HomeMy Public PortalAbout09) 7E Comprehensive Annual Financial Report (CAFAR)AGENDA
ITEM 7.E.
ADMINISTRATIVE SERVICES DEPARTMENT
MEMORANDUM
DATE: January 21, 2014
TO: The Honorable City Council
FROM: Tracey L. Hause, Acting City Mamager/Administrative Services Direc~
SUBJECT: COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR)
JUNE 30, 2013
RECOMMENDATION:
It is recommended that the City Council receive and file the Comprehensive Annual
Financial Report (CAFR) for the year ended June 30, 2013 (Attachment "A").
BACKGROUND:
1. Since 1994, the City had been contracting with Conrad and Associates LLP for
auditing services.
2. The City had historically produced General Purpose Financial Statements instead of
a CAFR. However for the fiscal years ending in 1996, 1997 and 1998, the City
completed CAFR's.
3. Beginning in 1999, the City determined that since a CAFR was not required by State
law and decision was made to return to Basic Financial Statements. Preparation of a
CAFR required additional staff time and higher audit fees.
4. In 2006, Conrad and Associates LLP became Mayer Hoffman McCann PC and the
City continued to have them complete the year end audits and financial statements.
5. In June 2011, with the approval of the Fiscal Year (FY) City Budget, the City Council
directed City staff to issue a Request for Proposals (RFP's) for all City contracts,
including auditing services.
6. On July 15, 2011, after the completion of the RFP process, the City Manager/Interim
Administrative Services Director and the City's Accountant conducted an interview
meeting with the representatives from Vasquez & Company, LLP. It was determined
after that meeting Vasquez & Company could help the City undertake a
comprehensive overview of the City's finances and management practices. Further,
City Council
January 21, 2014
Page 2 of 3
the City would be returning to producing a CAFR and Vasquez and Company, LLP
would be completing the report as part of the audit process.
7. On August 2, 2011, the City Council approved a Professional Services Agreement in
the amount of $45,000 with Vasquez & Company, LLP for auditing services for three
years with two one-year options.
8. On June 12, 2013, the Administrative Services Department received notice from the
Government Finance Officers' Association (GFOA) that the City had received the
Excellence in Financial Report Award program for the FY 2011-12 CAFR.
9. On Janaury 8, 2013, Vasquez & Company completed their field work and has
prepared the CAFR and related reports for June 30, 2013.
ANALYSIS:
A CAFR is a set of United States government financial statements cornpns1ng the
financial report of a state, municipal or other governmental entity that complies with the
accounting requirements, Generally Accepted Accounting Principles (GAAP), created
and circulated by the Governmental Accounting Standards Board (GASB).
The CAFR accounting structure provides for standardization financial reporting. All
levels of government including federal, state, local and municipal, produce a CAFR to
document an accurate picture of institutional funds, enterprise or financial holdings,
assets and total investment incomes for those government and nongovernmental
entities using the report.
Beginning with FY 2010-11, the City moved from a basic financial statement presentation
to the more transparent, CAFR reporting. Most governmental agencies utilize this type of
reporting, providing for ease of comparing financial data from one agency to another.
In addition, as a recipient of Federal grant funds in past years, the City has been required
to be in compliance with the requirements of the Office of Management and Budget
Circular A-133, Audits of States, Local Governments and Non-Profit Organizations. The
process, to ensure that the City is in compliance with this Circular, is commonly known as
the "Single Audit". For the FY 2012-13, the City did receive in excess of $500,000 in
Federal grant monies, therefore requiring a Single Audit and corresponding reports. The
reports are in the process of being completed. All Single Audits are due to the Federal
reporting agencies nine months after the close of the fiscal year, (i.e., March 31, 2014 ).
Once these reports are complete, staff will return to the City Council for a recommendation
of receive and file.
Vasquez & Company, LLP, has issued an unqualified ("clean") op1n1on on the City
financial statements for the year ended June 30, 2013. The City also provides a narrative
introduction, overview and analysis of the CAFR in the form of Management's Discussion
and Analysis (MD&A). It can be found immediately following the independent auditors'
report.
City Council
January 21, 2014
Page 3 of 3
In keeping with the theme of a high performance organization, the staff has once again
submitted the FY 2012-13 CAFR to GFOA for the Excellence in Financial Report Award.
The GFOA recognizes innovative programs, contributions to the practice of government
finance that exemplify outstanding financial management. The award stresses practical,
documented work that offers leadership to the profession and promotes improved public
finance.
FISCAL IMPACT:
This action of receiving and filing the CAFR does not have a fiscal impact on the FY 2013-
14 City Budget. However, staff has begun the mid-year budget analysis and will be
incorporating the results of actual spending in the FY 2012-13, as reflected in the CAFR, in
the FY 2013-14 Mid-Year Budget Report, which will be presented to the entire City Council
on February 18, 2014.
CONCLUSION:
Staff is recommending that the City Council receive and file the CAFR for the year
endedJune30,2013.
ATTACHMENTS:
A. Comprehensive Annual Financial Report for the Year Ended June 30, 2013.
CITY OF TEMPLE CITY
CALIFORNIA
Comprehensive Annual
Financial Report
Fiscal Year Ended
June 30, 2013
(This page intentionally left blank.)
CITY OF TEMPLE CITY,
CALIFORNIA
Comprehensive Annual Financial Report
Year Ended June 30, 2013
Prepared by:
ADMINISTRATIVE SERVICE DEPARTMENT
Tracey L. Hause
Administrative Services Director
(This page intentionally left blank.)
City of Temple City
Table of Contents
INTRODUCTORY SECTION
Letter of Transmittal
List of Elected Officials and Management Personnel
Organizational Chart
Certificate of Achievement for Excellence in Financial Reporting (GFOA)
FINANCIAL SECTION
Report of Independent Auditors
Management's Discussion and Analysis
Basic Financial Statements
Government-wide Financial Statements
Statement of Net Position
Statement of Activities
Fund Financial Statements
Description of Major Funds
Balance Sheet
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Position
Statement of Revenues, Expenditures, and Changes in Fund Balances
Reconciliation of the Statement of Revenues, Expenditures, and Changes
in Fund Balances of Governmental Funds to the Statement of Activities
Proprietary Fund
Description of Proprietary Fund
Statement of Net Position
Statement of Revenues, Expenses, and Changes in Net Position
Statement of Cash Flows
Fiduciary Funds
Description of Fiduciary Funds
Statement of Fiduciary Net Position
Statement of Changes in Fiduciary Net Position
Notes to Financial Statements
REQUIRED SUPPLEMENTARY INFORMATION
Budgetary Comparison Schedule
General Fund
Community Development Block Grant (CDBG)
Notes to Budgetary Comparison Schedule
Schedule of Funding Progress -California Public Employees Retirement System
Schedule of Funding Progress-Other Postemployment Benefits
vi
vii
viii
1
4
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
57
61
62
63
64
City of Temple City
Table of Contents
SUPPLEMENTARY SCHEDULES
Non major Governmental Funds
Combining Balance Sheet
Combining Statement of Revenues, Expenditures, and Changes in
Fund Balances
Non major Special Revenue Funds
Description of Non major Special Revenue Funds
Combining Balance Sheet
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
STATISTICAL SECTION
65
66
67
70
76
Description of Statistical Section Contents 82
Financial Trends
Net Position by Component-Last Ten Fiscal Years 83
Change in Net Position-Expenses and Program Revenues-Last Ten Fiscal Years 84
Fund Balances of Governmental Funds-Last Ten Fiscal Years 86
Changes in Fund Balances of Governmental Funds-Last Ten Fiscal Years 87
Revenue Capacity
Assessed Value ofTaxable Property-Last Ten Fiscal Years 89
Direct and Overlapping Government Property Tax Rates-Last Ten Fiscal Years 90
General Fund Revenues-Last Ten Fiscal Years 91
Principal Property Taxpayers-Current Fiscal Year and Nine Fiscal Years Ago 92
Top 25 Sales Tax Producers-Current Fiscal Year 93
Debt Capacity
Direct and Overlapping Debt 94
Demographic and Economic Information
Demographic and Economic Statistics-Last Ten Fiscal Years 95
Operating Information
Construction Activity -Last Ten Fiscal Years 96
Full-Time Equivalent City Employees by Function-Last Ten Fiscal Years 97
Operating Indicators by Function-LastTen Fiscal Years 98
9701 LAS TUNAS DRIVE D TEMPLE CITY 0 CA 91780 D (626) 285-2171
January 8, 2014
To the Honorable City Council,
The Comprehensive Annual Financial Report (CAFR) of the City of Temple City ("City") for the year
ended June 30, 2013, is hereby submitted as mandated by applicable State of California statues.
These statues require that the City annually issue a report on its financial position and activity, and
that an independent firm of certified public accountants audit this report. Responsibilities for both the
accuracy of the data and the completeness and fairness of the presentation, including all disclosures
rests with the City's management. The information in this report is intended to present the reader
with a comprehensive view of the City's financial position and the results of its operations for the
fiscal year ending June 30, 2013, along with additional disclosures and financial information
designed to enable the reader to gain an understanding of the City's financial activities.
Vasquez & Company, LLP, Certified Public Accountants, have issued an unmodified ("clean")
opinion on the City's financial statements for the year ended June 30, 2013. The independent
auditor concluded, based upon the audit that the City's financial statements for the fiscal year ended
June 30, 2013 are fairly presented in conformity with generally accepted accounting principles
(GAAP). The auditor's report is presented as the first component of the financial section of this
report. Generally accepted accounting principles also require that management provide a narrative
introduction, overview and analysis of the basic financial statements in the form of Management's
discussion and analysis (MD&A). It can be found following the independent auditor's report.
PROFILE OF THE GOVERNMENT
The City is centrally located in the west San Gabriel Valley approximately 13 miles east of downtown
Los Angeles. The City was incorporated on May 25, 1960 under the general laws of the State of
California. On April16, 1971, the City adopted Resolution No. 71-1084 declaring it a charter city.
The City is approximately 3.85 square miles and is surrounded by the cities of Arcadia, San Gabriel,
El Monte, Rosemead and unincorporated portions of Los Angeles County. The 2010 U.S. Census
Bureau indicates a total population of 35,558. The City is predominately a residential community
with over 10,000 residential parcels. The City operates under the Council -Manager form of
government and contracts for many of its public services including law enforcement.
LOCAL ECONOMY
The City has weathered the current economic environment as a result of substantial reserves and a
solid property and sales tax base. The San Gabriel Valley has a varied residential, commercial and
industrial base that adds to the stability of the unemployment rate. The U.S. economy continues to
be weak and the recovery is persistently slow. The U.S. still faces plenty of obstacles and many
economist cautions that growth is still a ways off.
MAJOR ACCOMPLISHMENTS
Toward sustaining high-performance, below is list of noteworthy accomplishments completed over
the past fiscal year:
Vision and Long-Range Planning
• Launched the Strategic Plan to prioritize and program recommendations from recent
planning studies.
• Initiated the General Plan process, which establishes both vision and policies to guide the
physical development of Temple City through 2050.
• Finalized the Route 19 Specific Plan scope that explores new land uses to increase
economic development opportunities around Las Tunas/Rosemead.
• Completed the 2008-14 Housing Element Update, allowing the City to now pursue grant
funding for identified housing projects and programs.
• Kicked off the Zoning Code Update; the final product will simplify language that makes the
ordinance clear, concise and easy to use for property owners.
Public Health and Safetv
• Installed more than 100 ADA-compliant curb ramps to significantly improve pedestrian
accessibility for those with limited mobility.
• Enacted provisions of the County's Title 10 animal control regulations, which enforce new
vaccination, licensing and identification requirements.
• Restructured the Neighborhood Watch Program to increase engagement; participation
has increased from four or five, to 60-plus residents per meeting.
• Updated the City's 1996 emergency preparedness plan, which identifies available
resources and ensures response compliance with federal mandates.
• Adopted a second-hand smoke control ordinance that designates citywide smoke-free
locations, including outdoor public places.
Economic Development/Redevelopment
• Facilitated development permits and tenant attraction for the $20 million Gateway Project,
now under construction and scheduled to open in 2015.
• Completed a first draft of the City's five-year economic development strategy, which
identifies realistic and market-driven goals for implementation.
• Purchased the former mortuary site and opened negotiations to acquire 5922 Primrose
Ave. for downtown parking and site assemblage needs.
• Conducted financial analyses and amended planning regulations that support
redevelopment of the former Alpha Beta site into a vibrant mixed-use project.
ii
" P r e p a r e d a d e v e l o p m e n t a g r e e m e n t f o r t h e O l s o n P r o j e c t , w h i c h p r o v i d e s 7 4 n e w h o u s i n g
u n i t s a t t h e f o r m e r L o w e r A z u s a R o a d l u m b e r y a r d s i t e .
C i t i z e n E d u c a t i o n / C o m m u n i c a t i o n
" R e i n t r o d u c e d C i t i z e n ' s A c a d e m y , a s i g n a t u r e p r o g r a m t h a t e d u c a t e s a n d e n g a g e s
c o m m u n i t y m e m b e r s o n C i t y H a l l p r o c e s s e s a n d p l a t f o r m s .
" L a u n c h e d A M 1 6 9 0 , a C i t y r a d i o s t a t i o n t h a t b r o a d c a s t s t r a f f i c i n f o r m a t i o n , r o a d w a y
c o n s t r u c t i o n a d v i s o r i e s a n d p u b l i c a n n o u n c e m e n t s .
" I n s t i l l e d t h e S t a t e o f t h e C i t y a d d r e s s , a n a n n u a l c o m m u n i t y p r e s e n t a t i o n t h a t i n f o r m s o f
t h e C i t y ' s p a s t y e a r a c c o m p l i s h m e n t s a n d p l a n s f o r t h e f u t u r e .
" S o l i d i f i e d r e l a t i o n s h i p s w i t h l o c a l m e d i a - i n c l u d i n g t h e C h i n e s e p r e s s - t o p o s i t i v e l y
p r o m o t e a n d b u i l d a w a r e n e s s o f C i t y p r o g r a m s , e v e n t s a n d i s s u e s .
" F o r m a l i z e d a n a m o r t i z a t i o n a g r e e m e n t t h a t a l l o w s f o r a n e w L E D b i l l b o a r d o n R o s e m e a d
B o u l e v a r d , a n d w h i c h p r o v i d e s p a r t i a l C i t y u s e f o r c i v i c n o t i f i c a t i o n s .
S o u n d F i s c a l P o l i c y
" E s t a b l i s h e d t h e G e n e r a l F u n d R e s e r v e O r d i n a n c e , w h i c h s e t s r e g u l a t i o n s f o r u s e o f t h e
C i t y ' s $ 2 1 . 7 m i l l i o n r e s e r v e .
" R e v i s e d i n v e s t m e n t p o l i c i e s t o c a p t u r e a h i g h e r r a t e o f r e t u r n , w i t h o u t j e o p a r d i z i n g s a f e t y
o f t h e C i t y ' s 3 1 m i l l i o n p o r t f o l i o .
" I n i t i a t e d p e r f o r m a n c e b a s e d b u d g e t i n g , w h i c h a l i g n s l i m i t e d r e s o u r c e s w i t h c o m m u n i t y
p r i o r i t i e s t o p r o v i d e s o u n d b a s i s f o r l o n g - t e r m f u n d i n g d e c i s i o n s .
" C o n t i n u e d t o r e c e i v e u n q u a l i f i e d ( i . e . , " c l e a n " ) a u d i t f i n d i n g s o n t h e C i t y ' s f i n a n c i a l
r e p o r t i n g v i a e n h a n c e d f i s c a l c o n t r o l s a n d c h e c k s a n d b a l a n c e s .
" N a v i g a t e d c o m p l e x a n d p r e s c r i b e d p r o c e s s e s t o s e c u r e $ 2 . 2 m i l l i o n i n f o r m e r
r e d e v e l o p m e n t a g e n c y b o n d p r o c e e d s f o r i n f r a s t r u c t u r e a n d h o u s i n g n e e d s .
S u s t a i n a b l e I n f r a s t r u c t u r e
" C o m p l e t e d a d r a f t p a v e m e n t m a n a g e m e n t s t u d y t h a t a s s e s s e s t h e c o n d i t i o n o f a l l c i t y
s t r e e t s a n d p r o g r a m s a n n u a l f u n d i n g f o r r e p a i r s .
" E x p a n d e d d u t i e s o f t h e P a r k s a n d R e c r e a t i o n C o m m i s s i o n t o i n c l u d e m a t t e r s i n v o l v i n g
c a r e a n d m a i n t e n a n c e o f t h e C i t y ' s $ 1 7 . 4 m i l l i o n u r b a n f o r e s t .
" R e i n s t i t u t e d a f o u r - y e a r t r i m c y c l e f o r t h e C i t y ' s 5 , 7 0 0 t r e e s t o p r o m o t e p r o p e r g r o w 1 h a n d
m a i n t e n a n c e .
" F i n a l i z e d t h e E n e r g y E f f i c i e n c y C l i m a t e A c t i o n P l a n t h a t s e t s a f r a m e w o r k a n d f u n d i n g
m o d e l f o r h o w t h e c o m m u n i t y c a n r e d u c e g r e e n h o u s e g a s e m i s s i o n s .
i i i
" O v e r h a u l e d t h e C i t y ' s p e r s o n n e l p o l i c i e s t o f u r t h e r a m o t i v a t e d w o r k f o r c e t h r o u g h c l e a r
p e r f o r m a n c e e x p e c t a t i o n s , a n d w e l l n e s s a n d s a f e t y p r o g r a m s .
B a s i c C i t y S e r v i c e s
" D e p l o y e d S p a n i s h , M a n d a r i n a n d C a n t o n e s e s p e a k i n g v o l u n t e e r s a t s p e c i a l e v e n t s a n d
s e l e c t C i t y f a c i l i t i e s t o a s s i s t s t a f f w i t h c o m m u n i t y i n q u i r i e s .
" R e p l a c e d t h e C o u n t y w i t h T r a n s t e c h , a c o n t r a c t e d e n g i n e e r i n g f i r m t h a t h a s r e d u c e d
b u i l d i n g p l a n c h e c k s f r o m t h r e e t o s i x w e e k s , t o t w o t o t h r e e d a y s .
" I m p o s e d s t a n d a r d o p e r a t i n g p r o c e d u r e s f o r p u b l i c c o u n t e r s , a n d r e o r g a n i z e d C i t y
d e p a r t m e n t s f o r g r e a t e r e f f i c i e n c i e s a n d e n h a n c e d c u s t o m e r s e r v i c e .
" R e v i e w e d k e y s e r v i c e c o n t r a c t s a n n u a l l y f o r n e c e s s a r y s c o p e a m e n d m e n t s t h a t i n c r e a s e
a c c o u n t a b i l i t y t h r o u g h u s e o f p e r f o r m a n c e m e t r i c s .
" L a u n c h e d t h e d e v e l o p m e n t o f t e c h n o l o g i e s t h a t a l l o w f o r i n t e r n a l c a s e t r a c k i n g a n d
e x t e r n a l o n l i n e s e r v i c e r e q u e s t s .
Q u a l i t y o f L i f e
" I n t r o d u c e d n e w r e c r e a t i o n a l o f f e r i n g s t o s e r v e t h e g r o w i n g B a b y B o o m e r a n d A s i a n
p o p u l a t i o n s , a n d t o k e e p p r o g r a m m i n g r e g i o n a l l y c o m p e t i t i v e .
" E x p l o r e d f i n a n c i n g o p t i o n s f o r F Y 2 0 1 4 t h a t i n c r e a s e s s t r e e t s w e e p i n g f r o m b i - w e e k l y t o
w e e k l y , a n d p r o h i b i t s p a r k i n g d u r i n g s t r e e t s w e e p i n g h o u r s .
" F a c i l i t a t e d a p u b l i c - p r i v a t e p a r t n e r s h i p t h a t r e i n v e n t s t h e C i v i c C e n t e r a s a c o m m u n i t y
d e s t i n a t i o n t h r o u g h n e w a n d e n h a n c e d p u b l i c f a c i l i t i e s .
" D e v e l o p e d r o u t e o p t i o n s f o r a p r o p o s e d f i x e d - r o u t e t r o l l e y s h u t t l e t h a t b e t t e r l i n k s
n e i g h b o r h o o d s t o l o c a l c o m m e r c i a l a r e a s a n d c i v i c u s e s .
" S a w s u s t a i n e d g r o w t h i n p r o p e r t y t a x r e v e n u e , a f f i r m i n g e f f e c t i v e n e s s o f t h e C i t y a n d
c o m m u n i t y ' s c o l l a b o r a t i v e a p p r o a c h t o n e i g h b o r h o o d e n h a n c e m e n t
O T H E R F I N A N C I A L I N F O M R A T I O N
I n t e r n a l C o n t r o l
M a n a g e m e n t a s s u m e s f u l l r e s p o n s i b i l i t y f o r t h e c o m p l e t e n e s s a n d r e l i a b i l i t y o f t h e i n f o r m a t i o n
c o n t a i n e d i n t h i s r e p o r t , b a s e d u p o n a c o m p r e h e n s i v e f r a m e w o r k o f i n t e r n a l c o n t r o l t h a t i t h a s
e s t a b l i s h e d f o r t h i s p u r p o s e . T h e i n t e r n a l c o n t r o l s t r u c t u r e i s d e s i g n e d t o p r o t e c t t h e C i t y ' s a s s e t s
f r o m l o s s , t h e f t , o r m i s u s e a n d t o e n s u r e t h a t a d e q u a t e a c c o u n t i n g d a t a i s c o m p i l e d f o r t h e
p r e p a r a t i o n o f f i n a n c i a l s t a t e m e n t s i n c o n f o r m i t y w i t h G A A P . B e c a u s e t h e c o s t o f i n t e r n a l c o n t r o l
s h o u l d n o t e x c e e d a n t i c i p a t e d b e n e f i t s , t h e o b j e c t i v e i s t o p r o v i d e r e a s o n a b l e , r a t h e r t h a n a b s o l u t e
a s s u r a n c e t h a t t h e f i n a n c i a l s t a t e m e n t s a r e f r e e o f a n y m a t e r i a l m i s s t a t e m e n t s .
i v
Budgetary and Accounting System
The City is required to adopt a budget for the following year before the end of each fiscal year. The
objective of budgetary controls is to ensure compliance with legal provision embodied in the annual
appropriated budget approved by the City Council. The City's budgetary control is maintained at the
individual departmental level and any change in the adopted appropriations, by department requires
approval from the City Manager and/or City Council.
AWARDS AMD ACKNOWLEDGEMENTS
The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for
Excellence in Financial Report to the City of Temple City for its Comprehensive Annual Financial
Report (CAFR) for the fiscal year ended June 30, 2012. This was the first year in a number of years
that Temple City has received this prestigious award. In order to be awarded a Certificate of
Achievement, a report must be published that satisfies both GAAP and applicable legal
requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our current CAFR
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 City's CAFR was prepared through combined efforts of City staff. Special recognition is due the
Administrative Services Department staff for their effort to ensure timely and accurate reporting. I
would also like to thank the City Council and the City Manager for their continued support and
interest in planning and conducting the financial operations of the City in a responsible and
progressive manner
Sincerely,
Tracey L Hause
Administrative Services Director
v
City of Temple City, California
List of Elected Officials and Management Personnel
June 30, 2013
Cynthia Sternquist, Mayor
Carl Blum, Mayor Pro Tern
Tom Chavez, Councilmember
Fernando Vizcarra, Councilmember
Vincent Yu, Councilmember
Administration and Department Heads
City Manager Jose E. Pulido
Assistant to the City Manager/Economic Development Director Brian S. Haworth
City Clerk Peggy Kuo
Director of Community Development Mark Persico
Director of Parks and Recreation Cathy Burroughs
Administrative Services Director Tracey L. Hause
vi
Organization Chart
I Cicy Council I
Parks and
Recreation
Commission
Planning
Commission I Cicy Mana~] Cicy Attorney Public Safecy
Commission
Management
Services
Department
Administrative
Services
Department
Planning I Building
Department
Community
Development
Department 1
Public Safecy
Division
vii
Parks and
Recreation
Department
I
Public Works I
Maintenance
Division
Public Arts
Commission
Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Temple City
California
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
June 30,2012
Executive Director/CEO
viii
.w;gvASQUEZ
l'J]rl & COMPANY LLP .,,.
"" ____ "_" _______ '""--·-·~--------------
REPORT OF INDEPENDENT AUDITORS
The Honorable Mayor and the Members of the City Council
City of Temple City, California
Report on the Financial Statements
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 Temple City, California (the City), as of and for the year ended June 30, 2013, and the related
notes to financial statements which collectively comprise the City's basic financial statements, as
listed in the table of contents"
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this
includes the design, implementation, and maintenance of internal control relevant to the preparation
and fair presentation of financial statements that are free from material misstatement, whether due to
fraud or error"
Auditor's Responsibility
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 from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures
in the financial statements" The procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error" In making those risk assessments, the auditor considers internal control relevant to the entity's
preparation and fair presentation of the financial statements in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the entity's internal control. Accordingly, we express no such opinion" An audit also
includes evaluating the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluating the overall
presentation of the financial statements"
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinions"
(This page intentionally left blank.)
Opinion
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 Temple City, California, as of June
30, 2013, and the respective changes in financial position, and cash flows thereof for the year then
ended in accordance with accounting principles generally accepted in the United States of America.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management's discussion and analysis on pages 4 through 11 and budgetary comparison
information and funded status pension and other postemployment benefit plans on pages 57 through
64 be presented to supplement the basic financial statements. Such information, although not a part
of the basic financial statements, is required by the Governmental Accounting Standards Board, who
considers it to be an essential part of financial reporting for placing the basic financial statements in
an appropriate operational, economic, or historical context. We have applied certain limited
procedures to the required supplementary information in accordance with auditing standards
generally accepted in the United States of America, which consisted of inquiries of management
about the methods of preparing the information and comparing the information for consistency with
management's responses to our inquiries, the basic financial statements, and other knowledge we
obtained during our audit of the basic financial statements. We do not express an opinion or provide
any assurance on the information because the limited procedures do not provide us with sufficient
evidence to express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City of Temple City's basic financial statements. The introductory section,
combining and individual nonmajor fund financial statements and statistical section, are presented
for purposes of additional analysis and are not a required part of the basic financial statements.
The combining and individual nonmajor fund financial statements are the responsibility of
management and were derived from and relate directly to the underlying accounting and other
records used to prepare the basic financial statements. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements and certain additional
procedures, including comparing and reconciling such information directly to the underlying
accounting and other records used to prepare the basic financial statements or to the basic financial
statements themselves, and other additional procedures in accordance with auditing standards
generally accepted in the United States of America. In our opinion, the combining and individual
nonmajor fund financial statements are fairly stated in all material respects in relation to the basic
financial statements as a whole.
The introductory and statistical sections have not been subjected to the auditing procedures applied
in the audit of the basic financial statements and, accordingly, we do not express an opinion or
provide any assurance on them.
2
(This page intentionally left blank.)
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated January
8, 2014, on our consideration of the City of Temple City's internal control over financial reporting and
on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant
agreements and other matters. The purpose of that report is to describe the scope of our testing of
internal control over financial reporting and compliance and the results of that testing, and not to
provide an opinion on internal control over financial reporting or on compliance. That report is an
integral part of an audit performed in accordance with Government Auditing Standards in
considering the City of Temple City's internal control over financial reporting and compliance.
Los Angeles, California
January 8, 2014
3
(This page intentionally left blank.)
City of Temple City
Management's Discussion and Analysis
June 30, 2013
The following discussion and analysis of the City of Temple City's financial performance provides an
overview of the financial activities for the fiscal year ended June 30, 2013. Readers are encouraged
to consider the information presented here in conjunction with the accompanying basic financial
statements.
Financial Highlights
Government-wide Financial Statements:
• The City's net position increased by $2.6 million from $65.2 million as of June 30, 2012, to
$67.8 million as of June 30, 2013, as a result of this year's operations;
• The total revenue from all sources was $18.7 million;
• The total cost of all City programs was $16.1 million; and
• The City's total debt decreased by $121 thousand during the current fiscal year. The key
factors in this decrease are the net reduction in OPEB obligation of $79 thousand and the
decrease in the compensated absences liability by $41 thousand.
Fund Financial Statements:
• As of June 30, 2013, the City's governmental funds reported combined ending fund balances
of $29.9 million, a decrease of $6 million over the prior fiscal year. Approximately $1.8 million
of the $29.9 million balance is unassigned and is available for spending at the government's
discretion;
• As of June 30, 2013, the total fund balance of the City's General Fund was $21.4
million, a decrease of $2.6 million from the prior year level of $24.1 million; and
• In the General Fund, expenditures exceeded revenues by $1.6 million, before other
financing sources/uses.
Overview of the Financial Statements
This discussion and analysis are intended to serve as an introduction to the City of Temple City's
basic financial statements. The City of Temple City's Comprehensive Annual Financial Report
(CAFR) is comprised of three components: Introduction, Financial Section and Statistical Section.
Government-wide financial statements. The government-wide financial statements are designed
to provide readers with a broad overview of the City of Temple City's finances, in a manner similar to
a private-sector business.
The government-wide financial statements include not only the City, but also all legal entities for
which the City is financially accountable. Accordingly, the financial information for the City of Temple
City Housing Authority and City of Temple City Public Financing Authority are included as integral
part of the City's financial statements and reported as blended component units.
The statement of net position presents information on all of the City of Temple City's total assets and
deferred outflows of resources and total liabilities and deferred inflows of resources, with the
difference between the two reported as total net position. Over time, increases and decreases in net
position 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 position changed during
the most recent fiscal year. All changes in net position are reported as soon as the underlying event
4
City of Temple City
Management's Discussion and Analysis
June 30, 2013
giving rise to the change occurs, regardless of the timing related to cash flows. Thus, revenues and
expenditures are reported in this statement for some items that will only result in cash flows in future
fiscal periods (e.g., uncollected taxes).
Both of the government-wide financial statements report on functions of the City of Temple City that
are principally supported by taxes and inter-governmental revenues (governmental activities). The
governmental activities of the City of Temple City include general government, community
development, public safety, public works and community services.
Fund financial statements. A fund is a group of related accounts that is used to maintain control
over resources that have been segregated for specific activities or objectives. The City of Temple
City, like other state and local governments, uses fund accounting to ensure and demonstrate
compliance with finance-related legal requirements. All of the funds of the City of Temple City are
governmental funds.
Governmental funds. Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government-wide financial statements. However, unlike
the government-wide financial statements, governmental fund financial statements focus on near-
term inflows and outflows of spendable resources, as well as balances of spendable resources
available at the end of the fiscal year. Such information may be useful in evaluating a government's
near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements. By
doing so, readers may better understand the long-term impact of the City's near-term financing
decisions. Both the governmental funds balance sheet and the statement of revenues, expenditures,
and changes in fund balances provide a reconciliation to facilitate this comparison between
governmental funds and governmental activities.
The City of Temple City maintains three individual governmental funds. Information is presented
separately in the governmental funds balance sheet and in the statement of revenues, expenditures,
and changes in fund balances for the General Fund, Capital Improvement Fund, and the Special
Revenue, Community Development Block Grant Fund, both of which are considered to be major
funds.
The City of Temple City adopts an annual appropriated budget. A budgetary comparison statement
has been provided to demonstrate compliance with this budget.
Proprietary funds. The City maintains only one category of a proprietary fund, an internal service
fund. The Self Insurance Fund accounts for goods and services related to insurance premiums by
one department to other departments on a cost reimbursement basis.
Agency funds. The City also maintains two Agency funds to account for assets held by the City as
an agent for the Successor Agency and the resources held and administered by the City of Temple
City in a fiduciary capacity acting as the Successor Agency to the former Temple City
Redevelopment Agency.
Notes to basic 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.
5
City of Temple City
Management's Discussion and Analysis
June 30, 2013
Other information. In addition to the basic financial statements and accompanying notes, this
report also presents certain required supplementary information concerning the City's budget
comparison schedules for the General Fund and each major revenue fund and progress in funding
its obligation to provide pension benefits to its employees.
Government-wide Financial Analysis
Our analysis focuses on the net position and changes in net position of the City's governmental
activities for the fiscal year ended June 30, 2013 and 2012.
Net position. As noted earlier, net position may serve over time as a useful indicator of a
government's financial position.
The City's net position increased by $2.6 million during FY 2012-13, primarily as a result of the
addition of Investment in Capital Assets, (i.e., Rosemead Boulevard Safety and Beautification
Enhancement Project). The largest portion of the City's net position is its investment in capital
assets (e.g. land, infrastructure, building and equipment) representing 56.1 %of its total net position.
The City uses these capital assets to provide services to citizens; consequently these assets are not
available for future spending. A portion of the City's net position, $8.4 million or 12.4%, represents
resources that are subject to external restrictions on how they may be used. The remaining balance
of unrestricted net assets of $21.3 million or 31.4% may be used to meet the government's ongoing
obligations to citizens and creditors.
City of Temple City
Condensed Statement of Net Position
Current and other assets
Capital assets
Total assets
Deferred outflows of resources
Current and other liabilities
Long-term liabilities
Total liabilities
Deferred inflows of resources
Net Investment in capital assets
Restricted
Unrestricted
$
2013
34,371,574
38,038,920
72,410,494
2,626,142
1,969,632
4,595,774
38,038,920
8,445,931
21,329,869
$
2012
40,241,822
29,208,039
69,449,861
2,163,394
2,086,235
4,249,629
29,208,039
11,889,013
24,103,180
$
Increase
(Decrease)
(5,870,248)
8,830,881
2,960,633
462,748
(116,603)
346,145
8,830,881
(3,443,082)
(2,773,311)
Total net position $ 67,814,720 $ 65,200,232 $ =.,;;2~,6;,:1~4,~48:;;8~
6
City of Temple City
Management's Discussion and Analysis
June 30, 2013
Statement of Activities. Governmental activities increased the City's net position by $2.6 million for
fiscal year 2012-2013. The total revenue for the fiscal year is $18.7 million, which is an increase of
$2.4 million from the prior year. The total expenses increased by $764 thousand to $16.1 million
from the prior year total of $15.3 million. The following table presents the comparative revenue and
expenditure data for fiscal years ended June 30, 2013 and 2012.
City of Temple City
Condensed Statement of Changes in Net Position
Increase
2013 2012 (Decrease)
Revenues
Program revenues
Charges for services $ 3,914,981 $ 2,829,927 $ 1,085,054
Operating contributions and grants 6,158,717 4,196,009 1,962,708
General revenues
Taxes 4,924,493 4,581,976 342,517
Intergovernmental 3,317,759 3,208,513 109,246
Investment income 132,565 378,269 (245,704)
Other revenue 262,068 1,071,678 (809,61 0)
Total revenues 18,710,583 16,266,372 2,444,211
Expenditures
General government 3,769,018 3,281 '194 487,824
Community development 1,692,614 1,562,859 129,755
Public safety 5,122,868 4,818,217 304,651
Public works 2,520,925 2,162,481 358,444
Community services 2,990,670 3,357,423 (366,753)
Interest on long-term debt 149,503 (149,503)
Total expenditures 16,096,095 15,331,677 764,418
Extraordinary item 3,744,062 (3,744,062)
Increase in net position 2,614,488 4,678,757 (2,064,269)
Net position, beginning of year 65,200,232 60,521,475 4,678,757
Net position, end of year $ 67,814,720 $ 65,200,232 $ 2,614,488
Key elements of the significant revenues in fiscal year 2012-2013 are as follows:
• Taxes are comprised of sales tax, propenty tax, franchise and transient occupancy taxes.
Total taxes increased primarily because of a significant increase in propenty taxes.
• Operating contribution and grant revenues which increased during the year pertain to grants
and funds received from federal agencies, the state and other local governmental agencies.
During the year, the City received substantial grant from a federal agency to partially fund the
improvements of Rosemead Boulevard.
7
City of Temple City
Management's Discussion and Analysis
June 30, 2013
• Other revenue decreased significantly because of certain one-time revenues generated
during the fiscal year 2011-2012.
Revenues by Source-Governmental Activities
Intergovernmental
18%
Investment income
1%
Other revenue
1%
'--<Che<cees for services
21%
Operating
Contributions and
Grants
33%
The following chart represents the cost of each of the City's operations -general government,
community development, public safety, public works, community services, and interest on long-term
debt
Community services
19%
8
'-Cen.ece<l government
23%
32%
Community
development
10%
City of Temple City
Management's Discussion and Analysis
June 30, 2013
Expenses of the governmental activities totaled $16.1 million, which is an increase of $764 thousand
or 5% from the prior year. Most expenses of the various governmental activities increased during
the year, which include general government ($488 thousand), community development ($130
thousand), public safety ($305 thousand), and public works ($358 thousand). Community services
decreased during the year ($367 thousand) along with interest on long-term debt ($150 thousand)
because of the transfer of the former redevelopment agency indebtedness to fiduciary funds.
Financial Analysis of the City's Funds
The City uses fund accounting to ensure and demonstrate compliance with finance related legal
requirements. This section provides an analysis and discussion of individual and fund types
presented in the fund financial statements.
Governmental Funds. The City of Temple City's governmental funds reported a combined fund
balance of $29.9 million at the end of the fiscal year. The capital improvement fund, as a result of the
Rosemead Boulevard Safety and Beautification Enhancement Project, is now major fund with
significant contributions and is reported Governmental fund balance.
The General Fund's fund balance decreased by $2.6 million during the FY 2012-2013. This is
primarily a result of the funding of the OPEB Trust Fund of $1.0 million, the purchase of 5800
Temple City Boulevard property of $1.0 million, and other capital projects. The General Fund
expenditures of $13.1 exceeded General Fund revenues of $11.5 million which provided for a
deficiency of revenues over expenditures of $1.6 million. Further, after the net transfers out,
primarily for capital projects, the General Fund realized a decrease in fund balance of $2.6 million.
Primary revenue sources for this fund are sales tax, property tax and motor vehicle in lieu. The
General Fund is responsible for general services of the City. This includes public safety, public
works, community development, community services and administration. The largest expenditure is
for public safety, which was $5.1 million for fiscal year 2012-2013.
The Community Development Block Grant (CDBG) fund began and ended the fiscal year with a zero
Fund Balance. This is a result of this grant being a 100% reimbursable of actual expenditures. As a
result, a Fund Balance does not accumulate.
Proprietary Funds. As noted earlier, net position may serve over time as a useful indicator of a
government's financial position. In the case of the Proprietary Fund, assets exceeded liabilities by
$550 thousand. This Fund accounts for insurance premium transactions. Since this fund has been
declining without a dedicated revenue stream, management will be evaluating this fund's activities
during the FY 2013-14 City Budget process.
General Fund Financial and Budgetary Highlights
The General Fund is the chief operating fund of the City. The fund balance reported a decrease of
$2.6 million at June 30, 2013 This is primarily a result of the funding of the OPEB Trust Fund of
$1.0 million, the purchase of 5800 Temple City Boulevard property of $1.0 million, and other capital
projects. As a measure of the General Fund's liquidity, it may be useful to compare both unassigned
fund balance and total fund balance to total fund expenditures. Unassigned fund balance represents
13.5% of total General Fund expenditures, while total fund balance represents 163.6% of that same
amount.
9
City of Temple City
Management's Discussion and Analysis
June 30, 2013
Revenues: Actual revenue received was lower than the final budget by $173 thousand. The City
incurred an operational deficiency in the General Fund in FY 2012-13 of $1.6 million.
Expenditures: Actual expenditures were lower than the final budget by $648 thousand largely due to
lower actual benefit costs and savings in operations.
Capital Assets and Debt Administration
Capital Assets. As shown in the following table, as of June 30, 2013, the City of Temple City had
$38 million invested in capital assets, including land, buildings, improvements, furniture and
equipment, vehicles and infrastructure. See Note 7 for additional information.
Capital Assets at Year-End
Governmental
Activities
Land and land rights $ 13,574,306
Construction in progress 10,630,364
Buildings and improvements 12,654,396
Furniture and equipment 1,633,128
Vehicles 1,277,161
Infrastructure 12,849,620
Sub total 52,618,975
Less depreciation (14,580,055)
Net total, capital assets $ 38,038,920
Long-term Debt. In December 1993, the Temple City Financing Authority (Authority) issued
$1,400,000 of Serial Bonds and two issues of Term Bonds totaling $3,245,000 for a total amount of
$4,645,000. In September 2005, the Temple City Financing Authority issued $5,780,000 of Serial
Bonds and $2,220,000 of Term Bonds to be paid from tax increment revenues. The Authority issued
the 2005 Refunding Revenue Bonds to refund 1993 loan and made a new loan to the Agency. With
the dissolution of the Temple City Community Redevelopment Agency and the Temple City
Financing Authority, the long-term debt was transferred to the Private-Purpose Trust (see Note 15).
The outstanding principal amount on the bonds of $5,950,000 is no longer considered an obligation
of the City.
Other Long-term liabilities. Other long-term liabilities of the City are comprised of compensated
absences and net OPEB obligation. The net OPEB obligation pertains to unfunded annual required
contribution accrued as of June 30, 2013.
10
City of Temple City
Management's Discussion and Analysis
June 30, 2013
Outstanding Debt
Net OPEB obligation
Compensated absences
Total
Contacting the City's Financial Management
$
Governmental
Activities
1,772,297
219,261
$ ~_;1~, 9~9,;,1 •;;;55;;;8~
This financial report is designed to provide our citizens, taxpayers, customers, investors and
creditors with a general overview of the City's finances and to show the City's accountability for the
money it receives. If you have any questions about this report or need additional financial
information, contact the Administrative Services Department, at the City of Temple City, 9701 Las
Tunas Drive, Temple City, CA. 91780, (626) 285-2171.
11
GOVERNMENT -WIDE
FINANCIAL STATEMENTS
(This page intentionally left blank.)
Cash and investments
Accounts receivable
Interest receivable
ASSETS
Due from Fiduciary Funds
Due from government agencies
Prepaid items
Loans receivable
Other investments
Capital assets:
Capital assets, not being depreciated
Capital assets, being depreciated,
net of accumulated depreciation
DEFERRED OUTFLOWS OF RESOURCES
Accounts payable
Accrued payroll
Refundable deposits
Unearned revenue
Long-term liabilities:
LIABILITIES
Portion due within one year:
Compensated absences
Portion due beyond one year:
Compensated absences
Net OPEB obligation
Total assets
City of Temple City
Statement of Net Position
June 30, 2013
$
Governmental
Activities
29,485,743
198,673
8,487
8,731
2,315,172
12,795
1,344,584
997,389
24,204,670
13,834,250
72,410,494
2,397,485
121,774
75,957
9,000
21,926
197,335
1,772,297
Total liabilities 4,595,774
DEFERRED INFLOWS OF RESOURCES
NET POSITION
Net investment in capital assets
Restricted for:
Special purposes
Unrestricted
38,038,920
8,445,931
21,329,869
Tot a I net p osition $ ~-6;;.7:..·;;.81;.,4;,!,, 7;.;2;,;0;,.
See notes to financial statements.
12
Governmental Activities:
General government $
Community development
Public safety
Public works
Community services
Total governmental activities $
Program Revenues
Charges
for
Expenses Services
3,769,018 $ 1 '128,428 $
1,692,614
5,122,868
2,520,925
2,990,670
16,096,095 $
General revenues
Taxes:
Property taxes
Sales taxes
1,315,893
588,380
314,631
567,649
3,914,98L $
Transient occupancy taxes
Franchise taxes
Other taxes
Investment income
State motor vehicle in lieu
State revenue-other
Other revenue
Total general revenues
Change in net position
Net position-beginning
Net position -ending
Operating
Contributions
and Grants
856,693
100,135
5,128,889
73,000
6,158,717
See notes to financial statements.
13
$
City of Temple City
Statement of Activities
Year ended June 30, 2013
Net
Governmental
Activities
(2,640,590)
479,972
(4,434,353)
2,922,595
(2,350,021)
(6,022,397)
2,474,978
1,711,128
28,898
550,527
158,962
132,565
3,310,180
7,579
262,068
8,636,885
2,614,488
65,200,232
$ 67,814,720
FUND FINANCIAL STATEMENTS
Governmental Fund Financial Statements
Proprietary Fund Financial Statements
Fiduciary Fund Financial Statements
(This page intentionally left blank.)
GOVERNMENTAL FUND
FINANCIAL STATEMENTS
(This page intentionally left blank)
Major Governmental Funds
General Fund
City of Temple City
Description of Major Funds
June 30, 2013
The General Fund has been classified as a major fund and is used to account for all of the general
revenues of the City not specifically levied or collected for some special purpose, and for the
expenditures related to the rendering of general services by the City. The General Fund is used to
account for all resources not required to be accounted for in another fund.
Special Revenue Fund
The CDBG Special Revenue Fund met the criteria to be classified as a major fund and is used to
account for resources in managing the different programs under the Community Development Block
Grant funded by the U.S. Department of Housing and Urban Development.
Capital Improvement Fund
The Capital Improvement Fund is used to account for funds received from the various special
revenue funds to finance various capital improvements and projects.
Nonmaior Governmental Funds
Nonmajor governmental funds include the Special Revenue Funds and the Permanent Fund. Since
total assets, liabilities, revenues or expenditures of these funds do not exceed 10% of total
governmental funds, they do not meet the criteria to be classified as major funds.
14
Capital
Projects
Special City-Wide
General Revenue Capital
Fund CDBG lm~rovements
ASSETS AND DEFERRED OUTFLOWS
OF RESOURCES
Assets
Cash and investments $ 20,374,918 $ $ 1,033,097 $
Accounts receivable 198,673
Interest receivable 8,354
Due from other funds 1 ,796,212
Due from Fiduciary Funds 8,731
Due from other governments 377,082 179,262
Prepaid items 12,795
Loans receivable 424,050 920,534
Other investments
Advances to Successor Agency 2,236,825
Total assets 25,437,640 1,099,796 1,033,097
Deferred outflows of resources
Total deferred outflows of resources
Total assets and deferred outflows of resources $ 25,437,640 $ 1,099,796 $ 1,033,097 $
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ 1 '142,972 $ $ 1,033,097 $
Accrued payroll 121,774
Due to other funds 179,262
Refundable deposits 75,957
Unearned revenue 9,000
Total liabilities 1,349,703 179,262 1,033,097
Deferred inflows of resources
Unavailable revenue 2 660 875 920,534
Total deferred inflows of resources 2,660,875 920,534
Fund balances
Nonspendable 12,795
Restricted
Committed 4,500,000
Assigned 15,150,000
Unassigned 1,764,267
Total fund balances 21,427,062
Total liabilities, deferred inflows of
resources and fund balances $ 25,437,640 $ 1,099,796 $ 1 ,033,097 $
See notes to financial statements.
15
City of Temple City
Governmental Funds
Balance Sheet
June 30, 2013
Non-Major
Governmental
Funds Total
7,527,798 $ 28,935,813
198,673
133 8,487
1,796,212
8,731
1,758,828 2,315,172
12,795
1,344,584
997,389 997,389
2,236,825
10,284,148 37,854,681
10,284,148 $ 37,854,681
221,417 $ 2,397,486
121,774
1,616,950 1,796,212
75,957
9,000
1,838,367 4,400,429
3,581,409
3,581,409
12,795
8,445,931 8,445,931
4,500,000
15,150,000
(150} 1,764,117
8,445,781 29,872,843
10,284148 $ 37,854,681
City of Temple City
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Position
June 30, 2013
Fund balance of governmental funds
Amounts reported for governmental activities in the statement of net
position are different because:
Capital assets net of depreciation vvere not included as financial resources
in governmental fund activity.
Cost of capital assets, not being depreciated
Cost of capital assets, being depreciated
Accumulated depreciation
Long-term liabilities applicable to the City's governmental activities are
not due and payable in the current period and, accordingly, are not
reported as governmental fund liabilities. All liabilities (both current and
long-term) are reported in the Statement of Net Position.
Compensated absences
Net OPEB liability
Allowance for doubtful accounts that is not reported in the governmental fund
financial statements.
Certain revenues in the governmental funds are unavailable because they
are not collected within the prescribed time period after year-end. Those
revenues are recognized on the accrual basis in the government-VI/ide
statements.
The internal Service Fund is used by management to charge the costs of
self insurance activities to individual funds. The cash and investments of
the Internal Service Fund are included in governmental activities in the
Statement of Net Position because it primarily service governmental
activities of the City.
Net position of governmental activities
See notes to financial statements.
16
$ 29,872,843
24,204,670
28,414,305
(14,580,055)
(219,261)
(1 ,772,297)
(2,236,825)
3,581,409
549,931
$ ~='6~7g,8;,;,14,;,.•,;,.72;;;0;..
(This page intentionally left blank.)
City of Temple City
Governmental Funds
Statement of Revenues, Expenditures, and Changes in Fund Balances
Year ended June 30, 2013
Capital
Projects
Special City-Wide
General Revenue Capital
Fund CDBG lm~rovements
Revenues
Taxes $ 4,924,493 $ $
Licenses and permits 1,335,720
Intergovernmental 3,310,160 555,133
Charges for services 957,437
Contribution
Fines 521,440
Investment income 132,565
Rental income 53,369
Low income grant and loan repayments 65,359
Other 269,647
Total revenues 11,504,851 640,492
Expenditures
Current:
General government 3,646,831
Community development 1,536,360 99,483
Public safety 5,103,605
Public works 659,242
Community services 2,022,651
Capital outlay 130,171 9,269,731
Total expenditures 13,099,260 99,463 9,269,731
Excess (deficiency) of revenues
over expenditures 11 ,594,409) 541,009 (9,269,731)
Other financing sources (uses)
Transfers in 460,164 9,269,731
Transfers out 11 ,492,773) 1541 ,009)
Net other financing sources (uses) 11 ,032,609) 1541 ,009) 9,269,731
Net change in fund balance (2,627,01 B)
Fund balance, beginning of year 24,054,060
Fund balance, end of year $ 21 ,427,062 $ $
See notes to financial statements.
17
Non-Major
Governmental
Funds Total
$ 1,144,442 $ 6,066,935
1,335,720
4,092,277 7,957,590
245,848 1,203,285
1 ,000,000 1,000,000
47,113 566,553
35,050 167,615
53,369
65,359
510 270,157
6,565,240 18,710,583
1,536 3,648,367
1,635,643
5,103,605
1,546,706 2,207,950
762,115 2,784,966
9,399,902
2,312,359 24,760,633
4,252,661 16,070,250)
306,931 10,036,626
16,005,044) (10,038,826)
17,696,113)
(3,443,232) (6,070,250)
11,669,013 35,943,093
$ 6,445,761 $ 29,672,643
City of Temple City
Governmental Funds
Reconciliation of the Statement of Revenues, Expenditures, and
Changes in Fund Balances of Governmental Funds to the Statement of Activities
Year ended June 30, 2013
Net change in Fund Balances-total governmental funds
Amounts reported for governmental activities in
the Statement of Activities are different because:
When capital assets that are to be used in governmental activities are
purchased or constructed, the resources expended for those assets
are reported as expenditures in governmental funds. However, in the
Statement of Activities, the cost of those assets is allocated over their
estimated useful lives and reported as depreciation expense. As a result,
fund balance decreases by the amount of financial resources expended,
whereas net position decreased by the amount of depreciation expenses
charged for the year.
Capital outlay
Depreciation expense
Change in allowance for doubtful accounts that is not reflected in
governmental funds financial statements
Expenses in the Statement of Activities are increased by the City's actuarially
determined annual required contribution for its other postemployment
benefits whereas the governmental funds only report the actual cash
payments the City made for insurance premiums on behalf of retirees and
their eligible family members.
Other post employment benefits
Compensated absences expense reported in the Statement of Activities
do not require the use of current financial resources and, therefore, are
not reported as expenditures in governmental funds.
Certain revenues in the governmental funds are recognized as revenues
when collected. These revenues are recognized when earned in the
government-wide financial statements.
The Internal Service Fund is used by management to charge the costs of
self insurance activities to individual funds. The adjustments for the
Internal Service Fund "close" the fund by charging additional amounts to
participating governmental activities to completely cover the Internal
Service Fund's costs for the year.
Change in net position of governmental activities
See notes to financial statements.
18
$ (6,070,250)
9,399,902
(569,021)
(119,999)
79,326
41 ,412
(114,382)
(32,500)
$ 2,614,488
PROPRIETARY FUND
FINANCIAL STATEMENTS
(This page intentionally left blank.)
Internal Service Fund
Self Insurance Fund
City of Temple City
Description of Proprietary Fund
Year ended June 30, 2013
To account for goods and services relating to insurance premiums provided by one department to
other departments on a cost reimbursement basis.
See notes to financial statements.
19
ASSETS
Cash and investments
Total assets
LIABILITIES
Accounts payable
Total liabilities
NET POSITION
Unrestricted
Total net position
See notes to financial statements.
20
City of Temple City
Statement of Net Position
Proprietary Fund
June 30, 2013
Self Insurance
Internal
Service Fund
$ 549,931
549,931
549,931
$ 549,931
City of Temple City
Statement of Revenues, Expenses, and Changes in Net Position
Proprietary Fund
Year ended June 30, 2013
Operating revenues:
Intergovernmental
Other (write-off of old liabilities)
Total operating revenues
Operating expenses:
Insurance premiums
Total operating expenses
Change in net position
Net position at beginning of year
Net position at end of year
See notes to financial statements.
21
Self Insurance
Internal
Service Fund
$ 47,175
118,133
165,308
197,808
197,808
(32,500)
582,431
$ 549,931
Cash flows from operating activities:
Cash payments to suppliers for goods and services
Cash received for operating activities
Net cash provided by used in operating activities
Change in cash and cash equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year
Reconciliation of ope rating loss to net cash used in
operating activities:
Operating loss
Adjustments to reconcile operating loss to net
cash used in operating activities:
Decrease in accounts payable
Net cash provided by used in operating activities
See notes to financial statements.
22
City of Temple City
Statement of Cash Flows
Proprietary Fund
Year ended June 30, 2013
$
Self Insurance
Internal
Service Fund
(197 ,808)
47,175
(150,633)
( 150,633)
700,564
$ ==::::;5:;;4 9~·,;;;93:;;1~
$ (32,500)
(118,133)
$ ==~(1~5,;;,0,~63;;.;3;£.)
FIDUCIARY FUNDS
FINANCIAL STATEMENTS
(This page intentionally left blank.)
Agency Fund
City of Temple City
Description of Fiduciary Funds
Year ended June 30, 2013
To account for maintenance fees held by the City as an agent for the Successor Agency. This fund
was an agency fund of the former redevelopment agency.
Successor Agency Private-purpose Trust Fund
To account for the resources held and administered by the City of Temple City in a fiduciary capacity
acting as the Successor Agency to the former Temple City Redevelopment Agency.
See notes to financial statements
23
ASSETS
Cash and investments $
Cash with fiscal agent
Accounts receivable
Total assets
LIABILITIES
Accounts payable
Interest payable
Due to City of Temple City
Advances from the City of Temple City
Refunding Revenue Bonds, Series 2005
Total liabilities
FIDUCIARY NET POSITION (DEFICIT)
Net position (deficit) $
City of Temple City
Statement of Fiduciary Net Position
June 30, 2013
Successor Agency
Private-purpose Agency
Trust Fund
1,630,707 $
627,225
3,140 15,148
2,261,072 $ 15,148
11,909 $ 6,807
92,775
390 8,341
3,703,805
5,950,000
9,758,879 $ 15,148
(7 ,497,807)
See notes to financial statements
24
City of Temple City
Statement of Changes in Fiduciary Net Position
Successor Agency to the Former Temple City Community Redevelopment Agency
Private-Purpose Trust Fund
Year ended June 30, 2013
Revenues:
Tax increment
Total revenues
Expenses:
Administration
Professional fees
Pass-through fees
Debt service:
Interest expense
Total expenses
Change in net position
Fiduciary net position at beginning of year
Fiduciary net position at end of year
See notes to financial statements
25
$ 494 160
494,160
43,099
17,922
10,271
281 075
352 367
141,793
(7,639,600)
$ (7,497,807)
(This page intentionally left blank.)
NOTES TO
FINANCIAL STATEMENTS
(This page intentionally left blank.)
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Description of the Reporting Entity
The City of Temple City was incorporated on May 25, 1960 under the general laws
of the State of California. On April 16, 1971 the City adopted resolution number 71-
1084 declaring itself a charter city. The City operates under the Council -Manager
form of government.
The City provides the following services as authorized by its general laws: Public
Safety, Highways and Streets, Health and Sanitation, Cultural and Park Facilities,
Public Improvements, Planning, Recreation and General Administrative Services.
The accounting policies of the City conform to generally accepted accounting
principles as applicable to governments. As required by generally accepted
accounting principles, these financial statements present the government and its
component units, entities for which the government is considered to be financially
accountable. The City is considered to be financially accountable for an
organization if the City appoints a voting majority of that organization's governing
body and the City is able to impose its will on that organization or there is a
potential for that organization to provide specific financial benefits to or impose
specific financial burdens on the City. The City is also considered to be financially
accountable if an organization is fiscally dependent (i.e., it is unable to adopt its
budget, levy taxes, set rates or charges, or issue bonded debt without approval
frorn the City). In certain cases, other organizations are included as component
units if the name and significance of their relationship with the City are such that
their exclusion would cause the City's financial statements to be misleading or
incomplete.
All of the City's component units are considered to be blended component units.
Blended component units, although legally separate entities, are, in substance,
part of the government's operations and so data from these units are reported with
the interfund data of the primary government. The following organization is
considered to be a component unit of the City:
City of Temple City Housing Authority
The Temple City Housing Authority (Housing Authority) was established on
November 1, 2005, pursuant to the State of California Health and Safety Code
34200 entitled, "Housing Authority Law." The purpose of the Housing Authority of
Temple City is to provide safe and sanitary dwelling accommodations to persons of
low income in the City. Even though it is legally separated, it is reported as if it is
part of the City because the City Council also serves as the governing board of the
Housing Authority. No separate financial statements are issued for the Housing
Authority.
26
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Implementation of New Accounting Pronouncements
During the fiscal year ended June 30, 2013, the City adopted the following
Governmental Accounting Standards Board (GASB) statements which impacted
the City's financial statements:
• GASB Statement No. 61, The Financial Reporting Entity: Omnibus -an
amendment of GASB statement nos. 34 and 14. This statement modifies
certain requirements for inclusion of component units in the financial
reporting entity. The City determined that the City and the component units
blended with the City's financial statements comply with the new
requirements noted in the amendments.
• GASB Statement No. 63, Financial Reporting of Deferred Outflows of
Resources, Deferred Inflows of Resources, and Net Position. This
Statement amends the net asset reporting requirements in GASB
Statement No. 34 by incorporating deferred outflows of resources and
deferred inflows of resources into the definitions of the required
components of the residual measure and by renaming that measure as net
position, rather than net assets.
• GASB Statement No. 65 Items Previously Reported as Assets and
Liabilities. The statement establishes accounting and financial reporting
standards that reclassify, as deferred outflows of resources or deferred
inflows of resources, certain items that were previously reported as assets
and liabilities and recognizes, as outflows of resources or infiows of
resources, certain items that were previously reported as assets and
liabilities.
Basis of Accounting and Measurement Focus
The basic financial statements of the City are composed of the following:
• Government-wide financial statements
• Fund financial statements
• Notes to basic financial statements
Government-wide Financial Statements
Government-wide financial statements display information about the reporting
government as a whole, except for its fiduciary activities. These statements include
separate columns for the governmental and business-type activities of the primary
government (including its blended component units), as well as its discretely
presented component units. The City of Temple City has no business-type
activities or discretely presented component units. Eliminations have been made in
the Statement of Activities so that certain allocated expenses are recorded only
once (by the function to which they were allocated). However, general government
expenses have not been allocated as indirect expenses to the various functions of
the City.
27
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Government-wide financial statements are presented using the economic
resources measurement focus and the accrual basis of accounting. Under the
economic resources measurement focus, all (both current and long-term)
economic resources and obligations of the reporting government are reported in
the government-wide financial statements. Basis of accounting refers to when
revenues and expenditures are recognized in the accounts and reported in the
financial statements. Under the accrual basis of accounting, revenues, expenses,
gains, losses, assets, and liabilities resulting from exchange and exchange-like
transactions are recognized when the exchange takes place. Revenues, expenses,
gains, losses, assets, and liabilities resulting from nonexchange transaction are
recognized in accordance with the requirements of GASB Statement No. 33.
Program revenues include charges for services, operating contributions and
grants, and payments made by parties outside of the reporting government's
citizenry if that money is restricted to a particular program. Program revenues are
netted with program expenses in the statement of activities to present the net cost
of each program.
Amounts paid to acquire capital assets are capitalized as assets in the
government-wide financial statements, rather than reported as expenditure.
Proceeds of long-term debt are recorded as a liability in the government-wide
financial statements, rather than as other financing source. Amounts paid to
reduce long-term indebtedness of the reporting government are reported as a
reduction of the related liability, rather than as expenditure.
Fund Financial Statements
The underlying accounting system of the City is organized and operated on the
basis of separate funds, each of which is considered to be a separate accounting
entity. The operations of each fund are accounted for with a separate set of self-
balancing accounts that comprise its assets, liabilities, fund equity, revenues and
expenditures or expenses, as appropriate. Governmental resources are allocated
to and accounted for in individual funds based upon the purposes for which they
are to be spent and the means by which spending activities are controlled.
Fund financial statements for the primary government's governmental, proprietary
and fiduciary funds are presented after the government-wide financial statements.
These statements display information about major funds individually and nonmajor
funds in the aggregate for governmental funds. Fiduciary statements include
financial information for fiduciary funds and similar component units. The Fiduciary
Fund of the City primarily represents assets held by the City in a custodial capacity
for other individuals or organizations.
28
NOTE1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Governmental Funds
In the fund financial statements, governmental funds and agency funds are
presented using the modified-accrual basis of accounting. The revenues are
recognized when they become measurable and available as net current assets.
Measurable means that the amounts can be estimated, or otherwise determined.
Available means that the amounts were collected during the reporting period or
soon enough thereafter to be available to finance the expenditures accrued for the
reporting period. The City generally considers revenues available if they are
collected within ninety days after the fiscal year-end. Significant revenues subject
to accrual under the measurable and available criteria include property taxes, sales
taxes and motor vehicle in-lieu.
Revenue recognition is subject to the measurable and availability criteria for the
governmental funds in the fund financial statements. Exchange transactions are
recognized as revenues in the period in which they are earned (i.e., the related
goods or services are provided). Locally imposed derived tax revenues are
recognized as revenues in the period in which the underlying exchange transaction
upon which they are based takes place. Imposed non-exchange transactions are
recognized as revenues in the period for which they were imposed. If the period of
use is not specified, they are recognized as revenues when an enforceable legal
claim to the revenues arises or when they are received, whichever occurs first.
Government-mandated and voluntary non-exchange transactions are recognized
as revenues when all applicable eligibility requirements have been met.
In the fund financial statements, governmental funds are presented using the
current financial resources measurement focus. This means that only current
assets and current liabilities are generally included on their balance sheets. The
reported fund balance (net current assets) is considered to be a measure of
"available spendable resources." Governmental fund operating statements present
increases (revenues and other financing sources) and decreases (expenditures
and other financing uses) in net current assets. Accordingly, they are said to
present a summary of sources and uses of "available spendable resources" during
a period.
Noncurrent portions of long-term receivables due to governmental funds are
reported on their balance sheets in spite of their spending measurement focus.
Special reporting treatments are used to indicate, however, that they should not be
considered "available spendable resources," since they do not represent net
current assets. Recognition of governmental fund type revenues represented by
noncurrent receivables are deferred until they become current receivables.
Because of their spending measurement focus, expenditure recognition for
governmental fund types excludes amounts represented by noncurrent liabilities.
Since they do not affect net current assets, such long-term amounts are not
recognized as governmental fund type expenditures or fund liabilities.
29
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Amounts expended to acquire capital assets are recorded as expenditures in the
year that resources were expended, rather than as fund assets. The proceeds of
long-term debt are recorded as other financing source rather than as a fund
liability. Amounts paid to reduce long-term indebtedness are reported as fund
expenditures.
When both restricted and unrestricted resources are combined in a fund, expenses
are considered to be paid first from restricted resources, and then from unrestricted
resources.
Proprietary Funds
The City's Internal Service Fund is a proprietary fund. In the fund financial
statements, proprietary funds are presented using the accrual basis of accounting.
Revenues are recognized when they are earned and expenses are recognized
when the related goods or services are delivered. In the fund financial statements,
proprietary funds are presented using the economic resources measurement
focus. This means that all assets and all liabilities (whether current or noncurrent)
associated with their activity are included on their balance sheets. Proprietary fund
type operating statements present increases (revenues) and decreases
(expenses) in total net position.
Proprietary funds distinguish operating revenues and expenses from nonoperating
items. Operating revenues and expenses result from providing goods and services
related to the funds' ongoing operations. The principal operating revenue of the
City's Internal Service Fund is reimbursements relating to self-insurance.
Operating expenses include the cost of insurance premiums relating to the
services provided. All revenues and expenses not meeting this definition are
reported as nonoperating revenues and expenses.
Amounts paid to acquire capital assets are capitalized as assets in the internal
service fund financial statements, rather than reported as an expenditure.
Proceeds of long-term debt are recorded as a liability in the internal service fund
financial statements, rather than as other financing source. Amounts paid to
reduce long-term indebtedness of the internal service fund are reported as a
reduction of the related liability, rather than as an expenditure.
Fund Types
The basic accounting and reporting entity is a "fund." A fund is defined as an
independent fiscal and accounting entity with a self-balancing set of accounts,
recording resources, related liabilities, obligations, reserves and equities
segregated for the purpose of carrying out specific activities or attaining certain
objectives in accordance with special regulations, restrictions or limitations.
30
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
The accounting records of the City are organized on the basis of the various fund
types as follows:
GOVERNMENTAL FUND TYPES
General Fund
The General Fund is the general operating fund of the City. All general tax
revenues and other receipts that are not allocated by law or contractual agreement
to some other fund are accounted for in this fund. Expenditures of this fund include
the general operating expenses and capital improvement costs which are not paid
through other funds.
Special Revenue Funds
The Special Revenue Funds are used to account for proceeds of specific revenue
sources that are restricted by law or administrative action for specific purposes.
Debt Service Fund
The Debt Service Fund is used to account for resources set aside for repayment of
long-term debt.
Capital Projects Funds
Capital Projects Funds are used to account for financial resources to be used for
the acquisition, construction or improvement of major capital facilities and
infrastructure.
Permanent Fund
The Permanent Fund is used to account for financial resources that are legally
restricted to the extent that only earnings, and not principal, may be used to
support the City or its citizenry.
The City reports the following major governmental funds:
• General Fund -To account for all of the general revenues of the City not
specifically levied or collected for some special purpose, and for the
expenditures related to the rendering of general services by the City.
• CDBG -To account for resources from the United States Department of
Housing and Urban Development for various programs.
• Capital Improvement Fund -To account for funds received from various
special revenue funds to finance capital improvements and projects.
31
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
PROPRIETARY FUND TYPE:
Internal Service Fund
The Internal Service Fund is used to account for goods and services provided by
one department to other departments on a cost reimbursement basis. The City's
Internal Service Fund is the Self-Insurance Fund.
FIDUCIARY FUND TYPE
Agency Fund
The Agency Fund is used to account for assets that the City holds for others in an
agency capacity. The Fund is custodial in nature (assets equal liabilities) and does
not involve measurement of results of operations. This fund was an agency fund of
the former Redevelopment Agency.
Successor Agency Private-purpose Trust Fund
This fund is used to report the assets, liabilities and activities of the Successor
Agency to the Dissolved Temple City Community Redevelopment Agency. Unlike
the limited reporting typically utilized for Agency Fund, Private-Purpose Trust Fund
reports a Statement of Fiduciary Net Position and a Statement of Changes in
Fiduciary Net Position.
Reclassification and Eliminations
lnterfund balances must generally be eliminated in the government-wide financial
statements, except for net residual amounts due between governmental activities.
Amounts involving fiduciary funds are reported as external transactions. Any
allocations must reduce the expenses of the function from which the expenses are
being allocated, so that expenses are reported only once -in the function in which
they are allocated.
Loans Receivable
Certain loans receivable are not expected to be collected within one year. These
loans receivable are offset by deferred or unavailable revenue on the balance
sheet of governmental funds.
Cash and Investments
Investments are reported in the accompanying balance sheet at fair value, except
for certain certificates of deposit that are reported at cost because they are not
transferable and they have terms that are not affected by changes in market
interest rates.
32
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Changes in fair value that occur during a fiscal year are recognized as investment
income reported for that fiscal year. Investment income includes interest earnings,
changes in fair value, and any gains or losses realized upon the liquidation or sale
of investments.
The City pools cash and investments of all funds, except for assets held by fiscal
agents. Each fund's share in this pool is displayed in the accompanying financial
statements as cash and investments. Investment income earned by the pooled
investments is allocated to the various funds based on each fund's average cash
and investment balance, except for interest income (associated with funds not
legally required to receive pooled investment income) that has been assigned to
and recorded as revenue of the general fund, as provided by California
Government Code Section 53647.
Cash Equivalents
For purposes of the statement of cash flows, cash equivalents are defined as
short-term, highly liquid investments that are both readily convertible to known
amounts of cash or so near their maturity that they do not present significant risk of
changes in value because of changes in interest rates. Cash equivalents also
represent the proprietary funds' share in the cash and investment pool of the City
of Temple City. Cash equivalents in the Permanent Fund include the fund's share
in the cash and investments pool of the City of Temple City and a certificate of
deposit
Employee Leave Benefits
Vacation time begins to accumulate as of the first day of employment to a
maximum of 240 hours. Sick leave accumulates at the rate of 8 hours per month
without limit Employees are not entitled to compensation for accrued sick time
upon separation from the City.
Claims and Judgments
The City records a liability for material litigation, judgments, and claims (including
incurred but not reported losses) when it is probable that an asset has been
impaired or a material liability has been incurred prior to year end and the probable
amount of loss (net of any insurance coverage) can be reasonably estimated.
Capital assets (including infrastructure) are valued at cost where historical records
are available and at an estimated historical cost where no historical records exist
Donated capital assets are valued at their estimated fair value on the date
received. Public domain (infrastructure) capital assets consist of streets, bridges,
traffic signals, street lights, bus shelters and sewers. Generally, the City capitalizes
capital asset purchases in excess of $500 for general capital assets, $50,000 for
sewers (infrastructure) and $10,000 for all other infrastructure.
33
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Capital assets used in operations are depreciated over their estimated useful lives
using the straight-line method in the government-wide financial statements.
Provision for depreciation is charged as an expense against operations and
accumulated depreciation is reported on the statement of net assets. The ranges
of lives used for depreciation purposes for each capital asset class are as follows:
Buildings and improvements
Furniture and equipment
Vehicles
40 years
5-7 years
5 years
Infrastructure:
Streets
Bridges
Traffic signals
Property Tax Calendar
50-80 years
50 years
20 years
The County of Los Angeles assesses, levies, and collects property taxes for the
City. Property taxes levied for the year ended June 30, 2013 were due and payable
in two installments on November 1 and February I and became delinquent on
December 10 and April 10, respectively. At the date of incorporation, the City
elected to be a no/low property tax city as an incentive for current and prospective
residents to reside in the City.
The property tax calendar is as follows:
Lien Date:
Levy Date:
Due Date:
Delinquent Date:
March 1
July 1
First Installment-November 1
Second Installment-February 1
First Installment-December 10
Second Installment-April 10
Taxes are collected by Los Angeles County and are remitted to the City
periodically. Dates and percentages are as follows:
December 10
January 16
April 10
May 15
July 31
Use of Estimates
30% Advance
Collection No. 1
10% Advance
Collection No. 2
Collection No. 3
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements, and the
reported amounts of revenues and expenses, during the reporting period. Actual
results could differ from those estimates.
34
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Fund Balances
Government Accounting Standards Board (GASB) Statement No. 54, Fund
Balance Reporting and Government Fund-type Definitions, defines fund balance
as the difference between the assets and liabilities reported in the City's
governmental funds. There are generally limitations on the purpose for which all
or a portion of the resources of a governmental fund may be used. The force
behind these limitations can vary significantly, depending upon their source.
Consequently, the fund balance reported in the annual financial statements is
categorized into five components whereby each component identifies the extent to
which the City is bound to honor constraints on the specific purposes for which
amounts in the fund can be spent. The five components of fund balance are as
follows:
• Nons pend able: Resources that are 1) not in spendable form, such as
inventories, prepayments, long-term receivables, or non-financial assets held
for resale, or 2) required to be maintained intact such as an endowment.
• Restricted: Resources that are subject to externally enforceable legal
restrictions; these restrictions would be either 1) externally imposed by
creditors (such as through debt covenants), grantors, contributors, or laws or
regulations of other governments or 2) imposed by law through constitutional
provisions or enabling legislation.
• Committed: Resources that are constrained to specific purposes by a formal
resolution or ordinance approved by the City Council, which is the City's
highest level of decision making authority. The constraint remains binding
unless removed in the same formal manner by the City Council. Council action
to corn mit fund balance must occur within the fiscal reporting period while the
amount committed may be determined subsequently.
• Assigned: Resources that are constrained by the City's intent to be used for
specific purposes, but that are neither restricted nor committed. The City
Council delegates the authority to assign fund balance to the City Manager for
purposes of reporting in the annual financial statements.
• Unassigned: Within the General Fund, the residual resources, either positive
or negative, in excess of what can be properly classified in one of the other
four fund balance categories. Within all other governmental funds, the
negative residual resources in excess of what can be properly classified as
nonspendable, restricted, or committed.
35
NOTE 1
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
The City considers the restricted fund balances to have been spent when
expenditure is incurred for purposes for which both unrestricted and restricted fund
balance is available. When expenditures are incurred for purposes for which
amounts in any of the unrestricted fund balance classifications could be used, it is
the policy of the City to reduce the committed amounts first, followed by assigned
amounts, and then unassigned amounts.
On June 18, 2013, the City reaffirmed the committed and assigned fund balance
classifications for the General Fund for financial statement purposes at June 30,
2013, in accordance with the City's adopted GASB 54 Fund Balance Policy, as
follow:
Committed
Assigned
$ 4,500,000
15,150,000
Any remaining fund balance at the close of the fiscal year will be designated as
Unassigned.
Net Position
The governmental and business-type activities in the government-wide financial
statements utilize a net position presentation. Net position is categorized as net
investment in capital assets, restricted and unrestricted.
• Net investment in capital assets -This category groups all capital assets,
including infrastructure, into one component of net position. Accumulated
depreciation and the outstanding balances of debt that are attributable to the
acquisition, construction or improvement of these assets reduce the balance of
this category.
• Restricted net position -This category presents external restrictions imposed by
creditors, grantors, contributors, laws or regulations of other governments and
restrictions imposed by law through constitutional provisions or enabling
legislation.
• Unrestricted net position-This category represents the City's net position, which
is not restricted for any project or other purpose.
36
NOTE 1
NOTE 2
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Statement of Cash Flows
For purposes of the statement of cash flows, cash equivalents are defined as
investments with original maturities of 90 days or less, which are readily
convertible to known amounts of cash and not subject to significant changes in
value from interest rate fluctuations.
CASH AND INVESTMENTS
Cash and investments at June 30, 2013 are classified in the accompanying
financial statements as follows:
Statement of Net Assets:
Cash and investments
Fiduciary Fund:
Cash and investments
Cash IMth fiscal agent
Total cash and investments
$ 29,485,743
1,630,707
627,225
$=~3="1 '="7 4=3"', 6=7=5=
Cash and investments as of June 30, 2013 consist of the follo\Mng:
Cash on hand
Deposits IMth financial institutions
Investments
Total cash and investments
$ 2,200
3,038,947
28,702,528
$=~31;,, 7;,;4~3,;;:,6,;,;75:;,.
Investments Authorized by the California Government Code and the City's
Investment Policy
The table below identifies the investment types that are authorized for the City by
the California Government Code (or the City's investment policy, where more
restrictive). The table also identifies certain provisions of the California
Government Code (or the City's investment policy, where more restrictive) that
address interest rate risk, credit risk, and concentration of credit risk. This table
does not address investments of debt proceeds held by bond trustee that are
governed by the provisions of debt agreements of the City, rather than the general
provisions of the California Government Code or the City's investment policy.
37
NOTE2 CASH AND INVESTMENTS (CONTINUED)
Authorized by
Investment Types Investment
Authorized by State Law Policy
Local Agency Bonds Yes
U.S. Treasury Obligations Yes
U.S. Agency Securities Yes
State of California Obligation Yes
Local Agency Obligation Yes
Banker's Acceptances* Yes
Commercial Paper** Yes
Certificates of Deposit Yes
Repurchase Agreements Yes
Reverse Repurchase Agreements*** Yes
Medium-Term Notes Yes
Mutual Funds**** Yes
Money Market Mutua\ Funds Yes
CoHatera\ized Bank Deposits Yes
Mortgage Pass-Through Securities Yes
County Pooled Investment Funds Yes
Local Agency Investment Fund (LAIF) Yes
Time Deposits Yes
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
Maximum Maximum
Maximum Percentage Investment
Maturity* of Portfolio* In One Issuer*
5 years None None
5 years None None
5 years None None
5 years None None
5 years None None
180 days 40% Fed Reserve
Eligible
270 days 25% A1/P1 Rating
5 years 30% None
1 year None None
92 days 20% of base value None
5 years 30% A Rating
NIA 20% Multiple
N/A 20% Multiple
5 years None None
5 years 20% AA Rating
NIA None None
N/A None None
5 years None None
. No more than 30% of surplus funds may be invested in Bankers Acceptance of any one
commercial banks
** Commercial paper issuers must be U.S. Corporations with $500 minion plus in assets. Purchases
may not represent more than 10% of outstanding paper of an issuing corporation
*** Reverse Repurchase Agreements must be made with primary dealers of the Federal Reserve
Bank of New York and the securities used for the agreements must have been held by the issuer
for at least 30 days
""**No more than 10% of an agency's surplus funds may be invested in any one mutual fund
"Based on state law requirements or investment policy requirements, whichever is more restrictive.
NIA-Not applicable
Investments Authorized by Debt Agreements
Investment of debt proceeds held by 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. The table below identifies the
investment types that are authorized for investments held by fiscal agent. The table
also identifies certain provisions of these debt agreements that address interest
rate risk and concentration of credit risk.
38
NOTE2
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
CASH AND INVESTMENTS (CONTINUED)
Maximum Maximum
Maximum Percentage Investment
Authorized Investment Type Maturity of Portfolio In One Issuer
Local Agency Bonds 5 years None None
U.S. Treasury Obligations 5 years None None
U.S. Agency Securities 5 years None None
Banker's Acceptances 1 year None None
Commercial Paper 1 year 25% 10%
Certificates of Deposit 1 year 30% None
Repurchase Agreements 30 days None None
Money Market Mutual Funds N/A 20% 10%
Local Agency Investment Fund N/A None None
(LAIF)
Investment Agreements N/A None None
Time Deposits 5 years None None
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely
affect the fair value of an investment. Generally, the longer the maturity of an
investment the greater the sensitivity of its fair value to changes in market interest
rates. One of the ways that the City manages its exposure to interest rate risk is by
purchasing a combination of shorter-term and longer-term investments and by
timing cash flows from maturities so that a portion of the portfolio is maturing or
coming close to maturity over time as necessary to provide the cash flow and
liquidity needed for operations.
Information about the sensitivity of the fair values of the City's investments
(including investments held by bond trustee) to market interest rate fluctuations is
provided by the following table that shows the distribution of the City's investments
by maturity:
Remaining Maturing (in Months)
12 Months or 12 to 60
Investment Type Total Less Months
State Investment Pool (LAIF) $ 5,338,274 $ 5,338,274 $
Los Angeles County Investment Pool 5,000,000 5,000,000
U.S Agency Securities 6,640,169 6,640,169
Certificates of Deposit 11,096,069 3,953,665 7,142,404
Money Market Funds 628,016 628,016
Total $ 28,702,528 $ 14,919,955 $ 13,782,573
39
NOTE2 CASH AND INVESTMENTS (CONTINUED)
Disclosures Relating to Credit Risk
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
Generally, credit risk is the risk that an issuer of an investment will not fulfill its
obligation to the holder of the investment. This is measured by the assignment of a
rating by a nationally recognized statistical rating organization. Presented below is
the minimum rating required by (where applicable) the California Government
Code, the City's investment policy, or debt agreements, and the actual rating, as
reported by Standard & Poor's, as of year-end for each investment type:
Minimum Rating as of June 30, 2013
Legal Not
Investment Type Amount Rating /VVVM+ AA-Rated
State Investment Pool (LAIF) $ 5,338,274 N/A $ $ $ 5,338,274
los Angeles County Investment Pool 5,000,000 N/A 5,000,000
U.S. Agency Securities 6,640,169 A 5,505,059 1,135,110
Certificate of Deposit 11,096,069 N/A 11 ,096,069
Money Market Funds 628,016 N/A 628,016
Total $ 28,702,528 $ 5,505,059 $ 1,135,110 $ 22,062,359
Concentration of Credit Risk
The investment policy of the City contains no limitations on the amount that can be
invested in any one issuer beyond that stipulated by the California Government
Code. As of June 30, 2013, the City had investments in negotiable certificates of
deposit in excess of the 30% limit of the total City investments, as follows:
Investments in negotiable certificates of deposit
30% limit of total City investments
Excess of 30% investment limit
Custodial Credit Risk
$ 11,096,069
8,610,758
$ 2,485,311
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 its 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 (e.g., broker-dealer) to a transaction, a
government will not be able to recover the value of its investment or collateral
securities that are in the possession of another party. The California Government
Code and the City's investment policy do not contain legal or policy requirements
that would limit the exposure to custodial credit risk for deposits or investments,
other than the following provision for deposits: The California Government Code
requires that a financial institution secure deposits made by state or local
governmental units by pledging securities in an undivided collateral pool held by a
depository regulated under state law (unless so waived by the governmental unit).
The market value of the pledged securities in the collateral pool must equal at least
110% of the total amount deposited by the public agencies. California law also
allows financial institutions to secure District deposits by pledging first trust deed
mortgage notes having a value of 150% of the secured public deposits.
40
NOTE2
NOTE3
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
CASH AND INVESTMENTS (CONTINUED)
For investments identified herein as held by fiscal agent, the fiscal agent selects
the investment under the terms of the applicable trust agreement, acquires the
investment, and holds the investment on behalf of the reporting government.
Investment in State and County Investment Pool
The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that
is regulated by the California Government Code under the oversight of the
Treasurer of the State of California. The fair value of the City's investment in this
pool is reported in the accompanying financial statements at amounts based upon
the City's pro-rata share of the fair value provided by LAIF for the entire LAIF
portfolio (in relation to the amortized cost of that portfolio). The balance available
for withdrawal is based on the accounting records maintained by LAIF, which are
recorded on an amortized cost basis.
The City also has an investment in the Los Angeles County Pooled Investment
Fund under the supervision of the County of Los Angeles Treasurer and Tax
Collector.
INTERFUND RECEIVABLES AND PAY ABLES
Current interfund receivables and payables balances at June 30, 2013 are as
follows:
Receivable Fund Pa~able Fund Amount
General Fund CDBG Special Revenue Fund $ 179,262
General Fund Nonmajor Governmental Funds 1,616,950
General Fund Agency Fund 8,341
General Fund Successor Agency Private-Purpose
Trust Fund 390
Total $ 1,804,943
(a) As of June 30, 2013, the CDBG and the nonmajor governmental funds owed
$179,262 and $1,616,950, respectively, to the General Fund. These interfund
advances were to fund temporary cash deficits.
41
(a)
(a)
NOTE4
NOTES
INTERFUND ADVANCES
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
Noncurrent interfund advances at June 30, 2013 are as follows:
Receivable Fund
General Fund
Payable Fund
Successor Agency Private
Purpose Trust Fund
Amount
$ 3,703,805
In 1998, the City General Fund made a loan to the former Redevelopment Agency
of the City of Temple City. The loan included both new funding and the
amendment and restatement of previous loans from the City to the former
Redevelopment Agency. The total principal amount owed the City was
$1,466,980. In June 2011, Assembly Bill26 (1st extraordinary session) dissolved
the former Agency, effective (after some litigation on the matter) February 1,
2012. As part of the dissolution process set forth in that bill and a later bill
clarifying and modifying the terms of the dissolution (Assembly Bill 1484, adopted
in June 2012), the loan from the City to the Agency was considered by the
Department of Finance to be unenforceable. The successor agency to the former
redevelopment agency sought reconsideration by the Department of Finance as
to the enforceability of the loan. On April 26, 2013, the Department of Finance
allowed the loan to be placed on the Recognized Obligation Payment Schedule
(ROPS) as an enforceable obligation provided the Oversight Board makes a
finding that the loan was for legitimate redevelopment purposes under HSC
Section 34191 (b)(i). However, loan repayment depends on the availability of
excess property tax increment Because of the uncertainty as to when the former
Redevelopment Agency will have excess property tax distribution to pay for the
loan, the full amount of the loan including $2,236,825 of accrued interest has been
reserved as potentially uncollectible as of June 30, 2013 in the government-wide
financial statements.
INTERFUND TRANSFERS
lnterfund transfers for the year ended June 30, 2013 are as follows:
Transfers Out
Non major
General CDBG Governmental
Transfers In Fund Fund Funds Total
General Fund $ $ 157,009 $ 303,155 $ 460,164
Capnallmprovement Fund 1,303,511 384,000 7,582,220 9,269,731
Nonmajor Governmental Funds 189,262 119,669 308,931
Total $ 1,492,773 $ 541,009 $ 8,005,044 $ 10,038,826
The City transfers monies from various funds to its City-wide Capital Improvement
Fund and the General Fund for the payment of certain capital projects such as the
Rosemead Boulevard Safety Enhancements and Beautification Project and
reimbursement of administrative expenses.
42
NOTE6 LOANS RECEIVABLE
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
Loans receivable consist of the following at June 30, 2013:
Description
General Fund:
Calabee's, Inc.
Low and Moderate Income Housing
Temple City Chamber of Commerce
Community Development Block Grant:
Home improvement loans
Total
$
Amount
362,175 (a)
56,775
5,100
424,050
920,534 (b)
1,344,584
(a) In August 2003, the City entered into a loan agreement with Calabee's, Inc, for
up to $1,105,000 in order to facilitate the construction and operation of a
certain restaurant located within the City. Interest accrues on the loan at a rate
of 4.50% per year from the final disbursement date until the first payment date.
The loan is payable in 132 months (11 years). Payment of the loan principal
and interest, which is due monthly, commenced on the thirteenth month after
the restaurant's opening date. The outstanding balance of the loan as of June
30,2013 is$362,175.
(b) The City provides deferred payment loans to low and moderate income
homeowners for repairs of building and zoning code violations through its
Community Development Block Grant program. The maximum amount of each
loan is $25,000 with 3% interest. Loan repayment is deferred until the home is
sold or changes title.
43
NOTE 7
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
CAPITAL ASSETS
Capital assets activity for the year ended June 30, 2013 was as follows:
Balance
JU1j1, 2012 Additions Deletions
Capital assets, not being depreciated:
Land $ 3,268,952 $ $ $
Land improvements 1,839,413
Construction in progress 2,958,617 7,671,747
Infrastructure:
Land rights relating to streets 8,465,941
Total capital assets, not being depreciated 16,532,923 7,671,747
Capital assets, being depreciated:
Buildings 6,223,122 1 '1 01,627
Improvements 5,290,172 39,475
Furniture, fixtures and equipment 1,496,062 137,066
Vehicles 1,273,197 3,964
Infrastructure:
Streets 10,255,200 446,023
Traffic signals 1,190,394
Bridges 958,003
Total capital assets, being depreciated 26,686,150 1,728,155
Less accumulated depreciation for
Buildings 1,707,245 152,632
Improvements 1,921,953 131,683
Furniture, fixtures and equipment 1,296,794 64,594
Vehicles 1,056,804 67,371
Infrastructure:
Streets 5,938,753 137,777
Traffic signals 1,131,482 14,964
Bridges 958,003
Total accumulated depreciation 14,011,034 569,021
Net capital assets being depreciated 12,675,116 1,159,134
Governmental activities capital assets, net $ 29,208,039 $ 8,830,881 $ $
Depreciation expense is charged to operations, as follows:
General Government
Community Development
Public Safety
Public Works
Community Services
Total
44
$ 75,654
42,559
46,417
194,275
210,116
$ ==5::;.:6;;:.9:.;;,, 02;;;.1~
Balance
June 30, 2013
3,268,952
1,839,413
10,630,364
8,465,941
24,204,670
7,324,749
5,329,647
1,633,128
1,277,161
10,701,223
1,190,394
958,003
28,414,305
1,859,877
2,053,636
1,361,388
1,124,175
6,076,530
1,146,446
958,003
14,580,055
13,834,250
38,038,920
NOTE 8
NOTE9
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
DEFERRED INFLOWS OF RESOURCES
Deferred inflows of resources consisted of the following unavailable revenue as of
June 30, 2013:
General CDBG
Fund Fund Total
Amounts associated with long-term
loans or advances:
Accrued interest portion of City's
advances to the Successor Agency $ 2,236,825 $ $ 2,236,825
Noncurrent loans receivable 424,050 920,534 1,344,584
$ 2,660,875 $ 920,534 $ 3,581,409
LONG-TERM LIABILITIES
Changes in long-term liabilities for the year ended June 30, 2013 were as follows:
Amount Due Amount
Balance at Balance at Within One Due After
July 1, 2012 Additions Retirements June 30, 2013 Year One Year
Net OPES obligation $ 1,851,623 $ 1,080,000 $ (1,159,326) $ 1,772,297 $ $ 1,772,297
Compensated
absences 260,673 32,180 (73,592) 219,261 21,926 197,335
$ 2,112,296 $ 1,112,180 $ (1,232,918) $ 1,991,558 $ 21,926 $ 1,969,632
Other Postemployment Benefit Obligation
Refer to Note 12 for related disclosures regarding other postemployment benefits.
The liability is primarily liquidated from the general fund.
Compensated Absences Payable
The outstanding balance of compensated absences payable at June 30, 2013 was
$219,261. The liability is primarily liquidated from the general fund.
45
NOTE 10 DEFINED BENEFIT PENSION PLAN (PERS)
Plan Description
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
The City of Temple City contributes to the California Public Employees Retirement
Systern (PERS), a cost-sharing multiple-employer public employee defined benefit
pension plan. PERS provides retirement, disability benefits, 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 California.
PERS issues a publicly available financial report that includes financial statements
and required supplementary information for the cost sharing plans that are
administered by PERS. Copies of PERS' annual financial report may be obtained
from its executive office at 400 "P" Street, Sacramento, California 95814.
Funding Policy
Miscellaneous participants are required to contribute 7% of their annual covered
salary. The City makes the contributions required of City employees on their behalf
and for their account.
In December 2011, the City adopted (a) Resolution No. 11-4781, a Resolution of
the City Council of the City of Temple City reducing the amount of employer paid
member contribution to the PERS for full-time employees hired before January 1,
2012 by one percent ( 1%) and (b) Resolution No. 11-4 782, a Resolution of the City
Council of the City of Temple City eliminating payment of employer paid member
contributions toPERS for employees hired on or after January 1, 2012.
The City has contributed at the actuarially determined rate provided by PERS'
actuaries. Under GASB 27, an employer reports an annual pension cost (APC)
equal to the annual required contribution (ARC) plus an adjustment for the
cumulative difference between the APC and the employer's actual plan
contributions for the year. The cumulative difference is called the net pension
obligation (NPO). The ARC for the period July 1, 2012 to June 30, 2013 has been
determined by an actuarial valuation of the plan as of June 30, 2010.
The employer contribution rate for the year ended June 30, 2013 was 14.82% for
miscellaneous employees. Benefit provisions and all other requirements are
established by state statute.
46
NOTE10
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
DEFINED BENEFIT PENSION PLAN (PERS) (CONTINUED)
Annual Pension Cost
For the year ended June 30, 2013, the City's annual pension cost (employer
contribution) of $586,597 for miscellaneous employees was equal to the City's
required and actual contributions. The annual required contribution (ARC) for the
period July 1, 2012 to June 30, 2013 has been determined by the actuarial
valuation of the plan as of June 30, 2010.
A summary of principal assumptions and methods used to determine the ARC is
shown below:
Valuation Date:
Actuarial Cost Method:
Amortization Method:
Average Remaining Period:
Asset Valuation Method:
Actuarial Assumptions:
Investment Rate of Return:
Projected Salary Increases:
Inflation:
Payroll Growth:
Individual Salary Growth:
June 30,2010
Entry Age Normal Cost Method
Level Percent of Payroll
19 Years as of the Valuation Date
15 Year Smoothed Market
7.75% (net of administrative expenses)
3.55% to 14.45% depending on Age, Service,
and type of employment
3.00%
3.25%
A merit scale varying by duration of
employment coupled with an assumed annual
inflation growth 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 percentage of pay over a closed 20-year period. Gains and losses that occur
in the operation of the plan are amortized over a 30 year rolling period. If the plan's
accrued liability exceeds the actuarial value of plan assets, the annual contribution
with respect to the total unfunded liability may not be less than the amount produced
by a 30-year amortization of the unfunded liability.
47
NOTE 11
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
LIABILITY, PROPERTY AND WORKERS' COMPENSATION PROTECTION
Description of Self-Insurance Pool Pursuant to Joint Powers Agreement
City of Temple City is a member of the California Joint Powers Insurance Authority
(Authority). The Authority is composed of 123 California public entities and is
organized under a joint powers agreement pursuant to California Government
Code 6500 et seq. The purpose of the Authority is to arrange and administer
programs for the pooling of self-insured losses, to purchase excess insurance or
reinsurance, and to arrange for group purchased insurance for property and other
lines of coverage. The Authority's pool began covering claims of its members in
1978. Each member government has an elected official as its representative on the
Board of Directors. The Board operates through a 9-member Executive
Committee.
Self-insurance Programs of the Authority
A revised cost allocation methodology was introduced in fiscal year 2010-11,
however, it retains many elements of the previous cost allocation methodology.
Each member pays an annual contribution (formerly called the primary deposit) to
cover estimated losses for the coverage period. This initial funding is paid at the
beginning of the coverage period. After the close of the coverage period,
outstanding claims are valued. A retrospective deposit computation is then
conducted annually thereafter until all claims incurred during the coverage period
are closed on a pool-wide basis. This subsequent cost re-allocation among
members based on actual claim development can result in adjustments of either
refunds or additional deposits required.
The total funding requirement for self-insurance programs is estimated using
actuarial models and pre-funded through the annual contribution. Costs are
allocated to individual agencies based on exposure (payroll) and experience
(claims) relative to other members of the risk-sharing pooL Additional information
regarding the cost allocation methodology is provided below.
Liability. In the liability program, claims are pooled separately between police and
non-police exposures. (1) The payroll of each member is evaluated relative to the
payroll of other members. A variable credibility factor is determined for each
member, which establishes the weight applied to payroll and the weight applied to
losses within the formula. (2) The first layer of losses includes incurred costs up to
$30,000 for each occurrence and is evaluated as a percentage of the pool's total
incurred costs within the first layer (3) The second layer of losses includes
incurred costs from $30,000 to $750,000 for each occurrence and is evaluated as
a percentage of the pool's total incurred costs within the second layer. (4) Incurred
costs in excess of $750,000 up to the reinsurance attachment point of $5 million
are distributed based on the outcome of cost allocation within the first and second
loss layers. (5) Costs of covered claims from $5 million to $10 million are paid
under a reinsurance contract subject to a $2.5 million annual aggregate
deductible. Costs of covered claims from $10 million to $15 million are paid under
two reinsurance contracts subject to a combined $3 million annual aggregate
deductible. On a cumulative basis for all fiscal year 2012-13 reinsurance contracts
the annual aggregate deductible is $5.5 million. (6) Costs of covered claims from
$15 million up to $50 million are covered through excess insurance policies.
48
NOTE11
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
LIABILITY, PROPERTY AND WORKERS' COMPENSATION PROTECTION
(CONTINUED)
The overall coverage limit for each member including all layers of coverage is $50
million per occurrence.
Costs of covered claims for subsidence losses are paid by reinsurance and excess
insurance with a pooled sub-limit of $35 million per occurrence. This $35 million
subsidence sub-limit is composed of (a) $5 million retained within the pool's SIR,
(b) $10 million in reinsurance and (c) $20 million in excess insurance. The excess
insurance layer has a $20 million annual aggregate.
Workers' Compensation. In the workers' compensation program, claims are
pooled separately between public safety (police and fire) and non-public safety
exposures. (1) The payroll of each member is evaluated relative to the payroll of
other members. A variable credibility factor is determined for each member, which
establishes the weight applied to payroll and the weight applied to losses within the
formula. (2) The first layer of losses includes incurred costs up to $50,000 for each
occurrence and is evaluated as a percentage of the pool's total incurred costs
within the first layer. (3) The second layer of losses includes incurred costs from
$50,000 to $100,000 for each occurrence and is evaluated as a percentage of the
pool's total incurred costs within the second layer. (4) Incurred costs in excess of
$100,000 up to the reinsurance attachment point of $2 million are distributed based
on the outcome of cost allocation within the first and second loss layers. (5) Costs
of covered claims from $2 million up to statutory limits are paid under a
reinsurance policy. Protection is provided per statutory liability under California
Workers' Compensation Law.
Employer's Liability losses are pooled among members to $2 million. Coverage
from $2 million to $5 million is purchased as part of a reinsurance policy, and
Employer's Liability losses from $5 million to $10 million are pooled among
members.
Purchased Insurance
Pollution Legal Liability Insurance. The City of Temple City participates in the
pollution legal liability insurance program (formerly called environmental insurance)
which is available through the Authority. The policy covers sudden and gradual
pollution of scheduled property, streets, and storm drains owned by the City of
Temple City. Coverage is on a claims-made basis. There is a $50,000
deductible. The Authority has a limit of $50 million for the 3-year period from July
1, 2011 through July 1, 2014. Each member of the Authority has a $10 million sub-
limit during the 3-year term of the policy.
49
NOTE 11
NOTE 12
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
LIABILITY, PROPERTY AND WORKERS' COMPENSATION PROTECTION
(CONTINUED)
Property Insurance. The City of Temple City participates in the all-risk property
protection program of the Authority. This insurance protection is underwritten by
several insurance companies. City of Temple City property is currently insured
according to a schedule of covered property submitted by the City of Temple City
to the Authority. City of Temple City property currently has all-risk property
insurance protection in the amount of $11,383,602. There is a $5,000 deductible
per occurrence except for non-emergency vehicle insurance which has a $1,000
deductible. Premiums for the coverage are paid annually and are not subject to
retrospective adjustments.
Earthquake and Flood Insurance. The City of Temple City purchases earthquake
and flood insurance on a portion of its property. The earthquake insurance is part
of the property protection insurance program of the Authority. City of Temple City
property currently has earthquake protection in the amount of $9,226,065. There
is a deductible of 5% per unit of value with a minimum deductible of $100,000.
Premiums for the coverage are paid annually and are not subject to retrospective
adjustments.
Crime Insurance. The City of Temple City purchases crime insurance coverage in
the amount of $1,000,000 with a $2,500 deductible. The fidelity coverage is
provided through the Authority. Premiums are paid annually and are not subject to
retrospective adjustments.
Adequacy of Protection
During the past three fiscal years, none of the above programs of protection
experienced settlements or judgments that exceeded pooled or insured coverage.
There were also no significant reductions in pooled or insured liability coverage in
fiscal year 2012-13.
OTHER POSTEMPLOYMENT BENEFIT PLAN
Employees who retire from the City are eligible to receive health care benefits
covering themselves and any qualified family members. The City pays 100% of the
cost of the medical insurance premiums of the retired employees and one-half of
the cost of the medical insurance premiums of their family members. The City also
pays 100% of the cost of dental and vision insurance premiums of the retired
employees. Expenditures for post-retirement health care benefits for fiscal year
2013 amounted to $159,326 which included 26 participants.
50
NOTE 12
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
OTHER POSTEMPLOYMENT BENEFIT PLAN (CONTINUED)
The City's annual Other Postemployment Benefits (OPEB) cost, the percentage of
annual OPEB cost contributed to the plan, and the net OPEB obligation for 2011,
2012 and 2013 were:
Percentage of
Fiscal Year Annual Contribution Annual OPEB Cost Net OPEB
Ended OPEB Cost Made Contributed Obligation
6/30/2011 (1) $ 1,080,000 $ 155,028 14.35% $ 924,972
6/30/2012 (1) 1,080,000 153,349 14.20% 1,851,623
6/30/2013 (1) 1,080,000 1,159,326 107.35% 1,772,297
111 The City had an actuarial report prepared by Bartel Associates, LLC dated
October 31, 2011 with a valuation date of June 30, 2011. The results of the
report concluded a change in the City's annual required contribution amount
starting at zero-based pre-funding or no OPEB accrued liability as of July 1,
2010.
City's Funding Policy
The plan provisions and contribution requirements of plan members and the City
are established and may be amended by the City Council. The contribution
required to be made under City Council requirements is based on a pay-as-you-go
basis (i.e., as premiums become due).
On September 4, 2012, the City adopted Resolution No. 12-4845 authorizing
participation in the Public Agency Retirement Services Post-Retirement Health
Care Plan Trust Program and pre-funding of $1.0 million to the Trust.
Annual OPEB Cost and Net OPEB Obligation
The City's annual other postemployment benefit (OPEB) cost (expense) is
calculated based on the annual required contribution of the employer (ARC), an
amount actuarially determined in accordance with the parameters of GASB
Statement No. 45. The ARC represents a level of funding that, if paid on an
ongoing basis, is projected to cover normal cost each year and amortize any
unfunded actuarial liabilities (or funding excess) over a period not to exceed thirty
years.
51
NOTE12
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
OTHER POSTEMPLOYMENT BENEFIT PLAN (CONTINUED)
The following table shows the components of the City's annual OPEB cost for the
current fiscal year, the amount actually contributed to the plan, and changes in the
City's net OPEB obligation for these benefits:
Annual required contribution
Interest on net OPEB obligation
Adjustment to annual required contribution
Annual OPEB cost
Annual contribution made
Decrease in net OPEB obligation
Net OPEB obligation, beginning of year
Net OPEB obligation, end of year
Actuarial Methods and Assumptions
$ 1,080,000
64,807
(64,807)
1,080,000
(1 '159,326)
(79,326)
1,851,623
$ ~~1 •c;.7;.;7 2;;!,,2;;;9""7~
Actuarial valuations of an ongoing plan involve estimates of the value of reported
amounts and assumptions about the probability of occurrence of events far into the
future. Examples include assumptions about future employment, mortality, and the
healthcare cost trend. Amounts determined regarding the funded status of the plan
and the annual required contributions of the employer are subject to continual
revision as actual results are compared with past expectations and new estimates
are made about the future. The schedule of funding progress, presented in the
required supplementary information section, presents multi-year trend information
about whether the actuarial value of plan assets is increasing or decreasing over
time relative to the actuarial accrued liabilities for the benefits.
Projections of benefits for financial reporting purposes are based on the
substantive plan (the plan as understood by the employer and the plan members)
and include the types of benefits provided at the time of each valuation and the
historical pattern of sharing of benefit costs between employer and plan members
to that point. The actuarial methods and assumptions used include techniques that
are designed to reduce the effects of short-term volatility in actuarial accrued
liabilities and the actuarial value of assets, consistent with the long-term
perspective of the calculations.
The actuarial cost method used for determining the benefit obligations is the Entry
Age Normal Cost Method. The actuarial assumptions included a 4 percent
investment rate of return, which is the assumed rate of the expected long-term
investment returns on plan assets calculated based on the funded level of the plan
at the valuation date, and annual cost trend rate of 9 percent for Non-Medicare and
9.4 percent for Medicare initially, reduced by decrements of 0.5 percent to 0.6
percent per year to an ultimate rate of 5 percent after the eight year. The UAAL is
being amortized over a maximum 30-year combined period using a level-percent of
payroll. It is assumed the City's payroll will increase 3.25% per year and merit
increases are based on the CaiPERS 1997-2007 Experience Study.
52
NOTE 12
NOTE 13
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
OTHER POSTEMPLOYMENT BENEFIT PLAN (CONTINUED)
Refer to Required Supplementary Information Section for the Plan's Schedule of
Funding Progress.
NEW GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB)
PRONOUNCEMENTS ISSUED, NOT YET EFFECTIVE
The Governmental Accounting Standards Board (GASB) has issued several
pronouncements prior to June 30, 2013, that have effective dates that may impact
future financial presentations. Management has not yet determined any impact the
implementation of the following statements may have on the financial statements
of the City.
GASB No. 66-GASB has issued Statement No. 66, Technical Corrections-2012-
an Amendment of GASB Statements No. 10 and No. 62. The requirements of this
Statement resolve conflicting accounting and financial reporting guidance that
could diminish the consistency of financial reporting and thereby enhance the
usefulness of the financial reports. The provisions of this Statement are effective
for financial statements for periods beginning after December 15, 2012.
GASB No. 67 -GASB has issued Statement No. 67, Financial Reporting for
Pension Plans-an Amendment of GASB Statement No. 25. The requirements of
this Statement will improve financial reporting primarily through enhanced note
disclosures and schedules of required supplementary information that will be
presented by the pension plans that are within its scope. The new information will
enhance the decision-usefulness of the financial reports of these pension plans,
their value for assessing accountability, and their transparency by providing
information about measures of net pension liabilities and explanations of how and
why those liabilities changed from year to year. The provisions of this Statement
are effective for financial statements for periods beginning after June 15, 2013.
GASB No. 68 -GASB has issued Statement No. 68, Accounting and Financial
Reporting for Pensions-an Amendment of GASB Statement No. 27. The
requirements of this Statement will improve the decision-usefulness of information
in employer and governmental nonemployer contributing entity financial reports
and will enhance its value for assessing accountability and interperiod equity by
requiring recognition of the entire net pension liability and a more comprehensive
measure of pension expense. Decision-usefulness and accountability also will be
enhanced through new note disclosures and required supplementary information.
The provisions of this Statement are effective for financial statements for periods
beginning after June 15, 2014.
53
NOTE 13
NOTE 14
NOTE 15
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
NEW GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB)
PRONOUNCEMENTS ISSUED, NOT YET EFFECTIVE (CONTINUED)
GASB No. 69 -GASB has issued Statement No. 69, Government Combinations
and Disposals of Government Operations. This Statement establishes accounting
and financial reporting standards related government combinations and disposals
of government operations. As used in this Statement, the term government
combinations include a variety of transactions referred to as mergers, acquisitions,
and transfers of operations. This Statement requires disclosures to be made about
government combinations and disposals of government operations to enable
financial statement users to evaluate the nature and financial effects of those
transactions. The provisions of this Statement are effective for financial statements
for periods beginning after December 15, 2013.
GASB No. 70 -GASB has issued Statement No. 70, Accounting and Financial
Reporting for Nonexchange Financial Guarantees. The objective of this Statement
is to improve accounting and financial reporting by state and local governments
that extend and receive nonexchange financial guarantees. The provisions of this
Statement are effective for reporting periods beginning after June 15, 2013.
CONTINGENT LIABILITIES
The City is a defendant in various litigations arising in the normal course of
operations. In the opinion of management and counsel, the outcome is not
expected to materially adversely affect the financial position of the City.
SUCCESSOR AGENCY TRUST FOR ASSETS OF FORMER REDEVELOPMENT
AGENCY
The accompanying financial statements also include the Private-purpose Trust
Fund for the Successor Agency to the City's former Redevelopment Agency
(Successor Agency). The City, as the Successor Agency, serves in a fiduciary
capacity, as custodian for the assets and to wind down the affairs of the former
Redevelopment Agency. Its assets are held in trust for the benefit of the taxing
entities within the former Redevelopment Agency's boundaries and as such, are
not available for the use of the City.
Disclosures related to the certain assets and long-term liabilities of the Successor
Agency are as follows:
Agency's Advance to the General Fund
As of June 30, 2013, the Successor Agency owes the City General Fund
$3,703,805 for advances made by the City General Fund to the former
redevelopment agency to support the redevelopment activities. For more
information, refer to Note 4.
54
NOTE 15
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
SUCCESSOR AGENCY TRUST FOR ASSETS OF FORMER REDEVELOPMENT
AGENCY (CONTINUED)
Information about the Outstanding Bonds of the Successor Agency Trust Fund
REFUNDING REVENUE BONDS, SERIES 2005
In September 2005, the former Temple City Community Redevelopment Agency
(Agency) issued $5,780,000 of Serial Bonds and $2,220,000 of Term Bonds for a
total amount of $8,000,000 to be paid from future tax increment revenues. The
Series 2005 bonds were issued to refund $3,600,000 of outstanding Temple City
Financing Authority (Authority) 1993 Revenue Bonds and to provide the Agency with
additional funds for redevelopment activities. Interest is payable semi-annually on
March 1 and September 1 of each year, commencing March 1, 2006. Interest rates
range from 3.0% to 4.9% on the serial bonds and 4.875% on the term bonds in
amounts ranging from $240,000 to $495,000. The bonds maturing on or after
September 1, 2015 are subject to redemption prior to maturity in whole or in part at
the option of the Agency in amount of 100% of the principal amount. The Term
Bonds maturing on September 1, 2025 will be subject to mandatory redemption, on
September 1, 2022 and each September 1 thereafter at a redemption price equal to
the principal amount thereof together with accrued interest thereon to the redemption
date without premium. Under terms of the issue, a minimum of $627,225 is to be set
aside in reserve funds. The balance in the reserve account at June 30, 2013 was
$627,225. The outstanding balance owed on the bonds as of June 30, 2013 is
$5,950,000. This was recognized by the California Department of Finance as
enforceable obligation of the Successor Agency.
Annual debt service requirements to maturity for the refunding revenue bonds
payable are as follows:
Year Ending
June 30,
2014 $
2015
2016
2017
2018
2019-2023
2024-2026
Principal
345,000
360,000
375,000
395,000
410,000
2,360,000
1,705,000
5,950,000 Total $ ~;;g;;~=~
55
$
$
Interest Total
271,080 $ 616,080
256,095 616,095
240,105 615,105
222,968 617,968
204,650 614,650
708,680 3,068,680
127,359 1,832,359
2,030,937 $ 7,980,937
NOTE16 SUBSEQUENT EVENTS
City of Temple City
Notes to Financial Statements
Year ended June 30, 2013
The City has evaluated events subsequent to June 30, 2013 to assess the need for
potential recognition or disclosure in the financial statements. Such events were
evaluated through January 8, 2014, the date the financial statements were available
to be issued. Based upon this evaluation, it was determined that no subsequent
events occurred that require recognition or additional disclosure in the financial
statements.
56
(This page intentionally left blank.)
57
REQUIRED SUPPLEMENTARY INFORMATION
(This page intentionally left blank.)
City of Temple City
General Fund
The General Fund has been classified as a major fund and is used to account for all of the general
revenues of the City not specifically levied or collected for some special purpose, and for the
expenditures related to the rendering of general services by the City. The General Fund is used to
account for all resources not required to be accounted for in another fund. The budget-to-actual
comparison for this fund has been presented in the accompanying financial statements as required
supplementary information.
57
Revenues
Taxes
Real estate transfer tax $
Sales and use tax
In lieu sales tax
Franchise fees
Transient occupancy tax
Property tax allocation
Total taxes
Licenses and permits
Business license fees
Building permit fees
Parking permit fees
Animalllcense fees
Vehicle impound fees
Temp parking permit fees
Code enforcement fees
Total licenses and permits
Intergovernmental
Motor vehicle in lieu tax
In lieu Vehicle License Fees
Other revenue
Total intergovernmental
Charges for services
Shared maintenance charges
Zoning fees
Recreation fees
Plan check fees
Facility rental fees
Total charges for services
Fines, forfeitures and penalties
Court fines
Investment income
Interest -LAIF
Interest-others
Interest-CD
T eta! investment income
Other
Other reimbursement
Recyclable revenue
AB939 reimbursement
Rental Income
CRNLLD reimbursement
Sundry
Total other income
Total revenues
City of Temple City
Budgetary Comparison Schedule
General Fund
Year ended June 30, 2013
Variance with
Final Budget
Budgetary Amounts Positive
Original Final Actual (Negative)
100,000 $ 120,000 $ 158,962 $ 38,962
1,305,000 1,305,000 1,292,282 (12,718)
437,000 437,000 418,846 (18,154)
558,200 558,200 550,527 (7,673)
35,000 35,000 28,898 (6,102)
2,285,000 2,402,500 2,474,978 72,478
4,720,200 4,857,700 4,924,493 66,793
190,000 200,000 199,751 (249)
700,000 800,000 835,634 35,634
75,000 65,000 58,708 (6,292)
82,000 67,000 60,481 (6,519)
35,000 35,000 19,827 (15,173)
113,000 113,000 114,566 1,566
50 000 50,000 46,753 (3,247)
1,245 000 1,330,000 1,335,720 5,720
95,000 95,000 18,399 (76,601)
3,226,400 3,226,400 3,290,383 63,983
1,398 1,398
3,321,400 3,321,400 3,31 0,180 (11 ,220)
3,760 3,760 3,810 50
125,000 155,000 160,745 5,745
578,000 548,000 567,649 19,649
100,000 20,000 153,886 133,886
59,000 59,000 71,347 12,347
865 760 785,760 957,437 171,677
525 000 525,000 521,440 (3,560)
95,000 95,000 13,839 (81,161)
220,000 220,000 18,691 (201 ,309)
140,000 140,000 (39,965)
455,000 455,000 (322,435)
90,000 287,290 141,858 (145,432)
55,000 50,000 28,727 (21 ,273)
8,700 8,700 7,579 ( 1 '121)
57,500 50,000 53,369 3,369
6,300 6,300 10,269 3,969
1,000 1,000 81,214 80,214
218,500 403,290 323,016 (80,274)
11,350 860 11,678,150 11,504,851 1173,299)
58
Expenditures
General government:
City Council $
City Manager
Council support
Accounting
City Attorney
Support services
Insurance/ benefits
Purchasing
Elections
Total general government
Community development
Planning
Housing
Building
Total community development
Public safety:
Law enforcement
Traffic engineering
Animal control
Emergency services
Community preservation
Parking administration
Total public safety
Public works:
Parking facilities
Solid waste management
General government buidlings
Graffiti abatement
Total public works
Community services:
Recreation I human services
Parks-maintenance/facilities
T ota! expenditures
Excess (deficiency) of revenue
over expenditures
City of Temple City
Budgetary Comparison Schedule
General Fund
Year ended June 30, 2013
Variance with
Final Budget
Budgetar~ Amounts Positive
Original Final Actual (Negative)
161,445 $ 161,445 $ 123,826 $ 37,619
900,605 870,305 868,980 1,325
284,670 290,470 240,158 50,312
480,115 487,115 540,953 (53,838)
222,700 452,700 447,333 5,367
199,075 192,575 197,237 (4,662)
519,560 1,722,360 1,132,482 589,878
135,950 138,950 149,794 (10,844)
70,925 73,985 76,239 (2,254)
2,975,045 4,389,905 3,777,002 612,903
609,260 608,140 669,300 (61,160)
317,795 647,045 380,598 266,447
399,440 399,440 486,462 (87,022)
1,326,495 1,654,625 1,536,360 118,265
3,619,915 3,836,718 3,741,017 95,701
8,280 8,280 14,414 (6,134)
196,530 189,150 189,945 (795)
94,405 95,905 88,441 7,464
654,225 683,725 704,434 (20,709)
266,780 264,780 365,554 (100,774)
4,840,135 5,078,558 5,103,805 (25,247)
216,775 218,775 221,749 (2,974)
8,690 8,690 9,221 (531)
245,300 412,495 391,819 20,676
33,620 31,620 36,453 (4,833)
504,385 671,580 659,242 12,338
1,026,195 1,077,530 1,135,751 (58,221)
789,985 875,260 887,100 (11 ,840)
1,816,180 1,952,790 2,022,851 (70,061)
11,462,240 13,747,458 13,099,260 648,198
(111 ,380) (2,069,308) (1 ,594,409) 474,899
59
Other financing sources (uses)
Transfers in
Transfers out
Total other financing
sources (uses)
Net change in fund balances
Fund balance at beginning of year
Fund balance at end of year $
City of Temple City
Budgetary Comparison Schedule
General Fund
Year ended June 30, 2013
Variance with
Final Budget
Budgetar~ Amounts Positive
Original Final Actual {Negative)
88,690 149,015 460,164 311,149
(546,250) (2,050,000) (1 ,492,773) 557,227
(457,560) (1 ,900,985) (1 ,032,609) 868,376
(568,940) (3,970,293) (2,627,018) 1,343,275
24,054,080 24,054,080 24,054,080
23,485,140 $ 20,083,787 $ 21,427,062 $ 1,343,275
60
Revenues
Intergovernmental $
Low income grant
and loan repayments
Total revenues
Expenditures
Current:
Community development
Total expenditures
Excess (deficiency) of revenues over expenditures
Other financing sources (uses)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balance at beginning of year
Fund balance at end of year $
City of Temple City
Budgetary Comparison Schedule
Community Development Block Grant (CDBG)
Year ended June 30, 2013
Variance with
Final Budget
Budgetary Amounts Positive
Original Final Actual (Negative)
356,085 $ 789,100 $ 555,133 $ (233,967)
85,550 85,359 (191)
356,085 874,650 640,492 (234,158)
356,085 441,635 99,483 342,152
356,085 441,635 99,483 342,152
433,015 541,009 107,994
(433,015) (541 ,009) (107,994)
(433,015) (541,009) (107,994)
$ $ $
61
NOTE 1
City of Temple City
Notes to Budgetary Comparison Schedule
Year ended June 30, 2013
BUDGETS AND BUDGETARY ACCOUNTING
The City adopts an annual budget prepared on the modified accrual basis for all of its
governmental funds. During the year, there were budget modifications and
supplemental appropriations amounting to $1,285,218. The City Manager or his
designee is authorized to transfer budgeted amounts between the accounts of any
program. Revisions that alter the total appropriations of any program or fund are
approved by City Council. Prior year appropriations lapse unless they are
appropriated through the formal budget process. Expenditures may not legally
exceed appropriations at fund level. Reserves for encumbrances are not recorded by
the City of Temple City.
62
Accrued
Valuation Liabilities
Date (AL)
6/30/2010 $ 3,309,064,934 $
6/30/2011 3,619,835,876
6/30/2012 • 4,175,139,166
*latest available actuarial valuation
City of Temple City
Schedule of Funding Progress
California Public Employees Retirement System (CaiPERS)
Year ended June 30, 2013
Actuarial
Value of Unfunded Funded Annual
Assets Liabilities Ratio Covered UL as a%
(AVA) (UL) (AVA!AL) Pa~roll of Payroll
2,946,408,106 $ 362,656,828 89.0% $ 748,401,352 48.5%
3,203,214,899 416,620,977 88.5% 759,263,518 54.9%
3,686,598,343 488,540,823 88.3% 757,045,663 64.5%
63
Actuarial
Accrued Value of
Valuation Liabilities Assets
Date AL (AVA)
6/30/2009 $ $ 7,850,000 $
6/30/2011. 6,481,000
*latest available actuarial valuation
64
City of Temple City
Schedule of Funding Progress
Other Postemployment Benefits (OPEB)
Year ended June 30, 2013
Unfunded Funded Annual
Liabilities Ratio Covered UL as a%
(UL) (AVAJAL) Payroll of Payroll
7,850,000 0.0% $ 2,261,000 347.2%
6,481,000 0.0% 2,335,000 277.6%
SUPPLEMENTARY SCHEDULES
(This page intenf1onally left blank)
Special
Revenue
Funds
ASSETS
Cash and investments $ 7,352,103
Interest receivable
Due from other governments 1,758,828
Other investments 997,389
Total assets $ 10,108,320
LIABILITIES
Accounts payable $ 221,417
Due to other funds 1,616,950
Total liabilities 1,838,367
FUND BALANCES
Restricted:
Education scholarship
Special revenue funds 8,270,103
Unassigned (150)
Total fund balances 8,269,953
Total liabilities and fund balances $ 10,108,320
65
City of Temple City
Combining Balance Sheet
Nonmajor Governmental Funds
Year ended June 30, 2013
Camellia
Permanent
Fund Totals
$ 175,695 $ 7,527,798
133 133
1,758,828
997,389
$ 175,828 $ 10,284,148
$ $ 221,417
1,616,950
1,838,367
175,828 175,828
8,270,103
(150)
175,828 8,445,781
$ 175,828 $ 10,284,148
City of Temple City
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
Non major Governmental Funds
Year ended June 30, 2013
Special Camellia
Revenue Permanent
Funds Fund Totals
Revenues
Taxes $ 1,144,442 $ $ 1 '144,442
Intergovernmental 4,092,277 4,092,277
Charges for services 245,848 245,848
Contribution 1,000,000 1,000,000
Fines 47,113 47,113
Investment income 34,073 977 35,050
Other 510 510
Total revenues 6,564,263 977 6,565,240
Expenditures
Current:
General government 1,536 1,536
Public works 1,548,708 1,548,708
Community services 756,681 5,434 762,115
Total expenditures 2,306,925 5,434 2,312,359
Excess (deficiency) of revenues
over expenditures 4,257,338 (4,457) 4,252,881
Other financing sources (uses)
Transfers in 308,931 308,931
Transfers out (8,005,044) (8,005,044)
Net other financing sources (uses) (7,696, 113) (7,696, 113)
Net change in fund balance (3,438,775) (4,457) (3,443,232)
Fund balance, beginning of year 11,708,728 180,285 11,889,013
Fund balance, end of year $ 8,269,953 $ 175,828 $ 8,445,781
66
NON MAJOR
GOVERNMENTAL FUNDS
(This page intentionally left blank.)
City of Temple City
Description of Nonmajor Special Revenue Funds
June 30, 2013
The following Special Revenue Funds have been classified as non major funds in the accompanying
financial statements:
Traffic Safety Fund -To account for the Vehicle Code fines which are expended for traffic safety
enforcement.
High Tech Grant Fund -To account for California Law Enforcement Equipment Purchase -High
Technology (CLEEP) funds distributed to the City which are used for law enforcement activities,
including the development of the Los Angeles Regional Crime Information System (LARCIS).
Citizens Option for Public Safety (COPS) Fund -To account for the revenues received from the
California Department of Justice to be used to enhance existing law enforcement services.
Public Transportation -Proposition A Fund -To account for the City's share of additional sales tax
collected in the County of Los Angeles as a result of Proposition A. The fund is used to finance
public transportation projects.
Public Transportation -Proposition C Fund -To account for the City's share of additional sales tax
collected in the County of Los Angeles as a result of Proposition C. The fund is used to finance
public transportation projects.
Used Oil Fund -To account for the revenues and expenditures of the Used Oil Recycling Block
Grant.
Parking Concession Fund-To account for revenues and expenditures related to the operation of the
parking concession agreements.
State Gas Tax Fund -To account for the revenues and expenditures of the City's proportionate
share of gas tax monies collected by the State of California which are used for street construction,
street maintenance and engineering, and administrative expenses.
Surface Transportation Program Local Fund -To account for the grant revenues received from the
Federal Highway Administration through the California Department of Transportation to partially fund
the City's Rosemead Boulevard Improvement Project.
Asset Seizure Fund -To account for the revenues and expenditures from the seizure of properties.
Proposition IB Fund -To account for revenues received from the State of California to maintain and
improve local streets and roads.
Tree Restoration Fund -To account for revenues and expenditures for the tree restoration program
of the City.
High Priority Legacy User Fund -To account for the grant revenues received from the Federal
Highway Administration through the California Department of Transportation to partially fund the
City's Rosemead Boulevard Improvement Project.
Bicycle and Pedestrian Fund -To account for the revenues received from the State of California to
maintain and improve the safety and practicality of bicycling and walking for everyday travel.
67
City of Temple City
Description of Nonmajor Special Revenue Funds
June 30, 2013
Air Quality Improvement District Fund -To account for the City's share of automobile registration
fees collected from the State and distributed to the City by the South Coast Air Quality Management
District. The funds are used to improve transportation systems and reduce the reliance on private
vehicles.
Measure R Fund -These are similar to local return type funds to be used for traffic relief and
transportation upgrades citywide over the next 30 years. These funds may be for projects such as
pothole repairs, major street resurfacing, left-turn signals, bikeways, pedestrian improvements,
streetscapes, traffic signal synchronization, local transit services and programs.
Sewer Reconstruction Fund -To account for special fees collected to be used for new sewer lines
and sewer line replacement.
EECBG Fund -To account for Energy Efficiency and Conservation Block Grant revenues received
from the federal government funded by the American Recovery & Reinvestment Act of 2009.
Congestion Management Fund -To account for the maintenance of specified levels of services on
identified roadways of regional significance, as required by California Government Code Section
65088.
HSIP Fund -The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for
Users (SAFETEA-LU), which was signed into law on August 10, 2005, established the Highway
Safety Improvement Program (HSIP) as a core Federal-aid program. The overall purpose of this
program is to achieve a significant reduction in traffic fatalities and serious injuries on all public roads
through the implementation of infrastructure-related highway safety improvements.
1992/1996 Park Bond Fund -To account for revenues received from the Los Angeles County
Regional Park and Open Space Grant. This grant was approved November 3, 1992 and November
5, 1996 to benefit property through the improvement of neighborhood parks and recreation facilities
for youth and senior citizens.
State Recycling Fund -To account for revenues received from fiscal year ended June 30, 2002
through fiscal year ended June 30, 2003 from the State Department of Conservation under Section
14581(a)(4)(a) of the California Beverage Container Recycling and Litter Reduction Act for beverage
container recycling and litter cleanup activities.
Disaster Fund -Separate fund created for costs associated with the emergency, existence of
conditions of disaster or of extreme peril to the safety of persons and property within the territorial
limits of the city, caused by such conditions as air pollution, fire, flood, storm, epidemic, riot, drought,
sudden and severe energy shortage, plant or animal infestation or disease, and earthquake.
Park Acquisition Fund -To account for City imposed fees from the construction of new dwellings
within the City. Expenditures are for the acquisition or improvement of neighborhood or community
parks in conformance with the priorities established by the General Plan.
68
City of Temple City
Description of Non major Special Revenue Funds
June 30, 2013
Lighting and Landscape District Fund -To account for assessments and ad valorem taxes which are
used for the operation and maintenance of street lights, traffic signals, and trees and parkways
within the City.
OPEB Fund -To account for contributions and activities of the Other Postemployment Benefits
(OPEB) Plan trust program to fund OPEB liability.
Congestion Mitigation and Air Quality Fund -To account for the grant revenues received from the
Federal Highway Administration through the California Department of Transportation to partially fund
the City's Rosemead Boulevard Improvement Project
69
Traffic High Tech
Safetl Grant COPS
ASSETS
Cash and investments $ 4,104 $ 8,784 $ 1,083
Due from other governments 3,758
Other investments
Total assets $ 7,862 $ 8,784 $ 1,083
LIABILITIES
Accounts payable $ $ $
Due to other funds
Total liabilities
FUND BALANCES (DEFICITS)
Restricted
Special revenue funds 7,862 8,784 1,083
Unassigned
Total fund balances (deficits) 7,862 8,784 1,083
Total liabilities and fund balances
(deficits) $ 7,862 $ 8,784 $ 1,083
70
Public Public
Transportation -Transportation -Used
Prop A Prop C Oil
$ 2,228,232 $ 36,875 $ 9,834 $
$ 2,228,232 $ 36,875 $ 9,834 $
$ 75,969 $ $ $
75,969
2,152,263 36,875 9,834
2,152,263 36,875 9,834
$ 2,228,232 $ ~~~::;3~6,,:;:.87:.;;5:.. $ 9,834 $
71
City of Temple City
Combining Balance Sheet
Non major Special Revenue Funds
June 30, 2013
Surface
Transportation
Parking State Program
Concession Gas Tax Local
10,000 $ 1 ,005,492 $
72,069 524,682
10,000 $ 1,077,561 $ 524,682
$ 132,784 $
524,682
132,784 524,682
10,000 944,777
10,000 944,777
10,000 $ 1 ,077,561 $ ~~5~2~4,~6;;;;82"=
Asset Proposition Tree
Seizure 18 Restoration
ASSETS
Cash and investments $ 729 $ $
Due from other governments 54,235
Loans receivable
Total assets $ 729 $ $ 54,235
LIABILITIES
Accounts payable $ $ $ 4,845
Due to other funds 46,481
Total liabilities 51,326
FUND BALANCES (DEFICITS)
Restricted
Special revenue funds 729 2,909
Unassigned
Total fund balances (deficits) 729 2,909
Total liabilities and fund balances (deficits) $ 729 $ $ 54,235
72
High
Priority Bicycle
Legacy and
User Pedestrian
$ $ $
698,579 6,854
$ 698,579 $ 6,854 $
$ $ $
698,579 7,004
698,579 7,004
(150)
(150)
$ 698,579 $ 6,854 $
Air Quality
Improvement
District
59,583
11,292
70,875
70,875
70,875
City of Temple City
Combining Balance Sheet
Non major Special Revenue Funds (Continued)
June 30, 2013
Sevver
MeasureR Reconstruction EECBG
$ 942,227 $ 709,724 $
$ 942,227 $ 709,724 $
$ $ $
942,227 709,724
942,227 709,724
70,875 $ 942,227 $ __ ..,;7:.;:0~9,~72~4~$ ----~
73
1992/
Congestion 1996
Management HSIP Park Bond
ASSETS
Cash and investments $ 25,998 $ $
Due from other governments 24,890
Other investments
Total assets $ 25,998 $ 24,890 $
LIABILITIES
Accounts payable $ $ $
Due to other funds 24,890
Total liabilities 24,890
FUND BALANCES (DEFICITS)
Restricted
Special revenue funds 25,998
Unassigned
Total fund balances (deficits) 25,998
Total liabilities and fund balances (deficits) $ 25,998 $ 24,890 $
74
State Disaster
Recycling Fund
$ 20 $ $
$ 20 $ $
$ $ $
20
20
$ 20 $~~~$
Park
Acquisition
47,196 $
47,196 $
$
47,196
47,196
City of Temple City
Combining Balance Sheet
Nonmajor Special Revenue Funds (Continued)
June 30, 2013
Lighting and
Landscape
District OPEB
2,262,222 $ $
47,155
997,389
2,309,377 $ 997,389 $
7,819 $ $
7,819
2,301,558 997,389
2,301,558 997,389
Congestion
Mitigation
and Air
Quality
$
315,314
315,314 $
$
315,314
315,314
Total
7,352,103
1,758,828
997,389
10,108,320
221,417
1,616,950
1,838,367
8,270,103
(150)
8,269,953
47,196 $ 2,309,377 $ 997,389 $ 315,314 $ 10,108,320
75
Traffic High Tech
Safe\]' Grant COPS
Revenues
Taxes $ $ $
Intergovernmental 100,000
Charges for services
Contribution
Fines 47,113
Investment income 135
Other
Total revenues 47,113 100,135
Expenditures
Current:
General government
Public works
Community services
Total expenditures
Excess (deficiency) of revenues
over expenditures 47,113 100,135
Other financing sources (uses)
Transfers in
Transfers out (40,000) (100,000)
Net other financing sources
(uses) (40,000) (1 00,000)
Net change in fund balance 7,113 135
Fund balance, beginning of year 749 8,784 948
Fund balance, end of year $ 7,862 $ 8,784 $ 1,083
76
$
$
City of Temple City
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
Non major Special Revenue Funds
Year ended June 30, 2013
Surface
PubliC Public Transportation
Transportation-Transportation -Used Parking State Program
ProQ A ProQ C Oil Concession Gas Tax Local
$ $ $ $ $
554,620 460,506 10,248 810,373 524,682
139,107 10,000
0
6,608 12,982 5,243
700,335 473,488 10,248 10,000 815,616 524,682
634,503
703,555
703,555 634,503
(3,220) 473,488 10,248 10,000 181,113 524,682
187,462
(4,529,602) (9,221) (1 ,022,910) (524,682)
(4,529,602) (9,221) (835,448) (524,682)
(3,220) (4,056,114) 1,027 10,000 (654,335)
2,155,483 4,092,989 8,807 1,599,112
2,152,263 $ 36,875 $ 9,834 $ 10,000 $ 944,777 $
77
Asset Proposition Tree
Seizure 18 Restoration
Revenues
Taxes $ $ $
Intergovernmental 54,235
Charges for services
Contribution
Fines
Investment income 1,651
Other
Total revenues 1,651 54,235
Expenditures
Current:
General government
Public works
Community services 51,326
Total expenditures 51,326
Excess (deficiency) of revenues
over expenditures 1,651 2,909
Other financing sources (uses)
Transfers in
Transfers out (551 ,018)
Net other financing sources (uses) (551 ,018)
Net change in fund balance (549,367) 2,909
Fund balance, beginning of year 729 549,367
Fund balance, end of year $ 729 $ $ 2,909
78
$
$
City of Temple City
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
Nonmajor Special Revenue Funds (Continued)
Year ended June 30, 2013
High Air
Priority Bicycle Quality
Legacy and Improvement Sewer
User Pedestrian District MeasureR Reconstruction EECBG
$ $ $ $ $
698,579 6,853 43,125 344,618 104,234
70,001
5 109 2,324
510
698,579 6,858 43,744 346,942 70,001 104,234
698,579 6,858 43,744 346,942 70,001 104,234
(698,579) (7,095) (26,466) (1 ,333) (1 04,234)
(698,579) (7,095) (26,466) (1 ,333) (104,234)
(237) 43,744 320,476 68,668
87 27,131 621,751 641,056
$ (150) $ 70,875 $ 942,227 $ 709,724 $
79
1992/
Congestion 1996
Management HSIP Park Bond
Revenues
Taxes $ $ $
Intergovernmental 24,890 40,000
Charges for services 3,740
Contribution
Fines
Investment income
Other
Total revenues 3,740 24,890 40,000
Expenditures
Current:
General government
Public works
Community services
Total expenditures
Excess (deficiency) of revenues
over expenditures 3,740 24,890 40,000
Other financing sources (uses)
Transfers in
Transfers out (24,890) (40,000)
Net other financing sources (uses) (24,890) (40,000)
Net change in fund balance 3,740
Fund balance, beginning of year 22,258
Fund balance, end of year $ 25,998 $ $
80
$
$
City of Temple City
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
Non major Special Revenue Funds (Continued)
Year ended June 30, 2013
Lighting Congestion
and Mitigation
State Disaster Park Landscape and Air
Recycling Fund Acquisition District OPES Quality Total
$ $ $ 1 '144,442 $ $ $ 1,144,442
315,314 4,092,277
23,000 245,848
1,000,000 1,000,000
47,113
6,091 (1,075) 34,073
510
23,000 1' 150,533 998,925 315,314 6,564,263
1,536 1,536
914,205 1,548,708
1,800 756,681
1,800 914,205 1,536 2,306,925
(1 ,800) 23,000 236,328 997,389 315,314 4,257,338
1,800 119,669 308,931
(9,700) (315,314) (8,005,044)
(9,700) 1,800 119,669 (315,314) (7,696,113)
(9,700) 23,000 355,997 997,389 (3,438,775)
9,720 24,196 1,945,561 11,708,728
20 $ $ 47,196 $ 2,301,558 $ 997,389 $ $ 8,269,953
81
(This page intentionally left blank.)
STATISTICAL SECTION
(This page intentionally left blank.)
City of Temple City
Description of Statistical Section Contents
This part of the City ofT em pie City's comprehensive annual financial report presents detailed
information as a context for understanding what the information in the financial statements,
note disclosures, and required supplementary information says about the city's overall
financial health.
Financial Trends
These schedules contain trend information to help the reader understand
how the city's financial performance and well-being have changed over
time.
Revenue Capacity
These schedules contain information to help the reader assess the city's
most significant local revenue source, the property tax.
Debt Capacity
These schedules present information to help the reader assess the
affordability of the city's current levels of oustanding debt and the city's
ability to issue additional debt in the future.
Demographic and Economic Information
These schedules offer demographic and economic indicators to help the
reader understand the environment within which the city's financial
activities take place.
Operating Information
These schedules contain service and infrastructure data to help the
reader understand how the information in the city's financial report relates
to the services the city provides and the activities it performs.
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive
annual financial reports for the relevent year.
82
r 2004 2005 2006 2007
Governmental activities:
Net investment in capital assets $21,810,699 $22,680,134 $ 22,123,584 $22,411,970
Restricted 5,130,591 6,207,393 10,094,196 10,569,111
Unrestricted 15,647,820 15,887,321 15,368,695 17,966,076
Total governmental activities net position $42,589,110 $44,774,848 $47,586,475 $50,947,157
%changes from priorye<Jr 0.26% 5.13% 6.28% 7.06%
83
City of Temple City
Net Position by Component-Last Ten Fiscal Years
2008 2009 2010 2011 2012 2013 I
$24,916,427 $26,109,373 $27,542,462 $28,131,358 $29,208,039 $38,038,920
8,637,170 9,924,588 10,961,386 14,736,866 11,889,013 8,445,931
21,393,668 20,313,976 18,729,825 16,112,547 24,103,180 21,329,869
$54,947,265 $56,347,937 $57,233,673 $58,980,771 $65,200,232 $67,814,720
7.85% 2.55% 1.57% 3.05% 10.54% 4.01%
City of Temple City
Change in Net Position-Expenses and Program Revenues-Last Ten Fiscal Years
I 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 I Expenses:
Governmental activities:
General government $ 1,838,445 $ 2,173,412 $ 1,929,063 $ 1,932,634 $ 2,060,431 $ 2,410,692 $ 2,716,505 $ 2,827,384 $ 3,281,194 $ 3,769,018
Public safety 3,245,750 3,340,097 3,477,139 3,773,419 4,197,010 4,528,763 4,484,281 4,662,120 4,818,217 5,122,868
Public works 3,566,452 2,715,305 3,012,664 3,422,014 4,624,945 2,827,551 2,969,555 1,960,629 2,162,481 2,520,925
Community development 1,385,106 1,194,837 1,297,393 1,181,969 1,277,870 1,620,525 1,480,064 1,657,399 1,562,859 1,692,614
Community Services 1,648,467 1,715,670 1,821,923 2,088,649 2,380,609 2,813,843 2,581,200 3,016,958 3,357,423 2,990,670
Decline in value of property held for resale
Pass through expenditures
Interest on long-term debt 245,678 239,760 714,252 352,823 343,561 333,209 321,043 429,238 149,503
Total governmental activities expenses 11,929,898 11,379,081 12,252,434 12,751,508 14,884,426 14,534,583 14,552,648 14,553,728 15,331,677 16,096,095
Program revenues:
Governmental activities:
Changes for services
General government 175,288 171,523 164,010 165,695 149,281 149,576 151,245 82,910 39,317 1,128,428
Public safety 444,894 569,685 538,813 560,933 555,632 647,841 877,083 516,034 719,955 588,380
Public works 53,478 8,720 699,729 208,002 87,170 61,068 56,906 88,506 220,136 314,631
Community development 1,320,416 1,195,003 1,178,687 1,251,314 1,469,402 927,150 1,056,657 1,007,719 1,322,476 1,315,893
Community Services 541,783 600,899 645,626 718,686 797,332 790,357 686,185 517,381 528,043 567,649
Operating grants and contributions
General government 51,561 53,337 55,006 58,335 54,002 51,038 45,555 44,773
Public safety 123,099 102,313 130,764 113,801 103,176 100,589 133,272 136,935 100,238 100,135
Public works 786,122 721,799 890,949 981,538 1,299,422 928,018 1,886,781 4,065,287 3,749,837 5,128,889
Community development 442.749 151,668 202,457 178,948 104,763 717,302 349,299 273,917 240,086 856,693
Community Services 974,058 1,328,053 1,256,579 1,627,245 1,309,753 1,168,478 975,576 83,035 99,848 73,000
Capital grants and contributions
Public safety
Public works 184,895 422.216 1, 762,314 78,551
Community development
Total governmental activities revenues 5,098,343 5,325,216 5,762,620 5,864,497 7,692,247 5,619,968 6,218,559 6,816,497 7,025,936 10,073,698
Net revenues (expenses):
Governmental activities: (6,831,555} (6,053,865} {6,489,814) (6,887,011)_ {7,192,179) (8,914,615) (8,334,089) (7,737,231} (8,305,741) (6,022,397)
84
City of Temple City
Change in Net Position-Expenses and Program Revenues-Last Ten Fiscal Years (Continued)
I ----I 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
General revenues and other changes in net position:
Taxes
Property taxes 2,542,508 2,592,096 3,041,999 3,438,142 3,610,345 3,764,946 2,780,452 3,259,485 2,253,677 2,474,978
Transient occupancy tax 41,019 38,885 41,881 47,325 45,013 41,536 34,844 34,221 32,966 28,898
Sales tax 1,393,522 1,476,564 1,552,704 1_607,510 1,764,523 1,675,895 1,475,728 1,614,726 1,642,318 1,711,128
Franchise tax 491,360 502,259 526,725 569,796 560,375 581,526 533,542 542,523 553,598 550,527
Othert;oxes 157,750 189,046 193,785 153,579 118,497 91,886 127,573 99,701 99,417 158,962
Investment income 271,215 263,853 907,319 1,363,484 1,233,122 712,967 262,636 409,097 378,269 132,565
State motor vehicle In lieu 1,684,796 2,923,061 3,012,017 2,752,706 3,482,229 3,059,138 3,549,571 3,229,851 3_196,237 3,310,180
State revenue-other 87,184 12,505 37,248 6,737 13,063 8,203 6,975 8,844 12,276 7,579
Net loss on sale of assets (297,601}
Other 272,525 241,334 285,364-308,414 365,120 379,190 448,504 285,881 1,071,678 262,068
Total general revenues and transfers 6,941,879 8,239,603 9,301,441 10,247,693 11,192,287 10,315,287 9,219,825 9,484,329 9,240,436 8,636,885
Changes in net position 110,324 2,185,738 2,811,627 3,360,682 4,000,108 1,400,672 885,736 1,747,098 934,695 2,614,488
Extraordinary Items·
RDA advance receivable elimination (3, 703,805)
RDA dissolution transactions 7,447,867
Total extraordinary items 3,744,062
Change in net position 110,324 2,185,738 2,811,627 3,360,682 4,000,108 1,400,672 885,736 1,747,098 4,678,757 2,614,488
Net position at beginning of year 42,478,786 42,589,110 44,774,848 47,586,475 50,947,157 .54,947,265 56,347,937 57,233,673 60,521,475 65,200,232
Net position ate nd of year $ 42,699,434 $46,960,586 $50,398,102 $54,307,839 $58,947,373 $57,748,609 $58,119,409 $60,727,869 $65,200,232 $67,814,720
85
[ 2004 2005 2006
General fund
Nonspendable $ $ $
Restricted 3,497,914 9,065,656 3,187,512
Committed
Assigned
Unassigned 15,427,852 10,249,544 18,253,707
Total general fund 18,925,766 19,315,200 21,441,219
All other governmental fund:
Nonspendable
Restricted 1,180 5,539,337 1,598
Committed
Assigned
Unassigned, reported in:
Special revenue funds 5,078,633 6,048,251 11,038,120
Capital projects funds
Debt service funds (3, 736,547) (9,301,492) (3,391,240)
Total <!II other governmental funds 1,342,086 (3,253,241) 7,646,880
Total governmental funds $20,269,032 $21,601,296 $29,089,697
{1) This schedule reports using the modified accrual basis of accounting.
Source: City of Temple City basic financial statements
City of Temple City
Fund Balances of Governmental Funds-Last Ten Fiscal Years
2007 2008 2009 2010 2011 2012 2013 I
$ $ $ $ $ $ 1,678 $ 12,795
2,966,122 2,751,507 2,563,065 2,360,171 1,771,165
4,500,000 4,500,000
17,200,000 15,150,000
20,906,179 22,063,783 22,052,532 22,340,207 23,542,553 2,352,402 1,764,267
23,872,301 24,815,290 24,615,597 24,700,378 25,313,718 24,054,080 21,427,062
6,074 10,129 10,931 22,706 14,736,866 11,889,013 8,445,931
11,636,875 11,944,610 12,495,281 12,846,187 {84,843) (150)
(3,357,488) (3,352,088) (3,314,129) {3,424,412) (3,223,856)
8,279,387 8,592,522 9,181,152 9,421,775 {3,308,699) (150)
$32,157,762 $33,417,941 $33,807,680 $34,144,859 $36,741,885 $35,943,093 $29,872,843
86
Z004
Revenues:
Taxes $ 4,172,739
licenses and Permits 1,225,266
lntergovermental 3,992,507
Charges for services 1,472,450
Contribution
Fines and forfeitures 332,579
Use of money and property 435,735
Grant and loan Repayment {low Income) 95,835
Other 328,247
Total revenues 12,055,358
Expenditures
Current:
General Government 1,679,001
Community development 1,597, 743
Public Safety 3,209,933
Public works 4,026,589
Community Services 1,504-,587
Capital outlay; 129,654
Debt services
Principal retirement 95,000
Interest and fiscal charges 411,485
Bond Issuance Costs
Pass-Through payment
ERAF Payment
Total expenditures 12,653,992
Excess (deficiency) of revenues over
{under) expenditures {598,634)
City of Temple City
Changes in Fund Balances of Governmental Funds-Last Ten Fiscal Years
zoos Z006 Z007 zoos Z009 2010 2011 2012 2013
$ 4,324,688 $ 4,808,989 $ 5,173,859 $ 5,417,410 $ 5,514,153 $ 4,641,626 $ 6,303,326 $ 6,U6,340 $ 6,068,935
1,144,414 1,092,015 1,200,311 1,385,267 950,216 1,096,347 1,028,284 1,345,183 1,335, 720
5,618,423 5,075,515 5,710,223 6,135,863 5,792,744 6,923,107 6,462,142 6,026,300 7,957,590
1,545,748 2,381,260 1,981,477 1,966,285 1,968,828 1, 781,384 1,104,495 929,351 1_203,285
1,000,000
406,187 361,278 365,335 347,871 399,053 631,064 495,469 697,246 568,553
626,801 1.377,813 1.794,913 1_654,677 1,024,633 610,529 562,190 493,070 220,984
139,541 135,026 55,873 103,493 87,326 23,590 49,195 74,632 85,359
222,882 265,039 277,738 288,075 306,020 349,851 415,145 128,805 270,157
14,028,684 15,496,935 16,559,729 17,298,941 16,04-2,973 16,057,498 16,420,246 15,820,927 18,710,583
1,888,078 1, 727,929 1,759,354 1,879,166 2,012,604-2,263,820 2,492,012 2,773,m 3,648,367
1,196,840 1,277,887 1,128,219 1,208,947 1,708,161 1,323,870 1.231,126 1,227,221 1,635,843
3,296,099 3,450,236 3,679,592 4,147,359 4,358,517 4,285,919 4,353,874 4,676,268 5,103,805
3,768,556 2,954,906 3,846,473 5,373,030 3,790,966 2,376,038 1,665,506 1,803,025 2,207,950
1,593,200 1,178,899 1,370,103 2,190,855 2,517, 786 2,2lfu,777 2,733,160 2,994,515 2,784,966
190,071 634,547 756,406 250,600 233,868 2,106,266 1,132,410 1,520,720 9,399,902
100,000 3,705,000 240,000 280,000 285,000 295,000 305,000 315,000
473,667 505,843 504,814 490,352 471,281 452,423 433,050 153,684
320,500
12,197 51,612 40,046 36,333 10,897
330,160 67,974
12,506,511 15,765,847 13,284,961 15,832,506 15,429,795 15,720,319 14,450,445 15,475,107 24,780,833
1,522,173 (268,912) 3,274,768 1,466,435 613,178 337,179 1,969,801 345,820 (6,070,250)
87
Other financing sources (uses):
Transfers in
Transfer out
Issuance of Refunding Revenue Bonds
Bond Discount
Net other financing sources (uses)
Change in fund balance before
extraordinary items
Extraordinary items
Redevelopment agency dissolution transactions
Total extraordinary items
Net change in fund balance
Fund balances at beginning of year:
Fund balances at end of year:
Debt service as a percentage of noncapital expenditures
City of Temple City
Changes in Fund Balances of Governmental Funds-Last Ten Fiscal Years (Continued)
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
2, 759,829 7,434,338 10,625,244 1,952,033 3,002,181 2, 709,757 2,881,170 1, 740,640 2,345,392 10,038,826
(2,848,546) (7,624,247) {10,800,611) {2,158, 736) (3,208,437) (2,933,196) {2,881,170) (1,740,640) (2,345,392] { 10,038,826)
8,000,000
{67,320)
(88,717) (189,909) 7,757,313 (206,703) {206,256) (223,439)
(687,351) 1,332,264 7,488,401 3,068,065 1,260,179 389,739 337,179 1,969,801 345,820 (6,070,250)
(517,387)
(517,387}
(687,351} 1,332,264 7,488,401 3,068,065 1,260,179 389,739 337,179 1,969,801 {171,567} (6,070,250)
20,956,383 20,269,032 21,601,296 29,089,697 32,157,762 33,417,941 33,807,680 34,144,859 36,114,660 35,943,093
$20,269,032 $21,601,296 $29,089,697 $32,157,762 $33,417,941 $33,807,680 $34,144,859 $36,114,660 $35,943,093 $29,872,843
4.21% 4.89% 39.73% 6.32% 5.21% 5.26% 5.98% 5.92% 3.48% O.OO"Ai
Note: This schedule reports using the modified accrual basis of accounting.
Source: City of Temple City basicfinancial statements
88
CATEGORY 2004 2005 2006 2007
Residential $ 1,922,346,310 $ 2,090,941,250 $ 2,315,701,302 $ 2,545,342,272
Commercial 167,372,370 172,013,034 184,839,402 202,110,656
lndustri<ll 25,223,938 26,941,655 28,983,752 30,663,567
Institutional 14,283,948 9,876,585 9, 786,833 10,930,100
Irrigated 450,000 458,999 468,178
Miscellaneous 122,429 80,767 467,444 476,791
Recreational 2,630,793 2,679,906 2,349,153 292,895
Vacant 12,858,121 15,814,622 21,244,944 19,708,862
SBE Nonunitary 771,483 764,320 752,690 724,004
Cross Reference 8,960,699 8,576,443 7,989,250 8,798,674
Unsecured 27,731,951 24,610,709 24_368,140 24,989,966
Exempt (5,665,659) {5,665,659) {5,661,444) {5,661,444)
Totals $ 2,176,636,383 $ 2,347,083,632 $ 2,591,280,465 $ 2,838,844,521
Total Direct Rate 0.09576 0.09354 0.0941 0.08976 ~--
Note: Exempt values are not included in totals.
Source: LA. County Assessor 2003/04-2012/13 Combined Tax Roll
City of Temple City
Assessed Value of Taxable Property-Last Ten Fiscal Years
2008 2009 2010 2011 2012 2013
$ 2,750,833,559 $ 2,914,566,164 $ 2,952,976,525 $ 3,049,375,507 $ 3,176,587,665 $ 3,291, 734,411
215,663,103 224,186,414 233,159,971 235,240,642 241,334,139 247,949,455
34,880,561 34,717,363 39,131,023 38,968,701 39,934,596 41,224,415
13,537,061 17,074,075 17,328,942 17,129,301 19,415,635 14,560,720
477,541 487,091 495,832 495,652 499,382 459,000
53,351 586,417 55,504 55,370 55,784 56,898
2,376,252 3,302,989 3,249,693 2,150,752 1,191,956 1,213,113
37,540,887 40,399,192 31,388,447 28,565,197 27,242,717 32,285,185
591,361 362,891 362,891 252,011 252,011 252,011
7,381,576 7,646,698 7,724,752 7,959,915 8,116,437 9,176,726
26,391,071 27,096,629 26,963,336 29,917,083 32,360,705 32,947,948
{5,495,198) (5,856,015) (5, 735, 744) {5, 735, 744} {5,735,744) (5,735,744)
$ 3,084,231,125 $ 3,264,569,908 $ 3,307,102,172 $ 3,404,374,387 $ 3,541,255,283 $ 3,666,124,138
-0.09254 0.09188 0.09197 0.09202 L__ 0.0912 0.09076
89
City of Temple City
Direct and Overlapping Government Property Tax Rates-Last Ten Fiscal Years
IAgeno;y 2004 200S 200. 2002 2008 2009 20>0 2011 20ll ""
Bask Levy (1) 200000 200000 2.00000 2.00000 2.00000 2.00000 2.00000 2.00000 2.00000 2.00000
Arcadia Lighting 0.00397 0.00447 0.00230 0.00630 0.00326 0.00445 0.00472 0.00000 0.00000 0.00000
Arcadia Unified 0,03004 0.02903 0.02746 0.02831 0.08086 0.07911 0.07561 0.07456 0.07691 0.07670
County Detention Facilities 1987 Debt 0.00099 0.00092 0.00080 0.00066 0.00000 0,00000 0.00000 0.00000 0.00000 0.00000
El Monte City School Disctrict 0.05072 0.07247 0.08057 0.05402 0.08068 0,09045 0.11907 0.12388 0.12733 0.13288
El Monte Union High School 0.03573 0.03928 0.05425 0.05847 0.02820 0.05160 0.09654 0.08475 0.09591 0,08992
LA Community College District 0.01986 0.01810 0.01429 0.02146 0.00879 0.02212 0.02311 0.04031 0.00000 0,01119
LA County Flood Control 0.00046 0.00025 0.00005 0.1)()()()5 0.00000 0.00000 0.00000 0.00000 0.03530 0.03756
Metropolitan Water District 0.00610 0.00580 0.00520 0.00470 0.00450 0.00430 0.00430 0.00370 0.00000 0.0()()()()
Pasadena Ccd Ds 2002. 2006 Ser D o.ooooo 0.00000 0,00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00370 0.00350
Pasadena Community College District 0.00681 0.00879 0.00410 0.02080 0.01972 0.01742 0.02300 0.01986 0.00000 0.00225
Rosemead School District 0.04517 0.07095 0.07515 0.05420 0.08283 0,06875 0.11358 0.10743 0.01956 0.01830
San Gabriel Unified 0.05224 0,05729 0.05284 0.04930 0.05741 0.09294 0.10070 0.10190 0.10507 0.10240
Temple City Unified 0.04819 0.04778 0.04465 0.04977 0.04414 0.04661 0.04910 0.04950 0.08454 0.10523
I Unified D< 1998 Series A 0.00000 0.00000 0.00000
City's Share of 1% Levy Per Prop 13 (3) 0.09370 0.09370 0.09370 0.09370 0.09370 0.09370 0 09370 0.09370 0.09370 0.09370
General Obligation Debt Rate
Redevelopment Rate (4) 1.00755 1.00697 1.00604 1.00541 1.00450 1.00430 1.00430 1.00370 1.00370
Total Oirect Rate (5) 0.09576 0.09354 0.09410 0.089'16 0.09254 0.09188 0.09197 0.09202 0.09120 0.09076
(1) 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 v~lues for the paynment of any voter approval bonds
(2) Overlapping rates are those of local and county governments that apply to property owners within the City. Not all overlapping rates apply to all city property owners
(31 City's Share ot 1% levy is based 011 the City'o share of the general fund tax rate .rea with the largest net taxable value within the city. fRAF general fund tax shifts may not be included
in the tax ratio figures
(4) RDA rate io based on the largest RDA tox rate area (TRA) and includes only rate(s) from indebtedness adopted pnor to 1989 per California State statute RDA dime! and overlapping
rates are applied only to the incremental property values. The approval of ABX1 26 eliminated Redevelopment from the State of Colifomia for the fiscal year 2012/2013 and years thereafter
(5) Because bosic and debt rates vary by tax rate area Individual rates cannot be summed. Toto! Driect Rate is the weighted average of all individual direct rates applied by the government
preparing the stati>tical section information.
Source: LA County Assessor 2003/04 · 2012/13 Tax Rate Table
90
Fiscal
year Licenses and
ended Taxes Permits Intergovernmental
2004 $ 3,517,904 $ 1,225,266 $ 1,684,796
zoos 3,615,329 1,144,414 2,923,061
2006 3,970,043 1,092,015 2,721,891
2007 4,359,660 1,200,311 3,068,372
2008 4,578,801 1,385,267 3,482,229
2009 4,542,514 950,216 3,051,888
2010 3,830,602 1,096,347 3,549,571
2011 4,451,470 1,028,284 3,229,851
2012 4,581,975 1,345,183 3,196,237
2013 4,924,493 1,335,720 3,310,180
Source: City of Temple City basic financial statements
City of Temple City
General Fund Revenues-Last Ten Fiscal Years
Charges for Fines and Investment Rental Other Total
Services Forfeitures Income Income Revenues Taxes
$ 466,752 $ 189,510 $ 312,025 $ 31,462 $ 327,247 $ 7,754,962
529,768 271,007 382,601 32,005 220,834 9,119,019
585,885 256,879 897,594 33,698 264,039 9,822,044
621,383 254,024 1,167,407 37,413 276,738 10,985,308
674,154 242,337 1,034,417 90,108 287,075 11,774,388
662,360 287,575 694,444 80,794 305,020 10,574,811
542,976 534,287 442,363 65,928 348,851 10,410,925
631,355 423,041 409,097 57,442 414,145 10,644,685
757,496 646,498 378,269 57,268 128,805 11,091,731
957,437 521,440 132,565 53,369 269,647 11,504,851
91
Taxpayer
Calac Investment s
Gradiazio Investment Company
(Pending Appeals on Parcels)
Gateway LP Etal
(Pending Appeals on Parcels)
Santa Anita Convalescent Hospital and Residence
Ralphs Grocery Company
JamesJ. and Sue Femino Trust
General Board of the Church of the Nazarine
BarchesterTemple City
Golden Pineapple LLC
Xiaochun Zou and Peiwen Cheng
TCD Enterprise Inc
5561 Sultana LLC
Archdiocese of L.A. Education and Welfare
Gradiazio Investment Company
Miller Drive Partnership
Top Ten Total s
City Total s
City of Temple City
Principal Property Taxpayers
Current Fiscal Year and Nine Fiscal Years Ago
2012-2013 2003-2004
Percentage Percentage
of Total City of Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Value Rank Value Value Rank Value
21,032,745 1 0.57% s 18,240,398 0.84%
14,533,393 0,40% 9,191,438 2 0.42%
12,162,779 0.33%
8,318,640 4 0.23% 6,837,604 3 0.31%
7,351,907 5 0.20% 6,127,622 4 0.28%
5,661,380 6 0.15% 4,909,778 5 0.22%
5,229,380 7 0.14%
5,119,984 8 0.14%
4,963,320 9 0.14%
4,758,120 10 0.13%
4,195,690 6 0.19%
4,100,000 7 0.19%
3, 736,985 8 0.17%
3,412,511 9 0.16%
3,388,000 10 0.16%
89,131,648 2.43% s 64,140,026 2.94%
3,671,859,882 s 2,182,302,042
Source: L.A. County Assessor 2012/13 and 2003/04 Combined Tax Rolls and the SBE Non Unitary Tax Roll
92
Business Name
99 Cents Only
AT & T Mobility
Chevron
CVS Pharmacy
Green Island Restaurant
Hometown Buffet
InN Out Burgers
Jr Fueling
K Mart
McDonalds
Modern Lighting
Office De pot
Pep Boys
Peters Mobil Service
Ralphs
Rite Aid
Seafood Village
Star Maintenance Supply
Super A Foods
Super Pets
Temple City Powersports
Temple City Shell
The Hat
TJ Maxx
Zen Buffet
City of Temple City
Top 25 Sales Tax Producers-Current Fiscal Year
Business Category
Variety Stores
Electronics/Appliance Stores
Service Stations
Drug Stores
Restaurants Beer and Wine
Restaurants No Alcohol
Restaurants No Alcohol
Service Stations
Discount Department Stores
Restaurants No Alcohol
Plumbing/Electronics Supplies
Office Supplies/Furniture
Automotive/Supply Stores
Service Stations
Grocery Stores Liquor
Drug Stores
Restaurants Beer and Wine
Specialty Stores
Grocery Stores Liquor
Specialty Stores
Boats/Motorcycles
Service Stations
Restaurants No Alcohol
Family Apparel
Restaurants Beer and Wine
Note: Firms listed alphabetically. Period April 2012 Thru March 2013
Source: Hinderliter, de Llamas & Associates, State Board of Equalization
93
City of Temple City
Direct and Overlapping Debt
Direct debt
Overlapping debt
337.05 Metrolitan Water District (1)
473.51 El Monte City so OS 1999 SerA
473.53 El Monte Dist OS 1999 Ser C
473.54
473.55
473.56
473.57
473.60
473.61
473.62
629.52
629.53
629.54
629.55
745.51
745.52
745.53
745.54
745.55
745.56
805.52
805.55
805.56
805.57
805.58
805.59
805.60
805.62
805.63
805.64
805.65
805.66
805.67
805.68
805.69
812.51
812.52
812.53
812.54
817.51
817.53
817.54
817.55
920.52
920.53
920.54
920.55
920.56
920.57
920.58
947.51
947.52
947.53
El Monte School District 2004 Refunding Bonds
El Monte School District OS 2004 Series A 2005
El Monte City SO OS 2005 Ref Bonds
El Monte City SO OS 2004 Series B
El Monte School District OS 2008 Series A
El Monte School Oist 2008 Series A-1 BABS
El Monte City SO OS 2008, Series B
Rosemead School OS 2000 Series C
Rosemead School OS 2007 Series 0
Rosemead School OS 2008 Series A
Rosemead SO OS 2011 Ref Bond
El Monte Union HS Oist 2002 Series A
El Monte Union HS Oist 2002 Series B
El Monte Union HS Oist 2006 Refund Bonds
El Monte Un Hi OS 2002 Ser C
El Monte Union High OS 2008 SerA
El Monte Union HSO OS 2008 Series B
L.A. ceo os 2003 Series B
L.A. ceo OS 2003 Taxable Series 20046
L.A. CCO OS 2001 Taxable Series 2004A
LACC OS Refunding 2001 Series 2005 & 2013
LA ceo os 2001. 2006 Series B
LA ceo OS 2003. 2006 series c
LACC OS 2001. 2008 Ser E-1
LACC OS 2003, 2008 Ser F-1
LACC OS 2003, 2008 Taxable Ser F-2
LACC OS 2008, 2009 Taxable SerA
LACC OS 2008, 2009 Taxable SerB
LACC Debt 2008, 2010 Tax Series 0
LACC Debt 2010 Tax SerE (BABS)
LACC OS 2008, 2010 Series C
LA ceo OS 2008 2012 series F
Pasadena ceo OS 2006 Series B
Pasadena CCO OS 2006 Refunding Bond Series C
Pasadena ceo OS 2002, 2006 Ser D
Pasadena ceo 2002, 2009 Series E (BABS)
Arcadia Unified OS 1993 Series A
Arcadia Unified OS 1993 Series e
Arcadia Unified OS Ref. Bonds 1993 2005 Series A
Arcadia Unf OS 2006 SerA
San Gabriel USD OS 2002 Series B
San Gabriel USO OS 2005 Ref Bonds
San Gabriel USO OS 2002 Ser 2007 c
San Gabriel USO OS 2008 SerA
San Gabriel USD OS 201 o Ref Bonds
San Gabriel USD OS 2008 Series B
San Gabriel USD OS 20012 Ref Bond Series B
Temple City Unified DS 1998 Series A
Temple City USD OS 1998 Series B
Temple City USO OS 2005 Refunding Bond
Total overlapping debt
Total direct and overlapping debt
2012-2013 Assessed Valuation·
Debt to Assessed Valuation Ratios
Direct debt
Overlapping debt
Total debt
Gf"OSS bonded
debt balance
$ -
79,696,126
142,000
435,000
5.745,000
13,640,000
16.891.310
23.018.006
9,150.747
18,540,000
5,998,159
6,390.000
4.690,000
8,575.000
14,835,000
1.260,000
2,370,000
34.798,086
28,190,000
52,822.277
30.297,787
3,100,000
11.985,000
74,440,000
473,395,000
275,300,000
382,160,000
271,710,000
344,915.000
550,000
350,000,000
75,000,000
175,000,000
900,000,000
125,000,000
250,000,000
46,100,000
5,315,367
26,505,000
25,295,000
4,600,085
1,160,498
3,060.000
158,930,423
6,181,492
16,955,000
10,667,878
18,088,245
6,410,000
16,003,464
2.790,000
2,710,316
4,871,501
9,475,000
$3,574,800,778
0.00'%
1 29°/o
1 .29°/o
Percent
applicabh•
to City
0.000
0.405
10.419
10.419
10.419
10.419
10.419
10.419
10.419
10.419
10.419
2.700
2.700
2.700
2.700
6.012
6.012
6.012
6.012
6.012
6.012
0.019
0.019
0.019
0.019
0.019
0.019
0.019
0.019
0.019
0.019
0.019
0.019
0.019
0.019
0.019
5.651
5.651
5.651
5.651
3.154
3.154
3.154
3.154
2.555
2.555
2.555
2.555
2.555
2.555
2.555
70.630
70.630
70.630
(1) This fund is a portion of a larger agency, and is responsible for debt in areas outside the City
(2) Debt figures include general obligation debt which is being repaid through property taxes
It excludes revenue, mortgage revenue, interim financing obligations, non-bonded capital
lease obligations, and certificates of participation.
Source· 1---ldL Coren & Cone, Los Angeles County Assessor Combined 2012/13 Lien Date Tax Rolls
94
Net bonded
debt
$ -
322.768
147.957
45,325
598,599
1 ,421,218
1 ,759,987
2,398,357
953,461
1 ,931,772
624,977
172,537
126.635
231,535
400,562
75,754
142,490
2,092,143
1,694,849
3,175,800
1,821,575
582
2,249
13,972
88,851
51,671
71,727
50,997
64,737
103
65,691
14,077
32,846
168,920
23,461
46,922
2,605,227
300,385
1 ,497,864
1 ,429,484
145,080
36,600
96,508
5,012,427
157,960
433,264
272,604
462.222
163,799
408,948
71,295
1 ,914,302
3,440,751
6,692,212
45,976,040
$ 45,976,040
City of Temple City
Demographic and Economic Statistics-Last Ten Fiscal Years
Per Capita %of Pop 25+ %of Pop 25+
Calendar Personal Unemployment with with
Year Population Income "''' Median Age High School Degree Bachelor's Degree
2003 34,629 $20,873 4.4%
2004 35,202 $21,708 4.1%
zoos 35,396 $22,513 3.4%
2006 35,336 $23,709 3.0%
2007 35,360 $24,504 3.2%
2008 35,423 $24,688 4.8%
2009 35,615 $24,112 7.5% 40.5 87.1% 32.4%
2010 35,892 $27,889 8.2% 40.8 86.3% 32.2%
2011 35,749 $26,194 8.0% 40.6 86.5% 36.0%
2012 35,952 $26,779 6.1% 40.9 85.4% 35.9%
Notes and Dilta Sources:
Population: California State Department of Finance
Unemployment Data: California Employment Development Department
2003-20121ncome, Age, and Education Data: ESRI-Demographic Estimates ae based on the last available Census. Projections are developed by incorporting
all of the prior census data release to date. Demographic Data is totalled from Census Block Groups that overlap the City's boundaries.
2012" Income, Age, Education Data-US Census Bureau, most recent American Community Survey.
95
Calendar
year ended
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
New
Residential
$ 13,648,309
22,514,787
21,957,999
25,630,380
20,980,153
19,127,998
20,200,934
23,754,355
19,536,413
21,298,596
$
New
Commercial
1,046,700
1,916,300
1,980,100
3,240,390
1,340,500
3,892,187
2,156,535
1,175,540
2,490,427
14,433,160
City of Temple City
Construction Activity-Last Ten Fiscal Years
Total Demolitions
$ 14,695,009 N/A
24,431,087 $ 238,100
23,938,099 258,150
28,870,770 209,560
22,320,653 123,390
23,020,185 99,000
22,357,469 162,000
24,929,895 139,048
22,026,840 144,000
35,731,756 322,000
New
value of
Construction
N/A
$24,192,987
23,679,959
28,661,210
23,537,763
22,921,185
22,195,469
24,790,847
21,882,840
35,409,756
Source: City of Temple City Community Development Department
96
City of Temple City
Full-Time Equivalent City Employees by Function-Last Ten Fiscal Years
Function 2004 zoos 2006 2007 2008 2009 2010 2011 2012 2013
General Government
Full T1me 10.86 10.86 8.85 7.85 7.80 7.80 7.80 7.80 7.80 880
Part Time 1.03 0.79 0.83 0.86 0.64 0.61 0.65 0.85 3.11 3.11
11.89 11.65 9.68 8.71 8.44 8.41 8.45 8.65 10.91 11.91
Community Development
Full Time 8.00 8.00 7.10 8.10 7.15 7.15 7.15 6.10 6.10 6.20
Part Time 1.20 0.00 0.00 0.01 0.44 0.16 0.26 006 1.64 2.64
9.20 8.00 7.10 8.11 7.59 7.31 7.41 6.16 7.74 8.84
Parks & Recreation
Full Time 15.19 15.09 14.70 12.70 11.70 11.70 11.70 12.15 12.15 12.25
Part Time 10.69 11.18 11.78 16.68 19.56 21.88 21.46 18.96 22.66 18.92
25.88 26.27 26.48 2938 31.26 33.58 33.16 31.11 34.81 31.17
Public Safety
Full Time 5.70 5.60 4.40 4.40 5.40 5.40 5.40 7.05 7.05 7.65
Part Time 0.38 0.00 0.00 0.00 0.00 0.00 1.43 2.33 4.22 4.07
6.08 5.60 4.40 4.40 5.40 5.40 6.83 9.38 11.27 11.72
Pub I ic Works
Full Time 3.25 3.45 2.95 2.95 3.95 3.95 3.95 2.90 2.90 3.10
Part Time 0.16 0.07 0.00 0.03 0.04 0.00 0.34 0.00 0.28 1.79
3.41 3.52 2.95 2.98 3.99 3.95 4.29 2.90 3.18 4.89
Full T1me Total 43.00 43.00 38.00 36.00 36.00 36.00 36.00 36.00 36.00 38.00
Part Time Total (1) 13.46 12.04 12.61 17.58 20.68 22.65 24.14 22.20 31.91 30.53
TOTAL 56.46 55.04 50.61 53.58 56.68 58.65 60.14 58.20 67.91 68.53
Note: (1) 2,080Hours of Part Time equals to 1 Full Time Equivalent
Source: City of Temple City Administrative Services Department
97
City of Temple City
Operating Indicators by Function-Last Ten Fiscal Years
I 2004 2oos 2006 2001 2008 2009 20-w---201_1 __ 2012--2013 I
Public Safety:
Arrests
Parking Citations
Public Works:
Sewers new connections
Parks & Recreation:
Number of rereation classes
Number of facility rentals
367
4,102
126
400
N/A
389
8,190
59
352
N/A
Source: City of Temple City Community Development Department
City of Temple City Parks & Recreation Department
Los Angeles County Sheriff Department
438
6,385
83
401
N/A
98
513
7,089
78
398
904
559
6,947
55
341
1,050
411 514
6,879 12,681
30
363
1,076
36
330
1,179
949
9,024
25
390
1,083
1,105 852
9,926 10,025
30
400
1,110
59
368
1,178
(This page intentionally left blank.)