Ukiah City Council
March 5, 2025

For the fiscal year ended June 30, 2024, the City’s major funds were as follows:

GOVERNMENTAL FUNDS:
• General Fund
• Streets Capital Projects (accounts principally for Measure Y uses) • General Capital Projects
• Pension Debt Service
PROPRIETARY FUNDS:
• Landfill (closure and post-closure)
• Electric Enterprise
• Water Enterprise
• Wastewater Enterprise
The City’s enterprise funds are reported as proprietary funds. Enterprise fund financial statements are prepared on the full-accrual basis, and include all their assets and liabilities, both current and long-term.

The City adopts an annual appropriated budget for all governmental and proprietary funds. Budgetary comparison statements for the General Fund and all major governmental funds are presented as required supplementary information (RSI), as required by GASB 34. Proprietary budget comparison statements are not required or presented.

Fiduciary Statements
The City’s fiduciary activities are reported in the separate Statement of Fiduciary Net Position. These activities are excluded from the City’s other financial statements because the City cannot use these assets to finance its own operations. The City maintains two fund types in this category: custodial and private purpose trust funds. These funds include resources held by the City on behalf of the Ukiah Valley Sanitation District, The Russian River Watershed Association, the Mendocino Solids Waste Management Authority (MSWMA), and the Ukiah Valley Fire District and the Ukiah Redevelopment Successor Agency. They provide information about the cash balances and activities of these funds accounted for on an economic resources measurement focus and full accrual basis of accounting. In its presentation of these statements, the City has adopted the provisions of GASB 84: Fiduciary Activities.

Notes to the Financial Statements
The notes provide additional information that is essential to a full understanding of the data provided in the Government-wide and Fund Financial Statements. The notes to the basic financial statements can be found following the basic financial statement presentation of this report.

Other Supplementary Information
In addition to the basic financial statements and the accompanying notes, this report also presents combined statements, which illustrate the condition and activities of all non-major funds. The combining statements referred to earlier in connection with non-major governmental funds are presented immediately following the notes to the financial statements. Combining and individual fund statements can be found subsequent to the notes section of this report.
8 Attachment 1

GOVERNMENT-WIDE FINANCIAL ANALYSIS

NET POSITION
The City of Ukiah’s government-wide financial statements provide a comprehensive view of its overall financial health as of June 30, 2024. The following analysis highlights changes in net position for governmental and businesstype activities:

Governmental Activities
• Net Position: The net position of governmental activities decreased slightly by $445,488 (in part due to a restatement for error correction) ending at $59.82 million in 2024 compared to $60.27 million in 2023. • Total Assets: Total assets for governmental activities grew by $1.47 million to $140.79 million, primarily due to an increase in capital assets to $74.83 million, reflecting ongoing infrastructure investments. • Liabilities: Total liabilities increased by $3.43 million, from $87.82 million in 2023 to $91.25 million in 2024. The rise reflects adjustments in long-term liabilities, including pension and other obligations. • Net Investment in Capital Assets: Increased by $832,339, reaching $57.85 million, driven by continued infrastructure improvements.
• Unrestricted Net Position: Decreased to $(40.62 million), reflecting the impact of the City’s long-term obligations, most notably its pension obligations.

Business-Type Activities
• Net Position: The net position of business-type activities increased significantly by $37.79 million (in part due to a restatement for error correction), ending at $148.94 million in 2024 compared to $111.15 million in 2023. This increase is attributed to robust revenue generation and capital investments. • Total Assets: Total assets increased by $41.57 million, from $220.08 million in 2023 to $261.66 million in 2024. The rise was driven by infrastructure investments, particularly in the Water and Electric funds, with net capital assets reaching $221.78 million.
• Liabilities: Total liabilities increased modestly by $2.14 million to $115.54 million, reflecting debt service on capital projects and adjustments in pension-related liabilities. 2024 2023 2024 2023 2024 2023
Current and other assets $ 65,967,706 $ 67,782,084 $ 39,877,811 $ 38,259,828 $ 105,845,517 $ 106,041,912 Capital assets(net) 74,825,422 71,542,525 221,779,856 181,824,010 296,605,278 253,366,535 Total assets 140,793,128 139,324,609 261,657,667 220,083,838 402,450,795 359,408,447 Deferred outflows of resources 16,395,423 18,804,317 3,081,900 5,023,335 19,477,323 23,827,652 Total assets and deferred outflows of resources $ 157,188,551 $ 158,128,926 $ 264,739,567 $ 225,107,173 $ 421,928,118 $ 383,236,099 Current and other liabilities $ 7,482,818 $ 8,622,182 $ 8,432,107 $ 6,291,551 $ 15,914,925 $ 14,913,733 Long-term liabilities 83,770,596 79,201,940 107,109,274 107,113,007 190,879,870 186,314,947 Total liabilities 91,253,414 87,824,122 115,541,381 113,404,558 206,794,795 201,228,680 Deferred inflows of resources 6,111,998 10,036,177 260,503 556,427 6,372,501 10,592,604 Total Liability and deferred inflows of resources $ 97,365,412 $ 97,860,299 $ 115,801,884 $ 113,960,985 $ 213,167,296 $ 211,821,284

NET POSITION
Net investment in capital assets $ 57,847,372 $ 57,015,033 $ 161,367,208 $ 126,323,676 $ 219,214,580 $ 183,338,709 Restricted 42,596,682 42,596,682 876,480 794,192 43,473,162 43,390,874 Unrestricted (40,620,915) (39,343,088) (13,306,005) (15,971,680) (53,926,920) (55,314,768) Total net position $ 59,823,139 $ 60,268,627 $ 148,937,683 $ 111,146,188 $ 208,760,822 $ 171,414,815 Governmental Activities Business-type Activities Total
City of Ukiah, California
Net Position
June 30, 2023 and 2024
9 Attachment 1

• Net Investment in Capital Assets: Grew substantially by $35.04 million, ending at $161.37 million, reflecting significant contributions to infrastructure, including the Recycled Water Project Phase 4.

Overall Financial Position
• Total Net Position: The City’s total net position increased by $38.12 million, from $171.41 million in 2023 to $208.76 million in 2024, reflecting strong financial management and investment in long-term assets. • Total Assets: Grew by $43.04 million, reaching $402.45 million in 2024, driven by infrastructure additions across governmental and business-type activities.
• Liabilities and Deferred Inflows: Combined liabilities and deferred inflows increased by $1.35 million, ending at $213.17 million in 2024, due principally to adjustments in pension liabilities and landfill closure costs.

Key Takeaways

1. Robust Growth in Business-Type Activities: A substantial increase in net position reflects strong revenues, particularly from charges for services and capital grants, and significant infrastructure investments.

2. Stable Governmental Activities: Despite a slight decrease in net position, governmental activities benefited from continued infrastructure growth, partially offset by increases in liabilities.

3. Strong Overall Financial Health: The City’s overall net position growth underscores prudent financial management and a sustained focus on capital investments to support community and utility needs. [THIS AREA LEFT BLANK INTENTIONALLY]
10 Attachment 1

GOVERNMENTAL ACTIVITIES
Revenues
For the fiscal year ending June 30, 2024, total revenues for governmental activities amounted to $36.16 million.

Below is the breakdown of revenues by source:
• Charges for Services: Generated $6.64 million, representing 18.35% of total revenues. This category reflects fees for recreational programs, public works services, and other City-provided services. • Operating Grants and Contributions: Contributed $5.32 million (14.70%), reflecting successful efforts to secure funding for ongoing programs and services.
• Capital Grants and Contributions: Amounted to $1.98 million (5.48%), reflecting grants and subventions primarily for infrastructure improvements.
2024 2023 2024 2023 2024 2023

REVENUES
Program revenues:

Charges for Services $ 6,636,393 $ 6,398,932 $ 45,161,614 $ 40,724,604 $ 51,798,007 $ 47,123,536 Operating Grants and Contributions 5,317,289 6,040,597 1,816,385 1,659,916 7,133,674 7,700,513 Capital Grants and Contributions 1,980,842 1,884,763 36,912,950 5,077,674 38,893,792 6,962,437 General revenues:

Taxes 19,078,432 19,351,489 17,515 18,043 19,095,947 19,369,532 Franchise fees 2,307,901 2,197,540 - - 2,307,901 2,197,540 Use of money and property 553,104 227,389 811,963 287,566 1,365,067 514,955 Other revenue 286,078 233,241 322,302 1,073,603 608,380 1,306,844 Total revenues 36,160,039 36,333,951 85,042,729 48,841,406 121,202,768 85,175,357

EXPENSES
Governmental activities:

General government 4,690,322 5,701,815 - - 4,690,322 5,701,815 Public safety 13,937,325 13,937,176 - - 13,937,325 13,937,176 Housing and community development 1,926,206 1,556,452 - - 1,926,206 1,556,452 Public works 3,305,509 3,728,734 - - 3,305,509 3,728,734 Parks, buildings, and grounds 2,274,407 2,073,670 - - 2,274,407 2,073,670 Recreation and culture 5,801,543 4,743,205 - - 5,801,543 4,743,205 Economic development and redevelopment 207,310 310,065 - - 207,310 310,065 Interest on long-term debt 3,479,002 1,321,028 - - 3,479,002 1,321,028 Business-type activities:

Parking District - - 125,590 117,417 125,590 117,417
Landfill - - 1,630,530 2,143,903 1,630,530 2,143,903
Ambulance Services - - 1,860,404 1,242,793 1,860,404 1,242,793 Golf - - 228,916 229,507 228,916 229,507
Conference Center - - 557,924 523,678 557,924 523,678
Airport - - 1,926,596 1,626,400 1,926,596 1,626,400
Electric - - 23,062,949 25,490,865 23,062,949 25,490,865 Street Lighting - - 157,324 189,463 157,324 189,463
Water - - 8,438,575 9,119,878 8,438,575 9,119,878
Wastewater - - 9,471,702 8,497,211 9,471,702 8,497,211
Total expenses 35,621,624 33,372,145 47,460,510 49,181,115 83,082,134 82,553,260 Change in net position before special items and trans 538,415 2,961,806 37,582,219 (339,709) 38,120,634 2,622,097 Transfers (836,695) (577,591) 836,695 577,591 - -
Change in net position (298,280) 2,384,215 38,418,914 237,882 38,120,634 2,622,097 Net position - beginning, as previously reported 60,268,627 57,884,412 111,146,188 110,908,306 171,414,815 168,792,718 Restatement for correction of an error (147,208) - (627,419) - - Net position - beginning, as restated 60,121,419 57,884,412 110,518,769 110,908,306 170,640,188 168,792,718 Total net position - ending $ 59,823,139 $ 60,268,627 $ 148,937,683 $ 111,146,188 $ 208,760,822 $ 171,414,815 City of Ukiah
Comparative Changes in Net Position
June 30, 2023 and 2024
Governmental Activities Business-type Activities Total
11 Attachment 1

• Taxes:
o Sales Tax: Generated $13.27 million (36.69%), reflecting consistent consumer activity and economic stability within the City.
o Property Tax: Contributed $4.03 million (11.14%), reflecting stable growth in assessed property values.
o Franchise Fees: Represented the largest single revenue source at $2.31 million (6.38%), highlighting the importance of agreements with utilities and service providers. • Transient Occupancy Taxes: Generated $1.26 million (3.49%), driven by steady tourism activity and an active hospitality sector.
• Business Licenses: Contributed $519,782 (1.44%), reflecting stable activity within the local business sector. • Use of Money and Property: Added $553,104 (1.53%), reflecting investment earnings and rental income from City-owned properties.
• Other Revenues: Accounted for $286,075 (0.79%), which includes miscellaneous sources of income.

Revenues Source Revenue % of Total
Charges for Services $ 6,636,393 18.35%
Operating Grants and Contributions 5,317,289 14.70%
Capital Grants and Contributions 1,980,842 5.48%
Property tax 4,028,252 11.14%
Sales tax 13,268,292 36.69%
Franchises 2,307,901 6.38%
Transient occupancy 1,261,431 3.49%
Business license 519,782 1.44%
Other taxes 675 0.00%
Use of money and property 553,104 1.53%
Other revenue 286,075 0.79%
Total $ 36,160,036 100.00%
City of Ukiah
Revenues by Source
Governmental Activities
For the Year Ended June 30, 2024
12 Attachment 1

Expenses
Total expenses for governmental activities were $35.62 million, with the following highlights:
• Public Safety: The largest functional expense, totaling $13.94 million (39.13%), reflecting investments in law enforcement, fire services, and emergency management. • Recreation and Culture: Expenses were $5.80 million (16.29%), showcasing the City's commitment to maintaining parks and recreational facilities.
• Public Works: Expenditures totaled $3.31 million (9.28%), including street maintenance and transportation projects.

Net Program Revenue
Net Program Revenue (Expense): Overall, governmental activities incurred a net expense of $(21.69 million) after program revenues, demonstrating reliance on general revenues like taxes and grants to fund core services. 13 Attachment 1

Key Trends

1. Tax revenues, albeit lower than estimated for the year, remained stable year-over-year, ensuring consistent funding for essential services.

2. Program revenues increased modestly due to higher charges for services and grant funding.

3. Expenses decreased slightly from the prior year, reflecting controlled costs in public works and general government functions.

Functions/Programs Expenses % of Total
Program
Revenues % of Total
Net (Expense)
Revenue
General government $ 4,690,322 13.17% 278,300 $ 2.00% $ (4,412,022) Public safety 13,937,325 39.13% 3,662,670 26.28% (10,274,655) Housing and community development 1,926,206 5.41% 1,990,691 14.29% 64,485 Public works 3,305,509 9.28% 3,383,869 24.28% 78,360
Parks, buildings, and grounds 2,274,407 6.38% 140,781 1.01% (2,133,626) Recreation and culture 5,801,543 16.29% 4,181,626 30.01% (1,619,917) Economic development and redevelopment 207,310 0.58% 296,587 2.13% 89,277 Interest on long-term debt 3,479,002 9.77% - 0.00% (3,479,002) Total $ 35,621,624 100.01% 13,934,524 $ 100.00% (21,687,100) $ City of Ukiah
Expenses and Program Revenues
Governmental Activities
June 30, 2024
14 Attachment 1

BUSINESS-TYPE ACTIVITIES
Revenues
Business-type activities generated total revenues of $85.04 million, with significant contributions from:
• Charges for Services: These accounted for $45.16 million (53.10%), reflecting stable utility revenues across water, wastewater, and electric services.
• Capital Grants and Contributions: The largest single source of revenue at $36.91 million (43.41%), primarily driven by infrastructure funding related to the Recycled Water Project Phase 4 and other utility enhancements.
• Other Revenues: Operating grants and contributions added $1.82 million (2.14%), while smaller sources like use of money and property generated $811,963.

Revenues Source Revenue % of Total
Charges for Services $ 45,161,614 53.10%
Operating Grants and Contributions 1,816,385 2.14%
Capital Grants and Contributions 36,912,950 43.41%
Taxes 17,515 0.02%
Use of money and property 811,963 0.95%
Other revenue 322,308 0.38%
Total $ 85,042,735 100.00%
City of Ukiah
Revenues by Source
Business-Type Activities
For the Year Ended June 30, 2024
15 Attachment 1

Expenses
Total expenses for business-type activities were $47.46 million, distributed across key utilities and enterprise operations:
• Electric Utility: The largest expense category at $23.06 million (48.59%), reflecting power purchase costs and system maintenance.
• Water and Wastewater Utilities: Combined expenses totaled $17.91 million (37.74%), driven by system upgrades and regulatory compliance.
• Other Enterprises: Smaller enterprise funds, including the landfill, conference center, golf, and airport, accounted for the remainder of business-type activity expenses.

Net Program Revenue
Net program revenue for business-type activities was $36.43 million, demonstrating the strong financial performance of utility operations. The net surplus primarily reflects capital contributions and efficient cost management in key enterprise funds.
16 Attachment 1

Key Trends

1. Charges for services remained stable, reflecting consistent utility rate adjustments to meet rising costs, notably from significant inflation.

2. Significant growth in capital grants and contributions highlights the City’s ability to secure external funding for critical infrastructure projects.

3. Expenses increased slightly year-over-year, reflecting investments in system enhancements and utility maintenance.

Business-type Activities Expenses % of Total
Program
Revenues % of Total
Net (Expense)
Revenue
Parking District $ 125,590 0.26% 113,471 $ 0.14% (12,119) $ Landfill 1,630,530 3.44% 632,710 0.75% (997,820)
Ambulance Services 1,860,404 3.92% 1,352,623 1.61% (507,781) Golf 228,916 0.48% 40,000 0.05% (188,916)
Conference Center 557,924 1.18% 371,939 0.44% (185,985) Airport 1,926,596 4.06% 3,989,153 4.76% 2,062,557
Electric 23,062,949 48.59% 29,510,413 35.18% 6,447,464
Street Lighting 157,324 0.33% 191,340 0.23% 34,016
Water 8,438,575 17.78% 37,083,680 44.20% 28,645,105
Wastewater 9,471,702 19.96% 10,605,620 12.64% 1,133,918 Total $ 47,460,510 100.00% 83,890,949 $ 100.00% 36,430,439 $ City of Ukiah
Expenses and Program Revenues
Business-Type Activities
June 30, 2024
17 Attachment 1

Overall Analysis
The City of Ukiah’s financial position strengthened in fiscal year 2024, with strong performance in both governmental and business-type activities. Key highlights include:
• Governmental activities continued to rely on taxes and grant funding to offset net program expenses, maintaining core services and infrastructure.
• Business-type activities achieved substantial growth, driven by infrastructure investment and efficient utility operations.

FINANCIAL ANALYSIS OF THE GOVERNMENT’S FUNDS

GENERAL FUND
The General Fund is the City of Ukiah’s primary operating fund and serves as a key indicator of fiscal health. For fiscal year 2024, the General Fund reported an ending fund balance of $11.52 million, reflecting a net decrease of $572,182 from the prior year. The decrease is primarily attributable to lower than estimated tax and grant revenues, offset partially by transfers in.

Revenues
• General Fund revenues totaled $30.50 million, which was $2.61 million below the final budget estimate of $33.11 million. Key revenue highlights include:
• Taxes:
o Sales tax contributed $13.27 million, which fell short of the budget by $939,663, reflecting slowerthan-anticipated economic activity. o Property tax generated $4.03 million, exceeding budget estimates by $88,996 due to stable growth in assessed values.
• Charges for Services: Revenues totaled $5.29 million, falling short of budget by $352,924, reflecting reduced activity in fee-based services.
18 Attachment 1

• Grants, Contributions, and Subventions: This category generated $3.15 million, falling $1.26 million below budget estimates, due to delays in completing certain grant projects.

Expenditures
General Fund expenditures totaled $29.57 million, which was $1.13 million below the final budget of $30.69 million.

Key expenditure highlights include:
• Public Safety: The largest expense category, comprised of police and fire services, at $17.51 million, exceeded budget by $340,642, driven by overtime and unanticipated operational costs. • Public Works: Total expenditures were $1.05 million, reflecting cost-saving measures, with actuals falling below budget by $108,838.
• General Government: Expenditures totaled $179,978, significantly below the budgeted $592,957, reflecting deferred spending or savings in administrative functions.

Transfers and Other Financing Sources
Transfers into the General Fund were $1.64 million, coming from remaining American Rescue Act funding to offset part of general revenue shortfalls. Transfers out were from Measure Y amounts transferred to a capital project fund after applicable expenditures were funded in the general fund. The net transfer activity reflects a planned use of interfund resources for operational stability.

MAJOR GOVERNMENTAL FUNDS
Streets Capital Improvements Fund
This fund reported an ending deficit fund balance of $2.25 million, reflecting ongoing investments in street infrastructure projects. Total revenues for the fund were $1.58 million, primarily from grants and contributions.

Expenditures totaled $6.25 million, significantly exceeding revenues, consistent with planned infrastructure investments.

General Capital Projects Fund
The General Capital Projects Fund reported an ending fund balance of $3.47 million, reflecting restricted resources for future capital expenditures. Revenues were modest, at $73,249, with total expenditures of $2.24 million, largely for public works and recreation projects.

Pension Debt Service Fund
The Pension Debt Service Fund reported a fund balance of $4.38 million, consistent with the prior year. Total expenditures were $1.99 million, primarily for principal and interest payments on pension-related debt.

Nonmajor Governmental Funds
Nonmajor governmental funds reported a combined ending fund balance of $20.99 million, reflecting stable performance across a variety of special revenue and debt service funds. These funds are critical for targeted activities, such as housing, environmental cleanup, and recreation.

KEY INSIGHTS

1. General Fund Resilience: Despite revenue shortfalls, the General Fund maintained a strong ending fund balance of $11.52 million, reflecting careful expenditure management and strategic use of transfers.

2. Capital Investments: Significant resources were allocated to infrastructure projects through the Streets Capital Improvements and General Capital Projects funds, underscoring the City’s focus on long-term development.

3. Debt Service Management: The Pension Debt Service Fund continued to meet its obligations, maintaining a stable fund balance for future debt payments.
19 Attachment 1

ENTERPRISE FUNDS
The City of Ukiah’s enterprise funds, including the Landfill, Electric, Water, and Wastewater funds, are crucial to delivering essential services. Each fund operates as a business, with revenues primarily derived from charges for services. Below is the detailed analysis for fiscal year 2024.

Landfill Fund
• Net Position: The Landfill Fund ended the fiscal year with a negative net position of $(11.11 million), reflecting the impact of significant noncurrent liabilities, including landfill closure and post-closure obligations of $21.94 million.
• Operating Revenues: Generated $632,710, primarily from charges for services of $609,091. • Operating Expenses: Totaled $1.61 million, including maintenance and operations costs of $1.47 million and depreciation of $15,002, resulting in an operating loss of $(979,362). • Nonoperating Revenues (Expenses): Contributed $184,558, including $202,948 in interest earnings, partially offset by $18,390 in interest expenses.
• Net Position Changes: The fund’s net position decreased by $404,804, reflecting the ongoing costs associated with landfill maintenance and regulatory compliance.

Electric Fund
• Net Position: The Electric Fund reported a positive net position of $35.80 million, an increase of $6.97 million from the prior year, driven by strong operating performance. • Operating Revenues: Totaled $25.87 million, primarily from charges for services, demonstrating the fund’s stability and consistent utility operations.
• Operating Expenses: Reached $22.44 million, with significant costs for maintenance and operations ($17.89 million) and depreciation ($1.25 million), resulting in operating income of $3.43 million. • Nonoperating Revenues (Expenses): Added $849,142, including grants and contributions of $644,635 and interest income of $298,024, offset by interest expenses of $565,006. • Capital Contributions: Received $2.70 million, contributing to infrastructure upgrades and long-term improvements.

Water Fund
• Net Position: The Water Fund ended the fiscal year with a positive net position of $65.17 million, reflecting continued investment in system improvements and a net increase of $28.90 million from the prior year. • Operating Revenues: Generated $8.13 million, primarily from charges for services. • Operating Expenses: Totaled $7.70 million, with maintenance and operations costs of $4.31 million and depreciation of $1.89 million, resulting in operating income of $435,030. • Nonoperating Revenues (Expenses): Reported a net expense of $(545,238), including interest costs of $(699,833).
• Capital Contributions: Significant contributions of $28.90 million, reflecting infrastructure development, particularly through the Recycled Water Project Phase 4.

Wastewater Fund
• Net Position: The Wastewater Fund’s net position increased to $50.71 million, reflecting a net increase of $773,982.
• Operating Revenues: Generated $9.42 million, primarily from charges for services ($9.14 million) and connection fees ($272,882).
• Operating Expenses: Totaled $8.64 million, with major costs including maintenance and operations ($4.71 million) and depreciation ($2.27 million), resulting in operating income of $773,982. 20 Attachment 1

• Nonoperating Revenues (Expenses): Reported net nonoperating expenses of $(677,313), largely due to interest expenses of $(800,340).

Key Insights
• Infrastructure Investments: All enterprise funds reflect significant infrastructure contributions, particularly the Water Fund, which benefited from $28.90 million in capital grants and contributions. • Positive Operating Performance: The Electric, Water, and Wastewater funds demonstrated strong operating income, with the Electric Fund achieving the highest performance at $3.43 million. • Challenges in the Landfill Fund: The Landfill Fund continues to face financial challenges due to high closure and post-closure obligations and ongoing operational losses. • Debt Management: Nonoperating expenses across funds reflect interest and debt service costs associated with capital projects, highlighting the importance of balancing investments with long-term financial sustainability.

NONMAJOR ENTERPRISE FUNDS
The Nonmajor Enterprise Funds include the Parking District, Ambulance Services, Golf, Conference Center, Airport, and Street Lighting funds. These funds provide supplemental services beyond the major enterprise activities. Below is the analysis for fiscal year 2024:

Financial Position
• Net Position: Total net position for the Nonmajor Enterprise Funds increased to $7.99 million, reflecting a net gain of $1.59 million over the prior year.
• Assets: Total assets amounted to $13.67 million, with $12.39 million in noncurrent assets, primarily consisting of land, infrastructure, and machinery.
• Liabilities: Total liabilities were $6.32 million, driven by advances from other funds and capital project obligations.

Revenues and Expenses
• Operating Revenues: Generated $3.74 million, primarily from charges for services ($1.59 million) and facility rentals ($820,775). The Airport fund contributed significantly with $1.73 million in revenues. • Operating Expenses: Totaled $4.78 million, with significant costs for maintenance and operations ($3.01 million) and depreciation ($304,721). This resulted in an operating loss of $(1.04 million). • Nonoperating Revenues and Capital Contributions: Included $2.32 million in capital grants, largely benefiting the Airport fund, helping offset the operating losses.

Cash Flow
• Net Cash Flow: The Nonmajor Enterprise Funds reported a net cash increase of $212,309, driven by capital grants and contributions as well as interfund transfers

INTERNAL SERVICE FUNDS
The Internal Service Funds support the City’s operations by providing centralized services such as administration, public safety dispatch, garage, and IT support.

Financial Position
• Net Position: Total net position increased to $3.34 million, with unrestricted net position accounting for $914,974.
• Assets: Total assets were $22.61 million, including $16.48 million in restricted cash for specific projects and noncurrent assets such as buildings and equipment.
21 Attachment 1

• Liabilities: Total liabilities were $19.27 million, largely attributable to capital project bonds and advances from other funds.

Revenues and Expenses
Operating Revenues: Generated $19.93 million, primarily from interfund charges for services. The Public Safety Dispatch fund contributed the largest share with $2.17 million in revenue.

Operating Expenses: Totaled $17.92 million, primarily driven by maintenance and operations costs ($15.05 million) and administrative costs ($2.74 million). Depreciation added $130,855, resulting in operating income of $2.00 million.

Cash Flow
Net Cash Flow: Internal Service Funds reported a net decrease in cash and cash equivalents of $(696,971), primarily due to capital project expenditures and debt service.

KEY INSIGHTS
Nonmajor Enterprise Funds:
• Operating losses in funds such as Golf and Conference Center were offset by capital contributions, particularly for the Airport.
• The funds remain financially stable, supported by interfund transfers and grant revenues.

Internal Service Funds:
• Strong operating performance resulted in a net increase in net position, highlighting the efficiency of centralized services.
• Capital investments and debt service obligations were significant contributors to cash outflows. 22 Attachment 1

GENERAL FUND BUDGETARY HIGHLIGHTS
The City of Ukiah's General Fund experienced several key variances in revenues and expenditures compared to the final budget for the fiscal year ended June 30, 2024. Below is a summary of the most significant highlights:

Revenues
• Total revenues were $30.5 million, falling short of the final budget by $2.6 million. • Taxes were the largest revenue source but came in $1.2 million lower than budgeted, primarily due to underperformance in sales and transient occupancy taxes. • Intergovernmental revenues were $1.3 million below budget, largely reflecting timing differences or grant funds not realized during the fiscal year.
• Fees, charges, licenses, and permits were also below expectations, by $205,140, reflecting reduced activity in certain services.
• Offsetting these decreases, other revenues outperformed the budget by $74,836, indicating higher miscellaneous income or reimbursements.

Expenditures
• Total expenditures amounted to $29.57 million, representing a reduction of $1.13 million compared to the final budget.
• The Public Safety function saw expenditures exceeding budget by $340,642, reflecting unanticipated operational costs or overtime.

Original Final Actual
Variance with Final
Budget

REVENUES
Taxes $ 20,265,770 $ 20,282,393 $ 19,048,606 $ (1,233,787) Fees, charges, licenses, and permits 8,091,021 8,091,021 7,885,881 (205,140) Use of money, property, interest and concessions 233,890 233,890 255,785 21,895 Intergovernmental 4,164,972 4,414,972 3,150,570 (1,264,402) Other 77,500 87,078 161,914 74,836
Total revenues 32,833,153 33,109,354 30,502,756 (2,606,598)

EXPENDITURES
Current:

General government 592,957 21,199 179,978 (158,779)
Public safety 17,208,953 17,848,793 17,508,151 340,642
Housing and community development 1,515,389 1,515,388 1,525,273 (9,885) Public works 1,061,575 1,162,022 1,053,189 108,833
Parks, buildings, and grounds 1,973,052 1,992,024 1,984,336 7,688 Recreation and culture 5,302,882 5,372,107 5,228,039 144,068 Economic development and redevelopment 161,776 161,776 165,418 (3,642) Total current 27,816,584 28,073,309 27,644,384 428,925
Debt service 1,745,503 1,745,503 1,617,547 127,956
Capital outlay 355,000 879,422 308,245 571,177
Total expenditures 29,917,087 30,698,234 29,570,176 1,128,058 Excess (deficiency) of revenues over expenditures 2,916,066 2,411,120 932,580 (1,478,540)

OTHER FINANCING SOURCES (USES)
Transfers (2,835,342) (2,837,966) (1,504,762) 1,333,204 Net change in fund balances 80,724 (426,846) (572,182) (145,336) Fund balances - beginning 12,089,500 12,089,500 12,089,500 - Fund balances - ending $ 12,170,224 $ 11,662,654 $ 11,517,318 $ (145,336) Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual

MD&A SUMMARY
City of Ukiah
Budgeted Amounts
General Fund
For the Year Ended June 30, 2024
23 Attachment 1

• Conversely, General Government expenditures were $158,779 below budget, reflecting cost-saving measures or deferred projects.
• Savings were also realized in Economic Development and Redevelopment ($3,942) and Housing and Community Development ($9,885).

Other Financing Sources and Uses
• Net transfers out of the General Fund were $1.5 million, coming in under budget by $1.33 million. This variance reflects amounts moved into the general fund from remaining American Rescue Plan Act monies meant to compensate the City for lost revenues during the pandemic.

Fund Balance
• The net change in fund balance for the General Fund was a decrease of $572,182, compared to the budgeted decrease of $426,846. This was due principally from lower than anticipated revenues from sales and transient occupancy taxes.
• The ending fund balance for the fiscal year was $11.52 million, which remains a strong financial position, providing flexibility for future budgetary needs and unforeseen events.

This analysis underscores the City’s commitment to prudent financial management and highlights areas where economic factors impacted performance against the budget.

CAPITAL ASSET AND DEBT ADMINISTRATION
Capital Assets
As of June 30, 2024, the City of Ukiah’s total capital assets, net of depreciation, were $296.61 million, representing a significant increase of $43.24 million compared to the prior year. A notable portion of this increase is attributable to the completion of Phase 4 of the Recycled Water Project, which added significant infrastructure improvements to the City’s utility network. These investments highlight the City’s ongoing efforts to enhance sustainability and expand critical water resources.

Governmental Activities:
2024 2023 2024 2023 2024 2023
Land $ 4,596,065 $ 4,596,065 $ 8,051,152 $ 7,747,880 $ 12,647,217 $ 12,343,945 Intangible assets - - 270,000 270,000 270,000 270,000
Construction in progress 7,547,345 6,353,352 51,265,537 10,497,502 58,812,882 16,850,854 Buildings and improvements 21,938,365 21,862,814 63,789,794 63,283,227 85,728,159 85,146,041 Technology subscriptions 1,382,407 1,047,946 - - 1,382,407 1,047,946 Machinery equipment and vehicles 11,487,723 11,305,423 15,701,245 15,303,830 27,188,968 26,609,253 Infrastructure and network 74,070,077 71,127,396 179,913,589 176,187,960 253,983,666 247,315,356 121,021,982 116,292,996 318,991,317 273,290,399 440,013,299 389,583,395 Less: accumulated depreciation and amortizations (46,196,560) (44,750,471) (97,211,461) (91,466,389) (143,408,021) (136,216,860) Capital assets, net $ 74,825,422 $ 71,542,525 $ 221,779,856 $ 181,824,010 $ 296,605,278 $ 253,366,535 City of Ukiah, California
Comparative Statement of Capital Assets
June 30, 2024 and 2023
Governmental Activities Business-type Activities Total
24 Attachment 1

• Total capital assets, net of depreciation, were $74.83 million, an increase of $3.28 million from the prior year. Additions included progress on various construction projects, with $7.55 million in assets under construction at year-end.
• Infrastructure and network improvements grew by $2.94 million, reflecting investments that enhance public services and community infrastructure.

Business-Type Activities:
• Total capital assets, net of depreciation, were $221.78 million, an increase of $39.96 million. The significant growth in this category was driven largely by Phase 4 of the Recycled Water Project, which contributed substantial infrastructure improvements to the City’s water utilities. • Construction in progress totaled $51.27 million, reflecting ongoing capital projects, while infrastructure and network investments increased to $179.91 million, further enhancing the City’s ability to deliver reliable utility services.

Long-Term Debt
The City’s total long-term obligations as of June 30, 2024, were $190.788 million, a decrease of $2.58 million compared to the prior year. This reflects the City's prudent debt management practices while maintaining the capacity to finance essential projects.

Governmental Activities:
• Total obligations were $83.77 million, a slight increase of $956,610 from the prior year. The increase was primarily due to:
o A rise in the total pension liability, which grew by $4.33 million to $15.50 million, reflecting changes in actuarial assumptions.
o Bonds outstanding totaled $62.11 million, continuing to support major infrastructure and development initiatives.

Business-Type Activities:
• Total obligations were $107.11 million, a reduction of $3.54 million from the prior year. Key highlights include:
o A decline in bonds payable, which decreased by $2.92 million due to scheduled debt service payments.
o Reductions in leases payable and notes payable, further demonstrating the City’s effective management of its liabilities.

City of Ukiah, California
2024 2023 2024 2023 2024 2023
Landfill closure liability $ - $ - $ 21,936,738 $ 21,145,540 $ 21,936,738 $ 21,145,540 Compensated absences 1,266,685 1,226,352 701,692 547,776 1,968,377 1,774,128 Total pension liability 15,501,374 11,167,808 4,219,844 5,237,038 19,721,218 16,404,846 Technology subscriptions 613,386 845,509 - - 613,386 845,509 Leases payable 4,280,182 4,544,125 - - 4,280,182 4,544,125 Notes payable - - 16,775,733 17,321,721 16,775,733 17,321,721 Claims - 143,486 - - - 143,486
Bonds 62,108,969 64,886,706 63,475,267 66,390,223 125,584,236 131,276,929 Total $ 83,770,596 $ 82,813,986 $ 107,109,274 $ 110,642,298 $ 190,879,870 $ 193,456,284 Comparative Schedule of Long-Term Obligations
Activities Activities Total
June 30, 2024 and 2023
Governmental Business-type
25 Attachment 1

The City of Ukiah continues to balance critical capital investments with responsible debt management, ensuring sustainable growth and long-term financial stability. The completion of Phase 4 of the Recycled Water Project exemplifies the City’s commitment to advancing environmentally responsible infrastructure improvements for the benefit of the community.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET
The City of Ukiah continues to benefit from its diverse economic base, serving as a regional hub for Mendocino County and the surrounding area. As a result, the City’s revenues are closely tied to the financial health and stability of its residents and businesses. City management has maintained a conservative approach to revenue estimation, which proved effective in navigating fiscal year 2024 and preparing for fiscal year 2025.

The following economic factors were considered in developing the fiscal year 2025 budget:
• Sales Tax Revenue and Transient Occupancy Taxes (TOT): Sales tax revenue and TOT are projected to increase modestly, reflecting steady economic activity and ongoing recovery in the tourism sector. Despite these increases, general fund appropriations have been conservatively managed to maintain a budgetary surplus as a buffer against unforeseen revenue shortfalls. • Water and Sewer Rates: Fiscal year 2025 marks the fifth year of the City’s five-year rate adjustment schedule for water and sewer services. These rate adjustments were designed to address rising operating costs, planned capital outlays, and settlement obligations with the Ukiah Valley Sanitation District.

Management will recommend additional rate adjustments through July 1, 2025. • Electric Enterprise Rates: Electric rate revenues are expected to increase due to the ongoing implementation of a multi-year rate adjustment schedule. Power purchase surcharges, reviewed and enacted quarterly, are expected to continue. Rising costs may prompt additional rate adjustments sooner than anticipated to ensure the financial health of the utility. • Property Tax Growth: A 2 percent increase in property tax revenues is projected for the general fund, reflecting stable growth in the local real estate market. • Fee Schedule Adjustments: Implementation of updated rates on the City’s current fee schedule is expected to generate additional revenue for services provided. • Personnel Costs: Personnel expenses, including health insurance premiums and pension contributions, continue to rise. Costs associated with current bargaining agreements will result in an approximate 3 percent increase in personnel expenditures during fiscal year 2025. • Inflationary Pressures: The City continues to monitor the impacts of inflation, which affect both operational costs and the purchasing power of its residents and businesses.

Maintaining and growing revenue streams remains a top priority for City management. The stability of key revenue sources such as sales and property taxes supports Ukiah’s fiscal health. However, the City continues to face rising personnel costs, particularly in health premiums and pensions, which require diligent financial planning. City staff are committed to identifying cost-saving measures and pursuing opportunities to diversify revenue sources to offset increasing expenditures.

The City remains focused on providing the highest level and quality of services that the community expects and deserves while ensuring long-term financial sustainability. 26 Attachment 1

REQUESTS FOR INFORMATION
This Annual Comprehensive Financial Report is intended to provide citizens, taxpayers, investors, and creditors with a general overview of the City’s finances. Questions regarding this report, or request for additional information, should be made to the Finance Department, City of Ukiah, CA, 95482. 27 Attachment 1

GOVERNMENT-WIDE FINANCIAL STATEMENTS
28 Attachment 1

Governmental
Activities
Business-type
Activities Total
ASSETS
Current assets:

Cash and investments $ 19,239,522 $ 13,760,470 $ 32,999,992 Restricted cash and investments 19,078,011 3,772,509 22,850,520 Receivables (net allowance for uncollectibles) 6,751,362 10,471,629 17,222,991 Grants and intergovernmental receivable 1,180,581 13,964,349 15,144,930 Notes and loans receivable 189,293 - 189,293
Lease receivable 70,391 86,426 156,817
Internal balances 4,565,708 (4,565,708) -
Inventories and prepaids 297,383 2,388,136 2,685,519
Land held for resale 2,435,114 - 2,435,114
Total current assets 53,807,365 39,877,811 93,685,176
Noncurrent assets:

Notes and loans receivable 12,160,341 - 12,160,341
Land 4,596,065 8,051,152 12,647,217
Capacity rights - 270,000 270,000
Construction in progress 7,547,345 51,265,537 58,812,882 Buildings and improvements 12,111,524 25,491,102 37,602,626 Technology subscription 765,736 - 765,736
Machinery equipment and vehicles 4,230,324 5,616,740 9,847,064 Infrastructure and network 45,574,428 131,085,325 176,659,753 Total noncurrent assets 86,985,763 221,779,856 308,765,619 Total assets 140,793,128 261,657,667 402,450,795

DEFERRED OUTFLOWS OF RESOURCES
Pension related 16,395,423 3,081,900 19,477,323
Total deferred outflows of resources 16,395,423 3,081,900 19,477,323 Total assets and deferred outflows of resources 157,188,551 264,739,567 421,928,118

LIABILITIES
Current liabilities:

Accounts payable 4,796,165 7,179,654 11,975,819
Accrued payroll liabilities 1,197,968 270,913 1,468,881 Interest payable 597,141 752,688 1,349,829
Unavailable revenues 891,544 - 891,544
Deposits payable - 228,852 228,852
Total current liabilities 7,482,818 8,432,107 15,914,925 Noncurrent liabilities:

Due within one year 3,543,597 3,629,967 7,173,564
Due in more than one year 80,226,999 103,479,307 183,706,306 Total noncurrent liabilities 83,770,596 107,109,274 190,879,870 Total liabilities 91,253,414 115,541,381 206,794,795

DEFERRED INFLOWS OF RESOURCES
Lease related 70,391 86,426 156,817
Pension related 6,041,607 174,077 6,215,684
Total deferred inflows of resources 6,111,998 260,503 6,372,501 Total liabilities and deferred inflows of resources 97,365,412 115,801,884 213,167,296

NET POSITION
Net investment in capital assets 57,847,372 161,367,208 219,214,580 Restricted for:

Capital projects 22,395,404 - 22,395,404
Certifications and training 50,840 - 50,840
Community events 45,800 - 45,800
Debt service reserve 2,449,504 706,668 3,156,172
Governmental services 1,487,815 - 1,487,815
Housing and community development 14,016,250 - 14,016,250 NCPA Projects - 169,812 169,812
Public health services 61,185 - 61,185
Public safety 629,818 - 629,818
Public works 1,279,894 - 1,279,894
Solid waste abatement 35,564 - 35,564
Parks and recreation:

Expendable 7,032 - 7,032
Nonexpendable 137,576 - 137,576
Unrestricted (40,620,915) (13,306,005) (53,926,920)
Total net position $ 59,823,139 $ 148,937,683 $ 208,760,822 The accompanying notes are an integral part of these financial statements.

Primary Government
City of Ukiah, California
Statement of Net Position
June 30, 2024
29 Attachment 1

Functions/Programs Expenses Charges for Services
Operating Grants
and Contributions
Capital Grants and
Contributions
Governmental
Activities
Business-type
Activities Total
Primary government:

Governmental activities:

General government $ 4,690,322 $ 159,080 $ 18,780 $ 100,440 $ (4,412,022) $ - $ (4,412,022) Public safety 13,937,325 528,147 3,134,523 - (10,274,655) - (10,274,655) Housing and community development 1,926,206 849,721 1,140,970 - 64,485 - 64,485 Public works 3,305,509 609,750 900,185 1,873,934 78,360 - 78,360 Parks, buildings, and grounds 2,274,407 132,486 1,827 6,468 (2,133,626) - (2,133,626) Recreation and culture 5,801,543 4,107,209 74,417 - (1,619,917) - (1,619,917) Economic development and redevelopment 207,310 250,000 46,587 - 89,277 - 89,277 Interest on long-term debt 3,479,002 - - - (3,479,002) - (3,479,002) Total governmental activities 35,621,624 6,636,393 5,317,289 1,980,842 (21,687,100) - (21,687,100) Business-type activities:

Parking District 125,590 113,471 - - - (12,119) (12,119) Landfill 1,630,530 632,710 - - - (997,820) (997,820)
Ambulance Services 1,860,404 1,290,073 - 62,550 - (507,781) (507,781) Golf 228,916 40,000 - - - (188,916) (188,916)
Conference Center 557,924 371,870 69 - - (185,985) (185,985) Airport 1,926,596 1,728,466 - 2,260,687 - 2,062,557 2,062,557 Electric 23,062,949 24,609,220 1,733,800 3,167,393 - 6,447,464 6,447,464 Street Lighting 157,324 191,340 - - - 34,016 34,016
Water 8,438,575 8,131,496 52,523 28,899,661 - 28,645,105 28,645,105 Wastewater 9,471,702 8,052,968 29,993 2,522,659 - 1,133,918 1,133,918 Total business-type activities 47,460,510 45,161,614 1,816,385 36,912,950 - 36,430,439 36,430,439 Total primary government $ 83,082,134 $ 51,798,007 $ 7,133,674 $ 38,893,792 $ (21,687,100) $ 36,430,439 $ 14,743,339 4,028,252 17,515 4,045,767
13,268,292 - 13,268,292
2,307,901 - 2,307,901
1,261,431 - 1,261,431
519,782 - 519,782
675 - 675
553,104 811,963 1,365,067
286,078 322,302 608,380
(836,695) 836,695 -
21,388,820 1,988,475 23,377,295
(298,280) 38,418,914 38,120,634
60,268,627 111,146,188 171,414,815
(147,208) (627,419) (774,627)
60,121,419 110,518,769 170,640,188
$ 59,823,139 $ 148,937,683 $ 208,760,822
Restatement for correction of an error
Net position - beginning as restated
Transfers
Total general revenues, special items, and transfers
Change in net position
Net position - beginning, as previously reported
Net position - ending
Transient occupancy
Business license
Other taxes
Use of money and property
Other revenue
Net (Expense) Revenue and Changes in Net Position
Program Revenues Primary Government
Sales tax
Franchises
General revenues:

Property tax
City of Ukiah, California
Statement of Activities
June 30, 2024
30 Attachment 1

FUND FINANCIAL STATEMENTS
31 Attachment 1

GOVERNMENTAL FUNDS
Major funds are defined generally as having significant activities or balances in the current year. The funds described below were determined to be Major Governmental Funds by the City for fiscal 2024. Individual nonmajor funds may be found in the Supplemental section.

General Fund
The General Fund is used for all the general revenues of the City not specifically levied or collected for other City funds, and the related expenditures. The major revenue sources for this Fund are property taxes, sales taxes, franchise fees, business licenses, unrestricted revenues from the state, fines and forfeitures and interest income.

Expenditures are made for community development, public safety, public works, and other services.

Streets Capital Improvement
This capital project fund accounts for street and right-of-way capital projects supported primarily by Measure Y resources, committed by the City Council through resolution.

General Capital Projects
This general capital projects fund was created in 2024 to account for bond proceeds and other resources for street and rights-of-way projects.

Pension Debt Service
This debt service fund was created in 2024 to account for resources accumulated, used, and reserved for the retirement of lease revenue bonds.
32 Attachment 1

General Fund
Streets Capital
Improvements
General Capital
Projects
Pension Debt
Service
Total Nonmajor
Funds
Total
Governmental
Funds
ASSETS
Cash and investments $ 3,399,645 $ 2,955 $ 3,054,186 $ 4,372,769 $ 8,974,067 $ 19,803,622 Restricted cash and investments - - 198,003 - - 198,003 Accounts receivable 4,444,089 1,365,137 - - 332,257 6,141,483 Lease receivable 70,391 - - - - 70,391
Notes receivable 1,819,284 - - - 10,530,350 12,349,634
Interest receivable 14,691 - 5,348 2,830 19,939 42,808
Grants and subventions receivable 102,149 1,113 - - 810,856 914,118 Inventories and prepaids 101,918 - - - - 101,918
Due from other funds 1,416,083 - - - 1,281,906 2,697,989 Advances to other funds 3,027,835 - 1,681,372 - - 4,709,207 Land held for resale - - - - 2,435,114 2,435,114
Capital grants, contributions, and subventions - - 38,833 - 227,631 266,464 Total assets 14,396,085 1,369,205 4,977,742 4,375,599 24,612,120 49,730,751

LIABILITIES
Accounts payable 772,188 2,333,617 1,129,077 - 296,138 4,531,020 Accrued payroll liabilities 1,049,934 1,630 - - 1,536 1,053,100 Unearned revenues 891,544 - - - - 891,544
Due to other funds - 1,281,906 338,482 - 522,969 2,143,357 Advance from other funds - - - - 514,550 514,550
Total liabilities 2,713,666 3,617,153 1,467,559 - 1,335,193 9,133,571

DEFERRED INFLOWS OF RESOURCES
Lease related 70,391 - - - - 70,391
Unavailable revenues - grants and subventions 94,710 - 38,833 - 2,291,068 2,424,611 Total deferred inflows of resources 165,101 - 38,833 - 2,291,068 2,495,002 Total liabilities and deferred inflows of resources 2,878,767 3,617,153 1,506,392 - 3,626,261 11,628,573

FUND BALANCES (DEFICITS)
Nonspendable:

Interfund loans 3,027,835 - - - - 3,027,835
Inventories and prepaids 101,918 - - - - 101,918
Notes, leases, and interagency receivables 1,819,284 - - - - 1,819,284 Riparian corridor management - - - - 137,576 137,576
Restricted:

Capital projects - - 3,471,350 - 4,448 3,475,798
CDBG activities - - - - 737,178 737,178
Certifications and training - - - - 60,600 60,600
Clean-up and solid waste remdediation - - - - 84,711 84,711 Debt service reserve - - - - 2,448,092 2,448,092
Downtown business improvements - - - - 1,010 1,010
Housing activities - - - - 13,994,188 13,994,188
Opioid settlement - - - - 101,707 101,707
Project reserve - - - - 14,563 14,563
Public safety - - - - 703,795 703,795
Riparian corridor management - - - - 9,695 9,695
Special recreation events - - - - 68,524 68,524
Streets and rights-of-way - - - - 2,082,068 2,082,068
Wildfire mitigation 892,248 - - - - 892,248
Committed:

Park development - - - - 39,911 39,911
Planning activities - - - - 267,601 267,601
Solid waste management - - - - 44,266 44,266
Assigned:

Capital projects - - - - 64,658 64,658
Equipment reserve - - - - 382,693 382,693
Pension reserve - - - 4,375,599 - 4,375,599
Special projects - - - - 697,272 697,272
Unassigned 5,676,033 (2,247,948) - - (958,697) 2,469,388 Total fund balances (deficits) 11,517,318 (2,247,948) 3,471,350 4,375,599 20,985,859 38,102,178 Total liabilities and fund balances (deficits) $ 14,396,085 $ 1,369,205 $ 4,977,742 $ 4,375,599 $ 24,612,120 $ 49,730,751 The accompanying notes are an integral part of these financial statements.

City of Ukiah, California
Balance Sheet
Governmental Funds
June 30, 2024
33 Attachment 1

$ 38,102,178
Capital assets 117,270,982
Accumulated depreciation (45,437,465)
71,833,517
Compensated absences (884,308)
Technology subscriptions (613,386)
2017 fire engine lease (426,313)
2017 I-Bank financing lease (3,478,158)
2020 Fire brush truck (143,035)
Fire aparatus (232,675)
2020B CalPERS Taxable Lease Revenue Bonds (30,333,090)
2022 Lease Revenue Bonds (13,944,156)
Net pension liability (15,501,374)
(65,556,495)
Deferred outflows - pension related items 16,395,423
Deferred inflows - pension related items (6,041,607)
10,353,816
3,113,179
3,113,179
(447,667)
(447,667)
Amounts are unavailable under the modified accrual basis of accounting. 2,424,611 2,424,611
$ 59,823,139
City of Ukiah, California
Reconciliation of Balance Sheet
To the Statement of Net Position
For the Year Ended June 30, 2024
Fund balances of governmental funds
Amounts reported for governmental activities in the statement of net position are different Capital assets used in governmental activities are not financial resources and therefore, are not reported in the funds:

Long-term liabilities are not due and payable in the current period and therefore are not reported in the funds:

Amounts for deferred inflows and deferred outflows related to the City's Net Pension Liability are not reported in the funds:

Internal service funds are used by management to charge the costs of certain activities, such as insurance and vehicle maintenance, to individual funds.

The assets and liabilities of the internal service funds are included in governmental activities in the statement of net position.

Long-term revenues and expenses:

The accompanying notes are an integral part of these financial statements.

Net position of governmental activities
Accrued interest on long-term debt is not due and payable in the current period and is not reported in the funds.

Long-term assets are not available for current use.
34 Attachment 1

General Fund
Streets Capital
Improvements
General Capital
Projects
Pension Debt
Service
Total Nonmajor
Funds
Total
Governmental
Funds

REVENUES
Property tax $ 4,028,252 $ - $ - $ - $ - $ 4,028,252
Sales tax 13,268,292 - - - - 13,268,292
Transient occupancy 1,251,277 - - - - 1,251,277
Business license tax 500,110 - - - 20,172 520,282
Other taxes 675 - - - - 675
Franchise fees 2,307,901 - - - - 2,307,901
Charges for service 5,291,695 - - - 344,030 5,635,725
Licenses and permits 286,285 - - - - 286,285
Grants, contributions, and subventions 3,150,570 1,577,801 - - 2,432,358 7,160,729 Use of money and property 255,785 - 73,249 35,009 865,672 1,229,715 Miscellaneous 115,037 - - - 20,454 135,491
Fines penalties and forfeitures 46,877 - - - - 46,877
Total revenues 30,502,756 1,577,801 73,249 35,009 3,682,686 35,871,501

EXPENDITURES
Current:

General government 179,978 229 - 11,707 13,367 205,281
Public safety 17,508,151 - - - 217,542 17,725,693
Housing and community development 1,525,273 - - - 554,926 2,080,199 Public works 1,053,189 338,599 366,719 - 131,645 1,890,152 Parks, buildings, and grounds 1,984,336 - - - 27,086 2,011,422 Recreation and culture 5,228,039 - - - 708,409 5,936,448 Economic development and redevelopment 165,418 - - - 19,319 184,737 Debt service:

Interest 847,483 613,200 - - 19,766 1,480,449
Principal 616,361 1,371,234 - - 42,548 2,030,143
Lease principal 137,067 - - - - 137,067
Lease interest 16,636 - - - - 16,636
Capital outlay:

Public safety 162,937 - - - - 162,937
Public works - 3,925,358 1,875,139 - 146,250 5,946,747
Parks, buildings, and grounds 145,308 - - - 140,698 286,006 Recreation and culture - - - - 41,519 41,519
Total expenditures 29,570,176 6,248,620 2,241,858 11,707 2,063,075 40,135,436 Excess (deficiency) of revenues over expenditures 932,580 (4,670,819) (2,168,609) 23,302 1,619,611 (4,263,935)

OTHER FINANCING SOURCES (USES)
Transfers in 1,643,633 2,728,970 - 159,834 63,094 4,595,531 Transfers out (3,148,395) (813) - - (2,036,187) (5,185,395) Total other financing sources (uses) (1,504,762) 2,728,157 - 159,834 (1,973,093) (589,864) Net change in fund balances (572,182) (1,942,662) (2,168,609) 183,136 (353,482) (4,853,799) Fund balances - beginning, as previously reported 12,089,500 (205,296) 5,639,959 4,192,463 21,386,559 43,103,185 Restatement for correction of an error - (99,990) - - (47,218) (147,208) Fund balances - beginning, as restated 12,089,500 (305,286) 5,639,959 4,192,463 21,339,341 42,955,977 Fund balance - ending $ 11,517,318 $ (2,247,948) $ 3,471,350 $ 4,375,599 $ 20,985,859 $ 38,102,178 The accompanying notes are an integral part of these financial statements.

City of Ukiah, California
Statement of Revenues, Expenditures and Changes in Fund Balances Governmental Funds
For the Year Ended June 30, 2024
35 Attachment 1

$ (4,853,799)
Capital outlay 5,232,593
Depreciation expense (2,447,152)
Loss on disposal (163,125)
2,622,316
Change to net pension liability (4,333,567)
Compensated absence expense (66,341)
(4,399,908)
Changes to deferred outflows: pension-related items (2,408,895) Changes to deferred inflows: pension-related items 3,853,297 1,444,402
Principal paid on loans and leases 3,007,482
Amortization of debt premium 185,293
Subscription liability increase (334,462)
2,858,313
288,536
1,741,860
$ (298,280)
The accompanying notes are an integral part of these financial statements.

Change in net position of governmental activities
Internal service funds are used by management to charge the costs of certain activities, such as insurance and vehicle maintenance, to individual funds. The net revenue (expense) of the internal services funds is reported with governmental activities.

The amounts below included in the Statement of Activities do not provide (require) the use of current financial resources and, therefore, are not reported as revenues or expenditures in governmental funds (net change):

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 deferred outflows related to the net pension liability:

The issuance of long-term debt provides current financial resources to governmental funds, while the repayment of principal of long-term debt consumes the current financial resources of governmnetal funds.

Neither transaction, however, has any effect on net position. Also, government funds report the effect of premiums, discounts and similar items when debt is first issued, whereas these amounts are deferred and amortized in the Statement of Activities. The effect of these differences are as follows:

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.

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.

City of Ukiah, California
Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances to the Statement of Activities
For the Year Ended June 30, 2024
Net change in fund balances - total government funds
36 Attachment 1

PROPRIETARY FUNDS
Proprietary funds account for City operations financed and operated in a manner like a private business enterprise.

The intent of the City is that the cost of providing goods and services be financed primarily through user charges.

The City maintains four primary enterprise funds: electric, water, sewer, and landfill.

Landfill
This is the fund used to account for activities related to the closure, post-closure, and corrective action plan of the City of Ukiah landfill.

Electric Enterprise Fund
The Electric Utility provides electrical services to the citizens of Ukiah, including 24-hour, 365-day response to emergency service calls for customer power problems, and outages. Additionally, the enterprise is responsible for making high voltage power lines safe for Fire & Police personnel at structure fires, automobile accidents and to make other situations where electric lines are near emergency crews.

Water Enterprise Fund
Chapter 13.04 of the Ukiah Municipal Code provides the authority for City to operate water system. Revenues (fees and charges) are collected to pay for service (water) received.

Wastewater Enterprise Fund
Chapter 13.20 of the Ukiah Municipal Code provides the authority for the City to operate sewer system. Revenues (fees and charges) are collected to pay for availability of collection, transportation, treatment, and disposal system.

In addition, grazing lease payments, LACOSAN payments for flows, tax revenues, FEMA storm damage reimbursement, OES storm damage reimbursement, and insurance rebates have been credited to this fund.

The City also employs the use of internal service funds.

Internal Service Funds
Established to account for the costs of activities primarily serving multiple department and funds. Such funds may also provide services to external users, such as other governmental entities. 37 Attachment 1

Governmental
Activities
Landfill Electric Water Wastewater
Total Nonmajor
Funds
Total Enterprise
Funds
Internal Service
Funds
ASSETS
Current assets:

Cash and investments $ 4,578,147 $ 4,645,906 $ 3,357,158 $ 584,119 $ 448,971 $ 13,614,301 $ 1,985,948 Restricted cash and investments - 3,765,846 - - - 3,765,846 16,482,792 Accounts receivable 99,404 5,287,594 1,838,439 2,681,990 408,056 10,315,483 264,940 Lease receivable - - - - 86,426 86,426 -
Interest receivable 24,315 22,384 10,604 7,246 674 65,223 4,073 Grants and subventions receivable - 972,908 11,514,410 1,141,648 335,383 13,964,349 278,321 Prepaids - - - - - - 195,465
Inventories and prepaids - 2,258,543 118,318 11,275 - 2,388,136 - Due from other funds 6,002,698 - 293,243 - - 6,295,941 240,535 Total current assets 10,704,564 16,953,181 17,132,172 4,426,278 1,279,510 50,495,705 19,452,074 Noncurrent assets:

Advances to other funds - 289,121 - - 502,280 791,401 - Land 699,654 2,316,013 2,571,192 670,431 1,793,862 8,051,152 762,562 Intangible assets - - 270,000 - - 270,000 -
Construction in progress - 6,287,085 35,002,544 7,016,834 2,959,074 51,265,537 423,468 Buildings and improvements 26,700 26,261,659 22,248,066 10,540,745 4,385,511 63,462,681 1,560,657 Machinery equipment and vehicles 516,075 5,607,006 3,566,315 4,260,683 1,417,746 15,367,825 1,664,847 Infrastructure and network - 31,250,198 49,989,739 91,954,368 6,719,287 179,913,592 - Less accumulated depreciation (458,304) (35,306,279) (20,552,744) (35,006,044) (5,390,682) (96,714,053) (1,256,508) Total noncurrent assets 784,125 36,704,803 93,095,112 79,437,017 12,387,078 222,408,135 3,155,026 Total assets 11,488,689 53,657,984 110,227,284 83,863,295 13,666,588 272,903,840 22,607,100

DEFERRED OUTFLOWS OF RESOURCES
Pension related 73,806 836,470 785,298 742,490 643,836 3,081,900 - Total deferred outflows of resources 73,806 836,470 785,298 742,490 643,836 3,081,900 - Total assets and deferred outflows of resources 11,562,495 54,494,454 111,012,582 84,605,785 14,310,424 275,985,740 22,607,100

LIABILITIES
Current liabilities:

Accounts payable 126,023 728,762 3,974,392 1,733,191 456,000 7,018,368 296,793 Accrued payroll liabilities 3,885 101,544 52,425 47,285 34,821 239,960 175,821 Due to other funds - - 6,002,698 293,243 764,634 7,060,575 30,535 Deposits payable - 222,420 308 - 6,124 228,852 -
Interest payable 4,400 176,552 322,967 235,809 12,960 752,688 149,474 Compensated absences - current 1,122 26,847 12,701 11,641 8,733 61,044 51,611 Pension-related bonds - current 13,752 176,293 111,687 126,526 37,034 465,292 - Capital project installment obligations - current - - 540,180 - 11,417 551,597 - Capital project bonds - current - 382,200 587,610 1,570,099 - 2,539,909 443,047 Due to other agencies - - 116,945 13,661 - 130,606 -
Total current liabilities 149,182 1,814,618 11,721,913 4,031,455 1,331,723 19,048,891 1,147,281 Noncurrent liabilities:

Advance from other funds - - 502,280 1,681,372 2,532,406 4,716,058 270,000 Landfill closure/post-closure 21,936,738 - - - - 21,936,738 - Compensated absences 10,095 241,621 114,314 104,768 78,592 549,390 464,516 Net pension liability 101,058 1,145,323 1,075,257 1,016,644 881,562 4,219,844 - Capital project installment obligations - - 16,108,633 - 115,503 16,224,136 - Pension-related bonds 468,642 6,007,835 3,806,133 4,311,885 1,262,123 15,856,618 - Capital project bonds - 9,436,209 12,465,887 22,711,352 - 44,613,448 17,388,677 Total noncurrent liabilities 22,516,533 16,830,988 34,072,504 29,826,021 4,870,186 108,116,232 18,123,193 Total liabilities 22,665,715 18,645,606 45,794,417 33,857,476 6,201,909 127,165,123 19,270,474

DEFERRED INFLOWS OF RESOURCES
Lease related - - - - 86,426 86,426 -
Pension related 4,169 47,247 44,357 41,939 36,365 174,077 - Total deferred inflows of resources 4,169 47,247 44,357 41,939 122,791 260,503 - Total liabilities and deferred inflows of resources 22,669,884 18,692,853 45,838,774 33,899,415 6,324,700 127,425,626 19,270,474

NET POSITION
Net investment in capital assets 784,125 30,241,978 63,528,808 54,946,583 11,865,714 161,367,208 2,421,652 Restricted for:

Debt service reserve - - 706,668 - - 706,668 -
NCPA Projects - 169,812 - - - 169,812 -
Unrestricted (11,891,514) 5,389,811 938,332 (4,240,213) (3,879,990) (13,683,574) 914,974 Total net position $ (11,107,389) $ 35,801,601 $ 65,173,808 $ 50,706,370 $ 7,985,724 148,560,114 $ 3,336,626 377,569
$ 148,937,683
Business-type Activities
City of Ukiah, California
Statement of Net Position
Proprietary Funds
June 30, 2024
Difference between business-type adjustments to assets and liabilities.

Net position of business-type activities
The accompanying notes are an integral part of these financial statements. 38 Attachment 1

Governmental
Activities
Landfill Electric Water Wastewater
Total Nonmajor
Funds
Total Enterprise
Funds
Internal Service
Funds

OPERATING REVENUES
Charges for service $ 609,091 $ 24,601,008 $ 8,131,496 $ 9,144,830 $ 1,594,985 $ 44,081,410 $ 19,746,430 Cap and trade - 1,089,165 - - - 1,089,165 -
Facility rental 9,057 - - - 820,775 829,832 -
Fuel sales - - - - 1,272,401 1,272,401 -
Miscellaneous 14,562 176,404 - - 1,874 192,840 179,289
Fines penalties and forfeitures - - - - 45,185 45,185 - Connection fees - - - 272,882 - 272,882 -
Total operating revenues 632,710 25,866,577 8,131,496 9,417,712 3,735,220 47,783,715 19,925,719

OPERATING EXPENSES
General and administrative 127,453 3,301,612 1,505,555 1,660,267 731,568 7,326,455 2,777,425 Maintenance and operations 1,469,617 17,885,691 4,305,401 4,713,473 3,009,306 31,383,488 15,013,348 Fuel - - - - 733,469 733,469 -
Depreciation 15,002 1,249,920 1,885,510 2,269,990 304,721 5,725,143 130,855 Total operating expenses 1,612,072 22,437,223 7,696,466 8,643,730 4,779,064 45,168,555 17,921,628 Operating income (loss) (979,362) 3,429,354 435,030 773,982 (1,043,844) 2,615,160 2,004,091

NONOPERATING REVENUES (EXPENSES)
Property tax - - - - 17,515 17,515 -
Grants, contributions, and subventions - 644,635 52,524 29,994 69 727,222 25,340 Interest, rent, and concessions 202,948 298,024 102,071 92,733 116,182 811,958 32,956 Insurance proceeds from capital asset damage - 471,489 - - - 471,489 - Interest and fiscal charges (18,390) (565,006) (699,833) (800,340) (71,915) (2,155,484) (945,398) Total nonoperating revenues (expenses) 184,558 849,142 (545,238) (677,613) 61,851 (127,300) (887,102) Income (loss) before contributions and transfers (794,804) 4,278,496 (110,208) 96,369 (981,993) 2,487,860 1,116,989 Capital grants, contributions, and subventions $ - $ 2,695,904 $ 28,899,661 $ 1,157,915 $ 2,323,237 $ 35,076,717 $ 698,815 Transfers in 390,000 - 289,108 15,312 250,000 944,420 - Transfers out - - (15,312) (289,108) - (304,420) (50,136) Change in net position (404,804) 6,974,400 29,063,249 980,488 1,591,244 38,204,577 1,765,668 Net position - beginning, as previously reported (10,702,585) 28,870,918 36,296,774 50,121,048 6,396,801 110,982,956 1,715,407 Restatement for correction of an error - (43,717) (186,215) (395,166) (2,321) (627,419) (144,449) Net position - beginning as restated (10,702,585) 28,827,201 36,110,559 49,725,882 6,394,480 110,355,537 1,570,958 Net position - ending $ (11,107,389) $ 35,801,601 $ 65,173,808 $ 50,706,370 $ 7,985,724 $ 148,560,114 $ 3,336,626 214,337
$ 38,418,914
Business-type Activities
The accompanying notes are an integral part of these financial statements.

Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds Changes in net position of business-type activities
City of Ukiah, California
Statement of Revenues, Expenses, and Changes in Net Position Proprietary Funds
June 30, 2024
39 Attachment 1

Governmental
Activities
Landfill Electric Water Wastewater
Total Nonmajor
Enterprise Funds
Total Enterprise
Funds
Internal Service
Funds

CASH FLOWS FROM OPERATING ACTIVITIES
Cash receipts from customers $ 580,379 $ 25,566,942 $ 8,054,499 $ 8,729,242 $ 3,860,458 $ 46,791,520 $ 215,164 Receipts from interfund services provided - 6,587 - - - 6,587 18,793,862 Payments to employees (185,945) (3,798,508) (2,240,789) (2,045,832) (1,384,613) (9,655,687) (8,024,169) Payments to suppliers (449,713) (13,192,989) 181,234 (1,402,695) (1,905,051) (16,769,214) (7,495,260) Payments for interfund services used (127,453) (3,302,069) (1,505,555) (1,660,267) (732,482) (7,327,826) (2,795,982) Receipts from other governmental agencies - 168,192 - - - 168,192 512,180 Payments to other governmental agencies - - 116,945 13,661 - 130,606 - Other payments - - - (54,457) - (54,457) (20,000)
Other operating cash receipts (payments) - (571,881) - - - (571,881) - Net cash provided (used) by operating activities (182,732) 4,876,274 4,606,334 3,579,652 (161,688) 12,717,840 1,185,795

CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Principal paid on lease revenue bonds (13,390) (171,652) (108,747) (123,197) (36,061) (453,047) - Cash received (paid) to other funds (5,612,698) - 4,152,743 1,407,576 978,575 926,196 (330,136) Property taxes received - - - - 17,515 17,515 -
Interest paid (18,390) (235,771) (149,367) (169,216) (68,795) (641,539) (357,851) Grants and contributions - 644,808 52,523 29,993 62,623 789,947 (186,238) Net cash provided (used) by noncapital financing activities (5,644,478) 237,385 3,947,152 1,145,156 953,857 639,072 (874,225)

CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Proceeds from insurance - 471,489 - - - 471,489 380,000 Capital grants and contributions - 1,685,136 20,542,634 2,031 1,985,823 24,215,624 270,439 Interest paid (59) (389,096) (695,183) (664,227) (3,373) (1,751,938) (647,112) Principal paid on capital and related debt - (310,000) (1,589,369) (887,462) (11,157) (2,797,988) (375,000) Acquisition and construction of capital assets - (5,829,347) (30,055,446) (5,523,307) (2,577,394) (43,985,494) (667,068) Net cash provided (used) by capital and related financing activities (59) (4,371,818) (11,797,364) (7,072,965) (606,101) (23,848,307) (1,038,741)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest received 192,105 284,157 96,622 63,258 26,241 662,383 30,200 Net cash provided (used) by investing activities 192,105 284,157 96,622 63,258 26,241 662,383 30,200 Net increase (decrease) in cash and cash equivalents (5,635,164) 1,025,998 (3,147,256) (2,284,899) 212,309 (9,829,012) (696,971) Balances - beginning of year 10,213,311 7,385,754 6,504,414 2,869,018 236,662 27,209,159 19,165,711 Balances - end of the year $ 4,578,147 $ 8,411,752 $ 3,357,158 $ 584,119 $ 448,971 $ 17,380,147 $ 18,468,740 Reconciliation of operating income (loss) to net cash provided (used) by operating activities:

Operating Income $ (979,362) $ 3,429,354 $ 435,030 $ 773,982 $ (1,043,844) $ 2,615,160 $ 2,004,091 Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities:

Depreciation 15,002 1,249,920 1,885,510 2,269,990 304,721 5,725,143 130,855 Changes in assets and liabilities:

Decrease (increase) in accounts receivable (52,331) (303,559) (82,720) (696,137) 161,522 (973,225) (232,287) Decrease (increase) in prepaids - - - - - - (195,465)
Decrease (increase) in inventory - (451,443) 13,655 11,853 - (425,935) - Decrease (increase) in deferred outflows 76,759 1,136,728 377,225 535,731 73,934 2,200,377 - Increase (decrease) in accounts payable 29,954 530,238 2,152,884 1,041,415 193,361 3,947,852 (484,321) Increase (decrease) in accrued salaries and benefits 470 40,583 13,873 13,437 135,888 204,251 44,041 Increase (decrease) in compensated absences 321 56,972 3,307 13,759 33,672 108,031 62,367 Increase (decrease) in deferrred inflows (8,831) (123,120) (56,016) (68,423) (19,925) (276,315) - Increase (decrease) in net pension liability/(asset) (55,913) (911,819) (136,722) (315,955) (1,017) (1,421,426) - Increase (decrease) in landfill liability 791,199 - - - - 791,199 - Increase (decrease) in customer deposits - 222,420 308 - - 222,728 - Increase (decrease) in claims payable - - - - - - (143,486) Net cash provided (used) by operating activities $ (182,732) $ 4,876,274 $ 4,606,334 $ 3,579,652 $ (161,688) $ 12,717,840 $ 1,185,795 Noncash investing, capital and financing activities
Amortization related to long-term debt $ - $ (55,200) $ (127,610) $ (27,099) $ - $ (209,909) $ (58,047) Total noncash investing, capital and financing activities - (55,200) (127,610) (27,099) - (209,909) (58,047) The accompanying notes are an integral part of these financial statements.

Business-type Activities - Enterprise Funds
City of Ukiah, California
Statement of Cash Flows
Proprietary Funds
June 30, 2024
40 Attachment 1

FIDUCIARY FUNDS
These funds account for assets held by the City as an agent for individuals, private organizations, and other governments. The financial activities of these funds are excluded from the Government-wide financial statements but are presented in the separate Fiduciary Fund financial statements.

Private Purpose Trust Fund
Redevelopment Non-Housing Housing Successor Private Purpose Trust Fund Resources held for the benefit of the state from the dissolution of the Ukiah Redevelopment Agency’s non-housing functions.

Custodial Funds
The City accounts for activities on behalf of external entities, including other governments. 41 Attachment 1

Private-Purpose
Trust Funds Custodial Funds
ASSETS
Cash and investments $ 6,148,040 $ 1,124,746
Accounts receivable - 1,304,618
Interest receivable 14,581 5,475
Land held for resale 5,443 -
Total assets 6,168,064 2,434,839

LIABILITIES
Accounts payable - 353,296
Accrued payroll liabilities 190 22,976
Deposits payable - 402,768
Interest payable 6,060 -
Due to other agencies - 44,572
Intergovernmental payable - 25,638
Due to City of Ukiah - 2,067,132
Due in more than one year 2,834,752 -
Total liabilities 2,841,002 2,916,382

NET POSITION
Restricted for:

Held for the benefit of the state 3,327,062 -
Individuals, organizations, and other governments - (481,543) Total net position $ 3,327,062 $ (481,543)
The accompanying notes are an integral part of these financial statements.

City of Ukiah, California
Statement of Fiduciary Net Position
June 30, 2024
42 Attachment 1

Private-Purpose
Trust Funds Custodial Funds

ADDITIONS
Contributions:

Capital grants, contributions, and subventions $ - $ 1,230 Taxes and assessments collected for other governments 1,058,567 2,221,709 Service charges collected for other governments - 182,572 Service charges collected for other agencies - 2,171,683 Intergovernmental - 1,198,146
Interest, rent, and concessions - 36,549
Miscellaneous - 6,849
Members - 569,809
Total contributions 1,058,567 6,388,547
Investment earnings:

Interest, rent, and concessions 116,548 4,225
Total investment earnings 116,548 4,225
Total additions 1,175,115 6,392,772

DEDUCTIONS
General and administrative 250,000 146,830
Maintenance and operations 20,045 836,158
Fines penalties and forfeitures - 419
Principal on behalf of beneficiaries - 101,742
Interest and fiscal charges on behalf of beneficiaries 91,668 18,173 Distributions to other governments - 597,378
Payments to other agencies for service charges collected - 687,691 Payments to City for services provided - 4,190,361
Total deductions 361,713 6,578,752
Net increase (decrease) in fiduciary net position 813,402 (185,980) Net Position -- beginning of the year 2,513,660 (295,563) Net Position -- end of the year $ 3,327,062 $ (481,543) The accompanying notes are an integral part of these financial statements.

City of Ukiah, California
Statement of Changes in Fiduciary Net Position
June 30, 2024
43 Attachment 1

NOTES TO THE BASIC FINANCIAL STATEMENTS
City of Ukiah, California
June 30, 3024
The notes to the financial statements include a summary of significant accounting policies and other notes considered essential to fully disclose and fairly present the transactions and financial position of the City as follows:

Note 1 – Summary of Significant Accounting Policies........................................................................................................45 Note 2 – Stewardship, Compliance and Accountability....................................................................................................52 Note 3 – Cash and Investments................................................................................................................................................54 Note 4 – Receivables...................................................................................................................................................................58 Note 5 – Loans and Notes Receivable ....................................................................................................................................59 Note 6 – Capital Assets.............................................................................................................................................................. 61 Note 7 – Long-Term Liabilities................................................................................................................................................63 Note 8 – Landfill Closure...........................................................................................................................................................69 Note 9 – Interfund Transactions..............................................................................................................................................70 Note 10 – Risk Management.....................................................................................................................................................72 Note 11 – Public Employee Retirement Plan.........................................................................................................................75 Note 12 – Joint Ventures............................................................................................................................................................86 Note 13 – Service Contracts......................................................................................................................................................88 Note 14 – Commitments and Contingencies........................................................................................................................89 Note 15 – New Pronouncements..............................................................................................................................................90 Note 16 – Successor Agency Trust........................................................................................................................................... 91 Note 17 – Restatements..............................................................................................................................................................93 44 Attachment 1

NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applied to government agencies. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. The accompanying financial statements present the City of Ukiah and its component units. Component units are legally separate entities for which the City is considered to be financially accountable. Blended component units, although legally separate entities, are, in substance, part of the City’s operations due the exclusive benefit to the City, and the nature of its governance.

The more significant accounting policies of the City are described below:

A. Defining the reporting entity
The City of Ukiah was incorporated March 8, 1876 under the laws of the State of California. Ukiah operates under a Council-Manager form of government. The City Manager serves as the chief executive for day-to-day operations and long-term planning, including executing the policies and directives of the City Council. Department heads report directly to the City Manager and serve at his or her pleasure.

The City provides a range of municipal services to its citizens including public safety (fire and police), public works; planning and building regulation; recreation and parks; airport, golf; and water, sewer, and electric utilities.

The Redevelopment Agency of the City of Ukiah (the Agency) was established by the City as a separate legal entity in accordance with state law. The purpose of the Agency was to encourage new investment and reinvestment within legally designated redevelopment areas in partnership with property owners. The Agency was dissolved on February 1, 2012 by the State Legislature and California Governor, Jerry Brown.

Blended Component Unit
The City of Ukiah Public Financing Authority is a Joint Exercise of Powers Authority organized and existing under and by virtue of the Joint Exercise of Power Act of the Government Code of the State of California. The City and the Industrial Development Authority of the City of Ukiah form the Authority by the execution of a Joint Exercise of Powers Agreement. The primary purpose of the Authority is to issue bonds and make lease agreements with the City of Ukiah and the Industrial Development Authority of the City of Ukiah. The City appoints the voting majority of the board and is able to impose its will on this component unit. There are no separate financial statements prepared for the authority.

B. Government-wide and Fund Financial Statement
The City’s basic financial statements include both government-wide and fund financial statements.

Government-Wide Financial Statements:
• The government-wide financial statements include the Statement of Net Position and the Statement of Activities, which report information on all non-fiduciary activities of the City. These statements focus on the primary government and its blended component unit.
• The statements are presented using the economic resources measurement focus and the accrual basis of accounting, where revenues are recorded when earned, and expenses are recognized when incurred.

Fund Financial Statements:
• The fund financial statements provide detailed information about the City’s funds, focusing on major funds.
45 Attachment 1

• Governmental funds are presented using the current financial resources measurement focus and the modified accrual basis of accounting. Proprietary and fiduciary funds are reported using the economic resources measurement focus and the accrual basis of accounting.

C. Basis of Accounting and Measurement focus
Governmental Funds:
• Revenues are recognized when they are both measurable and available. Revenues are considered available if they are collectible within the current period or soon enough thereafter (typically 60 days) to pay liabilities. Some revenues due to the City by other governmental entities but were delayed due to administrative reasons were considered available within 90 days or longer. • Expenditures are recorded when the related fund liability is incurred, except for principal and interest on long-term debt, claims, and judgments, which are recorded as expenditures when due.

Proprietary and Fiduciary Funds:
• Revenues are recognized when earned, and expenses are recognized when liabilities are incurred, regardless of the timing of cash flows.

D. Use of Estimates
Financial statement preparation, in conformity with accounting principles generally accepted in the United States of America, requires the use of estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenditures/expenses during the reporting period. Actual results could differ from those estimates.

E. Cash and Investments
The City follows GASB Statement No. 72 for fair value measurement of investments. Cash and investments include demand deposits, certificates of deposit, and investments in government securities. The City maintains an investment policy in compliance with California Government Code requirements, emphasizing safety, liquidity, and return on investment. All investments are carried at fair value based on quoted market prices.

F. Receivable and Payables
Balances representing lending/borrowing transactions between funds outstanding at the end of the fiscal year are reported as either:
• Due to/Due from Other Funds: Amounts due within one year. • Advances to/From Other Funds: Non-current portions of interfund lending/borrowing transactions. • Loans to/From Other Funds: Long-term lending/borrowing transactions as evidenced by loan agreements.

Advances and loans to other funds are offset by a fund balance reserve in applicable governmental funds to indicate they are not available for appropriation and are not expendable available financial resources.

Property, Sales, Use, and Utility User Taxes: Taxes related to the current fiscal year are accrued as revenue and accounts receivable when measurable and available. The City considers these revenues available if received within 60 days of year-end, consistent with the modified accrual basis of accounting.

Federal and State Grants:
46 Attachment 1

• Under the accrual basis of accounting (used in the government-wide financial statements), federal and state grants are considered receivable and accrued as revenue when reimbursable costs are incurred, and all eligibility criteria are met.
• Under the modified accrual basis of accounting (used in fund-level statements), grant revenues are recognized only when measurable and available. The City considers grant revenues available if received within 60 days of year-end.

Notes Receivables: Notes receivables represent individual loans secured by property liens in favor of the City and the Redevelopment Successor Agency, made through various sources, including the Community Development Block Grant (CDBG) and federal HOME housing programs. When repaid, these amounts are designated for purposes allowed under the reuse guidelines.

G. Allowance for Doubtful Accounts
Management has elected to record bad debts using the allowance method.

H. Prepaid Items and Inventory
The City utilizes the consumption method for recoding inventories and prepaid items in governmental funds. All inventories are valued at cost using the first-in/first-out (FIFO) method. An annual charge is made to various City funds to assist in the financing of warehouse operations in addition to being billed as inventory is issued. 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.

I. Capital Assets
Government-Wide Statements
Public domain (infrastructure) capital assets include roads, bridges, curbs and gutters, streets, sidewalks, drainage systems, and lighting systems. The accounting treatment of property, plant and equipment (capital assets) depends on whether the assets are used in governmental fund operations or proprietary fund operations and whether they are reported in the government-wide or fund financial statements. Prior to July 1, 2003, governmental funds’ infrastructure assets were not capitalized, since then these assets have been valued at estimated historical cost.

Depreciation of all exhaustible capital assets is recorded as an allocated expense in the Statement of Activities, with accumulated depreciation reflected in the Statement of Net Position. Depreciation is provided over the assets’ estimated useful lives using the straight-line method of depreciation. The City capitalizes assets with an original cost greater than $10,000 and with a useful lifespan longer than two years. No depreciation is recorded in the year of acquisition or in the year of disposition. 47 Attachment 1

The range of estimated useful lives by type of asset is as follows:

Buildings and improvements 30 – 60 years
Roadway improvements 50 years
Sidewalks, curbs and gutters 50 years
Storm drain pipes/structures 50 years
Traffic signal devices 5 – 40 years
Landscaping 30 years
Signage 25 years
Leasehold improvements 5 years
Machinery and equipment 5 – 20 years
Vehicles 5 – 10 years

Fund Financial Statements
In the fund financial statements, capital assets used in governmental fund operations are accounted for as capital outlay expenditures of the governmental fund upon acquisition. Capital assets used in proprietary fund operations are accounted for the same way as in the government-wide statements.

J. Compensated Absences
Compensated absences represent the vested portion of accumulated vacation and sick leave. In governmental funds, the cost of vacation and sick leave benefits is recognized when payments are made to employees. Upon separation, all accrued vacation and accrued comp time is paid and in proprietary funds, a long-term liability for such benefits has been recorded.

K. Deferred Outflows/Inflows of Resources
Deferred outflows and inflows of resources represent the consumption or acquisition of net assets applicable to future periods. The City reports deferred outflows related to pensions, leases, and bond refunding costs under GASB Statements No. 68, 87, and 63. Deferred inflows are recorded for resources received after the eligibility requirements are met but the revenues are not received within the availability period, or are amounts arising from actuarial assumptions.

L. Net Position Flow Assumptions
Sometimes the City will fund outlays for a particular purpose from both restricted (e.g. restricted bond or grant proceeds) and unrestricted resources. In order to calculate the amounts to report as restricted net position and unrestricted net position in the statement of net position, a flow assumption must be made about the order in which the resources are applied.

It is the City’s policy to consider restricted net position to have been depleted before unrestricted net position.

M. Long-term Liabilities
In both the governmental-wide financial statements and proprietary fund financial statements, long-term debt and other long-term liabilities are reported as liabilities in the applicable statement of net position. Bond premiums and discounts are deferred and amortized over the life of the bond.

In the fund financial statements, governmental fund types recognized bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. 48 Attachment 1

N. Equity Classification
Government-Wide Statements
Equity is classified as net position and is displayed in three components:

Net investment in capital assets – consists of capital assets, including restricted capital assets, net of accumulated depreciation and reduced by the outstanding balances of any bonds, mortgages, notes, or other borrowings that are attributable to the acquisition, construction, or improvement of those assets.

Restricted net position – consists of net position with constraints placed on the use by external groups such as creditors, grantors, contributors, or by laws or regulations of other governments or law through constitutional provisions or enabling legislation.

Unrestricted net position – all other net position that do not meet the definition of “restricted” or “net investment in capital assets debt.”
Fund Financial Statements
Governmental fund equity is classified as fund balance. Fund balance is classified as nonspendable, restricted, committed, assigned or unassigned. Proprietary fund equity is classified the same as in the government-wide statements.

The classifications for governmental funds are defined as follows for the City:

Fund balances for governmental funds are reported in categories that reflect the extent to which the City is bound to honor constraints on spending:
• Nonspendable: Includes amounts not in spendable form or legally required to be maintained intact. (e.g., inventory).
• Restricted: Amounts constrained by external parties or enabling legislation. • Committed: Amounts designated for specific purposes by formal action (ordinance or resolution) of the City Council.
• Assigned: Amounts the City intends to use for specific purposes. • Unassigned: Residual amounts in the General Fund not classified elsewhere.

The General Fund is the only fund that reports a positive unassigned fund balance. In other governmental funds it is not appropriate to report a positive unassigned fund balance amount. However, in governmental funds other than the General Fund, if expenditures incurred for specific purposes exceed the amounts that are restricted, committed, or assigned to those purposes, it may be necessary to report a negative unassigned fund balance in that fund.

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.

An additional safeguard to the City’s fiscal sustainability lies in the General Fund’s strategic reserve. The Council created this reserve in FY 2013 at 25 percent of operating expenditures for the year. The reserve is to be used to ensure adequate resources are available to manage cash flow and economic uncertainties, minimizing the impact to our employees and the Ukiah citizenry to the greatest extent possible. 49 Attachment 1

O. Property Taxes
Property taxes in the State of California are administered for all local agencies at the county level and consist of secured, unsecured and utility tax rolls. The following is a summary of major policies and practices relating to property taxes:

Property Valuations are established by the Mendocino County Assessor for the secured and unsecured property tax rolls; the utility property tax roll is valued by the State Board of Equalization. Under the provision of Article XIII-A of the State Constitution (Proposition 13, adopted by the voters on June 6, 1978), properties are assessed at 100 percent of full value. From this base assessment, subsequent annual increases in valuation are limited to a maximum of two percent.

However, an increase to full value is allowed for property improvements or upon change in ownership. Personal property is excluded from these limitations and is subject to annual reappraisal.

Tax Levies are limited to one percent of full assessed value which results in a tax rate of one percent assessed valuation under the provisions of Proposition 13. Tax rates for voter-approved indebtedness are excluded from this limitation.

Tax Levy Dates are attached annually on January 1, preceding the fiscal year for which the taxes are levied. The fiscal year begins July 1 and ends June 30 of the following year. Taxes are levied on both real and unsecured personal property as it exists at that time. Liens against real estate, as well as the tax on personal property are not relieved by subsequent renewal or change in ownership.

Tax Collections are the responsibility of the Mendocino County Treasurer-Tax Collector. Taxes and assessments on secured and utility rolls, which constitute a lien against the property, may be paid in two installments.

The First is due on November 1 of the fiscal year and is delinquent if not paid by December 10; the second is due on March 1 of the fiscal year and is delinquent if not paid by April 10.

Unsecured personal property taxes do not constitute a lien against property unless the taxes become delinquent.

Payments must be made in one installment, which is delinquent if not paid by August 31 of the fiscal year. Significant penalties are imposed by the county for late payments. The City has elected to receive the City’s portion of the property taxes from the county under the county Teeter Bill program. Under this program, the City receives 100 percent of the City’s share of the levied property taxes in periodic payments with the county assuming the responsibility for the delinquencies.

Property Tax Administration Fees – the state of California FY 90-91 Budget Act authorized counties to collect an administrative fee for collection and distribution of property taxes.

Tax Levy Apportionments – due to the nature of the City-wide maximum levy, it is not possible to identify general-purpose tax rates for specific entities. Under State legislation adopted subsequent to the passage of Proposition 13, apportionments to local agencies are made by the county’s auditor-controller based primarily on the ratio that each agency represented of the total City-wide levy for the three fiscal years prior to fiscal year 1979.

P. Interfund Transfers
Resources are reallocated between funds by reporting them as interfund transfers. For the purposes of the Statement of Activities, all interfund transfers between individual governmental funds have been eliminated. 50 Attachment 1

Q. Pensions
The City participates in the California Public Employees' Retirement System (CalPERS) and accounts for its pension obligations under GASB Statement No. 68. Pension liabilities, expenses, and deferred inflows/outflows are based on actuarial valuations. Pension contributions are recognized as expenditures when due in governmental funds and are deferred I the government-wide and proprietary funds.

R. New or Closed Funds
The City closed two funds:
• Community-Based Transitional Housing
• American Rescue Fund
S. Leases
Lessor Accounting
The City acts as a lessor for noncancellable leases of City-owned land. In accordance with GASB Statement No. 87, the City recognizes a lease receivable and a deferred inflow of resources in both the government-wide and governmental fund financial statements at the commencement of the lease.

Initial Measurement
At the commencement of the lease, the lease receivable is measured at the present value of expected lease payments to be received during the lease term. The deferred inflow of resources is measured at the same amount as the lease receivable, adjusted for any lease payments received at or before the lease commencement date.

Subsequent Measurement
• The lease receivable is subsequently reduced by the principal portion of lease payments as they are received.
• The deferred inflow of resources is recognized as revenue over the lease term in a systematic and rational manner that aligns with the pattern of benefit provided to the lessee.

Key Estimates and Judgments
Significant estimates and judgments are required in determining key inputs for lease accounting. These include:

1. Discount Rate:
• The City uses its incremental borrowing rate as the discount rate to calculate the present value of expected lease payments.

2. Lease Term:
• The lease term includes the noncancellable period of the lease, along with any optional renewal periods that the lessee is reasonably certain to exercise.

3. Lease Receipts:
• Lease receipts are composed of fixed payments specified in the lease agreement.

Monitoring and Remeasurement
The City monitors changes in circumstances that may require remeasurement of the lease receivable and deferred inflows of resources. Remeasurement is performed when changes occur that are expected to significantly affect:
• The lease term.
• The amount of expected lease receipts.

Such changes include modifications to the lease agreement or significant changes in lessee payments or conditions affecting the lessee’s ability to meet payment obligations. 51 Attachment 1

NOTE 2 – STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY
State and federal laws, as well as sound financial management practices, require governments to manage resources responsibly and ensure compliance with adopted budgets and other financial policies. In certain instances, fund balances or net positions may report deficits, which reflect timing differences, operational challenges, or other financial circumstances.

The following schedule provides information on major and non-major funds that reported deficit fund balances or net positions as of June 30, 2024. For each deficit, an explanation of its cause and the steps being taken to address the deficit is provided. The City is committed to resolving these deficits through various measures, including the use of specific revenue sources, operational adjustments, or financial planning strategies.

This disclosure ensures transparency and accountability while providing users of the financial statements with a clear understanding of the financial condition of these funds.

The following major and non-major funds had deficit fund balances/net positions as of June 30, 2024, Major and Non-major Governmental Funds
Fund Name
Deficit
Amount Discussion/Explanation
Streets Capital
Improvement
Fund
$(2,247,948) Deficit amount is the result of capital projected funded by a specific general revenue source (Measure Y) and will be eliminated with revenues received in 2025.

ARRC (21,979) Deficit amount is the result of prior capital projects and operational deficiencies. The deficit is being eliminated with future revenues generated by ARRC operations.

Winter Special
Events
(194,517) Deficit amount is the result of a capital acquisition using an interfund loan with the general fund and losses in the reporting year. The loan will be repaid with current available revenues annually, with full payoff expected in five years.

Playground &
Park Amenities
(179,739) Deficit amount is the result of capital funded by a specific revenue sources and will be eliminated when future and unavailable revenues are made available.

Riverside Park (57,004) Deficit amount is the result of capital funded by a specific revenue sources and will be eliminated when future and unavailable revenues are made available.

Rail Trail (505,458) Deficit amount is the result of capital funded by a specific revenue sources and will be eliminated when future and unavailable revenues are made available. 52 Attachment 1

Major and Non-major Proprietary Funds
Fund Name
Deficit
Amount Discussion/Explanation
Landfill (11,107,389) Total estimated costs for closure, post-closure, and corrective action plan exceed available resources by $5.6 million. Recently enacted surcharges collected at the Ukiah Transfer Station are expected to fund the difference.

Those amounts are reported as transfers into the landfill enterprise fund.

Ambulance
Services
(517,226) Resulted from startup costs, including capital acquisitions. Paid for by an internal loan from the general fund. Will be repaid by fees collected for ambulance services.

Street Lighting (269,579) Resulted from past operational deficits and will be repaid by enhanced service fees.

Public Safety
Dispatch
(20,908) Amounts charged to other agencies were insufficient to cover all operating and capital costs in the fund. The City has renegotiated the terms of those service agreements to increase charges and will cover the deficit with additional contributions from its general fund in 2025.
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53 Attachment 1

NOTE 3 – CASH AND INVESTMENTS
The City follows the practice of pooling cash and investments of all funds except for the restricted funds required to be held by outside custodians, fiscal agents or trustees under the provisions of bond indentures. Cash and investments as of June 30, 2024 are classified in the accompanying financial statements as follows:

Cash and Investments
Total
Cash equivalents and investments
Pooled cash and investments, at fair value
Cash in bank $ 10,450,330
Cash in investment portfolio, excluding LAIF 23,695,822 Cash with LAIF 616,181
Total pooled investment balances 24,312,003
Non pooled cash and investments, at fair value
Petty cash 7,168
Refundable deposits 5,885
Deposits with NCPA 5,114,423
Total non pooled cash, at fair value 5,127,476
Cash with fiscal agent 23,233,489
Total non pooled investments, at fair value 23,233,489
Total cash equivalents and investments $ 63,123,298
Investment Portfolio Analysis
PAR % of Portfolio
Permitted
by Policy
In compliance
with
investment
policy <1 1 to 2 >2
$ 12,450,000 US treasury obligations 50.60% 100% Yes $ - $ 4,240,543 $ 8,068,512 $ 12,309,055 Federal agency: -
$ 2,187,593 Commercial Mortgage-Backetd Security 8.89% 100% Yes 693,698 864,364 566,578 2,124,640 $ 250,000 Bond / Note 1.02% 100% Yes - 251,086 251,086
$ 120,000 Municipal obligations 0.49% 100% Yes 53,767 62,395 - 116,162 $ 3,940,000 Corporate notes 16.01% 30% Yes 313,210 1,524,017 2,048,775 3,886,002 $ 875,000 Certificates of deposit 3.56% 30% Yes - 475,992 400,193 876,185 $ 4,107,312 Asset-backed securities 16.69% 20% Yes - 214,303 3,857,982 4,072,285 $ 616,181 Local agency investment fund 2.50% $75M Yes 616,181 - - 616,181 $ 60,406 Money market 0.25% 20% Yes 60,407 - - 60,407
$ 24,606,493 Total pooled investments 100.00% $ 1,737,263 $ 7,381,614 $ 15,193,126 $ 24,312,003 $ 42,890,488 Money market 99.67% 20% Yes 23,072,058 - - 23,072,058 $ 144,049 County of Mendocino treasury 0.33% 100% Yes 161,431 161,431 Total non-pooled investments 100.00% $ 23,233,489 $ - $ - $ 23,233,489 Maturities (in years)
Collateral and Categorization Requirements
At the fiscal year end, the City’s carrying amount of demand deposits was $10,450,330 and the bank account balance was $14,564,653. The difference of $4,114,650 represented outstanding checks and deposits in transit. All deposits not insured by Federal Depository Insurance Corporation (FDIC) would be covered by collateralized securities in accordance with California Government Code Section 53600-53609.

Investment Policy
The table below identifies the investment types that are authorized under provisions of the City’s investment policy adopted August 16, 2005 (subsequently updated July 5, 2017), and in accordance with Section 53601 of the California Government Code. The table also identifies certain provisions of the investment policy that address interest rate risk, credit risk, and concentration of credit risk. The City’s investment policy also limits the weighted average of the City’s investment portfolio to 2.5 years and except for obligations of the U.S. government and its agencies, no more than 10 percent of the portfolio may be invested in the securities of any single issuer. 54 Attachment 1

Authorized Investment Type Maximum Maturity Maximum Percentage of Portfolio
Maximum
Investment in One
Issuer
City of Ukiah Bonds 5 Years None 10%
U.S. treasury obligations 5 Years Unlimited None
State of California obligations 5 Years None 10%
Non-California state obligations 5 Years None 10%
Local agency obligations 5 Years None 10%
Federal agency or government sponsored
enterprise obligations
5 Years None 10%
Bankers' acceptances 180 Days 40% 5%
U.S. Commercial paper (highest rating) 270 Days 25% 5%
Negotiable certificates of deposit 5 Years 30% 5%
Repurchase agreements (1) 365 Days None 10%
Reverse repurchase agreements (2) 92 Days 20% 10%
Medium-term notes-corporate or depository
institutions (3)
5 Years 30% 5%
Money market funds (highest rating) n/a 20% 10%
Local Agency Investment Fund (LAIF) N/A $75m $75m
Time deposits 5 Years 25% 10%
Mortgage-backed and Asset-backed Securities
(rated "AA" or better)
5 Years 20% 10%
(1) Fair value of collateral shall be valued at 102 percent and monitored daily. (2) Requires prior City Council approval.
(3) Five years or less.

Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment the greater the sensitivity of its fair value to changes in market interest rates. One of the ways that the City of Ukiah manages its exposure to interest rate risk is by investing in the State of California’s Local Agency Investment Fund (LAIF), whose underlying securities have staggered maturities and are generally due on demand, which provides cash flow and liquidity needed for operations.
55 Attachment 1

Disclosures Relating to Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by nationally recognized statistical rating organization.

The City’s investment policy limits credit risk by requiring compliance with the California Government Code for investment of public funds, as described in detail above.

Concentration of Credit Risk
Except for securities of the U.S. Government and its agencies, the investment policy of the City limits the amount that can be invested in any one issuer to no more than 10 percent of the total portfolio. As of June 30, 2024, holdings in any one issuer did not exceed 5 percent of the total portfolio.

Custodial Credit Risk
The credit risk for deposits is the risk that, in the event of failure of a depository financial institution, a government will not be able recover its deposits or will not be able to recover collateral securities that are in the possession on an outside party. The California government code and the City’s investment policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for deposits, 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 be equal at least 110 percent 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 percent of the secured public deposits.

At June 30, 2024, the City had $13,564,653 in financial institutions that were not covered by the FDIC but were covered by collateralized securities of the financial institutions where the deposits were maintained.

The credit risk for investments is the risk that, in the event of the failure of counterparty (e.g., broker-dealer) to a transaction, a government will not be able to recover the value of investment or collateral securities that are in the possession of another party. The California government code and the City’s investment policy do not contain legal or policy requirements that would limit the exposure to custodial risk for investments. With respect to investments, custodial credit risk generally applies only to direct investments in marketable securities. Custodial credit risk does not apply to a local government’s indirect investment in securities using mutual funds or government investment pools (such as LAIF).

Credit Risk Schedule
Investment Type AAA AA+ to A- BBB+ Unrated
US Treasury obligations $ 12,309,055 N/A $ - $ 12,309,055 $ - $ - Federal agency/GSE 2,124,640 N/A - 2,124,640 - -
Municipal obligations 116,162 N/A 116,162 - -
Bank Note 251,086 N/A 251,086 - -
Negotiable certificates of deposit 876,185 N/A - 876,185 - - Corporate notes 3,886,002 N/A - 3,452,011 433,991 -
Asset-backed securities 4,072,285 N/A 3,249,320 822,965 LAIF 616,181 N/A - - - 616,181
Money market 60,407 N/A - - - 60,407
County of Mendocino treasury 161,431 N/A - - - 161,431
Held by fiscal agent:

Money market 23,072,058 N/A - - - 23,072,058
Total $ 47,545,492 $ 3,249,320 $ 19,129,139 $ 433,991 $ 24,733,042 Total Investment
Minimum
Legal Rating
Rating as of Fiscal Year End
56 Attachment 1

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 other than quoted process included in Level 1 and are valued using a matrix pricing model using either directly or indirectly observable inputs; Level 3 inputs are significant unobservable inputs.

Fair Value Schedule
Investment Type 1 2
US Treasury obligations $ 12,309,055 $ - $ - $ 12,309,055 Federal agency/GSE 2,124,640 - - 2,124,640
Municipal obligations 116,162 - - 116,162
Bank Note 251,086 251,086
Corporate notes 3,886,002 - - 3,886,002
Negotiable certificates of deposit 876,185 - - 876,185
Asset-backed securities 4,072,285 - - 4,072,285
LAIF 616,181 616,181 - -
Money market 60,407 60,407 - -
County of Mendocino treasury 161,431 161,431 - -
Held by fiscal agent:

Money market 23,072,058 23,072,058 - -
Total $ 47,545,492 $ 23,910,077 $ - $ 23,635,415
Total
Investment
Investments
Not Measured
at Fair Value
Level
Participation in an External Investment Pool
The City is a voluntary participant in the California Local Agency Investment Fund (LAIF), which is regulated by California Government Code Section under the oversight of the Local Investment Advisory Board (Board). The Board consists of five members as designated by state statue and is chaired by the State Treasurer who is responsible for the day to day administration of LAIF. The balance available for withdrawal is based on the accounting records maintained by LAIF, which are recorded on an amortized cost basis, which is different from the fair value of the City’s position in the LAIF pool. The State Treasurer determines fair value on its investment portfolio based on market quotations for those securities where market quotations are readily available. As of June 30, 2024, the City’s investment in LAIF was $616,181. The total amount invested by all public agencies at that date was $21.97 billion. LAIF is part of the California Pooled Money Investment Account (PMIA), which at June 30, 2024 has a balance of $178 billion. Financial Statements of LAIF and PMIA may be obtained from the California Treasurer’s web site at www.treasurer.ca.gov.
57 Attachment 1

NOTE 4 – RECEIVABLES
The City’s accounts receivable represent amounts due from a variety of sources as of June 30, 2024. These receivables include balances from grants and subventions, leases, loans, customer accounts, and other accounts related to the City’s operations. The amounts are categorized by governmental and business-type activities and are presented net of any allowance for doubtful accounts.

The receivables reflect the City’s ongoing efforts to recover amounts due for services rendered, grant-funded projects, lease agreements, and loan programs. The allowance for doubtful accounts is based on management’s assessment of the collectability of certain receivables, considering historical trends, economic conditions, and the creditworthiness of the counterparties.

The following schedule summarizes receivables by activity, type, and net amounts. A breakdown of the concentration of receivables is also provided, highlighting the proportion due from other governments versus individuals and businesses.

Accounts receivable consisted of the following at June 30, 2024:

Accounts Receivable
Receivables Allowance Net
Governmental activities
Interest $ 42,822 $ - $ 42,822
Accounts receivable:

Customers 6,708,540 - 6,708,540
Total Governmental activities 6,751,362 - 6,751,362
Business-type activities
Interest 65,230 - 65,230
Accounts receivable:

Customers 11,262,222 (855,823) 10,406,399
Total Business-type activities 11,327,452 (855,823) 10,471,629 Total receivables $ 18,078,814 $ (855,823) $ 17,222,991 As of June 30, 2024, the City’s receivables are composed of 34.1% from other governments and 65.9% from individuals and businesses. Receivables from other governments primarily include amounts due from state and federal grant reimbursements for infrastructure projects and operational programs. Receivables from individuals and businesses consist of utility charges, lease payments, and housing and economic development loans.

No single individual, business, or government entity accounts for more than 25% of the total receivables. As a result, the City does not consider its receivables to be subject to significant concentration risk. 58 Attachment 1

NOTE 5 – LOANS AND NOTES RECEIVABLE
Through the City's various housing rehabilitation funds, first-time homebuyer funds, and business/economic development loan programs, the City provides loans to qualifying individuals and businesses to support affordable housing, community development, and economic growth. Interest rates vary depending on the terms of the loan, ranging from 0% to market, and interest accrues on loans that bear interest. Loans are typically secured by property liens to ensure repayment.

Loans and notes receivable for the year ended June 30, 2024, consisted of the following:

Loans and Notes Receivable
Beginning Ending
7/1/2023 Additions Deletions 6/30/2024
Major governmental funds:

Other Agencies 1,306,314 511,152 - 1,817,466
Miscellaneous 1,176 642 - 1,818
Nonmajor governmental funds:

Special revenue funds:

LMIHF Housing Asset Fund 1,498,057 7,291 - 1,505,348
CDBG Program Income 449,183 133,349 (229,256) 353,276
Home Program Income 8,579,603 218,219 (126,096) 8,671,726 Total governmental funds 11,834,333 870,653 (355,352) 12,349,634 Total loans/notes receivable $ 11,834,333 $ 870,653 $ (355,352) $ 12,349,634 Loan Terms and Policies
Loan Terms:
• Loan terms typically range from 1 to 30 years, depending on the specific program or fund requirements. • Fixed interest rates are applied, ranging from 0% to market, as determined by individual loan agreements.

Default and Delinquency:
• The City monitors loans for delinquency and default. Delinquent loans are subject to collection procedures as outlined in the loan agreements.
• Loans in default may be subject to foreclosure or other legal remedies based on the lien agreements.

Allowance for Doubtful Accounts:
• As of June 30, 2024, the City has determined that all loans are collectible, and no allowance for doubtful accounts has been recorded.

Notes Receivable:
• Notes receivable represent individual loans secured by property liens in favor of the City and the Redevelopment Successor Agency. These loans are funded through various programs, including Community Development Block Grants (CDBG) and federal HOME housing programs. When repaid, the funds are designated for purposes allowed under reuse guidelines. 59 Attachment 1

Program Descriptions
Other Agencies:
• Includes loans provided to the Ukiah Valley Fire Protection District and the Mendocino Solid Waste Management Authority (MSWMA). These loans are typically offered interest-free to honor the partnership nature of the relationship between the City and these agencies. The loans are intended to support operational needs and are structured to be repaid as quickly as possible.

LMHIF Housing Asset Fund:
• Supports low- and moderate-income housing initiatives, consistent with state and federal guidelines.

CDBG Program Income:
• Provides loans for community and economic development activities, primarily for low- and moderateincome households.

HOME Program Income:
• Funds affordable housing activities, including first-time homebuyer assistance and housing rehabilitation projects.
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60 Attachment 1

NOTE 6 – CAPITAL ASSETS
Governmental capital asset activity for the year ended June 30, 2024, was as follows:

Capital Assets - Governmental
Balance Balance
July 1, 2023 Additions Deletions Transfers June 30, 2024 Governmental activities:

Nondepreciable assets:

Land $ 4,596,065 $ - $ - $ - $ 4,596,065
Construction in progress 6,353,352 5,180,734 - (3,986,741) 7,547,345 Total nondepreciable assets 10,949,417 5,180,734 - (3,986,741) 12,143,410 Depreciable assets:

Buildings and improvements 21,090,197 131,224 - 716,944 21,938,365 Technology subscriptions 1,047,946 334,461 - - 1,382,407 Machinery, equipment, and vehicles 11,342,906 347,866 - (203,049) 11,487,723 Infrastructure and network 71,127,397 - - 2,942,680 74,070,077 Total depreciable assets 104,608,446 813,551 - 3,456,575 108,878,572 Total 115,557,863 5,994,285 - (530,166) 121,021,982
Accumulated depreciation and amortization:

Buildings and improvements (9,310,175) (722,746) - 206,080 (9,826,841) Technology subscriptions (188,470) (428,201) - - (616,671) Machinery, equipment, and vehicles (6,821,930) (566,687) - 131,218 (7,257,399) Infrastructure and network (27,694,763) (800,886) - - (28,495,649) Total accumulated depreciation (44,015,338) (2,518,520) - 337,298 (46,196,560) Net depreciable assets 60,593,108 (1,704,969) - 3,793,873 62,682,012 Total governmental capital assets, net $ 71,542,525 $ 3,475,765 $ - $ (192,868) $ 74,825,422 Allocation of Depreciation and Amortization Expense
Governmental Activities:

General government $ 682,308
Public works 1,162,240
Public safety 184,762
Recreation and culture 212,246
Parks, buildings, and grounds 276,964
Total Depreciation Expense $ 2,518,520
61 Attachment 1

Business-type capital asset activity for the year ended June 30, 2024, was as follows:

Capital Assets - Business-type
Balance Balance
July 1, 2023 Additions Deletions Transfers June 30, 2024 Business-type activities:

Nondepreciable assets:

Land $ 7,747,880 $ 303,272 $ - $ - $ 8,051,152
Capacity rights 270,000 - - - 270,000
Construction in progress 10,497,502 41,003,604 - (235,569) 51,265,537 Total nondepreciable assets 18,515,382 41,306,876 - (235,569) 59,586,689 Depreciable assets:

Buildings and improvements 63,250,559 212,123 - 327,112 63,789,794 Machinery, equipment, and vehicles 14,989,389 284,644 - 427,212 15,701,245 Infrastructure and network 176,187,957 3,714,223 - 11,409 179,913,589 Total depreciable assets 254,427,905 4,210,990 - 765,733 259,404,628 Total 272,943,287 45,517,866 - 530,164 318,991,317
Accumulated depreciation:

Buildings and improvements (36,685,636) (1,406,976) - (206,080) (38,298,692) Machinery, equipment, and vehicles (9,050,663) (902,624) - (131,218) (10,084,505) Infrastructure and network (45,382,978) (3,445,286) - - (48,828,264) Total accumulated depreciation (91,119,277) (5,754,886) - (337,298) (97,211,461) Net depreciable assets 163,308,628 (1,543,896) - 428,435 162,193,167 Total business-type capital assets, net $ 181,824,010 $ 39,762,980 $ - $ 192,866 $ 221,779,856 Business-type Activities:

Landfill $ 15,002
Electric 1,249,920
Water 1,885,510
Wastewater 2,269,990
Parking 1,197
Ambulance 36,209
Golf 5,818
Conference Center 51,007
Airport 210,490
Allocated internal services 29,743
Total Depreciation Expense $ 5,754,886
62 Attachment 1

NOTE 7 – LONG-TERM LIABILITIES
The following is a summary of changes in long-term liabilities for the year ended June 30, 2024.

Long-term Obligations
Beginning
Balance Ending Balance
Governmental Activities July 1, 2023 Additions Reductions June 30, 2024 2017 fire engine lease (direct borrowing) $ 540,505 967 $ 115,159 $ 426,313 $ 118,051 2017 I-Bank financing lease (direct borrowing) 3,572,341 - 94,183 3,478,158 97,290 Technology subscription liability 845,509 334,462 566,585 613,386 285,176 2020 fire brush truck equipment lease (direct borrowing) 164,943 - 21,908 143,035 22,437 2020 fire self-contained breathing apparatus equipment lease 265,369 - 32,694 232,675 33,485 Series 2020A Community Facilities Lease Revenue Bonds 2,200,000 - 95,000 2,105,000 95,000 2020A unamortized premium 316,016 - 17,556 298,460 17,556 Series 2020B CalPERS Taxable Lease Revenue Bonds 31,175,043 - 841,953 30,333,090 864,708 Series 2022 Lease Revenue Bonds (Street Projects) 14,105,000 - 1,335,000 12,770,000 1,385,000 2022 unamortized premium- Streets Projects 1,341,893 - 167,737 1,174,156 167,737 Series 2022 Lease Revenue Bonds (Corporation Yard Projects) 14,615,000 - 280,000 14,335,000 290,000 2022 unamortized premium-Corp Yard Projects 1,133,755 - 40,491 1,093,264 40,491 Claims payable 143,486 - 143,486 - -
Net pension liability 11,167,808 4,333,566 - 15,501,374 - Compensated absences 1,227,318 61,191 21,824 1,266,685 126,666 Total $ 82,813,986 $ 4,730,186 $ 3,773,575 $ 83,770,596 $ 3,543,597 Business-Type Activities
2017 CalTrans Aeronautics Loan - Airport (direct borrowing) $ 138,077 $ - $ 11,157 $ 126,920 $ 11,417 2016 Water Revenue Refunding Bonds 7,640,000 - 435,000 7,205,000 460,000 2016 unamortized premium 1,237,899 - 95,223 1,142,676 95,223 Landfill closure and post-closure 21,145,540 791,198 - 21,936,738 - 2017 SWRCB recycled water loan (direct borrowing) 17,183,644 - 534,831 16,648,813 540,180 Series 2020 Wastewater Refunding Bonds 20,713,000 - 1,507,000 19,206,000 1,543,000 Series 2020B CalPERS Taxable Lease Revenue Bonds 16,774,957 - 453,047 16,321,910 465,292 Series 2022 Lease Revenue Bonds (Utilities Projects) 8,770,000 - - 8,770,000 - 2022 Utilities unamortized premium - Utilities Projects 1,070,758 - 59,486 1,011,272 59,486 Series 2022 Electric Revenue Bonds 9,190,000 - 310,000 8,880,000 330,000 2022 Electric unamortized premium 993,609 - 55,200 938,409 55,200 Net pension liability 5,237,038 - 1,017,194 4,219,844 - Compensated absences 547,776 168,023 14,106 701,692 70,169 Total $ 110,642,298 $ 959,221 $ 4,492,244 $ 107,109,274 $ 3,629,967 Due within One
Year
The general fund is primarily responsible for liquidating the net pension liability and compensated absences of governmental activities.

GOVERNMENTAL ACTIVITIES
2017 Fire Engine Lease (direct borrowing)
In October 2017, the City entered into a finance purchase agreement with Umpqua Bank for the purchase of two Type-1 fire engines totaling $1,125,731. Principal and interest payments are due semi-annually on May 1 and November 1 of each year with an interest rate of 2.45 percent. Lease payments are made by the General Fund. The total combined amount of accumulated depreciation on both fire engines is $408,993. The agreement contains a provision that if a default occurs then the City shall pay to the lessor the entire outstanding balance of all progress payments advanced by lessor plus all interim rent due through the commitment termination date. Interest shall accrue on the total amount due hereunder at the lesser of eighteen percent (18 %) per annum or the maximum rate permitted by law from the commitment termination date to the date of actual payment. 63 Attachment 1

2017 I-Bank Financing Lease (direct borrowing)
In August 2017, the City entered into an agreement for $4,000,000 with the California Infrastructure and Economic Development Bank (I-Bank) to finance roadway and other right-of-way improvements related to the Redwood Business Park. Principal is paid annually commencing on August 1, 2018, and interest payments are made semiannually on August 1 and February 1 at an interest rate of 3.30 percent. Lease payments are made primarily by the General Fund. The total combined amount of accumulated depreciation on the roadway improvements is $400,000.

The funds are secured with collateral of a leased asset located at 300 Seminary Avenue, Ukiah. The note contains a provision that in the event of default, and to terminate the financing lease, the City will surrender the possession of the leased asset. The City may elect not to terminate the lease, and to continue to pay each installment. There contain no acceleration clauses.

Subscription-Based Information Technology Arrangements (SBITAs) The City has entered into three subscription-based information technology arrangements (SBITAs) subject to GASB Statement No. 96, which require the recognition of a right-to-use intangible asset and a corresponding liability for the subscription term. These arrangements support essential City operations. During the fiscal year ended June 30, 2024, the City recorded a principal reduction of $40,250 on its SBITA liability. Payments under these agreements are budgeted annually and allocated to the respective operating funds benefiting from the arrangements. The liability reflects the present value of future payments discounted at the City’s incremental borrowing rate of 3.5%.
2020 Fire Brush Truck Lease (direct borrowing)
In February 2020, the City entered into a finance purchase agreement with Umpqua Bank for the purchase of one Skeeter fire brush truck totaling $227,606. Principal and interest payments are due semi-annually on March 1 and September 1 of each year with an interest rate of 2.8 percent. Lease payments are made by the General Fund. The total combined amount of accumulated depreciation on this truck is $34,141. The agreement contains a provision that if a default occurs then the City shall pay to the lessor the entire outstanding balance of all progress payments advanced by lessor plus all interim rent due through the commitment termination date. Interest shall accrue on the total amount due hereunder at the lesser of eighteen percent (18%) per annum or the maximum rate permitted by law from the commitment termination date to the date of actual payment. 2020 Self-Contained Breathing Apparatus Lease (direct borrowing) In November 2020, the City entered an equipment lease with Umpqua Bank for the purchase of one self-contained breathing apparatus system totaling $343,762.85. Principal and interest payments are due on June 1 and December 1 of each year with an interest rate of 2.39 percent. Lease payments are made by both the General Fund and the Ukiah Valley Fire District at an even 50 percent split. The agreement contains a provision that if a default occurs then the City shall pay to the lessor the entire outstanding balance of all progress payments advanced by lessor plus all interim rent due through the commitment termination date. Interest shall accrue on the total amount due hereunder at the lesser of eighteen percent (18%) per annum or the maximum rate permitted by law from the commitment termination date to the date of actual payment.

Series 2020A Lease Revenue Bonds (Community Facilities Improvement Project) The Series 2020A Lease Revenue Bonds (Community Facilities Improvement Project), dated December 1, 2020, were issued in the original amount of $2,530,000 and are secured with a pledge consisting primarily of base rental payments to be made by the City as rental for certain City-owned property. The bonds were issued to reimburse the City for the purchase of the Bank of America building in 2020 and to fund renovations for the new customer service center and roof replacement at the museum. As of June 30, 2024, renovations have been delayed due to compliance with ADA and other architectural challenges, and the remaining bond proceeds continue to be reserved for these 64 Attachment 1

improvements. Principal payments are due annually in amounts ranging from $150,000 to $175,000 through 2040, with interest payable semi-annually on April 1 and October 1, at rates ranging from 3.00 percent to 4.00 percent. In the event of default, there is no remedy of acceleration of the total base rental payments due over the term of the lease, and neither the Ukiah Public Financing Authority nor the Trustee is empowered to sell or relet the leased facilities to redeem the bonds or pay debt service.

Series 2020B Taxable Lease Revenue Bonds (CalPERS Prepayment Project) Dated December 1, 2020, the original amount of the obligation was $49,875,000 and is secured with a pledge consisting primarily of base rental payments to be made by the City as rental for certain City-owned property. This obligation is shared with business-type funds, with the governmental fund’s share being 65 percent. The obligation principal is payable in annual installments, ranging from $705,000 to $3,015,000 through year 2049. Interest is payable semi-annually on April 1 and October 1 of each year, commencing October 1, 2023, with an interest rate ranging from 1.37 percent to 3.706 percent. The Series 2020B Taxable Lease Revenue Bonds were issued to refinance a portion of the UAL of the City’s Miscellaneous, Safety Fire, and Safety Police pension plans with CalPERS. In the event of a default, there is no remedy of acceleration of the total base rental payments due over the term of the lease and neither the Ukiah Public Financing Authority nor the Trustee are empowered to sell or relet the leased facilities and use the proceeds of such sale or reletting to redeem the bonds or pay debt service with respect thereto.

Series 2022 Lease Revenue Bonds (Street Projects)
Dated March 9, 2022, the original amount of the obligation was $15,350,000 and is secured with a pledge consisting primarily of base rental payments made for the use of all the city’s street. The obligation principal is payable in annual installments beginning April 1, 2023, ranging from $1,245,000 to $1,825,000. Interest on the Bonds are payable semiannually on April 1 and October 1 of each year, commencing October 1, 2023, and bear an interest rate of 4.0 percent. The Series 2023 Lease Revenue Bonds (Street Projects) were issued to finance various street improvement projects. In the event of a default, there is no remedy of acceleration of the total base rental payments due over the term of the lease and neither the Ukiah Public Financing Authority nor the Trustee are empowered to sell or relet the leased facilities and use the proceeds of such sale or reletting to redeem the bonds or pay debt service with respect thereto.

Series 2022 Lease Revenue Bonds (Corporation Yard Projects) Dated March 9, 2022, the original amount of the obligation was $14,850,000 and is secured with a pledge consisting primarily of base rental payments made for the use of all the city’s street. The obligation principal is payable in annual installments, ranging from $235,000 to $815,000. Interest on the Bonds are payable semiannually on April 1 and October 1 of each year, commencing October 1, 2023, and bear an interest rate of 4.0 percent. The Series 2023 Lease Revenue Bonds (Corporation Yard Projects) were issued to finance the renovation of the city’s Corporation Yard facilities. In the event of a default, there is no remedy of acceleration of the total base rental payments due over the term of the lease and neither the Ukiah Public Financing Authority nor the Trustee are empowered to sell or relet the leased facilities and use the proceeds of such sale or reletting to redeem the bonds or pay debt service with respect thereto.
65 Attachment 1

The annual debt service of these obligations to maturity are as follows:

Debt Service Schedule
Governmental
Year Ending
June 30,
Principal Interest Principal Interest Principal Interest Principal Interest Principal Interest 2025 118,051 9,908 97,290 123,609 285,176 23,105 22,437 3,307 33,485 5,397 2026 121,016 6,943 100,501 120,053 289,322 12,299 22,980 2,764 34,295 4,587 2027 124,055 3,904 103,817 116,381 38,889 1,361 23,536 2,208 35,125 3,757 2028 63,191 789 107,243 112,587 - - 24,106 1,638 35,975 2,907 2029 - - 110,782 108,667 - - 24,689 1,055 36,846 2,036
2030-2034 - - 611,223 479,868 - - 25,287 457 56,949 1,375 2035-2039 - - 718,955 360,564 - - - - - -
2040-2044 - - 845,674 220,235 - - - - - -
2045-2049 - - 782,677 58,699 - - - - - -
2050-2054 - - - - - - - - - -
Total $ 426,313 $ 21,544 $ 3,478,158 $ 1,700,663 $ 613,386 $ 36,765 $ 143,035 $ 11,429 $ 232,675 $ 20,059 Due within one year $ 118,051 $ 9,908 $ 97,290 $ 123,609 $ 285,176 $ 23,105 $ 22,437 $ 3,307 $ 33,485 $ 5,397 Due after one year 308,262 11,636 3,380,868 1,577,054 328,210 13,660 120,598 8,122 199,190 14,662 Total $ 426,313 $ 21,544 $ 3,478,158 $ 1,700,663 $ 613,386 $ 36,765 $ 143,035 $ 11,429 $ 232,675 $ 20,059 Year Ending
June 30,
Principal Interest Principal Interest Principal Interest Principal Interest Principal Interest 2025 95,000 84,200 864,708 1,144,675 1,385,000 510,800 290,000 548,863 3,191,147 2,453,864 2026 100,000 80,400 897,216 1,127,367 1,440,000 455,400 305,000 537,263 3,310,330 2,347,076 2027 105,000 76,400 916,722 1,105,489 1,500,000 397,800 315,000 525,063 3,162,144 2,232,363 2028 110,000 72,200 952,480 1,081,303 1,560,000 337,800 325,000 512,463 3,177,995 2,121,687 2029 115,000 67,800 991,490 1,054,172 1,620,000 275,400 340,000 499,463 3,238,807 2,008,593 2030-2034 630,000 267,200 5,623,860 4,776,333 5,265,000 426,800 1,925,000 2,281,313 14,137,319 8,233,346 2035-2039 775,000 130,000 7,015,198 3,648,730 - - 2,355,000 1,842,763 10,864,153 5,982,057 2040-2044 175,000 7,000 8,432,540 2,049,206 - - 2,780,000 1,333,763 12,233,214 3,610,204 2045-2049 - - 4,638,876 473,947 - - 3,330,000 750,325 8,751,553 1,282,971 2050-2054 - - - - - - 2,370,000 155,675 2,370,000 155,675 Total $ 2,105,000 $ 785,200 $ 30,333,090 $ 16,461,222 $ 12,770,000 $ 2,404,000 $ 14,335,000 $ 8,986,950 $ 64,436,662 $ 30,427,832 Due within one year $ 95,000 $ 84,200 $ 864,708 $ 1,144,675 $ 1,385,000 $ 510,800 $ 290,000 $ 548,863 $ 3,191,147 $ 2,453,864 Due after one year 2,010,000 701,000 29,468,382 15,316,547 11,385,000 1,893,200 14,045,000 8,438,088 61,245,515 27,973,969 Total $ 2,105,000 $ 785,200 $ 30,333,090 $ 16,461,222 $ 12,770,000 $ 2,404,000 $ 14,335,000 $ 8,986,950 $ 64,436,662 $ 30,427,832 Capital Lease, Fire Brush Truck
(2020)
Governmental Activities
Series 2020B CalPERS Taxable
Lease Revenue Bonds
Series 2022 Lease Revenue Bonds
(Street Projects)
Capital Lease, Fire Engines (2017) I-Bank Financing Lease (2017) Equipment Lease, Self-Contained
Breathing Apparatus (2020)
Series 2020A Community Facilities
Lease Revenue Bonds
Technology Subscription Liability
Series 2022 Lease Revenue Bonds
(Corporation Yard Projects) Total

Business-Type Activities
2017 Caltrans Aeronautics Loan – Airport (direct borrowing) Loan issued to the City for the design, purchase, and installation of a 12,000-gallon service aviation gas fuel tank at the Ukiah Municipal Airport. Annual principal and interest payments are made at an annual interest rate of 2.33 percent, are due February each year. Revenues generated by airport operations secure payments. In the event of default, the State may take one or more of the following actions: (i) declare the entire outstanding principal amount of the loan and all accrued interest immediately due and payable; (ii) notify the City that they may be ineligible for future financing under the program.
2016 Water Revenue Refunding Bonds
Dated March 1, 2016, the original amount of the obligation was $11,155,000 and is secured with a pledge of net revenues from the City’s Water system. The obligation principal is payable in annual installments beginning September 1, 2016, ranging from $475,000 to $740,000 through September 1, 2035. Interest payments commence September 1, 2016, and are payable semiannually on September 1st and March 1st and pay interest ranging from 2.00 percent to 3.125 percent. The bonds contain a provision that, in an event of default, outstanding amounts may become immediately due. The 2016 Water Revenue Refunding Bonds were issued to refund the 2005 ABAG Bonds (Water Treatment Plant Installment Loan) and the SWRCB Water Treatment Loan. The two debt obligations were used to acquire and construct capital improvements to the City’s water treatment plant.

Series 2020 Wastewater Revenue Refunding Obligations (2020 Wastewater Refunding Project) 66 Attachment 1

Dated February 24, 2020, the original amount of the obligation was $25,010,000 and is secured with a pledge of net revenues from the City’s wastewater system. Proceeds were used to refund the ABAG 2006 Water & Wastewater Revenue Bonds, Series A. The obligation principal and interest payments at an annual interest rate of 2.42% are payable in annual installments, ranging from $1,998,772 to $1,999,719 through March 1, 2035. The bonds contain a provision that, in an event of default, outstanding amounts may become immediately due. 2017 SWRCB Recycled Water Loan (direct borrowing)
In July 2017, the City entered into an agreement with the California State Water Resource Control Board (SWRCB) to finance the development and construction of a recycled water system. Construction was completed in September 2019. Annual principal and interest payments will be made for a thirty-year term at an interest rate of 1.00 percent.

The loan will be repaid with revenues from the Water Enterprise Fund. In the event of a breach of contract, the City will immediately repay any amount equal to the project funds disbursed, accrued interest, penalty assessments and additional payments.

Series 2020B Taxable Lease Revenue Bonds (CalPERS Prepayment Project) Dated December 1, 2020, the original amount of the obligation was $49,875,000 and is secured with a pledge consisting primarily of base rental payments to be made by the City as rental for certain City-owned property. This obligation is shared with governmental funds, with the business-type fund’s share being 35 percent. The obligation principal is payable in annual installments beginning April 1, 2021, ranging from $705,000 to $3,015,000 through year 2049. Interest is payable semi-annually on April 1 and October 1 of each year, commencing October 1, 2021, with an interest rate ranging from 1.37 percent to 3.706 percent. The Series 2020B Taxable Lease Revenue Bonds were issued to refinance a portion of the UAL of the City’s Miscellaneous, Safety Fire, and Safety Police pension plans with CalPERS. In the event of a default, there is no remedy of acceleration of the total base rental payments due over the term of the lease and neither the Ukiah Public Financing Authority nor the Trustee are empowered to sell or relet the leased facilities and use the proceeds of such sale or reletting to redeem the bonds or pay debt service with respect thereto.

Series 2022 Lease Revenue Bonds (Utilities Projects)
Dated March 9, 2022, the original amount of the obligation was $8,770,000 and is secured with a pledge consisting primarily of base rental payments made for the use of all the city’s street. The obligation principal is payable in annual installments, ranging from $435,000 to $760,000. Interest on the Bonds are payable semiannually on April 1 and October 1 of each year, commencing October 1, 2022, and bear an interest rate of 4.0 percent. The Series 2022 Lease Revenue Bonds (Corporation Yard Projects) were issued to finance various utility projects. In the event of a default, there is no remedy of acceleration of the total base rental payments due over the term of the lease and neither the Ukiah Public Financing Authority nor the Trustee are empowered to sell or relet the leased facilities and use the proceeds of such sale or reletting to redeem the bonds or pay debt service with respect thereto.

Series 2022 Electric Revenue Bonds
Dated March 3, 2022, the original amount of the obligation was $9,190,000. The obligation is payable solely from the revenues and from certain other amounts of deposit in funds and accounts. The obligation principal is payable in annual installments, ranging from $310,000 to $680,000. Interest on the Bonds are payable in annual installments commencing on March 1, 2023, and bear interest rates of 3.0 to 5.0 percent. The Series 2023 Bonds are being issued to (i) finance improvements to the Electric System of the City, and (ii) pay certain costs incurred in connection with the issuance of the Bonds. In the event of default, the Trustee has the right to accelerate the total unpaid principal amount of the unpaid payments under the Installment Sale Agreement, including the Installment Payments. However, due to events outside the control of the City, there is no assurance that the City would have sufficient funds to pay the accelerated payments.
67 Attachment 1

The annual debt service of these obligations to maturity are as follows:

Debt Service Schedule
Business-type
Year Ending
June 30, 2017 SWRCB Recycled Water Loan
Principal Interest Principal Interest Principal Interest Principal Interest 2025 11,417 2,957 460,000 294,069 540,180 166,488 1,543,000 455,505 2026 11,683 2,691 480,000 270,569 545,581 161,086 1,581,000 417,934 2027 11,956 2,419 505,000 245,943 551,037 155,631 1,620,000 379,444 2028 12,234 2,140 530,000 220,069 556,548 150,120 1,659,000 339,998 2029 12,519 1,855 560,000 192,819 562,113 144,555 8,922,000 1,074,044 2030-2034 67,111 4,765 3,215,000 533,418 2,896,014 637,324 3,881,000 118,108 2035-2039 - - 1,455,000 45,860 3,043,740 489,597 - -
2040-2044 - - - - 3,199,002 334,337 - -
2045-2049 - - - - 3,362,184 171,156 - -
2050-2054 - - - - 1,392,415 20,921 - -
Total $ 126,920 $ 16,827 $ 7,205,000 $ 1,802,747 16,648,813 2,431,215 $ 19,206,000 $ 2,785,033 Due within one year $ 11,417 $ 2,957 $ 460,000 $ 294,069 $ 540,180 $ 166,488 $ 1,543,000 $ 455,505 Due after one year 115,503 13,870 6,745,000 1,508,678 16,108,633 2,264,727 17,663,000 2,329,528 Total $ 126,920 $ 16,827 $ 7,205,000 $ 1,802,747 16,648,813 2,431,214 $ 19,206,000 $ 2,785,033 Year Ending
June 30,
Principal Interest Principal Interest Principal Interest Principal Interest 2025 465,292 616,086 - 356,300 330,000 372,850 3,349,889 2,264,255 2026 482,784 606,771 - 356,300 345,000 356,350 3,446,048 2,171,701 2027 493,278 594,996 - 356,300 360,000 339,100 3,541,271 2,073,833 2028 512,520 581,978 435,000 356,300 360,000 321,100 4,065,302 1,971,705 2029 533,510 567,238 455,000 338,900 395,000 303,100 11,440,142 2,622,511 2030-2034 3,026,140 2,570,094 2,550,000 1,407,500 2,290,000 1,211,750 17,925,265 6,482,959 2035-2039 3,774,802 1,963,342 3,130,000 825,200 2,820,000 673,250 14,223,542 3,997,249 2040-2044 4,537,460 1,102,655 2,200,000 178,200 1,980,000 120,000 11,916,462 1,735,192 2045-2049 2,496,124 255,026 - - - - 5,858,308 426,182
2050-2054 - - - - - - 1,392,415 20,921
Total $ 16,321,910 $ 8,858,186 $ 8,770,000 $ 4,175,000 $ 8,880,000 $ 3,697,500 $ 77,158,643 $ 23,766,508 Due within one year $ 465,292 $ 616,086 $ - $ 356,300 $ 330,000 $ 372,850 $ 3,349,889 $ 2,264,255 Due after one year 15,856,618 8,242,100 8,770,000 3,818,700 8,550,000 3,324,650 73,808,754 21,502,253 Total $ 16,321,910 $ 8,858,186 $ 8,770,000 $ 4,175,000 $ 8,880,000 $ 3,697,500 $ 77,158,643 $ 23,766,508 Series 2022 Electric Revenue
Bonds
Business-type Activities
Series 2020B CalPERS Taxable
Lease Revenue Bonds
Series 2022 Lease Revenue
Bonds (Utilities Projects) Total
2017 CalTrans Aeronautics Loan -
Airport
2016 Water Revenue Refunding
Bonds
Series 2020 Wastewater
Refunding Bonds
68 Attachment 1

NOTE 8 – LANDFILL CLOSURE
State and federal laws and regulations require the City to place a final cover on its landfill upon closure and to perform maintenance and monitoring functions at the landfill site for 30 years after closure. The recognition of closure and post-closure care costs is based on the amount of landfill used during the year. As of June 30, 2024, the estimated liability for landfill closure and post-closure care costs is $21,936,738, including $1,156,119 for corrective action liability. This liability reflects 100.0% usage (filled) of the landfill.

The estimated total current cost of landfill closure and post-closure care is based on the most recent engineering study, which assumes all equipment, facilities, and services required to close, monitor, and maintain the landfill were acquired as of June 30, 2024. Actual costs may vary due to inflation, changes in technology, or revisions to state and federal regulations.

At June 30, 2024, the City has $10,704,564 in cash and other current assets designated for landfill closure and postclosure care, $4,578,147 of which is held within its pooled investments. This leaves a funding shortfall of $11,232,174, which the City intends to address through future annual contributions, service charges, and other revenue sources.

The liability includes the following components:

Final cover installation: $12,230,581
Post-closure monitoring: $8,550,038
Corrective action liability: $1,156,119
The City adjusts the estimated liability for inflation annually using the U.S. Department of Commerce, Bureau of Economic Analysis, Table 4.

The City is unaware of any noncompliance with current state and federal laws governing landfill closure and postclosure care. Changes in regulations or environmental conditions may result in additional costs. [THIS AREA LEFT BLANK INTENTIONALLY]
69 Attachment 1

NOTE 9 – INTERFUND TRANSACTIONS
Interfund transactions are an integral component of the City’s financial operations, facilitating the transfer of resources between funds to support operations, capital projects, and debt service requirements. These transactions occur with City Council approval as part of the budget process and are recorded in accordance with the City's debt management policy.

INTERFUND TRANSFERS
Transfers represent the reallocation of resources between funds, primarily for the following purposes:

1. To provide subsidies from one fund to another.

2. To fund significant capital projects.

3. To accumulate resources for debt service.

The schedule below details interfund transfers for the fiscal year ended June 30, 2024:

Interfund Transfers
Transfers Out General Fund
Streets Capital
Improvement
Pension Debt
Service Fund
Non-major
Governmental
Funds
Non-major
Enterprise
Funds Landfill Water Wastewater Total
General fund $ - $ 2,728,970 $ 106,331 $ 63,094 $ 250,000 $ - $ - $ - $ 3,148,395 Streets capital improvement - - 813 - - - - - 813
Non-major governmental funds 1,643,633 - 2,554 - - 390,000 - - 2,036,187 Water - - - - - - - 15,312 15,312
Wastewater - - - - - - 289,108 - 289,108
Internal service funds - - 50,136 - - - - - 50,136
Total $ 1,643,633 $ 2,728,970 $ 159,834 $ 63,094 $ 250,000 $ 390,000 $ 289,108 $ 15,312 $ 5,539,951 Transfers In
Significant transfers during the year included:
• $2,728,970 from the general fund to the Streets Capital Improvement Fund, funded by Measure Y proceeds, to support specific capital improvement projects.
• $250,000 from the general fund to a non-major enterprise fund to support ambulance services. • $390,000 transferred from the Transfer Station special revenue fund to the landfill fund to support costs associated with closure activities.
• $289,108 from the wastewater fund to the water fund for annual operating costs of recycled water facilities.
• $106,331 from the general fund to the pension debt service fund to reserve for advanced payments on pension obligations.

INTERFUND BORROWING
Pursuant to the City’s debt management policy, interfund loans are recorded for the purposes of financing operations, grant activities, or capital projects on a temporary basis.

Interfund borrowing facilitates the temporary and long-term reallocation of resources to manage cash flow and finance operational and capital needs. These transactions are classified into the following categories:
70 Attachment 1

Due To/From Other Funds:
• Represent temporary interfund borrowings expected to be repaid within the fiscal year. • These balances address timing differences between cash outflows and reimbursements or revenues.

Advances To/From Other Funds:
• Represent long-term interfund borrowings with specified repayment schedules. • These transactions are formalized through agreements, with terms and conditions approved per the City’s debt management policy.

Interfund Borrowing and Internal Balances
Fund Name Amount Fund Name Amount
Streets Capital Improvements $ 1,281,906 2106 Gas Tax $ 1,281,906 Garage 30,535 City Administrative Services 30,535
General Capital Projects 338,482 General Fund 338,482
Playground & Park Amenities 180,000 City Administrative Services 180,000 Riverside Park 27,005 General Fund 27,005
Riverside Park 30,000 City Administrative Services 30,000 Winter Special Events 18,056 General Fund 18,056
Rail Trail 205,100 General Fund 205,100
Transfer Station 62,808 General Fund 62,808
Ambulance Services Fund 457,000 General Fund 457,000
Conference Center Fund 107,632 General Fund 107,632
Airport Capital Improvement 200,000 General Fund 200,000 Recycled Water 6,002,698 Sanitary Disposal Site 6,002,698 City Wastewater Operations 293,243 Water 293,243
Total Due To 9,234,465 Total Due From 9,234,465
Fund Name Amount Fund Name Amount
Building & Maintenance 270,000 General Fund 270,000
ARRC 36,601 General Fund 36,601
Winter Special Events 177,590 General Fund 177,590
Rail Trail 300,359 General Fund 300,359
Parking District #1 29,136 General Fund 29,136
Ambulance Services Fund 1,072,771 General Fund 1,072,771 Golf 930,200 General Fund 930,200
Conference Center Fund 211,178 General Fund 211,178
Street Lighting 289,121 Electric 289,121
City Sewer Capital Projects 1,681,372 General Capital Projects 1,681,372 Water 502,280 Golf 502,280
Total Advances To 5,500,608 Total Advances From 5,500,608 Total Interfund Borrowing $ 14,735,073 $ 14,735,073
Borrowing Fund (Due To) Lending Fund (Due From)
Borrowing Fund (Advances From) Lending Fund (Advances To) 71 Attachment 1

NOTE 10 – RISK MANAGEMENT
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; and natural disasters for which the City participates The City is a member of the California Intergovernmental Risk Authority (CIRA), a public entity pool comprised of fifty statewide California charter and associate member cities (formerly the Redwood Empire Municipal Insurance Fund [REMIF], see Note 12 for additional information). CIRA is organized under a Joint Powers Agreement pursuant to the California Government Code. The purpose of CIRA is to arrange and administer programs of insurance for the pooling of selfinsured losses and to purchase excess insurance coverage. The City pays an annual premium to CIRA for its workers’ compensation, general liability and property coverage.

The City of Ukiah participates in the following three CIRA programs:

General Liability Insurance
Annual premiums are paid by the member cities and are adjusted retrospectively to cover costs. The City of Ukiah self-insures for the first $25,000 of each loss and pays 100 percent of all losses incurred under $25,000. The City does not share or pay for losses of other cities under $5,000, depending on the entity’s deductible amount.

Participating cities then share in the next $5,000 to $1,000,000 per loss occurrence. Specific coverage includes comprehensive and general automotive liability, personal injury, contractual liability, professional liability, and certain other coverage. CIRA is a member of Public Risk, Innovation, Solutions, and Management (PRISM), which provides CIRA with an additional $39,000,000 liability insurance coverage over and above CIRA retention level of $1,000,000.

Worker’s Compensation
Periodic deposits are paid by member cities and are adjusted retrospectively to cover costs. The City of Ukiah is self-insured for the first $50,000 of each loss and pays 100 percent of all losses incurred under $50,000. The City does not share or pay for losses of other cities under $5,000.

Property Insurance
The City participates in CIRA’s property insurance program. The annual deposits paid by participating member cities are based upon deductibility levels and are not subject to retroactive adjustments. The City of Ukiah has a deductible level of $25,000 for high-risk flood zones and $100,000 for all wildfire and property related claims, and a coverage limit of $600,000,000 declared value.

Separate internal service funds are maintained by the City for the City’s deductibles and allocated share of pooled costs noted above. The total cash and investments held in these funds at June 30, 2024, was $1,045,734.

Changes in the Internal Service Funds claims liability amounts in fiscal year 2024 and 2023 were as follows:
2024 2023
Balance, beginning of the fiscal year $ 143,486 $ 336,555 Claims and adjustments - -
Claims payments (143,486) (193,069)
Balance, end of the fiscal year $ - $ 143,486

72 Attachment 1

In the past four years, no claims for general liability or workers’ compensation have exceeded the City’s purchased insurance coverage.

In accordance with the CIRA governing documents, CIRA Board has the authority to levy a cash assessment for any pooled coverage program on the Participating member. CIRA’s overall equity balance was $26,974,033 as of June 30, 2023.

Risks Management Coverage
Amount Coverage Provider Payment Source
General Liability Claims:
$0-25,000 Self-insured Retention City funds
25,001-40,000,000 PRISM Shared risk pool
Workers Compensation Claims:
$0-10,000 Self-insured Retention City funds
10,001-750,000 (Non-Safety)
1,000,000 (Safety)
Commercial Re-insurance Shared risk pool
1,000,001-20,000,000 Commercial Reinsurance Shared risk pool Property Liability Claims:

Claims other than High Risk
Flood Claims:
$0-100,000 Deductible City funds
100,001-600,000,000 PRISM Shared risk pool
High Risk Flood Claims:
$0-10,000 Deductible City funds
10,001-100,000,000 PRISM Shared risk pool
The following is a summary of the most recent audited financial statements of REMIF as of and for the fiscal year ended June 30, 2023. As of the date of this report, 2024 information was not yet available.

REMIF Equity, June 30, 2023
Total assets $ 33,087,407
Total deferred outflows of resources 123,756
Total liabilities 20,864,602
To deferred inflow of resources -
Members' equity $ 12,346,561
Net operating revenues $ 17,401,152
Total operating expenses 15,813,979
Operating income (loss) $ 1,587,173
The following is a summary of the most recent audited financial statements of CIRA as of and for the fiscal year ended June 30, 2023.
73 Attachment 1

CIRA Equity, June 30, 2023
Total assets $ 83,482,589
Total deferred outflows of resources 1,639,481
Total liabilities 57,527,866
Total deferred inflow of resources 620,171
Members' equity $ 26,974,033
Net operating revenues $ 45,609,714
Total operating expenses 44,757,705
Operating income (loss) $ 852,009
REMIF and CIRA issues separate audited financial reports, which for June 30, 2024 were not available at the time of publication of the City’s Annual Comprehensive Financial Report. Copies of those reports may be obtained from REMIF and CIRA at 2330 East Bidwell Suite 150, Folsom, CA 95630. [THIS AREA LEFT BLANK INTENTIONALLY]
74 Attachment 1

NOTE 11 – PUBLIC EMPLOYEE RETIREMENT PLAN

PUBLIC AGENCY COST-SHARING MULTIPLE-EMPLOYER DEFINED BENEFIT PENSION PLAN (SAFETY) Plan Description
All qualified permanent and probationary employees are eligible to participate in the Public Agency Cost-Sharing Multiple-Employer Defined Benefit Pension Plan (the Plan), administered by the California Public Employees’ Retirement System (CalPERS). The Plan’s benefit provisions are established by statute. The Plan is included as a pension trust fund in the CalPERS Annual Comprehensive Financial Report, which is available online at www.calpers.ca.gov.

The Plan consists of a miscellaneous pool and a safety pool (referred to as “risk pools”), which are comprised of individual employer miscellaneous and safety rate plans, respectively, including those of the City of Ukiah. The City of Ukiah does not have any rate plans in the miscellaneous risk pool. The City of Ukiah's employer rate plans in the safety risk pool include the Safety Fire plan (Fire), the Safety Police plan (Police), the PEPRA Safety Fire plan (PEPRA Safety Fire) and the PEPRA Safety Police plan (PEPRA Police).

Benefits Provided
The Plan provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees and beneficiaries. Benefits are based on years of credited service, equal to one year of full-time employment. Classic members and PEPRA Safety members with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. PEPRA Miscellaneous members with five years of total service are eligible to retire at age 52 with statutorily reduced benefits. All members are eligible for non-duty disability benefits after five years of service. The death benefit is the Basic Death Benefit. The cost-ofliving adjustments for each plan are applied as specified by the Public Employees’ Retirement Law.

Employer Rate Plans in the Safety Risk Pool
Employer rate plan Fire Police PEPRA Fire PEPRA Police
Hire Date
Prior to
January 01,
2013
On or after
January 01,
2013
On or after
January 01,
2013
On or after
January 01,
2013
Benefit formula 3.0% @ 55 3.0% @ 50 2.7% @ 57 2.7% @ 57 Benefit vesting schedule 5 years of
service
5 years of
service
5 years of
service
5 years of
service
Benefit payments Monthly for
life
Monthly for
life
Monthly for
life
Monthly for
life
Retirement age 50 50 50 50
Monthly benefits, as of % of
eligible compensation 2.4% to 3.0% 3.0% 2.0% to 2.7% 2.0% to 2.7% Required employee
contribution rates

8.99% 8.99% 14.5% 14.5%
Required employer
contribution rates

26.11% 29.09% 14.5% 14.5%
75 Attachment 1

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 CalPERS actuary and shall be effective on the July 1 following notice of a change in the rate. Contribution rates for the employer rate plans are determined through the CalPERS’ annual actuarial valuation process. Each employer rate plan’s actuarially determined rate is based on the estimated amount necessary to pay the employer rate plan’s allocated share of the cost of benefits earned by employees during the year, and any unfunded accrued liability. The City of Ukiah is required to contribute the difference between the actuarially determined rate and the contribution rate of employees. The City of Ukiah’s contributions to the risk pools in the Plan for the year ended June 30, 2024, were as follows:

Contributions
Miscellaneous Risk Pool $0
Safety Risk Pool 1,055,925
Total contributions $1,055,925
Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions As of June 30, 2024, City of Ukiah reported net pension liabilities for its proportionate shares of the net pension liability of each risk pool as follows:

Proportionate
Share of Net
Pension Liability
Miscellaneous Risk Pool $0
Safety Risk Pool 7,714,184
Total net pension liability $7,714,184
* The proportionate share of the total NPL to each of the enterprise and internal service funds is not being allocated because it is deemed to have an immaterial effect on the financial statements.

The City of Ukiah’s net pension liability for each risk pool is measured as the proportionate share of each risk pool’s net pension liability. GASB 68 indicates that to the extent different contribution rates are assessed based on separate relationships that constitute the collective net pension liability, the determination of the employer’s proportionate share of the collective net pension liability should be made in a manner that reflects those relationships. The allocation method used by CalPERS to determine each employer’s proportionate share reflects those relationships through the employer rate plans they sponsor within the respective risk pools. An actuarial measurement of the employer’s rate plan liability and asset-related information are used where available, and proportional allocations of individual employer rate plan amounts as of the valuation date are used where not available.

The City of Ukiah’s proportionate share of the net pension liability as of June 30, 2022, the valuation date, was calculated as follows:
76 Attachment 1

In determining an employer’s proportionate share, the employer rate plans included in the Plan were assigned to either the Miscellaneous or Safety risk pool. Estimates of the total pension liability and the fiduciary net position were first determined for the individual rate plans and each risk pool as of the valuation date, June 30, 2022. Each employer rate plan’s fiduciary net position was subtracted from its total pension liability to obtain its net pension liability as of the valuation date. The City of Ukiah’s proportionate share percentage for each risk pool at the valuation date was calculated by dividing the City of Ukiah’s net pension liability for each of its employer rate plans within each risk pool by the net pension liability of the respective risk pool as of the valuation date.

The City of Ukiah’s proportionate share of the net pension liability as of June 30, 2023, the measurement date, was calculated as follows:

Each risk pool’s total pension liability was computed at the measurement date, June 30, 2023, by applying standard actuarial roll-forward methods to the total pension liability amounts as of the valuation date. The fiduciary net position for each risk pool at the measurement date was determined by CalPERS’ Financial Office. The net pension liability for each risk pool at June 30, 2023, was computed by subtracting the respective risk pool’s fiduciary net position from its total pension liability.

The individual employer risk pool’s proportionate share percentage of the total pension liability and fiduciary net position as of June 30, 2023, was calculated by applying City of Ukiah’s proportionate share percentage as of the valuation date (described above) to the respective risk pool’s total pension liability and fiduciary net position as of June 30, 2023, to obtain the total pension liability and fiduciary net position as of June 30, 2023. The fiduciary net position was then subtracted from total pension liability to obtain the net pension liability as of the measurement date.

The City of Ukiah’s proportionate share percentage of the net pension liability for each risk pool as of June 30, 2022, and June 30, 2023, was as follows:

Safety
Risk Pool
Proportion at measurement date – June 30, 2022 0.084746% Proportion at measurement date – June 30, 2023 0.103201% Change – increase (decrease) 0.018455%
77 Attachment 1

For the year ended June 30, 2024, the City of Ukiah recognized pension expense of $2,184,610. At June 30, 2024, the City of Ukiah reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Deferred Outflows of
Resources
Deferred Inflows of
Resources
Differences between Expected and Actual
Experience $1,482,742 ($128,066)
Changes of Assumptions 1,189,122 0
Net Difference between Projected and Actual
Earnings on Pension Plan Investments 3,272,971 0
Adjustment due to Differences in Proportions 1,587,039 (2,690,997) Differences between Actual and Required
Contributions 2,120,369 (2,901,305)
Contributions after Measurement Date 1,055,926 0
Total $10,708,169 ($5,720,368)
$1,055,926 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, 2025. Amounts other than contributions subsequent to the measurement date reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Measurement Date
June 30:

Deferred
Outflows/(Inflows)
of Resources
2024 $591,574
2025 708,643
2026 2,538,617
2027 93,040
2028 0
Thereafter 0
Total 3,931,874
78 Attachment 1

Actuarial Assumptions
The total pension liabilities in the June 30, 2023 actuarial valuations were determined using the following actuarial assumptions:

Safety
Valuation Date June 30, 2022
Measurement Date June 30, 2023
Actuarial Cost Method Entry Age Normal
Actuarial Assumptions:

Discount Rate 6.90%
Inflation 2.30%
Payroll Growth 2.80%
Projected Salary Increase (1) Varies By Age &
Length of Service
Investment Rate of Return (2) 6.80%
Mortality Rate Table (3) Derived using CalPERS’
Membership Data for all
Funds
(1) Depending on age, service and type of employment
(2) Net of Pension Plan Investment and Administrative Expenses; includes Inflation (3) The mortality table was developed based on CalPERS-specific data. The rates incorporate Generational Mortality to capture ongoing morality improvement using 80% of Scale MP 2020 published by the Society of Actuaries. For more details, please refer to the 2021 experience study report that can be found on the CalPERS website.

Discount Rate
The discount rate used to measure the total pension liability was 6.90%. To determine whether the municipal bond rate should be used in the calculation of a discount rate for the Plan, CalPERS stress tested employer rate plans within the Plan that would most likely result in a discount rate that would be different from the actuarially assumed discount rate. Based on the testing, none of the tested employer rate plans run out of assets. Therefore, the current 6.90% discount rate is adequate and the use of the municipal bond rate calculation is not necessary. The stress test results are presented in a detailed report, GASB Statements 67 and 68 Crossover Testing Report for Measurement Date June 30, 2023 based on June 30, 2022 Valuations, that can be obtained from the CalPERS website.

According to Paragraph 30 of GASB 68, the long-term discount rate should be determined without reduction for pension plan administrative expense. For the CalPERS Plan, the 6.80% investment return assumption used in this accounting valuation is net of administrative expenses. Administrative expenses are assumed to be 10 basis points.

An investment return excluding administrative expenses would have been 6.90%. Using this lower discount rate has resulted in a slightly higher total pension liability and net pension liability. CalPERS checked the materiality threshold for the difference in calculation and did not find it to be a material difference. 79 Attachment 1

The long-term expected rate of return on pension plan investments was determined using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.

In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. Projected returns for all asset classes are estimated and, combined with risk estimates, are used to project compound (geometric) returns over the long term. The discount rate used to discount liabilities was informed by the long-term projected portfolio return.

The table below reflects the long-term expected real rate of return by asset class. The rate of return was calculated using the capital market assumptions applied to determine the discount rate and asset allocation. These geometric rates of return are net of administrative expenses.

Asset Class
Assumed
Asset
Allocation
Real
Return 1,2
Global Equity - Cap-weighted 30.00% 4.54%
Global Equity - Non-Cap-weighted 12.00% 3.84%
Private Equity 13.00% 7.28%
Treasury 5.00% 0.27%
Mortgage-backed Securities 5.00% 0.50%
Investment Grade Corporates 10.00% 1.56%
High Yield 5.00% 2.27%
Emerging Market Debt 5.00% 2.48%
Private Debt 5.00% 3.57%
Real Assets 15.00% 3.21%
Leverage (5.00%) (0.59%)
(1) An expected price inflation of 2.3% used for this period. (2) Figures are based on 2021-22 Asset Liability Management study.

Sensitivity of the City of Ukiah’s Proportionate Share of the Net Pension Liability to Changes in the Discount Rate
The following presents the City of Ukiah’s proportionate share of the net pension liability of the each risk pool as of the measurement date, calculated using the discount rate, as well as what the City of Ukiah’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:

Discount Rate
-1% (5.90%)
Current Discount
Rate (6.90%)
Discount Rate
+1% (7.90%)
City of Ukiah’s proportionate
share of the Safety Risk Pool’s
net pension liability
$18,729,588 $7,714,184 ($1,291,693)
80 Attachment 1

AGENT MULTIPLE-EMPLOYER DEFINED BENEFIT PENSION PLAN (MISCELLANEOUS) Plan Descriptions
All qualified permanent and probationary employees are eligible to participate in the City’s separate Miscellaneous Plan, an agent multiple-employer defined benefit pension plan administered by the California Public Employees’ Retirement System (CalPERS), which acts as a common investment and administrative agent for its participating member employers. Benefit provisions under the Plan are established by State statute and Local Government resolution. CalPERS issues publicly available reports that include a full description of the pension plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website.

Benefits Provided
The Plan is an agent multiple-employer defined benefit pension plan administered by the California Public Employees’ Retirement System (CalPERS). A full description of the pension plan regarding number of employees covered, benefit provisions, assumptions (for funding purposes but not accounting purposes), and membership information are listed in the plan’s June 30, 2022 Annual Actuarial Valuation Report. Details of the benefits provided can be obtained in Appendix B of the actuarial valuation report. This report is a publicly available valuation report that can be obtained at CalPERS’ website under Forms and Publications.

The Plan’s provisions and benefits in effect at June 30, 2023, are summarized as follows:

Employees Covered
At June 30, 2024, the following employees were covered by the benefit terms for the Plan:

Benefits Provided
Miscellaneous
Hire Date Prior to January 31, 2013 On or after January 1, 2013 Benefit formula 2.7% @ 55 2% @ 62
Benefit vesting schedule 5 years service
Retirement age 55 62
Monthly benefits as a % of eligible compensation
Retired employee contribution rates 8.00% 8.00%
Required employer contribution rates 13.410% 14.500%
Depending on years of service
Employees Covered by Plan
Active 167
Transferred 34
Separated 115
Retired and beneficiaries 203
Contributions
Section 20814(c) of the California Public Employees’ Retirement Law (PERL) 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. The total plan contributions are determined through CalPERS’ annual actuarial valuation process. 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 employer is required to contribute the difference between the actuarially determined rate and the 81 Attachment 1

contribution rate of employees. Employer contribution rates may change if plan contracts are amended. It is the responsibility of the employer to make necessary accounting adjustments to reflect the impact due to any Employer-Paid Member Contributions or situations where members are paying a portion of the employer contribution.

Net Pension Liability
The City’s net pension liability for the Plan is measured as the total pension liability, less the pension plan’s fiduciary net position. The net pension liability of the Plan is measured as of June 30, 2021, using an annual actuarial valuation as of June 30, 2021 rolled forward to June 30, 2022 using standard update procedures. A summary of principal assumptions and methods used to determine the net pension liability is shown below.

Actuarial Assumptions
The total pension liabilities in the June 30, 2022 actuarial valuations were determined using the following actuarial assumptions:

Actuarial Assumptions
Miscellaneous
Valuation date 6/30/2022
Measurement 6/30/2023
Actuarial cost method Entry-age normal
Discount rate 6.90%
Inflation 2.50%
Projected salary increase Varies by age and length of service Mortality (1) Derived from CalPERS membership data for all funds (1) The mortality table used was developed based on CalPERS-specific data. The probabilities of mortality are based on the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. Mortality rates incorporate full generational mortality improvement using 80% of Scale MP-2020 published by the Society of Actuaries. For more details on this table, please refer to the 2021 experience study report from November 2021 that can be found on the CalPERS website.

Discount Rate
The discount rate used to measure the total pension liability is 6.90 percent. 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.

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 considered both short-term and long-term market return expectations as well as the expected pension fund cash flows. Using historical returns of all the funds’ asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years) and the longterm (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 82 Attachment 1

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:

Asset Class
Assumed
Asset
Allocation
Real
Return 1,2
Global Equity - Cap-weighted 30.00% 4.54%
Global Equity - Non-Cap-weighted 12.00% 3.84%
Private Equity 13.00% 7.28%
Treasury 5.00% 0.27%
Mortgage-backed Securities 5.00% 0.50%
Investment Grade Corporates 10.00% 1.56%
High Yield 5.00% 2.27%
Emerging Market Debt 5.00% 2.48%
Private Debt 5.00% 3.57%
Real Assets 15.00% 3.21%
Leverage (5.00%) (0.59%)
(1) An expected price inflation of 2.3% used for this period. (2) Figures are based on 2021-22 Asset Liability Management study. 83 Attachment 1

Changes in Net Pension Liability
The changes in the Net Pension Liability for the Miscellaneous Plan recognized over the measurement period.

Total Pension
Liability
(a)
Plan Fiduciary
Net Position
(b)
Net Pension
Liability/(Asset)
(a)-(b)
Balance at June 30, 2022 $ 110,420,728 $ 99,839,251 $ 10,581,477 Beginning of Year Adjustment - - -
Adjusted Balance at June 30, 2022 $ 110,420,728 $ 99,839,251 $ 10,581,477 Changes Recognized for the Measurement Period:

Service Cost 2,545,784 2,545,784
Interest on Total Pension Liability 7,534,710 7,534,710 Changes of Benefit Terms 137,979 137,979
Changes of Assumptions - -
Differences Between Expected and Actual Experience 322,603 322,603 Net Plan to Plan Resource Movement - - -
Contribution - Employer - 2,066,108 (2,066,108)
Contribution - Employees - 1,014,518 (1,014,518)
Net Investment Income - 6,108,310 (6,108,310)
Benefits Payments, Including Refunds of Employee
Contributions (5,911,031) (5,911,031) -
Administrative Expense - (73,417) 73,417
Other Miscellaneous Income (Expense) - - -
Net Changes During 2022-2023 4,630,045 3,204,488 1,425,557 Balance at June 30, 2023 $ 115,050,773 $ 103,043,739 $ 12,007,034 Sensitivity of the Net Pension Liability to Changes in the Discount Rate The following presents the net pension liability of the Plan as of the measurement date, calculated using the discount rate of 6.90 percent, as well as what the net pension liability would be if it were calculated using a discount rate that is 1 percentage point lower (5.90 percent) or 1 percentage-point higher (7.90 percent) than the current rate:

Discount Rate -1% Discount Rate Discount Rate +1%

5.90% 6.90% 7.90%
Plan's Net Pension Liability/(Asset) $ 26,934,525 $ 12,007,034 $ (365,223) Pension Plan Fiduciary Net Position
Detailed information about each pension plan’s fiduciary net position is available in the separately issued CalPERS financial reports.

Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions For the year ended June 30, 2024, the City recognized pension expense for the Miscellaneous Plan of $4,474,356. At June 30, 2024, the City reported deferred outflows of resources and deferred inflows of resources for the miscellaneous Plan from the following sources:
84 Attachment 1

Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Pension contributions subsequent to measurement date $ 1,950,742 $ - Changes of assumptions 1,266,317 -
Difference between actual and expected experience 258,418 (495,316) Net differences between projected and actual earnings on plan investments 5,293,677 -
Total $ 8,769,154 $ (495,316)
$1,950,742 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, 2024. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Measurement Periods
Ended June 30:

Deferred
Outflows/(Inflows)
of Resources
2024 $ 1,767,977
2025 1,074,303
2026 3,345,061
2027 135,755
2028 -
Therafter -
Payable to the Pension Plan
At June 30, 2024, the City reported a payable of $ -0- for the outstanding amount of contributions to the pension plan required for the year ended June 30, 2024.
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85 Attachment 1

NOTE 12 – JOINT VENTURES
The City of Ukiah participates in several joint ventures that involve shared governance, financial responsibilities, and operational collaboration with other entities. These joint ventures provide essential services and infrastructure to the City and its residents.

Ukiah Valley Fire Authority (UVFA)
The City of Ukiah is a member of the Ukiah Valley Fire Authority (UVFA), a joint powers authority established in 2017 under the Joint Exercise of Powers Act (California Government Code Section 6500 et seq.). The UVFA was formed through an agreement between the City of Ukiah and the Ukiah Valley Fire Protection District to provide coordinated fire protection, emergency medical response, and disaster preparedness services across the Ukiah Valley region.

The UVFA is governed by a Fire Authority Board with representatives from both the City and the District. The Board is responsible for establishing policies, approving budgets, and overseeing operations. The UVFA is funded through member contributions, service fees, and other revenue sources. While the City provides staffing, facilities, and administrative support to the UVFA, the Authority operates independently. The City has no obligation to fund deficits or guarantee debts, and the UVFA’s financial activities are not included in the City’s financial statements.

Ukiah Valley Water Authority (UVWA)
The City of Ukiah is a member of the Ukiah Valley Water Authority (UVWA), a joint powers authority established on April 1, 2024, and amended and restated on October 1, 2024, under the Joint Exercise of Powers Act. UVWA was formed to oversee and coordinate water services in the Ukiah Valley region and includes the City of Ukiah, Millview County Water District, Redwood Valley County Water District, and Willow County Water District as member agencies.

The UVWA is governed by a Water Executive Committee with representation from each member agency. The Committee is responsible for approving budgets, setting water rates, and establishing policies. The City provides operational and administrative services to UVWA, including water system management and customer billing.

These activities are reimbursed through UVWA’s budget, and UVWA operates as a financially independent entity.

The City is not financially accountable for UVWA and does not include UVWA’s financial activities in its financial statements.

Northern California Power Agency (NCPA)
The City of Ukiah is a member of the Northern California Power Agency (NCPA), a joint powers authority established to purchase, generate, transmit, distribute, and sell electrical energy. NCPA is governed by a Commission, with one representative from each of its 14 members. Members participate in projects on an elective basis.

The City participates in several NCPA energy projects, including hydroelectric and geothermal facilities, and contributed $10,744,250 for power supply in the fiscal year ended June 30, 2024. The City also maintains a reserve held by NCPA, with a balance of $5,114,423 as of June 30, 2024, of which $169,812 is restricted for NCPA OPS/Security accounts. While the City shares financial obligations for specific projects, NCPA operates independently, and its financial activities are not included in the City’s financial statements. 86 Attachment 1

Transmission Agency of Northern California (TANC)
The City of Ukiah is a member of the Transmission Agency of Northern California (TANC), a joint powers authority established to provide electric transmission facilities for its members. TANC is governed by a Commission with one representative per member. The City has authorized participation in TANC projects up to 1% of the total cost.

Participation Agreement with Ukiah Valley Sanitation District (UVSD) The City of Ukiah operates the combined sewer system serving the City and the Ukiah Valley Sanitation District under a Participation Agreement. The agreement allocates costs for operations, maintenance, and capital improvements based on proportional use of the system. The City collects and accounts for revenues and expenditures related to the sewer system, which are reconciled with UVSD annually. While the City and UVSD share financial and operational responsibilities, the combined sewer system operates as a distinct activity, and the City includes its portion in its enterprise fund financial statements.

Participation in the Russian River Watershed Association (RRWA) The City of Ukiah is a member of the Russian River Watershed Association, a joint venture created under California Government Code Section 6500. The RRWA facilitates regional collaboration among local governments to promote watershed stewardship, regulatory compliance, and efficient use of resources.

The RRWA is governed by a Board of Directors, with representatives from each member agency, including the City of Ukiah. The Board approves budgets, oversees programs, and authorizes contracts. Member contributions are based on a cost-sharing formula.

The City benefits from RRWA’s efforts in securing regional funding, addressing watershed-based regulatory issues, and conducting educational outreach. The City shares liabilities with other members for administrative costs and contracts executed on behalf of the RRWA.
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87 Attachment 1

NOTE 13 – SERVICE CONTRACTS
The City of Ukiah has entered into service contracts with external agencies to provide critical public services.

These contracts reflect collaborative arrangements where the City benefits from the services provided but does not share governance or financial accountability for the service providers’ broader operations.

1. Mendocino Solid Waste Management Authority (MSWMA)
The City of Ukiah is a participant in the Mendocino Solid Waste Management Authority (MSWMA), a regional agency created to site, license, develop, maintain, and operate waste disposal facilities and implement a comprehensive solid waste management plan. The MSWMA serves the County of Mendocino and three incorporated cities, including Ukiah.

The MSWMA is governed by a commission with one representative from each participating city and two representatives from the Mendocino County Board of Supervisors. Funding for the MSWMA comes primarily from operational revenue and state and federal grants. The City utilizes MSWMA’s services but does not have financial accountability for its operations or liabilities beyond service usage. The City’s financial activities related to MSWMA are recorded in its enterprise funds as part of solid waste management expenses.

2. Mendocino Transit Authority (MTA)
The City of Ukiah participates in the Mendocino Transit Authority (MTA), a regional public transportation provider serving Mendocino County and its incorporated cities. The MTA is governed by a board of directors, including one representative from each participating city and three members appointed by the Mendocino County Board of Supervisors.

The MTA provides public transportation services funded primarily through fare box revenue, state and federal transportation grants, and contributions from member agencies. The City’s involvement is limited to supporting MTA’s transit operations within the City and participating in its governance through board representation. The City does not have financial accountability for MTA’s broader operations or liabilities. [THIS AREA LEFT BLANK INTENTIONALLY]
88 Attachment 1

NOTE 14 – COMMITMENTS AND CONTINGENCIES
Grants and Allocations
The City receives funding from several federal, state and local grant programs, principally Community Development Block Grants (CDBG). These programs are subject to financial and compliance review by grantors. Expenditures, if any, which may be disallowed by the granting agencies, cannot be determined at this time. The City does not expect the undeterminable amounts of disallowed expenditures, if any, to materially affect the financial statements.

Receipt of these federal, state and local grant revenues is not assured in the future.

Construction commitments. The government has active construction projects as of June 30, 2024. The projects include street reconstruction and rehabilitation, park improvements, airport, and utility infrastructure improvements. At year end the government’s significant commitments with contractors were as follows:

Encumbrances and related appropriation lapse at the end of the year but are re-appropriated and become part of the subsequent year’s budget because performance under the executory contract is expected in the next year.

Encumbrances. Encumbrance accounting is utilized to the extent necessary to assure effective budgetary control and accountability and to facilitate effective cash planning and control. At year end the number of encumbrances expected to be honored upon performance by the vendor in the next year were as follows:
89 Attachment 1

NOTE 15 – NEW PRONOUNCEMENTS
The Governmental Accounting Standards Board (GASB) periodically issues statements to enhance the financial reporting of governmental entities. The City has implemented or is currently evaluating the impact of the following GASB statements:

Recently Implemented Pronouncements
GASB Statement No. 100 – Accounting Changes and Error Corrections:
• Effective for fiscal years beginning after June 15, 2023. • GASB 100 updates the accounting and financial reporting requirements for changes in accounting principles, changes in accounting estimates, changes in the financial reporting entity, and corrections of errors. The City has implemented the guidance and determined that the impact on the financial statements was immaterial.

Upcoming Pronouncements
The following GASB statements have been issued but are not yet effective and are being evaluated by the City for potential impacts:

GASB Statement No. 101 – Compensated Absences:
• Effective for fiscal years beginning after December 15, 2023. • GASB 101 updates the accounting and reporting for compensated absences, clarifying the recognition and measurement criteria for liabilities related to vacation leave, sick leave, and other compensated absences. • The City has not yet implemented GASB 101 and is currently evaluating its potential impact. While the guidance may require adjustments to existing accounting policies, the City does not expect it to have a material impact on its financial statements.

GASB Statement No. 102 - Certain Asset Retirement Obligations:
• Effective for fiscal years beginning after June 15, 2024. • This statement provides guidance for asset retirement obligations other than those covered by GASB Statement No. 83. The City is reviewing its operations to determine any potential impact.

GASB Statement No. 103 - Omnibus 2024:
• Effective for fiscal years beginning after June 15, 2024. • This statement revises the information presented in the Management Discussion and Analysis (MD&A) to enhance the effectiveness of the financial reporting model. The City is in the process of evaluating the impact on the MD&A.

GASB Statement No. 104 - Financial Reporting Model Improvements:
• Effective for fiscal years beginning after December 15, 2024. • This statement requires certain types of capital assets to be disclosed separately in the capital assts note disclosures. The City is in the process of evaluating it applicability.

The City will continue to monitor the impact of these and other pronouncements on its financial reporting to ensure compliance with all applicable standards.
90 Attachment 1

NOTE 16 – SUCCESSOR AGENCY TRUST
On December 29, 2011, the California Supreme Court upheld Assembly Bill 1X 26 (“the Bill”) that provides for the dissolution of all redevelopment agencies in the State of California. This action impacted the reporting entity of the City of Ukiah that previously had reported a redevelopment agency within the reporting entity of the City as a blended component unit.

The Bill provides that upon dissolution of a redevelopment agency, either the city or another unit of local government will agree to serve as the “successor agency” to hold the assets until they are distributed to other units of state and local government. On January 9, 2012, the City Council elected to become the Successor Agency for the former redevelopment agency in accordance with the Bill as part of City resolution number 2012-04.

After enactment of the law, which occurred on June 28, 2011, redevelopment agencies in the State of California cannot enter into new projects, obligations or commitments. Subject to the control of a newly established oversight board, remaining assets can only be used to pay enforceable obligations in existence at the date of dissolution (including the completion of any unfinished projects that were subject to legally enforceable contractual commitments).

In future fiscal years, successor agencies will only be allocated revenue in the amount that is necessary to pay the estimated annual installment payments on enforceable obligations of the former redevelopment agency until all enforceable obligations of the prior redevelopment agency have been paid in full and all assets have been liquidated.

Enforceable Obligations - Bonds
The following is a summary of changes in long-term liabilities for the year ended June 30, 2024:

Redevelopment Successor Private Purpose Trust
Debt Service Activity
Balance Balance Due Within
June 30, 2023 Additions Reductions June 30, 2024 One Year Trust Activities:

Series 2019A Tax Allocation Bonds 326,621 - 326,621 - - Series 2019B Taxable Tax Allocation Bonds 3,209,261 - 374,509 2,834,752 717,252 Total trust fund debt $ 3,535,881 $ - $ 701,130 $ 2,834,752 $ 717,252 Series 2019A Tax Allocation Bonds
On December 12, 2019, the Successor Agency issued $1,259,154 in tax allocation bonds to refund the outstanding Series 2007 Tax Allocation Bonds. The bond series is comprised of $1,259,154 in serial bonds maturing December 1, 2023. The serial bonds require annual principal payments ranging from $304,584 to $326,621. The interest rate is

2.160%.

Series 2019B Taxable Tax Allocation Bonds
On December 12, 2019, the Successor Agency issued $4,236,617 in taxable tax allocation bonds to refund the outstanding Series 2011A and 2011B Tax Allocation Bonds. The bond series is comprised of $4,236,617 in serial bonds maturing on December 1, 2028. The serial bonds require annual principal payments ranging from $327,718 to $748,446. The interest rate is 2.960%.
91 Attachment 1

Future debt service for Fiduciary Activities at June 30, 2024, is as follows:

Debt Service Schedule
Redevelopment Successor Agency
Year Ending
June 30,
Principal Interest
2025 717,252 73,293
2026 748,446 51,601
2027 558,294 32,261
2028 404,048 18,018
2029 406,712 6,025
Total $ 2,834,752 $ 181,198
Due within one year $ 717,252 $ 73,293
Due after one year 2,117,500 107,905
Total $ 2,834,752 $ 181,198
Series 2019B Taxable Tax
Allocation Bonds
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92 Attachment 1

NOTE 17 – RESTATEMENTS
During the fiscal year ended June 30, 2024, the City identified errors in the calculation of grant receivables and their associated revenues in prior periods. These errors affected the financial statements for both governmental and business-type activities, requiring a restatement of beginning balances as of July 1, 2023.

Summary of Restatements
The table below provides a summary of the changes to beginning balances resulting from these restatements:

Change to or
within the
Financial
Reporting Entity
Change in
Accounting
Principle
Change in
Accounting
Estimate Error Correction
July 01, 2024
(Restated)
(147,208) 60,121,419
(627,419) 110,518,769
- - - (774,627) 170,640,188
(99,990) (305,288)
(47,218) (26,940)
- - - (147,208) (332,228)
(43,717) 1,389,301
(186,215) 7,104,941
(395,166) 907,802
(2,321) (261,872)
(144,449) 774,873
- - - (771,868) 9,915,045
City of Ukiah, California
Schedule of Equity Restatement
June 30, 2023
As Previously
Reported
Governmental Activities 60,268,627
Major Funds:

Streets Capital Improvements (205,298)
Business-type Activities 111,146,188
Total Primary 171,414,815
Governmental Funds
Nonmajor Funds 20,278
(185,020)
Enterprise Funds
Major Funds:

Electric 1,433,018
Water 7,291,156
Wastewater 1,302,968
Nonmajor Funds (259,551)
Internal service funds 919,322
10,686,913
Explanation of Changes
The adjustments were necessary due to errors in prior period calculations of:

1. Grant Receivables: Certain receivables for awarded grants were either understated or omitted from prior financial statements.

2. Grant Revenues: Revenues associated with these grant receivables were misstated, requiring corrections to align revenues with grant eligibility requirements.

These corrections have been applied retroactively, with adjustments made to the opening net position and/or fund balances as of July 1, 2023.

Impact on Financial Statements
The restatements did not materially affect the City’s current year revenues or expenditures but adjusted the opening balances as noted above. Users are encouraged to review the schedule for details of the changes. 93 Attachment 1

REQUIRED SUPPLEMENTARY INFORMATION
City of Ukiah, California

SCHEDULES OF CONTRIBUTIONS AND PROPORTIONATE SHARE OF TOTAL PENSION LIABILITY Agent Multiple Employer (Miscellaneous)
Last Ten Years
Schedule of Changes in Net Pension Liability for the Measurement Periods Ended June 30, Measurement Period 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 TOTAL PENSION LIABILITY:

Service Cost $ 2,545,784 $ 2,387,254 $ 2,093,144 $ 1,935,834 $ 1,842,840 $ 1,808,418 $ 1,823,230 $ 1,572,047 $ 1,612,003 $ 1,788,902 Interest on Total Pension Liability 7,534,710 7,222,763 7,051,270 6,746,742 6,435,947 6,053,276 5,794,263 5,696,580 5,564,428 5,416,497 Changes of Benefit Terms 137,979 - - - - - - 56,535 - - Changes of Assumptions - 3,214,497 - - - (544,277) 4,693,759 - (1,318,850) - Difference Between Expected and Actual
Experience 322,603 (1,257,342) 447,816 783,147 2,023,144 845,262 (1,456,928) (1,392,062) (1,280,133) - Benefit Payments, Including Refunds of
Employee Contributions (5,911,031) (5,346,787) (5,033,299) (4,866,568) (4,656,678) (4,443,388) (4,133,617) (3,981,386) (4,205,497) (3,795,124) Net Change in Total Pension Liability $ 4,630,045 $ 6,220,385 $ 4,558,931 $ 4,599,155 $ 5,645,253 $ 3,719,291 $ 6,720,707 $ 1,951,714 $ 371,951 $ 3,410,275 Total Pension Liability – Beginning 110,420,728 104,200,343 99,641,412 95,042,257 89,397,004 85,677,713 78,957,006 77,005,292 76,633,341 73,223,066 Total Pension Liability – Ending (a)

$ 115,050,773 $ 110,420,728 $ 104,200,343 $ 99,641,412 $ 95,042,257 $ 89,397,004 $ 85,677,713 $ 78,957,006 $ 77,005,292 $ 76,633,341 Contributions – Employer $ 2,066,108 $ 1,837,864 $ 34,638,386 $ 3,591,800 $ 3,241,493 $ 2,941,163 $ 2,652,462 $ 2,391,847 $ 2,156,759 $ 2,193,059 Contributions – Employee 1,014,518 916,632 872,626 852,263 774,314 727,232 659,895 648,121 634,373 779,732 Net Investment Income 6,108,310 (8,267,651) 18,014,124 2,998,613 3,744,146 4,534,314 5,421,492 246,475 1,106,699 7,445,055 Benefit Payments, Including Refunds of
Employee Contributions (5,911,031) (5,346,787) (5,033,299) (4,866,568) (4,656,678) (4,443,388) (4,133,617) (3,981,386) (4,205,497) (3,795,124) Net Plan to Plan Resource Movement - - - - - (132) - - - - Administrative Expense (73,417) (69,002) (62,272) (84,369) (40,522) (83,002) (71,957) (30,145) (55,697) - Other Miscellaneous Income/(Expense)1 - - - - 132 (157,623) - - - - Net Change in Fiduciary Net Position $ 3,204,488 $ (10,928,944) $ 48,429,565 $ 2,491,739 $ 3,062,885 $ 3,518,564 $ 4,528,275 $ (725,088) $ (363,363) $ 6,622,722 Plan Fiduciary Net Position – Beginning2 $ 99,839,251 $ 110,768,195 $ 62,338,630 $ 59,846,891 $ 56,784,006 $ 53,265,442 $ 48,737,167 $ 49,462,255 $ 49,825,618 $ 43,202,896 Plan Fiduciary Net Position – Ending (b) 103,043,739 99,839,251 110,768,195 62,338,630 59,846,891 56,784,006 53,265,442 48,737,167 49,462,255 49,825,618 Plan Net Pension Liability/(Asset) – (a)-(b) $ 12,007,034 $ 10,581,477 $ (6,567,852) $ 37,302,782 $ 35,195,366 $ 32,612,998 $ 32,412,271 $ 30,219,839 $ 27,543,037 $ 26,807,723 Plan Fiduciary Net Position as a Percentage of
the Total Pension Liability 89.56% 90.42% 106.30% 62.56% 62.97% 63.52% 62.17% 61.73% 64.23% 65.02% Covered Payroll3 $ 12,671,896 $ 11,400,448 $ 10,947,404 $ 10,045,842 $ 9,257,248 $ 8,821,982 $ 8,412,838 $ 7,949,673 $ 8,008,361 $ 8,340,257 Plan Net Pension Liability/(Asset) as a
Percentage of Covered-Employee Payroll 94.75% 92.82% (59.99%) 371.33% 380.19% 369.68% 385.27% 380.14% 343.93% 321.43% 94 Attachment 1

1 During Fiscal Year 2017-18, as a result of Governmental Accounting Standards Board Statement (GASB) No. 75, Accounting and Financial Reporting for Postemployment Benefit Plans Other than Pensions (GASB 75), CalPERS reported its proportionate share of activity related to postemployment benefits for participation in the State of California’s agent OPEB plan. Accordingly, CalPERS recorded a one-time expense as a result of the adoption of GASB 75. Additionally, CalPERS employees participate in various State of California agent pension plans and during Fiscal Year 2017-18, CalPERS recorded a correction to previously reported financial statements to properly reflect its proportionate share of activity related to pensions in accordance with GASB Statement No. 68, Accounting and Financial Reporting for Pensions (GASB 68). 2 Includes any beginning of year adjustment.
3 Includes one year’s payroll growth using 2.75% payroll growth assumption for fiscal years ended June 30, 2018-21; 3.00% payroll growth assumption for fiscal years ended June 30, 2014- 17.
4 Fiscal year 2015 was the first year of implementation; therefore, only 8 years are shown.

Notes to Schedule of Changes in Total Pension Liability and Related Ratios:

Changes of Benefit Terms: The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary.

Changes of Assumptions: Effective with the June 30, 2021 valuation date (2022 measurement date), the accounting discount rate was reduced from 7.15 percent to 6.90 percent. In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. Projected returns for all asset classes are estimated, combined with risk estimates, and are used to project compound (geometric) returns over the long term. The discount rate used to discount liabilities was informed by the long-term projected portfolio return. In addition, demographic assumptions and the inflation rate assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions.

The accounting discount rate was 7.15 percent for measurement dates 2017 through 2021, 7.65 percent for measurement dates 2015 through 2016, and 7.50 percent for measurement date 2014.
95 Attachment 1

Employer Fiscal Year End 2023 2022 2021 2020 2019
Actuarially Determined Contribution 2 $2,066,108 $1,837,864 $3,816,642 $3,591,800 $3,241,493 Contributions in Relation to the Actuarially Determined Contribution 2 (2,066,108) (1,837,864) (34,638,386) (3,591,800) (3,241,493) Contribution Deficiency (Excess) $0 $0 ($30,821,744) $0 $0 Covered Payroll 3 $12,671,896 $11,400,448 $10,947,404 $10,045,842 $9,257,248 Contributions as a Percentage of Covered Payroll 3 16.30% 16.12% 316.41% 35.75% 35.02% Employer Fiscal Year End 2018 2017 2016 2015 2014
Actuarially Determined Contribution 2 $2,941,163 $2,652,462 $2,391,847 $2,156,759 $2,193,059 Contributions in Relation to the Actuarially Determined Contribution 2 (2,941,163) (2,652,462) (2,391,847) (2,156,759) (2,193,059) Contribution Deficiency (Excess) $0 $0 $0 $0 $0
Covered Payroll 3 $8,821,982 $8,412,838 $7,949,673 $8,008,361 $8,340,257 Contributions as a Percentage of Covered Payroll 3 33.34% 31.53% 30.09% 26.93% 26.29% Schedule of Plan Contributions for the Fiscal Years Ended June 301

1. As prescribed in GASB 68, paragraph 46, the information presented in the Schedule of Plan Contributions should also be presented as of the employer’s most recent fiscal year-end. The employer is responsible for determining this information as prescribed by the standard as this data is not available to CalPERS.

2. Employers are assumed to make contributions equal to the actuarially determined contributions. However, some employers may choose to make additional contributions towards their unfunded liability. Employer contributions for such plans exceed the actuarially determined contributions.

3. Includes one year’s payroll growth using 2.75% payroll growth assumption for fiscal years ended June 30, 2018-21; 3.00% payroll growth assumption for fiscal years ended June 30, 2014-17.
96 Attachment 1

City of Ukiah, California

SCHEDULES OF CONTRIBUTIONS AND PROPORTIONATE SHARE OF TOTAL PENSION LIABILITY Cost Sharing (Safety)
Last Ten Years
Measurement Measurement Measurement Measurement Measurement Measurement Measurement Measurement Measurement Measurement Date Date Date Date Date Date Date Date Date Date
June 30, 2014 June 30, 2015 June 30, 2016 June 30, 2017 June 30, 2018 June 30, 2019 June 30, 2020 June 30, 2021 June 30, 2022 June 30, 2023 Plan's Proportion of the PE RF C Net Pension
Liability/(Asset) 0.19% 0.18% 0.18% 0.17% 0.18% 0.18% 0.18% -0.11% 0.05% 6.18% Plan's Proportionate Share of the Net Pension
Liability/(Asset) $11,522,849 $12,396,052 $15,292,260 $17,185,970 $17,100,610 $18,158,244 $19,556,573 ($6,129,210) $5,823,369 $7,714,184 Plan's Covered Payroll $3,330,571 $3,844,242 $3,434,144 $4,135,089 $4,088,030 $3,928,981 $4,163,203 $4,263,870 $4,436,794 $4,397,440 Plan's Proportionate Share of the Net Pension
Liability/(Asset) as a Percentage of its Covered Payroll 345.97% 322.46% 445.30% 415.61% 418.31% 462.16% 469.75% -143.75% 131.25% 175.42% Plan's Proportionate Share of the Fiduciary Net Position as a Percentage of the Plan’s Total Pension Liability 79.27% 75.31% 71.08% 70.49% 72.29% 72.67% 71.32% 108.61% 92.39% 90.39% Safety Plan
Notes to Schedule:

1. Changes of benefit terms – There were no changes to benefit terms that applied to all members of the Public Agency Pool. However, individual employers in the Plan may have provided a benefit improvement to their employees by granting Two Years Additional Service Credit to members retiring during a specified time period (a.k.a. Golden Handshakes). Employers that have done so may need to report this information as a separate liability in their financial statement as CalPERS considers such amounts to be separately financed employer-specific liabilities. These employers should consult with their auditors.

2. Changes in assumptions – No changes to assumptions from year prior.

3. Fiscal Year 2015 was the first year of implementation, therefore only 8 years are shown. 97 Attachment 1

CalPERS CalPERS CalPERS CalPERS CalPERS CalPERS CalPERS CalPERS CalPERS CalPERS Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 $1,309,930 $1,520,825 $1,575,086 $1,763,563 $1,950,142 $2,177,282 $345,379 $1,096,762 $1,212,500 $1,055,926 ($1,309,930) ($1,520,825) ($1,575,086) ($1,763,563) ($1,950,142) ($2,177,282) ($15,338,474) ($1,096,762) ($1,212,500) ($1,055,926) $0 $0 $0 $0 $0 $0 ($14,993,095) $0 $0 $0
$3,844,242 $3,434,144 $4,135,089 $4,088,030 $3,928,981 $4,163,203 $4,263,870 $4,436,794 $4,397,440 $4,043,757

34.08% 44.29% 38.09% 43.14% 49.63% 52.30% 359.73% 24.72% 27.96% 26.11% Notes to Schedule:

Contribution valuation date: June 30, 2012 June 30, 2013 June 30, 2014 June 30, 2015 June 30, 2016 June 30, 2017 June 30, 2018 June 30, 2019 June 30, 2020 June 30, 2021 Safety Plan
Actuarially Determined
Contributions
Actual Contributions During the
Measurement Period
Contribution Deficiency (Excess)
Covered Payroll Contributions as
a Percentage of Covered Payroll
98 Attachment 1

Original Final Actual
Variance with Final
Budget

REVENUES
Property tax $ 3,939,256 $ 3,939,256 $ 4,028,252 $ 88,996 Sales tax 14,207,955 14,207,955 13,268,292 (939,663)
Transient occupancy 1,617,759 1,634,382 1,251,277 (383,105) Business license tax 500,000 500,000 500,110 110
Other taxes 800 800 675 (125)
Franchise fees 2,124,302 2,124,302 2,307,901 183,599
Charges for service 5,644,619 5,644,619 5,291,695 (352,924) Licenses and permits 322,100 322,100 286,285 (35,815)
Grants, contributions, and subventions 4,164,972 4,414,972 3,150,570 (1,264,402) Use of money and property 233,890 233,890 255,785 21,895 Miscellaneous 37,500 47,078 115,037 67,959
Fines penalties and forfeitures 40,000 40,000 46,877 6,877 Total revenues 32,833,153 33,109,354 30,502,756 (2,606,598)

EXPENDITURES
Current:

General government 592,957 21,199 179,978 (158,779)
Public safety 17,208,953 17,848,793 17,508,151 340,642
Housing and community development 1,515,389 1,515,388 1,525,273 (9,885) Public works 1,061,575 1,162,022 1,053,189 108,833
Parks, buildings, and grounds 1,973,052 1,992,024 1,984,336 7,688 Recreation and culture 5,302,882 5,372,107 5,228,039 144,068 Economic development and redevelopment 161,776 161,776 165,418 (3,642) Total current 27,816,584 28,073,309 27,644,384 428,925
Debt service:

Interest 847,483 847,483 847,483 -
Principal 616,360 616,360 616,361 (1)
Lease principal 238,792 238,792 137,067 101,725
Lease interest 42,868 42,868 16,636 26,232
Total debt service 1,745,503 1,745,503 1,617,547 127,956 Capital outlay:

Public safety 285,000 633,757 162,937 470,820
Public works 70,000 - - -
Parks, buildings, and grounds - 245,665 145,308 100,357 Total capital outlay 355,000 879,422 308,245 571,177
Total expenditures 29,917,087 30,698,234 29,570,176 1,128,058 Excess (deficiency) of revenues over expenditures 2,916,066 2,411,120 932,580 (1,478,540)

OTHER FINANCING SOURCES (USES)
Transfers in 129,000 129,000 1,643,633 1,514,633
Transfers out (2,964,342) (2,966,966) (3,148,395) (181,429) Total other financing sources (uses) (2,835,342) (2,837,966) (1,504,762) 1,333,204 Net change in fund balances 80,724 (426,846) (572,182) (145,336) Fund balances - beginning 12,089,500 12,089,500 12,089,500 - Fund balances - ending $ 12,170,224 $ 11,662,654 $ 11,517,318 $ (145,336) Budgeted Amounts
City of Ukiah, California
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual General Fund
For the Year Ended June 30, 2024
99 Attachment 1

NOTES TO REQUIRED SUPPLEMENTAL INFORMATION
Budgetary Data
General Budget Policies
The City Council approves the annual budget submitted by the City Manager prior to the beginning of the new fiscal year. Public hearings are conducted prior to its adoption by Council. Supplemental appropriations, where required during the period, are also approved by the Council. There were several supplemental appropriations required during the year. At fiscal year-end, all operating budget appropriations lapse.

Expenditures are monitored at the fund level for all funds with a legally adopted budget. These levels are considered the legal level of control.

Department heads are authorized to transfer budgeted amounts within their departments, within the same fund, with the approval of the City Manager. Transfers of appropriations between departments may be made only by authority of the City Manager. Transfers of appropriations between funds may be made only by authority of the City Council. Formal budgetary integration is employed as a management control device during the fiscal year for all governmental funds.

Annual budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America for all governmental funds except for certain special revenue and capital projects funds, which adopt project-length budgets.

Encumbrances
Encumbrances are estimations of costs related to unperformed contracts for goods and services. These commitments are recorded for budgetary control purposes in the general, special revenue and similar governmental funds. Encumbrances outstanding at year-end are reported as a committed fund balance. They represent the estimated amount of the expenditure ultimately to result if unperformed contracts in process at year-end are completed. They do not constitute expenditures or estimated liabilities.

Non-Adopted Budgets
The following funds did not have an adopted budget for the current year, so a budget-to-actual schedule is not presented:

Special Revenue
Museum Grant
1998 STIP Augmentation
Anton Stadium
Swimming Pool
Skate Park
Softball Complex
Debt Service Reserve 2022 LRB
100 Attachment 1

SUPPLEMENTARY INFORMATION
Combining and Individual Fund Financial Statements and Schedules 101 Attachment 1

MAJOR FUND BUDGET SCHEDULES
102 Attachment 1

Original Final Actual
Variance with Final
Budget

REVENUES
Grants, contributions, and subventions $ 4,510,201 $ 4,510,201 $ 1,577,801 $ (2,932,400) Total revenues 4,510,201 4,510,201 1,577,801 (2,932,400)

EXPENDITURES
Current:

General government 223 223 229 (6)
Public works 5,097,742 1,111,686 338,599 773,087
Total current 5,097,965 1,111,909 338,828 773,081
Debt service:

Interest 613,200 613,200 613,200 -
Principal 1,371,234 1,371,234 1,371,234 -
Total debt service 1,984,434 1,984,434 1,984,434 -
Capital outlay:

Public works - 4,416,837 3,925,358 491,479
Total capital outlay - 4,416,837 3,925,358 491,479
Total expenditures 7,082,399 7,513,180 6,248,620 1,264,560 Excess (deficiency) of revenues over expenditures (2,572,198) (3,002,979) (4,670,819) (1,667,840)

OTHER FINANCING SOURCES (USES)
Transfers in 2,573,011 2,573,011 2,728,970 155,959
Transfers out (813) (813) (813) -
Total other financing sources (uses) 2,572,198 2,572,198 2,728,157 155,959 Net change in fund balances - (430,781) (1,942,662) (1,511,881) Fund balances - beginning, as previously reported (205,298) (205,298) (205,296) - Restatement for correction of an error (99,990) (99,990) (99,990) - Fund balances - beginning, as restated (305,288) (305,288) (305,286) - Fund Balance ending $ (305,288) $ (736,069) $ (2,247,948) $ (1,511,879) Budgeted Amounts
City of Ukiah, California
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Streets Capital Improvements
For the Year Ended June 30, 2024
103 Attachment 1

Original Final Actual
Variance with Final
Budget

REVENUES
Grants, contributions, and subventions $ - $ 554,378 $ - $ (554,378) Use of money and property - - 73,249 73,249
Total revenues - 554,378 73,249 (481,129)

EXPENDITURES
Current:

Public works 2,224,303 7,008,293 366,719 6,641,574
Total current 2,224,303 7,008,293 366,719 6,641,574
Capital outlay:

Public works - 3,093,225 1,875,139 1,218,086
Total capital outlay - 3,093,225 1,875,139 1,218,086
Total expenditures 2,224,303 10,101,518 2,241,858 7,859,660 Excess (deficiency) of revenues over expenditures (2,224,303) (9,547,140) (2,168,609) 7,378,531 Net change in fund balances (2,224,303) (9,547,140) (2,168,609) 7,378,531 Fund balances - beginning $ 5,639,959 $ 5,639,959 $ 5,639,959 $ - Fund balances - ending $ 3,415,656 $ (3,907,181) $ 3,471,350 $ 7,378,531 Budgeted Amounts
City of Ukiah, California
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual General Capital Projects
For the Year Ended June 30, 2024
104 Attachment 1

Original Final Actual
Variance with Final
Budget

REVENUES
Use of money and property $ 37,592 $ 37,592 $ 35,009 $ (2,583) Total revenues 37,592 37,592 35,009 (2,583)

EXPENDITURES
Current:

General government 11,308 11,308 11,707 (399)
Total current 11,308 11,308 11,707 (399)
Debt service:

Total expenditures 11,308 11,308 11,707 (399)
Excess (deficiency) of revenues over expenditures 26,284 26,284 23,302 (2,982)

OTHER FINANCING SOURCES (USES)
Transfers in 159,840 159,840 159,834 (6)
Total other financing sources (uses) 159,840 159,840 159,834 (6) Net change in fund balances 186,124 186,124 183,136 (2,988) Fund balances - beginning 4,192,463 4,192,463 4,192,463 - Fund balances - ending $ 4,378,587 $ 4,378,587 $ 4,375,599 $ (2,988) Budgeted Amounts
City of Ukiah, California
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Pension Debt Service
For the Year Ended June 30, 2024
105 Attachment 1

COMBINING FUND FINANCIAL STATEMENTS AND SCHEDULES
106 Attachment 1

NONMAJOR GOVERNMENTAL FUNDS

SPECIAL REVENUE FUNDS
Special Revenue Fund The Special Revenue Fund is used to account for reserve amounts being accumulated for special programs, projects and activities.

City Prop 172 Used to account for revenues received from allocation of Prop 172 monies for public safety.

Opioid Settlement Fund To account for the sources, uses, and balances of proceeds from opioid settlement.

Museum Grant Fund The Museum Grant Fund is used to account for resources received for the Grace Hudson Museum provided by grantors or other thirdparty entities.

ARRC General Operating Fund The ARRC General Operating Fund is used to account for resources and operating expenditures in support of the Alex Rorabaugh Center.

Downtown Business Improvement The Downtown Business Improvement Fund is used to account for resources accumulated for improvements to the downtown
business district, funded by business license fees and transferred to the Ukiah Main Street Program as the administrative agency.

LMIHF Housing Asset Fund The Low- and Moderate-Income Housing Asset Fund is used to account for resources associated with program income received from low- and moderate-income housing assets. It contains restricted monies that are the proceeds of properties purchased by the Ukiah Redevelopment Agency (Agency) with affordable housing set-aside funds and were transferred to the City of Ukiah, as the Housing Successor to the former Agency, pursuant to Health and Safety Code Section 34176(a).

Winter Special Events The Winter Special Events Fund is used to account for resources and expenditures associated with winter events, such as the ice rink.

Advanced Planning Fund to account for special or highly technical planning activities, such as updates or revisions to the general plan or any of its elements.

Special Recreation Events This fund accounts for resources that collected and used for specific recreational and community entertainment events, functions, and activities.
107 Attachment 1

Gas Tax Fund The Gas Tax (HUTA) Fund is used to account for resources received from highway user taxes (HUTA) and special street funding from the state.

Signalization Fund The Signalization Fund is used to account for resources and activities associated with traffic signalization in the City of Ukiah pursuant to Government Code Section 66000 et. seq.
1998 STIP Augmentation Fund to account for street and right-of-way improvements with special conditions.

SB 325 Reimbursement Fund The SB 325 Reimbursement Fund is used to account for resources accumulated for improvements to streets and rights-of-way.

S.T.P. The Surface Transportation Program Fund is used to account for resources accumulated for street and traffic safety improvements, funded by the Mendocino Council of Governments.

Trans-Traffic Congest Relief The Trans-Traffic Congest Relief fund is used to account for resources accumulated for improvements to address traffic congestion in the City of Ukiah.

CDBG Program Income The Community Development Block Grant (CDBG) Fund is used to account for resources accumulated and held resulting from current and prior Community Development Block Grant activities.

HOME Program Income The HOME Program Income Fund is a special revenue fund used to account for resources accumulated and held resulting from current and prior HOME program Grant activities.

CASP Certification and Training This fund is to account for resources accumulated and used to train City team members on CASP requirements.

Asset Seizure Fund The Asset Seizure fund is used to account for resources accumulated from adjudicated asset seizures in which the City participated.

Sup. Law Enforce. Svc. Fd. (SLESF) The Supplemental Law Enforcement Services Fund (SLESF) Fund is used to account for special resources for police, provided by funding through a State of California COPS Grant program.

Community-Based Transitional Housing
Program (CBTHP)
Fund to account for activities funded by resources from the Community-Based Transitional Housing Program.

Asset Forfeiture 11470.2 H&S The Asset Forfeiture 11470.2 H&S Fund is used to account for resources accumulated from adjudicated asset seizures in which the City participated.
108 Attachment 1

Special Revenue Police The AB 109 Special Revenue Police Fund is used to account for resources available for police activities derived from state subventions.

American Rescue This fund is to account for the receipt and use of federal funds appropriated to the City by the federal government under the American Rescue Act of 2023.

Transfer Station Fund The Transfer Station Fund is used to account for resources accumulated from the activities of the City's solid waste transfer station.

Solid Waste Mitigation Fund This fund is used to account for resources collected and used for cleanup and abatement of public rights-of-way, City facilities, and other facilities in the city resulting from improper solid waste disposal, abandonment, or other deleterious activities.

CAPITAL PROJECT FUNDS
Equipment Reserve Fund The Equipment Reserve Fund is used to account for resources accumulated for significant governmental capital acquisitions related to vehicles and equipment.

Special Projects Reserve The Special Projects Reserve Fund is used to account for resources accumulated for governmental special projects.

General Capital Projects Used to account for bond proceeds and other resources for street and rights-of-way projects.

Park Development Fees Fund The Park Development Fees Fund is used to account for resources being collected for the development or enhancement of parklands in the City of Ukiah.

Anton Stadium Fund The Anton Stadium Fund is used to account for resources accumulated for improvements to the stadium.

Observatory Park Fund The Observatory Park Fund is used to account for resources accumulated for improvements to the park.

Playground & Park Amenities The Playground & Park Amenities Fund is used to account for resources accumulated for improvements to City playgrounds and other similar park amenities.

Swimming Pool Fund The Swimming Pool Fund is used to account for resources accumulated for improvements to the City-owned pool.

Riverside Park Fund The Riverside Park Fund is used to account for resources accumulated for improvements to the park.

Skate Park Fund The Skate Park Fund is used to account for resources accumulated for improvements to the park.
109 Attachment 1

Softball Complex Fund The Softball Complex Fund is used to account for resources accumulated for improvements to the complex.

Rail Trail Fund To account for activities related to and resources supporting the City’s Rail Trail project.

DEBT SERVICE FUNDS
Debt Service Reserve LBR 2022 This fund is used to account for resources accumulated for debt service of the lease revenue bonds issued in 2023.

PERMANENT FUNDS
Riparian Corridor Enhancement Permanent funds are those in which the principal resources accounted for in the fund cannot be spent; rather, the proceeds of earnings on those principal amounts may be used to support activities and programs of the City. This fund accounts for resources and activities related to mitigating development impacts to riparian areas near the Redwood Business Park. 110 Attachment 1

Special Revenue Prop 172
Opioid Settlement
Fund Museum Grant ARRC
Downtown Business
Improvement LMIHF Housing Asset
Winter Special
Events Advanced Planning
ASSETS
Cash and investments $ 14,510 $ 178,138 $ 101,370 $ 21 $ 18,901 $ 2,763 $ 2,561,347 $ 1,116 $ 274,834 Restricted cash and investments - - - - - - - - -
Accounts receivable - 33,993 - - 700 - - - 179
Notes receivable - - - - - - 1,505,348 - -
Interest receivable 32 423 337 - 57 - 6,056 13 590
Grants and subventions receivable - - - - - - 2,158 - 13,162 Due from other funds - - - - - - - - -
Advances to other funds - - - - - - - - -
Land held for resale - - - - - - 2,435,114 - -
Capital grants, contributions, and subventions - - - - - - - - - Total assets 14,542 212,554 101,707 21 19,658 2,763 6,510,023 1,129 288,765

LIABILITIES
Accounts payable - - - - 4,753 1,753 - - 8,002
Accrued payroll liabilities - - - - 283 - - - -
Due to other funds - - - - - - - 18,056 -
Advance from other funds - - - - 36,601 - - 177,590 -
Total liabilities - - - - 41,637 1,753 - 195,646 8,002

DEFERRED INFLOWS OF RESOURCES
Unavailable revenues - grants and subventions - - - - - - 107,444 - 13,162 Total deferred inflows of resources - - - - - - 107,444 - 13,162 Total liabilities and deferred inflows of resources - - - - 41,637 1,753 107,444 195,646 21,164

FUND BALANCES (DEFICITS)
Nonspendable
Riparian corridor management - - - - - - - - -
Restricted
Capital projects - - - - - - - - -
CDBG activities - - - - - - - - -
Certifications and training - - - - - - - - -
Clean-up and solid waste remdediation - - - - - - - - - Debt service reserve - - - - - - - - -
Downtown business improvements - - - - - 1,010 - - -
Housing activities - - - - - - 6,402,579 - -
Opioid settlement - - 101,707 - - - - - -
Project reserve 14,542 - - 21 - - - - -
Public safety - 212,554 - - - - - - -
Riparian corridor management - - - - - - - - -
Special recreation events - - - - - - - - -
Streets and rights-of-way - - - - - - - - -
Committed
Park development - - - - - - - - -
Planning activities - - - - - - - - 267,601
Solid waste management - - - - - - - - -
Assigned
Capital projects - - - - - - - - -
Equipment reserve - - - - - - - - -
Special projects - - - - - - - - -
Unassigned - - - - (21,979) - - (194,517) -
Total fund balances (deficits) 14,542 212,554 101,707 21 (21,979) 1,010 6,402,579 (194,517) 267,601 Total liabilities and fund balances (deficits) $ 14,542 $ 212,554 $ 101,707 $ 21 $ 19,658 $ 2,763 $ 6,510,023 $ 1,129 $ 288,765 (continued)
City of Ukiah, California
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
Special Revenue
111 Attachment 1

ASSETS
Cash and investments
Restricted cash and investments
Accounts receivable
Notes receivable
Interest receivable
Grants and subventions receivable
Due from other funds
Advances to other funds
Land held for resale
Capital grants, contributions, and subventions
Total assets

LIABILITIES
Accounts payable
Accrued payroll liabilities
Due to other funds
Advance from other funds
Total liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable revenues - grants and subventions
Total deferred inflows of resources
Total liabilities and deferred inflows of resources

FUND BALANCES (DEFICITS)
Nonspendable
Riparian corridor management
Restricted
Capital projects
CDBG activities
Certifications and training
Clean-up and solid waste remdediation
Debt service reserve
Downtown business improvements
Housing activities
Opioid settlement
Project reserve
Public safety
Riparian corridor management
Special recreation events
Streets and rights-of-way
Committed
Park development
Planning activities
Solid waste management
Assigned
Capital projects
Equipment reserve
Special projects
Unassigned
Total fund balances (deficits)
Total liabilities and fund balances (deficits)
City of Ukiah, California
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
Special Recreation
Events
Highway User Tax
(Gas Tax) Signalization
1998 STIP
Augmentation
SB325
Reimbursement S.T.P.

Trans-Traffic Congest
Relief
CDBG Program
Income
Home Program
Income
$ 68,336 $ 33,177 $ 382,558 $ 18 $ 82,635 $ 190,188 $ 83 $ 118,943 $ 314,560 - - - - - - - - -
- 114,449 - - - 440 - 5,080 11,050
- - - - - - - 353,276 8,671,726
188 2,878 904 1 201 453 10 670 778
- 30,000 - - - - - 73,773 -
- 1,281,906 - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - 227,631 -
68,524 1,462,410 383,462 19 82,836 191,081 93 779,373 8,998,114 - 7,833 - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- 7,833 - - - - - - -
- 30,000 - - - - - 42,195 1,406,505
- 30,000 - - - - - 42,195 1,406,505
- 37,833 - - - - - 42,195 1,406,505
- - - - - - - - -
- - - - - - - - -
- - - - - - - 737,178 -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - 7,591,609
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
68,524 - - - - - - - -
- 1,424,577 383,462 19 82,836 191,081 93 - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
68,524 1,424,577 383,462 19 82,836 191,081 93 737,178 7,591,609 $ 68,524 $ 1,462,410 $ 383,462 $ 19 $ 82,836 $ 191,081 $ 93 $ 779,373 $ 8,998,114 (continued)
Special Revenue
112 Attachment 1

ASSETS
Cash and investments
Restricted cash and investments
Accounts receivable
Notes receivable
Interest receivable
Grants and subventions receivable
Due from other funds
Advances to other funds
Land held for resale
Capital grants, contributions, and subventions
Total assets

LIABILITIES
Accounts payable
Accrued payroll liabilities
Due to other funds
Advance from other funds
Total liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable revenues - grants and subventions
Total deferred inflows of resources
Total liabilities and deferred inflows of resources

FUND BALANCES (DEFICITS)
Nonspendable
Riparian corridor management
Restricted
Capital projects
CDBG activities
Certifications and training
Clean-up and solid waste remdediation
Debt service reserve
Downtown business improvements
Housing activities
Opioid settlement
Project reserve
Public safety
Riparian corridor management
Special recreation events
Streets and rights-of-way
Committed
Park development
Planning activities
Solid waste management
Assigned
Capital projects
Equipment reserve
Special projects
Unassigned
Total fund balances (deficits)
Total liabilities and fund balances (deficits)
City of Ukiah, California
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
CASP Certification
and Training Asset Seizure
Supplemental Law
Enforcement
Asset Forfeiture
11470.2 H&S F
Special Revenue -
Police Transfer Station
Solid Waste
Mitigation Fund Equipment Reserve
$ 60,457 $ 59,718 $ 312,895 $ 54,555 $ 2,865 $ 860 $ 84,614 $ 381,784 - - - - - - - -
- 450 29,398 - 31,250 105,268 - -
- - - - - - - -
143 132 759 129 304 946 208 909
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
60,600 60,300 343,052 54,684 34,419 107,074 84,822 382,693 - - - - - - 72 -
- - 1,214 - - - 39 -
- - - - - 62,808 - -
- - - - - - - -
- - 1,214 - - 62,808 111 -
- - - - - - - -
- - - - - - - -
- - 1,214 - - 62,808 111 -
- - - - - - - -
- - - - - - - -
- - - - - - - -
60,600 - - - - - - -
- - - - - - 84,711 -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- 60,300 341,838 54,684 34,419 - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - 44,266 - -
- - - - - - - -
- - - - - - - 382,693
- - - - - - - -
- - - - - - - -
60,600 60,300 341,838 54,684 34,419 44,266 84,711 382,693 $ 60,600 $ 60,300 $ 343,052 $ 54,684 $ 34,419 $ 107,074 $ 84,822 $ 382,693 (continued)
Special Revenue Capital Projects
113 Attachment 1

ASSETS
Cash and investments
Restricted cash and investments
Accounts receivable
Notes receivable
Interest receivable
Grants and subventions receivable
Due from other funds
Advances to other funds
Land held for resale
Capital grants, contributions, and subventions
Total assets

LIABILITIES
Accounts payable
Accrued payroll liabilities
Due to other funds
Advance from other funds
Total liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable revenues - grants and subventions
Total deferred inflows of resources
Total liabilities and deferred inflows of resources

FUND BALANCES (DEFICITS)
Nonspendable
Riparian corridor management
Restricted
Capital projects
CDBG activities
Certifications and training
Clean-up and solid waste remdediation
Debt service reserve
Downtown business improvements
Housing activities
Opioid settlement
Project reserve
Public safety
Riparian corridor management
Special recreation events
Streets and rights-of-way
Committed
Park development
Planning activities
Solid waste management
Assigned
Capital projects
Equipment reserve
Special projects
Unassigned
Total fund balances (deficits)
Total liabilities and fund balances (deficits)
City of Ukiah, California
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
Special Projects
Reserve
Park Development
Fees Anton Stadium Observatory Park
Playground & Park
Amenities Swimming Pool Riverside Park Skate Park Softball Complex $ 841,517 $ 166,998 $ 11,579 $ 46,109 $ 261 $ 4,440 $ - $ 7 $ 6,893 - - - - - - - - -
- - - - - - - - -
- - - - - - - - -
2,006 387 27 27 - 8 - - 16
- - - - 177,952 - 30,189 - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
843,523 167,385 11,606 46,136 178,213 4,448 30,189 7 6,909 146,251 127,474 - - - - - - -
- - - - - - - - -
- - - - 180,000 - 57,005 - -
- - - - - - - - -
146,251 127,474 - - 180,000 - 57,005 - -
- - - - 177,952 - 30,188 - -
- - - - 177,952 - 30,188 - -
146,251 127,474 - - 357,952 - 87,193 - -
- - - - - - - - -
- - - - - 4,448 - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- 39,911 - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - 11,606 46,136 - - - 7 6,909
- - - - - - - - -
697,272 - - - - - - - -
- - - - (179,739) - (57,004) - -
697,272 39,911 11,606 46,136 (179,739) 4,448 (57,004) 7 6,909 $ 843,523 $ 167,385 $ 11,606 $ 46,136 $ 178,213 $ 4,448 $ 30,189 $ 7 $ 6,909 (continued)
Capital Projects
114 Attachment 1

ASSETS
Cash and investments
Restricted cash and investments
Accounts receivable
Notes receivable
Interest receivable
Grants and subventions receivable
Due from other funds
Advances to other funds
Land held for resale
Capital grants, contributions, and subventions
Total assets

LIABILITIES
Accounts payable
Accrued payroll liabilities
Due to other funds
Advance from other funds
Total liabilities

DEFERRED INFLOWS OF RESOURCES
Unavailable revenues - grants and subventions
Total deferred inflows of resources
Total liabilities and deferred inflows of resources

FUND BALANCES (DEFICITS)
Nonspendable
Riparian corridor management
Restricted
Capital projects
CDBG activities
Certifications and training
Clean-up and solid waste remdediation
Debt service reserve
Downtown business improvements
Housing activities
Opioid settlement
Project reserve
Public safety
Riparian corridor management
Special recreation events
Streets and rights-of-way
Committed
Park development
Planning activities
Solid waste management
Assigned
Capital projects
Equipment reserve
Special projects
Unassigned
Total fund balances (deficits)
Total liabilities and fund balances (deficits)
City of Ukiah, California
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
Capital Projects Debt Service Permanent
Rail Trail
Debt Service Reserve
2022 LRB
Riparian Corridor
Enhancement
Total Nonmajor
Governmental Funds
$ - $ 2,448,092 $ 146,925 $ 8,974,067
- - - -
- - - 332,257
- - - 10,530,350
1 - 346 19,939 483,622 - - 810,856
- - - 1,281,906
- - - -
- - - 2,435,114
- - - 227,631 483,623 2,448,092 147,271 24,612,120
- - - 296,138
- - - 1,536
205,100 - - 522,969 300,359 - - 514,550 505,459 - - 1,335,193 483,622 - - 2,291,068 483,622 - - 2,291,068 989,081 - - 3,626,261 - - 137,576 137,576
- - - 4,448
- - - 737,178
- - - 60,600
- - - 84,711
- 2,448,092 - 2,448,092
- - - 1,010
- - - 13,994,188
- - - 101,707
- - - 14,563
- - - 703,795
- - 9,695 9,695
- - - 68,524
- - - 2,082,068
- - - 39,911
- - - 267,601
- - - 44,266
- - - 64,658
- - - 382,693
- - - 697,272 (505,458) - - (958,697) (505,458) 2,448,092 147,271 20,985,859 $ 483,623 $ 2,448,092 $ 147,271 $ 24,612,120
115 Attachment 1

City of Ukiah, California
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
Special Revenue Prop 172
Opioid Settlement
Fund Museum Grant ARRC
Downtown Business
Improvement

REVENUES
Business license tax $ - $ - $ - $ - $ - $ 20,172
Charges for service - - - - - -
Grants, contributions, and subventions - 62,551 46,659 - - - Use of money and property 276 3,600 2,043 - 75,273 5
Miscellaneous - - - - 20,004 -
Total revenues 276 66,151 48,702 - 95,277 20,177

EXPENDITURES
Current:

General government - - - - - 3,362
Public safety - 14,481 8,180 - - -
Housing and community development - - - - - -
Public works - - - - - -
Parks, buildings, and grounds - - - - - -
Recreation and culture - - - - 86,556 -
Economic development and redevelopment - - - - - 19,319 Debt service:

Interest - 6,188 - - 603 -
Principal - 32,694 - - 438 -
Capital outlay:

Public works - - - - - -
Parks, buildings, and grounds - - - - - -
Recreation and culture - - - - - -
Total expenditures - - - - - -
Excess (deficiency) of revenues over expenditures 276 12,788 40,522 - 7,680 (2,504)

OTHER FINANCING SOURCES (USES)
Transfers in - - - - - 3,500
Transfers out - - - - (85) -
Total other financing sources (uses) - - - - (85) 3,500 Net change in fund balances 276 12,788 40,522 - 7,595 996 Fund balances - beginning, as previously reported 14,266 199,766 61,185 21 (29,574) 14 Restatement for correction of an error - - - - - -
Fund balances - beginning, as restated 14,266 199,766 61,185 21 (29,574) 14 Fund balance - ending $ 14,542 $ 212,554 $ 101,707 $ 21 $ (21,979) $ 1,010 (Continued)
Special Revenue
116 Attachment 1

City of Ukiah, California
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Debt service:

Interest
Principal
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning, as restated
Fund balance - ending
LMIHF Housing Asset
Winter Special
Events Advanced Planning
Special Recreation
Events
Highway User Tax
(Gas Tax) Signalization
$ - $ - $ - $ - $ - $ -
- 172,795 58,956 46,979 - -
517,061 - 29,286 23,000 890,949 -
90,775 249 4,988 1,391 22,155 7,578
- - - - - -
607,836 173,044 93,230 71,370 913,104 7,578
- - 409 - - 622
- - - - - -
- - 82,033 - - -
- - - - 112,440 -
- - - - - -
- 171,263 - 48,121 - -
- - - - - -
- - - 282 - -
- - - 204 - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
607,836 1,781 10,788 22,763 800,664 6,956
- - - - - -
- (652) - (39) (4,000) -
- (652) - (39) (4,000) -
607,836 1,129 10,788 22,724 796,664 6,956
5,794,743 (195,646) 256,813 45,800 627,913 376,506
- - - - - -
5,794,743 (195,646) 256,813 45,800 627,913 376,506
$ 6,402,579 $ (194,517) $ 267,601 $ 68,524 $ 1,424,577 $ 383,462 (Continued)
Special Revenue
117 Attachment 1

City of Ukiah, California
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Debt service:

Interest
Principal
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning, as restated
Fund balance - ending
1998 STIP
Augmentation
SB325
Reimbursement S.T.P.

Trans-Traffic Congest
Relief
CDBG Program
Income
Home Program
Income
$ - $ - $ - $ - $ - $ -
- - - - - -
- - 440 - 479,532 -
7 1,699 3,780 86 93,986 82,663
- - - - - -
7 1,699 4,220 86 573,518 82,663
- 168 155 64 - -
- - - - - -
- - - - 455,011 17,499
- 7,071 - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
7 (5,540) 4,065 22 118,507 65,164
- - - - - -
- - - - - -
- - - - - -
7 (5,540) 4,065 22 118,507 65,164
12 88,376 187,016 71 618,671 7,526,445
- - - - - -
12 88,376 187,016 71 618,671 7,526,445
$ 19 $ 82,836 $ 191,081 $ 93 $ 737,178 $ 7,591,609
(Continued)
Special Revenue
118 Attachment 1

City of Ukiah, California
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Debt service:

Interest
Principal
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning, as restated
Fund balance - ending
CASP Certification
and Training Asset Seizure
Supplemental Law
Enforcement
Community-Based
Transitional Housing
Asset Forfeiture
11470.2 H&S F
Special Revenue -
Police
$ - $ - $ - $ - $ - $ -
- - - - - -
9,000 17,690 230,190 - - 125,000
1,143 1,241 6,443 51 1,113 2,045
- 450 - - - -
10,143 19,381 236,633 51 1,113 127,045
- - 444 889 - 107
- 27,653 123,313 38,079 5,836 -
383 - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - 4,660 8,033 - -
- - 3,382 5,830 - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
9,760 (8,272) 104,834 (52,780) (4,723) 126,938
- 1,467 - 20,503 - -
- - (653) (1,125) - (125,000)
- 1,467 (653) 19,378 - (125,000)
9,760 (6,805) 104,181 (33,402) (4,723) 1,938
50,840 67,105 237,657 33,402 59,407 32,481
- - - - - -
50,840 67,105 237,657 33,402 59,407 32,481
$ 60,600 $ 60,300 $ 341,838 $ - $ 54,684 $ 34,419
(Continued)
Special Revenue
119 Attachment 1

City of Ukiah, California
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Debt service:

Interest
Principal
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning, as restated
Fund balance - ending
American Rescue
Fund Transfer Station
Solid Waste
Mitigation Fund Equipment Reserve
Special Projects
Reserve
$ - $ - $ - $ - $ -
- - 59,832 - -
- - - - -
29,951 398,018 1,449 7,614 18,779
- - - - -
29,951 398,018 61,281 7,614 18,779
3,133 236 - 626 1,149
- - - - -
- - - - -
- - 12,134 - -
- - - - 529
- - - - 402,469
- - - - -
- - - - -
- - - - -
- - - - 146,250
- - - - -
- - - - -
- - - - -
26,818 397,782 49,147 6,988 (531,618)
- - - - -
(1,514,633) (390,000) - - -
(1,514,633) (390,000) - - -
(1,487,815) 7,782 49,147 6,988 (531,618)
1,487,815 36,484 35,564 375,705 1,228,890
- - - - -
1,487,815 36,484 35,564 375,705 1,228,890
$ - $ 44,266 $ 84,711 $ 382,693 $ 697,272
(Continued)
Special Revenue Capital Projects
120 Attachment 1

City of Ukiah, California
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Debt service:

Interest
Principal
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning, as restated
Fund balance - ending
Park Development
Fees Anton Stadium Observatory Park
Playground & Park
Amenities Swimming Pool Riverside Park
$ - $ - $ - $ - $ - $ -
5,468 - - - - -
1,000 - - - - -
3,271 225 239 - 86 124
- - - - - -
9,739 225 239 - 86 124
67 - - - - -
- - - - - -
- - - - - -
- - - - - -
- - 26,557 - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
140,698 - - - - -
- - - 11,331 - 30,188
- - - - - -
(131,026) 225 (26,318) (11,331) 86 (30,064)
2,624 - 35,000 - - -
- - - - - -
2,624 - 35,000 - - -
(128,402) 225 8,682 (11,331) 86 (30,064)
168,313 11,381 37,454 (168,408) 4,362 20,278
- - - - - (47,218)
168,313 11,381 37,454 (168,408) 4,362 (26,940)
$ 39,911 $ 11,606 $ 46,136 $ (179,739) $ 4,448 $ (57,004) (Continued)
Capital Projects
121 Attachment 1

City of Ukiah, California
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Debt service:

Interest
Principal
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning, as restated
Fund balance - ending
Debt Service Permanent
Skate Park Softball Complex Rail Trail
Debt Service Reserve
2022 LRB
Riparian Corridor
Enhancement
Total Nonmajor
Governmental Funds
$ - $ - $ - $ - $ - $ 20,172
- - - - - 344,030
- - - - - 2,432,358
2 136 205 83 2,900 865,672
- - - - - 20,454
2 136 205 83 2,900 3,682,686
- - 204 1,495 237 13,367
- - - - - 217,542
- - - - - 554,926
- - - - - 131,645
- - - - - 27,086
- - - - - 708,409
- - - - - 19,319
- - - - - 19,766
- - - - - 42,548
- - - - - 146,250
- - - - - 140,698
- - - - - 41,519
- - - - - -
2 136 1 (1,412) 2,663 1,619,611
- - - - - 63,094
- - - - - (2,036,187)
- - - - - (1,973,093)
2 136 1 (1,412) 2,663 (353,482)
5 6,773 (505,459) 2,449,504 144,608 21,386,559
- - - - - (47,218)
5 6,773 (505,459) 2,449,504 144,608 21,339,341
$ 7 $ 6,909 $ (505,458) $ 2,448,092 $ 147,271 $ 20,985,859 Capital Projects
122 Attachment 1

GOVERNMENTAL FUNDS BUDGET COMPARISON
123 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024
Original Final Actual
Variance - Positive
(Negative)

REVENUES
Business license tax $ - $ - $ - $ -
Charges for service - - - -
Grants, contributions, and subventions - - - -
Use of money and property - - 276 276
Miscellaneous - - - -
Total revenues - - 276 276

EXPENDITURES
Current:

General government - - - -
Public safety - - - -
Housing and community development - - - -
Public works - - - -
Parks, buildings, and grounds - - - -
Recreation and culture - - - -
Economic development and redevelopment - - - -
Total current - - - -
Debt service:

Interest - - - -
Principal - - - -
Total debt service - - - -
Capital outlay:

Public works - - - -
Parks, buildings, and grounds - - - -
Recreation and culture - - - -
Total capital outlay - - - -
Total expenditures - - - -
Excess (deficiency) of revenues over expenditures - - 276 276

OTHER FINANCING SOURCES (USES)
Transfers in - - - -
Transfers out - - - -
Total other financing sources (uses) - - - -
Net change in fund balances - - 276 276
Fund balances - beginning, as previously reported (14,266) (14,266) (14,266) - Restatement for correction of an error - - - -
Fund balances - beginning as restated 14,266 14,266 14,266 - Fund balance - ending $ 14,266 $ 14,266 $ 14,542 $ 276
Special Revenue
124 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
88,882 88,882 62,551 (26,331)
- - 3,600 3,600
- - - -
88,882 88,882 66,151 (22,731)
- - - -
- 14,481 14,481 -
- - - -
- - - -
- - - -
- - - -
- - - -
- 14,481 14,481 -
6,188 6,188 6,188 -
32,694 32,694 32,694 -
38,882 38,882 38,882 -
- - - -
- - - -
- - - -
- - - -
38,882 53,363 53,363 -
50,000 35,519 12,788 (22,731)
- - - -
- - - -
- - - -
50,000 35,519 12,788 (22,731)
(199,766) (199,766) (199,766) -
- - - -
199,766 199,766 199,766 -
$ 249,766 $ 235,285 $ 212,554 $ (22,731)
Prop 172
125 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
49,302 49,302 46,659 (2,643)
- - 2,043 2,043
- - - -
49,302 49,302 48,702 (600)
- - - -
100,000 108,180 8,180 100,000
- - - -
- - - -
- - - -
- - - -
- - - -
100,000 108,180 8,180 100,000
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
100,000 108,180 8,180 100,000
(50,698) (58,878) 40,522 99,400
- - - -
- - - -
- - - -
(50,698) (58,878) 40,522 99,400
(61,185) (61,185) (61,185) -
- - - -
61,185 61,185 61,185 -
$ 10,487 $ 2,307 $ 101,707 $ 99,400
Opioid Settlement Fund
126 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
(21) (21) (21) -
- - - -
21 21 21 -
$ 21 $ 21 $ 21 $ -
Museum Grant
127 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
- - - -
69,000 69,000 75,273 6,273
20,000 20,000 20,004 4
89,000 89,000 95,277 6,277
- - - -
- - - -
- - - -
- - - -
- - - -
85,959 85,959 86,556 (597)
- - - -
85,959 85,959 86,556 (597)
603 603 603 -
438 438 438 -
1,041 1,041 1,041 -
- - - -
- - - -
- - - -
- - - -
87,000 87,000 87,597 (597)
2,000 2,000 7,680 5,680
- - - -
(85) (85) (85) -
(85) (85) (85) -
1,915 1,915 7,595 5,680
29,574 29,574 29,574 -
- - - -
(29,574) (29,574) (29,574) -
$ (27,659) $ (27,659) $ (21,979) $ 5,680
ARRC
128 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ 25,500 $ 25,500 $ 20,172 $ (5,328)
- - - -
- - - -
- - 5 5
- - - -
25,500 25,500 20,177 (5,323)
3,173 3,173 3,362 (189)
- - - -
- - - -
- - - -
- - - -
- - - -
22,330 22,330 19,319 3,011
25,503 25,503 22,681 2,822
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
25,503 25,503 22,681 2,822
(3) (3) (2,504) (2,501)
- - 3,500 3,500
- - - -
- - 3,500 3,500
(3) (3) 996 999
(14) (14) (14) -
- - - -
14 14 14 -
$ 11 $ 11 $ 1,010 $ 999
Downtown Business Improvement
129 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
- - 517,061 517,061
73,770 73,770 90,775 17,005
- - - -
73,770 73,770 607,836 534,066
- - - -
- - - -
1,620,000 1,620,000 - 1,620,000
- - - -
- - - -
- - - -
- - - -
1,620,000 1,620,000 - 1,620,000
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
1,620,000 1,620,000 - 1,620,000
(1,546,230) (1,546,230) 607,836 2,154,066
- - - -
- - - -
- - - -
(1,546,230) (1,546,230) 607,836 2,154,066
(5,794,743) (5,794,743) (5,794,743) -
- - - -
5,794,743 5,794,743 5,794,743 -
$ 4,248,513 $ 4,248,513 $ 6,402,579 $ 2,154,066
LMIHF Housing Asset
130 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
180,000 180,000 172,795 (7,205)
- - - -
- - 249 249
- - - -
180,000 180,000 173,044 (6,956)
- - - -
- - - -
- - - -
- - - -
- - - -
176,702 176,702 171,263 5,439
- - - -
176,702 176,702 171,263 5,439
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
176,702 176,702 171,263 5,439
3,298 3,298 1,781 (1,517)
- - - -
(652) (652) (652) -
(652) (652) (652) -
2,646 2,646 1,129 (1,517)
195,646 195,646 195,646 -
- - - -
(195,646) (195,646) (195,646) -
$ (193,000) $ (193,000) $ (194,517) $ (1,517)
Winter Special Events
131 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
65,000 65,000 58,956 (6,044)
78,036 78,036 29,286 (48,750)
- - 4,988 4,988
- - - -
143,036 143,036 93,230 (49,806)
10,398 10,398 409 9,989
- - - -
9,703 200,055 82,033 118,022
- - - -
- - - -
- - - -
- - - -
20,101 210,453 82,442 128,011
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
20,101 210,453 82,442 128,011
122,935 (67,417) 10,788 78,205
- - - -
- - - -
- - - -
122,935 (67,417) 10,788 78,205
(256,813) (256,813) (256,813) -
- - - -
256,813 256,813 256,813 -
$ 379,748 $ 189,396 $ 267,601 $ 78,205
Advanced Planning
132 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
35,000 35,000 46,979 11,979
25,000 25,000 23,000 (2,000)
- - 1,391 1,391
- - - -
60,000 60,000 71,370 11,370
- - - -
- - - -
- - - -
- - - -
- - - -
46,300 46,300 48,121 (1,821)
- - - -
46,300 46,300 48,121 (1,821)
282 282 282 -
204 204 204 -
486 486 486 -
- - - -
- - - -
- - - -
- - - -
46,786 46,786 48,607 (1,821)
13,214 13,214 22,763 9,549
- - - -
(39) (39) (39) -
(39) (39) (39) -
13,175 13,175 22,724 9,549
(45,800) (45,800) (45,800) -
- - - -
45,800 45,800 45,800 -
$ 58,975 $ 58,975 $ 68,524 $ 9,549
Special Recreation Events
133 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
890,585 890,585 850,836 (39,749)
- - 22,155 22,155
- - - -
890,585 890,585 872,991 (17,594)
- - - -
- - - -
- - - -
64,948 1,992,947 112,439 1,880,508
- - - -
- - - -
- - - -
64,948 1,992,947 112,439 1,880,508
- - - -
- - - -
- - - -
400,000 400,000 - 400,000
- - - -
- - - -
400,000 400,000 - 400,000
464,948 2,392,947 112,439 2,280,508
425,637 (1,502,362) 760,552 2,262,914
- - - -
(4,000) (4,000) (4,000) -
(4,000) (4,000) (4,000) -
421,637 (1,506,362) 756,552 2,262,914
(627,913) (627,913) (627,913) -
- - - -
627,913 627,913 627,913 -
$ 1,049,550 $ (878,449) $ 1,384,465 $ 2,262,914
Highway User Tax (Gas Tax)
134 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
- - - -
- - 7,578 7,578
- - - -
- - 7,578 7,578
606 606 622 (16)
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
606 606 622 (16)
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
606 606 622 (16)
(606) (606) 6,956 7,562
- - - -
- - - -
- - - -
(606) (606) 6,956 7,562
(376,506) (376,506) (376,506) -
- - - -
376,506 376,506 376,506 -
$ 375,900 $ 375,900 $ 383,462 $ 7,562
Signalization
135 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
- - - -
- - 7 7
- - - -
- - 7 7
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - 7 7
- - - -
- - - -
- - - -
- - 7 7
(12) (12) (12) -
- - - -
12 12 12 -
$ 12 $ 12 $ 19 $ 7
1998 STIP Augmentation
136 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
40,000 40,000 - (40,000)
620 620 1,699 1,079
- - - -
40,620 40,620 1,699 (38,921)
164 164 168 (4)
- - - -
- - - -
47,234 47,234 7,071 40,163
- - - -
- - - -
- - - -
47,398 47,398 7,239 40,159
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
47,398 47,398 7,239 40,159
(6,778) (6,778) (5,540) 1,238
- - - -
- - - -
- - - -
(6,778) (6,778) (5,540) 1,238
(88,376) (88,376) (88,376) -
- - - -
88,376 88,376 88,376 -
$ 81,598 $ 81,598 $ 82,836 $ 1,238
SB325 Reimbursement
137 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
993,489 993,489 440 (993,049)
572 572 3,780 3,208
- - - -
994,061 994,061 4,220 (989,841)
151 151 155 (4)
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
151 151 155 (4)
- - - -
- - - -
- - - -
450,000 452,996 - 452,996
- - - -
- - - -
450,000 452,996 - 452,996
450,151 453,147 155 452,992
543,910 540,914 4,065 (536,849)
- - - -
- - - -
- - - -
543,910 540,914 4,065 (536,849)
(187,016) (187,016) (187,016) -
- - - -
187,016 187,016 187,016 -
$ 730,926 $ 727,930 $ 191,081 $ (536,849)
S.T.P.
138 Attachment 1

City of Ukiah, California
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Non-Major Funds
All non-major fund types
For the Year Ended June 30, 2024

REVENUES
Business license tax
Charges for service
Grants, contributions, and subventions
Use of money and property
Miscellaneous
Total revenues

EXPENDITURES
Current:

General government
Public safety
Housing and community development
Public works
Parks, buildings, and grounds
Recreation and culture
Economic development and redevelopment
Total current
Debt service:

Interest
Principal
Total debt service
Capital outlay:

Public works
Parks, buildings, and grounds
Recreation and culture
Total capital outlay
Total expenditures
Excess (deficiency) of revenues over expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning, as previously reported
Restatement for correction of an error
Fund balances - beginning as restated
Fund balance - ending
Original Final Actual
Variance - Positive
(Negative)
$ - $ - $ - $ -
- - - -
- - - -
236 236 86 (150)
- - - -
236 236 86 (150)
62 62 64 (2)
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
62 62 64 (2)
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
62 62 64 (2)
174 174 22 (152)
- - - -
- - - -
- - - -
174 174 22 (152)
(71) (71) (71) -
- - - -
71 71 71 -
$ 245 $ 245 $ 93 $ (152)
Trans-Traffic Congest Relief
139 Attachment 1