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HomeMy WebLinkAbout2006/06/30 Comprehensive Annual Financial Report ~. �, - ;. , 7•_• �.,.r , ` 'S.._ / \ _. ,•`, `• • '"4 .may-'-�._ • fli .,,,c,i.''"••........" •'•." ',4!•,i.... cAmo . ' , I• � � ...L.'ir7. . 5.. : r.• 4:i---...... ----.1‘' ''.,, „..." ie.,T1-11-' e:, .. C.N.' - 1 - ...... . .',.' :,‘ - ft) ••■^...-..., -)'- "r-t: • '-'1' ,,,:,•,,,,,,,, . ,,. ., _,,,, . ., , ,,,, . , `_.� %1 _-to '.°�, . .1 �\ \ ` 4 111 .- .. "'► 111 I I ii • + 3".... I .•_ • . ....„ ri-- ( II •tiTED Npii • ter'*• !-� ',}! �� V�f CO- .. `�� f f: . t r ) t VV.J M iSIVE I NUA 1 , FINANCIAL REPOT _ ' • ' 7. 41%.,1 9:N,,. • YEAR �iD D - ' • :-... i .• • „, •rJ '. - c.- .. • .2__ ; zoos • ( t . . . ..--0'. ® r1 „• ,.� / ■ 291407 i, _ \ R \ y,` -, to• 1 City of Rancho Cucamonga, California Comprehensive Annual Financial Report Year Ended June 30, 2006 1 Prepared by the tCity of Rancho Cucamonga Finance Department 1 ' Tamara L. Layne Finance Officer 1 1 1 I ICITY OF RANCHO CUCAMONGA COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30,2006 ITABLE OF CONTENTS Page Number IINTRODUCTORY SECTION Letter of Transmittal i I City Officials xl Organization Chart xli Certificate of Achievement for Excellence in Financial Reporting xlii Certificate of Award Outstanding Financial Reporting xliii IFINANCIAL SECTION I INDEPENDENT AUDITORS' REPORT 1 MANAGEMENTS DISCUSSION AND ANALYSIS 3 IBASIC FINANCIAL STATEMENTS Government-Wide Financial Statements: Statement of Net Assets 17 IStatement of Activities 18 Fund Financial Statements: IBalance Sheet -Governmental Funds 20 Reconciliation of the Balance Sheet of Governmental Funds Ito the Statement of Net Assets 21 Statement of Revenues, Expenditures and Changes in Fund Balances-Governmental Funds 22 IReconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the I Statement of Activities 23 Budgetary Comparison Statement(Budgetary Basis) -General Fund 24 IStatement of Net Assets-Proprietary Funds 25 Statement of Revenues, Expenses and Changes in Fund Net Assets-Proprietary Funds 26 IStatement of Cash Flows- Proprietary Funds 27 Statement of Fiduciary Net Assets-Fiduciary Funds 28 INotes to Financial Statements 29 I I I ICITY OF RANCHO CUCAMONGA COMPREHENSIVE ANNUAL FINANCIAL REPORT ' FOR THE FISCAL YEAR ENDED JUNE 30, 2006 ITABLE OF CONTFNTS_ Page Number ICOMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES I Combining Balance Sheet- Nonmajor Governmental Funds 68 Combining Statement of Revenues, Expenditures and Changes in Fund Balances- Nonmajor Governmental Funds 90 ' Budgetary Comparison Schedules- Special Revenue Funds: Gas Tax 111 SB 325 112 I Recreation 113 Park Development 114 Beautification 115 I Lighting Districts 116 Landscape Maintenance Districts 117 Systems Development 118 Drainage Facilities 119 I Pedestrian Grants 120 Transportation Enhancement Act 121 Community Development Block Grant 122 Assessment Administration 123 I San Sevaine/Etiwanda Drainage 124 Air Quality Improvement 125 South Etiwanda Drainage 126 I Lower Etiwanda Drainage 127 Measure I 128 Library Services 129 Metrolink 130 I California Literacy Campaign 131 Families for Literacy Grant 132 Used Oil Recycling Grant 133 COPS Program Grant 134 I Local Law Enforcement Block Grant 135 California Law Enforcement Program 136 COPS in School Grant 137 I AB 2928 Traffic Congestion Relief 138 Litter Reduction Grant 139 Foothill Blvd Maintenance 140 Code Enforcement Grant Program 141 I I I I CITY OF RANCHO CUCAMONGA ' COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30,2006 ITABI E OF CONTFNTS Page Number I COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES (Continued) Budgetary Comparison Schedules-Special Revenue Funds (Continued): I Department of Homeland Security Grant 142 COPS/Dreier EOC Grant 143 OTS Traffic Safety 144 Integrated Waste Management 145 I Federal Grant Fund—Dreier 146 Proposition 42—Traffic Congestion Mitigation 147 OTS Countdown Pedestrian Signals 148 Senior Welness/Transportation Program 149 I Justice Assistance Program 150 Biane County Library Grant 151 HomelandSecurityGrant2005 152 IFire District 153 Budgetary Comparison Schedules-Capital Project Funds: Redevelopment Agency-Capital Project 154 Assessment District 82-1 155 CFD 84-1 156 Assessment District 86-2 157 I CFD 2000-03 Rancho Summit 158 CFD 2001-01 159 CFD 2003-1 Project Fund 160 Public Library Bond Act-2000 161 I Proposition 40 Park Bond Act 162 CFD 2004-1 Rancho Etiwanda 163 CFD 2003-1 Cultural Center 164 CFD 2006-01 Vintner's Grove 165 ICFD 2006-02 Arnador on Route 66 166 Budget Comparison Schedule-Redevelopment Agency Debt Service 167 ICombining Statement of Net Assets - Internal Service Funds 170 I Combining Statement of Revenues, Expenses and Changes in Fund Net Assets-Internal Service Funds 171 Combining Statement of Cash Flows- Internal Service Funds 169 ICombining Balance Sheet-All Agency Funds 172 I Combining Statement of Changes in Assets and Liabilities - All Agency Funds 180 I I CITY OF RANCHO CUCAMONGA COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2006 TABLE OF CONTENTS ' Page Number STATISTICAL SECTION 1 Net Assets by Component—Last Four Fiscal Years 185 Statement of Activities (Condensed)—Last Four Fiscal Years 186 Fund Balances of Governmental Funds—Last Four Fiscal Years 188 ' Changes in Fund Balances of Governmental Funds— Last Four Fiscal Years 189 ' Assessed Value and Estimated Actual Value of Taxable Property 190 Direct and Overlapping Property Tax Rates—Last Four Fiscal Years 191 • ' Principal Property Taxpayers—Current Year and Three Years Ago 192 Property Tax Levies and Collections—Last Ten Fiscal Years 193 Ratios of Outstanding Debt by Type— Last Ten Fiscal Years 194 Ratios of General Bonded Debt Outstanding—Last Ten Fiscal Years 196 ' Direct and Overlapping Debt 197 ' Legal Debt Margin Information 198 Pledged-Revenue Coverage—Last Ten Fiscal Years 200 ' Demographic and Economic Statistics—Last Ten Calendar Years 201 Principal Employers—Current Year and Three Years Ago 202 ' Full-Time and Part-Time City Employees by Function—Last Ten Fiscal Years 203 Operating Indicators by Function—Last Two Fiscal Years 204 Capital Asset Statistics by Function—Last Two Fiscal Years 205 Principal Sales Tax Remitters—Current Year and Three Years Ago 206 1 1 1 i 1 1 1 City of Rancho Cucamonga Comprehensive Annual Financial Report June 30, 2006 ' Introductory Section 1 1 1 1 I Mayor WILLIAM J.ALEXANDER Mayor Pro Tern DIANE WILLIAMS Conner!members y REX GUTIERREZ tat L. DENNIS MICHAEL I _ 7T SAM $MICHA L L City Manager THE CITY OF RANCHO CUCAMONGA JACK LAM, MCP 1 RANCHO CUCAMONGA IDecember 21, 2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga: I It is with great pleasure that we present to you the City of Rancho Cucamonga's Comprehensive Annual Financial Report for the fiscal year ended June 30, 2006. The Comprehensive Annual I Financial Report consists of three sections: introductory, financial and statistical. The introductory section includes this transmittal letter, the City's organizational chart and a list of principal officials. The financial section includes the independent auditors' report, management's I discussion and analysis (MD&A),the basic financial statements, notes to the financial statements, and combining and individual fund statements and schedules. The statistical section sets forth relevant financial and non-financial data depicting the City's historical trends and other Isignificant facts. This report consists of management's representations concerning the finances of the City. I Consequently, management assumes full responsibility for the completeness and reliability of all of the information presented in this report. To provide a reasonable basis for making these representations, management has established a comprehensive internal control framework that is designed both to protect the City's assets from loss, theft, or misuse and to compile sufficient I reliable information for the preparation of the City's financial statements in conformity with generally accepted accounting principles (GAAP). Because the cost of internal controls should not outweigh their benefits, internal controls have been designed to provide reasonable rather than I absolute assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. IThe City of Rancho Cucamonga's financial statements have been audited by Lance, Soll and Lunghard, LLP, Certified Public Accountants. The goal of the independent audit was to provide I reasonable assurance that the financial statements of the City of Rancho Cucamonga for the fiscal year ended June 30, 2006, are free of material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assess the accounting principles used and significant estimates made by management; ' and evaluating the overall financial statement presentation. The independent auditor concluded, based upon the audit, that there was a reasonable basis for rendering an unqualified opinion that the City of Rancho Cucamonga's financial statements for the fiscal year ended June 30, 2006, are I fairly presented in conformity with GAAP. The independent auditor's report is presented as the first component of the financial section of this report. I I10500 Civic Center Dr. • P.O. Box 807• Rancho Cucamonga,CA 91729-0807•Tel 909-477-2700 • Fax 909-477-2849•www.ci.rancho-cucamonga.ca.us December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga The independent audit of the financial statements of the City of Rancho Cucamonga was part of a 111 broader, federally mandated "Single Audit" designed to meet the special needs of federal grantor agencies. The standards governing Single Audit engagements require the independent auditor to report not only on the fair presentation of the financial statements, but also on the audited government's internal controls and compliance with legal requirements, with special emphasis on internal controls and legal requirements involving the administration of federal awards. These reports are available in the City of Rancho Cucamonga's separately issued Single Audit Report. GAAP requires that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City of Rancho Cucamonga's MD&A can be found immediately following the report of the independent auditors. I. PROFILE OF THE CITY OF RANCHO CUCAMONGA General Information: ' The City of Rancho Cucamonga currently has an estimated population of 170,479 and encompasses approximately 40.2 square miles. It is located between the cities of Upland to the U west, Ontario to the south, Fontana to the east and is in the western section of San Bernardino County which is in the southern part of the State of California. The local economy includes a diverse business base of office, light manufacturing and distribution,and retail which emphasizes the City's efforts at retaining sales tax generating businesses to help stabilize the City's financial base. Government: , The City of Rancho Cucamonga (the City) was incorporated in 1977 as a general law city under the provisions of the Government Code of the State of California, and operates under the Council- Manager form of city government. The City officials elected at large include a Mayor and four City Council members, a City Clerk and a City Treasurer. The Mayor and Council members are elected on a staggered basis for a term of four years. There is no limit on the number of terms an individual can serve as Mayor or as Council members. The Mayor and City Council appoint the City Manager. Reporting Entity and Its Services: The City has included within its reporting entity for financial reporting purposes all agencies for which the City is financially accountable. These agencies include the Rancho Cucamonga Redevelopment Agency, the Rancho Cucamonga Public Improvement Corporation, the Rancho Cucamonga Fire Protection District, the.Rancho Cucamonga Library and the Rancho Cucamonga Public Financing Authority. The City provides accounting services to all these agencies. Additional information on these agencies can be found in Note l.a. in the notes to the financial statements. ' 1 ii ' December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga The City of Rancho Cucamonga is a general law city governed by the State of California ' Government Code and local ordinances and provides quality service by blending the talents of City staff and utilizing other agencies. Certain services necessary to continue the high quality of life in Rancho Cucamonga such as water, sanitation (i.e., sewage) and police are furnished by the ' County of San Bernardino and other specialized agencies. The City provides building safety regulation and inspection, street lighting and beautification, land use planning and zoning, housing and community development services, maintenance and improvement of streets and related structures, traffic safety maintenance and improvement, and a full range of recreational ' and cultural programs for citizen participation. The Rancho Cucamonga Redevelopment Agency administers a variety of economic development, redevelopment, and housing-related programs that support businesses and residents in the City of Rancho Cucamonga. Established in 1981, the Agency has assisted in the elimination of blighted conditions resulting in the development of public facilities and affordable housing projects, improved infrastructure, and in the creation of a strong local economy through business attraction/retention and work force development efforts. The Rancho Cucamonga Library provides current information, formal education support, independent learning opportunities and life enrichment materials to the residents of the City. The Rancho Cucamonga Public Financing Authority was established to facilitate the financing and the refinancing of construction, expansion, upgrading and improvement of the public capital facilities necessary to support the rehabilitation and construction of residential and economic development within the City. H. HIGHLIGHTS OF FISCAL YEAR 2005/06 Redevelopment Agency: Economic Development/Marketing The Agency's economic development goals continue to focus on job creation; business attraction, ' retention and expansion; improving the quality of life for residents and businesses; increasing the City's tax base; and providing opportunities for public and private partnerships, including private investment in the community. ' Retention/Expansion ' The Redevelopment Agency continues to implement programs and activities that assist in the growth and expansion of the local business community. Some of the efforts undertaken to facilitate retention and expansion activities have included: ' Victoria Gardens Regional Center: October 28, 2004 marked the grand opening of the open-air, lifestyle center offering a mixture of regional and neighborhood retail shopping, restaurants and entertainment, professional services, a library and Cultural Arts Center (opened August 2006), ' and a satellite police facility. This project has had a significant economic impact on the community, providing approximately 3,000 new permanent full and part-time jobs for local residents, attracting an estimated 20,000,000 visitors annually, and has generated over a half million square feet of additional commercial development on adjacent properties. Initially opening with approximately 70 retail stores and restaurants, the 1.2-million-square-foot center iii December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga now is home to over 130 successful retail operations. Agency and City staff continue to meet with the project's developer, Forest City, to plan for the next series of buildings and out-lot construction. Small Business Development Center: The Small Business Assistance Center (SBAC) opened its doors in fiscal year 1997/98. The center is a partnership between the City, Agency, Chamber of Commerce and the Inland Empire Small Business Development Center, and was created to serve the needs of small businesses in Rancho Cucamonga. The Small Business Development Center provides free and fee-based confidential, one-on-one consulting to existing and new business ' owners/operators. During this reporting period, the center provided services to over 117 local businesses. In addition, working with the Director of International Trade, the Agency added an International Trade Business Assistance Program during the last reporting period, which is designed to assist local businesses in bringing their products and services to the international marketplace. More than 14 Rancho Cucamonga companies were counseled, resulting in the creation of 10 new jobs, the retention of 22 existing jobs, and the generation of over $2.5 million in additional revenue. One-on-one counseling and business workshops and seminars are provided to Rancho Cucamonga businesses to assist them in expanding their presence in the international marketplace New Business Receptions: The Agency continued hosting its New Business Receptions for businesses starting operation in Rancho Cucamonga. The purpose of these receptions is to acquaint new business owners/operators with City personnel and to provide them information regarding business-support services. Elected officials often attend the receptions, as well as representatives from the Chamber of Commerce, Small Business Development Center, and Chaffey College. Business Appreciation Week: For the past eleven years, the Agency has declared one week in May as Business Appreciation Week. This fiscal year, Business Appreciation Week was held during the week of May 8th. Street banners saluting Rancho Cucamonga businesses were installed over major streets, the Chamber hosted a golf tournament followed by an Agency-hosted night of baseball at the Epicenter. A total of 380 people attended the business appreciation night at the Epicenter, the City's venue for professional Class "A" baseball. The program was developed as part of the Agency's ongoing business retention efforts, and to convey the City's appreciation to all Rancho Cucamonga businesses. Business Visitations: The Agency has developed an outreach program to create and maintain contact with local businesses. The Business Visitation Program provides Agency staff members with an opportunity to meet with business owners/managers and discuss business activities and any concerns or issues that may be affecting the company. The Business Visitation Program also allows staff members to find out'about a company's particular products and/or services. Meeting with local companies can also help businesses with their planned expansion activities. Specifically, as staff members learn of a company's need for expansion, they can often offer expansion and location advice, and/or suitable sites for relocating within the City. Mayor's Roundtable: The Mayor's Roundtable is held quarterly and provides an opportunity for business executives to meet with the Mayor to exchange ideas and discuss issues that affect the business community in Rancho Cucamonga. The meetings are purposely arranged to include a small number of business professionals (typically three to five) so that all attendees have an iv ' 1 ' December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 opportunity to participate in the discussion. This fiscal year, seven companies participated in these meetings. Visions Newsletter: The Agency continued production and distribution of its quarterly business ' newsletter, providing local and targeted businesses with updates on Rancho Cucamonga business and Agency activities. The newsletter has over 5,000 subscribers throughout the region and state. ' Business Connection Network (BCN): Redevelopment staff continues to attend this weekly Chamber of Commerce networking meeting as a way to support the Chamber and meet with local business owners. The BCN currently has over 110 participants each week. This effort has been a successful part of the Agency's ongoing business retention efforts. Third Party Electrical Certification Program: During the reporting fiscal year 2005/06, two companies have been assisted through the Agency's Third Party Electrical Certification Program. An additional four companies are currently going through the certification process. This program was developed to assist local manufacturers in complying with the National Electrical Code requirement for safety certifications. Community Facilities District 2001-01 & 2003-01: The Redevelopment Agency worked with property owners to form two Community Facilities Districts (CFDs) for the construction of public infrastructure needed to develop the eastern portion of the City. Development of this area was _hindered by inadequate infrastructure, too costly to be borne by any one property owner. The public improvements included construction of major thoroughfares, street widening and improvements, major storm drain, water, and sewer systems. These improvements were necessary to develop 300 acres of residential and commercial property located west of I-15, south of Base Line Road, east of Rochester Avenue, north of Arrow Highway. The final phase of the project was completed in September 2006. Marketing/Attraction ' During the past year approximately 1,124 new businesses began operation in Rancho Cucamonga. To ensure new business activity, the Agency continues to focus on implementing a wide variety of business attraction and marketing programs, which include advertising, public ' relations, and the promotion of tourism. Some of these efforts have included: Print Advertising: As recommended in the Agency's Economic Development Strategy, the ' Agency continued its advertising efforts by placing advertisements in a number of trade journals and site selection magazines during the 2005/06 fiscal year. The Agency received approximately 62 leads as a result of these advertisements. In an effort to highlight some of the amenities and accommodations in the City, the Agency will also place advertisements in tourism-related ' publications, promoting Rancho Cucamonga as a "Gateway to a Southern California adventure," due to its convenient location and proximity to regional attractions. ' E-mail Marketing: During Fiscal Year 2001/02, the Agency introduced its new electronic newsletter, "Fast Track", which is designed to keep business and industry partners up to date on business-related news and information in the City. This "e-newsletter" was the first component ' of a new e-mail marketing campaign, and during this reporting period received an Honorable Mention certificate from the League of California Cities. During Fiscal Year 2002/03, an December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga additional component to the Agency's e-mail marketing program was introduced. "Opportunities" is an "e-bulletin" that is distributed to brokers, developers, and site selectors alerting them to selected property listings and site availability within the City. In December 2006, the Agency will implement a third component to its e-mail marketing program, which will be designed to promote tourism in the community. Currently, the Agency's e-mail subscriber list contains more than 3,800 members. Inside Rancho: The Inside Rancho website (www.insiderancho.com) continues to be a valuable search tool site that generates interest in sites that may otherwise be overlooked by potential business investors. The interactive website has received thousands of visits to date, and allows brokers, developers and site selectors to conduct online GIS-based searches quickly and easily. The site data provided includes site-specific demographic information based on 3, 5, 10 and 15- mile radii. Staff is currently working with a third-party vendor to enhance the Inside Rancho website with new features, such as exporting custom reports in Microsoft Word, Excel and PDF files. The upgraded website is expected to be in operation in fall 2006. Trade Shows: During Fiscal Year 2005/06, the Agency attended the International Council of Shopping Centers (ICSC) Trade Show and Leasing Mall Conference. This year marked the first time the City did not exhibit at the conference, but staff had a number of prescheduled meetings with developers and retailers interested in the Rancho Cucamonga market. Staff also promoted potential retail sites in September 2005 at the ICSC Western Division Conference and Deal Making Program in Palm Springs, and office space opportunities at the Society of Office and Industrial Realtors(SIOR) Conference in La Quinta, California. Public Relations Program: The Agency's Economic Development Strategic Plan Update indicated a need to supplement current marketing activities with additional public relations support,targeted at audiences in Los Angeles, Orange, San Diego and Ventura counties. Hill and Knowlton, an experienced and qualified media and public relations firm, was selected to provide these services to the Agency. In addition to updating media fact sheets,publicizing office growth in the city, promoting new hotel activity and tourism in the City, and pitching stories to airline and travel magazines, the firm encouraged staffs development of a special "media room" to be • posted on the City's website, which includes fact sheets, photos, logos and press releases on business-related topics. During this reporting period, new media kits have also been distributed to media representatives of local and regional newspapers, and industry-related publications. The media kits help keep the journalists and industry writers up to date on business activities in Rancho Cucamonga. Special Events/Programs: ' Television Advertising: During this reporting period, staff worked with the Community Services Department staff and a video production company to create new commercial television spots, which were aired live on the Golf Channel during its September 2005 coverage of the Mark Christopher Charity Classic. The theme for the commercials revolved around tourism, and promoted Rancho Cucamonga as"A Gateway to a Southern California Adventure." , Direct Mail Marketing Office Campaign: Staff is in the process of developing a direct mail campaign targeted at office users in Los Angeles and Orange counties who may be interested in relocating or expanding to the Inland Empire. The campaign will consist of three"office-themed" vi , December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga pieces highlighting the advantages of conducting business in Rancho Cucamonga. The first ' mailer is scheduled to be sent out in September 2006. The Direct Mail Marketing Office Campaign is part of a broader Agency effort to attract office development and encourage the placement of more regional and corporate headquarter facilities. Affordable Housing ' The Rancho Cucamonga Redevelopment Plan identifies a lack of sufficient decent and affordable housing to meet the needs of the community's low- and moderate-income families, and establishes a goal to provide for, improve and maintain the City's supply of affordable housing. The Agency's affordable housing projects provide home ownership and rental opportunities to households at or below 90% of area median income. Home Ownership: ' In-Fill Projects: Northtown Housing Development Corporation(NHDC)has continued its single- family in-fill development and down payment assistance programs by leveraging other ' public/private funds with Agency funds, and creating home ownership opportunities for lower income residents. To date, a total of 36 lots have been developed in Phases I through III with single-family homes. Four existing homes have been acquired and rehabilitated, and have either been sold or leased to lower income residents. Staff continues to assist NHDC in locating properties for future affordable housing projects. Because of the housing boom in the City, available sites for new affordable projects are rapidly disappearing. ' First-Time Homebuyers Program: The Redevelopment Agency contracts with Neighborhood Housing Services of the Inland Empire (NHS) to administer the Agency's First-Time Homebuyers Program. NHS is a non-profit organization specializing in mortgage assistance ' programs for lower income families. The First-Time Homebuyers Program provides up to $80,000 in down payment assistance in the form of a silent second mortgage to qualifying low and moderate-income families. To date,the program has assisted over 71 families. ' Habitat for Humanity: The Agency has appropriated additional funding for a rehabilitated home project with Habitat for Humanity (Habitat), and staff has located a potential site owned by the ' City. Staff will begin negotiating deal terms for an agreement with Habitat during the next reporting period. ' Family/Senior Housing Rental Opportunities: The Agency continues to monitor affordable family and senior housing projects that are operated by the Southern California Housing Development Corporation (SCHDC), Northtown Housing Development Corporation (NHDC), Villa Pacifica Associates and LINC Housing. Affordable rents for family and senior housing range from$352- ' $604 for a studio apartment; $377-$647 for a one-bedroom unit; and $453-$777 for a two- bedroom unit. ' Family Housing • SCHDC ' o Rancho Verde Apartments— 104 affordable units—affordability covenants expire 2023. vii December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga o Mountainside Apartments— 188 affordable units—affordability covenants expire 2025. o Monterey Village Apartments — 110 affordable units — affordability covenants expire 2025. o Sycamore Springs Apartments — 96 affordable units — affordability covenants expire 2025. o Woodhaven Apartments — 117 affordable units — affordability covenants expire 2105. • NHDC o Villa del Norte Apartments— 88 affordable units completed 1994— affordability covenants expire 2034. o Las Casitas Apartments — 14 affordable units completed 1997- affordability covenants expire 2027. • LINC Housing I o Pepperwood Apartments — 276 affordable units (acquired by LINC Housing in May 2006)—affordability covenants expire 2104. Senior Housing - • SCHDC I o Heritage Pointe Apartments — These 48 units, affordable to elderly households earning not more than 60% of the area median income, were completed in November 2002. The affordability covenants expire in 2100. I • NHDC o Olen Jones Apartments—Located at the former Alta Loma Packing House site on Amethyst Avenue, this 96 affordable unit complex, affordable to elderly households, was completed in May 2004. The affordability covenants expire in 2092. • Orange Housing Development Corporation o Villa Pacifica Apartments — These 158 units, affordable to elderly households, were completed in October 1998. The affordability covenants expire in 2027. New Project Development • Rancho Verde East Expansion: In July 2005,the Agency approved a$6.5 million loan to Southern California Housing Development Corporation for the acquisition of land and the expansion of the existing Rancho Verde Apartments. The expansion, Rancho Verde East, will provide 40 three-bedroom units available to large families earning 35%, 45%, 60% and 80%of the area median income for a term of not less than 99 years. The project is scheduled to begin construction in the spring of 2007. • Woodhaven Manor: In September 2005, the Agency approved a $9 million loan to Southern California Housing Development Corporation to assist in the acquisition and rehabilitation of Woodhaven Manor, an existing 117-unit family apartment project. The viii I I December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga project was originally constructed under the California Housing Finance Authority (Ca1HFA) HAP Section 8 program, with restrictions set to expire in 2023. The property had been a long-standing concern of the City due to public safety issues surrounding tenants and property maintenance. Since acquisition, the developer has completed ' exterior and interior improvements, including new energy efficient windows, cabinet and flooring upgrades, and the installation of heating and air conditioning units. Currently under construction is a new community building, which will provide recreation and social ' services to the tenants and a new secured parking area. The project has also been enrolled in San Bernardino County's Multi-family Crime Free program. Through the Agency's Regulatory Agreement, the affordability term will be extended to not less than 99 years. • Pepperwood Apartments: In May 2005, the Agency approved an $18.5 million loan agreement with LINC-Pepperwood Housing for acquisition and rehabilitation of the Pepperwood Apartments, an existing 230-unit family apartment project. The developer also received an award of 4% Tax Credits from the California Tax Allocation Committee in July 2006. The property will provide studio, one- and two-bedroom apartments for ' families earning 35%, 45% and 60% of the area median income. Under the regulations of the various funding sources, the developer has retained a relocation consultant to provide services for relocation of tenants whose incomes exceed 60% of the area median ' income. Relocations are being processed under the City/Agency Relocation Guidelines and State Regulations, in accordance with the Pepperwood Relocation Plan. It is anticipated that the relocation of over-income tenants will be completed by late ' December 2006 or January 2007. Under the Agency's regulatory agreement, the units will remain affordable in perpetuity or not less than 99 years. t • San Sevaine Villas: In August 2005, the Agency approved a loan agreement with Northtown Housing Development Corporation for land acquisition and construction of approximately 220 affordable family units that will be located at the southwest corner of Foothill Boulevard and East Avenue. The $40.7 million loan commitment will be paid ' over the next three years. An initial disbursement of$8.3 million will be made to acquire the 14-acre parcel and provide reimbursement of pre-development expenses to the developer. The final disbursement is contingent upon City approval of the project ' through the entitlement process and the start of construction, estimated to occur in early 2008. Under the Agency's regulatory agreement, the units will remain affordable for not less than 99 years. • Foothill Village Project: During this reporting. period, an Exclusive Negotiating Ageement (ENA) with Rancho Family Apartments, L.P., formerly known as Workforce ' Homebuilders (the"Developer"), was approved for an affordable family housing project generally located at the northwest corner of Foothill Boulevard and Center Avenue. In partnership with the Developer, a total of 10.5 acres was acquired for the mixed-income ' project, which may also include commercial retail buildings fronting Foothill Boulevard. Construction is scheduled to begin March 2008, with completion anticipated in July 2009. I ix December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 Capital Improvements The Agency is responsible for the development of several capital improvement projects to help ' eliminate blighted conditions within the community, and to encourage additional investment by the private sector. Upper Cucamonga Storm Drain and Hellman Avenue Widening Improvements: Plans and specs were completed during this reporting period and the project is in plan check with San Bernardino County Flood Control. The project will require a Nationwide Permit from Army'Corps of Engineers and a Water Quality Permit through the State of California, both of which are in process. Agency participation is limited to funding a portion of the construction of the project and right-of-way acquisition south of Foothill Boulevard. This project will enlarge the existing ' channel and storm drain at a point along the railroad right of way, west of Vineyard Avenue to Base Line Road; west along Base Line Road to Roberds Street; and north westerly on Roberds Street to Amethyst Street. New pipe will be installed in Amethyst Street, from Roberds Street to 19`" Street. Phase I of the project includes construction from Vineyard Avenue to east of Hellman Avenue. Phase II of this project includes construction east of Hellman to 19th Street. The project will provide much needed flood protection for businesses and residences, which are located in the area. Foothill Boulevard Improvements: Improvements to Foothill Boulevard, the City's primary commercial corridor, include general street widening; replacement and lengthening of the Baker Street bridge/overpass; and Phase III of the Foothill Median installation program between Grove Avenue and Vineyard Avenue. The design phase of the improvement project, which includes a gateway arch and bridge art, is nearing completion, and staff will begin working on right-of-way acquisition. Construction is scheduled to begin in June 2007, and the project will take approximately two years to complete. This project will widen and beautify this portion of Foothill Boulevard, which serves as the City's western gateway. Etiwanda/San Sevaine Regional Storm Drain: The Redevelopment Plan identified a need for flood control infrastructure in the Project Area. In 2001,the Redevelopment Agency entered into an agreement with San Bernardino County Flood District in which the Agency agreed to fund a portion of the construction costs related to the San Sevaine Channel, Upper Etiwanda Creek project. Completion of this important flood control project will allow many acres of underutilized and vacant residential, commercial and industrial land along the eastern borders of the Project Area to develop and improve. Due to rising construction costs and a loss of funding from the Federal Bureau of Reclamation, the Agency and Flood Control District amended their Agreement in June 2005 to increase the Agency's contribution from $16 million to $20 million. This action will provide construction funding for the Upper Etiwanda Creek system. The Flood Control District has agreed to provide an interest-free loan of up to $5 million in order to complete the funding needed for the project. Upon completion of the project, the Flood Control District will be reimbursed for actual costs by the Agency (paid over time), contingent upon any surplus increment remaining in the Agency's Regional Facilities Fund after all debt service and obligations are met. The amended Agreement also recognizes three systems identified in the City of Rancho Cucamonga's Master Plan Storm Drains that qualify as regional facilities, and that can be constructed utilizing the Agency's Regional Facilities funds. The Upper Etiwanda Creek system of the San Sevaine Channel project is nearing completion. The completion of the Channel, which will connect the Etiwanda Creek system to the remaining phases of the channel x ' ' December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 system to the south,is anticipated to be completed in spring 2007. ' I-15Base Line Interchange: The preliminary study to widen the on- and off-ramps at Base Line Road and the I-15 Freeway was completed in February 2002. Staff is currently working on ' advance right-of way acquisition. The environmental impact report is also underway and should be finished by June 2007. This project will improve traffic circulation for on- and off-ramps at Base Line Road, which have experienced increased congestion due to commercial and residential ' development within the Redevelopment Project Area. I-15/Arrow Route Interchange: Staff is currently working on advance right-of-way acquisition for a proposed interchange at Arrow Route and the I-15 Freeway. Staff has finalized a Purchase ' and Sale Agreement with O&S Holdings for several of the required properties and continues negotiations with other landowners along the proposed path. This project will add an on- and off- ramp in the City's primary industrial area, allowing for improved access to and from the freeway. It will also help to reduce traffic congestion at adjacent interchanges. Staff will be contracting with the engineering firm of Lim & Nascimento to prepare a Project Report and Environmental Documents as required for the interchange. These tasks will establish the final design parameters ' for the interchange. Installation of conduit for a fiber-optic ring: Phase I of this project is now complete, connecting ' four City facilities including the City Yard, Library, Senior Center and Fire Station#172. Phase II was completed in February 2005, and connects Central Park, Fire Station #173, the Victoria Gardens Cultural Center and Police Substation with the City's broadband communications network. Staff is making minor amendments to the existing fiber optic and median lighting plan to incorporate the conduit that was installed during the construction of Victori a Gardens m (Foothill Boulevard east of Rochester Avenue to Victoria Gardens). With these changes, Phase BI of this plan will complete the fiber-optic"redundant loop,"thus providing additional safety to the City's ' data network. The plan will also provide for the installation of median lighting in Foothill Boulevard between Haven Avenue and Rochester Avenue, as well as adding missing lighting in medians between Vineyard Avenue and Haven Avenue. Construction of the fiber-optic system ' and median lighting is expected to commence mid to late summer of this 2006. The goal of the fiber-optic ring is to connect all City facilities and build a high-tech infrastructure that will attract high-tech companies and jobs. ' Haven Avenue Railroad Underpass/Grade Separation: The Haven Avenue Railroad Underpass/Grade Separation will create a rail bridge and vehicle under-crossing, improving ' safety and traffic circulation along Haven Avenue. Right-of-way acquisition began in November of 2005 and is almost complete. The design phase of the project is now in its final plan check. Utility relocations, which need to be done in advance of project construction, will begin in August 2006 and should take nine months. The road and bridge construction is scheduled to begin in June 2007 and will take two years to complete. Victoria Gardens Cultural Center: The Agency funded the design and initial grading of this facility, which includes the 536-seat Lewis Family Playhouse, library and meeting/banquet facilities. In addition to headline performers and touring specialty shows, the Lewis Family Playhouse will be home to the Main Street Theater Company, the newest professional theater company in the Inland Empire. This professional theater company will produce several "Theater for Young Audience" productions each season. This project will help meet the economic ' xi 1 December 21,2006 ' To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 strategic goal to improve cultural amenities for residents. Fire Station #173: Construction began in March 2004 on this project, which is located on Day ' Creek Boulevard, north of Base Line Road. It was completed in November 2005. In an effort to conserve water and reduce maintenance costs, artificial turf was incorporated into the landscaping. This is the first City facility to utilize artificial turf. This new 12,000 square-foot fire station houses one engine unit and a hazardous material unit. The project replaced a portable fire facility that was located nearby on Base Line Road. Fire Station #172 Relocation: Staff is currently working with Fire District staff to identify and secure a new location for Station #172, currently located on San Bernardino Road. This relocation effort is part of the District's plan to re-align its resources to better serve the southwest portion of the City. Two potential sites have been identified,and staff is currently negotiating the acquisition of the preferred site with the property owner. Fire Administration Facility: In preparation of future construction of a fire administration building, the Agency acquired approximately one acre of land located at Civic Center Drive and Utica Avenue in March 2002. The site was used as a temporary location for the Police Department while the third floor of the Police Facility was under construction. The City has retained the services of an architect to begin the initial space planning and site planning/design concepts for this facility. Engineering/Public Works: The Engineering/Public Works Division continues to fulfill its mission of providing effective and efficient stewardship of the City's public works infrastructure. The Division is comprised of one lead section, the Engineering Administration Section headed by the City Engineer, and eight subordinate sections. The following provides highlights of the major accomplishments achieved during the reporting period and a description of the major capital projects completed. Engineering Administration Section , In addition to overseeing the operations of the Engineering/Public Works Division's 245 full- time, part-time, and contract employees and $110 million combined operating and capital budgets, the Engineering Administration Section managed several significant initiatives and projects this year. Key items this year included oversight of the Engineering Services and Development Fee Studies, Highland Avenue Closure Study, Solar Speed Detection Sign Project, startup of facilities maintenance for the Central Park Senior/Community Center, facilities preparation for the opening of the Victoria Gardens Cultural Center, implementation of cost containment strategies for the City's landscape and lighting assessment districts, preparations for i the development of a Comprehensive Traffic Congestion Mitigation Plan, exploration of opportunities for future parkland acquisitions, expansion of the Municipal Utility's customer base, and continued environmental review/design of several multi-year capital projects of city- wide/regional significance, such as the Foothill Boulevard Widening Project (Grove Avenue to Vineyard Avenue), Haven Avenue Grade Separation Project, and Base Line/I-15 Interchange Improvements. xii ' 1 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 Management Support Services Section 1 Management Support Services administers the City's landscape and lighting districts, manages the Engineering/Public Works budget development and administration, completes special studies and projects, assists with departmental human resources issues, and provides administrative and analytical support to the City Engineer. Key accomplishments this year included serving as the lead section for the Engineering Services and Development Fee Studies, Solar Speed Detection Sign Project, and sustainability analysis and cost containment strategies for the City's landscape ' and lighting assessment districts. Capital Improvements Section The Capital Improvements Section is responsible for development and implementation of the City's Capital Improvement Program and the design, inspection and contract administration of 1 various City-funded public improvement projects including paving, curb & gutter, sidewalks, landscape & irrigation, storm drains, traffic signals, City buildings, and park facilities. A listing of the capital projects constructed this year is detailed under Fiscal Year 2005/06 Capital 1 Projects. Transportation Development Section 1 The Transportation Development Section oversees the design, installation, operation and maintenance of the City's traffic circulation and traffic control facilities, traffic studies, traffic counts, traffic permit issuance, and investigation of citizen concerns. Significant 1 accomplishments this year included review and analysis of the closure of Highland Avenue, the installation.of 12 new traffic signals city-wide, and functioning as the lead section for the development of a Comprehensive Traffic Congestion Mitigation Plan scheduled for completion in 1 Fiscal Year 2007/08. Park Development Section 1 Park Development oversees the design and construction of the City's parks and community centers, administers the Americans with Disabilities Act (ADA) Transition Plan, and administers 1 park and recreation related grants. The primary areas of focus this year have included construction of the Victoria Gardens Cultural Center, design of four new neighborhood parks in the eastern section of the City, design of the Central Park Tot Lot Project, completion of the 1 Central Park Aquatics Study, and improvements to Old Town Park, Beryl Park, and Red Hill Park. Land Development Section 1 Land Development is responsible for the review and conditioning of proposed developments, as well as the technical plan check, permit issuance, and construction inspection of developer- funded public improvements such as paving, curb & gutter, sidewalks, landscape & irrigation, storm drains, traffic signals, and park facilities. Noteworthy accomplishments for this. year include assisting with the Engineering Services and Development Fee Studies, assisting with implementation of the Tidemark automated phone permit request system, and review of large ixi ii 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga residential development projects, such as the 632-unit Rancho Etiwanda Estates and the 358-unit Pulte Homes developments in the northeastern section of the City. Integrated Waste/NPDES Section The Integrated Waste/NPDES Section is charged with administering the City's environmental programs that aim to encourage the preservation of natural resources and prevent stormwater pollution, thereby ensuring compliance with the NPDES (National Pollutant Discharge Elimination System) and AB 939 (Recycling Bill) mandates. Highlights for this year include expansion of the Commercial Recycling Program, Construction and Demolition Program, and Multi-Family Recycling Program, implementation of a Municipal Separate Storm Sewer System (MS4) Solutions Program to improve reporting procedures, expansion of the NPDES/AB 939 Inspection Program facilitated by the hiring of two new Public Works Inspectors, and receipt of an award from the Local Cable Association for Outstanding Public Service Announcement of the Year. 1 Municipal Utility Section The Rancho Cucamonga Municipal Utility (the Utility) functions as a "spot utility" providing 1 electric service to a limited number of new commercial developments including and surrounding the Victoria Gardens Regional Center. The Utility celebrated the two-year anniversary of its operational status at the close of Fiscal Year 2005/06. Within this fiscal year, the Utility significantly expanded .its customer base with the additions of Winery Estate Marketplace, Stadium Business Plaza, Rochester Business Park, and tenant additions at Victoria Gardens, Victoria Gateway, and Foothill Crossings. Additionally, the Utility Section executed a Line Extension Agreement with Bass Pro Outdoor World, negotiated long-term energy contracts, developed a Mutual Aide Agreement with other spot municipal utilities, initiated the first phase of a Remote Metering Program, and participated in the California Public Utilities Commission's Municipal Departing Load/Cost Responsibility Surcharge Working Group to develop the cost allocation methodology for"exit fees." • Public Works Section 1 The Public Works Section is headed up by the Public Works Administration Group which is charged with the management of three subordinate groups: 1) Facilities; 2) Street/Fleet/Storm Drain; 3) Parks/Landscape. As a whole, the Public Works Section maintains the City's growing infrastructure of buildings, streets, storm drains, parks, and landscape improvements. Significant accomplishments for each of Public Works' various groups are detailed below: 1 • Facilities Maintenance Group: The primary areas of focus this year included the construction and security planning for the Victoria Gardens Cultural Center, the design/remodel and transition planning for the Animal Care and Adoption Center, the remodel of the RC Theater Arts Center, and the design and construction of the Victoria Gardens Police Department Substation Remodel. • Streets, Fleet and Storm Drain Maintenance Group: This group completed several important items including the implementation of proactive erosion control measures for the winter storm season, concrete improvements at Red Hill Park, the Street Name Sign xiv i 1 t December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga Replacement Program, implementation of improvements in both the Public Works ' Safety and Training Program and the City's Cost Recovery Program, and development of Business Emergency Contingency Plans for the Corporate Yard and Adult Sports Complex. ' • Parks and Landscape Maintenance Group: Noteworthy accomplishments include start- up of landscape maintenance operations at Central Park, renovation of.the Etiwanda ' Creek Dog Park, implementation of a new tree inventory system, completion of the final phase of Calsense irrigation control retrofits, receipt of an award designating the City of Rancho Cucamonga as a "Tree City USA", and the addition of the Day Creek Boulevard median to the Annual Holiday Lighting Project. Fiscal Year 2005/06 Capital Projects The following capital projects were completed during Fiscal Year 2005/06: • Etiwanda Avenue at Banyan Street(Northeast Curb Return Improvements); • Grove Avenue pavement rehabilitation(8th Street to Arrow Route); • Base Line Road pavement rehabilitation(Hermosa Avenue to Valencia Street) ' • Hermosa Avenue street widening and pavement rehabilitation (Highland Avenue to Banyan Street) • Sapphire Street Pavement rehabilitation(19th Street to Banyan Street) ' • Archibald Avenue Pavement rehabilitation(Base Line Road to 19th Street) • Local Street Pavement rehabilitation FY 2005/06(City-Wide Slurry Seal and Overlays) • Devon Street storm drain(Archibald Avenue to Malvern Street) ' • Emergency erosion control(City-Wide) • Foothill Boulevard storm drain(Ramona Avenue to Hermosa Avenue) • 6th Street storm drain,railroad crossing and pavement rehabilitation (Archibald Avenue to ' 380' west of Hermosa Avenue) • Foothill Boulevard median improvements (Rochester Avenue to I-15 Freeway) • Victoria Gardens Lane median improvements (Day Creek Boulevard to Church Street) ' • Etiwanda Avenue at Church Street traffic signal improvements • Milliken Avenue at Kenyon Way traffic signal modifications • Day Creek Boulevard at Banyan Street traffic signal modifications ' • East Avenue asphalt grinding project • Street name sign replacement project—Phase BI • Bella Vista Inlet debris removal ' • RC Theater Arts Center remodel • Animal Care and Services Center remodel • Red Hill Community Park baseball field renovations ' • Red Hill Community Park lake pump improvements • Beryl Park sports field screen • Fuel Tank retrofits(Adult Sports Complex,Fire Station Nos. 171, 172, 174, and 175) • City-wide weed abatement and graffiti removal ' xv December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 Planning: The Planning Department processed a wide variety of projects during the 2005/06 fiscal year. The following are the highlights of those activities. Current Planning In Current Planning, a number of major development projects, permit entitlements and special projects were processed including 1,180 applications of all types, ranging from General Plan Amendments to Home Occupation Permits. A total of 4,943 construction plan checks were completed. Major development projects that were processed and/or inspected included: • New shops at Victoria Gardens including: Bass Pro Shop, Crate and Barrel, West Elm, Anthropologie,Flemings, and T. G. I.Fridays. • The Victoria Gardens Cultural Arts Center and Library. • Hotels including: The Hilton Garden Inn, Hilton Homewood Suites, Courtyard by Marriott,Holiday Inn Express and the Sheraton Four Points. • Haven Park office complex(146,896 square feet). 1 • Rancho Etiwanda Estates (367 homes). • Shea Homes (310 condominiums). • Main Street at Route 66 (138 condominiums). • Sycamore Villas (206 condominiums). • Verano at Rancho Cucamonga Town Square(412 apartments). The Current Planning section was also involved in the following special projects: • Development Code: Various amendments to zoning regulations and standards. Comprehensive revisions are also being made to the City's Zoning Ordinance to bring it into consistency with the General Plan. • Pacific Electric Inland Empire Trail: The federal environmental review process has been 1 completed. The Engineering design on Phase I (Haven to 1,320 feet east of Etiwanda Avenue), Phase H (Amethyst to Archibald Avenue), and Phase HI (Archibald Avenue to Haven Avenue) are all now in process. We have applied for grant funding for Phase V (Etiwanda Depot property to the 1-15 Freeway). • Rancho Cucamonga Telephone & Online Permit Systems (RCTOPS): Implementing 24/7 telephone and online access to the City's automated permitting system for requesting inspections and checking case status. xvi 1 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga •1 In Advance Planning, nine county and four governmental referrals were received and reviewed. Historic Preservation ' Historic Preservation activities included the following: ' • Two properties were designated Landmarks with two Mills Act Contracts (Alderfer House and Buehler House). • Two Landmark Alterations were processed. ' • Historic Pacific Electric Depot - Management of additional cleanup and debris removal on the project site and preparation of the structural engineering plans relating to the ' proposed preservation efforts were completed. • Chaffey-Isle House - The City has entered into various contracts to begin the restoration and historic preservation of this structure. The initial focus is on the exterior of the ' structure to preserve it from further decay followed by the restoration of the interior. Construction of the caretaker's residence is expected to go to bid in January 2007. ' • Norton-Fisher House - The tenant has completed restoration of the structure and will soon complete the project landscaping. The Advance Planning section was involved in processing the following special projects: • One Development Agreement. ' • One annexation. • One Development District Amendment. • Two environmental impact reports. • Two General Plan Amendments. Community Development Block Grant Administration The Community Development Block Grant (CDBG) program met the goals of the Consolidated ' Annual Action Plan of the 2005/06 program year through the Capital and Facility Improvement Program activities listed below: ' • The repair or replacement of 17,136 square feet of sidewalk throughout target neighborhoods. • The removal of 13,903 square feet of graffiti throughout target neighborhoods. ' • The retrofitting of 23 handicap ramps to meet new federal regulations. • The design and construction of street overlay improvements in the North Town area. • The contribution of funds for construction of the Cultural Center. ' xvii I December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 The activities of the City Home Improvement Program included assisting 48 households through 38 emergency grants, 5 grants and 2 loans. The Old Timers Foundation Home Maintenance Program assisted 53 households with minor home repairs. Public Services Programs included the following activities: • Foothill Family Shelter assisted 63 households with transitional shelter. • House of Ruth assisted 1,611 individuals. , • Camp Fire USA assisted 20 youth. • West End Hunger Program(SOVA)assisted 676 individuals. ' • Inland Fair Housing and Mediation Board Fair Housing Program assisted 63 individuals and their Landlord/Tenant program assisted 765 households. • Old Timers Foundation Senior Nutrition program assisted 3,289 individuals. • Rancho Cucamonga Public Library Family Literacy program assisted 71 youth. ' • Project Sister assisted 1,866 individuals. • YMCA Senior Transportation assisted 759 individuals. , • Automatic defibrillators were placed at various locations. The administrative function completed the Consolidated Annual Performance and Evaluation Report (CAPER) for reporting projects completed during the 2004/05 program year, and the Annual Action Plan for proposed projects to be undertaken during the 2006/07 program year. Building and Safety: The Building and Safety Department provides plan checking, inspection and permit activities for ' construction projects to meet State Model Codes including building, fire, ADA, energy, grading, plumbing, mechanical and electrical codes. The department provides code enforcement of municipal code and property maintenance standards in a coordinated environment. For the calendar year 2006, the department performed well over 7,824 plan checks and about 82,166 inspections. The total number of permits is at 4,400. Single-family residential construction leads the increase in the building construction. During this year of 2006, the department was also very busy with the permit and inspection activities of large projects and other City special projects. ' In 2006, Building and Safety implemented the use of the newly created permit software system to expand its use to on-line permit processing and to an interactive voice response system so customers can access permit and inspection information 24 hours a day, 7 days a week. 1 xviii ' 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga Building Inspection ' To maintain the required inspection service for the large increase of permit activities, additional contract inspectors were hired in order to maintain a 24-hour turn-around time for inspection ' requests. A Senior Inspector was appointed to supervise part of the inspection unit. Plan Check and Support Services The Permit Section had an upgraded position to oversee the operation at the permit counter. The Department continues to utilize more plan check work from consultants. The additional help has provided a smooth permit process for the large increase of the number of projects. Fire Construction Services ' Unique to Rancho Cucamonga is the Fire Construction Services section located within Building and Safety. On behalf of the Rancho Cucamonga Fire Protection District, Fire Construction Services performs all development and technical review related to fire codes and standards for new proposed projects, plan review and permit issuance of all fire protection systems (automatic fire sprinklers, fire alarms/monitoring systems and hood suppression systems) and the section provides all fire inspections for new construction. ' Additionally, specific Building and Safety staff members have been available to visit existing businesses that are interested in relocating their business to Rancho Cucamonga. These staff ' members provide technical information to the business owner as well as assess for building code, fire and electrical requirements. This personal on-site visit ensures the potential customer that all significant items will be addressed and completed prior to the intended Grand Opening. ' Code Enforcement This section continues to provide services for enforcing requirements of municipal code, property ' maintenance standards, zoning related issues, and works with other city departments in the areas of promoting and educating the general public to maintain healthy, safe, clean living and working environments. I , This section has responded to almost 3,600 requests from the public during this 2006 calendar year. Code Enforcement has completed key projects funded by the State approved code ' enforcement grant of $193,500. The grant was used for upgrading the graffiti abatement program, facilitating neighborhood clean-up events, and improving the code enforcement staffs capital resources. Community Services: ' The Community Services Department continued its successful efforts to offer residents of the City of Rancho Cucamonga opportunities to relax, learn, get physically fit,make new friends and much more. Well over 6,500,000 visits were made to the City's recreational facilities and parks ' during the year as youth and adults alike made positive use of their leisure time. This report provides highlights of program areas within the Department and major accomplishments that ' xix December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 occurred during the reporting period. Senior&Human Services–for the "best years of your life" ' Phase I of Central Park, the James L. Brulte Senior Center and the Goldy S. Lewis Community Center, a 57,000 square foot facility and 15-acres of open space was dedicated last fiscal year on May 21, 2005. The long awaited opening of our new senior facility was met with much enthusiasm from the community. Our Central Park senior facility has allowed for the addition of many new programs, services and classes. The list below provides participation numbers for major senior services,programs and activities: • Senior Center Visits: 185,662 ' • Nutrition Program: 34,290 congregate meals and 16,905 homebound meals • Commodities Distribution: 6,366 • Human Services Programs/Inquiries: 13,194 ' • Senior Transportation: 11,886 • Recreation Classes: 129 classes; 4,115 • Special Events: 30 events; 2,225 ' • Wellness Fair and Flu Shot Clinic: 3,800 • Wellness Pass Exercise Facility: 31,993 • . Federal Senior Wellness & Transportation Grant: offering workshops, a resource , library,personal trainer;exercise classes, a conference on aging and free transportation to and from the Senior Center-1,808 The Senior Advisory Committee addressed many key issues this year including continuation of their fundraising campaign for the Center and the homebound meal program, senior transportation issues and senior wellness programs. ' Cultural/Performing Arts-inspiring creative artists The long awaited Victoria Gardens Cultural Center approached completion this fiscal year, with , the staff and public anxiously awaiting the Center's opening scheduled for August 2006. The inaugural season of shows for the Lewis Family Playhouse was announced in March offering 30 different productions of live theatre, concerts, dance shows, magic and major headliners on the bill. Local educators participated in a preview and booking reception in April in preparation for fall 2006 classroom performances for our primary focus of "Theatre for Young Audiences" series. As staff prepared for the opening of the Cultural Center, programs, classes, workshops and performances continued to be offered at the Department's temporary Theatre Arts Center. The Center offered 72 classes with 689 participants, 7 theatrical offerings (with casts numbering 189), and 3 adult chorale troupe concerts. Attendance at the theatrical productions and concerts was 4,691. ' Community theatre had continued strong support during the year with the following productions featured: Cinderella,Rumors, Working, The Night Thoreau Spent in Jail, Oklahoma!, You Can't Take it With You,and Picnic. , xx 1 1 ' December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 Special Events—community celebrations for all occasions Key to providing opportunities for bringing a community together are its special events. Last year nearly 39,000 community members attended our special events, some of which are ' highlighted below: • July 4th Celebration: 6,600 ' • Cultural Center Topping Off: 250 • Movies in the Park: 6,775 • Concerts in the Park: 15,100 ' • Victoria Arbors Park Opening: 250 • Founders Day Parade: 6,000 • Cultural Center Season Announcement: 250 • Educator's Reception/Cultural Center :200 • Cinco de Mayo: 1,000 • Movies in the Springtime: 2,366 Sports-enriching lives of the young and old who live and work in our community through physical activity and fun ' Our Sports Division continues to be the leader in the Inland Empire for youth and adult sports activities and aquatics. The Sports Advisory Committee continued their process of allocating fields for City nonprofit sports groups. Over 2,085,633 people utilized City fields through this ' important process. Some of our other impressive participation statistics include: • City Sponsored Youth Sports: 249,861 • City Sponsored Adult Sports: 181,200 ' • Aquatics: 86,956 • RC Family Sports Center: 121,015 ' Two additional successful programs continued to provide youth and adult recreation sport opportunities for the community. These included: • Cucamonga Middle School Programming: 21,180 • Rancho Cucamonga Middle School Programming: 2,284 Youth and Family Programs providing safe and fun activities for youngsters, teens and their families The Youth and Family Division within the Community Services Department provides activities, events, classes and programs to enrich the lives of our community's children, teens and their families. ' Some of our special programs offered this past year and participation levels are listed below: xxi December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 • Playschool: 2,348 children(ages 1 -5) • Summer Day Camps: 1,813 youngsters • Pumpkin Carving Workshop: 80 children&their families • Lewis Partnership: 5,445 at 4 sites • Breakfast with Santa: 407 • Mobile Recreation: 2,185; 5 parks sites; 4 special events and 3 rentals Our Teen programming promotes safe, fun and meaningful activities for youngsters between the ages of 11-18. Central to our services for teens is our Teen Center located in the RC Family Sports Center. Last year over 8,122 teens participated in programs workshops and services offered just for teens or visited the Center to `hang out' with friends. Some of these special programs included: • Teen Recreation Activity Club: 1,941 • Specialized Workshops/Career and College Fairs: 4,157 • Spruce Skate Facility/Skate Safety Assemblies: 15,914 • Teen Volunteer Connection: 740 • Special Events: 1,064 Additional Department Activities: The Grapevine-communicating with our residents Four (4) issues of our quarterly newsletter were produced and distributed during the reporting period as the City's main avenue for disseminating information and our recreation schedule to the public. Recreation Classes providing opportunities for personal growth,physical challenge and fun ' • As the largest and most innovative program in the Inland Empire, we offered 1,152 classes last year. Nearly 12,000 participants (101,309 attendance) enjoyed our classes/activities/workshops. Volunteers-the heart of our Department ' • 4,218 volunteers provided 42,628 hours of service to the Department at a cost savings value of$841,477. ' Trips and Tours-adventures and more • 32 single day trips; 1,539 participants ' • 329 multi-day trips; 14 participants Special Needs Programs—accessible recreation makes for incredABLE kids Through partnerships and collaborations the Department added services to youngsters with special needs this year. Over 300 youngsters with learning and physical disabilities took part in recreation classes,workshops,socials and dances. xxii ' 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 ' Facilities providing quality venues for our residents • 1,519 rentals; 327,792 participants/attendees utilized facilities at Lions East and West ' Community Centers, the James L. Brulte Senior Center and the Goldy S. Lewis Community Center at Central Park • 96 Equestrian Center rentals; 5,452 participants; 1,921 drop-in users ' • Picnic Shelter Rentals: 890; 37,369 attendees RCpark.com and Instant RC-enhancing our customer service through on-line services • There was an average of 18,450 visits per month to our website; monthly average number of page views during reporting period, 197,132; and averaging over 600,000 unique visitors each month. • 2,063 participants utilized our on-line registration service, Instant RC. Rancho Cucamonga Epicenter—baseball&more ' • 68 days of Single A-Quakes baseball. • 19 private rentals; 27 days of rental activity. ' Special Projects-fulfillment of a community dream Construction of the Victoria Gardens Cultural Center began in November 2004. This 90,000 ' square foot facility will include a second, full-service City library, a 536-seat performing arts theatre, The Lewis Family Playhouse, with an emphasis on programming for youth and families and a special occasion event center. The opening of the Cultural Center is occurred in August ' 2006. Commissions&Boards providing opportunities for citizen involvement ' • Park & Recreation Commission-this 5-member board continued to act in an advisory role to City Council on matters pertaining to park and recreation facilities,programs and ' services. • Rancho Cucamonga Community Foundation—in conjunction with the Library Foundation, this 11-member board continued their successful fundraising efforts (raised ' over$4 million in pledges toward their$5 million goal) through the Promoting Arts and Literacy(PAL)Campaign to construct and endow the Victoria Gardens Cultural Center. Police Department: ' The City of Rancho Cucamonga contracts with the San Bernardino County Sheriff's Department for general law enforcement services. The Police Department has 132 sworn officers, 39 general employees and over 100 volunteers including Reserves, Citizen Patrol, and Explorers. In addition ' to basic patrol services the Rancho Cucamonga Police Department also provides a Solution Oriented Policing Team(Community Based Policing), a Crime Prevention Unit, School Resource Officers, a Bicycle Enforcement Team, a MET Team (Multiple Enforcement Team), a Traffic xxiii December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 Enforcement Unit including a Major Accident Team, a Detective Unit, and a substation at the Victoria Gardens Regional Center. The City is rated year after year as one of the"safest" cities in the United States of America with a population over 100,000. The City of Rancho Cucamonga and its Police Department share not only a great deal of pride regarding this accomplishment, they also enjoy a great working relationship as well. Together, the City of Rancho Cucamonga and its Police Department have provided the residents and businesses with the type of safe community other cities envy. The Police Department continues to actively search for Federal and State grants. Over the past six years we have submitted and received numerous grants that enable the department to supplement existing programs, and add additional personnel to our station to better serve the community. With these grant funds, the department has acquired deputies to specifically enforce D.U.I. related crimes through patrol and D.U.I. checkpoints. The Police Department is implementing a Retail Investigative Team to assist in fighting crime along the Foothill Boulevard corridor and Fourth Street. In the near future, we will be unveiling new crime fighting tactics by use of a Crime Analyst and an exterior surveillance system to better protect and serve the citizens of Rancho Cucamonga. Fire Department: ' The Rancho Cucamonga Fire Protection District is responsible for fire prevention, fire protection, and life safety services. District personnel are dedicated to the preservation of life and property in service to our community. The continuous goal is to deliver these services in an effective, efficient and professional manner, reflecting improved fire and life safety and an enhanced quality of life to those we serve. During the 2005/06 fiscal year, the Fire District continued to experience an increase in demands for service. In order to maintain and improve upon existing service levels, on August 15, 2005, the Fire Board adopted six service level goals as recommended by the Fire District's Strategic Plan: 1. Approved that when medic engine responses exceed the goal of 2,500 annually a medic squad will be implemented(Recommendation Item#4) 2. Approved that apparatus-to-mechanic ratio goal is 12:1 (Recommendation Item#6) , 3. Approved that when medic engine response Travel Time exceeds four(4)minute 90th fractile goal annually a new station will be implemented(Recommendation Item#39) 4. Approved in concept working language for an ordinance for Board consideration requiring fire sprinklers,as follows(Recommendation Item#41): ' — Commercial buildings 2,500 sq. ft. or greater,new and additions when the total area is 2,500 sq. ft.or greater — Multi-family residential when three or more are connected — Single-family residential in or adjacent to Wildland Urban Interface areas xxiv ' 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga – Single-family residential 2,500 sq. ft. or greater ' - f Retro- t retirement and care facilities Structures greater than 4 minute Travel Time from an existing station t 5. Approved annual inspections in the following occupancies (Recommendation Item#42): – Public assembly, education,detention – Wildland Urban Interface Brush Clearance I – Warehouse Industrial,Hazardous Materials - Retail – Non-sprinklered Multi-family Residential ' 6. Approved four (4) minute Travel Time Goal at 90th fractile District-wide annually (Recommendation Item#43) Library: ' 2006 brought a new kind of library service to Rancho Cucamonga—crafted to fit the diverse needs of our residents. Customers may now choose between three great ways of accessing their library: I) they may choose to visit the destination place—the Paul A. Biane Library in ' the Victoria Gardens Cultural Center; 2) or they might be prefer the more traditional family atmosphere of the Archibald Library; 3) or they might even prefer to stay curled up in their chair at home and visit our Virtual Library—available with a click of a mouse on a home ' computer or phone. Regardless of the choices made, libraries in Rancho Cucamonga were more popular than ever, with a record 820,000 books borrowed and an epic 14,000 youngsters attending a library program. The August 2006 opening of the Paul A. Biane Library (Biane Library) in the Victoria 1 Gardens Cultural Center was a landmark event that doubled the book, media and magazine resources available to residents. A "destination place" library, the Biane Library offers a completely new collection of 100,000 books and DVD's housed in stunning and playful architecture, a dramatic story theater sized for youngsters featuring a fiberoptic ceiling and a tech savvy Teen Center—all available in the sophisticated downtown atmosphere of the Victoria Gardens Regional Center. tFor a more traditional library experience, the Archibald Library continues to offer a collection of 160,000 volumes in a warm, inviting atmosphere. Open 7 days a week, Archibald Library upgraded their technology this year to offer 21 computers, including 10 ' high speed laptops, all with free access to the Internet and a full array of on-line databases. This year also saw the creation of the "Virtual Library" as yet a third library location, ' expanding services by offering the first collection of downloadable audio books and electronic book resources on-line along with a new powerful homework help program called Tutor.com. Funded by a generous grant from the State Library and Target Stores, Tutor.com ' provides homework help to students from ages 6 to 16 through a text messaging process that works with the student to find the answers to the toughest homework questions. t xxv 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 These exciting changes mean that the 150,000 borrowers currently owning a library card enjoy a collection of books and media boasting over 260,000 titles, 360 magazine subscriptions and free access to 60 PC's, now offering Internet and on-line services to residents of all ages. Swift twice daily delivery moves thousands of books and magazines across town, to maximize service convenience and timeliness. Children's Services: More than 14,000 trips were logged to the library to enjoy the popular Storytime programs. Offered seven times each week and now in two great locations, the preschool, toddler, school- aged and now teen programs offer something for children of every age. The Summer Reading Program logged 3,000 young participants, with nearly half completing the program and maintaining their reading skills during the long summer. • The "Back to Basics" Children's Literacy Program served another class of 80 youngsters, improving the reading level of each child and promoting reading and literacy as a pathway to success. . The "Kidsmobile" visits to schools, a popular service where the library comes to the children at their school sites instead of the children coming to the Library, increased to supply over 41,000 items to children during this busy year. Senior and Adult Services: 1 The Library's "Housecalls" outreach program delivers library materials via volunteers to community members whose health prevents them from attending the library. This "books on wheels"program served more than 40 residents with materials from books to videos. Information and Cyber Services: I Between the Adult and Children's Information Service desk in three library locations—the Archibald Library, the new Biane Library and the Virtual Library-- over 90,000 information questions were answered during the past fiscal year. Questions ranged from simple homework help to complex questions covering consumer information, repair help and business related assistance. i The Library Web Site, with links to over 2,000 helpful and creative sites, also linked the library patrons with 15 popular full text databases. Thanks to a grant from the State Library,this year the library also offered an online tutoring program for students of all ages and began offering the first collection of e-books and downloadable audio books. Literacy Services: I Literacy services continued to excel in Rancho Cucamonga, noted throughout the State of California for an innovative and exemplary program. Fifty-two tutor student pairs call the Library their home and their inspiration to keep reading. Reader's Theater continued, with xxvi 1 1 ' December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga student actors reciting stories, poems and other works of literature. The continuation of this program is possible due to on-going support from the State Library, Community Development Block Grant funds and corporate donations. Volunteer Services: Between the Friends of the Library and the regular volunteer troops, over 15,000 hours of volunteer time was donated to help produce the popular library programs offered in 2005. Volunteers participate as friendly delivery staff for the House-calls program; as tutors for the Adult Literacy program; as teachers in the Back to Basics Program; as book processors for the growing Victoria Gardens Library collection; and as general volunteers in shelving and repairing books. I The popular Friends of the Library volunteer corps accounts for 8,500 hours of volunteer time for sorting, staffing and managing the Friends Bookstore located in the Archibald Library. Open seven days a week, the Friends Store raised another$100,000 for the Library in 2005. ' Foundation Highlights: The Library Foundation was extremely active through a collaboration with the Community ' Foundation called the Promoting Arts and Literacy (PAL) Campaign. Spearheading the first House Raffle, the Library Foundation raised approximately $150,000 for library programs in 2006 alone, while over $4.5 million dollars were pledged for the Cultural Center endowment ' during this 5 year campaign. Goals for Next Year 1 The year ahead will focus on increasing public service hours at the Paul A. Biane Library and maximizing the space available for public service through planning the needed remodel of the Archibald Library and the expansion of the Paul A. Biane Library into the second ' floor. All three goals are designed to maximize the delivery of public service. The emphasis will be on fundraising this year, as the Library helps the Friends of the ' Library, now operating a second book store at the Paul A. Biane Library, to organize, develop and expand. The Library will also be sponsoring the popular Library Telethon in April and the Library Foundation will launch the second "House Raffle" to raise funds for the Victoria Garden Cultural Center. These projects represent a cash flow of approximately $'h million dollars into library coffers. Libraries change lives—and never more so than in the upcoming year ahead in Rancho Cucamonga! ' City Manager's Office: The City Manager's Office supervises and administers the programs provided by all departments ' within the City of Rancho Cucamonga. The City Manager's Office oversees agreements and contracts in addition to participating in a number of intergovernmental agencies that affect ' xxvii 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 Rancho Cucamonga and our region. The staff of this office also provides information to the City Council concerning pending state, local or federal legislation that may impact Rancho Cucamonga. The City Manager's Office also coordinates special projects and programs such as the animal shelter transition and oversees the City's award-winning Community Information Program. The staff is also responsible for media relations and responds to and follows-up on citizen inquiries and concerns regarding City programs and services. ' Major highlights of the 2005/06 fiscal year include: • Developed the new Animal Care and Services Department and spearheaded the Animal Care&Adoption Center's transition from a County operation to a City run facility with the goal of No Kill. Some of the major tasks involved include: o Recruited,hired, and trained 19 staff members that make up the new department o Oversaw the remodeling of the Animal Care and Adoption Center facility o Set up operations,policies, and procedures o Established contracts with vendors, service providers,and local veterinarians o Established the department budget o Purchased thousands of items - from kitty litter to vehicles o Developed the Community Information and Marketing Program o Led the transition of animal field services o Served as event planner for community events such as the Ribbon Cutting Ceremony and the Grand Opening Celebration o Continued to provide residents and members of the community with information about the City with the RC Reporter community newsletters and the Annual Report. • Continued to engage in proactive media relations efforts, distributing more than 64 press releases to the media in 2006,more than double the previous year. • Continued oversight of RCTV Government Access Channel, and the live broadcasts of regular City Council meetings, and continued our non-production government bulletin board shown on Channel 3. • Worked with developers in the formation of Community Facilities Districts (CFD's). • Provided oversight for a variety of city-wide special projects and programs such as cable television franchise,Job Center,information technology projects,mobile home accords, taxi cabs, school crossing guards,and Red Light Camera Enforcement. • Facilitated the 2006 Candidates Orientation and Tour • Facilitated the 2006 City Council Goals Workshop in January 2006 • Worked with Fire District in presenting the Fire Strategic Plan Funding Options Study • Reestablished our Administrative Intern Program to help guide and train the next generation. • Led the City's proactive Legislative Program and Intergovernmental Relations efforts in working with our local legislators and regional agencies, and the RC Chamber to protect and further advance the City's interests. o Among the most important issue areas we actively tracked and responded to were concerning: dramatic changes to telecommunications regulations, eminent domain changes and related actions to limit Redevelopment and its perceived impact on , individual property rights; as well as workers comp and risk management legislation. xxviii 1 1 ' December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga I Higlhlights of Fiscal Year 2005/06 Legislative Funding Successes: At the County Level: City Staff worked with County Supervisor Paul Biane to secure: • $200,000: Additional Library construction project funds for the Victoria Gardens and Archibald Libraries. (This brings the funding spearheaded by the Supervisor to $1 million). • $500,000: Funding for the Senior Transportation Program • • $200,000: Initial study work to Extend Milliken to Day Creek roads • $1.5 million (Fiscal Year 2006/07): Funding for the construction of the new Police Substation in the northern portion of the community At the State Level: • . Staff worked actively with State Senator Bob Dutton and Assemblyman Bill Emmerson to ensure they were continually aware of our local needs concerning pending legislation. Key emphasis was on their active roles in the pending Infrastructure Bonds, which if passed in November 2006,could benefit our community greatly. ' At the Federal Level: • Building on past success for Federal Fiscal Year 2006/07, thanks to the efforts of Congressman David Dreier, we received yet another $750,000 for the Base Line 1 Interchange project. Animal Care and Services: The new Animal Care and Services Department provides care, shelter and adoption services for homeless, abandoned, and abused animals, and also protects the public health, safety, and welfare of the community. This Department, which began operating in May 2006, is committed to providing strong support for volunteer programs, low-cost spay and neuter programs, microchipping, foster care, and veterinarian and medical care, as well as other programs and services. The City Council has established the goal of being a "no-kill" facility over time and aims to provide the highest levels of services. One of the main goals of the new Animal Care and Services Department is to adopt animals into the best-suited new home with loving families, assist the public in increasing their chances for recovery should their family pet become lost, as well as perform the important public safety field functions. The Department also oversees the Animal Licensing Program. ' Community involvement is an important component for the Animal Care and Services Department. This includes the development of a strong volunteer program and foster care program,working with rescue groups,attending community events, and hosting adoption fairs. The Department also provides animal field services through its Field Services Division. Animal Services Officers are available to handle requests for service on a priority response basis such as vicious/aggressive animals, injured animals, confined strays, and the pick-up of stray and/or deceased animals. Animal Services Officers are also empowered to investigate complaints such as nuisance complaints,leash law violations, and inhumane conditions. I xxix 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga Major highlights include: • At 6:01 p.m. on May 3, 2006,the staff of the new Animal Care and Services Department assumed control of the Animal Center (the Center) and custody and care of the resident animals • Instituted a "pet match" adoption process that ensures every adopted pet fmds their perfect forever home • Under City operation,pet adoption rates have increased significantly • Established high levels of animal care and enrichment for the animals at the Center • Implemented a medical program that provides quality medical care to the Center animals. The vet staff conducts intake and exit exams of all animals, administers vaccinations, and diagnoses and treats non-surgical conditions. • Established a popular volunteer program with HUNDREDS of volunteers already donating their time to love, socialize, and exercise the animals • Established a Foster Care Program, sending hundreds of kittens, cats, and special needs animals to foster care homes for one-on-one care and attention • More than 300 cats, dogs,birds,and wildlife have gone to rescue groups • Participated in a number of community events such as the Fourth of July, Cinco de Mayo, "Bark in the Park,"and Health and Wellness Fair. • Developed a partnership with the RC Library during the Summer Reading Program, passing out bookmarks promoting the center and conducting educational presentations to school children. • Began providing animal field services July 1, 2006, providing 24 hour/7 day a week coverage Administrative Services: Administrative Services is unique in comparison to other City departments in that it is a "staff' department as opposed to a "line" department. While line departments typically provide services only to the public, the Administrative Services Department provides services and support primarily to internal staff (including the City Council, the City Manager, the various City departments and employees) with some service areas crossing over into the public arena. The department's major service areas are: Administration,Finance,Treasury Management,Personnel, Risk Management, Purchasing, Business Licenses, Special District Administration, Geographical Information Systems, and Management Information Systems. The Administrative Services Department continued making progress on projects that were started during the previous fiscal year and kicked off some new projects during the 2005/06 fiscal year. A summary of each of these projects by division follows. Purchasing Division: The Purchasing Division of the Administrative Services Department is authorized to procure services or goods at the best price, from the most responsive and responsible vendor. It acts as the City's centralized procurement agent and authorizes all City purchases by ordinance requirements. It is also charged with the disposition of surplus or obsolete property as well as responsibility for the City's telecommunication needs. During this period,the Purchasing Division accomplished the following: I xxx 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga • Citywide replacement of copiers: Purchasing worked closely with the IS division for the purchase of new copiers citywide. The new technology allows the City to streamline various features such as faxing, scanning, printing, and copying into one unit. t Monitoring and training of the new copiers transitioned to the IS division due to the recent expansion of the IS help desk. ' • Bidding/Quoting process: This year the Purchasing Division increased their formal bids and quotes overall. There was a larger increase of quotes this year due to the large number of items for the new Cultural Center and the Animal Center. Our bid process ' reflects an increase of capital purchases that include fleet replacement vehicles, various equipment, furniture and fixtures, and a large amount of computer hardware and software. ' • Network cabling infrastructure expansion upgrades: Purchasing continues to facilitate the expansion and upgrade of fiber network cabling throughout all City facilities. Significant work was completed at the new remodeled Animal Center to bring the existing cable network standard up to the City's current required standard. These upgrades facilitate faster connectivity to the City's network and the ability to add additional equipment, such as the City's new copiers,to the shared network system. • Victoria Gardens Cultural Center: Purchasing successfully bid, quoted and purchased over $4.4 million of furniture, fixtures, and equipment for the newly built VGCC. Purchasing was also to meet the required deadline for a successful opening day and operating schedule. • Animal Center: Purchasing worked closely with staff to complete the transition of the ' City's County ran shelter to the current Animal Center. Staff worked diligently to meet the required transition date for both the facility and the newly acquired animal control services fleet. ' • IVR System- @ Your Service - Purchasing, the IS division and the Building and Safety department successfully completed the automated permit processing system. The first phase of the project required a complete software and hardware upgrade. This ' upgrade also included an expansion of the telephone network to meet the anticipated call in-flow. Phase I was completed in November 2005 and will continue on to the next phase that includes on-line permit processing scheduled for launch in December of 2006. ' Updates to the current @ Your Service Directory will start in early January 2007. • Telephone network: Purchasing continues to monitor the pool of telephone lines to maximize efficiency of the network system. Purchasing is working closely with facilities ' to switch over analog lines to Centra-net lines that will afford a cost savings. We will start the process of replacing analog lines with the Centra-net lines for increased savings overall. The current negotiated contract runs through December of 2008. ' Business License Division: The Business License Division of the Administrative Services Department ensures compliance with City codes as they relate to business licenses, transient occupancy and admission taxes. In fiscal year 2005/06 staff processed a total of 9,337 business ' license applications (7,170 renewals and 2,167 new filings) and collected revenues totaling $2,085,230. xxxi I December 21,2006 ' To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga Information Systems Division: The Information Systems Division of the Administrative Services Department provides research and development in client server computer and personal computer applications. The Information Systems Division continues to strive to be on the cutting edge of technology, thus increasing the productivity and service levels to the City users and patrons. The advances described are designed to progressively build upon the City's technology base to improve,expand and respond to the demands of the public for vital services in police, fife, safe roads, youth and adult recreation, tax and fmancial transactions, community and home development and many more. During this period, the Information Systems Division accomplished the following: • Technology Services for Victoria Gardens Cultural Center: New computer technology services were installed in support of the Victoria Gardens Cultural Center, including: point of sale services, free wireless network services and Internet access for the public, over 131 staff and public computers, box office ticket services, and radio frequency identify tag(RPID) services for managing library resources. • Interactive Voice Response Permit Services: New services were implemented to automate and deliver permit services over the telephone to allow the public to request, reschedule, or cancel inspections, check the status of applications, projects, or cases, and initiate "no plan" permit applications and check the status on the disposition of the permits. • Network Infrastructure Upgrades: Significant network upgrades were implemented to maintain and improve the reliability and security of the City's computer data network. ' • Online Council Agendas: Implemented services to post the full text versions of City Council Agenda packages on the City's website. • Desktop Computer Replacement: Replaced approximately 1/3 of the aged desktop computers with new computers and upgraded the remaining computers, including new versions of the Windows operating system and Microsoft Office applications. • Technology Services for the Animal Care and Adoption Center: Installed new computer services in support of the Animal Care and Adoption Center, including new • computers, web site, animal shelter management services, and the conversion of records from San Bernardino County's animal shelter management and licensing system to a City maintained application. • Wireless Hot Zones: Extended wireless network services at City facilities including the Archibald Library,the Cultural Center at Victoria Gardens,and City Hall. • Biographical Histories and General Plan: Biographies of local citizens, consisting of ' web pages,audio files, and written transcripts in digital format,were posted onto our City website under the"Planning Department Historic Preservation Program"web page under "Oral. Histories", or at the following web address: http://www.ci.rancho- cucamonga.ca.us/oralhistorv/index.htm. The General Plan was converted into a digital format and posted on the City's website along with accompanied appendices at the following web address: http://www.ci.rancho-cucamonga.ca.us/govt/2001genplan.htm. xxxii 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga • Police Web Site: Implemented a significant redesign of the Police Department web site to improve information and services to the community. • Fire Department Intranet: Implemented a significant redesign of the Fire Department Intranet web site to improve information and services for staff. Geographic Information Systems/Special Districts Division: The Geographic Information Systems/Special Districts Division of the Administrative Services Department manages all the City's special assessment districts and provides geographical mapping of all City functions including engineering, planning and building and safety. During this period, the GIS/Special ' Districts Division accomplished the following: GIS Division: • Fire Map Books: GIS continues to assume full responsibility for the Fire Department mapping/planning including the creation and maintenance of the fire map book that ' include 301 block plans and 149 map pages. There are over 80 copies of the map books that are distributed to Fire personnel,dispatch, law enforcement and other agencies. t • Fire/EMS Maps/Data: GIS continues to create Fire/EMS incident maps and develop applications that will integrate Fire/EMS data with GIS in order to display, identify and analyze incident patterns and response effectiveness, so that resources can be more ' optimally redeployed. • Parcel Database: As development increases in the City, GIS staff continues to maintain the parcel database to keep it current. From July 1, 2005 to June 30, 2006, there were 51 ' updates to the database, which included tract/parcel maps and lot line adjustments. • Aerial Update: GIS coordinated with RDA in the research and procurement of the ' annual Aerial photography update. GIS will make available the updated aerial images in digital form to departmental users using ArcView or ArcGIS for mapping and spatial analysis. ' • InsideRancho Update: GIS prepared and provided the GIS data and map layers essential in updating RDA's InsideRancho Site Search website that is available for public ' use. • City Maps: Staff continues to create and update City maps along with the School ' District map books. These map books are available to staff and school representatives for emergency planning and mapping. • Street Centerline Address Ranges & E-911: GIS continues to update and maintain the street centerline address ranges in the City for use by Ontario's Dispatch for Fire/EMS emergencies. These updates are forwarded to dispatch monthly. ' • Emergency Operations Center: GIS continues to develop and enhance EOC mapping processes and capabilities for collecting and inputing data, mapping incidents, and i miii I December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga displaying the maps on the Intranet for viewing and analysis during emergency operations. • Cucamonga Elementary: GIS staff worked with Cucamonga Elementary staff on a special project to teach 4th/5t grade classes about GIS and will continue to work with the school staff for the upcoming school year to establish a class curriculum that will integrate GIS with a class project. • Zoning Map: GIS updated the Zoning Map with the latest zoning revisions from , Planning and converted the map to the current version of ArcGIS and will make it available on the Intranet. Special Districts Division: • Assessment Records: The City placed 121,129 assessment records to the fiscal year ' 2006/07 tax roll in the amount of$23,629,611.62. This dollar amount represents an eight percent increase from the previous year and a four percent increase for the assessment records. There are a total of 37 special assessment districts that include eleven Landscape Maintenance Districts, eight Street Lighting Districts, thirteen Community Facilities Districts, four Assessment Districts,and one Benefit Assessment District. • DFAST: Staff has updated the database in the DFAST application to reflect the current tax roll/owner information. This is a time consuming process as there were over 4,500 record changes applied to the database along with the addition of Community Facilities Districts No. 2000-03 A & 2000-03 B (Rancho Summit) and Community Facilities District No. 2004-01 (Rancho Etiwanda Estates). Staff has reviewed and confirmed the system backup processes for the DFAST application to ensure the integrity of the system. III. PROSPECTS FOR ME FUTURE General Fund revenues, such as sales tax, permit and development fees, franchise fees and motor vehicle license fees are growth related and reflect a continued positive growth in the economy in general. The result is greater stability; however, it is also accompanied by a greater demand for services ranging from police to maintenance. Growth continues to increase and becomes a factor in the provision of services. State shifting of revenues and increased fixed operating costs will continue to be significant challenges for the future. I Our assessment districts remain stable at level"A" service levels with no rate increases proposed for the 2006/07 fiscal year. Our biggest challenge to these districts continues to be costs imposed by other agencies that are not easily passed on because of Proposition 218 constraints. Fire and Life Safety programs are a vital element in meeting the public safety needs of our community. The Fire District has begun the implementation of a Strategic Plan that was presented to the City Council in June 2005. To achieve the Strategic Plan goals, the following major projects have been approved by the Fire ' Board for 2006/07 fiscal year: 1 xxxiv I December 21,2006. To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga • Implementation of Medic Squad 171,housed at Station 171 • Begin Northwest Station 177 design and construction • Locate and acquire property for the relocation of Station 172 ' • Begin Station 178 design concepts The Fire District is actively moving forward with implementing the service level goals and projects to increase the levels of services for the community. The Police Services Strategic Plan points to a need for a future substation in the northern part of ' the community. Staff will work with the County to explore the potential for a partnership that would enable such a substation to be built. The substation would enable deployment of existing resources in such a way as to achieve even greater effectiveness in the City's law enforcement ' program. The Redevelopment Agency's goal is fostering economic development and revitalization. This next fiscal year,the Agency will continue its focus on completing public improvements identified in the Redevelopment Plan that improves flood control, traffic circulation, and public safety facilities within the Project Area. Completion of these public improvements will also remove barriers to private investment, thus enhancing economic development opportunities within the ' Project Area. The City has an ambitious Capital Improvement Program for the 2006/07 fiscal year, all funded ' through non-General Fund special and restricted funds. Some of the major CIP projects include: Storm Drain Projects • Foothill Boulevard Master Plan Storm Drain (Etiwanda Avenue to 1000 feet east of Etiwanda Avenue) ' • Hellman Avenue Master Plan Storm Drain (Cucamonga Creek to east of Hellman Avenue) • Beryl Street Master Plan Storm Drain(n/o 210 Freeway to n/o Banyan Street) ' • East Avenue Master Plan Storm Drain(survey/design) Street Improvement Projects ' • Church Street at Center Avenue • Etiwanda Avenue(6th Street to Arrow Highway) • Wilson Avenue(Amethyst Street to Archibald Avenue) ' • Base Line Road at I-15 ramp improvements • Foothill Boulevard at I-15 ramp improvements • Local street pavement rehabilitation Traffic Signal Projects ' • Archibald AvenueNictoria Street intersection • Church Street/Elm Avenue intersection • Church Street/Center Avenue intersection xxxv December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga 1 • Haven Avenue/Wilson Avenue intersection • Wilson Avenue/San Sevaine Road intersection Landscape Improvement Projects • Haven Avenue(west parkway—Base Line Road to n/o 19th Street) ' • Church Street(Ramona Avenue to Haven Avenue) • Bluegrass Street(east parkway—s/o Vista Verde to Wilson Avenue) • Highland Avenue Landscape Improvements (south parkway — Beryl Street to Hermosa Avenue) Trail Projects • • Rails to Trails (P. E.Railroad right-of-way—Grove Avenue to Cucamonga Creek) • Rails to Trails (P. E. Railroad right-of-way—Amethyst Street to Archibald Avenue) • Rails to Trails(P. E. Railroad right-of-way—Archibald Avenue to Haven Avenue) • Rails to Trails(P. E. Railroad right-of-way—Haven Avenue to east of Etiwanda Avenue) • • Beryl Street Trail(Banyan Street to Wilson Avenue) Park Projects • Central Park Tot Lot project • Napa soccer field development • South Etiwanda Park(north of Foothill Boulevard and east of Etiwanda Avenue) • Future park land acquisition Facilities Projects • Fire Administration Building • Household Hazardous Waste Building/Site Relocation Multi-Year Design/Construction Projects • Base Line Road/I-15 interchange , • Foothill Boulevard street widening and bridge improvement (Grove Avenue to Vineyard Avenue) • Haven Avenue grade separation(at Metrolink railroad crossing) Other noteworthy projects for the new fiscal year in the area of information systems include: • Wireless Hot Zones: Extend wireless network services for the public and staff at City facilities. • Council Meetings - Internet Streaming and Indexed Agendas: Implement online streaming ' video and audio services, indexed to the agenda, as well as minutes management services for City Council. xxxvi , 1 December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga • Internet-based Permit Services: Implement services to automate and deliver permit services over the Internet to allow the public to request and reschedule inspections, check the status of applications,projects, or cases, and initiate "no plan" permit applications and check the status on the disposition of the permits. IV. OTHER FINANCIAL INFORMATION Budgetary Control: ' The City adopts an annual budget where each department's budgeted appropriations are controlled at the character of expense level. These levels are defined as personnel, operations, capital outlay, capital improvement projects and transfers. Although the budget is monitored at ' the character of expense level, the legal level of budgetary control, that is the level at which expenditures cannot exceed appropriations, is the department level within the General Fund and at the function level for the Special Revenue, Debt Service and Capital Projects Funds. ' Budgetary control is further maintained by the use of an encumbrance system. Encumbrances at year end are reported as a reservation of fund balance. Revenues are also estimated annually in the adoption of the annual budget. Revenues and expenditures are monitored throughout the year. ' Cash Management: Cash not immediately needed to finance City operations during the year was invested in securities ' of the U.S. Government, or its agencies, e.g., bonds and notes of the Federal government and Federally-sponsored agencies, in accordance with State laws governing deposit of public funds. The City invests in time deposits from 14 to 720 days maturity, issues of federal agencies, the ' State of California's Local Agency Investment Fund (LAW) and, on occasion, bankers acceptances. It is the objective of staff to attain a greater percentage of invested funds, while maintaining the necessary reserves needed to fund City services. However, it should be noted that all investment decisions are made by considering safety first,liquidity second and yield third. Debt Administration: ' The City of Rancho Cucamonga, as a general law city, is restricted from incurring general obligation bonded indebtedness that would exceed 3.75% of the total assessed valuation of all real and personal property. The City of Rancho Cucamonga does not have any general obligation ' debt. The Redevelopment Agency does have various tax allocation bond issues as well as developer loans outstanding. Note 7 of the Notes to the Financial Statements,under the Financial Section of this report,presents more detailed information about these issues. Risk Management: ' During fiscal year 2005/06, the City of Rancho Cucamonga continued its commitment to risk management programs for safety, general liability, workers' compensation and loss prevention. Aggressive claims handling and a strong litigation stance have assisted in maintaining an ' appropriate reserve for current and future claims payments. The City has minimized its reliance on its third party administrator by processing and administering small claims in-house, resulting in an estimated cost savings of more than $10,000 a year. In addition, various risk control xxxvii December 21,2006 , To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga techniques, including employee accident prevention training, employee wellness seminars and fairs, loss control techniques, loss control through safety programs and employee hazardous identification programs have been implemented to minimize accident-related losses and exposure by the public. The City of Rancho Cucamonga is self-funded for the first $250,000 of loss for general liability ' claims and purchases coverage for losses ranging from $250,000 to $10 million. Additionally, the City is self-funded for the first $100,000 of loss for workers' compensation claims and purchases coverage for losses ranging from$100,000 to $10 million. Financial Administration: The Finance Department is structured under the Administrative Services Department with the Administrative Services Director having responsibility for Personnel, Risk Management, Purchasing, Geographical Information Services, Management Information Services, and the City, Redevelopment Agency, and Fire District Treasury functions. The Finance Director is responsible for directing the accounting, financial planning and reporting, payroll, budget analysis, budget preparation, budget implementation and management, business licensing, and cash management functions for the City,Redevelopment Agency and Fire District. 1 V. AWARDS AND ACKNOWLEDGEMENTS The Government Finance Officers Association of the United States and Canada (GFOA) awarded I a Certificate of Achievement for Excellence in Financial Reporting to the City of Rancho Cucamonga for its comprehensive annual financial report (CAFR) for the fiscal year ended June 30, 2005. The Certificate of Achievement is a prestigious national award recognizing conformance with the highest standards for preparation of state and local government financial reports. In order to be awarded a Certificate of Achievement, a government unit must publish an easily readable and efficiently organized comprehensive annual financial report. This report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. The City of Rancho Cucamonga has received a Certificate of Achievement for the last eighteen consecutive years. We believe that our current comprehensive annual report continues to meet the Certificate of Achievement Program's requirements, and we are submitting it to the GFOA to determine its eligibility for another certificate. The Finance Department applied for and received the California Society of Municipal Finance Officers' (CSMFO) Certificate of Award for Outstanding Financial Reporting (Certificate of Award) for its CAFR for the year ended June 30, 2005. The Certificate of Award is issued in recognition of meeting professional standards and criteria in reporting which reflect a high level of quality in the annual financial statements and in the underlying accounting system from which the reports were prepared. This is the sixteenth time the City has received this award. ' i xxxviii - 1 ' December 21,2006 To the Honorable Mayor,Members of the City Council and Citizens of the City of Rancho Cucamonga The preparation of this report could not have been accomplished without the efficient and dedicated service of the entire staff of the Finance Department and the administrative staff of the Administrative Services Department. We appreciate and would like to commend all the City departments who assisted and contributed material to this document. We also recognize and would like to acknowledge the Mayor and members of the City Council for their interest, dedication, and constant support in planning and conducting the financial operations of the City in a responsible and progressive manner. 1 Respectfully submitted, 1 ' dIILhAn is Lint Jack Lam, - CP Tamara L. Layne City Manager Finance Director 1 I 1 1 xxxix I I CITY OF RANCHO CUCAMONGA I CITY OFFICIALS JUNE 30,2006 I I CITY COUNCIL Name Term Expires I William J. Alexander Mayor 2006 , Diane Williams Mayor Pro-Tern 2006 Rex Guitierrez Council Member 2006 , L.Dennis Michael Council Member 2008 Sam Spagnolo Council Member 2008 ' ADMINISTRATION AND DEPARTMENT HEADS ' City Manager and Executive Director of the Rancho Cucamonga Redevelopment Agency Jack Lam I Deputy City Manager Pam Easter City and Redevelopment Agency Attorney James L. Markman , Treasurer(term expires 2008) James Frost City Clerk(term expires 2008) Debra Adams ' Administrative Services Director(retired September 2006) Lawrence I.Temple Animal Services Director Vacant t Building and Safety Official Trang Huynh Community Services Director Kevin McArdle ' City Engineer Joe O'Neil Finance Officer Tamara L. Layne ' Fire Chief Peter Bryan Library Director Deborah Clark Planning Director James Troyer ' Police Chief Pedro Ortiz Redevelopment Agency Director Linda Daniels ' xl I I ":2 e I s. a V e ' V g ° 0 I U Osi V h Y Q I O O w e L.) \ u E U 4 X p X I p `° ou O .� U ' d y e o O O a t v 3° Z vo 4-7o ,d tt I - V t °e zu to m I U te TI d L. - a _ y Q `o I obi U ; y u G d I Eh e I xli 1 I Certificate of 1 Achievement for Excellence 1 in Financial 1 Reporting • Presented to City of Rancho Cucamonga 1 California 1 For its Comprehensive Annual Financial Report for the Fiscal Year Ended June 30, 2005 1 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports(CAFRs)achieve the highest standards in government accounting and financial reporting. elif /317 amm I cottons E President >os sasr. e aRw Executive Director 1 1 1 xlii 1 1ati LV 1 `i- V E V .rE E3 I a F 9. E C • W h • C O r V . .3 4 1 °.) o • v t • 0 • � Q d r 1 `�`� N o n 0 •N o 3 y " •°- z leS• • • !, ci) 10 o Lam v erg rJ im CS r et 1 UJ U • • n e ..• N C w •� ) u bas.) Ca • !� v y r�r� `` o y . Z i V c o r s M.ic , • K w• � . �v I U t z pi; y 3 = V 1-2,a li V Ikea 1 Z w w UN . A 64 'CO v a,&� "ip,; l I r,'i �,; I . . • • . fell . 1 II I xliii 1 1 1 ' City of Rancho Cucamonga Comprehensive Annual Financial Report ' June 30, 2006 Financial Section i 1 1 1 1 Brandon W.Burrows • Donald L.Parker SMichael K.Chu David el Hale nghard Professional i °"D s e LLP Richard K.Kikuchi ICertified Public Accountants Retired Robert C.Lance 1910.1994 ' Richard C.Soil Fred J.Lunghard,Jr. 192&1999 INDEPENDENT AUDITORS' REPORT ' To the Honorable Mayor and Members of the City Council City of Rancho Cucamonga, California We have audited the accompanying financial statements of the governmental activities, the business-type activities,each major fund and the aggregate remaining fund information of the City of Rancho Cucamonga, California, as of and for the year ended June 30,2006,which collectively comprise the City's basic financial statements as listed in the table of contents.These financial statements are the responsibility of the City of Rancho Cucamonga's management.Our responsibility Is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States.Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.An audit includes examining,on a test basis,evidence supporting the amounts and disclosures in the financial statements.An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. In our opinion,the financial statements referred to above present fairly,in all material respects,the respective ' financial position of the governmental activities, the business-type activities, each major fund and the aggregate remaining fund information of the City of Rancho Cucamonga as of June 30, 2006, and the respective changes in financial position and cash flows where applicable thereof, and the respective budgetary comparison for the General Fund for the year then ended in conformity with accounting principles ' generally accepted in the United States of America. In accordance with Government Auditing Standards, we have also issued our report dated • September 14, 2006,on our consideration of the City of Rancho Cucamonga's Internal control over financial reporting and our tests of its compliance with certain laws,regulations,contracts,grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing and not to provide an opinion on the internal control t over financial reporting or on compliance.That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. The management's discussion and analysis and the budgetary comparisons are not required parts of the ' basic financial statements but are supplementary information required by the Governmental Accounting Standards Board. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary information. However,we did not audit the information and express no opinion on it. • 1 1 ' 75 YEARS r u v, 19929\-�jnn_2004 ' 0! Exc¢P.a me 203 N.Brea Blvd..Suite 203• Brea,CA 92821-4056• (714)672-0022• Fax(714)672-0331• www.lslcpas.com Lance I Soil s Lunghard LLP CERTIFIED PUBLIC ACCOUNTANTS To the Honorable Mayor and Members of the City Council City of Rancho Cucamonga, California Our audit was conducted for the purpose of forming an opinion on the basic financial statements taken as a whole.The supplemental schedules listed in the accompanying table of contents are presented for purposes of additional analysis and are not a required part of the basic financial statements of the City of Rancho Cucamonga.Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly presented in all material respects in relation to the basic financial statements taken as a whole. The scope of our audit did not include the supplemental statistical schedules listed in the table of contents and we do not express an opinion on them. refitei, .441 r-074/441 September 14, 2006 t 1 I 1 1 1 1 1 2 1 ' CITY OF RANCHO CUCAMONGA MANAGEMENT'S DISCUSSION AND ANALYSIS As management of the City of Rancho Cucamonga ("City"), we offer readers of the City's financial statements this narrative overview and analysis of the financial activities of the City for the fiscal year ended June 30, 2006. Since the Management's Discussion and Analysis (MD&A) is designed to focus on the current year's activities, resulting changes and currently known facts, we encourage the readers to consider the information presented here in conjunction with additional information furnished in the Letter of Transmittal and the accompanying basic financial statements. This is the fourth consecutive year that the City has issued financial statements pursuant to Statement No. 34 of the Governmental Accounting Standards Board (GASB 34). Comparative data on the government-wide financial statements are only presented in the MD&A. ' Overview of the Financial Statements The City is required to present its financial statements in accordance with Generally Accepted Accounting Principles (GAAP), which includes complying with the Governmental Accounting Standards Board ' (GASB) pronouncements. In 2003, the City was required to implement GASB Statement No. 34 (GASB 34) which required the City to add new financial reports with a new format to the existing published Comprehensive Annual Financial Report (CAFR). The new financial reporting format includes ' the government-wide financial statements and the original reporting format which is the Fund financial statements. These two statements combined with the notes-to the.financial statements comprise the City's basis financial statements. This discussion and analysis is intended to serve as an introduction to the City's basic financial statements. This report also contains certain supplementary information. ' Government-wide Financial Statements ' The government-wide financial statements include the City and its component units. The City's component units are the Rancho Cucamonga Redevelopment Agency, the Rancho Cucamonga Public Improvement Corporation, the Rancho Cucamonga Fire Protection District, the Rancho Cucamonga Library, and the Rancho Cucamonga Public Financing Authority. Although legally separate, these entities ' function for all practical purposes as departments of the City and therefore have been blended as part of the primary government. ' These statements are designed to provide information about the activities of the City as a whole and present a longer-term view of the City's finances. This longer-term view is intended to illustrate the City's ability to continue functioning as a viable entity well beyond the next fiscal year's operations. The statements are prepared using the accrual basis of accounting, which is similar to the accounting used by ' most private sector companies. All of the current year's revenues and expenses are taken into account regardless of when cash is received or paid. Additionally, these statements reflect the capitalization and depreciation of infrastructure and other capital assets (e.g., buildings, vehicles, furniture and fixtures, etc.) as well as the recognition of various long-term liabilities (e.g., bonds payable, accrued employee benefits, claims and judgments payable, etc.). The government-wide financial statements can be found on pages 18 through 19 of this report. ' The statement of net assets presents information on all of the City's assets and liabilities, with the excess of assets over liabilities reported as net assets. This statement includes changes in capitalized and ' depreciated capital assets. Over time, increases or decreases in the net assets may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. The statement of activities presents information showing how the City's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are t 3 reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave). The government-wide financial statements distinguish functions of the City that are principally supported by taxes, intergovernmental and use of money and property revenues (governmental activities)from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the City include general government, public safety, public safety-fire protection, engineering and public works, community development, and community services. The City's business-type activities include the Sports Complex and Municipal Utility operations. Both the governmental activities and the business-type activities are presented on the accrual basis of accounting, a basis of accounting that differs from the modified accrual basis of accounting used in presenting governmental fund financial statements. The accrual basis of accounting considers money available when earned and considers money spent when a liability is incurred. The accrual basis of accounting focuses on measuring economic resources that are available to the City regardless of timing of the availability of those resources. The modified accrual basis of accounting considers money available when it is collectible within the current period or soon enough thereafter (60 days after the end of the current fiscal period) to pay liabilities of the current period. Expenses are recorded when a liability is incurred. Debt service, claims and judgments, and accrued employee leave benefits are not recorded as liabilities, they are expensed at the time a payment is due. Note 1.c. of the Notes to the Financial Statements fully describes each basis of accounting. Proprietary funds, discussed below, also follow the accrual basis of accounting. Fund Financial Statements ' The City, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. The fund financial statements provide detailed information about the most significant funds and other funds — not the City as a whole. Some funds are required by state law and by bond covenants. However, management has established other funds to help it control and manage money for particular purposes or to show that it is meeting legal responsibilities for using certain taxes, grants, and other resources. All of the funds of the City can be divided into three categories: governmental funds, proprietary funds, and fiduciary funds. Governmental funds. Most of the City's basic services are reported in governmental funds, which focus on how money flows in and out of those funds and the balances left at year-end that are available for spending. These funds are reported using an accounting method called modified accrual accounting, which measures cash and all other financial assets that can readily be converted to cash. The governmental fund financial statements provide a detailed short-term view of the City's general government operations and the basic services it provides. Governmental fund information helps determine whether there are more or fewer financial resources that can be spent in the near future to finance the City's programs. The differences between the results in the governmental fund financial statements and those in the government-wide financial statements are explained in a reconciliation following each governmental fund financial statement. The City maintains 83 individual governmental funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balances for the General Fund, the Redevelopment Agency Capital Project Fund, and the Redevelopment Agency Debt Service Fund, all of which are considered to be major funds. Data for the other 80 governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these non-major governmental funds is provided in the form of combining statements and can be found on pages 67 through 109 in this report. 4 1 The City adopts an annual appropriated budget for its general fund. A budgetary comparison statement has been provided to demonstrate compliance with this budget. This comparison can be found on • page 25 of this report. The basic governmental fund financial statements can be found on pages 21 through 29 of this report. Proprietary funds. When the City charges customers fees to cover the cost of the services it provides, these services are generally reported in proprietary funds. The City maintains two different types of proprietary funds: enterprise funds and internal service funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for its Sports Complex and Municipal Utility operations. Internal service funds are an accounting device used to accumulate and allocate costs internally among the City's various functions. The City uses an internal service fund to account for vehicle/equipment replacement and data processing equipment/technology replacement. Because these services predominantly benefit governmental rather than business-type activities, this fund type has been included within governmental activities in the government-wide financial statements. Internal service funds are presented as proprietary funds because both enterprise and internal service funds follow the accrual basis of accounting. Proprietary funds provide the same type of information as the government-wide financial statements (business-type activities), only in more detail. The proprietary fund financial statements provide separate information for the Sports Complex and Municipal Utility operations. All internal service funds are also ' combined into a single, aggregated presentation in the proprietary fund financial statements. Individual fund data for the internal service funds is provided in the form of combining statements and can be found on pages 167 through 169 in this report. 1 The basic proprietary fund financial statements can be found on pages 26 through 28 of this report. Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside ' the government. In these cases, the City has a fiduciary responsibility and is acting as a trustee. Fiduciary funds are not reflected in the government-wide financial statements because the resources of these funds are not available to support the City's own programs. The accounting used for Fiduciary funds is much like that used for proprietary funds. The City's fiduciary activities are reported in a separate Statement of Fiduciary Net Assets on page 29 of this report. The fiduciary fund type that the City maintains is an agency fund. An agency fund is a fund used to ' account for assets held by the City as trustee or agent for individuals, private organizations, or other governmental units, and/or other funds. Individual fund data for each of these agency funds is provided in the form of combining statements be found on pages 171-176 of this report. Notes to the Financial Statements The notes provide additional information that is essential to a full understanding of the data provided in ' the government-wide and fund financial statements. The notes to the financial statements begin on page 30 of this report. Government-wide Financial Analysis Our analysis focuses on the City's net assets (Table 1) and the changes in net assets (Table 2) as a 1 result of the City's activities. Comparative total data for the prior year has been presented. An analysis of the significant increases/decreases from the prior year is provided after each table. 1 1 5 1 I TABLE 1 NET ASSETS (IN THOUSANDS) As of June 30,2006 I Govemmental Business-Type Activities Activities Total I2006 2005 2006 2005 2006 2005 Current and other assets $ 526,440 $ 533,071 $ 3,524 $ 3,535 $ 529,964 $ 536,606 ICapital assets 559,388 487,140 27,334 28,184 586,722 515,324 TOTAL ASSETS 1,085,828 1,020,211 30,858 31,719 1,116,686 1,051,930 , Long-term liabilities outstanding 341,134 343,123 - - 341,134 343,123 I Other liabilities 17,124 45,024 300 619 17,424 45,643 TOTAL UABIUIIES 358,258 388,147 300 619 358,558 388,766 Net assets: I Invested in capital assets, net of related debt 252,179 173,947 27,334 28,184 279,513 202,131 , Restricted 375,758 376,096 256 - 376,014 376,096 Unrestricted 99,633 82,021 2,968 2,916 102,601 84,937 TOTAL NET ASSETS $ 727,570 $ 632,064 $ 30,558 $ 31,100 $ 758,128 $ 663,164 I Net assets (the difference between a government's assets and its liabilities) may serve over time as a ' useful indicator of a government's financial position. In the case of the City, total assets exceeded total liabilities by $758,128,586 at the close of the most recent fiscal year. This year, both the governmental , and the business-type activities ended the year with an excess of assets over liabilities. The underlying causes for these results will be discussed in the following sections for both governmental and business- type activities. The government's total net assets increased by $94,964,641, or 14%, during the current fiscal year, I reflecting growth in the governmental activities of $95,506,213 ($95,796,598 from the change in net assets and ($290,385) due to a restatement of net assets) and a decrease in business-type activities of I$541,572.The following is an explanation of the major changes: • Capital assets (e.g., infrastructure and other capital assets such as buildings, vehicles, furniture and fixtures, etc.) increased by $71,398,000, net of accumulated depreciation. The increase in ' capital assets is due to infrastructure and capital construction projects such as the Victoria Gardens Cultural Center, the Victoria Gardens parking structures, the police department expansion, Fire Station 173, and the City Hall retrofit being completed in the 2005/06 fiscal year. ' Infrastructure also had major increases in the City's road and storm drain systems. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. I I 6 I • Current and other assets (e.g., cash and investments, receivables, prepaid costs, cash with fiscal agent, etc.) decreased by $6,641,603. This decrease is due to the combination of several factors: 1) a decrease in cash and investments of approximately $30.0 million to pay for ' construction costs, including a $20 million payment to the County of San Bernardino Flood Control District for construction of regional flood control improvements providing benefit to the City of Rancho Cucamonga; 2) a decrease in accounts receivable of approximately $3.16 million ' due partially to $2.3 million of motor vehicle in-lieu being accrued in accounts receivable in the prior year compared to taxes receivable in the current year as a result of the State's Triple Flip . There was also a one-time VLF swap true-up payment of$602,013 accrued in the 2004-05 fiscal year that was not in this fiscal year; 3) an increase of approximately $3.5 million in taxes receivable due to the above mentioned $2.3 million motor vehicle in-lieu payment now being included with property taxes combined with growth in the City; 4) an increase in notes and loans receivable of approximately $17.5 million due to four new loan agreements entered into by the ' Redevelopment Agency to provide funding for affordable housing; 5)a decrease of approximately $1.1 million in prepaid costs due to not prepaying the County of San Bernardino's Sheriff's contract payment in the current year; and 6)an increase of approximately$8.3 million in land held for resale by the Redevelopment Agency. ' • Long-term debt outstanding (e.g., bonds, Agency loans, claims and judgments payable, and accrued employee benefits) decreased by $1,989,031. The City accrued $1,723,667 in claims ' and judgments payable ($124,454 of which related to claims incurred but not yet reported) and $968,845 for accrued employee benefits. Payouts of claims and judgments in the amount of $325,782, employee benefits in the amount of$572,711, principal payments on outstanding debt in the amount of $7,658,097 were made for a total amount of $8,556,590. A prior period ' adjustment in the amount of$4,045,631 ($2,811,371 related to the City and $1,046,454 related to the District) has been reflected in the financial statements to include amounts charged to current liabilities in the prior year for claims and judgments and accrued employee leave benefits as long- , term liabilities in the current fiscal year. The remaining change of$170,584 is due to a change in unamortized bond premiums. • Other liabilities (e.g., accounts payable, accrued interest, due to other governments, etc.) ' decreased by $28,219,217. The City had an outstanding liability of$20,000,000 to the County of San Bernardino at the end of the prior fiscal year for certain flood control improvements providing benefit to the City, as discussed above. The liability was paid in the current fiscal year. The remaining decrease is due to numerous construction projects being completed in the current fiscal year resulting in a lesser amount being accrued in accounts payable for the current year. 1 7 I TABLE 2 ' CHANGES IN NET ASSETS (IN THOUSANDS) Year ended June 30,2006 ' Governmental Business-Type Activities Activity Total ' 2006 2005 2006 2005 2006 2005 REVENUES: Program Revenues: Charges for services $ 18,702 $ 15,022 $ 6,350 $ 4,178 $ 25,052 $ 19,200 ' Operating grants and contributions 9,337 9,209 - - 9,337 9,209 Capital grants and - - ' contributions 34,409 8,314 - - 34,409 8,314 General Revenues: - - Taxes: - - ' Property taxes 118,431 87,091 - - 118,431 87,091 Admissions taxes - - 9 20 9 20 Transient occupancy taxes 629 191 - - 629 191 Sales taxes 27,379 21,631 - - 27,379 21,631 ' Franchise Taxes 7,370 6,290 - - 7,370 6,290 Business licenses and - - building permits 3,890 4,836 - - 3,890 4,836 ' Intergovernmental 1,124 13,797 - - 1,124 13,797 Use of money and property 16,707 18,572 - - 16,707 18,572 Gain on sale of assets - 26 200 224 200 250 Other 4,810 3,807 14 - 4,824 3,807 ' Loss on disposition of - - capital assets (633) - - 11 (633) 11 TOTAL REVENUES 242,155 188,786 6,573 4,433 248,728 193,219 ' EXPENSES: General government 39,749 34,619 - - 39,749 34,619 ' Public safety 23,166 19,057 - - 23,166 19,057 Public safety-fire protection 20,172 17,002 - - 20,172 17,002 Engineering and public works 16,517 34,841 - 16,517 34,841 ' Community development 16,088 15,028 - - 16,088 15,028 Community services 9,279 7,806 - - 9,279 7,806 Interest on long term debt 20,829 20,376 - - 20,829 20,376 Sport complex - - 1,886 1,946 1,886 1,946 ' Municipal utility - - 5,787 2,481 5,787 2,481 TOTAL EXPENSES 145,800 148,729 7,673 4,427 153,473 153,156 INCREASE(DECREASE)IN NET ' ASSETS BEFORE TRANSFERS 96,355 40,057 (1,100) 6 95,255 40,063 TRANSFERS (558) (1,606) 558 1,606 - - ' INCREASE(DECREASE) IN NET ASSETS $ 95,797 $ 38,451 $ (542) $ 1,612 $ 95,255 $ 40,063 I I 8 1 I ' The above condensed statement of activities of the City's governmental and business-type operations for the period ended June 30, 2006 shows total net assets increasing by $95,255,026. Governmental activities increased the City of Rancho Cucamonga's net assets by $95,506,213 (net of a negative $290,385 restatement of net assets) and offset the $541,572 decrease in net assets as a result of business-type activities. Overall, the components of this change in net assets were an increase of $55,508,470 (28.7%)in revenues and an increase of$316,791 (< 1%) in expenses. In order of total dollar amount of change, the most significant changes in revenue were in the categories of property taxes, capital grants and contributions, motor vehicle in-lieu, sales taxes, and charges for services. ' • The increase in property taxes of $31,340,883 is due to two key factors: 1) a majority of Motor Vehicle in lieu revenue(approximately$11,414,996) is now being accounted for as property taxes ' starting in this fiscal year as a result of the State's Triple Flip and 2) general property taxes have increased due to the residential real estate market and new housing developments. Included in the growth in general property taxes is property tax increment revenue ($15,804,682 of the increase) which is received by the Redevelopment Agency and is restricted as to its use — 20% must pay for affordable housing and 80% must pay for debt service. The remaining growth in general property taxes ($4,121,205) relates to the Fire District and the City's General Fund. • The increase in capital grants and contributions of$26,094,615 is due to an increase in developer ' fees of $7.4 million to fund continuing and new infrastructure projects such as storm drains and road systems in the City. Community development received proceeds of $8.7 million for a Community Facilities District (CFD) bond that was issued in the current fiscal year to fund infrastructure improvements for a specific development in the City. $5.7 million was received for ' park development that reimbursed for projects such as Central Park. There was also money received in the current year in the amount of $1.8 million for street rehabilitation projects that will be started in the 2006/07 fiscal year. ' • The decrease in motor vehicle in-lieu of$12,673,549 is due to a majority of the revenue now being accounted for as property taxes due to the State's Triple Flip. • The increase in sales taxes of $5,747,787 is due to some companies in the City having a higher ' than anticipated volume of sales. • The increase in charges for services of$5,851,928 is due to a full year of the City's utility being in operation and a continued strong development activity within the City. ' The most significant changes in expenses were in engineering and public works, general government, public safety, and public safety—fire protection. • In the prior year, engineering and public works include a $20 million expenditure to the County of San Bernardino for certain flood control improvements providing benefit to the City, as discussed previously. ' • General government costs increased $5.1 million which illustrates the growth in City services that has occurred since the prior year. Growth in services include a full year's worth of facilities costs for Central Park and a partial year of facilities costs for the Cultural Center. Additionally, labor negotiations, increased fixed costs, and the backfilling of certain key positions also contributed to the increase in costs. • Public safety costs increased $4.1 million due to the backfilling of five sworn and six non-sworn ' positions and three new sworn positions; funding for the third year of a three-year contract with the County of San Bernardino Sheriff s Department; a full year's funding for the Victoria Gardens Public Safety Substation and a partial year of costs for the new Animal Care and Adoption Center. 1 9 I • Public safety — fire protection increased $3.2 million due to the funding of the staffing for a , two-person paramedic squad (six sworn staff total); a partial year of operations costs for the newly relocated Fire Station#173; labor negotiations; and fixed cost increases. The following presents the cost of each of the City's seven governmental activities—general government, I public safety, public safety — fire protection, engineering and public works, community development, community services, and interest on long-term debt. Revenue generated by these programs consists of ' charges for services, operating contributions and grants, and capital contributions and grants. Expenses consist of the total expenses for the governmental activities which include expenses unrelated to program revenues. The net cost of services (total cost less revenues generated by the activities) is the amount that was paid from general revenues. , Total Cost Net Cost , of Services of Services 2006 2005 2006 2005 General government $ 39,749 $ 34,619 $ (38,934) $ (32,313) ' Public safety 23,166 19,057 (21,155) (16,688) Public safety-fire protection 20,172 17,002 (19,978) (16,608) Engineering and public works 16,517 34,841 12,215 (14,242) , Community development 16,088 15,028 7,948 (11,978) Community services 9,279 7,806 (2,619) (3,978) Interest on long-term debt 20,829 20,376 (20,829) (20,376) Total $ 145,800 $ 148,729 $ (83,352) $ (116,183) I Financial Analysis of the Government's Funds I As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance- 111 related legal requirements. The following financial analysis is performed only for the governmental and proprietary funds. The fiduciary funds are excluded from this analysis as they do not represent resources available to the City. Governmental Funds. The focus of the City's governmental funds is to provide information on near-term inflows, outflows and balances of spendable resources. Such information is useful in assessing the City's financing requirements. In particular, designated and unreserved fund balance may serve as a useful ' measure of a government's net resources available for spending at the end of the fiscal year. On page 21 the governmental funds balance sheet is shown. The combined fund balance of $452,410,961 increased $17,402,098 or 4%. This total includes the general fund balance of ' $86,957,294, which increased by$9,996,307 from the prior year. The increase in the City's general fund balance is due to a fund balance restatement in the amount of $2,829,105 and the excess of revenues over expenditures in the amount of $7,167,202. The City's general fund balance has reserves of ' $13,927,950 of which $8,321,227 is for advances, $4,721,261 is for encumbrances, $20,000 is for deposits, $538,016 is for prepaid costs and $327,446 is for a radio system acquisition. Funds that are categorized as reserved are not available as spendable resources or they are legally segregated for a specific use. $73,029,344 has been designated in the general fund indicating the City Council's plans for ' the future usage of City resources, such as for general contingencies or for capital replacement, according to the following policies. I I 10 I These policies also ensure a prudent level of protection for the finances of the City in times of emergencies, revenue declines, and other unforeseen events. Certain designated funds enable the organization to operate in a business-like structure to address future liabilities while certain other ' designated funds help to support the City's credit rating which is also important to promote fiscal excellence. ' • Designated for changes in economic circumstances: The designation for changes in economic circumstances is the reserve that is often referred to by the general public when a reference is made as to the amount of a City's reserve. This is the "savings account" of non- recurring revenue that would be utilized should an economic downturn or an emergency occur, ' and it is one of the major factors that rating agencies consider when rating a city's fiscal health. • Designated for City facilities' capital repair. The City facilities' capital repair funding goal mirrors the industry standard of 15% of capital asset value. All capital repairs for all City facilities ' and buildings are funded independently of the General Fund, which only pays for routine annual operational maintenance. • Designated for self-insurance: This designation is currently fully funded with all current claims generally being paid from interest earnings on the fund. As such, the fund is basically self- funding. General liability claims, therefore, do not impact the General Fund, which only budgets for major loss insurance premiums. ' • Designated for working capital: The working capital designation is intended to provide sufficient liquidity for the City's day-to-day operations so that fluctuations in revenue receipts throughout the year will not disrupt the City's investment portfolio and avoids having to borrow for ' operations. The funding level for this reserve has been established by the City Council at 5% of the City's General Fund budget for the upcoming fiscal year. • Designated for long-term employee leave payouts: This designation sets aside funding for the long-term portion of future employee leave payouts such as sick leave, vacation, etc., and is separate from recurring personnel costs. • Designated for law enforcement. This designation represents Police Department fund balance ' used to facilitate unexpected equipment, facilities, or other unexpected law enforcement needs within the community. • Designated for contract development services: This designation is comprised of AB 1600 ' development fees that can only be used annually for development processing services and must be segregated to ensure compliance with AB 1600. • Designated for booking fees: This designation represents funds set aside to offset future ' anticipated cost increases in the fees that the County of San Bernardino charges the City for the booking of prisoners. Discussion of future changes in these fees are currently underway. • Designated for Sphere Of Influence and Multi-Species Habitat Plan: This designation ' provides funding to enable the City to meet our commitment for processing these two important programs in partnership with the County. Council actions have created the City's involvement with these two policy areas. • Designated for guaranteed investment contract. This designation represents funds that were invested in a Guaranteed Investment Contract(GIC) in order to generate an interest revenue flow to fund labor negotiations for two years while the City's budget stabilized. These funds are not ' available for withdrawal until FY 2008/09. • Designated for information technology: This designation is comprised of the net of Information Technology Fee revenues which are governed by AB1600 and the related expenditures to enhance technology for the Community Development departments. 11 • Designated for capital projects:This designation represents funds set aside by the City Council ' to complete specific capital projects. The General Fund has set aside partial funding for the future construction of Fire Station#177. • Designated for VLF backfill gap repayment This designation represents the unused portion of the VLF backfill gap repayment received from the State in the prior fiscal year. As this was a one- time revenue source, it will be utilized during FY 2006/07 for a one-time capital project. • Designated for general plan update: This designation is comprised of General Plan Update Fee revenues which are governed by AB1600. The revenues will be accumulated for the eventual funding of the next General Plan update for the City. The balance sheet presents two other major funds, the Redevelopment Agency capital project fund and ' the Redevelopment Agency debt service fund. The Redevelopment Agency's capital project fund has a fund balance of$200,051,286, which has decreased by$26,639,814 from the prior year. The decrease is mainly due to the finishing of major capital and infrastructure projects such as Central Park and the Victoria Gardens Cultural Center. The Redevelopment Agency's capital project fund balance has reserves of $73,431,907 of which $22,607,857 is for encumbrances, $30,592,436 is for advances, $11,060,488 is for land held for resale, $4,786,402 is for affordable housing pledges, $4,348,838 is for long-term loans receivable, $26,566 is for prepaid costs and $9,320 is for deposits. The Redevelopment Agency's capital project fund designates $126,619,379 for continuing projects related to affordable housing and the usage of bond proceeds. The Redevelopment Agency's debt services fund has a fund balance of$67,758,744, which has increased by$16,678,698 from the prior year. The increase is due to property tax increment increasing due to the growing real estate market. The Redevelopment Agency's debt service fund balance has reserves of $3,165,440 of which $1,877,119 is for encumbrances and $1,288,321 is for vehicle and equipment replacement. Neither of these funds has an unreserved/undesignated fund balance. The other governmental funds are what make up the remainder of the combined fund balance for all governmental funds. These funds consist of the City's 62 special revenue funds and the City's 18 capital project funds. These funds have a combined fund balance of $97,643,637, which has increased by $17,366,907 from the prior year. The increase is due to the City finishing major capital projects and receiving reimbursement from various funding sources. The other governmental funds have a reserved balance of $41,117,308 of which $8,392,834 is for encumbrances, $3,423,865 is for vehicle and equipment replacement, $28,815,382 is for capital projects, $150,000 is for radio system acquisition, $320,250 is for land acquisition, and $14,977 is for prepaid costs. The special revenue funds have a combined unreserved/undesignated fund balance of $53,959,047. The capital project funds have a combined unreserved/undesignated fund balance of $2,567,282. It should be noted that unreserved/undesignated fund balances in special revenue and capital project funds must be utilized for specific purposes and are not available for general City operations. Most such funds are accumulated over time until they are sufficient to pay for planned capital and infrastructure projects. Proprietary Funds. The City's proprietary funds provide the same type of information found in the government-wide financial statements but in greater detail. The City has two proprietary funds, the Sports Complex fund, which accounts for the activities of the Sports Complex, and the Municipal Utility fund, which accounts for the City's electric utility operations. Net assets for the proprietary funds are $30,558,318 of which $27,333,959 represents the amount I invested in capital assets and $256,615 represents the amount for public benefit. Unrestricted net assets amount to$2,967,744, which will be used to cover future operations and activities. General Fund Budgetary Highlights During the year, with the recommendation from the City's staff, the City Council may revise the City's budget several times. Adjustments were made periodically as the City's staff requested additional appropriations to cover the cost of projects that either had change orders for additional work, or the 12 estimated cost at the beginning of the project was underestimated. Adjustments were also made through increases or decreases to budgets in order to maintain the current level of services. For example, increased development activity may result in the need to utilize contract inspector services to handle the additional workload. All amendments that either increase or decrease appropriations are approved by the City Council. ' For the City's General Fund, actual ending revenues of$67,551,592 were $2,921,652 more than the final budgeted revenues of $64,629,940. Positive variances were in sales taxes, franchise fees, and development fee revenue. • Sales tax exceeded projections by $1,831,419 due to certain companies performing better than anticipated, especially during their start up year, and new retail outlets locating in Rancho Cucamonga. Additionally, County pool revenue was higher than the prior year due to Rancho Cucamonga growing faster than other cities. • Several fee increases in the gas and electric utilities over the fiscal year combined with a local power plant being brought back on line during the year resulted in franchise fee revenue being $324,749 higher than the final budget. • Development fee revenue (e.g., Building and Safety, Engineering, and Planning fees), including special services fees, netted $557,965 more than anticipated. These revenues are utilized during ' the year for contract services. The General Fund's actual ending expenditures of $60,384,390 were $7,740,396 less than the final ' budget of $68,124,786. However, the majority of this variance is due to encumbrances outstanding at fiscal year end and savings in personnel overhead, management information services, facilities maintenance, and street and park maintenance. Explanations for the variance follow. • Outstanding encumbrances at the fiscal year end were $4,721,261. Encumbrances represent the estimated amount of the expenditure ultimately to result if unperformed contracts in progress at year-end are completed. • Personnel overhead had savings of $589,616 partially due to smaller increases in medical insurance and workers compensation insurance than originally anticipated and also due to vacancies, retirements, and delayed recruitments for difficult to fill positions. ' • Savings in management information services in the amount of $200,352 were due to significant software purchases being deferred to the next fiscal year and a reduction in the need for contract computer maintenance services due to newer computers being installed during the year. • Facilities maintenance had savings in personnel due to vacancies that occurred during the year and savings in contract services due to the shifting of priority projects to other funding sources. These savings totaled $329,256. ' • Street and park maintenance had $452,453 in savings due to the cost of some projects that occurred during the fiscal year coming in under budget and the deferral of certain projects to the subsequent fiscal year. Capital Assets and Debt Administration Capital Assets As stated in the Overview of the Financial Statements, the new financial statement format required by GASB 34 reflects the capitalization and depreciation of infrastructure and other capital assets (e.g., buildings, vehicles,furniture and fixtures, etc.). I 13 I At the end of the fiscal year, the City had $586,722,672 invested in a broad range of capital assets , (see Table 3). This amount represents a net increase (including additions and deductions) of • $71,398,000. TABLE 3 I CAPITAL ASSETS AT YEAR-END (NET OF DEPRECIATION,IN THOUSANDS) t For the year ended June 30,2006 I Governmental Business-Type Activities Activities Total , 2006 2005 2006 2005 2006 2005 Land $ 75,904 $ 75,231 $ 5,451 $ 5,451 $ 81,355 $ 80,682 Construction in progress 39,752 18,928 - - 39,752 18,928 Buildings and improvements 78,095 74,441 20,922 21,754 - 99,017 96,195 Equipment and vehicles 9,143 6,576 960 977 10,103 7,553 Furniture and fixtures 754 761 1 2 755 763 , Infrastructure .355,741 311,203 - - 355,741 311,203 TOTALS $ 559,389 $ 487,140 $ 27,334 $ 28,184 $ 586,723 $ 515,324 ' The most significant changes in capital assets for governmental activities are in the following categories ' (in order of dollar amount): Infrastructure, construction in progress, Buildings and improvements, and equipment and vehicles. ' • Infrastructure increased by $44,497,331 over the prior year. The City's road and storm drain systems experienced growth of $44,216,141. This is attributed to the City's growth and • ' development in accordance with the City's general plan. • The net increase in construction in progress of$20,824,356 includes an increase of$25,417,253 for the continuing construction of the Victoria Gardens Cultural Center. Construction in progress ' also decreased by$4,592,897 as Fire Station #173 finished construction and became capitalized as a building. • Buildings and improvements and equipment and vehicles have a combined increase of $6,220,077, of which $4,592,897 is Fire Station #173 being capitalized as a building. The ' remainder of the increase is attributed to the growth of the City and the services it provides. Debt Administration ' At year-end, the City's governmental activities had $341,133,765 in bonds (RDA), loans (RDA), claims and judgments payable, and accrued employee benefits verses $343,122,796 in the prior year, a ' decrease of$1,989,031. I I 14 I I • The decrease of$6,130,000 in the tax allocation bonds is due to the payment of the annual debt- . service payments. I • The increase of$1,585,691 in claims and judgments payable is due to an increase in the incurred but not reported claims for the fiscal year increasing. • The increase of $4,253,959 in accrued employee benefits is due to a restatement of the prior I year's balance of$3,857,825 On the prior year this was reported as a current liability and has now been moved to a long-term liability due to a more strict interpretation of GASB 34 by the Government Finance Officers Association (GFOA) than had been applied in the past) and an increase in the number of employees in the City. TABLE 4 IOUTSTANDING DEBT, AT YEAR END (IN THOUSANDS) • 1 For the year ended June 30, 2006 Governmental Business-Type ' Activities Activities Total 2006 2005 2006 2005 2006 2005 I Tax Allocation Bonds $ 311,005 $ 317,135 $ - $ - $ 311,005 $ 317,135 Developer Loans 17,212 18,741 17 212 18 741 Claims and Judgments Payable 2,069 483 - - 2,069 483 Accrued Employee Benefits 6,354 2,100 6,354 2,100 IUnamortized Bond Premium 4,494 4,664 - - 4,494 4,664 TOTALS $ 341,134 $ 343,123 $ - $ - $ 341,134 $ 343,123 I I Standard & Poor's Corporation and Moody's Investors Service have assigned, respectively, the tax allocation bonds ratings of"AAA"and "Aaa" upon their issuance. Economic Factors and Next Year's Budgets IIn preparing the budget for fiscal year 2006/07, management looked at the following economic factors: I .' The local economy in the Inland Empire continuing to show growth. • The State experiencing a slow period of recovery from past budget deficits. • Continued population growth in the City as the city has not yet reached build out,. The Operating Budget for fiscal year 2006/07 is a well-balanced budget that reflects the City's commitment to address growth and provide the highest level of service to the community within the City's I financial constraints and is consistent with the City Council's goals and objectives. The General Fund budget for fiscal year 2006/07 is $63,771,770 and includes a full year of funding for the City's newly enhanced Animal Care and Services program, funding for labor contracts, funding for an increase in the I police contract, funding for new public safety positions, funding for a full year of Cultural Center operations, and the backfilling of the most relevant needed positions in all departments. • I 15 I Questions or requests for information regarding the City of Rancho Cucamonga's fiscal year 2006/07 budget should be sent to the Finance Department at the address below. Contacting the City's Financial Management t This financial report is designed to provide our citizens, taxpayers, customers, investors, and creditors with a general overview of the City of Rancho Cucamonga's finances and to show the City's accountability for the money it receives. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Finance Department at the City of Rancho Cucamonga, 10500 Civic Center Drive, Rancho Cucamonga, CA 91730. I 1 1 1 1 1 I 1 1 1 1 16 ICITY OF RANCHO CUCAMONGA I STATEMENT OF NET ASSETS JUNE 30,2006 IPrimary Government Governmental Business-Type Activities Activities Total I Assets: Cash and investments $ 420,190,403 $ 2,409,628 $ 422,600,031 Receivables: I Accounts 1,772,037 10,760,906 1,141,120 2,913,157 Taxes 10,760,906 Notes and loans 42,679,606 - 42,679,606 I Accrued interest 860,492 384 860,876 Deferred loans 326,438 326,438 Grants 2,488,944 - 2,466,944 Internal balances 27,242 (27,242) I Prepaid costs 579,561 - 579,561 Deferred charges 3,795,512 - 3,795,512 Deposits 29,320 - 29,320 I Land held for resale 11,060,488 - 11,060,488 Restricted assets: Cash with fiscal agent 31,868,709 - 31,868,709 I Capital assets not being depreciated 115,656,197 5,451,015 121,107,212 Capital assets,net of depreciation 443,732,516 21,882,944 465,615,460 Total Assets 1,085,828,371 30,857,849 1,116,686,220 ILiabilities: Accounts payable 10,209,301 286,405 10,495,706 I Accrued liabilities 942,945 12,648 955,593 Accrued interest 5,158,141 - 5,158,141 Unearned revenue 439,949 - 439,949 I Deposits payable 46,953 478 47,431 Due to other governments 327,049 - 327,049 Noncurrent liabilities: Due within one year 8,417,882 - 8,417,882 IDue in more than one year 332,715,883 - 332,715,883 Total Liabilities 358,258,103 299,531 358,557,634 INet Assets: Invested in capital assets net of related debt 252,179,225 27,333,959 279,513,184 Restricted for: I Community development projects 44,020,745 - 44,020,745 Community services 8,748,975 - 6,748,975 Public safety 10,611,830 - 10,611,830 I Capital projects 241,241,472 71,134,983 241,241,472 Debt service 71,134,983 Public benefit- Municipal Utility - 256,615 256,615 IUnrestricted 99,633,038 2,967,744 102,600,782 Total Net Assets $ 727,570,268 $ 30,558,318 $ 758,128,586 See Notes to Financial Statements 17 I CITY OF RANCHO CUCAMONGA ' STATEMENT OF ACTIVITIES ' YEAR ENDED JUNE 30,2006 Program Revenues ' Operating Capital Charges for Contributions Contributions ' Functions/Programs Expenses Services and Grants and Grants Primary Government: • Governmental Activities: , General government $ 39,749,329 $ 612,988 $ 202,504 $ - Public safety 23,166,100 950,340 888,210 171,862 Public safety-fire protection 20,172,151 157,346 36,656 - ' Engineering and public works 16,517,301 5,470,174 5,566,947 17,695,656 Community development 16,087,789 7,954,213 1,669,767 14,411,600 Community services 9,279,222 3,557,333 973,215 2,129,764 Interest on long-term debt 20,828,531 - - - I Total Governmental Activities 145,800,423 18,702,394 9,337,299 34,408,882 Business-Type Activities: ' Sports complex 1,885,693 554,609 - - Municipal utility 5,787,358 5,795,469 - - Total Business-Type Activities 7,673,051 6,350,078 - - , Total Primary Government $ 153,473,474 $ 25,052,472 $ 9,337,299 $ 34,408,882 ' General Revenues: Taxes: Property taxes, levied for general purpose , • Admission taxes Transient occupancy taxes Sales taxes ' Franchise taxes Business licenses and permits Intergovernmental, unrestricted: Motor vehicle in lieu , Use of money and property Other Loss on disposition of capital assets Transfers Total General Revenues and Transfers Change in Net Assets , Net Assets at Beginning of Year Restatement of Net Assets . Net Assets at End of Year , I See Notes to Financial Statements 18 ICITY OF RANCHO CUCAMONGA ISTATEMENT OF ACTIVITIES YEAR ENDED JUNE 30, 2006 I Net(Expenses)Revenues and Changes in Net Assets Primary Government I Governmental Business-Type Activities Activities Total I $ (38,933,837) $ - $ (38,933,837) (21,155,688) - (21,155,688) I (19,978,149) - (19,978,149) 12,215,476 12,215,476 7,947,791 7,947,791 (2,618,910) - (2,618,910) I (20,828,531) - (20,828,531) (83,351,848) - (83,351,848) ' - (1,331,084) (1,331,084) - 8,111 8,111 1 - (1,322,973) (1,322,973) ' (83,351,848) (1,322,973) (84,674,821) I 118,431,406 118,431,406 9,550 9,550 628,991 - 628,991 I 27,378,940 - 27,378,940 7,369,620 7,369,620 3,890,016 3,890,016 I 1,123,537 - 1,123,537 16,707,137 200,335 16,907,472 4,809,611 13,626 4,823,237 (632,922) - (632,922) 1 (557,890) 557,890 179,148,446 781,401 179,929,847 I95,796,598 (541,572) 95,255,026 632,064,055 31,099,890 663,163,945 I (290,385) (290,385) ' $ 727,570,268 $ 30,558,318 $ 758,128,586 ' See Notes to Financial Statements 19 I CITY OF RANCHO CUCAMONGA - ' BALANCE SHEET GOVERNMENTAL FUNDS , JUNE 30,2006 Capital Projects Debt Service Fund Fund Other Total Redevelopment Redevelopment Governmental Governmental General Agency Agency Funds Funds Assets: Pooled cash and investments $ 71,228,769 $ 175,148.242 $ 58,436,551 3 95,654,445 $ 400,468,007 Receivables: , Accounts 675,775 83,317 - 971,541 1,730,633 Taxes 6,638,894 659,769 2.548.534 913,709 10,760,906 Notes and loans - 42,679,606 - - 42,679,606 Interest 134,599 392,868 30,139 258,799 816,405 Deferred loans - - - 326,438 326,438 , Grants 10,000 - - 2,478,944 2,488,944 Prepaid costs • 538,016 26,568 - 14,977 579,561 Deposits 20,000 9,320 - - 29,320 Due from other funds 4,907,662 48,267 - 400,630 5,356,559 Advances to other funds 43,673247 4,348,838 - - 48,022,085 ' Land held for resale - 11,060,488 - - 11,060,488 Restricted assets: Cash and investments with fiscal agents - 12,967.490 7,790,886 11,110,333 31,868,709 Total Assets $ 127,826,962 $ 247,424,773 $ 68,806,110 $ 112,129,816 $ 556,187,661 ' Liabilities and Fund Balances: Liabilities: Accounts payable $ 2,439380 $ 3,599,610 $ 458755 $ 3,521,674 $ 10,019,419 Accrued liabilities 270,914 - - 672,031 942,945 ' Due to other funds - 400,630 588,000 4,326,525 5,315,155 e Defend revenues 38,116,285 - - 546,860 38,663145 Unearned revenue - - 439,949 439,949 Advances from other funds - 43,373,247 - 4,6481338 48,022,085 Deposits payable 43,089 - - 3,864 46,953 ' Due to other governments - - 611 326,438 327,049 Total Liabilities 40,869,668 47,373,487 1,047,366 14,486,179 103776,700 Fund Balances: Reserved: ' Reserved for encumbrances $ 4,721,261 $ 22.607.857 $ 1,877,119 $ 8,392,834 $ 37,599,071 Reserved for deposits 20,000 9,320 - - 29320 Reserved for long-term loans receivable - 4348,838 • - 4,348,838 Reserved for capital projects - - - 28.815,382 28,815,382 Reserved for prepaid costs 538,016 26,566 - 14,977 579,559 , Reserved for land held for mode - 11,060,488 - - 11,060,488 Reserved for land acquisition - - - 320250 320,250 Reserved for radio system acquisition 327,446 - - 150,000 477,446 Reserved for vehicle and equipment replacement - - 1,288,321 3,423,865 4,712,186 ' Reserved for advances to other funds 8,321,227 30,592,436 - 38,913,663 Reserved for Southern California Housing Pledge - 4,786,402 - - 4,786,402 Unreserved: Unreserved,reported In nonmajor: Special revenue funds - - 53,959,047 53,959,047 , Capital projects funds • - - 2,567.282 2567,282 Designated for self-insurance 7,534,399 - - - 7,534,399 Designated for long-term employee leave pay outs 4,432,390 - - - 4.432.390 Designated for construction and demolition waste program 47,694 - - - 47.694 Designated for booking fees 1,105,400 - - - 1,105,400 ' Designated for City facilities'capital repairs 17,211,830 - - ' 17,211,830 Designated for changes N mts economic drcusnces 14,109,429 - - - 14,109,429 Designated for law enforcement 3,901,955 - - - 3,901,955 Designated for contract development services 1,709,908 - - 1,709,908 Designated for sphere of Influence issues 350,000 - - - 350,000 ' Designated for multi-spaders habitat plan 200,000 - - - 200,000 Designated for guaranteed investment contract 15,600,000 - - - 15,600,000 Designated for information technology 545,742 - - - 545,742 Designated for VLF backNl gap repayment 1,167,058 - - - 1,167.058 Designated for working capital 3,188,589 - - 3,188,589 ' • Designated for capital projects 1,550,000 - - - 1,550,000 Designated for general plan update 374,950 - - • 374,950 Designated for continuing projects - 126,619,379 - - 126,619,379 Designated for debt service - - 64,593,304 - 64,593,304 ' Total Fund Balances 86,957,294 200,051,286 67,758,744 97,643,637 452,410,961 Total Liabilities and Fund Balances $ 127,826,962 $ 247,424,773 $ 68,806,110 $ 112,129,816 $ 556,187,661 I• See Notes to Financial Statements 20 I ICITY OF RANCHO CUCAMONGA I GOVERNMENTAL FUNDS RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS TO THE STATEMENT OF NET ASSETS JUNE 30,2006 Fund balances of governmental funds $ 452,410,961 Amounts reported for governmental activities in the statement of net assets are different because: Capital assets, net of depreciation, have not been included as financial resources in governmental fund activity. 557,789,364 Long-term debts and the long-term portion of accrued employee benefits have not been included in the governmental fund activity: ' Long-term debt (330,984,250) Accrued employee benefits (6,354,003) Accrued interest payable for the current portion of interest due on tax allocation bonds and loans payable has not been reported in the governmental funds. (5,158,141) Some of the City's revenues will be collected after year-end, but are not available soon enough to pay for the current period's expenditures and, therefore, are reported as deferred revenues in the governmental funds. 3,311,125 Interest earned on the advance to the Redevelopment Agency has been deferred in the governmental funds. 35,352,020 Internal service funds are used by management to charge the costs of certain activities, such as equipment management,to individual funds. The assets and ' liabilities of the internal service funds must be added to the statement of net assets. 21,203,192 Net assets of governmental activities $ 727,570,268 I See Notes to Financial Statements 21 CITY OF RANCHO CUCAMONGA I STATEMENT OF REVENUES, ' EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS •YEAR ENDED JUNE 30,2006 Capital Projects Debt Service ' Fund Fund Other Total Redevelopment Redevelopment Governmental Governmental General Agency Agency Funds Funds I Revenues: Taxes $ 50,125,975 $ 14,352,038 $ 57,408,153 $ 30,615,917 $ 152,502,083 Licenses and permits 3,877,755 - - 12,261 3,890,016 Intergovernmental 1,299,270 - - 19,230,943 20,530,213 , Charges for services 5,859,379 - - 4,785,641 10,645,020 Use of money and property 2,285,376 6,788,500 427,462 2,286,080 11,787,418 Fines and forfeitures 870,281 - - 996 871,277 Developer participation - - - 23,834,796 23,834,796 ' Proceeds from non-committal debt - - - 8,672,914 8,672,914 Contributions 2,706 - - 481,906 484,612 • Miscellaneous 3,128,290 469,654 2,323 1,389,181 4,989,448 Total Revenues 67,449,032 21,610,192 57,837,938 91,310,635 238,207,797 I Expenditures: Current: Gene ' General government 14,145,919 6,642,021 14,062,010 2,454,643 37,304,593 Public safety 22,141,423 - - 550,814 22,692,237 Public safety-fire protection - - - 18,964,948 18,964,948 Engineering and public works 8,519,008 - - - 6,200,427 14,719,435 ' Community development 6,551,594 4,228 - 8,699,144 15,254,966 Community services 3,637,202 - - 5,262,844 8,900,046 Capital outlay 3,698,284 37,996,446 2,051,321 33,680,254 77,426,305 Debt service: II Principal retirement - 1,060,443 6,597,654 - 7,658,097 Interest and fiscal charges - 7,764,520 13,157,901 - 20,922,421 Total Expenditures 58,693,430 53,467,658 35,868,886 75,813,074 223,843,048 , Excess(Deficiency)of Revenues Over(Under)Expenditures 8,755,602 (31,857,466) 21,969,052 15,497,561 14,364,749 Other Financing Sources(Uses): ' Transfers in 102,560 4,035,810 - 2,341,477 6,479,847 Transfers out (1,690,960) - (5,290,354) (56,423) (7,037,737) Total Other Financing Sources(Uses) (1,588,400) 4;035,810 (5,290,354) 2,285,054 (557,890) , • Net Change in Fund Balances $ 7,167,202 $ (27,821,656) $ 16,678,698 $ 17,782,615 $ 13,806,859 Fund Balances: I Beginning of fiscal year,as originally reported $ 76,960,987 $ 226,691,100 $ 51,080,046 $ 80,276,730 $ 435,008,863 Restatements 2,829,105 1,181,842 - (415,708) 3,595,239 Beginning of fiscal year,as restated 79,790,092 227,872,942 51,080,046 79,861,022 438,604,102 Net Change in Fund Balances 7,167,202 (27,821,656) 16,678,698 17,782,615 13,806,859 End of Fiscal Year $ 86,957,294 $ 200,051,286 $ 67,758,744 $ 97,643,637 $ 452,410,961 , I See Notes to Financial Statements 22 ' • CITY OF RANCHO CUCAMONGA RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES YEAR ENDED JUNE 30,2006 Net change in fund balances-total governmental funds $ 13,806,859 Amounts reported for governmental activities in the statement of activities Idiffer because: Governmental funds report capital outlays as expenditures. However, in the statement of activities,the costs of those assets are allocated over their estimated useful lives as depreciation expense.This is the amount by which capital outlays exceeded depreciation in the current period. 72,086,522 I . Repayment of long-term debt principal consumes current financial resources of governmental funds while reducing the long-term liability in the statement of net assets. 6,260,212 ' Debt issuance costs are expenditures in the governmental funds, but these costs are capitalized on the statement of net assets. 24,602 Accrued interest for tax allocation bonds and other long-term liabilities do not require the use of current financial resource and therefore are not reported as expenditure in governmental funds.This is the net change in accrued interest for the current period. 69,288 Compensated absences expenses reported in the statement of activities do not require the use of current financial resources and, therefore,are not reported as Iexpenditures in governmental funds. (396,134) The accrued interest on interfund loans between the City and Redevelopment Agency were recorded as deferred revenue in the governmental funds. They are included as interest revenue in the governmental fund activity. 4,647,134 Certain revenues were measurable but not available and,therefore, could not be I reported as revenue on the modified accrual basis, but are considered revenues for the statement of activities. (525,067) Internal service funds are used by management to charge the costs of certain activities, such as equipment management and self-insurance,to individual funds. The net revenues(expenses)of the internal service funds are reported with governmental activities. (176,818) Change in net assets of governmental activities $ 95,796,598 I I See Notes to Financial Statements 23 I CITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON STATEMENT(BUDGETARY BASIS) , GENERAL FUND YEAR ENDED JUNE 30,2006 Variance with Final Budget ' Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 as restated $79,790,092 $ 79,790,092 $79,790,092 $ - Resources(Inflows): Taxes 41,274,840 47,470,350 50,125,975 2,655,625 , Licenses and permits 4,381,410 4,148,760 3,877,755 (271,005) Intergovernmental 1,080,730 1,380,100 1,299,270 (80,830) Charges for services 4,281,130 4,927,860 5,859,379 931619 Use of money and property 2,792,670 2,766,720 2,285,376 (481,344) 111 Fines and forfeitures 897,160 783,830 870,281 86,451 Contributions 15,000 15,000 2,706 (12,294) Miscellaneous 2,735,060 3,034,760 3,128,290 93,530 Transfers from other funds 102,560 102,560 102,560 - Amounts Available for Appropriation 137,350,652 144,420,032 147,341,684 2,921,652 ' Charges to Appropriation(Outflow): General government City council 96,460 97,990 93,560 4,430 II City manager 890,050 866,740 853,050 13,690 City clerk 430,790 447,690 435,913 11,777 Personnel overhead 403,540 503,030 (86,586) 589,616 General overhead 3,290,510 3,517,080 3,549,622 67,458 Treasurer 4,710 4,720 2,850 1,870 , Administrative services 437,970 439,840 438,149 1,691 Finance 734,410 726,220 717,490 8,730 Business licenses 245,750 242,970 239,567 3,403 Personnel 334,390 443,110 442,747 363 ' Purchasing 391,830 410,840 400449 10,391 Risk management 177,440 178,040 175,664 2,376 Management information services 2,318,480 2,724,480 2,442,609 281,871 Geographic information services 335,410 331,300 315,601 15,699 City facilities 4,747,680 5,195,630 4,862,492 333,138 , Total General Government 14,839,420 16,229,680 14,883,177 1,346,503 Public safety: Sheriff contract services 21,196,990 21,254,660 21,094,956 159,704 Animal control 435,700 2,028,900 2,028,567 333 Total Public Safety 21,632,690 23,283,560 23,123,523 160,037 Engineering and public works: Engineering administration 326,700 365,880 357,144 8,736 ' Development management 1,575,840 1,996,560 1,936,208 60,352 Traffic management 253,090 254,270 249,012 5,258 Project management 616,430 669,160 666,403 2,757 Engineering-NPDES 604,000 584,120 565,348 18,772 Street and park maintenance 4,237,870 4,596,520 4,148,969 447,551 ' Vehicle maintenance 1,080,040 1,154,810 1,098,903 55,907 Total Engineering and Public Works 8,693,970 9,621,320 9,021,987 599,333 Community development Planning commission $ 12,530 $ 13,530 $ 10,842 $ 2,688 Administration 354,700 1,087,730 960,975 126,755 Planning 2,253,040 2,448,690 2,101,400 347,290 Code enforcement 559,170 460,120 427,272 32,848 Building and safety 3,527,520 3,617,330 3,565,461 51,869 ' Total Community Development 6,706,960 7,627,400 7,065,950 561,450 Community services: i Community services 3,739,880 3,659,370 3,655,478 3,892 Park and recreation commission 2,050 2,050 2,021 29 ' Total Community Services 3,741,930 3,661,420 3,657,499 3,921 Capital outlay 1,349,070 5,979,716 5,662,555 317,161 Transfers to other funds 1,721,690 1,721,690 1,690,960 30,730 , Total Charges to Appropriations 58,685,730 68,124,786 65,105,651 3,019,135 Budgetary Fund Balance,June 30(Budgetary Basis) $78,684,922 $76,295,246 82,236,033 $ 5,940,787 Encumbrances 4,721,261 Budgetary Fund Balance,June 30(GAAP Basis) $86,957,294 I Sae Notes to Financial Statements 24 1 ICITY OF RANCHO CUCAMONGA I STATEMENT OF NET ASSETS PROPRIETARY FUNDS JUNE 30,2006 I Business-Type Activities Governmental Enterprise Funds Activities Sports Municipal Internal Complex Utility Total Service Funds Assets: Current: Pooled cash and investments $ 194,040 $ 2,215,588 $ 2,409,628 $ 19,722,396 I Receivables: Accounts 103,181 1,037,939 1,141,120 Interest - 384 384 44,087 ITotal Current Assets 297,221 3,253,911 3,551,132 19,766,483 Noncurrent: I Capital assets, net of accumulated depreciation 18,343,248 8,990,711 27,333,959 1,599,349 ITotal Noncurrent Assets 18,343,248 8,990,711 27,333,959 1,599,349 Total Assets $ 18,640,469 $ 12,244,622 $ 30,885,091 $ 21,365,832 Liabilities and Net Assets: ILiabilities: Current: I Accounts payable $ 63,706 $ 222,699 $ 286,405 $ 189,882 Accrued liabilities 10,028 2,620 12,648 - Deposits 476 478 - ITotal Current Liabilities 73,734 225,797 299,531 189,882 Total Liabilities 73,734 225,797 299,531 189,882 I Net Assets: Invested in capital assets, net of related debt 18,343,248 8,990,711 27,333,959 1,599,349 Restricted for public benefit-Municipal Utility - 256,615 256,615 - I Unrestricted 223,487 2,771,499 2,994,986 19,576,601 Total Net Assets 18,566,735 12,018,825 30,585,560 21,175,950 ITotal Liabilities and Net Assets $ 18,640,469 $ 12,244,622 $ 30,885,091 $ 21,365,832 Reconciliation of Net Assets to the Statement of Net Assets: Net assets per Statement of Net Assets-Proprietary Funds $ 30,585,560 Prior years'accumulated adjustment to reflect the consolidation of Iinternal service funds activities related to enterprise funds (27,242) Net Assets: Business-Type Activities $ 30,558,318 I ISee Notes to Financial Statements 25 I CITY OF RANCHO CUCAMONGA STATEMENT OF REVENUES, EXPENSES ' AND CHANGES IN FUND NET ASSETS PROPRIETARY FUNDS YEAR ENDED JUNE 30,2006 Business-Type Activities Governmental I Enterprise Funds Activities Sports Municipal Internal Complex Utility Total Service Funds Operating Revenues: Sales and service charges $ 554,609 $ 5,795,469 $ 6,350,078 $ 152,350 1 Rents 203,394 - 203,394 - Miscellaneous 13,626 - 13,626 - Total Operating Revenues 771,629 5,795,469 6,567,098 152,350 I Operating Expenses: Salaries and benefits 560,234 197,470 757,704 - I Maintenance and operations 467,555 4,572,143 5,039,698 224,566 Contractual services 224,253 774,489 998,742 - Depreciation 633,651 243,256 876,907 562,571 Total Operating Expenses 1,885,693 5,787,358 7,673,051 787,137 I Operating Income(Loss) (1,114,064) 8,111 (1,105,953) (634,787) s Nonoperating Revenues (Expenses): II Taxes 9,550 - 9,550 - Interest revenue (3,059) - (3,059) 457,969 Total Nonoperating Revenues(Expenses) 6,491 - 6,491 457,969 Income(Loss)Before Transfers (1,107,573) 8,111 (1,099,462) (176,818) I Transfers in 648,790 9,100 657,890 - Transfers out - (100,000) (100,000) - I Changes in Net Assets (458,783) (82,789) (541,572) (176,818) Net Assets: ' Beginning of fiscal year 19,025,518 12,101,614 31,127,132 21,352,768 End of Fiscal Year $ 18,566,735 $12,018,825 $30,585,560 $21,175,950 I I I I See Notes to Financial Statements 26 I I 11. CITY OF RANCHO CUCAMONGA STATEMENT OF CASH FLOWS I PROPRIETARY FUNDS YEAR ENDED JUNE 30,2006 Business-Type Activities - Governmental Enterprise Funds Activities Sports Municipal Internal Complex Utility Total Service Funds Cash Flows from Operating Activities: It Cash received from customers and users $ 696,977 $ 5,777,054 $ 6,474,031 $ 152,350 Cash payments to supplies for good and services (662,237) (5,678,448) (6,360,685) (191,580) Cash payments to employees for services (557,841) (197,226) (755,067) - in Net Cash Provided(Used)by Operating Activities • (543,101) (98,620) (641,721) (39,230) Cash Flows from Non-Capital Financing Activities: IFinancing Activities: Cash transfer from other funds 648,790 9,100 657,890 Cash transfer to other funds - (100,000) (100,000) - Due to other funds - 241,410 Taxes 9,550 - 9,550 11' Net Cash Provided(Used)by Non-Capital Financing Activities 658,340 (90,900) 567,440 241,410 ' Cash Flows from Capital and Related Financing Activities: Purchases of capital assets - (26,689) (26,689) (564,260) rNet Cash Provided(Used)by Capital and Related Financing Activities - (26,689) (26,689) (564,260) Cash Flows from Investing Activities: I Interest received (3,060) (383) (3,443) 464,280 • Net Cash Provided(Used)by Investing Activities (3,060) (383) (3,443) 464,280 II Net Increase(Decrease)in Cash and Cash equivalents 112,179 (216,592) (104,413) 102,200 Cash and Cash Equivalents at I Beginning of Year 81,861 2,432,180 2,514,041 19,620,196 Cash and Cash Equivalents at End of Year $ 194,040 $ 2,215,588 $ 2,409,628 $ 19,722,396 IReconciliation of Operating income(Loss)to Net Cash Provided (Used)by Operating Activities: Operating income(loss) $ (1,114,064) $ 8,111 $ (1,105,953) $ (634,787) Adjustments to reconcile operating income(loss)to Inet cash provided (used)by operating activities: Depreciation 633,651 243,256 876,907 562,571 (Increase)decrease in accounts receivable (74,652) (18,415) (93,067) - Increase(decrease)in accounts payable 9,571 (331,816) (322,245) 32,986 I Increase(decrease)in accrued liabilities 2,393 244 2,637 - Total Adjustments 570,963 (106,731) 464,232 595,557 Net Cash Provided(Used) by I Operating Activities $ (543,101) $ (98,620) $ (641,721) $ (39,230) Schedule of Noncash Transactions: There were no non-cash transactions during the fiscal year. II See Notes to Financial Statements 27 I CITY OF RANCHO CUCAMONGA I STATEMENT OF FIDUCIARY NET ASSETS FIDUCIARY FUNDS JUNE 30,2006 Agency 1 Funds Assets: Pooled cash and investments $ 28,890,444 Receivables: Accounts 6,960 Taxes 115,193 Interest 19,940 Restricted assets: Cash and investments with fiscal agent 7,029,930 Total Assets $ 36,062,467 Liabilities: Accounts payable $ 233,609 Accrued liabilities 5,942 Deposits payable 17,659,556 Due to other funds 41,404 Payable to trustee 18,121,956 Total Liabilities $ 36,062,467 1 1 I I 1 I I See Notes to Financial Statements 28 I I I I I I I I I THIS PAGE INTENTIONALLY LEFT BLANK I I I I I I I I 29 I I CITY OF RANCHO CUCAMONGA NOTES TO FINANCIAL STATEMENTS • JUNE 30,2006 ' I. SIGNIFICANT ACCOUNTING POLICIES Note 1: Organization and Summary of Significant Accounting Policies a. Description of Entity I The City of Rancho Cucamonga was incorporated on November 30, 1977,under the laws of the State of California and enjoys all the rights and privileges applicable to a General Law City. It is governed by an elected five-member board.As required by accounting principles generally accepted in the United States of America,these financial statements present the City of Rancho Cucamonga (the City)and its component units, entities for which the City is considered financially accountable. The inclusion of an organization within the scope of the reporting entity of the City of Rancho Cucamonga is based on the provision of GASB Statement No. 14.The blended component units discussed below, although legally separate entities, are in substance part of the government operation and so data from these component units has been combined herein. The following criteria were used in the determination of the blended component units: • 1. The members of the City Council also act as the goveming body of the Rancho Cucamonga Redevelopment Agency (the Agency), the Rancho Cucamonga Public Improvement Corporation (the Improvement Corporation),the Rancho Cucamonga Fire Protection District (the District), the Rancho Cucamonga Library(the Library) and the Rancho Cucamonga Public Financing Authority(the Financing Authority). 2. The Agency,the Improvement Corporation,the Fire Protection District,the Library and the Public Financing Authority are managed by employees of the City. A portion of the City's personnel costs is billed to these component units each year as appropriate. 3. The City, the Agency, the Improvement Corporation, the District, the Library and the Financing Authority are financially interdependent.They provide financial benefit/burden to the City. Blended Component Units I The Rancho Cucamonga Redevelopment Agency was established on May 20, 1981, pursuant to the State of California Health and Safety Code,Section 33000.Its purpose is to prepare and carry out plans for the improvement, rehabilitation and development of blighted areas within the territorial limits of the City of Rancho Cucamonga. Separate financial statements may be obtained from the Agency. The Rancho Cucamonga Public Improvement Corporation was incorporated on November 14, 1988,under the Non-Profit Public Benefit Corporation Law of the State of California.The Corporation was established for charitable purposes including rendering financial assistance to the City by financing, acquiring, constructing, improving and leasing public improvements for the benefit of residents of the City and the surrounding area. Separate financial statements are not available for the Corporation. 1 I 30 City of Rancho Cucamonga Notes to Financial Statements (Continued) Note 1: Organization and Summary of Significant Accounting Policies(Continued) The Rancho Cucamonga Fire Protection District (formerly, Foothill Fire Protection District)was a special district formed by the County of San Bernardino for the purpose of • fire suppression within its boundaries. Effective July 1, 1989, operations of this district were taken over by the City of Rancho Cucamonga. The district still operates as a separate special district however, now it is under the control of the City of Rancho Cucamonga instead of the County of San Bernardino.Separate financial statements are available for the District. The Rancho Cucamonga Library was part of the San Bernardino County Library System in which the City of Rancho Cucamonga participated. Effective July 1, 1994, and pursuant to California Code Section 19104,the City withdrew from the County Library System.As of this date,the library operates as a separate entity under the control of the City of Rancho Cucamonga. Separate financial statements are not available for the Library. The Rancho Cucamonga Public Financing Authority was established on April 21, 1999, pursuant to Article I (commencing with Section 6500)of Chapter 5 of Division 7 of Title I of the California Government Code. Its purpose is to facilitate the financing and the refinancing of construction,expansion, upgrading and improvement of the public capital facilities necessary to support the rehabilitation and construction of residential and economic development within the City.Separate financial statements are not available for the Public Financing Authority. b. Government-Wide and Fund Financial Statements The government-wide financial statements (i.e., the statement of net assets and the statement of activities)report information on all of the nonfiduciary activities of the primary government and its component units. For the most part, the effect of interfund activity has been removed from these statements.Governmental activities,which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. The statement of activities demonstrates the degree to which the direct expenses of a given function or segment is offset by program revenues. Direct expenses are those that are j clearly identifiable with a specific function or segment.Program revenues include: 1)charges to customers or applicants who purchase, use or directly benefit from goods, services or privileges provided by a given function or segment, and 2)grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds, proprietary funds and fiduciary funds, even though the latter are excluded from the government-wide financial statements. Major individual governmental funds and major individual enterprise funds are reported as separate columns in the fund financial statements. c. Measurement Focus, Basis of Accounting and Financial Statement Presentation The govemment-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund and fiduciary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. 31 I • City of Rancho Cucamonga Notes to Financial Statements(Continued) • Note 1: Organization and Summary of Significant Accounting Policies(Continued) Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting.Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose,the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred,as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. The City's fiduciary fund financial statements only report agency funds. Agency funds are used to account for situations where the government's role is purely custodial. All assets reported in an agency fund are offset by a liability to the party on whose behalf they are held. Agency funds have no measurement focus. Property taxes, franchise taxes, licenses and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as • " revenues of the current fiscal period.Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period.All other revenue items are considered to be measurable and available only when the government receives cash. The City reports the following major governmental funds: I • The General Fund is the general operating fund of the City.All general tax receipts and fee revenue not allocated by law,Council policy or contractual agreement to other funds are accounted for in the General Fund. General Fund expenditures include operations traditionally associated with activities,which are not required to be accounted for,or paid by another fund. • The Rancho Cucamonga Redevelopment Agency Capital Project Fund accounts for the acquisition and construction of major facilities within the Rancho Cucamonga Redevelopment Project Area. • The Rancho Cucamonga Redevelopment Agency Debt Service Fund accounts for the accumulation of resources for the payment of interest and principal on long-term debt of the Agency. The City reports the following major proprietary funds: • The Sports Complex Fund accounts for personnel and operating costs directly associated with the operation of the baseball facility, which is the home of the Rancho Cucamonga Quakes. • The Municipal Utility Fund accounts for the costs of labor and materials used in the operation, maintenance, construction and consumption of electric services to certain major commercial/industrial developments within the City. 1 I I 32 City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 1: Organization and Summary of Significant Accounting Policies(Continued) Additionally, the City reports the following fund types: • Internal service funds account for the financial transactions related to repair, replacement and maintenance of City-owned vehicles and City's general information systems and telecommunications hardware and software. • Fiduciary funds account for assets held by the City in a purely custodial capacity. The fiduciary fund type the City maintains is an agency fund. Agency funds involve only the receipt, temporary investment and remittance of fiduciary resources to individuals, private organizations or other governments and/or other funds. Private-sector standards of accounting and financial reporting issued prior to December 1989,generally are followed in both the government-wide and proprietary fund financial statements to the extent that those standards do not conflict with or contradict guidance of the Governmental Accounting Standards Board. Governments also have the option of following subsequent private-sector guidance for their business-type activities and enterprise funds, subject to this same limitation.The government has elected not to follow subsequent private-sector guidance. As a general rule, the effect of interfund activity has been eliminated from the government- wide financial statements. Exceptions to this general rule are charges between the government's proprietary funds functions and various other functions of the government. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned. Amounts reported as program revenues include: 1)charges to customers or applicants for goods, services or privileges provided,2)operating grants and contributions,and 3)capital grants and contributions,including special assessments. Internally dedicated resources are reported as general revenues rather than as program revenues.Likewise,general revenues include all taxes. Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the Enterprise Funds and of the Internal Service Funds are charges to customers for sales and services.Operating expenses for Enterprises Funds and Internal Service Funds include the cost of sales and services,administrative expenses and depreciation on capital assets.All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses. When both restricted and unrestricted resources are available for use,it is the govemment's policy to use restricted resources first,and then unrestricted resources as they are needed. d. Assets, Liabilities and Net Assets or Equity Cash and Investments All cash and investments, except those that are held by fiscal agents,are held in a City pool.These pooled funds are available upon demand and therefore are considered cash and cash equivalents for purposes of the statement of cash flows. Investments held by fiscal agents with an original maturity of three months or less are also considered cash equivalents and are shown as restricted assets for financial statement presentation purposes. 33 I City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 1: Organization and Summary of Significant Accounting Policies(Continued) 1 Investments for the City, as well as for its component units, are reported at fair value. The City's policy is generally to hold investments until maturity or until market values equal or exceed cost. Receivables and Payables Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either "due to/from other funds" (i.e., the current portion of interfund loans) or "advances to/from other funds" (i.e.,the non-current portion of interfund loans).All other outstanding balances between funds are reported as "due to/from other funds." Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as"internal balances."Advances between funds, as reported in the fund financial statements, are offset by a fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources. All trade and property tax receivables are shown net of allowance for uncollectibles. Prepaid Costs I Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. The fund balances in the governmental fund types have been reserved for amounts equal to the prepaid items in the fund-level statements, since these amounts are not available for appropriation. Land Held for Resale Z Land purchased for resale is capitalized as inventory at acquisition costs as the City expects to sell this land with no decline in value.The fund balances in the governmental fund types have been reserved for amounts equal to the Land Held for Resale in the fund-level statements, since these amounts are not available for appropriation. Restricted Assets I Certain proceeds of debt issues, as well as certain resources set aside for their repayment,are classified as restricted assets on the balance sheet because their use is limited by applicable bond covenants. Capital Assets Capital assets, which include property, plant, equipment and infrastructure assets (e.g., roads, bridges, sidewalks and similar items), are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. The City defines capital assets as assets with an initial, individual cost of more than $1,000 (amount not rounded) and an estimated useful life in excess of one year. Such assets are recorded at historical cost when purchased or constructed. Donated capital assets are recorded at estimated fair market value at the date of donation. In accordance with GASB Statement No.34,the City has reported its general infrastructure assets. 34 1 • c ICity of Rancho Cucamonga Notes to Financial Statements (Continued) Note 1: Organization and Summary of Significant Accounting Policies(Continued) ' The costs of normal maintenance and repairs that do not add to the value of the assets or materially extend assets lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are I constructed. Interest incurred during the construction phase of capital assets of business-type activities is included as part of the capitalized value of the assets constructed. I Property, plant,equipment,and infrastructure of the primary government,as well as its component units, are depreciated using the straight-line method over the following estimated useful lives: ' Assets Years Buildings 50 I Building improvements 10-40 Computer equipment 3-8 Vehicles 5 Furniture,fixtures, and other equipment 3-15 Infrastructure 10-75 Accrued Employee Benefits IThe City's policy permits employees to accumulate earned but unused vacation and sick pay benefits. The total amount of liability for unused vacation and sick pay benefits is I accrued when incurred in the government-wide financial statements,The City utilizes the General Fund and the Special Revenue - Fire District Fund in the governmental fund financial statements to account for the short-term portion of its liability. The short-term portion is the unused reimbursable leave still outstanding following an employee's Iresignation or retirement. Vacation pay is payable to employees at the time a vacation is taken or upon termination of employment.Fire District employees cannot accrue more than one and one-half times Itheir regular annual entitlement. Sick leave is payable when an employee is unable to work because of illness. For City I employees,those who terminate their employment after five years of continuous service and have at least 50% of five years sick leave accrued on the books upon termination may be paid for 120 hours of the accrued leave. For Fire District employees, sick leave may be accumulated indefinitely or an employee with ten or more years of service is I eligible to convert unused sick leave to vacation in accordance with the following and with any remainder of hours to still remain unused sick time: Accumulated Sick I Employee Leave Balance Vacation Type Pr Prior Calendar Year Conversion Rate shift 108- 144 hours one-half I shift 72- 108 hours 90- 120 hours one-fourth 40-hour one-half 40-hour 60-90 hours one-fourth I 35 City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 1: Organization and Summary of Significant Accounting Policies(Continued) Upon service retirement of a public safety employee,the option exists to sell back up to one-half of total accumulated sick time or have the time credited toward service in accordance with the Public Retirement Law. All unused sick leave is forfeited upon termination, other than for normal retirement. Long-Term Obligations • In the government-wide financial statements and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities,business-type activities or proprietary fund type statement of net assets. Bond premiums and discounts,as well as issuance costs, are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance cost are reported as deferred charges and amortized over the term of the related debt. In the fund financial statements,governmental fund types recognize bond premiums and discounts,as well as bond Issuance costs,during the current period.The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs,whether or not withheld from the actual debt proceeds received,are reported as debt service expenditures. Fund Equity In the fund financial statements,governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose.Designations of fund balance represent tentative management plans that are subject to change. Property Tax Property tax revenue is recognized on the modified accrual basis, that is, in the fiscal year for which the taxes have been levied providing they become available. Available means then due, or past due and receivable within the current period and collected within the current period or expected to be collected soon enough thereafter to be used to pay liabilities of the current period. The County of San Bernardino collects property taxes for the City.Tax liens attach annually as of 12:01 A.M.on the first day in January preceding the fiscal year for which the taxes are levied. Taxes are levied on both real and personal property as it exists on that date. The tax levy covers the fiscal period July 1 to June 30.All secured personal property taxes and one-half of the taxes on real property are due November 1; the second installment is due February 1. All taxes are delinquent, if unpaid, on December 10 and April 10, respectively. Unsecured personal property taxes become due on the first of March each year and are delinquent,if unpaid, on August 31. ' 36 1 City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 1: Organization and Summary of Significant Accounting Policies(Continued) ' Functional Classifications Expenditures of the governmental funds are classified by function. Functional classifications are defined as follows: ' • General Government includes legislative activities, City Clerk, City Attorney, City Manager as well as management or supportive services across more than one ' functional area. • Public Safety includes those activities which involve police protection, emergency preparedness and animal control. ' • Public Safety-Fire Protection includes activities of the fire protection district which involved in the protection of people and property from fire. • Engineering and Public Works includes all maintenance, engineering and capital improvements which relate to streets,parks,flood control and other public facilities. ' • Community Development includes those activities which involve planning and redevelopment, as well as building and safety. • Community Services includes activities which provide recreation, cultural and educational services. e. Reconciliation of Government-Wide and Fund Financial Statements ' Explanation of certain differences between the governmental fund balance sheet and the government-wide statement of net assets: ' The governmental fund balance sheet includes reconciliation between fund balance - governmental funds and net assets of governmental activities as reported in the government-wide statement of net assets. One element of that reconciliation ' explains that"long-term debts and the long-term portion of compensated absences have not been included in the governmental fund activity." The detail of the $330,984,250 long-term debt difference is as follows: ' Long-term debt: Tax allocation bonds payable $ 311,005,000 Unamortized bond premium 4,493,603 Unamortized cost of issuance (3,795,512) Loans payable 4,126,541 Notes payable 13,085,911 Claims and judgments payable 2,068,707 Net adjustment to reduce fund balance of total governmental funds to arrive at net assets of governmental activities $ 330,984,250 Explanation of certain differences between the govemmental fund statement of revenues, expenditures and changes in fund balances and the government-wide statement of activities: 37 City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 1: Organization and Summary of Significant Accounting Policies (Continued) The governmental fund statement of revenues,expenditures and changes in fund balances includes reconciliation between net change in fund balances of total govemmental funds and change in net assets of governmental activities as reported in the government-wide statement of activities. One element of that reconciliation explains that"governmental funds report capital outlays as expenditures.However, in the statement of activities, the cost of those assets is allocated over their estimated useful lives as depreciation expense." The details of this$72,086,552 difference are as follows: Capital outlay $ 83,107,021 Depreciation expense (10,387,547) Loss from disposition of fixed assets (632,922) Net adjustment to increase net changes in fund balances of total governmental funds to arrive at changes in net assets of governmental activities $ 72,086,552 Another element of that reconciliation states that "repayment of long-term debt principal consumes current financial resources of governmental funds while reducing the long-term liabilities in the statement of net assets."Neither transaction, however,has any effect on net assets.Also,governmental funds report the effect of issuance costs, premiums, discounts and similar items when debt is first issued, whereas these amounts are deferred and amortized in the statement of activities. The details of this$6,260,212 difference are as follows: Principal repayments: Tax allocation bonds $ 6,130,000 Loans payable 1,292,655 Notes payable 235,442 Net changes in claims and judgments liability (1,397,8851 Net adjustment to decrease net changes in fund balance of total governmental funds to arrive at changes in net assets of governmental activities. $ 6,260,212 II.STEWARDSHIP Note 2: Stewardship, Compliance and Accountability ' a. General Budget Policies The annual budget adopted by the City Council provides for the general operation of the City. ' It includes proposed expenditures and the means of financing them. The City Council approves each year's budget submitted by the City Manager prior to the beginning of the new fiscal year. The Council conducts public hearings prior to its adoption, and when required during the period, and also approves supplemental appropriations. There were several supplemental appropriations required during the year. A detailed mid-year review was conducted at which time a revised budget was adopted.There were no significant non- budgeted financial activities during the year. • 38 City of Rancho Cucamonga • Notes to Financial Statements(Continued) Note 2: Stewardship, Compliance and Accountability(Continued) ' The City Council may transfer funds between funds or activities set forth in the budget.The City Manager may transfer funds between line items within an appropriation as set forth in the budget and may transfer appropriations between activities within any fund. The level of budgetary control (that is the level at which expenditures cannot legally exceed the ' appropriated amount)is established at the department level within the General Fund and at the function level for Special Revenue, Capital Project Funds and Debt Service Funds. ' Basis of Budgeting Budgets for governmental funds are adopted on a basis consistent with generally accepted accounting principles (GAAP)except that for budgeting purposes only encumbrances are treated as expenditures.A reconciliation has been provided on the applicable schedule when the basis of budgeting differs from GAAP. For the fiscal year 2005-2006, the following funds had no adopted annual budgets: • SB 140 • • Masi Commerce Center ' • Major Urban Resource Library Grant • Senior Outreach Grant • Adult Education Act Grant • Library Services&Technologies Act ' • Teen Connection Program Grant • Signal Coordination Grant • Teen Connection State Grant I • Conservative Bond Act • Safe Route to School Program • Congestion Mitigation • Milliken Land Transaction ' • MWD City Makeover Program Grant • Youth Enrichment Grant • Target Literacy Grant ' • Drink, Drive, Lose Grant • 'Henderson/Wardman Drainage • Pre-Disaster Mitigation Grant • OTS 2005 State Seat Belt Grant • Assessment District 84-2 • Regional Choice Transit Capital Improvement • CFD 2000-01 South Etiwanda ' • CFD 2000-02 Rancho Cucamonga Corporate Park • Proposition 12 Park Bond Act • CFD 2004-02 Rancho Summit ' The above listed funds had no adopted budget due to the timing of the usage of these grant and capital project funds. Money will be budgeted as needed based on specific projects to be completed with these funds. 39 City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 2: Stewardship, Compliance and Accountability(Continued) b. Encumbrances Encumbrances are estimations of costs related to unperformed contracts for goods and services. Encumbrances outstanding at year-end are reported as a reservation of fund balance. They represent the estimated amount of the expenditure ultimately to result if unperformed contracts in progress at year-end are completed. They do not constitute expenditures or estimated liabilities.Encumbrances outstanding at June 30,2006,amounted to $37,599,071. c. Deficit Fund Balances or Net Assets: The following funds have a deficit at June 30, 2006: Special Revenue Funds: Community Development Block Grant $ (71,224) California Literacy Campaign (9,801) Used Oil Recycling Grant (22,346) Local Law Enforcement Block Grant (23,876) COPS in School Grant (45,837) Safe Routes to School Program (68,668) Congestion Mitigation (99,968) Milliken Land Transaction (4,243) Department of Homeland Security (1,837) OTS Traffic Safety (38,302) Federal Grant Fund- Dreier (178) OTS Countdown Pedestrian Signals (555) Senior Wellness/Transportation Program (105,308) Justice Assistance Grant (216) Baine County Library Grant (303,017) Capital Projects Funds: Assessment District 86-2 (41,128) CFD 2001-01 (2,792,410) CFD 2003-01 Project Fund (442,363) Public Library Bond Act-2000 (3,188,962) Proposition 40 Park Bond Act (5) CFD 2004-01 Rancho Etiwanda (39) The City expects to eliminate these deficits with anticipated future revenues from grants, deferred payments and reimbursements. 1 1 40 City of Rancho Cucamonga Notes to Financial Statements(Continued) III. DETAILED NOTES ON ALL FUNDS ' Note 3: Cash and Investments As of June 30, 2006, cash and investments were reported in the accompanying financial ' statements as follows: Governmental activities $ 452,059,112 Business-type activities 2,409,628 ' Fiduciary funds 35,920,374 Total Cash and Investments $ 490,389,114 The City follows the practice of pooling cash and investments of all funds, except for funds required to be held by fiscal agents under provisions of bond indentures. Interest income eamed on pooled cash and investments is allocated quarterly to the various funds based on average ' daily cash balances. Interest Income from cash and investments with fiscal agents is credited directly to the related fund. Deposits At June 30,2006,the carrying amount of the City's deposits was$15,942,688,and the bank balance was $22,300,626. The $6,357,938 difference represents outstanding checks and other reconciling items. The California Government Code requires California banks and savings and loan associations to secure a City's deposits by pledging government securities with a value of 110% of a City's deposits. California law also allows financial institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150%of a City's total deposits. The City Treasurer may waive the collateral requirement for deposits which are ' fully insured up to $100,000 by the FDIC. The collateral for deposits in federal and state chartered banks is held in safekeeping by an authorized Agent of Depository recognized by the State of California Department of Banking. The collateral for deposits with savings and loan associations Is generally held in safekeeping by the Federal Home Loan Bank in ' San Francisco,California as an Agent of Depository. These securities are physically held in an undivided pool for all California public agency depositors. Under Government Code Section 53655,the placement of securities by a bank or savings and loan association with an "Agent of Depository"has the effect of perfecting the security interest in the name of the local ' governmental agency. Accordingly,all collateral held by California Agents of Depository are considered to be held for, and in the name of, the local governmental agency. Investments Under provision of the City's investment policy, and in accordance with the California Government Code,the following investments are authorized: ' • U.S. Government Agency Securities • Certificates of Deposit(or Time Deposits) • Negotiable Certificates of Deposit ' • Banker's Acceptances • Commercial Paper • Local Agency Investment Fund (State Pool) ' • Deposit of Funds • Repurchase Agreements • Investment Agreements 41 I City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 3: Cash and Investments (Continued) Investments Authorized by Debt Agreements The above investments do not address investment of debt proceeds held by a bond trustee. Investments of debt proceeds held by a bond trustee are governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City's investment policy. Investments in State Investment Pool The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. LAIF is overseen by the Local Agency Investment Advisory Board,which consists of five members,in accordance with State statute. The State Treasurer's Office audits the fund annually. The fair value of the position in the investment pool is the same as the value of the pool shares. GASB Statement No. 31 , The City adopted GASB Statement No.31,Accounting and Financial Reporting for Certain Investments and for External Investment Pools,as of July 1, 1997. GASB Statement No.31 establishes fair value standards for investments in participating interest earning investment contracts,external investment pools,equity securities,option contracts,stock warrants and stock rights that have readily determinable fair values. Accordingly, the City reports its investments at fair value in the balance sheet. All investment income, including changes in the fair value of investments, is recognized as revenue in the operating statement. Credit Risk ' The City's investment policy limits investments in medium-term notes(MTN's)in short-term rating of at least'A'or'A1/P1'and a long-term rating of'A'is required.As of June 30,2006, the City did not have any investments in medium-term notes.All securities were investment grade and were legal under state and City law.Investments in U.S.government securities are not considered to have credit risk and, therefore, their credit quality is not disclosed.As of June 30,2006,the City's investments in external investment pools and money market mutual funds are unrated. Custodial Credit Risk The custodial credit risk for deposits is the risk that, in the event of the failure of a depository , financial institution, a government will not be able to recover deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty to a transaction, a government will not be able to recover the value of investment or collateral securities that are in the possession of an outside party. As of June 30, 2006, none of the City's deposits or investments were exposed to custodial , credit risk. 1 1 42 1 Rancho Cucamonga Redevelopment Agency Notes to Financial Statements (Continued) 1 Note 3: Cash and Investments (Continued) IConcentration of Credit Risk The City is in compliance with restrictions imposed by its investment policy, which limits certain types of investments. As of June 30, 2006, in accordance with GASB Statement I No.40, if the City has invested more than 5%of its total investments in any one issuer then it is exposed to credit risk. The following investments are considered exposed to credit risk. • Federal Farm Credit Bank ' • Federal Home Loan Bank • Federal Home Loan Mortgage Corporation • Federal National Mortgage Association I • Investment Agreements Investments guaranteed by the U.S. government and investments in mutual funds and external investment pools are excluded from this: IInterest Rate Risk I The City's investment policy limits investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates. The City's investment policy establishes a maximum maturity of 180 days for Banker's Acceptances,270 days for Commercial Papers, one year for Repurchase Agreements and five years for all other I individual investments. The only exception to these maturity limits shall be the investment of the gross proceeds of tax-exempt bonds. The City has elected to use the segmented time distribution method of disclosure for its interest rate risk. IAs of June 30, 2006, the City had the following investments and original maturities: Investment Maturities(In Years) I 180 days or less 180 days to 270 days to 3-5 years Fair 270 days 3 years Value Investments Local Agency Investment Fund $ 72,641,843 $ - $ - $ - $ 72,641,843 I US Treasury - 7,852,500 - - 7,852,500 Federal Governmental Agencies Federal Farm Credit Bank - 11,280,661 44,477,344 - 55,758,005 II - Federal Home Loan Bank 38,519,964 31,081,875 - 6,9,601,659 Federal Hone Loan Mortgage Corp. 7,931,848 16,632,965 49,604,055 74,166,868 Federal National Mortgage Assoc. 11,887,500 17,034,063 33,544,844 2,989,688 65,456,095 Investment Agreements 15,600,000 74,468,617 - - 90,068,617 IInvestments with Fiscal Agents: Money Market Mutual Funds 38,898,639 - - - 38,898,639 I $146,959,830 $ 165,788,790 $ 158,708,118 $2,989,688 $474,446,426 • I I I . 43 Rancho Cucamonga Redevelopment Agency Notes to Financial Statements(Continued) Note 4: Notes and Loans Receivables Notes and loans receivables consist of the following at June 30,2006: • 1. On October 16, 1991,the Rancho Cucamonga Redevelopment Agency and Forrest L. and Lilionne M.Perry entered into a loan agreement,whereby the Agency loaned Perry $408,000 for the purpose of upgrading and refurbishing a certain business.The loan is secured by an unsubordinated Leasehold Deed of Trust.As of June 30,2006,the loan receivable amounted to$331,886. 2. In August 1993,the Rancho Cucamonga Redevelopment Agency loaned$3,750,000 to BLT Partnership No. 1 to enable BLT to finance a portion of the refunding of the 1984 Series A Issue of$9,500,000 Multi-Family Housing Mortgage Revenue Bonds(Western Federal Savings and Loan Association Project).The loan was made in order to preserve and extend the low and moderate income housing at a certain housing project owned by BLT. The loan bears no interest. Principal payments of $140,000 per year were scheduled to begin on June 1, 1997,and are to continue yearly until the maturity date of June 1, 2023, at which time all remaining amounts shall be paid. As of June 30, 2006, this loan had been sold to another developer'(LINC Pepperwood Housing Investors,LP) and the balance of$3,750,000 rolled into another loan receivable,leaving a balance of zero. 3. In September 1993, the Rancho Cucamonga Redevelopment Agency loaned $4,888,500 to the Southern California Housing Development Corporation (SCHDC)to enable the Corporation to purchase an apartment complex in which 42%of the units will be provided for low and moderate housing. The loan bears no interest. Principal payments of$162,950 begin September 1, 1994,and continue yearly until the maturity date of September 1, 2023, at which time all remaining amounts shall be paid. On an annual basis,the Agency can allow a credit equal to the payment,that would otherwise be due as long as all the terms of the note have been followed. This credit has been allowed for the past few years.The Agency loaned an additional$322,500 to SCHDC in March 1995,to assist with the down payment on property. If the revenues are in excess of the operating expenses, the excess will repay the note.At June 30,2003, it was not expected that the$322,500 would be repaid;therefore,an allowance account was set up for$322,500.The net balance at June 30,2006, was $4,888,500. 4. On August 26, 1996, the Rancho Cucamonga Redevelopment Agency and Frito-Lay, ' Inc. entered into a loan agreement for the expansion of an existing manufacturing facility. Frito-Lay, Inc. will pay the Agency $603,172 in principal, together with 8% interest,compounded annually and amortized over a ten-year period.Payments are due in ten annual installments, the first such installment due and payable one year subsequent to the commencement date and each successive installment due and payable one year after the preceding due date. The outstanding balance at June 30, 2006 was$52,924. 5. In January 1997, the Rancho Cucamonga Redevelopment Agency entered into an agreement to loan Villa Pacifica Associates, a California Limited Partnership, up to $3,080,000 to develop senior rental housing for low and moderate income households. The term of the loan is 40 years, with interest accruing at 3% per annum on the outstanding principal balance. Payments of principal and interest on the loan are due and payable only to the extent that 50% of the net annual cash flow from the development is available.As of June 30,2006,an adjustment was made to correct the balance;with the outstanding balance remaining at$3,047,629. 1 44 • Rancho Cucamonga Redevelopment Agency Notes to Financial Statements (Continued) Note 4: Notes and Loans Receivables(Continued) ' 6. On July 21, 2003, the Rancho Cucamonga Redevelopment Agency entered into a Disposition and Developer Agreement with Victoria Gardens, LLC. The Agency conveyed 147 acres generally located north of Foothill Boulevard, west of the 1-15 Freeway and east of Day Creek Road in the City of Rancho Cucamonga in order for the ' Developer to construct an open air mixed use complex. The Agency conveyed the site to the Developer upon the execution of a promissory note to pay a cumulative sum of $13,000,000 to the Agency over a term of thirty (30) years. The note stipulates the following payment structure: (1) The Developer shall make annual payments to the Agency equal to the amount required to amortize the excess return at the Agency's cost of funds; (2)the Developer shall pay the Agency fifteen percent(15%)of the difference between the net sale proceeds and the higher of the project cost, or the initial gross ' proceeds of any loan;and(3)the Developer shall pay the Agency fifteen percent(15%) of any positive net refinance proceeds. As of June 30, 2006, no payments have been required,with the outstanding balance remaining at$13,000,000. 7. On April 19,2006,the Rancho Cucamonga Redevelopment Agency entered into a loan agreement with LINC-Pepperwood Housing Investors,LP to provide financial assistance from the Low and Moderate Housing Set-aside Fund to purchase and rehabilitate the ' Pepperwood Apartment Homes,which will increase the supply of affordable housing to low and moderate income households,for not less than ninety-nine(99)years. The loan is in the form of a line of credit not-to-exceed $20,350,000, including the rollover of the • existing loan of $3,750,000 with BLT Partnership No. 1 (see Item 2 above). The ' outstanding principal balance of the loan will accrue simple interest at 2% per annum from the date of disbursement for a term of 56 years (2062). In addition, to the extent there are Residual Receipts,the Developer shall pay to the Agency 50%of the Residual Receipts from the preceding year. As of June 30,2006,the advances paid against this line of credit amounted to $7,000,000. 8. On September 1,2005,the Rancho Cucamonga Redevelopment Agency entered into a ' loan agreement with Northtown Housing Development Corporation for the purchase of undeveloped real property and the development of an apartment complex which will increase the supply of affordable housing to low and moderate income households for a period of ninety-nine(99)years. This loan is a line of credit not-to-exceed $40,700,000 ' with simple interest accruing at 1%per annum from the date of disbursement for a tens of 75 years (2080). As of June 30, 2006, the advances paid against this line of credit amounted to$5,895,581. ' 9. On September 1,2005,the Rancho Cucamonga Redevelopment Agency entered into a loan agreement with HB Housing Partners,L.P.to provide financial assistance from the Low and Moderate Housing Set-aside Fund to purchase and rehabilitate the Woodhaven ' Manor Apartments, which will increase the supply of affordable housing to low and moderate income households for not less than ninety-nine(99)years. The loan is in the form of a line of credit not-to-exceed $9,000,000. Simple interest accrues on the advances as follows: 1) 3% per annum from the date of disbursement through and ' including the date immediately prior to September 21,2022; and 2)2%per annum from September 21,2002 through September 21, 2060. In addition,to the extent there are Residual Receipts, the Developer shall pay to the Agency either 33% or 50% of the Residual Receipts from the preceding year. As of June 30, 2006, the advances paid against this line of credit amounted to $7,606,286. ' 45 I . City of Rancho Cucamonga ' Notes to Financial Statements(Continued) Note 4: Notes and Loans Receivables(Continued) 10. On March 9,2006,the Rancho Cucamonga Redevelopment Agency entered into a loan , agreement with The Southern California Housing Development Corporation for the acquisition, construction and operation of affordable housing apartments which will increase the supply of very-low, low and moderate income households. This loan is a line of credit not-to-exceed$6,500,000 with simple interest accruing at 1.5%per annum ' until June 27,2035,and 2%per annum thereafter and payable without demand or notice on June 27, 2060. As of June 30, 2006, the advances paid against this line of credit amounted to$856,800. , Total notes and loans receivables at June 30, 2006, amounted to$42,679,606. • Note 5: Capital Assets , Capital asset activity for the year ended June 30, 2006, was as follows: Adjusted Beginning Beginning Ending Balance Adjustments Balance increases Decreases Transfers Balance Governmental Activities: Capital assets,not being depredated: Land $ 75,231,008 $ - $ 75,231,008 $ 673,000 $ - $ - $ 75,904,008 , Construction-in-progress 18,927,833 - 18,927,833 25,417,253 - (4,592,897) 39,752,189 Total Capital Assets, Not Being Depredated 94,158,841 - 94,158,841 26,090,253 - (4,592,897) 115,656,197 ' Capital accets,being depredated: Building Improvement 85,066,007 - 85,066,007 1,290,358 - 4,592,897 90,949,262 Improvement other than buildings 6,452,004 - 6,452,004 4,734 - - 6,456,738 1 Equipment and vehicles 24,356,670 590 24,357,260 4,554,020 - - 28,911,280 Furniture and fixtures 1,299,350 - 1,299,350 127,512 - - 1,426,862 Infrastructure 443,178,500 39,926 443,218,426 51,604,376 1,571,612 - 493,251,190 Total Capital Assets, ' Being Depreciated 560,352,531 40,516 560,393,047 57,581,000 1,571,612 4,592,897 620,995,332 Less accumulated depreciation: Building improvement "11,699,367 - 11,699,367 2,026,721 - .. 13,726,088 ' Improvement other than buildings 5,377,237 - • • 5,377,237 208,150 - - 5,585,387 Equipment and vehicles 17,780,785 (119,489) 17,661,296 2,107,140 - - 19,768,436 Furniture and fixtures 538,402 - 538,402 133,984 - - 672,386 Infrastructure 131,975,086 - 131,975,086 6,474,123 938,690 - 137,510,519 ' Total Accumulated Depreciation 167,370,877 (119,489) 167,251,388 10,950,118 _ 938,690 - 177,262,816 Total Capital Assets, , Being Depredated,Net 392,981,654 160,005 393,141,659 46,630,882 632,922 4,592,897 443,732,516 Governmental Activities Capital Assets,Net $ 487,140,495 $ 160,005 $ 487,300,500 $ 72,721,135 $ 632,922 $ - $ 559,388,713 ' I I I 46 ICity of Rancho Cucamonga Notes to Financial Statements (Continued) INote 5: Capital Assets(Continued) I Beginning Ending Balance Increases Decreases Balance Business-Tyne Activities: Capital assets,not being depreciated: - I Land $ 5,451,015 $ $ $ 5,451015 -Construction-in-progress Total Capital Assets, INot Being Depreciated 5,451,015 - - 5,451,015 Capital assets,being depreciated: Building improvement 25,682,136 - - 25,682,136 I Improvement other than buildings 3,797,415 - - 3,797,415 Equipment and vehicles 1,408,987 26,689 1,435,676 Furniture and fixtures 6,003 6,003 Total Capital Assets, I Being Depreciated 30,894,541 26,689 30,921,230 - Less accumulated depredation: Building improvement 5,367,778 642,039 - 6,009,817 I Improvement other than buildings 2,357,562 189,872 - 2,547,434 Equipment and vehicles 431,674 44,539 476,213 Furniture and fixtures 4,365 457 - 4,822 Total Accumulated I Depredation 8,161,379 876,907 9,038,286 - Total Capital Assets, Being Depredated,Net 22,733,162 (850,218) - 21,882,944 IBusiness-Type Activities Capital Assets,Net $ 28,184,177 $ (850,218) $ - $ 27,333,959 Depreciation expense was charged to functions/programs of the primary government as follows: Government Activities: I General government $ 1,373,609 Public safety 473,509 Public safety-fire protection 495,508 I Engineering and public works 7,008,708 Community development 715,443 Community services 320,770 Vehicle repacement fund 467,742 IData processing equip./technology fund 94,829 Total Governmental Activities $10,950,118 IBusiness-Type Activities: Sports Complex $ 633,651 _ Municipal Utility 243,256 ITotal Business-Type Activites $ 876,907 I I 47 I City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 6: Interfund Receivable,Payable and Transfers The composition of interfund balances as of June 30, 2006,was as follows: ' Due To/From Other Funds Due to Other Funds RDA RDA Nonmajor Capital Debt Governmental Agency Funds Projects Service Funds Funds Total Due From Other Funds: General $ - $ 588,000 $ 4,278,258 $ 41,404 $ 4,907,662 Redevelopment Agency- Capital Projects - - 48,267 - 48,267 Nonmajor Funds 400,630 - - - 400,630 Total $ 400,630 $ 588,000 S 4,326,525 $ 41,404 $ 5,356,559 Due to/from other funds were made to cover negative cash balance at June 30,2006,and to reflect expenditures recorded in the Redevelopment Agency—Debt Service Fund related to the General Fund. Advances To/From Other Funds , Advances from Other Funds Redevelopment Agency- Nonmajor Funds Capital Projects Fund Govemmental Funds Total Advances to Other Funds: General Fund $ 43,373,247 $ 300,000 $ 43,673,247 Redevelopment Agency- Capital Projects Fund - 4,348,838 4,348,838 Total $ 43,373,247 5 4,648,838 $ 48,022,085 During the current and previous fiscal years,the City of Rancho Cucamonga has made loans to the Rancho Cucamonga Redevelopment Agency. These loans which amount to $43,373,247 as of June 30,2006,bear interest at rates up to 12%per annum depending upon when the loan was initiated.The City may demand payment of all or a portion of the principal balance at any time as funds become available; however,such demands are not anticipated with the next fiscal year. As of June 30,2006, accrued unpaid interest owed on these loans were$35,352,020. During the formation of Community Facilities District CFD 2000-01 (District), a number of meetings were held with property owners within the proposed boundaries to discuss participation in the District and benefits to their property. As a result of those meetings, the approved boundary map was modified at the landowners'request to exclude certain properties from the District boundaries.Property owners that were excluded from the District boundaries, but will be receiving direct benefit from the improvements constructed by CFD 2001-01,were advised that reimbursement would be required when their properties are developed. The Redevelopment Agency advanced the pro-rata share for properties that will receive benefit from the improvements,but are not participating in the District.At June 30,2006,the advance was$4,348,838. 1 48 1 ICity of Rancho Cucamonga Notes to Financial Statements (Continued) INote 6: Interfund Receivable, Payable and Transfers(Continued) I The$300,000 advance from the General Fund to the Park Development Fund was done on March 5,1996,based on Council approval.The advance was to provide funding of Phase I for the Northeast Community Park and is to be repaid in the future(no specific date). ITransfers Out General POEMS'- Mnidpal NrxvrAor Fund Dept Service Utility Funds Total I Funds Trmnfaa In Genera $ - $ - $ 102000 $ 2550 $ 102,560 Redevelopment Agency- I Capital Rt - 4,035,810 - - 4,035,810 Spats Comdex 648,793 648,790 Aridal Utility 9,100 - - - 9,100 . NonmajorFunds 1,033,070 1,254,544 - 52863 2,341,477 ITotal $ 1,690,960 $ 5,290,354 $ 100,000 $ 56,423 $ 7,137,737 IInterfund Transfers The General Fund transferred $648,790 to the Sports Complex to cover budgeted amounts. IThe Rancho Cucamonga Redevelopment Agency Debt Service Fund transferred $4,035,810 to the Rancho Cucamonga Redevelopment Agency Capital Project Fund to cover the cost of operation and capital projects. I I I I I I I 1 49 I City of Rancho Cucamonga Notes to Financial Statements (Continued) Note 7: Long-Term Debt Obligations I a. Long-Term Debt—Governmental Activities ' The following is a schedule of changes in governmental activities long-term debt for the fiscal year ended June 30,2006: Balance July 1,2005 Outstanding Due Within , July 1,2005 Adjustments As Adjusted Additions Repayments June 30,2006 One Year Bonds: Housing Set-Aside Tax ' Allocation Bonds- 1996 Issue $ 32,240,000 $ - $ 32,240,000 $ - $ 825,000 $ 31,415,000 $ 865,000 Tax Allocation Refunding Bonds-1999 Issue 46,775,000 - 46,775,000 - 1,740,000 45,035,000 2,115,000 Tax Allocation Bonds 2001 Issue 72,440,000 - 72,440,000 - 615,000 71,825,000 10,000 Tax Allocation Bonds 2004 Issue 165,680,000 - 165,680,000 - 2,950,000 162,730,000 3,330,000 Total Bonds 317,135,000 - 317,135,000 - 6,130,000 311,005,000 6,320,000 I Developer Loans: Federal Bureau of Reclamation 4,588,965 - 4,588,965 - 681,315 3,907,650 681,315 , Price Co. 830,231 - 830,231 - 611,340 218,891 - Bank of New York 13,321,353 - 13,321,353 - 235,442 13,085,911 256,567 Total Developer Loans 18,740,549 - 18,740,549 - 1,528,097 17,212,452 937,882 Claims and judgments payable 483,016 187,806 670,822 1,723,667 325,782 2,068,707 550,000 Accrued employee benefits 2,100,044 3,857,825 5,957,869 - 968,845 572,711 6,354,003 610,000 I Total $ 338,458,609 $ 4,045,631 $ 342.504,240 $ 2,692,512 $ 8,556,590 336,640,162 $ 8,417,882 Unamortized bond premium 4,493,603 ' $ 341,133,765 A description of individual components of long-term debt outstanding as of June 30, 2006, is as ' follows: Tax Allocation Bonds I 1. Rancho Cucamonga Redevelopment Agency, Rancho Redevelopment Project, 1996 Housing Set-Aside Tax Allocation Bonds,$37,665,000.These bonds are dated , September 1, 1996, and were issued in order: a) to repay the note issued by the Agency to Sanwa Bank in the remaining principal amount of$20,783,487; b)to pay off the non-taxable term loan to Sanwa Bank in the principal amount of$5,841,301 plus prepayment penalties; c) to complete the projects for which the loans were , originated, namely Mountainsides Monterey Village and Sycamore Springs; and d)to make grants to the Southern California Housing Development Corporation and to the Northtown Housing Development Corporation. The issue consists of • $8,970,000 Serial Bonds with maturities beginning September 1, 1997 through ' September 1, 2008, and $28,695,000 term bonds maturing thereafter. Interest is payable semi-annually on March 1 and September 1 of each year commencing March 1, 1997.The bonds mature in annual installments ranging from $585,000 to ' $2,375,000 from September 1, 1997 to September 1,2026,and bear interest ranging from 4.50% to% 5.25%. • 50 I ICity of Rancho Cucamonga Notes to Financial Statements (Continued) Note 7: Long-Term Debt Obligations(Continued) I Bonds maturing on or before September 1,2006,are not subject to call and redemption prior to their stated maturities. Bonds maturing on or after September 1, 2007, are subject, at the option of the Agency, to redemption in whole or In part, prior to their stated maturities on any date, commencing September 1, 2006. The bonds maturing I September 1, 2011; September 1,2016; September 1, 2021 and September 1, 2026, are subject to mandatory redemption in part from sinking account installments on September 1, 2009, and on each September 1 thereafter, up to and including September 1, 2026. The balance at June 30, 2006 amounted to $31,415,000. IThe following schedule illustrates the debt service requirements to maturity for the 1996 Housing Set-Aside Tax Allocation Bonds as of June 30, 2006: I • Principal Interest 2006-2007 $ 865,000 $ 1,616,230 I 2007-2008 905,000 950,000 1,571,528 2008-2009 1,523,513 2009-2010 1,005,000 1,473,450 2010-2011 1,055,000 1,421,950 I 2011-2016 6,125,000 6,219,213 2016-2021 7,915,000 4,387,556 2021-2026 10,220,000 2,019,938 I2026-2027 2,375,000 62,344 Total $ 31,415,000 $ 20,295,722 I2. Rancho Cucamonga Redevelopment Agency, Rancho Development Project, 1999 Tax Allocation Refunding Bonds, $54,945,000. These bonds are dated I August 30, 1999, and were issued in order to finance a portion of the Agency's Rancho Development Project,to currently refund the outstanding principal balance of $47,715,000 of the Rancho Development Project 1990 Tax Allocation Bonds and to fund redevelopment activities. Interest is payable semi-annually on March 1 and 1 September 1 of each year commencing March 1,2000.The bonds mature in annual installments ranging from $1,880,000 to $4,165,000 starting September 1, 2000 to September 1,2020, and bear interest ranging from 4.25%to5.25%. I The bonds maturing before September 1, 2009, are not subject to call and redemption prior to their stated maturities. Bonds maturing on or after September 1, 2010,are subject at the option of the Agency,to redemption,in whole I or in part, by lot, prior to their stated maturities on any date, commencing September 1, 2009. The bonds maturing on September 1, 2020, are subject to mandatory redemption in part from sinking account installments on September 1,2015, and on each September 1 thereafter, up to and including ll September 1, 2020. • I I I 51 I • City of Rancho Cucamonga , Notes to Financial Statements(Continued) Note 7: Long-Term Debt Obligations(Continued) Tax Revenues, except as provided below, are pledged in their entirety to the payment of principal of, and interest on and redemption premium, if any, on the bonds listed above and are referred to in the applicable series resolutions, as Pledged Tax Revenues." Pledged Tax Revenues, except for the 1996 Housing Set-Aside Tax Allocation Bonds, do not include that portion of Tax Revenues derived from the Project Area which are required by Section 33334.2 of the Redevelopment Law to be set aside by the Agency in a separate low and moderate income housing fund and be used for the purpose of increasing and improving the community's supply of low and moderate income housing. Pledged Tax Revenues also do not include that portion of tax revenues derived from the Project Area which are required to be used by the Agency in accordance with the provisions of certain agreements entered into by the Agency.The Agency has entered into cooperative agreements with taxing agencies affected by the Redevelopment Project. Such agreements have been entered into with: a) the Chino Basin Municipal Water District,b)the County of San Bernardino on behalf of the County Free Library and the San Bernardino County Flood Control District,c)the Cucamonga County Water District,d)the Foothill Fire Protection District,and e)various school districts located within the project area. Under the terms of these agreements, the Agency has agreed that certain tax revenues attributable to those areas and which are allocated to the Agency pursuant to Section 33670(b), shall be pledged by the Agency to make certain cash payments or in lieu of contributions to each affected taxing agency.Such payments are to be made from tax revenues allocated to the Agency. Pledged Tax Revenues also do not include interest income on the various funds and accounts created by the series resolutions.Any such investment income is available to the Agency to meet debt service payments on the bonds but is not specifically pledged therefore. In addition to providing for the pass-through of tax revenue to the County Free ' Library and the San Bernardino County Flood Control District, the agreement between the Agency and the County of San Bernardino also provides that tax revenues, which would have been allocated to the County had not the Redevelopment Plan been adopted,will be fully allocated to the Agency until fiscal year 1998-1999. The agreement, however, further provides that the Agency must use such tax revenues for the development of certain regional facilities,as agreed to between the County and the Agency.The Agency anticipates satisfying this regional facilities requirement with certain previously received bond proceeds.The balance at June 30, 2006, amounted to$45,035,000. The following schedule illustrates the debt service requirements to maturity for the 1999 Tax Allocation Refunding Bonds as of June 30, 2006: Principal Interest ' 2006-2007 $ 2,115,000 $ 2,216,028 2007-2008 2,210,000 2,121,935 2008-2009 2,310,000 2,020,185 2009-2010 2,420,000 1,909,580 2010-2011 2,530,000 1,791,385 2011-2016 14,620,000 6,887,715 2016-2021 18,830,000 2,573,550 Total $ 45,035,000 $ 19,520,378 52 City of Rancho Cucamonga Notes to Financial Statements (Continued) ' Note 7: Long-Term Debt Obligations (Continued) ' 3. Rancho Cucamonga Redevelopment Agency, Rancho Development Project,2001 Tax Allocation Bonds,$74,080,000.These bonds are dated August 7,2001,and were issued in order to finance a portion of the Agency's Rancho Development Project and to pay certain costs of issuance of the bonds. Interest is payable semi-annually on March 1 and ' September 1 of each year commencing March 1, 2002. The bonds mature in annual installments from $10,000 to $11,540,000 from September 1, 2002 to September 1, 2030, and bear interest ranging from 3,000%to 5.125%. The bonds maturing before September 1,2011,are not subject to call and redemption prior to their stated maturities. The bonds maturing on or after September 1,2012, are subject, at the option of the Agency to redemption, in whole or in part, by lot, prior to 1 their stated maturities on any date,commencing September 1,2011,among maturities at the discretion of the Agency and by lot within a maturity upon payment, from any source of funds available,of the principal amount and accrued interest payable thereon, without premium. ' Tax Revenues,except as provided below,are pledged in their entirety to the payment of principal, interest and redemption premium, if any, on the bonds listed above and are ' referred to in the applicable series resolutions as"Pledged Tax Revenues." Pledged Tax Revenues, except for the 1996 Housing Set-Aside Tax Allocation Bonds, do not include that portion of Tax Revenues derived from the Project Area which are required by Section 33334.2 of the Redevelopment Law to be set aside by the Agency in a separate low and moderate income housing fund and be used for the purpose of increasing and improving the community's supply of low and moderate income housing. Pledged Tax Revenues also do not include that portion of tax revenues derived from the Project Area which are required to be used by the Agency in accordance with the provisions of certain agreements entered into by the Agency. The Agency has entered into cooperative agreements with taxing agencies affected by the Redevelopment Project.Such agreements have been entered into with:a)the Chino 1 • Basin Municipal Water District,b)the County of San Bernardino on behalf of the County Free Library and the San Bernardino County Flood Control District, c)the Cucamonga County Water District, d) the Foothill Fire Protection District, and e) various school districts located within the project area. Under the terms of these agreements, the Agency has agreed that certain tax revenues attributable to those areas and which are allocated to the Agency pursuant to Section 33670(b),shall be pledged by the Agency to make certain cash payments or in lieu of contributions to each affected taxing agency. Such payments are to be made from tax revenues allocated to the Agency.Pledged Tax Revenues also do not include interest income on various funds and accounts created by the series resolutions.Any such investment income is available to the Agency to meet debt service payments on the bonds, but is not specifically pledged therefore. The balance at June 30, 2006, amounted to $71,825,000. I I 1 1 53 I City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 7: Long-Term Debt Obligations(Continued) The following schedule illustrates the debt service requirements to maturity for the 2001 Tax Allocation Bonds as of June 30, 2006: Principal Interest 2006-2007 $ 10,000 $ 3,721,994 2007-2008 10,000 3,721,494 2008-2009 10,000 3,720,994 2009-2010 10,000 3,720,494 2010-2011 10,000 3,719,994 2011-2016 65,000 18,590,844 2016-2021 85,000 18,572,594 2021-2026 19,285,000 17,321,128 2026-2031 52,340,000 6,974,100 Total $ 71,825,000 $ 80,063,636 4. Rancho Cucamonga Redevelopment Agency, Rancho Redevelopment Project, 2004 Tax Allocation Bonds,$165,680,000.These bonds are dated March 1,2004, and were ' issued in order i)to refund and defease the Agency's$52,225,000 outstanding principal amount Rancho Redevelopment Project 1994 Tax Allocation Refunding Bonds,and ii)to fund redevelopment activities. The issue consists of$109,690,000 Serial Bonds with maturities beginning September 1,2005 through September 1,2025,$12,210,000 Term Bonds due September 1,2028, bearing interest at 4.45% per annum and$43,780,000 Term Bonds due September 1, 2032, bearing interest at 4.50% per annum. Interest is payable semi-annually on March 1 and September 1 of each year commencing September 1, 2004. The Serial Bonds mature in annual installments ranging from $2,950,000 to $10,955,000 starting September 1, 2005 to September 1, 2025, and bearing interest ranging from 2.00% to 5.00%. Bonds maturing on or before September 1,2014,are not subject to call and redemption I prior to their stated maturities. Bonds maturing on or after September 1, 2015, are subject, at the option of the Agency, to redemption in whole or in part, prior to their stated maturities on any date,commencing September 1,2014.The bonds maturing on September 1,2028 and September 1,2032,are subject to mandatory redemption in part from sinking account installments on September 1, 2026 and September 1, 2029, respectively,and on each September 1 thereafter,at a redemption price equal to 100% of the principal amount plus accrued interest, if any, to the redemption date, without premium. The Agency has pledged for the repayment of the Bonds the Tax Revenues which constitute all taxes allocated to the Agency with respect to the Project, pursuant to Article 6 of Chapter 6 (commending with Section 33670)of the Law and Section 16 of Article XVI of the Constitution of the State, or pursuant to other applicable state laws, and as provided in the Redevelopment Plan. Pledged Tax Revenues also do not include that portion of tax revenues derived from the Project Area which are required to be used by the Agency in accordance with the provisions of certain agreements entered into by the Agency. I 54 I City of Rancho Cucamonga Notes to Financial Statements (Continued) Note 7: Long-Term Debt Obligations (Continued) The Agency has entered into cooperative agreements with taxing agencies affected by the Redevelopment Project.Such agreements have been entered into with(i)the Chino Basin Municipal Water District,(ii)the County of San Bernardino on behalf of the County Free Library and the San Bernardino County Flood Control District,(Iii)the Cucamonga County Water District, (iv)the Foothill Fire Protection District, and (v) various school districts located within the project area. Under the terms of these agreements, the Agency has agreed that certain tax revenues attributable to those areas and which are I allocated to the Agency pursuant to Section 33670(b),shall be pledged by the Agency to make certain cash payments or in lieu of contributions to each affected taxing agency. Such payments are to be made from tax revenues allocated to the Agency.Pledged Tax Revenues also do not include interest income on various funds and accounts created by the series resolutions.Any such investment income is available to the Agency to meet debt service payments on the bonds but is not specifically pledged therefore.The bonds are further secured by a financial guarantee insurance policy in the event of nonpayment of principal and/or interest. IThe balance at June 30, 2006, amounted to $162,730,000, plus unamortized bond premium of$4,493,603. The following schedule illustrates the debt service requirements to maturity for the 2004 Tax Allocation Bonds as of June 30, 2006: ' Principal Interest 2006-2007 $ 3,330,000 $ 7,022,790 2007-2008 3,475,000 , 6,913,115 2008-2009 3,545,000 3,700,000 6,798,603 2009-2010 6,635,590 2010-2011 3,870,000 6,455,590 j 2011-2016 22,225,000 29,411,475 2016-2021 27,770,000 23,775,128 2021-2026 38,825,000 15,906,478 2026-2031 21,275,000 10,278,225 2031-2033 34,715,000 1,579,388 Total $162,730,000 $114,776,382 • I 1 55 I City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 7: Long Term Debt Obligations (Continued) Developer Loans Payable 1. During fiscal year 1988-1989,the Rancho Cucamonga Redevelopment Agency obtained a loan from the Federal Bureau of Reclamation in connection with the Day Creek Water Project.The original debt amounted to$13,400,000 and,in accordance with the terms of the agreement, annual payments of $681,315 have been made to the County of San Bernardino (acting as lead agency for the Federal Government). Future interest payment cannot be reasonably estimated.The balance at June 30,2006,amounted to $3,907,650. The following schedule illustrates the debt service requirements to maturity as of June 30, 2006: Principal Interest 2006-2007 $ 681,315 $ - 2007-2008 681,315 - 2008-2009 681,315 - 2009-2010 681,315 - 2010-2011 681,315 - 2011-2012 501,075 - Total $ 3,907,650 $ 2. In December of 1990,the Rancho Cucamonga Redevelopment Agency entered into a Disposition and Development Agreement with the Price Company (Developer). In • accordance with this agreement,the Agency executed a 23-year note in the amount of $3,756,615. The note was issued to provide financing of certain redevelopment activities, which included the acquisition of approximately 13 acres of land. The note bears interest at the rate of 9% per annum. The Agency shall pay the Developer quarterly payments amounting to 50% of taxes derived from the imposition of the Bradley Bums Uniform Local Sales and Use Tax Law commencing with Section 7200 of the Revenue and Taxation Code of the State of California,as amended,arising from all businesses and activities conducted on the Price Parcel. In the event that the debt service payments are insufficient to fully discharge the principal and interest on this note within the 23 years, then in such event, the unpaid balance of principal and accrued interest,if any,shall be deemed forgiven,Therefore,accrued interest is not reported on the financial statements. The balance at June 30, 2006, amounted to $218,891. The note does not have a fixed amortization as the debt service payments are based on tax revenue collection. I 1 56 I City of Rancho Cucamonga Notes to Financial Statements(Continued) ' Note 7: Long-Term Debt Obligations(Continued) 3. On August 21, 1996, the Agency executed a note payable to Pacific Life Insurance Company(subsequently assigned to Bank of New York)in the amount of$9,411,477. The proceeds of the note were paid directly to Northtown Housing Development Corporation for the development of the Northtown Housing project. The outstanding I principal bears interest at 8.78%compounding semi-annually from the date of the note until paid. Interest was added to the principal on each March 15 and September 15 through March 15,2002,amounting to$4,210,264 in addition to principal.Commencing on September 15, 2002, both principal and interest shall be due and payable semi- annually on March 15 and September 15, of each year through March 2026. The balance at June 30,2006, amounted to$13,085,911. ' The following schedule illustrates the debt service requirements to maturity as of June 30, 2006: Principal Interest ' 2006-2007 $ 256,567 $ 1,143,433 2007-2008 279,589 1,120,411 2008-2009 304,676 1,095,324 2009-2010 332,013 1,067,987 2010-2011 361,803 1,038,197 2011-2016 2,358,294 4,641,706 ' 2016-2021 3,623,988 3,376,012 2021-2026 5,568,981 1,431,019 Total $ 13,085,911 $ 14,914,089 ' Claims and Judgments Payable The City's liability regarding self insurance is described in Note 13 of the Notes to Financial Statements.The liability will be paid as it becomes due by the General Fund and the Fire District Fund. Accrued Employee Benefits The City's policies relating to compensated absences are described in Note 1 of the Notes to Financial Statements.The liability will be paid in future years as it becomes due ' by General Fund and the Fire District Fund. • 1 ' 57 City of Rancho Cucamonga Notes to Financial Statements (Continued) Note 8: Other Special Obligations The following issues of Residential Mortgage Revenue Bonds, Special Assessment District Bonds,Senior Lien Bonds and Subordinate Lien Bonds are not reflected in the Statement on Net Assets because these are special obligations payable solely from and secured by specific revenue sources described in the resolutions and official statements of the respective issues. Neither the faith and credit nor the taxing power of the City, the Redevelopment Agency, the State of California or any political subdivision thereof,is pledged for the payment of these bonds. The outstanding amounts at June 30,2006, were as follows: Outstanding , Amount at June 30,2006 City of Rancho Cucamonga: Reassessment District 1999-1 $ 2,590,000 Assessment District 93-1 2,485,000 Community Facilities District No. 93-3 3,800,000 Community Facilities District No. 88-2 2,240,000 Community Facilities District No.2000-01 1,240,000 Community Facilities District No.2000-02 6,490,000 Community Facilities District No.2001-01 Series A 13,790,000 Community Facilities District No.2001-01 Series B 910,000 Community Facilities District No.200301 Series 2003-A 14,645,000 Community Facilities District No.2003-01 Series 2003-B 2,855,000 Community Facilities District No.2000-03 9,835,000 Rancho Cucamonga Redevelopment Agency. Multi-Family Housing Revenue Bond: Series 1997A 3,136,500 Series 1997B 287,558 Total $ 64,304,058 • 1 IV. OTHER INFORMATION Note 9: Pension Plan Obligations Plan Description The City and Fire District contribute to the California Public Employees Retirement System (PERS), an agent multiple-employer public employee defined benefit pension plan. PERS provides retirement and disability benefits, annual cost-of-living adjustments and death benefits to plan members and beneficiaries. PERS acts as a common investment and administrative agent for participating public entities within the State of Califomia. Benefit provisions and all other requirements are established by state statute and City ordinance. Copies of PERS annual financial report may be obtained from their executive office: 400 P Street, Sacramento, CA 95814. 1 1 58• City of Rancho Cucamonga Notes to Financial Statements(Continued) tNote 9: Pension Plan Obligations(Continued) Funding Policy Participants are required to contribute 8%(9%for safety employees)of their annual covered salary. The City and Fire District make the contributions required of City and Fire District ' employees on their behalf and for their account. The City and Fire District are required to contribute at an actuarially determined rate; the current rate as a percentage of annual covered payroll is 11.149%for the City non-safety employees, 14.630%for Fire District non- ' safety employees and 21.22% for Fire District safety employees. The contribution requirements of plan members and the City are established and maybe amended by PERS. Annual Pension Cost(APC) For fiscal year 2005-2006, the City and Fire District's annual pension costs of$3,969,997 and$2,376,567 respectively,for PERS were equal to the City and Fire District's required and actual contributions. The required contributions were determined as part of the June 30, 2005, actuarial valuation using the entry age normal actuarial cost method. A summary of principle assumptions and methods used to determine the APC is shown ' below: Valuation Date June 30,2005 Actuarial Cost Method Entry Age Actuarial Cost Method ' Amortization Method Level Percent of Payroll Average Remaining Period City: 25 years as of the Valuation Date Fire Non-Safety: 16 years as of the Valuation Date ' Fire Safety: 17 years as of the Valuation Date Asset Valuation Method 15-Year Smoothed Market ' Actuarial Assumptions: Investment Rate of Return 7.75% (net of administrative expenses) Projected Salary Increases 3.25% to 14.45% depending on age, service and type of employment ' Inflation 3.00% Payroll Growth 3.25% Individual Salary Growth A merit scale varying by duration of employment coupled with an assumed ' annual inflation component of 3.00%and an annual production growth of 0.25%. ' Initial unfunded liabilities are amortized over a closed period that depends on the Plan's date of entry into CaIPERS. Subsequent plan amendments are amortized as a level percent of pay over a closed 20-year period. Gains and losses that occur in the operation of the plan are amortized over a rolling period, which results in an amortization of about 6% of ' unamortized gains and losses each year.If the Plan's accrued liability exceeds the actuarial value of plan assets,then the amortization payment on the total unfunded liability may not be lower than the payment calculated over a 30-year amortization period. 59 City of Rancho Cucamonga ' Notes to Financial Statements(Continued) Note 9: Pension Plan Obligations (Continued) ' Three-Year Trend Information for PERS ' (Amounts in Thousands) Annual Pension Percentage of Net Pension ' Fiscal Year Cost(APC) APC Contributed Obligation 06/30/2004 $ 2,848 100% $ - 06/30/2005 $ 5,240 100% $ - , 06/30/2006 $ 6,347 100% $ - • • Schedule of Funding Progress for PERS ' Miscellaneous Plan of the City of Rancho Cucamonga (Amounts in Thousands) ' Actuarial Accrued UAAL as Actuarial Actuarial Liability Unfunded a%of ' Valuation Value of (AAL)Entry AAL Funded Covered Covered Date Assets Age (UAAL) Ratio Payroll Payroll 6/30/03 $ 55,649 $ 59,690 $ (4,041) 93.2 °A, $ 18,916 21.4 % ' 6/30/04 $ 60,481 $ 64,842 $ (4,361) 93.3 % $ 18,321 23.8 % 6/30/05 $ 67,629 $ 72,000 $ (4,371) 93.9 % $ 18,977 23.0 % The Rancho Cucamonga Fire Protection District participates in risk pooling. Risk pooling I consists of combining assets and liabilities across employers to produce large groups where the impact of a catastrophic demographic event is shared among all employers of the same risk pool. ' Participation in risk pools is mandatory for all rate plans with less than 100 active members. Mandated participation in risk pools was initially based on the active membership of each rate plan as of June 30,2003. The implementation of risk pools was done in a way that minimizes the impact on employer contribution rates. The first year in risk pools,the employer contribution ' rates are almost identical to what the rates would have been outside pools. Future rates will be based on the experience of each pool. Pooling will reduce the volatility of future employer rates. Mandated participation will occur on an annual basis. If on any valuation date starting with the June 30,2003, valuation,a rate plan has less than 100 active members, It will be mandated in , one of the risk pools effective on that valuation date. Note 10: PARS Retirement Enhancement Plan Plan Description , Plan Description - The City of Rancho Cucamonga sponsors the PARS Retirement t Enhancement Plan. The Plan provides pension benefits to miscellaneous members(Tier 1), the city manager(Tier 2),and city council members(Tier 3). The Tier 1 and Tier 3 benefit is equal to a percentage of highest pay multiplied by years of service, with the percentage varying by retirement age based on a 3%at 60 target offset by CaIPERS 2.5%at 55 formula. ' Sample rates are as follows: I I 60 City of Rancho Cucamonga Notes to Financial Statements(Continued) INote 10: PARS Retirement Enhancement Plan (Continued) ' Age Tier 1 Tier 2 55 0.000% 0.500% 56 0.100 0.500 I 57 0.200 0.500 58 0.300 0.500 59 0.400 0.500 I60+ 0.500 0.500 Benefits are increased by a 2%annual cost of living adjustment after retirement.There are no employee contributions for either tier. ' Funding Policy I The City's funding policy is to contribute the annual required contribution. The annual required contribution equals the sum of: • normal cost, and • amortization of the unfunded actuarial accrued liability. Annual Pension Cost I Government Accounting Standards Board Statement No.27(Statement 27)requires that the City determine the plan's annual pension cost based on the most recent actuarial valuation. The annual pension cost equals the plan's annual required contribution, adjusted for I historical differences between the annual required contribution and amounts contributed. The actuary has determined the City's annual required contribution equal to the sum of(a) normal cost, and (b) amortization of the unfunded actuarial accrued liability. I For calendar year ending June 30, 2006, the City's annual required contribution is $1,029,000. The City's actual contribution was$1,029,000. The required contribution was based on the June 30,2004 actuarial valuation using the entry age normal(level percentage of pay) actuarial cost method. The actuarial assumptions included (a) 7.0% investment I return (net of administrative expenses), (b)CaIPERS 1997—2002 Experience Study table for Males and Females, (c) projected annual payroll increases of 3.25% a year plus merit, and (d) cost-of-living adjustment of 2% per year. Both (a) and (c) included an inflation Icomponent of 3.0%. The unfunded actuarial accrued liability is being amortized as a level percent of pay. The amortization periods are(1)20 years for initial unfunded accrued liability(from July 1,2002), I (2) 15 years for gains/losses, (3) 20 years for plan amendments, and (4) 20 years for assumption changes. The following table provides 4 years of historical information of the Annual Pension Cost: IAnnual Pension • Cost(APC) Percentage of Net Pension I Year Ending (in Thousands) APC Contributed Obligation 6/30/2003 $ 736 100% $ 6/30/2004 857 100% - I 6/30/2005 965 1 100% _ 6/30/2006 1,029 100% I 61 City of Rancho Cucamonga ' Notes to Financial Statements (Continued) Note 10: PARS Retirement Enhancement Plan (Continued) • ' Schedule Of Funding Progress ' • (Amounts in Thousands) Unfunded t Actuarial Actuarial Actuarial Actuarial UAAL as a% Valuation Value of Accrued Accrued Funded Covered of Covered Date Assets Liability Liability Ratio Payroll Payroll 07/01/2002 $ - $ 4,664 $ 4,664 0.0% $ 16,759 27.8% 1 07/01/2004 • 1,640 7,999 6,359 20.5% 17,031 37.3% 07/01/2006 3,830 10,144 6,314 37.8% 20,767 30.4% ' Actuarial valuation is performed every other year. • Note 11: Post-Employment Benefits The City and Redevelopment Agency do not provide post-employment benefits; however, medical coverage is provided to Fire District personnel and their dependents upon retirement ' under the Rancho Cucamonga Fire Protection District Memorandum of Understanding. The District recognizes the cost of providing these benefits by recording the insurance premiums as expenditures. The cost for 35 retirees was $399,586 for the fiscal year ended June 30,2006. ' Note 12: Fund Equity and Net Assets Restatement ' Beginning fund balances have be restated as follows: ' Major governmental funds: General Fund To remove the non current portion of compensated , absences liability out of the fund $ 2,811,371 To remove the non current portion of claims and . judgments liability out of the fund 187,806 ' To restate liability under accrued (170,072) $ 2,829,105 Redevelopment Agency-Capital Project • ' To reclass prior year expenditure belonging to the Public Library Bond Act-2000 Fund $ 1,376,266 ' To restate the advances to other funds for amount incorrectly recorded in prior year (194,424) $ 1,181,842 ' Non-major governmental funds: Drainage Facility To restate accounts receivable over accrued in prior year $ (193,108) ' Local Law Enforcement Block Grant To restate accounts payable over accrued in prior year $ 31,203 ' 1 62 . 1 1 City of Rancho Cucamonga ' Notes to Financial Statements(Continued) Note 12: Fund Equity and Net Assets Restatement(Continued) ' AB 2928 Traffic Congestion Releif To reclass prior year revenue recorded to the incorrect fund $ (1,320,000) ' Proposition 42-Traffic Congestion Mitigation To reclass prior year revenue recorded to the incorrect fund $ 1,320,000 ' Fire District To remove the non current portion of compensated absences liability out of the fund $ 1,046,454 tCFD 2001-01 To restate accounts receivable over accrued in prior year $ (112,594) ' To restate the advances from other funds for amount incorrectly recorded in prior year 177,925 $ 65,331 ' CFD 2003-01 Project Fund To restate the advances from other funds for amount incorrectly recorded in prior year $ 16,499 Beginning net assets has been restated as follows: ' Governmental Activities: To restate beginning accounts receivable balance for amounts over accrued in prior year $ (305,702) ' To restate accounts payable and accrued liabilities at July 1, 2005 (144,708) To agree capital assets to detail record at July 1, 2005 160,025 ' $ (290,385) ' Note 13: Summary Disclosure of Self-Insurance Contingencies City Disclosure of Self-Insurance Contingencies ' The City is self-insured for the first$250,000 on each general liability claim and for the first $100,000 on each workers'compensation claim.The insurance coverage in excess of the self-insured amount is provided by the Public Agency Risk Sharing Authority of California (PARSAC) up to a limit of$10,000,000. Claims expenditures and liabilities are reported when it is probable that a loss has occurred and the amount of that loss can be reasonably estimated.These losses include an estimate ' of claims that have been incurred but not reported. The City funds all claims payable, including those incurred but not reported, in the yearly deposit it pays to PARSAC. 1 63 • t City of Rancho Cucamonga Notes to Financial Statements(Continued) Note 13: Summary Disclosure of Self-Insurance Contingencies(Continued) Effective June 1, 1986,the City became a member of the PARSAC,a public entity risk pool currently operating as a common risk management and insurance program for 36 California cities.The City pays an annual premium to the pool for its excess general liability insurance coverage.The agreement for information of the PARSAC provides that the pool will be self- sustaining through member premiums.The PARSAC will publish its own financial report for the year ended June 30, 2006, which can be obtained from Public Agency Risk Sharing Authority of Califomia, Sacramento, California. Fire Protection District Disclosure of Self Insurance Contingencies For general liability, the Fire Protection District is covered through the Fire Agencies Insurance Risk Authority (FAIRA) on each general liability claim up to $1,000,000. The liability deductible is $0, except $10,000 for Management Liability claims. The insurance coverage in excess of the $1,000,000, up to $10,000,000, is provided by American Alternative Insurance Corporation. ' Effective, June 29, 1989, the District became a member of FAIRA, a public entity risk pool currently operating as a common risk management and insurance program for 99 California Fire Protection Districts. The District pays an annual premium to the pool for its excess general liability insurance coverage. The agreement for information of FAIRA provides that the pool will be self-sustaining through member premiums. FAIRA publishes its own financial report for the year ended June 30, 2006, which can be obtained from the Fire Agencies Insurance Risk Authority, Novato, California. For workers compensation,the Fire Protection District is,self-insured for the first$350,000 on each workers compensation claim as a member of the Public Agency Self-Insurance System (PASTS)of San Bernardino County. The insurance coverage-in excess of the self-insured amount is provided by the California State'Association of Counties Excess Insurance Authority(CSAC-EIA). Effective,July 1,2002,the District became a member of CSAC-EIA,a public entity risk pool currently operating as a common risk management and insurance program for 145 California cities,counties,school districts,municipal services organizations,and joint power authorities. The District pays an annual premium to the pool for its excess workers compensation insurance coverage. The agreement for information of the CSAC-EIA provides that the pool will be self-sustaining through member premiums. CSAC-EIA publishes its own financial report for the year ended June 30,2006,which can be obtained from the California State Association of Counties Excess Insurance Authority, Moraga, California. • Workers compensation claims expenditures and liabilities are reported when it is probable that a loss has occurred and the amount of that loss can be reasonably estimated. These losses include an estimate of claims that have been incurred but not reported. The District funds all claims payable, including those incurred, but not reported, in the yearly deposit it pays to PASIS. There have been no significant changes in insurance coverage from the prior year. During the past three fiscal years, the amount of settlements has not exceeded the amount of insurance coverage. 1 64 1 City of Rancho Cucamonga ' Notes to Financial Statements (Continued) Note 13: Summary Disclosure of Self-Insurance Contingencies(Continued) The City and the District are involved in litigation arising in the normal course of business. Although the legal responsibility and financial impact with respect to such litigation cannot be ' presently ascertained,based on information from the service agent and others involved with the administration of the programs, the City believes that the self-insurance designation of $7,130,733 is adequate to cover such losses. ' The following is a summary of the changes in the claims liability over the past two fiscal years for the City and the Fire Protection District combined: ' Current Year Claims Beginning and Changes in Claim Ending Fiscal Year Balance Estimates Payments Balance ' 2004-2005 $ 143,296 $ 867,518 $ (339,992) $ 670,822 2005-2006 $ 670,822 $ 1,723,667 $ (325,782) $ 2,068,707 ' Note 14: West End Communications Financing Authority The West End Communications Financing Authority was formed by a joint exercise of powers agreement dated February 21, 1990, and amended February 7, 1991, pursuant to the Joint ' Exercise of Powers Law of the State of California.It was established for the purpose of financing public improvements through the acquisition, construction and improvement thereof by the Authority. Separate financial statements may be obtained from the Authority. ' The Authority's membership consists of the City of Chino,the City of Ontario,the City of Rancho Cucamonga, the City of Montclair, the City of Upland, the Chino Valley Fire District, the Cucamonga County Water District,Ontario International Airport and the Rancho Cucamonga Fire ' Protection District.The City of Rancho Cucamonga's share of participation is 9.46%.The Board of Directors is comprised of the Chief Executive Officer and Finance Director of each member agency. Each Director has one vote over budgeting and financial matters, except for the Cucamonga County Water District and Ontario International Airport, who have chosen not to participate on the Board of Directors.The Authority is a public entity separate from the agencies, and is not included in the financial statements of those entities.The City of Rancho Cucamonga does not have an equity interest in the Authority. ' Note 15: Recent Legislation During 1995, the California Supreme Court issued a decision, which reinstated California's ' Proposition 62's voter-approval requirement for general taxes.As a result of this ruling,questions have arisen regarding the ability of general law cities to continue to assess utility user and other form of taxes, which were not approved by the voters. Also, recently the voters approved Proposition 218 which required that certain forms of taxes to be approved by the voters.As of the ' date of this report,a determination of whether future collection of this tax can continue cannot be determined. 1 65 1 City of Rancho Cucamonga Notes to Financial Statements(Continued) ' Note 16: Subsequent Events In July 2006, the City of Rancho Cucamonga, on behalf of the Community Facility District No. 2004-01 (Rancho Etiwanda Estate)and under the Mello-Roos Community Facilities Act of 1982, issued 2006 Special Tax Bonds in the amount of $43,545,000 to provide financing for street, landscaping, storm drains and park facilities to be owned by the City, school facilities to be owned by Etiwanda School District and Chaffey Joint Union High School District, water and sewer facilities to be owned by the Cucamonga County Valley Water District and the Inland Empire Utilities Agency,and flood control and open space property to be owned by the County of San Bernardino and the San Bernardino County Flood Control District. Subsequent to June 30,2006,the interest rate on loans payable and advances between the City and the Redevelopment Agency was reduced from 12%to the LAIF rate at July 3id',2006 which was 4.79%. 1 1 1 1 1 1 t I 1 1 66 1 1 ICITY OF RANCHO CUCAMONGA Non-Major Governmental Funds Special Revenue Funds Special Revenue Funds account for revenues derived from specific sources which are required by law or ' administrative regulation to be accounted for in a separated fund. Funds included are: Gas Tax Fund - Established to account for the revenue and disbursement of funds used for road construction and maintenance of the City network system. The City's share of state gasoline taxes ' provided the financing. SB325 Fund - Established to account for the revenue and disbursement of funds received by extending ' the statewide sales tax of 1/4 of 1 cent to motor vehicle fuel under the Transportation Development Act. Recreation Fund - Established to account for the wide variety of classes, special events, and activities sponsored by the Community Services Department. Park Development Fund - Established to account for the residential park development fees charged subdividers upon issuance of a building permit for development of future park or recreational sites. Beautification Fund - Established to account for fees collected to provide proper landscaping and irrigation systems after parkway and median improvements are made. Lighting Districts Fund - Established to account for the costs associated with providing street lights. Financing is provided by special assessments levied against the benefiting property owners. t Landscape Maintenance Fund - Established to account for the costs associated with providing landscape maintenance. Financing is provided by special assessments levied against the benefiting property owners. Systems Development Fund - Established to account for fees charged a subdivider for the construction and expansion of City streets and highways which provide additional capacity and safety. Drainage Facilities Fund - Established to account for fees charged developers for purposes of defraying the actual or estimated costs of constructing planned drainage or sewer facilities that are in the subdivision. ' Pedestrian Grants Fund - Established to account for the revenue and disbursement of funds received for the construction of facilities provided for the exclusive use of pedestrians and bicycles. Transportation Enhancement Act - ISTEA (formerly FAU) is a• federal grant funding source of the ' construction of major streets and bridges. The intermodal Surface Transportation Efficiency Act (ISTEA) is a competitive grant program that the City participates in. ' Community Development Block Grant Fund - Established to account for grants received from the Department of Housing and Urban Development. These revenues must be expended to accomplish one of the following objectives: elimination of slum or blight; or benefit to low and moderate income persons by providing loans and grants to owner-occupants and rental property owners to rehabilitate residential properties. Assessment Administration Fund - Established to account for the revenue and disbursement of administration of assessment districts. I I . CITY OF RANCHO CUCAMONGA Non-Major Governmental Funds Special Revenue Funds (Continued) San Sevaine/Etiwanda Drainage Fund - Established to account for Development Impact fees collected in the San Sevaine/Etiwanda Drainage Assessment District for the construction of regional and mainline tflood control projects in that district. SB 140 Fund - Established to account for the revenue and disbursement of State matching funds for the construction of eligible street construction projects. Air Quality Improvement Fund - Established to account for the revenue and disbursement of funds received as a result of Assembly Bill 2766 which imposed an additional registration fee on motor vehicles. These revenues are to be used to reduce air pollution from motor vehicles and for related planning, monitoring, enforcement, and technical studies (Vehicle Code Section 9250.17 and Health and Safety Code Chapter 7, Part 5 of Division 26, commencing with Section 44220). ISouth Etiwanda Drainage Fund - Established to account for monies deposited by property owners for initial consulting costs related to a possible formation of an assessment district for master planned drainage facilities. Lower Etiwanda Drainage Fund - Established to account for development impact fees collected in the Etiwanda area south of Base Line Road for the construction of master plan storm drain projects. ' Masi Commerce Center (Assessment District No. 93-1) - Established to acquire the necessary infrastructure from the developer after the completion and acceptance of the approved improvements. Financing was provided by the sale of bonds pursuant to the provisions of the Improvement Act of 1915. Measure I Fund - Established to account for the revenue and disbursement of county/local gasoline tax funds for the construction and maintenance of eligible street projects. ILibrary Services Fund - Established to account for services provided by the City of Rancho Cucamonga Library. Funding for this service is made possible through a transfer of San Bernardino County library tax revenues to the City of Rancho Cucamonga for library purposes. Some start-up costs were incurred ' during 1993/94; however, full implementation of City library services did not begin until September 1994. Metrolink Fund - Established to account for the commuter rail project (Metrolink Station) being funded by ' a combined source of State Proposition 108 (Passenger Rail & Clean Air Bond Act of 1990) and San Bernardino County Measure I revenues allotted to the City through an agreement with San Bernardino Associated Governments (SANBAG). California Literacy Campaign Grant Fund -The California Literacy Campaign Grant is administered by the State Library of California for the purpose of promoting literacy. ' Families for Literacy Program - Funded by the California State Library through a competitive grant process, the Families for Literacy Program provides monies to staff programs targeting 0 through 5 year old youngsters of illiterate parents. The emphasis on this program is to break the cycle of illiteracy by creating "reading ready" youngsters by the time they enter the school system. The applying agencies ' must have an existing Adult Literacy Program. No other matching funds are required Maior Urban Resource Library Grant Fund —Awarded each year by the California State Library, this grant ' program is funded through the Federal Library Services and Construction Act. Awarded on application to public libraries servicing a population in excess of 100,000, the funds must be used to purchase business reference resources. 1 CITY OF RANCHO CUCAMONGA Non-Major Governmental Funds Special Revenue Funds ' (Continued) Used Oil Recycling Grant Fund - In 1991, the Legislature passed AB 2076, the California Oil Recovery Enhancement Act. The act requires oil manufacturers to pay $0.04 to the California Integrated Waste Management Board for each quart of lubricating oil sold in the State of California. These grant funds are available to governmental agencies, based on population, for the purpose of establishing and administering used oil collection programs. These funds must be used expressly for oil recycling ' collection and educational programs. COPS Program Grant Fund - Established to account for a grant awarded as the result of the approval of ' State Assembly Bill 3229. The grant is a one-year award with no matching fund requirements. Local Law Enforcement Block Grant - Established to account for one-time federal grants awarded by the Bureau of Justice Assistance in 2000, 2001, and 2002. The total grant awards were $84,172, $83,118, ' and $64,121, respectively, and had matching requirements ranging from 9% to 11%. The funds were used to purchase radios for the County-wide network system (Motorola MTS 2000 portable radios), to purchase pre-emptive devices and thermal imaging cameras, and for construction of a helipad on the roof of the Public Safety Building. California Law Enforcement - Established to account for a program administered by the State Controller that is intended to provide one-time grants to local law enforement agencies for purchase of high ' technology equipment. COPS In Schools Grant - Established to account for a grant awarded by the Federal Department of Justice to provide supplemental funding of four (4) school resource officer (SRO) deputies at local schools. The total grant award was$500,000 and will be utilized over a three-year period. Senior Outreach Grant Fund — Established to account for a grant from the San Bernardino County ' Department of Aging and Adult Services. The grant requires matching funds of 10%. Funds from this grant will provide bi-lingual services and materials to be used to market the Rancho Cucamonga Senior Center, its programs, services and activities. ' Adult Education Act Grant Fund - Established to account for a $3,500 grant to the Rancho Cucamonga Public Library from the Federal Department of Education. The funds are earmarked for adult literacy services and are restricted to use for training and education of volunteers and staff with the "West End ' Literacy League," the joint literacy program operated by the Rancho Cucamonga Public Library, in partnership with the Upland Public Library. This competitive grant requires no matching funds and is available, on application, on a year-to-year basis. ' Library Services and Technologies Act - In fiscal year 1994/95, the City began providing library services to the residents of Rancho Cucamonga. In the fall of 1994, the City opened the interim municipal library facility with a 70,000 piece collection consisting of books, audio, video and reference materials. The ' 22,000 square foot facility doubled the amount of space previously available through the County system. The City's library collection and programs are designed to meet the needs of adults, young adults and children of Rancho Cucamonga. Funding for the library system comes from current taxes that are collected by the County for library services. The City's library system continues to operate from these same tax dollars and does not receive any additional funding from the City's general fund. AB2928 Traffic Congestion Relief Fund - Established to account for the revenue and disbursement of State AB 2928 funds allocated for transportation purposes. ' CITY OF RANCHO CUCAMONGA Non-Major Governmental Funds Special Revenue Funds ' (Continued) Litter Reduction Grant Fund - Established to account for a grant from the State Department of ' Conservation. This grant will fund a program that will emphasize the collection and recycling of beverage containers at large venues, public areas, residential communities or schools. Teen Connection State Grant - Established to account for a grant provided through the San Bernardino ' County Superintendent of Schools by the State of California. The funds will enable the City to serve more youth in the community by expanding its teen services to a new level with the implementation of the Teen Connection Program. This program places a City staff member on high school campuses to share City program information with students; show them how they can earn scholarships to college and participate in an apprentice program for job experience; and feature annual awards and scholarships for those students who best exemplify community service and spirit. ' Signal Coordination Grant — The Signal Coordination Grant fund is comprised of grant monies received from the San Manuel Band of Mission Indians for traffic congestion relief projects. The monies received represent a one-time discretionary grant of funds to various municipalities within San Bernardino County ' for construction of transportation related projects. Teen Connection Program Grant - Established to account for a grant provided through the San Bernardino County Superintendent of Schools by the State of California. The funds will enable the City to ' serve more youth in the community by expanding its teen services to a new level with the implementation of the Teen Connection Program. This program places a City staff member on high school campuses to share City program information with students; show them how they can earn scholarships to college and participate in an apprentice program for job experience; and feature annual awards and scholarships for those students who best exemplify community service and spirit. Safe Routes to School Program Grant—The Safe Routes to School Program fund is comprised of grant ' monies provided by the State of California. The state funds are administered through CalTrans as part of the California Department of Health Services "Safe Routes to School Program" and are available for transportation projects that increase the safety of pedestrians and bicyclists. Congestion Mitigation — Established to account for monies provided by the Federal Highway Administration as part of its Congestion Mitigation and Air Quality (CMAQ) Improvement Program. The federal funds are administered by the California Department of Transportation and are available for surface transportation and other related projects that contribute to air quality improvements and reduce congestion. ' Foothill Boulevard Maintenance -This fund was established to account for funding provided by Cal Trans as part of their relinquishment of Foothill Boulevard to the City of Rancho Cucamonga. This limited funding source will be utilized to repair and maintain portions of Foothill Boulevard. Milliken Land Transaction-The family of Ralph M. Lewis, in conjunction with Lewis Homes, Inc., donated $2,000,000 to the City for the development of the Community Center in Central Park. MWD City Makeover Program Grant — This grant program was established by the Metropolitan Water District (MWD) to lessen the region's outdoor water use. The City's share of the grant will provide resources for drought tolerant landscaping, walking paths, and an irrigations system for the six acres surrounding the Sam Maloof residence and workshop. 1 1 CITY OF RANCHO CUCAMONGA Non-Major Governmental Funds Special Revenue Funds ' (Continued) Code Enforcement Grant Program - This grant was awarded by the State of California Department of ' Housing to purchase various equipment and contract services to improve current Code Enforcement staff equipment, services to the community and staff safety. There are no matching funds required for this grant. Youth Enrichment Services Grant - The Youth Enrichment Services (YES) program is a three-year operational grant addressing the delivery of programs and services to families with children ages 0-5. It will focus on four main service areas at three new locations. Year 1 will focus on the Mulberry Learning ' Center, Year 2-Lions East Community Center and Year 3-the proposed Etiwanda Learning Center. The YES program is funded by the Children and Families Commission for San Bernardino County. The current year's budget reflects funding for Year 2. Target Literacy Grant -This fund is administered through a grant from Target Stores. The grant provided supplemental funding for the City's Youth Enrichment Services (YES) program. The YES program provides resources for families with children under 5 years of age. The Target Grant helped to provide materials for the older siblings in those families between the ages of 6— 10. Drink, Drive, Lose Grant - This grant was awarded by the State of California Office of Traffic Safety to provide supplementary funding for overtime costs incurred during sobriety checkpoints. The overall goal of the project is to reduce the number of victims killed and injured as a result of alcohol-involved crashes. Department of Homeland Security Grant -This grant from the State Homeland Security Grant Program is administered by the San Bernardino County Office of Emergency Services. The grant is funded by the Federal Department of Homeland Security. The funds will be utilized to purchase terrorism and weapons of mass destruction (WMDs) response equipment and supplies in conjunction with an appropriate level of training cost funding for national security. There are no matching funds required for this grant. ' COPS/Dreier EOC Grant - This COPS 2003 Technology Grant in the amount of$155,980 was awarded by the U.S. Department of Justice, Office of Community Oriented Policing Services. The funds will be ' utilized to purchase equipment, software and related contract services to improve the technology and automation capabilities within the Emergency Operations Center (EOC) at City Hall. There are no matching funds required for this grant. OTS Traffic Safety Grant — This grant was awarded by the State of California Office of Traffic Safety to provide supplementary funding for two motorcycle officers and related equipment for the Police Department. Henderson/Wardman Drainage - The Henderson/Wardman Drainage fund is a developer impact fee supported fund for the construction of storm drain improvements in the Henderson/Wardman drainage area. Integrated Waste Management— Established to account for AB939 recycling fee revenues from the City's refuse haulers and can only be used for the City's Household Hazardous Waste Disposal program. Assembly Bill 939 is a law that was passed by the State of California that mandates that all cities divert a specified percentage of their solid waste from their landfills in accordance with established deadlines. Federal Grant Fund Dreier - Initially, this fund was established to account for a $50,000 grant from ' Congressman David Dreier. The funds were used to begin the preliminary design process for a new senior center facility in Central Park. During FY 2003/04, the grant was supplemented with an additional $804,000 from Congressman Dreier which will be used in conjunction with other funds to construct the new senior center facility in Central Park. 1 ' CITY OF RANCHO CUCAMONGA Non-Major Governmental Funds Special Revenue Funds (Continued) Pre-Disaster Mitigation Grant — Established to account for a grant awarded by the State of California Governor's Office of Emergency Services to provide fundingfor the City's hazard mitigation plan. Prop. 42 Traffic Congestion Mitigation - This fund was established to account for gasoline sales tax revenue received from the State of California for transportation purposes, including city and county street and road repairs and maintenance. Proposition 42, a legislative constitutional amendment, permanently dedicated revenues from this sales tax on gasoline to transportation infrastructure needs. OTS Countdown Pedestrian Signals -This project utilizes State of California Office of Traffic Safety grant funds to obtain countdown pedestrian signals for installation at approximately 13 signalized intersections (not on the Federal Aid Highway System). A portion of these funds may also be utilized by staff to attend traffic and transportation related conferences. Senior Wellness/Transportation Program - Through funding from the Federal Department of Health and Human Services/Administration on Aging, the Senior Wellness and Transportation Program implements ' senior physical fitness classes and educational workshops, develops a Resource Library of senior related health and fitness information, establishes an Adaptative Technology Center for seniors with disabilities, host a regional conference on Healthy Aging and provides free door-to-door transportation services for shut-in seniors throughout the community to bring them to the James L. Brulte Senior Center ' thereby providing them the opportunity to participate in classes, programs, workshops and activities that will enhance their lives. Expected outcomes of the grant will be to improve the health, physical fitness, vitality and quality of lives of seniors who normally would not be able to attend the Senior Center due to ' limited transportation. Justice Assistance Grant-Two Justice Assistance Grants (JAG) were awarded to the Police Department by the United States Department of Justice. The first was in 2005 in the amount of $30,833.00 to ' purchase police related equipment and technology. The second JAG grant was awarded for the 2006 in the amount of$19,514.00 this grant will be used to purchase 14 radar guns for the Police Department's traffic division. This fund accounts for the revenues and expenditures associated with the JAG grants. ' Biane County Library Grant - The Biane County Library Grant fund consists of allocations received from County Supervisor Paul Biane through County Supervisor discretionary funds. The allocations are used for the enhancement of library services at Rancho Cucamonga Public Library, which are available to all ' San Bernardino County residents. The amount varies from year to year, as does the specific project the funds are contracted to provide. ' Fire District Fund - Established to account for the revenue and disbursement of funds received by the Rancho Cucamonga Fire Protection District in the course of that agency's fire protection services. 1 Capital Projects Funds ' Assessment District 82-1 Fund - Established to account for the receipt and disbursement of funds used in the construction of streets, storm drainage and utility improvements within the project area. Financing was provided by the sale of bonds under the Refunding Act of 1984 for 1915 Improvement Act Bonds. CFD 84-1 Fund - Established to account for the receipt and disbursement of funds used in the construction and installation of public capital drainage facilities, together with appurtenant work and incidental expenses, to serve and provide drainage protection to property located within Community ' Facilities District No. 84-1 (Day Creek Drainage System). Financing was provided by the sale of bonds under the Mello-Roos Community Facilities Act of 1982. ' Assessment District 84-2 Fund - Established to account for the receipt and disbursement of funds used in the construction of certain public works of improvement, together with appurtenances and appurtenant work, including acquisition where appropriate, in Special Assessment District No. 84-2 (Alta Loma Channel Improvement). Financing was provided by sale of bonds under the 1915 Improvement Act Bonds. Assessment District 86-2 Fund - Established to account for the receipt and disbursement of funds used in ' construction and acquisition of drainage improvements together with appurtenances and appurtenant work, acquisition of real property, if necessary, and incidental expenses within the Assessment District No. 86-2. Financing was provided by the sale of limited obligation bonds under the Improvement Bond Act of 1915. Regional Choice Transit Capital Improvement - The Regional Choice Transit Capital grant is a federal grant funding source administered by the State of California and passed through to the San Bernardino Associated Governments (SANBAG). The grant is part of the Intermodal Surface Transportation Efficiency Act (ISTEA). Funds received by the City from SANBAG will be used to construct Phase 2 of the Metrolink Station. Community Facilities District 2000-01 South Etiwanda — Established to account for the receipt and disbursement of funds used in the acquisition and construction of facilities consisting primarily of storm drain, sewer, water, landscaping, park facilities and improvements. Financing was provided by the sale of Ibonds under the Mello-Roos Community Facilities Act of 1982. Community Facilities District 2000-02 Rancho Cucamonga Corporate Park - Established to account for the receipt and disbursement of funds used in the acquisition and construction of facilities consisting ' primarily of improvements to Milliken Avenue, Arrow Route, and Foothill Boulevard, and water and sewer improvements to be acquired and operated by Cucamonga County Water District. Financing was provided by the sale of bonds under the Mello-Roos Community Facilities Act of 1982. ' Community Facilities District 2000-03 Rancho Summit— Established to account for monies deposited by developers for initial consulting and administrative costs and expenses related to a proposed public financing district. ' Community Facilities District 2001-01 - This CFD was established to fund the necessary infrastructure (streets, storm drains, sewer, water, landscaping, and traffic signals) integral to the proposed mall located at Foothill Blvd. and the 1-15 Freeway. The improvements are located south of Base Line Rd., primarily north of Foothill Blvd., primarily east of Day Creek Channel, and west of Etiwanda Ave. Financing was provided by the sale of bonds under the Mello-Roos Community Facilities Act of 1982. ' Capital Projects Funds (Continued) ' Community Facilities 2003-01 Proiect Fund — This CFD was established to fund the necessary infrastructure (streets, storm drains, sewer, water, landscaping, and traffic signals) integral to the proposed mall located at Foothill Blvd. and the 1-15 Freeway. The improvements are generally bordered t on the north by Church Street, on the east by Interstate 15, on the south by Arrow Route and on the west by a Southern California Edison easement from Arrow Route north to Foothill Boulevard and by Day Creek Boulevard from Foothill Boulevard north to Church Street. Financing will be provided by the sale of bonds under the Mello-Roos Community Facilities Act of 1982. ' Public Library Bond Act 2000 — This grant is from funds made available by the California Reading and 0 Literacy Improvement and Public Library Construction and Renovation Bond Act of 2000 for the 1 construction of the Victoria Gardens Library. Prop 12 Park Bond Act — The Block Grant Program funds are for the acquisition and/or development of high priority projects that satisfy the most urgent park and recreation needs, with emphasis on unmet needs in the most heavily populated and more economically disadvantaged areas within each jurisdiction. These funds are allocated on the basis of population. The Program requires a minimum local match of 30% and will be used for the development of Central.Park. The Per Capita Program is intended to meet ' the urgent need for safe, open and accessible local park and recreational facilities for increased recreational opportunities that provide positive alternatives to social problems. These funds are allocated on the basis of population. There are no matching requirements under this Program. Prop 40 Park Bond Act - Establishes the California Clean Water, Clean Air, Safe Neighborhood Parks, and Coastal Protection Act of 2002 to maintain a high quality of life for California's growing population by continuing to invest in parks and recreation facilities, as well as protect the state's natural and historical resources. These funds will be used for the development of Central Park. Community Facilities District 2004-01 Rancho Etiwanda -Established to account for monies deposited by developers for initial consulting and administrative costs and expenses related to a proposed public 1 financing district. Community Facilities District 2003-01 Cultural Center - Established to account for the portion of the costs associated with the development of the City's Cultural Arts Center that is being funded by Community Facilities District (CFD) 2003-01. Financing for the CFD will be provided by the sale of bonds under the Mello-Roos Community Facilities Act of 1982. ' Community Facilities District 2004-02 Rancho Summit - Established to account for the receipt and disbursement of funds used in the acquisition and construction of facilities consisting primarily of a park, an equestrian center, a ball field and landscaping improvements. Financing was provided by the sale of ' bonds under the Mello-Roos Community Facilities Act of 1982. Community Facilities District 2006-01 Vintner's Grove - Established to account for monies deposited by developers for initial consulting and administrative costs and expenses related to a proposed public financing district. Community Facilities District 2006-02 Amador on Route 66 - Established to account for monies deposited by developers for initial consulting and administrative costs and expenses related to a proposed public ' financing district. 1 1 1 THIS PAGE INTENTIONALLY LEFT BLANK 1 1 1 1 67 1 I CITY OF RANCHO CUCAMONGA COMBINING BALANCE SHEET ' NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Special Revenue Funds . ' Park ' Gas Tax SB 325 Recreation Development Assets: Pooled cash and investments $ 2,765,147 $ 5,690 $ 2,392,791 $ 13,422,585 Receivables: ' Accounts 281,902 - - 16,202 Taxes - - - - Interest - 5,824 11 4,523 30,291 , Deferred loans - - - - Grants - - - - Prepaid costs - - 14,250 - Due from other funds - - - - ' Restricted assets: Cash and investments with fiscal agents - - - - Total Assets $ 3,052,873 $ 5,701 $ 2,411,564 $ 13,469,078 ' • Liabilities and Fund Balances: . Liabilities:, Accounts payable $ 153,942 $ - $ 67,238 $ 119,905 ' Accrued liabilities 21,817 - 31,433 • 1,370 Due to other funds - - - - Deferred revenue - - - - Unearned revenue - - 281,262 1,595 ' Advances from other funds - - - 300,000 Deposits payable - - - - Due to other governments - - - - Total Liabilities 175,759 - 379,933 - 422,870 ' Fund Balances: • Reserved: , Reserved for encumbrances 25,332 - 671 358,627 Reserved for prepaid costs - - 14,250 - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement . 852,870 - - - ' Reserved for land acquisition - - - - Reserved for capital projects - - 2,801,000 Unreserved: Designated for workers compensation insurance - - - - ' Designated for employee leave payouts - - - - Designated for capital projects. - - - - Designated for working capital - - - - Undesignated . 1,998,912 5,701 2,016,710 9,886,581 ' Total Fund Balances 2,877,114 5,701 2,031,631 13,046,208 Total Fund Equity 2,877,114 5,701 2,031,631 13,046,208 Total Liabilities and Fund Balances $ 3,052,873 $ 5,701 $ 2,411,564 $ 13,469,078 ' I I 68 ' CITY OF RANCHO CUCAMONGA (Continued) I COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 ' Special Revenue Funds Landscape I - Lighting Maintenance Systems Beautification Districts Districts Development Assets: Pooled cash and investments $ 3,038,721 $ 4,460,774 $ 12,321,672 $ 18,073,760 I Receivables: . Accounts 3,278 181,124 Taxes - 39,053 151,017 - Interest 6,975 10,140 28,162 39,734 - - - ' Deferred loans - _ Grants - Prepaid costs - - - - Due from other funds - - - - - I Restricted assets: - Cash and investments with fiscal agents - Total Assets $ 3,045,696 $ 4,509,967 $ 12,504,129 $ 18,294,618 I Liabilities and Fund Balances: Liabilities: Accounts payable $ 74,228 $ 88,616 $ 497,528 $ 575,750 I Accrued liabilities - - 32,668 11,836 - - Due to other funds Deferred revenue - - - - Unearned revenue 93,407 - - - I Advances from other funds _ _- Deposits payable D - - - ue to other governments - - - - I Total Liabilities 167,635 88,616 530,196 587,586 Fund Balances: Reserved: . I Reserved for encumbrances 540,694 12,576 511,301 2,759,636 - - Reserved for prepaid costs Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - I Reserved for land acquisition - - - Reserved for capital projects 2,887,371 5,972,699 10,875,400 Unreserved: . Designated for workers compensation insurance - - - - - - - - I Designated for employee leave payouts _ Designated for capital projects - Designated for working capital - 1,521,404 5,489,933 - Undesignated 2,337,367 - 4,071,996 ' Total Fund Balances 2,878,061 4,421,351 11,973,933 17,707,032 Total Fund Equity 2,878,061 4,421,351 11,973,933 17,707,032 ' Total Liabilities and Fund Balances $ 3,045,696 $ 4,509,967 $ 12,504,129 $ 18,294,618 I • I 69 I CITY OF RANCHO CUCAMONGA COMBINING BALANCE SHEET , NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Special Revenue Funds t Transportation Community t Drainage Pedestrian Enhancement Development Facilities Grants Act Block Grant Assets: Pooled cash and investments $ 6,741,534 $ - $ 21,855 $ - ' Receivables: Accounts - - - - Taxes - - - - Interest 14,558 - 46 - , Deferred loans - - - 326,438 Grants - 363 - 380,080 Prepaid costs - - - - Due from other funds - - . - - '-Restricted assets: - Cash and Investments with fiscal agents - - - - Total Assets $ 6,756,092 $ 363 $ 21,901 $ 706,518 ' Liabilities and Fund Balances: Liabilities: Accounts payable $ 261 $ - $ - $ 115,919 ' Accrued liabilities - - - 3,842 Due to other funds - 272 - 249,116 Deferred revenue - - - 82,427 Unearned revenue 5,102 - - - ' Advances from other funds - - - - Deposits payable - - - - Due to other governments - - - 326,438 , Total Liabilities 5,363 272 - 777,742 Fund Balances: . . Reserved: ' Reserved for encumbrances - - - 50,951 Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - , Reserved for land acquisition - - - - Reserved for capital projects 3,863,620 - - - Unreserved: Designated for workers compensation insurance - - - - ' Designated for employee leave payouts - - - - Designated for capital projects - - - - Designated for working capital - - - - Undesignated 2,887,109 91 21,901 (122,175) ' Total Fund Balances 6,750,729 91 21,901 (71,224) Total Fund Equity 6,750,729 91 21,901 (71,224) ' Total Liabilities and Fund Balances $ 6,756,092 $ 363 $ 21,901 $ 706,518 I I 70 CITY OF RANCHO CUCAMONGA (Continued) COMBINING BALANCE SHEET INONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 ' • Special Revenue Funds San Sevalne/ Air . I Assessment Etiwanda - Quality Administration Drainage SB 140 Improvement Assets: Pooled cash and investments $ 669,632 $ 2,144,923 $ 35,856 $ 275,610 I Receivables: -- - - - - Accounts 46 Taxes Interest 1,501 4,122 - 625 I Deferred loans _ - - - Grants 50,608 Prepaid costs - - - - Due from other funds - - - - IRestricted assets: Cash and investments with fiscal agents - - - Total Assets $ 671,179 $ 2,149,045 $ 35,856 $ 326,843 I Liabilities and Fund Balances: Liabilities: Accounts payable $ 7,343 $ - $ - . $ 11 I Accrued liabilities 7,023 - - 349 Due to other funds - - Deferred revenue - - - - Unearned revenue - - - - I Advances from other funds - - - - - - - Deposits payable Due to other governments - - - - - I Total Liabilities 14,366 - - 360 Fund Balances: Reserved:- I Reserved for encumbrances 285 - - - Reserved for prepaid costs - - - Reserved for radio system acquisition - - - Reserved for vehicle and equipment replacement - - - - I Reserved for land acquisition - - - - - Reserved for capital projects - Unreserved: Designated for workers compensation insurance - - - - I Designated for employee leave payouts - - - _ - - - Designated for capital projects Designated for working capital - . - - - Undesignated 656,528 2,149,045 35,856 326,483 ITotal Fund Balances 656,813 2,149,045 35,856 326,483 Total Fund Equity 656,813 2,149,045 35,856 326,483 ' Total Liabilities and Fund Balances $ 671,179 $ 2,149,045 $ 35,856 $ 326,843 I I 71 CITY OF RANCHO CUCAMONGA ' COMBINING BALANCE SHEET ' NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Special Revenue Funds I • South Lower Masi Etiwanda Etiwanda Commerce ' Drainage Drainage Center Measure I Assets: Pooled cash and investments $ 15,830 $ 1,416,713 $ 7,353 $ 6,719,234 Receivables: ' Accounts - - 90,153 Taxes - - - - Interest 34 3,165 15 14,707 Deferred loans - - - - ' Grants - - - - Prepaid costs - - - - Due from other funds - - - - , Restricted assets: • Cash and investments with fiscal agents - 267,604 - Total Assets $ 15,864 $ • 1,419,878 $ 274,972 $ 6,824,094 Liabilities and Fund Balances: I Liabilities: Accounts payable $ - $ - - $ - $ 51,571 ' Accrued liabilities - - - 2,545 Due to other funds - - - - Deferred revenue - - - - Unearned revenue - - - - ' Advances from other funds - - - - Deposits payable - - - - Due to other govemments - - - - - Total Liabilities - - - 54,116 , Fund Balances: Reserved: Reserved for encumbrances - - - 1,111,639 ' Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - ' Reserved for land acquisition - - - - Reserved for capital projects - - 84,420 2,330,872 Unreserved: Designated for workers compensation insurance - - - - ' Designated for employee leave payouts - - 2,889 - Designated for capital projects - - - - Designated for working capital - - - - Undesignated 15,864 1,419,878 187,663 3,327,467 ' Total Fund Balances 15,864 1,419,878 274,972 6,769,978 Total Fund Equity 15,864 1,419,878 274,972 6,769,978 • Total Liabilities and Fund Balances $ 15,864 $ 1,419,878 $ 274,972 $ 6,824,094 ' • 1• I 72 1 • ICITY OF RANCHO CUCAMONGA (Continued) I COMBINING BALANCE SHEET . NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 • • I Special Revenue Funds California Families I Library Literacy for Literacy Services Metro link Campaign Grant Assets: Pooled cash and investments $ .3,813,453 $ 41,457 $ - $ 8,537 I Receivables: - Accounts • Taxes 163,304 - - - Interest 7,409 46 - . - I Deferred loans - - - - - Grants - - Prepaid costs - - - - - Due from other funds - I • Restricted assets: - Cash and investments with fiscal agents - - Total Assets $ 3,984,166 $ 41,503 $ - $ 8,537 ILiabilities and Fund Balances: Liabilities: Accounts payable $ 248,691 $ - $ 170 $ - ' Accrued liabilities 27,221 - 356 - Due to other funds 9,275 Deferred revenue - - - - - Unearned revenue - I Advances from other funds - - - - - Deposits payable Due to other governments - - - - ' Total Liabilities 275,912 - 9,801 - Fund Balances: Reserved: Reserved for encumbrances 517,147 - - - Reserved for prepaid costs - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - ' Reserved for land acquisition _ - Reserved for capital projects - - - Unreserved: Designated for workers compensation insurance - - - ' Designated for employee leave payouts - - - -Designated for capital projects - Designated for working capital 63,375 - - - Undesignated - 3,127,732 41,503 (9,801) 8,537 Total Fund Balances 3,708,254 41,503 (9,801) 8,537 Total Fund Equity 3,708,254 41,503 (9,801) 8,537 ' Total Liabilities and Fund Balances $ 3,984,166 $ 41,503 $ - $ 8,537 I 73 • CITY OF RANCHO CUCAMONGA ' COMBINING BALANCE SHEET ' NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Special Revenue Funds I Major Urban Used Oil COPS Local Law Resource Recycling Program Enforcement ' Library Grant Grant Grant Block Grant Assets: Pooled cash and investments $ 3,192 $ - $ 144,818 $ 25,336 Receivables: , Accounts - - - - Taxes - - - - Interest - - 320 53 Deferred loans - - - - ' Grants - _ _ _ Prepaid costs - - - - Due from other funds - - - - Restricted assets: ' Cash and investments with fiscal agents - - - - Total Assets $ 3,192 $ - $ 145,138 $ 25,389 Liabilities and Fund Balances: t Liabilities: Accounts payable - $ - $ - $ - $ - Accrued liabilities - 170 - - , Due to other funds - 22,176 - 1,725 Deferred revenue - - - - Unearned revenue - - - 47,540 , Advances from other funds - - - - Deposits payable - - - - Due to other governments - - - - Total Liabilities - _ 22,346 - 49,265 ' Fund Balances: Reserved: Reserved for encumbrances - 2,651 - - ' Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - Reserved for vehicle and equipment replacement - - - _ Reserved for land acquisition - - - - ' Reserved for capital projects - - - _ Unreserved: Designated for workers compensation insurance - - - - ' Designated for employee leave payouts - - - - - Designated for capital projects - - - - Designated for working capital - - - - Undesignated 3,192 (24,997) 145,138 (23,876) Total Fund Balances 3,192 (22,346) 145,138 (23,876) ' Total Fund Equity 3,192 (22,346) 145,138 (23,876) Total Liabilities and Fund Balances $ 3,192 $ - $ 145,138 $ 25,389 t • I I 74 I ICITY OF RANCHO CUCAMONGA (Continued) I COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 ISpecial Revenue Funds California Law COPS Senior Adult•I Enforcement in Schools Outreach Education Act Program Grant Grant Grant Assets: Pooled cash and investments $ 150 $ - $ 3,316 $ 1,776 I Receivables: Accounts Taxes - _ - - Interest - - - I - Deferred loans - - - - - Grants - Prepaid costs - - - - - - Due from other funds I Restricted assets: - - - Cash and investments with fiscal agents - Total Assets $ 150 $ - $ 3,316 $ 1,776 ' Liabilities and Fund Balances: Liabilities: Accounts payable $ - $ - $ - $ I Accrued liabilities - _ - - - Due to other funds 45,837 - Deferred revenue - _ - I Unearned revenue - - - - - - - - Advances from other funds Deposits payable - - - Due to other governments - - - - ITotal Liabilities - 45,837 - - Fund Balances: Reserved: I. Reserved for encumbrances - - - _ Reserved for prepaid costs - - Reserved for radio system acquisition - - - - - Reserved for vehicle and equipment replacement - - - I Reserved for land acquisition _ _ - - Reserved for capital projects - - - Unreserved: - Designated for workers compensation insurance - - I Designated for employee leave payouts - Designated for capital projects - Designated for working capital - - _ - I Undesignated 150 (45,837) 3,316 1,776 Total Fund Balances 150 (45,837) 3,316 1,776 Total Fund Equity 150 (45,837) 3,316 1,776 ' Total Liabilities and Fund Balances $ 150 $ - $ 3,316 § 1,776 I I 75 I 1 CITY OF RANCHO CUCAMONGA COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 , Special Revenue Funds ' Library AB 2928 Teen Services& Traffic Litter Connection t Technologies Congestion Reduction Program Act Relief Grant Grant Assets: Pooled cash and investments $ 18,994 $ 11,473 $ 12,331 $ 459 t Receivables: Accounts - - - - Taxes - - - - Interest - 23 - - , Deferred loans - - - - Grants - - 43,424 - Prepaid costs - - - - Due from other funds - - - - ' Restricted assets: Cash and investments with fiscal agents - - - - Total Assets $ 18,994 $ 11,496 $ 55,755 $ 459 ' Liabilities and Fund Balances: Liabilities: Accounts payable $ - $ - $ 2,008 $ - ' Accrued liabilities - - - - - - Due to other funds - - - - Deferred revenue - - - - Unearned revenue - - - - ' Advances from other funds - - - - Deposits payable - - - - Due to other governments - - - - t Total Liabilities - - 2,008 - • Fund Balances: Reserved: ' Reserved for encumbrances - - - - Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - , Reserved for and acquisition - - - - Reserved for capital projects - - - - Unreserved: Designated for workers compensation insurance - - - - ' Designated for employee leave payouts - - - - Designated for capital projects - - - - Designated for working capital - - - - Undesignated 18,994 _ 11,496 53,747 459 ' Total Fund Balances 18,994 11,496 53,747 459 Total Fund Equity 18,994 11,496 53,747 459 ITotal Liabilities and Fund Balances $ 18,994 $ 11,496 $ 55,755 $ 459 • 1 76 CITY OF RANCHO CUCAMONGA (Continued) I COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 ' Special Revenue Funds Teen Signal Connection Safe Routes Coordination State Conservation to School I Grant Grant Bond Act Program Assets: Pooled cash and investments $ 12,741 $ 836 $ 181 $ • - Receivables: - - - - I Accounts - Taxes 100,700 -Interest 27 - - - - - - - I Deferred loans - - Grants 18,700 - Prepaid costs - - Due from other funds - - - - I Restricted assets: - - - - Cash and investments with fiscal agents Total Assets $ 12,768 $ 836 $ 181 $ 119,400 Liabilities and Fund Balances: Liabilities: Accounts payable $ - $ - $ - $ 1,870 - I Accrued liabilities - Due to other funds - 167,498 Deferred revenue' - - - 18.700 - Unearned revenue - - III - Advances from other funds - - - Deposits payable - Due to other governments - - - - I Total Liabilities - - - 188,066 Fund Balances: Reserved: I Reserved for encumbrances _ - - - - -Reserved for prepaid costs - Reserved for radio system acquisition - - - - - - Reserved for vehicle and equipment replacement - - ' Reserved for land acquisition - - - - - -Reserved for capital projects - Unreserved: - - Designated for workers compensation insurance - - II ..Designated for employee leave payouts - - -- - Designated for capital projects - - Designated for working capital - - Undesignated 12,788 836 181 (68,666) ITotal Fund Balances 12,768 836 181 (68,668) Total Fund Equity 12,768 836 - 181 (68,668) ITotal Liabilities and Fund Balances $ 12,768 $ 836 $ 181 $ 119,400 I I 77 I • I CITY OF RANCHO CUCAMONGA COMBINING BALANCE SHEET ' NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 • Special Revenue Funds ' Milliken MWD City ' Congestion Foothill Blvd Land Makeover Mitigation Maintenance Transaction Program Grant Assets: Pooled cash and investments $ - $ 374,479 $ - $ 58 ' Receivables: Accounts - - - - Taxes - - - - - Interest - - - - ' Deferred loans - - - - Grants - - - - Prepaid costs - - - - Due from other funds - - - - ' Restricted assets: Cash and investments with fiscal agents - - - - Total Assets $ - . $ 374,479 $ - $ 58 ' Liabilities and Fund Balances: Liabilities: . Accounts payable $ - $ - $ - $ - ' Accrued liabilities - 352 - - Due to other funds 99,968 - 4,243 - Deferred revenue - - - - Unearned revenue - - - - ' Advances from other funds - - - - Deposits payable - - - - Due to other governments - - - - ' Total Liabilities 99,968 352 4,243 - Fund Balances: Reserved: , Reserved for encumbrances - - - - Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - Reserved for land acquisition - - - - Reserved for capital projects - - - - Unreserved: Designated for workers compensation insurance - - - - ' Designated for employee leave payouts - - - - Designated for capital projects - - - - Designated for working capital - - - - ' Undesignated (99,968) 374,127 (4,243) 58 Total Fund Balances (99,968) 374,127 (4,243) 58 Total Fund Equity (99,968) _ 374,127 (4,243) 58 ' Total Liabilities and Fund Balances $ - $ 374,479 $ - $ 58 I I 78 I ' CITY OF RANCHO CUCAMONGA (Continued) I COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 ISpecial Revenue Funds Code Youth Target Drink, I Assets: Enforcement Enrichment Literacy Drive,Lose Grant Program Grant Grant Grant Pooled cash and investments $ 3,785 $ 21,678 '$ 2,756 $ 9,112 ' Receivables: Accounts 12 - T - axes Interest I Deferred loans - - - - 4 19 - - - - Grants Prepaid costs - - - - Due from other funds - - I Restricted assets: - - Cash and investments with fiscal agents - - Total Assets - $ 3,785 $ 21,690 $ 2,760 $ 9,131 ILiabilities and Fund Balances: Liabilities: I Accounts payable $ - $ $ $ - Accrued liabilities - Due to other funds - - - - Deferred revenue - ' Unearned revenue - - - - - - Advances from other funds - - - Deposits payable - - Due to other governments ITotal Liabilities _ - - - Fund Balances: Reserved: I Reserved for encumbrances 83,674 - - - Reserved for prepaid costs - - -Reserved for radio system acquisition _ - - - Reserved for vehicle and equipment replacement I Reserved for land acquisition - - _ Reserved for capital projects - -Unreserved: - - - - Designated for workers compensation insurance ' Designated for employee leave payouts - - - Designated for capital projects _ _ - Designated for working capital - - - - I Undesignated' (79,889) 21,690 2,760 9,131 Total Fund Balances 3,785 21,690 2,760 9,131 Total Fund Equity 3,785 21,690 2,760 9,131 • ' Total Liabilities and Fund Balances $ 3,785 $ 21,690 $ 2,760 $ 9,131 I I 79 I I CITY OF RANCHO CUCAMONGA COMBINING BALANCE SHEET t NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Special Revenue Funds I Department COPS/ OTS Henderson! of Homeland Dreier EOC Traffic Wardman ' Security Grant Grant Safety Drainage Assets: Pooled cash and investments $" - $ - $ - $ 786,152 Receivables: , Accounts - - - - Taxes - - - - Interest - - - - ' Deferred loans - - - - Grants 66,149 179,585 - Prepaid costs - - - - Due from other funds - - - - II Restricted assets: Cash and investments with fiscal agents - - - - Total Assets $ 66,149 $ - $ 179,585 $ 786,152 Liabilities and Fund Balances: I Liabilities: Accounts payable $ - $ - $ 24,601 $ - ' Accrued liabilities - - - - Due to other funds 67,986 - 156,079 - Deferred revenue - - 37,207 - Unearned revenue - - - - ' Advances from other funds - - - - Deposits payable - - - - Due to other governments - - - - Total Liabilities 67,986 - 217,887 - Fund Balances: Reserved: Reserved for encumbrances - - • - - ' . Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - ' Reserved for land acquisition - - - - Reserved for capital projects - - - - Unreserved: Designated for workers compensation insurance - - - - , Designated for employee leave payouts - - - - ' Designated for capital projects - - - - Designatedforworkingcapital - - - - Undesignated (1,837) - (38,302) 786,152 ' Total Fund Balances (1,837) - (38,302) 786,152 Total Fund Equity (1,837) - (38,302) 786,152 Total Liabilities and Fund Balances $ 66,149 $ - $ 179,585 $ 786,152 , I I 80 1 ' CITY OF RANCHO CUCAMONGA (Continued) I COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 ISpecial Revenue Funds• Proposition 42- Integrated Federal Pre-Disaster Traffic I Waste Grant Fund- Mitigation Congestion Management Dreier Grant Mitigation Assets: Pooled cash and investments $ 2,161,947 $ 8,367 $ - $ 1,813,422 I Receivables: Accounts 30,902 Taxes - • - - - - Interest 4,613 4,061 I Deferred loans - - - - Grants 1,331,509 Prepaid costs - - - - Due from other funds - - - - Restricted assets: Cash and investments with fiscal agents - - - • - Total Assets $ 2,197,462 $ 8,367 $ • $ 3,148,992 ILiabilities and Fund Balances: Liabilities: • Accounts payable $ 15,701 $ 8,545 $ - $ - I Accrued liabilities 7577 - -Due to other funds - Deferred revenue - - - - Unearned revenue - - - - Advances from other funds - Deposits payable - - - - Due to other governments - - - - ' Total Liabilities 23,278 8,545 - - Fund Balances: Reserved: I Reserved for encumbrances 67,290 - - - Reserved for prepaid costs - - R - eserved for radio system acquisition - - - _ Reserved for vehicle and equipment replacement - - - - II Reserved for land acquisition - Reserved for capital projects - - - Unreserved: I . Designated for workers compensation insurance - - - - Designated for employee leave payouts - Designated for capital projects - - - - Designated for working capital - - - - I Undesignated 2,106,894 (178) - 3,148,992 Total Fund Balances 2,174,184 (178) 3,148,992 . Total Fund Equity 2,174,184 (178) - 3,148,992 Total Liabilities and Fund Balances $ 2,197,462 $ 8,367 $ - $ 3,148,992 I 81 I CITY OF RANCHO CUCAMONGA COMBINING BALANCE SHEET _ I NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Special Revenue Funds OTS Senior OTS Countdown Wellness! Justice 2005 State ' Pedestrian Transportation Assistance Seat Belt Signals Program . Grant Grant • Assets: Pooled cash and investments $ - $ - $ 12,114 $ 60 ' Receivables: Accounts 2,396 - - - Taxes - - . - Interest - - 42 53 , Deferred loans - - - - Grants - 105,509 - - Prepaid costs - - - - Due from other.funds - - - -. ' Restricted assets: Cash and investments with fiscal agents • - - - - Total Assets $ 2,396 $ 105,509 $ 12,156 $ 113 ' • Liabilities and Fund Balances: Liabilities: Accounts payable $ 555 $ 13,554 $ 1,329 $ - ' Accrued liabilities - - - - Due to other funds 2,396 91,754 - - Deferred revenue - 105,509 - - Unearned revenue - - 11,043 - ' Advances from other funds - - - - Deposits payable - - - - Due to other governments - - - - ' Total Liabilities 2,951 210,817 12,372 - Fund Balances: Reserved: ' Reserved for encumbrances - - - - Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - ' Reserved for land acquisition - - - - Reserved for capital projects - - - - Unieserved: _ . Designated for workers compensation insurance - - - - ' Designated for employee leave payouts - - - - - Designated for capital projects - - - - Designated for working capital - - - - Undesignated (555) (105,308) (216) 113 ' Total Fund Balances (555) (105,308) (216) 113 Total Fund Equity (555) (105,308) . (2161. 113 ' Total Liabilities and Fund Balances $ 2,396 $ 105,509 $ 12,156 $ 113 I I 82 1 CITY OF RANCHO CUCAMONGA (Continued) COMBINING BALANCE SHEET INONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 ISpecial Revenue Funds Capital Projects Funds• Slane Assessment County Library Fire District CFD I Grant District 82-1 84-1 Assets: Pooled cash and investments $ - $ 10,317,626 $ 26,302 $ 883,893 Receivables: • I Accounts - 165,191 - - Taxes 560,335 - - Interest - 75,232 194 1,973 . I Deferred loans - - _ - Grants 303,017 Prepaid costs 727 - Due from other funds - - - - I Restricted assets: Cash and investments with fiscal agents Total Assets $ 303,017 $ 11,119,111 $ 26,496 $ 885,866 I Liabilities and Fund Balances: Liabilities: Accounts payable $ 79,042 $ 130,986 $ 16,350 $ - . ' Accrued liabilities - 523,472 _ - Due to other funds 223,975 Deferred revenue 303,017 . - - Unearned revenue - - - - I Advances from other funds ..Deposits payable - - - - - Due to other governments _ - - - Total Liabilities 606,034 654,458 16,350 IFund Balances: Reserved: Reserved for encumbrances 196.983 640,279 - - I Reserved for prepaid costs 727 - Reserved for radio system acquisition 150,000 - - Reserved for vehicle and equipment replacement - 2,570,995 - - I Reserved for land acquisition - 320,250 - - Reserved for capital projects Unreserved: Designated for workers compensation insurance - 2,863,563 - - I Designated for employee leave payouts - 1.921,616 - _ Designated for capital projects 1,050,000 - - Designated for working capital - 947,223 - _ Undesignated (500,000) - 10,146 885,866 ITotal Fund Balances (303,017) 10,464,653 10,146 885,866 Total Fund Equity (303,017) 10,464,653 10,146 885,866 Total Liabilities and Fund Balances $ 303,017 $ 11,119,111 $ 26,496 $ 885,866 I I 83 CITY OF RANCHO CUCAMONGA ' COMBINING BALANCE SHEET ' NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Capital Projects Funds ' • Regional Assessment Assessment Choice Transit CFO 2000-01 District District Capital South 111 84-2 86-2 Improvement Etiwanda Assets: Pooled cash and investments $ 4,090 $ - $ 3 $ - Receivables: ' Accounts - - - - Taxes - - - - interest 8 - - - Deferred loans - - - - ' Grants - - - - Prepaid costs - - - - Due from other funds - - - - Restricted assets: ' Cash and investments with fiscal agents - - - 83,801 Total Assets $ 4,098 $ - $ 3 $ 83,801 Liabilities and Fund Balances: ' Liabilities: Accounts payable $ - $ - $ - $ - Accrued liabilities - - - - ' Due to other funds - 41,128 - - Deferred revenue - - - - Unearned revenue - - - - Advances from other funds - - - - ' Deposits payable 3,864 - - - Due to other governments - - - - Total Liabilities 3,864 41,128 - - , Fund Balances: Reserved: Reserved for encumbrances - - - - ' Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - - Reserved for land acquisition - - - - ' Reserved for capital projects - - - - Unreserved: Designated for workers compensation insurance - - - - ' Designated for employee leave payouts - - - - Designated for capital projects - - - - Designated for working capital - - - - Undesignated 234 (41,128) 3 83,801 Total Fund Balances - 234 (41,128) 3 83,801 ' Total Fund Equity 234 (41,128) 3 83,801 Total Liabilities and Fund Balances $ 4,098 $ - $ 3 $ 83,801 ' I I 84 • CITY OF RANCHO CUCAMONGA (Continued) I COMBINING BALANCE SHEET • NONMAJOR GOVERNMENTAL FUNDS. JUNE 30,2006 I Capital Projects Funds CFD 2000-02 Rancho CFD 2000-03 I Cucamonga Rancho CFD 2003-01 Corporate Park Summit CFD 2001-01 Project Fund Assets: Pooled cash and investments $ - $ • 18,632 $ 167425 $ - II Receivables: • - Accounts - Taxes - - - 99,635 Interest - 65 - - I Deferred loans - - Grants - - - - Prepaid costs - - - - Due from other funds _ - - - - I Restricted assets: • Cash and investments with fiscal agents 529,536 8,544,058 16,717 971,410 Total Assets $ 529,536 $ 8,562,755 $ 184,142 $ 1,071,045 I Liabilities and Fund Balances: ' - • Liabilities: Accounts payable $ - $ - $ 20.930 $ 107,044 I Accrued liabilities - - Due to otherfunds • 22,672 13,148 Deferred revenue _ - - - Unearned revenue - - - - I Advances from other funds - - 2,955,622 1,393,216 •Deposits payable - - Due to other governments - - - - Total Liabilities I 22,672 - Fund Balances: 2,976,552 1,513,408 Reserved: I Reserved for encumbrances - - 165,996 166,412 Reserved for prepaid costs Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - I Reserved for land acquisition - - - - Reserved for capital projects - - Unreserved: Designated for workers compensation insurance - - - - - I Designated for employee leave payouts - - - - Designated for capital projects - Designated for working capital - - - - Undesignated 506,864 8,562,755 (2,958,406) (608,775) ITotal Fund Balances 506,864 8,562,755 (2,792,410) (442,363) Total Fund Equity 506,864 8,562,755 (2,792,410) (442,363) ' Total Liabilities and Fund Balances $ 529,536 $ 8,562,755 $ 184,142 $ 1,071,045 I I • 85 CRY OF RANCHO CUCAMONGA ' COMBINING BALANCE SHEET , NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Capital Projects Funds ' CFD 2004-01 Public Library Proposition 12 Proposition 40 Rancho Bond Act-2000 Park Bond Act Park Bond Act Etlwanda ' Assets: Pooled cash and investments $ - $ 13,450 $ - $ 33,036 Receivables: Accounts - - - - ' Taxes - - - - Interest - - - 80 Deferred loans - - - - ' Grants - - - - Prepaid costs - - - - Due from other funds 400,630 - - - Restricted assets: ' Cash and investments with fiscal agents - - . - - Total Assets $ 400,630 $ 13,450 $ - $ 33,116 . Liabilities and Fund Balances: ' Liabilities: Accounts payable $ 482,320 $ - $ - $ 33,155 Accrued liabilities - - - - - , Due to other funds 3,107,272 - 5 - Deferred revenue - - - - Unearned revenue - - - - Advances from other funds - - - - , Deposits payable - - - - Due to other governments - - - - Total Liabilities 3,589,592 - 5 33,155 ' Fund Balances: Reserved: Reserved for encumbrances 952,479 - - - ' Reserved for prepaid costs - - - - Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - Reserved for land acquisition - - - - ' Reserved for capital projects - - - - Unreserved: Designated for workers compensation insurance - - - - Designated for employee leave payouts - - - - , Designated for capital projects .. - - - Designated for working capital - - - - Undesignated (4,141,441) 13,450 (5) (39) Total Fund Balances (3,188,962) 13,450 (5) (39) ' Total Fund Equity (3,188,962) 13,450 (5) (39) Total Liabilities and Fund Balances $ 400,630 $ 13,450 $ - $ 33,116 ' I 86 I I ICITY OF RANCHO CUCAMONGA (Continued) I COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 ICapital Projects Funds CFD 2003-01 CFD 2004-02 CFD 2006-01 CFD 2006-02 Cultural Rancho Vintner's Amador I Center Summit Grove on Route 66 Assets: Pooled cash and investments $ 249,782 $ - $ 58,773 $ 58,773 I Receivables: Accounts Taxes - - Interest - - 72 72 I Deferred loans - - - - Grants - - - Prepaid costs - - - - Due from other funds - - - - I Restricted assets: Cash and investments with fiscal agents 697,207 Total Assets $ 946,989 $ - $ 58,845 $ 58,845 I Liabilities and Fund Balances: Liabilities: Accounts payable $ 559,169 $ - $ 12,468 $ 10,874 I Accrued liabilities - - - - Due to other funds Deferred revenue - - - - - Unearned revenue - - - I Advances from other funds - - - - Deposits payable - Due to other governments - - - I Total Liabilities 559,169 - 12,468 10,874 Fund Balances: Reserved: I Reserved for encumbrances 131,553 - 47,532 49,126 -Reserved for prepaid costs Reserved for radio system acquisition - - - - Reserved for vehicle and equipment replacement - - - - - - Reserved for and acquisition Reserved for capital projects - - - - - Unreserved: Designated for workers compensation insurance - - - - I - Designated for employee leave payouts - - - Designated for capital projects - - Designated for working capital - - - - Undesignated 256,267 - (1,155) (1,155) ITotal Fund Balances 387,820 - 46,377 47,971 Total Fund Equity 387,820 - 46,377 47,971 ITotal Liabilities and Fund Balances $ 946,989 $ - $ 58,845 $ 58,845 I • I 87 I 1 CITY OF RANCHO CUCAMONGA • COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS JUNE 30,2006 Total Nonmajor Governmental Funds Assets: Pooled cash and investments $ 95,654,445 Receivables: Accounts 971,541 Taxes - 913,709 Interest 258,799 Deferred loans 326,438 Grants 2,478,944 Prepaid costs 14,977 Due from other funds 400,630 Restricted assets: Cash and investments with fiscal agents 11,110,333 Total Assets S 112,129,816 Liabilities and Fund Balances: • Liabilities: Accounts payable $ 3,521,674 Accrued liabilities 672,031 Due to other funds 4,326,525 Deferred revenue 546,860 Unearned revenue 439,949 Advances from other funds 4,648,838 Deposits payable 3,864 Due to other governments 326,438 Total Liabilities 14,486,179 Fund Balances: Reserved: Reserved for encumbrances 6,392,834 Reserved for prepaid costs 14,977 Reserved for radio system acquisition 150,000 Reserved for vehicle and equipment replacement 3,423,865 Reserved for land acquisition 320,250 Reserved for capital projects 26,815,382 Unreserved: Designated for workers compensation insurance 2,863,563 Designated for employee leave payouts 1,924,505 Designated for capital projects 1,050,000 Designated for working capital 8,021,935 Undesignated 42,666,326 Total Fund Balances 97,643,637 Total Fund Equity 97,643,637 Total Liabilities and Fund Balances S 112,129,816 1 88 1 i 1 1 i 1 I 1 THIS PAGE INTENTIONALLY LEFT BLANK 1 1 1 1 i 1 1 1 1 89 1 CITY OF RANCHO CUCAMONGA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES I NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE.30,2006 Special Revenue Funds I Park I Gas Tax SB 325 Recreation Development Revenues: - Taxes $ - $ - $ - $ - Licenses and permits - - - - I Intergovernmental 2,959,082 - - - Charges for services - - 3,066,930 - Use of money and property 49292 2,818 16,543 202,258 Fines and forfeitures - - - - Developer participation - - - 6,619,585 Proceeds from non-committal debt - - - - Contributions - - 6,053 - Miscellaneous - - - 204,476 Total Revenues 3,008,374 2,818 3,089,526 7,026,319 Expenditures: Current: General govemment - - - - Public safety - - - - Public safety-fire protection - - - - Engineering and public works 2,816,969 - - - Community development - - - 426,758 Community services - - 2,344,221 - Capital outlay 210,661 105,120 1,723 1,039,179 Total Expenditures 3,027,630 105,120 2,345,944 1,465,937 • Excess(Deficiency)of Revenues Over(Under)Expenditures (19,256) (102,302) 743,582 5,560,382 , Other Financing Sources(Uses): Transfers in 81,970 - 86,000 5,260 Transfers out - - - - Total Other Financing Sources(Uses) -81,970 - '86,000 5,260 Net Change in Fund Balances $ 62,714 $ (102,302) $ 829,582 $ 6565,642 Fund Balances: Beginning of fiscal year,as originally reported $ 2,814,400 $ 108,003 $ 1,202,049 $ 7,480,566 Restatements - - - - I Beginning of fiscal year,as restated 2,814,400 108,003 1,202,049 7,480,566 Net change in fund balances 62,714 (102,302) 829,582 5,565,642 End of Fiscal Year $ 2,877,114 $ 5,701 $ 2,031,631 $ 13,046,208 I I I 90 I ' CITY OF RANCHO CUCAMONGA (Continued) I COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 ISpecial Revenue Funds Landscape I Lighting Maintenance Systems Beautification Districts Districts Development Revenues: Taxes $ - $ 2,061,855 $ 8,251,901 $ I Licenses and permits _ _ _ 6,721 Intergovernmental 179,854 Charges for services - - - - Use of money and property 97,292 75,694 240,779 429,546 I Fines and forfeitures ' - - _ - Developer participation 400,021 20,593 6,331,006 - Proceeds from non-committal debt - - - - I Contributions _ - - Miscellaneous 22,442 19,037 Total Revenues 497,313 2,158,142 8,515,122 6,966,164 I Expenditures: Current: General government - 1,426,968 - - Public safety - - - - I Public safety-fire protection - - _ - 1 Engineering and public works 269,080 1,353,614 Community development - - 7,957 554 - Community services - - - - I Capital outlay 1,006,086 - 3,426 8,553,247 Total Expenditures 1,275,166 1,426,968 . 7,960,980 9,906,861 Excess(Deficiency)of Revenues ' Over(Under)Expenditures (777,853) 731,174 554,142 (2,940,697) Other Financing Sources(Uses): Transfers in 330 - 131,850 57,460 ITransfers out - - - - Total Other Financing Sources(Uses) 330 - 131,850 57,480 1 Net Change in Fund Balances $ (777,523) $ 731,174 $ 685,992 $ (2,883,237) Fund Balances: Beginning of fiscal year,as originally reported $ 3,655,584 $ 3,690,177 $ 11,287,941 $ 20,590,269 I Restatements - - - Beginning of fiscal year,as restated 3,655,584 3,690,177 11,287,941 . 20,590,269 Net change in fund balances (777,523) 731,174 685,992 (2,883,237) ' End of Fiscal Year $ 2,878,061 $ 4,421,351 $ 11,973,933 $ 17,707,032 I I 91 I CRY OF RANCHO CUCAMONGA ' COMBINED STATEMENT OF REVENUES, t EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 Special Revenue Funds ' Transportation Community Drainage Pedestrian Enhancement Development ' Facilities Grants Act Block Grant Revenues: Taxes $ - $ - $ - $ - Licenses and permits - - - - - - ' •Intergovernmental - - - 2,116,971 Charges for services - - - - Use Of money and property 117,293 - 9,362 - Fines and forfeitures - - - - ' Developer participation 2,926,024 - - - Proceeds from non-committal debt - - - - Contributions - - - - , Miscellaneous - - - - Total Revenues 3,043,317 - 9,362 2,116,971 Expenditures: , Current: General government - - - - Public safety - - - - Public safety-fire protection - - - - ' •Engineering and public works , - - - 218450 Community development - - - 314,832 • Community services - - - Capital outlay 2,334,885 - 314,000 1,348,646 Total Expenditures 2,553,335 • 314,000 1,663,478 Excess(Deficiency)of Revenues ' Over(Under)Expenditures 489,982 - (304,638) 453,493 Other Financing Sources(Uses): Transfers in - 18,680 ' Transfers out - - - Total Other Financing Sources(Uses) _ - -• 18,680 Net Change in Fund Balances $ 489,982 $ - $ (304,638) $ 472,173 ' Fund Balances: Beginning of fiscal year,as originally reported $ 6,453,855 $ 91 $ 326,539 $ (543,397) ' Restatements (193,108) - - - Beginning of fiscal year,as restated 6,260,747 91 326,539 (543,397) Net change in fund balances 489,982 - (304,638) 472,173 End of Fiscal Year $ 6,750,729 $ 91 $ 21,901 $ (71,224) , I 1 I 92 • CITY OF RANCHO CUCAMONGA (Continued) • I COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 ISpecial Revenue Funds San Sevaine/ Air • I Assessment Etiwanda Quality Administration Drainage SB 140 Improvement Revenues: Taxes $ - $ I Licenses and permits _ - _ - - Intergovernmental 192,504 Charges for services 325 - - Use of money and property 10,711 66,566 (290) 1,752 I Fines and forfeitures - _ - - Developer participation 1 290 922 Proceeds from non-committal debt - - _ - Contributions - - - I Miscellaneous 678,422 - _ - Total Revenues 689,458 1,357,488 (290) 194,256 I Expenditures: Current: General government 643,844 - - 41,755 Public safety - - - - I Public safety-fire protection - - - - Engineering and public works 7,480 Community development - - - - Community services - - I Capital outlay 13,197 4,326,541 - - Total Expenditures 657,041 4,334,021 - 41,755 Excess(Deficiency)of Revenues IOver(Under)Expenditures 32,417 (2,976,533) (290) 152,501 Other Financing Sources(Uses): Transfers in 27,000 - - 1,340 ITransfers out - - Total Other Financing Sources(Uses) 27,000 - - 1,340 INet Change in Fund Balances $ 59,417 $ (2,976,533) $ (290) $ 153,841 Fund Balances: Beginning of fiscal year,as originally reported $ 597,396 $ 5,125,578 $ 36,146 $ 172,642 I Restatements - - Beginning of fiscal year,as restated 597,396 . 5,125,578 36,146 172,642 Net change in fund balances 59,417 (2,976,533) (290) 153,841 ' End of Fiscal Year $ 656,813 $ 2,149,045 $ 35,656 $ 326,483 I I I 93 I CITY OF RANCHO CUCAMONGA COMBINED STATEMENT OF REVENUES, ' EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 ' Special Revenue Funds . South Lower Masi ' Etiwanda Etiwanda Commerce Drainage Drainage Center Measure I Revenues: Taxes $ - $ - $ - $ - ' Licenses and permits - - - - Intergovernmental - - - 2,607,865 Charges for services - - - - Use of money and property 361 32,495 8,723 144,474 ' Fines and forfeitures - - - - Developer participation - - - - Proceeds from non-committal debt - - - - Contributions - - - - ' Miscellaneous - - - 28,475 Total Revenues 361 32,495 8,723 2,780,814 Expenditures: • ' Current: General government - - - - Public safety - - - - ' Public safety-fire protection - - - - Engineering and public works - - - 670,061 Community development - - - - - Community services - - ' Capital outlay - 3,500 - 1,874,362 Total Expenditures - 3,500 - 2,544,423 Excess(Deficiency)of Revenues , Over(Under)Expenditures . 361 28,995 8,723 236,391 Other Financing Sources(Uses): Transfers in - . - - 8,150 , Transfers out - - - - • Total Other Financing Sources (Uses) - - - 8,150 Net Change in Fund Balances $ 361 $ 28,995 $ 8,723 $ 244,541 ' • Fund Balances: Beginning of fiscal year,as originally reported $ 15,503 $ 1,390,883 $ ,266,249 $ 6,525,437 , Restatements - - - - Beginning of fiscal year,as restated 15,503 1,390,883 266,249 6,525,437 Net change in fund balances 361 28,995 8,723 244,541 ' End of Fiscal Year $ 15,864 $ 1,419,878 $ 274,972 $ 6,769,978 • I I I 94 CITY OF RANCHO CUCAMONGA (Continued) COMBINED STATEMENT OF REVENUES, I EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 ISpecial Revenue Funds • California Families I Library Literacy for Literacy Services Metro link Campaign Grant Revenues: Taxes $ 2,873,477 $ - $ - $ - I Licenses and permits - - Intergovernmental 26,979 - Charges for services 252,417 - _ Use of money and property 35,100 363 - 115 I - Fines and forfeitures - _ - - - Developer participation - Proceeds from non-committal debt - - - - Contributions 472,449 - - I Miscellaneous 63,098 - - - Total Revenues 3,896,541 363 26,979 115 I Expenditures: • Current: General government - _ - - Public safety - - - - _ - - I Public safety-fire protection _ Engineering and public works - - - - Community development - - _ - Community services 2,694,926 - 72,616 - I Capital outlay 264,112 - _ Total Expenditures 2,959,038 72,616 - - Excess(Deficiency)of Revenues IOver(Under)Expenditures 737,503 363 (45,637) 115 Other Financing Sources(Uses): • Transfers in 71,600 - 21,100 1,490 ITransfers out (2,960) - - (15,750) Total Other Financing Sources(Uses) 68,640 - 21,100 (14,260) INet Change in Fund Balances $ 806,143 $ 363 $ (24,537) $ (14,145) Fund Balances: Beginning of fiscal year,as originally reported $ 2,902,111 $ 41,140 $ 14,736 $ 22,682 I Restatements - - _ Beginning of fiscal year,as restated 2,902,111 41,140 14,736 22,682 Net change in fund balances 806,143 363 (24,537) (14,145) End of Fiscal Year $ 3,708,264 $ 41,503 $ (9,801) $ 8,537 • I • I I 95 CITY OF RANCHO CUCAMONGA ' COMBINED STATEMENT OF REVENUES, ' EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 Special Revenue Funds I Major Urban Used'Oil COPS Local Law Resource Recycling Program Enforcement . Library Grant Grant Grant Block Grant II Revenues: Taxes $ - $ - $ - $ - Licenses and permits - - - - ' Intergovernmental - 4,226 235,258 17,416 Charges for services - - - - . Use of money and property (26) 158 3,014 1,671 Fines and forfeitures - - - - ' Developer participation - - - Proceeds from non-committal debt - - - Contributions - - - - Miscellaneous - - - - - ' Total Revenues (26) 4,384 238,272 19,087 Expenditures: ' Current: General government - - - - Public safety - - 261,000 - Public safety-fire protection - - - - ' Engineering and public works - 38,724 - - Community development - - - - Community services - - - - - Capital outlay - - - 50,760 ' Total Expenditures - 38,724 261,000 50,760 Excess(Deficiency)of Revenues Over(Under)Expenditures (26) (34,340) (22,728) (31,673) ' Other Financing Sources(Uses): • Transfers in - - - - Transfers out - - - - I Total Other Financing Sources(Uses) - • - - - Net Change in Fund Balances $ (26) $ (34,340) $ (22,728) $ (31,673) ' Fund Balances: Beginning of fiscal year,as originally reported $ 3,218 $ 11,994 $ 167,866 $ (23,406) Restatements - - - 31,203 ' Beginning of fiscal year,as restated. 3,218 11,994 167,866 7,797 Net change in fund balances (26) (34,340) (22,728) (31,673) End of Fiscal Year $ 3,192 $ (22,346) $ 145,138 $ (23,876) ' I I I 96 CITY OF RANCHO CUCAMONGA (Continued) COMBINED STATEMENT OF REVENUES, I EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 I Special Revenue Funds California Law COPS Senior Adult I Enforcement In Schools Outreach Education Act • Program Grant Grant Grant Revenues: Taxes $ - $ - $ - $ I Licenses and permits - - Intergovernmental 40,955 Charges for services - _ - - Use of money and property 1,398 - (27) (14) I Fines and forfeitures - _ - - - - - Developer participation Proceeds from non-committal debt - - - _ Contributions - - - - I Miscellaneous - - _ - Total Revenues 1,398 40,955 (27) (14) Expenditures: I Current: - General government - Public safety 1,724 40,955 - - I Public safety-fire protection - _ _ - Engineering and public works - - - C - ommunity development - - - Community services - - - - ' Capital outlay 58,389 - - - Total Expenditures 60,113 40,955 - Excess(Deficiency)of Revenues I Over(Under)Expenditures (58,715) - (27) (14) Other Financing Sources(Uses): - - - Transfers in I Transfers out - _ - - Total Other Financing Sources(Uses) - - - - Net Change in Fund Balances $ (58,715) $ - $ (27) $ (14) IFund Balances: Beginning of fiscal year,as originally reported $ 58,865 $ (45,837) $ 3,343 $ 1,790 I Restatements - _ - Beginning of fiscal year,as restated 58,865 (45,837) 3,34 • 1,790 Net change in fund balances (58,715) - (27) (14) ' End of Fiscal Year $ 150 $ (45,837) $ 3,316 $ 1,776 I I I 97 • CITY OF RANCHO CUCAMONGA ' COMBINED STATEMENT OF REVENUES, ' EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 Special Revenue Funds ' . Library AB 2928 Teen Services& Traffic Litter Connection Technologies Congestion Reduction Program ' Act Relief Grant Grant Revenues: Taxes $ - $ - $ - $ - Licenses and permits - - - - ' Intergovernmental - - 85,726 - Charges for services - - - - Use of money and property (154) 2,139 (115) 11 Fines and forfeitures - - - - ' Developer participation - - - - Proceeds from non-committal debt - - - - Contributions - - - - Miscellaneous - - - - ' Total Revenues (154) 2,139 85,611 11 Expenditures: , Current: . General government - - - - Public safety - - - - Public safety-fire protection - - - - , Engineering and public works - - 42,829 - Community development - - - - Community services - - - - Capital outlay - - - - ' Total Expenditures - - 42,829 - Excess(Deficiency)of Revenues • Over(Under)Expenditures (154) 2,139 42,782 11 ' Other Financing Sources(Uses): Transfers in - - - - Transfers out - - - - I Total Other Financing Sources (Uses) • - - - Net Change in Fund Balances $ (154) $ 2,139 $ 42,782 $ 11 ' Fund Balances: Beginning of fiscal year,as originally reported $ 19,148 $ 1,329,357 $ 10,965 $ 448 Restatements - (1,320,000) - - ' Beginning of fiscal year,as restated 19,148 9,357 10,965 448 Net change in fund balances (154) 2,139 42,782 11 End of Fiscal Year $ 18,994 $ 11,496 $ 53,747 $ 459 ' . I • I I • 98 1 ' CITY OF RANCHO CUCAMONGA (Continued) I COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 ISpecial Revenue Funds Teen Signal Connection Safe Routes I Coordination State Conservation to School Grant Grant Bond Act Program Revenues: Taxes $ - $ - $ - $ - I Licenses and permits - - _ - Intergovernmental - C - harges for services _ - _ - Use of money and property 277 (7) (1) - I Fines and forfeitures - - _ - - - Developer participation Proceeds from non-committal debt - - _ - Contributions - - - IMiscellaneous - - _ - Total Revenues 277 (7) (1) - I Expenditures: Current General government - - - - Public safety - - - - _ - I Public safety-Tire protection - - - - - Engineering and public works - Community development - - - Community services - - _ - I - Capital outlay - - - - - Total Expenditures Excess(Deficiency)of Revenues IOver(Under)Expenditures 277 (7) (1) - Other Financing Sources(Uses): Transfers in - - - - ITransfers out - - - - Total Other Financing Sources(Uses) - - _ - INet Change in Fund Balances $ 277 $ (7) $ (1) $ - Fund Balances: Beginning of fiscal year,as originally reported $ 12,491 $ 843 $ 182 $ (68,668) ' Restatements - - Beginning of fiscal year,as restated 12,491 843 182 (68,668) Net change in fund balances 277 (7) (1) - ' End of Fiscal Year $ 12,768 $ 836 $ 181 $ (68,668) I • I I 99 I • CITY OF RANCHO CUCAMONGA COMBINED STATEMENT OF REVENUES, • ' EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 Special Revenue Funds Milliken MWD City ' • Congestion Foothill Blvd Land Makeover Mitigation Maintenance Transaction Program Grant Revenues: Taxes $ - $ - $ - $ - ' Licenses and permits - - - - Intergovernmental - - - - Charges for services - - - - Use of money and property - (2,468) - 1 ' Fines and forfeitures - - - - Developer participation - - - - - Proceeds from non-committal debt - - - - Contributions - - - - ' Miscellaneous - - - - Total Revenues - (2,468) - 1 Expenditures: ' Current: General government - - - - Public safety - - - - ' Public safety-fire protection - - - - Engineering and public works - 44,453 - - Community development - - - - Community services - - - • - , Capital outlay - - - - Total Expenditures _ - 44,453 - - Excess(Deficiency)of Revenues , Over(Under)Expenditures - (46,921) - 1 Other Financing Sources(Uses): Transfers in - 1,350 - - ' Transfers out - - - - .Total Other Financing Sources(Uses) - 1,350 - - Net Change in Fund Balances $ - $ (45,571) $ - $ 1 ' Fund Balances: Beginning of fiscal year,as originally reported $ (99,968) $ 419,698 $ (4,243) $ 57 ' Restatements - - - - ' Beginning of fiscal year,as restated (99,968) 419,698 (4,243) 57 Net change in fund balances - (45,571) - 1 End of Fiscal Year $ (99,968) $ 374,127 $ (4,243) $ 58 ' I I I 100 I 1 CITY OF RANCHO CUCAMONGA (Continued) I COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 ISpecial Revenue Funds Code Youth Target Drink, I Enforcement Enrichment Literacy Drive,Lose Grant Program Grant Grant Grant Revenues: . Taxes $ - $ - $ - $ - ILicenses and permits - - Intergovernmental 14,462 C - harges for services - - - - Use of money and property (22) (28) 63 290 I Fines and forfeitures Developer participation - - - Proceeds from non-committal debt - - - Contributions ' Miscellaneous - - - - Total Revenues 14,440 (28) 63 290 I Expenditures: Current: General government - - - - Public safety - - - - I Public safety-fire protection - - - - Engineering and public works - - - - Community development - - - - Community services - - - - I Capital outlay 15,072 - - - Total Expenditures 15,072 - Excess(Deficiency)of Revenues I. Over(Under)Expenditures - (632) (28) 63 290 Other Financing Sources(Uses): Transfers in - - - - ITransfers out - - - - - Total Other Financing Sources(Uses) - - - INet Change in Fund Balances $ (632) $ (28) $ 63 $ 290 Fund Balances: Beginning of fiscal year,as originally reported $ 4,417 $ 21,718 $ 2,697 $ 8,841 I Restatements - - - - Beginning of fiscal year,as restated 4,417 21,718 2,697 8,841 Net change in fund balances (632) (28) 63 290 ' End of Fiscal Year $ 3,785 $ 21,690 $ 2,760 $ 9,131 I I ' • I 101 I CITY OF RANCHO CUCAMONGA COMBINED STATEMENT OF REVENUES, ' EXPENDITURES AND CHANGES IN FUND BALANCES • NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 Special Revenue Funds I •Department COPS/ OTS Henderson/ of Homeland Dreier EOC Traffic Wardman Security Grant Grant Safety Drainage Revenues: Taxes $ - $ - $ - $ - ' Licenses and permits - - - - Intergovernmental 171,862 92,093 237,357 - Charges for services - - - - Use of money and property 1,451 - - (12,525) ' Fines and forfeitures - - - - Developer participation - - - 476,992 Proceeds from non-committal debt - - - - Contributions - - - - ' Miscellaneous - - - - Total Revenues 173,313 - 92,093 237,357 464,467 Expenditures: ' Current: General government - - - - Public safety - 1,389 - 220,662 - ' Public safety-fire protection - - - - Engineering and public works - - - - Community development - - - - Community services - - - - , Capital outlay 172,310 53,181 - - Total Expenditures 173,699 53,181 220,662 - Excess(Deficiency)of Revenues Over(Under)Expenditures (386) 38,912 16,695 464,467 Other Financing Sources(Uses): Transfers in - - - - - , Transfers out - - - - Total Other Financing Sources(Uses) - - - - Net Change in Fund Balances $ (386) $ 38,912 $ 16,695 $ 464,467 ' Fund Balances: Beginning of fiscal year,as originally reported $ (1,451) $ (38,912) $ (54,997) $ 321,685 ' Restatements - - - - Beginning of fiscal year,as restated (1,451) (38,912) (54,997) 321,685 Net change in fund balances (386) 38,912 16,695 464,467 End of Fiscal Year $ (1,837) $ - $ (38,302) $ 786,152 , I I I 102 I • CITY OF RANCHO CUCAMONGA • (Continued) I COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 ISpecial Revenue Funds Proposition 42- Integrated Federal Pre-Disaster Traffic I Waste Management Grant Fund- Mitigation Congestion Dreier Grant Mitigation Revenues: Taxes $ - $ - $ - $ - I Licenses and permits - _ _ - Intergovernmental 21,750 1,850,375 Charges for services 1,129,221 - Use of money and property 21,001 (178) - (21,383) I Fines and forfeitures - - _ - - - Developer participation Proceeds from non-committal debt - - _ - Contributions _ - _ - IMiscellaneous - - - - Total Revenues 1,150,222 (178) 21,750 1,828,992 I Expenditures: Current: General government - - - - Public safety - - - - - I Public safety-fire protection - - - - Engineering and public works 738,212 Community development _ - - - Community services - - - - I Capital outlay 227,089 _ - Total Expenditures 965,301 - Excess(Deficiency)of Revenues Over(Under)Expenditures 184,921 (178) 21,750 1,828,992 Other Financing Sources(Uses): Transfers in - - - - ITransfers out _ - - - - Total Other Financing Sources(Uses) - - - INet Change in Fund Balances $ 184,921 $ (178) $ 21,750 $ 1,828,992 Fund Balances: Beginning of fiscal year,as originally reported $ 1,989,263 $ - $ (21,750) $ - I Restatements - - - 1,320,000 Beginning of fiscal year,as restated 1,989,263 - (21,750) 1,320,000 Net change in fund balances 184,921 (178) 21,750 1,828,992 1 End of Fiscal Year $ 2,174,184 $ (178) $ - $ 3,148,992 • I I 103 CITY OF RANCHO CUCAMONGA I • COMBINED STATEMENT OF REVENUES, ' EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS • YEAR ENDED JUNE 30,2006 Special Revenue Funds , OTS Senior OTS . Countdown Wellness/ Justice 2005 State Pedestrian Transportation Assistance Seat Belt Signals Program Grant Grant Revenues: Taxes $ - $ - $ - $ - Licenses and permits - - - - II - - 18,248 25,084 Charges for services - - .- - Use of money and property - - 225 113 , Fines and forfeitures - - - - Developer participation - - - - Proceeds from non-committal debt - - - • - Contributions - - - - ' Miscellaneous. - - - - Total Revenues - - 18,473 25,197 • Expenditures: ' Current: General government - - - - Public safety - - - 25,084 ' Public safety-fire protection - - - - Engineering and public works 555 - - - Community development - - - - Community services - 96,925 • - - ' Capital outlay - 8,383 18,689 - Total Expenditures 555 105,308 18,689 25,084 Excess(Deficiency)of Revenues ' Over(Under)Expenditures (555) (105,308) (216) 113 Other Financing Sources(Uses): Transfers in - - - - Transfers out - _ - - - ' Total Other Financing Sources(Uses) - - - - Net Change in Fund Balances $ (555) $ (105,308) $ (216) $ 113 , Fund Balances: Beginning of fiscal year,as originally reported $ - $ - $ - $ - , Restatements - - - - Beginning of fiscal year,as restated - - - - Netchangeinfund balances (555) (105,308) (216) 113 End of Fiscal Year $ (555) $ (105,308) $ (216) $ 113 ' . I I I 104 ' CITY OF RANCHO CUCAMONGA (Continued) I COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 ISpecial Revenue Capital Projects Funds Biane Assessment I ' County Library Fire District CFD Grant District 82-1 84-1 Revenues: Taxes $ - $ 17,428,664 $ $ - - I - Licenses and permits - 5,540 - Intergovernmental 16,671 C - harges for services - 336,748 - - Use of money and property - 335,665 6,905 20,189 I Fines and forfeitures - 996 - - - Developer participation - Proceeds from non-committal debt - - - - I Contributions - 3,404 - - - - Miscellaneous 343,302 Total Revenues 18,471,010 6,905 20,189 I Expenditures: Current: General government - - Public safety • - _ - - - - I - Public safety-fire protection - 18,964 948 Engineering and public works - • Community development - - - - Community services 54,156 - - - I Capital outlay 248,861 • 793,770 170,000 • Total Expenditures 303,017 19,758,718 170,000 - Excess(Deficiency)of Revenues IOver(Under)Expenditures (303,017) (1,287,708) (163,095) 20,189 Other Financing Sources(Uses): Transfers in 1,790,184 - - I Transfers out - - - Total Other Financing Sources(Uses) - 1,790,184 - - INet Change in Fund Balances $ (303,017) $ 502,476 $ (163,095) $ 20,189 Fund Balances: I Beginning of fiscal year,as originally reported $ - $ 8,915,723 $ 173,241 $ 865,677 Restatements - 1,046,454 - Beginning of fiscal year,as restated 9,962,177 173,241 865,677 Net change in fund balances (303,017) 502,476 (163,095) 20,189 IEnd of Fiscal Year $ (303,017) $ 10,464,653 $ 10,146 $ 885,866 I • • I 105 I CITY OF RANCHO CUCAMONGA COMBINED STATEMENT OF REVENUES, ' EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 Capital Protects Funds 1 • Regional . Assessment Assessment Choice Transit CFD 2000-01 District District . Capital South 84-2 _ 86-2 Improvement Etiwanda • Revenues: - • Taxes $ - $ - $ - $ , Licenses and permits - - - Intergovernmental .- - - Charges for services - - - Use of money and property 94 126 4,046 2,917 Fines and forfeitures - - - Developer participation - - - Proceeds from non-committal debt - - - - Contributions - - ' Miscellaneous - - - Total Revenues 94 - 126 4,046 2,917 Expenditures: ' Current: General government - - - - Public safety - - - Public safety-fire protection - - - - Engineering and public works - - - - Community development - - - - Community services - - - - ' Capital outlay - 53,240 - Total Expenditures - 53,240 - - Excess(Deficiency)of Revenues , Over(Under)Expenditures 94 (53,114) 4,046 2,917 Other Financing Sources(Uses): Transfers in - - - - ' Transfers out - - - Total Other Financing Sources(Uses) - - Net Change in Fund Balances $ 94 $ (53,114) $ 4,046 $ 2,917 , Fund Balances: Beginning of fiscal year,as originally reported $ 140 $ 11,986 $ (4,043) $ 80,884 ' Restatements - - - - Beginning of fiscal year,as restated 140 11,986 (4,043) 80,884 Net change in fund balances 94 (53,114) 4,046 2,917 End of Fiscal Year $ 234 $ (41,128) $ 3 $ 83,801 I I I 106 I CITY OF RANCHO CUCAMONGA (Continued) COMBINED STATEMENT OF REVENUES, IEXPENDRURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 I Capital Projects Funds CFD 2000-02 • Rancho CFD 2000-03 I Cucamonga Rancho CFD 2003-01 Corporate Park Summit CFD 2001-01 Project Fund Revenues: Taxes $ - $ - $ $ - I Licenses and permits - - _ - - - Intergovernmental - - Charges for services Use of money and property 18,436 81,533 (1,640) 129,976 I Fines and forfeitures - - - Developer participation 4,613,932 1,026,694 Proceeds from non-committal debt 8,672,914 - - - Contributions - ' Miscellaneous - - 29,929 - Total Revenues 18,436 8,754,447 4,642,221 1,156,670 Expenditures: I Current: General government 217,660 1,756 20,783 Public safety - - - _ - Public safety-fire protection - - I Engineering and public works - - - - Community development - - - Community services - - - I Capital outlay 2,902,574 Total Expenditures - 217,660 1,756 2,923,357 • Excess(Deficiency)of Revenues I Over(Under)Expenditures 18,436 8,536,787 4,640,465 (1,766,687) Other Financing Sources (Uses): - Transfers in - 37,713 - ITransfers out - - - - - Total Other Financing Sources(Uses) 37,713 - Net Change in Fund Balances $ 18,436 $ 8,574,500 $ 4,640,465 $ (1,766,687) IFund Balances: Beginning of fiscal year,as originally reported $ 488,428 $ (11,745) $ (7,498,206) $ 1,307,825 I Restatements - - 65,331 16,499 Beginning of fiscal year,as restated 488,428 (11,745) (7,432,875) 1,324,324 Net change in fund balances 18,436 8,574,500 4,640,465 (1,766,687) End of Fiscal Year $ 506,864 $ 8,562,755 $ (2,792,410) $ . (442,363) 1 I I 107 CITY OF RANCHO CUCAMONGA ' COMBINED STATEMENT OF REVENUES, ' EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 Capital Projects Funds I CFD 2004-01 Public Library Proposition 12 Proposition 40 Rancho ' Bond Act-2000 Park Bond Act Park Bond Act Etiwanda Revenues: Taxes $ - $ - $ - $ - Licenses and permits - - - - ' Intergovernmental 2,577,519 300,940 5,437,746 - Charges for services - - - - Use of money and property - (286) - 2,182 Fines and forfeitures - - - - - ' Developer participation - - - 9,027 Proceeds from non-committal debt - - - - Contributions - - - - Miscellaneous - - - - , Total Revenues 2,577,519 300,654 5,437,746 11,209 Expenditures: , Current: General government 10,076 - - 68,459 Public safety - - - - Public safety-fire protection - - - - , Engineering and public works - - - - Community development - - - - Community services - - - - Capital outlay 3,463,724 - 25,430 - ' Total Expenditures 3,473,800 - 25,430 68,459 Excess(Deficiency)of Revenues Over(Under)Expenditures (896,281) 300,654 5,412,316 (57,250) ' Other Financing Sources(Uses): Transfers in - - - - Transfers out - - - - ' Total Other Financing Sources(Uses) - - - - Net Change in Fund Balances $ (896,281) $ 300,654 $ 5,412,316 $ (57,250) ' Fund Balances: Beginning of fiscal year,as originally reported $ (910,594) $ (287,204) $ (5,412,321) $ 57,211 Restatements (1,382,087) - - - ' Beginning of fiscal year,as restated (2,292,681) (287,204) (5,412,321) 57,211 Net change in fund balances (896,281) 300,654 5,412,316 (57,250) End of Fiscal Year $ (3,188,962) $ 13,450 $ (5) $ (39) ' • I I I 108 CRY OF RANCHO CUCAMONGA (Continued) I COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 I Capital Projects Funds CFD 2003-01 CFD 2004-02 CFD 2006-01 CFD 2006-02 I Cultural Rancho Vintner's Amador Center Summit Grove on Route 66 Revenues: Taxes $ - $ - $ - $ - - I Licenses and permits - - . - - Intergovernmental Charges for services - - - - Use of money and property 152,136 - (1,155) (1,155) Fines and forfeitures _ - - _ Developer participation 60,000 60,000 Proceeds from non-committal debt - - - _ Contributions _ - - IMiscellaneous - - - _ Total Revenues 152,136 - 58,845 58,845 I Expenditures: Current: General government - - 12,468 10,874 Public safety - - _ _ I Public safety-fire protection - _ _ - Engineering and public works - - - Community development - - - - Community services - - - - I Capital outlay 4,020,097 - - - Total Expenditures 4,020,097 12,468 10,874 Excess(Deficiency)of Revenues IOver(Under)Expenditures (3,867,961) - 46,377 47,971 Other Financing Sources(Uses): Transfers in - - _ - ' Transfers out - (37,713) - - - Total Other Financing Sources(Uses) - (37,713) - ' Net Change in Fund Balances $ (3,867,961) $ (37,713) $ 46,377 $ 47,971 Fund Balances: Beginning of fiscal year,as originally reported $ 4,255,781 $ 37,713 $ - $ - I Restatements - - Beginning of fiscal year,as restated 4,255,781 37,713 Net change in fund balances (3,867,961) (37,713) 46,377 47,971 End of Fiscal Year $ 387,820 $ - $ 46,377 $ 47,971 I I I 109 CITY OF RANCHO CUCAMONGA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED JUNE 30,2006 • Total Nonmajor Governmental Funds Revenues: Taxes $ 30,615,917 Licenses and permits 12,261 Intergovernmental 19,230,943 Charges for services - 4,785,641 Use of money and property 2,286,080 Fines and forfeitures 996 ' Developer participation 23,834,796 Proceeds from non-committal debt 8,672,914 Contributions 481,906 Miscellaneous 1,389,181 Total Revenues 91,310,635 • Expenditures: Current: General government 2,454,643 Public safety 550,814 • Public safety-fire protection 18,964,948 Engineering and public works 6,200,427 Community development 8,699,144 Community services 5,262,844 Capital outlay 33,680,254 Total Expenditures 75,813,074 Excess(Deficiency)of Revenues Over(Under)Expenditures 15,497,561 Other Financing Sources(Uses): Transfers in 2,341,477 Transfers out (56,423) Total Other Financing Sources(Uses) 2,285,054 Net Change in Fund Balances $ 17,782,615 Fund Balances: Beginning of fiscal year,as originally reported • $ 80,276,730 Restatements (415,708) Beginning of fiscal year,as restated 79,861,022 Net change in fund balances 17,782,615 End of Fiscal Year $ 97,643,637 1 110 ' CITY OF RANCHO CUCAMONGA IBUDGETARY COMPARISON SCHEDULE (BUDGETARY BASIS) GAS TAX YEAR ENDED JUNE 30,2006 IVariance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 2,814,400 $ 2,814,400 $ 2,814,400 $ - Resources(Inflows): I Intergovernmental 2,426,910 2,462,280 2,959,082 496,802 Use of money and property 35,440 35,440 49,292 13,852 Transfers from other funds 81,970 81,970 81,970 - I Amounts Available for Appropriation 5,358,720 5,394,090 5,904,744 510,654 Charges to Appropriation(Outflow): Engineering and public works 3,074,120 3,142,980 2,837,301 _ 305,679 I Capital outlay 213,000 222,500 215,661 6,839 Total Charges to Appropriations 3,287,120 3,365,480 3,052,962 312,518 Budgetary Fund Balance,June 30(Budgetary Basis) $ 2,071,600 $ 2,028,610 2,851,782 $ 823,172 IEncumbrances 25,332 Budgetary Fund Balance,June 30(GAAP Basis) $ 2,877,114 I I I I I I I I I 111 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE SB 325 YEAR ENDED JUNE 90,2006 Variance with I Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 108,003 $ 108,003 $ 108,003 $ - Resources (Inflows): Use of money and property 2,180 • 2,180 2,818 638 Amounts Available for Appropriation 110,183 110,183 110,821 638 Charges to Appropriation (Outflow): Capital outlay - 105,120 105,120 - Total Charges to Appropriations - 105,120 105,120 Budgetary Fund Balance,June 30 $ 110,183 $ 5,063 $ 5,701 $ 638 I I I I I I I I I I 112 I ICITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) RECREATION YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) ' Budgetary Fund Balance,July 1 $ 1,202,049 $ 1,202,049 $ 1,202,049 $ - Resources(Inflows): Charges for services 3,057,210 2,753,340 3,066,930 313,590 I Use of money and property 19,000 19,000 16,543 (2,457) Contributions 6,053 6,053 Transfers from other funds 86,000 86,000 86,000 - I Amounts Available for Appropriation 4,364,259 4,060,389 4,377,575 317,186 Charges to Appropriation(Outflow): Community services 3,223,180 2,868,920 2,344,892 524,026 I Capital outlay - 1,730 1,723 7 Total Charges to Appropriations 3,223,180 2,870,650 2,346,615 524,035 Budgetary Fund Balance,June 30(Budgetary Basis) $ 1,141,079 $ 1,189,739 $ 2,030,960 $ 841,221 IEncumbrances 671 Budgetary Fund Balance,June 30(GAAP Basis) $ 2,031,631 I I I I I I I I I I 113 CITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) ' PARK DEVELOPMENT YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) t Budgetary Fund Balance,July 1 $ 7,480,566 $ 7,480,566 7,480,566 $ - Resources(Inflows): Use of money and property 145,480 145,480 202,258 56,778 Developer fees 5,295,200 6,600,000 6,619,585 19,585 ' Miscellaneous - - 204,476 204,476 Transfers from other funds 5,260 5,260 5,260 - Amounts Available for Appropriation 12,926,506 14,231,306 14,512,145 280,839 ' Charges to Appropriation(Outflow): Community development 310,030 604,670 510,612 94,058 Capital outlay 5,316,000 5,724,570 1,313,952 4,410,618 ' Total Charges to Appropriations 5,626,030 6,329,240 1,824,564 4,504,676 Budgetary Fund Balance,June 30(Budgetary Basis) $ 7,300,476 $ 7,902,066 12,687,581 $ 4,785,515 Encmubrances 358,627 ' Budgetary Fund Balance,June 30(GAAP Basis) $ 13,046,208 I I I I I I I I 1 114 ' I ICITY OF RANCHO CUCAMONGA IBUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) BEAUTIFICATION YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive I . Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 3,655,584 $ 3,655,584 $ 3,655,584 $ Resources(Inflows): Use of money and property 66,110 66,110 97,292 31,182 I Developer fees 813,450 273,430 400,021 126,591 Transfers from other funds 330 330 330 - Amounts Available for Appropriation 4,535,474 3,995,454 4,153,227 157,773 ICharges to Appropriation(Outflow): Engineering and public works 216,780 601,990 457,026 144,964 Capital outlay 2,149,000 1,805,790 1,358,834 446,956 ITotal Charges to Appropriations 2,365,780 2,407,780 1,815,860 591,920 Budgetary Fund Balance,June 30(Budgetary basis) $ 2,169,694 $ 1,587,674 2,337,367 $ 749,693 I Encumbrances 540,694 Budgetary Fund Balance,June 30(GAAP Basis) $ 2,878,061 I I I I I I I I I • I 115 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) ' LIGHTING DISTRICTS YEAR ENDED JUNE 30,2006 Variance with I Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 3,690,177 $ 3,690,177 $ 3,690,177 $ - Resources(Inflows): Taxes 1,974,440 2,008,790 2,061,855 53,065 Use of money and property 54,400 54,400 75,694 21,294 Developer fees 5,200 15,050 20,593 5,543 Amounts Available for Appropriation 5,724,217 5,768,417 5,848,319 79,902 Charges to Appropriation (Outflow): ' General government 1,659,620 1,700,870 1,439,544 261,326 Total Charges to Appropriations 1,659,620 1,700,870 1,439,544 261,326 Budgetary Fund Balance,June 30(Budgetary Basis) $ 4,064,597 $ 4,067,547 4,408,775 $ 341,228 Encumbrances 12,576 Budgetary Fund Balance,June 30(GAAP Basis) $ 4,421,351 1 1 1 1 1 1 116 ' CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) LANDSCAPE MAINTENANCE DISTRICTS YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 11,287,941 $ 11,287,941 $ 11,267,941 $ Resources(Inflows): Taxes 7,913,170 8,077,870 8,251,901 174;031 I Use of money and property 208,800 204,700 240,779 36,079 Other 10,500 16,100 22,442 6,342 Transfers from other funds 131,850 131,650 131,850 - I Amounts Available for Appropriation 19,552,261 19,718,461 19,934,913 216,452 Charges to Appropriation(Outflow): Community development 9,245,430 10,115,920 8,468,855 1,647,065 I Capital outlay 105,300 104,070 3,426 100,644 Total Charges to Appropriations 9,350,730 10,219,990 8,472,281 1,747,709 Budgetary Fund Balance,June 30(Budgetary Basis) $ 10,201,531 $ 9,498,471 11,462,632 $ 1,964,161 IEncumbrances 511,301 Budgetary Fund Balance,June 30(GAAP Basis) $ 11,973,933 I I • I I I I t 1 117 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) SYSTEMS DEVELOPMENT YEAR ENDED JUNE 30,2006 Variance with I Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 20,590,269 $ 20,590,269 $ 20,590,269 $ - Resources(Inflows): Licenses and Permits - - 6,721 6,721 Intergovernmental - - 179,854 179,854 Use of money and property 288,000 288,000 429,546 141,546 Other - - - 19,037 19,037 Developer fees 4,284,620 1,924,010 6,331,006 4,406,996 Transfers from other funds 57,460 57,460 57,460 - Amounts Available for Appropriation 25,220,349 22,859,739 27,613,893 4,754,154 Charges to Appropriation(Outflow): Engineering and public works 1,512,220 1,472,730 1,363,942 108,788 Capital outlay 5,180,270 14,931,040 11,302,555 3,628485 Total Charges to Appropriations 6,692,490 16,403,770 12,666,497 3,737,273 Budgetary Fund Balance,June 30(Budgetary Basis) $ 18,527,859 $ 6,455,969 14,947,396 $ 8,491,427 Encumbrances 2,759,636 Budgetary Fund Balance,June 30(GAAP Basis) $ 17,707,032 I I I I I I I • I 118 I I ' CITY OF RANCHO CUCAMONGA . I BUDGETARY COMPARISON SCHEDULE , DRAINAGE FACILITIES YEAR ENDED JUNE 30,2006 IVariance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,July 1 as restated $ 6,260,747 $ 6,260,747 $ 6,260,747 $ Resources(Inflows): I Use of money and property 132,130 132,130 117,293 (14,837) Developer fees 1,750,170 1,879,940 2,926,024 1,046,084 Amounts Available for Appropriation 8,143,047 8,272,817 9,304,064 1,031,247 I Charges to Appropriation (Outflow): Engineering and public works 227,920 227,920 218,450 9,470 Capital outlay 1,623,870 2,365,680 2,334,885 30,795 Total Charges to Appropriations 1,851,790 2,593,600 2,553,335 40,265 II Budgetary Fund Balance,June 30 $ 6,291,257 $ 5,679,217 $ 6,750,729 $ 1,071,512 I I I I I I I I I I I 119 CITY OF RANCHO CUCAMONGA ' BUDGET COMPARISON SCHEDULE ' PEDESTRIAN GRANTS YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) ' Budgetary Fund Balance,July 1 $ 91 $ 91 $ 91 $ - Resources(Inflows): Intergovernmental 1,065,000 1,065,000 - (1,065,000) , Amounts Available for Appropriation 1,065,091 1,065,091 91 (1,065,000) Charges to Appropriation (Outflow): Capital outlay 1,065,000 - - - ' Total Charges to Appropriations 1,065,000 - - - Budgetary Fund Balance, June 30 $ 91 $ 1,065,091 $ 91 $ (1,065,000) ' 1 I 1 1 I I I 120 III I CITY OF RANCHO CUCAMONGA IBUDGETARY COMPARISON SCHEDULE TRANSPORTATION ENHANCEMENT ACT YEAR ENDED JUNE 30,2006 IVariance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 326,539 $ 326,539 $ 326,539 $ Resources (Inflows): I Intergovernmental 3,779,000 1,800,000 - (1,800,000) Use of money and property 9,362 9,362 Amounts Available for Appropriation 4,105,539 2,126,539 335,901 (1,790,638) I Charges to Appropriation(Outflow): Capital outlay 3,779,000 314,000 314,000 Total Charges to Appropriations 3,779,000 314,000 314,000 - IBudgetary Fund Balance,June 30 $ 326,539 $ 1,812,539 $ 21,901 $ (1,790,638) I 1 I I 1 I I I I I I 121 I CITY OF RANCHO CUCAMONGA _ ' R;. X• BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) ' COMMUNITY DEVELOPMENT BLOCK GRANT YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) ' Budgetary Fund Balance,July 1 $ (543,397) $ (543,397) $ (543,397) $ - Resources(Inflows): Intergovernmental 1,270,930 1,270,930 2,116,971 846,041 ' Other 208,480 208,480 - (208,480) Transfers from other funds 18,680 18,680 18,680 - Amounts Available for Appropriation 954,693 954,693 1,592,254 637,561 Charges to Appropriation(Outflow): ' Community development 398,630 398,630 314,832 83,798 Capital outlay 1,099,460 1,632,521 1,399,597 232,924 Total Charges to Appropriations 1,498,090 2,031,151 1,714,429 316,722 ' Budgetary Fund Balance,June 30(Budgetary Basis) $ (543,397) $ (1,076,458) (122,175) $ 954,283 Encumbrances 50,951 ' Budgetary Fund Balance,June 30(GAAP Basis) $ (71,224) I I I I I I I I I 122 I I IlCITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) ASSESSMENT ADMINISTRATION YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 597,396 $ 597,396 $ 597,396 $ Resources(Inflows): Charges for Services - 325 325 I Use of money and property 2,000 20,000 10,711 (9,289) Other 706,620 706,620 678,422 (28,198) Transfers from other funds 27,000 27,000 27,000 - I Amounts Available for Appropriation 1,333,016 1,351,016 1,313,854 (37,162) Charges to Appropriation (Outflow): General government 662,690 691,520 644,129 47,391 I Capital outlay - 13,200 13,197 3 Total Charges to Appropriations 662,690 704,720 657,326 47,394 Budgetary Fund Balance,June 30(Budgetary Basis) $ 670,326 $ 646,296 656,528 $ 10,232 IEncumbrances 285 Budgetary Fund Balance,June 30(GAAP Basis) $ 656,813 I I I I I I I I I I 123 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE SAN SEVAINE/ETIWANDA DRAINAGE YEAR ENDED JUNE 30, 2006 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 5,125,578 $ 5,125,578 $ 5,125,578 $ - Resources(Inflows): Use of money and property 64,990 64,990 66,566 1,576 Developer fees 160,380 800,000 1,290,922 490,922 Amounts Available for Appropriation 5,350,948 5,990,568 6,483,066 492,498 Charges to Appropriation (Outflow): Engineering and public works 7,480 7,480 7,480 - Capital outlay - 4,377,000 4,326,541 50,459 Total Charges to Appropriations 7,480 4,384,480 4,334,021 50,459 Budgetary Fund Balance,June 30 $ 5,343,468 $ 1,606,088 $ 2,149,045 $ 542,957 1 1 1 1 1 1 1 124 CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE AIR QUALITY IMPROVEMENT YEAR ENDED JUNE 90,2006 I Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance, July 1 as restated $ 172,642 $ 172,642 $ 172,642 $ Resources(Inflows): Intergovernmental 153,570 190,000 192,504 2,504 I Use of money and property 800 800 1,752 952 Transfers from other funds 1,340 1,340 1,340 - Amounts Available for Appropriation 328,352 364,782 368,238 3,456 ICharges to Appropriation(Outflow): General government 58,210 46,610 41,755 4,855 Capital outlay 70,000 - - - ITotal Charges to Appropriations 128,210 46,610 41,755 4,855 Budgetary Fund Balance,June 30 $ 200,142 $ 318,172 $ 326,483 $ 8,311 I I I I . I I I I I I I 125 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE SOUTH ETIWANDA DRAINAGE YEAR ENDED JUNE 30,2006 Variance with , Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 15,503 $ 15,503 $ 15,503 $ - Resources (Inflows): Use of money and property 280 280 361 81 Amounts Available for Appropriation 15,783 15,783 15,864 81 Budgetary Fund Balance,June 30 $ 15,783 $ 15,783 $ 15,864 $ 81 1 1 1 I t 1 126 1 ' CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARSON SCHEDULE LOWER ETIWANDA DRAINAGE YEAR ENDED JUNE 30,2006 ' Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 1,390,883 $ 1,390,883 $ 1,390,883 $ Resources(Inflows): I Use of money and property 19,910 19,910 32,495 12,585 Amounts Available for Appropriation 1,410,793 1,410,793 1,423,378 12,585 Charges to Appropriation (Outflow): I Capital outlay 750,000 4,000 3,500 500 Total Charges to Appropriations 750,000 4,000 3,500 500 Budgetary Fund Balance, June 30 $ 660,793 $ 1,406,793 $ 1,419,878 $ 13,085 I 1 1 ' 127 CITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) ' MEASURE I YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) ' Budgetary Fund Balance,July 1 $ 6,525437 $ 6,525,437 $ 6,525,437 $ Resources(Inflows): Intergovernmental 1,343,950 2,000,000 2,607,865 607,865 ' Use of money and property 113,370 113,370 144,474 31,104 Miscellaneous - - 28,475 28,475 Transfers from other funds 8,150 8,150 8,150 - Amounts Available for Appropriation 7,990,907 8,646,957 9,314,401 667,444 , Charges to Appropriation (Outflow): Engineering and public works 666,540 671,040 670,061 979 Capital outlay 4,521,000 3,304,140 2,986,001 318,139 , Total Charges to Appropriations 5,187,540 3,975,180 3,656,062 319,118 Budgetary fund balance,June 30(Budgetary Basis) $ 2,803,367 $ 4,671,777 5,658,339 $ 986,562 ' Encumbrances 1,111,639 Budgetary fund balance,June 30(GAAP Basis) $ 6,769,978 I I I I I I I I I I 128 I IICITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE (BUDGETARY BASIS) LIBRARY SERVICES YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 2,902,111 $ 2,902,111 $ 2,902,111 $ Resources(Inflows): Taxes 2,387,470 2,684,100 2,873,477 189,377 I Charges for services 325,000 221,000 252,417 31,417 Use of money and property 40,000 40,000 35,100 (4,900) Contributions 200,000 505,550 472,449 (33,101) Other 60,000 60,000 63,098 3,098 ITransfers from other funds 71,600 71,600 71,600 Amounts Available for Appropriation 5,986,181 6,484,361 6,670,252 185,891 I Charges to Appropriation(Outflow): Community services 3,081,950 3,517,613 2,911,660 605,953 Capital outlay - 577,097 564,525 12,572 Transfers to other funds 2,120 2,960 2,960 - Total Charges to Appropriations 3,084,070 4,097,670 3,479,145 618,525 Budgetary Fund Balance,June 30(Budgetary Basis) $ 2,902,111 _$ 2,386,691 3,191,107 $ 804,416 Encumbrances 517,147 IBudgetary Fund Balance,June 30(Budgetary Basis) $ 3,708,254 I I .I I I I I I I 129 I CITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON SCHEDULE METROLINK YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 41,140 $ 41,140 $ 41,140 $ - Resources (Inflows): Use of money and property 930 930 363 (567) Amounts Available for Appropriation 42,070 42,070 41,503 (567) Budgetary Fund Balance,June 30 $ 42,070 $ 42,070 $ 41,503 $ (567) 1 1 U 1 1 1 1 1 1 130 1 ICITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON SCHEDULE CALIFORNIA LITERACY CAMPAIGN YEAR ENDED JUNE 30,2006 IVariance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance, July 1 as restated $ 14,736 $ 14,736 $ 14,736 $ Resources(Inflows): I Intergovernmental 36,400 36,400 26,979 (9,421) Contribution 10,000 10,000 (10,000) Transfers from other funds 20,260 21,100 21,100 - Amounts Available for Appropriation 81,396 82,236 62,815 (19,421) ICharges to Appropriation (Outflow): Community services 82,040 83,240 72,616 10,624 I Total Charges to Appropriations 82,040 83,240 72,616 10,624 Budgetary Fund Balance,June 30 $ (644) $ (1,004) $ (9,801) $ (8,797) I I I I I I I I I I I 131 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE FAMILIES FOR LITERACY GRANT YEAR ENDED JUNE 30,2006 Variance with 1 Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 22,682 $ 22,682 $ 22,682 $ - Resources (Inflows): Use of money and property - - 115 115 , Transfers from other funds 1,490 1,490 1,490 - Amounts Available for Appropriation 24,172 24,172 24,287 115 Charges to Appropriation(Outflow): Transfers to other funds 15,750 15,750 15,750 - Total Charges to Appropriations 15,750 15,750 15,750 Budgetary Fund Balance,June 30 $ 8,422 $ 8,422 $ 8,537 $ 115 1 1 1 1 132 1 CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) USED OIL RECYCLING GRANT YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 11,994 $ 11,994 $ 11,994 $ Resources(Inflows): I Intergovernmental 36,800 43,000 4,226 (38,774) Use of money and property 158 158 Amounts Available for Appropriation 48,794 54,994 16,378 (38,616) Charges to Appropriation(Outflow): Engineering and public works 43,570 43,570 41,375 2,195 Total Charges to Appropriations 43,570 43,570 41,375 2,195 Budgetary Fund Balance,June 30(Budgetary Basis) $ 5,224 $ 11,424 (24,997) $ (36,421) Encumbrances 2,651 Budgetary Fund Balance,June 30(GAAP Basis) $ (22,346) I I I I I I I I I I 133 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE COPS PROGRAM GRANT YEAR ENDED JUNE 30,2006 Variance with 1 Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 167,866 $ 167,866 $ 167,866 $ - Resources(Inflows): Intergovernmental - 260,990 235,258 (25,732) Use of money and property 8,300 8,300 3,014 (5,286) 1 Amounts Available for Appropriation 176,166 437,156 406,138 (31,018) Charges to appropriation (outflow): ' Public safety 163,710 _ 260,990 261,000 (10) Total Charges to Appropriations 163,710 260,990 261,000 (10) Budgetary Fund Balance, June 30 $ 12,456 $ 176,166 $ 145,138 $ (31,028) 1 1 1 1 1 1 1 1 i 1 1 134 1 1 ' CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE LOCAL LAW ENFORCEMENT BLOCK GRANT YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance, July 1as restated $ 7,797 $ 7,797 $ 7,797 $ Resources(Inflows): I Intergovernmental - _ 17,416 17,416 Use of money and property 1,671 1,671 Amounts Available for Appropriation 7,797 7,797 26,884 19,087 I Charges to Appropriation(Outflow): Capital outlay 21,590 50,770 50,760 10 Total Charges to Appropriations 21,590 50,770 50,760 10 IBudgetary Fund Balance,June 30 $ (13,793) $ (42,973) $ (23,876) $ 19,097 i 1 135 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE ' CALIFORNIA LAW ENFORCEMENT PROGRAM YEAR ENDED JUNE 30,2006 Variance with I Final Budget Budget Amounts Actual Positive ' Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 58,865 $ 58,865 $ 58,865 $ - Resources(Inflows): ' Use of money and property - 1,398 1,398 Amounts Available for Appropriation 58,865 58,865 60,263 1,398 Charges to Appropriation (Outflow): ' Public safety - 1,730 1,724 6 Capital outlay - 58,400 58,389 11 Total Charges to Appropriations - 60,130 60,113 17 , Budgetary Fund Balance,June 30 $ 58,865 $ (1,265) $ 150 $ 1,415 t 1 1 1 136 1 ICITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE COPS IN SCHOOL GRANT YEAR ENDED JUNE 30,2006 ' Variance with Final Budget Budget Amounts Actual Positive ' Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ (45,837) $ (45,837) $ (45,837) $ Resources(Inflows): ' Intergovernmental 40,960 40,960 40,955 (5) Amounts Available for Appropriation (4,877) (4,877) (4,882) (5) Charges to Appropriation(Outflow): I Public safety 40,960 40,960 40,955 5 Total Charges to Appropriations 40,960 40,960 40,955 5 Budgetary Fund Balance,June 30 $ (45,837) $ (45,837) $ (45,837) $ 1 1 ' 137 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE AB 2928 TRAFFIC CONGESTION RELIEF YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 as restated $ 9,357 $ 9,357 $ 9,357 $ - Resources (Inflows): Intergovernmental - 200,650 - (200,650) ' Use of money and property 500 500 2,139 1,639 Amounts Available for Appropriation 9,857 210,507 11,496 (199,011) Budgetary Fund Balance,June 30 $ 9,857 $ 210,507 $ 11,496 $ (199,011) ' 1 1 1 138 CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE LITTER REDUCTION GRANT YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,Jury 1 $ 10,965 $ 10,965 $ 10,965 $ Resources(Inflows): I Intergovernmental 40,700 42,300 85,726 43,426 Use of money and property (115) (115) Amounts Available for Appropriation 51,665 53,265 96,576 43,311 I Charges to Appropriation (Outflow): Engineering and public works 54,660 56,140 42,829 13,311 Capital outlay - 12,930 - 12,930 Total Charges to Appropriations 54,660 69,070 42,829 26,241 Budgetary fund balance,June 30 $ (2,995) $ (15,805) $ 53,747 $ 69,552 I I I . I I I I I I I 139 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE FOOTHILL BLVD MAINTENANCE YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 419,698 $ 419,898 $ 419,698 $ - Resources(Inflows): Use of money and property (2,468) (2,468) Transfers from other funds 1,350 1,350 1,350 - Amounts Available for Appropriation 421,048 421,048 418,580 (2,468) Charges to Appropriation (Outflow): ' Engineering and public works 62,280 62,280 44,453 17,827 Total Charges to Appropriations 62,280 62,280 44,453 17,827 ' Budgetary Fund Balance,June 30 $ 358,768 $ 358,768 $ 374,127 $ 15,359 t 1 1 I 1 1 140 1 III CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) CODE ENFORCEMENT GRANT PROGRAM YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 4,417 $ 4,417 $ 4,417 $ Resources(Inflows): Intergovernmental - 98760 14,462 (84,298) I Use of money and property - - (22) (22) Amounts Available for Appropriation 4,417 103,177 18,857 (84,320) Charges to Appropriation(Outflow): I Capital outlay - 98,760 98,746 14 Total Charges to Appropriations 98,760 98,746 14 IBudgetary Fund Balance,June 30(Budgetary Basis) $ 4,417 $ 4,417 (79,889) $ (84,306) Encumbrance 83,674 IBudgetary Fund Balance,June 30 (GAAP Basis) $ 3,785 I I I I I I I I I I 141 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE DEPARTMENT OF HOMELAND SECURITY YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ (1,451) $ (1,451) $ (1,451) $ - Resources (Inflows): Intergovernmental - - 171,862 171,862 Use of money and property - - 1,451 1,451 Amounts Available for Appropriation (1,451) (1,451) 171,862 173,313 Charges to Appropriation (Outflow): Public safety: - 1,400 1,389 11 Capital outlay - 172,320 172,310 10 Total Charges to Appropriations - 173,720 173,699 21 Budgetary Fund Balance,June 30 $ (1,451) $ (175,171) $ (1,837) $ 173,334 1 1 1 1 1 1 1 142 1 CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE COPS/DREIER EOC GRANT YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) - Budgetary Fund Balance, July 1 $ (38,912) $ (38,912) $ (38,912) $ Resources (Inflows): Intergovernmental - - 92,093 92,093 Amounts Available for Appropriation (38,912) (38,912) 53,181 92,093 Charges to Appropriation (Outflow): I Capital outlay - 53,190 53,181 _ 9 Total Charges to Appropriations 53,190 53,181 9 Budgetary Fund Balance,June 30 $ (38,912) $ (92,102) $ • $ 92,102 I I I I I I I I I 143 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE OTS TRAFFIC SAFETY YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ (54,997) $ (54,997) $ (54,997) $ - Resources (Inflows): Intergovernmental 210,840 210,840 237,357 26,517 Amounts Available for Appropriation 155,843 155,843 182,360 26,517 Charges to Appropriation (Outflow): Public safety 210,840 210,840 220,662 (9,822) Total Charges to Appropriations 210,840 210,840 220,662 (9,822) Budgetary Fund Balance, June 30 $ (54,997) $ (54,997) $ (38,302) $ 16,695 I I I I I I I I 144 I CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) INTEGRATED WASTE MANAGEMENT YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 1,989,263 $ 1,989,263 $ 1,989,263 $ - Resources (Inflows): Charges for Services 941,050 973,400 1,129,221 155,821 I Use of money and property - - 21,001 21,001 Amounts Available for Appropriation 2,930,313 2,962,663 3,139,485 176,822 Charges to Appropriation (Outflow): I Engineering and public works 865,950 814,390 738,774 75,616 Capital outlay 742,500 319,140 293,817 25,323 Total Charges to Appropriations 1,608,450 1,133,530 1,032,591 100,939 IBudgetary Fund Balance,June 30 (Budgetary Basis) $ 1,321,863 $ 1,829,133 2,106,894 $ 277,761 Encumbrances 67,290 IBudgetary Fund Balance,June 30(GAAP Basis) $ 2,174,184 1 1 I I I I I I I I 145 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE FEDERAL GRAND FUND -DREIER YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ - $ - $ - $ - Resources (Inflows): Use of money and property - - (178) (178) Amounts Available for Appropriation - - (178) (178) Charges to Appropriation (Outflow): Capital outlay - 50,000 - 50,000 Total Charges to Appropriations - 50,000 - 50,000 I Budgetary Fund Balance,June 30 $ - $ (50,000) $ (178) $ 49,822 I I 1 1 1 I 1 146 1 ICITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE IPROPOSITION 42-TRAFFIC CONGESTION MITIGATION YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 1,320,000 $ 1,320,000 $ 1,320,000 $ Resources(Inflows): ' Intergovernmental - 1,320,000 1,850,375 530,375 Use of money and property (21,383) (21,383) Amounts Available for Appropriation 1,320,000 2,640,000 3,148,992 508,992 Budgetary Fund Balance,June 30 $ 1,320,000 $ 2,640,000 $ 3,148,992 $ 508,992 I I 1 1 147 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE OTS COUNTDOWN PEDESTRIAN SIGNALS YEAR ENDED JUNE 30,2006 Variance with I Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ - $ - $ - $ - Resources(Inflows): Intergovernmental - 44,520 - (44,520L Amounts Available for Appropriation - 44,520 - (44,520) Charges to Appropriation (Outflow): Engineering and public works - 42,690 555 42,135 ' Total Charges to Appropriations - 42,690 555 42,135 Budgetary Fund Balance,June 30 $ - $ 1,830 $ (555) $ (2,385) 1 1 ., 1 1 I 1 I 1 148 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE ISENIOR WELLNESSITRANSPORTATION PROGRAM YEAR ENDED JUNE 30, 2006 1 Variance with Final Budget Budget Amounts Actual Positive 1 Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ $ $ $ Resources(Inflows): Intergovernmental - 133,350 - (133,350) 1 Amounts Available for Appropriation - 133,350 - (133,350) Charges to Appropriation (Outflow): ICommunity services: - 125,310 96,925 28,385 Capital outlay 8,470 8,383 87 Total Charges to Appropriations - 133,780 105,308 28,472 Budgetary Fund Balance,June 30 $ - $ (430) $ (105,308) $ (104,878) 1 1 1 1 1 1 1 1 1 i 1 149 1 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE JUSTICE ASSISTANCE PROGRAM YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ - $ - $ - $ - Resources(Inflows): Intergovernmental - 47,830 18,248 (29,582) ' Use of money and property - 225 225 Amounts Available for Appropriation - 47,830 18,473 (29,357) Charges to Appropriation (Outflow): ' Capital outlay - 18,690 18,689 1 Total Charges to Appropriations - 18,690 18,689 1 Budgetary Fund Balance,June 30 $ - $ 29,140 $ (216) $ (29,356) 1 1 I 1 1 t 1 1 1 150 1 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE (BUDGETARY BASIS) IBIANE COUNTY LIBRARY GRANT YEAR ENDED JUNE 30,2006 ' Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) IBudgetary Fund Balance,July 1 $ $ - $ - $ - Resources(Inflows): Intergovernmental - 500,000 - (500,000) Amounts Available for Appropriation - 500,000 - (500,000) Charges to Appropriation(Outflow): I Community services: - 110,000 100,000 10,000 Capital outlay - 400,000 400,000 Total Charges to Appropriations - 510,000 500,000 10,000 t Budgetary Fund Balance,June 30(Budgetary Basis) $ - $ (10,000) (500,000) $ (490,000) Encumbrances 196,983 Budgetary Fund Balance,June 30(GAAP Basis) $ (303,017) I 1 1 ' 151 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE HOMELAND SECURITY GRANT-2005 YEAR ENDED JUNE 30,2006 Variance with I Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ - $ - $ - $ - Resources(Inflows): Intergovernmental - 286,500 - (286,500) Amounts Available for Appropriation - 286,500 - (286,500) Charges to Appropriation (Outflow): Capital outlay - 143,290 - 143,290 Total Charges to Appropriations - 143,290 - 143,290 Budgetary Fund Balance,June 30 $ - $ 143,210 $ - $ (143,210) I I I I i I i i I i 152 I CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) FIRE DISTRICT YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 9,962,177 $ 9,962,177 $ 9,962,177 $ Resources(Inflows): Taxes 16,203,040 17,951,220 17,428,684 (522,536) I Licenses and permits 9,500 4,750 5,540 790 Intergovernmental 19,630 19,630 16,671 (2,959) Charges for services 901,910 419,500 336,748 (82,752) Use of money and property 190,680 271,870 335,665 63,795 I Fines and forfeitures 1,000 1,050 996 (54) Contribution 2,000 3,500 3,404 (96) Miscellaneous 121,300 260,420 343,302 82,882 Transfers from other funds 1,777,800 1,795,720 1,790,184 (5,536) I Amounts Available for Appropriation 29,189,037 30,689,837 30,223,371 (466,466) Charges to Appropriation (Outflow): I Public safety-fire protection 19,230,760 20,266,230 19,111,763 1,154,467 Capital outlay 755,000 1,932,680 1,272,119 660,561 Total Charges to Appropriations 19,985,760 22,198,910 20,383,882 1,815,028 Budgetary Fund Balance,June 30(Budgetary Basis) $ 9,203,277 $ 8,490,927 9,839,489 $ 1,348,562 IEncumbrances 625,164 Budgetary Fund Balance,June 30(GAAP Basis) $ 10,464,653 1 I I I I I I I 153 • CITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) ' REDEVELOPMENT AGENCY-CAPITAL PROJECT - YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) I/Budgetary Fund Balance,July 1 as restated $ 227,872,942 $ 227,872,942 $ 227,872,942 $ - Resources(Inflows): Taxes 10,877,680 12,320,160 14,352,038 2,031,878 Use of money and property 1,000,000 1,307,510 6,788,500 5,480,990 , Other 558,000 558,000 469,654 (88,346) Transfers from other funds 35,810 35,810 4,035,810 4,000,000 Amounts Available for Appropriation 240,344,432 242,094,422 253,518,944 11,424,522 ' Charges to Appropriation(Outflow): General government 6,711,470 11,609,250 8,154,499 3,454,751 Community development: 10,000 10,000 •4,228 5,772 ' Capital outlay 48,303,410 106,976,408 59,091,825 47,884,583 Debt service: Principal 785,000 825,000 1,060,443 (235,443) Interest and fiscal charges 1,696,930 3,130,140 7,764,520 (4,634,380) , Total Charges to Appropriations 57,506,810 122,550,798 76,075,515 46,475,283 Budgetary Fund Balance,June 30(Budgetary Basis) $ 182,837,622 $ 119,543,624 177,443,429 $ 57,899,805 Encumbrances 22,607,857 Budgetary Fund Balance,June 30(GAAP Basis) $ 200,051,286 ' • I I I I I I I 154 ' I ICITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE IASSESSMENT DISTRICT 82-1 YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) I Budgetary Fund Balance,July 1 $ 173,241 $ 173,241 $ 173,241 $ Resources(Inflows): Use of money and property - 3,750 6,905 3,155 Amounts Available for Appropriation 173,241 176,991 180,146 3,155 Charges to Appropriation (Outflow): Capital outlay 170,000 170,000 170,000 - Total Charges to Appropriations 170,000 170,000 170,000 Budgetary Fund Balance,June 30 $ 3,241 $ 6,991 $ 10,146 $ 3,155 1 1 1 ' 155 1 CITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON SCHEDULE CFD 84-1 , YEAR ENDED JUNE 30,2008 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ 865,677 $ 865,677 $ 865,677 $ - Resources(Inflows): Use of money and property 24,500 24,500 20,189 (4,311) Amounts Available for Appropriation 890,177 890,177 885,666 (4,311) , Budgetary Fund Balance,June 30 $ 890,177 $ 890,177 $ 885,866 $ (4,311) i 1 1 1 156 1 CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE ASSESSMENT DISTRICT 86.2 YEAR ENDED JUNE 30,2006 ' Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 11,986 $ 11,986 $ 11,986 $ - Resources(Inflows): IUse of money and property - - 126 126 Amounts Available for Appropriation 11,986 11,986 12,112 126 I Charges to Appropriation (Outflow): Capital outlay 53,240 53,240 Total Charges to Appropriations • 53,240 53,240 • IBudgetary Fund Balance,June 30 $ 11,986 $ (41,254) $ (41,128) $ 126 1 1 1 ' 157 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE CFD 2000.03 RANCHO SUMMIT YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1as restated $ (11,745) $ (11,745) $ (11,745) $ - Resources(Inflows): , Use of money and property - - 81,533 81,533 Proceeds from non-committal debt - 8,846,530 8,672,914 (173,616) Transfers from other funds - - 37,713 37,713 Amounts Available for Appropriation (11,745) 8,834,785 8,780,415 (54,370) ' Charges to Appropriation (Outflow): General government - 549,657 217,660 331,997 ' Total Charges to Appropriations - 549,657 217,660 331,997 Budgetary Fund Balance,June 30 $ (11,745) $ 8,285,128 $ 8,562,755 $ 277,627 1 1 1 1 1 1 1 158 CRY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) I CFD 2001-01 YEAR ENDED JUNE 30,2006 Variance with 111 Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) I Budgetary Fund Balance,July 1 as restated $ (7432,875) $ (7432,875) $ (7,432,875) $ - Resources(Inflows): Use of money and property . . 100,000 100,000 (1,640) (101,640) Developer participation - - 4,613,932 4,613,932 ' Miscellaneous 57,000 57,000 29,929 (27,071) Amounts Available for Appropriation (7,275,875) (7,275,875) (2,790,654) 4,485,221 Charges to Appropriation(Outflow): ' General government 10,000 86,470 69,839 16,631 Capital outlay 5,000 865,660 97,913 767,747 Total Charges to Appropriations 15,000 952,130 167,752 784,378 IBudgetary Fund Balance,June 30(Budgetary Basis) $ (7,290,875) $ (8,228,005) (2,958,406) $ 5,269,599 Encumbrances 165,996 ' Budgetary Fund Balance,June 30(GAAP Basis) $ (2,792,410) I I I I I 1 I I I I 159 CITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) ' CFD 2003-01 PROJECT FUND YEAR ENDED JUNE 30,2006 - Variance with ' Final Budget Budget Amounts Actual . Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 as restated $ 1,324,324 $ 1,324,324 $ 1,324,324 $ - ' Resources(Inflows): Use of money and property 183,820 183,820 129,976 (53,844) Developer participation - - 1,026,694 1,026,694 ' Amounts Available for Appropriation 1,508,144 1,508,144 2,480,994 972,850 Charges to Appropriation(Outflow): General government 3,000 119,050 34,248 84,802 , Capital outlay 5,000 3,356,870 3,055,521 301,349 Total Charges to Appropriations 8,000 3,475,920 3,089,769 386,151 Budgetary Fund Balance,June 30(Budgetary Basis) $ 1,500,144 $ (1,967,776) (608,775) $ 1,359,D01 ' Encumbrances 166,412 Budgetary Fund Balance,June 30(GAAP Basis) S (442,363) I I I I I I I I I I 160 I I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) I PUBLIC LIBRARY BOND ACT-2000 YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) ' Budgetary Fund Balance,July 1 as restated $ (2,292,681) $ (2,292,681) $ (2,292,681) $ - Resources(Inflows): Intergovernmental - 4,779,210 2,577,519 (2,201,691) IAmounts Available for Appropriation (2,292,681) 2,486,529 284,838 (2,201,691) Charges to Appropriation(Outflow): General government - 251,670 160,298 91,372 I Capital outlay 4,765,440 4,265,981 499,459 Total Charges to Appropriations 5,017,110 4,426,279 590,831 IBudgetary Fund Balance,June 30(Budgetary Basis) $ (2,292,681) $ (2,530,581) (4,141,441) $ (1,610,860) Encumbrances - 952,479 IBudgetary Fund Balance,June 30(GAAP Basis) $ (3,188,962) I I I . 1 I I I I I I 161 CITY OF RANCHO CUCAMONGA ' BUDGETARY COMPARISON SCHEDULE PROPOSITION 40 PARK BOND ACT YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ (5,412,321) $ (5,412,321) $ (5,412,321) $ - Resources (Inflows): Intergovernmental - - 5,437,746 5,437,746 Amounts Available for Appropriation (5,412,321) (5,412,321) 25,425 5,437,746 Charges to Appropriation (Outflow): Capital outlay - 25,430 25,430 - Total Charges to Appropriations - 25,430 25,430 Budgetary Fund Balance,June 30 $ (5,412,321) $ (5,437,751) $ (5) $ 5,437,746 1 i I 1 1 162 CITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE CDF 2004-01 RANCHO ETIWANDA YEAR ENDED JUNE 30,2006 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 57,211 $ 57,211 $ 57,211 $ - Resources (Inflows): I Use of money and property _ - 2,182 2,182 Developer fees 30,000 9,027 (20,973) Amounts Available for Appropriation. 57,211 87,211 68,420 (18,791) ' Charges to Appropriation(Outflow): General government - 83,570 68,459 15,111 Total Charges to Appropriations - 83,570 68,459 15,111 I Budgetary Fund Balance,June 30 $ 57,211 $ 3,641 $ (39) $ (3,680) 1 .1 1 ' 163 CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) CFD 2003-01 CULTURAL CENTER YEAR ENDED JUNE 30,2006 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance,July 1 $ 4,255,761 $ 4,255,761 $ 4,255,781 $ - Resources(Inflows): Use of money and property - 60,000 152,136 92,136 Amounts Available for Appropriation 4,255,781 4,315,781 4,407,917 92,136 Charges to Appropriation (Outflow): Capital outlay - 4,155,040 4,151,650 3,390. Total Charges to Appropriations - 4,155,040 4,151,650 3,390 Budgetary Fund Balance,June 30(Budgetary Basis) $ 4,255,781 $ 160,741 256,267 $ 95,526 Encumbrances 131,553 Budgetary Fund Balance,June 30(GAAP Basis) $ 387,820 I 1 I I 1 I 164 1 ICITY OF RANCHO CUCAMONGA I BUDGETARY COMPARISON SCHEDULE (BUDGETARY BASIS) CFD 2006-01 VINTNER'S GROVE YEAR ENDED JUNE 30,2006 IVariance with Final Budget Budget Amounts Actual Positive I Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ - $ - $ - $ - Resources(Inflows): I Use of money and property - - (1,155) (1,155) Developer participation 60,000 60,000 Amounts Available for Appropriation - 60,000 58,845 (1,155) ICharges to Appropriation (Outflow): General government - 60,000 60,000 - I Total Charges to Appropriations - 60,000 60,000 - Budgetary Fund Balance, June 30 (Budgetary Basis) $ $ - (1,155) $ (1,155) Encumbrances 47,532 IBudgetary Fund Balance,June 30(GAAP Basis) $ 46,377 I I I 1 I I I I I I 165 I CITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) I CFD 2006-02 AMADOR ON ROUTE 66 YEAR ENDED JUNE 30,2008 Variance with ' Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Budgetary Fund Balance, July 1 $ - $ - $ - $ - Resources (Inflows): Use of money and property - - (1,155) (1,155) Developer participation - 60,000 60,000 - Amounts Available for Appropriation - 60,000 58,845 (1,155) Charges to Appropriation (Outflow): , General government - 60,000 60,000 - Total Charges to Appropriations - 60,000 60,000 • Budgetary Fund Balance, June 30 (Budgetary Basis) $ $ - (1,155) $ (1,155) , Encumbrances 49,126 Budgetary Fund Balance,June 30(GAAP Basis) $ 47,971 I I I I I I I I I I 166 ICITY OF RANCHO CUCAMONGA BUDGETARY COMPARISON SCHEDULE(BUDGETARY BASIS) IREDEVELOPMENT AGENCY-DEBT SERVICE YEAR ENDED JUNE 30,2006 I Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) IBudgetary Fund Balance,July 1 $ 51,080,046 $ 51,080,046 $ 51,080,046 $ - Resources(Inflows): Taxes 43,510,730 49,280,630 57,408,153 8,127,523 I Use of money and property - - 427,462 427,462 Other 2,323 2,323 Amounts Available for Appropriation 94,590,776 100,360,676 108,917,984 8,557,308 I Charges to Appropriation(Outflow): General government 12,174,310 13,920,310 14,803,244 (882,934) Capital outlay 879,700 4,060,700 3,187,206 873,494 Debt service: I Principal 11,513,240 11,548,830 6,597,654 4,951,176 Interest and fiscal charges 13,157,910 13,157,910 13,157,901 9 Transfers to other funds 1,277,970 1,295,610 5,290,354 (3,994,744) Total Charges to Appropriations 39,003,130 43,983,360 43,036,359 947,001 Budgetary Fund Balance,June 30(Budgetary Basis) $ 55,587,646 $ 56,377,316 65,881,625 $ 9,504,309 Encumbrances 1,877,119 IBudgetary Fund Balance,June 30 (GAAP Basis) $ 67,758,744 I I I I I I I I 1 167 I I I I I I I THIS PAGE INTENTIONALLY LEFT BLANK I I I I I I I I I 168 I I I CITY OF RANCHO CUCAMONGA Internal Service Funds Internal service funds are used to account for the financing of goods or services provided by one department or agency to other departments or agencies of the government and to other government units, on a cost reimbursement basis. Vehicle Replacement Fund— Established to account for the accumulation of user charges to various City departments and the costs associated with replacing the City's vehicles. Data Processing Equipment/Technology Replacement— Established to account for the accumulation of resources and the costs associated with replacing the City's data processing equipment and maintaining current technology. • I I I I I I I I I i I I i I . i i i i I i i iTHIS PAGE INTENTIONALLY LEFT BLANK i I i i I i I i 169 i CITY OF RANCHO CUCAMONGA COMBINING STATEMENT OF NET ASSETS I INTERNAL SERVICE FUNDS JUNE 30,2006 Data Processing Equipment Vehicle Technology , Replacement Replacement Total Assets: Current: ' Pooled cash and investments $ 14,118,329 $ 5,604,067 $ 19,722,396 . Receivables: Interest 31,551 12,536 44,087 Total Current Assets 14,149,880 5,616,603 19,766,483 Capital assets -net of accumulated depreciation 1,455,764 143,585 1,599,349 ' Total Assets $ 15,605,644 $ 5,760,188 $ 21,365,832 Liabilities and Net Assets: , Liabilities: Current: I Accounts payable $ 173,759 $ . 16,123 $ 189,882 Total Current Liabilities 173,759 16,123 189,882 ' Total Liabilities 173,759 16,123 189,882 Net Assets: I Invested in capital assets, net of related debts 1,455,764 143,585 1,599,349 Unrestricted 13,976,121 5,600,480 19,576,601 Total Net Assets 15,431,885 5,744,065 21,175,950 I Total Liabilities and Net Assets $ 15,605,644 $ 5,760,188 $ 21,365,832 ' I I I I I 170 I I I CITY OF RANCHO CUCAMONGA ICOMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS INTERNAL SERVICE FUNDS IYEAR ENDED JUNE 30,2006 Data Processing Equipment/ I Vehicle Technology Replacement Replacement Total Operating Revenues: ICharges for services $ - $ 152,350 $ 152,350 Total Operating Revenues - 152,350 152,350 I Operating Expenses: Maintenance and operations 5,275 219,291 224,566 Depreciation 467,742 94,829 562,571 ITotal Operating Expenses 473,017 314,120 787,137 Operating Income (Loss) (473,017) (161,770) (634,787) INon-Operating Revenues(Expenses): Interest revenue 332,276 125,693 457,969 ITotal Non-Operating Revenues 332,276 125,693 457,969 Change in Net Assets (140,741) (36,077) (176,818) I Net Assets: Beginning of Fiscal Year 15,572,626 5,780,142 21,352,768 End of Fiscal Year $ 15,431,885 $ 5,744,065 $ 21,175,950 I I I I I I I I 171 I I CITY OF RANCHO CUCAMONGA COMBINING STATEMENT OF CASH FLOWS ' INTERNAL SERVICE FUNDS YEAR ENDED JUNE 30,2006 Data Processing Equipment/ Vehicle Technology ' Replacement Replacement Total Cash Flows from Operating Activities: Cash received from customers and users $ - $ 152,350 $ 152,350 t Cash payments to supplies for good and services 55,949 (247,529) (191,580) Net Cash Provided(Used)by Operating Activities 55,949 (95,179) (39,230) Cash Flows from Non-Capital Financing Activities ' Due to other funds - 241,410 241,410 Net Cash Provided(Used)by , Non-Capital Financing Activities - 241,410 241,410 Cash Flows from Capital and Related Financing Activities: , Purchases of capital assets (440,888) (123,372) (584,260) Net Cash Provided(Used)by Capital and Related , Financing Activities (440,888) (123,372) (564,260) Cash Flows from Investing Activities: Interest received 337,130 127,150 464,280 ' Net Cash Provided(Used)by Investing Activities 337,130 127,150 464,280 Net Increase (Decrease)in Cash and Cash Equivalents (47,809) 150,009 102,200 ' Cash and Cash Equivalents at Beginning of Year 14,166,138 5,454,058 19,620,196 Cash and Cash Equivalents at End of Year $ 14,118,328 $ 5,604,067 $ 19,722,396 I • Reconciliation of Operating Income(Loss)to Net Cash Provided(Used),by Operating Activities: ' Operating income (loss) $ (473,017) $ (181,770) $ (634,787) Adjustments to reconcile operating income(loss) to net cash provided(used)by operating activities: Depreciation 467,742 • 94,829 562,571 ' Increase (decrease)in accounts payable 61,224 (28,238) 32,986 Total Adjustments 528,966 66,591 595,557 ' Net Cash Provided(Used)by Operating Activities $ 55,949 $ (95,179) $ (39,230) Schedule of Noncash Transactions: t • There were no non-cash transactions during the fiscal year. I• I 172 1 ' CITY OF RANCHO CUCAMONGA Agency Funds Agency funds are used to account for assets held by the City as trustee or agent for individuals, private organizations, or other governmental units, and/or other funds. Special Deposits Fund - Established to account for all deposits held by the City in its fiduciary capacity. Assessment District 82-1 Fund - Established to account for assessments received under the Refunding Act of 1984 for 1915 Improvement Act Bonds. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation proper coupons. Community Facilities District 84-1 Fund - This fund is used for the CFD 84-1 bond redemption process. The Bond Redemption fund is a short-term rotation fund, generally used to consolidate the collections received from the property owners upon payment of their annual assessments at the time of payment of their tax bills, along with contributions from the Redevelopment Agency. Furthermore, the monies in this fund are used to meet the annual principal and semiannual interest payments on the bonds. Assessment District 84-2 Fund- Established to account for assessments received under the Improvement Bond Act of 1915. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. Assessment District 86-2 Fund - Established to account for assessments received under the Improvement I Bond Act of 1915. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. Assessment District 85-PD-R Fund - Established to account for assessments received under the Refunding Act of 1984 for 1915 Improvement Act Bonds and Landscape/Lighting Act of 1972. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. ' Community Facilities District 88-2 Fund - Established to account for assessments received under the Improvement Bond Act of 1915. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. Benefit Assessment District 91-2 Fund - Established to account for assessments received under the Improvement Bond Act of 1915. Assessments received are restricted for payment of principal, interest ' and penalties thereon, upon presentation of proper coupons. Community Facilities District 93-3 Fund - Established to account for assessments received under the Improvement Bond Act of 1915. Assessments received are restricted for payment of principal, interest ' and penalties thereon, upon presentation of proper coupons. Assessment District 99-1 Fund- Established to account for assessments received under the Improvement ' Bond Act of 1915. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. Community Facilities District 2000-01 South Etiwanda — Established to account for assessments received ' under the Mello-Roos Community Facilities Act of 1982. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. Community Facilities District 2000-02 Rancho Cucamonga Corporate Park — Established to account for assessments received under the Mello-Roos Community Facilities Act of 1982. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. I ' CITY OF RANCHO CUCAMONGA Agency Funds (Continued) Assessment District No. 93-1 Masi Plaza - Established to account for assessments received under the Improvement Bond Act of 1915. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. Community Facilities District No. 2001-01 Special Tax Bonds, Series 2001-A - Established to account for ' assessments received under the Mello-Roos Community Facilities Act of 1982. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. ' Community Facilities District No. 2001-01 Special Tax Bonds, Series 2001-B - Established to account for assessments received under the Mello-Roos Community Facilities Act of 1982. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper coupons. Community Facilities District 2003-01 Series A - This fund is used for the Community Facilities District ' 2003-01 bond redemption process. The Bond Redemption fund is a short-term rotating fund, generally used to consolidate the collections received from the payments of the property owners upon payment of their annual assessments at the time of payment of their tax bills. Furthermore, the monies in this fund are used to meet the annual principal and semiannual interest payment on the bonds. Community Facilities District 2003-01 Series B - This fund is used for the Community Facilities District 2003-01 bond redemption process. The Bond Redemption fund is a short-term rotating fund, generally used to consolidate the collections received from the payments of the property owners upon payment of their annual assessments at the time of payment of their tax bills. Furthermore, the monies in this fund are used to meet the annual principal and semiannual interest payment on the bonds. ' Community Facilities District 2000-03 Rancho Summit Redemption - Established to account for assessments received under the Mello-Roos Community Facilities Act of 1982. Assessments received are restricted for payment of principal, interest and penalties thereon, upon presentation of proper ' coupons. Community Facilities District 2000-03 Rancho Summit Reserve — Established to account for the reserve fund held by the trustee. • t 1 1 1 1 1 1 1 1 THIS PAGE INTENTIONALLY LEFT BLANK 1 1 1 1 1 1 1 1 1 173 1 I CITY OF RANCHO CUCAMONGA COMBINING BALANCE SHEET I ALL AGENCY FUNDS JUNE 30,2006 ' Assessment Assessment ' Special District CFD District ,.Deposits 82-1 84-1 84-2 Assets: Pooled cash and investments $17,849,451 $ 2,574 $ - $ 58 , Receivables: Accounts 6,960 - - - Taxes - - 41,375 45 ' Interest - 4 - - Deposits - - - Restricted assets: Cash and investments with fiscal agents - - 121 - I Total Assets $17,856,411 $ 2,578 $ 41,496 $ 103 I Liabilities: , Accounts payable $ 196,855 $ - ,$ 92 $ - Accrued liabilities - _ - _ Deposits payable 17,659,556 - - - Due to other funds - - 41,404 Payable to trustee - 2,578 - 103 Total Liabilities $17,856,411 $ 2,578 $ 41,496 $ 103 ' I I I I I I I 174 I I ICITY OF RANCHO CUCAMONGA (Continued) COMBINING BALANCE SHEET ALL AGENCY FUNDS JUNE 30,2006 Benefit I Assessment Assessment Assessment District District CFD District 86-2 85-PD 88-2 91-2 Assets: I Pooled cash and investments Receivables: $ 8,088 $ 2,360,993 $ 3,974,571 $ 192,744 Accounts I Taxes - 19,386 6,681 370 Interest 5,287 8,879 411 Deposits - - Restricted assets: ICash and investments with fiscal agents 14 .. Total Assets $ 8,088 $ 2,385,666 $ 3,990,145 $ 193,525 I ILiabilities: Accounts payable $ - $ 36,662 $ - $ Accrued liabilities - 5,665 - 277 -I Deposits payable - - - Due to other funds Payable to trustee 8,088 2,343,339 3,990,145 193,248 - ITotal Liabilities $ 8,088 $ 2,385,686 $ 3,990,145 $ 193,525 I I I I I I 175 I CITY OF RANCHO CUCAMONGA ' COMBINING BALANCE SHEET ALL AGENCY FUNDS ' JUNE 30,2006 CFD 2000-02 Assessment CFD 2000-01 Rancho ' CFD District South Cucamoga 93-3 99-1 Etlwanda Corporate Park Assets: ' Pooled cash and investments $ 466,019 $1,408,328 $247,482 $ 419,614 Receivables: Accounts - _ - - Taxes 2,435 2,352 2,643 ' Interest 1,043 2,659 - 929 Deposits _ _ - - Restricted assets: , Cash and investments with fiscal agents 25 1,964,302 113,214 678,332 Total Assets $ 467,087 $3,377,724 $363,048 $ 1,101,518 I Liabilities: ' Accounts payable $ - $ - $ - $ Accrued liabilities _ _ - Deposits payable - - _ _ ' Due to other funds - Payable to trustee 467,087 3,377,724 363,048 1,101,518 Total Liabilities $ 467,087 $3,377,724 $363,048 $ 1,101,518 I I I I I I I 176 CITY OF RANCHO CUCAMONGA (Continued) COMBINING BALANCE SHEET ALL AGENCY FUNDS ' JUNE 30,2006 AD 93-1 ' Masi Commerce CFD 2001-01 CFD 2001-01 CFD 2003-01 Center Series A Series B Series A Assets: ' Pooled cash and investments Receivables: $ 277,998 $ 1309,595 $ 38,578 $ 697,714 Accounts - ' - Taxes - 39,906 - Interest 621 4 103 Deposits - _ Restricted assets: ' Cash and investments with fiscal agents 246,879 1,202,251 100,988 1,488,084 Total Assets $ 525,498 $2,051,756 $139,669 $ 2,185,798 i ' Liabilities: Accounts payable $ $ $ $ Accrued liabilities - Deposits payable Due to other funds Payable to trustee 525,498 2,051,756 139,669 2,185,798 Total Liabilities $ 525,498 $2,051,756 $139,669 $ 2,185,798 1 1 177 1 I CITY OF RANCHO CUCAMONGA COMBINING BALANCE SHEET ALL AGENCY FUNDS JUNE 30,2006 I CFD 2000-03 CFD 2000-03 ' CFD 2003-01 Rancho SummitRancho Summit Series B RDMP RSRV Total Assets: Pooled cash and investments $ 136,637 $ - $ - $28,890,444 t Receivables: Accounts - - - 6,960 Taxes - - - 115,193 ' Interest - 19,940 Deposits - - - - Restricted assets: Cash and investments with fiscal agents 290,098 603,284 342,338 7,029,930 I Total Assets $ 426,735 $ 603,284 $ 342,338 $36,062,467 I Liabilities: , Accounts payable $ - $ - $ - $ 233,609 . Accrued liabilities - - - 5,942 Deposits payable - - - 17,659,556 ' Due to other funds 41,404 Payable to trustee 426,735 603,284 342,338 18,121,956 Total Liabilities $ 426,735 $ 603,284 • $ 342,338 $36,062,467 I I I I I I I 178 I 1 . 1 1 ' THIS PAGE INTENTIONALLY LEFT BLANK 1 1 ' 179 1 I CITY OF RANCHO CUCAMONGA COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES I ALL AGENCY FUNDS YEAR ENDED JUNE 30,2006 ' Balance Balance July 1,2005 Additions Deletions June 30,2086 ' Special Deposits Assets: Pooled cash and investments $ 15,940,982 $ 6,088,131 $ 4,179,662 $17,849,451 Accounts receivable 8,100 6,960 8,100 6,960 . ' Total Assets $ 15,949,082 $ 6,095,091 $ 4,187,762 $17,856,411 Liabilities: , Accounts payable $ 73,848 $ 196,855 $ 73,848 $ 196,855 Deposits 15,875,234 5,898,236 4,113,914 17,659,556 Total Liabilities $15,949,082 $ 6,095,091 $ 4,187,762 $17,856,411 ' Assessment District 82-1 Assets: ' Pooled cash and investments $ 2,512 $ 119 $ 57 $ 2,574 Interest receivable 6 4 6 4 Total Assets $ 2,518 $ 123 $ 63 $ 2,578 , Liabilities: Payable to trustee $ 2,518 $ 123 $ 63 $ 2,578 ' Total Liabilities $ 2,518 $ 123 $ 63 $ 2,578 CFD 84-1 Assets: t Pooled cash and investments $ 1,569,249 $ 251,243 $ 1,820,492 $ - Taxes receivable 7,996 41,375 7,996 41,375 Interest receivable 4,034 - 4,034 ' Cash and investments with fiscal agent 121 - _ 121 Total Assets $ 1,581,400 $ 292,618 $ 1,832,522 $ 41,496 Liabilities: ' Accounts payable $ - $ 92 $ - $ 92 Due to other funds - 41,404 - 41,404 Payable to trustee 1,581,400 251,122 1,832,522 - , Total Liabilities $ 1,581,400 $ 292,618 $ 1;832,522 $ 41,496 Assessment District 842 I Assets: Pooled cash and investments $ 56 $ 2 $ - $ 58 Taxes receivable - 45 - 45 Total Assets $ 56 $ 47 $ - $ 103 , Liabilities: Payable to trustee $ 56 $ 47 $ - $ 103 ' Total Liabilities ,$ 56 $ 47 $ - $ 103 180 I I I CITY OF RANCHO CUCAMONGA ' COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES ALL AGENCY FUNDS I . YEAR ENDED JUNE 30,2006 Balance Balance I July 1,2005 Additions Deletions June 30,2006 Assessment District 86-2 Assets: Pooled cash and investments $ 8,154 $ 106 $ 172 $ 8,088 ITotal Assets $ 8,154 $ 106 $ 172 $ 8,088 Liabilities: I Payable to trustee $ 8,154 $ 106 $ 172 $ 8,088 Total Liabilities $ 8,154 $ 106 $ 172 $ 8,088 Assessment District 85-PD ' Assets: Pooled cash and investments $ 3,002,900 $ 1,787,079 $ 2,428,986 $ 2,360,993 I Taxes receivable 18,900 19,386 18,900 19,386 Interest receivable 7,831 5,287 7,831 5,287 Total Assets $ 3,029,631 $ 1,811,752 $ 2,455,717 $ 2,385,666 I Liabilities:_ Accounts payable $ 56,695 $ 502,639 $ 522,672 $ 36,662 Accrued liability 7,237 5,665 7,237 5,665 Payable to trustee 2,965,699 1,303,448 1,925,808 2,343,339 I Total Liabilities $ 3,029,631 $ 1,811,752 $ 2,455,717 $ 2,385,666 CFD 88-2 I Assets: Pooled cash and Investments $ 3,886,093 $ 466,984 $ 378,506 $ 3,974,571 Taxes receivable 6,271 6,681 6,271 6,681 I Interest receivable 9,960 8,879 9,960 8,879 Cash and investments with fiscal agent 6 20 12 14 Total Assets $ 3,902,330 $ 482,564 $ 394,749 $ 3,990,145 ILiabilities: Payable to trustee $ 3,902,330 $ 482,564 $ 394,749 $ 3,990,145 Total Liabilities $ 3,902,330 $ 482,564 $ 394,749 $ 3,990,145 ' Benefit Assessment District 91-2 Assets: I Pooled cash and investments $ 196,968 $ 53,363 $ 57,587 $ 192,744 Taxes receivable 601 370 601 370 Interest receivable 502 411 502 411 Total Assets $ 198,071 $ 54,144 $ 58,690 $ 193,525 ILiabilities: Accrued liability $ 1,158 $ 277 $ 1,158 $ 277 I Payable to trustee 196,913 53,867 57,532 193,248 Total Liabilities $ 198,071 $ 54,144 $ 58,690 $ 193,525 I 181 I CITY OF RANCHO CUCAMONGA COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES I ALL AGENCY FUNDS YEAR ENDED JUNE 30,2006 , Balance Balance July 1,2005 Additions Deletions June 30,2006 ' CFD 933 Assets: Pooled cash and investments $ 475,829 $ 441,235 $ 451,045 $ 466,019 Interest receivable 1,232 1,043 1,232 1,043 , Cash and investments with fiscal agent 12 34 21 25 Total Assets $ 477,073 $ 442,312 $ 452,298 $ 467,087 Liabilities: ' Payable to trustee $ 477,073 $ 442,312 $ 452,298 $ 467,087 Total Liabilities $ 477,073 $ 442,312 $ 452,298 $ 467,087 Assessment District 99-1 I Assets: Pooled cash and investments $ 920,280 $ 1,073,026 $ 584,978 $ 1,408,328 t Taxes receivable 2,287 2,435 2,287 2,435 Interest receivable 2,376 2,659 2,376 2,659 Cash and investments with fiscal agent 1,797,086 3,009,140 2,841,924 1,964,302 Total Assets $ 2,722,029 $ 4,087,260 $ 3,431,585 $ 3,377,724' ' Liabilities: Payable to trustee $ 2,722,029 $ 4,087,260 $ 3,431,565 $ 3,377,724 , Total Liabilities $ 2,722,029 $ 4,087,260 $ 3,431,565 $ 3,377,724 CFD 2000-01 South Etiwanda Assets: , Pooled cash and investments $ 245,705 $ 131,898 $ 130,121 $ 247,482 Taxes receivable 1,778 2,352 1,778 2,352 Cash and investments with fiscal agent 112,333 6,613 5,732 113,214 , Total Assets $ 359,816 $ 140,863 $ 137,631 $ 363,048 Liabilities: Payable to trustee $ 359,816 $ 140,863 $ 137,631 $ 363,048 ' Total Liabilities $ 359,816 $ 140,863 $ 137,631 $ 363,048 CFD 2000-02 Rancho Cucamonga Corporate Park ' Assets: Pooled cash and investments .$ 427,309 $ 608,960 $ 616,655 $ 419,614 Taxes receivable 2,643 - 2,643 ' Interest receivable 1,095 929 1,095 929 Cash and investments with fiscal agent 656,644 21,688 - 678,332 Total Assets $ 1,085,048 $ 634,220 $ 617,750 $ 1,101,518 Liabilities: ' Payable to trustee $ 1,085,048 $ 634,220 $ 617,750 $ 1,101,518 Total Liabilities $ 1,085,048 c $ 634,220 $ 617,750 .$ 1,101,518 ' 182 ' I CITY OF RANCHO CUCAMONGA ICOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES ALL AGENCY FUNDS YEAR ENDED JUNE 30,2006 I Balance Balance I July 1,2005 Additions Deletions June 30,2006 AD 93-1 Meal Commerce Center Assets: Pooled cash and investments $ 267,930 $ 259,103 $ 249,035 $ 277,998 I Interest receivable 694 244 621 694 621 Cash and investments with fiscal agent 244,150 7,968 5,259 246,879 Total Assets $ 512,774 $ 267,712 $ 254,988 $ 525,498 ILiabilities: Payable to trustee $ 512,774 $ 267,712 $ 2541988 $ 525,498 Total Liabilities $ 512,774 $ 267,712 $ 254,988 $ 525,498 ICFD 2001-01 Series A Assets: I Pooled cash and investments Taxes receivable $ 282,041 $ 1,703,188 $ 1,175,634 . $ 809,595 40,923 39,906 40,923 39,906 Interest receivable 7 4 7 4 Cash and investments with fiscal agent 1,140,016 102,675 40,440 1,202,251 Total Assets $ 1,462,987 $ 1,845,773 $ 1,257,004 $ 2,051,756 I Liabilities: Payable to trustee $ 1,462,987 $ 1,845,773 $ 1,257,004 $ 2,051,756 Total Liabilities $ 1,462,987 $ 1,845,773 $ 1,257,004 $ 2,051,756 I CFD 2001-01 Series B Assets: Pooled cash and investments $ 509,647 $ 84,044 $ 555,113 $ 38,578 I interest receivable 1,306 103 14,135 1,306 103 Cash and investments with fiscal agent 89,818 ,135 2,965 100,988 Total Assets $ 600,771 $ 98,282 $ 559,384 $ 139,669 Liabilities: Payable to trustee $ 600,771 $ 98,282 $ 559,384 $ 139,669 Total Liabilities $ 600,771 $ 98,282 $ 559,384 $ 139,669 ICFD 2003-01 Series A Assets: I Pooled cash and investments $ 573,634 $ 1,079,590 $ 955,510 $ 697,714 Cash and investments with fiscal agent 1,474,479 86,905 73,300 1,488,084 Total Assets $ 2,048,113 $ 1,166,495 . $ 1,028,810 $ 2,185,798 I Liabilities: Payable to trustee $ 2,048,113 $ 1,166,495 $ 1,028,810 $ 2,185,798 Total Liabilities $ 2,048,113 $ 1,166,495 $ 1,028,810 $ 2,185,798 I I 183 I I CITY OF RANCHO CUCAMONGA COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES ' ALL AGENCY FUNDS YEAR ENDED JUNE 30,2006 ' Balance Balance July 1,2005 Additions Deletions June 30,2006 ' CFD 2003-01 Series B Assets: Pooled cash and investments $ 117,880 $ 203,933 $ 185,176 $ 136,637 Cash and investments with fiscal agent 287,483 16,943 14,328 290,098 ' Total Assets $ 405,363 $ 220,876 $ 199,504 $ 426,735 Liabilities: ' Payable to trustee $ 405,363 $ 220,876 $ 199,504 $ 426,735 Total Liabilities $ 405,363 $ 220,876 $ 199,504 $ 426,735 CFD 2000-03 Rancho Summit RDMP ' Assets: Cash and investments with fiscal agent $ - $ 778,787 $ 175,503 $ 603284 Total Assets $ - $ 778,787 $ 175,503 $ 603,284 ' Liabilities: Payable to trustee $ .: - $. 778,787 $ 175,503 $ 603,284 I Total Liabilities $ - $ 778,787 $ 175,503 $ 603,284 CFD 2000-03 Rancho Summit RVRV 1 Assets: Cash and investments with fiscal agent $ - $ 345,540 $ 3,202 $ 342,338 Total Assets $ - $ 345,540 $ 3,202 $ 342,338 ' Liabilities: Payable to trustee $ - $ 345,540 $ 3,202 $ 342,338 ' Total Liabilities $ - $ 345,540 $ 3,202 $ 342,338 Totals-All Anensy Funds Assets: ' Pooled cash and investments $ 28,427,169 $ 14,232,004 $ 13,768,729 $ 28,890,444 Accounts receivable 8,100 6,960 8,100 6,960 Taxes receivable 78,756 115,193 78,756 115,193 ' Interest receivable 29,043 19,940 29,043 19,940 Cash and investments with fiscal agent 5,802,148 4,390,468 3,162,686 7,029,930 Total Assets $ 34,345,216 $ 18,764,565 $ 17,047,314 $ 36,062,467 , Liabilities: Accounts payable $ 130,543 $ 699,586 $ 596,520 $ 233,609 Accrued liability 8,395 5,942 8,395 5,942 II payable 15,875234 5,898,236 4,113,914 17,659,556 Due to other funds - 41,404 - 41,404 Payable to trustee 18,331,04.4 12,119,397 12,328,485 18,121,956 Total Liabilities $ 34,345,216 $ 18,764,565 $ 17,047,314 $ 36,062,467 184 1 1 1 1 1 1 City of Rancho Cucamonga ' Comprehensive Annual Financial Report 1 June 30, 2006 Statistical Section Certain schedules recommended for inclusion in Comprehensive 1 Annual Financial Reports of Municipalities by the Government Finance Officers Association have been omitted from this report. The omission of such schedules was made only after careful consideration of the merits of each recommended schedule by City management. 1 1 1 1 ICITY OF RANCHO CUCAMONGA Net Assets by Component tLast Four Fiscal Years (accrual basis of accounting) IFiscal Year 2006 2005 2004 2003 I Governmental activities: Invested in capital assets, net of related debt $ 252,179,225 173,946,989 98,959,875 167,641,149 I Restricted 375,758,005 376,096,419 397,653,555 278,327,660 Unrestricted 99,633,038 82,020,646 103,891,437 119,939,613 Total governmental activities net assets $ 727,570,268 632,064,054 600,504,867 565,908,422 Business-type activities: Invested in capital assets, I net of related debt $ 27,333,959 28,184,177 27,066,800 18,193,179 Restricted 256,615 - - - Unrestricted 2,967,744 2,915,713 2,279,621 (92,298) ITotal business-type activities net assets $ 30,558,318 31,099,890 29,346,421 18,100,881 I Primary government: Invested in capital assets, net of related debt $ 279,513,184 202,131,166 126,026,675 185,834,328 I Restricted 376,014,620 376,096,419 397,653,555 278,327,660 Unrestricted 102,600,782 84,936,359 106,171,058 119,847,315 Total primary government net assets $ 758,128,586 663,163,944 629,851,288 584,009,303 I ' The City of Rancho Cucamonga implemented GASB 34 for the fiscal year ended June 30, 2003. Information prior to the implementation of GASB 34 is not available. I I I I I I 185 CITY OF RANCHO CUCAMONGA ' Statement of Activities (Condensed) Last Four Fiscal Years ' (accrual basis of accounting) Fiscal Year ' 2006 2005 2004 2003 Expenses: Governmental activities: 111 General government $ 39,749,329 34,618,681 33,250,080 24,393,550 Public safety 23,166,100 19,057,230 17,140,884 23,425,320 Public safety-fire protection 20,172,151 17,001,682 16,610,279 13,602,869 ' Engineering and public works 16,517,301 34,841,336 25,698,369 23,440,376 Community development 16,087,789 15,027,950 16,285,163 12,667,703 ' Community services 9,279,222 7,806,258 7,469,609 7,235,575 Interest on long-term debt 20,828,531 20,375,890 17,405,099 12,510,457 Total governmental activities expenses 145,800,423 148,729,027 133,859,483 117,275,850 ' Business-type activities: Sports complex 1,885,693 1,946,407 1,908,620 2,100,144 Municipal utility 5,787,358 2,481,249 702,987 - t Total business-type activities expenses 7,673,051 4,427,656 2,611,607 2,100,144 Total primary government expenses 153,473,474 153,156,683 136,471,090 119,375,994 Program revenues: ' Governmental activities: Charges for services: ' General government 612,988 867,945 165,206 238,339 Public safety 950,340 1,136,856 1,104,284 879,101 ' Public safety-fire protection 157,346 377,478 377,630 375,123 Engineering and public works 5,470,174 8,011,741 10,476,124 8,162,289 Community development 7,954,213 2,119,111 5,245,302 2,156,368 ' Community services 3,557,333 2,509,256 2,447,436 2,315,889 Operating grants and contributions 9,337,299 9,208,789 16,615,891 7,608,374 Capital grants and contributions 34,408,882 8,314,267 22,115,926 6,590,448 ' Total governmental activities program revenues 62,448,575 32,545,443 58,547,799 28,325,931 Business-type activities: ' Charges for services: Sports Complex 554,609 497,435 529,725 546,870 Municipal Utility 5,795,469 3,680,722 312,808 - ' Total business-type activities program revenues 6,350,078 4,178,157 842,533 546,870 ' Total primary government program revenues 68,798,653 36,723,600 59,390,332 28,872,801 1 I 186 I ' CITY OF RANCHO CUCAMONGA Statement of Activities(Condensed) ' Last Four Fiscal Years (accrual basis of accounting) Fiscal Year I 2006 2005 2004 2003 Net revenues(expenses): IGovernmental activities (83,351,848) (116,183,584) (75,311,684) (88,949,919) Business-type activities (1,322,973) (249,499) (1,769,074) (1,553,274) Total net revenues(expenses) (84,674,821) (116,433,083) (77,080,758) (90,503,193) ' General revenues and other changes in net assets: Governmental activities: I Taxes: Property taxes 118,431,406 87,090,523 78,057,324 60,930,922 Transient occupancy taxes 628,991 191,207 254,538 143,739 ISales taxes 27,378,940 21,631,153 16,398,011 15,085,717 Franchise taxes 7,369,620 6,289,730 5,535,183 5,523,224 I Business licenses and building permits 3,890,016 4,835,514 5,055,660 4,362,897 Motor vehicle in lieu, unrestricted 1,123,537 13,797,086 6,515,014 8,483,842 Use of money and property 16,707,137 18,572,290 8,805,041 11,262,468 I Other general revenues 4,809,611 3,807,373 5,186,203 4,566,670 (Loss)/gain on disposition of capital assets (632,922) 26,440 (312,458) 65,834 Loss on sale of land held for resale - - (9,025,897) - I Transfers (557,890) (1,606,050) (10,883,294) (625,171) Total governmental activities 179,148,446 154,635,266 105,585,325 109,800,142 Business-type activities: IAdmission taxes 9,550 19,742 26,883 23,954 Use of money and property 200,335 223,885 178,753 167,361 I Other general revenues 13,626 11,487 13,915 12,728 Loss on disposition of capital assets (7,507) Transfers 557,890 1,606,050 10,883,294 625,171 I Total business-type activities 781,401 1,861,164 11,102,845 821,707 Total primary govemment 179,929,847 156,496,430 116,688,170 110,621,849 I Changes in net assets: Governmental activities 95,796,598 38,451,682 30,273,641 20,850,223 Business-type activities (541,572) 1,611,665 9,333,771 (731,567) ' Total primary government $ 95,255,026 40,063,347 39,607,412 20,118,656 IThe City of Rancho Cucamonga implemented GASB 34 for the fiscal year ended June 30, 2003. Information prior to the implementation of GASB 34 is not available. I I I 187 CITY OF RANCHO CUCAMONGA Fund Balances of Governmental Funds Last Four Fiscal Years (modified accrual basis of accounting) Fiscal Year 2006 2005 2004 2003 General fund: Reserved $ 13,927,950 15,126,963 11,629,652 31,398,193 Unreserved 73,029,344 61,834,024 58,063,058 44,223,843 ' Total general fund $ 86,957,294 76,960,987 69,692,710 75,622,036 All other governmental funds: ' Reserved $117,714,655 124,668,088 101,773,597 103,954,678 Unreserved, reported in: Special revenue funds 53,959,047 39,666,462 43,806,876 32,387,969 ' Capital projects funds 129,186,661 144,300,892 209,888,139 110,649,189 Debt service funds 64,593,304 49,412,434 36,818,337 37,225,678 Total all other governmental funds $365,453,667 358,047,876 392,286,949 284,217,514 The City of Rancho Cucamonga has elected to show only four years of data for this schedule. ' 1 1 1 1 188 ' ICITY OF RANCHO CUCAMONGA Changes in Fund Balances of Governmental Funds Last Four Fiscal Years I (modified accrual basis of accounting) Fiscal Year I2006 2005 2004 2003 Revenues: Taxes $ 152,502,083 113,942,930 100,482,113 81,911,544 I Licenses and permits 3,890,016 4,835,514 5,055,660 4,362,897 Intergovernmental 20,530,213 23,881,601 26,348,063 15,861,988 Charges for services 10,645,020 7,814,531 8,581,890 7,835,206 I Use of money and property 11,787,418 13,961,117 5,060,744 10,852,488 Fines and forfeitures 871,277 1,089,343 1,066,590 867,990 Developer participation 23,834,796 10,497,490 17,456,333 9,508,900 I Proceeds from non-committal debt 8,672,914 - - - Contributions 484,612 157,276 14,410,325 248,463 Miscellaneous 4,989,448 6,332,794 4,063,410 4,397,953 ITotal revenues 238,207,797 182,512,596 182,525,128 135,847,429 Expenditures Current: IGeneral government 37,304,593 33,252,219 30,100,380 23,521,443 Public safety 22,692,237 18,718,776 15,373,353 15,498,080 Public safety-fire protection 18,964,948 16,548,920 14,966,408 13,304,254 IEngineering and public works 14,719,435 13,560,413 12,412,987 19,723,420 Community development 15,254,966 14,503,251 12,907,073 12,206,045 Community services 8,900,046 7,059,052 5,941,578 6,682,511 I Capital outlay 77,426,305 79,560,931 63,406,390 25,703,569 Debt service: Principal retirement 7,658,097 4,646,588 57,628,362 6,466,388 I Interest and fiscal charges 20,922,421 20,069,910 16,354,837 15,543,605 Debt issuance cost 4,087,476 Total expenditures 223,843,048 207,920,060 233,178,844 138,649,315 IExcess(deficiency)of revenues over(under) expenditures 14,364,749 (25,407,464) (50,653,716) (2,801,886) IOther financing sources(uses): Transfers in 6,479,847 11,658,124 10,926,010 29,412,254 Transfers out (7,037,737) (13,264,174) (21,809,304) (30,037,425) ILong-term debts issued 165,680,000 Premium on long-tens debts issued - - 4,776,363 - I Gain on sale of fixed assets - - 163,578 - Loss on sale of land held for resale (9,025,897) Total other financing sources(uses) (557,890) (1,606,050) 150,710,750 (625,171) INet change in fund balances $ 13,806,859 (27,013,514) 100,057,034 (3,427,057) ' Debt service as a percentage of ' noncapital expenditures 6.10% 4.29% 40.23% 6.64% I I 189 CITY OF RANCHO CUCAMONGA I Assessed Value and Estimated Actual Value of Taxable Property' (in thousands of dollars) , City ' Fiscal Year Taxable Total Ended Less: Assessed Direct Tax June 30 Secured Unsecured Exemptions2 Value Rate ' 1997 $ 6,317,935 544,574 - 6,862,509 0.41751% 1998 6,459,561 590,607 - 7,050,168 0.41930% , 1999 6,677,077 637,687 - 7,314,764 0.41817% 2000 6,951,429 683,934 - 7,635,363 0.41094% 2001 7,387,507 730,449 - 8,117,956 0.41906% I 2002 8,152,244 717,858 - 8,870,102 0.42442% 2003 9,111,167 753,737 - 9,864,904 0.43161% I 2004 10,307,843 793,418 - 11,101,261 0.43815% 2005 11,771,189 765,065 - 12,536,254 0.43603% , 2006 13,934,150 900,275 112,415 14,722,010 0.45051% I NOTES: I 1. In 1978 the voters of the State of California passed Proposition 13 which limited taxes to a total maximum rate of 1%, based upon the assessed value of the property being taxed. Each year, , assessed value of property may be increased by an "inflation factor"(limited to a maximum increase of 2%). With few exceptions, property is only reassessed at the time that it is sold to a new owner. At that point, the new assessed value is reassessed at the purchase price of the property sold. The ' assessed valuation data shown above represents the only data currently available with respect to the actual market value of taxable property and is subject to the limitations described above. 2. Prior to the fiscal year ended June 30, 2006, the assessed value figures are net of exemptions. I Data Source: San Bernardino County Assessor 1996/97-2005/06; HdL, Coren&Cone I 1 I I 190 I ' CITY OF RANCHO CUCAMONGA Direct and Overlapping Property Tax Rates.' (Rate per$100 of taxable value) ILast Four Fiscal Years Fiscal Year I 2006 2005 2004 2003 Four Year Detail of Rates producing Revenue for City and Associated Redevelopment Agencies City General Fund Direct Rates' I City Share of 1% levy per Prop 13 0.05190 0.05190 0.05190 0.05190 Debt Rate(s) 0.00000 0.00000 0.00000 0.00000 Total City Rates 0.05190 0.05190 0.05190 0.05190 RDA Incremental Rate2 I Prop 13 1% + applicable voter approved debt 1.00520 1.00580 1.00610 1.00670 ITotal Direct Rate3 0.45051 0.43603 0.43815 0.43161 Four Year Detail of all Taxpayer Rates for Largest General Fund Tax Rate Area Agency I City of Rancho Cucamonga 0.05190 0.05190 0.05190 0.05190 Alta Loma Elementary 0.15092 0.15092 0.15092 0.15092 Chaffey Community College 0.04384 0.04384 0.04384 0.04384 I Chaffey High School 0.15864 0.15864 0.15864 0.15864 Chino Basin Municipal Water Dist. 0.04557 0.04557 0.04557 0.04557 County General Fund 0.15267 0.15267 0.15267 0.15267 I County Superintendent 0.00950 0.00950 0.00950 0.00950 ERAF 0.23106 0.23106 0.23106 0.23106 Flood Control Zone 1 0.02668 0.02668 0.02668 0.02668 Flood Control Zone 7 0.01190 0.01190 0.01190 0.01190 I Inland Empire West Resource Conservation District 0.00058 0.00058 0.00058 0.00058 Rancho Cucamonga Fire District 0.12674 0.12674 0.12674 0.12674 ITotal Prop. 13 Rate 1.00000 1.00000 1.00000 1.00000 Alta Loma Elementary 0.04180 0.04600 0.03460 0.05170 I Chaffey Community College 0.02930 0.01080 0.01390 0.01080 Chaffey Union High School 0.02260 0.02640 0.02940 0.04510 Metropolitan Water Agency-Mid-Valley 0.00520 0.00580 0.00610 0.00670 Total Voter Approved Rate 0.09890 0.08900 0.08400 0.11430 ITotal Tax Rate 1.09890 1.08900 1.08400 1.11430 INotes: 1. General fund tax rates are representative and based upon the direct and overlapping rates for the largest general fund tax rate area (TRA)by net taxable value. 2. RDA rate is based on the largest RDA tax rate area (TRA)and includes only rates from indebtedness I adopted prior to 1989 per California State statute. RDA direct and overlapping rates are applied only to the incremental property values. 3. Total Direct Rate is the weighted average of all individual direct rates for the City of Rancho Cucamonga. I 4. In 1978, California voters passed Proposition 13 which set the property tax rate at a 1.00%fixed amount. This 1.00% is shared by all taxing agencies for which the subject property resides within. In addition to the 1'.00%fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of any voter approved bonds. I Data Source: San Bernardino County Assessor 2002/03-2005/06 Tax Rate Table; HdL, Goren &Cone I 191 CITY OF RANCHO CUCAMONGA ' Principal Property Taxpayers Current Year and Three Years Ago I 2006 2003 ' Percent of Percent of Total City Total City Assessed Assessed Assessed Assessed , Taxpayer Value Value Value Value Catellus Development Corporation $ 78,200,745 0.53% 63,238,561 0.64% PPF MF 9200 Milliken Ave Ltd Prtnr 70,654,951 0.48% - 0.00% 1 Preston Butcher Trust 67,636,200 0.46% - 0.00% Gruma Corporation 66,433,142 0.45% 56,400,847 0.57% I Western Land Properties 64,156,092 0.44% 95,802,765 0.97% Krausz Puente LLC 63,749,388 0.43% - 0.00% ' West Coast Liquidators Inc. 58,494,329 0.40% 55,701,013 0.56% Frito Lay North America, Inc. 57,116,328 0.39% - 0.00% Calwest Industrial Properties LLC 68,910,493 0.47% - 0.00% I Tamco 53,840,448 0.37% 62,545,499 0.63% $ 649,192,116 4.41% 351,279,209 3.64% Source: San Bernardino County Assessor; HdL Coren &Cone ' I I I I I I I I 192 I ' CITY OF RANCHO CUCAMONGA Property Tax Levies and Collections ' Last Ten Fiscal Years Collected within the I Fiscal Taxes Levied Fiscal Year of Levy Collections in Total Collections to Date Year Ended for the Percent Subsequent Percent June 30 Fiscal Year Amount of Levy Yearsl Amount of Levy ' 1997 $ 26,870,299 25,169,450 93.67% N/A 25,169,450 93.67% I1998 27,672,066 26,274,439 94.95% N/A 26,274,439 94.95% 1999 29,171,777 27,653,602 94.80% N/A 27,653,602 94.80% ' 2000 30,520,742 29,018,459 95.08% N/A 29,018,459 95.08% 2001 33,362,558 32,401,099 97.12% N/A 32,401,099 97.12% I2002 37,044,883 36,209,613 97.75% N/A 36,209,613 97.75% I2003 41,370,392 41,367,297 99.99% N/A 41,367,297 99.99% 2004 47,952,098 46,980,688 97.97% N/A 46,980,688 97.97% ' 2005 54,127,529 52,957,183 97.84% N/A 52,957,183 97.84% 2006 66,040,919 65,275,661 98.84% N/A 65,275,661 98.84% I NOTE: The amounts presented include City property taxes and Redevelopment Agency tax increment. This I schedule also includes amounts collected by the City and Redevelopment Agency that were passed- through to other agencies. I 'Data provided by the San Bernardino County Assessor's Office for collection of prior year taxes does not segregate the information by fiscal year. Therefore, the City is not able to provide this information in the above schedule. I ISource: San Bernardino County Assessor I I 1 1 I193 CITY OF RANCHO CUCAMONGA I Ratios of Outstanding Debt by Type Last Ten Fiscal Years ' Governmental Activities Business-type Activities ' Fiscal Year General Tax Total Utility Total Ended Obligation Allocation Governmental Revenue Certificates of Business-Type June 30 Bonds Bonds 1 Loans Activities Bonds Participation Activities I • 1997 $ - 147275,000 16,864,014 164,139,014 $ - - - 1998 - 144,460,000 15,727,369 160,187,369 - - - I 1999 - 141,510,000 14,733,983 156,243,983 - - - ' 2000 - 146,875,000 13,475,928 160,350,928 - - - . 2001 - 143,050,000 12,284,935 155,334,935 - - - I 2002 - 214,140,000 24,696,887 238,836,887 - - - 2003 - 210,555,000 21,865,499 21,865,499 - - - I 2004 - 320,180,000 20,342,137 340,522,137 - - - 2005 - 317,135,000 18,740,549 335,875,549 - - - I 2006 - 311,005,000 17,212,452 328,217,452 - - - ' NOTES: , Details regarding the City's outstanding debt can be found in the notes to the financial statements ' I The City issued over$165 million of new tax allocation bonds in 2004, $74 million in 2002 and $54 million in 2000 with a defeasance of$47 million. Additionally, a developer loan ' in the amount of$13 million was added in 2002. 2 This ratio is calculated using population for the prior calendar year. . 1 I I I I 194 ' ICITY OF RANCHO CUCAMONGA Ratios of Outstanding Debt by Type Last Ten Fiscal Years Fiscal Year Total Percentage Debt Ended Primary of Personal Per ' June 30 Government Income 2 Capita 2 1997 164,139,014 N/A 1,416 1998 160,187,369 5.86% 1,380 1999 156,243,983 5.20% 1,319 2000 160,350,928 5.04% 1,316 2001 155,334,935 4.72% 1,237 2002 238,836,887 7.11% 1,800 2003 21,865,499 0.61% 159 2004 340,522,137 8.69% 2,322 2005 335,875,549 7.76% 2,170 2006 328,217,452 6.82% 2,028 1 1 1 195 CITY OF RANCHO CUCAMONGA , Ratio of General Bonded Debt Outstanding Last Ten Fiscal Years (In Thousands,except Per Capita) Outstanding General Bonded Debt ' Fiscal Year General Tax Percent of , Ended Obligation Allocation Assessed Per June 30 Bonds Bonds Total Value 1 Capita ' 1997 $ - 147,275 147,275 1.51% - 1998 - 144,460 144,460 1.42% - I 1999 - 141,510 141,510 1.32% - I 2000 - 146,875 146,875 1.28% 2001 - 143,050 143,050 1.16% - I 2002 - 214,140 214,140 1.61% - 2003 - 210,555 210,555 1.43% - I 2004 - 320,180 320,180 1.95% - I 2005 - 317,135 317,135 1.74% 2006 - 311,005 311,005 1.49% - , General bonded debt is debt payable with governmental fund resources and general obligation bonds , recorded in enterprise funds (of which, the City has none). Assessed value has been used because the actual value of taxable property is not readily available ' in the State of California. I I I I I 196 I CITY OF RANCHO CUCAMONGA Direct and Overlapping Debt IJune 30, 2006 City Assessed Valuation $ 14,722,010 III Redevelopment Agency Incremental Valuation 6,160,079 Adjusted Assessed Valuation $ 8,561,931 City I Percentage Total Share of Applicable 1 Debt 6/30/06 Debt Overlapping Tax and Assessment Debt: I Metropolitan Water District 0.586% $ 389,565,000 2,282,851 Chaffey Community College District 19.742% 113,050,000 22,318,331 Chaffey Joint Union High School District 40.533% 112,325,000 45,528,692 Alta Loma School District 98.717% 25,999,873 25,666,295 Central School District 96.134% 15,179,342 14,592,509 I Etiwanda School District CFD Nos. 1,2&3 100.000% 11,960,000 11,960,000 Etiwanda School District CFD No. 7 21.530% 13,525,000 2,911,933 Etiwanda School District CFD No. 8 68.006% 7,060,000 4,801,224 I Etiwanda School District CFD No. 9 70.844% 10,000,000 7,084,400 Etiwanda School District Rancho Etiwanda Public Facilities Authority CFD No. 1 90.690% 18,805,000 17,054,255 Fontana Unified School District 0.447% 54,608,353 244,099 I Upland Unified School District 0.474% 32,505,333 154,075 City of Rancho Cucamonga CFD's 100.000% 55,890,000 55,890,000 City of Rancho Cucamonga 1915 Act Bonds 100.000% 5,075,000 5,075,000 ' Total overlapping tax and assessment debt 865,547,901 215,563,663 Direct and OveraDDina General Fund Debt . ISan Bernardino County General Fund Obligations 9.048% 885,315,000 80,103,301 San Bernardino County Pension Obligations 9.048% 761,360,591 68,887,906 Chaffey Community College District Certificates of Participation 19.742%P 19.533% 2,620,000 517,240 IChaffey Joint Union HS District Certificates of Participation 40.533% 1,490,000 603,942 Cucamonga School District Certificates of Participation 31.823% 13,320,000 4,238,824 Fontana School District Certificates of Participation 0.447% 40,775,000 182,264 Upland School District Certificates of Participation 0.474% 6,005,000 28,464 ICity of Rancho Cucamonga General Fund Debt 100.000% - - Total direct and overapping general fund debt 1,710,885,591 154,561,941 ITotal overlapping debt $ 2,576,433,492 370,125,604 City direct debt 328,217,452 ITotal direct and overlapping debt $698,343,056 Notes: 1 I For debt repaid with property taxes,the percentage of overlapping debt applicable is estimated using taxable assessed property values.Applicable percentages were estimated by determining the portion of another governmental unit's taxable assessed value that is within the city's boundaries and dividing it by each unit's total taxable assessed value. IOverlapping governments are those that coincide, at least in part, with the geographic boundaries of the City. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of the City. This process recognizes that, when considering the City's ability to issue and repay Ilong-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government. ' Source: California Municipal Statistics, Inc.; HdL, Coren& Cone I 197 CITY OF RANCHO CUCAMONGA Legal Debt Margin Information Last Ten Fiscal Years Fiscal Year 2006 2005 2004 2003 Debt limit $ 321,072,427 280,523,308 247,538,676 222,613,544 Total net debt applicable to limit - - - - Legal debt margin - $ 321,072,427 280,523,308 247,538,676 222,613,544 Total net debt applicable to the limit ' as a percentage of debt limit 0.0% 0.0% 0.0% 0.0% 1 Legal Debt Margin Calculation for Fiscal Year 2006: ' Assessed value $ 8,561,931,399 Debt limit(3.75%of assessed value) 321,072,427 ' Debt applicable to limit: General obligation bonds Legal debt margin $ 321,072,427 The Government Code of the State of California provides for a legal debt limit of 15% of gross assessed valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value. Effective with the 1981-82 fiscal year, each parcel is now assessed at 100% of market value(as of the most recent change in ownership for that parcel).Although the statutory debt limit has not been amended by the State since this change, the percentages presented in the above computations have been proportionately modified to 3.75% (25% of 15%)for the purpose of this calculation in order to be consistent with the computational effect of the debt limit at the time of the state's establishment of the limit. Source: California Municipal Statistics, City of Rancho Cucamonga 1 198 ' CITY OF RANCHO CUCAMONGA Legal Debt Margin Information it Last Ten Fiscal Years Fiscal Year 2002 2001 2000 1999 1998 1997 203,025,995 187,893,846 179,356,402 171,780,535 167,562,365 163,907,817 ' 203,025,995 187,893,846 179,356,402 171,780,535 167,562,365 163,907,817 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 1 1 I 199 CITY OF RANCHO CUCAMONGA I Pledged-Revenue Coverage Last Ten Fiscal Years (In Thousands) Tax Allocation Bonds ' Fiscal Year Ended Tax Debt Service June 30 Increment Principal Interest Coverage I 1997 24,740 2,130 6,910 2.74 1998 25,561 2,815 8,473 2.26 ' 1999 27,000 2,950 8,337 2.39 2000 28,245 1,865 4,853 4.20 2001 30,953 3,825 7,371 2.76 ' 2002 34,449 2,990 9,216 2.82 2003 38,519 3,585 10,878 2.66 2004 44,743 3,830 10,728 3.07 ' 2005 50,439 3,045 14,397 2.89 2006 61,828 6,130 14,814 2.95 Note: Details regarding the city's outstanding debt can be found in the , notes to the financial statements. ' I I I I I I I I I 200 I ICITY OF RANCHO CUCAMONGA Demographic and Economic Statistics ' Last Ten Calendar Years Per I Personal Capita Unemployment Calendar Population Income Personal Rate Year (1) (in thousands)(2) Income(2) (3) 1 1996 115,900 N/A N/A N/A 1997 116,045 $ 2,733,904 $ 23,559 N/A I1998 118,432 3,001,896 25,347 N/A 1999 121,840 3,179,658 26,097 N/A 1 2000 125,585 3,291,457 26,209 2.6% 2001 132,663 3,358,231 25,314 3.3% I2002 137,119 3,566,054 26,007 3.7% 2003 146,666 3,920,529 26,731 3.5% I 2004 154,780 4,330,435 27,978 3.2% 2005 161,830 4,814,281 29,749 2.7% I NOTE: Personal income data for calendar year 1996 was not available. The unemployment I rate for the City of Rancho Cucamonga was not available for calendar years 1996 through 1999. Unemployment rates for San Bernardino County were available for this period of time. However, management believes it would be misleading to mix ' County data with City data. Sources: (1) State Department of Finance (2) Redevelopment Agency (3) State of California Employment Development Department I I I I I I 201 I CITY OF RANCHO CUCAMONGA ' Principal Employers Current Year and Three Years Ago 2006 2003 Percent of Percent of Number of Total Number of Total ' Employer Employees Rank Employment Employees Rank Employment ChaffeyCommunityCollege 1,100 1 1.75% 475 8 0.87% ' Etiwanda School District 1,015 2 1.61% 933 1 1.71% Ma Loma School District 920 3 1.46% 850 2 1.55% , City of Rancho Cucamonga 729 4 1.16% 705 3 1.29% Frito-Lay, Inc. 600 5 0.95% 600 4 1.10% C.W. Construction 600 6 0.95% 550 6 1.01% Mission Foods 573 7 0.91% 573 5 1.05% ' Central School District 500 8 0.79% 520 7 0.95% Target 475 9 0.75% 325 0.59% I Southern California Edison 450 10 0.71% 450 9 0.82% Mercury Insurance Company 437 0.69% - 0.00% I Wal-Mart Stores, Inc 427 0.68% 445 10 0.81% ' "Total Employment"as used above represents the total employment of all employers located within City limits. , Source: Redevelopment Agency; City Finance Department; State of California, EDD I I I I I I 202 I CITY OF RANCHO CUCAMONGA Full-Time and Part-Time City Employees By Function I Last Two Fiscal Years Full-Time and Part-time Employees as of June 30 Function 2006 2005 General government 84 70 Public safety 1 103 137 Engineering and public works 207 189 Community development 51 47 Community services 210 198 Library 68 58 Redevelopment 6 6 I Total 729 705 p 1 NOTES: ' Police services provided by San Bernardino County with 126 sworn and 38 non-sworn employees for 2006. Effective 2006, crossing guards were contracted with a private company and are no longer part-time employees of the City. 1 Source: City Finance Department I 1 1 1 203 1 CITY OF RANCHO CUCAMONGA Operating Indicators by Function Last Two Fiscal Years Fiscal Year 2006 2005 General government: 1 Building permits issued 4,763 5,587 Building inspections conducted 82,166 85,225 Police: Arrests 5,306 5,608 Parking citations issued 3,846 3,508 Traffic citations issued 16,395 16,987 Fire: Number of emergency calls 11,430 10,855 Inspections 2,035 2,774 Public works: Number of potholes repaired 1,107 2,402 Parks and recreation: Number of recreation classes 2,866 2,315 Number of facility rentals 1,598 824 Library: Volumes in collection 215,606 181,029 Total volumes borrowed 715,431 737,635 Municipal utility: Number of customers 375 225 Peak demand (MW) 11 8 1 Source: Various City departments 1 I I I I 204 ICITY OF RANCHO CUCAMONGA Capital Asset Statistics by Function ' Last Two Fiscal Years ' Fiscal Year 2006 2005 Police: Stations 1 1 Patrol units 52 48 Fire: Fire stations 6 6 Public works: I Streets (miles) 511 499 Streetlights 12,127 11,954 Traffic signals 182 170 I Parks and recreation: Parks 28 26 Acreage 322 307 Community centers 5 5 1 Source: Various City departments 1 I 1 1 1 205 CITY OF RANCHO CUCAMONGA 1 Principal Sales Tax Remitters Current Year and Three Years Ago ' 2006 2003 ' Business Name Business Category Business Name Business Category Ameron International Corp. Contractors Albertson's Grocery Stores Liquor Ameron Steel Pipe Contractors Albertson's Grocery Stores Liquor I Apple Computer Office Equipment American Building Supply Contractors Best Buy Electronics/Appliance Stores Ameron International Corp. Contractors 1 Chevron Service Stations Ameron Steel Pipe Contractors Circuit City Electronics/Appliance Stores Best Buy Electronics/Appliance Stores Costco Discount Department Stores Chevron Service Stations I Home Depot Lumber/Building Materials Circle K Grocery Stores Beer/Wine Huttig Lumber/Building Materials Circuit City Electronics/Appliance Stores JC Penney Department Stores Costco Discount Department Stores Kayo Oil Company Service Stations Home Depot Lumber/Building Materials ' Living Spaces Furniture Home Furnishings Lowes Lumber/Building Materials Lowes Lumber/Building Materials Mervyns Department Stores Macys Department Stores Novartis Animal Health Health/Medical I Mervyns Department Stores Proficient Food Farm Products/Equipment Novartis Animal Health Health/Medical Rancho Mobil Service Stations I Rancho Mobil Service Stations Ross Family Apparel Robinsons May Department Stores Shell/Texaco Service Stations Sears Grand Department Stores Stater Bros. Grocery Stores Liquor Shell/Texaco Service Stations Tamco Heavy Industrial Tamco Heavy Industrial Target Discount Department Stores Target Discount Department Stores Vineyard Mobil Service Stations Wal Mart Discount Department Stores Vons Grocery Stores Liquor West End Material Supply Lumber/Building Materials Wal Mart Discount Department Stores Wickes Home Furnishings West End Material Supply Lumber/Building Materials , Source: Hinderliter, de Llamas&Associates; State Board of Equalization ' 1 I I 206 1