HomeMy Public PortalAboutCAFR Year Ended June 30, 2013YEAR ENDED JUNE 30, 2013
CITY OF RANCHO MIRAGE, CALIFORNIA
COMPREHENSIVE
ANNUAL
FINANCIAL REPORT
prepared by:
THE DEPARTMENT OF
ADMINISTRATIVE SERVICES
FINANCE DIVISION
Kim Malcolm-Valente, Director of Administrative Services
Isaiah Hagerman, Finance Director
COMPREHENSIVE
ANNUAL
FINANCIAL REPORT
CITY OF RANCHO MIRAGE, CALIFORNIA
CITY OF RANCHO MIRAGE
Comprehensive Annual Financial Report
Year Ended June 30, 2013
TABLE OF CONTENTS
Page
INTRODUCTORY SECTION:
Letter of Transmittal i
Organizational Chart vi
Directory of Officials vii
Certificate of Achievement for Excellence in Financing Reporting (GFOA) viii
FINANCIAL SECTION:
Independent Auditors' Report 1
Management's Discussion and Analysis
(Required Supplementary Information) 4
Basic Financial Statements
Government-wide Financial Statements:
Statement of Net Position 13
Statement of Activities 14
Fund Financial Statements: Government Funds:
Balance Sheet 15
Reconciliation of the Balance Sheet — Statement of Net Position 17
Statement of Revenues, Expenditures and Changes in Fund Balances 18
Reconciliation of Statement of Revenues, Expenditures and Changes
In Fund Balances — Statement of Activities 20
Fiduciary Funds:
Statement of Fiduciary Net Position 21
Statement of Changes in Fiduciary Net position 22
Notes to the Financial Statements 23
Required Supplementary Information
Schedule of Funding Progress – Other Post Employment Benefits 55
CITY OF RANCHO MIRAGE
Comprehensive Annual Financial Report
Year Ended June 30, 2013
TABLE OF CONTENTS (Continued)
Page
Budgetary Comparison Schedules:
General Fund 56
Library Special Revenue Fund 62
Fire Tax Special Revenue Fund 64
Housing Authority Special Revenue Fund 65
Note to Required Supplementary Information 66
Supplementary Schedules
Non-Major Governmental Funds:
Combining Balance Sheet 67
Combining Statement of Revenues, Expenditures and Changes in Fund Balances 68
Non-Major Special Revenue Funds:
Combining Balance Sheet 69
Combining Statement of Revenues, Expenditures and Changes in Fund Balances 70
Budgetary Comparison Schedules:
Landscape and Lighting Districts Special Revenue Fund 74
Parkland Special Revenue Fund 75
Library Foundation Special Revenue Fund 76
Gas Tax Special Revenue Fund 77
AB939 Recycle Programs Special Revenue Fund 78
Transportation Measure A Special Revenue Fund 79
Air Pollution Reduction Special Revenue Fund 80
Rent Control Special Revenue Fund 81
Storm Water Quality Special Revenue Fund 82
Debt Service Funds:
Non-Major Combining Balance Sheet 84
Non-Major Combining Statement of Revenues, Expenditures and Changes in Fund
Balance 85
Capital Projects Funds:
Non-Major Combining Balance Sheet 87
Non-Major Combining Statement of Revenues, Expenditures and Changes in
Fund Balances 88
Budgetary Comparison Schedules
Development Fees Capital Projects Funds 89
Agency Funds:
Combining Statement of Changes in Fiduciary Position and Liabilities 90
CITY OF RANCHO MIRAGE
Comprehensive Annual Financial Report
Year ended June 30,
TABLE OF CONTENTS (Continued)
Page
STATISTICAL SECTION:
Net Position by Component, Last Ten Fiscal Years 93
Changes in Net Position, Last Ten Fiscal Years 94
Fund Balances of Governmental Funds, Last Ten Fiscal Years 95
Changes in Fund Balances of Governmental Funds, Last Ten Fiscal Years 96
Major Revenue Sources - Governmental Funds, Last Ten Fiscal Years 97
Assessed and Estimated Value of Taxable Property, Last Ten Fiscal Years 98
Property Tax Rates — Direct and Overlapping Governments, Last Ten Fiscal Years 100
Principal Property Tax Payers, Current Year and Ten Years Ago 101
Property Tax Levies and Collections, Last Ten Fiscal Years 102
Ratios of Outstanding Debt by Type, Last Ten Fiscal Years 103
Ratio of General Bonded Debt Outstanding, Last Ten Fiscal Years 104
Direct and Overlapping Debt 105
Computation of Legal Debt Margin, Last Ten Fiscal Years 106
Pledged Revenue Coverage, Last Ten Fiscal Years 107
Demographic and Economic Statistics, Last Ten Calendar Years 108
Principal Employers 109
Full and Part-time Employees by Function, Last Ten Fiscal Years 110
Operating Indicators by Function, Last Ten Fiscal Years 111
Capital Assets by Function, Last Ten Fiscal Years 113
Former Redevelopment Agency Long-term Debt Information 114
OFFICE OF THE CITY MANAGER
Randal K. Bynder
June 4, 2014
Citizens of the City of Rancho Mirage,
Honorable Mayor and Members of the City Council
It is with great pleasure that I present to you the Comprehensive Annual Financial Report (CAFR) of the
City of Rancho Mirage for the fiscal year ended June 30, 2013. This document provides an overview of
the City’s financial activities during the past fiscal year. It has been prepared by the Finance Division of
the Department of Administrative Services for the benefit of City Council members, citizens, investors,
grantors, employees and others who may have an interest in the financial well-being of the City.
Responsibility for both the accuracy of the data and the completeness and fairness of the presentation,
including all disclosures, rests with the City of Rancho Mirage. To the best of our knowledge and belief,
the enclosed data is accurate in all material respects and is reported in a manner designed to present fairly
the financial position and results of operations of the various Funds of the City. All disclosures
necessary to enable the reader to gain an understanding of the City’s financial activities have been
included.
Vavrinek, Trine, Day & Co., Certified Public Accountants, has issued an unmodified (“clean”) opinion on
the City of Rancho Mirage’s financial statements for the fiscal year ended June 30, 2013. The
independent auditor’s report is located at the front of the financial section of this report.
Management’s discussion and analysis (MD&A) immediately follows the independent auditor’s report
and provides a narrative introduction, overview and analysis of the basic financial statements. MD&A
complements this letter of transmittal and should be read in conjunction with it.
PROFILE OF THE CITY
The City of Rancho Mirage, located in eastern Riverside County in Southern California, was incorporated
on August 3, 1973 and became a Charter City on December 25, 1997 as a result of a citywide election.
According to official State estimates, the City has a permanent population of 17,745 within a boundary of
approximately 25 square miles. The City sits at the base of the beautiful Santa Rosa Mountains and is an
integral part of the larger, world-renowned resort and retirement area known as the Palm Springs Valley.
The City operates under the Council-Manager form of government. The five City Council members are
elected to four-year terms in alternate slates every two years. Most recently, an election was held on
April 8, 2014. The Mayor is appointed by the City Council for a one-year period on a rotating basis.
Pursuant to the Municipal Code, the City Council member with the longest continuous service on the City
Council without having served as Mayor shall be appointed Mayor. The Mayor presides over City
Council meetings and represents the City at many public functions. The City Council also serves as the
Board of Directors of the Successor Agency to the former Redevelopment Agency, Housing Authority,
Community Services District and the Joint Powers Financing Authority component units as well as the
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Library. The City Council appoints the City Manager who heads the executive branch of the government,
implements policies as directed and established by the City Council and manages the administrative and
operational functions through the department directors. The City Manager appoints the department
directors with the exception of the City Clerk and the City Attorney who are both appointed by the City
Council. The City Manager also serves as the City Treasurer and the Executive Director of the Housing
Authority.
The City of Rancho Mirage provides a full range of services, including police and fire protection,
affordable housing programs, a highly-regarded public library, the construction and maintenance of
streets and other infrastructure as well as recreational and cultural activities.
The City’s annual operating and capital improvements budgets are adopted by resolutions for the fiscal
year that begin July 1st. Separate resolutions are adopted by the City Council and the Boards of Directors
of the Library, Community Services District, Joint Powers Financing Authority and the Housing
Authority for the specific Funds under their supervision.
The budget document is categorized according to the City of Rancho Mirage’s major entities - the City
and the Housing Authority. They are further subdivided into organizational units referred to as
Departments/Divisions or Funds. Expenditures for General Fund Divisions cannot exceed amounts
budgeted within the objects of salaries and benefits, operations and maintenance and capital such as
furniture and equipment. For other Funds, expenditures cannot exceed the total amount budgeted by each
Fund. The City Manager is authorized to transfer appropriations within an object of a General Fund
Division and within total fund appropriations for other Funds. The City Council/Boards of Directors
approve all other changes.
ECONOMIC CONDITIONS AND OUTLOOK
Rancho Mirage, like every other municipality in the State and in the nation, has been adversely affected
by the slow economic recovery. Rancho Mirage is weathering the situation better than most due to our
historic commitment to fiscal responsibility and the City Council’s vision to attract new revenue
generating businesses while maintaining the City’s well known reputation for high quality residential
neighborhoods. Rancho Mirage has and will continue to have an international reputation as a destination
resort and medical and research center and will continue to be recognized for its ambience and the unique
lifestyle it provides and where its residents enjoy a variety of cultural and recreational opportunities.
Any discussion of Rancho Mirage finances must include an acknowledgment that Rancho Mirage is
considered to be a “no-property-tax” City. The City did not have a separate property tax rate prior to the
voter enactment of Proposition 13 in 1978 and is, therefore, prohibited from imposing one without a vote
of the citizens. Thus, additional property tax revenue generated by development projects within the City,
but not within the boundaries of the former Rancho Mirage Redevelopment Agency, is not remitted to the
City’s General Fund. Instead, it is remitted to other taxing agencies such as Riverside County, school
districts and other special districts. The only exception to this relates to land annexed to the City after
June 30, 1980. In this instance, the City’s General Fund receives 25% of the County’s 30% share or 7.5%
of the property taxes paid by those specific property owners. As a result, the City’s General Fund only
received approximately $1.4 million or 7% of its total revenue from property tax.
As we all know, redevelopment activity in California effectively ceased January 31, 2012. This
unfortunate action by the State removes a major “economic engine” for development and construction of
infrastructure and affordable housing not only in Rancho Mirage but statewide as well. The former
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Redevelopment Agency was instrumental in constructing much of the infrastructure and facilities such as
the Rancho Mirage Library that have made Rancho Mirage the outstanding City that it is. The City has
assumed the role of Successor Agency effective February 1, 2012 with responsibilities to oversee
liquidation of the assets and liabilities of the former Redevelopment Agency.
While the residential base is the single greatest asset of the community, the prestigious image of Rancho
Mirage has also been enhanced by major nonresidential uses including three resort hotels – Omni Rancho
Las Palmas Resort and Spa, the Westin Mission Hills and Agua Caliente Casino●Resort●Spa -
Eisenhower Medical Center, the Betty Ford Center, Annenberg Sunnylands Estate and The River at
Rancho Mirage entertainment and retail center. These facilities are considered to be of the highest quality
level with some receiving both national as well as international recognition. These land uses, in
conjunction with the strong residential base, have allowed Rancho Mirage to become a prominent
community within the Palm Springs Valley.
Rancho Mirage was one of the first communities in the Palm Springs Valley to capitalize on the demand
for high quality residential/resort housing units in the Valley. As such, the City has traditionally had the
unique advantage of widespread name recognition as one of the most affluent residential communities in
the Valley. Within the context of continued growth within the Coachella Valley, the vast amount of
vacant available land creates competition throughout the Valley for desirable new revenue producing
development types. Rancho Mirage will also benefit from the long anticipated re-opening of the Ritz-
Carlton Hotel, which is scheduled for May 15, 2014.
Hotels, Sales Tax, Investments – The Big Three
Together, the transient occupancy tax, sales tax and interest revenue (approximately $10.6 million) made
up approximately 53% of the General Fund’s total revenue in FY 2012-13. Economic conditions that
affect these City revenues are those factors that influence tourism, residential growth, consumer spending
and investment returns. As previously noted, the current slow nationwide economic recovery has had a
negative impact on the City’s investment returns.
Regarding transient occupancy tax, the three hotels in the City of Rancho Mirage noted above are
considered to be first-class, destination resorts. Rancho Mirage has firmly established itself in a
competitive position within the Palm Springs Valley with enhanced recognition by leisure and group
resort travelers throughout the world. This position will be further strengthened once the Ritz-Carlton
Hotel opens on May 15, 2014. The project includes a complete renovation of the existing 244-room
resort and construction of 18 spa suites plus future construction of 54 T-wing units, 57 hotel villas, and 25
tennis villas once the housing market recovers. This newly renovated resort along with the Omni Rancho
Las Palmas Resort and Spa, the Westin Mission Hills Resort and Spa and the Agua Caliente
Casino●Resort●Spa will keep Rancho Mirage firmly established in a competitive position within the
Palm Springs Valley for recognition by leisure and group resort travelers throughout the world.
The Highway 111 corridor through Rancho Mirage is a 4½-mile-long major thoroughfare, with daily
traffic exceeding 65,000 vehicles. It is recognized as the circulation and commercial axis of the Palm
Springs Valley. The focus of the eastern-most portion of Highway 111 within Rancho Mirage is largely
retail, restaurants and professional offices. In this area is The River at Rancho Mirage, the cornerstone of
the City’s revitalization of Highway 111. The 30-acre waterfront development offers an upscale shopping
and entertainment experience in an environment that features a river, fountains and waterfalls. People
from all corners of the Palm Springs Valley, Southern California and beyond enjoy the many amenities
offered at The River. Coupled with the pending successful redevelopment of the Rancho Las Palmas
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Shopping Center, the resulting ripple effect along Highway 111 has transformed this area into a unique
and vibrant commercial “downtown” for the community.
Long-Term Financial Planning
The City’s General Plan is the community’s comprehensive and long-term view of its future; it is a
blueprint for the City’s growth and development. The City Council and the Planning Commission use the
goals and policies of the General Plan as a basis from which to make land use decisions. The General
Plan is considered “long-term” since it looks 15 years or more into the future and projects conditions and
needs as a basis for determining long-term objectives and policies for day-to-day decision making.
A comprehensive update to the General Plan was completed in 2005. Prior to 2005, the last
comprehensive update was completed in 1997. The update in 2005 was completed to keep pace with the
changing conditions in Rancho Mirage and the Coachella Valley. The update addressed maintaining and
enhancing the livability of Rancho Mirage’s neighborhoods, planning for an optimal balance of land uses
while enhancing economic opportunities within the City and protecting the City’s unique natural setting.
The update process was a collaborative effort among City staff, the City Council, professional planners
and the citizens and stakeholders of Rancho Mirage. With City Council concurrence, I intend to embark
on another comprehensive General Plan update over the next few years.
Other ways in which the City ensures that its long-range goals are met are through a wide variety of
Council Subcommittees. Each subcommittee is comprised of two Council members, one or more staff
and, in some cases, citizens. Following are a few examples of the current nineteen subcommittees along
with their assignments.
o Audit/Budget Subcommittee – Review and analyze financial information, audit results, budgets and
all financial policies and procedures.
o Commercial Development Subcommittee – Review proposed and recently submitted commercial
and other non-residential development projects, issues and topics.
o Eisenhower Medical Center Subcommittee – Work cooperatively with representatives of
Eisenhower Medical Center to ensure an effective partnership between the Medical Center and the
City.
o Tourism, Marketing and Special Events Subcommittee – Develop a theme for Rancho Mirage
tourism, create an effective and user-friendly format to market Rancho Mirage tourism opportunities
via the Internet, pursue group marketing of Rancho Mirage tourism; and promote Rancho Mirage
hotels as a place to hold conferences, business meetings and other special events.
o Chamber of Commerce Subcommittee – Coordinate with members of the Board of Directors of the
Chamber of Commerce and the Chamber’s Executive Director related to the services provided to the
City by the Chamber.
o Section 19 Specific Plan Subcommittee – Meet with staff, consultants and invited property owners
for the development and implementation of a Specific Plan for Section 19. Section 19 is
approximately 268 acres located on the northeast corner of Dinah Shore Drive and Bob Hope Drive
near the Agua Caliente Casino●Resort●Spa.
o Section 31 Subcommittee – Formed to discuss terms and conditions of zoning and potentially a
development agreement between the City and property owners in Section 31. Section 31 is
approximately 640 acres located south of section 30 and is bordered by Bob Hope Drive to the west,
Gerald Ford Drive to the north, Monterey Avenue to the east and Frank Sinatra Drive to the south.
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o Sphere of Influence Subcommittee – Review and analyze information and data related to the City’s
Sphere of Influence (SOI), meet with property owners, tribal representatives and prospective
developers.
Another way the City ensures its future financial health is its commitment to be economically prudent and
sound. Perhaps the best indication of the financial stability of the City is the amount of fund balance. The
City Council’s Audit/Budget Subcommittee consisting of two City Council members drafted the City’s
Fund Balance Policy in accordance with Governmental Accounting Standards Board (GASB) Statement
No. 54 effective July 1, 2010. The Fund Balance Policy incorporates the long-term view of the City’s
resources by adopting reserves. The City Council reviews the reserves annually, which allows them to act
quickly when events, whether local, state or nationwide, occur that change or may change the City’s
economic stability. The following fund balance classifications are now incorporated into the financial
statements: nonspendable, restricted, committed, assigned and unassigned. The footnotes to the financial
statements provide detailed information over the various fund balance classifications.
AWARDS AND ACKNOWLEDGEMENTS
The Government Finance Officers Association of the United States and Canada (GFOA) awarded a
Certificate of Achievement for Excellence in Financial Reporting to the City of Rancho Mirage for its
Comprehensive Annual Financial Report (CAFR) for the fiscal year ended June 30, 2012. This is the
twenty-second consecutive year that the City has received this award. In order to be awarded a
Certificate of Achievement, a government must publish an easily readable and efficiently organized
Comprehensive Annual Financial Report. This report must satisfy both generally accepted accounting
principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one
year only.
I would like to express my appreciation to the City Council for their ongoing oversight of the financial
affairs of the City and their prudent fiscal, economic and land use policy and direction. I also thank City
staff members with special appreciation to the Finance Division of the Department of Administrative
Services for their continued effort to provide accurate financial data to City management and to Vavrinek,
Trine, Day & Co., the City’s independent auditors, who assisted and contributed to the preparation of this
report.
Respectfully submitted,
Randal K. Bynder
City Manager
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ORGANIZATION CHART
vii
DIRECTORY OF OFFICIALS
June 30, 2013
CITY COUNCIL
Iris Smotrich Mayor
G. Dana Hobart Mayor Pro Tem
Richard Kite Councilmember
Charles Townsend Councilmember
Ted Weill Councilmember
ADMINISTRATION
Randal K Bynder City Manager/Executive Director of the
Redevelopment Agency Successor Agency
Steven B. Quintanilla City Attorney
Cindy Scott City Clerk
Bruce B. Harry, Jr. Director of Public Works
David Bryant Library Director
Kim Malcolm‐Valente Director of Administrative Services
Isaiah Hagerman Finance Director
viii
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INDEPENDENT AUDITORS' REPORT
The Honorable Mayor and Members of City Council
City of Rancho Mirage, California
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, each major fund and the
aggregate remaining fund information of the City of Rancho Mirage, California, (City) as of and for the year
ended June 30, 2013, and the related notes to the 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.
Auditors’ 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.
Mailing Address: P. O. Box 20439 Riverside, CA 92516
6370 Magnolia Avenue, Suite 330 Riverside, CA 92506 Tel: 951.367.3000 Fax: 951.367.3010 www.vtdcpa.com
Vavrinek, Trine, Day & Co., LLP
Certified Public Accountants VALUE THE DIFFERENCE
FRESNO • LAGUNA HILLS • PALO ALTO • PLEASANTON • RANCHO CUCAMONGA • RIvERSIdE • SACRAMENTO
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Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective
financial position of the governmental activities, each major fund and the aggregate remaining fund information
of the City as of June 30, 2013, and the respective change in financial position thereof for the year then ended in
accordance with accounting principles generally accepted in the United States of America.
Emphasis of Matter
As discussed in Note 1 to the financial statements, the City adopted Governmental Accounting Standards Board
(GASB) Statement No. 63, Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of
Resources, and Net Position, as of July 1, 2012. Our opinion is not modified with respect to this matter.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management's
discussion and analysis, schedule of funding progress and budgetary comparison schedules on pages 4 through 12,
55, and 56 through 66, respectively, be presented to supplement the basic financial statements. Such information,
although not 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’s basic financial statements. The accompanying major capital projects fund budgetary
comparison schedules, and the combining and individual nonmajor fund financial statements and schedules
(supplementary information) and the other information such as the introductory, statistical, and Former
Redevelopment Agency Long-term Debt Information sections (other information) are presented for purposes of
additional analysis and are not a required part of the basic financial statements.
The supplementary information is the responsibility of management and was derived from and relates 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 supplementary information is fairly stated, in all material respects,
in relation to the basic financial statements as a whole.
The other information has 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 it.
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Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated June 3, 2014, on our
consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain
provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to
describe the scope of our testing of internal control over financial reporting and compliance and the results of that
testing, and not to provide an opinion on 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’s internal control over financial reporting and compliance.
Riverside, California
June 3, 2014
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MANAGEMENT’S DISCUSSION AND ANALYSIS
Our discussion and analysis of the City of Rancho Mirage’s financial performance provides an overview
of the City’s financial activities for the fiscal year (FY) ended June 30, 2013. Please read it in
conjunction with the accompanying transmittal letter and the accompanying basic financial statements.
FINANCIAL HIGHLIGHTS
The total assets of the City exceeded its total liabilities at the close of the fiscal year 2012-13 by
$284,197,667 (net position). Of this amount, $74,622,221 is unrestricted net position, $37,842,120
is restricted for specific purposes and $171,733,326 is net investment in capital assets. The City’s
net position from governmental activities decreased from $287.6 million to $284.2 million or -2%
mostly as a result of the Housing Authority not receiving the 20% set-aside as a result of the RDA
dissolution and a negative fair market value adjustment.
The City’s total long-term debt decreased by $406,116 or -4.5% compared to the prior year. The
decrease mostly consisted of compensated absences.
USING THIS ANNUAL REPORT
This annual report consists of a series of financial statements. The Statement of Net Position, which
identifies the City’s assets, liabilities and net position, and the Statement of Activities, which identifies
revenues and expenses, provide summary information about the activities of the City as a whole and
allow a longer-term view of the City’s finances. Fund Financial Statements of the City’s major and non-
major governmental funds tell how City services were financed in the short term as well as what remains
for future spending. Fund financial statements also report the City’s operations in more detail than the
government-wide statements by providing information about the City’s most significant funds.
Reporting the City as a Whole: The Statement of Net Position and the Statement of Activities
One of the most important questions asked about the City’s finances is, “Is the City as a whole better off
or worse off as a result of this year’s activities?” The Statement of Net Position and the Statement of
Activities report information about the City as a whole and about its activities in a way that helps answer
this question. These statements include all assets and liabilities using the accrual basis of accounting,
which is similar to the accounting used by most private-sector companies. All of the current year’s
revenues and expenses are taken into account regardless of when cash is received or paid. On the other
hand the Fund Financial Statements are reported on the modified accrual basis of accounting as
discussed on the next page.
These two statements report the City’s net position and changes in them. The City’s net position, the
difference between assets and liabilities, are one way to measure the City’s financial health or financial
position. Over time, increases or decreases in the City’s net position indicate whether its financial
health is improving or deteriorating. However, consideration should also be given to other non-financial
factors, such as changes in the economy that may cause a decrease in consumer spending. The City’s
net position decreased this year by approximately $3.4 million from June 30, 2012 to June 30, 2013,
primarily due to the following: the Housing Authority not receiving the 20% set-aside as a result of the
RDA dissolution and a negative fair market value adjustment.
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Reporting the City’s Most Significant Funds: Fund Financial Statements
The Fund Financial Statements provide detailed information about the most significant Funds and not
the City as a whole. Included are the General, Library, Fire Tax, and Housing Authority, as well as
lesser Funds reported collectively as Non-major Governmental Funds. Some Funds are required to be
established by State law. However, management establishes many other Funds to help it control and
manage money for particular purposes or to show that it is meeting legal responsibilities for using
certain taxes, grants, and other money. The City currently has just one type of fund—governmental—
which uses the following accounting approach.
Governmental funds focus on how money flows into and out of those funds and the balances left at year-
end that are available for spending. All of the City’s services are reported in governmental funds. These
funds are reported using an accounting method called the modified accrual accounting. Under this
method of accounting, revenues are recognized in the accounting period in which they become
measurable and available to finance expenditures of the current fiscal period while expenditures are
generally recognized in the accounting period in which the liability is incurred with certain exceptions.
For example, the issuance of long-term debt results in the recording of an other financing source in
governmental funds and as principal and interest payments are made, an expenditure is recorded.
The governmental fund statements provide a detailed short-term view of the City’s general government
operations and the basic services it provides. Governmental fund information helps the reader determine
whether there are more or fewer financial resources that can be spent in the near future to finance the
City’s programs. The relationship (or differences) between governmental activities (reported in the
Statement of Net Position and the Statement of Activities) and governmental funds is described in a
reconciliation following the balance sheet of the governmental funds.
The City as Trustee: Reporting the City’s Fiduciary Responsibilities
The City is the trustee, or fiduciary, for certain amounts held on behalf of developers, property owners,
and others. The City’s fiduciary activities are reported in a separate Statement of Fiduciary Net
Position. We exclude these activities from the City’s other financial statements because the City cannot
use these assets to finance its operations. The City is responsible for ensuring that the assets reported in
these funds are used for their intended purposes. The private-purpose trust fund is used to account for
activity related to the dissolution of the former RDA. The accounting used for fiduciary funds is the
same as the Statement of Net Position and Statement of Activities.
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THE CITY AS A WHOLE
The City’s net position at June 30, 2013 was approximately $284.2 million as shown in Table 1. Table 2
shows changes in net position of approximately $3.4 million due to the reasons previously listed.
2013 2012
Current and other assets 122,142,305$ $127,148,705
Capital assets 174,000,722 176,195,744
Total Assets 296,143,027 303,344,449
Long-term debt outstanding 8,571,350 8,977,466
Other liabilities 3,374,010 6,717,956
Total Liabilities 11,945,360 15,695,422
Net position:
Net investment in capital
assets 171,733,326 175,897,018
Restricted 37,842,120 10,251,089
Unrestricted 74,622,221 101,500,924
Total Net Position $284,197,667 $287,649,031
Table 1
Net Position
As of June 30, 2013 and 2012
Governmental Activities
The other liabilities decrease of $3.4 million is primarily due to a decrease of $2.4 million in Due to
Other Governments and regularly scheduled debt service payments. At June 30, 2012 the Housing
Authority had a disallowed transfer as a result of the RDA dissolution. This amount was paid by the
Housing Authority in Fiscal Year 2012-13.
The City’s Net Position is made up of three components: Net Investment in Capital Assets, Restricted
and Unrestricted. Unrestricted net position, the part of net position that can be used to finance day-to-
day operations, account for approximately 26% of the total net position.
7
2013 2012
Revenues
Program Revenues
Charges for services $3,797,042 $3,685,002
Operating grants and contributions 864,205 2,098,306
Capital and grants contributions 936,367 1,448,786
Taxes
Property Taxes (Net of Pass-Through
Payments and SERAF)4,571,549 15,227,258
Transient occupancy taxes 5,606,679 5,356,152
Sales tax 3,882,102 3,970,239
Franchise taxes 1,244,971 1,239,565
Motor Vehicle In-Lieu tax 7,483 17,612
Library and fire services tax 10,039,639 7,702,636
Interest income, net of change in fair value 154,797 2,371,476
Other 832,364 483,148
Total Revenues $31,937,198 $43,600,180
Expenses
General government 13,496,119 16,759,819
Public safety 11,617,269 11,171,851
Public works 6,388,990 8,848,181
Cultural and recreation 3,734,569 3,911,881
Interest on long-term debt and
Other charges 151,615 4,690,367
Total Expenses 35,388,562 45,382,099
Extraordinary gain- Dissolution of
redevelopment agency - 98,551,208
Increase (decrease) in net position $ (3,451,364) $96,769,289
Table 2
Changes in Net Position
For the Year Ended June 30, 2013 and 2012
Governmental Activities
8
Summarized information for fiscal year 2013 is as follows:
Program
Revenues
18%
Taxes
48%
Library & Fire
Services
31%
Interest
Income &
Other
3%
Sources of Revenue
30%
37%
25%
8%
Taxes
Property Taxes
Transient Occupancy Tax
Sales Tax
Other
General
Government
38%
Public Safety
33%Public Works
18%
Cultural &
Recreation
11%
Interest on Long‐
Term Debt &
Other Charges
0%
Functional Expenses
9
The City’s total governmental activities revenues decreased from $43,600,180 to $31,937,198. Taxes,
which include property taxes, transient occupancy tax, sales tax, franchise tax, and motor vehicle in-lieu
tax accounts for approximately 48% of the total revenues for the current year. Other major revenue
sources include library and fire services tax at 31% and program revenues at 18%.
The increase of $2.3 million in Library and Fire Services tax was a result of the dissolution of the RDA.
The Library and Fire Services Tax received one time payments as a result of the Due Diligence
Reviews.
The decrease of $2.2 million in interest income was a result of the fair market value adjustment.
The overall net decrease of approximately $11.6 million is due to a reduction in property tax of $10.6
million resulting from the dissolution of the former Redevelopment Agency in 2012.
Total cost of all governmental activities was $35,388,562 compared to $45,382,099 for last year. The
decrease of $9.9 million was primarily the result of the dissolution of the RDA and a related decrease in
debt service. Fiscal Year 2012-13 was the first full fiscal year without the former RDA.
Governmental Activities
Table 3 presents the cost of each of the City’s activities—general government, public safety, and public
works—as well as each program’s net cost (total cost less revenues generated by the activities). The net
costs show the extent to which the City’s general revenues support each of the City’s programs.
Total Cost of
Services
Net Cost of
Services
Total Cost of
Services
Net Cost of
Services
General Government $13,469,119 $10,006,021 $16,759,819 $12,632,726
Public Safety 11,617,269 11,457,217 11,171,851 10,321,999
Public Works 6,388,990 5,120,857 8,848,181 7,414,944
Cultural and recreation 3,734,569 3,058,175 3,911,881 3,089,969
Interest on long-term debt
& other charges 151,615 148,678 4,690,367 4,690,367
Totals $35,361,562 $29,790,948 $45,382,099 $38,150,005
Table 3
Net Cost of Governmental Activities
As of June 30, 2013 and 2012
2013 2012
FINANCIAL ANALYSIS OF THE CITY’S FUNDS
At year-end the City’s Governmental Funds reported a combined fund balance of $118,392,902. This
includes the General Fund’s total fund balance of $80,152,789 of which $69,050,503 is committed,
$9,644,859 is unassigned and $1,457,427 is in non-spendable form. The General Fund’s fund balance
decreased by $1,157,811 due primarily to a negative fair market value adjustment of $1.2 million.
10
The General Fund’s financial statements include the financial activities of the License Tax Fund, the two
COPS (Citizens Option for Public Safety) Funds, the Agua Caliente Band of Cahuilla Indians (ACBCI)
Fee Fund, traffic safety fund, community service district fund and community facilities district fund.
The General Fund’s fund balance includes committed fund balance for prudent reserve, disaster
recovery, capital projects, Library, Ritz Spa Suite, Section 19 Water and economic development reserve.
For more information refer to footnote #15.
Other major funds:
The Library Fund’s fund balance decreased slightly to $2,805,315 from $2,726,556. It has always
been known that, with the opening of the new and larger Library in January 2006, the General Fund
would eventually have to provide an operating subsidy to the Library because expenditures would
exceed taxes for the library. Currently it is anticipated that the operating subsidy will begin in
FY 2018-19.
The Fire Tax Fund’s total fund balance increased from $432,169 to $728,343 due to transfers in of
$904,510 primarily from the general fund.
The Housing Authority’s total fund balance decreased from $18,222,249 to $16,164,875 primarily
due to the loss of the 20% set aside from the former RDA.
General Fund Budgetary Highlights
Revenues: As the economy continues to stabilize, few mid-year budget adjustments were needed to be
approved by Council. See the Budgetary Comparison Schedule for details. Final year-end expenditures
exceeded revenues and transfers by approximately $2.3 million. The primary reason was the budgeted
$2.1 million for various capital projects.
Expenditures: Various expenditure budget adjustments were approved by Council at mid-year and
year-end. See the Budgetary Comparison Schedule as identified in the table of contents. Actual
expenditures and transfers out of were $1,762,972 less than the final budget primarily due to budgeted
capital improvement projects not being completed by the end of the fiscal year (approximately $1
million) and reduced expenditures in all General Fund divisions (approximately $700,000).
CAPITAL ASSET AND DEBT ADMINISTRATION
Capital Assets
At the end of Fiscal Year 2013, the City had $174 million invested in a broad range of capital assets,
including land, buildings, park facilities, streets, traffic signals, vehicles and equipment. This amount
represents a net decrease (including additions and deletions) of approximately $2.2 million over last
year. More detailed information regarding the activity for the year ended June 30, 2013 can be found in
the notes to the financial statements section (note 6).
11
2013 2012
Land & Rights of way 39,187,508$ 39,187,508$
Buildings and improvements 50,606,631 51,720,886
Furniture & Fixtures 922,528 990,150
Equipment 969,895 761,464
Infrastructure 75,164,048 77,700,296
Work-in-Progress 7,150,112 5,835,440
Totals 174,000,722$ 176,195,744$
Table 4
Capital Assets at Year-End
(Net of Depreciation)
As of June 30, 2013 and 2012
Government Activities
$‐$10,000,000 $20,000,000 $30,000,000 $40,000,000 $50,000,000 $60,000,000 $70,000,000 $80,000,000
Land & Rights of way
Buildings and improvements
Furniture & Fixtures
Equipment
Infrastructure
Work‐in‐Progress
2012
2013
12
Debt
At year-end the City’s governmental activities had $8,571,350 in bonds, loans, claims payable, ACBCI
liability, deferrals on refunding and compensated absences compared to $8,977,466 at the prior year-
end. The decrease of approximately $406,000 is primarily due to the retirement of $185,000 in revenue
bonds. There was also a decrease of $100,422 in compensated absences. More detailed information can
be found in note 7 to the basic financial statements.
2013 2012
Revenue Bonds 4,605,000$ $ 4,790,000
ARRA- DOE Loan 278,743 298,726
Claims Payable 375,506 434,255
ACBCI Liability 1,988,653 2,015,840
Compensated Absences 1,072,295 1,172,718
Deferrals on Refunding
and (Discounts)/Premiums 251,153 265,927
Totals $ 8,571,350 $ 8,977,466
Table 5
Outstanding Debt at Year-End
As of June 30, 2013 and 2012
Government Activities
ECONOMIC FACTORS AND NEXT YEAR’S BUDGET
Current economic projections continue to project gradual improvement in economic growth. California
continues to struggle with high unemployment rates and slight projected growth in sales tax.
The City closed the fiscal year with healthy general fund balance of $80,152,789 and decrease of
$1,157,810 from the prior year. The General Fund budget for fiscal year 2013-14 has budgeted
operating revenues of $21,585,306 and operating expenditures of $21,410,042. The status of revenues
and expenditures will also be reviewed during the mid-year budget review in February 2014. The City
has committed fund balance for several large scale capital projects over the next few years.
CONTACTING THE CITY’S FINANCIAL MANAGEMENT
This financial report is designed to provide our citizens, taxpayers, customers, investors, and creditors
with a general overview of the City’s finances and to show the City’s accountability for the money it
receives. If you have questions about this report or need additional financial information, contact the
City’s Finance Department at the City of Rancho Mirage, 69-825 Highway 111, Rancho Mirage,
California 92270, (760) 770-3207 or visit the City’s website at www.ranchomirageca.gov.
CITY OF RANCHO MIRAGE
STATEMENT OF NET POSITION
JUNE 30, 2013
See accompanying notes to basic financial statements.
13
Governmental
Activities
Assets:
Cash and investments (note 2) 102,800,428$
Cash and investments with fiscal agent (note 2) 4,138,157
Receivables:
Interest 14,562
Accounts 565,721
Loans 3,156,699
Due from other governments 1,610,889
Prepaid items 2,237
Advances to RDA Successor Agency (note 4)9,666,379
Deferred cost of issuance 187,233
Capital assets (note 6):
Non-depreciable capital assets 46,337,620
Depreciable capital assets 200,034,449
Accumulated depreciation (72,371,347)
Total assets 296,143,027
Liablities:
Accounts payable 3,073,617
Accrued salaries and benefits 200,979
Accrued interest payable 49,694
Due to other governments 244
Deposits payable 49,476
Long-term liabilities (note 7):
Due within one year 528,922
Due in more than one year 8,042,428
Total liabilities 11,945,360
Net position:
Net investment in capital assets 171,733,326
Restricted for:
Public safety 817,810
Public works 12,553,111
Cultural and recreation 8,306,324
Affordable housing 16,164,875
Unrestricted 74,622,221
Total net position 284,197,667$
CITY OF RANCHO MIRAGE
STATEMENT OF ACTIVITIES
For the Year Ended June 30, 2013
See accompanying notes to basic financial statements.
14
Net (Expense)
Revenue and
Changes in
Net Position
Operating Capital Total
Charges for Grants and Grants and Program Governmental
Expenses Services Contributions Contributions Revenues Activities
Governmental activities:
General government (13,496,119)$ 2,789,596$ 629,062$ 44,253$ 3,462,911$ (10,033,208)$
Public safety (11,617,269) 133,530 26,522 - 160,052 (11,457,217)
Public works (6,388,990) 378,281 46,375 870,664 1,295,320 (5,093,670)
Cultural and recreation (3,734,569) 495,635 162,246 21,450 679,331 (3,055,238)
Interest on long-term debt
and other charges (151,615) - - - - (151,615)
Total governmental activities (35,388,562)$ 3,797,042$ 864,205$ 936,367$ 5,597,614$ (29,790,948)
General revenues:
Taxes:
Property taxes 4,571,549
Transient occupancy taxes 5,606,679
Sales taxes 3,882,102
Franchise taxes 1,244,971
Motor vehicle in lieu tax, unrestricted intergovernmental 7,483
Library and fire services tax 10,039,639
Interest income, net of increase (decrease) in fair value 154,797
Other 832,364
Total general revenues 26,339,584
Change in net position (3,451,364)
Net position at beginning of year, as restated 287,649,031
Net position at end of year 284,197,667$
Program Revenues
CITY OF RANCHO MIRAGE
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2013
See accompanying notes to basic financial statements.
15
Housing
General Library Fire Tax Authority
Fund Fund Fund Fund
Assets
Cash and investments 75,628,715$ 2,864,811$ 1,494,363$ 4,855,159$
Cash and investments with
fiscal agent 3,639,677 - - -
Receivables:
Interest 11,257 133 8 665
Accounts 476,777 10,638 - -
Loans 1,455,190 - - 1,701,509
Due from other governments 922,519 106,012 315,941 -
Due from other funds - 4,840 22,513 -
Advances to RDA Successor Agency - - - 9,666,379
Prepaid items 2,237 - - -
Total assets 82,136,372$ 2,986,434$ 1,832,825$ 16,223,712$
Liabilities
Liabilities:
Accounts payable 1,798,981$ 32,611$ 943,732$ 43,248$
Accrued salaries and benefits 128,598 59,261 - 10,178
Due to other governments 36 208 - -
Due to other funds 27,353 - - -
Deposits payable 28,615 11,935 - 5,411
Deferred revenue - 77,104 160,750 -
Total liabilities 1,983,583 181,119 1,104,482 58,837
Fund balances
Non-spendable 1,457,427 - - -
Restricted - 2,805,315 728,343 16,164,875
Committed 69,050,503 - - -
Unassigned 9,644,859 - - -
Total fund balance 80,152,789 2,805,315 728,343 16,164,875
Total liabilities and fund
balances 82,136,372$ 2,986,434$ 1,832,825$ 16,223,712$
Special Revenue Funds
16
Non major Total
Governmental Governmental
Funds Funds
17,957,380$ 102,800,428$
498,480 4,138,157
2,499 14,562
78,306 565,721
- 3,156,699
266,417 1,610,889
- 27,353
- 9,666,379
- 2,237
18,803,082$ 121,982,425$
255,045$ 3,073,617$
2,942 200,979
- 244
- 27,353
3,515 49,476
- 237,854
261,502 3,589,523
- 1,457,427
18,541,580 38,240,113
- 69,050,503
- 9,644,859
18,541,580 118,392,902
18,803,082$ 121,982,425$
CITY OF RANCHO MIRAGE
GOVERNMENTAL FUNDS
RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF NET POSITION
JUNE 30, 2013
See accompanying notes to basic financial statements.
17
Fund balances of governmental funds 118,392,902$
Amounts reported for governmental activities in the statement of net position are
different because:
Capital assets net of related accumulated depreciation have not been included
as financial resources in governmental fund activity:
Non-depreciable capital assets 46,337,620
Depreciable capital assets 200,034,449
Accumulated depreciation (72,371,347)
Long term debt and related balances, and compensated absences have
not been included in the governmental fund activity:
Revenue bonds payable (4,605,000)
ACBCI loan payable (1,988,653)
DOE ARRA loan payable (278,743)
Claims payable (375,506)
Compensated absences (1,072,295)
Deferred gain/(loss) on refunding (251,153)
Deferred cost of issuance 187,233
Accrued interest payable for the current portion of interest due on debt
service has not been reported in the governmental funds. (49,694)
Certain revenues will be collected after year end, but are not available soon
enough to pay for current period's expenditures, and are therefore reported
as deferred revenue in governmental funds. 237,854
Net position of governmental activities 284,197,667$
CITY OF RANCHO MIRAGE
STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
For the Year Ended June 30, 2013
See accompanying notes to basic financial statements.
18
Housing
General Library Fire Tax Authority
Fund Fund Fund Fund
Revenues:
Taxes 13,498,252$ 761,558$ 1,831,158$ -$
Intergovernmental 1,361,870 1,590,214 1,171,903 44,363
Licenses and permits 390,571 - - 4,480
Charges for services 731,744 408 16,250 1,453,281
Fines and forfeitures 118,819 53,187 - -
Special assessments 3,330,765 265,819 1,088,222 -
Developer fees 60,731 - - -
Interest income 1,357,641 28,733 4,426 119,625
Net increase (decrease)
in fair value of investments (1,230,526) (38,707) (5,777) (119,356)
Miscellaneous 386,913 98,167 - 203,513
Total revenues 20,006,780 2,759,379 4,106,182 1,705,906
Expenditures:
Current:
General government 10,413,176 - - 2,201,997
Public safety 6,819,960 - 4,714,518 -
Public works 3,499,397 - - -
Cultural and recreation - 2,690,540 - -
Capital outlay 1,074,497 - - 6,589
Debt service:
Principal - 19,983 - -
Interest - 2,937 - -
Total expenditures 21,807,030 2,713,460 4,714,518 2,208,586
Excess (deficiency) of revenues
over (under) expenditures (1,800,250) 45,919 (608,336) (502,680)
Other financing sources (uses):
Transfers in (note 5)1,530,082 70,074 904,510 -
Transfers out (note 5)(887,643) (37,234) - (1,554,694)
Total other financing sources (uses)642,439 32,840 904,510 (1,554,694)
Net change in fund balances (1,157,811) 78,759 296,174 (2,057,374)
Fund balances, beginning of year 81,310,600 2,726,556 432,169 18,222,249
Fund balances, end of year 80,152,789$ 2,805,315$ 728,343$ 16,164,875$
Special Revenue Funds
19
Non major Total
Governmental Governmental
Funds Funds
828,392$ 16,919,360$
492,347 4,660,697
- 395,051
177,275 2,378,958
- 172,006
952,562 5,637,368
272,751 333,482
296,593 1,807,018
(257,856) (1,652,222)
596,887 1,285,480
3,358,951 31,937,198
370,949 12,986,122
- 11,534,478
715,314 4,214,711
510,016 3,200,556
184,144 1,265,230
212,187 232,170
205,483 208,420
2,198,093 33,641,687
1,160,858 (1,704,489)
50,340 2,555,006
(75,435) (2,555,006)
(25,095) -
1,135,763 (1,704,489)
17,405,817 120,097,391
18,541,580$ 118,392,902$
CITY OF RANCHO MIRAGE
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
For the Year Ended June 30, 2013
See accompanying notes to basic financial statements.
20
Net change in fund balances - total governmental funds (1,704,489)$
Amounts reported for governmental activities in the statement of activities differs
from the amounts reported in the governmental funds because:
Governmental funds report capital projects (outlays) as expenditures. However, in the
statement of activities, the costs of those assets are allocated over their estimated useful
lives as depreciation expense. This is the amount by which capital outlays exceeded
depreciation in the current period
Capital outlay, net of adjustments for deletions 2,467,018
Depreciation expense, net of adjustments for deletions (4,662,040)
Repayment of debt service principal is an expenditure in the governmental
funds, however, the repayment reduces long-term liabilities in the statement of net position.
2005A lease refunding revenue bonds 185,000
ACBCI liability 27,187
DOE-ARRA Loan 19,983
Compensated absences, claims payable and deferred bond issue costs reported in the statement
of activities do not require the use of current financial resources and therefore are not
reported as expenditures in the governmental funds. The following represents the net change
for the current period:
Compensated absences 100,423
Claims payable 58,749
Amortization of deferral on refunding 14,774
Amortization of deferred costs of issuance (11,014)
Accrued interest for the current period 53,045
Change in net position of governmental activities (3,451,364)$
CITY OF RANCHO MIRAGE
STATEMENT OF FIDUCIARY NET POSITION
JUNE 30, 2013
See accompanying notes to basic financial statements.
21
Redevelopment
Successor Agency
Private-purpose Agency
Assets: Trust Fund Fund
Cash and investments (note 2) 6,773,003$ 4,155,785$
Cash and investments with fiscal agent (note 2) 54,125,616 1,260,811
Receivables:
Interest 1,207 245
Accounts 25,000
Loans 17,336 -
Due from other governments - 26,386
Land held for resale 255,000 -
Deferred cost of issuance 2,548,816 -
Capital assets:
Non-depreciable capital assets 500,000 -
Total assets 64,220,978 5,468,227$
Liabilities:
Accounts payable 9,306 850,127$
Advances payable to City of Rancho Mirage 9,666,379 -
Deposits payable - 1,753,623
Due to bondholders - 2,864,477
Interest payable 1,769,004 -
Long-term liabilities:
Due within one year 6,028,960 -
Due in more than one year 142,004,799 -
Total liabilities 159,478,448 5,468,227$
Net Position (Deficit):
Held in trust for beneficiaries (95,257,470)$
CITY OF RANCHO MIRAGE
FIDUCIARY FUNDS
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
FOR THE YEAR ENDED JUNE 30, 2013
See accompanying notes to basic financial statements.
22
Redevelopment
Successor Agency
Private-purpose
Trust Fund
Additions:
Property taxes 13,615,007$
Investment earnings 188,948
Net increase (decrease)
in fair value of investments (192,428)
Total Additions 13,611,527
Deductions:
General government 5,503,055
Interest and fiscal charges 7,262,185
Deferred issuance cost amortization 149,951
Total Deductions 12,915,191
Change in Net Position 696,336
Net Position, Beginning of Year (95,953,806)
Net Position, End of Year (95,257,470)$
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(IN ORDER OF PRESENTATION)
JUNE 30, 2013
23
Note Description Page Number
1 Reporting Entity and Summary of Significant Accounting Policies 24
2 Cash and Investments 35
3 Due From and Due to Other Funds 39
4 Advances To and Advances From Other Funds/Redevelopment Successor
Agency Private-purpose Trust 39
5 Interfund Transfers 40
6 Capital Assets 41
7 Long-term Liabilities 42
8 Debt Without Governmental Commitment 45
9 Participation in Risk Pool 46
10 Joint Powers Finance Authority and Assessment District Budget 47
11 Defined Benefit Pension Plan 47
12 Other Post Employment Benefits (OPEB) 48
13 Deferred Compensation Plan 51
14 Contingencies 51
15 Fund Balances for Governmental Funds 52
16 Prior Period Adjustment 53
17 Successor Agency Trust for Assets of Former Redevelopment Agency 53
18 Subsequent Event 54
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
24
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Summary of Significant Accounting Policies
The basic financial statements of the City of Rancho Mirage (City) have been prepared in conformity with
generally accepted accounting principles as applicable to government units. The Governmental
Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental
accounting and financial reporting principles.
The Financial Reporting Entity
The City was incorporated August 3, 1973, as a general law city under the government code of the State
of California. Effective December 25, 1997, the City became a charter city which was approved by the
citizens of the City. The City operates under a council-manager form of government and the City Council
is composed of five elected members. Among the services provided by the City are the following: public
works, parks and recreation, library, planning, building and safety, code compliance, and contracted fire
and law enforcement services.
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 either 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 upon the City (i.e., it is unable to adopt its budget, levy taxes, set
rates or charges, or issue bonded debt without approval from the City) and there is a financial benefit or
burden relationship between the primary government and the component unit. In certain cases, other
organizations are included as component units if the nature 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 organizations are
considered to be component units of the City:
Rancho Mirage Joint Powers Financing Authority
The Rancho Mirage Joint Powers Financing Authority was established pursuant to a Joint Exercise of Powers
Agreement dated December 1, 1989, between the City and the Rancho Mirage Redevelopment Agency (the
"Members"). The Authority was created for the purpose of providing financing for public capital
improvements for the Members. Even though it is legally separate, it is reported as if it were part of the City
because the City Council also serves as the governing board of the Authority and there is a financial benefit or
burden relationship between the primary government and the component unit. Separate financial statements of
the Financing Authority are not issued.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
25
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
A. Summary of Significant Accounting Policies (Continued)
Rancho Mirage Housing Authority
The Housing Authority was established October 6, 1994, to promote and encourage the retention,
rehabilitation and development of "affordable" housing units. "Affordable" housing units are those units
occupied by households not exceeding the "affordable" income limits as established by the Department of
Housing and Urban Development ("HUD"). Income limits are revised on a yearly basis. Even though the
Housing Authority is legally separate, it is reported as if it were part of the City because the City Council
also serves as the governing board and there is a financial benefit or burden relationship between the
primary government and the component unit. Separate financial statements of the Housing Authority are
not issued.
Community Services District (CSD)
The CSD was created on July 15, 1999, to collect property taxes for the Library and Fire Tax Funds. A
transfer of property tax revenues collected by the CSD is made by the CSD to the Library and Fire Tax Funds
for their respective operations. Even though the CSD is a legally separate entity, it is reported as if it were part
of the City because the City Council also serves as the governing board and there is a financial benefit or
burden relationship between the primary government and the component unit. Separate financial
statements are not prepared for the CSD.
Library Foundation
The Library Foundation was created in September 2010, to raise funds on behalf of the Library. The
Foundation is a legally separate entity but is reported as if it were part of the City because the Foundation
almost exclusively benefits the primary government and, as such, is considered a blended component unit.
Separate financial statements of the Foundation are available at City Hall, 69-825 Highway 111, Rancho
Mirage, California 92270.
B. 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
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
26
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
B. Basis of Accounting and Measurement Focus (Continued)
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 activities
of the primary government (including its blended 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.
The government-wide financial statements are reported using the economic resources measurement focus and
the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a
liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues
in the year for which they are levied. Grants and similar items are recognized as revenue as soon as eligibility
requirements imposed by the provider have been met.
Program revenues include charges for services, special assessments, 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 an expenditure. Proceeds of long-term debt are recorded as a liability in the
government-wide financial statements, rather than as an 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
an 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. 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, and fiduciary funds are presented
after the government-wide financial statements. These statements display information about major funds
individually and non-major funds in the aggregate for governmental funds. Fiduciary statements include
financial information for fiduciary funds. Fiduciary funds of the City primarily represent assets held by
the City in a custodial capacity for other individuals or organizations.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
27
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
B. Basis of Accounting and Measurement Focus (Continued)
Governmental Funds
In the fund financial statements, governmental funds are presented using the modified-accrual basis of
accounting. Their revenues are recognized when they become measurable and available. 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 uses an availability period of 60 days.
Sales taxes, property taxes, franchise taxes, gas taxes, motor vehicle in lieu, transient occupancy taxes,
grants and interest associated with the current fiscal period are all considered to be susceptible to accrual
and so have been recognized as revenues of the current fiscal period to the extent normally collected within
the availability period. Other revenue items are considered to be measurable and available when cash is
received by the government.
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. Governmental fund operating statements present increases (revenues and other
financing sources) and decreases (expenditures and other financing uses) in fund balance.
Non-current portions of long-term receivables due to governmental funds are reported on their balance
sheets in spite of their spending measurement focus. Recognition of governmental fund type revenues
represented by non-current receivables are deferred until they become measurable and available.
Due to their nature of their spending measurement focus, expenditure recognition for governmental fund types
excludes amounts represented by non-current liabilities such as long-term debt. Such long-term amounts are
not recognized as governmental fund type expenditures or fund liabilities until they become due and payable.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
28
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
B. Basis of Accounting and Measurement Focus (Continued)
Governmental Funds (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 an other financing
sources rather than as a fund liability. Amounts paid to reduce long-term indebtedness are reported as fund
expenditures.
When expenditures are incurred for purposes for which both restricted and unrestricted (committed, assigned,
or unassigned) fund balances are available, the City’s policy is to first apply restricted fund balance. When
expenditures are incurred for purposes for which committed, assigned, or unassigned fund balances are
available, the City’s policy is to first apply committed fund balance, then assigned fund balance, and finally
unassigned fund balance. The City applies restricted resources when an expense is incurred for purposes for
which both restricted and unrestricted net position are available.
Fiduciary Funds
Fiduciary funds, including the private-purpose trust fund, use the economic resources measurement focus
and the accrual basis of accounting.
C. Fund Classifications
The City reports the following major governmental funds.
Major Funds
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. This fund pays the general operating expenditures and capital improvement costs which are not paid
through other Funds.
Library Special Revenue Fund. The Library Fund is used to account for revenues and expenditures
associated with the provision of public library services. Special Assessment tax revenue is restricted for
funding of library services and programs.
Fire Tax Special Revenue Fund. The Fire Tax Fund is used to account for the revenues and
expenditures associated with the provisions of fire protection services. Special Assessment tax revenue is
restricted for funding of fire services.
Housing Authority Special Revenue Fund. The Housing Authority Fund is used to account for monies
restricted for assistance to low and moderate income households. Revenues are restricted by government
code for funding of housing units to benefit low and moderate income households.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
29
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
C. Fund Classifications (Continued)
Additionally, the City reports the following funds:
Fiduciary Funds
Redevelopment Successor Agency Private-purpose Trust Fund. This fund was created as part of the
dissolution of Redevelopment Agency. The fund accounts for the assets, liabilities, and activities of the
former Redevelopment Agency of the City in a trustee capacity to pay for enforceable obligations of the
former Redevelopment Agency. In accordance with Assembly Bill (AB) X1 26 and AB 1484, the
Redevelopment Agency was dissolved February 1, 2012.
Agency Fund. The City's Agency Fund is used to account for refundable customer deposits and assessment
collections and debt service payments of assessment districts whose debt is not an obligation of the City.
Agency funds are custodial in nature (assets equal liabilities) and do not involve the recording of City
revenues and expenses.
D. New Accounting Pronouncements
Adopted in the Current Year
GASB Statement No. 63 – In June 2011, GASB issued Statement No. 63, Financial Reporting of Deferred
Outflows of Resources, Deferred Inflows of resources, and Net Position. This statement provides financial
reporting guidance for deferred outflows of resources and deferred inflows of resources. The City
implemented this pronouncement, effective July 1, 2012.
Effective in Future Years
GASB Statement No. 65 – In March 2012, GASB issued Statement No. 65, Items Previously Reported as
Assets and Liabilities. This Statement provides guidance on proper classification of certain items previously
reported as assets and liabilities as deferred outflows or inflows of resources. This Statement also provides
guidance on recognition of certain items that were previously reported as assets and liabilities as outflows or
inflows of resources. This statement is effective as of July 1, 2013. The City has not determined the effect on
the financial statements.
GASB Statement No. 66 – In March 2012, GASB issued Statement No. 66, Technical Corrections—2012—
an Amendment of GASB Statements No. 10 and No. 62. The objective of this Statement is to resolve
conflicting guidance that resulted from the issuance of two pronouncements, Statements No. 54, Fund Balance
Reporting and Governmental Fund Type Definitions, and No. 62, Codification of Accounting and Financial
Reporting Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncements. This
statement is effective as of July 1, 2013. The City has not determined the effect on the financial statements.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
30
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
D. New Accounting Pronouncements (Continued)
Effective in Future Years (Continued)
GASB Statement No. 67 – In June 2012, GASB issued Statement No. 67, Accounting and Financial
Reporting for Pensions—an Amendment of GASB Statement No. 25. This statement establishes accounting
and financial reporting requirements related to pensions for governments whose employees are provided with
pensions through pension plans that are covered by the scope of this Statement, as well as for nonemployer
governments that have a legal obligation to contribute to those plans. This Statement also addresses
accounting and financial reporting for the activities of pension plans that are administered through trusts. This
Statement is effective as of July 1, 2013. The City has not determined the effect on the financial statements.
GASB Statement No. 68 – In June 2012, GASB issued Statement No. 67, Accounting and Financial
Reporting for Pensions—an Amendment of GASB Statement No. 27. This Statement establishes standards for
measuring and recognizing liabilities, deferred outflows of resources, deferred inflows of resources, and
expense/expenditures. For defined benefit pensions, this Statement identifies the methods and assumptions
that should be used to project benefit payments, discount projected benefit payments to their actuarial present
value, and attribute that present value to periods of employee service. This Statement is effective as of
July 1, 2014. The City has not determined the effect on the financial statements.
GASB Statement No. 69 – In January 2013, GASB issued Statement No. 69, Government Combinations and
Disposals of Government Operations. The objective of this Statement is to establish reporting standards
related to governmental combinations and disposals of government operations. The Statement is effective for
periods beginning after December 15, 2013, or the 2014-2015 fiscal year. The City has not determined the
effect on the financial statements.
GASB Statement No. 70 – In April 2013, GASB issued Statement No. 70, Accounting and Financial
Reporting for Nonexchange Financial Guarantees. The objective of this Statement is to improve the
recognition, measurement, and disclosure guidance for state and local governments that have extended or
received financial guarantees that are nonexchange transactions. The Statement is effective for periods
beginning after June 15, 2013, or the 2013-2014 fiscal year. The City has not determined the effect on the
financial statements.
GASB Statement No. 71 – In November 2013, GASB issued Statement No. 71, Pension Transition for
Contributions Made Subsequent to the Measurement Date—an amendment of GASB Statement No. 68. The
objective of this Statement is to address an issue regarding application of the transition provisions of Statement
No. 68, Accounting and Financial Reporting for Pensions. The issue relates to amounts associated with
contributions, if any, made by a state or local government employer or nonemployer contributing entity to a
defined benefit pension plan after the measurement date of the government’s beginning net pension liability.
This Statement is effective as of July 1, 2014. The City has not determined the effect on the financial
statements.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
31
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
E. Fund Balance
The following classifications describe the relative strength of the constraints placed on the purposes for which
resources can be used:
Nonspendable
Amounts that cannot be spent either because they are in nonspendable form or are legally or contractually
required to be maintained intact (e.g. prepaid assets, inventory).
Restricted
Amounts that are constrained to specific purposes by state or federal laws, enabling legislation, or externally
imposed conditions by grantors or creditors.
Committed
Amounts that can only be used for specific purposes pursuant to constraints imposed by the City Council, the
City’s highest level of decision-making authority, through formal actions taken, such as a resolution. These
committed amounts cannot be used for any other purpose unless the City Council removes or changes the
specified use through the same type of formal action taken to establish the commitment. Council action to
commit fund balance needs to occur within the fiscal reporting period; but the amount, if any, which will be
subject to the constraint, may be determined at a subsequent period.
Assigned
Amounts that are constrained by the City’s intent to be used for specific purposes, but are neither restricted nor
committed. The City Council retains the authority to assign fund balance for specific purposes.
Unassigned
The unassigned classification is to be used when there are negative residual resources in excess of what can be
properly classified as nonspendable, restricted, committed or assigned in funds outside of the General Fund.
Within the General Fund, the unassigned classification represents the residual amounts not classified in one of
the four previous classifications.
F. Cash and Investments
Investments are reported in the accompanying balance sheet at fair value, except for negotiated certificates of
deposit and investment contracts that are reported at cost because they are not transferable and they have terms
that are not affected by changes in market interest rates.
Interest income reports interest earnings. Net increase (decrease) in investment fair value reports changes in
fair value, and any gains or losses realized upon the liquidation, maturity 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. Interest income
earned by the pooled investments is allocated to the various funds based on each fund's average cash and
investment balance.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
32
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
G. Capital Assets
Capital assets (including infrastructure) are recorded at cost where historical records are available and at an
estimated original cost where no historical records exist. Contributed capital assets are valued at their
estimated fair market value at the date of the contribution. Generally, capital asset purchases in excess of $500
are capitalized if they have an expected useful life of three years or more.
Capital assets include public domain (infrastructure) general capital assets consisting of certain improvements
including roads, streets, sidewalks, medians, and storm drains.
Capital assets used in operations are depreciated over their estimated useful lives using the straight-line
method in the government—wide financial statements and fiduciary funds. Depreciation is charged as an
expense against operations and accumulated depreciation is reported on the statement of net position. The
ranges of lives used for depreciation purposes for each capital asset class are as follows:
Building and improvements 30-50 years
Furniture and fixtures 3-15 years
Equipment 3-15 years
Infrastructure:
Pavement 25 years
Curbs and gutters 50 years
Sidewalks 50 years
Bridges 50 years
Medians 50 years
Traffic signals 15 years
Storm drain system 75 years
H. Property Taxes
Property taxes are assessed and collected each fiscal year according to the following property tax calendar:
Lien Date January 1
Levy Date July 1
Due Date November 1 (first installment)
February 1 (second installment)
Delinquent Date December 10 (first installment)
April 10 (second installment)
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
33
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
H. Property Taxes (Continued)
Under California law, property taxes are assessed and collected by the counties up to 1 percent of assessed
value, plus other increases approved by the voters. The property taxes go into a pool, and are then allocated to
the cities based on complex formulas prescribed by the state statutes. A delinquency penalty of 10 percent is
assessed by the County of Riverside. If taxes become delinquent, subject properties may be deeded to the
State and may be sold by the County for taxes plus a 1.5 percent per month redemption fee.
The City accrues as a receivable all property taxes normally received from the County within sixty days of the
end of the fiscal year.
I. Encumbrances
Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure
of monies are recorded in order to reserve that portion of the applicable appropriation, is employed as an
extension of formal budgetary integration in governmental funds. Encumbrances outstanding at June 30, 2013
were $115,529.
J. Self-Insurance
The City is self-insured for the first $250,000 of each workers' compensation claim. Losses in excess of these
amounts up to $5 million are covered by outside insurance. The City is completely self-insured for
unemployment claims.
K. Accounting for Self-Insurance Activities
The City records a liability for litigation, judgments, and claims (including claims incurred, but not reported)
when it is probable that an asset has been impaired or a liability has been incurred prior to year end and the
probable amount of loss (net of any insurance recovery) can be reasonably estimated. Liabilities resulting
from self-insurance activities are recorded as claims payable in the government-wide financial statements
since these liabilities are funded on a pay-as-you-go basis in the funds and are not payable from currently
available financial resources.
L. Interfund Borrowing
Due from and Due to other funds represent short term borrowings.
M. Land Held for Resale
Land held for resale represents land, structures and their related improvements that were acquired for resale in
accordance with the objectives of the Housing Authority. Property held for resale is valued at the lower of
historical cost or estimated resale value.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
34
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
N. Transient Occupancy Tax
Approximately 26.8 percent of General Fund revenue is derived from transient occupancy tax collected within
the City.
O. Compensated Absences
A liability is recorded for unused vacation and similar compensatory leave balances since the employees'
entitlement to these balances are attributable to services already rendered and it is probably that virtually all of
these balances will be liquidated by either paid time off or payments upon termination or retirement.
A liability is recorded for unused sick leave balances only to the extent that it is probable that the unused
balances will result in termination payments. Other amounts of unused sick leave are excluded from the
liability since their payment is contingent solely upon the occurrence of a future event (illness) which is
outside the control of the City and the employee.
In governmental funds, compensated absences (unpaid vacation and sick leave) are recorded as expenditures
in the year they are paid. The balance of unpaid vacation and vested sick leave at year end is recorded in the
government-wide financial statements as these amounts will be liquidated from future resources.
Depending upon the length of employment, full-time City employees earn 10 to 18 vacation days per year.
Employees' vacation may not exceed 30 working days during any calendar year without the approval of the
City Manager.
Full-time City employees are provided with 12 sick days a year. A maximum of 120 days of sick leave may
be accumulated.
Upon termination, full-time employees are entitled to receive compensation at their current base salary for all
unused vacation leave, administrative leave, compensatory time and floating holidays. Upon termination, full-
time employees receive 50 percent of their accrued sick leave at their current pay rate. Upon retirement, full-
time employees are eligible to receive up to 50 percent of their accrued sick leave at their current pay rate and
the remaining 50 percent converted to service credit with the California Public Employees Retirement System
or convert 100 percent of accrued sick leave to service credit or a combination of the two.
P. Interfund Transfers
Transfers are reported as other financing sources and uses in the statement of revenues, expenditures and
changes in fund balances in the fund financial statements.
Q. Prepaid Items
Prepaid items are reported using the consumption method.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
35
NOTE #1 – REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
R. Receivables
At fiscal year end the collectability of parcel charges due from the County of Riverside in the Storm Water
Quality fund was unknown. An allowance has been recorded as follows:
Storm Water Quality Fund
Due from other governments 158,000$
Allowance (158,000)
Due from other governments, net -$
S. Use of Estimates
The preparation of basic financial statements in conformity with accounting principles generally accepted in
the United States of America 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 revenue and expenditures during the reporting period.
Actual results could differ from those estimates.
NOTE #2 – CASH AND INVESTMENTS
Cash and investments as of June 30, 2013 are classified in the accompanying financial statements as follows:
Statement of net position:
Cash and investments 102,800,428$
Cash and investments with fiscal agent 4,138,157
Fiduciary funds:
Cash and investments 10,928,788
Cash and investments with fiscal agent 55,386,427
Total cash and investments 173,253,800$
Cash on hand 2,554$
Deposits with financial institutions 541,513
Investments 172,709,733
Total cash and investments 173,253,800$
Total City deposits and investments at fair value as of June 30, 2013 are reported as follows:
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
36
NOTE #2 – CASH AND INVESTMENTS (Continued)
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 and the City's investment policy. The table also identifies certain provisions of the California Government
Code (or the City's investment policy, if more restrictive) that address interest rate risk and concentration of
credit risk. This table does not address investments of debt proceeds held by fiscal agent 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.
*Maximum Maximum
*Maximum Percentage Investment
Investment Types Maturity Allowed in One Issuer
U.S. Treasury Obligations 5 years None None
U.S. Agency Securities 5 years None None
Certificates of Deposit N/A None 15%
Negotiable Certificates of Deposit 5 years 30% $1,000,000
Repurchase Agreements 1 year None None
Money Market Mutual Funds N/A 20% 10%
Local Agency Investment Fund (LAIF) N/A None None
Based on state law requirements or investment policy requirement, whichever is more restrictive. In accordance
with the City's investment policy, a maximum of 25% of the City's investment portfolio may be invested for more
than 5 years, not to exceed 10 years.
Investments Authorized by Debt Agreements
Investment of debt proceeds held by fiscal agent are governed by provisions of the debt agreements, rather than the
general provisions of the California Government Code or the City's investment policy.
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an
investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to
changes in market interest rates. One of the ways that the City manages its exposure to interest rate risk is by
purchasing a combination of shorter term and longer term investments and by timing cash flows from maturities so
that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the
cash flow and liquidity needed for operations.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
37
NOTE #2 – CASH AND INVESTMENTS (Continued)
Information about the sensitivity of the fair values of the City's investments (including investments held by fiscal
agent) to market interest rate fluctuations is provided by the following table that shows the distribution of the
City's investments by maturity:
12 Months 13 to 24 25 to 36 37 to 48 49 to 60 More than
Investment Type Total Or Less Months Months Months Months 60 Months
Investments held by City:
U.S. Treasury Notes 6,327,052$ 137,104$ 1,501,459$ 2,065,375$ 2,623,114$ -$ -$
Federal Agency Securities 73,992,758 1,049,023 17,131,870 19,064,037 12,410,149 6,802,041 17,535,638
State Investment Pool
(LAIF)33,750,159 33,750,159 - - - - -
Investments held by fiscal
Agent:
U.S. Treasury Notes 11,576,355 10,448,783 - 776,351 351,221 - -
Certificates of Deposit 100,487 100,487 - - - - -
Federal Agency Securities 391,028 - - - 391,028 -
Money Market Funds 46,571,894 46,571,894 - - - - -
Total 172,709,733$ 92,057,450$ 18,633,329$ 21,905,763$ 15,384,484$ 7,193,069$ 17,535,638$
Remaining Maturity (in Months)
Disclosures Relating to Credit Risk
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 Moody’s actual rating as of year-end for each investment type.
Exempt
From Not
Investment Type Total Disclosure Aaa Rated
U.S. Treasury notes 6,327,052$ 6,327,052$ -$ -$
Federal agency securities 73,992,758 - 73,992,758 -
State investment pool (LAIF)33,750,159 - - 33,750,159
Held by fiscal agent:
U.S. Treasury notes 11,576,355 11,576,355 - -
Certificates of deposit 100,487 100,487 - -
Federal agency
securities 391,028 - 391,028 -
Money market funds 46,571,894 - 46,571,894 -
Total 172,709,733$ 18,003,894$ 120,955,680$ 33,750,159$
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
38
NOTE #2 – CASH AND INVESTMENTS (Continued)
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. Investments in any one issuer (other than U.S.
Treasury securities, mutual funds, and external investment pools) that represented 5 percent or more of total
City investments are as follows:
Investment Reported
Reporting Unit Issuer Type Amount
* Federal National Mortgage Association (FNMA)Federal agency securities 35,056,201$
* Federal Home Loan Bank (FHLB)Federal agency securities 13,714,558
* Federal Farm Credit Bank (FFCB)Federal agency securities 19,186,266
*These investments exceed 5 percent of total pooled investments held in the City’s investment pool for both
governmental and fiduciary fund types.
Custodial Credit Risk
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 percent of the total amount deposited by
the public agencies. California law also allows financial institutions to secure City deposits by pledging first
trust deed mortgage notes having a value of 150 percent of the secured public deposits. Of the City’s deposits
with financial institutions, $207,651 was in excess of federal depository insurance limits and subject to custodial
credit risk as described above.
For investments identified herein as held by fiscal agent, the fiscal agent holds the investment on behalf of the
City.
Investment in State Investment Pool (LAIF)
The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by the
California Government Code under the oversight of the Treasurer of the State of California. The fair value of
the City's investment in this pool is reported in the accompanying financial statements at amounts based upon
the City's pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio (in relation to the
amortized cost of that portfolio). The balance available for withdrawal is based on the accounting records
maintained by LAIF, which are recorded on an amortized cost basis. LAIF is not registered with the Securities
and Exchange Commission and is not rated.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
39
NOTE #3 – DUE FROM AND DUE TO OTHER FUNDS
Current interfund receivables and payables balances at June 30, 2013 are as follows:
Due From
General
Due to Fund Total
Library Fund 4,840$ 4,840$
Fire Tax Fund 22,513 22,513
Total 27,353$ 27,353$
The Library Fund receivable of $4,840 is accrued revenue from the General Fund for special assessment tax
disbursements. The Fire Tax Fund receivable of $22,513 is accrued revenue from the General Fund for special
assessment tax disbursements.
NOTE #4 – ADVANCES TO AND ADVANCES FROM OTHER FUNDS/REDEVELOPMENT SUCCESSOR
AGENCY PRIVATE-PURPOSE TRUST
Advances to Other Funds Advances from Other Funds
RDA Successor Agency
Private-purpose Trust Fund Housing Authority Fund 9,666,379$
In May 2010 and May 2011, the former Redevelopment Agency made payments of approximately $12.6 million
and $2.6 million, respectively, for the State's Supplemental Educational Revenue Augmentation Fund (SERAF).
The former RDA borrowed accumulated balances in the Housing Authority Fund to make the SERAF payment.
The advance payable was transferred to the RDA Successor Agency as part of the dissolution. A payment of
$1,842,654 was approved on the Recognized Obligation Payment Schedule (ROPS) and made from the RDA
Successor Agency to the Housing Authority during the fiscal year.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
40
NOTE #5 – INTERFUND TRANSFERS
Interfund transfers during the year ended June 30, 2013 consisted of the following:
Housing Nonmajor
General Library Authority Governmental
Transfer in: Fund Fund Fund Fund Total
General Fund -$ 37,234$ 1,455,614$ 37,234$ 1,530,082$
Library Fund - - 70,074 - 70,074
Fire Tax Fund 887,643 - 16,867 - 904,510
Nonmajor Governmental Funds - - 12,139 38,201 50,340
Total 887,643$ 37,234$ 1,554,694$ 75,435$ 2,555,006$
Transfer From:
Transfers were used to:
1. Transfer from the General Fund to the Fire Tax Fund for reimbursement of costs associated with public
safety.
2. Reimburse the costs, fees and expenses of staffing and services provided from the Housing Authority
Fund to the General Fund.
3. Transfer in-lieu taxes from the Housing Authority Fund to the Library Fund.
4. Transfer in-lieu taxes from the Housing Authority Fund to the Fire Tax Fund.
5. Transfer in-lieu taxes from the Housing Authority Fund to the Nonmajor Governmental Funds.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
41
NOTE #6 – CAPITAL ASSETS
Capital asset activity for the year ended June 30, 2013 was as follows:
Balance at Balance at
July 1, 2012 Additions Deletions June 30, 2013
Government activities:
Buildings 61,123,064$ -$ -$ 61,123,064$
Improvements 2,984,980 - - 2,984,980
Furniture and fixtures 4,133,117 48,138 - 4,181,255
Equipment 3,082,653 454,090 (289,702) 3,247,041
Infrastructure - improved bike trails 67,958 - - 67,958
Infrastructure - road system 110,187,780 1,029,889 (90,069) 111,127,600
Infrastructure - storm drain system 17,302,551 - - 17,302,551
Total cost of depreciable assets 198,882,103 1,532,117 (379,771) 200,034,449
Less accumulated depreciation:
Buildings (11,712,901) (1,065,741) - (12,778,642)
Improvements (674,257) (48,514) - (722,771)
Furniture and fixtures (3,142,967) (115,760) - (3,258,727)
Equipment (2,321,189) (174,956) 218,999 (2,277,146)
Infrastructure - improved bike trails (8,571) (1,359) - (9,930)
Infrastructure - road system (44,169,297) (3,268,191) 24,233 (47,413,255)
Infrastructure - storm drain system (5,680,125) (230,751) - (5,910,876)
Total accumulated depreciation (67,709,307) (4,905,272) 243,232 (72,371,347)
Net depreciable assets 131,172,796 (3,373,155) (136,539) 127,663,102
Capital assets not depreciated:
Land 26,921,239 - - 26,921,239
Rights of way - road system 11,188,410 - - 11,188,410
Rights of way - off-road
trail system 1,077,859 - - 1,077,859
Work in progress 5,835,440 1,404,741 (90,069) 7,150,112
Total capital assets not depreciated 45,022,948 1,404,741 (90,069) 46,337,620
Total capital assets, net 176,195,744$ (1,968,414)$ (226,608)$ 174,000,722$
Depreciation expensed was charged to the following functions in the Statement of Activities:
General government 620,258$
Public safety 82,791
Public works 3,668,210
Cultural and recreation 534,013
Total 4,905,272$
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
42
NOTE #7 – LONG-TERM LIABILITIES
Long-term liability activity for the year ended June 30, 2013 was as follows:
Beginning Ending Due within
Balance (restated) Additions Retirements Balance One year
Revenue bonds payable:
2005A lease refunding
revenue bonds 4,790,000$ -$ (185,000)$ 4,605,000$ 190,000$
Other long-term liabilities:
DOE-ARRA Loan 298,726 - (19,983) 278,743 20,183
ACBCI liability 2,015,840 - (27,187) 1,988,653 -
Compensated absences 1,172,718 189,067 (289,490) 1,072,295 303,965
Claims payable 434,255 - (58,749) 375,506 -
Deferrals on refunding and
issuance (discounts)/premiums 265,927 - 14,774 251,153 14,774
TOTALS 8,977,466$ 189,067$ (565,635)$ 8,571,350$ 528,922$
Compensated absences and claim payables have been typically liquidated from the general fund. ACBCI pay back
deficit is liquidated from development impact fees in the capital project fund.
2005A Lease Refunding Revenue Bonds
On May 1, 2005, the Rancho Mirage Joint Powers Financing Authority (Authority), a component unit of the
City of Rancho Mirage issued $5,925,000 in Refunding Revenue Bonds. The Bonds were issued to provide a
portion of the funds to refund the Authority's Library Lease Revenue Bonds, Series 1995, originally issued in
the principal amount of $3,375,000.
The Authority has leased approximately 10.5 acres of land and the improvements thereon to the City pursuant
to a Lease, dated as of July 1, 1995. Pursuant to a Site Lease, dated as of July 1, 1995 between the City and
the Authority, the City has leased the Leased Property to the Authority in consideration for entering into the
Lease. The City is obligated to pay rental payments under the Lease from any legally available monies,
including amounts in its General Fund. The City has covenanted in the Lease that, so long as the City has the
use and occupancy of the Leased Property, it will make rental payments ("Base Rental") to the Authority. The
Base Rental is calculated to be an amount sufficient to permit the Authority to pay all scheduled debt service
on the Bonds when due.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
43
NOTE #7 – LONG-TERM LIABILITIES (Continued)
2005A Lease Refunding Revenue Bonds (Continued)
Beginning April 1, 2006, the 2005A Bonds were due in annual installments of $150,000 to $375,000 through
April 1, 2030. Interest ranging from 3 percent to 4.5 percent is due in annual installment on April 1 of each
year. The annual debt service requirements for the lease revenue bonds as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 99,388$ 99,388$ 198,776$ 190,000$ 388,776$
2015 95,955 95,954 191,909 200,000 391,909
2016 91,944 91,945 183,889 205,000 388,889
2017 87,716 87,716 175,432 215,000 390,432
2018 83,282 83,282 166,564 225,000 391,564
2019 78,641 78,642 157,283 235,000 392,283
2020 73,648 73,647 147,295 245,000 392,295
2021 68,441 68,441 136,882 255,000 391,882
2022 63,023 63,022 126,045 265,000 391,045
2023 57,325 57,325 114,650 275,000 389,650
2024 51,309 51,310 102,619 285,000 387,619
2025 45,075 45,075 90,150 300,000 390,150
2026 38,475 38,475 76,950 315,000 391,950
2027 31,388 31,387 62,775 325,000 387,775
2028 24,075 24,075 48,150 340,000 388,150
2029 16,425 16,425 32,850 355,000 387,850
2030 8,437 8,438 16,875 375,000 391,875
TOTALS 1,014,547$ 1,014,547$ 2,029,094$ 4,605,000$ 6,634,094$
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
44
NOTE #7 – LONG-TERM LIABILITIES (Continued)
Energy Conservation Loan - ARRA
In February 2010, the City entered into a loan agreement with the State of California Energy Resources
Conservation and Development Commission to provide funding for the purchase and installation of an energy
efficient cooling system for the City’s Library. An amount of $317,055 was drawn on the loan. The loan
accrues simple interest at a rate of 1 percent annually. Principal and interest payments are due in 26 semi-
annual installments with the first payment due December 22, 2011. The annual debt service requirements for
the energy conservation loan as of June 30, 2013 are as follows:
Total
Fiscal Total Annual
Month Year Interest Principal Due Debt Service
December 22 2014 1,397$ 10,063$ 11,460$
June 22 2014 1,340 10,120 11,460
December 22 2015 1,296 10,164 11,460
June 22 2015 1,238 10,222 11,460
December 22 2016 1,194 10,266 11,460
June 22 2016 1,143 10,317 11,460
December 22 2017 1,091 10,369 11,460
June 22 2017 1,033 10,427 11,460
December 22 2018 987 10,473 11,460
June 22 2018 929 10,531 11,460
December 22 2019 881 10,579 11,460
June 22 2019 824 10,636 11,460
December 22 2020 775 10,685 11,460
June 22 2020 721 10,739 11,460
December 22 2021 667 10,793 11,460
June 22 2021 610 10,850 11,460
December 22 2022 559 10,901 11,460
June 22 2022 501 10,959 11,460
December 22 2023 449 11,011 11,460
June 22 2023 392 11,068 11,460
December 22 2024 339 11,121 11,460
June 22 2024 283 11,177 11,460
December 22 2025 227 11,233 11,460
June 22 2025 170 11,290 11,460
December 22 2026 113 11,347 11,460
June 22 2026 57 11,402 11,459
TOTALS 19,216$ 278,743$ 297,959$
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
45
NOTE #7 – LONG-TERM LIABILITIES (Continued)
ACBCI Liability
On July 6, 2001 the City entered into an agreement with the Agua Caliente Band of Cahuilla Indians for
improvements to Bob Hope Drive and Dinah Shore Drive. Under the agreement the tribe loaned the City interest
free an amount equal to 50 percent of the project costs for the improvements to Bob Hope Drive and Dinah Shore
Drive. The borrowing amounted to $2,683,292. The City makes annual payments based on future revenues from
development fees which were estimated in the base year as $220,000. If an annual payment is less than $220,000
the City shall identify the difference between the amount actually paid and the base year amount of $220,000 as
the pay back deficit. If a pay-back deficit exists and development fee revenues exceed $220,000 for the year the
excess will be applied to the pay back deficit. During the year, $27,187 was repaid. As of June 30, 2013 the pay
back deficit was $845,361 and the remaining principal was $1,143,292 resulting in a total ACBCI liability of
$1,988,653.
NOTE #8 – DEBT WITHOUT GOVERNMENTAL COMMITMENT
The City has issued special assessment bonds under the State Improvement Act of 1911 and 1915. These
bonds are payable only from special assessment collections from the property owners. The City is not
obligated for repayment. The City is only acting as an agent for the property owners and bondholders in
collecting and forwarding the special assessments toward bond debt service. The bonds are, therefore, not
reported as a liability in the accompanying financial statements. The amounts collected and held by the City
pending disbursement to the bondholders are accounted for in an agency fund. $9,495,000 of these bonds is
outstanding at June 30, 2013.
On January 29, 1997, the Joint Powers Financing Authority (Authority) issued $95,000,000 in certificates of
participation evidencing an interest in payments to be made by the Eisenhower Medical Center (Corporation).
The certificates of participation were issued to refund $28,750,000 of the outstanding 1987 City of Rancho
Mirage Hospital Revenue certificates of participation, $33,175,000 of the outstanding 1992 City of Rancho
Mirage Joint Powers Financing Authority certificates of participation, certain other outstanding indebtedness
of the Corporation and reimburse the Corporation for expenditures for certain prior capital improvements and
equipment, and to finance certain capital projects of the Corporation facilities in Rancho Mirage. The
Corporation's obligation to make its payments is secured by a pledge of gross revenues of the hospital. The
City and the Authority are not obligated in any manner for repayment. The certificates are payable only from
the assets of the Corporation. Therefore, these certificates are not reported as a liability in the accompanying
financial statements. $27,590,000 of these bonds is outstanding at June 30, 2013.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
46
NOTE #9 – PARTICIPATION IN RISK POOL
The City is a member of Public Entity Risk Management Authority (PERMA), a joint powers insurance
authority formed under Section 990 of the California Government Code for the purpose of jointly funding
programs of insurance coverage for its members. PERMA is comprised of twenty-seven participating
member agencies: nineteen cities, three transit agencies and five special districts. The City participates in the
liability, workers' compensation, property and business auto physical damage insurance programs of PERMA.
The liability program provides coverage up to $50 million per occurrence for personal injury, bodily injury,
property damage and public officials' errors and omissions. Effective July 1 2005, the City’s self-insured retention
is $125,000 and participates in risk sharing pools for losses up to $1 million followed by PERMA's membership in
the CSAC Excess Insurance Authority (ETA) for $49 million excess liability coverage.
The workers' compensation program provides $5 million each accident for employers' liability. The City self-
insures up to a level of $250,000 per accident or employee and participates in a risk sharing pool for losses up to
$500,000 followed by PERMA's membership in the Local Agency Workers' Compensation Excess Joint Powers
Authority (LAWCX) for excess coverage to the limits.
The property insurance program is group purchased under a master property insurance policy with accumulated
values from all participants effecting lower rates and broader coverage for members. The program covers real
property, business personal property, inland marine coverage for special mobile equipment and business
interruption. Commercial property coverage is written on a replacement cost basis and all risk, eliminating the
traditional commercial "named peril" policy.
The business auto physical damage insurance program is also group purchased under a master insurance policy
with accumulated values from all participants effecting lower rates for members. Business auto physical damage
coverage is written on an agreed amount basis.
In addition to coverage provided by PERMA, the City also separately purchases coverage for earthquake, public
employee dishonesty and public officials and employment liability.
Changes in the amount of claims payable for the past two fiscal years are as follows:
Current Year
Claims and
Beginning Changes in Claim Ending
Balance Estimates Payments Balance
2011-2012 627,424$ -$ (193,169)$ 434,255$
2012-2013 434,255 - (58,749) 375,506
Claim payments represent disbursements from deposits held by PERMA on behalf of the City. None of the above
programs of protection have had settlements or judgments that exceeded pooled or insured coverage for the past
three (3) years.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
47
NOTE #10 – JOINT POWERS FINANCE AUTHORITY AND ASSESSMENT DISTRICTS BUDGET
Formal budgetary integration is not adopted for the Joint Powers Financing Authority Debt Service Fund and
Assessment District Capital Project Fund.
NOTE #11 – DEFINED BENEFIT PENSION PLAN
The City provides a defined benefit pension plan that includes retirement and disability benefits, annual cost-of-
living adjustments, and death benefits to plan members and beneficiaries. The City contracts with the California
Public Employees’ Retirement System (CalPERS), a cost-sharing, multi-employer public employee defined
benefit pension plan administered by CalPERS. CalPERS provides retirement and disability benefits, annual cost-
of-living adjustments, and death benefits to plan members and beneficiaries. State statutes, within the Public
Employees’ Retirement Law, establish benefit provisions and other requirements. The City selects optional
benefit provisions from the benefit menu by contract with CalPERS and adopts those benefits through local
ordinance. Copies of the CalPERS annual financial report may be obtained from the CalPERS Executive Office at
400 P Street, Sacramento, California 95814 or downloaded from their website at www.calpers.gov.
Pursuant to City Council action to reduce pension benefits for future employees and the California Public
Employees’ Pension Reform Act of 2012, the City now has 3 tiers of defined pension benefits. For employees
hired prior to July 13, 2012, the City participates in a Miscellaneous 2.5 percent at 55 Risk Pool (1st Tier). For
employees hired after July 13, 2012 but before January 1, 2013 and employees hired after January 1, 2013 that
have participated in a reciprocating California public employee pension plan within six months of being hired by
the City, the City participates in a Miscellaneous 2 percent at 60 Risk Pool (2nd Tier). For all other employees
hired after January 1, 2013, the City will participate in a Miscellaneous 2 percent at 62 Risk Pool (3rd Tier).
Contributions and Funding Policy
The contribution requirements of plan members are established by State statute and the employer contribution rate
is established and amended by CalPERS. During fiscal year 2012-13, 1st Tier City employees were required to
contribute 3 percent of their annual covered salary of the total 8 percent “employee” share of pension cost with the
other 5 percent being paid on the employees behalf by the City. City employees in the 2nd and 3rd Tiers were
required to contribute the full “employee” share of pension cost at 7 percent for 2nd Tier coverage, and 6.25
percent for 3rd Tier coverage. The City is required to contribute the actuarially determined remaining amounts
necessary to fund the benefits for its members. The City’s fiscal year 2012-13 contribution rates for the Pension
Plan were as follows.
Retirement
Plan
Tier
Employer
Contribution
Rate
2.5% at 55 1st Tier 21.894%
2% at 60 2nd Tier 8.049%
2% at 62 3rd Tier 6.250%
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
48
NOTE #11 – DEFINED BENEFIT PENSION PLAN (Continued)
The City’s contributions to CalPERS for the most recent three years follow.
Year Ended
Annual Pension Cost
Employer
Contribution
Percentage of Annual
Pension Cost
Contributed
June 30, 2013 $1,704,693 100%
June 30, 2012 $1,605,560 100%
June 30, 2011 $1,543,667 100%
NOTE #12 – OTHER POST EMPLOYMENT BENEFITS (OPEB)
Plan Description: The City administers a single-employer defined benefit plan (Plan) which provides health care
(medical, dental, and vision) benefits to eligible members under City Council Resolutions No. 89-63 and
No. 95-26.
Effective December 7, 2000, four years of continued medical, dental and vision insurance for the first four years of
service plus six months for each subsequent year is provided by the City for a Council member upon leaving the
City Council. A Council member may elect to continue participation as a member of the City's insurance plans
under the provisions of the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) by making
payments to the City for associated premium costs. The City Manager and City Clerk are eligible for the same
coverage.
Effective July 1, 2000, continued medical, dental and vision insurance for retired employees and their
spouse/dependents was provided pursuant a Memorandum of Understanding between the City and the Rancho
Mirage Employees' Association.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
49
NOTE #12 – OTHER POST EMPLOYMENT BENEFITS (OPEB) (Continued)
For all covered employees with effective dates of retirement after December 7, 2000 and a minimum of 5-10 years
of continuous service, the City contributes the actual cost of insurance up to the amount contributed for active
employees. These benefits with the City will terminate upon reaching age 65, the current eligibility for Medicare.
Eligibility: Employees first employed full-time by the City before July 1, 2005, are eligible for retiree health
benefits if they retire from the City and begin drawing a PERS pension: 1) on or after age 55 with at least 10
consecutive years of service; or 2) on or after age 63 with at least 5 consecutive years of service. Spouses and
dependents are eligible as well if the covered employee serves 15 and 20 years, respectively. Membership of the
plan consisted of the following at June 30, 2013, the date of the latest actuarial valuation:
Active Retired Total
Under 65 73 12 85
65 & over 8 4 12
Total 81 16 97
City's Funding Policy: The contribution requirements of plan members and the City are established and may be
amended by City Council. The contribution required to be made under City Council and labor agreement
requirements is based on actuarially determined annual required contribution with a portion of current premiums
paid directly to City retirees. For fiscal year 2012-13, the City contributed $330,073 to the plan. No employee
contributions are required to participate in the Plan.
The City makes voluntary contributions to the CalPERS trust. CalPERS publishes separate financial statements
conforming to GASB Statement No. 43 in separately issued financial statements for the CalPERS OPEB Trust.
Copies of PERS' annual financial reports for its OPEB Trust may be obtained from its executive office at 400 "Q"
Street, Sacramento, California 95811.
Annual OPEB Cost and Net OPEB Obligation. The City's annual cost (expense) is calculated based on the annual
required contribution (ARC) of the employer, an amount actuarially determined in accordance with the parameters
of GASB Statement No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected
to cover normal cost each year and amortize any unfunded actuarial liabilities (or funding excess) over a period
not to exceed thirty years. The following table shows the components of the City's annual OPEB cost for the year,
the amount actually contributed to the plan, and changes in the City's net OPEB obligation for these benefits:
The City's annual OPEB cost, the percentage of annual OPEB cost contributed to the plan, and the net OPEB
obligation for 2013 and the two preceding years were as follows:
Percentage of
Annual
Fiscal Annual OPEB Cost
Year OPEB Cost Contributed
6/30/2011 218,408$ 100%
6/30/2012 326,345 100%
6/30/2013 330,073 100%
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
50
NOTE #12 – OTHER POST EMPLOYMENT BENEFITS (OPEB) (Continued)
Funded Status and Funding Progress. 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 immediately following the notes to the financial statements 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.
The funded status as of the most recent actuarial date is as follows:
Actuarial
Accrued UAAL as a
Actuarial Liability Unfunded Percentage of
Actuarial Value of (AAL)- AAL Funded Covered Covered
Valuation Assets Entry Age (UAAL) Ratio Payroll Payroll
Date (a) (b) (b-a) (a/b) (c) (b-a)/c)
6/30/2013 1,098,348$ (2,759,063)$ (1,660,715)$ 39.8% 6,840,555$ 24.3%
Actuarial Methods and Assumptions. Projections of benefits for financial reporting purposes are based on the
substantive plan (the plan as understood by the employer and 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 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 Actuarial Cost
Method. The actuarial assumptions included a 7.25 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 an annual healthcare cost trend rate of 5.5 percent initially, 11 percent in 2013, then reduced by
decrements of 2.0 per year to an ultimate rate of 5 percent after the fourth year. The UAAL is being amortized as
a level percentage of projected payroll over an open 30 year enrollment period. It is assumed the City's payroll
will increase 2.75 percent per year.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
51
NOTE #13 – DEFERRED COMPENSATION PLAN
The City maintains a deferred compensation plan under Section 457 of the Internal Revenue Code for the benefits
of its employees. In November 1999, the City implemented the 401(a) deferred compensation plan, in addition to
the 457 plan, of saving pre-tax dollars for retirement. These plans allow the employees to defer or postpone
receipt of income. Such income deferral provides tax advantages and a savings plan for the employees.
Employees can participate in both the 457 and 401(a) plans or in either one. The 457 plans permit a maximum
annual contribution of $16,500 under 50 years old and $22,000 for 50 years and older. If one participates in both
the 457 plan and a 401(a) plan, the maximum that one can contribute on a pre-tax basis is $65,240. The City
contributes $10 per pay period to either plan or the 401(a) plan if the employee participates in both plans. All City
employees are eligible for plan participation. The total amount contributed by the City for FY 12-13 for both
plans was $14,490.
The City formally established trusts in accordance with Internal Revenue Code Section 457(g) for its deferred
compensation plan in prior fiscal years. The trusts were established to provide protection from the claims of the
employer's general creditors. The deferred compensation assets placed in the trust have been removed from the
balance sheet.
Distributions are made upon the occurrence of the participant's termination, retirement, death or unforeseen
emergency, and in a manner in accordance with the election made by the participant. All City employees are
eligible for plan participation.
NOTE #14 – CONTINGENCIES
Various claims and suits have been filed against the City in the normal course of business. Although the outcome
of these matters is not presently determinable, in the opinion of legal counsel, the resolution of these matters is not
expected to have a material adverse effect on the financial condition of the City.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
52
NOTE #15 – FUND BALANCES FOR GOVERNMENTAL FUNDS
The details of the fund balances as of June 30, 2013 are presented below:
Housing Non-major Total
General Library Fire Tax Authority Governmental Governmental
Fund Fund Fund Fund Funds Funds
Nonspendable:-$ -
Prepaid items 2,237$ -$ -$ -$ -$ 2,237$
Loans Receivable 1,455,190 - - - - 1,455,190
Total Nonspendable 1,457,427 - - - - 1,457,427
Restricted:
Debt service - - - - 397,993 397,993
Library operations - 2,805,315 - - - 2,805,315
Fire tax/public safety operations - - 728,343 - - 728,343
Housing authority loan programs - - - 1,701,509 - 1,701,509
Housing authority operations - - - 14,463,366 - 14,463,366
Other purposes - - - - 3,535,658 3,535,658
Public works - - - - 557,704 557,704
Culture and recreation - - - - 5,501,009 5,501,009
Capital projects - - - - 8,549,216 8,549,216
Total Restricted - 2,805,315 728,343 16,164,875 18,541,580 38,240,113
Committed:
Prudent Reserve 25,000,000 - - - - 25,000,000
Distaster Recovery 15,000,000 - - - - 15,000,000
Capital Projects 8,925,503 - - - - 8,925,503
Economic Development 5,000,000 - - - - 5,000,000
Public Library 5,000,000 - - - - 5,000,000
Ritz Spa Suite Purchase 5,000,000 - - - - 5,000,000
Section 19 Water 5,125,000 - - - - 5,125,000
Total Committed 69,050,503 - - - - 69,050,503
Unassigned:9,644,859 - - - - 9,644,859
Total Fund Balance 80,152,789$ 2,805,315$ 728,343$ 16,164,875$ 18,541,580$ 118,392,902$
Special Revenue
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
53
NOTE #15 – FUND BALANCES FOR GOVERNMENTAL FUNDS (Continued)
Minimum Fund Balance Policy
The City Council adopted a resolution committing the following fund balance in May 2013.
Prudent Reserve –$25 million set aside for future revenue shortfalls of 9% or more from the prior year
total General Fund revenues.
Disaster Recovery –$15 million to cover costs and losses as a result of a major earthquake or other major
disaster that require activation of the City's Emergency Operating Center (EOC).
Capital Projects –$8.925 million for land, equipment replacement, information technology equipment and
software, facility and infrastructure renovation, and upgrade and acquisitions.
Economic Development–$5 million to be used to continue economic development efforts of the former
redevelopment agency.
Public Library –$5 million is to supplement the operating and capital costs of the Library Fund.
Ritz Spa Suite Purchase–$5 million for the purchase of the Spa Suite’s according to the operating
covenant and amendments.
Section 19 Water–$5.125 million for deposit into an escrow account relating to costs of bringing water to
section 19 for development purposes.
NOTE #16 – PRIOR PERIOD ADJUSTMENTS
During the current year, the City corrected the liability of the Agua Caliente Band of Cahuilla Indians (ACBCI)
liability to include both the principal and the payback deficit. Beginning net position was restated as follows:
Governmental
Activities
Beginning Net Position as previously reported 289,012,323$
Restatement due to correction of ACBCI liability (1,363,292)
Beginning Net Position, as restated 287,649,031$
NOTE #17 – SUCCESSOR AGENCY TRUST FOR ASSETS OF FORMER REDEVELOPMENT AGENCY
On December 29, 2011, the California Supreme Court upheld AB 1X 26 that provides for the dissolution of all
redevelopment agencies in the State of California. This action impacted the reporting entity of the City of
Rancho Mirage that previously had reported a redevelopment agency as a blended component unit. The
City Council elected to become the Successor Agency for the former redevelopment agency.
Successor agencies are only allocated revenue in the amount that is necessary to pay the estimated annual
installment payments on enforceable obligations as approved by the Successor Agency Oversight Board and the
California Department of Finance.
CITY OF RANCHO MIRAGE
NOTES TO BASIC FINANCIAL STATEMENTS
(CONTINUED)
JUNE 30, 2013
54
NOTE #17 – SUCCESSOR AGENCY TRUST FOR ASSETS OF FORMER REDEVELOPMENT AGENCY
(Continued)
The Bill directed the State Controller of the State of California to review the propriety of any transfers of
assets between redevelopment agencies and other public bodies that occurred after January 1, 2011. If the
public body that received such transfers is not contractually committed to a third party for the expenditure or
encumbrance of those assets, the State Controller is required to order the available assets to be transferred to
the public body designated as the successor agency by the Bill.
On May 7, 2013, the City received notification that a Finding of Completion has been granted, which allows
for: 1) loan agreements between the former redevelopment agency and City may 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 a legitimate redevelopment purpose per California Health and
Safety Code (HSC) section 34191.4(b)(1), and 2) utilizing proceeds derived from bonds issued prior to
January 1, 2011 in a manner consistent with the original bond covenants per HSC section 34191.4(c).
NOTE #18 – SUBSEQUENT EVENT
On September 24, 2013 and September 25, 2013, the Successor Agency sold $50,370,000 in tax allocation
bonds and together with $22,709,339 in prior bond proceeds, refunded and redeemed $72,265,000 of the
Successor Agency’s outstanding Tax Allocation Bond Series 2001, 2002 and Series 2003. The refunding plan
and bond issuance was reviewed and approved by the California Department of Finance on September 6,
2013. The Successor Agency’s bond refunding represented the sixth, seventh and eight refunding bond
issuances completed since the dissolution of all redevelopment agencies in the State.
The refunding plan consisted of three bond issuances, a $23,330,000 Merged Project Area Housing Series, a
$10,470,000 Whitewater Project Sub Area Series and a $16,570,000 Northside Sub Area Series. The Bonds
together were sold at a net premium of $3,398,399 generating additional funds for the refunding program. In
addition to refunding savings, the principal amount of bonds outstanding was reduced from $155,515,000 to
$133,240,000. Total debt service, as a result of the refunding and application of prior bond proceeds, was
reduced by $37,210,063.
On November 5, 2013, the City received notification that two previous loans from the Rancho Mirage Housing
Authority to the former Rancho Mirage Redevelopment Agency in the amount of $12,583,600 and $2,590,741
were enforceable obligations. These loans were previously approved on the ROPS covering the period
July 1, 2012 through December 31, 2012 and were disallowed on the ROPS covering the period January 1,
2013 through June 30, 2013 when the remaining balance was $9,666,379. Loan repayments will be made in
accordance with Health and Safety Code Section 34191.4(b)(2).
On February 20, 2014, the Successor Agency received approval of its Long Range Property Management Plan
(LRPMP) from the California Department of Finance. The LRPMP consisted of two properties. The first
property will be sold and the second property will be transferred to the City of Rancho Mirage for
governmental purpose. Management expects to the sale and transfer of the properties to occur in the Fall of
2014.
REQUIRED SUPPLEMENTARY INFORMATION
CITY OF RANCHO MIRAGE
SCHEDULE OF FUNDING PROGRESS
OTHER POST EMPLOYMENT BENEFITS
Year Ended June 30, 2013
55
Actuarial
Accrued UAAL as a
Actuarial Liability Unfunded Percentage of
Actuarial Value of (AAL)- AAL Funded Covered Covered
Valuation Assets Entry Age (UAAL) Ratio Payroll Payroll
Date (a) (b) (b-a) (a/b) (c) (b-a)/c)
6/30/2011 613,916$ 2,335,827$ 1,721,911$ 26.3% 6,446,176$ 26.7%
6/30/2013 1,098,348 2,759,063 1,660,715 39.8% 6,840,555 24.3%
Additional actuarial valuation information will be provided as future valuations are performed.
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
GENERAL FUND
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
56
Variance with
Final Budget
Original Final Positive
Budget Budget Actual (Negative)
Revenues:
Taxes:
Property taxes 3,775,360$ 3,775,360$ 3,717,782 (57,578)$
Sales taxes 3,271,080 3,271,080 3,053,711 (217,369)
Franchise taxes 1,236,190 1,236,190 1,244,971 8,781
Transient occupancy taxes 5,190,000 5,190,000 5,168,184 (21,816)
Real property transfer taxes 293,000 293,000 313,604 20,604
Total taxes 13,765,630 13,765,630 13,498,252 (267,378)
Intergovernmental:
Motor vehicle in-lieu - - 7,483 7,483
Reimbursement from non-government 413,438 413,438 741,412 327,974
County COPS Program - - 100,000 100,000
Other 46,385 61,625 512,975 451,350
Total intergovernmental 459,823 475,063 1,361,870 886,807
Licenses and permits:
Business licenses 198,600 198,600 208,205 9,605
Plan check fees 50,000 50,000 56,017 6,017
Public works inspections and fees 294,620 294,620 126,349 (168,271)
Total licenses and permits 543,220 543,220 390,571 (152,649)
Charges for services:
Planning fees 155,125 155,125 122,912 (32,213)
PEG fees - - 110,863 110,863
Construction permits 375,000 375,000 497,969 122,969
Total charges for services 530,125 530,125 731,744 201,619
Developer fees - - 60,731 60,731
Fines and forfeitures 100,000 100,000 85,289 (14,711)
Interest income 1,402,900 1,402,900 1,340,994 (61,906)
Net increase (decrease) in
investment fair value - - (1,230,526) (1,230,526)
Miscellaneous 318,250 318,250 386,913 68,663
Total revenues 17,119,948 17,135,188 16,625,838 (570,081)
(Continued)
Budgeted Amounts
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
GENERAL FUND
(CONTINUED)
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
57
Variance with
Final Budget
Original Final Positive
Budget Budget Actual (Negative)
Expenditures:
Current:
General government:
City council:
Personnel 250,025$ 254,123$ 237,101 17,022$
Operations and maintenance 12,100 13,100 8,290 4,810
Capital 1,000 1,000 - 1,000
Total city council 263,125 268,223 245,391 22,832
City clerk:
Personnel 429,968 434,899 430,662 4,237
Operations and maintenance 55,300 82,944 69,890 13,054
Capital 1,000 1,000 - 1,000
Total city clerk 486,268 518,843 500,552 18,291
City manager:
Personnel 476,642 447,188 440,695 6,493
Operations and maintenance 30,870 63,726 45,150 18,576
Capital 1,000 2,150 2,147 3
Total city manager 508,512 513,064 487,992 25,072
City attorney:
Operations and maintenance 500,600 540,600 540,415 185
Total city attorney 500,600 540,600 540,415 185
Administration:
Personnel 618,057 774,217 721,246 52,971
Operations and maintenance 7,871 21,171 21,183 (12)
Capital 1,000 1,000 - 1,000
Total administration 626,928 796,388 742,429 52,959
Finance:
Personnel 431,855 523,742 478,491 45,251
Operations and maintenance 150,577 135,577 117,091 18,486
Capital - - - -
Total finance 582,432 659,319 595,582 63,737
Information services:
Personnel 430,568 432,639 403,407 29,232
Operations and maintenance 454,250 532,056 438,276 93,780
Capital 50,000 85,835 74,900 10,935
Total information services 934,818 1,050,530 916,583 133,947
(Continued)
Budgeted Amounts
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
GENERAL FUND
(CONTINUED)
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
58
Variance with
Final Budget
Original Final Positive
Budget Budget Actual (Negative)
Public information & com. relations:
Operations and maintenance 146,500$ 146,500$ 97,779$ 48,721$
Total information & com. Relations 146,500 146,500 97,779 48,721
General government:
Personnel 1,074,363 1,076,483 960,519 115,964
Operations and maintenance 1,368,975 1,374,953 1,324,485 50,468
Capital 5,000 5,000 1,616 3,384
Total general government 2,448,338 2,456,436 2,286,620 169,816
Special programs:
Operations and maintenance 871,165 977,007 900,059 76,948
Total special programs 871,165 977,007 900,059 76,948
Planning:
Personnel 808,989 620,221 562,788 57,433
Operations and maintenance 60,546 157,700 79,887 77,813
Total planning 869,535 777,921 642,675 135,246
Building and safety:
Personnel 534,872 537,254 535,158 2,096
Operations and maintenance 28,450 36,950 36,952 (2)
Total building and safety 563,322 574,204 572,110 2,094
Mandated programs:
Operations and maintenance 12,500 12,500 5,118 7,382
Total mandated programs 12,500 12,500 5,118 7,382
Regional plan and implementation
Operations and maintenance 103,100 103,186 151,185 (47,999)
Total regional plan and implementation 103,100 103,186 151,185 (47,999)
Tourism and marketing
Personnel 164,247 165,338 164,352 986
Operations and maintenance 836,392 926,094 904,048 22,046
Total tourism and marketing 1,000,639 1,091,432 1,068,400 23,032
Economic Development
Personnel 339,588 510,229 446,636 63,593
Operations and maintenance 182,746 191,946 182,143 9,803
Total economic development 522,334 702,175 628,779 73,396
Total general government 10,440,116 11,188,328 10,381,669 805,659
(Continued)
Budgeted Amounts
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
GENERAL FUND
(CONTINUED)
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
59
Variance with
Final Budget
Original Final Positive
Budget Budget Actual (Negative)
Public safety:
Code compliance:
Personnel 514,642$ 471,216$ 465,316 5,900$
Operations and maintenance 84,700 84,700 70,275 14,425
Total code compliance 599,342 555,916 535,591 20,325
Emergency services:
Personnel 25,140 25,934 29,339 (3,405)
Operations and maintenance 97,210 137,241 71,990 65,251
Total emergency services 122,350 163,175 103,188 59,987
Police services:
Operations and maintenance 5,873,575 6,026,291 5,986,557 39,734
Capital - - 70,413 (70,413)
Total police services 5,873,575 6,026,291 6,056,970 (30,679)
Citizens Option for Public Safety (COPS)
Operations and maintenance - 100,000 100,000 -
Total COPS - 100,000 100,000 -
ACBCI Tourism Fee
Operations and maintenance 26,000 26,000 24,211 1,789
Total law enforcement equipment 26,000 26,000 24,211 1,789
Total public safety 6,621,267 6,871,382 6,819,960 51,422
Public works:
Facilities & fleet maintenance:
Personnel 560,014 603,267 599,444 3,823
Operations and maintenance 725,950 878,436 625,658 252,778
Total buildings and landscaping 1,285,964 1,481,703 1,225,651 256,052
Street maintenance:
Personnel 548,203 565,960 565,943 17
Operations and maintenance 403,600 403,600 332,307 71,293
Capital - - - -
Total street maintenance 951,803 969,560 898,250 71,310
Engineering:
Personnel 1,456,800 1,332,962 1,322,382 10,580
Operations and maintenance 58,612 58,612 53,114 5,498
Total engineering 1,515,412 1,391,574 1,375,496 16,078
Total public works 3,753,179 3,842,837 3,499,397 343,440
(Continued)
Budgeted Amounts
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
GENERAL FUND
(CONTINUED)
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
60
Variance with
Final Budget
Original Final Positive
Budget Budget Actual (Negative)
Capital projects:
Capital improvements financed from
fund balance and license tax:
General Fund Capital Projects 269,407$ 514,076$ 1,015,959$ (501,883)$
License Tax Fund Capital Projects 484,060 1,596,474 34,849 1,561,625
PEG Channel Capital Projects - 23,696 23,689 7
Total capital improvements 753,467 2,134,246 1,074,497 1,059,749
Total capital projects 753,467 2,134,246 1,074,497 1,059,756
Total expenditures 21,568,029 24,036,793 21,775,523 2,260,277
Excess (deficiency) of revenues over (under)
expenditures (4,448,081) (6,901,605) (5,149,685) (2,830,358)
Other financing sources:
Transfers in 4,924,430 5,021,274 4,408,672 (612,602)
Transfers out (687,754) (390,338) (887,643) (497,305)
Total other financing sources 4,236,676 4,630,936 3,521,029 (1,109,907)
Net change in fund balance (211,405) (2,270,669) (1,628,656) 642,013
Fund balance, beginning of year 80,629,040 76,543,644 81,515,749 (4,972,105)
Fund balance, end of year 80,417,635$ 74,272,975$ 79,887,093$ 5,614,118$
Budgeted Amounts
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
GENERAL FUND
(CONTINUED)
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
61
The following schedule shows the Budgetary Comparison Statement reconciliation between the budgetary basis
and GAAP basis for the General Fund fund:
General Fund
Revenues and Other Financing Sources
Revenues from the Budgetary Comparison Schedule 16,625,838$
Revenues of the Traffic Safety fund and the Community Facilities District fund
are not inflows of budgetary resources in the General fund legally adopted
budget , but are revenues of the General fund for financial reporting purposes. 3,380,942
Total Revenues from the Financial Statements 20,006,780$
Transfers In from the Budgetary Comparison Schedules 4,408,672$
Elimination of Transfers within General Fund
in accordance with GASB 54 consolidation (2,878,590)
Total Transfers in from the Financial Statements 1,530,082$
Expenditures and Other Financing Uses
Expenditures and Other Financing Uses from
the Budgetary Comparison Schedules 22,663,166$
Reclassification of Special Revenue Funds
to General Fund in accordance with GASB 54 31,507
Total Expenditures and Other Financing Uses from
the Financial Statements 22,694,673$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
LIBRARY SPECIAL REVENUE FUND
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
62
Variance with
Final Budget
Positive
Original Final Actual (Negative)
Revenues:
Intergovernmental 175,000$ 175,000$ -$ (175,000)$
Charges and services - - 408 408
Fines and forfeitures 60,000 60,000 51,476 (8,524)
Interest income 48,200 48,200 28,733 (19,467)
Net increase (decrease) in
investment fair value - - (38,707) (38,707)
Miscellaneous 43,350 43,350 98,167 54,817
Total revenues 326,550 326,550 140,077 (186,473)
Expenditures:
Current:
Cultural and recreation 2,831,298 2,858,916 2,676,011 182,905
Excess (deficiency) of revenues over (under)
expenditures (2,504,748) (2,532,366) (2,535,934) (3,568)
Other financing sources (uses):
Transfers in 2,158,344 2,158,344 2,674,997 516,653
Transfers out (37,234) (37,234) (37,234) -
Total other financing sources (uses)2,121,110 2,121,110 2,637,763 516,653
Net changes in fund balance (383,638) (411,256) 101,829 513,085
Fund balance, beginning of year 2,242,070 1,938,488 2,726,406 787,918
Fund balance, end of year 1,858,432$ 1,527,232$ 2,828,235$ 1,301,003$
Budgeted Amounts
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
LIBRARY SPECIAL REVENUE FUND
(CONTINUED)
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
63
Library Special
Revenue Fund
Revenues and Other Financing Sources
Revenues from the Budgetary Comparison Schedule 140,077$
Resources transferred from the Community Services District are not inflows of
budgetary resources in the Library fund legally adopted budget , but are revenues
of the Library fund for financial reporting purposes in accordance with GASB 54. 2,619,302
Total Revenues from the Financial Statements 2,759,379$
Transfers In from the Budgetary Comparison Schedules 2,674,997
Elimination of Transfers within Library Fund
in accordance with GASB 54 consolidation (2,604,923)
Total Transfers in from the Financial Statements 70,074$
Expenditures and Other Financing Uses
Expenditures and Other Financing Uses from
the Budgetary Comparison Schedule 2,713,245$
Reclassification of Special Revenue Funds
to Library Fund in accordance with GASB 54 14,529
Total Expenditures and Other Financing Uses from
the Financial Statements 2,727,774$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
FIRE TAX SPECIAL REVENUE FUND
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
64
Variance with
Final Budget
Positive
Original Final Actual (Negative)
Revenues:
Charges for services 15,000$ 15,000$ 16,250$ 1,250$
Interest income 5,000 5,000 4,426 (574)
Net increase (decrease) in
investment fair value - - (5,777) (5,777)
Total revenues 20,000 20,000 14,899 (5,101)
Expenditures:
Current:
Public safety 5,025,300 5,025,300 4,714,518 310,782
Capital projects 2,000 94,259 - 94,259
Total expenditures 5,027,300 5,119,559 4,714,518 405,041
Excess (deficiency) of revenues over (under)
expenditures (5,007,300) (5,099,559) (4,699,619) 399,940
Other financing sources (uses):
Transfers in 5,007,300 5,007,300 4,995,793 (11,507)
Total other financing sources (uses) 5,007,300 5,007,300 4,995,793 (11,507)
Net changes in fund balance - (92,259) 296,174 388,433
Fund balance, beginning of year 172,211 172,211 432,169 (259,958)
Fund balance, end of year 172,211$ 79,952$ 728,343$ 648,391$
Budgeted Amounts
Fire Tax Fund
Revenues and Other Financing Sources
Revenues from the Budgetary Comparison Schedule 14,899$
Resources transferred from the Community Services District are not inflows of
budgetary resources in the Fire Tax fund legally adopted budget , but are revenues
of the Fire Tax fund for financial reporting purposes in accordance with GASB 54.5,681,497
Total Revenues from the Financial Statements 5,696,396$
Transfers In from the Budgetary Comparison Schedules 4,995,793
Elimination of Transfers within Fire Tax Fund
in accordance with GASB 54 consolidation (4,091,283)
Total Transfers in from the Financial Statements 904,510$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
HOUSING AUTHORITY SPECIAL REVENUE FUND
Year Ended June 30, 2013
See accompanying note to the required supplementary information.
65
Variance with
Final Budget
Positive
Original Final Actual (Negative)
Revenues:
Intergovernmental -$ -$ 44,363$ 44,363$
Licenses and permits 4,500 4,500 4,480 (20)
Charges for services 1,478,000 1,478,000 1,453,281 (24,719)
Interest income 135,250 135,250 119,625 (15,625)
Net increase (decrease) in
investment fair value - - (119,356) (119,356)
Miscellaneous 3,911,994 3,911,994 203,513 (3,708,481)
Total revenues 5,529,744 5,529,744 1,705,906 (3,823,838)
Expenditures:
Current:
General government 2,671,523 2,715,926 2,201,997 513,929
Capital projects 75,500 79,800 6,589 73,211
Total expenditures 2,747,023 2,795,726 2,208,586 587,140
Excess (deficiency) of revenues over (under)
expenditures 2,782,721 2,734,018 (502,680) (3,236,698)
Other financing sources (uses):
Transfers in 330,930 330,930 - (330,930)
Transfers out (1,806,671) (1,806,671) (1,554,694) 251,977
Total other financing sources (uses)(1,475,741) (1,475,741) (1,554,694) (78,953)
Net changes in fund balance 1,306,980 1,258,277 (2,057,374) (3,315,651)
Fund balance, beginning of year 23,343,831 19,650,192 18,222,249 1,427,943
Fund balance, end of year 24,650,811$ 20,908,469$ 16,164,875$ (4,743,594)$
Budgeted Amounts
CITY OF RANCHO MIRAGE
NOTE TO REQUIRED SUPPLEMENTARY INFORMATION
Year Ended June 30, 2013
66
NOTE #1 – BUDGETARY DATA
The City uses the following procedures in establishing the budgetary data reflected in the financial statements:
1. Before the beginning of the fiscal year the City Manager submits to the City Council a proposed budget for the
year commencing the following July 1.
2. Public hearings are conducted to obtain taxpayer comments.
3. The budget is subsequently adopted through passage of a resolution.
4. All appropriated amounts are as originally adopted or as amended by the City Council and lapse at year end,
except for continuing appropriations for capital projects.
5. Original appropriations are modified by supplementary appropriations and transfers among budget
categories. The City Manager is authorized to transfer appropriations within an object of a General Fund
department and within total fund appropriations for other funds. The City Council approves all other
changes. Individual amendments were not material in relation to the original appropriations.
6. The legal level for which expenditures are not to exceed appropriations is at the fund level for all funds except
the General Fund and at the object level for the General Fund. The City classifies each General Fund
expenditure into one of the following three objects: personnel, operations and maintenance, and capital. On a
budgetary basis, expenditures exceeded appropriations in the General fund for the operations and maintenance
object in building and safety and regional plan and implementation. Expenditures exceeded appropriations in
the General fund for the capital object for police services and capital projects. Expenditures exceeded
appropriations in the General fund for transfers out. Expenditures exceeded appropriations in the Parkland
fund.
7. Formal budgetary integration is employed as a management control device during the year for the following
funds which also have legally adopted annual budgets: General, Special Revenue and Capital Projects Funds.
Formal budgetary integration is not employed for Debt Service Funds (including the Joint Powers Financing
Authority Debt Service Fund) because effective budgetary control is alternatively achieved through debt
indenture provisions.
8. Budgets for General, Special Revenue, and Capital Projects Funds are adopted on a basis consistent with
generally accepted accounting principles, except advances from the General Fund to other funds are budgeted
as expenditures in the General Fund and as revenue in the funds receiving the advances Repayment of advances
is budgeted as revenue in the General Fund and as an expenditure in the funds repaying the advance.
Fund activity consolidated in accordance with GASB Statement No. 54 in the financial statements is excluded
from the Budgetary Comparison Schedules. Transfers eliminated by the consolidation in the financial
statements are reported as transfers in the Budgetary Comparison Schedule.
CITY OF RANCHO MIRAGE
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
June 30, 2013
67
Special Debt Capital Total Nonmajor
Revenue Service Projects Governmental
Funds Fund Funds Funds
Assets:
Cash and investments 14,466,272$ -$ 3,491,108$ 17,957,380$
Cash and investments with fiscal agent 100,487 397,993 - 498,480
Interest receivable 2,007 - 492 2,499
Accounts receivable 78,306 - - 78,306
Due from other governments 266,417 - - 266,417
Total assets 14,913,489$ 397,993$ 3,491,600$ 18,803,082$
Liabilities and fund balances
Liabilities:
Accounts payable 255,045$ -$ -$ 255,045$
Accrued salaries and benefits 2,942 - - 2,942
Deposits payable 3,515 - - 3,515
Total liabilities 261,502 - - 261,502
Fund balances:
Restricted 14,651,987 397,993 - 15,049,980
Assigned - - 3,491,600 3,491,600
Total fund balance 14,651,987 397,993 3,491,600 18,541,580
Total liabilities and fund
balances 14,913,489$ 397,993$ 3,491,600$ 18,803,082$
CITY OF RANCHO MIRAGE
COMBINING STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
Year Ended June 30, 2013
68
Special Debt Capital Total Nonmajor
Revenue Service Projects Governmental
Funds Fund Funds Funds
Revenues:
Taxes 828,392$ -$ -$ 828,392$
Intergovernmental 492,347 - - 492,347
Charges for services 177,275 - - 177,275
Special assessments 952,562 - - 952,562
Developer fees - - 272,751 272,751
Interest income 235,676 5,237 55,680 296,593
Net increase (decrease) in
investment fair value (214,493) (11,780) (31,583) (257,856)
Miscellaneous 180,478 390,483 25,926 596,887
Total Revenues 2,652,237 383,940 322,774 3,358,951
Expenditures:
Current:
General government 362,898 - 8,051 370,949
Public works 715,314 - - 715,314
Cultural and recreation 510,016 - - 510,016
Capital projects 184,144 - - 184,144
Debt service:
Principal - 185,000 27,187 212,187
Interest - 205,483 - 205,483
Total expenditures 1,772,372 390,483 35,238 2,198,093
Excess (deficiency) of revenues
over (under) expenditures 879,865 (6,543) 287,536 1,160,858
Other financing sources (uses):
Transfers in 50,340 - - 50,340
Transfers out (75,435) - - (75,435)
Total other financing sources (uses)(25,095) - - (25,095)
Net changes in fund balances 854,770 (6,543) 287,536 1,135,763
Fund balances, beginning of year 13,797,217 404,536 3,204,064 17,405,817
Fund balances, end of year 14,651,987$ 397,993$ 3,491,600$ 18,541,580$
69
NONMAJOR SPECIAL REVENUE FUNDS
Special revenue funds are used to account for and report the proceeds of specific revenue sources that are
restricted or committed to expenditure for specified purposes other than debt service or capital projects.
The Landscape and Lighting District Fund – is used to account for the revenues and expenditures restricted for the
maintenance of landscaped streets and medians and the City’s street lighting.
The Parkland Fund – is used to account for the revenues and expenditures restricted for the City’s park and
recreation facilities.
The Library Foundation Fund – is used to account for the revenues and expenditures restricted for the raising
funds on the Library’s behalf.
The Gas Tax Fund – is used to account for the state gasoline tax revenues restricted for maintenance and
improvement of the City’s street.
The AB 939 Recycling Programs Fund – is used to account for the revenues and expenditures restricted for to
regional solid waste management programs.
The Transportation Measure A Fund – is used to account for Measure A sales tax revenue restricted for the
maintenance and improvement of City streets.
The Air Pollution Reduction Fund – is used to account for revenues and expenditures restricted for air pollution
mitigation efforts.
The Rent Control Fund – is used to account for funds collected from mobilehome park owners and restricted to
provide professional assistance on their behalf.
The Storm Water Quality Fund – is used to account for revenues and expenditures restricted for the reduction of
water pollution.
CITY OF RANCHO MIRAGE
COMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS
June 30, 2013
70
Landscape
and Lighting Parkland Library
Districts Fund Foundation Gas Tax
Assets:
Cash and investments 321,478$ 3,555,720$ 1,880,238$ 1,670,851$
Cash and investments
with fiscal agent - - 100,487 -
Interest receivable 42 500 256 231
Accounts receivable - - 670 -
Due from other governments 25,357 12,429 - 3,299
Total assets 346,877$ 3,568,649$ 1,981,651$ 1,674,381$
Liabilities and Fund Balances
Liabilities:
Accounts payable 25,761$ 41,976$ 858$ (76)$
Accrued salaries and benefits - 2,942 - -
Deposits payable - 3,515 - -
Total liabilities 25,761 48,433 858 (76)
Fund Balances:
Restricted 321,116 3,520,216 1,980,793 1,674,457
Total fund balance 321,116 3,520,216 1,980,793 1,674,457
Total liabilities and fund balances 346,877$ 3,568,649$ 1,981,651$ 1,674,381$
71
AB 939 Total Nonmajor
Recycling Transportation Air Pollution Rent Storm Water Special Revenue
Programs Measure A Reduction Control Quality Funds
3,355,842$ 3,236,207$ 183,869$ 19,076$ 242,991$ 14,466,272$
- - - - 100,487
476 434 26 3 39 2,007
72,107 5,529 - - 78,306
5,000 220,332 - - - 266,417
3,433,425$ 3,456,973$ 189,424$ 19,079$ 243,030$ 14,913,489$
6,313$ 73,814$ 99,957$ -$ 6,442$ 255,045$
- - - - - 2,942
- - - - - 3,515
6,313 73,814 99,957 - 6,442 261,502
3,427,112 3,383,159 89,467 19,079 236,588 14,651,987
3,427,112 3,383,159 89,467 19,079 236,588 14,651,987
3,433,425$ 3,456,973$ 189,424$ 19,079$ 243,030$ 14,913,489$
CITY OF RANCHO MIRAGE
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
NONMAJOR SPECIAL REVENUE FUNDS
Year Ended June 30, 2013
72
Landscape
and Lighting Parkland Library
Districts Fund Foundation Gas Tax
Revenues:
Taxes -$ -$ -$ -$
Intergovernmental - - - 417,379
Charges for services - - - -
Special assessments 540,164 412,398 - -
Interest income 3,352 57,951 36,983 25,058
Net increase (decrease)
in investment fair value - (55,258) (35,763) (19,848)
Miscellaneous - - 178,371 -
Total revenues 543,516 415,091 179,591 422,589
Expenditures:
Current:
General government - 112,408 - 6,371
Public works 419,520 - - 70,741
Cultural and recreation - 266,394 243,622 -
Capital projects - 54,019 - -
Total expenditures 419,520 432,821 243,622 77,112
Excess (deficiency) of revenues
over (under) expenditures 123,996 (17,730) (64,031) 345,477
Other financing sources (uses):
Transfers in 6,051 43,217 - -
Transfers out (38,201) (37,234) - -
Total other financing sources (uses) (32,150) 5,983 - -
Net changes in fund balances 91,846 (11,747) (64,031) 345,477
Fund balances, beginning of year 229,270 3,531,963 2,044,824 1,328,980
Fund balances, end of year 321,116$ 3,520,216$ 1,980,793$ 1,674,457$
73
AB 939 Total Nonmajor
Recycling Transportation Air Pollution Rent Storm Water Special Revenue
Programs Measure A Reduction Control Quality Funds
-$ 828,392$ -$ -$ -$ 828,392$
5,000 43,446 26,522 - - 492,347
175,005 - - 2,270 - 177,275
- - - - - 952,562
56,122 47,192 2,985 293 5,740 235,676
(53,384) (42,742) - - (7,498) (214,493)
2,107 - - - - 180,478
184,850 876,288 29,507 2,563 (1,758) 2,652,237
63,826 - 109,308 24 70,961 362,898
136,102 - - - 88,951 715,314
- - - - - 510,016
- 130,125 - - - 184,144
199,928 130,125 109,308 24 159,912 1,772,372
(15,078) 746,163 (79,801) 2,539 (161,670) 879,865
- - - - 1,072 50,340
- - - - - (75,435)
- - - - 1,072 (25,095)
(15,078) 746,163 (79,801) 2,539 (160,598) 854,770
3,442,190 2,636,996 169,268 16,540 397,186 13,797,217
3,427,112$ 3,383,159$ 89,467$ 19,079$ 236,588$ 14,651,987$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
LANDSCAPE AND LIGHTING DISTRICTS
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
74
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Special assessments 538,208$ 540,164$ 1,956$
Interest income 306 3,352 3,046
Total revenues 538,514 543,516 5,002
Expenditures:
Current:
Public works 520,717 419,520 101,197
Excess (deficiency) of revenues over (under)
expenditures 17,797 123,996 106,199
Other financing sources (uses):
Transfers in 6,051 6,051 -
Transfers out (38,201) (38,201) -
Total other financing sources (uses) (32,150) (32,150) -
Net changes in fund balance (14,353) 91,846 106,199
Fund balance, beginning of year 880 229,270 (228,390)
Fund balance, end of year (13,473)$ 321,116$ 334,589$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
PARKLAND
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
75
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Special assessments 417,518$ 412,398$ (5,120)$
Interest income 73,200 57,951 (15,249)
Net increase (decrease) in
investment fair value - (55,258) (55,258)
Total revenues 490,718 415,091 (75,627)
Expenditures:
Current:
General government 120,690 112,408 8,282
Cultural and recreation 294,149 266,394 27,755
Capital projects 10,977 54,019 (43,042)
Total expenditures 414,839 432,821 (7,005)
Excess (deficiency) of revenues over (under)
expenditures 75,879 (17,730) (93,609)
Other financing sources (uses):
Transfers in 43,217 43,217 -
Transfers out (37,234) (37,234) -
Total other financing sources (uses) 5,983 5,983 -
Net changes in fund balance 69,896 (11,747) (81,643)
Fund balance, beginning of year 3,514,467 3,531,963 (17,496)
Fund balance, end of year 3,584,363$ 3,520,216$ (64,147)$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
LIBRARY FOUNDATION
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
76
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Interest income 36,000$ 36,983$ 983$
Net increase (decrease) in
investment fair value - (35,763) (35,763)
Miscellaneous 145,300 178,371 33,071
Total revenues 181,300 179,591 (1,709)
Expenditures:
Current:
Cultural and recreation 303,200 243,622 59,578
Excess (deficiency) of revenues over (under)
expenditures (121,900) (64,031) 57,869
Fund balance, beginning of year 1,959,140 2,044,824 (85,684)
Fund balance (deficit), end of year 1,837,240$ 1,980,793$ 143,553$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
GAS TAX
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
77
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Intergovernmental (465,003)$ 417,379$ 882,382$
Interest income (18,700) 25,058 43,758
Net increase (decrease) in
investment fair value - (19,848) (19,848)
Total revenues (483,703) 422,589 906,292
Expenditures
Current:
General government 2,000 6,371 (4,371)
Capital projects 160,443 - 160,443
Total expenditures 233,138 77,112 156,026
Excess (deficiency) of revenues over (under)
expenditures (716,841) 345,477 1,062,318
Fund balance, beginning of year 167,657 1,328,980 (1,161,323)
Fund balance, end of year (549,184)$ 1,674,457$ 2,223,641$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
AB 939 RECYCLING PROGRAMS
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
78
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Intergovernmental -$ 5,000$ 5,000$
Charges for services 180,000 175,005 (4,995)
Interest income 69,800 56,122 (13,678)
Net increase (decrease) in
investment fair value - (53,384) (53,384)
Miscellaneous - 2,107 2,107
Total revenues 249,800 184,850 (72,057)
Expenditures:
Current:
General government 125,000 63,826 61,174
Public works 141,000 136,102 4,898
Total expenditures 266,000 199,928 66,072
Excess (deficiency) of revenues over (under)
expenditures (16,200) (15,078) 1,122
Fund balance, beginning of year 3,382,691 3,442,190 (59,499)
Fund balance, end of year 3,366,491$ 3,427,112$ 60,621$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
TRANSPORATION MEASURE A
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
79
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Taxes 681,000$ 828,392$ 147,392$
Intergovernmental - 43,446 43,446
Interest income 96,800 47,192 (49,608)
Net increase (decrease) in
investment fair value - (42,742) (42,742)
Total revenues 777,800 876,288 98,488
Expenditures:
Capital projects 2,248,587 130,125 2,118,462
Total expenditures 2,248,587 130,125 2,118,462
Excess (deficiency) of revenues over (under)
expenditures (1,470,787) 746,163 2,216,950
Net changes in fund balances (1,470,787) 746,163 2,216,950
Fund balance, beginning of year 3,446,682 2,636,996 809,686
Fund balance, end of year 1,975,895$ 3,383,159$ 1,407,264$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
AIR POLLUTION REDUCTION
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
80
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Intergovernmental -$ 26,522$ 26,522$
Interest income 500 2,985 2,485
Total revenues 500 29,507 29,007
Expenditures:
Current:
General government 109,310 109,308 2
Excess (deficiency) of revenues over (under)
expenditures (108,810) (79,801) 29,009
Fund balance, beginning of year 3,662 169,268 (165,606)
Fund balance, end of year (105,148)$ 89,467$ 194,615$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
RENT CONTROL
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
81
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Charges for services 2,000$ 2,270$ 270$
Interest income 150 293 143
Total revenues 2,150 2,563 413
Expenditures:
Current:
General government 2,800 24 2,776
Excess (deficiency) of revenues over (under)
expenditures (650) 2,539 3,189
Fund balance, beginning of year 14,426 16,540 (2,114)
Fund balance, end of year 13,776$ 19,079$ 5,303$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
STORM WATER QUALITY
NONMAJOR SPECIAL REVENUE FUND
Year Ended June 30, 2013
82
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Special assessment 93,300$ -$ (93,300)$
Interest income 12,360 5,740 (6,620)
Net increase (decrease) in
investment fair value - (7,498) (7,498)
Total revenues 105,660 (1,758) (107,418)
Expenditures:
Current:
General government 118,400 70,961 47,439
Public works 66,000 88,951 (22,951)
Total expenditures 184,400 159,912 24,488
Excess (deficiency) of revenues over (under)
expenditures (78,740) (161,670) (82,930)
Other financing sources (uses):
Transfers in 1,072 1,072 -
Net changes in fund balance (77,668) (160,598) (82,930)
Fund balance, beginning of year 240,607 397,186 (156,579)
Fund balance, end of year 162,939$ 236,588$ 73,649$
83
NONMAJOR DEBT SERVICE FUNDS
Debt Service Funds are used to account for the accumulation of resources that are restricted, committed, or assigned to
expenditure for principal and interest.
The Joint Powers Financing Authority Fund – is used to account for the debt service transactions of the 2005A Lease
Revenue Bond issue.
CITY OF RANCHO MIRAGE
BALANCE SHEET
NONMAJOR DEBT SEVICE FUND
June 30, 2013
84
Joint Powers
Financing
Authority
Assets:
Cash and investments with fiscal agent 397,993$
Liabilities:
Total liabilities -$
Fund balances:
Restricted 397,993
Total fund balance 397,993
Total liabilities and fund balances 397,993$
CITY OF RANCHO MIRAGE
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES NONMAJOR DEBT SEVICE FUND
Year Ended June 30, 2013
85
Joint Powers
Financing
Authority
Revenues:
Interest income 5,237$
Net increase (decrease)
in investment fair value (11,780)
Miscellaneous 390,483
Total revenues 383,940
Expenditures:
Debt service:
Principal 185,000
Interest 205,483
Total expenditures 390,483
Excess (deficiency) of revenues
over (under) expenditures (6,543)
Total change in fund balances (6,543)
Fund balances, beginning of year 404,536
Fund balances, end of year 397,993$
86
NONMAJOR CAPITAL PROJECT FUNDS
Capital Project Funds are used to account for resources that are restricted, committed, or assigned to expenditure
for capital outlays.
The Development Fee Funds – are used to account for fees collected on new residential and commercial
development which are then used to mitigate the impact of the new development on the City.
The Assessment Districts Fund – is used to account for activities relating to street improvement and construction,
flood control and utility undergrounding for specific areas of the City.
CITY OF RANCHO MIRAGE
COMBINING BALANCE SHEET
NONMAJOR CAPITAL PROJECTS FUNDS
June 30, 2013
87
Total Nonmajor
Assessment Development Capital Projects
District Fees Funds
Assets
Cash and investments 135,179 3,355,929$ 3,491,108$
Interest receivable 20 472 492
Total assets 135,199$ 3,356,401$ 3,491,600$
Liabilities and fund balances
Liabilities:
Accounts payable -$ -$ -$
Due to other funds - - -
Total liabilities - - -
Fund balances:
Restricted 135,199 3,356,401 3,491,600
Total fund balance 135,199 3,356,401 3,491,600
Total liabilities and fund balances 135,199$ 3,356,401$ 3,491,600$
CITY OF RANCHO MIRAGE
COMBINING STATEMENT OF REVENUES
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR CAPITAL PROJECTS FUNDS
Year Ended June 30, 2013
88
Total Nonmajor
Assessment Development Capital Projects
District Fees Funds
Revenues:
Developer fees -$ 272,751$ 272,751$
Interest income 2,172 53,508 55,680
Net increase (decrease) in
investment fair value - (31,583) (31,583)
Miscellaneous 25,926 - 25,926
Total revenues 28,098 294,676 322,774
Expenditures
Current:
General government - 8,051 8,051
Debt service
Principal 27,187 27,187
Total expenditures - 35,238 35,238
Excess (deficiency) of revenues
over (under) expenditures 28,098 259,438 287,536
Fund balances at beginning of year 107,101 3,096,963 3,204,064
Fund balances, end of year 135,199$ 3,356,401$ 3,491,600$
CITY OF RANCHO MIRAGE
BUDGETARY COMPARISON SCHEDULE
DEVELOPMENT FEES
NON-MAJOR CAPITAL PROJECTS FUNDS
Year Ended June 30, 2013
89
Variance with
Final Budget
Final Positive
Budget Actual (Negative)
Revenues:
Developer fees 78,000$ 272,751$ 194,751$
Interest income 54,367 53,508 (859)
Net increase (decrease) in
investment fair value - (31,583) (31,583)
Total revenues 132,367 294,676 162,309
Expenditures:
Current:
General government 3,355 8,051 (4,696)
Capital projects 151,656 27,187 124,469
Total expenditures 155,011 35,238 119,773
Excess (deficiency) of revenues over (under)
expenditures (22,644) 259,438 282,082
Other financing sources (uses):
Transfers out (7,880) - 7,880
Net changes in fund balances (30,524) 259,438 289,962
Fund balances beginning of year 2,897,926 3,096,963 (199,037)
Fund balances, end of year 2,867,402$ 3,356,401$ 488,999$
90
AGENCY FUNDS
Agency Funds are used to account for assets held by the City in a fiduciary capacity for individuals,
governmental entities and others.
The City Agency Fund – is used to account for refundable customer deposits.
The Assessment Districts Funds – is used to account for assessment collections and debt service payments of
assessment districts whose debt is not an obligation of the City.
CITY OF RANCHO MIRAGE
AGENCY FUNDS
COMBINING SCHEDULE OF CHANGES IN FIDUCIARY ASSETS AND LIABILITIES
Year Ended June 30, 2013
91
Balance at Balance at
July 1, 2012 Additions Deductions June 30, 2013
CITY AGENCY FUND
Assets:
Cash and investments 2,532,342$ 46,408$ -$ 2,578,750$
Accounts receivable - 25,000 - 25,000
Total Assets 2,532,342$ 71,408$ -$ 2,603,750$
Liabilities:
Accounts payable 829,126 21,001 - 850,127$
Deposits payable 1,703,216 50,407 - 1,753,623
Total Liabilities 2,532,342$ 71,408$ -$ 2,603,750$
ASSESSMENT DISTRICTS FUND
Assets:
Cash and investments 1,424,023$ 153,012$ -$ 1,577,035$
Cash and investments with fiscal agent 1,327,956 - 67,145 1,260,811
Interest receivable 94 151 - 245
Due from other governments 38,529 - 12,143 26,386
Total Assets 2,790,602$ 153,163$ 79,288$ 2,864,477$
Liabilities:
Due to bondholders 2,790,602 73,875 - 2,864,477
Total Liabilities 2,790,602$ 73,875$ -$ 2,864,477$
TOTALS-ALL AGENCY FUNDS
Assets:
Cash and investments 3,956,365$ 199,420$ -$ 4,155,785$
Cash and investments with fiscal agent 1,327,956 - 67,145 1,260,811
Interest receivable 94 151 - 245
Accounts receivable - 25,000 - 25,000
Due from other governments 38,529 - 12,143 26,386
Total Assets 5,322,944$ 224,571$ 79,288$ 5,468,227$
Liabilities:
Accounts payable 829,126$ 21,001$ -$ 850,127$
Deposits payable 1,703,216 50,407 - 1,753,623
Due to bondholders 2,790,602 73,875 - 2,864,477
Total Liabilities 5,322,944$ 145,283$ -$ 5,468,227$
92
STATISTICAL SECTION
This section of the City of Rancho Mirage Annual Financial Report presents additional information to assist
annual financial report users in understanding the financial statements, note disclosures, required
supplementary information and assessing the City's overall financial condition.
Contents
Financial Trends — these schedules contain trend information to assist readers in understanding and assessing hour
the City's financial position has changed over time.
Net Position by Component
Changes in Net Position
Fund Balance of Governmental Funds
Changes in Fund Balances of Governmental Funds
Governmental Tax Revenues by Source
Revenue Capacity — these schedules contain information to help the reader assess the City's local revenue
sources.
Assessed value and Estimated Actual Value of Taxable Property
Property Tax Rates, Direct and Overlapping
Principal Property Tax Payers
Property Tax Levies and Collections
Debt Capacity — these schedules present information to help the reader understand and assess the City's current
level of outstanding debt and the City's ability to issued additional debt in the future. Ratio of Outstanding Debt
by Type.
Ratio of General Bonded Debt Outstanding
Direct and Overlapping Debt
Pledged-Revenue Coverage
Demographic and Economic Information — these schedules provide demographic and economic indicators to
help the reader understand the environment within which the City's financial activities take place.
Demographics and Economic Statistics
Principal Employers
Operating Information — these schedules contain service and infrastructure data to help the reader understand
how the information in the report relates to the services the City provides and the activities it performs.
Full-time Equivalent City Government Employees by Function
Operating Indicators by Function
Capital Asset Statistics by Function
CITY OF RANCHO MIRAGE
Net Position by Component
Last Ten Fiscal Years
(accrual basis of accounting)
93
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Governmental activities:
Net investment in capital assets 62,359,050$ 59,485,576$ 57,911,677$ 64,597,727$ 69,623,504$ 71,406,020$ 68,626,495$ 65,953,653$ 175,897,018$ 173,721,979$
Restricted for:
Community development 15,998,651 13,978,688 21,649,275 33,777,778 38,537,448 28,647,681 24,008,809 44,549,542 - -
Public safety 90,892 294,125 455,352 514,477 699,795 1,032,317 757,198 328,543 601,437 817,810
Public works 4,271,544 3,686,443 4,078,193 5,511,462 5,574,235 6,176,655 5,296,500 4,427,388 4,878,272 5,236,768
Cultural and recreation 3,892,437 3,948,224 4,379,050 5,328,454 5,600,825 5,786,702 5,962,794 4,869,498 4,771,380 4,786,108
Unrestricted 76,954,667 77,774,930 69,366,764 74,230,761 75,057,430 83,434,229 83,889,131 72,081,113 102,864,212 99,635,002
Total governmental activities net position 163,567,241$ 159,167,986$ 157,840,311$ 183,960,659$ 195,093,237$196,483,604$188,540,927$192,209,737$ 289,012,319$ 284,197,667$
The City of Indian Wells implemented GASB 34 for the fiscal year ended June 30, 2000.
Information prior to the implementation of GASB 34 is not available.
The City of Rancho Mirage implemented GASB 34 for the fiscal year ended June 30, 2003.
‐
25
50
75
100
125
150
175
200
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Millions
Invested in capital assets Restricted Unrestricted
CITY OF RANCHO MIRAGE
Changes in Net Position
Last Ten Fiscal Years
(accrual basis of accounting)
94
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Expenses:
Governmental activities:
General government 9,900,755 14,122,076 16,020,796 14,046,413 16,021,080 22,518,896 14,475,806 16,130,779 16,759,819 13,468,932
Public safety 8,377,068 8,635,586 10,567,863 9,993,457 10,201,495 10,446,535 11,129,693 11,099,224 11,171,851 11,617,269
Public works 16,403,184 17,856,840 19,164,023 3,606,363 12,040,334 13,393,378 12,066,325 11,513,164 8,848,181 6,416,177
Cultural and recreation 4,314,325 5,663,369 5,495,894 3,609,893 3,964,894 4,322,608 4,324,325 3,862,141 3,911,881 3,737,506
Interest on long-term debt and other charges 9,700,908 8,956,761 9,471,741 7,324,379 7,972,330 9,764,527 9,067,233 8,349,094 4,690,367 148,678
Total governmental activities expenses 48,696,240 55,234,632 60,720,317 38,580,505 50,200,133 60,445,944 51,063,382 50,954,402 45,382,099 35,388,562
Program revenues:
Governmental activities:
Charges for services:
General government 4,167,240 3,870,266 2,870,932 3,638,843 3,061,157 2,016,132 2,371,900 1,838,628 2,513,900 2,789,596
Public safety 1,219,909 1,763,238 314,647 464,416 375,842 313,223 329,803 165,323 143,233 133,530
Public works 1,225,378 1,344,088 1,032,052 1,294,588 1,110,051 1,382,936 904,420 521,816 505,088 378,281
Cultural and recreation 563,485 600,510 704,482 1,086,457 686,272 513,853 498,673 926,238 522,781 495,635
Operating grants & Contributions 3,951,392 4,023,635 4,802,592 2,508,829 2,849,755 2,803,831 3,701,209 2,439,821 2,098,306 864,205
Capital Grants and Contributtions 2,199,118 2,328,728 703,715 776,847 797,410 97,179 1,045,253 3,366,193 1,448,786 936,367
Total governmental activities program revenues 13,326,522 13,930,465 10,428,420 9,769,980 8,880,487 7,127,154 8,851,258 9,258,019 7,232,094 5,597,614
Total net revenues (expenses)(35,369,718) (41,304,167) (50,291,897)(28,810,525)(41,319,646)(53,318,790)(42,212,124)(41,696,383) (38,150,005) (29,790,948)
General revenues and other changes in net assets:
Taxes:
Property taxes 15,509,768 18,393,896 21,318,158 23,538,553 22,366,938 23,861,913 11,340,522 26,203,195 15,227,258 4,571,549
Transient occupancy taxes 5,148,725 5,644,962 5,835,222 5,176,838 5,157,302 4,634,439 3,892,316 4,689,994 5,356,152 5,606,679
Sales tax 4,102,089 3,985,310 5,861,699 5,545,232 5,515,465 4,470,537 3,772,259 3,790,245 3,970,239 3,882,102
Franchise taxes 921,876 970,997 1,068,537 1,246,691 1,222,758 1,240,960 1,190,558 1,223,839 1,239,565 1,244,971
Motor vehicle in lieu 722,707 396,845 107,131 96,326 71,072 62,110 50,389 78,511 17,612 7,483
Library and fire services 3,700,066 4,148,420 7,053,984 7,778,959 7,924,540 8,997,464 8,955,768 4,597,922 7,702,636 10,039,639
Other Taxes 219,309 - 222,057 265,511 - - - - - -
Investment income, net of increase (decrease) 970,695 3,614,728 5,369,317 8,660,681 9,199,944 10,517,778 4,649,457 1,036,128 2,371,476 154,797
in fair value
Other general revenues 1,150,065 99,298 2,128,117 2,622,082 994,205 444,438 418,157 264,583 483,148 832,364
Total general revenues 32,445,300 37,254,456 48,964,222 54,930,873 52,452,224 54,229,639 34,269,426 41,884,417 36,368,086 26,339,584
Extraordinary gain - dissolution of redevelopment agency 98,551,208 -
Changes in net position (2,924,418) (4,049,711) (1,327,675) 26,120,348 11,132,578 910,849 (7,942,698) 188,034 96,769,289 (3,451,364)
Net position at beginning of year 166,491,659 1 163,217,697 159,167,986 157,840,311 183,960,659 195,572,755 1 196,483,604 192,054,996 192,243,030 287,649,031
Net position at end of year 163,567,241 159,167,986 157,840,311 183,960,659 195,093,237 196,483,604 188,540,906 192,243,030 289,012,319 284,197,667
1 Net Position at beginning of year, as restated.
Fiscal Year
‐
10
20
30
40
50
60
70
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Millions
Total governmental activities expenses Total Government Activities Revenues
The City of Rancho Mirage implemented GASB 34 for the fiscal year ended June 30, 2003.
Information prior to the implementation of GASB 34 is not available.
The City of Rancho Mirage implemented GASB 34 for the fiscal year ended June 30, 2003.
Information prior to the implementation of GASB 34 is not available.
The City of Rancho Mirage implemented GASB 34 for the fiscal year ended June 30, 2003.
CITY OF RANCHO MIRAGE
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
95
2004 2005 2006 2007 2008
General fund:
Reserved $ 11,328,484 23,126,831 10,282,294 3,166,260 4,675,993
Unreserved 57,598,268 47,964,792 59,668,431 70,702,592 69,926,834
Nonspendable - - - - -
Restricted - - - - -
Committed - - - - -
Assigned - - - - -
Unassigned - - - - -
Total general fund 68,926,752 71,091,623 69,950,726 73,868,852 74,602,827
All other governmental funds:
Reserved for: 16,683,240 28,954,387 42,257,425 9,874,200 10,364,020
Unreserved 114,145,614 88,599,418 64,672,631 108,008,823 112,690,874
Nonspendable - - - - -
Restricted - - - - -
Committed - - - - -
Assigned - - - - -
Unassigned - - - - -
Total all other governmental funds 130,828,854 117,553,805 106,930,056 117,883,023 123,054,894
Total all governmental funds $ 199,755,606 188,645,428 176,880,782 191,751,875 197,657,721
2009 2010 2011 2012 2013
General fund:
Reserved $ 5,593,358 3,845,244 - - -
Unreserved 69,897,603 71,868,997 - - -
Nonspendable - - 30,672 1,528,746 1,457,427
Restricted - - - - -
Committed - - - - 69,050,503
Assigned - - 16,915,572 10,442,621 -
Unassigned - - 63,371,942 69,339,232 9,644,859
Total general fund 75,490,961 75,714,241 80,318,186 81,310,599 80,152,789
All other governmental funds:
Reserved for: 20,467,678 47,655,357 - -
Unreserved 115,814,760 67,716,094 - -
Nonspendable - - 1,500,000
Restricted - - 63,746,097 35,582,727 34,748,513
Committed - - - -
Assigned - - 35,773,625 3,204,062 3,491,600
Unassigned - - - -
Total all other governmental funds 136,282,438 115,371,451 101,019,722 38,786,789 38,240,113
Total all governmental funds $ 211,773,399 191,085,692 181,337,908 120,097,388 118,392,902
Source: City of Rancho Mirage Comprehensive Annual Financial Report
Note: Beginning in FY 2011, the fund balance classification changed to be consistent with GASB 54.
Fiscal Year
Fiscal Year
CITY OF RANCHO MIRAGE
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
96
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Revenues:
Taxes 41,450,397 42,619,827 49,388,634 52,501,941 54,051,951 53,383,125 50,758,411 49,672,270 32,941,333 16,919,360$
Intergovernmental 5,352,333 7,365,464 8,265,208 4,102,702 2,746,203 3,559,677 4,211,049 6,696,101 4,827,425 4,660,697
Licenses and permits 1,862,830 1,463,437 995,315 947,946 765,367 486,475 572,770 518,496 518,934 395,051
Charges for services 4,341,048 3,470,340 1,654,878 1,746,194 1,640,288 1,024,703 770,791 725,567 2,171,134 2,378,958
Fines and forfeitures 160,400 132,682 134,049 134,272 198,482 183,012 245,966 228,588 220,787 172,006
Special Assessments 1,810,415 1,821,072 4,245,759 4,700,393 4,484,852 5,106,451 5,282,158 4,958,580 5,837,585 5,637,368
Developer fees 139,100 1,273,513 938,563 1,070,096 687,465 228,596 579,666 56,555 122,714 333,482
Interest income 4,198,425 5,621,024 6,412,795 7,737,975 9,145,830 8,055,417 5,001,086 3,251,024 2,368,457 1,807,018
Net increase (decrease) in investment
fair value (3,104,659) (333,530) (881,240) 1,986,792 1,410,358 2,449,650 (453,191) (2,214,896) 3,018 (1,652,222)
Proceeds from property owner debt - - - - - - - - -
Miscellaneous 1,264,267 848,176 1,614,856 1,242,349 2,088,229 1,998,920 2,017,618 6,934,021 1,158,773 1,285,480
Total revenues 57,474,556 64,282,005 72,768,817 76,170,660 77,219,025 76,476,026 68,986,324 70,826,306 50,170,160 31,937,198
Expenditures
Current:
General government 9,758,475 13,515,267 12,615,962 13,532,684 15,135,511 21,512,236 13,934,223 14,653,460 16,250,447 12,986,122
Public safety 8,294,837 8,581,486 8,778,261 9,857,575 10,053,423 10,307,877 10,978,437 11,173,201 11,128,163 11,534,478
Public works 3,551,465 3,656,569 3,873,142 4,121,876 4,261,168 4,751,113 4,167,745 3,858,992 4,206,854 4,214,711
Cultural and recreation 1,933,540 2,198,614 3,311,559 3,224,536 3,449,148 3,835,191 3,799,662 3,581,489 3,403,227 3,223,476
Capital Projects 15,904,160 25,856,533 30,311,886 7,449,509 10,085,373 14,544,626 15,839,636 17,794,157 6,390,604 1,292,417
Debt service:
Principal 1,885,000 2,420,000 3,640,000 4,655,000 4,600,000 5,530,000 5,370,000 5,565,000 180,000 185,000
Interest 6,323,322 8,184,449 8,242,037 7,400,495 7,466,786 8,016,544 8,172,156 7,980,036 3,989,310 205,483
Payments under pass-through 10,102,734 11,297,084 13,073,751 12,897,644 15,886,314 15,119,233 14,208,932 13,661,996 6,569,870 -
agreements
Payments for ERAF shift 993,674 1,935,183 1,941,705 - - - 12,583,600 2,590,741 - -
Service fees 2,662,830 677,240 1,458,592 388,087 375,599 950,175 619,636 32,065 25,530 -
Total expenditures 61,410,037 78,322,425 87,246,895 63,527,406 71,313,322 84,566,995 89,674,027 80,891,137 52,144,005 33,641,687
Excess (deficiency) of
revenues over (under)
expenditures (3,935,481) (14,040,420) (14,478,078) 12,643,254 5,905,703 (8,090,969) (20,687,703) (10,064,831) (1,973,845) (1,704,489)
Other financing sources (uses):
Transfers in 17,512,520 33,145,467 41,552,009 27,327,117 24,100,736 32,839,537 33,736,594 21,000,239 5,533,710 2,555,006
Transfers out (17,512,520) (33,145,467) (41,552,009) (27,327,117) (24,100,736) (32,839,537) (33,736,594) (21,000,239) (5,533,710) (2,555,006)
Proceeds from sale of capital assets - - 1,597,576 2,227,837 - - - - - -
Issuance of long-term debt 67,760,405 5,925,000 49,120,000 - - 22,040,000 - 317,055 - -
Premium (discount) on issuance of debt - - 1,360,413 - - (312,870) - - - -
Payment to refunded bond escrow agent - (3,190,278) (49,364,555) - - - - - - -
Total other financing
sources (uses) 67,760,405 2,734,722 2,713,434 2,227,837 - 21,727,130 - 317,055 - -
Extraordinary Item:
Dissolution of former Redevelopment Agency (59,299,969)
Net change in fund balances 63,824,924 (11,305,698) (11,764,644) 14,871,091 5,905,703 13,636,161 (20,687,703) (9,747,776) (61,273,814) (1,704,489)$
Debt service as a percentage of
noncapital expenditures 13.5% 15.2%15.4% 21.2% 17.1% 16.2%18.3% 21.5% 8.9% 1.2%
The City of Rancho Mirage implemented GASB 34 for the fiscal year ended June 30, 2003.
CITY OF RANCHO MIRAGE
Major Revenue Sources – Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
97
City
Fiscal Property Tax
Year and RDA Transient Special Developer Licenses & Charges for
End Tax Increment Interest Occupancy Assessments Franchise Fees Permits Services Total
2004 24,396,668 4,198,425 5,148,725 1,810,415 921,876 139,100 1,862,830 2,497,252 40,975,291
2005 27,287,220 5,621,024 5,644,962 1,821,072 970,997 1,273,513 1,463,437 3,470,340 47,552,565
2006 31,446,448 6,414,077 5,877,525 1,968,493 1,068,537 938,563 995,315 1,654,878 50,363,836
2007 34,753,736 7,632,660 5,176,838 4,746,585 1,246,691 1,003,853 947,946 1,085,943 56,594,252
2008 36,541,457 9,145,831 5,157,302 4,506,070 1,222,758 792,234 742,777 836,550 58,944,979
2009 37,331,645 8,055,416 4,634,439 5,140,189 1,240,960 290,852 840,823 607,163 58,141,487
2010 37,903,311 4,547,895 3,892,316 5,282,157 1,190,558 128,496 368,894 837,745 54,151,372
2011 34,988,718 3,251,022 4,302,014 4,958,579 1,223,839 56,554 708,075 526,296 50,015,098
2012 26,437,010 2,592,296 4,925,307 5,837,583 1,239,565 122,712 518,935 690,640 42,364,048
2013 4,571,549 1,807,018 5,606,679 5,637,368 1,244,971 333,482 395,051 814,814 20,410,932
Percentage change:
2004-2013 -478.3% -43.5% 12.2% -3.6% 0.4% 63.2% -31.4% 15.2% -107.6%
Tax increment is no longer reported as redevelopment agencies were dissolved in FY 2012
-
10
20
30
40
50
60
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Millions
City & RDA Taxes Interest Transient Occupancy Tax Special Assessments
Franchise Developer Fees Licenses & Permits Charges for Services
CITY OF RANCHO MIRAGE
Assessed Value and Estimated Actual Value of Taxable Property
Last Ten Fiscal Years
98
Total
Year Assessed Less Less Taxable
Ended Secured Unsecured Property Property Homeowner's Assessed
June 30 Property Property Value Exemptions Exemptions Value
2003 4,346,428,520 134,199,032 4,480,627,552 250,166,114 26,071,744 4,204,389,694
2004 4,815,526,070 156,040,389 4,971,566,459 264,652,158 28,545,390 4,678,368,911
2005 5,430,429,840 175,459,045 5,605,888,885 319,303,835 29,221,822 5,257,363,228
2006 6,199,345,440 211,188,516 6,410,533,956 332,430,426 31,384,677 6,046,718,853
2007 7,162,393,349 217,992,151 7,380,385,500 329,830,054 32,739,367 7,017,816,079
2008 7,981,900,865 216,748,234 8,198,649,099 355,469,047 32,957,707 7,810,222,345
2009 8,253,540,667 243,632,123 8,497,172,790 392,938,402 33,051,439 8,071,182,949
2010 8,034,046,037 266,075,905 8,300,121,942 232,254,754 32,711,561 8,035,155,627
2011 7,626,463,485 249,847,605 7,876,311,090 483,628,859 32,322,140 7,360,360,091
2012 7,493,838,095 264,159,885 7,757,997,980 566,376,759 31,488,162 7,160,133,059
2013 7,542,777,796 254,154,858 7,796,932,654 617,151,641 30,607,881 7,149,173,132
Source: Riverside County Auditor-Controller's Office
City
NOTE:
In 1978 the voters of the State of California passed Proposition 13 which limited property taxes to a total
maximum rate of 1% based upon the assessed value of the property being taxed. Each year, the assessed
value of property may be increased by an "inflation factor" (limited to a maximum increase of 2%). With
few exceptions, property is only re-assessed at the time that it is sold to a new owner. At that point, the new
assessed value is reassessed at the purchase price of the property sold. The assessed valuation data shown
above represents the only data currently available with respect to the actual market value of taxable property
and is subject to the limitations described above.
CITY OF RANCHO MIRAGE
Property Tax Rates – Direct and Overlapping Governments
Last Ten Fiscal Years (per $100 of Assessed Value)
99
2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13
General 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000
Desert Sands Unified School 0.09581 0.07674 0.07613 0.07561 0.07990 0.07990 0.10036 0.10036 0.11467 0.11156
Palm Springs Unified B, IA 0.05715 0.05012 0.05912 0.05468 0.06007 0.06007 0.13224 0.13224 0.10451 0.09351
Desert Community College 0.01994 0.01995 0.01995 0.01995 0.01995 0.01995 0.01995 0.01995 0.01995 0.01995
Coachella Valley Water 0.02080 0.02080 0.02080 0.04000 0.04000 0.04000 0.08000 0.08000 0.08000 0.08000
District
Coachella Valley Water 0.00020 0.00020 - 0.00090 - - - - - -
Improvement District 53
Coachella Valley Water 0.01910 0.01800 0.01800 0.00720 0.00650 0.00650 0.00530 0.05300 - -
Improvement District 54
Desert Water Agency 0.06000 0.06000 0.06000 0.08000 0.08000 0.08000 0.08000 - 0.08000 0.10000
Total 1.27300 1.24581 1.25400 1.27834 1.28642 1.28642 1.41785 1.38555 1.39913 1.40502
Source: Riverside County Auditor-Controller's Office
CITY OF RANCHO MIRAGE
Principal Property Tax Payers
Current Year and Ten Years Ago
100
Percent of Percent of
Total City & RDA Total City & RDA
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Land Use Value Value Value Value
River Retail Commercial 88,942,421$ 0.65%0.00%
KSL RLP Holdings Hotel 53,852,027 0.39%0.00%
Stark RM Eagle Commercial 48,292,793 0.35%0.00%
Porkupine Properties Residential Properties 48,009,350 0.35%0.00%
Newage Rancho Mirage Hotel 45,406,177 0.33%0.00%
Starwood Mission Hills CMBS I Hotel 44,302,102 0.32%140,170,908 1.88%
Eisenhower Memorial Hosptial Hospital 29,976,703 0.22%56,077,221 0.75%
Eisenhower Properties Hospital 26,658,051 0.20%0.00%
ATC Realty One Commercial 26,082,741 0.19%0.00%
Mission Hills Country Club Golf Course / Country Club 25,215,639 0.18%20,931,995 0.28%
Wallis Annenberg Residental Properties 25,023,114 0.18%0.00%
FIT REN Mirage Inn Hotel 24,650,806 0.18%0.00%
Thunderbird Terrace Condominium Complex 18,539,910 0.14%18,114,279 0.24%
Desert European Motorcars Commercial 17,115,398 0.13%0.00%
Hotel Majestic Hotel 15,555,000 0.11%0.00%
Nationwide Health Properties Commercial 15,362,513 0.11%0.00%
Fin Co Partners Commercial 14,606,576 0.11%0.00%
Zelman Rancho Mirage Commercial 13,317,080 0.10%0.00%
CNL Retirement MA3 Calif Rest Home 12,952,376 0.09%0.00%
Club at Morningside Golf Course / Country Club 12,480,829 0.09%0.00%
SHC Rancho Hotel - 0.00%77,512,464 1.04%
Olympus Rancho Mirage Hotel - 0.00%28,425,527 0.38%
Cascada Investments Inc Land - 0.00%15,023,510 0.20%
606,341,606$ 4.45%356,255,905$ 4.77%
1) 2012-13 Local Secured Assessed Valuation: $7,245,800
2) Taxable property only.
The amounts shown above include assessed value data for both the City and the Redevelopment Agency.
Source: HdL Coren & Cone
20032013
CITY OF RANCHO MIRAGE
Property Tax Levies and Collections
Last Ten Fiscal Years
101
Fiscal Taxes Levied Collections in
Year Ended for the Percent Subsequent Percent
June 30 Fiscal Year Amount of Levy Years Amount of Levy
2004 22,998,519 24,160,708 105.05% 235,960 24,396,668 106.08%
2005 25,343,548 26,990,846 106.50% 296,374 27,287,220 107.67%
2006 28,810,194 30,919,317 107.32% 527,131 31,446,448 109.15%
2007 32,869,381 33,739,177 102.65% 1,014,559 34,753,736 105.73%
2008 36,651,002 35,753,415 97.55% 788,042 36,541,457 99.70%
2009 37,854,169 36,597,061 96.68% 742,694 37,339,755 98.64%
2010 36,588,819 36,055,757 98.54% 480,136 36,535,893 99.86%
2011 34,350,425 36,029,172 104.89% 346,814 36,375,986 105.90%
2012 17,717,826 17,652,090 99.63%Not Available 17,652,090 99.63%
2013 1,365,608 1,311,650 96.05% 126,060 1,437,711 105.28%
Source: Riverside County Auditor Controller's Office
City of Rancho Mirage
Collected within the
Fiscal Year of Levy Total Collections to Date
NOTE:
The amounts presented include City property taxes and Redevelopment Agency tax increment. This
schedule also includes amounts collected by the City and Redevelopment Agency that were passed-
through to other agencies.
CITY OF RANCHO MIRAGE
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
102
Fiscal Percentage
Year Revenue Tax Allocation Advances Loans of Personal
End Bonds Bonds 1 Payable Payable Total Income
2004 3,105,000 166,635,304 7,112,815 176,853,119 17.26%
2005 5,925,000 164,408,511 7,112,815 177,446,326 16.08%
2006 5,775,000 161,464,681 - 167,239,681 14.18%
2007 5,625,000 157,119,221 - 162,744,221 13.20%
2008 5,470,000 152,842,643 - 158,312,643 11.90%
2009 5,310,000 169,690,462 - 175,000,462 13.18%
2010 5,145,000 164,673,158 - 169,818,158 12.21%
2011 4,970,000 157,870,276 - 162,840,276 13.67%
2012 4,790,000 - - 2,314,566 7,104,566 0.61%
2013 4,605,000 - - 2,267,396 6,872,396 0.63%
Notes: Details regarding the city's outstanding debt can be found in the notes to the financial statements.
Sources: City of Rancho Mirage and Wheeler's Demographic Profiles of the Coachella Valley
Governmental Activities
CITY OF RANCHO MIRAGE
Ratio of General Bonded Debt Outstanding
Last Ten Fiscal Years
103
Fiscal Year Percent of
Ended Revenue Tax Allocation Assessed Per
June 30 Bonds Bonds Loans Total Value 1 Capita
2004 3,105,000 166,635,304 169,740,304 1.85% 10,938
2005 5,925,000 164,408,511 170,333,511 1.67% 10,376
2006 5,775,000 161,464,681 167,239,681 1.46% 10,031
2007 5,625,000 157,119,221 162,744,221 1.25% 9,605
2008 5,470,000 152,842,643 158,312,643 1.11% 9,326
2009 5,310,000 169,690,462 175,000,462 1.18% 10,186
2010 5,145,000 164,673,158 169,818,158 1.17% 9,985
2011 4,970,000 157,870,276 162,840,276 1.18% 9,458
2012 4,790,000 - 2,314,566 4,790,000 0.04% 274
2013 4,605,000 - 2,267,396 4,605,000 0.03% 261
General bonded debt is debt payable with governmental fund resources.
1 Assessed value has been used because the actual value of taxable property is not
readily available in the State of California.
Sources: City of Rancho Mirage Comprehensive Annual Financial Report
Outstanding General Bonded Debt
CITY OF RANCHO MIRAGE
Direct and Overlapping Debt
June 30, 2013
104
City Assessed Valuation 7,149,173,132$
Redevelopment Agency Incremental Valuation (5,268,486,185)
Total Assessed Valuation 1,880,686,947$
City's Share of
Total Debt Percentage Debt
06/30/13 Applicable 1 06/30/13
OVERLAPPING TAX AND ASSESSMENT DEBT:
Desert Community College District 310,591,264$ 8.659% 26,894,098
Desert Sands Unified School District 240,740,492 3.964% 9,542,953
Palm Springs Unified School District 320,482,151 16.531% 52,978,904
City of Rancho Mirage 1915 Act Bonds 9,495,000 100.000% 9,495,000
Coachella Valley Water District Assessment District No. 68 1,695,000 13.890%235,436
TOTAL OVERLAPPING TAX AND ASSESSMENT DEBT 99,146,392$
Ratios to 2011-12 Assessed Valuation:
Total Overlapping Tax and Assessment Debt 1.39%
DIRECT AND OVERLAPPING GENERAL FUND DEBT:
Riverside County General Fund Obligations 654,842,180 1.870% 12,245,549
Riverside County Pension Obligations 357,340,000 1.870% 6,682,258
Riverside County Board of Education Certificates of Participation 4,955,000 1.870%92,659
Desert Sands Unified School District Certificates of Participation 57,755,000 3.964% 2,289,408
Coachella Valley Water District, Improvement District No. 71 Certificates of Participation 1,270,000 12.866%163,398
Coachella Valley Recreation and Park District Certificates of Participation 2,120,000 2.998%63,558
City of Rancho Mirage Certificates of Participation 4,530,000 100.000% 4,530,000
TOTAL GROSS DIRECT AND OVERLAPPING GENERAL FUND DEBT 1,082,812,180 26,066,829$
Less: Riverside County self-supporting obligations 231,803
TOTAL NET DIRECT AND OVERLAPPING GENERAL FUND DEBT 25,835,026$
TOTAL DIRECT DEBT 4,530,000$
TOTAL GROSS OVERLAPPING DEBT 120,683,221$
TOTAL NET OVERLAPPING DEBT 120,451,418$
GROSS COMBINED TOTAL DEBT 2 125,213,221$
NET COMBINED TOTAL DEBT 124,981,418$
(1) Percentage of overlapping agency's assessed valuation located within boundaries of the city.
(2) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and tax allocation bonds and non-bonded capital lease obligations.
Ratios to Adjusted Assessed Valuation
Total Direct Debt ($4,790,000)0.24%
Gross Combined Total Debt 6.66%
Net Combined Total Debt 6.65%
STATE SCHOOL BUILDING AID REPAYABLE AS OF 6/30/13: $0
CITY OF RANCHO MIRAGE
Computation of Legal Debt Margin
Last Ten Fiscal Years
105
Outstanding Less: Total Net
Fiscal Lease Bond Debt Legal Debt
Year Revenue Reserve Applicable To Legal Debt Legal Debt Margin as a
End Bonds Requirement (2)Debt Limit Limit Margin % of Limit
2004 169,740,304 26,679,901 143,060,403 1,373,125,724 1,230,065,321 89.6%
2005 170,333,511 32,135,427 138,198,084 1,528,322,872 1,390,124,788 91.0%
2006 167,239,681 35,842,735 131,396,946 1,716,192,783 1,584,795,837 92.3%
2007 162,744,221 35,692,735 127,051,486 1,947,927,233 1,820,875,746 93.5%
2008 158,312,643 40,364,944 117,947,699 2,143,036,555 2,025,088,855 94.5%
2009 175,000,462 40,881,825 134,118,637 2,219,509,124 2,085,390,486 94.0%
2010 169,818,158 40,003,617 129,814,541 2,171,005,018 2,041,190,477 94.0%
2011 162,840,276 38,422,052 124,418,224 2,066,196,749 1,941,778,525 94.0%
2012 4,790,000 21,116,014 (16,326,014) 2,045,642,029 2,061,968,043 100.8%
2013 4,605,000 18,220,007 (13,615,007) 2,050,088,054 2,063,703,061 100.7%
General bonded debt is debt payable with governmental fund resources and general
obligation bonds recorded in enterprise funds (of which, the City has none).
1 Assessed value has been used because the actual value of taxable property is not
readily available in the State of California.
2 Limited to amounts held in bond reserve funds that are legally restricted toward
the repayment of specific debt issuances.
CITY OF RANCHO MIRAGE
Pledged Revenue Coverage
Library Lease and Civic Center Revenue Bonds and Redevelopment Tax Allocation Bonds
Last Ten Fiscal Years
106
Revenue
Available for Debt Service Requirements
Description Debt Service Principal Interest Total Coverage
2005
Library Lease
Revenue Bonds
FY 2005-06 370,974 150,000 220,974 370,974 100.00%
FY 2006-07 388,033 150,000 238,033 388,033 100.00%
FY 2007-08 388,533 155,000 233,533 388,533 100.00%
FY 2008-09 388,883 160,000 228,883 388,883 100.00%
FY 2009-10 388,482 165,000 223,482 388,482 100.00%
FY 2010-11 392,914 175,000 217,914 392,914 100.00%
FY 2011-12 392,008 180,000 212,008 392,008 100.00%
FY 2012-13 390,482 185,000 205,482 390,482 100.00%
1995
Library Lease
Revenue Bonds
FY 2003-04 240,924 45,000 195,924 240,924 100.00%
FY 2004-05 243,286 50,000 193,286 243,286 100.00%
FY 2005-06 - - - - -
FY 2006-07 - - - - -
FY 2007-08 - - - - -
FY 2008-09 - - - - -
FY 2009-10 - - - - -
FY 2010-11 - - - - -
FY 2011-12 - - - - -
FY 2012-13 - --- -
Notes: Revenue available for Library Lease Revenue Bonds consists of lease payments made by the City of
Rancho Mirage to the Rancho Mirage Joint Powers Financing Authority.
The 1995 Library Lease Revenue Bonds refinanced the 1991 Library Lease Revenue Bonds during
FY 1995-96. The bonds were refunded fully in April 2005 by the 2005 Public Facilities Lease Revenue Bonds.
Civic Center Revenue Bonds were refunded in full in July 2001. In prior years, the revenue available
consisted of property tax revenues received by the Rancho Mirage Redevolopment Agency that were
used to make loan payments to the Rancho Mirage Joint Powers Financing Authority.
Source: City of Rancho Mirage
CITY OF RANCHO MIRAGE
Demographic and Economic Statistics
Last Ten Calendar Years
107
Per
Capita
Fiscal Personal Personal Unemployment
Year Population 1 Income Income 2 Rate 3
2004 15,518 1,024,901,828 66,046 6.2%
2005 16,416 1,103,450,688 67,218 5.5%
2006 16,672 1,179,277,248 70,734 5.1%
2007 16,944 1,233,269,040 72,785 5.8%
2008 16,975 1,330,568,400 78,384 8.0%
2009 17,180 1,327,784,200 77,287 13.5%
2010 17,008 1,390,591,088 81,761 14.4%
2011 17,218 1,191,451,164 69,198 14.3%
2012 17,504 1,168,742,080 66,770 12.7%
2013 17,643 1,098,188,535 62,245 10.7%
Sources: (1) California State Department of Finance
(2) U.S. Census Bureau
(3) U.S. Bureau of Labor Statistics (for Riverside County)
4%
6%
8%
10%
12%
14%
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
County Unemployment Rate
10,000
12,000
14,000
16,000
18,000
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
City Population
CITY OF RANCHO MIRAGE
Principal Employers
108
2013
Percent of
Number of Primary Total Principal
Employer Employees Description Rank Employment
Eisenhower Medical Center 2,480 Hospital / Clinics 1 43.48%
Agua Caliente Resort & Casino 1,300 Casino 2 22.79%
Rancho Las Palmas Resort & Spa 500 Hotel 3 8.77%
Westin Mission Hills Resort & Spa 470 Hotel 4 8.24%
Betty Ford Center 269 Rehabilitation Center 5 4.72%
Mission Hills Country Club 211 Country Club 6 3.70%
The Cheesecake Factory 180 Restaurant 7 3.16%
The Home Depot 149 Home Improvement Store 8 2.61%
PF Chang's China Bistro 75 Restaurant 9 1.31%
Babe's Bar-B-Que & Brewhouse 70 Restaurant 10 1.23%
Source: Rancho Mirage Chamber of Commerce
Data not available for prior years.
Total Employment - Labor Force of Principal Employers 5704
Top 10 percentage 100.00%
CITY OF RANCHO MIRAGE
Full-time and Part-time City Employees
By Function
Last Ten Fiscal Years
109
Function 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
General Fund
City Clerk 6.00 6.00 5.00 6.00 6.00 6.00 4.00 4.00 4.00 4.00
City Manager/Management Services 7.00 8.00 11.00 12.00 12.00 12.00 10.00 11.00 3.00 3.00
City Attorney 1 - - - - - - - - - -
Administration 2.00 2.00 2.00 1.00 1.00 1.00 1.00 1.00 6.00 6.00
Finance 5.00 5.00 5.00 5.00 5.00 5.00 5.00 4.00 4.00 4.00
Information Services 2.00 2.00 2.00 2.00 2.00 2.00 7.00 2.00 2.00 2.00
Planning 9.50 9.00 9.00 9.00 8.00 8.00 4.00 7.00 7.00 6.00
Building 6.00 6.50 5.00 5.00 5.00 5.00 5.50 4.00 4.00 4.00
Code Compliance 3.00 3.00 3.00 3.00 4.00 4.00 5.50 6.00 6.00 5.00
Engineering 9.00 9.00 10.00 10.00 10.00 10.00 10.00 10.00 10.00 10.00
Street Maintenance 5.00 5.00 5.00 5.00 5.00 5.00 4.50 4.00 5.00 5.00
Buildings & Grounds 4.00 4.00 4.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00
Emergency Services - - 1.00 1.00 1.00 1.00 - - - -
General Government 1.00 1.00 1.00 1.00 1.00 1.00 1.00 - - -
Tourism & Marketing - - - 1.00 1.00 1.00 1.00 1.00 1.00 1.00
Economic Development - - - - - - - 1.00 2.00 2.00
GENERAL FUND SUB-TOTAL 59.50 60.50 63.00 66.00 66.00 66.00 63.50 60.00 59.00 57.00
Parkland Fund 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 1.00 1.00
Library Fund 8.00 8.00 11.00 11.00 15.00 15.00 14.00 13.00 12.00 12.00
Library Fund (full-time equivalents)2 7.92 8.25 4.92 14.61 15.23 17.91 12.79 12.61 11.58 11.55
Housing Authority 4.50 4.50 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00
TOTAL 81.92 83.25 84.92 97.61 102.23 104.91 96.29 91.61 87.58 85.55
1 Attorney services have been contracted out since FY 2004
2 The Library utilizes several part-time employees whose hours, when combined, constitute full-time equivalents
Note: Police and fire services are provided by the County of Riverside.
Source: City of Rancho Mirage
Full-Time and Part-time Employees as of June 30
CITY OF RANCHO MIRAGE
Operating Indicators by Function
Last Ten Fiscal Years
110
2004 2005 2006 2007 2008
Public Works:
Permits issued:
Grading 131 112 91 80 48
Encroachment 292 236 223 240 195
Pool drainage - - 5 18 73
Transportation 80 101 99 89 114
Miscellaneous 74 56 58 23 11
Maintenance of:
Miles of streets 73.5 73.5 73.5 73.8 73.8
Miles of bike paths 21.3 21.9 21.9 22.3 22.9
Number of major intersections 26 26 26 26 26
Number of traffic signals & safety lighting 48 50 54 52 52
Number of traffic signs 2,074 2,091 2,099 2,113 2,132
Number of street lights 196 198 202 206 208
Parks and Recreation:
Number of parks 5.0 5.0 5.0 5.0 5.0
Total acreage 12.6 12.6 12.6 12.6 12.6
Library
Items checked out 368,626 378,363 389,729 481,604 615,016
Patron visits to the library 235,905 236,571 279,769 320,551 349,768
Reference questions 44,711 45,318 55,362 63,299 74,067
Holds/reserves placed 22,943 25,746 30,611 40,395 47,347
Total website pageviews-not consistently recorded 966,986 602,116 364,092 660,143 1,061,113
Library cardholders as of June 19,094 19,518 24,250 29,520 35,749
Community Development
Number of building permits issued 2,445 2,387 1,525 1,193 1,427
Estimated valuation of building permits issued 232,925,182 165,034,703 91,031,942 128,161,385 96,054,794
NA = Not available
Source: City of Rancho Mirage
Fiscal Year
111
2009 2010 2011 2012 2013
30 20 20 21 33
193 114 156 178 131
28 20 35 42 44
80 62 62 65 57
15 28 39 12 5
73.8 74.0 74.0 74.0 74.0
23.0 23.6 24.6 25.0 25.0
26 26 26 27 27
60 60 61 62 62
2,140 2,172 3,702 3,624 3,624
208 208 208 208 208
5.0 5.0 5.0 5.0 5.0
12.6 12.6 12.6 13.0 13.0
641,346 622,148 599,379 598,217 596,504
367,785 358,165 314,049 323,607 332,207
83,279 88,023 85,158 99,966 102,054
52,426 52,583 74,719 72,162 64,207
1,211,457 808,119 342,144 575,128 939,045
41,053 37,498 34,977 40,154 39,212
1,127 1,104 1,057 989 1,284
44,351,780 47,973,671 32,614,403 30,272,385 47,745,353
Fiscal Year
CITY OF RANCHO MIRAGE
Capital Asset Statistics
By Function
Last Ten Fiscal Years
112
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Public Works:
Miles of Public Streets 73.5 73.5 73.5 73.8 73.8 73.8 74.0 74.0 74.0 74.0
Miles of Public Bike Paths 21.3 21.9 21.9 22.3 22.9 23.0 23.6 24.6 25.0 25.0
Number of Major Intersections 26 26 26 26 26 26 26 26 27 27
Number of Traffic Signals and 48 50 54 52 52 60 60 61 62 62
Safety Lighting
Number of traffic signs 2,074 2,091 2,099 2,113 2,132 2,140 2,172 3,702 3,624 3,624
Number of street lights 196 198 202 206 208 208 208 208 208 208
Parks and Recreation:
Number of Parks 5 5 5 5 5 5 5 5 5 5
Total Acreage 12.6 12.6 12.6 12.6 12.6 12.6 12.6 12.6 13.0 13.0
Buildings:
Civic Center 1 1 1 1 1 1 1 1 1 1
Civic Center Annex - - - - - 1 1 1 1 1
Library 1 1 1 1 1 1 1 1 1 1
Corporation Yard 1 1 1 1 1 1 1 1 1 1
Housing Authority
Age-Restricted Housing 1 2 3 3 3 4 4 4 4 4
Source: City of Rancho Mirage
Fiscal Year
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
CITY OF RANCHO MIRAGE
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
114
Long-term debt activity for the former redevelopment agency for the year ended June 30, 2013 was as follows:
Beginning Ending Due within
Balance Retirements Balance One year
Tax allocation bonds payable:
2001A-1 subordinate lien tax
allocation bonds 1,420,000$ 100,000$ 1,320,000$ 105,000 $
2001A-E subordinate lien tax
allocation bonds 3,175,000 225,000 2,950,000 235,000
2001A-1 tax allocation bonds 11,670,000 555,000 11,115,000 575,000
2001A-E tax allocation bonds 12,160,000 340,000 11,820,000 355,000
2001B-1 tax allocation bonds 2,770,000 75,000 2,695,000 75,000
2001B-E tax allocation bonds 1,020,000 25,000 995,000 30,000
2002A subordinate lien tax
allocation bonds 3,795,000 475,000 3,320,000 495,000
2003 A-1 subordinate lien tax
allocation bonds 1,672,872 (91,382) 1,764,254 -
2003 A-E subordinate lien tax
allocation bonds 3,780,000 250,000 3,530,000 260,000
2003 A-T subordinate lien tax
allocation bonds 1,060,000 20,000 1,040,000 15,000
2003 A Housing TABs 26,800,000 1,255,000 25,545,000 1,300,000
2003 A-1 tax allocation bonds 2,297,611 (129,397) 2,427,008 -
2003 A-E tax allocation bonds 15,500,000 435,000 15,065,000 450,000
2003 A-T tax allocation bonds 3,875,000 100,000 3,775,000 105,000
2003 B subordinate lien tax
allocation bonds 1,755,000 35,000 1,720,000 40,000
2006 A-Whitewater TA ref
bonds 19,575,000 1,015,000 18,560,000 1,075,000
2006 A-Northside TA ref
bonds 21,920,000 410,000 21,510,000 435,000
2008 A subordinate lien tax
allocation bonds 19,845,000 510,000 19,335,000 525,000
Deferrals on refunding and
issuance (discounts)/premiums (498,543) (46,040) (452,503) (46,040)
TOTALS 153,591,940$ 5,558,181$ 148,033,759$ 6,028,960 $
CITY OF RANCHO MIRAGE
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
115
2001A-1 Subordinate Lien Tax Allocation Parity Bonds and 2001A-E Subordinate Lien Tax Allocation Bonds
On July 1, 2001, the Redevelopment Agency of the City of Rancho Mirage issued $2,340,000 of Subordinate
Lien Tax Allocation Bonds, Series 2001A-1 and $4,680,000 of Subordinate Lien Tax Allocation Bonds, Series
2001A-E. The 2001A bonds were issued for the purpose of financing certain improvements in the Whitewater
Redevelopment Project Area of the Agency, to fund an escrow for future improvements in the project area, to
purchase a debt service reserve fund surety bond for the bonds, and to pay the costs of issuing the bonds.
Payment of principal, premium, if any and interest on the 2001A-1 bonds and the 2001A-E bonds were
subordinate to payment of principal, premium, if any and interest on the Whitewater Project Area 1994A bonds
and the Whitewater Project Area 1997A bonds and certain other outstanding obligations of the Agency. The
1994A and the 1997A bonds were referred to herein as the Senior Lien Bonds. On February 1, 2012 these Bonds
were transferred from the Rancho Mirage Redevelopment Agency to the Successor Agency and the balance
outstanding is no longer included in the City’s Statement of Net Position.
The 2001A-1 bonds have annual interest ranging from 3.75 percent to 4.625 percent and annual principal
installments ranging from $70,000 to $110,000 through April 1, 2015 and are subject to mandatory redemption
from a sinking fund account in amounts ranging from $115,000 to $160,000 on April 1 beginning 2016 through
2023. The 2001A-E bonds have annual interest ranging from 3.75 percent to 4.8 percent and annual principal
installments ranging from $165,000 to $245,000 through April 1, 2015 and are subject to mandatory redemption
from a sinking fund account in amounts ranging from $260,000 to $365,000 on April 1 beginning 2016 through
2023. The 2001A-1 and the 2001A-E bonds are secured by the surplus tax revenues of the Agency.
The 2001A-1 and 2001A-E bond resolution and indentures require that bond reserve be equal to the full amount
of maximum annual debt service on all outstanding Senior Lien Bonds. As of June 30, 2013, the reserve for the
2001A-1 and 2001A-E bonds was held by the fiscal agent in the form of a surety bond. On February 1, 2012
these Bonds were transferred from the Rancho Mirage Redevelopment Agency to the Successor Agency and the
balance outstanding is no longer included in the City’s Statement of Net Position.
The annual payment amounts required to retire the 2001A-1 bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 32,584$ 32,584$ 65,168$ 105,000$ 170,168$
2015 30,169 30,169 60,338 110,000 170,338
2016 27,625 27,625 55,250 115,000 170,250
2017 24,750 24,750 49,500 125,000 174,500
2018 21,625 21,625 43,250 130,000 173,250
2019 18,375 18,375 36,750 135,000 171,750
2020 15,000 15,000 30,000 140,000 170,000
2021 11,500 11,500 23,000 145,000 168,000
2022 7,875 7,875 15,750 155,000 170,750
2023 4,000 4,000 8,000 160,000 168,000
TOTALS 193,503$ 193,503$ 387,006$ 1,320,000$ 1,707,006$
CITY OF RANCHO MIRAGE
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
(CONTINUED)
116
The annual payment amounts required to retire the 2001A-E bonds outstanding as of June 30, 2013 are as
follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 74,755$ 74,755$ 149,510$ 235,000$ 384,510$
2015 69,174 69,174 138,348 245,000 383,348
2016 63,294 63,294 126,588 260,000 386,588
2017 56,631 56,632 113,263 270,000 383,263
2018 49,713 49,712 99,425 285,000 384,425
2019 42,409 42,410 84,819 300,000 384,819
2020 34,722 34,722 69,444 315,000 384,444
2021 26,650 26,650 53,300 330,000 383,300
2022 18,194 18,194 36,388 345,000 381,388
2023 9,353 9,353 18,706 365,000 383,706
TOTALS 444,895$ 444,896$ 889,791$ 2,950,000$ 3,839,791$
2001A-1 Tax Allocation Bonds, 2001A-E Tax Allocation Bonds, 2001B-1 Subordinate Lien Tax Allocation
Bonds and 2001B-E Subordinate Lien Tax Allocation Bonds
On July 1, 2001, the Redevelopment Agency of the City of Rancho Mirage issued $16,860,000 of Tax
Allocation Bonds, Series 2001A-1, $14,425,000 of Tax Allocation Bonds, Series 2001A-E, $3,440,000 of
Subordinate Lien Tax Allocation Bonds, Series 2001B-1 and $1,195,000 Subordinate Lien Tax Allocation
Bonds, Series 2001B-E. The 2001A bonds were issued for the purpose of financing certain improvements in the
Redevelopment Plan — 1984 Project Area of the Agency, to fund an escrow for future improvements in the
project area, and to pay the costs of issuing the bonds. The 2001B bonds were issued to advance refund
$3,010,000 of the outstanding 1991A Civic Center Revenue Bonds, finance certain improvements within the
1984 Project Area, to fund an escrow for future improvements within the project area, fund a reserve account for
the 2001B Bonds, and to pay the cost of issuing the bonds. The proceeds used to advance refund the 1991A
series were used to purchase U.S government securities. Those securities were placed in an irrevocable trust
with an escrow agent to provide for all future debt service payments on the 1991A series. Payment of principal,
premium, if any, and interest on the series 2001B bonds is subordinate to payment of principal, premium, if any
and interest on the 2001A bonds and certain other outstanding obligations of the Agency.
The 2001A-1 bonds have annual interest ranging from 3.75 percent to 4.625 percent and annual principal
installments ranging from $405,000 to $605,000 through April 1, 2015 and are subject to mandatory redemption
from a sinking fund account in amounts ranging from $365,000 to $750,000 on April 1 beginning 2016 through
2033. The 2001A-E bonds have annual interest ranging from 3.75 percent to 4.75 percent and annual principal
installments ranging from $250,000 to $370,000 through April 1, 2015 and are subject to mandatory redemption
from a sinking fund account in amounts ranging from $390,000 to $920,000 on April 1 beginning 2016 through
2033. The 2001A-1 and 2001A-E bonds are secured by the surplus tax revenues of the Agency.
CITY OF RANCHO MIRAGE
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
(CONTINUED)
117
The 2001B-1 bonds have annual interest ranging from 3.75 percent to 4.80 percent and annual principal
installments ranging from $50,000 to $90,000 through April 1, 2012 and are subject to mandatory redemption
from a sinking fund account in amounts ranging from $75,000 to $215,000 on April 1 beginning 2013 through
2033. The 2001B-E bonds have annual interest ranging from 4.0 percent to 5.0 percent and annual principal
installments ranging from $20,000 to $25,000 through April 1, 2012 and are subject to mandatory redemption
from a sinking fund account in amounts ranging from $25,000 to $50,000 on April 1 beginning 2013 through
2024. The 2001B-1 and 2001B-E bonds are secured by the surplus tax revenues of the Agency.
The 2001A bond resolution and indentures require that the bond reserve policy, when added to the amounts on
deposit in the Senior Reserve Account established under the Senior indenture, be equal to the full amount of
maximum annual debt service on all outstanding Senior Lien Bonds and the Series 2001A bonds. As of June 30,
2010, the 2001A reserve policy was held in the form of a surety bond by the fiscal agent. The 2001B bond
resolution and indentures require that the subordinate bond reserve be equal to the full amount of maximum
annual debt service on all outstanding Series 2001B bonds. The amount required for the bond reserve of the
2001B bonds is $316,815. On February 1, 2012 these Bonds were transferred from the Rancho Mirage
Redevelopment Agency to the Successor Agency and the balance outstanding is no longer included in the City’s
Statement of Net Position.
The annual payment amounts required to retire the 2001A-1 bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 275,590$ 275,591$ 551,181$ 575,000$ 1,126,181$
2015 262,366 262,365 524,731 605,000 1,129,731
2016 248,375 248,375 496,750 635,000 1,131,750
2017 232,500 232,500 465,000 665,000 1,130,000
2018 215,875 215,875 431,750 365,000 796,750
2019 206,750 206,750 413,500 385,000 798,500
2020 197,125 197,125 394,250 400,000 794,250
2021 187,125 187,125 374,250 425,000 799,250
2022 176,500 176,500 353,000 445,000 798,000
2023 165,375 165,375 330,750 465,000 795,750
2024 153,750 153,750 307,500 495,000 802,500
2025 141,375 141,375 282,750 520,000 802,750
2026 128,375 128,375 256,750 545,000 801,750
2027 114,750 114,750 229,500 570,000 799,500
2028 100,500 100,500 201,000 600,000 801,000
2029 85,500 85,500 171,000 630,000 801,000
2030 69,750 69,750 139,500 645,000 784,500
2031 53,625 53,625 107,250 680,000 787,250
2032 36,625 36,625 73,250 715,000 788,250
2033 18,750 18,750 37,500 750,000 787,500
TOTALS 3,070,581$ 3,070,581$ 6,141,162$ 11,115,000$ 17,256,162$
CITY OF RANCHO MIRAGE
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
(CONTINUED)
118
The annual payment amounts required to retire the 2001A-E bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 306,806$ 306,807$ 613,613$ 355,000$ 968,613$
2015 298,375 298,375 596,750 370,000 966,750
2016 289,588 289,587 579,175 390,000 969,175
2017 279,594 279,594 559,188 405,000 964,188
2018 269,216 269,215 538,431 430,000 968,431
2019 258,197 258,197 516,394 450,000 966,394
2020 246,666 246,665 493,331 475,000 968,331
2021 234,494 234,494 468,988 500,000 968,988
2022 221,681 221,682 443,363 525,000 968,363
2023 207,900 207,900 415,800 550,000 965,800
2024 193,463 193,462 386,925 580,000 966,925
2025 178,238 178,237 356,475 610,000 966,475
2026 162,225 162,225 324,450 640,000 964,450
2027 145,425 145,425 290,850 675,000 965,850
2028 127,706 127,707 255,413 710,000 965,413
2029 109,069 109,069 218,138 750,000 968,138
2030 89,382 89,381 178,763 785,000 963,763
2031 68,775 68,775 137,550 830,000 967,550
2032 46,988 46,987 93,975 870,000 963,975
2033 24,150 24,150 48,300 920,000 968,300
TOTALS 3,757,938$ 3,757,934$ 7,515,872$ 11,820,000$ 19,335,872$
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The annual payment amounts required to retire the 2001B-1 bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 75,100$ 75,100$ 150,200$ 75,000$ 225,200$
2015 73,038 73,037 146,075 80,000 226,075
2016 70,838 70,837 141,675 85,000 226,675
2017 68,500 68,500 137,000 90,000 227,000
2018 66,025 66,025 132,050 95,000 227,050
2019 63,413 63,412 126,825 100,000 226,825
2020 60,662 60,663 121,325 105,000 226,325
2021 57,775 57,775 115,550 110,000 225,550
2022 54,750 54,750 109,500 120,000 229,500
2023 51,450 51,450 102,900 125,000 227,900
2024 48,012 48,013 96,025 130,000 226,025
2025 44,437 44,438 88,875 140,000 228,875
2026 40,500 40,500 81,000 145,000 226,000
2027 36,422 36,422 72,844 155,000 227,844
2028 32,062 32,063 64,125 165,000 229,125
2029 27,422 27,422 54,844 175,000 229,844
2030 22,500 22,500 45,000 185,000 230,000
2031 17,297 17,297 34,594 195,000 229,594
2032 11,812 11,813 23,625 205,000 228,625
2033 6,047 6,047 12,094 215,000 227,094
TOTALS 928,062$ 928,064$ 1,856,126$ 2,695,000$ 4,551,126$
CITY OF RANCHO MIRAGE
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The annual payment amounts required to retire the 2001B-E bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 28,202$ 28,202$ 56,404$ 30,000$ 86,404$
2015 27,358 27,358 54,716 30,000 84,716
2016 26,514 26,515 53,029 30,000 83,029
2017 25,671 25,670 51,341 35,000 86,341
2018 24,686 24,687 49,373 35,000 84,373
2019 23,702 23,702 47,404 35,000 82,404
2020 22,718 22,717 45,435 40,000 85,435
2021 21,593 21,592 43,185 40,000 83,185
2022 20,468 20,467 40,935 45,000 85,935
2023 19,202 19,202 38,404 45,000 83,404
2024 17,936 17,937 35,873 50,000 85,873
2025 16,530 16,530 33,060 50,000 83,060
2026 15,105 15,105 30,210 55,000 85,210
2027 13,537 13,538 27,075 55,000 82,075
2028 11,970 11,970 23,940 60,000 83,940
2029 10,260 10,260 20,520 65,000 85,520
2030 8,407 8,408 16,815 70,000 86,815
2031 6,412 6,413 12,825 70,000 82,825
2032 4,417 4,418 8,835 75,000 83,835
2033 2,280 2,280 4,560 80,000 84,560
TOTALS 346,968$ 346,971$ 693,939$ 995,000$ 1,688,939$
2002A Subordinate Lien Tax Allocation Bonds
On January 1, 2002, the Redevelopment Agency of the City of Rancho Mirage issued $7,895,000 Subordinate
Lien Tax Allocation Bonds, Series 2002A. The 2002A bonds were issued for the purpose of financing certain
improvements in the Whitewater Project Area of the Agency, advance refund $6,730,000 of the outstanding
1992A tax allocation bonds, purchase a debt service reserve surety bond for the bonds, and to pay the cost of
issuing the bonds. The proceeds used to advance refund the 1992A series were used to purchase U.S government
securities. Those securities were placed in an irrevocable trust with an escrow agent to provide for all future debt
service payments on the 1992A series. Payment of principal, premium, if any, and interest on the series 2002A
bonds is subordinate to payment of principal, premium, if any and interest on the Whitewater project 1994A
bonds and the Whitewater project 1997A bonds, referred to as the "Senior Lien Bonds.
The 2002A bonds have annual interest ranging from 3.00 percent to 4.80 percent and annual principal
installments ranging from $365,000 to $615,000 through April 1, 2019 and are subject to mandatory redemption
from a sinking fund account in amounts ranging from $515,000 to $540,000 on April 1 beginning 2015 through
2016. The 2002A bonds are secured by the surplus tax revenues of the Agency.
CITY OF RANCHO MIRAGE
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The 2002A bond resolution and indentures require that a municipal bond insurance policy be purchased which
provides for the principal and interest on the bonds when due to the extent that the trustee has not received
payment therefore. As of June 30, 2013, the reserve for the 2002A bond was held by the fiscal agent in the form
of a surety bond. On February 1, 2012 these Bonds were transferred from the Rancho Mirage Redevelopment
Agency to the Successor Agency and the balance outstanding is no longer included in the City’s Statement of Net
Position.
On November 19, 2003, the Redevelopment Agency of the City of Rancho Mirage issued $1,074,378 of
Subordinate Lien Tax Allocation Bonds, Series 2003 A-1, $5,140,000 of Subordinate Lien Tax Allocation Bonds,
'Series 2003 A-E, and $1,180,000 of Subordinate Lien Tax Allocation Bonds, Series 2003 A-T. The bonds were
issued by the Agency for the purpose of financing certain improvements in the Whitewater Redevelopment
Project Area, (or, in the case of the Series 2003 A-E Bonds, funding a funding an escrow for future improvements
in the project area), funding a reserve account for the bonds, and paying the costs of issuing the bonds. Payment
of principal, premium, if any, and interest on the bonds is subordinate to payment of principal, premium, if any,
and interest on the Senior Lien Bonds.
The annual payment amounts required to retire the 2002A bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 77,064$ 77,064$ 154,128$ 495,000$ 649,128$
2015 66,174 66,174 132,348 515,000 647,348
2016 54,329 54,329 108,658 540,000 648,658
2017 41,909 41,909 83,818 565,000 648,818
2018 28,773 28,772 57,545 590,000 647,545
2019 14,760 14,760 29,520 615,000 644,520
TOTALS 283,009$ 283,008$ 566,017$ 3,320,000$ 3,886,017$
2003 A-1 Subordinate Lien Tax Allocation Bonds, 2003 A-E Subordinate Lien Tax Allocation Bonds, and 2003
A-T Subordinate Lien Tax Allocation Bonds
The Series 2003 A-E Bonds have annual interest ranging from 2.00 percent to 4.25 percent and annual principal
installments ranging from $215,000 to $300,000 through April 2012 and are subject to redemption prior to
maturity. The bonds are secured by an irrevocable pledge of the surplus tax revenues of the agency. In addition,
the 2003 A-E bonds are also secured by amounts on deposit in the escrow fund as provided in the indenture. The
2003 A-1 Bonds are capital appreciation bonds, issued in an amount of $1,074,377 and have a maturity value of
$3,340,000 and mature April 1, 2025, and are not subject to redemption prior to maturity. The bonds are secured
by an irrevocable pledge of the surplus tax revenues of the agency.
The series 2003 A-T bonds are capital appreciation bonds and are subject to redemption prior to maturity.
$140,000 4.90 percent term series 2003 A-T bonds are due April 1, 2013. $1,040,000 5.76 percent term series
2003 A-T bonds are April 1, 2004. The bonds are secured by an irrevocable pledge of the surplus tax revenues of
the agency. As of June 30, 2013, the series 2003 reserve was held by the fiscal agent in the form of a surety bond.
On February 1, 2012 these Bonds were transferred from the Rancho Mirage Redevelopment Agency to the
Successor Agency and the balance outstanding is no longer included in the City’s Statement of Net Position.
CITY OF RANCHO MIRAGE
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The annual payment amounts required to retire the 2003A-1 bonds outstanding as of June 30, 2013 are as follows:
Fiscal
Year Accreted Value
2014 -$
2015 -
2016 -
2017 -
2018 -
2019 -
2020 -
2021 -
2022 -
2023 -
2024 -
2025 3,340,000
Total accreted value 3,340,000
Less future accretion (1,575,746)
1,764,254$
The annual payment amounts required to retire the 2003A-E bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 77,825$ 77,825$ 155,650$ 260,000$ 415,650$
2015 72,788 72,787 145,575 270,000 415,575
2016 67,388 67,387 134,775 280,000 414,775
2017 61,612 61,613 123,225 290,000 413,225
2018 55,631 55,632 111,263 300,000 411,263
2019 49,256 49,257 98,513 315,000 413,513
2020 41,972 41,972 83,944 335,000 418,944
2021 34,225 34,225 68,450 345,000 413,450
2022 26,247 26,247 52,494 360,000 412,494
2023 17,922 17,922 35,844 380,000 415,844
2024 9,134 9,135 18,269 395,000 413,269
TOTALS 514,000$ 514,002$ 1,028,002$ 3,530,000$ 4,558,002$
CITY OF RANCHO MIRAGE
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The annual payment amounts required to retire the 2003A-T bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 29,952$ 29,952$ 59,904$ 15,000$ 74,904$
2015 29,520 29,520 59,040 20,000 79,040
2016 28,944 28,944 57,888 20,000 77,888
2017 28,368 28,368 56,736 20,000 76,736
2018 27,792 27,792 55,584 25,000 80,584
2019 27,072 27,072 54,144 30,000 84,144
2020 26,208 26,208 52,416 55,000 107,416
2021 24,624 24,624 49,248 70,000 119,248
2022 22,608 22,608 45,216 75,000 120,216
2023 20,448 20,448 40,896 75,000 115,896
2024 18,288 18,288 36,576 635,000 671,576
TOTALS 283,824$ 283,824$ 567,648$ 1,040,000$ 1,607,648$
2003 A Tax Allocation Housing Bonds
On November 19, 2003, the Redevelopment Agency of the City of Rancho Mirage issued $34,565,000 of Tax
Allocation Housing Bonds, Series 2003 A. The bonds were issued by the Agency for the purpose of financing
certain improvements to the supply of low and moderate income housing in, or otherwise benefiting, the
Whitewater Redevelopment Project and the Redevelopment Plan-1984 Project, purchasing a debt service reserve
fund surety bond for the Bonds, and paying the costs of issuing the bonds.
The $21,085,000 serial bonds have annual interest ranging from 2.00 percent to 5.25 percent and annual principal
installments ranging from $1,025,000 to $1,770,000. The $5,850,000, 4.63 percent term bonds are due April 1,
2024. The $7,630,000 5.00 percent term bonds are due April 1, 2033. The bonds are subject to optional and
mandatory redemption prior to maturity. The Bonds are secured by an irrevocable pledge of the Housing Tax
Revenues.
The 2003A bond resolution and indentures require that a municipal bond insurance policy be purchased which
provides for the principal and interest on the bonds when due to the extent that the trustee has not received
payment therefore. On February 1, 2012 these Bonds were transferred from the Rancho Mirage Redevelopment
Agency to the Successor Agency and the balance outstanding is no longer included in the City’s Statement of Net
Position.
CITY OF RANCHO MIRAGE
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The annual payment amounts required to retire the 2003A Housing Tax Allocation bonds outstanding as of June
30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 606,772$ 606,772$ 1,213,544$ 1,300,000$ 2,513,544$
2015 582,397 582,397 1,164,794 1,350,000 2,514,794
2016 556,241 556,240 1,112,481 1,400,000 2,512,481
2017 528,241 528,240 1,056,481 1,455,000 2,511,481
2018 498,231 498,232 996,463 1,515,000 2,511,463
2019 458,463 458,462 916,925 1,595,000 2,511,925
2020 416,594 416,594 833,188 1,680,000 2,513,188
2021 372,494 372,494 744,988 1,770,000 2,514,988
2022 326,031 326,032 652,063 1,860,000 2,512,063
2023 283,019 283,019 566,038 1,950,000 2,516,038
2024 237,925 237,925 475,850 2,040,000 2,515,850
2025 190,750 190,750 381,500 690,000 1,071,500
2026 173,500 173,500 347,000 725,000 1,072,000
2027 155,375 155,375 310,750 765,000 1,075,750
2028 136,250 136,250 272,500 800,000 1,072,500
2029 116,250 116,250 232,500 840,000 1,072,500
2030 95,250 95,250 190,500 885,000 1,075,500
2031 73,125 73,125 146,250 925,000 1,071,250
2032 50,000 50,000 100,000 975,000 1,075,000
2033 25,625 25,625 51,250 1,025,000 1,076,250
TOTALS 5,882,533$ 5,882,532$ 11,765,065$ 25,545,000$ 37,310,065$
2003A-1 Tax Allocation Bonds, 2003A-T Tax Allocation Bonds, 2003A-E Tax Allocation Bonds, 2003B
Subordinate Lien Tax Allocation Bonds
On November 19, 2003, the Redevelopment Agency of the City of Rancho Mirage issued $1,456,027 of Tax
Allocation Bonds, Series 2003A-1, $4,540,000 of Tax Allocation Bonds, Series 2003A-T, $17,845,000 of Tax
Allocation Bonds, Series 2003A-E, and $1,960,000 of Subordinate Lien Tax Allocation Bonds, Series 2003B.
The Series 2003A Bonds were issued by the Agency for the purpose of financing certain improvements in the
Redevelopment Plan- 1984 Project (the "Project Area") (or, in the case of the Series 2003A-E Bonds, funding an
escrow for future improvements in the project area), and paying the costs of issuing the Series 2003A Bonds. The
Series 2003B Bonds were issued by the Agency for the purpose of funding an escrow for future improvements in
the project area, funding a reserve account for the Series 2003B Bonds upon release of funds from escrow, and
paying the costs of issuing the Series 2003B Bonds. Payment of principal, premium, if any, and interest on the
Series 2003B Bonds is subordinate to the payment of principal, premium, if any, and interest on the Series 2003A
Bonds and certain other outstanding obligations of the Agency.
CITY OF RANCHO MIRAGE
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The $5,225,000 Series 2003A-E Serial Bonds have annual interest ranging from 2.00 percent to 4.25 percent and
annual principal payments ranging from $365,000 to $530,000. In addition, $3,685,000 4 5/8 percent Term Series
2003A-E Bonds are due April 1, 2024, $3,090,000 4.75 percent Term Series 2003A-E Bonds are due April 1,
2028, and $5,845,000 4.75 percent Term Series 2003A-E Bonds are due April 1, 2034. The bonds are subject to
redemption prior to maturity.
The Series 2003A-1 Bonds are capital appreciation bonds. The bonds are not subject to redemption prior to
maturity. $749,033 of the series 2003A-1 Bonds mature April 1, 2034 at an accreted value of $3,940,000 and
$706,994 of the series 2003A-1 Bonds mature April 1, 2035 at an accreted value of $3,940,000. The Series
2003AT Term Bonds have annual interest ranging from 3.78 percent to 5.86 percent and principal amounts
ranging from $305,000 to $2,030,000.
The $450,000 Series 2003B Serial Bonds have annual interest ranging from 3.00 percent to 5.00 percent and
annual principal payments ranging from $35,000 to $45,000. In addition, $280,000 5.25 percent Term Series
2003B Bonds are due April 1, 2023, $355,000 5 3/8 percent Term Series 2003B Bonds are due April 1, 2028, and
$875,000 5.50 percent Term Series 2003B Bonds are due April 1, 2034.
The Series 2003A Bonds are secured by the pledged tax revenues of the Agency and from amounts on deposit in
the reserve account established under the Senior Indenture. In addition, the Series 2003A-E Bonds are secured by
amounts on deposit in the Escrow Fund established under the Senior Indenture (the "2003 Escrow Fund"). The
Series 2003B Bonds are secured by the surplus tax revenues of the Agency and from amounts on deposit in the
reserve account established under the Subordinate Indenture. In addition, the Series 2003B Bonds are secured by
amounts on deposit in the escrow fund established under the Subordinate Indenture (the "2003B Escrow Fund").
The 2003A Supplemental Indenture requires that amounts on deposit in bond reserve account, when added to
amount on deposit in the Senior Reserve Account established under the Senior Indenture equal the Reserve
Requirement which is the lesser of 10 percent of the bond proceeds of each series of bonds outstanding, 125
percent of Average Annual Debt Service or Maximum Annual debt service on all Series of Bonds. The Senior
Reserve Account has cash and debt service reserve surety bonds equal to or exceeding the Reserve Requirement
for all bonds outstanding including the Series 2003A. No additional deposit is required for the Series 2003B
bonds reserve fund since these bond proceeds are in escrow and therefore excluded from the Reserve
Requirement. On February 1, 2012 these Bonds were transferred from the Rancho Mirage Redevelopment
Agency to the Successor Agency and the balance outstanding is no longer included in the City’s Statement of Net
Position.
CITY OF RANCHO MIRAGE
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The annual payment amounts required to retire the 2003A-E tax allocation bonds outstanding as of June 30, 2013
are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 347,022$ 347,022$ 694,044$ 450,000$ 1,144,044$
2015 338,303 338,303 676,606 465,000 1,141,606
2016 329,003 329,003 658,006 490,000 1,148,006
2017 319,203 319,203 638,406 510,000 1,148,406
2018 308,684 308,685 617,369 530,000 1,147,369
2019 297,422 297,422 594,844 550,000 1,144,844
2020 284,703 284,703 569,406 570,000 1,139,406
2021 281,522 271,522 553,044 600,000 1,153,044
2022 257,647 257,647 515,294 625,000 1,140,294
2023 243,194 243,194 486,388 655,000 1,141,388
2024 228,047 228,047 456,094 685,000 1,141,094
2025 212,206 212,207 424,413 715,000 1,139,413
2026 195,225 195,225 390,450 755,000 1,145,450
2027 177,294 177,294 354,588 790,000 1,144,588
2028 158,531 158,532 317,063 830,000 1,147,063
2029 138,819 138,819 277,638 865,000 1,142,638
2030 118,275 118,275 236,550 905,000 1,141,550
2031 96,781 96,782 193,563 950,000 1,143,563
2032 74,219 74,219 148,438 995,000 1,143,438
2033 50,588 50,587 101,175 1,040,000 1,141,175
2034 25,888 25,887 51,775 1,090,000 1,141,775
TOTALS 4,482,576$ 4,472,578$ 8,955,154$ 15,065,000$ 24,020,154$
CITY OF RANCHO MIRAGE
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127
The annual payment amounts required to retire the 2003A-T tax allocation bonds outstanding as of June 30, 2013
are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 108,783$ 108,783$ 217,566$ 105,000$ 322,566$
2015 105,967 105,967 211,934 115,000 326,934
2016 102,833 102,834 205,667 115,000 320,667
2017 99,700 99,699 199,399 125,000 324,399
2018 96,293 96,294 192,587 125,000 317,587
2019 92,887 92,887 185,774 140,000 325,774
2020 88,855 88,855 177,710 145,000 322,710
2021 84,679 84,679 169,358 155,000 324,358
2022 80,215 80,215 160,430 165,000 325,430
2023 75,463 75,463 150,926 180,000 330,926
2024 70,279 70,279 140,558 180,000 320,558
2025 65,095 65,095 130,190 195,000 325,190
2026 59,479 59,479 118,958 210,000 328,958
2027 53,326 53,326 106,652 220,000 326,652
2028 46,880 46,880 93,760 230,000 323,760
2029 40,141 40,141 80,282 245,000 325,282
2030 32,963 32,962 65,925 265,000 330,925
2031 25,198 25,198 50,396 265,000 315,396
2032 17,433 17,434 34,867 290,000 324,867
2033 8,937 8,936 17,873 305,000 322,873
TOTALS 1,355,406$ 1,355,406$ 2,710,812$ 3,775,000$ 6,485,812$
CITY OF RANCHO MIRAGE
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The annual payment amounts required to retire the 2003B bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 46,022$ 46,022$ 92,044$ 40,000$ 132,044$
2015 45,097 45,097 90,194 45,000 135,194
2016 44,028 44,028 88,056 40,000 128,056
2017 43,053 43,053 86,106 40,000 126,106
2018 42,078 42,078 84,156 45,000 129,156
2019 40,953 40,953 81,906 50,000 131,906
2020 39,641 39,640 79,281 55,000 134,281
2021 38,197 38,197 76,394 60,000 136,394
2022 36,622 36,622 73,244 55,000 128,244
2023 35,178 35,178 70,356 60,000 130,356
2024 33,603 33,603 67,206 65,000 132,206
2025 31,856 31,857 63,713 70,000 133,713
2026 29,975 29,975 59,950 70,000 129,950
2027 28,094 28,094 56,188 75,000 131,188
2028 26,078 26,078 52,156 75,000 127,156
2029 24,063 24,062 48,125 80,000 128,125
2030 21,863 21,862 43,725 80,000 123,725
2031 19,662 19,663 39,325 95,000 134,325
2032 17,050 17,050 34,100 95,000 129,100
2033 14,437 14,438 28,875 105,000 133,875
2034 11,550 11,550 23,100 420,000 443,100
TOTALS 669,100$ 669,100$ 1,338,200$ 1,720,000$ 3,058,200$
CITY OF RANCHO MIRAGE
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
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The annual payment amounts required to retire the 2003A-1 tax allocation bonds outstanding as of June 30, 2013
are as follows:
Fiscal
Year Accreted Value
2014 -$
2015 -
2016 -
2017 -
2018 -
2019 -
2020 -
2021 -
2022 -
2023 -
2024 -
2025 -
2026 -
2027 -
2028 -
2029 -
2030 -
2031 -
2032 -
2033 -
2034 3,940,000
2035 3,940,000
Total accreted value 7,880,000
Less future accretion (5,452,992)
2,427,008$
2006 A — Whitewater Tax Allocation Refunding Bonds
On April 20, 2006, the Redevelopment Agency of the City of Rancho Mirage issued $24,910,000 Tax Allocation
Refunding Bonds, Series 2006A (Whitewater Sub-Area). Proceeds of the Bonds were used to pay the costs of
issuing the Bonds, to purchase a debt service reserve fund surety bond for the Bonds and to refund the Agency's
Whitewater Redevelopment Project, Tax Allocation Refunding Bonds, Series 1994A, originally issued in the
principal amount of $23,090,000, which have been fully repaid, the Agency's Whitewater Redevelopment Project
Tax Allocation Parity Bonds, 1997A, originally issued in the principal amount of $4,850,000, have been fully
repaid, and the Agency's Whitewater Redevelopment Project Subordinate Tax Allocation Bonds, Series 1997B,
originally issued in the principal amount of $3,575,000, of which have been fully repaid.
CITY OF RANCHO MIRAGE
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The prior Bonds were issued by the Agency to finance and refinance certain improvements in, or benefiting, the
Whitewater Sub-Area of its Merged Redevelopment Project.
The Bonds are limited obligation of the Agency payable solely from and secured by the Surplus Tax Revenues to
be derived from the Sub-Area, and from the amounts on deposit in certain funds as described herein. Upon
issuance of the Bonds, there will no longer be any outstanding indebtedness with a lien on the Surplus Tax
Revenues senior to the lien of the Bonds.
The Whitewater Sub-Area encompasses approximately 5,076 acres, or about 34 percent of the total incorporated
area of the City. Approximately 66 percent of the Whitewater Sub-Area consists of steep mountain slopes and is
currently not considered to be developable.
Beginning April 1, 2007, the 2006A Bonds are due in annual installments of $890,000 to $2,480,000 through
April 1, 2024. Interest ranging from 3.5 percent to 5 percent is due in semi-annual installment on April 1 and
October 1 of each year. The reserve requirement is held by the fiscal agent in the form of a surety bond. On
February 1, 2012 these Bonds were transferred from the Rancho Mirage Redevelopment Agency to the Successor
Agency and the balance outstanding is no longer included in the City’s Statement of Net Position.
The annual payment amounts required to retire the 2006A tax allocation (Whitewater) bonds outstanding as of
June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 462,657$ 462,656$ 925,313$ 1,075,000$ 2,000,313$
2015 437,125 437,125 874,250 1,125,000 1,999,250
2016 409,000 409,000 818,000 1,180,000 1,998,000
2017 379,500 379,500 759,000 1,235,000 1,994,000
2018 348,625 348,625 697,250 1,295,000 1,992,250
2019 316,250 316,250 632,500 1,365,000 1,997,500
2020 282,125 282,125 564,250 2,045,000 2,609,250
2021 231,000 231,000 462,000 2,145,000 2,607,000
2022 177,375 177,375 354,750 2,250,000 2,604,750
2023 121,125 121,125 242,250 2,365,000 2,607,250
2024 62,000 62,000 124,000 2,480,000 2,604,000
TOTALS 3,226,782$ 3,226,781$ 6,453,563$ 18,560,000$ 25,013,563$
2006 A — Northside Tax Allocation Refunding Bonds
On April 20, 2006 the Redevelopment Agency of the City of Rancho Mirage issued $24,210,000 Tax Allocation
Refunding Bonds, Series 2006A (Northside Sub-Area). The proceeds of the Bonds were used to pay the costs of
issuing the Bonds, to purchase a debt service reserve fund surety bond for the Bonds and to refund the Agency's
Redevelopment Plan-1984 Project, Tax Allocation Refunding Bonds, Series 1994A, originally issued in the
principal amount of $16,930,000 have been fully repaid and the Agency's Redevelopment Plan-1984 Project, Tax
Allocation Bond Series, 1999A, originally issued in the principal amount of $8,680,000 have been fully repaid.
CITY OF RANCHO MIRAGE
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
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131
The prior Bonds were issued by the Agency to finance and refinance certain improvements in, or benefiting, the
Northside Sub-Area of its Merged Redevelopment Project.
The Northside Sub-Area encompasses approximately 4,717 acres, or about 30 percent of the total incorporated
area of the City. The entire Northside Sub-Area consists of developed or developable land and is primarily
residential in character.
Beginning April 1, 2007, the 2006A Bonds are due in annual installments of $385,000 to $1,715,000 through
April 1, 2033. Interest ranging from 3.5 percent to 5.0 percent is due in semi-annual installments on April 1 and
October 1 of each year. As of June 30, 2013 the reserve requirement is held by the fiscal agent in the form of a
surety bond. On February 1, 2012 these Bonds were transferred from the Rancho Mirage Redevelopment Agency
to the Successor Agency and the balance outstanding is no longer included in the City’s Statement of Net
Position.
The annual payment amounts required to retire the 2006A tax allocation (Northside) bonds outstanding as of June
30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 511,200$ 511,200$ 1,022,400$ 435,000$ 1,457,400$
2015 500,869 500,869 1,001,738 450,000 1,451,738
2016 490,744 490,744 981,488 465,000 1,446,488
2017 479,119 479,119 958,238 495,000 1,453,238
2018 467,363 467,362 934,725 855,000 1,789,725
2019 445,988 445,987 891,975 890,000 1,781,975
2020 426,519 426,519 853,038 940,000 1,793,038
2021 405,956 405,957 811,913 970,000 1,781,913
2022 384,131 384,132 768,263 1,020,000 1,788,263
2023 359,906 359,907 719,813 1,065,000 1,784,813
2024 334,613 334,612 669,225 1,115,000 1,784,225
2025 308,131 308,132 616,263 1,170,000 1,786,263
2026 281,806 281,807 563,613 1,215,000 1,778,613
2027 254,469 254,469 508,938 1,275,000 1,783,938
2028 222,594 222,594 445,188 1,335,000 1,780,188
2029 189,219 189,219 378,438 1,400,000 1,778,438
2030 154,219 154,219 308,438 1,490,000 1,798,438
2031 116,969 116,969 233,938 1,570,000 1,803,938
2032 79,682 79,681 159,363 1,640,000 1,799,363
2033 40,732 40,731 81,463 1,715,000 1,796,463
TOTALS 6,454,229$ 6,454,229$ 12,908,458$ 21,510,000$ 34,418,458$
CITY OF RANCHO MIRAGE
FORMER REDEVELOPMENT AGENCY LONG-TERM DEBT INFORMATION
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132
2008 A Subordinate Lien Tax Allocation Bonds
On July 30, 2008 the Redevelopment Agency of the City of Rancho Mirage issued $22,040,000 Subordinate Lien
Tax Allocation Bonds, Series 2008A (Northside Sub-Area). The proceeds of the Bonds were used to pay the
costs of issuing the Bonds, to fund a reserve account for the Bonds, and to finance certain improvements in its
Merged Redevelopment Project.
The Sub-Area encompasses approximately 4,717 acres, or about 30 percent of the total incorporated area of the
City. The entire Sub-Area consists of developed or developable land and is primarily residential in character.
Beginning April 1, 2009, the 2008A Bonds are due in annual installments of $460,000 to $1,350,000 through
April 1, 2035. Interest ranging from 3.0 percent to 4.75 percent is due in semi-annual installments on April 1 and
October 1 of each year. On February 1, 2012 these Bonds were transferred from the Rancho Mirage
Redevelopment Agency to the Successor Agency and the balance outstanding is no longer included in the City’s
Statement of Net Position.
The annual payment amounts required to retire the 2008A bonds outstanding as of June 30, 2013 are as follows:
Interest Interest Principal Total
Fiscal Due Due Total Due Annual
Year April 1 October 1 Interest April 1 Debt Service
2014 477,672$ 477,672$ 955,344$ 525,000$ 1,480,344$
2015 467,172 467,172 934,344 545,000 1,479,344
2016 456,272 456,272 912,544 580,000 1,492,544
2017 444,309 444,310 888,619 595,000 1,483,619
2018 431,666 431,665 863,331 620,000 1,483,331
2019 417,716 417,715 835,431 650,000 1,485,431
2020 403,091 403,090 806,181 675,000 1,481,181
2021 387,903 387,903 775,806 705,000 1,480,806
2022 371,160 371,159 742,319 740,000 1,482,319
2023 353,585 353,584 707,169 775,000 1,482,169
2024 334,210 334,209 668,419 815,000 1,483,419
2025 313,835 313,834 627,669 850,000 1,477,669
2026 292,585 292,584 585,169 900,000 1,485,169
2027 270,085 270,084 540,169 945,000 1,485,169
2028 245,869 245,868 491,737 995,000 1,486,737
2029 220,372 220,372 440,744 1,045,000 1,485,744
2030 193,594 193,593 387,187 1,100,000 1,487,187
2031 164,719 164,718 329,437 1,150,000 1,479,437
2032 134,531 134,537 269,068 1,215,000 1,484,068
2033 102,638 102,637 205,275 1,280,000 1,485,275
2034 69,038 69,037 138,075 1,280,000 1,418,075
2035 35,438 35,437 70,875 1,350,000 1,420,875
TOTALS 6,587,460$ 6,587,452$ 13,174,912$ 19,335,000$ 32,509,912$