HomeMy WebLinkAboutACFR 2006City of
MCCIVFAVIc
California
Comprehensive Annual Financial Report
for the Fiscal Year Ended June 30, 2006
On the cover.. .
Arroyo Vista Park located at 4550 Tierra Rejada Road (Top Left).
Villa Campesina Park located at Liberty Bell and James Weak Avenue (Top Right).
Country Trail Park located at 12301 Mountain Trail (Bottom Left).
Poindexter Park located at 500 Poindexter Avenue (Bottom Right).
The City of Moorpark currently maintains sixteen (16) park sites. The City is
responsible for maintaining the grounds, equipment and facilities of City parks;
coordinating the design and construction of park improvements; and planning future
parks. The parks are available to the community to reserve to host parties, special
events, and recreational activities and sports programs.
CITY OF MOORPARK,
CALIFORNIA
COMPREHENSIVE
ANNUAL FINANCIAL REPORT
For the Year Ended June 30, 2006
Prepared By:
Finance Department
INTRODUCTORY SECTION
CITY OF MOORPARK
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED JUNE 30, 2006
TABLE OF CONTENTS
INTRODUCTORY SECTION:
Table of Contents
Transmittal Letter iv
Directory of City Officials x
Organization Chart xi
CSMFO Certificate of Award for Outstanding Financial Reporting xii
FINANCIAL SECTION:
Independent Auditors' Report 1
Management's Discussion and Analysis 3
BASIC FINANCIAL STATEMENTS:
Government -Wide Financial Statements
Statement of Net Assets 15
Statement of Activities 16
Fund Financial Statements
Governmental Funds
Balance Sheet 17
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Assets 19
Statement of Revenues, Expenditures, and Changes in Fund Balances 20
Reconciliation of the Statement of Revenues, Expenditures, and Changes
in Fund Balances of Governmental Funds to the Statement of Activities 22
General Fund
Statement of Revenues, Expenditures, and Changes in Fund Balance
- Budget and Actual 23
Street and Traffic Safety Development Special Revenue Fund
Statement of Revenues, Expenditures, and Changes in Fund Balance
- Budget and Actual 24
Community Development Special Revenue Fund
Statement of Revenues, Expenditures, and Changes in Fund Balance
- Budget and Actual 25
Area of Contribution Special Revenue Fund
Statement of Revenues, Expenditures, and Changes in Fund Balance
- Budget and Actual 26
Endowment Special Revenue Fund
Statement of Revenues, Expenditures, and Changes in Fund Balance
- Budget and Actual 27
Park Improvement Special Revenue Fund
Statement of Revenues, Expenditures, and Changes in Fund Balance
- Budget and Actual 28
i
CITY OF MOORPARK
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED JUNE 30, 2006
TABLE OF CONTENTS (Continued)
Agency Fund
Statement of Fiduciary Net Assets
NOTES TO THE FINANCIAL STATEMENTS
REQUIRED SUPPLEMENTARY INFORMATION:
Schedule of Funding Progress
SUPPLEMENTARY SCHEDULES:
29
30
59
60
Major Fund Budgetary Comparison Schedules
Schedule of Revenues, Expenditures, and Changes in Fund Balances
- Budget and Actual
Police Facilities Fee Fund Capital Projects Fund 61
Redevelopment Agency Capital Projects Fund 62
Redevelopment Agency Debt Service Fund 63
Non -Major Governmental Funds
Combining Balance Sheet 66
Combining Statement of Revenues, Expenditures, and Changes
in Fund Balances 68
Schedule of Revenues, Expenditures, and Changes in Fund Balances
- Budget and Actual — Special Revenue Funds
Traffic Safety 70
Affordable Housing 71
Assessment District 72
State and Federal Assistance 73
State Gas Tax 74
Low and Moderate Income Housing 75
Local Transportation Transit 76
Solid Waste 77
Schedule of Revenues, Expenditures, and Changes in Fund Balances
- Budget and Actual — Capital Projects Funds
City Hall Building 78
Equipment Replacement 79
Agency Fund
Statement of Changes in Net Assets 80
ii
CITY OF MOORPARK
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED JUNE 30, 2006
TABLE OF CONTENTS (Continued)
STATISTICAL SECTION (Unaudited):
Net Assets By Component — Last Four Fiscal Years 81
Changes in Net Assets Governmental Activities — Last Four Fiscal Years 82
Fund Balances of Governmental Funds — Last Four Fiscal Years 83
Changes in Fund Balances of Governmental Funds — Last Four Fiscal Years 84
Assessed Value and Estimated Actual Value of Taxable Property — Last Nine Fiscal Years 85
Direct and Overlapping Property Tax Rates — Last Eight Fiscal Years 86
Principal Property Tax Payers — Current Year and Six Years Ago 87
Property Tax Levies and Collections — Last Ten Fiscal Years 88
Ratios of Outstanding Debt by Type — Last Eight Fiscal Years 89
Ratio of General Bonded Debt Outstanding — Last Eight Fiscal Years 90
Direct and Overlapping Debt 91
Legal Debt Margin Information — Last Eight Fiscal Years 92
Pledged Revenue Coverage — Last Six Fiscal Years 94
Demographic and Economic Statistics — Last Ten Calendar Years 95
Principal Employers — Current Year and Eight Years Ago 96
Full -Time and Part -Time City Employees by Function — Last Seven Fiscal Years 97
Operating Indicators by Function — Last Ten Fiscal Years 98
Capital Asset Statistics by Function — Last Eight Fiscal Years 99
iii
FINANCIAL SECTION
December 15, 2006
MOORPARK
799 Moorpark Avenue Moorpark, California 93021 (805) 517-6200
Honorable Mayor, Members of the City Council and Citizens of Moorpark:
We are pleased to present this Comprehensive Annual Financial Report (CAFR) of
the City of Moorpark, California for the fiscal year ended June 30, 2006. The City
has continued to prepare the CAFR to comply with the financial reporting model
developed by the Governmental Accounting Standards Board (GASB) Statement 34.
This model improves the financial reporting by adding significant additional
information not previously available in local government financial statements prior to
GASB 34.
As a result of GASB 34, the Government -Wide Financial Statements are presented
along with the fund -by -fund financial information. The Government -Wide Financial
Statements include a Statement of Net Assets that provides the total net equity of
the City including infrastructures and the Statement of Activities that shows the cost
of providing government services. These statements include all assets and liabilities
using the accrual basis of accounting (similar to a private -sector business) versus
the modified accrual method used in the fund financial statements. A reconciliation
of the balance sheet of the Governmental Funds to the Statement of Net Assets has
been prepared to reflect the changes between the two reporting methods. In
addition, the reporting model includes an emphasis on the City's major funds as
shown in the Governmental Fund Statements. These new statements and other
significant information are analyzed in the narrative section called Management's
Discussion and Analysis (MD&A). The MD&A provides "financial highlights" and a
brief overview of the basic financial statements. In addition, the MD&A provides the
readers of the City's financial statements with financial trends, explanation for
variances and economic factors for the upcoming fiscal year's budget.
Furthermore, in May 2004, the GASB issued Statement No. 44, Economic Condition
Reporting. This statement requires the statistical section to be presented with
detailed information, typically in ten-year trends, that assists users in utilizing the
basic financial statements, notes to basic financial statements, and required
supplementary information to assess the economic condition of a government. This
0
PATRICK HUNTER ROSEANN MIKOS CLINT D. HARPER KEITH F. MILLHOUSE JANICE S. PARVIN
Mayor Mayor Pro Tem Councilmember Councilmember Councilmember
statement is effective for fiscal year 2005-06 and has resulted in changes to the
statistical section. As such, the City has presented the statistical section with detail
information to be in compliance with GASB No. 44 requirements
Responsibility for both the accuracy of this data, and the completeness and fairness
of its presentation, including all disclosures, rests with the City. To the best of our
knowledge and belief, the enclosed data are accurate in all material respects and
are reported in a manner that presents fairly the account groups and the financial
position and operational results of the City's various funds and component units. All
disclosures necessary to enable the reader to gain an understanding of the City's
activities have been included.
THE REPORTING ENTITY AND ITS SERVICES
The financial reporting entity includes all the funds of the City of Moorpark as well as
all of its component units. The City of Moorpark is the primary government. The
component units are the Moorpark Redevelopment Agency (the RDA), the Moorpark
Public Financing Authority and the Moorpark Industrial Development Authority.
The City was incorporated in 1983 as a general law city and operates under a
Council -Manager form of government.
The RDA was formed in 1987 with the objective of providing long-term financing of
capital improvements designed to eliminate physical and economic blight in the
designated project area.
The Moorpark Public Financing 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 issuing debt and financing the construction of public
facilities.
The Industrial Development Authority of the City of Moorpark was formed in 1985
pursuant to the California Industrial Development Financing Act (the "Act"). Its
purpose is to finance the acquisition and development of certain industrial activities
as permitted by the Act and to issue bonds for the purpose of enabling industrial
firms to finance the cost of such activities.
PROFILE OF THE CITY OF MOORPARK
The City provides a full range of services to its residents with a total regular full-time
staff of about 55 and part-time staff of approximately 45 employees. Major services
such as police (contracted with Ventura County Sheriff), attorney, development
engineering and inspection, building and safety plan check/inspection, transit, street
sweeping and landscape maintenance are provided through contractual
arrangements. In addition, fire protection is provided by the Ventura County Fire
District. The City provides services such as emergency management,
v
redevelopment, housing, planning, code compliance, recreation programs,
vector/animal control, park and facilities maintenance, street maintenance, city
engineering, crossing guard and administrative management services with city
employees.
HISTORY OF THE CITY OF MOORPARK
In 1887, Robert W. Poindexter was granted title to the present site of Moorpark. He
named the City after the Moorpark apricot which grew throughout the valley.
Poindexter plotted Moorpark city streets and planted Pepper trees in the downtown
area. The City of Moorpark was incorporated in 1983 as the tenth city of Ventura
County with a Council -Manager form of government. The Mayor is elected at large
to serve a two-year term. The four Council Members are elected at large to serve
staggered four-year terms. The size of the City was 12.36 square miles with a
population of about 10,000 at incorporation and is currently at 12.44 square miles
with a population of about 35,801 (source: California Department of Finance).
Moorpark is recognized for having the lowest number of serious crimes committed in
Ventura County and is one of the safest cities of its size in the United States.
BUDGETARY CONTROL
The City of Moorpark prepares an annual budget consistent with Generally Accepted
Accounting Principles (GAAP) for all governmental funds on a modified accrual basis
where revenues are recognized when they become measurable and available to
finance expenditures of the current period. Expenditures are recorded when the
goods or services are received and the liabilities are incurred.
Department Directors are responsible, not only to accomplish his/her particular goals
within each program, but also to monitor budget allocations consistent to the funding
levels adopted by the City Council prior to July 1 of the budget year.
In addition, the City maintains budgetary control through the use of an encumbrance
accounting system. As purchase orders are issued, corresponding amounts are
encumbered for later payments to ensure that budget amounts are not over spent.
INTERNAL CONTROLS
The City's management is responsible for developing and establishing internal
control structure to ensure that the assets of the government are protected from
loss, theft, misuse and to ensure that adequate accounting data is compiled to allow
for the preparation of financial statements in conformity with Generally Accepted
Accounting Principles. The internal control structure is designed to provide
reasonable assurance, but not absolute, assurance that these objectives are met.
The concept of reasonable assurance recognizes that: 1) the cost of a control should
not exceed the benefits likely to be derived; and 2) the valuation of the costs and
benefits requires estimates and judgments by management.
vi
ANNUAL AUDIT
An independent accounting firm has performed the annual audit of the City's
financial statements for the fiscal year ended June 30, 2006. As part of the annual
audit, reviews are made to determine the adequacy of the City's internal control
structure, as well as to determine that the City has complied with certain provisions
of laws and regulations. Their examination has been completed and the auditor's
report on the City's financial statements is included at the beginning of the Financial
Section of this report.
AWARD
The California Society of Municipal Finance Officers (CSMFO) presented the City of
Moorpark with a Certificate of Award for Outstanding Financial Reporting for the
Comprehensive Annual Financial Report (CAFR) for the fiscal year ended June 30,
2005. The Certificate of Award is a prestigious state recognition for conformance
with high standards for preparation of local government financial reports. The
reports must meet requirements outlined in the CSMFO Awards Checklist, satisfying
generally accepted accounting principles and applicable legal requirements.
The Certificate of Award is valid for a period of one year only. The City will continue
to participate in the program by submitting the current CAFR to CSMFO to
determine its eligibility for another award.
APPROPRIATION LIMIT
Article XIIIB of Proposition 4, commonly referred to as the "Gann Initiative" was
approved by California voters in 1979, which placed limits on the amount of
proceeds of taxes that State and Local agencies can appropriate and spend each
fiscal year. In addition, voters approved Proposition 111 in 1990 to further increase
the accountability of local government in adopting their limits by requiring the
governing body to annually adopt, by resolution, an appropriation limit for the
upcoming fiscal year. The appropriation limit and the City's appropriations subject to
the limit for the fiscal year 2005-06 amounted to $18,904,696 and $8,061,610,
respectively.
CASH MANAGEMENT
The City Treasurer is responsible for investing cash temporarily idle during the year
in accordance with the State Government Code and the Investment Policy adopted
by the City Council. The City diversified its investment portfolio by utilizing several
investment instruments. At fiscal year end June 30, 2006, nearly $54 million (City &
RDA combined) was invested with the State Treasurer's Local Agency Investment
Fund (LAIF); approximately $6.6 million in the Ventura County Pool; approximately
vii
$20.8 million in U.S. Treasury and Agency Securities; and $1.6 million was invested
in Certificate of Deposits (CDs).
The cash management system of the City of Moorpark is designed to monitor
revenues and expenditures to ensure the investment of monies to the fullest extent
possible. The criteria for selecting investments and the order of priority are (a)
safety, (b) liquidity, and (c) yield. The underlying objective of the City's policy is to
obtain the highest interest rate yields and at the same time, ensures that money is
available when needed and all deposits are insured by the Federal Deposit
Insurance Corporation or collateralized.
CAPITAL ASSETS
In accordance with GASB Statement No. 34, the City has reported all capital assets
including infrastructures in the Government -Wide Statement of Net Assets. The City
elected to use the basic approach for all infrastructures reporting, whereby
depreciation expense and accumulated depreciation has been recorded. Capital
assets for the fiscal year ended June 30, 2006 has a net ending balance of $125.2
million.
LONG-TERM LIABILITIES/BONDED LIABILITIES
The City of Moorpark has no outstanding bond or other debt but does have long-
term liabilities in an amount of $530,217 at June 30, 2006 for employee
compensated absences (accrued leave).
The Moorpark Redevelopment Agency (MRA) has the 1999 Tax Allocation Bonds
and the 2001 Tax Allocation Bonds outstanding in an amount of $7.3 million and
$11.6 million, respectively. The purpose of the 1999 Bonds was to advance refund
the Agency's previously issued 1993 Tax Allocation Bonds. The purpose of these
bonds were to finance a portion of the costs of implementing the Redevelopment
Plan and fund redevelopment activities within the MRA project area.
RISK MANAGEMENT
The City is a member of the California Joint Powers Insurance Authority (CJPIA)
established under the provisions of California Government Code 6500 et seq.,
consisting of over 100 California public entities. The CJPIA provides risk coverage
for its members through the pooling of losses and purchased insurance. The
coverage extends to general liability and workers' compensation administered by the
Authority. In addition, the City of Moorpark also participates in the all-risk property
protection offered by the Authority. Various control techniques, including safety,
ergonomic, harassment and driver awareness training have been implemented to
minimize losses.
viii
ACKNOWLEDGEMENT
We would like to express appreciation to all City staff who assisted and contributed
to the preparation of this report, particularly to the members of the Finance
Department. We would also like to extend our appreciation to our auditors,
Vavrinek, Trine, Day & Co., LLP for their professional assistance. As in the past, the
CAFR will be available on the City's website at www.moorpark.ca.us.
Respectfully submitted,
/(
Steven Kueny
City Manager
ix
Johnny Ea
Finance Director
City of Moorpark
Comprehensive
Annual Financial Report
for the Fiscal Year Ended June 30, 2006
DIRECTORY OF CITY OFFICIALS
CITY COUNCIL
Patrick Hunter, Mayor
Roseann, Mayor pro Tem Clint D. Harper, Councilmember
Keith F. Millhouse, Councilmember Janice S. Parvin, Councilmember
CITY MANAGEMENT STAFF
Steven Kueny, City Manager
Hugh Riley, Assistant City Manager
Johnny Ea, Finance Director
Barry Hogan, Community Development Director
Yugal Lall, City Engineer/Public Works Director
Mary Lindley, Parks, Recreation & Community Services Director
Deborah Traffenstedt, Administrative Services Director
Planning Commission
r
City Attorney
(Contract)
1
Administrative Services
Department
. Human Resources
. Risk Management
. Public Records
. Elections
. Information Systems
CITY OF MOORPARK
ORGANIZATION CHART
Honorable City Council
City Manager
r
J
Police Services
(Contract)
1
Community Development
Department
. Planning
. Code Compliance
. Building & Safety
.CDBG
1
Parks, Recreation, and
Community Services
Department
. Parks/Landscape Maintenance
. Recreation
. Animal RegulationNector Control
. Transit
. Solid Waste
. Library
Parks & Recreation Commission
Assistant City Manager
1
Redevelopment
Economic Development
Property Management
Housing
. Intergovernmental
Community and
Legislative Relations
. Grants
. Emergency Services
. Public Information/Cable TV
Public Works
Department
. Street Maintenance
. Crossing Guards
. Parking Enforcement
. Assessment District
Street Lighting
. NPDES
. Capital Projects
J
Finance
Department
. Finance & Accounting
. Central Services
. Cash Management
. Fixed Assets Management
Cal(ornia Society of
44unicipal 3'inancc Officers
Certificate of Award
Outstanding Financial Reporting 2004-05
Presented to the
City of Mo o rpark
This certificate is issued in recognition of meeting professional standards and criteria in reporting
which reflect a high level of quality in the annual financial statements
and in the underlying accounting system from which the reports were prepared.
February 24, 2006
Bill Thomas, Chair
Professional & Technical Standards Committee
Dedicated to Excellence in Municipal Financial Management
This page left blank intentionally.
Vavrinek, Trine, Day & Co., LLP
Certified Public Accountants & Consultants
INDEPENDENT AUDITORS' REPORT
The Honorable Mayor and Members of City Council
The City of Moorpark, California
VALUE THE DIFFERENCE
We have audited the accompanying financial statements of the governmental activities, each major fund, and the
aggregate remaining fund information of the City of Moorpark, California (the City), as of June 30, 2006, which
collectively comprise the City of Moorpark's basic financial statements as listed in the table of contents. These
financial 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 fmancial 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 aggregate remaining fund information of the
City of Moorpark, California, as of June 30, 2006, and the respective changes in fmancial positions, thereof and
the respective budgetary comparisons for the General Fund and Major Special Revenue Funds 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 October 20, 2006, on
our consideration of the City of Moorpark's internal control over financial reporting and on our tests of its
compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The
purpose of that report is to describe the scope of our testing of internal control over financial reporting and
compliance and the results of that testing, and not to provide an opinion on the internal control over financial
reporting or on compliance. That report is an integral part of an audit performed in accordance with Government
Auditing Standards and should be considered in assessing the results of our audit.
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
The management's discussion and analysis on pages 3 through 14, is not a required part of the basic financial
statements, but is supplementary information required by accounting principles generally accepted in the United
States of America. We have applied certain limited procedures, which consisted principally of inquiries of
management regarding the methods of measurement and presentation of the required supplementary infonuiation.
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 introductory section, capital projects and debt service major
fund budgetary schedules, and combining individual non -major fund statements and schedules, and statistical
section as listed in the table of contents are presented for purpose of additional analysis and are not a required part
of the basic financial statements. The combining, capital projects and debt service major fund budgetary
schedules, individual non -major fund statements and 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. The introductory section and the statistical section
have not been subjected to the auditing procedures applied in the audit of the basic financial statements and,
accordingly, we express no opinion on them.
Rancho Cucamonga, California
October 20, 2006
'�! via.-►.� t► ;l,; ( ��- �. � LL %
2
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
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, 2006. It is encouraged that the readers consider the information presented here
in conjunction with the accompanying basic financial statements.
FINANCIAL HIGHLIGHTS
• The assets of the City exceeded its liabilities at the close of the 2005-06 fiscal year by $193,142,118 (net
assets). Of this amount, $26,965,428 is not restricted by external law or administrative action for a
specified purpose. The City Council's approval is required before these funds may be used to meet the
City's ongoing obligations to citizens and creditors.
• The City's total net assets increased by $20,562,078 during the current fiscal year. The Statement of Net
Assets is presented on page 15.
• As of June 30, 2006, the City's governmental funds (General Fund, Special Revenue Funds, Debt Service
Funds, and Capital Projects Funds) reported combined ending fund balances of $82,969,551 an increase
of $12,516,426 from the prior year.
• At the end of the current fiscal year, unreserved fund balance for the General Fund was $18,301,058.
• The City's total Long — Term Liabilities decreased by $388,745 or 2% during the current fiscal year. The
decrease is attributable to the difference between employee compensated absences addition and the fiscal
year's regularly scheduled debt service payments for the 1999 and 2001 Tax Allocation Bonds.
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
3) Notes to basic financial statements
Other required supplementary information is included in addition to the basic financial statements.
Government -Wide Financial Statements. The City has presented its financial statements under the reporting
model required by Governmental Accounting Standards Board Statement No. 34 (GASB 34) and its related
Statements, GASB 37, 38, and 41. These 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.
3
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
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, debt service, and interest on 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 (i.e., 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 Moorpark Redevelopment Agency, the Moorpark Public Financing Authority, and the
Industrial Development Authority of the City of Moorpark. 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 15 and 16 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.
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.
4
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
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, Street and Traffic Safety, Park Improvement, Community Development, Areas of
Contribution, Endowment, Police Facilities Fee, Moorpark Redevelopment Agency (MRA) — Capital Projects,
and Moorpark Redevelopment Agency (MRA) — Debt Service. 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 budget for all its funds. A budgetary comparison statement is provided for all 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 fmancial
statement can be found on page 29 of this report.
Notes to the Basic Financial Statements. The notes to the basic financial statements provide additional
information that is essential to a full understanding of the data provided in the government -wide and fund
financial statements. The notes to the basic financial statements can be found on pages 30-58 of this report.
GOVERNMENT -WIDE FINANCIAL ANALYSIS
The City has continued to present its financial statements under the new reporting model required by GASB 34.
A comparative analysis of the government -wide data has been 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 $193,142,118 at the close of the current fiscal year.
The City's, net assets invested in capital assets, net of related debt reflects a positive $108,190,324. As shown on
Table 1, the largest portion of the City's net assets (56%) is its investment in capital assets. The City uses these
capital assets to provide services to citizens; consequently, these assets are not available for future spending.
5
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
An additional portion of the City's net assets (30%) 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 (14%) 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, 2006, 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
Governmental Activities
As of June 30, 2006 and 2005
2006 2005
Assets:
Current and other assets $ 90,444,349 $ 79,167,278
Capital assets 125,196,438 117,401,785
Total Assets 215,640,787 196,569,063
Liabilities:
Long-term debt outstanding 19,410,217 19,385,107
Other liabilities 3,088,452 4,603,916
Total Liabilities 22,498,669 23,989,023
Net Assets:
Invested in capital assets,
net of related debt 108,190,324 99,760,671
Restricted 57,986,366 46,405,391
Unrestricted 26,965,428 26,413,978
Total Net Assets $ 193,142,118 $ 172,580,040
The City's net assets increased by $20,562,078 during the current fiscal year.
6
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
Table 2
Changes in Net Assets
Governmental Activities
As of June 30, 2006 and 2005
2006 2005
Revenues
Program Revenues:
Charges for services $ 7,241,878 $ 5,632,818
Operating contributions and grants 3,237,143 2,313,834
Capital contributions and grants 18,027,831 4,633,166
General Revenues:
Property taxes 2,929,842 2,655,093
Tax increment 5,530,198 3,901,779
Franchise taxes 1,080,893 955,829
Sales taxes 2,260,786 2,046,368
Sales tax in lieu 608,298 537,485
Motor vehicle in lieu tax 2,734,470 2,836,154
Investment income 3,261,384 1,725,579
Other 135,276 1,160,805
Gain on Sale of Property 48,339
Total Revenues 47,047,999 28,447,249
Expenses
General government 3,044,381 3,030,395
Public safety 6,230,057 5,709,323
Public services 13,106,843 9,844,050
Parks and recreation 2,771,270 2,304,852
Interest on long-term debt 1,333,370 978,843
Total Expenses 26,485,921 21,867,463
Increase in net assets 20,562,078 6,579,786
Net assets - July 1,
Total Net assets - June 30
7
172,580,040
$ 193,142,118
166,000,254
$ 172,580,040
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
Capital
contributions and
grants
64%
Program Revenues
Charges for
services
25%
Operating
contributions and
grants
11%
■ Charges for services
■ Operating contributions and grants
❑ Capital contributions and grants
General Revenues
Gain on Sale of
Other Property
Investment income 1% 0%
18%
Motor vehicle in
lieu tax
15%
Sales tax in lieu
3%
Property taxes
16%
Sales taxes
12%
■❑■■■❑❑■■
Franchise taxes
6%
Property taxes
Tax increment
Franchise taxes
Sales taxes
Sales tax in lieu
Motor vehicle in lieu tax
Investment income
Other
Gain on Sale of Property
Tax increment
29%
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
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.
As of the end of the current fiscal year, the City's governmental funds reported total fund balances of
$82,969,551. This is an increase of $12,516,426 in comparison with the prior year. Approximately $65,901,963
or 79% 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 total fund
balance of the General Fund was $21,244,411 which was $2,944,712 or 16% 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 195 % of total General Fund expenditures and
transfers out.
Key factors in this growth when compared to FY 2004-05 are as follows:
• The City's share of property taxes increased by approximately $275,000 as a result of the rise in home
values.
• Sales tax revenues also improved with an increase of approximately $107,000, which is a reflection of the
full occupancy of the Moorpark Marketplace, higher fuel prices and increased sales from various business
groups.
• Franchise Fees ended the year with a net increase of approximately $137,000.
• Interest earnings increased by approximately $409,000 in response to rising rates in the market.
• Expenditures ended the year approximately $1.5 million under budget as a result of prudent spending by
staff and capital projects that have not yet started.
Street and Traffic Safety Fund (Includes the Traffic System Management Fund, City -Wide Traffic
Mitigation Fund and Crossing Guard Fund)
The fund balance of the Street and Traffic Safety Fund increased by $4,265,583 from the prior year, primarily due
to the receipt of development fees for various construction projects.
9
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
Community Development Fund
The fund balance of the Community Development Fund increased by $374,774 from the prior year as a result of
increased residential and non-residential development as well as increased public improvement projects.
Areas of Contribution Fund
The fund balance of the Areas of Contribution Fund increased by $3,736,209 from the prior year, primarily due to
development fees received for the Los Angeles AOC and fees for the Tierra Rejada/Spring Road AOC.
Endowment Fund
The fund balance of the Endowment Fund decreased by $1,090,445 from the prior year, primarily due to the
construction of the Corporation Yard to serve Public Works and Parks Maintenance field operations. The facility
is expected to be completed by the end of January 2007.
Park Improvement Fund (Includes ten (10) various development fee related funds)
The fund balance of the Park Improvement Fund increased by $2,334,912 primarily due to savings from various
ongoing projects that have not yet been completed.
Police Facilities Fund
The fund balance of the Police Facilities Fund decreased by $517,741 from the prior year, primarily due to the
construction of the final phase of the new Police Services Center. The Police Department moved into the new
facility in November of 2005. The major funding source for this new facility is a loan from the Endowment Fund,
which currently has an outstanding balance of $7,641,592. In addition, reconciliation will be performed in
FY 2006-07 to determine total project costs and the amount the Police Facilities Fund is capable of repaying. The
amount of the loan will then be adjusted. Repayments will be made when the Police Facilities Fund collect fees
from future development projects.
RDA Capital Projects Fund
The fund balance of the Redevelopment Agency Capital Projects Fund decreased by $1,738,229 from the
previous year mainly due to the acquisition of the High Street Arts Center and the Moorpark Avenue Widening
project.
RDA Debt Service Fund
The fund balance of the Redevelopment Agency Debt Service Fund increased by $25,897 primarily resulting
from lower transfers to the RDA Operations Fund of tax increment revenue.
10
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
Non -Major Governmental Funds
The fund balance of all other Non -Major Governmental Funds (10 funds) increased by $2,180,754 or 21% from
the previous fiscal year. This increase is mainly a result of the receipt of development fees for affordable housing;
reimbursements for completed projects from ISTEA Federal Grants; and increased in tax increment revenue in the
Low and Moderate Income Housing Fund as a result of the rise in assessed property values.
General Fund Budgetary Highlights
The City adopts annual appropriated operating budgets for its governmental funds (General Fund, Special
Revenue Funds, Debt Service Funds, and Capital Project Funds) and reports the results of operation on a budget
comparison basis.
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 results of the General Fund for the year ended June 30, 2006, were more favorable than anticipated.
Revenues were $1.6 million over budget and expenditures and transfers out ended the year $1.5 million under
budget. The two largest savings came from General Government ($368,774) and Public Safety ($804,249).
Public Safety ended the year with a significant savings primarily due to the inability to staff the 84 -hour patrol car
that was added.
CAPITAL ASSET AND LONG-TERM LIABILITIES
Capital Assets. The City's investment in capital assets as of June 30, 2006, amounted to $125,196,438 (net of
accumulated depreciation). This investment, detailed in Table 3, includes land, construction in progress,
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 6.6%. Buildings and equipment shows a significant
increase in 2006 due to the completion of the Police Services Center and as such, the building has been
capitalized.
11
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
Table 3
Capital Assets (net of depreciation)
Governmental Activities
As of June 30, 2006 and 2005
2006 2005
Land $ 31,662,804 $ 30,841,687
Construction in Progress 12,125,310 14,718,377
Buildings and improvements 16,220,793 5,755,537
Machinery and equipment 1,780,306 858,531
Infrastructure 63,407,225 65,227,653
Total $ 125,196,438 $ 117,401,785
Some of the City's major capital asset purchases in the current fiscal year were:
• In the General Fund, the Public Information Division purchased various video/audio equipment for a total
cost of $147,233. In addition, the Administrative Services Department purchased two servers for a
combined cost of $30,504.
• The Traffic System Management Fund purchased a 2006 Hybrid vehicle for $25,991 for the City's
vehicle fleet.
• The Gas Tax Fund purchased a 2006 full size truck for $30,175 and a 2005 backhoe for $66,633 for
Public Works.
• The Equipment Replacement Fund purchased a 2006 motorcycle for $21,443 for the Police Department.
• The Local Transit Programs 8C Fund purchased two 2006 City buses for a combined total of $318,121.
As a result of the implementation of GASB No. 34, the City has continued to account 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 47 of this report.
Long-term Liabilities. At the end of the current fiscal year, the City's long-term liability outstanding is
$530,217 in employee compensated absences payable. The Redevelopment Agency's bonded liability is
comprised of $18,880,000 of tax allocation bonds which are secured by future tax revenues. This is shown in
Table 4.
12
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
Table 4
Outstanding Long -Term Liabilities
Governmental Activities
As of June 30, 2006 and 2005
2006 2005
Tax allocation bonds (issued by the
Redevelopment Agency) $ 18,880,000 $ 19,300,000
Employee Compensated Absences
Payable 530,217 498,962
Total $ 19,410,217 $ 19,798,962
The City of Moorpark's total liabilities decreased by $388,745 or 2.0% during the current fiscal year. The
decrease is attributable to the difference between long-term liabilities additions and the fiscal year's regularly
scheduled liabilities service payments.
Additional information on the City's long-term liabilities can be found in Note #6 on pages 48 and 49 of the basic
financial statements.
ECONOMIC FACTORS AND NEXT YEAR'S BUDGET
The State's "Triple Flip" payment plan remains in effect as the state attempts to repay the $15.0 billion deficit
reduction bonds. The impact to the City of Moorpark will be on cash flow and the subsequent reduction in
interest income due to biannual (catch-up payments) rather than monthly sales tax payments. In addition, the
State's budget for Fiscal Year 2006-07 includes funding for full repayment of Proposition 42 funds that were
borrowed in prior years.
General purpose revenues such as property tax and sales tax are anticipated to increase by 3% and 7%
respectively in fiscal year 2006-07. Four major commercial developments are anticipated to be completed in the
later part of FY 2006-07 and in early FY 2007-08, which would bring additional sales tax for the upcoming year
and future years ahead. These Developments include: The Village at Moorpark (131,745 sq. ft.), Campus Plaza
(72,285 sq. ft.), Warehouse Discount Center (132,500 sq. ft.) and Kylexa (18,342 sq. ft.).
13
CITY OF MOORPARK
MANAGEMENT'S DISCUSSION AND ANALYSIS
JUNE 30, 2006
Additionally, the City took into consideration the following factors in preparing the budget for fiscal year
2006-07:
• Interest income will show an increase in response to rising interest rates.
• Sales tax growth should continue to increase which is a reflection of the full occupancy of the Moorpark
Marketplace and generally having the same tenant mix in FY 2006-07 and occupancy of the other centers
referenced above for portions of the year.
• Slight decrease in PERS retirement cost from 11.783% to 11.728% effective July 1, 2006.
• Projections indicate our cost for general liability insurance will decrease by 36% and worker's
compensation is expected to decrease by 20% when compared to fiscal year 2005-06 actual payments.
A priority of the City is to maintain a high quality of services while adopting a balanced budget. As in prior
years, the 2006-07 budget as adopted by the City Council is a balanced budget and will serve as a guide in
planning for the future.
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 Finance
Department at City Hall, 799 Moorpark Avenue, Moorpark, CA 93021, or at www.ci.moomark.ca.us.
14
BASIC FINANCIAL STATEMENTS
GOVERNMENT -WIDE FINANCIAL STATEMENTS
CITY OF MOORPARK
STATEMENT OF NET ASSETS
JUNE 30, 2006
Governmental
Activities
ASSETS
Cash and investments $ 78,988,682
Receivables:
Taxes 548,416
Accounts 2,365,956
Interest 740,890
Notes and loans 4,532,490
Property held for resale/development 1,873,886
Restricted cash and investments 1,394,029
Capital assets:
Non -depreciable:
Land 31,662,804
Construction in progress 12,125,310
Depreciable, net of accumulated depreciation:
Buildings and improvements 16,220,794
Machinery and equipment 1,780,305
Infrastructure 63,407,225
Total Assets 215,640,787
LIABILITIES
Accounts payable and accrued liabilities 2,256,945
Interest payable 320,025
Deferred revenue 507,044
Deposits 4,438
Noncurrent liabilities:
Due within one year 440,000
Due in more than one year 18,970,217
Total Liabilities 22,498,669
NET ASSETS
Invested in capital assets, net of related debt 108,190,324
Restricted for:
Community development 47,420,370
Recreation services 5,372,931
Public safety 584,308
Debt service 1,394,029
Housing set-aside 3,214,728
Unrestricted 26,965,428
Total Net Assets $ 193,142,118
See accompanying notes to financial statements.
15
CITY OF MOORPARK
STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2006
Governmental Activities:
General government
Public safety
Public services
Parks and recreation
Interest on long-term debt
Charges for
Expenses Services
Program Revenues
Operating
Contributions
and Grants
$ 3,044,381 $ 2,201,590 $ 298,730
6,230,057 340,341 210,254
13,106,843 4,163,781 2,728,159
2,771,270 536,166
1,333,370
Capital
Contributions
and Grants
$ 5,375,814
8,824,532
3,827,485
Total Governmental Activities $ 26,485,921 $ 7,241,878 $ 3,237,143 $ 18,027,831
Net
Governmental
Activities
$ (544,061)
(303,648)
2,609,629
1,592,381
(1,333,370)
2,020,931
General Revenues:
Taxes:
Property tax, levied for general purpose 2,929,842
Property tax, Redevelopment Agency tax increment 5,530,198
Franchise tax 1,080,893
Sales tax 2,260,786
Sales tax in lieu 608,298
Motor vehicle in lieu tax 2,734,470
Investment income 3,261,384
Other 135,276
Total General Revenues 18,541,147
Change in Net Assets 20,562,078
Net Assets at Beginning of Year 172,580,040
Net Assets at End of Year $ 193,142,118
See accompanying notes to financial statements.
16
FUND FINANCIAL STATEMENTS
CITY OF MOORPARK
GOVERNMENTAL FUND
BALANCE SHEET
JUNE 30, 2006
Special Revenue
Street and Community Areas of
ASSETS General Traffic Safety Development Contribution
Cash and investments $ 17,606,051 $ 14,729,231 $ 1,364,215 $ 10,521,137
Restricted cash and investments
Receivables:
Taxes 544,097
Accounts 558,502 199 674,946
Interest 531,302
Notes and loans 5,060
Due from other funds 2,943,353
Property held for resale/development
Total Assets $ 22,188,365 $ 14,729,231 $ 1,364,414 $ 11,196,083
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable and accrued liabilities $ 663,083 $ 39,444 $ 571,141 $ 82,570
Due to other funds
Deferred revenue 280,871
Deposits, principally from developers
Total Liabilities 943,954 39,444 571,141 82,570
FUND BALANCES
Reserved for:
Debt service
Property held for resale/development
Interfund receivables 2,943,353
Housing set-aside
Unreserved, reported in:
General fund 18,301,058
Special revenue funds 14,689,787 793,273 11,113,513
Capital projects funds
Debt service fund
Total Fund Balances 21,244,411 14,689,787 793,273 11,113,513
Total Liabilities and
Fund Balances $ 22,188,365 $ 14,729,231 $ 1,364,414 $ 11,196,083
See accompanying notes to financial statements.
17
Debt
Special Revenue Capital Projects Service
Non -Major
Park Police Redevelopment Redevelopment Governmental
Endowment Improvement Facilities Fee Agency Agency Funds Totals
$ 5,336,483 $ 5,431,383 $ 8,971,290 $ 1,777,254 $ 13,251,638 $ 78,988,682
1,394,029 1,394,029
4,319 548,416
7,423 64,006 1,060,880 2,365,956
209,588 740,890
5,060
7,641,592 10,584,945
876,601 997,285 1,873,886
$12,978,075 $ 5,431,383 $ $ 10,064,902 $ 3,235,289 $ 15,314,122 $ 96,501,864
$ 402,596 $ 58,452 $ 74,859 $ 77,001
7,641,592 100,851 $ 2,162,685
402,596 58,452 7,716,451
7,641,592
177,852 2,162,685
876,601
1,394,029
$ 287,799 $ 2,256,945
679,817 10,584,945
405,114 685,985
4,438 4,438
1,377,168 13,532,313
1,394,029
997,285 1,873,886
10,584,945
3,214,728 3,214,728
18,301,058
4,933,887 5,372,931 8,832,626 45,736,017
(7,716,451) 9,010,449 892,315 2,186,313
(321,425) (321,425)
12,575,479 5,372,931 (7,716,451) 9,887,050 1,072,604 13,936,954 82,969,551
$12,978,075 $ 5,431,383 $ $ 10,064,902 $ 3,235,289 $ 15,314,122 $ 96,501,864
18
CITY OF MOORPARK
GOVERNMENTAL FUND
RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF NET ASSETS
JUNE 30, 2006
Fund Balances of Governmental Funds $ 82,969,551
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. 125,196,438
Long-term notes and loans receivable are not current financial resources and,
therefore, are not included in the governmental funds. 4,527,430
Revenues not received soon enough after year-end to be considered available are
deferred in the funds. The availability criteria does not apply to the government -
wide financial statements.
178,941
Interest expenditures are recognized when due, and therefore, interest payable
is not recorded in the governmental funds. (320,025)
Long-term liabilities are not due and payable in the current period and, therefore,
are not reported in the governmental funds. (19,410,217)
Net Assets of Governmental Activities $ 193,142,118
See accompanying notes to financial statements.
19
CITY OF MOORPARK
GOVERNMENTAL FUND
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2006
REVENUES
Taxes
Licenses and permits
Fines and forfeitures
Use of money and property
Charges for services
Intergovernmental
Maintenance assessments
Franchise fees
Building and safety fees
Planning and public works fees
Development fees
Other revenue
Total Revenues
EXPENDITURES
Current:
General government
Public safety
Public services
Parks and recreation
Capital outlay
Debt service:
Principal
Interest
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Proceeds from sale of property
Transfers out
Total Other Financing
Sources (Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
See accompanying notes to financial statements.
General
Special Revenue
Street and
Traffic Safety Community Areas of
Development Development Contribution
$ 6,700,878
72,365
174,068
942,659 $ 388,247
2,665,391
3,015,380
219,154
13,789,895
2,915,356
4,923,583
1,021,796
1,081,288
9,942,023
3,847,872
36,179
1,410
(940,749)
(903,160)
2,944,712
18,299,699
$ 21,244,411
20
$ 1,110,715
3,053,066
4,133,289
10,260 2,137
4,531,796 4,165,918
4,208
$ 334,676
5,624,274
48,241
6,007,191
98,822 3,786,936
167,391 2,270,982
266,213 3,791,144 2,270,982
4,265,583 374,774 3,736,209
4,265,583
10,424,204
$ 14,689,787
374,774 3,736,209
418,499 7,377,304
$ 793,273 $11,113,513
Debt
Special Revenue Capital Projects Service
Non -Major
Park Police Redevelopment Redevelopment Governmental
Endowment Improvement Facilities Fee Agency Agency Funds
Total
$ 5,530,198 $ 12,231,076
72,365
$ 166,273 340,341
$ 129,588 $ 151,826 $ 4,150 $ 600,127 276,946 433,165 3,261,384
2,665,391
3,286,813 6,302,193
356,592 1,489,150 1,845,742
283,162 283,162
1,110,715
3,053,066
2,428,014 2,398,154 984,616 15,568,347
585 1,454 2,818 112,925 397,574
2,558,187 2,551,434 360,742 602,945 5,807,144 6,756,104 47,131,356
2,919,564
1,287,878 6,211,461
1,446,160 2,399,396 2,462,296 11,215,406
1,462,918 2,544,206
3,642,378 186,597 878,483 1,673,055 1,219,553 10,038,439
420,000 15,910 435,910
1,229,383 21,971 1,251,354
3,642,378 186,597 878,483 3,119,215 4,048,779 6,470,526 34,616,340
(1,084,191) 2,364,837 (517,741) (2,516,270) 1,758,365 285,578 12,515,016
778,041 151,613 2,386,169 3,352,002
1,410
(6,254) (29,925) (1,884,081) (490,993) (3,352,002)
(6,254) (29,925) 778,041 (1,732,468) 1,895,176 1,410
(1,090,445) 2,334,912 (517,741) (1,738,229) 25,897 2,180,754 12,516,426
13,665,924 3,038,019 (7,198,710) 11,625,279 1,046,707 11,756,200 70,453,125
$ 12,575,479 $ 5,372,931 $ (7,716,451) $ 9,887,050 $ 1,072,604 $ 13,936,954 $ 82,969,551
21
CITY OF MOORPARK
GOVERNMENTAL FUND
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITES
FOR THE YEAR ENDED JUNE 30, 2006
Net Change in Fund Balances - Total Governmental Funds $ 12,516,426
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
Depreciation expense
Governmental funds report only proceeds from the sale of capital assets. The
Statement of Activities reports a gain or loss on disposal based on the net book
value at the time of disposal. Disposal activity inlcluded the following:
Cost of assets disposed
Accumulated depreciation on disposed assets
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.
Revenues not received soon enough after year-end to be considered available are
deferred in the funds. The availability criteria does not apply to the government -
wide financial statements.
10,155,263
(2,302,879)
(116,822)
59,091
(240,816)
178,941
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. 420,000
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. (82,016)
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.
Change in Net Assets of Governmental Activities
See accompanying notes to financial statements.
22
(25,110)
$ 20,562,078
CITY OF MOORPARK
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
FOR THE YEAR ENDED JUNE 30, 2006
REVENUES
Taxes
Licenses and permits
Fines and forfeitures
Use of money and property
Charges for services
Intergovernmental
Other revenue
Total Revenues
EXPENDITURES
Current:
General government
Public safety
Public services
Parks and recreation
Capital outlay
Total Expenditures
Excess of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Proceeds from sale of property
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
See accompanying notes to financial statements.
Budgeted Amounts
Original Final
$ 6,328,300
51,100
120,500
644,060
2,121,672
2,382,757
377,000
12,025,389
$ 6,328,300
51,100
120,500
669,060
2,367,172
2,415,894
229,500
Actual
Amounts
$ 6,700,878
72,365
174,068
942,659
2,665,391
3,015,380
219,154
12,181,526 13,789,895
3,284,230 3,284,230 2,915,356
5,647,575 5,727,832 4,923,583
807,413 1,13 5,980 1,021,796
1,199,973 1,199,973 1,081,2 88
69,000 99,004
11,008,191 11,447,019 9,942,023
1,017,198
734,507 3,847,872
15,000 15,000
(926,149) (926,149)
(911,149) (911,149)
106,049 (176,642)
16,762,781 18,299,699
$16,868,830 $18,123,057
23
36,179
1,410
(940,749)
(903,160)
2,944,712
18,299,699
$ 21,244,411
Variance with
Final Budget -
Positive
(Negative)
$ 372,578
21,265
53,568
273,599
298,219
599,486
(10,346)
1,608,369
368,874
804,249
114,184
118,685
99,004
1,504,996
3,113,365
21,179
1,410
(14,600)
6,579
3,121,354
$ 3,121,354
CITY OF MOORPARK
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES — BUDGET AND ACTUAL
STREET AND TRAFFIC SAFETY DEVELOPMENT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30, 2006
REVENUES
Use of money and property
Development fees
Other revenue
Total Revenues
EXPENDITURES
Current:
Public services
Capital outlay
Total Expenditures
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
See accompanying notes to financial statements.
Budgeted Amounts Actual
Original Final Amounts
$ 265,150
2,659,832
2,924,982
310,899
1,287,638
1,598,537
1,326,445
10,468,461
$ 265,150
2,659,832
10,260
2,935,242
432,323
1,153,480
1,585,803
1,349,439
10,424,204
Variance with
Final Budget -
Positive
(Negative)
$ 388,247 $ 123,097
4,133,289 1,473,457
10,260
4,531,796 1,596,554
98,822 333,501
167,391 986,089
266,213 1,319,590
4,265,583 2,916,144
10,424,204
$11,794,906 $11,773,643 $14,689,787 $ 2,916,144
24
CITY OF MOORPARK
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES — BUDGET AND ACTUAL
COMMUNITY DEVELOPMENT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30, 2006
REVENUES
Building and safety fees
Planning and public works fees
Other revenue
Total Revenues
EXPENDITURES
Current:
General government
Public services
Total Expenditures
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
See accompanying notes to financial statements.
Budgeted Amounts
Original Final
$ 712,594
2,784,663
1,000
3,498,257
1,905
3,584,517
3,586,422
(88,165)
406,229
$ 712,594
2,784,663
4,000
3,501,257
Actual
Amounts
$ 1,110,715
3,053,066
2,137
4,165,918
6,275 4,208
3,584,517 3,786,936
3,590,792 3,791,144
(89,535)
418,499 418,499
Variance with
Final Budget -
Positive
(Negative)
$ 398,121
268,403
(1,863)
664,661
2,067
(202,419)
(200,352)
374,774 464,309
$ 318,064 $ 328,964 $ 793,273 $ 464,309
25
CITY OF MOORPARK
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES — BUDGET AND ACTUAL
AREAS OF CONTRIBUTION SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30, 2006
REVENUES
Use of money and property
Development fees
Other revenue
Total Revenues
EXPENDITURES
Capital outlay
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
See accompanying notes to financial statements.
Budgeted Amounts
Original Final
$ 192,801 $
2,614,546
2,807,347
5,463,979
192,801
4,666,576
40,608
4,899,985
6,093,780
Actual
Amounts
$ 334,676
5,624,274
48,241
6,007,191
Variance with
Final Budget -
Positive
(Negative)
$ 141,875
957,698
7,633
1,107,206
2,270,982 3,822,798
(2,656,632) (1,193,795) 3,736,209
50,000
(50,000)
50,000
(50,000)
4,930,004
(50,000)
50,000
(2,656,632) (1,193,795) 3,736,209 4,930,004
7,506,261 7,377,304 7,377,304
$ 4,849,629 $ 6,183,509 $ 11,113,513 $ 4,930,004
26
CITY OF MOORPARK
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES — BUDGET AND ACTUAL
ENDOWMENT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30, 2006
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 270,365 $ 270,365 $ 129,588 $ (140,777)
Development fees 1,064,835 1,057,450 2,428,014 1,370,564
Other revenue 585 585
Total Revenues 1,335,200 1,327,815 2,558,187 1,230,372
EXPENDITURES
Capital outlay 3,896,546 6,848,555 3,642,378 3,206,177
Excess (Deficiency) of Revenues
Over (Under) Expenditures (2,561,346) (5,520,740) (1,084,191) 4,436,549
OTHER FINANCING SOURCES
Transfers out (197,567) (6,254) 6,254
Net Change in Fund Balance (2,758,913) (5,520,740) (1,090,445) 4,430,295
Fund Balance, Beginning of Year 3,948,966 13,665,924 13,665,924
Fund Balance, End of Year $ 1,190,053 $ 8,145,184 $12,575,479 $ 4,430,295
See accompanying notes to financial statements.
27
CITY OF MOORPARK
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES — BUDGET AND ACTUAL
PARK IMPROVEMENT SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30, 2006
REVENUES
Use of money and property
Development fees
Other revenue
Budgeted Amounts
Original Final
$ 88,379
950,348
Total Revenues 1,038,727
EXPENDITURES
Capital outlay
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING USES
Transfers out
Net Change in Fund Balances
Fund Balance, Beginning of Year
Fund Balance, End of Year
See accompanying notes to financial statements.
1,850,664
(811,937)
(811,937)
Actual
Amounts
$ 103,245 $ 151,826
1,310,468 2,398,154
1,454
1,413,713 2,551,434
1,925,691
Variance with
Final Budget -
Positive
(Negative)
$ 48,581
1,087,686
1,454
1,137,721
186,597 1,739,094
(511,978) 2,364,837 2,876,815
(29,925) (29,925)
(511,978) 2,334,912 2,846,890
3,178,048 3,038,019 3,038,019
$ 2,366,111 $ 2,526,041 $ 5,372,931 $ 2,846,890
28
CITY OF MOORPARK
STATEMENT OF FIDUCIARY NET ASSETS
AGENCY FUND
JUNE 30, 2006
ASSETS
Cash and investments $ 4,590,417
LIABILITIES
Accounts payable $ 290,510
Deposits 4,299,907
Total Liabilities $ 4,590,417
See accompanying notes to financial statements.
29
NOTES TO FINANCIAL STATEMENTS
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
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 financial reporting principles.
The following is a summary of the significant policies.
A. ReDortina Entity
The reporting entity "City of Moorpark" includes the accounts of the City, the Moorpark Redevelopment
Agency (the RDA), the Moorpark Public Financing Authority (the PFA), and the Industrial Development
Authority of the City of Moorpark (the IDA).
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 PFA 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 issuing debt and financing the construction of public
facilities.
The IDA was formed in 1985 pursuant to the California Industrial Development Financing Act (the Act). Its
purpose is to finance the acquisition and development of certain industrial activities as permitted by the Act
and to issue bonds for the purpose of enabling industrial firms to finance the cost of such activities.
The criteria used in determining the scope of the reporting entity are based on the provisions of GASB
Statement No. 14 (as amended by GASB Statement No. 39). 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, the PFA, and the IDA as "blended" component units. Despite being
legally separate, they 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 PFA and IDA are inactive. The following specific criteria
were used in determining that the RDA, the PFA, and the IDA are "blended" component units:
1) The members of the City Council also act as the governing body of the RDA, the PFA, and the IDA.
2) The City, the RDA, the PFA, and the IDA 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.
30
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
3) The RDA, the PFA, and the IDA are managed by employees of the City.
The financial statements for the RDA may be obtained at the City's administrative offices. The PFA and IDA
do not issue separate financial statements.
B. 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 over 100 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 coverage. 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 financial information of the Authority has not been reproduced in this report, but is
available from the Authority.
C. 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 Statement No. 42 - In November 2003, the GASB issued Statement No. 42, Accounting and
Financial Reporting for Impairment of Capital Assets and for Insurance Recoveries. This statement requires
governments to measure, recognize, and disclose the effects of capital asset impairments in their financial
statements when it occurs. This statement also clarifies and establishes accounting requirements for insurance
recoveries, including those associated with capital asset impairment. This statement is effective for fiscal year
2005-06 and did not have a significant impact on the financial statements.
GASB Statement No. 44 - In May 2004, the GASB issued Statement No. 44, Economic Condition
Reporting: The Statistical Section, and an amendment of NCGA Statement No. 1. This Statement amends
the portions of NCGA Statement 1, Governmental Accounting, and Financial Reporting Principles that guide
the preparation of the statistical section. The statistical section presents detailed information, typically in ten-
year trends, that assists users in utilizing the basic financial statements, notes to basic financial statements,
and required supplementary information to assess the economic condition of a government. This statement is
effective for fiscal year 2005-06 and has resulted in changes to the statistical section.
31
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
GASB Statement No. 46 - In December 2004, the GASB issued Statement No. 46, Net assets Restricted By
Enabling Legislation, an amendment of GASB No. 34. This statement clarifies that a legally enforceable
enabling legislation restriction is one that a party external to a government can compel a government to honor.
Accordingly, it clarifies the determination of restricted net assets within the statement of net assets. This
statement is effective for fiscal year 2005-06 and did not have a significant impact on the financial statements.
GASB Statement No. 47 - In June 2005, the GASB issued Statement No. 47, Accounting for Termination
Benefits. This statement establishes accounting standards for termination benefits. This statement is effective
for fiscal year 2005-06 and did not have a significant impact on the financial statements.
D. 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 Tvoes
• 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.
Fiduciary Fund Tvoe
• Agency Funds — Used to account for assets held by the City as an agent for individuals, private
organizations, other governments and/or other funds.
E. Basis of Accounting and 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.
32
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
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 financial 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. In addition, the City has
included funds that are significant to the City as major funds.
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.
33
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
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 Special Revenue Fund is used to account for fees used for street maintenance,
right-of-way acquisition and street construction.
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 Park Improvement Special Revenue Fund is used to account for State and County grants used for
acquisition of open space and park improvements.
The Police Facilities Fee Capital Projects Fund is used to account for the funds used to build the new police
facility.
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.
The City has presented all major funds as required by GASB Statement No. 34. In addition, the City has
presented the Community Development, Areas of Contribution, and Park Improvement Special Revenue
Funds as major based on their significance to the City as a whole.
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.
34
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
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.
F. 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 of $8,914,345. This increase resulted
primarily from rebudgeted projects and amounts carried over from Fiscal Year 2004-2005 as continuing
appropriations.
Under Article XIIIB 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, 2006, based on calculations by City
Management, proceeds of taxes did not exceed related appropriations.
G. 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
"Restricted cash and investments" and are stated at fair value, (see Note #2).
H. Property Held for Resale/Development
Property held for resale in the Low and Moderate Income Housing Special Revenue Fund and the Capital
Projects Fund represent land and buildings purchased by the Agency. Such property 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. The balance outstanding at June 30, 2006,
was $1,873,886. In addition, the Agency owns other properties totaling $5,504,481, which are classified as
capital assets, and as such, are not recorded in the fund.
35
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
I. 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
Vehicles, computers, and equipment
Infrastructure Assets
Roadway Network
Drain Network
Parks and Recreation Network
J. Deferred Revenue
25 to 50 years
3 to 20 years
7 to 100 years
20 to 100 years
50 years
Deferred revenue is recorded for monies collected in advance that have not been earned. In the fund financial
statements revenue is also deferred when the availability criteria has not been met. As of June 30, 2006, the
total unearned revenue amounted to $507,044 and unavailable revenue amounted to $178, 941.
K. Lon -Term Debt
In the government -wide financial statements, long-term debt and other long-term obligations are reported as
liabilities in the statement of net assets. Bonds payable are reported net of the applicable bond premium or
discount. Bond issuance costs are reported as deferred charges and amortized over the term of the related
debt. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as
well as bond issuance costs, during the current period. The face amounts of debt issuances are reported as
other financing sources. Issuance costs, whether or not withheld from the actual net proceeds received, are
reported as debt service expenditures.
36
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
L. Employee Compensated Absences
City employees may receive from 20 to 30 days vacation time or annual leave each year, depending upon
length of service. An employee may accumulate earned vacation time up to a maximum of 760 hours or
annual leave up to a maximum of 784 hours and admin leave up to a maximum of 120 hours, depending on
position. Upon termination, employees are paid the full value of their unused annual leave, administrative
leave, vacation time, and a portion of sick leave per management benefits resolution and City's MOA. There
is no fixed payment schedule for employee compensated absences. Employees receive vacation and sick
leave or annual leave, but not both categories.
M. 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 7.40% of the one 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.
N. Claims and Judements
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, 2006, 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.
37
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
O. 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.
P. New Pronouncements
Q.
GASB Statement No. 43 - In April 2004, the GASB issued Statement No. 43, Financial Reporting for
Postemployment Benefit Plans Other Than Pension Plans. This statement establishes accounting and
financial reporting standards for plans that provide postemployment benefits other than pension benefits
(known as other postemployment benefits or OPEB). This statement is not effective until June 30, 2007.
This statement is not expected to have a significant impact on the financial statements of the City.
GASB Statement No. 45 - In June 2004, the GASB issued Statement No. 45, Accounting and Financial
Reporting by Employers for Postemployment Benefits Other Than Pensions. This Statement establishes
standards for the measurement, recognition, and display of OPEB expense/expenditures and related liabilities
(assets), note disclosures, and, if applicable, required supplementary information (RSI) in the financial reports
of state and local governmental employers. This statement is not effective until June 30, 2008. The City has
not determined its effect on the financial statements.
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.
R. Use 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.
38
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #2 CASH AND INVESTMENTS
Cash and investments at June 30, 2006, consisted of the following:
City Treasury Deposits
Demand deposits $ 548,411
Cash on hand 1,100
Total City Treasury Deposits 549,511
City Treasury Investments
Certificates of Deposit 1,599,000
LAIF 53,946,924
Ventura County Pool 6,649,994
U.S. Treasury Obligations 5,922,900
U.S. Agency Securities 14,910,770
Total City Treasury Investments 83,029,588
Cash and Investments With Fiscal Ment
Money Markets 38,255
Guaranteed Investment Contracts 1,355,774
Total Cash and Investments With Fiscal Agent 1,394,029
Total Cash and Investments $ 84,973,128
Cash and investments are reported in the basic financial statements as follows:
Statement of Statement of
Net Assets Fiduciary Net Assets
Governmental
Activities Agency Fund Total
Cash and Investments $ 78,988,682 $ 4,590,417 $ 83,579,099
Restricted cash and investments 1,394,029 1,394,029
Total $ 80,382,711 $ 4,590,417 $ 84,973,128
The City follows the practice of pooling cash and investments of all funds, except for funds required to be
held by fiscal agents under the provisions of bond indentures. Interest income earned on pooled cash and
investments is allocated on a quarterly basis to the various funds based on average daily cash and investment
balances. Interest income from cash and investments with fiscal agents is credited directly to the related fund.
39
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #2 CASH AND INVESTMENTS, Continued
A. Authorized Investments
Investments Authorized by the California Government Code and the Citv's Investment Policy
The table below identifies the investment types that are authorized for the City by the California Government
Code (or the City's investment policy, where more restrictive). The table also identifies certain provisions of
the California Government Code (or the City's investment policy, where more restrictive) that address interest
rate risk, credit risk, and concentration of credit risk. This table does not address investments of debt
proceeds held by bond trustees that are governed by the provisions of debt agreements of the City, rather than
the general provisions of the California Government Code or the City's investment policy. As of June 30,
2006, the only debt agreements of the City pertain to the Moorpark Redevelopment Agency.
Maximum Maximum
Authorized Maximum Percentage Investment
Investment Type Maturity of Portfolio* in One Issuer
U.S. Treasury Obligations 5 years None None
U.S. Agency Securities 5 years None None
Banker's Acceptances 180 days 40% 30%
Commercial Paper 270 days 25% 10%
Negotiable Certificates of Deposit 5 years 30% None
Repurchase Agreements 1 year 20% None
Medium -Term Notes 5 years 30% None
Money Market Mutual Funds N/A 20% None
Mortgage Pass -Through Securities 5 years 20% None
County Pooled Investment Funds N/A None None
Local Agency Investment Fund (LAIF) N/A None None
CALTRUST Investment Pool N/A None None
* Excluding amounts held by bond trustees that are not subject to California Government Code restrictions.
The Policy, in addition to State statutes, establishes that funds on deposit in banks must be federally insured
or collateralized and investments shall (1) have maximum maturity not to exceed five years and (2) be
laddered and based on cash flow forecasts. The City's investments comply with the established policy.
40
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #2 CASH AND INVESTMENTS, Continued
Investments Authorized by Debt Agreements
Investments of debt proceeds held by bond trustees are governed by provisions of the debt agreements, rather
than the general provisions of the California Government Code or the City's investment policy. The table
below identifies the investment types that are authorized for investment held by bond trustees. The table also
identifies certain provisions of these debt agreements that address interest rate risk, credit risk, and
concentration of credit risk.
Authorized Investment Type Maximum Maturity
U.S. Treasury Obligations None
U.S. Agency Securities None
Banker's Acceptances 180 days
Commercial Paper 270 days
Money Market Mutual Funds N/A
Investment Contracts 30 years
B. Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an
investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to
changes in market interest rates. One of the ways that the City manages its exposure to interest rate risk is by
purchasing a combination of shorter term and longer term investments and by timing cash flows from
maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as
necessary to provide the cash flow and liquidity needed for operations.
Information about the sensitivity of the fair values of the City's investments to market interest rate
fluctuations is provided by the following table that shows the distribution of the City's investments by
maturity:
Investment Maturities (in Years)
Investment Type Less than 1 1 to 2 2 to 3 3 to 4 > 5
Local Agency Investment Fund $ 53,946,924 $ 53,946,924
Ventura County Pool 6,649,994 6,649,994
Certificates of Deposit 1,599,000 200,000 $ 1,399,000
U.S. Treasury Notes 5,922,900 5,922,900
FHLB 5,967,210 2,971,890 2,995,320
FNM 6,969,700 6,969,700
FHLM 1,973,860 1,973,860
Held by Bond Trustee:
Money Market Funds 38,255 38,255
Guaranteed Investment Contracts 1,355,774 $1,355,774
Total $ 84,423,617 $ 63,807,063 $19,260,780 $ $ $1,355,774
41
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #2 CASH AND INVESTMENTS, Continued
C. Credit Risk and Concentration of Credit Risk
Deposits
At June 30, 2006, the carrying amount of the City's deposits was $548,411. Bank balances before reconciling
items were $3,730,422 at June 30, 2006, of which $3,630,422 were collateralized with securities held by the
pledging financial institution's trust department but not in the City's name.
The California Government Code requires California banks and savings and loan associations to secure the
City's cash deposits by pledging securities as collateral. This Code states that collateral pledged in this
manner shall have the effect of perfecting a security interest in such collateral superior to those of a general
creditor.
According to California law, the market value of pledged securities with banking institutions must equal at
least 110% of the City's cash deposits. California law also allows institutions to serve City deposits by
pledging first trust deed mortgage notes having a value of 150% of the City's total cash deposits. The City
may waive collateral requirements for cash deposits, which are fully insured up to $100,000 by the Federal
Deposit Insurance Corporation. The City, however, has not waived the collateralization requirements.
Investments
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of
the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating
organization. Presented below is the minimum rating required by (where applicable) the California
Government Code and the actual rating as of year end for each investment type.
The California Government Code places limitations on the amount that can be invested in any one issuer (as
detailed above). Investments in any one issuer (other than U.S. Treasury securities, mutual funds, and
external investment pools) that represent 5% or more of total investments are as follows:
Credit Quality Distribution for Securities with Credit Exposure as a Percentage of Total Investments
Carrying Credit Percentage of
Investment Type Value Rating Investments
Local Agency Investment Fund $ 53,946,924 Not Rated 63.90%
Ventura County Pool 6,649,994 Not Rated 7.88%
Certificates of Deposit 1,599,000 Not Rated 1.89%
U.S. Treasury Notes 5,922,900 AAA 7.02%
FHLB 5,967,210 AAA 7.07%
FNM 6,969,700 AAA 8.26%
FHLM 1,973,860 AAA 2.34%
Held by Bond Trustee:
Money Market Funds 38,255 Not Rated 0.05%
Guaranteed Investment Contracts 1,355,774 Not Rated 1.61%
Total $ 84,423,617 100.00%
42
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #2 CASH AND INVESTMENTS, Continued
Investments in any one issuer that represent 5% or more of total investments by reporting unit (primary
government, governmental activities, major fund, non -major funds in the aggregate, etc.) are as follows:
$771,100 of the cash and investments (including amount held with bond trustee) reported in the
Redevelopment Agency Debt Service Fund (a major fund of the City) are held in the form of a
nonnegotiable unrated investment contract issued by Transamerica Occidental Life Insurance Company
that matures on October 1, 2018.
$584,674 of the cash and investments (including amount held with bond trustee) reported in the
Redevelopment Agency Debt Service Fund (a major fund of the City) are held in the form of a
nonnegotiable unrated investment contract issued by CDC that matures on October 1, 2031.
D. Local Aaencv Investment Fund (LAIF)
The LAIF is a special fund of the California State Treasury through which local governments may pool
investments. Each governmental agency may invest up to $40,000,000 in each account in the fund.
Investments in LAIF are highly liquid, as deposits can be converted to cash within twenty-four hours without
loss of interest or principal. The full faith and credit of the State of California secure investments in LAIF.
At June 30, 2006, accounts were maintained in the name of the City for $39,978,643 and the Redevelopment
Agency for $13,968,281. The total cost value of investments in LAIF was $53,946,924. The total fair value
of investments in LAIF was $53,849,054. The unrealized loss was based on a fair market value adjustment
factor of .998185821 that was calculated by the State of California Treasurer's Office. At June 30, 2006, the
market value of the State of California Pooled Money Investment Account (PMIA) including accrued interest
was $63,616,592,927. The State of California Pooled Money Investment Account portfolio had securities in
the form of structured notes totaling $225,000,000 and asset-backed securities totaling $1,400,919,000. The
PMIA has policies, goals, and objectives for the portfolio to make certain that the goals of safety, liquidity,
and yield are not jeopardized. These policies are formulated by investment staff and reviewed by both the
PMIB and LAIF Advisory Board on an annual basis. LAIF's and the City's exposure to credit, market, or
legal risk is not available.
E. The Ventura County Treasurer's Investment Pool
The City holds investments in the County Pool that are 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 the County
Pool. The City relied upon information provided by the County Treasurer in estimating the City's fair value
position of its holdings in the County Pool. The City had a contractual withdrawal value of $6,649,994 at
fiscal year end.
The Ventura County Treasurer's Investment Pool is a governmental investment pool managed and directed by
the elected Ventura County Treasurer. The County Pool is not registered with the Securities and Exchange
Commission. An oversight committee comprised of local government officials and various participants
provide oversight to the management of the fund. The daily operations and responsibilities of the Pool fall
under the auspices of the County Treasurer's office. The City is a voluntary participant in the investment
pool.
43
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #3 NOTES AND LOANS RECEIVABLE
Notes and loans receivable activity for the year ended June 30, 2006, are as follows:
Beginning Ending
Balance Increases Decreases Balance
Notes Receivable
Asadurian $ 1,200,000 $ (160,000) $ 1,040,000
Mission Bell 2,735,096 $ 21,396 (19,169) 2,737,323
Deferred Property Assessments 250,249 250,249
Total Notes Receivable 4,185,345 21,396 (179,169) 4,027,572
Loans Receivable
Employee Computer 2,286 7,780 (5,006) 5,060
Rehabilitation 47,550 47,550
First-time Homeowners Assistance 184,388 (65,284) 119,104
CalHome 350,963 86 (17,845) 333,204
Total Loans Receivable 585,187 7,866 (88,135) 504,918
Total Notes and Loans Receivable $ 4,770,532 $ 29,262 $ (267,304) $ 4,532,490
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 (LAIF).
The borrower shall pay to the City the amount of $80,000 plus interest over fifteen years. During fiscal year
2005-06 the City received the first two payments due under the note in the aggregate amount of $160,000.
The balance outstanding at June 30, 2006 was $1,040,000.
B. Mission Bell Note
On August 2, 1995, 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,
2029. In June 2004 the Agency, per a settlement agreement, discharged three of the remaining six of the
original seven promissory notes totaling $500,000. The balance of the remaining three notes outstanding at
June 30, 2006, was $2,737,323. Principal and interest payments are due annually on September 2nd
44
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #3 NOTES AND LOANS RECEIVABLE, Continued
C. 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 interest equivalent to the LAIF
variable rate not to exceed 7% 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, 2006,
the principal balance outstanding was $250,249.
D. Employee Computer Loans
The City operates an employee computer loan program. The City allows employees to buy computers and
make payments over 3 years. The balance outstanding at June 30, 2006, was $5,060.
E. 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, 2006, was
$47,550.
F. First -Time Homeowners Down -Payment Assistance Program and CalHome
The City operates a first-time homeowner's down -payment assistance program. The total balance outstanding
at June 30, 2006, was $119,104 for City assisted loans and $333,204 for CalHome assisted loans. The loans
are secured by a Deed of Trust and must be repaid upon sale or transfer of the property.
NOTE #4 INTERFUND TRANSACTIONS
Due To/Due From Other Funds
Due to/due from other funds for the year ending June 30, 2006, consisted of the following:
Due to the General Fund from:
Redevelopment Agency Capital Projects Fund $ 100,851
Redvelopment Agency Debt Service Fund 2,162,685
Non -Major Special Revenue Funds 679,817
Total Due to the General Fund $ 2,943,353
Due to the Endowment Special Revenue Fund from:
The Police Facilities Special Revenue Fund $ 7,641,592
45
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #4 INTERFUND TRANSACTIONS, Continued
The General Fund has advanced to the Redevelopment Agency and the State and Federal Assistance Fund
$2,943,353 to cover current expenditures. Repayment is expected during 2006-07.
The Endowment Fund has advanced to the Police Facilities Fee Fund $7,641,592 to fund Capital Improvements.
The advance is expected to be repaid with development fees to be collected in the future.
Interfund Transfers
Interfund transfers for the year ended June 30, 2006, consisted of the following:
General Fund
Redevelopment Agency
o Debt Service Fund
w Redevelopment Agency
g Capital Projects Fund
Non -Maj or
Governmental Funds
Total
Transfer From
Park Redevelopment
Improvement Endowment Agency Non -Major
General Special Revenue Special Revenue Debt Service Governmental
Fund Fund Fund Fund Funds
Total
$ 29,925 $ 6,254 $ 36,179
$ 151,613 151,613
$ 778,041 778,041
$ 940,749 1,106,040 339,380 2,386,169
$ 940,749 $ 29,925 $ 6,254 $ 1,884,081 $ 490,993 $ 3,352,002
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.
The Debt Service Fund transferred funds to the Low/Mod Housing Special Revenue Fund to meet the low and
moderate income housing 20% tax increment set-aside requirement.
The Low/Mod Housing Special Revenue Fund transferred funds to the Debt Service Fund to pay the 20% debt
service on bond issues. The Debt Service Fund transferred funds to the Capital Projects Fund to fund future
capital projects.
Interfund Loans
During the fiscal year 2003-04 the City's General Fund loaned the Agency's Debt Service Fund $5,000,000 for
capital projects which will eliminate blighted project areas. The loan bears interest at a rate equivalent to the City
investment in LAIF, plus one percent. In June 2005, the City renewed its loan to the Agency. The Agency repaid
the loan from the City, both principal and interest during 2005-06.
46
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
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, 2006.
Governmental Activities
Capital Assets,
Not Being Depreciated:
Land
Construction in Progress
Total Capital Asset
Not Being Depreciated
Capital Assets, Being Depreciated:
Buildings and improvements
Machinery and equipment
Infrastructure
Roadway system
Storm drainage system
Parks system
Total Capital Assets,
Being Depreciated
Less Accumulated Depreciation For:
Buildings and improvements
Machinery and equipment
Infrastructure
Roadway system
Storm drainage system
Parks system
Total Accumulated Depreciation
Total Capital Assets,
Being Depreciated, Net
Governmental Activities Capital
Assets, Net
Beginning
Balance
$ 30,841,687
14,718,377
45,560,064
Beginning
Balance
Adjustments as Restated Increases Decreases
8,653,064 $ (90,535)
1,625,119 546,327
86,842,701
1,619,399
156,727
98,897,010
(2,897,527)
(766,588)
(23,232,072)
(119,920)
(39,1 82)
(27,055,289)
71,841,721
Ending
Balance
$ 30,841,687 $ 821,117 $ 31,662,804
14,718,377 7,850,156 $ (10,443,223) 12,125,310
45,560,064 8,671,273 (10,443,223) 43,788,114
8,562,529 10,732,596 $ (73,606) 19,221,519
2,171,446 1,180,571 (25,699) 3,326,318
86,842,701 14,046 (17,517) 86,839,230
1,619,399 1,619,399
156,727 156,727
455,792 99,352,802 11,927,213 (116,822) 111,163,193
90,535 (2,806,992) (227,125) 33,392 (3,000,725)
(546,327) (1,312,915) (258,797) 25,699 (1,546,013)
(23,232,072) (1,797,628) (25,029,700)
(119,920) (16,194) (136,114)
(39,182) (3,135) (42,317)
(455,792) (27,511,081) (2,302,879) 59,091 (29,754,869)
71,841,721 9,624,334 (57,731) 81,408,324
$ 117,401,785 $ - $ 117,401,785 $ 18,295,607 $ (10,500,954) $ 125,196,438
Depreciation expense was charged to the governmental functions/programs.
General government
Public safety
Public service, including depreciation of general infrastructure assets
Parks and recreation
Total Depreciation Expense
47
$ 43,386
18,596
2,013,833
227,064
$ 2,302,879
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #6 LONG-TERM LIABILITIES
Long-term liability activities for the year ended June 30, 2006, are as follows:
1999 Tax Allocation Bonds $
2001 Tax Allocation Bonds
Employee Compensated Absences
A. 1999 Tax Allocation Bonds
Balance at
Beginning
of Year
7,700,000
11,600,000
498,962
19,798,962
Balance at Due Within
Additions Reductions End of Year One Year
$ (405,000) $ 7,295,000 $ 425,000
(15,000) 11,585,000 15,000
$ 31,255 530,217
$ 31,255 $ (420,000) $19,410,217 $ 440,000
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% to 4.875% 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
June 30
2007
2008
2009
2010
2011
2012-2016
2017-2019
Total
48
Tax Allocation Bonds
Principal Interest
$ 425,000
440,000
460,000
475,000
500,000
2,895,000
2,100,000
$ 7,295,000
$ 336,668
319,148
300,583
279,459
255,694
878,109
156,976
$ 2,526,636
Total
$ 761,668
759,148
760,583
754,459
755,694
3,773,109
2,256,976
$ 9,821,636
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
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% to 5.13% 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
June 30
2007
2008
2009
2010
2011
2012-2016
2017-2021
2022-2026
2027-2031
2032
Total
C. Employee Compensated Absences
Tax Allocation Bonds
Principal Interest
$ 15,000
15,000
15,000
20,000
15,000
90,000
1,370,000
3,895,000
4,995,000
1,155,000
$ 11,585,000
$ 590,308
589,761
589,176
588,469
587,743
2,927,414
2,841,265
2,094,718
961,579
29,597
$11,800,030
The long-term liability at June 30, 2006, is $530,217 for employee compensated absences.
current liability estimated. The General Fund is primarily expected to liquidate this liability.
49
Total
$ 605,308
604,761
604,176
608,469
602,743
3,017,414
4,211,265
5,989,718
5,956,579
1,184,597
$ 23,385,030
There is no
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
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 first agreement is 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% of the County Taxing Entities share (55.82%) 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 55.82% 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% of its share (1.53%)
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%) of tax increment
revenues generated by an annual two percent increase in assessed valuation, and beginning in fiscal year 1995-96,
14% of the School District's share of annual tax increment revenue. Additionally, the agreement calls for the
Agency to make a one-time $750,000 payment to the School District as a contribution to a new school district
maintenance facility. This payment was made by the Agency in August of 1999.
Per the agreement between the School District and the RDA of the City of Moorpark, the distributions to the
School District shall be expended for the following purposes at school sites in the incorporated boundaries of the
City:
1. Telephone systems for new buildings;
2. Computer hardware and educational systems;
3. Land acquisition;
4. Books; and
5. School buildings and facilities and related capital improvements and modernization projects (collectively
"public works"); such public works may include design, inspection and administration costs, but not
School District overhead or salary/benefits for regular School District employees.
The Agency may pre -approve other proposed expenditures that are submitted in writing by the School District.
50
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #7 AGREEMENTS WITH VARIOUS TAXING AGENCIES, Continued
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%) of tax increment revenues generated by an annual two percent
increase in assessed valuation, and, beginning in fiscal year 1993-94, 14% 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%) of tax increment revenues generated by an annual
two percent increase in assessed valuation.
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 and the City Council 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% at age 50 to 2% at age 55 to a
maximum of 2.418% 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.
51
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #8 RETIREMENT PLAN, Continued
B. Fundine Policy
Active plan members in the Plan are required to contribute 7.00% 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, 2006, was 11.783%. 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.
C. Annual Pension Cost
For the year ended June 30, 2006, the City's annual pension cost and its actual contributions were $426,533.
Also, contributions made directly from employees were zero, but on behalf of the employees the City
contributed a total of $276,541. The General Fund paid approximately 55% and other City funds paid
approximately 45% of the total PERS contributions. The required contribution for the year ended June 30,
2006, was determined as part of the June 30, 2003, actuarial valuation using the entry age normal actuarial
cost method with the contributions determined as a percent of pay. The actuarial assumptions included: (a)
7.75% investment rate of return (net of administrative expenses); (b) projected salary increases that vary by
duration of service ranging from 3.25% to 14.45% for miscellaneous members: and; (c) zero percent cost -of -
living adjustment. Both (a) and (b) include an inflation component of 3.0%. 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,
2006, was one year.
Three -Year Trend Information
Annual Pension Cost Percentage of APC Net Pension
Fiscal Year Ending (APC) Contributed Obligation
6/30/2004 $ 126,573 100% $0
6/30/2005 $ 279,434 100% $0
6/30/2006 $ 426,533 100% $0
52
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
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.
These bonds were completely repaid during 2005-06.
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, 2006, total $14,145,000.
The City of Moorpark Multifamily Housing Revenue Bonds (Vintage Crest Senior Apartment Project) 2002
Series A were issued in the amount of $16,000,000. The issuance was dated December 1, 2002. The Series A
Bonds were issued to fund a loan to Vintage Crest Senior Apartment L.P., a California Limited Partnership, to
finance the Vintage Crest Senior Housing Project. The bonds outstanding at June 30, 2006, totaled $15,850,088.
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.
53
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
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 $1,680,000 at June 30, 2006.
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% to 6% 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 $6,780,000 at June 30, 2006.
NOTE #11— RISK MANAGEMENT
A. Description of Self -Insurance Pool Pursuant to Joint Powers Aereement
The City is a member of the California Joint Powers Insurance Authority (the Authority). The Authority is
composed of over 100 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.
54
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #11 RISK MANAGEMENT, Continued
B. Self -Insurance Proerams 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 $50,001 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 of Moorpark also participates in the workers' compensation pool
administered by the Authority. Members retain the first $50,000 of each claim. Claims are pooled separately
between public safety and non-public safety. Loss development reserves are allocated by pool and by loss
layer ($0 - $100,000 allocated by retained amount and $100,000 to $2,000,000 by payroll). Losses from
$50,000 to $100,000 and the loss development reserve associated with losses up to $100,000 are pooled based
on the member's share of losses under $50,000. Losses from $100,000 to $2,000,000 are pooled based on
payroll. Costs in excess of $50,000,000 are pooled among the Members based on payroll. Administrative
expenses are paid from the Authority's investment earnings.
C. Purchased 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 $11,019,343. There is a $5,000 per loss deductible.
Premiums for the coverage are paid annually and are not subject to retroactive adjustments.
D. 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 $8,240,521. 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.
E. 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.
55
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
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 financial resource utilization of unreserved
fund balance in a future period.
The City's governmental funds reserves and designations at June 30, 2006, are presented below, followed by
explanations of the nature and purpose of each reserve and designation.
Reserved:
Debt service
Property held for resale/development
Interfund receivables
Housing set-aside
Total Reserved
Unreserved, designated:
Future projects
Redevelopment Redevelopment
Agency Agency Non -Major
General Endowment Capital Projects Debt Service Governmental
Fund Fund Fund Fund Funds
$ 1,394,029
$ 876,601 $ 997,285
$ 2,943,353 $ 7,641,592
3,214,728
$ 2,943,353 $ 7,641,592 $ 876,601 $ 1,394,029 $ 4,212,013
$ 9,253,940
56
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
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 Property Held for Resale/Development
These funds are reserved for property 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. Reserved for Interfund Receivables
These funds are reserved since the assets are not available for immediate appropriation.
E. Unreserved, Designated for Future Proiects
These funds have been designated for future capital projects.
F. Deficit Fund Balance
The following fund had a deficit at June 30, 2006:
Police Facilities Fee Capital Projects Fund
The deficit will be made up through future police facilities assessment fees.
NOTE #13 EXPENDITURES IN EXCESS OF APPROPRIATIONS
$ (7,716,451)
The following fund has expenditures in excess of the budget in the following amount for the year ended June 30,
2006:
Community Development Special Revenue Fund
Redevelopment Agency Debt Service Fund
$ 200,352
$ 907,803
The $200,352 of expenditures in excess of the budget in the Community Development Fund is mainly due to the
increase in building and safety activities. As such, revenue received for these activities also increased in the fund.
The variance in the RDA Debt Service Fund of $907,803 is mainly a result of the required tax increment pass-
through payments that were higher than budgeted reflecting the increase in property tax revenue received.
57
CITY OF MOORPARK
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2006
NOTE #14 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. These are based on an hourly rate and adjusted throughout the fiscal
year.
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.
58
REQUIRED SUPPLEMENTARY INFORMATION
CITY OF MOORPARK
SCHEDULE OF FUNDING PROGRESS
JUNE 30, 2006
Funded Status of the Plan
Valuation Date
6/30/2003
6/30/2004
6/30/2005
Entry Age
Normal Accrued
Liability
$2,596,966,545
$2,746,095,668
$2,891,460,651
Actuarial Value
of Assets
$2,372,879,034
$2,460,944,656
$2,588,713,000
New Risk Pool and Future Contributions
Unfunded
(Overfunded)
Liability
(UAAL)
$ 224,087,511
$ 285,151,012
$ 302,747,651
Annual UAAL As a
Funded Covered % of
Ratio Payroll Payroll
91A% $ 725,020,458 30.9%
89.6% $ 743,691,970 38.3%
89.5% $ 755,046,679 40.1%
As a result of having less than 100 active members as of June 30, 2003, the City was required to participate in a
risk pool. Mandated pooling is effective with the June 30, 2003 valuation which determines the contribution rate
for 2005-2006. The 2005-2006 is the first year under pooling, and therefore, the City's pooled employer
contribution rate is the same as the stand-alone employer contribution rate. This is because the difference
between the pool's normal cost and the stand-alone normal cost will be phased out over five years, beginning with
2006-2007. For 2005-2006, 100 percent of the difference between the pool's normal costs and the stand-alone
normal cost is reflected in the development of the City's pooled employer contribution rate. For 2006-2007, only
80 percent of the difference will be reflected; for 2007-2008, 60 percent will be reflected, and so on, until it is
fully subject to the pool's normal costs for 2010-2011 and beyond.
59
SUPPLEMENTARY SCHEDULES
CITY OF MOORPARK
JUNE 30, 2006
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.
60
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, 2006
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 4,150 $ 4,150
Maintenance assessments $ 245,555 $ 245,555 356,592 111,037
Total Revenues 245,555 245,555 360,742 115,187
EXPENDITURES
Capital outlay 1,473,231 878,483 594,748
Total Expenditures 1,473,231 878,483 594,748
Net Change in Fund Balance 245,555 (1,227,676) (517,741) 709,935
Fund Balance, Beginning of Year (245,555) (7,198,710) (7,198,710)
Fund Balance, End of Year $ - $ (8,426,386) $ (7,716,451) $ 709,935
61
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, 2006
REVENUES
Use of money and property
Other revenue
Total Revenues
EXPENDITURES
Current:
Public services
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 488,507 $ 488,507 $ 600,127 $ 111,620
32,122 2,818 (29,304)
488,507 520,629 602,945 82,316
1,086,041 2,690,595 1,446,160 1,244,435
1,740,228 2,188,000 1,673,055 514,945
2,826,269 4,878,595 3,119,215 1,759,380
(2,337,762) (4,357,966) (2,516,270) 1,841,696
OTHER FINANCING SOURCES
Transfers in 1,010,827 1,010,827 778,041 (232,786)
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
(1,326,935) (3,347,139) (1,738,229) 1,608,910
11,444,082 11,625,279 11,625,279
$10,117,147 $ 8,278,140 $ 9,887,050 $ 1,608,910
62
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, 2006
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes $ 3,908,000 $ 3,967,658 $5,530,198 $ 1,562,540
Use of money and property 199,499 199,499 276,946 77,447
Total Revenues 4,107,499 4,167,157 5,807,144 1,639,987
EXPENDITURES
Current:
Public services 1,614,000 1,614,000 2,399,396 (785,396)
Debt service:
Principal 425,000 425,000 420,000 5,000
Interest 1,101,976 1,101,976 1,229,383 (127,407)
Total Expenditures 3,140,976 3,140,976 4,048,779 (907,803)
Excess of Revenues
Over (Under) Expenditures 966,523 1,026,181 1,758,365 732,184
OTHER FINANCING SOURCES (USES)
Transfers in 151,613 151,613 151,613
Transfers out (1,780,427) (1,780,427) (1,884,081) (103,654)
Total Other Financing Sources (Uses) (1,628,814) (1,628,814) (1,732,468) (103,654)
Net Change in Fund Balance (662,291) (602,633) 25,897 628,530
Fund Balance, Beginning of Year 679,716 1,046,707 1,046,707
Fund Balance, End of Year $ 17,425 $ 444,074 $ 1,072,604 $ 628,530
63
CITY OF MOORPARK
JUNE 30, 2006
NON -MAJOR GOVERNMENTAL FUNDS
Special Revenues Fund Descriptions
Traffic Safety Fund
The Traffic Safety Fund is used to account for revenues collected from traffic fines and forfeitures, which is used
for crossing guards and parking enforcement.
Affordable Housing Fund (City)
The Affordable Housing Fund is used to account for grants used for development of affordable housing units.
Assessment District Fund
The Assessment District Fund is used to account for funds received by the City for maintenance of community-
wide landscaping.
State and Federal Assistance Fund
The State and Federal Assistance Fund is used to account for Federal and State grants used for the construction of
streets and related improvements and help fund law enforcement.
State Gas Tax Fund
The State Gas Tax Fund is used to account for fees used for street maintenance, right-of-way acquisition and
street construction.
Low and Moderate Income Housing Fund (MRA)
The Low and Moderate Income Housing Fund is used to account for the receipt of 20% of the gross tax increment
allocation, which is restricted for use on projects that increase or preserve the supply of low and moderate income
housing in accordance with Health and Safety Code Section 33334.
Local Transportation Transit Fund
The Local Transportation Transit Fund is used to account for fees used in local transportation and street projects
that help relieve traffic congestion programs and development.
Solid Waste Fund
The Solid Waste Fund is used to account for fees used on programs that promote resource, recycling, composting,
and proper disposal of hazardous household waste.
64
CITY OF MOORPARK
JUNE 30, 2006
NON -MAJOR GOVERNMENTAL FUNDS
(Continued)
Capital Proiects Fund Descriptions
City Hall Building Fund
The City Hall Building Fund is used to account for the funds used to build the new Civic Center Complex.
Equipment Replacement Fund
The Equipment Replacement Fund is used to account for the funds used to replace city equipment and vehicles.
65
CITY OF MOORPARK
NON -MAJOR GOVERNMENTAL FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2006
ASSETS
Cash and investments
Receivables:
Taxes
Accounts
Property held for resale/development
Special Revenue Funds
State and
Traffic Affordable Assessment Federal
Safety Housing District Assistance
$ 568,751 $ 1,901,572 $ 2,357,009 $ 3,329,604
18,221
4,319
54,954 599,049
Total Assets $ 586,972 $ 1,901,572 $ 2,416,282 $ 3,928,653
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable and accrued liabilities
Due to other funds
Deferred revenue
Deposits, principally from developers
Advances from other funds
$ 2,664 $ 140,694 $ 29,939
659,933
4,319
4,438
Total Liabilities 2,664 149,451 689,872
FUND BALANCES
Reserved for:
Property held for resale/development
Housing set-aside
Unreserved, reported in:
Special revenue funds 584,308 $ 1,901,572 2,266,831 3,238,781
Capital projects funds
Total Fund Balances 584,308 1,901,572 2,266,831 3,238,781
Total Liabilities and
Fund Balances $ 586,972 $ 1,901,572 $ 2,416,282 $ 3,928,653
66
Special Revenue Funds Capital Projects Funds
Low and Total
Moderate Local Non -major
State Gas Income Transportation Solid City Hall Equipment Governmental
Tax Housing Transit Waste Building Replacement Funds
$ 13,313 $ 3,229,074 $ 166,492 $ 767,001 $ 422,313 $ 496,509 $ 13,251,638
4,319
69,868 16,002 268,163 34,623 1,060,880
997,285 997,285
$ 83,181 $ 4,242,361 $ 434,655 $ 801,624 $ 422,313 $ 496,509 $ 15,314,122
$ 25,557 $ 10,464 $ 33,860 $ 18,114 $26,507 $ 287,799
19,884 679,817
400,795 405,114
4,438
25,557 30,348 434,655 18,114 26,507 1,377,168
997,285
3,214,728
997,285
3,214,728
57,624 783,510 8,832,626
$ 422,313 470,002 892,315
57,624 4,212,013
783,510 422,313 470,002 13,936,954
$ 83,181 $ 4,242,361 $ 434,655 $ 801,624 $ 422,313 $ 496,509 $ 15,314,122
67
CITY OF MOORPARK
NON -MAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2006
Special Revenue Funds
State and
Traffic Affordable Assessment Federal
Safety Housing District Assistance
REVENUES
Fines and forfeitures $ 166,273
Use of money and property 18,614 $ 39,527 $ 78,995 $ 101,493
Intergovernmental 1,714,265
Maintenance assessments 1,489,150
Franchise fees
Development fees 984,616
Other revenue 318 83,129 4,256 120
Total Revenues 185,205 1,107,272 1,572,401 1,815,878
EXPENDITURES
Current:
General government
Public safety 153,640 1,032,648 101,590
Public services 70,890 39,435
Parks and recreation 1,462,918
Capital outlay 613,706
Debt service:
Principal
Interest
Total Expenditures 153,640 70,890 2,495,566 754,731
Excess (Deficiency) of Revenues
Over (Under) Expenditures 31,565 1,036,382 (923,165) 1,061,147
OTHER FINANCING SOURCES (USES)
Transfers in 967,788
Transfers out (233,341)
Total Other Financing Sources (Uses) 967,788 (233,341)
Net Change in Fund Balances 31,565 1,036,382 44,623 827,806
Fund Balances, Beginning of Year 552,743 865,190 2,222,208 2,410,975
Fund Balances, End of Year $ 584,308 $ 1,901,572 $ 2,266,831 $ 3,238,781
68
Special Revenue Funds Capital Projects
Low and Total
Moderate Local Non -Major
State Gas Income Transportation Solid City Hall Equipment Governmental
Tax Housing Transit Waste Building Replacement Funds
$ 166,273
$ 5,708 $ 125,878 $ 7,106 $ 26,522 $ 14,848 $ 14,474 433,165
666,927 888,722 16,899 3,286,813
1,489,150
283,162 283,162
984,616
23,175 1,927 112,925
695,810 127,805 895,828 326,583 14,848 14,474 6,756,104
1,287,878
1,124,643 315,886 576,249 335,193 2,462,296
1,462,918
184,364 319,579 52,773 49,131 1,219,553
15,910 15,910
21,971 21,971
1,309,007 353,767 895,828 335,193 52,773 49,131 6,470,526
(613,197) (225,962) (8,610) (37,925) (34,657) 285,578
233,341 1,106,040 79,000 2,386,169
(106,039) (151,613) (490,993)
127,302 954,427 79,000 1,895,176
(485,895) 728,465 (8,610) (37,925) 44,343 2,180,754
543,519 3,483,548 792,120 460,238 425,659 11,756,200
$ 57,624 $ 4,212,013 $ - $ 783,510 $ 422,313 $ 470,002 $ 13,936,954
69
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, 2006
REVENUES
Fines and forfeitures
Use of money and property
Other revenue
Total Revenues
EXPENDITURES
Current:
Public safety
Total Expenditures
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
Budgeted Amounts Actual
Original Final Amounts
$ 140,000 $ 140,000 $ 166,273
11,660 11,660 18,614
318
151,660 151,660 185,205
189,876 189,876 153,640
189,876 189,876 153,640
(38,216) (38,216) 31,565
444,805 552,743 552,743
$ 406,589 $ 514,527 $ 584,308 $ 69,781
Variance with
Final Budget -
Positive
(Negative)
$ 26,273
6,954
318
33,545
36,236
36,236
69,781
70
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, 2006
REVENUES
Use of money and property
Development fees
Other revenue
Total Revenues
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 15,636 $ 15,636 $ 39,527 $ 23,891
113,195 984,616 871,421
62,640 83,129 20,489
15,636 191,471 1,107,272 915,801
EXPENDITURES
Current:
Public services 110,400 181,000 70,890 110,110
Capital outlay 180,000 180,000 180,000
Total Expenditures 290,400 361,000 70,890 290,110
Net Change in Fund Balance (274,764) (169,529) 1,036,382 1,205,911
Fund Balance, Beginning of Year 423,772 865,190 865,190
Fund Balance, End of Year $ 149,008 $ 695,661 $1,901,572 $ 1,205,911
71
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, 2006
REVENUES
Use of money and property
Maintenance assessments
Other revenue
Total Revenues
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 58,697 $ 58,697 $ 78,995 $ 20,298
1,468,551 1,483,551 1,489,150 5,599
4,256 4,256
1,527,248 1,542,248 1,572,401 30,153
EXPENDITURES
Current:
Public safety 1,576,747 1,593,132 1,032,648 560,484
Parks and recreation 1,035,260 1,042,575 1,462,918 (420,343)
Capital outlay 460,096 453,681 453,681
Total Expenditures 3,072,103 3,089,388 2,495,566 593,822
Excess (Deficiency) of Revenues
Over (Under) Expenditures
(1,544,855) (1,547,140) (923,165) 623,975
OTHER FINANCING SOURCES
Transfers in 836,854 949,800 967,788 17,988
Total Other Financing Sources 836,854 949,800 967,788 17,988
Net Change in Fund Balance (708,001) (597,340) 44,623 641,963
Fund Balance, Beginning of Year 2,356,248 2,222,208 2,222,208
Fund Balance, End of Year $ 1,648,247 $1,624,868 $2,266,831 $ 641,963
72
CITY OF MOORPARK
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
STATE AND FEDERAL ASSISTANCE SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30, 2006
Budgeted Amounts
Original Final
REVENUES
Use of money and property $ 56,713
Intergovernmental 2,998,913
Other revenue
Total Revenues 3,055,626
EXPENDITURES
Current:
Public safety
Public services
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Net Change in Fund Balance
OTHER FINANCING SOURCES (USES)
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
$ 56,713
3,046,824
3,103,537
Actual
Amounts
$ 101,493
1,714,265
120
1,815,878
111,265 111,265 101,590
50,323 50,323 39,435
3,142,606 3,449,693 613,706
3,304,194 3,611,281 754,731
(248,568) (507,744) 1,061,147
(248,568) (507,744)
2,641,002 2,410,975
Variance with
Final Budget -
Positive
(Negative)
$ 44,780
(1,332,559)
120
(1,287,659)
9,675
10,888
2,835,987
2,856,550
1,568,891
(233,341) (233,341)
(233,341) (233,341)
827,806 1,335,550
2,410,975
$ 2,392,434 $1,903,231 $ 3,238,781 $ 1,335,550
73
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, 2006
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 22,793 $ 22,793 $ 5,708 $ (17,085)
Intergovernmental 651,000 651,000 666,927 15,927
Other revenue 500 500 23,175 22,675
Total Revenues 674,293 674,293 695,810 21,517
EXPENDITURES
Current:
Public services
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
1,233,059
76,376
1,309,435
1,215,199
232,938
1,448,137
1,124,643
184,364
90,556
48,574
1,309,007 139,130
(635,142) (773,844) (613,197) 160,647
OTHER FINANCING USES
Transfers in 233,341 233,341
Transfers out (106,039) (106,039) (106,039)
Total Other Financing Uses (106,039) (106,039) 127,302 233,341
Net Change in Fund Balance (741,181) (879,883) (485,895) 393,988
Fund Balance, Beginning of Year 741,181 543,519 543,519
Fund Balance, End of Year $ - $ (336,364) $ 57,624 $ 393,988
74
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, 2006
REVENUES
Use of money and property
Other revenue
Total Revenues
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 74,075 $ 74,075 $ 125,878 $ 51,803
1,927 1,927
74,075 74,075 127,805 53,730
EXPENDITURES
Current:
Public services 585,783 592,683 315,886 276,797
Capital outlay 48,230 601,000 601,000
Debt service:
Principal 17,000 17,000 15,910 1,090
Interest 24,000 24,000 21,971 2,029
Total Expenditures 675,013 1,234,683 353,767 880,916
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
(600,938) (1,160,608) (225,962) 934,646
769,600 769,600 1,106,040
(151,613) (151,613) (151,613)
336,440
Total Other Financing Sources (Uses) 617,987 617,987 954,427 336,440
Net Change in Fund Balance 17,049 (542,621) 728,465 1,271,086
Fund Balance, Beginning of Year 2,640,069 3,483,548 3,483,548
Fund Balance, End of Year $ 2,657,118 $ 2,940,927 $ 4,212,013 $ 1,271,086
75
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, 2006
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 2,782 $ 2,782 $ 7,106 $ 4,324
Intergovernmental 1,023,811 1,023,811 888,722 (135,089)
Total Revenues 1,026,593 1,026,593 895,828 (130,765)
EXPENDITURES
Current:
Public services
Capital outlay
985,273
234,650
1,152,319
350,000
576,249
319,579
Total Expenditures 1,219,923 1,502,319 895,828
Net Change in Fund Balance (193,330) (475,726)
Fund Balance, Beginning of Year 233,020
Fund Balance, End of Year $ 39,690 $ (475,726) $
76
576,070
30,421
606,491
475,726
$ 475,726
CITY OF MOORPARK
SCHEDULE OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
SOLID WASTE SPECIAL REVENUE FUND
FOR THE YEAR ENDED JUNE 30, 2006
REVENUES
Use of money and property
Intergovernmental
Franchise fees
Total Revenues
EXPENDITURES
Current:
Public services
Total Expenditures
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
Budgeted Amounts
Original Final
$ 20,539
18,500
263,350
302,389
$ 20,539
18,500
263,350
302,389
492,797 483,286
492,797 483,286
(190,408) (180,897)
762,883 792,120
Actual
Amounts
$ 26,522
16,899
283,162
326,583
335,193
335,193
(8,610)
792,120
Variance with
Final Budget -
Positive
(Negative)
$ 5,983
(1,601)
19,812
24,194
148,093
148,093
172,287
$ 572,475 $ 611,223 $ 783,510 $ 172,287
77
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, 2006
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property $ 13,781 $ 13,781 $ 14,848 $ 1,067
EXPENDITURES
Capital outlay 1,813,429 1,917,086 52,773 1,864,313
OTHER FINANCING SOURCES
Transfers in 197,567 197,567 (197,567)
Net Change in Fund Balances (1,602,081) (1,705,738) (37,925) 1,667,813
Fund Balance, Beginning of Year 1,602,081 460,238 460,238
Fund Balance, End of Year $ - $ (1,245,500) $ 422,313 $ 1,667,813
78
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, 2006
REVENUES
Use of money and property
EXPENDITURES
Capital outlay
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Net Change in Fund Balance
Fund Balance, Beginning of Year
Fund Balance, End of Year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 9,408 $ 9,408 $ 14,474 $ 5,066
35,000 63,768 49,131 14,637
(25,592) (54,360) (34,657) 19,703
79,000 79,000
(25,592) 24,640 44,343 19,703
426,509 425,659 425,659
$ 400,917 $ 450,299 $ 470,002 $ 19,703
79
CITY OF MOORPARK
STATEMENT OF CHANGES IN NET ASSETS
AGENCY FUND
FOR THE YEAR ENDED JUNE 30, 2006
ASSETS
Cash and investments
LIABILITIES
Accounts payable
Developer deposits
Total Liabilities
Balance Balance
July 1, 2005 Additions Reductions June 30, 2006
$ 4,365,932 $ 224,385 $ 4,590,317
$ 306,713 $ (16,203) $ 290,510
4,059,219 $ 240,588 4,299,807
$ 4,365,932 $ 240,588 $ (16,203) $ 4,590,317
80
STATISTICAL SECTION
CITY OF MOORPARK
NET ASSETS BY COMPONENT
LAST FOUR FISCAL YEARS
(Accrual Basis of Accounting)
Fiscal Year
2003 2004 2005
2006
Governmental activities:
Invested in capital assets,
net of related debt $ 85,969,804 $ 93,941,392 $ 99,760,671 $ 108,190,324
Restricted 39,344,368 41,506,906 46,405,391 57,986,366
Unrestricted 33,792,567 31,861,714 26,413,978 26,965,428
Total governmental activities net assets $ 159,106,739 $ 167,310,012 $ 172,580,040 $ 193,142,118
The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34
(June 30, 2003). The City does not have any business -type activities.
81
CITY OF MOORPARK
CHANGES IN NET ASSETS — GOVERNMENTAL ACTIVITIES
LAST FOUR FISCAL YEARS
(Accrual Basis of Accounting)
Expenses:
General government
Public safety
Public services
Parks and recreation
Interest on long-term debt
Total governmental activities expenses
Program revenues:
Charges for services:
General government
Public safety
Public services
Parks and recreation
Total charges for services
Operating contributions and grants
Capital contributions and grants
Total governmental activities
program revenues
Net program revenues (expenses)
Fiscal Year
2003 2004 2005 2006
$ 2,116,644 $ 2,351,860 $ 3,030,395 $ 3,044,381
4,142,268 4,902,148 5,709,323 6,230,057
7,150,513 10,957,272 9,844,050 13,106,843
2,276,066 2,600,523 2,304,852 2,771,270
1,040,854 1,097,421 978,843 1,333,370
16,726,345 21,909,224 21,867,463 26,485,921
509,401
708,392
2,166,168
322,772
3,706,733
5,440,099
4,131,439
13,278,271
(3,448,074)
1,407,130 2,010,540 2,201,590
369,795 344,019 340,341
4,181,363 2,776,976 4,163,781
536,238 501,283 536,166
6,494,526 5,632,818 7,241,878
4,077,849 2,313,834 3,237,143
4,731,311 4,633,166 18,027,831
15,303,686 12,579,818 28,506,852
(6,605,538) (9,287,645) 2,020,931
General revenues and other changes in net assets:
Taxes:
Property tax 2,413,964 2,658,230 2,655,093 2,929,842
Property tax, Redevelopment Agency 3,577,050 4,116,542 3,901,779 5,530,198
Franchise tax 1,067,669 919,290 955,829 1,080,893
Sales tax 1,664,626 2,176,893 2,046,368 2,260,786
Sales tax in lieu - - 537,485 608,298
Motor vehicle in lieu 2,161,324 1,570,551 2,836,154 2,734,470
Investment income 2,027,190 1,363,344 1,725,579 3,261,384
Other 21,479 177,380 1,160,805 135,276
Gain on sale of property - - 48,339
Special item (1) - (900,000) -
Total governmental activities 12,933,302 12,082,230 15,867,431 18,541,147
Changes in net assets -
governmental activities $ 9,485,228 $ 5,476,692 $ 6,579,786 $ 20,562,078
(1) Mission Bell note and employee computer loans.
The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34 (June
30, 2003). The City does not have any business -type activities.
82
CITY OF MOORPARK
FUND BALANCES OF GOVERNMENTAL FUNDS
LAST FOUR FISCAL YEARS
(Accrual Basis of Accounting)
General fund:
Reserved
Unreserved
Total general fund
All other governmental funds:
Reserved
Unreserved, reported in:
Special revenue funds
Capital projects funds
Debt Service funds
Fiscal Year
2003 2004 2005
$ $
13,456,231 14,756,222
$ 13,456,231 $ 14,756,222
$ 5,772,444
12,527,255
$ 18,299,699
2006
$ 2,943,353
18,301,058
$ 21,244,411
$ 4,378,065 $ 4,099,849 $ 13,889,036 $ 14,124,235
37,832,070
11,798,382
(97,935)
39,748,684
9,847,368
(891,297)
34,364,075
4,247,031
(346,716)
45,736,017
2,186,313
(321,425)
Total all other governmental funds $ 53,910,582 $ 52,804,604 $ 52,153,426 $ 61,725,140
The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34 (June
30, 2003). The City does not have any business -type activities.
83
CITY OF MOORPARK
CHANGES IN FUND BALANCES
OF GOVERNMENTAL FUNDS
LAST FOUR FISCAL YEARS
(Modified Accrual Basis of Accounting)
Fiscal Year
2003 2004 2005 2006
Revenues:
Taxes $ 8,490,985 $ 9,870,955 $ 9,139,722 $ 12,231,076
Licenses and permits 51,083 63,146 54,180 72,365
Fines and forfeitures 290,054 306,871 344,019 340,341
Uses of money and property 2,027,190 1,363,006 1,924,579 3,261,384
Charges for services 867,731 2,001,561 2,558,974 2,665,391
Intergovernmental 4,051,263 4,298,009 5,150,992 6,302,193
Maintenance assessments 2,955,340 2,639,628 1,963,190 1,845,742
Franchise fees 232,324 257,127 1,231,763 283,162
Building and safety fees 608,879 595,138 431,959 1,110,715
Planning and public work fees 2,132,190 2,614,959 1,967,751 3,053,066
Development fees 4,486,128 4,097,977 2,669,976 15,568,347
Other 256,376 281,506 2,832,962 397,574
Total revenues 26,449,543 28,389,883 30,270,067 47,131,356
Expenditures
Current:
General government 2,048,658 2,259,017 2,893,359 2,919,564
Public safety 4,127,670 4,882,547 5,690,820 6,211,461
Public services 8,765,039 8,401,453 8,098,147 11,215,406
Parks and recreation 2,063,428 2,381,698 2,081,723 2,544,206
Capital outlay 3,596,982 8,775,159 7,810,879 10,038,439
Debt service:
Principal 365,000 395,000 405,000 435,910
Interest 1,044,915 1,100,996 1,158,585 1,251,354
Total expenditures 22,011,692 28,195,870 28,138,513 34,616,340
Excess of revenues over
expenditures 4,437,851 194,013 2,131,554 12,515,016
Other financing sources (uses):
Transfers in 3,781,938 3,588,717 2,027,315 3,352,002
Gain from sale of property 48,339 1,410
Transfers out (3,781,938) (3,588,717) (2,027,315) (3,352,002)
Total other financing
sources (uses) 48,339 1,410
Net change in fund balances $ 4,437,851 $ 194,013 $ 2,179,893 $ 12,516,426
Debt service as a percentage of
noncapital expenditures 8.3% 8.3% 8.3% 7.4%
The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34 (June 30, 2003). The City does not have any
business -type activities.
84
CITY OF MOORPARK
ASSESSED VALUE AND ESTIMATED ACTUAL VALUE
OF TAXABLE PROPERTY
LAST NINE FISCAL YEARS
City Redevelopment Agency
Fiscal Year Taxable Taxable Total
Ended Less: Assessed Less: Assessed Direct Tax
June 30 Secured Unsecured Exemptions Value Secured Unsecured Exemptions Value Rate
1998 $ 1,920,177,164 $ 70,911,851 $ 39,313,581 $ 2,030,402,596 $ 374,566,635 $ 44,499,427 $ 3,738,802 $ 422,804,864 n/a
1999 2,035,487,530 85,464,519 40,240,720 2,161,192,769 375,405,789 54,721,462 3,802,511 433,929,762 1.042%
2000 2,149,505,500 84,834,286 40,687,060 2,275,026,846 397,463,516 47,384,350 3,808,526 448,656,392 1.042%
2001 2,421,104,221 92,634,149 40,786,802 2,554,525,172 434,091,609 59,042,494 3,849,357 496,983,460 1.051%
2002 2,549,782,519 94,204,773 41,025,922 2,685,013,214 456,765,976 64,634,089 3,860,792 525,260,857 1.042%
2003 2,823,727,286 120,175,258 42,238,926 2,986,141,470 514,599,965 84,435,148 3,862,434 602,897,547 1.061%
2004 3,026,137,647 155,943,246 43,185,512 3,225,266,405 542,789,850 95,244,418 3,915,879 641,950,147 1.058%
2005 3,231,418,940 172,769,806 43,305,637 3,447,494,383 532,445,978 93,810,856 3,904,910 630,161,744 1.050%
2006 3,721,591,791 168,802,350 43,313,074 3,933,707,215 660,810,677 99,693,057 3,931,766 764,435,500 1.055%
NOTE:
In 1978 the voters of the State of California passed Proposition 13 which limited property taxes to a total
maximum rate of 1% based upon the assessed value of the property being taxed. Each year, the assessed value of
property may be increased by an "inflation factor" (limited to a maximum increase of 2%). With few exceptions,
property is only re -assessed at the time that it is sold to a new owner. At that point, the new assessed value is
reassessed at the purchase price of the property sold. The assessed valuation data shown above represents the
only data currently available with respect to the actual market value of taxable property and is subject to the
limitations described above.
Source: Ventura County Assessor's Office
85
CITY OF MOORPARK
DIRECT AND OVERLAPPING
PROPERTY TAX RATES
(Rate per $100 of Assessed Value)
LAST EIGHT FISCAL YEARS
1999 2000 2001 2002 2003 2004 2005 2006
City Direct Rates:
City basic rate 1.04156 1.04244 1.05062 1.04171 1.06072 1.05820 1.05020 1.05480
Redevelopment agency - - - -
Total City Direct Rate 1.042 1.042 1.051 1.042 1.061 1.058 1.050 1.055
Overlapping Rates:
Ventura County Flood Cont. 8.317 8.012 8.012 8.039 8.097 n/a n/a n/a
Metropolitan Water District 0.225 0.222 0.222 0.229 2.340 0.233 0.232 0.235
Ventura Community College n/a n/a n/a n/a 4.312 4.311 4.269 4.331
Ventura County Waterworks 100.000 100.000 100.000 n/a n/a n/a n/a n/a
Conejo Valley Unified School
District 0.003 0.021 0.021 0.027 0.025 0.024 2.200 0.020
Moorpark Unified School
District n/a n/a n/a 92.311 91.733 91.959 92.121 92.442
City of Moorpark 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000
City of Moorpark Community
Facilities District No. 97-1 n/a n/a n/a 100.000 100.000 100.000 100.000 100.000
City of Moorpark 1915 Act
Bonds 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000
Total Direct Rate 109.587 109.297 109.306 101.648 107.568 97.585 99.872 98.083
NOTE:
1) In 1978 California voters passed Proposition 13 which sets the property tax rate at a 1.00% fixed amount. This 1.00% is shared by all
taxing agencies for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged
taxes as a percentage of assessed property values for the payment of the Moorpark Unified School District bonds.
Source: California Municipal Statistics
86
CITY OF MOORPARK
PRINCIPAL PROPERTY TAX PAYERS
CURRENT YEAR AND SIX YEARS AGO
Taxpayer
DBRE Moorpark LLC
Kavlico Corporation
PPC Gia Moorpark Associates
Mission Bell LLC
Laars Inc.
James Birkenshaw, Et. Al.
Calabasas BCD Inc.
Leonard Rose Trust
Autosafe Airbag 12 California LP
Jay W. Steuerwald
2006
Taxable
Assessed
Value *
$ 55,532,134
43,461,583
50,229,3 92
29,715,464
21,556,888
18,393,093
18,065,566
11,024,263
66,845,295
10.100.000
Percent of
Total City
Taxable
Assessed
Value
14.12% $
11.05%
12.77%
7.55%
5.48%
4.68%
4.59%
2.80%
16.99%
2.57%
2000
Taxable
Assessed
Value
12,701,620
20,208,563
20,267,350
12,264,597
11,751,954
9,998,062
Percent of
Total City
Taxable
Assessed
Value
0.00%
6.26%
0.00%
9.95%
9.98%
6.04%
5.79%
4.92%
0.00%
0.00%
$ 324,923,678 82.60% $ 87,192,146 42.94%
* Due to varying tax rates, the assessed value does not necessarily mean the highest tax. The assessed value
includes secured and unsecured.
Source: HdL 2005-2006 property data
87
CITY OF MOORPARK
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
Collected within the
Fiscal Taxes Levied Fiscal Year of Levy Collections in Total Collections to Date
Year Ended for the Percent Subsequent Percent
June 30 Fiscal Year Amount of Levy Years Amount of Levy
1997 $ 1,158,953 $ 1,134,248 97.87% $ 24,705 $ 1,158,953 100.00%
1998 1,191,918 1,170,111 98.17% 21,807 1,191,918 100.00%
1999 1,374,741 1,349,054 98.81% 25,687 1,374,741 100.00%
2000 1,410,082 1,385,028 95.20% 25,054 1,410,082 100.00%
2001 1,573,688 1,506,396 95.72% 67,292 1,573,688 100.00%
2002 1,832,673 1,802,895 98.38% 29,778 1,832,673 100.00%
2003 2,036,839 2,009,255 98.65% 27,584 2,036,839 100.00%
2004 2,208,605 2,180,794 98.74% 27,811 2,208,605 100.00%
2005 2,391,927 2,359,181 98.95% 32,746 2,391,927 100.00%
2006 2,705,083 2,668,950 98.66% 36,133 2,705,083 100.00%
NOTE:
The amount presented includes City property taxes only.
Source: Ventura County Auditor Controller's Office
88
CITY OF MOORPARK
RATIOS OF OUTSTANDING DEBT BY TYPE
LAST EIGHT FISCAL YEARS
Governmental Activities
Fiscal Year General Tax Total Total Percentage Debt
Ended Obligation Allocation Governmental Primary of Personal Per
June 30 Bonds Bonds 1 Activities Government Income 2 Capita 2
1999 $ 9,860,000 $ 9,860,000 $ 9,860,000 0.98% $ 333
2000 9,540,000 9,540,000 9,540,000 0.88% 321
2001 15,424,000 15,424,000 15,424,000 1.28% 480
2002 20,465,000 20,465,000 20,465,000 0.73% 606
2003 20,100,000 20,100,000 20,100,000 0.67% 582
2004 19,705,000 19,705,000 19,705,000 0.65% 564
2005 19,300,000 19,300,000 19,300,000 0.64% 537
2006 18,880,000 18,880,000 18,880,000 0.62% 527
NOTE:
Details regarding the City's outstanding debt can be found in the Notes to the financial statements.
2
The Moorpark Redevelopment Agency issued $9,860,000 of new tax allocation bonds in 1999 and
$11,625,000 in 2001.
The principal balance on these two bonds as of June 30, 2006 is $7,295,000 and $11,585,000 respectively.
These ratios are calculated using personal income and population for the prior calendar year.
89
CITY OF MOORPARK
RATIOS OF GENERAL BONDED DEBT OUTSTANDING
LAST EIGHT FISCAL YEARS
Outstanding General Bonded Debt
Fiscal Year General Tax Percent of
Ended Obligation Allocation Assessed Per
June 30 Bonds Bonds Total Value 1 Capita
1999 9,860,000 9,860,000 0.38% 333
2000 9,540,000 9,540,000 0.35% 321
2001 15,424,000 15,424,000 0.51% 480
2002 20,465,000 20,465,000 0.64% 606
2003 20,100,000 20,100,000 0.56% 582
2004 19,705,000 19,705,000 0.51% 564
2005 19,300,000 19,300,000 0.47% 537
2006 18,880,000 18,880,000 0.40% 527
General bonded debt is debt payable with governmental fund resources and general obligation bonds recorded in
enterprise funds (of which, the City has none).
Assessed value has been used because the actual value of taxable property is not readily available in the State
of California.
90
CITY OF MOORPARK
DIRECT AND OVERLAPPING DEBT
JUNE 30, 2006
City Assessed Valuation 2005-06 $ 3,934,639,927
Redevelopment Agency Incremental Valuation 500,154,334
Adjusted Assessed Valuation $ 3,434,485,593
Direct and Overlapping Tax and Assessment Debt:
Metropolitan Water District
Ventura Community College District
Conejo Valley Unified School District
Moorpark Unified School District
City of Moorpark Community Facilities District No. 97-1
City of Moorpark 1915 Act Bonds
Toal Direct and Overlapping Tax & Assessment Debt
Overlapping General Fund Obligation Debt:
Ventura County General Fund Obligations
Ventura County Pension Obligations
Ventura County Superintendent of Schools COPs
Moorpark Unified School District COPs
Total Overlapping General Fund Obligation Debt
Combined Total Debt*
Total direct and overlapping debt
Estimated
Share of
Percentage Debt as of Overlapping
Applicable 6/30/2006 Debt
0.235% $ 389,565,000 915,478
4.331% 146,700,000 6,353,577
0.020% 56,350,143 11,270
92.442% 28,379,870 26,234,919
100.000% 6,780,000 6,780,000
100.000% 1,680,000 1,680,000
629,455,013 41,975,244
4.329% $ 90,285,000 3,908,438
4.329% 35,185,000 1,523,159
4.329% 13,580,000 587,878
92.442% 10,015,000 9,258,066
149,065,000 15,277,541
$ 778,520,013 57,252,785
$ 57,252,785
NOTE:
* Excludes tax and revenue anticipation notes, revenue, mortgage revenue and tax allocation bonds and non -
bonded capital lease obligations.
The direct and overlapping bonded debt above is not the City's or the Redevelopment Agency's obligation.
Source: California Municipal Statistics, Inc.
91
CITY OF MOORPARK
LEGAL DEBT MARGIN INFORMATION
LAST EIGHT FISCAL YEARS
Fiscal Year
1999 2000 2001
2002
Assessed valuation $ 2,035,487,530 $ 2,149,505,500 $ 2,421,104,221 $ 2,549,782,519
Conversion percentage 25% 25% 25% 25%
Adjusted assessed valuation 508,871,883 537,376,375 605,276,055 637,445,630
Debt limit percentage 15% 15% 15% 15%
Debt limit 76,330,782 80,606,456 90,791,408 95,616,844
Total net debt applicable to limit -
General obligation bonds 8,910,000 9,540,000 9,195,000 20,465,000
Legal debt margin 67,420,782 71,066,456 81,596,408 75,151,844
Total debt applicable to the limit
as a percentage of debt limit
1L7% 1L8%
10.1% 2L4%
The Government Code 2227 of the State of California provides for a legal debt limit of 15% of gross assessed
valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value.
Effective with the 81-82 fiscal year, each parcel is now assessed at 100% of market value (as of the most recent
change in ownership for that parcel). The computations shown above reflect a conversion of assessed valuation
date for each fiscal year from the current full valuation perspective to the 25% level that was in effect at the time
that the legal debt margin was enacted by the State of California for local governments located within the State.
Source: City Finance Department
Ventura County Tax Assessor's Office
92
Fiscal Year
2003 2004 2005 2006
$ 2,823,727,286 $ 2,823,727,286 $ 3,231,418,940 $ 3,721,591,791
25% 25% 25% 25%
705,931,822 705,931,822 807,854,735 930,397,948
15% 15% 15% 15%
105, 889,773 105, 889,773 121,178,210 139,559,692
20,100,000 19,695,000 19, 300,000 18, 880,000
85,789,773 86,194,773 101, 878,210 120,679,692
19.0% 18.6% 15.9% 13.5%
The Government Code 2227 of the State of California provides for a legal debt limit of 15% of gross assessed
valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value.
Effective with the 81-82 fiscal year, each parcel is now assessed at 100% of market value (as of the most recent
change in ownership for that parcel). The computations shown above reflect a conversion of assessed valuation
date for each fiscal year from the current full valuation perspective to the 25% level that was in effect at the time
that the legal debt margin was enacted by the State of California for local governments located within the State.
Source: City Finance Department
Ventura County Tax Assessor's Office
93
CITY OF MOORPARK
PLEDGED -REVENUE COVERAGE
LAST SIX FISCAL YEARS
Tax Allocation Bonds
Fiscal Year
Ended Tax Debt Service
June 30 Increment Principal Interest Coverage
2001 2,501,624 345,000 420,193 3.27
2002 2,606,388 355,000 408,638 3.41
2003 3,537,293 365,000 989,554 2.61
2004 4,076,183 395,000 976,140 2.97
2005 3,860,624 405,000 959,942 2.83
2006 5,487,272 420,000 944,281 4.02
NOTE:
Details regarding Moorpark Redevelopment Agency outstanding debt can be found in the Notes to the financial
statements. Operating expenses do not include interest or depreciation expenses.
94
CITY OF MOORPARK
DEMOGRAPHIC AND ECONOMIC STATISTICS
LAST TEN CALENDAR YEARS
Personal Median Unemployment
Calendar Population Income Personal Rate
Year (1) (in thousands) (2) Income (2) (3)
1997 28,377 $ 897,706 $ 31,635 6.4%
1998 29,300 951,752 32,483 6.0%
1999 29,589 1,001,588 33,850 5.3%
2000 29,727 1,088,959 36,632 5.1%
2001 32,150 1,207,136 37,547 5.2%
2002 33,760 2,811,600 83,282 6.8%
2003 34,529 2,978,092 86,249 7.2%
2004 34,933 3,054,507 87,439 6.4%
2005 35,933 3,039,105 84,577 5.4%
2006 35,836 3,050,432 85,122 4.4%
Sources: (1) State Department of Finance
(1) County Office of Economic Development
(2) State of California Employment Development Depaitrnent (data shown is for the County)
95
CITY OF MOORPARK
PRINCIPAL EMPLOYERS
CURRENT YEAR AND EIGHT YEARS AGO
2006 1998
Percent of Percent of
Number of Total Number of Total
Employer Employees Employment Employees Employment
Kavlico 1,200 6.99% 1,000 12.28%
Moorpark Unified School Dist. 871 5.07% 700 8.60%
Pentair Pool Products 527 3.07%
Waterpik Tech. (Teledyne) 451 2.63% 300 3.68%
First Data 442 2.57%
Aquaria 350 2.04% 200 2.46%
Moorpark College 315 1.83% 500 6.14%
Special Devices, Inc. 290 1.69%
SMTEK International 220 1.28%
Aldik 200 1.16%
Axius/Auto Shade 150 0.87%
Boething Tree Farm 145 0.84% 70 0.86%
American Board Assembly 115 0.67% 40 0.49%
"Total Employment" as used above represents the total employment of all employers located within City limits.
The total number of employees in the City in 2006 were 17,170 as compared to total number of employees in the
City in 1998 were 8,142.
Source: Chamber of Commerce
96
CITY OF MOORPARK
FULL-TIME AND PART-TIME CITY EMPLOYEES
(By Function)
LAST SEVEN FISCAL YEARS
Function 2000 2001 2002 2003 2004 2005 2006
General government 18 20 36 43 33 32 31
Public safety (crossing guards) 8 6 6 6 7 4 7
Public services 21 21 41 38 20 17 17
Parks and recreation 45 42 19 19 42 38 41
Total
Public safety 1
92 89 102 106 102 91 96
34 34 33 30 28 31 31
1 Police and fire services were provided by the County.
Source: City Payroll Office
97
CITY OF MOORPARK
OPERATING INDICATORS
(By Function)
LAST TEN FISCAL YEARS
Fiscal Year
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
Police: (A)
Arrests 871 824 874 1,258 1,414 1,235 1,296 1,520 1,388 1,653
Parking citations issued 2,579 2,582 4,285 3,706 2,890
Fire: (B)
Number of "prime" emergency calls 979 1,013 975 1,103 1,179 1,415 1,308 1,329
Business Inspections* 417 417 417 117 117 125 125 125
Public works: (C)
Street resurfacing (miles) 0.10 73.33 73.33 0.10
Parks and recreation: (D)
Number of recreation classes 298 351 423 386 317 290 364 338
Number of facility rentals 115 203 243 250 184 258 307 491 338
* In November 2001, all business occupancies less than 10,000 sq. ft. became eligible for self inspection
program.
Source: City of Moorpark
(A) Provided by Moorpark P.D.; parking citation data is not available for earlier years
(B) Ventura County Fire Department; some data not available for earlier years
(C) Moorpark Public Works Department.; every six years, the City plans to resurface its streets, 1/3
every other year (total street miles = 220)
(D) Arroyo Vista Recreation Department; recreation classes and room rentals began after the park
opened
98
CITY OF MOORPARK
CAPITAL ASSET STATISTICS
(By Function)
LAST EIGHT FISCAL YEARS
Fiscal Year
1999 2000 2001 2002 2003 2004 2005 2006
Police:
Stations 1 1 1 1 1 1 2 2
Fire:
Fire stations 2 2 2 2 2 2 2 2
Public works:
Streets (miles) 75 75 75 75 75 75 75 75
Streetlights 2,264 2,263 2,269 2,299 2,325 2,347
Traffic signals 15 15 15 15 16 17 17 17
Parks and recreation:
Parks 14 14 14 15 15 15 15 16
Community centers 2 2 2 2 2 2 2 2
Source: City of Moorpark
99