Agenda packet — Wildomar City Council, January 15, 2025 (part 5 of 7)

APPENDIX &&

FUTURE PROJECTS NOT YET

BUDGETED OR SCHEDULED
(appendix continues on next page)
27 810
CITY OF WILDOMAR CIP – FY 24/25 THROUGH FY 28/29
Future DIF Projects (Streets)
Project Segment Estimated Cost
Clinton Keith Rd. Palomar St. to City Limits $ 4,966,405 Bundy Canyon Rd. Orange St. to Monte Vista Dr. $ 1,456,852 Bundy Canyon Rd. Monte Vista Dr. to Sunset Ave. $ 8,430,701 Mission Trail Corydon Rd. to Palomar St. $ 3,262,755 Palomar St. Mission Trail to Jefferson St. $ 4,673,693 Wildomar Trail Palomar St. to Monte Vista Dr. $ 135,235 Washington Ave. Palomar St. to Southern City Limits $ 1,477,484 Bundy Canyon Rd. Mission Trail to Orange St. $ -
Corydon St. Grand Ave. to Mission Trail $ 4,181,185 Mission Trail Malaga Rd. to Corydon St. $ 2,409,701 Clinton Keith Rd. Grand Ave. to Palomar St. $ 1,267,309 Hidden Springs Rd. Clinton Keith Rd. to Stable Lanes Rd. $ 542,350 Monte Vista Dr. Bundy Canyon Rd. to Wildomar Trail $ 5,613,768 Wildomar Trail Monte Vista Dr. to Bayless Rd. $ 1,295,485 Inland Valley Dr. La Estrella St. to Bunny Trail $ 3,800,089 Bayless Rd. Wildomar Trail to La Estrella St. $ 3,574,876 Inland Valley Dr. Bunny Trail to Palomar St. $ 3,183,563 Prielipp Rd. Inland Valley Dr. to Eastern City Limits $ 1,537,678 Cottonwood Canyon Rd. Bundy Canyon Rd. to Northern City Limits $ 6,041,672 Grape St. Malaga Rd. to Lemon St. $ 2,439,592
Gruwell St. Palomar St. to Grand Ave. $ 901,266
La Estrella St. Crossroads St. to City Limits $ 1,509,498 Lemon St. Mission Trail to Grape St. $ 2,006,036
Wildomar Trail Palomar St. to Grand Ave. $ -
La Estrella St. Inland Valley Dr. to Crossroads St. $ 966,105 Salida del Sol La Estrella St. to Clinton Keith Rd. $ 1,030,260 Wildomar Trail Bayless Rd. to Wildomar Trail $ 1,589,736 Wildomar Trail Wildomar Trail to Brillante Dr. $ 636,051 Wildomar Trail Brillante Dr. to Clinton Keith Rd. $ 1,254,938 Lemon St. Grape St. to Gafford Rd. $ 1,206,800
Lost Rd. Gafford Rd. to City Limits $ 4,970,987
Palomar St. Corydon Rd. to Mission Trail $ 1,426,742 Grand Ave. Corydon Rd. to Clinton Keith Rd. $ 5,907,521 Orange St. Bundy Canyon Rd. to Gruwell St. $ 3,476,561 Gruwell St. Orange St. to Palomar St. $ 522,264
McVicar St. Palomar St. to Grand Ave. $ 684,709
La Estrella St. Susan Dr. to Inland Valley Dr. $ 529,406 Depasquale Rd. Bayless Rd. to Inland Valley Dr. $ 990,564 Stable Lanes Rd. Clinton Keith Rd. to Hidden Springs Rd. $ 840,741 Appendix C
28 811
CITY OF WILDOMAR CIP – FY 24/25 THROUGH FY 28/29
Wyman Rd. Stable Lanes Rd./Hidden Springs Rd. to
City Limits
$ 2,844,697
Susan Dr. Wildomar Trail to La Estrella St. $ 1,238,363 Bunny Trail Inland Valley Dr. to Elizabeth Ln. $ 1,482,695 Yamas Dr. Clinton Keith Rd. to Prielipp Rd. $ 1,112,021 Elizabeth Ln. Clinton Keith Rd. to Prielipp Rd. $ 1,112,021 Jana Lane Clinton Keith Rd. to Prielipp Rd. $ 1,297,358 Total $ 99,827,733
Future DIF Projects (Intersections)
Location Total DIF Cost
Share
Bundy Canyon Rd. x Cottonwood Canyon
Rd.
$ 121,652
Bundy Canyon Rd. x Oak Circle Dr. $ 94,539
Bundy Canyon Rd. x Orange St. $ 18,926
Bundy Canyon Rd. x The Farm Rd. $ -
Clinton Keith Rd. x Arya Dr. $ 94,539
Clinton Keith Rd. x Elizabeth Ln. $ 94,539
Clinton Keith Rd. x Hidden Springs Rd. $ -
Clinton Keith Rd. x Inland Valley Dr. $ 148,764
Clinton Keith Rd. x Renaissance Plaza $ 94,539
Clinton Keith Rd. x Salida del Sol/Yamas
Dr.
$ 226,931
Clinton Keith Rd. x Stable Lanes Rd. $ 208,004
Grand Ave. x Corydon St. $ 18,926
Grand Ave. x Gruwell St. $ 37,853
Inland Valley Dr. x Prielipp Rd. $ 27,113
Inland Valley Dr. x Wyman Rd. $ 92,078
Palomar St. x Clinton Keith Rd. $ 244,176
Palomar St. x Gruwell St. $ 37,853
Palomar St. x Inland Valley/Washington $ 251,568
Palomar St. x Mission Trail $ -
Prielipp Rd. x Elizabeth Ln. $ -
Wildomar Trail x Bayless Rd. $ -
Total $ 1,812,000
Appendix C
29 812
CITY OF WILDOMAR CIP – FY 24/25 THROUGH FY 28/29
Future DIF Projects (Bridges)
Project Total
Gruwell St. @ Murrieta Creek/Wildomar Channel $ 166,922 Wildomar Trail (Central St.) @ Murrieta Creek/Wildomar
Channel
$ 259,656
Wildomar Creek Culvert Extension @ McVicar St. $ 31,202 Penrose St. Class I Connection @ Wildomar Channel $ 333,844 La Estrella Street Bridge $ 6,360,937
Total $ 7,152,561
Future DIF Projects (Traffic Signal Improvements)
Location Cross Street Type Improvement DIF Cost
Share
Bundy Canyon Almond St. New 4-way Install new 4-way $ 392,000 Bundy Canyon Harvest Way East New 4-way Install new 4-way $ - Bundy Canyon Harvest Way West New 4-way Install new 4-way $ - Bundy Canyon I-15 NB Existing 4-way Modify to Ultimate 4-way $ - Bundy Canyon I-15 SB Existing 4-way Modify to Ultimate 4-way $ - Bundy Canyon Mission Trail Existing 4-way Modify to Ultimate 4-way $ 294,000 Bundy Canyon Monte Vista Existing 3-way Complete - Maintain Existing
$ 262,000
Bundy Canyon Oak Circle Rd. New 3-way Install new 3-way $ 262,000 Bundy Canyon Orange Existing 4-way Modify to Ultimate 4-way $ 196,000 Bundy Canyon Orchard St. New 3-way Install new 3-way $ 262,000 Bundy Canyon Sellers Existing 3-way Complete - Maintain Existing
$ 294,000
Bundy Canyon Sunset New 4-way Install new 4-way $ 196,000 Bundy Canyon The Farm Existing 3-way Modify to Ultimate 3-way $ 262,000 Bundy Canyon W/o Tulip New 3-way Install new 3-way $ - Clinton Keith Elizabeth New 4-way Install new 4-way $ 392,000 Clinton Keith Wildomar Trail
(George)
Existing 4-way Modify to Ultimate 4-way $ 196,000
Clinton Keith Grand Existing 3-way Modify to Ultimate 3-way $ 131,000 Clinton Keith Hidden Springs Existing 4-way Modify to Ultimate 4-way $ 98,000 Clinton Keith Inland Valley Existing 3-way Modify to Ultimate 4-way $ 294,000 Clinton Keith Palomar Existing 4-way Modify to Ultimate 4-way $ 392,000 Clinton Keith Renaissance Plaza Existing 4-way Modify to Ultimate 4-way $ 196,000 Clinton Keith Salida Del
Sol/Yamas Dr.

New 4-way Install new 4-way $ 392,000
Clinton Keith Stable Lanes New 4-way Install new 4-way $ 392,000 Clinton Keith Arya Existing 4-way Modify to Ultimate 4-way $ 196,000 Appendix C
30 813
CITY OF WILDOMAR CIP – FY 24/25 THROUGH FY 28/29
Clinton Keith Smith Ranch Road Existing 4-way Complete - Maintain Existing
$ -
Corydon Union Exsiting 4-way Modify to Ultimate 4-way $ 196,000 Grand Corydon Existing 4-way Modify to Ultimate 4-way $ 294,000 Grand Gruwell New 4-way Install new 4-way $ 392,000
Grand Shiela New Round-About Install new Roundabout $ 486,000 Inland Valley Hidden Springs New 4-way Install new 4-way $ - Inland Valley Prielipp New 4-way Install new 4-way $ 392,000 Mission Trail Canyon Existing 4-way Modify to Ultimate 4-way $ 196,000 Mission Trail Corydon Existing 3-way Modify to Ultimate 3-way $ 196,500 Mission Trail Lemon Existing 3-way Modify to Ultimate 3-way $ 131,000 Mission Trail Malaga Existing 4-way Modify to Ultimate 4-way $ 196,000 Mission Trail Olive Existing 3-way Modify to Ultimate 3-way $ 262,000 Palomar Corydon Existing 4-way Modify to Ultimate 4-way $ 196,000 Palomar Gruwell Existing 4-way Modify to Ultimate 4-way $ 392,000 Palomar Inland Valley New 4-way Install new 4-way $ 392,000 Palomar McVicar New 4-way Install new 4-way $ 392,000 Palomar Mission Trail New 3-Way or
New Roundabout
Install new 3-way or new
Roundabout
$ 364,500
Prielipp Elizabeth New 4-way Install new 4-way $ 392,000 Prielipp Yamas (Salida Del
Sol)
New 3-way Install new 3-way $ 262,000
Wildomar Trail Bayless Rd. New 3-way or
Roundabout
Install new 3-way or new
Roundabout
$ 364,500
Wildomar Trail I-15 NB New 4-way Install new 4-way $ - Wildomar Trail I-15 SB New 4-way Install new 4-way $ - Wildomar Trail La Estrella New 4-way Install new 4-way $ 392,000 Wildomar Trail
(Central)
Grand Existing 4-way Modify to Ultimate 4-way $ 196,000 Wildomar Trail
(Central)
Palomar Existing 4-way Modify to Ultimate 4-way $ 392,000 Wildomar Trail
(Central)
Wild
Stallion/Cervera
Existing 4-way Modify to Ultimate 4-way $ 392,000
Wildomar Trail
(Central/Baxter)
Baxter Rd. New 3-way Install new 3-way $ -
Wildomar Trail
(Central/Baxter)
Monte Vista New 3-way Install new 3-way $ 262,000
Total: $12,229,500
Appendix C
31 814
CITY OF WILDOMAR CIP – FY 24/25 THROUGH FY 28/29
Future DIF Projects (Drainage)
Facility Total Cost
Subregion A4 $ 4,092,000
Subregion M1 $ 353,000
Subregion M2 $ 5,586,000
Subregion M3 $ 2,466,000
Subregion M4 $ 1,940,000
Subregion M5 $ 143,000
Subregion S1 $ 2,591,000
Subregion S2 $ 4,503,000
Subregion S3 $ 12,481,000
Subregion S4 $ 2,434,000
Subregion S5 $ 19,588,000
Subregion S6 $ 2,856,000
Subregion W1 $ 5,109,000
Subregion W2 $ 828,000
Subregion W3 $ 785,000
Subregion W4 $ 1,988,000
Subregion W5 $ 6,544,000
Subregion W6 $ 1,260,000
Subregion W7 $ 4,886,000
Subregion W8 $ 1,106,000
Murrieta Creek Channel
Portion
$ 8,853,000
Murrieta MDP Line J $ 10,819,000
Wildomar MDP Lateral A $ 14,362,000
Wildomar MDP Lateral C $ 17,842,000
Wildomar MDP Lateral C-2 $ 1,176,000
Wildomar MDP Lateral C-3 $ 795,000
Wildomar MDP Lateral C
Basin
$ 14,878,000
Wildomar MDP Line D $ 303,000
Sedco MDP Line F-2 $ 782,000
Total: $ 151,349,000
Appendix C
32 815
CITY OF WILDOMAR CIP – FY 24/25 THROUGH FY 28/29
Future DIF Projects (Trails)
Street or Location Segment Trail Type Total Cost
27 Acre Park Wildomar Trail to La
Estrella
Multi-Use Trail $ 235,458
Bryant St. Palomar St. to Grand Ave. Multi-Use Trail $ 550,374 Bundy Canyon Rd. Monte Vista Dr. to Eastern
City Limits
Class I - Multi-Use
Path
$ 2,318,130
Corydon St. Grand Ave. to Mission Trail Multi-Use Trail $ 1,632,775 Fredrick-O'Neal-
Sauer
Monte Vista Dr. Loop to
Wildomar Trail
Multi-Use Trail $ 1,773,426
Gafford Rd. Vista del Agua to Lost
Rd./Lemon St.

Multi-Use Trail $ 911,174
Geirson Ave. Prairie Rd. to Wildomar
Channel (Lateral C, Stage 2)
Multi-Use Trail $ 84,642
Grand Ave. Corydon St. to Clinton
Keith Rd.

Multi-Use Trail $ 1,412,626
Grape St. City Limits/Malaga Rd. to
Lemon St.

Class I - Multi-Use
Path
$ 1,224,673
Gruwell St. Orange St. to Palomar St. Multi-Use Trail $ 166,131 Gruwell St. Palomar St. to Grand Ave. Class I - Multi-Use Path
$ 393,645
Gruwell St. Grand Ave. to Alameda del
Monte
Multi-Use Trail $ 155,939
Inland Valley Dr. La Estrella St. to Bayless Rd. Multi-Use Trail $ 882,636 La Estrella St. Crossroads St. to Eastern
City Limits
Class I - Multi-Use
Path
$ 699,813
La Estrella St. Susan Dr. to Inland Valley
Dr.

Multi-Use Trail $ 428,068
Lemon St. Mission Trail to Lost
Rd./Gafford Rd.

Multi-Use Trail $ 1,467,663
Lost Rd. Lemon St./Gafford Rd. to
Northern City Limits
Multi-Use Trail $ 1,773,426
McVicar St. Fortunado Way to Grand
Ave.

Multi-Use Trail $ 264,995
Mission Trail Lemon St. to Palomar St. Multi-Use Trail $ 1,452,375 Monte Vista Dr. Bundy Canyon Rd. to
Wildomar Trail
Multi-Use Trail $ 1,386,126
Murrieta Creek
Regional Trail
Wesley St. to Cole Canyon Class I - Multi-Use
Path
$ 2,478,504
Mustang Spirit Ln.

EVMWD Access
Road
Prielipp Rd. to Mustang
Spirit Ln.

Multi-Use Trail $ 172,361
Appendix C
33 816
CITY OF WILDOMAR CIP – FY 24/25 THROUGH FY 28/29
Oak Springs Ranch
Trail
Bunny Trail to Wildomar
Trail
Multi-Use Trail $ 353,956
Orange St. Bundy Canyon Rd. to
Gruwell St.

Multi-Use Trail $ 1,428,933
Palomar St. Corydon Rd. to
Washington Ave.

Multi-Use Trail $ 4,657,792
Penrose St. Bridge Darby St. to Front St. Class I - Multi-Use Path
$ 72,897
Raciti Rd. Bundy Canyon Rd. to Vista
del Agua
Multi-Use Trail $ 866,329
RCFC Bundy
Canyon Channel
Valley Vista Cr. to Monte
Vista Dr.

Multi-Use Trail $ 130,810
RCFC Wildomar
Channel - Lateral A
(Torbett Family
Trail)
West of Wilson St. to
Confluence with Wildomar
Channel (main line)
Multi-Use Trail $ 615,576
RCFC Wildomar
Channel - Lateral B
Grand Ave./Willow Bay Rd.
to Confluence with
Wildomar Channel (main
line)
Class I - Multi-Use
Path
$ 247,850
RCFC Wildomar
Channel - Lateral C,
Stage 2
Gierson Ave./South
Pasadena St. to Palomar St.

Multi-Use Trail $ 284,704
RCFC Wildomar
Channel - Stage 4
Union St./Sundrops Ln. to
Wesley St.

Class I - Multi-Use
Path
$ 145,794
Regency Heritage
Park
Trailwood Ct. to Union St. Class I - Multi-Use
Path
$ 80,187
Starbuck Cr. Palomar St. to Murrieta
Creek
Multi-Use Trail $ 336,339
Starbuck Cr.

Extension
Starbuck Cr. to Southern
City Limit
Multi-Use Trail $ 186,212
Sunset Ave.

Extension
Bundy Canyon Rd. to La
Estrella St.

Class I - Multi-Use
Path
$ 2,041,121
Susan Dr. Wildomar Trail to La
Estrella
Multi-Use Trail $ 542,220
TR 23111-1
Drainage Channel
Palomar St. to Grand Ave. Multi-Use Trail $ 415,514 Tulip Ln. Extension Bundy Canyon Rd. to
Oneal Rd.

Multi-Use Trail $ 400,125
Wesley St. Grand Ave. to Laguna Rd. Multi-Use Trail $ 857,156 Wildomar Trail Palomar St. to Clinton
Keith Rd.

Multi-Use Trail $ 3,375,625
Total: $ 38,904,103
Appendix C
34 817
CITY OF WILDOMAR CIP – FY 24/25 THROUGH FY 28/29
Future DIF Projects (Police and Fire Department)
Project Estimated Cost
Police Facilities (5,392 SF) $ 3,046,252
Existing and Future Fire Stations $ 11,066,900
Existing Fire Apparatus and Vehicles $ 33 5,340
Future Fire Apparatus and Vechiles $ 849 ,000
Total Facility/Equipment Cost $ 15,297,492
Future DIF Projects (Parks)
Project Estimated Cost
Park Lands $ 6,027,372
Park Improvements $ 60,273,720
Total Cost $ 66,301,092
Future DIF Projects (Municipal Facilities)
Project Estimated
Cost
Community Center $ 10,510,500
City Hall $ 10,580,000
Animal Shelter $ 1,555,383
Corporation Yard $ 2,390 ,000
Total Cost $ 25,035,883
Appendix C
35 818

CITY OF WILDOMAR

MEETING (CCR)

CONSENT CALENDAR
Agenda Staff Report # 1.5

Meeting Date: January 15, 2025
SUBJECT:

Acceptance of FY2023-24 Measure AA Annual Report
SUBMITTED BY:

Adam Jantz, Finance Manager
PREPARED BY:

Adam Jantz, Finance Manager

ACTION:

Approve the Measure AA Oversight Advisory Committee Annual Report for FY 2023-24.

SUMMARY:

Acceptance of FY2023-24 Measure AA Annual Report

DISCUSSION:

On December 5th, 2024, the first quarter meeting was held with the Citizen’s Measure AA Oversight Advisory Committee (“Committee”) to receive and comment on the FY2023-24 Measure AA Annual Report. After being received, reviewed, and accepted by the Committee, the report is now being presented to the City Council for approval. This annual report provides detail and discussion of the revenue, expenditures, and activities conducted utilizing Measure AA funds. It also contains the audited financial statements that have been certified by the independent auditing firm retained by the City.

FISCAL IMPACT:

This item is only for acceptance of the report and does not contain any additional appropriations or budget adjustments.

ACCOUNT CODE:

Fund 120

ATTACHMENTS:

FY2023-24 Measure AA Annual Report
819

Measure AA
Annual Report
Fiscal Year 2023-2024
December 5th, 2024

Oversight Advisory CommiƩee

Kathleen Kovich, Chair
Eric Bunge, Vice Chair
Carlos Hernandez, CommiƩee Member
David Johansen, CommiƩee Member
Hannah Rinehart, CommiƩee Member
820

Measure AA FY 2023-2024 Annual Committee Report
Report from the Committee

On November 6, 2018, Wildomar residents voted on a 1
-
cent sales tax (Measure AA) to fund
the services from police, fire, homelessness programs, and the maintenance and improvement of city roads. The election results were certified by the Riverside County Register of Voters and the Measure was approved by 58.67% of the Wildomar residents who voted.

At the February 13, 2019 City Council meeting, the Council adopted Resolution 2019 -
12 which
established the organization, objectives, and responsibilities of the committee per the requirements of Ordinance No. 161, whic h was the ordinance enacting the voter -
approved
Transaction and Use Tax referred to as Measure AA.

The inaugural Measure AA commi ttee members were appointed by the City Council at their June 10, 2019 meeting, and began their bi
-
annual review meetings on August 22, 2019. The
committee met three times in the 2019
-
2020 fiscal year. At the J une 11, 2020 meeting, the
committee voted to meet on a quar terly basis. In accordance with this decision, the members of the committee met quarterly during the 2023
-
2024 fiscal year.

The current committee members at the time of this report are:

Kathleen Kovich, Chair

Eric Bunge, Vice Chair

Carlos Hernandez, Committee Member

David Johansen, Committee Member

Hannah Rinehart, Committee Member

The committee has reviewed the budgetary and financial information provided to them by staff, asked questions about the inform ation for clarity and understanding, and accepted the staff ’
s
reports. The enclosed audited financ ial statements were complet ed by the firm of Rogers, Anderson, Malody, & Scott, LLP, Certified Public Accountants of Riversi de, CA. Their opinion is as follows:

“
In our opinion, the accompanying financial statements pres ent fairly, in all material respects, the respective financial position of the Fund as of June 30, 2024, and the changes in financial position thereof for the year then ended in accordance with acc ounting principles generally accepted in the United States of America.
”

The following pages cover the services funded for the Police Department, Fire Department, the Homelessness Program / Code Enforcement, and the Public Works Road Engineering and Maintenance program.

821
Measure AA FY 2023-2024 Annual Committee Report
Financial Summary

The original fiscal year 2023
-
2024 revenue and expenditure budgets for Measure AA were approved by the City Council on June 14th, 2023 as part of the City ’
s FY2023
-
24 & FY2024
-
25 Biennial Budget. At July 1st, 2023 the Measure AA Fund had a positive Fund Balance of $7,613,501.

The original adopted budget consisted of $5,554,700 in revenue and $7,979,000 in expenditures. During FY2023
-
24 the City Council approved se veral adjustments to the budgeted amounts. The final 4th Quarter Adjusted Budget Report projected estimated revenues of $6,110,500 and total appropriations of $8,124,200. Of the revenues, $5,750,000 was projected sales and use tax revenue. With the approved budget changes the estimated ending fund balance was $5,599,801.

During FY2023 -24 the actual s ales and use tax re venues collected were $5,793,328 or $43,328 above the estimated sales tax revenues budgeted at 4th quarter. Additional revenues of $371,457 from interest inco me and $4,600 fr om developer income were also added to the fund for a revenue total of $6,169,387. Combined with the July 1st, 2023 Fund Balance, Measure AA had $13,782,888 in available resources.

Actual expenditures were $5, 844,698 or $2,279,501 below the estimated final expenditures budgeted. The year
-
end fund balance was $7,938,190 or $2,338,389 above the final budgeted estimate. The following summarizes the fiscal data included in the FY2023
-
2024 Audited
Annual Financial Report for Measure AA.

Fund Balance July 1st, 2023 $ 7,613,501
Plus Revenues $ 6,169,387
Less Expenditures $ (5,844,698)
Fund Balance June 30th, 2024 $ 7,938,190
822

Measure AA FY 2023-2024 Annual Committee Report
Revenues

The Measure AA actual revenues totaled $6, 169,387. There was an favorable variance of $58,887 above the final budget of $6,110,500. Revenues for the fiscal year consisted of sales and use tax remittances totaling $5,793,328, inte rest income of $371,459, and a developer cash in lieu payment of $4,600 for the City traffic improvements.

Sales and Use Tax Revenues for FY 2023
-
2024

July
-

Sept. Sales and Use Tax Revenues

$1,486,088

Oct.
-

Dec. Sales and Use Tax Revenues

$1,462,095

Jan.
-

Mar. Sales and Use Tax Revenues

$1,403,565

Apr.
-

Jun. Sales and Use Tax Revenues

$1,441,581

Interest Income

$ 371,459

Other

$ 4,600

823

Measure AA FY 2023-2024 Annual Committee Report
Police Department

Original Budget

$950,200

Adjusted Budget

$980,400

Actual Expenses

$982,150

The Measure AA funded police services began on July 1, 2019, and included the addition of traffic enforcement patrols, which required a specialized motorcycle. The motorcycle was purchased using AA funds and in FY2023
-
24, a replacement motorcycle was purchased. In
FY2020
-
21 the City added a Community Services Offi cer and Community Patrol Officer. In FY2021
-
22 the City initiated a contra ct with Flock Safety to place Automated License Plate Reader Cameras throughout the City to identi fy criminal activity in the City.

In the years after, the
City has maintained the contract with Flock to continue these camera services.

The actual expenditures are categorized as follows:

Police Department Services

$889,107

PD Motorcycle, fuel, maintenance, equipment, and supplies

$
54,431

Automatic License Plate Reader (Flock) Cameras

$ 38,612

An unfavorable budget varianc e of $1,750 occurred at year -
end from the Police Department
services due to slightly higher than anticipated rates.

745

Community Patrol Officer

Search Warrants

Surveillance Operations

Arrests
Motor Traffic Officer

Motor Officer Traffic Stops

96 142

122

Community Service Officer
Additional Patrol Hours

210
824

Measure AA FY 2023-2024 Annual Committee Report
Fire Department

Original Budget

$1,736,200

Adjusted Budget

$1,736,200

Actual Expenses

$1,527,980

The Measure AA fire department services began on January 6, 2020, with the purchase of a medic squad truck. The medic squad team and support services are funded with Measure AA revenue. In 2021, the City began providing weed abatement services utilizing shared County staff. In May 2023, the City contracted with Riverside County for a dedicated Fire Marshal to provide fire prevention services. A portion of this position is allocated to Measure AA for weed abatement services.

The actual expenditures are categorized as follows:

Fire Department Services

$1,524,475

Furniture, Equipment, and Admin

$ 3,505

favorable budget variance of $208,220 was achieved at year -
end from the Fire Department
activities. The favorable variance was due to the County Fire Department ’
s use of top
-
step
cost estimates for the budgeted positions.

Medic Squad Call Responses

2,295

Weed Abatement Inspections

976

825

Measure AA FY 2023-2024 Annual Committee Report
Code Enforcement

Homelessness Program

Original Budget

$243,400

Adjusted Budget

$419,800

Actual Expenses

$201,759

The Homelessness Program began on April 1, 2020 to provide services to unsheltered individuals within the City limits. Prior to FY 2022
-
23, outreach services were performed by a
contractor. The contract came to an end March 2023 and

the City
’
s Code Enforcement
department took over coordinating homeless services. In spring of 2024, the City of Wildomar partnered with the City of Murietta and Project Touch to provide supplemental outreach and supportive housing for unsheltered residents.

The actual expenditures are categorized as follows:

Homelessness Administration

$ 11,946

Code Enforcement Services

$ 121,542

Contractual Services

$ 55,145

Radio Communications and Vehicles

$ 13,126

A favorable budget variance of $218,041 when compared to the adjusted budget was achieved at year
-
end from the Code Enforcement
-

Homelessness Program activities. The favorable
variance is due to lower occupancy of the City
’
s available beds during the beginning of the
housing services agreement.

Total Contacts

105

Refused Services

31 826

Measure AA FY 2023-2024 Annual Committee Report
Public Works Road Engineering and
Maintenance Services

Original Budget

$5,025,800

Adjusted Budget

$4,957,900

Actual Expenses

$3,105,202

The Public Works
-
Road Maintenance services began on Ju ly 1, 2019. The City has been able to add an additional maintenance crew that allows for concentration on road maintenance work. The City is also authorized to charge some capital activity to Measure AA for road and street capital projects.

The actual expenditures are categorized as follows:

Street Maintenance Engineering and Repair

$1,924,451

Slurry Seal Program

$1,135,184

Speed Trailers

$ 23,979

Bundy Canyon Widening

$ 20,991

Street Maintenance Legal Services

$ 597

A favorable budget variance of $1,852,698 was achieved at year -
end from the Public Works
Road Engineering and Maintenanc e enhanced services. The savings were achieved due to lower
-
than
-
anticipated expenditures on capital projects.

Potholes Repaired (sq ft)

10,718

Signs Installed

165

Trees Trimmed

120

Posts Installed

52 Hours Removing Dumps

95 827

Measure AA FY 2023-2024 Annual Committee Report
Financial Audit and Measure AA Committee

Admin Expenditures Attributed Directly to
Measure AA

Original Budget

$ 23,400

Adjusted Budget

$ 29,900

Actual Expenses

$ 27,608

Each year certain expenditures will not be tied to any of the individual programs as they are administrative in nature and directly related to the Measure AA Fund. The City works to ensure that those expend itures are directly tied to the Me asure AA approved expenditures before payment.

The actual expenditures are categorized as follows:

Auditor Services for Measure AA Report

$ 4,720

Banking & Admin Cost

$ 11,125

City Clerk

$ 11,763

A favorable budget variance of $2,292 occurr ed during the fiscal year due to fewer administrative costs for Measure AA than originally expected.

828

Measure AA FY 2023-2024 Annual Committee Report
Conclusion

The Measure AA Advisory and Oversight Committee submits this report to the City Council, and finds the actual use of funds consistent with the City Council
’
s approved budgets for public services.

829

Measure AA FY 2023-2024 Annual Committee Report

Fiscal Year 2023
-
2024

Audited Financial Statement

830

WILDOMAR MEASURE AA FUND

CITY OF WILDOMAR, CALIFORNIA

FUND FINANCIAL STATEMENTS

FOR THE YEAR ENDED JUNE, 30 2024

Prepared By:

The City of Wildomar
Finance Department
831
City of Wildomar
Wildomar Measure AA Fund
Fund Financial Statements

For the year ended June 30, 2024

Table of Contents

Page

Independent Auditor’s Report 1

Financial Statements:

Fund Financial Statements
Balance Sheet - Governmental Fund 4
Statement of Revenues, Expenditures and Changes in Fund Balance - Governmental Fund 5

Notes to Financial Statements 6

Required Supplementary Information:

Notes to Required Supplementary Information 11
Budgetary Comparison Schedule 12

Report on Internal Control over Financial Reporting and on Compliance and other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 13

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PARTNERS
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Ga,·denya Duran, CPA, CGMA
Brianna Schultz, CPA. CGMA
Brenda L. Odle. CPA. MST (Partne, Emeritus)
Te, ry P Shea, CPA (Panner Emenws)

MANAGERS/ STAFF
Seong-Hyea Lee. CPA. MBA
Evelyn Morenlin-Barcena. CPA
Vernnica Hernandez, CPA
Laura A1v1zu. CPA
John Maldonado, CPA, MSA
Julia Rodriguez Fuentes. CPA, MSA
Dem, Hite. CPA
Jeffrey McKennan. CPA
Mornca Wysock,, CPA
Jacob Weatherb,e. CPA, MSA
Bolim Han. CPA. MAcc
A nny Gonzalez, CPA

MEMBERS
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Certified Public Accountants
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1 Independent Auditor’s Report

To the Honorable Mayor and Members
of the City Council
City of Wildomar, California

Report on the Audit of the Financial Statements

Opinion

We have audited the financial statements of the Measure AA Fund (the Fund), a special revenue fund of the City of Wildomar, California, as of and for the year ended June 30, 2024, and the related notes to the financial statements, as listed in the table of contents.

In our opinion, the accompanying financial statements referred to above present fairly, in all material respects, the respective financial position of the Fund as of June 30, 2024, and the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinion

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

Emphasis of Matter

As discussed in Note 1, the financial statements present only the Measure AA Special Revenue Fund and do not purport to, and do not, present fairly the financial position of the City of Wildomar, California, as of June 30, 2024, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Our opinion is not modified with respect to this matter.
833

2 Responsibilities of Management for the Financial Statements

The Fund’s management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS and Government Auditing Standards, we:

 Exercise professional judgment and maintain professional skepticism throughout the audit.
 Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks.

Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
 Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control. Accordingly, no such opinion is expressed.
 Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control–related matters that we identified during the audit.

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3 Required Supplementary Information
Management has omitted the managem ent's discussion and analysis that accounting principles generally accepted in the United States of America require to be presented to supplement the fund financial statements. Such missing information, although not a part of the fund financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the financial statements in an appropriate operational, economic, or historical context. Our opinion on the fund financial statements is not affected by this missing information.

Accounting principles generally accepted in the United States of America require that the required supplementary information, as listed in the table of contents, be presented to supplement the financial statements. Such information is the responsibility of management and, although not a part of the fund financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the fund financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the fund financial statements, and other knowledge we obtained during our audit of the fund financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards , we have also issued our report dated November 26, 2024, on our consideration of the Fund’s internal control ov er financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Fund’s internal control over financial reporting and compliance.

San Bernardino, California
November 26, 2024
835

FUND FINANCIAL STATEMENTS
836
City of Wildomar
Wildomar Measure AA Fund

Balance Sheet
Governmental Fund
June 30, 2024

The accompanying notes are an integral part of this statement. 4 ASSETS
Cash and investments 7,108,290 $
Due from other governments 1,441,581
Total assets 8,549,871 $

LIABILITIES
Accounts payable 611,681 $
Total liabilities 611,681

FUND BA LA NCE
Committed for:

Public safety, street maintenance and homelessness solutions 7,938,190 Total fund balance 7,938,190
Total liabilities and fund balance $ 8,549,871

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City of Wildomar
Wildomar Measure AA Fund

Statement of Revenues, Expenditures and Changes in Fund Balance Governmental Fund
For the year ended June 30, 2024

The accompanying notes are an integral part of this statement. 5 REVENUES
Taxes 5,793,328 $
Investment earnings 371,459
Developer 4,600
Total revenues 6,169,387

EXPENDITURES
Current:

General government 15,852
Public safety 2,426,248
Community development 149,687
Culture and recreation 35,781
Public works 3,115,863
Capital outlay 101,267
Total expenditures 5,844,698
Net change in fund balance 324,689

FUND BA LA NCE
Beginning of year 7,613,501
End of year 7,938,190 $

838
City of Wildomar
Wildomar Measure AA Fund
Notes to the Financial
Statements
For the year ended June 30, 2024
6 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Description of the Reporting Entity
The Wildomar Measure AA Fund (the Fund) was establis hed on November 6, 2018 (Ordinanc e No. 161), pursuant to voter-approved local transactions (sales) and use tax that are intended to be used for the enhancement of police and fire serv ices, road maintenance and homelessness solutions within the City of Wildomar (the City).

The Measure AA Fund is included as a special revenue fund of the City and, accordingly, the accompanying fund financ ial statements are included as a spec ial revenue fund of the fund financial statements prepared by the City. The accompanying financial statements are intended to reflect the financial pos ition and operations for the Meas ure AA Fund, under the current financial resources measurement focus and the modified acc rual basis of accounting, only and do not purport to, and do not, present the financial position of the City of Wildomar, California.

Separate financial statements are prepared for the City of Wildomar, and may be obtained from the City.

B. Measurement Focus, Basis of Accounting, and Financial Statement Presentation Governmental fund financ ial s tatements are reported using the current financ ial resources measurement focus and the modified accrual basis of acc ounting. Revenues are recogniz ed as soon as they are both measurable and available. Revenues are considered to available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal year. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due.

C. Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Fund Balance Cash and Investments
The Fund currently pools it cash and investments with the City of Wildomar and follows the City’s investment policies. The City's cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments with original maturities of three months or less from the date of acquisition. For financial statement presentation purposes, cash and investments are shown as both restricted and unrestricted cash and investments in the governmental funds.

Investments are reported at fair value. The City 's policy is t o hold investments until maturity or until market values equal or exceed cost. The State Treasurer's Investment Pool operates in accordance with appropriate state laws and regulations. The reported value of the pool is the same as the fair value of the pool shares.
839
City of Wildomar
Wildomar Measure AA Fund

Notes to the Financial Statements
For the year ended June 30, 2024

7 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

C. Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Fund Balance (continued)

Deferred Outflows/Inflows of Resources

In addition to assets, the balance sheet will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net assets that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then. Currently, the Fund does not report any deferred outflows of resources.

In addition to liabilities, the balance sheet will sometimes report a separate section for deferred inflows of resources . This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. Currently, the Fund does not report any deferred inflows of resources.

Fund Balance

In the fund financial statements, government funds report the following fund balance classification:

Nonspendable include amounts that cannot be spent because they are either (a) not in spendable form or (b) legally or contractually required to be maintained intact.

Restricted include amounts that are constrained on the use of resources by either, (a) external creditors, grantors, contributions, or laws of regulations of other governments or (b) by law through constitutional provisions or enabling legislation.

Committed include amounts that can only be used for specific purposes pursuant to constraints imposed by formal action of the government's highest authority, the City Council.

The formal action that is required to be taken to establish , modify, or rescind a fund balance commitment is a resolution or ordinance.

Assigned include amounts that are constrained by the government's intent to be used for specific purposes, but are neither restricted nor committed. The City Manager is authorized to assign amounts to a specific purpose, which was established by the governing body in Resolution No. 2011-32 approved on June 21, 2011.

Unassigned include the residual amounts that have not been restricted, committed , or assigned to specific purposes.

840
City of Wildomar
Wildomar Measure AA Fund

Notes to the Financial Statements
For the year ended June 30, 2024

8 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

C. Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Fund Balance (continued)

When both restricted and unrestricted resources are available for use, it is the Fund's policy to use restricted resources first, and then unrestricted resources as they are needed. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is used first, followed by assigned fund balance. Unassigned fund balance is applied last.

Use of Estimates

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

Functional Classifications

Expenditures of the governmental funds are classifi ed by function. Functional classifications are defined as follows:

 General Government includes legislative activities, City Clerk, City Attorney, City Manager as well as management or supportive services across more than one functional area.

 Public Safety includes those activities which involve police protection, fire protection and animal control services.

 Community Development includes those activities which involve planning, building and safety and code enforcement.

 Culture and Recreation which includes activities which pr ovide recreation, cultural and educational services

 Public Works includes all maintenance, engineering and capital improvements which relate to streets and other public facilities.

841
City of Wildomar
Wildomar Measure AA Fund

Notes to the Financial Statements
For the year ended June 30, 2024

9 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

C. Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Fund Balance (continued)

Encumbrances

Encumbrances are estimations of costs related to unperformed contracts for goods and services.

These commitments are recorded for budgetary control purposes in the fund. Encumbrances 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.

Budget Basis of Accounting

Budgets for governmental funds are adopted on a basis consistent with generally accepted accounting principles (GAAP).

2) CASH AND INVESTMENTS

The Measure AA Fund’s cash is pooled with the City of Wildomar's cash and investments in order to generate optimum interest earnings. The information required by accounting standards related to authorized investments, credit risk, etc. is available in the annual comprehensive financial report of the City. Currently, the Fund has $7,108,290 in pooled cash and investments.

3) FAIR VALUE MEASUREMENTS

Accounting standards currently provide the framework for measuring fair value . The framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value with Level 1 given the highest priority and Level 3 the lowest priority. The three levels of the fair value hierarchy are as follows:

Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the organization has the ability to access at the measurement date.

Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include the following:

 Quoted prices for similar assets or liabilities in active markets.

 Quoted prices for identical or similar assets or liabilities in markets that are not active.

 Inputs other than quoted prices that are observable for the asset or liability (for example , interest rates and yield curves observable at commonly quoted intervals, volatilities, prepayment speeds, loss severities, credit risks, and default rates). 842
City of Wildomar
Wildomar Measure AA Fund
Notes to the Financial
Statements
For the year ended June 30, 2024
10 3) FAIR VALUE MEASUREMENTS (continued)
 Inputs that are derived principally from or corroborated by observable market data by correlation or other means (market-corroborated inputs).

Level 3 inputs are unobservable inputs for the asset or liability.

As explained in Note 2, the Measure AA Fund has its investments pooled with the City. The cash and investments reflected is a portion of the City's overall c ash and investments. Refer to the City's financial statements for additional information relating to categorization of investment types. 4) COMMITMENTS AND CONTINGENCIES
As of June 30, 2024, in the opinion of the City's Administration, there are no outstanding matters which would have a significant effect on the financial condition of the Measure AA Fund. 843

REQUIRED SUPPLEMENTARY INFORMATION
844
City of Wildomar
Wildomar Measure AA Fund

Notes to Required Supplementary Information
For the year ended June 30, 2024

11 Budgetary Comparison Information

General Budget Policies

The City Council approves each year's budget prior to the beginning of the new fiscal year. Public hearings are conducted prior to its adoption by the Council. Supplemental appropriations , where required during the period, are also approved by the Council. In most cases , expenditures may not exceed appropriations at the function level. At fiscal year-end, all operating budget appropriations lapse. There were no functions which had expenditures exceeding budgeted appropriations. A separate budget document may be obtained from the City.

Encumbrances

Encumbrances are estimations of costs related to unperformed contracts for goods and services.

These commitments are recorded for budgetary control purposes in the Fund. Encumbrances 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.

Budget Basis of Accounting

Budgets for governmental funds are adopted on a basis consistent with generally accepted accounting principles (GAAP).
845
City of Wildomar
Wildomar Measure AA Fund

Budgetary Comparison Schedule
For the year ended June 30, 2024

12 Original Final
Actual
Amounts
Variance with
Final Budget
Budgetary fund balance, beginning of year 7,613,501$ 7,613,501 $ 7,613,501 $ -$ Resources (inflows):

Taxes 5,404,700 5,750,000 5,793,328 43,328 Investment earnings 150,000 355,900 371,459 15,559 Developer - 4,600 4,600 - Amounts available for appropriations 13,168,201 13,724,001 13,782,888 58,887 Charges to appropriations (outflow):

Current:

General government 14,700 21,200 15,852 5,348 Public safety 2,619,000 2,616,600 2,426,248 190,352 Community development 183,400 218,300 149,687 68,613 Culture and recreation 11,400 140,100 35,781 104,319 Public works 5,080,000 4,994,900 3,115,863 1,879,037 Capital outlay 70,500 133,100 101,267 31,833 Total Charges to Appropriations 7,979,000 8,124,200 5,844,698 2,279,502 Budgetary fund balance, end of year 5,189,201$ 5,599,801 $ 7,938,190 $ 2,338,389 $ Budgeted Amounts

846
735 E. Carneg ie Dr . Suit e I 00
San Bernardino . CA 92408
909 889 0871 T
909 889 5361 F
ramscpa . net

ROGERS , ANDERSON , MALODY & SCOTT , LLP
CERTIFIED PUBLIC ACCOUNTANTS. SINCE 1948
STAB ILITY . ACCURACY. TRUST.
13 REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING

AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT

OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH

GOVERNMENT AUDITING STANDARDS
Independent Auditor's Report
To the Honorable Mayor and Members
of the City Council
City of Wildomar, California
We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the Measure AA Fund (the Fund), a special revenue fund of the City of Wildomar, as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise the Fund’s financial statements, and have issued our report thereon dated November 26, 2024.

Internal Control over Financial Reporting
In planning and performing our audit of the financial statements we considered the Fund’s internal control over financial reporting (internal control) as a basis for designing audit proc
edures that are appropriate
in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal c
ontrol. Accordingly, we do
not express an opinion on the effectiveness of the Fund’s internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity
’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
847
14 Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses.

However, material weaknesses or significant deficiencies may exist that were not identified.

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

Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Fund’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Fund’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

San Bernardino, California
November 26, 2024
848
Measure AA FY 2023-2024 Annual Committee Report
Fiscal Year 2023
-
2024

Committee Member Assessments

849
___________________________________________________
Committee Member, Measure AA Committee
Cit
y of Wildomar
Me
asure AA Oversight Advisory Committee
Annual Committee Member Questionnaire
For FY2023/2024
850
Committee Member, Measure AA Committee
November 4th, 2024
Dear Measure AA Committee Member,
With the passage of Measure AA in November 2018 a citizens' oversight committee has been established to independently review and advise upon the City's expenditure of proceeds generated by the transactions and use tax. The committee meets at least twice each calendar year and more frequently if necessary, to discharge the responsibilities of the committee. All meetings of the committee shall be held in accordance with the provisions of the Ralph M. Brown Act (Cal. Gov. Code Section 54950 et seq.).

The committee shall consist of five members, who are residents of the City of Wildomar.

The citizens' oversight committee shall annually review and report on: (1) the City's proposed and actual expenditure of proceeds generated by the transaction and use tax; and (2) the independent annual audit required under this chapter. The committee's report shall be submitted to the City Council for review and discussion at a public meeting of the City Council.

The questionnaire included in this packet covers the 2023-2024 fiscal year. We respectfully request that you complete all the questions with as much detail as you believe is needed. The questionnaires from each member will be included in the final report that will be submitted to the City Council for their review and acceptance.

The deadline for the completion of the questionnaire is Friday, November 22nd, as the questionnaires are to be included along with the draft annual report. It is anticipated that, if the approval of the draft report by the Committee occurs at the December meeting, the final report would be presented to the City Council at the January meeting.

We appreciate your involvement in this very important process. Please let us know if you have any questions or concerns about the questionnaire.

Cordially,
�H
Adam Jantz
Finance Manager
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CITY OF WILDOMAR

MEETING (CCR)

CONSENT CALENDAR
Agenda Staff Report # 1.6

Meeting Date: January 15, 2025
SUBJECT:

Acceptance of FY2023-24 Annual Comprehensive Financial
Report
SUBMITTED BY:

Adam Jantz, Finance Manager
PREPARED BY:

Adam Jantz, Finance Manager

ACTION:

Receive and file the FY2023-24 Annual Comprehensive Financial Report.

SUMMARY:

Acceptance of FY2023-24 Annual Comprehensive Financial Report

DISCUSSION:

The firm of Roger, Anderson, Malody & Scott LLP performed the annual financial audit of the City of Wildomar, and prepared the Annual Comprehensive Financial Report or ACFR.

This audit is required to be performed in accordance with Generally Accepted Accounting Standards and Government Auditing Standards. At the end of the audit test work, the audit firm issues an opinion as to the fairness of presentation of the financial position of the City.

The following statement was issued by the auditors in their Independent Audit's Report under Opinions:

"In our opinion, the accompanying financial statements present fairly, in all material respects, the respective financial position of the governmental activities, each major fund, and the aggregate remaining fund information of the City, as of June 30, 2024, and the respective changes in financial position thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. " This signifies that the City received a clean opinion on its financial statements.

Some highlights from the audit report are:

The balances of the General Funds (Including Funds 100, 110, and 125) on June 30, 2024 were $10,226,602 in total. Of this, $8,241,860 is the main City General Fund 100.

This represents 54% of actual General Fund operating expenditures in fiscal year 2023-24.

The Measure AA Fund brought in $5,793,328 in district sales and use taxes in its fifth full year. The fund balance for the fund on June 30, 2024, was $7,9383,189.

875
The Wildomar Cemetery District financial activities are included in more detail in a separate report for fiscal year 2023-24 and a staff report is included as part of the Wildomar Cemetery District Meeting Agenda for tonight’s meeting.

In summary:

1. The audit covers more than 72 governmental funds.

2. The audit reports indicate a clean opinion on the City's financial statements.

3. The auditors noted no findings or control deficiencies.

FISCAL IMPACT:

This is only for acceptance of the audited financial report for FY2023-24 and does not convey any appropriations or budget adjustments. Therefore, this item does not present any direct fiscal impact.

ATTACHMENTS:

City of Wildomar FY2023-24
ACFR.pdf
City of Wildomar FY2023-24 GAGAS Letter.pdf
City of Wildomar FY2023-24 SAS 114 Post Audit Letter.pdf 876
%%+6;;1((9+.&1/#4%#
AAnnuall Comprehensivee Financiall Report
FForr thee Fiscall Yearr Endedd Junee 30,, 2024
877
City of Wildomar, California

ANNUAL COMPREHENSIVE FINANCIAL REPORT
For the Year Ended June 30, 2024
Prepared By:

The City of Wildomar
Finance Department
878
T

HIS PAGE INTENTIONALLY LEFT BLANK
879
City of Wildomar
Annual Comprehensive Financial Report
For the Year Ended June 30, 2024

TABLE OF CONT
ENTS
INTRODUCTORY SECTION:

Letter of Transmittal ................................................................................................................ i Staff Directory ........................................................................................................................ x City Organization Chart ......................................................................................................... xi

FINANCIAL SECTION
Independent Auditor’s Report ................................................................................................. 1 Management’s Discussion and Analysis ................................................................................ 5 Basic Financial Statements:

Government-wide Financial Statements
Statement of Net Position ......................................................................................... 21 Statement of Activities .............................................................................................. 22 Fund Financial Statements
Balance Sheet – Governmental Funds .................................................................... 23 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position ................................................................................... 25 Statement of Revenues, Expenditures and Changes in Fund Balances – Governmental Funds .......................................................................................... 26 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities ........... 28 Notes to Financial Statements ....................................................................................... 29 Required Supplementary Information:

Budgetary Comparison Schedule by Department – General Fund ................................ 66 Budgetary Comparison Schedule by Department – Development Impact Fees ............ 67 Budgetary Comparison Schedule by Department – Measure AA .................................. 68 Budgetary Comparison Schedule by Department – ARPA ............................................ 69 Budgetary Comparison Schedule by Department – Grants ........................................... 70 Schedule of the City’s Proportionate Share of the Net Pension Liability – CalPERS Pension Plan ............................................................................................ 71 Schedule of Contributions - CalPERS Pension Plan ..................................................... 72 Schedule of Changes in Net OPEB Liability and Related Ratios ................................... 73 Schedule of Contributions - OPEB ................................................................................. 74 Notes to Required Supplementary Information .............................................................. 75 Supplementary Information:

Non-Major Governmental Funds
Combining Balance Sheet ........................................................................................ 76 Combining Statement of Revenues, Expenditures and Changes in Fund Balances ................................................................................................... 79 880
City of Wildomar

Annual Comprehensive Financial Report
For the Year Ended June 30, 2024

TABLE OF CONTENTS (Continued)

Supplementary Information (Continued)
Budgetary Comparison Schedules – Special Revenue Funds
Gas Tax ................................................................................................................... . 82 Air Quality Management District ............................................................................... 83 Measure A ................................................................................................................ 84 SLESF ..................................................................................................................... . 85 T D A ....................................................................................................................... 86 Community Development Block Grant ..................................................................... 87 Measure Z Park ........................................................................................................ 88 Waste Services ........................................................................................................ 89 Cemetery District ...................................................................................................... 90 Budgetary Comparison Schedules – Capital Projects Funds Capital Projects ........................................................................................................ 9 1 Assessment Districts ................................................................................................ 92 Budgetary Comparison Schedules – Debt Service Fund
Streetlight Fund ........................................................................................................ 9 3

STATISTICAL SECTION

Table of Contents ........................................................................................................... ...... 94 Financial Trends:

Net Position by Component ...................................................................................... 95 Changes in Net Position ........................................................................................... 97 Fund Balances of Governmental Funds ................................................................. 101 Changes in Fund Balances of Governmental Funds .............................................. 103 Revenue Capacity:

Assessed Value and Estimated Actual Value of Taxable Property ........................ 105 Direct and Overlapping Property Tax Rates ........................................................... 106 Principal Property Tax Payers ................................................................................ 108 Property Tax Levies and Collections ...................................................................... 109 Debt Capacity:

Ratio of Outstanding Debt by Type ........................................................................ 110 Direct and Overlapping Governmental Activities Debt ........................................... 111 Legal Debt Margin Information ............................................................................... 112 Demographic and Economic Statistics:

Demographic and Economic Status ....................................................................... 114 Operating Information:

Principal Employers ................................................................................................ 115 Full-time Equivalent City Government Employees by Function / Program ............. 116 Operating Indicators by Function / Program ........................................................... 118 Capital Asset Statistics by Function / Program ...................................................... 120 Miscellaneous Statistics ......................................................................................... 122 881

INTRODUCTORY SECTION
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FISCAL YEAR 2023-2024

STAFF DIRECTORY

CITY COUNCIL & CEMETERY DISTRICT TRUSTEES
Mayor/Chair – District 4 Bridgette Moore
Mayor Pro Tem/Vice Chair – District 5 Ashlee DePhillippo Council Member/Trustee – District 3 Joseph Morabito
Council Member/Trustee – District 1 Carlos Marquez
Council Member/Trustee – District 2 Dustin Nigg

EXECUTIVE M

ANAGEMENT
City Manager/General Manager Dan York
City Attorney Thomas Jex
City Clerk Janet Morales
Administrative Services Director/City Treasurer Heidi Schrader Public Works Director Jason Farag
Community Development Director Matt Bassi
Economic Development Director Kimberly Davidson
Chief of Police James Rayls
Fire Chief Lonny Olson
Community Services Director Daniel Torres

CITY OF WILDOMAR ACFR TEAM
Administrative Services Director Heidi Schrader
Finance Manager Adam Jantz
Accountant I Nicholas Neidiffer
Accountant I
Management Analyst I
Accounting Specialist II
Kayla Snipes
Kaylin Alexander
Art Villa
894
Residents of
Wildomar
Mayor and City
Council
Cemetery District
Board of Trustees
City Manager /
General Manager
Cemetery
Operations
Non-Departmental
Facilities
Community
Services
Parks
Public Works
Engineering
Public Safety
Police
Fire
Office of
Emergency
Management
Animal Control
City Clerk
Administrative
Services
Finance
IT Services
Human Resources
Risk Management
Community
Development
Planning
Building & Safety
Development
Engineering
CDBG
Code Enforcement
Economic
Development
City Attorney
Measure AA
Oversight
Committee
Planning
Commission
Measure Z
Oversight
Committee
City of Wildomar - Organization Chart
The Organization chart presents the departments of the City, which are comprised of both City employed staff and contract staff. The staffing levels in each department above represent the City's positions. The remaining staff are contracted with various agencies or through municipal service firms. -xi-
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735 E. Carneg ie Dr . Suit e I 00
San Bernardino . CA 92408
909 889 0871 T
909 889 5361 F
ramscpa . net

ROGERS , ANDERSON , MALODY & SCOTT , LLP
CERTIFIED PUBLIC ACCOUNTANTS. SINCE 1948
STAB ILITY . ACCURACY. TRUST.

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Independent Auditor’s Report

City Council
City of Wildomar

Report on the Audit of the Financial Statements

Opinions

We have audited the financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of City of Wildomar (the City), as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise City’s basic financial statements as listed in the table of contents.

In our opinion, the accompanying financial statements present fairly, in all material respects, the respective financial position of the governmental activities, each major fund, and the aggregate remaining fund information of the City, as of June 30, 2024, and the respective changes in financial position thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinions

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

898

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Emphasis of Matter

As discussed in Note 1 to the financial statements, in the year ended June 30, 2024, the City adopted new accounting guidance under Governmental Accounting Standards Board (GASB) Statement No. 100, Accounting for Changes and Error Corrections. Our opinions are not modified with respect to this matter.

Responsibilities of Management for the Financial Statements

The City’s management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.

Auditor’s Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS, and Government Auditing Standards, will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS, and Government Auditing Standards, we:

Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
 Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, no such opinion is expressed.
 Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.

899

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 Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for a reasonable period of time.

Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis and budgetary comparison information, as listed in the table of contents be presented to supplement the basic financial statements.

Such information is
the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the in formation for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Supplementary Information

Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The combining and individual nonmajor fund financial statements are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such in formation is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion, the accompanying supplementary information is fairly stated, in all material respects, in relation to the basic financial statements as a whole.

900

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Other Information

Management is responsible for the other information included in the annual comprehensive financial report (ACFR). The other information comprises the introductory and statistical sections but does not include the financial statements and our auditor's report thereon. Our opinions on the financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and consider whether a material inc onsistency exists between the other information and the financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report.

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards , we have also issued our report dated January 7, 2025 on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of internal control over financial reporting or on compliance.

That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance.

San Bernardino, California
January 7, 2025

901
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

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As management of the City of Wildomar, we offer readers of the City's financial statements this narrative overview and analysis of the financial activities of the City for its sixteenth fiscal year of operation, which ended on June 30, 2024. We encourage the reader to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal, which can be found on pages i through x of this report, and with the City’s financial statements which follow this discussion.

THE FINANCIAL HIGHLIGHTS

When revenues exceed expenses, the result is an increase in net position. When expenses exceed revenues, the result is a decrease in net position. You can think of this relationship between revenues and expenses as the City's operating results. The City's net position, as measured in the Statement of Net Position, as one way to measure the City's financial health, or financial position. Over time, increases or decreases in the City's net position, as measured in the Statement of Activities, are one indicator of whether its financial health is improving or deteriorating. However, the City's goal is to provide services that improve the quality of life for its residents, not to generate profit.

 The assets and deferred outflows of resources of the City of Wildomar exceeded its liabilities and deferred inflows of resources as of June 30, 2024, by $92.6 million (net position).
 The City of Wildomar’s asset and deferred outflows of resources increased by $15.7 million in fiscal year 2023/24 while liabilities and deferred inflows of resources decreased by $3.2 million. These increases are primarily attributed to the following asset, liability, and deferred inflow changes:
 Assets - An increase of $9.5 million in cash and investments mostly due to increases in the City’s Measure AA sales tax revenues, higher property taxes, and fee updates. o Assets – An increase of $0.7 million in Restricted Cash Investments due to the inclusion of the Cemetery assets as a blended component unit. o Assets – A decrease of $1.0 million in Due from Other Governments related to fewer reimbursements from other agencies being outstanding at year-end. o Assets – An increase of $6.3 million in Capital Assets related to the construction of capital projects and Right-of-Way purchases.
o Liabilities – A decrease of $5.5 million in Unearned Revenue due to the usage of ARPA funds on the purchase of a City Hall building.
o Liabilities – Deposits payable increased by $2.1 million related to additional deposits made for developer projects.
o Liabilities – An increase of $0.4 million in Net Pension Liability.  The City of Wildomar's total net position increased by $19 million, including the adjustment for change in reporting entity. The changes in net position are as follows:
o The Net Investment in Capital Assets increased by $6.6 million due to projects being completed in the fiscal year.
o The Restricted Net Position increased by $6.6 million related to projects in Community Development and Community Service Projects.
o The Unrestricted Net Position increased by $5.7 million as the City received additional restricted monies.
902
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-6-

 The revenues in the Statement of Activities increased a net $11.8 million. The increases are as follows:
o A net increase in general revenues of $1.8 million. This is mostly related to a $1.3 million increase in the Use of Money and Property due to increased investment earnings as a result of higher interest rates.
o Operating Grants and Contributions increased by $4.0 million due to the recognition of ARPA revenue when the monies were used to purchase the City Hall building.
o Program revenues increased by $5.4 million due to high development activity and the implementation of a new development fee schedule which increased charges for services.
 The expenses in the Statement of Activities increased a net $6.0 million. This is related to the following:
o An increase of $2.1 million in Public Works due to an increase in capital project expenditures.

OVERVIEW OF THE FINANCIAL STATEMENTS

The following discussion and analysis is intended to serve as an introduction to the City of Wildomar's basic financial statements. These basic financial statements are comprised of three components:

1) Government-wide financial statements,
2) Fund financial statements, and
3) Notes to the financial statements.

This report also contains necessary supplementary information and supplementary information in addition to the basic financial statements themselves.

Government-wide financial statements

As previously discussed, government-wide financial statements detail all capital assets, including infrastructure, depreciation, and long-term debt. Specifically, these statements are designed to provide an expansive overview of the City’s finances. In order to adequately present this data in a comprehensible format, the government-wide financial statements are divided into two subcategories, the Statement of Net Position and the Statement of Activities. These statements reasonably provide long and short-term information regarding the City’s financial condition.

903
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

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The City’s statements provide a manageable yet comprehensive view of the City’s economic position, appropriately accounting for all revenue and expenses during the specified fiscal year.

To accomplish this, government-wide financial statements are reported utilizing the flow of economic resources (cost of services) measurement focus, and the accrual method of accounting.

Using the flow of economic resources measurem ent focus allows the City to provide financial transparency as all assets and liabilities are listed on the Statement of Net Position. The added use of the accrual basis of accounting allows the City a ‘real-time’ advantage as revenues are recognized when earned and expenses are recognized when incurred.

The Statement of Net Position outlines the City’s assets, deferred outflows of resources, liabilities, and deferred inflows of resources with the difference reported as net position. While fluctuations are expected, over time, increases or decreases in the City’s net position could be used to gauge the City’s financial standing to determine whether it is improving or deteriorating.

The Statement of Activities demonstrates how the City’s net position evolves during the current fiscal year. Specifically, this statement provides a comparative analysis between direct expenses and program revenues for each functional activity of the City. In this format, net position changes are recorded in real-time when triggered by underlying events without respect to the timing of the related cash flows. Because of this, it is expected that revenue and expenses for some items (such as uncollected taxes and earned but unused vacation leave) will result in recorded cash flows in future fiscal periods.

Combined, the Statements reveal functions of the City that could be divided into two categories:

1) Governmental activities, and
2) Business-type activities.

Governmental activities are chiefly supported by:

1) Taxes derived from such sources as sale s tax, property tax, and franchise tax, and:
2) Intergovernmental revenues such as motor vehicle in-lieu fees.

Governmental activities of the City are incl usive of general government, public safety, public works, community development, economic development, and community services. As mentioned earlier, tax revenue principally funds these activities. Consequently, all of the City’s basic services are reported in this category.

The City does not have any business-type activities.

The government-wide financial statements include the City (Primary Government) and the Wildomar Cemetery District, which is a legal ly separate, discretely presented component unit.

Financial information for the Wildomar Cemetery District is reported separately from the financial information presented for the City. The government-wide financial statements can be found in the Table of Contents under Basic Financial Statements.

904
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-8-

Fund Financial Statements

A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City of Wildomar, like other state and local governments, uses fund accounting to ensure compliance with finance-related legal requirements. Specifically, these Fund Financial Statements cover segregated groupings of related accounts whose funds have been designated for specific activities or purposes. They provide a detailed accounting of revenue and expenditures, assets, liabilities, deferred inflows of resources, and remaining fund balances for each fund. This helps to ensure and demonstrate finance-related legal compliance.

Fund financial statements differ from activity report s due to the way capital outlay, depreciation, long-term debt, compensated absences, unavailable revenues, and intergovernmental receivables are reported. The impact of these differences is laid out in the notes accompanying the financial statements.

Funds required by State law (i.e., Highway Users Tax) are part of the fund financial statements.

Likewise, other funds (i.e., Developer Impact Fees, and Grants) established to provide the City with tighter fiscal controls and accountability are itemized on these statements.

Governmental funds

Governmental funds are reported in essentially the same way as governmental activities in the government-wide financial statements with an exception---governmental fund financial statements focus on near-term inflows and outflows of spendable resources and balances of spendable resources. This means governmental fund financial statements identify current sources and uses of money within the immediate fiscal year. Benefits derived include a detailed short-term view of the City’s general government operations and the basic services it provides, which assist in determining whether there are sufficient financial resources available to meet the City’s current needs.

Since the scope of the governmental funds is different than that of the government-wide financial statements, it is beneficial to compare the information presented for the governmental funds alongside governmental activities. Doing so gives the reader a clearer picture of the long-term impacts current financial decisions might yield. When examined together, the governmental funds Balance Sheet and Statement of Revenues, Expenditures, and Changes in Fund Balances statements provide the reader with a different snapshot that identifies variances between the two different methodologies of accounting for governmental activities and governmental funds.

905
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-9-

The City of Wildomar maintains 19 individual governmental funds. Information is summarized in the governmental fund balance sheet and the governmental fund stat ement of revenues, expenditures, and changes in fund balances for the General Fund, Special Revenue Funds, and Other Governmental Funds (Assessment Districts, Debt Service, and Capital Reinvestment).

Data from the 19 governmental funds are combined into a single, aggregated presentation.

Individual fund data for each of the major and non-major governmental funds is provided in the form of combining statements later in this report.

Proprietary funds record revenues when they are earned and record expenses at the time liabilities are incurred. Proprietary funds can be divided into two fund types: enterprise funds and internal service funds. Enterprise funds display financial activities operating in a similar fashion to a business enterprise. Specifically, these funds account for services for which the City charges a user fee. Enterprise funds are documented in the business-type activities section of the governmental-wide financial statements. They ac count for operations that provide services primarily to customers outside the financial reporting entity (the City). The City of Wildomar does not have any Proprietary Funds to report.

Internal service funds are generally used to accumulate and allocate costs internally among the City’s various functions. These funds might include general benefits and insurance, printing, office maintenance, architectural services, and information technology, to name a few. Given these services largely benefit governmental activities rather than business-type functions, City services that might ordinarily be reported in this area have been included with governmental activities in the government-wide financial statements. The City of Wildomar does not have any Internal Service Funds to report.

The City of Wildomar adopts a biennial appropriated budget for its General Fund, with a revision made for the second year of the budget if nec essary. A budgetary comparison statement has been provided for the General Fund to demonstrate compliance with this budget.

The basic governmental fund financial statements can be found on pages 21 through 28 of this report.

Notes to the Basic Financial Statements

The Notes to the Basic Financial Statements 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 in the Table of Contents under the heading Notes to Financial Statements.

906
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

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Required Supplementary Information and Supplementary Information

In addition to the basic financial statements included within the notes, this report also presents Required Supplementary Information and Supplementary Information.

Required supplementary information includes budgetary comparison schedules for the major governmental funds to demonstrate compliance with the annual budget as adopted and amended, miscellaneous pension plan information, schedule of funding process relating to OPEB, and notes to required supplementary information. Required Supplementary Information can be found following the Notes to the Basic Financial Statements.

Supplementary Information includes combining statements referred to earlier in connection with non-major governmental funds and includes budgetary comparison schedules for the non-major governmental funds to demonstrate compliance with the annual budget as adopted and amended.

Supplementary Information can be found following the Required Supplementary Information.

GOVERNMENT-WIDE FINANCIAL ANALYSIS

As noted earlier, net position may serve over time as a useful indicator of a government's financial position. In the case of the City of Wildomar, assets and deferred outflows of resources of the City of Wildomar exceeded its liabilities and deferred outflows of resources as of June 30, 2024, by $92.6 million (net position). Infrastructure assets of the governmental activities are included in this report. The net investment in capital assets (e.g., land, buildings, machinery, infrastructure, and equipment) of the governmental activities of the City of Wildomar are the largest portion of the City's net position (59%).

During the fiscal year ending June 30, 2024, the net position was $92.6 million of which $54.9 million was invested in capital assets such as land, equipment, buildings, and infrastructure. Of the remaining total, $28.7 million is restricted to specifically stipulated spending agreements originated by law, contract, or other agreements, and $9.0 million is unrestricted. Of note is the fact that the City has only $1.2 million in outstanding debt related to the lease-purchase of the City’s streetlights from Southern California Edison.

907
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

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Table 1 Statement of Net Position - Primary Government

City of Wildomar
Statement of Net Position - Summary
As of June 30, 2024 and 2023
2024 2023
Assets:

Current and other assets 52,673,724 $ 43,614,096 $
Capital assets 56,679,802 50,377,157
Total assets 109,353,526 93,991,253
Deferred outflows of resources:

Deferred pension/OPEB-related items 1, 266,725 900,317 Total deferred outflows of resources 1,266,725 900,317 Liabilities:

Other liabilities 14,040,042 17,610,724
Long-term liabilities 3,781,795 3,431,839
Total liabilities 17,821,837 21,042,563
Deferred inflows of resources:

Deferred pension/OPEB-related items 243,692 255,029 Total deferred inflows of resources 243,692 255,029 Net position:

Net investment in capital assets 54,876,373 48,267,691 Restricted 28,686,316 22,046,654
Unrestricted 8,992,033 3,279,633
Total net position 92,554,722$ 73,593,978 $
Governmental A ctivities

908
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-12-

Table 2 Statement of Activities - Primary Government

City of Wildomar
Statement of Activities
For the Years Ended June 30, 2024 and 2023
2024 2023
Revenues:

Program Revenues
Charges for services 12,628,351 $ 7,279,623 $
Operating grants and contributions 9,555,062 5,547,681 Capital grants and contributions 2,466,618 1,812,721 General Revenues
Property taxes 6,841,492 5,584,964
Sales tax 8,812,130 8,413,581
Other taxes 4,963,388 6,012,807
Use of money and property 2,010,405 695,396
Other revenues 224,482 338,988
Total revenues 47,501,928 35,685,761
Expenses:

General government 10,041,717 5,674,367
Public safety 10,958,201 10,871,033
Community development 2,863,098 3,235,078
Economic development 295,057 351,974
Community services 964,081 1,145,719
Public works 5,592,142 3,479,879
Interest on long-term interest 88,911 83,225 Total expenses 30,803,207 24,841,275
Increase in net position 16,698,721 10,844,486
Beginning net position 73,593,978 62,862,709
Restatement of net position 2,262,023 (113,217)
Ending net position 92,554,722$ 73,593,978 $
Governmental A ctivities

909
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

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City of Wildomar
Expenses-Governmental Activities - $30,803,207

General
Government
$10,041,717
Public Safety
$10,958,201
Community
Development
$2,863,098
Public Works
$5,592,142
Interest on
Long‐term Debt
$88,911
Economic
Development
$295,057
Community
Services
$964,081

EXPENSES

City of Wildomar
Program Revenues-Governmental Activities - $24,683,589

Public Works
$7,479,415
Community
Development
$5,102,070
Other $0
General
Government
$11,765,315
Public Safety
$292,460
Community
Services
$10,771
PROGRAM REVENUES

910
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

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City of Wildomar
Revenues by Sources-Governmental Activities - $47,501,298

Sales Tax, $8,812, 130,
19%
VLF Replacement
Funding ‐ SB130,
$3,503,527, 7%
Charges for Services,
$12,628,351, 27%
Operating Grants and
Contributions,
$9,555,062, 20%
Capital Grants and
Contributions,
$2,466,618, 5%
Property Taxes,
$6,841,492, 14%
Other Taxes,
$227,558, 1%
Investment Earnings,
2,010,405, 4%
Other, $224, 482, 1%
Franchise Taxes,
$1,232,303, 3%

Financial Analysis of Governmental Funds

As noted earlier, the City of Wildomar uses fund accounting to ensure and demonstrate compliance with finance–related legal requirements.

Governmental Funds

As stated, governmental fund financial statements identify current sources and uses of money.

Benefits derived include a detailed short-term view of the City’s general government operations and the basic services it provides, which assists in determining whether there are sufficient financial resources available to meet the City’s current needs.

The financial position of the City’s governmental funds has increased when compared to the previous fiscal year. The total ending fund balance for the City’s governmental funds was $36.6 million which represents a $12.5 million or a 52% increase from the prior fiscal year balance.

911
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-15-

The General Fund is the primary funding source for the City. At fiscal year-end, the unassigned fund balance of the General Fund was $10.2 million or 64.0% of the City's general fund expenditures of $16.0 million. This is an increase of $4.2 million in the General Fund ending fund balance.

General Fund revenues increased by $1.8 million over the previous fiscal year 2022-23. Licenses and permits saw the most significant gain in the amount of $0.6 million due to the conversion from deposit-based fees to fixed fees which recognized revenue at payment. Use of money and property revenue increased by $0.5 million due to higher interest rates on investments. Tax revenues were $0.5 million higher due to property valuation increases over the last year.

Intergovernmental, fines and forfeitures, charges for service revenues were $0.3 million higher in aggregate. Transfers in were $0.04 million lower due to fewer administrative allocations to the general fund. The remaining miscellaneous revenues and contributions from other government were down $3,710.

Expenditures in public safety decreased by $0.2 million due to allocation adjustments between funds. General government increased by $0.1 million resulting from staffing changes. Community development decreased by $0.3 million, while economic development, community services, public works, and capital outlay had a combined increase of $0.3 million. Debt service decreased by $0.1 million. This led to an overall net decrease in expenditures of $0.3 million.

Other major factors in other governmental funds’ fund balance changes were as follows:

Development Impact Fee Funds

These funds are used to record the capital expenditures of various improvements needed to meet the increased demands associated with new development, primarily residential. Capital facility expansions are pre-determined and are constructed when the collected fees fully fund the improvement. During fiscal year 2023-24, fund balance increased by $5.7 million to $12.4 million.

This is due to an increase in total revenues of $4.4 million with a decrease in expenditures of $2.3 million.

Measure AA Fund

These funds are raised by the 1.0% transaction tax approved by the voters of Wildomar on November 6, 2018. The tax is on gross receipts of any retailer from the sale of tangible property sold within the city limits. It is also imposed on the storage, use, or other consumption within the city limits of Wildomar of tangible personal property purchased from any retailer. The tax became effective on April 1, 2019. During fiscal year 2023-24, revenues of $6.2 million were generated, offset by expenditures of $5.8 million, increasing the fund balance by $0.3 million to end the fiscal year at $7.9 million.

912
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-16-

Grant Funds

These funds are typically applied for through various Federal, State, Regional, and local agencies and are awarded based on the criteria established by the agency funding the grant. All funds are to be used in accordance with the rules and regulations established for each grant. In fiscal year 2023-24, the City of Wildomar received major grant funds for its Bundy Canyon Road Widening, Palomar Road Widening, and Clinton Keith Road Widening Capital Improvement Projects. The City also received smaller grants that covered a variety of areas. In total, during fiscal year 2023- 24, the City received grant funds of $2.4 millio n offset by $2.5 million in grant expenditures, decreasing the fund balance by $1.2 thousand to -$4.0 million. The fund balance is in the negative due to the timing of various reimbursement requests.

ARPA

The American Rescue Plan Act (ARPA) funds are Federal monies managed by the US Department of Treasury that were allocated to the City to help recover from the impacts of the Coronavirus pandemic. The City received ARPA funds totaling $8,905,968. The Treasury rules allow for monies to be spent on measures dealing with COVID-19 directly or by reimbursing City funds for revenue lost due to the pandemic. Under the final rule from the Treasury, agencies may elect to complete a lost revenue calculation to determine the pandemic’s impact or take a standard allowance of up to $10,000,000. The City elected to utilize the standard allowance for its lost revenue.

Under GAAP accounting rules, the City only recognizes ARPA funds as revenue when they are spent on valid activities. Therefore, in FY 2024, revenues were $5.7 million, and expenditures were $6.1 million. The current fund balance is $0.4 million due to interest on the funds received, which does not have restricted use.

913
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-17-

General Fund Financial Highlights

General Fund original vs. final budget significant changes were as follows:

Revenues:
 Taxes increased by $0.5 million due to higher property tax revenues remitted to the City.  Licenses and permits increased by $1.0 million due to the final building permit activity and private development fee amounts being higher than projected.  Use of money & property increased by $0.4 million due to higher yields on investments.

Expenditures:

 Economic Development decreased by $0.1 million due to the reduction in authorized and unfilled positions for the department.
 City Services Admin increased by $22.0 thousand due to the transition of special events to the general fund.
 Development Engineering increased by $0.1 million due to increased development activity resulting in additional contractor costs.

The General Fund actual revenues were a net $52,377 less than the final budget. The primary sources for the revenue received being more than budgeted are as follows:

 Licenses and Permits revenue was $101,092 more than the final budget, primarily due to heightened development activity and the conversion from deposit-based to fixed permit fees.
 Transfers In were $309,294 less than budgeted due to fewer allocations from other funds.

General Fund actual expenditures were a net $1,685,549 less than the final budget. The primary source for the net expenditure decrease is as follows:

 Police and Fire Services were a combined $0.6 million under budget due to increased cost efficiencies from restructuring their general service hours and having more targeted law enforcement services based on the City’s needs.
 Administrative Services was $0.2 million under budget due to delays in hiring additional staff.
 Public Works was $0.4 million under budget due to delays in filling staff positions.  Transfers Out were $276,576 less than budgeted due to fewer allocations to other funds.  Principal Debt Service was $228,239 over budget.

914
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-18-

CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital Assets

The City’s investment in capital assets (Table 3) for its governmental activities as of June 30, 2024, is $56.7 million (net of accumulated depreciation). This investment in capital assets includes land, structures and improvements, furniture and equipment, infrastructure, and construction in progress. For more information, please refer to Note 5 in the Notes to Financial Statements. The Capital Assets of the City are those assets which are used in the performance of the City’s functions including infrastructure assets. Depreciation on capital assets is recognized in the Government-wide financial statements.

Additional information is provided on Capital Assets in the Notes to Financial Statements, Note 1.d.

Table 3 Summary of Changes in Capital Assets

City of Wildomar
Summary of Changes in Capital A ssets
As of June 30, 2024
Beginning Ending
Balance Additions Deletions Balance
Governmental Activities:

Capital assets, not being depreciated:

Land 6,166,150 $ 7,590 $ - $ 6,173,740$ Construction in progress 17,466,300 1,777,513 (7,716,719) 11,527,094 Right-of-Way 4,432,762 984,513 - 5,417,275 Total capital assets, not being depreciated 28,065,212 2,769,616 (7,716,719) 23,118,109 Capital assets, being depreciated, net:

Right-to-use equipment 750,304 (199,038) (456,497) 94,769 Right-to-use subscription 61,641 428,647 - 490,288 Buildings and improvements 3,781,156 4,837,477 - 8,618,633 Furniture, fixtures and equipment 148,134 180,852 - 328,986 Streetlights 1,474,788 (114,823) - 1,359,965 Traffic signals 123,160 (12,591) - 110,569 Infrastructure 17,069,761 5,488,722 - 22,558,483 Total capital assets, being depreciated, net 23,408,944 10,609,246 (456,497) 33,561,693 Governmental activities capital assets, net 51,474,156$ 13,378,862 $ (8,173,216) $ 56,679,802 $

Long-term liabilities

At year-end, the City had $2.0 million in outstanding long-term liabilities for Governmental Activities. This is related to a lease-purchase for streetlights, compensated absences, and lease and subscription liabilities. For more information, please refer to Note 6 in the Notes to the Financial Statements. Additional detailed information is provided on long-term debt in Note 1d of the Notes to the Financial Statements.

915
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-19-

Table 4 Summary of Changes in Long-term Liabilities

City of Wildomar
Summary of Changes in Long-term Liabilities
As of June 30, 2024
Beginning Ending Within
Balance Additions Deletions Balance One Year
Governmental activities:

Compensated absences 280,717$ - $ (50,626)$ 230,091 $ 128,645 $ Leases payable 881,711 - (764,550) 117,161 53,456 Subscription liability 55,903 546,065 (123,061) 478,907 111,088 Direct borrowing:

Loan payable 1,297,467 - (90,106) 1,207,361 94,844 Total long-term liabilities 2,515,798$ 546,065 $ (1,028,343)$ 2,033,520 $ 388,033 $

ECONOMIC FACTORS AND OUTLOOK FOR FUTURE YEARS

Key budget assumptions for forecasting General Fund revenues for fiscal year 2024-2025 and beyond include the following:

 The usage of American Rescue Plan Act monies received by the City.  Residential property values are increasing, which will be reflected in higher property taxes.  The addition of Cannabis business assessments to the local revenues.  An update of the City’s development fee schedules, such as Building, Planning, and Engineering fees, was completed in fiscal year 2023-2024. The update eliminated the deposit-based fee system and will possibly bring increased revenues and streamlined permit processing once fully implemented.

On November 6, 2018, voters approved Measure AA. Effective on April 1, 2019, Measure AA established a 1.0% transaction tax on the gross receipts of any retailer from the sale of tangible property sold within the city limits. In addition, an excise tax of 1.0% is imposed on the storage, use, or other consumption within the city limits of Wildomar of tangible personal property (i.e., vehicles) purchased from any retailer within California. The revenue from this tax in the fifth full year was $5.8 million, and it is anticipated that the sixth year’s revenue will be approximately $5.7 million.

The revenues are used to fund improvements for public safety services, roads, and homeless services.

The Adopted Operating Budget for Fiscal Year 2024-2025 is structurally balanced, addresses some of the City Council’s priorities, and attempts to balance both the achievement of community needs and the accomplishment of the Council’s goals and objectives.

916
City of Wildomar

Management’s Discussion and Analysis
For the Year Ended June 30, 2024

-20-

REQUESTS FOR INFORMATION

This financial report is designed to provide a general overview of the City of Wildomar's finances for all those with an interest in the government’s finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to:

City of Wildomar
Attention: Administrative Services Director
23873 Clinton Keith Road, Suite 110
Wildomar, California 92595

General information relating to the City of Wildomar, California, can be found at the City's website, www.wildomar.gov.

917

BASIC FINANCIAL STATEMENTS
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919
City of Wildomar
Statement of Net Position
June 30, 2024
The accompanying note
s are an integral party of these financial statements.
-21-
Primary
Government
Governmental
Activities
ASSETS
Cash and investments 45,663,745 $
Restricted cash investments 769,066
Receivables, net:

Accounts 362,426
Developer 559,020
Grants 2,439,457
Interest 102,242
Prepaids 2,758
Inventories 2,789
Due from other governments 2,772,221
Capital assets, not being depreciated 23,118,109
Capital assets, net of depreciation 33,561,693
Total assets 109,353,526

DEFERRED OUTFLOWS OF RESOURCES
Pension related items 999,202
OPEB related items 267,523
Total deferred outflows of resources 1,266,725

LIABILITIES
Accounts payable 3,442,194
Accrued liabilities 234,156
Unearned revenue 2,172,441
Deposits payable 8,184,827
Due to other governments 1,202
Accrued interest payable 5,222
Noncurrent Liabilities:

Due within one year
Other long-term liabilities 388,033
Total OPEB liability 46,618
Due in more than one year:

Other long-term liabilities 1,645,487
Net pension liability 845,780
Total OPEB liability 855,877
Total liabilities 17,821,837

DEFERRED INFLOWS OF RESOURCES
Pension related items 31,921
OPEB related items 211,771
Total deferred inflows of resources 243,692

NET POSITION
Net investment in capital assets 54,876,373
Restricted:

Community development projects 12,380,258
Community services 7,938,189
Public works 4,690,828
Capital projects 3,530,959
Debt service 146,082
Unrestricted 8,992,033
Total net position 92,554,722$
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921
City of Wildomar

Statement of Activities
For the Year Ended June 30, 2024

The accompanying notes are an integral party of these financial statements. -22-
Net (Expenses) Revenues and
Changes in Net Position
Primary Component
Program Revenues Government Unit
Charges Operating Capital Wildomar
for Grants and Grants and Governmental Cemetery
Expenses Services Contributions Contributions Activities District Governmental Activities:

General government 10,041,717$ 5,856,860 $ 5,908,455 $ - $ 1,723,598$ Public safety 10,958,201 106,301 186,159 - (10,665,741) Community development 2,863,098 4,740,155 361,915 - 2,238,972 Economic development 295,057 - - - (295,057) Community services 964,081 10,771 - - (953,310) Public works 5,592,142 1,914,264 3,098,533 2,466,618 1,887,273 Interest on long-term liabilities 88,911 - - - (88,911) Total Governmental
Activities 30,803,207 $ 12,628,351 $ 9,555,062 $ 2,466,618 $ (6,153,176) General revenues:

Taxes:

Property tax, levied for general purpose 6,841,492
Sales tax 8,812,130
Franchise taxes 1,232,303
VLF replacement funding - SB130 3,503,527
Other taxes 227,558
Investment earnings 2,010,405
Other 224,482
Total general revenues 22,851,897
Change in net position 16,698,721
Net position, beginning of year, as previously reported 73,593,978 2,262,023 Adjustment - changes to the financial reporting entity 2,262,023 (2,262,023) Net position, beginning of year, restated 75,856,001 - Net position, end of year 92,554,722 $ - $

922
City of Wildomar

Balance Sheet
Governmental Funds
June 30, 2024

The accompanying notes are an integral party of these financial statements. -23-
Development
General Impact Fees Measure AA ARPA
ASSETS
Pooled cash and investments 12,369,302 $ 15,449,521 $ 7,108,290 $ 1,905,946 $ Restricted cash and investments - - - - Receivables, net:

Accounts 126,915 - - - Developer 559,020 - - - Grants - - - - Interest 60,264 24,340 - 674 Prepaids 2,758 - - - Inventory - - - - Due from other governments 835,107 - 1,441,580 - Due from other funds 4,152,774 - - - Total assets 18,106,140 $ 15,473,861 $ 8,549,870 $ 1,906,620 $

LIABILITIES
Accounts payable 2,149,597 $ 22,854 $ 611,681 $ 55,902 $ Accrued liabilities 204,899 - - 58 Unearned revenues 64,582 659,004 - 1,448,855 Deposits payable 5,378,628 2,411,745 - - Due to other governments 1,202 - - - Due to other funds - - - - Total liabilities 7,798,908 3,093,603 611,681 1,504,815

DEFERRED INFLOWS OF RESOURCES
Unavailable revenues 80,630 - - - Total deferred inflows of resources 80,630 - - -

FUND BALA NCES (DEFICIT)
Nonspendable 2,758 - - - Restricted for:

Community development projects - 12,380,258 - - Community services - - 7,938,189 - Public works - - - - Capital projects - - - 401,805 Debt service - - - - Unassigned 10,223,844 - - - Total fund balances 10,226,602 12,380,258 7,938,189 401,805 Total liabilities, deferred inflows of
resources and fund balances 18,106,140$ 15,473,861 $ 8,549,870 $ 1,906,620 $ Special Revenue Funds

923

-24-
Special Revenue Fund Nonmajor Total
Governmental Governmental
Grants Funds Funds
-$ 8,830,686$ 45,663,745 $ - 769,066 769,066 10,542 224,969 362,426 - - 559,020 2,439,457 - 2,439,457 248 16,716 102,242 - - 2,758 - 2,789 2,789 - 495,534 2,772,221 - - 4,152,774 2,450,247$ 10,339,760 $ 56,826,498 $ 357,143$ 245,017 $ 3,442,194 $ - 29,199 234,156 - - 2,172,441 - 394,454 8,184,827 - - 1,202 4,070,523 82,251 4,152,774 4,427,666 750,921 18,187,594 1,978,340 - 2,058,970 1,978,340 - 2,058,970 - 2,789 5,547 - - 12,380,258 - - 7,938,189 - 3,229,330 3,229,330 - 6,316,757 6,718,562 - 146,082 146,082 (3,955,759) (106,119) 6,161,966 (3,955,759) 9,588,839 36,579,934 2,450,247$ 10,339,760 $ 56,826,498 $

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925
City of Wildomar

Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position
June 30, 2024

The accompanying notes are an integral party of these financial statements. -25-
Fund balances of governmental funds 36,579,934 $
Amounts reported for governmental activities in the statement of net position are different because:

Capital assets net of depreciation have not been included as financial resources in government fund activity. 56,679,802
Accrued interest is not due and payable in the current period and, therefore, is not reported in the governmental funds. (5,222)
Long-term liabilities that have not been included in the governmental activity.

Compensated absences (230,091)
Loan payable (1,207,361)
Leases payable (117,161)
Subscription liability (478,907)
Net pension liability (845,780)
Total OPEB liability (902,495)
Deferred outflows and inflows of resources related to pensions and OPEB that are required to be recognized over a defined closed period.

Pension related deferred outflows of resources 999,202
Pension related deferred inflows of resources (31,921)
OPEB related deferred outflows of resources 267,523
OPEB related deferred inflows of resources (211,771)
Revenues reported as unavailable revenue in the governmental funds are recognized in the statement of activities. 2,058,970
Net position of governmental activities 92,554,722 $

926
City of Wildomar

Statement of Revenues, Expenditures and Changes in Fund Balances Governmental Funds
For the Year Ended June 30, 2024

The accompanying notes are an integral party of these financial statements. -26-
Development
General Impact Fees Measure AA ARPA

REVENUES
Taxes 10,464,233 $ - $ 5,793,328$ - $ Licenses and permits 4,780,192 - - - Intergovernmental 3,612,422 - - 5,525,261 Charges for services 20,916 - - - Fines and forfeitures 66,610 - - - Use of money and property 808,804 400,953 371,457 198,611 Developer participation - 5,683,135 4,600 - Miscellaneous 79,940 - - - Total revenues 19,833,117 6,084,088 6,169,385 5,723,872

EXPENDITURES
Current:

General government 3,198,111 127,409 15,852 5,399,501 Public safety 8,231,827 - 2,426,248 - Community development 2,582,069 2,662 149,687 - Economic development 295,057 - - - Community services 287,962 - 35,781 - Public works 1,083,767 151,643 3,115,863 - Capital outlay 65,674 106,931 101,267 546,065 Debt service:

Principal retirement 228,239 - - 109,645 Interest 15,921 - - 1,015 Total expenditures 15,988,627 388,645 5,844,698 6,056,226 Excess (deficiency) of revenues over
(under) expenditures 3,844,490 5,695,443 324,687 (332,354)

OTHER FINA NCING RESOURCES (USES)
Lease/subscription acquisition - - - 546,065 Transfers in 385,906 - - - Transfers out (73,424) - - (15,100) Total other financing sources (uses) 312,482 - - 530,965 Net change in fund balances 4,156,972 5,695,443 324,687 198,611

FUND BALANCES (DEFICIT)
Beginning of year, as previously reported 6,069,630 6,684,815 7,613,502 203,194 Adjustment - changes to the financial
reporting entity - - - - Beginning of year, restated 6,069,630 6,684,815 7,613,502 203,194 End of year 10,226,602 $ 12,380,258 $ 7,938,189 $ 401,805 $ Special Revenue Funds

927

-27-
Special Revenue Fund Nonmajor Total
Governmental Governmental
Grants Funds Funds
-$ 984,328$ 17,241,889$ - - 4,780,192 2,442,808 5,535,384 17,115,875 - 290,746 311,662 - - 66,610 1,931 238,606 2,020,362 - - 5,687,735 - 12,255 92,195 2,444,739 7,061,319 47,316,520 2,393 742,866 9,486,132 8 203,628 10,861,711 72,651 - 2,807,069 - - 295,057 - 396,545 720,288 3,175 4,422,263 8,776,711 2,441,352 81,507 3,342,796 - 125,540 463,424 - 72,365 89,301 2,519,579 6,044,714 36,842,489 (74,840) 1,016,605 10,474,031 - - 546,065 66,076 54,098 506,080 (3,248) (414,308) (506,080) 62,828 (360,210) 546,065 (12,012) 656,395 11,020,096 (3,943,747) 7,450,232 24,077,626 - 1,482,212 1,482,212 (3,943,747) 8,932,444 25,559,838 (3,955,759)$ 9,588,839 $ 36,579,934 $

928
City of Wildomar

Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities For the Year Ended June 30, 2024

The accompanying notes are an integral party of these financial statements. -28-
Net change in fund balances - total governmental funds 11,020,096 $ 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 costs of those assets is allocated over their estimated useful lives as depreciation expense. This is the amount by which capital outlays exceeded depreciation in the current period.

Capital outlay, net of disposals 8,431,640
Depreciation (3,225,994)
The issuance of long-term debt provides current financial resources to governmental funds. Repayment of long-term debt is an expenditure in governmental funds, but repayment reduces long-term liabilities in the statement of net position.

Principal paid on loan payable 90,106
Principal paid on leases payable 250,257
Principal paid on subscription liability 123,061
Lease/subscription acquisition (546,065)
Lease/subscription termination 514,293
Some expenses reported in statement of activities do not require the use of current financial resources and therefore are not reported as expenditures in the governmental funds:

Net change in accrued interest payable 390
Net change in compensated absences 50,626
Net change in net pension activity (73,851)
Net change in OPEB liability activity (63,450)
Revenues reported as unavailable revenue in the governmental funds are recognized in the statement of activities. 127,612
Change in net position of governmental activities 16,698,721 $

929
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-29-
I.) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A) Description of the Reporting Entity

The City of Wildomar, California (City) was incorporated on July 1, 2008, under the laws of the State of California and enjoys all the rights and privileges pertaining to “General Law” cities.

The City is governed by an elected five-member board. As required by generally accepted accounting principles, these financial statements present the City (the primary government) and its component units.

Component Units

Component units are legally separate organizations for which the elected officials of the primary government are financially accountable. An agency, institution or authority, may be included as a component unit in the primary government's financial statements. Blended component units, although legally separate entities, are, in substance, part of the government's operations and so data from these units are combined with data of the primary government. A discretely presented component unit, on the other hand, is reported in a separate column in the combined financial statements to emphasize it is legally separate from the government. There is one blended component unit in these financial statements. There are no discretely presented component units presented in the financial statements. The governing body of the component unit are comprised of the City Council acting as the governing board and the services they provide directly to citizens or other parties outside the government. The blended component unit presented has a June 30 year end. The following is reported as a blended component unit.

Wildomar Cemetery District - The Wildomar Cemetery District (the District) was absorbed into the City on November 9, 2011 and was consolidated into the City as a subsidiary district. Its purpose is to provide cemetery services to residents of the City of Wildomar. The operations of the District are blended in the financial statements as the structure of the District is a separate legal entity and the City Council would oversee the operations of the District acting as the Board of Directors. A separate financial statement may be obtained from the City of Wildomar.

B) Government-wide and Fund Financial Statements

The government-wide financial statements (i.e., the statement of net position and the statement of activities) report information on all of the activities of the primary government and its component units. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities are normally supported by taxes and intergovernmental revenues.

930
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-30-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

B) Government-wide and Fund Financial Statements (continued)

The Statement of Activities demonstrates the degree to which the direct expenses of a given function or segment, are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include: 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment, and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues.

C) Measurement Focus, Basi s of Accounting, and Financial Statement Presentation

Separate financial statements are provided for governmental funds. Major individual governmental funds are reported as separate columns in the fund financial statements.

The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting . Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recogn ized as revenue as soon as all eligibility requirements imposed by the provider have been met.

Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and availa ble. Revenues are considered to available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal year. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due.

Property taxes, franchise taxes, licenses and interest associated with the current fiscal period are all considered to be susceptible to accrual and have been recognized as revenues of the current fiscal period. All other revenue items are considered to be measurable and available only when cash is received by the government.

931
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-31-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

C) Measurement Focus, Basis of Account ing, and Financial Statement Presentation (continued)

The City reports the following major governmental funds:

The General Fund is the City’s primary operating fund. All general tax receipts and fee revenue not allocated by law, Council policy or contractual agreement to other funds are accounted for in the General Fund. General Fund expenditures include operations traditionally associated with activities, which are not required to be accounted for or paid by another fund.

The Development Impact Fees Fund accounts for new development impact fees that are collected on the City’s behalf and can only be used to pay for capital expenditures and cannot be used for operating costs.

The Measure AA Fund accounts for revenues and expenditures of police and fire services, road maintenance, and homelessness solutions within the City.

The ARPA Fund accounts for revenues and expenditures of the American Rescue Plan Act funds.

The Grants Fund accounts for revenues and expenditures of miscellaneous grants not accounted for in a separate fund.

As a general rule, the effect of interfund activity has been eliminated from the government- wide financial statements except for the effect of interfund services provided and used.

Accounts reported as program revenues include: 1) charges to customers or applicants for goods, services or privileges provided, 2) operating grants and contributions, and 3) capital grants and contributions. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues include all unrestricted taxes.

D) Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position or Equity

Cash and Investments

The City’s cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments with original maturities of three months or less from the date of acquisition. For financial statement presentation purposes, cash and cash equivalents are shown as both restricted and unrestricted cash and investments in the governmental funds.

932
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-32-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

D) Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position or Equity (continued)

Investments are reported at fair value. The City ’s policy is to hold investments until maturity or until market values equal or exceed cost. The State Treasurer’s Investment Pool operates in accordance with appropriate state laws and regulations. The reported value of the pool is the same as the fair value of the pool shares.

Receivables and Payables

Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either “due to/from other funds” (i.e., the current portion of interfund loans) or “advances to/from other funds” (i.e., the non-current portion of interfund loans). All other outstanding balances between funds are reported as “due to/from other funds”. Advances between funds, as reported in the fund financial statements, are offset by a fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources.

Prepaid Items and Deposits

Certain payments to vendors reflect costs appli cable to future accounting periods and are recorded as prepaid costs in both government-wide and fund financial statements. The City accounts for prepaid costs using the consumption method and is equally offset by a nonspendable fund balance in the fund-level statement, which indicates that it does not constitute “available spendable resources.”

Capital Assets

Capital assets, which include property, plant and equipment, and infrastructure assets (e.g., roads, bridges, sidewalks and similar items), ar e reported in the governmental activities columns in the government-wide financial statements. Capital assets are defined by the government as assets with an initial, individual cost of more than $5,000 (amount not rounded) and an estimated useful life in excess of three years. Such assets are recorded at the historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at acquisition value at the date of donation.

The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend the asset’s lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed.

933
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-33-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

D) Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position or Equity (continued)

Property, plant, equipment, and infrastructure are depreciated using the straight-line, half-year convention method over the following estimated useful lives:

Assets Years
Buildings and improvements 10 to 30 years
Equipment and furniture 3 to 20 years
Vehicles 5 to 10 years
Infrastructure 10 to 50 years
Software 5 to 10 years

Deferred Outflows/Inflows of Resources

In addition to assets, the statement of net position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net assets that applies to a future period(s) and so will not be recognized as an inflow of resources (expenses/expenditure) until then. The City reports deferred outflows of resources for pension and OPEB which relate to contributions after the measurement date and other amounts, which are amortized by an actuarial determined period.

In addition to liabilities, the statement of net position and the balance sheet will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets that applies to a future period(s) and so will not be recognized as an outflow of resources (revenue) until that time. The City has two types of items, one of which arises only under a modified accrual basis of accounting that qualifies for reporting in this category. Accordingly, the item, unavailable revenue, is reported only in the government funds balance sheet. The governmental funds report unavailable revenues from grant revenue sources. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available. In addition, the City reports deferred inflows of resources for pension and OPEB on the statement of net position and are amortized by an actuarial determined period.

Compensated Absences

The dollar value as of June 30th of all vacation and sick leave hours is accrued when incurred in the government-wide financial statements. A liability for these amounts is reported in governmental funds only if they have matured, for example, as a result of employee resignations and retirements.

934
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-34-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

D) Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position or Equity (continued)

Staff and management are unrepresented and have a compensation plan. The City Manager is governed by an employment agreement which includes the compensation rate and specified rules governing vacation and sick leave. All employees are provided with vacation and sick leave when taken, with a cash-out of unused/accrued leave upon termination.

Maximum accrual limits for each category:

Vacation leave 320 hours
Sick leave 320 hours

Vacation pay is payable to employees at the time a vacation is taken or upon termination of employment. Unless otherwise governed by an employee agreement, staff may convert in May and November a maximum of 40 vacation hours into compensation.

Sick leave is payable when an employee is unable to work because of illness. Employees with continuous employment of five years or more may receive a payment of 50% of their unused sick leave when they separate without cause or retire at the then rate of compensation.

The liability for compensated absences will be paid in future years from the Gas Tax, Measure A, Measure Z, Cemetery District, and General Funds.

Long-term Obligations

In the government-wide financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, statement of net position.

Bond premiums and discounts are deferred and amortized over the life of the bonds using the straight-line method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as expenses in the year incurred.

In the fund financial statements, governmental fund types recognize 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. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as expenditures.

935
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-35-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

D) Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position or Equity (continued)

Net Pension Liability/(Asset)

For purposes of measuring the net pension liability, deferred outflows and inflows of resources related to pensions, and pension expense, information about the fiduciary net position and additions to/deductions from the fiduciary net position have been determined on the same basis as they are reported by the California Public Employees’ Retirement System (CalPERS) Financial Office. For this purpose, benefit payments (including refunds of employee contributions) are recognized when currently due and payable in accordance with the benefit terms. Investments are reported at fair value. CalPERS audited financial statements are publicly available reports that can be obtained at CalPERS’ website under Forms and Publications.

The liability for net pension will be paid in future years from the General Fund and Cemetery District.

Generally accepted accounting principles requires that the reported results must pertain to liability and asset information within certain defined timeframes. For this report, the following timeframes are used.

Valuation Date: June 30, 2022
Measurement Date: June 30, 2023
Measurement Period: July 1, 2022 to June 30, 2023

Other Post-Employment Benefits (OPEB)

For purposes of measuring the OPEB liability, deferred outflows of resources and deferred inflows of resources related to OPEB, and OPEB expense, information about the fiduciary net position of the City’s plan (OPEB Plan) and a dditions to/deductions from the OPEB Plan’s fiduciary net position have been determined on the same basis. For this purpose, benefit payments are recognized when currently due and payable in accordance with the benefit terms. Investments are reported at fair value.

The liability for other post-employment benefits w ill be paid in future years from the General Fund.

Generally accepted accounting principles require that the reported results must pertain to liability and asset information within certain defined timeframes. For this report, the following timeframes are used:

Valuation Date: July 1, 2024
Measurement Date: June 30, 2024
Measurement Period: July 1, 2023 to June 30, 2024
936
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-36-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

D) Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position or Equity (continued)

Unearned Revenues

In the government-wide financial statements and the fund financial statements, unearned revenues represent cash advances by various grantors that have not been spent; therefore, no revenue has been recognized.

Fund Equity

In the fund financial statements, government funds report the following fund balance classification:

Nonspendable include amounts that cannot be spent because they are either (a) not in spendable form or (b) legally or contractually required to be maintained intact.

Committed include amounts that can only be used for specific purposes pursuant to constraints imposed by formal action of t he government’s highest authority, the City Council, by an adoption of an ordinance. The formal action that is required to be taken to establish, modify, or rescind a fund balance commitment is an ordinance.

Assigned include amounts that are constrained by the government’s intent to be used for specific purposes, but are neither restricted nor committed. The City Manager is authorized to assign amounts to a specific purpose, which was established by the governing body in Resolution No. 2011-20 approved on June 21, 2011.

Unassigned are either residual positive net resources of the General Fund in excess of what can properly be classified in one of the other categories, or negative balances in all other funds.

Net Position Flow Assumption

Sometimes the City will fund outlays for a particular purpose from both restricted (e.g., restricted bond or grant proceeds) and unrestricted resources. In order to calculate the amounts to report as restricted - net position and unrestricted - net position in the government- wide, a flow assumption must be made about the order in which the resources are considered to be applied. It is the government’s policy to consider restricted - net position to have been depleted before unrestricted - net position is applied.

937
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-37-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

D) Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position or Equity (continued)

Fund Balance Flow Assumption

Sometimes the City will fund outlays for a particular purpose from both restricted and unrestricted resources (the total of committed, assigned, and unassigned fund balance). In order to calculate the amounts to report as restricted, committed, assigned, and unassigned fund balance in the governmental fund financial statements a flow assumption must be made about the order in which the resources are considered to be applied. It is the City’s policy to consider restricted fund balance to have been depleted before using any of the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is depleted first, followed by assigned fund balance. Unassigned fund balance is applied last.

Property Taxes

Property tax revenue is recognized on the modified accrual basis, that is, in the fiscal year for which the taxes have been levied providing they become available. Available means then due or past due and receivable within the current period and collected within the current period or expected to be collected soon enough thereafter to be used to pay liabilities of the current period. The County of Riverside collects property taxes for the City. Tax liens attach annually as of 12:01 A.M. on the first day in January preceding, the fiscal year for which the taxes are levied. The tax levy covers the fiscal period July 1st to June 30th. All secured personal property taxes and one-half of the taxes on real property are due November 1st, the second installment is due February 1st. All taxes are delinquent, if unpaid, on December 10th and April 10th respectively. Unsecured personal property taxes become due on the first of March each year and are delinquent, if unpaid, on August 31st.

Functional Classifications

Expenditures of the governmental funds are classified by function. Functional classifications are defined as follows:

 General Government includes legislative activities, City Clerk, City Attorney, City Manager as well as management or supportive services across more than one functional area.

 Public Safety includes those activities which involve police protection, fire protection and animal control services.

 Community Development includes those activities which involve planning, building and safety and code enforcement.

938
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-38-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

D) Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position or Equity (continued)

 Economic Development includes activities to attract, retain and expand businesses, marketing, local job development, and collaboration between the City and businesses.

 Community Services includes activities which provide recreation, cultural and educational services.

 Public Works includes all maintenance, engineeri ng and capital improvements which relate to streets and other public facilities.

E) Implementation of New Governmen tal Accounting Standards Board (GASB) Pronouncements

Governmental Accounting Standard Board Statement No. 100

In June 2022, GASB issued Statement No. 100, Accounting for Changes and Error Corrections. The primary objective of this Statement is to enhance accounting and financial reporting requirements for accounting changes and error corrections to provide more understandable, reliable, relevant, consistent, and comparable information for making decisions or assessing accountability. The requirements of this Statement are effective for accounting changes and error corrections made in fiscal years beginning after June 15, 2023, and all reporting periods thereafter. Please see the statement for further details.

Governmental Accounting Standard Board Statement No. 101

In June 2022, GASB issued Statement No. 101, Compensated Absences. The objective of this Statement is to better meet the information needs of financial statement users by updating the recognition and measurement guidance for compensated absences. That objective is achieved by aligning the recognition and measurement guidance under a unified model and by amending certain previously required disclosures. The requirements of this Statement are effective for fiscal years beginning after December 15, 2023, and all reporting periods thereafter. Earlier application is encouraged. The City has elected not to early implement the statement and has not determined its effect on the City’s financial statements.

939
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-39-
1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

E) Implementation of New Governmen tal Accounting Standards Board (GASB) Pronouncements (continued)

Governmental Accounting Standard Board Statement No. 102

In December 2023, GASB issued Statement No. 102, Certain Risk Disclosures. The objective of this Statement is to provide users of government financial statements with essential information about risks related to a government’s vulnerabilities due to certain concentrations or constraints The requirements of this Statement are effective for fiscal years beginning after June 15, 2024, and all reporting periods thereafter. The City has elected not to early implement the statement and has not determined its effect on the City’s financial statements.

Governmental Accounting Standard Board Statement No. 103

In April 2024, GASB issued Statement No. 103, Financial Reporting Model Improvements .

The objective of this Statement is to improve key components of the financial reporting model to enhance its effectiveness in providing information that is essential for decision making and assessing a government’s accountability. This Statement also addresses certain application issues. The requirements of this Statement are effective for fiscal years beginning after June 15, 2025, and all reporting periods thereafter. The City has elected not to early implement the statement and has not determined its effect on the City’s financial statements.

Governmental Accounting Standard Board Statement No. 104

In September 2024, GASB issued Statement No. 104, Disclosure of Certain Capital Assets .

The objective of this Statement is to improve financial reporting by providing users of financial statements with essential information about certain types of capital assets in order to make informed decisions and assess accountability. Additionally, the disclosure requirements will im-prove consistency and comparability betw een governments. The requirements of this Statement are effective for fiscal years beginning after June 15, 2025, and all reporting periods thereafter. The City has elected not to early implement the statement and has not determined its effect on the City’s financial statements.
940
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-40-
II.) STEWARDSHIP

2) STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY

The City had the following funds with expenditures in excess of appropriations (for the General Fund and other major funds, see the notes to RSI).

Fund/Department Appropriations Expenditures Excess
Gas Tax:

General government - $ 72 $ (72) $ Debt service:

Principal retirement - 1,007 (1,007) Interest - 1,081 (1,081)
Air Quality Management District
Public works 4,500 4,574 (74) Measure A:

Debt service:

Principal retirement - 1,007 (1,007) Interest - 1,081 (1,081)
SLESF:

Public Safety - 2 (2) Transfers out 186,800 187,201 (401)
TDA:

General government - 1 (1) Measure Z Park:

Debt service:

Principal retirement - 862 (862) Interest - 768 (768)
Cemetery District:

General government 708,200 741,991 (33,791) Debt service:

Principal retirement - 32,558 (32,558) Interest - 3,251 (3,251)
Assessment Districts:

Public safety 160,200 203,599 (43,399) Culture and recreation - 934 (934)

The 2022-1 and 2022-2 Special Tax A Funds did not have legally adopted budgets.

III.) DETAILED NOTES ON ALL FUNDS

3) CASH AND INVESTMENTS

As of June 30, 2024, cash and investments were repor ted in the accompanying financial statements as follows:

Statement of Net Position:

Cash and investments 45,663,745 $
Restricted cash and investments 769,066
Total cash and investments 46,432,811 $

941
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-41-
3) CASH AND INVESTMENTS (continued)

Cash and investments consist of the following:

Petty cash 100 $
Deposits with financial institutions 11,416,779
Investments 35,015,932
Total cash and investments 46,432,811 $

The City maintains a cash and investment pool that is available for use for all funds as well as the Wildomar Cemetery District (component unit). Each fund type’s position in the pool is reported on the combined balance sheet as cash and investments. The City has adopted an investment policy which authorizes it to invest in various investments.

Deposits

The California Government Code requires California banks and savings and loan associations to secure a City’s deposits by pledging government securities with a value of 110% of a City’s deposits. California law also allows financial institutions to secure City’s deposits by pledging first trust deed mortgage notes having a value of 150% of a City’s total deposits. The City Treasurer may waive the collateral requirement for deposits which are fully insured up to $250,000 by the FDIC.

The collateral for deposits in federal and state-chartered banks is held in safekeeping by an authorized Agent of Depository recognized by the State of California Department of Banking.

The collateral for deposits with savings and loan associations is generally held in safekeeping by the Federal Home Loan Bank in San Francisco, California as an Agent of Depository.

These securities are physically held in an undivided pool for all California public agency depositors. Under Government Code Section 53655, the placement of securities by a bank or savings and loan association with an “Agent of Depository” has the effect of perfecting the security interest in the name of the local government agency. Accordingly, all collateral held by California Agent of Depository are considered to be held for, and in the name of, the local governmental agency.

942
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-42-
3) CASH AND INVESTMENTS (continued)

Authorized Investments

Under provision of the City’s investment policy and in accordance with the California Government Code, the following investments are authorized:

 Securities of the U.S. Government
 Securities of U.S. Government Agencies
 City, State and Municipal Bonds
 Time Deposits and Certificates of Deposit
 Negotiable Certificates of Deposit
 Bankers’ Acceptance Notes
 Commercial Paper
 Money Market Mutual Funds
 Local Agency Investment Fund (LAIF)
 Joint Powers Authority Investment Pools

The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. LAIF is overseen by the Local Agency Investment Advisory Board, which consists of five members, in accordance with State statute. The State Treasurer’s Office audits the fund annually. The fair value of the position in the investment pool is the same as the value of the pool shares.

Investment in California Asset Management Program

The California Asset Management Program (CAMP) is a public joint powers authority which provides California Public Agencies with investment management services for surplus funds and comprehensive investment management, accounting and arbitrage rebate calculation services for proceeds of tax-exempt financings. The CAMP currently offers the Cash Reserve Portfolio, a short-term investment portfolio, as a means for Public Agencies to invest these funds. Public Agencies that invest in the Pool (Participants) purchase shares of beneficial interest. Participants may also establish individual, professionally managed investment accounts (Individual Portfolios) by separate agreement with the Investment Advisor. The City has a separate account in the Investment Advisor to manage part of the CAMP portfolio.

Investments in the Pools and Individual Portfolios are made only in investments in which Public Agencies generally are permitted by California statute. The CAMP may reject any investment and may limit the size of a Participant’s account. The Pool seeks to maintain, but does not guarantee, a constant net asset value of $1.00 per share. A Participant may withdraw funds from its Pool accounts at any time by check or wire transfers. Requests for wire transfers must be made by 9:00 a.m. that day. Fair value of the Pool is determined by the fair value per share of the Pool’s underlying portfolio.

943
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-43-
3) CASH AND INVESTMENTS (continued)

Investments Authorized by Debt Agreements

The above investments do not address investment of debt proceeds held by a bond trustee.

Investments of debt proceeds held by a bond trustee are governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City’s investment policy.

Custodial Credit Risk

The custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g., broker- dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. Investments in U.S.

Government securities are not considered to have a credit risk and, therefore, their credit quality is not disclosed. As of June 30, 2024, the City’s deposits with financial institutions in excess of federal depository insurance limits were held in collateralized accounts.

Concentration of Credit Risk

The City’s investment policy diversifies its investments by security type, institution and maturity/call dates. With the exception of U.S. Treasury securities and authorized pools, no more than 5% of the City’s total investment portfolio can be invested in a single security type or with a single financial institution.

Credit Risk

Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. The City 's investment policy limits investments in commercial paper to those rated “A” or higher from Standard and Poor’s (S&P) and Moody’s, respectively.

944
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-44-
3) CASH AND INVESTMENTS (continued)

Information about the minimum rating required by the California Government Code, the City's investment policy, or debt agreements, and the actual rating, as of year-end for each type of investment held by the City can be found below:

Rating as of Year End
Minimum Not
Investment Type Legal Rating AAA AA A Rated
Local Agency Investment Fund 4,979,987$ N/A - $ - $ - $ 4,979,987$ CAMP Pool 12,214,308 N/A 12,214,308 - - - US Treasuries 4,648,281 N/A - 4,648,281 - - Municipal Bonds 255,992 A 141,707 114,285 - - US Agencies 7,979,922 N/A - 7,979,922 - - Commercial paper 2,521,259 A - - 2,521,259 - Certificates of deposit 2,361,687 A - - 2,361,687 - Restricted:

Money market 54,496 AAA 54,496 - - - Total 35,015,932 $ 12,410,511 $ 12,742,488 $ 4,882,946 $ 4,979,987 $

Interest Rate Risk

The City’s investment policy invest at maturities to five years, unless matched to a specific cash flow. Reserve funds may be invested in securities exceeding five years if the maturity of such investments is made to coincide as nearly as practicable with the expected use of the funds. The City has elected to use the segmented time distribution method of disclosure for its interest rate risk.

As of June 30, 2024, the City had the following investments and remaining maturities:

Investment Type Less than 1 Year 1 to 3 years 3 to 5 years Fair Value Local Agency Investment Fund 4,979,987$ - $ - $ 4,979,987$ CAMP Pool 12,214,308 - - 12,214,308 US Treasuries - 3,323,660 1,324,631 4,648,291 Municipal Bonds - 255,992 - 255,992 US Agencies - 4,197,559 3,782,354 7,979,913 Commercial paper 2,521,259 - - 2,521,259 Certificates of deposit 2,112,615 249,071 2,361,686 Restricted:

Money market 54,496 - 54,496 Total 21,882,665 $ 8,026,282 $ 5,106,985 $ 35,015,932 $ Investment Maturities (in Years)

945
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-45-
4) FAIR VALUE MEASUREMENTS

Generally accepted accounting standards require certain items to be measured at fair value.

The fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value with Level 1 given the highest priority and Level 3 the lowest priority. The three levels of the fair value hierarchy are as follows:

Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the organization has the ability to access at the measurement date.

Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include the following:

 Quoted prices for similar assets or liabilities in active markets.  Quoted prices for identical or similar assets or liabilities in markets that are not active.  Inputs other than quoted prices that are observable for the asset or liability (for example, interest rates and yield curves observable at commonly quoted intervals, volatilities, prepayment speeds, loss severities, credit risks, and default rates).  Inputs that are derived principally from or corroborated by observable market data by correlation or other means (market-corroborated inputs).

Level 3 inputs are unobservable inputs for the asset or liability.

Fair value of assets measured on a recurring basis as of June 30, 2024, are as follows:

Significant Other
Fair Observable Inputs
Investment Type Value (Level 2) Uncategorized
Local Agency Investment Fund 4,979,987$ - $ 4,979,987$ CAMP Pool 12,214,308 - 12,214,308 US Treasuries 4,648,281 4,648,281 - Municipal Bonds 255,992 255,992 - US Agencies 7,979,922 7,979,922 - Commercial paper 2,521,259 2,521,259 - Certificates of deposit 2,361,687 2,361,687 - Restricted: -
Money market 54,496 54,496 - Total 35,015,932 $ 17,821,637 $ 17,194,295 $

Fair values for investments are determined by using a matrix pricing technique. Matrix pricing is used to value securities based on the security’s relationship to benchmark quoted prices.

Uncategorized investments do not fall under the fair value hierarchy as there is no active market for the investments.
946
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-46-
5) CAPITAL ASSETS

Capital asset activity for the year was as follows:

Beginning Ending
Balance Additions Deletions Balance
Capital assets, not being depreciated:

Land 6,166,150 $ 7,590 $ - $ 6,173,740$ Construction in progress 17,466,300 1,777,513 (7,716,719) 11,527,094 Right-of-way 4,432,762 984,513 - 5,417,275 Total capital assets, not being
depreciated 28,065,212 2,769,616 (7,716,719) 23,118,109 Capital assets, being depreciated/amortized:

Right-to-use equipment 1,627,697 - (1,379,343) 248,354 Right-to-use subscription 70,761 546,065 - 616,826 Buildings and improvements 7,894,743 5,284,089 - 13,178,832 Furniture, fixtures and equipment 698,538 288,367 - 986,905 Streetlights 1,916,187 - - 1,916,187 Traffic signals 251,824 - - 251,824 Infrastructure 57,742,429 7,716,719 - 65,459,148 Total capital assets, being
depreciated/amortized 70,202,179 13,835,240 (1,379,343) 82,658,076 Less accumulated depreciation/amortization for:

Right-to-use equipment (877,393) (199,038) 922,846 (153,585) Right-to-use subscription (9,120) (117,418) - (126,538) Buildings and improvements (4,113,587) (446,612) - (4,560,199) Furniture, fixtures and equipment (550,404) (107,515) - (657,919) Streetlights (441,399) (114,823) - (556,222) Traffic signals (128,664) (12,591) - (141,255) Infrastructure (40,672,668) (2,227,997) - (42,900,665) Total accumulated depreciation/amortization (46,793,235) (3,225,994) 922,846 (49,096,383) Total capital assets, being
depreciated/amortized, net 23,408,944 10,609,246 (456,497) 33,561,693 Governmental activities
capital assets, net 51,474,156 $ 13,378,862 $ (8,173,216) $ 56,679,802 $

Depreciation and amortization expense was charged to functions/programs of the primary government as follows:

Governmental activities:

General government 520,785 $
Public safety 96,490
Community development 18,438
Parks and recreation 241,548
Public works 2,348,733
Total governmental activities
depreciation and amortization expense 3,225,994$

947
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-47-
6) LONG-TERM LIABILITIES

The following is a schedule of changes in long-term liabilities for the fiscal year:

Beginning Ending Due within
balance Additions Deletions balance one year
Compensated absences 280,717$ - $ (50,626)$ 230,091 $ 128,645 $ Leases payable 881,711 - (764,550) 117,161 53,456 Subscription liability 55,903 546,065 (123,061) 478,907 111,088 Direct borrowing:

Loan payable 1,297,467 - (90,106) 1,207,361 94,844 Total 2,515,798 $ 546,065 $ (1,028,343)$ 2,033,520 $ 388,033 $

Compensated absences

The City accrues accumulated unpaid vacation, sick leave and associated employee-related costs when earned (or estimated to be earned) by the employee as described in Note 1. The City as of June 30, 2024, had an outstanding accrued balance of unpaid vacation, sick and associated employee related costs of $230,091 that will be liquidated from various funding sources in future years.

Direct borrowings - loan payable

On March 22, 2019 the City entered into an agreement with Bank of America Leasing & Capital, LLC for the loan of $1,525,470 to finance the acquisition of streetlights within the City.

The loan will be repaid in semi- annual installments, which include principal and interest, starting June 1, 2020, with the last payment to be made June 1, 2034. The interest rate will be 5.19%. The balance of the loan is $1,207,361 as of June 30, 2024.

The loan is a direct borrowing. There are no provisions for the outstanding loans in the event of default and no assets were held as collateral. Below is the future debt service for the loan:

Year ending
June 30, Principal Interest Total
2025 94,844 $ 61,447 $ 156,291 $
2026 99,830 56,461 156,291
2027 105,078 51,213 156,291
2028 110,603 48,486 159,089
2029 116,417 39,873 156,290
2030-2034 680,589 100,866 781,455
Total 1,207,361$ 358,346 $ 1,565,707 $

948
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-48-
6) LONG-TERM LIABILITIES (continued)

Leases payable

The City entered into a 42-month lease as lessee for the use of city hall. A total initial lease liability was recorded in the amount of $1,379,342. In March of 2024, the City terminated the lease as part of an acquisition process of the city hall space.

As of June 30, 2024, Wildomar, CA had 12 active leases. The leases have payments that range from $2,167 to $195,278 and interest rates that range from 0.3150% to 18.6199%. As of June 30, 2024, the total combined value of the lease liability is $117,163, the total combined value of the short-term lease liability is $53,456. The combined value of the right to use asset, as of June 30, 2024, of $248,354 with accumulated amortization of $153,585 is included within the right-to-use equipment category of capital assets, found in Note 5.

The future payments on the leases are as follows:

Year ending
June 30, Principal Interest Total
2025 53,456 $ 13,582 $ 67,038 $
2026 33,978 7,576 41,554
2027 29,727 1,446 31,173
Total 117,161 $ 22,604 $ 139,765 $

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949
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-49-
6) LONG-TERM LIABILITIES (continued)

Subscription liability

On July 1, 2022, the City entered into various subscriptions of 60 months for the use of software. An initial subscription liability was recorded in the amount of $70,761. On July 1, 2023, the City entered into additional subscriptions of 60 months. An additional subscription liability was recorded at $546,065. As of June 30, 2024, the value of the subscription liability is $478,907. The City is required to make annual fixed payments ranging from $15,149 to $60,660. The subscriptions have interest rates ranging from 2.8760% to 3.4450%. The value of the right-to-use asset as of June 30, 2024 of $616,826 with accumulated amortization of $126,538 is included on the right-to-use subscription category of capital assets, found in Note

5. The City does not have any extension options. The interest payments are due annually.

The future payments on the subscriptions are as follows:

Year ending
June 30, Principal Interest Total
2025 111,088 $ 14,722 $ 125,810 $
2026 114,506 11,304 125,810
2027 121,073 7,780 128,853
2028 132,240 4,049 136,289
Total 478,907 $ 37,855 $ 516,762 $

The remainder of this page left intentionally blank.
950
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-50-
7) INTERFUND RECEIVABLE, PAYABLE AND TRANSFERS

Due To/From Other Funds

DUE FROM
Other
Governmental
Grants Funds Total
General Fund 4,070,523 $ 82,251 $ 4,152,774$ Total 4,070,523 $ 82,251 $ 4,152,774$
DUE
TO

These were the result of routine interfund trans actions due to eliminating temporary deficit cash balances.

Interfund Transfers

Other
General Governmental
Fund ARPA Grants Funds Total
General Fund - $ 15,100$ 3,248 $ 367,558 $ 385,906 $ Grants 39,717 - - 26,359 66,076 Other Governmental Funds 33,707 - - 20,391 54,098 Total 73,424 $ 15,100 $ 3,248 $ 414,308 $ 506,080 $

TRANSFERS
IN

TRANSFERS OUT

During the year, interfund transfers were used to provide services and construct assets between funds.

8) PENSION PLAN

Plan Description

All qualified permanent and probationary employees are eligible to participate in the Public Agency Cost-Sharing Multiple-Employer Defined Benefit Pension Plan (Plan or PERF C) administered by the California Public Empl oyees’ Retirement System (CalPERS.) The Plan consists of a miscellaneous pool and a safety pool (also referred to as “risk pools”), which are comprised of individual employer miscellaneous and safety rate plans, respectively. Plan assets may be used to pay benefits for any employer rate plan of the safety and miscellaneous pools. Accordingly, rate plans within the safety or miscellaneous pools are not separate plans under generally accepted accounting principles. Individual employers may sponsor more than one rate plan in the miscellaneous or safety risk pools. The City participates in one miscellaneous plan. Benefit provisions under the Plan are established by State statute and City resolution. CalPERS issues publicly available reports that include a full description of the pension plan regarding benefit provisions, assumptions and membership information that can be found on the CalPERS’ website, at www.calpers.ca.gov. 951
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-51-
8) PENSION PLAN (continued)

Benefits Provided

CalPERS 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.

Members with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. All members are eligible for non-duty disability benefits after 5 years of service. The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the Optional Settlement 2W Death Benefit. The cost-of-living adjustments for each plan are applied as specified by the Public Employees’ Retirement Law.

The Plan operates under the provisions of the California Public Employees’ Retirement Law (PERL), the California Public Employees’ Pension Reform Act of 2013 (PEPRA), and the regulations, procedures and policies adopted by the CalPERS Board of Administration. The Plan’s authority to establish and amend the benefit terms are set by the PERL and PEPRA, and may be amended by the California state legislature and in some cases require approval by the CalPERS Board.

The rate plan provisions and benefits in effect as of June 30, 2024 are summarized as follows:

Miscellaneous
Prior to On or After
Hire date January 1, 2013 January 1, 2013
Benefit formula 2.7 % @ 55 2% @ 62
Benefit vesting schedule 5 years service 5 years service Benefit payments monthly for life monthly for life
Retirement age 50 - 55 52 - 67
Monthly benefits, as a % of eligible compensation 2.0% to 2.7% 1.0% to 2.5% Required employer contribution rates 14.030% 7.470%

952
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-52-
8) PENSION PLAN (continued)

Required contributions

Section 20814(c) of the California Public Employees’ Retirement Law (PERL) requires that the employer contribution rates for all public employers are 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 contribution rate of employees. Employer contribution rates may change if plan contracts are amended. Payments made by the employer to satisfy contribution requirements that are identifi ed by the pension plan terms as plan member contribution requirements are classified as plan member contributions. Employer Contributions to the Plan for the fiscal year ended June 30, 2024 were $385,501. The actual employer payments of $342,890 made to CalPERS by the City during the measurement period ended June 30, 2023 differed from the City’s proportionate share of the employer’s contributions of $190,501 by $152,389, which is being amortized over the expected average remaining service lifetime in the Public Agency Cost-Sharing Multiple Employer Plan.

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, 2023, using an annual actuarial valuation as of June 30, 2022 rolled forward to June 30, 2023 using standard update procedures. A summary of principal assumptions and methods used to determine the net pension liability is as follows.

953
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-53-
8) PENSION PLAN (continued)

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions

Actuarial Methods and Assumptions Used to Determine Total Pension Liability

The collective total pension liability for the June 30, 2023 measurement period was determined by an actuarial valuation as of June 30, 2022, with update procedures used to roll forward the total pension liability to June 30, 2023. The collective total pension liability was based on the following assumptions:

Valuation date June 30, 2022
Measurement date June 30, 2023
Actuarial cost method Entry Age Actuarial Cost Method
Asset valuation method Fair value of assets
Actuarial assumptions:

Discount rate 6.90%
Inflation 2.30%
Salary increase Varies by Entry Age and Service
Mortality Rate Table (1) Derived using CalPERS' membership data for all funds Post retirement benefit increase The lesser of contract COLA or 2.30% until Purchasing Power Protection Allowance floor on purchasing power
applies, 2.30% thereafter.
(1) The mortality table used was developed based on CalPERS-specific data. The probabilities of mortality are based on the 2021 CalPERS Experience Study for the period from 2001 to 2019. Pre-retirement and Post- retirement mortality rates include 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 CalPERS Experience Study and Review of Actuarial Assumptions report from November 2021 that can be found on the CalPERS website.

Long-term Expected Rate of Return

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

In determining the long-term expected rate of return, CalPERS took into account both short- term and long-term market return expectations. Using historical returns of all of the funds’ asset classes, expected compound (geometric) returns were calculated over the next 20 years using a building-block approach. The expected rate of return was then adjusted to account for assumed administrative expenses of 10 Basis points.
954
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-54-
8) PENSION PLAN (continued)

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (continued)

The expected real rates of return by asset class are as follows:

Assumed Asset Real Return
Assets Class(a) 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%)
Total 100.0%
2 Figures are based on the 2021 Asset Liability Management study. 1 An expected inflation of 2.30% used for this period.

Change of Assumptions

There were no assumption changes in 2023. Effective with the June 30, 2021 valuation date (June 30, 2022 measurement date), the accounting discount rate was reduced from 7.15% to

6.90%. 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. In addition, demographic assumptions and the price inflation assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. The accounting discount rate was 7.15% for measurement dates June 30, 2017 through June 30, 2021, 7.65% for measurement dates June 30, 2015 through June 30, 2016, and 7.50% for measurement date June 30, 2014.

Discount Rate

The discount rate used to measure the total pension liability for PERF C was 6.90%. 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.
955
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-55-
8) PENSION PLAN (continued)

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (continued)

Subsequent Events

There were no subsequent events that would materially affect the results presented in this disclosure.

Pension Plan Fiduciary Net Position

Information about the pension plan’s assets, deferred outflows of resources, liabilities, deferred inflows of resources, and fiduciary net position are presented in CalPERS’ audited financial statements, which are publicly available reports that can be obtained at CalPERS’ website, at www.calpers.ca.gov. The plan’s fiduciary net position and additions to/deductions from the plan’s fiduciary net position have been determined on the same basis used by the pension plan, which is the economic resources measurement focus and the accrual basis of accounting. Benefits and refunds are recognized when due and payable in accordance with the terms of the plan. Investments are reported at fair value.

Proportionate Share of Net Pension Liability/(Asset)

The following table shows the City’s proportionate share of the Plan’s net pension liability over the measurement period.

City total City fiduciary City net pension
pension liability net position liability/(asset)
(a) (b) (c) = (a) - (b)
Balance at: 6/30/2022 (VD) 4,337,170$ 3,704,642 $ 632,528 $ Balance at: 6/30/2023 (MD) 5,428,240 4,582,460 845,780 Net change (1,091,070) $ (877,818) $ (213,252) $ Valuation date (VD); Measurement date (MD)

956
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-56-
8) PENSION PLAN (continued)

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (continued)

The City’s proportion of the net pension liability was determined by CalPERS using the output from the Actuarial Valuation System and the fiduciary net position, as provided in the CalPERS Public Agency Cost-Sharing Allocation Methodology Report, which is a publicly available report that can be obtained at CalPERS’ website, at www.calpers.ca.gov. The City’s proportionate share of the net pension liability for the miscellaneous Plan as of the June 30, 2022 and 2023 measurement dates was as follows:

City
Proportion - June 30, 2023 0.01352%
Proportion - June 30, 2024 0.01691%
Change - increase (decrease) 0.00339%

Sensitivity of the Proportionate Share of the Net Pension Liability/(Asset) to Changes in the Discount Rate

The following presents the City’s proportionate share of the net pension liability of the Plan as of the measurement date, calculated using the discount rate of 6.9 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 (5.9 percent) or 1 percentage-point higher (7.9 percent) than the current rate:

City
1% Decrease 5.90%
Net pension liability (asset) 1,579,927$
Current discount rate 6.90%
Net pension liability (asset) 845,780$
1% Increase 7.90%
Net pension liability (asset) 241,515$

Amortization of Deferred Outflows and Deferred Inflows of Resources

Under GASB 68, gains and losses related to changes in total pension liability and fiduciary net position are recognized in pension expense systematically over time.

The first amortized amounts are recognized in pens ion expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and deferred inflows of resources related to pensions and are to be recognized in future pension expense. 957
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-57-
8) PENSION PLAN (continued)

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (continued)

The amortization period differs depending on the source of the gain or loss:

Difference between
projected and actual
earnings
5 year straight-line amortization
All other amounts Straight-line amortization over the average expected remaining services lives of all members
that are provided with benefits (active, inactive and
retired) as of the beginning of the measurement
period

The expected average remaining service lifetime (EARSL) is calculated by dividing the total future service years by the total number of plan participants (active, inactive, and retired) in the Public Agency Cost-Sharing Multiple-Employer Plan (PERF C).

The EARSL for PERF C for the measurement period ending June 30, 2023 is 3.8 years, which was obtained by dividing the total service years of 600,538 (the sum of remaining service lifetimes of the active employees) by 160,073 (the total number of participants: active, inactive, and retired) in PERF C. Inactive employees a nd retirees have remaining service lifetimes equal to 0. Total future service is based on the members’ probability of decrementing due to an event other than receiving a cash refund.

As of the start of the measurement period (July 1, 2022), the City’s net pension liability was $632,528. For the measurement period ending June 30, 2022 (the measurement date), the City incurred a pension expense of $459,354.

As of June 30, 2024, the City has deferred outflows and deferred inflows of resources related to pensions as follows:

Deferred Deferred
outflows of inflows of
resources resources
Pension contributions subsequent to measurement date 385,501$ - $ Changes of assumptions 51,064 -
Differences between expected and actual experience 43,207 6,703 Differences between projected and actual investment earnings 136,939 - Differences between employer’s contributions and proportionate share of contributions 170,988 264
Changes in employer’s proportion 211,503 24,954 Total 999,202 $ 31,921 $

958
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-58-
8) PENSION PLAN (continued)

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions (continued)

The amounts above are net of outflows and inflows recognized in the 2022-23 measurement period expense. Contributions subsequent to the measurement date of $385,501 reported with deferred outflows of resources will be recognized as a reduction of the net pension liability in the upcoming fiscal year. Other amounts reported as deferred outflows and deferred inflows of resources related to pensions will be recognized in future pension expense as follows:

Deferred
Year Ended outflows/inflows
June 30, of resources
2025 246,736 $
2026 172,848
2027 158,267
2028 3,929
2029 -
Thereafter -
Total 581,780 $

9) OTHER POST-EMPLOYMENT BENEFITS (OPEB)

Plan Description

The City’s agent multiple employer defined benefit postemployment healthcare plan provides medical benefits to eligible retired employees and qualified dependents. A menu of benefit provisions as well as other requirements is es tablished by State statute within the Public Employees’ Retirement Law. CalPERS issues an Annual Comprehensive Financial Report.

The Annual Comprehensive Financial Report is issued in aggregate and includes the sum of all CalPERS plans. Copies of the CalPERS Comprehensive Annual Financial Report may be obtained from the CalPERS Executive Office, 400 P Street, Sacramento, California 95814.

Funding Policy

The contribution requirements of the City are established and may be amended by the City Council.

959
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-59-
9) OTHER POST-EMPLOYMENT BENEFITS (OPEB) (continued)

Employees Covered

As of July 1, 2024, actuarial valuation, the following current and former employees were covered by the benefit terms under the Plan:

Active employees 44
Inactive employees or beneficiaries currently receiving benefits 8 Total 52

Contributions

The annual contribution is based on the actuarially determined contribution. For the fiscal year ended June 30, 2024, the City contributed $46,618 to the Plan.

Total OPEB Liability

The City’s total OPEB liability was measured as of June 30, 2024 and the total OPEB liability used to calculate the total OPEB liability was determined by an actuarial valuation dated July 1, 2024, based on the following actuarial methods and assumptions:

Actuarial Assumptions
Discount rate 4.21%
Salary increases 2.80% plus merit
Investment Rate of Return 4.21%
Mortality rate General/Retired/Vested Terminated: SOA Pub-2010 General Total Dataset Headcount Weighted Mortality
Table fully generational using Scale MP-2021
Surviving Spouses: SOA Pub-2010 Contingent
Survivors Total Dataset Headcount Weighted Mortality
Table fully generational using Scale MP-2021
Healthcare Trend Rate 6.25%

Discount Rate

The discount rate used to measure the total OPEB liability was 4.21%. The projection of cash flows used to determine the discount rate assu med that City contributions will be made at rates equal to the actuarially determined contribution rates. Based on those assumptions, the OPEB plan’s fiduciary net position was projected to be available to make all projected OPEB payments for current active and inactive employees and beneficiaries. Therefore, the long- term expected rate of return on OPEB plan investments was applied to all periods of projects benefit payments to determine the total OPEB liability.

960
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-60-
9) OTHER POST-EMPLOYMENT BENEFITS (OPEB) (continued)

Changes in the OPEB Liability

The changes in the total OPEB liability for the Plan are as follows:

Increase (Decrease)
Total OPEB Plan Fiduciary Net OPEB
Liability Net Position Liability/(Asset)
(a) (b) (c)=(a)-(b)
Balance at June 30, 2023
(Valuation Date June 30, 2022) 655,670$ - $ 655,670$ Changes Recognized for the Measurement Period:

Service cost 84,642 - 84,642
Interest 29,622 - 29,622
Actual and expected experience difference 80,198 - 80,198 Changes of assumptions 98,981 - 98,981 Contribution - employer - 46,618 (46,618) Benefit payments (46,618) (46,618) -
Net changes 246,825 - 246,825
Balance at June 30, 2024
(Measurement Date June 30, 2024) 902,495$ - $ 902,495$

Sensitivity of the total OPEB Liability to Changes in the Discount Rate

The following presents the total OPEB liability of the City if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2024:

Current
1% Decrease Discount Rate 1% Increase

3.21% 4.21% 5.21%
Total OPEB Liability 1,021,301$ 902,495 $ 805,000 $

961
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-61-
9) OTHER POST-EMPLOYMENT BENEFITS (OPEB) (continued)

Sensitivity of the Total OPEB Liability to Changes in the Health Care Cost Trend Rates

The following presents the total OPEB liability of the City if it were calculated using health care cost trend rates that are one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2024:

Current
Healthcare Cost
1% Decrease Trend Rates 1% Increase
Total OPEB Liability 779,535$ 902,495 $ 1,059,509 $

Recognition of Deferred Outflows and Deferred Inflows of Resources

Gains and losses related to changes in tota l OPEB liability and fiduciary net position are recognized in OPEB expense systematically over time.

Amounts are first recognized in OPEB expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and deferred inflows of resources related to OPEB and are to be recognized in future OPEB expense.

The recognition period differs depending on the source of the gain or loss:

Net difference between projected and actual
earnings on OPEB plan investments 5 years
All other amounts Expected average remaining service
lifetime (EARSL)

OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB

For the fiscal year ended June 30, 2024, the City recognized OPEB expense of $110,068. As of fiscal year ended June 30, 2024, the City reported deferred outflows/inflows of resources related to OPEB from the following services:

Deferred Deferred
Outflows of Inflows of
Resources Resources
Changes in assumptions 112,354 $ 112,721 $
Differences between expected and actual experience 155,169 99,050 Total 267,523 $ 211,771 $

962
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-62-
9) OTHER POST-EMPLOYMENT BENEFITS (OPEB) (continued)

There were no contributions subsequent to the measurement date, as the measurement date is the same as the fiscal year end. Other amounts reported as deferred outflows of resources related to OPEB will be recognized as expense as follows:

Deferred
Year Ended Outflow/(Inflows)
June 30, of Resources
2025 (10,478) $
2026 (10,478)
2027 (10,478)
2028 (10,478)
2029 (10,480)
Thereafter 108,144
Total 55,752 $

Changes in assumptions

The following assumptions have been updated:

 The discount rate has been updated based on the yield for 20-year tax-exempt general obligation municipal bonds as of June 30, 2024 (measurement date). The discount rate is

4.13% as of June 30, 2023 and 4.21% as of June 30, 2024. Refer to the Discussion of Discount Rates section for more information on selection of the discount rate. The impact of this change is a decrease in liabilities.
 Termination rates have been updated and adjusted by Entry Ages under 30, 30-39, and 40+ based on the 2021 CalPERS pension plan experience study for PERS employees.

This change caused a slight increase in liabilities.
 Salary scale has been updated to 2.8% per year plus merit increases for Miscellaneous employees by Entry Ages under 30, 30-39, and 40+ based on the 2021 experience study for the CalPERS pension plan valuation. This change caused a decrease in liabilities.  Health care trend rates have been updated to an initial rate of 8.00%, decreasing by 0.25% annually to an ultimate rate of 4.50%. This change caused an increase in liabilities.  We have updated our process to allow for the valuation of a negative implicit subsidy. This change caused a slight decrease in liabilities. Claim cost calculations have been updated to account for the CalPERS risk adjustments. Th is update led to a significant increase in liabilities.

963
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-63-
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 obtains insurance coverage.

The City is a member of the California Intergovernmental Risk Authority - CIRA (Authority), a joint powers authority, which provides joint protection programs for public entities covering automobile, general liability, errors and omission losses, workers’ compensation, and property claims. Under the program, the City has a $5,000 retention limit similar to a deductible with the Authority being responsible for losses above that amount up to $1 million. The Authority has additional coverage of $35 million in excess of its $1 million retention limit through multiple insurers and insurance risk sharing pool. The Authority also provides one billion dollars aggregate per occurrence property damage to its members with such coverage provided by purchased insurance.

Liabilities of the City are reported when it is probable that a loss has occurred and the amount of the loss can be reasonable estimated. Liabilities include an amount for claims that have been incurred by not reported (IBNRs). The result of the process to estimate the claims liability is not an exact amount as it depends on many complex factors, such as inflation, changes in legal doctrines, and damage awards. Accordingly, cl aims are reevaluated periodically to consider the effects of economic and social factors. The estimate of the claims liability also includes amounts for incremental claim adjustment expenses related to specific claims and other claim adjustment expenses regardless of whether allocated to specific claims. Estimated recoveries, for example from salvage or subrogation, are another component of the claim’s liability estimate.

The Authority covers workers’ compensation claims up to its self-insurance limit of $500,000.

The Local Agency Workers Compensation Excess Pool provides excess coverage to statutory limits. The City pays an annual premium to the Authority and may share in any operating results. Financial statements of the Public Agency Risk Sharing Authority of California (PARSAC) may be obtained from its administrative office located at 2330 East Bidwell, Suite 150, Folsom, California, 95630; www.cira-jpa.org or by calling (916) 927- 7727.

As of June 30, 2024, the City did not have any significant claims liability; therefore, no accrual was required. Claims settlements have not exceeded insurance coverage in each of the past four years.

964
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-64-
11) FUND EQUITY

The City has established certain fund balance designations to report the amounts which represent available spendable resources restricted, committed or assigned for a specific purpose.

The Restricted Fund Balance in the Measure AA Special Revenue Fund are for Public Safety, Street Maintenance and Homelessness Solutions.

The following funds had deficit fund balances as of June 30, 2024. These deficits are expected to be eliminated through future revenues.

Fund Amount
Grants Special Revenue Fund (3,955,759) $
Capital Projects Fund (72,557)
Measure Z (33,562)

12) JOINTLY GOVERNED ORGANIZATION

The City, in conjunction with four other governmental entities, created the Southwest Communities Financing Authority (Financing Authority) on November 30, 2004. The Financing Authority was formed to issue bonds for the construction of an animal shelter to be used by the member agencies. The Financing Authority’s board is composed of one member from each participating entity. The City has the following fiscal obligations: debt repayment of any bonds issued, administrative costs, and operation of the animal shelter. The debt service payments and the animal shelter operating costs will be prorated to each member based on the percentage of the animals housed at the facility, on an annual basis. The administrative costs will be borne equally by all members. For the year ended June 30, 2024, the City’s share of the payments was $124,830 and was paid from the General Fund.

13) SUBSEQUENT EVENT

Starting July 1
st, 2024, the City converted to a Caltime (Combined Annual Leave time) which aggregates sick and vacation time. The accrual amounts remain the same, but now Caltime will be subject to full cash-out upon separation. This will increase the City’s Compensated Absences liability in subsequent years.

965
City of Wildomar

Notes to Financial Statements
For the Year Ended June 30, 2024

-65-
14) RESTATEMENT DUE TO CHANGES TO THE FINANCIAL REPORTING ENTITY

Government-Wide Statements, Governmental Funds Statements

During fiscal year a restatement was needed to adjust the beginning balance of the City’s net position and fund balances of certain funds. The change results from the Wildomar Cemetery District changing from a discretely presented component unit to a blended component unit.

The effects of the prior period restatements in each statement affected is shown below:

Government-wide Statements - Statement of Activities
Governmental
Activities
Net position, beginning of the year, prior to restatement 73,593,978 $ Adjustment - changes to the financial reporting entity 2,262,023 Net position, beginning of the year, as restated 75,856,001 $ Other
Governmental
Funds
Fund balance, beginning of the year, prior to restatement 7,450,232 $ Adjustment - changes to the financial reporting entity 1,482,212 Fund balance, beginning of the year, as restated 8,932,444 $ Statement of Revenues, Expenditures and Changes in
Fund Balances - Governmental Funds

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REQUIRED SUPPLEMENTARY INFORMATION
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969
City of Wildomar

Budgetary Comparison Schedule by Department
General Fund
For the year ended June 30, 2024

-66-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 6,069,630$ 6,069,630 $ 6,069,630 $ - $ Resources (Inflows):

Taxes 9,979,100 10,436,700 10,464,233 27,533 Licenses and permits 3,707,100 4,679,100 4,780,192 101,092 Intergovernmental 3,435,700 3,637,100 3,612,422 (24,678) Charges for services 20,300 27,800 20,916 (6,884) Fines and forfeitures 65,000 65,000 66,610 1,610 Use of money and property 205,000 653,400 808,804 155,404 Miscellaneous 17,300 77,100 79,940 2,840 Transfers in 575,200 695,200 385,906 (309,294) Amounts Available for
Appropriations 24,074,330 26,341,030 26,288,653 (52,377) Charges to Appropriations (Outflows):

General Government
City Council 284,200 305,900 165,999 139,901 City Manager 459,500 479,900 366,533 113,367 City Clerk 341,200 339,800 320,554 19,246 City Attorney 296,700 256,700 259,986 (3,286) Administrative Services 1,045,200 1,023,100 847,727 175,373 Human Resources 312,500 320,400 276,297 44,103 Non-departmental 1,059,600 826,800 961,015 (134,215) Public Safety
Police 5,726,500 5,431,000 5,277,680 153,320 Fire 3,137,000 2,967,500 2,539,211 428,289 Animal Control 423,600 423,600 401,018 22,582 OEM 16,200 23,000 13,918 9,082 Community Development
Administration 86,200 101,000 101,670 (670) Building and Safety 631,600 763,100 738,832 24,268 Planning 712,900 737,600 680,383 57,217 Development Engineering 458,800 600,300 599,331 969 Code Enforcement 572,500 590,700 452,411 138,289 Deposit based projects - - - - Planning Commission 15,500 14,700 9,442 5,258 Economic Development 442,200 342,200 295,057 47,143 Community Services
Community Services - Administration 86,500 298,900 266,790 32,110 Marna O'Brien Park 2,500 3,700 1,905 1,795 Windsong Park - 700 420 280 Ball Fields 25,400 25,400 16,647 8,753 Other parks 6,200 6,200 2,200 4,000 Public Works 1,367,900 1,438,300 1,083,767 354,533 Capital outlay 80,800 77,100 65,674 11,426 Debt service
Principal retirement - - 228,239 (228,239) Interest - - 15,921 (15,921) Transfers out 200,000 350,000 73,424 276,576 Total Charges to Appropriations 17,791,200 17,747,600 16,062,051 1,685,549 Budgetary Fund Balance, June 30 6,283,130$ 8,593,430 $ 10,226,602 $ 1,633,172 $ 970
City of Wildomar

Budgetary Comparison Schedule by Department
Development Impact Fees
For the year ended June 30, 2024

-67-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 6,684,815$ 6,684,815 $ 6,684,815 $ - $ Resources (Inflows):

Use of money and property - 208,100 400,953 192,853 Developer participation 2,271,100 6,675,600 5,683,135 (992,465) Amounts Available for Appropriations 8,955,915 13,568,515 12,768,903 (799,612) Charges to Appropriations (Outflows):

General government 124,900 125,100 127,409 (2,309) Community development - 2,200 2,662 (462) Community services 13,700 12,700 - 12,700 Public works 502,700 836,200 151,643 684,557 Capital outlay 5,575,100 3,116,600 106,931 3,009,669 Total Charges to Appropriations 6,216,400 4,092,800 388,645 3,704,155 Budgetary Fund Balance, June 30 2,739,515$ 9,475,715 $ 12,380,258 $ 2,904,543 $

971
City of Wildomar

Budgetary Comparison Schedule by Department
Measure AA
For the year ended June 30, 2024

-68-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 7,613,502$ 7,613,502 $ 7,613,502 $ - $ Resources (Inflows):

Taxes 5,404,700 5,750,000 5,793,328 43,328 Developer participation - 4,600 4,600 - Use of money and property 150,000 355,900 371,457 15,557 Amounts Available for Appropriations 13,168,202 13,724,002 13,782,887 58,885 Charges to Appropriations (Outflows):

General government 14,700 21,200 15,852 5,348 Public safety 2,619,000 2,616,600 2,426,248 190,352 Community development 183,400 218,300 149,687 68,613 Community services 11,400 140,100 35,781 104,319 Public works 5,080,000 4,994,900 3,115,863 1,879,037 Capital outlay 70,500 133,100 101,267 31,833 Total Charges to Appropriations 7,979,000 8,124,200 5,844,698 2,279,502 Budgetary Fund Balance, June 30 5,189,202$ 5,599,802 $ 7,938,189 $ 2,338,387 $

972
City of Wildomar

Budgetary Comparison Schedule by Department
ARPA
For the year ended June 30, 2024

-69-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 203,194$ 203,194 $ 203,194 $ - $ Resources (Inflows):

Intergovernmental - 6,000,000 5,525,261 (474,739) Use of money and property 60,000 185,000 198,611 13,611 Lease/subscription acquisition - - 546,065 (546,065) Amounts Available for Appropriations 263,194 6,388,194 6,473,131 84,937 Charges to Appropriations (Outflows):

General government 7,925,000 6,052,000 5,399,501 652,499 Capital outlay - - 546,065 (546,065) Debt service
Principal retirement - - 109,645 (109,645) Interest - - 1,015 (1,015) Transfers out 65,000 80,000 15,100 64,900 Total Charges to Appropriations 7,990,000 6,132,000 6,071,326 60,674 Budgetary Fund Balance, June 30 (7,726,806)$ 256,194 $ 401,805 $ 145,611 $

973
City of Wildomar

Budgetary Comparison Schedule by Department
Grants
For the year ended June 30, 2024

-70-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 (3,943,747)$ (3,943,747) $ (3,943,747) $ - $ Resources (Inflows):

Intergovernmental 16,387,800 4,843,800 2,442,808 (2,400,992) Use of money and property - 200 1,931 1,731 Transfers in 65,000 95,500 66,076 (29,424) Amounts Available for Appropriations 12,509,053 995,753 (1,432,932) (2,428,685) Charges to Appropriations (Outflows):

General government 15,000 13,000 2,393 10,607 Public safety - - 8 (8) Community development 50,000 145,700 72,651 73,049 Public works - 6,400 3,175 3,225 Capital outlay 13,265,800 4,307,000 2,441,352 1,865,648 Transfers out 3,400 3,400 3,248 152 Total Charges to Appropriations 13,334,200 4,475,500 2,522,827 1,952,673 Budgetary Fund Balance, June 30 (825,147)$ (3,479,747) $ (3,955,759) $ (476,012) $

974
City of Wildomar

Schedule of the City’s Proportionate Share of the Net Pension Liability CalPERS Pension Plan
Last Ten Fiscal Years

-71-
Primary government - City
Proportionate share Plan fiduciary
of the net pension net position as a
Proportion of the Proportionate share liability as a percentage of the Fiscal net pension of the net pension Covered percentage of total plan year liability 1 liability/(asset) payroll covered payroll pension Liability 2015 0.00398% 98,405 $ 564,727 $ 17.43% 81.15% 2016 0.00329% 261,259 890,684 29.33% 87.60% 2017 0.35900% 319,712 868,158 36.83% 87.55% 2018 0.00447% 389,754 1,028,756 37.89% 87.03% 2019 0.00425% 363,730 1,110,538 32.75% 90.55% 2020 0.00523% 418,113 1,131,704 36.95% 90.24% 2021 0.00636% 477,473 1,291,013 36.98% 89.69% 2022 -0.00593% 22,569 2,461,081 0.92% 103.67% 2023 0.00885% 632,528 2,894,632 21.85% 88.66% 2024 0.01691% 845,780 3,034,059 27.88% 84.42% 1 Proportion of net pension liability represents the plan's proportion of PERF C, which includes both the Miscellaneous and Safety Risk Pools excluding the 1959 Survivors Risk Pool.

975
City of Wildomar

Schedule of Contributions
CalPERS Pension Plan
Last Ten Fiscal Years

-72-
Primary government - City
Contractually Contributions in
required relation to the
contribution actuarially Contribution Contributions as a Fiscal (actuarially determined deficiency percentage of Year determined) contribution (excess) Covered payroll covered payroll 2015 196,524$ (196,524) $ - $ 564,727$ 34.80% 2016 98,643 (98,643) - 890,684 11.07% 2017 126,213 (126,213) - 868,158 14.54% 2018 133,068 (133,068) - 1,028,756 12.93% 2019 144,479 (144,479) - 1,110,538 13.01% 2020 168,389 (168,389) - 1,131,704 14.88% 2021 208,752 (208,752) - 1,291,013 16.17% 2022 293,781 (293,781) - 2,461,081 11.94% 2023 342,890 (342,890) - 2,894,632 11.85% 2024 385,501 (385,501) - 3,034,059 12.71% Notes to schedule:

Changes in Benefit Terms: There were no changes to benefit terms that applied to all members of the Public Agency Pool. Additionally, the figures above do not include any liability impact that may have resulted from Golden Handshakes that occurred after the June 30, 2021 valuation date, unless the liability impact is deemed to be material to the Public Agency Pool.

Changes in Assumptions: Effective with the June 30, 2021 valuation date (2022 measurement date), the accounting discount rate was reduced from 7.15% to 6.90%. 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. There were no assumption changes for 2021. For 2020, the Plan adopted a new amortization policy effective with the 2019 actuarial valuation. The new amortization policy shortens the period over which actuarial gains and losses are amortized from 30 years to 20 years with the payments computed as a level dollar amount. In addition, the new policy does not utilize a five-year ramp-up and ramp-down on UAL bases attributable to assumption changes and non-investment gains/losses. The new policy also does not utilize a five-year ramp-down on investment gains/losses. These changes apply only to new UAL bases established on or after June 30, 2019. There were no changes in assumptions in 2019. In 2018, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in the discount rate in 2019. In 2017, the accounting discount rate was reduced from 7.65 percent to 7.15 percent. In 2016, there were no changes in the discount rate. In 2015, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense). In 2014, amounts reported were based on the 7.5 percent discount rate. 976
City of Wildomar

Schedule of Changes in the Net OPEB Liability and Related Ratios Last Ten Fiscal Years*

-73-
Measurem ent Period 2024 2023 2022 2021 2020 2019 2018
Total OPEB Liability
Service cost 84,642 $ 82,071 $ 47,113 $ 41,325 $ 83,815 $ 81,374 $ 20,525 $ Interest 29,622 26,079 12,327 12,914 19,183 15,806 10,658 Actual and expected experience difference 80,198 10,094 97,168 3,213 (198,100) - 53,286 Changes in assumptions 98,981 (3,621) (79,408) 34,979 (103,812) - - Changes in benefit terms - (13,264) - (9,717) - - Benefit payments (46,618) (28,712) (19,761) (21,854) 231,095 (9,433) (6,622) Net Change in Total OPEB Liability 246,825 85,911 44,175 70,577 22,464 87,747 77,847 Total OPEB Liability - Beginning 655,670 569,759 525,584 455,007 432,543 344,796 266,949 Total OPEB Liability - Ending (a) 902,495 655,670 569,759 525,584 455,007 432,543 344,796 Plan Fiduciary Net Position
Contributions - employer 46,618 - 19,761 21,854 9,717 9,433 6,622 Net investment income - - - - - - Benefit payments (46,618) - (19,761) (21,854) (9,717) (9,433) (6,622) Administrative expense - - - - - - Net Change in Plan Fiduciary Net Position - - - - - - - Plan Fiduciary Net Position - Beginning - - - - - - - Plan Fiduciary Net Position - Ending (b) - - - - - - - Net OPEB Liability - Ending (a)-(b) 902,495$ 655,670 $ 569,759 $ 525,584 $ 455,007 $ 432,543 $ 344,796 $ Plan fiduciary net position as a 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% percentage of the total OPEB liability
Covered payroll 3,305,095$ 3,057,921 $ 2,794,338 $ 1,268,959 $ 1,234,997 $ 1,023,774 $ 993,955 $ Net OPEB liability as a 27.3% 21.4% 20.4% 41.4% 36.8% 42.2% 34.7% percentage of covered payroll
Notes to Schedule:

The City does not accumulate assets accumulated in a trust that meets the criteria of GASB 75 to pay related benefits.

Contributions are fixed and not based on a measure of pay, therefore covered-employee payroll is used in the schedule.

Changes in assumptions: For measurement date June 30, 2024, the discount rate was changed from 4.13% to 4.21% *Historical information is required only for measurement periods for which GASB 75 is applicable. Future years’ information will be displayed up to 10 years as information becomes available.

977
City of Wildomar

Schedule of Contributions - OPEB
Last Ten Fiscal Years*

-74-
Contractually Contributions in
required relation to the Contributions as a
contribution actuarially Contribution Covered- percentage of Fiscal (actuarially determined deficiency employee covered-employee Year determined) contribution (excess) payroll (2) payroll 2018 N/A N/A - 993,955 0%
2019 N/A N/A - 1,023,774 0%
2020 N/A N/A - 1,234,997 0%
2021 N/A N/A - 1,268,959 0%
2022 N/A N/A - 2,794,338 0%
2023 N/A N/A - 3,057,921 0%
2024 N/A N/A - 3,305,095 0%
Notes to Schedule:
(1) No Actuarially Determined Contribution (ADC) was calculated for the Plan. *Historical information is required only for measurement periods for which GASB 75 is applicable. Future years’ information will be displayed up to 10 years as information become available.

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979
City of Wildomar

Notes to Required Supplementary Information
June 30, 2024

-75-
Budgets and Budgetary Data

Budgets for governmental funds are adopted on a basis consistent with generally accepted accounting principles (GAAP). The 2022-1 and 2022-2 Special Tax A Funds did not have legally adopted budgets.

The City Council approves each year’s budget prior to the beginning of the new fiscal year. Public hearings are conducted prior to its adoption by the Council. Supplemental appropriations, were required during the period, are also approved by the Council. In most cases, expenditures may not exceed appropriations at the function level. At fiscal year-end, all operating budget appropriations lapse.

Excess of Expenditures over Appropriations

Expenditures exceeded appropriations in the categories in the following departments in the General Fund:

Department Appropriations Expenditures Excess
General Government:

City attorney 256,700 $ 259,986 $ (3,286) $ Non-departmental 826,800 961,015 (134,215) Community Development:

Administration 101,000 101,670 (670)
Debt service:

Principal retirement - 228,239 (228,239) Interest - 15,921 (15,921)

Other major funds with expenditures exceeding appropriations:

Department Appropriations Expenditures Excess
Development Impact Fees:

General government 125,100$ 127,409 $ (2,309) $ Community development 2,200 2,662 (462) ARPA
Capital outlay - 546,065 (546,065) Debt service:

Principal retirement - 109,645 (109,645) Interest - 1,015 (1,015)
Grants:

Public safety - 8 (8)

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981

SUPPLEMENTARY INFORMATION
982
City of Wildomar

Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2024

-76-
Special Revenue Funds
Air Quality
Management
Gas Tax District Measure A SLESF
ASSETS
Pooled cash and investments 1,032,930 $ 324,955 $ 1,350,068 $ - $ Restricted cash and investments 229,785 - - - Receivables, net:

Accounts - 12,225 - - Accrued interest 2,182 687 2,951 392 Inventory - - - - Due from other governments 252,285 - 179,105 - Total assets 1,517,182 $ 337,867 $ 1,532,124 $ 392 $

LIABILITIES
Accounts payable 113,663 $ - $ 13,721$ - $ Accrued liabilities - - 4,752 - Deposits payable 229,785 - - - Due to other funds - - - 392 Total liabilities 343,448 - 18,473 392

FUND BALANCES (DEFICIT)
Nonspendable - - - - Restricted for:

Public works 1,173,734 337,867 1,513,651 - Capital projects - - - - Debt service - - - - Unassigned - - - - Total fund balances 1,173,734 337,867 1,513,651 - Total liabilities and fund balances 1,517,182$ 337,867 $ 1,532,124 $ 392 $

983

Continued

-77-
Community Waste Cemetery
Development Measure Z 2022-1 2022-2 Services Fund (Change in TDA Block Grant Park Special Tax A Special Tax A Fund reporting entity) -$ 1 $ - $ 82,088$ 123,317 $ 1,456,093 $ 1,208,387 $ - - - - - - 483,767 - - - - 212,744 - - - - 435 264 859 702 - - - - - - 2,789 - - 14,228 - - - 35,527 -$ 1 $ 14,228$ 82,523 $ 123,581 $ 1,669,696 $ 1,731,172 $ -$ - $ 33,740 $ 2,027 $ - $ 4,044 $ 22,064 $ - - 4,748 - - 76 19,623 - - - - - - 164,669 - - 9,302 - - - - - - 47,790 2,027 - 4,120 206,356 - - - - - - 2,789 - 1 - 80,496 123,581 - - - - - - - 1,665,576 1,522,027 - - - - - - - - - (33,562) - - - - - 1 (33,562) 80,496 123,581 1,665,576 1,524,816 -$ 1 $ 14,228$ 82,523 $ 123,581 $ 1,669,696 $ 1,731,172 $ Special Revenue Funds

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985
City of Wildomar

Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2024 Concluded

-78-
Debt Service
Fund Total
Non-Major
Capital Assessment Streetlight Governmental
ASSET S Projects Districts Fund Funds
Pooled cash and investments
Restricted cash and investments - $ 3,162,279$ 90,568 $ 8,830,686$ Receivables, net: - - 55,514 769,066 Accounts
Grants - - - 224,969 Due from other governments - 8,244 - 16,716 Inventory - - - 2,789 Due from other governments - 14,389 - 495,534 Total assets - $ 3,184,912$ 146,082 $ 10,339,760$

LIABILITIES
Accounts payable - $ 55,758$ - $ 245,017$ Accrued liabilities - - - 29,199 Due to other governments - - - 394,454 Due to other funds 72,557 - - 82,251 Total liabilities 72,557 55,758 - 750,921

FUND BALANCES (DEFICIT)
Nonspendable - - - 2,789 Restricted for:

Public works - - - 3,229,330 Capital projects - 3,129,154 - 6,316,757 Debt service - - 146,082 146,082 Unassigned (72,557) - - (106,119) Total fund balances (72,557) 3,129,154 146,082 9,588,839 Total liabilities and fund balances -
$ 3,184,912$ 146,082 $ 10,339,760$
Capital Project Funds

986
City of Wildomar

Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
For the Year Ended June 30, 2024

-79-
Special Revenue Funds
Air Quality
Management
Gas Tax District Measure A SLESF

REVENUES
Taxes - $ - $ - $ - $ Intergovernmental 1,964,388 48,877 1,004,709 186,159 Charges for services - - - - Use of money and property 27,109 5,279 21,642 1,044 Miscellaneous 12,255 - - - Total Revenues 2,003,752 54,156 1,026,351 187,203

EXPENDITURES
Current:

General government 72 - 85 - Public safety - - 27 2 Community services - - - Public works 2,767,090 4,574 576,250 - Capital outlay 2,071 - 14,115 - Debt service:

Principal retirement 1,007 - 1,007 - Interest 1,081 - 1,081 - Total Expenditures 2,771,321 4,574 592,565 2 Excess (Deficiency) of Revenues
Over (Under) Expenditures (767,569) 49,582 433,786 187,201

OTHER FINANCING SOURCES (USES)
Transfers in - - - - Transfers out - (2,400) (80,359) (187,201) Total Other Financing Sources (Uses) - (2,400) (80,359) (187,201) Net change in fund balances (767,569) 47,182 353,427 -

FUND BALANCES (DEFICIT)
Beginning of year, as previously reported 1,941,303 290,685 1,160,224 - Adjustment - changes to the financial
reporting entity - - - - Beginning of year, restated 1,941,303 290,685 1,160,224 - End of year 1,173,734 $ 337,867 $ 1,513,651 $ - $

987

Continued

-80-
Community Waste Cemetery
Development Measure Z 2022-1 2022-2 Services Fund (Change in TDA Block Grant Park Special Tax A Special Tax A Fund reporting entity) -$ - $ - $ - $ - $ 212,744$ 771,584 $ - - 361,916 215,580 133,116 - - - - 10,771 - - - 105,591 1 - - 1,366 824 51,629 70,408 - - - - - - - 1 - 372,687 216,946 133,940 264,373 947,583 1 - - - - - 741,991 - - - - - - - - - 374,049 21,562 - - - - - - 105,582 4,583 107,871 - - - 6,906 - - - 43,192 - - 862 - - - 32,558 - - 768 - - - 3,251 1 - 382,585 127,144 4,583 107,871 820,992 - - (9,898) 89,802 129,357 156,502 126,591 - 33,707 - - - - 20,391 - - - (5,088) (2,500) - (104,378) - 33,707 - (5,088) (2,500) - (83,987) - 33,707 (9,898) 84,714 126,857 156,502 42,604 - (33,706) (23,664) (4,218) (3,276) 1,509,074 - - - - - - - 1,482,212 - (33,706) (23,664) (4,218) (3,276) 1,509,074 1,482,212 -$ 1 $ (33,562)$ 80,496 $ 123,581 $ 1,665,576 $ 1,524,816 $ Special Revenue Funds

988
City of Wildomar

Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
For the Year Ended June 30, 2024 Concluded

-81-
Debt Service
Fund Total
Non-Major
Capital Assessment Streetlight Governmental
Projects Districts Fund Funds

REVENUES
Taxes - $ - $ - $ 984,328$ Intergovernmental - 1,620,639 - 5,535,384 Charges for services - - 174,384 290,746 Use of money and property - 56,124 3,180 238,606 Miscellaneous - - - 12,255 Total Revenues - 1,676,763 177,564 7,061,319

EXPENDITURES
Current:

General government - 717 - 742,866 Public safety - 203,599 - 203,628 Community services - 934 - 396,545 Public works 42,510 807,867 5,936 4,422,263 Capital outlay - 3,208 12,015 81,507 Debt service:

Principal retirement - - 90,106 125,540 Interest - - 66,184 72,365 Total Expenditures 42,510 1,016,325 174,241 6,044,714 Excess (Deficiency) of Revenues
Over (Under) Expenditures (42,510) 660,438 3,323 1,016,605

OTHER FINA NCING SOURCES (USES)
Transfers in - - - 54,098 Transfers out - (32,382) - (414,308) Total Other Financing Sources (Uses) - (32,382) - (360,210) Net change in fund balances (42,510) 628,056 3,323 656,395

FUND BA LA NCES (DEFICIT)
Beginning of year (30,047) 2,501,098 142,759 7,450,232 Adjustment - changes to the financial
reporting entity - - - 1,482,212 Beginning of year, restated (30,047) 2,501,098 142,759 8,932,444 End of year (72,557) $ 3,129,154 $ 146,082 $ 9,588,839 $ Capital Project Funds

989
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Gas Tax – Special Revenue Fund
For the year ended June 30, 2024

-82-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 1,941,303$ 1,941,303 $ 1,941,303 $ - $ Resources (Inflows):

Intergovernmental 1,890,200 1,896,900 1,964,388 67,488 Use of money and property - 4,200 27,109 22,909 Miscellaneous - 12,300 12,255 (45) Amounts Available for Appropriations 3,831,503 3,854,703 3,945,055 90,352 Charges to Appropriations (Outflows):

General government - - 72 (72) Public works 3,129,500 3,190,400 2,767,090 423,310 Capital outlay - 2,900 2,071 829 Principal retirement - - 1,007 (1,007) Interest - - 1,081 (1,081) Total Charges to Appropriations 3,129,500 3,193,300 2,771,321 421,979 Budgetary Fund Balance, June 30 702,003$ 661,403 $ 1,173,734 $ 512,331 $

990
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Air Quality Management District – Special Revenue Fund For the year ended June 30, 2024

-83-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 290,685$ 290,685 $ 290,685 $ - $ Resources (Inflows):

Intergovernmental 48,000 48,000 48,877 877 Use of money and property - 600 5,279 4,679 Amounts Available for Appropriations 338,685 339,285 344,841 5,556 Charges to Appropriations (Outflows):

Public works 49,500 4,500 4,574 (74) Transfers out 2,400 2,400 2,400 - Total Charges to Appropriations 51,900 6,900 6,974 (74) Budgetary Fund Balance, June 30 286,785$ 332,385 $ 337,867 $ 5,482 $

991
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Measure A – Special Revenue Fund
For the year ended June 30, 2024

-84-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 1,160,224$ 1,160,224 $ 1,160,224 $ - $ Resources (Inflows):

Intergovernmental 1,052,500 1,052,500 1,004,709 (47,791) Use of money and property 500 2,000 21,642 19,642 Amounts Available for Appropriations 2,213,224 2,214,724 2,186,575 (28,149) Charges to Appropriations (Outflows):

General government - 200 85 115 Public safety - 100 27 73 Public works 1,098,400 1,107,300 576,250 531,050 Capital outlay 52,500 142,200 14,115 128,085 Principal retirement - - 1,007 (1,007) Interest - - 1,081 (1,081) Transfers out 56,300 84,200 80,359 3,841 Total Charges to Appropriations 1,207,200 1,334,000 672,924 661,076 Budgetary Fund Balance, June 30 1,006,024$ 880,724 $ 1,513,651 $ 632,927 $

992
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – SLESF – Special Revenue Fund
For the year ended June 30, 2024

-85-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 -$ - $ - $ - $ Resources (Inflows):

Intergovernmental 162,000 186,200 186,159 (41) Use of money and property - 600 1,044 444 Amounts Available for Appropriations 162,000 186,800 187,203 403 Charges to Appropriations (Outflows):

Public safety - - 2 (2) Transfers out 161,300 186,800 187,201 (401) Total Charges to Appropriations 161,300 186,800 187,203 (403) Budgetary Fund Balance, June 30 700$ - $ - $ - $

993
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – TDA – Special Revenue Fund
For the year ended June 30, 2024

-86-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 -$ - $ - $ - $ Resources (Inflows):

Intergovernmental 300,000 - - - Use of money and property - - 1 1 Amounts Available for Appropriations 300,000 - 1 1 Charges to Appropriations (Outflows):

General government - - 1 (1) Total Charges to Appropriations - - 1 (1) Budgetary Fund Balance, June 30 300,000$ - $ - $ - $

994
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Community Development Block Grant – Special Revenue Fund For the year ended June 30, 2024

-87-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 (33,706)$ (33,706) $ (33,706) $ - $ Resources (Inflows):

Transfers in - - 33,707 33,707 Amounts Available for Appropriations (33,706) (33,706) 1 33,707 Budgetary Fund Balance, June 30 (33,706)$ (33,706) $ 1 $ 33,707$

995
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Measure Z Park – Special Revenue Fund For the year ended June 30, 2024

-88-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 (23,664)$ (23,664) $ (23,664) $ - $ Resources (Inflows):

Intergovernmental 404,000 404,000 361,916 (42,084) Charges for services 12,100 12,100 10,771 (1,329) Use of money and property 100 100 - (100) Amounts Available for Appropriations 392,536 392,536 349,023 (43,513) Charges to Appropriations (Outflows):

Community services 382,700 386,100 374,049 12,051 Capital outlay 7,500 7,500 6,906 594 Principal retirement - - 862 (862) Interest - - 768 (768) Total Charges to Appropriations 390,200 393,600 382,585 11,015 Budgetary Fund Balance, June 30 2,336$ (1,064) $ (33,562) $ (32,498) $

996
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Waste Services – Special Revenue Fund For the year ended June 30, 2024

-89-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 1,509,074$ 1,509,074 $ 1,509,074 $ - $ Resources (Inflows):

Taxes 200,000 212,800 212,744 (56) Use of money and property 15,000 39,300 51,629 12,329 Amounts Available for Appropriations 1,724,074 1,761,174 1,773,447 12,273 Charges to Appropriations (Outflows):

Public works 96,600 112,300 107,871 4,429 Total Charges to Appropriations 96,600 112,300 107,871 4,429 Budgetary Fund Balance, June 30 1,627,474$ 1,648,874 $ 1,665,576 $ 16,702 $ 997
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Cemetery District – Special Revenue Fund For the year ended June 30, 2024

-90-
Budgeted amounts Actual Variance with
Original Final amounts Final budget
Budgetary fund balance, July 1 1,482,212$ 1,482,212 $ 1,482,212 $ - $ Resources (inflows):

Taxes 612,600 747,100 771,584 24,484 Charges for services 164,300 164,400 105,591 (58,809) Use of money and property 9,000 60,200 70,408 10,208 Transfers in 100,000 20,000 20,391 391 Amounts available for
appropriations 2,368,112 2,473,912 2,450,186 (23,726) Charges to appropriations (outflows):

General government 708,200 708,200 741,991 (33,791) Capital outlay 722,100 125,000 43,192 81,808 Principal retirement - - 32,558 (32,558) Interest - - 3,251 (3,251) Transfers out 186,300 172,400 104,378 68,022 Total charges to appropriations 1,616,600 1,005,600 925,370 80,230 Budgetary fund balance, June 30 751,512$ 1,468,312 $ 1,524,816 $ 56,504 $ 998
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Capital Projects – Capital Projects Fund For the year ended June 30, 2024

-91-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 (30,047)$ (30,047) $ (30,047) $ - $ Resources (Inflows):

Intergovernmental 59,300 59,300 - (59,300) Transfers in 200,000 200,000 - (200,000) Amounts Available for Appropriations 229,253 229,253 (30,047) (259,300) Charges to Appropriations (Outflows):

Public works 611,800 229,200 42,510 186,690 Total Charges to Appropriations 611,800 229,200 42,510 186,690 Budgetary Fund Balance, June 30 (382,547)$ 53 $ (72,557)$ (72,610) $

999
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Assessment Districts – Capital Projects Fund For the year ended June 30, 2024

-92-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 2,501,098$ 2,501,098 $ 2,501,098 $ - $ Resources (Inflows):

Intergovernmental 2,078,900 1,626,500 1,620,639 (5,861) Use of money and property 1,200 6,300 56,124 49,824 Amounts Available for Appropriations 4,581,198 4,133,898 4,177,861 43,963 Charges to Appropriations (Outflows):

General government 7,800 7,800 717 7,083 Public safety 160,200 160,200 203,599 (43,399) Community services - - 934 (934) Public works 795,200 1,399,100 807,867 591,233 Capital outlay 3,500 388,600 3,208 385,392 Transfers out 26,800 65,500 32,382 33,118 Total Charges to Appropriations 993,500 2,021,200 1,048,707 972,493 Budgetary Fund Balance, June 30 3,587,698$ 2,112,698 $ 3,129,154 $ 1,016,456 $

1000
City of Wildomar

Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual – Streetlight Fund – Debt Service Fund For the year ended June 30, 2024

-93-
Budgeted Amounts Actual Variance with
Original Final Amounts Final Budget
Budgetary Fund Balance, July 1 142,759$ 142,759 $ 142,759 $ - $ Resources (Inflows):

Charges for services 175,100 175,100 174,384 (716) Use of money and property 1,500 1,500 3,180 1,680 Amounts Available for Appropriations 319,359 319,359 320,323 964 Charges to Appropriations (Outflows):

Public works 6,200 6,200 5,936 264 Capital outlay 13,000 13,000 12,015 985 Principal retirement 90,200 90,200 90,106 94 Interest 66,200 66,200 66,184 16 Total Charges to Appropriations 175,600 175,600 174,241 1,359 Budgetary Fund Balance, June 30 143,759$ 143,759 $ 146,082 $ 2,323 $

1001

STATISTICAL SECTION
1002

THIS PAGE INTENTIONALLY LEFT BLANK
1003
City of Wildomar

Statistical Section

-94-
This section of the City of Wildomar's Annual Comprehensive Financial Report presents detailed information as a context for understanding what t he information in the financial statements, note disclosures, and required supplementary information says about the City's overall financial health.

CONTENTS

Financial Trends - These schedules contain trend information to help the reader understand how the City's financial performance and well-being have changed over time. As a newly incorporated City, information relative to the exact city boundaries prior to incorporation is not readily available in most cases. Therefore, trend information will be developed over time and reported annually.

Net Position by Component
Changes in Net Position
Fund Balances of Governmental Funds
Changes in Fund Balances of Governmental Funds

Revenue Capacity - These schedules contain information to hel p the reader assess the factors affecting the City's ability to generate its property taxes.

Assessed Value and Estimated Actual Value of Taxable Property Direct and Overlapping Property Tax Rates
Principal Property Taxpayers
Property Tax Levies and Collections

Debt Capacity - These schedules present information to help the reader assess the affordability of the City's current levels of outstanding debt and the City's ability to issue additional debt in the . . .

Ratio of Outstanding Debt by Type
Direct and Overlapping Governmental Activities
Legal Debt Margin Information

Demographic and Economic Information - These schedules offer demographic and economic indicators to help the reader understand the environment in which t he City's financial activities take place as well as allow comparisons over time and with other governments.

Demographic and Economic Statistics
Principal Employers
Full-time Equivalent City Government Employees by Function/Program

Operating Information - These schedules contain information about the City's operations and resources in order to help the reader understand how the City's financial information related to the These schedules contain information about the City's operations and re sources in order to help the reader understand how the City's financial information related to the . . .

Operating Indicators by Function/ Program
Capital Asset Statistics by Function/Program
Miscellaneous Statistics

Sources: Unless otherwise noted, the information in these schedules is derived from various internal and other governmental and non-governmental sources where reliability of the data could be ascertained.

1004
City of Wildomar

Net Position by Component*
(Accrual Basis of Accounting)
Last Ten Fiscal Years

-95-
2024 2023 2022 2021 2020
Governmental Activities
54,876,373$ 48,267,691$ 41,693,202$ 37,642,188$ 31,157,018$ Community Development Projects 12,380,258 7,896,476 7,657,447 6,487,516 5,429,042 Parks and Recreation 7,938,189 7,812,129 93,157 226,671 263,153 Public Safety ‐ ‐ ‐ ‐ ‐ Public Works 4,690,828 3,392,212 1,567,098 490,110 304,417 Capital Projects 3,530,959 4,010,172 2,117,331 1,758,079 1,436,063 Cemetery ‐ ‐ ‐ ‐ ‐ Debt Service 146,082 142,759 143,004 150,957 147,170 Nonexpendable ‐ ‐ ‐ ‐ ‐ 8,992,033 3,279,633 9,591,470 5,014,648 2,020,017 Total Governmental Activities Net Position 92,554,722$ 74,801,072$ 62,862,709$ 51,770,169$ 40,756,880$ *Note: Wildomar Cemetery District (Dist rict ) is include d in fiscal years 2012 to 2015.

The District became a subsidiary of the City in fiscal year 2012. However, for fiscal year 2016 the District is not included in the governmental acti vi ti es and it s operations are discretely presented in the financial s tatements .

Source: City Finance Department
Unres tri cted
Restricted for:

Net Investment in Capital A sse t s
Fiscal Year

1005

-96-
2019 2018 2017 2016 2015
29,815,490$ 27,511,461$ 24,487,895$ 23,919,815$ 23,067,562$ 5,077,926 5,049,328 4,807,087 3,541,211 2,579,164 ‐ ‐ ‐ 18,180 5,198 124,743 79,976 367,868 249,576 714,148 1,324,591 1,045,702 409,383 232,411 136,195 ‐ ‐ ‐ ‐ 1,690,565 333,651
‐ ‐ ‐ ‐ 90,000 1,157,175 652,571 134,019 457,120 (1,016,700) 37,833,576$ 34,339,038$ 30,206,252$ 28,418,313$ 27,266,132$ Fiscal Year

1006
City of Wildomar

Changes in Net Position
(Accrual Basis of Accounting)
Last Ten Fiscal Years

-97-
2024 2023 2022 2021 2020
General Government 10,041,717 $ 5,674,367$ 3,323,123$ 2,827,798$ 3,061,012$ 10,958,201 10,871,033 10,121,795 7,983,251 9,104,994 2,863,098 3,235,078 2,678,691 2,407,683 2,270,421 295,057 351,974 245,446 212,698 166,124 964,081 1,145,719 1,279,393 936,156 908,428 5,592,142 3,479,879 3,889,897 7,124,538 3,953,145 Interest on long‐term debt 88,911 83,225 86,648 45,351 118,152 Total Governmental Acti vi ti es Expens es 30,803,207$ 24,841,275$ 21,624,993$ 21,537,475$ 19,582,276$ General Government 5,856,860 $ 1,640,579$ 2,024,722$ 1,375,137$ 898,082$ Public Safety 106,301 87,048 75,392 103,853 97,219 4,740,155 4,167,982 2,870,909 2,162,593 1,708,190 ‐ ‐ 1,322 ‐ ‐ 10,771 11,559 11,508 2,907 7,099 1,914,264 1,372,455 955,743 848,664 750,290 Total Charges for Services 12,628,351$ 7,279,623$ 5,939,596$ 4,493,154$ 3,460,880$ General Government 5,908,455 $ 1,923,388$ 907,561$ 360,997$ 369,968$ 186,159 165,271 161,285 156,727 155,948 361,915 368,005 379,425 473,279 940,616 ‐ ‐ ‐ ‐ ‐ Communi ty Services ‐ ‐ ‐ ‐ ‐ 3,098,533 3,090,517 2,707,892 3,183,238 1,960,065 Total Operating Contributions and Grants 9,555,062$ 5,547,181$ 4,156,163$ 4,174,241$ 3,426,597$ Capital Contributions and Grants:

Communi ty Development ‐$ ‐ $ ‐ $ ‐ $ ‐ $ 2,466,618 1,812,721 4,141,262 7,851,995 1,812,906 ‐ ‐ ‐ ‐ ‐ Total Capital Contributions and Grants 2,466,618$ 1,812,721$ 4,141,262$ 7,851,995$ 1,812,906$ Total Governmental Acti vi ti es Program
Revenues 24,650,031$ 14,639,525$ 14,237,021$ 16,519,390$ 8,700,383$ (6,153,176)$ (10,201,750)$ (7,387,972)$ (5,018,085)$ (10,881,893)$ *Note: Wildom ar Cemetery District (Dist rict ) is include d in fiscal years 2012 to 2015.

The District became a subsidiary of the City in fiscal year 2012. However, for fiscal year 2016 the District is not include d in the governmental acti vi ti es and it s operations are discretely pres ented in the financial st at e m e nt s.

Communi ty Development
Communi ty Development
Operating Contributions and Grants:

Public Safety
PROGRAM REVENUES
Governmental Acti vi ti es :

Economi c Development

EXPENSES
Governmental Acti vi ti es :

Public Safety
Fiscal Year
Source: City Finance Department
Communi ty Services
Public Works
Public Works
TOTAL NET REVENUES (EXPENSES)
Charges for Services:

Communi ty Services
Communi ty Development
Public Works
Interest on long‐term debt
Public Works
Economi c Developmet
Economi c Development

1007

-98-
2019 2018 2017 2016 2015
3,404,115$ 2,469,147$ 2,494,133$ 2,465,875$ 2,320,203$ 7,953,196 5,957,516 5,517,602 5,109,023 4,834,799 2,738,282 2,660,031 2,389,801 2,569,072 3,058,008 ‐ ‐ ‐ ‐ ‐ 219,647 219,647 219,647 219,647 425,006 3,823,531 3,508,423 3,272,317 3,649,428 4,435,300 ‐ ‐ ‐ ‐ ‐ 18,138,771$ 14,814,764$ 13,893,500$ 14,013,045$ 15,073,316$ 380,352$ 898,352$ 1,539,067$ 636,577$ 233,193$ 45,395 10,581 10,466 11,630 10,266 2,075,499 2,054,708 2,397,374 2,773,440 2,491,406 ‐ ‐ ‐ ‐ ‐ 11,291 15,570 7,832 4,673 9,005 423,706 239,777 230,197 299,806 332,187 2,936,243$ 3,218,988$ 4,184,936$ 3,726,126$ 3,076,057$ 515,621$ 479,537$ 502,469$ 340,463$ 575,922$ 148,747 116,667 139,416 143,942 97,546 597,995 545,537 387,589 339,399 343,060 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 2,008,341 3,230,361 3,398,998 2,497,709 1,351,679 3,270,704$ 4,372,102$ 4,428,472$ 3,321,513$ 2,368,207$ ‐$ ‐ $ ‐ $ ‐ $ ‐ $ 4,106,559 ‐ ‐ 884,658 1,049,064 ‐ ‐ ‐ ‐ ‐ 4,106,559$ ‐ $ ‐ $ 884,658$ 1,049,064$ 10,313,506$ 7,591,090$ 8,613,408$ 7,932,297$ 6,493,328$ (7,825,265)$ (7,223,674)$ (5,280,092)$ (6,080,748)$ (8,579,988)$ Fiscal Year

1008
City of Wildomar

Changes in Net Position (Continued)
(Accrual Basis of Accounting)
Last Ten Fiscal Years

-99-
2024 2023 2022 2021 2020
TOTAL NET REVENUES (EXPENSES) ‐ Carry Forward (6,153,176)$ (10,201,250)$ (7,387,972)$ (5,018,085)$ (10,881,893)$ 6,841,492$ 5,584,964$ 5,100,186$ 4,875,249$ 4,608,569$ 8,812,130 8,413,581 8,783,565 6,695,060 5,054,702 1,232,303 2,599,362 1,238,074 1,206,707 1,080,234 ‐ ‐ ‐
3,503,527 3,204,325 3,004,100 2,837,391 2,718,513 227,558 209,120 331,638 244,476 165,446 2,010,405 695,396 (50,453) 38,793 109,658 224,482 338,988 73,402 133,698 68,075 Contributions from Other Enti ti es ‐ ‐ ‐ Special Ite m ‐ ‐ ‐ ‐ ‐ 22,851,897$ 21,045,736$ 18,480,512$ 16,031,374$ 13,805,197$ 16,698,721$ 10,844,486$ 11,092,540$ 11,013,289$ 2,923,304$ *Note: Wildom ar Cemetery District (Dist rict ) is include d in fiscal years 2012 to 2015.

The District became a subsidiary of the City in fiscal year 2012. However, for fiscal year 2016 the District is not include d in the governmental acti vi ti es and it s operations are discretely pres ented in the financial s ta tements .

Fiscal Year
Source: City Finance Department
CHANGES IN NET POSITION
Total Governmental Acti vi ti es
Other
Investments Earni ngs
Motor Vehi cl e in Li eu Tax
Other Taxes
Business Li cens es Taxes
Franchise Taxes
Sales Taxes
GENERAL REVENUES AND OTHER CHARGES IN
Governmental Acti vi ti es :

Property Taxes , le vie d for general purpose
Taxes :

NET POSITION

1009

-100-
2019 2018 2017 2016 2015
(7,825,265)$ (7,223,674)$ (5,280,092)$ (6,080,748)$ (8,579,988)$ 4,434,404$ 4,232,672$ 4,002,949$ 3,774,015$ 4,042,882$ 2,872,982 1,780,008 1,666,324 1,772,493 1,492,041 1,077,164 1,057,586 1,015,225 1,056,712 1,061,333 ‐ ‐ ‐ ‐ ‐ 2,580,800 2,392,884 15,755 13,778 ‐ 154,049 165,129 255,866 140,501 ‐ 67,542 19,432 10,659 6,590 5,015 132,862 1,897,363 101,253 71,073 114,382 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 1,185,337 ‐ 11,319,803$ 11,545,074$ 7,068,031$ 8,020,499$ 6,715,653$ 3,494,538$ 4,321,400$ 1,787,939$ 1,939,751$ (1,864,335)$ Fiscal Year

1010
City of Wildomar

Fund Balances of Governmental Funds*
(Modified Accrual Basis of Accounting)
Last Ten Fiscal Years

-101-
2024 2023 2022 2021 2020
GENERAL FUND
‐$ ‐ $ ‐ $ ‐ $ ‐ $ ‐ ‐ ‐ ‐ ‐ Nonspendable:

Inventory ‐                        ‐                         ‐                         ‐                         ‐ Prepaid Ite ms 2,758                ‐                         ‐                         ‐                         ‐ Deposits ‐                        ‐                         ‐                         ‐                         ‐ Restricted
Debt Service ‐                        ‐                         ‐                         ‐                         ‐ Unassigned 10,223,844      6,069,630       3,828,664       2,444,793       878,286 10,226,602$   6,069,630$     3,828,664$     2,444,793$     878,286$ ‐$                      ‐ $                      ‐ $                      ‐ $                      ‐ $ Inventory 2,789                ‐                         ‐                         ‐                         ‐ Prepaid Ite ms ‐                        ‐                         ‐                         ‐                         ‐ Cemetery Endowment ‐                        ‐                         ‐                         ‐                         ‐ Restricted for: ‐
Community development projects 12,380,258      6,684,815       7,657,447       6,487,516       5,429,042 7,938,189       243,400           93,157             226,671           263,153 Public safe t y ‐                        ‐                         ‐                         ‐                         ‐ Public works 3,229,330        3,987,212       1,567,098       490,110           304,417 Capital projects 6,718,562        8,644,166       2,117,331       1,758,079       1,436,063 146,082           2,487,061       143,004           150,957           147,170 Cemetery ‐                        ‐                         ‐                         ‐                         ‐ Commi tted ‐                        ‐                         5,895,809       3,275,440       1,911,578 Unassigned (4,061,878)       (4,038,658)      (1,956,708)      1,466,456       (575,345) 26,353,332$   18,007,996$   15,517,138$   13,855,229$   8,916,078$ *Note: Wildom ar Cemetery District (Dist rict ) is included in fiscal years 2012 to 2015.

Reserved:

Encumbrances
Debt se rvice
Nonspendable:

Source: City Finance Department
Total All Other Governmental Funds
Community Services
Reserved
Unreserved
Total General Fund
ALL OTHER GOVERNMENTAL FUNDS
Fiscal Year

1011

-102-
2019 2018 2017 2016 2015
‐$ ‐ $ ‐ $ ‐ $ ‐ $ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 17,533 ‐ ‐ 11,184 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 1,425,789 1,552,339 869,757 946,503 773,060 1,443,322$ 1,552,339$ 869,757$ 957,687$ 773,060$ ‐$ ‐ $ ‐ $ ‐ $ ‐ $ ‐ ‐ ‐ ‐ 2,167 20,899 ‐ ‐ 1,107 ‐ ‐ ‐ ‐ ‐ 90,000 239,224 5,049,328 4,807,087 3,541,211 2,579,164 ‐ ‐ ‐ ‐ ‐ 583,766 ‐ ‐ 18,180 5,198 124,743 79,976 367,868 249,576 714,148 1,324,591 1,045,702 409,383 232,411 136,195 ‐ ‐ ‐ ‐ ‐ 333,651 ‐ ‐ ‐ 1,688,398 ‐ ‐ ‐ ‐ ‐ (802,696) (3,666,121) (1,663,955) (1,486,366) (1,616,354) 1,824,178$ 2,508,885$ 3,920,383$ 2,556,119$ 3,598,916$ Fiscal Year

1012
City of Wildomar

Changes in Fund Balances of Governmental Funds*
(Modified Accrual Basis of Accounting)
Last Ten Fiscal Years

-103-
2024 2023 2022 2021 2020
Taxes 17,241,889 16,921,648 15,415,484$ 12,983,948$ 10,874,493$ Li cens es and Permits 4,780,192 4,191,857 2,914,180 2,185,629 1,665,127 Intergovernmental 17,115,875 11,970,740 10,931,122 8,662,540 9,035,650 Charges for Services 311,662 348,456 206,855 193,945 156,216 Investment Earni ngs ‐ ‐ ‐ ‐ ‐ Fines and Forfeitures 66,610 62,973 56,705 84,020 84,703 Us e of Money and Property 2,020,362 695,397 (50,452) 38,797 109,659 Contributions ‐ 56,854 1,963,765 ‐ ‐ Developer Participation 5,687,735 1,602,594 101,562 1,333,216 895,215 Miscellaneous 92,195 53,052 74,023 133,755 229,314 Total Revenues 47,316,520 $ 35,903,571$ 31,613,244$ 25,615,850$ 23,050,377$ General Government 9,486,132 $ 4,527,166$ 3,178,267$ 2,714,432$ 2,647,322$ Public Safety 10,861,711 10,780,102 10,031,985 7,946,947 9,069,699 Community Development 2,807,069 3,061,022 2,844,354 2,407,683 2,270,421 Economic Development 295,057 351,974 271,791 212,698 166,124 Community Services 720,288 905,169 1,057,508 706,244 678,516 Public Works 8,776,711 4,065,061 5,000,008 3,965,255 2,846,944 Capital Outlay 3,342,796 7,072,777 4,621,702 3,445,435 2,755,005 Debt Service:

Cost of Issuance ‐ ‐ ‐ ‐ ‐ Principal Retirement 463,424 458,662 365,551 77,268 ‐ Inte re st and Fiscal Charges 89,301 84,803 85,792 79,023 78,146 Total Expenditures 36,842,489 $ 31,306,736$ 27,456,958$ 21,554,985$ 20,512,177$ Over (Under) Expenditures 10,474,031 4,596,835 4,156,286 4,060,865 2,538,200 Lease/subscription acquisition 546,065 $ ‐ $ ‐ $ ‐ $ ‐ $ 506,080 346,959 319,839 301,362 416,945 (506,080) (346,959) (319,839) (301,362) (416,945) Proceeds from Loa n ‐ ‐ ‐ ‐ ‐ Other Debts Issue d ‐ 134,989 1,334,287 ‐ ‐ Contributions from Other Enti ti es ‐ ‐ ‐ ‐ ‐ Total Other Financing Sources (Uses) 546,065$ 134,989$ 1,334,287$ ‐ $ ‐ $ Net Change in Fund Balances 11,020,096 4,731,824 5,490,573 4,060,865 2,538,200 Fund Balances, Beginning of Year 24,077,626 19,345,802 13,855,229 9,794,364 7,256,164 Restatements 1,482,212 ‐ ‐ ‐ ‐ Fund Balances, Beginning of Year,
as Restated: 25,559,838 19,345,802 13,855,229 9,794,364 7,256,164 Fund Balances, End of Year 36,579,934 $ 24,077,626$ 19,345,802$ 13,855,229$ 9,794,364$ NON CAPITAL EXPENDITURES 1.70% 2.50% 2.30% 0.00% 0.00%
*Note: Wildomar Cemetery District (Dist rict ) is include d in fiscal years 2012 to 2015.

The District became a subsidiary of the City in fiscal year 2012. However, for fiscal year 2016 the District is not included in the governmental activities and it s operations are discretely pres ented in the financial s ta tements .

Source: City Finance Department
Excess (Deficiency) of Revenues
OTHER FINANCING SOURCES (USES)
Trans fers Out
DEBT SERVICE AS A PERCENTAGE OF
Trans fers In

REVENUES

EXPENDITURES
Current:

Fiscal Year

1013

-104-
2019 2018 2017 2016 2015
8,505,203$ 7,229,816$ 6,940,365$ 6,743,720$ 6,596,256$ 1,883,515 2,003,200 2,345,877 2,754,563 2,460,535 12,304,486 7,033,686 4,650,707 3,612,975 3,660,760 37,022 38,769 18,614 14,895 27,077 67,542 19,431 10,659 6,590 5,015 49,358 45,552 41,039 52,654 51,882 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 526,149 867,838 1,510,618 598,955 181,553 133,490 8,919 114,933 87,850 123,387 23,506,765$ 17,247,211$ 15,632,812$ 13,872,202$ 13,106,465$ 3,212,685$ 2,601,884$ 2,382,977$ 2,426,059$ 2,410,577$ 7,922,498 5,926,817 5,488,113 5,079,535 4,834,799 2,738,282 2,660,031 2,389,801 2,569,072 3,100,691 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 27,866 2,446,387 3,375,478 1,953,548 1,982,458 2,460,664 5,480,443 3,411,917 2,142,039 1,399,541 1,008,509 37,000 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 109,040 ‐ ‐ ‐ ‐ ‐ 21,837,295$ 17,976,127$ 14,356,478$ 13,456,665$ 13,952,146$ 1,669,470 (728,916) 1,276,334 415,537 (845,681) ‐$ ‐ $ ‐ $ ‐ $ ‐ $ 924,641 1,270,977 343,787 517,123 544,116 (924,641) (1,270,977) (343,787) (517,123) (544,116) 1,525,470 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 1,525,470$ ‐ $ ‐ $ ‐ $ ‐ $ 3,194,940 (728,916) 1,276,334 415,537 (845,681) 4,061,224 4,790,140 3,513,806 2,591,411 5,319,697 ‐ ‐ ‐ 506,858 (102,040) 4,061,224 4,790,140 3,513,806 3,098,269 5,217,657 7,256,164$ 4,061,224$ 4,790,140$ 3,513,806$ 4,371,976$

0.00% 0.00% 0.00% 0.00% 0.00%
Fiscal Year

1014

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1015
City of Wildomar

Assessed Value and Estimated Actual Value of Taxable Property Last Ten Fiscal Years

-105-
Less Total Taxable Total
Fiscal Residential Commercial Other Tax‐Exempt Assessed Direct year Property Property Property Property Value Rate
2024 3,885,132,368$ 274,843,634$ 487,328,866$ (159,960,098)$ 4,576,313,356$ 0.06414 2023 3,613,639,008 269,448,817 355,422,558 (152,084,250) 4,187,621,652 0.06414 2022 3,353,379,918 238,817,009 372,949,652 (143,634,639) 3,914,676,493 0.06414 2021 3,194,123,965 206,450,586 365,302,589 (141,156,996) 3,712,810,278 0.06414 2020 2,998,915,691 367,930,286 266,202,102 (135,401,055) 3,555,294,341 0.06414 2019 2,869,319,248 366,065,458 207,467,159 (133,658,124) 3,368,179,579 0.06414 2018 2,672,591,727 348,827,091 205,071,044 (128,090,594) 3,152,766,645 0.06413 2017 2,457,768,510 206,868,526 333,066,581 (6,827,758) 2,990,875,859 0.06642 2016 2,315,546,269 195,912,842 315,827,261 (6,723,956) 2,820,562,416 0.06665 2015 2,128,221,360 186,564,353 301,703,479 (6,592,208) 2,609,896,984 0.06742 Source: MuniServices
In 1978, California voters passed Proposition 13 whi ch se t the property tax rate at 1.00% based upon the asse sse d value of the property being taxed. Each year, the asse sse d value of property may be incre ase d by an "infl ation factor" (limited to a maxi mum incre ase of 2%). With few exceptions, property is only re‐asse sse d at the purchase price of the property sold. The asse sse d valuation data shown above represents the only data currently available wi th respect to the actual ma rket value of taxabl e property and is subje ct to the l i mi tati ons described above .

The City of Wildomar was incorporat e d in July 2008, therefore data availability is lim it e d. Changes in asse sse d value distribution is due to a change in source . Other property includes state unitary in the amount of $129,600.

1016
City of Wildomar

Direct and Overlapping Property Tax Rates
(Rate per $100 of Taxable Value)
Last Ten Fiscal Years

-106-
2024 2023 2022 2021

0.05800 0.05800 0.05800 0.05800

1.00000 1.00000 1.00000 1.00000

0.06414 0.06414 0.06414 0.06414

0.93586 0.93586 0.93586 0.93586

1.00000 1.00000 1.00000 1.00000
Override Assessments

0.060630 0.06201 0.06319 0.06111

0.003500 0.00350 0.00350 0.00350

0.013200 0.01320 0.01320 0.01320
Perris Uni on High School 0.081730 0.08859 0.08859 0.08569

0.15906 0.16730 0.16848 0.16350

1.15906 1.16730 1.16848 1.16350 Total Direct & Overlapping Tax Rates Fiscal Year
* In 1978, California voters passed Proposition 13 whi ch se t the property tax rate at 1.00% fixed amount.

Thi s 1.00% is share d between all taxi ng a genci es in whi ch the subject property resides wi thi n. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of asse sse d property values for the payment of any voter approved bonds.

Ove rlapping rates are thos e of local and county governments that apply to property owners wi thi n the City.

Not all overlapping rates apply to all City property owners.

Agency
Source: MuniServices
Basic Levy*
Menifee School Debt Svc
Metropolitan Water Dist Original Area
Mt. San Jacinto Jr Colle ge
Total Direct Rate
City's Share of 1% Levy Per Prop 13
Total Overriding Assessments
City of Wildomar
Al l others

1017

-107-
2020 2019 2018 2017 2016 2015

0.05800 0.05800 0.05800 0.05800 0.05800 0.05800

1.00000 1.00000 1.00000 1.00000 1.00000 1.00000

0.06414 0.06414 0.06414 0.06414 0.06414 0.06742

0.93586 0.93586 0.93586 0.93586 0.93586 0.93258

1.00000 1.00000 1.00000 1.00000 1.00000 1.00000

0.06277 0.06303 0.06080 0.03269 0.03010 0.03275

0.00350 0.00350 0.00350 0.00350 0.00350 0.00350

0.08244 0.05243 0.05675 0.06092 0.06236 0.06303

0.01320 0.01320 0.01320 0.01320 0.01394 ‐

0.16191 0.13216 0.13425 0.11031 0.10990 0.09928

1.16191 1.13216 1.13425 1.11031 1.10990 1.09928 Fiscal Year
1018
City of Wildomar

Principal Property Tax Payers
Current and Nine Years Ago

-108-
Taxpayer Taxable Value ($)
Percent of Total City
Taxable Value (%) Taxable Value ($)
Percent of Total
City Taxable
Value (%)
Universal Health Services Of Rancho Sp 102,027,212               2.23% 25,713,647                 0.99% Oak Springs Partners 87,773,427                  1.92%
MG Santa Rosa Apartments 83,132,414                  1.82% GSC Smith Ranch 35,865,246                  0.78%
LG Oak Creek 31,882,997                  0.70% 26,000,000                 1.00% Wildomar Industrial Park 24,406,945                  0.53% 10,921,000                 0.42% CK HS Partners 18 23,189,020                  0.51% 5,439,862                   0.21% Sovran Acquisition LTD Partnership 20,490,956                 0.45% Krupalu 18,727,200                  0.41%
CFT NV Dev 18,422,777                  0.40%
MCW RC CA Bear Creek Village Center 17,154,411                 0.37% 14,404,627                 0.55% Rainbow Mountain 14,786,311                  0.32%
George Clinton Keith Dev 13,612,271                  0.30% 2018 1 IH Borrower LP 13,201,869                  0.29% Beazer Homes Holdings Corp 12,224,360                 0.27% VSHS 12,132,498                  0.27% 9,348,056                   0.36% Equilon Enterprises 10,854,375                  0.24%
CSP 30121 Antelope Road 10,774,578                  0.24% Wal Mart Real Estate Business Trust 9,424,471                   0.21% 7,998,644                   0.31% Ambient Pacific OCC 9,174,276                    0.20%
ACI Real Estate SPE 143 9,048,654                    0.20% Wang Margaret Dream Trust DTD 8,568,000                   0.19% Wildomar Meadows 8,408,449                    0.18%
Hidden Springs LTD Partnership 8,349,248                   0.18% Wildomar Renaissance Plaza 8,344,429                    0.18% 5,664,677                   0.22% WNRA Wildomar 51,600,000                 1.98%
Universal Health Realty Income 42,353,999                  1.62% Oak Springs Ranch 25,205,249                 0.97%
Inland Valley Medical Partners 14,269,384                  0.55% Stonebridge Medical Center 13,040,724                  0.50% CK Self Storage 8,752,363                   0.34%
Strata Oak 8,475,740                   0.32%
ABS CA 7,679,672                   0.29%
Spring Meadow Ranch 7,031,771                    0.27%
Lennar Homes Of Calif Inc 6,982,693                    0.27% Prichard Ronald D 6,975,500                   0.27%
Baxter Central LTD Partnership 6,768,500                    0.26% Colfin AI CA 4 5,863,113                   0.22%
RS Wildomar 5,328,080                   0.20%
Beaumont Gossett 4,604,842                   0.18%
Herwood Building Supplies 4,250,457                    0.16% Bear Creek Plaza LTD 3,954,203                   0.15%
Total Top 25 Taxpayers 611,976,394                13.37% 328,626,803               12.59% Total Taxable Value 4,576,313,356 100.00% 2,609,896,984 100.00% Total Taxable Value includes state unitary of $129,600
Wildomar was incorporated in July 2008, therefore data availability is limited 2023-24 2014-15
Source:  Riverside County Assessor data, MuniServices, LLC

1019
City of Wildomar

Property Tax Levies and Collections
Last Ten Fiscal Years

-109-

Total Tax Collection in
Fiscal Levy for Percentage of Subsequent Percentage of Year Fiscal Year Amount Levy Years Amount Levy
2024 5,317,636$ 5,032,288$ 94.63% 189,447$ 5,221,735$ 98.20% 2023 5,088,718 4,951,886 97.31% 157,886 5,109,772 100.41% 2022 4,832,419 4,672,630 96.69% 170,904 4,843,534 100.23% 2021 4,688,098 4,583,900 97.78% 149,400 4,733,300 100.96% 2020 4,503,962 4,484,048 99.56% ‐ 4,484,048 99.56% 2019 4,234,361 4,113,696 97.15% 121,773 4,235,469 100.03% 2018 3,973,916 3,848,479 96.84% 122,634 3,971,113 99.93% 2017 3,825,844 3,732,682 97.56% 75,891 3,808,573 99.55% 2016 3,625,979 3,515,561 96.95% 107,546 3,623,107 99.92% 2015 3,394,851 3,241,573 95.48% 125,930 3,367,503 99.19% Source: County of Riverside, City Finance Department
Total Collections to Date
Collected within the
Fiscal Year of the Levy

1020
City of Wildomar

Ratios of Outstanding Debt by Type
Last Ten Fiscal Years

-110-
General Lease Certificates Total % of Actual
Fiscal Obligation Revenue of Participation/ County Governmental Assessed Value Per Year Bonds Bonds Leases/Subscriptions Repayment (1) Activities of Property (2) Capita 2024 ‐$ ‐$ 1,803,429$ ‐$ 1,803,429$ 0.00% 49.64$ 2023 ‐ ‐ 2,235,081 ‐ 2,235,081 0.00% 61.51 2022 ‐ ‐ 2,433,139 ‐ 2,433,139 0.00% 66.42 2021 ‐ ‐ 1,464,403 ‐ 1,464,403 0.00% 39.56 2020 ‐ ‐ 1,541,671 ‐ 1,541,671 0.00% 41.46 2019 ‐ ‐ 1,525,470 ‐ 1,525,470 0.00% 42.30 2018 ‐ ‐ ‐ ‐ ‐ 0.00% ‐ 2017 ‐ ‐ ‐ ‐ ‐ 0.00% ‐ 2016 ‐ ‐ ‐ ‐ ‐ 0.00% ‐ 2015 ‐ ‐ ‐ 1,185,337 1,185,337 0.00% 34.71 Source: City Finance Department
(2) Assessed value used because actual value of taxable property not readily available in the state of California. (1) County Repayment is not a bonded debt. On September 22,2015, SB 107 was signed into law providing for the forgiveness of debts owed to the County of Riverside.

1021
City of Wildomar

Direct and Overlapping Governmental Activities Debt
As of June 30, 2024

-111-
Lake Elsinore Unified School District Community Facilities District No. 2007‐2 Lake Elsinore Unified School District Community Facilities District No. 2013‐1 & 2 Lake Elsinore Unified School District Community Facilities District No. 2017‐2 OVERLAPPING TAX INCREMENT DEBT (Successor Agency):
(2)

2.37%

0.04%

3.09%

3.94%
AB:($500)
12,783,589$
the portion of the overlapping districts asse sse d value that is wi thi n the boundaries of the city divided by the district's total taxabl e asse sse d value. (2) Excludes tax and revenue anti ci pati on notes, enterprise revenue, mortgage revenue and non‐bonded capital le ase oblig at ions. Qualifie d Zone Aca demy Bonds are included based on principal due at maturi ty.

Overlapping Tax and Assessment Debt ……………………………………………………………………………………… 652,187,035$
City Of Wildomar $1,803,429100%$1,803,429
Direct Debt
Riverside County Pension Obligations
Perris Union High School District General Fund Obligation Menifee Union School District Certificates of Participation 7,571,891$

1.161%

0.204%
Western Municipal Water District Certificates of Participation 2,724,440 Mount San Jacinto Community College District General Funds Obligations 77,056
100%

44.393%
17,639,709
3,088,000
1,250,551
2,852,113
9,215,000
12,055,000
Lake Elsinore Unified School District Community Facilities District No. 2005‐3, 5 & 7 Lake Elsinore Unified School District Community Facilities District No. 2006‐3A & 4

0.256%
Perris Union High School District
242,210,000            3.542% 8,579,078
100% 6,895,000
32,339
100%
595,766
5,144,000
100,141,438$
100%
Overlapping General Fund Debt
5,144,000                Elsinore Valley Municipal Water District Community Facilities Districts 292,042,191
100% 2,890,000
Lake Elsinore Unified School District 62,005,000               25.852% 16,029,533

0.329% 502,749
670,785,000

1.161%Riverside County General Funds Obligation
6,895,000
179,490,065$ 2.037 ‐ 18.064%

0.204%

52.677‐100%
Share of
Debt to City (1) DebtOverlapping Tax and Assessment Debt Applicable
152,811,292
Lake Elsinore Unified School District Community Facilities District No. 99‐1 Lake Elsinore Unified School District Community Facilities District No. 2002‐1 3,088,000
2,817,000
Lake Elsinore Unified School District Community Facilities District No. 2004‐1, 2 ,3 & 4 18,598,000 Lake Elsinore Unified School District Community Facilities District No. 2003‐1 A 2,852,113 Menifee Union School District
2023‐2024 Assessed Valuation
Source: California Municipal Statistics
$130,349,044Combined Total Debt
$1,803,429
128,545,615$
Ratios to 2023‐24 Assessed Valuation:

Ratios to Redevelopment Successor Agency Incremental Valuation ($324,307,096):

Combined Total Debt…………………………………………………………………………………………………………… Total Overlapping Tax Increment Debt ……………………………………………………………………………………… Direct Debt ($1,803,429) ……………………………………………………………………………………………………………… … (1) Percentage of overlapping debt applicable to the city is es ti mated using taxabl e asse sse d property value. Applicable percentages were es ti mated by determining Total Direct Debt
Total Overlapping Debt
15,620,588$
Total Overlapping Tax and Assessment Debt
Total Overlapping General Fund Debt

0.329%
7,787,814

0.407% 11,213
9,215,000
12,055,000
13,295,000 100% 13,295,000
Perris Union High School District Community Facilities District No. 92‐1 30,100,000 Riverside County Flood Control, Zone 4 2,755,000
100%
100%
2,890,000
40,124,346
44,586,698
81,854
146,690

1.187%
4,218,077,691$
‐
4,218,077,691$
Percent City's
Total

0.119% 21,670$ $18,210,000Metropolitan Water District Incremental Valuation
Adjusted Assessed Valuation

1022
City of Wildomar

Legal Debt Margin Information
(dollars in thousands)
Last Ten Fiscal Years

-112-
2024 2023 2022 2021 2020
A sse sse d Valuation 4,576,313,356 $   4,187,621,652$   3,914,676,493$   3,712,810,278$   3,555,294,341$ Debt Li mi t Percentage 15% 15% 15% 15% 15%
Debt Limit 686,447,003 $      628,143,248$      587,201,474$      556,921,542$      533,294,151$ Total Net Debt A pplicable to Li mi t
General Obligat ion Bonds: ‐                              ‐                               ‐                               ‐                               ‐ Lega l Debt Margin 686,447,003 $      628,143,248$      587,201,474$      556,921,542$      533,294,151$ Total Net Debt A pplicable to the Li mi t
as a Percentage of Debt Limit 0.00% 0.00% 0.00% 0.00% 0.00% Source:  City Finance Department, MuniServi ces
Fiscal Year
Section 43605 of The Government Code of the State of California lim it s the amount of indebtedness for public im prove m e nt s to 15% of the asse sse d valuation of all real and personal property of the City.

The City of Wildomar has no general obligat ion bond indebtedness.

1023

-113-
2019 2018 2017 2016 2015
3,368,179,579$ 3,152,766,645$ 2,990,875,859$ 2,820,562,416$ 2,609,896,984$ 15% 15% 15% 15% 15%
505,226,937$ 472,914,997$ 448,631,379$ 423,084,362$ 391,484,548$ ‐ ‐ ‐ ‐ ‐ 505,226,937$ 472,914,997$ 448,631,379$ 423,084,362$ 391,484,548$

0.00% 0.00% 0.00% 0.00% 0.00%
Fiscal Year

1024
City of Wildomar

Demographic and Economic Statistics
Last Ten Fiscal Years

-114-
Fiscal Year
Population
(1)
Personal Income
(In Thousands) (2)
Per Capita
Personal Income
(2)
City
Unemployment
Rate (%) (3)
Median Age
(4)
%High
School
Diploma
% Bachelors
Degree
2023‐24 36,327 1,488,254$ 40,968$ 4.5% 36 85% 18% 2022‐23 36,336 1,330,572 36,619 4.2% 36 85% 17% 2021‐22 36,632 1,150,045 31,395 3.1% 35 84% 16% 2020‐21 37,013 1,011,653 27,332 6.9% 34 85% 17% 2019‐20 37,183 941,562 25,322 14.1% 35 85% 17% 2018‐19 36,066 878,083 24,347 3.3% 35 85% 17% 2017‐18 36,287 837,603 23,083 3.9% 35 83% 17% 2016‐17 35,782 776,541 21,702 6.1% 34 84% 16% 2015‐16 35,168 812,908 23,115 6.8% 34 88% 14% 2014‐15 33,696 764,899 22,700 4.0% 34 84% 16% Wildomar was incorporated in July 2008, therefore data availability is limited The California Department of Finance demographics estimates now incorporate 2010 Census counts as the benchmark.

2.) Income Data is provided by the U.S. Census Bureau, 2010 American Community Survey.

3.) Unemployment Data is provided by the EDD's Bureau of Labor Statistics Department.

4.) Median Age reflects the U.S. Census data estimation table.

Source: MuniServices, LLC, / Avenu Insights & Analytics

1.) Population Projections are provided by the California Department of Finance Projections.

1025
City of Wildomar

Principal Employers
Current and Nine Years Ago

-115-
2014-15
Business Name
Number of
Employees
Percent of Total
Employment (%) Number of Employees
La ke El s i nore Uni fi ed School District* 2,381 13.38% 1995 Inland Val l ey Medical Center 945 5.31% 780 Southern California Edi s on 232 1.30% 20 Cornerstone Community Church & School 130 0.73% 45 Stater Bros Markets 124 0.70% 95 Kaiser Permanente Wildom ar Medical Offices 120 0.67% Albertson's 105 0.59% 90 Ani ma l Friends of the Val l eys 83 0.47% Wildomar Senior A ssist e d Li vi ng, LLC 67 0.38% FCP Inc. 62 0.35% 200 Jack in the Box ‐ (2 locat ions) 60
P K Me chanical Systems 50
Coldwell Banker 52
McDonald's 52
Total Top 10 Employers 4,249 23.87% 3,439

Total City La bor Force (1) 17,800
Source: MuniServices, LLC / Avenu Insights & Ana l yti cs Source: 2012 ‐13, previously published ACFR, lim it e d data available Results based on direct correspondence wi th city’s local businesses. * Count is districtwide
** Count include s another locat ion, not withi n the City Li mi ts . *** Include s the Cornerstone Christian School
(1) Total City Labor Force provided by EDD Labor Force Data. 2023-24
No longer in the top 10

1026
City of Wildomar

Full-Time Equivalent City Governmental Employees by Function/Program As of June 30, 2024

-116-
2024 2023 2022 2021 2020

1.0 1.0 1.0 1.0 1.0

2.0 1.0 2.0 1.0 1.0 ‐ ‐ ‐ 3.0 3.0

1.0 2.0 2.0 ‐ ‐ ‐ ‐ ‐ 1.0 1.0

1.0 1.0 1.0 1.0 1.0

4.0 3.0 3.0 2.0 ‐ ‐ 5.0 5.0 3.0 3.0

1.0 2.0 2.0 ‐ ‐

1.0 ‐ ‐ ‐ ‐

7.0 ‐ ‐ ‐ ‐

1.0 1.0 1.0 ‐ ‐

4.0 1.0 1.0 ‐ ‐

4.0 5.0 5.0 4.0 3.0

4.0 4.0 4.0 ‐ ‐

4.0 ‐ ‐ ‐ ‐

1.0 ‐ ‐ ‐ ‐ Full ‐ Ti me Equiv
Planning Director
Function
City Manager
Full ‐ Ti me Equiv
City Clerk
Full ‐ Ti me Equiv
Cemetery
Full ‐ Ti me Equiv
Code Enforcement
Full ‐ Ti me Equiv
Planning
Admi ni s tra ti ve Services Director
Full ‐ Ti me Equiv
Public Works
Full ‐ Ti me Equiv
Finance
Full ‐ Ti me Equiv
Development Engi neeri ng
Full ‐ Ti me Equiv
City Manager Admi ni s tra ti on
Full ‐ Ti me Equiv
Communi ty Services Director
Full ‐ Ti me Equiv
Building/Safety
Full ‐ Ti me Equiv
Full ‐ Ti me Equiv
As s t. City Manager
Full ‐ Ti me Equiv
Economi c Development
Communi ty Development Director
Full ‐ Ti me Equiv
Admi ni s tra ti ve Services
Full ‐ Ti me Equiv
Public Works Director
Full ‐ Ti me Equiv
Communi ty Services
Full ‐ Ti me Equiv

1027

-117-
2019 2018 2017 2016 2015

1.0 1.0 1.0 1.0 1.0

3.0 2.0 2.0 2.0 1.0 ‐ ‐ ‐ ‐ ‐

1.0 1.0 1.0 1.0 1.0

1.0 1.0 1.0 1.0 1.0 ‐ ‐ ‐ 1.0 1.0

3.0 2.0 3.0 2.0 2.0 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐

3.0 3.0 2.0 1.0 1.0 ‐‐‐‐‐
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐

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City of Wildomar

Operating Indicators by Function/Program
Last Ten Fiscal Years

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2024 2023 2022 2021 2020
14,568 12,452 # 18,027 18,218 19,898
133 37 73 87 44
1,590 1,107 1,245 1,830 485
3,712 3,068 3,534 3,307 3,252

5.2 5.4 5.4 5.2 5.1

77.00% 79.50% 78.50% 76.32% 74.26%

23.00% 20.50% 21.50% 23.67% 25.74%
1,357 1,460 1,161 1,192 981
Zoning Inquiries/ Counter Assistance 3,276 3,452 3,327 3,000 2,925 Developer Applications/ Projects 26 21 65 25 30
Building Plan Check Permits 457 421 414 1,000 1,052
Planning Director H e a r i n g s 10002
Planning Commi s s i on Meetings 9 9 10 9 13
35 49 61 45 41
Source: City Finance Department, City Community Development Department, City Building Department, Riverside County Sheriff's Department, Riverside County Fire/CAL‐Fire, Cemetery (1) Information not available at ti me of publication.

N/A =
Not available.

Function
Police Services
Calls for Service
DUI Arrests
Traffi c Citations
% of Calls ‐ Al l Other
Cemetery
Burial Services
Fire Services
Community Development/ Planning
Re sponse s to Calls for Service
Avera ge Re sponse Ti me‐Minutes
% of Calls ‐ Medical
Building & Safety
Building Permits Issue d

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-119-
2019 2018 2017 2016 2015
16,576 17,628 17,374 15,916 8,782
34 44 32 38 2
N/A 573 334 246 287
3,102 3,266 3,173 3,075 2,962

5.1 5.2 4.7 4.7 4.9

75.94% 76.00% 75.26% 77.66% 75.19%

24.06% 24.00% 24.74% 22.34% 24.81%
1,104 1,158 1,235 1,685 1,321
3,020 4,656 4,400 4,300 3,800
45 71 43 40 48
1,560 1,674 1,650 1,650 1,000
3 1 325
91 67 1 0 1 1
21 35 12 25 31

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City of Wildomar

Capital Asset Statistics by Function/Program
Last Ten Fiscal Years

-120-
2024 2023 2022 2021 2020
126.15 126.15 124.9 123.36 123.36

11.67 11.67 11.4 9.1 9.1

5.84 5.84 5.84 3.87 3.87

46.05 46.05 46.05 47.1 47.1

27.3 27.3 24.3 24.3 24.3
66554

61.85 61.85 41.85 41.85 14.85
11111
Source: City Public Works Department, Communi ty Services Department Function
Public Works
Streets (miles)
Park Acrea ge
Cemetery
Traffi c Signals
Unpaved ‐ Private
Paved ‐ Private
Paved ‐ Public
Unpaved ‐ Public
Community Services
Parks

1031

-121-
2019 2018 2017 2016 2015
123.36 123.36 119 119 119

9.1 9.1 9.1 9.1 9.1

3.87 3.87 3.4 3.4 3.4

47.1 47.1 47.1 47.1 47.1

24.3 24.3 23.3 23.3 23.3
44333

14.85 14.85 14.4 14.4 14.4
11111

1032
City of Wildomar

Miscellaneous Statistics
As of June 30, 2024

-122-
24 4
1 1
Source: City Finance Department and California Department of Finance 6 Parks owned by the City
38 Under contract wi th the Riverside County Sheriff's Department Under contract wi th the Riverside County Fire Department ( Cal ‐Fire) 1 Branch, Riverside County Li brary System
Fire Department
Li brary
Recreation:

Number of Full Ti me Empl oyees
Public Safety:

Police Department
Date
of Incorporation
Geographic Loca ti on
Population
Wildomar is locat e d along Inters tate 15 in Riverside County. 36,327
Council ‐Manager
Jul y 1, 2008
Area in Square Miles
Form of Government
El ementary
Middle Schools
High Schools
Schools:

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1034
735 E. Carneg ie Dr . Suit e I 00
San Bernardino . CA 92408
909 889 0871 T
909 889 5361 F
ramscpa . net

ROGERS , ANDERSON , MALODY & SCOTT , LLP
CERTIFIED PUBLIC ACCOUNTANTS. SINCE 1948
STAB ILITY . ACCURACY. TRUST.

-1-

REPORT ON INTERNAL CONTROL OVER FINANCIAL

REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS

PERFORMED IN ACCORDANCE WITH

GOVERNMENT AUDITING STANDARDS

Independent Auditor’s Report

To the Honorable City Council
City of Wildomar, California

We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States (Government Auditing Standards), the financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the City of Wildomar (the entity) as of and for the year ended June 30, 2024, and the related notes to the financial statements, which collectively comprise the entity’s basic financial statements, and have issued our report thereon dated January 7, 2025.

Report on Internal Control over Financial Reporting

In planning and performing our audit of the financial statements, we considered the entity’s internal control over financial reporting (internal control) as a basis for designing procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we do not express an opinion on the effectiveness of the entity’s internal control.

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

However, material weaknesses or significant deficiencies may exist that were not identified.

Report on Compliance and Other Matters

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

Purpose of this Report

The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

San Bernardino, California
January 7, 2025
1036
735 E. Carneg ie Dr . Suit e I 00
San Bernardino . CA 92408
909 889 0871 T
909 889 5361 F
ramscpa . net

ROGERS , ANDERSON , MALODY & SCOTT , LLP
CERTIFIED PUBLIC ACCOUNTANTS. SINCE 1948
STAB ILITY . ACCURACY. TRUST.

-1-

January 7, 2025

To the Honorable City Council
City of Wildomar, California

We have audited the financial statements of the City of Wildomar (the entity) as of and for the year ended June 30, 2024 , and have issued our report thereon dated January 7, 2025. Professional standards require that we advise you of the following matters relating to our audit.

Our Responsibility in Relation to the Financial Statement Audit

As communicated in our engagement letter dated May 6, 2024, our responsibility, as described by professional standards, is to form and express opinions about whether the financial statements that have been prepared by management with your oversight are presented fairly, in all material respects, in accordance with accounting principles generally accepted in the United States of America. Our audit of the financial statements does not relieve you or management of your respective responsibilities.

Our responsibility, as prescribed by professional standards, is to plan and perform our audit to obtain reasonable, rather than absolute, assurance about whether the financial statements are fr ee of material misstatement. An audit of financial statements includes consideration of the system of internal control over financial reporting as a basis fo r designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control over financial reporting. Accordingly, as part of our audit, we considered the system of internal control of the entity solely fo r the purpose of determining our audit procedures and not to provide any assurance concerning such internal control.

We are also responsible for communicating significant matters related to the audit that are, in our professional judgment, relevant to your responsibilities in overseeing the financial reporting process. However, we are not required to design procedures for the purpose of identifying other matters to communicate to you.

Planned Scope and Timing of the Audit

We conducted our audit consistent with the planned scope and timing we previously communicated to you.

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Compliance with All Ethics Requirements Regarding Independence

The engagement team, others in our firm, as appropr iate, and our firm have complied with all relevant ethical requirements regarding independence.

We have evaluated whether certain nonattest services performed by our firm during the audit have created a significant threat to our independence in relation to the entity. We have i dentified a threat to our independence (preparation of the entity’s financial st atements, creating a self-review threat) that if not reduced to an acceptable level, would impair our i ndependence. In order to reduce the threat to an acceptable level, we have applied the following safeguard:

Prior to the issuance of the entity’s financial statements, another partner or manager, independent of the engagement, will review the financial statements.

Significant Risks Identified

We have identified the possibility of the following significant risks:

Management's override of internal c ontrols over financial reporting – Management override of internal controls is the intervention by management in handling financial information and making decisions contrary to internal control policy.

Revenue recognition – Revenue recognition is a generally accepted accounting principle that refers to the conditions under which an entity can recognize a transaction as revenue. Auditing standards indicate that recognizing revenue is a presumed fr aud risk and usually classified as a significant risk in most audits.

These significant risks are presumptive in most audits and merit attention by the auditors due to the direct impact over financial reporting and internal control processes. Although identified as significant risks, we noted no matters of management override of controls or deviations from generally accepted accounting principles which caused us to modify our audit procedures or any related matters which are required to be communicated to those charged with governance due to these identified risks.

Qualitative Aspects of the Entity’s Significant Accounting Practices

Significant Accounting Policies

Management has the responsibility to select and use appropriate accounting policies. A summary of the significant accounting policies adopted by the entity is included in Note 1 to the financial statements. The Town adopted GASB Statement No. 100, Accounting Changes and Error Corrections during 2024. No matters have come to our attention that would require us, under professional standards, to inform you about (1) the methods used to account for significant unus ual transactions and (2) the effect of significant accounting policies in controversial or emerging areas for which there is a lack of authoritative guidance or consensus.

Significant Accounting Estimates and Related Disclosures

Accounting estimates and related disclosures are an integral part of the financial statements prepared by management and are based on management’s current judgments. Those judgments are normally based on knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ markedly from management’s current judgments.

1038

-3-
The most sensitive accounting estimates affecting the entity’s financial statements are:

Management’s estimate of the net pension liab ility and related deferred inflows and outflows of resources are based on actuarial reports by independent actuaries. We evaluated the key factors and assumptions used to develop the estimate in determining that it is reasonable in relation to the basic financial statements taken as a whole and in relation to the applicable opinion units.

Management’s estimate of the liability for ot her post-employment benef its (OPEB) and related deferred inflows and outflows of resources are based on actuarial reports provided by independent actuaries. We evaluated the key factors and assumptions used to develop the estimate in determining that it is reasonable in relation to the basic financial statements taken as a whole and in relation to the applicable opinion units.

Financial Statement Disclosures

Certain financial statement disclosures involve significant judgment and are particularly sensitive because of their significance to financial statement users.

The most sensitive disclosures affecting the entity’s financial statements relate to:

The disclosure of net pension liability and related deferred inflows and outflows of resources in the basic financial statements is based on actuarial assumptions. Actual future liabilities and actuarial deferred inflows and outflows may vary from disclosed estimates.

The disclosures of the other post-employment benefits (OPEB) liability and related deferred inflows and outflows of resources in the basic financial statements is based on actuarial assumptions.

Actual future liabilities and actuarial deferred inflows and outflows may vary from disclosed estimates.

Significant Difficulties Encountered during the Audit

We encountered no significant difficulties in dealing wi th management relating to the performance of the audit.

Uncorrected and Corrected Misstatements

For purposes of this communication, professional standards require us to accumulate all known and likely misstatements identified during the aud it, other than those that we belie ve are trivial, and communicate them to the appropriate level of management. Furthe r, professional standards require us to also communicate the effect of uncorrect ed misstatements related to prior periods on the relevant classes of transactions, account balances or disclosures, and the financial statements as a whole and each applicable opinion unit. There were no uncorrected misstatements noted.

In addition, professional standards require us to communicate to you all material, corrected misstatements that were brought to the attenti on of management as a result of our audit procedures. None of the misstatements identified by us as a result of our audit procedures and corrected by management were material, either individually or in the aggregate, to the financial statements taken as a whole or applicable opinion unit.

Disagreements with Management

For purposes of this letter, professional standards define a disagreement with management as a matter, whether or not resolved to our satisfaction, concerning a financial accounting, reporting, or auditing matter, which could be significant to the entity’s financial statements or the auditor’s report. No such disagreements arose during the course of the audit.
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-4-
Representations Requested from Management

We have requested certain written representations from management, which are included in the attached letter dated January 7, 2025.

Management’s Consultations with Other Accountants

In some cases, management may decide to consult with other accountants about auditing and accounting matters. Management informed us that, and to our knowledge, there were no consultations with other accountants regarding auditing and accounting matters.

Other Significant Matters, Findings, or Issues

In the normal course of our professional associatio n with the entity, we generally discuss a variety of matters, including the application of accounting prin ciples and auditing standards, significant events or transactions that occurred during the year, operati ng and regulatory conditions affecting the entity, and operational plans and strategies that may affect the risks of material misstatement. None of the matters discussed resulted in a condition to our retention as the entity’s auditors.

Other Information Included in Annual Reports

Pursuant to professional standards, our responsibility as auditors for other information, whether financial or nonfinancial, included in the entity’s annual reports, does not extend beyond the information identified in the audit report, and we are not required to perform any procedures to corroborate such other information.

However, in accordance with such standards, we have:

Read the transmittal letter and statistical section (or “other information”) and considered whether a material inconsistency existed between the other the information and the basic financial statements, or the other information otherwise appears to be materially misstated. Our opinions on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon.

Our responsibility also includes communicating to you any information which we believe is a material misstatement of fact. Nothing came to our attention that caused us to believe that such information, or its manner of presentation, is materially inconsistent wi th the information, or m anner of its presentation, appearing in the financial statements.

This report is intended solely for the information and use of the City Council and management of the entity and is not intended to be and should not be used by anyone other than these specified parties.

Very truly yours,

1040
Ashlee DePhillippo, Mayor, Dist. 5
Carlos Marquez, Mayor Pro Tern, Dist. 1
Bridgette Moore, Council Member, Dist. 4
Joseph Morabito, Council Member, Dist. 3
Dustin Nigg, Council Member, Dist. 2
23873 Clinton Keith Rd, Ste. 110
Wildomar, CA 92595
951.677.7751 Phone
951.698.1463 Fax
www.Wildomar.gov
January 7th, 2025
Rogers, Anderson, Malady, & Scott, LLP
This representation letter is provided in connection with your audit of the basic financial statements of the City of Wildomar (the City) as of June 30, 2024 and for the year then ended, and the related notes to the financial statements, for the purpose of expressing opinions on whether the basic financial statements present fairly, in all material respects, the financial position, results of operations, and cash flows, where applicable, of the various opinion units of the City in accordance with accounting principles generally accepted for governments in the United States of America (U.S . GAAP).

Certain representations in this letter are described as being limited to matters that are material. Items are considered material, regardless of size, if they involve an omission or misstatement of accounting information such that, in the light of surrounding circumstances, there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

We confirm that, to the best of our knowledge and belief, having made such inquiries as we considered necessary for the purpose of appropriately informing ourselves as of January 7, 2025:

Financial Statements
• We have fulfilled our responsibilities, as set out in the terms of the audit engagement letter dated May 6, 2024, for the preparation and fair presentation of the financial statements of the various opinion units referred to above in accordance with U.S. GAAP.
• We acknowledge our responsibility for the design, implementation, and maintenance of the system of internal control relevant to the preparation 1041
1042
1043
1044
1045
1046
1047
1048
1049

CITY OF WILDOMAR

MEETING (CCR)

CONSENT CALENDAR
Agenda Staff Report # 1.7

Meeting Date: January 15, 2025
SUBJECT:

Resolution A
pproving Certain Contracts And Authorizing the
City Manager to Execute the Preapproved Contracts
SUBMITTED BY:

Heidi Schrader, Administrative Services Director
PREPARED BY:

Heidi Schrader, Administrative Services Director

ACTION:

Adopt a resolution entitled:

RESOLUTION NO. 2025 -____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WILDOMAR, CALIFORNIA,

APPROVING CERTAIN CONTRACTS AS TO FORM AND AUTHORIZING THE CITY

MANAGER TO EXECUTE THE PREAPPROVED CONTRACTS
SUMMARY:

Adopting this resolution approves certain agreements as to form and authorizes the City Manager to execute those agreements.

BACKGROUND:

The City of Wildomar purchasing code has recently been updated. As part of the update, staff have done a thorough review of workflows surrounding purchasing to identify efficiencies and streamline processes. One of those candidates for streamlining is the contracts approval process. Prior to the update, all contracts over $50,000 had to go to Council for approval. This was a time consuming process, requiring preparation of a staff report and associated documentation, and a delay until the next available Council meeting. In some cases, it hindered project
work starting within the necessary time frame.

Staff determined that the contracts process was also duplicative, as Council already approved purchases at the line item level as part of the Biannual budget. In addition, the City has ensured the purchasing process includes a series of strong controls which ensure fair competition and transparency with the use of public funds. This includes a contract report that will be taken to Council on a quarterly basis detailing all contracts executed in the prior quarter.

DISCUSSION:

At the November 11, 2024 Council meeting, City Council approved Ordinance 244, which amended the City of Wildomar Municipal Code section 2.08.060(K), and authorized the City Manager to sign contracts on the City's behalf when directed and authorized to do so by resolution of the City Council. The attached resolution serves as that authorization, and lists and provides the form of each of the agreements that staff recommend City Council preapprove. Approval of the resolution authorizes the City Manager to approve the contracts 1050
listed and displayed in the resolution, regardless of dollar amount, as long as the terms and conditions of the agreement doesn't change. The scope of work, compensation, and termination date may change - as will the contractor/service provider.

FISCAL IMPACT:

There is no fiscal impact to approving this resolution, although there is an anticipated savings in staff time as a result of this authorization.

ATTACHMENTS:

ContractsForm_Resolution_1_15_2025.docx
1051
RESOLUTION NO. 2025 - _____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WILDOMAR,

CALIFORNIA, APPROVING CERTAIN CONTRACTS AS TO FORM AND

AUTHORIZING THE CITY MANAGER TO EXECUTE THE PREAPPROVED

CONTRACTS
WHEREAS, on November 11, 2024, City Council approved Ordinance 244 amending City of Wildomar Municipal Code section 2.08.060(K), authorizing the City Manager to sign contracts as specified in California Government Code section 40602 on the City’s behalf when directed and authorized to do so by resolution of the City Council; and
WHEREAS, Ordinance 244 modifies City of Wildomar Municipal Code Chapter

3.28 regarding contracting for professional services clarifying the process for bidding and administration of contracts; and
WHEREAS, Ordinance 244 further modifies City of Wildomar Municipal Code Chapter 3.28 regarding administration of contracts, stating that for contracts where the City Council has delegated signature authority to the City Manager by resolution, the City Manager may approve one or more amendments to compensation, scope of work, and termination date; and
WHEREAS, the City of Wildomar is committed to streamlining contract review and approval processes and reducing unnecessary bureaucracy; and WHEREAS, the City of Wildomar has implemented strong purchasing controls.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WILDOMAR DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:

SECTION 1. APPROVAL OF CONTRACTS AS TO FORM. City Council approves the form of the following contracts attached as Attachment A:
 Combined Services and Design Professional Agreement
 BMP Facilities Agreement (CFD Maintained BMPs)
 BMP Facilities Agreement (Privately Maintained BMPs)
 Grading Agreement
 Public Improvement Agreement
 Agreement for Services
 CEQA Document Preparation and Deposit Tri Party Agreement SECTION 2. DELEGATION OF AUTHORITY. As long as sufficient funds have been appropriated and included in the adopted budget, the City Manager is authorized to sign and approve the agreements attached as Attachment A (including subsequent contract amendments related to compensation, scope of work and/or termination date) for a period of one year from the date of this resolution. The agreements attached as Attachment A are only eligible for City Manager signature and approval if the terms and 1052
2 conditions of the agreement remain the same as approved by the City Council under this resolution.

SECTION 3. APPROVED CONTRACTS REPORT. Starting with the April 2025 Council meeting, staff will prepare an approved contracts report which will be presented to Council on a quarterly basis. This report shall include all contracts approved in the prior quarter.

SECTION 4. This resolution shall take effect upon its adoption.

PASSED, APPROVED, AND ADOPTED this 15th day of January 2025 ______________________________
Ashlee DePhillippo
Mayor
APPROVED AS TO FORM: ATTEST:
______________________________ ______________________________ Thomas D. Jex Janet Morales
City Attorney City Clerk
1053

ATTACHMENT A

CONTRACTS
1054
CONTRACT #1 – Combined Services and Design Professional Agreement 1055

AGREEMENT FOR SERVICES
[FOR ARCHITECTURAL, LANDSCAPE ARCHITECTURAL,

ENGINEERING, ENVIRONMENTAL, LAND SURVEYING, AND
CONSTRUCTION PROJECT MANAGEMENT SERVICES]
By and Between

THE CITY OF WILDOMAR,
a municipal corporation
and
___________________________________
1056

AGREEMENT FOR SERVICES

BETWEEN

THE CITY OF WILDOMAR, CALIFORNIA
AND
__________________________________
This Agreement for Services (“Agreement”) is entered into as of this ____ day of _________, 20__ by and between the City of Wildomar, a municipal corporation (“City”) and ____________________, a ___________________ (“Service Provider”). City and Service Provider are sometimes hereinafter individually referred to as “Party” and hereinafter collectively referred to as the “Parties.”

RECITALS
A. City has sought, by [describe process used, i.e. request for qualifications, request for quotations, request for proposals, direct negotiation, informal quotes] the performance of the services defined and described particularly in Section 2 of this Agreement.

B. Service Provider, following submission of a [proposal, quote, bid, etc.] for the performance of the services defined and described particularly in Section 2 of this Agreement, was selected by the City to perform those services.

C. Pursuant to the City of Wildomar’s Municipal Code, City has authority to enter into this Services Agreement and the City Manager has authority to execute this Agreement.

D. The Parties desire to formalize the selection of Service Provider for performance of those services defined and described particularly in Section 2 of this Agreement and desire that the terms of that performance be as particularly defined and described herein.

OPERATIVE PROVISIONS
NOW, THEREFORE, in consideration of the mutual promises and covenants made by the Parties and contained here and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows:

SECTION 1. TERM OF AGREEMENT.

Subject to the provisions of Section 20 "Termination of Agreement" of this Agreement, the Term of this Agreement is for [___ years/months] commencing on the date first ascribed above.

SECTION 2. SCOPE OF SERVICES & SCHEDULE OF PERFORMANCE. (a) Scope of Services. Service Provider agrees to perform the services set forth in Exhibit “A” “Scope of Services” (hereinafter, the “Services”) and made a part of this Agreement by this reference.
1057
(b) Schedule of Performance. The Services shall be completed pursuant to the schedule specified in Exhibit “A.” Should the Services not be completed pursuant to that schedule, the Service Provider shall be deemed to be in Default of this Agreement. The City, in its sole discretion, may choose not to enforce the Default provisions of this Agreement and may instead allow Service Provider to continue performing the Services.

SECTION 3. ADDITIONAL SERVICES.

Service Provider shall not be compensated for any work rendered in connection with its performance of this Agreement that are in addition to or outside of the Services unless such additional services are authorized in advance and in writing in accordance with Section 26 “Administration and Implementation” or Section 28 “Amendment” of this Agreement. If and when such additional work is authorized, such additional work shall be deemed to be part of the Services.

SECTION 4. COMPENSATION AND METHOD OF PAYMENT.
(a) Subject to any limitations set forth in this Agreement, City agrees to pay Service Provider the amounts specified in Exhibit “B” “Compensation” and made a part of this Agreement by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed ______________________________ dollars ($_____________), unless additional compensation is approved in writing in accordance with Section 26 “Administration and Implementation” or Section 28 “Amendment” of this Agreement. In accordance with California Government Code Section 8546.7, if the Not to Exceed Amount exceeds TEN THOUSAND DOLLARS ($10,000.00), this Agreement and the Service Provider's books and records related to this Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of three (3) years after final payment under the Agreement. (b) Each month Service Provider shall furnish to City an original invoice for all work performed and expenses incurred during the preceding month. The invoice shall detail charges by the following categories: labor (by sub-category), travel, materials, equipment, supplies, and sub-Service Provider contracts. Sub-Service Provider charges shall be detailed by the following categories: labor, travel, materials, equipment and supplies. If the compensation set forth in subsection (a) and Exhibit “B” include payment of labor on an hourly basis (as opposed to labor and materials being paid as a lump sum), the labor category in each invoice shall include detailed descriptions of task performed and the amount of time incurred for or allocated to that task. City shall independently review each invoice submitted by the Service Provider to determine whether the work performed, and expenses incurred are in compliance with the provisions of this Agreement. In the event that no charges or expenses are disputed, the invoice shall be approved and paid according to the terms set forth in subsection (c). In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Service Provider for correction and resubmission.
(c) Except as to any charges for work performed or expenses incurred by Service Provider which are disputed by City, City will use its best efforts to cause Service 1058
Provider to be paid within forty-five (45) days of receipt of Service Provider’s correct and undisputed invoice.
(d) Payment to Service Provider for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Service Provider.

SECTION 5. INSPECTION AND FINAL ACCEPTANCE.

City may inspect and accept or reject any of Service Provider’s work under this Agreement, either during performance or when completed. City shall reject or finally accept Service Provider’s work within sixty (60) days after submitted to City. City shall reject work by a timely written explanation, otherwise Service Provider’s work shall be deemed to have been accepted. City’s acceptance shall be conclusive as to such work except with respect to latent defects, fraud and such gross mistakes as amount to fraud.

Acceptance of any of Service Provider’s work by City shall not constitute a waiver of any of the provisions of this Agreement including, but not limited to, Section 16 “Indemnification” and Section 17 “Insurance.”
SECTION 6. OWNERSHIP OF DOCUMENTS; EXCEPTIONS; WARRANTY Except as otherwise provided below, all documents, data, studies, drawings, maps, models, photographs and reports prepared by Service Provider (collectively, “Documents”) under this Agreement are City’s property. Service Provider may retain copies of such Documents as desired but will deliver all original materials to City upon City’s written notice. City agrees that use of Service Provider’s completed work product, for purposes other than identified in this Agreement, or use of incomplete work product, is at City’s own risk. Service Provider warrants that all Documents it drafts and completes pursuant to this Agreement constitutes original work. Specifically, Service Provider understands and agrees that use of artificial intelligence (AI) tools including, without limitation, ChatGPT, Microsoft’s Bing Chat, Google’s Bard, and Meta’s LLaMA (Large Language Model Meta AI), in the performance of this Agreement does not constitute an original work, i.e., submitting Documents generated by such AI tools to City and representing it as Service Provider’s original work constitutes a material breach of this Agreement, constitutes a false claim, and may also violate applicable intellectual property right laws including, without limitation, United States Copyright Law. Accordingly, and notwithstanding any other provision of this Agreement as to ownership, City specifically rejects ownership of such Documents. Service Provider is required to indemnify and defend City to the fullest extent allowed by applicable law should it violate this Section.

All original maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files and other documents prepared, developed or discovered by Service Provider in the course of providing the Services pursuant to this Agreement shall become the sole property of City and may be used, reused or otherwise disposed of by City without the permission of the Service Provider. Upon completion, expiration or termination of this Agreement, Service Provider shall turn over to City all such original maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files and other documents. 1059
If and to the extent that City utilizes for any purpose not related to this Agreement any maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files or other documents prepared, developed or discovered by Service Provider in the course of providing the Services pursuant to this Agreement, Service Provider’s guarantees and warranties in Section 9 “Standard of Performance” of this Agreement shall not extend to such use of the maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files or other documents.

All Final Work Product developed by Service Provider in the course of providing the Services pursuant to this Agreement shall become the sole property of City and may be used, reused or otherwise disposed of by City without the permission of the Service Provider. Upon completion, expiration or termination of this Agreement, Service Provider shall turn over to City all such Final Work Product if paid for by the City. This provision specifically excludes Service Providers’ work notes and drafts, which are owned by Service Provider, not City.

SECTION 7. SERVICE PROVIDER'S BOOKS AND RECORDS.
(a) Service Provider shall maintain any and all documents and records demonstrating or relating to Service Provider’s performance of the Services. Service Provider shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, or other documents or records evidencing or relating to work, services, expenditures and disbursements charged to City pursuant to this Agreement. Any and all such documents or records shall be maintained in accordance with generally accepted accounting principles and shall be sufficiently complete and detailed so as to permit an accurate evaluation of the services provided by Service Provider pursuant to this Agreement. Any and all such documents or records shall be maintained for three (3) years from the date of execution of this Agreement and to the extent required by laws relating to audits of public agencies and their expenditures. (b) Any and all records or documents required to be maintained pursuant to this section shall be made available for inspection, audit and copying, at any time during regular business hours, upon request by City or its designated representative. Copies of such documents or records shall be provided directly to the City for inspection, audit and copying when it is practical to do so; otherwise, unless an alternative is mutually agreed upon, such documents and records shall be made available at Service Provider’s address indicated for receipt of notices in this Agreement.
(c) Where City has reason to believe that any of the documents or records required to be maintained pursuant to this section may be lost or discarded due to dissolution or termination of Service Provider’s business, City may, by written request, require that custody of such documents or records be given to the City. Access to such documents and records shall be granted to City, as well as to its successors-in-interest and authorized representatives.

SECTION 8. INDEPENDENT CONTRACTOR.
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(a) Service Provider is and shall at all times remain a wholly independent contractor and not an officer, employee or agent of City. Service Provider shall have no authority to bind City in any manner, nor to incur any obligation, debt or liability of any kind on behalf of or against City, whether by contract or otherwise, unless such authority is expressly conferred under this Agreement or is otherwise expressly conferred in writing by City.
(b) The personnel performing the Services under this Agreement on behalf of Service Provider shall at all times be under Service Provider’s exclusive direction and control. Neither City, nor any elected or appointed boards, officers, officials, employees or agents of City, shall have control over the conduct of Service Provider or any of Service Provider’s officers, employees, or agents except as set forth in this Agreement. Service Provider shall not at any time or in any manner represent that Service Provider or any of Service Provider’s officers, employees, or agents are in any manner officials, officers, employees or agents of City.
(c) Neither Service Provider, nor any of Service Provider’s officers, employees or agents, shall obtain any rights to retirement, health care or any other benefits which may otherwise accrue to City’s employees. Service Provider expressly waives any claim Service Provider may have to any such rights.

SECTION 9. STANDARD OF PERFORMANCE.

Service Provider represents and warrants that it has the qualifications, experience and facilities necessary to properly perform the Services required under this Agreement in a thorough, competent and professional manner. Service Provider shall at all times faithfully, competently and to the best of its ability, experience and talent, perform all Services. In meeting its obligations under this Agreement, Service Provider shall employ, at a minimum, generally accepted standards and practices utilized by persons engaged in providing services similar to the Services required of Service Provider under this Agreement. In addition to the general standards of performance set forth this section, additional specific standards of performance and performance criteria may be set forth in Exhibit “A” “Scope of Work” that shall also be applicable to Service Provider’s work under this Agreement. Where there is a conflict between a general and a specific standard of performance or performance criteria, the specific standard or criteria shall prevail over the general.

SECTION 10. COMPLIANCE WITH APPLICABLE LAWS; PERMITS AND LICENSES.

Service Provider shall keep itself informed of and comply with all applicable federal, state and local laws, statutes, codes, ordinances, regulations and rules in effect during the term of this Agreement. Service Provider shall obtain any and all licenses, permits and authorizations necessary to perform the Services set forth in this Agreement.

The service provider shall provide a hazard assessment upon request to the City. Neither City, nor any elected or appointed boards, officers, officials, employees or agents of City, shall be liable, at law or in equity, as a result of any failure of Service Provider to comply with this section.
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SECTION 11. PREVAILING WAGE LAWS
It is the understanding of City and Service Provider that California prevailing wage laws do not apply to this Agreement because the Agreement does not involve any of the following services subject to prevailing wage rates pursuant to the California Labor Code or regulations promulgated thereunder: Construction, alteration, demolition, installation, or repair work performed on public buildings, facilities, streets or sewers done under contract and paid for in whole or in part out of public funds. In this context, “construction" includes work performed during the design and preconstruction phases of construction including, but not limited to, inspection and land surveying work.

SECTION 12. NONDISCRIMINATION.

Service Provider shall not discriminate, in any way, against any person on the basis of race, color, religious creed, national origin, ancestry, sex, age, physical handicap, medical condition or marital status in connection with or related to the performance of this Agreement.

SECTION 13. UNAUTHORIZED ALIENS.

Service Provider hereby promises and agrees to comply with all of the provisions of the Federal Immigration and Nationality Act, 8 U.S.C.A. §§ 1101, et seq., as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein.

Should Service Provider so employ such unauthorized aliens for the performance of the Services and should the any liability or sanctions be imposed against City for such use of unauthorized aliens, Service Provider hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed, together with any and all costs, including attorneys' fees, incurred by City.

SECTION 14. CONFLICTS OF INTEREST.
(a) Service Provider covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Service Provider’s performance of the Services. Service Provider further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the City Manager. Service Provider agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.
(b) City understands and acknowledges that Service Provider is, as of the date of execution of this Agreement, independently involved in the performance of non-related services for other governmental agencies and private parties. Service Provider is unaware of any stated position of City relative to such projects. Any future position of City on such projects shall not be considered a conflict of interest for purposes of this section. (c) City understands and acknowledges that Service Provider will perform non- related services for other governmental agencies and private Parties following the 1062
completion of the Services under this Agreement. Any such future service shall not be considered a conflict of interest for purposes of this section.

SECTION 15. CONFIDENTIAL INFORMATION; RELEASE OF INFORMATION. (a) All information gained or work product produced by Service Provider in performance of this Agreement shall be considered confidential, unless such information is in the public domain or already known to Service Provider. Service Provider shall not release or disclose any such information or work product to persons or entities other than City without prior written authorization from the City Manager, except as may be required by law.
(b) Service Provider, its officers, employees, agents or subcontractors, shall not, without prior written authorization from the City Manager or unless requested by the City Attorney of City, voluntarily provide declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered "voluntary" provided Service Provider gives City notice of such court order or subpoena.
(c) If Service Provider, or any officer, employee, agent or subcontractor of Service Provider, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Service Provider for any damages, costs and fees, including attorney's fees, caused by or incurred as a result of Service Provider’s conduct.

Service Provider shall promptly notify City should Service Provider, its officers, employees, agents or subcontractors, be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed thereunder. City retains the right, but has no obligation, to represent Service Provider or be present at any deposition, hearing or similar proceeding. Service Provider agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Service Provider. However, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response. Service Provider shall not be held criminally or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret that is made in confidence to a Federal, State, or local government official or to an attorney solely for the purpose of reporting or investigating a suspected violation of law or for the disclosure of a trade secret that is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.

SECTION 16. INDEMNIFICATION.

A. General
(1) Indemnification for Professional Liability. Where the law establishes a professional standard of care for Service Provider’s services, to the fullest extent permitted by law, Service Provider shall indemnify, protect, defend and hold harmless 1063
City and any and all of its officials, employees and agents (“Indemnified Parties”) from and against any and all liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, including attorney’s fees and costs, court costs, interest, defense costs, and expert witness fees) arise out of, are a consequence of, or are in any way attributable to, in whole or in part, any negligent or wrongful act, error or omission of Service Provider, or by any individual or entity for which Service Provider is legally liable, including but not limited to officers, agents, employees or sub-contractors of Service Provider, in the performance of professional services under this Agreement.
(2) Indemnification for Other than Professional Liability. Other than in the performance of professional services and to the full extent permitted by law, Service Provider shall indemnify, protect, defend and hold harmless City, and any and all of its employees, officials and agents from and against any liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, including attorney’s fees and costs, court costs, interest, defense costs, and expert witness fees), where the same arise out of, are a consequence of, or are in any way attributable to, in whole or in part, the performance of this Agreement by Service Provider, or by any individual or entity for which Service Provider is legally liable, including but not limited to officers, agents, employees or sub-contractors of Service Provider. (3) Indemnification from Sub-Service Providers. Service Provider agrees to obtain executed indemnity agreements with provisions identical to those set forth in this section from each and every sub-Service Provider or any other person or entity involved by, for, with or on behalf of Service Provider in the performance of this Agreement naming the Indemnified Parties as additional indemnitees. In the event Service Provider fails to obtain such indemnity obligations from others as required herein, Service Provider agrees to be fully responsible according to the terms of this section. Failure of City to monitor compliance with these requirements imposes no additional obligations on City and will in no way act as a waiver of any rights hereunder. This obligation to indemnify and defend City as set forth herein is binding on the successors, assigns or heirs of Service Provider and shall survive the termination of this Agreement or this section. (4) City’s Negligence. The provisions of this section do not apply to claims occurring as a result of City’s sole negligence. The provisions of this section shall not release City from liability arising from gross negligence or willful acts or omissions of City or any and all of its officials, employees and agents.

B. Design Professional Indemnification
To the extent Service Provider or any sub-consultants are Design Professionals as defined in Civil Code Section 2782.8, the following indemnification provisions shall apply:
(1) Indemnification by Design Professional. Where the services to be provided by Design Professional under this Agreement are design professional services, as that 1064
term is defined under Civil Code Section 2782.8, Design Professional agrees to indemnify, defend and hold harmless, the City, its officers, officials, employees and volunteers from any and all claims, demands, costs or liability that actually or allegedly arise out of, or pertain to, or relate to the negligence, recklessness or willful misconduct of Design Professional and its agents in the performance of services under this contract, but this indemnity does not apply to liability for damages for bodily injury, property damage or other loss, arising from the sole negligence, active negligence or willful misconduct by the City, its officers, official employees, and volunteers. If it is finally adjudicated that liability is caused by the comparative active negligence or willful misconduct of the City, then Design Professional’s indemnification and defense obligations shall be reduced in proportion to the established comparative liability of the City and shall not exceed the Design Professional’s proportionate percentage of fault. (2) As respects all acts or omissions which do not arise directly out of the performance of design professional services, including but not limited to those acts or omissions normally covered by general and automobile liability insurance, Design Professional agrees to indemnity, defend and hold harmless the City, its officers officials, employees and volunteers for an against any claim, demands, losses, liability of any kind or nature arising out of or in connection with the Design Professional's performance or failure to perform under the terms of this contract, excepting those which arise out of the active negligence, sole negligence or willful misconduct of the City, its officers, officials, employees and volunteers.
(3) Indemnification from Sub-consultants. Design Professional agrees to obtain executed indemnity agreements with provisions identical to those set forth here in this section from each and every sub-consultant, sub-contractor or any other person or entity involved by, for, with or on behalf of Design Professional in the performance of this Agreement naming the Indemnified Parties as additional indemnitees. In the event Design Professional fails to obtain such indemnity obligations from others as required here, Design Professional agrees to be fully responsible according to the terms of this section. Failure of City to monitor compliance with these requirements imposes no additional obligations on City and will in no way act as a waiver of any rights hereunder.

This obligation to indemnify and defend City as set forth herein is binding on the successors, assigns or heirs of Design Professional and shall survive the termination of this Agreement or this section.
(4) City's Negligence. The provisions of this section do not apply to Claims occurring as a result of City’s sole negligence. The provisions of this section shall not release City from liability arising from gross negligence or willful acts or omissions of City or any and all of its officials, employees and agents.

SECTION 17. INSURANCE.

Service Provider agrees to obtain and maintain in full force and effect during the term of this Agreement the insurance policies set forth in Exhibit “C” “Insurance” and made a part of this Agreement. All insurance policies shall be subject to approval by City as to form and content. These requirements are subject to amendment or waiver if so approved in writing by the City Manager. Service Provider agrees to provide City with copies of 1065
required policies upon request.

SECTION 18. ASSIGNMENT.

The expertise and experience of Service Provider are material considerations for this Agreement. City has an interest in the qualifications and capability of the persons and entities who will fulfill the duties and obligations imposed upon Service Provider under this Agreement. In recognition of that interest, Service Provider shall not assign or transfer this Agreement or any portion of this Agreement or the performance of any of Service Provider’s duties or obligations under this Agreement without the prior written consent of the City. Any attempted assignment shall be ineffective, null and void, and shall constitute a material breach of this Agreement entitling City to any and all remedies at law or in equity, including termination of this Agreement pursuant to Section 20 “Termination of Agreement.” City acknowledges, however, that Service Provider, in the performance of its duties pursuant to this Agreement, may utilize sub-contractors.

SECTION 19. CONTINUITY OF PERSONNEL.

Service Provider shall make every reasonable effort to maintain the stability and continuity of Service Provider’s staff and sub-contractors, if any, assigned to perform the Services. Service Provider shall notify City of any changes in Service Provider’s staff and sub-contractors, if any, assigned to perform the Services prior to and during any such performance.

SECTION 20. TERMINATION OF AGREEMENT.
(a) City may terminate this Agreement, with or without cause, at any time by giving thirty (30) days written notice of termination to Service Provider. In the event such notice is given, Service Provider shall cease immediately all work in progress. (b) Service Provider may terminate this Agreement for cause at any time upon thirty (30) days written notice of termination to City. (c) If either Service Provider or City fail to perform any material obligation under this Agreement, then, in addition to any other remedies, either Service Provider, or City may terminate this Agreement immediately upon written notice. (d) Upon termination of this Agreement by either Service Provider or City, all property belonging exclusively to City which is in Service Provider’s possession shall be returned to City. Service Provider shall furnish to City a final invoice for work performed and expenses incurred by Service Provider, prepared as set forth in Section 4 “Compensation and Method of Payment” of this Agreement. This final invoice shall be reviewed and paid in the same manner as set forth in Section 4 “Compensation and Method of Payment” of this Agreement.

SECTION 21. DEFAULT.

In the event that Service Provider is in default under the terms of this Agreement, the City shall not have any obligation or duty to continue compensating Service Provider 1066
for any work performed after the date of default. Instead, the City may give notice to Service Provider of the default and the reasons for the default. The notice shall include the timeframe in which Service Provider may cure the default. This timeframe is presumptively thirty (30) days, but may be extended, though not reduced, if circumstances warrant. During the period of time that Service Provider is in default, the City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices. In the alternative, the City may, in its sole discretion, elect to pay some or all of the outstanding invoices during the period of default. If Service Provider does not cure the default, the City may take necessary steps to terminate this Agreement under Section 20 “Termination of Agreement.” Any failure on the part of the City to give notice of the Service Provider’s default shall not be deemed to result in a waiver of the City’s legal rights or any rights arising out of any provision of this Agreement.

SECTION 22. EXCUSABLE DELAYS.

Service Provider shall not be liable for damages, including liquidated damages, if any, caused by delay in performance or failure to perform due to causes beyond the control of Service Provider. Such causes include, but are not limited to, acts of God, acts of the public enemy, acts of federal, state or local governments, acts of City, court orders, fires, floods, epidemics, strikes, embargoes, and unusually severe weather. The term and price of this Agreement shall be equitably adjusted for any delays due to such causes.

SECTION 23. COOPERATION BY CITY.

All public information, data, reports, records, and maps as are existing and available to City as public records, and which are necessary for carrying out the Services shall be furnished to Service Provider in every reasonable way to facilitate, without undue delay, the Services to be performed under this Agreement.

SECTION 24. NOTICES.

All notices required or permitted to be given under this Agreement shall be in writing and shall be personally delivered, or sent by telecopier or certified mail, postage prepaid and return receipt requested, addressed as follows:

To City: City of Wildomar
Attn: City Manager
23873 Clinton Keith Rd., Suite 201
Wildomar, CA 92595
To Service Provider:__________________________
__________________________
__________________________
__________________________
Notice shall be deemed effective on the date personally delivered or transmitted 1067
by facsimile or, if mailed, three (3) days after deposit of the same in the custody of the United States Postal Service.

SECTION 25. AUTHORITY TO EXECUTE.

Each of the signatories hereto represents and warrants that he or she is competent and authorized to enter into this Agreement on behalf of the Party for whom he or she purports to sign. Each Party hereto agrees to defend, indemnify, and hold harmless the other Parties hereto against all claims, suits, actions, and demands, including necessary expenses of investigation and reasonable attorneys' fees and costs, arising out of claims that its signatory was not competent or so authorized to execute this Agreement.

SECTION 26. ADMINISTRATION AND IMPLEMENTATION.

This Agreement shall be administered and executed by the City Manager or his or her designated representative. The City Manager shall have the authority to issue interpretations and to make amendments to this Agreement, including amendments that commit additional funds, consistent with Section 28 “Amendment” and the City Manager’s contracting authority under the Wildomar Municipal Code.

SECTION 27. BINDING EFFECT.

This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the Parties.

SECTION 28. AMENDMENT.

No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the Service Provider and by the City. The City Manager shall have the authority to approve any amendment to this Agreement if the total compensation under this Agreement, as amended, would not exceed the City Manager’s contracting authority under the Wildomar Municipal Code. The Parties agree that the requirement for written modifications cannot be waived and that any attempted waiver shall be void. The City’s City Manager may, but is not required to, make minor amendments not affecting substantive terms without further authorization from the City Council. The City Council hereby authorizes the City Manager to execute any such amendments as required by this Agreement or that do not otherwise reduce City’s rights under this Agreement. All other amendments shall be approved by the City Council.

SECTION 29. WAIVER.

Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision nor a waiver of any subsequent breach or violation of any provision of this Agreement. Acceptance by City of any work or services by Service Provider shall not constitute a waiver of any of the provisions of this Agreement.

SECTION 30. LAW TO GOVERN; VENUE.
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This Agreement shall be interpreted, construed and governed according to the laws of the State of California. In the event of litigation between the Parties, venue in state trial courts shall lie exclusively in the County of Riverside, California. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in Riverside.

SECTION 31. ATTORNEYS FEES, COSTS AND EXPENSES.

In the event litigation or other proceeding is required to enforce or interpret any provision of this Agreement, the prevailing Party in such litigation or other proceeding shall be entitled to an award of reasonable attorney's fees, costs and expenses, in addition to any other relief to which it may be entitled.

SECTION 32. ENTIRE AGREEMENT.

This Agreement, including the attached Exhibits "A" through "C", is the entire, complete, final and exclusive expression of the Parties with respect to the matters addressed therein and supersedes all other agreements or understandings, whether oral or written, or entered into between Service Provider and City prior to the execution of this Agreement. No statements, representations or other agreements, whether oral or written, made by any Party which are not embodied herein shall be valid and binding.

SECTION 33. SEVERABILITY.

If any term, condition or covenant of this Agreement is declared or determined by any court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement shall not be affected thereby and the Agreement shall be read and construed without the invalid, void or unenforceable provision(s).

SECTION 34. CONFLICTING TERMS.

Except as otherwise stated herein, if the terms of this Agreement conflict with the terms of any Exhibit hereto, or with the terms of any document incorporated by reference into this Agreement, the terms of this Agreement shall control. 1069
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first-above written.

CITY OF WILDOMAR
___________________________
Daniel A. York
City Manager
ATTEST:
___________________________
Janet Morales, CMC
City Clerk

APPROVED AS TO FORM
_______________________________
Thomas D. Jex
City Attorney
___________________________________
By: By:
______________________________
Its: ______________________________ Its: ____________________________ 1070
NOTE: SERVICE PROVIDER’S SIGNATURES SHALL BE DULY NOTARIZED,

AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY

BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION,

OR OTHER RULES OR REGULATIONS APPLICABLE TO SERVICE
PROVIDER’S BUSINESS ENTITY.
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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

STATE OF CALIFORNIA
COUNTY OF ________________
On ______________, before me, ________________, personally appeared ________________, proved to me on the basis of satisfactory evidence to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature: _____________________________________
Signature of Notary Public Place Notary Seal Above

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT

INDIVIDUAL

CORPORATE OFFICER
_______________________________

TITLE(S)

PARTNER(S) LIMITED

GENERAL

ATTORNEY-IN-FACT

TRUSTEE(S)

GUARDIAN/CONSERVATOR
OTHER____________________________
SIGNER IS REPRESENTING:
(NAME OF PERSON(S) OR ENTITY(IES))
_________________________________________
_________________________________________
___________________________________

TITLE OR TYPE OF DOCUMENT
___________________________________

NUMBER OF PAGES
___________________________________

DATE OF DOCUMENT
___________________________________

SIGNER(S) OTHER THAN NAMED ABOVE
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I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature: _____________________________________
Signature of Notary Public Place Notary Seal Above

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT

INDIVIDUAL

CORPORATE OFFICER
_______________________________

TITLE(S)

PARTNER(S) LIMITED

GENERAL

ATTORNEY-IN-FACT

TRUSTEE(S)

TITLE OR TYPE OF DOCUMENT
___________________________________

NUMBER OF PAGES
___________________________________

DATE OF DOCUMENT
___________________________________

SIGNER(S) OTHER THAN NAMED ABOVE
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EXHIBIT "A"

SCOPE OF SERVICES
I. Service Provider will perform the following Services:

II. As part of the Services, Service Provider will prepare and deliver the following tangible work products to the City:

III. During performance of the Services, Service Provider will keep the City appraised of the status of performance by delivering the following status reports:

IV. The tangible work products and status reports will be delivered to the City pursuant to the following schedule:

C.
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D.

V. Service Provider will utilize the following personnel to accomplish the Services:

VI. Service Provider will utilize the following subcontractors to accomplish the Services:

D.
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EXHIBIT "B"

COMPENSATION
I. Service Provider shall use the following rates of pay in the performance of the Services:

A. [job] [hourly rate]
B. [job] [hourly rate]
C. [job] [hourly rate]
D. [job] [hourly rate]
E. [job] [hourly rate]
II. Service Provider may utilize sub-contractors as indicated in this Agreement.

The hourly rate for any subcontractor is not to exceed $_______ per hour without written authorization from the City Manager or his designee.

IV. The total compensation for the Services shall not exceed $_________, as provided in Section 4 “Compensation and Method of Payment” of this Agreement. 1076
EXHIBIT "C"
Insurance Requirements
Service Provider shall procure and maintain, for the duration of the Agreement, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Service Provider, its agents, representatives, or employees.

MINIMUM SCOPE AND LIMIT OF INSURANCE
Coverage shall be at least as broad as:

1. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal & advertising injury with limits no less than $1,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.

2. Automobile Liability: Insurance Services Office Form Number CA 0001 covering, Code 1 (any auto), or if Service Provider has no owned autos, Code 8 (hired) and 9 (non- owned), with limit no less than $1,000,000 per accident for bodily injury and property damage.

3. Workers’ Compensation insurance as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease.
(Not required if Service Provider provides written verification it has no employees)

4. Professional Liability (Errors and Omissions) Insurance appropriate to the Service Provider’s profession, with limit no less than $2,000,000 per occurrence or claim, $2,000,000 aggregate. The Retroactive Date must be shown and must be before the date of the Agreement or the beginning of Agreement work. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the Agreement of work. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the Agreement effective date, the Service Provider must purchase “extended reporting” coverage for a minimum of five (5) years after completion of Agreement work. A copy of the claims reporting requirements must be submitted to the City for review.

If the Service Provider maintains broader coverage and/or higher limits than the minimums shown above, the City requires and shall be entitled to the broader coverage and/or higher limits maintained by the Service Provider. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.

Other Insurance Provisions
1077
The insurance policies are to contain, or be endorsed to contain, the following provisions:

The City, its officers, officials, employees, and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of the Service Provider including materials, parts, or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Service Provider’s insurance (at least as broad as ISO Form CG 20 10 11 85 or both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 forms if later revisions used).

Primary Coverage
For any claims related to this Agreement, the Service Provider’s insurance coverage shall be primary insurance coverage at least as broad as ISO CG 20 01 04 13 as respects the City, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Service Provider’s insurance and shall not contribute with it.

Notice of Cancellation
Service Provider shall provide immediate written notice if (1) any of the required insurance policies is terminated; (2) the limits of any of the required polices are reduced; (3) or the deductible or self-insured retention is increased. In the event of any cancellation or reduction in coverage or limits of any insurance, Service Provider shall forthwith obtain and submit proof of substitute insurance.

Waiver of Subrogation
Service Provider hereby grants to City a waiver of any right to subrogation which any insurer of said Service Provider may acquire against the City by virtue of the payment of any loss under such insurance. Service Provider agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer. However, the Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the City for all work performed by the Service Provider, its employees, agents and subcontractors.

Self-Insured Retentions
Self-insured retentions must be declared to and approved by the City. The City may require the Service Provider to provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self-insured retention may be satisfied by either the named insured or City.

Acceptability of Insurers
Insurance is to be placed with insurers authorized to conduct business in the state with a current A.M. Best’s rating of no less than A:VII, unless otherwise acceptable to the City. 1078
Verification of Coverage
Service Provider shall furnish the City with original Certificates of Insurance including all required amendatory endorsements (or copies of the applicable policy language effecting coverage required by this clause) and a copy of the Declarations and Endorsement Page of the CGL policy listing all policy endorsements to City before work begins. However, failure to obtain the required documents prior to the work beginning shall not waive the Service Provider’s obligation to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time.

Subcontractors
Service Provider shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Service Provider shall ensure that City is an additional insured on insurance required from subcontractors.

Special Risks or Circumstances
City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances. 1079
Contract #2 - BMP Facilities Agreement (CFD Maintained BMPs) 1080

STORMWATER MANAGEMENT/BMP

FACILITIES AGREEMENT
THIS AGREEMENT, made and entered into this ___ day of _______, 20__ , by and between ____________ (the "Landowner"), and the City of Wildomar, a municipal corporation (the "City").

RECITALS
WHEREAS, the Landowner is the owner of certain real property described as ______ as recorded by deed in the land records of Riverside County, California, Deed Book_______, Page _______, (the "Property").

WHEREAS, the Landowner is proceeding to build on and develop the Property; and WHEREAS, the Site Plan/Subdivision Plan known as _________, as approved or to be approved by the City (the "Plan"), which is incorporated herein by reference, requires Landowner to prepare and implement a City-approved Water Quality Management Plan (the “WQMP”) that provides for stormwater quality treatment within the confines of the Property; and
WHEREAS, the City and the Landowner, its successors and assigns, including any homeowners association, agree that the health, safety, and welfare of the residents of Wildomar, California, require that the Landowner, its successors and assigns, including but not limited to any homeowners association, construct and maintain stormwater management/Best Management Practices facilities called for by the WQMP on the Property (the “Facilities”); and WHEREAS, Landowner intends to annex the Property into the City’s Community Facilities District No. 2013-1 (Services) (the “CFD”) for the purposes of having the City maintain and inspect one or more of the Facilities.

NOW, THEREFORE, in consideration of the foregoing recitals, the mutual covenants contained herein, and the following terms and conditions, the parties hereto agree as follows:

1. The Facilities shall be constructed by the Landowner, its successors and assigns, in accordance with the plans and specifications identified in the Plan.

2. The Landowner, its successors and assigns, including any homeowners association, shall adequately maintain the Facilities, including all pipes and channels built to convey stormwater to the Facilities, as well as all structures, improvements, and vegetation provided to control the quantity and quality of the stormwater. Adequate maintenance is herein defined as good working condition so that the Facilities are performing their designed functions.

3. Upon the completion of the annexation of all or a portion of the Property into the CFD and upon the commencement of CFD services for the development, Landowner’s obligation to maintain the Facilities specified in the annexation proceedings and resolutions as being maintained through the CFD (the “CFD Maintained Facilities”) shall cease. If the Property is subsequently deannexed or otherwise removed from the CFD then the Landowner, its successors and assigns, including any homeowners association, shall resume all of the obligations of this 1081
agreement, including but not limited to the duty to maintain and inspect, with respect to the CFD Maintained Facilities.

4. The Landowner, its successors and assigns, shall inspect the Facilities and submit an inspection report annually to the City. The purpose of the inspection is to assure safe and proper functioning of the Facilities. The inspection shall cover the entire Facilities, including but not limited to berms, outlet structures, pond areas, and access roads. Deficiencies in the Facilities shall be noted in the inspection report. This section does not apply to any CFD Maintained Facilities.

5. The Landowner, its successors and assigns, hereby grant permission to the City, its authorized agents and employees, to enter upon the Property and to inspect the Facilities whenever the City deems necessary. The City shall provide the Landowner, its successors and assigns, copies of the inspection findings and a directive to commence repairs, if necessary. This section does not apply to any CFD Maintained Facilities.

6. In the event the Landowner, its successors and assigns, fails to adequately maintain the Facilities in good working condition acceptable to the City, the City may enter upon the Property and take whatever steps necessary to correct deficiencies identified in the inspection report and to charge the costs of such repairs to the Landowner, its successors and assigns. This provision shall not be construed to allow the City to erect any structure of permanent nature on the land of the Landowner outside of the easement for the Facilities. It is expressly understood and agreed that the City is under no obligation to routinely maintain or repair the Facilities, and in no event shall this Agreement be construed to impose any such obligation on the City. This section does not apply to any CFD Maintained Facilities.

7. The Landowner, its successors and assigns, will perform the work necessary to keep the Facilities in good working order. In the event a maintenance schedule for the Facilities (including sediment removal) is contained in the Plans, Landowner will follow that schedule.

This section does not apply to any CFD Maintained Facilities.

8. In the event the City, pursuant to this Agreement, performs work of any nature, or expends any funds in performance of said work for labor, use of equipment, supplies, materials, and the like, the Landowner, its successors and assigns, shall reimburse the City upon demand, within thirty (30) days of receipt thereof for all actual costs incurred by the City hereunder.

9. This Agreement imposes no liability of any kind whatsoever on the City and the Landowner agrees to hold the City harmless, defend and indemnify from any liability 1082
whatsoever, including negligence, in the event the Facilities fail to operate properly.

10. This Agreement shall be recorded among the land records of Riverside County, California, and shall constitute a covenant running with the land, and shall be binding on the Landowner, its administrators, executors, assigns, heirs and any other successors in interests, including any homeowners association

11. The City’s City Manager may, but is not required to, make minor amendments not affecting substantive terms without further authorization from the City Council. The City Council hereby authorizes the City Manager to execute any such amendments as required by this Agreement or that do not otherwise reduce City’s rights under this Agreement.

12. Each of the signatories hereto represents and warrants that he or she is competent and authorized to enter into this Agreement on behalf of the Party for whom he or she purports to sign. Each Party hereto agrees to defend, indemnify, and hold harmless the other Parties hereto against all claims, suits, actions, and demands, including necessary expenses of investigation and reasonable attorneys' fees and costs, arising out of claims that its signatory was not competent or so authorized to sign this Agreement.

WITNESS the following signatures and seals:
_______________________________________
Company/Corporation/Partnership Name (Seal)
By:____________________________________
Name:__________________________________
Title:____________________________________
_______________________________________
Company/Corporation/Partnership Name
By:____________________________________
Name:__________________________________
Title:____________________________________
1083
NOTE: SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE

ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY

THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES
OR REGULATIONS APPLICABLE TO THE BUSINESS ENTITY.

CITY OF WILDOMAR
______________________________ _________________
Dan York Date
City Manager
ATTEST
______________________________ _________________
Janet Morales Date
City Clerk

APPROVED AS TO FORM
______________________________ _________________
Thomas D. Jex Date
City Attorney
1084
Contract #3 - BMP Facilities Agreement (Privately Maintained BMPs) 1085

STORMWATER MANAGEMENT/BMP

WHEREAS, the Landowner is proceeding to build on and develop the Property; and WHEREAS, the Site Plan/Subdivision Plan known as _________, as approved or to be approved by the City (the "Plan"), which is incorporated herein by reference, provides for stormwater quality treatment within the confines of the property; and WHEREAS, the City and the Landowner, its successors and assigns, including any homeowners association, agree that the health, safety, and welfare of the residents of Wildomar, California, require that the Landowner, its successors and assigns, including but not limited to any homeowners association, construct and maintain stormwater management/Best Management Practices facilities (the “Facilities”) on the Property.

NOW, THEREFORE, in consideration of the foregoing recitals, the mutual covenants contained herein, and the following terms and conditions, the parties hereto agree as follows:

13. The Facilities shall be constructed by the Landowner, its successors and assigns, in accordance with the plans and specifications identified in the Plan.

14. The Landowner, its successors and assigns, including any homeowners association, shall adequately maintain the Facilities, including all pipes and channels built to convey stormwater to the Facilities, as well as all structures, improvements, and vegetation provided to control the quantity and quality of the stormwater. Adequate maintenance is herein defined as good working condition so that the Facilities are performing their designed functions.

15. The Landowner, its successors and assigns, shall inspect the Facilities and submit an inspection report annually to the City. The purpose of the inspection is to assure safe and proper functioning of the Facilities. The inspection shall cover the entire Facilities, including but not limited to berms, outlet structures, pond areas, and access roads. Deficiencies in the Facilities shall be noted in the inspection report.

16. The Landowner, its successors and assigns, hereby grant permission to the City, its authorized agents and employees, to enter upon the Property and to inspect the Facilities whenever the City deems necessary. The City shall provide the Landowner, its successors and assigns, copies of the inspection findings and a directive to commence repairs, if necessary. 1086

17. In the event the Landowner, its successors and assigns, fails to adequately maintain the Facilities in good working condition acceptable to the City, the City may enter upon the Property and take whatever steps necessary to correct deficiencies identified in the inspection report and to charge the costs of such repairs to the Landowner, its successors and assigns. This provision shall not be construed to allow the City to erect any structure of permanent nature on the land of the Landowner outside of the easement for the Facilities. It is expressly understood and agreed that the City is under no obligation to routinely maintain or repair the Facilities, and in no event shall this Agreement be construed to impose any such obligation on the City.

18. The Landowner, its successors and assigns, will perform the work necessary to keep the Facilities in good working order. In the event a maintenance schedule for the Facilities (including sediment removal) is contained in the Plans, Landowner will follow that schedule.

19. In the event the City, pursuant to this Agreement, performs work of any nature, or expends any funds in performance of said work for labor, use of equipment, supplies, materials, and the like, the Landowner, its successors and assigns, shall reimburse the City upon demand, within thirty (30) days of receipt thereof for all actual costs incurred by the City hereunder.

20. This Agreement imposes no liability of any kind whatsoever on the City and the Landowner agrees to hold the City harmless, defend and indemnify from any liability whatsoever, including negligence, in the event the Facilities fail to operate properly.

21. This Agreement shall be recorded among the land records of Riverside County, California, and shall constitute a covenant running with the land, and shall be binding on the Landowner, its administrators, executors, assigns, heirs and any other successors in interests, including any homeowners association.

22. The City’s City Manager may, but is not required to, make minor amendments not affecting substantive terms without further authorization from the City Council. The City Council hereby authorizes the City Manager to execute any such amendments as required by this Agreement or that do not otherwise reduce City’s rights under this Agreement.

23. Each of the signatories hereto represents and warrants that he or she is competent and authorized to enter into this Agreement on behalf of the Party for whom he or she purports to sign. Each Party hereto agrees to defend, indemnify, and hold harmless the other Parties hereto against all claims, suits, actions, and demands, including necessary expenses of investigation and reasonable attorneys' fees and costs, arising out of claims 1087
that its signatory was not competent or so authorized to sign this Agreement.

WITNESS the following signatures and seals:
_______________________________________
Company/Corporation/Partnership Name (Seal)
By:____________________________________
Name:__________________________________
Title:____________________________________
_______________________________________
Company/Corporation/Partnership Name
By:____________________________________
Name:__________________________________
Title:____________________________________
NOTE: SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE

ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY

THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES
OR REGULATIONS APPLICABLE TO THE BUSINESS ENTITY.

CITY OF WILDOMAR
______________________________ _________________
Dan York Date
City Manager
ATTEST
______________________________ _________________
Janet Morales Date
City Clerk
1088

APPROVED AS TO FORM
______________________________ _________________
Thomas D. Jex Date
City Attorney
1089
Contract #4 – Grading Agreement
1090

AGREEMENT

FOR GRADING PROJECTS
This Agreement, made and entered into by and between the City of Wildomar, Riverside County, State of California, hereinafter called City,
and_________________________________________________________________________ _____________________, hereinafter called Landowner.

WITNESSETH
FIRST: Landowner, for and in consideration of the approval of a grading plan and the issuance of a grading permit on that certain land division known as
____________________________________________________________________ (the “Property”) agrees, at Landowner's own cost and expense, to furnish all labor, equipment, and material necessary to perform and complete in a good and workmanlike manner, within 12 months from the date this agreement is executed, said grading and all work incidental thereto (the “Work”) in accordance with the grading plans for the development of the Property which have been approved by the City Engineer, and are on file in the Office of the City of Wildomar, Public Works/Engineering Department, and the standards set forth in Wildomar Municipal Code Chapter 15, as it may be amended from time to time, which are expressly made a part of this agreement. Landowner further agrees to comply with any and all laws, regulations and permits pertaining to water quality applicable to the Work, including but not limited to the Clean Water Act, the Porter-Cologne Water Quality Control Act, and all permits and regulations issued pursuant thereto. All of the above required work shall be done under the inspection of and to the satisfaction of the City Engineer and shall not be deemed complete until approval of the Work is made by the City Engineer. The estimated cost of said Work is the sum of ____________________________________________________________________________________D ollars ($ ), which covers [PICK ONE: rough grading only, precise (fine) grading only, both rough and precise (fine) grading.]
SECOND: Landowner agrees to pay to the City the actual cost of such inspections of the Work as may be required by the City Engineer. Landowner further agrees that if suit is brought upon this agreement or any security guaranteeing the completion of the Work, all costs and reasonable expenses and fees incurred by the City in successfully enforcing such obligations shall be paid by Landowner, including reasonable attorney's fees, and that upon entry of judgment, such costs, expenses, and fees shall be taxed as costs and included in any judgment rendered.

THIRD: City shall not, nor shall any officer or employee of City, be liable or responsible for any accident, loss or damage happening or occurring to the Work specified in this agreement prior to the completion and approval hereof, nor shall City or any officer or employee thereof be liable for any persons or property injured by reason of the acts or omissions of Landowner, his agents or employees in the performance of the Work, and all of said liabilities are assumed by Landowner. Landowner agrees to protect, defend and hold harmless City and the officers and employees thereof from all loss, liability or claim because of, or arising out of the acts or omissions of Landowner, his agents and employees, in the performance of this Agreement. Separately, and not as a limitation on the foregoing duty to protect, defend, and indemnify City, Landowner agrees, as required by Section 13.12.090 of the Wildomar Municipal Code, to protect, defend and indemnify City, or any officer or employee thereof, in any administrative or judicial enforcement action by the State Water Board, Regional Water Quality Control Board, or any other federal, state or local agency, as well as in any action brought against the City by a non-governmental organization relating to one or more alleged violations of the NPDES permit or other 1091
federal, state or local water quality requirements by Landowner, his agents or employees, including but not limited to any and all costs, attorneys’ fees, fines or penalties.

FOURTH: The Landowner hereby grants to the City, and to any agent or employee of the City, the irrevocable permission to enter upon the Property for the purpose of inspecting or completing the Work. This permission shall terminate in the event that Landowner has completed the Work within the time specified or any extension thereof granted by the City Engineer.

FIFTH: Landowner agrees at all times, up to the completion and approval of the Work by the City Engineer, to give good and adequate warning to the traveling public of each and every dangerous condition caused by the Work, and to protect the traveling public from such defective or dangerous conditions.

SIXTH: The Landowner, or his agents and employees shall give notice to the City Engineer at least 48 hours before beginning the Work and shall furnish the City Engineer all reasonable facilities for obtaining full information respecting the progress and manner of the Work.

SEVENTH: If the Landowner, or his agents or employees, neglects, refuses, or fails to prosecute the Work with such diligence as to insure its completion within the specified time, or within such extensions of time as have been granted by the City Engineer, or if the Landowner violates, neglects, refuses, or fails to perform satisfactorily any of the provisions of the plans and specifications for the Work, the Landowner shall be in default of this agreement. The City Engineer shall have the power to terminate all rights of the Landowner because of such default. The determination of the City Engineer of the question as to whether any of the terms of this agreement or the plans and specifications for the Work have been violated or have not been performed satisfactorily shall be conclusive upon the Landowner, and any and all parties who may have any interest in the agreement or any portion thereof. The foregoing provisions of this section shall be in addition to all rights and remedies available to the City under law.

EIGHTH: The Landowner agrees to file with City prior to the date this agreement is executed a good and sufficient security as provided in subsections (1), (2) and (3) of subdivision (a) of Section 66499 of the Government Code in any amount not less than the estimated cost of the Work for the faithful performance of the terms and conditions of this agreement, except that when the estimated cost of said Work is $2,500 or less, the security shall be a deposit of cash or its equivalent as determined acceptable by the City Engineer. Landowner further agrees that if in the opinion of the City Engineer the security becomes insufficient, Landowner agrees to renew each and every security with good and sufficient sureties or increase the amount of the security, within ten days after being notified by the City Engineer that the sureties or amounts are insufficient.

Notwithstanding any other provision herein, if landowner fails to take such action as is necessary to comply with said notice, he shall be in default of this agreement unless the Work is completed within 90 days of the date on which the City Engineer notifies the Landowner of the insufficiency of the sureties or the amount of the bonds or both.

NINTH: It is further agreed by and between the parties hereto, including the surety or sureties on the bonds or the issuers of any instruments or letters or credit securing this agreement that, in the event it is deemed necessary to extend the time of completion of the Work, extensions of time may be granted from time to time by the City Engineer either at his own option or upon request of the Landowner, and such extensions shall in no way affect the validity of this agreement or release the surety or sureties on said bonds. Landowner further agrees to maintain the aforesaid bond or bonds or the issuance of any 1092
instruments or letters of credit in full force and effect during the terms of this agreement, including any extensions of time as may be granted thereon.

TENTH: When the Work described in the first paragraph of this agreement consists of only rough or precise grading, upon the satisfactory completion and final approval of said Work by the City Engineer, the entire amount of the security applicable thereto shall be released or returned by City to the Landowner.

ELEVENTH: This agreement shall be binding upon the Landowner and his heirs, executors, administrators, successors or assigns, all and each both jointly and severally.

TWELFTH: It is understood and agreed by the parties hereto that if any part, term or provision of this agreement is determined by the courts to be unlawful and void, the validity of the remaining portions shall not be affected and the rights and obligations of the parties shall be construed and enforced as if the agreement did not contain the particular part, term or provision held to be invalid.

THIRTEENTH: The City's City Manager may, but is not required to, make minor amendments not affecting substantive terms without further authorization from the City Council. The City Council hereby authorizes the City Manager to execute any such amendments as required by this Agreement or that do not otherwise reduce City's rights under this Agreement.

FOURTEENTH: Any notice or notices required or permitted to be given pursuant to this agreement shall be served on the other party by mail, postage prepaid, at the following addresses:

City Landowner
City of Wildomar ____________________________________
Public Works/Engineering Department ____________________________________ 23873 Clinton Keith Rd., Suite 201 ____________________________________ Wildomar, CA 92595 ____________________________________ (951) 677-7751 Phone Number:_______________________
(951) 698-1463 Fax Number:__________________________
FIFTEENTH: Each of the signatories hereto represents and warrants that he or she is competent and authorized to enter into this Agreement on behalf of the Party for whom he or she purports to sign.

Each Party hereto agrees to defend, indemnify, and hold harmless the other Parties hereto against all claims, suits, actions, and demands, including necessary expenses of investigation and reasonable attorneys' fees and costs, arising out of claims that its signatory was not competent or so authorized to sign this Agreement.
[SIGNATURES ON THE FOLLOWING PAGE]
1093
IN WITNESS WHEREOF LANDOWNER HAS AFFIXED HIS NAME, ADDRESS AND SEAL. ____________________________________
By __________________________________
__________________________________
Date ________________________________
By __________________________________
__________________________________
Date ________________________________
City of Wildomar
By__________________________________
__________________________________
Date _________________________________
Approved as to Form:

Thomas D. Jex, City Attorney
By: ____________________________
(SIGNATURES OF LANDOWNER(S) MUST BE ACKNOWLEDGED BY A NOTARY AND EXECUTED IN DUPLICATE, WITH THE NOTARY ACKNOWLEDGMENT ATTACHED HERETO. ALL SIGNATURES TO BE INCLUDED ON THIS DOCUMENT OR IDENTIFY THIS DOCUMENT WHEN INCLUDING A SIGNATURE PAGE.) 1094
Contract #5 – Public Improvement Agreement
1095

NO FEE DOCUMENT
Government Code §6103

RECORDING REQUESTED BY
AND
WHEN RECORDED MAIL TO:

CITY OF WILDOMAR
23873 Clinton Keith Road, Suite 201
Wildomar, CA 92595
Attn: City Clerk
The Above Space For Recorder’s
Use Only
Project
Name: _______________________
Project
Address:
_______________________
_______________________
APN: _______________________
Project No.: _______________________

PUBLIC IMPROVEMENT AGREEMENT
This Public Improvement Agreement (“Agreement”) is entered into this __ day of _____________, 20__ by and between the City of Wildomar, a California municipal corporation (“City”) and ____________________, a ___________, (“Principal”). City and Principal may be individual or collectively referred to as a “party” or the “parties” to this Agreement.

RECITALS
A. Principal owns the real property located at _______________, in the City of Wildomar, California, which is more particularly described in Exhibit “A” to this Agreement (“Property”).

B. Principal has applied for and obtained certain development approvals from the City to develop the Property. The development approvals and City ordinances require Principal to construct certain public improvements and dedicate those public improvements to the City after construction is complete.

C. This Agreement memorializes the understanding between the parties regarding the terms and conditions under which Principal will construct and City will accept the required public improvements.

OPERATIVE PROVISIONS
NOW, THEREFORE, in consideration of the mutual promises and covenants made by the parties and contained here and other consideration, the value and adequacy of which are hereby acknowledged, the parties agree as follows:
1096

1. Construction of Improvements. The Principal agrees to construct and install on the Property, at the Principal’s own cost and expense, the public improvements shown on the improvement plans submitted by Principal and approved by the City as referenced and contained within this Public Improvement Agreement (“Required Improvements”).Prior to commencing any work, Principal shall, at its sole cost and expense, obtain all necessary permits and approvals and give all necessary and incidental notices required for the lawful construction of the Required Improvements and performance of Principal’s obligations under this Agreement. The Required Improvements shall be constructed in accordance with all approved maps, plans, specifications, standard drawings, and special amendments thereto on file with City, as well as all applicable federal, state, and local laws, ordinances, regulations, codes, standards, and other requirements applicable at the time work is actually commenced.

Principal shall complete the construction of the Required Improvements within twelve months of the date of this Agreement.
a. Standard of Performance. Principal and its contractors, if any, shall perform all work required to construct the Required Improvements under this Agreement in a skillful and workmanlike manner, and consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Principal represents and maintains that it or its contractors shall be skilled in the professional calling necessary to perform the work. Principal warrants that all of its employees and contractors shall have sufficient skill and experience to perform the work assigned to them, and that they shall have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the work, and that such licenses, permits, qualifications and approvals shall be maintained throughout the term of this Agreement.
b. Alterations to Improvements. All work shall be done and improvements made and completed as shown on approved plans and specifications, and any subsequent alterations thereto. If during the course of construction and installation of the Required Improvements it is determined that the public interest requires alterations in the Required Improvements, Developer shall undertake such design and construction changes as may be reasonably required by City. Any and all alterations in the plans and specifications and the Required Improvements to be completed may be accomplished without giving prior notice thereof to Developer’s surety for this Agreement. c. Fees and Charges. Principal shall, at its sole cost and expense, pay all fees, charges, and taxes arising out of construction of the Required Improvements, including, but not limited to, all plan check, design review, engineering, inspection, and other service fees, and any impact or connection fees established by City ordinance, resolution, regulation, or policy, or as established by City or as required by other governmental agencies having jurisdiction over the Required Improvements.

2. Commencement of Work. The Principal shall notify the City Engineer of the commencement of work on the Required Improvements.

3. Completion of Improvements. Upon satisfactory completion of all Required 1097
Improvements as determined by the City Engineer or his or her designee (hereafter the “City Engineer”), Principal shall offer to dedicate the Required Improvements to the City, and City agrees to accept that offer of dedication in accordance with its policies and procedures and the terms of this Agreement.

4. Title to Required Improvements. The City shall not accept the Required Improvements unless they are constructed in conformity with the approved plans and specifications, approved modifications, if any, the approved final or parcel map, and City Improvement Standards and Specifications, to the satisfaction of the City Engineer. Until such time as the Required Improvements are accepted by the City, Principal shall retain title and shall be responsible for, and bear the risk of loss to, any of the improvements constructed or installed. Title to and ownership of the Required Improvements shall vest absolutely in the City upon completion and acceptance in writing of such Required Improvements by City. The City shall not accept the Required Improvements unless title to the Required Improvements is entirely free from lien. Prior to acceptance, Principal shall supply the City with appropriate lien releases, at no cost to and in a form acceptable to the City.
a. Developer’s Notice of Completion. Upon the acceptance of the Required Improvements by City, Principal shall file with the Recorder’s Office of the County of Riverside a notice of completion for the accepted Required Improvements in accordance with Article 2 of Chapter 4 of Title 2 of Part 6 of Division 4 of the Civil Code, at which time the accepted Required Improvements shall become the sole and exclusive property of City without payment therefor.
b. City Acceptance of Public Improvements. Issuance by City of occupancy permits for any buildings or structures located on the Property shall not be construed in any manner to constitute City’s acceptance or approval of any Required Improvements.
c. Developer’s Obligation to Provide As-Built or Record Drawings.

Notwithstanding the foregoing, City may not accept any Required Improvements unless and until Principal provides one (1) set of “as-built” or record drawings or plans to the City Engineer for all such Required Improvements. The drawings shall be certified and shall reflect the condition of the Required Improvements as constructed, with all changes incorporated therein.

5. Extension of Time to Complete Improvements.
a. The City Engineer may extend the date for completing the Required Improvements. Extensions shall be granted only upon a showing of good cause by the Principal. The City Engineer shall be the sole and final judge as to whether good cause has been shown.
b. Requests for extension of the completion date shall be in writing and delivered to the City Engineer in the manner hereinafter specified for service of notices.

An extension of time, if any, shall be granted only in writing, and an oral extension shall not be valid or binding on the City.
1098
c. In the event the City Engineer extends the time of completion of the Required Improvements, such extension may be granted without notice by the City to the Principal’s surety and shall in no way release any guarantee or security given by the Principal pursuant to this Agreement, or relieve or release those providing an improvement security pursuant to this Agreement. The surety or sureties, if any, in executing the securities shall be deemed to have expressly agreed to any such extension of time.
d. In granting any extension of time, the City may require new or amended improvement security to reflect increases in the estimated costs of constructing the Required Improvements or impose other conditions to protect its interests and ensure the timely completion of the Required Improvements.

6. Inspection. Principal shall at all times maintain proper facilities and safe access for inspection of the Required Improvements by City and to the shops wherein any work is in preparation. Upon completion of the work, the Principal may request a final inspection by the City Engineer or his designee. If the City Engineer or the designated representative determines that the work has been completed in accordance with this Agreement, then the City Engineer shall certify the completion of the Required Improvements to the City. No improvements shall be finally accepted unless all aspects of the work have been inspected and determined to have been completed in accordance with the Improvement Plans and City standards. Principal shall bear all costs of plan check, inspection and certification.

7. Maintenance of Improvements. City shall not be responsible or liable for the maintenance or care of the Required Improvements until City formally approves and accepts them in accordance with its policies and procedures. City shall exercise no control over the Required Improvements until approved and accepted. Any use by any person of the Required Improvements, or any portion thereof, shall be at the sole and exclusive risk of the Principal at all times prior to City’s acceptance of the Required Improvements. Principal shall maintain all the Required Improvements in a state of good repair until they are completed by Principal and approved and accepted by City, and until the security for the performance of this Agreement is released. Maintenance shall include, but shall not be limited to, repair of pavement, curbs, gutters, sidewalks, signals, parkways, water mains, and sewers; maintaining all landscaping in a vigorous and thriving condition reasonably acceptable to City; removal of debris from sewers and storm drains; and sweeping, repairing, and maintaining in good and safe condition all streets and street improvements. It shall be Principal’s responsibility to initiate all maintenance work, but if it shall fail to do so, it shall promptly perform such maintenance work when notified to do so by City. If Principal fails to properly prosecute its maintenance obligation under this section, City may do all work necessary for such maintenance and the cost thereof shall be the responsibility of Principal and its surety under this Agreement. City shall not be responsible or liable for any damages or injury of any nature in any way related to or caused by the Required Improvements or their condition prior to acceptance. Until final acceptance of the Required Improvements, Principal shall give good and adequate warning to the public of each and every dangerous condition existing on the Property, and will take reasonable actions to protect the public from such dangerous conditions. 1099

8. Superintendence by Principal. Principal shall require each contractor and subcontractor to have a competent foreman on the job at all times when that contractor or subcontractor, or any employee or agent thereof, is performing work on the Required Improvements. In addition, Principal shall maintain an office with a telephone and Principal or a person authorized to make decisions and to act for Principal in Principal’s absence shall be available on the job site within three (3) hours of being called at such office by the City during the hours of 9:00 A.M. through 5:00 P.M., Monday through Friday, or any other day or time when work is being performed on the Required Improvements.

9. Injury to Public Improvements, Public Property or Public Utilities Facilities.

Principal shall replace or repair, or have replaced or repaired, all public improvements, public utility facilities, and surveying or subdivision monuments which are destroyed or damaged in the performance of any work under this Agreement. Principal shall bear the entire cost of replacement or repairs of any and all public or private utility property damaged or destroyed in the performance of any work done under this Agreement, whether such property is owned by the United States or any agency thereof, or the State of California, or any agency or political subdivision thereof, or by the City or any public or private utility corporation or by any combination of such owners. Any repair or replacement shall be to the satisfaction of the City Engineer.

10. Warranty. If, within a period of one year after final acceptance by the City of the Required Improvements, any improvement or part of any improvement furnished and/or installed or constructed, or caused to be installed or constructed by Principal, or any of the work done under this Agreement materially fails to fulfill any of the requirements of this Agreement or the specifications referred to herein, Principal shall without delay and without any cost to City, repair, replace or reconstruct any defective or otherwise unsatisfactory part or parts of the improvements. If the Principal fails to act promptly or in accordance with this requirement, or if the exigencies of the situation require repairs or replacements to be made before the Principal can be notified, then the City may, at its option, make the necessary repairs or replacements or perform the necessary work, and Principal shall pay to City the actual cost of such repairs plus fifteen percent (15%) within thirty (30) days of the date of billing for such work by City. As to any Required Improvements which have been repaired, replaced, or reconstructed during the Warranty, Principal and its surety hereby agree to extend the Warranty for an additional one (1) year period following City’s acceptance of the repaired, replaced, or reconstructed Required Improvements. Nothing herein shall relieve Principal from any other liability it may have under federal, state, or local law to repair, replace, or reconstruct any Required Improvement following expiration of the Warranty or any extension thereof. Principal’s warranty obligation under this section shall survive the expiration or termination of this Agreement.

11. Defense, Indemnification and Hold Harmless. Principal shall defend, indemnify, and hold harmless City, its elected officials, officers, employees, and agents from any and all actual or alleged claims, demands, causes of action, liability, loss, damage, or injury, to property or persons, including wrongful death, whether imposed by a court of law or by administrative action of any federal, state, or local governmental body or agency, arising out of or incident to any acts, omissions, negligence, or willful misconduct of Principal, its personnel, employees, agents, or contractors in connection 1100
with or arising out of construction or maintenance of the Required Improvements, or performance of this Agreement. This indemnification includes, without limitation, the payment of all penalties, fines, judgments, awards, decrees, attorneys’ fees, and related costs or expenses, and the reimbursement of City, its elected officials, officers, employees, and/or agents for all legal expenses and costs incurred by each of them. This indemnification excludes only such portion of any claim, demand, cause of action, liability, loss, damage, penalty, fine, or injury, to property or persons, including wrongful death, which is caused solely and exclusively by the gross negligence or willful misconduct of City as determined by a court or administrative body of competent jurisdiction. Principal’s obligation to indemnify City shall survive the expiration or termination of this Agreement, and shall not be restricted to insurance proceeds, if any, received by City, its elected officials, officers, employees, or agents.

12. Security.
a. Required Security. Concurrently with the execution of this Agreement, the Principal shall furnish the City with:
(1) Faithful Performance Security. Principal shall provide faithful performance security to secure faithful performance of this Agreement (“faithful performance” security). This security shall be in the amount of one hundred percent (100%) of the total estimated cost of the Required Improvements, as determined by the City Engineer, which total cost is in the amount of $ ( and No/100 Dollars). (2) Payment Security. Principal shall also provide payment security to secure payment to the contractors, subcontractors, laborers, material men, and other persons furnishing labor, materials, or equipment for the work (“payment security”). This security shall be in the amount of fifty percent (50%) of the total estimated cost of the Required Improvements, as determined by the City Engineer, which total cost is in the amount of $ ( and No/100 Dollars), and shall secure the obligations set forth in Title 1 (commencing with Section 8000) through Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code of the State of California.
(3) Guarantee and Warranty Security. Principal shall also file with this Agreement a “guarantee and warranty security” in the amount of ten percent (10%) of the total estimated cost of the Required Improvements, as determined by the City Engineer, which total cost is in the amount of $ ( and No/100 Dollars) to guarantee and warrant the Required Improvements for a period of one year following their completion and acceptance against any defective work or labor done, or defective materials furnished.
(4) Monument Security. Principal shall also file with this Agreement a “monument security” in the amount of one hundred percent (100%) of the total estimated cost of the installation of survey monuments, as determined by the City Engineer, which total cost is in the amount of $ ( and No/100 Dollars), to guarantee and secure the placement of such monuments.
1101
b. Additional Requirements.
(1) Any bonds submitted as security pursuant to this section shall be furnished by companies who are authorized and licensed by the Insurance Commissioner of the State of California as “admitted surety insurers,” to act as surety upon bonds and undertakings. The company shall maintain in this State at least one office for the conduct of its business. Bonds must be approved by the City. The premiums for said bonds shall be paid by Principal.
(2) The bonds shall be furnished on the forms enclosed
following this Agreement and shall be satisfactory to the City. (3) The surety (or sureties) shall furnish reports as to the financial conditions from time to time as requested by the City. (4) Alternative forms of security will be allowed upon approval of the City Engineer and shall be approved as to form by the City Attorney. All required securities shall be in a form approved by the City Attorney. (5) No change, alteration, or addition to the terms of this Agreement or the plans and specifications incorporated herein shall in any manner affect the obligation of the sureties.
(6) The securities shall be irrevocable, shall not be limited as to time (except as to the one-year guarantee and warranty period) and shall provide that they may be released, in whole or part, only upon the written approval of the City Engineer and as provided in this Agreement. All securities provided pursuant to this Agreement shall expressly obligate the surety for any extension of time authorized by the City for Principal’s completion of the Required Improvements, whether or not the surety is given notice of such an extension by the City. (7) The Attorney-in-Fact (resident agent) who executes the securities on behalf of the surety company must attach a copy of his/her Power of Attorney as evidence of his authority. A notary shall acknowledge the power as of the date of the execution of the surety bond that it covers. c. Principal’s Liability. While no action of Principal shall be required in order for City to realize on its security under any security instrument, Principal agrees to cooperate with City to facilitate City’s realization under any security instrument, and to take no action to prevent City from such realization under any Security instrument.

Notwithstanding the giving of any security instrument or the subsequent expiration of any security instrument or any failure by any surety or financial institution to perform its obligations with respect thereto, Principal shall be personally liable for performance under this Agreement and for payment of the cost of the labor and materials for the improvements required to be constructed or installed hereby and shall, within ten (10) days after written demand therefor, deliver to City such substitute security as City shall require satisfying the requirements in this Section 12. 1102
d. Release of Security.
(1) Guarantee and Warranty Security. Any unused portion of the guarantee and warranty security may be released one year after acceptance of the Required Improvements by the City. The amount to be released shall first be reduced by the amount deemed necessary by the City to correct any defects in the Required Improvements that are known or believed by the City to exist at the end of the guarantee and warranty period. Any unreleased portion of the guarantee and warranty security shall remain in full force and effect unless and until the City notifies Principal in writing that the necessary repairs have been made to the satisfaction of the City Engineer and that the warranty period has been successfully completed.
(2) Payment Security. The payment security may be released thirty-five (35) days after passage of the time within which claims of lien are required to be recorded pursuant to Article 2 of Chapter 4 of Title 2 of Part 6 of Division 4 of the Civil Code (commencing with Section 8410), but in no event shall such security be released prior to one hundred and twenty (120) days after acceptance of the Required Improvements by the City. The amount to be released shall first be reduced by the total of all claims on which an action has been filed and notice thereof given in writing to the City. City expressly may require the surety not to release the amount of security deemed necessary by City to assure payment of reasonable expenses and fees, including reasonable attorney’s fees.
(3) Faithful Performance Security. The faithful performance security may be released upon acceptance of the Required Improvements by the City. (4) Monument Security. The monument security may be
released by written authorization of the City Engineer after all required monuments are accepted by the City Engineer, and City has received written acknowledgment of payment in full from the engineer or surveyor who set the monuments.

13.Insurance.
a. Types; Amounts. Developer shall procure and maintain, and shall require its contractors to procure and maintain, during construction of any Public Improvement pursuant to this Agreement, insurance of the types and in the amounts described below for the duration of the agreement, and for 2 years thereafter. If any of the Required Insurance contains a general aggregate limit, such insurance shall apply separately to this Agreement or be no less than two times the specified occurrence limit. (1) General Liability. Developer and its contractors shall procure and maintain Commercial General Liability Insurance, on an “occurrence” basis, no less broad than Insurance Services Office (ISO) form CG 00 01 or equivalent form, with a combined single limit of not less than $3,000,000 per occurrence for bodily injury, personal injury, and property damage. The General Aggregate shall be twice the occurrence limit or shall apply separately to each project. If Developer maintains higher limits than the specified minimum limits, City requires and shall be entitled to coverage for the higher limits maintained by Developer. The General Liability policy shall not 1103
contain a Contractors' Warranty or other similar language which eliminates or restricts insurance because of a subcontractor's failure to carry specific insurance or to supply evidence of such insurance
(2) Business Automobile Liability. Developer and its
contractors shall procure and maintain business automobile liability insurance, or equivalent form, with a combined single limit of not less than $1,000,000 per occurrence. Such insurance shall include coverage for the ownership, operation, maintenance, use, loading, or unloading of any vehicle owned, hired, and non owned by the insured or for which the insured is responsible.
(3) Workers’ Compensation. Developer and its contractors shall procure and maintain workers’ compensation insurance with limits as required by the Labor Code of the State of California and Employers Liability with limits of $1,000,000 per Accident; $1,000,000 Disease per employee; $1,000,000 Disease per policy at all times during which insured retains employees. (4) Professional Liability. For any consultant or other professional who will engineer or design the Public Improvements, liability insurance for errors and omissions with limits not less than $1,000,000 per claim. Such insurance shall be endorsed to include contractual liability. Coverage applicable to the work performed under this agreement shall be continued for five (5) years after completion of the work . Such continuation coverage may be provided by one of the following: (1) renewal of the existing policy; (2) an extended reporting period endorsement; or (3) replacement insurance with a retroactive date no later than the commencement of the work under this agreement.
(5) Pollution Liability. Minimum Limits: $1,000,000 per Pollution Incident; $1,000,000 Aggregate; Coverage shall apply to pollution incidents at or from any location at which Developer and its contractors are performing work under this agreement. Any deductible or self-insured retention shall be shown on the Certificate of Insurance. If the deductible or self-insured retention exceeds $25,000 it shall be approved in advance by the City. Developer and its contractors are responsible for any deductible or self-insured retention and shall fund it upon the City’s written request, regardless of whether Developer and its contractors have a claim against the insurance or are named as a party in any action involving the City. The City, its elected officials, officers, employees, agents, and volunteers shall be endorsed as an additional insured for liability arising out of ongoing and completed operations by or on behalf of the Developer and its contractors. Additional insured status shall continue for one (1) year after completion of the work. The insurance provided to the additional insureds shall apply on a primary and non-contributory basis with respect to any insurance or self-insurance program maintained by them. If the insurance is on a Claims-Made basis, the retroactive date shall be no later than the commencement of work. The insurance shall be continued for one (1) year after completion of the work. If the insurance is on a Claims-Made basis, the continuation coverage may be provided by: (a) renewal of the existing policy; (b) an extended reporting period endorsement; or (c) replacement insurance with a retroactive date no later than the commencement of the work. 1104
b. Deductibles. Any deductibles or self-insured retentions must be declared to and approved by City. At the option of City, either: (a) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects City, its elected officials, officers, employees, agents, and volunteers; or (b) Developer and its contractors shall provide a financial guarantee satisfactory to City guaranteeing payment of losses and related investigation costs, claims, and administrative and defense expenses.
c. Additional Insured; Separation of Insureds. The Required Insurance (except Workers’ Compensation and Professional Liability) shall name City, its elected officials, officers, employees, agents, and volunteers as additional insureds with respect to work performed by or on behalf of Developer or its contractors, including materials, parts, or equipment furnished in connection therewith City shall be endorsed as an additional insured for liability arising out of ongoing and completed operations by or on behalf of the contractor. The policy shall cover inter-insured suits and include a “Separation of Insureds” or “severability” clause which treats each insured separately and shall contain no special limitations on the scope of its protection to City, its elected officials, officers, employees, agents, and volunteers. d. Primary Insurance; Waiver of Subrogation. The General Liability Insurance provided to the additional insured shall be primary to, and non contributory with, any insurance or self insurance program maintained by the City, its elected officials, officers, employees, agents, and volunteers. All policies for the Required Insurance shall provide that the insurance company waives all right of recovery by way of subrogation against City, its elected officials, officers, employees, agents and volunteers.
e. Certificates; Verification. Developer and its contractors shall furnish City with original certificates of insurance and endorsements effecting coverage for the Required Insurance. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. All certificates and endorsements must be received and approved by City before work pursuant to this Agreement can begin. City reserves the right to require complete, certified copies of all required insurance policies, at any time. f. Term; Cancellation Notice. Developer and its contractors shall maintain the Required Insurance for the term of this Agreement and shall replace any certificate, policy, or endorsement which will expire prior to that date. Developer shall provide immediate written notice if (1) any of the required insurance policies is terminated; (2) the limits of any of the required polices are reduced; (3) or the deductible or self insured retention is increased. In the event of any cancellation or reduction in coverage or limits of any insurance, Developer shall forthwith obtain and submit proof of substitute insurance. Should Developer fail to immediately procure other insurance, as specified, to substitute for any canceled policy, the City may procure such insurance at Developer’s sole cost and expense.
1105
g. Insurer Rating. Unless approved in writing by City, all Required Insurance shall placed with insurers licensed to do business in the State of California and with a current A.M. Best rating of at least A:VIII.

14. Principal Not Agent of City. Neither Principal nor any of Principal’s agents, contractors, or subcontractors are or shall be considered to be agents of the City in connection with the performance of Principal’s obligations under this Agreement.

15. Default; Notice; Remedies.
a. Notice. If Principal neglects, refuses, or fails to fulfill or timely complete any obligation, term, or condition of this Agreement, or if City determines there is a violation of any federal, state, or local law, ordinance, regulation, code, standard, or other requirement, City may at any time thereafter declare Principal to be in default or violation of this Agreement and make written demand upon Principal or its surety, or both, to immediately remedy the default or violation. Principal shall commence the work required to remedy the default or violation within ten (10) days of the written demand from the City. If the default or violation constitutes an immediate threat to the public health, safety, or welfare, City may provide the demand verbally, and Principal shall commence the required work within twenty-four (24) hours thereof. Immediately upon City’s issuance of the demand to remedy the default, Principal and its surety shall be liable to City for all costs of construction and installation of the Required Improvements and all other administrative costs expenses as provided for in Section 9.0 of this Agreement. b. Failure to Remedy; City Action. If the work required to remedy the noticed default or violation is not diligently prosecuted to a substantial completion acceptable to City within a reasonable time designated by the City, City may complete all remaining work, arrange for the completion of all remaining work, and/or conduct such remedial activity as in its sole and absolute discretion it believes is required to remedy the default or violation. All such work or remedial activity shall be at the sole and absolute cost, expense, and liability of Principal and its surety, without the necessity of giving any further notice to Principal or surety. City’s right to take such actions shall in no way be limited by the fact that Principal or its surety may have constructed any, or none of the required or agreed upon Required Improvements at the time of City’s demand for performance. In the event City elects to complete or arrange for completion of the remaining work and improvements, City may require all work by Principal or its surety to cease in order to allow adequate coordination by City. Notwithstanding the foregoing, if conditions precedent for reversion to acreage can be met and if the interests of City will not be prejudiced thereby, City may also process a reversion to acreage and thereafter recover from Principal or its surety the full cost and expense incurred. c. Other Remedies. No action by City pursuant this section shall prohibit City from exercising any other right or pursuing any other legal or equitable remedy available under this Agreement or any federal, state, or local law. City may exercise its rights and remedies independently or cumulatively, and City may pursue inconsistent remedies. City may institute an action for damages, injunctive relief, or specific performance.
1106

16. Notices. All notices required under this Agreement shall be in writing, and delivered in person or sent by registered or certified mail, postage prepaid.

Notices required to be given to City shall be addressed as follows:

City Engineer

CITY OF WILDOMAR
23873 Clinton Keith Road, Suite 201
Wildomar, CA 92595
Notices required to be given to Principal shall be addressed as follows:

Name
Address
Address

17. Authority to Execute. Each of the signatories hereto represents and warrants that he or she is competent and authorized to enter into this Agreement on behalf of the Party for whom he or she purports to sign. Each Party hereto agrees to defend, indemnify, and hold harmless the other Parties hereto against all claims, suits, actions, and demands, including necessary expenses of investigation and reasonable attorneys' fees and costs, arising out of claims that its signatory was not competent or so authorized to execute this Agreement.

18. Attorney’s Fees. If any arbitration, lawsuit, or other legal action or proceeding is brought by one Party against the other Party in connection with this Agreement, the prevailing party, whether by final judgment or arbitration award, shall be entitled to and recover from the other party all attorney’s fees and costs. Any judgment, order, or award entered in such legal action or proceeding shall contain a specific provision providing for the recovery of attorney’s fees and costs.

19. Assignment. Principal shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without prior written consent of City. Any attempt to do so shall be null and void, and any assignee, hypothecatee, or transferee shall acquire no right or interest by reason of such attempted assignment, hypothecation, or transfer. Unless specifically stated to the contrary in City’s written consent, any assignment, hypothecation, or transfer shall not release or discharge Developer from any duty or responsibility under this Agreement.

20. Compliance with Laws. Principal, its agents, employees, contractors, and subcontractors shall comply with all federal, state and local laws in the performance of the work required by this Agreement including, but not limited to, obtaining all applicable permits and licenses. Principal shall provide a hazard assessment upon request to the City.

21. Waiver. City’s failure to insist upon strict compliance with any provision of this Agreement or to exercise any right or privilege provided herein, or City’s waiver of any breach of this Agreement, shall not relieve Principal of any of its obligations under 1107
this Agreement, whether of the same or similar type. The foregoing shall be true whether City’s actions are intentional or unintentional. Principal agrees to waive, as a defense, counterclaim or set off, any and all defects, irregularities or deficiencies in the authorization, execution or performance of the Required Improvements or this Agreement, as well as the laws, rules, regulations, ordinances or resolutions of City with regards to the authorization, execution or performance of the Required Improvements or this Agreement.

22. No Vesting of Rights. Entering into this Agreement shall not be construed to vest Principal’s rights with respect to any change in any zoning or building law or ordinance.

23. Approvals by City; Amendment. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the Principal and by the City. The Parties agree that the requirement for written modifications cannot be waived and that any attempted waiver shall be void. The City’s City Manager may, but is not required to, make minor amendments not affecting substantive terms without further authorization from the City Council. The City Council hereby authorizes the City Manager to execute any such amendments as required by this Agreement or that do not otherwise reduce City’s rights under this Agreement. All other amendments shall be approved by the City Council.

24. Construction and Interpretation. It is agreed and acknowledged by Principal that the provisions of this Agreement have been arrived at through negotiation, and that Principal has had a full and fair opportunity to revise the provisions of this Agreement and to have such provisions reviewed by legal counsel. Therefore, the normal rule of construction that any ambiguities are to be resolved against the drafting party shall not apply in construing or interpreting this Agreement.

25. Successors and Assigns -- Covenant Running With the Land. This Agreement shall inure to the benefit of, and be binding upon, the successors and assigns of the respective parties. The Agreement shall be recorded in the Office of the Recorder of Riverside County and shall constitute a covenant running with the land and an equitable servitude upon the subject property.

26. Actions. Any action by any party to this Agreement, or any action concerning a security furnished pursuant thereto, shall be brought in the appropriate court of competent jurisdiction within the County of Riverside, State of California, notwithstanding any other provision of law which may provide that such action may be brought in some other location. The law governing this Agreement is the law of the State of California.

27. Integration. This Agreement is an integrated agreement. It supersedes all prior negotiations, representations, or agreements, either written or oral.

28. Construction; References; Captions. It being agreed the Parties or their agents have participated in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or 1108
against any Party. Any term referencing time, days, or period for performance shall be deemed calendar days and not work days. All references to Principal include all personnel, employees, agents, and subcontractors of Principal, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.

29. Severability. If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions shall continue in full force without being impaired.

30. Counterparts. This Agreement may be executed in counterpart originals, which taken together, shall constitute one and the same instrument.

31. Effective Date of Agreement. This Agreement shall not become effective until the date it has been formally approved by the City and executed by the appropriate authorities of City and Principal.

32. Relationship Between The Parties. The Parties hereby mutually agree that neither this Agreement, nor any other related entitlement, permit, nor approval issued by City for the Property shall operate to create the relationship of partnership, joint venture, or agency between City and Principal. Principal’s contractors and subcontractors are exclusively and solely under the control and dominion of Principal. Nothing herein shall be deemed to make Principal or its contractors an agent or contractor of City.

IN WITNESS WHEREOF, the parties have executed this Agreement as follows:
1109

CITY OF WILDOMAR
Dan York
City Manager
PRINCIPAL:

Name:

Title:

Name:

Title:

ATTEST:
___________________________
Janet Morales
City Clerk

APPROVED AS TO FORM
___________________________
Thomas D. Jex
City Attorney
NOTE: SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS

SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF

INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO T BUSINESS ENTITY.
1110
EXHIBIT “A”

LEGAL DESCRIPTION OF PROPERTY
1111
EXHIBIT “B”

SURETY BONDS AND OTHER SECURITY
As evidence of understanding the provisions contained in this Agreement, and of the Principal’s intent to comply with same, the Principal has submitted the below described security in the amounts required by this Agreement, and has affixed the appropriate signatures thereto:

PERFORMANCE SECURITY: $
Surety:

Attorney-in-
fact:

Address:

PAYMENT SECURITY: $
Surety:

Attorney-in-
fact:

Address:

MONUMENT SECURITY: $
Amount deposited per Cash Receipt
No.

Date:
1112
BOND NO. ___________________
INITIAL PREMIUM: ___________________

SUBJECT TO RENEWAL

CITY OF WILDOMAR
___________ IMPROVEMENTS

FORM OF PERFORMANCE BOND
KNOW ALL MEN BY THESE PRESENTS:

WHEREAS the City of Wildomar, California (“City”) and
___________________________ (“Principal”), have executed an agreement for work consisting of, but not limited to, the furnishing all labor, materials, tools, equipment, services, and incidentals for all grading, roads, paving, curbs and gutters, pathways, storm drains, sanitary sewers, utilities, drainage facilities, traffic controls, landscaping, street lights, and all other required facilities for ___________ (“Public Improvements”); WHEREAS, the Public Improvements to be performed by Principal are more particularly set forth in that certain Public Improvement Agreement dated ____________, 20__ (“Improvement Agreement”);
WHEREAS, the Improvement Agreement is hereby referred to and incorporated herein by reference; and
WHEREAS, Principal is required by the Improvement Agreement to provide a good and sufficient bond for performance of the Improvement Agreement, and to guarantee and warranty the Public Improvements constructed thereunder.

NOW, THEREFORE, Principal and
_________________________________ (“Surety”), a corporation organized and existing under the laws of the State of __________, and duly authorized to transact surety business under the laws of the State of California, are held and firmly bound unto City in the sum of ___________________________________ Dollars ($____________), said sum being not less than one hundred percent (100%) of the total cost of the Public Improvements as set forth in the Improvement Agreement, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents.

THE CONDITION OF THIS OBLIGATION is such, that if Principal, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions, agreements, guarantees, and warranties in the Improvement Agreement and any alteration thereof made as therein provided, to be kept and performed at the time and in the manner therein specified and in all respects according to their intent and meaning, and to indemnify and 1113
save harmless City, its officers, employees, and agents, as stipulated in the Improvement Agreement, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.

As part of the obligation secured hereby, and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorney’s fees, incurred by City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered.

IN WITNESS WHEREOF, the seal and signature of the Principal is hereto affixed, and the corporate seal and the name of the Surety is hereto affixed and attested by its duly authorized Attorney-in-Fact at _______________________, this _____ day of _______________, ______.

Principal Surety
By: By:

Its: Managing Member Attorney-In-Fact
(print name) (print name)
NOTE: APPROPRIATE NOTARIAL ACKNOWLEDGMENTS OF EXECUTION BY

PRINCIPAL AND SURETY, AND A COPY OF THE POWER OF

ATTORNEY TO LOCAL REPRESENTATIVES OF THE BONDING
COMPANY MUST BE ATTACHED TO THIS BOND.
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BOND NO. ___________________
INITIAL PREMIUM: ___________________

SUBJECT TO RENEWAL

CITY OF WILDOMAR
___________ IMPROVEMENTS

FORM OF LABOR AND MATERIAL BOND
KNOW ALL MEN BY THESE PRESENTS:

WHEREAS the City of Wildomar California (“City”) and
___________________________ (“Principal”), have executed an agreement for work consisting of, but not limited to, the furnishing all labor, materials, tools, equipment, services, and incidentals for all grading, roads, paving, curbs and gutters, pathways, storm drains, sanitary sewers, utilities, drainage facilities, traffic controls, landscaping, street lights, and all other required facilities for ___________ (“Public Improvements”); WHEREAS, the Public Improvements to be performed by Principal are more particularly set forth in that certain Public Improvement Agreement dated __________, 20__ (“Improvement Agreement”);
WHEREAS, the Improvement Agreement is hereby referred to and incorporated herein by reference; and
WHEREAS, Principal is required to furnish a bond in connection with the Improvement Agreement providing that if Principal or any of its subcontractors shall fail to pay for any materials, provisions, or other supplies, or terms used in, upon, for, or about the performance of the Public Improvements, or for any work or labor done thereon of any kind, or for amounts due under the provisions of Title 1 (commencing with section 8000) through Title 3 (commencing with section 9000) of Part 6 of Division 4 of the California Civil Code, with respect to such work or labor, that the Surety on this bond will pay the same together with a reasonable attorney’s fee in case suit is brought on the bond.

NOW, THEREFORE, Principal and _________________________ (“Surety”), a corporation organized and existing under the laws of the State of _________________, and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto City and to any and all material men, persons, companies or corporations furnishing materials, provisions, and other supplies used in, upon, for or about the performance of the Public Improvements, and all persons, 1115
companies or corporations renting or hiring teams, or implements or machinery, for or contributing to the Public Improvements to be done, and all persons performing work or labor upon the same and all persons supplying both work and materials as aforesaid excepting the Principal, the sum of _________________________ Dollars ($_______________), said sum being not less than 50% of the total cost of the Public Improvements under the terms of the Improvement Agreement, we bind ourselves, our heirs, executors and administrators, successors and assigns jointly and severally, firmly by these presents.

THE CONDITION OF THIS OBLIGATION IS SUCH that if the Principal, his or its subcontractors, heirs, executors, administrators, successors, or assigns, shall fail to pay for any materials, provisions, or other supplies or machinery used in, upon, for or about the performance of the Public Improvements, or for work or labor thereon of any kind, or fail to pay any of the persons named in California Civil Code Section 9100, or amounts due under the Unemployment Insurance Code with respect to work or labor performed by any such claimant, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the contractor and his subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to such work and labor, and all other applicable laws of the State of California and rules and regulations of its agencies, then said Surety will pay the same in or to an amount not exceeding the sum specified herein.

It is hereby expressly stipulated and agreed that this bond shall inure to the benefit of any and all persons, companies, and corporations entitled to file claims under Title 1 (commencing with section 8000) through Title 3 (commencing with section 9000) of Part 6 of Division 4 of the California Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond.

Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration, or addition to the terms of the Improvement Agreement, or to any plans, profiles, and specifications related thereto, or to the Public Improvements to be constructed thereunder, shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration, or addition. 1116
IN WITNESS WHEREOF, the seal and signature of the Principal is hereto affixed, and the corporate seal and the name of the Surety is hereto affixed and attested by its duly authorized Attorney-in-Fact at _____________________, this _____ day of _______________, ______.

Principal Surety
By: By:

Its: Managing Member Attorney-In-Fact
(print name) (print name)
NOTE: APPROPRIATE NOTARIAL ACKNOWLEDGMENTS OF EXECUTION BY

PRINCIPAL AND SURETY, AND A COPY OF THE POWER OF

ATTORNEY TO LOCAL REPRESENTATIVES OF THE BONDING
COMPANY MUST BE ATTACHED TO THIS BOND.
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Contract #6 – Agreement for Services
1118

AGREEMENT FOR SERVICES
By and Between

THE CITY OF WILDOMAR,
a municipal corporation
and
___________________________________
1119

AGREEMENT FOR SERVICES

BETWEEN

C. Pursuant to the City of Wildomar’s Municipal Code, City has authority to enter into this Services Agreement and the City Manager has authority to execute this Agreement.

SECTION 1. TERM OF AGREEMENT.

Subject to the provisions of Section 20 "Termination of Agreement" of this Agreement, the Term of this Agreement is for [___ years/months] commencing on the date first ascribed above.

SECTION 2. SCOPE OF SERVICES & SCHEDULE OF PERFORMANCE. (a) Scope of Services. Service Provider agrees to perform the services set forth in Exhibit “A” “Scope of Services” (hereinafter, the “Services”) and made a part of this Agreement by this reference.
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(b) Schedule of Performance. The Services shall be completed pursuant to the schedule specified in Exhibit “A.” Should the Services not be completed pursuant to that schedule, the Service Provider shall be deemed to be in Default of this Agreement. The City, in its sole discretion, may choose not to enforce the Default provisions of this Agreement and may instead allow Service Provider to continue performing the Services.

SECTION 3. ADDITIONAL SERVICES.

SECTION 4. COMPENSATION AND METHOD OF PAYMENT.
(a) Subject to any limitations set forth in this Agreement, City agrees to pay Service Provider the amounts specified in Exhibit “B” “Compensation” and made a part of this Agreement by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed ______________________________ dollars ($_____________), unless additional compensation is approved in writing in accordance with Section 26 “Administration and Implementation” or Section 28 “Amendment” of this Agreement. In accordance with California Government Code Section 8546.7, if the Not to Exceed Amount exceeds TEN THOUSAND DOLLARS ($10,000.00), this Agreement and the Service Provider's books and records related to this Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of three (3) years after final payment under the Agreement. (b) Each month Service Provider shall furnish to City an original invoice for all work performed and expenses incurred during the preceding month. The invoice shall detail charges by the following categories: labor (by sub-category), travel, materials, equipment, supplies, and sub-Service Provider contracts. Sub-Service Provider charges shall be detailed by the following categories: labor, travel, materials, equipment and supplies. If the compensation set forth in subsection (a) and Exhibit “B” include payment of labor on an hourly basis (as opposed to labor and materials being paid as a lump sum), the labor category in each invoice shall include detailed descriptions of task performed and the amount of time incurred for or allocated to that task. City shall independently review each invoice submitted by the Service Provider to determine whether the work performed and expenses incurred are in compliance with the provisions of this Agreement. In the event that no charges or expenses are disputed, the invoice shall be approved and paid according to the terms set forth in subsection (c). In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Service Provider for correction and resubmission.
(c) Except as to any charges for work performed or expenses incurred by Service Provider which are disputed by City, City will use its best efforts to cause Service 1121
Provider to be paid within forty-five (45) days of receipt of Service Provider’s correct and undisputed invoice.
(d) Payment to Service Provider for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Service Provider.

SECTION 5. INSPECTION AND FINAL ACCEPTANCE.

Acceptance of any of Service Provider’s work by City shall not constitute a waiver of any of the provisions of this Agreement including, but not limited to, Section 16 “Indemnification” and Section 17 “Insurance.”
SECTION 6. OWNERSHIP OF DOCUMENTS; EXCEPTIONS; WARRANTY Except as otherwise provided below, all documents, data, studies, drawings, maps, models, photographs and reports prepared by service provider (collectively, “Documents”) under this Agreement are City’s property. Service Provider may retain copies of such Documents as desired but will deliver all original materials to City upon City’s written notice. City agrees that use of Service Provider’s completed work product, for purposes other than identified in this Agreement, or use of incomplete work product, is at City’s own risk. Service Provider warrants that all Documents it drafts and completes pursuant to this Agreement constitutes original work. Specifically, Service Provider understands and agrees that use of artificial intelligence (AI) tools including, without limitation, ChatGPT, Microsoft’s Bing Chat, Google’s Bard, and Meta’s LLaMA (Large Language Model Meta AI), in the performance of this Agreement does not constitute an original work, i.e., submitting Documents generated by such AI tools to City and representing it as Service Provider’s original work constitutes a material breach of this Agreement, constitutes a false claim, and may also violate applicable intellectual property right laws including, without limitation, United States Copyright Law. Accordingly, and notwithstanding any other provision of this Agreement as to ownership, City specifically rejects ownership of such Documents. Service Provider is required to indemnify and defend City to the fullest extent allowed by applicable law should it violate this Section.

All original maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files and other documents prepared, developed or discovered by Service Provider in the course of providing the Services pursuant to this Agreement shall become the sole property of City and may be used, reused or otherwise disposed of by City without the permission of the Service Provider. Upon completion, expiration or termination of this Agreement, Service Provider shall turn over to City all such original maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files and other documents. 1122
If and to the extent that City utilizes for any purpose not related to this Agreement any maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files or other documents prepared, developed or discovered by Service Provider in the course of providing the Services pursuant to this Agreement, Service Provider’s guarantees and warranties in Section 9 “Standard of Performance” of this Agreement shall not extend to such use of the maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files or other documents.

SECTION 8. INDEPENDENT CONTRACTOR.
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(a) Service Provider is and shall at all times remain a wholly independent contractor and not an officer, employee or agent of City. Nothing in this Agreement may be construed to be inconsistent with this relationship or status. Service Provider shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of City. Service Provider shall have no authority to bind City in any manner, nor to incur any obligation, debt or liability of any kind on behalf of or against City, whether by contract or otherwise, unless such authority is expressly conferred under this Agreement or is otherwise expressly conferred in writing by City. (b) Service Provider shall perform all Services as an independent contractor of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role. Service provider shall be solely responsible for the means, methods, techniques, sequences and procedures in performance of Services. The personnel performing the Services under this Agreement on behalf of Service Provider shall at all times be under Service Provider’s exclusive direction and control. Any terms within this Agreement regarding City directives apply to an concern the result of Service Provider’s provision of service and not the means, methods, or scheduling of the Service Provider’s work. Neither City, nor any elected or appointed boards, officers, officials, employees or agents of City, shall have control over the conduct of Service Provider or any of Service Provider’s officers, employees, or agents except as set forth in this Agreement. Service Provider shall not at any time or in any manner represent that Service Provider or any of Service Provider’s officers, employees, or agents are in any manner officials, officers, employees or agents of City. (c) Neither Service Provider, nor any of Service Provider’s officers, employees or agents, shall obtain any privileges or rights to retirement, health care or any other benefits which may otherwise accrue to City’s employees. Service Provider expressly waives any claim Service Provider may have to any such benefits, privileges or rights.

SECTION 9. STANDARD OF PERFORMANCE.

SECTION 10. COMPLIANCE WITH APPLICABLE LAWS; PERMITS AND LICENSES.

Service Provider shall keep itself informed of and comply with all applicable 1124
federal, state and local laws, statutes, codes, ordinances, regulations and rules in effect during the term of this Agreement. Service Provider shall obtain any and all licenses, permits and authorizations necessary to perform the Services set forth in this Agreement.

Service Provider shall provide a hazard assessment upon request to the City. Neither City, nor any elected or appointed boards, officers, officials, employees or agents of City, shall be liable, at law or in equity, as a result of any failure of Service Provider to comply with this section.

SECTION 11. PREVAILING WAGE LAWS
It is the understanding of City and Service Provider that California prevailing wage laws do not apply to this Agreement because the Agreement does not involve any of the following services subject to prevailing wage rates pursuant to the California Labor Code or regulations promulgated thereunder: Construction, alteration, demolition, installation, or repair work performed on public buildings, facilities, streets or sewers done under contract and paid for in whole or in part out of public funds. In this context, “construction" includes work performed during the design and preconstruction phases of construction including, but not limited to, inspection and land surveying work.

SECTION 12. NONDISCRIMINATION.

SECTION 13. UNAUTHORIZED ALIENS.

Should Service Provider so employ such unauthorized aliens for the performance of the Services, and should the any liability or sanctions be imposed against City for such use of unauthorized aliens, Service Provider hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed, together with any and all costs, including attorneys' fees, incurred by City.

SECTION 14. CONFLICTS OF INTEREST.
(a) Service Provider covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Service Provider’s performance of the Services. Service Provider further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the City Manager. Service Provider agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.
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(b) City understands and acknowledges that Service Provider is, as of the date of execution of this Agreement, independently involved in the performance of non-related services for other governmental agencies and private parties. Service Provider is unaware of any stated position of City relative to such projects. Any future position of City on such projects shall not be considered a conflict of interest for purposes of this section. (c) City understands and acknowledges that Service Provider will perform non- related services for other governmental agencies and private Parties following the completion of the Services under this Agreement. Any such future service shall not be considered a conflict of interest for purposes of this section.

Service Provider shall promptly notify City should Service Provider, its officers, employees, agents or subcontractors, be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed thereunder. City retains the right, but has no obligation, to represent Service Provider or be present at any deposition, hearing or similar proceeding. Service Provider agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Service Provider. However, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response. Service Provider shall not be held criminally or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret that is made in confidence to a Federal, State, or local government official or to an attorney solely for the purpose of reporting or investigating a suspected violation of law or for the disclosure of a trade secret that is made in a complaint 1126
or other document filed in a lawsuit or other proceeding, if such filing is made under seal.

SECTION 16. INDEMNIFICATION.
(a) Indemnification for Professional Liability. Where the law establishes a professional standard of care for Service Provider’s services, to the fullest extent permitted by law, Service Provider shall indemnify, protect, defend and hold harmless City and any and all of its officials, employees and agents (“Indemnified Parties”) from and against any and all liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, including attorney’s fees and costs, court costs, interest, defense costs, and expert witness fees) arise out of, are a consequence of, or are in any way attributable to, in whole or in part, any negligent or wrongful act, error or omission of Service Provider, or by any individual or entity for which Service Provider is legally liable, including but not limited to officers, agents, employees or sub-contractors of Service Provider, in the performance of professional services under this Agreement.
(b) Indemnification for Other than Professional Liability. Other than in the performance of professional services and to the full extent permitted by law, Service Provider shall indemnify, protect, defend and hold harmless City, and any and all of its employees, officials and agents from and against any liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, including attorney’s fees and costs, court costs, interest, defense costs, and expert witness fees), where the same arise out of, are a consequence of, or are in any way attributable to, in whole or in part, the performance of this Agreement by Service Provider, or by any individual or entity for which Service Provider is legally liable, including but not limited to officers, agents, employees or sub-contractors of Service Provider. (c) Indemnification from Sub-Service Providers. Service Provider agrees to obtain executed indemnity agreements with provisions identical to those set forth in this section from each and every sub-Service Provider or any other person or entity involved by, for, with or on behalf of Service Provider in the performance of this Agreement naming the Indemnified Parties as additional indemnitees. In the event Service Provider fails to obtain such indemnity obligations from others as required herein, Service Provider agrees to be fully responsible according to the terms of this section. Failure of City to monitor compliance with these requirements imposes no additional obligations on City and will in no way act as a waiver of any rights hereunder. This obligation to indemnify and defend City as set forth herein is binding on the successors, assigns or heirs of Service Provider and shall survive the termination of this Agreement or this section. (d) City’s Negligence. The provisions of this section do not apply to claims occurring as a result of City’s sole negligence. The provisions of this section shall not release City from liability arising from gross negligence or willful acts or omissions of City or any and all of its officials, employees and agents.

SECTION 17. INSURANCE.
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Service Provider agrees to obtain and maintain in full force and effect during the term of this Agreement the insurance policies set forth in Exhibit “C” “Insurance” and made a part of this Agreement. All insurance policies shall be subject to approval by City as to form and content. These requirements are subject to amendment or waiver if so approved in writing by the City Manager. Service Provider agrees to provide City with copies of required policies upon request.

SECTION 18. ASSIGNMENT.

SECTION 19. CONTINUITY OF PERSONNEL.

In the event that Service Provider is in default under the terms of this Agreement, the City shall not have any obligation or duty to continue compensating Service Provider for any work performed after the date of default. Instead, the City may give notice to Service Provider of the default and the reasons for the default. The notice shall include the timeframe in which Service Provider may cure the default. This timeframe is presumptively thirty (30) days, but may be extended, though not reduced, if circumstances warrant. During the period of time that Service Provider is in default, the City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices. In the alternative, the City may, in its sole discretion, elect to pay some or all of the outstanding invoices during the period of default. If Service Provider does not cure the default, the City may take necessary steps to terminate this Agreement under Section 20 “Termination of Agreement.” Any failure on the part of the City to give notice of the Service Provider’s default shall not be deemed to result in a waiver of the City’s legal rights or any rights arising out of any provision of this Agreement.

SECTION 22. EXCUSABLE DELAYS.

SECTION 23. COOPERATION BY CITY.

SECTION 24. NOTICES.

To City: City of Wildomar
Attn: City Manager
23873 Clinton Keith Rd., Suite 201
Wildomar, CA 92595
To Service Provider:__________________________
__________________________
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__________________________
__________________________
Notice shall be deemed effective on the date personally delivered or transmitted by facsimile or, if mailed, three (3) days after deposit of the same in the custody of the United States Postal Service.

SECTION 25. AUTHORITY TO EXECUTE.

SECTION 26. ADMINISTRATION AND IMPLEMENTATION.

SECTION 27. BINDING EFFECT.

This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the Parties.

SECTION 28. AMENDMENT.

SECTION 29. WAIVER.

Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision nor a waiver of any subsequent breach or violation of any 1130
provision of this Agreement. Acceptance by City of any work or services by Service Provider shall not constitute a waiver of any of the provisions of this Agreement.

SECTION 30. LAW TO GOVERN; VENUE.

This Agreement shall be interpreted, construed and governed according to the laws of the State of California. In the event of litigation between the Parties, venue in state trial courts shall lie exclusively in the County of Riverside, California. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in Riverside.

SECTION 31. ATTORNEYS FEES, COSTS AND EXPENSES.

SECTION 32. ENTIRE AGREEMENT.

SECTION 33. SEVERABILITY.

SECTION 34. CONFLICTING TERMS.

Except as otherwise stated herein, if the terms of this Agreement conflict with the terms of any Exhibit hereto, or with the terms of any document incorporated by reference into this Agreement, the terms of this Agreement shall control. 1131
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first-above written.

CITY OF WILDOMAR
___________________________
Daniel A. York
City Manager
ATTEST:
___________________________
Janet Morales, CMC
City Clerk

APPROVED AS TO FORM
_______________________________
Thomas D. Jex
City Attorney
___________________________________
“Service Provider”: ________________________
By: __________________________ By: _______________________________ Name:___________________________ Name: ____________________________ Its (Title):_________________________ Its (Title): __________________________ NOTE: SERVICE PROVIDER’S SIGNATURES SHALL BE DULY NOTARIZED,

AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY
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BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION,

OR OTHER RULES OR REGULATIONS APPLICABLE TO SERVICE
PROVIDER’S BUSINESS ENTITY.
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I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature: _____________________________________
Signature of Notary Public Place Notary Seal Above

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT

INDIVIDUAL

CORPORATE OFFICER
_______________________________

TITLE(S)

PARTNER(S) LIMITED

GENERAL

ATTORNEY-IN-FACT

TRUSTEE(S)

TITLE OR TYPE OF DOCUMENT
___________________________________

NUMBER OF PAGES
___________________________________

DATE OF DOCUMENT
___________________________________

SIGNER(S) OTHER THAN NAMED ABOVE
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I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature: _____________________________________
Signature of Notary Public Place Notary Seal Above

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT

INDIVIDUAL

CORPORATE OFFICER
_______________________________

TITLE(S)

PARTNER(S) LIMITED

GENERAL

ATTORNEY-IN-FACT

TRUSTEE(S)

TITLE OR TYPE OF DOCUMENT
___________________________________

NUMBER OF PAGES
___________________________________

DATE OF DOCUMENT
___________________________________

SIGNER(S) OTHER THAN NAMED ABOVE
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EXHIBIT "A"

SCOPE OF SERVICES
I. Service Provider will perform the following Services:

II. As part of the Services, Service Provider will prepare and deliver the following tangible work products to the City:

III. During performance of the Services, Service Provider will keep the City appraised of the status of performance by delivering the following status reports:

IV. The tangible work products and status reports will be delivered to the City pursuant to the following schedule:

C.
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D.

V. Service Provider will utilize the following personnel to accomplish the Services:

VI. Service Provider will utilize the following subcontractors to accomplish the Services:

D.
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EXHIBIT "B"

COMPENSATION
I. Service Provider shall use the following rates of pay in the performance of the Services:

A. [job] [hourly rate]
B. [job] [hourly rate]
C. [job] [hourly rate]
D. [job] [hourly rate]
E. [job] [hourly rate]
II. Service Provider may utilize sub-contractors as indicated in this Agreement.

The hourly rate for any subcontractor is not to exceed $_______ per hour without written authorization from the City Manager or his designee.

IV. The total compensation for the Services shall not exceed $_________, as provided in Section 4 “Compensation and Method of Payment” of this Agreement.

Exhibit C
Insurance Requirements
Service Provider shall procure and maintain, for the duration of the Agreement, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Service Provider, its agents, representatives, or employees.

MINIMUM SCOPE AND LIMIT OF INSURANCE
Coverage shall be at least as broad as:

2. Automobile Liability: Insurance Services Office Form Number CA 0001 covering, Code 1 (any auto), or if Service Provider has no owned autos, Code 8 (hired) and 9 (non-owned), with limit no less than $1,000,000 per accident for bodily injury and property damage.
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Other Insurance Provisions
The insurance policies are to contain, or be endorsed to contain, the following provisions:

Notice of Cancellation
Service Provider shall provide immediate written notice if (1) any of the required insurance policies is terminated; (2) the limits of any of the required polices are reduced; 1139
(3) or the deductible or self-insured retention is increased. In the event of any cancellation or reduction in coverage or limits of any insurance, Service Provider shall forthwith obtain and submit proof of substitute insurance.

Verification of Coverage
Service Provider shall furnish the City with original Certificates of Insurance including all required amendatory endorsements (or copies of the applicable policy language effecting coverage required by this clause) and a copy of the Declarations and Endorsement Page of the CGL policy listing all policy endorsements to City before work begins. However, failure to obtain the required documents prior to the work beginning shall not waive the Service Provider’s obligation to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time.

Special Risks or Circumstances
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City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances. 1141
Contract #7 - CEQA Document Preparation and Deposit Tri Party Agreement 1142

CEQA DOCUMENT PREPARATION

AND DEPOSIT TRI-PARTY AGREEMENT/CONTRACT
This CEQA Document Preparation and Deposit Contract (“Contract”) is made and entered into as of __________, by and among the City of Wildomar, a California municipal corporation, (“City”), _____________ (“Applicant”), and ____________ (“Consultant”).

Hereafter, City, Applicant and Consultant may be collectively referred to as the “Parties.”

RECITALS
A. The California Environmental Quality Act (“CEQA”) [Public Resources Code § 21000 et seq.] makes lead agencies responsible for determining whether an Environmental Impact Report (“EIR”), a Mitigated Negative Declaration (“MND”), or Negative Declaration (“ND”), is to be required for any project. CEQA also provides that any such EIR, MND, or ND be prepared directly by, or under contract to, the legal agency.

B. Applicant is applying to the City for one or more land use approvals for that project (“Project”) more particularly described in the “Project Description” attached hereto and incorporated herein by reference as Exhibit “A”.

C. City is the lead agency under CEQA for the Project. Based on its preliminary review and consultation with Applicant, City has determined that a Mitigated Negative Declaration (MND) and Mitigation Monitoring and Reporting Program (MMRP) (“CEQA Document”) is required for the Project to adequately assess its potentially significant impacts. Pursuant to Public Resources Code § 21080.1(a) City’s determination that this particular CEQA Document required for the Project is final and conclusive.

D. Consultant is a qualified environmental and/or land use planning firm. City, in consultation with Applicant, has selected Consultant to prepare the CEQA Document and any related studies, surveys, and reports as may be required to comply with CEQA.

Consultant has prepared a “Scope of Work” attached hereto and incorporated herein by reference as Exhibit “B”, outlining the breadth of analysis and the tasks to be performed to prepare the CEQA Document.

E. Applicant and Consultant acknowledge that as the lead agency, City is responsible for complying with CEQA and the State CEQA Guidelines (“CEQA Guidelines”) [14 Cal. Code Regs. § 15000 et seq], that the City is responsible for the adequacy of its environmental documents, that the City cannot rely on comments from other public agencies or private citizens as a substitute for work CEQA requires, and that this particular CEQA Document must reflect the independent judgment of the City.

Applicant and Consultant further acknowledge that as a result of these responsibilities, the CEQA Document is to be prepared and completed to reflect City’s independent judgment, to comply with CEQA and the CEQA Guidelines, and to comport with all applicable professional standards.
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F. CEQA authorizes City, as the lead agency, to charge and collect a reasonable fee from Applicant to recover the estimated costs incurred in preparing the CEQA Document and for procedures necessary to comply with CEQA regarding the Project. Applicant acknowledges that it is responsible for the payment of these costs as provided in this Contract.

G. City and Consultant acknowledge that CEQA and the CEQA Guidelines encourage the completion of the CEQA Document within certain time limits and that lead agencies should reduce delay and paperwork in the preparation of CEQA Documents.

H. Based on the foregoing Recitals, Applicant, City, and Consultant now desire to enter into this Contract for the preparation of the CEQA Document determined to be necessary for the Project.

OPERATIVE PROVISIONS
NOW, THEREFORE , in consideration of the above recitals and the mutual covenant hereafter set forth, the parties agree as follows:

Article 1.0 Applicants Obligations

1.1 CEQA Document Costs. Applicant shall pay all costs incurred for the preparation and completion of the CEQA Document.

1.2 Consultant Charges. The consultant’s estimated charge for services and reimbursable expenses for preparation and completion of the CEQA MND Document, including the required technical studies pursuant to that Consultant Services Agreement between Consultant and City, a copy of which is attached hereto as Exhibit C are$_____.

1.3 City Charges. The city’s administrative charge, including City Attorney review fees for preparation of the CEQA/MND is $______.

1.4 Deposits. Applicant acknowledges that the Consultant estimated charges, and the City estimated charges are estimated only and the actual costs may be higher.

Applicant agrees to pay all Consultant charges and City charges even if those charges exceed the cost estimates provided in this Contract. To ensure timely payment and performance, Applicant shall deposit the Consultant’s and City’s estimated charges (Total Estimated Cost) with the City as follows:

1.4.1 Initial Deposit. Within ten (10) business days (Jan. 27, 2025) after the Effective Date of this Contract, the Applicant shall deposit $_______ with the City, being an amount equal to one half (1/2) of the Total Estimated Cost. Within thirty (30) business days (________) after the Effective Date of this Contract, the Applicant shall deposit with the City the remaining balance of the Total Estimated Cost, which is $_______. At the Applicant’s discretion, the entire amount of $_______may be paid in full at one time.
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1.4.2 Subsequent Deposits. The applicant shall be responsible for making subsequent deposits with the City if necessary. At such time as the Initial Deposit is reduced to either ten percent (10%) of its original amount or $5,000, whichever is greater, City shall invoice the Applicant for a subsequent deposit in an amount determined to be sufficient by the City to complete the next logical phase of work on the CEQA Document.

Applicant shall deposit the invoiced amount with City within ten (10) business days after receipt of such invoice.

1.4.3 Return of Excess Deposits. Any excess of the amount deposited over the actual cost incurred by City in connection with preparation of the CEQA Document shall be refunded by City to Applicant within 15 days from the date a Notice of Determination in connection with the subject proposed Project is filed with the County Clerk.

1.4.4 No Obligation for City to Complete. Applicant understands and agrees that City shall have no obligation complete the CEQA Document, consider the CEQA Documents for approval, or to pay or incur any costs related thereto, in the event that the Applicant fails to deposit the funds required under Article 1.0 of this Contract. In no event shall City have any responsibility to incur or pay any cost for the preparation and completion of the CEQA Document, or any other activities associated with public review, comment, and consideration (such as preparing, posting, and filing notices, circulating copies of the CEQA Documents, or reviewing and recommending the CEQA Document for approval), except to the extent that Applicant has provided the deposits and funds to pay for such activities as provided under this Contract.

1.5 Communication. Applicant hereby agrees that its officers, employees, contractors, agencies, or other representatives shall not communicate with, or discuss any matters relating to the CEQA Document with the Consultant engaged by City to prepare the CEQA Document without prior approval from the Planning Director or his duly authorized representative. Applicant further agrees that all questions regarding scheduling, content, or distribution of the CEQA Document, or any related matters, shall be addressed to the City staff, not the Consultant. The purpose of this provision is to ensure that the CEQA Document prepared will be objective and prepared on behalf of the City, and not a document prepared for purposes of advocating approval of the private proposed project to which it relates.

1.6 Representations. Applicant understands and acknowledges that, although City shall use reasonable efforts to see that the CEQA Document is completed in compliance with the requirements of CEQA and the State CEQA Guidelines, City does not guarantee, warranty, or in any way represent that the CEQA Document will or would be found legally valid by a court of competent jurisdiction in the event of a legal challenge to the CEQA Document by any litigant, and no term of this Contract is intended to be, or shall be, construed to express or imply such guarantee, warranty, or representation.

Applicant further understands and acknowledges that neither City’s receipt of the amounts specified under this Contract from Applicant, nor any other term of this Contract, is intended to be, or shall be, construed to express or imply that City agrees or intends to assume or reimburse the cost of attorney’s fees, or any other cost, expense or obligation, 1145
that would be incurred in undertaking, in whole or in part, the legal defense to any lawsuit or other legal action challenging the validity of the CEQA Document by any litigant.

1.7 Peer Review. Applicant agrees to pay all costs associated with peer review of any document prepared in connection with the CEQA Document if a valid public controversy arises with respect to the CEQA Document. Peer review shall be conducted by the Applicant hiring an environmental consulting firm approved by the City to critique the adequacy of the CEQA Document (or any technical document pertaining thereto) so that the appropriate approval body can make an informed decision with respect to the environmental effects of the Project. For purposes of this section, a valid public controversy shall mean any of the following:
(1) submission of other differing scientific opinions with respect to the CEQA Document;
(2) submission of credible evidence in opposition to evidence contained within the CEQA Document;
(3) submission of additional credible information which was omitted from the CEQA Document.

Article 2.0 Consultants Obligations

2.1 Preparation of CEQA Document. Consultant shall prepare the CEQA Document identified in Recital C of this Contract (i.e., Mitigated Negative Declaration), including the Final MND/Response to Comments document.

2.2 Attendance at Public Hearings. The Consultant shall attend all public hearings in connection with the subject proposed Project.

2.3 City Documents. The City shall maintain ownership, custody and control over all documents prepared by Consultant including, but not limited to, all CEQA Documents.

2.4 Meetings. Both Applicant and Consultant agree not to hold meetings concerning the subject proposed Project without the City present.

Article 3.0 City Obligations

3.1 Review Materials. The City shall review and analyze all materials submitted in connection with the CEQA Documents as timely as practicable under the circumstances. City shall timely notify and work with Consultant regarding changes or modifications to any CEQA Documents.

3.2 Coordinate Meetings of Parties. The City shall use its best efforts to coordinate and arrange meetings between City, Consultant and Applicant from time to time as the need arises.
1146

3.3 Submit to Approval Body. Upon the satisfactory completion of the CEQA Document and all other City application processing requirements, City shall submit the Project for a hearing to the appropriate approval body of the City.

Article 4.0 Indemnity

4.1 Indemnity. The Applicant shall indemnify, protect, defend, and hold harmless, the City, and/or any of its officials, officers, employees, agents, departments, agencies, and instrumentalities thereof, from any and all claims, demands, law suits, writs of mandamus, and other actions and proceedings (whether legal, equitable, declaratory, administrative or adjudicatory in nature), and alternative dispute resolutions procedures (including, but not limited to arbitrations, mediations, and other such procedures), (collectively “Actions”), brought against the City, and/or any of its officials, officers, employees, agents, departments, agencies, and instrumentalities thereof, that challenge, attack, or seek to modify, set aside, void, or annul any action of, or any permit or approval issued by, the City and/or any of its officials, officers, employees, agents, departments, agencies, and instrumentalities thereof (including actions approved by the voters of the City), for or concerning the project, whether such Actions are brought under the California Environmental Quality Act, the Planning and Zoning Law, the Subdivisions Map Act, Code of Civil Procedure Section 1085 or 1094.5, or any other state, federal, or local statute, law, ordinance, rule, regulation, or any decision of a court of competent jurisdiction. It is expressly agreed that the City shall have the right to approve, which approval will not be unreasonably withheld, the legal counsel providing the City’s defense, and that Applicant shall reimburse the City in the course of the defense. City shall promptly notify the Applicant of any Action brought and City shall cooperate with Applicant in the defense of the Action.

Article 5.0 General Provisions.

5.1 Attorney’s Fees. In the event any action is instituted to enforce the terms of this Contract, including any action to recover damages, to obtain injunctive relief, or to appeal any judgment or order of the court, the prevailing party in such action shall be entitled to entry of judgment for an amount equal to its reasonable attorneys’ fees, expert witness fees and costs, and costs of suit in addition to such other relief to which it may be entitled. The provisions of this subsection shall in no way limit the scope of either party’s obligations under this Contract.

5.2 Assignment. This Contract and any and all rights, duties and obligations set forth herein shall not be assigned or transferred by any party.

5.3 Amendments. This Contract may be amended only by a document in writing and signed by each of the parties to this Contract.

5.4 Entire Agreement. This Contract contains the entire agreement and understanding between the parties relating to the transaction contemplated hereby and all prior or contemporaneous agreements, understandings, representations and 1147
statements oral or written, are merged herein, and shall be of no force or effect. California law shall govern the interpretation and enforcement of this Contract.

5.5 Severability. If any covenant, term or condition of this Contract or any application thereof shall be invalid or unenforceable, the remainder of this Contract shall not be affected thereby.

5.6 Authority. The parties hereto warrant and represent that each has the legal right, power and authority to enter into this Contract and to perform all of its obligations hereunder and that the execution and delivery of this Contract have been duly authorized.

5.7 Effective Date of Contract. This Contract shall not become effective until the date it has been executed by the appropriate authorities of City, Consultant & Applicant.

IN WITNESS WHEREOF, the parties hereto have executed this Contract as of the effective date set forth above.
“CITY”
City of Wildomar
By:

Daniel York, City Manager
“APPLICANT”
By:

XXX
1148
“CONSULTANT”
By:

XXX
“CONSULTANT”
By:

XXX
ATTEST:
_____________________________
Janet Morales, CMC
City Clerk
APPROVED AS TO FORM:
_____________________________
Thomas D. Jex, City Attorney
1149
EXHIBIT “A”
Project Description
___
1150
EXHIBIT “B”
Scope of Work/Budget
for
______________ Project
1151
EXHIBIT “C”
Consultant Services Agreement between _____
and the City
1152

CITY OF WILDOMAR

MEETING (CCR)

CONSENT CALENDAR
Agenda Staff Report # 1.8

Meeting Date: January 15, 2025
SUBJECT:

Cooperative Funding Agreement with Elsinore Valley Municipal Water District (EVMWD) for the Construction of the Palomar St. Widening Project, Phase 2 (CIP 028-2)
SUBMITTED BY:

Jason Farag, Public Works Director
PREPARED BY:

Jason Farag, Public Works Director

ACTION:

Authorize the City Manager to execute the Cooperative Funding Agreement with Elsinore Valley Municipal Water District (EVMWD) for the Palomar Street Widening Project, Segment 2 (CIP 028-2)
SUMMARY:

In conjunction with the Palomar Street Widening Project (Project), various Elsinore Valley Municipal Water District (EVMWD) domestic and recycled water service facilities will require relocation or adjustment. The proposed Cooperative Funding Agreement identifies that the City will include these relocations and adjustments in the City's construction of the Project and EVMWD will reimburse the City for those expenses.

BACKGROUND:

The City has prepared construction plans for the widening of Palomar Street from Wildomar Trail to Ione Lane, which includes the improvement of Gruwell Street from Palomar Street to Orange Street. On October 9, 2024, the City Council awarded a construction contract for the Project. Staff have been working with the contractor on pre-construction items and construction is anticipated to begin in February 2025. As part of the utility coordination process for the Project, various Elsinore Valley Municipal Water District (EVMWD) domestic and recycled water service facilities will require relocation or adjustment. The City and EVMWD have determined that it is mutually beneficial to include the required work in the City's construction of the Project.

DISCUSSION:

The City has prior rights over EVMWD along the segments of Palomar Street and Gruwell Avenue included in the Project, so EVMWD is obligated to perform the water facilities relocations and adjustments at their cost. To reduce any potential impacts to the City's construction schedule and allow the City's contractor to better coordinate the work with their other activities, the City has agreed to incorporate the construction of the required utility relocation/adjustment work in the City's construction, and EVMWD has agreed to reimburse the City for the related expenses. This cooperative agreement will improve efficiency and will also reduce the potential for conflicts that could cause delays and added costs during construction.

1153
A Cooperative Funding Agreement (Agreement) between the City and EVMWD has been prepared for the required water facility relocations and adjustments. The Agreement identifies each agency's obligations and identifies that the City will perform the work and EVMWD will reimburse the City for incurred costs. A copy of the Agreement is included as Attachment A.

The cost for the water facility relocations and adjustments is $174,000, including a 10% contingency to cover any unforeseen items that may occur. Funds for these expenditures will come from Fund 500, Capital Reinvestment, and will be reimbursed by EVMWD per the proposed Agreement.

Staff recommends that the City Council authorize the City Manager to execute the Cooperative Funding Agreement with EVMWD for the domestic and recycled water service relocations and adjustments required for the Palomar Street Widening Project, Segment 2.

FISCAL IMPACT:

Funds for the relocations and adjustments of the EVMWD water facilities were included in the previously approved construction budget for CIP 028-2 and will come from Fund 500, Capital Reinvestment. No additional funding is needed and there is no impact to the General Fund.

ACCOUNT CODE:

Fund: 500-4500-52115
Project: CIP 028-2
Phase: Construction
Total Cost: $174,000

ATTACHMENTS:

A - Cooperative Agreement
1154
- 1 -

COOPERATIVE FUNDING AGREEMENT
PALOMAR STREET WIDENING PROJECT (CIP 028-2)

This Cooperative Funding Agreement (“Agreement”) is made on this ____ day of __________ 2025 (“Effective Date”), by and between the City of Wildomar, a California municipal corporation ("CITY"), and the Elsinore Valley Municipal Water District, a California municipal water district ("EVMWD"), which are collectively referred to herein as “Parties” and individually as “Party.”

RECITALS
WHEREAS, the CITY is planning a Capital Improvement Project (“Project”) to provide roadway improvements and bike lanes and a multi-purpose trail on Palomar Street between Wildomar Trail and Ione Lane and on Gruwell Street from Westerly of Palomar Street to Orange Street as shown on Exhibit “A” attached hereto and incorporated herein by this reference; and WHEREAS, EVMWD has existing domestic and re cycled water service facilities along Palomar and Gruwell Streets within CITY’s right-of-way wh ich require relocation and adjustments for the Project; and
WHEREAS, the CITY requested EVMWD to relocate and adjust the water facilities as shown on Exhibit “B” – “Utility Plans U1-U4”, attached hereto and incorporated herein by this reference; and WHEREAS, the CITY and EVMWD have determined th at it is more economical to include the work of the “EVMWD Water Facilities Relocation” in the CITY’s Project and jointly fund the cost of the project (“Combined Project”); and

WHEREAS, the cost of EVMWD Water Facilities Relocation within the Combined Project totals One Hundred Seventy-Four Thousand Dollars and Zero Cents ($174,000.00) hereinafter known as “EVMWD CONTRIBUTION”; and
WHEREAS, the CITY and EVMWD acknowledge it is in the best interests of the public to proceed 1155
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with the construction of Combined Project at the earliest possible date; and WHEREAS, the purpose of this Agreement is to memorialize the mutual understandings by and between CITY and EVMWD with respect to funding and construction of the water service relocations and adjustments.

WHEREAS, the Parties acknowledge that the Ci ty has or will comply with the California Environmental Quality Act (CEQA) and all other applicable laws, as a precondition to construction of the Project.

NOW, THEREFORE, in consideration of the preceding recitals and the mutual covenants hereinafter contained, the parties hereto mutually agree as follows:

SECTION I

1. Incorporation of Recitals. The recitals above are true and correct and are hereby incorporated herein by this reference.

SECTION II
CITY shall:

1. Manage and oversee the Combined Project to its completion.

2. Award and administer the construction of the Combined Project, including the administration of contracts for the portion of the relocations and adjustments of water services included in the Combined Project.

3. Keep an accurate accounting of all water service facilities relocation and adjustment costs and include this final accounting when invoicing EVMWD for payment. The final accounting of costs shall include a detailed breakdown of all costs, including but not limited to, payment vouchers and 1156
- 3 -

other such contract documents as may be necessary to establish the actual costs of the water service facilities relocation and adjustment.

4. Upon receiving invoices for the water services facility relocations and adjustment costs, invoice EVMWD for EVMWD CONTRIBUTION or the applicable portion thereof.

5. Schedule inspection forty-eight (48) hours in advance of performing any work on EVMWD facilities.

6. Ensure that all work performed pursuant to this Agreement by CITY, its agents or contractors is done in accordance with all applicable laws and regulations, including but not limited to, all applicable provisions of the Labor Code, Busi ness and Professions Code, Public Contracting Code, and Water Code.

7. For the period during which the City or its contractor(s) control the job site, City shall provide, or cause to be provided, for the entire period of construction, a policy of worker’s compensation insurance and comprehensive general liability insurance or self-insurance with coverage broad enough to include the contractual obligation it may have under any relevant construction contracts and having a combined single limit of liability in the amount of one million dollars ($1,000,000.00) covering EVMWD’s directors, officers, employees and agents as additional insured.

SECTION III
EVMWD shall:

1. Inspect and approve EVMWD Water Facilities Relocation Project Construction.

2. Pay CITY within thirty (30) days after receipt of CITY's appropriate invoice for EVMWD CONTRIBUTION or portion thereof.
1157
- 4 -

SECTION IV

It is further mutually agreed:

1. EVMWD CONTRIBUTION shall not exceed a total sum of One Hundred Seventy-Four Thousand Dollars and Zero Cents ($174,000.00) with out written amendment to this Agreement and shall be used by CITY solely for the EVMWD Water Facilities Relocation as set forth herein.

2. EVMWD shall indemnify, defend, save and hold harmless CITY (including their respective directors, officers, elected and appointed official s, employees, agents, representatives, independent contractors and subcontractors) from any liabilities, claim, damage, proceeding or action, present or future, based upon, arising out of or in any way relating to EVMWD's (including its officers, employees, agents, representatives, independent contractors and subcontractors) actual or alleged acts or omissions related to this Agreement, performance under this Agreement or failure to comply with the requirements of this Agreement, including but not limited to, (a) property damage; (b) bodily injury or death; (c) payment of attorney's fees; or (d) any other element of any kind or nature whatsoever.

3. CITY shall indemnify, defend, save and hold harmless EVMWD (including their respective officers, Board of Directors, appointed or electe d officials, employees, agents, representatives, independent contractors and subcontractors) from any liabilities, claim, damage, proceeding or action, present or future, based upon, arising out of or in any way relating to CITY's (including its officers, elected and appointed officials, employees, agents, representatives, independent contractors and subcontractors) actual or alleged acts or omissions related to this Agreement, performance under this Agreement or failure to comply with the requirements of this Agreement, including but not limited to, (a) property damage; (b) bodily injury or death; (c) payment of attorney's fees or (d) any other element of any kind or nature whatsoever.
1158
- 5 -

4. In the event that any dispute between the Parties arises under this Agreement, the Parties shall first attempt to resolve such dispute at the management level. If the dispute is not resolved at this level within a mutually acceptable period of ti me (not to exceed 60 calendar days from the date written notice of such dispute is delivered by either Party), the Parties shall attempt to resolve the dispute at the senior management level. If this process and the involvement of senior management do not result in resolution of the dispute within 60 calendar days from the date of referral to upper management, then the dispute shall be referred to and finally resolved through arbitration (if agreed to by both Parties) or legal proceedings. The use of the foregoing procedure is a condition precedent to the commencement of any legal proceedings hereunder. Neither the pendency of a dispute nor its consideration by arbitration shall excuse CITY from full and timely performance of Pipeline Relocation Project, as set forth in this Agreement.

5. Any Party to this Agreement may declare a breach hereof by serving written notice describing the nature of the breach to the other Party. The Party alleged to have breached the Agreement shall be afforded thirty (30) days from service of the notice of breach to take whatever steps necessary to cure the breach. If the breach is not cured within the time parameters set forth herein, the Parties will avail themselves of the dispute procedure set forth in Section IV, Paragraph 4, above.

6. This Agreement is made and entered into for the sole protection and benefit of the parties hereto. No other person or entity shall have any right or action based upon the provisions of this Agreement.

7. Any and all notices sent or required to be sent to the parties of this Agreement will be mailed by first class mail, postage prepaid, to the following addresses:
1159
- 6 -

CITY OF WILDOMAR ELSINORE VALLEY MUNICIPAL WATER DISTRICT 23873 Clinton Keith Road, Ste 110 31315 Chaney Street
Wildomar, CA 92595 Lake Elsinore, CA 92530
Attn: City Engineer Attn: General Manager

8. If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions will nevertheless continue in full force without being impaired or invalidated in any way.

9. This Agreement is to be construed in accordance with the laws of the State of California.

10. The Parties hereto shall not assign this Agreement without the written consent of the other Party.

11. Any action at law or in equity brought by any of the Parties hereto for the purpose of enforcing a right or rights provided for by the Ag reement, shall be tried in a court of competent jurisdiction in the County of Riverside, State of Ca lifornia, and the Parties hereto waive all provisions of law providing for a change of venue in such proceedings to any other county.

12. Any waiver by CITY or EVMWD, or any breach by any other party of any provision of this Agreement shall not be construed to be a waiver of any subsequent or other breach of the same or any other provision hereof. Failure on the part of CITY or EVMWD to require from any other party exact, full and complete compliance with any of the provisions of this Agreement shall not be construed as in any manner changing the terms hereof, or estopping CITY or EVMWD from enforcing this Agreement.

13. This Agreement is intended by the Parties hereto as a final expression of their understanding with respect to the subject matter hereof and as a complete and exclusive statement of the terms and conditions thereof and supersedes any and all prior and contemporaneous 1160
- 7 -

agreements and understandings, oral and written, in connection therewith. This Agreement may be changed or modified only upon the written consent of the Parties hereto.

14. This Agreement may be executed and delivered in any number of counterparts or copies, hereinafter called "COUNTERPART", by the Parties hereto. When each party has signed and delivered at least one COUNTERPART to the other Parties hereto, each COUNTERPART shall be deemed an original and, taken together, shall constitute one and the same Agreement, which shall be binding and effective as to the Parties hereto.

15. The signatories hereto represent that they have been appropriately authorized to execute this Agreement on behalf of the Party for whom they sign.

16. If any lawsuit is commenced to enforce any of the terms of this Agreement, the prevailing Party will have the right to recover its reasonable attorney’s fees and costs of suit from the other Party. 1161
- 8 -

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date(s) set forth below

SIGNATURE PAGE TO

COOPERATIVE FUNDING AGREEMENT
PALOMAR STREET WIDENING PROJECT CIP 028-2

CITY OF WILDOMAR

By
Daniel A. York
City Manager

Date:

ELSINORE VALLEY MUNICIPAL WATER DISTRICT

By
Greg Thomas
General Manager

Date:

ATTEST:

By
District Secretary

1162
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EXHIBIT “A”

SEE ATTACHED

1163
Revised: 4/8/20
21 CITY OF WILDOMAR

PUBLIC WORKS DEPARTMENT
23873 CLINTON KEITH RD., SUITE 201
WILDOMAR, CA 92595
PALOMAR ST. SIDEWALK, TRAIL, AND BIKE LANE CONNECTIVITY

PROJECT LAYOUT MAP
2021 SB 821 CALL FOR PROJECTS
PALOMAR ST.

GRUWELL ST.

WILDOMAR TRAIL

PROJEC T AREA

WILDOMAR ELEMENTARY
SCHOOL
1164

EXHIBIT “B”

SEE ATTACHED
1165

MARK BY DATE

ENGINEER REVISIONS CITY
APPR. DATE
SEAL-ENGINEER:

R.C.E. No.

BENCHMARK:

SCALE:

H: V:

SHEET No.

OF SHTS
The private engineer signing these plans is responsible for assuring the accuracy and acceptability of the design hereon. In the event of discrepancies arising after City acceptance or during construction, the private engineer shall be responsible for determining an acceptable solution and revising the plans for acceptance by the City.

WORK CONTAINED WITHIN THESE PLANS SHALL NOT

COMMENCE UNTIL AN ENCROACHMENT PERMIT
AND/OR A GRADING PERMIT HAS BEEN ISSUED.

EXP.C92279 06/30/2025
ONTARIO, CA 91784
4200 CONCOURS ST., SUITE 330
80 PP, CUP, PM, TM, etc. Project CIP 67-1 & 28-2

CITY OF WILDOMAR

CEMETERY IMPROVEMENTS AND PALOMAR ST WIDENING
As Noted As Noted

CITY OF WILDOMAR
Jason Farag, PE 86560 Director of Public Works
Date:

ACCEPTANCE AS TO CONFORMANCE

WITH APPLICABLE CITY STANDARDS AND

PRACTICES
ACCEPTED BY:

PREPARED BY:

KIMBERLY BARLING
O 9/6/2
Elevation = 1255.326'
Datum = NGVD 29
BENCHMARK #E-21, U.S.C. & G.S.

THIS SURVEY WAS PERFORMED
ON MARCH 1, 2021 BY LAM LE
L.S. 8231, EXP. 12/31/20258/13/20241 KB Addendum Number 1 Revisions UTILITY PLAN KB3 8/21/2024 Utility Revisions
QB5 9/6/2024 Utility Revisions
2 Addendum #2 Revisions
1166

MARK BY DATE

ENGINEER REVISIONS CITY
APPR. DATE
SEAL-ENGINEER:

R.C.E. No.

BENCHMARK:

SCALE:

H: V:

SHEET No.

WORK CONTAINED WITHIN THESE PLANS SHALL NOT

COMMENCE UNTIL AN ENCROACHMENT PERMIT
AND/OR A GRADING PERMIT HAS BEEN ISSUED.

EXP.C92279 06/30/2025
ONTARIO, CA 91784
4200 CONCOURS ST., SUITE 330
80 PP, CUP, PM, TM, etc. Project CIP 67-1 & 28-2

CITY OF WILDOMAR

CEMETERY IMPROVEMENTS AND PALOMAR ST WIDENING
As Noted As Noted

CITY OF WILDOMAR
Jason Farag, PE 86560 Director of Public Works
Date:

ACCEPTANCE AS TO CONFORMANCE

WITH APPLICABLE CITY STANDARDS AND

PRACTICES
ACCEPTED BY:

PREPARED BY:

KIMBERLY BARLING
O 9/6/2
Elevation = 1255.326'
Datum = NGVD 29
BENCHMARK #E-21, U.S.C. & G.S.

THIS SURVEY WAS PERFORMED
ON MARCH 1, 2021 BY LAM LE
L.S. 8231, EXP. 12/31/20258/13/20241 KB Addendum Number 1 Revisions UTILITY PLAN QB5 9/6/2024 Utility Revisions
2 Addendum #2 Revisions
1167

1168

MARK BY DATE

ENGINEER REVISIONS CITY
APPR. DATE
SEAL-ENGINEER:

R.C.E. No.

BENCHMARK:

SCALE:

H: V:

SHEET No.

WORK CONTAINED WITHIN THESE PLANS SHALL NOT

COMMENCE UNTIL AN ENCROACHMENT PERMIT
AND/OR A GRADING PERMIT HAS BEEN ISSUED.

EXP.C92279 06/30/2025
ONTARIO, CA 91784
4200 CONCOURS ST., SUITE 330
80 PP, CUP, PM, TM, etc. Project CIP 67-1 & 28-2

CITY OF WILDOMAR

CEMETERY IMPROVEMENTS AND PALOMAR ST WIDENING
As Noted As Noted

CITY OF WILDOMAR
Jason Farag, PE 86560 Director of Public Works
Date:

ACCEPTANCE AS TO CONFORMANCE

WITH APPLICABLE CITY STANDARDS AND

PRACTICES
ACCEPTED BY:

PREPARED BY:

KIMBERLY BARLING
O 9/6/2
Elevation = 1255.326'
Datum = NGVD 29
BENCHMARK #E-21, U.S.C. & G.S.

THIS SURVEY WAS PERFORMED
ON MARCH 1, 2021 BY LAM LE
L.S. 8231, EXP. 12/31/20258/13/20241 KB Addendum Number 1 Revisions UTILITY PLAN QB5 9/6/2024 Utility Revisions
2 Addendum #2 Revisions
1169

CITY OF WILDOMAR

MEETING (CCR)

CONSENT CALENDAR
Agenda Staff Report # 1.9

Meeting Date: January 15, 2025
SUBJECT:

Fourth Amendment to Agreement with RRM Design Group,
Inc., for the 27-Acre Park Project (CIP 062-1)
SUBMITTED BY:

Jason Farag, Public Works Director
PREPARED BY:

Cameron Luna, Associate Engineer

ACTION:

1. Authorize the City Manager to execute the Fourth Amendment to the Agreement with RRM Design Group for the 27-Acre Park Project for an amount not to exceed $66,352.

2. Approve a supplemental appropriation for Fund 201 (Measure A) to add $13,900 in expenditures.

SUMMARY:

To complete the design of Phase 1 of the 27-Acre Park, some design work for street improvements that will be included in Phase 2 of the Park is needed now to ensure that the Phase 1 final design will not conflict with the Phase 2 street improvements. This Fourth Amendment incorporates the scope of work and fee for this design work.

BACKGROUND:

The 27-Acre Park (Park) is a proposed City park located on the northeast corner of La Estrella Street and Susan Drive, southwest of Wildomar Trail. The Park is adjacent to Ronald Reagan Elementary School and is included in the City's Parks Master Plan. The City and RRM are currently finalizing design plans for Phase 1 of the Park and the City has been awarded grant funding for the construction of Phase 1.

The City and
RRM Design Group (RRM)
first entered in an Agreement on October 11, 2017 to
prepare a visioning document for parks included in the City's Parks Master Plan. A First Amendment to the Agreement was made on May 9, 2018. The First Amendment authorized RRM to provide concepts and a preferred schematic plan for a separate 11-Acre park site at Grand Avenue and Leslie Street.

A Second Amendment to the Agreement was approved on October 14, 2020. The Second Amendment authorized RRM to prepare a Design Development Package and Construction Documents for Phase I of the 27-Acre Park.

The City and RRM entered into a Third Amendment to the Agreement on October 11, 2023.

The Third Amendment amended the Term of the Agreement.

This Fourth Amendment recommends authorizing RRM to prepare schematic Plan and Profile sheets for Susan Drive and La Estrella Street for 27-Acre Park. 1170

DISCUSSION:

RRM is currently nearing the completion of the design of Phase 1 of the 27-Acre Park. Phase 1 of the 27-Acre Park includes some initial parking areas, trail systems, and a bicycle track.

Phase 2 of the park is currently planned to include street improvements along Susan Drive and an extension of the street improvements along La Estrella Road.

To ensure that the Phase 1 design of the park will not conflict with the future street improvements along the park boundary, a Fourth Amendment has been proposed to authorize RRM to survey Susan Drive between Wildomar Trail and La Estrella Street, and La Estrella Street from the current terminus near Ronald Reagan Elementary to Susan Drive. RRM will then prepare separate preliminary Plan and Profile sheets for both roadways for construction in Phase 2 of the park project. These existing streets are unpaved and the elevation of the streets may change when they are fully improved. Authorizing this extra work now will ensure that the onsite improvements in Phase 1 of the Park will conform to the future roadway elevations, reducing or eliminating unnecessary reconstruction and utility coordination in Phase 2.

No other changes to the Agreement are proposed. A copy of the proposed Fourth Amendment is included as Attachment A.

Staff recommends that the City Council authorize the City Manager to execute the Fourth Amendment and recommends that the City Council approve the proposed budget adjustments to cover the cost of the amendment.

FISCAL IMPACT:

The Fourth Amendment is for a cost not to exceed $
66,352
.

Staff recommends using Measure
A funds to cover a proportional share of the Plan and Profile costs for Susan Drive where the survey limits extend north of the park frontage to Wildomar Trail. Measure A funds were not previously included in the budget for CIP 062-1, so staff recommends that the City Council approve a budget adjustment adding $13,900 in expenditures for funds identified in the Account Code section of this staff report.

Adequate funds from DIF Park Improvement Funds (Fund 461) were already included in the approved 5-Year CIP Booklet and in the FY 24/25 budget to cover the remaining portion of costs for this amendment ($52,527). Staff recommends these funds be reallocated from CIP 062-2 to CIP 062-1, as noted in the Account Code section of this staff report, since the scope is primarily related to construction deliverables in Phase 2 but necessary to finalize the design of Phase 1. Attachment B shows the updated allocations in the CIP Booklet Detail Sheets. A summary of the amended Project budgets is included below.

There is no impact to the General Fund.

Amended Project Budget for CIP 062-1 for FY 24/25
DIF Park Improvement (Fund 461) - $1,344,727
Measure A (Fund 201) - $13,825
Misc. State Funds (Fund 507) - $1,211,800

Amended Project Budget for CIP 062-2 for FY 24/25
DIF Park Improvement (Fund 461) - $197,473

ACCOUNT CODE:
1171
Budget Amendments (FY 24/25)
Project: CIP 062-1
Phase: Design/PS&E
Measure A (201-4500-52115)
Expenditures = $13,900
DIF Parks Improvements (461-4500-52115)
Expenditures =
$52,527

Project: CIP 062-2
Phase: Design/PS&E
DIF Parks Improvements (461-4500-52115)
Expenditures = ($52,527) (Reduction)

ENVIRONMENTAL ANALYSIS:

An IS/MND for the project has been completed in conformance with the California Environmental Quality Act (CEQA) for 27-Acre Park.

ATTACHMENTS:

A - 4th Amendment
B - Updated CIP Booklet Detail Sheets
1172
RIV #4844-0876-1400 v1

FOURTH AMENDMENT TO

DESIGN PROFESSIONAL SERVICES AGREEMENT

FOR LANDSCAPE ARCHITECTURAL SERVICES FOR
27 ACRE PARK

by and between the

CITY OF WILDOMAR

and

RRM DESIGN GROUP, INC.

Dated January 15, 2025
1173
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FOURTH AMENDMENT TO DESIGN PROFESSIONAL SERVICES AGREEMENT FOR LANDSCAPE ARCHITECTURAL SERVICES FOR THE 27 ACRE PARK

This Fourth Amendment to Agreement for Design Professional Services (“Fourth Amendment”), which is dated fo r reference as indicated on the cover page, is hereby entered into by and between the CITY OF WI LDOMAR, a California general law city (“City”), and RRM Design Group, Inc. a St ate of California Corporation (“Design Professional”), as follows:

RECITALS

A. City and Design Professional ent ered in an agreement for Design Professional Services on October 11, 2017 (“Agreement”). The Agreement provides that Design Professional will perform Landscape Architectural services.

B. Section 2 of the Ag reement provides that Scope and Cost for the performance of the services.

C. The City and Design Professional entered in a First Amendment to Agreement on May 9, 2018. The First Amendment amended Section 2 to provide concepts, and a preferred schem atic plan for a potential 11 acre park site at Grand Avenue and Leslie Street.

D. The City and Design Professional ent ered into a Second Amendment to Agreement on October 14, 2020. The Second Amendment amended Section 2 to include preparation of Design Development Package and Construction Documents for Phase I of a phased development of the approved Master Plan.

E. The City and Design Professional entered into a Third Amendment to Agreement on October 11, 2023. The Third Amendment amended Section 1 relating to the Term of the Agreement.

F. This Fourth Amendment amends Section 2 Scope of Services for preparing Schematic Plan and Profile sheet(s) for La Estr ella Street and Sus an Drive (Exhibit D) and Section 4 of the agreement relating to the Total Compensation of the Agreement.

OPERATIVE PROVISIONS

NOW, THEREFORE, in consideration of the promises made and recited herein, the parties do hereby enter into this Fourth Amendment which modifies and amends the Agreement as follows:

1. AMENDMENT. The Agreement is hereby modified and amended as follows:

1.1 Section 2 of the Agreement is hereby amended to read as follows:

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(a) Scope of Services. Service Provider agrees to perform the services set forth in Exhibit “A” “Scope of Services” (hereinafter, the “Services”) and Exhibit “D” of the Fourth Amendment respectively and made a part of this Agreement by this reference.

1.2 Section 4 of the Ag reement is hereby amended to read as follows:

(a) Subject to any limitations set forth in this Agreement, City agrees to pay Service Provider the amounts specified in Exhibit “B” “Compensation” and made a part of this Agreement by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed Five Hundred Fourty-Two Thousand Nine Hundred and One dollars ($542,901) , unless additional compensation is approved in writing in accordance with Section 26 “Administration and Implementation” or Section 28 “Amendment” of this Agreement. In accordance with California Government Code Section 8546.7, if the Not to Exceed Amount exceeds TEN THOUSAND DOLLARS ($10, 000.00), this Agreement and the Service Provider's books and records related to this Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of thr ee (3) years after final payment under the Agreement.

2. GENERAL PROVISIONS

1.3 Remainder Unchanged . Except as specifically modified and amended in this Fourth Amendment, the Agreement remains in full force and effect and binding upon the parties.

1.4 Integration. This Fourth Amendment consists of pages 1 through 4 inclusive, which constitute the entire under standing and agreement of the parties and supersedes all negotiations or previous agreements between the parties with respect to all or any part of the transaction discussed in this Fourth Amendment.

1.5 Effective Date. This Fourth Amendment s hall not become effective until the date it has been form ally approved by the City Co uncil and executed by the appropriate authorities of the City and Design Professional. 1175
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1.6 Applicable Law. The laws of the State of California shall govern the interpretation and enforcement of this Fourth Amendment.

1.7 References. All references to the Agreement include all their respective terms and provisions. All defined terms utilized in this Fourth Amendment have the same meaning as provided in the Agreement, unless expressly stated to the contrary in this Fourth Amendment.

IN WITNESS WHEREOF , the parties hereto have executed this Fourth Amendment to the Agreement on the date and year first written above.

CITY

CITY OF WILDOMAR

By:

Dan York, City Manager
ATTEST:

Janet Morales, City Clerk

APPROVED AS TO FORM

Thomas D. Jex, City Attorney

DESIGN PROFESSIONAL

RRM Design Group

By:

Mike Sherrod, ASLA, LEED AP
Its: Principal
1176
EXHIBIT "D"
Extra Work - Schematic Plan and Profile for
Susan Drive and La Estrella Street
Scope and Fee
1177
27 Acre Park
City of Wildomar
Contract Amendment 04
January 7, 2025

Page 1 of 4 ends

Wildomar City CouncilJanuary 15, 2025

Wildomar City Council
January 15, 2025