HomeMy Public PortalAbout06) 7E Comprehensive Annual Financial ReportAGENDA
ITEM 7.E.
ADMINISTRATIVE SERVICES DEPARTMENT
MEMORANDUM
DATE: February 21 , 2017
TO: The Honorable City Council
FROM: Bryan Cook , City Manager
By: Tracey L. Hause, Administrative Services Director
SUBJECT: COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR
ENDED JUNE 30, 2016
RECOMMENDATION:
It is recommended that the City Council consider the recommendation from the Audit
Committee to receive and file the following reports :
1. Comprehensive Annual Financia l Report (CAFR) for the year ended June 30, 20 16
(Attachment "A ");
2 . Independent Accountants' Report on Applying Agreed-Upon Procedures Related
to the Article XIII-B Appropriat ions Limit Calculation (Gann Limit) (Attachm ent "B").
3. Independent Auditors ' Report on Internal Control Over Financial Reporting
(Attachment "C"); and
4 . Auditor's Communication to the City Council (Attac hm ent "D").
BACKGROUND:
1. In November 1979, Propo sition 4 was approved by the voters adding Article
XI liB , also known as the Gann Limitation , to the State Constitution to ensure that
limits were placed on all state and local government appropriations. These
appropriations calculations must be approved by the City Council on an annual
basis .
2. In June 1990, the voters of Californ ia approved Proposition 111 which revised
the annual adjustment factors applied to the lim it and each year thereafter.
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February 21 , 2017
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3 . On June 16 , 2015 , the City Council adopted Resolution No . 15-5093 confirming the
factors used for calculating the annual appropriations limit for the Fiscal Year (FY)
2015-16 City Budget.
4. For fiscal years ending 2011 through 2015 , the City contracted with Vasquez &
Company, LLP for audit i ng services .
5. On January 6 , 2016 , the City requested proposals from qualified Certified Public
Accounting (CPA) f i rms for a three -year contract to audit its financial statements
beginning with the fiscal year ending June 30 , 2016 , with the option to renew the
contract for an additional two fiscal years , for a total of 5 years .
4 . Between February 5 , 2016 and February 19 , 2016, the review panel (i .e., City
Manager Cook , Administrative Services Director Hause and Parks and Recreation
Director Burroughs) independently reviewed all proposals .
3 . On March 18, 2016 , the Audit Standing Committee (i .e ., then Mayor Chavez and
Mayor Pro-Tem Yu) met and received the recommendation from staff for
professional audit services to be provided by Vavrinek , Trine , Day & Co., LLP
(VTD).
8 . On May 5, 2016, the Administrative Services Department received notice from the
Government Finance Officers ' Association (GFOA) that the City had received the
Excellence in Financial Reporting Award program for the FY 2014-15 CAFR.
9 On June 17, 2016, the Audit Standing Committee met with City staff and audit staff
from VTD and reviewed the planned engagement for the independent audit for the
FY Ending June 30 , 2016 .
10 . On December 2 , 2016 , VTD complete their fie ld work .
11 . On , December 9 , 2016 , the Audit Standing Committee once again met with City staff
and aud it staff from VTD and discussed the results of the f ield work and audit.
ANALYSIS:
Financial Reporting
A CAFR is a set of United States government financial statements comprising the
financial report of a state, municipal or other governmental entity that complies with the
accounting requirements , (i.e ., Generally Accepted Accounti ng Principles (GAAP)),
created and circulated by th e Governmental Accounting Standards Board (GASB ).
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February 21 , 20 17
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The CAFR accounting structure provides for standardization of financial reporting . All
leve ls of government including federal , state , local and mun ici pal , pro du ce a CAFR to
document an accurate pict ure of institutional funds , enterprise or financia l holdings ,
assets and total investme nt incomes for those government and nongovernmenta l
entities using the report.
Single Audit
In addition , as a recipient of federal grant fund s in past years , the City has been requ ired
to be in comp liance with t he requ ire ments of the Office of Management and Budget
Circular A-133 , Audits of States , Local Governments and Non-Profit Organizations. The
process , to ensure that the City is in co mpl iance with thi s Circular, commo nly known as the
"Single Audit ". For the FY 2015-16 , the City did not rece ive in excess of $750 ,000 in
federal grant monies , therefore a Single Audit and corresponding reports were not
necessary.
Auditors
Since FY 2014-15 was th e fifth year that Vasquez & Company LLP had comp leted
acco unting and auditing services for th e City , and in order to maintain best practices as
recommended by the 2012-2013 Los Angeles County Civil Grand Jury Report CGJ
Report , the City requested proposals for professional audit services for th e FY 2015-16.
It is indus try standard to request propo sals from qualified Certified Public Accounting
(C PA) firms for an initial three-yea r period to au dit its f inancial statements , with the
option to renew the co nt ract for an additional two fisca l years , for a total of five years .
The City selected VTD in the spring of 2016 for auditing services beginn ing w ith the
fiscal year e nd i ng June 30 , 2016 , and anti cipates co ntra cting with them for auditing
services for the next four fiscal years . A separate request of a contract extension will
come to the City Council in the spring .
Gan n Limit and Other Reports
Article XIII-B (Ga nn Lim it) provides l imits to the amo unt of tax proceeds state and loca l
governments can spend each year. Th e limit for a ny fiscal year is equal to the previous
year's limit , adjusted for populatio n chan ges and the change in the U .S . Consumer
Price Index or California per cap it al personal in come , whichever is less . A review of the
City's calcu lations is required by State law and is included as Attachment B . In addition ,
th e auditors are required by the Statement of Au ditin g Standards (SAS ) to prepare
indepe nd ent repo rt on interna l co ntrols over financial reporting and a schedule of
findings and respo nses . Th ese documents are included as Attachment C and D
respectively.
Audit
VTD ha s issued an unmodified ("clean ") opinion on the City financial statements for the
year ended Jun e 30 , 2016 . The City also provides a narrative introduction , overview and
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February 21 , 2017
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analys is of the CAFR in the form of Management's Discussio n and Ana lys is (M D&A). It
can be found immediately followi ng th e independent auditors ' report .
The City's net position in c reased by $1.8 million from $69 .1 million (restated) as of Ju ne
30 , 2015 , to $7 0 .9 milli on as of June 30, 2016, as a result of this year 's operations .
Tota l revenue from all sources was $18.9 million and the total cost of a ll City programs
was $17.1 million . The City's tota l long-term liabi li ties increased by $2 .0 million during
the current fiscal year. The key factors in this increase are the Ca iPERS pension liability
($1.5 million), Other Post-Employme nt Benefits (O PEB) obligation ($5 05 ,266), and an
increase in the compensated absences liabi l ity ($22,648 ).
The General Fund revenues of $14.1 million exceeded General Fund expenditu res of
$13 .0 million which provided for an excess of reve nu es over expenditures of $1.1
million . Further , after the net transfe rs out, primarily fo r capital projects , the Genera l
Fu nd realized an increase in fund balance of $0.9 million. Primary revenue sources for
this fund are sales tax , property tax a nd motor vehicle i n li eu. The General Fund is
responsible for general services of the City . This includes public safety, public works ,
community develo pment, commun ity services and administratio n . The largest
expend iture is for publi c safety, which w as $4.8 million for FY 20 15-16.
GFOA Exce llence in Fin ancial Reporting A wa rd
Staff will once again subm it the FY 2015 -16 CAFR to th e GFOA for the Excellence in
Finan cial Report Award. Th e GFOA recognizes innovative programs , contributions to
the pra ctice of government fi nance t hat exemplify outstanding financial management.
The award stresses practical , documented work that offe rs leadersh ip to the profession
and promotes improved public finance.
Audit Standing Committee
For greater transparency and acco un tabi l ity, the Ci ty Council appointed an Audit
Standing Comm ittee (Comm ittee), making it directly respo nsible for monitoring the work
performed by th e independent auditor. As outlined in the A udit Committee Charter, a lso
adopted by the City Council , the respons ibilities of th e Audit Standing Committee
include:
• Ass is ting the City Council in monitoring , overseeing and assessing the City's:
);> Accounting and financial reporting processes ;
:.;;.. Qua lity and integrity of the City's financial statements , includi ng audits of
th e finan c ial statements;
:.;;.. Qualif ic atio ns , independence and performance of the independent auditor;
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February 21 , 2017
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;.;;.. Compliance with applicable legal and regula tory financial accounting
requirements ; and
;.;;.. Management's ability to evaluate adequacy of internal controls and
capably identify and control risks posed by its current and planned
activities .
• Providing an avenue for communication among the independent auditors , City
management and the City Council .
The Committee also has such other duties as set forth in this charter and as directed by
the City Council. As noted above , the Committee has met on a number of occasions
throughout the fall , has completed their due diligence as outlined in the Committee Charter
and has brought forward their recommendation to receive and file the CAFR for the year
ended June 30 , 2016 . The Committee will continue to meet throughout th is year as well ,
with staff reporing back to the Audit Committee .
CITY STRATEGIC GOALS:
Approval to receive and f ile the CAFR for FY 2015-16 will further City's Strategic Goal to
promote Good Governance.
FISCAL IMPACT:
This act ion of receiving and filing the CAFR does not have a fiscal impact on the FY 2015-
16 City Budget. However, staff has begun t he mid-year budget analysis and will be
incorporating the results of actual spending in the FY 2015-16 , as reflected in the CAFR , in
the FY 2016-17 Mid -Year Budget Report , which will be presented to the entire City Council
on February 21 ,2017.
ATTACHMENTS:
A. Comprehensive Annual Financial Report (CAFR) for the year ended Jun e 30 , 2016
B . Independent Accountants ' Report on Applying Agreed -Upon Procedures Related to
the Article XIII-B Appropriations Limit Calculation
C . Independent Auditors ' Report on Internal Control Over Financial Reporting
D. Auditor's Communication to the City Council
·-------------
City of Temple City, California
Comprehensive Annual Financial Report
Year Ended June 30, 2016
Prepared by:
ADMINISTRATIVE SERVICES DEPARTMENT
Tracey L. Hause
Administrative Services Director
C ITY OF TEMPLE C ITY, CA LIFORNIA
COMPREHENS IVE ANNUAL FINANCIAL REPORT
YEAR EN D ED J UNE 30,2016
TABLE OF CONTENTS
I NTRODUCTO RY ECTION
PAG E
Letter ofTransm ittal ...................................................................................................................... i
Li st of E lected Officia ls a nd Management Pe rsonnel ................................................................. vi
O rga nizati o nal C ha rt .................................................................................................................. vii
Certificate of Achievement for Excell ence in Financial Reporting ........................................... viii
FINANC I AL ECTJON
Ind e p e nd e nt Auditors' Report .................................................................................................. I
Managem e nt's Di sc uss ion and A nalys is ................................................................................... 4
Bas ic Fi n a ncial Statement
Governmen t -w id e Fin a ncial t a tement
tatem e nt of Net Pos iti on .............................................................................................. I I
tatemen t of Activities .................................................................................................. 12
Fund Financial Statement
Description of Major Funds .......................................................................................... 13
Balance S heet ................................................................................................................ 14
Reconcili ation of the Balance Sheet o f Governmental Funds
To the Statement of e t Position ................................................................................. 16
tatement of R evenues, Expend itures and Changes in Fund Balances ......................... 17
Reconciliation of the tateme nt of Revenues . Expenditures and Changes
In Fund Balances of Governmental Funds to the tatement of Activities .................. 19
Pro prietary Fund
Descripti o n of Proprietary F und .................................................................................... 20
tatement of Net Pos ition .............................................................................................. 21
tatement of Revenues, Expenses a nd Changes in Net P osition ................................... 22
tatement of Cash Flows ............................................................................................... 23
F idu c ia ry Funds
Desc ription of Fiduciary Funds ..................................................................................... 24
tatemen t of Revenues, Expenses and Changes in Net Position ................................... 25
ta tem e nt of C h anges in Fi duc ia ry Net Pos iti on ........................................................... 26
Note to Fi n a ncial S tatement ........................................................................................... 27
R EQU IR ED UPPLEMENTA RY I NFORMAT ION
Budgetary Comparison Schedule
General Fund ................................................................................................................. 59
Bicycle Transport at ion Accou nt Fund ........................................................................... 61
Notes to Budgetary Comparison chedule ................................................................................. 62
Schedule of Fundi ng Progress -Other P ostem pl oyment Benefits ............................................. 63
Schedule of Proportionate hare of th e Net Pension Liab ili ty ................................................... 64
Sch edule of Contribution s .......................................................................................................... 65
C ITY OF TEMPLE C ITY, C ALIFORNIA
COMPREHENSIV E ANNUAL FINAN C IAL R E PORT
YEAR EN DED J U E 30,20 16
UPPLEME TARY C HED ULE
Major Ca pita l Project F und
TABLE OF C ONT EN TS
PA GE
De sc ripti on of Majo r Ca pital Proj ec ts Fund .................................................................. 66
Sched ul es of Revenues. Expe nditur es and C hanges in Fund Ba lan ces -
Bud get and Act ua l:
Capital Im provements .............................................................................................. 67
Nonmajor Governmental Funds
Co mbining Bal a nce Sheets ............................................................................................ 68
Co mbining Stateme nt of Re ve nues, Ex penditures and Ch a nges in
Fund Ba lan ces ............................................................................................................. 69
Nonmajor pccia l Reve nu e Funds
Desc ription ofNonmajor Specia l Reven ue Fund s ........................................................ 70
Combi nin g Ba la nce Sheet ............................................................................................. 72
Combi nin g Statement of Re ve nues, Expe nditures a nd Changes in Fun d Ba la nces ...... 77
Sc he dule o f R evenu es, Ex penditures and C h a nge in Fund Balance -Bud get a nd Ac tu a l
Perman e nt Fund ............................................................................................................. 82
Traffic Safety Fund ....................................................................................................... 83
COP Fund .................................................................................................................... 84
Public Trans portat io n -Prop A Fund ............................................................................ 85
Publi c Trans port ation -Prop C Fu nd ............................................................................ 86
Used Oi l Fund ............................................................................................................... 87
ta te Gas Tax Fund ....................................................................................................... 88
C DBG Fu nd ................................................................................................................... 89
Air Qua li ty Im provement Fund ..................................................................................... 90
Measu re R Fund ............................................................................................................ 91
Affordab le Housing Fund .............................................................................................. 92
ewe r Re co nstru c tion Fund ........................................................................................... 93
H IP Fund ..................................................................................................................... 94
1992/1996 Park Bond Fu nd ........................................................................................... 95
ta te Recyclin g Fund ..................................................................................................... 96
Pa rk Acquis ition Fund ................................................................................................... 97
Li g ht in g and Land sca pe Di str ict Fund .......................................................................... 98
Conges tion Miti ga ti on & Air Qu a lity Fund .................................................................. 99
Pub I ic Art Fund ........................................................................................................... I 00
C ITY OF TEMPLE C ITY, CA Lr FORN I A
COMPR E H ENS IV E ANN UA L F I NANCIAL R E PORT
Y EA R END E D J UNE 30,2016
TABLE OF CONTENT S
STATIST I CAL ECTION
PA GE
Descriptio n of Statistica l Sectio n Content s ..................................................................................... I 0 I
Financial T re nd s
Net Pos it ion by Compo ne nt -Last Ten Fiscal Years ............................................................... I 02
Change in Net Pos ition -Expenses a nd Program Revenues-Last Ten Fi sca l Years ............. I 0 3
Fund Balances of Governmenta l Funds -Last Ten Fi scal Years ............................................. I 04
Changes in Fund Ba lances of Government al Funds -Last Ten Fi scal Years .......................... 105
Re venue Capacity
Assessed Value o f Taxable Property -Last Ten Fi sca l Years ................................................. I 06
Direct and Overlapp i ng Property Tax Rates -Last Ten F isca l Yea rs ...................................... I 07
Pro perty Tax Lev ies and Collecti ons -Last T en Fi scal Y ears ................................................. I 08
General Fund Reven ues -Las t Ten Fiscal Years ..................................................................... I 09
Principal Property T axpayers -Current F isca l Year and ine Fiscal Years ............................ I I 0
Top 25 Sa les Tax Producers -Curren t Fiscal Year. ................................................................. Ill
Debt Capacity
Direct a nd O verl a pping D e bt. ................................................................................................... 112
De mographic and Econom ic Information
Demograph ic a nd Econom ic tatist ics -Last Ten Fi sca l Years .............................................. 114
Opera tin g lnfonnation
Construction Activity -Las t Ten Fisca l Years ........................................................................ 115
Fu ll -Time Eq ui va le nt C ity Employees by F un c ti o n -Las t Ten Fi sca l Years .......................... I 16
Operating In d icators by Fun c tion -Last T en F iscal Years ...................................................... 11 7
Capita l A sset Statisti cs by Function/Program .......................................................................... I 18
9701 LAS T UNAS DRIVE · T EMPLE C ITY· CA 91780 · (626) 285 -217 1
December 21 , 2016
To the Honorable City Council ,
The Comprehensive Annual Financial Report (CAFR) of the City of Temp le City ("City") for the year
ended June 30, 2016, is hereby submitted as mandated by appl icable State of California statues.
These statues require that the City annually issue a report on its financial position and activity , and
that an independent firm of cert ified public accountants audit this report. Responsibilities for both the
accuracy of the data and the completeness and fairness of the pre sentation , including all disclosures
rests with the City's manag ement. Th e information in this report is intended to present the reader
with a comprehens ive view of the City's finan cial position and the results of its operations for the
fiscal year ending June 30 , 2016 , a long with additional disclosures and financia l information
designed to enable the read er to gain an understanding of the City 's financial activit ies.
Vavrinek , Trine , Day & Company , LLP , Certified Public Accountants , have issued an unmod ified
("clean ") opin ion on the City's financial statements for the year ended June 30, 2016. The
independent auditor concluded , based upon the audit that the City's financial statements fo r the
fiscal year ended June 30 , 2016 are fairly presented in conform ity w ith generally accepted
accounting principles (GAAP). The auditor's report is presented as the first com ponent of the
financial section of t his report. Genera ll y accepted accounting principles also require that
management provide a narrative introduction , overview and analysis of the bas ic financial
statements in the form of Management's discussion and analysis (MD&A). It can be fou nd following
the independent auditor's report.
PROFILE O F THE GOVERNMENT
The City is centrally located in the west San Gabriel Valley approximately 13 m il es east of downtown
Los Angeles and is in Los Angeles County. Th e City was incorporated on May 25 , 1960 under the
general laws of the State of California . On April16 , 1971 , the City adopted Resolution No. 71 -1084
declaring it a charter city . The City is approximately 3.85 sq uare mil es and is surrounded by the
cities of Arcadia , San Gabriel , El Monte , Rosemead and un i ncorpo rated portions of Los Angeles
County. The 2010 U.S. Census Bureau indicates a total popu lation of 35 ,558. The C i ty is
predominately a residential community with over 10,000 resi de ntia l parcels . The City operates
under th e Council -Manager Form of government and contracts for many of its public services
including law enforcement.
LOCAL EC ONOMY
Los Angeles County add ed 94 ,700 jobs in 2015 , equivalent to a 2.2% annual i ncrease. A majority of
the county 's major industries added jobs last year, as broad-based growth pushed wage and salary
jobs to a record hig h. Lo s Angeles County should continue to add jobs at a 1. 7% annual rate this
year, followed by a 1.0 % annual rate in 2017. Along with job growth , the unemployment rate fe ll to
6.9 %, the lowest rate of the post-recession period. The unemployment rate shou ld further improve to
6.2% this year and 5.9% in 2017 . Total personal income increased by 4 .5 % in 20 15 , and is expected
to mainta in its trajectory th is year with anticipated gains of 4.4%, followed by a gain of 5.3% in 2017 .
No w that the economy is back to full employment, upward pressure on wa ges, a strong do ll ar, and
weak inflation may lead to significant gains in household purchasing power thi s yea r.
Per capita income growth , which held rel atively steady with a 3.6 % gain in 2015 , should respond to
accelerating wage growth to rebound to 3.9% this year and accelerate to 4 .9% in 2017 . Since much
of the gain in income is expected to be spent, local spending as measu red by total taxable sa les is
expected to increase by 5 .5% this year and 6 .8 % th e next after a la ck luster 2.9% increase in 2015 .
Th is means local sales and use ta x revenu es will climb , putti ng local govern ment agencies on a
sounder financial footing .
Population growth is expected to slow slightly this year and ne xt , with the rate of growth at
approximately 0.6 % this year and 0.4% in 2017 . Even at such low growth rates , th e county w ill
increase by over 100 ,000 re si de nts during that time period . Most of the recent popu lation growth in
Los Angeles Coun ty ha s been due to natural increase (births outnumbering deaths), while net
m igration was slightly negative again last year. T he county's high cost of liv i ng and lack of affordable
housing units for low and middle-income households are contributing to the slowdown i n population
growth .
Li ke most other parts of the state, the housing market in Los Angeles County improved i n 2015 . The
med ia n sales price for a home was $485 ,980 , a 7 .8 % increa se over 2014 's median price of
$450 ,960 . Moreover, home sales were up 6 .2 % compared with a year earlier. New home
construction finally accelerated in 20 15 and should continue to g row , although at lower rates , both
this year and next.
MAJOR ACCOMPLISHMENTS
The City of T emple City is and strives to continuously be a Great Public Service Oriented Organization
and works to wa rd be recognized by its citizens and its stakeholders for its innovative and
exceptional service to the community. Accomplishments for the Fiscal Year (FY) 2015-16 include :
Vision and Long -Range Planning
• Continued the General Plan pr ocess, which establishes both vision and policies to guide
the ph ys ical d evelopment of Templ e City through 2050.
• In it iated development of a senior master plan .
Sound Fiscal Policy
• Completed perfo rman ce based budgeting , which aligns lim ited resources with community
priorities to provide sound basis for long-term funding decisions.
• Completed the fiscal health mod el providing for comprehens ive forecasting of revenues
and expenditures.
• Continued to rece ive unmodified (i.e ., "clean ") aud it f indings on the City's financial
reporting via enh anced fiscal controls and checks and balances.
• Recognition of exce llence i n financial re porting from Go vernmen t Finance Officers
Association of the Un ited States and Canada .
ii
" S u c c e s s f u l l y n e g o t i a t e d a t w o y e a r M e m o r a n d u m o f U n d e r s t a n d i n g ( t h r o u g h J u n e 3 0 ,
2 0 1 8 ) w i t h T e m p l e C i t y E m p l o y e e s ' A s s o c i a t i o n .
" F u l f i l l e d C o m m u n i t y D e v e l o p m e n t B l o c k G r a n t ( C D B G ) p r o g r a m d r a w d o w n r e q u i r e m e n t
a n d a v o i d e d r e c a p t u r e o f f u n d s .
P u b l i c H e a l t h a n d S a f e t y
" C o n t i n u e d e m e r g e n c y p r e p a r a t i o n a n d t r a i n i n g f o r r e s i d e n t s t h r o u g h t h e C o m m u n i t y
E m e r g e n c y R e s p o n s e T e a m ( C E R T ) .
" C o n t i n u e d t h e s u c c e s s f u l N e i g h b o r h o o d W a t c h P r o g r a m i n c l u d i n g m o n t h l y n e i g h b o r h o o d
m e e t i n g s .
" I n c r e a s e d p a t r o l o p e r a t i o n s t o a d d r e s s p o t e n t i a l c r i m e i n c r e a s e s a s a r e s u l t o f
P r o p o s i t i o n s 4 7 a n d 5 7 .
" B e g a n c o n s t r u c t i o n o f a r u b b e r i z e d s u r f a c e w a l k i n g t r a i l a t L i v e O a k c o m p l e t e d i n l a t e
D e c e m b e r 2 0 1 6 .
B a s i c C i t y S e r v i c e s
" C o n t i n u e d t o d i g i t i z e c r i t i c a l c i t y d o c u m e n t s , a l l o w i n g f o r e a s y r e f e r e n c e a n d i m p r o v e d
p u b l i c t r a n s p a r e n c y .
q u a l i t y o f L i f e
" S a w s u s t a i n e d g r o w t h i n p r o p e r t y a n d s a l e s t a x r e v e n u e , a f f i r m i n g e f f e c t i v e n e s s o f t h e C i t y
a n d c o m m u n i t y ' s c o l l a b o r a t i v e a p p r o a c h t o n e i g h b o r h o o d e n h a n c e m e n t .
" C o n t i n u e d a r o b u s t o f f e r i n g o f c o m m u n i t y e v e n t s i n c l u d i n g a n a n n u a l f e s t i v a l a n d
n u m e r o u s c o m m u n i t y c e l e b r a t i o n s .
" C o n t i n u e d t o s e c u r e s p o n s o r s h i p s t o e n h a n c e t h e s u m m e r C o n c e r t s i n P a r k s
" T h e C i t y c o n t i n u e s t o a p p l a u d a n d r e c o g n i z e v o l u n t e e r s f o r l e n d i n g h e l p i n g h a n d s .
C i t i z e n E d u c a t i o n / C o m m u n i c a t i o n
" E x p a n d e d t h e C i t y ' s m a i n s t r e a m s o c i a l m e d i a p l a t f o r m s , w h i c h n o w i n c l u d e F a c e b o o k ,
T w i t t e r , l n s t a g r a m a n d N e x t d o o r .
" L a u n c h e d W e i b o , a C h i n e s e s o c i a l m e d i a p l a t f o r m t o b e t t e r e n g a g e t h e C i t y ' s g r o w i n g
C h i n e s e - s p e a k i n g p o p u l a t i o n . A s i m i l a r p l a t f o r m , W e C h a t , w i l l g o l i v e i n e a r l y 2 0 1 7 .
" S t r e n g t h e n e d r e l a t i o n s w i t h l o c a l m e d i a o u t l e t s ( E n g l i s h a n d C h i n e s e o u t l e t s ) b y i s s u i n g
n e w s r e l e a s e s , a d v i s o r i e s a n d p l a c e m e n t s t o r i e s .
i i i
" R e p o s i t i o n e d t h e C i t y ' s a w a r d - w i n n i n g p u b l i c a t i o n , C O N N E C T , t o p r o v i d e e v e n m o r e
r e l e v a n t c o n t e n t t o T e m p l e C i t y ' s d i v e r s e c o m m u n i t y .
S u s t a i n a b l e I n f r a s t r u c t u r e
" B e g a n t h e r e p a v i n g o f 1 1 . 5 m i l e s o f c i t y s t r e e t s f o r p u r p o s e s o f p r e v e n t a t i v e m a i n t e n a n c e .
" N e w d o w n t o w n p u b l i c p a r k i n g , w i t h c o n s t r u c t i o n a t T C B l v d , p l a n n e d p a r k i n g e x p a n s i o n o n
P r i m r o s e .
O T H E R F I N A N C I A L I N F O M R A T I O N
I n t e r n a l C o n t r o l
M a n a g e m e n t a s s u m e s f u l l r e s p o n s i b i l i t y f o r t h e c o m p l e t e n e s s a n d r e l i a b i l i t y o f t h e i n f o r m a t i o n
c o n t a i n e d i n t h i s r e p o r t , b a s e d u p o n a c o m p r e h e n s i v e f r a m e w o r k o f i n t e r n a l c o n t r o l t h a t i t h a s
e s t a b l i s h e d f o r t h i s p u r p o s e . T h e i n t e r n a l c o n t r o l s t r u c t u r e i s d e s i g n e d t o p r o t e c t t h e C i t y ' s a s s e t s
f r o m l o s s , t h e f t , o r m i s u s e a n d t o e n s u r e t h a t a d e q u a t e a c c o u n t i n g d a t a i s c o m p i l e d f o r t h e
p r e p a r a t i o n o f f i n a n c i a l s t a t e m e n t s i n c o n f o r m i t y w i t h G A A P . B e c a u s e t h e c o s t o f i n t e r n a l c o n t r o l
s h o u l d n o t e x c e e d a n t i c i p a t e d b e n e f i t s , t h e o b j e c t i v e i s t o p r o v i d e r e a s o n a b l e , r a t h e r t h a n a b s o l u t e
a s s u r a n c e t h a t t h e f i n a n c i a l s t a t e m e n t s a r e f r e e o f a n y m a t e r i a l m i s s t a t e m e n t s .
B u d g e t a r y a n d A c c o u n t i n g S y s t e m
T h e C i t y i s r e q u i r e d t o a d o p t a b u d g e t f o r t h e f o l l o w i n g y e a r b e f o r e t h e e n d o f e a c h f i s c a l y e a r . T h e
o b j e c t i v e o f b u d g e t a r y c o n t r o l s i s t o e n s u r e c o m p l i a n c e w i t h l e g a l p r o v i s i o n s e m b o d i e d i n t h e a n n u a l
a p p r o p r i a t e d b u d g e t a p p r o v e d b y t h e C i t y C o u n c i l . T h e C i t y ' s b u d g e t a r y c o n t r o l i s m a i n t a i n e d a t t h e
i n d i v i d u a l d e p a r t m e n t a l l e v e l a n d a n y c h a n g e i n t h e a d o p t e d a p p r o p r i a t i o n s b y a d e p a r t m e n t
r e q u i r e s a p p r o v a l f r o m t h e C i t y M a n a g e r a n d / o r C i t y C o u n c i l .
A W A R D S A M D A C K N O W L E D G E M E N T S
T h e G o v e r n m e n t F i n a n c e O f f i c e r s A s s o c i a t i o n ( G F O A ) a w a r d e d a C e r t i f i c a t e o f A c h i e v e m e n t f o r
E x c e l l e n c e i n F i n a n c i a l R e p o r t t o t h e C i t y o f T e m p l e C i t y f o r i t s C o m p r e h e n s i v e A n n u a l F i n a n c i a l
R e p o r t ( C A F R ) f o r t h e f i s c a l y e a r e n d e d J u n e 3 0 , 2 0 1 5 . T h i s w a s t h e f o u r t h y e a r t h a t T e m p l e C i t y
h a s r e c e i v e d t h i s p r e s t i g i o u s a w a r d . I n o r d e r t o b e a w a r d e d a C e r t i f i c a t e o f A c h i e v e m e n t , a r e p o r t
m u s t b e p u b l i s h e d t h a t s a t i s f i e s b o t h G A A P a n d a p p l i c a b l e l e g a l r e q u i r e m e n t s .
A C e r t i f i c a t e o f A c h i e v e m e n t i s v a l i d f o r a p e r i o d o f o n e y e a r o n l y . W e b e l i e v e t h a t o u r c u r r e n t C A F R
c o n t i n u e s t o m e e t t h e C e r t i f i c a t e o f A c h i e v e m e n t P r o g r a m ' s r e q u i r e m e n t s a n d w e a r e s u b m i t t i n g i t t o
t h e G F O A t o d e t e r m i n e i t s e l i g i b i l i t y f o r a n o t h e r c e r t i f i c a t e .
T h e C i t y ' s C A F R w a s p r e p a r e d t h r o u g h c o m b i n e d e f f o r t s o f C i t y s t a f f . S p e c i a l r e c o g n i t i o n i s d u e t h e
A d m i n i s t r a t i v e S e r v i c e s D e p a r t m e n t s t a f f f o r t h e i r e f f o r t t o e n s u r e t i m e l y a n d a c c u r a t e r e p o r t i n g . I
w o u l d a l s o l i k e t o t h a n k t h e C i t y C o u n c i l a n d t h e C i t y M a n a g e r f o r t h e i r c o n t i n u e d s u p p o r t a n d
i n t e r e s t i n p l a n n i n g a n d c o n d u c t i n g t h e f i n a n c i a l o p e r a t i o n s o f t h e C i t y i n a r e s p o n s i b l e a n d
p r o g r e s s i v e m a n n e r .
i v
Sincerely,
\ ~....) llc:a...-••.a. ""l.e-(} \·
Tracey L. Hause
Admin istrative Services Directo r
v
City of Temple City, California
List of Elected Officials and Management Personnel
June 30, 2016
City Counci l
Vin cent Yu, Mayor
Cynthia Stemquist, Mayor Pro Tempore
Tom Chavez, Coun cilmember
Nanette Fish, Councilmember
William Man, Council member
Administrative and Department Heads
City Manager
Administrative Services Director
Assistant to the City Manager/Economic Development Manager
City Clerk
Communi ty Development Director
Parks and Recreation Director
vi
Bryan Cook
Tracey L Hause
Brian S. Haworth
Peggy Kuo
M ichael D. Forbes
Cathy Burroughs
Organizational Chart
vi1
-
Government Finance Officers Associ ation
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Temple City
California
For its Comprehensive Annual
Financial Report
for the Fiscal Y car En ded
June 30,2015
Executive Director/COO
v i ii
rf
Vavrinek , Trine , Day & Co ., LLP
Certified Public Accountanls
I D EPEN D EN T A U DITO R 'R EPO R T
The Honorable Mayor and th e Members of the C ity Council
City of Temple City, Ca lifornia
Re port o n th e Fi n a nc ia l S tate m e n t s
VALUE THE DIFFERENCE
We have audited the accom panying financial sta tements of the governmental activities. each major fund. and the
aggregate remaining fund information of the City of Temple City, Cali forn ia (the City), as of and for the year
ended J une 30, 2 0 16, and th e re la ted notes to the fi nancial statements , wh ic h coll ectively comprise the City's basic
fin a nc ial st atemen ts as I is ted in th e table of co nte nts.
Ma n agem en t 's R espon sibility for th e Fin a nc ial S tatem e nts
Management is respons ib le fo r the preparation and fai r presentation of the se financial statements in accordance
wi t h accou ntin g p ri ncip les gene ra ll y accepte d in the U n ited States o f America; th is in cludes the design,
im p le m e ntatio n, a nd m a in te na nce of inte rn a l contro l re levant to th e prepar a ti on and fai r presen tation of fina nc ia l
s tatements that a re free fro m m a terial m isstatement , w hether due to fra ud or error.
A uditors ' R esp ons ibility
Our respo ns i bi lity is to ex press op in io ns o n t hese fi na nc ial s tatem e nts based o n our a udi t. W e cond uc ted our aud it
in accordance with audi ting s tandards genera ll y accepted in the U ni ted tales of America and the standards
applicable to financial aud its contained in Government Auditing Standards, issued by the Comptroller General of
the U n ited States. Those standards require that we plan and perfor m the audit to obtain reasonable assurance
about w he ther th e financ ia l s ta te me nts a re free fro m m ater ial m isstatement.
A n a udi t invo lves perform in g procedures to obta in audit evidence about the amounts a nd di sclo s ures in the
financ ia l statements. T he procedures selected depend on the auditor's judgment. including the assessment of the
r is ks of material misstatement of the financia l s tatements . whether due to fraud or error. In making those ri sk
assessm ents, the aud it o r co n s iders internal contro l re levant to the e ntity's p reparation and fai r presentation of the
fin a nc ia l s tatement s in orde r to d es ign a udit proced ures th a t a re appropr iate in the c irc ums ta nces. but not fo r the
purpose of expressing a n op in ion on the effecti ve ness of the entity's in ternal control. Accord ingly, we express no
s uch opin ion. An audit a lso includes evaluati ng the appropriateness of accounting policies used and the
reasonableness of s ignificant accounting estimates made by management. as well as evaluating the overall
presentat io n of the fi nanc ia l s tatements.
W e be lieve that the aud it ev idence we have obta in e d is s u ffic ien t and appropriate to p rov ide a bas is for our aud it
opinions.
10681 Foothill Blvd., Suite 300 Rancho Cucamonga , CA 91730 Tel: 909.466.44 10 W\W/.vtdcpa.com Fax : 909.466.4431
-----·~-------------------------------------------------------------------
Opinion s
In our opinion , the financ ia l s tatements re fer red to above prese nt fairly , in all material respect s, the respec tive
financi a l po s ition of the gov ernmenta l activ ities, each major fund, an d th e aggregate remaining fund in fo nnation
of th e C it y, a s of Jun e 30, 2016 , and the respec ti ve c hanges in financi a l pos iti o n, a nd , whe re app li cable, cas h
flows th ereof for the year then ended in accordance with accounting pr inc ipl es genera ll y accep ted in th e Un it ed
tates of America.
Emphasis of Matter
As described in ote I to the financial s tatements , th e City adopted Governmental Accounting tandard s Board
(GA B) tatement o. 72, Fair Value Measurement and Application and GA B tatement o. 82. Pension
Iss ues-an amendment ofGASB Statemellls No. 67, No. 68, and No. 73, effective Jul y I , 20 15. Our opinion is not
modified w ith respec t to thi s matte r.
As de sc rib ed in ote 15 to th e financial s ta tem ent s, th e beginning fund balance and ne t pos rtron have be e n
res tated in the governmental activities, ge neral fun d and capital improvement fund. Our opini on is not mod ifi ed
with respect to this matte r.
Oth er Matters
Required Supplement01y Inform ation
Acco un ting principle s gene ra ll y accepted in the United tate s of America require that the management's
d iscuss ion and ana lys is, budgetary com pa ri so n schedu le for t he Ge neral Fu nd , sc hed ul e of fundin g prog ress,
sc hedul e of proport io nate s hare of the ne t pens ion li abi lity and sc he dul e of contributi o ns on pages on pa ges 4
throug h I 0 and 59 through 65 be presented to supplement the bas ic fin ancial statements. uch information ,
although not a part of the bas ic financial statemen ts, is required by th e Governmental Acco untin g tandards Board
who con s iders it to be an esse nti al part o f finan cia l reporting fo r placing th e basic fi nancia l statemen ts in an
ap propriate operat io na l, eco nomic, or hi s torica l co nte xt. We have applied certai n lim ited procedure s to th e
requi red s uppl ementary information in accorda nce with aud itin g s tanda rds generally accep ted in the United ta les
of America , wh ich consisted of in quiries of ma nage men t abou t th e me thods of prepar ing th e information an d
co mp ar ing th e inform a t io n for co nsistency with ma nagement's re s po nses to our inqui ri e s, th e bas ic fin ancia l
s tatements . and other know ledge we obtained d urin g our aud it of th e ba s ic financial statements. We do not
ex press an opinion o r provi de any assurance on th e inform ation becau se th e limited procedu re s do not provide us
with s uffici e nt evidence to ex pr ess an opi ni on or prov ide any ass ura nce.
Other Informa tion
Our a udit was co ndu cted for th e purpose of fo rm ing opmrons on th e financial s ta tements that collecti ve ly
co mpri se the City's bas ic fin a nc ia l s tatements. Th e introd uc tory sec ti o n, co mbining a nd indi vi du a l nonm ajo r fund
financ ial s tatement s and bud getary comparison schedules. and stati stical section, are presented for purposes of
add ition al analysis and a re not a required part of th e basic fin ancial statem e nt s.
The combining and indivi du a l nonmajor fund fin ancia l s tatemen ts and bud getary co mpari so n schedu les are th e
respo ns ibility of manage me nt and were de ri ve d from and re late d irectl y to th e under ly in g accounting a nd othe r
reco rd s used to prepare the bas ic financia l sta teme nt s. Such information has been s ubjected to the auditing
pro cedures app li ed in the a udit of the ba s ic fi nanc ia l s tatements a nd certa in addi tion a l proc edures. includ ing
compar in g and reconc ilin g s uch information d ir ect ly to the underly in g accounting a nd other records use d to
prepare th e bas ic financia l s ta tements o r to th e ba s ic financi a l statements them se lves, and other additiona l
proced ur es in acco rda nce with audi ting s tand ard s ge nerally accep ted in th e Un it ed tates of America. In our
opini on, the com binin g and indi v idual nonmajor fund financia l statement s and bud ge ta ry comparis on sched ule s
are fa irly stated, in a ll material re pects, in re lation to the bas ic financ ia l statements as a who le.
2
T h e in tr oductory and s ta tis t ical secti ons have no t been s u bjected to th e aud itin g procedur es a pp li ed in the aud it of
th e bas ic fin ancial s ta te ments, and according ly, we do not express an opinion or provide any assurance o n th em.
Oth e r Reporting R equired by Governme nt A uditing S ta nrlarrls
In accordance w ith Governme nt Auditing Standards, we have also iss ued o ur rep o rt dated D ecember 22, 20 16 , o n
ou r cons ideration of th e C ity's internal control over fin anc ia l reportin g and on our tests of its comp li ance wi th
certai n prov is io ns of laws, re g u lati ons, co ntracts, and g ran t agreements and other m a tt e rs. The purpose of t h a t
r eport is to d escribe th e scope o f o u r te s ting o f in te rn a l contro l over fin a nci al reporting a nd compliance and the
resu lts of that test ing, a nd n o t to provide an o pinion on internal co ntro l over fin ancial re port ing or on comp li a nce.
That re port is an integra l pa rt of an aud it performed in accorda nce w ith Government Auditing Standards 111
cons id e ring th e City's inte rna l control over fi na nc ia l re po rt ing a nd complia nce. w ~/ t>,f ~lu/
Ra ncho Cucamonga,' Cal ifornia
D ecember 22, 2016
3
City of Temple City
Management's Discussion and Analysis
June 30 , 2016
Th e following discussion and analysis of the Ci ty of Temple City's finan cial performan ce provides an
overview of the financial activities for the fiscal year ended June 30, 2016 . Readers are encouraged
to consider the information presented here in conjuncti o n with the a ccompanying basic financial
statements.
Financial Highlights
Government-wide Financial Statements:
• The City's net position in c reased by $1 .8 million from $69 .1 milli on (restated) as of June 30 ,
2015 , to $70 .9 million as of June 30 , 2016 , as a resu lt of th is year's operations;
• The total reve nu e from all sources was $18.9 million ;
• The total cost of all City programs was $17 .1 million ; and
• The City's total debt increased by $2 .0 million during the curre n t fisca l year. The key factors
in this increase are the net increase in Other Post Employment Benefits (OPES) obligation
and compensa ted absences of $0 .5 mi ll ion , and $1 .5 mi ll ion in pension liability.
Fund Financial Statements:
• As of June 30, 2016 , the City's governmental funds reported combined ending fund balances
of $25 .9 million , an increase of $1 .1 million over the prior fisca l year. Approximately $2 .9
million of the $25.9 million balance is unassigned and is ava il able for spending at the
government's discretion ;
• As of June 30 , 2016 , the total fund bal a nce o f the City 's General Fund was $19.8 mill ion ,
an dec rease of $1 mill ion from the prior year level of $18 .8 m illion (restated ); and
• In the General Fund , revenues exceeded expenditures by $1 .2 mill ion , before other
f inancing sou rces/uses .
Overview of the Financial Statements
This discuss ion and analysis is intended to serve as an introduction to the City of Temple C ity 's
basic financial statements . The City of Temple City's Comprehens ive Annual Financia l Report
(CAFR) is comprised of three componen t s: In troduction , Financial Section and Statistical Section .
Government-wid e finan cial statements. Th e gov ernment-wi de financial statements are designed
to provide readers with a broad overview of the City of Temple City 's finances, i n a manner similar to
a private-sector business.
The government-wide financial statements include not only the City , but also all legal entities fo r
w hich the City is financially accountab le, including the Successor Agency Private-Purpose Trust.
Th e statement of net position presents information on all of the City of Temple City 's total assets and
deferred outflows of res ources and total liabilities and deferred inflows of resources , w ith the
difference reported as total net position. Over tim e , increases and decreases in net position may
serve as a useful indicator of whether the financial position of the City is improving or deteriorati ng .
The statement of activities presents information showing how the C ity 's net position changed during
th e most recent fi scal year. All changes in net position are reported as soon as th e unde rlying event
giving rise to the change occurs , regardless of the timing related to cash flows . Thus , revenues and
expenses are reported in this statement for some items that will on ly resu lt in cash flows i n future
fiscal periods (e .g., uncollected ta xes).
4
City of Temple City
Management's Discuss i on and Analysis
June 30 , 2016
Both of the governme nt-wide financia l sta tements report on functions of the City of Temple City that
a re principally supported by taxes and inte r-governmental revenues (governme ntal activities). T he
governmental activities of the City of Temple City incl ude general government, commun ity
development, public safety, public works and community services.
Fund finan c i al statements . A fund is a g ro up of related acco unts that is used to ma intain control
over resources tha t have been segregated fo r specific activi ties or objectives. The City of Temple
City , like other state and local governments , uses fund accounting to ensure and demonstrate
compliance with finance-related legal requirements. All of the funds of the City of Temp le C ity are
governmental funds.
Governmental funds. Governmental funds are used to account for essentially the same functions
reported as governmental activities in t he government-wide financial statements. However, unlike
the government-wide fi nancial statements, governmental fund f inan cia l statements focus on near-
term inflows and outfl ows of spendable resources , as well as ba lances of spendable resources
available at the end of t he fiscal year. Such in formation may be useful in evaluating a government's
near-term financing req ui rements .
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for gove rnmental funds with similar
info rmatio n presented for governmental activities in the government-wide financial statements . By
d o ing so , reade rs may better understa nd th e long-term impact of the City's nea r-term fi nancing
dec isions. Bo t h t he gove rn mental funds ba lance sheet and t he statement of revenues , expenditures ,
and changes in fund balances provide a reconciliation to facil itate this comp arison between
governmental funds and governmental activities.
Information is presented separately in the governmental funds balance sheet and in the statement of
revenues , expen d itu res, and changes in fund b alances for the General Fund, Bicycle Transportation
Account Fund , and C apita l Improvement Fun d , wh ich are considered to be major fu nds.
T he City of T emple City adopts an annual approp riated budget. A budgetary comparison statement
has been provided to demonstrate compli a nce with this budget.
Proprie tary funds. The City maintains o nly one category of a proprietary fund , an interna l service
fund .
Age n cy fun ds. The City also maintains two Agen cy funds to account for assets held by the C ity as
a n agent for the S uccessor Agency an d th e resou rces held a nd a dministere d by the City of Temple
Ci ty in a fi duciary c apaci ty act ing as th e Successor A gency to the fo rmer T emple City
Redevelopment Age ncy.
Notes t o basi c financial s tate m ents. T he notes provide additional information that is essentia l to a
fu ll understanding of t he data provided in the government-wide and fund financia l statements.
Other info rmation. In addition to the basic f inancial statem ents and accompanying notes , this
report also prese nts certain required supplementary information concerning t he C ity 's budget
comparison schedules for the General Fu nd and each major revenue fund and progress in funding
its obligation to provide pension benefits to its employees.
5
City of Temple City
Management's Discussion and Analysis
June 30 , 2016
Government-wide Financial Analys is
Our analysis focuses on the net position and changes in net position of the City 's governmental
acti vities fo r the fisca l year ended June 30, 2016.
Net position . As noted earl ie r , net positi o n may serve over time as a usefu l indicator of a
government's financia l p os iti on .
The City 's net position increased by $1 .8 million during FY 2015-16 (beg i nning net position as
re stated to $69 m ill ion), primarily as a result of an increase in capital assets related to stree ts
ma intenance and bike lanes and a decrease of curren t liabiliti es due to t he timing of payments made
re lated to capi tal projects . Increase in lo ng -term liabilities and d ecrease in deferred inflows of
resource s are re la ted to pensions . Major grant reimbursements continued from the Rosemead
Boulevard Beautific ation Project completed in FY 2013-14 and other street improvement projects .
The largest portion of th e City's net position is its investment in capita l assets (e.g. lan d ,
infrastructure , building and equipment) rep resenting 75% of its total net position . The City uses
these capital assets to provide services to citizens ; conseque ntly these assets are not available for
future spending. A port ion of t he City 's net position , $6.3 million or 9%, represents resources that are
subject to external restrictions on how th ey may be used. The remaining balance of unrestricted net
assets of $11 .3 million or 16% may be used to meet the govern ment's ongoing obligations to citizens
and cred itors .
City of Temple City
Conden sed Statem ent of Net Posi tion
Ju ne 30:
Increase
2016 2015 {Decrease~
Current and oth er assets $ 29 ,288 ,798 $ 28 ,893 ,134 $ 395,66 4
Capital asse ts 53,143 ,904 52 ,166 ,900 977 ,004
Total assets 82 ,432 ,7 02 81 ,060,034 1,372 ,668
Deferred ou tfl ows of resources 966 ,881 599,6 17 367 ,264
Curre nt and othe r li abilities 2,765 ,292 4,256 ,003 (1,490, 711 )
Long-term liabilities 9,350 ,391 7,394 ,963 1,95 5,428
T otal liabi lit ies 12,11 5,683 11 ,650 ,966 464,717
Defe rre d inflows of re sources 422 ,213 1,457,770 (1 ,035 ,557)
Net Posi tio n
Net investment in capital assets 53,143 ,904 52 ,166,900 977 ,004
Res tricted 6 ,132 ,978 4,898 ,508 1,234 ,470
Unrestricted 11 ,5 84 ,805 11,485,507 99 ,298
T otal net posi ti on $ 70 ,861 ,687 68 ,550 ,915 2 ,310,772
6
City of Temple City
Management's Discussion and Analysis
June 30, 2016
Stat e me nt o f A ct ivities . Governmental activities increased th e City 's net position by $1 .8 million for
FY 2015-16. The total revenue for the f isca l year is $18.9 millio n , which is a decrease of $2.3 million
from the prior year. The total expenses decreased by $871 thousand to $17.1 million from the prior
year total of $18 .0 million . The following table presents the co mparative revenue a nd expense data
for fiscal years ended June 30 , 2016 and 2015.
City of T e mple City
Condensed Statement of Changes in Net Pos ition
For the Fiscal Year Ended :
Revenues
Program revenues
Charges for services
Operating con tributions and grants
General revenues
Taxes
Intergovernmental
Interest in co me
Ot her reve nu e
Expenses
T otal revenues
General governme nt
Community development
Public safety
Publ ic works
Community services
T otal expenses
Increase in net position
Net position , beginning of the year
Net position , end of the year
* As re stated
$
*
$
2016
4 ,033 ,056
4 ,415,924
9 ,759 ,882
15 ,273
282 ,190
399 ,458
18,905 ,783
4,051 ,109
2,165 ,352
4 ,958 ,470
2 ,901 ,053
3 ,042 ,016
17118,000
1,787 ,7 83
69,073 ,904
70 861 ,687
7
$
2015
4 ,159,576
5 ,806 ,068
10 ,309 ,587
8,958
180,197
778,693
21 ,243 ,079
3,663 ,847
3,314 ,298
5,005 ,641
3,065 ,241
2 ,940 ,625
17 ,989 ,652
3 ,253 ,427
65 ,297,488
$ 68 ,550 ,915
$
$
Increase
(Decrease)
(126 ,520)
(1,390 ,144 )
(549 ,705)
6 ,315
101 ,993
(379 ,235)
(2 ,337 ,296)
387 ,262
(1 ,148,946)
(47,171)
(164 ,188)
101 ,391
(871 ,652)
(1 ,465 ,644 )
3 ,776 ,416
2,310,772
City of Temple City
Management's Discussion and Analysis
June 30 , 2016
Key e lements of the significant revenues in FY 2015-16 are as fo ll ows :
• Ta xes are comprised of sales tax , property tax , franchise and transient occupancy taxes .
Total taxes increased primarily because of an increase in property tax and sales tax . The
change in the account has attributed to the incorrect entry as stated in the prio r period
adjustment.
• During the year, grant funds were less as in the prior year as reimbursements for the
improveme nts of Rose mead Boulevard Beautification Project were still significant in FY
2014-15. Operating grants decreased due to less fund ing received from CDBG ($183
thousand), Safe Route to Schools ($432 thousand}, EPA Grant ($194 th ousand) and
Congestion Management ($190 thousand).
Expenses of the governmental activities to taled $17 .1 million , which is a decrease of $871 thousand
or 4 .8 % from the prior year. The decrease of $1 .1 million in community development is due to less
activity this year in comparison to prior ye ars in the area of ca pita l proj ects. However, expenses in
general government realized an increase of $387 thousand as a result of retirement costs for part-
time employees, increased insurance premiums for general liab ility and workers' compensation and
the annual lease program for the City's vehicle fleet. The remaining variances are less significant
and reflect only minor changes in programs.
Financi al Analysis of the C ity 's Fu n ds
The City uses fund accounting to ensure and demonstrate compliance with finance r e lated legal
requ irements. Th is section provides an analysis and discussion of ind iv idual funds and fund types
presented in the fund finan cial statements.
Governmenta l Funds. The City of Temp le City 's governmental funds reported a combined fund
balance of $25 .9 million at the end of the fisca l year.
T he General Fund's fund balance increased by $0.9 million during the FY 20 15-16. The General
Fund revenues of $14 .1 million exceeded General Fund expenditures of $13 million wh ich provided
for an excess of revenues over expenditures of $1 .1 million . Further, after the net transfers out,
primarily for capital projects. the General Fund real ize d an increase in fund balance of $0.9 million .
Primary revenue sources for th is fund are sales ta x , property tax and motor vehicle in lieu . The
General Fund is responsible for general services of the City . Th is includes public safety , public
works, community developme nt , community services and administration . The larg est expenditure is
for public safety , which was $4 .8 million for FY 2015-16 .
The Bicycles Transport ation Account fund has been used to fund bike lane improvements over the
last two years with grant re venues . It is anticipated the grant will be collected in FY 2016-17.
The Capital Project Fund funded a variety of Capital Improvements in the amount of $1 .5 m illion this
year primarily in the area of street and traffic signal maintenance.
The Nonmajor Governmental Funds increased their combined Fund Balance by $0 .6 milli on
primarily as a result of an accumulation of transportat ion funds that were earmarked for possible
street improvements that didn 't come to fruition .
Proprietary Funds. As noted earlier, net position may serve over t ime as a useful indicator of a
government's financial position . In the case of the Proprietary Fund , assets exceeded liabilities by
$350 thousand .
8
City of Temple City
Management's Di scuss i on and Analysis
June 30 , 2016
Ge n era l F und Fina ncia l and Bu d g eta ry High light s
The General Fund is th e chief operating fund of the City. The fun d balance reported an increase of
$0.9 million at June 30 , 2016. As a measure of the General Fu nd 's liquidity, it ma y be useful to
compare both unassign ed fund ba la nce and total fund ba lance to total fund expenditures.
Un assigned fund ba la nce represents 27% of total General Fun d expendi tures , while total fund
balance rep r esents 152% of that same amount.
Revenues: Actual revenue received was h igher than the fina l budget by $612 th ousand . This
increase was primarily due to residentia l development activities includ ing increases in permitti ng
plan check services. Sa les ta x receipts were also higher than an ti cipat ed .
Expenditures : A c tual expenditures were lower th an the final budget by $1 .7 mill ion largely due to
operations and multi-year projects that have yet to be completed (i.e ., the General Plan Update) and
more conservative spend ing .
C apital A ssets a nd Debt Admi nistratio n
Ca p ital Assets. As shown in the follow ing t ab le , as of June 30, 2016 , the City of Temple C ity had
$53 million invested in capital assets , including land , bui ldings , improvemen ts, furniture and
equipment, vehicles a nd infrastructure . See Note 7 for additional information .
Ca pit al Assets at Y ea r-End
Gov ernmental
Activities
Land and la n d rights $ 13 ,614,730
Constru c t ion in progress 23 ,1 87,754
Build ings and improvements 14 ,350,234
F urniture and equipment 985,119
V ehicles 1 ,284 ,045
Infrastruct ure 15 ,236 ,046
Subtot a l 68 ,6 57 ,928
Less Depreciation (15,5 14 ,0 24)
Net total , capita l assets $ 53,143 ,904
9
City of Temple City
Management's Discussion and Analysis
June 30 , 2016
Othe r Long -t e rm liabiliti es. Other long-term li abilities of th e C ity are comprised of co mpensated
absen ces , net OPE S oblig ation , and ne t pen sion liability. Th e net OPES obli gation perta i ns to
unfunded annual required contributions accrued as of June 30, 2016 . The net pe ns ion lia bility is
based on a projection of th e City's long-term share of con t ributio ns to the pension plan relative to the
projected contribu t ions of all participating em pl oyers , actu ariall y determ ined . A summary of other
long-term liabilities fo ll ows :
Net O PES Obligation
Compensated a bsences
Net Pe ns ion Liab ility
Total
C o ntactin g th e City's Fi n an cial M a nag e ment
$
$
Governme ntal
Act iv ities
3 ,6 4 1 ,332
226,483
5 ,505 ,224
9 ,373 ,039
This financial report is designed to provide our ci tizens, taxpayers , customers , investors and
creditors with a general overview of the Ci ty 's finances and to show the City 's accountability for t he
money it rece ives. If you have any questions about th is rep ort or need add it io nal financial
information , contact t he A d mi nistrative Services Department, a t th e City of T emple C it y, 9701 Las
Tun as Drive , Temp le C ity , Ca lifornia . 91780 , (626) 285-2171 .
10
GOVERNMENT-WIDE
FINANCIAL STATEMENTS
CITY OF TEMPLE C ITY , CA LIFOR NIA
tatement of e t Po ition
June 30,2016
ASSET
C as h and in ves t me n ts
Acco unt s rece iva b le
Inte res t receivabl e
Due fro m governm e nta l agenc ies
Due fro m S uccessor Agency
Loans receiv a bl e
Pre pa id it e ms
Capit a l assets not bein g de prec ia ted
Capit a l assets bei ng d epreciated, net
T o ta l Asset s
DEFERRED OUTFLOWS OF RESOURCES
Defer red a mount re la te d to pensio ns
LIABJLJTIE
Accounts payable
Accrue d payroll
Depos its payable
o nc urre nt liabiliti es:
Due w ithin o ne year
Du e in mo re t han o ne year
Proporti onate share o f ne t pens io n liabi lity
Tota l Li a bilities
DEFERRED INFLOW S OF RESCOUR CES
Deferred a mounts re la te d to pensions
NET PO S JTJON
N e t in vestm e nt in ca pita l assets
Restri c te d f or:
Education scho la rs hip (n o nspend able)
Public safety
Pu bli c works
Community services
Communi ty developme nt
Unr estri c ted
Total e t Pos it io n
See accompanying no tes to financial statem ents.
Governmental
Activit ies
$ 24,957,987
272,023
4.174
1,813 .097
624.293
I, 153,685
463,539
36,802.484
16.341,420
82,432,702
966.88 1
1,144,045
17,463
1,58 1.136
22,648
3,845.167
5,505 .224
12,115,683
422.213
53,14 3,904
170,305
2,773
4,524,049
168,1 11
1.267,740
11.584.805
$ 70.861,687
II
C ITY OF TEMPLE C ITY, CALIFORNIA
tate me nt of Activ iti e
Year Ended Jun e 30,2016
Func tions/Programs
Gove rn men tal Acllnllcs
General government
Commumty de,elopment
Public safety
Public wo rks
Community sen 1ces
Total Go,emmental Act1v1tie s
Pro!!ram Revenues
Charges Operating
fo r Con trib ut ions
Ex~nses Services and Grants
$ 4,051 .109 $ 117,564 $ 7,812
2,165,352 2,005,946 701 ,996
4,958,470 323 .446 120,618
2 ,901 ,053 9 15,330 3,468,405
3 ,042.016 670,770 11 7 ,093
$ 17.118,000 $ 4 ,033,056 $ 4,415 ,924
General Re' enues
Taxes
Propen) taxe s
Propeny taxes in li eu of motor 'ch1cle fee s
Sales taxes
Trans1cnt occupancy ta'\es
Franch1se taxes
Other taxes
Inve stment mcomc
State reven ue -ot he r
Other revenue
Total General Re,·enues
Change m Net Pos1t10n
Net Posu1on, Beg mnmg of Year , as Restated
Net PO SIIIOn, End of Year
See acco mpanying no tes to financ ial state me nt s.
12
Capual
Conln but1ons
and Grants
$
$
Net (E,pense)
Re,enue and Change
$
$
m Net Po s1110n
Governmen tal
ActiV IIIC S
{3 ,925,733)
542,590
( 4,514,406)
1,482,682
(2,254 ,153)
{8 ,669,020)
2 ,873,580
4 ,07 1,629
2,000,558
59,522
573,650
180,943
282,190
15,273
399 458
10.456.803
1,787,783
69 073,904
70,861,687
FUND FINANCIAL STATEMENTS
Government Fund Fin ancial Statem ent s
Proprietary Fund Financ ial Stateme nts
Fiduc ia ry Fund Financ ial State mel1f s
GOVERNMENTAL FUND
FINANCIAL STATEMENTS
C ITY OF TEMPLE C IT Y , CALIFOR N I A
D escription o f Maj o r Funds
Jun e 30,20 16
Maj o r Governm e n ta l F unds
Gene ral Fund
The G e neral Fund has been c lass ified as a major fund and is used to account for all of the g eneral revenu es of the
Ci ty not s pecifica ll y lev ied or collected for s ome s pec ia l pur po se, a nd fo r th e ex p e nditu res re lated to th e renderi ng
of genera l ser vices by t he City. The Gene ra l Fund is used to account fo r a ll resources no t required to be
accoun te d for in another fund.
Cap ital Improvem e nt Fund
The Capital Improvement Fund is used to account for fund s re ceived fr om th e vario us fund s to fin ance various
capita l improvements a nd p rojects.
Bicycle T ra nspo rt a tion Accoun t Fund
The Bicyc le Trans portation Account F und is used to account fo r the g ra nt revenues received from the D e partmen t
ofTransportation to part ia ll y fund th e City's Rosemead B ou levard Improvement Project.
Nonm aj o r Governm e nta l Funds
Nonm aj or governme ntal fu nd s in c lude the Specia l Reven ue Funds a nd the Perm anent Fu nd. Since total assets,
liabili t ie s, reven ues o r e x pe nditures of these fund s d o not exceed I 0 pe rcent of to ta l g o vernmenta l fund s, they do
not mee t th e c riter ia to be c lass ifi ed as major fu nd s .
See ac companying notes to finan c ia l state ments.
13
See accompanying no tes to financial statements.
14
C ITY OF TEMPLE C ITY, CALIFORNIA
Governmental Fund
Balance S heet
June 30,2016
Capital
Projects
City-Wid e Non maj or
Capita l Governmental
Improvements Fund s Total
$ 118 ,19 9 $ 5,491 ,799 $ 24,607,686
272,02 3
103 4.174
1,206.11 0
602,195 1,8 13 ,097
624,293
463.539
1,093.3 10 I , 153,685
$ 118 ,199 $ 7,187,407 $ 30,144,607
$ 118 ,199 $ 160,283 $ I , 144 ,045
17 ,463
696,902 1,2 06.110
I ,5 81.13 6
118 ,199 857,185 3,948.754
257,6 19
170 ,305 63 3 ,844
6,322 ,7 18 6 ,3 22,7 18
3 ,5 00,000
12 .302.864
{ 162,8012 3,178,808
6 ,330,222 25,938,234
$ 118 ,199 $ 7,18 7,407 $ 30,144,607
S ee accompanying notes to fin ancial s 1atem ents.
15
C ITY OF TEMPLE CITY , CALIFORN IA
Reconcilia tion of the Balance heet of Govern m enta l Fund s
to the ta tement of Net Pos iti o n
June 30,20 16
Fund Ba lances of Govern me nt a l Funds
A mo un ts reported for governme ntal activities in the ta tement of Net Po s it ion
are different becaus e:
Capita l a ssets net of accumu lated depreciatio n h ave not been in c luded as finan c ia l
resou rces in governmenta l fund acti v it y.
Capi ta l assets
Accumulated depreciat ion
Lo ng-term li ab il iti es have not b een in c luded in th e g overnmental fu nd s
Compensated absences
Net OP E B obl igation
Net pens ion li a bil ity
Certa in accounts a nd intergovernmental receivables are not availab le to pay for
c urre nt-p e riod ex pe nditure s a nd, th ere fore, a re re n ected as d e fe rre d in flows of
resources in the governme nta l funds
Deferre d outflo ws of resources related to pe ns io ns
Deferre d inflows o f reso urces re lated to pensions
T he in ternal ser vice fund is used by managem e n t to charge the cos ts
of self-in s urance acti v it ie s to in d ividual f und s. T he cash and in ves tm e nts
ofthe inte rnal service f und are included in g overnmental activi t ies in
th e s tate me nt of ne t pos iti o n because it primar ily ser vices gove rnmental
acti vi ti es of the C ity.
Net Positi o n of Governmenta l Activ iti e
See accompanying nores to financ ial s tate m e n ts.
16
$ 25,938 ,23 4
68,657 ,928
(15.514 ,024)
(226.483)
(3 .641 ,33 2)
(5,505,224)
257,6 19
966,88 1
(422 ,2 13)
350,30 1
$ 70.861 ,687
C ITY OF TEMPLE C ITY, C ALIFORNIA
Governmenta l Funds
S tate m e nt of .R evenues , Expenditure a nd C h a n ges in Fund Balances
Year E nded Jun e 30,20 16
pecial
Reven ue Fund
Bicycle
General Transportal ion
Fu nd Account
.R EVENUES
Taxes $ 5,688,253 $
Licenses a nd pe r m its I ,775,836
Intergovernmental 4,079.44 I
Charges for service s I .627.626
Fin es 303,524
Inves t me nt income 306.568
Re nta l income 84 ,241
O th e r 303,058
Total Revenues $ 14,168,547
EXPENDITURES
C urrent :
General government 3.440.424
Community developme nt 2,073,909
Publi c safety 4,834 ,728
P ublic works 46 7,522
Community serv ices 2,169,169
Capit al outlay
Total Expend it ure s 12.985 .752
Excess (deficie ncy) of reven ues
over (under) expenditures 1.182,795
OTH E R F I NANC I NG S O U R CES (USES)
Transfers in 399,432
T ra nsfers out {603 ,5782 (197,2442
Total Other Financ ing Sources (Uses) (204, 146) (I 97,244)
Net Changes in Fu nd Ba lances 978,649 (197,244)
Fund Balances, Beg inn ing of Year. as Restated 18.826.607
Fund Ba lances, End of Year $ 19,805,256 $ {197,2442
See accompanying notes to financial statements.
I 7
CITY OF TEMPLE C ITY, CALIFOR N IA
Governmental Fund
S tate ment of Revenues, Expenditures a nd C han ge in Fund Bal a nce
Year End ed June 30,2016
Cap ital
Pro ject
City-Wide Nonmajor
Capital Gove rn mental
Improveme nt Fund s Tota l
$ $ 1,3 15,758 $ 7,004.0 11
1,775.836
2 ,737,35 1 6 ,8 16,792
358.137 1,985,763
8,6 12 3 12.136
6.113 312.68 1
84,24 1
70,875 373,933
4,496,846 18,665,393
3,440,424
63 ,284 2, 137,193
4,834,728
17 1.48 5 2,249.319 2,888,326
757,248 2,926,4 17
I ,3 13.404 I ,3 13,404
1,484,889 3,069,85 1 17,540,492
(I ,484,889) 1,426,995 1,124,901
1.484,889 537,788 2,422,109
{I ,62 1.287} {2 ,422, I 09}
1,484,889 (I ,083.499}
343,496 1,124,90 1
5,986.726 24 ,8 13.333
$ $ 6 ,3 30,222 $ 25 ,938,234
See accompanying notes to financial statements.
18
C ITY OF TEMPLE C ITY, CALl FOR l A
Governmental Fund
R econciliatio n of t he S tate ment of R eve nues, Ex pe nditure a nd
C h a n ges in Fund Balances of Governm e ntal Fund to the
S tatem e nt of Activities
Yea r E nde d Jun e 30,2016
Net c ha nge in fund Ba la nces-total governm e ntal fund s
Amo unt s r eported for gove rnm ental activi ti es in th e s ta teme nt of acti v ities are
differe nt because:
Governmental funds report capita l o utl ays as expenditures. However , in th e
s ta teme nt of activ iti es th e cos t of those assets is a ll ocated over their e s tima ted
usefu l lives a nd re ported a s de p reciat ion expense. T he effect of transactions
involving capita l assets a r e as follows:
Depreciation expense
Purc h ases of capita l assets record ed in governm enta l funds
Th e ne t effect of va ri ous tra nsactions invo lv in g capita l assets
(i .e. sales, re tire ments) is to decrease ne t pos ition
Revenu es that a re meas urab le but no t availab le a re d e fe rred in the gove rnmenta l fund s
unde r th e mod ifi ed accrual bas is of account ing.
Ex penses re po rted in the state me nt of activities w hi c h do not r eq uir e th e use
of c urre nt fin a nc ia l resources a re not re porte d as expend itures in g overnme nta l fund s.
In crease in net OPEB obligat ion
Net difference b e tween p e ns io n ex p e nse record ed on the governme nt wide
s ta te me nt o f acti v iti es a nd contribution s pa id
Compensated absen ces
The inte rn a l service fund is not a governme nt a l fund . However, it is used by
m a n agement to charge the ne t cost of se lf in s ura nce activi t ies to indi vi dua l fu nd s.
The net revenue of th e interna l service fund is re ported wi th government activit ies.
C hange in net positio n o f gove rn e ntal activiti es
See accompanying notes to financial statements.
19
$ 1,124.90 1
(598.469)
1.596.281
(20,805)
19 5,739
(505,266)
(3 0 , 168)
(19.081)
44,65 1
$ I ,787,783
PROPRIETARY FUND
FINANCIAL STATEMENTS
C ITY OF TEMPLE CITY, CALIFORNIA
Desc ription of Proprietary Fund
Year E nded June 30,2016
Inte rnal Ser v ice Fund
Self In s ura nce Fund
To account for good s and services relating to in s urance premiums provided by one d epartment to other
departments on a cost rei mburseme nt basis .
See accompanying no tes to financial state me nts.
2 0
CITY OF TEMPLE C ITY, CALIFORN IA
Statement of Net Pos iti o n
Proprietary F und
Jun e 30,2016
ASSETS
Current assets :
Cash and investments
NET POS ITION
Unres tricted
Total Assets
Total Net Pos ition
See accompanying notes to financial state men ts.
$
$
2 1
Self In surance
Internal
Service Fund
350,30 I
35 0 30 I
350 3 01
35 0 ,30 I
C ITY OF TEMPLE C ITY, CA LIFORN IA
S tatement o f R even u es, Exp enses a nd C h a n ges in Ne t Positio n
Proprietary Fund
Year Ended June 30,2016
Operat ing rev enues :
ln te rfund chan ges
T o ta l Operatin g Revenues
Chan ge s in Ne t Pos it ion
Net Po s it ion -Begi nnin g of th e Yea r
Net Pos ition -End of t he Yea r
See ac company in g no tes to fin a nc ial state ments.
22
Se lf Insura nce
Intern a l
Se rvi ce Fund
$ 44,65 1
44 ,65 1
44 ,65 1
305,650
$ 350,3 0 I
C ITY OF T E MPL E C ITY, CA LIFOR NIA
Statement of Cash Flows
Propriet a ry Fund
Year E nded June 30,2016
C a h fl o " from operatin g activ iti e :
Cash re ceived for operat in g acti vi ti es
Net cash provided by operatin g acti vit ies
Change in cash and cas h equiva lents
Cash and ca h equiva le nts at beginnin g of yea r
Cas h and cas h equi va lents at e nd of yea r
Re conciliation of operating in com e t o ne t c a s h
provided by o perating acti vities :
Operating income
Net cas h provided by operating acti v ities
oncash in vesting. capit al, and finan c ing activities:
Ther e were n o s ignifican t non cash in vest in g, capi ta l, and fin a nc in g activit ies during th e year
e nded June 30, 2016.
See accompanying notes to financial state me nts.
23
e lf Insurance
Interna l
Service Fund
$ 44,651
44,65 1
44,651
305.650
$ 350,301
$ 44.65 1
$ 44,65 1
FIDUCIARY FUNDS
FINANCIAL STATEMENTS
C I TY OF T EMPLE C I TY, CAL I FORN I A
D e criptio o o f F iducia ry F un d s
Y ear End ed Jun e 30,2016
Successor Agency Pri vate-Pur pos e Trus t Fund
T o account for the resources held and admin is te red by th e City of Temple Ci ty in a fid uc ia ry capacity actin g as
the S uccessor Agency to the fo r mer T em pl e C it y Redeve lopment Agency.
See accompanying no tes to financial s ta teme nts.
24
C IT Y OF TEM P LE C ITY, CA LIFO R N I A
t ate m e nt of F id u c iary Net P o it io n
Jun e 30,201 6
ASSETS
Cash a nd investments
Cash with fiscal agent
Tota l Assets
LI A BILIT I ES
Accrued interest payable
Due to C ity
Nonc urrent liabili tie s:
D ue with in one year
Due in more than one year
Tota l L iabilit ies
F IDU C I A R Y NET POS ITLON (D E FI C I1)
Tota l N e t Po s iti on (Deficit )
See accompanying notes to finan cial state me nt s.
uccessor Agency
P r ivate-purpose
T r ust Fund
$ 1,488,810
174
I ,488,984
92.775
624 ,293
430,000
3,960,000
5,107,068
$ p 16 18 ,0842
25
C ITY OF T E MPLE C ITY, C ALIFOR N IA
S t a t e m e nt o f C h a n ge in Fiduc ia r y e t Po ition
S u cces o r Agency to th e Former Temple C ity Community Re d eve lo pment Agency
Priva te-Purpo e Trust Fund
Year E nd ed Jun e 30,2016
ADDITI ON
Tax in c rement
Total Additions
D ED UCTIO N
Administration
Profess ional fees
In te rest expe nse and f JScal c harges
Total Deductions
S P EC I AL ITEM
Re lease o f obli gations re lat e d to ad vances from th e C ity
C hanges in e t Pos it ion
Ne t Pos iti o n -Beginnin g of Yea r
Ne t Positi o n - End o f Year
See accompanying notes to finan cial s ta teme nts.
2 6
Successor Agency
P ri vate-purpose
Trus t Fund
$
$
969.265
969,265
3 1.8 70
5.720
387,152
424,742
3 ,703 ,805
4.248,328
(7 .866,412)
(3,618,084)
NOTES TO
FINANCIAL STATEMENTS
CITY OF TEMPLE C ITY, CALIFORNIA
Notes t o Fin a nci a l S t a tements
Year E nd ed Jun e 30,201 6
N OTE I -SUMMA R Y OF S IGN I F I CANT ACCO UNTING POLICI ES
Description o f th e R e portin g E ntity
The C ity of Temple C ity, Cali fornia (th e C ity) was in corporated o n May 25, 1960, u nder t he gene ra l laws of the
State of California. On April 16 , 1971, the City adopted resolution number 7 1-1084 declar in g itse l f a charter c ity.
The City operates under th e Cou ncil -Manager form of government.
The C ity provides the fo ll owin g services as authorized by it s general laws : Publi c Safety, Hi ghways and Streets,
Hea lth a nd Sanitatio n, C ultura l a nd Park Fac ili ties, Publ ic Improve me n ts, Planning, Recreation a nd Gene ra l
Adm ini s trative Services.
The accounting policies of the City conform to generally accepted accounting principles as applicable to
governments. As requi re d by genera lly accepted accounting princi ples, these financial s tatements present th e
gove rnment and its com ponent units, entities for wh ic h th e government is c onsidered to be financ ia ll y
accountable. The C ity is cons idered to be financ ia ll y accountable for a n organ ization if the C ity a ppo ints a voti ng
majority of that organizatio n's governing body and the City is able to impose its will on t hat organization or there
is a potential for that organi zati on to provide s pecific finan c ial benefits to or impose s pecific fin ancial burdens on
the City. The City is also con s id ered to be financially accountable if an organization is fiscally d e pendent (i.e ., it
is unabl e to adopt its b udget, levy taxes, set rates or charges, or issue bond ed debt withou t approval from th e
C ity). In certain cases, other organizations a re inc lud ed as compone nt units i f th e name and significance of the ir
relations hip with the C ity a re such that their exclusion would cause the City's financial s tatements to be
misleading or incomplete.
A ll of th e City's compo ne nt un its a re considered to be blended component units because in all cases the City
Co u ncil ser ves as the governi ng board for eac h component un it. B lended compo nent units, a lthough lega ll y
separate entities, are, in s ubstance, part of the City's operations, therefore data from these units are reported with
the in terfund data of th e primary governme nt. Management of the City has operational re s pons ibility for each
compo nent unit, as it manages the act ivities of each component unit in a s imilar m a nner in w hi ch it manages othe r
of its own progra ms a nd activities. T he following organizat ion is consi de re d to be a component unit of the City:
C ity o f Temp le City H ousi ng Authority
The C ity of Temple C ity Hous ing Authority (Hous ing Authority) was establi s hed on ovembe r l, 2005 . purs uant
to the State of Cal ifornia Health and Safety Code 34200 entitl ed, "Hous ing Authority Law." The purpose of the
H ousi ng Auth ority is to prov id e safe a nd san ita ry dwelling accommodati ons to persons of low income in th e C ity.
Even though it is legall y separated, it is reported as i f it is part of the C ity because th e City Co un cil also serves as
the governing board of the Hous ing Authority a nd th e City has operat ional responsibility of the Housi ng
Authority. No separate ftna.nci a l statements are issued for the Hous ing Authority.
Govern ment-wide a nd F und Fi nancial Stateme nts
The government-wide financ ial statements (i.e., th e statement of ne t p osition and the s tatement of activities)
report information on all of t he nonftduciary act ivities of the primary government and its component units. For
the most part, th e effect of inte r fund activity has been removed from th ese state ments . T he C ity's governmenta l
activ iti es are supported by taxes and intergovernm e ntal reven ues.
27
C ITY OF TEMPLE C ITY, CALlFORNIA
Notes to Fina nci a l S tatements
Year E nd ed June 30,2016
N OTE 1 -S UMMA RY OF S I GNIFICANT ACCOUNTING POLICIES (CONTINUED)
T he s ta tement of activities d emonstrates the degree to which the direct expenses of a given function or segments
a re offset by program reve nu es. Direct expenses a re those that are clearl y identifiable wi th a s pecific funct ion o r
segm e nt. Indirect ex pe nses are a ll ocated base d o n th e annu al cost allocation pl a n. Prog ram reven ues include: (I )
charges to cus tomers or a ppli cants who purchase, use, or direct ly be ne fit from goods, services, or privileges
provided by a given func ti on or segment and (2) grants and contri butions that are res tricted to meeting the
operational or capital requ irements of a part ic ul ar function or segme nt. Taxes and othe r items not properly
included among program revenues are reported in s tead as general reven ues.
Separate financial statements a re provided fo r governmental fund s, proprietary funds, and fidu ciary funds, even
though the latter are excluded from the gove rnment-wid e financi a l s tatements. Major ind ividual governmenta l
fu nd s a re reported as a s eparate column in the fu nd financial s tatements.
Meas urement Foc us. Basis of Accounting, and Fin ancia l Statem ent Prese ntation
The government-wide financial s tateme nt s are reported us in g the economi c re sources meas ure ment focu s a nd th e
accru a l basis of accountin g, as are the proprietary fu nds financial statements. Revenues are recorded when earned
and expenses are recorded when the liability is in curred , regardless of the timing o f th e re lated cash flo ws.
Fiduc ia ry fun ds , inc lud ing the private-purpose tru st fund, use th e eco nomic resources meas urement focus a nd th e
accru a l basis of acco u nt in g. T he Age ncy fu nd has no measurement fo cus bu t ut ili zes th e accrua l basis of
accounting for reporting assets and liabilities. Property taxes are recogni zed as revenues in the fi scal year for
which they are lev ied. G rants and s imilar items a re recognized as revenue as soon as all eligibility re quirements
imposed by the provider have been met.
Amounts re ported as progra m revenu es in c l ude : I) c harges to customers or applicants for goods, services, or
privileges provided, 2) operating grant s and contr ibutions and 3) capital g rants and contributi ons, including
specia l assessments.
In ternally dedicated resources are reported as gene ral revenues rather th an as program revenues . Likewi se,
gene ra l reven ues incl ude a ll taxes.
Governmental funds financ ia l statements are reported us ing the current financial resources meas urement focus
and the modifi e d accrual basis of accounting. Revenues are recognized as soon as th ey are both meas urab le an d
ava il ab le. Revenues a re considered t o be ava ilabl e when th ey are co ll ect i bl e with in the c urrent period. For this
purpose, the City considers revenues to be ava ilab le if they a re col lec ted wi th in 60 days of th e end of the c urre nt
fiscal period for property and sales tax , a nd 90 days for all other revenues. Expenditures generall y are recorded
when the li ability is incurred, as under accrua l accounting. However, debt service expenditures , as well as
expenditures re lated to compensated absences and c laim s and judgments, are recorded only w he n payment is due.
Prope rty taxes, franchi se taxe s, li censes, a nd int erest associated w ith t he current fi sca l period are a ll cons idered to
be s usceptib le to accrua l; there fore, they have been recognized as revenues of the current fi s cal period. Only the
portion of s pecial assessment s receivable due w ithin the current fi sca l period is considered to be s usceptible to
accrual as revenue of th e c urrent period. A ll othe r revenue ite ms a re considered to be measurable and avail able
on ly w he n cash is received by the government.
28
C ITY OF TEMPLE C ITY, CALIFORNIA
Notes t o Financial Sta tement
Year E nd ed June 30,2016
OTE I -SUMMA RY OF SIC !FICA T A CCO UN T/ G POLICIES (CO TINUED)
Propr ietary funds di sti ngui s h operating revenues and ex penses from no nopera ting it ems. Operating revenues and
ex penses ge ne ra ll y res ult from provid in g se rvice s and pr oduc in g and deli ve rin g goods in connection with a
pr o pri eta ry fu nd's prin c ip a l ongo in g ope ra ti ons. Th e prin c ipal o pe ra tin g revenue of th e In te rn a l ervice Fund is
re imburse ments relating to sel f-in su rance. Operat ing expenses for the Internal ervice Fund in clude the cos t of
in su ra nce premiums re la ting to th e services prov ided. All revenues a nd expenses not meet ing th is definition are
repo rt ed as nonoperating reve nu es and expenses.
A lth o ug h the C it y's in te rnal service fund is re port ed as a proprieta ry fund in th e fund financial s tatemen ts, it is
inco rp orated into govern me nt a l activities in th e gove rnm ent-wid e fin anc ial statements.
Fund Types
T he bas ic acco untin g and reportin g en tit y is a "fund". A fund is defi ned as an independent fi scal and accou ntin g
ent it y w ith a self-ba lanc in g se t of acco unt s, reco rd ing resou rces , re lated liabili ti es, obli ga ti o ns, re serves a nd
equ iti es s egregated fo r the purpose of carry in g out spcci fie ac ti v iti es or attai ning certain object ives in acco rd ance
with s pec ial regulations. restri c tion s or limitat io ns .
T he account ing record s of th e C it y a re orga ni ze d o n th e bas is o f th e va ri ou s fu nd types as fo llows:
GOVE RNMENTAL FUN D TYP E
Gene ra l Fund
T he G ene ra l Fu nd is th e ge nera l ope rat in g fund of th e C ity. A ll ge nera l tax revenues a nd oth e r receipts that are
not a ll ocated by law or co ntractu a l ag reement to s ome ot her fund are accounted for in th is fund. Expe nditures of
thi s fund in clude the genera l ope rating expenses a nd capi tal improveme nt costs which are no t paid through o th er
funds.
Specia l Reve nu e Fu nd s
The pecial Revenue Funds are used to accou nt for pr oceeds of spec i fi c revenue source s that a re re stricted by law
or ad mini s tr at ive action for s pe c i fi e purposes.
Capi ta l Pr o jects Fund s
Cap it a l Project s Fu nd s are used to acco unt for fin a nc ia l resou rces to be used for the acqu is ition , construction o r
improvement of major cap ital facilities and infras tru cture.
Pe rmanent Fu nd
T he Perm anen t Fund is use d to account for fina nc ia l resources that are legally restric ted to the extent that on ly
earn in gs, and not principa l, may be used to s uppor t th e City or its citizenry.
29
C IT Y OF TEMPLE C ITY, CA LIFO R NIA
Notes t o F ina n c ia l St atem e n ts
Yea r E nd ed J un e 30, 2 0J 6
NOTE I -SUMMA R Y OF S I GNI FICANT ACCOUNTING POLICI ES (CONTI NUED)
Major Funds
The C ity reports the fo llowing major governm e ntal funds:
• General Fund -To account for all of the gene ra l reven ues of the C ity not specifically levied or co ll ected
for some special purpose, a nd for the expe nditures related to th e rendering of general ser vices by th e City.
• Capita/improvement Fund -To acco unt fo r fun ds received from various s pecial revenue funds to fina nce
capita l improvements and projects.
• Bicycle Transportation Account Fund -To account for the g rant revenues recei ved from the Depa rtment
of Trans portation to part ia ll y fund th e C ity 's Ro semead Boul evard Improvement Project.
PROPRIETARY FUND TY PE:
Internal Service Fund
Th e Internal Ser v ice Fund is used to accou nt fo r good s and ser vices relat ing to in surance p re miums provided by
one department to o th e r departments on a cost re imbursement basis. The City's In terna l Ser vice Fund is the Self
Ins urance Fund.
F IDUC IA RY FUND TYPES:
Successor Agency Private-purpose Trus t Fund
This fund is used to report the assets, liabilities and activi ti es of the S uccessor Agency to the Dissolved Temple
C ity Community Redevelopment Agency. Unlike the l imited reporting typically utilized for th e Agency Fund, the
Pri vate-purpose T rus t Fund r eports a Statement o f F iduciary Net Pos ition and a Statement of Changes in Fiducia ry
Net Pos iti on.
As a general rule, the e ffect of interfund actt v 1ty has been e liminated from the govern ment-wide financial
state me nts. Direct expenses have not been e limina ted fr om the functional categories; ind irect e x penses and
inte rna l payments have bee n e lim in ated.
Cash E quiva le nts
For purposes of the s tatem e nt of cash flows, cash eq ui valents are defined as s hort-te rm , high ly liquid investments
th a t a re both readi ly c onvertibl e to known amounts of cash or so near their m aturi ty that they do not present
s ig nifi cant ri sk of changes in va lue because o f changes in in terest rates. Cash equivalen ts also represent th e
propr ie ta ry funds' s ha re in the cash and investment pool of the Ci ty.
Cas h a nd In ves tm e n ts
Cash a nd investm en ts are repo rted in the acco mpany in g balance s heet at fair value, except fo r certain cert ificates
of depos it that a re reported a t cost because they a re not transferable a nd they have terms that a re not affected by
c h a nges in market interest rates.
30
C ITY OF TEMPLE C ITY, CA LIFOR N IA
Notes to Financial tatement
Year E nd ed June 30,2016
N OTE I -SUMMARY OF SIGN /FICA T ACCOUNT/ G POLICIES (CONTI UED)
Ca hand ln ve tment (Continu ed)
C ha nges in fa ir va lu e th at occ ur d ur in g a fi sca l yea r a re recog ni ze d as inves tm e nt income repo rte d for th at fi sca l
year. Investment income in c lu de s intere st ea rnin gs, c hanges in fa ir va lu e, and any ga in s o r losses rea li zed upon
th e liq uidation or sale of investments.
T he C ity pools cas h a nd in ves tm en ts of a ll fund s, exce pt fo r assets he ld by fi scal agen ts . Each fund 's s hare in th is
poo l is di s pl aye d in th e acco mpa ny ing finan c ia l s ta teme nt s as cas h a nd in ve s tment s. In vestm e nt inco me ea rn ed
by th e poo led in ves tm e nts is a ll ocated to the va ri o us fun ds based on each fund 's average cas h and in vestment
balance, except for int e rest in come (assoc iated with funds not legally re qu ired to rece ive pooled investm ent
in come) that has been ass igned to a nd recorded as re ve nu e o f the ge nera l fund. as provided by California
Gove rn ment Code ecti on 5364 7.
As o f Jul y I, 20 15 , the C ity adop ted Gove rnm en tal Accou nting Sta nd ards Board ("GA B"') tateme nt
o. 72, Fair Value Measurem ents and Application. GASB tatemen t No. 72 provides g uidan ce for determining a
fair va lu e measure me nt fo r reporti ng purp oses, a ppl y ing fair value to in ves tm ents, an d di sclos ure s related to a
hi era rch y estab li s hed by ge nera ll y accepted account ing principles. The fai r va lue h ie rarchy, wh ich has three
levels, is based on th e va lu ation inp uts used to mea su re fa ir va lu e: Leve l I input s a re q uoted prices in ac ti ve
marke ts fo r identi ca l asse ts; Level 2 inputs a re s ig nifi cant oth e r obse rv able inputs; Level 3 inputs are s ig nifica nt
unob s erva bl e inputs. '
Pro p e rty Tax Cale ndar
The Co un ty of Los An ge les asse ss es, levies, and co ll ects pro pert y taxes for th e Ci ty. Pr o pe rt y taxe s le v ied for th e
year end ed J une 30, 2 0 16 were due and payab le in two in sta llm ents on November I and Febr uary I and became
de linqu ent on Decembe r I 01h a nd April I 01h, res pecti ve ly. At th e date of inc orporation, th e Ci ty elected to be a
no/low property tax c ity as an in ce nti ve for c urre nt and prospecti ve res id ents to reside in th e C ity .
The prope rty tax ca le nd a r is as fo ll ows :
Lien Date :
Levy Date
Du e Date:
Deliqu e nt Date:
January I
Jul y I
First in s ta llm ent -November I
Second in s tallm en t-Feb ru ary I
F irs t in stallm e nt -December I 0
Second in stallm e nt -April I 0
Taxes a re co ll ec ted by Los An ge les Co unty and a re re mitted to th e C ity per iod ica ll y. Date s an d perce nt ages are
as fo ll ows :
December 10
Ja nu ary 15
April 10
May 15
July 3 I
30% Ad vance
Collectio n o.
10 % Advance
Co ll ec ti o n No. 2
Co ll ec ti o n No. 3
3 1
C IT Y OF TEMPLE C ITY, CA LI FORN IA
Note to Financia l ta t em e n t
Year Ended J u ne 30,20 16
NO TE I -SUMMARY OF S I G /FICA T ACCOU Tl G POLICI ES (CO TJNUED)
P r epa id Item s
Ce rt a in payments to vend o rs re n ect costs app lica b le to future accoun tin g pe ri o ds and a re record ed as prepa id
it e ms in both th e govern ment-wide a nd fund fi na nc ia l s tatemen ts . These a re accounted fo r us ing the consumption
m eth od. and accordingly . the expendi tu re is record ed in the period in w hi c h the good s or servi ces are received.
Ca pit a l Asset
Cap it a l assets (in c lu d i ng infras t ru c tu r e) are va lu ed a t cost w he re hi stori cal re co rd s a re ava il a bl e a nd at a n
esti ma ted historica l cost where no hi s to ri cal records exist. D onate d capital assets are va lu ed a t th eir acquisit ion
val ue on th e date received. P ubli c domain (infrastructure) capital assets cons is t of streets, bridges, traffic s ignal s,
s treet li g hts, bus s he lt e rs a nd s ewers. Genera ll y, the C it y capi ta li zes capital asset purchases in excess of $5.000
fo r genera l cap it al assets, $50,000 fo r sewers (infrastructure) and $10 ,000 for a ll other infras tructure and a n
estima ted u seful li fe in excess of one year.
Capital assets used in operations a re depreciated over their estimated us eful liv e using the s trai ght-l ine method in
the government-wide finan c ia l s ta te m e nts. Provis ion for de preciation is c ha rged as an ex pe nse against operat io ns
and accumul ated d e p rec iat ion is re porte d o n th e s tate me nt o f ne t pos iti o n. The ra nge s o f lives used fo r
depreciation pu r po ses for each capit a l a sset c la ss a re as follo ws:
Buildings
F urni ture and eq uipm e nt
Ve hi c les
In fra s truc tu re :
treets
Bridges
Traffic s igna ls
De ferred O u tnows a nd Inflows of R e o u rces
40 years
5 -7 y ears
5 years
50-80 years
50 years
20 years
Under the modified accrua l bas is o f accounting, it is no t enoug h that revenue has bee n earned if it is to be
recogn ized as reven ue of th e c urren t peri od. Reven ue m ust a lso be s usceptibl e to accrua l; it must be both
measurab le and availab le to fin an ce ex pe nditures o f th e c urre nt fi sca l year. If assets are recog ni zed in con n ecti o n
w ith a tr a nsacti o n. but those asse ts a re not ye t avail a bl e to fin ance ex pend itures of the c urrent fi sca l year , the n the
assets mus t be offset by a corres ponding d e fe rred in n ow of resources. T hi s type of d e ferred infl ow is unique to
governmental funds. s ince it is ti ed to th e modified accrua l basis o f accounting. w hi c h is onl y used in connectio n
with governmenta l fund s .
The C ity reports de fe rre d outfl ows a nd inflows o f resources . A d e fe rre d o ut n ow of resources is a cons um p ti o n o f
net pos iti on of fund balance by the governme nt that is appli cable to a fu ture report ing per iod. A deferred inflow
of resources re prese nt s a n acquis iti o n o f ne t positi on or fund ba lance by the government th a t is appli cable to a
fut ure p e ri od.
T h e C ity re ports deferred o utfl ows a n d infl ows of resources re la ted to pens ion s o n the governme nt-wide s tatement
o f ne t p osition . unde r fu ll accrua l bas is of accounting . R e fer to ote 9 for it e m s ident ifi ed a s de ferred infl o w s an d
out n ows re lated to pe ns io ns as of June 30, 20 I 6.
32
C ITY OF TEMPLE C ITY, CAL I FORN IA
Not e to Financial tatements
Year E nd ed Jun e 30,2016
OTE I -S UMMA R Y OF SIC !FICA T ACCO UNT/ G POLIC I ES (CO T1 UED)
E mployee L eave Be n efits
Vacation t ime begins to accumulate as of the fir st day of em pl oy ment to a maximum o f 2 40 hours for non-
represented employees a nd 320 hours for represented employees. Sick leave accumulates a t th e rate of 8 hours
per month without limit. Employees a re not entit led to compens ation for accrued s ick time upon separation from
the C it y.
C la im s and Jud g m e nts
The it y records a liability for material litigat ion, judgment . and c laims (including incurred but not reported
losses) w h en it is probab le th at an asset has been impaired or a material liability has been incurred prior to year-
en d a nd the probable a mount of loss (net of any in s urance coverage) can be reasonably estim ated .
Pens io n s
For purposes of measur ing the ne t pension liability and deferred outflows/inflows of resources related to pensions.
a nd pens ion expense, information about t he fidu c iary net position of the City's Californ ia Public Emp loyees'
Re tire ment System (Ca iP E RS) plan s and a d di ti o ns to /d ed uct ions fr om th e Plans' fid uciar y ne t position have been
determined on the same bas is as they are reported by CaiPER . For thi s purpose. bene fit payments (i ncluding
refunds of employee contributi ons) are recogni zed when due and payable in accordance w it h th e benefit terms.
I nvestments are reported at fair value.
F und Balance
Government Account in g Standards Board {GA B) tatement o. 54. Fund Ba lance Reporting and Government
Fund-type Definitio ns , defines fund balance as t he difference between the assets, liabilities and deferred inflows
reported in the City 's governme ntal fund s . There are gene ra ll y lim itations on the purpose for which a ll or a
porti o n of the res ources of a govern mental fund may be used. The force beh ind these l imitations can vary
s ig nifi cantl y. depe nding u pon th e ir so urce. Conseq u ent ly, the fund balance reported in the annual financial
s tatements is categorized into fi ve components w hereby each component id entifies the ex te nt to which the City is
bound to honor constraints on the specific purposes for which amount s in the fund can be s pent. The five
components of fund balance are as follows:
• Nons pe ndable: Reso urces that are I) no t in spend able form , s uc h a s inventories, prepayments, long-term
receivables, or non-finan c ial assets held for resale. or 2) required to be maintained intact s uch as an
endowment.
• Restricted : Re sou rces that are s ubj ect to exte rn ally enforceab le legal restriction s; th ese restriction s wou ld
be ei ther I) ex te rna ll y imposed by c re di tors (such as throug h d ebt covenan ts), gra nt o rs, contributors, or
laws o r regul atio ns of other governm e nts o r 2) imposed by law through const itutiona l provis ions or
enabling legi s la ti o n.
• Committed: Resources th at are cons tra ined to s pecific purposes by forma l action approved by the C ity
Coun c il , wh ic h is the C it y 's hi g hest level o f decis io n m ak in g a u thori ty . T he forma l action that is re q u ired
to be taken to esta b li s h, m odify, o r resc ind a fund ba lance is a resolut ion. The cons tra int remains bind ing
unl ess removed in the s ame forma l manner by th e City Counc il. Council action to commit fund balance
mus t occur w ithin th e fi s cal report ing pe riod while the amount committed may be determined
s ub sequent ly.
33
C ITY OF T E MPLE C I TY, CALIFORN I A
Not e t o Fin a ncia l S t a tement
Year E nded Jun e 30,2016
N OTE I -SUMMA RY OF SIG /FI CA T ACCO UN T! G POLICIES (CO Tl UED)
Fund Bala n ce (Co ntinued)
• A ss igned: Resources th a t are cons trained by th e City's in te n t to be used for s pec ifi c p ur pose s, b ut tha t are
ne ither restricted nor committed. The C it y Council d e legates the aut hority to assig n fund balance to the
City M a nager for p urposes of reporting in th e a nn ua l fin a n cial s tatements, established by th e govern ing
body in the GA B 54 Fund Ba la nce Poli cy resolution adopted a nd approved on M ay 15, 2 01 2 .
• Unass igned: W ith in the General Fund , th e re s idual re sourc es, e it he r pos iti ve or nega tive. in excess of
what can be prope rly class ifi e d in one of the othe r four fund ba lance categor ie s . Within a ll other
governmental fund s, th e nega ti ve resid ual resources in excess of what can be properly classified as
nons penda ble, restricted. or committ ed.
T he C ity cons iders the re s tricted fund balances to have been s pent w he n an expenditure is inc urred for purposes
for wh ich both unres tricted and re stri c te d fund balance is ava ilable. W hen expe nditures a re in c urred for purposes
for which amounts in any of th e unrestricted fund ba lance class ific a tions could be used , it is t he policy of the City
to re duce th e committed amounts fir st. followed by a ss ig ne d amoun ts, a nd th e n un assig ned amounts .
Net Pos ition
The government-wide fi na nc ial s tatements utilize a ne t pos iti on pres e ntation. Net po s iti o n is categorized as net
inves tm e nt in capital assets, restricte d and unres tri cted. When both re stri c ted and unrestri c ted reso urces are
available for us, it is the governme nt's policy to use restricted resources firs t, the unres tricted reso urce s as they a re
needed.
• et in ve s tme nt in capital assets -Th is category g roups all capita l assets . including infrastructure. into one
component of net pos iti on. Accumula ted d epreciat ion a nd the outstand ing balances of debt th a t are
attributable to th e acquis ition, constru c tion or improvement of these assets reduce th e bala nce of thi s
category.
• Restri c ted net pos ition -Thi s categ ory presents ex te rn a l rest nct1 o ns imposed by cred ito rs, g r a ntors,
contributors, la w s or r egul at ions of other government s and re s tri c ti ons imposed by law throug h
cons titutio n a l prov is ions or enabling legis lat ion.
• U nres tri c ted ne t pos iti on -Thi s category re prese nts the C ity's net po s it io n, w h ic h is no t re s tricted for a ny
project or other purpo se
Us e o f E tim ate
T he p reparat ion of fin a n c ia l s ta te ments in confor m ity with gene ra ll y accepted accounti ng princ iples requires
management to make est imates and ass umptions th a t affect th e reported amounts of assets and li abilities and
d isc lo s ure of contingent assets and li abi lities at the d ate of the financia l s ta tement s . a nd the re ported amounts o f
revenues and expenses, during the r eport ing period . Actua l res ult s could differ from those estimates.
34
C ITY OF TEMPLE C ITY, CA LIFORNIA
Not e to Financial t atem e nt
Year E nded Jun e 30, 20 J6
N OTE I -S UMMA R Y OF S I G !FICA T ACCOUNT/ G POLICIES (CO TI U ED)
t a t e me nt of Ca h F lo ws
For purposes of the sta temen t of cash fl ows, cash e qui va lents are d e fin ed a s in ves tm e nts w ith o ri gi nal maturit ies
of 90 days or less, wh ic h are re adi ly convertib le to known a mounts of cas h and are not s ubj ect to significant
changes in va lue from interest rate fluctuations.
Pronouncement Adop ted in th e C urre nt Yea r
GAS B Statement No. 72 -In Februar y 20 15, GAS B iss ue d s ta te ment No. 72, Fair Valu e Meas urem ent and
Application. The primary objecti ve of thi s s tatement is to define fair val ue a nd describe how fair value s hould be
meas ured, define what assets and li abilities s ho uld be meas ured at fair value. and determ in e what information
about fair value s hou ld be d isc losed in the no tes to th e financ ial s tatements. The pronounceme nt was
impl e me nted effect ive Ju ly 1, 20 15.
GA B tatement o . 73 -In June 2 015, GA B iss ued Statement o . 73, A cco unting and Financial Reporting for
P ensions and Related Assets that are Not within the Scope of GASB Statement No. 68, and Amendments to
Certain Provisions of GASB Statements No . 67 and No. 6 . T h e objective of thi s s tatement establishes
req uireme nts for those pensions and pens io n plans that a re not adm in istered through a trus t meeting specified
c rit e r ia. T h e C ity has d e termined tha t th e requirements of thi s s tatement effective in the c urrent year do not have
a material impact o n th e finan c ia l s tatements . M a nagement h as not d e term ined the effect for the provisions that
are effective for periods beginning after June 15, 20 16 o r the 2016-20 17 fi scal year.
GASB Statement o. 76 -In J une 2015, GA B issued tatement o . 76, The Hierarchy of Generally Accepted
Accounting Principles fo r State and Local Governm ents. The objecti ve of thi s s tatement is to reduce the GAA P
hierarc hy to two categori es of auth o ri tat ive GAA P from four categor ies und er GA B Statement No. 55. T he
pronouncement was implemented effective July I , 20 15. This s tate ment did not have a mate rial impact on th e
financ ial s tatements.
GAS B Statement No. 79 -In December 2 0 15, GASB iss ued ta tement No. 79, Certain External Inves tm e nt
Pools a nd Pool Partic ipants. The Statement addresses account ing and fin a ncial reporting for certain exte rn a l
inves tm en t pools and poo l participa nt s. The C ity has deter mined that th e requirements o f thi s statement effective
in the current year do not have a material impact on the financial statements .
GAS B S tatement No. 82 -In March 20 16 , GAS B issued tatement No. 82, Pension Issues -An Amendment of
GASB State ments No. 67, No. 68, and No. 73 . The objective of the S tatement is to add ress certain iss ues th a t have
been rai sed with res pect to Statements o. 67, Financ ial Reporting for Pension Plans, No. 68. Accounting and
Financial Reporting for Pe ns ions. and o. 73, Accounting and Financial Reporting for Pe nsions and Related
Assets That Are ot within th e Scope of GASB Statement 68, and Amendmems to Certain Provisions of GASB
S ta tem ents 67 and 68. Speci fically , th e Statement addresses issues regarding (I ) the presentation o f payrol l-
re late d measu res in req uired s up plementary info rm a ti o n, (2) th e se lectio n of assumption s and the treatmen t of
deviations from th e g ui d a nce in an A c tu arial tandard of Practice for financ ial reporting purposes, and (3) th e
classification of payments m ade by employers to sati sfy employee (pla n member) contribution requirements . The
tatement is effective fo r th e reporting periods beginning after June 15, 20 16, or the 2016-2017 fiscal year, except
for the requ irements of paragraph 7 in a circums ta nce in w hi c h an employer's pension l iability is measured as of a
d a te other than the employer 's m ost recent fi scal year e nd. In t ha t c ircums ta nce, the re quirements of paragraph 7
a re effective for th a t e mployer on or after June 15, 20 17 or the 2 0 17 -20 18 fi scal year. The C ity has early
imp lemented thi s pronouncement, with the excepti on of the requirements of paragraph 7, effective J uly I , 20 15.
Management has not determi n ed th e effect for th e provis ions of paragraph 7 that are effective for periods
beginning after June 15, 2 0 17 or the 20 17 -2018 fi scal year.
35
C ITY OF TEMPLE C ITY, CA LIFORNIA
Notes to Financial tatements
Year E nd ed June 30,2016
OTE 1 -S UMMA R Y OF S I GN/FICA T ACCOUNT! G POLICI ES (CO TJ NUED)
Pro n o unce m e nt E ffective in Future Year
G A S B S tatement No. 74 -In J une 20 15, GAS B iss ued ta te m en t No. 74, Finan c ial Repo rting for
Poste mploym ent Benefit Plans Other Than Pension Plans. The o bjective of the Statement is to address the
financial reports of defined benefit OPEB plans th at are administered throug h trusts that meet s pecified criteria.
The tatement requires more extensive note disclos ures and R I related to the meas urement of the OPEB
liabil iti es for which assets have been accumu lated. The tatement is effective for periods beginning after June 15,
20 16, o r the 20 16-20 17 fi sca l year. The C it y has no t determined th e e ffe c t of th e statemen t.
GA B tatement o. 75 -In June 2015, GA B issued Statement o. 75, Accounting and Financial Reporting for
Pos temploym ent Benefits Other than Pe nsio ns. The objective of the tatement is to replace th e re quirements of
GAS B Statement No. 45. In a d d ition. the State me nt requires governments to report a li ab ili ty on the face of t he
fin a nc ia l statement s for the OP E B provided a nd requ ires governments t o p re se nt more ex te ns ive note di sclos ures
an d required s upplementary information about their OPEB liab ilities. T he tatement is effective for the periods
beginn ing June 15. 20 17, or th e 2017-2018 fisca l year. The City has not determined the effect of the s tatement.
GASB Statement No. 77 -In Augus t 20 15, GASB issued tatement No 77, Tax Abatement Disclosures. The
S ta te me nt r eq uires sta te a nd local governme nt s to d isc lo se information about tax abatem e nt agreem ents . The
Statement is e ffect ive for th e peri ods beginn in g a ft er December 15, 20 15, or th e 20 16-20 17 fi sca l year. The C ity
has not determined the effect of th a t s tatement.
GASB tatement o. 7 8 -In December 20 15, GASB iss ued tatement No. 78, Pensions Provided thro ug h
Certain Multiple-Employer Defined Benefit Pens io n Plan s. The Sta te m e nt amends the sco pe and applicability of
GAS B Statement No. 68 to exclud e certa in ty pes o f cos t-sharing multip le e mp loyer p la ns . T he State ment is
effecti ve for the periods beginning after December 15. 2 015. or th e 2016-20 17 fi scal year. The City has not
determined the effect of the s tatement.
GASB S tatem e nt No. 80 -In J a nu ary 20 16 , GASB issued tatement No. 80 , Blendin g Require me nts for Certain
Component Units -An Amendment of GASB Stat eme nt No. I./. The objectiv e of the S tatement is to improve
financia l reporting by c larifying the financial s ta tement presentation requirements for certain component units.
This tatement amends the b lending requiremen ts establ ished in paragraph 53 of tatement o. 14. Th e Financial
Rep or ting Entity, as amended. The additional c r iterion requires b le nding of a component unit incorporated as a
no t-for-p ro fit co rp o ration in w hi c h the primary government is th e so le corporate m ember. The Statement is
e ffecti ve for th e reporting peri ods beginning after June 15, 2 016, o r th e 20 16-2017 fiscal year. T he C ity has no t
determined the effect of the statement.
GA B tateme nt o. 81 -In March 20 16, GASB issued tatement o. 81. Irre vocable Split-Interes t
Agreeme nts. The objective of the tatement is to im prove fi nanc ial report in g for irrevocable s plit-interest
agreeme nts by provid in g recog niti o n an d m eas ure m e nt g uid a nce for s ituati o ns in w h ich a government is a
bene fi ciary of the a g reement. T he tatement requires that a government th at receives res ources pursuant to a n
irrevocable split-interest agreement recognize assets, liabilities . and deferred infl ows of re sources at the inc eption
of the agreement. Furth ermore, the tatement requ ires that a government recognize assets representing its
bene fi c ia l interests in irrevocab le s p l it-interest agreements th a t a re admin is tered by a th ird party, if the
gove rnme nt con tro ls the presen t s e r v ice capac it y of the bene fi c ia l inte re s ts . T he S ta te m en t requir es that a
government recog nize revenue when the res ources become appli cable to t he re porting period. The tatement is
effective for the reporti ng periods beg inning after December 15, 2 016, o r the 20 17-20 18 fi scal year. The City has
n o t d e termined the effect of the s tatement.
36
C ITY OF TEMPLE C ITY, CA LIFORNIA
Note to Financial tatements
Year Ended June 30,2016
N OTE 2 -STEWA RDHIP, COMPLIANCE AND ACCOUN TABILITY
Deficit Fund Balances and Net Pos ition
Fu nds th at have a de fi c it f und bal a nce at Jun e 3 0 , 2 0 16, are as fo ll ows:
Fund
Maj or Fund s:
Bi cyc le Transportation Accounl Fund
o n-m ajor Gove mrnenta l Fund s:
tale Gas Tax Fund
$
De fi cil Fun d
Balance
(197,244)
( 16 2,80 I)
The Bi cycle Transportati on Account Fund and th e State Gas Tax Fund deficit s w ill be e li m inated when th e
in te rgovernm en tal rece ivab le s are coll ect ed in future period s .
Excess of Ex p e nditures Ove r Appropriations
Expe nditu res for the year ended June 30, 2 016, exceeded appropriat io ns in th e following fund s:
Fu nd Fin a l Budget Ex eend itur es Excess
Major Fund s:
Ge neral Fund :
Purchasi ng $ 307,900 $ 33 1,578 $ 23,678
Bui lding 9 45,860 I ,067,078 121 ,2 18
Tra ns fers Out 458,530 603,578 145 ,048
on-majo r Funds :
Ca me li a Pe rm anen t Fund 2.960 2,960
Cit ize ns Option for Publi c Safe ty (COP
Tran s fers Out 100,000 120,000 20,000
Use d Oi l
Tra ns fer s Out 6,190 15,273 9,083
State Gas Tax
Spec ial Revenue Fund 987,730 1.0 16,93 1 29,20 1
Tran s fer s Out 750,150 1.077,53 1 327,38 1
1992/ 19 96 Park Bo nd
Tran sfer s Out 14 ,500 24,943 10 ,44 3
Li ghtin g and Land sca pe Di stri ct
Specia l Revenue Fu nd I ,203,535 I ,232,3 88 28 .853
N OTE 3 -CASH A DINVESTME TS
Cas h a nd in ves tments at Jun e 3 0 ,20 16 a re c lass ifi ed in th e acco mpa ny in g fin a nc ia l s tate me nt s as fo ll ows:
State ment of et Pos ition :
Cas h and in estme nt s
Fiduci ary Fund :
Cash and in ves tment s
Cas h with fiscal age nt
Total Cas h and Inves tments
37
$ 24,957,987
I ,488,8 10
174
$ 2 6 ,446,9 7 1
C ITY OF TEM PLE C ITY, CA LIFORN IA
Notes to Fin a n c ia l S t a t e m e nts
Yea r E nd ed June 30,2016
N OTE 3 -CASH AND I NVESTMENTS (CONTI NUED)
Cash and investments as of J un e 30, 20 16 cons is t of th e followin g:
Cash on hand
D e posits wi th fin anc ia l in s titu t ions
lnvestments
Total Cash and Investme nts
$ 2,100
2,523,101
23,92 1,770
$ 26.446,971
J nvestm ents A uth orized by th e Ca liforni a Governm en t Code a nd the C ity's In vestme nt Po li cy
T h e accompanying table be lo w identifies th e investment types that a re a uthorized for the City by the Californi a
Governme nt Code (or the C ity 's in vestment policy, w he re more restric t ive). T he table a lso identifies certain
provi s io ns of t he Cali fo rnia Government Code (or th e C ity's investment po li cy, w he re mo re restric ti ve) tha t
address inte rest rate r isk, c r ed it ri s k, and co nc e ntrati on of credit ri s k . Thi s table does not a ddress in vestments o f
debt proceeds he ld by the bond trustee that a re g overned by the provis ions of debt agreements of the City, rat h e r
t ha n th e genera l prov is ions of the Cali fornia Gove rnme nt Code or th e C ity's in vestme nt policy.
Authorized M ax im um Max imum
In vestment T y pes by C ity's Max imum Pe rcentage In vestme nt
Authorized b~ State Law P o li c ~ M a turi!X of Portfol io ln One I ss ue r
Local A gency B onds No 5 years None one
U.S . Treasury Obligations Y es 5 years No ne o ne
U.S. A gen cy S ecurit ies Yes 5 years None No ne
State of California Obli gation No 5 years None one
Local A gency Obligati o n No 5 years one one
B a nke r's Accepta nces* No 180 days 40% 30%
Comme rc ia l Paper** No 270 days 25% 10%
Cert i fic ates of Depos it Yes 5 years 3 0 % None
Re purc hase Agreem e nts No I year None No ne
Reverse Re purchase Agreem e nt s*** No 92 days 20% of base va lue o ne
Medium-Term Notes Yes 5 years 30% one
Mutual Funds**** No N /A 20% 10%
Money Marke t Mutual Funds Yes N /A 20% None
Coll aterali zed Bank De posits Yes 5 years None None
Mortgage Pass-T hroug h Securiti es No 5 years 2 0 % one
County Pooled Investme nt Funds Yes N /A o ne one
Local A gency Investme nt Fund (LAIF) Y es N /A None o ne
* No more th an 30% of s urplu s fund s may be in vested in Banke rs Accep tances of any one comm erc ial bank.
**
***
****
Commercial paper issuers mu st be U.S. Corpo rati ons with $500 million plu s in assets. Pu rc hases may not re prese nt
more th an I 0% o f o ut standin g pa per of a n iss uing co rp orati on.
Re ve rse Re purchase Ag re ement s mu st be mad e w ith pr im ary dea lers of th e Fed eral Reserve Bank o f ew Yo rk and
th e sec uriti es used for th e ag reemen ts mu st have bee n he ld by th e issue r for at least 30 days.
o mo re than 10% o f an agency·s sur plu s fu nd s may be in ves ted in any o ne mutual fund .
3 8
C ITY OF T EM PLE C ITY, CALIFO R NIA
No t es to Fin a ncial Statements
Yea r E nd ed Jun e 30,2016
NOTE 3 -CA SH AND I NVESTMEN TS (CONTI NUED)
Di s cl os ures R e la tin g to Inte r es t R ate Ri s k
Interes t rate ri s k is t he risk th at cha ng e s in m a rk e t in terest ra te s w ill advers e ly affect the fai r value of a n
inves tm e nt. G e ne ra ll y, th e lo nger th e m aturity of a n inves tment the gre ate r t he sens it ivity of its f a ir value to
c h a nge s in m a rket inte re s t rates. One o f th e ways that th e C ity m a nages it s ex p o s ure to in te re st ra te ri s k is by
purchas ing a combina ti o n of s ho rte r-te rm a nd lo nge r-term in ves tm e nt s a nd by timing cash flo ws fro m ma turi t ies
s o that a portion of th e portfoli o is maturing o r coming c los e to ma turi ty o ver time as ne cessary to prov id e th e
cash fl ow and liquidity needed for o pe ra ti o ns .
I nformation abo ut th e sens iti v ity o f th e fa ir values of th e C ity 's inves tm e nts , a nd th ose held by bond trus te es, to
mar ke t interest rate fluctua t ion s is prov ided by the foll owin g ta b le that s h ows the d is tribut ion of th e C ity's
inves tm ents by m aturity:
Re ma inin g Maturi ng (in Mont h s ~
12 Mo nth s or 12 to 60
Total Less Months
State Investment Pool (LA IF ) $ 1,786,726 $ 1,786,726 $
Los A nge les Cou nty Inves tme nt Pool 6 ,596,979 6 ,596,979
Me dium-Term Notes 1,52 1,6 13 503 ,580 1,01 8,033
Federal Agency S e curiti es 7 ,704,3 35 7 ,704,335
Certi fi cates of De pos it 6 ,299,22 1 2 01 ,66 1 6 ,097,5 6 0
Money M a rket Funds 12,896 12 ,896
$ 23,92 1,770 $ 9, I 0 I ,842 $ 14,8 19 ,928
The C ity can m ake withd rawal s fr o m LA I F on d e m and . As of June 3 0 , th e we ighted average m aturity of the
investments co nta in e d in th e LAlF in vestment poo l and th e Los Ang e les C ounty In ves tme nt P oo l is
approxi m atel y 8 months .
Di s clos ures Rela tin g to C r edi t Ri s k
G e ne ra ll y , credit ri sk is the ri sk th a t a n iss ue r of an inves tme nt will not fu l fi ll it s o bligation to th e ho ld e r of the
in ve s tm e nt. T hi s is meas ured by th e assignme nt o f a rating by a nationa ll y recog ni zed s tatis ti cal ra ting
o rgani zation. Presented be low is the minim um r ati ng re quire d b y (w here applicable) the Cali forni a G o ve rnment
Code, the C ity 's in ve s tment policy, or debt agreements, and the actu a l ra tin g, as reported by S t andard & Poor's , as
of year-end fo r each inves tme nt ty pe :
Mi nimum Rat i n~!! as of June 30, 20 16
Lega l Ot
Amo unt Rating AAAJAA+ AA-Rated
Sta te In ves tm ent Pool (LA IF ) $ 1.786 .726 lA $ $ $ 1.786.726
Lo s Angel es County Investme nt Poo l 6.596 .979 lA 6.596.979
Medium-Term otes 1.52 1.6 13 A 503.580 1.018 ,033
Federal Agency Secur it ies 7, 704 ,335 A 7, 70 4,335
Ce rt ifi cates of Depos it 6,299 ,2 2 1 NIA 6.299.221
Money Market Funds 12,896 lA 12.89 6
$ 23 ,92 1.770 $ 8.207 .915 $ 1,018,0 33 $ 14 .695,822
39
C I TY OF TEMPLE C ITY, CA LIFOR N IA
Notes to Financial Statements
Yea r Ended June 30,20 16
N OTE 3-CA SH AND I N VESTMEN TS (CON TINUED)
Concentratio n o f Cred it Risk
T he investme nt policy o f t he Ci ty cont ai ns no li mita ti o ns on th e a m o unt that can be in vested in any o ne issue r
beyond t hat s tipu lated by the Ca li forn ia Governme nt Code. A s o f June 30, 2016, t he in vestm ents in any o ne
issuer (other than U.S. Treas u ry Securities, m ut ua l fu nds, and externa l in vestment pools ) tha t represent 5 percent
or m ore o f the City's to tal investments are as fo ll ows :
Iss uer
Federal Home Loan Mort gage Corporation
Federa l Home Loan Bank
Custodi a l Cred it Ri s k
Inves tment Type
Federal Agen cy ecu nues
Federal Agency ecurit ies
Amount
$ 4.70 1.9 14
1.500,3 80
Percent of
Portfolio
20%
6%
Custod ial c red it risk for deposits is t he ri s k t ha t, in th e event of th e fa ilure of a depos itory fin ancial institutio n, a
governm ent w ill not be a bl e to recover its deposi ts or w ill not be able to recover collateral secu ri ties that are in the
possessio n of an o utside pa rty . The cus tod ial c red it ri sk for investments is the risk that: in th e event of the fa ilu re
of th e cou nte rp arty (e .g., bro ke r-deale r) to a tra nsacti o n, a govern m e nt w ill not be able to recover the val ue of its
investm en t or co ll atera l sec uriti es that a re in th e possessio n o f an o th e r pa rty. T he Californi a Government Code
a nd the City's inveshne nt po li cy do no t con ta in legal o r po li cy req uire m e nt s t hat would limit the exposure to
c us tod ia l credit r is k fo r deposits or inves tments, o t her than the fo ll ow in g p rovision for depos its: The Cali forni a
Govern ment Code req ui res t hat a financ ial i ns t itu tio n secure deposi ts m a d e by s tate or loca l governmental un its by
ple dg ing securities in a n undi v ided collater a l p oo l he ld by a deposito ry regulated unde r sta te law (un less so
waive d by th e governm e nta l uni t). T h e m a rke t va lu e of the p le d ged securities in the co ll a te ra l pool mus t e q ua l a t
least I I 0 percent of the tota l amount depos ite d by the publi c agenc ie s . Californi a law a lso a ll ows financia l
ins titutio ns to secure C ity depos its by pledg ing fir s t tru s t deed mortgage notes having a value of 150 percent of the
secu red publ ic depos its.
F or inv estments id e ntifi e d he re in a s he ld by fi scal agent , the fisca l agent se lects t he in vestm e nt under th e te rms o f
th e a pp licable tru st agree me nt , acq u ires the in ves tm ent, a nd holds th e in ves t ment o n be ha lf of the re porting
government.
40
C ITY OF TEMPLE C ITY, CALIFOR N IA
Note t o Financial S t a t e ment
Yea r E nded June 30,2016
N OTE 3 -CASH AND JNVESTME TS (CON TINUED)
Fair Va lu e C lassifi cation s
Fai r va lu e measu rement s are ca tego ri ze d ba sed o n th e valuat ion inp uts us ed to meas ure fa ir va lue : Level 1 inpu ts
are quoted prices in acti ve ma rk ets fo r id e nti ca l asse t assets ; Le ve l 2 inp ut s a re s ignifica nt othe r obse rva bl e
input s; Lev e l 3 inputs are s ignifi ca nt un observab le input s . In ves tm ents ca tegori zed as Le ve l 2 are valued us in g
th e mark e t approach a nd quoted market prices .
Inves tm en ts ' fa ir va lue meas ure ments are as fo ll ows as of Jun e 30,20 16:
lm estment Ty pe
ln \estm ents:
Medium -Term ote s
Federal Agency ecuriti es
Ce rti li cates of Deposit
T otal Le,eled lm estm e nts
Inve s tm en ts:
Lo s Ange les o unt y In ves tm ent Pool
ta te Inves tm ent Pool (LA IF)
on-negotiable Cert ifi ca te s o f Depos it
Mone y Market Funds
T ota llmestment Port foli o
Fair Value
1,52 1.613
7,704.335
6,139.22 1
15,365.169
1,786.726
6 ,596.979
160.000
12.896
$ 23,92 1.770
Leve l I Le\el 2 LC\CI 3
$ 1.521.6 13
7.704.335
6.139.22 1
15.365.169
Inv estments in LA l F, LA C PlF, a nd mo ney market fund s are un catego r ize d as deposit s and withdrawal s a re made
on the ba s is of$ l and not fair va lu e.
lo ve tm e nt in t ate In vestm e nt Pool
The C ity is a volunta ry parti c ipant in th e Local Agency Inv es tm e nt Fund (LAIF) th a t is re gu la ted by the
Californ ia Gove rnment Co de und e r the ove rsig ht of th e Treas urer o f the State of Ca lifornia. T he fair val ue of th e
C ity's in ves tm ent in thi s pool is report ed in th e accompany in g finan c ia l s tatements at amo unt s based upon the
C ity's pr o-ra ta s hare of the fa ir va lu e pro vid ed by LAlF for th e e ntire LAIF portfolio (i n re la ti on to th e amor ti ze d
cos t o f that portfolio). The ba la nce avai lab le for w ithdrawa l is based on th e accounting reco rd s ma intained by
LA l F, whi c h are re co rd ed on an a morti ze d cos t bas is .
In vestment in Coun ty In ves tm e nt Pool
The Los An ge les Co un ty Pool ed Inves tm en t Fu nd (LA C P l F) is a poo led in vestm ent fund pro gram govern ed by
th e Los Angele s County Board of Superv isors and adm ini s tered by the Los Ange le s County T reasure r and Tax
Co ll ec tor. In ves tm ents in th e LACPlF are hi g h ly l iquid, as depos its and w ithdrawa ls ca n be made at a ny tim e
without pena lt y. The LACP IF does not impose any maximum in vestm ent limit. T he fair va lue of th e C ity's
in vestm ent in th is pool is reported in the acco mp a nyin g financial statements at amoun ts based upon the C ity 's
prorated share of the fa ir valu e pr ov id ed by th e LACPIF for the en tire LA CP lF portfo li o (in relation to the
amort ize d cost of that portfolio). The ba lance ava il a bl e for wi thdrawal is based on the accou ntin g record s
maintain ed by th e LA C PI F, whic h are recorded on an amortized co st ba s is .
4 1
C JTY OF TEMPLE C ITY, CA LIFORNIA
Not es to Financia l S t a tements
Year Ended Jun e 30,2016
N OTE 4 -I TERFU D ACTI VITY
The foll owing represents the interfund activity of the City for th e year ended June 30, 2016:
Due F r omffo Other F unds:
Du e from (receivable fund )
General Fund
Genera l Fund
Due to (payable fund)
Bicycle Trans portation Account Fund
o n-major Governmental Funds
Amount
$ 509.208
696,902
$ 1,206.110
The Genera l Fund Receivab le from th e Bi cycle Trans portation Account (BTA ) fund of $509,208 represent s
monies advanced to the BTA fund for th e Bicycle Master Pl an Impl e mentation project. The amou nt w ill be pa id
back to the General Fund o nce funding is received fr om Caltrans. Add it io na ll y, the G e neral Fund receivable from
non-m aj or governme nta l fund s represents th e e li min a ti on of negati ve cash ba lances in th e fu nd s .
T r a n s fers T o /From Other Fund
Trans fe r In
Gene ra l F und
Capita l Im provement Fund
Non m ajor Governmental F u nds
T otal
Transfers Out
Non m aj or Governm e nta l Funds
General Fund
Bicycle Transportation Account Fund
o nmaj o r Governmental Funds
Genera l Fund
$
$
Am o unt
399,4 32
65,790
197 ,244
I ,221 ,855
537,788
2 ,422,109
Transfers to/from o ther f und s are based on the budge t fundin g s ources that the City Council approved. The City
trans fers moni es from vari o us fund s to its C ity-wide Capital Imp rovement Fund and th e Gene ral Fund for th e
payme nt of cert ain cap ita l projects s uch as th e R osemead Boul evard Safety E nha ncements and Beautificati o n
Project. The Genera l F und a lso re im burs e d Gas T ax Fund e x penditure relat e d to the Admin is trat ion &
Eng ineering Prog ram.
N OTE 5 -AMOU TS OWED FROM SUCCESSOR AGE CY
Adva n ces t o u ccessor Agen cy
In 1998 , the City's Genera l Fund made a loan to th e former Redevelopme nt A gency of th e City. The loan
inclu ded both new funding and the amendment and res tatement of previous loan s fr om the City to the former
Redevelopment Agency. The tota l principal a mount owed to th e City was $1,466,980. In June 20 II. A ssembly
Bi ll 26 (I st ex traordin a ry sess io n) di ssolved th e fo rme r Agency, effecti ve February I , 2 01 2 . O n April 26, 20 13,
the Department of Finance a ll owed the loan to be placed on th e Recogni zed Ob li gation Payment chedu le
(ROPS) of th e uccessor Agency to th e fo rmer Redevelopment Age ncy as a n enforceable o b li gation. However,
loan repayme nt depend s o n the ava il abi li ty of excess prope rt y tax in c reme nt. Beca use of the uncertainty as to
w hen the former Re developm ent A ge n cy wi ll have excess property tax di s tributio n to pay for th e loan, th e fu ll
amount of the lo a n of $3,703,805 in c lud in g $2,236,825 o f accru e d interest ha s been re served as potenti ally
unco ll ectibl e as of June 30, 20 16 in the financ ial s ta tements.
42
C ITY OF TEMPLE C ITY, CA L I FOR N IA
Notes t o Financial S t atem e nts
Year E nde d Jun e 30,2016
NOTE 5 -AMOU TS OWED F R OM SUCCESSOR AGE CY (CONTINUED)
Due fro m S u cce o r Agency
In 20 15, th e C it y's General F un d s uppo rted the re deve lopment acti vit ies of the former Redeve lopment Ag ency in
th e a mount of$1,224 ,2 93. The C ity received a paym e nt of$600,000 from th e uccessor Agency durin g the fisca l
year. A s of June 30, 2016, the amount owed to th e Ci ty is $624.293.
NOTE 6 -LOANS R ECEI VA BL E
Lo a ns receivable cons is t of th e followin g a t June 30. 20 16:
Descripti o n
Gene ra l Fund :
Low and Moderate I ncom e Ho u s in g
Temp le City C hambe r of Commerce
Community Developmen t Bl ock G rant:
H o me Im provement Loans
T otal
Amount
$ 56,775 (A)
3.600 (B )
60,375
I 093 ,3 10 (C)
$ I , 153,685
(A) During th e 2008-09 fi scal year, the Ci ty iss ued three ho us ing loa ns in the amount of$56,775. These loans are
z ero inte rest loans a nd can be deferr e d unti l th e secure d property is sold or c han ges title.
(B) On April 4, 1995 , th e C ity iss ued a loa n to the Te mpl e C it y C ha mbe r of Commerce in th e amount of $13,600
w ith a n annual payment amount of$500.
(C) The Ci ty uses Communi ty Develo pme nt Bloc k Grant fund s to issue loans to low a nd moderate income
ho meowne rs for repairs of building and zo ning code v iolations. These loans a re low inte rest loan s and can be
defe rre d until th e secured property is sold or c hanges titl e. T he max im um amount of each loan is $25,000 .
4 3
C ITY OF TEMPLE C ITY, CALIFOR N IA
Note to Financia l Statements
Year Ended June 30,2016
NOTE 7-CA PITAL ASSETS
Capita l asset governmental acti vity for the fiscal year ended June 30, 20 16 was as follows :
Ba lance
Governmental Activities: Jul;r I. 20 15 Additions Deletions
Cap ita l assets no t being depreciated:
Land $ 3,309.3 76 $ $
Land improvements 1,839,413
Cons truct ion in progress 22.889.688 298.066
Infrastructure:
Land rights relating to streets 8.465.941
1 otal 36.504.418 298.066
Capital assets being depreciated:
Buildings 8.816.220
Improvements 5.496.687 37.327
Furniture. fr-1ures and equipment 892.325 92.794
Vehicle s 1.284.045
lnfrastrucrure:
Streets 11 ,940.360 I, 147.289
Traffic signals 1.190,3 94
Brid ges 958.003
T otal 30.578.034 1.2 77.4 10
Less accumulated depreciation for:
Buildings 2.26 1.587 204.748
Improvements 2,249,802 137,417
F urn iture. fixtures and equipment 788.467 60.765
Vehicles 1.11 5.292 24.462
In frastructure :
S treets 6.374.8 10 160.503
Traf1ic signals 1.167.594 10 ,574
Bridges 958.003
TotaJ 14 ,9 15,555 598,469
Capital assets being depreciated. net 15.662.479 678.941
Capital Assets, e t $ 52,166,897 $ 977,007 $
Dep rec iatio n expense is c harged to operatio ns, as fo ll ows:
General govern ment $ 158,847
Community deve lo pment 15,625
Pu bl ic sa fety 2 12 ,081
Public works 19 ,262
Community serv ices 192 654
Total Depreciation Expense-Governmental Activities $ 598,469
44
Ba lance
June 30, 20 16
3.309,376
1.839.413
23.187.754
8.465.941
36.802.484
8,8 16.220
5.534.0 14
985.11 9
1,284,045
13.087.649
1,190,394
958.003
3 1.855.444
2.466.335
2.387,2 19
849.232
1,139. 75 4
6.535.313
1.1 78.168
958.003
15.514.024
16.341.420
$ 53,143,904
C ITY OF TEMPLE C ITY, CAL IFORNIA
No t es to Financial Statements
Year Ended June 30,2016
N OTE 8 -LONG-TERM LIABILITIES
The followin g is a s ummary of changes in th e City 's long-term li abi lities for the year ended Jun e 30 , 2016:
Bal a nce a t Bal a nce Du e Withi n
Jui ,Y 11 2015 Addit io ns Reducti o ns J une 30, 20 16 One Year
et OPES obli ga tion $ 3,136,066 $ 668,000 $ (162,734) $ 3,64 1,332 $
Compen sated absences 207,402 28,043 {8 ,9 62} 226,483 22,648
Tota l $ 313431468 $ 6961043 $ ~171 ,696l $ 318671 8 15 $ 22:648
Fo r the other po s templo yme nt bene fit s a nd co mp en sa ted abse nces, the genera l fund has been used to li q uid ate
s uch amo unt s.
N OTE 9 -DEFINED BENEFIT PENSIO N PLAN
Plan D escription -A ll qua li fi ed permanent and probati onary employees are eligible to part ic ipate in the City's
Mi sce ll a neou s Emplo yee Pen s ion Plan , cost-s harin g multipl e emp loye r de fin ed benefit pens ion plan admini stered
by the California Publi c Empl oyee s' Reti rement Sys te m (Cai PERS). Benefit provis io ns under th e Plan a re
es tabli s hed by tate statute and th e C ity's re so luti on. Ca iPERS issues pu bli c ly ava il a bl e reports th at include a full
descripti on of th e pen s io n plan regarding benefit provi s ions, a ss ump ti ons a nd members hip information that can be
found on the CaiPER webs it e.
Class ic parti cipan ts (de fined as e li gible parti Cipa nt s pri o r to Jan uar y I, 20 13) a re required to co ntribute
8 percent o f their ann ua l covered sa lary. New or Publi c Emp loyees' Pen s ion Reform Ac t of 20 13 (PEPRA )
partic ip ants (de fi ned as e lig ible employees broug ht into Ca iPERS memb ers hip for the fi rs t time on or afte r
Jan ua ry I , 20 13) co ntribute at le ast half th e no rmal cost rate as de termi ned by Ca l PER . Th e City con tr ibutes the
rema in in g amo unt s necessary to fu nd th e ben e fit s for it s emp loyees, us in g th e actua rial bas is adop ted by the
Cai PERS Board of Administration.
Benefits Provided-Ca iP ERS provides service retirement and di sability benefit s, a nnu al cost of living adjustments
and death benefit s to Plan members, who must be public em pl oyees and benefici ar ies. Be nefits are based on yea rs
of credit ed service, equa l to on e year of full tim e employme nt. Membe rs w ith five years of total serv ice are
elig ible to ret ir e at age 50 w ith statutor il y red uced bene fit s. All members a re e li g ibl e for non-du ty di sab ili ty
benefit s after I 0 years of se rvice. Th e death benefit is one o f th e fo ll owing: the Bas ic Death Benefit, th e 1957
Survivor Bene fit , or the Optional ettlement 2 W D eath Be ne fit. Th e cost of li vin g a djus tme nt s for each pla n a re
app li ed as s pecified by th e California Public Employees· Retirement Law.
45
C ITY OF TEMPL E C ITY, C AL I FOR NIA
No tes to Financia l t a tements
Year E nded June 30,2016
N OTE 9 -DEFI E D BEN EFIT PE S ION PLA N (CON TI UE D)
The Plans' provisions a nd be ne fit s in effect at June 30, 20 16 are s ummarized as follows:
Hire Da te
Be ne fi t formula
Benefit ves ting schedule
Benefit pay ments
Re tirem e nt age
Month ly benefits, as a% of e lig ibl e compensati o n
Required employee contributi o n rates
R equired e mployer con tr ibutio n rates
Miscell a neous Pla n
C lassic
Prior to
J a nuary I , 2013
2.5% @55
5 years o f se rv ice
month ly fo r life
50-55
2.0% to 2.7%
8 %
1 1.00%
P E PRA
On or after
January I , 20 13
2%@62
5 years o f service
month ly for life
52-67
1.0% to 2.5%
6.31 %
6.73%
Co ntributions -ecti on 20814( c) of th e Cali fo rni a Publi c Emplo) ees · Retirement Law requires that the employer
co ntr i bution rates for all publi c employers are determined o n an a nnual basis by the actu a ry and s hall be effect ive
on J u ly I 51 followin g not ice of a c ha nge in the rate. Funding contributions fo r the Pl a n are determ ined ann ua ll y o n
an actu arial bas is as o f Ju ne 30 by CalPERS. T he actu a riall y d e termi ned rate is the estimated amount necessary to
fin a nce the costs of benefits ea rn e d by e mp loyees during th e year, with a n add itio nal amount to fi na nce any
unfunde d acc ru ed li abi lity. The C ity is req u ired to contribute th e d ifferen ce between the actu arially determined
rate and the contri buti o n rate of employees. Contributions to th e pension plan were $556,380 for th e year ended
J u ne 3 0, 2016.
Pen sion Liabilities, Pens ion Expenses and Deferred Outflows/Inflows of R eso u rces R elated to Pens ions -As of
June 3 0 ,20 16, the City reported a ne t pension li a b il it y for it s proporti o nate s hare ofthe net pens ion li ability ofthe
Mi sce ll a neous Plan in th e a mount of$5,505.224.
T he C it y's net pe ns ion liability for th e P lan was me as ured as th e proporti onate s hare of the ne t pens ion liabi lit y of
th e co ll ecti ve cost-sha rin g p la n . The C ity's ne t pe ns io n liab i lit y was meas ured as of J u ne 30, 20 15 a nd th e tota l
pen s ion li ab il ity used to calculate th e net pens io n li abili ty was determined by an actuaria l va lu a ti on as of June 30,
20 14, ro ll ed forward to June 30, 20 15 us ing sta ndard up date procedures . The City"s proport ion of the net pension
li ab ility was based on a projectio n of the Ci ty's lo ng-term share of contributions to the pens ion p lan relat ive to th e
proj ecte d contributions of a ll participating e mp loyers, actu aria ll y dete rmined. The C ity's proportionate s hare of
the ne t pens ion li abili ty for th e Plan as of June 30, 20 14 and 20 15 was as fol lows:
P roporti on -June 30, 20 14
P ro po rt ion-June 30, 20 15
C hange-In c rease (Decrease)
46
0.1648%
0.2007%
0.0359%
CITY OF TEMPLE C ITY, CALl FOR l A
No t es to Financial Statem e nts
Year E nd ed June 30,20 16
NOTE 9 -DEF/ ED BENEFIT P E S /0 PLAN (CO TJ UED)
For the year e nd ed June 30, 2016, th e C ity recogn ized pe ns ion ex pen se of $586,548. At June 30, 20 16, the C ity
reported d eferre d out fl ows of reso urces a nd d e ferred infl ows o f resource s related to pens io n from the following
so urces:
D e ferred Out fl ows Deferred Inflows
o f Resou rces of Resources
P e ns ion contri butions s ubsequen t to measurem e nt d ate $ 556,380 $
Differences between expected a nd actu a l experi e n ce 27,736
C hanges in a ssumptio ns 262,413
Changes in proportio n and difference be tween C ity's
contributio ns a nd proportion a te s ha re o f contributio ns 382,765 28,249
Net difference between projected a nd actua l earn in gs
o n pensio n p lan in vestm e nts 131,551
T o ta l $ 966,881 $ 422,2 13
The amount of $556.380 reported as deferred o utfl ows o f resources related to contributions subsequent to the
meas urement da te w ill be recog ni zed as a reduction of th e net pens io n liability in th e year e nd ed June 30, 20 17 .
Othe r amo unt s repo rted as defe rred out fl ows of res ources a nd deferred i nflows o f reso urces re lated to pens ions
w ill be recog ni zed as pens ion expense as follows :
Year Ended
June 30
2 017 $ 4 ,308
2018 7,446
20 19 9 ,422
2020 (322888}
$ ~1 1 ,7 12l
Actuarial As umplio n s -The to ta l pens ion liab iliti es in th e June 30, 2014 actuari al va luations was determ ined
using th e following actuarial ass umpti ons :
Valuatio n Da te
Measurem e nt Date
Actuarial Cost Me thod
Actuarial Assumptio ns
D isco unt Ra te
Inflatio n
Payro ll Gro wth
Projected a lary In c rease
Inves tment Rate o f Return
M o rtal ity
Mi s cellaneo us
J une 30,2014
June 30, 2015
E nt ry -Age N o rmal Cost Me thod
7.65%
2.75%
3%
Varies by Entry Age and ervice
7.5%(1)
Derived us in g CaiP E RS ' M e mbers hip Data fo r all Funds
(I) e 1 of pension plan inveslmcnl expenses, including in!lalion
A ll othe r ac tu aria l assumptions used in th e June 30, 20 14, va luation were based on th e re s ults o f an act ua ri a l
ex perie nce s tudy for th e pe riod from 1997 to 20 II , in c luding updates to salary increase, mortality and ret ir ement
rates . The Ex pe ri ence Study re port can be obtain ed a t CalP ER ' website.
47
--------------------------------------------------------------------------------------------------------------
CITY OF TEMPLE C I TY, CALI FORN IA
No t es to Fin a n c ia l S tatem ents
Yea r E nd e d J une 30,20 16
OTE 9 -DEFI ED BENEFIT PE S I ON PLAN (CO TINUED)
Discount R ate-The di sco unt rate used to measure th e to tal pens io n li ability was 7.65 percent. The projection of
cash fl ows used to determ in e the di scount rate assume d th at emp loyee contributions wi ll be m ade at the curren t
contribution rate and th a t the C ity's contributi ons w ill be made a t rates eq ual to the difference be tween actu ariall y
dete rmined contribut ions rates and th e employee rat e. Based on those assumptions, each pens ion plan's fiduciary
net pos iti on was projected to be available to make all projected fu tu re benefit payments of current act ive and
in active employees. There for e, the lon g-term ex pected rate of return o n pension plan investments was applied to
a ll periods of projected benefit payments to determine th e total pens ion li ability.
In determining th e long-term expected 7.65 percen t rate of return on pension plan investments, CaiPER took into
account both s hor t and lo ng-te rm m arket return ex pectations as well as the expected pension fund cash flows.
Based on th e ex p ected benefit pay me nt s of the Publi c Employees' Re tirement Fund, CalPE RS in di cated that a 19
year horizon was ideal in determining the level equ iva len t discount rate assumpt io n. Us in g hi s torical returns of
all the funds' asset classes, expected compound (geometric) returns were calculated over the short-term (firs t I 0
years) and th e long-term ( 1 1-60 years) usi ng a building-block appr oach. Using the expected nominal returns for
both s hort-term and lo ng-te rm, th e present valu e of benefits was calc ul ated for each fund. The expected rate of
return was then set equivale nt to the s in g le e qu ivalen t rate calculated above and rounded down to the nearest one
quarter o f o ne percent. T he target a ll ocat io n a nd bes t estimates of arithmetic real rates of return for each major
asset c lass a re the sa m e fo r th e Pl an. These geo metr ic ra tes of re turn are net of adm ini stra ti ve expenses and a re
s ummarized in the fo ll ow in g tabl e:
Glo bal Equity
G lo bal Fixed Income
Infla ti o n ensitive
Priva te Equ ity
Real Estate
Asset Class
Infrastructure and Forestland
Liquid ity
Total
{a) An expec1ed injlmion of2.5% usedfor lhis period
{b) An expec1ed injlalion of 3. 0% used for t his period
ew trategic
Allocatio n
5 1.0 %
19.0 %
6.0%
10.0%
10.0%
2.0%
2.0%
100.0 %
Real Return Real Return
Years I -10 {a} Years II + {b}
5 .25% 5.7 1%
0.99% 2 .43%
0.45% 3.36%
6.83% 6.95%
4.50% 5.13%
4.50% 5.09%
-55.0% -1 .05%
Cha nges of Assumptions -The di scount rate of 7.50 percent used for th e June 30. 201 4 measurement date was
n e t of a dmini s trative ex pe nses. T h e di scount rate of7.65 percent used for the June 30,20 15 meas urement date is
wi thout red uct ion of pens ion p la n admin istrative expense.
48
C ITY OF TEMPLE C ITY, CALLFOR l A
No t e to Fin a nci a l Statements
Year E nd ed June 30,2016
NO T E 9 -DEFI E D BENEFIT PE S IO PL AN (CO Tl UED)
Sen sitivity of th e Propo rtionate S hare of th e Net Pen sion Liabili~y to Changes in th e Discount Rate -T he
fol lowin g present s th e C ity's proportionate s ha re of th e net pe ns ion li ab ili ty , calculated us in g th e discount rate o f
7.65 pe rcent , as wel l as what the City's proporti ona te s ha re of th e ne t pension li abili ty would be if it were
calcu la ted us in g a discount ra te that is !-percentage point lower (6.65 percent), or !-percentage point hi g her (8.65
perce nt), than the current rate:
City's proportio nate share of th e net pen ion liab ility
Di scount Rate -I%
(6 .65%)
$ 8.988.993
Curre nt Dis co unt Rate
(7.65%)
5.505.224
Discount Rate +I%
(8.65%)
2.6.t 0,203
P en s ion Plan Fidu ciary Net P ositio,n -Detai led informa ti on about th e Plan's fiduciary net posi ti on is available in
the sepa r ately issued CalPERS financial reports .
OTE 10-L/ABILITY, PROPE RTY A D WO RKE RS' COMPE SA T/ON PROTEC TION
Des cription o f Self-In s ura nce Pool Pur u a nt to Joint Powers Agreemen t
The City is a member of the California Joint Powers In s urance Author ity ("CJPlA''). The CJPlA is composed of
11 6 California public e ntities a nd is organized under a joint powers agreement purs uant to Cali fornia Government
Code §6500 et seq. The p ur pose of the CJ PIA is to arrange a nd adm ini ster program s for th e pooling of self-
insured losses, to purchase excess ins urance or re in s ura nce, and to arrange for g ro up purchased in s urance fo r
property and other lines of coverage. The C JPIA 's poo l began covering c laims of it s members in 1978. Each
member government has an elected official as it s representati ve on the Board of Directors. The Board operates
through a 9-member Executive Committee.
S e lf-In s ura nce Prog rams of the C JPIA
Each member pays an a nnual contribution at th e beg inning of the coverage period. A retros pective adjus tment is
then conducted annually therea fter, for coverage years 2012-13 and prior. Retros pective adjustments are
schedul ed to conti nue indefin ite ly on coverage years 201 2 -13 and prior, until all claims in curred during those
coverage years are c los ed, on a pool-wid e bas is. T hi s subsequent cost re-a ll ocat ion among m e mbers, based o n
actu a l c la im developmen t, can result in adjus tm ents of eithe r refunds o r add it iona l depos it s required. Coverage
years 2013-14 and forward a re not s ubj ect to routine annual ret ro spective adjustment.
The tota l funding re quirement for self-ins urance programs is estimated us in g actuarial models and pre-funded
throug h th e annual contributi o n . Costs are a ll ocated to individ ual agencies based o n expos ure (pay ro ll ) and
experi e nce (claims) re la tive to o th er members of the ri s k-s haring pool. Add itional informati on regarding th e cost
al location methodology is provided below.
49
CITY OF TEMPLE CITY, CALIFORNIA
Notes to Financial Statements
Year Ended June 30,2016
N OTE 10-LIA BILITY, PROPERTY A D WORKERS' C OMPENSA TION PROTECTION (CONTINUED)
Liability
In the li ability program, c la im s are poo led separa te ly between poli ce a nd genera l govern ment exposure s. (I ) The
payro ll of each m em be r is eva lu a ted re lative t o th e payro ll o f othe r m e mbe rs. A vari ab le credib ility factor is
determin ed for each member, which estab li s hes th e weight applied to payroll and th e weight app li ed to los ses
within th e formu la. (2) The firs t layer of losses incl ud es incurred costs up to $30.000 fo r each occurrence and is
eva lu ated as a percentage of the pool 's total inc urred cos ts with in th e firs t layer. (3) The second layer of losses
inc l ud es in curred costs from $30,000 to $750,000 for each occurrence an d is evalu ated as a percentage of the
pool 's tota l in cu rred costs w ithi n th e second layer. (4) In c urred cos ts fr om $750,000 to $50 milli on are di s tributed
based on the outcome of cost a ll ocation within the fi rs t and second loss layers .
For 20 15-16 the CJPI A 's pooled retention is $2 milli on per occurre nce, with rein s urance to $20 m illion, and
excess in s urance to $50 mi lli on. The CJPJ A's reinsurance contracts are s ubj ect to th e f o llowing additi o na l pooled
re te nti ons: (a) $2.5 mi lli o n annua l agg rega te deductibl e in th e $3 milli o n x/s $2 million layer, (b) $3 m illi o n
rumua l aggregate deduct ib le in th e $5 million x/s $10 m illi on layer. T he re is a th ird annua l aggre gate deductib le
in the amount of $2.5 m illi on in the $5 million x/s $5 million layer, however it is fully covered under a separate
policy and therefore not retai ned by the CJ PI A.
The overa ll coverage li m it for each member inc lu din g all layers of coverage, is $50 million per occurrence. Costs
of covered cl a im s for subs id ence losses have a s ub-li mit of $30 mill ion per occurrence.
Workers' Compensation
In the workers' compensati o n program cla im s are poo led separately between publi c safety (police and fire) and
gen e ra l government exposures. (I) The pay roll of each member is evaluat ed re lative to the payroll of othe r
membe rs . A vru·iab le c red ibility factor is dete rm in ed for each membe r, which establi shes th e we ig ht appli ed to
payroll and the weight appli e d to losses within th e formu la. (2) The firs t layer of losses includes in curred costs up
to $50,000 for each occurre nce and is evaluated as a percentage of th e pool 's total in curred costs within the fir st
layer. (3) The second layer of losses includes incurred costs from $50,000 to $1 00,000 for each occurrence and is
eva lu a ted as a percentage of th e pool 's to ta l in curred costs wi thin the seco nd layer. (4) Incurred costs fro m
$I 00,000 to statutory limits a re d is tributed based on th e outcome of cost a ll ocation w ithin th e fi rs t an d second loss
layers.
Fo r 20 15-16 the CJPlA's pooled retention is $2 million per occurrence, with rein s urance to statutory limits und e r
Cali fornia Workers' Compe nsation L aw.
Employer's L iability losses are poo led among members to $2 million. Coverage from $2 milli on to $5 million is
purchased as part of a re in s urance policy, and Employer's L iabil ity losses from $5 million to $10 million are
pooled among members .
Purchas ed In s ura nce
Po ll ut ion Legal Liabi li ty Ins ur ance
The City participates in the pollution lega l li abi li ty ins urance program which is available throu gh the Authority.
The poli cy covers sudden a nd gradual poll uti on of scheduled prope rty , s treets, and storm drains owned by th e
C ity . Coverage is on a c la im s-m ade basis. There is a $50,000 ded uc tibl e . T he CJPI A has a li mit of$50 m illion
for the 3-year period from Jul y I, 2014 through Jul y I , 2017. Each member of t he C JPIA ha s a $10 million s ub-
limit d ur i ng the 3 -year term of the policy.
50
C ITY OF TEMPLE C ITY, CA LIFORN IA
No t es t o Financial S tate ments
Year E nd ed Jun e 30,2016
N OTE 10 -LIA BILITY, PROPERTY A D WO RKE RS ' COMPE SA T/ON PROTEC TJO (CO TINUED)
Property In s ura nce
The C ity participates in th e a ll -ri s k property protect ion prog ram of the CJ P IA . This insuranc e protect io n is
underwritten by seve ra l in s uran ce companies . The C ity property is c urrently in s ured according to a schedule of
covered property s ubmitted by th e Ci ty to th e CJP IA. The C ity p roperty c urrentl y has a ll-risk property insu rance
protection in th e amount o f $14,776 ,025. T he re is a $5,000 deductib le per occurrence except for non-emergency
veh icle insurance which has a $1 ,000 d eductible. Prem iums for the coverage are paid annua ll y and a re no t s ubject
to retrospective adjustments.
Ea rthquake and Flood Ins u rance
The C ity purchases earth q ua k e and n ood in s urance on a portion of it s property. The earthquake in s urance is part
of the p roperty protection in s urance program of th e C JPI A. The City pr operty cu rrently has earthquake protection
in th e amount of $10.268,22 1. T here is a deductibl e of 5 percen t per unit of va lue wi th a minimum deductible of
$100,000. Premiums for the coverage are paid annua ll y a nd are not s ubject to re trospective adjustments.
C rime Ins uran ce
The C ity purchases crime in s urance coverage in the amount of $1,000,000 with a $2,500 ded uctible. The fidelity
coverage is pro vided through the CJPIA. Pre miums a re paid annua ll y and a re not s ubject to retrospective
adj us tm ents .
Special Event Tena nt User Liabi li tv In s urance
The C ity furth e r protects again s t li abili ty damages by requiring tenant users of certain property to purc hase low-
cost tenant user li abi lity in s ura nce for certain act iv ities o n age ncy property. The in s urance premium is paid by the
tenant user and is paid to the City according to a schedule. The City then pays for th e in s urance. The in s urance is
arra nged by th e CJ P IA.
Adequacy o f Protection
During th e pas t three fi s cal years, none of the above progra m s of pro tecti on expe rienced settlements or judgments
that exceeded pooled or in s ured coverage. There were al so no s ignificant reductions in pooled or in s ured li abi lity
coverage in fi s cal year 20 15-1 6.
C JPIA pre miums fo r fi scal year 20 16 were $433,6 15. Since c lai m s a re pa id by th e CJ PI A a nd , in effect, c ha rged
b ack to th e C ity v ia futu re in s ura nce d e p os it s . no lon g -term li abili ty for claims has been re corded.
OTE II -OTHER POS TEMPL OYME T B ENEFIT PL A
Be n e fits Plan De cription
Employees who reti re fr o m the City are elig ible to receive health care benefits covering th emse lves and a ny
quali fi ed famil y members. The C ity pays 100 pe rce nt of the cost of th e medica l insurance p remiums of the retired
employees and one-ha lf of th e cost of the medical in s ur ance premi ums of their fa mil y membe rs . The City a lso
pays I 00 percent of t h e cost of d e nta l and v is ion in s urance prem iums of th e retired employees. Expenditures for
pos t-ret irement hea lth care bene fit s for fi scal year 2016 amounted to $162,734 which included 28 participants.
5 1
C ITY OF TEMPLE C ITY, CA LIFOR N I A
Notes t o Financial S t atem e nts
Year E nd e d Jun e 30,2016
NO TE 11 -OTHER POSTEMPLOYME T BENEFI T PLA (CON TINUED)
F undin g Polic
T he plan prov is io ns a nd co ntr i bution require m e nts of plan me mbe rs and the C it y a re esta bl is hed a nd may be
a mended by th e C it y Coun c il. T he contri bu ti o n re q uired to be made und er Ci ty Council requirements is based on
a pay-as-you-go basis (i.e., as premiums become due).
On September 4, 20 12, the City adopted Re solution o. 12-4845 authorizing participat io n i n the Public Agency
Reti reme nt e rv ices Post-R etire me nt l lea lth Care Pl an T r us t Prog ram and pre-funding of $1.0 million to the
Trus t.
A nnual OPEB Co t a nd Net OPEB Obligatio n
The C ity's a nnua l oth er pos te mployme nt be ne fit (OPEB) cost (ex pe nse) is calculated based o n the a nnual required
con trib uti o n (A RC) of th e e mp loyer. The ARC represents a leve l o f fundin g th a t, if paid o n a n ongoing bas is, is
projected to cover normal cost each year and a morti ze an) unfunded actuarial liabil iti es (or funding excess) over a
peri od not to exceed thirty years.
The fo ll owing table s hows th e compone nts of the City's annual OPEB cost for th e c urrent fi scal year, th e amou nt
contribute d to the pla n, a nd c ha nges in th e C ity's ne t OPEB o b li gati o n:
Annual requ ired comributio n
Interes t o n net OPEB o bligatio n
Adjus tm e nt to a nnual requ ired contribution
Annual OPEB cost
Contributions
Increase in net OPEB o bl igation
Net OPEB obligatio n - begi nnin g of yea r
Net OPEB o b li gatio n-e nd o f year
$
$
638,000
139,000
(I 09,000)
668,000
(I 62,734)
505,266
3,136,066
3,64 1,332
The C ity's annual OPEB cos t, th e percentage of an nu a l OPEB cos t contributed to th e p lan and th e net O P E B
obli gation for fiscal year ended J une 30, 20 16. and th e two preceding years were as follows:
Pe rcentage o f
Fiscal Year Annua l Contrib utio n An nu a l OP E B Cost et OPEB
Ended OPEB Cost Made Contributed Obligati on
6 130 '20 14 $ 1,080,000 $ 155,978 14.44% s 2,696,3 19
6/3012015 60 1,000 161 ,253 26.83% 3,136,066
6/30/20 16 638,000 162,734 25.5 1% ",641 ,332
52
C ITY OF TEMPL E C ITY, C ALl FOR l A
N otes t o Financia l tatements
Ye a r E n d ed J un e 30,2016
N OTE II -OTH E R POST EMPLOYME T B ENEFIT PL AN (CON TINUED)
F un ded S t a tu a nd F undin g P r og r ess
The funded status ofthe plan as of June 30.20 14 , th e p lan's most recent actuarial valuat io n d a te, was as follows:
Actuarial accrued li ability (AAL)
Actuarial value of plan assets (A VA)
Unfund ed actuarial accru ed li ability (UAA L)
Funded rat io (AYNAAL)
Covered payro ll (activ e p lan participants)
UAAL as a percentage of covered payroll
$ 5 ,726 ,000
I , 124,000
4 ,602,000
19.6%
2,76 1,000
166.7%
Actuarial valuations of an ongoing pl an involve estim ates ofthe value of reported amounts and assumptions about
th e probabil ity of occurrence of events far int o the future. Examples include assumptions about future
employment, mortality, and the h ealth care cost trend . Amounts determined regarding the funded s tatus of the plan
a nd the annual req uired contributions of the e m ployer a re s ubject to conti nual revis ion a s actual results are
compared with pas t ex pect ations and new e s t imates a rc made abom the future. The schedule of funding progress,
p resented in the requi red s u p pl ementary infor mat ion sect ion , pres ents mu lt i-yea r trend inform ation about w he th er
the actu a r ia l va lu e of pla n assets is inc reasi ng o r d ecreas in g over t ime relative to the act uarial accrued liab ili t ies
for the benefi ts .
Pr ojectio ns of benefits for fi n ancial reporting purpos es are based on the s ub s tanti ve plan (the p lan as understood
by th e employer and the p lan m embers) and in c l ud e th e types of bene fits provided a t th e time of each valuat ion
and the hi s torical pattern of sharing of benefi t cos ts be twee n emp loyer and plan members to that point. The
actu a ri a l me thod s and assumptions used inc lude tec hniques th a t are designed to reduce the effects o f s hort-term
vo latilit y in actuarial accrued liabilities a nd the actuarial value of assets, consiste nt with the long-term perspective
of th e calcu la ti ons.
A ctu a ri a l M eth od s a nd Ass umpti o ns
The actuari a l cos t m ethod used for determining th e be nefit obligatio ns is the Entry A ge Norm a l Cost Method.
The actu a ri al a ss umptions included a 4.60 percent investment rate of return, which is the a ssumed rate of the
ex pec te d long -te rm in vestment return on plan assets calculated based on th e funded level of the plan at the
va lu a t ion date. and annua l cost trend rate of7.5 percen t for on-Med icare and 7 .8 pe rcent for Me dicare initially,
red uced to a n ultimate rate of 5 percent in 20 2 1 and later. It is assu med the City's payroll wi ll increase 3 .25
percent per year and merit in c reases are based o n th e CalPER 1997-201 I Experience tudy. The amortization
pe riod is a 24-year fixed (closed) perio d for the UAA L as of June 3 0 ,2014 for the 20 15-16 ARC. Future method
changes, a ss umption c h anges and gains/l osses a re over a 15-year fixed (c lo sed ) period. The m ax imum
a m ort ization is over a m ax im um 3 0-year combi ned pe riod us in g a level-percent of pay roll.
53
C ITY OF TEMPLE C ITY, CA LIFORN I A
Notes to Fi n a n c ial Statements
Yea r E nd ed June 30,2016
NOTE 12 -FUND BALANCE CLASS/FICA TJO NS
Specia l
Revenu e f-und
B icycle Nonm ajor
Transportation Governmenta l
General Account Funds Totals
No ns p e n dable
Pre paid items $ 463,539 $ $ $ 463 ,539
Ed ucationa l scho larship 17 0 ,3 05 170,3 0 5
Subtotal 463,5 39 I 70,3 0 5 633,844
Reshicted
Community developmen t 1,267,740 1,267,740
Public s afety 2 ,773 2,773
Community services 168, Ill 168, II I
Public works 4!884!094 4,884,094
u btota l 6 ,322,7 18 6 ,322 ,718
Committed
Emergency/d isasters 50,000 50,000
L iquidity 2 ,000,000 2,000,000
Local economic uncertainty 1,4 50,000 I ,450 000
Subto tal 3,500,000 3 ,500,000
Assigne d
Fleet manage ment 400,000 400 ,000
Fac ilities management 3 ,540,000 3 ,540,000
Technology replacem ent 58,392 58,3 92
Economic development 3 ,797,973 3,797,973
Opportunitie s for one-tim e expenditures 4,5 06,499 4 ,506 499
S ubtota l 12 ,302,864 12,302 ,864
U n assign ed 3 !538 ,853 {197,244) {162!801 ) 3,178 ,808
T otal $ 19 ,805,256 $ (197,244) £ 6 ,330,222 $ 25.938,234
On June 21, 20 16 , th e C ity reaffirmed the committed and as signed fund ba la nce class ifications for the General
Fund for financial s ta te me nt purposes a t June 30, 2 016, in accordance with th e City's adopted GASB 54 Fund
Balance Poli cy, as follow:
Committed
A ssig ned
$3 ,500,000
$12,302,864
Any re ma ining fund ba lance at th e close of the fi sca l year will be des ig nated a s Unassigned.
NOTE 13 -CONTINGENT LJABJLITJES
Vario us c laims and suits have been filed against t he City in the norma l course of bus iness. A lthough the outcome
of these matters is not prese ntl y d e termina ble in th e opinion of legal co unsel, the reso luti o n of these matters wi ll
not have a material adverse effect o n the financ ia l conditi o n of the City.
54
C ITY OF TEMPLE C ITY, CA LIFOR N IA
Notes to Fina nc ia l tatements
Year E nd e d Jun e 30,2016
OTE 14 -SUCCESSOR AGE CY TR US T FOR ASSETS OF FO RME R R E DE VELOPME T AGE C Y
T he accompanying fina nc ia l statements also inc lud e the Pr ivate-pu rpose Trust Fund fo r the Successor Agency to
th e C ity 's former Redevelopment Agency ( uccessor Agency). T he C ity, as the uccessor Agency, serves in a
fiducia ry capacity, as c ustod ian for the assets and to w ind down the affai rs of the former Redevelopment Agency.
It s assets are held in tru s t for the benefit of th e taxing ent ities w ithin the forme r Redevelopment Agency's
boundaries and as such, are not available for th e use of the City.
Di sclo s ures related to the certain assets and lo ng-te rm li abilities of the Successor Agency are as follows:
Agency's Pavable to the Citv
As of June 30, 2016. the Successor Agency owes th e City $624.293 for expenses by the former rede elopment
agency to s up port redevelo pme nt act ivities.
Rel ease of obligations related to advances from the City
A s of June 30, 2016, the C ity has not taken steps fo r the loan to be placed on the Recogn ized Obligation Payment
Sc hed ul e (ROP ) of the Successor Agency as a n enforceab le ob li gation. The full amount of the loan of
$3,703,805 has been rese rved as potentiall y unc o ll ectible by the City as of June 30, 2016 in the financia l
state ments. Al so refe r to Note 5.
Info rm a ti o n a bout th e Outstanding Bonds o f the ucce o r A gency Tru t Fund
REFUNDING REVENUE BONDS, SERIES 2005
In e pt ember 2005, the fo rmer Temple City Communi ty Redevelopment A gency (Agency) issued $5.780,000 of
eria l Bonds and $2,220,000 ofTerrn Bonds for a to tal amount of$8,000,000 to be paid from future tax increment
revenu es. The eries 2005 bonds were is s ue d to refu nd $3,600,000 of outstanding Templ e City F in a nc ing
Authority (Authority) 1993 R evenue Bonds and to provide the Agency with additional funds for redevelopment
activ ities. Interest is payable semi-annually on March I and eptember I of each year, commencing March I,
2006. In terest rates range f ro m 3 .0 percent to 4.9 pe rc ent on th e seria l bonds and 4.875 percent on the term bonds
in amount s ranging from $240,000 to $495,000. T he bonds maturing on or after eptembe r I , 20 15 are s ubject to
redemption prior to maturity in whole or in part at th e option of th e Agency in amount of I 00 percent of the
prirwipal amount. The Term Bonds maturing on September I. 2025 w ill be subject to mandatory redemption, on
September I, 2022 a nd each September I the rea ft e r at a redemption price equal to the p rin cipal amount thereo f
toget he r with accrued interes t thereon to the re demption date w ith out premium. Under terms of the issue, a
min imum of$627,225 is to be set as id e in reserve fund s.
During the year ended J une 30, 20 I 6, the Successor Agency issued 20 16 Tax Allocation Refunding Bonds to
refu nd the 2005 Refunding Bonds.
55
C ITY OF TEMPLE C JTY, CALIFORN IA
Notes to F in a ncial Statem e nts
Yea r E nd ed June 30,2016
NOTE 14 -SUCCESSOR AGENCY TR UST FOR ASSETS OF FO R MER R ED EVEL OPMENT AGENCY
(CON TINUED)
TAX ALLOCATION REFUNDING BONDS, SERIES 2016
On March 31. 20 16, th e S uccessor Agency issued $2,150,000 Tax-exempt Tax Allocation R efund ing Bonds and
$2,240,000 Taxable Tax A ll ocation Refunding Bo nds ("'Bonds") for a to tal of $4.390,000. P roceeds from th e sa le
of th e Bonds will be used to refund the Refunding Bonds e ri es 2005. The eries 2 005 bonds were originally
iss ue d to refund the Temple City Financ ing Auth ority, 1993 Revenue Bonds for the Ros emead Bou levard
Redeve lopment Project. T he refund ing res ulted in a n economic ga in of $275,962 with a percentage sav ings of
refunded bonds of 5 .67% and debt service sav ings of $I , 154,885. The principal of the Bonds is payab le
commencing September I, 20 16 thro ugh September I , 2024 and inte rest payable is payab le semiannuall y each
Marc h a nd September beginnin g September I , 2 016. Interes t rates a re 2.40 percent fi xed on the Tax-Exempt
bo nds and 3.72 percent o n the T axable bonds. T h e pri ncipal a m ount ou tstanding at June 30, 20 I 6 is $4,390,000.
The a nn ual requi re ments fo r repayment of prin cipa l a nd int erest on the bonds payable o uts tandi ng as of J une 30,
20 I 6 are as follows:
Year En di ng
June 30 Prin c it!a l
2 01 7 $ 430,000
2 0 18 480,000
20 19 500,000
2020 515,000
202 1 530,000
2022-2025 1,935,000
T o tal $ 4,3 90,000
De ficit Net P os ition
In te rest
$ 56,5 95
121 ,704
10 7,0 16
9 1,7 16
75 ,924
135,816
$ 588 771
Total
$ 486 ,595
60 1,704
607,016
606,716
605 ,924
2 ,070,8 16
$ 4 ,978 ,77 1
As of J une 30, 20 I 6, the Successor Agency P rivate-Purpose Trus t Fund had a de fi cit net pos it ion of $3,6 I 8,084.
T h is w ill be reduced w ith future receipt of distri but ions from the Redevelopment Property T ax Trus t Fund from
the Coun ty.
56
C J TY O F T E MPLE C ITY, CA L I FOR NIA
Notes t o F inancia l St a t e m e nts
Yea r E nded J un e 3 0,101 6
N OTE I 5-RESTATEMENT AND PRIO R PE R I OD A DJUS TMENTS
Governmenta l F und Fin a nc ia l S t a te m en ts
T he natu re a nd effects of th e pri or period adj us tm e nt are descri bed as fo ll ows:
Begin ning of year, as prev io us ly re ported fund bala nce
Pri o r pe r io d adj ustm e nts:
To pro pe rly recogn ize Successor Agency bond
proceeds fo r the Rosem ead Boulevard Project
T o pro pe rl y state openin g accounts payable balance
Beginnin g of year, as restate d fun d ba lance
Governm e n t-wid e S t ate m e nts
$
$
General
Fund
2 0,026,60 7
(I ,200,000)
18,826,607
Capita l
Projects Fund
$ ( 1 '722,989)
I ,722.989
$
T he beg inning balance o f ne t pos iti on o f th e governmen tal act iv it ies in the governm e nt-wide state me nt o f
acti viti es has been restated to re fl ect the adjust me nts above.
B egin ning of year, as pre vious ly reported net pos ition
Prio r pe r io d adj us tments:
T o properly recognize Successor Agency bo nd
proceeds for t he Rosemead Bou levard Project
To properly s tate o pen in g accounts payable balance
Begi nning of year, as re s tated net position
57
Act iv it ies
$ 68,550,9 15
(I ,200,000)
I , 722,989
$ 69,073 ,904
REQUIRED SUPPLEMENTARY INFORMATION
CITY OF TEMPLE C ITY, CA LIFORN I A
Budget and Actua l Com pari on
Ge ne r a l Fund
Genera l Fund -This fund has been c lassified as a m ajor fund and is use d to account for a ll of th e general revenues
of th e C ity not s pecifi ca ll y lev ied or co ll ecte d for some s pecial purpose, and for the ex pe nditures related to th e
re nd e rin g of gene ral serv ices by th e C ity. Th e Gene ra l F und is used to account fo r all reso urces no t requi re d to be
account ed for in a no th e r fund . The budget-to-actu a l co mpa ri son f or thi s fund has been presente d in th e
accom panying financial s tateme nts as required s uppl e mentary informati on.
p ecia l R evenu e Funds
The Specia l Revenue Funds are used to account fo r s pecific r evenues that are legall y restri cted to expend iture for
a particu lar purpose. The foll owing fun d has been c lassified as major fund and budget-to-actual comparison fo r
th e fund has been presented in the accompanyin g fin a nc ia l sta tements as required supple mentary information.
Bi cyc le Trans portation Accou nt -T h is fund is used to acco unt for th e g ran t revenues received from th e
De pa rtm e nt of Transporta tion to partia ll y fund th e C it y's Rosem ead Boulevard Improvement Proj ect.
58
C ITY OF TEMPLE C ITY, CALIFOR NIA
Budgetary Comparison Sche dule
Gene ra l F und
Year End e d June 30,2016
Variance wrth
Frnal Budget -
Budge ted Amounts Actual P ositrve
Orrg!na l Fr nal Amo u nts (!::!efl1!t ive}
R EVE UES
T axes
Real esta te transfer laX $ 200,000 $ 200,000 $ 180,943 $ (19,057)
Sales and use ta x 1,360,540 1,360,540 1,600,728 240,188
In lreu sales tax 41 5,000 415,000 399 ,830 ( 15 ,170)
Franc hise tax 580,000 600,000 5 73 ,650 (26,350)
Trans ie n t occupan cy tax 50,000 55 ,000 59,522 4,522
Pro perty tax allocatron 2,900,000 2,900,000 2,87 3,580 (26,420}
Total taxes 5 ,505 ,540 5 ,530,540 5.688 253 15 7,713
Lrcenses and permrts
Business lrcense fees 220,000 200,000 200,9 10 910
Buildrng perm it fees 625,000 800,000 1,0 16 ,16 1 216,16 1
Parking pcm1it fees 75,000 75,000 72,979 (2 ,02 1)
Enc roachment permit fees 200,000 200,000 269,152 69,152
An imal license fees 93,000 45,000 26,427 (18 ,573)
Vehrcle m1 pound fees 20,000 20,000 1 1,310 (8 ,690)
T e m p parkrng pemut fees 140 ,000 140,000 123 ,994 (16,006)
Code enforcement fees 50 000 50000 54 903 4 903
T otal lice nses a nd permrts I 4 23 000 I 530,000 1,775 836 2 45 836
lnte rgovemme ntal
State manda te re1111bursement 7 ,8 12 7,8 12
Other reimbursement 137,892 137,892
In lieu vchrcle lrce nse fees 3 ,517 000 3 9 17.000 3 9 33 .737 16,737
Total intergovernmental 3,517000 3917 000 4 079,44 1 162 441
C harges for services
Shared maintenance charges 4 ,100 4,100 4 ,080 (20)
Zonrn g fees 200,000 200,000 166,895 (33, I 05)
Recreation fees 600,000 635,000 6 70 ,770 35,770
P Ja n check fees 550,000 550,000 661 ,312 111 ,3 12
Facility rental fees 75,000 75,000 65,248 (9,752)
PW/Eng rneerrng fees 50 000 50000 59 32 1 9 ,32 1
Total c harg!:S for Services I 479 100 I 51 4 ,100 I 627 626 113 526
F rnes, fo rfe nures and penaltres
Court frnes 500 000 500 000 303.524 (196,476}
I nve s tment rncome
I merest -Secuntres 115,000 115,000 97,663 (17,337)
I ntcre st -C D 85,000 85,000 5 9,15 0 (25,850)
Change in valu e o f inve stmen t 149 755 149 7 55
T otal rn vestment rncomc 200,000 200,000 306 568 106,5 68
Other :
AB939 rein1bursement 15 ,000 15.000 15 ,2 73 273
Recy clable reven ue 35 ,000 35,000 24,969 (10,03 1)
Rental inco me 65,000 65,000 84 ,2 41 19,2 41
Sale of C ity pro perty
OU1e r r eimbursement 100,000 2 10 ,000 195,325 (14,675)
Dona t ro n 15 ,000 15 ,000 14 ,100 (900)
Sund ry 1,000 15 ,000 6 ,499 (8,501)
CRAILLD reunbursement 10 000 10000 46 892 36 892
T otal o ther rncome 24 1 000 365 000 387 299 22 299
T o tal revenues 12 865 640 13 556 640 14 168 547 6 11 907
59
CITY OF TEMPLE C ITY , CA LIFORNIA
Budgetary Comparis on Sched ul e
Gene ral Fund
Year Ended June 30,2016
Vanance Wtth
Ftnal Budget -
Budgeted Amo unts Actual POSIIIVC
Origmal Ftnal Amounts Q::!c!!f!tive)
E.XPEN OITURES
General government
Ctry council $ 174,545 $ 17-1 ,545 $ 155,068 $ 19 ,477
Ctry manager 781,910 857,910 824,378 33 ,532
Ctty clerk 304,6 10 307,110 286,833 20,277
Accou nt ing 5 14 ,0 10 543,510 5 13 ,755 29,755
C ity attorney 402,000 492,000 456,947 35,053
Sup port servtees 132 ,8 10 132 ,810 129,036 3,774
Insurance benefits 952,665 952,665 742 ,829 209,836
Purchasing 204 300 307 900 331 578 (23,678)
Total general government 3,466,850 3,768,450 3 440 424 328.026
Comm u ntty developmem
Plann ing 1,886,9 15 1,891 ,915 828,11 2 1,063,803
Housing 45,490 205,990 178,719 27,271
Building 767 860 945 860 I 067 078 (121.218}
Total communtty development 2,700,265 3 043 765 2 073,909 969 856
Public safety:
Law enforcement 3,882,060 4,0 19 ,860 3 ,973,697 46,163
T ra ffi c e n gineerin g 40,000 40,000 34,164 5,836
Anim a l control 188,790 201 ,790 183,902 17,888
Emergency services 108,775 127,775 1 13,962 13,8 13
Community prescrvauon 358,825 291 ,825 222,144 69,681
Parktng admtniStrauon 390 545 390 545 306 859 83,686
Total pubhc safety 4 968,995 5 071 795 4 834 728 237 067
Public w o rks :
P arking fac iltues 152,855 152,855 1 18,281 34,574
Solid waste management 2,500 19,490 15 ,273 4,2 17
General government buddmgs 250,300 311 ,300 292,370 18 ,930
G r affiu abatements 50 000 50000 41 598 8 402
Total publiC works 455 655 533 645 467.522 66 123
Comm u nity services.
Recreation/human services 1,129,860 1,202,260 1,165,854 36,406
Parks -maintenance/factlttics 968 935 1,034 935 I ,003 315 31 620
Tota l communny servtees 2 098 795 2 '>37 195 2 169 169 68,026
Total expend nures 13 690 560 14 654 850 12 ,985,752 1,669 098
Excess (defktency) of revenu e
over expenditures (824,920) (1 ,098.21 0) I 182,795 2,281 005
OTIIER FINANC I I'\G SO R C ES ( ES)
T ransfers in 500 399,432 399,432
Tra ns fers o ut (491 ,200) (458,530} (603,578) ( 145,048)
T otal other financing sourc e s (uses) (490,700) (458,530) (204, 146 ) 2 5 4 384
Net change tn fund balances (I ,315,620) ( 1,556, 740) 978,649 2 ,535,389
Fund Bala n ce a t Beginning of Year , a s Jl es t a t cd 16,001 455 16543.150 18 826 607 2.283 457
Fund Balan ce a t E nd o f Year $ 14 685,835 $ 14 986,4 10 $ 19,805,256 $ 4,8 18 846
60
CITY OF TEMPLE CITY, CALIFORNIA
Budget a ry Comparison Schedule
Bic ycle Transportation Account Fund
Year E nded June 30,2016
REVENUES
I mcrgovernmental
Total Revenues
OTHER FINANC I NG SOURCES (USES)
Trans fers o ut
Total Other Financing o urccs (Uses)
Net C hange in fu nd ba lan ces
F und Bala n ce at Beg innin g of Year
Fund Balance at End o f Yea•·
$
$
B udgeted Amounts
O ri ginal F in a l
128,250 $ 128,250
128,250 128,250
{ 128,250) (479,985)
{128,25 0) {479,985)
$ (35 1,735)
6 1
Varian ce with
Final Budget -
Ac tua l Pos itive
Amoun ts egati ve)
$ $ ( 128,250)
( 128,250)
{ 197,244} 282 74 1
{197,244) 2 82,741
(197,244) $ 154 49 1
$ ~ 197i244l
C ITY OF T E MPLE C ITY, CALIFORNIA
Notes to Budgetary C omparis on Schedule
Year Ended June 30,2016
N OTE 1 -B UD GETS AND BUDGETA RY ACCOUN TIN G
T he C ity adopts a n ann ua l bud get pre pared o n th e m odified accrua l bas is for a ll of its governmental f un d s . T he
C ity M a nager o r h is d esig nee is auth orized to tra nsfer budgete d amounts between t he accounts of a ny program .
Rev is io ns that a lte r th e t o t a l a p propriations of a ny program o r fun d a re a p proved by th e C ity Cou nc il. P rior year
a p pro pri ations lapse unle ss th ey a re appro pri a ted t h ro ug h th e forma l bu dget process. Ex pe nd itures m ay not
lega ll y exceed appropri a ti o ns a t fund level. Reser ves fo r encumbra nces are no t re corded by the C ity.
62
CITY OF TEMPLE C ITY, CALIFORNIA
S chedule of Funding Progres s
Other Pos temploy ment Benefits (OPEB)
Year End e d June 30,2016
Ac tuar ia l
Actuarial Accrued
Ac tu arial Value o f Liability
Va luat ion Assets (A VA) (AAL}
Date {a} {b}
6 /30/2009 $ $ 7,850,000
6 /30/20 11 6 ,48 1,000
6 /30/20 14 I , 124,000 5,726 ,0 00
$
UAAL as a
Unfunded Annual Percentage of
AAL Fu nded Covered Covered
(UAAL) Ratio Payro ll Payroll
{b -a} {alb} {c} {b-a}/c)
7 ,850,000 0 .0% $ 2,26 1,000 347.2%
6 ,48 1,000 0 .0% 2,335 ,000 277.6%
4 ,6 0 2,0 00 19 .6% 2,76 1,000 166.7%
63
C ITY OF TEMPLE C ITY, CAL IFOR NIA
ched ul c o f Proportionate Share of th e e t Pen s ion Liability
Las t Ten Years*
Year Ended June 30,2016
Pro p o rtion o f th e net pen s io n li ability
Pro p o rt io nate share of the n et p e n s io n lia bility
Covered p ayro ll **
Propo rtio n ate s hare o f the n e t p e ns io n li a bility as a
pe rcentage of covered pay roll
Pla n fiduciary net pos iti o n as a percentage o f t he
to tal pens io n liability
Notes to ch e dule:
2016
0.20067%
$ 5,505,224
2,785,26 1
197.66%
78.40%
* Fi sca l year 20 15 was th e I s t year of implementat io n, the r e fore, only two years are s ho wn.
** Co VL:r ed pay roll re present s earnabl e and pe ns io nabl e co m pe nsat io n. D ue to im pleme n tat io n
$
ofGASB tatement No. 82, ''P e ns ion Issues-An Am e ndm ent ofGAS B Sta te ment No. 67, No . 68 , and
No . 7 3 ", previous years' info rm ati o n h as been re vi sed accor ding ly.
20 15
0 .16477%
4 ,072,235
2,820,374
144.39%
79.8 2%
C hanges of Assumpti o n s -Th e di sco um rate of 7.50 percent used for the June 30,20 14 m eas u rement date
W.lS ne t o fadmin i s trat i ~.e e xpe nses. ll1c d isco unt rate o f 7.65 percent us ed fo r th e June 30,20 15 measurement
date is \vithou t reductio n o f pensi o n plan adm ini s trati~.e expense.
64
C IT Y O F T E M PL E C ITY, CA LIFOR N IA
Sche dule o f Contributions
La st Ten Yea rs *
Year E nd e d Jun e 3 0,2016
Aclll ari a lly d c tc m ine d co nt r ibutio ns
Con tri b uti o ns in relat io n to th e act u arially determ ine d co ntri butio ns
Co ntri b uti o n defi cien cy (excess)
Covered payro ll **
Con tri b u ti o n s as a percentage of covered payro ll
No t es to S c h ed ule:
20 16
$ 556,380
5561 3 80
$
$2,952,148
18.85%
* Fiscal year 20 15 was th e I s t year of imple menta t io n, the re fo re , o n ly two years are s hown .
**Cove red pay ro ll re p resents ear nabl e and pens io nab le com pensation. D ue to implem e ntati o n
ofGASB tate ment No. 82 , ''P e ns io n Iss ue s-An Ame ndm e nt ofGAS B State m ent 1o. 67, N o. 68 , and
No. 73 ",pre vious year s' info rm at io n has bee n revised acc o rdi ng ly.
65
20 15
$ 444,577
444 577
$
$ 2,785,26 1
15 .96%
SUPPLEMENTARY INFORMATION
MAJOR CAPITAL
PROJECTS FUND
CITY OF TEMPLE CITY, CALLFORNIA
Description of Major Capital Projects Fund
June 30,2016
Cap ita l I mproveme nt Fund
T h e Capi tal Im p roveme nt F und is used to accoun t for fund s rece ive d from th e va ri o us s pecial revenue fund s to
fin a nce various cap ita l improvements and projects.
66
C ITY OF TEM PLE C ITY, CA LI FO R NIA
Bud get a r y Comp a ri so n S ch e dul e
C apita l Improvem ent F und
Year E nd ed Jun e 3 0 ,2016
67
NONMAJOR
GOVERNMENTAL FUNDS
CITY OF TEMPLE C ITY, CAUFORNIA
Nonmajor Governmental Funds
Combining Balance Sheet
Year Ended June 30,20 16
Specia l Camelia
Revenue P ermanent
Funds Fund T ota ls
ASSETS
Cash and inves tm e nts $ 5,32 1,597 $ 17 0,20 2 $ 5,49 1,799
Accounts receivable
1 nterest receivab le 10 3 10 3
Loans receivab le I ,093 ,3 10 1,093 ,3 10
Due from oth er governme n ts 602,195 602,195
Total Assets $ 7 ,017,102 $ 170,305 $ 7,187,407
LlABILITIES AND FUND BALANCES
L iab ili ties:
Accou n ts p aya ble $ 160,283 $ $ 160,283
Due to o ther f un ds 696 9 02 696,902
Total Liabilit ies 857 18 5 857,185
F und ba la nces:
Nons pendable 170,305 170,305
R estricted 6 ,322,7 18 6 ,322,7 18
U nassigned {16228 0 12 {162,8012
Total Fund Bala nces 6,159,9 17 170,305 623302222
Total L ia b iliti es a nd
F und Balances $ 7,0 17,10 2 $ 170,305 $ 7,187,407
68
CITY OF TEMPLE C ITY, CAL IFORN IA
No n maj or Governmenta l F und s
Comb inin g S t a t em ent of Reven u es , Ex p e nditures and C han ges in Fu nd Balances
Year E nd ed June 30,2016
Specia l Cam e lia
Revenue P erm an e n t
F unds Fund T o ta ls
REVENU ES
T axes $ 1,3 15 ,75 8 $ $ I ,3 15,75 8
lntc rgovcrnmenta l 2 ,737,35 1 2, 737,35 1
C h arges fo r s ervices 358,137 358,137
F in es 8 ,6 12 8 ,6 12
In vestm e nt in com e 5,559 554 6 ,11 3
Othe r 68 375 2 ,5 00 70 875
T o tal Revenues 4 ,493 792 3 0 54 4 ,496 846
EXPENDI TURES
C urre nt:
Commun ity d evelo pm e nt 63,284 63 ,284
Pub li c wor ks 2 ,249,3 19 2 ,2 4 9 ,3 19
Co mmun ity servi ces 754,288 2,960 757 248
T ota l Expenditures 3,066,89 1 2,960 3,069,85 1
Excess (De fi c ie n cy) o f Revenues
Over (Unde r) Ex pe nditu res 1,426 9 0 I 9 4 I 426 995
OTHER FINAN C I NG SOURCES (USES)
Tra ns fe rs in 668,49 1 668,49 1
Tra ns fe r s o ut {1,75 1,990 ) {1 ,75 1,990)
T o ta l O th er Fina n c in g Sources (Uses ) (I ,083,499) 0 ,0 83,499)
Net C h a nge in F und Bala nces 343,40 2 94 343,496
Fund Ba lan ces a t Begin ni ng of Y ear 58 165 15 170 2 11 5,986,726
Fund Ba lan ces a t E nd o f Year $ 6,159,9 17 $ 170 ,3 0 5 $ 6,33 0,222
69
NONMAJOR
SPECIAL REVENUE FUNDS
CITY OF TEMPLE C JTY, CA LIFORN IA
Description of Non m aj o r S pecia l Reven ue Funds
June 30,2 01 6
The fo ll owing Specia l Reve nu e Funds have been class ified as nonmajor fund s i n the accompanyi ng finan c ia l
statements:
T ra ffic Safety Fund -To account for th e Veh ic le Code fin es w h ic h are expended fo r tra ffi c safety enforcement.
C itizens Option for Public Safety (COPS) Fu nd -To account for th e revenues rece ived from th e Cal ifornia
Department of Jus tice to be restri c ted to enhance existin g law e nforcement services .
Public Trans port ation -Propos ition A Fund -To account for the City's s hare of add it ional sales tax co ll ected in
the Coun ty of Los An ge les a s a result of Propos iti o n A. T he fund is restri cted to fina nce p ub li c transportation
proj ects.
Publi c Tran s portation -Proposition C Fund -To account fo r th e City's s hare of ad di tio na l sales tax col le cted in
the County of Los A ngeles a s a re s ult of Proposit io n C. T he f und is restricted to fin a nce public tra ns portatio n
projects.
Used O il Fund -To accou nt for th e revenues and expe nditures of th e Used Oil Recycli ng B lock Grant.
State Gas Tax Fund -To account for th e revenues and expendi tu res of th e C ity's proportionate s hare of gas tax
m o ni es co ll ected by the State of California whi c h a re used for s treet cons truction, street maintenanc e and
engin eering, and admin istrative expenses.
Asset Seizure Fund -To account for the revenu es and expend itures fi·om the seiz ure o f prope rties .
CDBG -To accoun t fo r resou rces in managi ng the different programs und er th e Com munity Deve lopme nt Block
Grant fund ed by th e U.S. De pa rtmen t of Hous in g a nd Urb an Deve lopment.
Air Quality Improve me nt Di str ic t Fund -To account for th e C ity's s hare of automobi le reg is tra tion fees collected
from th e State and distribu ted to the C ity b y the South Coas t A ir Quali ty Management D is tri ct. The fund s a re
used to improve transport ation syste ms an d re duce the reliance o n pr ivate vehi c le s .
Meas u re R Fund -These a re s imi lar to loca l return type funds to be used fo r traffic relief a nd transportation
upg rad es citywid e over th e next 3 0 years . These fun ds m ay be for proj ects s uc h as potho le re pa irs , major street
res urfacing , left-turn s ignal s, bik eways, pe destrian improvements, s treetscapes, traffi c s ig na l sync hronization ,
local tra ns it serv ic es and programs.
Parking Concess io n Fund -To accoun t for revenu es and expend itures re lated to th e operation of the park ing
concession agreements.
Afford ab le Hous in g Fee Fu nd -An optio na l deve lopment imp act fee use d on City a pproved afford a ble hous in g
programs geared toward s ass is t ing low-income households (e.g. ha nd yworker g ra nt, home improvement loan ,
Brus h with Kindness grant, senior hous ing deve lopment, firs t-time homebuyers program, etc.).
Sewer Reconstructi o n F und -To account for spec ia l fee s coll ected to be used for n ew sewer li nes a nd sewer li ne
repl acement.
70
CITY OF TEMPLE C ITY, CAL IFOR N IA
Description of No n major Special Revenu e Funds
June30,2016
H S IP Fund T he Safe, A ccoun tab le, Flex ib le, E ffi cient Transportatio n Equity Act: A Legacy fo r Users
(SAFETEA -L U), w hi c h was s ig ned into law on August I 0, 2005, establi shed the Hi g hway Safety Improvemen t
Prog ra m (H S IP) as a core Fede ral-a id progra m. The ove ra ll purpose of thi s prog ram is to achieve a s ignificant
reduct ion in traffic f a talities a nd seri ous inju r ies on all pu b li c road s th rough th e implementation o f infrastru cture-
re la te d h ig h way sa fety improve me nts.
1992/1996 Pa rk Bond Fund -T o acco unt fo r revenu es received from th e Los Ange les County Regional Park a nd
Ope n Space Grant. T hi s g rant was a pproved No vem ber 3, 1992 and November 5, 1996 to benefit property
thro ugh the improvement of ne ig hborhood parks and recreati on faci lities fo r youth and senior c it izens.
S tate Recycl ing Fund -T o account for revenues rece ived from fi sca l year e nded J u ne 3 0 , 2002 th rough fi sca l year
e nd e d J une 30,2003 fro m the Sta te D epartme nt of Conser vatio n under Section 14581(a)(4)(a) of th e Cali fo rn ia
Beverage Con tai ne r Recycli ng a nd Litte r Re duction J\c t for bevera ge contain e r recyc li ng a nd litter c leanu p
activ ities .
Park Acquis it ion F und -To account for C ity im po sed fees from th e constru ct ion of new dwellings with in the
C ity. Expend itu res are fo r the acq ui s iti on or improve ment of neigh borhood or community parks in conformance
w ith th e pri orities estab li s he d by th e General Pla n.
Lightin g and Land scape Di s tri ct Fund -To account fo r asse ss me nts and a d va lorem taxes wh ic h are used fo r the
operation and m a inte n a nce of s treet li g hts, tra ffic s ig na ls, and trees and par kways w ithi n the City.
Congestion Mitiga tion and Ai r Qua lit y Fund -T o account for the g ra nt revenues received from the Federa l
Hi g h way Administratio n throug h th e Cali fo rnia D e partment of Trans portation to parti a ll y fund the Ci ty's
Rosemead Bou levard Improvement Project.
Pu b li c A rt Fee F und -A n opti onal develo pment impact fe e used to procure, comm issio n, install a nd /o r ma intai n
art in a publi c place. T he im pac t fee co u ld be id e nt ifi e d for a n indi v idual a rt p iece per the development
ag reem e nt. I f the d eve lopm e nt agreement does n o t s peci fy a parti c u la r a1t piece fo r the impact fee, it s ha ll b e
deposited int o t he C ity's Public Art Fun d.
Safe Ro ut es to c hoo ls Fu n d -To account fo r th e grant revenues received from the S ta te of Cali forn ia for
pedestrian improvements a t var ious locati o ns th roug hout th e C it y. T here is no accompany ing budget and actual
sched ul e for th is fund as there was no adopte d budget.
E nv ironmental Pro te ction Age ncy -To accoun t for th e g ra nt reve nu es received fro m the Federal E nv ironmental
Protecti o n A gen cy to pa1tiall y fund th e C ity's R osem ead Boul evard Im provem e nt Project. There is no
acco mpa ny ing budget a nd actua l schedu le for th is f und as th e re was no adopted budget.
7 1
C ITY OF TEM PL E C ITY, CALIFORNIA
Non major Specia l Reven ue Funds
Combining B a la n ce S heet
June 3 0 ,2016
ASSETS
Ca s h and in vestm e n ts
Loans receivab le
Du e fro m o the r governme nts
Tota l Assets
LIABILIT IES A N D FU D B ALANC ES
L ia bilities :
Accounts payable
Du e to other ru nds
T otal Liabilit ie s
Fund ba lanc es / (De fic its):
Re s tri cte d
Unassigned
T ota l Fund Ba la nc es/ (D e fic its )
Tota l Liabilitie s a nd
F un d B ala nces / (De llc its)
Traffic
Sa ret~
$ 8 5
2 7
$ 11 2
$
11 2
11 2
$ 11 2
72
Public Public
T ra nsporta tio n Trans po rta t io n
C O P S P ro~ A Pro ~ C
$ 1.932 $ 8 50.2 60 $ 4 59.4 14
$ 1,932 $ 8 50 .260 $ 4 59.4 14
$ $ 54.05 6 $
54.056
1,93 2 796.2 0 4 4 59.4 14
1.932 796.2 04 4 59.4 14
$ 1,932 $ 8 50.260 $ 459.4 14
C ITY OF TEMPLE C ITY, CALI FO R N I A
Non major Special R evenu e Funds
Combining Balance S h eet
June30,2016
State
Used Oil Gas T ax
$ 5,004 $ 56,073 $
$ 5.004 56,0 73 $
$ $ 58 ,504 $
160,370
2 18 874
5,004
{ 162,80 I}
5,004 {1 62,80 1}
$ 5,004 $ 56 073 $
Asse t
Seizure
729
729
729
729
729
Air Qua lity
Improvement
CD IJ G District Meas ure R
$ $ 157,013 $ 1,325.736
1.093.3 10
48.552 12,4 11
$ 1,14 1.862 $ 169,424 $ 1.325.736
$ $ $
48.550
48.550
1.093,3 12 169.424 I ,325, 736
1,093 .3 12 169 424 1,325. 736
$ 1.1 4 1,862 $ 169.424 $ 1.32 5. 736
73
CITY OF TEMPLE C ITY, CA LI FORN I A
Non major Specia l Revenue Funds
Combinin g Balance S heet
Jun e 30,201 6
A S ETS
Cas h and in ves tm ent s
Loans rece iva ble
Due from ot he r gove rnm ent s
Towl Asse ts
LIABILITI ES AN D FUND BALAN CES
Liab il ities:
Accoun ts payable
Due to other funds
Tota l Liabilities
Fun d ba lan ces/ (Deficits):
Res tri cte d
Un ass igned
T ota l Fun d Ba lan ces/ (De ficits)
T otal Liab il ities and
Fund Balances/ (Defic it s)
Parkin g
Co ncess ion
$ 10,000
$ 10.000
$
10,000
10.000
$ 10,000
AJTo rdable Sewer
I lousing Recons truction II SIP
$ 157,000 $ 634,226 $
56.082
$ 157,000 $ 634.226 $ 56.082
s $ $
56.082
56.082
157,00 0 634,226
157,000 634,226
$ 157 ,000 $ 634,226 $ 56.082
74
C ITY OF TEMPLE C ITY, CALI FORN I A
Nonmajor S p ec ial Revenue Funds
Combinin g Bala n ce S h eet
June 30,2016
1992/1996 Sta te
Park Bond Recyc ling
$ $ I. Ill $
$ $ I Ill
$
I, Ill
I, Ill
$ $ 1,111 $
Light ing and Co ngestion
Pa rk Landscape Miti gation &
Acquis iti on Distric t Ai r Qualit y
287.869 $ 1.1 43.280 $
53.223
287.869 $ I, 196.503 $
$ 47.723 $
47.723
287.869 1.1 48. 780
287,869 1.1 48. 780
287,869 s 1.1 96.503 _s;;._ ___ _
75
Pu blic An
$ 11 9.42 0
$ 11 9.420
$
11 9.420
11 9.42 0
$ 11 9.42 0
I
CITY OF TEMPLE C ITY, CA LIFOR NIA
No n m a jor S pecia l Reven ue Funds
Combinin g Balance S h e et
June 30,2016
ASSETS
Cash and in vestme nt s
Loans re ce ivab le
Due from o the r gove rnm e nt s
Tota l Asse ts
LIABILI11 ES A D FUND BALANCES
Li a bi lities:
Account s payable
Due to othe r fun ds
Tota l Li abilities
Fund balances/ (De fi c its ):
Restric ted
Un ass igne d
T ota l Fund Ba lances/ (Deficits)
Tota l Liabili ties and
Fund Balances/ (Deficits)
Safe
Routes to
School
$
43 1 900
$ 43 1,900
$
4 3 1 900
4 3 1 900
$ 43 1,900
Environme nta l
Protect ion
A~n c:r T o ta ls
$ 112,445 $ 5,32 1,59 7
1,093.3 10
602 195
$ 11 2,445 $ 7 01 7 102
$ $ 160,28 3
696,902
857.18 5
11 2,445 6,322,7 18
( 162,80 1}
112,445 6.159,9 17
$ 11 2,445 $ 7.01 7.102
76
C ITY OF T E M P LE C ITY, CA LI FOR NIA
Nonm aj or S p ecia l R evenu e Funds
C o mbinin g S ta t ement o f R evenu e , Exp en ditures a n d C ha nges in Fund Ba la nces
Yea r E nd ed Jun e 30,2016
Public
Trame Transportat ion
Safct ~ CO PS Prop A
REVEN UES
Taxes $ $ $
Int e rgovernmental 6.000 11 4,6 19 652,228
Charges for serv ices 97,366
Fines 8,6 12
Inves tme nt income 435
Others
T ota l Revenu es 14.6 12 114,619 750,029
E,XP END ITITRES
Curre nt :
Community de' clopment
P ub lic works
Community serv ices 74 5.3 52
To tal Expe ndit ures 74 5.3 52
Exce ss (Defic iency) of Reve nues
Over (Under) Ex'j)C nditures 14 .6 12 11 4,6 19 4.677
OTJ-I En FI NANC I NG SO UR CES (USES)
Transfe rs in
T ransfe rs out { 14,500} { 120 ,0002
To ta l Other Fin anc ing Sources (Uses) { 14,500} { 120,000}
Net Change in Fund Ba lan ces 11 2 (5,38 1) 4.677
Fund Ba lan ces at Beg inning of Year 7.3 13 79 1.527
Fund Ba lances at End of Ye ar $ 11 2 $ I 932 $ 796 ,204
77
Public
Transportation
Pro12 C
$
539.575
15 2
539,727
539.727
{181.6 18}
(181.6 182
358,109
101.305
$ 459.4 14
CITY OF TEMPLE CITY, CALIFORNIA
Non major Special Revenue Fund s
Combining S tatement of Revenues, Expenditures and C hanges in F u nd Ba lances
Ye a r Ended Jun e 30,2016
Air Quality
State Asset Imp roveme nt
Use d Oil Gas Tax Seizu re CD BG District
$ $ $ $ $
9.686 688,954 165 ,3 0 1 46.083
1,353 118
68,375
9.686 690,307 233.676 46.20 1
63,284
1,0 16,931
1,0 16,93 1 63,284
9,686 (326,624) 170.392 46.201
537,788
( 15.273} (1,077,531) ( 165.299} (37.30 1}
( 15 ,273} (539, 743) ( 165,299} (37.301}
(5,587) (866,367) 5.093 8,900
10.59 1 703,566 729 1,088.219 160.524
$ 5.004 $ ~ 162,80 I ~ $ 729 $ 1,093.3 12 $ 169.424
78
Me as ureR
$
406,000
1,922
407.922
407.922
407 ,922
9 17.8 14
$ 1,325,736
C ITY OF TEMPLE C ITY, CALIFORNIA
No nmajor Specia l Revenue Funds
C ombinin g Statem e nt of Reve nu es, Ex pe nditures and C han ges in Fund Balances
Year E nd ed June 30,2016
Parki ng AfTo rda bl e Sewer
Conce ss ion Hous ing Reconstruction
REV EN ES
Taxes $ $ $
Intergovernmental
Charges fo r se rvices 19,095 16 1.500
Fin es
In ves tm ent incom e
Oth ers
Total Reve nu es 19,0 95 161.500
E..XPENDll R ES
Cu rr ent:
Co mmuni ty developme nt
Publi c work s
Com mu nity se rvice s
Total Expenditure s
Excess (De fi ciency) of Revenues
Ove r (Under) Expend itu res 19 095 16 1,500
OTII ER Fl AN C ING SO R CES ( SES)
Trans fers in
Trans fers out
Total Other Financ in g Sources (Uses)
Net Chan ge in Fund Ba lances 19.095 161.500
Fund Bal ances at 13eginnin g of Year 10 .000 137 9 05 472.726
Fund Bal ances at End of Yea r $ 10,000 $ 157,000 $ 63 4.22 6
79
II IP
$
56.082
56.082
56.082
(56,082}
(56.082}
$
C ITY OF TEMPLE CITY, CA LIFOR N IA
No n maj o r S p ec ial R even ue Funds
Combinin g Statem e nt of Revenu es, Ex p e nditures a nd C h a n ges in Fund Ba la n ces
Year E nd ed June 30,2016
Light ing and Congestion
199211996 State Par k L andscape M it igati on &
Park Bond Rec y c ling Acquisition D ist rict 1\ir Qual ity
$ $ $ $ 1.3 1 5. 758 $
24,943 9,77 1 18.109
61.932
1.579
24.943 9,77 1 6 1.932 1.3 17.337 18.109
1.232,388
8 936
8 936 1,232,388
24.943 835 6 1.932 84.949 18.109
130,7 03
{24.943} {37.327} {15.3 10}
{24.943} {37.327} 11 5.393
835 24,605 200.3 42 18,109
276 263,264 948.438 ( 18.1 09}
$ $ I , I ll $ 287,869 $ I, 148.780 $
80
Public Art
$
18.244
18.244
18.244
{6,806}
(6,806)
11 ,438
107,982
$ 119.420
,------------------
CITY OF TEMPLE C ITY, CALIFORNIA
Non m ajor S p ecial R evenue Fund s
Combinin g S tate m e nt of Revenues, Ex p e nditures a nd C ha nges in Fund Ba lances
Year Ended Jun e 30,2016
Safe Environmenta l
Ro ut es to P rotect ion
School A~nc~ Totals
R EVENUES
Taxes $ $ $ 1.3 15, 75 8
Intergove rnm ental 2.737.351
Charges for serv ice s 358.137
Fines 8.6 12
I nvestm cnt income 5.559
Others 68.375
Total Revenues 4.493.792
EXPEND ITU R ES
Current:
Commun ity development 63.284
Public works 2 ,249.3 19
Community serv ices 754.288
Tota l Expenditures 3,066.89 1
Excess (Defic ie ncy) of Revenues
Over (Under) Ex']JCn ditures 1.426.90 I
OTHER FI NANC I N G SO URCr~ (USES)
Trans fers in 668.49 1
Transfe rs o ut (I ,75 1,9902
Total Other Financing Sources (Uses) ( 1.083,4992
N e t C han ge in Fund Balances 34 3,402
Fund Balances at Beginnin g of Yea r 11 2.445 5.816.5 15
Fund Balances at End of Year $ $ 1 12,445 $ 6.159.9 17
8 1
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES-BUDGET AND ACTUAL
CITY OF TEMPLE C ITY, CALIFORNIA
Budgeta ry Comparison Schedule
Permanent Fu nd
Year Ended Jun e 30,2016
REV ENUES
Use of money and property
Other
T o tal R evenues
EXPENDJTU R ES
Curr e nt:
Community services
T o ta l Expenditures
$
B udgeted Amounts
Origina l Fi na l
$ 1,000 $
1,000
Net C hange in fund bal ances _;;;,$~----$ 1,000
Fund Balance at Beginning of Year
Fund Balance at E nd of Year
82
$
Actua l
Amounts
Variance w it h
F in a l B udget-
P os itive
(Negative)
55 4 $
2 500
(446)
2 ,500
3 0 54 2,05 4
2,960 (2,960}
2 960 (2,960)
94 $ (906)
170,2 11
170,30 5
C JTY OF T E MPL E C ITY, C ALIFORN IA
No n maj o r S pe ci a l R e v e nue Fund
S chedule o f R evenu es, E xp e nditures and C han ges in
F und Balance -Budget a nd Actua l
Traffic S afety F und
Year End ed Jun e 30,2016
B ud get e d Am o un ts
O rig in a l F in a l
R E VENUES
Intergovernm e n ta l $ $ 10 ,000
F in es 25 ,000 25,000
T o ta l R e venu e s 25,000 35 000
O 'ni ER F I NAN C I NG SOUR C ES (USES)
T ransfers o ut {2 5,000) {25,000)
Total O th e r F ina n c ing So u rc es (Uses) (2 5,000) {25 ,000)
Net C ha n ge in fu nd b a la nces $ $ 10 ,000
Fund B a lan ce a t Beginnin g of Yea r
Fund Balance a t End o f Yea•·
83
Variance w ith
F in a l B ud get -
Ac tu a l P osit ive
Am o u n ts (Negative)
$ 6,000 $ (4 ,000)
8,6 12 { 16 ,38 8)
14 6 12 {2 0 ,3 88)
{14 ,5 00} 10 5 00
{1 4,5 00) .1 0,5 00
11 2 $ (9 ,888)
$ 11 2
CITY OF TEMPLE CJTY, CALIFOR NIA
Non major S pec ia l Reven u e F u nd
S c hedule of R evenues, E xpenditures a nd C h a nges in
F und Ba la n ce -Bu dget a nd Ac tu a l
COP S F un d
Yea r E n ded Jun e 30,2016
Budge te d Amounts
Origi na l Fin a l
REVENUES
I ntergovernm e nta l $ I 00,000 $ I 0 0 000
Total Re venues I 00,000 10 0 ,000
011-IER FINANCING SOUR CES (USES)
Trans fers o ut {100,000} (I 0 0,000}
T o tal O the r Fina nc ing Sources (Uses) (1 00,000} (100,000}
Net C h a nge in fun d bala nces $ $
Fu n d Ba l a n ce a t Begin n in g o f Yea•·
Fu nd B a l ance at E nd of Year
84
Varia nce w ith
Fina l B udget-
Ac tu a l P os itiv e
A mo unts (Negative}
$ 11 4 6 19 $ 14 6 19
1 14 ,6 19 14 ,6 19
{120 ,000} {20,000}
{120,000} (20,000}
(5,3 8 1) $ (5,3 81 )
7 3 13
$ I 932
C ITY OF TEMPLE C ITY, CA LIFORN IA
No n major Specia l Revenue Fund
Sche dule of R evenues, Ex penditures a nd C hanges in
Fund Balance -Budget and Actual
Public Trans po rta t io n -Pro p A Fund
Year E nd e d Jun e 30,2016
Budgeted Amou n ts
Origina l Final
R li:VENU ES
Intergovernmental $ 630,000 $ 660,000
C harges for serv ices 140,000 140,000
Use of money a nd property 2 000 2,000
Total Revenues 772 000 802,000
EXP EN DITU R ES
C urren t :
Commun ity services 73 I ,885 85 I ,885
T o tal Expend itures 73 1 885 85 I ,885
Net C hange in f und ba la nces $ 40, I 15 $ (49,885)
Fund Ba lan ce a t Beginnin g of Year
Fund Balance a t End of Year
85
Variance w ith
Fin al Budget-
Ac tu al P os itive
Amounts {Negative}
$ 65 2,228 $ (7,772)
97,366 (42,634)
435 {I ,565}
750 029 (51 ,97 1}
745 352 106,533
745 352 106,533
4 ,677 $ 54,562
791,527
$ 7961204
C ITY OF T E MPLE C ITY, CALIFOR N IA
Nonmajor S pecial Revenue Fund
Schedule of R evenues, Expenditures and C hanges in
Fund Ba la nce-Budget a nd Actu a l
Public Trans po rtation -Prop C Fund
Yea r E nde d June 30,2016
Budge te d Amounts
Oricrin a l Fin a l
R E V ENUES
l ntergovern me n ta l $ 535,5 00 $ 535 ,500
Use of m on ey a nd property 100 100
T o ta l Re venues 535,600 535,600
OTHER FJNANCJNG SOUR CES (USES)
T ra ns fers o ut {84,000} { 192,1 00}
Tota l Other F in a nc in g Sources (Uses) {84,000} ( 192, I 00}
Net C hange in f und bala nces $ 451 600 $ 3 43 ,500
Fu nd Ba la n ce a t Beginnin g of Yea r·
Fund Ba la n ce a t End o f Ye ar
86
Variance w ith
Final B ud get -
Ac tu al P osi ti ve
Amounts (Negativ e}
$ 539,57 5 $ 4 ,075
152
539,727 4 ,127
{181 ,6 18} 10 ,482
{181 ,6 18) 10,482
358 ,10 9 $ 14 609
10 1,30 5
$ 459,4 14
CITY OF TEMPLE CITY, CALIFORNIA
Nonmajor Special Revenue Fund
Schedule of Reve nues, Expenditures and C hanges in
Fund Ba lance -Budget a n d Act u al
Used Oil Fund
Year Ended June 30,2016
Budge ted Amounts
O rigin a l Fin a l
REVENUES
Intergovernm e ntal $ 15 000 $ 15,000
Tota l Revenu es 15,000 15 000
OTHER FINANC ING SOURCES (USES)
Trans fe rs o ut {6 , 190} {6 , 190)
T otal Other F in a nc in g Sources (Uses) {6, 190} (6, 190}
Net C ha nge in fund bala nces $ 8 ,810 $ 8 8 10
Fund Balance at Beginning of Year
Fund Balance at End of Year
87
Variance w ith
Final Budget -
Actua l P osi ti ve
Amo unts (Ne~tive}
$ 9,686 $ (5,3 14!
9 686 (5 ,3 14}
{ 15,273) (9,083}
(1 5,273} {9,083)
(5,5 87) $ ( 14 ,397)
10 59 1
$ 5,004
CITY OF TEMPLE C ITY, CALIFORNIA
No n majo r S pecial Revenu e Fund
Schedule of Reven ues, Expe nditures a nd C hanges in
F und Balance -Bud get and Act ual
State Gas Tax Fund
Yea r Ended June 30,2016
Varian ce w ith
Fina l Budget -
B ud geted Amo unts Actual P os it ive
Original Fin a l Amo unts ( egativc)
R EVENUES
In tergovernmental $ 765 ,000 $ 765,000 $ 688 ,954 $ (76,046)
Use o f mo ney a nd pro pe rty I 000 I 000 I 353 3 53
Total Re ve nu es 766 000 766,000 690 3 0 7 (75 ,693 )
EXPENDJTU R ES
C urrent:
Public work s 5 6 2,535 987,730 1,0 16 ,9 3 1 {29,2 0 1}
T otal Expe nditu res 562,535 987,730 I 0 16,93 1 (29,2 01}
Excess (d e ficie ncy) of revenue
over Expend itures 203,465 (22 1 ,730) (326,624} (.104,894}
OTHER FINANC ING SOURCES (USES)
Trans fe rs in 45 ,000 45 ,000 537,788 492,788
Trans fers out {750, I 50} {750, 15 0} {1,0 77,531} {327,38 1}
Total Other Financ ing Sou rces (Uses) (705, 150} (705, 150) (539, 743} I 65,407
Net C hange in fund bala nces $ (50 I ,685) $ (926,880) (866,367) $ 60,5 13
Fun d B a la n ce at Beg inning of Year 703 566
F und B a la n ce at End of Yea •· $ !162,801)
88
C ITY OF TEMPLE C ITY, CA LIFOR N IA
Nonm ajor S p ec ial R evenue Fund
Sche dule o f Revenues, E xpe nditures a nd C h a n ges in
Fund Balance -Budget a nd Actual
CDBG Fund
Year E nd e d June 30,2016
Variance with
Final B udget-
Bud gete d /\mounts /\clllal Positive
O ri gin a l Fi nal Amounts { egative}
R EVENUF.S
Inte rgovernm enta l $ 176,900 $ 186,900 $ 16 5,30 1 $ (2 1 ,599)
Other 63,285 68,375 5,090
Total Revenu es 176,900 250,18 5 233 676 ( 16 ,509}
EX P EN OIT R F.S
C urrent:
Community developm e nt 63 ,285 63,284
T otal Expendirures 63 ,285 63 2 84
Excess (d e fi c ie ncy) o f reven ue
over Expenditures 176,900 J 8 6,90 0 170,392 ( 16,508}
OTH ER FINANC ING SOU R CF.S (USF.S)
T ransfers out { 176,900} {176,900) { 165,299) 11 ,601
Total Othe r Fin a nc in g Sources (Uses) (176,900) (176,900) {165,299) 11 ,60 1
Net C ha nge in fund balan ces $ $ 10,000 5,093 $ (4,90 7 )
Fun d Ba lance at Beg inning of Year 1,08 8 2 19
Fund Balance at End of Year $ I ,093,3 12
89
------------------------------------
C ITY OF TEMPLE CITY, CALIFORNIA
No nmajo r S pec ia l Revenue Fund
Sch edule o f R eve nu es, Ex 1l e nditures a nd C h a n ges in
F un d Balance -Budget a nd Actual
Air Quality Improvem ent Fund
Year E nd ed Jun e 30,2016
Budge ted Am o unts
O rigin a l Fin a l
REVEN UES
Inte rgove rn me nta l $ 40,000 $ 40,000
Use of m o ney a nd property 10 0 100
T o tal Re ve nu es 40,100 4 0 10 0
OTHER FINANC ING SOU R CES (USES)
Tra ns fers out (44,600} {4 4 ,600)
T o ta l O the r F in a nc in g Sources (Uses) {44 ,6 0 0} (44,600 )
Ne t C hange in fu nd ba lan ces $ (4 ,5 00) $ ( 4 ,50 0)
Fund Balan ce a t Beg inning of Yea r
Fund Ba lance a t En d of Year
90
Varia nce w ith
F in a l Budge t -
Ac tual P osit ive
Amo u n ts e ga ti v e }
$ 46,0 8 3 $ 6 ,08 3
11 8 18
46 20 1 6 ,10 1
{37,3 0 1} 7 299
(37,3 0 1) 7 ,299
8,9 0 0 $ 13 ,4 00
16 0 524
$ 169,4 24
C ITY OF TEMPLE C ITY, CA LIFORN I A
No nmajor Specia l Reve nue Fund
S chedule of R evenues, Ex p e nditures a nd C h a n ges in
Fund Balance -Bud get a nd Actua l
Meas u r e R Fund
Year Ended Jun e 30,2016
Budgeted Amounts
R E V ENUES
I nte rgovernme n ta l
Use of m o ney and p ro pe rty
T o ta l R even ues
$
Origina l
400,000
I 000
40 1,000
40 I ,000 Net C h a nge in fund bal a nces ....;:;.$_.....;~.:..;.;;;.;;...
F und Balance at Beginnin g of Ye ar·
Fund B a lan ce at E nd of Year
9 1
Fin a l
$ 400,000
1,000
40 1,000
$ 40 1,000
Varian ce wi th
f-ina l Budget -
Ac tual P os iti ve
Amounts (Negative)
$ 406,000 $ 6 ,000
1,922 922
407,922 6 922
407,922 $ 6,922
917 814
$ 1,325,736
C IT Y O F TEM PLE C ITY, C ALIF OR N IA
No nmaj o r S p ec ia l R evenue Fund
Sc he dule o f Reve nues, E xpe nditures a nd C h a nges in
Fund Ba la nce -Bud get and Ac tu a l
A ffo rd a bl e Ho us ing Fund
Year E n ded June 3 0 ,201 6
R EV ENUES
C ha rges fo r services
T o ta l Revenues
Net Change in fund ba la nces
Fund Ba la n ce at Beginnin g of Yea r
Fund Ba l a n ce a t E nd of Ye ar
Budge te d A mo unts
O ri gi na l Fin a l
$ $
$ $
92
Variance w ith
F ina l Budget -
Ac tua l P ositive
Am o u nts (Negative)
$ 19 095 $ ( 19 ,095}
19,095 19,095
19 ,095 $ 19,095
137,905
$ 157,0 00
C ITY O F T EMP L E C ITY, CA LI F OR N IA
No nm a j or S p ecia l R evenu e F und
S che dule of R evenues, Ex p e nditures a nd C h a ng es in
Fund Ba lan ce-Budget a nd Actu a l
Sewer R e co n s tru c tio n F und
Yea r E nd e d Jun e 3 0,201 6
Budge te d Amounts
Origjnal F ina l
R E V ENUES
C harges fo r serv ice s $ 80 ,000 $ 80,000
T o tal Revenues 80 ,000 80 000
EXPENDITURES
C u r re nt:
Public works 10 000
Tota l Expenditu re s 10 000
Net C ha nge in f un d bal a nces $ 70,000 $ 80,000
Fund Bala n ce a t Beginnin g o f Yea r
Fund Ba la n ce at E n d of Year
93
Variance w it h
Fin a l Budget-
Ac tu a l P os itive
Am o unts (Negative)
$ 161 ,5 00 $ 8 1 500
16 1,5 00 8 1,5 00
16 1,5 00 $ 81 500
472,726
$ 63 4 ,226
-------------------------------------------------------
C I TY OF TEMPLE C ITY, CALI FORNIA
Non m a jor Specia l R evenue Fund
Schedule of R evenu es, Ex penditu res and C han ges in
F u nd Balance -Budget a n d Actua l
H S IP Fund
Year E nded Jun e 30,2016
Budgeted A mounts
Orig in a l Fina l
R E VE NUES
I nte rgove rnm enta I $ 1,253,20 0 $ 1,253,200
Total Revenues 1,253 ,200 1,2 53,200
OTHER F I NANCI NG SOURCES (USES)
Trans fe rs out {I ,2 53,200 2 (I ,2 17,460)
T ota l O the r Fin a nc in g Sources (Uses) (I ,2 53,2002 (1,2 17,4602
e t C ha nge in fund ba la nce s $ $ 3 5,7 40
F und Bala nce at Beginning ofYear
Fu nd B a la nce at E nd ofYear
94
Varia nce w ith
Fin a l Budget -
Actua l Pos itive
Amoun ts (Negative2
$ 56,08 2 $ (1,19 7,1182
56,08 2 (1,197,11 8)
(56,0822 1,16 1,378
(5 6,08 2) 1,16 1,378
$ (35,740)
$
C ITY OF TEMPLE CIT Y, CALIFORN IA
Non major Special Reve nue Fund
Sc he dule of R evenues, Expenditures a nd C h a n ges in
F und Balance-Budget and Actua l
J 992/1996 Park Bond Fund
Yea r E nd ed June 30,2016
Budgeted Am o unt s
REVENU ES
Intergovernme nta l
T o ta l Revenues
OTHER FINANC I NG SOURCES (US ES)
T ra ns fers ouL
T ota l O ther F in a n c in g Sou rces (Uses )
Net C h a nge in fund balan ces
F und Ba lance at Beginning o f Yea r·
Fu nd Balance at E nd of Yeu
$
$
O rioi na l F ina l
14,5 0 0 $ 14 ,5 00
14 ,5 0 0 14 ,5 00
{ 14,5 00} ( 14 ,5 002
( 14,5002 (14,500)
$
9 5
Variance with
Fin a l B ud ge t-
Ac lll a l P ositi ve
A mo un ts (Negative)
$ 24,943 $ 10 44 3
24 9 4 3 10 44 3
(24,943 2 (1 0 ,44 32
(24,9432 (I 0 ,443 )
$
$
C ITY OF T EMPLE C ITY, CALIFORN i A
N onm aj o r S pecia l R e ve n ue F un d
Sch ed ul e o f R evenues, Expe nditures a nd C h a n g es in
Fund Ba la nc e -Budget a n d Ac tua l
S t a t e R ecycl in g Fu n d
Year E nded June 3 0,2016
B u d ge t ed Amo u n ts
O riginal F inal
R E V ENUES
I n t ergov ernm en ta l $ 9,500 $ 9 500
T o tal R even ues 9 ,50 0 9 ,500
EXPEN DITU R ES
C urrent:
C ommunity se r v i ces 9 50 0 9 5 00
Tot al Exp enditures 9 ,500 9 500
Net C h an ge in f und ba lan ce s $ $
Fund Ba la nce at Beginn in g of Yea r
Fund Bala nce at En d o f Year
96
Var iance w ith
Fina l B u dget -
Act u a l Pos it ive
A m o un ts (Negat ive)
$ 9 77 1 $ 2 7 1
9 ,77 1 27 1
8,9 36 564
8,93 6 564
835 $ 835
276
$ I , I ll
,---~~~~~~--~~~~~~~~~~~~~--~~-------------------~~~~~~~~--~~~~------------
CITY OF TEMPLE CITY, CALIFORNIA
Nonmajor Specia l Reve n ue Fu nd
S ch edule of R eve nues, Expenditures a nd Changes in
Fund Balance-Budget and Actua l
Park Acquisition Fund
Year Ended June 30,2016
Budge ted Amounts
O rig inal Fin a l
R EVENUES
C h arges fo r services $ 30 000 $ 30 000
Tota l R evenu es 30,000 3 0 000
OTH ER FJNANCJNG SOURCES (USES)
Transf e rs o u t {225,3 10}
Total O th e r F inancing Sources (Uses) {225,3 1 0 )
N e t C hange in fund ba lances $ 3 0 ,000 $ (195,3 10)
F und Bala nce a t B eginning of Year·
F und Balance at End of Year
97
Varian ce w ith
Fin a l Budget-
Actua l P osit ive
Amounts (Negati ve}
$ 6 1 932 $ {31 ,9 32}
6 1 932 3 1,932
{37 ,327} 187,983
(37,327) 18 7 983
24,605 $ 2 19 ,9 15
263,264
$ 2 871869
CITY OF TEMPLE C I TY, CALIFORN I A
Non maj or S p ecia l Revenue Fund
Schedule o f R evenues, Expenditures and C hanges in
Fund Balance-Budget and Actua l
L ighting and Landscape Distric t Fund
Year E nd ed Jun e 30,2016
Varian ce w ith
Final Budge t-
Budgeted /\mo unts Actua l Pos itive
O ri ginal Fina l Am o unts (Negati ve}
R EVENUES
Taxes $ I ,230 ,00 0 $ I ,230,000 $ I ,3 15,758 $ 85 ,758
Use o f mo n ey and pr operty 1,5 00 1,5 00 I 579 79
Tota l Re ve nu es I ,23 1,5 00 I ,23 1,5 00 I ,3 17,337 85 ,8 37
EXPENDITURES
C urre n t:
Publi c works 188 535 1,203,535 I ,232,3 88 {2 8 ,853 }
T otal Expenditures 188 ,535 1,20 3 535 I ,232,3 88 {2 8 ,853 )
Excess (d e !ic ien cy) of revenue
over Ex pe nditures 42,965 27,965 84,949 56 984
OTHER FJNANCrNG SOUR CES (USES)
Trans fer s in 123,970 123,9 70 130 ,70 3 6 ,733
T ra ns fer s o ut {15,3 10} {15,3 10}
Total Other F inanci ng Sources (Uses) 123,970 I 08,660 11 5,393 6 ,733
Net C h ange in fund balan ces $ 166 935 $ 13 6,625 200,3 4 2 $ 63 ,7 17
Fu nd Ba la n ce a t Beginning of Year 948 438
Fun d Balance a t E nd o f Year $ I 148 780
98
CJTY OF TEMPLE CITY, CALI FORN I A
Nonmajor Special Reven u e F u nd
S chedule of R evenues, Expenditures and C h anges in
Fu n d Ba la n ce -Budget and Actual
Con gestion Mitigation & Air Quality Fu n d
Year Ended J un e 30,2016
R EVEN UES
T n te rgovernmenta l
Total R evenues
Net Change in fu nd balances
Fund Bala n ce at Begi n ni ng of Year
Fund Bala nce a t E nd of Year
$
$
Budgeted Am ounts
Original F in a l
$
$
99
$
$
Variance w ith
Final Budget -
Ac tua l Pos it ive
Amoun ts (Negative)
18 10 9 $ 18 109
18,109 18 ,10 9
18,109 $ 18 ,109
(18, I 09}
C ITY OF TEM PLE C ITY, CA LI FOR NIA
No nmaj or S pec ia l R evenue F und
Sch edule o f R eve nu es, Ex p e ndi t ures a nd C h a n ges in
F un d Ba la nce -Bud ge t a nd Actu a l
Public Art F und
Yea r E nd ed Jun e 3 0,201 6
Budge te d Amounts
O rigin al Fin a l
R EVENUES
C ha rges fo r serv ices $ $
T otal R eve nues
OTH ER FINANCIN G SOUR CES (USES)
Tra ns fe rs o ut {30,000) (30,000)
Total Othe r Financ in g Sources (Uses) (30,000) {3 0 ,000}
Net C ha nge in fund ba la nces $ (30,000) $ (3 0 ,000)
F un d Ba la n ce at Beginnin g o f Year
Fun d Ba lance a t En d o f Year
100
Va r ia nce w ith
Final Budge t-
Actua l P ositive
A m o un ts (Negati ve}
$ 18 244 $ 18 ,244
18 244 18,24 4
{6 ,806) 23,194
(6,806) 23 194
11,438 $ 4 1,438
10 7 ,982
$ I 19,420
C I T Y OF TE M PL E C ITY, CA LIFOR N I A
Descriptio n of S tatis tic a l Sectio n Con te n ts
Jun e 30,2016
Th is part of the Ci ty of Tem pl e C ity's (City) comprehensive annual financ ia l re port p rese nts d e ta il inform at io n as
a contex t for und e rs tanding w h a t the info r mation in th e fin anc ia l s tatem e n ts, n o te di sclos ures a nd req u ired
s upp le m e nta ry i nfo r m at io n says about the C ity's overa ll fin ancial heal th .
Financial Trends
These sched ul es conta in trend in fo rmat ion to h e lp the rea de r und e rs tand how t he C ity's
finan cial pe rform a nce and well -bei ng have c ha nged over time.
R eve nue Capac ity
These sched ul es conta in in form atio n to h e lp th e reader assess the affordabi lity of the
City's curre nt leve ls o f o uts ta nd ing d e bt and th e C ity's abili ty to iss ue ad di t io nal d e bt in
the fu ture.
Debt Capacity
These sched ul es present informatio n to he lp th e reader assess the afford a bility of t he
City's current leve ls of outs tanding debt and th e Ci ty's abili ty to issue additional de bt in
th e future.
Demog ra phi c a nd Eco nom ic I nforma tion
These sched u les offe r demograph ic a nd economic ind icators to he lp th e r ead e r
und e rs ta nd the e nv ironmen t wit hin w h ic h th e C ity's fin ancia l ac ti v iti es take p lace.
Ope rating Info rmati on
These sche dul es co n ta in ser vice an d infras truct ur e data to help th e re a d e r und ersta nd how
th e in formation in th e C ity's fin anc ia l repo rt re la tes to the serv ices th e C ity prov ides and
the activ it ies it pe rforms .
Sour ces: U nl ess otherwise noted, the info rm a t ion in th ese schedules is d erived from the com prehe ns ive annua l
fin a nc ia l rep o rt s for the re levant year.
101
CITY OF TEMPLE CITY
Net Asset s by Component · last Ten Fi scal Ye ars
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Governmenta l a ct ivities:
N et position, investment in capita l assets $ 22 ,411,970 $ 24,916,427 $ 26,109,373 $ 27.542,462 $ 28,131,358 $ 29,208,039 s 38,038,920 s 5 1,168,623 $ 52,166,900 s 53,14 3,904
Restricted 10,5 69,11 1 8,637,170 9,92 4,588 10,961,386 14,736,866 11,889,013 8,445,931 4,083,955 4,898,508 6,132,978
Unrestrict ed 17,966,076 21,393,668 20,3 13,976 18,729,825 16,112,547 24 ,103,180 21 ,329,869 9,044,919 11,485,507 11,584,805
Total governmenta l act ivities net assets s 50,947,15 7 $ 54,947,265 s 56,347,937 s 57,233,673 $ 58,980,771 $ 65,200,232 s 67,814,720 $ 64,297,4 97 s 68,550,915 s 70,86 1,687
%changes from prior yea r 7.06% 7.85% 2.55% 1.57% 3.0 5% 10 54% 4.0 1% ·5.19% 6.62% 3.37%
102
CrTY OF TEMPL£ CrTY
Change In Net Posit ion • EKpen ses and Progra m Reven ues-Last Ten fiscal Years
bpenst"S:
Gowtrnmental activlt~ors
Gc~ral 80Vf'fnn"'C!nt
Public uf~tv
Commun•tv Mwlopment
Community SeMces
Interest on lore· Term Debt
Toul &o'll'l!rntnet'talactMt~s expenses
ProJram revenues·
Govermnental actMtlts
Cha"Cf'S for ~tw:es
~rwfll &QWrl'lment
Pubic ~fety
PubliC works
CommUI'\Ity de\lelo~nt
Cornmunoty SeMCes
Ge,..,.ralaow-rnmcont
Pubbc safety
Pub&ic works
Comtnun~tv drwlopment
Commun.tv Serw:es
Cap•tal gr<lnts and contnbut10ns
Pubkworli
Total eowri'VnCntOtl actMt•es revenut"1
Net revenut"S (ewpe~'li)
Governmental illttMt~s·
General revenl.l@S a M ot her chances tn net11uets:
Property lues
Sales Tax
Frandws.e l av
Other Tnes
lnvestnwnt Income
State Mot or Vehicle In l-eu
State Revenue-ott·~r
Ne t loss on w\e of as~u
Ot her
Ct\Jinsl!s In net pos100n
btrotordtNrv •terns • RDA c:lluolutton
Chance 1n net a nets
Net AssNs at be:a•MH"C of year
Net Assets at end of ye;,r
2007 2008
1,932,634 2,060,4) I
3,77),419 4,197.010
),422.014 4,624,945
1,181,969 1,217,870
2,088,649 2,380,609
352,823 343,561
ll,751,508 14.884,426
165,695 J.49,281
560,933 SSS,6ll
208,002 87,170
1,251,314 1,469,402
718.686 797,332
2009
2,410,692
1.,528,763
2,821,551
1.6l'O.S2S
2.813.843
333,209
149,576
.. 7,841
6 1,068
927,150
~.)57
2010
2,716.505
4,484 281
2,969.555
1,480.064
2,581,200
321,00
14,552.648
15 1,245
877.0Sl
S6,906
1,056,657
686.185
2011
2,827,384
4,662,120
1,960,629
1,657,399
3.016,958
42!),238
14,553,728
82,910
516.034
88,506
1,007,719
517,381
58..335 54,002 Sl,OlS 4 5,555 44,773
113,801 103,176 100,589 133,272 136,935
981,538 1,299,422 928,0 18 1.886,781 4,065,287
178,948 1()4,763 717,)()2 349,299 213,917
1,627,245 1 ,309,751 1.161,478 975.576 83,015
1 762 314 78551
5,86:!,497 7 692 2<47 5.619 968 6 2J8 559 6.816 497
2 0 12
3,281,194
4,818,217
2.162,481
1.562.859
3,357,411
149,503
15.l31.6n
19,117
119,955
220,136
1,112,476
528.()43
100,218
3,749,817
2'6.(186
99 .....
20))
3,769.0 18
5.122,868
2,520,925
1.692,614
2,990,670
16.096.095
1.128,428
5U.380
31 4,63 1
1,115,893
567 ... 9
lOO,llS
5,128,889
8S6.693
73.000
3,512,190
5,718,966
2,970.2 ..
2,222.S69
2,947,.479
17,371,468
142,810
596.058
917,G44
1,424,955
596.879
141 .216
100,000
4,772,918
2.279.2).<
88.161
7p25.9]6 10p7l.698 ll,Q59J72
2015
3.66),847
5.00S.841
3.()65.,241
),)14,298
2,940,625
17,989,852
161,420
469,919
971.815
1,953,925
5U,477
8.D89
106,230
4,619,113
785,166
227.450
9965.644
2016 1
•• 051.109
2,165,352
•• 9S8,470
2.9()1,053
3_o.:Z,O l6
17,1 18,000
11 7,564
121,446
915,330
2,005,946
610,710
7,812
120,618
1,468,405
701,996
117,093
a.u S.980
(6,887.0ll) (7.192.179) (8.9 14 .615) (8.334,089) (7,737.231) (8.305.741) (6.022.397) (6.312,096) (8.024.208) (8.669.020)
3,438,142 3,610,345 1,764,946
47J25 45,011 4 1.536
1,607,510 1,764,521 1,675,195
569,796 560,375 581,526
151.579 11 8,497 91.816
1,363,414 1,233,12 2 712,967
2,752,706 3,482,229 1.059,138
6,737 11,061 8,201
)08,414 365.120 379 190
10,247,691 11,192,287 10,11 5,217
3,160 682 4,000 108 1,400 672
1,475,728
513,54 2
127,573
262,636
3,S.C9.571
6,975
«8.~
9,219.125
885 736
3,259,485
34,221
1,61.4,726
5.42,521
99,701
409.097
3,229.151
8.8«
285.881
9,48..4,329
1,747 098
2,251,6n
32,966
1.642.318
553,591
99,417
118,269
1.196,237
12,176
1,071,678
9.240.436
934 695
3 744,062
2,474,978
28.898
1,711,128
550,527
158.962
132,565
3.)10,180
7,579
262.()68
8.636.885
2,614 488
2,597,>49
.46,.849
1,735,613
562,535
171,191
20l.S7l
3,472,659
11,166
237,721
9.034.158
2,726,762
2,728,718
53,6U
1,873,423
590,620
175.892
180,197
4,417,122
8.958
778,693
3253,227
2.873.580
59.522
2,000,558
573,650
180,943
282,190
4,071,629
15,273
199,4 58
10.4S6.S03
1,787 781
3.160,682 4,000,108 1 . .400,612 885,736 1,7.47,098 <4,671,7S7 2,614,488 2,726,762 3,.2S1,127 1,787,783
47,S86.47S S0.9.47,1S7 54CJ.t7 26S S6.30,937 57.231.673 60,521,475 65.200 232 61 .570.735 65.297.488 69p73 904
50.947,157 S4,947,26S 56347,917 57,2)],673 58,980,771 65,200132 67,!14,710 64,297,497 68,§50 715 70,861,687
103
CITY OF TE MPLE CITY
Fund Ba lances o f Governmental Funds -Last Ten Fisca l Years
2007 2008 2009 2010 2011 20 12 2013 2014 2015 2016 1
Ge~ral Fund
Nonspendable 1,678 12,795 10,531 409,084 $ 463,539
Restncted 2,966,122 2,751,507 2,563,065 2,360,171 1,771,165
Committed 4 ,500,000 4,500,000 3,500,000 3,500,000 3,500,000
Assigned 17,200,000 15,150,000 12,769,580 12,868,392 12,302,864
Unassigned 20,906,179 22,063,783 22,052,532 22,340,207 23,542,553 2,352,402 1,764,267 1,725,404 3,249,131 3 ,538.853
Total general rund 23,872,301 24,815,290 24,615,597 24,700,378 25,313,718 24,054,080 21,427,062 18,005,515 20,026,607 19,805,256
AU other governmental fu nd:
Nonspcndable 1,088,219 170,305
Restricted 6,074 10,129 10,931 22,706 14 ,736,866 11,889,013 8,445,931 2 ,959,528 4,898,508 6,322,718
Committed
Assigned
Unassigned, reported in:
Special reven~ funds 1 1,636,875 11,944,610 1 2,4 95,281 12,846,187 (84,843) (ISO) (360.04 5)
Capital proje:cu funds (1,722,989)
Debt service funds (3,357,488) (3,352,088) (3,31 4,129) (3,424,412) (3,223,856)
Total all other governmental funds 8,279,387 8,592,522 9,181,152 9,421,775 (3,308,699) (1 50) (1,722,989) (360,045)
Total Governmental funds $ 32,157,762 s 33,417,941 s 33,807,680 s 34,1 44,859 s 36.741,885 s 35,943,093 s 29,872,843 $ 20,965,043 $ 24 ,290.345 s 25,938,234
(1) Th1s schedule reports Is using the mod1f1cd accrual basis of accounttng
Source: City of Tem pl e City Basic Ftnancial Statements.
104
CrlY OF TEMPLf CITY
Ch3nges In Fund Balances o f Government Funds-last Ten Fiscal Years
2007 2008 2009 2010 2011 lOU lOU 20 14 2015 2016
Revenut>.s:
Tnes 5,1n,859 5,417,410 5,514,153 4,6-41,626 6,303.326 6,126,340 6.l)68,915 6,310,783 6,678.220 7.00<.011
Lkenses and Permits 1,200,311 1.385,267 950,216 1,096,347 1,028,284 1,145,113 1,BS,720 1,4)4,610 1,344,1'91 1,775,836
lntersovermental 5,710,223 6,135,863 5,79 2,744 6,923,107 6,462,1 42 6.026,)00 7,980,590 9,334,821 8,964,552 6,816,792
Charges for servkes 1,981,.f71 1,966,285 1.968.828 1,781,384 1,104,495 929,351 2,180,285 1,760,155 2,204,878 1,985,763
F.,., ]65,33!. 347,871 399,053 631,064 495,469 697,246 568,551 580,039 447,512 312,136
Use of money and PfOpetty 1,194,91) 1,654,677 1,024,6)3 610,529 562,190 493.070 220,984 411,657 242,457 312,681
Giant 'nd loan Rep.iyment (Low Income) 55,871 103,493 87.)26 21,590 4 9,195 74,632 85,159
Otho• 277,7l8 288t075 )06,020 l49.8Sl 415,145 128~ 269,647 266,166 860,667 4S81174
Tot~ I revenues 16.SS9,729 17.298,94 1 16,042.97) 16.0S7,4 98 16,420,146 15.820,917 18.710.{)73 20.()98,231 21.20.019 li,66S1l9l
hpenditi.KeS
CUrTent
Grneral Goverr"tment 1,759.1!>4 1,879,166 2.012,604 2.261,820 2,492,012 2,771,777 3,718,538 3,130,414 3,391,§01 1,440,424
Community development 1,128,219 1,208,947 1,708,161 1,121,870 1,231,126 1,227,221 1,6)5,&43 2,047,539 1,84l,S81 2,1)7,193
Public Safety 3,679.592 4 ,147,359 4,358,517 .t,28S,9 1.9 4,353,874 4,676,268 S,l 0l,80S 5,213,419 4,878,-'06 4,83,,728
Pubhc works ],846,413 5 ,17l.030 1,790,966 2,176.0)8 1,665,506 1.801.025 2,207,950 2,544,287 2,746,162 2,888.)26
Community ~!'Vices 1,370,103 2,190,855 2,5 17,786 2,246,777 2.733,160 2,994,515 2,78.4,456 2,739,171 2,667,377 2,926,417
C~po~taloutlay. 756,406 250,600 211,868 2,106,266 1,132,410 1,520,720 9.269,711 ll.929,7 41 1,665,752 J,lll,404
Debt~rvkes
Pt1nclpal retirement 240.000 280,000 285.000 295.000 lOS.OOO 3 15.000
lntereo;;t a nd f1scal c~rars 50',814 4 90,352 471,281 452,411 4 13,050 151,£8.4
P.ns-TtvoUBh p1yment 12,~7 51.612 40.1)46 16.)11 10,897
£RAF Payment ll0 160 67.974
Total evpc~s 1],234.961 15.832,506 15,429,795 15,710,319 14,450,.(4 5 15,0 5,107 24,780,323 29.604,591 17,194,779 17~,492
Evcess (defiC•encvl o f revenues over
(Ot'lder} torperdture' 3,27.(,768 1,466,05 613,178 ]]7,179 1,969,801 345,820 {6.D70.250) {9,506,362) 4.1)48.l00 1,124,901
Othill!r flnanc:irla sources (use s)
Transfers In 1.952.0ll 3,01)2,181 2,709,757 2.881.170 1,740,640 2,345,392 10.018.826 ll,O•H,70l ll.041.701 2,422,109
Transfe r out 12,1 58,7161 (3.208,4371 12,911,1961 12,881,1701 (1.740.6401 12,145,1921 110.!!18,8261 (13.041.7011 lll.041 7011 (2.-4 22 1091
Net other fina nc:irc sourcM (us-es) 1206,7011 1206,2561 1221,4191
Chance In fund batance befort evtraord1nary •tems 1.D68,065 1,260,179 389.739 ll7,179 1,969.801 145.820 !6.o70,250I 19.506,161) 4 .1>48.300 1,124 ,901
E.vtriordiNry rtems-ROA dluolut)()n tta~Ct)()ft 517.)8
N.-t chanv m fund ba~nc:e 1.D68.o65 1.260,179 189,719 337,119 1,969,801 (17 1.567) {6.070.150) (9,506,362) 4 .048.)00 1,124,901
fund ~lances at ~gtnnfng o f ~ar • rHtated 29.Q!9,697 32,157,762 33,417,9-41 )),807,680 ).t,144.859 36,114,660 15,941,091 30,A71,40S 20.242.1)4 5 24,813,333
Fund balanc.-(dcfic•t) at end o f ye11r 32,157,762 33,417,941 33,807,680 34,14-4.859 36,114,660 35,943,093 29,.872,843 20,965,043 14.290,).45 25,938.234
Note Thhi schedul.-r.-port.s uslnc the mod,fted accrual basis o f accountlrc
Sourc.-. Crty o f T.-mpl.-City Basile f1Nnc.~l Statt'rnl!nts
105
Category 2008107
R-IW 2,54U4U12
Conwnerelal 202.110,650 -.. 30,Ml,511 _ ....
10,tl0,100
........ 4el,1 71
lllsc .. neeus 4lf,ltl
Roctoollonll m.lll5
V....t 1t,70Ut 2
IBE No........, 124,004
C..U R.,._o 1,191,874
u..-.1 24. .....
&.,.c 15.161.4441
TOT All 2,144,50S,N5
T olll Oiroet Roto ooeo7e
_,
b~ ........... not tnct.ldM 1m .... ...
THE CITY OF TE MPLE CITY
ASSESSED VALUE OF TAXABLE PROPERTY
2006/f17 -2015118 Taxab le Property Values
2007108 2008109 2009{10 201 0111 2011 112 201 2113 2013114
2.150,833,55G 2,814,508,104 U52,810,525 l.04~.ll5.501 3.111.511,665 3,291,1)1,411 3,408,485, IM
m ,Ml.I03 224. IU.4 14 233,159,811 235,240,1142 241,3l4,139 24 7.M~.m 251,4)1,441
:14,180,511 :K,lll,lll 38,131,023 31,1166,101 l~.~5~ 41,224,41 5 4U2UIO
13,~31,061 11,014,015 1l.l28,M2 ll,129,l01 1t,415,635 14,510,120 14,521,414
4n.~l 411 ,Gel ~8.132 4H,852 G9,312 4$1,000 418,180
53,351 511 ,411 55,504 55,310 55.7114 51,1111 58.033
2,311.252 l.l02,MI l.24M93 2.150,152 1.11U51 1,21l.11l 1,522,514
37,540,817 40,m .m ll.388,441 28,505,1~7 21,242,117 32,215,1~ 32.046.273
5111 ,311 lt2,1111 lt2,191 252.011 252.011 252,011 252.011
1,311 ,518 1,Mt,M 1.124.7~2 7,N ,t15 1,118,431 ~. 111,126 10.3l4,699
21,:111.011 21,0H,12t 21,183,3311 2t,t11,013 32,:110,705 l2,M1.141 32.115,111
~.4H.11181 1'5.151,01SI 15.135,1441 ~.135.1441 ~.135,1441 ~.ll5.744j ~.135 ,7441
3,019,126,323 3,270,425,123 l ,ll2,137 ,t18 1,410,110,131 3,~6,081,027 ],111,1511,182 3,1511,234,251
0.092~ 0.01111 0.091~7 0 09202 0.09120 0.09018 o.osase
2014115
l,6H,Sit.551
26UOt,MI
43,112,413
18.171535
106,342
:ll,lOI
1,231,110
31.540.418
252,011
ID.214,241 , .....
(f.106,13lj
4,0H,M4,NI
00111112
In tl711hewten Of the et•• tiC ...... ,. .. M PNposltlon 1lWhkh lmh41etl te •W-'Ma!dMt.n r•• oft ... baMCiupot'l the 1M "stuHvlllM ollhe prop..-tyMAngtu.M. llKhyt•.h ll .. Utdv.W. olfWOt*'Y •.YM
lnctHudbyan •~nnatlonfKtOI"' (lmiH So e •aDn~n ot"').Wih ftwtxcepttont. proptfty•offt rt~ssessed '''red oiNWconstruc:lorl acMyor It the he I t1 1okl to • new~.AtN polnt.lhe pl'opt rtyb ,.esSH.JH
o .. .-upon 1M elkHid wlM el 1M cOftiiNclon., M 1M purctwse Pfk• (mertl:ee v.._) ., KtlftOtlllc vli.M of the ptopetty •*· The euened v-.oon del:e shoM'I ebow ,.,_,.,..,the rif daa c.wrentiy evllbbfe with,...,... .. .,.
edulll Jna1tet v-... c( l•nble pt09ttty enc1 t1 Nllftd M the 1m lations cMserl)td IIMYt.
2 015118
3.~.327.41~
282,005464
40,113,412
20.2'2.6]1)
106,:142
38,:198
1,211 ,110
35,042,41~
252,011
11,111,323
».2~.-
11.1 12.13 11
4.lll,43Ul4
0.066~
O.r. SO<TCe: Lao AI>Qelol County Aue1.cor 2006/JT ·201M 0 CombiM<J Tax Rolli Pr--' On 6/t21201S By MV
Thll report Is nol lobe used t1 1uppal ofclebll .. uonce or continuing diM:Iosllffl •r.rements w/lhout lhe wrllten con sen! of Hdl, Coren & Cone
106
THE CITY OF TEMPLE CITY
DIRECT & OVERLAPPING PROPERTY TAX RATES
(RATE PER $100 OF TA XA BLE VA LUE)
Last 1 0 F iscal Years
Agency 2006107 2007/08 2008/09 2009110 2010/11 2011112 2012113 2013114 2014/15 2015/16
Basic L evy' 1.00000 1 .00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000
Arcadia Lighting 0.00000 0 .00000 0.00445 0 .00000 0.00000 0 00000 0.00000 0.00000 0 .00000 0.00000
Arcadia Unihd 0.02831 0 .08086 0.07911 0 .07561 0.07456 0 .07691 0.07670 0.07550 0.07653 0.07507
County Dllention FaclliiMs 1987 Debt 0.00066 0 .00000 0 .00000 0.00000 0 .00000 0 .00000 0.00000 0.00000 0.00000 0.00000
El Monte City School District 0.06402 0.08068 0 .09045 0.11907 0 .12388 0.12733 0.13288 0.12735 0 .11822 0 .14642
El Monte U..Oon High School 0.05847 0.02820 0.05160 0.09654 0.08475 0.09591 0.08992 0.09799 0.08418 0 .09155
La Community Col ega Olslrlct 0 02146 0.00879 0.0 221 2 002311 0.04031 0.03530 0.04875 0.04454 0.04017 0.03575
La County Rood Control 0.00005 0.00000 0 .00000 0.00000 0 .00000 0.00000 0.00000 0 .00000 0.00000 0.00000
Melropolitan Wafer District 0.00470 0.00450 0 .00430 0.00430 0 .00370 0.00370 0.00350 0 .00350 0.00350 0 .00350
Puadana Commu..Oty Cologe Olst 0.02080 0 .01972 0 .01742 0.02300 0.01986 0.01956 0.02056 0 .01899 0.010~ 0.00872
Rosemead School Ols1rlct 0.05420 0 .08283 0.()6875 0.11358 0.10743 0.10 507 0.10240 0.10314 0 .09886 0.09997
San Gabr;.! U..Oiied 0.04930 0.05741 0.09294 0 .10070 0.10190 0 .08454 0.10523 0 .10082 0.11#4 0.10684
Temple City Unl lied o.049n 0 .04414 0.04661 0 .04910 0.04950 0 .04590 0.04981 0.10744 0 .09985 0.09823
Total Direct & Overlapping• Tax Rates 1.35173 1.40713 u1n4 1.60501 1 .60589 1.59422 U2975 U7827 1.64608 1.66606
City's Share of1 % Levy Per Prop 13' 0.09370 0.09370 0 .09370 0 .09370 0.09370 0.09370 0.09370 0.09370 0 .09370 0.09370
Voter Appro1111d City Debt Rate
Redevelopment Rate• 1.00541 1.00450 1 .00430 1.00..30 1.00370 1.00370
Tota l Di rect Rate • 0.08976 0.09254 0 .09188 0.09197 0 .09202 0.09120 0.09076 0 .08886 0.08992 0 .08895
Notts:
•n 1978. Caitomovoten posstd ~sloon 13wtocllsolltoopropooty~a> 1111t ole 1 00'14> hxtd omO<rt Ttu 1 ~ os $1lartdb\l ol biJUng agonoos k>fwhiCl\tho s~Aljtct proponyrosodtswohn n tdobon
lo lilt 1 00'14> ftxtd omO<rt propo~y owno" oro cha ~d laxts as e Plf<:tnlago o f assessed P<OI*t\l values fer tho pr,monl of onv •olor -td bonds
'Ov«<sppong r81H «tlllow of looalond oounly goverrrnorts !hoi apply t o proporty ""'""" wollln ltoo 01)1 Not oil OY<Ortoppong rates apply lo ol atv property""'"""
'Colts Share ol t,., Levy os bes&d on tho Otys share ollho o->«tl U1d tax role oroa w1 th lllolergMt nallaublt vlkJe wlhn lhe al)l ERN' Qllne<alllnl tax shfts moy not be uldudod n lox rltlo hgues
'Rtdtvtlopmont Raft" b ... d on llol«gest ROA tox rate «M ...., ony Includes rato(s} from ondll>ltdntn tdopltd priOr 10 1989 per Colotomt Stu statuto ROA do roctond 00/trteppong rates ort eppl•d
only lo lllo nCAmtnlol prop«<yveues The owro•al oi.O.SX1 2e II•'MlUd Rtdtvolopmant from Ina Slala ol Colo tome lor tho lscal year 20t21t3 end V0111 thOfeofter
'Total 0nc1 Rotols tho w~ avwega ote,1 on<iYidoJal o.-.c:t rat" epplotO 11> by lho govonvnart ~ lllo suou.col secbon ontoonelon and eo<<'ldts ,._,ues d..,..O tom oorcro~ Bogornng on
2013/t4tho TOial 0nc1 Rl!to no longor ndudes revenue Qllnanlad tom lite-rtd!MIIopmort tax ratt «tas Cll&"lengos lo roc:oonzad anbn>tablo oblogatJons «a""'"""' to toowo b-resot.lad
c11nng 2012113 for tho--ot trus ._n. reSl<bll ...,..,. s ....,.,ad to bo dostnb<.Ctd to 1118 Cotv n tho .. ,. ~as o->erol U1d,........,.
O.t• Source: Los Angeles CountyAssessar 2006107 • 20 1!511~ ax R•te T•ble Prepared On 8112/2016 8y MV
This rapart Is ncJ to I» u»d In support of debllssuonce ar continuing disclo.sure sf•lements without the wrillen consent 0( H<L, Ccwn & Cone
107
City of Te mple City
Prope rty Tax levies and Collections
last Te n Fi scal Yea rs
Fiscal Year Taxes l evied for
Ended June 30 for the Fisca l Yea r
2007 $2,994,518
2008 $3,104,241
2009 $3,210,234
20 10 $2,660,3 26
2011 $3,238,026
2012 $3,359,572
2013 $3,619,421
2014 $3,794,593
2015 $3,984,673
2016 $3,897,3 6 1
Coll ected w it hin the
Fi sc al Year of l evy
Percent of
Amount Levy
$2.453,795 83.33%
$2,660,485 85.70%
$2,820,660 87.86%
$2,857,221 107.40%
$2,941,760 90.85%
$3,063,945 91.20%
$3,174,199 8 7.70%
$3,340,124 88.02%
$3,549,165 89.07%
$3,428,032 88.00%
108
Total Co ll e ctions to Date
Co ll ections in Pe rcent of
Subseq uent Years Am ount Levy
$490,723 $2,944,518 100%
$443,756 $3,104,241 100%
$389,574 $3,210,234 100%
-$196,895 $2,660,326 100%
$296,266 $3,238,026 100%
$295,627 $3,359,572 100%
$445,222 $3,619.421 100%
$454,469 $3,794,593 100%
$435,508 $3,984,673 100%
88.00%
CITY OF TEMPLE CITY
Revenue Capacity
G e neral Fund Reven u es -Last Ten Fi sca l Years
Fisca l
year Licen ses and
ended Taxes Permits Intergovernmental
2007 $ 4,359,660 $ 1,200,311 $ 3,068,372
2008 4,578,801 1,385,267 3,482,229
2009 4,542,514 950,216 3,051,888
2010 3,830,602 1,096,347 3,549,571
2011 4,451,470 1,028,284 3,229,851
2012 4,581,975 1,345,183 3,196,237
2013 4,924,493 1,335,720 3,310,180
2014 5,113,739 1,434,610 3,480,366
2015 5,422,265 1,844,793 4,895,411
2016 $ 5,688,253 $ 1,775,836 $ 4 ,079,441
Source: City of Temple City Bas1c Financial Statements
Cha rges for
Services
$ 621,383 $
674,154
662,360
542,976
631,355
757,496
957,437
1,510,392
1,527,116
s 1,627,626 s
109
Investment Rental Other Total
Fines Income In come Revenues Revenues
254,024 $ 1,167.407 $ 37,413 $ 276,738 $ 10,985,308
242,337 1,034.417 90,108 287,075 11,774,388
287,575 694,444 80,794 305,020 10,574,811
534,287 442,363 65,928 348,851 10,410,925
423,041 409,097 57,442 414,145 10,644,685
646,498 378,269 57,268 128,805 11,091,731
521,440 132,565 53,369 269,647 11,504,851
554 ,805 203,571 68,411 246,206 12,612,100
433,102 148,086 89,116 819,206 15,179,095
303,524 $ 306,568 $ 84,241 $ 303,058 s 14,168,547
THE CITY OF TEMPLE CITY
2006/07 TOP TEN PROPERTY TAXPAYERS
Top Property Owners Based On Net Values
Owner Secured Unsecured Combined
%of %of %of
Pwctls 1/tlue NetAV Per eels 1/tlue NetAV 1/tlue NeiAV
1) CAlAC NVESTMEHT 2 $18,331 ,610 0.69% S11,S31,610 0 .61%
2) GRAIMAZIO INVES'NENT CCIIIPNlY 5 $12,827,435 0.45% $12,827,4" 0 .45%
~""""'*" OnP'WoiMI
3) &.NTAANrTA CONVAL.ESCEHT HOSP 2 $8,354,514 0.23% 2 $882,180 3 .53% $7,238,5$4 0.25%
4) RALPHS GROCERY eot.APNIY 1 $5,776,085 0.20% 1 $644,662 2 .58% SI,U0,747 0.23%
5) JAMES J AND S\JE FEMINO TRUST 2 $5,203.495 0 .18% $$,203,495 0.11%
~.._,~.On Prclll)
8) -1 S\JlTANAU.C 1 s4.J45.2n 0 .15% $4,345,277 0.15%
1) SAND P NVES'NENTS LLC 4 $4,300,000 0 .15% $4,300,000 0.15%
8) MIUER DRIVE R<.RTNERSHIP 2 $3,946,928 0 .14% $3,948,128 0.14%
8) RAMSHORN CORPOAATION 2 S3.5so.m 0 .13% $3,5",773 0.12%
10) PREETR<.l NEESHI UC 2 $3,545,520 0 .13% $3,545,520 0.12%
Top Ten Total 23 $69,181,667 2.45% 3 $1 ,526.842 6 .11% $70,708,529 2.49%
Ci ty Tota l $2,819,515.999 $24,989,966 $2,144,505,1165
Top C>.Yners lost edited on 8112116 by MaheaV using sales through 06130/07 (Versloo R.1)
o.ta Sou tee: Lo• Angelu COUIIty A.uenor 10DIAJ7 Combined TU If Oils lind Ute sa• Non Urrbty Tar lfol
ThiS RpOtt Is not to be 11~ lit uppon of ddJf Issuance or c:ontMfllltg tllxknflre .,.~frtenCS wlfhout UN wrfWII C'OttHtlf ol Hd&. Coren & COM
II V
Pri mary Use &
Primary Agency
Convnerdlll
SUccessor l>qency
Convnerdlll
SUccessor ~>qency
tnsllulklnlf
TOll
Cornm«cial
TD*1
Commerdol
SUceeuor AQonr:y
Residentitll
TD*1
Convnerdol
SUccessor l>qency
lnclntriol
10*1
lncllstrlol
TO *I
Residentllll
TD *1
"'-<'od On 8/12/2015 By IN
THE CITY OF TEMPLE CITY
TOP 25 SALES TAX PRODUCERS
FOR FISCAL YEAR 2015-16
Business Name
AT&T Mobility
Chevron
Circle K
CVS Pharmacy
Grand Harbor Restaurant
Hometown Buffet
In N Out Burgers
Kmart
McDonalds
Mingja
Modern Lighting
Office Depot
00 Kook Korean BBQ
Pep Boys
Ralphs
Rite A id
Seafood Palace
Star Maintenance Supply
Super A Foods
Supe r Pets
Temple City Mobil
Temple City Powersports
The Hat
T J Maxx
Vasil
Business Category
Electron ics/Appliance Sto res
Service Stations
Service Stations
Drug Stores
Casual Din i ng
Casual Dining
Quick-Service Restaurants
Discount Dept Sto res
Quick-Service Restaurants
Home Furni shings
Plumbing/Electrical Supplies
Office Supplies/Furniture
Casual Dining
Automotive Supply Stores
Grocery Stores Liquor
Drug Stores
Casual Dining
Light Industrial/Printers
Grocery Stores Liquor
Specia lty Stores
Service Stations
Boats/Motorcycles
Quick-Service Restaurants
Family Apparel
Service Stations
Percent of Fiscal Year Total Paid By Top 25 Accounts= 60.31 %
• Firms Listed Alphabetically
Pe riod: Aprll2015 Thru March 2016
Source: Hinderl iter, de llamas & Associates, State Boa rd of Equalization Printed 06122120 16
I l l
THE CITY OF TEMPLE CITY
DIRECT & OVERLAPPING DEBT AS OF JUNE 30 , 2016
Perc ent
Gro ss Bonded Applicable Net Bonded
De bt Balance To C itv
Ove rlappi ng De bt
•337 .05 METROPOLITAN WATER DISTRICT 44 ,916,916 0.415
473.57 EL MONTE CITY SO OS 2004 SERIES B 1,835,991 10.798
473.59 EL MONTE CITY SO OS 2004 SERIES D (2009) 7 ,620,000 10.798
473.60 EL MONTE CITY SO OS 2008 SERIES A 5 ,998,159 10.798
473.61 EL MONTE CITY SO OS 2008 SERIES A-1 BABS 18,540,000 10.798
473.62 EL MONTE CITY SO OS 2015 45,590,000 10.798
473.63 EL MONTE C ITY SO OS 2012 REFUND BONDS 9,068,273 10.798
473.64 EL MONTE CITY SO OS 2014 SERIES A 29,360,000 10.798
629.53 ROSEMEAD SO OS 2007 SERIES 0 1,230,000 2811
629.54 ROSEMEAD SO OS 2008 SERIES A 7 ,880,000 2.8 11
629.55 ROSEMEAD SO OS 2011 REF BOND 5,295,000 2811
629.56 ROSEMEAD SO OS 2012 REF BONDS 8,216,503 2811
629.58 ROSEMEAD SO OS 2008 SERIES T 1 6,180,000 2.811
629.59 ROSEMEAD SO OS 2014 REF BONDS 12,800,000 2811
745.51 EL MONTE UNION HSD 2002 SERIES A 1,n2,97o 6 .226
745.53 EL MONTE UNION HSD 2006 REF UND BONDS 30,241,492 6.226
74 5 .54 EL MONTE UNION HSD 2002 SERIES C 26,525,000 6.226
745.55 EL MONTE UNION HSD OS 2008 SERIES A 28,315,000 6.226
745.56 EL MONTE UNION HSD OS 2008 SERIES B 53,785,000 6.226
805.58 LACCD OS 2001.2006 SERIES B 53,535,000 0.018
805.60 LA CCD OS 2001, 2008 SER E-1 20,620,000 0 .018
805.62 LA CCD OS 2003, 2008 SER F-1 20,270,000 0.018
805.65 LA CCD OS 2008, 2009 TAXABLE SER B 75,000,000 O.Q18
805.66 LA CCD OS 2008. 2010 TAX SERIES 0 175,000,000 O.D18
805.67 LACCD OS 2008, 2010TAXSER E (BABS) 900,000,000 0 .018
805.68 LA CCD OS 2008. 2010 SERIES C 125,000,000 0 .018
805.70 LACCD OS 2013 REF BONDS 261 ,585,000 0 .018
805.73 LA CCD OS 2015 REF SERIES A 230,000,000 0 .018
805.74 LA CCD OS 2015 REF SERIES B 1,462,085,000 0 .018
805.75 LA CCD OS 2015 REF SERIES C 42,000,000 0 .018
805.76 LA CCD OS 2015 305,905,000 0 .018
812.51 PASADENA CCD OS 2006 SERIES B 1,740,000 5 .668
812.53 PASADENA CCD OS 2002, 2009 SERIES D 6,870,000 5 .668
8 12.54 PASADENA CCD 2002. 2009 SERIES E (BABS) 25,295,000 5.668
812.55 PASADENACCD OS 2014 REF SERIES A 50,725,000 5 .668
817.51 ARCADIA UNIFIED OS 1993 SERIES A 2,338,594 3.001
817 .53 ARCADIA UNIFIED OS 1993 SERIES C 704,291 3 .001
817.54 ARCADIA UNIFIED OS 1993 SERIES REF 2005 A 2,050,000 3.001
817.55 ARC ADIA UNIFIED OS 2006 SERIES A 155,630,423 3.001
817.57 ARCADIA UNIFIED OS 2006 SERIES B 27,000,000 3.001
'This lmd Is a po<1jon of a larger agency, and Is r esponsible lor debt in ereas outside the city.
This report relec:ts debt wtich is being repaid lhrough votet·opproved property tex indebtedness . k ex cludes mortage rwenue, tex allocation bonds, interim lnancing
oblg.Uons, non-bonded ceptiallease oblgat ions, and certilcates of partipalion, unless provided by lhe city .
Debt
186,267
198,257
822,837
647,705
2 ,002,022
4 ,922,986
979,228
3,170,408
34,570
221,473
148,820
230,931
173,694
359,754
110,394
1,882,982
1,651,576
1,763,030
3,348,916
9 ,452
3,641
3,579
13,242
30,899
158,907
22,070
46,186
40,6 10
258,151
7,416
54,01 2
98,61 8
389,370
1,433,642
2,874,935
70,173
21 ,133
61,513
4,669,929
810,176
Overlapping governments ore lhosa that coincide, ot lout In port, w ilh t he geographic boundari es of lhe city. The percentage o( ove~apping debt oppicoblels ostimated by
using texoble ossessed values. Appl cable percenteges were estimated by determining the po<1jon of another governmental uni rs taxable essossed value that h within the dty's
bcx.lldaries and cllo1dlng I by each un••• total taxable assessed value.
Data Source: HdL Coren & Cone, Los Angeles County Assessor and Auditor Combined 2015116 Uen Date Tax Rolls Prepared On 811212016 By Ml/
This repott Is not to be used In support of debt Issuance or c ontinuing disclosure statemetrts without t he wrtrten consem of Hdt.
Corrn & Cone
11 2
THE CITY OF TEMPLE CITY
DIRECT & OVERLAPPING DEBT AS OF JUNE 30, 2016
Percent
Gross Bonded Applicable Net Bonded
Debt Balance To C ity Debt
Overlapping Debt (Continued)
920.52 SAN GABRIEL USD OS 2002 SERIES 8 1 ,112,600 2 .487 27,673
920.53 SAN GABRIEL USD OS 2005 REF . BONDS 2 ,308,892 2 .487 57,428
920.54 SAN GABRIEL USD OS 2015 36,530,000 2 .487 908,597
920.55 SAN GABRIEL USD OS 2008 SERIES A 5,357,878 2 .487 133,265
920.56 SAN GABRIEL USD OS 2010 REF BONDS 1,658,245 2.487 41 ,245
920.57 SAN GABRIEL USD OS 2008 SERIES 8 6,380,000 2.487 158,687
920.58 SAN GABRIEL USD OS 2012 REF BOND SERIES 8 15,563,464 2.487 387,104
920.59 SAN GABRIEL USD OS 2008 SERIES C 22,997,960 2.487 572,020
9 47.51 TEMPLE CITY USD OS 1998 SERIES A 1,610,313 71 .305 10148,235
9 47.52 TEMPLE CITY USD OS 1998 SERIES 8 4,551,501 71 .305 3,245,451
9 47.53 TEMPLE CITY USD OS 2005 REFUNDING BOND 9 ,040,000 71 .305 6,445,979
9 47.54 TEMPLE CITY USD OS 2012 SERIES A 38,978,164 71 .305 27,793,411
Total O ver lapping Debt 74 .852,600 1
2015/16 Assessed Valuation: $4,265,446,581 After Deducting $107,992,6531naemental Value.
Debt To Assessed Valuation Ratios: Direct Debt 0 .00%
Overlapping Debt 1.75%
Tota l Debt 1.75%
'This lJnd Is a portion of a l argeregency, and Is responsible lbr debt in areas oul$ldo tho city .
This report r eftects debt which Is being r epaid through vcler·~proved property tax Indebtedness. k excludes m orblge revenue, tax ollocation bonds, interim lnancing
obligati on s, non· bonded coptilllease obligation s, and certillcates of partfpatlon, unless provided by the city.
Overlapping government. are those that coincide, et l11st In part. with the geogr~ic boundaries of the ely. The por<:ontage of overlapping debt apptice"'-l s estinwted by
using taxable assessed vakles ~eable percentages w.,.e estimlted by determining the portion of onolher governmental unifs taxable assessed vaklelhet Is within th e city's
boundaries and dMclng l by eadl unt's total t axable en•ued value.
Data Source: HdL Coren & Co ne, Los A119eles County Assessor and Auditor Combined 201511 6 U en D ate Tu Rolls Prepared On 811212016 By Mil
Th is repott IS not t o be used In suppott of d~bl /uuanc~ or contkrulng d isclosure stMernents without the wtfttm consent of Hdl..
Coren & Cone
11 3
THE CITY OF TEMPLE CITY
DEMOGRAPHIC AND ECONOMIC STATISTICS
Calendar Personal Inco me Per Capita Unemploym ent % of Pop 25+ with % of Pop 2 5 + With
Year Population (In Thousands) Personal Incom e Rate Med ian Age Hi gh School Degree Bachelor's Degree
2006 35,336 $837 ,785 $23,709 3 ~
2007 35,360 $666,400 $24 ,5().4 3.2%
2008 35,4 23 $874,5 13 $2 4,683 4 .8'M.
2009 35,6 15 $858,744 $24,112 7 .5'M. 40 .5 87.1 % 32.4%
2010 35.892 $1,000,992 $27,8 89 8 .2% 40.8 86.3 % 32.2%
2011 35,749 $938,400 S26,1P4 8 .~ 40.6 86.5% 38.0%
20 12 35,952 $947,227 $26 ,3 47 6~ 40 .9 85.4 % 35.9%
2013 36,134 $932,474 $25,806 4 .9'M. 41 .5 86.0% 35.9%
2014 36.152 $963,666 $26,656 5 .4'M. 41 .3 85.9% 37.0%
2015 36.5 34 $986,655 $27 ,006 4411. 423 86.1 % 37.6%
Personal Income a nd Unemployment Educat i on Le vel Atta i ned for Populati on 26
a nd Ove r
28,000 10
27 ,500
27,000 8
26.500 c
" c
6 ~ 0
26,000 '2. :;
0 " 25,500 '< 0. 3 0 4 .. Q.
25,000 ~
:u
24 ,500 2 i
24,0001-~----_:_------------l
23,500 0
2006 2007 2008 2000 2010 2011 2012 2013 2014 20 15
1-Per Capita Pmlneorne -Un employrn.nt R1te • Less Tha n High School a High School Gnlduate • Cohgt GraOJ ate
Notes 11nd Data Sources:
PopulaUon: Cal~omla Stale Oepartmenl cl Finance. Unemployment Data; Cefdomia Empl oyment Development Oepar1menl
2000-2009 1ncome, AQe, and Education Data: ESR I ~ Dernog,.phlc Es tmatu ere based on the 'ast IVflllable CeMU$. Projections e re deve loped by incorporating all of th e prior ce nsus data released to
dole. Oemogr oplllc Data Is totaled c-om Census Block Groups thai ove<lap tho City's boundaries
2010 and Ieier • Income, AQe and E<lJeaUon Data • US Cen sus Boreau, most recenl American COIM'Iunlty &.1rvey
Thls report Is not ro b e us«lln ~pport of debt Issuance orconlfnufng dlsc#o$ute statement$ wllhout the wrlt,.n consent of HdL, Coren &-Cone Pf'..,ared on 6112/2018 By MV
114
CITY OF TEMPLE CITY
Operating Information
Construction Activity-Last Ten Fis cal Years
New
Ca lendar New New Va lue of
ye a r ended Resid e ntial Comm e rcial Total Demolitions Con struction
2007 $ 25,630,380 $ 3,240,390 $ 28,870,770 $ 209,560 $ 28,661,210
2008 20,980,153 1,340,500 22,320,653 123,390 23,537,763
2009 19,127,998 3,892,1 87 23,020,185 99,000 22,921,185
2010 20,200,934 2,156,535 22,357,469 162,000 22 ,195,469
2011 23,754,355 1,175,540 24,929,895 139,048 24,790,847
201 2 19,536,413 2,490,427 22,026,840 144,000 21,882,840
2013 21,298,596 14,433,160 35,731,756 322,000 35,409,756
2014 32,964,118 1,298,205 34,262,323 429,900 33,832,423
2015 37,651,625 2,217,000 39,868,625 421,900 39,446,725
2016 $ 30,428,763 $ 2,153,520 $ 32,582,283 $ 474,000 $ 32,108,283
Sou rce: City of Temple City Community Development Department
11 5
CITY OF TEMPLE CIT Y
Operating Info r mat ion
Full-Time Equiva le nt City Employe e s b y Function-l a st Ten Fisca l Yea r
Function 2007 2008 20 09 2010 20 11 2012 2013 2014 2015 2016
General Government
Fu ll Time 7.85 7.80 7.80 7.80 7 .80 7.80 8.80 9 .95 9 .95 9 .95
Pa rt Tim e 0 .86 0.64 0 .61 0 .65 0 .85 3.11 3.11 1.85 2.12 2.82
8 .71 8 .44 8.41 8.45 8.65 10.91 11.91 11.80 12.07 12.77
Community Development
Fu ll Time 8.10 7.15 7.15 7.15 6 .10 6 .10 6.20 6.90 6 .90 6 .90
Pa rt Time 0 .01 0.44 0 .16 0 .26 0 .06 1.64 2.64 1 .60 1 .26 0 .69
8.11 7.59 7 .3 1 7.41 6 .16 7.74 8.84 8 .50 8 .16 7 .59
Pa r ks & Recreation
Fu ll Time 12.70 11.70 11.70 11.70 12 .15 12.15 12.25 12.05 12.05 12.05
Pa rt Time 16.6 8 19.56 2 1.88 21 .46 18.96 22 .66 18.92 26.05 26.22 26 .69
29.38 31 .26 33.58 33.1 6 31.11 34.81 3 1.17 38.10 38.27 38.74
Pu blic Sa fety
Fu ll Tim e 4.40 5.40 5 .40 5.40 7.05 7.05 7.65 7.55 7.55 6.85
Part Time 0 .00 0 .00 0.0 0 1.43 2.33 4 .22 4.07 4 .51 2.83 1.41
4 .40 5.40 5.40 6.83 9 .38 11.27 11.72 12.06 10.38 8 .26
Pu blic Works
Fu ll Time 2.95 3.95 3.95 3.95 2.90 2.90 3.10 3.55 3.55 3 .25
Part Time 0.03 0.04 0.00 0.34 0 .00 0 .28 1 .79 0.46 1.84 0.83
2.98 3.99 3.95 4.29 2.90 3.18 4.89 4.01 5.39 4.08
Fu ll Tim e Total 36.00 36.00 36.00 36.00 36.00 36.00 38.00 40.00 4 0.00 39.00
Part Time Total (1) 17.58 20.68 22.65 24 .14 22 .20 31.91 30.53 3 4 .47 34.27 32.44
TOTA L 53 .58 56.68 58.65 60.14 58.20 67.91 68.5 3 74.47 74.27 71.44
Note: (1 ) 2,080 Hours of Part Time equals to 1 Full Tim e Equivalent
So urce: City of Temple City Administ ra t ive Services De partm e nt
116
CITY Of TEMPLE CITY
Opera ting Information
Ope rating Indica tors by Function -last T e n Fis ca l Years
2007 2008 200 9 2010 2011 2012 2013 2 0 14 2015 20161
Public Safety:
Arrests 513 559 411 514 949 1,105 852 626 758 535
Parking Citations 7 ,089 6,947 6,879 12,681 9,024 9,926 10,025 10,260 9,9 19 5,288
Public Works:
Sewe r s new conn ections 78 55 30 36 25 30 59 94 106 82
Parks & Re creation:
Number o f r erea t ion cl asses 398 341 363 330 390 400 3 68 380 374 326
Number of f acility rentals 904 1,050 1,076 1,179 1,083 1,110 1,178 1 ,072 1,254 972
Sou rce: City o f Templ e City Community Development Department
Ci ty o f Temple City Parks & Rec reati on De partment
Los Angeles County Sheriff Depa rtment
117
CITY OF TEMPLE CITY
capi t al A sset St ati st ics by Functi o n /Program
Fi scal Yea r s 2007 thr ough 2016
2007 2008 2009 2010 2011 2012 2013 2014 2015 20 16 1
Pubhc Works:
M1les of arterial streets maintained 14 14 14 14 14 14 14 14 14 14
Miles of non-artenal streets maintamed 57 57 57 57 57 57 57 57 57 57
Miles of storm drain maintained 2 2 2 2 2 2 2 2 2 2
Number o f traffic signals 39 39 39 39 39 39 39 39 39 39
Number o f streetlights 364 364 364 364 364 364 706 706 706 706
Parks & Re crea t ion:
Number o f parks 2 2 2 2 2 2 2 2 2 2
Total park acreage 19 19 19 19 19 19 19 19 19 19
Number of baseball/softball diamonds 2 2 2 2 2 2 2 2 2 2
Number o f commumty centers 1 1 1 1 1 1
Number of tennis courts 7 7 7 7 7 7 7 7 7 7
Number of basketball courts 2 2 2 2 2 2 2 2 2
Source : City of Temple C1ty Community Development Department
C1ty of Temple C1ty Parks & Recrea t ion Department
11 8
C ITY OF TEMPLE C ITY
Independent Acco untants' Report on
App lyi n g Ag r eed-Upo n Procedures Related to t he
Article X III-B Ap propriati o ns Limit Calcu lation
For the F iscal Yea r E nd ed June 30,2016
ATTACHMENT B
Vav rin ek , Trine , Day & Co ., LLP VALUE THE DIFFERENCE
Ce rt tfted Public Accountan ts
IN DEPEN D ENT ACC O UN TANTS' REPOR T O N APPLY ING
AG REE D-U PO N PR OCE DURES RE LATE D TO TH E A RT IC LE X III -B
A PPRO PRI AT IO NS LI MIT CA LCULATION
T he llon or able Mayor and th e Member o f the C it y Counci l
Ci t) of Temple C it ). Cal ifo rnia
We have performed the procedure s enumerated bel ow to th e Appropriatio ns Limit Calcula ti on o f th e
C ity of Templ e C ity, Ca li fo rn ia (City) for the year ended June 30. 2016 . The se procedures, w hich were
ag r ee d t o by the C ity, we r e p erform ed so lel y t o assis t th e C i ty in me etin g the requir ement o f
ec ti on 1.5 o f Article X III -B o f th e Ca liforni a Const ituti o n. T he C i ty's manageme nt i s rc pon sibl e fo r
the Appropriati o ns Limi t ca l cu l ation. This ag r eed up on procedu res engagement was co nducted in
accor dan ce with atte stati o n st and ard estab li sh ed b) the American In titute o f Certified Public
Accoun tant . The umci ency of the procedu r es is so lei) the re spo nsi bil it) of those partie specified in
this report. Co n equently , we mak e no repre sentati on re ga rding the sumciency of the procedures
descr ibed bel ow either for t he purpo c for w hi c h thi s rep ort ha s been reque st ed or for any ot her purpo c.
The procedures perfo rm ed an d ou r find i ngs are as fo ll o w s:
I . We obtained the co mpl eted worksheet s and compa red the 2015-2016 li mit and annu al
adjustment fac t ors included in th ose work sheet s to the limit and annu al adjustm en t fact o r that
we r e adopted by res o lutio n of the City Co un cil. We al so compa r ed th e popu l ation and in nati o n
o pti on s included in t he aforementioned w orkshee t s to th ose that v ere selec ted by a rec o rded vo te
o f the C ity Co un c il.
Findin gs: o exce pti on s we re no t ed as a re sult of o ur procedures.
2. We added Ia t ) ear's limit to th e total adju stm en t s and co mpar ed th e res ult i ng amo unt to thi s
y ear 's limit.
Findin gs: o exce pti on s we re noted as a re su l t o f o ur procedures.
3. W e co mpared th e curren t y ear info rm atio n to th e \\Orks hee t desc ri bed in o. I above.
Findin gs : o excep ti on s wer e noted as a re sult of o ur procedures.
4. W e co mpared the pr i o r y ear app ro priat i o ns limit to th e prior year app ro pri ati o n s limit adop ted by
the C ity fo r th e pri or ye ar .
Findings: o excep ti ons were not ed as a re sult o f o ur procedures.
t0681 Foothtll Blvd . Sui te 300 Ra ncho Cucamon ga , CA 917 30 Tel 909.466 441 0 www .vtdcpa .com Fax 909 46 6.4 431
We we re no t e ngaged to, and did not co ndu ct an a udit , th e o bj ec ti ve o f whi ch wo uld be th e ex pressio n
of a n o pini on o n th e Appropriati ons Limit wo rk s he e ts. Accord ing ly, we do not ex press s uc h a n op ini o n.
Had we per fo rm ed additi ona l pr ocedure s, oth e r matt ers mi ght have co me to our att enti o n th at wo uld
have been re po rted to yo u. No procedures have be e n pe rfor med with res pec t to th e dete rm ina ti o n o f t he
a ppro pri ati o n limi t for th e base yea r, as de fin ed by Arti c le X I li-B o fth e Ca li fo rni a Co nstituti on.
T hi s re port is int e nd ed sol e ly for th e use o f th e C ity Coun c il and manage ment o f th e C ity and is not
int e nd ed to be and s ho uld not be used by anyo ne oth e r th a n th ese s pec ifi ed pa rt ies. w ~/ t)~~ ~~~
I
Ra nc ho C uc a mo nga, Ca lifo rni a
Dece mb e r 22, 20 16
2
ATTACHMENT C
Vavrinek , Trine , Day & Co., LLP VALUE THE DIFFERENCE
Cert ified Publi c Accountants
INDEPENDE NT AUD I TORS' R EPORT ON I NTE RNAL CONTROL OVER F I NANCI AL R EPORTI NG
AND ON COMPLIANCE AND OT H ER MATTE R S BASE D ON AN AU DIT OF
F I NANCIAL STATEMENTS PERFORM E D I N ACCORDANCE
WITH GOVER N MENT AUDI T I NG STANDARDS
The Honorab le Members of th e City Council
Of T he C it y of Temp le City
We have aud ited . in accordance wi th the aud itin g standa rds ge ne ra ll y accepted in the Un ited Sta tes o f America
and the standa rd s ap pli ca bl e to fin a nc ial aud its co nt a in ed in Governm e171 Auditing Srandards issued by the
Co mptroller General of the Un ited States, th e fina nc ia l stat emen ts of the governmen tal ac ti v iti es, each major fund ,
and th e agg regate re mainin g fund info rmation o f the City ofTemple C ity, Californ ia (City), as of and for the year
ended J une 30. 20 16, and th e relat ed not es to the financi a l s tatements, which co ll ect ive ly compr ise th e City's
basic fin a nc ial sta tement s an d have issued our repo rt thereon da ted December 22, 2016. Our report included an
emphas is of man er regardi ng the Ci ty's adoption of Governm en tal Accounting Standards Board (GAS B)
Sta tements No. 72, Fair Valu e M easurement a nd Applicati on and No. 82 . Pension Issues -An Ame ndm ent of
GASB Stat ements No. 6 7, No . 68, and No. 7 3, and th e prior peri od adju stm e nts to re s tate be g innin g fund balance
and net position .
Inte rnal Contro l ove r Financ ia l R eportin g
In plan nin g and performing our audi t of the financia l sta tement s. we co ns id ered th e City's internal control over
financ ial repo rtin g (i nterna l cont ro l) to de termine th e au d it p roced ures th at are ap propr ia te in th e c ircums tances
fo r the pu rpo se of expre ss in g our opinio ns on the fin ancial s tatement s, but not fo r th e pu rpo se of expres s ing a n
o pini on on th e effec ti veness of th e City's inte rna l control. Accord in g ly, we do not ex pr ess an op in ion o n th e
effec tivene ss o f th e Ci ty's interna l con trol.
A deficiency in int ernal c o nrrol ex ists w hen the des ign o r ope ration of a co ntro l does no t al low ma nageme nt o r
e mpl oyees, in the normal co urse of perfo rmin g the ir assigned fu nct ions, to prevent. or detect and co rrect.
mi ss tatement s on a tim e ly ba s is. A material weakness is a defi c iency. or a combination of defic ie ncies . in int erna l
cont ro l s uch th at there is a rea sonab le possib ilit y tha t a mat e rial mi ss tate ment of the entity's fin ancia l sta teme nt s
will not be pre ve nt ed , or detec te d and co rr ec ted o n a ti mel y ba s is . A s ign ificant deficiency is a defi c iency, or a
co mbinat io n of deficienc ies, in int e rna l co ntrol t hat is less s evere t han a ma terial weakness, ye t imp ort a nt e noug h
to me rit attenti on by tho se c harged wi th gove rnance.
Our co ns id e rati o n of inte rnal contro l was fo r the li mit ed purp ose describ ed in th e first pa rag raph of thi s sectio n
and was not designed to ide ntify a ll defic ien c ies in int ernal co ntro l th at might be materi a l weaknesses or
sig nifican t d e fi cie ncies and th ere fo re , ma terial wea kn e sses o r s ig nifica nt deficiencies may exi st th at were not
ide ntified. We did identify certain deficie nc ies in int e rn al co ntro l, de scribed in the acco mpan yi ng schedule of
finding s a nd re s po nses as item 20 16-00 I that we co ns id er to be mat eri a l weakn esses.
10681 Foo thill Blvd .. Sui te 300 Ra ncho Cuca monga , CA 9173 0 Tel 909 466 441 0 www.vt dcpa com Fax 909.466.44 31
Co mpliance a nd Other Matters
As part o f obtaining reaso nable assurance abo ut w hether the City's fi na ncial statements a rc free from material
mi ss tate men t, we performed te sts o f it s compl ia nce w ith certain provis ions of la ws, regulations. co ntra cts, and
gra nt agreements, noncomp li ance with wh ich cou ld have a di rect a nd material effect on the det ermination of
financ ia l s tatement amou nt s. Howeve r, provid in g a n o pini on on co mpli ance with those prov isions was not an
object ive of o ur audit. a nd accord in g ly, we do not express s uch an op inion. The results of ou r tes ts disclosed no
in stances of noncompliance or other matters th at a re required to be reported under Government Auditing
S tandards.
C ity's Re s ponse to Findings
Ci ty's re s ponse to the finding id en ti fied in our aud it is de sc ribed in th e acco mpa ny ing sc hedule of findings and
responses. The City's re s ponse was not s ubjected to the auditing proced ures applied in th e audit of th e financ ial
sta tement s a nd . acco rdingly , we exp ress no op inion on it.
Purpos e of thi Report
The p urp ose of this report is so le ly to describe the scope of ou r tes tin g of internal control and compliance and the
resu lt s o f that testing. and not to provide an op in io n on the effective ness of th e entity's in ternal control or on
comp li ance. This repo rt is an integral part of a n a ud it pe rfo rmed in accordance wi th Government Auditing
Standards in conside rin g the e nti ty's internal co ntro l and com pli ance . Accordin g ly, thi s co mmunication is not
su itable for any othe r pu rp ose. w ~I t)~~ ~~u/
Ran c ho Cucamonga/Ca liforni a
Dece mb e r 22. 20 16
2
C ITY OF TEMPLE C I TY, CALl FOR lA
CHEDULE OF F I NDINGS ANDRE PONSES
YEAR ENDED J UNE 30, 20 16
FINANCI AL STATEMENT F I ND I NG
Finding 201 6-00 1
YEAR-END C LO l NG
Cri te ri a or Specific Req uirement
Management is re spons ibl e for the ba s ic financ ia l s tatemen ts and all accompan y ing information as we ll as a ll
repres entati o ns conta in ed therein and for the fai r presentation of th e financial sta temen ts in co nformiry with U ..
ge ne ra ll y acce pt ed accou ntin g prin c iples. Thi s re quires mana gemen t to work thro ugh a year-end closing process
to acc umul a te, reconc il e, and s um mari ze informat ion for inc lus io n in the an nu al financ ia l stat eme nt s. The year-
end c los ing process includes th e review and/o r reconciliati on of all balan ces wi thi n the C it y's gen eral ledge r.
Acco unt s mu s t be rev iewe d for pro per cutoff, class ifi cation and presen tat io n. These p rocesses s hould be
comple ted on a tim e l) manner to ensure the accurate pre sen tati on of financi al informati o n.
Condi tion
As a re su lt of ou r audi t proced ures, we noted the followin g:
• The C it y 's cas h, as repo r1ed in th e general ledger, was ov e rsta ted by $1.2 mil lion. T hi s ite m was no te d as a
recon c ili ng depos it in tran s it si nce th e fi sca l yea r end ed Jun e 30, 2014 . Du ri ng th e c urre nt fi sca l ye ar, a
journal entry was po s ted to e limin ate th e overs ta tement o f cas h . However, th e co rrectin g ent ry was made to
an in correct acco unt.
• Th e Ci t) did not reco nc ile the pri o r )Ca r a udit report to the openin g equiry ba lance s in the general ledger.
As a result. th e effect of ce rt a in ent ri es which were po s ted in the pr ior year financial statements \\e re not
properly re corded in the current year gene ral led ge r.
• The C it y 's peri od of ava il abilit y was defined as 90 days. Re ve nue s earn ed as o f June 30, but not received
within 90 days of ye ar-end wo uld not be recogni ze d as reve nue but would be reco rd ed as ··una va ilable
revenue'' on th e gov e rnm ent a l fu nd s ba lance s heet. T he C it y did not ma intain procedures to eval uate
whe th er receivab les in governm en tal fu nd s we re collected w ithin 90 days. Accordingl y. entries to
reclassify amo unt s recognized as revenue to "una vai la bl e revenue " were no t pos te d. In addi tion. the C it y
had a receivable in the Bi cycle Transpo rtation Account fund. in the amount of $3 12K. th a t has been owed
s inc e fiscal year2013-14.
• T here were in cons is te nci e s in th e trea tm en t between the C it y and Su ccesso r Agency regarding the prior
rede velopment age nc y advances. The City did not re fl ect receivab le s but the uccessor Agenc y reported a n
o bli ga ti on. For th e S ucce sso r Age ncy o bliga ti on. t he ite m ha s not been app roved by th e Departm ent o f
Fin ance, is not o n th e ROPS a nd did no t have th e fo rm al ucces so r Agency Boa rd approvals to be an
e nfo rc eable ob li ga ti o n.
• Ce rt ain investment acco un ts per th e ge neral led ge r were not reco nc iled to the June 30 ba nk statement s.
• T he construction in prog ress accoun t has a n accumulated bala nce of $22.9 million of current and prior years
projects. It appea rs that th e Cit) has not taken the steps to review. close o ut. and capi talize projects as
necessary.
3
Context
The co nditi ons noted above were id entified as a re s ult of our a udit pr ocedures.
Audit adju s tment s were propo sed to co rrect th e City's gene ral ledger and financial sta teme nt s. Furt he r. the
internal con tr ol enviro nm e nt is weakened.
Certain a spects o f the Ci ty's recon c iliati on an d/o r yea r-e nd c lo s in g procedures we re not in place or co nsis te ntly
ap pli ed.
Recom me nd ati on
We recomm end th at the C ity s trengt hen it s cas h a nd in ve stm ent reconciliati on proced ur es to ensure th at
reco ncilin g item s are properly eva luated. s upported and c lea r o n a time ly bas is. We also re co mmend th at the Ci ty
fo rmalize it s year-e nd c lo si ng process. T hi s process s hould include detailed checklists to ensure that each
financial s ta temen t area is reconci led , balanced and re vie we d during the c losing process.
View o f Respons ibl e Offic ials and Planned Correc t ive Acti o n:
• Th e City's cash. as r eported in the genera/ledger , was overs ta ted by $1.2 million. This item was noted as a
r eco nciling depos it in transit s ince the fisca l year ended Jun e 30, 2014. During the current .fiscal year . a
jo urnal entry was posted to elimin ate th e o vers ta tem ent of cash . However. the correcting entry was made
to an incorrect accoun t.
T his transact ion repres ents the bon d pro ceeds from the previous Red evelo pm e nt Age ncy that were ut ilize d
to fund a porti o n o f th e Rosemead Boulevard Safe ty a nd Bea utification Project completed in Fisca l Yea r
(FY ) 20 13-14. The e ntir e $1,2 00 ,000.00 wa s not im me di a te ly available (even th ough it has received
approval for by th e Depa rtm ent of Fina nce) and th roug h the course o f the las t t wo fi scal yea rs. the
reportin g and hand lin g o f the cash en try was not co rr ect. The fundin g is no w availab le a nd th e C ity we ll be
recogn izi ng it app ropriate ly from thi s poi nt fur ther.
• 1'l1e CHy did not reconc ile th e prior year a udit report to th e opening equity balances in the general/edger.
As a r es ult, the effect of certain enrries which were posted in the prior year financial statements were not
properly recorded in th e c urren t year genera/ledge r .
T he re were audit adjustme nts made at Jun e 30 , 20 14 th at were not incl uded in the Genera l Ledger. Staff
wi ll ens ure that al l a ud it adju stm e nt s a re co rrectl y reco rd ed and all o pen ing equ ity ba lances will be
reco nci le d to ens ure a ll a udit adju s tment s arc co rrec t ly po sted.
• Th e City's period of ava ilability was defined as 90 days. Revenues earned as of June 30, but not received
with in 90 days of year-end wo uld not be recogni:ed as revenue but wo uld be recorded as "unavailable
revenue " on the gove rnm e ntal funds balance sheet. Th e City d id not mainrain procedures to evaluate
wheth er receivables in governm ental funds were collect ed within 90 days. Accordingly, e nrries to reclassify
am ounts recogni:ed as r evenue to "unavailable revenue " were no t posted. In addition, the City had a
r eceivable in the Bicycle Transp ortation Acco unt f un d. in the amount of 5312 K. tha t has been o wed since
.fiscal year 2013-1-1 .
The se e ntri es rep rese nt rei mbursable g ra nt fund s th a t tak e a num ber of mon th s if not more than one fi scal
year to recoup. Staff wi ll e ns ure th at proper monit orin g and recordin g of future g ran t funds fo r cap ita l
pr ojec ts.
4
C ITY OF TEMPLE C ITY, CALI FORN I A
SC HEDULE OF FINDINGS AND R ES PONSES
YEA R ENDED J UNE 30, 20I6
• There were inconsisten cies in th e treatment between the City and Successor Agency r egarding the prior
redevelopment agency advan ces. The City did not reflect receivables but the Successor Agency reported an
ob ligation . For the Successor Agency obligat ion, the item has n o t been approved by th e Department of
Finan ce, is not on the ROPS and did no t have th e formal S uccessor Agency Board approvals to be an
enforceable obliga tio n.
Staff did not expect reimburse ment fo r th ese prior redeve lo pment ad vances from Successor Agency due to
the lack of ava il ab le tax in cre ment in the prior Re deve lo pm en t Agency project a rea. This issue had been
analy zed by s taff in prior fiscal yea rs and unders to o d that th e treat ment was correct.
• Certain investment accounts per the general ledger were not reconciled to the June 30 bank statements.
Th e re we re three accounts (one minor) th at were not ad justed at Jun e 30, 20 16 . A II oth er investmen t
acco unt s arc re viewed a nd re conciled by two separate staff member. Th e Administrative Se rvices Director
w ill e nsure all in vestm en ts accounts are re vie we d by two staff members to ensure this overs ig ht does not
occ ur in th e future.
• The construction in p r ogress account has an accumulated balance of 522.9 million of current and prior
year's projects. It appears that the City has not taken the steps to review, close out, and capitali=e projects
as n ecessary.
The is prim ar il y as a res ult of th e Rosemead Boul eva rd afety and Bea ut i fi cation Pr oject not be in g adjus ted
in th e Fixed Asset Account from co ns truction in progress to Stree ts. An additiona l year end closi ng
procedu re will be inco rp orated to ensure thi s will not occur in th e futu re.
While the Ci ty docs have forma l year e nd c los in g procedures including a checkli st of adjust ment s, based on these
com ment s. th e year-end c los in g procedures wi ll be s tr eng th ene d to e ns ure the time li nes s and accu racy of the
adjustme nt s. In th e next 60 day s, s taff wi ll be putt in g to ge ther a detai led schedule of mo nthl y, qu a rt e rly and yea r-
end ac tion s th at will be required.
5
Vavri nek , Trine , Day & Co., LLP
Certified Public Accountants
The Honorable Members of the Cit y Counci l
OfThe City ofTemple City
ATTACHMENT D
VALUE THE DIFFERENCE
We have audited th e financ ial statements of the governmental ac ti vi tie s, each major fund, and the aggregate
remaining fund info rmatio n o f City of Temp le City, California (C ity ) for the yea r ended June 30 . 2016.
Professional s tandards require that we provide you with infonnation about our res ponsib iliti es under genera ll y
acce pt ed auditing standards and Government Auditing Standards. as we ll as ce rt a in infonnation related to the
planned scope and timing of o ur audit. We have communica ted s uch infonn ation in ou r letter to yo u dated June
17. 20 16. Profe ssio nal s tandards also require that we communicate to yo u the foll ow ing infonnation related to
our audi t.
ignilica nt Audit Findings
Quallfarive Aspecrs of Accounting Prac tice
Management is res po ns ible for th e se lection and use of appropr iate accounting pol icies. The signi ficant
accounting polici es used by th e Ciry are described in ote I to the finan cial s tate ment s. As described in
ote I to the financial s tatement s. the C ity adopted Governmenta l Accounting Standards Boa rd (GA B)
Statement s No. 72, Fair Value M easurem e nt a nd Applic ation and No. 82 , Pe nsion Issues -An Amendment of
CiASB Statem e ms No. 6 7, No. 68, and No . 7 3. as of Jul y I , 20 15. In add iti on, as described in Note 15, the City
re s tated it s net po s ition an d fund ba lance fo r certa in corrections to the prior period . We no ted no tra nsac ti o ns
e ntered into by the C it y during th e yea r for which th e re is a lack of au thoritati ve gui dance or consensus. All
sig nificant tr ansacti o ns have been rec og ni zed in the fin ancial s tatement s in the proper period.
Accounting es timat es are a n int egral part of the finan c ial stat ement s prepared by management and a re ba sed on
managemen t 's kn owledge an d experience about past and current even ts and ass umpt io ns about future e ve nt s.
ertain accounting es timate s a re particularly se ns itive because of their s ig ni ficance to th e financial s tatemen ts and
because of the poss ibilit y that futur e event s affec ting them ma y differ s ignificantl y from th ose expected. The mo s t
se ns itive estimates affec tin g the City's financial stat ements were:
Manage ment's es tim ates o f the :
• Fai r va lue meas urements of inves tment s are base d on observable market inputs and
infonnation from th e City 's s afekee pin g custodian banks,
• Amounts related to d ep re c iation expense are based o n estimated useful li ve s o f capita l
asse ts,
• Amount s re lated to the Ci ty's othe r pos templ oy ment benefit (OPEB ) are ba ed on
actuarial valuati ons,
• Am ou nt s rela ted to the net pen s ion li ability , related deferred inflows of resources and
deferred ou tflows of resources . and pen s ion expense . and the disclos ures , a re based on
actuaria l va lu ation s for the Cal PERS plan .
We eva luated th e key facto rs and ass umpti o ns used to develop the e stimates in de terminin g that th ey we re
rea so nable in re la ti on to the financial s tatemen ts taken as a w ho le .
10681 Foo thi ll Blvd .. Sui te 300 Rancho Cucamonga. CA 91730 Tel 909 466 441 0 www .vtdcpa com Fax 909.466 44 31
Certa in tinancial s tatement di sclosures are particu larly se ns 1t1 ve becau se o f their sign ifican ce to financ ia l
sta teme nt users. T he most se ns iti ve disclosure affectin g th e finan cial statements was:
T he disc los ure of the C ity's cost-sharing multipl e employe r d e fin ed benefit pe ns io n plan, net
pens ion li abi li ty, a nd related deferred innows a nd outnows of resources, and pens io n expense, in
Note 9 to the financia l s tatemen ts. Th e va lu a ti o n of th e net pens ion liabilit y and re lated deferred
o utn ows a nd inn ows of resou rces are se ns iti ve to th e underl y in g ac tu arial assum pt ions used,
including but no t lim ited to, the investment rate of re turn a nd discount rate. As disclosed in ote
9, a I% increa se o r decrea se in the di sco un t rate ha s a materia l effect on the City's net pension
liab ili ty.
The financia l statemen t di sc lo s ures a re neutra l, cons iste nt , a nd c lear.
Difficulties Encountered in Performing th e Audit
We e ncounte re d no sig nificant difficulties in dea lin g wit h management in pe rform in g and com pl eting ou r aud it.
Corrected and Uncorrec t ed Misstat ements
Profess ion al s tandard s req uire us to accu mul ate a ll k nown and lik e ly m isstate ments identified during the audit,
other th a n th ose th at are c learl y trivial , and communi cate th e m to th e ap propria te level of management.
Uncorrected mi sstate ments of the finan c ia l s tate men ts are included in th e attached Schedule of Uncorrected
Misstatements. Manageme nt has determined th at th eir effects are imm aterial. both ind ividually and in the
aggregate, to th e financial sta tements taken as a w ho le.
Materia l mi ss tatements detected as a resu lt of aud it p roced ur es were co rrected by management and are
su mm ari zed in th e attac hed Schedule of Co rr ected Mi ss tatem e nt s.
Disagreements wirh Managemen t
For pu rp oses of thi s lette r, a di sag ree ment w ith ma na ge ment is a finan c ial acco un ting, re porting, or auditin g
matter, wheth er or no t reso lved to o ur satisfac ti on, that could be s ignifica nt to th e fina nc ial statements or the
aud itor 's report. We a re plea sed to report that no s uch di sagreements a rose during the course o f o ur audit.
Management Represen rarions
We hav e reques ted certai n repre se nt ati ons from manage ment th at a re in c luded in the management represe ntation
letter da ted December 22, 20 16.
Management Consulrat ions wirh O ther Independent Accounranrs
In some cases, mana ge ment may decide to consu lt w ith other accoun tants about audit ing and accoun ting mane rs,
si mil a r to ob taining a •·seco nd o pini o n"' o n certa in situat io ns. If a consultation involves app li cat ion of an
acco untin g prin ciple to th e C ity's fin anc ial s tatem e nts or a determination of the ty pe of auditor's o p inion that may
be expressed on those stateme nt s . our pro fessio na l stand ards requi re the consu lt ing acco untant to check wi th us to
determ in e that the cons ultant has a ll th e relevan t fact s. To our know ledge, there we re no such consultations w ith
other accountants.
Or her A udir Findings or Issues
We ge nerall y di scus s a va rie ty of ma n ers, inc ludin g th e app li ca ti o n o f account in g pr inc ipl es and auditing
standa rd s, wi th management each year prior to rete nti on as the Ci ty's auditors. However. these di scussions
occu rred in the norma l co urse of our profess ional re lati o ns h ip and o ur responses were not a condition to o ur
reten tion.
2
As indi ca ted in the Independe nt Auditors' Report On Intern a l Co ntrol Over Financia l Reporting and Compliance
dated December 22, 2016, we communicated ce rtain de ficienci es which we considered to be a material weakness.
Other Matters
We a pplied certain li mited procedures to man agement 's di sc uss ion a nd analys is, schedu le of fu nd ing progress,
sched ul e of proportionate s hare of th e net pens ion li ab ili ty . a nd sc hedule of co ntr ibuti ons, which are requi red
s upplementary information (RSI ) that s upplements th e basic financial stat ements. Our proced ur es consis ted of
inquir ie s of management regard in g the methods of prepa ring the informat ion and comparing the informati on for
consis tency with mana ge me nt 's re s pon ses to ou r inquiries, th e bas ic financia l s tatements, and o ther knowledge
we obta in ed during ou r aud it of th e bas ic financia l statement s. We did not audi t th e RS I and do not express an
opinion or provide any assu rance on the R I.
We we re engaged to report on combining and in dividual nonmajor fund s tatements, a nd the budgetary
co mpari so n sc hedul es, whic h accompany the financial s tatemen ts but are not RSI. With respect to thi s
su ppleme nt ary in fo rmation , we mad e ce rt a in inqu ir ies of ma nage me nt and eval uated the fo rm. con tent . and
method s o f pr epa rin g th e information to det ermine that th e information complies wi th accountin g princ iples
ge nera ll y accepted in the Uni ted States o f Ame ri ca, the meth od of preparin g it has not chan ged from th e prior
period. a nd the in formation is appropriate and co mpl e te in relation to o ur aud it of the financial s tatements. We
compared and reconciled the s upplem entary information to th e underlying accounting records used to prepare the
financ ia l s ta tements o r to the finan cia l statements them selves.
We were no t engaged to report on th e introduc tory and sta tistical section s, whi ch accompany the financial
s tatement s but are not RSI. Su c h informat ion ha s not been s ubjected to the audit ing proced ur es app lied in the
audit o f th e ba s ic financia l s tatem en ts. and accord in g ly , we do not ex pre ss an opinion or provide any assurance on
it.
Res tr ic tion o n Use
This informati on is in tend ed s olel y fo r th e informa ti on and use of th e Mayor and Members of the Cit) Cou nc il
and manageme nt of the City and is not intended to be , and sho uld no t be, used by anyone othe r th an the se
specified parties.
~ ~~ V/~ ~~Lf/
Ranc ho C uca mon g a/Ca liforni a
December 22, 20 16
e rn OFT~~IPL ~C in
• Cl-t EDl 'L E OF C ORREC rED i\11 TATEM E \T
FOR T il E F l C I. \'~AR Ei\D ED Jl iNE 30 . 20 16
Numbe r
6
fund
General
A ceo u n t/l)!•scri p t io n
fund Balan ce
Allo "ance fo r Doubtful Accounts
7o rtHUit prtor pcr uJll /1} prorwrl~ rrcuxm=~ JJrr .'ilU.( l'\\flf Axemy\ hond pnx..ertl\ for the
Hmrmrud Boult'vttrd PrOft£1 a,Jtl 10 rt\"trtif' tht mcorrtt.l odju'ftmtnl mudt to the allm•omt for
tlouht(ul ac ttJUIII\
Capital .\ccounts Pa) able
hnpro•cments Fund Balance
/o rr:,tutr prwr pertnd to prorwrlt rrflecttM htJ!"'"'"J!. fund ha/ant.r und nrt (HHtllnn oftht!
( upttullmprrwemenl\ l·un<l
Btcyc lc lntergovcmmcn tal Revenue
l tan;ponatton De ferred Infl ows of Resou rces-Una vat ltt blc Revenue
Account
Successor
1\!-'CIIC)
Succe,sor
A~o<enC)
llt cyclc
l ransponatton
,-\ccount
/o rt'\ trw urcorreu rew!nut• r er..OJ[nttton and properh record Jtjc-rrrJ tn/lo..-.' of re\fJurc.t'
Bond Pa) able
Pnnctpa l Reducuon
Ad•ance Pa)able-Pnnctpal
Advance Pa) able -Int erest
pec tal It em -Income
To" rile oj/lht• ud vum.:t• pt.t)'llhh• of thC' .')'uu:c..'\\fJT AJ.:t111<.'V
Due From Oth er Govemmcnts
Account s Rece.vable
In rt:tlcJ\H/) re ,rn·ahlr, tht Htodt' Tramportutum Ac.c.oum/·und jrom auounh ft(tn·uhlr 10
tlu~ jnm1 otht•r ~:rwernmrnh
4
Debi t C rtdit
s 1.200,000
s 1200.000
1.721.989
1.721.989
197.244
197 144
175.000
375.000
1.466,979
2.236,826
3 ,703.805
509.208
509.108
L
CITY OF TEMPLE C IT\
. C II E Dl lLE OF ll 'CO RR ECTE D MISSTATDI E~T
FO R T il E F ISCA L YEAR E~D E D J ll E 30.20 16
Fund
BIC)tl<
f ransponat1on
\ccounl
Safe Routes to
School
Successor Agency
De.s cri ption ( aturc) o f Audit Differen ces
I o adJU.SI for rt\ cnuc recorded 10 the pnor ) car
that shoukl ha\C been unava 1lable revenu e
2 To rccogmzc rt\cnue m the current )'tar and 10
adjust fot "'"nur recorded at pnor yrar that
should ha' c bC'en una' a1labtc revenue
3 1 o adJU St cash wrth fiscal agent balane< as of
June JO. 20 1~
Governmental Funds Ualan ct Sheet
Asseu LiabililiH fund Ba lance
J 11 ,916 (J 11 ,936)
(431 .900)
32,3 16
Sta tement o( Revenues, Expendilu~s and
Changes in Fund Balanct
l nOo""
s
43 1 900
32.1 16
Out00"'1i
Changr in
Fund Balan«
s
4 31.900
32.3 16