HomeMy WebLinkAboutACFR 2003 CITY OF MOORPARK,
CALIFORNIA
COMPREHENSIVE
ANNUAL FINANCIAL REPORT
For the Year Ended June 30, 2003
Prepared By:
Administrative Services Department
INTRODUCTORY SECTION
CITY OF MOORPARK
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED JUNE 30,2003
TABLE OF CONTENTS
INTRODUCTORY SECTION:
Table of Contents
Directory of City Officials iv
Organization Chart v
FINANCIAL SECTION:
Independent Auditors' Report 1
Management's Discussion and Analysis 3
Government-Wide Financial Statements
Statement of Net Assets 13
Statement of Activities 14
Fund Financial Statements
Governmental Funds
Balance Sheet 15
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Assets 17
Statement of Revenues, Expenditures,and Changes in Fund Balances 18
Reconciliation of the Statement of Revenues,Expenditures, and Changes
in Fund Balances of Governmental Funds to the Statement of Activities 20
General Fund
Statement of Revenues, Expenditures,and Changes in Fund Balance
-Budget and Actual 21
Street and Traffic Safety Development Special Revenue Fund
Statement of Revenues, Expenditures,and Changes in Fund Balance
-Budget and Actual 22
Park Development Special Revenue Fund
Statement of Revenues, Expenditures,and Changes in Fund Balance
-Budget and Actual 23
Community Development Special Revenue Fund
Statement of Revenues, Expenditures, and Changes in Fund Balance
-Budget and Actual 24
Area of Contribution Special Revenue Fund
Statement of Revenues,Expenditures,and Changes in Fund Balance
-Budget and Actual 25
Endowment Special Revenue Fund
Statement of Revenues,Expenditures,and Changes in Fund Balance
-Budget and Actual 26
CITY OF MOORPARK
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED JUNE 30,2003
TABLE OF CONTENTS (Continued)
State and Federal Assistance Special Revenue Fund
Statement of Revenues, Expenditures,and Changes in Fund Balance
-Budget and Actual 27
Agency Fund
Statement of Fiduciary Net Assets 28
Notes to the Financial Statements 29
Supplementary Schedules
Major Fund Budgetary Comparison Schedules
Schedule of Revenues,Expenditures, and Changes in Fund Balances
-Budget and Actual
Redevelopment Agency Capital Projects Fund 58
Redevelopment Agency Debt Service Fund 59
Non-Major Governmental Funds
Combining Balance Sheet 60
Combining Statement of Revenues,Expenditures, and Changes
in Fund Balances 62
Schedule of Revenues,Expenditures, and Changes in Fund Balances
-Budget and Actual—Special Revenue Funds
Traffic Safety 64
Affordable Housing 65
Assessment District 66
State Gas Tax 67
Low and Moderate Income Housing 68
Local Transportation Transit 69
Solid Waste 70
Schedule of Revenues,Expenditures, and Changes in Fund Balances
-Budget and Actual—Capital Projects Funds
City Hall Building 71
Police Facilities Fee Fund 72
Equipment Replacement 73
Agency Fund
Statement of Changes in Net Assets 74
ii
CITY OF MOORPARK
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED JUNE 30,2003
TABLE OF CONTENTS (Continued)
STATISTICAL SECTION(Unaudited):
Revenues by Source—All Governmental Fund Types—Last Ten Fiscal Years 75
Expenditures by Function—All Governmental Fund Types—Last Ten Fiscal Years 76
Assessed Value of Taxable Property—Last Ten Fiscal Years 77
Secured Tax Charge and Delinquencies—Most Recent Ten Year History 78
Direct and Overlapping Bonded Debt as of Fiscal Year 2002-2003 79
Computation of Legal Debt Margin and Breakdown of General Property Tax Levy 80
City Population—Last Ten Years 81
Building Permit Valuation—Last Ten Fiscal Years 82
Largest Property Owners—Per Assessed Valuation 2003 83
Miscellaneous Statistics 84
iii
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City of Moorpark
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DIRECTORY OF CITY OFFICIALS
CITY COUNCIL
Patrick Hunter, Mayor
Keith Millhouse, Mayor pro Tem Clint Harper
Janice Parvin Roseann Mikos
CITY MANAGEMENT STAFF
Steven Kueny, City Manager
Hugh Riley, Assistant City Manager
Cynthia Borchard, Administrative Services Director
Ken Gilbert, Public Works Director
Barry Hogan, Community Development Director
Mary Lindley, Community Services Director
Deborah Traffenstedt, ATCM/City Clerk
iv
CITY OF MOORPARK
ORGANIZATION CHART
HONORABLE CITY COUNCIL
PLANNING PARKS & RECREATION
COMMISSION COMMISSION
CITY
MANAGER
City Attorney Assistant City
(Contract) Manager
• Redevelopment • Grants/CDBG
Police Services Economic Development • Emergency Services
(Contract) Property Management • Public Information/
Housing Cable TV
• Intergovernmental
Community & Legislative
Relations
City Clerk/ Community Community Public Works Administrative
ATOM Services Development Services
• Human Resources • Parks/Landscape • Planning • Street Maintenance • Finance & Accounting
• Risk Management Maintenance • Code Compliance • Crossing Guards • Central Services
• Recreation • • ParkingEnforcement • Information Systems
• Public RecordsBuilding & Safety
• Elections • Animal Regulation/ • City Engineer • Assmt.District
Vector Control (Contract) Street Lighting
• Transit • NPDES
• Solid Waste • Capital Projects
• Library
V
FINANCIAL SECTION
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Vavrinek, Trine, Day & Co., LLP VALUE THE DIFFERENCE
Certified Public Accountants & Consultants
INDEPENDENT AUDITORS'REPORT
The Honorable Mayor and Members of City Council
The City of Moorpark,California
We have audited the accompanying financial statements of the governmental activities, each major fund, and the
remaining funds of the City of Moorpark, California(the City), as of and for the year ended June 30, 2003,which
collectively comprise the City of Moorpark's basic financial statements as listed in the table of contents. These
fmancial statements are the responsibility of the City of Moorpark's management. Our responsibility is to express
opinions on these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States of America
and the standards applicable to financial audits contained in Government Auditing Standards, issued by the
Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the 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 financial statement presentation. We believe that our audit provides a reasonable basis for
our opinion.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial
position of the governmental activities, each major fund, and the remaining funds of the City of Moorpark,
California, as of June 30, 2003, and the respective changes in financial positions, thereof for the year then ended
in conformity with accounting principles generally accepted in the United States of America.
In accordance with Government Auditing Standards,we have also issued our report dated December 12,2003, on
our consideration of the City's internal control over financial reporting and on our tests of its compliance with
certain provisions of laws,regulations, contracts, and grants. That report is an integral part of an audit performed
in accordance with Government Auditing Standards and should be read in conjunction with this report in
considering the results of our audit.
As discussed in Note#1 to the basic financial statements, the City adopted Governmental Accounting Standards
Board (GASB) Statements No. 34, Basic Financial Statements and Management Discussion and Analysis for
State and Local Governments, No. 37, Basic Financial Statements and Management Discussion and Analysis for
State and Local Governments: Omnibus, No. 38, Certain Financial Statement Note Disclosures, and No. 41,
Budgetary Comparison Schedules—Perspective Differences,effective July 1,2001.
1
8270 Aspen Street Rancho Cucamonga,CA 91730 Tel:909.466.4410 Fax:909.466.4431 www.vtdcpa.com
FRESNO • LAGUNA HILLS • PALO ALTO • PLEASANTON • RANCHO CUCAMONGA • SAN JOSE
The required supplementary information, such as management's discussion and analysis, is not a required part of
the basic financial statements, but is supplementary information required by the Governmental Accounting
Standards Board. We have applied certain limited procedures, which consisted principally of inquiries of
management regarding the methods of measurement and presentation of the required supplementary information.
However,we did not audit the information and express no opinion on it.
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the City's basic financial statements. The other supplementary information listed in the table of
contents, including additional budgetary comparison schedules, are presented for purposes of additional analysis
and are not a required part of the basic financial statements. These schedules have been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated in all material
respects in relation to the basic financial statements taken as a whole.
va ;(Z ��. � , 1 ` 6:3*, LLP
Rancho Cucamonga, California
December 12,2003
2
MANAGEMENT'S DISCUSSION AND ANALYSIS
As management of the City of Moorpark, California (the City), we offer readers of the City's financial
statements this narrative overview and analysis of the financial activities of the City (the "Primary
Government") for the fiscal year ended June 30, 2003. It is encouraged that the readers consider the
information presented here in conjunction with the accompanying basic financial statements. Since this is
the first year of GASB 34 reporting, there will be limited analysis of the financial results based on prior
year comparatives.
FINANCIAL HIGHLIGHTS
• The assets of the City exceeded its liabilities at the close of the 2003 fiscal year by$159,106,739
(net assets). Of this amount, $33,792,567(unrestricted net assets)may be used to meet the City's
ongoing obligations to citizens and creditors.
• The City's total net assets increased by $9,485,228 during the current fiscal year. Details are
discussed on page 13.
• As of June 30, 2003,the City's governmental funds(General Fund, Special Revenue Funds, Debt
Service Fund, and Capital Project Funds) reported combined ending fund balances of
$67,366,813, an increase of $4,437,851 from the prior year. Of this amount, $62,988,748, or
approximately 94% of the total fund balances are unreserved fund balance (i.e. the City Council
has not designated specific uses).
• At the end of the current fiscal year, unreserved fund balance for the General Fund was
$13,456,231,or 183%of total General Fund expenditures.
• The City's total long-term liabilities decreased by $321,046 or 1.5% during the current fiscal
year. The decrease is attributable to the difference between debt additions and the fiscal year's
regularly scheduled debt service payments.
• The City adopted Governmental Accounting Standards Board (GASB) Statement No. 34, Basic
Financial Statements and Management's- Discussion and Analysis — for State and Local
Governments(GASB 34), effective July 1, 2001.
Adjustments to governmental funds beginning fund balance for the Redevelopment Agency for
adoption of GASB 34 were as follows(see Note#13 to the basic financial statements):
✓ Removed long-term receivables in the Low/Mod Housing Special Revenue Fund
($911,237), Areas of Contribution Fund ($133,670), and the Capital Project Fund
($3,274,576).
• The City also adopted the following GASB statements as part of adoption of the new reporting
model:
✓ Statement No. 37, Basic Financial Statements and Management's Discussion and
Analysis—for State and Local Governments: Omnibus.
✓ Statement No. 38, Certain Financial Statement Note Disclosures.
✓ Statement No. 41, Budgetary Comparison Schedules — Perspective Differences, an
amendment of GASB 34.
No adjustments were necessary as a result of adoption of these additional standards.
3
OVERVIEW OF THE BASIC FINANCIAL STATEMENTS
This discussion and analysis is intended to serve as an introduction to the City's basic financial
statements. The City's basic financial statements comprise three components: 1) government-wide
financial statements, 2) fund financial statements, and 3) notes to basic financial statements. Other
supplementary information is included in addition to the basic financial statements.
Government-Wide Financial Statements. The government-wide financial statements are designed to
provide readers with a broad overview of the City's finances, in a manner similar to a private-sector
business.
The government-wide financial statements include the statement of net assets and the statement of
activities.
The governmental activities of the City include general government, public safety, public services, parks
and recreation, and debt service interest on long-term debt. The City does not have any business-type
activities.
The statement of net assets presents information on all of the City's assets and liabilities, with the
difference between the two reported as net assets. Over time, increases and decreases in net assets may
serve as a useful indicator of whether the financial position of the City is improving or deteriorating.
The statement of activities presents information showing how the City's net assets changed during the
most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise
to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are
reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g.,
uncollected taxes and earned but unused vacation leave).
The government-wide financial statements include not only the City of Moorpark as the primary
government, but also a legally separate Community Redevelopment Agency (the Agency) and Moorpark
Public Financing Authority (the Authority). Although legally separate from the City, these component
units are blended with the primary government because of their governance or financial relationships to
the City.
The government-wide financial statements can be found on pages 13-14 of this report.
Fund Financial Statements. A fund is a grouping of related accounts that is used to maintain control
over resources that have been segregated for specific activities or objectives. The City, like other state
and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related
legal requirements. All of the funds of the City can be divided into two categories: governmental funds
and fiduciary funds.
Governmental Funds. Governmental Funds are used to account for essentially the same functions
reported as governmental activities in the government-wide financial statements. However, unlike the
government-wide financial statements, governmental fund financial statements focus on near-term
inflows and outflows of spendable resources, as well as on balances of spendable resources available at
the end of the fiscal year. Such information may be useful in evaluating the City's near-term financial
requirements.
4
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements. By doing
so, readers may better understand the long-term impact of the City's near-term financing decisions. Both
the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and
changes in fund balances provide a reconciliation to facilitate this comparison between governmental
funds and governmental activities.
The City maintains 19 individual governmental funds. Information is presented separately in the
governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and
changes in fund balances for the General Fund, the Moorpark Redevelopment Agency(MRA), Street and
Traffic Safety Development, Park Development, Community Development, Areas of Contribution,
Endowment, and State and Federal Assistance, all of which are considered to be major funds. Data from
the remaining 10 governmental funds are combined into a single, aggregated presentation. Individual
fund data for each of these non-major governmental funds is provided in the form of Combining
Statements in the Non-major Governmental Funds section of this report.
The City adopts an annual appropriated budget for all its funds. A budgetary comparison statement is
provided for all major funds with an annually adopted budget to demonstrate compliance with their
respective budgets. The budgetary comparison statements are located in the basic financial statements.
The non-major governmental fund budgetary comparisons are located in the Non-major Governmental
Funds section of the report.
Fiduciary Funds. Fiduciary funds, which consist solely of trust and agency funds, are used to account
for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in
the government-wide financial statements because the resources of the fund are not available to support
the City's own programs. As the City's only fiduciary fund, the Agency Fund is custodial in nature and,
therefore, the accounting used does not involve the measurement of the results of operations. The basic
fiduciary fund financial statement can be found on page 28 of this report.
Notes to the Basic Financial Statements. The notes to the basic fmancial statements provide additional
information that is essential to a full understanding of the data provided in the government-wide and fund
financial statements. The notes to the basic financial statements can be found on pages 29-56 of this
report.
GOVERNMENT-WIDE FINANCIAL ANALYSIS
This is the first year that the City has presented its financial statements under the new reporting model
required by GASB 34. Because this reporting model changes significantly both the recording and
presentation of financial data, the City has not restated the prior fiscal year for the purposes of providing
comparative information for the Management's Discussion and Analysis(MD&A). In future years, when
prior year information is available, a comparative analysis of government-wide data will be included in
this report.
As noted earlier,net assets may serve over time as a useful indicator of a government's financial position.
In the case of the City, assets exceeded liabilities by$159 million at the close of the current fiscal year.
5
The City's investment in capital assets, net of related debt, reflects a positive $85,969,804. As shown on
Table 1, the largest portion of the City's net assets (54%) reflects its investment in capital assets less any
related outstanding debt used to acquire those assets. The City uses these capital assets to provide
services to citizens; consequently, these assets are not available for future spending. Although the City's
investment in its capital assets is reported net of related debt, it should be noted that resources needed to
repay this debt must be provided from other sources, since the capital assets themselves cannot be used to
liquidate liabilities.
An additional portion of the City's net assets (25%) represents resources that are subject to external
restrictions on how they may be used. The major restrictions on net assets are funding source restrictions.
The remaining balance of total net assets (21%) is unrestricted and may be used to meet the City's
obligations to citizens and creditors in accordance with the finance-related legal requirements reflected in
the City's fund structure.
At the end of the fiscal year ended June 30, 2003, the City reported positive balances in all three
categories of net assets,both for the City as a whole, as well as for its separate governmental activities.
Table 1
Net Assets
June 30,2003
Governmental
Activities
ASSETS
Current and other assets $77,473,209
Capital assets 106,069,804
Total Assets 183,543,013
LIABILITIES
Current and other liabilities 4,016,029
Long-term liabilities 20,420,245
Total Liabilities 24,436,274
NET ASSETS
Invested in capital assets,net of
related debt 85,969,804
Restricted 39,344,368
Unrestricted 33,792,567
Total Net Assets $159,106,739
The City's net assets increased by$9,485,228 during the current fiscal year.
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Table 2
Changes in Net Assets
June 30,2003
Governmental
Activities
REVENUES
Program Revenues:
Charges for services $3,706,733
Operating contributions and grants 5,440,099
Capital contributions and grants 4,131,439
General Revenues:
Tax increment 3,577,050
Property taxes 2,413,964
Franchise taxes 1,067,669
Sales taxes 1,664,626
Motor vehicle in lieu tax 2,161,324
Investment income 2,027,190
Other 21,479
Total Revenues 26,211,573
EXPENSES
General government 2,116,644
Public safety 4,142,268
Public services 7,150,513
Parks and recreation 2,276,066
Interest on long-term debt 1,040,854
Total Expenses 16,726,345
INCREASE IN NET ASSETS 9,485,228
Net Assets-7/01/02 149,621,511
Net Assets -6/30/03 $159,106,739
FINANCIAL ANALYSIS OF THE CITY'S MAJOR FUNDS
As noted earlier, the City uses fund accounting to demonstrate compliance with finance-related legal
requirements.
Governmental Funds. The focus of the City's governmental funds is to provide information on near-term
inflows, outflows, and balances of spendable resources. Such information is useful in assessing the
City's financial requirements. In particular, unreserved fund balance may serve as a useful measure of a
government's net resources available for spending at the end of the fiscal year.
7
As of the end of the current fiscal year, the City's governmental funds reported total fund balances of
$67,366,813, a 7% or $4,437,851 increase in comparison with the prior year. Approximately 94%, or
$62,988,748, of the fund balances constitutes unreserved fund balance, which is available to meet the
City's current and future needs. The remainder of fund balance is reserved to indicate that it is not
available for new spending because it has been committed to a variety of restricted purposes.
General Fund
The General Fund is the chief operating fund of the City. At the end of the current fiscal year, the
unreserved (designated and undesignated) total fund balance of the General Fund was $13.5 million,
which was $1.7 million or 14%more than the prior year's General Fund total fund balance. As a measure
of the General Fund's liquidity, it may be useful to compare total fund balance to total fund expenditures.
Total fund balance represents 183%of total General Fund expenditures.
Key factors in this growth are as follows:
• Property tax increased by$240,367(11%)
• Capital outlay expenditures decreased by$182,496(78%)
• Motor vehicle in lieu fees increased by$206,376(11%)
Street and Traffic Safety Fund
The fund balance of the Street and Traffic Safety Fund increased by $1,922,811 from the prior year,
primarily due to the receipt of development fees for various construction projects; including the Moorpark
Marketplace.
Park Development Fund
The fund balance of the Park Development Fund increased by$154,458 from the prior year,primarily due
to the receipt of development fees for the Vintage Crest Apartments project.
Community Development Fund
The fund balance of the Community Development Fund increased by $219,860 from the prior year,
primarily due to a transfer in from the General Fund.
Areas of Contribution Fund
The fund balance of the Areas of Contribution Fund increased by$408,507 from the prior year,primarily
due to a reduction in capital improvement expenditures.
Endowment Fund
The fund balance of the Endowment Fund increased by $1,127,122 from the prior year, primarily due to
the receipt of development fees for the Vintage Crest Apartments and the Moorpark Country Club project.
State and Federal Assistance Fund
The fund balance of the State and Federal Assistance Fund increased by$2,468 from the prior year.
8
RDA Capital Projects Fund
The fund balance of the Redevelopment Agency Capital Projects Fund decreased by $361,074 from the
prior year, primarily due to capital project expenditures including low and very low income housing
projects.
RDA Debt Service Fund
The fund balance of the Redevelopment Agency Debt Service Fund decreased by $627,573, primarily
resulting from transfers to the RDA capital project funds of tax increment revenue in excess of debt
service requirements.
All other governmental funds' fund balances decreased by$110,861 or 1%from the previous fiscal year.
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General Fund Budgetary Highlights
The following Table 3 presents a summary analysis of the General Fund budget and actuals for the
current fiscal year:
Table 3
Summary Analysis of General Fund Budget
Fiscal Year 2002-2003
Variance
Budget Amounts Actual Positive
Category Adopted Final (budget basis) (Negative)
REVENUES
Taxes $4,649,953 $4,424,983 $4,913,935 $488,952
Licenses and permits 40,100 40,100 51,083 10,983
Fines and forfeitures 83,500 83,500 116,241 32,741
Use of money and property 370,037 370,037 407,915 37,878
Charges for services 801,455 1,026,425 832,973 (193,452)
Intergovernmental 1,878,925 1,900,025 2,269,500 369,475
Other revenue 79,650 79,650 187,061 107,411
Total Revenues 7,903,620 7,924,720 8,778,708 853,988
EXPENDITURES
General government 2,260,212 2,320,805 2,048,658 272,147
Public safety 4,002,157 4,194,140 3,903,315 290,825
Public services 200,010 661,215 497,953 163,262
Parks and recreation 1,797,550 2,215,959 847,974 1,367,985
Capital outlay 81,526 98,508 52,980 45,528
Total Expenditures 8,341,455 9,490,627 7,350,880 2,139,747
Total Excess(Deficiency)
of Revenues Over
Expenditures (437,835) (1,565,907) 1,427,828 2,993,735
Other Financing Sources(Uses)
Transfers in 959,668 959,668 907,928 (51,740)
Transfers out (699,766) (906,744) (633,623) 273,121
Total Other Financing
Sources(Uses) 259,902 52,924 274,305 221,381
i Net Change in Fund Balance $(177,933) $(1,512,983) $1,702,133 $3,215,116
The City adopts annual appropriated operating budgets for its governmental funds(General Fund, Special
Revenue Funds, Capital Project Funds, and Debt Service Fund) and reports the results of operation on a
budget comparison basis.
r
10
In preparing its budgets, the City attempts to estimate its revenues using realistic, but conservative,
methods so as to budget its expenditure appropriations and activities in a prudent manner. As a result, the
City Council adopts budget adjustments during the course of the fiscal year to reflect both changed
priorities and availability of additional revenues to allow for expansion of existing programs. During the
course of the year, the City Council amended the originally adopted budget to re-appropriate prior year
approved projects and expenditures,as well as approving many other adjustments for the current year.
The General Fund reflected a net total favorable budget variance of$3,215,116 when comparing actual
amounts to the final budget for the current fiscal year. This positive budget variance reflects revenue
realization greater than estimates $853,988 —mainly resulting from taxes and intergovernmental revenue
— and expenditures considerably less than estimates $2,139,747 and the net transfers in/out is $221,381
less than budgeted.
CAPITAL ASSET AND DEBT ADMINISTRATION
Capital Assets. The City's investment in capital assets as of June 30, 2003, amounted to $106,069,804
(net of accumulated depreciation). This investment, detailed in Table 4, includes land, buildings and
improvements, machinery and equipment, and infrastructure. The total increase in the City's investment
in capital assets for the current fiscal year was 4.7%.
Table 4
Capital Assets(Net of Depreciation)
June 30,2003
Governmental
Activities
Land $31,410,929
Buildings and improvements 6,729,818
Machinery and equipment 374,822
Infrastructure 67,554,235
Total $106,069,804
Some of the City's major capital asset purchases in the current fiscal year were:
• The Transit Fund purchased two 25 passenger transit buses from Creative Bus Sales for
$284,000.
• In the Equipment Replacement Fund, the Community Service Department purchased a service
truck for$25,000, and the Sheriffs Department purchased a motorcycle for$21,000.
As a result of the implementation of GASB 34, the City is for the first time accounting for infrastructure
assets on its financial statements. The accompanying government-wide financial statements include those
infrastructure assets that were either completed during the current fiscal year or considered construction in
progress at current fiscal year-end.
Additional information on the City's capital assets can be found in Note#5 on page 45 of this report.
11
Long-term Liabilities. At the end of the current fiscal year, long-term liabilities outstanding is
$20,420,245. This amount was comprised of$20,100,000 of tax allocation bonds for the Redevelopment
Agency, which are secured by future tax revenues, and the City's $320,245 in employee compensated
absences payable. This is shown at Table 5.
Table 5
Outstanding Long-term Liabilities
June 30,2003
Governmental
Activities
Tax allocation bonds(issued by the
Redevelopment Agency) $20,100,000
Employee Compensated Absences
Payable 320,245
Total $20,420,245
The City of Moorpark's total long-term liabilities decreased by $321,046, or 1.5%, during the current
fiscal year. The decrease is attributable to the difference between long-term liabilities additions and the
fiscal year's regularly scheduled debt service payments.
Additional information on the City's long-term liabilities can be found in Note#6 on pages 46-47 of the
basic financial statements.
ECONOMIC FACTORS AND NEXT YEAR'S BUDGET
Uncertainty about the impact of the State's budget still remains. The City's budget continues to be
challenged by the State's transfer of funds to the schools (ERAF shift). One of the State's historical ways
of solving its budget crisis is to take local revenue for the State.
Additionally, the City took into consideration the following factors in preparing the budget for the 2003-
2004 fiscal year:
• Assessed property values continue to steadily increase.
• Interest income realized by the City is budgeted to decrease due to falling interest rates.
• Sales tax growth continues to increase as a result of new businesses.
• Inflationary trends in the region compare favorably to national indices.
• Increase in health insurance rates and Workers' Compensation rates.
• The unemployment rate for the City as of June 2003 was 3.9%. This compares to the County rate
of 5.2%and the State rate of 6.8%.
REQUESTS FOR INFORMATION
This management's discussion and analysis is designed to provide citizens, taxpayers, customers,
investors, and creditors with a general overview of the City's finances and to demonstrate the City's
accountability for the money it receives. If you have questions or need additional financial
information, please contact the Administrative Services Department at City Hall, 799 Moorpark
Avenue,Moorpark, CA 93021, (805)517-6242 or at www.ci.moorpark.ca.us.
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BASIC FINANCIAL STATEMENTS
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GOVERNMENT-WIDE FINANCIAL STATEMENTS
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CITY OF MOORPARK
STATEMENT OF NET ASSETS
JUNE 30,2003
Governmental
Activities
ASSETS
Cash and investments $ 66,375,748
Receivables:
Taxes 17,682
Accounts 1,014,013
Interest 454,328
Notes and loans 6,342,717
Other 63,745
Land held for resale 1,811,737
Cash and investments-restricted 1,393,239
Capital assets
Non-depreciable:
Land 31,410,929
Depreciable, net of accumulated depreciation:
Buildings and improvements 6,729,818
Machinery and equipment 374,822
Infrastructure 67,554,235
Total Assets 183,543,013
LIABILITIES
Accounts payable and accrued liabilities 3,583,961
Retentions payable 12,100
Interest payable 245,358
Deferred revenue 169,565
Deposits 5,045
Noncurrent liabilities:
Due within one year 395,000
Due in more than one year 20,025,245
Total Liabilities 24,436,274
NET ASSETS
Invested in capital assets,net of related debt 85,969,804
Restricted for:
Community development 33,409,974
Recreation services 2,952,393
Public safety 415,673
Debt service 1,393,239
Housing set-aside 1,173,089
Unrestricted 33,792,567
Total Net Assets $ 159,106,739
See accompanying notes to financial statements.
13
CITY OF MOORPARK
STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30,2003
Program Revenues
Operating Capital Net
Charges for Contributions Contributions Governmental
Expenses Services and Grants and Grants Activities
Governmental Activities:
General government $ 2,116,644 $ 509,401 $ 101,839 $ (1,505,404)
Public safety 4,142,268 708,392 459,767 $ 331,562 (2,642,547)
Public services 7,150,513 2,166,168 4,878,493 2,330,725 2,224,873
Parks and recreation 2,276,066 322,772 1,469,152 (484,142)
Debt service:
Interest on long-term debt 1,040,854 (1,040,854)
Total Governmental Activities $16,726,345 $ 3,706,733 $ 5,440,099 $ 4,131,439 (3,448,074)
General Revenues:
Taxes:
Property tax, levied for general purpose 2,413,964
Property tax,Redevelopment Agency tax increment 3,577,050
Franchise tax 1,067,669
Sales tax 1,664,626
Motor vehicle in lieu tax 2,161,324
Investment income 2,027,190
Other 21,479
Total General Revenues 12,933,302
Change in Net Assets 9,485,228
Net Assets at Beginning of Year 149,621,511
Net Assets at End of Year $ 159,106,739
See accompanying notes to financial statements.
14
FUND FINANCIAL STATEMENTS
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CITY OF MOORPARK
GOVERNMENTAL FUNDS
BALANCE SHEET
JUNE 30,2003
Special Revenue
Street and
Traffic Safety Park Community
ASSETS General Development Development Development
Cash and investments $12,225,512 $ 9,252,382 $ 4,110,462 $ 810,491
Cash and investments-restricted
Receivables:
Taxes
Accounts 589,987 1,294
Interest 235,622
Notes and loans 6,992
Other 63,745
Due from other funds 862,024
Land held for resale
Total Assets $13,983,882 $ 9,252,382 $ 4,110,462 $ 811,785
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable and accrued liabilities $ 527,651 $ 343 $ 568,069 $ 463,726
Due to other funds 590,000
Retention payable 10,260
Deferred revenue
Deposits,principally from developers
Total Liabilities 527,651 10,603 1,158,069 463,726
FUND BALANCES
Reserved for:
Debt service
Land held for resale
Housing set-aside
Unreserved, reported in:
General fund 13,456,231
Special revenue funds 9,241,779 2,952,393 348,059
Capital projects funds
Debt service fund
Total Fund Balances 13,456,231 9,241,779 2,952,393 348,059
Total Liabilities and
Fund Balances $13,983,882 $ 9,252,382 $ 4,110,462 $ 811,785
See accompanying notes to financial statements.
15
L
Capital Debt
Special Revenue Projects Service
State and Non-Major
Areas of Federal Redevelopment Redevelopment Governmental
Contribution Endowment Assistance Agency Agency Funds Totals
$7,789,638 $9,554,815 $3,288,428 $ 9,700,465 $ 1,010,376 $ 8,633,179 $66,375,748
1,393,239 1,393,239
17,682 17,682
33,174 975 45,221 343,362 1,014,013
122,940 74,598 18,508 2,660 454,328
6,992
63,745
63,009 10,155 935,188
990,662 821,075 1,811,737
$7,912,578 $9,554,815 $3,384,611 $ 10,766,700 $ 2,477,499 $ 9,817,958 $72,072,672
$ 52,541 $ 380,324 $ 29,517 $ 1,182,195 $ 379,595 $ 3,583,961
102,030 115,511 127,647 935,188
1,840 12,100
169,565 169,565
5,045 5,045
54,381 482,354 150,073 1,182,195 676,807 4,705,859
1,393,239 1,393,239
990,662 821,6675 1,811,737
1,173,089 1,173,089
13,456,231
7,858,197 $9,554,815 2,902,257 4,974,570 37,832,070
9,625,965 2,172,417 11,798,382
(97,935) (97,935)
7,858,197 9,554,815 2,902,257 10,616,627 1,295,304 9,141,151 67,366,813
$7,912,578 $9,554,815 $3,384,611 $ 10,766,700 $ 2,477,499 $ 9,817,958 $72,072,672
16
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CITY OF MOORPARK
GOVERNMENTAL FUNDS
RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF NET ASSETS
JUNE 30,2003
Fund Balances of Governmental Funds $ 67,366,813
Amounts reported for Governmental Activities in the Statement of Net Assets are
different because:
Capital assets of governmental activities are not financial resources and,therefore,
are not reported in the governmental funds. 106,069,804
Long-term notes and loans receivable are not current financial resources and,
therefore, are not included in the governmental funds. 6,335,725
Interest expenditures are recognized when due, and therefore, interest payable
is not recorded in the governmental funds. (245,358)
Long-term liabilities are not due and payable in the current period and,therefore,
are not reported in the governmental funds. (20,420,245)
Net Assets of Governmental Activities $ 159,106,739
See accompanying notes to fmancial statements.
17
CITY OF MOORPARK
GOVERNMENTAL FUNDS
STATEMENT OF REVENUES,EXPENDITURES,AND
CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30,2003
Special Revenue
Street and
Traffic Safety Park Community
General Development Development Development
REVENUES
Taxes $ 4,913,935
Licenses and permits 51,083
Fines and forfeitures 116,241
Use of money and property 407,915 $ 177,312 $ 64,456
Charges for services 832,973 780
Intergovernmental 2,269,500
Maintenance assessments
Utility franchise fees
Building and safety fees $ 608,879
Planning and public works fees 2,132,190
Development fees 2,013,816 1,469,152
Other revenue 187,061 16,219
Total Revenues 8,778,708 2,191,128 1,550,607 2,741,069
EXPENDITURES
Current:
General government 2,048,658
Public safety 3,903,315
Public services 497,953 168,317 71,754 2,813,420
Parks and recreation 847,974
Capital outlay 52,980 1,324,395 7,789
Debt service:
Principal
Interest
Total Expenditures 7,350,880 168,317 1,396,149 2,821,209
Excess(Deficiency) of Revenues
Over Expenditures 1,427,828 2,022,811 154,458 (80,140)
OTHER FINANCING SOURCES (USES)
Transfers in 907,928 300,000
Transfers out (633,623) (100,000)
Total Other Financing
Sources(Uses) 274,305 (100,000) 300,000
Net Change in Fund Balances 1,702,133 1,922,811 154,458 219,860
Fund Balances, Beginning of Year,as restated 11,754,098 7,318,968 2,797,935 128,199
Fund Balances,End of Year $13,456,231 $ 9,241,779 $ 2,952,393 $ 348,059
See accompanying notes to financial statements.
18
Capital Debt
Special Revenue Projects Service
State and Non-Major
Areas of Federal Redevelopment Redevelopment Governmental
Contribution Endowment Assistance Agency Agency Funds Total
$ 3,577,050 $ 8,490,985
51,083
$ 173,813 290,054
$ 173,124 $ 149,250 $ 65,131 $ 608,120 117,425 264,457 2,027,190
620 1,220 32,138 867,731
761,981 1,019,782 4,051,263
648,338 2,307,002 2,955,340
232,324 232,324
608,879
2,132,190
1,003,160 4,486,128
9,829 43,267 256,376
822,082 1,152,410 828,332 617,949 3,694,475 4,072,783 26,449,543
2,048,658
118,688 105,667 4,127,670
207,488 73,841 901,403 1,182,196 2,848,667 8,765,039
1,215,454 2,063,428
206,087 579,985 804,084 621,662 3,596,982
365,000 365,000
1,044,915 1,044,915
413,575 772,514 1,705,487 2,592,111 4,791,450 22,011,692
408,507 1,152,410 55,818 (1,087,538) 1,102,364 (718,667) 4,437,851
6,000 1,165,053 152,225 1,250,732 3,781,938
(25,288) (59,350) (438,589) (1,882,162) (642,926) (3,781,938)
(25,288) (53,350) 726,464 (1,729,937) 607,806
408,507 1,127,122 2,468 (361,074) (627,573) (110,861) 4,437,851
7,449,690 8,427,693 2,899,789 10,977,701 1,922,877 9,252,012 62,928,962
$7,858,197 $9,554,815 $2,902,257 $ 10,616,627 $ 1,295,304 $ 9,141,151 $67,366,813
19
CITY OF MOORPARK
RECONCILIATION OF THE STATEMENT OF REVENUES,EXPENDITURES,AND
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30,2003
Net Change in Fund Balances-Total Governmental Funds $ 4,437,851
Amounts reported for governmental activities in the Statement of Activities differs
from the amounts reported in the Statement of Revenues, Expenditures, and Changes
in Fund Balances because:
Governmental funds report capital outlays as expenditures. However,in the Statement
of Activities, the cost of those assets is allocated over their estimated useful lives
as depreciation expense or are allocated to the appropriate functional expense when
the cost is below the capitalization threshold. This activity is reconciled as follows:
Cost of assets capitalized less disposals 7,236,861
Depreciation expense (2,388,510)
Long-term notes and loans receivable are reported as expenditures when made and
as revenue when repaid in the governmental funds. However,there is no impact
in the Statement of Activities when notes and loans are made or repaid. This amount
represents the net change in the long-term notes and loans receivable. (126,081)
Principal repayments of long-term debt are reported as expenditures in the
Governmental Funds,however, they reduce long-term liabilities in the Statement
of Net Assets. 365,000
Accrued interest for Tax Allocation Bonds is not recorded in the governmental funds.
This is the net change in accrued interest for the current period. 4,061
Compensated absence expenses reported in the Statement of Activities do not
require the use of current financial resources and,therefore, are not reported as
expenditures in governmental funds. (43,954)
Change in Net Assets of Governmental Activities $ 9,485,228
See accompanying notes to financial statements.
20
CITY OF MOORPARK
STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
GENERAL FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes $ 4,649,953 $ 4,424,983 $ 4,913,935 $ 488,952
Licenses and permits 40,100 40,100 51,083 10,983
Fines and forfeitures 83,500 83,500 116,241 32,741
Use of money and property 370,037 370,037 407,915 37,878
Charges for services 801,455 1,026,425 832,973 (193,452)
Intergovernmental 1,878,925 1,900,025 2,269,500 369,475
Other revenue 79,650 79,650 187,061 107,411
Total Revenues 7,903,620 7,924,720 8,778,708 853,988
EXPENDITURES
Current:
General government 2,260,212 2,320,805 2,048,658 272,147
Public safety 4,002,157 4,194,140 3,903,315 290,825
Public services 200,010 661,215 497,953 163,262
Parks and recreation 1,797,550 2,215,959 847,974 1,367,985
Capital outlay 81,526 98,508 52,980 45,528
Total Expenditures 8,341,455 9,490,627 7,350,880 2,139,747
Excess(Deficiency) of Revenues
Over Expenditures (437,835) (1,565,907) 1,427,828 2,993,735
OTHER FINANCING SOURCES (USES)
Transfers in 959,668 959,668 907,928 (51,740)
Transfers out (699,766) (906,744) (633,623) 273,121
Total Other Financing Sources(Uses) 259,902 52,924 274,305 221,381
Net Change in Fund Balances (177,933) (1,512,983) 1,702,133 3,215,116
Fund Balance,Beginning of Year 11,754,098 11,754,098 11,754,098
Fund Balance,End of Year $11,576,165 $10,241,115 $13,456,231 $ 3,215,116
See accompanying notes to financial statements.
21
CITY OF MOORPARK
STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
STREET AND TRAFFIC SAFETY DEVELOPMENT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 251,348 $ 251,348 $ 177,312 $ (74,036)
Development fees 1,628,982 1,628,982 2,013,816 384,834
Total Revenues 1,880,330 1,880,330 2,191,128 310,798
EXPENDITURES
Current:
Public services 263,988 476,812 168,317 308,495
Total Expenditures 263,988 476,812 168,317 308,495
Excess (Deficiency) of Revenues
Over Expenditures 1,616,342 1,403,518 2,022,811 619,293
OTHER FINANCING SOURCES (USES)
Transfers out (100,000) (100,000)
Total Other Financing Sources (Uses) (100,000) (100,000)
Net Change in Fund Balances 1,616,342 1,303,518 1,922,811 619,293
Fund Balance,Beginning of Year 7,318,968 7,318,968 7,318,968
Fund Balance, End of Year $ 8,935,310 $ 8,622,486 $ 9,241,779 $ 619,293
See accompanying notes to financial statements.
22
CITY OF MOORPARK
STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
PARK DEVELOPMENT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 97,953 $ 97,953 $ 64,456 $ (33,497)
Charges for services 780 780
Development fees 909,609 909,609 1,469,152 559,543
Other revenue 16,219 16,219
Total Revenues 1,007,562 1,007,562 1,550,607 543,045
EXPENDITURES
Current:
Public services 120,000 120,000 71,754 48,246
Capital outlay 2,193,301 3,011,501 1,324,395 1,687,106
Total Expenditures 2,313,301 3,131,501 1,396,149 1,735,352
Net Change in Fund Balances (1,305,739) (2,123,939) 154,458 2,278,397
Fund Balance,Beginning of Year 2,797,935 2,797,935 2,797,935
Fund Balance,End of Year $1,492,196 $ 673,996 $2,952,393 $ 2,278,397
See accompanying notes to financial statements.
23
CITY OF MOORPARK
STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
COMMUNITY DEVELOPMENT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Building and safety fees $ 567,482 $ 567,482 $ 608,879 $ 41,397
Planning and public works fees 2,105,825 2,105,825 2,132,190 26,365
Total Revenues 2,673,307 2,673,307 2,741,069 67,762
EXPENDITURES
Current:
Public services 3,073,232 3,001,045 2,813,420 187,625
Capital outlay 7,900 8,000 7,789 211
Total Expenditures 3,081,132 3,009,045 2,821,209 187,836
Excess (Deficiency)of Revenues
Over Expenditures (407,825) (335,738) (80,140) 255,598
OTHER FINANCING SOURCES (USES)
Transfers in 300,000 300,000
Total Other Financing Sources(Uses) 300,000 300,000
Net Change in Fund Balances (407,825) (35,738) 219,860 255,598
Fund Balance,Beginning of Year 128,199 128,199 128,199
Fund Balance,End of Year $ (279,626) $ 92,461 $ 348,059 $ 255,598
See accompanying notes to financial statements.
24
CITY OF MOORPARK
STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
AREAS OF CONTRIBUTION SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 228,466 $ 228,466 $ 173,124 $ (55,342)
Charges for services 620 620
Maintenance assessments 1,341,671 1,341,671 648,338 (693,333)
Total Revenues 1,570,137 1,570,137 822,082 (748,055)
EXPENDITURES
Current:
Public services 5,923,815 5,897,873 207,488 5,690,385
Capital outlay 1,707,166 1,707,166 206,087 1,501,079
Total Expenditures 7,630,981 7,605,039 413,575 7,191,464
Net Change in Fund Balances (6,060,844) (6,034,902) 408,507 6,443,409
Fund Balance,Beginning of Year,as restated 7,449,690 7,449,690 7,449,690
Fund Balance, End of Year $1,388,846 $1,414,788 $7,858,197 $ 6,443,409
See accompanying notes to fmancial statements.
25
CITY OF MOORPARK
STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
ENDOWMENT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 239,768 $ 239,768 $ 149,250 $ (90,518)
Development fees 1,439,868 1,439,868 1,003,160 (436,708)
Total Revenues 1,679,636 1,679,636 1,152,410 (527,226)
OTHER FINANCING SOURCES (USES)
Transfers out (80,000) (80,000) (25,288) (54,712)
Total Other Financing Sources (Uses) (80,000) (80,000) (25,288) (54,712)
Net Change in Fund Balances 1,599,636 1,599,636 1,127,122 (472,514)
Fund Balance, Beginning of Year 8,427,693 8,427,693 8,427,693
Fund Balance, End of Year $ 10,027,329 $10,027,329 $ 9,554,815 $ (472,514)
See accompanying notes to financial statements.
26
CITY OF MOORPARK
STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
STATE AND FEDERAL ASSISTANCE SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 89,085 $ 89,085 $ 65,131 $ (23,954)
Charges for services 1,220 1,220
Intergovernmental 2,431,530 2,431,530 761,981 (1,669,549)
Total Revenues 2,520,615 2,520,615 828,332 (1,692,283)
EXPENDITURES
Current:
Public safety 120,058 118,688 1,370
Public services 213,367 191,900 73,841 118,059
Capital outlay 3,336,546 4,565,045 579,985 3,985,060
Total Expenditures 3,549,913 4,877,003 772,514 4,104,489
Excess(Deficiency)of Revenues
Over Expenditures (1,029,298) (2,356,388) 55,818 2,412,206
OTHER FINANCING SOURCES (USES)
Transfers in 6,000 6,000 6,000
Transfers out (59,350) (59,350) (59,350)
Total Other Financing Sources(Uses) (53,350) (53,350) (53,350)
Net Change in Fund Balances (1,082,648) (2,409,738) 2,468 2,412,206
Fund Balance,Beginning of Year 2,899,789 2,899,789 2,899,789
Fund Balance,End of Year $ 1,817,141 $ 490,051 $2,902,257 $ 2,412,206
See accompanying notes to financial statements.
27
CITY OF MOORPARK
STATEMENT OF FIDUCIARY NET ASSETS
AGENCY FUND
JUNE 30,2003
ASSETS
Cash and investments $ 1,951,128
Total Assets $ 1,951,128
LIABILITIES
Accounts payable $ 107,744
Deposits 1,843,384
Total Liabilities $ 1,951,128
See accompanying notes to financial statements.
28
SItI 11 Ia1V LS 'IVIDNVMII 01 SalON
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CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1 —SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The accounting policies of the City of Moorpark(the City)conform to accounting principles generally accepted in
the United States of America as applicable to governments. The Governmental Accounting Standards Board
(GASB) is the accepted standard setting body for governmental accounting and fmancial reporting principles.
The City has implemented GASB Statements No. 34, 37, 38, and 41 and these statements are presented according
to those requirements. The following is a summary of the significant policies.
A. Reporting Entity
The reporting entity "City of Moorpark" includes the accounts of the City, the Moorpark Redevelopment
Agency(the RDA), and the Moorpark Public Financing Authority(the Authority).
The City was incorporated in July 1983 as a general law city and operates under a Council/Manager form of
government.
The RDA was formed in 1987 pursuant to the State of California Health and Safety Code, Section 33000
entitled "Community Redevelopment Law". Its purpose is to finance long-term capital improvements
designed to eliminate physical and economic blight in a project area.
The Authority was formed in 1993 as a joint powers authority between the City and the RDA in order to
provide financial assistance to the City and the RDA by issue debt and financing the construction of public
facilities.
The criteria used in determining the scope of the reporting entity are based on the provisions of GASB
Statement No. 14. The City of Moorpark 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 City has accounted for the RDA and the Authority as "blended"
component units. Despite being legally separate, the RDA and the Authority are so intertwined with the City,
it is in substance, part of the City's operations. Accordingly, the balances and transactions of the RDA are
reported as separate funds in the Special Revenue,Debt Service, and Capital Projects Funds. The Authority is
inactive. The following specific criteria were used in determining that the RDA and the Authority are
"blended"component units:
1) The members of the City Council also act as the governing body of the RDA and the Authority.
2) The City, the RDA, and the Authority are financially interdependent. The City makes loans to the RDA
for use on redevelopment projects. Available property tax revenues of the RDA will be used to repay the
loans from the City.
3) The RDA and the Authority are managed by employees of the City.
The financial statements for the RDA may be obtained at the City's administrative offices. The Authority
does not issue separate financial statements.
29
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1–SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
Participation in Public Entity Joint Powers Authority
The City is a member of the California Joint Powers Insurance Authority (the Authority). The Authority is
composed of 92 California public entities and is organized under a joint powers agreement pursuant to
California Government Code 6500 et seq. The purpose of the Authority is to arrange and administer
programs for the pooling of self-insured losses, to purchase excess insurance or reinsurance, and to arrange
for group-purchased insurance for property and other coverages. The Authority's pool began covering claims
of its members in 1978. Each member government has an elected official as its representative on the Board of
Directors. The Board operates through a nine-member Executive Committee.
The City does not have an equity interest in the Authority; therefore, no amount has been reported in the
Statement of Net Assets. However, the City does have an ongoing financial interest because the City is able
to influence the operations of the Authority so that the Authority uses its resources on behalf of the City.
Also, an ongoing financial responsibility exists because the Authority is dependent on continued funding from
the City. The condensed fmancial information of the Authority has not been reproduced in this report, but is
available from the Authority.
B. Accounting and Reporting Policies
The City has conformed to the pronouncements of the GASB, which are the primary authoritative statements
of accounting principles generally accepted in the United States of America applicable to state and local
governments. In accordance with GASB Statement No. 20, the City applies all applicable Financial
Accounting Standards Board (FASB) pronouncements, as well as those of its predecessors, issued on or
before November 30, 1989,unless any such pronouncements contradict GASB pronouncements.
GASB Statements No.34 and 37-In June 1999 and in June 2001, the GASB issued Statement No. 34,Basic
Financial Statements and Management's Discussion and Analysis for State and Local Governments and
Statement No. 37, Basic Financial Statements and Management's Discussion and Analysis for State and
Local Governments — an amendment of GASB Statement No. 34. These statements introduce the
requirements of Management's Discussion and Analysis (MD&A), cash flow statements presented using the
direct method and the concept of net assets, classified on the basis of availability. The City has adopted these
statements for its 2003 fmancial statements.
Statement No. 34 requires the preparation of government-wide financial statements to be prepared using the
accrual basis of accounting and the economic resources measurement focus. Significantly, the City's
statement of net assets will include both non-current and current assets and liabilities, some of which were
previously recorded in the General Fixed Asset Account Group and General Long-term Debt Account.
30
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1 —SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,Continued
In addition to the government-wide financial statements, the City has prepared fund financial statements,
which continue to use the modified accrual basis of accounting and the current financial resources
measurement focus. However, these statements have been reported using a major fund emphasis with the
remainder of the funds combined into one column.
GASB Statement No. 38 - In June 2001, the GASB issued Statement No. 38, Certain Financial Statement
Note Disclosures. This statement modifies various note disclosure requirements concurrently with the
implementation of Statement No. 34. While this statement does not affect amounts reported in the financial
statements of the City, certain note disclosures have been modified for capital assets,debt service obligations,
actions taken in response to legal violations,variable rate debt and short-term obligations.
GASB Statement No. 41 - In May 2003, the GASB issued Statement No. 41, Budgetary Comparison
Schedules — Perspective Differences, an amendment of GASB 34. This statement establishes guidance for
governments with significant budgetary perspective differences to report budgetary comparison schedules
within the GASB 34 reporting model. This statement does not have a significant impact on the financial
statements of the City.
These and other changes are reflected in the accompanying financial statements (including notes to financial
statements). The City has elected to implement the Statement including retroactive reporting of infrastructure
(assets acquired prior to July 1,2001)in the current fiscal year.
C. Description of Funds
The accounts of the City are organized on the basis of funds, each of which is considered a separate
accounting entity. The operations of each fund are accounted for with a separate set of self-balancing
accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures. The following are types
of funds used:
Governmental Fund Types
• General Fund—Used to account for all financial resources except those required to be accounted for in
another fund.
• Special Revenue Funds—Used to account for the proceeds of specific revenue sources that are restricted
by law or administrative action for specified purposes.
• Debt Service Fund — The debt service fund is used to account for property tax increment revenue and
related interest income. Disbursements from this fund consist mainly of principal and interest on
indebtedness.
• Capital Projects Funds — Used to account for financial resources used for the construction of specific
capital projects.
31
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
Fiduciary Fund Type
• Agency Funds — Used to account for assets held by the City as an agent for individuals, private
organizations,other governments and/or other funds.
D. Basis of Accounting/Measurement Focus
Government—Wide Financial Statements
The City's Government-Wide Financial Statements include a Statement of Net Assets and a Statement of
Activities. These statements present summaries of Governmental Activities for the City.
These statements are presented on an "economic resources" measurement focus and the accrual basis of
accounting. Accordingly, all of the City's assets and liabilities, including capital assets and infrastructure as
well as long-term debt, are included in the accompanying Statement of Net Assets. The Statement of
Activities presents changes in net assets. Under the accrual basis of accounting, revenues are recognized in
the period in which they are earned while expenditures are recognized in the period in which the liability is
incurred. The Statement of Activities demonstrates the degree to which the direct expenditures of a given
function are offset by program revenues. Direct expenditures are those that are clearly identifiable with a
specific function. The types of transactions reported as program revenues for the City are reported in three
categories: 1) charges for services, 2) operating contributions and grants, and 3) capital grants and
contributions. Charges for services include revenues from customers or applicants who purchase, use, or
directly benefit from goods, services, or privileges provided by a given function. Operating contributions and
grants include revenues restricted to meeting the requirements of a particular operating function and may
include state shared revenues and grants. Capital contributions and grants include revenues restricted to
meeting the requirements of a particular capital function and may include grants and developer fees. Taxes
and other items not properly included among program revenues are reported instead as general revenues.
Certain eliminations have been made as prescribed by GASB Statement No. 34 in regards to interfund
activities, payables, and receivables. All internal balances in the government-wide financial statements have
been eliminated.
Governmental Fund Financial Statements
Governmental fund fmancial statements include a Balance Sheet and Statement of Revenues, Expenditures,
and Changes in Fund Balances for all major governmental funds and aggregated non-major funds. An
accompanying schedule is presented to reconcile and explain the differences in fund balances as presented in
these statements to the net assets presented in the Government-Wide Financial Statements. The City has
presented all major funds that met qualifications of GASB Statement No. 34.
32
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1 —SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,Continued
All governmental funds are accounted for on a spending or"current financial resources" measurement focus
and the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are
included on the Balance Sheets. The Statement of Revenues, Expenditures, and Changes in Fund Balances
present increases (revenues and other financing sources) and decreases (expenditures and other financing
uses) in fund balances. Revenues are recognized in the accounting period in which they become susceptible
to accrual, that is, when they become both measurable and available to finance expenditures of the current
period. "Measurable" means that the amount of the transaction can be determined, and "available" means
collectible within the current period or soon enough thereafter to be used to pay liabilities of the current
period. Accrued revenues include property taxes received within 60 days after year-end taxpayer assessed
taxes such as sales taxes, and earnings on investments. Grant funds earned but not received are recorded as a
receivable, and grant funds received before the revenue recognition criteria have been met are reported as
deferred revenues. Expenditures are recorded when the fund liability is incurred, if measurable, except for
unmatured interest on general long-term debt,which is recognized when due.
The City reports the following major governmental funds:
The General Fund is the government's primary operating fund. It accounts for all financial resources of the
City, except those required to be accounted for in another fund.
The Street and Traffic Safety Development Special Revenue Fund is used to account for fees used for street
maintenance,right-of-way acquisition and street construction.
The Park Development Special Revenue Fund is used to used account for state and county grants used for the
acquisition of open space and park improvements.
The Community Development Special Revenue Fund is used to account for fees used in planning, building
and safety, and engineering services relating to community development.
The Areas of Contribution Special Revenue Fund is used to account for fees used for street and related
improvements to specific project areas and fund infrastructure enhancements as a result of additional
development.
The Endowment Special Revenue Fund is used to account for funds received by the City for certain
development projects or other sources directed by the City Council to be held for the purpose of one-time
capital expenditure of community-wide benefit due to the impact of additional development.
The State and Federal Assistance Special Revenue Fund is used to account for Federal and State grants used
for the construction of streets and related improvements and help fund law enforcement.
The RDA Capital Projects Fund is used to account for the funds used for the RDA's capital improvement
projects.
The RDA Debt Service Fund is used to account for the accumulation of resources for, and the payment of
principal and interest on the RDA's debt and other long-term obligations.
33
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
Fiduciary Fund Financial Statements
Fiduciary Fund Financial Statements include a Statement of Net Assets. The fiduciary fund is used to report
assets held in a trustee or agency capacity for others and therefore are not available to support City programs.
Since these assets are being held for the benefit of a third party, these funds are not incorporated into the
government-wide statements.
The City's only fiduciary fund is an agency fund, which uses the accrual basis of accounting to account for
amounts held for individuals, private organizations, other governments, and/or other funds. The agency fund
is custodial in nature (assets equal liabilities) and therefore does not involve measurement of results of
operations.
E. Budgetary Accounting
Annual budgets are adopted on a basis consistent with GAAP for all governmental funds. All annual
appropriations lapse at fiscal year-end. Throughout the year, the City Council made several supplementing
budgetary adjustments to the General Fund, Special Revenue Funds, Capital Projects Funds, and Debt Service
Fund. These adjustments resulted in a net appropriation increase in the amount of$5,733,283. This increase
resulted primarily from rebudgeted projects and amounts carried over from Fiscal Year 2001-2002 as
continuing appropriations.
Under Article X11113 of the California Constitution (the Gann Spending Limitation Initiative), the City is
restricted as to the amount of annual appropriations from the proceeds of taxes, and if proceeds of taxes
exceed allowed appropriations, the excess must either be refunded to the State Controller, returned to the
taxpayers through revised tax rates or revised fee schedules, or an excess in one year may be offset against a
deficit in the following year. For the fiscal year ended June 30, 2003, based on calculations by City
Management, proceeds of taxes did not exceed related appropriations.
F. Property Taxes
The duties of assessing and collecting property taxes are performed by the Ventura County (the County)
Assessor and Tax Collector, respectively. The City receives an allocation of property taxes collected by the
County with respect to property located within the City limits equal to 7.41 percent (6.5 percent for the City
and .91 percent for the Mosquito Abatement District) of the 1 percent State levy. The Redevelopment
Agency receives incremental property taxes on property within its project area over the base-assessed
valuation at the date the project area was established. Tax levies cover the period from July 1 to June 30 of
each year. All tax liens are attached annually on the first day in January preceding the fiscal year for which
the taxes are levied. Taxes are levied on both real and personal property, as it exists on that date.
Secured property taxes are levied against real property and are due and payable in two equal installments.
The first installment is due on November 1 and becomes delinquent if not paid by December 10. The second
installment is due on February 1 and becomes delinquent if not paid by April 10. Unsecured personal
property taxes are due on July 1 each year. These taxes become delinquent if not paid by August 31.
34
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,Continued
G. Land Held for Resale
Land held for resale in the Low and Moderate Income Housing Special Revenue Fund and the Capital
Projects Fund represent land purchased by the Agency. Such land is valued at the lower of cost or estimated
net realizable value (as determined by a disposition and development agreement between the Agency and a
developer) and has been offset by a reservation of fund balance to indicate that assets constitute future capital
projects and are not available spendable resources.
H. Capital Assets
Capital assets, which include land, machinery and equipment (vehicles, computers, etc.), buildings and
improvements, and infrastructure assets (street systems, storm drains, sewer systems, etc.), are reported in
Governmental Activities column of the Government-wide Financial Statements. Capital assets are defined by
the City as all land; buildings and improvements with an initial individual cost of more than $10,000;
vehicles,computers and equipment with an initial individual cost of more than$5,000; and improvements and
infrastructure assets with costs of more than$100,000. Such assets are recorded at historical cost or estimated
historical cost if purchased or constructed. Donated or annexed capital assets are recorded at estimated
market value at the date of donation or annexation.
The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend
assets lives are not capitalized. Depreciation is recorded in the Government-wide Financial Statements on a
straight-line basis over the useful life of the assets as follows:
Buildings and improvements 25 to 50 years
Vehicles, computers,and equipment 3 to 20 years
Infrastructure Assets
Roadway Network 7 to 100 years
Drain Network 20 to 100 years
Parks and Recreation Network 50 years
I. Employee Compensated Absences
City employees may receive from 12 to 22 days vacation time each year, depending upon length of service.
An employee may accumulate earned vacation time up to a maximum of 480 hours' worth of accrued
vacation leave. Upon termination, employees are paid the full value of their unused vacation time at their
existing salary. There is no fixed payment schedule for employee compensated absences.
35
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,Continued
J. Investments
The City has adopted the provisions of Governmental Accounting Standards Board (GASB) Statement
No. 31, Accounting and Financial Reporting for Certain Investments and External Pools, which require
governmental entities to report certain investments at fair value in the balance sheet and recognize the
corresponding change in the fair value of investments in the year in which the change occurred. In
accordance with GASB Statement No. 31, the City has adjusted certain investments to fair value (when
material).
Investments are included within the financial statement classifications of"Cash and investments" and"Cash
and investments—restricted"and are stated at fair value, (see Note#2).
K. Deferred Compensation
In October 1997, GASB Statement No. 32, Accounting and Financial Reporting for Internal Revenue Code
Section 457 Deferred Compensation Plans, was issued. This Statement establishes accounting and financial
reporting standards for Internal Revenue Code (IRC) section 457 deferred compensation plans of state and
local governments. Pursuant to the IRC 457 subsection(g), all amounts of compensation deferred under the
plan, all property, or rights are solely the property and rights of the employee and beneficiaries of the Plan.
Deferred compensation funds are not subject to the claims of the City's general creditors. The City has
established an eligible deferred compensation plan in accordance with subsection(g) of the IRC Section 457.
Under the provisions of this Statement, it is no longer considered appropriate to report the Section 457 plan in
the City's financial statements.
L. Deferred Revenue
Deferred revenue is recorded monies collected in advance that have not been earned. As of June 30, 2003,
total deferred revenue reported is $169,565.
M. Claims and Judgments
When it is probable that a claim liability has been incurred, 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.
At June 30, 2003, in the opinion of the City Attorney, the City had no material claims, which require loss
provisions in the financial statements. Small claims and judgments are recorded as expenditures when paid.
The City's self-insurance program is administered through the California Joint Powers Authority(the CJPIA),
which is described in Note #11. The CJPIA is a public entity risk pool, which is accounted for under the
provisions of GASB Statement No. 10. Claim losses recorded in the CJPIA include both current claims and
Incurred But Not Reported claims (IBNR). Deposits to the CJPIA are recorded by the City as insurance
expenditures in the General Fund when paid. These deposits are subject to retrospective adjustment.
Favorable claims experience result in a refund of deposits from the CJPIA and such refunds, if any, are
recorded as a reduction of insurance expenditures in the year received. Adverse claims experience result in
the payment of additional deposits and such deposits, if any, are recorded as insurance expenditures when
paid.
36
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#1—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
N. Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the
United States of America requires management to make estimates and assumptions that effect certain reported
amounts and disclosures. Accordingly,actual results could differ from those estimates.
O. Used of Restricted Resources
When both restricted and unrestricted resources are available for use, it is the City's policy to use restricted
resources first,and then unrestricted resources as they are needed.
NOTE#2—CASH AND INVESTMENTS
The City maintains a cash and investments pool, which is available for use by all funds. Each fund's portion of
the pool is displayed on the Financial Statements as "Cash and Investments".
Cash and investments at June 30, 2003, consisted of the following:
Unrestricted Cash and Investments
Cash on hand $ 1,100
Demand deposits 955,055
LAIF 51,864,192
U.S.Treasury and Agency Securities 15,506,529
Total Unrestricted Cash and Investments 68,326,876
Restricted Investments
Money Markets 37,465
Guaranteed Investment Contracts 1,355,774
Total Restricted Investments 1,393,239
Total Cash and Investments $ 69,720,115
37
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#2—CASH AND INVESTMENTS,Continued
Cash and investments are reported in the basic fmancial statements as follows:
Governmental Funds:
Unrestricted $ 66,375,748
Restricted 1,393,239
Fiduciary Funds:
Unrestricted 1,951,128
Total Cash and Investments $ 69,720,115
Interest income earned on pooled cash and investments is allocated quarterly to the funds based on average
monthly cash and investment balances. Interest income from restricted cash is allocated directly to the fund
earning the income.
Authorized Investments
Under provisions of the City's Investment Policy, and in accordance with Section 53601 of the California
Government Code, the City may invest in the following types of instruments, subject to certain restrictions as to
maturity and percentage of portfolio:
• Securities of the U. S. government or its agencies
• Small business administration loans
• Certificates of deposit(or time deposits)placed with commercial banks and/or savings and loan companies
• Negotiable certificates of deposit
• Bankers' acceptances
• Commercial paper
• Local Agency Investment Fund(LAIF)
• Repurchase agreements,Passbook savings accounts
• Reverse-repurchase agreements
Throughout the year ended June 30, 2003, the City did not utilize overnight repurchase agreements, reverse-
repurchase agreements,or investment vehicles;nor did it engage in security lending activities.
38
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#2—CASH AND INVESTMENTS, Continued
Classification of Deposits and Investments by Credit Risk
Statement No. 3 of the Governmental Accounting Standards Board requires that deposits and investments be
classified into three categories of credit risk. These categories are as follows:
Deposits:
Category 1: Insured or collateralized with securities held by the City or by its agent in the City's name.
Category 2: Collateralized with securities held by the pledging financial institution's trust department or agent
in the City's name.
Category 3: Uncollateralized. This includes any bank balance that is collateralized with securities held by the
pledging financial institution or by its trust department or agent, but not in the City's name. The
balance is predominantly there waiting for checks to clear.
Investments:
Category 1: Insured or registered, or securities held by the City or its agent in the City's name.
Category 2: Uninsured and unregistered, with securities held by the pledging financial institutions or
counterparty's trust department or agent in the City's name.
Category 3: Uninsured and unregistered, with securities held by the counterparty or by its trust department or
agent,but not in the City's name.
Deposits and investments were categorized as follows at June 30, 2003:
Bank
Bank Balance Category Balance Carrying
1 2 3 Total Value
Demand Deposits $ 100,000 $ 973,675 $ 1,073,675 $ 955,055
39
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#2—CASH AND INVESTMENTS, Continued
Investments at June 30, 2003, by risk category are as follows:
Category Carrying
1 2 3 Value Fair Value
Unrestricted Investments
Local Agency Investment Fund(1) $51,864,192 $52,011,812 (2)
US Treasury Bills $ 3,038,430 3,038,430 3,038,430
FNMA 5,980,733 5,980,733 5,980,733
FMCDN 1,487,742 1,487,742 1,487,742
FHLB 4,999,624 4,999,624 4,999,624
Total Unrestricted Investments 15,506,529 67,370,721 67,518,341
Restricted Investments
Fidelity US Treasury Money Market Funds(1) 37,465 37,465
Transamerica Investment Agreement 1999(1) 771,100 771,100
CDC Funding Investment Agreement 2001 (1) 584,674 584,674
Total Restricted Investments 1,393,239 1,393,239
Total Investments $15,506,529 $68,763,960 $68,911,580
(1) Not subject to categorization.
(2) The management of the State of California Pooled Money Investment Account (generally referred to as LAIF)
has indicated to the City that as of June 30, 2003, the carrying amount of the pool was $55,422,506,109 and
the estimated market value of the pool (including accrued interest) was $55,709,492,881. The City's
proportionate share of the value is $51,864,192. Included in LAIF's investment portfolio are certain derivated
securities or similar products in the form of structures notes, totaling $304,000,000 and asset-backed
securities totaling $985,676,000. LAIF's (and the City's) exposure to risk (credit, market, or legal) is not
currently available.
Fair Value of Investments
GASB Statement No. 31 generally applies to investments in external investment pools (State of California LAIF),
investments purchased with maturities greater than one year, mutual funds, and certain investment pools
agreements. Generally, governmental entities need to report the "fair value" changes for these investments at
year-end and record these gains or losses on their income statement.
The City holds an investment in LAIF that is subject to being adjusted to "fair value". The City is required to
disclose its methods and assumptions used to estimate the fair value of its holdings in LAIF. The City relied upon
information provided by the State Treasurer in estimating the City's fair value position of its holding in LAIF.
The City had a contractual withdrawal value of$51,864,192 whose pro-rata share of fair value was estimated by
the state Treasurer to be $52,011,812. The fair value change in this investment for the year came to an amount
that was not material for presentation in the financial statements.
40
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#2—CASH AND INVESTMENTS,Continued
LAW is a governmental investment pool managed and directed by the California State Treasurer and is not
registered with the Securities and Exchange Commission. An oversight committee, comprised of California State
officials and various participants, provide the management of the fund. The daily operations and responsibilities
of LAIF fall under the auspices of the State Treasurer's office. The City is a voluntary participant in the
investment pool.
NOTE#3—NOTES AND LOANS RECEIVABLE
Notes and loans receivable activity for the year ended June 30, 2003, are as follows:
Beginning Ending
Balance Increases Decreases Balance
Notes Receivable
Asadurian $ 1,200,000 $ 1,200,000
Mission Bell $ 3,421,821 $ (147,245) 3,274,576
Cabrillo 1,475,000 (636,937) 838,063
Toll Brothers 625,000 (225,000) 400,000
Deferred Property Assessments 279,427 (29,178) 250,249
Charles Abbott and Associates 171,072 (164,711) 6,361
Total Notes Receivable 5,972,320 1,200,000 (1,203,071) 5,969,249
Loans Receivable
Boys and Girls Club 59,000 (59,000)
Employee Computer 5,727 4,189 (2,924) 6,992
Rehabilitation 134,380 76,778 (137,984) 73,174
First-time Homeowners Assistance 297,371 41,469 (45,538) 293,302
Total Loans Receivable 496,478 122,436 (245,446) 373,468
Total Notes and Loans Receivable $ 6,468,798 $ 1,322,436 $ (1,448,517) $ 6,342,717
A. Asadurian Note
On April 7, 2003, the City entered into an agreement with Asadurian Investment Corporation whereby in
return for land disposition, the City received a$1,200,000 promissory note. The note bears simple interest at
the rate equal to the average monthly interest rate announced by the Local Agency Investment Fund(LATE).
The borrower shall pay to the City the amount of$80,000 plus interest over fifteen years. The first payment
is due prior to the first certificate of occupancy for the project, or April 2, 2005,whichever comes first.
41
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#3—NOTES AND LOANS RECEIVABLE, Continued
B. Mission Bell Note
On August 2, 1995, the Redevelopment Agency of the City of Moorpark (the Agency) entered into an
agreement with Mission Bell Partners whereby in return for land disposition, the Agency received seven
promissory notes totaling $3,934,500. The notes bear simple interest from a rate of three percent to a rate of
six percent per annum from August 29, 1995 until August 29, 2027. Principal and interest payment are due
June 30 annually. The balance outstanding at June 30,2003, was$3,274,576.
C. Cabrillo Note
On May 23, 2001, the Agency entered into an agreement with Cabrillo Economic Development Corporation
whereby in return for land disposition, the Agency received a$1,475,000 note. The note bears simple interest
at the rate equal to the quarterly interest rate announced by the Local Investment Fund(LAW). Principal and
interest are due and payable upon the sale of each designated market rate home. The borrower shall pay to the
City the amount of$33,523 which is equal to 1144th of the total principal due under this note at the time of
sale. This amount is disbursed to the Agency through the sales escrow. The balance outstanding as of June
30, 2003,was$838,063.
D. Toll Brothers Note
On June 20, 2001, the City entered into an agreement with Toll CA GP Corporation pertaining to conditions
of approval for Tract 4928 within the City. Toll agreed to pay the City $845,320 in three payments as
follows: $220,320 within 30 days of City Council approval of Minor Modification No. 3; $225,000 on or
before August 1, 2002; and$400,000 five days after the Council approves the final map for phase 3 and 4 of
the tract. The payments satisfy Toll's Casey Road/Gabbert Road AOC obligation. The principal balance at
June 30,2003, was $400,000.
E. Deferred Property Assessment Notes
In March 1993, the City entered into three agreements with property owners of the City of Moorpark
Assessment District No. 92-1 whereby in return for deferring the property owner's assessment levy, the City
received three promissory notes totaling $279,427. The notes bear simple equivalent to the LAW variable
rate not to exceed 7 percent per annum. Principal and interest are due on the date the City executes an
approved final map of the property or the date of a court ordered subdivide of the property. At June 30, 2003,
the balance outstanding was $250,�49'�
F. Charles Abbott and Associates Settlement Note
On April 2, 2002, the City entered into an agreement with Charles Abbott and Associates whereby in return
for deferred developer fees the City received a promissory note for$221,010. Principal is due in 18 monthly
payments. At June 30,2003,the balance outstanding was $6,361.
42
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#3—NOTES AND LOANS RECEIVABLE, Continued
G. Employee Computer Loans
The City'operates an employee computer loan program. The City allows employees to buy computers and
make payments over 5 years. The balance outstanding at June 30,2003,was$6,992.
H. Rehab Loans
The Redevelopment Agency of the City of Moorpark(the Agency) operates a rehabilitation loan program for
the renovation of low-moderate income housing. The total balance outstanding at June 30, 2003, was
$73,174.
I. First-Time Homeowners Down-Payment Assistance Program
The City operates a first-time homeowners down-payment assistance program. The total balance outstanding
at June 30,2003,was $251,833 for City assisted loans and$41,469 for CAL-Home assisted loans.
NOTE#4—INTERFUND TRANSACTIONS
Due To/Due From Other Funds
Due to/due from other funds for the year ending June 30, 2003, consisted of the following:
Due to the General Fund from:
Park Development Fund Special Revenue Fund $ 590,000
State and Federal Assistance Special Revenue Fund 102,030
Redevelopment Agency Capital Projects Fund 115,511
Non-Major Special Revenue Funds 54,483
Total Due to the General Fund $ 862,024
Due to the State and Federal Assistance Special Revenue Fund from:
Non-Major Special Revenue Funds $ 63,009
Due to the Redevelopment Agency Debt Service Fund from:
Non-Major Special Revenue Funds $ 10,155
The General Fund advanced the Park Development Fund for park improvements and the State and Federal
Assistance Fund in order to begin ISTEA project. The Redevelopment Agency Capital Projects Fund and Low
and Moderate Income Housing Fund owe the General Fund for redevelopment costs paid by the General Fund.
The State and Federal Assistance Fund advanced the Local Transit Transportation Fund for transit program. The
Redevelopment Debt Service Fund advanced Low and Moderate Income Housing Fund for redevelopment
activity.
43
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#4—INTERFUND TRANSACTIONS, Continued
Interfund Transfers
Interfund transfers for the year ended June 30, 2003, consisted of the following:
Transfer From
Redevelopment
Special Revenue Funds Agency
Street and
Traffic
Safety State and Debt Capital Non-Major
General Development Endowment Federal Service Projects Governmental
Fund Fund Fund Assistance Fund Fund Funds Total
General Fund $ 25,288 $ 59,350 $ 388,589 $ 434,701 $ 907,928
Community Developement
Special Revenue Fund $ 100,000 $ 100,000 50,000 50,000 300,000
State and Federal Assistance
Special Revenue Fund 6,000 6,000
w Redevelopment Agency
Captal Projects Fund $ 1,165,053 1,165,053
Redevelopment Agency
Debt Service Fund 152,225 152,225
Non-Major
Governmental Funds 533,623 717,109 1,250,732
Total $ 633,623 $ 100,000 $ 25,288 $ 59,350 $ 1,882,162 $ 438,589 $ 642,926 $ 3,781,938
Transfers are used to (1) move revenues from the fund that statute or budget requires to collect them to the fund
that statute or budget requires to expend them and (2) use unrestricted revenues collected in the General Fund to
finance various programs accounted for in other funds in accordance with budgetary authorizations or grant
matching requirements.
44
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#5—CAPITAL ASSETS AND DEPRECIATION
In accordance with GASB Statement No. 34, the City has reported all capital assets including infrastructure in the
Government-Wide Statement of Net Assets. The City elected to use the basic approach as defined by GASB
Statement No. 34 for all infrastructure reporting, whereby depreciation expense and accumulated depreciation has
been recorded. The following table presents the capital assets activity for the year ended June 30, 2003.
Beginning Ending
Balance Increases Decreases Balance
Governmental Activities
Capital Assets,Not Being Depreciated:
Land $ 29,898,670 $1,512,259 $ 31,410,929
Capital Assets,Being Depreciated:
Buildings and improvements 8,717,019 6,779 $ (248,765) 8,475,033
Machinery and equipment 1,351,614 387,718 1,739,332
Infrastructure
Roadway system 80,846,978 5,578,870 86,425,848
Storm drainage system 1,619,399 1,619,399
Parks system 156,727 156,727
Total Capital Assets,Being Depreciated 92,691,737 5,973,367 (248,765) 98,416,339
Less Accumulated Depreciation For:
Buildings and improvements (1,542,582) (202,633) (1,745,215)
Machinery and equipment (1,174,728) (189,782) (1,364,510)
Infrastructure
Roadway system (18,550,528) (1,976,764) (20,527,292)
Storm drainage system (71,338) (16,197) (87,535)
Parks system (29,778) (3,134) (32,912)
Total Accumulated Depreciation (21,368,954) (2,388,510) (23,757,464)
Total Capital Assets, Being Depreciated,Net 71,322,783 3,584,857 (248,765) 74,658,875
Governmental Activities Capital Assets,Net $ 101,221,453 $5,097,116 $ (248,765) $ 106,069,804
Depreciation expense was charged to the governmental functions/programs.
General government $ 25,297
Public safety 14,598
Public service, including depreciation of general infrastructure assets 2,135,977
Parks and recreation 212,638
Total Depreciation Expense $ 2,388,510
45
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#6—LONG-TERM LIABILITIES
Long-term liability activities for the year ended June 30, 2003, are as follows:
Balance at
Beginning Balance at Due Within
of Year Additions Reductions End of Year One Year
1999 Tax Allocation Bonds $ 8,840,000 $(365,000) $ 8,475,000 $ 380,000
2001 Tax Allocation Bonds 11,625,000 11,625,000 15,000
Employee Compensated Absences 276,291 $ 43,954 320,245
$ 20,741,291 $ 43,954 $(365,000) $20,420,245 $ 395,000
A. 1999 Tax Allocation Bonds
In 1999, the Redevelopment Agency issued a $9,860,000 aggregated principal amount of Moorpark
Redevelopment Project 1999 Tax Allocation Refunding Bonds (the Bonds). The purpose of the Bonds was to
advance refund the Agency's previously issued $10,000,000 Moorpark Redevelopment Project, 1993 Tax
Allocation Bonds. The purpose of the 1993 Bonds was to finance a portion of the costs of implementing the
Redevelopment Plan, including low-and moderate-income housing projects. The 1999 Bonds bear interest at
rates ranging from 3.05 percent to 4.875 percent per annum, payable semi-annually on April 1 and October 1
of each year, commencing on October 1, 1999, and are subject to mandatory sinking fund redemption
commencing on October 1, 2009, and on each October 1 thereafter. The Bonds are payable from and secured
by the tax revenues to be derived from the project area.
The bonds are secured by all property tax increment revenue, which is deposited directly with the fiscal agent
and recorded in the Debt Service Fund. Cash and investments in the custody of the fiscal agent are restricted
by the bond resolutions for payment of principal and interest on the Tax Allocation Bonds. In addition, the
bond resolutions require retention of funds held by the fiscal agent prior to use for other than debt service.
The Redevelopment Agency is in compliance with the covenants contained in debt indentures, which require
the establishment of certain specific accounts for the Tax Allocation Bonds.
Debt service payments on the 1999 Tax Allocation Refunding Bonds payable will be made from the Debt
Service Fund. Annual debt service requirements to maturity are as follows:
Year Ended Tax Allocation Bonds
June 30 Principal Interest Total
2004 $ 380,000 $ 382,710 $ 762,710
2005 395,000 368,369 763,369
2006 405,000 353,065 758,065
2007 425,000 336,668 761,668
2008 440,000 319,148 759,148
2009-2013 2,510,000 1,271,251 3,781,251
2014-2018 3,185,000 581,953 3,766,953
2019 735,000 17,916 752,916
Total $ 8,475,000 $ 3,631,079 $ 12,106,079
46
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#6—LONG-TERM LIABILITIES,Continued
B. 2001 Tax Allocation Bonds
In December 2001, the Redevelopment Agency of the City of Moorpark issued $11,625,000 of Tax
Allocation Parity Bonds. The proceeds of the Bonds will be used to fund redevelopment activities within the
Moorpark Redevelopment Project area. Interest on the 2001 Bonds is payable semi-annually on April 1 and
October 1, commencing April 1, 2002, at rates ranging from 2.85 percent to 5.13 percent per annum. The
2001 Bonds maturing October 2031, are subject to mandatory sinking fund redemption in the amount of the
principal and accrued interest. The Bonds are payable from and secured by the tax revenues to be derived
from the project area.
The Redevelopment Agency is in compliance with the covenants contained in debt indentures, which require
the establishment of certain specific accounts for the Tax Allocation Bonds.
Year Ended Tax Allocation Bonds
June 30 Principal Interest Total
2004 $ 15,000 $ 593,430 $ 608,430
2005 10,000 591,573 601,573
2006 15,000 591,216 606,216
2007 15,000 590,819 605,819
2008 15,000 590,309 605,309
2009-2013 85,000 2,938,804 3,023,804
2014-2018 95,000 2,918,595 3,013,595
2019-2023 2,775,000 2,633,122 5,408,122
2024-2028 4,300,000 1,675,106 5,975,106
2029-2032 4,300,000 454,331 4,754,331
Total $11,625,000 $13,577,305 $25,202,305
C. Employee Compensated Absences
The long-term liability at June 30, 2003, is $320,245 for employee compensated absences. There is no
current liability estimated. The General Fund is primarily expected to liquidate this liability.
D. Prior Year Defeasance of Debt
In 1999, the Agency defeased the 1993 Tax Allocation Revenue Bonds by placing the proceeds of new bonds
in an escrow account,with the 1999 Tax Allocation Refunding Bonds issue's trustee, to provide for all further
debt service payments on the old bonds. Accordingly, the trust account assets and the liability for the
defeased bonds are not included in the Agency's financial statements. The principal amount outstanding on
the defeased bonds as of June 30, 2003, are$7,835,000.
47
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#7—AGREEMENTS WITH VARIOUS TAXING AGENCIES
The Moorpark Redevelopment Agency has entered into five (5) agreements for allocation and distribution of tax
increment revenues. The Agency has entered into an agreement with the County of Ventura, Ventura County
Library District, Ventura County Fire Protection District, and Ventura County Flood Control District
(collectively, the "County Taxing Entities"), which provide for the Agency to retain 100 percent of the County
Taxing Entities share (55.82 percent) of annual tax increment revenues up to $1,750,000. For annual tax
increment revenue in excess of $1,750,000, the Agency shall distribute 55.85 percent of such revenues to the
County on behalf of the County Taxing Entities. The County Taxing Entities have agreed to defer payments in
the initial years of the Redevelopment Plan, and consequently, the parties agree that the County Taxing Entities
may receive payments in any single fiscal year in excess of the amount of tax revenues the County Taxing Entities
would otherwise be entitled to, but for the adoption of the Redevelopment Plan. Additionally, the agreement calls
for the Agency to receive a $1,000,000 payment from the tax increment disbursed to the County pursuant to the
agreement, by December 31, 2008, if and only if the Agency's annual debt statements which are filed with the
County Auditor-Controller from fiscal year 1993-94 to fiscal year 2008-09 list debts in an amount equal to or in
excess of the maximum tax increment available to the Agency in each of such fiscal years.
The second agreement is with the City of Moorpark Vector Control, formerly known as the Moorpark Mosquito
Abatement District and states that the City of Moorpark Vector Control shall receive 87.5 percent of its share
(1.53 percent) of annual tax increment revenue. The City of Moorpark Vector Control has agreed to contribute its
pro rata share of the Agency's required annual payment to the Agency.
The third agreement is with the Moorpark Unified School District (the School District), and states that the School
District shall receive, after the Agency has satisfied debt service payments to bond or note holders or to the holder
of any other instruments of Agency indebtedness (provided such indebtedness is not reasonably foreseeable to
impair the Agency's obligation under the agreement), the School District's share (33.41 percent) of tax increment
revenues generated by an annual 2 percent increase in assessed valuation, and beginning in fiscal year 1995-96,
14 percent of the School District's share of annual tax increment revenue.
The fourth agreement is with the Ventura County Community College District (the Community College District),
and states that the Community College District will receive, after the Agency has satisfied debt service payments
to bond or note holders or to the holders of any other instruments of Agency indebtedness (provided such
indebtedness is not reasonably foreseeable to impair the Agency's obligation under the agreement), the
Community College District's share (5.81 percent) of tax increment revenues generated by an annual 2 percent
increase in assessed valuation, and, beginning in fiscal year 1993-94, 14 percent of the Community College
District's share of annual tax increment revenue.
The fifth agreement is with the Ventura County Superintendent of Schools Office(the Superintendent), and states
that the Superintendent shall receive its share (2.49 percent) of tax increment revenues generated by an annual
2 percent increase in assessed valuation.
48
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#8—RETIREMENT PLAN
A. Plan Description
The City's defined benefit pension plan(the Plan)provides retirement and disability benefits, annual cost-of-
living adjustments, and death benefits to plan members and beneficiaries. The Plan is part of the Public
Agency portion of the California Public Employees Retirement System (Ca1PERS), and agent-multiple-
employer plan administered by Ca1PERS, which acts as a common investment and administrative agent for
participating public employers within the State of California. A menu of benefit provisions as well as other
requirements are established by State statutes within the Public Employees' Retirement Law. The City of
Moorpark selects optional benefits through local ordinance. Ca1PERS issues a separate comprehensive
annual financial report. Copies of Ca1PERS' annual financial report may be obtained from the Ca1PERS
Executive Office—400 P. Street, Sacramento, CA 95814.
All full-time City employees are eligible to participate in the Plan. Part-time employees appointed to a term
of one year or longer and who work an average of 20 hours per week are also eligible to participate. Other
part-time non-benefited hourly employees do not participate in the Plan. (Effective January 1, 1992, such
part-time employees participate in a defined deferred compensation program). Related benefits vest after five
years of service. Upon five years of service, employees who retire at or after age 50 are entitled to receive an
annual retirement benefit.
The benefit is payable monthly for life, in an amount that varies from 1.426 percent at age 50 to 2 percent at
age 55 to a maximum of 2.418 percent at age 63, of the employees' average of the three highest year's salary
for each year of credited service. The Plan also provides death and disability benefits.
B. Funding Policy
Active plan members in the Plan are required to contribute 7.00 percent of their covered salary. The City
makes the contribution required of City employees on their behalf. The City is also required to contribute the
actuarially determined remaining amounts necessary to fund the benefits for its members. The actuarial
methods and assumptions used are those adopted by the Ca1PERS Board of Administration. The required
employer contribution rate for the fiscal year ended June 30, 2003, was 1.102 percent. The contribution
requirements of the plan members are established by State statute and the employer contribution rate is
established and may be amended by Ca1PERS.
49
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#8—RETIREMENT PLAN, Continued
C. Annual Pension Cost
For the year ended June 30, 2003, the City's annual pension cost and its actual contributions were $31,456.
Also, contributions made directly from employees were zero, but on behalf of the employees the City
contributed a total of$224,046. The required contribution for the year ended June 30, 2002, was determined
as part of the June 30, 2001, actuarial valuation using the entry age normal actuarial cost method with the
contributions determined as a percent of pay. The actuarial assumptions included: (a) 8.25 percent investment
rate of return (net of administrative expenses); (b) projected salary increases that vary by duration of service
ranging from 3.75 percent to 14.20 percent for miscellaneous members: and; (c) zero percent cost-of-living
adjustment. Both (a) and (b) include an inflation component of 3.5 percent. The actuarial value of
Miscellaneous Plan's assets was determined using a technique that smoothes the effect of short-term volatility
in the market value of investments over a two to five year period depending on the size of investment gains
and/or losses. Miscellaneous Plan's unfunded actuarial accrued liability(or excess assets) is being amortized
as a level percentage of projected payroll on a closed basis. The remaining amortization period at June 30,
2001,was three years.
Three-Year Trend Information
Annual Pension Cost Percentage of APC Net Pension
Fiscal Year Ending (APC) Contributed Obligation
6/30/2001 $2,104 100% $0
6/30/2002 $0 100% $0
6/30/2003 $31,456 100% $0
Funded Status of the Plan
Entry Age Unfunded
Normal Actuarial (Overfunded) Annual UAAL As a
Accrued Value of Liability Funded Covered %of
Valuation Date Liability Assets _ (UAAL) Ratio Payroll Payroll
6/30/2000 $3,667,082 $5,053,792 ($1,386,710) 137.8% $2,291,864 (60.51)%
6/30/2001 $4,380,051 $5,444,425 ($1,064,374) 124.3% $2,756,860 (38.60)%
6/30/2002 $5,318,235 $5,366,749 ($48,514) 100.9% $3,057,091 (1.60)%
50
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#9—CONDUIT DEBT—REVENUE BONDS
The City sponsored a revenue bond program during the year ended June 30, 1985, under which $20,000,000 of
Single-Family Residential Mortgage Revenue Bonds were issued. The Single-Family Mortgage program is
designed to provide funds to acquire mortgage loans on single-family residences located in the City. These bonds
are secured by a pledge of all loans receivable advanced from the bond proceeds by the trustee, First Interstate
Bank of California, and are serviced from payments on the loans to the Trustee. During the year ended June 30,
1995, the outstanding mortgages in this program were sold, the proceeds were used to establish an irrevocable
trust to defease the bonds at April 1, 1995, and the program was discontinued.
The City Council, serving as the Industrial Development Authority of the City of Moorpark, issued$9,300,000 of
Industrial Revenue Bonds during the year ended June 30, 1986. The bonds were issued to finance the
development and construction of manufacturing facilities for the Kavlico Corporation. These bonds are secured
by a standby letter of credit issued by Bank of America. Bank of New York serves as the Trustee for these bonds.
The unpaid principal balance on such bonds is$6,795,000 at June 30, 2003.
The City of Moorpark Mobile Home Park Revenue Bonds (Villa Del Arroyo) Series 2000 A and the City of
Moorpark Mobile Home Park Subordinate Revenue Bonds (Villa Del Arroyo) Series 2000 B were issued in the
amounts of$12,740,000 and $2,635,000 respectively. Both issuances were dated May 19, 2000. The Series A
bonds were issued to fund a loan to Augusta Homes, a California non-profit public benefit corporation to finance
the acquisition of the Villa Del Arroyo Mobile Home Park. The Series B bonds were issued for the same purpose
but are subordinate to the Series A bonds. The total bonds outstanding at June 30,2003,total$14,840,000.
Each of the bond programs described above do not constitute an indebtedness of the City, and there is neither a
legal nor a moral obligation on the part of the City to make payments on such bonds from any source other than
the revenues and assets pledged therefore. The programs are completely administered by the Trustees without
any involvement by the City. Accordingly, these programs and the bonds issued thereunder have been excluded
from the accompanying basic financial statements.
NOTE#10—SPECIAL ASSESSMENT BONDS
A. Mission Bell Plaza AD 92-1
On April 1, 1994, the City sponsored the issuance of special assessment bonds to finance certain capital
improvements for the Mission Bell Plaza project. These bonds, totaling $2,595,000, of which $735,000 and
$1,475,000 mature in 2013 and 2023, respectively, were issued under the 1915 Improvement Bond Act and
are obligations against the properties in the assessment district. The special assessment, which is collected
with other property related taxes as part of the secured property tax bill for properties in the assessment
district, will be forwarded to an independent bank that serves as the paying agent. These bonds do not
constitute an indebtedness of the City, and the City is not liable for their repayment. Accordingly, these
special assessment bonds payable have been excluded from the accompanying basic financial statements. The
unpaid principal balance on such bonds is$1,810,000 at June 30, 2003.
51
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#10—SPECIAL ASSESSMENT BONDS, Continued
Seven properties in the assessment district, which had been zoned for commercial use prior to the City's
incorporation, are currently used for residential, commercial and agricultural purposes. At various times, the
City has advanced monies and contributed assessments on these properties from the Los Angeles Avenue
Area of Contribution Special Revenue Fund to the paying agent, which the paying agent has used to purchase
certain securities which have been placed in trust accounts to be used solely to provide for principal of and
interest on the seven properties' proportionate share of the bonds through maturity. Notes receivable, secured
by deeds of trust and various accounts receivable, have been established for these advances with interest
accruing at a variable rate equivalent to the rate at which the City earns on funds deposited in the State
Treasurer's Local Agency Investment Fund or 7 percent, whichever is less. Under the terms of the original
promissory notes, the notes and accrued interest are due at the earlier of (1) sale of the property, (2)
conversion of the property to a commercial use or(3)the maturity of the notes in March 2023. Subsequent to
June 30, 1998, the notes were amended and the repayment terms changed as follows: the notes and accrued
interest are due August 2029.
B. Community Facilities District No. 97-1
On July 1, 1997, the City issued bonds to finance the acquisition and construction of public improvements
within the City of Moorpark Community Facilities District No. 97-1. These bonds, totaling$7,645,000, were
issued pursuant to the Mello-Roos Community Facilities Act of 1982. The bonds mature on September 1,
2027 with interest payable at rates ranging from 4.4 percent to 6 percent per annum on March 1 and
September 1 of each year commencing March 1, 1998. The City is not liable under any circumstance for the
repayment of the debt, but is only acting as agent for the property owners in collecting the assessments and
special taxes, forwarding collections to fiscal agents to pay the bondholders and initiating foreclosure
proceedings, if appropriate. Accordingly, these bonds payable have been excluded from the accompanying
general-purpose financial statements. The unpaid principal balance is$7,180,000 at June 30, 2003.
NOTE#11—RISK MANAGEMENT
A. Description of Self-Insurance Pool Pursuant to Joint Powers Agreement
The City is a member of the California Joint Powers Insurance Authority (the Authority). The Authority is
composed of 91 California public entities and is organized under a joint powers agreement pursuant to
California Government Code 6500 et seq. The purpose of the Authority is to arrange and administer
programs for the pooling of self-insured losses, to purchase excess insurance or reinsurance, and to arrange
for group-purchased insurance for property and other coverages. The Authority's pool began covering claims
of its members in 1978. Each member government has an elected official as its representative on the Board of
Directors. The Board operates through a nine-member Executive Committee.
52
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#11 —RISK MANAGEMENT, Continued
B. Self-Insurance Programs of the Authority
General Liability: Each member government pays a primary deposit to cover estimated losses for a fiscal
year(claims year). Six months after the close of a fiscal year, outstanding claims are valued. A retrospective
deposit computation is then made for each open claims year. Costs are spread to members as follows: the first
$30,000 of each occurrence is charged directly to the member; costs from $30,001 to $750,000 are pooled
based on a member's share of costs under $30,000; costs from $700,001 to $5,000,000 are pooled based on
payroll. Costs of covered claims above$5,000,000 are currently paid by reinsurance. The protection for each
member is $50,000,000 per occurrence and$50,000,000 annual aggregate.
Workers' Compensation: The City also participates in the workers' compensation pool administered by the
Authority. Pool deposits and retrospective adjustments are valued in a manner similar to the General Liability
pool. The City of Moorpark is charged for the first $25,000 of each claim. Costs are pooled above that level
to $50,000. Costs from $50,001 to $100,000 per claim are pooled based on the member's losses under its
retention level. Costs between $100,001 and $2,000,000 per claim are pooled based on payroll. Costs
between $2,000,000 and $50,000,000 are paid by excess insurance purchased by the Authority. Cost in
excess of$50,000,000 are pooled by the members based on payroll.
C. Purchased Insurance
Property Insurance
The City of Moorpark participates in the all-risk property protection program of the Authority. This
insurance protection is underwritten by several insurance companies. The City of Moorpark property is
currently insured according to a schedule of covered property submitted by the City of Moorpark to the
Authority. Total all-risk property insurance coverage is $23,613,330. There is a $5,000 per loss deductible.
Premiums for the coverage are paid annually and are not subject to retroactive adjustments.
Earthquake and Flood Insurance
The City of Moorpark purchased earthquake and flood insurance on a portion of its property. The earthquake
insurance is part of the property protection insurance program of the Authority. The City of Moorpark
property currently has earthquake protection in the amount of $12,289,012. There is a deductible of
five percent of the value with a minimum deduction of $100,000. Premiums for the coverage are paid
annually and are not subject to retroactive adjustments.
D. Adequacy of Protection
During the past three fiscal (claims) years none of the above programs of protection have had settlements or
judgments that exceeded pooled or insured coverage. There have been no significant reductions in pooled or
insured liability coverage from coverage in the prior year.
53
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#12—CLASSIFICATIONS OF NET ASSETS AND FUND BALANCE
In the Government-wide financial statements; net assets are classified in the following categories:
Invested in Capital Assets
This category groups all capital assets, including infrastructure, into one component of net assets. Accumulated
depreciation on these assets reduces this category.
Restricted Net Assets
This category presents external restrictions imposed by creditors, grantors, contributions, or laws and regulations
of other governments and restrictions imposed by law through constitutional provisions or enabling legislation.
Unrestricted Net Assets
This category represents the net assets of the City that are not externally restricted for any project or other
purpose.
In the Fund Financial Statements, the City has established"reserves"to segregate portions of fund balance which
are not appropriable for expenditure in future periods, or which are legally set aside for a specific future use.
Fund"designations"also are established to indicate tentative plans for fmancial resource utilization of unreserved
fund balance in a future period.
The City's governmental funds reserves and designations at June 30, 2003, are presented below, followed by
explanations of the nature and purpose of each reserve and designation.
Redevelopment Redevelopment
Agency Agency Non-Major
Capital Projects Debt Service Governmental
Fund Fund Funds
Reserved:
Debt service $ 1,393,239
Land held for resale $ 990,662 $ 821,075
Housing set-aside _ 1,173,089
Total Reserved $ 990,662 $ 1,393,239 $ 1,994,164
Unreserved, designated:
Future projects $ 1,635,285
54
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#12—CLASSIFICATIONS OF NET ASSETS AND FUND BALANCE, Continued
A. Reserved for Debt Service
These funds are reserved for restricted debt proceeds.
B. Reserved for Land Held for Resale
These funds are reserved for land purchased by the City to be sold or otherwise used for the development of
the Redevelopment Agency Project Areas.
C. Reserved for Housing Set-Aside
These funds are for the development of low and moderate-income housing.
D. Unreserved,Designated for Future Projects
These funds have been designated for future capital projects.
NOTE#13—CHANGE IN ACCOUNTING PRINCIPLE
In accordance with the GASB Statement No. 34 implementation, the City recorded an adjustment in the
governmental funds during the year ended June 30, 2003. Long-term receivables were previously recorded in the
Low/Mod Housing Special Revenue Fund and the Capital Project Fund. Because only current financial resources
should be recorded in governmental funds, the beginning balance of these receivables have been removed from
these funds.
The following is a schedule of the effect on beginning fund balance:
Redevelopment
Low/Mod Areas of Agency
Housing Contribution Capital
Special Revenue Special Revenue Projects
Fund Balance at the Beginning of the Year $ 3,581,138 $ 7,583,360 $ 14,252,277
Change in Accounting Principle (911,237) (133,670) (3,274,576)
Restated Fund Balance at the Beginning of the Year $ 2,669,901 $ 7,449,690 $ 10,977,701
55
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30,2003
NOTE#14—EXPENDITURES IN EXCESS OF APPROPRIATIONS
The following fund had expenditures in excess of the budget in the following amount for the year ended June 30,
2003:
Redevelopment Agency Debt Service Fund $ 304,821
NOTE#15—COMMITMENTS AND CONTINGENCIES
A. Commitments
The City has contracts with the County of Ventura for various services, most notably law enforcement. These
service contracts are renegotiated annually and cancelable by the City or the County on May 31 of each year
after 30 days notice has been given. The aggregate of these and other various contractual commitments total
of$3,661,442 for the year ended June 30, 2003.
B. Contingencies
There are certain legal actions pending against the City which management considers incident to normal
operations, some of which seek substantial monetary damages. In the opinion of management, after
consultation with counsel, the ultimate resolution of such actions is not expected to have a significant effect
on the financial position or the results of operations of the City.
The City has received State and Federal funds for specific purposes that are subject to review by the grantor
agencies. Although, such audits could generate expenditure disallowances under the terms of the grants, it is
believed that any disallowed amounts will not be material.
56
SUPPLEMENTARY SCHEDULES
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CITY OF MOORPARK
JUNE 30,2003
MAJOR FUND BUDGETARY COMPARISON SCHEDULES
Budgetary comparison statements are presented as part of the basic financial statements for the General Fund and
all Major Special Revenue Funds as provided for by GASB Statement No. 34. The budgetary comparison
schedules for the remaining major funds are presented to aid in additional analysis and are not a required part of
the basic financial statements.
57
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
REDEVELOPMENT AGENCY CAPITAL PROJECTS FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 437,469 $ 437,469 $ 608,120 $ 170,651
Other revenue 9,829 9,829
Total Revenues 437,469 437,469 617,949 180,480
EXPENDITURES
Current:
Public services 1,241,143 1,241,143 901,403 339,740
Capital outlay 1,168,453 2,634,160 804,084 1,830,076
Total Expenditures 2,409,596 3,875,303 1,705,487 2,169,816
Excess (Deficiency) of Revenues
Over Expenditures (1,972,127) (3,437,834) (1,087,538) 2,350,296
OTHER FINANCING SOURCES (USES)
Transfers in 1,165,053 1,165,053
Transfers out (451,439) (438,589) 12,850
Total Other Financing Sources(Uses) (451,439) 726,464 1,177,903
Net Change in Fund Balances (1,972,127) (3,889,273) (361,074) 3,528,199
Fund Balance, Beginning of Year,as restated 10,977,701 10,977,701 10,977,701
Fund Balance, End of Year $ 9,005,574 $ 7,088,428 $10,616,627 $ 3,528,199
58
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
REDEVELOPMENT AGENCY DEBT SERVICE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes $2,813,200 $2,813,200 $3,577,050 $ 763,850
Use of money and property 150,000 150,000 117,425 (32,575)
Total Revenues 2,963,200 2,963,200 3,694,475 731,275
EXPENDITURES
Current:
Public services 772,736 772,736 1,182,196 (409,460)
Debt service:
Principal 365,000 365,000 365,000
Interest 1,149,554 1,149,554 1,044,915 104,639
Total Expenditures 2,287,290 2,287,290 2,592,111 (304,821)
Excess (Deficiency)of Revenues
Over Expenditures 675,910 675,910 1,102,364 1,036,096
OTHER FINANCING SOURCES (USES)
Transfers in 152,225 152,225 152,225
Transfers out (562,640) (562,640) (1,882,162) (1,319,522)
Total Other Financing Sources(Uses) (410,415) (410,415) (1,729,937) (1,319,522)
Net Change in Fund Balances 265,495 265,495 (627,573) (893,068)
Fund Balance,Beginning of Year 1,922,877 1,922,877 1,922,877
Fund Balance,End of Year $2,188,372 $2,188,372 $1,295,304 $ (893,068)
59
CITY OF MOORPARK
NON-MAJOR GOVERNMENTAL FUNDS
COMBINING BALANCE SHEET
JUNE 30,2003
Special Revenue Funds
Low and
Moderate
Traffic Affordable Assessment State Gas Income
ASSETS Safety Housing District Tax Housing
Cash and investments $ 388,483 $ 711,149 $ 1,718,110 $ 1,207,589 $ 1,513,521
Receivables:
Taxes 17,682
Accounts 30,536 52,680 861 11,358
Interest 2,660
Land held for resale 821,075
Total Assets $ 419,019 $ 711,149 $ 1,788,472 $ 1,208,450 $2,348,614
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable and accrued liabilities $ 3,346 $ 145,863 $ 28,283 $ 7,209
Due to other funds 64,638
Deferred revenue $ 21,734 7,324
Total Liabilities 3,346 21,734 153,187 28,283 71,847
FUND BALANCES
Reserved for:
Land held for resale 821,075
Housing set-aside 1,173,089
Unreserved,reported in:
Special revenue funds 415,673 689,415 1,635,285 1,180,167 282,603
Capital projects funds
Total Fund Balances 415,673 689,415 1,635,285 1,180,167 2,276,767
Total Liabilities and
Fund Balances $ 419,019 $ 711,149 $ 1,788,472 $ 1,208,450 $2,348,614
60
Special Revenue Funds Capital Projects Funds
Total
Local Non-major
Transportation Solid City Hall Police Facilities Equipment Governmental
Transit Waste Building Fee Fund Replacement Funds
$ 796,814 $ 623,528 $ 1,280,733 $ 393,252 $ 8,633,179
17,682
$ 227,811 20,116 343,362
2,660
821,075
$ 227,811 $ 816,930 $ 623,528 $ 1,280,733 $ 393,252 $ 9,817,958
$ 24,295 $ 45,503 $ 123,494 $ 1,602 $ 379,595
63,009 127,647
140,507 169,565
227,811 45,503 123,494 1,602 676,807
821,075
1,173,089
771,427 4,974,570
$ 623,528 1,157,239 391,650 2,172,417
771,427 623,528 1,157,239 391,650 9,141,151
$ 227,811 $ 816,930 $ 623,528 $ 1,280,733 $ 393,252 $ 9,817,958
61
CITY OF MOORPARK
NON-MAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30,2003
Special Revenue Funds
Low and
Moderate
Traffic Affordable Assessment State Gas Income
Safety Housing District Tax Housing
REVENUES
Taxes
Licenses and permits
Fines and forfeitures $ 173,813
Use of money and property 7,431 $ 14,002 $ 25,257 $ 29,050 $ 121,927
Charges for services 1,583
Intergovernmental 624,221
Maintenance assessments 1,975,440
Utility franchise fees
Other revenue 41,469 890 104 804
Total Revenues 181,244 55,471 2,003,170 653,375 122,731
EXPENDITURES
Current:
Public safety 105,667
Public services 80,313 873,676 662,244 1,026,719
Parks and recreation 876,110
Capital outlay 27,899 43,239
Total Expenditures 105,667 80,313 1,777,685 705,483 1,026,719
Excess(Deficiency)of Revenues
Over(Under)Expenditures 75,577 (24,842) 225,485 (52,108) (903,988)
OTHER FINANCING SOURCES(USES)
Transfers in 533,623 717,109
Transfers out (251,494) (67,054) (206,255)
Total Other Financing Sources(Uses) 282,129 (67,054) 510,854
Net Change in Fund Balances 75,577 (24,842) 507,614 (119,162) (393,134)
Fund Balances,Beginning of Year,as restated 340,096 714,257 1,127,671 1,299,329 2,669,901
Fund Balances,End of Year $ 415,673 $ 689,415 $ 1,635,285 $ 1,180,167 $2,276,767
62
Special Revenue Funds Capital Projects
Total
Local Non-Major
Transportation Solid City Hall Police Equipment Governmental
Transit Waste Building Facilities Fee Replacement Funds
$ 173,813
$ 16,609 $ 13,084 $ 27,937 $ 9,160 264,457
$ 30,555 32,138
385,412 10,149 1,019,782
331,562 2,307,002
232,324 232,324
43,267
415,967 259,082 13,084 359,499 9,160 4,072,783
105,667
205,715 2,848,667
339,344 1,215,454
5,144 4,500 472,226 68,654 621,662
344,488 205,715 4,500 472,226 68,654 4,791,450
71,479 53,367 8,584 (112,727) (59,494) (718,667)
1,250,732
(71,479) (46,644) (642,926)
(71,479) (46,644) 607,806
6,723 8,584 (112,727) (59,494) (110,861)
764,704 614,944 1,269,966 451,144 9,252,012
$ 771,427 $ 623,528 $ 1,157,239 $ 391,650 $ 9,141,151
63
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
TRAFFIC SAFETY SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Fines and forfeitures $ 120,000 $ 120,000 $ 173,813 $ 53,813
Use of money and property 9,143 9,143 7,431 (1,712)
Total Revenues 129,143 129,143 181,244 52,101
EXPENDITURES
Current:
Public safety 126,193 127,090 105,667 21,423
Total Expenditures 126,193 127,090 105,667 21,423
Net Change in Fund Balances 2,950 2,053 75,577 73,524
Fund Balance,Beginning of Year 340,096 340,096 340,096
Fund Balance, End of Year $ 343,046 $ 342,149 $415,673 $ 73,524
64
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
AFFORDABLE HOUSING SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 25,373 $ 25,373 $ 14,002 $ (11,371)
Other revenue 41,469 41,469
Total Revenues 25,373 25,373 55,471 30,098
EXPENDITURES
Current:
Public services 114,141 114,141 80,313 33,828
Total Expenditures 114,141 114,141 80,313 33,828
Net Change in Fund Balances (88,768) (88,768) (24,842) 63,926
Fund Balance,Beginning of Year 714,257 714,257 714,257
Fund Balance, End of Year $ 625,489 $ 625,489 $ 689,415 $ 63,926
65
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
ASSESSMENT DISTRICT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 34,389 $ 34,389 $ 25,257 $ (9,132)
Charges for services 2,000 2,000 1,583 (417)
Maintenance assessments 1,950,839 1,958,717 1,975,440 16,723
Other revenue 1,000 1,000 890 (110)
Total Revenues 1,988,228 1,996,106 2,003,170 7,064
EXPENDITURES
Current:
Public services 1,172,290 1,437,036 873,676 563,360
Parks and recreation 1,202,066 1,030,583 876,110 154,473
Capital outlay 25,000 25,000 27,899 (2,899)
Total Expenditures 2,399,356 2,492,619 1,777,685 714,934
Excess(Deficiency) of Revenues
Over Expenditures (411,128) (496,513) 225,485 721,998
OTHER FINANCING SOURCES (USES)
Transfers in 699,766 778,006 533,623 (244,383)
Transfers out (251,494) (251,494) (251,494)
Total Other Financing Sources(Uses) 448,272 526,512 282,129 (244,383)
Net Change in Fund Balances 37,144 29,999 507,614 477,615
Fund Balance,Beginning of Year 1,127,671 1,127,671 1,127,671
Fund Balance, End of Year $1,164,815 $1,157,670 $1,635,285 $ 477,615
66
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
STATE GAS TAX SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 44,029 $ 44,029 $ 29,050 $ (14,979)
Intergovernmental 558,000 558,000 624,221 66,221
Other revenue 104 104
Total Revenues 602,029 602,029 653,375 51,346
EXPENDITURES
Current:
Public services 779,454 962,108 662,244 299,864
Capital outlay 32,530 32,530 43,239 (10,709)
Total Expenditures 811,984 994,638 705,483 289,155
Excess (Deficiency)of Revenues
Over Expenditures (209,955) (392,609) (52,108) 340,501
OTHER FINANCING SOURCES(USES)
Transfers out (67,054) (67,054) (67,054)
Total Other Financing Sources (Uses) (67,054) (67,054) (67,054)
Net Change in Fund Balances (277,009) (459,663) (119,162) 340,501
Fund Balance,Beginning of Year 1,299,329 1,299,329 1,299,329
Fund Balance,End of Year $1,022,320 $ 839,666 $1,180,167 $ 340,501
67
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
LOW AND MODERATE INCOME HOUSING SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 174,000 $ 174,000 $ 121,927 $ (52,073)
Other revenue 804 804
Total Revenues 174,000 174,000 122,731 (51,269)
EXPENDITURES •
Current:
Public services 2,383,050 3,154,185 1,026,719 2,127,466
Total Expenditures 2,383,050 3,154,185 1,026,719 2,127,466
Excess(Deficiency)of Revenues
Over Expenditures (2,209,050) (2,980,185) (903,988) 2,076,197
OTHER FINANCING SOURCES (USES)
Transfers in 562,640 562,640 717,109 154,469
Transfers out (152,225) (206,255) (206,255)
Total Other Financing Sources (Uses) 410,415 356,385 510,854 154,469
Net Change in Fund Balances (1,798,635) (2,623,800) (393,134) 2,230,666
Fund Balance, Beginning of Year, as restated 2,669,901 2,669,901 2,669,901
Fund Balance, End of Year $ 871,266 $ 46,101 $2,276,767 $ 2,230,666
68
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
LOCAL TRANSPORTATION TRANSIT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Charges for services $ 27,400 $ 27,400 $ 30,555 $ 3,155
Intergovernmental 486,521 488,061 385,412 (102,649)
Total Revenues 513,921 515,461 415,967 (99,494)
EXPENDITURES
Current:
Parks and recreation 414,174 381,212 339,344 41,868
Capital outlay 99,747 99,747 5,144 94,603
Total Expenditures 513,921 480,959 344,488 136,471
Excess (Deficiency) of Revenues
Over Expenditures 34,502 71,479 36,977
OTHER FINANCING SOURCES (USES)
Transfers out (71,479) (71,479)
Total Other Financing Sources(Uses) (71,479) (71,479)
Net Change in Fund Balances (36,977) 36,977
Fund Balance, Beginning of Year
Fund Balance, End of Year $ (36,977) $ 36,977
69
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
SOLD)WASTE SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
_ Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 20,916 $ 20,916 $ 16,609 $ (4,307)
Intergovernmental 23,384 23,384 10,149 (13,235)
Utility franchise fees 215,450 215,450 232,324 16,874
Total Revenues 259,750 259,750 259,082 (668)
EXPENDITURES
Current:
Public services 198,282 228,452 205,715 22,737
Total Expenditures 198,282 228,452 205,715 22,737
Excess(Deficiency) of Revenues
Over Expenditures 61,468 31,298 53,367 22,069
OTHER FINANCING SOURCES (USES)
Transfers out (46,644) (46,644) (46,644)
Total Other Financing Sources (Uses) (46,644) (46,644) (46,644)
Net Change in Fund Balances 14,824 (15,346) 6,723 22,069
Fund Balance,Beginning of Year 764,704 764,704 764,704
Fund Balance,End of Year $ 779,528 $ 749,358 $ 771,427 $ 22,069
70
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
CITY HALL BUILDING CAPITAL PROJECTS FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 17,852 $ 17,852 $ 13,084 $ (4,768)
Total Revenues 17,852 17,852 13,084 (4,768)
EXPENDITURES
Capital outlay 620,000 620,000 4,500 615,500
Total Expenditures 620,000 620,000 4,500 615,500
Net Change in Fund Balances (602,148) (602,148) 8,584 610,732
Fund Balance,Beginning of Year 614,944 614,944 614,944
Fund Balance, End of Year $ 12,796 $ 12,796 $ 623,528 $ 610,732
71
CITY OF MOORPARK
SCHEDULE OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
POLICE FACILITIES FEE CAPITAL PROJECTS FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 42,246 $ 42,246 $ 27,937 $ (14,309)
Maintenance assessments 355,977 355,977 331,562 (24,415)
Total Revenues 398,223 398,223 359,499 (38,724)
EXPENDITURES
Capital outlay 515,000 515,000 472,226 42,774
Total Expenditures 515,000 515,000 472,226 42,774
Net Change in Fund Balances (116,777) (116,777) (112,727) 4,050
Fund Balance,Beginning of Year 1,269,966 1,269,966 1,269,966
Fund Balance, End of Year $ 1,153,189 $ 1,153,189 $ 1,157,239 $ 4,050
72
CITY OF MOORPARK
SCHEDULE OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCE-BUDGET AND ACTUAL
EQUIPMENT REPLACEMENT CAPITAL PROJECTS FUND
FOR THE YEAR ENDED JUNE 30,2003
Variance with
Final Budget-
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 12,199 $ 12,199 $ 9,160 $ (3,039)
Total Revenues 12,199 12,199 9,160 (3,039)
EXPENDITURES
Capital outlay 58,200 81,076 68,654 12,422
Total Expenditures 58,200 81,076 68,654 12,422
Net Change in Fund Balances (46,001) (68,877) (59,494) 9,383
Fund Balance,Beginning of Year 451,144 451,144 451,144
Fund Balance,End of Year $ 405,143 $ 382,267 $ 391,650 $ 9,383
73
CITY OF MOORPARK
STATEMENT OF CHANGES IN NET ASSETS
AGENCY FUND
FOR THE YEAR ENDED JUNE 30,2003
Balance Balance
July 1, 2002 Additions Reductions June 30, 2003
ASSETS
Cash and investments $ 1,966,219 $ (15,091) $ 1,951,128
LIABILITIES
Accounts payable $ 227,731 (119,987) 107,744
Developer deposits 1,738,488 $ 104,896 1,843,384
Total Liabilities $ 1,966,219 $ 104,896 $ (119,987) $ 1,951,128
74
NOI DIS rIVDIZSIINIS
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CITY OF MOORPARK
REVENUES BY SOURCE
ALL GOVERNMENTAL FUND TYPES
LAST TEN FISCAL YEARS
Taxes and Licenses Revenue Use of
Fiscal Assessments Permits and From Other Maintenance Money and Other Total
Year (See Note I) Fees Agencies Assessments Property Revenue Revenue
1994 $ 3,902,251 $ 2,717,299 $ 1,966,343 $ 3,592,238 $ 1,356,679 $ 1,128,888 $ 14,663,698
1995 4,390,156 2,501,078 789,852 940,377 1,314,740 1,157,615 11,093,818
1996 4,282,265 2,672,673 1,021,458 2,991,121 2,320,057 1,746,631 15,034,205
1997 6,349,631 4,693,256 1,373,726 1,641,622 1,984,162 493,938 16,536,335
1998 4,879,322 4,587,138 1,170,287 1,630,996 1,988,731 623,362 14,879,836
1999 5,486,444 4,033,723 849,089 3,856,911 2,691,285 709,444 17,626,896
2000 6,099,037 4,377,998 4,325,305 3,197,752 2,384,356 946,795 21,331,243
2001 7,036,031 6,954,690 1,688,714 6,385,546 2,987,920 1,337,640 26,390,541
2002 7,162,650 6,352,828 2,102,594 5,076,057 2,208,850 2,191,685 25,094,664
2003 8,490,985 7,510,604 4,051,263 2,955,340 2,027,190 1,414,161 26,449,543
Governmental Fund types include General Fund and all Special Revenue, Debt Service, and Capital Project
Funds.
NOTE 1: 1991 was the first year the Redevelopment Agency received tax increment. In 1992, the County of
Ventura impounded tax increment for the Redevelopment Agency and then released it in 1993.
Source: City of Moorpark
75
CITY OF MOORPARK
EXPENDITURES BY FUNCTION
ALL GOVERNMENTAL FUND TYPES
LAST TEN FISCAL YEARS
Fiscal General Public Public Parks and Capital Debt
Year Government Safety Services Recreation Outlay Service Total
1994 $ 1,502,504 $ 2,417,915 $ 2,913,513 $ 989,482 $ 9,218,073 $ 554,029 $ 17,595,516
1995 1,332,372 2,518,495 2,457,737 1,175,997 2,342,077 1,694,708 11,521,386
1996 1,530,824 2,618,063 2,533,477 1,263,862 5,740,952 2,582,130 16,269,308
1997 1,386,598 2,807,382 3,960,313 1,336,029 3,452,115 1,125,199 14,067,636
1998 1,631,787 3,026,724 3,599,360 1,381,058 1,081,814 1,268,704 11,989,447
1999 1,993,878 3,102,834 3,148,264 1,385,376 1,965,474 4,156,354 15,752,180
2000 1,168,049 3,476,781 5,070,009 1,383,146 5,355,271 3,564,305 20,017,561
2001 1,601,638 3,830,253 5,035,651 1,851,648 6,888,258 2,767,770 21,975,218
2002 1,809,125 3,905,096 6,962,490 1,921,588 4,789,732 1,125,529 20,513,560
2003 2,048,658 4,127,670 8,745,681 2,063,428 3,596,982 1,409,915 21,992,334
Governmental Fund Types include General Fund and all Special Revenue, Debt Service, and Capital Projects
Funds.
Source: City of Moorpark
76
CITY OF MOORPARK
ASSESSED VALUE OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
Total
Fiscal Net Secured Net Unsecured Net Assessed Percent Homeowner's
Year Roll Roll Roll Change Exemptions
1994 $ 1,673,307,475 $ 57,005,483 $ 1,730,312,958 -0.1% $ 33,943,139
1995 1,732,877,452 56,810,214 1,789,687,666 3.4% 36,000,192
1996 1,784,220,963 63,819,253 1,848,040,216 3.3% 37,421,267
1997 1,848,655,764 68,944,812 1,917,600,576 3.8% 38,289,239
1998 1,920,177,164 70,911,851 1,991,089,015 3.8% 39,313,581
1999 2,035,487,530 85,464,519 2,120,952,049 10.6% 40,240,720
2000 2,149,505,500 84,834,286 2,234,339,786 12.2% 40,687,060
2001 2,421,104,221 92,634,149 2,513,738,370 18.5% 40,786,802
2002 2,549,782,519 94,204,773 2,643,987,292 18.3% 41,025,922
2003 2,823,727,286 120,175,258 2,943,902,544 17.1% 42,238,926
Source: Ventura County Assessor
77
CITY OF MOORPARK
SECURED TAX CHARGE AND DELINQUENCIES
MOST RECENT TEN YEAR HISTORY
Amount Percent
Fiscal Secured Delinquent Delinquent
Year Tax Charge June 30 June 30
1994 $ 1,014,559 $ 47,974 4.7%
1995 1,071,364 36,880 3.4%
1996 1,109,404 26,390 2.4%
1997 1,158,953 24,705 2.1%
1998 1,191,918 21,807 1.8%
1999 1,374,741 25,687 1.9%
2000 1,410,082 25,054 1.8%
2001 1,573,688 67,292 4.3%
2002 1,832,673 29,778 1.6%
2003 2,036,839 27,584 1.4%
Source: California Municipal Statistics, Inc.
78
CITY OF MOORPARK
DIRECT AND OVERLAPPING BONDED DEBT
AS OF FISCAL YEAR 2002-2003*
2002-2003 Assessed Valuation: $2,986,920,215
Redevelopment Incremental Valuation: 338,488,141
Adjusted Assessed Valuation: $2,648,432,074
Percent Debt
Direct and Overlapping Tax and Assessment Debt: Applicable as of 6/30/03
Ventura County Flood Control District Zone No. 3 8.097% $ 23,886
Metropolitan Water District 2.340% 1,039,650
Ventura Community College District 4.312% 3,665,200
Conejo Valley Unified School District 0.025% 16,185
Moorpark Unified School District 91.733% 20,255,267
City of Moorpark 100.000% 0
City of Moorpark Community Facilities District No. 97-1 100.000% 7,180,000
City of Moorpark 1915 Act Bonds 100.000% 1,860,000
Total Direct and Overlapping Tax and Assessment Debt $ 34,040,188
Overlapping General Fund Obligation Debt:
Ventura County General Fund Obligations 4.311% $ 3,595,805
Ventura County Pension Obligations 4.311% 3,849,723
Ventura County Community College District COPS 4.312% 413,736
Ventura County Library District Authority 91.733% 4,288,518
Total Overlapping General Fund Obligation Debt $ 12,147,782
Combined Total Debt* $ 46,187,970
Ratios to 2002-2003 Assessed Valuation:
Direct Debt 0.00%
Total Direct and Overlapping Tax& Assessment Debt 1.14%
Ratio to Adjusted Assessed Valuation
Combined Total Debt 1.74%
State School Building Aid Repayable as of 6/30/03 0
* Excludes tax and revenue anticipation notes, revenue, mortgage revenue and tax allocation bonds, and non-
bonded capital lease obligations.
Source: California Municipal Statistics, Inc.
79
CITY OF MOORPARK
COMPUTATION OF LEGAL DEBT MARGIN AND
BREAKDOWN OF GENERAL PROPERTY TAX LEVY
Legal Debt Margin as of June 30,2003
Assessed Valuation:
Secured property assessed value: $ 2,823,727,286
Bonded Debt Limit(15%of Assessed Value) $ 423,559,093
Amount of Debt Subject to Debt Limit
Total Bonded Debt $ 20,100,000
Less CRA Tax Allocation Bonds 20,100,000
Amount of Debt Subject to Debt Limit: $ -
Breakdown of General Property Tax Levy
In accordance with the California State Constitution as amended by Proposition 13
in 1978,property taxes are limited to $1 per$100 of valuation unless additional
levies are approved by the general electorate. Most local public agencies receive
a share of the"General Levy" ($1 per$100 of valuation) in accordance with State
statutes. The following is a breakdown of the proportional shares of the"General Levy":
Moorpark Unified School District 33.50%
County of Ventura General Fund 17.20%
Fire Protection District 15.10%
E.R.A.F 93-94 Shift 8.77%
City of Moorpark 6.50%
Education Revenue Augmentation 5.50%
Ventura Community College 5.80%
Ventura Co. Superintendent of Schools 2.60%
County Library 1.67%
County Flood Zone#3 1.26%
Moorpark Mosquito Abatement 0.91%
Calleguas Municipal Water 0.90%
Ventura County Flood Control Admin 0.26%
Ventura College Child Care 0.03%
Total 100.00%
Source: City of Moorpark,Ventura County Assessor,and HdL Coren&Cone
80
CITY OF MOORPARK
CITY POPULATION
LAST TEN YEARS
Percent
Year Population Change
1994 27,170 1.7%
1995 27,099 -0.3%
1996 27,752 2.4%
1997 28,377 2.3%
1998 29,300 3.3%
1999 29,589 1.0%
2000 29,727 0.5%
2001 32,150 8.2%
2002 33,760 5.0%
2003 34,529 2.3%
Source: City of Moorpark and State Department of Finance
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CITY OF MOORPARK
BUILDING PERMIT VALUATION
LAST TEN FISCAL YEARS
Number Number
Fiscal Residential of Commercial of Total Permit
Year Valuation Permits Valuation Permits Valuation
1994 $ 26,189,940 250 $ 11,374,256 55 $ 37,564,196
1995 55,828,983 250 2,575,542 37 58,404,525
1996 45,807,776 443 6,869,232 65 52,677,008
1997 24,274,609 364 27,460,489 85 51,735,098
1998 6,331,779 258 18,950,107 131 25,281,886
1999 3,112,703 213 6,538,260 90 9,650,963
2000 45,298,666 386 9,786,014 59 55,084,680
2001 76,864,038 581 7,046,028 69 83,910,066
2002 76,284,366 667 4,058,411 101 80,342,777
2003 77,147,429 1,570 44,831,413 316 121,978,843
Source: City of Moorpark
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CITY OF MOORPARK.
LARGEST PROPERTY OWNERS
PER ASSESSED VALUATION 2003
Assessed
Value of
Property Owner Property
Autosafe Airbag Limited Partnership 76,407,060
Fred Kavli 39,004,642
Toll California Limited Partnership 35,651,094
Mission Bell Plaza 34,957,388
Security Capital Pacific Trust 32,357,698
Communities Archstone Trust 31,776,622
Laars Inc. 20,544,500
G S Partnership 18,635,928
Calabasas BCD Inc. 17,870,529
James Lessor Birkenshaw EL Al. 16,176,381
Source: Hdl Coren&Cone and Ventura County Assessor
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CITY OF MOORPARK
MISCELLANEOUS STATISTICS
Year of Incorporation: 1983 Parks and Recreation:
Number of Parks 15
Form of Government: Council-Manager Park Acreage 160 acres
General Law City
Most Recent Population Estimate: 34,529 Education(Number of Schools):
High Schools 3
Registered Voters: 15,365 Middle Schools 2
Elementary Schools 6
City Employees: 106
Number of Community Facilities:
Fire Protection: City Civic Buildings 1
Number of Stations: 2 Libraries 1
Number of Firefighters: 7 Community Centers 2
Senior Centers 1
Police Protection: Gym 1
Number of Stations: 1 Activity Rooms for Rentals 4
Number of Police Officers: 24
Number of Support Personnel: 2
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