Agenda — Tehachapi City Council, March 6, 2023 (part 1 of 2)

TEHACHAPI POLICE DEPARTMENT

COMMUNITY ROOM
220 WEST C STREET
AGENDA

TEHACHAPI CITY COUNCIL REGULAR MEETING,

TEHACHAPI REDEVELOPMENT SUCCESSOR AGENCY REGULAR MEETING,

TEHACHAPI PUBLIC FINANCING AUTHORITY REGULAR MEETING, AND

TEHACHAPI CITY FINANCING CORPORATION REGULAR MEETING
MONDAY, MARCH 6, 2023 - 6:00 P.M.

Persons desiring disability-related accommodations should contact the City Clerk prior to the meeting for the accommodation. A copy of any writing that is a public record relating to an open session of this meeting is available at City Hall, 115 South Robinson Street, Tehachapi, California.

Pursuant to G.C. Section 54957.5(b)(2) the designated office for inspection of records in connection with the meeting is the Office of the City Clerk, City Hall, 115 S. Robinson Street, Tehachapi, CA. Any items distributed to the City Council after posting of the Agenda Packet will be available for inspection at the Office of the City Clerk at City Hall. If you would like additional information on any item appearing on this agenda, please contact the Office of the City Clerk at (661) 822-2200.

CALL TO ORDER

ROLL CALL

INVOCATION
Participation in the invocation is strictly voluntary. Each City Councilmember, city employee, and each person in attendance may participate or not participate as he or she chooses.

PLEDGE TO FLAG

CONSENT AGENDA/OPPORTUNITY FOR PUBLIC COMMENT
All items listed with an asterisk (*) are considered to be routine and non-controversial by city staff. Consent items will be considered first and may be approved by one motion if no member of the council or audience wishes to comment or ask questions. If comment or discussion is desired by anyone, the item will be removed from the consent agenda and will be considered in listed sequence with an opportunity for any member of the public to address the city council concerning the item before action is taken. Staff recommendations are shown in caps.

MAYOR’S CERTIFICATES

1. Mayor to present proclamation of March 12, 2023 as National Girl Scout Day - PRESENTATION

2. Mayor and other local officials to present certificates of recognition to the Tehachapi Girl Scout Troop 8014 members for their acts of volunteerism in the community – PRESENTATION

TEHACHAPI CITY COUNCIL REGULAR MEETING,

TEHACHAPI REDEVELOPMENT SUCCESSOR AGENCY REGULAR MEETING,

TEHACHAPI PUBLIC FINANCING AUTHORITY REGULAR MEETING, AND

TEHACHAPI CITY FINANCING CORPORATION REGULAR MEETING
MONDAY, MARCH 6, 2023 - 6:00 P.M. - PG. 2

AUDIENCE ORAL AND WRITTEN COMMUNICATIONS
The City Council welcomes public comments on any items within the subject matter jurisdiction of the Council. We respectfully request that this public forum be utilized in a positive and constructive manner.

Persons addressing the Council should first state their name and area of residence, the matter of City business to be discussed, and the organization or persons represented, if any. To ensure accuracy in the minutes, please fill out a speaker’s card at the podium. Comments directed to an item on the agenda should be made at the time the item is called for discussion by the Mayor. Questions on non-agenda items directed to the Council or staff should be first submitted to the City Clerk in written form no later than 12:00 p.m. on the Monday preceding the Council meeting; otherwise response to the question may be carried over to the next City Council meeting. No action can be taken by the Council on matters not listed on the agenda except in certain specified circumstances. The Council reserves the right to limit the speaking time of individual speakers and the time allotted for public presentations.

3. Public comment

CITY CLERK REPORTS

ALL ORDINANCES SCHEDULED FOR INTRODUCTION OR ADOPTION AT THIS MEETING SHALL BE READ

BY TITLE ONLY
Tehachapi City Council Unassigned Res. No. 05-23
Tehachapi City Council Unassigned Ord. No. 23-03-775
Tehachapi Redevelopment Successor Agency Unassigned Res. No. 02-23 Tehachapi Public Financing Authority Unassigned Res. No. 01-23 * 4. Minutes for the Tehachapi City Council, Tehachapi Redevelopment Successor Agency, Tehachapi Public Financing Authority, and the Tehachapi City Financing Corporation regular meeting held on February 6, 2023 – APPROVE AND FILE
* 5. Disposition of Property – ADOPT A RESOLUTION AUTHORIZING THE DISPOSITION OF CITY OWNED

PROPERTY

FINANCE DIRECTOR REPORTS
* 6. Disbursements and bills for February 1, 2023 through February 28, 2023 - AUTHORIZE PAYMENTS

7. RSI Disbursements and bills for February 1, 2023 through February 28, 2023 – AUTHORIZE PAYMENTS * 8. City of Tehachapi Investment Report through January 2023 – RECEIVE REPORT

9. Fiscal Year End 2022 Financial Reports – INFORMATION ONLY

10. PUBLIC HEARING – Conduct a public hearing to receive public testimony concerning the transit needs within the City. The City of Tehachapi provides a transit service named Dial-A-Ride through Kern Regional Transit. The average cost per rider from 2021/2022 was $71.65. – OPEN HEARING; NOTICE OF PUBLIC HEARING AND CORRESPONDENCE; STAFF REPORT; RECEIVE PUBLIC COMMENT; CLOSE

TEHACHAPI CITY COUNCIL REGULAR MEETING,

TEHACHAPI REDEVELOPMENT SUCCESSOR AGENCY REGULAR MEETING,

TEHACHAPI PUBLIC FINANCING AUTHORITY REGULAR MEETING, AND

TEHACHAPI CITY FINANCING CORPORATION REGULAR MEETING
MONDAY, MARCH 6, 2023 - 6:00 P.M. - PG. 3
HEARING; ADOPT A RESOLUTION FINDING THAT THERE ARE NO UNMET TRANSIT NEEDS THAT ARE

REASONABLE TO MEET WITHIN THE CITY
* 11. Formal commitment of an amount of fund balance to be set aside specifically for emergency contingencies as required by Governmental Accounting Standards Board No. 54 (GASB 54) for fiscal year 2022-2023 – ADOPT A RESOLUTION APPROVING THE CITY OF TEHACHAPI’S EMERGENCY

CONTINGENCY COMMITMENT OF FUND BALANCE FOR THE GENERAL FUND AND REPEALING RESOLUTION NO. 14-22

AIRPORT MANAGER REPORTS
* 12. Aeronautical Hangar Ground Lease Agreement for Hangar 56W – APPROVE THE AERONAUTICAL HANGAR GROUND LEASE AGREEMENT FOR HANGAR 56W BETWEEN THE CITY OF TEHACHAPI AND

JOHN TUMILOWICZ AND AUTHORIZE THE MAYOR TO SIGN

ASSISTANT CITY MANAGER REPORTS
* 13. Correct clerical error in Resolution No. 10-21 – ADOPT A RESOLUTION AMENDING RESOLUTION NO. 10-21 MODIFYING IMPACT FEES RELATING TO POLICE AND CIVIC FACILITIES FOR NEW

DEVELOPMENTS

CITY MANAGER REPORTS
* 14. Civica Law Group agreement for code enforcement matters – APPROVE THE AGREEMENT BETWEEN

CIVICA LAW GROUP AND THE CITY OF TEHACHAPI AND AUTHORIZE THE MAYOR TO SIGN

15. Report to Council regarding current activities and programs – VERBAL REPORT

COUNCILMEMBER REPORTS
On their own initiative, a Councilmember may ask a question for clarification, make a brief announcement, provide a reference to staff or other resources for factual information, take action to have staff place a matter of business on a future agenda, request staff to report back at a subsequent meeting concerning any matter, or make a brief report on his or her own activities. (Per Gov’t. Code §54954.2(a)) If an item is listed below the Council has the option to take action or refer the matter to staff for a later agenda.

CLOSED SESSION

1. Closed Session minutes of February 6, 2023 meeting – APPROVE AND FILE

2. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED LITIGATION Significant exposure to litigation pursuant to paragraph (2) of subdivision (d) and paragraph (3) of subdivision (e) of section 54956.9: one potential case.

TEHACHAPI CITY COUNCIL REGULAR MEETING,

TEHACHAPI REDEVELOPMENT SUCCESSOR AGENCY REGULAR MEETING,

TEHACHAPI PUBLIC FINANCING AUTHORITY REGULAR MEETING, AND

TEHACHAPI CITY FINANCING CORPORATION REGULAR MEETING
MONDAY, MARCH 6, 2023 - 6:00 P.M. - PG. 4

3. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Paragraph (1) of subdivision (d) of Section 54956.9
Name of Case: Tehachapi-Cummings County Water District v. City of Tehachapi, et. al.

ADJOURNMENT

TEHACHAPI POLICE DEPARTMENT COMMUNITY ROOM
220 WEST C STREET

MINUTES

TEHACHAPI CITY COUNCIL REGULAR MEETING,

TEHACHAPI REDEVELOPMENT SUCCESSOR AGENCY REGULAR MEETING,

TEHACHAPI PUBLIC FINANCING AUTHORITY REGULAR MEETING, AND

TEHACHAPI CITY FINANCING CORPORATION REGULAR MEETING
MONDAY, FEBRUARY 6, 2023 – 6:00 P.M.

NOTE: Wi, Sm, Da, and Po are abbreviations for Council Members Wiggins, Smith, Davies, and Pogon-Cord, respectively. For example, Wi/Sm denotes Council Member Wiggins made the motion and Council Member Smith seconded it. The abbreviation Ab means absent, Abd abstained, Ns noes, and NAT no action taken.

ACTION TAKEN

CALL TO ORDER
Meeting called to order by Mayor Davies at 6:00 pm

ROLL CALL
Roll call by City Clerk Tori Marsh

Present: Mayor Davies, Mayor Pro Tem Pogon-Cord, Councilmember Smith and Councilmember Wiggins

Absent: None

INVOCATION
Led by Pastor Nick Smith, Christian Life Assembly

PLEDGE TO THE FLAG
Led by Mayor Davies

1. City Council Appointment – APPOINTED KEITH SACKEWITZ TO THE TEHACHAPI

CITY COUNCIL TO COMPLETE A TERM TO EXPIRE FOLLOWING THE CERTIFICATION OF THE NOVEMBER 2024 ELECTION

COUNCILMEMBER WIGGINS NOMINATED KEITH SACKEWITZ
Appointed Keith Sackewitz To
The Tehachapi City Council To
Complete A Term To Expire
Following The Certification Of
The November 2024 Election
Ayes All

2. Swearing in of newly appointed council member
Brief recess to seat new council member.

CONSENT AGENDA Approved
Wi/Po Ayes All
Tehachapi City Council Regular Meeting – February 6, 2023 Tehachapi Redevelopment Successor Agency Regular Meeting Tehachapi Public Financing Authority Regular Meeting And Tehachapi City Financing Corporation Regular Meeting ACTION TAKEN

AUDIENCE ORAL AND WRITTEN COMMUNICATIONS

3. Mayor presented a Proclamation to the Kern County Health Department for Safe Surrender Baby Awareness Month

4. Presentation by Paul Kaminski, Tehachapi Rotary Club

5. Public comment

CITY CLERK REPORTS
* 6. Minutes for the Tehachapi City Council, Tehachapi Redevelopment Successor Agency, Tehachapi Public Financing Authority, and the Tehachapi City Financing Corporation regular meeting held on January 17, 2023 – APPROVED AND FILED Approved And Filed
Wi/Po Ayes All
* 7. Destruction of Records – ADOPTED RESOLUTION NO. 03-23 TO AUTHORIZE THE

DESTRUCTION OF CERTAIN CITY RECORDS SUBJECT TO APPROVAL BY THE CITY

CLERK AND CITY ATTORNEY
Adopted Resolution No. 03-23 To
Authorize The Destruction Of
Certain City Records Subject To
Approval By The City Clerk And
City Attorney
Wi/Po Ayes All

FINANCE DIRECTOR REPORTS
* 8. Disbursements and bills for January 10, 2023 through January 31, 2023 -

AUTHORIZED PAYMENTS
Authorized Payments
Wi/Po Ayes All

9. RSI Disbursements and bills for December 15, 2022 through January 31, 2023 –

AUTHORIZED PAYMENTS
Mayor Davies Recused Himself
Due To A Potential Conflict. He
Is An Employee Of RSI.

Authorized Payments
Wi/Po Motion Carried
Abd Da

DEVELOPMENT SERVICES DIRECTOR REPORTS

10. Second reading and adoption of an ordinance - Pre-Zone of the Red Apple Tract Annexation (APN 223-110-04) to C-3 and authorization to file Annexation No. 86 with the Local Agency Formation Commission (LAFCO) – DEVELOPMENT SERVICES DIRECTOR JAY SCHLOSSER GAVE STAFF REPORT; ADOPTED ORDINANCE NO. 23-02-774 OF THE CITY COUNCIL OF THE CITY OF TEHACHAPI

AMENDING THE CITY OF TEHACHAPI ZONING CODE TO PREZONE THE PROPERTY LOCATED WITHIN THE CITY OF TEHACHAPI SPHERE OF INFLUENCE; ADOPTED RESOLUTION NO. 04-23 OF THE CITY COUNCIL OF THE CITY OF TEHACHAPI APPROVING ANNEXATION NO. 86 AND DIRECTING STAFF TO

APPLY TO THE KERN COUNTY LOCAL AGENCY FORMATION COMMISSION Councilmember Sackewitz
Recused Himself. He Lives In A
Development Owned By The
Property Owner Of The
Annexation.

Adopted Ordinance No. 23-02-
774 Of The City Council Of The
City Of Tehachapi Amending The
City Of Tehachapi Zoning Code
To Prezone The Property Located
Within The City Of Tehachapi
Sphere Of Influence; Adopted
Resolution No. 04-23 Of The City
Council Of The City Of Tehachapi
Approving Annexation No. 86
And Directing Staff To Apply To
The Kern County Local Agency
Formation Commission
Po/Sm Motion Carried
Abd Sa
Tehachapi City Council Regular Meeting – February 6, 2023 Tehachapi Redevelopment Successor Agency Regular Meeting Tehachapi Public Financing Authority Regular Meeting And Tehachapi City Financing Corporation Regular Meeting ACTION TAKEN * 11. Walmart Warranty Work Project – Notice of Completion – APPROVED THE

NOTICE OF COMPLETION FOR THE WALMART WARRANTY WORK PROJECT

AND DIRECTED STAFF TO RECORD SAME
Approved The Notice Of
Completion For The Walmart
Warranty Work Project And
Directed Staff To Record Same
Wi/Po Ayes All
* 12. First Amendment to On-Call Geotechnical Services Agreement with BSK, Inc in support of city construction – APPROVED THE FIRST AMENDMENT BETWEEN BSK, INC. AND THE CITY OF TEHACHAPI TO PROVIDE GEOTECHNICAL SERVICES

AND AUTHORIZED THE MAYOR TO SIGN
Approved The First Amendment
Between Bsk, Inc. And The City
Of Tehachapi To Provide
Geotechnical Services And
Authorized The Mayor To Sign
Wi/Po Ayes All

CITY ATTORNEY REPORTS
* 13. The City Attorney’s Spring conference for the League of California Cities is scheduled for May 17-19, 2023. The registration fee is $625.00 and a hotel room for 2 nights is $478.00. If approved by the City Council, the City’s share of the registration fee and hotel room would be $551.50 – APPROVED THE CITY’S

SHARE OF THE COST FOR THE CITY ATTORNEY TO ATTEND THE LEAGUE OF CALIFORNIA CITIES’ SPRING CONFERENCE
Approved The City’s Share Of
The Cost For The City Attorney
To Attend The League Of
California Cities’ Spring
Conference
Wi/Po Ayes All

CITY MANAGER REPORTS

14. Report to Council regarding current activities and programs – VERBAL REPORT

COUNCILMEMBER REPORTS

CLOSED SESSION

1. Closed Session minutes of January 17, 2023 meeting – APPROVE AND FILE Approved and Filed Wi/Sm Ayes All

No Reportable Action

3. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Paragraph (1) of subdivision (d) of Section 54956.9
Name of Case: Tehachapi-Cummings County Water District v. City of Tehachapi, et. al.

No Reportable Action

ADJOURNMENT
The City Council/Boards adjourned at 7:35 p.m. to a City Council, Tehachapi Redevelopment Successor Agency, Tehachapi Public Financing Authority and Tehachapi City Financing Corporation Regular Meeting to be held on Monday, March 6, 2023 at 6:00 pm.

Adjourned At 7:35 pm
Tehachapi City Council Regular Meeting – February 6, 2023 Tehachapi Redevelopment Successor Agency Regular Meeting Tehachapi Public Financing Authority Regular Meeting And Tehachapi City Financing Corporation Regular Meeting ACTION TAKEN __________________________________

TORI MARSH, CMC
City Clerk, City of Tehachapi, California
Approved this 6th day
of March 2023.
___________________________

MICHAEL DAVIES
Mayor, City of Tehachapi, California

CITY OF

TEHACHAPI

CALIFORNIA

COUNCIL REPORTS
MEETING DATE: MARCH 6,2023 AGENDA SECTION: CITY CLERK

DEPARTMENT H

APPROVED
CITY

TO HONORABLE MAYOR DAVIES AND COUNCIL MEMBERS
FROM: ASHLEY WHITMORE, GENERAL SERVICES DIRECTOR
DATE: FEBRUARY 28,2023
SUBJECT: DISPOSITION OF CITY OWNED PROPERTY

BACKGROUND
The City is in possession of a number of items which are either inoperable or no longer serve a purpose for City business. Prior to donating, auctioning, or disposing of any items, the City Council must adopt a resolution authorizing their disposition. Any proceeds received from the auctioning of items will be placed in the General Fund.

A list of items set for disposition is attached.

RECOMMENDATION

ADOPT A RESOLUTION AUTHORIZING THE DISPOSITION OF CITY OWNED PROPERW RESOLUTION NO.

A RESOLUTION OF THE CIW COUNCIT OF THE ClW OF

TEHACHAPI AUTHORIZING THE DISPOSITION OF CITY OWNED

PROPERTY
WHEREAS, the City of Tehachapi ("City") has in its possession numerous items of personal property which are either outdated or inoperable, a list of which is attached hereto as Exhibit "A" and by this reference made a part hereof; and WHEREAS, as to those items listed as "Outdated", they are not able to be updated and therefore have no value for continued use; and
WHEREAS, as to those items identified as "lnoperable", they are either irreparable or cannot be made operable at a cost which justifies doing so; and WHEREAS, as to those items identified as "incompatible", they are not compatible with current equipment needed for its use; and
WHEREAS, pursuant to Government Code Section 37350, the City Council of the City of Tehachapi has the authority to sell, give or otherwise dispose of said property in any manner that it chooses.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIT OF THE CITY OF TEHACHAPI that the city owned property described in Exhibit "A" shall be sold at public bids, donated, or disposed of at the landfill in a manner as is authorized by law.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Tehachapi at a regular meeting this 6th day of March 2023.

AYES:

NOES:

ABSTAIN:

ABSENT:

MICHAEL DAVIES, MAYOR
City of Tehachapi, California
ATTEST:

TORI MARSH, CMC, CITY CLERK
City of Tehachapi, California
I hereby certify that the foregoing resolution was duly and regularly adopted by the City Council of the City of Tehachapi at a regular meeting thereof held on March 6, 2023.

TORI MARSH, CMC, CITY CLERK
City of Tehachapi, California
Exhibit A
Description: Reason for Disposition:

Lockers set of 4 Outdated
Husqvarna chainsaws x2 Outdated
Echo chainsaw Outdated
TrafFix Stands & Signs x11 Outdated
Mini Fridge x2 Outdated
MetalShelf Outdated
Pallet Jack Outdated
125 Gallon Tank Outdated
Fire Hose Dryer Container Outdated
Bucket fork attachment Outdated
Trailer Tiedowns x4 Outdated
Hydrant cap Outdated
Metal flat cart x2 Outdated
V - 77 2OOS C h evy Co I o ra d o Vi n# 1 G CCS 1 465582t4273 Outdated V- 1 8 2005 Ch evy Co I o ra do Vi n#1GCCS 1 46X582I2697 Outdated Husqvarna K770 Handsaw Outdated
Husqvarna String trimmer x2 Outdated
Ryobi Sprayers x2 Outdated
A/C Pipe Snap Cutter Outdated
Oxy Acetylene Welding Torch Outdated
275 Ft cable x2 Outdated
150 Ft cable Outdated
ICS Pipe cutter Outdated
Pipe Locator Goldak w/case Outdated
Polly pipe crimper 1/2to 2 inch in box Outdated
Muller D-5 Hot Tapper up to 2-inch service Outdated
Reed Hot Tapper in box Outdated
Hot tapper 2-inch service Outdated
Large Piping x2 Outdated
Accounts Pavable
Checks by Date - Detail by Vendor Number
Ussr:

Printed:

Check No Vendor No
Invoice No
afrescas
2/1312023 5tl2PM
Vendor Nrme
D$cription

CITY OF

TEHACHAPI

CALIFORNIA
Ch€ck Drte
Referenc€
CheckAmount
ACH 0017
64803
66129
66129-A
66129-B
661305
664722
Amedcatr Business Machines
PD,finance Charge
PWToner
Swr/Toner
Wtr/Toner
Pw/Toner
Gctrinance Charse
Total for this ACH Chcck foi vendor 001 7:

Total for Vendor 00 I 7 (American Bushess Machines):

The Bakercfi eld Califomian
Cclerk/Notice/Council Mernber Vacancy
Total for this ACH Check for Vendor 0030:

Total for Vendor 0030 (The Bak€rsfi€ld Califomian):

BSK Associates
Wh/Drinking Water Samples
Wtr/Drinking Water Samples
Wh,Drinkiry Wat€r Sampl€s
Wtr,Diinking Wat€r Samples
Toral for rhis ACH Check for Vendor 006 L
Total for Veodor 0061 (BSK Associares)'

9.50 5.83

16.86 16.8?

15.00 9.50
ACH 0030
0t2292\53 307.86
307.86
0061
ACr028l0
AG028l I
AG030l0
AG030l l
ACH 0182
8093
8093-A
ACH 0300
518657244
51865724s
518703934
518703935
P&I Electric Inc.

Pw/Shop
PD/Police Dept Repairs
307.86

91.00 30.00

91.00 30.00
242.00
242.00
439.03
Total for this ACH Check for Vendor 0l 82:

Total for Vendor 0182 (P&J Electric Inc.):

Mission Linen & Uniform Service
PWLinen Maintenance
SWr/WWIP Mats
PWLinen Maintenance
SWI/WWTP Mats
1,097.58
1,097.58
t71.17

32.81 178.67

32.41 42t.54
AP Checks by Date - Delail by V€ndor Number (2/1312023 5:12 PM) Total for this ACH Check for Vsrdor 0300:

Page I
Check No Vendor No Vendor Name
Invoice No Description
Ch€ck Dat€
Reference
Check Amount
ACH 0372
01302023
02012023
02012023-A
020t2023-B
o20t2023-c
020t2023-D
02012023-DA
020t2023-E
02012023-F
020t2023-G
02012023-H
02012023-l
02012023-J
02012023-K
02012023-L
020t2023-M
02012023-N
02012023-0
020t2023-P
02012023-Q
02012023-R
02012023-s
02012023-T
o20t2023-u
02012023-v
02012023-w
o20t2023-x
02012023-v
02012023-z
020t2023-zA
02012023-zB
02012023-zc
020].2023-ZD
020t2023-zE
02012023-ZF
020\2023-ZG
02012023-ZH
02012023-zr
020t2023-u
02012023-7l(
02012023-zL
02012023-zM
02032023
02032023-A
02032023-B
02032023-C
02032023-D
02032023-E
02032023-F
02032023-G
02062023
02062023-A
02062023-B
02062023-C
02062023-D
Total for Vendor 0300 (Mission Linen & Uniform Service):

Southem Califomia Edison
Wt /80&425404/126 S SnydcrAve/Dec 8-Jan 6
Strtv80023 ? 1967/ I 002 W Tehachapi Blvd A/De
Strts/80023 863 84n 002 W Tehachapi Blvd B/D€
Sfis/80025 l5 1 79lTehachapi-Tucker Blvd B,Dec
Swr/8003886514/000000 Tehachapi Blvd/Dec 2'
LLD/80028 I 5?04,{nustrial Pkwy-Currydan 202
Strts/8002457897/800 S Curry St an 2023
Strts/8002748942/Tehachapi Blvd-De rison Rd,/
SmV80025 I 5750A,lulberry-Brenrwood,[an 202:

Skts/8000952476nr'a ey Blvd-Mulberry/Jan 202
LLD/8002841917/Pinon St-E Orcha.d-Curry SV
Sbls/800239?488/T€hachapi-Dennisor/Jan 2023
LLD/8004033054/Mill slD svJan 2023
Stft/8002844782,rya11ey Blvd do Dennison/Jan
Srts/8000489050/TR 2995 Oakwood-Valley/Jan
Srts/8001 916915/ 1 00 W T€hachapi Blvd #BDe
Stts/8001941899/101 West F St/D€c 6-Jan 4 201
LLD I E0024 525 49 f rR 2995 Oakwood-Valley/Jar
LLD I aOO24 52549 nR 2995 Oakwood-Valley/Oc
Strts/80028 I 7959/Tucker Rd-Hwy 202lJan 2023
srts/8002454554/Mill an d, t stlJe't 2023
strts/8000679393/45361 Mulb€rrylan 2023
LLD/800309403 6/H ST-creen Stfan 202]
Strts/8002485759Mi11 and J SVJan 2023
Stls/8002738103m St c/o Mulberrydan 2023
LLD / 800/243204 E T ehachapi Blvd-Steuber Rd
LlD/8002843219/D€nnison-Pinon St/Jan 2023
Strts/8002489190/213 West I Suan 2023
Stfts/800250210341igh1ine & Curry/Jan 2023
Strt5/80024866684,'lill St s/o E St/Jan 2023
Strts/8003326795/326 East D St/Jan 2023
Strtv8003 3 542141303 East Ave DAan 2023
St(V8002800384/TuckeiValley / IL 1023
Sttt8002826534/710 W Tehachapi Blvdlan 20
SmV8002503365/Tehachapi Blvd-Deffisor/Jan
Sms/8000 I I 7087/Hry 2O2/I^i 2023
Wh/8001 468 I I gnvhitc Oak Extend E Cury/Oc
Strts/8002777497/Goodrick Dr e/o Dennisondar
LLD18002E5251 1 [feh^ehapi Blvd-Baileydan 20
Strts/8002504580/Dennison-Brett Ave/Jan 2023
Sms/800282780 I /2000 Megellan Dr/Jan 2023
LLD / E0028293 1 7 lMrruanite -ct eettl I
^n
2023
Wtr/800 I I 1965 I /Curry W€ll/Jan 2023
Wtr/800M8 8 I 89,ryinon W€lldan 2023
LLD/8000293383/1347 Clasico Dr Pedran 202:

LLD/E000296695/I I l5 Alder Ave P€d/Jatr 2023
LLD/8000302&8/ l4l 5 Alder Ave Ped/Jai 2023
Wtr/8000641860/1299 S Curry St (Minton Well)
LLD/80046E0470/1002 Applewood (Pump StnI
GG18012490077 1420 W Valley Blvd Peddan 5-I
LLDI8003382785/180 ValleyAan 6-Feb 5 2023
Wtr/80046280?3/129 Brentwood Drran 6-Feb 5
PW8000691540/E00 EnterDrisdJan 2023
PW800299290?/800 Enterprise ShoF/Jan 2023
LLDI8001628131/3ll Sutter St/Jan 6-Feb 5 202
421.58

72.O',7

44.'t9

29.14 55.44
340.45

80.99 '71.44
I10.10

83.90 65.94
3't3.28
146.1|
14t.09
5t2.24

81.65 89.60
167.98
306.28
o ))104
197.62

85.51 156.98

67.53 105.51
296.'t3

59.49 I,401.1 I
t3.46

18.54 13.46

36.00 20.t4
166.74
191.11

18.54 7 t.48
232.34
251.30

94.45 166.10
3l l.M
4,488.91
2,637.56

37.85 16.09

15.84 2,092.66

34.22 r6.36

16.78 2,264.61

65.03 205.22

11.20 AP Checks by Date - Detail by V€ndor Number (Al3l2O23 5:12 PM) Pzge 2 Check No Vendor No
Invoice No
Vendor Nam€
Description
Check Dste
Referenc€
ChcckAmount
02062023-E
02062023-F
02072023
02072023-A
02072023-B
02072023-C
02012023-D
02012023-E
020'72023-F
02072023-G
02072023-H
02072023-l
02102023
0424
GTCC2/2023
0428
cort92023
o44l
7353',ts46
73540792
0445
sco1312023
sc02022023
LLD/8001628562/501 l/2 Pinon/Jan 6-Feb 5 20
LLD/8000259694/I l0 l/2 Su$er St ao 6-Feb 5
LLD/8000844933/115 Manzanita LrlJar ?-Feb (
sfis/8000850180/209 E Highline Rd pedJan 7-l
LLD/80001913 39n I 99 Canyon Dr E/Jan ?-Feb
LLD/E000192404/1200 S Dennison/Jan ?-Feb 6
LLD/8000193438/1202 S Dennison/Jan ?-Feb 6
LLD/8000195859/1000 Caryon Dr WJan 7-Feb
Swr/8003048390/755 St€uber WelyJan 7-Feb 6
Strts/80014?0568n 300 Goodrick Dr #ZJan ?-Fl
Air/800267229E4/415 N D€nnisor/Jan 7-Feb 6 l
Drain/8001 I 155 791409 BaileyAv€/Jan 7-Feb o l
Wtr/8004425233/NW Com€i Anita-D€nnison/Ja
Total for this ACH Check for Vendor 0372:

Total for Vendor 0372 (Southem California Edison):

Greater Tehachapi Chamber of Commerce
2023 Membership Dues
Total for this ACH Check for Vendor 0424:

Total for Vendor 0424 (Greater Tehachapi Chamber of Commerce):

Tehachapi Flower Shop
Basket Arrangemen/Tb€resa Baggett
Total for this ACH Check for Vendor 0428:

Total for Vendor 0428 (Tehachapi Flower Shop):

Vulcan Mat€rials Company
Wtr/Water Service Palch Backs
Wtr/Water Service Paich Backs
Total for this ACH Check for V€ndor 0441:

Total for Vendor M4 I (Vulcan Materials Company):

Tehachapi Senior Center Inc.

Utility Cost Suppon-Meals on Meels/Feb 2023
R€imbu$e-Annual Maint (Ind Fire & Safely) Pd
Tolal for this ACH Check for Vendor 0,95:

Total for Vendor 0445 (Tehachapi Senior Center Inc.):

USA Bluebook
WtrlPressure Guage

16.18 15.97

17.03 16.78

16.78 16.78
t8.24

17.03 340.25

15.9',1

49.96 38.90
3,000.73
31,557.09
ACH
31,557.09
10,000.00
10,000.00
ACH
10,000.00

75.00 75.00
ACH
't5.00
60t.92
591.97
I,199.89
ACH
1,199.89
400.00
217.50
6t7.50
ACH 0450
245802
617.50
300.79
t00.79
AP Checks by Dare - Detailby Vendor Number {211312023 5tl2PMJ Total for this ACH Check for Vendor (X50:

Page 3 ends

Check No Vendor No
Invoice No
Vendor Name
Description
Check Drt€
Reference
CheckAmount
ACH 0560
l0l-1025695
Total for Vendor 0450 (USA Bluebook):

Kem Machinery
Wtr/E-206 Air Filter/Annrest/Seat B€lts
Total for this ACH Check for Vendor 0560:

Total for Vendor 0560 (Kem Machinery):

ACWA'/JPIA
Medical InsuEnce Premium and Adjustm€nvMa
Dental Insurance Prerniuln nnd Adjus&neniMar
\4sion lnsurance Prerniurn and Adjustmen/Mar
Life Insurance Prernium and Adjtrsttnent/Mar 20
Total for lhis ACII Check for Vendor 0E32:

Total for Vendor 0832 (ACWA,[PIA):

League of Califomia Cities
2023 League Dues
Total for dris ACH Check for Vendor 0956:

Total for Verdor 0956 (Irague of Califomia Cities):

Govemment Finance Offi cers Association
Mernbership RenewaylD #3@160370 Daisy We
Totol for ihis ACH Ch€ck for V€ndor I E49:

Total for Vendor 1849 (Govemment Finance Officers Association):

AV Fuel CoDoration
Air/l00LL Aviador Fuel
Total for this ACH Check for vendor 2026:

Total for Vendor 2026 (AV Fuel Corporation):
300.79
570.?8
5?O.78
ACH 0832
0698632
0698632-A
0698632-B
0698632-C
5?0.78
62495.82
9,240.85
1,419.06
|,727.77
74,883.50
ACH 0956
643590
74,883.50
6,546.00
6,s46.00
6,546.00
150.00
ACH
ACH
1849
236D370
2026
018055468
214',1
d096813
150.00
150.00
t9,609.52
t9,609.52
ACH Coffee Break Service Inc.

Coffee Service and Supplies
t9,609.52
l0?.15
Total for this ACH Check for Vendor 2147:

Total for Vendor 2147 (Coffee Break Service Inc.):

Home Depot Credit S€rvices
PWCity Hall Shelf Bracket Retum
Pwchristmas Totes
PWTools
Pw/E Tehachapi Blvd Sgkes for Trees
l0?.15
ACH 2695
A-6100265
B-1524675
c-4524a33
D-3133338
107.15
-23.16

31.08 t2.30

96.20 A! Checks by Date - Detail by Vendor Number (2113/2023 5:12 PM) Page 4 Check No Vendor No
lnvoice No
Vendoi N4me
Description
Ch€ck Drte
Reference
CheckAmount
E-3524905
F-3524925
G-3611759
H- 1510644
t-1974139
J-24626
K-510688
L-510699
M-525078
N-6511016
046t2631
P-3511146
Q-3s11146
R-3511180
s-246\152
T-2461152
u-951\42'l
v-8511558
w-8520363
x-a520361
v -4974565
z-751t60r
zA-1511615
zB-75|632
zc-151t637
m-1520409
zE-'t520409
zF-7520414
zG-7612896
zH-60r 5515
2I-6511685
zJ-65|726
zK-6620001
zL-69',74685
zM-53s1263
zN-2015606
zo-25t2034
zP-26t3246
zQ-26t3268
zR-261326E
zs-gt33'l6l
z't-95t2254
zu-9512287
zv-9520778
zw-96t3457
zx-8rs46s1
Swr/Hose
wk/T-l2l oil
Pwsafety Gloves - City Hall
Pw,{rrigation Repair - Depot
PwFleet/Streets Shop
Pwshop/Fleet & Streets
Pwlrrigation Repair - Depot
St{s/Shop Paint Supplies
PWTrash Bags
PD/Supplies to Board Up 428 N Curry
Wa/Service Leak Repai.

Wtr/Safety Gloves
Wtr/Water Leak Repair
Pw/K€ys
LlD/lrrigation Valve Box Covers
Pwlrrigation Valve Box Covers
Swr/E-202 Repairs
Swr/De*,ater Bldg Check Valve Replacement
Swr/D€wal€r Bldg Check Valve Replacement
Wtr/Water Lhe Repair
PWShop Build Out
PWShop Build Out
LLD rrigation Repair
PWShop Build Out
LlD^rrigation Repair
PWCity Hall Repairs
PWAnnex Repairs
PWCity Hall Shelves
PWShop Build Out
PWShop Build Out
LlD,{rrigation Valve Box
PWCity Hall Shelves
Wtr,(Iydrant Repairs
PWShop Build Out
LLD nigation Rcpair
PWShop Build Out
Wtr/Print for Curry Tank Bldg
PWShop Build Out
PWTools
PWShop Build Out
Wtr/Tools
Wtr/Tools for V-23
PWOftice Supplies
LlD/Irrigatiotr Supplies
Wtr/Curry Tank Building Pairt
LlD,{rrigation Box Covers

34.11 20.26

33.54 L(X
1,325.59

28.03 3.',to

26.16 187.46

36.69 11.11
t2.30

26.17 3.61

64.t6
2l.3E

35.18 35.97

17.51 48.47
t5.26

37.51 38.15

26.40 184.38
184.38

60.95 to.37

25.92 32.14

45.39 21.67
398.37

56.94 35.29

79.25 21.11

43.41 142.44

39.33 180.93

54.',79

90.55 85.54
Total for this ACH Check for v€ndor 2695:

Total for Vendor 2695 (Home Depot Credit S€rvioes):

Cardmember Service
CSMFO/Dues/S Wier
Guilar Center/Comhunications
Thc Home Depot/cords
PayPavAccela Online Paymeny'Dec 2022
Circus Circus lw/Hotel & Booking Fee/J Ashlin
S&S Gas for Conference/l Ashlin
4,054.39
ACH 2E93
A-1323
B-3t77
c-5906
D-9192
E-0876
F -2244
4,054.39

50.00 2,685.39
115.96

30.00 351.18
6t.02
AP Checks by Date - Detail by V€ndor Number (2113/2023 5:l2PM) Page 5 Check No Vendor No Vendor Nrrne Check D.te CheckAmount
Circus Circus Hoiel Bookins[ Ashlin
Total for thisACH Check for Vendor 2893:

Total for Vendor 2893 (Cardmember Service):

AECOM Technical Services Inc.

Walrnart Waranty
wtsNifare study
Total for this ACH Check for Vendor 3066:

Total for Vendor 3066 (AECOM Technical Seivices Inc.):

Kem County Animal Sewices
Animal Control 41067-2002 & H409-2017 Oct-Dr
Total for this ACH Check for Vendor 3093:

Total for Vendor 3093 (Kern County Animal Services):

Raymond's Trophy & Awards
CouncilName Plates/Badges
Total for lhis ACH Check for Vendor 3243:

Total for Vendor 3243 (Raymond's Trophy & Awards):

Griswold Industries
Wtr/Clay Valves Adjustments
Tolal for this ACH Check for vendor 3254:

Total for Vendor 3254 (Griswold Indusrries):

Granit€ Conshuction Company
Strts/Pothole Mat€rial
Total for this ACH Check for Vendor 3550:

Total for Vendor 3550 (Granit€ Construction Company):

Don's Pro Technology Auto Repair
Gcnr'-29 Smog Check
PWTE-2 I Snog Check
PWAr'-3o Smog Check
PW/IE-Ig Shog Check
PWTE-2? Smog Check
PWV-24 Smog Check
PW,^/-22 Smog Chcck
PW,A/-g Smog Check
PWrE-28 Smog Check
Wtr/V-23 Smog Check
3,443.23
ACH 3066
12810
2000718093
3093
4C1202023
ACH 3243
81746
ACH 32s4
861480
3550
2408727
ACH 3564
84684
44687
84746
84753
a47U
85045
85084
85101
85104
86550
3,443.23
9,951.88
1,887.00
11,838.88
ACH
I1,838.88
10,290.00
10,290.00
10,290.00

62.81 62.81
1,894.55
1,894.55
ACH
1,894.55
101.50
101.50
101.50

51.70 5t.70

59.95 5t.10

51.70 51.70

51.70 51.70
AP Checks by Date - Detail by Vendor Number (2/13/2023 stl2PM) Page 6 Check No Vendor No
Invoice No
Vendor Name
Dercription
Check Date
Rcference
CheckAmount
87483 PWTE-24 ABS Progranming
Total for this ACH Check for V€ndor 3564:

Total for Vendor 3564 (Don's Pro Technology Auto Repair):

Customiz€d Custodial Services
Visitor Center Janitorial ServicevFeb 2023
Public Works Janitorial Services.4eb 2023
Water Dept Janitorial Services/Feb 2023
Sew€r Facility Janitorial Services/Feb 2023
Sew€r Bathroom Janitorial Services/Feb 2023
Airport Janitorial ServicesFeb 2023
Airport Lounge lanitorial Sewices/Feb 2023
Senior Center Janitorial Services/Feb 2023
City Hall Jaritorial Services/Feb 2023
Anll€x Janitorial Services/Feb 2023
Police Dept Janitorial S€rvicesFeb 2023
Bus Station Janitorial Services/Feb 2023
Total for this AcH Check for Vendor 3708:

Total for Vendor 3708 (Customized Custodial Services):

Tmctor Supply Crcdit Plan
Pw/T- I 13 Trailer Adaptor
Wtr/V-26 7 Way Kit
Total for lhis AcH check for Vcndor 3730:

Toral for Vendor 3730 (Tnctor Supply Credit Plan):

Diamond Technologies
IT/4 New PCs for PD
IT/Dock for Kyle Qu€nby
IT/Delf Warranty Renewav Apt-i,Itrzy 2023
Total for lhis ACH Check for Vendor 3807:

Total for Vendor 3807 (Diamond Technologies):

O'Reilly Automotive Inc
Wa^r'-26 Filters
PWTE-24 Oil-Air Fil0ers
PWV-5 Filters
PW,ry-24 Filt€n
PWTE-o5 OiYAir Filter
PW^r'-3 1 Filters
Wtrnr'-33 Filters
PW,TE-31 Oil-Cabin FilteN
Pw/D-105 FiltenMiper Blades
PWFleet Shop Supplies
Swr/E-218 Plug Kit/Blow Gun Kit
PWBlow Grur
Wtr/V-26 Connector
320.48
445.1f
ACH 3708
cor0223
coT0223-A
coT0223-B
coT0223-C
cor0223-D
coT0223-E
coT0223-F
coT0223-G
coT0223-H
coT0223-l
coT0223-J
cor0223-K
3'.130
too73t264
2005082'76
3807
32653
32662
32692
845.73
105.00
262.OO
305.50
105.50
150.00
323.00
193.00
519.00
1,026.00
622.00
2,275.00
160.00
6,246.OO
ACH
6,246.00
t9.29

53.61 ACH

72.90 2,908.00
283.13
3,159.99
6,35t.12
ACH 3848
4447-l61115
4447-16lll6
4447-t6tt17
4441-161118
4441-t6tt19
4441-16ll20
4447-161121
4447-t6l\22
4447-l6r\23
4447-l6l14l
4447-l61216
4447-l612l\
4447 -16\248
6,351.12
128.95

23.38 92.32

33.98 2t.25

42.49 59.48
2t.39
405.51
227.M

47.t7

25.'t3

22.52 AP Checks by Date - D€tail by V€ndor Number (2/1312023 5tl2 PM\ Page 1 Check No Vendor No
Invoice No
Vendor Nrrne
Description
Check Drte
Reference
CheckAmount
4447-161845
4447-t6t852
4447-162047
4447-162251
4447-16226\
4447-162262
444',7 -162264
4447 -t62343
444't -16234'l
4447 -162379
4447 -162882
4447 -162902
4447 -1629t5
4447 -t629t8
4447-t630/'3
444'7 -t63091
444'7 -163281
4447 -t63394
4447 -t634t8
4447 -t63443
4441 -163417
4447 -163489
444't -164132
4447 -164297
4441-164303
4441-164329
4447-t64344
444't -t65050
4447-165204
444'7 -165252
4447-165254
4447-165262
4447-t65265
4447-t6s293
4447-165301
4447-t65339
4447-t65457
4447-t65600
4447-t6560/
4447-1656\9
4447-165644
4447-t65651
4447-t65102
4036
81471850
81474379
Pw/V- I ? Mass Air Flow S€nsor
WM/-26 Wrench
PWFleet Shop Supplies
PWrr'-35 Brake Rotors/Disc Pads
Wtr/V-26 Tools-Wrench
Wtr/V-26 Filter Retum
Wtr/V-26 Relay
Wtr/T-l21 Filters
Swr/ATV-l Oil Filter
PWTE-24 Control Arms/Strut
PWTE-34 Brales
PWTE-34 Struts
PWTE-34 Skuts & Coil Rehxn
PWTE-34 Bracket
PWTE-128 License Plat€ Frame
PW,^/-22 Tailgat€ Handle
Pw/D-105 Cabin Filter
Swr/ARV- I Motor Oil
PW,^/-5 Power Br€aldldler rm/Trans Plug
Pw,ry-s Stabilizer
PW,4/-35 Locking Cap
PWTE-24 Fluid R€sevior
PWTE-24 Sway Link Kit
PWN-l1 Door Lalch
PW,A/-I I Door Latch Cabl€
Pw,ry-ll lgnition
Pw,ry-l I R€tum Door l-atch/Cable
Swr/ATV-l Battery
Pw,ry-l I Door Handl€
PW^r'-39 Ignition Lock Cylinder
PW^r'-39 White Sfoub
PWAr'-39 White Stroub
Wft/T- 103 Battery Disconnect
PWV-30 Marker Light
PW,ry-3O Ma*€r Light
Pw/D-105 Waming Light
PWV-39 Baitery
WtrN -26 Blue DEF/Suppli€s
PWAr'-47 Wiper Blade
PW,ry-39 Battery Retum
PWAr'-39 Shutter
PWTE-34 Axl€
PW/TE-34 Gear Oil
112.66

8.57 42.19
384.27

24.95 -17.00

41.15 't3.70

8.50 7t'7.44
2s8.99
385.67
-385.67
228.91

16.08 '79.63

22.54 24.65
421.40

58.89 19.87

43.44 ['7.29

55.23 49.23
l8l.l6
-ltx.46
134.08

96.51 4t.70

32.t6

24.66 t'7.59

8.56 11.t2

86.34 242.51

90.03 7l.30
-242.51
45',7.53
258.13

81.41 Total for this ACH Check for V€ndor 3848:

Total for Vendor 3848 (O'Reilly Automotive Inc):

Waxi€ Sanitary Supply
Gc/\\.hire Multifold Napkins
PDfianitorial Supplies
Total for this ACH Check for V€ndor 4036:

Total for Vendor 4036 (Waxie Sanitary Supply):

Alpha Technologies & Alarm Systems Inc
5,441.19
ACH
5,441.79
369.94
286.'t8
656.12
ACH 4078
AP Checks by Date - Detail by Vendor Number (211312023 Stl2PMt Page 8 Check No Vendor No
InYoic€ No
Vendor Neme
Description
Check Date
R€ference
Check Amount
198036 PwBeekay Fire Alann Monitoring^lar-May 20
Total for this ACH Check for Verdor 4078:

Total for Vendor 4078 (Alpha Technologies & Alarm Systems Inc):

Ray Moryan Company
GC/Ricoh Copier/Oct 4 2g22-lut 3 2023
Tolal for this ACH Check for V€ndor 4096:

Total for Vendor 4096 @ay Morgan Company):

Waste Matragement
Refus€ Contract/Dec 2022 Billing
Rccycling Contract/Dec 2022 Billing
Kem County Bin Disposal Fees,/Dec 2022 Billinl
Total for this ACH Check for Vendor 4142:

Total for Vendor 4142 (Waste Management):

Core & Main LP
Swr/Borrow Pit Meter Proj€ct
Swr/Borrow Pit Meter hoject
Swr/Shop Wrench
Wh/Water L€ak Repair Supplics
Swr/Borrow Pit Meter hoject
Swr/Bonow Pit Meter Project
Wtr/Supplies for Wat€r Leaks
Wtr/Water L€ak ReFair
Wtr/Suppli€s for Waier Leaks
Total for this ACH Check for vendor 41 57:

Total for Vendor 415? (Core & Main LP)l
Jim's Steel Supply
PWShop Build out
Total foi this ACH Check for Vendor 4228:

Total for Vendor 4228 (Jim's Steel Supply):

Waste Managernent (ACH)
Swr/22-43626-03008 Street SweEp€r Bins/Jan 2(
Inv Amt $2319.93 Online Amr $ I615.44lspring
Pw/l9-17983-83008/Water Shop Propane/Jan 2(
Pw/l9-17983-73o00/Fleet Shop Propane/Jan 20
S*rn9-65845-33006/3 Yrd BiJJ/Ja.n 2023
336.00
ACH 4096
3979363 20.&
ACH 4142
12312022-A
12312022-8
12312022-C
4t5'7
s203075
s205736
s2l1986
s212078
s228396
s235790
s26t6l8
s268647
s268910

20.u
88,856.58
18,898.87
18,9,14.18
t26,699.63
ACH
t26,699.63
1,292.79
503.88

92.41 2,066.11
14,135.55
101.52
24f35
916.35
2t0.54
19,603. r0
ACH 4228
222926
19,603.10
2r2.17
2t2.t7
ACH 4230
00108734808-0
0t4al6941924C
0153017 -4'192-5
0153017 4792-1
0195036-4808-1
2t2.t7
3,604.24
-684.49
265.44
781.59
122.63
4,089.41
AP Checks by Date - Detail by Vendor Number (2/l3DO23 5:12 PM\ Total fcr this ACH Check for Vcndor 4230:

Page 9 ends

Check No Vendor No Vendor Name Check Drte
Reference
CheckAmount
InvoiceNo DescriDtion
ACH 4265
23-0004
Total for Vendor 4230 (Waste Management (ACH)):

Triad Investigative Services
PD/Backgound Inv€stigtioi,/Gonzales
Total for this ACH Check for Vendor 4265:

Total for Vendor 4265 (Triad Investigative Services):

Red Wing Shoes
DSD/Safety Shoes/J Wyatt
Pwsafety ShoeVM Curiel
Swr/Saf€ty Sho€s,^/ Aguilar
Total for this ACH Check for Vendor4287'
Total for Vendor 4287 (Red Wing Shoes)
ACC Business
GG/Fibci for PD/Dcc I 1 2022-lan l0 2023
Total for this ACH Check for Vendor 43 I 2:

Total for Vendor 4312 (ACC Business):

Canon Financial Services Inc
GG/Cax'on Copier/Dec 2022
DSD/Canon Copier/D€c 2022
PD/Canon Copier/Dec 2022
Total for this ACH Check for Vendor 4353:

Total for Vendor 4353 (Canon Financial Services Inc):

Global Environm€ntal Products
Swr/E-zl8 Springs
S\rt/E-218 Wat€r Pump
Total for this ACH Check for Vendor 4363:

Total for Vendor 4363 (Global Environmental Products):

Enterprise FM Trust
Wtr/Truck L€ase/Feb 2023
PWTruck L€ase/Feb 2023
S$t/Truck Lease/Feb 2023
GG/Truck Lease,4eb 2023
PWTruck t €aseFeb 2023
PWTruck L€ase/Feb 2o23^nterest
PWTruck L€ase/Feb 2o23lP.incipal
Capital Lease/Fob 2o23lPrincipal
Truck Leas€feb 2o23lPrincipal
Wtr/Truck l,€asoiFeb 2023[nterest
4,089.41
622.50
ACH 4287
A 257-2-54694
B-25',1 -2-54',7 69
c-251 -t -t02092
622.50
248.40
238.68
250.00
731.O8
ACH 4312
230rt'7951
73't.08
'703.66
703.66
ACH
ACH
4353
29860696
29860696-A
29860696-8
703.66
337.68
383.75
274.74
996.t1
4363
673631
6't5132
ACH 4384
4664139
46U739-A
4664139-B
4664'739-C
4664739-D
4664739,E
4664139-F
4664739-G
4664739-H
4664't39-r
996.t7
150.43
1,145.94
|,296.37
|,296.37
454.39
1,908.00
634.13
|,o72.63
3,324.36
187.86
1,064.16
I,064.16
-1,064.16
189.98
AP Checks by Date - Detail by Vendor Number (2/1312023 5:l2PM) Page l0 Check No Vendor No
lnvoice No
Vendor Name
Description
Check Dlt€
Reference
Check Amount
4664139-l Wtr/Truck Lease/Feb 2o23lPrincipal
Total for this ACH Check for Veodor 43 84:

Total for Vendor 4384 (Enterprise FM Trust):

Specialized Utility Services Program
SwrMond y CPO Sewicellut 2023
Total for this ACH Check for Vendor 439 I :

Total for Vendor 4391 (Specializ€d Utility Services Program):

Biddle Consulting croup Irc
PD/Criticall Licens€ R€n€wal thru Jan 25 2024
Total for this ACH Check for vcndor 4396:

Total for Vendor 4396 (Biddle CoNulting Group Inc):

Springbrook Holding Co. LLC
GG/Pay Pad & Transaction Fees/Jan 2023
Total for this ACH Check for Vendor 4400:

Total for Vondol1400 (Sprirybrook Holding Co. LLC):

Quadient Finance USA Inc. (ACH)
Gc/Priority MaiLDec 27 2022-talr 19 2023
Total for this ACH Check for Vendor 4420:

Total for Vendor 4420 (Quadient Finance USA Inc. (ACH)):

Linde Gas & Equipment Inc
Pw^ndustrial Ac€tylene
Wtr/Industrial Acetylene
Total for this ACH Check for Vetdor 4569:

Total for Vendor 4569 (Linde Gas & Equipment Inc):

Doug Mccombs Sand & cravel
Air/Backlill Dirt
Total for this ACH Check for Vendor 4578:

Total for Vendor 4578 (Doug Mccombs Sand & Gravel):

Hamed Jones
CSMFO Atuual Conf€rence,4vl€als and IE/Jan 3
1,064.53
9,900.24
9,900.24
6,000.00
ACH 4391
r720
ACH 4396
't2956
ACH 4400
INV-o11715
ACH 4420
2038Es9-2054907
ACH 4569
33689953
33689953-A
ACH 4578
22t0
ACH 4595
Ht272023
6,000.00
6,000.00
1,618.93
1,61E.93
1,61E.93
726.60
726.60
195.50
195.50
195.50
150.30

64.42 2t4.12
2t4.',t2
r,400.00
1,400.00
1,400.00
158.00
AP Ch€cks by Date - Detail by Vendor Number (2/13/2023 5:l2P|,M\ Page I I Check No V€ndor No
Involce No
Vendor Name
Description
Check Drte
Refeience
Ch€ck Amount
ACH 464',7
13585396
Total for this ACH Check for Vendor 4595:

Total for V€ndor 4595 (Hamed Jones):

U.S. Bark
Investrnent Acct Admin F@/D6 2022
Total for lhis ACH Check for Vendor 4647:

Total for Vendor 4647 (U.S. Bank):

Costar Realty loformation lnc.

Market Inventory All Dat ,Nov 2022
Market InventoryAll Dats.rD€c 2022
Mark€t Inv€ntory All Data,/Feb 2023
Total for thk ACH Check for Verdor 4659:

Total for Vendor 4659 (CoStar Realty lnfomation Inc.):

Tehachapi Sigo Coy'Rocket M€dia
CG/Adopt A Landscape Sign dstand
GG/Adopt A Lan&capc Artwork Resize
Total for lhis ACH Check for Vendoi 46?9:

Total for Vendor 4679 (Tehachapi Sign Co,/Rocket Media):

Report Total (52 checks):
158.00
25?.8s
257.45
ACH 4659
[6184470-l
116928919-l
11724M96-l
257.85
595.00
595.00
595.00
1,785.00
ACH 46't9
781
782
1,785.00
408.45

50.00 458.45
317,O9t.44
AP Checks by Date - Detail by Vcdor Number (Z|3DA3 5:12 PM\ Page 12 Accounts PaYable
Checks by Date - Detail by Vendor Number
Us€r: afrescas
Printed: 2/28/2023 3:13 PM

C ITY O F

TEHACHAPI

CALIFORNIA
CheckNo Verdor No
Invoice No
ACH 0061
0t009EI
0100983
0101150
0101151
0101520
0101548
0101549
100982R
l0l149R
AG00095
AG03498
A@3826
ACH 0127
635770
ACH 0182
8107
ACH 0236
2309
Verdor Name
BSKAssociates
Tract 6668
Tract 6248
Tract 6216
Tftct 6248
Tract 6216
Swr/Reclamation Site Moniioring
Swr/Gromdwater Monitoring
Tract 62 | 6
Tract 6668
Wtr/Drinking Water Samples
Str/Drinking Water Samples
Wtr,fir'ater S,stem Samples
Total for this ACH Check for vendot 0061:

Total for Vsrdor 0061 (BSK Associat€s):

State of Califomia Departrnent ofJustice
PD/Livescan-Fingerprinting
Tolal for this ACH Check for v€ndor 0127:

Total for Vendor 012? (State of Califomia Department of Justice):

P&J Electric Inc.

Swr/Lift Station Transducer
Total for dris ACH Check for Vendor 0182:

Total for Vendor 0182 @&J Electric Inc.):

Kem Council of Govemments
ED/Kem COG Awads Ceremony
Total for this ACH Check for Vendor 0236:

Total for Verdor 0236 (Kern Council of Govemhents):

Mission Linel & Uniform Service
PWLincn MainleDace
SII,r/WWTP Mats
PWLinen Maintsnace
SW/WWTP MaG
CheckAmount
1,358.75
637.50
1,305.00
857.00
2,334.50
8,403.00
2,220.OO
3,8?1.00
1,574.00
9l.00

30.00 91.00
22,772.75
22,772.15
194.00
194.00
194.00
|,102.75
1,102.75
1,t02.'t5
975.00
ACH 0300
518746540
5187,f6541
5la189162
518?89163
975.00
180.17

32.87 180.17

32.87 AP Checks by Date - Detail by Vendor Number (2/28/2023 3:13 PM) Page I Check No Vendor No
Invoice No
Vendor Name Ch€ck Date
Reference
CbeckAmount
Tolat for this ACH Check for Vendor 0300:

Total for Vendor 0300 (Mission Linen & Unifom Service):

Willdan Financial Services
Sage Ranch
Total for this ACH Check for Vendor 0310:

Total for Vendor 0310 (Willdan Financial Services):

Quirm Company
Swr,E-202 Pafls
Total for this ACH Check for Vendor 0347:

Total for Vendor 0347 (Quinn Company):

Southem Califomia Edison
Wts/#8001468 I | 9^ffhire Oak Extend E Curryda
GG/8003326651/109 E Tehachapi Blvd/Dec 23 I
Wtr/800 I 3405 14/35 8 Easr D St (Mojave Wellyc
srrts/8003135063/800 S Curry St #A/Jan t?-Feb
Air/8000146155/Demison s/o Hwy 58dan l8-Fr
Air/8000152422/314 N Hayes Sr{an l8,Feb t4
Air/80003613 3 I /314 N Hayes St Papi/Jan 18-Fe
Air/8000880034/314 N Hayes St #c3/Jan l8-Fel
Air/8001144201/314 N Hayes Sr #B/Jan l8-Feb
Air/800331244?/314 N Haycs St/Jan I8-Feb l4l
Ai 8O033I28Ell9999 I/2 Hayes/Jan l8-Feb 14 i
Air/8003326595/3 l6 N Mojav€ St4an l8-Feb lr
Air/8003354614Mest End Teh AirporvJan l8-F'
PW8001026848/ l0l Combercial Way/Jan l8-F
DSD/8003367862/I l7 S Robinson Suan l8-Fet
GG/8003354652/l 15 S Robinson St/Jan l8-Feb
AirlEoo1037981/409 Bryan CVJan | 8-Feb l4 20
stfis,/8000778639/1668 Tehachapi Blvd A/jan 2(
Sfis/8000779431/1668 Tehachapi Blvd B[an 2(
Strts/8003489234/500 Tucker Rd.uad 20-Feb l6
Srrrs/80024753 E I /2069 E Tehachapi Blvd B/Jan
Srrts/E002489094/2069 E Tehachapi Blvd A/Jan
Sfrs/E000502976/31E East E SVJan 23-Feb 20 2
PW800l l l5l38A 14 S Gr€en St an23-F€b20:

GG/8t)0441 1641/3 I I East D Slran 23-Feb 20 2C
St6/8000973948/l l3 S Mojave Sr/Jan 23-F€b 2
LLD/800295147 s 1329 1 12 D sfin 24-Feb 21 2(
Sttt8000568732/213 S Curry St Afan 24-Feb;
GG/E002?06277 I2OO W Tehachapi Blvd,Oan 24-
PD/8002893411/220 West C St/Jan 24-Feb 2l 2(
Total for this ACH Cheok for Vendm 0372:

Total for Vendor 0372 (Southem California Edison):
426.O8
ACH 0310
010-53900
426.08
7,500.00
7,500.00
ACH 034'7
PCo80512803
7,500.00
307.00
307.00
ACH 0372
02092023
02092023-B
02142023-A
02142023-B
02t52023
02152023-A
02152023-B
02152023-C
02t52023-D
o2152023-E
02152023-F
02152023-G
02152023-H
02152023-I
02t52023-!
o2t52023-t
02t52023-K
02172023
02172023-A
02112023-B
02172023-C
02172023-D
02212023
02212023-A
022t2023-B
02212023-C
02222023
02222023-A
02222023-B
02222023-C
307.00

54.65 8,087.33

69.M
t79.9'l

82.88 l r0.78

16.83 256.93
117.16
240.95

34.60 114.34
6?.89
385.l7
1,278.'t0
252.73

65.08 25.90
t4.40

26.32 51.59

46.83 75.'tO
395.4s

63.23 34.U

16.07 189.51
2,494.94
14,933.36
14,933.36
AP Checks by Date - Detail by Vendor Number (2 /2A/2O2i 3:13 PM) PaEe 2 Check No Vendor No
Invoice No
Vendor Nam€ Check D.te
R€ference
CheckAmount
ACH 0395
scE2142023
scE2 142023-A
scE2142023-B
scF2t42023-C
scE2142023-D
The Gas Company
Police Dept # 1285 169602 6lJan l4-Feb 13 2O23
Annex #00881?02005/Jan l4-Feb l3 2023
City Hall *(}65517040074an l4-Feb l3 2023
Airport #01091699981/Jan 14-Feb 13 2023
Vsitor Center # I 0561 664 466[an l4-F eb 13 2O2
Spa*letts
Total for this AcH Check for Vendor 0395:

Total for Vendor 0395 (Th€ Gas Company):
3,336.12
784.03
748.02
521.78

30.14 s,426.69
ACH 0399
5,426.69

56.65 56.66

56.65 4365880 020123 S$r/Hot-Cold Water Cool€r R€rtal
4365880 020123A PWHot-Cold Watcr Cooler Rental
4365880 0201238 Wtr,r[Iot-Cold Water Cooler Rental
Total for this ACH Check for V€ndor 0399:

Total for Vendor 0399 (Spa*letts):

Tehachapi-Cummings County Water Distri(
Wtr/Chemtool Landscap€ran 2023
Wtr/Henway Landscape/Jan 2023
Wts/Waste Mgmt Landscap€/Jan 2023
WIr/TUSD Landscape/Jan 2023
LlD/Warrior Park Lalds.zpe fi ai 2023
LLD/COT L,andscapefan 2023
LLD/COT Median Landsczpe/lan 2023
WIr/TUSD-DN2 Landscape/ lan 2023
WIr/TUSD-DN4 Landscapel Jan. 2023
Wts/TUSD-DN6 Landsc ape/lar:, 2023
WITiTUSD-DN8 Landscape/Jan 2023
Gc/Steuber Landscape Landscapedan 2023
Total for this ACH Check for V€ndor 0426:

Total for Vendor 0426 (Tchachapi-Cummings Couoty Water District):

Tehachapi News
Cc/Cowcil Vacancy
Sage Ranch
TVRPD Appoinment
WWTP Operator
Tax Measure Order
Building Code Order
169.96
ACH 0426
TCCWD2?2023
TCCWD2?2023-A
TCCWD272023-B
TCCWD212023-C
TCC41D212023-D
TCCWD212023-E
TCCWD2?2023-F
TCCWD272023-G
TCCWD272023-H
TCCWD212023-I
TCCWD272023-I
'tccwD272023-K
169.96

31.66 4.50

4.50 4.50

6.24 4.50

4.50 4.50

4.50 4.50
ACH 043 r
0123109028
t222tO9028
t22210902E-A
1222t09028-B
\222109024-C
1222109028-D
ACH 0441
73555164
'13555164-A
Total for this ACH Ch€ck for Vendor 043 l
Total for Vendor 043 | (Tehachapi News):

82.90 426.40

94.10 9',7.O0
233.00
849.00
216.40
1,916.50
Vulcan Materials Company
PwRepair-Bike Path
WWTP
1,916.50
203.13
203.12
AP Checks by Date - Detail by V€ndor Number (212812023 3:13 PM) Page 3 CheckNo Vendor No
Invoice No
Vendor Name Check Drte
Refcrence
CheckAmount
Total for this ACH Check for Vendor 0rl4l:

Total for Vendor 0441 (Vulcan Materials Company):

WITTS Everything for the Office
DSD/Office Fumin[croe
GG/Copy Paper
DsD/Hutch/Computer Desks/Fil€
GG/Copy Paper/Highlighte. & pers
PwBinders for On-Call Sratr
DSD/Oftice Supplies
Total for rhis ACH Chcck for Vendor 0476:

Total for Vendor 0476 (MTTS Everything for the Office):

Coastline Equipment
Wtr/E-206 Part
PW,E-210 Parts
Total for this ACH Check foi Vendor 0503:

Total for Vendor 0503 (Coasdine Equipmetrt):

BSE Rents
Wtr/V-23 Trench Shovel
Total for this ACH Chock for Vendor 0543:

Total for Vendor 0543 (BSE Rents):

Abate-A-Weed Inc.

PWChainsaw
Total for this ACH Check for Vendor 06 l0:

Total for V€ddor 06 I 0 (Abate-A-Weed Inc.):

Kem County Public Works Dept.

Total Operation Cost/Dec 2022
[,ess Farebox R€venue/Dec 2022
Totel for tbis ACH Check for Vendor 0842:

Total for Vendor 0842 (Kem County Public Works Dept.):

League of Califomia Cities
ED/So San Joaquin Valley Div 2023 Membcrshit
406.25
ACH 0476
3t23t3
313378
313426
313815
313909
314135
0503
949269
989650
ACH 0543
325136
ACH 0610
996856
406.2s
614.86
t24.39
7,325.8s
121.2s

40.11 130.(X
8,362.50
ACH
8,362.50
6t.25
620.Or
681.26
68t.26

32.35 32.35
ACH 0842
Tl94ll
Tl94l I -A
503.00
13,200.20
-1.00
13,r99.20
ACH 0956
'7996
t3,199.20
163.65
163.65
AP Checks by Date - Detail by Vendor Number (2/2 8/2023 3:13 PM) Total for this ACH Check for Vendor 0956:

P^Ee 4
Check No Vendor No
Invoice No
Vendor Nrme Check Drte
Refcrence
CheckAmoutrt
Total for Vendor 0956 (I-€agu€ of Califomia Ciii€s):

Tbree-Way Chevrolet
Pwnr'-22 Handle
Total for this ACH Check for Vendor 1085:

Total for Vendor I 085 (Three-Way Chevrolet):

M&M's Spors Uniforms & Embroidery
PD/Service Strip€s
Total for lhis ACH Check for Vendor 1286:

Total for Vendor 1286 (M&M's Sports Uniforms & Embrcidery):

Department of Transportation
Sms/Signals & Lights/O ct-De€ 2022
Total for this ACH Check foi Vendor 1422:

Total for Vendor 1422 (Departnent ofTransportation):

Kem CountyAuditor-Controller-County Ct
CEQA Filing Fee/E22313 Annexation 86
Total for lhis ACH Check for Vendor 1469:

Total for Vendor 1469 Kern County Audiior-Conttoller-County Clerk):
swRcB-DwocP
Water Distribution Grado 2 Exam/B Hcfremar
Total for lhis ACH Check for Vendor 1754:

Total for Vendor I 754 (SWRCB-DWOCP):
163.65

68.49 ACH 1085
43579CVW
ACH 1286
55077
1422
sL230412
1469
KCC2272023
1154
swRcB21523
ACH 1789
XXl8,l4-IlWl
ACH 1865
8995
Schaeffer MFG. Co.

Pw/55 Gallon Motor Oil

68.49 &.t4

64.t4
ACH
u.t4
2,053.33
2,053.33
ACH
2,053.33

50.00 ACH

65.00 |,967.26
Tot l for lhis ACH Check for Vendor 1789:

Total for Vsndor 1789 (Scha€ffer MFG. Co.):

Kern EDC
Public Annual Mehbership/July 2022-Ju€ 2023
Total for tbis ACH Chcck for vendor 1 865:

Total for Vendor 1865 (Kem EDC):
t,967.26
|,967.26
2,500.00
2,500.00
2,500.00
AP Check by Date - Detail by V€ndor Nu$b€r (2/28/2023 3: l3 PM) Page 5 Check No Vendor No
Invoice No
V€ndor Nart|e Check Date
Reference
CheckAmount
ACH t982
R-00425860
R-00425860-A
R-00425860-B
R-00425860-C
R-00425860-D
R-00425 860-E
R-0M25860-F
R-00425860-G
R-00425860-H
R-00425E60-l
R-0&25860-J
ACH 24'.18
DP2300235
DP2300235-A
DP2300235-B
DP2300235-C
DP2300235-D
DP2300235-E
SSD Systems
Annex Fire Alarm Services
Public Works Fire Alarm S€rvices
PW Trail€r Firc Alam S€rvices
Water Tr€atrnmt Fire Alam Services
WWTP Treatment Fir€ Alarm Sewiccs
Water Storage Fire Alarm Sewices
WWTP Storage Fire Alarrn Servic€s
RR Depot Firc Alarm Servic€s
City Hall Fir€ Alarm Services
Airport Fire Alarm Services & State-County Tax
Police Dcpt Fire Alarm S€rvices & State-County
Tolal for this ACH Check for Vendor 1 982:

Total for Vendor 1982 (SSD Systems):

DataProse Inc.

Refrudlity Bill PrintingAan 2023
Wtrutility Bill Prinringdan 2023
S*arutility Bill Printing/Jan 2023
Refrudlity Bill PostagdJan 2023
Wtrrutility Bill Poslag€[an 2023
Swrrutifity Bill Postagefan 2023
Total for this ACH Check for V€ndor 2478:

Total for V€ndor 2478 (DataProse Inc.):

HdL Software LLC
Fin/Annual Use Fee,A,Iar | 2O23-lEb 2A 2024
Total for this ACH Check for Vendor 2661 :

Total for Vendor 2661 (HdL Software LLC):

USPS-Hassler
Gc/Postage/Acct #215528/Agreern€nt #400086!
Total for this ACH Check for Vendor 2676:

Total for Vendor 2676 (USPS-Hassler):

Consolidated Elecrical Dist.

Strts/Stre€t Lightj
PWTools
Stits/Street Lights
Sttu/RETt RN Street Lights
Total for tlis ACH Check for Vendor 2776:

Total for Vendor 2776 (Consolidated Electdcal Dist.):

AI&T

49.00 49.66

66.85 45.56

45.56 35.63

35.63 84.37

45.00 69.99
211.58
738.E3
188.71
188.71
188.72
463.89
463.89
463.90
t,957.42
1,957.82
3,248.55
2661
sIN025542
ACH 26't6
usPs2l52023
ACH
ACH 2963
3,244.55
3,248.55
1,000.00
1,000.00
ACH 27't6
0351-1080609
035t -1080609-A
0351-1080664
0351-1080892
1,000.00
879.91
8l I.88
96?.81
AP Ch€cks by Date - Detail by Vendor Nuhber (2128/2023 3:13 PM) Page 6 Check No VendorNo
lnvoice No
Vendor Name Check Date
Reference
Check Amount
19461684
19461854
19461855
19461856
19461857
19461858
19461859
19461860
19461861
1946t862
19462052
ACH 30r l
9926575810
9927',700466
ACH 3066
2000706189
2000706189-A
2000706189-B
2000706189-c
2000718607
2000718607-A
2000718607-8
20007 I E607-C
2000'119262
20001 19262- A
2000119262-B
2000119262-C
20007 t9262-D
2000719613
2000720075
2000720075-A
2000720075-B
ACH 3173
1470
PD/Phon€ Lines/Jan 6-Feb 5 2023
cG/City Hall Line ! #9391006712/Jan 6-Feb 5 2
SWIA{WTP OIIice #939100671l/Jan 6-Feb 5 2t
RR Depot #9391006? l5dan 6-Feb 5 2023
Lift Station #9391006716 an 6-F.b 5 2023
GG/City Hall Fax #93910n6'717
^n6-Feb
5 2O2
Air/AwOS #9391006718dan 6-Feb 5 2023
PWDSL Fax #93910061 lgfizn 6-Feb 5 2023
Air/Fuel System #9l9l006720lJ^n 6-Feb 5 2023
AutoDial 1002 Appl€wood Pump Stn 49391006'
PD/Lone Distancefan 6-Feb 5 2023
Total for this ACH check for vendor 2963 :

Total for Vendor 2963 (AI&T):

Verizon Wireless
PD^lobils #242395501 ll^'r2-F"h I 2023
FinMobile Broadband #8722391300an l4-Feb
Total for lhis ACH Check for Vendor 3011:

Total for Vendor 301 I (Verizon Wireless):

AECOM Technical Services Inc.

Brentwood P€d Facilities
SGR Transit Center Sidewalk
Teh Blvd Bike Lane Fcnce
Crind & Overlay 23124
Brentwood
Tra.sit C€Dter Sid€walk
Grind & Overlay
Tr,'ct 6216
Tract 6668
Tract 6248
Enc P€rmit-ROWBIdg 2 I -0002 14
Dennison Water Main
Walmart Warrarty
Capital Hills Gas & Retail
Ttuct 6114
Trzct 6114
Total for this ACH Check for Vendor 3066:

Total for Vendor 3066 (AECOM Technical Services lnc.):

S. G. Soto Tires Service
DSDAr'-42 Tire Patch
Total for this ACH ch€ck for Vendor 3 I 73 :

Total for Vendor 3l ?3 (S. G. Soto Tires S€rvice):

Kem County Information T€ch Svc
437.07
233.82
150.23

71.01 24.79

24.'t9

24.',t9

24.19 24.79

24.79 23.28
I,064.15
1,064.15
920.25

38.01 958.26
2,063.15
555.00
2,7\2.50
3,795.00
43,640.00
3,281.50
5,758.75
290.00
2,310.00
241.50
257.50
577.50
1,897.50
462.50
4,963.00
1,953.00
1,500.00
16,27 | .O0
16,271.00

26.81 26.81
ACH 320'.7
AP Ch€cks by Date - Detail by V€ndor Nurnber (2/28/2023 3:13 PM) Page 7 Check No Vendor No
Invoice No
Vendor Name Check Drte
Reference
CheckAmount
l160-05218 CJIS Qrly Fee Jan-Mar 2023
Total for lhis ACH Check for V€dor 3207:

Total for Vendor 3207 (Kem County Information Tech Svc):

Haddad Dodge
Wtsnr'-26 Parts
Total for this ACH Check for V€ndor 3427:

Total for Vendor 3427 (Haddad Dodge):

Tri Signal Integration Inc
PD,/Routin€ Inspcction
PD/Qdy Sprinller Inspection
Tolal for this ACH Check for Vendor 3774:

Total for Vendor 3774 (Tri Signal Integation Inc):

Diamond Technologies
Microsoft 365 Jan 2023 Billing
DiamordlT Agreement Services/Feb 2023 Billin
Dock for Kyle Quenby
Total for this ACH Check for Vendor 3807:

Total for Verdor 3807 (Diamond Technologies):

Central Valley Occupational Med Grp
DSD/Pr€ Placement Physical Exam
PD/Pr€ Placement Physical Exar/
Tolal for this ACH Check for Vendor 3855:

Total for Vendor 3855 (Central Valley Occupational Med crp):

Traffic Management Incorporat€d
Str€et Signs
Sf€et Signs
Total for this ACH Check for Vendor 3 86t:

Total for Vendor 3868 (Traffic Management Incorporated):

Capital Accounting Parhers LLC
DsDrupdat€ Citys User Fees
Total for this ACH Check for Vendor 3876:

Total for Vendor 3876 (Capital Accourtirg Partners LLC):
840.00
840.00
ACH 3427
r53043
840.00
2,367.00
2,367.00
ACH 3774
c 151664
cl5l665
3807
32686MS
32749
327't9
3855
00525407-00
00531419-00
3868
956791
959259
2,367.O0
580.00
425.00
1,005.00
ACH
ACH
1,005.00
2,t 85.60
24,462.42
130.50
26,778.52
26,n4.52

60.00 178.00
ACH
23E.00
263.87
587.12
850.99
ACH 3876
E1259
850.99
t9,32t.52
t9,321.52
t9,32t.52
AP Ch€cks by Date - Detail by Vendor Numb€r (2 /2812023 3:13 PM\ Page 8 Check No Vendor No
Invoice No
vendor Name Check Drte
Refer€nce
CheckAmount
ACH 3914
No2
R.C. Becker & Son, lnc.

Walmart Warranty
Total for this ACH Check for Vendor 3914:

Total for Vendor 3914 (R.C. Becker & Son, Inc.):

Michael K Nunley & Assoc Inc
Sage Ranch
Sage Ranch
Water R€source Planner
Tolal for this ACH Check for Vendor 3969:

Total for Vendor 3969 (Michael K Nunley & Assoc Inc):

Language Line Services Inc
PD^nterpretation Svc #9020901704
Total for lhis ACH Ch€ck for vendor 4063 :

Total for Vendor 4063 (Language Line Sewices Inc):

Kem County Public Work
R€f,/DisposavJan 2023
Wa/DisposavJan 2023
Cal Trans/Disposal/Jan 2023
Pw/DisposaYJan 2023
Total for this ACH Check for v€ndor 4 I 38:

Total for Vendor 4138 (Kem County Public Works):

Core & Main LP
Watfi Leak Repair
watcr Line Rcpair
Water Lide Repair
Pond I 3wat€r Servicing Line Repai6
Reclamation Meter
Pond 13
Total for this ACH Check for Vendor 4 I 57:

Total for Veodor 4157 (Core & Mdn LP,.
4 Creeks
D€nnison Bike Ped
valley Park
Vall€y Resurfacing
16,299.23
16,299.23
ACH
ACH
ACH
3969
to2036
tuo37
102037-A
4063
10740140
16,299.23
175.10

2.601.43
2,607.E3
5,390.76
s,390.'t6

62.50 ACH 4138
3236s
32365-A
32365-B
32365-C

62.50 12.18
328.35

1.16 348.58
4157
s103997
s123239
s260665
s283302
s296751
s309699
ACH 4168
21239-21120
22165-21116
22397-27380
690.21
1,154.01
|,051 .27
400.90
1,874.50
310.71
2,930.93
7,728.32
1,728.32
23,650.06
1,652.37
1,80t.81
2t,to4.24
AP Checks by Date - Detail by Vendor Number (U2812023 3tl3 PM\ Total for this ACH Ch€ck for Vendor 4 I 68:

Page 9 ends

Check No Vendor No
Invoice No
Vendor Name Check Date
Reference
CheckAmount
ACH 4t94
147699
t4't945
ACH 4230
0195033-4808,8
Total for Vendor 4168 (4 Creeks):

Data Ticket Inc.

PD Daily Citation/DailyNotices"/Ss Scarch,trTB
Code Enf Notices/Ss Searcb,/FTB
Total for this ACH Check for Vendor 4 I 94
Total for Vendor 4 I 94 (Data Ticket Inc.)
Waste Management (ACH)
Gc/Secure Docum€nt Shrcdding
Total for this ACH Check for Vendor 4230:

Total for Vendor 4230 (Waste Management (ACH)):

XIO Inc
Wtr/Qtly SCADA
Tod for this ACH Check for V€ndor 4234:

Total for Vendor 4234 (XIO Inc):

Summit Bank-Loan Operations
Gc/Equipment Lese Loan # 100020/Principal
Gc/Equipment Lease Loan #100020/Interest
Capital Les€/Debit
Capital L€as€/Credit
PD/Equipmmr Lease Loan f I00020/hincipaL
PD F4uipment L€se Loan # 100020/tnt€rest
Capital LeaseDebit
Capital Lease/Credit
Wtr/Equipment Lease Loan # 100020/Principal
Wtr/Equipment Lease Loan # 100020/lnterest
Total for this ACH Check for Vendor 4260:

Total for Vendor 4260 (Summit Bank-Loan Operations):

Triad Investigative Services
PD/Prc Emplolment Backgound Investigation
Total for this ACH Check for Vendor 4265:

Total for Vendor 4265 (Triad Investigative Serices);
Amber Chemical lnc
WWTP\ Hwochlorite Solutions
27,1M.24

22.22 425.43
447.65
441.65

36.05 36.05
ACH

36.05 1,839.00
4234
20123449
ACH 4260
02062023
02062023-A
02062023-B
02062023-C
02062023-D
02062023-E
02062023-F
02062023-G
02062023-H
02062023-l
ACH 426s
23-0ffi7
ACH 4272
0376816-IN
1,839.00
1,E39.00
30,230.t2
2,739.33
-30,230.12
30,230.t2

9.069.U
821.81
-9,069.U
9,069.O4
9,069.04
821.81
52,751.15
52,151.15
652.50
Total for this ACH Check for Ve'Jdor 4272:
640.93
AP Checks by Date - D€tail by Vendor Number (2/28/2023
Check No Vendor No
Invoic. No
Vendor Nrme Chcck Dde
Rcfcr€nce
Chcck Amount
ACH 4363
6?5186
615278
640.93
2,702.57
1,842.90
Total for Vendor 42?2 (Amber Chenical Inc):

Global Envircnmental Ploducts
Sw/E-218 Skate,4edal
SwriE-2l8 Brooms
Total for 0is ACH Check fo( Verdor 4363:

Total for Vendor 4363 (Global Environm€ntal Products):

Orkin
PD,?est Conttol
DSD/Pest Connol
GG/Pest Confol
Total for this ACH Check for Vendor 4389:

Total for Vendor 4389 (Orkin):

Quadient Leasing USA Inc.

GG/Irase Payment Mar a-htn'l 2023
Tolal for this ACg Check for Vendor'1429:

Total for Vendor 4429 (Quadient Leasing USA Inc.):

Joe Mar Polygraph & Iovestigation Svc Iac
Pr€ Employmcnt Polygr"aph Exarn
Total for this ACH Check for Vendor 4435:

Total for Vendor 4435 (Joe Mar Polygraph & Investigation Svc Inc.):

Placer Labs Inc.

ED/Placer A.I. Subscription/CMc Pack Jan l9-It
Total for this ACH Check foi Vendor 4525:

Total for Vendor 4525 (Placer Labs Inc.):

Byrne Softwarc Technologi€s Inc.

DsD/Prof€ssional S€rvices,Nov 26Dec 31 2022
DsD/Professional Servicesl J
^n
2023
Total for lhis ACH Check for Vendor 4565:

Total for Vendor 4565 @yme Software Technologios Inc,):
4leaflnc.

Professional S€rvices/Jan 2023
ACH 4389
239772460
240143288
240143325
4,545.47
106.00
E 1.00

81.00 268.00
ACH
ACH
4429
N979?346
4435
JMP2172023
4565
0098803
oo99177
496.A6
ACH
450.00
450.00
ACH 4525

11.8428
756.00
?56.00
300.00
150.00
ACH 4614
t0763-234
450.00
4t,619.94
AP Cbecks by Date - Deiail by V€ndor Numb€r (212812023 3.13 PI0tr) Page 11 Check No Vendor No Vendor Name Check Date Check Amount
Invoice No Reference
Total for this ACH Check for Vendor 4614: 41,619.94
Total for Vendor 4614 (4Leaflnc.): 41,619.94
ACH 4617
50020908951 1,593.72
50020953416 120.94
Total for this ACH Check for Vendor 4617: 1,714.66
Total for Vendor 4617 (White Cap): 1,714.66
ACH 4619
44792 5,757.00
44793 1,333.25
45426 3,095.50
45427 6,281.04
45998 3,516.25
45999
Description
White Cap
Strts/Curb & Gutter Repair
Strts/Curb/Gutter/Sidewalk Repair
Rincon Consultants, Inc.

On-call planning support
On-call planning support
On-call planning support
On-call planning support
On-call planning support
On-call planning support 1,761.45
Total for this ACH Check for Vendor 4619: 21,744.49
Total for Vendor 4619 (Rincon Consultants, Inc.): 21,744.49 ACH 4620 TJKM
0053638 Fee Study Update 1,780.00
0053751 Fee Study Update 1,956.00
Total for this ACH Check for Vendor 4620: 3,736.00
Total for Vendor 4620 (TJKM): 3,736.00
ACH 4629 HydroPro Solutions
0001530-IN I Inch Registers 892.66
Total for this ACH Check for Vendor 4629: 892.66
Total for Vendor 4629 (HydroPro Solutions): 892.66
ACH 4642 Charter Communications
167725001020723 PD/Cable Acct #167725001 Feb 8-Mar 7 2023 107.55 Total for this ACH Check for Vendor 4642: 107.55
Total for Vendor 4642 (Charter Communications): 107.55
ACH 4645 BrightView Landscape Services Inc.
8229277 GG/Landscape Contract Svc/Jan 2023 755.00
8229277-A PW/Landscape Contract Svc/Jan 2023 1,661.00
8229277-B PD/Landscape Contract Svc/Jan 2023 191.00
8229277-C Strts/Landscape Contract Svc/Jan 2023 1,509.00 8229277-D Park & Ride/Landscape Contract Svc/Jan 2023 555.00 AP Checks by Date· Detail by Vendor Number (2/28/2023 3: 13 PM) Page 12 Ch€ckNo Vendor No
Invoice No
Vendor Nrme Check Drte
Ref€rence
CheckAmount
a229211-E
8229277-F
a229277-G
8229211-H
82292?7 -l
8229277-l
a229277-K
a22927'l-L
E229277 -M
8229277-N
8229277-O
a229277-P
8243234
8283235
4660
2302-165065
2302-16509l
4673
Y8-32431
v8-32M2
4680
w232014-01
RR Depot4-andscape Contsact Svc/Jan 2023
Freedoh Plazallsndscape Contract Svc./Jatr 202:

Swr/Landscape Contract Svc./Jan 2023
Air/Laodscape Contract Svc/Jan 2023
LLD Tract 6062/Landscape Contact SvcJan 20:

LLD Tract 6212llabdscape Cotrfact Svc/Jan 20:

LLD Tract 5812 & 6215/Landscap€ Contract Sv(
LLD Tract 6216,4-andscape Cotrtact Svc./Jan 20:

LLD Tract 58 I 2/Landscape Contract Svc/Jan 20:

LLD Tract 6360/Ladscape Contract Svc/Jan 20i
LLD PM 11353/Landscape Contact Svc/Jan 20:

LLD PM 12219/Landscape Contzct Svc/Jan 20;
Uiban Creening
LLD/Landscaping
Total for this ACH Check for Vendor 4645:

Total for Vendor 4645 (Brightview Laodscape Services Inc.):

Karls Hardware
Wh/Rental for Water S€rvice Repair
Wtr/R€turn for Water Service Repair Rental
Total for this ACH Check for Vendor 4660i
Total for Verdor 4660 (IGrls Hardware):
215.00
152.00
660.00
599.00
t,237.N
689.00
2,996.00
15,017.00
1,953.00

59.00 255.00
201.00
2,372.00
3,37't.O9
35,453.09
35,453.09
468.13
-200.00
ACH
ACH
264.13
ACH Cummins Sales and Service
Swr/Gen€rator Tun€-Up
Wh/Generator Tune-Up
268.13
2,131.46
904.65
Total for lhis ACH Check for Vendor 4673:

Total for Vondor 4673 (Cummins Sales and Service):

California Compactiol Corporation
D€nnison Watermain Replacement
Total for dris ACH Check for Vendor 4680:

Total for Vendor 4680 (Califomia Compaction Corporation):

Report Total (70 checks):
3,636.1I
3,636.1l
256,501.45
256,501.45
256,50t.45
't09,8/.0.69
AP Cbecks by Date - Detarl by Vendor Numb€r (42812023 3:13 PM\ Page 13 Accounts Payable
Checks by Date - Detail by Vendor Number
User
hhted:

CheckNo VendorNo
Invoicc No
aftescas
2n8t2023 l-.59 PM
Vetrdor N.me
Dercriptior

CITY OF

TEHACHAPI

CALIFORNIA
Chcck Drte
Referctrce
CheckAEount
ACH 0362
03839?,r
03u232
RSI Petoleuo Products
Pwrulkaded GNs/Di€6€l Fucl
Pwrun|cad€d Gas
4,643.08
3,n9.65
Total for lhis ACH Ch€ct for Vcdm 0362:

Total for Vendot 0362 (RsI Pctoleum Producis):

Report Total (l checks):
1,762.13
7,762.73
7,762.73
AP Checlls by Ihc - D€t{il by Vend6Nurnb6 (U282023 1:59PM) Pagc I Accounts Payable
Checks by Date - Detail by VendorNumber
Us€r: sfiescas
Priated; lDl2V23 9t27 IrM
CheckNo VeodorNo VerdorN.me
ItrvolceNo De|crlptlotr
TY OF

EHACHAP

CALIFORNI
Cleck Dcte
Refcrenca
Ch€ckAmorrt
ACH 0362
N$4n
0tu63
03a2328
RSI Pehol€um ho&rcts
Pwrud€aded Gosolilr
Pwrutrbaded G.solin6
Pwusl€ad€d casoli[c/Diesel Fu€l
2103.91
2,853.O2
4,E52.90
Totsl fd this ACH Cb€ck for Vcdd@ 0362:

Total fqr V€ndor 0362 (RSI P€tol€un Producb):

Report Tot&l (l checLs):
19009.83
10,009.83
10,009.83
AP Check by Ds& - Mil by v.odor Nunb€r (U9l202! 9t27 N{) PsSe I

CITY OF TEHACHAPI

INVESTMENT REPORT
January 31, 2023

INVESTMENTS

PURCHASE MATURITY ACCOUNT/ STATED PAR PURCHASE MARKET YIELD TO

DATE DATE CUSIP INSTITUTION RATE AMOUNT AMOUNT VALUE MATURITY U.S. TREASURY SECURITIES
04-06-22 04-30-23 912828R28 US Treasury Note 1.63 1,000,000.00 998,470.00 992,450.00 1.77 06-21-22 10-31-23 9128285K2 US Treasury Note 2.88 500,000.00 498,832.50 493,010.00 3.05 04-06-22 03-31-25 9128284F4 US Treasury Note 2.63 250,000.00 250,000.00 242,442.50 2.63 TOTAL U.S. TREASURY SECURITIES $ 1,750,000.00 $ 1,747,302.50 $ 1,727,902.50

GOVERNMENT AGENCY ISSUES
08-10-22 c 02-09-24 3133ENNE6 Federal Farm Credit Bank 1.23 500,000.00 486,423.50 482,155.00 3.10 04-25-22 c 04-25-24 3130ARMY4 Federal Home Loan Bank 2.65 1,000,000.00 1,000,000.00 974,880.00 2.65 07-14-22 c 07-14-25 3134GXZT4 Federal Home Loan Mortgage Corporation 4.00 500,000.00 500,000.00 492,195.00 4.00 04-28-22 c 04-28-26 3130ARN64 Federal Home Loan Bank 3.13 250,000.00 250,000.00 240,662.50 3.13 08-10-22 08-03-26 3133END80 Federal Farm Credit Bank 3.00 500,000.00 501,864.50 484,865.00 2.90 04-06-22 04-05-27 3133ENTS9 Federal Farm Credit Bank 2.60 250,000.00 249,070.25 238,345.00 2.68 04-28-22 c 04-28-27 3130ARMP3 Federal Home Loan Bank 3.23 250,000.00 250,000.00 239,727.50 3.23 c = callable
TOTAL GOVERNMENT AGENCY ISSUES $ 3,250,000.00 $3,237,358 $3,152,830

CERTIFICATES OF DEPOSIT
12-20-22 12-20-23 20825WBH2 Connexus Credit Union 5.00 248,000.00 248,000.00 248,590.24 5.00 12-23-22 12-26-23 26948GAF1 Eagle Community Credit Union 5.00 248,000.00 248,000.00 248,592.72 5.00 08-12-22 08-12-24 05580AP24 BMW Bank 3.25 246,000.00 246,000.00 240,728.22 3.25 12-23-22 12-23-24 9497634P8 Wells Fargo Bank 4.50 249,000.00 249,000.00 248,140.95 4.50 12-27-22 12-27-24 130162AQ3 California Credit Union Glendale 4.85 248,000.00 248,000.00 248,706.80 4.85 04-07-22 04-07-25 02589AC34 American Express National Bank 2.55 246,000.00 246,000.00 235,249.80 2.55 04-08-22 04-08-25 87165HM98 Synchrony Bank 2.55 246,000.00 246,000.00 235,237.50 2.55 04-13-22 04-14-25 38149M4S9 Goldman Sachs Bank 2.55 246,000.00 246,000.00 235,161.24 2.55 12-23-22 06-23-25 920133AK1 Valley Strong Credit Union 4.80 249,000.00 249,000.00 249,732.06 4.80 08-10-22 08-11-25 795451CB7 Sallie Mae Bank 3.35 245,000.00 245,000.00 237,387.85 3.35 08-17-22 08-13-25 07371DEU7 Beal Bank USA 3.20 246,000.00 246,000.00 237,458.88 3.20 12-29-22 12-29-25 31850LAE9 First American State Bank 4.30 249,000.00 249,000.00 246,607.11 4.30 01-06-23 01-06-26 20416TAX0 Communitywide Federal Credit Union 4.70 249,000.00 249,000.00 249,326.19 4.70 04-13-22 04-13-26 14042TFH5 Capital One Bank 2.65 246,000.00 246,000.00 231,586.86 2.65 12-21-22 12-21-26 25844MAL2 Dort Financial Credit Union 4.40 247,000.00 247,000.00 245,196.90 4.40 12-21-22 12-21-26 01664MAA4 All In Federal Credit Union 4.45 249,000.00 249,000.00 247,620.54 4.45 08-10-22 08-10-27 14042RTN1 Capital One NA 3.40 245,000.00 245,000.00 233,102.80 3.40 12-21-22 12-21-27 51828MAC8 Latino Community Credit Union 4.50 249,000.00 249,000.00 247,911.87 4.50 12-29-22 12-29-27 45157PAZ3 Ideal Credit Union 4.50 249,000.00 249,000.00 247,906.89 4.50 12-30-22 12-30-27 01882MAA0 Alliant Credit Union 4.85 249,000.00 249,000.00 251,734.02 4.85 TOTAL CERTIFICATES OF DEPOSIT $4,949,000 $4,949,000 $4,865,979

STATE OF CALIFORNIA LOCAL AGENCY INVESTMENT FUND
n/a n/a 98-15-914 State of California LAIF 2.43 944,648.15 $944,648.15 944,648.15 2.43 TOTAL LAIF ACCOUNTS $ 944,648.15 $944,648.15 944,648.15

CALIFORNIA ASSET MANAGEMENT PROGRAM
n/a n/a 6128-001 CAMP Investment Pool 4.53 7,945,401.17 $7,945,401.17 7,945,401.17 4.53 TOTAL CAMP ACCOUNTS $ 7,945,401.17 $7,945,401.17 7,945,401.17

JOINT POWERS AUTHORITY POOL

CHANDLER ASSET MANAGEMENT
n/a n/a 99CAMBX$1 CSJVRMA Investment Pool $2,346,730.43 $2,346,730.43 2,214,957.76 TOTAL MUTUAL FUNDS $ 2,346,730.43 $2,346,730.43 2,214,957.76 SUBTOTAL OF ALL POOLED INVESTMENTS $ 21,185,779.75 $ 21,170,440.50 $ 20,851,719.02

POOLED CASH BANK ACCOUNTS
BANK

STATEMENT

ACCOUNT NAME INSTITUTION BALANCE

CITY OF TEHACHAPI BANK ACCOUNTS
General Checking Bank of the Sierra 834,857.41
Police Department Bank of the Sierra 12,951.62
Water Deposit Trust Bank of the Sierra 125,041.50
Payroll Bank of the West 62,918.31
AFLAC Flex Spending Bank of the West 17,084.57
Airport Credit Card Sales Bank of the West 19,399.88
Ashtown Water Escrow Bank of the West 113,770.51
TOTAL CITY OF TEHACHAPI BANK ACCOUNTS $1,186,024

CITY FISCAL AGENT CASH

PURCHASE MATURITY ACCOUNT INTEREST MARKET YIELD TO

DATE DATE FUND NUMBER RATE COST VALUE MATURITY

BOND PROCEEDS
$ - $ -
1 CITY OF TEHACHAPI

INVESTMENT REPORT
January 31, 2023

RDA SUCCESSOR AGENCY FISCAL AGENT CASH

PURCHASE MATURITY ACCOUNT INTEREST MARKET YIELD TO

DATE DATE FUND NUMBER RATE COST VALUE MATURITY

BOND PROCEEDS
TEHACHAPI 2017 TAX ALLOCATION BONDS
Fiscal Agent: Bank of New York Mellon
n/a n/a 17AB TABS DEBT SERVICE 993546 3.98 60.58 60.58 3.98 n/a n/a 17AB TABS INTEREST 993547 3.98 2,723.78 2,723.78 3.98 n/a n/a 17A TABS RESERVE 993695 3.98 199,010.01 199,010.01 3.98 n/a n/a 17B TABS RESERVE 993734 3.98 203,628.56 203,628.56 3.98 TOTAL TEHACHAPI 2017 TAX ALLOCATION BONDS $405,422.93 $405,422.93

SUMMARY OF CASH AND INVESTMENTS
Cash in Bank Accounts $ 1,186,024
Pooled Cash Investments $ 20,851,719.02
City Fiscal Agent Cash $ -
Subtotal $22,037,743
Successor Agency Fiscal Agent Cash $405,423
Grand total $22,443,166 *
Investment Policy Statement
All investments are in full compliance of with the City of Tehachapi Investment Policy. The City of Tehachapi will meet its expenditure obligations for the next six months.

The market values presented for pooled City investments are based on closing prices for the related investment as of the date of this report. This information was obtained from Intercontinental Exchange, Bloomberg, Refinitiv, and other reliable sources of market prices. 2 CITY OF

TE HACHAPI
CALIFORNlA

COUNCIL REPORTS
MEETING DATE: MARCH 6,2023 AGENDA SECTION: FINANCE DIRECTOR

APPROVED

DEPARTMENT

CIW MANAGE
TO: HONORABLE MAYOR DAVIES AND COUNCTL MEMBERS
FROM: HAMED JONES, FINANCE DIRECTOR
DATE: FEBRUARY 28,2023
SUBJECT: FISCAL YEAR END 2022 FINANCIAL REPORTS
ND
The City's financial transactions for fiscal year 202!-22 are now audited and the financial reports are completed.

The reports included in this agenda are: Annual Comprehensive Financial Report (ACFR), lndependent Auditor's Report on lnternal Control and Compliance, Report on the City's Appropriations Limit, and Statements of Audit Standards 114 Communication Letter.

Comprehensive Annual Finonciol Report
The City's Annual Comprehensive Financial Report is comprised of

1. lntroductory Section
a. Letter of Transmittal
b. Directory of Officials
c. OrganizationalChart
d. Certificate of Achievement for Excellence in Financial Reporting

2. Financial Section
a. lndependent Auditor's Report
b. Management Discussion & Analysis
c. Basic Financial Statements
d. Required Supplementary lnformation
e. Supplementary lnformation

3. Statistical Section
Continued from the last several years, the City submitted its2O2t-22 ACFR to the Government Finance Officers Association for the Excellence in Financial Reporting Award ("Award"). The City has received the Award since FY 2Ot7-!8.
tndependent Auditorts Report on lnternol Control over Finonciol Reporting ond on Complionce ond Other Matters Bosed on on Audit of Financiol Stotements Internal Control over Financial Reporting: The auditor stated, "During our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that were not identified."
a
Compliance and Other Matters: The auditor stated, "The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Gove rn me ntol Aud iti n g Sto nd o rds."
lndependent Accountont's Report on Agreed-llpon Procedures Applied to Appropriotions Limit Worksheets
The Appropriations Limitation imposed by Propositions 4 and 111 creates a restriction on the amount of revenue which can be appropriated in any fiscal year. The auditor performed agreed-upon procedures based on standards established by the American lnstitute of Certified Public Accountants and reported the findings. Staff calculates the annual appropriations limit as a part of the budget process. The appropriations limit for fiscal year 2O2t-22 was 515,L67,842 which was 5914,629 more than 2020-2L appropriations limit.

The auditor agrees with our appropriation calculation for the audit year as well as the prior year.

Statements of Audit Standords (SAS) 114 Communicotion Letter a This is the Auditor's communication with the governing board for the financial reporting process.
a No significant findings are reported.

RECOMMENDATION
lnformation only
Page2 of 2
o
City of Tehachapi, California
Annual Comprehensive Financial Report
Fiscal Year EndedJune 30, 2022

CITY OF TEHACHAPI, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
For the Fiscal Year Ended June 30, 2022
Prepared by:

Finance Department
City of Tehachapi
Annual Comprehensive Financial Report
Year Ended June 30, 2022

TABLE OF CONTENTS
I. INTRODUCTORY SECTION PAGE
Letter of Transmittal 1 - 5
Directory of Officials 6
Organizational Chart 7
Certificate of Achievement for Excellence in Financial Reporting 8 II. FINANCIAL SECTION
Independent Auditor’s Report 9 - 11
Management’s Discussion & Analysis 12 - 23
Basic Financial Statements:

Government-wide Financial Statements:

Statement of Net Position 24
Statement of Activities 25 - 26
Fund Financial Statements:

Balance Sheet - Governmental Funds 27 - 28
Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position 29 Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds 30 - 31 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities 32
Statement of Net Position - Proprietary Funds 33 - 34
Statement of Revenues, Expenses and Changes in Net Position - Proprietary Funds 35 - 36 Statement of Cash Flows - Proprietary Funds 37 - 38
Statement of Net Position - Fiduciary Funds 39
Statement of Changes in Net Position - Fiduciary Funds 40 Notes to Financial Statements 41 - 64
Required Supplementary Information:

Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual:

General Fund 65
Facility Impact Fee Special Revenue Fund 66
Traffic Mitigation Special Revenue Fund 67
Schedule of the City’s Proportionate Share of the Net Pension Liability 68 Schedule of Plan Contributions 69
Notes to Required Supplementary Information 70
Supplementary Information:

Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual:

Roads and Pedestrian Safety Capital Projects Fund 71
Street Projects Capital Projects Fund 72
Non-Major Governmental Funds:

Combining Balance Sheet 73
Combining Statement of Revenues, Expenditures and Changes in Fund Balances 74 Non-Major Special Revenue Funds:

Combining Balance Sheet 75 - 76
Combining Statement of Revenues, Expenditures and Changes in Fund Balances 77 - 78 City of Tehachapi
Annual Comprehensive Financial Report
Year Ended June 30, 2022
TABLE OF CONTENTS - Continued
Supplementary Information - Continued: PAGE
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual:

Oil Recycling Grant Special Revenue Fund 79
Beverage Container Recycling Special Revenue Fund 80
Lighting District Special Revenue Fund 81
Streets and Roads Special Revenue Fund 82
Gas Tax Special Revenue Fund 83
Non-Major Capital Project Funds:

Combining Balance Sheet 84
Combining Statement of Revenues, Expenditures and Changes in Fund Balances 85 Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual:

Building and Planning Capital Projects Fund 86
Parks and Recreation Capital Projects Fund 87
Custodial Funds:

Combining Statement of Fiduciary Net Position 88
Combining Statement of Changes in Fiduciary Net Position 89 III. STATISTICAL SECTION
Table of Contents 90
Net Position by Component 91 - 92
Changes in Net Position 93 - 96
Fund Balances of Governmental Funds 97 - 98
Changes in Fund Balances of Governmental Funds 99 - 100 Assessed Value of Taxable Property 101 - 102
Direct and Overlapping Property Tax Rates 103 - 104
Principal Property Tax Payers 105
Property Tax Levies and Collections 106
Ratios of Outstanding Debt by Type 107 - 108
Ratios of General Bonded Debt Outstanding 109
Direct and Overlapping Governmental Activities Debt 110 Legal Debt Margin Information 111 - 112
Pledged Revenue Coverage 113
Demographic and Economic Statistics 114 - 115
Principal Employers 116
Full-time and Part-time City Employees 117
Operating Indicators 118 - 119
Capital Asset Statistics 120

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INTRODUCTORY SECTION
1 2
3 4
5 City of Tehachapi
Directory of Officials
Elected Officials
Mayor Phil Smith
Mayor Pro Tem Michael Davies
Council Member Joan Pogon-Cord
Council Member Christina Scrivner
Council Member Susan Wiggins
City Clerk Tori Marsh
City Treasurer Stacy Curry
Administration
City Manager Greg Garrett
Assistant City Manager Corey Costelloe
Finance Director Hamed Jones
Chief of Police Kent Kroeger
Public Works Director Don Marsh
Development Services Director Jay Schlosser
General Services Director Ashley Whitmore
Community Engagement Manager Key Budge
City Attorney Thomas Schroeter
6 Elected
Department
Function
Contract Service
City of Tehachapi
Organizational Chart
City Residents
City Council
City Manager
Development
Services
Department
Public Works
Department
Administration
Department
Police
Department
Finance
Department
Engineering
Planning
Public Safety
Code Enforcmnt
Public Works Finance/ Acctg
Risk Mgmt
Water Personnel HR
Wastewater
City Clerk
Airport
City
Attorney
Fire Service
IT
Animal Ctrl
Transit
Building
Gen Admin
Communications
Department
Assistant City
Manager & Economic
Development
Department
Refuse
City Clerk City Treasurer
7 Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Tehachapi
California
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2021
Executive Director/CEO
8 FINANCIAL SECTION
Independent Auditor’s Report
The Honorable City Council
City of Tehachapi, 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 Tehachapi (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 Tehachapi, 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.

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.

9 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 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 10 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 December 27, 2022, 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 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.

December 27, 2022
11 MANAGEMENT’S DISCUSSION AND ANALYSIS
The management of the City of Tehachapi has provided this narrative overview and analysis of the City’s financial activities for the fiscal year ended June 30, 2022. The City encourages readers to consider the financial statements and notes presented here in conjunction with the financial statements which are included with this report.

Financial Highlights
 The City’s net position increased 5% to $72,441,321 from $68,731,855 as a result of this year’s operations.  Total City revenues, including program and general revenues, were $23,873,473, which is $161,276 more than the prior year.
 Total City expenses, including governmental and business-type expenses, were $20,164,007, which is $4,834 more than the prior year.
 Net position in governmental activities increased by $3,583,294 to $53,551,828, a 7% increase.  Net position in business type activities increased by $126,172 to $18,889,493, a 0.7% increase.  Governmental revenues increased by $179,280 to $15,958,502, a 1% increase.  Governmental expenses increased by $109,750 to $12,228,153, a 1% increase.  Revenues from business-type activities decreased by $18,004 to $7,914,971, a 0.2% decrease.  Expenses from business-type activities decreased by $104,916 to $7,935,854 a 1.3% decrease.  General fund revenue decreased by $961,928 to $11,735,722, a 7.6% decrease.  General fund expense increased by $1,004,804 to $10,415,109, a 10.7% increase.  The fund balance of the General Fund as of June 30, 2022, was $14,948,598; an increase of $1,320,613 or 9.7% from the prior year.

Overview of Financial Statements
This discussion and analysis is intended to serve as an introduction to the City’s basic financial statements. The City’s basic financial statements are comprised of:

1. Government-wide Financial Statements

2. Fund Financial Statements

3. Notes to Financial Statements
This report also contains Required Supplementary Information and Supplementary Information in addition to the Basic Financial Statements.

The Government-wide Financial Statements
The government-wide financial statements are designed to provide readers with a broad overview of the City of Tehachapi’s finances, in a manner similar to a private-sector business. The focus of government-wide financial statements is on the overall financial position and activities of the government as a whole. These financial statements are constructed around the concept of a primary government. The primary government is then broken down into two different activities: governmental activities and business-type activities.

Governmental activities include the following:

General Government Administration, finance and accounting, human resources, economic development, legal services, and the City Clerk’s office Public Works Maintenance and repair of roads and buildings, landscaping, lighting, drainage, and community promotions
Public Safety Police and fire services
Community Development Planning, engineering, building inspections, and development services The services under governmental activities are supported by taxes and specific program revenues. 12 Business-type activities include refuse, water, wastewater, transit, and airport services. Unlike governmental services, business-type activities are supported by charges paid by users based on the amount of services used.

The government-wide financial statements are comprised of the Statement of Net Position and Statement of Activities.

The Statement of Net Position is prepared using accounting principles that are similar to a private-sector business.

The purpose of the Statement of Net Position is to report all assets held and liabilities owed by the City. The difference between the City’s total assets and total liabilities is labeled as net position and this difference is similar to the total owners’ equity presented by a private-sector business. Although the purpose of the City is not to accumulate net position in general, increases or decreases of net position may serve as an indicator of the financial position of the City.

The Statement of Activities presents the revenues and expenses of the City. Again, the items presented on the Statement of Activities are measured in a manner similar to the approach used by a private-sector business, in that revenues are recognized when earned and expenses are recognized when incurred. The difference between revenue and expense is called change in net position in the City’s financial report whereas it is called net income in a private-sector business.

Fund Financial Statements
Unlike government-wide financial statements, the focus of fund financial statements is directed to specific activities of the City rather than the City as a whole. All of the City’s funds are composed of three categories: governmental funds, proprietary funds, and fiduciary funds.

Fund financial statements provide detailed information about each of the City’s most significant funds, called major funds. The concept of a major fund, and the determination of which funds are major, was established by Governmental Accounting Standards Board (GASB) Statement 34 and replaces the concept of combining like funds and presenting them in total. Instead, each major fund is presented individually, while all non-major funds are summarized and presented in a single column.

Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government’s near-term financing requirements.

Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions.

The City of Tehachapi maintains 13 active individual governmental funds. Information is presented separately in the Governmental Fund Balance Sheet and the Governmental Fund Statement of Revenues, Expenditures and Changes in Fund Balances. The funds categorized under major funds are: General Fund, Facility Impact Fee Fund, Traffic Mitigation Fund, Roads and Pedestrian Safety Fund, and Street Projects Fund. Data from fourteen governmental projects are combined into the Street Projects fund, which is a capital projects fund. Funds such as the gas tax funds, Transportation Development Act grant funds, landscape lighting district funds, and drainage basin assessment district funds are grouped into the Other Governmental Funds.

The projects included in the Pedestrian Safety Funds are Rail Corridor Pedestrian Safety, Antelope Run Bike Path Extension, Brentwood Pedestrian Facilities, and Valley Recreational Park. Fourteen projects are included in the Street Projects Fund. They are the Enhanced Striping, Valley Resurfacing Beech-Curry, Tree Planting and Stormwater Capture, Enhanced Pedestrian Crossings, City Traffic Model/Mitigation, Snyder Ave. Gap Closure, Summit Rehabilitation, West Park Frontage Improvement, Northside Neighborhood Improvement Ph II, Snyder Ave. 13 Road Rehabilitation, Pinon Road Extension, Surface Treatment of Residential Streets, Dennison Bicycle-Pedestrian Improvement, and Local City Streets Rehabilitation projects.

Proprietary funds record revenues when they are earned and record expenses at the time liabilities are incurred.

The only type of proprietary funds the City of Tehachapi maintains is enterprise funds. The Refuse, Water, Sewer, Transit, and Airport funds are enterprise funds and presented as business-type activities in the government-wide financial statements. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The City considers Water, Sewer, Airport and Refuse Funds to be major funds whereas the Transit Fund is categorized as a non-major proprietary fund.

Fiduciary funds are used to account for resources held for the benefit of parties outside the government. The City’s fiduciary fund activities are reported in a separate section of this report under the Statement of Fiduciary Net Position. These activities are excluded from the City’s other financial statements because the City cannot use assets belonging to fiduciary funds to finance its operations. Financial activities included in the fiduciary statement consist of the Successor Agency to the former Tehachapi RDA (Successor Agency), Special Assessment Districts (AD), and the Community Facilities Districts (CFD).

Notes to the Financial Statements
The notes give additional information that is essential to a full understanding of the data provided in the governmentwide and fund financial statements.

Required Supplementary / Supplementary Information
In addition to the basic financial statements and accompanying notes, this report also presents certain Required Supplementary Information and Supplementary Information. The Required Supplementary Information section includes budgetary comparison schedules for major governmental funds and the Supplementary Information section includes an illustration of conditions and activities for all non-major funds as well as special district agency funds.

Government-wide Financial Analysis
Statement of Net Position Summary
The City’s overall financial position and operations for the past two years are summarized in the table above based on the information included in the government-wide financial statements. At June 30, 2022, the City’s overall net position was $72,441,321, which is the difference between assets plus deferred outflows of resources and liabilities 2022 2021 2022 2021 2022 2021
ASSETS
Current and Other Assets 17,175,311 15,311,706 7,820,268 7,191,467 24,995,579 22,503,173 Capital Assets 40,377,848 39,746,243 16,378,817 15,585,174 56,756,665 55,331,417 Total Assets 57,553,159 55,057,949 24,199,085 22,776,641 81,752,244 77,834,590 DEFERRED OUTFLOWS OF RESOURCES 1,453,711 1,212,803 549,102 472,575 2,002,813 1,685,378

LIABILITIES
Current Liabilities 1,096,682 1,586,594 1,927,128 1,113,124 3,023,810 2,699,718 Long-term Liabilities 2,876,112 4,672,146 2,662,069 3,340,904 5,538,181 8,013,050 Total Liabilities 3,972,794 6,258,740 4,589,197 4,454,028 8,561,991 10,712,768 DEFERRED INFLOWS OF RESOURCES 1,482,248 43,478 1,269,497 31,867 2,751,745 75,345

NET POSITION
Net Investment in Capital Assets 39,457,130 38,817,981 14,311,502 13,897,605 53,768,632 52,715,586 Restricted 4,410,645 3,895,674 2,410,349 1,286,582 6,820,994 5,182,256 Unrestricted 9,684,053 7,254,879 2,167,642 3,579,134 11,851,695 10,834,013 Total Net Position 53,551,828 49,968,534 18,889,493 18,763,321 72,441,321 68,731,855 Governmental Activities Business-Type Activities Total
14 plus deferred inflows of resources. The net position that resulted from governmental activities was $53,551,828 and from business-type activities was $18,889,493. Net position may serve over time as an indicator of a government’s financial position.

The largest portion of the City’s net position is investments in capital assets. The Net Investment in Capital Assets (e.g., land, infrastructure, buildings, machineries, and equipment) was increased to $53,768,632 (74% of total net position) from $52,715,586. This increase of $1,053,046 resulted from added capital assets less removed capital projects and depreciation expense. The Net Investment in Capital Assets is calculated by deducting the accumulated depreciation amount as well as associated debts from the total capital assets booked. The capital projects still in progress at the end of the fiscal year are included in the construction in progress (CIP) balance until the projects are completed. Listed are the projects included in CIP at the end of 2021/22:

Governmental Activities:

Pinon Road Extension Dennison Bicycle & Pedestrian Improvements Tree Planting & Stormwater Capture Valley Recreational Park Brentwood Pedestrian Facilities
Business-type Activities:

Airport Taxiway Relocation Cherry & Dennison Water Mains Recycled Water Pump Station Upgrade Curry Booster Rebuild & Addition Upon completion, the following projects will be categorized in a specific group of fixed assets and will start being depreciated. The capital projects completed during the fiscal year 2021/22 were Rail Corridor Pedestrian Safety, Enhanced Pedestrian Crossings, Snyder Gap Closure, Northside Neighborhood Improvement Ph II, Snyder Ave.

Road Rehabilitation, Fuel Storage System, and the Public Works Office Trailer.

The City started capturing its capital assets in governmental funds beginning in fiscal year 2002/2003. In accordance with GASB 34, the City was not required to retroactively capture its capital assets because the City fell under Implementation Phase III rules due to the size of its revenue in fiscal year 1999/2000. Although the City’s investments in capital assets are reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, as the capital assets themselves cannot be used to liquidate these liabilities.

In 2012, GASB 68 was issued to improve financial reporting by state and local governments for pensions and replaced GASB 27. The City implemented GASB 68 from fiscal year 2014/15 forward as required and the pension information is recorded in the Statement of Net Position. The Deferred Outflows/Inflows of Resources are composed of deferred pension contributions, proportionate share differences, and pension actuarial amounts. The Net Pension Liability balance as of June 30, 2022 was $2,813,824.

The restricted net position was increased by $1,638,738 to $6,820,994, while the unrestricted net position was also increased by $1,017,682 to $11,851,695. For the most part, the increase in restricted fund balance was attributable to special revenue funded capital projects not completed by year-end. The unrestricted fund balance increase was primarily due to increased General Fund revenues. Detailed explanations will be further illustrated in the General Fund section.

Governmental Activities
Governmental activities increased the City’s net position by $3,583,294 to $53,551,828, accounting for 74% of the city-wide total net position. The net position balance is composed of $39,457,130 of net investment in capital assets, $4,410,645 of restricted fund balance, and $9,684,053 unrestricted fund balance.

The governmental capital assets include not only general fixed assets costing over $10,000 but also infrastructure constructed after the year 2004 as required by GASB Statement 34. The balance in net investment in capital assets represents 74% of the total Net Position in the Governmental Activities section. The $639,149 increase in net investment in capital assets was primarily from grant funded capital projects. Furthermore, both the restricted net position increased by $514,971 from the prior year as well as the unrestricted net position increased by $2,429,174. 15 The restricted fund balance increase was essentially due to special revenue funded capital projects not completed by year-end, whereas the unrestricted fund increase was generated from higher than expected sales tax and transient occupancy tax revenues in the General Fund. Readers may find how the Fund Balances in Governmental Funds are derived from the Net Position of Governmental Activities from the section Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position in the body of the financial report.

Business-type Activities
The City operates five business-type activities. These activities are captured in four major funds (Water, Sewer, Airport and Refuse) and one non-major fund (Transit). The net position in business-type activities was increased by $126,172 to $18,889,493, accounting for 26% of the city-wide total net position. The enterprise funds contributing to the increase of net position were Water $929, Sewer, $147,235, Transit $13,683, and Refuse $37,249, whereas Airport Fund’s net position was decreased by $72,924.

The net position balance is composed of $14,311,502 of net investment in capital assets, $2,410,349 of restricted net position, and $2,167,642 of unrestricted net position. While net investment in capital assets and restricted net position increased by $413,897 and $1,123,767 respectively, unrestricted net position decreased by $1,411,492.

The increase in restricted net position was caused mainly by the acquisition of water rights whereas the decrease in unrestricted net position is primarily due to the use of fee fund reserves used for capital projects such as the purchase of water rights, Airport Taxiway Relocation project, and capital project debt service payments.

Statement of Activities
2022 2021 2022 2021 2022 2021
Revenue
Program Revenues:

Charges for Services 1,584,262 1,317,300 7,517,862 7,353,937 9,102,124 8,671,237 Operating Contributions & Grants 366,251 2,402,243 355,536 470,547 721,787 2,872,790 Capital Grants & Contributions 3,643,769 2,483,627 3,643,769 2,483,627 General Revenues:

Property Taxes 2,603,683 2,599,168 2,603,683 2,599,168
Sales Taxes 4,304,461 3,693,947 4,304,461 3,693,947
Other Taxes 3,157,027 2,836,305 3,157,027 2,836,305
License and Permits 341,731 289,184 341,731 289,184
Miscellaneous 33,528 104,657 43,407 58,527 76,935 163,184 Interest (76,210) 52,791 (1,834) 34,183 (78,044) 86,974 Loss on Disposal 15,781 15,781
Total Revenues 15,958,502 15,779,222 7,914,971 7,932,975 23,873,473 23,712,197 Expenses
Primary Government
General Government 1,102,246 3,772,260 1,102,246 3,772,260 Public Works 2,674,815 2,212,546 2,674,815 2,212,546
Public Safety 5,112,873 4,934,643 5,112,873 4,934,643
Community Development 3,300,861 1,158,064 3,300,861 1,158,064 Interest 37,358 40,890 37,358 40,890
Business-type Activities
Refuse 1,561,496 1,456,930 1,561,496 1,456,930
Water 2,739,661 2,882,279 2,739,661 2,882,279
Sewer 2,334,763 2,469,560 2,334,763 2,469,560
Transit 240,065 305,301 240,065 305,301
Airport 1,059,869 926,700 1,059,869 926,700
Total Expenses 12,228,153 12,118,403 7,935,854 8,040,770 20,164,007 20,159,173 3,730,349 3,660,819 (20,883) (107,795) 3,709,466 3,553,024 Transfers (147,055) (173,027) 147,055 173,027
Change in Net Position 3,583,294 3,487,792 126,172 65,232 3,709,466 3,553,024 Net Position at Beginning of Year 49,968,534 46,230,647 18,763,321 18,698,089 68,731,855 64,928,736 Prior Period Adjustment 250,095 250,095
Net Position at End of Year 53,551,828 49,968,534 18,763,321 18,889,493 72,441,321 68,731,855 Total
Excess (Deficiency) of Revenue
Governmental Activities Business Type Activities
16 Financial Analysis of Individual Funds
The City uses fund accounting to ensure and demonstrate compliance with finance related legal requirements.

Please note that unlike the government-wide financial statements discussed previously, the fund statements are reflected on a modified accrual basis.

Governmental Funds
As of June 30, 2022, the City’s governmental funds reported a combined ending fund balance of $15,802,302. This is a $2,150,034 or approximately 16% fund balance increase from the prior year. As shown in the table below, the increase is attributed to favorable operations in the General Fund and development fee receipts in various special revenue funds. The General Fund’s increase in fund balance is primarily due to a 17% increase in sales tax from higher fuel sales and a 24% increase in transient occupancy taxes from increased travel after the pandemic. The negative fund balances in capital project funds mean capital project grant revenues were not received yet. Fund balance changes in the governmental funds are summarized as follows:

Governmental Funds Balance Summary
The General Fund is the chief operating fund of the City. At the end of the current fiscal year, the fund balance in the General Fund was $14,948,598, which includes $157,749 of prepaid expenses, $358,989 due from other funds (interfund receivables), and $2,238,243 advances from other funds. The General Fund is the only discretionary fund out of the 13 operating governmental funds and any fund shortages in other funds at the end of fiscal year are mostly covered by the General Fund. The summary of interfund receivables and advances as of June 30, 2022 are as listed:

The two-million-dollar loan to the Facility Impact Fee Fund originated in 2014 with the construction of a new police facility. The advances made to the Streets and Roads Fund and capital projects funds are because of the timing of the receipt of grant revenues. Annual fund deficits in the Airport and certain Landscape Lighting Districts funds are covered by General Fund through operating transfers, not as loans, because those funds are not capable of making debt payments in the foreseeable future. To date, the General Fund has subsidized $2,345,393 and $864,222 to the Airport Fund and Landscape Lighting Districts respectively. $ Increase %
(Decrease) Change
General Fund $14,948,598 $13,627,985 $1,320,613 10%
Facility Impact Fee ($2,971,888) ($3,031,765) $59,877 -2% Traffic Mitigation $2,523,603 $2,521,154 $2,449 0%
Roads and Pedestrian Safety ($6,227) $58,928 ($65,155) 111% Street Projects ($276,040) ($599,542) $323,502 54%
Other Governmental Funds $1,584,256 $1,075,508 $508,748 47% TOTAL $15,802,302 $13,652,268 $2,150,034 16%
Capital Project
June 30, 2022 June 30, 2021
Special Revenue
Interfund Receivables as of 06/30/22
Roads and Pedestrian Safety Fund 6,226 $
Streets Project Funds 352,763
$ 358,989
Advances as of 06/30/22
Facility Impact Fee Fund $ 2,000,000
Special Districts 238,243
$ 2,238,243
17 In addition to advances and prepaid expenses in the General Fund, the GASB 54 committed fund balance is not spendable without Council’s authorization and can only be used for a declared emergency situation. The committed fund amount is calculated annually based on GASB 54 requirements and approved by the City Council. The committed fund balance for the fiscal year 2021/22 was $1,185,070. The spendable fund balance after the deduction of outstanding advances, prepaid expenses, and committed funds may be used to pay for future capital projects for the City’s general operations.

Among five major governmental funds, three governmental funds had negative fund balances at the end of this fiscal year. These funds are the Facility Impact Fee Fund ($2,971,888), Roads and Pedestrian Safety Projects Funds ($6,227), and Street Projects Funds ($276,040). Other than the Facility Impact Fee Fund, the negative fund balances will be eventually covered by various capital project grants.

The deficit fund balances in the Roads and Pedestrian Safety Projects Funds and Street Projects Funds are timing related. Capital projects in these funds are all grant funded projects and grants are collected on a reimbursement basis. The negative fund balance in the Facility Fee Fund will be paid by future fee collections from developers.

As mentioned earlier, this deficit originated with the construction of the new police facility and the remodeling of the City Hall Annex which is currently occupied by the Development Services Department. The Facility Fee Fund deficit was covered by the General Fund ($2,000,000) and Sewer Connection Fee Fund ($971,888).

Certain special revenue funds, miscellaneous capital project funds, landscape lighting maintenance district (LLD) funds, and drainage benefit assessment district (DBAD) funds are included in Other Governmental Funds. The special revenue funds are various development fee funds with a specific purpose for the use of the funds. The combined fund balance of Other Governmental Funds was $1,584,256. The main sources of the positive fund balance in Other Governmental Funds were from certain LLD and DBAD funds.

Proprietary Funds
The balances in net position of the proprietary funds are summarized below:

The net position in the Water Fund at the end of fiscal year 2021/22 was $7,228,370, which was a $929 increase from fiscal year 2020/21. This increase in net position in a proprietary fund is similar to the net income in a private sector business. The increase will be accumulated in the net position and the unrestricted portion of net position will fund future water related capital projects. Compared to the prior year, both Water Fund revenues and expenses decreased by $158,365 and $142,618 respectively. The revenue decrease was mostly due to water rights lease revenue received in the prior fiscal year. On the expenditure side, the most notable variances are from decreases in operating and maintenance costs ($72,182) and a decrease in personnel costs ($44,826).

As shown in the table above, the Sewer Fund recognized a $147,235 increase in net position from the prior year which resulted in a year-end net position of $9,971,142. Compared to the prior year, Sewer Fund revenues increased by $43,538 while expenses decreased by $134,797. The revenue increase was mostly from a sewer fee rate increase associated with changes in the Los Angeles area CPI in November 2021. The CPI used for the sewer rate increase in January 2022 was 6%. On the expenditure side, the most notable variances are from decreases in operating and maintenance costs ($80,856) and a decrease in personnel costs ($83,187). $ Increase %
(Decrease) Change
Water Fund $7,228,370 $7,227,441 $929 0%
Sewer Fund $9,971,142 $9,823,907 $147,235 1%
Airport Fund $1,442,629 $1,515,553 ($72,924) -5%
Refuse Fund $137,265 $100,016 $37,249 37%
Non-Major Fund Transit Fund $110,087 $96,404 $13,683 14% TOTAL $18,889,493 $18,763,321 $126,172 1%
June 30, 2022
Major Fund
June 30, 2021
18 The Airport Fund’s net position at the end of the fiscal year was $1,442,629, a decrease of $72,924 from the prior year. The Airport Fund’s net position decrease was entirely as a result of the General Fund’s subsidy. In 2021/22, $144,852 was transferred to the Airport Fund for operating support from the General Fund. The operating transfer is calculated based on the budget; however, the actual deficit came in more than what was budgeted. Total operating transfers from the GF to the Airport Fund since FY 2000/01 has been $2,345,393. During fiscal year 2021/22, both Airport Fund’s total revenues and expenses increased by $267 and $133,169 respectively compared to the prior fiscal year. The actual revenue increase from operations without the General Fund’s subsidy was $26,239 and this increase was primarily from increased fuel sales. On the expense side, the airport’s higher fuel purchase costs from rising prices created the most variance.

The Refuse Fund recognized a $37,249 net gain during the fiscal year resulting in a $137,265 ending net position.

The City contracts for refuse services with Waste Management Company and receives 10% of total refuse and recycling service revenues from the contractor for administration, billing, and accounts collection services provided by the City. In July 2021, the refuse service fees were increased by 3.35%.

General Fund Budgetary Highlights
A detailed budgetary comparison schedule for the year ended June 30, 2022 is presented as Required Supplementary Information following the Notes to the Financial Statements. The final budget amounts differ from those shown in the original 2021/22 five-year budget. This modification is a result of changes made by mid-year budget adjustments.

General Fund
The General Fund’s fiscal year end fund balance was $14,948,598, which includes a $1,320,613 positive net change in fund balance. In comparison to the final budget, this year’s operations resulted in a $1,437,678 favorable fund balance variance. Most of this positive variance was due to a 17% increase ($610,514) in sales tax revenues from higher fuel sales, a 24% increase ($203,066) in transient occupancy taxes from increased travel after the pandemic, and a 55% increase ($372,105) in development services revenues from increased development activity.

Compared to the prior year, total revenues decreased by $961,928 and expenditures increased by $1,004,804.

The detailed budget to actual numbers comparison of the General Fund is included in the Required Supplementary Information section in the Financial Report. The main reason for the decrease in revenue is due to $2,170,553 in COVID-19 related grants from the Coronavirus Aid, Relief and Economic Security Act (CARES) and American Rescue Plan Act (ARPA) received in the previous fiscal year.

The biggest increases in General Fund expenditures were from a transfer out to a street rehabilitation capital project, plan check/engineering costs from increased development, and personnel costs. The personnel costs were higher mainly due to City’s implementation of a ten-year UAL payment plan as well as a 1% COLA increase for all employees in fiscal year 2021/22.

Budget Variance Actual Variance
2021/22 Actual vs. 2021/22 vs.

Final Budget 2020/21
increase(decrease) increase(decrease)
Revenues incl. Other Sources 10,536,384 10,273,470 11,735,722 12,697,650 1,462,252 (961,928) Expenditures incl. Other Uses 9,952,546 10,390,535 10,415,109 9,410,305 (24,574) 1,004,804 Net Changes 583,838 (117,065) 1,320,613 3,287,345 1,437,678 (1,966,732) Fund Balance - Beginning (Adjusted) 13,627,985 13,627,985 13,627,985 10,340,640 Fund Balance - Ending 14,211,823 13,510,920 14,948,598 13,627,985 Original Budget Final Budget 2021/22
Actual
2020/21
Actual
19 The General Fund major revenue variances compared to the prior year with key reasons are listed below:

The major expenditure variances compared to the prior year with key reasons are listed below:

Capital and Debt Administration
Capital Assets
The City of Tehachapi’s investment in capital assets for both governmental and business-type activities as of June 30, 2022 amounted to $56,756,665 (net of accumulated depreciation), which was a $1,425,246 increase from fiscal year 2020/21 as shown in the table below. Of the total, increases of $631,605 and $793,641 were from governmental activities and business activities respectively. The detail of changes in the capital asset balance can be found in the Notes Section 2-C.

The main contributor to the increase in investment in capital assets for governmental activities was from grant funded infrastructure projects which are still in construction in progress (CIP). The Tree Planting and Stormwater Capture project alone added $1,009,283 to the CIP balance under governmental activities. The list of projects in CIP are shown in the Government-wide Financial Analysis section of this report. The governmental assets that were completed and transferred out of CIP and reclassed to the Infrastructure category are:

The largest addition to capital assets in business activity was the purchase of 96 acre-feet of water rights in the amount of $699,000.

Increase/(Decrease)
Major Variances
COVID-19 Grants (2,170,553) $ Prior Year COVID-19 relief grants from the federal government Sales Tax 610,514 $ Sales tax increase from fuel, on-line sales tax allocation, general consumer goods, home improvement goods, restaurants
Transient Occupancy Tax 203,066 $ Recovery from initial COVID-19 related decreases Development Services 372,105 $ Increased development
Total Major Variances (984,868) $
Revenues
2021/22 vs 2020/21 Reasons
Increase/(Decrease)
Major Variances
Personnel Cost 207,132 $ CalPERS unfunded accrued liability additional payment, promotions, merit and cost of living allowance increase
Plan Check Engineering Service 375,310 $ Increased development Transfers Out 455,416 $ General Fund contribution to Road Rehab project Total Major Variances 1,037,858 $
Expenses
2021/22 vs 2020/21 Reasons
Rail Corridor Pedestrian Safety $ 2,526,411
Enhanced Pedestrian Crossings 224,669
Snyder Gap Closure 1,225,860
Northside Neighborhood Sidewalks Ph2 180,696
Snyder Road Rehabilitation 274,500
$ 4,432,136
20 Capital Assets
In FY 2021/22, certain assets were deleted from the books as shown in Notes Section 2-C. The detailed information on deleted assets is presented in the table below.

Deleted Capital Assets
Long-Term Debt
The City of Tehachapi’s total long-term debt was decreased by $2,221,043 compared to the prior year. As shown in the table below, the largest increase was from the addition of two installment notes totaling $466,000 related to the purchase of water rights.

The decrease in net pension liability (Unfunded Accrued Liability UAL) was mainly due to an increase in investment income at CalPERS as well as the City’s implementation of a ten-year UAL payment plan that started in FY 2021/22.

The reader may find detailed long-term debt and capital lease information in Notes Section 2-F. Furthermore, the City employees’ detailed pension information is included in Notes Section 3-B.

Total Total 2022 vs 2021
2022 2021 2022 2021 2022 2021 Increase(Decr)
Non-Depreciable Assets:

Land 1,382,386 1,384,613 783,108 740,469 2,165,494 2,125,082 40,412 Water Rights 2,457,774 1,758,774 2,457,774 1,758,774 699,000 Construction in Progress 1,257,796 3,416,904 1,059,373 387,231 2,317,169 3,804,135 (1,486,966) Total Non-Depreciable Assets 2,640,182 4,801,517 4,300,255 2,886,474 6,940,437 7,687,991 (747,554) Depreciable Assets - Net of Accumulated Depreciation
Buildings 4,976,312 5,249,088 5,864,975 6,096,093 10,841,287 11,345,181 (503,894) Machinery and Equipment 886,157 1,093,966 400,694 493,364 1,286,851 1,587,330 (300,479) Improvements Other than Buildings 31,463,710 28,377,072 5,712,595 6,072,213 37,176,305 34,449,285 2,727,020 Parks 180,619 187,567 180,619 187,567 (6,948)
Right-to-use Leased Vehicles 230,868 37,033 100,298 37,032 331,166 74,065 257,101 Total Depreciable Assets - Net 37,737,666 34,944,726 12,078,562 12,698,702 49,816,228 47,643,428 2,172,800 Total Capital Assets 40,377,848 39,746,243 16,378,817 15,585,176 56,756,665 55,331,419 1,425,246 Governmental Activities Business Type Activities
Asset Accumulated
Original Cost Depreciation
Governmental Government Land Removed - below value threshold 2,330 $ - $ Improvement-Other Replaced - no longer exists 29,900 21,170 Machine & Equip Replaced - no longer exists 129,295 129,295 $ 150,465 161,525 $
Activity Fund Asset Category Transaction
2022 vs 2021
2022 2021 2022 2021 2022 2021 Increase(Decr)
Bonds 177,100 184,500 177,100 184,500 (7,400)
Loans 1,188,266 1,291,168 1,188,266 1,291,168 (102,902) Note Payable 466,000 466,000 466,000
Capital Leases 920,718 928,262 235,949 211,901 1,156,667 1,140,163 16,504 Net Pension Liability 1,975,095 3,751,459 838,729 1,643,904 2,813,824 5,395,363 (2,581,539) Compensated Absences 274,781 273,503 227,566 240,550 502,347 514,053 (11,706) Total Long-Term Liabilities 3,170,594 4,953,224 3,133,610 3,572,023 6,304,204 8,525,247 (2,221,043) Governmental Activities Total Business Type Activities
21 State statutes limit the amount of general obligation debt a governmental entity may issue to fifteen percent of its total assessed valuation. The City has not exceeded this limit.

Next Year’s Budget and Economic Factors
In June of 2022, the Council adopted the 2022/23 through 2026/27 five-year budget with total appropriations of $33,328,130 in fiscal year 2022/23. The following factors were taken into consideration in compiling the next fiscal year budget:
 A 6% CPI increase was used for a cost-of-living allowance calculation for employees.  The 2022/23 budgeted General Fund revenue is $12,244,606, which is $508,884 more than the actual revenue received in 2021/22. The variance is mainly due to COVID-19 related grants the City will be receiving in 2022/23.
 The 2022/23 General Fund expenditure budget amount of $12,054,747 is projected at $1,639,638 more than the actual expenditures in 2021/22. The large variance is primarily due to a 6% COLA, the addition of four full-time positions in the Police Department, and massive Kern County fire contract cost increases.  Compared to the actual amounts in FY 2021/22, water sales revenue and sewer service charges were both budgeted at a 6% increase due to rate adjustments tied to annual consumer price indexes.  Approximately 33 and 42 equivalent dwelling units (EDU) were considered in new water and sewer connection fee revenues calculation.
 Budgeted new positions are five full-time employees: an assistant police chief, sergeant, and two police officers in the Police Department, and a water operator in the Water Department.  Capital projects and equipment purchases included in this budget are:
o Police department vehicles / radio encryption upgrades: $175,000 o IT server / switch / phone upgrades: $335,000
o New radio water meters: $75,000
o Public Works equipment / building structure improvements: $391,000 o Water rights lease: $45,000
o Water rights purchase: $1,800,000 (will be financed)
o New potable water well: $250,000
o Clarifier overhaul: $150,000
o Airport Taxiway relocation project: $6,335,000
o Enhanced Striping: $185,200
o Tree Planting and Stormwater Capture: $164,711
o Valley Blvd Recreational Park: $550,000
o Dennison Bicycle & Pedestrian Improvements: $375,000
o Pinon Road Extension: $719,965
o Surface Treatment of Residential Streets: $350,000
After feeling the effects during the beginning of the COVID-19 outbreak, the local economy has bounced back with most key revenue sources reaching or exceeding pre-pandemic levels. The City’s General Fund revenues such as sales tax, transient occupancy tax, and passport processing have shown significant recovery from COVID-19 related decline as consumer spending and traveling have increased. However, inflation has surged as food and merchandise prices have increased rapidly due to the supply chain being impacted heavily. Fuel prices have soared. According to the U.S. Bureau of Labor Statistics, the 12-month Consumer Price Index for All Urban Consumers (CPI-U) was up 8.6% in May 2022. As of October 2022, the unemployment rate in the City of Tehachapi was 7.9%, which was 3.8% higher than the State of California unemployment rate of 4.1% (1). More data is included in the Economic Condition section in the Transmittal Letter of this financial report. As a result, a possible recession in the next few years is being predicted by many economists. Due to this increasing likelihood of a recession, the City’s five-year budget was built with conservative revenue estimates from a potential slowdown in economic growth.

Sources: (1) California Employment Development Department 22 Unlike previous budget years, it was difficult to produce a balanced General Fund budget without utilizing reserves.

If it were not for COVID federal grant funds, the City would have been facing a deficit in each of the next five fiscal years. Fortunately, next fiscal year has a small surplus, but future years have growing deficits that will need to be addressed before reserves are depleted. Although the City retains a healthy General Fund reserve, continual budget deficits for many years may not be sustainable without additional revenue streams. The City management team is currently working on bringing additional revenue into the General Fund.

The City continues to produce favorable budgets without deficits for other major funds, namely the Water Fund and Sewer Fund. Both the Water Fund and Sewer Fund have healthy cash reserves that can be used towards unanticipated emergencies and/or future capital projects.

Requests for Information
This financial report is designed to provide a general overview of the City of Tehachapi’s finances for all those interested in them. Questions concerning any of the information provided in this report or requests for additional information should be addressed to the City’s Finance Department, at 115 South Robinson Street, Tehachapi, CA 93561.
23 BASIC FINANCIAL STATEMENTS
Governmental Business-type
Activities Activities Total
ASSETS
Cash and Investments 15,683,078 $ 5,025,315 $ 20,708,393 $ Receivables (Net of Allowance) 2,052,584 1,053,979 3,106,563 Internal Balances (971,888) 971,888 -
Restricted Cash and Investments 15,545 235,122 250,667
Prepaids 157,749 11,108 168,857
Lease Receivable - 522,856 522,856
Advances to Fiduciary Funds 238,243 - 238,243
Capital Assets, Not Being Depreciated 2,640,182 4,300,255 6,940,437 Capital Assets, Depreciated, Net 37,737,666 12,078,562 49,816,228 Total Assets 57,553,159 24,199,085 81,752,244

DEFERRED OUTFLOWS OF RESOURCES
Deferred Outflows Related to Pensions 1,453,711 549,102 2,002,813

LIABILITIES
Current Liabilities:

Accounts Payable 574,237 1,245,209 1,819,446
Accrued Liabilities 204,401 80,905 285,306
Accrued Interest Payable 8,017 1,661 9,678
Deposits Payable 15,545 127,812 143,357
Noncurrent Liabilities:

Due within One Year 294,482 471,541 766,023
Due in More Than One Year 2,876,112 2,662,069 5,538,181 Total Liabilities 3,972,794 4,589,197 8,561,991

DEFERRED INFLOWS OF RESOURCES
Related to Lease Receivable - 522,856 522,856
Deferred Inflows Related to Pensions 1,482,248 746,641 2,228,889 Total Deferred Inflows of Resources 1,482,248 1,269,497 2,751,745

NET POSITION
Net Investment in Capital Assets 39,457,130 14,311,502 53,768,632 Restricted for:

Construction and Expansion of Facilities 2,410,349 - 2,410,349 Highways and Streets 3,849,478 3,849,478 -
Community Development 97,154 - 97,154
Parks 464,013 - 464,013
Unrestricted 9,684,053 2,167,642 11,851,695
Total Net Position $ 53,551,828 $ 18,889,493 $ 72,441,321 City of Tehachapi
Statement of Net Position
June 30, 2022
The accompanying notes are an integral part of this statement. 24 Charges Operating Capital
for Grants and Grants and
Functions/Programs Expenses Services Contributions Contributions Governmental Activities:

General Government 1,102,246 $ 778,992 $ 10,368 $ - $
Public Works 2,674,815 689,907 - 3,643,769
Public Safety 5,112,873 111,369 286,516 -
Community Development 3,300,861 3,994 69,367 -
Interest 37,358 - - -
Total Governmental Activities 12,228,153 1,584,262 366,251 3,643,769 Business-type Activities:

Water 2,739,661 2,731,318 - -
Sewer 2,334,763 2,453,827 - -
Airport 1,059,869 751,117 84,627 -
Refuse 1,561,496 1,577,596 21,180 -
Transit 240,065 4,004 249,729 -
Total Business-type Activities 7,935,854 7,517,862 355,536 - Total Primary Government 20,164,007 $ 9,102,124 $ 721,787 $ 3,643,769 $ General Revenues:

Property Taxes
Sales and Use Taxes
Property Tax in Lieu
Transient Occupancy Tax
Licenses and Permits
Franchise Tax
Other Taxes
Miscellaneous Revenues
Investment Earnings
Gain on Disposal
Transfers In (Out)
Total General Revenues and Transfers
Change in Net Position
Net Position - Beginning of Year, Restated
Net Position - End of Year
Program Revenues
City of Tehachapi
Statement of Activities
Year Ended June 30, 2022
The accompanying notes are an integral part of this statement. 25 Governmental Business-type
Activities Activities Total
$ - (312,886) $ (312,886) $
- 1,658,861 1,658,861
- (4,714,988) (4,714,988)
- (3,227,500) (3,227,500)
- (37,358) (37,358)
- (6,633,871) (6,633,871)
(8,343) - (8,343)
119,064 - 119,064
(224,125) - (224,125)
37,280 - 37,280
13,668 - 13,668
(62,456) - (62,456)
(62,456) (6,633,871) (6,696,327)
- 2,603,683 2,603,683
- 4,304,461 4,304,461
- 1,613,664 1,613,664
- 1,045,539 1,045,539
- 341,731 341,731
- 282,892 282,892
- 214,932 214,932
43,407 33,528 76,935
(1,834) (76,210) (78,044)
- - -
147,055 (147,055) -
188,628 10,217,165 10,405,793
3,583,294 126,172 3,709,466
49,968,534 18,763,321 68,731,855
$ 53,551,828 $ 18,889,493 $ 72,441,321
Net (Expense) Revenue and Changes in Net Position
26 Capital Projects
Roads and
General Facility Traffic Pedestrian
Fund Impact Fee Mitigation Safety
ASSETS
Cash and Investments $ 11,479,709 $ 2,523,603 - $ $ -
Restricted Cash and Investments 15,545 - - -
Receivables 1,512,373 - - -
Due from Other Funds 358,990 - - -
Prepaids 157,749 - - -
Advances to Other Funds 2,000,000 - - -
Advances to Fiduciary Funds 238,243 - - -
Total Assets $ 15,762,609 $ 2,523,603 - $ $ -

LIABILITIES
Accounts Payable $ 358,115 $ - $ - $ -
Accrued Liabilities 192,436 - - -
Due to Other Funds - - - 6,227
Deposits Payable 15,545 - - -
Advances from Other Funds 2,971,888 - - -
Total Liabilities 566,096 2,971,888 - 6,227

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues - Grants 247,915 - - -
Total Deferred Inflows of Resources 247,915 - - -

FUND BALANCES
Nonspendable 2,395,992 - - -
Restricted - 2,523,603 - -
Committed 1,185,070 - - -
Unassigned 11,367,536 (2,971,888) - (6,227)
Total Fund Balances 14,948,598 (2,971,888) 2,523,603 (6,227) Total Liabilities, Deferred Inflows of
Resources and Fund Balances 15,762,609 $ $ 2,523,603 - $ $ - City of Tehachapi
Balance Sheet
Governmental Funds
June 30, 2022
Special Revenue
The accompanying notes are an integral part of this statement. 27 Capital Projects
Other Total
Street Governmental Governmental
Projects Funds Funds
$ 87,670 $ 1,592,096 $ 15,683,078
- - 15,545
470,778 69,433 2,052,584
- - 358,990
- - 157,749
- 2,000,000 -
- - 238,243
$ 558,448 $ 1,661,529 $ 20,506,189
$ 150,814 $ 65,308 $ 574,237
- 11,965 204,401
352,763 - 358,990
- - 15,545
- 2,971,888 -
503,577 77,273 4,125,061
330,911 - 578,826
330,911 - 578,826
- 2,395,992 -
1,584,256 - 4,107,859
- 1,185,070 -
(276,040) 8,113,381 -
(276,040) 1,584,256 15,802,302
$ 558,448 $ 1,661,529 $ 20,506,189
28 THIS PAGE INTENTIONALLY LEFT BLANK
Fund Balances of Governmental Funds $ 15,802,302
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 63,017,894
Accumulated Depreciation (22,640,046)
Long-term liabilities, including bonds payable, are not due and payable in the current period and therefore, are not reported in the funds:

Leases Payable (920,718)
Net Pension Liability (1,975,095)
Compensated Absences (274,781)
Accrued Interest Payable (8,017)
Amounts for deferred inflows and deferred outflows related to the City's Net Pension Liability are not reported in the funds.

Deferred Outflows Related to Pensions 1,453,711
Deferred Inflows Related to Pensions (1,482,248)
Long-term assets are not available for current use. Amounts are deferred under the modified accrual basis of accounting. 578,826 Net Position of Governmental Activities $ 53,551,828
City of Tehachapi
Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position
June 30, 2022
The accompanying notes are an integral part of this statement. 29 Capital Projects
Roads and
General Facility Traffic Pedestrian
Fund Impact Fee Mitigation Safety

REVENUES
Taxes $ 9,706,903 $ - $ - $ -
Licenses, Permits, and Fines 770,529 - - -
Intergovernmental 240,741 - 5,025 274,144
Charges for Services 790,895 65,036 62,681 -
Investment Earnings (70,271) - (4,048) -
Miscellaneous Revenues 41,856 - - -
Total Revenues 11,480,653 65,036 63,658 274,144

EXPENDITURES
Current:

General Government 1,595,285 - - -
Public Works 1,297,197 - - -
Public Safety 4,805,530 - - -
Community Development 1,480,013 - - -
Capital Outlay 219,536 - - 8,081
Debt Service:

Interest 19,904 5,159 - -
Principal 192,408 - - -
Total Expenditures 9,609,873 5,159 - 8,081
Excess (Deficiency) of Revenues
Over Expenditures 1,870,780 59,877 63,658 266,063

OTHER FINANCING SOURCES (USES)
Debt Issuance 219,536 - - -
Transfers In 35,533 - - -
Transfers Out (805,236) - (61,209) (331,218)
Total Other Financing Sources (Uses) (550,167) - (61,209) (331,218) Net Change in Fund Balances 1,320,613 59,877 2,449 (65,155) Fund Balances, Beginning of Year 13,627,985 (3,031,765) 2,521,154 58,928 Fund Balances, End of Year $ 14,948,598 $ (2,971,888) $ 2,523,603 $ (6,227) City of Tehachapi
Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds
Year Ended June 30, 2022
Special Revenue
The accompanying notes are an integral part of this statement. 30 Capital Projects
Other Total
Street Governmental Governmental
Projects Funds Funds
$ - $ 656,977 $ 10,363,880
- 30,613 801,142
2,363,472 785,799 3,669,181
- 20,788 939,400
- (1,890) (76,209)
- 3,923 45,779
2,363,472 1,496,210 15,743,173
- 38,929 1,634,214
1,078,054 - 2,375,251
- 4,805,530 -
- 1,480,013 -
2,876,999 3,104,616 -
- 13,853 38,916
- 34,672 227,080
2,876,999 1,165,508 13,665,620
(513,527) 330,702 2,077,553
- - 219,536
852,833 278,354 1,166,720
(15,804) (100,308) (1,313,775)
837,029 178,046 72,481
323,502 508,748 2,150,034
(599,542) 1,075,508 13,652,268
$ (276,040) $ 1,584,256 $ 15,802,302
31 THIS PAGE INTENTIONALLY LEFT BLANK
Net Changes in Fund Balances - Total Governmental Funds $ 2,150,034 Amounts reported for governmental activities in the Statement of Activities are different because:

Governmental funds report capital outlays as expenditures. However, in the Statement of Activities the cost of these assets is allocated over their estimated useful lives as depreciation expense.

Capital Outlay 2,876,208
Depreciation Expense (2,233,646)
Loss on Disposal (10,957)
The issuance of long-term debt (e.g., bonds, leases) 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 assets. Also, governmental funds report the effect premiums and discounts when debt is first issued, whereas these amounts are deferred and amortized in the Statement of Activities.

Debt Issuance (219,536)
Payments on Leases 227,080
Some revenues reported in the Statement of Activities are not considered available to finance current expenditures and therefore are not reported as revenues in the governmental funds. 215,329
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 deferred inflows and outflows related to the net pension liability.

Deferred Outflows Related to Pensions 240,908
Deferred Inflows Related to Pensions (1,438,770)
The amounts below included in the Statement of Activites do not provide (require) the use of current financial resources and, therefore, are not reported as revenues or expenditures in governmental funds (net change):

Compensated Absences (1,278)
Net Pension Liability 1,776,364
Accrued Interest Payable 1,558
Change in Net Position of Governmental Activities $ 3,583,294 City of Tehachapi
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
The accompanying notes are an integral part of this statement. 32 Water Sewer Airport
ASSETS
Current Assets:

Cash and Investments $ 1,295,191 $ 3,437,337 $ 56,367
Accounts Receivable (Net of Allowance) 367,045 265,129 125,245 Prepaid Expenses - 593 10,515
Restricted Cash and Investments 235,122 - -
Total Current Assets 1,897,358 3,703,059 192,127
Noncurrent Assets:

Lease Receivable - - 522,856
Advances to Other Funds - 971,888 -
Capital Assets, Not Being Depreciated 2,641,346 714,272 944,637 Capital Assets, Net of Accumulated Depreciation 4,350,461 6,717,994 1,010,107 Total Capital Assets (Net of Accumulated
Depreciation) 6,991,807 7,432,266 1,954,744
Total Noncurrent Assets 6,991,807 8,404,154 2,477,600
Total Assets 8,889,165 12,107,213 2,669,727

DEFERRED OUTFLOWS OF RESOURCES
Deferred Pension Related Items 250,677 238,740 59,685

LIABILITIES
Current Liabilities:

Accounts Payable 223,604 206,691 557,406
Accrued Liabilities 36,727 27,828 10,164
Accrued Interest Payable 860 801 -
Due to Other Funds - - -
Customer Deposits Payable 127,812 - -
Compensated Absences - Current 25,609 19,716 6,009
Leases Payable - Current 32,783 35,564 -
Loans and Bonds Payable - Current 238,000 108,377 -
Total Current Liabilities 685,395 398,977 573,579
Noncurrent Liabilities:

Compensated Absences 77,125 59,148 18,025
Leases Payable 83,096 84,506 -
Net Pension Liability 382,898 364,665 91,166
Loans and Bonds Payable 342,100 1,142,889 -
Total Noncurrent Liabilities 885,219 1,651,208 109,191
Total Liabilities 1,570,614 2,050,185 682,770

DEFERRED INFLOWS OF RESOURCES
Related to Lease Receivable - - 522,856
Pension Related Items 340,858 324,626 81,157
Total Deferred Inflows of Resources 340,858 324,626 604,013

NET POSITION
Net Investment in Capital Assets 6,295,828 6,060,930 1,954,744 Restricted for Construction and Expansion of Facilities 95,106 2,315,243 - Unrestricted 837,436 1,594,969 (512,115)
Total Net Position $ 7,228,370 $ 9,971,142 $ 1,442,629
City of Tehachapi
Statement of Net Position
Proprietary Funds
June 30, 2022
The accompanying notes are an integral part of this statement. 33 Non-Major
Refuse Transit Fund Total
$ 185,420 $ 51,000 $ 5,025,315
202,596 93,964 1,053,979
- - 11,108
- - 235,122
388,016 144,964 6,325,524
- - 522,856
- - 971,888
- - 4,300,255
- 12,078,562 -
- 16,378,817 -
- 17,873,561 -
388,016 144,964 24,199,085
- - 549,102
232,006 25,502 1,245,209
4,301 1,885 80,905
- - 1,661
- - -
- - 127,812
3,611 1,872 56,817
- - 68,347
- - 346,377
239,918 29,259 1,927,128
10,833 5,618 170,749
- - 167,602
- - 838,729
- - 1,484,989
10,833 5,618 2,662,069
250,751 34,877 4,589,197
522,856
- - 746,641
- - 1,269,497
- 14,311,502 -
- - 2,410,349
137,265 110,087 2,167,642
$ 137,265 $ 110,087 $ 18,889,493
34 Water Sewer Airport

OPERATING REVENUES
Charges for Services $ 2,731,318 $ 751,117 2,453,827 $
Miscellaneous 12,631 29,925 756
Total Operating Revenues 2,743,949 2,483,752 751,873

OPERATING EXPENSES
Personnel Services 1,250,590 960,617 302,000
Maintenance and Operations 1,238,731 993,083 616,388
Depreciation 238,573 333,720 141,481
Total Operating Expenses 2,727,894 2,287,420 1,059,869
Operating Income (Loss) 16,055 196,332 (307,996)

NONOPERATING REVENUES (EXPENSES)
Intergovernmental - - 84,627
Investment Earnings (3,359) (1,754) 3,390
Gain/(Loss) on Disposal of Capital Assets - - -
Interest Expense (11,767) (47,343) -
Total Nonoperating Revenues (Expenses) (15,126) (49,097) 88,017 Income (Loss) Before Capital Contributions
and Operating Transfers 929 147,235 (219,979)
Transfers In - - 147,055
Transfers Out - - -
Change in Net Position 929 147,235 (72,924)
Net Position - Beginning of Year 7,227,441 9,823,907 1,515,553 Net Position - End of Year $ 7,228,370 $ 9,971,142 $ 1,442,629 City of Tehachapi
Statement of Revenues, Expenses, and Changes in Net Position Proprietary Funds
Year Ended June 30, 2022
The accompanying notes are an integral part of this statement. 35 Non-Major
Refuse Transit Fund Total
$ 1,577,596 $ 4,004 $ 7,517,862
95 - 43,407
1,577,691 4,004 7,561,269
141,355 64,579 2,719,141
1,420,141 175,486 4,443,829
- - 713,774
1,561,496 240,065 7,876,744
16,195 (236,061) (315,475)
21,180 249,729 355,536
(126) 15 (1,834)
- - -
- - (59,110)
21,054 249,744 294,592
37,249 13,683 (20,883)
- - 147,055
- - -
37,249 13,683 126,172
100,016 96,404 18,763,321
$ 137,265 $ 110,087 $ 18,889,493
36 Water Sewer Airport

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from Customers $ 2,795,863 $ 2,480,197 $ 664,785 Payments to Employees for Services (1,320,752) (1,046,708) (321,045) Payments to Suppliers for Goods and Services (1,169,637) (934,474) (204,448) Net Cash Provided (Used) by Operating Activities 499,015 305,474 139,292

CASH FLOWS FROM NONCAPITAL AND RELATED FINANCING ACTIVITIES Cash Received from Other Funds - 59,877 147,055
Cash Paid to Other Funds - - -
Intergovernmental Revenue - - 84,627
Net Cash Provided (Used) by Noncapital and Related Financing Activities 59,877 - 231,682

CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition and Construction of Capital Assets (824,106) (194,291) (489,018) Interest Paid (11,958) (47,410) -
Capital Grants - - -
Proceeds from Sale of Capital Assets - - -
Proceeds from Debt Issuance 699,000 93,634 -
Payments on Lease Obligations (31,121) (38,464) -
Payments on Long-term Debt (237,800) (105,503) -
Net Cash Provided (Used) by Capital and Related Financing Activities (405,985) (292,034) (489,018)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest Received (3,359) (1,754) 3,390
Net Cash Provided (Used) by Investing Activities (1,754) (3,359) 3,390 Net Increase (Decrease) in Cash and Cash Equivalents (103,870) 265,104 (114,654) Cash and Cash Equivalents, Beginning of the Year 1,634,183 3,172,233 171,021 Cash and Cash Equivalents, End of the Year $ 1,530,313 $ 3,437,337 $ 56,367 Reconciliation of Operating Income (Loss) to
Net Cash Provided (Used) by Operating Activities:

Operating Income (Loss) $ 16,055 $ 196,332 $ (307,996)
Adjustments to Reconcile Operating Income (Loss) to
Net Cash Provided (Used) by Operating Activities:

Depreciation 238,573 333,720 141,481
Changes in Operating Assets and Liabilities:

Decrease (Increase) in Accounts Receivable 49,752 (3,555) (87,088) Decrease (Increase) in Prepaid Expenses - (40) (10,420) Decrease (Increase) in Deferred Outflows - Pensions (34,936) (33,273) (8,318) Increase (Decrease) in Accounts Payable 61,961 54,939 421,150 Increase (Decrease) in Accrued Liabilities 7,133 3,710 1,210 Increase (Decrease) in Compensated Absences 6,044 (13,513) (901) Increase (Decrease) in Net Pension Liability (367,580) (350,076) (87,519) Increase (Decrease) in Deferred Inflows - Pensions 326,310 310,771 77,693 Increase (Decrease) in Deposits Payable 2,162 - -
TOTAL CASH PROVIDED (USED) BY OPERATING ACTIVITIES $ 499,015 305,474 $ 139,292 $ City of Tehachapi
Proprietary Funds
Year Ended June 30, 2022
Statement of Cash Flows
The accompanying notes are an integral part of this statement. 37 Non-Major
Airport Refuse Transit Fund Total
$ 1,566,152 664,785 $ 108,490 $ 7,615,487 $
(143,371) (321,045) (66,821) (2,898,697)
(1,408,568) (204,448) (165,842) (3,882,969)
14,213 139,292 (124,173) 833,821
- 147,055 - 206,932
- - (74,571) (74,571)
21,180 84,627 249,729 355,536
21,180 231,682 175,158 487,897
- (489,018) - (1,507,415)
- - - (59,368)
- - - -
- - - -
- - - 792,634
- - - (69,585)
- - - (343,303)
- (489,018) - (1,187,037)
(126) 3,390 15 (1,834)
(126) 3,390 15 (1,834)
35,267 (114,654) 51,000 132,847
150,153 171,021 - 5,127,590
$ 56,367 $ 185,420 $ 51,000 $ 5,260,437
$ (307,996) $ 16,195 $ (236,061) $ (315,475)
141,481 - - 713,774
(87,088) (11,539) 104,486 52,056
(10,420) - - (10,460)
(8,318) - - (76,527)
421,150 10,561 9,644 558,255
1,210 1,012 356 13,421
(901) (2,016) (2,598) (12,984)
(87,519) - (805,175) -
77,693 - - 714,774
- - - 2,162
$ 139,292 $ 14,213 $ (124,173) $ 833,821
38 Successor Agency
Custodial Private-purpose
Funds Trust Fund
ASSETS
Cash and Investments $ 85,142 $ 353,506
Cash with Fiscal Agent - 400,578
Other Assets 355,557 -
Total Assets 440,699 754,084

LIABILITIES
Accounts Payable 3,621 -
Advances from City of Tehachapi 238,243 -
Interest Payable - 25,741
Long-term Debt - 9,219,000
Total Liabilities 241,864 9,244,741

NET POSITION
Net Position Held for the Benefit of Others 198,835 -
Net Position (Deficit) Held in Trust for Successor Agency - (8,490,657) Total Net Position $ 198,835 $ (8,490,657)
City of Tehachapi
Statement of Fiduciary Net Position
Fiduciary Funds
June 30, 2022
The accompanying notes are an integral part of this statement. 39 Successor Agency
Custodial Private-purpose
Funds Trust Fund

ADDITIONS
Contributions:

Taxes and Assessments - $ 958,641 $
Investment Earnings
Interest Income (135) (1,105)
Total Additions (135) 957,536

DEDUCTIONS
Administrative Costs 18,494 201,624
Interest on Bonds - 315,439
Total Deductions 18,494 517,063
Change in Net Position (18,629) 440,473
Net Position - Beginning of Year 217,464 (8,931,130)
Net Position - End of Year 198,835 $ (8,490,657) $
City of Tehachapi
Statement of Changes in Net Position
Fiduciary Funds
Year Ended June 30, 2022
The accompanying notes are an integral part of this statement. 40 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
1) REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A) Reporting Entity
The City of Tehachapi was incorporated August 13, 1909 under the general laws of the State of California.

The City operates under a Council/City Manager form of government and provides the following services:
public safety (police and fire); community services; public works; general administrative services; and capital improvements.

As required by accounting principles generally accepted in the United States of America, these financial statements present the government and its component units, entities for which the government is considered to be financially accountable. Blended component units, although legally separate entities, are, in substance, part of the government’s operations and so data from these units are combined with data of the primary government.

The following is a brief overview of the component units included in the accompanying financial statements of the City.

Tehachapi City Financing Corporation (TCFC) - The Tehachapi City Financing Corporation was formed on September 26, 1990, as a Nonprofit Public Benefit Corporation to render financial assistance to the City by issuing debt instruments. The members of the City Council serve in the capacity of the Board of Directors for the TCFC. The City has operational responsibility for the TCFC and has a financial benefit/burden relationship. The TCFC is included as a blended component of the City.

The TCFC does not issue separate financial statements.

B) Measurement Focus, Basis of Accounting, and Financial Statement Presentation The government-wide financial statements (i.e., the Statement of Net Position and the Statement of Activities) report information on all of the nonfiduciary activities of the primary government and its component units. For the most part, the effect of inter-fund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support.

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 program, project, 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 not properly included among program revenues are reported instead as general revenues.

Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even though the latter are excluded from the government-wide financial statements. Major individual governmental funds and major individual enterprise funds are reported as separate columns in the fund financial statements.

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. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. The fiduciary funds also use the accrual basis of accounting. 41 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
1) REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the providers have been met.

Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collected within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the City 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, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due.

Taxes, intergovernmental revenues, licenses, and interest associated with the current fiscal period are all considered to be susceptible to accrual and are therefore 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 City.

The City reports the following major governmental funds:

The General Fund is the government’s primary operating fund. It accounts for all financial resources of the City, except those required to be accounted for in another fund.

The Facility Impact Fee Special Revenue Fund is used to account for the restricted funds received to construct City facilities.

The Traffic Mitigation Special Revenue Fund is used to account for development impact fees restricted for traffic mitigation.

The Roads and Pedestrian Safety Capital Projects Fund is used to account for the financial resources and expenditures necessary for various road and pedestrian safety projects.

The Street Projects Capital Projects Fund is used to account for the financial resources and expenditures necessary for various street projects.

The City reports the following major proprietary funds:

The Water Utility, Sewer Utility, Airport and Refuse Funds are used to account for those operations that are financed and operated in a manner similar to a private business enterprise where the intent of the City Council is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges.

Additionally, the City reports the following fund types:

The Custodial Funds are used to account for funds that are custodial in nature and use the economic resources measurement focus. The City accounts for transactions of its special assessment districts and community facilities districts as custodial funds.

The Successor Agency Private-purpose Trust Fund is issued to account for the dissolution of the former Tehachapi Redevelopment Agency.

As a general rule, the effect of inter-fund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are payments in-lieu of taxes and other charges between the City’s water and sewer function and various other functions of the City. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned. 42 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
1) REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued Amounts reported as program revenues include: 1) charges to customers or applicants for goods, services, or privileges provided; 2) operating grants and contributions; and 3) capital grants and contributions, including special assessments. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues include all taxes.

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. The principal operating revenues of the enterprise funds are charges to customers for sales and services. Operating expenses for enterprise 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 non-operating revenues and expenses.

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.

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

C) Implementation of Governmental Accounting Standards Board (GASB) Pronouncements The Governmental Accounting Standards Board has issued the following Statements, which may affect the City’s financial reporting requirements in the future:

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. 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.

D) Assets, Liabilities, and Net Position or Equity
Deposits and Investments
For purposes of the Statement of Cash Flows, the City’s cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments with original maturities of three months or less from the date of acquisition.

The City follows the practice of pooling cash and investments of all funds except for funds held in separate trust agreements. Interest income earned on pooled cash and investments is allocated quarterly to the various funds based on the average of the three months cash balance. Interest income from cash and investments of funds excluded from pooled cash is credited directly to the related fund. 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).
43 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
1) REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued Receivables and Payables
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either “due to/from other funds” (i.e., the current portion of the interfund loans) or “advances to/from other funds” (i.e., the noncurrent portion of the interfund loans). All other outstanding balances between funds are reported as “due to/from other funds.” Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as “internal balances.” Advances between funds, as reported in the fund financial statements, are offset by a nonspendable fund balance account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources. All trade and property tax receivables are shown net of allowance for uncollectibles.

Taxes are levied on July 1 and are payable in two installments on December 10 and April 10. The County bills and collects the property taxes and remits them to the City in installments during the year. City property tax revenues are recognized when levied to the extent that they result in current receivables. The County is permitted by State Law (Proposition 13) to levy taxes at 1% of full market value (at time of purchase) and can increase the property tax rate no more than 2% per year. The City receives a share of this basic levy.

Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. The cost of prepaid items is recorded as expenditures/expenses when consumed, rather than when purchased.

Restricted Assets
Amounts shown as restricted assets have been restricted by either bond indenture, by law, or contractual obligations to be used for specified purposes, such as servicing bonded debt and construction of capital assets. Included in cash and investments are restricted cash assets of $400,578 held by the various bond trustees and fiscal agents, $15,545 held for capital improvements and customer deposits, and $235,122 held for capital improvements and customer deposits in the Water Utility Fund.

Capital Assets
Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, sidewalks, and similar items) are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Capital assets are defined by the City as assets with an initial, individual cost of more than $10,000 and an estimated useful life in excess of one year. Such 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 costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets’ lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed.

44 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
1) REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued Capital assets of the City are depreciated using the straight-line method over the following estimated useful lives:

Buildings 15 - 20 years
Machinery and Equipment 5 - 20 years
Structures and Other Improvements 20 - 40 years
Lease obligations of the Proprietary Funds are accounted for in the year of inception as a liability of the fund.

The related asset is recorded as an asset of the fund.

Compensated Absences
It is the City’s policy to permit employees to accumulate earned but unused vacation and sick pay benefits.

Employees over the age of 55 who retire from the City are paid out 50% of their accrued sick leave. All vacation pay and 50% of available sick hours for employees’ over age 55 are accrued when incurred in the government-wide and proprietary funds financial statements. A liability for these amounts is reported in governmental funds only if they have matured, for example, as a result of employee resignations.

Long-term Obligations
In the government-wide financial statements and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type statement of net position. Bond premiums and discounts are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount.

In the fund financial statements, governmental fund types recognize bond premiums and discounts, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures.

Net Position
In the government-wide financial statements, net position is classified in the following categories:

Net investment in the capital assets describes the portion of net position which is represented by the current net book value of the City’s capital assets, less the outstanding balance of any debt issued to finance these assets.

Restricted describes the portion of net position which is restricted as to use by the terms and conditions of agreements with outside parties, governmental regulation, laws, or other restrictions which the City cannot unilaterally alter.

Unrestricted describes the portion of net position which is not restricted to use.

Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents consumption of net assets that applies to future period(s) and so will not be recognized as an outflow of resources (expense) until then. The City reports deferred outflows related to pensions. 45 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
1) REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued In addition to liabilities, the statement of financial position will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The City has certain items, which arise only under the modified accrual basis of accounting, which qualify for reporting in this category. Accordingly, 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 related to pensions.

Net Position Flow Assumption
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.

Fund Balances
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 City’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.

The following classifications describe the relative strength of the spending constraints placed on the purposes for which resources can be used:

Nonspendable Fund Balance - Amounts that cannot be spent either because they are in nonspendable form or are required to be maintained intact.

Restricted Fund Balance - Amounts that are constrained to specific purposes by state or federal laws, or externally imposed conditions by grantors or creditors.

Committed Fund Balance - Amounts constrained for a specific purpose by City Council resolution. It would require the same action by City Council to remove the constraint. The City’s committed fund balance includes:

General Fund Emergency Contingency - The City’s General Fund balance committed for emergency contingencies has been set by resolution and is for specific uses listed as the declaration of a state or federal state of emergency or a local emergency.

Assigned Fund Balance - Amounts that are constrained by the City Council’s intent to use specified financial resources for specific purposes, but are neither restricted nor committed. The City’s fund balance policy delegates the authority to assign amounts to be used for specific purposes to the Finance Director for the purpose of reporting these amounts in the annual financial statements. 46 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
1) REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued Unassigned Fund Balance - This classification includes the residual balances of the government’s general fund and includes all spendable amounts not contained in other classifications. In other funds, the unassigned classification is used only to report deficit balances resulting from overspending for specific purposes for which amounts had been restricted, committed or assigned.

Leases
Lessee: The City is a lessee for noncancellable leases of equipment. The City recognizes a lease liability and an intangible right-to-use lease asset (lease asset) in the government-wide financial statements and the proprietary funds. The City recognizes lease liabilities with an initial, individual value of $5,000 or more.

At the commencement of a lease, the City initially measures the lease liability at the present value of payments expected to be made during the lease term. Subsequently, the lease liability is reduced by the principal portion of lease payments made. The lease asset is initially measured as the initial amount of the lease liability, adjusted for lease payments made at or before the lease commencement date, plus certain initial direct costs. Subsequently, the lease asset is amortized on a straight-line basis over its useful life.

Key estimates and judgments related to leases include how the City determines (1) the discount rate it uses to discount the expected lease payments to present value, (2) lease term, and (3) lease payments. • The City uses the interest rate charged by the lessor as the discount rate. When the interest rate charged by the lessor is not provided, the City generally uses its estimated incremental borrowing rate as the discount rate for leases.
• The lease term includes the noncancellable period of the lease. Lease payments included in the measurement of the lease liability are composed of fixed payments and purchase option price that the City is reasonably certain to exercise.

The City monitors changes in circumstances that would require a remeasurement of its lease and will remeasure the lease asset and liability if certain changes occur that are expected to significantly affect the amount of the lease liability. Lease assets are reported with other capital assets and lease liabilities are reported with long-term debt on the statement of net position.

Lessor: The City is a lessor for a noncancellable lease of certain property for communications facilities.

The City recognizes a lease receivable and a deferred inflow of resources in the Airport enterprise fund and the government-wide 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 measured as the initial amount of the lease receivable, adjusted for lease payments received at or before the lease commencement date. Subsequently, the deferred inflow of resources is recognized as revenue 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. 47 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
1) REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued • 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 lease of the property for communications facilities is for 25 years and the City will receive annual payments ranging from approximately $30,000 to $55,000. The City recognized approximately $29,000 in lease revenue, including interest revenue during the current fiscal year related to this lease. As of June 30, 2022, the City’s receivable for lease payments was $522,856. Also, the City has a deferred inflow of resources associated with this lease that will be recognized as revenue over the lease term. As of June 30, 2022, the balance of the deferred inflow of resources was $522,856.

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 Tehachapi’s California Public Employees’ Retirement System (CalPERS) plans (Plans) and additions to/deductions from the Plans’ 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. 2) DETAILED NOTES ON ALL FUNDS
A) Cash and Investments
The City’s cash and investments consisted of the following at June 30, 2022:

The City’s deposits and investments are reflected in the basic financial statements as follows:

Deposits
Custodial Credit Risk - Custodial credit risk is the risk that in the event of a bank failure, the City’s deposits may not be returned to it. The City’s deposit policy requires deposits to be covered by the federal depository insurance and collateral having a market value of 110% of the uninsured deposit. The California Government Code and the City’s investment policy do not contain legal or policy requirements that would Demand Deposits $ 1,059,644
Petty Cash 1,868
Investments 20,736,774
Total Cash and Investments 21,798,286 $
Governmental Business-type Fiduciary
Activities Activities Funds Total
Cash and Investments 15,683,078 $ 5,025,315 $ 438,648 $ 21,147,041 $ Restricted Cash and Investments 15,545 235,122 400,578 651,245 Total Cash and Investments 15,698,623 $ 5,260,437 $ 839,226 $ 21,798,286 $ 48 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
limit the exposure to custodial credit risk for deposits or investments, other than the following provision for deposits: the California Government Code requires that a financial institution secure deposits made by state or local governmental units by pledging securities in an undivided collateral pool held by a depository regulated under state law (unless so waived by the governmental unit). The fair value of the pledged securities in the collateral pool must equal at least 110% of the total amount deposited by the public agencies. California law also allows financial institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150% of the secured public deposits. As of June 30, 2022, the City’s deposits (bank balances) were insured by the Federal Depository Insurance Corporation or collateralized as required under California Law.

Investments
As of June 30, 2022, the City had the following investments:

Authorized Investments
The investments listed above are managed by the City’s Finance Director and fiscal agents (bond trustees acting in accordance with bond covenants). Investments managed by the City’s Finance Director are invested in accordance with the City’s investment policy. Investments managed by bond trustees are invested in accordance with provisions of the respective bond agreements, rather than the general provisions of the California Government Code or the City’s investment policy. The City’s Finance Director has direct oversight over the City’s pooled investment fund which covers cash and investments of the City’s governmental funds, proprietary funds, and custodial funds which are invested in accordance with the City’s investment policy. The investment policy generally complies with California Government Code Section 53601 and its primary detail is as follows:

Maximum Maximum
Authorized Maximum Percentage Investment Minimum
Investment Type Maturity of Portfolio In One Issuer Ratings

U.S. Agencies 5 years 100% 100% None
U.S. Treasury Bills, Notes and Bonds 5 years 100% 100% None Local Agency Investment Fund (LAIF) N/A None None None
Guaranteed Investment Contract N/A None None AA
Certificates of Deposit (CDs) 5 years 30% 100% A
Money Market Mutual Funds N/A 15% None None
Trust Indenture N/A None None None
12 Months 13 to 24 25 to 60
Investment Type or Less Months Months Fair Value
Local Agency Investment Fund 13,091,894 $ - $ - $ 13,091,894 $ U.S. Treasury Notes 1,987,770 499,455 247,453 2,734,678 U.S. Agencies - 993,570 738,822 1,732,392
Certificates of Deposit - - 961,732 961,732
CSJVRMA Investment Pool 2,216,078 - - 2,216,078
Total 17,295,742 $ 1,493,025 $ 1,948,007 $ 20,736,774 $ Remaining Maturity (in Months)
49 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
Investments with fiscal agents represent investments held by the bond trustee. The City and its investment advisor select the investments under the terms of the applicable trust agreement, directs the bond trustee to acquire the investments, and the bond trustee then holds the investments on behalf of the City and/or its component units. Proceeds of bonds administered by bond trustees are also generally covered under the City Treasurer’s investment policy; however, specific provisions of each issuance are usually used in managing such investments.

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. Information about the sensitivity of the fair values of the City’s and its component units’ investments to market rate fluctuations is provided in the table above that shows the distribution by maturity. The City’s investment policy generally complies with the State Government Code with respect to allowable investment instruments as a means of managing its fair value losses arising from changing interest rates. Guaranteed investment contracts are investments held by fiscal agents (bond trustees) and are restricted for construction projects and debt service.

Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligations 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 (where applicable) the California Government Code, the City’s investment policy or debt agreements, and the Standard and Poor’s rating as of year-end for each investment type.

Concentration of Credit Risk
Concentration of credit risk is the increased risk of loss if the City has a significant amount of investments with a single issuer. In accordance with the Investment Policy of the City, none of the investments categories listed exceeded the maximum allowable percentage of its portfolio. The City’s investment policy contains no limitations on the amount that can be invested in any one issuer beyond that stipulated by the California Government Code. There were no investments in any one issuer (other than U.S. Treasury securities, mutual funds, and external investment pools) that represent 5% of more of total City investments in any of the major funds.

Total Minimum Not Required
Investment Type Investments Legal Rating AAA to be Rated Unrated Local Agency Investment Fund 13,091,894 $ N/A $ - $ 13,091,894 - $ U.S. Treasury Notes 2,734,678 N/A 2,734,678 - -
U.S. Agencies 1,732,392 N/A 1,732,392 - -
Certificates of Deposit 961,732 N/A - 961,732
CSJVRMA Investment Pool 2,216,078 N/A - 2,216,078 -
Total $ 20,736,774 $ 4,467,070 - $ $ 16,269,704
Rating as of Year End
50 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
Custodial Credit Risk
For an investment, 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. Custodial credit risk for LAIF is not determinable.

Fair Value
The City categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles.

The hierarchy is based on the valuation inputs used to measure the fair value of the asset. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; Level 3 inputs are significant unobservable inputs.

The City has the following recurring fair value measurements as of June 30, 2022:

Investment in State Investment Pool
The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. The 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.

Investment in CSJVRMA Investment Pool
The City is a voluntary participant in the Central San Joaquin Valley Risk Management Authority Investment Pool (CSJVRMA) that is regulated by California State Code section CGC 53601. The fair value of the City’s investment is based on the City’s pro-rata share of the fair value of the entire portfolio. The balance available for withdrawal is based on the records maintained by CSJVRMA, which is recorded on an amortized cost basis.

B) Receivables
Receivables as of year-end for the City’s individual major funds and nonmajor funds in the aggregate, including the applicable allowances for uncollectible accounts, are as follows:

Investment Type Total Level 1 Level 2 Level 3
U.S. Treasury Notes $ 2,734,678 $ 2,734,678 $ - $ -
U.S. Agencies 1,732,392 1,732,392 - -
Certificates of Deposit 961,732 961,732 - -
Total $ 5,428,802 $ 2,734,678 $ 2,694,124 $ -
Fair Value Hierarchy
51 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
C) Capital Assets Detail
The following represents the Capital Asset activity for Governmental Activities, for the 2021-22 fiscal year:

Street Other
General Projects Governmental
Governmental Activities Fund Fund Funds Total
Taxes 1,245,079 $ - $ 69,095 $ 1,314,174 $
Grants - 470,778 - 470,778
Interest 44,231 - - 44,231
Others 223,063 - 338 223,401
Total 1,512,373 $ 470,778 $ 69,433 $ 2,052,584 $
Nonmajor
Water Sewer Airport Refuse Transit
Business-type Activities Fund Fund Fund Fund Fund Total Service Fees 331,065 $ 264,582 $ - $ 202,596 $ - $ 798,243 $ Grants and Other 35,980 547 125,245 - 93,964 255,736
Total 367,045 $ 265,129 $ 125,245 $ 202,596 $ 93,964 $ 1,053,979 $ Beginning Ending
Governmental Activities: Balance Additions Deletions Balance Capital Assets, Not Depreciated:

Land $ 1,384,613 $ - $ (2,227) $ 1,382,386
Construction in Progress 3,416,904 2,547,537 (4,706,645) 1,257,796 Total Capital Assets, Not Depreciated 4,801,517 2,547,537 (4,708,872) 2,640,182 Capital Assets Being Depreciated:

Buildings and Improvements 8,990,343 - 8,990,343 -
Machinery and Equipment 3,631,413 28,027 (129,295) 3,530,145 Improvements other than Buildings 193,723 355,617 (29,900) 519,440 Infrastructure 42,336,574 4,432,136 46,768,710 -
Parks 277,862 - 277,862 -
Right-to-use Leased Infrastructure 162,756 - 162,756 -
Right-to-use Leased Vehicles 71,676 56,780 128,456 -
Total Capital Assets, Depreciated 55,501,591 5,035,316 (159,195) 60,377,712 Less Accumulated Depreciation:

Buildings and Improvements (3,741,255) (272,776) (4,014,031) - Machinery and Equipment (2,537,447) (235,836) 129,295 (2,643,988) Improvements other than Buildings (81,338) (13,058) 21,170 (73,226) Infrastructure (14,071,887) (1,679,327) (15,751,214) -
Parks (90,295) (6,948) (97,243) -
Right-to-use Leased Infrastructure (14,153) - (14,153) - Right-to-use Leased Vehicles (34,643) (11,548) (46,191) - Total Accumulated Depreciation (20,556,865) (2,233,646) 150,465 (22,640,046) Net Capital Assets, Depreciated 34,944,726 2,801,670 (8,730) 37,737,666 Governmental Activities Capital Assets $ 39,746,243 $ 5,349,207 $ (4,717,602) $ 40,377,848 52 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
Depreciation expense of $2,233,646 was charged to the following functions/programs in the Statement of Activities of the primary government:

The following represents the Capital Asset activity for Business-type Activities, for the 2021-22 fiscal year:

Depreciation expense of $713,774 was allocated to the enterprise funds as follows:

Governmental Activities:

General Government $ 45,256
Public Works 60,199
Public Safety 307,343
Community Development 1,820,848
Total $ 2,233,646
Beginning Ending
Business-type Activities: Balance Additions Deletions Balance Capital Assets, Not Depreciated
Land $ 740,469 $ 42,639 $ 783,108 - $
Water Rights 1,758,774 699,000 2,457,774 -
Construction in Progress 387,231 672,142 1,059,373 -
Total Capital Assets, Not Depreciated 2,886,474 1,413,781 4,300,255 - Capital Assets Being Depreciated:

Buildings and Improvements 16,620,918 - 16,620,918 -
Machinery and Equipment 1,536,397 - 1,536,397 -
Improvements other than Buildings 12,833,710 - 12,833,710 - Right-to-use Leased Vehicles 71,674 93,634 165,308 -
Total Capital Assets, Depreciated 31,062,699 93,634 31,156,333 - Less Accumulated Depreciation:

Buildings and Improvements (10,524,825) (231,118) (10,755,943) - Machinery and Equipment (1,043,033) (92,670) (1,135,703) - Improvements other than Buildings (6,761,497) (359,618) (7,121,115) - Right-to-use Leased Vehicles (34,642) (30,368) (65,010) - Total Accumulated Depreciation (18,363,997) (713,774) (19,077,771) - Net Capital Assets, Depreciated 12,698,702 (620,140) 12,078,562 - Business-type Activities Capital Assets $ 15,585,176 $ 793,641 $ 16,378,817 - $ Business-type Activities:

Water $ 238,573
Sewer 333,720
Airport 141,481
Total $ 713,774
53 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
D) Interfund Receivables, Payables and Transfers
The composition of amounts due to/from other funds at June 30, 2022 is as follows:

The General Fund has loaned monies to the other funds listed above to cover operating cash deficits.

These amounts are expected to be paid back in the following fiscal year.

Advances to/from consist of the following at June 30, 2022:

The General Fund and Sewer Fund have advanced $2,000,000 and $971,888, respectively, to the Facility Impact Fee fund to construct the City’s new police facility. These advances are expected to be repaid over the span of many years as the City collects future facility impact fees.

The Advances to Fiduciary Funds of $238,243 in the General Fund represents amounts due from Custodial Funds, resulting from deficits in those funds. It is the opinion of management that these advances will be not be repaid within the next fiscal year and, accordingly, are reported as long-term advances.

Interfund transfers for the year ended June 30, 2022 are as follows:

General Fund transfers include approximately $369,000 to the Streets Projects Fund for the street rehabilitation capital project, $278,354 to various Landscape and Lighting District funds to cover operating deficits, and approximately $145,000 to the Airport Enterprise Fund to cover its operating deficit.

Receivable Payable
Fund Fund
General Fund 358,990 $ - $
Roads and Pedestrian Safety Fund - 6,227
Street Projects Fund 352,763 -
Total $ 358,990 $ 358,990
Receivable Payable
Fund Fund
General Fund 2,000,000 $ - $
Sewer Fund 971,888 -
Facility Impact Fee Fund 2,971,888 -
Total $ 2,971,888 $ 2,971,888
Street Other Airport
General Projects Governmental Enterprise
Transfers Out Fund Fund Funds Fund Total
General Fund - $ 379,827 $ $ 278,354 $ 147,055 $ 805,236 Traffic Mitigation 61,209 - - 61,209 -
Roads and Pedestrian Safety Fund 331,218 - - 331,218 -
Streets Projects Fund 15,804 - - 15,804 -
Non-major Governmental Funds 19,729 80,579 - 100,308 -
Total $ 35,533 $ 852,833 $ 278,354 $ 147,055 $ 1,313,775 Transfers In
54 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
Other notable transfers include $331,218 of leftover Rail Corridor Pedestrian Safety capital project funds being transferred from the Roads and Pedestrian Safety Fund to the Streets Projects Fund for tree planting and storm water capture projects, and $61,209 of Traffic Mitigation Program fees being transferred to the Street Projects Fund for the Pinon Road Extension project.

E) Other Assets
Other Assets reported in Custodial Funds at June 30, 2022 consist of $355,557 in foreclosure receivables.

The City has provided infrastructure improvements to various property owners in exchange for special taxes on those properties. Non-payment of these taxes has occurred on selected properties and the City has taken steps toward foreclosure. Funds have been expended during the foreclosure process that are expected to be received at completion of the foreclosure action. The date on which the City will receive reimbursement is currently uncertain.

F) Long-term Debt
Long-term liability activity for the year ended June 30, 2022, was as follows:

The General Fund is typically responsible for the compensated absences and net pension liability.

Leases Payable
The City, at various occasions, enters into lease agreements that qualify as lease liabilities for accounting purposes and, therefore, have been recorded at the present value of their future minimum lease payments as of the inception date. The amount of lease assets recognized in governmental activities, net of accumulated amortization, is $840,032, and the amount recognized in business-type activities is $182,736.

Beginning Ending Due Within
Balance Additions Deletions Balance One Year
Governmental Activities:

Loans from direct borrowing and
direct placements:

Leases 928,262 $ 219,536 $ 227,080 $ 920,718 $ 193,431 $ Net Pension Liability 3,751,459 - 1,776,364 1,975,095 - Compensated Absences 273,503 1,278 - 101,051 274,781
Total Governmental Activities $ 220,814 4,953,224 $ 2,003,444 $ 3,170,594 $ 294,482 $ Business-type Activities:
1998 Sewer and Water COP 184,500 $ - $ 7,400 $ $ 7,800 177,100 $ Loans from direct borrowings and
direct placements:

Water Resources Control Board Loan 1,291,168 102,902 - 1,188,266 105,577 MPUD Note Payable - 562,500 187,500 375,000 187,500
TVHD Note Payable - 136,500 45,500 91,000 45,500
Leases 211,901 93,634 69,586 235,949 68,347
Total direct 1,503,069 792,634 405,488 1,890,215 406,924 Net Pension Liability 1,643,904 805,175 - 838,729 -
Compensated Absences 240,550 12,984 - 227,566 56,817
Total Business-type Activities $ 3,572,023 $ 792,634 $ 1,231,047 $ 3,133,610 $ 471,541 55 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
The following represents the future lease payments to be made:
1998 Sewer & Water COPs
In July 1998, the City obtained loans from the USDA Rural Development totaling $289,900. The Sewer Fund received $103,000 and Water Fund received $186,900. The loans were made by purchase of Certificates of Participation (COP), which were issued by the Tehachapi City Financing Corp. (Financing Corp.) with an interest rate of 4.5%, to finance the building of a new sewer line to connect to the recently annexed Ashe tract.

The loan is a direct borrowing from the USDA. The COPs are secured by installments payments due from the City.

The annual debt service requirements to maturity for the 1998 Sewer and Water COPs are as follows:

Fiscal Year Ending Governmental Business-type
June 30, Activities Activities Total
2023 $ 221,347 $ 87,077 $ 308,424
2024 181,864 87,073 268,937
2025 175,746 42,175 217,921
2026 79,252 9,924 89,176
2027 68,159 9,919 78,078
2028 68,138 9,915 78,053
2029 68,117 9,911 78,028
2030 68,094 9,906 78,000
2031 68,071 9,901 77,972
2032 68,048 9,896 77,944
Totals $ 1,066,836 $ 285,697 $ 1,352,533
Less: Interest (146,118) (49,748) (195,866)
Present Value $ 920,718 $ 235,949 $ 1,156,667
Fiscal Year Ending
June 30, Principal Interest Total
2023 $ 7,800 $ 7,969 $ 15,769
2024 8,100 7,619 15,719
2025 8,500 7,254 15,754
2026 9,100 6,871 15,971
2027 9,300 6,462 15,762
2028-2032 53,000 25,660 78,660
2033-2037 66,200 12,590 78,790
2038 15,100 680 15,780
Totals $ 177,100 $ 75,105 $ 252,205
56 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
Water Resources Control Board Loan
In September 2011, the City received a loan from the California State Water Resources Control Board for up to $2,121,030 to be used for the Wastewater Treatment Plant Expansion Project. The loan matures over 20 years with an interest rate of 2.6%.

The debt service payments are payable solely from net revenues of the Sewer Enterprise Fund. The loan is a direct borrowing from the State Water Resources Control Board. The loan includes provisions that, in the event of default, all outstanding amounts may become immediately due and payable. The annual debt service requirements to maturity are as follows:

MPUD Note Payable
During the 2021-22 fiscal year, the City financed the purchase of water rights through an installment note with the Mojave Public Utility District. The note is to be repaid in annual installments of $187,500 (without interest) over 36 months, with the initial payment being made in April 2022.

The note is secured by the water rights transferred to the City. The note is a direct borrowing from the Mojave Public Utility District. The annual debt service requirements to maturity are as follows:

TVHD Note Payable
During the 2021-22 fiscal year, the City financed the purchase of water rights through an installment note with the Tehachapi Valley Healthcare District. The note is to be repaid in three annual installments of $45,500 (without interest), with the initial payment being made in February 2022. The note is secured by the water rights transferred to the City. The note is a direct borrowing from the Tehachapi Valley Healthcare District and includes provisions that, in the event of default, all outstanding amounts may become Fiscal Year Ending
June 30, Principal Interest Total
2023 $ 105,577 $ 30,895 $ 136,472
2024 108,322 28,150 136,472
2025 111,139 25,334 136,473
2026 114,028 22,444 136,472
2027 116,993 19,479 136,472
2028 120,035 16,437 136,472
2029 123,156 13,316 136,472
2030 126,358 10,114 136,472
2031 129,643 6,829 136,472
2032 133,015 3,458 136,473
Totals $ 1,188,266 $ 176,456 $ 1,364,722
Fiscal Year Ending
June 30, Principal Interest Total
2023 $ 187,500 $ 187,500 - $
2024 187,500 - 187,500
Totals $ 375,000 $ 375,000 - $
57 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
immediately due and payable. The annual debt service requirements to maturity are as follows:

Long-term Liabilities - Fiduciary Funds
The following is a schedule of changes in long-term debt of the Successor Agency for the fiscal year ended June 30, 2022.

In June 2017, the Successor Agency to the Tehachapi Redevelopment Agency issued $5,387,000 and $5,892,000 of Tax Allocation Refunding Bonds, Series 2017A and 2017B, to refund the 2005 and 2007 Tax Allocation Bonds of the former Tehachapi Redevelopment Agency. The 2017 Series A Bonds mature in amounts ranging from $151,000 to $377,000 annually through 2036, with interest payments of 3.34%, payable semi-annually on June 1 and December 1. The 2017 Series B Bonds mature in amounts ranging from $122,000 to $386,000 annually through 2038, with interest payments of 3.36%, payable semi-annually on June 1 and December 1. The Bonds are payable as to principal and interest exclusively from the pledged tax revenues of the Successor Agency. Future debt service requirements are as follows:

Fiscal Year Ending
June 30, Principal Interest Total
2023 $ 45,500 $ - $ 45,500
2024 45,500 - 45,500
Totals $ 91,000 $ - $ 91,000
Beginning Ending Due Within
Successor Agency Debt: Balance Additions Deletions Balance One Year 2017 Tax Allocation Bonds $ 9,688,000 $ 469,000 - $ $ 9,219,000 $ 484,000 Total Successor Agency Debt $ 9,688,000 $ 469,000 - $ $ 9,219,000 $ 484,000 Fiscal Year Ending
June 30, Principal Interest Total
2023 484,000 $ 300,787 $ 784,787 $
2024 498,000 284,340 782,340
2025 521,000 267,274 788,274
2026 534,000 249,604 783,604
2027 550,000 231,448 781,448
2028 565,000 212,773 777,773
2029 587,000 193,478 780,478
2030 608,000 173,462 781,462
2031 628,000 152,761 780,761
2032 652,000 131,323 783,323
2033 675,000 109,097 784,097
2034 690,000 86,234 776,234
2035 723,000 62,568 785,568
2036 740,000 38,065 778,065
2037 378,000 19,320 397,320
2038 386,000 6,485 392,485
Totals 9,219,000 $ 2,519,019 $ 11,738,019 $
58 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
2) DETAILED NOTES ON ALL FUNDS – Continued
No-Commitment Debt
The City issued Assessment District limited obligation bonds to finance the construction of infrastructure improvements within the City through the use of Special Assessment Districts. The repayment of the bonds are payable from special assessments levied each year, or from foreclosure proceeds. The bonds do not constitute indebtedness of the City, and the City is in no way obligated for their repayment and is only acting on behalf of bondholders and initiating foreclosure proceedings, if necessary. Accordingly, these special assessments and special tax bonds payable have been excluded from the accompanying primary government financial statements.

Due to delinquent annual assessments, limited obligation bonds (Assessment Districts 89-2 and 89-3) amounting to $2,180,000 (principal only) are in default at June 30, 2022.

G) Fund Balances
The details of the fund balances as of June 30, 2022 are presented below:
3) OTHER INFORMATION
A) Risk Management
The City participates with other public entities in a joint venture under a joint powers agreement which established the Central San Joaquin Valley Risk Management Authority (CSJVRMA). The City is covered for the first $1,000,000 of each liability claim and $500,000 of each workers’ compensation claim through the CSJVRMA. The Authority pays first dollar coverage for all liability and workers’ compensation claims and collects the city’s retained limit five years after the close of the fiscal year through a retrospective adjustment process. The City’s liability and workers’ compensation retained limit is $25,000 per occurrence. The CSJVRMA participates in an excess liability pool which provides liability coverage from $1,000,000 to $29,500,000 and an excess workers’ compensation pool which provides workers’ compensation coverage from $500,000 to the statutory limits.

Facility Traffic Roads and Street Other
General Impact Fee Mitigation Pedestrian Projects Governmental Fund Fund Fund Safety Fund Fund Funds Total
Nonspendable:

Prepaids 157,749 $ - $ - $ - $ - $ - $ 157,749 $
Advances to Other Funds 2,000,000 - - - - - 2,000,000
Advances to Fiduciary Funds 238,243 - - - - - 238,243
Restricted:

Lighting District - - - - - 343,248 343,248
Transportation - - 2,523,603 - - 1,023,089 3,546,692
Recycling - - - - - 17,807 17,807
Technology - - - - - 79,347 79,347
Parks and Recreation - - - - - 120,765 120,765
Committed
Emergency Contingency 1,185,070 - - - - - 1,185,070
Unassigned (2,971,888) 11,367,536 - (6,227) (276,040) - 8,113,381 Total Fund Balance 14,948,598 $ (2,971,888) $ 2,523,603 $ (6,227) $ (276,040) $ 1,584,256 $ 15,802,302 $ 59 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
3) OTHER INFORMATION – Continued
The CSJVRMA is a consortium of 54 cities in San Joaquin Valley, California. It was established under the provisions of California Government Code Section 6500 et seq. The CSJVRMA is governed by a Board of Directors, which meets 3 times per year, consisting of one board member and an alternate member appointed by each member city. The day-to-day business is handled by a management group employed by the CSJVRMA. At termination of the joint powers agreement and after all claims have been settled, any excess or deficit will be divided among the cities in accordance with its governing documents. Financial statements of CSJVRMA can be obtained from the Authority located at 1750 Creekside Oaks Drive, Suite 200, Sacramento, CA 95833.

The City is exposed to various risks of losses related to torts; thefts of, damage to, and destruction of assets; errors and omissions; and natural disasters. The City purchases insurance as described above. There are no significant reductions in insurance coverage from prior years and also there have been no settlements exceeding the insurance coverage for each of the past three fiscal years.

B) City Employee Retirement 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 (police and fire) 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 seven rate plans (three miscellaneous and four 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 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 CalPERS’ website under Forms and Publications. The rate plan provisions and benefits in effect at June 30, 2022, are summarized as follows:

Miscellaneous Miscellaneous
Miscellaneous Tier II PEPRA
Prior to After After
Hire date November 26, 2012 November 26, 2012 January 1, 2013 Benefit formula 2% @ 55 2% @ 60 2% @ 62
Benefit vesting schedule 5 years service 5 years service 5 years service Benefit payments monthly for life monthly for life monthly for life Retirement age 55 60 62
Monthly benefits, as a % of eligible compensation 2% 2% 2% Required employee contribution rates 7% 7% 6.75%
Required employer contribution rates 10.34% + $277,880 8.65% + $4,120 7.59% + $7,517 60 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
3) OTHER INFORMATION – Continued
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 is 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 $433,018 in fiscal year 2022. The City’s contributions to the plan for the year ended June 30, 2022 were $1,327,228.

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows Related to Pensions As of June 30, 2022, the City reported a liability of $2,813,824 for its proportionate share of the net pension liability. The City’s net pension liability for the Plan is measured as the proportionate share of the net pension liability. The net pension liability of the Plan is measured as of June 30, 2021, and the total pension liability for each 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 net pension liability as of June 30, 2020 and 2021 was as follows:

For the year ended June 30, 2022, the City recognized pension expense of $581,798. At June 30, 2022, the City reported deferred outflows and deferred inflows related to pensions from the following sources:

Safety Police Safety Police Safety Police Safety Fire
Tier I Tier II PEPRA Tier I
Prior to After After Prior to
Hire date November 26, 2012 November 26, 2012 January 1, 2013 November 26, 2012 Benefit formula 3% @ 50 2% @ 50 2.7% @ 57 2.0% @ 55
Benefit vesting schedule 5 years service 5 years service 5 years service 5 years service Benefit payments monthly for life monthly for life monthly for life monthly for life Retirement age 50 50 57 50
Monthly benefits, as a % of eligible compensation 3% 2% 2.7% 2% Required employee contribution rates 9% 9% 13% 0%
Required employer contribution rates 23.71% + $124,462 18.19% + $2,006 13.13% + $9,832 0% + $7,201 Proportion - June 30, 2020 0.04959%
Proportion - June 30, 2021 0.05203%
Change - Increase (Decrease) 0.00244%
61 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
3) OTHER INFORMATION – Continued
$1,327,228 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 ended 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:

Deferred Outflows Deferred Inflows
of Resources of Resources
Pension contributions subsequent to measurement date 1,327,228 $ - $ Differences between actual and expected experience 373,692 - Changes in assumptions - -
Change in employer's proportion 288,442 -
Differences between the employer's contributions and
the employer's proportionate share of contributions 13,451 47,686 Net differences between projected and actual
earnings on plan investments - 2,181,203
Total $ 2,002,813 $ 2,228,889
Year Ending
June 30,
2023 (211,665) $
2024 (301,856)
2025 (437,696)
2026 (602,087)
2027 -
Thereafter -
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. 62 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
3) OTHER INFORMATION – 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 Postretirement 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 longterm 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 shortterm (first 10 years) and the long-term (11+ years) using a building-block approach. Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the 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:

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.

Assumed
Asset 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. 63 City of Tehachapi
Notes to Financial Statements
Year Ended June 30, 2022
3) OTHER INFORMATION – Continued
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 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 pension 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 a payable of $0 for the outstanding amount of contributions to the pension plan required for the year ended June 30, 2022.

C) Commitments and Contingencies
The City has received Federal and State funds for specific purposes that are subject to review by the grantor agencies. These programs are subject to audit by the grantor agencies and upon further examination by the grantors, certain costs could be disallowed. The City expects any such amounts to be immaterial.

Construction commitments at year-end were approximately $750,000. 1% Decrease 6.15%
Net Pension Liability 6,053,768 $
Current Discount Rate 7.15%
Net Pension Liability 2,813,824 $
1% Increase 8.15%
Net Pension Liability $ 141,022
64 REQUIRED SUPPLEMENTARY INFORMATION
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)

REVENUES
Taxes 8,339,429 $ 8,765,819 $ 9,706,903 $ 941,084 $
Licenses, Permits, and Fines 561,500 612,635 770,529 157,894 Intergovernmental 953,000 218,281 240,741 22,460
Charges for Services 602,755 601,662 790,895 189,233
Investment Earnings 60,000 30,000 (70,271) (100,271)
Miscellaneous Revenues 19,700 29,269 41,856 12,587
Total Revenues 10,536,384 10,257,666 11,480,653 1,222,987

EXPENDITURES
Current:

General Government:

General Government 977,703 1,067,715 964,232 103,483
Finance 341,225 358,404 336,377 22,027
IT 236,771 234,197 214,084 20,113
Council 19,552 19,936 14,758 5,178
City Clerk 76,652 71,161 63,425 7,736
Treasurer 2,763 2,745 2,409 336
Public Works:

Public Works 1,109,769 1,114,975 1,114,439 536
Economic Development 150,772 187,564 182,758 4,806
Public Safety (Police/Fire) 5,138,910 5,001,394 4,805,530 195,864 Community Development:

Development Services 1,287,511 1,391,510 1,480,013 (88,503) Capital Outlay - - 219,536 (219,536)
Debt Service:

Interest 13,075 13,075 19,904 (6,829)
Principal 151,573 163,573 192,408 (28,835)
Total Expenditures 9,506,276 9,626,249 9,609,873 16,376 Excess (Deficiency) of Revenues
over Expenditures 1,030,108 631,417 1,870,780 1,239,363

OTHER FINANCING SOURCES (USES)
Debt Issuance - - 219,536 219,536
Transfers In - 15,804 35,533 19,729
Transfers Out (446,270) (764,286) (805,236) (40,950)
Total Other Financing Sources (Uses) (446,270) (748,482) (550,167) 198,315 Net Change in Fund Balances 583,838 (117,065) 1,320,613 1,437,678 Fund Balance, Beginning of Year 13,627,985 13,627,985 13,627,985 - Fund Balance, End of Year $ 13,510,920 14,211,823 $ 14,948,598 $ 1,437,678 $ Budgeted Amounts
City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - General Fund
Year Ended June 30, 2022
65 Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)

REVENUES
Charges for Services 169,418 $ 169,418 $ 65,036 $ (104,382) $ Total Revenues 169,418 169,418 65,036 (104,382)

EXPENDITURES
Current:

Public Works - - - -
Debt Service
Interest 4,308 - 5,159 (5,159)
Principal 165,110 169,418 169,418 -
Total Expenditures 169,418 169,418 5,159 164,259
Excess (Deficiency) of Revenues
Over Expenditures - 59,877 59,877 -
Fund Balance, Beginning of Year (3,031,765) (3,031,765) (3,031,765) - Fund Balance, End of Year $ (3,031,765) (3,031,765) $ (2,971,888) $ 59,877 $ City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Facility Impact Fee Special Revenue Fund Year Ended June 30, 2022
Budgeted Amounts
66 Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)

REVENUES
Intergovernmental 20,000 $ 20,000 $ 5,025 $ (14,975) $
Charges for Services 104,620 104,620 62,681 (41,939)
Investment Earnings 23,000 23,000 (4,048) (27,048)
Total Revenues 147,620 147,620 63,658 (83,962)

EXPENDITURES
Current:

Public Works - - - -
Capital Outlay - - - -
Total Expenditures - - - -
Excess (Deficiency) of Revenues
Over Expenditures 147,620 147,620 63,658 (83,962)

OTHER FINANCING SOURCES (USES)
Transfers In - - - -
Transfers Out (105,880) (105,880) (61,209) 44,671
Total Other Financing Sources (Uses) (105,880) (105,880) (61,209) 44,671 Net Change in Fund Balance 41,740 41,740 2,449 (39,291) Fund Balance, Beginning of Year 2,521,154 2,521,154 2,521,154 - Fund Balance, End of Year $ 2,562,894 2,562,894 $ 2,523,603 $ (39,291) $ City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Traffic Mitigation Special Revenue Fund Year Ended June 30, 2022
Budgeted Amounts
67 City of Tehachapi
Required Supplementary Information
Year Ended June 30, 2022
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%. *Fiscal year 2015 was the first year of implementation; therefore, 10 years of information are not yet available.

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 0.05203% 2,813,824 $ 5,019,980 $ 56.05% 88.46%
2020 0.04959% 5,395,363 4,837,713 111.53% 76.14%
2019 0.04751% 4,867,912 4,452,030 109.34% 76.93%
2018 0.04550% 4,384,873 4,353,690 100.72% 78.56%
2017 0.04470% 4,432,819 4,000,120 110.82% 76.94%
2016 0.04311% 3,729,998 3,696,441 100.91% 77.67%
2015 0.04121% 2,828,329 3,484,251 81.17% 81.73%
2014 0.04338% 2,699,104 3,667,218 73.60% 81.13%
Schedule of the City's Proportionate Share of the Net Pension Liability Last 10 Years*
68 City of Tehachapi
Required Supplementary Information
Year Ended June 30, 2022
Notes to the Schedule of Plan Contributions
Valuation Date: 6/30/20, 6/30/19, 6/30/18, 6/30/17, 6/30/16, 6/30/15, 6/30/14, 6/30/13 *Fiscal year 2015 was the first year of implementation; therefore, 10 years of information are not yet available.

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 977,228 $ (1,327,228) $ (350,000) $ 5,090,890 $ 19.20% 2021 904,041 (904,041) - 5,019,980 18.01%
2020 799,226 (799,226) 4,837,713 - 16.52%
2019 685,806 (685,806) 4,452,030 - 15.40%
2018 572,035 (572,035) 4,353,690 - 13.14%
2017 536,117 (536,117) 4,000,120 - 13.40%
2016 440,933 (440,933) 3,696,441 - 11.93%
2015 636,364 (636,364) 3,484,251 - 18.26%
Schedule of Pension Plan Contributions
Last 10 Years*
69 City of Tehachapi
Notes to Required Supplementary Information
Year Ended June 30, 2022
Budgetary Accounting
Budgetary comparison schedules are presented as part of the Required Supplementary Information for the General Fund and major Special Revenue Funds as provided for in GASB Statement No. 34. The City budget is adopted on a basis consistent with accounting principles generally accepted in United States of America. The City Manager is required to prepare and submit to the City Council the annual budget of the City and administer it after the adoption.

City Council approval is required for budget revisions that affect the total appropriations of the City. The City Manager is authorized to approve transfers within individual fund budgets without the approval of City Council; however, total appropriations may not be exceeded at the department level for the General Fund and the fund level for all other funds. 70 SUPPLEMENTARY INFORMATION
Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Intergovernmental 279,144 $ 274,144 $ (5,000) $
Charges for Services - - -
Total Revenues 279,144 274,144 (5,000)

EXPENDITURES
Capital Outlay 11,476 8,081 3,395
Total Expenditures 11,476 8,081 3,395
Excess (Deficiency) of Revenues
Over Expenditures 267,668 266,063 (1,605)

OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out (332,045) (331,218) 827
Total Other Financing Sources (Uses) (332,045) (331,218) 827 Net Change in Fund Balance (64,377) (65,155) (778)
Fund Balance, Beginning of Year 58,928 58,928 -
Fund Balance, End of Year $ (5,449) $ (6,227) $ (778)
City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Roads and Pedestrian Safety Capital Projects Fund Year Ended June 30, 2022
71 Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Intergovernmental 2,836,743 $ 2,363,472 $ (473,271) $
Charges for Services - - -
Total Revenues 2,836,743 2,363,472 (473,271)

EXPENDITURES
Capital Outlay 3,389,937 2,876,999 512,938
Total Expenditures 3,389,937 2,876,999 512,938
Excess (Deficiency) of Revenues
Over Expenditures (553,194) (513,527) 39,667

OTHER FINANCING SOURCES (USES)
Transfers In 1,201,052 852,833 (348,219)
Transfers Out (15,804) (15,804) -
Total Other Financing Sources (Uses) 1,185,248 837,029 (348,219) Net Change in Fund Balance 632,054 323,502 (308,552)
Fund Balance, Beginning of Year (599,542) (599,542) -
Fund Balance, End of Year $ 32,512 $ (276,040) $ (308,552) City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Street Projects Capital Projects Fund Year Ended June 30, 2022
72 Special Capital
Revenue Projects Total
ASSETS
Cash and Investments $ 200,071 1,392,025 $ 1,592,096 $
Receivables 69,392 41 69,433
Total Assets $ 1,461,417 $ 200,112 $ 1,661,529

LIABILITIES
Accounts Payable $ 65,308 $ - $ 65,308
Accrued Liabilities 11,965 - 11,965
Due to Other Funds - - -
Total Liabilities 77,273 - 77,273

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues - Grants - - -
Total Deferred Inflows of Resources - - -

FUND BALANCES
Restricted 1,384,144 200,112 1,584,256
Assigned - - -
Unassigned - - -
Total Fund Balances 1,384,144 200,112 1,584,256
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $ 1,461,417 $ 200,112 $ 1,661,529 City of Tehachapi
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2022
73 Special Capital
Revenue Projects Total

REVENUES
Taxes 656,977 $ - $ $ 656,977
Licenses, Permits, and Fines - 30,613 30,613
Intergovernmental 785,799 - 785,799
Charges for Services - 20,788 20,788
Investment Earnings (1,622) ( 268) (1,890)
Miscellaneous Revenues 3,923 - 3,923
Total Revenues 1,445,077 51,133 1,496,210

EXPENDITURES
Current:

General Government 38,929 - 38,929
Public Works 1,078,054 1, - 078,054
Capital Outlay - - -
Debt Service:

Interest 13,853 - 13,853
Principal 34,672 - 34,672
Total Expenditures 1,165,508 1, - 165,508
Excess (Deficiency) of Revenues Over Expenditures 279,569 51,133 330,702

OTHER FINANCING SOURCES (USES)
Transfers In 278,354 - 278,354
Transfers Out (100,308) ( - 100,308)
Total Other Financing Sources (Uses) 178,046 - 178,046
Net Change in Fund Balances 457,615 51,133 508,748
Fund Balances, Beginning of Year 926,529 148,979 1,075,508 Fund Balances, End of Year $ 200,112 1,384,144 $ 1,584,256 $ City of Tehachapi
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Non-Major Governmental Funds
Year Ended June 30, 2022
74 Beverage
Oil Recycling Container Lighting
Grant Fund Recycling District
ASSETS
Cash and Investments $ 277 $ 17,530 $ 378,715
Receivables - - -
Total Assets $ 277 $ 17,530 $ 378,715

LIABILITIES
Accounts Payable $ - $ 28,949 - $
Accrued Liabilities - - 6,518
Due to Other Funds - - -
Advances From Other Funds - - -
Total Liabilities - 35,467 -

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues - Grants - - -
Total Deferred Inflows of Resources - - -

FUND BALANCES
Restricted 277 17,530 343,248
Assigned - - -
Unassigned - - -
Total Fund Balances 277 17,530 343,248
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $ 277 $ 17,530 $ 378,715
June 30, 2022
Non-major Special Revenue Funds
Combining Balance Sheet
City of Tehachapi
75 Streets
and Roads Gas Tax Total
$ 756,285 239,218 $ 1,392,025 $
297 69,095 69,392
$ 239,515 $ 825,380 $ 1,461,417
$ 500 $ 35,859 $ 65,308
5,447 11,965 -
- - -
- - -
5,947 35,859 77,273
- - -
- - -
233,568 789,521 1,384,144
- - -
- - -
233,568 789,521 1,384,144
$ 239,515 $ 825,380 $ 1,461,417
76 Beverage
Oil Recycling Container Lighting
Grant Fund Recycling District

REVENUES
Taxes - $ $ 328,784
Intergovernmental - - -
Investment Earnings - (28) ( 546)
Miscellaneous Revenues - - -
Total Revenues - (28) 328, 238

EXPENDITURES
Current:

General Government - - 38,929
Public Works - - 559,840
Capital Outlay - - -
Debt Service:

Interest - - -
Principal - - -
Total Expenditures - - 598,769
Excess (Deficiency) of Revenues
Over Expenditures - (28) (270,531)

OTHER FINANCING SOURCES (USES)
Transfers In - - 278,354
Transfers Out - - -
Total Other Financing Sources (Uses) - - 278,354
Net Change in Fund Balances - (28) 7,823
Fund Balances, Beginning of Year 277 17,558 335, 425
Fund Balances, End of Year $ 17,530 277 $ 343,248 $
City of Tehachapi
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Special Revenue Funds
Year Ended June 30, 2022
77 Streets
and Roads Gas Tax Total
$ 328,193 - $ 656,977 $
283,260 502,539 785,799
(1,125) 77 (1,622)
- 3,923 3,923
610,328 506,539 1,445,077
- - 38,929
282,518 235,696 1,078,054
- - -
- 13,853 13,853
- 34,672 34,672
282,518 284,221 1,165,508
222,318 327,810 279,569
- - 278,354
(47,073) (53,235) (100,308)
(47,073) (53,235) 178,046
280,737 169,083 457,615
508,784 64,485 926,529
$ 789,521 233,568 $ 1,384,144 $
78 Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Investment Earnings - $ - $ - $
Total Revenues - - -

EXPENDITURES
Current:

Public Works - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
over Expenditures - - -
Fund Balance, Beginning of Year 277 277 -
Fund Balance, End of Year $ 277 277 $ - $
City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Oil Recycling Grant Special Revenue Fund Year Ended June 30, 2022
79 Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Investment Earnings - $ (28) $ (28) $
Total Revenues - (28) (28)

EXPENDITURES
Current:

Public Works - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
over Expenditures - (28) (28)
Fund Balance, Beginning of Year 17,558 17,558 -
Fund Balance, End of Year $ 17,558 $ 17,530 $ (28)
City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Beverage Container Recycling Special Revenue Fund Year Ended June 30, 2022
80 Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Taxes 361,871 $ 328,784 $ (33,087) $
Investment Earnings 1,401 (546) (1,947)
Total Revenues 363,272 328,238 (35,034)

EXPENDITURES
Current:

General Government 39,406 38,929 477
Public Works 595,021 559,840 35,181
Total Expenditures 634,427 598,769 35,658
Excess (Deficiency) of Revenues
over Expenditures (271,155) (270,531) 624

OTHER FINANCING SOURCES (USES)
Transfers In 279,566 278,354 (1,212)
Transfers Out - - -
Total Other Financing Sources (Uses) 279,566 278,354 (1,212) Net Change in Fund Balances 8,411 7,823 (588)
Fund Balance, Beginning of Year 335,425 335,425 -
Fund Balance, End of Year $ 343,836 $ 343,248 $ (588)
City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Lighting District Special Revenue Fund Year Ended June 30, 2022
81 Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Intergovernmental 350,000 $ 502,539 $ 152,539 $
Investment Earnings - 77 77
Miscellaneous Revenues 1,785 3,923 2,138
Total Revenues 351,785 506,539 154,754

EXPENDITURES
Current:

Public Works 242,614 235,696 6,918
Capital Outlay - - -
Debt Service:

Interest 13,853 13,853 -
Principal 34,672 34,672 -
Total Expenditures 291,139 284,221 6,918
Excess (Deficiency) of Revenues
Over Expenditures 60,646 222,318 161,672

OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out (275,886) (53,235) 222,651
Total Other Financing Sources (Uses) (275,886) (53,235) 222,651 Net Change in Fund Balance (215,240) 169,083 384,323
Fund Balance, Beginning of Year 64,485 64,485 -
Fund Balance, End of Year $ 233,568 (150,755) $ 384,323 $ City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Streets and Roads Special Revenue Fund Year Ended June 30, 2022
82 Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Taxes 406,117 $ 328,193 $ (77,924) $
Intergovernmental 298,550 283,260 (15,290)
Investment Earnings 44 (1,125) (1,169)
Total Revenues 704,711 610,328 (94,383)

EXPENDITURES
Current:

Public Works 302,554 282,518 20,036
Capital Outlay - - -
Total Expenditures 302,554 282,518 20,036
Excess (Deficiency) of Revenues
Over Expenditures 402,157 327,810 (74,347)

OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out (107,413) (47,073) 60,340
Total Other Financing Sources (Uses) (107,413) (47,073) 60,340 Net Change in Fund Balance 294,744 280,737 (14,007)
Fund Balance, Beginning of Year 508,784 508,784 -
Fund Balance, End of Year $ 789,521 803,528 $ (14,007) $ City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Gas Tax Special Revenue Fund
Year Ended June 30, 2022
83 Parks & Rec.

Building and Capital
Planning Project Total
ASSETS
Cash and Investments $ 79,306 $ 120,765 $ 200,071
Receivables 41 - 41
Total Assets $ 79,347 $ 120,765 $ 200,112

LIABILITIES
Liabilities:

Accounts Payable $ - $ - $ -
Total Liabilities - - -

DEFERRED INFLOWS OF RESOURCES
Unavailable Revenues - Grants - - -
Total Deferred Inflows of Resources - - -

FUND BALANCES
Restricted 79,347 120,765 200,112
Assigned - - -
Unassigned - - -
Total Fund Balances 79,347 120,765 200,112
Total Liabilities and Fund Balances $ 79,347 $ 120,765 $ 200,112 City of Tehachapi
Combining Balance Sheet
Non-major Capital Project Funds
June 30, 2022
84 Parks & Rec.

Building and Capital
Planning Project Total

REVENUES
Licenses, Permits, and Fines $ 30,613 - $ $ 30,613
Intergovernmental - - -
Charges for Services 20,788 20,788 -
Miscellaneous Revenue - - -
Investment Earnings (113) (155) (268)
Total Revenues 20,675 30,458 51,133

EXPENDITURES
Current:

Public Works - - -
Community Development - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
Over Expenditures 20,675 30,458 51,133

OTHER FINANCING SOURCES (USES)
Transfers In - - -
Transfers Out - - -
Total Other Financing Sources (Uses) - - -
Net Change in Fund Balances 20,675 30,458 51,133
Fund Balances, Beginning of Year 58,672 90,307 148,979
Fund Balances, End of Year $ 79,347 $ 120,765 $ 200,112 City of Tehachapi
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Capital Project Funds
Year Ended June 30, 2022
85 Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Charges for Services 15,000 $ 20,788 $ 5,788 $
Investment Earnings - (113) (113)
Total Revenues 15,000 20,675 5,675

EXPENDITURES
Current:

Public Works - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
over Expenditures 15,000 20,675 5,675
Fund Balance, Beginning of Year 58,672 58,672 -
Fund Balance, End of Year $ 73,672 $ 79,347 $ 5,675
City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Building and Planning Capital Projects Fund Year Ended June 30, 2022
86 Variance with
Final Budget
Final Actual Positive
Budget Amounts (Negative)

REVENUES
Licenses, Permits, and Fines 51,022 $ 30,613 $ (20,409) $ Investment Earnings - (155) (155)
Total Revenues 51,022 30,458 (20,564)

EXPENDITURES
Current:

Public Works - - -
Capital Outlay - - -
Total Expenditures - - -
Excess (Deficiency) of Revenues
over Expenditures 51,022 30,458 (20,564)
Fund Balance, Beginning of Year 90,307 90,307 -
Fund Balance, End of Year $ 141,329 $ 120,765 $ (20,564) City of Tehachapi
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual - Parks and Recreation Capital Projects Fund Year Ended June 30, 2022
87 East Tehachapi Capital Total
Tehachapi Blvd. Summit Meadows Hills Custodial
Project 89-3 89-2 90-1 89-1 Funds
ASSETS
Cash and Investments $ - $ - $ 40,435 $ 44,707 $ 85,142 Other Assets 26,077 329,480 - 355,557 -
Total Assets $ 26,077 $ 329,480 $ 40,435 $ 44,707 $ 440,699

LIABILITIES
Accounts Payable 468 3,153 - - 3,621
Advances From City of Tehachapi 35,976 202,267 - 238,243 - Total Liabilities 36,444 205,420 - 241,864 -

NET POSITION
Restricted:

Held for the Benefit of Others (10,367) 124,060 40,435 44,707 198,835 Total Net Position $ (10,367) $ 124,060 $ 40,435 $ 44,707 $ 198,835 City of Tehachapi
Combining Statement of Fiduciary Net Position
Custodial Funds
June 30, 2022
88 East Tehachapi Capital Total
Tehachapi Blvd. Summit Meadows Hills Custodial
Project 89-3 89-2 90-1 89-1 Funds

ADDITIONS
Investment Earnings:

Interest Income $ - $ - $ (64) $ (71) $ (135)
Total Additions - - (64) (71) (135)

DEDUCTIONS
General and Administrative 5,872 12,622 - - 18,494
Total Deductions 5,872 12,622 - - 18,494
Net Increase (decrease) in net position (5,872) (12,622) (64) (71) (18,629) Net Position, beginning of the year (4,495) 136,682 40,499 44,778 217,464 Net Position, end of the year $ (10,367) $ 124,060 $ 40,435 $ 44,707 $ 198,835 City of Tehachapi
Combining Statement of Changes in Fiduciary Net Position Custodial Funds
Year Ended 6/30/2022
89 City of Tehachapi
Description of Statistical Section Contents
June 30, 2022
This part of the City of Tehachapi's annual comprehensive financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information say about the government's overall financial health.

Contents: Pages

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

91 Revenue Capacity - These schedules contain information to help the reader assess the City's most significant local revenue source, the property tax

101

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

107

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

114

Operating Information - These schedules contain service and infrastructure data to help the reader understand how the information in the City's financial report relates to the services the City provides and the activities it performs

117
90 CITY OF TEHACHAPI

NET POSITION BY COMPONENT
Last Ten Fiscal Years
2012/13 2013/14 2014/15 2015/16
Governmental Activities
Net Investment in Capital Assets 27,522,736 $ 29,619,903 $ 31,447,535 $ 33,659,005 $ Restricted 1,750,367 1,408,183 3,990,455 3,573,241
Unrestricted 8,595,560 3,928,546 2,372,775 2,625,919
Total Governmental Activities Net Position 37,868,663 34,956,632 37,810,765 39,858,165 Business-type Activities
Net Investment in Capital Assets 13,647,243 13,592,847 13,175,794 14,211,405 Restricted 3,371,136 3,333,432 3,333,432 1,016,832
Unrestricted (401,236) (20,928) (1,010,853) 312,118
Total Business-type Activities Net Position 16,617,143 16,905,351 15,498,373 15,540,355 Primary Government
Net Investment in Capital Assets 41,169,979 43,212,750 44,623,329 47,870,410 Restricted 5,121,503 4,741,615 7,323,887 4,590,073
Unrestricted 8,194,324 3,907,618 1,361,922 2,938,037
Total Primary Government Activities Net Position 54,485,806 $ $ 51,861,983 $ 53,309,138 $ 55,398,520 Source: Audited Financial Statements
91 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22
$ 36,282,617 35,786,732 $ 36,771,604 $ 37,634,315 $ 38,817,981 $ 39,457,130 $ 2,414,590 2,987,070 3,168,630 4,714,742 3,895,674 4,410,645 2,938,892 2,027,591 4,308,161 3,881,590 7,254,879 9,684,053 41,636,099 40,801,393 44,248,395 46,230,647 49,968,534 53,551,828 13,298,672 13,300,237 12,865,566 13,126,463 13,897,605 14,311,502 1,629,927 1,016,832 3,040,310 3,095,393 1,286,582 2,410,349 2,879,006 3,135,577 2,341,438 2,476,233 3,579,134 2,167,642 17,807,605 17,452,646 18,247,314 18,698,089 18,763,321 18,889,493 49,581,289 49,086,969 49,637,170 50,760,778 52,715,586 53,768,632 4,044,517 4,003,902 6,208,940 7,810,135 5,182,256 6,820,994 5,817,898 5,163,168 6,649,599 6,357,823 10,834,013 11,851,695 $ 59,443,704 58,254,039 $ 62,495,709 $ 64,928,736 $ 68,731,855 $ 72,441,321 $ 92 CITY OF TEHACHAPI

CHANGES IN NET POSITION
Last Ten Fiscal Years
2012/13 2013/14 2014/15 2015/16
Expenses
Governmental Activities
General Government 619,917 $ 2,709,575 $ 2,763,073 $ 2,591,137 $ Public Works 1,487,071 1,834,154 2,165,018 2,363,375
Public Safety 2,824,312 3,181,899 2,658,659 3,256,884
Community Development 2,756,359 1,521,265 776,844 742,409 Pass-throughs - - - -
Interest 22,572 21,721 20,843 19,937
Total Governmental Expenses 7,710,231 9,268,614 8,384,437 8,973,742 Business-type Activities
Water 1,870,875 2,129,184 2,130,275 2,122,629
Sewer 1,893,294 2,032,645 2,109,038 2,313,166
Airport 979,657 1,039,794 925,376 665,664
Refuse 1,025,326 1,168,082 1,248,408 1,523,881
Transit 171,642 183,382 197,247 203,452
Motocross Event Center - - 629 -
Total Business-type Expenses 5,940,794 6,553,087 6,610,973 6,828,792 Total Primary Government Expenses 13,651,025 15,821,701 14,995,410 15,802,534 Program Revenues
Governmental Activities
Charges for Services
General Government 729,692 598,282 726,782 592,856
Public Works 339,310 263,888 195,463 199,809
Public Safety 301,264 84,159 31,626 64,157
Community Development - - - -
Operating Grants and Contributions 726,682 606,281 864,473 697,728 Capital Grants and Contributions 1,495,913 1,311,289 5,156,087 3,011,463 Total Governmental Activities Program Revenues 3,592,861 2,863,899 6,974,431 4,566,013 Business-type Activities
Charges for Services
Water 2,347,414 2,374,272 1,928,714 1,852,062
Sewer 2,287,292 1,953,530 1,908,726 2,026,441
Airport 645,437 714,825 672,209 543,020
Refuse 1,054,088 1,179,008 1,255,069 1,273,557
Transit 4,302 4,964 5,737 4,783
Operating Grants and Contributions 151,973 440,453 362,894 222,494 Capital Grants and Contributions 200,409 33,290 533,828 - Total Business-type Activities Program Revenues 6,690,915 6,700,342 6,133,349 6,456,185 Total Primary Government Program Revenues 10,283,776 $ $ 9,564,241 $ 13,107,780 $ 11,022,198 93 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22
$ 2,956,947 2,960,419 $ 3,463,063 $ 3,754,511 $ 3,772,260 $ 1,102,246 $ 2,025,544 1,521,625 1,791,044 2,158,019 2,212,546 2,674,815 3,252,153 2,676,047 3,437,651 3,701,640 4,934,643 5,112,873 987,520 1,080,050 1,094,456 1,286,798 1,158,064 3,300,861 - - - - - -
39,372 32,756 51,448 46,407 40,890 37,358
9,261,536 8,270,897 9,837,662 10,947,375 12,118,403 12,228,153 2,263,348 2,047,429 2,674,527 2,509,423 2,882,279 2,739,661 2,108,924 2,039,152 2,254,391 2,479,478 2,469,560 2,334,763 798,286 671,769 827,525 902,729 926,700 1,059,869
1,320,605 1,321,542 1,381,515 1,417,141 1,456,930 1,561,496 262,565 224,557 273,718 260,754 305,301 240,065
- - 608,304 - - -
6,753,728 6,304,449 8,019,980 7,569,525 8,040,770 7,935,854 16,015,264 14,575,346 17,857,642 18,516,900 20,159,173 20,164,007 555,366 734,697 879,341 735,831 765,604 778,992
128,766 11,336 388,860 622,579 416,734 689,907
131,329 89,707 404,830 159,252 102,124 111,369
- - 21,753 - 32,838 3,994
933,565 227,410 215,358 648,183 2,402,243 366,251
2,632,154 2,223,780 2,965,430 3,035,468 2,483,627 3,643,769 4,381,180 3,286,930 4,853,819 5,223,066 6,203,170 5,594,282 2,428,198 2,409,876 3,082,721 2,670,582 2,857,982 2,731,318 2,387,112 2,196,898 2,760,849 2,598,401 2,384,184 2,453,827 531,110 570,956 602,418 645,781 649,898 751,117
1,304,499 1,338,818 1,379,802 1,420,155 1,457,637 1,577,596 5,068 7,064 6,387 5,288 4,236 4,004
181,162 389,258 221,858 320,217 470,547 355,536
- - - - - -
6,837,149 6,912,870 8,054,035 7,660,424 7,824,484 7,873,398 $ 11,218,329 $ 10,199,800 $ 12,907,854 $ 12,883,490 $ 14,027,654 $ 13,467,680 94 CITY OF TEHACHAPI

CHANGES IN NET POSITION
Last Ten Fiscal Years
2012/13 2013/14 2014/15 2015/16
Net Revenues (Expenses)
Governmental Activities (4,117,370) $ (6,404,715) $ (1,410,006) $ (4,407,729) $ Business-type Activities 750,121 147,255 (477,624) (372,607) Total Net Revenues (Expenses) (3,367,249) (6,257,460) (1,887,630) (4,780,336) General Revenues and Other Changes in Net Position
Governmental Activities
Property Taxes 1,266,510 1,187,822 1,184,100 1,209,741
Sales and Use Taxes 1,842,393 1,986,771 1,957,100 2,083,650 Property Tax in Lieu 618,866 622,826 672,331 429,281
Transient Occupancy Tax 540,619 830,251 683,826 641,191 Licenses and Permits 1,191,288 1,204,395 1,237,753 1,286,961 Franchise Tax 179,058 196,623 210,647 200,726
Other Taxes 198,141 234,870 190,190 259,181
Miscellaneous Revenues 436,300 238,008 45,508 23,912
Investment Earnings 41,022 37,005 34,077 76,980
Loss on Disposal - (189,709) - -
Transfers In (Out) (114,422) (3,143) 4,839 (1,200)
Transfer to Fiduciary Fund - (1,406,525) - -
Total Governmental Activities 6,199,775 4,939,194 6,220,371 6,210,423 Business-type Activities
Miscellaneous Revenues 73,881 118,296 106,104 405,354
Investment Earnings 18,800 19,514 15,426 9,917
Loss on Disposal (13,527) - (122,722) (1,882)
Transfers 114,422 3,143 (4,839) 1,200
Total Business-type Activities 193,576 140,953 (6,031) 414,589 Total Primary Government 6,393,351 5,080,147 6,214,340 6,625,012 Extraordinary Items
Governmental Activities - - - -
Business-type Activities - - - -
Total Primary Government - - - -
Changes in Net Position
Governmental Activities 2,082,405 (1,465,521) 4,810,365 1,802,694 Business-type Activities 943,697 288,208 (483,655) 41,982 Total Primary Government 3,026,102 $ (1,177,313) $ 4,326,710 $ 1,844,676 $ Source: Audited Financial Statements
95 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22
$ (5,974,606) (3,889,717) $ (4,983,843) $ (5,724,309) $ (5,915,233) $ (6,633,871) $ 159,142 532,700 34,055 90,899 (216,286) (62,456)
(5,815,464) (3,357,017) (4,949,788) (5,633,410) (6,131,519) (6,696,327) 1,349,341 1,266,903 1,474,140 1,709,886 2,599,168 2,603,683 2,698,641 2,453,186 3,262,346 3,078,646 3,693,947 4,304,461 1,298,550 1,199,959 1,324,876 1,430,560 1,543,538 1,613,664 759,381 705,197 801,444 648,225 842,473 1,045,539
189,437 127,112 202,440 261,244 289,184 341,731
204,634 178,493 221,053 225,834 240,569 282,892
219,497 222,329 218,386 202,590 209,725 214,932
32,869 153,309 39,192 62,374 104,657 33,528
81,190 29,176 210,812 234,164 52,791 (76,210)
- - - - - -
(24,228) (1,502,719) (158,550) (146,962) (173,027) (147,055) - - - - - -
4,832,945 6,809,312 7,596,139 7,706,561 9,403,025 10,217,165 432,926 127,495 97,497 77,460 58,527 43,407
37,177 44,552 147,125 130,005 34,183 (1,834)
(593,231) (458) 2,482 5,449 15,781 -
1,502,719 24,228 158,550 146,962 173,027 147,055
1,379,591 195,817 405,654 359,876 281,518 188,628
6,212,536 7,005,129 8,001,793 8,066,437 9,684,543 10,405,793 - - - - - -
- - - - - -
- - - - - -
943,228 834,706 2,612,296 1,982,252 3,487,792 3,583,294 1,912,291 354,959 439,709 450,775 65,232 126,172
$ 2,855,519 $ 1,189,665 $ 3,052,005 $ 2,433,027 $ 3,553,024 $ 3,709,466 96 CITY OF TEHACHAPI

FUND BALANCES OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years
2012/13 2013/14 2014/15 2015/16
General Fund
Nonspendable 2,102,611 $ 5,311,956 $ 3,787,406 $ 4,568,444 $ Restricted - - - 212,068
Committed 809,629 887,757 997,993 963,561
Assigned - - - -
Unassigned 5,252,576 1,438,840 3,427,941 2,863,138
Total General Fund 8,164,816 7,638,553 8,213,340 8,607,211 All Other Governmental Funds
Nonspendable - - - -
Restricted 1,738,887 1,511,574 4,311,304 3,509,814
Committed - - - -
Assigned 674,793 100,859 - -
Unassigned (371,807) (4,466,245) (4,399,243) (4,116,912) Total All Other Governmental Funds 2,041,873 $ (2,853,812) $ (87,939) $ (607,098) $ Source: Audited Financial Statements
97 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22
$ 2,768,871 $ 2,320,850 $ 2,314,383 $ 2,236,527 $ 2,365,185 $ 2,395,992 42,463 524,063 141,128 - - -
1,009,610 927,351 951,319 1,061,215 1,158,946 1,185,070 - - - - - -
3,475,310 4,525,391 6,174,235 7,042,898 10,103,854 11,367,536 7,296,254 8,297,655 9,581,065 10,340,640 13,627,985 14,948,598 - - - - - -
2,947,084 2,764,787 3,217,526 3,399,021 3,655,590 4,107,859 - - - - - -
- - - - - -
(4,297,996) (3,798,062) (3,239,148) (3,846,179) (3,631,307) (3,254,155) $ (1,350,912) $ (1,033,275) $ (21,622) $ (447,158) $ 24,283 $ 853,704 98 CITY OF TEHACHAPI

CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years
2012/13 2013/14 2014/15 2015/16
Revenues
Property Taxes 1,885,376 $ 1,810,648 $ 1,856,431 $ 1,639,022 $ Sales Taxes 1,842,393 1,986,771 1,957,100 2,083,650
Other Taxes 2,221,617 2,667,913 2,457,485 2,464,448
Licenses and Permits 90,551 71,965 72,610 139,894
Grants - - - -
Charges for Services 1,110,878 615,637 478,874 344,800
Interest 41,023 37,005 34,077 78,117
Other Sources of Funds 2,762,921 1,483,326 5,792,420 3,821,298 Miscellaneous 416,277 320,514 874,727 385,755
Total Revenues 10,371,036 8,993,779 13,523,724 10,956,984 Expenditures
Current
General Government 1,344,421 1,503,377 1,407,646 1,185,451 Public Works 1,532,865 1,617,273 2,165,018 3,366,282
Public Safety 2,824,312 3,181,899 3,159,926 3,738,870
Community Development 2,756,359 1,521,265 776,844 742,409 Pass-throughs - - - -
Capital Outlay 1,513,179 5,133,596 2,629,834 2,614,335
Debt Service
Interest Expense 22,572 21,721 20,843 19,937
Principal 26,090 26,928 27,792 221,122
Total Expenditures 10,019,798 13,006,059 10,187,903 11,888,406 Excess of Revenues Over Expenditures 351,238 (4,012,280) 3,335,821 (931,422) Other Financing Source (Uses)
Transfers In 1,023,238 708,278 535,808 5,773,563
Transfers Out (1,137,660) (2,117,946) (530,969) (5,774,763) Proceeds from Capital Lease - - 807,334 -
Total Other Financing Sources (Uses) (114,422) (1,409,668) 4,839 806,134 Extraordinary Items
RDA Dissolution - - - -
Developer Settlement - - - -
Total Other Financing Sources (Uses) - - - -
Net Change in Fund Balances $ 236,816 $ (5,421,948) $ 3,340,660 $ (125,288) Capitalized Outlay Amount $ 3,435,652 $ 4,916,715 $ 3,111,820 $ 4,099,228 Debt service as a percentage of noncapital
expenditures 0.7% 0.6% 0.7% 3.1%
Source: Audited Financial Statements
99 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22
$ 2,466,862 $ 2,647,891 $ 2,799,016 $ 3,140,446 $ 4,142,706 $ 4,217,347 2,453,186 2,698,641 3,262,346 3,078,646 3,693,947 4,304,461 1,293,138 1,396,552 1,448,320 1,349,364 1,573,953 1,842,072 158,347 286,062 424,901 609,201 409,306 801,142
3,208,395 - 3,086,873 2,430,645 5,733,425 3,669,181
291,853 581,969 1,149,809 1,044,044 1,012,140 939,400
29,175 81,188 210,810 234,162 52,792 (76,209)
2,877,046 - - - - -
446,437 20,630 151,647 56,292 113,177 45,779
10,016,044 10,921,328 12,533,722 11,942,800 16,731,446 15,743,173 1,236,541 1,276,431 1,233,731 1,293,556 1,388,285 1,634,214 3,064,968 4,159,918 4,086,366 2,208,147 2,241,396 2,375,251 2,844,104 3,084,772 3,437,651 3,700,682 4,934,643 4,805,530 1,080,050 987,520 1,094,456 1,286,798 1,158,064 1,480,013 - - - - - -
2,113,490 411,481 6,729 2,808,631 2,848,529 3,104,616
32,756 39,372 51,448 46,407 40,890 38,916
196,187 146,693 169,728 189,254 187,826 227,080
10,568,096 10,106,187 10,080,109 11,533,475 12,799,633 13,665,620 (552,052) 815,141 2,453,613 409,325 3,931,813 2,077,553 1,128,417 1,883,697 570,811 678,095 567,605 1,166,720
(2,631,136) (1,907,925) (729,361) (825,057) (740,632) (1,313,775) 528,125 - 71,676 - 219,536 -
(1,502,719) 503,897 (158,550) (75,286) (173,027) 72,481 - - - - - -
- - - - - -
- - - - - -
$ (2,054,771) $ 1,319,038 $ 2,295,063 $ 334,039 $ 3,758,786 $ 2,150,034 $ 3,656,833 $ 2,545,855 $ 2,357,831 $ 2,858,759 $ 2,880,792 $ 2,876,208

3.3% 2.5% 2.9% 2.7% 2.3% 2.5%
100

CITY OF TEHACHAPI
ASSESSED VALUE OF TAXABLE PROPERTY (Net Taxable)
Last Ten Fiscal Years
2012/13 2013/14 2014/15 2015/16
Residential 328,136,156 $ 338,902,809 $ 359,605,809 $ 380,664,403 $ Commercial 139,246,596 137,475,266 139,595,833 144,701,721 Industrial 25,544,372 25,440,568 30,835,636 32,287,375
Dry Farm
Government Owned 26,361 26,481 26,508 8,766
Institutional 247,568 252,517 338,662 535,961
Irrigated 1,321,754 1,348,186 1,354,301 1,381,356
Recreational 1,868,329 1,417,952 1,422,445 1,452,435
Vacant 43,474,715 40,524,147 41,173,555 44,669,511
SBE Nonunitary 395,680 395,680 395,680 395,680
Unsecured 30,414,623 26,325,736 26,310,333 25,511,087
Total 570,676,154 $ 572,109,342 $ 601,058,762 $ 631,608,295 $ Total Direct Rate 0.39167 0.16162 0.16116 0.16098
Tax Exempt (1,144,946) $ (1,508,760) $ (1,398,730) $ (3,080,187) $ Notes: In 1978 the voters of the State of California passed Proposition 13 which limited taxes to a total maximum rate of 1%, based upon the assessed value of the property being taxed. Each year, the assessed value of property may be increased by an "inflation factor" (limited to a maximum 2%). With few exceptions, property is only reassessed as a result of new construction activity or at the time it is sold to a new owner. At that point, the property is reassessed based upon the added value of the construction or at the purchase price (market value) or economic value of the property sold. The assessed valuation date shown above represents the only date currently available with respect to the actual market value of taxable property and is subject to the limitations described above.

Source: Kern County Assessor 2012/13 - 2021/22 combined Tax Rolls via HdL, Coren & Cone This report is not to be used in support of debt issuance or continuing disclosure statements without the written consent of HdL, Coren & Cone
101
2016/17 2017/18 2018/19 2019/20 2020/21 2021/22
$ 428,954,661 399,422,704 $ 460,071,380 $ 504,175,793 $ 532,035,616 $ 557,817,999 $ 166,465,568 153,166,923 174,168,100 186,722,185 199,770,649 206,542,926 33,725,848 34,610,139 34,874,684 35,940,915 36,158,769 36,275,420 102,208 44,663
7,170 5,321 8,020 8,179 8,341 5,291
544,130 4,788,656 566,105 840,583 588,968 821,791
1,402,417 1,430,459 1,074,823 1,096,315 1,370,087 1,384,278 793,833 540,829 546,325 482,000 491,640 496,732
41,998,586 40,213,440 40,682,524 36,089,584 37,021,550 39,990,752 988,898 988,898 604,699 604,699 843,322 843,322
24,690,697 50,321,244 29,185,900 33,772,445 37,990,514 40,611,415 $ 656,741,206 $ 728,319,215 $ 741,782,560 $ 799,732,698 $ 846,381,664 $ 884,834,589

0.16098 0.15920 0.16019 0.16001 0.16721 0.16671
$ (37,818,187) $ (47,657,485) $ (47,747,124) $ (47,729,486) $ (48,033,396) $ - 102

CITY OF TEHACHAPI

DIRECT AND OVERLAPPING PROPERTY TAX RATES
Last Ten Fiscal Years
Rate per $100 of taxable value
2012/13 2013/14 2014/15 2015/16
Agency
Basic Levy 1.00000 1.00000 1.00000 1.00000
Kern Community College 0.00850 0.01264 0.01045 0.01357
Kern County Water Agency 0.01032 0.01071 0.01126 0.01357 Tehachapi Cummings Water State Payment 0.03844 0.04290 0.03875 0.03787 Tehachapi Health Bond 0.02628 0.08477 0.07348 0.07811
Tehachapi Unified School District 0.05741 0.04353 0.06396 0.04454 Total Direct & Overlapping Tax Rates 1.14095 1.19456 1.19790 1.18765 City's Share of 1% Levy Per Prop 13 0.18899 0.18729 0.18729 0.18729 Redevelopment Rate
Total Direct Rate 0.39167 0.16162 0.16116 0.16098
Notes:
1In 1978, California voters passed Proposition 13 which set the property tax rate at 1.00%. This 1.00% is shared by all taxing agencies within which the subject property resides. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of any voter approved bonds.
2Overlapping rates are those of local and county governments that apply to property owners within the City.

Not all overlapping rates apply to all city property owners. 3The City's share of the 1.00% levy is based on the City's share of the general fund tax rate area with the largest net taxable value within the City. ERAF general fund tax shifts may not be included in tax ratio figures.
4Redevelopment Rate is based on the largest RDA tax rate area and only includes rate(s) from indebtedness adopted prior to 1989 per California State statute. RDA direct and overlapping rates are applied only to the incremental property values. The approval of ABX126 eliminated Redevelopment from the State of California for the fiscal year 2012/13 and years thereafter.
5Total Direct Rate is the weighted average of all individual direct rates applied by the City/Agency preparing the statistical section information and excludes revenues derived from aircraft. Beginning in 2013/14 the Total Direct Rate no longer includes revenue generated from the former redevelopment tax rate areas.

Challenges to recognized enforceable obligations are assumed to have been resolved during 2012/13. For the purposes of this report, residual revenue is assumed to be distributed to the City/Agency in the same proportions as general fund revenue.

Source: Kern County Assessor Tax Rate Tables
103
2016/17 2017/18 2018/19 2019/20 2020/21 2021/22

1.00000 1.00000 1.00000 1.00000 1.00000 1.00000

0.01318 0.03625 0.03367 0.03303 0.03385 0.03861

0.01532 0.01784 0.01658 0.01895 0.01771 0.01731

0.06940 0.05665 0.05678 0.05133 0.05005 0.05356

0.08002 0.08067 0.07111 0.07990 0.06737 0.06804

0.05349 0.05000 0.04048 0.05641 0.04659 0.01250

1.23140 1.24142 1.21861 1.23961 1.21556 1.19002

0.18729 0.18729 0.18729 0.18729 0.18729 0.18729

0.16098 0.15920 0.16019 0.16001 0.16721 0.16671
104

CITY OF TEHACHAPI

PRINCIPAL PROPERTY TAX PAYERS
Current and Nine Years Ago
Owner Value % of Net
AV Owner Value % of Net AV
Walmart $ 2.56 22,689,725 Chuck and Hyon K Yoo $ 2.07 11,839,502 Tehachapi Investment LLC 2.33 20,611,341 ABS CA-O LLC 1.85 10,535,545 Yoo Family Credit Trust 1.67 14,784,193 Home Depot USA Inc 1.82 10,384,385 Evergreen Hospitality Inc 1.37 12,099,593 Loves County Stores of CA 1.58 9,023,163 Loves County Stores of CA 1.26 11,108,941 Emster XIII LLC 1.40 8,005,633 Pilot Travel Centers 1.15 10,165,081 Yu Family Trust 1.35 7,731,585 Home Depot USA Inc 1.07 9,438,894 Benz Sanitation Inc 1.21 6,895,628 Tehachapi Tucker Road LLC 1.03 9,113,709 Mel & Beverly Rubin Trust 1.10 6,298,869 Chemtool Inc 0.97 8,622,849 Subhash & Hashumati Patel 0.98 5,605,749 YFP Tehachapi LLC 0.84 7,402,907 Tehachapi Orchard LLC 5,552,988 0.97 Top Ten Total 14.24 126,037,233 Top Ten Total 14.35 81,873,047 Total Taxable Year 100% 884,834,589 Total Taxable Year 100% 570,676,154 Source: Kern County Assessor Combined Tax Rolls, The SBE Non Unitary Tax Roll and The HdL Companies

FISCAL YEAR END
2022 2013
105

CITY OF TEHACHAPI

PROPERTY TAX LEVIES & COLLECTIONS
Last Ten Fiscal Years
Fiscal Year End Tax Levied Amount Percent of Levy Amount Percent of Levy 2013 $ 897,262 $ 897,262 100% $ 897,262 100%
2014 824,977 824,977 100% 824,977 100%
2015 848,056 848,056 100% 848,056 100%
2016 858,997 858,997 100% 858,997 100%
2017 911,928 911,928 100% 911,928 100%
2018 1,000,380 1,000,380 100% 1,000,380 100%
2019 1,118,556 1,118,556 100% 1,118,556 100%
2020 1,240,785 1,240,785 100% 1,240,785 100%
2021 1,392,651 1,392,651 100% 1,392,651 100%
2022 1,365,312 1,365,312 100% 1,365,312 100%
Notes: Kern County utilizes the Teeter Plan for levy and distribution which means that the City receives full payment for taxes levied each year while the County retains all penalty, interest and delinquent taxes, when collected. This method guarantees distribution of 100% of the assessments levied to the taxing entity.

Source: Kern County Auditor Controller's Office
Collected within FY of Levy Total Collections to Date
106

CITY OF TEHACHAPI

RATIOS OF OUTSTANDING DEBT BY TYPE
Last Ten Fiscal Years
Governmental
Activities
Fiscal Year
End Capital Leases Capital Leases Notes Payable Department of Transportation State Revolving
Fund
2012 716,231 $ 146,697 $ - $ 61,150 $ 763,565 $
2013 690,140 141,354 - 51,226 2,216,133
2014 663,212 135,839 - 40,818 1,942,053
2015 635,420 130,146 - 29,926 1,856,074
2016 1,221,632 124,271 - 18,550 1,767,860
2017 1,025,445 118,207 - 6,690 1,677,352
2018 1,406,877 233,824 - - 1,584,491
2019 1,237,150 211,712 - - 1,489,215
2020 1,119,571 246,315 - - 1,391,462
2021 928,262 211,900 - - 1,291,168
2022 920,718 235,949 466,000 - 1,188,266
Business Type Activities
Source: City of Tehachapi
107
USDA Loan Revenue Bonds
(net of Discount)
Total Primary
Government
Percentage of
Personal Income
Per
Capita
$ 238,500 $ 2,884,449 $ 4,810,592 4.75% 347
233,500 2,763,399 6,095,752 3.66% 458
228,200 2,632,349 5,642,471 3.89% 423
222,800 2,496,299 5,370,665 4.17% 404
217,100 2,355,249 5,704,662 4.02% 467
211,100 2,209,199 5,247,993 3.59% 427
204,900 1,718,149 5,148,241 4.12% 419
198,400 1,167,099 4,303,576 5.20% 315
191,600 605,000 3,553,948 6.78% 279
184,500 - 2,615,830 9.74% 218
177,100 - 2,988,033 9.11% 241
Business Type Activities
108

CITY OF TEHACHAPI

RATIO OF GENERAL BONDED DEBT OUTSTANDING
Last Ten Fiscal Years
Outstanding General Bonded Debt
Fiscal Year
End Tax Allocation Bond
2013 No General Bonded Debt
2014 No General Bonded Debt
2015 No General Bonded Debt
2016 No General Bonded Debt
2017 No General Bonded Debt
2018 No General Bonded Debt
2019 No General Bonded Debt
2020 No General Bonded Debt
2021 No General Bonded Debt
2022 No General Bonded Debt
Source: City of Tehachapi
109

CITY OF TEHACHAPI

DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES
Last Ten Fiscal Years
2021-22 Assessed Valuation: $884,834,589
Total Debt
6/30/22
Percentage
Applicable(1)
City’s Share of
Debt 6/30/22
Overlapping Tax and Assessment Debt
Kern Comm College District Safety, Repair and Imprvmt District $ 94,711,081 0.899% $ 851,453 Kern Comm College District School Facilities Imprvmt District No. 1 151,153,183 0.893% 1,349,798 Tehachapi Unified School District 1,478,000 15.419% 227,893 Tehachapi Valley Healthcare District 60,974,979 15.106% 9,210,880 City of Tehachapi 1915 Act Bonds 2,180,000 100.000% 2,180,000 (2) Total Overlapping Tax and Assessment Debt 13,820,024
Direct and Overlapping General Fund Debt
Kern County General Fund Obligations 111,722,181 0.888% 992,093 Kern County Pension Obligation Bonds 121,862,067 0.888% 1,082,135 Kern County Board of Education Certificates of Participation 32,610,000 0.888% 289,577 Kern Community College District General Fund Obligations 24,647,000 0.805% 198,408 Kern Community College District Benefit Obligation 74,455,000 0.805% 599,363 Tehachapi Valley Recreation and Park District General Fund 789,969 19.794% 156,366 City of Tehachapi Capital Lease Obligations 920,718 100.000% 920,718 Total Direct and Overlapping General Fund Debt 4,238,660 Overlapping Tax Increment Debt (Successor Agency) 9,219,000 100.000% 9,219,000 920,718
Total Overlapping Debt 26,356,966
Combined Total Debt $ 27,277,684 (3)
Ratios to 2021-22 Assessed Valuation
Total Overlapping Tax and Assessment Debt 1.56%
Total Direct Debt ($730,361) 0.10%
Combined Total Debt 3.08%
Total Overlapping Tax Increment Debt 3.16%
Total Direct Debt(3)
Ratios to Redevelopment Successor Agency Incremental Valuation ($291,565,589) Notes: (1) The percentage of overlapping debt applicable to the city is estimated using taxable assessed property value.

Applicable percentages were estimated by determining the portion of the overlapping district's assessed value that is within the boundaries of the city divided by the district's total taxable assessed value. (2) Defaulted principal amount. (3) The City of Tehachapi does not have general obligation debts supported by property tax. Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations.

Source: California Municipal Statistics; HdL
110

CITY OF TEHACHAPI

LEGAL DEBT MARGIN INFORMATION
Last Ten Fiscal Years
2012/13 2013/14 2014/15 2015/16
Assessed Valuation 570,676,154 $ 572,109,342 $ 601,058,762 $ 631,608,295 $ Debt Limit Percentage* 15% 15% 15% 15%
Debt Limit 85,601,423 85,816,401 90,158,814 94,741,244
Total Debt Applicable to Limit
General Obligation Bonds - - - -
Legal Debt Margin 85,601,423 $ 85,816,401 $ 90,158,814 $ 94,741,244 $ Total debt applicable to limit as a
percentage of debt limit 0% 0% 0% 0%
Notes: Section 4305 of the California Government Code provides that: "A city shall not incur an indebtedness for public improvements which exceeds in the aggregate 15% of the assessed value of all real and personal property of the city.

Within the meaning of this section 'indebtedness' means bonded indebtedness of the city payable from the proceeds of taxes upon taxable property in the city."
Source: HdL, Coren & Cone
111
2016/17 2017/18 2018/19 2019/20 2020/21 2021/22
$ 728,319,215 656,741,206 $ 741,782,560 $ 799,732,698 $ 846,381,664 $ 884,834,589 $ 15% 15% 15% 15% 15% 15%
98,511,181 109,247,882 111,267,384 119,959,905 126,957,250 132,725,188 - - - - - -
$ 98,511,181 $ 109,247,882 $ 111,267,384 $ 119,959,905 $ 126,957,250 $ 132,725,188 0% 0% 0% 0% 0% 0%
112

CITY OF TEHACHAPI

PLEDGED REVENUE COVERAGE
Last Ten Fiscal Years
Net
Fiscal Revenue Operating Available Debt Coverage
Year End Expenses Revenue Service Ratio
2013 5,009,096 $ 2,869,698 $ 2,139,398 $ 586,931 $ 3.65 2014 4,497,279 3,205,881 1,291,398 592,612 2.18
2015 3,952,522 3,432,627 519,895 396,585 1.31
2016 4,393,052 3,629,991 763,061 396,387 1.93
2017 5,287,544 3,758,052 1,529,492 395,711 3.87
2018 4,777,736 3,627,074 1,150,662 727,741 1.58
2019 6,086,790 4,233,930 1,852,860 766,762 2.42
2020 5,460,958 4,340,538 1,120,420 758,913 1.48
2021 5,337,415 4,724,072 613,343 152,195 4.03
2022 5,222,588 4,443,021 779,567 152,175 5.12
Water and Wastewater Fund Revenue Pledged Debt
Source: City of Tehachapi
113

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CITY OF TEHACHAPI

DEMOGRAPHIC AND ECONOMIC STATISTICS
Last Ten Fiscal Years
Fiscal Year Personal Per Capita
Ended Income Personal Unemployment Median
June 30 Population (1) (in Thousands) (2) Income (3) Rate (4) Age (5) 2012 13,313 $ 16,762 223,153 $ 7.6% 35.9
2013 13,346 219,315 16,433 7.1% 35.5
2014 13,286 224,029 16,862 8.0% 34.9
2015 12,217 229,557 18,789 7.8% 35.7
2016 12,280 188,549 15,354 7.9% 37.7
2017 12,299 212,293 17,260 6.7% 37.7
2018 13,668 223,930 16,383 4.8% 38.2
2019 12,758 241,077 18,896 5.1% 37.6
2020 12,008 254,868 21,224 9.5% 37.4
2021 12,375 272,265 22,001 11.7% 37.8
(1) Population: California State Department of Finance
(2) (3) (5) (6) & (7) Income, Age and Education Data: US Census Bureau, most recent American Community Survey
(4) Unemployment Data: California Employment Development Department
Sources: HdL, Coren & Cone
114
% of Population % of Population
Age 25+ with Age 25+ with
High School Degree (6) Bachelor's Degree (7)

73.8% 8.8%

72.9% 9.1%

73.8% 9.2%

74.1% 9.3%

75.6% 8.8%

75.1% 9.5%

75.5% 10.1%

78.3% 12.4%

77.2% 12.8%

80.2% 14.7%
115

CITY OF TEHACHAPI

PRINCIPAL EMPLOYERS
Current and Nine Years Ago
Employer
Number of
Employees Rank
Percentage of
Top 10
Employment
Number of
Employees Rank
Percentage of
Top 10
Employment
California Correctional Institution 1440 1 36%
Pearce Renewables 954 2 24%
Tehachapi Unified School District 454 3 11%
Adventist Health Tehachapi Valley 260 4 6%
Walmart 240 5 6%
Home Depot 150 6 4%
Albertson's 120 7 3%
Chemtool 115 8 3%
Waste Management 89 9 2%
Savemart 85 10 2%
Total Top 10 Employers 3907

FISCAL YEAR END
2022 2013
No data is available for the year
2013
Note: The total employment number in 2012/13 is not available.

Source: City of Tehachapi
116

CITY OF TEHACHAPI

FULL AND PART-TIME CITY EMPLOYEES FUNDED BY FUNCTION
Last Ten Fiscal Years
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Full-time / Function
Airport 2200000000
Comm Development 2221101111
Development Services 57767777 6.84 6.5
Fire 0000000000
General Government 10 11 11 11 11 11 12 11 12 11.46
Police 17 17 18 25 25 25 24 25 26.78 26
Public Works 10 11 11 10 10 10 13 14 10.48 13.51
Wastewater 5 4.5 4 3.5 3.5 3.5 3 3 3 3.07
Water 3 2.5 3 4.5 3.5 4.5 4444
Full-time Total 54 57 56 61 61 61 64 65 64.1 65.54
Part-time / Function
Airport 0 0 0 0.4 0000 0.92 0.93
Comm Development 1000000000
General Government 32224479 6.12 7.65
Police 3200012000
Public Works 6 0 0.68 2.24 4367 4.44 4.64
Wastewater 0 0 0.66 0.63 000000
Water 0 0 0.66 0.73 000000
Part-Time Total 13 4 4 6 8 8 15 16 11.48 13.22
GRAND TOTAL 67 61 60 67 69 69 79 81 75.58 78.76
Source: City of Tehachapi

FISCAL YEAR END
117

CITY OF TEHACHAPI

OPERATING INDICATORS BY FUNCTION
Last Ten Fiscal Years
2013 2014 2015 2016
Police
Calls for Service 6,793 6,711 7,026 6,445
Felony Arrests 297 232 173 170
Misdemeanor Arrests 682 602 524 491
Property Loss 589,000 $ 466,302 $ 384,994 $ 531,857 $
Property Recovered 226,800 $ 116,570 $ 148,698 $ 184,211 $ Traffic Citations 428 282 109 161
Traffic Accidents 116 111 94 50
Parking Citations 109 51 52 36
Wastewater
Max. Capacity Million Gallons per Day 1.25 1.25 1.25 1.25 Daily Avg Treated Wastewater Million Glns 0.94 0.86 0.83 0.81 Transit Dial-A-Ride
Ridership 5,929 5,663 7,057 5,243
Mileage 25,139 26,375 27,027 24,999
Days of Service 254 287 308 297
Cost per Rider 22.71 $ 32.38 $ 27.95 $ 38.81 $
Subsidized Cost per Rider 21.95 $ 31.59 $ 27.14 $ 37.90 $ Water
Water Pumping Capacity Acre-feet 2,369 2,247 1,911 1,995 Water Pumped Acre-feet 2,339 2,201 1,671 1,692
Water Sold Acre-Feet 1,806 1,724 1,495 1,264
* Due to change in reporting systems, this information is no longer available Source: City of Tehachapi

FISCAL YEAR END
118
2017 2018 2019 2020 2021 2022
6,321 6,916 7,415 8,782 7,494 8,659
302 181 243 221 282 170
441 439 549 413 496 314
$ 513,316 $ 358,163 $ 404,772 $ 588,101 650,688 $ N/A - * $ 137,815 $ 113,831 $ 178,232 $ 198,463 $ 108,287 N/A - * 167 170 175 86 92 100
102 83 116 111 104 95
123 107 260 264 128 97

1.25 1.25 1.25 1.25 1.25 1.25

0.80 0.78 0.75 0.73 0.66 0.72
4,637 6,368 5,730 4,385 3,338 3,351
22,921 18,331 18,867 15,007 11,862 11,128
305 307 304 308 302 303
$ 46.72 $ 41.23 $ 47.77 $ 59.47 $ 91.46 $ 71.65
$ 45.62 $ 40.13 $ 46.66 $ 58.27 $ 90.19 $ 70.46
1,945 1891 1847 1879 1993 2016
1,855 1935 1842 1888 2050 2090
1,568 1,664 1,664 1,648 1,835 1,854

FISCAL YEAR END
119

CITY OF TEHACHAPI

CAPITAL ASSETS BY FUNCTION
Last Ten Fiscal Years
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Water
Wells 7777777777
Storage Tanks 5555555555
Booster Pumps 3333333333
Transmission Lines (miles) 50 50 50 50 50 50 50 50 50 50 Fire Hydrants 512 512 512 512 512 512 512 512 512 512
Wastewater
Wastewater Treatment Plant 1111111111
Sewer Lift Station 1111111111
Recycled Water Pump Station 111111
Sanitary Sewer Lines (miles) 40 40 40 40 40 40 40 40 40 40 Airport
Runway (feet) 4035 4035 4035 4035 4035 4035 4035 4035 4035 4035 Fuel Station 1111111111
City-Owned Hangars 5556678899
Parks
Parks 7777777777
Public Works
Streets (lane miles) 159 159 162 162 162 162 162 162 162 162 Traffic Signals 2222344555
Police
Station 1111111111
General Government
City Hall 1111111111
Development Services Building 11111111
Visitor Center 111111
Source: City of Tehachapi

FISCAL YEAR END
120
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 Tehachapi
Tehachapi, 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 Tehachapi (the “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 December 27, 2022.

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) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinion 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 first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or, significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that were not identified.

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.

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 City’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

December 27, 2022
INDEPENDENT ACCOUNTANT’S REPORT ON AGREED-UPON PROCEDURES

APPLIED TO APPROPRIATIONS LIMIT WORKSHEETS
City Council
City of Tehachapi
Tehachapi, California
We have performed procedures enumerated below to be the accompanying Appropriations Limit worksheet of the City of Tehachapi, for the year ended June 30, 2022. These procedures, which were agreed to by the City of Tehachapi 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 or 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.

Finding: 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.

Finding: 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.

Finding: No exceptions were noted as a result of our procedures.

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.

Finding: 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 Tehachapi 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.

December 27, 2022

CITY OF TEHACHAPI

APPROPRIATIONS LIMIT COMPUTATION
2021 - 2022
2021 - 2022
Change in Per Capita Personal Income 5.73%
Population Change
County Population Growth 0.65%
A. Change in Per Capita Personal Income Converted to a Ratio 1.0573 B. Population Growth Converted to a Ratio 1.0065
Calculation of Growth Factor (A x B) 1.06417
2020 - 2021 Appropriations Limit 14,253,213 $
2021 - 2022 Appropriations Limit
($14,253,213 x 1.06417) 15,167,842 $
December 27, 2022
City Council
City of Tehachapi
Tehachapi, 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 Tehachapi for the year ended June 30, 2022. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance, 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 April 19, 2022. 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 accounting policies were adopted and the application of existing policies was not changed during the fiscal year ended June 30, 2022, except for the implementation of GASB Statement No. 87, Leases. 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.

Management’s estimate of capital assets depreciation is based on historical estimates of each capitalized item’s useful life. We evaluated 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 to develop the net pension liability in determining that it is 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 A to the financial statements represents amounts susceptible to market fluctuation.

The disclosure of accumulated depreciation in Note 2 C to the financial statements is based on estimated useful lives which could differ from actual useful lives of each capitalized item.

The disclosure of the net pension liability in Note 3 B to the financial statements is based on the City’s proportionate share of the total pension liability of the pool and includes assumptions for discount rates, which could differ from actual discount rates. Note 3 B discloses the differences in the net pension liability assuming different discount rates.

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. Management has corrected all such misstatements. In addition, none of the misstatements detected as a result of audit procedures and corrected by management 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.
2 Management Representations
We have requested certain representations from management that are included in the management representation letter dated December 27, 2022.

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 management’s discussion and analysis and the schedules listed as required supplementary information in the table of contents, 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 the 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 section, 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.
3 Restriction on Use
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,
4 CITY OF

TE HACHAPI
CALIFORI*IA

COUNCIL REPORTS
MEETING DATE: MARCH 6,2023 AGENDASECTION: FINANCE

DEPARTMENT H

APPROVED
CITY

HONORABLE MAYOR DAVIES AND COUNCIL MEMBERS
FROM: HAMED JONES, FINANCE DIRECTOR
DATE: FEBRUARY 28,2023
SUBJECT: PUBLIC HEARING AND PROPOSED RESOLUTION DEALING WITH TRANSIT NEEDS

WITHIN THE CIW

BACKGROUND
As part of the annual Public Transit Claim for Transportation Development Act (TDA) funds, it is necessary to conduct a public hearing to receive public testimony concerning the transit needs within the City.

The City of Tehachapi provides a Dial-A-Ride transit service through Kern Regional Transit. Utilizing two buses, the current transit service operating hours are as follows:

Monday through Friday: 05:45 am to 07:00 pm
Saturday. 07:30 am to 11.30 am
01:30 pm to 05:30 pm
The Dial-A-Ride services are available within the city limits of Tehachapi as well as between the city and certain areas of the County. The current one-way fares are as listed below:

General Public
Disabled
Children 4 and under
$2.00 Seniors (62 and over) $1.00 $1.00 Youth (5 - 15) $1.00 Free
When comparing the fiscal year (FY) 2021122 operations to FY 2020121, ridership increased 0.4% whereas the total costs decreased 21%. Contracted service costs through Kern Transit decreased significantly as a result of Kern County reassessing the billing and allocation rates for Tehachapi's DialA-Ride. Although ridership rebounded slightly to 3,350 in FY 2021122, it continued to be significantly impacted by the Covid-19 pandemic down from a pre-pandemic total of 5,729 in FY 2018119.

TDA requires the City to meet a 10o/o farebox ratio (ratio of farebox revenue to total expense) in order for the City to receive transit funds. Attaining the 10% ratio has been a continuing issue for the City's Dial-A-Ride transit operation and FY 2021122 was no exception. However, because of Covid-19, the TO:

State of California suspended the usual farebox ratio requirements. The farebox ratio generated directly from ridersin2021t22was 1.7% and the Citywas able to utilize $20,002 in Coronavirus Response and Relief Supplemental Appropriation Act (CRRSAA) funding to meet the 10% requirement. By meeting the required ratio, the City is eligible to receive up to $690,863 in FY 2022123 from the Local Transportation Fund (LTF) and State Transit Assistance Fund (STAF). ln continuing attempts to improve the farebox ratio, the City has promoted the transit service and informed residents about Tehachapi Dial-A-Ride by communicating through the water bill, on the lobby TVs, in digital ads in The Loop, and through social media advertising in both English and Spanish.

Transit service information is also posted on the City's officialwebsite.

The City is required to adopt a resolution annually proving that "there are no areas within the Gity with unmet public transit needs which coutd be reasonably met by expansion of the existing system or establishment of a new system" in order to received TDA Article 4 and Article 8 funds.

T-his resolution also authorizes the City Manager to execute and file claims for TDA apportionment and allocations for FY 2023t24. The public hearing notice was published in the Tehachapi News on January 19,2023.

RECOMM DATION
Adopt the Resolution finding that there are no unmet transit needs that are reasonable to meet within the City.

Page2 of 2

FISCAL IMPACT
This resolution allows the City to file for TDA funds that are used both for transit needs and our public roads. The funding information for FY 2023124 is not available at this point.

Month Days of Service Ooeratinq Hours Ridership Mileage Contract Service County County Countv County County County
Juty 192.63 273.00 762.70 327.60 13 416.00
Auqust 26 188.75 298.00 937.24 360.48 12.624.10
Seotember 25 180.88 291.50 1069.2'1 340.38 12,747.91
October 26 184.75 256.00 960.73 319.53 12.347.74
November 1 80.88 251.50 833.83 294.43 1 2.385.88
December 21 153.38 195.50 523.67 238.33 1 1.554.67
January 25 169.54 250.50 831.97 '166 40 13.024.89
February 24 '162.16 239.00 863.49 308.85 12,603.16
March 184.29 308.00 1 1 13.00 382.63 '14.249.55
April 26 173.20 286.00 953.64 344.15 13.787.46
May 25 '169.54 368.50 't't57.11 476.38 14.080.00
Jun€ 26 143.75 333.00 '1120.95 445 23 12 044 64
Total 303 2.083.8 3,350.5 11,'t27 .5 s4.004.49 $1 54.866.1 0 Averaoe 25.25 1 73.65 279 927.30 $ 333.71 12,905.51
Davs Der Month Operatinq Hrs per Mo. Passengers per Month Miles per Month Avo Fairbox Revenue/Mo. Avo. Expense/ Mo.

City of TehachaPi
Tehachapi Dial-A-Ride from July 1, 2021 through June 30,2022 RIDERSHIP: Gity Only
Total Cosl 2021122 vs 2O2Ol21: 0.00%
Ridership 2021 122 vs 2020121
Total Cost per Ridet 2o21l22vs 2o2ol21
Contract Cost 2021 122 vs 2O2Ol21
't00.37%

78.34o/o

69.06%
Total Cost per Rider: $
Subsidized Cosl per Rider: $
Contract Cost per Rider: $
Subsidized Conlracl Cost per Rider: $
2021t22

71.65 $

70.46 $

46.22 $

45.03 $
2020121

91.46 90.1 9

67.18 65.91
Gontract Cost
Fare Box Ralio without GF subsidy:

Fare Box Ratio with GF subsidy:
'l.670/o
N/A

1.39Vo
N/A
General Public SeniorrDlsabled/Youth Aqe 4&under Total
Cash
Tickets/
Passes Cash
Tickets/
Passes Non Paying Riders
July 66.0 11 .5 161 .5 4.5 273.O
298.0
291.5
256.0
251.5
195.5
250,5
239.0
308.0
286.0
368.5
333.0
August 76.0 11.5 173.0 31.5 6.0
September 61.5 14.5 168.0 44.5 3.0
October 74.O 13.5 133.5 32.0 3.0
November 60.0 13.5 125.O 51.0 2.O
December 51.0 14.0 99.5 28.5 2.5
January 75.5 13.5 137.5 18.0 6.0
February 79.0 10.5 '122.O 26.O 1.5
March 84.5 11.0 188.5 20.0 4.O
ADril 69.5 29.0 149.5 36.0 2.O
iilay 99.0 32.5 23',1.5 3.0
June '106.0 38.0 172.5 14.0 2.5
Total 902 2',13 1.862 334 40 3,350.5
1,115 2,196 40
Percentage 33o/o 66% ,|oh
Deorectn
Total
National Erp Storaoe Fuel Maint Natl Erp Adm covid-19 Clninq Sup 735.59 '13.416.00 July 6.514.58 s59.27 102.50 1.325.92 291.23 3,399.1 4 87 .77 Auqust 6,383.53 939.98 102.50 1.224.79 (28.78) 3,457.57 ao.77 463.74 12,624.10

1.429.86 218.13 3.485.43 85.71 408.34 12.747.91 September 6,1 17.18 900.76 102.50 October 6.248.25 920.05 102.50 1,079.34 193.07 3./+40.54 76.15 2A7.A4 12,347.74 November 6.1 1 7.1 I 900.75 102.50 927.74 161.20 3,481.17 232.65 462.68 12,385.88 '11,554.67 December 5,187.13 763.81 102.50 988.42 102.73 3.504.78 220.72 7.53 677.05 417.06 1 02.50 918.72 37.73 4,436.55 1 60.1 7 655.63 1 3,024.89 January 6,296.53 February 6,022.62 398.91 102.50 1,040.12 1 1 1.39 4,243.55 47.25 636.82 1 2,603.1 6 lvl 102.50 1.403.63 61.95 4.503.49 131.62 748.78 14.249.65 arch 6,844.34 453.34 April 6.432.65 426.O7 1 02.50 't.517.73 157.21 4,505.99 65.85 579.46 13.747.46 May 6,296.53 417.O5 102.50 1,899.67 1 10.58 4,45'1.98 60.41 741.24 14,080.00 5,338.69 353.61 102.50 883.02 128.29 4,367.18 216.77 654.58 12.O44.64 June @ ET 154,866.10 General Fund Subsidy: $ 2021l22Total Expense: $ 240,065.30 Citv Citv fltu Citv Citv CIfu
27 1q2 53 273 0n 762.70 327.60 13 416 00
)6 188 75 2S8.00 947 )A 360 48
25 180.88 291 5n 1 069 21 340.38 12 7t7 91
26 144 75 256 00 960.73 31q 63 12 347 71
25 '180 88 251 qn 833 83 294 43 "
?45 TA
21 153.38 1C5 50 523.67 238.33 11 q5rA7
16C 54 250 50 83'1.97 166 an 13 0?4 89
tt 1 62.16 21q On 863 4C 308 85 12.603.16
27 184.29 304 00 '1113.00 382.63 1t )49 65
?B 1732lJ 286.00 q53 Ad 344 15
25 169.54 sA 50 1157 11 476.38 1l nan no
2A 1ta75 333 00 lrrn qq 445 )a 1) n44 64
1nq ?ng3R 33505 g4 004 4q s154 AA6 10

25.25 1 73 ti5 279 927.30
7 450 66 't 230 00 14 638 96 'l 54473 47 .277.37 754

CITY OF

TEHACTIAPI

LEGAL DEPARTMENT
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

TEHACHAPI FINDING THATTHERE ARE NO UNMETTRANSIT
NEEDS THAT ARE REASONABLE TO MEET WlTHlN THE CIW.

WHEREAS, the City of Tehachapi City Council conducted a public hearing on Monday, March 6,2023, to consider possible unmet transit needs within the City, and; WHEREAS, the City of Tehachapi currently provides public transportation service within the City of Tehachapi, and;
WHEREAS, the objectives of providing the public transportation system are to meet the public need for limited cost transportation, to serve the mobility limited population, and to provide an alternative to private vehicle transportation.

NOW, THEREFORE, BE lT RESOLVED by the City of Tehachapi City Council that, after holding a duly advertised public hearing and receiving public testimony, it finds there are no areas within the City with unmet public transit needs which could be reasonably met by expansion of the existing system or establishment of a new system.

BE lT FURTHER RESOLVED, that a copy of this resolution be transmitted to the Kern County Council of Governments in conjunction with the filing of claims for Transportation Development Act Funds for Fiscal Year 2023-24 and that the City Manager is authorized to execute said claims.

PASSED AND ADOPTED by the City Council of the City of Tehachapi this 6th day of March, 2023.

CITYOF

TEHACHAPI

LEGAL DEPARTMENT
AYES:

NOES:

ABSENT
ABSTAIN:

MICHAEL DAVIES, MAYOR
City of Tehachapi, California
ATTEST:

TORI MARSH, CITY CLERK
City of Tehachapi, California
I hereby certify that the foregoing resolution was duly and regularly adopted by the City Council of the City of Tehachapi at a regular meeting thereof held on March 6, 2023

TORI MARSH, CITY CLERK
City of Tehachapi, California

CITY OF

TE HACHAPI

CALIFORNIA

COUNCIL REPORTS
MEETING DATE: MARCH 6,2023 AGENDA SECTION: FINANCE

APPROVED

DEPARTMENT

CITY MANAGE

TO HONORABLE MAYOR DAVIES AND COUNCIL MEMBERS
FROM: HAMED JONES, FINANCE DIRECTOR
DATE: FEBRUARY 28,2023
SUBJECT: COMMITTED FUND BALANCE FOR FY 2022.23

BACKGROUND
ln February 2009, the Governmental Accounting Standards Board issued its Statement No. 54 (GASB 54), Fund Balance Reporting and Governmental Fund Type Definitions.

The objective of this statement is to improve financial reporting and to help with understanding the fund balance by presenting the fund balance in five new components.

The five new components are: Non-spendable Fund Balance, Restricted Fund Balance, Committed Fund Balance, Assigned Fund Balance and Unassigned Fund Balance. ln order to comply with GASB 54 requirements, the City adopted a Fund Balance Policy ("Policy") on June 20, 2011, which requires Council to approve the Committed Fund Balance on an annual basis by adopting a resolution. Since then, two amendments were made to the original resolution 28-11. The Committed Fund Balance is dedicated for the purpose of emergency contingency and is calculated as follows:
"The General Fund Emergency Contingency Fund is calculated using the prior fiscal year General Fund total expenditures. From the total expenditures, subtract the following expenses:

1. total capital project costs,

2. total operating transfers out, and

3. expenses reimbursed bY grants
Then the difference is divided by 12 months and then multiplied by 2 months." The resolution is the City Council's formal commitment of an amount of fund balance to be set aside specifically for emergency contingencies defined as a state or federal state of emergency or declaration of a local emergency. The amount is set at $1,346,099 for fiscal year 2022-23. lt should be noted that this amount and/or commitment may be changed with the adoption of a new resolution by the council.

FISCAL IMPACT
None.

RECOMMENDATION
Adopt a resolution establishing the Committed Fund Balance at $1,346,099 for fiscal year 2022-23 and repealing Resolution No. 14-22.

Page 2 of 2 ends

Tehachapi City CouncilMarch 6, 2023

Tehachapi City Council
March 6, 2023