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Home My WebLink About1995-01-24 - AGENDA REPORTS - 6 30 94 ANNUAL FIN RPT MGMT (2)AGENDA REPORT City Manager Approval /0, Item to be presented by: Steve Stark NEW BUSINESS DATE: January 24, 1995 SUBJECT: 6-30-94 Comprehensive Annual Financial Report and Management Letter DEPARTMENT: Finance BACKGROUND The City's independent audit firm, Diehl, Evans and Company, has completed the City's annual audit for fiscal year ending June 30, 1994. Diehl, Evans and Company conducted the audit in accordance with generally accepted auditing standards whereby an audit plan was prepared and followed to obtain reasonable assurance that the City's financial statements were free from material misstatements. The Audit included an examination, on a test basis, of evidence supporting the amounts and disclosures in the financial statements. The audit also included assessing the accounting principles used and significant estimates made by management as well as evaluating the overall general purpose financial statement presentation. Based on the audit performed, Diehl, Evans and Company issued an unqualified audit opinion letter which reflects the best level of opinion an organization can receive on its financial statements. This letter is identified as the "Independent Auditors' Report" in the City's Comprehensive Annual Financial Report for FYE 6-30-94. An excerpt of This letter is shown at Attachment 1. As part of the audit engagement, Diehl, Evans and Company prepared a Management Letter (Attachment 2) to comment on the City's internal control structure and its operations. The purpose of this letter is to make recommendations for management to implement procedures to improve systems in place or note weaknesses in internal controls. For FYE 6-30-94, there were no significant material weakness comments by the auditors. Diehl, Evans and Company has incorporated the City's response into their recommendations and comments. RECOMMENDATIONS 1. Receive oral presentation from Diehl, Evans and Company covering City's financial audit and internal control structure and its operation. 2. Receive Comprehensive Annual Financial Report and Management Letter for FYE 6-30-94. ATTACHMENTS - 6-30-94 Comprehensive Annual Financial Report - Available in the City Clerk's reading file - Attachment 1 - Audit Opinion Letter dated October 21, 1994 - Attachment 2 - Manage +Letter?Px ��,-G-30-94 ; f Agenda ltem: co=dVaudit.agn ®DIEHL,EUANS &COMPANY CERTIFIED PUBLIC .ACCC(,TN7AN FS A RAM ERSHIP INL NU , AIX . TANCI WWRATIONS 18401 VON KARMAN AVE., SUITE 200 IRVINE, CALIFORNIA 92715-1542. PHONE (714) 757-7700 FAX (714) 757-2707 City Council City of Santa Clarita Santa Clarita, California October 21, 1994 INDEPENDENT AUDITORS' REPORT ROONEY K blc[L1h TEL, CPA MICHAEL R LUDN. CRA lTt Alt W.}PRAAER. CPA PHILIPIf "ITKA6IP.CBA THOALAS M PERLLJ SKI. (TPA HARVEY 5CHR"IIER. CPA We have audited the general purpose financial statements of the City of Santa Clarita, California as of and for the year ended June 30, 1994, as listed in the table of contents. These financial statements are the responsibility of the City's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards required that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general purpose financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the general purpose financial statements referred to above present fairly, in all material respects, the financial position of the City of Santa Clarita as of June 30, 1994 and the results of its operations and the cash flows of its proprietary fund types for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The financial statements of the combining individual funds and account groups listed in the table of contents under supplementary information are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the City of Santa Clarita. The information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the general purpose financial statements taken as a whole. The statistical information listed in the table of contents is not a required part of the basic financial statements, and we did not audit or apply limited procedures to such information and do not express any assurance on such information. DiaAZ 41 &,-� aA.,d- C� -1- OTHER OFFICES AT: 2965 ROOSEVELT STREET 613 W VALLEY RARKWVY SUITE ))J CARLSBAD, CA 9M 2389EECONDIIAT, CA Q2025 25e (619) 729.214)- _ 1619) 741-3 111 FAX (619) 729-2254 FAX {6191 741 9890 ®DIEHL,EVANS &COMPANY CERTIFIED PVBUC ACCOl1NTA A PMR RSHIP 1, C ULNNG AL CG NTANCICS]N Ai S 18401 VON KARMAN AVE., SUITE 200 IRVINE, CALIFORNIA 92715-1542 PHONE (714) 757-7700 FAX (714) 757.2707 Honorable Mayor, Members of City Council and City Manager of the City of Santa Clarita Santa Clarita, California January 8, 1995 RODNEY K. Mc NIEL, CPT MICHAEL R. LUDIN, CPA CRAIG W SPEAKER, CPA PHILIP H. HOLTKAMP. CPA n IOMAS M. PERLOWSKI. CPA HARVEY ). SCI IROEDER, CPA In planning and performing our audit of the general purpose financial statements of the City of Santa Clarita, California for the year ended June 30, 1994, we considered its internal control structure in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the internal control structure. Our study and evaluation was more limited than would be necessary to express an opinion on the system of internal accounting control taken as a whole and we do not express such an opinion. The management of the City of Santa Clarita is responsible for establishing and maintaining a system of internal accounting control. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of control procedures. The objectives of a system are to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with management's authorization and recorded properly. During our audit, we noted certain matters involving the internal control structure and its operation that we wish to call to your attention. These matters are set forth below, together with our recornmendations for improvement. FIXED ASSETS Auditor comment and recommendation: We noted that the City accounts for fixed assets only by compiling a yearly list of additions and deletions. To more accurately account for fixed assets, we recommend that a "cumulative total" fixed assets schedule be prepared and reconciled to additions, deletions, and transfers between departments on a quarterly basis. -1- OTHER OFFICES AT: .965 ROOSEVELT STREET 613 W VALLEY PARKWAY. SUITE 330 CARLSBAD. CA 9;1X8.2389 ESCONDIDO. CA 92025.2598 16193 729-2343 (619) 7417191 FAX (619) 7292234 PAX 16191741 98W Management response: The Finance Department has purchased a new software program to track fixed asset purchases. The program will provide a cumulative listing with a total that agrees with the general ledger and other reports relating to additions and deletions of assets. Currently, Finance Department staff are entering historical data of fixed asset purchases from incorporation of the City and will schedule any additions, deletions and transfers between departments on a regular basis.. PROPERTY MANAGEMENT Auditor comment and recommendation: We noted that rents from tenants are not collected in a timely manner. We recommend the City develop a system which provides for the timely monitoring and collection of rents. This will improve accounting and collection of rental revenues earned. Management response: The General Services division currently is working on automating the property management billing functions. A completion date of January 31, 1995 is anticipated to implement a new software program which will provide invoices and reports on tenant data in a more timely manner. As part of the new program, delinquency notices will be generated for mailing. This process, plus any other collection efforts, will be noted in the software program notes section. With regard to the timely collection of rents, the amounts receivable at year end were primarily due to determination of rent adjustments resulting from earthquake vacancies. At the present time, the majority of the tenants are current on their rent terms. DATA PROCESSING_ SOFTWARE Auditor comment and recommendation: During the processing of payroll, the general ledger software allowed unbalanced interfund transfers of cash between cash accounts, causing the general ledger to be out of balance. We recommend evaluating and modifying the general ledger software to prevent unbalanced entries to the general ledger. Management response: Information Resources staff has resolved with the general ledger software vendor problems relating to payroll entries that allowed an out of balance transaction to post. As part of the Finance Department staff month end financial review, the general ledger is checked to assure that it is in balance and any out of balances investigated and corrected. -2- OUTSTANDING CHECKS Auditor comment and recommendation: We noted that accounts payable and payroll checks outstanding for a long period were not investigated in a timely manner.. In order to reflect cash balances more accurately, we recommend that checks which have been outstanding for 6 months or longer be investigated, voided, and reissued if necessary. Management response: The Finance Department has implemented a procedure in which outstanding payroll and accounts payable checks are evaluated on a monthly basis for items that are over six months old. Upon investigation of the items, staff will determine the appropriate disposition of the check. These conditions were considered in determining the nature, timing and extent of the audit tests to be applied in our audit of the City of Santa Clarita's general purpose financial statements and this letter does not affect our report on these financial statements dated October 21, 1994. This letter is intended solely for the information and use of the City Council and City Management. We wish to thank the Finance Department staff for their cooperation and assistance to our staff during our audit. If we can be of further assistance in clarifying any of the above points, please do not hesitate to contact us. D idZ, &La4a G9�� -3- .J .Year }>_ Prepared by the Steve Star} OF rl 4�.a I M"V ' W ,,c C F. ,w - £ VV0V O`\ OEO Xs DECEMBfO TM 'Il A A Z11D 1 ey ' t4 Fb- yv N R. :. rzi: I M"V ' W ,,c C F. ,w - £ VV0V O`\ OEO Xs DECEMBfO TM 'Il A 1 I M"V ' W ,,c C F. ,w - £ VV0V O`\ OEO Xs DECEMBfO TM 'Il A TABLE OF CONTENTS INTRODUCTORY SECTION: Page Number Table of Contents ...................................... .... i Letter of Transmittal ............. .. ................... iii GFOA Certificate of Achievement for Excellence in Financial Reporting svi CSMFO Certificate of Award for Outstanding Financial Reporting .............. ... xvu Officials of the City of Santa Clarita ...................................... xviii Organizational Chart ................................................. xix Map of the City .................................................. xx FINANCIAL SECTION: Independent Auditors' Report............................................1 General Purpose Financial Statements: Combined Balance Sheet - All Fund Types and Account Groups 2-3 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types and Expendable Trust Fund ... 4-5 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual - General, All Budgeted Special Revenue Funds, Debt Service Funds and All Budgeted Capital Project Funds .......... 6-9 Combined Statement of Revenues, Expenses and Changes in Retained Earnings - All Proprietary Fund Types ..................... ........... 10 Combined Statement of Cash Flows - All Proprietary Fund Types .............. 11 Notes to Financial Statements ...................................... 12-38 Supplementary Information: General Fund: Comparative Balance Sheet ..... ............................ ...... 39 Comparative Statement of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual .................................... 40 Special Revenue Funds: Combining Balance Sheet ......................................... 41-43 Combining Statement of Revenues, Expenditures and Changes in Fund Balances... .............................................. 44-46 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual - All Budgeted Special Revenue Funds ............. ..... .. 47-53 Debt Service Funds: Combining Balance Sheet ............................................ 54 Combining Statement of Revenues, Expenditures and Changes in Fund Balances...................................................55 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual ................................ 56-57 i TABLE OF CONTENTS (CONTINUED) Page Supplementary Information (Continued): Number Capital Project Funds: Combining Balance Sheet ... ................... . ............. 58 Combining Statement of Revenues, Expenditures and Changes in Fund Balances ..... ........... ......................._.......59 Transit Enterprise Fund: Comparative Balance Sheet ........................ • .. • .......... 60 Comparative Statement of Revenues, Expenses and Changes in Retained Earnings.,......................._._....._..........,.....61 Comparative Statement of Cash Flows .................................. 62 Internal Service Funds: Combining Balance Sheet ............................................ 63 Combining Statement of Revenues, Expenses and Changes in Retained Earnings ................................................. 64 Combining Statement of Cash Flows ................................... 65 Fiduciary Fund Types - Trust and Agency Funds: Combining Balance Sheet ............................................. 66 Comparative Statement of Revenues, Expenditures and Changes in Fund Balance -Expendable Trust Fund ............................... 67 Statement of Changes in Assets and Liabilities - Agency Funds ............... 68 Account Groups: General Fixed Assets Account Group: Comparative Schedule of General Fixed Assets by Source .................. 69 Schedule of General Fixed Assets by Function and Activity ................. 70 Schedule of Changes in General Fixed Assets by Function and Activity ........ 71 General Long -Term Debt Account Group: Comparative Schedule of General Long -Term Debt ..................... 72 STATISTICAL SECTION: General Governmental Revenues by Source...............................73 General Governmental Expenditures by Function ............................ 74 Assessed and Estimated Actual Values of All Taxable City Property ............. 75 Schedule of Direct and Overlapping Bonded Debt ........ .................. 76 Schedule of Legal Debt Margin ... .......................... _ ......... 77 Property Tax Levies and Tax Collections ................................. 78 Insurance in Force ....... 79-80 Demographic Statistics ............................................... 81 Principal Sales Taxpayers and Major Employers ...... .. ................. 82 Property Value, Constructions, and Bank Deposits ......................... 83 Property Tax Rates - All Overlapping Governments ......................... 84 Miscellaneous Statistics ...................................... :....... 85 n 23920. Valencia Blvd.. Suite 300 Santa Clarita California 91355 -2196 City of Santa Clarita November 28, 1994 Phone (805)259-2489 Fax (805) 259-8125 Honorable Mayor and Members of the City Council of the City of Santa Clarita, California To: City Manager It is a pleasure to submit for your information the Comprehensive Annual Financial Report of the City of Santa Clarita for the fiscal year ended June 30, 1994. Responsibility for both the accuracy of the data and the completeness and fairness of the presentation, including all disclosures, rests with the City's management. To the best of our knowledge and belief, the enclosed data are accurate in all material respects and are reported in a manner designed to present fairly the financial position and results of operations of the various funds and account groups of the City. All disclosures necessary to enable the reader to gain an understanding of the City's financial activities have been included. Organization of This Report The Comprehensive Annual Financial Report is prepared in accordance with generally accepted accounting principles (GAAP) as promulgated by the Governmental Accounting Standards Board (GASB) and includes the report of the independent public accounting firm of Diehl, Evans & Company. Organization of the financial report follows the guidelines set forth by the Government Finance Officers Association of the United States and Canada (GFOA) and the California Society of Municipal Finance Officers (CSMFO). A Certificate of Achievement for Excellence in Financial Reporting is presented by the GFOA and a Certificate of Award for Outstanding Financial Reporting by the CSMFO to those entities whose comprehensive annual financial reports are judged to substantially conform to program standards. In order to receive the awards, a governmental unit must publish an easily readable and efficiently organized comprehensive annual financial report that conforms to program standards. Such a report must satisfy both generally accepted accounting principles and applicable legal requirements. The City of Santa Clarita received both awards for the last five years' financial reports and, in my opinion, the accompanying financial report conforms to the high standards of public financial reporting and will again this year be submitted to both award programs for review. 9 PRINTED ON RECYCLED PAPER In accordance with the above-mentioned guidelines, the Comprehensive Annual Financial report is divided into three sections: I. Introductory Section Letter of transmittal GFOA Certificate of Achievement for Excellence in Financial Reporting CSMFO Certificate of Award for Outstanding Financial Reporting Officials of the City of Santa Clarity City organization chart II. Financial Section Independent auditors' report General purpose financial statements Notes to general purpose financial statements Supplemental financial statements and schedules III. Statistical Section Pertinent financial and nonfinancial data that presents historical trends and facts about the City The Financial Section of this report has been structured so as to represent a "reporting pyramid." The significance of the levels of this pyramid are as follows: General Purpose Financial Statements - This level includes the Independent Auditors' Report, the General Purpose Financial Statements, and Notes thereto. The Combined Financial Statements provide a summary of the City's financial position at June 30, 1994, and the results of its operations and cash flows for its proprietary funds, for the period then ended, by fund type or account group. Combining, Individual Fund and Account Group Statements and Schedules - Also presented are separate sections for the various financial statements and schedules for each fund type. They reflect financial data on each generic fund type with separate columns for each individual fund. Each separate column serves as a financial statement for that particular fund, and combining financial statements are presented in each instance where the City has more than one fund of a given fund type. iv The City's accounting records for general operations are maintained on the modified - accrual basis of accounting. The revenues are recorded when measurable and available, and expenditures, except for accrued interest on long-term debt, which is recorded when due, are recorded when the liability is incurred. The City's Accounting System and Budgetary Control In evaluating the City's accounting system needs, consideration is given to the adequacy of internal accounting controls. Internal accounting controls are designed to provide reasonable, but not absolute, assurance regarding: 1) the safeguarding of assets against loss from unauthorized use or disposition; and 2) the reliability of financial records for preparing financial statements and maintaining accountability for assets. The concept of reasonable assurance recognizes that: 1) the cost of a specific control feature should not exceed the benefits likely to be derived; and 2) the evaluation of costs and benefits requires estimates and judgments by management. All evaluation of the City's system of internal control will continue to occur within the above framework. We believe that the City's internal accounting controls adequately safeguard assets and provide reasonable assurance of proper recording of financial transactions. The City of Santa Clarita maintains budgetary controls. The objective of these budgetary controls is to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City Council. Activities of the general fund, special revenue funds, debt service fund, and capital project fund are included in the annual appropriated budget. In addition, yearly operating budgets are adopted for the City's proprietary fund types to facilitate management evaluation. The level of budgetary control, that is, the level at which expenditures cannot legally exceed the appropriated amount, is established by function or program within an individual fund. The City also maintains an encumbrance accounting system as one technique of accomplishing budgetary control. Commitments for materials and services, such as purchase orders and contracts, are recorded during the year as encumbrances to assist in controlling expenditures.. Open encumbrances are reported as a reserve of fund balance at the end of a fiscal year for all governmental funds. Encumbrances at year end lapse and then are added to the following year's budgeted appropriations. The Reporting Entity The City of Santa Clarita was officially incorporated on December 15, 1987, after 'a ballot measure was passed by the City's residents. The City operates under a Council -Manager form of government and provides, either directly or under contract with the County of Los Angeles, a full range of municipal services including public safety, public works, parks and recreation, community development, etc. This report includes all funds and account groups of the City of Santa Clarita. In addition to general government activities, the City of Santa Clarita has oversight responsibilities over the Santa Clarita Redevelopment Agency and Santa Clarita Public Financing Authority. v N The oversight responsibility is determined by criteria, such as, financial interdependency, selection of governing authority, designation of management, ability to significantly influence operations, and fiscal accountability. There are no other separate legal entities with accounting activities for which the City Council has continuing oversight responsibilities. General Government Functions A summary of the general government functions overall operating results for the fiscal year ended June 30, 1994 and the amount and percentage of increases and decreases in relation to prior year revenues and expenditures is presented below. General government functions include the General, Special Revenue, Debt Service, Capital Project and Expendable Trust funds. Details of these revenue and expenditure amounts (all amounts are in thousands) by fund, can be found in the accompanying general purpose financial statements. FISCAL YEAR 1993-94 REVENUES Licenses and F service Chrgs & Othe Fines & Forfeitures Tates 35.8% Other Agee©es 45.2% Contrib 02% 2.8% mey 3.4% As the recession lingers on in California, the City of Santa Clarita is also seeing its effects on its revenues. However, the overall impact of the recession on the City s revenues has been limited in comparison to its effects on the State and other local jurisdictions. 0 Vi O 0 INCREASE PERCENT 1-.J FY 93-94 PERCENT <DECREASE> OF INCREASE 0 REVENUES: AMOUNT OF TOTAL FROM FY 92.93 <DECREASE> 0 TAXES '.$19,442 35.8% $262 1.4% 0 LICENSES AND PERMITS 1,178 2.2 <122> <9.4> 0 DEVELOPER FEES 1,511 2.8 <1288> <4&0> USE OF MONEY & PROPERTY 1,879 3.4 <520> <21.7> 0 REVENUES FROM OTHER AGENCIES 24,557 45.2 6,404 35.3 0 FINES AND FORFEITURES 330 0.6 12 3.8 0 SERVICE CHARGES & OTHERS - 5,369 9.8 3,382 1.7 PROPERTY OWNER CONTRIBUTIONS 112 0.2 <16,574> <99.3> 0 0 TOTALS $54,378 100.0% $<8,444> Licenses and F service Chrgs & Othe Fines & Forfeitures Tates 35.8% Other Agee©es 45.2% Contrib 02% 2.8% mey 3.4% As the recession lingers on in California, the City of Santa Clarita is also seeing its effects on its revenues. However, the overall impact of the recession on the City s revenues has been limited in comparison to its effects on the State and other local jurisdictions. 0 Vi O 0 O O O O O The City experienced an overall increase of 17.6% in general government revenues. For O comparison purposes, this calculation reflects an adjustment to exclude revenue relating O to Property Owners Contributions since these funds relate to proceeds from bond funds. 0 The stability of the City's tax revenues, which comprises 35.8% of the total revenue base O continues to assist in minimizing the effects of the weak economy. This is reflected by O Revenue from Taxes gain of 1.4% from last years total. Sales tax, the City's largest O revenue source, held the line with a .7% increase. At the same time, franchises tax O revenue increased 5.5% due to growth in the City. Revenues from Licenses and O Permits showed a decline of 9.4%. There was a 15.7% drop in Building and Safety O permits primarily due to the January 17, 1994 earthquake which spurred a slow down for non -earthquake related construction. To assist the property owners in their efforts to O rebuild the community, the City has not charged permit fees for any earthquake recovery O construction work. The 46% decrease in Developer Fees is due mainly to the City recognizing revenue in fiscal year 1992-93 for payments received for infrastructure work that was completed during the prior fiscal year. An overall decrease of 21.7% in Use of Money & Property occurred in fiscal year 1993- 94. As a result of interest rates continuing to fall, interest earnings experienced a decline of 18.6%. The aftermath of the January 17, 1994 earthquake took its toll on Rental Income and Common Area Maintenance (CAM) charges and is reflective of a 28.7% decrease as City Hall was required to vacate leasing tenants to perform earthquake repairs. It was a major accomplishment for the City to repair the City Hall building after the earthquake in under 100 days, not losing one tenant, and being the first steel framed building in the Southland to be repaired and occupied. Revenues from Other Agencies include many of the State and County subventions that the City receives. This revenue category experienced an increase of 35.3% due to the City recognizing $10 million in Federal Emergency Management Agency (FEMA) grant monies for City-wide public property and earthquake damages. Effective October of 1993, the City assumed responsibility for the administration and collection of parking violation fines. This transfer was a result of AB408 to reduce work loads in courts and provided the City with a 3.8% increase in Fines and Forfeitures compared to last year. Revenues from Service Charges and Others experienced an increase of 1.7% (after adjusting to exclude Property Owners Contributions) from last year's total. The components of this increase are the receipt of approximately $3.5 million in insurance settlement money for earthquake repairs to the City Hall building and a continued increase in participation of recreation programs. So, while the weak economy continues to claim some of its revenues, the City has been able to minimize its effects by expanding and implementing other areas of revenue recognition. FISCAL YEAR 1993-94 EXPENDITURES Parks & Recreation 10.1% Community Development 6.9% Public Works 8.3% Public Safety 16.5% Capital Outlay 46.5% Government 7.3% Service 4.4% During fiscal year 1993-94, the City saw an overall decrease in expenditures of 2.6%. Fiscal year 1993-94 was an election year for the City with the City Clerk section creating approximately $100,000 in election costs. This represents only one component of the increase of 18.0% in General Government expenditures. Another portion of this increase is due to the CDBG division expenditures of $280,000 being reported as part of general government expenditures instead of parks and recreation as in previous years. The reorganization is part of the changes which occurred with the creation of the Community Recovery Agency to develop a comprehensive community reco4ery program. Approximately $212,000 in formation and administration costs was incurred by the Community Recovery Agency which makes up the final component of this increase. Public Safety expenditures came in at a 10.3% increase compared to last year. This is a direct result of an increase in the amount of County surcharge on Police Services to offset losses in the County Municipal Liability Fund and the County police budget 5.75% cost of living increase which in turn is passed on to contract cities. To balance the impacts of these increases, the City has been creative in reducing costs by adjusting the number of cars and hours dedicated to traffic duty and the usage of the Community Relations Officer position. viii INCREASE PERCENT FY 93-94 PERCENT <DECREASE> OF INCREASE. EXPENDITURES: AMOUNT OF TOTAL FROM FY 92-93 <DECREASE> GENERAL GOVERNMENT $ 4,120 7.3% S 632 18.1% PUBLIC SAFETY 9,257 16.5 868 10.3 PUBLIC WORKS 4,666 8.3 <905> <16.2> PARKS 8 RECREATION 5,677 10.1 <193> <3.3> COMMUNITY DEVELOPMENT 3,896 6.9 <691> <15.0> CAPITAL OUTLAY 26,202 46.5 561 2.2 DEBT SERVICE 2,471 4.4 <1,772> <41.7> - TOTALS $56,308 100.00% S<1,500> Parks & Recreation 10.1% Community Development 6.9% Public Works 8.3% Public Safety 16.5% Capital Outlay 46.5% Government 7.3% Service 4.4% During fiscal year 1993-94, the City saw an overall decrease in expenditures of 2.6%. Fiscal year 1993-94 was an election year for the City with the City Clerk section creating approximately $100,000 in election costs. This represents only one component of the increase of 18.0% in General Government expenditures. Another portion of this increase is due to the CDBG division expenditures of $280,000 being reported as part of general government expenditures instead of parks and recreation as in previous years. The reorganization is part of the changes which occurred with the creation of the Community Recovery Agency to develop a comprehensive community reco4ery program. Approximately $212,000 in formation and administration costs was incurred by the Community Recovery Agency which makes up the final component of this increase. Public Safety expenditures came in at a 10.3% increase compared to last year. This is a direct result of an increase in the amount of County surcharge on Police Services to offset losses in the County Municipal Liability Fund and the County police budget 5.75% cost of living increase which in turn is passed on to contract cities. To balance the impacts of these increases, the City has been creative in reducing costs by adjusting the number of cars and hours dedicated to traffic duty and the usage of the Community Relations Officer position. viii io Public Works ended the year with a 16.2% decrease in expenditures from last year. In order to minimize the impacts of a weak economy, the City was faced with cutting back street sweeping services from once per week to every other week for non -major streets, and once per week for major roads. Also, costs were reduced by replacing the County contract with a private company. This was accomplished without compromising the health and welfare of the residents. Public Works focused its efforts on keeping the City graffiti -free, by use of volunteer residents, reducing graffiti by 40%; implementing a new Commercial Waste and Recycling Agreement; and providing support for our continued efforts to prevent the siting of a mega -dump in Elsmere Canyon. Parks and Recreation expenditures decreased 3.3%. Parks Administration division increased 3.8% due to continued increase in Community Service Grant activity. Recreation division showed a decline in expenditures of 2.6% as a result of a reduction in part-time personnel costs of $139,000 and other adjustments made to programs that were impacted by the earthquake. This covered an increase of $62,000 for the printing of four seasons of recreation brochures, compared to two in the previous year, and first-time costs of $115,000 associated with the City's first Cowboy. Poetry Festival. The event, seen as both a recreational and economic development activity, is designed to capitalize on the heritage of Santa Clarita, enhance our identity, and generate revenues community -wide. Park Maintenance division remained flat for fiscal year 1993-94 by offsetting the increase in personnel costs via a reduction in tree trimming services. Savings were used to cover additional maintenance cost associated with the addition of Bouquet Canyon Park, and expansion in landscape services for street medians and the Metrolink Station. Parks and recreation staff efforts to reduce cost created two new programs; 'Park Partners" involves residents in on-going safety and beautification of Bouquet Park, and "Neighborhood Leaf Out" recruites volunteers from neighborhoods to involve them in all aspects of tree planting and maintenance. Finally, as noted previously, CDBG expenditures are now being reported under general government expenditures. The slow down in the building industry continues to affect the City as evidenced by the 15.1% decrease in Community Development expenditures. The department as a whole has minimized this impact by leaving current staff openings vacant until the economy turns around. The Community Development administrative section reflects a 74% increase as a result of the City's new method of directly charging each division for its share of legal services. Building and Safety division generated a decrease in expenditures of 21.5% by reducing inspector consultant services and hiring two new inspectors with the cost savings. The Engineering division was also able to reduce its expenditures by 16.2% by charging staff time to capital projects, and the use of in-house engineering to handle all engineering -related issues to include design work using our new Computer Aided Drafting and Design System. The Planning Division realized a 23.1% reduction in expenditures by training staff on annexations and oak tree management, and the use of planners as Environmental Impact Report (EIR) consultants on City projects which has virtually eliminated the use of outside consultants. During fiscal year 1993-94, Capital Outlay had an increase of 3.0% compared to last year. Some of the major capital project activities this year are the completion of the City phases of the San Fernando Road project, opening of the Whites Canyon bridge in conjunction with the County and contractor, signal synchronization, annual street slurry and construction of a second Metrolink station which allowed a series of bus programs to the San Fernando Valley after the earthquake. ix Debt Service expenditures decreased 41.7% due to the interest plus principal payoff in fiscal year 1992-93 of the Los Angeles County incorporation costs debt. Proprietary Funds These types of funds consist of enterprise and internal service funds. The City operates one enterprise fund, Transit Service, which offers Dial -A -Ride, local fixed route service, and commuter service to downtown Los Angeles. This enterprise fund was created to provide management with information relating to transit operations, which include debt service and depreciation and amortization. For fiscal year 1993-94, Proposition A funds of $1,194,195, Proposition C funds of $577,437, and Gas Tax funds of $606,000 were used to subsidize transit activity not covered by user fees. The internal service funds provide services to other City departments. The City's internal service funds consist of Self Insurance and Vehicle Replacement funds. Combining statements for these funds and descriptions of each fund are presented in the Supplemental Information portion of this report. Gann Limit Proposition 4, the "Gann" initiative, was passed by California voters in 1978 and is intended to limit government appropriations. According to California law, cities must use the 1978-79 appropriations as a base year and modify that figure by the composite consumer price index and population changes which have accrued in subsequent years. Because Santa Clarita is a newly incorporated city, the Los Angeles County Local Agency Formation Commission used 1985-86 fiscal year appropriations at incorporation as the base year on which the City will modify each year. The City has since performed a study to increase the limit, and City appropriations remain below the Gann limitation and are expected to continue in that respect in the near future. Cash Management The City operates its pooled idle cash investments under the "Prudent Man Rule" and has adopted a formal investment policy. Such policy affords the City a broad spectrum of investment opportunities as long as the investment is deemed prudent and is permissible under current effective legislation of the State of California and other regulations. The City recently received a Certificate of Excellence award from the Municipal Treasurer's Association of the United States and Canada for its Treasurer's Investment Policy. This is the second time the City submitted and was successful in receiving this award which commends the City for enhancing its fiscal responsibility in the management of fiscal funds. x iIN Temporarily idle cash was invested in a variety of investment vehicles, including the State Treasurer's Local Agency Investment Fund, Los Angeles County Pooled Investment Fund, deposits with commercial banking institutions and U.S. government agency instruments. Other permissible investment vehicles in which the City did not invest this year are commercial paper and bankers acceptances. The City's diversified investment portfolios allow for flexibility and safety of the total invested funds. The weighted average yield on such investments for the year was 4.4% with total interest earnings for all funds at $1,458,388. Debt Administration In May 1991, the City entered into a master lease and option to purchase agreement in the amount of $2,150,000 for the lease of thirteen buses. Such agreement carries an interest of 6.6% payable semi-annually, due from November 1, 1991, through May 1, 2001. Under the terms of the agreement, the City has leased these transit buses for the establishment of a City-wide local public transit system. As of June 30, 1994, the master lease obligation aggregated $1,646,195. In October 1991, the Public Financing Authority Revenue Bonds --Series 1991 were issued in the amount of $22,940,000. The proceeds were used to purchase the City Hall building, pay off the corporate yard debt and will be used on certain capital road improvement projects. This was the City's first rated bond issue in which Standard and Poor assigned an A- Bond rating to the City of Santa Clarita. As of June 30, 1994, the City's obligation for Public Financing Authority Revenue Bonds - Series 1991 is $21,405,000. In October 1991, the City entered into a lease with an option to purchase agreement in the amount of $4,895,000 for the lease of sixteen buses from the Los Angeles County Transportation Commission (LACTC). The agreement carries interest rates ranging from 4.90/c, to 6.5%, payable semi-annually from July 1, 1992, through January 1, 2004. Balance of the LACTC lease obligation as of June 30, 1994, equals $4,285,000. In October 1992, the City received a distribution of loan proceeds totaling $2,557,436 from the Price Company. This money has been used for the acquisition of certain infrastructure improvements surrounding the Price Club. Interest on the note accrues at the rate of 10% per year. Payments are due quarterly and will equal 70% of the sales tax revenue generated monthly from the operation of the Price Club Center. The payments will be made for a period of 30 years. As of June 30, 1994, the City's obligation for the Note Payable is $2,557,436. In April, 1993, the City entered into an agreement whereby the City will reimburse Home Depot Company $690,000 for certain public improvements. Interest on the note accrues at the rate of 7% per year. Payments are due quarterly and will equal up to 50% of the sales tax revenue generated monthly from the operation of the Home Depot. The payments will be made for a period of 7 years or until accrued interest and principal are paid in full. A Fiduciary Operations Trust and agency funds are maintained to account for assets held by the City in a trustee capacity for individuals, private organizations, other governments, and other funds. The City's General Trust Fund is an expendable trust fund which accounts for assets and activities restricted to a specific purpose in accordance with a formal intent. An Agency fund is custodial in nature and is used to receive and disburse funds which do not belong to the City. The City's agency funds are the Deferred Compensation Plan which represents employee contributions invested in accounts with the International City Managers Association (ICMA) Retirement Corporation and the Community Facilities District No. 92-1 which represents bond proceeds from the sale of Special Tax Bonds, Series A. These bonds were issued to finance a portion of the costs of acquiring certain public infrastructure improvements located within the vicinity of the Valencia Town Center. The bonds were issued pursuant to the Mello -Roos Community Facilities Act of 1982. This fund was established during fiscal year 1992-93. Risk Management The City is self-insured for the first $250,000 on each general liability claim against the City. Third party coverage is currently maintained for general liability claims greater than $250,000 up to a limit of $10,000,000 and all worker's compensation claims. The City has a Safety Committee to promote safe and healthy work practices. Some of the objectives of the Safety Committee are to identify and review unsafe conditions and practices and to provide a means for their correction or elimination in a timely manner, establish employee safety training programs, and to promote a system of communication with employees regarding safety and health matters. General Fixed Assets The City's general fixed assets represent those fixed assets used in the performance of general government functions. At June 30, 1994, the City's general fixed assets aggregated $43,832,451. This amount represents the original cost of the assets or fair market value at the date of contribution to the City. No depreciation of general fixed assets is recognized in the City's accounting system. The General Fixed Assets Account Group does not include those assets defined as "infrastructure assets" (i.e., roads, curbs, gutters, sidewalks, etc.). Such assets are generally immovable and are deemed to be of value only to the City. Other City Highlights The City has had quite an extraordinary year going through the process of rebuilding our community from the Northridge Earthquake. Despite the impacts of the disaster and a troubled economy, Santa Clarita has continued to provide its citizens with many new programs. M The City Manager's Office has taken the lead in implementing a continued Total Quality Management (TQM) improvement program throughout the organization. The program is geared toward total quality to enhance the satisfaction of both internal and external customers of the City. The City Clerk's section has also been very busy starting up the new records retention system throughout City Hall. In fiscal year 1993-94, the Community Recovery Agency was formed. Its activities are governed by the Health and Safety Code (Section 33000 et. seq.) and are organized under the areas of Earthquake Damage Relief, Disaster Infrastructure Mitigation and Enhancements, Economic Development (restoration and mitigation) and Housing. The City has been performing a very intensive community participation process to solicit guidance on project selection and Agency operations. New for this year was the establishment of a storm water utility as a user fee to manage the storm water runoff which enters the City's streets, storm drains and the river from private property. The Federally Mandated NPDES program which is enforced by the Regional Water Quality Control Board requires the City to fund required activities to minimize pollutants in urban runoff/storm water discharges to the Santa Clara River and the ocean. This will amount to a $2 million program for the upcoming year. Building and Safety implemented an on-line building permit issuance and tracking system at the Earthquake Recovery Unit. To date the City has process 7,027 in earthquake recovery permits. One of the issues we have been grappling with at the state level is the crime rate among our youth. The City believes it should be investing in our youth at the front end, instead of focusing so much of our efforts on building prisons. With this in mind, a youth, committee was formed that will ultimately result in a valley -wide youth master plan. Also, Recreation developed two new programs; a boxing program in the Newhall community and Friday Night Live for teens. Recycling continues to be a primary concern for the City. As part of the earthquake debris removal program, the City was able to remove 50,770 tons of debris and recycle over 99%. These efforts resulted in only 355 tons ending up in the landfill. The City's dedication to serving the citizens of Santa Clarita, as well as its dedication to high standards and high quality in every task it performs, has earned the City various honors and awards. The City of Santa Clarita was named "Tree City U.S.A." for the fourth year in a row by the National Arbor Day Foundation, received the 1993 International,City/County Management Association (ICMA) award for the City s Community Strategic Plan and the 1994 Transportation Award from the Institute of Transportation Engineers. Economic Condition and Outlook In 1993-94, Santa Clarita saw the continued impacts of the recession and held its ground. However, there are the beginnings of economic improvement as national economists are predicting slower population growth and lower unemployment rates for the State. There is an expected job growth in California in the areas of services, retail and construction. ME Building permits for single and multi -units is anticipated to increase. With this encouragement, Santa Clarita will continue to enjoy its continued success in terms of the economic development investment in the community. The City s Valencia Town Center has been in operation for two years now, and has experienced continued economic success taking on new tenants such as the popular Disney and Eddie Bauer stores. Home Depot opened in January, 1994, right before the earthquake, providing 100 jobs and has been able to respond to improvement needs required from earthquake recovery efforts in the community. Kaiser Permanente's 43,500 square foot facility opened in late 1994, employing 96 staff and 32 doctors, and anticipates serving about 185 members daily and 4,500 members per month in the Santa Clarita area. Also, opening its doors in late 1994 was Trader Joe's, providing Santa Clarity shoppers with an eclectic assortment of fine foods and beverages at discount prices. Fiscal year 1994-95 has a bright outlook for commercial and retail activities. A new 0 Saturn auto dealership will contribute to the City s largest sales tax generator product Q and supply 75 jobs. The Creekside Retail Place, a 47,000 commercial/retail complex, will n augment the dealership with the housing of three restaurants, a state-of-the-art bookstore C i and other retail stores. It is scheduled to open in May, 1995, and expects to employ 100 to 150 positions. Opening in the summer of 1995 is Mountasia. This family 0 entertainment center will create 100 jobs and host miniature golf, roller skating, go carts, 0 an entertainment complex and a mini -restaurant. Weyerhaeuser is building its north Los Q Angeles distribution center for lumber with a scheduled completion date of February, C7 1995. In early Spring of 1995, the City will see a new face, Pacific Roofing Company, who 0 will be moving into a previously vacant commercial building and employ 200 people. Q Santa Clarity continues to flourish economically in the retail and business sectors. California magazine named Santa Clarita the second largest, best mid-sized city in the state to do business. With its proactive approach to governmental service and continuation of sound budget policy, Santa Clarity will continue to attract quality economic development investment and offer its citizens a superior quality of life. Independent Audit State statutes require an annual audit by independent certified public accountants. The accounting firm of Diehl, Evans & Company has been selected by the City Council to perform this service. The auditors' report on the general purpose financial statements and combining and individual fund statements and schedules is included in the financial section of this report. Awards I am pleased to report that CSMFO awarded its Outstanding Financial Reporting Award and GFOA awarded aCertificate of Achievement for Excellence in Financial Reporting to the City of Santa Clarita for its Comprehensive Annual Financial Report for the fiscal year ended June 30, 1993. Based on the latest available data from GFOA, the City of Santa Clarity was one of 1,568 municipalities nationwide, of approximately 39,000 municipal governments, to receive this award. AV A GFOA Certificate of Achievement is valid for a period of one year only, We believe our current report continues to conform to GFOA Certificate of Achievement Program requirements, and we are submitting it to GFOA to determine its eligibility for another certificate. Acknowledgments The preparation of this report could not be accomplished without the efficient and dedicated service of the entire staff of the Finance Department. I should like to express my appreciation to all members of the department who assisted and contributed to its preparation, in particular, Susie LaSoya, Accounting Manager; Barbara Boswell, Senior Accountant; Michele Hansen and April Skinner, Accountants; Lee Davis, Executive Secretary; Jackie Bialas, Account Clerk; Marilou Tan, Accounting Intern; and Nina Giangreco, the City's Graphic Artist. I should also like to thank the Mayor; Members of the City Council; and the City Manager, George Caravalho, for their continuing efforts in planning and administering the financial operations of the City in a responsible and progressive manner. Respectfully submitted, '44 , '� Steve Stark Director of Finance AUD1T.mfmvWd tLt7 Certificate of Achievement for Excellence in Financial Reporting Presented to City of Santa Clarita, California For its Comprehensive Annual Financial Report for the Fiscal Year Ended June 30, 1993 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest standards in government accounting and financial reporting. xvi President Executive Director 0 0 0 0 0 0 xvn City Council George Pederson MAYOR Jo Anne Darcy Carl Boyer III Jan Heidt MAYOR PRO -TEM COUNCIL MEMBER COUNCIL MEMBER Hamilton C. Smyth COUNCIL MEMBER City Officials George Caravalho CITY MANAGER Kenneth Pulskamp ASSISTANT CITY MANAGER. Carl Newton CITY ATTORNEY Donna Grindey CITY CLERK Steve Stark DIRECTOR OF FINANCE Jeff Kohn DEPUTY CITY MANAGER DIRECTOR PUBLIC WORKS Lynn M. Harris DEPUTY CITY MANAGER DIRECTOR COMMUNITY DEVELOPMENT Rick Putnam DIRECTOR OF PARKS, RECREATION AND COMMUNITY SERVICES xviii Citizens of Santa Clarita City Council r----------- r City Attorney City Manager Community Assistant Management Recovery Ageney City Manager Services Community Publie FSnance arks, Recreation and Public Development Works Community Services Safety xix £lFf x�tprµ /y[ft I ..... r— /°xsf• I - - - - I------- w50Vfx CVK •••.• enc°.c •s' ,V, yg` ••�r 2 °syo 4 0 .xcan x.+Ylxf s°as+ ' r/i •� xwf- ... N 1/94 LEGEND �••�••—••� CITY LIMIT BOUNDARY ......••••••......••• PLANNING AREA BOUNDARY -----•---- NATIONAL FOREST BOUNDARY XX TAX a I. O m zow 4 O z} y O O �a s O._. O. O k tO O4 � � k 5 "ka 5k h� O' O b w- ,»• d .. -}+v d he *`'-- 1 Af u�P O .A,: wrote: k , er' :} . 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Y,. x Y. 4 }a t ry $tom -Plj' Ao IP 1 5' (6 MN i € aY'9*rt { j �-csF��t' yit $ lam)$ a�14% OAR N i Wx ,# �,, "^J,y,#�� y a i„ 6 p¢, '€y £ 4 R. , ¢ A.„' *` Si ,54 'V++,�.yx. 4{ 1 'k-S, n5 J ri.'�'�ki` 1� o<yY^• Fy"' y '�'Y' yin W3 f ^p'"fin '� .rid' v» #*a�{a;� sGi �tl: 4 t �a A' Y°M.`4�'41'f' kr g'}1 R"* S �i '. 'be r to ik F ¢?�'-w 4-xT't+ rtrt' a � z."tu, £w w�t' �' YS ��, o£5y�" y , � M4� .t 1� A+� .#g}fi�,e��r �.�."s �*� A� 4". m F� `��y�^^r� * 3 q- DIEx1.,EVANS &CONirA1V 1 CERI= PUBLIC ACCOUNPANTS A PARTNERSHIP K=UNG ACGWNG CY XMKAT S 18401 VON KARMAN AVE., SUM 200 IRVINE, CALIFORNIA 92715-1542 PHONE (714) 7577700 FAX (714) 757-2707 City Council City of Santa Clarita Santa Clarita, California October 21, 1994 INDEPENDENT AUDITORS' REPORT RODNEY IC McDANIEL, CPA MICHAEL R. LUDIN, CPA CRAIG W. SPRAIffA, CPA PHILIP H. HOLTKAMP, CPA THOMAS M. PERLOVSKI, CPA HARVEY I. SCHROEDER, CPA We have audited the general purpose financial statements of the City of Santa Clarita, California as of and for the year ended June 30, 1994, as listed in the table of contents. These fmancial statements are the responsibility of the City's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards required that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general purpose financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the general purpose financial statements referred to above present fairly, in all material respects, the fmancial position of the City of Santa Clarita as of June 30, 1994 and the results of its operations and the cash flows of its proprietary fund types for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The financial statements of the combining individual funds and account groups listed in the table of contents under supplementary information are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the City of Santa Clarita. The information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the general purpose financial statements taken as a whole. The statistical information listed in the table of contents is not a required part of the basic financial statements, and we did not audit or apply limited procedures to such information and do not express any assurance on such information. LDiQJiQ�� a %d- co OTHER OFFICES AT: 2%5 ROOSEVELT STREET 613 W. VALLEY PARKWAY, SURE 330 CARLSBAD. 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'�G�' + co to n #"� ,xa e t# ?Y + AIN X .#- x # ! r '( n .: mmi x --�4 O m r *'`ti 'Lx''�uff y± f " `c=� .*F,��,¢j0�:_ At . a I n '' +l f 4 Yl - T& T �� P R101 AlM 10 �r x.;V ,x,o-,. s- 3 d a. .sw° ' #`#+ 4,*x�•yry'n,d w yaat-� .�,n g5 m'w#" },}�.Kx'-.xfi Row uMIA Ali ! r o- x'9 b* "XT' 1' �y�.�. �a fi� �i' ya yc xt + �€ ,IP + "►.x, i [( it Its � I � t�i \� i+,� � ° ,� n ; �'« 4' ° � y� zy'q "&+' � 'q � `'a x`1 -a e',1w'x.,#t^' 197. 5k d g `g+i t °p Pp t'�. ,wy. �'"='""i ? r Yxy✓�+. 7?+�5.+^ Two j }'{* `' -'#i�'atY'zf`+,i',xw„�a ; 1`� a �Y 'rte l y, �,. + "Ye E :+ 6 (�. x§ " z yyt , # a :Mxx k''„ 5 hi aa4-m-' ,.y,.i =v,1 rt .: ...tvr -."i c. .'*'$'rasa€3;x,�f�=�..�..- GENERAL PURPOSE FINANCIAL STATEMENTS I CITY OF SANTA CLARITA COMBINED BALANCE SHEET—ALL FUND TYPES AND ACCOUNT GROUPS June 30, 1994 With comparative totals for June 30, 1993 ASSETS AND OTHER DEBITS ASSETS: Cash and investments (Notes If and 2) Cash and investments with fiscal agent (Notes If, 2 and 8) Accounts receivable Interest receivable Due from other funds (Note 6) Due from other governments Prepaid items Advances to other funds Property, plant and equipment (Notes Ig and 3) Deferred bond issue costs OTHER DEBITS: Amount available for retirement of long-term debt Amount to be provided for retirement of long-term debt TOTAL ASSETS AND OTHER DEBITS LIABILITIES, EQUITY AND OTHER CREDITS LIABILITIES: Accounts payable and accrued liabilities Deferred revenues (Note lc) Deposits Due to other funds (Note 6) - Deferred compensation plan (Note 8) Longterm obligations (Notes 4 and 5) TOTAL LIABILITIES EQUITY AND OTHER CREDITS: Investment in general feed assets (Note 3) Retained earnings (deficits) (Notes 9 and 11): Reserved Unreserved Fund balances (deficits) (Note 11): Reserved Unreserved: Designated Undesignated TOTAL EQUITY AND OTHER CREDITS a •� r�i�• � 7 yi • • 171' M' 71 � Governmental Fund Special Debt Capital General Revenue Service Project $ 2,460,570 $ 19,861,278 $ — $ 6,784,219 — — 2,260,473 2,343,455 872,172 2,420,103 — — 44,838 187,479 7,796 2,893,659 — — — 17,232 2,004,382 — — 39,121 — — — 163,730 — — $ 6,491,322 $ 24,473,242 $ 2,260,473 S 9,135,470 S 2,044,426 $ 6,690,741 $ — $ 278,819 190,079 1,664,051 — — 101,885 — — - - 275,552 — — 2,336,390 8,630,344 — 278,819 3,716,961 5,747,087 2,260,473 — 437,971 12,798,133 — 8,943,525 (2,702,322) — (86,874) 4,154,932 15,842,898 2,260,473 8,856,651 $ 6,491,322 $ 24,473,242 S 2,260,473 $ 9,135,470 See independent auditors' report and notes to financial statements. —2— - - Fiduciary 2,260,473 2,260,473 2,287,778 Proprietary Fund Types Fund Types Account Groups Totals 22,939,451 22,757,604 T10,264,194 Trust General General (Memorandum Only) $ 126,339,550 Internal and Fixed Long -Term June 30, June 30, Enterprise Service Agency Assets Debt 1994 1993 $ 10,841,138 $ 9,719,610 - - $ - $ 550,074 $ 470,524 $ - $ - $ 30,126,665 $ 37,405,106 489,500 - 3,646,305 - - 8,739,733 8,343,164 9,833 - 10,903 - - 3,313,011 1,475,131 - 4,550 118 - - 244,781 270,657 - - - - - 2,893,659 1,908,544 1,407,860 - - - - 3,429,474 2,462,948 - - - - - 39,121 43,561 - - - - - 163,730 - 8,255,687 - - 43,832,451 - 52,088,138 51,830,173 101,314 - - - - 101,314 113,710 - - - - 2,260,473 2,260,473 2,287,778 - - - - 22,939,451 22,939,451 22,757,604 T10,264,194 8 554,624 $ 4,127,850 $ 43,832,451 $ 25,199,924 $ 126,339,550 $ 128,898,376 $ 1,074,845 $ 664,693 $ 87,614 $ - $ - $ 10,841,138 $ 9,719,610 - - - - - 1,854,130 1,021,804 - - 2,398,512 - - 2,500,397 2,610,634 2,445,866 172,241 - - - 2,893,659 1,908,544 - - 1,641,724 - - 1,641,724 1,350,743 7,905,852 - - - 25,199,924 33,105,776 33,936,641 11,426,563 836,934 4,127,850 - 25,199,924 52,836,824 50,547,976 43,832,451 489,500 - - - (1,651,869) (282,310) - - (1,162,369) (282,310) 43,832,451 - 43,832,451 42,940,629 - 489,500 489,500 - (1,934,179) 351,336 - 11,724,521 9,109,505 22,179,629 25,459,430 - (2,789,196) - 73,502,726 78,350,400 $ 10,264,194 $ 554,624 $ 4,127,850 $ 43,832,451 $ 25,199,924 $ 126,339,550 $ 128,898,376 —3— CITY OF SANTA CLARITA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES—ALL GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUND For the year ended June 30, 1994 With comparative totals for the year ended June 30, 1993 REVENUES: Taxes Licenses and permits Developer fees Use of money and property Revenues from other agencies Fines and forfeitures Service charges Contributions from property owners Other revenues TOTAL REVENUES EXPENDITURES: Current operating: General government Public safety Public works Parks and recreation Community development Capital outlay Debt service: Principal retirement Interest and fiscal charges TOTALEXPENDITURES A• � :i`i • • � d•I • O 7 7 • OTHER FINANCING SOURCES (USES} Advances from other funds (Note 4c) Proceeds from longterm debt (Note 4b) Operating transfers in Operating transfers out TOTAL OTHER FINANCING SOURCES (USES) EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER (UNDER) EXPENDITURE AND OTHER FINANCING USES FUND BALANCES—BEGINNING OF YEAR Governmental Fund Tvnes 3,626,943 Special Debt Capital General Revenue Service Project $ 19,441,811 S — $ — $ — 1,177,963 — — - - 1,511,342 — — 620,484 824,016 57,497 377,082 4,994,380 19,563,027 — — 72,650 257,037 — — 1,363,034 52295 — - - — — 111,479 87,973 3,502,965 — 143 27,758,295 25,710,682 57,497 488,704 3,626,943 280,311 — 212,688 9,256,950 — — — 2,798,663 1524,271 — — 5,676,932 — — — 3,811,490 84,389 — — 2,470,758 21,861,699 — 1,869,083 785,000 — — — 1,686,080 27,641,736 23,750,670 2,471,080 2,081,771 116,559 1,960,012 (2,413,583) (1,593,067) 690,000 — 313,923 751,452 (2,516,278) (3,313,007) 163,730 2,386,278 — (1,512,355) (2,561,555) 2,386,278 163,730 (1,395,796) (601,543) (27,305) (1,429,337) 5,550,728 16,444,441 2,287,778 10,285,988 FUND BALANCES—ENDOF YEAR $ 4.154.932 L11&42 L2260 .473 $ 8.856.651 See independent auditors' report and notes to financial statements. —4— Fiduciary Totals .Fund Types (Memorandum Only) Expendable June 30, June 30, Trust 1994 1993 $ — $ 19,441,811 $ 19,180,033 — 1,177,963 1,299,844 — 1,511,342 2,799,645 — 1,879,079 2,399,228 — 24,557,407 18,153,177 — 329,687 317,540 — 1,415,329 1,170,064 — 111,479 16,685,720 363,080 3,954,161 817,429 363,080 54,378,258 62,822,680 — 4,119,942 3,491,725 — 9,256,950 8,389,392 363,080 4,686,014 5591,281 — 5,676,932 5,869,522 — 3,895,879 4,587,470 — 26,201,540 25,636,052 785,000 2,108,680 1,686,080 2,134,639 363,080 56,308,337 57,808,761 (1,930,079) 5,013,919 163,730 — 690,000 — 3,451,653 11,839,824 (5,829,285) (14,996,386) — (1,523,902) (3,156,562) — (3,453,981) 1,857,357 — 34568,935. 32,711,578 $ — L11114 $ 34,568.935 —5— CITY OF SANTA CLARITA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES—BUDGET AND ACTUAL GENERAL, ALL BUDGETED SPECIAL REVENUE FUNDS, DEBT SERVICE FUNDS AND ALL BUDGETED CAPITAL PROJECT FUNDS For the year ended June 30, 1994 REVENUES: Taxes Licenses and permits Developer fees Use of money and property Revenues from other agencies Fines and forfeitures Service charges Other revenues TOTALREVENUES EXPENDITURES: Current operating: General government Public safety Public works Parks and recreation Community development Capital outlay Debt service: Principal retirement Interest and fiscal charges TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES (USES): Proceeds of long-term debt Operating transfers in Operating transfers out TOTAL OTHER FINANCING SOURCES (USES) EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER(UNDER)EXPENDITURES AND OTHER FINANCING USES FUND BALANCES—BEGINNINGOF YEAR FUND BALANCES—END OF YEAR General Fund Variance Favorable Budget Actual (Unfavorable) $ 19,809,300 $ 19,441,811 $ (367,489) 1,313,500 1,177,963 (135,537) 1,044,500 620,484 5,210,919 4,994,380 700 72,650 1,468,300 1,363,034 4,900 87,973 28,852,119 27,758,295 (424,016) (216,539) 71,950 (105,266) 83,073 (1,093,824) 3,370,911 3,626,943 (256,032) 9,229,900 9,256,950 (27,050) 3,735,296 2,798,663 936,633 6,196,760 5,676,932 519,828 4,614,566 3,811,490 803,076 3,324,393 2,470,758 853,635 30,471,826 27,641,736 2,830,090 (1,619,707) 116,559 1,736,266 — 436,300 (98,400) 690,000 313,923 (2,516,278) 690,000 (122,377) (2,417,878) 337,900 (1,512,355) (1,850,255) (1,281,807) (1,395,796) (113,989) 5,550,728 5,550,728 — $ 4,268,921 $ 4,154,932 $ (113,989) See independent auditors' report and notes to financial statements. IM. All Budgeted Special Revenue Funds Debt Service Funds 812,787 — — — 1,863,376 Variance Variance 169,614 84,389 Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ — $ — $ — $ — $ — $ — 749,500 1,511,342 761,842 — — — 2,559,200 823,914 (1,735,286) 104,800 57,497 (47,303) 41,236,125 19,563,027 (21,673,098) — — — 335,000 257,037 (77,963) — 48,615 48,615 — — — 106,063 3,502,965 3,396,902 — — — 44,985,888 25,706,900 (19,278,988) 104,800 57,497 (47,303) 1,093,098 280,311 812,787 — — — 1,863,376 1,524,271 339,105 — — — 169,614 84,389 85,225 — — — 50,232,585 21,861,699 28,370,886 — — — 785,000 785,000 — 1,681,500 1,686,080 (4,580) 53,358,673 23,750,670 29,608,003 2,466,500 2,471,080 (4,580) (8,372,785) 1,956,230 10,329,015 (2,361,700) (2,413,583) (51,883) 330,000 751,452 421,452 2,466,500 2,386,278 (80,222) (3,315,400) (3,313,007) 2,393 — — (2,985,400) (2,561,555) 423,845 2,466,500 2,386,278 (80,222) (11,358,185) (605,325) 10,752,860 104,800 (27,305) (132,105) 16,444,441 16,444,441 — 2,287,778 2,287,778 — $ 5,086,256 $ 15,839,116 $ 10,752,860 $ 2,392,578 $ 2,260,473 $ (132,105) (Continued) —7— CITY OF SANTA CLARITA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES—BUDGET AND ACTUAL GENERAL, ALL BUDGETED SPECIAL REVENUE FUNDS, DEBT - SERVICE FUNDS AND ALL BUDGETED CAPITAL PROJECT FUNDS (CONTINUED) For the year ended June 30, 1994 REVENUES: Taxes Licenses and permits Developer fees Use of money and property Revenues from other agencies Fines and forfeitures Service charges Other revenues TOTAL REVENUES EXPENDITURES: Current operating. General government Public safety Public works Parks and recreation Community development Capital outlay Debt service: Principal retirement Interest and fiscal charges TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES (USES): Proceeds of long-term debt Operating transfers in Operating transfers out TOTAL OTHER FINANCING SOURCES (USES) EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER(UNDER)EXPENDITURES AND OTHER FINANCINGUSES All Budgeted Capital Project Funds Variance Favorable Budget Actual (Unfavorable) 104,800 295,028 190,228 104,800 295,028 190,228 6,438,819 1,818,591 4,620,228 6,438,819 1,818,5 91 4,620,228 (6,334,019) (1,523,563) 4,810,456 (6,334,019) (1,523,563) 4,810,456 FUND BALANCES— BEGINNING OF YEAR 8,123,633 8,123,633 FUND BALANCES—END OF YEAR $ 1,789,614 $ 6,600,070 $ 4,810,456 See independent auditors' report and notes to financial statements. Em Totals (Memorandum Only) Variance Favorable Budget Actual (Unfavorable) $ 19,809,300 $ 19,441,811 $ (367,489) 1.313,500 1,177,963 (135,537) 749,500 1,511,342 761,842 3,813,300 1,796,923 (2,016,377) 46,447,044 24,557,407 (21,889,637) 335,700 329,687 (6,013) 1,468,300 1,411,649 (56,651) 110,963 3,590,938 3,479,975 74,047,607 53,817,720 (20,229,887) 4,464,009 3,907,254 556,755 9,229,900 9,256,950 (27,050) 5,598,672 4,322,934 1,275,738 6,196,760 5,676,932 519,828 4,784,180 3,895,879 888,301 59,995,797 26,151,048 33,844,749 785,000 785,000 — 1,681,500 1,686,080 (4,580) 92,735,818 55,682,077 37,053,741 (18,688,211) (1,864,357) 16,823,854 — 690,000 690,000 3,232,800 3,451,653 218,853 (3,413,800) (5,829,285) (2,415,485) (181,000) (1,687,632) (1,506,632) (18,869,211) (3,551,989) 15,317,222 32,406,580 32,406,580 $ 13,537.369 $ 28.854,591 $ 15,317.222 SIN CITY OF SANTA CLARITA COMBINED STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS -ALL PROPRIETARY FUND TYPES For the year ended June 30, 1994 With comparative totals for the year ended June 30, 1993 OPERATING REVENUES: Transportation revenue Charges for services TOTAL OPERATING REVENUES OPERATING EXPENSES: Administrative Transportation services Services and supplies Depreciation and amortization TOTAL OPERATING EXPENSES OPERATING INCOME (LOSS) NONOPERATING REVENUES (EXPENSES): 4,985,199 755,461 5,740,660 4,864,938 (4,242,298)... (235,580) (4,477,878) (3,943,288) Interest income - 23,863 23,863 23,980 Interest expense (475,690) - (475,690) (485,042) Intergovernmental grants 259,139 - 259,139 1,827,308 Other revenue 7,419 - 7,419 - TOTAL NONOPERATING REVENUES (EXPENSES) NET INCOME (LOSS) BEFORE OPERATING TRANSFERS OPERATING TRANSFERS IN NET INCOME (LOSS) RETAINED EARNINGS (DEFICITS) AT BEGINNING OF YEAR RETAINED EARNINGS (DEFICITS) AT END OF YEAR (209.132) 23,863 (185,269) 1366,246 (4,451,430) (211,717) (4,663,147) (2,577,042) 2,377,632 - 2,377,632 3,156562 (2,073,798) (211,717) (2,285,515) 579,520 911,429 (70593) 840,836 261,316 $ (1,162,3691 1__C2 82,3101 $ (1.444.6791 S 840.836 See independent auditors' report and notes to financial statements. -10- Totals Internal (Memorandum Only) Enterprise Service June 30, June 30, Fund Fund 1994 1993 $ 742,901 $ - $ 742,901 $ 458,869 - 519,881 519,881 462,781 742,901 519,881 1,262,782 921,650 248,891 - 248,891 175,062 4,085,413 - 4,085,413 3,464,306 - 755,461 755,461 628,755 650,895 - 650,895 596,815 4,985,199 755,461 5,740,660 4,864,938 (4,242,298)... (235,580) (4,477,878) (3,943,288) Interest income - 23,863 23,863 23,980 Interest expense (475,690) - (475,690) (485,042) Intergovernmental grants 259,139 - 259,139 1,827,308 Other revenue 7,419 - 7,419 - TOTAL NONOPERATING REVENUES (EXPENSES) NET INCOME (LOSS) BEFORE OPERATING TRANSFERS OPERATING TRANSFERS IN NET INCOME (LOSS) RETAINED EARNINGS (DEFICITS) AT BEGINNING OF YEAR RETAINED EARNINGS (DEFICITS) AT END OF YEAR (209.132) 23,863 (185,269) 1366,246 (4,451,430) (211,717) (4,663,147) (2,577,042) 2,377,632 - 2,377,632 3,156562 (2,073,798) (211,717) (2,285,515) 579,520 911,429 (70593) 840,836 261,316 $ (1,162,3691 1__C2 82,3101 $ (1.444.6791 S 840.836 See independent auditors' report and notes to financial statements. -10- CITY OF SANTA CLARITA COMBINED STATEMENT OF CASH FLOWS ALL PROPRIETARY FUND TYPES For the year ended June 30, 1994 With comparative totals for the year ended June 30, 1993 CASH FLOWS FROM OPERATINGACTTVITIES: Operating income (loss) Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities: Depreciation and amortization Other revenue Changes in operating assets and liabilities:. (Increase) decrease in accounts receivable (Increase) decrease in interest receivable (Increase) decrease in due from other governments Increase (decrease) in accounts payable Total adjustments NET CASH PROVIDED (USED) BY OPERATINGACIIVITIES CASH FLAWS FROM NONCAPITAL FINANCING ACTIVITIES: Increase (decrease) in due to other funds Operating transfers in from other funds NET CASH PROVIDED (USED) BY NONCAPITAL FINANCING ACTIVITIES CASH FLAWS FROM CAPITALAND RELATED FINANCING ACTT VITIES: Acquisition of capital. assets Intergovernmental grants Proceeds from longterm debt Principal payments on longterm debt Interest expense on long-term debt NET CASH PROVIDED (USED) BY CAPITAL AND RELATED FINANCING ACTIVITIES CASH FLAWS FROM INVESTMENTACIIVMES: Interest on investments NET INCREASE(DECREASE)IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR CASH AND CASH EQUIVALENTS AT END OF YEAR Totals Internal (Memorandum Only) Enterprise. Service June 30, June 30, Fund Fund 1994 1993 $ (4,242,298) $ (235,580) $ (4,477,878) $ (3,943,288) 650,895 — 650,895 596,815 7,419 — 7,419 — (9,833) — (9,833) — 2,065 2,065 3,310 661,206 — 661,206 (1,771,381) 64,645 (80,254). (15,609) (63,511) 1,374,332 (78,189) 1,296,143 (1,234,767) (2,867,966) (313,769) (3,181,735) (5,178,055) 1,696,934 172,241 1,869,175 676,082 2,377,632 — 2,377,632 3,156,562 4,074,566 172,241 4,246,807 3,832,644 (933) — (933) (3,671,275) 259,139 — 259,139 1,827,308 — — — 2500,000 (989,116) — (989,116) (467,692) (475,690) — (475,690) (485,042) (1,206,600) — (1,206,600) (296,701) — 23,863 23.863 23,980 (117,665) (117,665) (1,618,132) 489,500 667,739 1,157,239 2,775,371 $ 489.500 1 550.074 S 1.039.574 S 1.157.239 See independent auditors' report and notes to financial statements. —11— JO *1 '.'fih i}��n d A.Wx+C M 1 O O R d s � #'6 1 4Y Q 11641 Notes to General Purpose Financial Statements °O oo 4*_ w. t, w °Y t£ uh O} T.,. n ti i x Yx a(.5 O . yy �x O 'V O Q i p ;.� .E yTy 10 .O 5 :. a ,y F �•. O r w3 1 Re�ii < a x" ty �d 1 f Wx ll f d as°} ..; ^'•.. u y M' aY 0 ok °- ? i 4 BY An 4 W9 of I t+ i lot On1 4 « a a �� i x Fay , I e t, r a � �" M \ aka N ,P 9 } '_T +�"Y Mwl- l'4�I i�, r 1 tun .1 J 't i v� ;Z., $* '?' 4,i Y 1 2t� i° t R'i�X. tx�.'Y y' ,.f� l! v4Y tgg�� g '4" w Y#.x'Y }{ y, I- is lop - 4 S. , i y " s a^ z q"'aar "" it xir a A. «#�s"�w bum A Vol �„,-" f,%�.4 .3051 rY 2`„ 4 rw•k �' ` 0` 3 { , 4tY ay` In O Sir v#.c 3 s 4 4 iryX, v all- Con?' 41 #O e .�An a 01 An. p dl`* } [� F ,rr� t x3 ^',,. y'e^y ' fro WEA ml . sq'.. +r'*Fy°" _ 4', 13 UST 0 yk uSq 4 x' tQ0, ''° s.., uj # #On ,mss xj fl ,0 . A'o 4 Oeh G 0 q r *s O „Vo ' spit on bYn �YYvy V_ 0 1,¢ P (Je m .# k Kra" a r, A.f A # F IIV N q , d of },�' � a11 Sl ,b4As fan: VEY! '4 a1!4" V, x 4 Sry,,. yin a1 3 ° to 4Q. Oki " , , "' ",.. �! rx b 1 # "� v �, } u �, y �7 L" , -s'i'r' , n 3 ' O WHY - 5p �A'-'" `'�_, '< F #'+.4 d �, i ii ro S x x ,jed '�#` r i # i. 'h v drys 4 }` 4,. l - A".".�_ �� iG-sfil yi `rY` tkk I f+CtSA#%` .u} 4v 11,111 } C{iv%3+'f.eX4# Zvi i , 9 & siin � g� 'kro o-�ras a -+ r �s o-.• ry;.. I' ` �'8 ' �,.. 4' `' ,¢ x _ t �.,{ ` '" 2'" {` � y}a�`# i" i .4 g * #'s } qui yal '4 s t DA; '- i & cis, - t '�0 4i4,A It,b 1 , IM IN Ito 1 VAN P`4 4'y�t'I#*;6�a` meq, Al` 41 d ,pro-:' {• %• Y d� 'f' ku" y., k4�'+yrrtk { d`�g %�{`S °w."-*.�ffixv,}.Ti� NOTES TO FINANCIAL, STATEMENTS CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS June 30, 1994 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: a. Reporting Entity: The City of Santa Clarita (the City), California was incorporated on December 15, 1987 as a general law city. The City operates under a council-manager form of government and provides its citizens with a full range of municipal services, either directly or under contract with the County of Los Angeles. Such services include public safety (police and fire protection), building permit/plan approval, planning, community development and recreation, animal control and street maintenance. The Santa Clarita Redevelopment Agency (the Agency) was established in July 1991, pursuant to the State of California Health and Safety Code, Section 33000. The primary purpose of the Agency is to encourage private redevelopment of property and to rehabilitate areas suffering from economic disuse arising from inadequate street layout and street access, lack of open space, landscaping and other improvements and facilities necessary to establish and maintain the economic growth of the City. The Agency has undertaken the entire area within the city limits of the City as a project area. The Santa Clarita Public Financing Authority (the Authority) was established in July 1991, as a joint power of authority between the City and the Agency for the purpose of providing financing and funding of public capital improvements and the acquisition of property. The City exercises oversight responsibility over the Agency and the Authority. Therefore, those entities are included as part of the reporting entity in the accompanying financial statements. The criteria used in determining the scope of the reporting entity are based on the provisions of GASB Statement 14. The City of Santa Clarita is the primary government unit. Component units are those entities which are financially accountable to the primary government, either because the City appoints a voting majority of the component unit's board, or because the component unit will provide a financial benefit or impose a financial burden on the City. The Agency and the Authority have been accounted for as "blended" component units of the City. Despite being legally separate, these entities are so intertwined with the City that they are, in substance, part of the City's operations. Accordingly, the balances and transactions of these component units are reported within the funds of the City. The Agency's transactions are reported as a separate Capital Project Fund and the Authority transactions are set forth as a separate fund in the Debt Service Funds. See independent auditors' report: -12- 1 CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): a. Reporting Entity (Continued): The following specific criteria were used in determining that the Agency and the Authority were blended component units:: • The members of the City Council also act as the governing bodies of the Agency and the Authority. • The Agency and the Authority are managed by employees of the City. Financial statements for each of the individual component units may be obtained at the City's administrative offices. The City's comparative financial statements as of, and for the year ended, June 30, 1993, have been presented herein to include the City, Agency and Authority. However, prior year comparisons for each individual fund are not presented, since their inclusion would make the statements unduly complex and difficult to read. Other governmental agencies providing various significant levels of services within the City limits are: State of California County of Los Angeles Los Angeles County Building Authority Los Angeles County Flood Control District Newhall Elementary School District Hart Unified High School District Saugus Union Elementary School District Sulfur Springs Elementary School District Castaic Lake Water Agency Newhall County Water District The City has no control over the selection of the governing authority, the designation of management or fiscal matters of these other governmental entities, nor does the City have the ability to significantly influence the operations of these other entities. Therefore, because none of the oversight criteria for inclusion in the general purpose financial statements applies to these entities, financial information for such entities is not included within this financial report. See independent auditors' report, -13- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): b. Description of Fund Types and Account Groups: The accounts of the City are organized and operated on the basis of funds, each of which is considered a separate accounting entity with a self -balancing set of accounts, established for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions or limitations. For financial reporting purposes, the various funds for the City have been grouped according to defined fund types and account groups and are presented in this report as follows: Governmental Fund Types: General Fund - accounts for all the general revenue of the City not specifically levied or collected for other City funds and for expenditures related to the rendering of general services by the City. Special Revenue Funds - account for the proceeds of specific revenue sources that are restricted by law or administrative action for specified purposes. Debt Service Funds - account for accumulation of resources for, and payment of, interest and principal on long-term debt. Capital Project Funds - account for financial resources used for the acquisition or construction of major capital facilities (other than those financed by proprietary funds). Proprietary Fund Types Enterprise Fund - accounts for operations that are financed and operated in a manner similar to private enterprises, where the intent of City Council is that the costs and expenses, including depreciation and amortization, of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges, or where periodic determination of revenues earned, expenses incurred and/or net income is appropriate for capital maintenance, public policy, management control, accountability or other purposes. Internal Service Funds - accounts for activities involved in rendering services to departments within the City. Costs of materials and services used are accumulated in these funds and are charged to the user departments as such goods are delivered or services rendered. See independent auditors' report. -14- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): b. Description of Fund Types and Account Groups (Continued): Fiduciary Fund Types: Expendable Trust Fund - accounts for assets and activities restricted to a specific purpose in accordance with a trust agreement. Agency Funds - accounts for assets held by the City as an agent for the City employees' deferred compensation plan and assets held by the City as agent for the Community Facilities District 92-1. Account Groups: General Fixed Assets Account Group - accounts for fixed assets of the City, except for those accounted for in proprietary fund types. General Long -Term Debt Account Group - accounts for long-term debt of the City, except for debt accounted for in proprietary fund types. c. Basis of Accounting: Governmental fund types and the expendable trust fund are accounted for using the modified accrual basis of accounting. Generally, revenues are recognized when they become "susceptible to accrual", that is, measurable and available to finance expenditures of the current period. Revenues which are susceptible to accrual include property taxes received within 60 days after year end, sales taxes, and earnings on investments. Licenses, permits, fines, forfeits, charges for services and miscellaneous revenues are recorded as governmental fund type revenues when received in cash because they are not generally measurable until actually received. Grant funds which are reported in governmental fund types are recorded as a receivable when earned rather than when susceptible to accrual. Generally, this occurs when authorized expenditures are made under the grant program. Grant funds received before the revenue recognition criteria have been met are reported as deferred revenue. Expenditures are recognized when the fund liability is incurred, if measurable, except for unmatured interest on general long-term debt, which is recognized when due. See independent auditors' report, -Is- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): c. Basis of Accounting (Continued): The accrual basis of accounting is followed by the proprietary funds. Revenues are recognized when they are earned and expenses are recognized when the liability is incurred. Agency fund types are accounted for on the modified accrual basis of accounting. Agency type funds are purely custodial in nature (assets equal liabilities) and thus do not involve measurement of results of operations. d. Measurement Focus: All governmental funds and the expendable trust fund are accounted for on a spending or "financial flow" measurement focus. This means that generally only current assets and current liabilities are included on their balance sheets, with the exception that the noncurrent portion of long-term receivables due to governmental funds are reported on their balance sheets, offset by fund balance reserve accounts. Statements of revenue, expenditures and changes in fund balances for governmental funds generally present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. All proprietary funds are accounted for on a cost of services or "capital maintenance" measurement focus. This means that all assets and liabilities (whether current or noncurrent) associated with the activity are included on the balance sheets. Their reported fund equity presents total net assets. Proprietary fund operating statements present increases (revenues) and decreases (expenses) in total net assets. e. Budgetary Accounting: The City follows these procedures in establishing the budgetary data reflected in the financial statements: 1) The annual budget adopted by the City Council provides for the general operation of the City. It includes proposed expenditures and the means of financing them. See independent auditors' report. -16- 1 CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): e. Budgetary Accounting (Continued): 2) The City Council approves total budgeted appropriations and any amendments to appropriations throughout the year. This "appropriated budget" covers substantially all City expenditures, with exception of capital improvement projects carried forward from prior years, which expenditures constitute legally -authorized "non - appropriated budget". There were no significant non -budgeted financial activities. Actual expenditures may not exceed budgeted appropriations at the functional or program level. The City manager is authorized to transfer budgeted amounts at the program level. The City has the following programs accounted for through its governmental funds - general government, public safety, public works, parks and recreation, community development and capital expenditures. 3) Budgets for the General, Special Revenue Funds, Debt Service Funds and Capital Project Funds are adopted on a basis substantially consistent with generally accepted accounting principles. Accordingly, actual revenues and expenditures can be compared with related budgeted amounts without any significant reconciling items. No budgetary comparisons are presented for the Landscape Maintenance District #1 Special Revenue Fund, Redevelopment Agency and Community Facilities District No. 92-1 Capital Project Funds and Proprietary Funds, as the City does not adopt annual budgets for these types of funds. The following is a reconciliation of fund balance for budgeted and nonbudgeted funds. Special Capital Revenue Proiect Fund Balance - Budgeted Funds $ 15,839,116 $ 6,600,070 Fund Balance Nonbudgeted Funds 3.782 2.256.581 Total Fund Balance $ 15,842.898 $ 8.856.651 4) The budgetary information shown for revenues and expenditures represent the original adopted budget adjusted for any changes made by the City Council or City Administrator. For the year ended June 30, 1994, budgeted appropriation in the governmental funds increased from $45,790,960 to $83,830,499. Of the total increase in appropriations of $38,039,539 during the year, $28,799,625 of the increase was as a result of the Northridge earthquake in January, 1994. 5) Formal budgetary integration is employed as a management control device. Commitments for materials and services, such as purchase orders and contracts, are recorded during the year as encumbrances to assist in controlling expenditures. Appropriations at year end lapse, and then are added to the following year's budgeted appropriations. At June 30, 1994 fund balances have been reserved for encumbrances carried forward. See independent auditors' report. -17- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): f. Cash and Investments: Investments are stated at cost (see Note 2), except that investments recorded in the Deferred Compensation Agency Fund are reported at market value. If market values decline below cost, no loss is recorded as such declines are considered temporary. The City's practice is to hold investments until maturity or until market values equal or exceed cost. However, if the liquidity needs of the City were to require that investments be sold at a loss subsequent to year end, the decline in value would be recorded as a loss at year end. A substantial portion of the City's investments are in short-term, highly liquid instruments, with original maturities of three months or less, including investments in the California Local Agency Investment Fund and Los Angeles County Pooled Investment Fund totaling $29,973,711. For purposes of the statements of cash flows, all pooled cash and investments held by the enterprise and internal service funds are considered to be short-term and, accordingly, are classified as cash and cash equivalents. g. Fixed Assets: General fixed assets are not capitalized in the fund used to acquire or construct them. Instead, capital acquisition and construction costs are reflected as expenditures in governmental fund types, and the related assets are reported in the General Fixed Assets Account Group. All purchased fixed assets are valued at cost where historical records are available and at an estimated historical cost where no historical records exist. Donated fixed assets are valued at their estimated fair market value on the date received. General fixed assets acquired by capital lease are recorded as expenditures and other financing sources in the acquiring governmental fund. These obligations are then reflected in the general fixed assets and long-term debt account groups. Public domain ("infrastructure") general fixed assets consisting of roads, bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting systems are not capitalized, as these assets are immovable and of value only to the government. Assets in the General Fixed Assets Account Group are not depreciated. Fixed assets purchased by proprietary fund types are capitalized at historical cost, while contributed assets are recorded at fair market value on the date donated. Depreciation is charged to operations using a straight-line method, based on the average useful life of the asset. The estimated useful lives of the assets are as follows: Equipment 5 - 12 years Building 35 years See independent auditors' report. Ko CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): h. Employee Compensated Absences: It is the government's policy to permit employees to accumulate earned but unused vacation (compensated absences). Vacation pay which is expected to be liquidated with expendable available resources is reported as an expenditure and liability of the governmental fund that will pay it. Compensated absences in the amount of $383,758 which are not expected to be liquidated with expendable available financial resources are reported in the General Long Term Debt Account Group. i. Property Taxes: Property taxes are an enforceable lien on property as of March 1. Taxes are levied on. July 1 and are payable in two installments on November 1 and February 1, which become delinquent on December 10 and April 10, respectively. The County of Los Angeles bills and collects property taxes for the City. Remittance of property taxes to the City is accounted for in the City's General Fund. Inventories:' Inventories are accounted for on the purchase (expenditure) method, whereby expenditures for inventory are written off as incurred. There were no significant inventories on hand at June 30, 1994. k. Claims and Judgements: When it is probable that a claim liability has been incurred at year end and the amount of the loss can be reasonably estimated, the City records the estimated loss, net of any insurance coverage under its self insurance program claims payable, which include an estimate for incurred but not reported claims (IBNR), and is recorded in an Internal Service Fund. 1. Total Columns on Combined Financial Statements: The combined financial statements include total columns which aggregate the financial statements of the various fund types and account groups, The columns are designated "Memorandum Only" because the totals are not comparable to a consolidation in that interfund transactions are not eliminated. See independent auditors' report. -19- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 2. CASH AND INVESTMENTS: The City manages its pooled idle cash and investments under a formal investments policy reviewed and adopted annually by the City Council and which follows the guidelines of the State of California Government Code. The City's investment policy specifically authorizes the City to invest in the following instruments: Treasury bills, Treasury notes, Federal agency securities, bankers' acceptances, negotiable and nonnegotiable certificates of deposit commercial paper, the California Local Agency Investment Fund and the Los Angeles County Pooled Investment Fund. Classification of Deposits and Investments By Credit Risk: GASB 3 requires that deposits and investments be classified into three categories of credit risk. These categories are as follows: Deposits: Category 1 - Deposits which are insured by the FDIC. Category 2 Deposits which are collateralized. 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 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 $100,000 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 a third -parry trustee. These securities are physically held in an undivided pool for all California public agency depositors. The trustees keep detailed records of the security pool.. Category 3 Deposits which are uninsured or uncollateralized. See independent auditors' report. -20- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 2. CASH AND INVESTMENTS (CONTINUED): Classification of Deposits and Investments By Credit Risk (Continued); Investments: Category 1 - Investments which are insured by the Securities Investors Protection Corporation (SIPC), or investments which are held in definitive (i.e. physical) form by the City or the City's agent in the City's name, or investments acquired through the federal reserve book -entry system where the financial institution or broker/dealer associated with the purchases is separate from the custodial safekeeping agent on the same investments. Category 2 - Investments which are uninsured, where the investments are acquired through a financial institution's investment or trading department, but are held in the same financial institution's trust department and are recorded in the City's name in the trust department's systems and records. Category 3 - Investments which are uninsured, 1) where the investments are acquired through a financial institution's investment department but are held for custodial purposes in the same financial institution's safekeeping department, or 2) where the investments are acquired through a financial institution's trust department, and held for custodial safekeeping by the same trust department, or 3) where the investments are acquired through, and held for safekeeping by, the same broker/dealer or 4) where investments are not held in the City's name in the systems and records of the financial institution or broker/dealer. G See independent auditors' report. O 0 -21- 0 CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 2. CASH AND INVESTMENTS (CONTINUED): Investments Not Subject to Categorization: Investments in the California Local Agency Investment Fund (LAIF) and the Los Angeles County Pooled Investment Fund are not categorized, as GASB 3 does not require categorization of investment pools managed by another government. Also, investments of the Deferred Compensation Plan are not categorized, because the underlying assets of these funds consist primarily of guaranteed investment contracts (GICs) issued by insurance companies annuity contracts or open-ended mutual funds. All such investments are not required to be categorized under interpretive guidelines issued by the GASB. California Local Agency Investment Fund (LAIF): The LAIF is a special fund of the California State Treasury through which local governments may pool investments. The City and the Agency each may invest up to $20,000,000 in the fund. Investments in LAIF are highly liquid, as deposits can be converted to cash within 24 hours without loss of interest. Los Angeles County Pooled Investments Fund (LACPIF): The LACPIF is a pooled investment fund program governed by the Los Angeles County Board of Supervisors and is administered by the Los Angeles County Treasurer. Investments in LACPIF are highly liquid as deposits and withdrawals can be made at any time without penalty. In addition, there is no investment limit and interest earnings are calculated monthly and credited quarterly. See independent auditors' report. —22- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 2. CASH AND INVESTMENTS (CONTINUED): Deposits and investments were categorized as follows at June 30, 1994: Deposits: Demand accounts Cash with fiscal agent Thtal Deposits Category BankCarrying 1 2 3 Balance Amount $170,003 $ 155,820 $ - $ 325,823 $ 152,955 2,754,881 2.754.881 2.754.881 $170.003 155 820 2,754,881 3,080,704 2.907,836 Not Required Category Th Be 1 2 3 Categorized Investments: Investments with fiscal agents: Los Angeles County Pooled Investment Fund (LACPIF) $ $ - $ California Local Agency Investment Fund (LAIF) - - Los Angeles County Pooled Investment Fund (LACPIF) - - Deferred Compensation - $ 4,343,127 Market Value 4,343,127 $ 4,343,127 111 111 111 111 111 111 14,973,711 14,973,711 14,973,711 1.641.724 1,641,724 1.641,724 Total Investments$ $ - 5 958 562 35.958,562 gj2L8 .,562 TOTAL CARRYING AMOUNT (BOOK BALANCES) 28,866,398 See' independent auditors' report. -23- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 2. CASH AND INVESTMENTS (CONTINUED): Cash and investments are reported in the accompanying combined balance sheet as follows: Cash and investments $ 30,126,665 Cash and investments with fiscal agent 8.739.733 $ 38,866.398 Allocation of Interest Income Among Funds: Interest income from pooled investments is allocated to those funds which are required by law or administrative action to receive interest and to the proprietary funds. Interest is allocated monthly based on the cash balances in each fund receiving interest. Investments from bond proceeds are maintained separately and interest on these investments are allocated specifically to the capital projects fund which received the bond proceeds. 3. PROPERTY, PLANT AND EQUIPMENT: Changes in the General Fixed Assets Account Group for the year ended June 30, 1994 are as follows: Changes in the enterprise fund property, plant and equipment for the year ended June 30, 1994 are as follows: Equipment acquired by capital lease Equipment purchased Building Less: accumulated depreciation Net Assets See independent auditors' report. Balance Balance July 1, June 30, 1993 Additions Deletions 1994 $ 6,162,479 $ - $ - $ 6,162,479 82,829 935 - 83,764 3.657.462 - - 3.657.462 9,902,770S 935 $ - 9,903,705 (1.013.226) $ 8,889.544 -24- (1.648.018) L-8.255.687 Balance Balance July 1, June 30, 1993 Additions Retirements 1994 Land and improvements $25,897,515 $ - $ - $ 25,897,515 Buildings 12,310,344 453,484 - 12,763,828 Equipment 4.732.770 438,338 5.171.108 Totals $42.940.629 $ 891.822 $ $ 43.832,451 Changes in the enterprise fund property, plant and equipment for the year ended June 30, 1994 are as follows: Equipment acquired by capital lease Equipment purchased Building Less: accumulated depreciation Net Assets See independent auditors' report. Balance Balance July 1, June 30, 1993 Additions Deletions 1994 $ 6,162,479 $ - $ - $ 6,162,479 82,829 935 - 83,764 3.657.462 - - 3.657.462 9,902,770S 935 $ - 9,903,705 (1.013.226) $ 8,889.544 -24- (1.648.018) L-8.255.687 CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 4. GENERAL LONG-TERM DEBT: The following is a summary of the changes in the City's general long-term debt for the year ended June 30, 1994:. a. Financing Authority Revenue Bonds - Series 1991: On October 1, 1991 the Santa Clarita Public Financing Authority issued $22,940,000 of Revenue Bonds - Series 1991, The Authority, simultaneously with the receipt of the Bond proceeds, acquired $22,940,000 of Certificates of Participation issued by the Santa Clarita Redevelopment Agency. The proceeds from the Certificates were transferred from the Agency to the City to finance and/or refinance the design, acquisition, improvement or construction of land, the City Hall Building and certain road improvements, and to refinance certain debt. In exchange for transferring the proceeds from the Certificates to the City, the Agency acquired a leasehold interest in land, the City Hall Building and certain public improvements (the facilities). The Agency leased back the facilities to the City for lease payments to be made by the City to the Financing Authority equal to the principal and interest due on the revenue bonds. Principal amounts on $6,055,000 of serial bonds mature annually each October 1, in the years 1992 through 2003 and bear interest at rates ranging from 4.80% to 6.50%. Term bonds in the amounts of $3,035,000, $7,000,000 and $6,850,000 are due October 1, 2011, 2020 and 2021, respectively, and bear interest at 6.70%, 7.00% and 6.75%, respectively. Interest is payable semi-annually on April 1 and October 1 beginning in 1992. See independent auditors' report. -25- Balance Balance July 1, June 30, 1993 Additions Deletions 1994 Financing Authority Revenue Bonds - Series 1991 $22,190,000 $ - $ 785,000 $21,405,000 Notes payable 2,557,436 690,000 - 3,247,436 Advances to other funds - 163,730 - 163,730 Compensated absences 297.946 85.812 - 383.758 Totals j25&45.382 $ 939.542 $ 785.000 $ 25.199.924 a. Financing Authority Revenue Bonds - Series 1991: On October 1, 1991 the Santa Clarita Public Financing Authority issued $22,940,000 of Revenue Bonds - Series 1991, The Authority, simultaneously with the receipt of the Bond proceeds, acquired $22,940,000 of Certificates of Participation issued by the Santa Clarita Redevelopment Agency. The proceeds from the Certificates were transferred from the Agency to the City to finance and/or refinance the design, acquisition, improvement or construction of land, the City Hall Building and certain road improvements, and to refinance certain debt. In exchange for transferring the proceeds from the Certificates to the City, the Agency acquired a leasehold interest in land, the City Hall Building and certain public improvements (the facilities). The Agency leased back the facilities to the City for lease payments to be made by the City to the Financing Authority equal to the principal and interest due on the revenue bonds. Principal amounts on $6,055,000 of serial bonds mature annually each October 1, in the years 1992 through 2003 and bear interest at rates ranging from 4.80% to 6.50%. Term bonds in the amounts of $3,035,000, $7,000,000 and $6,850,000 are due October 1, 2011, 2020 and 2021, respectively, and bear interest at 6.70%, 7.00% and 6.75%, respectively. Interest is payable semi-annually on April 1 and October 1 beginning in 1992. See independent auditors' report. -25- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 4. GENERAL LONG-TERM DEBT (CONTINUED): a. Financing Authority Revenue Bonds - Series 1991 (Continued): The bonds are subject to optional redemption on or after October 1, 2001, and on any interest payment date thereafter at a price equal to the principal amount plus accrued interest to the redemption date, plus a premium ranging from 0.0% to 2.00%. The term bonds are subject to mandatory redemption on any October 1, from 1999 to 2021, in amounts ranging from $145,000 to $905,000, at a price equal to the principal amount plus accrued interest to the redemption date. In addition, the bonds are - subject to mandatory redemption under various other circumstances as described in the official statement dated October 1, 1993. Future debt service requirements on the bonds are as follows: Year Ending June 30, Principal Interest Total 1995 $ 825,000 $ 1,395,999 $ 2,220,999 1996 865,000 1,350,143 2,215,143 1997 915,000 1,300,278 2,215,278 1998 320,000 1,264,760 1,584,760 1999 345,000 1,244,970 1,589,970 Thereafter 18.135,000 17,354,486 35.489,486 $ 21,405,000 $ 23,910,636 $ 45.315,636 b. Notes Payable: 1. The City entered into an agreement whereby the Price Company loaned the City $2,557,436 for the acquisition of certain public improvements. Interest on the note accrues at the rate of 10% per year. Payments are due quarterly and will equal 70% of the sales tax revenue generated monthly from the operation of the Price Club Center (owned by the Price Company), The payments will be made for a period of 30 years or until the accrued interest and principal are paid in full, beginning October 1, 1993. See independent auditors' report. -26- CITY OF SANTA CLARTIA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 4. GENERAL LONG-TERM DEBT (CONTINUED): b. Notes Payable (Continued): Based on current available information, estimated future loan payments are as follows: Year Ending June 30, Principal Interest Total 1995 $ 169,929 $ 355,071 $ 525,000 1996 314,249 238,751 553,000 1997 373,674 207,326 581,000 1998 440,042 169,958 610,000 1999 515,046 125,954 641,000 Thereafter 744.496 76.882 821.378 $2.557.436 $1.173.942 $ 3.731,378 2. The City entered into an agreement whereby the City will reimburse Home Depot Company $690,000 for certain public improvements. Interest accrues at a rate of 7% per year. Payments are due quarterly and will equal up to 50% of the sales tax revenue generated monthly from the operation of the Home Depot. The payments will be made for a period of 7 years or until accrued interest and principal are paid in full. Information is not available to provide a debt schedule.. c. Advances from Other Funds: The Agency has received $163,730 in advances from the City's General Fund, which were recorded as "Advances to Other Funds" in the General Fund, and as "Other Financing Sources" in the Agency's Capital Projects Fund. Since the debt will be repaid from future tax increments as it becomes available, the debt from the Agency to the General Fund has been classified in the General Long Term Debt Account Group. d. Compensated Absences: There is no fixed payment to pay the outstanding liability for compensated absences earned at June 30, 1994 of $383,758. See independent auditors' report. -27- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 5, PROPRIETARY FUND TYPE LONG-TERM DEBT: The following is a summary of the changes in the proprietary fund type long-term debt for the year ended June 30,1994: Master lease obligations Lease payable Note payable Less: Lease Discount Total Proprietary Fund Long -Term Debt a. Master Lease Obligations: Balance Balance July 1, Ending June 30, 1993 Additions Deletions 1994 $1,825,311 $ - $ 179,116 $ 1,646,195 4,595,000 - 310,000 4,285,000 2,500,000 - 500.000 2,000,000 8,920,311 - 989,116 7,931,195 (29,052) (3,709) (25,343) $8,891,259 $$-1 985,407 7,905,852 In May 1991, the City entered into a master lease and option to purchase agreement in the amount of $2,150,000 for the lease of thirteen (13) buses. Such agreement carries an interest rate at 6.7% payable semiannually, due from November 1, 1991 through May 1, 2001. Under the terms of the agreement, the City has leased these transit buses for the establishment of a citywide local public transit system. Future lease payments under such obligation are as follows: Year Ending June 30. Principal Interest Total 1995 $ 191,318 $ 107,143 $ 298,461 1996 204,351 94,110 298,461 1997 218,271 80,189 298,460 1998 233,140 65,320 298,460 1999 249,023 49,438 298,461 Thereafter 550.092 46.830 596.922 See independent auditors' report. $1.646.195 $ 443.030 $ 2.089.225 b -M F' CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 PROPRIETARY FUND TYPE LONG-TERM DEBT (CONTINUED): b. Lease Payable: In October 1991, the City entered. into a lease with an option to purchase agreement in the amount of $4,895,000 for the lease of sixteen (16) buses from the Los Angeles County Transportation Commission. Such agreement carries interest rates ranging from 4.9% to 6.5%, payable semi-annually from July 1, 1992 through January 1, 2004. Future lease payment requirements are as follows: Year Total Ending $ 589,225 June 30, Principal 1995 $ 330,000 1996 345,000 1997 365,000 1998 385,000 1999 410,000 Thereafter 2,450,000 E,- §Of c. Note Payable: Interest Total $ 259,225 $ 589,225 241,735 586,735 222,760 587,760 201,995 586,995 179,240 589,240 488.070 2,938.070 $1.593,025 L5. In September, 1992, the City entered into an agreement whereby the Los Angeles County Transportation Commission loaned the City $2,500,000 for the construction of a commuter rail station. Interest on the note accrues at the equivalent rate earned by the Los Angeles County Pooled Investment Fund plus one-half percent. Payments are due annually for five years. Based on current available information, estimated future loan payments are as follows: Year Ending June 30, Principal 1995 $ 500,000 1996 500,000 1997 500,000 1998 500,000 See independent auditors' report. g � -29 Interest $ 72,500 50,750 29,000 7.250 159 500 Total $ 572,500 550,750 529,000 507,250 $ 2,159,500 CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 6. INTERFUND BALANCES: Interfund receivable and payable balances as of June 30, 1994 are as follows: Fund General Fund Special Revenue Funds: State Park Grants Traffic Safety Community Development Block Grant (CDBG) Federal Aid Urban (FAU) Transit Enterprise Fund Self -Insurance Internal Service Fund 7. DEFINED BENEFIT PENSION PLAN: Due From Due To $ 2,893,659 $ - - 97,151 57,679 - 86,692 - 34,030 - 2,445,866 172.241 $2.893,659 $ 2,893.659 The City contributes to the State of California Public Employees Retirement System (the "System"), an agent multiple -employer public employee retirement system that acts as a common investment and administrative agency for participating public entities within the State of California. The City's payroll for employees covered by the, System for the year ended June 30, 1994 was $7,408,749. The total payroll for the year was $8,451,277. All full-time City employees are eligible to participate in the System. Part-time employees generally do not participate in the System. Benefits vest after five years of service. City employees who retire at or after age'fifty, with five years of credited service, are entitled to an annual retirement benefit, payable monthly for life, in an amount equal to a benefit factor multiplied by their final compensation. Final compensation is the average monthly pay rate for the last consecutive 36 months of employment. The benefit factor is an account equal to between 1,92% and 2.418% multiplied by the number of years of credited employment. The percentage amount is based on the age of the employee at retirement, increasing from age 50 to age 63. Employee and.Employer Contribution Obligations: The City makes the contributions required of City employees on their behalf and for their account. The employee contribution rate is set by statute. The present member rate is 7% of wages. The City is required to contribute the remaining amounts necessary to fund the benefits for its members, using the actuarial basis recommended by the PERS actuaries and actuarial consultants, and adopted by the Board of Administration. See independent auditors' report. -30- 7 CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 DEFINED BENEFIT PENSION PLAN (CONTINUED): Funding Status and Progress: The amount shown below as the "pension benefit obligation" is a standardized measure of the present value of pension benefits, adjusted for the effects of step -rate benefits, estimated to be payable in the future as a result of employee service to date. The measure is intended to help assess the funding status of the system on a going -concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among employers. The measure is the actuarial present value of credited projected benefits and is independent of the funding method used to determine contributions to the System. The pension benefit obligation was computed as part of an actuarial valuation performed as of June 30, 1993. Significant actuarial assumptions used in the valuation include (a) a rate of return on the investment of present and future assets of 8.75 % as year compounded annually, (b) projected payroll increases of 5.25 % a year compounded annually, attributable to inflation and across the board real salary increases, (c) additional projected payroll increases of 1.75% a year, attributable to seniority/merit, and (d) no post-retirement benefit increases. The excess of net assets available for benefits over the pension benefit obligation applicable to the City employees was $243,388 at June 30, 1993, as listed below. Pension benefit obligation: Retires and beneficiaries currently receiving benefits and terminated employees not yet receiving benefits $ 158,219 Current employees:. Accumulated employee contributions, including allocated investment earnings 1,457,895 Employer -financed vested 326,008 Employer -financed nonvested 817.013 Total pension benefit obligation 2,759,135 Net assets available for benefits, at cost (Market value, $3,570,054) 3.002.523 Excess of net assets over pension benefit obligation $ 243.388 Changes in the pension benefit obligation from last year includes an increase of $290,559 for changes in benefit provisions and a decrease of $184,844 for changes in actuarial assumptions. See independent auditors' report. 7911 [a)1IIK01all .rY:t4WA311:1 NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 7. DEFINED BENEFIT PENSION PLAN (CONTINUED): Actuarially Determined Contribution Requirements and Contribution Made: The System uses the Entry Age Normal Actuarial Cost Method which is a projected benefit cost method. That is, it takes into account those benefits that are expected to be earned in the future as well as those already accrued. According to this cost method, the normal cost for an employee is the level amount which would fund the projected benefit if it were paid annually from date of employment until retirement. The System uses a modification of the Entry Age Cost method in which the employer's total normal cost is expressed as a level percentage of payroll. The System also uses the level percentage of payroll method to amortize any unfunded actuarial liabilities. The City of Santa Clarita had no unfunded actuarial liability at June 30, 1994. The significant actuarial assumptions used to compute the actuarially determined contribution requirement are the same as those used to compute the pension benefit obligation, as previously described. A contribution of $935,259 for normal costs was made to the system for 1994 in accordance with actuarially determined requirements computed through an actuarial valuation performed as of June 30, 1993. The City contributed employer contributions of $407,105, (5.49% of current covered payroll) and on behalf of employees contributed $528,154 (7.13 % of current covered payroll). Trend Information Trend information gives an indication of the progress made in accumulating sufficient assets to pay benefits when due. Ten year trend information for the City of Santa Clarita is not published in the California Public Employees Retirement System Annual Report. See independent auditors' report. -32- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 7, DEFINED BENEFIT PENSION PLAN (CONTINUED): Trend Information (Continued): The City entered the system in fiscal year 1988-1989. Therefore, the trend information from 1988-1989 through 1992-93 and employer contributions and covered payroll for 1988-1989 through 1993-1994 is summarized as follows: 1988-89 1989-90 1990-91 1991-92 1992-93 1993-94 Net assets available for benefits (in hundreds) $ 231,9 $4,452.8 $10,589.7 $18,952.3 $30,025.2 Pension benefit obligation (in hundreds) 406.9 3,230.4 8,527,1 15,912.0 27,591.3 Net assets available for benefits expressed as a percentage of pension benefit obligation 57.0% 137.8% 124.2% 119.1% 108.8% Assets in excess (deficit) of pension benefit obligation (in hundreds) Annual covered payroll (in hundreds) Unfunded (assets in excess of) pension benefit obligation expressed as a percentage of annual covered payroll Employer contributions (in hundreds) (174.9) (1,224.4) (2,062.6) (3,040.4) (2,433.9) 10,084.4 29,630.2 55,144.9 76,089.6 72,445.3 74,087.5 1.7% (4.1%) 1,170.0 3,217.6 Employer contributions expressed as a percentage of annual covered payroll. (These contributions were made in accordance with actuarially determined requirements). * Information at June 30, 1994 was not available. See independent auditors' report. 11.6% 10.9% -33- (3.7%) 2,908.9 7.2% (4.0%) (3.36%) 3,911.9 4,129.5 4,071.0 6.5% 5.7% 5.5% a E CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, :1994 COMPENSATION PLAN The City has established a deferred compensation plan for all officers and employees of the City under Internal Revenue code Section 457. Participation in the plan is voluntary and may be revoked at any time upon advance written notice. Generally, the amount of compensation subject to deferral until retirement, disability or other termination by a participant may not exceed the lesser of $7,500 or 33-1/3% of includible compensation. Amounts withheld by the City under this plan are deposited regularly with the International City Managers Association (ICMA) Fund for investment. As required by Section 1.457-20) of Internal Revenue Service regulation, plan assets are held as unrestricted City assets subject only to the claims of the general creditors of the City. Participant rights under the plan are equal to those of general creditors of the City in an amount equal to the fair market value of the deferred account for each participant. The City believes that it is unlikely that it will use the assets to satisfy the claims of general creditors in the future. The City's fiduciary responsibilities under the Plan include the deduction of deferred compensation from employee compensation and the remittance of such deductions to ICMA for investment. The assets of the Plan in the amount of $1,641,724 are included in an Agency Fund in the City's financial statements. INDIVIDUAL FUND DISCLOSURES: a. Deficit Fund Balances/Retained Earnings: Funds which have deficit fund balances/retained earnings at June 30, 1994 are as follows: Special Revenue Funds: State Park $ 64,251 FAU 38,887 Earthquake 2,599,184 Capital Project Fund: Redevelopment Agency 86,874 Enterprise Fund: Transit 1,162,369 Internal Service Fund: Self-insurance 836,934 See independent auditors' report. B&I CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 9. INDIVIDUAL FUND DISCLOSURES (CONTINUED): a. Deficit Fund Balances/Retained Earnings (Continued): The City plans to remove the deficit in the Special Revenue Funds through operating transfers from the General Fund and additional grant revenue from other governmental agencies. The deficit in the Redevelopment Agency Capital Project Fund will be funded from general fund loans. The deficit in the Transit Enterprise Fund will be funded from operating transfers from other funds and an increase in fares. The deficit in the Self-insurance Fund has been reserved in the General Fund and the City plans on recovering this amount through future operating transfers. b. Funds Where Expenditures Exceed Appropriations: Actual expenditures in the AQMD Special Revenue Fund exceed appropriations by $4,476. Actual expenditures in the General City Debt and Public Financing Authority Debt Service Funds exceed appropriations by $3,163 and $48,720, respectively. 10. SELF-INSURANCE: The City is self-insured for the fust $250,000 on each general liability claim against the City. At June 30, 1994, $589,045 was accrued for generally liability claims. These accruals represent estimates of amounts to be paid for incurred and reported claims as well as incurred but unreported claims based upon past experience and modified for current trends and information. While the ultimate amounts of losses incurred through June 30, 1994 are dependent on future developments, based upon information provided from the City Attorney, outside counsel and others involved with the administration of the programs, the City's management believes that the aggregate accrual is adequate to cover such losses. Third -parry coverage is currently maintained for general liability claims greater than $250,000 up to a limit of $10,000,000. 11. RESERVES AND DESIGNATIONS OF FUND EQUITY: A city may set up "reserves" of fund equity to segregate fund balances or retained earnings which are not appropriable for expenditure in future periods, or which are legally set aside for a specific future use. Fund "designations" also may be established to indicate tentative plans for financial resource utilization in a future period.. See independent auditors' report. -35- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 11. RESERVES AND DESIGNATIONS OF FUND EQUITY (CONTINUED): The City's reserves and designations at June 30, 1994, are tabulated below, followed by explanations as to the nature and purpose of each reserve and designation. Reserves: Continuing appropriations Encumbrances Self-insurance Advances to other funds Accounts receivable Prepaid items Debt service TOTAL RESERVES Designations: Capital improvements Special revenue purposes Contingencies TOTAL DESIGNATIONS Special Debt General Revenue Service Enterprise Fund Funds Funds Fund $ 492,674 $ 1,247,726 $ $ - 2,070,516 4,499,361 - - 836,934 - - - 163,730 - - - 113,986 - - - 39,121 - - 2.260,473 489,500 $ 3.716,961 5,747,087 $ 2,260.473 $ 484.500 a.. Reserved for Continuing Appropriations:. Special Capital General Revenue Project Fund Funds Funds $ - $ - $ 8,943,525 12,798,133 - 437,971 - $ 437.971 $12.798.133 $ 8,943,525 Appropriations for capital projects and other expenditures which are unexpended as of June 30, 1994 will carry forward as continuing appropriations to be expended in 1994-95. b. Reserved for Encumbrances: Amounts reserved for encumbrances are commitments for materials and services on purchase orders and contracts which are unperformed. c. Reserved for Self-insurance: This reserve is for the deficit retained earnings in the Internal Service Fund for Self-insurance. See independent auditors' report. -36- CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 11. RESERVES AND DESIGNATIONS OF FUND EQUITY (CONTINUED): d. Reserved for Advances to Other Funds: This reserve is for advances to other funds which may not be repaid until future years. e. Reserved for Accounts Receivable: This reserve is to indicate that these accounts receivables are not "available" as a resource to meet expenditures of the current year. f. Reserved for Prepaid Items: This reserve is to indicate these prepaid items are not "available" as a resource to meet expenditures of the current year. g. Reserved for Debt Service: These reserves represent amounts accumulated in accordance with a bond indenture or similar covenant. h. Designated for Capital Improvements: These funds are designated to provide for new capital additions as determined by the City Council. i. Designated for Special Revenue Purposes: These funds are designated for the specific special revenue purpose as restricted by law or administrative action. j. Designated for Contingencies: The remainder of the unreserved fund balance at June 30, 1994, in the General Fund has been designated for contingencies. See independent auditors' report. -37 CITY OF SANTA CLARITA NOTES TO FINANCIAL STATEMENTS (CONTINUED) June 30, 1994 12. SEGMENT INFORMATION: Net working capital of the Transit Enterprise System at June 30, 1994 was as follows: Current assets $ 1,417,693 Current liabilities payable from current assets (4.542.029) Net working capital 13. POST EMPLOYMENT BENEFITS: In addition to the retirement benefits described in Note 7, the City provides post-retirement health care benefits in accordance with a City resolution to all employees who retire from the City on or after attaining age 50 with 5 years PERS credited service. The City pays the cost of the retirees enrollment including the enrollment of family members in a health benefits plan to a maximum of $362.50 per month. The contribution by the City for the employee's family members is limited to a maximum of $1.00 per month increased annually every August by 5 % of the monthly contribution by the employee until such time as the retirees employee contributions equal. The City funds these amounts on a pay-as-you-go basis. For fiscal year 1993-94 there was one eligible participant for which the City paid $655 for medical insurance premiums. See independent auditors' report. go i. lilt k ^ f � 4;5s. O�T "'�.i+ei". a � ? Y �v O � ii•: TOO' tic Supplementary Information r0 � s0 ,. Oi 'try r ib ., .. _Af ? §a t " # +n n o, ' a its �s y O 3 _ O O 6E O � ti t O e O q •• # �` §`ueY hM1^' M 101 x= � tilk 4 p x ' e 'M i t too � p -21 Q O w u t ♦ i v� " i 3 Ynk YT. 44 yr g ,t�, sy'x- "' / `� � s '� �' �� * � � a� � ��. ,... �#� i ?4 � a�II?•z� J �Y' � fir. i S�q 'R + •ry 4 `r' 4'' yy .:^[ .yA j C r it e g ",A�' ;.�,'� EO r �:8 oft Clio o � r � i ,y..: \° al .w,k� '` a 0 LS E SAM cu Wo NAY- a - het•= xe s Gi Its ON Am - u-:.,. a + t a. 3 Yri k'x 5 q r W m h XT r Wig pap'Rf a P.Q. 53, toor ' , -„ OJ 0 M 0 0 0l 01 a zo A - � co S x rr r u k.r o 0. a O E SAM cu Wo NAY- a - het•= xe s Gi Its ON Am - u-:.,. a + t a. 3 Yri k'x 5 q r W m h XT r Wig pap'Rf a P.Q. 53, toor SUPPLEMENTARY INFORMATION GENERAL FUND The General Fund is the general operating fund of the City. All general tax revenues and other receipts not allocated by law or contractual agreement to some other fund are accounted for in this fund. Expenditures of this fund include general operating costs not paid through other funds. CITY OF SANTA CLARITA COMPARATIVE BALANCE SHEET GENERALFUND June 30, 1994 and 1993 LIABILITIES AND FUND BALANCE LIABILITIES: Accounts payable and accrued liabilities $ 2,044,426 $ 5,443,652 Deferred revenues 190,079 136,523 Deposits 101,885 48,587 Due to other funds — 338,669 TOTAL LIABILITIES 2,336,390 5,967,431 FUND BALANCE: Reserved for continuing appropriations Reserved for encumbrances Reserved for self—insurance Reserved for advance to other funds Reserved for accounts receivable Reserved for prepaid items Unreserved: Designated for contingencies TOTAL FUND BALANCE TOTAL LIABILITIES AND FUND BALANCE —39— 492,674 2,070,516 836,934 163,730 113,986 39,121 890,582 1,924,538 502,222 111,522 43,561 437,971 2,078,303 4,154,932 5,550,728 $ 6,491,322 $ 11,518,159 June 30, June 30, 1994 1993 ASSETS Cash and investments $ 2,460,570 $ 9,502,489 Accounts receivable 872,172 954,666 Interest receivable 44,838 94,902 Due from other funds 2,893,659 815,227 Due from other governments 17,232 107,314 Prepaid items 39,121 43,561 Advance to other funds 163,730 — TOTALASSETS $ 6,491,322 $ 11,518,159 LIABILITIES AND FUND BALANCE LIABILITIES: Accounts payable and accrued liabilities $ 2,044,426 $ 5,443,652 Deferred revenues 190,079 136,523 Deposits 101,885 48,587 Due to other funds — 338,669 TOTAL LIABILITIES 2,336,390 5,967,431 FUND BALANCE: Reserved for continuing appropriations Reserved for encumbrances Reserved for self—insurance Reserved for advance to other funds Reserved for accounts receivable Reserved for prepaid items Unreserved: Designated for contingencies TOTAL FUND BALANCE TOTAL LIABILITIES AND FUND BALANCE —39— 492,674 2,070,516 836,934 163,730 113,986 39,121 890,582 1,924,538 502,222 111,522 43,561 437,971 2,078,303 4,154,932 5,550,728 $ 6,491,322 $ 11,518,159 CITY OF SANTA CLARITA COMPARATIVE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE—BUDGET AND ACTUAL GENERAL FUND For the year ended June 30, 1994 With comparative actual amounts for the year ended June 30, 1993 REVENUES: Taxes Licenses and permits Use of money and property Revenues from other agencies Fines and forfeitures Service charges Other revenue TOTALREVENUES EXPENDITURES: Current operating: General government Public safety Public works Parks and recreation Community development Capital outlay TOTAL EXPENW UR EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES (USES): Proceeds of longterm debt Operating transfers in Operating transfers out TOTAL OTHER FINANCING SOURCES (USES) EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER(UNDER)EXPENDITURE' AND OTHER FINANCING USES FUND BALANCE—BEGINNING OF YEAR 1994 1993 Variance Favorable Budget Actual (Unfavorable) Actual $ 19,809,300 S 19,441,811 S (367,489) S 19,180,033 1,313,500 1,177,963 (135,537) 1,299,844 1,044,500 620,484 (424,016) 1,221,835 5,210,919 4,994,380 (216,539) 5,587,261 700 72,650 71,950 2,898 1,468,300 1,363,034 (105,266) 1,170,064 4,900 87,973 83,073 246,325 28,852,119. 27,758,295 (1,093,824) 28,708,260 3,370,911 3,626,943 (256,032) .3,491,725 9,229,900 9,256,950 (27,050) 8,389,392 3,735,296 2,798,663 936,633 2,633,661 6,196,760 5,676,932 519,828 5,536,936 4,614,566 3,811,490 803,076 4,587,470 3,324,393 2,470,758 853,635 424,053 30,471,826 27,641,736 2,830,090 25,063,237 (1,619,707) 116,559 1,736,266 3,645,023 — 690,000 690,000 — 436,300 313,923 (122,377) 394,386 (98,400) (2,516,278) (2,417,878) (6,512,795) 337,900 (1,512,355) (1,850,255) (6,118,409) (1,281,807) (1,395,796) (113,989) (2,473,386) 5550,728 5,550,728 — 8,024,114 FUND BALANCE—END OF YEAR $ 4,268,921 $ 4,154,932 $ (113,989) $ .5,550,728 —40— SPECIAL REVENUE FUNDS The Special Revenue Funds account for the proceeds of specific revenue sources that are legally restricted to expenditure for specific purposes. Funds included are: Bikewa To account for monies received from the State of California restricted for bicycle and pedestrian facilities available under Article 3 of Transportation Development Act (SB821). Bridee and Thoroughfare - To account for monies received from developers for street and highway construction through bridge and thoroughfare districts. Developer Fees - To account for monies received from developers for street improvements. Gas Tax - To account for monies received and expended from the state and county gas tax allocation restricted to fund various street and highway improvements including maintenance. Park Improvement - To account for monies received from developers restricted to fund the acquisition and development of new parkland space. Proposition A - As " Proposition A" increased sales tax in Los Angeles County by one-half percent (.5%), this fund accounts for financial activity relative to the City's share of these monies. "Proposition A" revenue is to be used for transportation -related purposes. Special Assessment - To account for monies received for small special assessment districts. State Park - To account for grant monies received from the State of California Department of Parks and Recreation for construction or improvements of parklands within the City. TDA Funds - To account for monies received from the State of California under Article 8 of the Transportation Development Act (TDA). These funds may be used for local streets and road expenditures when the City's unmet transportation needs have been satisfied. Traffic Safety - To account for monies received from vehicle code fines. This fund is used to finance law enforcement expenditures, CDBG (Community Development Block Grant) To account for Federal entitlements under the Housing and Community Development Act of 1974, as amended. The City Council annually allocates CDBG Funds to various programs. FAU (Federal Aid Urban) - To account for receipts and disbursements of Federal contributions to infrastructure capital improvements. Proposition C - As 'Proposition C" increased sales tax in Los Angeles County by one-half percent (.5%), this fund accounts for financial activity relative to the City's share of these monies. "Proposition C" revenue is to be used for transportation -related purposes, SPECIAL REVENUE FUNDS (CONTINUED) Funds included are (Continued): AOMD (Air Quality Management District) - To account for revenues and expenditures for Air Quality Management. Aid to Cities - To account for receipts and disbursements associated with County Aid to cities grant. Earthquake Fund - To account for receipts and disbursements associated with reconstruction projects as a result of the 1994 Northridge earthquake. Landscape Maintenance District #1 - To account for receipts and disbursements for landscape district. CITY OF SANTA CLARITA COMBINING BALANCE SHEET ALL SPECIAL REVENUE FUNDS June 30, 1994 With comparative totals for June 30, 1993 FUND BALANCES (DEFICITS) Reserved for encumbrances 41,955 - 33,604 381,042 - Reserved for con tin umgappropriations - - 42,267 - Designated for special revenue purposes 347,349 3,549,878 - - 223,416 Undesignated - - - - TOTAL FUND BALANCES (DEFICITS) 389,304 3,549,878 33,604 423,309 223,416 TOTAL LIABILITIES AND FUND BALANCES $ 544,272 $ 3,549,878 S 865,137 $ 856,313 $ 223,416 -41- Bridge and Developer Gas Park Bikeway Thoroughfare Fees Tax Improvement ASSETS Cash and investments $ 539,817 $ 3,523,122 $ 273,091 $ 847,127 $ 221,590, Accounts receivable, - - 589,795 2,195 - Interest receivable 4,455 26,756 2,251 6,991 1,826 Due from other governments - - - - - TOTAL ASSETS S 544,272 S 3,549,878 S 865,137 S 856,313 S 223,416 LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable and accrued liabilities. S 4,888 S - $ 449,865 $. 433,004 S - Deferred revenues 150,080 - 381,668 - - Due to other funds - - - - TOTAL LIABILITIES 154,968 - 831,533 433,004 - FUND BALANCES (DEFICITS) Reserved for encumbrances 41,955 - 33,604 381,042 - Reserved for con tin umgappropriations - - 42,267 - Designated for special revenue purposes 347,349 3,549,878 - - 223,416 Undesignated - - - - TOTAL FUND BALANCES (DEFICITS) 389,304 3,549,878 33,604 423,309 223,416 TOTAL LIABILITIES AND FUND BALANCES $ 544,272 $ 3,549,878 S 865,137 $ 856,313 $ 223,416 -41- Proposition Special State. TDA. Traffic Proposition - A Assessment Park Funds Safety CDBG FAU C AQMD - 6,190,817 7,262 - - 1,769,417 345,034 - $ 106,429 S 179,034 $ - S 10,775,305 $ 37,785 S - $ - S 2,231,748 S 308,166 83,085 9,304 76,403 - 24,716 - - - :34,693 10,759 1,469 - 94,083 2,440 - - 23,225 2,536 - - - - - 126,413 - 193,063 - $ 200,273 $ 189,807 $ 76,403 S 10,869.388 $ 64,941 S 126,413 S - S 2,448,036 S 345,395 $ 1,477 S 17,890. $ 43,503 S 410,245 $ - S 39,721. S 4,857 S 30,017 S 361 - 97,151 - 57,679 86,692 34,030 - - 1,477 17,890 140,654 410,245 57,679 126,413 38,887 30,017 361 5,624 8,950 - 3,423,883 - - - 287,586 - - - - 844,443 - - - 361,016 - 193,172 162,967 - 6,190,817 7,262 - - 1,769,417 345,034 - - (64,251) - - - (38,887).. - - 198,796 171,917 (64,251) 10,459,143 7,262 - (38,887) 2,418,019 345,034 S 200,273 S 189,807 S 76,403 $ 10,869,388 S 64,941 S 126,413 S - $ 2,448.036 $ 345,395 (Continued) -42- CITY OF SANTA CLARITA COMBINING BALANCE SHEET ALL SPECIAL REVENUE FUNDS (CONTINUED) .June 30,1994 With comparative totals for June 30, 1993 ASSETS Cash and investments Accounts receivable Interest receivable Due from other governments TOTAL ASSETS LIABILITIES AND FUND BALANCES LIABILITIES Totals June 30,June. 30, 1994 1993 S 19,861,278 $ 17,962,592 Landscape Aid to Earthquake Maintenance Cities Fund District#1 885,281 Due to other funds — $ 319,125 $ 495,180 S 3,759 — 1,599,912 — 2,631 8,034 23 — 1,684,906 — Totals June 30,June. 30, 1994 1993 S 19,861,278 $ 17,962,592 2,420,103 515,500 187,479 169,035 2,004,382 286,568 S 321,756 S 3,788,032 S 3.782 S 24,473.242 $ 18.933.695 Accounts payable and accrued liabilities S. — $ 5,254,913 S — $ 6,690,741 $ 783,030 Deferred revenues — 1,132,303 — .:1,664,051 885,281 Due to other funds — — — 275,552 820,943 TOTAL LIABILITIES — 6,387,216 — 8,630,344 2,489,254 FUND BALANCES (DEFICITS) Reserved for encumbrances 316,717 — — 4,499,361. 3,349,302 Reserved for continuing appropriations — — — 1,247,726 — Designated for special revenue purposes 5,039 — 3,782 12,798,133 .13,095.,139 Undesignated — (2,599,184) — (2,702,322) — TOTAL FUND BALANCES (DEFICITS) 321,756 (2,599,184) 3,782 15,842,898 16,444,441. TOTAL LIABILITIES AND FUND BALANCES $ 321,756 S 3,788,032 5 3,782 $24473.242 S 18,933,695 —41— CITY OF SANTA CJARITA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ALL SPECIAL REVENUE FUNDS For the year ended June 30, 1994 With comparative totals for the year ended June 30,1993 REVENUES: Developer fees. Use of money and permits Revenues from other agencies Fines and forfeitures Service charges Other revenue TOTAL REVENUES EXPENDITURES: Current operating: General government Public works Parks and recreation Community development Capital outlay TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES .OTHER FINANCING SOURCES (USES): Operating transfers in Operating transfers out TOTAL OTHER FINANCING SOURCES (USES) EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER (UNDER) EXPENDITURE AND OTHER FINANCING USES FUND BALANCES -BEGINNING OF YEAR Bridge and Developer Gas Park Bikeway 'Thoroughfare Fees Tax Improvement $ 292,886 S 102,849 $ 1,115,607 S - S - 25,063 124,422 :23,701 17,833 9,183 9,548 - - 2,550,122 - 2,500 - - 17,709 - 329,997 227,271 1,139,308 2,585,664 9,183 - - - 1,450,993 - - - 84,389 - 28,810 - 562,410 607,148 - 28,810 - 562,410 2,142,530 - 301,187 227,271. 576,898 443,134 9,183 - 558,839 - - - (621,452) (56,886) - 558,839 (621,452) (56,886) 301,187 786,110 (44,554) 386,248. 9,183 88,117 2,763,768 78,159 37,061 214,233 FUND BALANCES (DEFICITS) -END OF YEAR $ 389,304 S 3,549,878 S 33,604 S 423,309 S 223,416 -44- Proposition Special State TDA Traffic 11,323 A Assessment Park Funds Safety CDBG s - $ - S - S - $ - $ - $ 11,608 4,143 - 400,247 7,262 - 1,203,972 - 192,215 2,315,037 - 281,924 - - - - 257,037 - 48,615. - - - - - - 87,670 - - - 31 _ 1,264,195 91,813 192,215 2,715,284 264,299 281,955 Proposition FAV C AQMD (201,380) 7,262 - - 115,087 11,323 - 2,294,583 135,546 - 2,409,670 146,869 - - - 280,311 - - 1,204 60,448 - - - - - - 11,626 - 9,191 278,946 2,310,664 - 1,644 760,037 971,340 4,904 1,204 69,639 278,946 2,310,664 - 281,955 760,037 971,340 16,530 1,262,991 22,174 (86,731) 404,620 264,299 130,000. 62,613 (1,194,195) - (1,064,195) 62,613 (606,000)2( 57,037) (606,000) (257,037) (760,037) 1,438,330 130,339 (577,437) (577,437) - 198,796 84,787 (86,731) (201,380) 7,262 - (760,037) 860,893 130,339 - 87,130 22,480 10,660,523 - - 721,150 1,557,126 214,695 S 198,796 S 171,917 5 (64,251) $ 10,459.143 S 7,262 $ - S (38,887) S 2,418,019 S 345,034 -45- CITY OF SANTA CLARITA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ALL SPECIAL REVENUE FUNDS (CONTINUED) For the year ended June 30, 1994 With comparative totals for. the year ended June 30, 1993 REVENUES: Developer fees Use of money and permits Revenues from other agencies Fines and forfeitures Service charges Other revenue TOTALREVENUES. EXPENDITURES: Current operating: General government .Public works Parks and recreation Community development Capital outlay TOTALEXPENDITUR: EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES (USES): Operating transfers in Operating transfers out TOTAL OTHER FINANCING SOURCES (USES) EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER(UNDER)EXPENDITURES AND OTHER FINANCING USES FUND BALANCES —BEGINNING OF YEAR — 16,326,605 16,326,605 321,756 (2,599,184) 280,311 — 1,524,271. 2,516,236 — 332,586 — 84,389 — 21,861,699 213,089 23,750,670 :3,061,911 3,782 1,960,012 13,266,784 751,452 14,000 — — — (3,313,007) (8,483,591) — (2,561,555) (8,469,591) 321,756 (2,599,184) 3,782 (601,543) 4,797,193 — 16,444,441 11,647,248 FUND BALANCES (DEFICITS)—END OF YEAR $ 321.756 $ (2,599,184) S 3,782 $ 15,842,898 S 16,444,441 —46— Landscape Totals Aid to Earthquake Maintenance June 30, June 30, Cities Fund District#1 1994 1993 S — $ — $ — $ 1,511,342 5 2,799,645 13,564 60,478 102 824,016 518,772 308,192 10,271,888 — 19,563,027 12,565,916 — — — 257,037 314,642 — — 3,680 52,295 - - 3,395,055 — 3,502,965 129,720 321,756 13,727,421 3,782 25,710,682 16,328,695 — 16,326,605 16,326,605 321,756 (2,599,184) 280,311 — 1,524,271. 2,516,236 — 332,586 — 84,389 — 21,861,699 213,089 23,750,670 :3,061,911 3,782 1,960,012 13,266,784 751,452 14,000 — — — (3,313,007) (8,483,591) — (2,561,555) (8,469,591) 321,756 (2,599,184) 3,782 (601,543) 4,797,193 — 16,444,441 11,647,248 FUND BALANCES (DEFICITS)—END OF YEAR $ 321.756 $ (2,599,184) S 3,782 $ 15,842,898 S 16,444,441 —46— CITY OF SANTA CIARITA COMBINING STATEMENT OF REVENUES, EXPENDI'T'URES AND CHANGES IN FUND BALANCES -BUDGET AND ACTUAL ALL BUDGETED SPECIAL REVENUE FUNDS REVENUES: Developer fees Use of money and permits Revenues from other agencies Fines and forfeitures Service charges Other revenue TOTALREVENUES EXPENDTIURES: Current open ting: General government Public works Parks and recreation Community development Capital outlay TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES (USESx Operating transfers in Operating transfers out TOTAL OTHER FINANCING SOURCES (USES) EXCESS OF REVENUES AND OTHER FINANCING SOURCESOVER(UNDER) EXPENDITURES AND OTHER FINANCING USES FUNDBALANCES- BEGINNING OF YEAR FUND BALANCES (DEFICITS) END OF YEAR For the year ended June 30, 1994 Bikeway Bridge and Thoroughfare Variance Variance Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ 292,900 S 292,886 S (14) S 15$,000 S 102,849 S (52,151) 17,500 25,063 7,563 68,000 124,422 56,422 30,000 9.548 (20,452) - - - 2,500 2,500 - - - - 342,900 329,997 (12,903) 223,000 227,271 4,271 305,303 28,810 276,493 - - - 305,303 28,810 276,493 - - - 37,597 301,187 263,590 223,000 227,271 4,271 37,597 301.187 88,117 88,117 I 558,839 558,839 558,839 558,839 263,590 223,000 786,110 2,763,768 2,763,768 563,110 S 125.714 S 389.304 S 263.590 S 2.986.768 S 3.549.878 S $63.110 -47- Developer Fees Gas Tax Park Improvement Variaa= Varian= Varian= Favorable Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable) S 1,600 S 1,115,607 S 1.114,007 S - S - S - S .3001000 S -. S (300.000) 38,100 23,701 (14,399) 20,000 .17,833 (2,167) 5,000 9,183 4,183 - - - 2,500,000 2,550,122 $0,122 - - - - - - 800 17,709 16,909 - - - 39,700 1,139,308 1,099,608 2,520,800 2,585,664 64,864 305,000 9,183 (295,817) 1,756.520 1,450,993 305,527 - - - 169,614 84,389 85,225 - - - 4,716,483 562,410 4,154,073 743,242 607,148 136,094 100,000 - 100,000 4,716,483 562,410 4,154,073 2,669,376 2,142,530 526,846 300,000 - 100,000 (4,676,783) 576,898 5,253,681 (148,576) 443.134 591,710 205.000 9,183 (195,817) - - 200A00 - (200,000) - - - (621,452) (621,452) - (56,886) (56,886) - - - (621,452) (621,452) 200,000 (56,886) (256,886) - - - (4,676,783) (44,554) 4,632,229 51,424 386,248 334,824 205,000 9,183 (195,817) 78,158 78,158 - 37,061 37,061 - 214,233 214,233 S (4,598.625) S 33,604 $ 4,632,229 I 88,485 I 423.309 S 334,824 S 419,233 $ 223.416 S (195,817) (Continued) -48- CITY OF SANTA CIARITA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES—BUDGET AND ACTUAL ALL BUDGETED SPECIAL REVENUE FUNDS (CONTINUED) REVENUES: Developer fees Use of money and permits Revenues from other agencies Pines and forfeitures Service charges Other revenue. TOTALREVENUES EXPENDITURES:. Current operating" General government Public works Parks and recreation Community development Capital outlay TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES(USESk Operating transfers in Operating transfers out TOTAL OTHER FINANCING SOURCES (USES) EXCESS OFREVENUES AND OTHER FINANCING SOURCES OVER (UNDER) EXPENDITURES AND OTHER FINANCING USES FUND BALANCES — BEGINNING OF YEAR FUND BALANCES (DEFICITS)— END OF YEAR For the year ended June 30, 1994 Proposition A. Special Assessment Variance Variance Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) S — $ — S — S —. S — S — 42,000 11,608 (30,392) 1.300 4,143 2.843 1.957,200 1,2D3,972 (753.228) — — — — 48,615 48.615 — — - - — — 102.763 87,670 (15,093) 1.999.200 1,264,195 (735,00S) 104,063 91.813 (12,250) — 1,204 (1.204) 94,802 60,448 34,354 271,600 — 271,600 8,000 9,191 (1,191) 271,600 1.204 27D,396 302,802 69,639 33,163 1,727,600 1,262,991 (464,609) 1.261 22,174 20,913 130,000 130,000 — — 62,613 62,613 (1,194,195) (1,194,195) (1,570,300) — 1,570,300 130,000 (1,064.195) (1,194,195) (1,570,300) 62.613 1.632,913 1,857,600 198,796 (1,658,804) (1,569,039) 84.787 87,130 87,130 1,653,826 S 1.857.600 S 198,796 S (1,658.804) S (1.481,909) S 171.917 S 1.653,826 —49— 371,042 State Pa rk 92,096 9,288,930 TDA Funds 6,978,266 — — — 371,042 Traffic Safety 92.096 9,288,930 Variance 6,978,266 — — — (806,000) Variance. 200,00033( 4.700)2( Variance 77,663 Favorable Favorable — — — (806,000) Favorable Budget A4tnal (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ — S — $ — $ — $ — $ — S — $ — $ — 45,000 — (45,000) 2,277,600 400,247 (1,877,353) 9,700 7,262 (2,438) 2,306,200 192,215 (2,113,985) 127,200 2,315,037 2,187,837 — — - - — — — — — 335.000 257,037 (77,963) 2,351,200 192,215 (2,158,985) 2,404,800 2,715.284 310,484 344,700 264,299 (80,401) 371,042 278,946 92,096 9,288,930 2,310,664 6,978,266 — — — 371,042 278,946 92.096 9,288,930 2,310.664 6,978,266 — 1.980.158 (86.731) (2,066,889) (6,884,130) 404,620 7,288,750 344,700 264,299 (80,401) 22.480 22,480 — 10,660,523 10,660,523 — — — — — — (806,000) (606,000) 200,00033( 4.700)2( 57.037) 77,663 — — — (806,000) (606,000) 200,000334,70 2( 57.037) 77,663 1,980,158 (86,731) (2,066.889) (7,690,130) (201.380) 7,488,750 10.000 7,262 (2,738) 22.480 22,480 — 10,660,523 10,660,523 — — — — S 2.002.638 S(64.251) S (2.066,8891 S 2,970,393 S 10,459,143 S 7,488.750. S 10.000 S 7,262 5 (2,7381 (Continued) M» CITY OF SANTA CLARITA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES —BUDGET AND ACTUAL ALL BUDGETED SPECIAL REVENUE FUNDS (CONTINUED) For the year ended June 30, 1994 OTHER FINANCING SOURCES (USES} Operating transfers in Operating trawlers out— TOTAL OTHER FINANCING SOURCES (USES) — — — — EXCESS OF REVENUES AND OTHER FINANCING SOURCESOVER(UNDER) EXPENDITURES AND OTHER FINANCING USES (541,508) — 541,508 (1,300.000) (760,037) 539,963 FUNDBALANCES— BEGINNINGOFYEAR _ — — — 721.150 721,150 FUND BALANCES (DEFICrrS)— END OF YEAR S (541,508) S — S 541,508 S (578.850) $ (38,887) S 539.963 —51— CDBG FAU Variance Variance Favorable .Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) .REVENUES: Developer fees Use of money and permits — — — — — Revenues from other agencies 1,817,600 281,924 (1,535,676) -- — — Fines and forfeitures — — — — Service charges — — — — Other revenue — 31 31 — — TOTAL REVENUES 1,817,600 .281,955 (1,535,645) — — — EXPENDr1VRES: Current operating: General government 1,093,098 280,311 812,787 — — — Public works — — — — Parks and recreation — — — community development — — — — — Capital outlay 1,266,010 1,644 1,264,366 1,300,000 760,037 539.963 TOTAL EXPENDrIVRES 2,359,108 281,955 2,077,153 1,300,000 760,037 539,963 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (541,508) — 541,508 (1,300,000) (760,037) 539,963 OTHER FINANCING SOURCES (USES} Operating transfers in Operating trawlers out— TOTAL OTHER FINANCING SOURCES (USES) — — — — EXCESS OF REVENUES AND OTHER FINANCING SOURCESOVER(UNDER) EXPENDITURES AND OTHER FINANCING USES (541,508) — 541,508 (1,300.000) (760,037) 539,963 FUNDBALANCES— BEGINNINGOFYEAR _ — — — 721.150 721,150 FUND BALANCES (DEFICrrS)— END OF YEAR S (541,508) S — S 541,508 S (578.850) $ (38,887) S 539.963 —51— - - Proposition C 11,626 428 AQMD 2,744950 971,340 1,773,010 - Aid to Cities (4,904) 318,000 - 318,000 2,744,350 971.340 Variance 16,530 (4,476) Variance Variance Favorable Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable) 3 - S - S - I - 8 - I - S - S - S - 25,000 115,087 90,087 10,000 11,323 1,323 - 13,564 13,564 3,270,100 2,294,583 (975,517) 120,000 135,546 15,546 308,200 308,192 (8) 321,756 13.556 (885,430) 130,000 146,869 16,869 308,200 2.409,670 3,295,100 - - - 12,054 11,626 428 - - - 2,744950 971,340 1,773,010 - 4,904 (4,904) 318,000 - 318,000 2,744,350 971.340 1,773,010 12,054 16,530 (4,476) 3189000 - 318,000 550,750 1,438,330 887,580 117,946 130,339 12,393 (9,800) 321,756 331,556 (604,40(Y) (577,437) 26,963 - - - - (604,400) (577,437) 26,963 - - - - - (53,650) 860,893 1,557,126 1.557,126 914,543 117,946 130,339 12.393 (9,800) 321.756 331.556 - 214,695 214,695 - - S 1.503.476 S 2.418.019 I 914,543 S 332,641 $ 345.034 I 12.393 S (9,800) S 321.756 S 331.556 (Continued) -52- CITY OF SANTA CLARICA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUNDBAiANCES—BUDGET AND ACTUAL ALL BUDGETED SPECIAL REVENUE FUNDS (CONTINUED) For the year ended June 30, 1994 EXPENDITURES: — — — 330,000 Earthquake Fund 421,452 Current operating: Totals (3,313,007) 2,393 General government — — — 1,093,098 Variance 812,787 Publieworks Variance 1,524,271 339,105 Parks and recreation Favorable Favorable — — — 169,614 Budget Actual (Unfavorable) Budget Actual (Unfavorable) REVENUES: 28,799,625 16,326,605 12,473,020 53,358,673 23,750,670 29,608,003 OTHER FINANCING USES — (2,599,184) (2,599,184) (11,358,185) (605,325) Developer fees S — S — S — $ 749,500 S 1.511,342 S 761,842 Use of money and permits — 60,478 60,478 2,559,200 823,914 (1,735,286) Revenues from other agencies 28,799,625 10,271,888 (18,527,737) 41,236,125 19,563,027 (21,673,098) Fines and forfeitures — — — 335,000 257,037 (77,963) Service charge — — — — 48,615 48,615 Other revenue — 3,395,055 3,395,055 106,063 3,502,965 3,396,902 TOTALREVENUES 28,799,625 13,727,421 (15,072,204) 449985,888 2597061900 (19,278.988) EXPENDITURES: — — — 330,000 751,452 421,452 Current operating: — — — (3,315,400) (3,313,007) 2,393 General government — — — 1,093,098 280,311 812,787 Publieworks — — — 1,863,376 1,524,271 339,105 Parks and recreation — — — Community development — — — 169,614 84,389 85,225 Capital outlay 28,799,625 16.326,605 12,473,020 50,232,585 21,861,699 28,370.886 TOTAL EXPENDITURES 28,799,625 16,326,605 12,473,020 53,358,673 23,750,670 29,608,003 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES — (2,599,184) (2,599,184) (8,372,785) 1,956,230 10,329,015 OTHER FINANCING SOURCES (USES} Operating transfers in — — — 330,000 751,452 421,452 Operating transfers out — — — (3,315,400) (3,313,007) 2,393 TOTAL OTHER FINANCING SOURCES (USES) — — — (2,985,400) (2,561.555) 423,845 EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER (UNDER) EXPENDITURES AND OTHER FINANCING USES — (2,599,184) (2,599,184) (11,358,185) (605,325) 10,752,860 FUND BALANCES— BEGINNINGOFYEAR — — — 16.444,441 16,444,441 — FUND BALANCES (DEFICITS)— END OF YEAR S — S (2.599.184) $ (2,599.184) 1 5,086.256 1 15.839.116 S 10.752.860 —53— DEBT SERVICE FUNDS The Debt Service Funds are used to account for accumulation of resources for, and payment of, interest and principal on long-term debt. Funds included are: General City Debt To account for principal and interest payment on City's general long-term obligations. Public Financing Authority - To account for principal and interest payments on the 1991 Revenue Bonds issued by the Santa Clarita Public Financing Authority. CITY OF SANTA CLARITA COMBINING BALANCE SHEET ALL DEBT SERVICE FUNDS June 30, 1994 With comparative totals for June 30, 1993 General Public Totals City Financing June 30, June 30, Debt Authority 1994 1993 ASSETS: Cash and investments with fiscal agent $ — $ 2,260,473 $ 2,260,473 $ 2,287,778 FUND BALANCES: Reserved for debt service $ — $ 2,260,473 $ 2,260,473 $ 2,287,778 —54— CITY OF SANTA CLARITA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ALL DEBT SERVICE FUNDS For the year ended June 30, 1994 With comparative totals for the year ended June 30, 1993 REVENUES Use of money and property EXPENDITURES: Principal retirement Interest and fiscal charges TOTAL EXPENDITURES EXCESS OF REVENUES (UNDER) EXPENDITURES OTHER FINANCING SOURCES: Operating transfers in EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER(UNDER)EXPENDITURES FUND BALANCES— BEGINNING OF YEAR FUND BALANCES— END OF YEAR General Public Totals City Financing June 30, June 30, Debt Authority 1994 1993 $ — $ 57,497 $ 57,497 $ 116,667 785,000 785,000 2,108,680 245,923 1,440,157 1,686,080 2,134,639 245,923 2,225,157 2,471,080 4,243,319 (245,923) (2,167,660) (2,413,583) (4,126,652) 245,923 2,140,355 2,386,278 4,163,730 (27,305) (27,305) 37,078 __ 2,287,778 2,287,778 2,250,700 $ — $ 2,260,473 $ , 2260,473 $ 2287,778 —55— CITY OF SANTA CLARITA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES—BUDGET AND ACTUAL ALL DEBT SERVICE FUNDS For the year ended June 30, 1994 REVENUES: Use of money and permits EXPENDITURES: Principal retirement Interest and fiscal charges TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES: Operating transfers in EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER (UNDER) EXPENDITURES FUND BALANCES— BEGINNING OF YEAR FUND BALANCES (DEFICITS)— END OF YEAR —56— General City Debt Variance Favorable Budget Actual (Unfavorable) 242,760 245,923 (3,163) 242,760 245,923 (3,163) (242,760) (245,923) (3,163) 242,760 245,923 3,163 Public Financing Authority Totals Variance Variance Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ 104,800 $ 57,497 $ (47,303) $ 104,800 $ 57,497 $ (47,303) 785,000 785,000 — 785,000 785,000 — 1,438,740 1,440,157 (1,417) 1,681,500 1,686,080 (4,580) 2,223,740 2,225,157 (1,417) 2,466,500 2,471,080 (4,580) (2,118,940) (2,167,660) (48,720) (2,361,700) (2,413,583) (51,883) 2,223,740 2,140,355 (83,385) 2,466,500 2,386,278 (80,222) 104,800 (27,305) 2,287,778 2,287,778 (132,105) 104,800 (27,305) — 2,287,778 2,287,778 (132,105) $ 2,392,578 $ 2,260,473 $ (132,105) $ 2,392,578 $ 2,260,473 $ (132,105) —57— CAPTTAL PROJECT' FUNDS The Capital Project Funds are used to account for the acquisition or construction of the City's major capital facilities, other than those financed by proprietary funds. Redevelopment Agency - To account for the construction of all capital projects located within the project area financed by the Redevelopment Agency. Community Facilities District No. 92-1 - To account for capital asset construction within community facilities district No. 92-1. 1991 Revenue Bonds - To account for capital asset acquisition and construction from the 1991 Revenue Bond proceeds issued by the Santa Clarita Public Financing Authority. CITY OF SANTA CLARITA COMBINING BALANCE SHEET ALL CAPITAL PROJECT FUNDS June 30, 1994 With comparative totals for June 30, 1993 Community TOTALASSETS $ $ 2,343,455 $ 6,792,015 $ 9,135,470 L12 LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ 86,874 $ — S 191,945 $ 278,819 $ 1,718,430 FUND BALANCES (DEFICITS): Designated for capital improvements — 2,343,455 6,600,070 8,943,525 10,285,988 Undesignated (86,874) — — (86,874) — TOTAL FUND BALANCES (DEFICITS) (86,874) 2,343,455 6,600,070 8,856,651 10,285,988 TOTAL LIABILITIES AND FUND BALANCES $ $ 2,343,455 $ 6,792,015 $ 9,135,470 $ 12,004,418 —58— Facilities 1991 Totals Redevelopment. District Revenue June 30, June 30, Agency No. 92-1 Bonds 1994 1993 ASSETS Cash and investments $ — $ — S 6,784,219 S 6,784,219 S 8,743,781 Cash and investments with fiscal agent — 2,343,455 — 2,343,455 2,162,355 Accounts receivable — — — — .4,965 Interest receivable — — 7,796 7,796 — Due from other funds — — — — 1,093,317 TOTALASSETS $ $ 2,343,455 $ 6,792,015 $ 9,135,470 L12 LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ 86,874 $ — S 191,945 $ 278,819 $ 1,718,430 FUND BALANCES (DEFICITS): Designated for capital improvements — 2,343,455 6,600,070 8,943,525 10,285,988 Undesignated (86,874) — — (86,874) — TOTAL FUND BALANCES (DEFICITS) (86,874) 2,343,455 6,600,070 8,856,651 10,285,988 TOTAL LIABILITIES AND FUND BALANCES $ $ 2,343,455 $ 6,792,015 $ 9,135,470 $ 12,004,418 —58— CITY OF SANTA CLARITA COMBINING STATEMENT OF REVENUES, EXPE CHANGES IN FUND BALANCES ALL CAPITAL PROJECT FUNDS For the year ended June 30, 1994 With comparative totals for the year ended June 30, 1993 REVENUES: Use of money and property Contribution from property owners Other TOTAL REVENUES EXPENDITURES: General government Capital outlay EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES: Advances from other funds Operating transfers in TOTAL OTHER FINANCING SOURCES EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER (UNDER) EXPENDITURES FUND BALANCES— BEGINNING OF YEAR FUND BALANCES (DEFICITS)— END OF YEAR Community Facilities 1991 Redevelopment District Revenue Agency No. 92-1 Bonds F • Totals June 30, June 30, 1994 .1993 $ — S 82,054 $ 295,028 $ 377,082 $ 541,954 111,479 — 111,479 16,685,720 143 — — 143 — 143 193,533 295,028 488,704 17,227,674 212,688 — 212,688 — 38,059 12,433 1,818,591 1,869,083 24,998,910 250,747 12,433 1,818,591 2,081,771 24,998,910 (250,604) 181,100 (1,523,563) (1,593,067) (7,771,236) 163,730 — 163,730 — 163,730 - - 7,267,708 163,730 7,267,708 (86,874) 181,100 (1,523,563) (1,429,337) (503,528) — 2,162,355 8,123,633 10,285,988 10,789,516 S(86,874) S 2,343,455 $ 6,600,070 S 8,856,651 $ 10,285,988 —59— Transit Enterprise Fund - To account for the operation of the City's local public transit bus system. CITY OF SANTA CLARITA COMPARATIVE BALANCE SHEET TRANSIT ENTERPRISE FUND June 30, 1994 and 1993 June 30, June 30, ASSETS 1994 1993 CURRENT ASSETS: Cash and investments $ — $ — Accounts receivable 9,833 — Due from other governments 1,407,860 2,069,066 TOTAL CURRENTS ASSETS 1,417,693 2,069,066 RESTRICTED ASSETS: Cash and investments with fiscal agent 489,500 489,500 Deferred bond issue costs 101,314 113,710 TOTAL RESTRICTED ASSETS 590,814 603,210 PROPERTY, PLANT AND EQUIPMENT (NET) 8,255,687 8,889,544 TOTALASSETS $ 10,264,194 $ 11,561,820 LIABILITIES AND FUND EQUITY CURRENT LIABILITIES Accounts payable and accrued expenses $ 1,074,845 $ 1,010,200 Due to other funds 2,445,866 748,932 Current portion of long-term debt 1,021,318 989,116 TOTAL CURRENT LIABILITIES 4,542,029 2,748,248 LONCrTERM DEBT, NET OF CURRENT PORTION 6,884,534 7,902,143 TOTAL LIABILITIES 11,426,563 10,650,391 FUND EQUITY (DEFICIT): Retained earnings: Reserved for debt service 489,500 489,500 Unreserved (1,651,869) 421,929 TOTAL FUND EQUITY (DEFICIT) (1,162,369) 911,429 TOTAL LIABILITIES AND FUND EQUITY $ 10,264,194 $ 11,561,820 l CITY OF SANTA CLARITA COMPARATIVE STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS TRANSIT ENTERPRISE FUND For the years ended June 30, 1994 and 1993 June 30, June 30, 1994 1993 OPERATING REVENUES: Transportation revenue $ 742,901 $ 458,869 OPERATING EXPENSES: Administrative 248,891 175,062 Transportation services 4,085,413 3,464,306 Depreciation and amortization 650,895 596,815 TOTAL OPERATING EXPENSES 4,985,199 4,236,183 OPERATING INCOME (LOSS) (4,242,298) (3,777,314) NONOPERATING REVENUES (EXPENSES); Interest income — 415 Interest expense (475,690) (485,042) Intergovernmental grants 259,139 1,827,308 Otherrevenue 7,419 — TOTAL NONOPERATING REVENUES (EXPENSES) (209,132) 1,342,681 NET INCOME (LOSS) BEFORE OPERATING TRANSFERS (4,451,430) (2,434,633) OPERATING TRANSFERS IN 2,377,632 3,156,562 NET INCOME (LOSS) (2,073,798) 721,929 RETAINED EARNINGS AT BEGINNING OF YEAR 911,429 189,500 RETAINED EARNINGS (DEFICIT) AT END OF YEAR j_(1162,3691 $ 911,429 —61— CITY OF SANTA CLARITA COMPARATIVE STATEMENT OF CASH FLOWS TRANSIT ENTERPRISE FUND For the years ended June 30, 1994 and 1993 NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES (2,867,966) (4,840,087) CASH FLOWS FROM NONCAPITAL FINANCINGACPIVITIES: Increase(decrease)in due to other funds 1,696,934 676,082 Operating transfers in from other funds 2,377,632 3,156,562 NET CASH PROVIDED (USED) BY June 30, June 30, NONCAPITAL FINANCING ACTIVITIES 1994 1993 CASH FLOWS FROM OPERATINGACTIVITIES: CASH FLOWS FROM CAPITAL AND RELATED Operating income (loss) $ (4,242,298) $ (3,777,314) Adjustments to reconcile operating income (loss) Acquisition of capital assets (933) to net cash provided (used) by operating activities: Intergovernmental grants 259,139 Depreciation and amortization 650,895 596,815 Otherrevenue 7,419 — Changes in operating assets and liabilities: Interest expense on long-term debt (475,690) (Increase) decrease in accounts receivable (9,833) — (Increase) decrease in due from other governments 661,206 (1,771,381) Increase(decrease)in accounts payable 64,645 111,793 Total adjustments 1,374,332 (1,062,773) NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES (2,867,966) (4,840,087) CASH FLOWS FROM NONCAPITAL FINANCINGACPIVITIES: Increase(decrease)in due to other funds 1,696,934 676,082 Operating transfers in from other funds 2,377,632 3,156,562 NET CASH PROVIDED (USED) BY NONCAPITAL FINANCING ACTIVITIES 4,074,566 3,832,644 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES: Acquisition of capital assets (933) (3,671,275) Intergovernmental grants 259,139 1,827,308 Proceeds from long-term debt — 2,500,000 Principal payments on long-term debt (989,116) (467,692) Interest expense on long-term debt (475,690) (485,042) NET CASH PROVIDED (USED) BY CAPITAL AND RELATED FINANCING ACTIVITIES (1,206,600) (296,701) CASH FLOWS FROM INVESTMENT ACTIVITIES: Interest on investments — 415 NET INCREASE(DECREASE)IN CASH AND CASH EQUIVALENTS — (1,303,729) CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 489,500 1,793,229 CASH AND CASH EQUIVALENTS AT END OF YEAR $ 489,500 $ 489,SD0 —62— Internal Service Funds are used to account for goods or services provided by a central service department to other City departments. Self -Insurance To account for the financing of the City's self-insurance program. Vehicle Replacement - To account for the fmancing of the replacement of the City's automotive equipment. CITY OF SANTA CLARITA COMBINING BALANCE SHEET ALL INTERNAL SERVICE FUNDS June 30, 1994 With comparative totals for June 30, 1993 ASSETS CURRENTASSETS: Cash and investments :Interest receivable TOTAL ASSET'S LIABILITIES AND FUND EQUITY CURRENT LIABILITIES: Accounts payable and accrued liabilities Due to other funds TOTAL LIABILITIES FUND EQUITY (DEFICIT): Retained earnings—unreserved TOTAL LIABILITIES AND FUND EQUITY Totals Self Vehicle June 30, June 30, Insurance Replacement 1994 1993 $ $ 550,074 $ 550,074 $ 667,739 4,550 4,550 6,615 $ $ 554,624 $ 554,624 $ 674,354 S 664,693 S — S 664,693 $ 744,947 172,241 — 172,241 — 836,934 — 836,934 744,947 8( 36,934) 554,624 (282,310) (70,593) $ $ 554,624 $ 554,624 $ 674,354 —63— CITY OF SANTA CLARITA COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS ALL INTERNAL SERVICE FUNDS For the year ended June 30, 1994 With comparative totals for the year ended June 30, 1993 OPERATING REVENUES: Charges for services OPERATING EXPENSES: Services and supplies OPERATING INCOME (LOS S) NONOPERATING REVENUES: Interest income NET INCOME (LOSS) RETAINED EARNINGS (DEFICITS) AT BEGINNING OF YEAR RETAINED EARNINGS (DEFICITS) AT END OF YEAR Totals Self Vehicle June 30; June 30, Insurance Replacement 1994 1993 (334,712) 122,995 (211,717) (142,409) S 419,181 S 100,700 S 519,881 S 462,781 755,461 — 755,461 628,755 (336,280) 100,700 (235,580) (165,974) 1,568 22,295 23,863 23,565 (334,712) 122,995 (211,717) (142,409) (502,222) 431,629 (70,593) 71,816 S (8 S 554,624 S (282,310) S(70,593) —64— CITY OF SANTA CLARITA COMBINING STATEMENT OF CASH FLOWS ALL INTERNAL SERVICE FUNDS For the year ended June 30, 1994 With comparative totals for the year ended June 30, 1993 CASH FLOWS FROM OPERATINGACIIVITIES: Operating income (loss) Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities:. (Increase) decrease in interest receivable Increase (decrease) in accounts payable and accrued liabilities Total adjustments NET CASH PROVIDED (USED) BY BY OPERATING ACTIVITIES CASH FLAWS FROM NONCAPITAL FINANCING ACIMTIES: Increase in due to other funds CASH FLOWS FROM INVESTINGACIIVITIES: Interest on investments NET INCREASE(DECREASE)IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS— BEGINNING OF YEAR CASH AND CASH EQUIVALENTS END OF YEAR Totals Self Vehicle June 30, June 30, Insurance Replacement 1994. 1993 $ (336,280) $ 100,700 $ (235,580) $ (165,974) 2,835 (770) 2,065 3,310 (80,254) — (80,254) (175,304) (77,419) (770) (78,189) (171,994) (413,699) 99,930 (313,769) (337,968) 172,241 — 172,241 — 1,568 22,295 23,863 23,565 (239,890) 122,225 (117,665) (314,403) 239,890 427,849 667,739 982,142 $ $ 550,074 $ .550,074 $ 667,739 —65— FIDUCIARY FUND TYPES - TRUST AND AGENCY FUNDS The Expendable Trust Fund accounts for assets and activities restricted to a specific purpose in accordance with a formal intent. General Trust - To account for funds held in trust by the City restricted for use only in accordance with a trust agreement. The Agency Fund accounts for assets held by the City as an agent for individuals. Deferred Compensation - To account for monies held by the City for restricted cash and investments of the ICMA deferred compensation plan.. Community Facilities District No. 92-1 - To account for monies held to account for debt service requirements of the Community Facilities District No. 92-1. CITY OF SANTA CLARITA COMBINING BALANCE SHEET ALL TRUST AND AGENCY FUNDS June 30, 1994 With comparative totals for June 30, 1993 TOTALASSETS $ 481,545 S 1,641,724 $ 2,004,581 $ 4,127,850 S 3,932,141 LIABILITIES Accounts payable and accrued liabilities S 87,614 S S — $ 87,614 $ 19,351 Deposits 393,931 — 2,004,581 2,398,512 2562,047 Deferred compensation payable — 1,641,724 — 1,641,724 1,350,743 TOTAL LIABILITIES $ 481,545 S 1,641,724 $ 2,004,581 S 4,127,850 S 3,932,141 —66— Expendable Trust Agency Totals Community Facilities General Deferred District June 30, June 30, Trust Compensation No. 92-4 1994 1993 ASSETS Cash and investments $ 470,524 $ — $ — $ 470,524 $ 528,505 Cash and investments with fiscal agent — 1,641,724 2,004,581 3,646,305 3,403,531 Accounts receivable 10,903 10,903 — Interest receivable 118 — — 118 105 TOTALASSETS $ 481,545 S 1,641,724 $ 2,004,581 $ 4,127,850 S 3,932,141 LIABILITIES Accounts payable and accrued liabilities S 87,614 S S — $ 87,614 $ 19,351 Deposits 393,931 — 2,004,581 2,398,512 2562,047 Deferred compensation payable — 1,641,724 — 1,641,724 1,350,743 TOTAL LIABILITIES $ 481,545 S 1,641,724 $ 2,004,581 S 4,127,850 S 3,932,141 —66— CITY OF SANTA CLARITA COMPARATIVE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE EXPENDABLE TRUST FUND For the year ended June 30, 1994 With comparative amounts for the year ended June 30, 1993 REVENUES: Otherrevenues EXPENDITURES: Public Works EXCESS OF REVENUES OVER EXPENDITURES FUND BALANCE—BEGINNING OF YEAR FUND BALANCE -END OF YEAR —67— June 30, June 30, 1994 1993 $ 363,080 $ 441,384 363,080 441,384 CITY OF SANTA CLARITA STATEMENT OF CHANGES IN ASSETS AND LIABILITIES ASSETS: Cash with fiscal agents LIABILITIES: Deferred compensation payable COMMUNITY FACILITIES DISTRICT NO.92-1 ASSETS: Cash with fiscal agent LIABILITIES: Deposits ALL AGENCY FUNDS For the year ended June 30, 1994 Balance at July 1, 1993 Additions Deletions Balance at June 30, 1994 $ 1.350,743 $ 403,953 $ 112,972 $ 1,641,724 $ 1,350,743 $ 403,953 $ 112,972 $ 1,641,724 $ 2,052,788 $ 776,018 $ 824,225 $ 2,004,581 $ 2,052,788 $ 776,018 $ 824,225 $ 2,004,581 inn ACCOUNT GROUPS General Fixed Assets - To account for capital assets acquired by the City for general City purposes and which are not accounted for in proprietary fund operations. General Long -Term Debt To account for the City's long-term debt not reported in proprietary fund operations. CITY OF SANTA CLARITA COMPARATIVE SCHEDULE OF GENERAL: FIXED ASSETS BY SOURCE June 30, 1994 and 1993 June 30, June 30, 1994 1993 GENERAL FIXED ASSETS: Land and improvements $ 25,897,515 $ 25,897,515 Buildings 12,763,828 12,310,344 Equipment 5,171,108 4,732,770 TOTAL GENERAL ,FDMDASSETS $ 43,832,451 $ 42,940,629 INVESTMENT IN GENERALFIXED ASSETS BY SOURCE: Dedication of general fixed assets from the County of Los Angeles, at estimated fair market value $ 12,448,203 $ 12,448,203 General fund 31,384,248 30,492,426 TOTAL INVESTMENT IN GENERAL FDD ASSETS $ 43,832,451 $ 42,940,629 —69— CITY OF SANTA CLARITA SCHEDULE OF GENERAL FDMD ASSETS BY FUNCTION AND ACTIVITY June 30, 1994 Land and —70 Improvements Buildings Equipment Totals FUNCTION AND ACTIVITY: General government $ 12,289,272 $ 10,092,834 $ 3,229,911 $ 25,612,017 Public safety — — 5,292 5,292 Public works — 145,840 1,071,197 1,217,037 Parks and recreation 13,608,243 2,124,868 574,658 16,307,769 Community development — 400,286 290,050 690,336 TOTAL GENERAL FDIEDASSETS $ 25,897,515 $ 12,763,828 $ 5,171,108 $ 43,832,451 —70 CITY OF SANTA CLARITA SCHEDULE OF CHANGES IN GENERAL FDIED ASSETS BY FUNCTION AND ACTIVITY June 30, 1994 FUNCTION AND ACTIVITY. General government Public safety Public works Parks and recreation Community development TOTAL GENERAL FDMD ASSETS General General Fixed Assets Fixed Assets July 1, 1993 Additions Deletions June 30, 1994 $ 25,468,949 $ 143,068 $ — $ 25,612,017 5,292 — — 5,292 1,083,364 133,673 — 1,217,037 16,296,369 11,400 — 16,307,769 86,655 603,681 — 690,336 $ 42,940,629 $ 891,822 $ — $ 43,832,451 —71— CITY OF SANTA CLARITA COMPARATIVE SCHEDULE OF GENERAL LONG-TERM DEBT June 30, 1994 and 1993 AMOUNT AVAILABLE AND TO BE PROVIDED FOR PAYMENT OF GENERAL LONG-TERM DEBT: Amount available for retirement of longterm debt Amount to be provided for payment of longterm debt TOTAL AMOUNT AVAILABLE AND TO BE PROVIDED FOR PAYMENT OF GENERAL LONG-TERM DEBT GENERAL LONG-TERM DEBT PAYABLE: 1991 Revenue Bonds—Public Financing Authority Notes payable Advance to Santa Clarita Redevelopment Agency Compensated absences TOTAL GENERAL LONG-TERM DEBT PAYABLE —72— June 30, June 30, 1994 1993 $ 2,260,473 $ 2,287,778 22,939,451 22,757,604 $ 25,199,924 $ 25,045,382 $ 21,405,000 $ 22,190,000 3,247,436 2,557,436 163,730 — 383,758 297,946 $ 25;199,924 $ 25,045',382 WIT • _.. S± xk { t sF t it ON�K a. th t: «.4 �! " nr . , O k G % SITE T. . .� - y � 10 'O y. . µ. O'y a O` E p vb O Statistical Section 4: f �b h s� O .. 4 r s 4j O r, S{ „y Y m.ysy + { b «.,. 4L, r't ` 'V"A k S S � A } .'I A 411 o 4' $44 1 >iY011 ry jh i5 a 9 f K ,t yw $=4 Owl - I 7 a e ap♦ �` .� 1 # Ja. ? ! F 4�1 O of : G $ Y s k'h. Y� x ° d f it If 1 L . V I _ , ! ] 5 N ' I 5` kik u i "i f 1. 10 rx 10 g r vias y ! I A O'y a E p vb r � Y OX O, O .. 4 r s 4j O r, S{ „y Y m.ysy + { b «.,. 4L, r't ` 'V"A k S S � A } .'I A 411 o 4' $44 1 >iY011 ry jh i5 a 9 f K ,t yw $=4 Owl - I 7 a e ap♦ �` .� 1 # Ja. ? ! F 4�1 O of : G $ Y s k'h. Y� x ° d f it If 1 L . V I _ , ! ] 5 N ' I 5` kik u i "i f 1. 10 rx 10 g r vias y ! I A O'y E p vb r � Y OX O, { .5q O .. 4 r s 4j O r, S{ „y Y m.ysy + { b «.,. 4L, r't ` 'V"A k S S � A } .'I A 411 o 4' $44 1 >iY011 ry jh i5 a 9 f K ,t yw $=4 Owl - I 7 a e ap♦ �` .� 1 # Ja. ? ! F 4�1 O of : G $ Y s k'h. Y� x ° d f it If 1 L . V I _ , ! ] 5 N ' I 5` kik u i "i f 1. 10 rx 10 g r vias y ! I 0 41 1. I ig in, Xf In - 17 11V 711. Ali oj 0 41 1. I ig in, Xf In - 17 11V 711. Ali CITY OF SANTA CLARITA General Governmental Revenues by Source (1) All Fiscal Periods from December 15,1987 (Date of Incorporation) to June 30,1994 N/A prior to incorporation of 12/15/87 (1) Includes General, Special Revenue, Capital Projects and Expendable Trust Funds Source: City Finance Department -73- Contribution Use of From Fiscal Licenses Developer Money Fines & Charges for Property Year .Taxes & Permits Fees &&roped L Forfeits Services Owners TTTAL 1987-88 $ 4,448,732 $ 3,616,504 $ 573,822 $ 128,544 $ 191,774 $ 100,645 $ -0- $ 9,060,021 1988.89 24,314,813 3,357,887 241,880 1,273,718 599,019 233,122 -0- 30,020,439 1989-90 26,834,186 3,794,874 1,423,741 2,068,275 709,736 1,122,268 -0- 35,953,080 1990.91 30,991,900 2,094,528 1,351,546 2,168,902 686,889 1,370,229 -0- 38,663,994 1991-92 33,050,804 2,113,408 904,210 2,914,787 401,793 1,825,496 -0- 41,210,498 1992-93 37,333,210 1,299,844 2,799,645 2,399,228 317,540 1,987,493 16,685,720 62,822,680 1993.94 43,999,218 1,177,963 1,511,342 1,879,079 329,687 5,369,490 111,479 54,378,258 (1) Includes General, Special Revenue, Capital Projects and Expendable Trust Funds Source: City Finance Department -73- CITY OF SANTA CLARITA General Governmental Expenditure by Function (1) All Fiscal Periods from December 15,1987 (Date of Incorporation) to June 30,1994 WA prior to incorporation of 12!15187 Fiscal General Public Public Parks & Community Mainte- Capital Year Government Safety Works Recreation Develop, nnnce Outlay 1987-88 $ 535,975 $2,329,899 $1,235,438 $ 237,932 $ 150,032 $60,298 $ 80,357 1988-89 1,982,151 7,281,724 3,079,575 1,084,379 680,954 -0- 1,897,366 1989-90 3,721,584 7,047,498 7,174,219 2,448,765 1,421,896 -0- 11,589,753 1990-91 4,337,791 7,498,105 6,427,528 3,818,211 1,871,961 -0- 9,591,664 1991-92 3,566,198 8,419,797 5,293,024 5,609,782 5,021,236 -0- 24,424,817 1992-93 3,491,725 8,389,392 5,591,281 5,869,522 4,587,470 -0- 25,636,052 1993-94 4,119,942 9,256,950 4,686,014 5,676,932 3,895,879 -0- 26,201,540 (1) Includes General, Special Revenue, Capital Projects and Expendable Trust Funds. Source: City Finance Department -74- Debt $ 62,704 $ 4,692,635 852,561 16,858,710 1,149,551 34,553,266 403,909 33,949,169 3,548,433 55,883,287 4,243,319 57,808,761 2,471,080 56,308,337 CITY OF SANTA CLARITA Assessed and Estimated Actual Values of All Taxable City Properly June 30,1994 All Fiscal Periods from December 15,1987 (Date of Incorporation) to June 30,1994 (Numbers expressed in thousands) The Los Angeles County Tax Collector's Office did not have rates available for the fiscal year ended June 30,1988. Source: City Finance Department -75- Common Public Full Fiscal Property Utilities Unsecured Market Percent Year Valuation Valuation Valuation Valuation Increase • 1987-88 $ WA $ WA $ WA $ WA WA 1988-89 4,061,732 7,207 WA 4,068,939 WA 1989-90 4,856,876 5,592 141,561 5,004,029 23% 1990-91 5,644,003 6,270 299,042 5,949,315 190% 1991-92 6,761,266 9,625 351,717 7,122,608 200/6 1992.93 7,170,561 366 342,726 7,513,653 50% 1993-94 7,371,712 1,476 338,205 7,711,393 3% The Los Angeles County Tax Collector's Office did not have rates available for the fiscal year ended June 30,1988. Source: City Finance Department -75- CITY OF SANTA CLARITA Schedule of Direct and Overlapping Bonded Debt June 30,1994 1993-94 Assessed Valuation: $7.711.392.454 DIRECT AND OVERLAPPING BONDED DEBT: Los Angeles County Los Angeles County Building Authorities. Los Angeles County Superintendent of Schools Certificates of Participation Los Angeles County Flood Control District Los Angeles County Flood Control District Certificates of Participation Los Angeles County Sanitation District #23 and Authorities Los Angeles County Sanitation District #26 and Authorities Los Angeles County Sanitation District #32 and Authorities Castaic Lake Water Agency Newhall County Water District, I.D. #2 (Sewer and Water Issues) Santa Clarita Community College District William S. Hart Union High School District and Certificates of Participation Castaic Union School District and Certificates of Participation Newhall School District and Certificates of Participation Saugus Union School District Certificates of Participation Sulphur Springs Union School District and Certificates of Participation Los Angeles Community College District and Unified School District Certificates of Participation City of Santa Clarita Certificates of Participation City of Santa Clarita Community Facilities District #92-1 TOTAL GROSS DIRECT AND OVERLAPPING BONDED DEBT % Applicable 1.707' 1.707 1.707 1.765 1.765 0.069 81.639 72.998 72.446 83.528.85.641 71.999 71.986 32.914 86.580 68.239 76.651 Debt 06/30/94 $ 1,269,496 48,039,137 278,263 1,554,377 4,147,485 4,571 13,702,821 9,319,376 5,795,680 1,519,189 1,861,174 1,691,671 5,040,581 2,374,045 .9,983,002 25,063,344 0.001 2,476 100.000 21,405,000 100.000 20.000.000. $173,051,688 Less: Los Angeles County Certificates of Participation (100'/• self-supporting from leasehold revenues on properties in Marina del Rey) TOTAL NET DIRECT AND OVERLAPPING BONDED DEBT Ratios to Assessed Valuation: Direct Debt ($21,405,000) 0.251/6 Total Gross Debt 2.24% Total Net Debt 2.21°% F3131 �Yd: bI•] R341Sr11;[H�l l!L-L4J�l�1:1 A ��1-YH �4�78I�7(:Ei�� Source: California Municipal Statistics, Inc. , August 25,1994 -76- 2.300.780 $170.750.908 CITY OF SANTA CLARITA Schedule of Legal Debt Margin June 30,1994 Net Assessed Value of All Taxable Property $7,711,392,454 Legal Debt Limit - 15% of Total Assessed Valuation $1,156 708.868 Section 43605 of the Government Code of the State of California limits the amount of Indebtedness for public improvements to 15% of the assessed valuation of all real and personal property of the City. Source: City Finance Department _77_ CITY OF SANTA CLARITA Property Tax Levies and Tax Collections All Fiscal Periods from December 15,1987 (Date of Incorporation) to June 30,1994 NOTE:. Article XIII -A of the Constitution of the State of California adopted by the electorate in June, 1978, precludes the City from a local property tax levy. All general purpose property taxes are levied by the County and allocated to other governmental entities on a predetermined formula. Source: City Finance Department M. Total Total Current Fiscal Year. Current Lew Collections 1987.88 WA WA 1988.89 $2,628,992 $2,457,851 1989.90 2,673,787 2,515,423 1990-91 3,396,903 3,159,977 1991-92 3,992,654 3,704,424 1992-93 3,674,709 3,410,769 9993-94 3,807,415 3,557,146 NOTE:. Article XIII -A of the Constitution of the State of California adopted by the electorate in June, 1978, precludes the City from a local property tax levy. All general purpose property taxes are levied by the County and allocated to other governmental entities on a predetermined formula. Source: City Finance Department M. CITY OF SANTA CLARITA Insurance in Force June 30,1994 AMOUNT OF CARRIER POLICY COVERAGE COVERAGE TERM Insurance Company of the West CSR117475004 Public Entity $1.,000,000 03/01/94-03!01/95 General Liability & Auto Liability Insurance Company of the West ESR117475104 Excess General 9,000,000 03/01194-03101195 Public Entity Liability & Auto Liability Planet Insurance Company KZ1813718 Extended Reporting 900,000 12115/90 -unlimited Endorsement Planet Insurance Company KR1735681 Extended Reporting 4,000,000 12/15/90 -unlimited Endorsement Hartford Steam Boiler & LA993059006 Property Damage unlimited 03/01194-03/01195 Inspection Insurance Company Business Interruption & Extra Expense 12 months Scottsdale Insurance Company GLS460551 FICA Special Events 1,000,000 10/16/93-10/16/94 Liability Scottsdale Insurance Company CIS026090 Excess Earthquake 2,500,000 12115/93-12/15/94 Coverage Part of 5,000,000 St Paul Insurance Company 400JA2403 Employee Dishonesty 50,000 01/18194-01/18/95 St Paul InsuranceCompany 400HV9733 Public Official 100,000 08/05193-08105/94 Bond for City Manager St Paul Insurance Company 400JH1797 Public Official 100,000 02118194-02/18/95 Bond for Assistant City Manager St Paul Insurance Company 400HV9732 Public Official 50,000 08/05193-08/05/94 Bond for City Clerk SL Paul Insurance Company 400JM3404 Public Official 100,000 08/06193-0=6/94 Bond for Admin. Assistant-CDBG -79- CITY OF SANTA CLARITA Insurance in Force (continued) June 30,1994 Great American Insurance Company FS7316338 Public Official 300,000 05111/94-05/11/95 Bond for Finance Director State. Compensation Fund 1060671 Worker's Compensation 3,000,000 05/01/93-05/01/94 Reliance Insurance Company OB857092201 Business Income 4,500,000. 03/01/94-03/01/95 Reliable Insurance Company OB855186602 Building 14,044,500 03/01/94-03/01/95 Personal Property 868,000 Valuable Papers 500,000 Mini Computer 351,150 Fine Arts 5,000 Contractors Equipment 645,360 Miscellaneous Tools 11,000 Automobile Liability 250,000 • tlninsuredlUnderinsured Motorist 250,000 • Medical Payments .5,000 • CompJCollision Self -Insured Houston Casualty Insurance HP12426 Difference in 5,000,000 11/2W93-11126/94 Company Conditions American National Fire IMP706237703 Excess Flood 10,000,000 11/26/93-11/26/94 RU Insurance Company IMFO14702 Excess Earthquake 5,000,000 12/15/93-12/15/94 Coverage Excess 5,000,000 Pacific Insurance Company, LTD.. ZG0002367 Earthquake 2,500,000 12115/93-12/15194 Coverage.. Part of 5,000,000 Homestead Insurance Company CIM5278 Excess Earthquake 5,000,000 12/15/93-12175/94 Coverage Excess 10,000,000 On selected vehicles only Source: City Risk Management ma CITY OF SANTA CLARITA Demographic Statistics All Fiscal Periods From December 15,1987 (Date of Incorporation) to June 30,1994 Fiscal Number of Year Sauare Miles Housing Units PPopulation•" `1987-88 39.40 36,006 147,228 1988-89 39.40 38,278 147,228 1989-90 39.70 39,280 147,228 1990-91 41.98 44,387 147,228 1991.92 41.98 44,904 147,228 1992-93 42.72 45,306 147,228 1993-94 42.80 46,281 147,228 " Year of Incorporation "At the time of incorporation, the City's population is stated at three times the registered voters. This figure remains valid for eight years according to State law. Source: City Finance Department me CITY OF SANTA CLARITA Principal Sales Taxpayers and Major Employers June 30,1994 Principal Taxpayers Magic Ford Frontier Toyota Price Club Target Stores Valencia Dodge Isuzu Robinson -May Hughes Markets Lucky Stores Scott Irvin Chevrolet Geo Sears Roebuck & Co. Employment Products/Services 269 Car Dealership 120 Car Dealership 130. Wholesale Store 200 Department Store 114 Car Dealership 175 Department Store 326 Grocery Store 304 Grocery Store 76 Car Dealership 153 Department Store Source: City Finance Department, State Board of Equalization �� 0 O O O CITY OF SANTA CLARITA O Property Value, Construction, and Bank Deposits O All Fiscal Periods from December 15,1987 O (Date of Incorporation) to June 30,1994 Q(Dollar Amounts Expressed in Thousands) O Commercial Residential O Fiscal Number of Construction Number of Construction .Year Units (1)Value Units 2 Value O O1987-88 WA" $ WA- N/A' $ WA' (� 1988-89 43• 18,090' 276' 41,698' O 1989-90 64 21,628 302 86,203 O O 1990-91 31. 6,355 86 25,686 O 1991-92 41 48,407 173 32,748 Q 1992.93 18 5,529 202 25,630 © 1993-94 14 3,336 193 27,250 O O * During the period December 15,1987 (date of incorporation) to November, 1988, the City contracted O building and safety services with the County of Los Angeles.. Information is not available from this agency at this time. O O O (1) Represents the number of new commercial buildings. Source: City of Santa Clarita (2) Represents the number of new dwelling units.. Source: City of Santa Clarita © (3) Latest available date is June 30 of prior year. Source: The Findley Report © (4) Breakdown between commercial and residential property is not available at this time.. O O O O O O O O O O O O O © -83- Total Bank Assessed Derwsits (3) Valuations (4) $ 705,894 $ WA` 809,691 4,068,939 969,355 5,004,029 1,009,961 5,949,315 1,031,996 7,122,608 921,728 7,513,654 WA 7,711,393 CRY OF SANTA CLARITA Property Tax Rates - Direct and Overlapping Governments (per $100 of assessed value) All Fiscal Periods from December 15,1987 (Date of Incorporation) to June 30,1994 The Los Angeles County Tax Collector's Office did not have rates available for the fiscal year ended June 30,1988. Source; Los Angeles County Tax Auditor/Controller �� Los Castaic County County Fiscal Angeles Lake Water School Sanitation Flood Year General Countv Agency Districts Districts Control Total '1987.88 WA WA WA WA WA WA WA 1988-89 1.000000 0.002781 0.101825 0.082829 0.002750 0.010042 1.200227 1989.90 1.000000 0.002242 0.081833 0.062990 0.002230 0.006679 1.155974 1990-91 1.000000 0.002104 0.067713 0.049088 0.001879 0.005626 1.126410 1991-92 1.000000 0.001880 0.059573 0.037935 0.001457 0.005204 1.106049 1992-93 1.000000 0.001713 0.068031 0.022308 0.001045 0.004098 1.097195 1993-94 1.000000 0.001993 0.067630 0.028250 0.001533 0.005876 1.105282 The Los Angeles County Tax Collector's Office did not have rates available for the fiscal year ended June 30,1988. Source; Los Angeles County Tax Auditor/Controller �� CITY OF SANTA CLARITA Miscellaneous Statistics June 30,1994 The Santa Clarita Valley is surrounded by the Santa Susana and San Gabriel mountain ranges forming a triangle that separates Santa Clarita from the San Joaquin Valley, Mojave Desert, and Angeles National Forest to the north and the Los Angeles Basin and San Fernando Valley on the south. The Santa Clarita River flows westerly through the mountains and canyons that form the valley, a watershed area totaling approximately 490,000 acres of drainage. The Santa Clarita climate has warm, dry, and sunny summers with mild and moist winters. Rainfall averages between 15 to 18 inches annually and falls mostly between the months of November and March. Elevation of the valley floor ranges from 1,200 to 1,400 feet with the Santa Clarita Valley defined by Whitaker Peak to the north (4,148 feet), Mt. Gleason to the east (6,502 feet), and Oat Mountain to the south (3,747 feet). Type of City General Law Form of Government Council/Manager Population 147,228 Land Area 42.8 square miles Number of Local Parks 13' Water Utilities Newhall County Water Co. Santa Clarita Water Co. Valencia Water Co. Castaic Lake Water Agency Electric Utility Southern California Edison Co. Gas Utility Southern California Gas Co. The City of Santa Clarita has 10 completed parks, and 3 sites reserved for future parks. Source: City Finance Department Ed