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HomeMy WebLinkAboutACFR 2010 O 9 City „,44 qf1Moorpar .iwO A. O'p4Teo , ,_.4. Comprehensive Annual Financial Reort w... . 1,11.7, 0 MOW 1, IC._ . • . . .' ,. . .4r • -Ustic _ .'t' `.t4 az f e ro . 4. rr t L.. , \ a 0 M .. • './ 1,1 r-..„. , ji !.J . . . .I Fiscal Year Ending June 30, 2010 CITY OF MOORPARK,CALIFORNIA COMPREHENSIVE ANNUAL FINANCIAL REPORT Year Ended June 30,2010 Prepared By: Ron Ahlers,Finance Director Irmina Lumbad,Finance&Accounting Manager Debbie Burdorf,Accountant I 4 City of Moorpark Comprehensive Annual Financial Report Year Ended June 30,2010 TABLE OF CONTENTS PAGE I, INTRODUCTORY SECTION Letter of Transmittal i-vi Directory of Officials vii OrganizationalChart—__.._.._..._.__---.__.------_..—_._. -----_._-______.-._... ..__.--_...__..------...:._.__._._- viii Certificate of Achievement of Excellence in Financial Reporting ix II. FINANCIAL SECTION Independent Auditors' Report 1 -2 Management Discussion&Analysis 3 - 13 Basic Financial Statements: Government-wide Financial Statements Statement of Net Assets 14 Statement of Activities 15 Fund Financial Statements Balance Sheet-Governmental Funds 16- 18 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 -22 Governmental Funds Reconciliation of the Statement of Revenues,Expenditures,and Changes in Fund Balances of Governmental Funds to the Statement of Activities 23 Statement of Fiduciary Assets and Liabilities 24 Notes to Financial Statements 25 -64 Required Supplementary Information: Schedule of Revenues,Expenditures and Changes in Fund Balance- Budget and Actual-General Fund 65 - 67 Schedule of Revenues,Expenditures and Changes in Fund Balance- Budget and Actual- Street and Traffic Safety Development Special Revenue Fund 68 Schedule of Revenues,Expenditures and Changes in Fund Balance- Budget and Actual-Community Development Special Revenue Fund 69 -70 Statement of Revenues,Expenditures and Changes in Fund Balance- Budget and Actual—Assessment District Special Revenue Fund 71 -72 Schedule of Revenues,Expenditures and Changes in Fund Balance- Budget and Actual-Endowment Special Revenue Fund 73 Schedule of Revenues,Expenditures and Changes in Fund Balance- Budget and Actual-Park/Public Facilities Special Revenue Fund 74-75 City of Moorpark Comprehensive Annual Financial Report Year Ended June 30,2010 TABLE OF CONTENTS-Continued PAGE Required Supplementary Information-Continued: Schedule of Revenues,Expenditures and Changes in Fund Balance- Budget.and Actual—MRA Operating.Special Revenue Fund...._ _-- 76_77 Schedule of Funding Progress for MRHP 78 Notes to Required Supplementary Information 79 Supplementary Information: Budgetary Comparison Schedules-Major Fund Schedule of Revenues,Expenditures,and Changes in Fund Balances- Budget and Actual: Police Facilities Fee Capital Projects Fund 80 Redevelopment Agency Capital Projects Fund 81 Redevelopment Agency Debt Service Fund 82 Non-Major Governmental Funds 83 -84 Combining Balance Sheet 85 - 88 Combining Statement of Revenues,Expenditures and Changes in Fund Balance 89-92 Schedule of Revenues,Expenditures, and Changes in Fund Balances- Budget and Actual: Library Services Special Revenue Fund 93 Traffic Safety Special Revenue Fund 94 Affordable Housing Special Revenue Fund 95 Los Angeles Area of Contribution Special Revenue Fund 96 Tierra Rejada/Spring A.O.0 Special Revenue Fund 97 Cassey/Gabbert Area of Contribution Special Revenue Fund 98 Freemont Storm Drain A.O.0 Special Revenue Fund 99 State and Federal Assistance Special Revenue Fund 100 State Gas Tax Special Revenue Fund 101 Prop 1B Local Streets and Roads Special Revenue Fund 102 Art in Public Places Special Revenue Fund 103 Prop 1B Safety and Security Special Revenue Fund 104 Low and Moderate Income Housing Special Revenue Fund 105 Local Transportation Transit Special Revenue Fund 106 Solid Waste Special Revenue Fund 107 Capital Projects Fund 108 City Hall Building Capital Projects Fund 109 Equipment Replacement Capital Projects Fund . 110 Statement of Changes in Net Assets-Agency Funds 111 III. STATISTICAL SECTION Net Assets by Component-Last Eight Fiscal Years 112- 113 Changes in Net Assets Governmental Activities -Last Eight Fiscal Years 114- 115 Fund Balances of Governmental Funds-Last Eight Fiscal Years 116- 117 Changes in Fund Balances of Governmental Funds-Last Eight Fiscal Years 118 -119 City of Moorpark Comprehensive Annual Financial Report Year Ended June 30,2010 TABLE OF CONTENTS-Continued PAGE III. STATISTICAL SECTION-Continued Assessed Value and Estimated Actual Value of Taxable Property- Last Ten Fiscal Years 120 Direct and Overlapping Property Tax Rates--Last-Teri Fiscal Years -- 121 Principal Property Tax Payers- Current Year and Nine Years Ago 122 Property Tax Levies and Collections-Last Ten Fiscal Years 123 Ratios of Outstanding Debt by Type-Last Ten Fiscal Years 124 Ratio of General Bonded Debt Outstanding-Last Ten Fiscal Years 125 Direct and Overlapping Debt 126 Legal Debt Margin Information-Last Ten Fiscal Years 127- 128 Pledged Revenue Coverage-Last Ten Fiscal Years 129 Demographic and Economic Statistics-Last Ten Calendar Years 130 Principal Employers-Current and Ten Calendar Years Ago 131 Full-Time and Part-Time City Employees by Function-Last Ten Fiscal Years 132 Operating Indicators by Function-Last Ten Fiscal Years 133 Capital Asset Statistics by Function-Last Ten Fiscal Years 134 ` I r i if i �0l � City o . loo ar 0...4 iii �� 799 Moorpark Avenue, Moorpark, California 93021 (805)517-6200 fax(805)532-2545 =a December 7, 2010 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 (City) for the fiscal year ended June 30, 2010. 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 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 of 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 statement was effective starting with fiscal year 2005/06 and has resulted in changes to the statistical section. The City continues to present the statistical i JANICE S. PARVIN ROSEANN MIKOS KEITH E. MILLHOUSE DAVID POLLOCK MARK VAN DAM Mayor Mayor Pro Tern Councilmember Councilmember Councilmember i i section with detail information to be in compliance with GASB No. 44 requirements for fiscal year 2009/10. 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 as well as all of its component units. The City is the primary government. The component units are the Moorpark Redevelopment Agency (Agency), the Moorpark Public Financing Authority (Authority) and the Moorpark Industrial Development Authority (IDA). The City was incorporated in 1983 as a general law city and operates under a Council-Manager form of government. The Agency 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 Authority was formed in 1993 as a joint powers authority between the City and the Agency in order to provide financial assistance to the City and the Agency by issuing debt and financing the construction of public facilities. The IDA of the City 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 approximately 56 and part-time staff of approximately 45 employees. Major services such as police (contracted with Ventura County Sheriff), attorney, library, 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, redevelopment, housing, planning, code compliance, recreation programs, vector/animal control, park and facilities maintenance, street maintenance, city � I ii 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 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 approximately 37,000 (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 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 an 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 GAAP. The internal control structure is designed to provide reasonable, 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. iii ANNUAL AUDIT An independent accounting firm has performed the annual audit of the City's financial statements for the fiscal year ended June 30, 2010. 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 . . -_._. . . APPROPRIATION LIMIT Article XIIIB of the California Constitution (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 fiscal year 2009/10 amounted to $26,198,908 and $13,748,165, 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, 2010, approximately $51.7 million (City & Agency combined) was invested with the State Treasurer's Local Agency Investment Fund (LAIF); approximately $49.3 million in the Ventura County Pool; and $0.7 million was invested in Certificate of Deposits (CDs). The cash management system of the City 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, ensure 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 infrastructure in the Government-Wide Statement of Net Assets. The City elected to use the basic approach for all infrastructures reporting, whereby l . depreciation expense and accumulated depreciation have been recorded. Capital iv assets for the fiscal year ended June 30, 2010 have a net ending balance of $151.1 million. LONG-TERM LIABILITIES/BONDED LIABILITIES At June 30, 2010, the City has no outstanding bonds or other debt but does have long-term liabilities in the approximate amount of $0.7 million for employee compensated absences (accrued leave) and $1.3 million for Pension related ........ .liabilities. The Agency has the 1999 Tax Allocation Refunding Bonds, the 2001 Tax Allocation Bonds and the 2006 Tax Allocation Bonds outstanding in the amounts of $5.5 million, $11.5 million and $11.4 million, respectively. The purpose of the 1999 Bonds was to advance refund the Agency's previously issued 1993 Tax Allocation Bonds. The purpose of the 2001 and 2006 bonds were to finance a portion of the costs of implementing the Redevelopment Plan and fund redevelopment activities within the Agency 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 CJPIA. In addition, the City also participates in the all-risk property protection offered by CJPIA. Various control techniques, including safety, ergonomic, harassment and driver awareness training have been implemented to minimize losses. AWARD The Government Finance Officers Association of the- United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City for its comprehensive annual financial report for the fiscal year ended June 30, 2009. In order to be awarded a Certificate of Achievement, a government unit must publish an easily readable and efficiently organized comprehensive annual financial report. This report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current comprehensive annual financial report continues to meet the Certificate of Achievement Program's requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. v ACKNOWLEDGEMENT We Would like to express appreciation to fill City staff that 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 the auditors, Teaman, Ramirez & Smith, Inc., Certified Public Accountants for their professional assistance. As in the past, the CAFR is available on the City's website at www,ci.moorpark.ca.us. Respectfully submitted, oesv‘. STEVEN KUENY RON AHLERS CITY MANAGER FINANCE DIRECTOR vi City of Moorpark eaa' c4 ',,, olimigrapP.) , [t djor `7 '''' 1011S -',,r4 111 k"�T of 40. Aon A 4ArEb 30' Comprehensive Annual Financial Report For the Fiscal Year Ended June 30, 2010 DIRECTORY OF CITY OFFICIALS CITY COUNCIL Janice S. Parvin, Mayor Roseann Mikos, Mayor Pro Tern David Pollock, Councilmember Keith F. Millhouse, Councilmember Mark Van Dam, Councilmember CITY MANAGEMENT STAFF Steven Kueny, City Manager Hugh Riley, Assistant City Manager Ron Ahlers, Finance Director David Bobardt, Community Development Director Deborah Traffenstedt, Administrative Services Director Vacant, City Engineer/Public Works Director Vacant, Parks & Recreation Director vii CITY OF MOORPARK ORGANIZATION CHART Arts Commission City Attorney Honorable City Council (Contract) Parks and Recreation Commission City Manager Planning Commission ` l Assistant City Manager .Emergency Services .Grants .Intergovernmental Community and Police:Services Legislative Relations .Public Facility Capital Projects (Contract) : .Public Information/Cable TV .Redevelopment Economic Development Property Management Housing r 1 l l Community Administrative Parks, Recreation and City Finance Development Services/City Clerk Community Services Engineer/Public Department Department Department Department Works Department ] L J .Building and Safety .City Clerk .Active Adult Center .Assessment District Street .Cash Management .Business Registration .Human Resources .Animal RegulationNector Lighting .Central Services .CDBG .Information Systems Control .Capital Projects .Finance and Accounting .Code Compliance .Risk Management .Art in Public Places .Crossing Guards .Fixed Assets Management .Film Permits .Library .Engineering .Purchasing .Planning .Parks/Landscape/Facilities/ .NPDES .Vendor Permits Maintenance .Parking Enforcement .Recreation .Street Maintenance. Solid Waste .Transit viii Certificate of Achievement for Excellence • in Financial Reporting Presented to City of.Moorpark California For its Comprehensive Annual Financial Report for the Fiscal Year Ended June 30, 2009 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports(CAFRs)achieve the highest standards in government accounting and financial reporting. Orti egial .h4 ., tofi President Executive Director ix This page left intentionally blank • 1 . L. L ir R S TEAMAN,RAMIREZ&SMITH,INC. CERTIFIED PUBLIC ACCOUNTANTS Independent Auditors'Report The Honorable City Council The City of Moorpark, California 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(City), as of and for the year ended June 30, 2010, which collectively comprise the City's basic financial statements as listed in the table of contents. These financial statements are the responsibility of the City's management. Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, each major fund, and the aggregate remaining fund information of the City, as of June 30, 2010, and the respective changes in financial position thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. In accordance with Government Auditing Standards, we have also issued our report dated December 7, 2010 on our consideration of the City's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is 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. The management's discussion and analysis on pages 3 through 13, the budgetary comparison information on pages 65 through 77,and the schedule of funding progress for MRHP are not a required part of the basic financial statements, but are 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 information. However,we did not audit the information and express no opinion on it. Richard A. Teaman, CPA• Greg W. Fankhanel, GPA• David M. Ramirez, OPA• Javier H. Carrillo, CPA 4201 Brockton Ave. Suite 100, Riverside CA 92501 • 951.274.9500• 951.274.7828 FAX• www.trscpas.com 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, supplementary information section, and statistical section, as listed in the table of contents are presented for purposes of additional analysis and are not a required part of the basic financial statements. The supplementary information section has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is 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. December 7,2010 L IL CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 As management of the City of Moorpark, California (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 30,2010. 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 fiscal year 2009110 by $248,428,562(net assets) - Of this amount, $17,761,703 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$1,302,959 during the current fiscal year. The Statement of Net Assets is presented on page 15. • As of June 30, 2010, the City's governmental funds (General Fund, Special Revenue Funds, Debt Service Funds, and Capital Projects Funds) reported combined ending fund balances of$132,781,925, a decrease of $2,826,257,from the prior year. • At the end of the current fiscal year,unreserved fund balance for the General Fund was $2,662,713. • The City's total Long— Term Liabilities decreased by $491,562 or 1.6% during the current fiscal year. The decrease is attributable to the difference between employee compensated absences addition; the fiscal years regularly scheduled debt service payments for the 1999, 2001 and 2006 Tax Allocation Bonds; and the decrease in pension related debt. OVERVIEW OF MC 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 are comprised of 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 fmancial 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. 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. 3 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 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 as the primary government, but also a legally separate Moorpark Redevelopment Agency (Agency), the Moorpark Public Financing Authority (Authority), and the Industrial Development Authority(IDA) of the City. 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 fmancial statements can be found on pages 14 and 15 of this report. r 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 fmancial 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 fmancing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures and changes in fund balances, provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City maintains a variety of 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, Community Development, Assessment District, Endowment, Parks/Public Facilities, MRA Operating, Police Facilities Fee, Moorpark Highlands Improvement, Redevelopment Agency Capital Projects, Special Projects and Redevelopment Agency Debt Service. All of which are considered to be major funds. Data from the remaining governmental funds are combined into a single, aggregated presentation. ludividual 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 4 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 statements are located in the basic financial statements. The non-major governmental fund budgetary comparisons are located in the non-major governmentalBends 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. Fiduciary funds are custodial in nature and, therefore, the accounting used does not involve the measurement of the results of operations. The basic fiduciary fund financial statement can-be found on page 24 of this report. Notes to the Basic Financial Statements. The notes to the basic fmancial statements provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the basic fmancial statements can be found on pages 26-64 of this report. GOVERNMENT-WIDE FINANCIAL ANALYSIS The City has continued to present its fmancial statements under the 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$248.4 million at the close of the current fiscal year. The City's net assets invested in capital assets, net of related debt reflects a positive $141.1 million. As shown on Table 1,the largest portion of the City's net assets(57%) 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. An additional portion of the City's net assets(36%)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 (7%) 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, 2010, 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. 5 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 Table 1 Net Assets Governmental Activities As of June 30,2010 and 2009 2010 2009- Assets: Current and other assets $ 143,511,765 $ 145,680,876 Capital assets 141,095,551 130,581,499 Total Assets 284,607,316 276,262,375 Liabilities: Long-term debt outstanding 29,390,677 29,942,239 Other liabilities 6,788,077 6,646,441 Total Liabilities 36,178,754 36,588,680 Net Assets: Invested in capital assets, net of related debt 141,095,551 130,581,499 Restricted 89,571,308 94,878,693 Unrestricted 17,761,703 14,213,503 Total Net Assets $ 248,428,562 $ 239,673,695 The City's net assets increased by$1.3 million during the current fiscal year. 6 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 Table 2 Changes in Net Assets Governmental Activities As of June 30,2010 and 2009 2010 2009 Revenues Program Revenues: Charges for services $ 4,148,970 $ 4,589,249 Operating contributions and grants 4,128,842 6,172,315 Capital contributions and grants 1,970,931 3,326,778 General Revenues: Property taxes 7,449,063 7,802,643 Tax increment 6,864,777 7,054,432 Franchise taxes 1,171,825 1,171,556 Sales taxes 2,382,010 2,329,522 Sales tax in lieu 588,635 849,227 Motor vehicle in lieu tax 109,136 125,307 Investment income 853,074 2,875,649 Other 283,372 386,040 Special Item—County Settlement -_ 1,000,000 Total Revenues 29,950,635 37,682,718 Expenses General government 1,603,279 2,041,596 Public safety 7,016,015 7,035,384 Public services 13,589,878 18,170,325 Parks and recreation 4,934,002 4,470,524 Interest on long-term debt 1,504,502 1,616,843 Total Expenses 28,647,676 33,334,672 Increase in net assets 1,302,959 4,348,046 Net assets-July 1, 239,673,695 235,325,649 Prior Period Adjustment 7,451,908 - Net assets-June 30, $ 248,428,562 $ 239,673,695 Il 7 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 Program Revenues Capital Charges for contributions and services grants 40% 19% Operating contributions and grants 40% Motor vehicle in lieu tax Investment income 1% 4% Sales tax in lieu Other 3% I% Sales taxes 12% Property taxes 38% Franchise taxes 6% Tax increment 35% CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 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 F 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 $132,781,925. This is a decrease of$2,426,110 in comparison with the prior year. Approximately$94.2 million or 71%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$3.0 million which is a decrease of$0.2 million or 6%from the prior year. 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 23%of total General Fund expenditures and transfers out. This is a healthy reserve. Key factors for revenues and expenses when compared to fiscal year 2008-09 are as follows: • The City's share of property taxes increased by approximately$121,000 or 2%. • Sales tax revenues also improved with an increase of approximately $53,000 or 2%. This is quite remarkable considering the economic downturn. • The Sales Tax Compensation or "triple flip" decreased$260,000 or 31%. This revenue is calculated by the State each year and reflects the economic downturn in the State of California as a whole. • Interest earnings decreased by approximately $415,000 or 57% in response to declining rates in the market. • Motor vehicle in lieu decreased by$16,000 or 13%due to the economic downturn. • Expenditures and transfers out ended the year approximately$1.4 million less than the prior year figure 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 $0.3 million from the prior year, primarily due to the receipt of development fees for various construction projects. Community Development Fund j The fund balance of the Community Development Fund increased by $49,000 from the prior year as a result of increased transfers from the General Fund to support this operation. 9 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 Assessment District Fund The fund balance of the Assessment District Fund increased by$34,000 from the prior year due to transfers from the General Fund and the Gas Tax Fund of$1.3 million. Endowment Fund The-fund balance of the Endowment Fund increased by$384,000, due to deferring capital outlay expenditures. Park/Public Facilities Fund (Includes ten(10)various development fee related funds) The fund balance of the Park Improvement Fund decreased by $1.7 million primarily due to increased capital expenditures,primarily for the new Skate Park and Poindexter Park expansion. MRA Operating Fund The fund balance of the MRA Operating Fund decreased by$2.8 million from the prior year due to a payment to the State of California for the Supplemental Educational Revenue Augmentation Fund(SERAF)of$1,925,000. Police Facilities Fee Fund The fund balance of the Police Facilities Fund increased by$0.1 million from the prior year. Moorpark Highlands Improvement Fund The Moorpark Highland Improvement Fund is one of six accounts held by the Fiscal Agent for the Community Facilities District(CFD)No. 2004-1 (Moorpark Highlands) Special Tax Bonds 2006. The Improvement account has been recorded under a capital projects fund to reflect the proceeds that have been designated for capital improvement projects. Bond proceeds of$34 million have been deposited into this fund. The expenditures of $55,000 represent payments to Pardee homes for reimbursement of improvements and grading in the district. The debt service portion of this bond issue has been recorded as an agency fund. Note that the City is not obligated in any manner for this bond issue and is only limited to acting as an agent for the assessed property owners and bondholders. Redevelopment Agency Capital Projects Fund The fund balance of the Redevelopment Agency Capital Projects Fund decreased by$713,000 from the previous year mainly due to capital outlay expenditures. Special Projects Capital Projects Fund The fund balance of the Special Projects Capital Projects Fund increased by $1.8 million from the previous year solely due to a transfer from the General Fund. 10 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 Redevelopment Agency Debt Service Fund The fund balance of the Redevelopment Agency Debt Service Fund increased by $33,000 due to investment earnings. Non-Major Governmental Funds The fund balance of all other Non-Major Governmental Funds decreased by $21,000 from the previous fiscal year. 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 {except for the Moorpark Highlands Improvement Fund as these sources have been designated for specific projects in accordance with the Bond's Official Statement})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, 2010, were right in line with the budget. Revenues were$250,000 greater than the budget and expenditures ended the year under budget by$1.3 million. CAPITAL ASSET AND LONG-TERM LIABILITIES Capital Assets. The City's investment in capital assets as of June 30, 2010, amounted to $141.1 million(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$10.5 million or 8.1%. Land shows the largest increase in 2010 at $7.7 million. This year the City recorded the Mammoth Highlands Park as a donation from the developer. 11 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30,2010 Table 3 Capital Assets(net of depreciation) Governmental Activities As of June 30,2010 and 2009 2010 2009 Land $ 36,414,011 $ 28,719,337 Construction in Progress 9,481,646 9,903,188 Buildings and improvements 29,632,142 25,393,673 Machinery and equipment 1,688,603 1,982,243 Infrastructure 63,879,149 64,583,058 Total $ 141,095,551 $ 130,581,499 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 fmancial 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 pages 45-46 of this report. Long-term Liabilities At the end of the current fiscal year,the City's long-term liability outstanding is$30.4 million. This is comprised of$28.4 million in tax allocation bonded indebtedness, $0.7 million in employee compensated absences payable and$1.3 million for pension related debt. Table 4 Outstanding Long-Term Liabilities Governmental Activities As of June 30,2010 and 2009 2010 2009 Tax Allocation Bonds (issued by the Agency) $ 28,422,563 $ 28,906,716 �. Employee Compensated Absences 673,139 642,256 Pension Related Debt 1,319,064 1,357,356 Total $ 30,414,766 $ 30,906,328 i 12 CITY OF MOORPARK MANAGEMENT'S DISCUSSION AND ANALYSJS JUNE 30,2010 The City's total liabilities decreased by $0.5 million or 1.6% during the current fiscal year. The decrease is attributable to the normal pay down of principal on the outstanding debt. Additional information on the City's long-term liabilities can be found in Note 6 on pages 47 thru 51 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 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 2010/11 and 2011/12 currently show a $28 billion shortfall. The State has not adopted a strategy to reduce this projected deficit. The City has additional protections from the State taking our monetary resources thanks to the voter passage of Proposition 22 in November 2010. The City anticipates the State taking away property tax revenue from the Agency in the amount of$396,000. General purpose revenues such as property tax and sales tax are anticipated to decrease in fiscal year 2010/11. The sales tax decrease is a reflection of the economic recession. Additionally,the City took into consideration the following factors in preparing the budget for fiscal year 2010/11: • Interest income will show a decrease in response to declining interest rates. • Slight increase in PERS retirement cost from 10.990%to 11.040%effective July 1,2010. • Projections indicate our cost for general liability and workers compensation insurance will both decrease for fiscal year 2010/11 when compared to fiscal year 2009/10 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 fiscal year 2010/11 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.m.00rpark.ca.us. 13 r ' • I This page left intentionally blank r , ✓ r � L . � i L City of Moorpark Statement of Net Assets June 30, 2010 Governmental Activities ASSETS Cash and Investments $ 100,742,441 Receivables: Taxes 726,511 Accounts 610,414 Interest 1,489,596 Notes and Loans 3,589,400 Prepaid Items 337,286 Property Held for Resale/Development 19,428,853 Restricted Cash and Investments 16,140,661 Debt Issuance Costs 446,603 Capital Assets: Non-Depreciable: Land 36,414,011 Construction in Progress 9,481,646 Depreciable,Net of Accumulated Depreciation: Buildings and Improvements 29,632,142 Machinery and Equipment 1,688,603 Infrastructure 63,879,149 Total Assets 284,607,316 LIABILITIES Accounts Payable and Accrued Liabilities 5,226,141 Interest Payable 341,025 Unearned Revenue 196,822 Noncurrent Liabilities: Due Within One Year 1,024,089 Due in More Than One Year 29,390,677 Total Liabilities 36,178,754 NET ASSETS Invested in Capital Assets 141,095,551 Restricted for: Public Services 77,819,976 Recreation Services 3,033,766 Public Safety 612,108 Low/Moderate Income Housing 8,105,458 Unrestricted 17,761,703 Total Net Assets $ 248,428,562 The accompanying notes are an integral part of this statement. 14 City of Moorpark Statement of Activities Year Ended June 30, 2010 Program Revenues Charges Operating Capital Net for Grants and Grants and Governmental Functions/Programs Expenses Services Contributions Contributions Activities Primary Government: Governmental Activities: General Government $ 1,603,279 $ 258,431 $ 50,323 $ $ (1,294,525) Public Safety 7,016,015 477,305 234,972 (6,303,738) Public Services 13,589,878 2,769,641 1,699,628 1,970,931 (7,149,678) Parks and Recreation 4,934,002 643,593 2,143,919 (2,146,490) Interest on Long-Term Debt 1,504,502 (1,504,502) Total Governmental Activities $ 28,647,676 $ 4,148,970 $ 4,128,842 $ 1,970,931 (18,398,933) General Revenues: Taxes: Property Tax,Levied for General Purpose 7,449,063 Property Tax,Redevelopment Agency Tax Increment 6,864,777 Franchise Taxes 1,171,825 Sales Tax 2,382,010 l . Sales Tax In-Lieu 588,635 Motor Vehicle In-Lieu,unrestricted 109,136 Investment Income 853,074 Other 283,372 Total General Revenues 19,701,892 Change in Net Assets 1,302,959 Net Assets-Beginning of Year 239,673,695 Prior Period Adjustment 7,451,908 Net Assets-End of Year $248,428,562 The accompanying notes are an integral part of this statement. 15 • • • • This page left intentionally blank • City of Moorpark Balance Sheet Governmental Funds June 30, 2010 Special Revenue Street and Community Assessment General Traffic Safety Development District ASSETS Cash and Investments $ 2,433,246 $ 19,969,837 $ 191,618 $ 6,702,057 Restricted Cash and Investments Receivables: Taxes 708,818 17,693 Accounts 160,507 6,131 43,285 Interest 208,098 Notes and Loans Due From Other Funds 147,902 Advances to Other Funds Prepaid Items 337,286 Property Held for Resale/Development Total Assets $ 3,995,857 $ 19,969,837 $ 197,749 $ 6,763,035 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable and Accrued Liabilities $ 995,858 $ 27,259 $ 148,226 $ 282,564 Due to Other Funds Advances from Other Funds Deferred Revenue 17,693 Total Liabilities 995,858 27,259 148,226 300,257 Fund Balances: Reserved for: Capital Projects Debt Service Property Held for Resale/Development Advances Prepaid Items 337,286 Unreserved,Reported In: General Fund 2,662,713 Special Revenue Funds 19,942,578 49,523 6,462,778 Capital Projects Funds Debt Service Funds Total Fund Balances 2,999,999 19,942,578 49,523 6,462,778 Total Liabilities and Fund Balances $ 3,995,857 $ 19,969,837 $ 197,749 $ 6,763,035 The accompanying notes are an integral part of this statement. 16 1 . Special Revenue Capital Projects Moorpark Parks/Public MRA Police Highlands Redevelopment Endowment Facilities Operating Facilities Fee Improvement Agency $ 3,228,417 $ 2,604,075 $ 4,115,164 $ 972 $ $ 11,043,917 13,961,736 9,171 20,715 1,263,869 17,629 800,000 1,704,786 350,000 1,933,495 7,142,622 4,398,806 $ 5,961,912 $ 2,613,246 $ 14,247,156 $ 972 $ 13,961,736 $ 15,810,352 $ 128,617 $ 3,045,569 $ $ $ 2,121 61,233 33,752 1,000,000 1,933,495 800,000 2,957,967 800,000 1,128,617 6,064,769 1,933,495 - 35,873 13,961,736 7,142,622 4,398,806 1,933,495 3,228,417 1,484,629 1,039,765 (1,932,523) 11,375,673 5,161,912 1,484,629 8,182,387 (1,932,523) 13,961,736 15,774,479 $ 5,961,912 $ 2,613,246 $ 14,247,156 $ 972 $ 13,961,736 $ 15,810,352 Continued The accompanying notes are an integral part of this statement. 17 L City of Moorpark Balance Sheet Governmental Funds - Continued June 30,2010 Capital Projects Debt Service Non-Major Total Special Redevelopment Governmental Governmental Projects Agency Funds Funds ASSETS Cash and Investments $ 24,292,789 $ $ 26,160,349 $ 100,742,441 Restricted Cash and Investments 2,178,925 16,140,661 Receivables: Taxes 726,511 Accounts 370,605 610,414 Interest 1,489,596 Notes and Loans 1,084,614 3,589,400 Due From Other Funds 166,564 664,466 Advances to Other Funds 1,000,000 2,933,495 Prepaid Items 337,286 Property Held for Resale/Development 7,887,425 19,428,853 Total Assets $ 25,292,789 $ 2,178,925 $ 35,669,557 $ 146,663,123 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable and Accrued Liabilities $ $ $ 595,927 $ 5,226,141 Due to Other Funds 569,481 664,466 Advances from Other Funds 2,933,495 Deferred Revenue 1,281,436 5,057,096 Total Liabilities - - 2,446,844 13,881,198 Fund Balances: Reserved for: Capital Projects 13,961,736 Debt Service 1,884,723 1,884,723 Property Held for Resale/Development 7,887,425 19,428,853 Advances 1,000,000 2,933,495 Prepaid Items 337,286 Unreserved,Reported In: General Fund 2,662,713 Special Revenue Funds 20,964,948 53,172,638 Capital Projects Funds 24,292,789 4,370,340 38,106,279 Debt Service Funds 294,202 294,202 Total Fund Balances 25,292,789 2,178,925 33,222,713 132,781,925 Total Liabilities and Fund Balances $ 25,292,789 $ 2,178,925 $ 35,669,557 $ 146,663,123 The accompanying notes are an integral part of this statement. 18 City of Moorpark Reconciliation of the Governmental Funds - Balance Sheet to the Statement of Net Assets June 30, 2010 Fund balances of governmental funds $ 132,781,925 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 governmenal funds. 141,095,551 Long-term notes and loans receivable are not current financial resources and, therefore, are deferred in the governmental funds. 3,589,400 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. 1,270,874 Interest expenditures are recognized when due, and therefore, interest payable is not recorded in the governmental funds. (341,025) Long-term liabilities are not due and payable in the current period and are not reported in the funds. Compensated Absences (673,139) Tax Allocation Bonds (28,710,000) Unamortized Discount 287,437 Pension Related Debt (1,319,064) Issuance costs net of accumulated amortization were recorded as expenditures in the governmental funds. 446,603 Net assets of governmental activities $ 248,428,562 The accompanying notes are an integral part of this statement. 19 City of Moorpark Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds Year Ended June 30, 2010 Special Revenue Street and Community Assessment General Traffic Safety Development District REVENUES Taxes $ 10,794,266 $ $ $ Licenses and Permits 146,915 451,455 Fines and Forfeitures 195,161 15,457 Use of Money and Property 492,505 247,087 136 84,380 Charges for Services 784,383 432,459 610,657 6,775 Intergovernmental 162,527 Maintenance Assessments 1,887,286 Other Revenue 133,789 430 75,101 240,034 Total Revenues 12,709,546 679,976 1,152,806 2,218,475 EXPENDITURES Current: General Government 1,497,916 Public Safety 6,076,995 443,850 Public Services 77,649 33,277 1,990,225 Parks and Recreation 1,486,374 2,960,426 Capital Outlay 99,215 345,914 68,347 Debt Service: Principal Interest Total Expenditures 9,238,149 379,191 1,990,225 3,472,623 Excess(Deficiency)of Revenues over Expenditures 3,471,397 300,785 (837,419) (1,254,148) OTHER FINANCING SOURCES (USES) Transfer In 136,398 886,942 1,288,301 Transfer Out (3,813,625) (18,754) Total Other Financing Sources(Uses) (3,677,227) (18,754) 886,942 1,288,301 Net Change in Fund Balances (205,830) 282,031 49,523 34,153 Fund Balances,Beginning of Year 3,205,829 19,660,547 - 6,428,625 Prior Period Adjustment Fund Balances,End of Year $ 2,999,999 $ 19,942,578 $ 49,523 $ 6,462,778 The accompanying notes are an integral part of this statement. 20 Special Revenue Capital Projects Moorpark Parks/Public MRA Police Highlands Redevelopment Endowment Facilities Operating Facilities Fee Improvement Agency $ $ $ 3,771,651 $ $ $ 110,971 38,275 100,607 1,585 85,355 327,462 67,716 89,495 63,145 95 68,115 438,433 195,581 3,940,373 63,145 1,585 85,355 6,282 6,590,521 8,361 6,600 54,187 1,911,627 4,219 54,775 759,299 76,500 54,187 1,924,509 6,671,240 - 54,775 767,660 384,246 (1,728,928) (2,730,867) 63,145 (53,190) (682,305) 1,860,440 1,857,500 (2,760) (1,921,660) (1,887,728) (2,760) (61,220) - - (30,228) 384,246 (1,731,688) (2,792,087) 63,145 (53,190) (712,533) 4,777,666 3,216,317 10,974,474 (1,995,668) 14,014,926 16,288,672 198,340 $ 5,161,912 $ 1,484,629 $ 8,182,387 $ (1,932,523) $ 13,961,736 $ 15,774,479 Continued The accompanying notes are an integral part of this statement. 21 City of Moorpark Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds - Continued Year Ended June 30, 2010 Capital Projects Debt Service Non-Major Total Special Redevelopment Governmental Governmental Projects Agency Funds Funds REVENUES Taxes $ $ 1,720,138 $ 2,444,716 $ 18,730,771 Licenses and Permits 598,370 Fines and Forfeitures 225,759 436,377 Use of Money and Property 6,600 32,868 346,860 1,547,229 Charges for Services 1,054,823 3,284,275 Intergovernmental 2,377,110 2,629,132 Maintenance Assessments 1,950,431 Other Revenue 70,268 587,832 ` Total Revenues 6,600 1,753,006 6,519,536 29,764,417 EXPENDITURES Current: General Government 1,497,916 Public Safety 248,639 6,769,484 Public Services 3,637,581 12,343,896 r Parks and Recreation 4,453,400 Capital Outlay 2,250,596 5,548,179 Debt Service: Principal 495,000 495,000 Interest 1,376,091 30,208 1,482,799 Total Expenditures - 1,871,091 6,167,024 32,590,674 Excess(Deficiency)of Revenues over Expenditures 6,600 (118,085) 352,512 (2,826,257) OTHER FINANCING SOURCES(USES) Transfer In 1,837,820 150,952 1,359,748 9,378,101 Transfer Out (1,733,574) (9,378,101) Total Other Financing Sources(Uses) 1,837,820 150,952 (373,826) - L . Net Change in Fund Balances 1,844,420 32,867 (21,314) (2,826,257) Fund Balances,Beginning of Year 23,448,369 2,146,058 33,042,220 135,208,035 ? , Prior Period Adjustment 201,807 400,147 Fund Balances,End of Year $ 25,292,789 $ 2,178,925 $ 33,222,713 $ 132,781,925 The accompanying notes are an integral part of this statement. 22 City of Moorpark Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities Year Ended June 30, 2010 Net change in fund balances-total governmental funds $(2,826,257) Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlays as expenditures. However,in the statement of activities,the cost of those assets is allocated over ther 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 6,854,946 Depreciation expense (3,376,108) 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 included the following: Costs of assets disposed (40,832) Accumulated depreciation on disposed assets 24,285 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 loam are made or repaid. This amount represents the net change in the long-term notes and loans receivable. 210,242 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. (24,023) The issuance of long-term debt provides current financial resources to governmental funds,while the repayment of the principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction,however,has any effect on net assets. Also governmental funds report the effect of issuance costs, premiums, discounts, and similar items when debt is first issued,whereas these amounts are deferred and amortized in the statement of activities. This amount is the net effect of these differences in the treatment of long-term debt and related items. 505,592 � I 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. 5,997 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. (30,883) Change in net assets of governmental activities $ 1,302,959 The accompanying notes are an integral part of this statement. 23 t . This page left intentionally blank , � IIII L . i l . City of Moorpark Statement of Fiduciary Assets and Liabilities Agency Funds June 30, 2010 ASSETS Cash and Investments $ 3,429,286 Restricted Cash and Investments 7,307,054 Accounts Receivable 23,307 Total Assets $ 10,759,647 LIABILITIES Accounts Payable $ 100,902 Deposits 3,330,023 Due to Bondholders 7,328,722 Total Liabilities $ 10,759,647 Ilf The accompanying notes are an integral part of this statement. 24 • • • This page left intentionally blank r i I • i r l fi L , L . l. _ � . City of Moorpark Notes to Financial Statements Year Ended June 30,2010 NOTE DESCRIPTION PAGE 1 Summary of Significant Accounting Policies 26-35 2 Cash and Investments 35 -40 3 Notes and Loans Receivable 41 -43 4 Interfund Transactions 43 -45 5 Capital Assets and Depreciation 45-46 6 Long-Tenn Liabilities 47- 51 7 Agreements with Various Taxing Agencies 51 - 53 8 Retirement Plan 53 - 54 9 Other Post Employment Benefits(OPEB) 54-56 10 Conduit Debt-Revenue Bonds 57 11 Special Assessment Bonds 57 -58 12 Risk Management 58 - 60 13 Classification of Net Assets and Fund Balance 60-62 14 Commitments and Contingencies 62 - 63 15 Proposition lA Borrowing by the State of California 63 16 New Pronouncement 64 17 Prior Period Adjustment 64 18 Subsequent Events 64 25 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accounting policies of the City of Moorpark (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) Reporting Entity The reporting entity "City of Moorpark" includes the accounts of the City, the Moorpark Redevelopment Agency (Agency), the Moorpark Public Financing Authority (PFA), and the Industrial Development Authority of the City of Moorpark(IDA). The City was incorporated in July, 1983 as a general law city and operates under a Council/Manager form of government. The Agency 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 Agency in order to provide financial assistance to the City and the Agency by issuing debt and financing the construction of public facilities. The IDA was formed in 1985 pursuant to the California Industrial Development Financing Act (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 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 L 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 Agency,the PFA, and IDA as "blended" component units. Despite being legally separate,they are so intertwined with the City,they are in substance,part of the City's operations. Accordingly,the balances and transactions of the Agency are reported as separate funds in the Special Revenue,Debt Service, and Capital Projects Funds. The PFA and IDA are inactive. 26 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES-Continued A) Reporting Entity-Continued The following specific criteria were used in determining that the Agency,the PFA,and the IDA are "blended"component unit: 1) The members of the City Council also act as the governing body of the Agency, the PFA, and the IDA. 2) The City, the Agency, the PFA, and the IDA are financially interdependent. The City makes loans to the Agency for use on redevelopment projects. Available property tax revenues of the Agency will be used to repay the loans from the City. 3) The Agency,the PFA,and the IDA are managed by employees of the City. The financial statements for the Agency may be obtained at the City's administrative offices. The PFA and IDA do not issue separate financial statements. B) Accounting and Reporting Policies The City has conformed to the pronouncements of the GASB, which are the primary authoritative statements of the 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 issued on or before November 30, 1989,unless any such pronouncements contradict GASB pronouncements. C) Description of Funds The accounts of the City are organized on the basis of funds, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self- balancing accounts that comprise its assets, liabilities,fund equity,revenues, and expenditures. The following are types of funds used: Governmental Fund Types General Fund- Used to account for all financial resources except those required to be accounted for in another fund. Special Revenue Funds Used to account for the proceeds of specific revenue sources that are restricted by law or administrative action for specified purposes. ( 27 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES-Continued C) Description of Funds-Continued Debt Service Funds - 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 Type Agency Funds - Used to account for assets held by the City as an agent for individuals, private organizations,other governments and/or other funds. I)) 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. 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 expenses of a given function are offset by program revenues. Direct expenses 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 t 28 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES-Continued D) Basis of Accounting and Measurement Focus-Continued 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 regard 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 presents 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 included 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. 29 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES-Continued D) Basis of Accounting and Measurement Focus-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 Assessment District Special Revenue Fund is used to account for funds received by the City for maintenance of community-wide parks and landscaping. 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 Parks/Public Facilities Special Revenue Fund is used to account for fees used for park and public facilities improvements as a result of additional development. The MRA Operating Special Revenue Fund is used to account for monies received and expended within the project area in accordance with the Redevelopment Plan of the Agency made pursuant to redevelopment laws of the State of California. The Police Facilities Fee Capital Projects Fund is used to account for the funds used to build the new police facility. The Moorpark Highlands Improvement Capital Projects Fund is used to account for the receipt and expenditure of the Community Facilities District(CFD)No. 2004-1 special tax bonds proceeds. The Redevelopment Agency Capital Projects Fund is used to account for the funds used for the Agency's capital improvement projects. 30 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES-Continued D) Basis of Accounting and Measurement Focus-Continued The Special Projects Fund is used to account for various City capital improvement projects. The Redevelopment Agency Debt Service Fund is used to account for the accumulation of resources for, and the payment of principal and interest on the Agency's debt and other long-term obligations. Fiduciary Fund Financial Statements Fiduciary Fund Financial Statements include a Statement of Net Assets. The fiduciary fund is used to report assets held in a trustee or agency capacity for others and therefore are not available to support City programs. Since these assets are being held for the benefit of a third party,these funds are not incorporated into the government-wide statements. The City's only fiduciary fund is an agency fund, which uses the accrual basis of accounting to account for developer deposits and assets held for property owners of various assessment and community facilities districts. The agency fund is custodial in nature (assets equal liabilities) and therefore does not involve measurement of results of operations. E) Investments The City has adopted the provisions of GASB Statement No. 31, Accounting and Financial Reporting for Certain Investments and External Pools, which requires 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. F) Property Held for Resale/Development Property held for resale in the MRA Operating Special Revenue Fund, Low and Moderate Income Housing Special Revenue Fund and the Redevelopment Agency Capital Projects Fund represents land and buildings purchased by the Agency. Such property is valued at the lower of cost or 31 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES-Continued F) Property Held for Resale/Development-Continued estimated net realizable value (as determined by a disposition and development agreement between the Agency and a developer) and has been offset by reservation of fund balance to indicate that assets constitute future capital projects and are not available spendable resources. The balance at June 30,2010 was$19,428,853. G) Capital Assets Capital assets, which include land, machinery and equipment (vehicles, computers, etc), buildings and improvements, and infrastructure assets (street systems, storm chains, sewer systems, etc.), are reported in the 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: Building and Improvements 25 to 50 years Vehicles,Computers, and equipment 3 to 20 years Infrastructure Assets Roadway Network 7 to 100 years Drain Network 20 to 100 years Parks and Recreation Network 50 years H) Deferred Revenue 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, 2010, the total unearned revenue amounted to $196,822 and unavailable revenue amounted to$4,860,274. 32 1 . � City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES-Continued I) Long-Term Debt In the government-wide financial statements, long-term debt and other 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. J) 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. The amount of maximum hours for the leave accrual is based on the employee classification: regular employee, management, department head or City Manager. 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 and City's MOU. There is no fixed payment schedule for employee compensated absences. K) Property Taxes The duties of assessing and collecting property taxes are performed by the Ventura County (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 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 andersonal property,as it exists on that date. p 1 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. 33 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES—Continued L) Claims and Judgments When it is probable that a claim liability has been incurred, and the amount of the loss can be reasonably estimated, the City records the estimated loss, net of any insurance coverage under its self-insurance program. At June 30, 2010, in the opinion of the City Attorney, the City had no material claims, which require loss provision 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 Insurance Authority (Authority). The Authority is a public entity risk pool, which is accounted for under the provisions of GASB Statement No. 10. Claim losses recorded in the Authority include both current claims and Incurred But Not Reported claims (IBNR). These deposits are subject to retrospective adjustment. Favorable claims experience results in a refund of deposits from the Authority and such refunds, if any, are recorded as a reduction of insurance expenditures in the year received. Adverse claims experience results in the payment of additional deposits and such deposits, if any, are recorded as insurance expenditures when paid. M)Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. II N) 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. 0) Explanation of Certain Differences Between the Governmental Fund Statement of Revenues, Expenditures and Changes in Fund Balances and the Government-wide Statement of Activities The reconciliation states that the issuance of long-term debt provides current financial resources to governmental funds, while the repayment of the principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any affect on net L . 34 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES—Continued 0) Explanation of Certain Differences Between the Governmental Fund Statement of Revenues, Expenditures and Changes in Fund Balances and the Government-wide Statement of Activities-Continued assets. Also governmental funds report the affect of issuance costs, premiums, discounts, and similar items when debt is first issued, whereas these amounts are deferred and amortized in the statement of activities. The details of this$505,592 difference is as follows: Amortization of Issuance Costs $ (16,853) Amortization of Bond Discounts (10,847) Principal Repayment 495,000 Principal Payment on Pension Related Debt 38,292 Net adjustment to increase net change in fund balances - total governmental funds to arrive at changes in net assets of governmental activities $ 505,592 2) CASH AND INVESTMENTS Cash and investments at June 30,2010,consisted of the following: City Treasury Deposits Demand Deposits $ 2,478,660 Cash on Hand 3,250 Total City Treasury Deposits 2,481,910 City Treasury Investments Certificates of Deposit 700,000 Local Agency Investment Fund(LAIF) 51,694,108 Ventura County Pool 49,295,709 Total City Treasury Investments 101,689,817 Cash and Investments With Fiscal Agent Money Markets 20,521,758 Guaranteed Investment Contracts 2,925,957 Total Cash and Investments With Fiscal Agent 23,447,715 Total Cash and Investments $127,619,442 35 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 2) CASH AND INVESTMENTS-Continued Cash and Investments are reported in the basic financial statements as follows: Statement of Statement of Fiduciary Net Assets Net Assets Governmental Activities Agency Fund Total Cash and Investments $ 100,742,441 $ 3,429,286 $104,171,727 Restricted Cash and Investment 16,140,661 7,307,054 23,447,715 Total $ 116,883,102 $ 10,736,340 $127,619,442 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. A) Authorized Investments Investments Authorized by the California Government Code and the City'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 provisions of debt agreements of the City, rather than the general provisions of the California Government or the City's investment policy. As of June 30, 2010, the only debt agreements of the City pertain to the Agency. 36 , , City of Moorpark Notes to Financial Statements Year Ended June 30,2010 2) CASH AND INVESTMENTS- Continued A) Authorized Investments-Continued 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 None None Medium-Term Notes 5 years 30% None Money Market Mutual Funds N/A 20% None County Pooled Investment Funds N/A None None LAIF 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. 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 37 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 2) CASH AND INVESTMENTS-Continued 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 investment to market interest rate fluctuation is provided by the following table that shows the distribution of the City's investments by maturity. Investment Maturities(in Years) Investment Type Total Less than 1 1 to 2 2 to 3 3 to 4 >5 LAIF $ 51,694,108 $51,694,108 $ $ $ $ Ventura County Pool 49,295,709 49,295,709 Certificates of Deposit 700,000 600,000 100,000 Held by Bond Trustee: Money Market Funds 20,521,758 20,521,758 Guaranteed Investment Contracts 2,925,957 2,925,957 Total $125,137,532 $122,111,575 $ 100,000 $ - $ - $2,925,957 C) Credit Risk and Concentration of Credit Risk Deposits { At June 30, 2010, the carrying amount of the City's deposits was $2,478,660. Bank balances before reconciling items were $2,819,456 at June 30, 2010, of which $2,819,456 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. 38 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 2) CASH AND INVESTMENTS-Continued C) Credit Risk and Concentration of Credit Risk-Continued Deposits - Continued 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 $250,000 by the Federal Deposit Insurance Corporation. The City, however, does not normally waive 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 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 Percentage of Investment Type Carrying Value Credit Rating Investments LAIF $ 51,694,108 Not Rated 41.31% Ventura County Pool 49,295,709 Not Rated 39.39% Certificates of Deposit 700,000 Not Rated .56% Held by Bond Trustee: 1 Money Market Funds 20,521,758 Not Rated 16.40% Guaranteed Investment Contracts 2,925,957 Not Rated 2.34% Total $ 125,137,532 100.00% The City has no investments in any one issuer that represent 5% or more of total investments as of June 30,2010 other than LAW and the Ventura County Pool. 39 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 2) CASH AND INVESTMENTS-Continued D) Local Agency Investment Fund(LAII') The LAE is a special fund of the California State Treasury through which local governments may pool investments. Each governmental agency may invest up to $50,000,000 in each account in the fund. Investments in LAT 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 secures investment in LAIF. At June 30, 2010, accounts were maintained in the name of the City for $36,602,174 and the Agency for$15,091,934. The total cost value of investment in LAW was $51,694,108. The total fair value of investments in LAIF was $51,779,082. The unrealized gain was based on a fair market value adjustment factor of 1.001643776 that was calculated by the State of California Treasurer's Office. At June 30, 2010, the market value of the State of California Pooled Money Investment Account(PMIA) including accrued interest was $69,573,678,456. The State of California Pooled Money Account portfolio had securities in the form of structured notes and asset-backed securities. 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 PMIA and LAW Advisory Boards 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$49,295,709 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. L . . 40 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 3) NOTES AND LOANS RECEIVABLE Notes and loans receivable activity for the year ended June 30,2010, is as follows: Beginning Ending Balance Increases Decreases Balance _ Notes Receivable: Asadurian $ 800,000 $ $ $ 800,000 Mission Bell 1,704,786 1,704,786 Deferred Property Assessments 250,249 250,249 Total Notes Receivable 2,755,035 - - 2,755,035 Loans Receivable: Rehabilitation 31,384 31,384 First-time Homeowners Assistance 211,556 211,556 CalHome 381,183 (122,204) 258,979 Area Housing Authority 125,514 206,932 332,446 Total Loans Receivable 749,637 206,932 (122,204) 834,365 Total Notes and Loans Receivable $ 3,504,672 $ 206,932 $ (122,204 $ 3,589,400 A) Asadurian Note On April 7, 2003,the City entered into an agreement with Asadurian Investment Corporation(AIC) whereby in return for land disposition, the City received a $1,200,000 promissory note secured by Deed of Trust. The note bears simple interest at the rate equal to the average monthly interest rate announced by LAIF. The borrower shall pay the City the amount of$80,000 plus interest over fifteen years. Payments are due annually in April. AIC did not pay the April 2010 payment. A bank holds a first trust deed note on the property which is superior to the City's note. The bank is seeking to foreclose on the property due to lack of payment by AIC. AIC had filed for bankruptcy but that case was dismissed. The balance outstanding at June 30,2010 was$800,000. 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 3%to a rate of 6%per annum from August 29, 1995 until August 29, 2029. In June 2004 the Agency, per settlement agreement discharged three of the remaining six of the original seven promissory notes totaling $500,000. In September of 2006, notes number 2 and 6 were paid off. The balance of the remaining note (note no. 7) outstanding at June 30,2010 was$1,704,786. Principal and interest are due on September 2,2029. 41 1 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 3) NOTES AND LOANS RECEIVABLE - Continued C) Deferred Property Assessments Notes In March 1993, the City entered into agreements with three 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, 2010, the principal balance outstanding was $250,249. D) Rehabilatation Loans The Agency operates a rehabilitation loan program for the renovation of low and moderate income housing. The total balance outstanding at June 30,2010,was $31,384. E) First-Time Homeowner Assistance The City provides down payment assistance loans to first-time homeowners. The total balance outstanding at June 30,2010 was$211,556.In order to reinforce the resale restrictions on properties purchased through the City's First Time Home Buyer Program, buyers execute Promissory Notes and Deeds of Trust, which are recorded to secure these Notes. The Notes become payable only in the event of a default of any provision of this program. F) CalHome Mobilehome Rehabilitation Loans The total balance of CalHome loans for repairs to mobilehomes in Villa del Arroyo at June 30, 2010 was $258,979. These loans are subject to a conditional forgiveness provision, beginning in Year 6 of the loan, continuing through Year 10 of the loan, with 20% of the balance forgiven each of these years;to date $150,256 has been received and $65,202 has been forgiven. Funds received are deposited into a City Trust Fund to be used for eligible home ownership-related activities. 42 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 • 3) NOTES AND LOANS RECEIVABLE-Continued • G) Area Housing Authority(AHA) The Agency has entered into an agreement to loan the County of Ventura AHA up to $350,000 to assist in developing residential rental units on Agency owned property. As of June 30, 2010, the AHA has drawn down $332,446 on the available loan. The outstanding principal balance and interest are expected to be paid during fiscal year 2010/11. 4) INTERFUND TRANSACTIONS Due to/Due From Due to/due from other funds for the year ending June 30,2010, consisted of the following: DUE TO RDA Capital General Projects Non-Major Fund Fund Funds Total RDA Capital Projects Fund $ 33,752 $ $ $ 33,752 DUE MRA Operating Fund 61,233 61,233 FROM Non-Major Funds 52,917 350,000 166,564 569,481 Total $ 147,902 $ 350,000 $ 166,564 $ 664,466 The General Fund has advanced to the Agency and the State and Federal Assistance Fund $147,902 to cover current expenditures while the RDA Capital Projects Fund advanced the Low and Moderate Income Housing Fund$350,000 to fund housing projects. Balances between Non-Major Funds were to ti cover deficits at year end. Repayments are expected during fiscal year 2010/11. Advances to/from Other Funds The Special Projects Fund has advanced to the Parks/Public Facilities Fund $1,000,000 to construct a new Skate Park and improvement of the Poindexter Park. The advance is expected to be repaid with development fees to be collected in the future. The Endowment Fund has advanced to the Police Facilities Fee Fund $1,933,495 to fund capital improvements. The advance is expected to be repaid with development fees to be collected in the future. 43 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 4) INTERFUND TRANSACTIONS- Continued Transfers Interfund transfers for the year ended June 30,2010 consisted of the following: TRANSFER FROM RDA General Street and Capital Parks/Public Fund Traffic Safety Project Facilities General Fund $ $ 18,754 $ $ 2,760 RDA Debt Service Fund RDA Capital Projects Fund TRANSFER Special Projects Fund 1,837,820 TO Community Development Fund 860,255 Assessment District Fund 1,115,550 MRA Operating Fund 1,857,500 Non-Major Funds 30,228 Total $ 3,813,625 $ 18,754 $ 1,887,728 $ 2,760 r ' TRANSFER FROM MRA Non-Major Operating Funds Total General Fund $ $ 114,884 $ 136,398 RDA Debt Service Fund 150,952 150,952 RDA Capital Projects Fund 1,857,500 1,857,500 TRANSFER Special Projects Fund 1,837,820 TO Community Development Fund 26,687 886,942 Assessment District Fund 172,751 1,288,301 MRA Operating Fund 2,940 1,860,440 Non-Major Funds 64,160 1,265,360 1,359,748 Total $ 1,921,660 $ 1,733,574 $ 9,378,101 Transfers are used to (1)move revenues from the fund that statute or budget requires to collect them to the fund that statute or budget requires to expend them and (2) use unrestricted revenues collected in the General Fund to finance various programs accounted for in other funds in accordance with budgetary authorizations or grant matching requirements. 44 1 , City of Moorpark Notes to Financial Statements Year Ended June 30,2010 4) INTERFIJND TRANSACTIONS-Continued The transfers of$1,857,500 between the Redevelopment Agency Capital Projects Fund and the MRA Operating Fund were to transfer land held for resale to the Redevelopment Agency Capital Projects Fund and to reimburse the MRA Operating Fund for the cost of the land transferred. The Low and Moderate Income Housing Special Revenue Fund transferred funds to the Redevelopment Agency Debt Service Fund to pay the 20% debt service on the 1999 Tax Allocation Refunding Bonds. The General Fund transferred $1,837,820 to the Special Projects Fund to fund various capital projects of the City. The General Fund transferred funds to the Community Development and Assessment District Funds to finance these operations. 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 have been recorded. 45 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 5) CAPITAL ASSETS AND DEPRECIATION-Continued The following table presents the capital assets activity for the year ended June 30,2010. Beginning Ending Balance Adjustments* Increases Decreases Balance Governmental Activities: Capital Assets,Not Depreciated: Land $ 28,719,337 $ 7,577,422 $ 117,252 $ $ 36,414,011 Construction in Progress 9,903,188 (525,661) 3,652,864 (3,548,745) 9,481,646 , Total Capital Assets Not Depreciated 38,622,525 7,051,761 3,770,116 (3,548,745) 45,895,657 Capital Assets Being Depreciated: Buildings and Improvements 30,497,261 (23,026) 5,244,138 (15,095) 35,703,278 Machinery and Equipment 4,511,773 71,938 (20,626) 4,563,085 Infrastructure Roadway System 93,683,497 3,150 (5,111) 93,681,536 Storm Drainage System 1,619,399 1,314,349 2,933,748 Parks System 251,434 251,434 Total Capital Assets Being Depreciated 130,563,364 (23,026) 6,633,575 (40,832) 137,133,081 Less Accumulated Depreciation: Buildings and Improvements (5,103,588) 23,026 (997,241) 6,667 (6,071,136) 1 Machinery and Equipment (2,529,530) (362,570) 17,618 (2,874,482) Infrastructure Roadway System (30,733,907) (1,988,502) (32,722,409) Storm Drainage System (184,696) (22,766) (207,462) Parks System (52,669) (5,029) (57,698) Total Accumulated Depreciation (38,604,390) 23,026 (3,376,108) 24,285 (41,933,187) I Total Capital Assets Being Depreciated,Net 91,958,974 - 3,257,467 (16,547) 95,199,894 Government Activities Capital Assets, Net of Depreciation $ 130,581,499 7,051,761 $ 7,027,583 $ (3,565,292) $ 141,095,551 *Represents prior period adjustments(see Note 17). Depreciation expense was charged to functions/programs of the primary government as follows: Governmental Activities: , General Government $ 116,007 Public Safety 234,774 Public Services 2,551,192 Parks and Recreation 474,135 Total Depreciation Expense $ 3,376,108 46 City of Moorpark. 'Notes to Financial Statements Year Ended June 30,2010 6) LONG-TERM LIABILITIES Long-term liability activities for the year ended June 30,2010,are as follows: Beginning Ending Due Within Balance Additions Deletions Balance One Year 1999 Tax Allocation Bonds $ 5,970,000 $ $ (475,000) $ 5,495,000 $ 500,000 2001 Tax Allocation Bonds 11,540,000 (20,000) 11,520,000 15,000 2006 Tax Allocation Bonds 11,695,000 11,695,000 40,000 Discount on Bonds (298,284) 10,847 (287,437) (10,847) Pension Related Debt 1,357,356 (38,292) 1,319,064 Employee Compensated Absences 642,256 510,819 (479,936) 673,139 479,936 Total $30,906,328 $ 510,819 IS129122311.1 $30,414,766 $ 1,024,089 A) 1999 Tax Allocation Bonds In 1999, the Agency issued $9,860,000 aggregated principal amount of Moorpark Redevelopment Project 1999 Tax Allocation Refunding Bonds (1999 Bonds). The purpose of the 1999 Bonds was to advance refund the Agency's previously issued $10,000,000 Moorpark Redevelopment Project, 1993 Tax Allocation Bonds(1993 Bonds). The purpose of the 1993 Bonds was to finance a portion of the costs of implementing the Redevelopment Plan, including low and moderate-income housing projects. The 1999 Bonds bear interest at rates ranging from 3.05 percent to 4.875 percent per annum, payable semi-annually on April 1 and October 1 of each year,commencing on October 1, 1999, and are subject to mandatory sinking fund redemption commencing on October 1, 2009, and on each October 1 thereafter. The Bonds are payable from and secured by the tax revenues to be derived from the project area. The 1999 Bonds are secured by all property tax increment revenue, which is deposited in the Redevelopment Agency 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 Agency is in compliance with the covenants contained in debt indenture, which require the establishment of certain specific accounts for the 1999 Bonds. 47 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 6) LONG-TERM LIABILITIES - Continued A) 1999 Tax Allocation Bonds-Continued Debt service payments on the 1999 Bonds payable will be made from the Redevelopment Agency Debt Service Fund. Annual debt service requirements to maturity are as follows: Year Ending Tax Allocation Bonds June 30, Principal Interest Total 2011 $ 500,000 $ 255,694 $ 755,694 2012 525,000 230,709 755,709 2013 550,000 204,506 754,506 2014 580,000 176,962 756,962 2015 605,000 148,078 753,078 2016-2019 2,735,000 274,827 3,009,827 Total $ 5,495,000 $ 1,290,776 $ 6,785,776 B) 2001 Tax Allocation Bonds In December 2001, the Agency issued$11,625,000 of Tax Allocation Parity Bonds (2001 Bonds). The proceeds of the 2001 Bonds will be used to fund redevelopment activities within the Moorpark Redevelopment Project area. Interest on the 2001 Bonds is payable semi-annually on April 1 and October 1, commencing April 1, 2002, at rates ranging from 2.85 percent to 5.13 percent per annum. The 2001 Bonds maturing October 2031 are subject to mandatory sinking funds redemption in the amount of the principal and accrued interest. The 2001 Bonds are payable from and secured by the tax revenues to be derived from the project area. The 2001 Bonds are secured by all property tax increment revenue, which are deposited in the Redevelopment Agency 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 2001 Bonds. In addition, the bond resolutions require retention of funds held by the fiscal agent prior to use for other than debt service. The Agency is in compliance with the covenants contained in debt indentures, which require the establishment of certain specific accounts for the 2001 Bonds. Debt service payments on the 2001 Bonds payable will be made from the Redevelopment Agency Debt Service Fund. 48 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 6) LONG-TERM LIABILITIES- Continued B) 2001 Tax Allocation Bonds-Continued Annual debt service requirements to maturity are as follows: Year Ending Tax Allocation Bonds June 30, Principal Interest Total 2011 $ 15,000 $ 587,743 $ 602,743 2012 15,000 587,098 602,098 2013 20,000 586,319 606,319 2014 15,000 585,525 600,525 2015 20,000 584,711 604,711 2016-2020 720,000 2,893,470 3,613,470 2021-2025 3,705,000 2,289,046 5,994,046 2026-2030 4,755,000 1,211,422 5,966,422 2031-2032 2,255,000 116,978 2,371,978 Total $ 11,520,000 $ 9,442,312 $ 20,962,312 C) 2006 Tax Allocation Bonds In 2006, the Agency issued an $11,695,000 aggregated principal amount of Moorpark Redevelopment Project 2006 Tax Allocation Bonds (2006 Bonds). The purpose of the 2006 Bonds was to finance redevelopment activities related to the Moorpark Redevelopment Project Area. The 2006 Bonds bear interest at rates ranging from 3.625 percent to 4.375 percent per annum, payable semi-annually on April 1 and October 1 of each year, commencing on April 1,2007, and are subject to mandatory sinking fund redemption commencing on October 1, 2016, and on each October 1 thereafter. The 2006 Bonds are payable from and secured by the tax revenues to be derived from the project area The 2006 Bonds are secured by all property tax increment revenue, which is recorded in the Redevelopment Agency 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 2006 Bonds. The Agency is in compliance with the covenants contained in the debt indenture, which require the establishment of certain specific accounts for the 2006 Bonds. 49 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 6) LONG-TERM LIABILITIES- Continued C) 2006 Tax Allocation Bonds-Continued Debt service payments on the 2006 Bonds payable will be made from the Redevelopment Agency Debt Service Fund. Annual debt service requirements to maturity are as follows: Year Ending Tax Allocation Bonds June 30, Principal Interest Total 2011 $ 40,000 $ 507,437 $ 547,437 2012 40,000 505,987 545,987 2013 35,000 504,628 539,628 2014 40,000 503,269 543,269 2015 40,000 501,819 541,819 2016-2020 235,000 2,483,919 2,718,919 2021-2025 295,000 2,431,187 2,726,187 2026-2030 355,000 2,361,781 2,716,781 2031-3035 4,270,000 2,028,031 6,298,031 2036-2039 6,345,000 570,172 6,915,172 Total $ 11,695,000 $ 12,398,230 $ 24,093,230 D) Pension-Related Debt As of June 30,2003, California Public Employees Retirement System(Ca1PERS)implemented risk pooling for the City's multiple-employer public employee defined benefit pension plan. At that point, in accordance with generally accepted accounting principles, the City's Miscellaneous Plan converted from an "agent" multiple-employer plan to a "cost-sharing" multiple-employer plan. Although a portion of the City's annual required contributions are actuarially determined and shared by all employers of the risk pool, the City is also required to make annual payments on a "Side Fund" which was created when the City entered the risk pool. The responsibility for funding the Side Fund is specific to the City and is not shared by all employers in the plan. Therefore,the Side Fund falls under the definition of pension-related debt, as described in GASB Statement No. 27. The annual payments on the Side Fund represent principal and interest payments on the pension- related debt. Principal and interest are included in the retirement expenditures in the various functions. L . 50 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 6) LONG-TERM LIABILITIES -Continued D) Pension-Related Debt-Continued The future debt service requirements on this debt are as follows: Year Ending Pension-related Debt June 30, Principal Interest Total 2011 $ 45,923 $ 96,800 $ 142,723 2012 54,297 93,065 147,362 2013 63,476 88,675 152,151 2014 73,528 83,567 157,095 2015 84,527 77,675 162,202 2016 96,549 70,923 167,472 2017 109,682 63,234 172,916 2018 124,016 54,520 178,536 2019 139,650 44,688 184,338 2020 156,692 33,637 190,329 2021 175,256 21,258 196,514 2022 195,468 7,433 202,901 Total $ 1,319,064 $ 735,475 $ 2,054,539 E) Employee Compensated Absences absences. The 2010 is for employee ee com ensated The long-term liabilityat June 30, $673,139p y p General Fund is primarily expected to liquidate this liability. 7) AGREEMENTS WITH VARIOUS TAXING AGENCIES 1 � The Agency has entered into four (4) 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 provides for the Agency to retain 100 percent of the County Taxing Entities share (55.82 percent) of annual tax increment revenues up to $1,750,000. For annual tax increment revenue in excess of$1,750,000, the Agency shall distribute 55.82 percent of such revenues to the County on behalf of the County Taxing Entities. The County Taxing Entities have agreed to defer payments in the 51 } City of Moorpark Notes to Financial Statements Year Ended June 30,2010 7) AGREEMENTS WITH VARIOUS TAXING AGENCIES- Continued 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. With respect to the first paragraph, 4.2 percent of the County Taxing Entities share is allocated to the County Library District (County Free Library System). The City has withdrawn from the County Free Library System and now operates the Moorpark Library. Pursuant to the Memorandum of Understanding governing the County Free Library System, upon withdrawal, a city is entitled to all property taxes allocated to library purposes from within the corporate boundaries of such city. The County has agreed that the City is entitled to the share of annual tax increment previously allocated to the County Library District under the first agreement. The second agreement is with the Moorpark Unified School District (MUSD), and states that the MUSD 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 MUSD's share (33.41 percent) of tax increment revenues generated by an annual 2 percent increase in assessed valuation, and beginning in fiscal year 1995/96, 14 percent of the MUSD's share of annual tax increment revenue. Per the agreement between the MUSD and the Agency, the distributions to the MUSD 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 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 MUSD overhead or salary/benefits for regular MUSD employees. The Agency may pre-approve other expenditures that are submitted in writing by the MUSD. The third agreement is with the Ventura County Community College District(VCCCD),and states that the VCCCD should 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 L is not reasonably foreseeable to impair the Agency's obligation under the agreement), the VCCCD's 52 1 . City of Moorpark Notes to Financial Statements Year Ended June 30,2010 7) AGREEMENTS WITH VARIOUS TAXING AGENCIES- Continued share (5.81 percent) of tax increment revenues generated by an annual 2 percent increase in assessed valuation, and beginning in fiscal year 1993/94, 14 percent of the VCCCD's share of annual tax increment revenue. An agreement, dated May 1, 2008, between the City and the VCCCD redirects the VCCCD's tax increment allocation. The Agency shall transfer to the City the VCCCD's tax increment allocations, up to One Million Dollars ($1,000,000),beginning with fiscal year 2006/07 and for every fiscal year thereafter through and including the 2024/25 fiscal year for the purpose of constructing certain public improvements near Moorpark College. The fourth agreement is with the Ventura County Superintendent of Schools Office (Superintendent), and states that the Superintendent shall receive its share (2.49 percent) of tax increment revenues generated by an annual 2 percent increase in assessed valuation. 8) RETIREMENT PLAN A) Plan Description The City contributes to Ca1PERS, a cost-sharing multiple-employer public employee defined benefit pension plan. CaIPERS provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. CalPERS acts as a common investment and administrative agent for participating public entities within the State of California. Benefit provisions and all other requirements are established by state statute and city ordinance. Copies of Ca1PERS' annual financial report may be obtained from their executive office: 400 P Street, Sacramento, California 95814. B) Funding Policy Active plan members are required to contribute 7 percent of their covered salary. The City makes the contribution required of the City employees on their behalf. The City is also required to make an additional contribution at an actuarially determined rate. The required employer contribution rate for the fiscal year 2009/10 was 10.990 percent. The contribution requirements for plan members are established by State statute and the employer contribution rate is 53 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 8) RETIREMENT PLAN-Continued B) Funding Policy-Continued established and may be amended by CaIPERS. The following represents the required contributions for the past three fiscal years: Fiscal Required Percent Year Contributions Contributed 2007/08 $ 448,187 100% 2008/09 $ 491,357 100% 2009/10 $ 566,161 100% 9) OTHER POST EMPLOYMENT BENEFITS Plan Description ' I The City's defined benefit post-employment healthcare plan, City of Moorpark Retiree Healthcare Plan, (MRHP), provides medical benefits to eligible retired City employees and spouses. MRHP is part of the Public Agency portion of the California Employers' Retiree Benefit Trust Fund(CERBT), an 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 is established by State statute within the Public Employees' Retirement Law. MRHP selects optional benefit provisions from the benefit menu by contract with Ca1PERS and adopts those benefits through City resolution. Ca1PERS issues a Comprehensive Annual Financial Report (CAFR). The CAFR is issued in aggregate and includes the sum of all CaIPERS plans. Copies of the Ca1PERS CAFR may be obtained from the CaIPERS Executive Office,400 P Street, Sacramento, California 95814. Funding Policy The contribution requirements of plan members and the City are established and may be amended by the Council. The City contributes the Public Employees' Medical and Hospital Care Act { " (PEMHCA)minimum. 54 . f City of Moorpark Notes to Financial Statements Year Ended June 30,2010 9) OTHER POST EMPLOYMENT BENEFITS-Continued Funding Policy- Continued The City is required to contribute the annual required contribution of the employer (ARC), an amount actuarially determined in accordance with the parameters of GASB Statement 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover the normal cost each year and amortize any unfunded actuarial liabilities (or funding excess) over a period not to exceed thirty years. The current ARC rate is 1.2%of the annual covered payroll. Annual OPEB Cost For 2010,the City's annual OPEB cost(expense) of$54,000 for MRHP was equal to the ARC. The City's annual OPEB cost, the percentage of annual OPEB cost contributed to the plan, and the net OPEB obligation for 2010 and the two preceding years were as follows: THREE-YEAR TREND INFORMATION FOR CERBT Percentage of Fiscal Annual OPEB OPEB Cost Net OPEB Year Cost(AOC) Contributed Obligation 6/30/10 $ 54,000 100% (316,000) 6/30/09 $ 54,000 100% (341,000)# 6/30/08 # The City of Moorpark pre-funded the Actuarial Accrued Liability of$364,000 plus the normal cost of$31,000 during the 2008/09 fiscal year ending June 30,2009. * The information for the year ending June 30,2008 is»nsvailable. GASB 45 was implemented prospectively in fiscal year 2008/09. Funded Status and Funding Progress The funded status of the plan as of June 30, 2008, was as follows: Actuarial Accrued Liability(AAL) $ 364,000 Actuarial Value of Plan Assets $ 0 Unfunded Actuarial Accrued Liability(UAAL) $ 364,000 Funded Ratio (Actuarial Value of Plan Assets/AAL) 0% Covered Payroll(Active Plan Members) $ 4,519,000 UAAL as a Percentage of Covered Payroll 8.055% 55 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 9) OTHER POST EMPLOYMENT BENEFITS-Continued Funded Status and Funding Progress- Continued Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and assumptions about the probability of occurrence of events far into the future. Examples include assumptions about future employment,mortality,and the healthcare cost trend. Amounts determined regarding the funded status of the plan and the annual required contributions of the employer are subject to continual revision as actual results are compared with past expectations and new estimates are made about the future. The schedule of funding progress, presented as required supplementary information following the notes to the financial statements,presents multiyear trend information that shows whether the actuarial value of the plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits. Actuarial Methods and Assumptions Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations. r II, The following is a summary of the actuarial assumptions and methods: Valuation Date June 30,2008 Actuarial Cost Method Entry Age Normal Cost Method Amortization Method Level Percent of Payroll Remaining Amortization Period 30 Years as of the Valuation Date Actuarial Assumptions: L . Investment Rate of Return 7.75% Projected Salary Increase 3.25% Health Care Trend Rate 4.50% General Inflation 3.00% 56 1 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 10)CONDUIT DEBT-REVENUE BONDS 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 30,2010,totaled$13,025,000. 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 30,2010,totaled$14,832,592. 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. 11)SPECIAL ASSESSMENT BONDS A) Assessment District 92-1 (Mission Bell Plaza) 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 Improvements Bonds 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$1,465,000 at June 30,2010. 57 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 ` I 11)SPECIAL ASSESSMENT BONDS -Continued B) Community Facilities District No.97-1 (Carlsberg) On July 1, 1997, the City issued bonds to fmance the acquisition and construction of public improvements within the City of Moorpark Community Facilities District No. 97-1. These bonds, totaling $7,645,000, were issued pursuant to the Mello-Roos Community Facilities Act of 1982. The bonds mature on September 1,2027 with interest payable at rates ranging from.4.4 percent to 6 percent per annum on March 1, and September 1 of each year commencing March 1, 1998. The City is not liable under any circumstance for the repayment of the debt, but is only acting as agent for the property owners in collecting the assessments and special taxes, forwarding collections to fiscal agents to pay the bondholders and initiating foreclosure proceedings, if appropriate. Accordingly, these bonds payable have been excluded from the accompanying basic financial statements. The unpaid principal balance is$6,130,000 at June 30,2010. C) Community Facilities District No.2004-1 (Moorpark Highlands) During fiscal year 2006/07,the City issued bonds to construct and acquire certain public facilities of benefit to the Community Facilities District No. 2004-1. The bonds, totaling $38,030,000, were issued pursuant to the Mello-Roos Community Facilities Act of 1982. The bonds mature on September 1, 2038 with interest payable at rates ranging from 4.0 percent to 5.3 percent per annum, on March 1 and September 1 of each year. 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 basic financial statements. The unpaid principal balance is $35,955,000 at June 30,2010. { 12)RISK MANAGEMENT L .. A) Description of Self-Insurance Pool Pursuant to Joint Powers Agreement The City is a member of 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. 58 _ I City of Moorpark Notes to Financial Statements Year Ended June 30,2010 12)RISK MANAGEMENT-Continued A) Description of Self-Insurance Pool Pursuant to Joint Powers Agreement-Continued 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. B) Self Insurance Programs of the Authority General Liability: Each member government pays a primary deposit to cover estimated losses for a fiscal year (claims year). Six months after the close of a fiscal year, outstanding claims are valued. 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. Cost of covered claims above $5,000,000 are currently paid by reinsurance. The Protection for each member is $50,000,000 per occurrence and$50,000,000 annual aggregate. Workers' Compensation: The City also participates in the workers compensation pool administered by the Authority. 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 to $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 participates in the all-risk property protection program of the Authority. This insurance protection is underwritten by several insurance companies. The City property is currently insured according to a schedule of covered property submitted by the City to the Authority. Total all-risk property insurance coverage is $38,504,423. There is a $5,000 per loss deductible. Premiums for the coverage are paid annually and are not subject to retroactive adjustments. 59 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 12)RISK MANAGEMENT- Continued D) Earthquake and Flood Insurance The City 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 property currently has earthquake protection in the amount of $34,531,896. There is a deductible of 5 percent of the value with a minimum deduction of$100,000. Premiums for the coverage are paid ann Ally and are not subject to retroactive adjustments. E) Adequacy of Protection During the past three fiscal (claims) years none of the above program 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. F) Claims and Judgments The City accounts for uninsured, material claims and judgments and associated legal and administrative costs when it is probable that the liability claim has been incurred and the amount of the loss can be reasonably estimated. Included therein are claims incurred but not reported, , which consists of(a) known loss events expected to be presented as claims later, (b) unknown loss events that are expected to become claims, and (c) expected future development on claims already reported. This is based upon historical actual results that have established a reliable pattern supplemented by specific information about current matters. Small dollar claims and judgments are recorded as expenditures when paid. 13)CLASSIFICATION 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 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, contributors, or Iaws and regulations of other governments and restrictions imposed by law through constitutional provisions or enabling legislation. 60 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 13)CLASSIFICATION OF NET ASSETS AND FUND BALANCE- Continued 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, 2010, are presented below, followed by explanations of the nature and purpose of each reserve and designation. Highlands General Endowment MRA Improvement Fund Fund Operating Fund Fund Reserved: Capital Projects $ $ $ $ 13,961,736 Debt Service Property Held for Resale/ Development 7,142,622 Advances 1,933,495 Prepaid Items 337,286 _ Total Reserved $ 337,286 1,933,495 7,142,622 $ 13,961,736 Unreserved,Designated: Future Projects $ - $ - $ - $ Redevelopment Redevelopment Agency Agency Non-Major Capital Projects Special Projects Debt Service Governmental Fund Fund Fund Funds Reserved: Capital Projects $ $ $ $ Debt Service 1,884,723 Property Held for Resale/ Development 4,398,806 7,887,425 Advances 1,000,000 Prepaid Items Total Reserved $ 4,398,806 $ 1,000,000 $ 1,884,723 $ 7,887,425 Unreserved,Designated: Future Projects $ $ 24,292,789 $ - $ 61 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 13)CLASSIFICATION OF NET ASSETS.AND FUND BALANCE- Continued Reserved for Capital Projects These funds are reserved for project expenditures related to the issuance of the CFD No. 2004-1 bonds. Reserved for Debt Service These funds are reserved for restricted debt proceeds. Reserved for Property Reid for Resale/Development These funds are reserved for property purchased by the Agency to be sold or otherwise used for the development of the Moorpark Redevelopment Agency Project Area or Low and Moderate Income Housing Projects. Reserved for Advances These funds are reserved for advances to other funds. Reserved for Prepaid Items These funds are reserved for prepaid items. Unreserved,Designated for Future Projects These funds have been designated for future capital projects. Deficit Fund Balance The following non-major governmental funds had a deficit at June 30,2010: Tierra Rejada/Spring Road Special Revenue Fund (167,864) Management expects these deficits to be eliminated through future revenues. 14)COMMITMENTS AND CONTINGENCIES A) Commitments L., The City has contracts with 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. 62 L . City of Moorpark Notes to Financial Statements Year Ended June 30,2010 14)COMMITMENTS AND CONTINGENCIES- Continued 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 disallowance under the terms of the grants,it is believed that any disallowed amounts will not be material. 15)PROPOSITION 1A BORROWING BY THE STATE OF CALIFORNIA Under the provisions of Proposition lA and as part of the 2009-10 budget package passed by the California State Legislature on July 28, 2009, the State of California borrowed 8% of the amount of property tax revenue, including those property taxes associated with the in-lieu motor vehicle license fee, the triple flip in-lieu sales tax, and the supplemental property tax, apportioned to cities, counties and special districts (excluding redevelopment agencies). The State is required to repay this borrowing plus interest by June 30, 2013. After repayment of this initial borrowing, the California legislature may consider only one additional borrowing within a ten-year period. The amount of this borrowing pertaining to the City was $628,112. Authorized with the 2009-10 State budget package, the Proposition 1A Securitization Program was instituted by the California Statewide Communities Development Authority ("California Communities"), a joint powers authority sponsored by the California State Association of Counties and the League of California Cities, to enable local governments to sell their Proposition lA receivables to California Communities. Under the Securitization Program, California Communities simultaneously purchased the Proposition 1A receivables and issued bonds ("Prop 1A Bonds") to provide local agencies with cash proceeds in two equal installments, on January 15,2010 and May 3, 2010. The purchase price paid to the local agencies equaled 100% of the amount of the property tax reduction. All transaction costs of issuance and interest were paid by the State of California. Participating local agencies have no obligation on the bonds and no credit exposure to the State. The City participated in the securitization program and accordingly property taxes have been recorded in the same manner as if the State had not exercised its right under Proposition 1A. The receivable sale proceeds were equal to the book value and, as a result,no gain or loss was recorded. • 63 City of Moorpark Notes to Financial Statements Year Ended June 30,2010 16)NEW PRONOUNCEMENT The provisions of Governmental Accounting Standards Board (GASB) Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions, will be required to be adopted and implemented by the City for the fiscal year 2010-11. 17)PRIOR PERIOD ADJUSTMENT A) Governmental Activities The prior period adjustment of $7,451,908 in the Statement of Activities consists of the following: Capital assets were increased by $7,577,422 for land donated in prior years by a developer; $525,661 recorded as construction in progress should have been classified as land held for resale; in the Low and Moderate Income Housing Special Revenue Fund, prior year revenue of$125,514 should have been deferred while $327,320 and $198,341 of expenditures in the Low and Moderate Income Housing Special Revenue and the Redevelopment Agency Capital Projects Funds, respectively, should have been recorded as land held for resale but were expensed. B) Fund Financial Statements The prior period adjustment of $400,147 in the Statement of Revenues, Expenditures and Changes in Fund Balances consists of$125,514 in prior year revenue which should have been deferred in the Low and Moderate Income Housing Special Revenue Fund and $525,661 of land held for resale which was expensed in the prior year ($327,320 and $198,341 in the Low and Moderate Income Housing Special Revenue and the Redevelopment Agency Capital Projects Funds,respectively). 18)SUBSEQUENT EVENTS Subsequent to June 30, 2010, the City loaned $600,000 to the Agency for development of residential housing units for the Charles Street project. Subsequent to June 30, 2010 there was an unscheduled bond call of$8,395,000 that paid down the bonds of Moorpark Highlands. 64 • • • • • REQUIRED SUPPLEMENTARY INFORMATION • City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual- General Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES PROPERTY TAXES Current Secured $ 3,150,000 $ 3,000,000 $ 3,231,498 $ 231,498 Current Unsecured 50,000 40,000 32,128 (7,872) Prior Year Secured/Unsecured 3,000 65,000 63,844 (1,156) Supplemental Secured/Unsecured 100,000 100,000 64,265 (35,735) Real Property Transfer Tax 100,000 100,000 159,918 59,918 Homeowners Property Exemption 30,000 45,000 40,832 (4,168) Parcel Taxes 120,000 139,110 19,110 f Property Taxes-VLF 2,825,000 2,920,000 2,920,201 201 , Total Property Taxes 6,258,000 6,390,000 6,651,796 261,796 SALES TAXES Sales and Use Tax 2,175,000 2,175,000 2,382,010 207,010 Sales Tax Compensation 825,000 589,000 588,635 (365) Total Sales Taxes 3,000,000 2,764,000 2,970,645 206,645 FRANCHISE FEES Franchise Fee-Adelphia 325,000 350,000 392,578 42,578 Franchise Fee-Edison 305,000 305,000 293,718 (11,282) Franchise Fee-Gas 125,000 125,000 83,313 (41,687) Franchise Fee-Oil 2,631 2,631 Franchise PEG Fees 30,000 41,799 11,799 Franchise GI Rubbish 225,000 195,000 186,955 (8,045) Franchise Moorpark Rubbish 120,000 115,000 113,323 (1,677) Landfill Local Impact Fee 55,000 55,000 49,483 (5,517) CIWMP Fees 10,000 10,000 8,025 (1,975) Total Franchise Fees 1,165,000 1,185,000 1,171,825 (13,175) SPECIAL BENEFIT ASSESSMENTS SBA-Storm Drain Maintenance - Total Special Benefit Assessments - - - LICENSES AND PERMITS Business Registration gi 60,000 80,000 137,830 57,830 Filming Permits 7,000 7,000 5,940 (1,060) NPDES Business Inspection Fees 6,000 6,000 3,145 (2,855) Total Licenses and Permits 73,000 93,000 146,915 _ 53,915 65 Continued City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual- General Fund- Continued Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES FINES AND FORFEITURES Municipal Code Fines $ 175,000 $ 175,000 $ 195,161 $ 20,161 Animal Control Fines 2,000 2,000 (2,000) Forfeiture&Penalties 2,000 (2,000) Settlements 2,000 - Total Fines&Forfeitures 179,000 179,000 195,161 16,161 USE OF MONEY AND PROPERTY Investment Earnings 498,000 498,000 304,989 (193,011) Rents and Concessions 125,000 125,000 111,016 (13,984) Interest/City MRA Advance 230,000 150,000 76,500 (73,500) Total Money&Property 853,000 773,000 492,505 (280,495) CHARGES FOR SERVICES Other Admin Service Fees 80,000 80,000 99,017 19,017 Administrative Fees-CFD 100,000 100,000 (100,000) Park and Facility Use Fee 72,000 72,000 81,501 9,501 Contract Class Registration Fees 160,000 160,000 212,322 52,322 League Fees 100,000 100,000 103,213 3,213 Recreation Event Fees 250,000 250,000 238,339 (11,661) ' Advertising in brochure 10,000 10,000 10,240 240 1 Other Community Services Fees 48,000 37,000 1,443 (35,557) Photocopying 1,000 1,000 567 (433) Sale of Documents 1,000 1,000 656 (344) Special Police Dept Services 45,000 30,000 36,050 6,050 NSF Fees and Misc. Charges 1,000 1,000 1,035 35 Total Charges for Services 868,000 842,000 784,383 (57,617) INTERGOVERNMENTAL Off Highway Motor Vehicle - Motor Vehicle In Lieu 100,000 75,000 109,136 34,136 Other State Funds 5,000 20,000 18,608 (1,392) County Grants 10,000 10,000 21,934 11,934 r Other Federal Revenue/Grants 5,000 23,465 12,849 (10,616) Total Intergovernmental 120,000 128,465 162,527 34,062 Continued I ' 66 1 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual- General Fund-Continued Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final _ Amounts (Negative) REVENUES OTHER REVENUES ' Contributions/Donations $ $ 500 $ 9,781 $ 9,281 Revenues not elsewhere classified 15,000 15,000 12,769 (2,231) Expense Reimbursements 75,000 75,000 63,327 (11,673) Restitution/Insurance Proceeds 15,000 15,000 47,912 32,912 Total Other Revenues 105,000 105,500 133,789 28,289 Total Revenue 12,621,000 12,459,965 12,709,546 249,581 EXPENDITURES Current: General Government 1,493,125 1,601,125 1,497,916 103,209 Public Safety 6,729,198 6,729,698 6,076,995 652,703 Public Services 196,163 316,571 77,649 238,922 r Parks and Recreation 1,608,910 1,623,788 1,486,374 137,414 Capital Outlay 61,897 281,945 99,215 182,730 Total Expenditures 10,089,293 10,553,127 9,238,149 1,314,978 Excess(Deficiency)of Revenues over Expenditures 2,531,707 1,906,838 3,471,397 1,564,559 OTHER FINANCING SOURCES(USES) Transfers In 26,000 55,925 136,398 80,473 Transfer Out (2,298,000) (2,307,816) (3,813,625) (1,505,809) Total Other Financing Sources(Uses) (2,272,000) (2,251,891) (3,677,227) (1,425,336) Net Change in Fund Balance 259,707 (345,053) (205,830) 139,223 Fund Balance,Beginning of Year 3,205,829 3,205,829 3,205,829 Fund Balance,End of Year $ 3,465,536 $ 2,860,776 $ 2,999,999 $ 139,223 67 I City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual- Street and Traffic Safety Special Revenue Fund Year Ended June 30, 2010 • Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES USE OF MONEY AND PROPERTY Investment Earnings $ 400,000 $ 400,000 $ 247,087 $ (152,913) Total Use of Money and Property 400,000 400,000 247,087 (152,913) CHARGES FOR SERVICES Other Development Fees 1,672,000 365,000 432,459 67,459 Total Charges for Services 1,672,000 365,000 432,459 67,459 OTHER REVENUE Sale of Plans/Specifications - - - 430 430 Total Other Revenue - - 430 430 Total Revenues 2,072,000 765,000 679,976 (85,024) EXPENDITURES Current: Public Services 26,939 36,939 33,277 3,662 Capital Outlay 665,493 3,840,958 345,914 3,495,044 Total Expenditures 692,432 3,877,897 379,191 3,498,706 I Excess(Deficiency)of Revenues over Expenditures 1,379,568 (3,112,897) 300,785 3,413,682 OTHER FINANCING SOURCES(USES) I Transfers Out (50,000) _ (50,000) (18,754) 31,246 Total Other Financing Sources(Uses) (50,000) (50,000) (18,754) 31,246 Net Change in Fund Balance 1,329,568 (3,162,897) 282,031 3,444,928 Fund Balance,Beginning of Year 19,660,547 19,660,547 19,660,547 Fund Balance,End of Year $ 20,990,115 $ 16,497,650 $ 19,942,578 $ 3,444,928 1 - 68 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual- Community Development Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES LICENSES AND PERMITS Misc.Business Permits $ $ $ $ - r Street Vendor Permits 1,000 1,000 1,780 780 Home Occupation Permits 9,000 9,000 12,670 3,670 Sign Permits 6,000 6,000 4,865 (1,135) Banner Permits 2,000 2,000 1,530 (470) Residential Building Permits • 293,000 293,000 350,045 57,045 Non Residential Building 285,000 30,000 37,442 7,442 • Permit Adj Commercial 2,000 2,000 2,520 520 , Permit Adj Industrial 1,000 1,000 (1,000) Permit Adj Residential 1,000 1,000 (1,000) 1 Temporary Use Permit 3,000 3,000 3,465 465 Enchroachment Permit 20,000 20,000 25,158 5,158 Rental Inspection Permits 4,180 4,180 Administrative Permits 4,000 4,000 7,800 3,800 Total Licenses and Permits 627,000 372,000 451,455 79,455 FINES AND FORFEITURES Municipal Code Fines 4,000 4,000 10,575 6,575 Code Enforcement Fines 4,171 4,171 Forfeiture and Penalties 711 711 Total Fines and Forfeitures 4,000 4,000 15,457 11,457 USE OF MONEY AND PROPERTY Investment Earnings 136 136 Total Use of Money and Property - - 136 136 CHARGES FOR SERVICES City Admin Engin Contract 60,000 15,000 12,213 (2,787) City Admin Attny Contract 3,000 11,000 16,573 5,573 Contract Admin Fee 2,000 2,000 11,046 9,046 Other Admin Service Fees 2,000 2,000 4,130 2,130 Zone Clearance 32,000 32,000 36,900 4,900 Imaging Fees 5,000 5,000 926 (4,074) Advance Planning Fees 18,000 18,000 18,789 789 Plan Check Residential 89,000 70,000 95,943 25,943 Plan Check Non Residential 47,000 20,000 18,631 (1,369) Continued 69 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual-Community Development Special Revenue Fund- Continued Year Ended June 30,2010 Variance with Final Budget _ Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES CHARGES FOR SERVICES Planning Time Charges $ 336,000 $ 225,000 $ 363,769 $ 138,769 Public Improv Plan Check 9,000 25,000 19,733 (5,267) Public Improv Inspections 81,000 10,000 8,809 (1,191) Real Estate Fees 2,000 2,000 3,195 1,195 Total Charges for Services 686,000 437,000 610,657 173,657 OTHER REVENUES Expense Reimbursements 75,101 75,101 Total Other Revenues - - 75,101 75,101 Total Revenues 1,317,000 813,000 1,152,806 339,806 EXPENDITURES Current: Public Services 2,574,711 2,268,239 1,990,225 278,014 Total Expenditures . 2,574,711 2,268,239 1,990,225 278,014 Excess(Deficiency)of Revenues over Expenditures (1,257,711) (1,455,239) (837,419) 617,820 OTHER FINANCING SOURCES(USES) Transfers In 1,095,000 1,095,000 886,942 (208,058) Total Other Financing Sources(Uses) 1,095,000 1,095,000 886,942 (208,058) Net Change in Fund Balance (162,711) (360,239) 49,523 409,762 Ik Fund Balance,Beginning of Year - - - Fund Balance,End of Year $ (162,711) $ (360,239) $ 49,523 $ 409,762 70 City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balance Budget and Actual-Assessment District Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES USE OF MONEY AND PROPERTY Investment Earnings $ 113,984 $ 112,484 $ 84,380 $ (28,104) Total Use of Money and Property 113,984 112,484 84,380 (28,104) CHARGES FOR SERVICES Tennis/Basketball Court Lighting Use 3,000 3,000 6,775 3,775 3,000 3,000 6,775 3,775 SPECIAL BENEFIT ASSESSMENTS SBA-Street Lighting 246,000 246,000 251,377 5,377 SBA-Landscape Maintenance 888,000 1,062,000 925,962 (136,038) SBA-Storm Drain Maintenenace 9,000 9,000 18,745 9,745 , SBA-Park Maintenance 708,000 708,000 691,202 (16,798) Total Special Benefit Assessments 1,851,000 2,025,000 1,887,286 (137,714) OTHER REVENUES Expense Reimbursements 66,000 240,034 174,034 Contributions and Donations 85,000 85,000 (85,000) Total Other Revenues 85,000 151,000 240,034 89,034 Total Revenues 2,052,984 2,291,484 2,218,475 (73,009) EXPENDITURES Current: Public Safety 379,032 394,032 443,850 (49,818) Parks and Recreation 3,489,466 3,648,512 2,960,426 688,086 Capital Outlay 476,447 68,347 408,100 Total Expenditures 3,868,498 4,518,991 3,472,623 1,046,368 Excess(Deficiency)of Revenues over Expenditures (1,815,514) (2,227,507) (1,254,148) 973,359 Continued 71 1 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual-Assessment District Special Revenue Fund - Continued Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) OTHER FINANCING SOURCES(USES) Transfers In $ 1,495,500 $ 1,441,568 $ 1,288,301 $ (153,267) Total Other Financing Sources(Uses) 1,495,500 1,441,568 1,288,301 (153,267) Net Change in Fund Balance (320,014) (785,939) 34,153 820,092 Fund Balance,Beginning of Year 6,428,625 _ 6,428,625 6,428,625 Fund Balance,End of Year $ 6,108,611 $ 5,642,686 $ 6,462,778 $ 820,092 If 72 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual-Endowment Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES USE OF MONEY AND PROPERTY Investment Earnings $ 76,000 $ 76,000 $ 40,152 $ (35,848) Rents and Concessions 84,000 84,000 70,819 (13,181) Total Use of Money and Property 160,000 160,000 110,971 (49,029) CHARGES FOR SERVICES Other Development Fees 588,000 230,000 277,202 47,202 Community Service Fees 32,000 18,000 21,760 3,760 Administration Fees 25,000 25,000 28,500 3,500 , Total Charges for Services 645,000 273,000 327,462 54,462 Total Revenues 805,000 433,000 438,433 5,433 EXPENDITURES Capital Outlay 358,402 362,902 54,187 308,715 Total Expenditures 358,402 362,902 54,187 308,715 Excess(Deficiency)of Revenues over Expenditures 446,598 70,098 384,246 314,148 1 OTHER FINANCING SOURCES (USES) Transfers Out - I� Total Other Financing Sources(Uses) - - - - Net Change in Fund Balance 446,598 70,098 384,246 314,148 Fund Balance,Beginning of Year 4,777,666 4,777,666 4,777,666 Fund Balance,End of Year $ 5,224,264 $ 4,847,764 $ 5,161,912 $ 314,148 73 i City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual-Park/Public Facilities Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) I REVENUES USE OF MONEY AND PROPERTY Investment Earnings $ 74,000 $ 74,000 $ 38,275 $ (35,725) Rents and Concessions 16,000 16,000 - (16,000) Total Use of Money and Property 90,000 90,000 38,275 (51,725) CHARGES FOR SERVICES Trees/Landscape Fees 12,000 12,000 41 (11,959) Library Facilities Fees 169,000 42,000 56,774 14,774 Fees in Lieu of Park Land 393,000 55 55 , Other Development Fees 11,000 11,000 10,846 (154) Total Charges for Services 585,000 65,000 67,716 2,716 f INTERGOVERNMENTAL Park Bond 89,495 89,495 Total Intergovernmental - - 89,495 89,495 OTHER REVENUES Sale Plans/Specifications 95 95 Total Other Revenues - - 95 95 i Total Revenues 675,000 155,000 195,581 40,581 i EXPENDITURES 1 Public Services 31,300 31,300 6,282 25,018 Parks and Recreation 6,600 (6,600) Capital Outlay 2,929,873 3,209,273 1,911,627 1,297,646 Total Expenditures 2,961,173 3,240,573 1,924,509 1,316,064 Excess(Deficiency)of Revenues over Expenditures (2,286,173) (3,085,573) (1,728,928) 1,356,645 Continued 3 ' I 74 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual-Park/Public Facilities Special Revenue Fund-Continued Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) O'T'HER FINANCING SOURCES(USES) Transfers In $ 1,500,000 $ 1,500,000 $ $ (1,500,000) Transfers Out (2,760) (2,760) Total Other Financing Sources(Uses) 1,500,000 1,500,000 (2,760) (1,502,760) Net Change in Fund Balance (786,173) (1,585,573) (1,731,688) (146,115) Fund Balance,Beginning of Year 3,216,317 3,216,317 3,216,317 Fund Balance,End of Year $ 2,430,144 $ 1,630,744 $ 1,484,629 $ (146,115) f II 75 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual-MRA Operating Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES PROPERTY TAXES Current Secured $ $ 3,172,000 $ 2,995,783 (176,217) Current Unsecured 712,000 758,316 46,316 Homeowners Property Exemption 24,000 17,552 (6,448) Total Property Taxes - 3,908,000 3,771,651 (136,349) USE OF MONEY AND PROPERTY Investment Earnings 183,000 46,098 (136,902) Rents and Concessions 47,000 47,000 54,509 7,509 Total Use of Money and Property 47,000 230,000 100,607 (129,393) OTHER REVENUES Ticket Sales 65,000 65,000 62,050 (2,950) Advertising in Brochures 3,000 3,000 6,050 3,050 ` Sale Plans/Specifications 15 15 68,000 68,000 68,115 115 Total Revenues 115,000 4,206,000 3,940,373 (265,627) EXPENDITURES Public Services 1,513,852 6,672,010 6,590,521 81,489 Capital Outlay 5,494,934 5,884,670 4,219 5,880,451 Debt Service: Interest on Short-term Loan from City - 150,000 76,500 73,500 Total Expenditures 7,008,786 12,706,680 6,671,240 6,035,440 Excess(Deficiency)of Revenues over Expenditures (6,893,786) (8,500,680) (2,730,867) 5,769,813 OTHER FINANCING SOURCES (USES) Proceeds from Bonds 5,000,000 5,000,000 (5,000,000) Transfers In 1,857,500 1,860,440 2,940 Transfers Out (11,000) (11,000) (1,921,660) (1,910,660) Total Other Financing Sources(Uses) 4,989,000 6,846,500 (61,220) (6,907,720) 76 Continued City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual-MRA Operating Special Revenue Fund- Continued Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) Net Change in Fund Balance $ (1,904,786) $ (1,654,180) $ (2,792,087) $ (1,137,907) Fund Balance,Beginning of Year 10,974,474 10,974,474 10,974,474 Fund Balance,End of Year $ 9,069,688 $ 9,320,294 $ 8,182,387 $ (1,137,907) f ISI r � 77 City of Moorpark Schedule of Funding Progress for MRHP Year Ended June 30,2010 Schedule of Funding Progress for M1 RHP Actuarial Accrued UAAL as a Actuarial Actuarial Liability Unfunded Percentage of Valuation Value of (AAL)Entry AAL Funded Covered Covered Date Assets Age (UAAL) Ratio Payroll Payroll (A) (B) (B-A) (AB) (C) [(B-A)/C] 06/30/08 $ - $ 364,000 $ 364,000 0% $ 4,519,000 8.055% *GASB 45 was implemented prospectively in fiscal year 2009. There were no previous actuarial valuations. 78 City of Moorpark Notes to the Required Supplementary Information Year Ended June 30,2010 Budgetary Accounting The City adopts an annual budget on a basis consistent with GAAP for all governmental funds. The City Manager is required to prepare and submit to the City Council the annual budget of the City and administer it thereafter. All annual appropriations lapse at fiscal year-end. Throughout the year, the City Council made several supplementing budgetary adjustments to various funds. These adjustments resulted in a net appropriation increase of $13,248,276. This increase resulted primarily from additional appropriations to various construction in progress projects, acquisition of property, SERAF payment and rebudgeted projects and amounts carried over from Fiscal Year 2009/2010 as continuing appropriations. 1 Li 1 79 II City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual-Police Facilities Fee Capital Projects Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES MAINTENANCE ASSESSMENTS Police Facilities Fees $ 232,000 $ 46,000 $ 63,145 $ 17,145 Total Maintenance Assessments 232,000 46,000 63,145 17,145 Total Revenues 232,000 46,000 63,145 17,145 EXPENDITURES Public Safety - Capital Outlay - Total Expenditures - - - - Excess(Deficiency)of Revenues over Expenditures 232,000 46,000 63,145 17,145 Fund Balance,Beginning of Year (1,995,668) (1,995,668) (1,995,668) Fund Balance,End of Year $ (1,763,668) $ (1,949,668) $ (1,932,523) $ 17,145 j E k L 80 City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual-Redevelopment Agency Capital Projects Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) f ' REVENUES USE OF MONEY AND PROPERTY Investment Earnings $ 355,000 $ 355,000 $ 85,355 $ (269,645) Total Use of Money and Property 355,000 355,000 85,355 (269,645) O'T'HER REVENUES Revenues Not Elsewhere Classified - Sale Plans/Specifications - Total Other Revenues - - - - Total Revenues 355,000 355,000 85,355 (269,645) EXPENDITURES Current Public Services 8,361 (8,361) Capital Outlay 12,053,153 12,352,269 759,299 11,592,970 Total Expenditures 12,053,153 12,352,269 767,660 11,584,609 Excess(Deficiency)of Revenues over Expenditures (11,698,153) (11,997,269) (682,305) 11,314,964 OTHER FINANCING SOURCES (USES) Transfers In 1,857,500 1,857,500 Transfers Out (3,802,500) (1,887,728) 1,914,772 Total Other Financing Sources(Uses) -- (3,802,500) (30,228) 3,772,272 Net Change in Fund Balances (11,698,153) (15,799,769) (712,533) 15,087,236 Fund Balance,Beginning of Year 16,288,672 16,288,672 16,288,672 Prior Period Adjustment 198,340 198,340 Fund Balances,End of Year $ 4,590,519 $ 488,903 $ 15,774,479 $ 15,285,576 81 1 . ` City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balance Budget and Actual-Redevelopment Agency Debt Service Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES PROPERTY TAXES Tax Increment Secured $ $ 1,720,138 $ 1,720,138 $ - Tax Increment Unsecured - 1 Total Property Taxes - 1,720,138 1,720,138 - USE OF MONEY AND PROPERTY Investment Earnings 30,953 32,868 1,915 Total Use of Money and Property - 30,953 32,868 1,915 Total Revenues - 1,751,091 1,753,006 1,915 EXPENDITURES Current: Public Services - i Debt Service Principal 495,000 495,000 - Interest 1,376,091 1,376,091 - Total Expenditures - 1,871,091 1,871,091 - Excess(Deficiency)of Revenues over Expenditures - (120,000) (118,085) 1,915 OTHER FINANCING SOURCES(USES) Transfers In 152,000 150,952 (1,048) Tr nfers Out - ` Total Other Financing 1 Sources(Uses) - 152,000 150,952 (1,048) Net Change in Fund Balance - 32,000 32,867 867 Fund Balance,Beginning of Year 2,146,058 2,146,058 2,146,058 ', Fund Balance,End of Year $ 2,146,058 $ 2,178,058 $ 2,178,925 $ 867 82 City of Moorpark Non-Major Governmental Funds June 30,2010 SPECIAL REVENUE FUNDS Library Services Fund — is used to account for the financial resources for the operation of the City's public library system. Traffic Safety Fund - is used to account for revenues collected from traffic fmes and forfeitures,which is used for crossing guards and parking enforcement. Affordable Housing Fund (City) - is used to account for grants used for development of affordable housing units. Los Angeles Area of Contribution (A.O.C) Fund - is used to account for the financial resources for capital projects related to streets and other improvements within the Los Angeles project area. Tierra Rejeda/Spring Road A.O.0 Fund - is used to account for the financial resources for capital projects related to streets and other improvements within the Tierra Rejeda& Spring Road project area. Casey/Gabbert A.O.0 Fund - is used to account for the financial resources for capital projects related to streets and other improvements within the Casey& Gabbert project area. Freemont Storm Drain A.O.0 Fund - is used to account for the financial resources for capital projects related to streets and other improvements within the Freemont Storm Drain project area. State and Federal Assistance Fund - is used to account for Federal and State grants used for the construction of street and related improvements and help fund law enforcement. State Gas Tax Fund - is used to account for fees used for street maintenance, right-of-way acquisition and street construction. Proposition 1B Local Streets and Roads Fund--is used to account for fiends received from the State of California for specific transportation programs. Art in Public Places Fund — is used to account for fees used for public facilities improvements as a result of additional development. Proposition 1B Safety and Security Fund—is used to account for the financial resources of the Prop 1B bonds used for the seismic safety of bridges and public transit. Low and Moderate Income Housing Fund (MRA) - is used to account for the receipt of 20 percent of L , 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. f 83 City of Moorpark Non-Major Governmental Funds-Continued June 30,2010 SPECIAL REVENUE FUNDS- Continued 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 - is used to account for fees used on programs that promote resource conservation, recycling,composting,and proper disposal of hazardous household waste. CAPITAL PROJECTS FUNDS Capital Projects Fund—is used to account for financial resources used for major capital projects of the general government operations. City Hall Building Fund -is used to account for the finds used to build the new Civic Center Complex. Equipment Replacement Fund - is used to account for the funds used to replace city equipment and vehicles. 84 City of Moorpark Combining Balance Sheet Non-Major Governmental Funds June 30,2010 Special Revenue Los Angeles Library Traffic Affordable Area of Services Safety Housing Contribution ASSETS Cash and Investments $ 850,287 $ 582,639 $ 3,923,806 $ 11,491,518 Receivables: Accounts 43 32,360 Notes 485,535 250,249 Due From Other Funds 166,564 Property Held for Resale/Development Total Assets $ 850,330 $ 614,999 $ 4,409,341 $ 11,908,331 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable and Accrued Liabiliies $ 24,084 $ 2,891 $ $ 29,889 Due to Other Funds Deferred Revenue 485,535 250,249 Total Liabilities 24,084 2,891 485,535 280,138 Fund Balances: Reserved For: Property Held for Resale/Development Unreserved,Reported In: Special Revenue Funds 826,246 612,108 3,923,806 11,628,193 Capital Projects Funds Total Fund Balances 826,246 612,108 3,923,806 11,628,193 Total Liabilities and Fund Balances $ 850,330 $ 614,999 $ 4,409,341 $ 11,908,331 r I L 85 Special Revenue Tierra Rejadal Freemont State and Prop 1B Art Spring Road Casey/Gabbert Storm Drain Federal State Gas Local Streets in Public A.O.0 A.O.0 A.O.0 Assistance Tax and Roads Places $ $ 84,150 $ 15,080 $ 810,332 $ 324,382 $ 683,731 $ 1,549,318 142,778 39,969 $ - $ 84,150 $ 15,080 $ 953,110 $ 364,351 $ 683,731 $ 1,549,318 r I $ 1,300 $ $ $ 328,443 $ 44,420 $ 84,687 $ 181 166,564 23,216 167,864 - - 351,659 44,420 84,687 181 (167,864) 84,150 15 080 601 451 319,931 599,044 1,549,137 , (167,864) 84,150 15,080 601,451 319,931 599,044 1,549,137 $ - $ 84,150 $ 15,080 $ 953,110 $ 364,351 $ 683,731 $ 1,549,318 Continued If 86 City of Moorpark Combining Balance Sheet Non-Major Governmental Funds - Continued June 30,2010 Special Revenue Prop 1B Low and Local Safety Moderate Transportation Solid and Security Income Housing Transit Waste ASSETS Cash and Investments $ 103,513 $ 258,092 $ 129,402 $ 983,759 Receivables: Accounts 5,179 127,163 23,113 Notes 348,830 Due From Other Funds Property Held for Resale/Development 7,887,425 Total Assets $ 103,513 $ 8,499,526 $ 256,565 $ 1,006,872 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable and Accrued Liabiliies $ $ 14,367 $ 52,875 $ 12,790 Due to Other Funds 379,701 Deferred Revenue 348,830 196,822 Total Liabilities - 742,898 249,697 12,790 Fund Balances: Reserved For: Property Held for Resale/Development 7,887,425 Unreserved,Reported In: Special Revenue Funds 103,513 (130,797) 6,868 994,082 Capital Projects Funds Total Fund Balances 103,513 7,756,628 6,868 994,082 Total Liabilities and Fund Balances $ 103,513 $ 8,499,526 $ 256,565 $ 1,006,872 r j C I ff 87 Capital Projects Total Nonmajor Capital City Hall Equipment Governmental Projects Building Replacement Funds $ 225,181 $ 3,702,319 $ 442,840 $ 26,160,349 370,605 1,084,614 166,564 7,887,425 $225,181 $ 3,702,319 $ 442,840 $ 35,669,557 $ $ $ $ 595,927 • 569,481 1,281,436 2,446,844 7,887,425 20,964,948 225,181 3,702,319 442,840 4,370,340 225,181 3,702,319 442,840 33,222,713 $225,181 $ 3,702,319 $ 442,840 $ 35,669,557 88 City of Moorpark Combining Statement of Revenues,Expenditures and Changes in Fund Balance Non-Major Governmental Funds Year Ended June 30,2010 Special Revenue Los Angeles Library Traffic Affordable Area of Services Safety Housing Contribution REVENUES Taxes $ 797,267 $ $ $ Fines and Forteitures 18,579 207,180 Use of Money and Property 6,489 6,593 46,486 144,059 Charges for Services 6,939 254,849 500,969 Intergovernmental 13,135 Other Revenue 62,658 Total Revenues 842,409 213,773 363,993 645,028 EXPENDITURES Current: Public Safety 100,696 Public Services 755,080 10,109 Capital Outlay 676,994 Debt Service: Interest Total Expenditures 755,080 100,696 10,109 676,994 Excess(Deficiency)of Revenues Over Expenditures 87,329 113,077 353,884 (31,966) OTHER FINANCING SOURCES(USES) Transfers In 204 Transfers Out (29,925) (57,499) Total Other Financing Sources(Uses) (29,925) 204 - (57,499) Net Change in Fund Balances 57,404 113,281 353,884 (89,465) Fund Balances,Beginning of Year 768,842 498,827 3,569,922 11,717,658 Prior Period Adjustment Fund Balances,End of Year $ 826,246 $ 612,108 $ 3,923,806 $ 11,628,193 r I 89 i II! Special Revenue Tierra Rejada/ Freemont State and Prop 1B Art Spring Road Casey/Gabbert Storm Drain Federal State Gas Local Streets in Public A.O.0 A.O.0 A.O.0 Assistance Tax and Roads Places $ $ . $ $ $ $ $ 1,019 186 11,044 2,808 12,855 17,814 9,142 2,030 30 204,110 1,338,415 587,692 7,350 260 1 9,142 3,049 186 1,349,459 597,880 13,115 221,924 147,943 18,000 1,617,372 5,850 520,509 1,550 552,706 11,160 5,850 - - 686,452 1,618,922 552,706 11,160 3,292 3,049 186 663,007 (1,021,042) (539,591) 210,764 1 1,064,142 (3,839) (1,312,867) (172,752) (3,839) - - (1,312,867) 891,390 - - (547) 3,049 186 (649,860) (129,652) (539,591) 210,764 I (167,317) 81,101 14,894 1,251,311 449,583 1,138,635 1,338,373 $ (167,864) $ 84,150 $ 15,080 $ 601,451 $ 319,931 $ 599,044 $ 1,549,137 Continued 90 City of Moorpark Combining Statement of Revenues,Expenditures and Changes in Fund Balance Non-Major Governmental Funds-Continued Year Ended June 30,2010 Special Revenue Prop 1B Low and Local Safety Moderate Transportation Solid and Security Income Housing Transit Waste REVENUES Taxes $ $ 1,372,988 $ $ 274,461 Fines and Forteitures Use of Money and Property 1,279 30,781 59 12,061 Charges for Services 73,774 2,980 Intergovernmental 422,692 15,176 Other Revenue Total Revenues 1,279 1,403,769 496,525 304,678 EXPENDITURES Current: Public Safety Public Services 584,596 372,889 279,535 Capital Outlay 11,337 353,636 Debt Service: Interest 30,208 Total Expenditures - 626,141 726,525 279,535 Excess(Deficiency)of Revenues Over Expenditures 1 279 777 628 p (230,000) 25,143 OTHER FINANCING SOURCES(USES) Transfers In 237,122 Transfers Out (151,612) Total Other Financing Sources(Uses) - (151,612) 237,122 - i Net Change in Fund Balances 1,279 626,016 7,122 25,143 Fund Balances,Beginning of Year 102,234 6,928,805 (254) 968,939 Prior Period Adjustment 201,807 is Fund Balances,End of Year $ 103,513 $ 7,756,628 $ 6,868 $ 994,082 91 Capital Projects Total Nonmajor Capital City Hall Equipment Governmental Projects Building Replacement Funds $ $ $ $ 2,444,716 225,759 1,890 45,930 5,507 346,860 1,054,823 2,377,110 70,268 1,890 45,930 5,507 6,519,536 248,639 3,637,581 96,003 20,851 2,250,596 30,208 96,003 20,851 6,167,024 r I 1,890 (50,073) (15,344) 352,512 58,280 1,359,748 (2,670) (2,410) (1,733,574) 55,610 (2,410) - (373,826) 57,500 (52,483) (15,344) (21,314) 167,681 3,754,802 458,184 33,042,220 201,807 . $ 225,181 $ 3,702,319 $ 442,840 $ 33,222,713 . IE L 92 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual-Library Services Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Taxes $ 755,000 $ 755,000 $ 797,267 $ 42,267 Fines and Forfeitures 25,000 25,000 18,579 (6,421) Use of Money and Property 6,489 6,489 Charges for Services 8,000 8,000 6,939 (1,061) Intergovernmental 13,000 13,000 13,135 135 Total Revenues 801,000 801,000 842,409 41,409 EXPENDITURES Current: Public Services 789,389 789,389 755,080 34,309 Total Expenditures 789,389 789,389 755,080 34,309 Excess(Deficiency)of:Revenues over Expenditures 11,611 11,611 87,329 75,718 OTHER FINANCING SOURCES(USES) Transfers In - Transfers Out (29,925) (29,925) - t Total Other Financing Sources(Uses) - (29,925) (29,925) Net Change in Fund Balance 11,611 (18,314) 57,404 75,718 Fund Balance,Beginning of Year 768,842 768,842 768,842 Fund Balance,End of Year $ 780,453 $ 750,528 $ 826,246 $ 75,718 93 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual -Traffic Safety Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Fines and Forfeitures $ 155,000 $ 155,000 $ 207,180 $ 52,180 Use of Money and Property 15,000 15,000 6,593 (8,407) Total Revenues 170,000 170,000 213,773 43,773 EXPENDITURES Current: Public Safety 103,108 103,108 100,696 2,412 Total Expenditures 103,108 103,108 100,696 2,412 Excess(Deficiency)of Revenues over Expenditures 66,892 66,892 113,077 46,389 OTHER FINANCING SOURCES(USES) Transfer In 204 204 Total Other Financing Sources(Uses) - - 204 204 L Net Change in Fund Balance 66,892 66,892 113,281 46,389 Fund Balance,Beginning of Year 498,827 498,827 498,827 Fund Balance,End of Year $ 565,719 $ 565,719 $ 612,108 $ 46,389 r � II� 94 City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balance Budget and Actual-Affordable Housing Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 74,000 $ 74,000 $ 46,486 $ (27,514) Charges for Services 277,000 277,000 254,849 (22,151) Other Revenue _ 20,000 62,658 42,658 Total Revenues 351,000 371,000 363,993 (7,007) EXPENDITURES Current: Public Services 37,200 37,200 10,109 27,091 Total Expenditures 37,200 37,200 10,109 27,091 Excess(Deficiency)of Revenues over Expenditures 313,800 333,800 353,884 20,084 OTHER FINANCING SOURCES(USES) Transfers Out (18,000) (18,000) 18,000 Total Other Financing Sources(Uses) (18,000) (18,000) - 18,000 Net Change in Fund Balance 295,800 315,800 353,884 38,084 Fund Balance,Beginning of Year 3,569,922 3,569,922 3,569,922 Fund Balance,End of Year $ 3,865,722 $ 3,885,722 $ 3,923,806 $ 38,084 II if 95 City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual -Los Angeles Area of Contribution Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 242,000 $ 242,000 $ 144,059 $ (97,941) Charges for Services 715,000 125,000 500,969 375,969 Total Revenues 957,000 367,000 645,028 278,028 EXPENDITURES Capital Outlay 4,439,383 5,052,256 676,994 4,375,262 Total Expenditures 4,439,383 5,052,256 676,994 4,375,262 Excess(Deficiency)of Revenues over Expenditures (3,482,383) (4,685,256) (31,966) 4,653,290 OTHER FINANCING SOURCES(USES) Transfers Out (57,000) (57,000) (57,499) (499) Total Other Financing Sources(Uses) (57,000) (57,000) (57,499) (499) Net Change in Fund Balance (3,539,383) (4,742,256) (89,465) 4,652,791 Fund Balance,Beginning of Year 11,717,658 11,717,658 11,717,658 Fund Balance,End of Year $ 8,178,275 $ 6,975,402 $ 11,628,193 $ 4,652,791 l . 96 �. City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual-Tierra Rejada/Spring Road A.O.0 Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 2,000 $ 2,000 $ $ (2,000) Charges for Services 377,000 9,142 9,142 Other Revenue - Total Revenues 379,000 2,000 9,142 7,142 EXPENDITURES Capital Outlay 26,091 5,850 20,241 Total Expenditures - 26,091 5,850 20,241 Excess(Deficiency)of Revenues over Expenditures 379,000 (24,091) 3,292 27,383 OMER FINANCING SOURCES(USES) Transfers Out (3,839) (3,839) Total Other Financing Sources(Uses) - - (3,839) (3,839) Net Change in Fund Balance 379,000 (24,091) (547) 23,544 Fund Balance,Beginning of Year (167,317) (167,317) (167,317) Fund Balance,End of Year $ 211,683 $ (191,408) $ (167,864) $ 23,544 r ! 97 City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual- Cassey/Gabbert Area of Contribution Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 2,000 $ 2,000 $ 1,019 $ (981) Charges for Services 2,030 2,030 Total Revenues 2,000 2,000 3,049 1,049 EXPENDITURES Capital Outlay - Total Expenditures - - - - Excess (Deficiency)of Revenues over Expenditures 2,000 2,000 3,049 1,049 Fund Balance,Beginning of Year 81,101 81,101 81,101 Fund Balance,End of Year $ 83,101 $ 83,101 $ 84,150 $ 1,049 98 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balances Budget and Actual -Freemont Storm Drain A.O.0 Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 1,000 $ 1,000 $ 186 $ (814) Total Revenues 1,000 1,000 186 (814) EXPENDITURES Capital Outlay Total Expenditures Excess(Deficiency)of Revenues over Expenditures 1,000 1,000 186 (814) Fund Balance,Beginning of Year 14,894 14,894 14,894 Fund Balance,End of Year $ 15,894 $ 15,894 $ 15,080 $ (814) � I t I I i { I 99 1 City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balance Budget and Actual- State and Federal Assistance Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 18,000 $ 18,000 $ 11,044 $ (6,956) Intergovernmental 2,494,000 2,863,356 1,338,415 (1,524,941) Other Revenue 70,000 (70,000) Total Revenues 2,512,000 2,951,356 1,349,459 (1,601,897) EXPENDITURES Current: Public Safety 100,000 107,819 147,943 (40,124) Public Services 37,025 37,025 18,000 19,025 Capital Outlay 1,190,175 2,311,867 520,509 1,791,358 Total Expenditures 1,327,200 2,456,711 686,452 1,770,259 Excess(Deficiency)of Revenues over Expenditures 1,184,800 494,645 663,007 168,362 OTHER FINANCING SOURCES(USES) Transfers Out (1,213,000) (1,213,000) (1,312,867) (99,867) Total Other Financing Sources(Uses) (1,213,000) (1,213,000) (1,312,867) (99,867) Net Change in Fund Balance (28,200) (718,355) (649,860) 68,495 Fund Balance,Beginning of Year 1,251,311 1,251,311 1,251,311 Fund Balance,End of Year $ 1,223,111 $ 532,956 $ 601,451 $ 68,495 100 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual- State Gas Tax Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ $ $ 2,808 $ 2,808 Charges for Services 30 30 Intergovernmental 606,000 596,000 587,692 (8,308) Other Revenue 7,350 7,350 Total Revenues 606,000 596,000 597,880 1,880 EXPENDITURES Current: Public Services 1,674,548 1,685,567 1,617,372 68,195 Capital Outlay 1,550 (1,550) r Total Expenditures 1,674,548 1,685,567 1,618,922 66,645 Excess(Deficiency)of Revenues , over Expenditures (1,068,548) (1,089,567) (1,021,042) 68,525 OTHER FINANCING SOURCES (USES) Transfers In 1,139,000 1,072,000 1,064,142 (7,858) Transfers Out (229,000) (172,752) (172,752) - i Total Other Financing r Sources(Uses) 910,000 899,248 891,390 (7,858) I i Net Change in Fund Balance (158,548) (190,319) (129,652) 60,667 Fund Balance,Beginning of Year 449,583 449,583 449,583 Fund Balance,End of Year $ 291,035 $ 259,264 $ 319,931 $ 60,667 i. . 101 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual-Prop 1B Local Streets and Roads Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 12,000 $ 12,000 $ 12,855 $ 855 Intergovernmental 537,000 - Other Revenue 260 260 Total Revenues 549,000 12,000 13,115 1,115 EXPENDITURES Capital Outlay 581,448 581,448 552,706 28,742 Total Expenditures 581,448 581,448 552,706 28,742 Excess(Deficiency)of Revenues over Expenditures (32,448) (569,448) (539,591) 29,857 Fund Balance,Beginning of Year 1,138,635 1,138,635 1,138,635 Fund Balance,End of Year $ 1,106,187 $ 569,187 $ 599,044 $ 29,857 f I I ' 102 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual-Art in Public Places Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 36,000 $ 36,000 $ 17,814 $ (18,186) Intergovernmental 226,000 226,000 204,110 (21,890) Total Revenues 262,000 262,000 221,924 (40,076) EXPENDITURES Capital Outlay 8,000 92,460 11,160 81,300 Total Expenditures 8,000 92,460 11,160 81,300 Excess(Deficiency)of Revenues over Expenditures 254,000 169,540 210,764 41,224 Fund Balance,Beginning of Year 1,338,373 1,338,373 1,338,373 Fund Balance,End of Year $ 1,592,373 $ 1,507,913 $ 1,549,137 $ 41,224 l _ I` J IL 103 City of Moorpark Schedule of Revenues,Expenditures,and Changes in Fund Balance Budget and Actual- Prop 1B Safety and Security Special Revenue Fund Year Ended June 30, 2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 2,000 $ 2,000 $ 1,279 $ (721) Intergovernmental 100,000 - Total Revenues 102,000 2,000 1,279 (721) EXPENDITURES Capital Outlay 100,000 100,000 Total Expenditures - 100,000 - 100,000 Excess(Deficiency)of Revenues over Expenditures 102,000 (98,000) 1,279 99,279 Fund Balance,Beginning of Year 102,234 102,234 102,234 _ Fund Balance,End of Year $ 204,234 $ 4,234 $ 103,513 $ 99,279 104 1 i City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual-Low and Moderate Income Housing Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Taxes $ 1,340,000 $ 1,407,000 $ 1,372,988 $ (34,012) Use of Money and Property 31,000 31,000 30,781 (219) Total Revenues 1,371,000 1,438,000 1,403,769 (34,231) EXPENDITURES Current: Public Services 345,833 578,040 584,596 (6,556) Capital Outlay 95,735 157,322 11,337 145,985 Debt Service: Interest 36,000 36,000 30,208 5,792 Total Expenditures 477,568 771,362 626,141 145,221 Excess(Deficiency)of Revenues over Expenditures 893,432 666,638 777,628 110,990 OTHER FINANCING SOURCES (USES) Transfers In _ Transfers Out (152,000) (152,000) (151,612) 388 Total Other Financing Sources(Uses) (152,000) (152,000) (151,612) 388 Net Change in Fund Balance 741,432 514,638 626,016 111,378 Fund Balance,Beginning of Year 6,928,805 6,928,805 6,928,805 Prior Period Adjustment 201,807 201,807 Fund Balance,End of Year $ 7,670,237 $ 7,443,443 $ 7,756,628 $ 313,185 105 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual-Local Transportation Transit Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 4,000 $ 4,000 $ 59 $ (3,941) Charges for Services 65,000 65,000 73,774 8,774 Intergovernmental 1,653,000 1,775,000 422,692 (1,352,308) Other Revenue - Total Revenues 1,722,000 1,844,000 496,525 (1,347,475) EXPENDITURES ` Current: Public Services 382,921 383,896 372,889 11,007 Capital Outlay 1,681,330 1,803,646 353,636 1,450,010 Total Expenditures 2,064,251 2,187,542 726,525 1,461,017 Excess(Deficiency) of Revenues over Expenditures (342,251) (343,542) (230,000) 113,542 OTHER FINANCING SOURCES(USES) Transfers In 170,000 237,000 237,122 122 Total Other Financing Sources(Uses) 170,000 237,000 237,122 122 i Net Change in Fund Balance (172,251) (106,542) 7,122 113,664 Fund Balance,Beginning of Year (254) (254) (254) Fund Balance,End of Year $ (172,505) $ (106,796) $ 6,868 $ 113,664 1 106 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual- Solid Waste Special Revenue Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Taxes $ 288,000 $ 288,000 $ 274,461 $ (13,539) Use of Money and Property 20,000 20,000 12,061 (7,939) Charges for Services 2,980 2,980 Intergovernmental 16,600 16,600 15,176 (1,424) Other Revenue Total Revenues 324,600 324,600 304,678 (19,922) EXPENDITURES Current: Public Services 410,124 429,735 279,535 150,200 Capital Outlay Total Expenditures 410,124 429,735 279,535 150,200 Excess(Deficiency)of Revenues over Expenditures (85,524) (105,135) 25,143 130,278 Fund Balance,Beginning of Year 968,939 968,939 968,939 Fund Balance,End of Year $ 883,415 $ 863,804 $ 994,082 $ 130,278 II l . Y j 107 City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balance Budget and Actual- Capital Projects Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ $ $ 1,890 $ 1,890 Total Revenues - -_ 1,890 1,890 EXPENDITURES Capital Outlay 210,000 211,280 211,280 Total Expenditures 210,000 211,280 - 211,280 Excess(Deficiency)of Revenues over Expenditures (210,000) (211,280) 1,890 213,170 OTHER FINANCING SOURCES(USES) Transfer In 58,280 58,280 Transfer Out (2,670) (2,670) Total Other Financing Sources(Uses) - - 55,610 55,610 Net Change in Fund Balance (210,000) (211,280) 57,500 268,780 Fund Balance,Beginning of Year 167,681 167,681 167,681 Fund Balance,End of Year $ (42,319) $ (43,599) $ 225,181 $ 268,780 I f 108 City of Moorpark Schedule of Revenues,Expenditures, and Changes in Fund Balance Budget and Actual-City Hall Building Capital Projects Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 8,000 $ 26,000 $ 45,930 $ 19,930 Total Revenues 8,000 26,000 45,930 19,930 EXPENDITURES Capital Outlay 3,772,795 3,748,795 96,003 3,652,792 Total Expenditures 3,772,795 3,748,795 96,003 3,652,792 Excess(Deficiency)of Revenues over Expenditures (3,764,795) (3,722,795) (50,073) 3,672,722 OTHER FINANCING SOURCES (USES) Transfer Out (2,410) (2,410) Total Other Financing Sources(Uses) - - (2,410) (2,410) Net Change in Fund Balance (3,764,795) (3,722,795) (52,483) 3,670,312 Fund Balance,Beginning of Year 3,754,802 3,754,802 3,754,802 Fund Balance,End of Year $ (9,993) $ 32,007 $ 3,702,319 $ 3,670,312 { f 109 City of Moorpark Schedule of Revenues, Expenditures, and Changes in Fund Balance Budget and Actual- Equipment Replacement Capital Projects Fund Year Ended June 30,2010 Variance with Final Budget Budgeted Amounts Actual Positive Original Final Amounts (Negative) REVENUES Use of Money and Property $ 10,000 $ 10,000 $ 5,507 $ (4,493) Total Revenues 10,000 10,000 5,507 (4,493) EXPENDITURES Capital Outlay 1,800 40,800 20,851 19,949 Total Expenditures 1,800 40,800 20,851 19,949 Excess(Deficiency)of Revenues over Expenditures 8,200 (30,800) (15,344) 15,456 OTHER FINANCING SOURCES(USES) Transfer In - Total Other Financing Sources(Uses) - - - - Net Change in Fund Balance 8,200 (30,800) (15,344) 15,456 Fund Balance,Beginning of Year 458,184 458,184 458,184 Fund Balance,End of Year $ 466,384 $ 427,384 $ 442,840 $ 15,456 } 110 City of Moorpark Statement of Changes in Net Assets Agency Funds Year Ended June 30,2010 Balance at Balance at July 1,2009 Additions Deletions June 30,2010 ASSETS Cash and Investments $ 3,297,388 $ 131,898 $ $ 3,429,286 Restricted Cash and Investments 6,507,455 799,599 7,307,054 Accounts Receivable 26,323 (3,016) 23,307 Due from Other Funds 21,532 (21,532) Total Assets $ 9,852,698 $ 931,497 $ (24,548) $ 10,759,647 LIABILITIES Accounts Payable $ 182,046 $ $ (81,144) $ 100,902 Developer Deposits 3,116,619 213,404 3,330,023 Due to Bondholders 6,554,023 774,699 7,328,722 Total Liabilities $ 9,852,688 $ 988,103 $ (81,144) $ 10,759,647 111 This page left intentionally blank CITY OF MOORPARK Net Assets by Component Last Eight 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 Continued The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34(June 30, 2003). The City of Moorpark does not have any business-type activities. f � 112 I_ . 1 CITY OF MOORPARK Net Assets by Component Last Eight Fiscal Years-Continued (accrual basis of accounting) Fiscal Year 2007 2008 2009 2010 Governmental activities: Invested in capital assets, net of related debt $ 125,900,770 $ 130,071,108 $ 130,581,499 $ 141,095,551 Restricted 100,649,409 101,613,368 94,878,693 89,571,308 Unrestricted 6,458,224 3,641,173 14,213,503 17,761,703 Total governmental activities net assets $ 233,008,403 $ 235,325,649 $ 239,673,695 $ 248,428,562 The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34(June 30, 2003). The City of Moorpark does not have any business-type activities. t I � ISI If 113 CITY OF MOORPARK Changes in Net Assets Last Eight Fiscal Years (accrual basis of accounting) Fiscal Year 2003 2004 2005 2006 Expenses: General government $ 2,116,644 $ 2,351,860 $ 3,030,395 $ 3,044,381 Public safety 4,142,268 4,902,148 5,709,323 6,230,057 Public services 7,150,513 10,957,272 9,844,050 13,106,843 Parks and recreation 2,276,066 2,600,523 2,304,852 2,771,270 Interest on long-term debt 1,040,854 1,097,421 978,843 1,333,370 Total governmental activities expense 16,726,345 21,909,224 21,867,463 26,485,921 i Program revenues: Charges for services: General government 509,401 1,407,130. 2,010,540 2,201,590 Public safety 708,392 369,795 344,019 340,341 Public services 2,166,168 4,181,363 2,776,976 4,163,781 Parks and recreation 322,772 536,238 501,283 536,166 Total charges for services 3,706,733 6,494,526 5,632,818 7,241,878 Operating contributions and grants 5,440,099 4,077,849 2,313,834 3,237,143 Capital contributions and grants 4,131,439 4,731,311 4,633,166 18,027,831 Total governmental activities program revenues 13,278,271 15,303,686 12,579,818 28,506,852 Net program revenues(expenses) (3,448,074) (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 j 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 1 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) - - County settlement - - - - 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 Continued The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34(June 30, 2003). (1)Mission Bell note 114 1 . i CITY OF MOORPARK Changes in Net Assets -Continued Last Eight Fiscal Years (accrual basis of accounting) Fiscal Year 2007 2008 2009 2010 Expenses: General government $ 1,639,628 $ 1,949,206 $ 2,041,596 $ 1,603,279 Public safety 6,317,283 6,882,072 7,035,384 7,016,015 Public services 21,231,766 20,580,204 18,170,325 13,589,878 Parks and recreation 4,293,823 4,551,045 4,470,524 4,934,002 Interest on long-term debt 1,332,541 1,773,841 1,616,843 1,504,502 Total governmental activities expenses 34,815,041 35,736,368 33,334,672 28,647,676 Program revenues: Charges for services: General government 191,674 283,576 232,926 258,431 Public safety 598,500 633,131 538,636 477,305 Public services 6,612,769 5,743,200 3,172,708 2,769,641 Parks and recreation 604,904 756,885 644,979 643,593 Total charges for services 8,007,847 7,416,792 4,589,249 4,148,970 f Operating contributions and grants 4,489,945 7,113,883 6,172,315 4,128,842 Capital contributions and grants 38,337,638 5,481,972 3,326,778 1,970,931 Total governmental activities program revenues 50,835,430 20,012,647 14,088,342 10,248,743 Net program revenues(expenses) 16,020,389 (15,723,721) (19,246,330) (18,398,933) 1 General revenues and other changes in net assets: 1 Taxes: Property tax 3,334,491 4,505,980 7,802,643 7,449,063 Property tax,Redevelopment Agency 6,347,692 6,887,079 7,054,432 6,864,777 Franchise tax 1,126,951 1,150,180 1,171,556 1,171,825 Sales tax 2,192,327 2,306,281 2,329,522 2,382,010 Sales tax in lieu 704,562 779,263 849,227 588,635 Motor vehicle in lieu 2,860,207 3,038,440 125,307 109,136 Investment income 6,556,186 2,491,856 2,875,649 853,074 Other 58,841 139,728 386,040 283,372 Gain on sale of property 276,797 - - - Special item(1) - - - - County settlement - - 1,000,000 - Total governmental activities 23,458,054 21,298,807 23,594,376 19,701,892 Changes in net assets- governmental activities $ 39,478,443 $ 5,575,086 $ 4,348,046 $ 1,302,959 The City of Moorpark has elected to report retroactively back to the year the City I implemented GASB 34(June 30, 2003). (1)Mission Bell note 115 CITY OF MOORPARK Fund Balances of Governmental Funds Last Eight Fiscal Years (modified accrual basis of accounting) Fiscal Year 2003 2004 2005 2006 General fund: Reserved $ - $ - $ 5,772,444 $ 2,943,353 Unreserved 13,456,231 14,756,222 _ 12,527,255 18,301,058 Total general fund $ 13,456,231 $ 14,756,222 $ 18,299,699 $ 21,244,411 All other governmental funds: Reserved $ 4,378,065 $ 4,099,849 $ 13,889,036 $ 14,124,235 Unreserved,reported in: Special revenue funds 32,857,500 29,994,471 26,977,320 36,903,391 Capital projects funds 9,625,965 8,950,250 3,361,134 1,293,998 Debt Service funds (97,935) (891,297) (346,716) (321,425) Non-major funds 7,146,987 10,651,331 8,272,652 9,724,941 Total all other governmental funds $ 53,910,582 $ 52,804,604 $ 52,153,426 $ 61,725,140 Continued The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34(June 30, 2003). r I, f I f - I i I II 116 CITY OF MOORPARK Fund Balances of Governmental Funds-Continued Last Eight Fiscal Years (modified accrual basis of accounting) Fiscal Year 2007 2008 2009 2010 General fund: Reserved $ - $ 95,397 $ 373,209 $ 337,286 Unreserved 24,405,620 3,625,348 2,832,620 2,662,713 Total general fund $ 24,405,620 $ 3,720,745 $ 3,205,829 $ 2,999,999 All other governmental funds: Reserved $ 41,864,116 $ 35,103,620 $ 33,719,016 $ 38,208,807 Unreserved,reported in: Special revenue funds 41,486,631 42,761,089 37,278,628 32,207,690 Capital projects funds 16,807,370 39,098,065 35,699,829 33,735,939 Debt Service funds 83,243 (1,025,927) 261,336 294,202 Non-major funds 8,693,969 13,384,413 25,043,397 25,335,288 Total all other governmental funds $ 108,935,329 $ 129,321,260 $ 132,002,206 $ 129,781,926 The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34 (June 30, 2003). 117 I 1 CITY OF MOORPARK Changes in Fund Balances of Governmental Funds Last Eight 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 Contributions from prop owners - - - - 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 Bond issuance costs - - - - i . 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): Gain from sale of property - - 48,339 1,410 f Bond Proceeds - - - - Discount on Bonds - - - - r County settlements Transfers in 3,781,938 3,588,717 2,027,315 3,352,002 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 $ 4,437,8.51 $ 194,013 $ 2,179,893 $ 12,516,426 Debt service as a percentage of noncapital expenditures 8.3% 8.3% 8.3% 7.4% Continued The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34(June 30, 2003). 118 IL. _ 1 CITY OF MOORPARK Changes in Fund Balances of Governmental Funds-Continued Last Eight Fiscal Years (modified accrual basis of accounting) Fiscal Year 2007 2008 2009 2010 Revenues: Taxes $ 13,706,024 $ 15,392,269 $ 19,716,636 $ 18,730,771 Licenses and permits 65,630 72,951 645,010 598,370 Fines and forfeitures 343,579 358,665 484,930 436,377 Uses of money and property 7,085,104 5,684,111 3,114,881 1,547,229 Charges for services 338,929 677,277 3,813,159 3,284,275 Intergovernmental 6,163,985 7,549,040 3,948,059 2,629,132 Maintenance assessments 1,922,471 4,205,700 3,491,975 1,950,431 Franchise fees 292,003 301,514 398,539 587,832 Building and safety fees 716,552 530,761 - - Planning and public work fees 1,649,002 1,938,143 - - Development fees 6,403,851 4,501,837 - - Contributions from prop owners 34,066,993 - - - Other 2,030,211 433,378 - - Total revenues 74,784,334 41,645,646 35,613,189 29,764,417 Expenditures Current: General government 1,471,354 1,835,801 1,926,283 1,497,916 Public safety 6,083,917 6,637,757 6,814,425 6,769,484 Public services 9,608,754 12,505,613 11,259,297 12,343,896 Parks and recreation 4,039,888 4,291,867 4,182,091 4,453,400 Capital outlay 19,477,866 14,682,017 8,100,604 5,548,179 Debt service: Principal 440,000 455,000 475,000 495,000 Interest 1,400,985 1,631,932 1,594,062 1,482,799 Bond issuance costs 505,588 - - - • Total expenditures 43,028,352 42,039,987 34,351,762 32,590,674 Excess of revenues over expenditures 31,755,982 (394,341) 1,261,427 (2,826,257) Other financing sources(uses): Gain from sale of property 276,797 - - - Bond Proceeds 11,695,000 - - - Discount on Bonds (325,401) - - - County settlements 1,000,000 - Transfers in 9,457,260 27,626,755 17,062,650 9,378,101 Transfers out (9,457,260) (27,626,755) (17,062,650) (9,378,101) Total other financing sources(uses) 11,646,396 - 1,000,000 - Net change in fund balances $ 43,402,378 $ (394,341) $ 2,261,427 $ (2,826,257) Debt service as a percentage of noncapital expenditures 8.7% 8.3% 8.6% 7.9% The City of Moorpark has elected to report retroactively back to the year the City implemented GASB 34(June 30, 2003). 119 • CITY OF MOORPARK Assessed Value and Estimated Actual Value of Taxable Property Last Ten 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 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% 2007 4,157,360,033 165,798,359 43,364,070 4,366,522,462 743,592,913 102,795,641 3,958,627 850,347,181 1.062% 2008 4,558,597,806 173,209,606 45,607,510 4,777,414,922 809,452,407 102,442,198 4,276,693 916,171,298 1.050% 2009 4,700,305,496 174,181,146 46,351,377 4,920,838,019 828,244,210 102,730,045 4,309,164 935,283,419 1.050% 2010 4,619,910,655 180,988,669 46,474,508 4,847,373,832 825,093,781 113,302,525 4,333,240 942,729,546 1.050% 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 � I L II L .. 120 CITY OF MOORPARK Direct and Overlapping Property Tax Rates (Rate per$100 of assessed value) Last Ten Fiscal Years 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 City Direct Rates: City basic rate L05062 1.04171 1.06072 1.05820 1.05020 1.05480 1.06163 1.04955 L04950 1.05020 Redevelopment agency Total City Direct Rate 1,051 1.042 1.061 1.058 1.050 1.055 1.062 1.050 1.050 1.050 Overlapping Rates: Ventura County Flood Cont. 8.012 8.039 8.097 Lila nla n/a n/a n/a ala n/a Metropolitan Water District 0.222 0.229 2.340 0.233 0.232 0.235 0.233 0.234 0.230 0.230 Ventura Community College n/a n/a 4.312 4.311 4.269 4.331 4.296 4.361 4.371 4,402 Ventura County Waterworks 100.000 n/a n/a n/a n/a n/a n/a n/a n/a n/a Conejo Valley Unified School District 0.021 0.027 0.025 0.024 0.022 0.020 0.019 0.018 0.018 0.019 Moorpark Unified School District n/a 92.311 91.733 91.959 92.121 92.442 92.313 92.417 92.240 91.924 City of Moorpark 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 City of Moorpark Community Facilities District No.97-1 n/a 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 City of Moorpark 1915 Act Bonds 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 Total Direct Rate 109.306 101.648 107.568 97.585 97.694 98.083 97.923 98.080 97.909 97.625 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. 2) The direct and overlapping bonded debt above is not the City's nor the Redevelopment Agency's obligation. Source: California Municipal Statistics Ventura County Assessor ti. . 121 CITY OF MOORPARK Principal Property Tax Payers Current Year and Nine Years Ago 2009 2000 Percent of Percent of Total City Total City Taxable Taxable Taxable Taxable Assessed Assessed Assessed Assessed Taxpayer Value* Value Value Value DBRE Moorpark LLC $ 69,761,376 14.18% $ - 0.00% Waterstone Properties Moorpark LLC 48,894,000 9.94% - 0.00% G&Y Moorpark LLC 25,547,420 5.19% - 0.00% Mission Bell West LP 23,536,896 4.78% 20,208,563 7.91% James Birkenshaw,Et.Al. 19,913,624 4.05% 12,264,597 4.80% Calabasas BCD Inc. 19,554,740 3.97% 11,751,954 4.60% Tuscany Square Partners LLC 18,910,560 3.84% - 0.00% Fred Kavli 15,777,912 3.21% 12,701,599 4.97% Mission Bell East LLC 14,124,992 2.87% 14,297,706 5.60% Moorpark Plaza Family Partners Ltd 14,022,917 2.85% - 0.00% $ 270,044,437 54.88% $ 71,224,419 27.88% * Due to varying tax rates,the assessed value does not necessarily mean the highest tax. The assessed value includes secured property tax revenue. Source: HdL 2009-2010 property data � . I 122 CITY OF MOORPARK Secured Property Tax Levies and Collections Last Ten Fiscal Years Collected within the Collections Fiscal Taxes Levied Fiscal Year of Levy from Total Collections Year Ended for the Percent Previous Percent June 30 Fiscal Year Amount of Levy Years Amount of Levy 2001 $ 1,573,688 $ 1,506,396 95.72% $ 44,188 $1,550,584 98.53% 2002 1,832,673 1,581,343 86.29% 63,897 $1,645,240 89.77% 2003 2,036,839 1,732,812 85.07% 77,316 $1,810,128 88.87% 2004 2,208,605 1,902,007 86.12% 84,452 $1,986,459 89.94% 2005 2,391,927 1,796,670 98.95% 87,669 $1,884,339 78.78% 2006 2,705,083 1,994,418 73.73% 93,157 $2,087,575 77.17% 2007 3,010,493 2,432,164 80.79% 124,057 $2,556,221 84.91% 2008 3,286,857 3,376,883 102.74% 145,134 $3,522,017 107.15% 2009 3,763,078 3,393,933 90.19% 208,491 $3,602,423 95.73% 2010 3,682,559 2,789,672 75.75% 262,057 $3,051,730 82.87% i i NOTE: The amount presented includes City property taxes only. It does not include redevelopment tax increment. Source: Ventura County Auditor Controller's Office 123 CITY OF MOORPARK Ratios of Outstanding Debt by Type Last Ten Fiscal Years Governmental Activities Fiscal Year General Tax Total Total Percentage Debt Ended Obligation Allocation Governmental Primary of Personal Per June 30 Bonds Bonds Activities Government Income 2 Capita 2 2001 - $ 9,195,000 $ 9,195,000 $ 9,195,000 0.38% 286 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 2007 - 30,135,000 30,135,000 30,135,000 0.95% 826 2008 - 29,680,000 29,680,000 29,680,000 0.84% 803 2009 - 29,185,000 29,185,000 29,185,000 0.83% 787 2010 28,710,000 28,710,000 28,710,000 0.81% 764 Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements. 1 The Moorpark Redevelopment Agency issued $9 860 000 of new tax allocation bonds in 1999 � p g Y � � 1 . II $11,625,000 in 2001,and$11,695,000 in 2006. The principal balance on these three bonds as of June 30,2010 is$5,495,000, $11,520,000 and$11,695,000 respectively. l , � 2 These ratios are calculated using personal income and population for the prior calendar year. L i f G 124 � I. CITY OF MOORPARK Ratio of General Bonded Debt Outstanding Last Ten 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 2001 - $ 9,195,000 $ 9,195,000 0.30% $ 286 ` 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 2007 - 30,135,000 30,135,000 0.58% 826 2008 - 29,680,000 29,680,000 0.52% 803 2009 - 29,185,000 29,185,000 0.50% 787 2010 28,710,000 28,710,000 0.50% 764 General bonded debt is debt payable with governmental fund resources and general obligation bonds recorded in enterprise funds(of which,the City has none). 1 Assessed value has been used because the actual value of taxable property is not readily available in the State of California. 1 125 it CITY OF MOORPARK Direct and Overlapping Debt June 30,2010 City Assessed Valuation 2009-10 $ 4,847,716,832 Redevelopment Agency Incremental Valuation 678,574,184 Adjusted Assessed Valuation $ 4,169,142,648 Estimated Share of Percentage Debt as of Overlapping Applicable 6/30/2010 Debt Direct and Overlapping Tax and Assessment Debt: Metropolitan Water District 0.230% $ 264,220,000 $ 607,706 Ventura Community College District 4.402% 315,947,814 13,908,023 Conejo Valley Unified School District 0.019% 38,595,505 7,333 Moorpark Unified School District 91.924% 40,850,407 37,551,328 City of Moorpark Community Facilities District No. 97-1 100.000% 6,130,000 6,130,000 City of Moorpark Community Facilities District No.2004-1 100.000% 34,440,000 34,440,000 City of Moorpark 1915 Act Bonds 100.000% 1,465,000 1,465,000 Toal Direct and Overlapping Tax&Assessment Debt 701,648,726 94,109,390 Overlapping General Fund Obligation Debt: Ventura County General Fund Obligations 4.401% $ 108,610,000 4,779,926 Ventura County Superintendent of Schools COPs 4.401% 12,445,000 547,704 Moorpark Unified School District COPs 91.924% 8,550,000 7,859,502 Total Overlapping General Fund Obligation Debt 129,605,000 13,187,132 Combined Total Debt* $ 831,253,726 107,296,522 Total direct and overlapping debt $107,296,522 Notes: *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. t . � 126 r 1 � I • • This page left intentionally blank I . CITY OF MOORPARK Legal Debt Margin Information Last Ten Fiscal Years Fiscal Year 2001 2002 2003 2004 2005 Assessed valuation $ 2,421,104,221 $2,549,782,519 $ 2,823,727,286 $ 2,823,727,286 $3,231,418,940 Conversion percentage 25% 25% 25% 25% 25% Adjusted assessed valuation 605,276,055 637,445,630 705,931,822 705,931,822 807,854,735 Debt limit percentage 15% 15% 15% 15% 15% Debt limit 90,791,408 95,616,844 105,889,773 105,889,773 121,178,210 Total net debt applicable to limit: General obligation bonds - - - - - t Legal debt margin 90,791,408 95,616,844 105,889,773 105,889,773 121,178,210 Total debt applicable to the limit as a percentage of debt limit 0.0% 0.0% 0.0% 0.0% 0.0% Continued 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. i . Source: City Finance Department Ventura County Tax Assessor's Office 127 CITY OF MOORPARK Legal Debt Margin Information-Continued Last Ten Fiscal Years 2006 2007 2008 2009 2010 Assessed valuation $ 3,721,591,791 $ 4,157,360,033 $ 4,558,597,806 $ 4,700,305,496 $ 4,700,305,496 Conversion percentage 25% 25% 25% 25% 25% Adjusted assessed valuation 930,397,948 1,039,340,008 1,139,649,452 1,175,076,374 1,175,076,374 Debt limit percentage 15% 15% 15% 15% 15% Debt limit 139,559,692 155,901,001 170,947,418 176,261,456 176,261,456 Total net debt applicable to limit: General obligation bonds - - - - - Legal debt margin 139,559,692 155,901,001 170,947,418 176,261,456 176,261,456 Total debt applicable to the limit as a percentage of debt limit 0.0% 0.0% 0.0% 0.0% 0.0% 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. i 1 Source: City Finance Department Ventura County Tax Assessor's Office l . 128 CITY OF MOORPARK Pledged-Revenue Coverage Last Ten 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 2007 6,306,385 440,000 1,085,040 4.14 2008 6,858,882 455,000 909,906 5.03 2009 7,010,760 475,000 1,397,922 3.74 2010 6,842,837 495,000 1,376,088 3.66 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. � I 129 1 1 CITY OF MOORPARK Demographic and Economic Statistics Last Ten Calendar Years Household Median Unemployment Calendar Population Income Household Rate Year (1) (in thousands) Income(2) (3) 2001 32,150 $ 2,414,272 $ 75,094 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% 2007 36,480 3,179,341 87,153 4.7% 2008 36,971 3,526,775 95,393 5.7% 2009 37,086 3,508,076 94,593 10.3% 2010 37,576 3,565,248 94,881 10.6% Sources: (1) State Department of Finance or Community Development Department (2) Sperling's Best Places (3) State of California Employment Development Department(data shown is for the County) 1 L i. . 130 E CITY OF MOORPARK Principal Employers Current and Ten Years Ago 2010 2000 Percent of Percent of Number of Total Number of Total Employer Employees Employment Employees Employment Moorpark Unified School District 825 4.88% 388 2.38% Moorpark College 750 4.44% 600 3.68% Pentair Pool Products 377 2.23% 252 1.54% Kavlico 350 2.07% 1,100 6.74% Target 150 0.89% - 0.00% Boething Tree Farm 145 0.86% 70 0.43% Vons 120 0.71% - 0.00% American Board Assembly 115 0.68% 90 0.55% General Optics 75 0.44% 50 0.31% Prudential Overall Supply 70 0.41% 50 0.31% "Total Employment" as used above represents the total employment of all employers Iocated within City limits. The total number of employees within the City limits in 2010 were 16,896 as compared to the total number of employees within the City limits in 2000 were 16,324. l i Source: Chamber of Commerce City-data.com Bureau of Labor Statistics 131 CITY OF MOORPARK Full-time and Part-time City Employees by Function Last Ten Fiscal Years Function 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 General government 20 36 43 33 32 31 30 26 26 55 Public safety(crossing guards) 6 6 6 7 4 7 7 7 6 5 Public services 21 41 38 20 17 17 26 22 22 20 Parks and recreation 42 19 19 42 38 41 49 54 56 26 Total 89 102 106 102 91 96 112 109 110 106 Public safety I 34 33 30 28 31 31 42 42 38 38 1 Police and fire services were provided by the County. Fire=18 and police=20 Source:City of Moorpark,Finance department 132 _ co 0 in o . o �O N D\ 01 +--i V1 'Tr N N N t..e ^ O N r N II d1 N O en V's 0�0 O N — N .-1 m •-+ trn 1 OM CO CO O E N t% oo M '--' M M N 2. W N Q � VS N O 000 00 00 ,-1 M rw O '� f criN T.ice.. ° 0 N N M CO N�h > U �D - O 0o M ,--, I M M It N a) 0 1 N — N ,- 0 0. en ,Sq l O 2 cn y 0 0co O 0 N co� }' ti o M N M ,-, o M g c° a`�i En ai N r- M -- U En O 0 . 0 g bo En 1roE. U O in CO eY N OM c0 4 i 0 ces l' W nc 4) .0 ;-. 0ai 7-e f+ � 1 y`t H ,.0 N O\ M N- 00 N g c , E l*, M0 Nem w -fe oO Lel c N .N - t``. > ° MI o T. Csi 0 0 .� m l ON M O ,+-I 0000 COC0.," O 5 2 O N c1 M .b t-1 ,.. N ,-7 O o - - Mo as -o co 0 o rn - I � N a .0 ° N a)H CO 4. 04 C cQ Q A I ca)0 A b . un a) onc-i .---, o, cd vs cd ID 4:3 m ^ 4 [,11 rao y En ' Jai D.U + cd 0N 01 �v aN-e 4r cd cd A. 1 14 ' ' o o oo .. v cd orn ' Co . 8 .o a 6' Zzi 3r z w a I w rw a., a * 00 CITY OF MOORPARK Capital Asset Statistics by Function Last Ten Fiscal Years 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Police: Stations 1 1 1 1 1 1 1 1 1 1 Fire: Fire stations 2 2 2 2 2 2 2 2 2 2 i Public works: Streets(miles) 75 75 75 75 75 75 75 78 79 79 1 Streetlights 2,264 2,263 2,269 2,299 2,325 2,347 2,497 2,510 2,518 2,518 j Traffic signals 15 15 16 17 17 17 17 20 20 20 Parks and recreation: Parks 14 15 15 15 15 16 16 16 17 18 Community centers 2 2 2 2 2 2 2 2 2 2 1 r Source: City of Moorpark Of the streetlights,2,510 are owned by Edison and 8 are owned by the City f Il 1 1 } Ir 134