co 4,557,166 8 0.77% Trav-Cor & Investment Inc 3,951,136 8 0.72% Hidden Acres MHP, LP 3,702,498 9 0.63% Tritex Real Estate 3,618,635 9 0.66% 2005 River LLC 3,801,444 10 0.65% Standiford, Larry & Reta 3,366,706 10 0.61% Total $67,702,461 11.49% 62,137,472 11.28%
Source:
Lassen County Assessors Office
Notes:
(a) For total taxable assessed value, see schedule 5.
2013
121
209
Schedule 8
City of Susanville
Property Tax Levies and Collections,
Last Nineteen Fiscal Years
Collected within the
Fiscal
Year County Taxes AB8 City AB8 Collections
Ended Levied Allocation Percent Allocations Percentage in Subsequent Percentage June 30 Factor Growth Fiscal Year Amount of Levy Years Amount of Levy 2004 13,685,201 0.04209031 1.05503834 $586,769 $527,781 89.95% $54,571 $582,352 99.25% 2005 13,940,708 0.04209031 1.05503834 $597,587 $560,471 93.79% $29,938 $590,409 98.80% 2006 14,508,790 0.04118791 1.01843656 $632,964 $583,624 92.20% $32,765 $616,389 97.38% 2007 15,302,568 0.04136327 1.03366934 $684,095 $613,665 89.70% $48,911 $662,576 96.85% 2008 16,409,859 0.04168806 1.08078017 $752,391 $661,347 87.90% $43,224 $704,571 93.64% 2009 18,125,879 0.04150919 1.09983310 $818,267 $707,387 86.45% $67,882 $775,269 94.75% 2010 19,437,444 0.04209745 1.08755598 $872,175 $773,822 88.72% $67,890 $841,712 96.51% 2011 20,699,884 0.04252227 1.06588089 $909,755 $773,350 85.01% $61,820 $835,170 91.80% 2012 21,394,891 0.04143931 0.95963029 $856,069 $774,719 90.50% $29,476 $804,195 93.94% 2013 21,394,891 0.04141142 0.96529843 $861,126 $820,883 95.33% $37,125 $858,008 99.64% 2014 20,794,398 0.04141142 0.96946497 $834,831 $749,821 89.82% $76,606 $826,427 98.99% 2015 19,640,765 0.04092502 0.97446787 $782,647 $771,169 98.53% $9,654 $780,823 99.77% 2016 19,123,922 0.04124459 1.01338253 $793,121 $789,650 99.56% $6,153 $795,803 100.34% 2017 19,229,690 0.04128233 1.02660700 $814,223 $802,646 98.58% $29,151 $831,797 102.16% 2018 19,723,288 0.04093324 1.03134402 $839,744 $834,354 99.36% $34,541 $868,895 103.47% 2019 20,330,453 0.04158277 1.07134905 $899,659 $896,963 99.70% $59,416 $956,379 106.30% 2020 22,225,537 0.04221449 1.04288336 $938,240 $929,403 99.06% $56,058 $985,461 105.03% 2021 23,195,314 0.04317862 1.06746901 $1,001,542 $956,221 95.47% $16,522 $972,743 97.12% 2022 23,693,849 0.04212989 0.99668269 $998,219 $1,118,239 112.02% $1,118,239 112.02% Sources:
Lassen County Assessors Office
Notes:
Taxes levied are totals for Lassen County. Taxes are based on 1% of assessed value. Taxes are distributed using an AB8 allocation factor. Therefore, city tax amounts will not compute using this 1% as a basis.
Property Tax amounts collected for 2014 will not match the CAFR due to the City receiving the PTA fees from the County that were charged for the Property Tax In-Lieu payments and held in trust during the court disputes.
Fiscal Year of the Levy Total Collections to Date
122
210
Schedule 9
City of Susanville
Ratios of Outstanding Debt by Type,
Last Twenty Fiscal Years
General Special Total Certificate
Fiscal Obligation Capital Term Internal Assessment Governmental Revenue Term of Year Bonds (7) Leases (10) Loans (8, 13) Borrowing (12) Bonds (3) Activities Bonds (6)(11) Loan (4)(9) Participation (6) 2003 2,270,000 376,096 1,255,000 3,901,096 6,520,000 1,901 2,225,000 2004 2,215,000 185,904 1,200,000 3,600,904 6,405,000 973,390 24,240,000 2005 2,155,000 87,798 1,145,000 3,387,798 9,610,000 963,000 24,240,000 2006 2,095,000 52,238 1,140,000 3,287,238 9,480,000 953,000 24,240,000 2007 2,035,000 19,549 1,080,000 3,134,549 9,345,000 943,000 24,240,000 2008 1,975,000 0 1,015,000 2,990,000 9,200,000 1,285,222 24,240,000 2009 1,910,000 0 945,000 2,855,000 9,050,000 1,306,123 24,240,000 2010 1,845,000 0 870,000 2,715,000 9,050,000 1,336,194 24,240,000 2011 1,780,000 0 790,000 2,570,000 34,860,000 1,321,967 2012 1,581,555 700,000 2,281,555 34,230,000 1,330,615
2013 1,541,339 600,000 2,141,339 33,900,000 1,329,587
2014 1,457,972 4,859,000 500,000 6,816,972 33,440,000 856,000 2015 1,370,195 4,666,000 390,000 6,426,195 32,955,000 841,000 2016 2,480,708 4,448,000 270,000 7,198,708 32,445,000 826,000 2017 2,324,718 4,221,000 140,000 6,685,718 31,905,000 810,000 2018 2,164,842 4,096,000 0 6,260,842 31,010,949 793,000 2019 1,996,927 3,695,000 0 5,691,927 30,715,000 775,000 2020 1,822,806 0 2,800,462 0 4,623,268 26,792,300 757,000 2021 1,645,229 0 2,639,215 0 4,284,444 25,929,100 738,000 2022 1,462,770 10,601,500 2,474,648 0 14,538,918 22,022,900 718,000 Notes:
Details regarding the City's outstanding debt can be found in the notes to the financial statements. (1) Personal Income for the City is unavailable. Substituted property values in this calculation. See Schedule 5 for values. (2) Population data can be found in schedule 13.
(3) Payment for this bond is responsibility of property owners within the assessment district. (4) In 2008 the Golf Course Loan was established
(5) In 2010 the Golf Course entered into a Capital Lease to acquire new equipment. (6) In August of 2010, The Susanville Public Financing Authority issued new Revenue Refinancing Bonds and paid off the 2000 & 2004 Water Revenue Bonds and the Series 2003, A, B, & C Certificate of Participation Natural Gas Bonds (7) In June 2012, The Susanville Public Financing Authority issued a new lease financing (City Hall Refunding Project) and paid off the 2002 Refunding Lease Bonds with Union Bank (8) In September 2013, the City entered into a loan agreement to pay off the City's side fund liability with CalPERS (9) City paid off the Golf Course Loan and Golf Course Equipment Lease (10) In September 2015 the City entered into a capital lease ($1,200,000) with Umpqua Bank to finance the City portion due to Governmental Activities Business-type Activities
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211
Capital Total Total Percentage
Leases Business-type Primary of Property Per
(5)(9) Activities Government Values (1) Capita (2)
17,214 8,764,115 12,665,211
5,572 31,623,962 35,224,866
4,669 34,817,669 38,205,467 9.05% 3,778
4,669 34,677,669 37,964,907 9.24% 4,123
34,528,000 37,662,549 8.45% 4,149
34,725,222 37,715,222 7.57% 4,143
34,596,123 37,451,123 6.92% 4,143
77,034 34,703,228 37,418,228 6.42% 4,165
58,608 36,240,575 38,810,575 6.27% 3,901
39,063 35,599,678 37,881,233 6.78% 4,150
18,297 35,247,884 37,389,223 6.88% 3,989
34,296,000 41,112,972 7.01% 4,089
33,796,000 40,222,195 7.75% 4,504
33,271,000 40,469,708 7.37% 4,651
32,715,000 39,400,718 7.17% 4,700
31,803,949 38,064,791 6.69% 4,572
31,490,000 37,181,927 5.98% 4,335
27,549,300 32,172,568 5.46% 4,604
26,667,100 30,951,544 4.74% 3,633
22,740,900 37,279,818 4.36% 3,604
124
212
Schedule 10
City of Susanville
Legal Debt Margin Information
Last Fifteen Fiscal Years
2013 2014 2015 2016 2017
Assessed Valuation $550,683,209 $533,097,276 $530,454,231 $545,847,294 $564,468,210 Conversion Percentage 25% 25% 25% 25% 25%
Adjusted Assessed Valuation $137,670,802 $133,274,319 $132,613,558 $136,461,824 $141,117,053 Debt Limit Percentage 15% 15% 15% 15% 15%
Debt Limit $20,650,620 $19,991,148 $19,892,034 $20,469,274 $21,167,558 Total net debt applicable to limit $1,541,339 $1,457,972 $1,370,195 $2,480,708 $2,324,718 Legal debt margin $19,109,281 $18,533,175 $18,521,839 $17,988,566 $18,842,840 Total net debt applicable to the limit 7.5% 7.3% 6.9% 12.1% 11.0% as a percentage of debt limit
Source:
Lassen County Assessors Office
City of Susanville Finance Department
Notes:
The Government Code of the State of California provides for a legal debt limit of 15% of gross assessed valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value. With the implementation of Prop 13, property is now assessed at 100% of market value (as of the most recent ownership of that parcel). The computations above reflect the 25% conversion from full valuation that would have been in effect at the time that the legal debt margin was enacted by the State of California for local governments located within the state.
Refunding of unfunded liability owed to CalPERS constitutes an obligation imposed by law and therefore is exempt from the voter approval requirement of the California Constitution's debt limitation provision (Article XVI, section 18), therefore the amounts have been removed from the 2014, 2015 years
Fiacal Year
125
213
2018 2019 2020 2021 2022
$589,154,742 $637,067,364 $681,307,184 $679,254,948 $709,458,670 25% 25% 25% 25% 25%
$147,288,686 $159,266,841 $170,326,796 $169,813,737 $177,364,668 15% 15% 15% 15% 15%
$22,093,303 $23,890,026 $25,549,019 $25,472,061 $26,604,700 $2,164,842 $1,996,927 $1,822,806 $1,645,229 $1,462,770
$19,928,460 $21,893,099 $23,726,213 $23,826,832 $25,141,930
9.8% 8.4% 7.1% 6.5% 5.5%
Fiscal Year
126
214
Schedule 11
City of Susanville
Direct and Overlapping Governmental Activities Debt
As of June 30
Estimated City's Share
Outstanding Percentage of Overlapping
Governmental Unit: Debt 6/30/22 Applicable Debt
Susanville School Bond 2009 $665,000 100% $665,000
Susanville School Bond 2010 $1,926,362 100% $1,926,362
Susanville School Bond 2020 $3,400,000 100% $3,400,000
$5,991,362
Subtotal, overlapping debt $5,991,362
City of Susanville Direct Debt $1,822,806
Total direct and overlapping debt $7,814,168
Sources: Lassen County.
Note:
Overlapping governments are those that coincide, at least in part, with geographic boundaries of the city. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the property taxpayers of the City of Susanville.
This process recognizes that, when considering the government's ability to issue and repay long-term debt, the entire debt burden borne by the property tax payers should be taken into account.
However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government
127
215
Schedule 12
City of Susanville
Ratios of General Bonded Debt Outstanding
Last Eighteen Fiscal Years
General Bonded Debt Outstanding
Percentage of
General CalPERS Actual Taxable
Fiscal Obligation Capital Refunding Value of Per
Year Bonds Leases Loans Total Property Capita (a)
2005 2,155,000 87,798 2,242,798 0.58% 241
2006 2,095,000 52,238 2,147,238 0.52% 232
2007 2,035,000 19,549 2,054,549 0.46% 225
2008 1,975,000 1,975,000 0.40% 217
2009 1,910,000 1,910,000 0.35% 210
2010 1,845,000 1,845,000 0.32% 205
2011 1,780,000 1,780,000 0.30% 186
2012 1,581,555 1,581,555 0.28% 169
2013 1,541,339 1,541,339 0.28% 162
2014 1,457,972 4,859,000 6,316,972 1.18% 691
2015 1,370,195 4,666,000 6,036,195 1.14% 661
2016 2,480,708 4,448,000 6,928,708 1.27% 801
2017 2,324,718 4,221,000 6,545,718 1.16% 760
2018 2,164,842 4,096,000 6,260,842 1.06% 726
2019 1,996,927 3,695,000 5,691,927 0.89% 648
2020 1,822,806 0 1,822,806 0.27% 226
2021 1,645,229 0 1,645,229 0.24% 186
2022 1,462,770 0 1,462,770 0.21% 170
Notes:
Details regarding the City's outstanding debt can be found in the notes to the financial statements.
(a) Population data can be found in Schedule 13
128
216
Schedule 13
City of Susanville
Pledged Revenue Coverage
Last Nineteen Fiscal Years
Gross Less: Net Special (a)
Fiscal Income and Operating Available Assessment
Year Revenue Expenses (d) Revenue Principal Interest Coverage Collections 2004 $ 1,804,093 $ 1,088,017 $ 716,076 $ 115,000 $ 373,114 1.47 72,163 2005 2,327,816 1,338,483 989,333 134,440 503,440 1.54 572,406 2006 2,188,482 1,313,937 874,545 140,000 553,358 1.26 417,794 2007 2,255,916 1,333,562 922,354 145,000 547,213 1.33 228,473 2008 2,225,392 1,280,646 944,746 156,000 540,691 1.36 112,407 2009 2,514,097 1,531,625 982,472 161,000 532,967 1.42 138,964 2010 2,370,463 1,269,644 1,100,819 172,000 526,020 1.58 236,383 2011 2,296,647 1,274,530 1,022,117 355,000 282,626 1.60 146,991 2012 2,509,812 1,197,900 1,311,912 250,000 384,735 2.07 124,871 2013 2,345,393 1,246,419 1,098,974 255,000 382,235 1.72 106,282 2014 2,290,494 1,286,924 1,003,570 255,000 378,735 1.58 129,324 2015 2,199,120 1,365,308 833,812 260,000 375,669 1.31 128,052 2016 2,193,392 1,425,673 767,719 265,000 371,119 1.21 149,933 2017 2,794,591 1,479,844 1,314,747 270,000 366,384 2.07 1,799 2018 2,722,257 1,477,798 1,244,459 275,000 359,075 1.96 0 2019 2,844,198 1,397,731 1,446,467 303,000 440,624 1.95 2020 3,007,920 2,225,049 782,871 244,000 138,951 2.04
2021 3,014,957 2,551,562 463,395 338,200 180,071 0.89
2022 2,975,320 2,172,557 802,763 347,600 170,653 1.55
Gross Less: Net Vehicle
Fiscal Income and Operating Available License
Year Revenue Expenses (d) Revenue Principal Interest Coverage Fees 2004 $ 1,749,040 $ 1,656,334 $ 92,706 $ - $ 1,414,075 0.07 952,051 2005 2,724,148 1,908,214 815,934 - 1,414,075 0.58 120,328 2006 4,264,151 2,920,251 1,343,900 - 1,414,075 0.95 174,072 2007 4,327,730 2,941,944 1,385,786 - 1,414,075 0.98 116,605 2008 4,650,665 3,010,223 1,640,442 - 1,414,075 1.16 83,753 2009 4,426,856 2,999,389 1,427,467 - 1,414,075 1.01 63,206 2010 4,728,040 2,622,739 2,105,301 - 1,414,075 1.49 54,597 2011 4,680,593 2,914,924 1,765,669 - 1,035,641 1.70 85,151 2012 4,570,796 2,164,607 2,406,189 25,000 1,417,565 1.67 9,022 2013 4,507,141 2,222,000 2,285,141 75,000 1,417,106 1.53 2014 4,589,502 2,385,745 2,203,757 205,000 1,414,761 1.36 2015 3,956,377 1,956,454 1,999,923 225,000 1,409,594 1.22 2016 4,200,070 2,431,844 1,768,226 245,000 1,402,155 1.07 2017 4,725,382 2,468,943 2,256,439 270,000 1,393,731 1.36 2018 4,606,134 2,223,087 2,383,047 300,000 1,384,450 1.41 2019 4,947,906 2,392,595 2,555,311 330,000 1,384,267 1.49 2020 4,733,385 3,456,435 1,276,950 380,000 466,240 1.51 2021 4,288,245 2,538,653 1,749,592 525,000 706,115 1.42 2022 4,758,367 2,578,526 2,179,842 535,000 743,050 1.71 Notes:
Details regarding the City's outstanding debt can be found in the notes to the financial statements.
Operating expenses do not include principal, interest, depreciation, amortization or grant expenses. (a) Special Assessment Collections will not tie to the financial statement due to the yearly prinicipal payment being booked to the revenue account to reduce the investment in bonds on the balance sheet (b) In June 2012, the City refinanced the 2002 Refunding Lease Revenue Bonds held with Union Bank.
The new lease agreement with Compass bank did not require any pledged revenues. (c) The new CalPERS refunding loan did not require any pledged revenue. Loan is being reported in governmental debt service, but will be charged to all funds that incur payroll expenses based on a formula ( d ) Cost of Issuance and paying off CalPERS Refunding Loan not included in the operating expenses for 2019-20 Debt Service
Debt Service
Water Revenue Bonds
Natural Gas Revenue Bonds
129
217
Debt Service
Principal Interest Coverage
50,000 98,750 0.49
55,000 94,744 3.82
55,000 90,481 2.87
60,000 86,025 1.56
65,000 81,181 0.77
70,000 75,950 0.95
75,000 70,331 1.63
80,000 64,325 1.02
90,000 57,738 0.85
95,000 55,069 0.71
105,000 42,819 0.87
110,000 34,488 0.89
120,000 25,565 1.03
130,000 15,888 0.01
140,000 5,425 0.00
Property Tax
In Lieu of Debt Service
VLF Principal Interest Coverage 0 55,000 107,930 5.84
988,907 60,000 106,605 6.66
1,138,723 60,000 105,015 7.96
1,256,457 60,000 103,215 8.41
1,396,408 60,000 101,265 9.18
1,488,666 65,000 99,043 9.46
1,523,051 65,000 96,573 9.76
1,461,838 65,000 94,005 9.73
1,407,887 70,000 91,235 8.79
40,216 40,747
83,367 53,215
87,777 50,273
88,707 47,943
90,989 44,036
94,876 40,819
100,915 37,483
104,121 33,860
104,577 30,233
Miller /Fletcher Assessment Bonds
City Hall Improvement Lease (b)
130
218
Schedule 14
City of Susanville and County of Lassen
Demographic and Economic Statistics
Last Twenty-three Years
County
Total Total County Per Capita City
Fiscal City Prison City & Prison County Personal Personal Unemployment Year Population Population Population Population Income Income Rate 2000 8,620 8,469 17,089 33,960 $589,375,000 $17,355 6.90% 2001 8,733 8,676 17,409 33,883 $605,104,000 $17,859 7.10% 2002 8,936 8,456 17,392 34,183 $628,276,000 $18,380 7.50% 2003 9,216 8,670 17,886 34,955 $666,873,000 $19,078 7.50% 2004 9,099 9,000 18,099 34,846 $708,056,000 $20,320 7.40% 2005 9,323 9,001 18,324 35,455 $736,266,000 $20,766 7.70% 2006 9,267 9,070 18,337 35,452 $783,732,000 $22,107 7.60% 2007 9,151 8,987 18,138 36,375 $824,244,000 $23,563 7.80% 2008 9,091 8,479 17,570 35,757 $888,241,000 $25,375 9.10% 2009 9,104 8,298 17,402 35,550 $923,137,000 $26,721 12.70% 2010 8,992 8,439 17,431 35,889 $960,891,000 $27,603 17.10% 2011 9,591 7,963 17,554 34,577 $986,835,000 $28,855 16.50% 2012 9,352 7,442 16,794 34,167 $1,095,589,000 $32,552 12.40% 2013 9,496 6,482 15,978 33,422 $1,093,396,000 $33,995 10.60% 2014 9,143 6,689 15,832 32,581 $1,061,423,000 $33,432 11.40% 2015 9,129 6,380 15,509 32,092 $1,085,466,000 $34,630 9.00% 2016 8,648 5,966 14,614 30,780 $1,155,947,000 $37,446 10.30% 2017 8,611 6,435 15,046 30,918 $1,143,237,000 $36,686 6.90% 2018 8,618 6,336 14,954 30,911 $1,165,660,000 $37,844 6.70% 2019 8,781 6,227 15,008 30,150 $1,092,110,000 $35,581 4.60% 2020 8,076 5,641 13,717 28,833 $1,215,362,000 $40,490 6.30% 2021 8,856 5,658 14,514 27,572 $1,306,255,000 $39,394 5.50% 2022 8,587 4,216 12,803 33,159 n/a n/a 5.00%
Sources:
Personal Income and Per capita data - Bureau of Economic Analysis City and County population - State of California Department of Finance Demographic Total County population includes the correctional facilities 131
219
Schedule 15
City of Susanville
Principal Employers
Current Year and Nine Years Ago
Percentage Percentage
of Total City of Total City
Employer (b) Employees Rank Employment (a) Employer Employees Rank Employment (a) High Desert State Prison 1486 1 43.71% High Desert State Prison 1269 1 26.06% California Correctional Center 978 2 28.76% California Correctional Center 1037 2 21.29% Lassen County 372 3 10.94% Lassen County 437 3 8.97%
Lassen Community College 249 4 7.32% Susanville Indian Rancheria 307 4 6.30% Banner Lassen Medical Center 185 5 5.44% Banner Lassen Medical Center 219 5 4.50% Wal-Mart 176 6 5.18% Diamond Mountain Casino 182 6 3.74% Susanville School District 158 7 4.65% Wal-Mart 176 7 3.61% Diamond Mountain Casino 122 8 3.59% Lassen Community College 147 8 3.02% Northeastern Rural Health * 114 9 3.35% Susanville School District 103 9 2.11% Susanville Indian Rancheria 107 11 3.15% Countryvilla Riverview Rehab 102 10 2.09% Safeway 102 12 3.00% Safeway 95 11 1.95%
City of Susanville 85 10 2.50% Lassen Union High School 86 12 1.77% Lassen Union High School 85 13 2.50% Northeastern Rural Health 85 13 1.75% Susanville Supermarket 62 14 1.82% City of Susanville 59 14 1.21% Lassen Nursing & Rehab 42 15 1.24% Susanville Supermarket 50 15 1.03% 4323 127.15% 4354 89.40%
Source:
Employment Development Department, Listed Employers
Notes:
(a) Total Labor Force for the City is 3400 (2022) and 4870 (2013) (b) Employers listed are within the city limits or have been annexed. *Requested Data Not Provided From Employer
2022 2013
132
220
Schedule 16
City of Susanville
Full-time City Governmental Employees by Function/Program, Last Twenty Fiscal Years
2003 2004 2005 2006 2007 2008 2009 2010 2011
Administration 3.5 3.5 2.5 2.5 2.5 2.5 2.5 2.5 1.25
City Clerk 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1
Finance 777666655
Police 24 22 22 20 21 20 20 19 18
Fire 11 10.5 8.5 8.5 9 11 11 11 9
Community Development 5 4.5 4.5 4.5 4433 3.75
Community Services 998563221
Public Works 19 20 17 18 18 18 18 18 18
Total 80 78 71 66 68 66 64 62 57
Source:
City Finance Department
Notes:
Number differs from principal employers due to temporary employees included A full-time employee is scheduled to work 2,080 hours per year.
Fiscal Year
133
221
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
1.75 3.5 3.5 3.5 3.5 3.5 3.5 3.5 2.5 2.5 2.5
1 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5
4.5 4 5 5 5 5 5 5 5 5 5
18 17 19 20 20 20 20 20 21 19 20
99999999999
3.75 3333333343
11111111122
18 20 20 21 21 20 20 20 20 22 22
57 59 62 64 64 63 63 63 63 65 65
Fiscal Year
134
222
Schedule 17
City of Susanville
Operating Indicators by Function/Program,
Last Ten Fiscal Years
2013 2014 2015 2016 2017 ** 2018 *** 2019 2020 2021 2022 Function/Program
General Government
Building Permits Issued 264 317 336 174 322 362 371 332 433 477 Building Inspections Conducted 915 843 788 429 858 784 684 428 488 533 Police
Physical arrests 663 487 496 546 529 459 457 373 240 290 Parking violations 114 74 111 124 267 166 172 96 273 249 Traffic violations 469 182 374 361 169 237 427 431 285 379 Fire
Emergency responses 784 853 1137 1193 1259 1187 1257 1297 1570 1707 Fires extinguished 47 49 49 69 71 59 54 55 27 10
Inspections 47 122 124 105 117 85 146 168 134 181
Public Works
Street resurfacing (miles) 2.2 2.1 0 0.79 3.73 0.58 1.68 2.26 0 0.48 Potholes repaired 147 205 348 197 400 375 389 315 270 320 Community Services
Athletic field permits issued 44444444 44
Water
New connections 02242030 28
Average daily consumption 2121 2708 1849 1547 1768 1800 1671 1726 1877 1768 (thousands of gallons)
Peak daily consumption 3637 5230 5041 3859 3643 3594 3279 3279 3415 3442 (thousands of gallons)
Natural Gas
New connections 134 174 78 52 20 28 20 15 36 71
Average daily consumption *
MMBTU's 565 591 505 561 633 619 620 618 589 577
Peak daily consumption
MMBTU's 1403 1795 1595 1795 1838 1555 1590 1677 1339 964 Sources:
Various City Departments
Notes:
City's Natural Gas Department began operating in 2002
1 MMBTU equals one million British thermal units
* Corrected average daily consumption for 2014
** Corrected prior year meter installations
***Corrected prior year paving
FISCAL YEAR
135
223
Schedule 18
City of Susanville
Capital Asset Statistics by Function/Program
Last Ten Fiscal Years
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Function/Program
Police
Stations 1 1 1 1 1 1 1 1 1 1
Patrol units 13 13 14 14 14 12 12 11 9 9
Fire
Fire Stations 1 1 1 1 1 1 1 1 1 1
Fire engines 7 7 6 6 6 6 6 6 5 6
Public works
Streets (miles) 54 54 54 54 54 54 54 54 54 54
Highways (miles) 0 0 0 0 0 0 0 0 0 0
Street lights 532 534 534 534 534 534 535 535 535 535
Traffic signals 0 0 0 0 0 0 0 0 0 0
Community Services
Parks acreage 147 147 147 147 147 147 147 147 147 147
Playgrounds 22222222 2 2
Baseball/softball diamonds 3 3 3 3 3 3 3 3 3 3
Soccer/football fields 11111111 1 1
Museums 1 1 1 1 1 1 1 1 1 1
Swimming pools 00000000 0 0
Water
Water mains (miles) 65 65 65 65 65 65 65 65 65 65
Fire Hydrants 429 432 434 434 434 434 434 434 434 434
Storage capacity (thousands of gallons) 4000 4000 4000 4000 4000 4000 4000 4000 4000 4000 Water meters 3803 3805 3807 3811 3813 3813 3816 3816 3788 3788 Natural Gas
Gas mains (miles) 61 61 61 61 61 61 61 61 61 61
Gas meters 2901 3075 3153 3180 3200 3228 3248 3261 3287 3293 Sources:
Various City departments
Notes:
Traffic Signals and Highways are owned by CalTrans.
City's Natural Gas Department began operating in 2002
In December 2005, Roosevelt Pool was closed due to structural damage to the building that housed the pool.
Fire Engines includes Ladder Trucks
Fire Department provided corrected fire hydrant numbers for 2011-2014 Fiscal Year
136
224
Schedule 19
City of Susanville
Water Department
Water Sold by Type of Customer
Last Fifteen Fiscal Years
(In Millions of Gallons)
2008 2009 2010 2011 2012 2013 2014
Residential 549.86 541.7 514.31 478.38 519.60 548.43 487.15 Commercial 205.6 206.75 190.50 190.24 191.80 225.28 202.28 Total 755.5 748.5 704.8 668.6 711.4 773.7 689.43
Water Sales $2,049,605 $2,424,802 $2,315,996 $2,271,480 $2,358,189 $2,333,534 $2,280,209 City Direct Rate Per Gallon 0.0027 0.0032 0.0033 0.0034 0.0033 0.0030 0.0033 Source:
City of Susanville Finance Department
Notes:
Total Water Revenue equals charges for services as found in schedule 2.
Fiscal Year
137
225
2015 2016 2017 2018 2019 2020 2021 2022
485.07 414.54 446.83 435.91 445.90 458.70 555.67 512.81 197.26 158.21 169.11 178.95 182.28 177.58 191.52 190.36 682.34 572.75 615.94 614.86 628.17 636.28 747.19 703.17 $2,185,204 $2,187,569 $2,725,529 $2,750,970 $2,722,266 $2,923,739 $3,013,537 $2,989,643
0.0032 0.0038 0.0044 0.0045 0.0043 0.0046 0.0040 0.0043 Fiscal Year
138
226
Schedule 20
City of Susanville
Water Department
Water Rates
Last Nineteen Fiscal Years
Average
Fiscal Monthly Infrastructure Rate per
Year Ended Base Surcharge 1,000
June 30 Rates Gallons
2004 $12.85 $1.23
2005 $16.50 $1.41
2006 $18.20 $1.41
2007 $18.20 $1.41
2008 $18.20 $1.41
2009 $23.65 (A) $1.66
2010 $23.65 (A) $1.66
2011 $23.65 (A) $1.66
2012 $23.65 (A) $1.66
2013 $23.65 (A) $1.66
2014 $23.65 (A) $1.66
2015 $23.65 (A) $1.66
2016 $23.65 (A)(B) $3.42/$2.86
2017 $23.65 $15.00 (A)(C) $2.18/$1.51
2018 $23.65 $15.00 (A)(C) $2.18/$1.51
2019 $23.65 $15.00 (A)(C) $2.18/$1.51
2020 $23.65 $15.00 (A)(C) $2.18/$1.51
2021 $23.65 $15.00 (A)(C) $2.18/$1.51
2022 $23.65 $15.00 (A)(C) $2.18/$1.51
Source
City of Susanville Finance Department
Notes:
Rates are based on 5/8" meter, which is standard household meter size.
Commercial accounts charged differently based on meter size. (A) First 300 cubic feet now included in base rate.
(B)Resolution No. 16-5297 set new water rates based on the 2016 Water Rate Analysis and Calculation report.
This study put an end to the old tiered usage system and adopted rates for irrigation (April - October) and non-irrigation (November - March) watering season.
(C)Resolution No. 16-5339 set new water rates based on a revised 2016 Water Rate Analysis and Calculation report.
This revised study recalculated the cost to provide the service by removing some of the Capital Improvement Projects.
New irrigation and non-irrigation season rates were adotped along with a monthly infrasturcture surcharge based on meter size. 139
227
Schedule 21
City of Susanville
Water Department
Top Ten Water Customers
Current Year and Nine Years Ago
2022 2013
Percent of Percent of
Water Total Water Water Total Water
Water Customer Charges (a) Revenues Charges (a) Revenues Lassen County $74,148 2.46% Lassen County $70,004 3.00% City of Susanville $34,667 1.15% City of Susanville $36,102 1.55% Lassen Union High School $33,883 1.12% Lassen High School District $29,521 1.27% Susanville Indian Rancheria/Casino $33,151 1.10% Susanville Indian Rancheria $19,688 0.84% Hidden Acres Mobile Home Park $28,839 0.96% Hidden Acres Mobile Home Park $18,486 0.79% Diamond View School $20,637 0.68% Diamond View School $15,867 0.68% Meadow View School $16,236 0.54% Meadowview Elementary School $15,553 0.67% Malhi, Sukhjinder $15,739 0.52% Citrus Manor Apartments $13,605 0.58% Mountain View Mobile Home Park $11,710 0.39% Millview Apartments $10,158 0.44% Citrus Manor Apartments $11,438 0.38% Mountain View Mobile Home Park $8,714 0.37% $280,448 9.31% $237,698 10.19%
Source:
City of Susanville Finance Department
Notes:
(a)Total Water Revenue equals charges for services as found in schedule 2. 140
228
Schedule 22
City of Susanville
Gas Department
Gas Sold by Type of Customer
Last Fourteen Fiscal Years
(In Therms)
2009 2010 2011 2012 2013 2014
Residential 837,390 937,912 969,365 970,855 989,815 1,018,373 Commercial 926,457 1,092,072 1,145,538 1,059,126 1,072,065 1,133,858 Total 1,763,847 2,029,984 2,114,903 2,029,981 2,061,880 2,152,231 Nat Gas Sales $4,271,575 $4,723,849 $4,667,746 $4,431,883 $4,499,459 $4,580,771 City Direct Rate per Therm $2.42 $2.33 $2.21 $2.18 $2.18 $2.13 Source:
City of Susanville Finance Department - Utility Billing Notes:
Total Gas Revenue equals charges for services as found in schedule 2. 100 cubic feet=100,000 BTUs=1 Therm
BTU is British Thermal Unit
141
229
2015 2016 2017 2018 2019 2020 2021 2022
937,529 1,002,170 1,280,163 1,076,806 1,132,966 1,095,829 1,128,022 1,209,883 992,290 1,059,923 1,183,869 1,017,122 1,120,308 1,067,576 1,021,074 1,420,618 1,929,819 2,062,093 2,464,032 2,093,928 2,253,274 2,163,405 2,149,096 2,630,501 $3,942,591 $4,181,963 $4,681,092 $4,542,332 $4,792,701 $4,589,095 $4,234,497 $4,725,359 $2.04 $2.03 $1.90 $2.17 $2.13 $2.12 $1.97 $1.80
Fiscal Year
142
230
Schedule 23
City of Susanville
Gas Department
Gas Rates
Last Nineteen Fiscal Years
Fiscal Monthly Rate per
Year Ended Base Therm
June 30 Rates
2004 $6.00 $1.42
2005 $7.00 $1.65
2006 $7.00 $2.44
2007 $7.00 $2.21 (A)(B)
2008 $7.00 $2.21 (A)(B)(C)
2009 $7.00 $2.30 (A)(B)(C)
2010 $7.00 $2.20 (A)(B)(C)
2011 $7.00 $2.20 (A)(B)(C)
2012 $7.00 $2.20 (A)(B)(C)
2013 $7.00 $2.20 (A)(B)(C)
2014 $7.00 $2.14 (A)(B)(C)(D)
2015 $7.00 $2.14 (A)(B)(C)(D)
2016 $7.00 $2.14 (A)(B)(C)(D)
2017 $7.00 $2.14 (A)(B)(C)(D)
2018 $7.00 $2.14 (A)(B)(C)(D)
2019 $7.00 $2.14 (A)(B)(C)(D)
2020 $7.00 $2.14 (A)(B)(C)(D)
2021 $7.00 $1.95 (A)(B)(C)(D)(E)
2022 $7.00 $1.95 (A)(B)(C)(D)(E)
Source:
City of Susanville Finance Department
Notes:
City of Susanville Natural Gas Department began operation in 2002 (A) - The City of Susanville passed new gas rates in May of 2010 with Resolution #10-4625 removing winter and summer rates and applying one rate for customers. It gave new customer sign-ups a welcome rate for one year at $1.95 per therm.
Rates
0-450 Therms $2.20
450 + Therms $2.12
1 Therm=100,000 BTUs
(E) - Resolution 20-5797 reduced the residential rate to $1.85 per therm. The standard commercial rate is fixed at $1.95 per therm. The variable rate structure for customers consuming over 30,000 therms is fixed at $1.65 per therm.
(B) - Resolution 07-4306 set variable price index billing for the city's largest consuming customers capable of using alternate fuels as their primary energy source in place of natural gas. The variable gas rate is set monthly by comparing one or both of the propane and heating oil indexes to the city's variable monthly gas cost. The lowest of the three shall be used as the current billing rate.
(C) - Resolution 07-4119 gave the city's largest users that qualify for the variable price index the opportunity to lock into a fixed price for all or a portion of their supply. The fixed price is a mutually agreeable fixed price offered through City of Susanville by Susanville's gas supplier for the quantities specified by the customer, plus customer's variable price natural gas adder.
(D) - Resolution 13-4952 reduced the natural gas rates by .06 cents beginning July 1, 2013 and expiring June 30, 2014. Rates effective Julty 1, 2013 will be $2.14/therm (0-450 therms) and $2.06/therm (450 or more therms) Resolution 14-5069 made the rate reduction permanent.
143
231
Schedule 24
City of Susanville
Gas Department
Top Ten Gas Customers
Current Year and Nine Years Ago
2022 2013
Percent of Percent of
Gas Total Gas Gas Total Gas
Gas Customer Charges (a) Revenues Gas Customer Charges (a) Revenues Lassen Community College $246,192 5.81% Banner Lassen Hospital 276,428 6.14% Banner Lassen Medical Center $235,049 5.55% Lassen Community College 217,012 4.82% Lassen County $226,721 5.35% Lassen County 128,223 2.85% Susanville Indian Rancheria/Casino $94,489 2.23% Susanville Indian Rancheria 83,345 1.85% Lassen High School District $82,312 1.94% Northeastern Rural Health Clinic 57,143 1.27% Safeway $59,781 1.41% Safeway 54,474 1.21%
Northeastern Rural Health Clinic $58,336 1.38% Lassen High School/Credence 49,962 1.11% Susanville Garden Apartments $50,311 1.19% McKinley School 43,349 0.96% Lassen Superior Court $49,267 1.16% Susanville Garden Apartments 32,799 0.73% Walmart $48,497 1.15% Emerald Cascade Restaurant Sys 29,370 0.65% $1,150,954 27.18% $972,105 21.59%
Source:
City of Susanville Finance Department
Notes:
(a)Total Gas Revenue equals charges for services as found in schedule 2. 144
232
AGENDA ITEM NO. 9.C
Discussion Item
Submitted By: Heidi Whitlock, Administrative Services
Action Date: December 6, 2023
SUBJECT: Discussion regarding Public Safety Chief Position PRESENTED BY: Dan Newton, City Administrator
SUMMARY: Many cities throughout the country have consolidated their public safety agencies with the goal of enhancing efficiency and improving service to their residents. With the recent retirement of both Fire Chief James Moore and Police Chief Ryan Cochran, both positions are currently vacant, which makes for good timing to consider combining the positions.
There are two main types of consolidation: administrative and operational. The city is only considering administrative consolidation at this time. Administrative consolidation is much more straightforward and more widely accepted by both police and firefighter organizations nationwide.
Attached is a brief report including a proposed organizational chart for the council's consideration. There are potential benefits of administrative consolidation. The proposed plan adds an additional staff member to both fire and police to compensate for the loss of the two chief positions, resulting in an increase in operational staff from the current structure.
FISCAL IMPACT: Moderate cost increase because the proposed plan will net one additional staff position. This proposal is not intended to be a cost saving measure.
ACTION REQUESTED: Direction to staff.
SUSANVILLE CITY COUNCIL AGENDA ITEM
ATTACHMENTS:
PUBLIC SAFETY ADMINISTRATIVE CONSOLIDATION REPORT 12-6-2023.pdf 233
ASSESSMENT
ADMINISTRATIVE CONSOLIDATION
OF
FIRE AND POLICE DEPARTMENT
AND
CREATION OF
PUBLIC SAFETY CHIEF
Date: 12/6/2023
Prepared By: Dan Newton, City Administrator
Need and Purpose:
To enhance the efficiency of administrative efforts and provide equal or better public safety services to the residents of Susanville, the city needs to assess the potential consolidation of public safety administration within the city of Susanville.
The purpose of public safety agency consolidation is to optimize public safety services by providing opportunities for enhanced administrative capabilities, coordination, and cooperation among fire and police services within a community.
Discussion:
The city of Susanville is comprised of 7 departments, Administrative Services, City Clerk, Economic Development, Finance, Fire, Police, and Public Works. The Public Works Department is the largest with 30 full-time employees, police is second largest with 21 full-time employees followed by Fire (9), Finance, Administration Services (3), Economic Development (1) and City Clerk (1). With the recent retirement of Fire Chief Moore and Police Chief Cochran both chief positions are open which makes for a viable time to consider consolidation of the Police Chief and Fire Chief positions into a Public Safety Chief.
There are several agencies nationwide that have consolidated their public safety departments.
Although research shows that it is not a fit for every community, there are varying levels of success accomplished through consolidation. Studies suggest that consolidation is feasible in small communities (Morely, 2013).
There are varying categories of consolidation. There is nominal consolidation, which primarily addresses the administrative functions; there is partial consolidation, which addresses administration and a portion of staff that are public safety officers (staff that are both police and firefighters); and there is full consolidation, where all staff are public safety officers. (Wilson & Grammich, 2019)
234
The City Council has directed the City Administrator to explore nominal consolidation. This would involve only the administrative functions of the Fire Department and the Police Department. The city may elect to explore further consolidation in the future; however, considering partial or full consolidation will require a much more in-depth analysis. For this reason, partial or full consolidation will not be discussed in detail in this report.
Organizational Structure:
Under the proposed new organizational structure both police and fire retain current staffing levels.
The Director of Public Safety would be the department head for the newly formed Public Safety Department, the department would be divided into three divisions, Administration, Fire, and Police.
The proposal combines the existing Police Chief and Fire Chief positions into one position, the Public Safety Chief. There are currently two Administrative Assistant positions, one in the Police Department and one in the Fire Department. These two Administrative Assistant positions would report to the Public Safety Chief. See the attached proposed organizational chart.
Proposed New Positions:
1) Public Safety Chief
2) Administrative Captain - Fire
3) Police Officer
Propose Eliminated Positions:
1) Fire Chief
2) Police Chief
Proposed Reclassified Positions:
1. Assistant Fire Chief – (Reclassify to Assistant Chief – Fire)
2. Police Captain – (Reclassify to Lieutenant – Police)
3. Police Sergeant – (Reclassify to Lieutenant – Police) Job Description:
A draft job description has been developed by combining the Fire Chief and Police Chief job descriptions. The California Government Code provides specific minimum requirements for heads of consolidated public safety agencies, which would apply to this position. In short, the person appointed as the Public Safety Chief would be required to meet the minimum standards for a peace officer and have previous training and experience as a firefighter.
Municipal Code:
The city municipal code makes several references to the Police Chief and Fire Chief. The simplest way to address the code is to add language stating all references to the Police Chief and/or Fire Chief shall mean the Public Safety Chief. A thorough analysis of each code section will be completed to ensure that the powers and duties of the Fire Chief and Police Chief are effectively transferred. 235 References:
Morely, B. S., & Hadley, J. M. (2013, April 9). Public Safety Consolidation, Does it Make Sense? Leb.fbi.gov. Retrieved October 26, 2023, from https://leb.fbi.gov/articles/perspective/perspectivepublic-safety-consolidation-does-it-make-sense Wilson, J. M., & Grammich, C. A. (2019). The Measurement and Variation of Public Safety Consolidation. International Criminal Justice Review, 29(4), 335-347. 236
DRAFT ORGANIZATIONAL
CHART
237
238
MEMO FROM CITY
ATTORNEY
239
MEMORANDUM
To: Dan Newton, City Administrator
From: Margaret Long, City Attorney
Date: October 30, 2023
Re: Susanville Consolidation of Police and Fire Departments A department of public safety (“DPS”) is a state or local government agency which often has a broad portfolio of responsibilities, which may include fire and police services. Many local jurisdictions across the country have an umbrella configuration in which the DPS is simply a joint administration of distinct agencies sharing administrative support staff, but where personnel remain specialized with specific responsibilities. A minority of jurisdictions cross-train personnel to respond to various manner of emergencies, such as police, firefighters, and EMT’s. Only two cities in California currently integrate departments with such cross-training; Rohnert Park and Sunnyvale. As Sunnyvale explains on its Public Safety webpage, public safety officers are cross-trained as police officers, firefighters and emergency medical technicians, allowing the department to provide police, fire, and EMT services seamlessly to the community.
The Michigan State University School of Criminal Justice, with the assistance of the U.S.
Department of Justice, Office of Community Oriented Policing Services, established the Program on Police Consolidation and Shared Services (PCASS) to help consolidating agencies increase efficiency.
The report can be found at: https://portal.cops.usdoj.gov/resourcecenter/content.ashx/cops-w0803- pub.pdf. As the report notes, agencies may have nominal consolidation (with executive functions consolidated under a single chief executive, but no integration of police and fire services), partial consolidation (partial integration of police and fire services with cross-trained public safety officers working alongside separate functional personnel), or full consolidation (full integration of fire and police services and consolidated management and command). The report cautions that consolidation can be costly and time-consuming, particularly where police and fire agencies are well-established.
For general law cities in California, the government code provides that the police department is under the control of the chief of police. Gov. Code § 38630(a). The statute further provides that in municipalities that provide for police and other emergency services through a consolidated public safety agency that includes traditional law enforcement, fire protection, and other emergency services, the director of such agency will control the agency. Gov. Code § 38630(b). This section explains:
240
2 The chief, director, or chief executive officer of a consolidated public safety agency is a peace officer, and shall meet all of the same requirements imposed by law, regulation, or POST guidelines and recommendations as a chief of police, and he or she shall have all of the same rights, responsibilities, and privileges as does a chief of police. No one who fails to meet all of the above requirements of a chief of police and peace officer shall be appointed to the position of chief, director, or chief executive officer of a consolidated municipal public safety agency.
Id. Gov. Code § 38611 further provides that the chief of the fire department shall have previous training and experience as a fireman.
Susanville is a general law city. Article XI, section 11 provides that a “county or city may make and enforce within its limits all local, police, sanitary, and other ordinances and regulations not in conflict with general laws.” Because Gov. Code § 38630(b) specifically authorizes municipalities to consolidate services through a public safety agency, Susanville may proceed with consolidation. The statute requires that the chief, director, or chief executive officers of such a consolidated agency must be a peace officer who meets all the same requirements as a chief of police, and must have all the same rights, responsibilities, and privileges as a chief of police.
Gov. Code § 1031 provides for minimum standards for peace officers, including the following requirements: (1) be legally authorized to work in the United States under federal law; (2) be 18 years of age or older; (3) be fingerprinted for purposes of search of local, state, and national fingerprint files to disclose a criminal record; (4) be of good moral character, as determined by a thorough background investigation, (5) be a high school graduate, pass the General Education Development Test or other high school equivalency test approved by the State Department of Education, pass the California High School Proficiency Examination, or have a two-year, four-year, or advanced degree from an accredited college or university (subject to certain requirements for accreditation); and (6) be found to be free from any physical, emotional, or mental condition, including bias against race or ethnicity, gender, nationality, religion, disability, or sexual orientation, that might adversely affect the exercise of the powers of a police officer. The statute further requires that peace officers undergo a physical evaluation by a licensed physician and surgeon and that any emotional or mental condition be evaluated by a licensed physical, surgeon, or psychologist of appropriate credentials. As discussed, any additional requirements that Susanville currently imposes on candidates for Chief of Police will also apply to the chief, director, or chief executive officer of a consolidated public safety agency. The city should therefore ensure that it applies these same requirements to the chief, director, or chief executive officer of the consolidated public safety agency.
Susanville Code 2.08.100 provides that the city administrator has authority to consolidate or combine offices, positions, departments or units under his or her direction, with the approval of the city council. (Citing Ord. 09-970 § 2, 2009; Ord. 04-912 § 1, 2004; Ord. 98-848 § 1; prior code § 2.61.) Susanville should proceed accordingly should it wish to consolidate the police and fire departments.
The city of Rohnert Park has consolidated fire and police departments. The following code provisions provide an example of how to codify consolidation:
Chapter 2.16 - DEPARTMENT OF PUBLIC SAFETY
2.16.010 - Establishment of department of public safety. 241
3 There is established within the city a department of public safety which shall include the fire department and the police department of the city.
2.16.020 - Director of public safety.
A director of public safety shall be in charge of the department of public safety. The director shall be appointed by the city manager subject to the approval of the city council. The director shall serve at the pleasure of the city manager and may be removed by the city manager subject to the approval of the city council.
2.16.030 - Duties of director.
The director of public safety shall be responsible for the proper maintenance and operation of the police department and the fire department. The director of public safety shall appoint a fire chief and a chief of police subject to the approval of the city manager and the city council. The director of public safety may also hold the office of police chief and fire chief.
2.16.040 - Supervision of city manager.
The director of public safety shall operate under the direct supervision of the city manager and in carrying out his function as the director of public safety, the director shall serve as a duly authorized representative of the city manager.
Notably, Rohnert Park’s code provides for the continued positions of police and fire chiefs who are responsible for the operations of their respective departments, underneath the oversight of the director of public safety. See Rohnert Park Municipal Code sections 2.16.050-2.16.080. Depending on the degree of consolidation contemplated by Susanville, the foregoing provides a possible example of how to structure such a change. In order to comply with general law requirements regarding the qualifications of the chiefs of police and fire departments, we recommend following the Rohnert Park model wherein there are police and fire departments with appropriate heads within the overall consolidated public safety agency. 242
AGENDA ITEM NO. 9.D
Action Item
Submitted By: Bob Godman, Public Works
Action Date: December 6, 2023
SUBJECT: Consider Resolution No. 23-6259, authorizing the Streets Division to purchase 300 cubic yards of cinders from TNS Trucking and Ready Mix of Susanville, CA for $7,839 dollars and authorize the Finance Director to adjust the Streets budgets as necessary.
PRESENTED BY: Bob Godman, Public Works Director
SUMMARY: The Streets division has received three quotes for 300 cubic yards of cinders to replace the amount that were used last snow season.
These are a vital part of the safety of streets during snow events. TNS Trucking and Ready Mix provided the best quote at $7,839. The Streets Division has funding available in the 2005 (SB1) budget, which is available for snow removal, to transfer for the purchase.
FISCAL IMPACT: $7,839 from the Streets budgets with half of the cost likely reimbursed by the State.
ACTION REQUESTED: Motion to approve Resolution No. 23-6259, authorizing the Streets Division to purchase 300 cubic yards of cinders from TNS Trucking and Ready Mix of Susanville, CA for $7,839 dollars and authorize the Finance Director to adjust the Streets budgets as necessary.
SUSANVILLE CITY COUNCIL AGENDA ITEM
ATTACHMENTS:
23-6259.pdf
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RESOLUTION NO. 23-6259
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE AUTORIZING THE PUBLIC WORKS DIRECTOR TO PURCHASE 300 CUBIC YARDS OF
CINDERS FOR SNOW REMOVAL FROM TNS TRUCKING OF SUSANVILLE,
CALIFORNIA AND AUTHORIIZING THE FINANCE DIRECTOR TO ADJUST THE
STREETS BUDGETS AS NECESSARY
WHEREAS, the city’s Streets Division is responsible for snow removal operations in the City of Susanville; and
WHEREAS, cindering the roads after plowing is an important safety element in the snow removal process; and
WHEREAS, the Streets division solicited three quotes for delivery of cinders: and WHEREAS, TNS trucking of Susanville, California had the best quote at $7.839.00 for 300 cubic yards.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Susanville hereby authorizes the Public Works Director to purchase 300 cubic yards of cinders from TNS Trucking of Susanville, California for the price of $7,839.00 and authorizes the Finance Director to adjust the Streets Division budgets as necessary.
APPROVED:_______________________
Quincy McCourt, Mayor
ATTEST:_______________________
Heidi Whitlock, City Clerk
The foregoing resolution was adopted at a regular meeting of the City Council of the City of Susanville, held on the 6th day of December 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_____________________________
Heidi Whitlock, City Clerk
APPROVED AS TO FORM:_____________________________
Margaret Long, City Attorney
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AGENDA ITEM NO. 9.E
Action Item
Submitted By: Jolene Arredondo, Administrative Services Action Date: December 6, 2023
SUBJECT: Consider Resolution No. 23-6260, adopting the city of Susanville Social Media Policy
PRESENTED BY: Dan Newton, City Administrator
SUMMARY:
City staff has been diligently working on updating policies, one of which is the Social Media Policy. The Social Media Policy defines the social networking and social media policy for the city of Susanville.
This policy is necessary to address the fast-changing landscape of the Internet and the way residents communicate and obtain information online. This policy addresses the use of personal and professional social media accounts and provides policy on social media conduct.
The policy also addresses retention of social media sites in which the city currently uses automated archiving through ArchiveSocial. This policy has been presented to the city's Bargaining Units and has been approved by the city's Attorney.
Many city departments are using social media tools to reach a broader audience, and the city encourages the use of social media to further the goals of the city and the missions of its departments, where appropriate.
Current city of Susanville Social Media accounts managed by various city staff are as follows:
City of Susanville Administration (Facebook)
Diamond Mountain Golf Course (Facebook and Instagram)
City of Susanville Public Works Department
City of Susanville Fire Department (Facebook)
City of Susanville Police Department (Facebook)
Honey Lake Valley Community Pool (Facebook)
All of the above listed social media accounts are connected to ArchiveSocial.
FISCAL IMPACT: None
ACTION REQUESTED: Motion to approve Resolution No. 23-6260, adopting the city of Susanville Social Media Policy
SUSANVILLE CITY COUNCIL AGENDA ITEM
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ATTACHMENTS:
Social Media Policy.pdf
23-6260.pdf
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City of Susanville
Social Media Policy
Scope: Citywide
Policy Contact:
City Clerk
(530) 252-5103
[email protected]
Table of Contents
INTERNAL POLICY ...................................................................................................................................2 1 PURPOSE.............................................................................................................................................2 2 DEFINITIONS......................................................................................................................................2 3 PERSONAL VS. PROFESSIONAL GUIDELINES............................................................................2
3.1 Personal Use: ................................................................................................................................2
3.2 Professional Use............................................................................................................................2 4 POSTING..............................................................................................................................................3 5 WHAT NOT TO POST ........................................................................................................................3 6 RETENTION ........................................................................................................................................3 7 REGISTERING A NEW PAGE...........................................................................................................4 8 DEREGISTERING AN EXISTING PAGE..........................................................................................4 EXTERNAL POLICY..................................................................................................................................4 1 PURPOSE.............................................................................................................................................4 2 GOALS .................................................................................................................................................4 3 MODERATION OF THIRD-PARTY CONTENT ..............................................................................4 4 RETENTION ........................................................................................................................................5 5 EMERGENCY POSTINGS..................................................................................................................5 Adopted by Resolution Number: XX-XXXX on XX XX, XXXX
Supersedes:
Effective Date:
Policy Review Schedule: Every 2 years from adoption date 247
CITY OF SUSANVILLE
Social Media Policy
INTERNAL POLICY
1 PURPOSE
This document defines the social networking and social media policy for the city of Susanville, the “Agency.” To address the fast-changing landscape of the Internet and the way residents communicate and obtain information online, agency departments may consider using social media tools to reach a broader audience. The agency encourages the use of social media to further the goals of the agency and the missions of its departments, where appropriate. 2 DEFINITIONS
• Social media: websites and applications that enable users to create and share content or to participate in social networking.
• Private commercial transactions: exchanges that involve payment for goods or services • Commercial endorsement: statement that expresses support for or approval of a particular product, brand, or service.
3 PERSONAL VS. PROFESSIONAL GUIDELINES
3.1 Personal Use:
All Agency employees may have personal social media sites. These sites should remain personal in nature and be used to share personal opinions or non-work-related information. Following this principle helps ensure a distinction between sharing personal and agency views.
Employees shall not originate posts containing Agency business on personal social media sites.
Employees shall not post to personal social media sites while working. Employees conduct on personal social media sites is publicly visible, therefore employees should conduct themselves in a manner befitting a city of Susanville employee at all times.
Agency employees must never use their agency e-mail account or password in conjunction with a social media site. The following guidance is for agency employees who decide to have a personal social media or who decide to comment on posts about official Agency business:
• State your name and, if relevant, role, when discussing agency business; • Use a disclaimer such as: “The postings on this site are my own and don’t reflect or represent the opinions of the agency for which I work.” If social media is used for official agency business, the entire agency site, regardless of any personal views, is subject to best practice guidelines and standards.
3.2 Professional Use
All official agency-related communication through social media should remain professional in nature and should always be conducted in accordance with the Agency’s practices and expectations.
Employees must not use official agency social media for political purposes, to conduct private 248
commercial transactions, or to engage in private business activities. Agency employees should be mindful that inappropriate use of official agency social media can be grounds for disciplinary action.
Only individuals authorized by the Agency may publish content to an agency website or agency social media account.
4 POSTING
Official social media sites need to be clear, precise and follow industry best practices for posting updates. All content posted to agency social media should be:
• Relevant – Information that engages residents and pertains to their daily lives • Timely – Pertains to deadlines, upcoming events, or current news • Actionable – Prompts residents to take action
Please refer to the agency style guide for specific guidelines on content format. 5 WHAT NOT TO POST
Agency employees may not publish content on agency social media sites that includes:
• Confidential information
• Copyrighted material without permission
• Profane, racist, sexist, threatening or derogatory content or comments • Partisan political views
• Commercial endorsements or SPAM
6 RETENTION
Social media sites are subject to the California public Records Act. Any content produced or maintained on an agency social media site, including communication posted by the agency and communication received from citizens, is a public record. • The department maintaining a site shall preserve records pursuant to the relevant records retention schedule in a format that preserves the integrity of the original record and is easily producible.
Furthermore, retention of social media records shall fulfill the following requirements: Social media records are captured in a continuous, automated fashion throughout the day to minimize a potential loss of data due to deletion and/or changes on the social networking site. • Social media records are maintained in an authentic format (i.e. ideally the native technical format provided by the social network, such as XML or JSON) along with complete metadata. • Social media records are archived in a system that preserves the context of communications, including conversation threads and rich media, to ensure completeness and availability of relevant information when records are accessed.
• Social media records are indexed based on specific criteria such as date, content type, and keywords to ensure that records can be quickly located and produced in an appropriate format for distribution (e.g. PDF).
• Each employee who administers one or more social networking sites on behalf of the Agency has self-service, read-only access to search, and producesrelevant social media records to fulfill public information and legal discovery requests as needed.
The Agency utilizes an automated archiving solution provided by ArchiveSocial to comply with applicable public records law and fulfill the above record retention requirements. The Agency archive is available at www.ArchiveSocial.com.
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7 REGISTERING A NEW PAGE
All city of Susanville social media sites shall be (1) approved by the City Administrator (2) published using approved social networking platform and tools, and (3) administered by the contact or their designee.
8 DEREGISTERING AN EXISTING PAGE
If a social media page is no longer of use, (1) notify the City Administrator (2) ensure records have been archived according to agency guidelines, (3) unpublish and delete page.
EXTERNAL POLICY
1 PURPOSE
To build communication and trust with our residents and visitors and encourage participation through comments and feedback.
2 GOALS
The city of Susanville aims to effectively use Social Media Accounts to:
• Provide information
• Support community engagement and outreach
• Support marketing and promotional campaigns
• Frame the public conversation around the city of Susanville • Assist with recruitment efforts
Please be aware that when engaging with this agency through Social Media, you agree to the following. 3 MODERATION OF THIRD-PARTY CONTENT
The agency does not necessarily endorse, support, sanction, encourage, verify, or agree with Third Party comments, messages, posts, opinions, advertisements, videos, promoted content, external hyperlinks, linked websites (or the information, products or services contained therein), statements, commercial products, processes, or services posted on any Social Media Site.
This agency social media site serves as a limited public forum and all content published is subject to preservation and disclosure in accordance with the California Public Records Act. User-generated posts may be rejected or removed when the content includes any of the following:
• incitement of violence or violent behavior,
• defamation or spread of misinformation,
• copyrighted or commercial material,
• fraudulent material or accusations, or
• obscene or illegal material.
We do not allow information intended to compromise the safety or security of the public or public systems. You participate at your own risk, taking personal responsibility for your comments, your username and any information provided.
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4 RETENTION
Social media sites contain communications sent to or received by the Agency and its employees, and such communications are therefore public records subject to California Statute 6250-6270. These retention requirements apply regardless of the form of the record (e.g. digital text, photos, audio, and video). The Department maintaining a site shall preserve records pursuant to a relevant records retention schedule.
5 EMERGENCY POSTINGS
Social media sites are not monitored 24/7. If there is an emergency, contact 911. 251
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RESOLUTION NO. 23-6260
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SUSANVILLE
ADOPTING THE CITY OF SUSANVILLE SOCIAL MEDIA POLICY
WHEREAS, the City of Susanville utilizes social media networking sites to communicate and share information with the public; and
WHEREAS, a Social Media Policy is necessary to address the fast-changing landscape of the Internet and the way residents communicate and obtain information online; and WHEREAS, the Social Media Policy addresses the use of personal and professional social media accounts and provides policy on social media conduct for city staff; and WHEREAS, the Social Media Policy addresses the retention of social media sites containing communications sent or received by the city of Susanville and are subject to the California Public Records Act retention requirements.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Susanville hereby authorizes the adoption and implementation of the Social Media Policy.
APPROVED:_______________________
Quincy McCourt, Mayor
ATTEST:_______________________
Heidi Whitlock, City Clerk
The foregoing resolution was adopted at a regular meeting of the City Council of the City of Susanville, held on the 6th day of Dec. 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_____________________________
Heidi Whitlock, City Clerk
APPROVED AS TO FORM:_____________________________
Margaret Long, City Attorney
252
AGENDA ITEM NO. 13.A
Discussion Item
Submitted By: Heidi Whitlock, Administrative Services
Action Date: December 6, 2023
SUBJECT: Department Reports
PRESENTED BY: Dan Newton, City Administrator
SUMMARY: The City Administrator Reports is designed for Department Heads to address the Council on a variety of topics, is needed. Also, for the Council to address any questions or comments regarding that Department Head.
FISCAL IMPACT: None.
ACTION REQUESTED: Information only.
SUSANVILLE CITY COUNCIL AGENDA ITEM
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AGENDA ITEM NO. 14.A
Discussion Item
Submitted By: Heidi Whitlock, Administrative Services
Action Date: December 6, 2023
SUBJECT: Future Council Items
PRESENTED BY: Dan Newton, City Administrator
SUMMARY: Any person may address the Council during Business from the Floor and throughout the City Council agenda's staff reports and agenda items. To encourage public participation in City Council meetings and address items brought forth to the podium by the public, staff has compiled a list from the past 3 months of City Council meetings and categorized items brought forth to the podium by date the comment was received, agenda item topic comment was received on, and public comments received during Business from the Floor for Council's review and to help staff prioritize and address public items.
FISCAL IMPACT: None.
ACTION REQUESTED: Informational item with possible direction to staff.
SUSANVILLE CITY COUNCIL AGENDA ITEM
ATTACHMENTS:
231206 Items List.pdf
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8/2/2023 Consider improving and recruiting new recycling centers for community 8/2/2023 Consider speed survey, traffic patrol, or stop sign on Cypress Street 8/2/2023 Consider recognition for city for support to the Community Garden and facility projects 8/2/2023 Consider tree and limb abatement within city limits 8/2/2023 Consider tennis community while incorporating pickleball at the tennis courts 8/16/2023 Consider making the projects at the Airport a priority 8/16/2023 Consider effort being placed on HUSA surveys to be directed towards Economic Development efforts instead 9/6/2023 Consider moving speed study on Cypress higher on the priority list 10/18/2023 Request to step up on Code Enforcement efforts due to a recent fire 11/1/2023 Request for street closure in support of Our Lady of Guadalupe on December 10, 2023 11/1/2023 Consider shorter time period (less than 5 days) for placing upcoming "no parking" signs along Main Street 11/1/2023 Consider improving safety of sidewalks by placing two sided strobe lights on pedestrian crossing signs. 11/1/2023 Consider maintenance, upgrading and adding to the City's Christmas decorations along Main Street 11/1/2023 Consider support of Chamber hosting the Magical Christmas event by waiving fees, etc 11/15/2023 Consider agendizing the 75-unit apartment complex to discuss further 11/15/2023 Consider creation of a board as required to maintain status as a "Fire Wise Community" Update on Charging Station
Discussion regarding MOU with Lassen Historical Society Discussion regarding American Rescue Plan Act Funding (ongoing) Discussion on collaboration with Lassen County and Susanville Indian Rancheria and City of Susanville to hire a liaison to collaborate with all three entities
Discussion regarding options to work with community on animal control and animal shelter agreement Discussion regarding Councilmembers volunteering on projects Discussion regarding partnership with Lassen Family Services in efforts to prioritize youth Discussion regarding Council trainings and nepotism recusal policy training Discussion regarding tier two of shopping cart ordinance and enforcement of ordinance Discussion regarding increased theft within the community and increase council support to police department Discussion regarding proclamation declaring Susanville as a sanctuary city for the unborn Discussion regarding bringing Airport Capital Improvement Plan to council earlier in the year Discussion proving funding to police department facility renovation Discussion regarding banner permits
Discussion regarding street legal ATV and golf cart ordinance Discussion regarding Veterans preference in hiring
Discussion regarding city's airport hangar current use as a city storage Discussion regarding graffiti
Discussion regarding dog/animal control nuisance ordinance Update on Speed Survey
Discussion regarding LARP Agreement for Operation and Maintenance of Susanville Community Garden Discussion regarding County housing development on city property options 8/2/2023 Discussion regarding Memorial Park Tennis Court ordinance change to include pickleball and discussion of city pickleball courts Update on Police Department grooming standards policy and uniform policy Discussion regarding street maintenance efforts and streets equipment procurement 11/1/2023 Consider the use of council discretionary funds to assist in the purchase of fireworks for Christmas event 11/15/2023 Corner of N. Weatherlow and North Street, landscaping (place on very bottom of red list) 11/15/2023 Ban on 99 cent bottles
8/16/2023 Consider support of both the Rails to Trails Festival and the Gravel Adventure Ride 11/1/2023 Consider the use of council discretionary funds to assist in the purchase of fireworks for Christmas event
BUSINESS FROM THE FLOOR
Council requested - FUTURE COUNCIL ITEMS
Completed Items
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