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2002 CAFRi 1 1 1 1 1 1 1 1 1 1 11 1 1 1 1 1 1 1 CITY OF ROSEMEAD California COMPREHENSIVE ANNUAL FINANCIAL REPORT FISCAL YEAR ENDED JUNE 309 2002 I 1 r- --d 1 1 U CITY OF ROSE CALIFORNIA 1 0 I I 1 1 1 !J 1 1 1 i 1 COMPREHENSIVE ANNUAL FINANCIAL FISCAL YEAR ENDED JUNE 30, 2002 Prepared by the Finance Department Karen L. Ogawa, Finance Director 1 CITY OF ROSEMEAD, CALIFORNIA ' COMPREHENSIVE ANNUAL FINANCIAL REPORT ' Fiscal Year Ended June 30, 2002 ' TABLE OF CONTENTS ' INTRODUCTORY SECTION Page Letter of Transmittal i - xv i List of Principal Officials xvi Organizational Chart xvii ' Certificate of Award for Outstanding Financial Reporting xviii Certificate of Achievement for Excellence in Financial Reporting xix ' FINANCIAL SECTION 1 ' Independent Auditors' Report ' General Purpose Financial Statements: ' Combined Balance Sheet - All Fund Typed and Account Groups 3-4 Combined Statement of Revenue, Expenditures and Changes in ' Fund Balances - All Governmental Fund Types 5-6 ' Combined Statement of Revenue, Expenditures and Changes in Fund Balances - Budget and Actual - General, Special Revenue, Debt Service and Capital Project Fund Types 7-10 t Statement of Changes in Plan Net Assets - Pension Trust Fund 11 ' Notes to Financial Statements 12 - 31 Combining and Individual Funds and Account Groups Financial Statements (Supplementary Information): GENERAL FUND: I Balance Sheet 35 1 CITY OF ROSEMEAD, CALIFORNIA COMPREHENSIVE ANNUAL FINANCIAL REPORT , Fiscal Year Ended June 30, 2002 , TABLE OF CONTENTS (cont.) 1 FINANCIAL SECTION (cont.) Page Combining and Individual Funds and Account Groups ' (Supplementary Information): (cont.) GENERAL FUND: (cont.) ' Statement of Revenue, Expenditures and Changes in Fund ' Balance 36 Revenue Detail - Budget and Actual 37 Expenditure Detail - Budget and Actual 38 ' SPECIAL REVENUE FUNDS: ' Combining Balance Sheet - All Special Revenue Funds 43 - 46 ' Combining Statement of Revenue, Expenditures and Changes in Fund Balances - All Special Revenue Funds 47 - 50 ' Statement of Revenue, Expenditures and Changes in Fund Balance - Traffic Safety Fund 51 ' Statement of Revenue, Expenditures and Changes in Fund Balance - State Gas Tax Fund 52 ' Statement of Revenue, Expenditures and Changes in Fund Balance - Air Quality Management District 53 Statement of Revenue, Expenditures and Changes in ' Fund Balance - Local Transportation%Funtl 54 : 1 I 1 1 1 1 1 1 1 I I CITY OF ROSEMEAD, CALIFORNIA COMPREHENSIVE ANNUAL FINANCIAL REPORT Fiscal Year Ended June 30, 2002 TABLE OF CONTENTS (cont.) FINANCIAL SECTION (cont.) Pa4e Combining and Individual Funds and Account Groups (Supplementary Information): (cont.) SPECIAL REVENUE FUNDS: (cont.) Statement of Revenue, Expenditures and Changes in Fund Balance - Public Transportation Fund 55 Statement of Revenue, Expenditures and Changes in Fund Balance - Community Development Block Grant Fund 56 Statement of Revenue, Expenditures and Changes in Fund Balance -1976 Community Parklands Grant Fund 57 Statement of Revenue, Expenditures and Changes in Fund Balance - Street Lighting Fund 58 Statement of Revenue, Expenditures and Changes in Fund Balance - Narcotics Seizure Fund 59 Statement of Revenue, Expenditures and Changes in Fund Balance - Low-Moderate Income Housing Fund 60 Statement of Revenue, Expenditures and Changes in Fund Balance - Rosemead Housing Development Corporation 61 Statement of Revenue, Expenditures and Changes in Fund Balance - California Wildlife Fund 62 Statement of Revenue, Expenditures and Changes in Fund Balance - Federal Highway Grants Fund 63 CITY OF ROSEMEAD, CALIFORNIA COMPREHENSIVE ANNUAL FINANCIAL;REPORT Fiscal Year Ended June 30, 2002 TABLE OF CONTENTS (cont.) FINANCIAL SECTION (cont.) Page Combining and Individual Funds and Account Groups (Supplementary Information): (cont.) CAPITAL PROJECTS FUND: Balance Sheet - Capital Projects Fund 65 Statement of Revenue, Expenditures and Changes in Fund Balance 66 Statement of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual 67 DEBT SERVICE FUND: Balance Sheet - Debt Service Fund 69 Statement of Revenue, Expenditures and Changes in Fund Balance 70 Statement of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual 4 71 FIDUCIARY FUND TYPES: Combining Balance Sheet 73 Combining Statement of Changes in Assets and Liabilities - All Agency Funds 74 1 1 1 1 1 CITY OF ROSEMEAD, CALIFORNIA COMPREHENSIVE ANNUAL FINANCIAL REPORT Fiscal Year Ended June 30, 2002 TABLE OF CONTENTS (cont.) FINANCIAL SECTION (cont.) Page Combining and Individual Funds and Account Groups (Supplementary Information): (cont.) ACCOUNT GROUPS: Statement of General Fixed Assets 77 Statement of Changes of General Fixed Assets 78 - 79 STATISTICAL SECTION General Governmental Expenditures by Function - All Governmental Fund Types 81 - 82 General Revenues by Source - All Governmental Fund Types 83 - 84 Other Tax Revenues by Source - All Governmental Fund Types 85 - 86 Assessed Valuations of Taxable Property 87 - 88 Special Assessment Levies and Collections - Lighting and Maintenance District 89 Computation of Legal Debt Margin 90 Ratio of Annual Debt Service Expenditure for Total Bonded Debt to Total General Expenditures 91 Ratio of Annual Debt Service Expenditure for Total Bonded Debt to Assessed Valuation 93 CITY OF ROSEMEAD, CALIFORNIA COMPREHENSIVE ANNUAL FINANCIAL'REPORT Fiscal Year Ended June 30, 2002 TABLE OF CONTENTS (cont.) STATISTICAL SECTION (cont.) Paqe Ratio of Annual Debt Service Expenditure for Total Bonded Debt Per Capita 94 Property Tax Rates • All Overlapping Governments 95 Schedule of Direct and Overlapping Bonded Debt 96 Demographic Statistics 97 Principal Taxpayers 99 Schedule of Insurance in Force 100 Construction Activity 101 Miscellaneous Statistics 102 Vicinity Map 103 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 N A N C A MAYOR: ' ROBERTW.BRUESCH MAYOR PRO TEM: JOE VASQUEZ COUNCILMEMBERS: ' MARGARETCLARK JAY T. IMPERIAL GARYA.TAYLOR I December 3, 2002 Poscmcad 8838 E. VALLEY BOULEVARD • P.O. BOX 399 ROSEMEAD, CALIFORNIA 91770 TELEPHONE (626) 569-2100 FAX (626) 307-9218 The Honorable Mayor ' and Members of the Rosemead City Council Councilmembers: ' Submitted for your information and consideration is the Annual Financial Report for the fiscal year ended June 30, 2002. This is a combined report of the City of Rosemead, Rosemead Community Development Commission and the Rosemead ' Housing Development Corporation. The report is prepared by the City's Finance Department and made available to residents, the City Council, and the investment community. 1 The responsibility for both the accuracy and completeness of the financial report ' rests with the City. To the best of our knowledge the information presented is accurate in all material aspects and includes all disclosures necessary to enable the reader to gain an understanding of the City's financial activities. GENERAL INFORMATION The City of Rosemead was incorporated on August 4, 1959, and operates as a general law city. It has a Council-Manager form of government, with five council members elected at large for four-year overlapping terms. The Council selects a Mayor and a Mayor Pro-Tem each year from its membership. ' The Council is responsible for enacting local legislation, establishing general policy for the City and adopting annual budgets. The Council's duties include the appointments of a City Manager, City Attorney, City Clerk, City Treasurer, and the selection of citizens to serve on the City's Planning Commission and Traffic Commission. The City Council also acts as the Rosemead Community Development 1 Commission and Rosemead Housing Development Corporation Board, and oversees the responsibility for the operation and accountability of the Rosemead Community Development Commission, Building Rehabilitation Appeals Board, and the Rosemead Housing Development Corporation. The City of Rosemead has a population of 55,289 living in an area encompassing 5.5 square miles. The City is located in the central Northwestern section of Los Angeles County, approximately nine miles east of downtown Los Angeles. The City shares common boundaries with the municipalities of San Gabriel, Temple City, El Monte, South El Monte, Montebello, and Monterey Park. Two major freeways, the San Bernardino (1-10) and the Pomona (60) intersect the City in an east\west direction providing convenient access to all areas of Southern California. In addition, major rail and public bus lines provide convenient regional transportation options. Sales tax is the City's major revenue source and is based on light manufacturing, commercial, and local retail business. This accounts for approximately 22% of the land use within the City. The remaining 78% of land area used for residential purposes (64%), and by public facilities activities (14%). HIGHLIGHTS OF FISCAL YEAR 2001-02 Administration: The statewide growth slowdown has been painful for local businesses, the city and local residents. The state and the Los Angeles region are coping with a variety of forces, including the sharp slowing of the U.S. economy, a full-blown state energy crisis, the unexpectedly rapid and deep tech sector crash, and the aftermath of September 11th events. Despite the fact that the state has outperformed the rest of the nation in most economic indicators, the effects of the energy crisis and the September 11`h attacks have undermined consumer confidence, tourism and other business activities. Nevertheless, there were some positive forces at work in 2002 for the region and community. These include new housing construction and public infrastructure projects, as well as, development of new retail businesses that will generate additional sales tax revenues. The energy crisis has been a source of much concern, as bankruptcy of Southern California Edison (SCE) would have had a devastating effect on our local finances and operations. SCE tax revenues contribute greatly to our local budget. Our very economy and quality of life depend upon the jobs, community involvement and economic activity resulting from SCE's being headquartered in our City. The bankruptcy of SCE would have had a chilling impact on our local economic base, not to mention the entire state economy and business climate. Bankruptcy'was averted only after the California Public Utility Commission (CPUC) reached agreement with I lu I 1 1 1 I 1 1 I SCE on terms for restoring SCE to financial health, which is expected to occur within the next year. The budget picture in- Sacramento continues to cast a dark cloud over local government budgets and prospects for the upcoming year appear even bleaker than most analysts anticipated. This upcoming year's state budget deficit is projected to be in excess of 20 billion dollars. Negative long-term state revenue projections issued by the Legislative Analyst Office coupled with anticipated cuts in state programs, which are under consideration by legislature, puts numerous local government programs on the proverbial chopping block for upcoming budget action. The most vulnerable city revenue continues to be the state general fund "backfill" for the vehicle license fee (VLF) tax reduction made in 1999. Despite past state assurances made to protect local government from any revenue loss from the tax cut, the backfill will continue to be actively considered in various scenarios to close the anticipated deficit. The City's sales tax continues to remain flat as it has for the previous ten years. The tax increment revenue from Redevelopment Project Area No. 1 also continues to remain flat. That combined with the State budget crisis mandates that we maintain a careful watch on revenues. Engineering: The City completed several capital improvement projects during the fiscal year. CDBG funds were used to construct storm drain facilities on Ralph Street and Hart Avenue on the east side of the City. This project mitigated the problem of a lack of adequate drainage facilities in the Hart Avenue cul-de-sac south of Ralph Street. Curbs and gutters were also constructed on Hart Avenue and Ralph Street was slurry sealed. Traffic Congestion Relief (TCR) funds were utilized to resurface Olney Street from Rio Hondo Avenue to Temple City Boulevard subsequent to the construction of a storm drain extension between Marybeth Avenue and Ellis Lane that allowed for the removal of a drywell system that was a continual maintenance problem. TCR funds were also used for the City's annual resurfacing project on various streets as well as the restriping of Garvey Avenue. Two new traffic signals were installed this year; at Hellman/Jackson Avenues utilizing Safe Route to School (SR2S) grant funds and at the new entrance to the Garvey Community Center/Senior Housing facility utilizing Community Development Commission and Housing Funds. Planning: A variety of exciting development activities took place during Fiscal Year 2001-02. These development activities, both large and small, are creating positive changes to the landscape of the Community. These positive changes include physical, social and economic aspects that will help to position Rosemead iii for,improved economic stability and an enhanced "quality of life". Although considered a "built out" community with few vacant properties left to develop, Rosemead has the potential for redeveloping neighborhoods with "infill" projects. These Infill" projects, though difficult to coordinate, will increase the economic vitality of the community and build upon the existing strengths that are inherent to the City. The most important commercial activity that was realized this year was the opening of a new Target store. The Target Corporation purchased a portfolio of insolvent Montgomery Ward stores, including the Rosemead store. Target remodeled the existing Wards structure and opened a new modern "big box" retail business to the public on March 4, 2002. Both interior and exterior building improvements were made to the structure to create a visually appealing, modern shopping venue for Rosemead residents and consumers that shop in the surrounding area. Another high profile transaction that took place was the sale of the 180,000 square foot, vacant Chicago Title Headquarters Building located along Walnut Grove Avenue. The Panda Restaurant Group purchased this vacant property to re-locate their corporate headquarters from South Pasadena to the City of Rosemead. The first phase of tenant improvements is currently under construction and is valued at $200,000. The Panda Restaurant Group anticipates a move-in date of March 2003, with subsequent phases of tenant improvements to follow. Rite Aid completed their new drug store with a drive through at the corner of Ivar and Valley Boulevard, valued at $750,000. Financial difficulties within the Rite Aid Corporation prevented immediate occupancy of the structure. However, in December 2001, the Rite Aid Corporation made the decision to open the store rather than to sell or lease the facility to another chain drug store. Sea Harbour Seafood Restaurant opened their first Hong Kong style seafood restaurant in the United States, in Rosemead. Sea Harbour purchased a previously operating restaurant at 3939 Rosemead Boulevard and converted it into an attractive sit down family restaurant. They currently operate over thirty restaurants in China and one restaurant in Vancouver. World-renowned chef Tony Ho is co-owner of the restaurant and specializes in high-end seafood entrees. Tenant improvements totaling $185,000 were completed on the existing restaurant building and the business opened with great success in January of 2002. One new fast food restaurant was constructed over the last year. A new Carl's Jr. restaurant was completed in March of 2002 at 9021 Valley Boulevard. This iv i ' restaurant was valued at $257,000. ' Other new commercial projects underway along Valley Boulevard include a new, 7,300 square foot, multi-tenant office building, valued at $666,000, under construction at 9143 Valley Boulevard. A completion date is expected by the end of December. A complete interior and exterior remodeling of the A-1 Rental Store is currently underway to facilitate the opening of a French/Vietnamese bakery. ' The first phase of a 31-unit single-family residential development at Del Mar and Graves Avenue was completed in Fiscal Year 98-99. Phase II of the 31 unit Residential "Planned Development" project which included seventeen additional homes, was completed in June, 2001. The same developer is currently grading a site along Mission Drive for the construction of twelve new single-family, ' detached homes. Nevis Development will be presenting their sixteen lot single- family residential development to the Planning Commission by the end of 2002. Other residential projects under consideration include proposals for single-family townhome developments along portions of Del Mar Avenue, within a mixed use overlay zone of the City. t Parks and Recreation: The City completed various park and recreation improvements during the fiscal year. At Garvey Park benches were purchased for ' the Tennis Courts and new signage was acquired to inform the public of park rules. A new refrigerator was purchased for the Senior Citizen Lunch Program at the Rosemead Community Recreation Center. ' PROSPECTS FOR THE FUTURE The City has implemented a first-time homebuyer program through the Rosemead ' Housing Development Corporation. The program is intended to assist potential homeowners in the community with up to $20,000 in down payment assistance. To date the City has assisted thirteen (13) residents in purchasing a home within the community. The City has completed the development of a 25,000 square foot recreation center ' in conjunction with a 72 unit senior housing project on the City owned parcel at 9118 Garvey Avenue. The City is funding the project with a variety of funds including ' Rosemead Community Development Commission's Low-Moderate Income Housing Set-Aside funds, Community Development Block Grant (CDBG), HOME funds and the proceeds from a county wide recreational facilities bond measure (Proposition A) approved by the voters on November 5, 1996. Several,capital improvement projects are planned for Fiscal Year 2002-03. CDBG funds will be utilized for the installation and upgrade of streetlights on various streets in the southern portion of the City north of Garvey Avenue and west of Walnut Grove Avenue. An overlay project on various streets is also planned and will be funded by Traffic Congestion Relief (TCR) funds. Gas Tax funds will be utilized for performing miscellaneous concrete repairs and a slurry seal on various streets throughout the City. The engineering design of several other projects will get underway or continue in Fiscal Year 2002-03. These include the replacement of both the Garvey Avenue (over the Rio Hondo) and Hellman Avenue (over the Alhambra Wash) bridges, and an alley reconstruction project, which will improve several alleys along Valley Boulevard. A second Redevelopment Project Area was approved by the City Council in July 2000. The City may now utilize redevelopment powers and incentives under California Redevelopment Law, which will help to revitalize both Valley and Rosemead Boulevards as well as increase the tax base of the City. A number of exciting projects are anticipated to take place along the City's two major boulevards. It is difficult to anticipate what the future will bring any community as many variables affect the national, state and local economy. These economic factors determine the ability of private developers to deliver new projects. However, the following paragraphs describe project's that the City Council and various City Departments have been planning and coordinating for the coming year(s). Southern California Edison (SCE) has been marketing three large properties within the City of Rosemead boundaries over the last two years. One of these properties includes the vacant 24-acre site at the corner of Rush Street and Walnut Grove Avenue which is zoned for commercial uses. SCE has entered into a negotiation for a sales agreement with WalMart to construct a WalMart store, a gasoline fueling station, two restaurant pads and an inline retail strip of smaller retail tenants. Public controversy invariably is associated with projects of this magnitude and it is anticipated that a lengthy Environmental Impact Report (EIR) and entitlement process will be required for the City Council to consider prior to a decision being made on the project. 'A ten to twelve month timeframe will be required for adequate technical studies to be compiled and analyzed by the City. The second large parcel was purchased from Edison by a private developer approximately two years ago. This site is located at the northern boundary to the City along Walnut Grove Avenue adjacent to the Union Pacific rail line. The City has approved two development proposals for this six-acre site. The City 1 vil l ' approved the remodeling of an existing SCE training building into a private language college (Edgewood Institute) and the remainder of the site was ' approved by the City for the construction of a 122,000 square foot, industrial park, and condominium subdivision. The start date for construction of the industrial park is not known at this time. It is anticipated that construction will commence ' within the next twelve to twenty-four months. A third SCE development site was recently approved by the City for the development a 50,000 square foot industrial park on 3 acres and a 96,000 square foot self storage facility on 2.5 acres, both to be located below the electrical ' transmission lines within the SCE right of way located along the west side of San Gabriel Boulevard, south of Garvey Avenue. ' Additional projects that have received approval from the City over the last year along Valley Boulevard but have not broken ground include a 68-room Comfort ' Suites Inn Hotel; a 7,000 square foot multi tenant office and retail building (both near Valley Boulevard and Rio Hondo Avenue); and a 3,600 square foot McDonalds restaurant (Valley Blvd./Walnut Grove Ave.) ' The City is still actively working with developers to redevelop several key commercial sites within the City, including areas within the recently adopted ' Redevelopment Project Area No. 2, located along Valley and Rosemead Boulevards. A few of the targeted sites include the northeast corner of Valley and Temple City Boulevards; the southwest corner of Valley Boulevard and Walnut ' Grove Avenue; the northwest corner of Valley and Rosemead Boulevards; and southwest corner of Rosemead Boulevard and Mission Drive. ' Rosemead Community Recreation Center future improvements include a new pre- school restroom, which is slated to be built this upcoming year and the acquisition of ' 200 new stacking chairs. To assist with the upkeep of the facility, a new Floor Scrubbing Machine will be purchased and the center fumigated. ' At Garvey Park, the Tennis Courts are scheduled to be re-surfaced as well as resurfacing and re-painting the gym floors. Garvey Pool restrooms and showers will ' be retiled. In addition, the reception areas will be rebuilt and both the pools will get a defibulator. 1 REPORTING ENTITY AND ITS SERVICES ' The reporting entity is comprised of all funds and account groups of the City of Rosemead, Rosemead Community Development Commission, and Rosemead Housing Development Corporation. I vii The Rosemead Community Development Commission finances streets, parks, and utility improvements within the Redevelopment project area as well as in some selected areas outside the project area, which benefit the project area. The Rosemead Housing Development Corporation provides for conservation and financing of Low and Moderate Income Housing within the City limits. The City of Rosemead provides a broad range of services to its citizens. including general government, public safety, street construction and maintenance, sanitation, building safety, parks and recreational facilities, and cultural services. Some of the functions typically provided by municipal government are, as in the City of Rosemead, provided by special districts. These districts, which usually encompass an area larger than the City itself, include the Consolidated Fire Protection District of Los Angeles County, the Los Angeles County Library District, and the Los Angeles County Sanitation Districts. Other Governmental functions paid for by the City but performed by County departments under contract with the City are police protection, street maintenance, and animal control. REPORTING STANDARDS The financial reports have been prepared in conformance with the generally accepted accounting principles as set forth by the Governmental Accounting Standards Board (GASB), applicable pronouncements of the American Institute of Certified Public Accountants, and the full financial disclosure guidelines of the Governmental Finance Officers Association of the United States and Canada. FINANCIAL STATEMENT The City requires that its financial statements be audited by a Certified Public Accountant selected by the City Council. This requirement has been satisfied, and the Auditor's opinion is included in the financial section of this report. In addition, the City is required to undergo an annual single audit in conformity with the provisions of the Single Audit Act and U.S. Office of Management and Budget Circular A-133, "Audits of States, Local Governments and Non-profit organizations." This requirement has also been satisfied and there were no material exceptions noted in the report. Viii 1 The Comprehensive Annual Financial Report is divided into the following three ' sections: 1. Introductory Section - which includes this transmittal letter, the City's ' Organization Chart, and a list of the principal officials. ' 2. Financial Section - which includes the auditor's opinion, general purpose financial statements, and the combining and individual fund and account group financial statements. ' 3. Statistical Section - which includes relevant financial and non-financial data presenting historical trends and other information about the City. NOTES TO THE FINANCIAL STATEMENTS ' The Notes to the Financial Statements, which are part of the General Purpose ' Financial Statements within the Financial Section, are an integral part of the financial report and are essential to the fair presentation and adequate disclosure of the financial position of the City, Rosemead Community Development Commission, and the ' Rosemead Housing Development Corporation. The notes should be read along with the financial statements to gain a more thoroughly understanding of the information contained within this report. Your attention is specifically directed to the presentation of the City's ' significant accounting policies. The fiscal operations of the City are primarily accounted for in the Governmental Funds, ' which include the General, Special Revenue, Debt Service and Capital Project Funds. The 2001-02 Fiscal Year revenues for the Governmental Fund types totaled $23,781,486. t Presented on the next page are the revenues by major source, which includes the percentage each source represents of the total revenues and the increase (decrease) from the prior year. 1 1 I ' ix REVENUE BY SOURCE INCREASE 2001-02 PERCENT (DECREASE) REVENUE OF TOTAL FROM 2000-01 Property Tax Increment, Special Assessments $3,654,082 15.37% " $283,625. Other Taxes" 4,417;537 18.58% (211,688) Licenses and Permits 996,395 4.19% 19$,902 Intergovernmental 11,889,649-. 50.00%° 2,560,410 Charges for Services 467,598 t :1.97% 22 539 Fines, Forfeitures, Penalties 658,184 ` 2.77% 32,057 Use of Money and Property 1,675,373 7.04°/% . (1,287 919) Other 22,668 0.08% (31,426)i $23,781,486 '100.00% $1,566,500 The most notable change in revenues is an increase in Intergovernmental revenues, which is the result of Community Development Block Grant funds and other State grant funds. The 2001-02 Fiscal Year expenditures for the Governmental Fund types totaled $30,552,585. Listed on the following page is a recapitulation of these expenditures by major function. The chart reflects expenditures by function as a percentage to the total expenditures and the incremental change from the prior fiscal year. The most significant increase in expenditures for 2001-02 over 2000-01 is reflected in Capital Outlay. Majority of the increase is due to construction of the Garvey Senior Housing and Community Center. GENERALFUND The City of Rosemead remains in a strong financial position as of June 30, 2002 with a surplus of approximately eighteen million three hundred thousand dollars ($18.3). There were no residual equity transfers from any funds during the fiscal year. X I 1 L EXPENDITURE BY FUNCTION 2001-02 PERCENT EXPENDITURES OF TOTAL INCREASE (DECREASE) FROM 2000-01 General Government $2,901,892 9.50% ($121,130) Public Safety 5,612,195 18.37% (33,833) Public Works 8,013,192 26.23% 2,574,705 Public Health 55,354 0.18% (3,939) Public Recreation 2,615,368 8.56% 243,345 Community Service 2,247,780 7.36% 346,656 Capital Outlay 6,834,747 22'37% 6,714,102 Debt Service 2,272,057. 7.43% 4,210 $30,552,585 100.00% $9,724,116 GENERAL FIXED ASSETS 1 1 1 As of June 30, 2002, the general fixed assets of the City totaled twenty-seven million eight hundred eight thousand six hundred sixty-four dollars ($27,808,664). This amount represents the original cost of the assets, net of additions and deductions from July 1, 2001 to June 30, 2002, and is considerably less than their present value. The system of accounting presently recommended by the Governmental Accounting Standards Board does not allow for the recording of depreciation of general fixed assets as an expense of governmental funds. ACCOUNTING SYSTEM The City's accounting records are maintained on the modified accrual basis of accounting for the governmental fund types and agency funds. Revenue is recognized in the accounting period in which it becomes both available and measurable. Available means collectible within the current period or soon enough thereafter to pay current liabilities. The accrual basis of accounting is used for Pension Trust Fund, which recognizes revenues when earned and expenses when incurred. A system of internal accounting controls have been developed and regularly reviewed by the independent certified public accountants who audits the accounting records of the City. Xi This system has been designed to provide reasonable, but not absolute assurance that Assets have been protected from losses arising from unauthorized use or disposition. Financial records can be relied upon for preparing adequate financial statements and maintaining accountability for assets. All internal control evaluations occur according to the above criteria. We believe that the City's controls adequately safeguard assets and provide reasonable assurance of proper recording of financial transactions. BUDGETARY CONTROL In addition to internal accounting controls, the City also maintains budgetary controls. The objective of these budgetary controls are to insure compliance with the City's budget policy embodied in the annual appropriated budget approved by the City Council. Activities of the general fund, special revenue funds, debt service fund, and capital projects fund are included in the annual approved budget. Budgetary control is maintained at a functional level by division within departments through use of object level account appropriations. Actual expenditures are compared to these appropriations. The City Manager is authorized to transfer budgeted amounts between funds within the same department. Any new appropriations must be authorized by City Council. All unexpended budgeted funds lapse at the end of the budget year. The exception is the capital projects fund because the budgeted appropriations relate to all future appropriations as well as current year appropriations. CASH MANAGEMENT The City and the Commission maintain separate cash and investment pools. Each fund's or fund's type's share of the pool balance is reported in the financial statements as "cash and cash investments." Earnings from the pooled investments are allocated monthly to each participating fund based on a formula that takes into consideration each fund's average investment in the pool. DEBT ADMINISTRATION I The City of Rosemead, as a general law city, is restricted from incurring general obligation bonded indebtedness, which would exceed 3.75% of the total assessed valuation of all real xii ' and personal property within the city. The City of Rosemead presently has no bonded indebtedness. ' The Rosemead Redevelopment Agency issued $34,275,000 Tax Allocation Bonds (Series A) and $2,435,000 Taxable Tax Allocation Refunding Bonds (Series B) in November 1993 to finance public improvements within the Redevelopment Agency's project area and a portion of the bond proceeds were used to defease the 1991 Tax Allocation Bonds and the ' 1987 Tax Allocation Notes. The 1993 Bonds (Series A and B) interest payments are due semi-annually on October 1 and April 1, and principal payments due annually on October ' 1. In October 1991, the Agency funded its Low-Moderate Income Housing Set Aside fund with t $6,813,850 from the proceeds of the 1987 Tax Allocation Notes. The Agency prefunded the Low-Moderate Housing Income Set-Aside Fund to satisfy the set-aside requirement for fiscal years 1996-97 through 2021-22, approximately $451,187 per year. RISK MANAGEMENT The City of Rosemead has been a member of the California Joint Powers Authority since its inception in 1976. Members are insured for $50,000,000 per occurrence for General ' and Automotive Liability and the same amount for Special Liability, which includes errors and omissions. There are over 80 cities statewide that are members of the Authority. The City Manager acts as the Risk Manager and one member of Council is a delegate to the ' Authority. ' GANN LIMIT ' In 1979, Proposition 4, the "Gann" initiative, was passed. This measure was intended to control government spending by establishing a spending ' limit, which is calculated from the base year 1978-79 and adjusted annually bythe Consumer Price Index and population changes. This limitation applies only to appropriations subject to the limitation as defined under Article XIIIB of the California Constitution. We are pleased to ' inform you that the City is in the enviable position of being well within 30% of the calculated appropriation limit at June 30, 2002. The City's ' 2002-03 estimated revenues and budgeted expenditures indicate that by June 30, 2003 the City will be approximately 34% of the limit. I xiii OTHER INFORMATION ' The City of Rosemead was pleased to receive a Certificate of Award for Outstanding ' Financial Reporting from the California Society of Municipal Finance Offices (CSMFO) for the City's Comprehensive Annual Financial Report, Fiscal Year Ended June 30, 2001. This Certificate is awarded to governmental units who publish an easily readable, efficiently ' organized, comprehensive annual financial report, which conforms to program standards and satisfies both generally accepted accounting principles and applicable legal requirements. The City of Rosemead was awarded this Certificate for the last thirteen (13) ' consecutive years. This Certificate is valid for a period of one year only. We believe that the City's current ' comprehensive annual financial report continues to meet the Certificate of Achievement program requirements and are again submitting it to the CSMFO to determine its eligibility for another certificate. ' 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 of , Rosemead for its Comprehensive Annual Financial Report for the fiscal year ended June 30, 2001. The Certificate of Achievement is a prestigious national award recognizing conformance with the highest standards for preparation of state and local government ' financial reporting. In order to be awarded a Certificate of Achievement, a government unit must publish an , easily readable and efficiently organized Comprehensive Annual Financial Report, whose contents conform to program standards. Such CAFR must satisfy both generally accepted accounting principles and applicable legal requirements. ' A Certificate of Achievement is valid for a period of one year only. The City of Rosemead received a Certificate of Achievement last year. We believe our current report continues to conform to the Certificate of Achievement program requirements, and we are submitting it to GFOA. 1 ACKNOWLEDGMENTS The preparation of this report could not have been accomplished without the efficient and ' dedicated efforts of the entire Rosemead Finance Department. The department's effort to , upgrade the quality of financial reporting for the City of Rosemead has led to improved quality of financial information available to the City Council and citizens. I xiv ' 1 ' We would like to thank the members of the City Council for their continued support, leadership and concern for the financial stability of the community. ' Respectfully submitted, ' Bill Crowe City Manager ' Karen Ogawa Finance Director 1 1 1 1 ' xv ELECTED OFFICIALS: City Council: APPOINTED OFFICIALS: Planning Commissioners: Traffic Commissioners: CITY OF ROSEMEAD, CALIFORNIA CITY OFFICIALS June 30, 2002 Robert W. Bruesch Joe Vasquez Margaret F. Clark Jay T. Imperial . Gary A. Taylor Mayor Mayor Pro Tom Councilwoman Councilman Councilman DucLoi Chairman Diane Herrera Vice Chairman William Alarcon Commissioner Robert Breen Commissioner Merced "Bill" Ortiz Commissioner Carmine Baffo Chairman Edward Quintanilla Vice Chairman Holly Knapp Commissioner Brandan Matsdorf Commissioner Victor Ruiz Commissioner Bill Crowe City Manager Bill Crowe City Treasurer Robert L. Kress City Attorney Nancy Valderrama City Clerk xvi 1 1 1 1 1 1 1 a °a a w x. g U W to Q O Z O O Q N F}- 2 V Q U 2 O .1 xvii i O ~I qz~ ~V O~ Fe, Q4 ftfta o~ e~ 16~ Q O w 'L7 a~ i~ C~ a INZ O Z .O d tl tl u C U 'Q b w t n 3 n h Q r i m z . m C tl S ~ Y y tl Q ti y tl h O C y `U U S ~ ~ a yt s U d ~ w Z 3 U a tl U Q 0 N O N C Y Z 4.4 e U 9 `n e m a u ~Q C r~ v v M C C .y ~N 1 U V k O v A xvin 1 I 1 i 1 1 1 1 F 1 Certificate of Achievement for Excellence in Financial Reporting Presented to City of Rosemead, California 1 For its Comprehensive Annual Financial Report for the Fiscal Year Ended 1 June 30, 2001 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers 1 Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial 1 reports (CAFRs) achieve the highest standards in government accounting and financial reporting. 1 1 1 1 1 1 pNME OF/)5 4v f IN - NRfANiAiFS y c A^4Y w AND x nu Pr sident a~ CLNPNNANIN S >a& spas. ~ arcANN Z~ O~ LAG Executive Director xix THIS PAGE INTENTIONALLY LEFT BLANK 1 1 s N 0 1 8 0 0 0 a i N I 1 McGLADREY& PULLEN, LLP ® Certified Public Accountants inter•'1rJK 0 1 I I I I I INDEPENDENT AUDITOR'S REPORT To the Honorable Mayor and Members of the City Council City of Rosemead Rosemead, California We have audited the accompanying general-purpose financial statements of the City of Rosemead, California (the City), as of and for the year ended June 30, 2002, as listed in the table of contents. These general purpose financial statements are the responsibility of the City of Rosemead's management. Our responsibility is to express an opinion on these general-purpose financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the general-purpose financial statements referred to above present fairly, in all material a respects, the financial position of the City, as of June 30, 2002, and the results of its operations and the cash flows of its pension trust fund for the year then ended in conformity with accounting principles generally accepted in the United States of America. Ili I I 1 I I I 1 In accordance with Government Auditing Standards, we have also issued a report dated October 3, 2002 on our consideration of the City's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grants. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be read in conjunction with this report in considering the results of our audit. Our audit was made for the purpose of forming an opinion on the general-purpose financial statements taken as a whole. The combining and individual fund statements and schedules listed in the table of contents as supplementary information are presented for purposes of additional analysis on pages _35__ to 79 and are not a required part of the general-purpose financial statements of the City. Such information has been subjected to the auditing procedures applied in the audit of the general-purpose financial statements and, in our opinion, is fairly presented in all material respects in relation to the general-purpose financial statements taken as a whole. Pasadena, California October 3, 2002 McGladrey & Pullen, LLP is an independent member firm of - RSM International, an affiliation of independent accounting and consulting firms. 1 THIS PAGE INTENTIONALLY LEFT BLANK 12 I I 1 I I 1 I O I B I I 1 1 1 1 I CITY OF ROSEMEAID, CALIFORNIA GENERAL PURPOSE FINANCIAL STATEMENTS YEAR ENDED JUNE 30, 2002 CITY OF ROSEMEAD, CALIFORNIA COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUPS June 30, 2002 Governmental Fund ' Special Debt Capital Assets and Other Debits General Revenue Service Projects Assets Cash and investments $ 17,559,654 $ 5.122,577 $ - S 10,720,678 Receivables 1,511,398 1,605,083 32,833 141,076 Prepaid items - 4,000 - - Restricted cash and investments - - 2,321025 - Due from other funds 1,032,126 307,761 - - Property and equipment - - - - Other Debits Amount available in debt service fund - - - - Amount to be provided for retirement of general long-term debt - - - - Total assets and other debits $ 20.103,178 $ 7,039.421 $ 2,354,858 $ 10.861,754 Liabilities, Municipal Equity and Other Credits Liabilities Accounts payable and accrued liabilities $ 1,295,293 $ 1,182,899 $ - $ 1,105,705 Due to other funds - 1,339,887 - - Deferred revenue 324,310 147,216 - - Refundable deposits - - - - Tax allocation notes and bonds - - - - Accrued vacation pay and compensatory time 146,727 - - - Total liabilities 1,766.330 2,670,002 - 1,105,705 Municipal Equity and Other Credits Investment in general fixed assets Fund balance: Reserved: Prepaid items Long-term receivable Debt service Low-moderate income housing Employees' retirement Unreserved: Designated for: Capital projects Building and equipment replacement Litigation settlements Self insurance Contingencies Undesignated Total municipal equity and other credits Total liabilities, municipal equity and other credits See Notes to Financial Statements. 4,000 446,683 - - - 2,354,858 696,354 - - - - 9,756,049 1,800,000 - - - 1,000,000 - - - 300.000 - - - 4,000,000 - - - 10,790,165 3,669,065 - - 18,336.848 4,369,419 2.354,858 9,756,049 $ 20,101178 S 7,039,421 S 2.354,858 $ 10.861.754 3 I Fiduciary Totals Fund Tvpe Account Groups (Memorandum Only) General General ' Trust and Fixed Long-term Agency Assets Debt 2002 2001 $ 293,910 S - $ - $ 33,696,819 $ 38,397,599 3,290,390 4.816,290 - 4,000 - - - _ 2,322,025 2.323333 1,339,887 1,903,875 - 27,808,664 - 27,808,664 16.472,653 - - 2,354,858 2,354,858 2,356,167 - - - 32,189.486 32,189,486 12,591,591 293,910 $ 27,808,664 $ 34,544,344 $ 103,006,129 S 98,868,507 8 $ - $ - $ - $ 3,583,897 5 2,282.543 1,339,887 1.903,875 - - - 471,526 1,325.017 146,632 - - 146,632 110,444 34,255,000 34,255,000 34,625,000 - - 289.344 436,071 399,237 146,632 - 34,544,344 40,233,013 40,646,116 - 27,808,664 - 27,808,664 16,472.653 a - - - 4,000 - - - - 446,683 490,316 - i - 2,354,858 696,354 2.356,167 6,136.067 147,278 147,278 161,464 - - - 9,756,049 13,546.693 - - - 1,800,000 1.800,000 1,000,000 1,000,000 300,000 300,000 4,000,000 4,000,000 - - - 14,459,230 11.959,031 147,278 27,808,664 - 62,773,116 58.222,391 $ 293,910 $ 27,808,664 S 34,544,344 S 103,006,129 $ 98,868,507 1 1 4 CITY OF ROSEMEAD, CALIFORNIA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ALL GOVERNMENTAL FUND TYPES Year Ended June 30, 2002 Governmental Fund Types Special Debt Capital General Revenue Service Protects Property taxes and special assessments $ - $ 456,328 $ - $ 3,197,754 Othertaxes 4,417,537 - - Intergovernmental 5,748,132 6,141,517 Licenses and permits 996,395 - - Charges for services 467,169 84 345 Fines, forfeitures and penalties 353,957 304,227 - - Use of money and property 670,466 373,844 135,101 495,962 Other 22.668 - - - Total revenues 12,676,324 7,276,000 135,101 3,694,061 Expenditures: Current: General government 2,488,550 260,815 152,527 Public safety 4,931,508 680,687 - Public works 663,684 4,250,134 3,099,374 Public health 55,354 - - Public recreation 2,615,368 - Community services 1,320,650 927,130 Capital outlay 33,628 6,801,119 - Debt service: Principal - - 370,000 Interest - - 1,902,057 - Total expenditures 12,108,742 12,919,885 2,272,057 3,251,901 Revenues over (under) expenditures 567,582 (5,643,885) (2,136,956) 442,160 Other financing sources (uses): Operating transfers: From other funds 1,153,393 7,862,007 2,135,647 - (To) other funds (54,817) (6,863,427) - (4,232,803) Total other financing sources (uses) 1,098,576 998,580 2,135,647 (4,232,803) Revenues and other financing sources over (under) expenditures and other ❑nancing(uses) 1,666,158 (4,645,305) (1,309) (3,790,643) Fund balance, beginning 16,670,690 9,014,724 2,356,167 13,546,692 Fund balance, ending $ 18,336,848 $ 4,369,419 S 2,354,858 $ 9,756,049 See Notes to Financial Statements. 5 1 1 1 O 1 1 Totals (Memorandum Only) 2002 2001 $ 3,654,082 S 3370,456 4,417,537 4,629,225 11,889,649 9,329,239 996,395 797,493 467,598 445,059 658,184 626,127 1,675,373 2,963 ?92 22,668 54,094 23,781,486 22,214,985 2,901,892 3,023,022 5,612,195 5,646,028 8,013,192 5,438,487 55,354 59,293 2,615,368 2,372,023 2,247,780 1,901,124 6,834,747 120.645 370,000 345,000 1,902,057 1,922,847 30,552,585 20,828,469 (6,771,099) 1,386,516 11,151,047 4,622,090 (11,151,047) (4,622,090) (6,771,099) 1,386,516 41,588,273 40,201,757 $ 34,817,174 $ 41,588,273 6 CITY OF ROSEMEAD, CALIFORNIA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET AND ACTUAL ALL GOVERNMENTAL FUND TYPES Year Ended June 30, 2002 General Variance Favorable Budget Actual (Unfavorable) Revenues: Property taxes and special assessments $ $ - $ - Othertaxes 4,251,500 4,417,537 166,037 Intergovernmental 4,643,150 5,748,132 1,104,982 Licenses and permits 890,600 996,395 105,795 Charges for services 388,850 467,169 78,319 Fines, forfeitures and penalties 260,000 353,957 93,957 Use of money and property 775,550 670,466 (105,084) Other 151,550 22,668 (128,882) Total revenues 11,361,200 12,676,324 1,315,124 Expenditures: Current: General government Public safety Public works Public health Public recreation Community services Capital outlay Debt service: Principal Interest Total expenditures Revenues over (under) expenditures Other financing sources (uses): Operating transfers: From other funds (To) other funds Revenues and other financing sources over (under) expenditures and other financing uses 2,427,550 2,488,550 (61,000) 5,063,420 4,931,508 131,912 919,000 663,684 255,316 64,000 55,354 8,646 2,591,470 2,615,368 (23,898) 1,380,080 1,320,650 59,430 100,000 33,628 66,372 12,545,520 12,108,742 436,778 (1,184,320) 567,582 1,751,902 i 1 1,097,300 1,153,393 56,093 (587660) (54,817) 3,843 1,038,640 1,098,576 59,936 S (145,680) 1,666,158 $ 1,811,838 Fund balance, beginning Fund balance, ending See Notes to Financial Statements. 16,670,690 $ 18,336,848 7 1 Special Revenue Debt Service Variance Variance Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ 360,000 $ 456,328 $ 96,328 $ $ $ 7,736,101 6,141,517 (1,594,584) 6,600 84 (6,516) 280,000 M4:227 24,227 e 346,150 373,844 27,694 135,000 135,101 101 8,728,851 7,276,000 (1,452,851) 135,000 135,101 101 I 472,700 260,815 211,885 280,000 680,687 (400,687) 5,209,926 4,250,134 959,792 2,891,175 927,130 1,964,045 7,468,000 6,801,119 666,881 I I 8,735,482 7,862,007 (873,475) - 2,135,647 2,135,647 (7,800,430) (6,863,427) 937,003 - - - 935,052 998,580 63,528 - 2,135,647 2,135,647 $ (6,657,898) (4,645,305) $ 2,012,593 $ (2,147,840) (1,309) $ 2,146,531 ' 9,014,724 2,356,167 $ 4,369,419 $ 2,354,858 ' Continued on next page 1 8 370,000 370,000 THIS PAGE INTENTIONALLY LEFT BLANK 9 ' I CITY OF ROSEMEAD CALIFORNIA , COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGE S IN FUND BAL ANCES ' BUDGET AND ACTUAL ALL GOVERNMENTAL FUND TYPES, CONTINUED Year Ended June 30, 2002 Capital Project Variance Favorable Budget Actual (Unfavorable) Revenues: Property taxes and special assessments $ 2,900,000 $ 3,197,754 $ 297,754 Othertaxes - - - Intergovernmental Licenses and permits 2,716,250 (2,716,250) Charges for services 345 345 Fines and forfeitures - - - Use of money and property 250,000 495,962 245,962 Other Total revenues 5,866,250 3,694,061 (2,172,189) Expenditures: Current: General government 148,200 152,527 (4,327) a Public safety Public works 6,565,083 3,099,374 3,465,709 Public health - - - Public recreation - - - Community services Capital outlay - - - Debt service: Principal Interest - - - Total expenditures 6,713,283 3,251,901 3,461,382 Revenues over (under) expenditures (847,033) 442,160 1,289,193 Other financing sources (uses): Operating transfers: From other funds 6,869,550 (6,869,550) (To) other funds (8,409,832) (4,232,803) 47177,029 (1,540,282) (4,232,803) (2,692,521) Revenues and other financing sources over (under) expenditures and other financing uses $ (2,387,315) (3,790,643) $ (1,403,328) Fund balance, beginning 13,546,692 Fund balance, ending $ 9,756,049 ' S N Fi i l S otes to ee nanc a tatements. 1 10 CITY OF ROSEMEAD, CALIFORNIA STATEMENTS OF CHANGES IN PLAN NET ASSETS PENSION TRUST FUND Year Ended June 30, 2002 (With Comparative Actual Amounts for the Year Ended June 30, 2001) 2002 2001 Additions: Interest income on cash and investments $ 9,415 $ 8,006 Total additions 9,415 8,006 Deductions: Benefits paid to participants and beneficiaries Administrative expenses Total deductions Net (decrease) in plan net assets Net assets held in trust for pension benefits, beginning Net assets held in trust for pension benefits, ending See Notes to Financial Statements. 19,984 20,040 3,617 3,626 23,601 23,666 (14,186) (15,660) 161,464 177,t24 $ 147,278 $ 161,464 11 I I I I I I 1 C I 'J I J I CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note 1. Reporting Entity, Nature of Operations, Fund Accounting and Significant Accounting Policies Reporting entity: As required by accounting principles generally accepted in the United States of America, these financial statements present the government and its component units, entities for which the government is considered to be financially accountable. Blended component units, although legally separate entities, are, in substance, part of the government's operations and are controlled by common governing boards enabling the City of Rosemead (the City) to impose its will on its component units; therefore, data from these units is combined with data of the primary government. The blended component units included in the City of Rosemead reporting entity are the Rosemead Community Development Commission (the Commission) and the Rosemead Housing Development Corporation (the Corporation), which is a component unit of the Commission. The component units have the same fiscal year as the City. Separately issued financial statements for the component units can be obtained from the City Clerk. Nature of operations: City of Rosemead: The City was incorporated in August 1959 under the general laws of the State of California. The City operates under an elected Council/City Manager form of government. It provides a broad range of services to its citizens, including general government, public safety, streets, sanitation and health, cultural and park facilities, and social services. Many of the functions often provided by municipal government are, in the City, provided by special districts. Examples of some of these special districts, which usually encompass areas larger than the City itself, are the Fire Protection District, the Library District and the County Flood Control District. Certain other governmental functions are paid for by the City, but performed by a variety of other public and private agencies under contract. Some of the contracts now in effect are for police, street maintenance and animal control. Rosemead Community Development Commission: The Commission replaced the Rosemead Redevelopment Agency in January 2002. The Commission's purpose is to prepare and carry out plans for the improvement, rehabilitation and redevelopment of blighted areas within the City. The Commission finances street, park and utility improvements, and also acquires and constructs major capital facilities, all within the Rosemead Project Area No. 1. Rosemead Housing Development Corporation: The Corporation accounts for the construction, financing and operations of low-moderate income housing. It is a California nonprofit benefit corporation organized under Section 501(c)(3) of the Internal Revenue Code. Fund accounting: Measurement focus, basis of accounting and basis of presentation: The accounts of the City and its component units are organized and operated on the basis of funds and account groups. A fund is an independent fiscal and accounting entity with a self-balancing set of accounts. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with finance-related legal and contractual provisions. The minimum amount of funds are maintained consistent with legal and managerial requirements. Account groups are a reporting device to account for certain assets and liabilities of the Governmental Funds not recorded directly in those funds. 12 CITY OF ROSEMEAD, CALIFORNIA ' NOTES TO FINANCIAL STATEMENTS ' Note 1. Reporting Entity, Nature of Operations, Fund Accounting and Significant Accounting ' Policies, Continued The City has the following fund types and account groups: Governmental Funds are used to account for the general government activities. Governmental Fund Types use the flow of current financial resources measurement focus and the modified-accrual basis of accounting. Under the modified-accrual basis of accounting, revenue is recognized when susceptible to , accrual (i.e., when they are measurable and available). "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to pay liabilities of the current period. The government considers all revenue available if it is collected ' within 60 days after year end. Expenditures are recorded when the related fund liability is incurred, except for unmatured interest on general long-term debt, which is recognized when due, and certain compensated absences and claims and judgments, which are recognized when the obligations are expected to be liquidated with expendable available financial resources. Expenditures are recorded when the liability is incurred, except for interest on long-term debt and sick , pay, which are recorded when paid. Vacation pay is recorded as an expenditure in the year it is earned to the extent it is paid in that year or within 90 days after year end; otherwise, it is recorded as an expenditure when it is paid. Estimated losses on insurance claims are charged to expense in the period the loss is determinable. ' Agency Funds are custodial in nature and do not present results of operations or have a measurement focus. Agency funds are accounted for using the modified-accrual basis of accounting. The City's Agency , Fund is used to account for assets that the City holds for others in an agency capacity. Pension Trust Fund: The accrual basis of accounting is used for the Pension Trust Fund utilizing the , flow of economic resources measurement focus. Under the accrual basis of accounting, revenue is recognized when earned and expenses are recorded at the time liabilities are incurred. Governmental Fund Types: ' The General Fund accounts for all financial resources except those required to be accounted for in , another fund. These resources are devoted to financing the general services that the City performs for its citizens. 1 1 I i 13 , 1 I CITY OF ROSEMEAD, CALIFORNIA ' NOTES TO FINANCIAL STATEMENTS ' Note 1. Reporting Entity, Nature of Operations, Fund Accounting and Significant Accounting Policies, Continued Special Revenue Funds account for the proceeds of specific revenue sources (other than special assessments, expendable trusts and major capital projects) that are legally restricted to expenditures for specified purposes. The Special Revenue Funds and their purposes are as follows: The Traffic Safety Fund accounts for the receipt of vehicle code fines which are expended for traffic safety enforcement. I The State Gas Tax Fund accounts for funds collected from the State of California which are used for street construction, street maintenance, engineering and administrative costs. a The Air Quality Management District Fund accounts for the City's share of automobile registration fees collected from the State by the South Coast Air Quality Management District. The funds are used in improving transportation systems and to reduce reliance on private vehicles. The Local Transportation Fund accounts for state grants used to finance the construction of bikeways and sidewalks. O The Public Transportation Fund accounts for the City's share of additional sales tax collected in the County of Los Angeles as a result of Propositions A and C. The funds are used to finance public a transportation projects. The Community Development Block Grant Fund accounts for Community Development Block Grants received from the United States Department of Housing and Urban Development. The 1976 Community Parklands Grant Fund accounts for funds to be used for park projects. The Street Lighting Fund accounts for the operation of street lights within the City. The Narcotics Seizure Fund accounts for the funds received from the County of Los Angeles from the confiscation of cash and other valuables seized during drug-related police raids. The funds are used to further enhance the City's drug-related crime prevention and detection programs. The Low-Moderate Income Housing Set-aside Fund accounts for the 20% of gross property tax increment revenue received by the Commission to fund future projects involving the replacing or rehabilitation of low-moderate income housing within City limits. The Rosemead Housing Development Corporation accounts for the construction and financing of low-moderate income housing. It is a California nonprofit public benefit corporation organized under Section 501(c)(3) of the Internal Revenue Code. ' The California Wildlife Grant Fund accounts for a state grant for preapproved specified park projects. The Federal Highway Grant Fund accounts for Federal Highway/Transportation Acts which are used for preapproved highway projects. Application and funding processes are administered by ' CalTrans. 1 14 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note I. Reporting Entity, Nature of Operations, Fund Accounting and Significant Accounting Policies, Continued The Debt Service Fund accounts for the accumulation of resources for the payment of general long- term debt principal, interest and related costs. Capital Projects Fund (Redevelopment Fund) accounts for financial resources to be used for the improvement and rehabilitation of the community redevelopment project areas and acquisition or construction of major capital facilities within the Commission. Fiduciary Fund Types: Fiduciary Funds account for assets held by the government in a trustee capacity or as an agent on behalf of others. Trust funds account for assets held by the government under the terms of a formal trust agreement. The City's Fiduciary Fund Types are as follows: The Pension Trust Fund accounts for the activity of the retirement plan for employees of the City using the accrual basis of accounting. The Agency Fund accounts for the assets held in a trustee capacity or as an agent. The cash being held primarily represents amounts placed on deposit for refundable permits and performance bonds. The Agency fund is custodial in nature and does not present results of operations or have a measurement focus. Account Groups: The General Fixed Assets Account Group is used to account for fixed assets acquired by governmental fund types. The General Long-term Debt Account Group is used to account for general long-term debt and certain other liabilities that are not specific liabilities of governmental or trust funds. Management has the ultimate responsibility for the appropriateness of the accounting policies and procedures used by the City. Significant accounting policies: Cash investments and other investments: The City pools cash and investment resources of some of its funds in order to facilitate the management of cash. Cash' applicable to a particular fund is readily identifiable. The balance in the pooled cash accounts is available to meet current operating requirements. Investments are stated at fair value. Fair value is the amount at which a financial instrument could be exchanged in a current transaction between willing parties, other than in a forced liquidation. The fair value of the investments is generally based on published market prices and quotations from major investment firms. Investment earnings are allocated based on the source of funds. 15 I CITY OF ROSEMEAD, CALIFORNIA ' NOTES TO FINANCIAL STATEMENTS ' Note 1. Reporting Entity, Nature of Operations, Fund Accounting and Significant Accounting Policies, Continued Receivables: Property taxes attach as an enforceable lien on property as of March 1. Taxes are levied on July 1 and are payable in two installments on December 10 and April 10. The County of Los Angeles bills and collects the property taxes and remits them to the City in installments during the year. Property taxes received within 60 days after the City's fiscal year end are considered "measurable" and "available" and are accrued in the City's financial statements. All other receivables are reported at their gross value and, where appropriate, are reduced by the estimated portion that is expected to be uncollectible. Property and equipment: All property and equipment of the City are accounted for in the general fixed assets account group. Public domain (infrastructure) general fixed assets, consisting of certain improvements other than buildings, such as roads, sidewalks and bridges, are not capitalized. Property and equipment acquired or constructed for general governmental operations are recorded as expenditures in the fund making the expenditure and capitalized in the general fixed assets account group. All general fixed assets which were purchased or constructed are stated at cost. Assets acquired by gift or bequest are recorded at their fair market value at the date of transfer. No depreciation is recorded on general fixed assets. Deferred revenue: The City reports deferred revenues on its combined balance sheet. Deferred revenues arise when potential revenue does not meet both the "measurable" and "available" criteria for recognition in the current period. Deferred revenues also arise when the City receives resources before it has legal claim to them. In subsequent periods, when both revenue recognition criteria are met, or when the City has a legal claim to the resources, the liability for deferred revenue is removed from the combined balance sheet and revenue is recognized. Vacation pay and compensatory time: City employees accumulate vacation hours that may be paid upon termination, death or retirement. Employees can accumulate up to three weeks of accrued vacation per year depending on the length of employment. Employees can accumulate up to 160 hours of sick ' leave. Any hours in excess of 160 are considered to be vested and are paid to the employee based on a vesting schedule. In addition, employees can accrue compensatory time. ' The City allows employees who have earned vacation time an opportunity to have the City buy back up to two weeks of vacation time per year. In order to participate in the Vacation Buy-Back Program, an employee must take at least 40 consecutive hours of vacation at one time. The vested portion of vacation and sick leave by employees at June 30, 2002 that is expected to be paid within one year after year end is included in accrued liabilities in the General Fund. The amount not expected to be paid within one year is included in the General Long-term Debt Account Group. ' Fund balances: The reserved portion of the fund balances represents that amount which has been legally identified for the specific purpose or that amount which is not available to liquidate current liabilities. The unreserved portion represents the amount available for budgeting future operations. Designated fiord balances represent tentative plans for future use of financial resources. 1 16 CITY OF ROSEMEAD, CALIFORNIA NOTES TO; FINANCIAL STATEMENTS i Note 1. Reporting Entity, Nature of Operations, Fund Accounting and Significant Accounting 1 Policies, Continued Budget matters: The annual budget adopted by the City Council provides for the general operation of the City. It includes proposed expenditures and estimated revenue for all Governmental Fund Types. ' Budgets presented in this report for comparison to actual amounts are presented in accordance with accounting principles generally accepted in the United States of America. Reported budget amounts represent the original adopted budget as amended. The City Manager is authorized to make transfers of appropriations within a department. Transfers of ' appropriations between departments require the approval of the governing council. The legal level of budgetary control is the department level. The governing council made several supplemental budgetary appropriations throughout the year; none considered to be material. ' In all funds, unexpended budgeted amounts lapse at the end of the budget year. "Memorandum Only" total columns: Included on the combined financial statements are total columns ' captioned `Memorandum Only" to indicate that they are presented only for informational purposes. Adjustments to eliminate interfund transactions have not been recorded in arriving at such amounts and the memorandum totals are not intended to fairly present the financial position or results of operations of the reporting entity taken as a whole. Additionally, the 2001 totals presented in the "Memorandum Only" columns are included to provide a ' summarized comparison with comparable 2002 amounts and are not intended to present all information necessary for a fair presentation of financial position and results of operations in accordance with generally accepted accounting principles. ' Comparative data/reclassification: Comparative total data for the prior year have been presented in selected sections of the accompanying financial statements in order to provide an understanding of the , changes in the government's financial position and operations and are not intended to present all information necessary for a fair presentation of financial position or results of operations in accordance with generally accepted accounting principles. Also, certain amounts presented in the prior year data have ' been reclassified in order to be consistent with the current year's presentation. I !I 17 a CITY OF ROSEMEAD CALIFORNIA , NOTES TO FINANCIAL STATEMENTS a Note 2. Cash and Investments The components of cash and investments at June 30, 2002 are as follows: Cash S 2,339,926 Time certificates of deposit 3.134,525 Total unrestricted cash 5,474,451 Investment in State Treasurer's Investment Pool 28,075,090 Investment in annuity contracts 147,278 Investments total 28,222,368 Total unrestricted cash and investments 33,696,819 Restricted cash 2,322,025 Cash and investments total $ 36,018,844 ' Cash: The City maintains cash and investment pools that are available for use by all funds. Each fund's or fund type's share of the pool balance is reported in the financial statements as cash and cash investments. Earnings from the pooled investments are allocated quarterly to each participating fund based on a formula that takes into consideration each fund's average investment in the pool. At year end, the carrying amount of the City's deposits (i.e., cash in bank and time certificates of deposit) ' was $5,474,451 and the bank balance was $6,040,994. In accordance with state statutes, the City maintains deposits at those depository institutions insured by ' the Federal Depository Insurance Corporation. The California Government Code requires California banks and savings and loan associations to collateralize governmental entities' deposits by pledging government securities as collateral. The market value of pledged securities must equal at least 110% of a t city's deposits. California law also allows financial institutions to secure City deposits by pledging first ' follows: Category one includes deposits that are insured or collateralized with securities held by the entity or by its agent in the entity's name; Category two includes deposits that are collateralized with ' securities held by the pledging financial institution's Trust Department or agent in the entity's name; Category three includes deposits that are uncollateralized: ' Category 1 Category 2 Category 3 Total Deposits: Cash S 633,387 S 2,273,082 $ $ 2,906,469 Certificates of deposit 200,000 2,934,525 - 3,134,525 $ 833,387 $ 5,207,607 $ - $ 6,040,994 1 "/0 of an the entity's total deposits trust The cash deed and mortgage notes nonnegotiable having a certificates collateral of value deposit of are 150classified in three categories of credit risk as 18 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note 2. Cash and Investments, Continued Investments: State statutes authorize the City to invest any available funds in securities issued or guaranteed by the United States Treasury or agencies of the United States, bank certificates of deposit, bankers' acceptances, negotiable certificates of deposit, the State Treasurer's Investment Pool (LAIF), repurchase agreements, commercial paper and bonds, registered warrants or treasury notes of the State of California and its local agencies. An advisory board has been established to monitor the LAIF's compliance with regulations and investment alternatives established by the state. Investments in annuity contracts included $161,464 invested in the Pension Trust Fund. This investment was carried at fair value. The City participates in a voluntary external investment pool, LAIF, which is managed by the State Treasurer. LAIF has oversight provided by the Local Agency Investment Advisory Board. The Board consists of five members as designated by state statute. The Chairman of the Board is the State Treasurer or his designated representative. The fair value of the City's shares in the pool approximates the fair value of the position in the pool. At June 30, 2002, the City's pooled investments in LAW in the amount of $28,075,090 are not subject to custodial credit risk categorization. The total estimated fair value invested by all public agencies in LAIF is $48,082,558,174. Of that amount, 100% is invested in nonderivative financial products. Restricted cash and investment: All restricted cash and investments of the City are held by trustees. The California Government Code provides that these funds, in the absence of specific governing provisions to the contrary, may be invested in accordance with the resolution or indentures that specify the allowable investment of bond proceeds and funds earmarked for bond repayment. Investments are categorized in the three categories of credit risk and fair value as follows: Category one includes investments that are insured, registered or for which the securities are held by the City or its agent in the City's name; Category two includes investments that are uninsured and unregistered for which the securities are held by the counterparty's Trust Department (if a bank) or agent in the City's name; Category three includes investments that are uninsured and unregistered for which the securities are held by the counterparty's Trust Department (if a bank) or agent, but not in the City's name. 19 I J i 1 LJ 1 a a a t t CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note 2. Cash and Investments, Continued The City's investments, including restricted cash and investments as of June 30, 2002, are categorized in the following schedule: Category Fair Investment Type 1 2 3 Uncategorized Value Investment in State Treasurer's Investment Pool S - S - $ $28,075,090 $28,075,090 Investment in annuity contracts - - 147,278 147,278 Total unrestricted investments - - 28,222,368 28,222,368 Restricted cash and investments: Guaranteed investment contract - - 2,322,025 2,322,025 Total other investments $ - $ - $ $30,544,393 $30,544,393 Note 3. Receivables Receivables as of June 30, 2002 consist of the following Special Debt Capital General Revenue Service Projects Total Othertaxes $ 653,149 $ - $ $ $ 653,149 Due from other governmental agencies 105,719 1,512,934 1,618,653 Accrued interest 142,515 3,564 32,833 75,582 254,494 Due from local utility companies 446,683 - - - 446,683 Other 163,332 88,585 - 65,494 317,411 $1,511,398 $1,605,083 $ 32,833 S 141,076 $3,290,390 20 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note 3. Receivables, Continued " During the fiscal year ended June 30, 1987, the Commission approved a reimbursement agreement with a local utility company, advancing the utility company funds required to install a water line and a water main extension. The total original amount advanced was $550,200. The Commission then contributed the receivable to the City at the present value amount of $456,766. The City is to collect this receivable from the utility company in 40 annual noninterest-bearing installments of $12,345, with the final installment due June 30, 2027. During the fiscal year ended June 30, 1990, the Commission approved a similar reimbursement agreement with a local utility company, advancing the utility company funds required to replace various water mains. The total amounts advanced under this agreement were $334,705 during the fiscal year ended June 30, 1990 and $29,372 during the fiscal year ended June 30, 1991. The Commission then contributed the receivables to the City at the present value amount of $163,340 and $17,744, respectively. The City is to collect the receivables from the utility company in 15 annual noninterest-bearing installments of $21,097 and $1,958, with the final installments due from June 30, 2004 to June 30, 2006. During the fiscal year ended June 30, 1991, the Commission approved an additional reimbursement agreement with a local utility company, advancing the utility company funds required to install a water main and fire service improvements. The total amount advanced was $311,600. The Commission then contributed the receivable to the City at the present value amount of $212,427. The City is to collect this receivable from the utility 'company in 15 annual noninterest-bearing installments of $20,773, with the final installment due June 30, 2006. Receivables from local utility companies as of June 30, 2002 consist of the following: Agreement Year, June 30: 1 0 L' 1 I 1987 $ 308,627 1990 60,333 ' 1991 77,723 Total $ 446,683 1 I 21 I CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note 4. Interfund Receivables and Payables Interfumd receivables and payables as of June 30, 2002 are as follows: a Interfund Funds Receivables Payables General Fund $ 1,032,126 $ Special Revenue Funds: Traffic Safety - 48,359 a Community Development Block Grant 427 478,475 Low-Moderate Income Housing 307,334 Rosemead Housing Development a Corporation 307,334 - Federal Highway Grant 505,719 307,761 1,339,887 a $ 1,339,887 $ 1,339,887 Note 5. Property and Equipment Changes in property and equipment during the fiscal year ended June 30 , 2002 were as follows: Balance Balance July 1, 2001 Acquisitions Disposals June 30, 2002 Land $ 3,098,663 $ 65,000 $ $ 3,163,663 Buildings and improvements 8,293,637 - 8,293,637 Vehicles 346,104 18,707 20,152 344,659 ' Furniture and office equipment 1,701,986 14,623 1,716,609 Special equipment and machinery 707,864 28,120 - 735,984 Other improvements 868,483 - - 868,483 ' Construction in progress 1,455,916 11,229,713 12,685,629 $ 16,472,653 $11,356,163 $ 20,152 $ 27,808,664 ' Construction in progress consists of the Garvey Senior Housing proj ect and the adjacent Community Center project. Total costs incurred on the projects as of June 30, 2002, were approximately $12,686,000. ' The total estimated cost to complete the projects as of June 30, 2002 is a pproximately $515,000. 1 22 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS a Note 6. Employee Pension Plans Defined contribution pension plan: The City had a defined contribution pension plan that covered substantially all retired employees, which was funded by a group annuity contract. Plan participants became vested upon the dissolution of the plan on September 8, 1992. There were no subsequent contributions to this plan. On September 8, 1992, participants of the plan who were current employees had their share of the annuity contract transferred to the California Public Employee Retirement System (CalPERS). The value of the annuity contract for retired employees is $147,278 as of June 30, 2002. Defined benefit pension plan: Plan description: The City contributes to the CalPERS, an agent multiple-employer public employee defined benefit pension plan. CalPERS 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 employers within the state of California. Benefit provisions, as well as other requirements, are established by state statutes within the Public Employees' Retirement Law. The City selects optional benefit provisions from the benefit menu by contract with CalPERS and adopts those benefits through local ordinance. CalPERS issues a publicly available financial report that includes financial statements and required supplementary information. That report may be obtained from their executive office at 400 P Street, Sacramento, California 95814. Funding policy: Participants are required to contribute 7% of their annual covered salary. The City makes the contributions required of City employees on their behalf and for their account. The City is required to contribute at an actuarially determined rate; the current rate is 5.42% of annual covered payroll for miscellaneous employees. The contribution requirements of plan members and the City are established and may be amended by CalPERS. Annual pension cost: For the fiscal year ended June 30, 2002, the City's annual pension cost of $213,547 for CalPERS was equal to the City's required and actual contributions. The required contribution was determined as part of the latest actuarial valuation, June 30, 2000, using the entry age actuarial cost method, with the contributions determined as a percent of pay. The actuarial assumptions included (a) 8.25% investment rate of return (net of administrative expenses); (b) projected salary increases that vary by duration of service ranging from 3.75% to 14.20% and (c) 3.75% cost-of-living adjustment. Both (a) and (b) include an inflation component of 3.50%. The actuarial value of CalPERS' assets was determined using techniques that smooth the effects of short-term volatility in the market value of investments over a three-year period. CalPERS' unfunded actuarial accrued liability is being amortized as a level percentage of projected payroll on a closed basis. The average remaining amortization period at June 30, 2002 was 18 years. 23 CITY OF ROSEMEAD, CALIFORNIA a NOTES TO FINANCIAL STATEMENTS Note 6. Employee Pension Plans, Continued Three-year trend information for CalPERS: a Annual Percentage Pension Cost of APC Net Pension a Fiscal Years Ended June 30, (APC) Contributed Obligation 2000 $ 220,693 100 $ 2001 210,241 100 2002 213,547 100 Required Supplementary Information Funded Status of Plan Entry Age Unfunded/ Normal Acturarial (Over- Annual UAAL* Valuation Accrued Value of funded) Funded Covered as a % of Date Liability Assets Liability Ratio Payroll Payroll ' June 30, 1998 $3,688,114 $3,530,640 $ 157,474 95.7% $1,281,785 12.286% June 30, 1999 4,291.707 4,234,061 57,646 98.7 1,374,273 4.195 ' June 30, 2000 5,098,416 4,929,515 168,901 96.7 1,518,687 11.122 * Unfunded Actuarial Accrued Liability ' Supplemental Retirement Plan ' Plan description: In addition, effective July 1, 2000, the City entered into an agreement with Phase II Systems whereby the City will contribute to a supplemental Employee Pension Plan (the Plan 11), a cost- sharing multiple-employer defined benefit pension plan administered by Phase rI Systems. The Plan II will provide a supplemental retirement benefit of 1% for each year of service to Plan members and beneficiaries. Employees with at least 20 years of service and City Council members with at least 12 years of service are eligible to participate at age 60 and receive an annual benefit equal to 3% of the highest annual gross pay for each year of service. Benefits are determined using the same method as CalPERS benefits. Phase II Systems issues a publicly available financial report that includes financial statements and ' required supplementary information for the Plan H. That report may be obtained by writing to Phase II Systems, 3961 MacArthur Boulevard, Suite 200, Newport Beach, California 92660, or by calling 1-800- 540-6369. ' Funding policy: Plan members are not required to contribute any of their annual covered salary, as the City will be required to contribute the actuarially determined rate. The rate is 10.24% of annual covered payroll for the fiscal year ended June 30, 2002. The City expects to fund the initial actuarial calculated accrued benefit over the first few years of the Plan II. I 24 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note 6. Employee Pension Plans, Continued 2 i ' i , the C s annual pens Annual pension cost: For the fiscal year ended June 30, 200 ty on cost of $169,107 for the Plan II was equal to the City's required and actual contributions. The required contribution was determined as part of the latest actuarial valuation, June 30, 2002, using the entry-age actuarial cost method with the contributions determined as a percent of pay. The actuarial assumptions used were the same as used for CalPERS. The first actuarial valuation for the Plan II was completed in November 2002, as of the fiscal year ended 4 June 30, 2002. Other significant information from this actuarial calculation was as follows: Actuarial liability over Plan II assets $ 1,923,463 Unfunded prior service costs 2,225,016 Treatment of actuarial gains and losses 20-year amortization period for past service cost a Postemployment healthcare plan: On July 10, 2001, the City adopted a resolution whereby, effective July 1, 2002, retired City employees will be entitled to receive amounts from the City necessary to pay the cost of his or her enrollment, including the enrollment of spouses and eligible family members, in a health B benefit plan, up to a maximum of the rate that CaIPERS charges to family enrollments. This healthcare premium subsidy will be available to any City employee who reaches retirement age and retires from the City and who does not then work for another government employer. The City has not addressed how it 8 will fund this program as of June 30, 2002. Currently, expenditures will be recorded as incurred; however, the Government Accounting Standards Board is currently working on an exposure draft to address the accounting and disclosure treatment for this type of plan. There were no expenditures incurred during the a year ended June 30, 2002. Note 7. Insurance 1 Self-insurance pool pursuant to joint powers agreement: The City is a member of the California Joint Powers Insurance Authority (Authority). The Authority is composed of 84 California public entities and is organized under a joint powers agreement pursuant to California Government Code 5600 et seq. The purpose of the Authority is to arrange and administer programs for the pooling of self-insured losses, to purchase excess insurance or reinsurance, and to arrange for' group-purchased insurance for property and ' other coverages. The Authority's pool began covering claims of its members in 1978.' Each member government has an elected official as its representative on the Board of Directors. The Board operates through a nine-member Executive Committee. The City participates in the Authority's general liability program for which each member government pays a primary deposit to cover estimated losses for a fiscal year (claims year). Six months after the close of a fiscal year, outstanding claims are valued. A retrospective deposit computation is then made for each ' open claims year. Costs are spread to members as follows: the first $20,000 of each occurrence is charged directly to the member; costs from $20,001 to $500,000 are pooled based on a member's share of costs under 520,000; costs from $500,001 to $5,000,000 are pooled based on payroll. Costs of covered claims , above $5,000,000 are currently paid by reinsurance. The protection for each member is $50,000,000 per occurrence and $50,000,000 annual aggregate. During the past three fiscal (claims) years, the general liability program has not 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. 25 ' I I I I 0 I I I 1 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note 7. Insurance, Continued Other coverage: The City participates in the workers' compensation program administered by State Insurance Compensation Fund. Annual premiums are first estimated based on estimated losses for the upcoming fiscal year. Subsequent to the close of the fiscal year, outstanding claims are valued resulting in retrospective adjustments. The coverage under this arrangement includes statutory liability under California Workers' Compensation Law and any liability under law for damages arising from employment. Settled claims have not exceeded coverage for these risks in any of the last three fiscal (claims) years. The City has also purchased property protection and employee dishonesty insurance from a casualty insurance company. However, the City does not carry insurance coverage for natural disasters. There is a $1,000 per loss deductible. Premiums for the coverage are paid annually and are not subject to retroactive adjustments. Note 8. Long-term Debt Tax allocation bonds, Series 1993A and B: In November 1993, the Commission issued tax allocation bonds in the amount of $34,275,000 (Series 1993A) and taxable tax allocation refunding bonds amounting to $2,435,000 (Series 199313) to finance a portion of the cost of the redevelopment area known as Project Area No. 1. The bonds bear interest ranging from 4.6% to 5.6% and 5.2% to 5.9% for Series 1993A and B, respectively. Series 1993A bonds mature after October 1, 2001 and before October 1; 2033, and Series 1993B bonds matured on or before October 1, 2001. In addition, the 1993 Series A bond issue reallocated $6,813,850 of proceeds from the 1991 bond issue deposited in the Low-Moderate Income Housing Set-aside Fund in October 1991. The reallocation had the effect of satisfying the present value effect of the $423,574 borrowed from the Educational Revenue Augmentation Fund (ERAF) in fiscal year ended June 30, 1993 and satisfying the present value effect of ' the set-aside requirements as follows: $812,342 for fiscal year ended June 30, 1992, $847,147 for fiscal year ended June 30, 1993 and $469,142 for each of the fiscal years ended June 30, 1997 through June 30, 2022. Additional low-moderate housing set-aside commitments are addressed in Note 10. ' The Tax Reform Act instituted certain arbitrage restrictions with respect to the issuance of tax-exempt bonds. Arbitrage regulations deal with the investment of all tax-exempt bond proceeds at an interest yield ' greater than the interest yield paid to bondholders. Generally, all interest paid to bondholders can be retroactively rendered taxable if applicable rebates are not paid to the federal government at least every five years. ' During the current year, the City performed calculations of excess investment earnings on various bonds and financings in accordance with arbitrage regulations. The City has determined that no arbitrage rebate liability exists as of June 30, 2002. Compensated absences: That portion of the liability for the vested compensated absences totaling $289,344, which is not expected to be paid from available resources, is reported in the General Long-term ' Debt Account Group. 1 26 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAI. STATEMENTS Note S. Long-term Debt, Continued Other long-term debt: The following is a summary of the general long-term debt transactions for the fiscal year ended June 30, 2002: Tax Allocation Tax Allocation Bond Series Bond Series 1993A 1993B Balance, June 30, 2001 Payments of principal Reductions Balance, June 30, 2002 Accrued Vacation and Compensatory Time Total $ 34,275;000 $ 350,000 $ 329,757 S 34,954,757 (20,000) (350,000) - (370,000) - (40;413) (40,413) $ 34,255,000 $ $ 289,344 S 34,544,344 1 I .v 0 0 0 The annual requirements, principal and interest to amortize the outstanding debt as of June 30, 2002 are as follows: 1 During Fiscal Years Ending June 30, 2003 2004 2005 2006 2007 Years thereafter Series 1993A Bonds Interest Total $ ' 425,000 $ 1,881,072 $ 2,306,072 445,000 1,859,747 2,304,747 465,000 1,836,765 2,301,765 490,000 1,812,168 2,302,168 515,000 1,785,909 2,300,909 31,915,000 29,725,291 61,640,291 $34,255,000 $38,900,952 $73,155,952 27 I CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS m Note 9. Budget Overexpenditures Expenditures and operating transfers out exceeded a ppropriations for the fiscal year en ded June 30, 2002 a in the following departments: Amount of Over- Appropriations Expenditures expenditures General Fund General government a City council 5 152,590 S 192,533 S 39,943 City administration 683,560 841,182 157,622 Public safety Animal regulation 55,000 67,319 12,319 Parking control 174,550 184,753 10,203 Public works Traffic signs and striping maintenance - 11,787 11,787 Public recreation Recreation 821,050 826,379 5,329 Aquatics 331,910 405,113 73,203 ' Dinsmoor Heritage House 4,150 5,054 904 Community service Community improvements 148,410 158,314 9,904 ' Traffic Safety Fund Public safety 280,000 304,227 24,227 State Gas Tax Fund ' Public works 972,500 975,897 3,397 Air Quality Management District Fund ' Community service 1976 Community Parkland Grants Fund 3,000 6,421 3,421 Operating transfers out - 56,057 56,057 ' California Wildlife Grant Fund Operating transfers out 36 36 Capital Projects Fund ' General government 148,200 152,527 4,327 Note 10. Commitments and Contingent Liabilities Low-Moderate Income Housing Set-aside Fund: Under state law, the Commission is required to set aside a portion of its property tax increment revenue for low-moderate income housing. The Commission ' has made findings that, for the years ended June 30, 1986 through 1991, it was allowed to defer funding of the set-aside. The set-aside amounts incurred during the fiscal years ended June 30, 1994, 1995, 1996, 1997 and 1998 were also deferred until the fiscal year ending June 30, 2023, as provided by the ' Commission's adoption of the housing deficit repayment plan. As of June 30, 2002, the accumulated set- aside amount not yet funded was approximately $4,947,000. As required by law, the Commission devised a plan to fund the accumulating amount. 28 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS ' ' Note 10. Commitments and Contingent Liabilities, Continued ' To help fund the completion of the Senior Citizen Housing project construction (see Note 5), the Capital Projects Fund transferred an additional $849,863 to the Low-Moderate Income Housing Set-Aside Fund during the fiscal year ended June 30, 2002, over and above the 20% requirement of $299,993. This additional amount, which is considered an advance on future set-aside requirements, will be deducted from future transfers for the set-aside over the next three years. J In une 2002, the Corporation loaned approximately $307,000 to the Low-Moderate Income Housing fund to cover expenditures for the Garvey Senior Housing Project. The Low-Moderate Income Housing fund will use the property tax increment received in the year ended June 30, 2002 to repay the loan. Litigation: The City is a member of the LA County Liability Trust Fund (Trust Fund), which was set up to pay for litigation involving the Los Angeles County Sheriffs' Department within any of the 40 cities that are served by the Los Angeles County Sheriffs' Department. The Trust Fund was and is being funded by the 40 cities based upon each city's allocated surcharge, calculated as a percentage of each city's contribution to the total contracted amount with the County paid to Los Angeles County for the use of its deputies. Based upon the agreement signed by all of the 40 cities at the time the Trust Fund originated, the cities will be jointly liable for any and all claims filed against a Los Angeles County Sheriffs' deputy, regardless of the location within the 40 cities. In 1998 the County of Los Angeles lost a litigation matter that resulted in a $25,000,000 judgment against the Los Angeles County Sheriffs' Department, which Los Angeles County has since paid. Approximately $20,000,000 is still due Los Angeles County from cities with the liability pool, including the City of Rosemead. The City believes its share of this liability is approximately 3%, or $600,000, which will accrue interest at 4% and be paid by the Trust Fund to Los Angeles County (from amounts on deposit with the Trust Fund) over the next ten years. No additional liability will be incurred by the City. However, if the City decided to terminate its association with the Trust Fund, it would become immediately liable B for its share of the remaining liability. Advance agreement: In February 1995, the Commission approved an agreement with a local utility company to advance the utility company $117,600 required to install water distribution mains within the Commission redevelopment area. The agreement was put on hold by the Commission and, as of October 3, 2002, the agreement remains on hold. ' Commitment to purchase furniture: In June 2002, the Commission and Corporation entered into a contract to purchase furniture, fixtures and equipment for the Senior Citizen Housing and Community , Center project. As of June 30, 2002, no costs were incurred on the contract. The total estimated cost of purchase is approximately $243,000. Of this amount, the Commission and the Corporation will pay $117,000 and $126,000, respectively. 1 Subsequent event: In August 2002, the Corporation entered into a 55-year lease agreement with the City for the land on which Garvey Senior Housing facility is located, expiring August 2056. The Corporation will pay $72,000 annually for the lease. Total lease commitments as of August 2002 are $3,960,000. ' 1 1 29 1 m CITY OF ROSEMEAD, CALIFORNIA m NOTES TO FINANCIAL STATEMENTS Note 11. Pronouncements Issued but Not Yet Adopted Governmental Accounting Standards Board Statement No. 34: Beginning with the fiscal year ending June 30, 2003, the City will adopt the provisions of Government Accounting Standards Board (GASB) Statement No. 34, Basic Financial Statements-and Management's Discussion and Analysis for State and Local Governments. This Statement affects the manner in which the City records transactions and presents financial information. State and local governments have traditionally used a financial reporting model substantially different from the one used to prepare private-sector financial reports. GASB Statement No. 34 establishes new requirements and a new reporting model for the annual financial reports of state and local governments. The Statement was developed to make annual reports of state and local governments easier to understand and more useful to the people who use governmental financial information to make decisions. Management's discussion and analysis: GASB Statement No. 34 requires that financial statements be accompanied by a narrative introduction and analytical overview of the City's financial activities in the form of "management's discussion and analysis" (MD&A). This analysis is similar to the analysis provided in the annual reports of private-sector organizations. ' Government-wide financial statements: The reporting model includes financial statements prepared using full accrual accounting for all of the City's activities. This approach includes not just current assets and liabilities, but also capital and other long-term assets as well as long-term liabilities. Accrual ' accounting also reports all of the revenues and costs of providing services each year, not just those received or paid in the current year or soon thereafter. Statement of net assets: The statement of net assets is designed to display the financial position of the City (government and business-type activities). The City will report all capital assets in the government-wide statement of net assets and report depreciation expenses-the cost of "using up" capital assets-in the statement of activities. The net assets of the City will be broken down into three ' categories: (1) invested in capital assets, net of related debt, (2) restricted and (3) unrestricted. Statement of activities: The government-wide statement of activities will report expenses and revenues in a format that focuses on the cost of each of the City's functions. The expense of individual functions is compared to the revenue generated directly by the function. ' Accordingly, the City will be recording capital and certain other long-term assets and liabilities in the statement of net assets, and report all revenues and the cost of providing services under the accrual basis of accounting in the statement of activities. 1 30 CITY OF ROSEMEAD, CALIFORNIA NOTES TO FINANCIAL STATEMENTS Note 11. Pronouncements Issued but Not Yet Adopted, Continued Governmental Accounting Standards Board Statement No. 37: Beginning with the fiscal year ending June 30, 2003, the City will also be adopting the provisions of GASB Statement No. 37, Basic Financial Statements-and Management's Discussion and Analysis for State and Local Governments: Omnibus. This Statement amends GASB Statement No. 34 to either (1) clarify certain provisions or (2) modify other provisions that the GASB believes may have unintended consequences in some circumstances. Accordingly, the City will consider the effects of this statement when adopting the provisions of GASB Statement No. 34, as previously described. Governmental Accounting Standards Board Statement No. 38: Beginning with the fiscal year ending June 30, 2003, the City will also be adopting the provisions of GASB Statement No. 38, Certain Financial Statement Note Disclosures. This Statement modifies, establishes, and rescinds certain financial statement disclosure requirements. Accordingly, certain footnote disclosures have been revised to conform to the provisions of GASB Statement No. 38. Governmental Accounting Standards Board Interpretation No. 6: Beginning with the fiscal year ending June 30, 2003, the City will also be adopting the provisions of GASB Interpretation No. 6, Recognition and Measurement of Certain Liabilities and Expenditures in Governmental Fund Financial Statements. This Interpretation clarifies the application of standards for modified accrual recognition of certain liabilities and expenditures in areas where differences have arisen, or could arise, in interpretation and practice. This Interpretation impacts the fund level financial statements (governmental funds only, not proprietary or fiduciary funds) required by GASB Statement No. 34 but has no direct impact on the government-wide financial statements. Accordingly, the City has not recognized the current portion of certain long-term liabilities and related expenditures in the Governmental Fund financial statements for amounts not considered to be due and payable as of June 30, 2002. 31 m m a 1 1 CIT'E' OF RDSETVI~ AD, CALIFORNIA CflN0=1 G AND INDDMDUAL FUNDS AND ACCOUNT GRGUPS FINANCLALL STATEYMNTS YEAR ENDED JLNE- 305 2M2 32 TIES PAGE INTENTIONALLY LEFT BLANK i 33 1 m m 0 a a m a GEIN-EPAL FUJ M The General Fund accounts for all financial resources except those required to be accounted for in another fund. These resources are devoted to financing the general services that the City performs for its citizens. 34 CITY OF ROSEMEAD, CALIFORNIA GENERAL FUND BALANCE SHEET June 30, 2002 2002 2001 ASSETS Cash and investments Receivables Due from other funds $17,559,654 1,511,398 1,032,126 $20,103,178 $15,204,733 2,122,761 1,903,870 Total Assets $19,231,419 LLABILITIES AND MUNICIPAL EQUITY Liabilities: Accounts payable and accrued liabilities Deferred revenue Accrued vacation pay and compensatory time $1,295,293 324,310 146,727 $1,263,435 1,227,814 69,430 Total Liabilities Municipal Equity and Other Credits: Fund Balance: Reserved: Long-term receivable Unreserved: Designated: Prepaid items Building and equipment replacement Litigation settlements Self-insurance Contingencies Undesignated Total Fund Balance Total Liabilities, Municipal Equity and Other Credits $1,766,330 $2,560,729 $446,683 $490,316 1,800,000 1,800,000 1,000,000 1,000,000 300,000 300,000 4,000,000 4,000,000 10,790,165 9,080,374 $18,336,848 $16,670,690 $20,103,173 $19,231,419 35 1 a a 1 t CITY OF ROSEMEAD, CALIFORNIA GENERAL FUND STATEMENT OF REVENUE, EXPENDITURES C AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 2002 2001 REVENUES: Other Taxes Licenses and permits Intergovernmental Charges for services Fines, forfeitures and penalties Use of money and property Other $4,417,537 5,748,132 996,395 467,169 353,957 670,466 22,668 $4,629,225 5,426,544 797,493 429,540 310,946 1,086,312 54,094 Total Revenue EXPENDITURES: Current: General government Public safety Public works Public health Public recreation Community service Capital outlay Total Expenditures Revenue over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds (To) other funds Total Other Financing Sources (Uses) Revenues and Other Financing Sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING 36 $12,676,324 $12,734,154 $2,488,550 4,931,508 663,684 55,354 2,615,368 1,320,650 33,628 $12,108,742 $567,582 $1,153,393 (54,817) $1,098,576 $1,666,158 16,670,690 $18,336,848 $2,188,950 4,823,556 463,491 59,293 2,372,023 1,235,664 120,645 $11,263,622 $1,470,532 $1,103,500 (347,639) $755,861 $2,226,393 14,444,297 $16,670,690 CITY OF ROSEMEAD, CALIFORNIA GENERALF UND REVENUE DETAIL- BUDGET AND ACTUAL Fiscal Year Ended June 30, 2002 ' Over (Under) Budget Actual Budget - 2001 TAXES Maintenance district $1,500 $1,549 $49 $1,542 Real estate transfer tax 65,000 102,531 37,531 87,524 Sales and use tax 2,700,000 2,711,328 11,328 2,945,565 Franchise fees 635,000 701,238 66,238 695,582 Transient occupancy tax 850,000 900,891 50,891 899,012 $4,251,500 $4,417,537 $166,037 $4,629,225 LICENSES AND PERMITS Business license fees $41,000 $38,938 ($2,062) $43,490 Building permit fees 700,000 779,996 79,996 573,038 Public work permit 40,000 44,552 4,552 52,895 Tentative map fees 5,000 5,970 970 8,830 Development review fees 1,000 3,638 2,638 Final map fees 15,000 39,560 24,560 22,625 Occupancy permit fees 54,000 41,767 (12,233) 53,336 Sewer connection - 30,000 38,107 8,107 41,282 Strong motion fees 3,000 3,867 867 1,997 Rehabilitation permit fees 1,600 - (1,600) - $890,600 $996,395 5105,795 $797,493 INTERGOVERNMENTAL Financial aid to local agencies 51,050,000 $1,168,453 $118,453 51,261,833 Motor vehicle in lieu tax 2,600,000 3,169,354 569,354 3,122,792 Other vehicle taxes 1,000 1,300 300 1,121 Law enforcement grants 438,010 899,679 461,669 352,210 State transportation grants 530,650 480,618 (50,032) 405,944 Other intergovernmental 23,490 28,728 5,238 282,644 $4,643,150 $5,748,132 $1,104,982 S5,426,544 CHARGES FOR SERVICES Filing and certification fees $53,000 $70,785 $17,785 $59,385 Other current charges 86,200 97,051 10,851 93,151 Environmental impact reports 100 - (100) - Recreation fees 221,500 210,682 (10,818) 236,660 Assessments 2,500 69,077 66,577 11,664 Special community events 25,550 19,574 (5,976) 28,680 $388,850 $467,169 $78,319 $429,540 FINES, FORFEITURES AND PENALTIES Court fines and forfeitures $260,000 $353,957 $93,957 $310,946 USE OF MONEY AND PROPERTY Interest earned on investments $700,000 $597,914 ($102,086) $1,014,475 Rental Income 75,550 72,552 (2,998) 71,837 $775,550 $670,466 ($105,084) $1,086,312 OTHER SANE program Repairs to and sale of City property Miscellaneous $12,500 150 138,900 $151,550 $11,361,200 $17,500 2,600 2,568 $22,668 S 12,676,324 $5,000 2,450 (136,332) ($128,882) $1,315,124 $12,500 14,607 26,987 Total Revenues 37 $54,094 $12,734,154 a a 0 1 CITY OF ROSEMEAD, CALIFORNIA GENERALFUND EXPENDITURE DETAIL - BUDGET AND ACTUAL Fiscal Year Ended June 30, 2002 Over (Under) Budget Actual Budget 2001 GENERAL GOVERNMENT City council $152,590 5192,533 $39,943 $153,075 City administration 683,560 841,182 157,622 683,473 City clerk 141,590 130,966 - (10,624) 130,892 Finance 374,450 356,629 (17,821) 333,569 .City treasurer 300 - (300) 152 City attorney 162,280 143,122 (19,158) 139,560 General government buildings 483,260 484,934 1,674 407,141 Community promotion 329,360 298,442 (30,918) 30$221 City garage 100,160 40,742 (59,418) 32,867 $2,427,550 $2,488,550 $61,000 $2,188,950 PUBLIC SAFETY Law enforcement $4,684,810 $4,544,481 ($140,329) $4,464,242 Animal regulation 55,000 67,319 12,319 71,608 Parking control 174,550 184,753 10,203 157,499 Crossing guard 129,060 127,844 (1,216) 121,176 Emergency services 20,000 7,111 (12,889) 9,031 $5,063,420 $4,931,508 ($131,912) $4,823,556 PUBLIC WORKS Engineering and administration $39,300 $34,111 ($5,189) $35,630 Street and highway construction 879,700 617,786 (261,914) 366,903 Traffic signs and striping maintenance 11,787 11,787 60,958 5919,000 $663,684 ($255,316) $463,491 PUBLIC HEALTH Public health services $64,000 $55,354 ($8,646) $59293 PUBLIC RECREATION Administration $275,210 $267,143 ($8,067) S259,386 Parks 1,159,150 1,111,679 (47,471) 1,033,957 Recreation 821,050 826,379 5,329 795,283 Aquatics 331,910 405,113 73,203 275,277 Dinsmoor Heritage House 4,150 5,054 904 8,120 $2,591,470 $2,615,368 $23,898 $2,372,023 COMMUNITY SERVICE Planning $342,670 $312,415 ($30,255) $313,113 Building regulation 633,900 600,334 (33,566) 582,299 Engineering 255,100 249,587 (5,513) 196,112 Community improvements 148,410 158,314 9,904 144,140 $1,380,080 $1,320,650 (559,430) $1,235,664 CAPITAL OUTLAY 5100,000 533,628 ($66,372) 5120,645 APPROPRIATION RESERVES - - - - Total Expenditures $12,545,520 $12,108,742 ($436,778) $11,263,622 38 THIS PAGE INTENTIONALLY LEFT BLANK 39 1 a a 0 a a U SPECIAL REVENUE FUNDS Special Revenue Funds account for the proceeds of specific revenue sources (other than special assessments, expendable trusts and major capital projects) that are legally restricted to expenditures for specified purposes. 40 SPECIAL REVENUE FUNDS TRAFFIC SAFETY FUND Established to account for the receipt of vehicle code fines which are expended for traffic safety enforcement. STATE GAS TAR FUND Established to account for funds collected from the State of California which are used for street construction, street maintenance, engineering and administrative costs. AIR QUALITY MANAGEMENT DISTRICT FUND Established to account for funds collected from the State of California which are used for improving transportation systems and to reduce the reliance on private vehicles. LOCAL TRANSPORTATION FUND Established to account for state grants used to finance the construction of bikeways and sidewalks. PUBLIC TRANSPORTATION FUNDS Established to account for the City's share of additional sales tax collected in the County of Los Angeles as a result of Proposition A and C. The funds are used to finance public transportation projects. COMMUNITY DEVELOPMENT BLOCK, GRANT FUND Established to account for Community Development Block Grants received from the United States Department of Housing and Urban Development. 1976 COMMUNITY PARKLANDS GRANT FUND Established to account for funds to be used for park projects. STREET LIGHTING FUND Established to account for the operation of street lights within the City. 41 I SPECIAL REVENUE FUNDS (cont'd) a NARCOTICS SEIZURE FUND Established to account for the funds received from the County of Los Angeles from the confiscation of cash and other valuables seized during drug related police raids. The funds a are used to further enhance the City's drug related crime prevention and detection programs. LOW-MODERATE INCOME HOUSING SET-ASIDE FUND Established to account for the 20% of gross property tax increment revenue received by the Agency to fund future projects involving the replacing or rehabilitation of low and moderate income housing within City limits. a ROSEMEAD HOUSING DEVELOPMENT CORPORATION Established to account for the construction and financing of low and moderate income housing. It is a California nonprofit benefit corporation organized under Section 501(c)(3) of the Internal Revenue Code of 1986. CALIFORNIA WILDLIFE GRANT FUND I Established to account for a state grant for pre-approved specified park projects. I FEDERAL HIGHWAY GRANTS Established to account for the Federal Highway/Transportation Acts which are used for pre-approved highway projects. Application and funding processes are administered by Caltrans. 1 42 CITY OF ROSEMEAD, CALIFORNIA , SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET - (continued on next page) June 30, 2002' ASSETS Cash and cash investments Receivables Prepaid items Due from other funds Total Assets LIABILITIES AND MUNICIPAL EQUITY Liabilities: Accounts payable Due to other funds Deferred revenue Total Liabilities Municipal Equity: Reserved for: Low-moderate income housing Prepaid items Unreserved, undesignated Total Equity Total Liabilities and Municipal Equity Air Quality Local Public Community Traffic State Management Trans- Trans- Development Safety Gas Tax District portation portation Block Grant Fund Fund Fund Fund Fund Fund $ - $271,789 $317,186 $48,621 $2,395,895 $97,492 48,359 - 16,966 2,232 122,224 683,141 427 $48,359 $271,789 $334,152 $50,853 $2,518,119 $781,060 $103,475 $2,535 $69,371 $155,369 48,359 - - - - 478,475 - - - - 147,216 $48,359 $103,475 $2,535 $69,371 $781,060 - 168,314 331,617 50,853 2,448,748 - - $ - $168,314 $331,617 $50,853 $2,448,748 $48,359 $271,789 $334,152 $50,853 $2,518,119 $781,060 43 CALIFORNIA CITY OF ROSEMEAD , SPECIAL REVENUE FUNDS a COMBINING BALANCE SHEET cont inued a P June 30, 2002 1976 Community Low-Moderate Rosemead a Parklands Street Narcotics Income Hous- Housing California Grant Lighting Seizure ing Set-Aside Development Wildlife Fund Fund Fund Fund Corporation Grant $ - $437,387 $12,218 $1,000,124 $541,865 $ - = 37,994 - 3,564 - 4,000 - - - - - 307,334 - $475,381 $12,218 $1,003,688 $853,199 - $12,218 $ - $853,199 - - - 307,334 - - $0 $12,218 $307,334 $853,199 $ - $ - $ - $696,354 $ - 4,000 - 475,381 - - (4,000) - ' $ - $475 381 354 $ - $696 $ - $ - , , ' $475,381 $12,218 $1,003,688 $853,199 1 ' 44 THIS PAGE INTENTIONALLY LEFT BLANK 45 a a 1 ASSETS Cash and cash investments Receivables Prepaid items Due from other funds Total Assets LIABILITIES AND MUNICIPAL EQUITY Liabilities: Accounts payable Due to other funds Deferred revenue Total Liabilities Municipal Equity: Reserved for: Low-moderate income housing Prepaid items Unreserved, undesignated Total Equity Total Liabilities and Municipal Equity CITY OF ROSEMEAD, CALIFORNIA SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET continued (continued from previous page) June 30, 2002 Federal Highway Totals Grants 2002 2001 $ - $5,122,577 $9,255,725 690,603 1,605,083 2,484,988 - 4,000 - 307,761 $690,603 $7,039,421 $11,740,713 $1,196,167 505,719 1,339,887 147,216 $505,719 $2,683,270 $724,911 1,903,875 97,203 2,725,989 696,354 $6,136,067 4,000 184,884 3,655,797 2,878,657 $184,884 $4,356,151 $9,014,724 $690,603 $7,039,421 $11,740,713 46 CITY OF ROSEMEAD, CALIFORNIA SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES r (continued on next page) Fiscal Year Ended June 30, 2002 REVENUES: Special assessments Intergovernmental Charges for services Fines, forfeiture and penalties Use of money and property Traffic Safety 304,227 Air Quality Local State Management Trans- Gas Tax District portation Fund Fund Fund 1,139,317 62,852 84 . 4,810 9,465 $1,144,211 $72,317 Public Trans- portation Fund 51,255 1,292,201 312 71,090 $51,567 $1,363,291 Total Revenues EXPENDITURES: Current: General government Public safety Public works Community services Capital Outlay Total Expenditure Revenue over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds (To) other funds Revenue and other financing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING 304,227 975,897 110 714 783,114 6,421 18,708 $304,227 $975,897 $6,531 $714 $801,822 $168,314 $65,786 $50,853 $561,469 $168,314 $65,786 $50,853. $561,469 1 - 265,831 1,887,279 $168,314 $331,617 $50,853 $2,448,748 47 1 a a 1 - CITY OF ROSEMEAD, CALIFORNIA SPECIAL REVENUE FUNDS COMBINING STATEMENT OFREVENUE, EXPENDITURES AND CHANGES IN;FUND BALANCES Fiscal Year Ended June 30, 2002 1976 Community Community Low-Moderate Rosemead Development Parklands Street Narcotics Income Housing Housing Black Grant Grant Lighting Seizure Set-Aside Development Fund Fund Fund Fund Fund Corporation $ - $ - $456,328 $ - $ - $ - 3,411,008 1,856 67,765 218,546 $3,411,008 $1,856 $456,328 $0 $67,765 $218,546 321,643 54,817 2,490,299 920,709 $3,411,008 $321,643 $54,817 $1,856 $134,685 ($54,817) $260,815 6,782,411 $7,043,226 $67,765 ($6,824,680) $ - $ - $ - 54,817 $1,149,856 6,657,334 - (56,057) (6,657,334) (150,000) $ - ($56,057) $54,817 ($5,507,478) $6,507,334 $ - ($54,201) $134,685 ($5,439,713) ($317,346) - 54,201 340,696 6,136,067 330,614 $ - $ - $475,381 $696,354 $13,268 48 THIS PAGE INTENTIONALLY LEFT BLANK 4 f a CIT Y OF ROSEMEAD, CALIFORNIA SPECIAL REVENUE FUNDS COMBINING STATEMENT O REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES continued - (continued from previous page) a Fiscal Year Ended June 30, 2002 a California Federal Wildlife Grant Highway Totals Grants 2002 2001 REVENUES: Special assessments $ - $ - $456,328 $424,580 Intergovernmental 184,884 6,141,517 3,846,900 Charges for services - = 84 15,024 Fines, forfeiture and penalties 304,227 315,181 Use of money and property 373,844 642,964 $184,884 $7,276,000 $5,244,649 EXPENDITURES: ' Current: General government $ - $ - $260,815 $701,286 Public safety 680,687 822,472 ' Public works Community services 4,250,134 927,130 3,596,697 665,460 Capital Outlay 6,801,119 ' $12,919,885 $5,785,915 $184,884 ($5,643,885) ($541,266) OTHER FINANCING SOURCES (U SES): Operating transfers: From other funds $ - $ - $7,862,007 $1,388,048 ' (To) other funds (36) (6,863,427) (950,000) ($36) $ - $998,580 $438,048 ' Revenue and other financing sources over (under) expenditures ($36) $184,884 ($4,645,305) ($103,218) FUND BALANCE, BEGINNING 36 9,014,724, 9,117,942 ' FUND BALANCE, ENDING $184,884 $4,369,419 $9,014,724 50 CITY OF ROSEMEAD, CALIFORNIA ' TRAFFIC SAFETY FUND STATEMENT OF REVENUE, EXPENDITURES ' AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 , Over (Under) Budget Actual Budget 2001 ' REVENUES: Fines, forfeiture and penalties $280,000 $304,227 $24,227 $315,181 Total Revenues $280,000 $304,227 $24,227 $315,181 EXPENDITURES: Public safety $280,000 $304,227 $24,227 $315,181 ' Total Expenditures $280,000 $304,227 $24,227 $315,181 Revenues over (under) expenditu res $ - $ - $ - $ - OTHER FINANCING SOURCES (USES): Operating transfers: From (To) other funds $ - - $ - $ - $ - ' Revenue and other financing sources over (under) expenditures $ - $ - $ - $ - ' FUND BALANCE, BEGINNING $ FUND BALANCE, ENDING $ - - a 51' A i i i i i i i 1 1 1 1 1 i 1 1 1 1 CITY OF ROSEMEAD, CALIFORNIA STATE GAS TAX FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 REVENUES: Intergovernmental Charges for services Use'of money and property Total Revenues EXPENDITURES: Public Works Community Services Total Expenditures Revenues over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From (To) other funds Revenue and other financing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING Over (Under) Budget Actual Budget 2001 $947,500 $1,139,317 $191,817 $1,030,138 6,600 84 (6,516) 15,024 2,000 4,810 2,810 19,014 $956,100 $1,144,211 $188,111 $1,064,176 $972,500 $975,897 $3,397 $1,568,814 $972,500 $975,897 $3,397 $1,568,814 ($16,400) $168,314 $184,714. ($504,638) ($16,400) 52 $117,309 $168,314 $184,714 ($387,329) 387,329 $168,314 CITY OF ROSEMEAD, CALIFORNIA AIR QUALITY MANAGEMENT DISTRICT FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 REVENUES: Intergovernmental Use of money and property Total Revenues EXPENDITURES: Public works Community Services Total Expenditures Revenues over (tinder) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From (To) other funds Revenue and otherfmancing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING Over (Under) Budget Actual Budget 2001 $60,000 $62,852 $2,852 $63,655 3,700 9,465 5,765 15,381 $240,000 $110 ($239,890) $69,461 3,000 6,421 3,421 3,000 $243,000 $6,531 ($236,469) $72,461 ($179,300) $65,786 ($245,086) $6,575 ($179,300) $65,786 $245,086 $6,575 265,831 259,256 $331,617 $265,831 53 CALIFORNIA I Y F ROSEMEAD T , C O LOCAL TRANSPORTATION FUND STATEMENT OF REVENUE, EXPENDITURE' AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 a REVENUES: Intergovernmental Use of money and property ' Total Revenues EXPENDITURES: Public works Total Expenditures Revenues over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds Revenue and other financing sources over (under) expenditures ' FUND BALANCE, BEGINNING t FUND BALANCE, ENDING i Over (Under) Budget Actual Budget 2001 $44,400 $51,255 $6,855 312 312 $44,400 $51,567 $7,167 $0 $44,400 $714 ($43,686) $3,610 $44,400 $714 ($43,686) $3,610 $50,853 $50,853 ($3,610) $ - 1,065 $50,853 $50,853 ($2,545) 2,545 $50,853 $ - 54 CITY OF ROSEMEAD, CALIFORNIA PUBLIC TRANSPORTATION FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 REVENUES: Intergovernmental Use of money and property Budget Actual Over (Under) Budget 2001 Total Revenues EXPENDITURES: Current: Public works Capital outlay Total Expenditures Revenues over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds To other funds Total Other Financing Sources (Uses) Revenue and other financing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING $1,260,000 $1,292,201 $32,201 $1,345,898 120,000 71,090 (48,910) 101,142 $1,380,000 $1,363,291 ($16,709) $1,447,040 $792,940 $783,114 ($9,826) $1,022,644 33,000 18,708 (14,292) $825,940 $801,822 ($24,118) $1,022,644 $554,060 $561,469 ($7,409) $424,396 $554,060 $561,469 $7,409 $424,396 $2,448,748 1,462,883 $1,887,279 55 i i i i i 1 1 1 1 1 1 1 1 1 1 1 .1 1 CITY OF ROSEMEAD, CALIFORNIA COMMUNITY DEVELOPMENT BLOCK GRANT FUND - STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 REVENUES: Intergovernmental Total Revenues Current: Public works Community services Total Expenditures Revenues over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds Revenue and other financing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING Over (Under) Budget Actual Budget 2001 $5,468,601 $3,411,008 ($2,057,593) $1,407,209 35,468,601 $3,411,008 ($2,057,593) $1,407,209 $2,580,426 $2,490,299 ($90,127) $792,158 2,888,175 920,709 (1,967,466) 662,460 $5,468,601 $3,411,008 ($2,057,593) $1,454,618 ($47,409) $ - $ - $ - 47,409 56 CITY OF ROSEMEAD, CALIFORNIA 1976 COMMUNITY PARKLANDS GRANT FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 Budget Actual REVENUES: Intergovernmental Use of money and property - 1,856 Total Revenues $1,856 1,856 3,125 Public Recreation Total Expenditures Revenues over (under) expenditures $1,856 $1,856 $3,125 OTHER FINANCING SOURCES (USES): Operating transfers: From (To) other funds Revenue and other financing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING $ - (56,057) (56,057) $ - ($54,201) ($54,201) $3,125 54,201 51,076 $54,201 I i II 57 0 Over (Under) Budget 2001 a CITY OF ROSEMEAD, CALIFORNIA STREET LIGHTING FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 REVENUES: Special Assessment Total Revenues Public safety Total Expenditures Revenues over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From (To) other funds Revenue and other financing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING Over (Under) Budget Actual Budget 2001 $360,000 $456,328 $96,328 $424,580 $360,000 $456,328 $96,328 $424,580 $521,000 $321,643 ($199,357) $465,445 $521,000 $321,643 ($199,357) $465,445 i ($161,000) $134,685 $295,685 ($40,865) ($161,000) $134,685 $295,685 ($40,865) 340,696 381,561 $475,381 $340,696 58 CITY OF ROSEMEAD, CALIFORNIA NARCOTICS SEIZURE FUND. STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 Budget Actual Over (Under) Budget 2001 REVENUES: Intergovernmental Use of money and property - - - - Total Revenues EXPENDITURES: Public Safety $58,660 $54,817 ($3,843) $41,846 Total Expenditures $58,660 $54,817 ($3,843) $41,846 Revenues over (under) expenditures ($58,660) ($54,817) $3,843 ($41,846) OTHER FINANCING SOURCES (USES): Operating transfers: From other funds $58,660 $54,817 ($3,843) $41,846 Revenue and other financing sources 11 over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING $ ' 59 a 1 CITY OF ROSEMEAD, CALIFORNIA LOW-MODERATE INCONIE HOUSING FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 Over (Under) Budget Actual Budget 2001 REVENUES: Intergovernmental Use of money and property 55,250 67,765 12,515 336,870 Total Revenues $55,250 $67,765 $12,515 $336,870 EXPENDITURES: General government Total Expenditures Revenues over (under) expenditures $55,250 $67,765 $12,515 $336,870 OTHER FINANCING SOURCES (USES): Operating transfers: From other funds $1,026,392 $1,149,856 $123,464 $240,409 To other funds (7,650,430) (6,657,334) 993,096 (800,000) Total Other Financing Sources (Uses) ($6,624,038) ($5,507,478) $1,116,560 ($559,591) over (under) expenditures ($6,568,788) ($5,439,713) $1,129,075 ($222,721) FUND BALANCE, BEGINNING 6,136,067 6,358,788 FUND BALANCE, ENDING $696,354 $6,136,067 I 60 REVENUES: Use of money and property Other Total Revenues EXPENDITURES: General government Capital outlay Total Expenditures CITY OF ROSEMEAD, CALIFORNIA ROSEMEAD HOUSING DEVELOPMENT CORPORATION STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 Over (Under) Budget Actual Budget 2001 $165,200 $218,546 $53,346 $167,432 Revenues over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds To other funds Total Other Financing Sources (Uses) Revenue and other financing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING $472,700 $260,815 ($211,885) $701,286 7,435,000 6,782,411 (652,589) $7,907,700 $7,043,226 ($864,474) $701,286 ($7,742,500) ($6,824,680) ($811,128) ($533,854) $7,650,430 $6,657,334 ($993,096) $800,000 (150,000) (150,000) (150,000) $7,500,430 $6,507,334 ($993,096) $650,000 ($242,070) ($317,346) ($1,804,224) $116,146 330,614 $13,268 t $330,614 61 ALIFORNIA CITY OF ROSEMEAD, C a CALIFORNIA WILDLIFE FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 a REVENUES: Intergovernmental Total Revenues ' EXPENDITURES: Public Recreation Total Expenditures Revenues over (under) expenditures OTHER FINANCING SOURCES (USES): ' Operating transfers: From (To) other funds ' Revenue and other financing sources over (under) expenditures ' FUND BALANCE, BEGINNING FUND BALANCE, ENDING Over. (Under) Budget Actual Budget 2001 $ - ($36) ($36) ($36) ($36) 62 a- 36 $36 CITY OF ROSEMEAD, CALIFORNIA FEDERAL HIGHWAY GRANTS FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 REVENUES: Intergovernmental Use of money and property Total Revenues EXPENDITURES: Public works Total Expenditures -Revenues over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From (To) other funds Revenue and other financing sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING P 1 Over ' (Under) . ' Budget Actual Budget 2001 $184,884 i $184,884 $ ' , $140,010 $140,010 ' ($140,010) 1 $140,010 $184,884 63 i $184,884 A 0 0 8 a a a a 0 0 a v a 0 CAPITAL PR©JPCTS FUND (Redevelopment Fund) The Capital Projects Fund accounts for financial resources to be used for the acquisition or construction of major capital facilities within the Redevelopment Agency. 64 CITY OF ROSEMEAD, CALIFORNIA CAPITAL PROJECTS FUND BALANCE SHEET June 30, 2002 2002 2001 Cash and investments Receivables Due from other funds Total Assets LIABILITIES AND MUNICIPAL EQUITY Liabilities: Accounts payable and accrued liabilities Due to other funds Total Liabilities Municipal Equity and Other Credits: Fund Balance: Unreserved: Designated for capital projects Total Fund Balance $10,720,678 $13,665,178 141,076 175,707 5 $10,361,754 $13,840,890 $1,105,705 $294,197 $1,105,705 $294,197 $9,756,049 $13,546,693 $9,756,049 $13,546,693 Total Liabilities, Municipal Equity and Other Credits $10,861,754 $13,840,890 ASSETS 65 a a a 1 CITY OF ROSEMEAD, CALIFORNIA CAPITAL PROJECTS FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 2002 REVENUES: Property taxes and special assessments $3,197,754 Intergovernmental Charges for services 345 Use of money and property 495,962 Total Revenue $3,694,061 EXPENDITURES: Current: General Government Public Works Total Expenditures Revenue over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds (To) other funds Total Other Financing Sources (Uses) Revenues and Other Financing. Sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING 66 2001 $2,945,876 55,795 495 1,076,039 $4,078,205 $152,527 $132,786 3,099,374 1,378,299 $3,251,901 $1,511,085 $442,160 $2,567,120 (4,232,803) (3,324,451) ($4,232,803) ($3,324,451) ($3,790,643) ($757,331) 13,546,692 14,304,023 $9,756,049 $13,546,692 CITY OF ROSEMEAD, CALIFORNIA CAPITAL PROJECTS FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL Fiscal Year Ended June 30, 2002 Over (Under) Budget Actual Budget 2001 REVENUE Property taxes and special assessments $2,900,000 $3,197,754 $297,754 $2,945,876 Intergovernmental $2,716,250 - (2,716,250) 55,795 Charges for services 345 345 495 Use of money and property 250,000 495,962 245,962 1,076,039 $5,866,250 $3,694,061 ($2,172,189) $4,078,205 EXPENDITURES Current General government $148,200 $152,527 $4,327 $132,786 Public works 6,565,083 3,099,374 (3,465,709) 1,378,299 $6,713,283 $3,251,901 ($3,461,382) $1,511,085 Revenue over (under) expenditures ($847,033) $442,160 $1,289,193 $2,567,120 OTHER FINANCING SOURCES (USES): Operating transfers: From other funds 6,869,550 ($6,869,550) (To).other funds (8,409,832) (4,232,803) 4,177,029 (3,324,451) Total Other Financing Sources (Uses) ($1,540,282) ($4,232,803) ($2,692,521) ($3,324,451) Revenue and other financing sources over (under) expenditures ($2,387,315) ($3,790,643) ($1,403,328) ($757,331) FUND BALANCE, BEGINNING 13,546,692 14,304,023 FUND BALANCE, ENDING $9,756,049 $13,546,692 67 0 0 DEBT SERVICE FUND The Debt Service Fund account for the accumulation of resources for the payment of general long- term debt principal, interest and related costs. O a a 0 a i 63 CITY OF ROSEMEAD, CALIFORMA DEBT SERVICE FUND BALANCESHEET June 30, 2002 2002 2001 ASSETS Restricted cash and investment Receivables Total Assets $2,322,025 32,833 $2,354,858 $2,323,333 32,834 $2,356,167 LIABILITIES AND MUNICIPAL EQUITY Liabilities: Accounts payable and accrued liabilities Total Liabilities Municipal Equity and Other Credits: Fund Balance: Reserved: Debt service Total Fund Balance $2,354,853 $2,354,858 $2,356,167 $2,356,167 Total Liabilities, Municipal Equity and Other Credits $2,354,858 $2,356,167 69 1 a a a t CITY OF ROSEMEAD, CALIFORNIA DEBT SERVICE FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE Fiscal Year Ended June 30, 2002 REVENUES: Use of money and property Total Revenue EXPENDITURES: Debt service: Principal Interest Total Expenditures Revenue over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds (To) other funds Total Other Financing Sources (Uses) Revenues and Other Financing Sources over (under) expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING 70 2002 2001 $135,101 $157,977 $135,101 $157,977 $370,000 $345,000 1,902,057 1,922,847 $2,272,057 $2,267,847 ($2,136,956) ($2,109,870) $2,135,647 $2,130,542 $2,135,647 $2,130,542 ($1,309) $20,672 2,356,167 2,335,495 $2,354,858 $2,356,167 CITY OF ROSEMEAD, CALIFORNIA DEBT SERVICE FUND STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE-,BUDGET AND ACTUAL Fiscal Year Ended June 30, 2002 REVENUE Interest Other EXPENDITURES Debt Service: Principal Interest Certificate refunding Revenue over (under) expenditures OTHER FINANCING SOURCES (USES): Operating transfers: From other funds (To) other funds Total Other Financing Sources (Uses) Revenue and other financing sources over(under)expenditures FUND BALANCE, BEGINNING FUND BALANCE, ENDING Over (Under) Budget Actual Budget 2001 $135,000 $135,101 $101 $157,977 $135,000 $135,101 $101 $157,977 $370,000 $370,000 $345,000 1,912,840 1,902,057 (10,783) 1,922,847 $2,282,840 $2,272,057 ($10,783) $2,267,847 ($2,147,840) ($2,136,956) $10,884 ($2,109,870) $0 $2,135,647 $2,135,647 $2,130,542 (2,282,840) - 2,282,840 ($2,282,840) $27135,647 $4,418,487 $2,130,542 ($4,430,680) ($1,309) $4,429,371 $20,672 2,356,167 2,335,495 $2,354,858 $2,356,167 71 1 1 t t 1 1 1 FIDUCIARY FUND TYPES PENSION TRUST FUND Established to account for the activity of the retirement plan for employees of the City. AGENCY FUND Established to account for the assets held in trustee capacity or as an agent. The cash being held primarily represents amounts placed on deposit for refundable permits and performance bonds. 72 CITY OF ROSEIVIEAD, CALIFORNIA ASSETS Cash and cash investments Receivables Total Assets LIABILITIES AND MUNICIPAL EQUITY Liabilities: Due to other funds Refundable deposits Total Liabilities Pension Trust Fund $147,278 Refundable Totals Deposits 2002 2901 $146,632 $293,910 $271,908 $147,278 $146,632 $293,910 $271,908 146,632 146,632 110,444 $ - $146,632 $146,632 $110,444 Municipal Equity: Fund balance, reserved for employees' retirement $147,278 $ - $147,278 $161,464 Total Liabilities and Municipal Equity $147,278 $146,632 $293,910 $271,908 FIDUCIARY FUNDS COMBINDIG BALANCE SHEET June 30, 2002 73 1 t t CITY OF ROSEMEAD, CALIFORNIA AGENCY FUND COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES Fiscal Year Ended June 30, 2002 Assets Cash and cash investments Receivable Total Assets Balance July 1, 2001 Additions $110,444 $62,010 Balance Deductions June 30, 2002 ($25,822) $146,632 Liabilities Due to other funds Refundable deposits $110,444 $62,010 $146,632 110,444 65,142 (28,954) 146,632 $110,444 $65,142 $146,632 74 r THIS PAGE INTENTIONALLY LEFT BLANK 75 1 1 t ACCOUNT GROUPS GENERAL FLYED ASSETS ACCOUNT GROUP Established to account for all property and equipment except for public domain fixed assets (e.g., streets, bridges, sidewalks, curbs, gutters and storm drainage systems). GENERAL LONG-TERM DEBT ACCOUNT GROUP Established to account for the outstanding principal balances of all long-term debt expected to be financed from governmental fund types. e 76 CITY OF ROSEMEAD, CALIFORNIA ' STATEMENT OF GENERAL FIXED ASSETS June 30, 2002 . r GENERAL FIXED ASSETS 2002 2001 ' Land $3,163,663 $3,098,663 Buildings and improvements 8,293,637 8,293,637 ' Vehicles 344,659 346,104 Furniture and office equipment 1,716,609 1,701,986. t Special equipment and machinery 735,984 707,864 Other improvements Construction in progress 868,483 12 685 629 868,483 1 455 916 , , , , , Total General Fixed Assets $27,808,664 $16,472,653 ' SOURCES OF FUNDS Balance Balance July 1, 2001 Additions Deletions June 30, 2002 ' Prior Years Balance $4,425,295 $4,425,295 ' General Fund 714,582 52,930 20,152 747,360 Community Development Block Grant Community Parklands Grant 305,919 2,130,938 1,353 - - - 2,436,857 1,353 ' California Wildlife Grant 84,010 - 84,010 Rosemead community development ' commission 6,904,014 2,358,418 - 9,262,432 Rosemead Housing Development Corporation 4,037,480 6,813,877 - 10,851,357 ' Ending Balance $16,472,653 $11,356,163 $20,152 $27,808,664 ' 1 77 ' ' CITY OF ROSEMEAD, CALIFORNIA - STATEMENT OF CHANGES OF GENERAL FIXED ASSETS (continued on next page) ' Fiscal Year Ended J une30, 2002 ' Balance Balance Function and Activity July 1, 2001 Additions Deletions June 30, 2002 Land Prior year balance $542,926 $542,926 ' Rosemead community development commission 2,555,737 2,555,737 Housing development corporation 1,837,331 65,000 - 1,902,331 ' Total land $4,935,994 $65,000 $5,000,994 Buildings and improvements Prior year balance $1,987,300 $1,987,300 t General government 11,971 11,971 Community services 50,064 - - 50,064 Public recreation 1,991 - - 1,991 ' Rosemead community development commission 2,772,444 2,772,444 Housing development corporation 1,632,536 - - 1,632,536 Total buildings and improvements $6,456,306 $6,456,306 t Vehicles Prior year balance $228,224 $228,224 General government 117,880 18,707 20,152 116,435 Total vehicles $346,104 $18,707 $20,152 $344,659 Furniture and office equipment Prior year balance $427,588 $427,588 ' General government 207,323 5,641 212,964 Public safety 74,365 462 74,827 Community development 33,239 33,239 Cultural & leisure 20,789 20,789 Rosemead community development commission 938,682 8,520 - 947,202 Total furniture and office ' equipment $1,701,986 $14,623 $1,716,609 Special equipment and machinery Prior year balance $490,765 $490,765 General Government $23,561 529 - 24,090 Public satiety 123,682 25,370 - 149,052 Transportation $646 646 Community development $2,054 725 2,779 ' Cultural & leisure Total special equipment and 67,156 1,496 68,652 machinery $707,864 $28,120 $735,984 78 II CITY OF ROSEMEAD, CALIFORNIA STATEMENT OF CHANGES OF GENERAL FIXED ASSETS (continued from previous page) Fiscal Year Ended June 30, 2002 Balance Balance Function and Activity July 1, 2001 Additions Deletions June 30, 2002 Other improvements Prior year balance $748,492 $748,492 General government $4,927 - - 4,927 Public safety 9,464 - - 9,464 Cultural & leisure 105,600 - - 105,600 Total other improvements $868,483 $868,483 Construction in progress Community development $251,152 $2,130,938 _ $2,382,090 Rosemead community development commission 637,151 2,349,898 - 2,987,049 Housing development corporation 567,613 6,748,877 - 7,316,490 Total other improvements $1,455,916 $11,229,713 $12,685,629 Total general fixed assets $16,472,653 $11,356,163 $20,152 $27,808,664 79 1 1 1 1 1 t 0 Notes: The City of Rosemead does not have revenue bonds; therefore, the Revenue Bond Coverage - Last Ten Fiscal Years schedule is not included. S T A T S T C L I 1 1 LI 1 i 1 i C C D 1 1 1 1 1 THIS PAGE INTENTIONALLY LEFT BLANK 80 CITY OF ROSEMEAD, CALIFORNIA GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (1) ALL GOVERNMENTAL FUND TYPES Last Ten Fiscal Years Fiscal Public Public General Public Year Safety Works Government Health 1992-93 $ 4,264,366 $ 3,598,687 $ 2,429,325 $ 1,677 $ 1993-94 4,596,592 4,096,433 2,545,662 17,665 1994-95 4,666,871 4,400,953 1,918,204 39,852 1995-96 4,733,426 3,788,669 1,946,848 44,863 1996-97 4,922,197 3,349,572 2,053,607 45,966 1997-98 4,655,943 3,287,310 1,800,080 45,381 1998-99 5,259,501 8,524,188 1,948,412 43,844 1999-00 5,069,851 4,306,657 2,200,867 2000-01 5,646,028 5,438,487 3,023,022 59,293 2001-02 5,612,195 8,013,192 9,697,571 55,354 (1) General Governmental expenditures includes expenditures of the General, Special Revenue, Capital Projects, and Debt Service Funds only . Operating Transfers Out have been excluded from all years. Public Recreation 1,858,238 1,719,424 1,901,397 1,869,684 2,144, 066 1,906,179 2,030,237 2,242,859 2,372,023 2,615,368 81 1 t 1 Community Capital Debt Inter- Services Outlay Service governmental Other Total $ 1,411,467 $ 36,384 $ 2,569,813 $ 580,791 $ 213,721 $ 16,964,469 2,092,838 1,897,838 6,026,877 175,295 (59,745) 23,108,879 2,090,216 1,713,742 2,279,153 175,330 2,210,624 21,396,342 1,867,352 119,184 2,271,154 - 180,000 16,821,180 1,976,965 47,683 2,271,333 - - 16,811,389 2,060,701 56,182 2,279,054 - - 16,090,830 2,085,868 419,087 2,270,187 - - 22,581,324 1,516,717 202,060 2,272,258 - - 17,811,269 1,901,124 120,645 2,267,847 - - 20,828,469 2,247,780 52,336 2,272,057 - - 30,565,853 Millions $35 $30 $25 $20 $15 $10 $5 $0 1997-98 199&99 1999-2000 2000-01 2001-02 Public Works MPublic Safety ODebt Services ®General Govt. ®Public Recr. Comm. Serv. ®Misc. 82 CITY OF ROSEMEAD, CALIFORNIA ' GENERAL REVENUES BY SOURCE (1) , ALL GOVERNMENTAL FUND TYPES Last Ten Fiscal Years , ' Fiscal Property Special Other Licenses Inter- Year 1992 93 Tax $ 3 379 446 Assessments Taxes and Permits $ 395 646 $ 690 $ 579 866 124 governmental ' - , , , 3, , , $ 5,174,436 1993-94 3,185,746 342,315 4,011,829 812,096 5,985,542 ' 1994-95 3,411,909 386,814 3,907,616 699,234 6,733,543 1995-96 2 671 909 365 184 3 664 031 760 191 6 155 519 i , , , , , , , , 1996-97 2,845,775 382,609 3,952,511 760,037 7,532,960 1997-98 2,770,865 418,502 4,134,533 739,162 6,758,226 1998-99 2,870,290 367,277 3,999,539 964,567 10,120,540 ' 1999-00 2,990,564 428,609 4,266,791 917,350 7,359,001 , 2000-01 2,945,877 424,580 4,629,225 797,493 9,329,239 2001-02 3,197,754 456,328 4,417,537 996,395 11,889,649 ' (1) Includes General, Special Revenues, Capital Projects, and Debt Service Funds. ' 183 i 1 t 1 1 1 1 r Charges for Services $ 347,262 429,932 564,962 539,055 584,033 499,492 643,385 662,094 445,059 467,598 Millions $25 $20 $15 $10 $5 Fines, Forfeitures and Penalties 313,980 338,786 317,969 365,400 363,938 349,322 625,756 448,675 626,127 658,184 Use of Money and Property $ 1,258,827 1,887,659 1,383,762 2,667,346 2,415,335 2,497,294 2,244,326 2,068,706 2,963,292 1,675,373 p J1o,vvJ 307,415 387,606 138,159 63,262 71,628 155,534 80,540 54,094 22,668 Total 15,634,014 17,301,320 17,793,415 17,326,794 18,900,460 18,239,024 21,991,214 19,222,330 22,214,986 23,781,486 $0 1997-98 1998-99 1999-2000 2000-01 2001-02 ®Intergovt. ®Prop. Tax 0Other Taxes MUse of M & P =Misc. oLic. & Permits MFines. For. & Pen. 1 84 CITY OF ROSEMEAD, CALIFORNIA OTHER TAX REVENUES BY SOURCE ALL GOVERNMENTAL FUND TYPES Last Ten Fiscal Years Fiscal Maintenance Real Estate Year District Taxes 1992-93 $ 2,427 $ 38,974 $ 1993-94 1,192 36,696 1994-95 1,336 36,739 1995-96 1,291 40,404 1996-97 1,575 47,904 1997-98 1,366 46,600 1998-99 1,248 58,767 1999-00 1,439 66,456 2000-01 1,542 87,524 2001-02 1,549 102,531 Trailer Coach Sales and Tax Use Tax 2,810 $ 2,647,816 2,704,229 2,582,644 - 2,309,758 - 2,550,967 - 2,658,370 - 2,529,135 - 2,717,017 - 2,945,565 - 2,711,328 1 1 1 1 1 1 Franchise Fees 547,920 550,555 568,020 577,004 574,497 605,586 600,899 625,880 695,582 701,238 Transient Occupancy Tax 626,743 719,157 718,877 735,574 777,568 822,611 809,490 855,999 899,012 900,891 Total 3,866,690 4,011,829 3,907,616 3,664,031 3,952,511 4,134,533 3,999,539 4,266,791 4,629,225 4,417,537 86 CITY OF ROSEMEAD, CALIFORNIA ASSESSED VALUATIONS.OF TAXABLE PROPERTY Last Ten Fiscal Years State Assessed Fiscal Personal Unitary and Operating Year Land Improvements Property Non-unitary Property 1992-93 $ 753,698,398 $ 832,424,224 $ 11,587,587 $ 160,638,918 1993-94 789,170,566 869,204,989 10,509,734 138,033,544 1994-95 820,044,812 884,095,866 11,198,234 140,532,446 1995-96 837,930,509 857,272,720 11,534,790 139,789,581 1996-97 839,391,647 858,050,748 10,568,291 137,886,292 1997-98 841,497,520 852,913,158 11,363,160 140,328,015 1998-99 852,261,064 856,431,323 10,742,661 141,741,081 1999-00 875,890,808 882,240,913 9,580,437 139,870,251 2000-01 919,681,140 913,554,831 8,798,983 130,370,296 2001-02 971,680,932 960,520,295 6,971,738 136,275,505 Source: Los Angeles County Auditor-Controllcr, Tax Division 87 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 Assessed Personal Land Improvements Property $ 13,854,565 $ 34,011,333 15,022,792 29,128,797 13,103,797 26,191,169 14,186,602 25,615,938 14,583,278 25,615,938 13,161,523 25,688,653 13,954,969 26,590,993 14,389,698 30,053,289 14,217,867 34,031,964 15,398,799 34,028,841 Total $ 1,806,215,025 1,851,070,422 1,895,166,324 1,886,330,140 1,886,096,194 1,984,952,029 1,901,722,091 1,952,025,396 2,020,655,081 2,124,876,110 Property Exemptions $ 31,116,915 21,456,065 24,386,741 28,458,429 33,592,337 28,607,474 28,559,132 33,003,778 40,082,928 43,302,662 NET PROPERTY VALUE Millions $2500 $2000 $1500 $1000 $500 $0 1%263 88 Net Property Value $ 1,775,098,110 1,829,614,357 1,870,779,583 1,857,871,711 1,852,503,857 1,956,344,555 1,873,162,959 1,919,021,618 1,980,572,153 2,081,573,448 1993'8. 199485 18954)6 199&7 1987.88 198899 ,9932000 200D401 20014D2 Fiscal Year 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 CITY OF ROSEMEAD, CALIFORNIA SPECIAL ASSESSMENT LEVIES AND COLLECTIONS LIGHTING AND MAINTENANCE DISTRICT Last Ten Fiscal Years Assessment Levy $ 388,417 347,298 339,205 350,258 373,885 377,243 383,237 396,460 414,275 436,305 ♦Si: •f}'@ir Current Assessment Collected $ 398,073 343,507 388,150 366,475 384,184 419,868 368,525 430,048 426,122 457,876 89 k c, I 1 ' Percentage Collected Currently ' 102.49 % ' 98.91 % , 114.43 % ' 104.63 % 102 75 % 1 . 111.30 % ' 96.16 % ' 108.47 % ' 102.86 % 104 95 % ' . 1 1 1 1 t 1 1 1 1 t 1 1 1 CITY OF ROSEMEAD, CALIFORNIA COMPUTATION OF LEGAL DEBT MARGIN June 30, 2002 Total assessed valuation Debt limit: 3.75% of total assessed valuation Amount of debt applicable to debt limit: Total bonded debt $34,255,000 Less tax allocation notes exempt by law 34,255,000 Total amount of debt application to debt limit Legal debt margin 90 $ 2,081,573,448 $ 78,059,004 $ 78,059,004 CITY OF ROSEMEAD, CALIFORNIA RATIO OF ANNUAL DEBT SERVICE EXPENDITURE FOR TOTAL BONDED DEBT TO TOTAL GENERAL, EXPENDITURES Last Ten Fiscal Years Debt Service Total (1) To Total Fiscal Total Debt General General Year Principal Interest Service Expenditures Expenditures 1992-93 $ 1,900,000 $ 669,813 $ 2,569,813 $ 16,964,469 15.15 % 1993-94 2,055,000 1,137,474 3,192,474 23,108,879 13.81 % 1994-95 260,000 2,019,153 2,279,153 21,550,318 10.58 % 1995-96 265,000 2,006,154 2,271,154 16,821,180 13.50 % 1996-97 280,000 1,991,333 2,271,333 16,811,389 13.51 % 1997-98 295,000 1,984,054 2,279,054 16,090,830 14.16 % 1998-99 310,000 1,960,187 2,270,187 22,581,324 10.05 % 1999-00 330,000 1,942,258 2,272,258 17,811,269 12.76 % 2000-01 345,000 1,922,847 2,267,847 20,828,469 10.89 % 2001-02 370,000 1,902,057 2,272,057 30,565,853 7.43 % (1) Includes all Governmental Fund Types. Premium for defeasement of bonds not included 91 F 1 TOTAL BONDED DEBT TO TOTAL GENERAL EXPENDITURES Millions $25 $20 $15 $10 $5 $0 1992-93 $35 $30 $25 $20 $15 $10 $5 $0 1997-98 92 1993-94 1994-95 1995-96 1996-97 Millions 1998-99 1999-2000 2000-01 2001-02 Fiscal Year 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 CITY OF ROSEMEAD, CALIFORNIA RATIO OF ANNUAL DEBT SERVICE EXPENDITURE FOR TOTAL.BONDED DEBT TO TOTAL ASSESSED VALUATION Last Ten Fiscal Years Principal $ 1,900,000 2,055,000 260,000 265,000 280,000 295,000 310,000 330,000 345,000 . 370,000 Interest $ 669,813 1,137,474 2,019,153 2,006,154 1,991,333 1,984,054 1,960,187 1,942,258 1,922,847 1,902,057 Total Debt Service $ 2,569,813 3,192,474 2,279,153 2,271,154 2,271,333 2,279,054 2,270,187 2,272,258 2,267,847 2,272,057 Total Assessed Valuation 93 1 $ 1,775,098,110 1,829,614,357 1,870,779,583 1,857,871,711 1,852,503,857 1,956,344,555 1,873,162,959 1,919,021,618 1,980,572,153 2,081,573,448 Debt Service 4 To Total Assessed Valuation 0.15 % 0.17% O 0.12 % 0.12 % 0.12 % 0.12% 0.12 % 0.12 % 0.11 % 0.11 % Fiscal Year 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 CITY OF ROSEMEAD, CALIFORNIA RATIO OF ANNUAL DEBT SERVICE EXPENDITURE FOR TOTAL BONDED DEBT PER CAPITA Last Ten Fiscal Years Principal $ 1,900,000 2,055,000 260,000 265,000 280,000 295,000 310,000 330,000 345,000 370,000 Interest $ 669,813 1,137,474 2,019,153 2,006,154 1,991,333 1,984,054 1,960,187 1,942,258 1,922,847 1,922,847 Total Debt Service $ 2,569,813 3,192,474 2,279,153 2,271,154 2,271,333 2,279,054 2,270,187 2,272,258 2,267,847 2,292,847 94 Debt Service To Total Population Population 52,922 $ 48.56 53,798 59.34 53,639 42.49 54,487 41.68 55,128 41.20 55,760 40.87 56,664 40.06 57,328 39.64 55,351 40.97 55,289 41.47 CITY OF ROSEMEAD. CALIFORNIA PROPERTY TAX RATES , ALL OVERLAPPING GOVERNMENTS (Per $100 of Assessed Valuation) Last Ten Fiscal Years Los Los Angeles County Fiscal City of Angeles School Water Flood Sanitation Year Rosemead County Districts Districts Control District Total 1992-93 0 1.001713 0.144909 0.014100 0.004212 0 1.164934 1993-94 0 1.001713 0.073026 0.044100 0.004212 0 1.123051 1994-95 0 1.001993 0.080512 0.038900 0.006041 0 1.127446 1995-96 0 1.001604 0 0.038900 0.001991 0 1.042495 1996-97 0 1.001604 0 0.038900 0.001991 0 1.042495 1997-98 0 1.001604 0 0.038900 0.001991 0 1.042495 1998-99 0 1.001604 0 0.038900 0.001991 0 1.042495 1999-2000 0 1.001604 0 0.038900 0.001991 0 1.042495 2000-01 0 1.001604 0 0.038900 0.001991 0 1.042495 2001-02 0 1.001604 0 0.038900 0.001991 0 1.042495 Source: Tax Rates By Tax Rate Areas, Los Angeles County Tax Collector 95 I CITY OF ROSEMEAD, CALIFORNIA SCHEDULE OF DIRECT AND OVERLAPPING BONDED DEBT June 30, 2002 ' 2001-02 Assessed Valuation: $1,687,008,581 (after deducting $258,289,362 redevelopment incremental valuation) 1 II I Total Direct and Overlapping Tax and Assessment Debt: Direct and Overlapping Tax and Assessment Debt: Los Angeles County Los Angeles County Flood Control District Metropolitan Water District Los Angeles Community College District Montebello Unified School District San Gabriel Unified School District El Monte School District Garvey School District Rosemead School District Los Angelees County Regional Park and Open Space Assessment District City of Rosemead Overlapping General Fund Obligation Debt: Los Angeles County General Fund Obligations Los Angeles County Pension Obligations Los Angeles County Superintendent of Schools Certificates of Participation Los Angeles County Flood Control District Certificates of Participation Los Angeles County Sanitation District 92 Authority Los Angeles County Sanitation District # 15 Authority Los Angeles Community College District Certificates of Participation Pasadena Area Community College Certificates of Participation Montebello Unified School District Certificates of Participation San Gabriel Unified School District Certificates of Participation El Monte Union High School District Certificates of Participation El Monte School District and Certificates of Participation Garvey School District Ccrtificattes of Participation Rosemead School District Certificates of Participation San Gabriel Valley Mosquito Abatement District Certificates of Participation Total Gross Direct and Overlapping General Fund Debt: Less: Los Angeles County Certificates of Participation (100% self-supporting from leasehold revenues on properties in Marina Del Rey) Total Net Direct and Overlapping Bonded Debt: % Applicable 0.303 % 0.314 0.159 0.229 1.699 0.845 0.004 44.633 66.752 0.303 100.000 1 LJ 0 1 i 0.303 % 0.303 0.303 0.314 0.005 6.761 0.229 2.435 1.699 0.845 14311 0.004 44.633 66.752 3.106 Gross Combined Total Debt Net Combined Total Debt (1) Excludes tax and revenue anticipation notes, revenue, mortgage revenue and tax allocation bonds and non-bonded capital lease obligations. Ratios to Assessed Valuations: Direct Debt 0.00 % Total Overlapping Tax & Assessment 0.69 % Gross Combined Total Debt 1.90 % Net Combined Total Debt 1.89 % State School Building Aid Repayable as of 6/30/02 $ 0 Source: California Municipal Statistics, Inc. 96 Debt 6/30/02 $110,610 53,302 799,889 1,202,250 985,851 240,255 1,042 3,570,597 5,193,306 1,249,254 $13,406,356 $5,044,947 5,308,522 90,205 496,544 1,806 1,862,600 205,905 149,996 252,047 80,275 1,089,783 270 1,289,894 2,790,234 39,446 $18,702,474 246,733 $18,455,741 $32,108,830 (1) $31,862,097 CITY OF ROSEMEAD, CALIFORNIA DEMOGRAPHIC STATISTICS Last Ten Fiscal Years Income Unemploy- Fiscal Year Population Households Per Capita ment Rate (1) (2) (3) (3) 1992-93 52,922 14,193 $ 21,434 9.6 % 1993-94 53,798 14,190 21,661 9.7 1994-95 53,639 14,195 21,562 7.4 1995-96 54,487 14,238 23,501 7.9 1996-97 55,128 14,254 24,945 6.9 1997-98 55,760 14,278 25,719 6.5 1998-99 56,664 14,313 26,773 5.6 1999-00 57,328 14,345 28,276 5.4 2000-01 55,351 14,350 29,522 5.9 2001-02 55,289 14,460 6.1 Source: (1) California State Department of Finance, Office of Demographic Research (2) City of Rosemead, Planning Department * (3) California State Department of Finance, Finance and Economic Research Unit * Information presented is for the County of Los Angeles, which includes the City of Rosemead. Income Per Capita and Unemployment Rate specifically for the City of Rosemead is not available. Data not available at this time. 97 ' 60 ' 50 40 30 ZO 10 0 1 60 50 40 30 20 10 0 DEMOGRAPHIC STATISTICS Thousands Thousands 98 1992-93 1993-94 199495 1995.96 1996-97 Cl Households olncome Per Capita =Population l 1997-98 1998-99 1999-2000 2000-01 =Households oincome Per Capita =Population CITY OF ROSEMEAD PRINCIPAL TAXPAY ERS June 30, 2002 Percentage of Total City's Assessed Assessed Valuation Valuation Southern California Edison Company $204,319,473 9.82 % Countrywide/California Federal 9,070,847 0.44 Panda Restaurant Group 8,330,000 0.40 Hsi Lai University 7,757,417 0.37 Diamond Square 7,252,770 0.35 Vikon Center 3,800,000 0.18 Lucky Plaza 2,700,000 0.13 Quanjude Center 2,633,896 0.13 Irish Communications/Construction 2,953,693 0.14 Garvey Wholesale Liqour 2,039,657 0.10 $250,857,753 12.06 % Note: Principal property taxpayers and assessed valuations presented here reflect the Rosemead Redevelopment Agency Project Area only as the City of Rosemead is a non-property tax city. 99 1 ' CITY OF ROSEMEAD, CALIFORNIA ' SCHEDULE OF INSURANCE IN FORCE ' June 30, 2002 t Southern California Joint Powers Insurance Authority 1 State Compensation Insurance Fund Kelley, Jiggins, Towle & Blue Kelley, Jiggins, Towle & Blue ' Kelley, Jiggins, Towle & Blue Kelley, Jiggins, Towle & Blue Source: City Finance Department t 1 Policy Expiration Number Date Type of Coverage 7/1/2003 General Liability 228962-90 12/31/2003 Workers Compensation Coverage 05743382 7/1/2003 Public Employees Blanket Bond 9922993-03 10/19/2003 Boiler and Machinery 2781100 7/1/2003 Notary Public Bond Err or & Omissions CP8119571C 7/1/2003 Property Insurance 100 CITY OF ROSEMEAD, CALIFORNIA CONSTRUCTION ACTIVITY Last Ten Fiscal Years Fiscal 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 Number of Building Permit Residential Valuations ( In Thousands) Dwelling Units Residential Nonresidential 13 $ 8,012,092 $ 10,499,324 22 10,047,264 7,651,470 37 10,880,831 3,552,722 42 12,267,012 2,094,550 24 9,787,980 4,325,690 35 7,270,943 14,133,409 28 8,973,771 11,726,986 42 23,062,147 5,247,903 24 13,440,052 12,273,661 13 7,202,314 19,089,443 Total $ 18,511,416 17,698,734 14,433,553 14,361,562 14,113,670 21,404,352 20,700,757 28,310,050 25,713,713 26,291,757 101 Number of Building Permits Issued 877 858 608 652 611 522 595 478 423 487 I CITY OF ROSEMEAD, CALIFORNIA ' MISCELLANEOUS STATISTICS June 30, 2002 1 lif i C C i l i il f h Ci f L mate y n ne m es east o t os ounty, orn a approx e ty o The City of Rosemead is located in Los Angeles a Angeles. Incorporated in 1959, the City of Rosemead now encompasses a total land mass of 5.5 square miles and ' operates as a general law city under a Council - City Manager form of government. The Rosemead Redevelopment Agency, activated on January 4, 1972, includes 511 acres within he City's 5.5 square miles. Population 55,289 Land Area 5.5 square miles Streets & Alleys 74.42 miles ' Parks 50 acres Percentage of Land Use: Residential 64 % ' Public Facilities 14 Commercial (stores & shops) 9 ' Mixed CommercialIResidential 7 Office & Light Industrial 6 100 % ' Public Facilities: Community Centers 2 Swinuning Pools 2 t Libraries 2 Gymnasiums 1 Ball Diamonds (lighted) 4 ' Tennis Courts (lighted) 5 Education Facilities: t Elementary Schools 10 Secondary Schools 3 High Schools 2 ' Fire Protection: * Number of firefighters and officers 37 t Police Protection: Parking Control (personnel) 3 Police Protection (sworn personnel) 38 ' Major Employers and Number of Employees: Southern California Edison Company 4,500 ' Countrywide Mortgage 800 Hermetic Seal Corporatioin 450 The City of Rosemead is part of the Los Angeles County Fire Protection District which provides fire fighting, fire prevention, and plan check services for the City. ' The City of Rosemead contracts with the Los Angeles County Sheriffs Department for all police services with the exception of parking control which is provided by City personnel. t 102 C' My of Rosemead California Pasadena Long tseacn Fullerton Anaheim Riverside The CITY OF ROSEMEAD is located in Los Angeles County, approximately nine miles east of downtown Los Angeles. Incorporated in 1959, the CITY OF ROSEMEAD now encompasses a total land mass of 5.5 square miles with an approximate population of 55,289 San Bernardino 103, i I 0 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1