HomeMy WebLinkAboutItem 8.4 CAFR & Annual AuditG~~,t OF Dp~lf 2
~~
19r ~- -~ ,82
~\~~~~i/
~~
~~LIFO~~~~
STAFFREPORT CITY CLERK
DUBLIN CITY COUNCIL File # ~~~~-0~
DATE: December 21, 2010
TO: Honorable Mayor and City Councilmembers
FROM: Joni Pattillo, City Manager
SUBJE : Comprehensive Annual Financial Report (CAFR) and Annual Audit For The Fiscal
Year Ending June 30, 2010 And Adoption Of Guidelines For Designation Of
Reserves
Prepared By: Paul S. Rankin, Administrative Services Director.
EXECUTIVE SUMMARY:
The City of Dublin has compiled and published its Comprehensive Annual Financial Report
(CAFR), for the fiscal year ending June 30, 2010. This report includes financial statements
,~ prepared by City Staff aiong with the audit prepared by Caporicci and Larson (C&L), a
subsidiary of Marcum, LLP, the independent auditors selected by the City Council. The CAFR
is a report which encompasses information beyond minimum financial reporting requirements.
The Auditors have provided a"clean opinion" based on their review. The report has also been
reviewed by the City Council ad-hoc Audit Subcommittee. The report also includes a discussion
of the allocation of General Fund Reserves.
FINANCIAL IMPACT:
Detailed financial information is summarized in this report as well as the Comprehensive Ann.ual
Financial Report (Attachment 1) and a summary of key information (Attachment 2).
RECOMMENDATION:
It is recommended that the City Council: 1) Receive the reports and confirm the
establishment of the fund balances as stated for the year ending June 30, 2010; and 2) Direct
Staff to proceed. with the development of specific policies related to the designation of reserves
in accordance with accounting standards. „
C~4~
Submitted By:
Administrative Services Director
DESCRIPTION:
Assistant C
anager
The City of Dublin has compiled and pubfished its Comprehensive Annual Financial Report
(CAFR) for the Fiscal Year ending June 30, 2010. This report, which is included as Attachment
Page 1 of 4 IT~M N~. ~•~
1, includes audited financiai statements reviewed by Caporicci and Larson, CPA's (C&L) a
subsidiary of Marcum, LLP. This firm is the independent auditor selected by the City Council
and the Fiscal Year 2019/2010 Audit was completed under a two year agreement approved by
the City Council on February 2, 2010. The report includes financial information o.n revenues
and expenditures for the entire Fiscal Year which started July 1, 2009 and ended June 30,
2010.
AD-HOC AUDIT COMMITTEE REVIEW
The Auditors met with the City Council Ad Hoc Audit Committee (Mayor Sbranti and
Councilmember Hildenbrand) on December 14, 2010 to review the results of the audit. The
interaction of the Auditors directly with representatives of the elected body is a key component
to current audit standards. The Committee members were provided with an opportunity to
discuss the report and ask questions of the Auditor. The Committee concurred with
recommending the acceptance of the report by the City Council.
Overall, based on their testing and review, the Auditors granted the City a"clean opinion" (see
Attachment 1, pages 1- 2). In order to receive this level of audit finding there can be no
matters of concern involving . the City's internal controls and financial reporting that are
considered to be a material weakness.
FINANCIAL OVERVIEW
The financial section of the CAFR includes an unqualified opinion issued by C&L. Attachment 2
provides a summary of key elements contained in the CAFR. Some of the important Financial
results are addressed below:
Increase Total Assets - The total assets increased by approximately 1%. Given the economic
pressures and the fact that some capital project expenditures were funded from reserves, ariy
increase is considered a positive result.
Item June 30, 2010
Current and other assets $112,690,271
Capital assets 436,857,107
Total assets 549,547,378
Current Liabilities 16,548,627
Noncurrent Liabilities 933,789
Total Liabilities 17,482,416
Invested in capital assets
Restricted
Unrestricted
(See Note 8 to Financials for
Council Designations)
Total net assets
436, 857,107
25,004,384
70,203,471
$532,064,962
Governmental Activities
June 30, 2009 $ Change % Change
$121,031,495
423,474,384
544,505,879
16,822,439
705,172
17,527,611
(45,195)
-Ci. y%
3.2°/a
0.9%
-1.6%
32.4%
-0.3%
423,474,384 13,382,723 3.2%
36,906,687 (11,902,303) -32.2%
$526,978,268
$5,086,694 1.0%
Total Assets -{t is important to consider that not all elements of the reported Total Assets
represent unrestricted assets. The amount reported as Total Assets includes $437 million
(82.1 % of total) which represents investments in capital assets (e.g. land, infrastructure,
buildings, equipment). These are not assets that are available for future spending. Further,
$25.0 million (5% of the total) are assets subject to external restrictions on how they can be
66,597,197 3,606,274 5.4%
($8,341,224)
13,382,723
5,041,499
(273,812)
228,617
Page 2 of 4
used. Included in the Management Discussion and Analysis section of the CAFR is additional
detail discussing the Changes in Net Assets (See Attachment 1 pages 3 to 16).
AUDIT RECOMMENDATIONS / DISCLOSURES
The professional standards adhered to by the Auditors require them to record a formal process
of communicating with the City Council. The new standards require that the Auditors
communicate directly with those charged with governance. As noted the Auditors met with the
Ad-Hoc Committee at the conclusion of the audit to review the final report. The Auditor Report
to the City Gouncil is included as Attachment 3.
As part of the Audit Review the independent auditors can present recommendations for
consideration by the City. These can be items that do not impact the overall "clean opinion".
Rather the process allows the Auditors to disclose their observations on certain practices and
policies, and allow Management to respond to the input. The Auditors determined that there
were no items identified that warranted additional recommendations.
ADDITIONAL REPORTS PREPARED BY THE AUDITORS
In addition to the Audit of the Financial Statements, the Auditor engagement also included the
completion of specialized reports. The supplemental reports include 1) A compliance audit of
Alameda County Transportation Measure B Funds; 2) A Review of the Annual Appropriations
Limit Calculation; and 3) Single Audit Report related to Federal Grant expenditures. These
reports will be presented as a single Consent Item for informational purposes at the January 18,
2011 City Council meeting. .
DESIGNATIONS OF FUND BALANCES
A complete listing of both fund reserves and designations for all funds is shown on page~ 64 of
the report. A"Reservation" implies that there is a strong legal basis which restricts the
discretion of the City Council to use the funds for any desired purpose. A"Designation" is less
restrictive and subject to policy decisions by the City Council.
The upcoming changes in Accounting Standards (GASB54) will require a change in the format
in which fund balance and reserves are presented. On April 20, 2010 Staff presented the City
Council with a preliminary discussion of these changes and proposed changes in the
Designations used in the City CAFR, particularly as they relate to the General Fund.
At the Audit Sub-Committee Meeting on December 14, 2010, a report was presented which
outlined in further detail the proposed allocations (See Attachment 4). These are based on
input from the City Council in April 2010, as well as the final accounting of balances at year end
and recommendations , from City Management. This effort aligns with developing more
specificity in the allocation of reserves than was presented in the past. In the past a category of
"Authorized Expenditures" was used which did not provide information related to the intent
and/or need for the reserves.
Beginning on page 2 of Attachment 4"Key Items" are discussed which identify the proposed
allocation of General Fund Reserves and changes that have occurred. With efforts to reduce
costs and improvements in some key revenues the City has been able to continue to protect
against deterioration of its General Fund Assets. In Fiscal Year 2009/2010 the City was able to
add $3 million to the major building system replacement fund, which reinforces the longstanding
practice'to recognize long term needs and fund them over time.
Page 3 of 4
The Ad-Hoc Audit Subcommittee was supportive of the framework developed for designating
reserves. Prior to the end of the Fiscal Year Staff will develop more detailed policies for the'~
designation of reserves that will be presented to the City Council prior to the close of the Fiscal
Year.
NOTICING REQUIREMENTS/PUBLIC OUTREACH:
A copy of the report was sent to Ahmed Badawi, Partner Caporicci & Larson
ATTACHMENTS: 1. Separate Booklet - City of Dublin Comprehensive Annual
Financial Report - Fiscal Year 2009-2010
2. ~ Summary - Key Information Comprehensive Annual Financial
Report For the Year Ended June 30, 2010.
3. Auditors Communication with Those Charged with Governance
for the year ended June 30, 2010.
4. Audit Ad-Hoc Committee Information Dated December 14,
2010.
Page 4 of 4
'
~
~~~~ OF DU~~, f~
!tl ~~ 11~ ~
19 a-i'„ ~ ~ &2
`l~~/11~~
~`~LIF R~~
Fiscal Year Ended ~une 30, 20~0
of the Dublin Foothilfs
I~-~.~-~~
ATTACHMENT 1
~~~~~~~~~^~~~~ ~~~~~~
F~i~~t1~G~~~ E~~p~IC~
a~b~.zz
.
1 O
.
1~ 111
Dublin, Calif ornia
Comprehensive Annual Financial Report
For the year ended june 30, 2010
~~~ ~~~
1 City of Dublin
Comprehensive Annual Financial Report
For the year ended June 30, 2010
, Table of Contents
, Pa~e
1 INTRODUCTORY SECTION
Table of Contents ............................................................................................................................................................ i
~ Letter of Transmittal ..................................................................................................................................................... v
Government Finance Officers Association (GFOA) Award ................................................................................... xi
Principal Officers ......................................................................................................................................................... xii
~ Organizational Chart ................................................................................................................................................. xiii
FINANCIAL SECTION
~ Independent Auditors' Report ...................................................................................................................................1
Management's Discussion and Analysis ................................................................................................................. 3
~ Basic Financial Statements:
1 Government-Wide Financial Statements:
Statement of Net Assets .................................................................................................................................17
Statement of Activities and Changes in Net Assets .................................................................................. 22
, Fund Financial Statements:
Governmental Fund Financial Statements:
~ Balance Sheet ............................................................................................................................................ 26
Reconciliation of the Governmental Funds Balance Sheet
to the Government-Wide Statement of Net Assets ....................................................................... 29
1 Statement of Revenues, Expenditures and Changes in Fund Balances ........................................... 30
Reconciliation of the Governmental Funds Statement of Revenues,
Expenditures and Changes in Fund Balances to the Government-Wide
Statement of Activities and Changes in Net Assets ..................................................................... 32
~ Proprietary Fund Financial Statements:
Statement of Net Assets .......................................................................................................................... 33
~ Statement of Revenues, Expenses and Changes in Net Assets ......................................................... 34
Statement of Cash Flows ......................................................................................................................... 35
, Fiduciary Fund Financial Statements:
Statement of Fiduciary Net Assets ........................................................................................................ 36
, Index to Notes to Basic Financial Statements ................................................................................................... 37
Notes to Basic Financial Statements ................................................................................................................... 39
,
, 1
~ ~ ~~ ~
~
City of Dublin
Comprehensive Annual Financial Report
For the year ended June 30, 2010
Table of Contents, Continued
FINANCIAL SECTION, Continued
Required Supplementary Information:
Pa~e
Budgets and Budgetary Accounting ............................................................................................................ 78
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual:
General Fund ............................................................................................................................................ 79
Affordable Housing Special Revenue Fund ......................................................................................... 80
Parks Capital Project Fund ..................................................................................................................... 81
Streets Capital Project Fund ................................................................................................................... 82
Schedule of Funding in Progress:
Miscellaneous Plan of the California Public Employee Retirement System .................................... 83
Other Post Employment Benefit (OPEB) .............................................................................................. 83
Supplementary Information:
General Fund:
Schedule of Budget Versus Actual Revenues by Sources ................................................................
Schedule of Budget Versus Actual Departmental Expenditures ....................................................
....... 88 ~
....... 90
Major Funds:
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual:
General Improvements Capital Projects Fund ..................................................................................... 91
Community Improvements Capital Projects Fund ............................................................................. 92
Public Facilities Impact Fees Capital Projects Fund ............................................................................ 93
Fire Impact Fees Capital Projects Fund .............:...........................................................................:...... 94
Traffic Impact Fees Capital Projects Fund ............................................................................................ 95
Non-Major Governmental Funds: ~
Combining Balance Sheet ............................................................................................................................100
Combining Statement of Revenues, Expenditures and Changes in Fund Balances ...........................106
n
~ ' ,.-
City of Dublin ~ ~ ~ ~~
~ Comprehensive Annual Financial Report
For the year ended June 30, 2010
, Table of Contents, Continued
Pa~e
~ FINANCIAL SECTION, Continued
Supplementary Information, Continued
' Non-Major Governmental Funds, Continued:
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual:
Special Criminal Activity Special Revenue Fund .............................................................................. 111
~ Vehicle Abatement Special Revenue Fund ........................................................................................ 112
Supplemental Law Enforcement Special Revenue Fund ................................................................. 113
Local Law Enforcement Block Special Revenue Fund ...................................................................... 114
Traffic Safety Special Revenue Fund ................................................................................................... 115
~
Federal Asset Seizure Fund Special Revenue Fund .......................................................................... 116
EMS Special Revenue Fund .................................................................................................................. 117
Enforcement Grants Special Revenue Fund ....................................................................................... 118
1
State Gas Tax Special Revenue Fund .................................................................................................. 119
T.E.A. Special Revenue Fund ................................................................................................................ 120
Measure B Sales Tax Transportation Special Revenue Fund ........................................................... 121
i Measure B Sales Tax Bike and Pedestrian Special Revenue Fund .................................................. 122
Congestion Management Agency Fund Special Revenue Fund ..................................................... 123
Traffic Congestion Relief Special Revenue Fund .............................................................................. 124
,
Measure D Recycling Special Revenue Fund ..................................................................................... 125
Garbage Service Special Revenue Fund .............................................................................................. 126
Local Recycling Program Special Revenue Fund .............................................................................. 127
~ American Recovery & Reinvestment Special Revenue Fund .......................................................... 128
Storm Water Management Fund Special Revenue Fund ....................:............................................ 129
Box Culvert Special Revenue Fund ..................................................................................................... 130
~ Dublin/Dougherty Special Revenue Fund ........................................................................................ 131
Village Parkway Special Revenue Fund ............................................................................................. 132
Eastbay Regional Park District Special Revenue Fund .................................................................... 133
~ Public Arts Fund Special Revenue Fund ............................................................................................ 134
Noise Mitigation Fund Special Revenue Fund .................................................................................. 135
CDBG Special Revenue Fund ............................................................................................................... 136
~ Street Lighting Special Revenue Fund ................................................................................................ 137
Stagecoach Landscape Special Revenue Fund ................................................................................... 138
Dougherty Landscape and Lighting Special Revenue Fund ........................................................... 139
Santa Rita Assessment District 97-1 Special Revenue Fund ............................................................ 140
1
East Dublin Street Lighting Assessment Special Revenue Fund .................................................... 141
~ Internal Service Funds:
Combining Statement of Net Assets ..........................................................................................................144
Combining Statement of Revenues, Expenses and Changes in Net Assets .........................................146
Combining Statement of Cash Flows ......................................................................................................1148
~ Agency Fund:
Statement of Changes in Net Assets ..........................................................................................................152
~ iii
~ Z~~- '
~
City of Dublin
Comprehensive Annual Financial Report
For the year ended June 30, 2010
Table of Contents, Continued
P~ i
STATISTICAL SECTION
General Governmental Activities Tax Revenues by Source and
Governmental Activities Tax Revenues by Source ........................................................................................ 154
Net Assets by Component ........................................................................................................................................ 156
Changes in Net Assets .............................................................................................................................................. 158
Fund Balances of Governmental Funds ................................................................................................................. 160
Changes in Fund Balances of Governmental Funds ............................................................................................ 162
Assessed Value and Estimated Actual Value of Taxable Property .................................................................... 164
Direct and Overlapping Property Tax Rates ......................................................................................................... 165
Principal Property Taxpayers .................................................................................................................................. 166
Property Tax Levies and Collections ...................................................................................................................... 167
Direct and Overlapping Dept .................................................................................................................................. 168
Legal Debt Margin Information .............................................................................................................................. 170
Demographic and Economic Statistics ................................................................................................................... 172
Property Value, Construction and Bank Deposits ................................................................................................ 173
Principal Employers .................................................................................................................................................. 174
Full-time Equivalent City and Contact Government Employees by Function ................................................. 175
Operating Indicators by Function ........................................................................................................................... 176
Capital Assets Statistics by Function ...................................................................................................................... 177
Top 25 Sales Tax Producers ...................................................................................................................................... 178
Miscellaneous Statistical Data ................................................................................................................................. 179
iv
~~~~z
~
CITY OF DUBLIN
100 Civic Plaza Dublin, Californza 94568 Website: www.dublin.ca.gov
December 13, 2010
Honorable Mayor and
Members of the City Council
Presented with this transmittal is the City of Dublin (City) Comprehensive Annual Financial Report (CAFR)
for the year ended June 30, 2010. The information in this Comprehensive Annual Financial Report is
prepared in accordance with Generally Accepted Aceounting Principles (GAAP) as established by the
Governmental Accounting Standards Board (GASB).
~ The responsibility for the accuracy and fairness of this report rests with the City. Management Staff are
responsible for preparing a complete report which is based upon reliable information. Caporicci and
Larson, Inc. a Subsidiary of Marcum, LLP, a firm of licensed public accountants, has issued an unqualified
~ ("clean") opinion on the City of Dublin's financial statements for the year ended June 30, 2010. The
independent auditor's report has been included in this Comprehensive Annual Financial Report.
In addition to the financial audit, based on federal funds expended in Fiscal Year 2009/2010, the City
1 underwent a"Single AudiY' mandated by the federal government. The broader scope of this audit is
designed to meet the needs of federal grantor agencies. This includes review of whether the financial
information is fairly presented as well as internal controls and compliance with the legal requirements of the
~ federal awards. The report is issued and available upon request as a separate document and is not
included herein.
~ This letter of transmittal is designed to assist with an individual's review of the City's financial statements.
Specifically it is intended to offer the reader useful information in assessing the economic conditions
impacting the City of Dublin. It also complements a separate narrative section called ManagemenYs
Discussion and Analysis (MD&A) which provides financial highlights of the City and additional analysis of
~ trends reported as part of the financial statements. The MD&A is located immediately following the report of
the independent auditors.
, CITY PROFILE
~ The City of Dublin was incorporated in 1982 and is located in Alameda County, a growing area in the
eastern portion of the San Francisco Bay Area. The City has a permanent staffing level of approximately
81.5 full time equivalent City employees and serves an estimated population of 48,821, with estimated
population growth to 60,000 covering a land area of 14.62 square miles. The City's strategic location offers
I opportunities for employers, retail outlets, and high quality residential neighborhoods.
The City operates under the Council-Manager form of government. Policy making and legislative authority
~ are vested in the City Council, which consists of an elected Mayor, who serves a two-year term and four
Council members each eiected to a four-year term. The City Council is responsible for the City's
ordinances, operating resolutions, adoption of the annual budget, hiring the City Manager and City Attorney
~ Area Code (925) City Manager 833-6650 City Counci1833-6650 Personnel 833-6605 Economic Development 833-6650
Finance 833-6640 Public Works /Engineering 833-6610 Parks & Community Services 833-6645 Police 833-6670
Planning / Code Enforcement 833-6610 Building Inspection 833-6620 Fire Prevention Bureau 833-6606
~ v
$~ ~ ~~-
and confirming the appointments made by the Mayor to commissions and committees. The City Manager is
responsible for the following activities: implementing the policies, ordinances, and directives of the City
Council; overseeing the day-to-day operations of the City; and appointing the Directors of the City's
departments.
Current City services include: Administrative Services (Finance/Information Systems); City Manager and
Central Services (Human Resources); City Attorney; City Clerk; Police; Fire; Animal Control; Crossing
Guards; Community Development (Building/Planning/Housing); Economic Development; Parks and
Community Services; and Public Works (including Engineering and Maintenance). The City contracts with
both public agencies and private firms to provide a variety of key services including: Building Inspection;
Fire; Police; and Public Works maintenance. A total of 119 FTE contract employees are identified in the
City budget.
ECONOMIC CONDITION AND OUTLOOK
The City of Dublin is located at the intersection of Interstates 580 and 680 approximately 35 miles east of
San Francisco. The City has a wide range of housing types available to meet the demands of various
employers throughout the region. Over the past several years residential builders and developers have
constructed a variety of new housing opportunities, which includes a mix of transit oriented development
adjacent to a Bay Area Rapid Transit (BART) station as well as single family homes and condominium /
townhome developments. The relatively close proximity to additional job centers and colleges and
universities in the Bay Area create an attractive environment.
The City has a large retail base which serves local residents as well as those in surrounding communities.
The largest employers include: government and public agencies such as the United States Government -
Department of Justice, County of Alameda, and the Dublin Unified School District; corporate and technical
production offices such as the headquarters of Sybase, an SAP Company, Fluor Enterprises Mining &
Metals Division, Micro Dental Laboratories, and Zeiss Meditec; retailers such as Best Buy, Toys R US,
Lowes, and Target; and auto dealers with new car dealers in the City representing the following
manufacturers: Chevrolet, Nissan, Honda, Toyota, Volkswagen, Chrysler, Dodge, Jeep, Buick, GMC,
Cadillac, Kia, and Hyundai.
Retail Sales are an obvious indicator of the general economic climate. The General Fund Sales Tax in
Fiscal Year 2009/2010 increased by 1.5% over the amount attributable to the prior year. This increase was
primarily due to new retail sales outlets, including the addition of Kia and Hyundai auto dealers. Also a
regional sales office for Graybar, a distributor of electrical, communications and data networking products,
was opened in the City. The City has a significant proportion of sales tax generated from automobile sales
which have deteriorated dramatically nationwide. The City also experienced retail vacancies for the entire
year from sites previously occupied by national retailers including: Mervyns, Circuit City, and Expo Design
(Home Depot). The City is proactive in monitoring retail sales activity and impacts on the general operating
budget.
Over the past several years, the City has experienced property tax related growth, although the percentage
increase has been declining. In Fiscal Year 2009/2010 the City experienced a 4.4% decrease in Property
Tax Revenue. The difference accounted for over $1 million in reduced revenue. The factors contributing to
this situation included a slow down in both residential and non-residential development, and downward
adjustments made by the Alameda County Assessor to the property valuations, which are used to compute
property taxes.
The decreased availability of mortgages and general recessionary trends has also resulted in a reduction of
ownership changes. This results in reduced supplemental property tax collected on new values for
properties that have assessed vaiues below the current market value. Under current law when these
properties are sold they can be reassessed.
Despite the overall economy developers continued to complete new units (248 final residential units added
in Fiscal Year 2009/2010 compared to 235 in the previous fiscal year). In addition developers continued to
~~
~~ ~ ~ ~~
~
~ obtain permits for the construction of new residential units resulting in permits for 300 new residential units
issued during the current year compared to 135 the previous year. Some of this activity was related to the
availability of approved projects and Federal tax incentives for new home purchases.
I The City Council does not control property tax rates. These rates are an outgrowth of the 1978 voter
approved Proposition 13. Although the City has experienced significant growth in Assessed Valuation of
properties, in recent years, the current slowdown in sales, decreasing home prices, and increase in
~ foreclosure activity are expected to stifle property tax growth. In addition, the formula for adjusting property
tax values will be negative in Fiscal Year 2010/2011 for the first time since the passage of Proposition 13.
~ The amount of growth in Property Tax Revenue, in the current economic cycle, has deteriorated rather
abruptly. Due to declines in property values and reassessments, the Fiscal Year 2010-2011 Budget was
prepared based on a continued negative adjustment to the total Assessed Valuation. One economic
forecast, prepared by Beacon Economics, suggests that East Bay home sales and prices will remain weak
i well into 2011 and may not begin to grow until 2012.
Unemployment trends nationwide have been increasing and in general the consumer has remained
~ cautious about discretionary purchases, which has an impact on large retail purchases. It is not expected
that Dublin will be immune from these impacts. The most recent unemployment data for the East Bay
region was over 11 %. Beacon Economics has forecast that job growth will be much slower than past post-
~ recessionary periods. The only City specific data available on Unemployment is published by the State of
California Employment Development Department for calendar year 2009. The 2009 results indicate a City
of Dublin rate had increased to 6.5% compared to the rate of 3.7% one year earlier. The 2009 City of
Dublin rate remained below the Alameda County average of 10.7%.
~ The stability of the City's funding and expenditures is also significantly impacted by State of California
budget impacts and retirement system trends. The State of California has, for the last several years, been
late in adopting an annual budget, thus impacting the City's ability to budget with assurance certain
~ revenues used for operations. In a statewide election on November 7, 2010 the voters approved
Proposition 22 which provides local governments protections from the State borrowing local funds to resolve
1 the State Budget issues. Although this protects local revenue sources it does not make cities immune from
the impacts of the State facing a deficit projected by the Legislative Analyst Office as being over $25 billion.
The City will need to remain guarded in its spending and on-going increases.
~ The California Public Employees Retirement System (CaIPERS) has notified participating agencies of
anticipated rate increases beginning in Fiscal Year 2011-2012 as a result of market losses incurred with the
retirement portfolio. The timing of CaIPERS actuarial reports used to set rates result in a lag in the
, relationship to asset losses and when rates adjust. Retirement benefits and funding are a topic of
discussion throughout the State as the costs begin to consume larger portions of funds available. The City
Manager has engaged City Staff in discussions regarding options and opportunities to address the
1 increased costs. Changes in the benefit program would require City Counci~ approval. In addition, the two
largest contract service providers to the City (Alameda County Sheriffs Department and Alameda County
Fire Department) successfully negotiated long term reductions to the growth in their employee benefit costs,
which are paid by the City as part of the cost of service.
j The future economic outlook for the City is expected to show slower growth in terms of new construction
and retail sales. This environment requires the City to carefully plan for an alignment of General Fund
~ expenditures with General Fund revenues. The City Council supported a realignment of services over the
past finro years to protect the City from expenditures that were increasing at rates in excess of revenue
- growth. The City has also been engaged in efforts to facilitate occupancy of vacant retail sites. The
constraints in the marketplace have meant that timelines for landowners to secure tenants have increased.
~ However, given the City's location adjacent to two freeways and the continued development of residential
housing in the area, growth will continue in the long term.
' The City has locations which provide opportunities for expansion in both the retail and office land uses. The
City Council has also supported the development of long-term plans such as the Downtown Dublin Specific
Plan, which is nearing conclusion. Within the next year, the City is also expected to be served by access to
~ vii
1~~ ~~~
a second Bay Area Rapid Transit (BART) station now under construction in the City's downtown core.
Commercial development is underway throughout the City, including an expanded Nissan dealership and
showroom and grading has begun on the Fallon Gateway Center. Phase 1 of the center is approximately
311,000 square feet of retail shops which will include the City's second Target store that is scheduled for a
late 2011 opening. The City has also begun to see decreases in office vacancies with new users occupying
space at the Dublin Corporate Center and other projects.
FINANCIAL PLANNING AND POLICIES
The City Council adopts a 10 Year Strategic Plan which is updated every two years. The strategies, as well
as more specific annual Goals and Objectives, establish the framework and overarching policy focus for the
delivery of public services to the community. The Budget document has a section containing the Strategic
Plan and Goals and Objectives. Quarterly updates are also provided to the City Council on the Goals and
Objectives.
The City of Dubfin operates with balanced budgets each year, and as provided for in City policies, the City
Manager presents a recommended budget and Financial Plan to the City Council annually. The City
Council adopts a final budget in advance of the July 1S' start of the new Fiscaf Year. In terms of major
capital investments, the City operates utilizing a pay-as-you-go philosophy and has no outstanding City
debt.
The financial policies currently used for budgeting also provide for the use of Internal Service funds to
assure resources are available to finance the replacement of public safety vehicles and apparatus,
computer systems, and some building components. The importance of being prepared to address long
term needs has always been a key principle supported by the City Council. In Fiscal Year 2009/2010 the
City Council increased the balance for long-term building replacements by $3 million. The City has also
proactively financed contributions to fund long-term retiree medical liabilities.
The City of Dublin has benefited in recent years from General Fund revenues in excess of reserves. The
City Council policy has been to assess the use of such additions to the General Fund reserves only after the
finalization of the prior year figures in the Comprehensive Annual Financial Report (CAFR). The amount is
also evaluated net of accounting related entries such as any unrealized adjustment for the market value of
investments. The actions have been taken in public with a deliberate focus on using these funds for one-
time, not on-going, operating expenses. The City Council has also begun making adjustments to this
process in order to align the actions in coming years with the new requirements of GASB 54, which will be
implemented with the financial statements for the period ending June 30, 2011.
While the City is still experiencing some growth, the City also faces the pressures to deliver public facilities
such as parks and other amenities. In Fiscal Year 2008-2009, the City Council proceeded with the
construction of Phase 1 of the Fallon Sports Park. Although a grant offset a small portion of the overall
cost, the majority of the project was funded from development fees. The City proceeded with the project
and a loan was made from the General Fund to account for a timing difference in when the development
fees will be collected. Originally it was expected that as much as $4 million would need to be advanced.
The amount of the loan was $1.38 million due to cost savings in the project contingency and collection of
fees from residential projects at a faster pace than originally estimated. The City's Parks and Facilities
Master Plan identifies what is required to serve the City at final build-out. Therefore, care must be used to
phase the new projects which impose additional operating costs, to insure that growth in revenue is also
sufficient to support on-going operations.
The City has proceeded with caution in terms of financial commitments given the rapid deterioration in
major revenue and the apparent slow economic recovery. For this reason new discretionary capital projects
in Fiscal Year 20Q9/2010 were extremely limited.
In the Fiscal Year 2009-2010 Budget, the City Council approved a reorganization plan that included staffing
cuts and the reassignment of personnel where needed to fill critical vacancies. The adopted staffing
reflected a reduction of approximately 14.5 full time equivalent positions (9.5 City positions and
~~~~
11~ ~~z
~ approximately 5 coritract positions). The Budget also addressed anticipated funding ~ reductions using a
variety of approaches including: operating expenditure reductions; elimination of the Fiscal Year 2009-2010
cost of living and performance pay adjustments for City Staff; reduced frequencies for some maintenance
activities; and the postponement of capital projects. Although the Budget in Fiscal Year 2009-2010
' anticipated the requirement of approximately $1.1 mil~ion from the Economic Stability Reserve, revenues
were adequate to eliminate the need to use reserves.
, As the Fiscal Year 2010/2011 Budget was developed the City exercised continued financial discipline in
proactively reviewing opportunities to adjust spending. These reductions in expenditures have a more
noticeable impact to the users of City Services. The City has chosen to take a measured approach and
~ ease into service reductions rather than being forced to make drastic across the board cuts. The reduction
included a reduction of one deputy sheriff position and a reduction in Library service hours. In addition
other operational reductions were made to effectively manage resources and service delivery.
~' It is recognized that these are unique times and as a result there are changes from what has occurred in the
past. However, the future steps will be based on guiding principles from our past which include striving to
provide services on a"pay as you go basis." ~
AWARDS
, The Government Finance Officers' Association (GFOA) has recognized the City of Dublin for its
Comprehensive Annual Financial Report covering the period ending June 30, 2009. A copy of the award
from this entity is included in this report. This award represents the 20th consecutive year that the City's
~' report was recognized by the GFOA. In order to be recognized, the City was required to produce an easily
readable and efficiently organized report. The report must also meet the standard for generally accepted
accounting principles and legal requirements.
ACKNOWLEDGEMENTS
1 The preparation of this report would not have been possible without contributions from City Staff in several
departments. The value placed by City Staff in assuring that the City finances are professionally
administered is appreciated. ,
~ The City is fortunate to have dedicated staff members who devote extensive time and energy in preparing
such a comprehensive report. The City has had its financial reports recognized by GFOA for many years,
~ which is a significant accomplishment. Staff also appreciates the professional effort and input provided by
Ahmed Badawi and his team of auditors from Caporicci & Larson.
~ The City Council is acknowledged and thanked for its guidance and support of comprehensive financial
reporting. Staff intends for the report to be a source of pride and accomplishment; representing excellence
in financial reporting and exemplifying the high priority given to the provision of quality services.
Sincerely,
. -~
~
Joni Pattillo
' City Manager
~ .(;~~
.~
Paul S. Rankin
Administrative Services Director
~X
~~~~~~ ~
This page intentionally left blank.
~~ ~~ a~z~
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Dub~~n
~a~ifornia
Far its Comprehensive Aunual
Financial Report
for fhe Fiscal Yeat• Ended
June 30, 2009
A Certificate of Achievement for Excellence in Financiat
Repai~ting is preseiited by the Govermttent F'v~ance Officers
Association of tl~e Uni#ed States and Canada to
gover~vnent unifs and pt~blic eniployee retire~nent
systems ~vhose comprehensive annua( fi~~ancial
reports (CArRs} achieve the Izighest
stand~rds in government accou~iting
and financial reporting.
_- ~ ~
..
Presiden#
- '~' ' ~~+~~
Executive Director
xi
~ ~~ ~ ~~
CI'Y'I'~C OF DUBLIN
PRINCIPAL O~FICERS
Fiscal Year 2009/2010
Mayor
Tim Sbranti
Vice Mayor
Kasie Hildenbrand
Councilmember
Kevin Hart
ADMINISTRATION PEIZSONNEL
City Manager
Assistant City Manager
Administrative Services Director
City Attorney
City Clerk
Chief of Police
Public Work Director
Community Development Director
Park & Community Services Director
Fire Marshal
Deputy Fire Marshal
Councilmember
Don Biddle
Councilmember
Kate Ann Scholz
joni Pattillo
Chris Foss
Paul Rankin
John Bakker
Caroline Soto
Casey Nice
Melissa Morton
Jeri Ram
Diane Lowart
Bonnie Terra
Darrell Jones
xi~
~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ r~
Le end
Elected CITY OF DUBLIN ORGANIZATIONAL
~~~ ~:`~' Appointed
Cit Staff RESIDENTS OF DUBLIN '
~ Ctty~Council4
~~ 'k ~ ~i5 ~. ,u,,z f q . ~ T`e ~~3`~ ~ ~~'~rt~.e,Y ~ ~rt~~°~-s ~~2 r ~''^"Q f~&~" R~Y Y~'~~ ~1"~ ~,~ ~ .n' v+w Y~;r ~.
~~.~ ~ ~~ ,~ ~ ~~ ~~ ~ ~~ ~ ~ ~ ~~ ~ ~~: City Manager ~ ~~ ~ ~~~~~,. ~ ~~° ~~~~;~ ~
~~~ ~Herit~ge~~&~ ~~~ ~~~~'~Parks~&~~ ~~~~ ~~~~~~~~~ ~ ~ ,~~~
~ ~ ~ ~ ~~~~ ~~ ~~ f ~ ~ ~ ~~ ~ ~ ~~°~~ ~ ~~ ~g~ ~ plann~ng ~ ~~~~'~~ City
~~~C,ulta~ral~Arts ~~ ~~~ Cornmun~ty,~ ~ ~ t ~ ~~~
~~ ~ ~~ ~~v ~ ~ ~ ~ ~ ~ ~ ~~~~ ~ ~ ~~ ~Comen~ssion~ ~ Attorney
Gornrr~~ss~or~~ ~~~ ~~~~~Serurces~~~ ~~~~ City Clerk ~'~f ~~~ ~`' ~~~~~~ ~ ~~°~
~,~F ~, ~u .v v a~+~ ~~ ~ ~a ~ `~'"n`~~~ §~" ' ,~~n,` ~,~ '~ ~ ~"~;i~~ '~'i°°~ ' q~`
~ , ~~..~~~a`~".w~~~~~..~`~~~~~~ ~~Commisseon~ ~~ ~~~ ~` ~~_ ~~ ~k~`~~ ~~~!
~.~, ~ ,
Elections
^ Economic Development
Environmental Pro rams
Assistant City Manager
Central Services /
Human Resources
Insurance
Disaster Preparedness
Waste Management
Community Cable TV
Police Services Community Parks ~ Administrative Public Works Fire
Development Community Services Services Services
Building Management
Police Building & Safery Recreation Finance Traffic Signals Fire
Animal Control Planning Library Services Information Street Lighting Prevention
Crossing Guards Housing Cultural Activities Systems/ Street Maintenance Fire
Heritage Center Technology Street Sweeping Operations
Dublin Cemetery Street Tree Maintenance
Parks & Facilities Mgt Street Landscaping Maint
Child Care Park Maintenance
En ineerin
~ CHART ~
~~
N
N
~
xiii
This page intentionally left blank.
s~`'
~
~~
~
~
xiv
~ T
~~L
~ Gaporicci & Larson, Inc.
A Subsictiary ofMarcum LLP
Certifiecl Public Accountants
1
INDEPENDENT AUDITORS' REPORT
To the Honorable Mayor and Members of the City Council
' of the City of Dublin
Dublin, California
~~~~ ~~
~ We have audited the accompanying financial statements of the governmental activities, each
major fund, and the aggregate remaining fund information of the City of Dublin, California
~ (City) as of and for the year .ended June 30, 2010, which collectively comprise the City's basic .
financial statements as listed in the table of contents. These financial statements are the
responsibility of the City's management. Our responsibility is to express opinions on these
1 financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted iri the
I United States of America and the standards applicable to financial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United States. Those
standards require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements aze free of material misstatement. An audit includes
1 consideration of internal control over financial reporting as a basis for designing audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the City's internal control over financial reporting. Accardingly,
~ we express no such opinion. An audit also includes examining, on a test basis, evidence
- supporting the amounts and disclosures in the financial statements, assessing the accounting
principles used and the significant estimates made by management, as well as evaluating the
~ overall financial statement presentation. We believe that our audit provides a reasonable basis
for our opinions.
1 In our opinion, the financial statements referred to above present fairly, in all material respects,
the respective financial position of the governmental activities, each major fund, and the
aggregate remaining fund information of the City as of June 30, 2010, and the respective
I changes in financial position, and cash flows where applicable, thereof for the year then ended
in conformity with accounting principles generally accepted in the United States of America.
~ In accordance with Government Auditing Standards, we have also issued our report dated
December 13, 2010, on our consideration of the City's internal control over financial reporting
and on our tests of its compliance with certain provisions of laws, regulations, contracts, and
~ grant agreements and other matters. The purpose of that report is to describe the scope of our
testing of internal control over financial reporting and compliance and the results of that testing,
and not to provide an opinion on internal control over financial reporting or on compliance.
1 That report is an integral part of an audit performed in accordance with Government Auditing
Standards and should be considered in assessing the results of our audit.
~~
www c-lcpa.com
,
~~ z~~ t
To the Honorable Mayor and Members of the City Council
of the City of Dublin
Dublin, California
Page 2
The Management Discussion and Analysis and the Required Supplementary Information ori
pages 3 to 16 and pages 77 to 83, respectively, are not a required part of the basic financial
statements, but are supplementary information required by accounting principles generally
accepted in the United States of America. We have applied certain limited procedures, which
consisted principally of inquiries of management regarding the methods of ineasurement and
presentation of the required supplementary information. However, we did not audit the
information and express no opinion on it.
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City's basic financial statements. The introductory section, combining
fund statements and schedules and the statistical tables are presented for purposes of additional
analysis and are not a required part of the basic financial statements. The combining fund
statements and schedules has been subjected to the auditing procedures applied by us in the
audit of the basic financial statements and, in our opinion, are fairly stated in all material
respects in relation to the basic financial statements taken as a whole. The information
identified . in the table of contents as the Introductory and Statistical Sections has not been
subjected to the auditing procedures applied in the audit of the basic financial statements, and,
accordingly, we express no opinion on them.
~~~- ~ ~'~,~5*v' ~c.
~ r
Caporicci & Larson, Inc.
San Francisco, California
~
~
2
G~~~OF Dp8~2 CITY OF DUBLIN ~~~ ~~~
/A ~ U\
'\\~w'w~~~ Management's Discussion and Analysis (MDA) June 30, 2010
~'~i~v ~D
As management of the City of Dublin (City), we offer readers of the City's financial statements this narrative
overview and analysis of the financial activities of the City for the fiscal year ended June 30, 2010. Please
read this overview in conjunction with the accompanying letter of transmittal and the accompanying basic
financial statements.
OVERVIEW OF THE FINANCIAL STATEMENTS
^ This discussion and analysis is intended to serve as an introduction to the City's basic financial statements,
~ which are comprised of three components:
~ • Government-wide Financial Statements - These include the Statement of Net Assets and
Statement of Activities. These statements provide information about the activities of the City
as a whole and about the overall financial condition of the City in a manner similar to a private-
~ sector business.
• Fund Financial Statements - These statements provide additional information about the
~ City's major funds, including how services were financed in the short term and fund balances
available for financing future projects.
• Notes to the Financial Statements - The notes provide additional detail that is essential to a
1 full understanding of the information provided in the Government-wide and Fund Financial
Statements.
' In addition to the basic financial statements and accompanying notes, this report also presents certain
required supplementary information concerning the City's progress in funding its obligation to provide
pension benefits to its employees.
1 GOVERNMENT-WIDE FINANCIAL STATEMENTS - DESCRIPTION
These statements include all assets and liabilities of the City using the accrual basis of accounting, which is
similar to the accounting used by most private sector companies. All current year's revenues and expenses
are accounted for regardless of when the cash is paid or received.
j These statements report the City's net assets and changes to the net assets. Net assets - the difference
between assets and liabilities - are one way to measure the City's financial position. Over time, increases
' or decreases in net assets are among indicators used to assess whether the financial condition of the City is
improving or deteriorating. However, it is also important to consider other non-financial factors, such as:
changes in the City's property tax values, sales tax outlets, and the condition of the City's infrastructure (i.e.
parks and streets), to accurately assess the overall health of the City.
, The Government-wide statements present information about the City's activities, all of which are considered
governmental in nature. These include services provided for police, fire, community development, streets,
, and culture and leisure. These services are funded from monies received from property, sales and other
taxes, direct charges for services provided, grants, contributions from other agencies, and impact fees
collected from new development.
~
G~~~ OF ~O~~y
/~~~~\'
19, ~1=1 _~p) `82
`~~ ~~. ~
~'~z~~oR~~~
CITY OF DUBLIN
Management's Discussion and Analysis (MI.~A) June 30, 2010
GOVERfVMENT-WIDE FIfVANCIAL STATEMENTS - ANALYSIS
~~ ~~~ t
~
As shown in Table 1, during Fiscal Year 2009-2010, the City's net assets, representing the difference
between total assets and total liabilities, increased by $5.1 million (1.0%) to $532 million from $527 million,
presented for Fiscal Year 2008-2009. The primary factor which contributed to the increase was an increase
in amounts invested in capital assets. The completion of major projects including the Fallon Road I-580
Interchange and Phase 1 of Fallon Sports Park were two major projects. Table 1 below summarizes the
year to year change in the net assets reported for the City of Dublin. '
TABLE 1: SUMMARY OF NET ASSETS
June 30, 2010 and 2009
Governmental Activities
Item June 30, 2010 June 30, 2009 $ Change % Change
Current and other assets $112,690,271 $121,031,495 ($8,341,224) -6.9%
Capital assets 436,857,107 423,474,384 13,382,723 3.2%
Total assets 549,547,378 544,505,879 5,041,499 0.9%
Current Liabilities 16,548,627 16,822,439 (273,812) -1.6%
Noncurrent Liabilities 933,789 705,172 228,617 32.4%
Total Liabilities 17,482,416 17,527,611 (45,195) -0.3%
Invested in capital assets 436,857,107 423,474,384 13,382,723 3.2%
Restricted 25,004,384 36,906,687 (11,902,303) -32.2%
Unrestricted
(See Note 8 to Financials for 70,203,471 66,597,197 3,606,274 5.4%
Council Designations)
Total net assets $532,064,962 $526,978,268 $5,086,694 1.0%
The current assets decreased by approximately $8.3 million compared to the balance reported in the
previous year. This decrease was offset by $13.3 million in capital assets and reflects the use of cash
reserves during the year to construct capital assets. The cash used for these projects includes Traffic
Impact Fees and Public Facility Fees which can only be used for specified improvements and cannot be
used for general operations.
The City's total liabilities of $17.5 million represents primarily obligations outstanding for current operations
(such as accounts payable), capital projects (such as retention payable), deposits held for development
projects, and compensated absences. The relatively small decrease in the current liabilities is primarily due
to the difference in scope and timing of accounts payable, which was offset by a decrease in deposits held
for developer project processing and contract retention held at the end of the fiscal year. The increase in
noncurrent liabilities is related to recording an increased liability for the City share of the Dougherty
Regional Fire Authority retiree medical obligation and establishment of a liability for a sales tax sharing
program implemented as a means to stimulate new local businesses.
A significant portion of the City's net assets ($437 million or 82.1%} reflects its investment in capital assets
(e.g. land, infrastructure, buildings, equipment). The City uses these capital assets to provide services to
citizens; consequently, these assets are not available for future spending.
$25.8 million or 4.8% of the assets as of June 30, 2010 represent resources that are subject to external
restrictions on how they may be used. These restrictions may be imposed by outside agencies, state
regulations, or legal restrictions which would limit the discretionary use of these assets.
~ 0 z~~
Z~
~ G~~,~ OF DpB~~ CITY OF DUBLIN
/// ~ \1\
1`~~w~w~~ Management's Discussion and Analysis (MDA) June 30, 2010
c~~L~o ~~
'
Unrestricted net assets ($69.4 million or 13.1 %) may be used to meet the City's ongoing obligations to
~ citizens and creditors. However, as discussed in the notes to the financial statements, much of the
unrestricted net assets include the unreserved portion of General Fund balance which has either been
designated for future equipment replacement, or has been designated by the City Council for use on several
~ future projects and to cover economic uncertainties. The unrestricted net assets show an increase of $2.8
million (4.3%) compared to the amount reported as of one year earlier.
Governmental Activities: Table 2 provides a summary of major expenditure program categories, program
~ revenues used to fund specific expenditure programs, and general City revenues available for funding all
City programs. Total revenues from all sources were $72.7 million and total expenditures for all City
programs were $67.6 million. For Fiscal Year 2009-2010, the City had no long term debt outstanding at
1 June 30, 2010. The format of Table 2 provides additional detail showing factors that impacted the Net
Asset figures presented earlier in Table 1.
TABLE 2: SUMMARY OF CHANGES IN NET ASSETS
~
For the Years Ended June 30, 2010 and 2009
Fiscal Year Ending June 30th
1 2010 2009 $ Change % Change
Revenues
Proqram Revenues
1
Charges For Services $ 10,926,835 $ 11,850,629 $ (923,794) (7.8%)
Operating Contributions & Grants 2,229,043 2,245,945 (16,902) (0.8°/o)
Capital Grants & Contributions 19,901,314 14,599,068 5,302,246 36.3%
~ Sub-Total Program Revenues 33,057,192 28,695,642 4,361,550 152%
General Revenues
PropertyTaxes 22,287,783 23,311,587 (1,023,804) (4.4%)
Sales Tax 12,183,267 12,001,338 181,929 1.5%
~
Motor vehicle in lieu, unrestricted 141,221 160,242 (19,021) (11.9%)
OtherTaxes 3,201,219 3,011,925 189,294 6.3°/a
Investment income, unrestricted 758,016 4,266,601 (3,508,585) (82.2%)
~
Othergeneralrevenues 1,106,163 461,137 645,026 139.9%
Sub-Total General Revenues 39,677,669 43,212,830 (3,535,161) (8.2%)
~ Total Revenues $ 72,734,861 $ 71,908,472 $ 826,389 1.7°/a
Expense5:
Governmental activities:
, General government $ 8,396,199 $ 8,721,545 $ (325,346) (3.7%)
Public safety 23,797,696 23,880,635 (82,939) (0.3%)
Highways and streets 15,969,371 20,368,655 (4,399,284) (21.6°/a)
Health and welfare 3,615,077 1,869,428 1,745,649 93.4%
t Culture and leisure services 10,757,355 11,563,136 (805,781) (7.0%)
Community development 5,112,469 7,175,272 (2,062,803) (28.7°10)
Sub-Total governmental activities 67,648,167 73,578,671 (5,930,504) (8.1%)
~ Increase In Net Assets $ 5,086,694 $ (1,670,199)
Net Assets - Beginning of Year 526,978,268 528,648,467
~ Net Assets - End of Year $ 532,064,962 $ 526,978,268 $ 5,086,694 1.0°/a
~ 5
G~~~ OF ~U~~~
~
rn
~
~~~C'~~///
~'~~ir~o~~'~D
CITY OF I~UBLIN
Management's Discussion and Analysis (MDA) June 30, 2010
~~~ i
~~~
The $5.1 million increase in net assets this fiscal year is largely attributable to an overall decrease in
charges for services, a reduction in capital grant expenditures, and a decrease in general revenues
including property taxes and interest. All of these impacts on revenues were offset by an even larger
reduction in expenditures. A discussion of key Revenue and Expenditure factors is presented below.
Revenues
Overall, total revenues increased by $826,000 or 1.1 °/a, for the period ending June 30, 2010 compared to
the previous Fiscal Year. The following are the major factors which contributed to these results:
~ Charges for Services decreased by approximately $0.9 million. This primarily reflects the slowdown
in development activity and fewer development applications under review.
• Capital Contributions and Grants increased by $5.3 million. Year to year fluctuations are common
since many of the larger grant and capital contributions relate directly to the construction schedules
for capital projects. Major projects such as the Fallon Interchange, Interstate 580 Auxiliary Lanes,
and Phase 1 Fallon Sports Park were in the final completion stages in the current year.
• Property Taxes decreased by approximately $1.0 million based upon decreased assessed
valuations and as new construction being added to the tax roll also declined.
o Sales Tax revenue increased by approximately $182,000, as a result of new retail outlets operating
in the City.
• Other Taxes also increased by approximately $189,000. This increase primarily reflects a small
increase in real estate transfers and increases in utility franchise tax revenue.
o Investment income decreased by approximately $3.5 million. The decrease reflects lower rates of
interest earned as well as decreases in the cash balances held. The results also take into account
an unrealized adjustment to reflect the market value of investments as of June 30, 2010. In the
current Fiscal Year a negative adjustment of approximately $800,000 was recorded as an unrealized
investment loss, whereas the previous year revenue included an unrealized investment gain of
approximately $1.7 million.
Expenses
Overall, total expenses decreased by approximately 8.1 % as compared to Fiscal Year 2008 - 2009. The
total expenses reported as of June 30, 2010 were $67.6 million. Table 3 summarizes the differences in
expenses in order to observe the fluctuation between components.
TABLE 3: ANALYSIS OF MAJOR COMPONENTS CONTRIBUTING TO CHANGE IfV EXPENSES
(Fiscal Year 2009-2010 Compared To Fiscal Year 2008-2009)
Governmental
Year Ending Fund Program
June 30
Expenses
2010 60,138,422
2009 50,041,794
Difference 2010
vs. 2009 10,096,628
Internal Capital Asset Depreciation Other TOTAL
Service Funds Additions EXPENSES
(1,988,976) 3,207,631 6,220,160 70,930 67,648,167
963,919 8,136,840 14,325,258 110,860 73,578,671
(2,952,895) (4,929,209) (8,105,098) (39,930) (5,930,504)
, z~
~~~a.
1 G`~.~ OF DpB~y CITY OF DUBLIN ~
~
\\~~~~~ Management's Discussion and Analysis (MDA) June 30, 2010
~
I ~~`'~°~~`°
• Governmental Fund program expenses increased by $10 million. The increase is related to a one-
~ time contribution from the General Fund of $3 million to increase reserves available for replacement
of major building systems. The increase is also due to the recording of $7.6 million of street and
traffic signal improvements that were dedicated to the City by developers during Fiscal Year 2009-
~ 2010.
• Internal Service Funds net change in expenses decreased by $2.95 millions and is associated with
the one-time contribution of $3 million from the General Fund as discussed in the above.
~ • Capital Asset additions decreased by $4.9 million when compared to the previous year. The
decrease reflects the reduced overall capital project activity. Due to the fact that completion of
~ capital projects and the acquisition of assets do not follow consistent patterns it is typical to have
fluctuations.
1 • Depreciation expenses included as part of the financial statements decreased primarily due to the
following two factors: 1) Some assets were fully depreciated and no longer subject to depreciation,
and 2) Implementation of a new integrated software program which requires monthly depreciation
calculations, which resulted in a change in timing of when the depreciation was posted. When the
~ fund governmental statements are presented they do not present general fund capital assets. A
reconciliation Statement of the Governmental Funds Balance Sheet to the Government-wide
Statement of Net Assets is included as part of the CAFR Report.
, The charts which follow display both the Revenue and Expenses by program in a pie chart format. This
highlights the proportionate elements of the Fiscal Year 2009-2010 Revenues and Expenses.
~ As shown in the Revenue Chart more than two-thirds of the total revenue is related to the top three sources:
1) Property taxes which comprise 32.8%; 2) Capital grants which comprise 29.3%; and 3) Sales tax which
~ comprises 17.9%.
Revenues By Source (In Millions) Total Revenue $72.7 Millions
' Other Taxes - -2.1 % $3.3
Sales Tax
Op Contrib / Grants
3.3 % $2.2
Investment {ncome -
l.l % $0.8
Other Revenues - 1.
$1.1
Prope
$223
r Services -
$10.9
Capital /Grants - 29.3%
$19.9
~ ~~z~~- l
G`~~ OF DD~~y
~
19'~I~`82
~~ ~ ~~
~'~~~~c~~~D
CITY OF DUBLIN
Management's Discussion and Analysis (MI7A) June 30, 2010
In terms of expenses, the largest program expense is Public Safety representing 35.18%, followed by
Highways and Streets accounted for 23.61 %. Cuiture and Leisure accounted for 15.90% of the
expenditures. Expenses in both Highways and Streets and Culture & Leisure included capital projects.
EXPENSES BY PROGRAM (In Millions)
Total Expenses - $67.6 Millions
Community Development
7.56% $S.l General Govemment -
Culture and Leis
15.90% $10.
Healtl~ and Welfare -
534% $3.6
Public Safety - 35.18 %
$23.8
FUND FINANCIAL STATEMENTS
These statements provide more detailed information about the City's major funds. A fund is a grouping of
related accounts that is used to maintain control over resources that have been segregated for specific
activities or objectives. The 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 can be
divided into three categories: Governmental funds, Proprietary funds, and Fiduciary funds.
Governmental funds Governmental funds are used to account for essentially the same functions reported
as governmental activities in the Government-wide financial statements. However, unlike the Government-
wide financial statements, Governmental fund financial statements focus on near-term inflows and outflows
of spendable resources, as well as on balances of spendable resources available at the end of the fiscal
year. Such information may be useful in evaluating a governmenYs near-term financing requirements.
Because the focus of Governmental funds is narrower than that of the Government-wide financial
statements, it is useful to compare the information presented for Governmental funds with similar
information presented for governmental activities in the Government-wide financial statements. By doing
so, readers may better understand the long-term impact of the governmenYs near-term financing decisions.
Both the Governmental fund balance sheet and Governmental fund statement of revenues, expenditures,
and changes in fund balances provide a reconciliation to facilitate this comparison between Governmental
funds and governmental activities.
Highways and Sveets -
23.61 % $ I 6.0
~~~~~~
1 G~~`t~F~~B~~ CITY OF DUBLIN
,,, ~ ,,,
'\\~w'w~~~ Management's Discussion and Analysis (MDA) June 30, 2010
~~~i~ ~~~
~
The City maintains forty (40) individual Governmental funds. Information is presented separately in the
~ Governmental fund balance sheet and in the Governmental fund statement of revenues, expenditures, and
changes in fund balances for the following nine funds: General Fund; Affordable Housing Fund; four Capital
Project Funds (General Improvement Projects; Community Improvement Projects; Parks Projects; Streets
~ Projects); and three Impact Fee Funds (Public Facilities Impact Fees, Fire Impact Fees, and Traffic Impact
Fees). These funds either qualify or the City requested them to be classified as major funds due to their
significance in the financing of new capital assets. Data from the other thirty-one (31) Governmental funds
are combined into a single aggregated presentation, labeled as Non-Major Governmental Funds. Individual
1 fund data for each of these non-major governmental funds is provided in the form of combining statements
elsewhere in this report.
~ The City adopts an annual appropriated budget for each of its Governmental funds. A budgetary
comparison statement has been provided for each Governmental fund to demonstrate compliance with this
budget.
' Proprietary funds The City maintains one type of Proprietary fund. Internal service funds are an
accounting device used to accumulate and allocate costs internally among the City's various functions and
to build up reserves for future replacement of capital assets. These funds are also used to coflect funds for
I future retiree medical costs, which are then transferred to a trust. In Fiscal Year 2006-2007, the City
established a component related to the pre-payment of the Fublic Employees Retirement System side fund
obligation. Charges are made to departments based on payroll to fully recover advanced retirement
, payment over time. The City uses six internal service funds to account for its fleet of vehicles, computer
systems, other furniture and equipment, certain retiree costs and contributions, and improvements to City
buildings. Because these services solely benefit the governmental function, they have been included within
, governmental activities in the Government-wide financial statements.
Proprietary fund financial statements provide the same type of information as the Government-wide
financial statements, only in more detail. All six internal service funds are combined into a single,
1 aggregated presentation in the Proprietary fund financial statements. Individual fund data for the internal
service funds is provided in the form of combining statements elsewhere in this report.
' Fiduciary funds The Fiduciary fund section consists of three Agency Funds. The Dublin Boulevard
Extension Agency Fund is an improvement district with outstanding bonds. The City's role is that of a
trustee, or fiduciary, in collecting assessments and remitting bond payments. The City has no legal,
~ contingent or moral obligation for the repayment of this debt and merely ensures that the assets received
are used for their intended purposes.
The City also provided a similar role for two Geologic Hazard Abatement Districts (GHAD). California Public
, Resources Code section 25670 establishes that these Districts are a political subdivision of the State and
not an agency or instrumentality of a local agency. The City contractually provides support to collect funds
in a fiduciary capacity and may also arrange for activities funded by the Districts.
~ These fiduciary activities are excluded from the City's fund financial statements because these assets
cannot be used to finance operations. The activity for these funds, however, is provided for in a separate
~ combining statement contained elsewhere in this report.
~~ OF p~j~
G~ ~9
19'V-'_~`82
~~ ~~l
~~LIFOR~~~
CITY O~' DU~LIN
Management's Discussion and Analysis (MDA) June 30, 2010
FINANCIAL ANALYSIS OF THE GOVERNMENT'S FUNDS
~~ ~~~ t
As of June 30, 2010, the City's governmental funds reported combined ending fund balances of $82.8
million, a decrease of $12 million from the prior year. The City General Fund had a decrease of $1.1
million; Capital Funds decreased by $10.7 million; Affordable Housing Fund decreased by approximately
$65,000 and Non-Major Funds decreased by approximately $85,000. The following sections provide a more
detailed financial analysis by fund type.
GENERALFUND
The General Fund is the chief operating fund of the City. At the end of Fiscal Year 2009-2010, unreserved
fund balance of the General Fund was $55.1 million and total fund balance of the General Fund was $61.0
million. As discussed in Note 8 to the financial statements, the entire amount of unreserved fund balance
has been designated by the City Council for use on several future projects, carryover funding for projects
not completed in the previous year, and to cover economic uncertainties.
During Fiscal Year 2009-2010, the General Fund expenditures exceeded its revenues by $2.3 million.
However, a total of $3.4 million was transferred out of the General Fund, primarily as a contribution to fund
projects accounted for in a Capital Projects Fund. In previous years General Fund capital expenditures
were not reported in a separate Capital Projects Fund. Although the City Council had approved the use of
$1.1 million in reserves from the Economic Stability designation to balance operating expenditures, this was
not required. The total expense in the General Fund during Fiscal Year 2009-2010 was $1.1 million more
than the previous year (adjusting the 2008-2009 expenses without Capital Projects).
AFFORDABLE HOUSING FUND
The Affordable Housing Fund is a special revenue fund which accounts for funds associated with the
Affordable Housing programs. The fund balance totaled $12,838,676 at June 30, 2010 compared to
$12,903,285 a year earlier. The minimal change reflects the slow-down in development activiry. Expenses
were also partially offset by the repayment of loans made by this fund to facilitate the private development
of housing opportunities at the Fairway Ranch Project as well as repayment of a First - Time Home Loan.
The City has made significant commitments to the Arroyo Vista Redevelopment project, which is a private -
public partnership to replace affordable housing units, which will impact the fund balance once the project is
underway.
CAPITAL PROJECT FUNDS
As previously described the City has included seven specific capital funds in the information presented as
part of the governmental funds. Four of the funds are used to capture expenditures related to active capital
projects that are under way. The four funds are: General Projects; Community Projects; Parks Projects;
and Streets Projects. The funding for the expenditures made in these funds is the result of transfers in from
other funds. The only fund with a balance as of June 30, 2010 is the Street Projects which has a balance
of $9,314. The following Capital Impact Fee Funds are also reported:
• Public Facilities Fee Fund - This fund includes fees collected to develop parks and other public
facilities. Total revenue collected in Fiscal Year 2009-2010 was $1.7 million more than the
amount collected in the prior year. This increase was the result of developers processing Final
Maps which result in the collection of park land dedication fees. The funds were used along with
existing balances to offset the construction cost of Fallon Sports Park. A total of $8 million was
10
~
.- ~"~t~ ?~~
1 G~~~ OF DU~~y CITY OF DUBLIN '~-
,,, ~ ,,,
'\`~w'w~~ Management's Discussion and Analysis (MDA) June 30, 2010
c~,~L~~ tir
~ transferred out of this fund to complete capital project construction. Due to variations in project
construction and acquisition timelines expenditure patterns will fluctuate from year to year. The
~ negative balance of $1.4 million at the end of the year will be offset-by borrowing from the
General Fund until such time as the amount can be repaid with interest from additional fees
collected.
' • Fire Impact Fees - This fund includes fees collected from new development to pay for the capital
cost associated with the provision of Fire Services. Total revenue collected in Fiscal Year 2009-
2010 was only $74,540 which was $15;574 more than the amount collected in the prior year. In
1 Fiscal Year 2009-2010 more development occurred on properties which did not hold credits from
prior contributions. Therefore they were required to pay cash at the time of receiving a building
permit. 7he expenses associated with these funds represent the repayment of a long term
~ advance made from the City General Fund. Payments include interest. In Fiscal Year 2009-
2010 the amount owed to the General Fund decreased by $32,450 after accounting for interest
on the outstanding balance. The total balance owed to the General Fund as of June 30, 2010 is
~ $1,808,886.
• Traffic Impact Fee Fund - This fund includes fees collected to construct major traffic
improvements necessary to facilitate development. Fees are levied and collected on
, development in proportion to its impact on the transportation needs. Total revenue collected in
Fiscal Year 2009-2010 was only $1.7 million, which was approximately $193,000 more than
collected in the prior year. The City expended approximately $495,282 in payments to reduce
, outstanding obligations. In addition approximately $6,848,129 was transferred to capital project
construction funds du~ing the year. 7his resulted in a$5.6 miNion reduction in the ending fund
balance for Traffic Impact Fees. Because these funds are collected for construction or
improvements the entire $6.3 million fund balance is reserved for designated capital projects.
~
NON-MAJOR FUNDS
~ The City's non-major funds are presented in the basic financial statements in the aggregate. At June 30,
2010, these funds had a total fund balance of $5,893,509. Based on the designated use of the funds they
~ can be arranged by function as shown in Table 4 below:
TABLE 4: ANALYSIS OF FUND BALANCES - NON MAJOR GOVERNMENTAL FUNDS ARRANGED
BY FUNCTIO N
~ (Fiscal Year 2009-2010 Compared To Fiscal Year 2008-2009)
Function 2010 2009 $ Change % Change
, Public Safety $329,457 $381,646 ($52,189) -13.7%
Transportation 2,859,719 3,618,508 (758,789) -21.0%
' Environmental 1,463,965 861,076 602,889 70.0%
Parks, Culture, Arts 375,002 375,779 (777) -0.2%
Health & Welfare 61,662 58,762 2,900 4.9%
' Maintenance Districts 803,704 683,206 120,498 17.6%
TOTAL FUND BALANCE JUNE 30th $5,893,509
1 $5,978,977 ($85,468) -1.4°/a
11
G~~~ OF ~UB~-y
~9~ (~_-' -_~' `82
`~~ ~`~~%
~4GIFOR~~~
CI'I'Y OF I~UBLIN
~~~ i
~~
Management's Discussion and Analysis (MDA) June 30, 2010
The full amount has been reserved under the programs indicated in the Table above. Although in the
aggregate there was very little change changes did occur between the functions. The changes in Public
Safety reflect the use of Emergency Medical Service fund and Traffic Safety fund reserves for current year
operations. The Transportation function shows a decrease as a result of the use of State Gas Tax and
Measure B Streets reserves for current capital projects. The Environmental function had an increase due to
the reporting of special Storm Water Funds as part of this function. The increase in Maintenance District
balances is largely due to districts in the eastern portion of the City. More information about these
aggregated non-major funds can be found in the combining statements following the required
supplementary information.
GENERAL FUND BUDGETARY HIGHLIGHTS
A summary of the budgetary comparison schedule for the General Fund is shown in Table 5 below. The
complete schedule as required is included in the supplementary information following the notes to the
financial statements.
TABLE 5: SUMMARY OF GENERAL FUND ORIGINAL AND FINAL BUDGET AND ACTUAL
(For the Period Ending June 30, 2010)
Budget Amounts Actual Variance with
Original Final Amounts Final Budget -
REVENUE:
Taxes $ 35,191,850 $ 35,045,850 $ 37,525,490 $ 2,479,640
Licenses and permits 1,625,211 1,639,160 2,260,365 621,205
Fines and forfeitures 140,000 140,000 144,593 4,593
Use of Money & Property 1,558,707 1,588,707 1,139,114 (449,593)
Intergovernmental 957,870 1,152,200 520,719 (631,481)
Charges for service 4,742,524 4,645,615 5,327,968 682,353
Other revenue 757,481 791,481 1,647,866 856,385
Total Revenue 44,973,643 45,003,013 48,566,115 3,563,102
EXPENDITURES:
General government 5,879,412 6,315,552 8,872,290 2,556,738
Public safety 24,742,786 24,223,634 22,998,116 (1,225,518)
Highways and streets 1,877,783 1,932,837 1,791,083 (141,754)
Health and welfare 57,925 84,180 71,680 (12,500)
Culture and leisure 7,634,334 7,729,118 7,266,829 (462,289)
Community development 4,875,843 5,446,310 5,276,271 (170,039)
Total expenditures 45,068,083 45,731,631 46,276,269 544,638
OTHER FINANCING SOURCES (USES):
Transfer in - - 28,648 28,648
Transfer out (4,748,943) (6,192,757) (3,429,024) 2,763,733
Total other financing sources (uses) (4,748,943) (6,192,757) (3,400,376) 2,792,381
NET CHANGE IN FUND BALANCE (4,843,383) (6,921,375) (1,110,530) 5,810,845
12
,
1 G`~~ OF DpB~y CITY OF DUBLIN ~~g ~~~~
,,, ~ ,,,
'`~~~'w~~ Management's Discussion and Analysis (MDA) June 30, 2010
c~~L~~ ~,.~
~
Over the course of the year, revisions were made to the City budget with adjustments that generally fall into
' one of the following four categories:
• Changes made to adjust appropriations for operating carryovers from the prior year.
1 • Changes made to adjust appropriations for capital project carryovers from the prior year.
• Changes made in the mid-year report to adjust revenues and augment current year
appropriations.
• Other revenue and expenditure adjustments approved after the original budget was adopted.
1 In the General Fund total actual revenues exceeded the final budget by $2.3 million for the Fiscal Year
ending June 30, 2010. However, during the year the City also had net transfers to other funds of $3.4
~ million. Of this amount approximately $3 million represented General Fund contributions to Capital Projects
and approximately $400,000 was a transfer of Storm Water funds to a new designated fund. Overall,
Revenue was approximately $3.5 million or 7.9% more than the final Budget and Expenditures were
, approximately $545,000 or 1.2% less than the final Budget. The City Council authorized a contribution of
$3 million to the Building Internal Service Fund Reserves. Because this was a contribution to an Internal
Service Fund, it has been included as an expense in the General Fund.
~ General Fund Taxes consist of primarily Property Taxes ($22.1 million in Fiscal Year 2009-2010) and Sales
Taxes ($12.2 million in Fiscal Year 2009-2010). The final amount collected in property taxes was $673,253
more than the budget which had anticipated more drastic reductions in assessed valuation. The final result
' was 3% more property taxes than budgeted. The final amount collected in sales tax was $1,531,168 more
than the budget, which had anticipated additional declines in automobile sales and new retail outlets
contributed more than the amount assumed as part of the Budget. Although the final collections for these
, revenues exceeded the final budget, the combination of Sales Tax and Property Tax was still $841,489 less
than the actual revenue in the previous year. The combination of these revenues are projected to decline in
the coming year as property values decrease and the City adjusts to the sluggish rate of growth in retail
sales. .
~ Licenses and permit revenue had a positive variance from the final budget. This reflected primarily Building
permits that were anticipated to occur in the following fiscal year being obtained late in Fiscal Year 2009-
1 2010. It is important to note that permit fees can be paid in one fiscal year with the inspection expenses
incurred across multiple years, so this will also potentially have an impact on Fiscal Year 2010-2011, which
wifl be monitored as the year progresses.
, Use of money and property had a negative budget variance at year end. This was attributable to lower
interest rates as well as the adjustment made to reflect the market value of investments. The lease of City
facilities actually contributed positively to this revenue source. At mid-year, a budget adjustment was made
' to increase the revenue from facility rentals.
The positive budgetary variance in Charges for Services primarily reflects development processing fees and
~ charges. The projection in the budget estimate was more pessimistic than the final services performed. In
some cases, development projects proceeded with entitlement services that were expected to be delayed
~ longer based on the economy.
, General Fund Expenditures overall were very close to the Budget and all of the operating programs, except
for the General Government showed actual savings. The General Government Program includes the
administrative operating departments as well as a Non-Departmental activity. All of the operating
1 departments had budgetary savings and the negative variance was solely in the Non-Departmental activity.
This accounted for the City Council authorizing $3 million to be contributed from the General Fund to the
Internal Service Fund for major building components.
' 13
G`~,l OF Dp~~y
/~~~~
19~ (d= ~ =7~),82
`~~ ~~~ ~
~'~~,~a~~
CITY OF DUBY,IN
Management's Discussion and Analysis (MDA) June 30, 2010
~p ~~,~ 1
~
Factors which contributed to the overall savings in expenditures were savings in contract service costs,
vacancies in staff positions, a delay in the timing of completion of capital projects reducing the maintenance
costs incurred, and a reduction in contract services required as development applications and inspection
activities. The overall results among all programs also reflect the continued effort by City Staff to
aggressively manage spending given the realiry of the economic recession.
DEBT AND CAPITAL ASSET ADMINISTRATION
Debt
For Fiscal Year 2009-2010, the City had no long term debt. State statutes limit the amount of general
obligation debt a governmental entity may issue to 15 percent of its total assessed valuation. The current
debt limitation for the City is $314.7 million. As noted previously the only debt which is administered is
described in the Fiduciary fund section. The City has no legal obligation for the repayment of this debt and
merely ensures that the assets received are used for their intended purposes. The City has intentionally
strived to finance facilities and equipment needs without using borrowed funds and incurring additional
costs.
Capital Assets
The City's investment in capital assets for its governmental activities as of June 30, 2010, amount to $436.9
million (net of accumulated depreciation). This investment in capital assets includes land and streets right
of way, buildings, park and roadway improvements, vehicles and other equipment and construction in
progress, as summarized in the schedule bellow. During the current fiscal year, the City's investment in
capital assets increased by approximately $13.4 million (3.2°/a).
TABLE 6: SUMMARY OF INVESTMENT IM CAPITAL ASSETS
(For the Period Ending June 30, 2010)
Governmental Activities
June 30, 2010
Land
Streets right of way
Construction in Progress
Infrastructure
Buildings and Improvements
Machinery and Equipment
Sub-Total
$162, 556,224
35,425,288
22,234,992
352,902,022
68,612,214
6,890,941
648,621,681
June 30, 2009 $ CHANGE
$162, 556,224
35,425,288
8,001,873
345,149,139
68,517,699
6,613,085
$0
0
14,233,119
7,752,883
94, 515
277.856
626, 263, 308
2Z,358,373
Less Accumulated Depreciation (211,764,575) (202,788,924) (8,975,651)
Total Net of Depreciatiou~ $436,857,106 $423,474,384 $13,382,722
%
CHANGE
0.0%
0.0%
177.9%
2.2%
0.1 %
4.2%
3.6%
4.4%
3.2%
14
G`~~ OF DpB~y
~~~~~\
19' C~1= ~ =i1~7 `82
`~~ ~~.~%
~'4LlFOt2N~~
CITY OF DUBLIN
Management's Discussion and Analysis (MDA) June 30, 2010
~,~~~Z~.~
The City had an active Capital Improvement Program with significant progress made on a variety of
community assets as well as interstate highway improvements which provided improved access. Selected
major capital activities undertaken during the current fiscal year included the projects listed below:
Ca ital Pro'ect Status of
Pro'ect 2009-2010
Ex enditures
Cit Offices Ener Efficient Window Treatment Com leted $ 94,515
Americans With Disabilities Act- Pedestrian Im rovements Com leted $ 91,566
Fallon S orts Park Construction Com leted $9,100,921
Interstate 580 / Fallon Rd Interchan e Com leted $3,350,501
Interstate 580 Westbound Auxilia Lane Im rovement Com leted $1,726,153
Dublin S orts Grounds Renovation In Pro ress $ 175,656
Historic Park Develo ment In Pro ress $1,199,192
New Inte rated Finance / Permit / Licensin S stem In Pro ress $ 217,720
Street Rehabilitation and Overla In Pro ress $1,215,305
Dublin Bou-evard Bart Corridor Im rovements In Progress $2,802,223
' In addition, approximately $7.6 million of street and traffic signal improvements were dedicated to the City
by developers during Fiscal Year 2009-2010. Additional information on the City's capital assets can be
found in Note 5 of this report.
~ ECONOMIC FACTORS AND NEXT YEAR'S BUDGETS
, The economic conditions observed as the Fiscal Year 2010-2011 Budget was prepared suggested
continued deterioration or minimal increases in core General Fund revenues for the City. The budget
estimated General Fund revenue to be approximately 6.8% ~ess than the projection of Fiscal Year 2009-
1 2010. The City expects in the coming year, a reduction in property tax revenue and a relatively small
increase in sales tax ($284,630). Although any increase in sales tax is positive the projections for Fiscal
Year 2010-2011 remain below the $14 million collected just three years ago.
~ To address these conditions the structure of the Fiscal Year 2010 - 2011 budget incorporated service
reductions which in some cases, are quite visible to the constituents served by the City. Reductions
impacted several areas including Public Safety, a reduction in Library Hours, and changes in the programs
, and services coordinated by the Parks and Community Services Department. There was also a
postponement of new capital projects which did not have an identified funding source. The City's use of
contract service providers to supplement City Staff has been beneficial especially the City can adjust the
' amount of contract service hours as the workload decreases or increases.
Expenditures planned in Fiscal Year 2010-2011 Budget are approximately $22.6 million less than the
' adopted Fiscal Year 2009-2010 Budget. Although the dramatic change is impacted largely by major capital
projects which are nearing or now complete there is also a component that is related to the Operating
Budget (approximately $2.8 million in operating expenditures).
~
' 15
G~~.l OF Dp~~y
~~~~,~\
19' (~]_ ~ =7I~) \82
`~~ ~~.~%
~~LlFOR~~~
CITY OF DUBLIN
Management's Discussion and Analysis (MDA) June 30, 2010
~ ~ ~'~~ ~
~
City staff is preparing a multi-year forecast to be used as part of the decision-making tools available for
future budgets. The City Manager has also implemented changes in the format of the Budget presented to
the City Council. The goal is to identify core services which align to the City Council adopted Strategic Plan.
The City has been proactive in sharing with the community public information related to the financial
condition of local government. In 2009, the City commissioned a survey which showed support for the
services and programs offered by the City. The survey also found that, when the ramifications of using
reserves to prevent cuts to services was explained, residents were significantly less willing to support the
use of reserves for on-going operations. This emphasizes the need for the City to define and prioritize core
services that can be funded from current revenue.
It is important to acknowledge that the City does not control many of the conditions that will have a financial
impact. This includes the down-turn in the economy, the real estate lending crisis and the State Budget. As
the City prepared for Fiscal Year 2010-2011, the State had not resolved a major budget deficit. The State
Budget remains a significant challenge as deficits continue to be projected. A copy of the adopted Budget
and Financial Plan for Fiscal Year 2009-2010 is available online at www.dublin.ca.gov.
REQUESTS FOR INFORMATION
This financial report is designed to provide a general overview of the financial position of the City for all
those with an interest in the governmenYs finances. Questions concerning any of the information provided
in this report or requests for additional financial information should be addressed to the following address:
City of Dublin, Finance Department, 100 Civic Plaza, Dublin, CA 94568. A copy of this financial report is
also located at the City's website - www.dublin.ca.gov.
16
~ - ~ ~ ~~.~.
~
~ BASIC
FINANCIAL STATEMENTS
~
~~
~~~~ ~ z ~~ t
~~
1
This page intentionally left blank.
18
3~~
GOVERNMENT=
~~
DE
FINANCIAL STATEMENTS
19
zZ~ ~
~~~
~
This page intentionally left blank.
20
3~~ ~~~
City of Dublin
Statement of Net Assets
June 30, 2010
Primary
Government
Governmental
Current assets:
Cash and investments
Restricted cash and investments
Prepaids
Accounts receivable
Accrued interest receivable
Total current assets
Noncurrent assets:
Net OPEB asset - City (Note 12 A)
Notes receivable
Long-term receivable
Capital assets (non-depreciable):
Land
Streets right of way
ConstrucHon in progress
Capital assets (depreciable):
Infrastructure
Buildings and improvements
Machinery and equipment
Less accumulated depreciaHon
Total capital assets
Total noncurrentassets
Total assets
ASSETS
LIABILITIES
Current ]iabiliHes:
Accounts payable
Accrued wages & other payroll liabilities
Deposit payable
Contract retenHon payable
Liability and insurance claims payable
Uneamed revenue
Compensated absences - Due within 1 year
Total current liabilities
Noncurrent liabilities:
OPEB obligaHons - Dublin Regional Fire Authority (Note 12.B)
Other Payables
Compensated absences
Total noncurrent liabilities
Total liabilities
Invested in capital assets
Restricted for:
Public safety
Impact fee projects
Highways and streets
Health and welfare
Total restricted
Unrestricted
Total net assets
NET ASSETS
See accompanying Notes to Basic Financial Statements.
$ 99,594,436
146,200
71,834
6,673,507
342,523
106,528,500
21
764,343
3,847,428
1,250,000
162,556,225
35,425,288
22,234,992
352,902,022
68,612,214
6,890,942
(211,764,576)
436,857,107
442,718,878
549,547,378
$ 13,211,679
443,745
349,511
461,383
271,916
1,569,700
240,693
16,548,627
211,265
160,905
561,619
933,789
17,452,416
436,857,107
329,457
6,637,887
4,386,498
13,650,542
25,004,384
70,203,471
$ 532,064,962
~J ~ (~ ~~r~9
City of Dublin ~J
Statement of Activities and Changes in Net Assets
For the year ended June 30, 2010
Program Revenues
Operating Capital
Charges for Contributions Contributions
Expenses Services and Grants and Grants
Governmental activities:
General government $ 8,396,199 $ 219,386 $ - $ 86,023
Public safety 23,797,696 1,600,890 629,630 -
Highways and streets 15,969,371 431,498 1,251,866 14,221,774
Health and welfare 3,615,077 2,798,092 318,963 565,248
Culiure and leisure 10,757,355 2,101,867 28,584 4,110,710
Community development 5,112,469 3,775,102 - 917,559
Total governmental activities 67,648,167 10,926,835 2,229,043 19,901,314
General revenues:
Taxes:
Property taxes
Sales tax
Vehicle license taxes
Other taxes
Total taxes
Intergovernmental (unrestricted)
Miscellaneous
Unrestricted investment earnings
Total general revenues
Change in net assets
Net assets:
Beginning of year
End of year
See accompanying Notes to Basic Financial Statements.
22
~J~ (~ ~-.~.~
lJ
Net (Expenses)/
Revenue and
Changesin
Total
Program Govenunental
Revenues Activities
$ 305,409 $ (8,090,790)
2,230,520 (21,567,176)
15,905,138 (64,233)
3,682,303 67,226
6,241,161 (4,516,194)
4,692,661 (419,808)
33,057,192 (34,590,975)
22,287,783
12,183,267
141,221
3,201,219
37,813,490
192,239
913,924
758,016
39,677,669
5,086,694
526,978,268
$ 532,064,962
23
~
~~~ ~~'
1
This page intentionally left blank.
24
1 ~~ a~~
0
1
FUND FINANCIAL STATEMENTS
~
The City reports the following major governmental funds:
, The General Fund - is the overnment's rimar o eratin fund. It accounts for all financial resources of the
g P Y P g
' City, except those required to be accounted for in another fund.
The Affordable Housing Special Revenue Fund- is used to account for impact fees received from developers
of properties, which can only be used for the design, development, and construction of citywide affordable
' housing projects.
The General Improvements Capital Projects Fund - is used to manage the programming of funds and
activities associated with major Capital Improvements Projects. The Fund accumulates resources for capital
expenditures and utilizes those resources to support projects that are general in nature and are not Streets,
Parks, or Community Improvements projects.
The Community Improvements Capital Projects Fund - is used to manage the programming of funds and
' activities associated with major the Capital Improvements Projects. The Fund accumulates resources for
capital expenditures and utilizes those resources to support projects that would promote or enhance
redevelopment, revitalization, beautification of the City's community and are not General Improvements,
~ Streets or Parks related projects.
The Parks Capital Projects Fund - is used to manage the programming of funds and activities associated
' with major the Capital Improvements Projects. The Fund accumulates resources for capital expenditures and
utilizes those resources to support projects that would construct, improve, or enhance the City's parks and
facilities.
~ The Streets Capital Projects Fund - is used. to manage the programming of funds and activities associated
with major the Capital Improvements Projects. The Fund accumulates resources for capital expenditures and
' utilizes those resources to suppart projects that would construct, improve, or enhance the City's highways,
streets, roads, bridges, lighting, or the storm drain systems.
~ The Public Facilities Fees Capital Project Fund - is used to account for impact fees received from developers
of properties, which can only be used for the design, development, and construction of new public facilities
within the City.
' The Fire Impact Fees Capital Projects Fund - is used to account for fees received from developers of
properties, which can only be used for the design, development, and construction of fire capital expansion
' projects within the City.
' The Traffic Impact Fees Capital Projects Fund - is used to account for fees received from developers of
properties, which can only be used for the design, development and construction of street projects within the
City.
25
~z~ ~ ~~
City of Dublin
Balance Sheet
Governmental Funds
June 30, 2010
Special Revenue Capital Project Funds
Affordable General Community
General Housing Improvement Improvement Parks
Fund Fund Projects Projects Projects
ASSETS
Cash and inveshnents $ 59,954,496 $ 12,807,462 $ 44,863 $ 6,219 $ 226,911
Restricted cash and investments - - - - -
Prepaids 34,159 - - - -
Accounts receivable 3,720,607 64,877 ll9 - -
Accrued interest receivable 342,523 - - - -
Notes Receivable - 3,847,428 - - -
Long-term receivables - - - - -
Due from other funds 2,155,321 - - - -
Advances to ISF PERS Side Fund 2,642,846 - - - -
Advances to other funds 3,185,440 - - - -
Total assets $ 72,035,392 $ 16,719,767 $ 44,982 $ 6,219 $ 226,911
LIABILITIES AND
FUND BALANCES
Liabilities:
Accounts payable $ 9,470,095 $ 21,855 $ 44,982 $ 6,219 $ 221,099
Accrued wages and other payroll liabilities 443,745 - - - -
Deposits payable 336,940 11,808 - - -
Contract retention payable 19,263 - - - 5,812
Other payables 160,905 - - - -
Liabilities insurance claims payable 271,916 - - - -
Deferred Revenue 319,700 3,847,428 - - -
Due to other funds - - - - -
Advances from other funds - - - - -
Totalliabilities 11,022,564 3,881,091 44,982 6,219 226,911
Fund Balances: -
Reserved 5,922,446 12,838,676 - - -
Unreserved, designated reported in:
General fund 55,090,382 - - - -
Unreserved, undesignated, reported in:
Capital projects funds - - - - -
Total fund balances 61,012,828 12,838,676 - - -
TotalliabiliHes and fund balances $ 72,035,392 $ 16,719,767 $ 44,982 $ 6,219 $ 226,911
See accompanying Notes to Basic Financial Statements.
26
~3~a~.~..
Capital Project
Pubic Fire Traffic Non-Major
Streets Facilities Impact Impact Governmental
Projects Impact Fees Fees Fees Funds Total
$ 2,996,269 $ 16,511 $ - $ 6,518,352 $ 5,640,697 $ 88,211,780
- - - 146,200 146,200
- - - - - 34,159
- - - 126,005 2,467,332 6,378,940
- - - - - 342,523
- - - - - 3,847,428
- - - 1,250,000 - 1,250,000
- - - - - 2,155,321
- - - - - 2,642,846
- - - - - 3,185,440
$ 2,996,269 $ 16,511 $ - $ 8,040,557 $ 8,108,029 $ 108,194,637
$ 2,550,647 $ - $ - $ 526,909 342,375 $ 13,184,181
- - - - 443,745
- - - 763 349,511
436,308 - - - - 461,383
- - - - 160,905
- - - - - 271,916
- - - 1,250,000 - 5,417,128
- - - - 1,872,145 1,872,145
- 1,376,554 1,808,886 - - 3,185,440
2,986,955 1,376,554 1,808,886 1,777,672 2,214,520 25,346,354
9,314 - - 6,262,885 5,893,509 30,926,530
- - - - 55,090,382
- (1,360,043) (1,808,886) - - (3,168,929)
9,314 (1,360,043) (1,808,886) 6,262,885 5,893,509 82,848,283
$ 2,996,269 $ 16,511 $ - $ 8,040,557 $ 8,108,029 $ 108,194,637
27
y~~~a~
This page intentionally left blank.
28
~
'
'
'
~
~
~
~
'
45~ ~ z~
City of Dublin
Reconciliation of the Governmental Funds Balance Sheet
to the Government-Wide Statement of Net Assets
June 30, 2010
Fund Balances of Governmental Funds ~ 82.848.283
Amounts reported for governmental activities in the statement of net assets are different because:
Capital assets used in governmental activities are not current financial resources and therefore are not
reported in the Governmental Funds Balance Sheet.
Non depreciable assets (Land and construction in progress) 209,212,326
Depreciable buildings, property, equipment and infrastructure, net 171,946,925
Total capital assets 381,159,251
Compensated absences payable, are not due and payable in the current period and therefore are not
reported in the governmental fund financial statements. (802,312)
OPEB obligations are not due and payable in th current period and therfore are not reported in the
govermm~tal fund financial statements. (211,265)
Deferred revenues recorded in Governmental Fund Financial Statements resulting from activities in which
revenues were earned but funds were not available are reclassified as revenues in the Government-Wide
Financial Statements. '~.R47.4~R
Internal service funds are used by management to charge the cost of certain activities, such as asset
replacement and retiree health care to individual funds. The assets and liabilities of the internal
service funds are included in the Government-Wide Statement of Net Assets. 65,223,577
Net Assets of Governmental Activities $ 532,064,962
See accompanying Notes to Basic Financial Statements.
29
~~~~~~
City of Dublin
Statement of Revenues, Expenditures and Changes in Fund Balances
Governmental F'unds
For the year ended June 30, 2010
Special Revenue Capital Project Funds
Affordable General Community
Housing Improvement Improvement Parks
General Fund Projects Projects Projects
REVENUES:
Property taxes $ 22,141,003 $ - $ - $ - $ -
Sales tax 12,183,268 - - - -
Other taxes 3,201,220 - - - -
Intergovernmental 520,719 - - - -
Licenses and permits 2,260,364 - - - -
Charges for service 5,327,968 22,416 - - -
Interest 759,469 312,348 - - -
Use of property 379,645 1,111,768 - - -
Fines and forfeitures 144,593 - - - -
Developerfees - - - _ _
Other revenue 1,647,866 - - - -
Special assessments - - - _ _
Total revenues 48,566,115 1,446,532 - - -
EXPENDITURES:
Current:
General government 8,872,289 85,455 - - -
Public safety 22,998,116 - - - -
Highways and streets 1,791,084 - - - -
Health and welfare 71,680 1,432,282 - - -
Culture and leisure 7,266,830 - - - -
Community development 5,276,269 - - - -
Capital outlay:
General improvements - 742,754 - -
Community improvements - - 82,333 -
Parks - - - 10,706,350
Streets - - - -
Total expenditures 46,276,268 1,517,737 742,754 82,333 10,706,350
REVENUES OVER (UNDER) EXPENDITURES 2,289,847 (71,205) (742,754) (82,333) (10,706,350)
OTHER FINANCING SOURCES (USES):
Transfer in 28,648 6,596 742,754 82,333 10,706,350
Transfer out (3,429,025) -
Total other financing sources (uses) (3,400,37'~ 6,596 742,754 82,333 10,706,350
NET CHANGE IN FUND BALANCES (1,110,530) (64,609) - - -
FUND BALANCES:
Beginning of year 62,123,358 12,903,285 - - -
End of year $ 61,012,828 $ 12,838,676 $ - $ - $ -
See accompanying Notes to Basic Financial Statements.
30
~
1
1
~
'
~
i
'
'
~
r
1
Capital Project
Public Fire Traffic Non-Major
Streets Facilities Impact Impact Governmental
Projects Fees Fees Fees Funds Total
$ - $ - $ - $ - $ 145,206 $ 22,286,209
- - - - 398,611 12,581,879
- - - - - 3,201,220
- - - - 7,430,518 7,951,237
- - - - - 2,260,364
- - - - 1,750,019 7,100,403
- 15,012 - 205,878 182,601 1,475,308
- - -. - - 1,491,413
- - - - 168,185 312,778
- 2,837,617 74,540 1,473,723 1,459 4,387,339
- 2,882 - 34,660 93,069 1,778,477
- - - - 868,348 868,348
- 2,855,511 74,540 1,714,261 11,038,016 65,694,975
- - - - - 8,957,744
- - 42,090 - 1,200,954 24,241,160
- - - 495,282 698,945 2,985,311
- - - - 2,149,335 3,653,297
- - - - 975 7,267,805
- - - - 23,942 5,300,211
- - - - - 742,754
- - - - - 82,333
- - - - - 10,706,350
13,762,167 - - - - 13,762,167
13,762,167 - 42,090 495,282 4,074,151 77,699,132
(13,762,167) 2,555,511 32,450 1,218,979 6,963,865 (12,004,15'~
13,771,481 - - - 439,248 25,777,410
(8,011,675) - (6,848,129) (7,488,581) (25,777,410)
13,771,481 (8,011,675) - (6,848,129) (7,049,333) -
9,314 (5,156,164) 32,450 (5,629,150) (85,468) (12,004,15'~
- 3,796,121 (1,841,336) 11,892,035 5,978,977 94,852,440
$ 9,314 $ (1,360,043) $ (1,808,886) $ 6,262,885 $ 5,893,509 $ 82,848,283
31
~~~2zz
~--~ ~ (~ ~.~~.-
l.,J
Cify of Dublin
IZeconciliation of the Governmental Funds Statement of Revenues, Expenditures and Changes
in Fund Balances to the Government-Wide Statement of Activities and Changes in Net Assets
For the year ended June 30, 2010
Net Change in Fund Balance - Total Governmental Funds $ (12,004,157)
Amounts reported for governmental activities in the Statement of Activities differs from the amounts reported in the
Statement of Revenues, Expenditures, and Changes in Fund Balances because:
Governmental funds report acquisition of capital assets as expenditures in various functions and in capital outlay.
However, in the Govemment-Wide Statement of Activities and Changes in Net Assets, the cost of those assets is
allocated over their estimated useful lives as depreciation expense. This is the amount of capital assets additions
recorded in the current period. This amount excludes the internal service funds capital asset additions of $272,400 14,536,792
In the Statement of Activities, capital assets donated to the City are reported as general revenue, whereas in the
governmental funds, capital assets donated do not increase financial resources. Thus, the change in net assets
differs from the change in fund balances by the value of the asset donated of $7,646,871. 7,646,871
In the Statement of Activities, the gain (loss) on the sale or disposal of capital assets is reported and allocated to the
various program revenues and expenses, whereas in the governmental funds, the proceeds from the sale increase
financial resources. Thus, the change in net assets differs from the change in fund balances by the cost of the asset
sold. (97,691)
Depreciation expense on capital assets is reported in the Government-Wide Statement of Activities and Changes in
Net Assets, but it does not require the use of current financial resources. Therefore, depreciation is not reported as
an expenditure in governmental funds. This amount excludes the internal service funds depreciation of $2,755,492. (6,220,160)
Changes in long term compensated absences in governmental activities are not reported in governmental funds. (10,730)
Accrual of OPEB obligations does not require the use of current financial resources and therefore is not recorded as
expenditures on the governmental fund financial statements (60,200)
Revenues that have not met the revenue recognition criteria in the Fund Financial statements are recognized as
revenue in the Government-Wide Financial Statements. This amount represents the change in deferred revenue
from prior year. (693,007)
Internal service funds are used by management to charge the costs of certain activities to individual funds. The net
(expense) of the internal service funds is reported with governmental activities. 1,988,976
Change in Net Assets of Governmental ActiviHes $ 5,086,694
See accompanying Notes to Basic Financial Statements.
32
1
~
~
City of Dublin
Statement of Net Assets
Proprietary Funds
June 30, 2010 ~z~
u9~
' Govemmental
Activities
Internal Service
, Funds
ASSETS
~ Current assets:
Cash and investments $ 11,382,656
Prepaid items 37,675
, Accounts receivable 294,567
Total current assets 11,714,898
, Non Current assets:
OPEB 764,343
Capital Assets:
' Land 10,774,792
Construction in progress 229,387
Buildings and improvements 62,081,624
' Machinery and equipment 6,088,322
Less: accumulated depreciation (23,476,269)
Total capital assets 56,462,199
' Total assets 68,177,097
I LIABILITIES
Current liabilities:
Accounts payable 27,498
' Due to other fund 283,176
Total current liabilities 310,674
Noncurrent assets:
~ Advance from other funds 2,642,846
Total noncurrent liabilities 2,642,846
1 Totalliabilities 2,953,520
NET ASSETS
~ Invested in capital assets 55,697,856
Unrestricted 9,525,721
1 Total net assets $ 65,223,577
1
See accompanying Notes to Basic Financial Statements.
~ 33
City of Dublin 5~ `~ ~ ~ ~
Statement of Revenues, Expenses, and Changes in Net Assets
Proprietary Funds
For the year ended June 30, 2010
OPERATING REVENUES:
Charges for services
Otherrevenue
Total operating revenues
OPERATING EXPENSES:
Supplies and services
OPEB expenses
Depreciation
Total operating expenses
OPERATING INCOME/(LOSS)
NONOPERATING REVENUES:
Interest income
Contribubion from General Fund
Total nonoperating revenues
NONOPERATING EXPENSES:
Other
Total nonoperating expenses
NON OPERATING INCOMF,/(LOSS)
Contribution of capital assets (Non cash/Non capital lease contribution)
Change in net assets
NET ASSETS:
Beginning of year
End of year
See accompanying Notes to Basic Financial Statements.
Governmental
Activities
Internal Service
Funds
$ 2,113,756
327,234
2,440,990
284,997
615,000
2,755,491
3,655,488
(1,214,498)
191,489
3,000,000
3,191,489
74,038
74,038
3,ll7,451
86,023
1,988,976
63,234,601
$ 65,223,577
34
~
~
'
~
~
~
,
'
~
'
~
i
~
'
~
'
1
~
'
City of Dublin
Statement of Cash Flows
Proprietary Funds
For the year ended June 30, 2010
~~,~ Z~Z~
CASH FLOWS FROM OPERATING ACTIVITIES:
Receipt from other funds
Payments to suppliers
Other
Net cash provided by operating acrivities
CASH FLOWS FROM NON CAPITAL AND RELATED FINANCING ACTIVITIES:
Payments from other funds
Net cash provided by capital and related financing acrivities
CASH FLOWS FItOM CAPITAL AND RELATED FINANCING ACTNITIES:
Acquisition of capital assets
Net cash used by capital and related financing activities
CASH FLOWS FROM INVESTING ACTIVITIES:
Interestreceived
Net cash provided by investing activities
Net increase in cash and cash equivalents
CASH AND CASH EQUIVALENTS:
Beginning of year
End of year
RECONCILIATION OF OPERATING INCOME TO NET CASH
PROVIDED (USED) BY OPERATING ACTIVITIES:
Operating income (loss)
Adjushnents to reconcile operating income (loss) to net cash provided (used) by operating activities:
Depreciation
Net effect of changes in:
Accounts receivable
Prepaid items
Accounts payable
OPEB Obligation
Net cash provided by operating acrivities
NONCASH CAPITAL AND RELATED FINANCING TRANSACTIONS:
Contribution of capital assets
Total noncash capital and related financing transactions
See accompanying Notes to Basic Financial Statements.
35
Governmental
Activities
Internal Service
Funds
$ 2,400,695
(1,172,472)
32,667
1,260,893
2,697,350
2,697,350
(260,416)
(260,416)
191,49~
191,490
3,889,317
7,443,334
$ 11,382,656
$ (1,214,497)
2,755,491
3,765
(37,011)
12,364
(259,219)
$ 1,260,893
$ 86,023
$ 86,023
~2~ ~~~
City`of Dublin
Statement of Fiduciary Net Assets
Fiduciary Fund
June 30, 2010
ASSETS
Cash and investments
Restricted cash and investments
Receivable
Total assets
LIABILITIES
Due to trustee
Due to bondholders
Total liabilities
See accompanying Notes to Basic Financial Statements.
36
Agency Fund
$ 368,694
164,500
~ ~~~,va~
$ 154,255
~ ~~~,ua~
~
~
'
~
~
'
~
'
'
,
~
~
~
'
~
~
~
~
'
~
r
~
City of Dublin ~ `~ `~~~~~~'
Index to Notes to Basic Financial Statements
For the year ended June 30, 2010
Page
1. Summary of Significant Accounting Policies ................. ................................................................................... 40
2. Cash, Cash Equivalents and Investments ...................... ................................................................................... 49
3. Notes Receivable ................................................................ ................................................................................... 57
4. Interfund Transactions ...................................................... ................................................................................... 59
5. Capital Assets ..................................................................... ................................................................................... 62
6. Special Assessment City Debt (Non-Obligatory) .......... ................................................................................... 63
7. Joint Powers Agreements .................................................. ................................................................................... 63
S. Fund Equity ........................................................................ ................................................................................... 63
9. Risk Management .............................................................. ................................................................................... 65
10. Compensated Absences .................................................... ................................................................................... 66
11. Pension Plan ....................................................................... ................................................................................... 66
12. Post Employment Health Care Plan ................................ ................................................................................... 68
13. Commitment and Contingent Liabilities ........................ ................................................................................... 74
14. Deficit Fund Balance .......................................................... ................................................................................... 76
15. Prior Period Adjustments ................................................. ................................................................................... 76
16. Termination Benefits ......................................................... ................................................................................... 76
17. Subsequent Events - State Borrowing of Property Tax ................................................................................... 76
37
5~ ~~ ~
~
This page intentionally left blank ~
38 ~
~ - ~~
~SD~ 2
~ NOTES TO BASIC
1
~
r
~
~
~
~
~
~~
~
~
r
~
~
~
~
FINANCIAL STATEMENTS
, 39
City of Dublin
Notes to Basic Financial Statements
For the year ended June 30, 2010
~~O ~ ~ ~~!
'
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The basic financial statements of the City of Dublin, California, (City) have been prepared in conformity with
generally accepted accounting principles (GAAP) as applied to governmental agencies. The Governmental
Accounting Standards Boards (GASB) is the accepted standard setting body for establishing governmental
accounting and financial reporting principles. The more significant of the City's accounting policies are
described below.
A. Reporting Entity
The City is a residential community with a significant regional commercial base, located in the Tri-
Valley area of Alameda County, California at the crossroads of Interstate Freeways 580 and 680. The
City was incorporated as a municipal corporation on February 1, 1982. The population estimated at
January 1, 2010 by the California Department of Finance was 48,821 including prisoners housed at the
Alameda County Sheriff's Department Santa Rita Jail and at the Federal Correctional Institution.
"The City operates under the Council-Manager form of government, with five elected Council members
served by a full-time City Manager and staff. At June 30, 2010, the City's staff was comprised of 82
City's permanent employees who were responsible for City-provided services. The City provides many
traditional municipal services through contracts with both public and private agencies. Approximately
122 contract employees whom provided a variety of municipal services from City facilities. At of June
30, 2010, the City had approximately 186 temporary and seasonal personnel that were on active payroll
status.
B. Basis of Accounting and Measurement Focus
The accounts of the City are organized on the basis of funds, each of which is considered a separate
accounting entity. The operations of each fund are accounted for with a separate set of self-balancing
accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures, or expenses, as
appropriate. Government resources are allocated to and accounted for in individual funds based upon
the purposes for which they are to be spent and the means by which spending activities are controlled.
Government-wide Financial Statements
The City's Government-wide Financial Statements include a Statement of Net Assets and a Statement of
Activities and Changes in Net Assets. These statements present summaries of Governmental Activities
for the City. Fiduciary activities of the City are not included in these statements.
40
~
City of Dublin ~~ ~ ~~~
t Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
,
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
' B. Basis of Accounting and Measurement Focus, Continued
Government-wide Financial Statements, Continued
These statements are presented on an "economic resources" measurement focus and the accrual basis of
accounting. Accordingly, all of the City's assets and liabilities, including capital assets and
infrastructure as well as long-term debt, are included in the accompanying Statement of Net Assets.
The Statement of Activities presents changes in net assets. Under the accrual basis of accounting,
revenues are recognized when earned and expenses are recorded in the period in which the liability is
incurred, regardless of the timing of the related cash flows. The Statement of Activities demonstrates
the degree to which the direct expenses of a given function are offset by program revenues. Direct
expenses are those that are clearly identifiable with a specific function. The types of programs revenues
for the City are reported in three categories: 1) charges for services, 2) operating grants and
contributions, and 3) capital grants and contributions. Charges for services include revenues from
customers or applicants who purchase, use, or directly benefit from goods, services, or privileges
provided by a given function. Grants and contributions include revenues restricted to meeting the
operational or capital requirements of a particular function. Taxes and other items not properly
included among program revenue are reported instead as general revenue.
Certain eliminations have been made as prescribed by GASB Statement No. 34 in regards to interfund
activities, payables, and receivables. All internal balances in the Statement of Net Assets have been
eliminated.
Governmental Fund Financial Statements
~ Governmental Fund Financial Statements include a Balance Sheet and a Statement of Revenues,
Expenditures, and Changes in Fund Balances for all major governmental funds and aggregated non-
~ major funds. An accompanying schedule is presented to reconcile and explain the differences in net
assets as presented in these statements to the net assets presented in the Government-Wide Financial
Statements. The City has presented the General Fund, Affordable Housing Special Revenue Fund,
, Parks Capital Projects Fund, and Streets Capital Projects Fund as major funds because they met the
qualifications of GASB Statement No. 34. In addition, the City has elected to present the following
funds as major because of their significance to the City as a whole: the Public Facilities Fees Capital
1 Projects Fund, Traffic Impact Fees Capital Projects Fund, Fire Impact Fees Capital Projects Fund,
General Improvements Capital Projects Fund, and Community Improvements Capital Projects Fund.
All governmental funds are accounted for on a spending or "current financial resources" measurement
' focus and the modified accrual basis of accounting. Accordingly, only current assets and current
liabilities are generally included on the balance sheets. The reported fund balance is the net current
assets, which is considered only to be a measure of available spendable resources. Governmental fund
~ operating statements present a summary of sources and uses of available spendable resources during a
period by presenting increases and decreases in net current assets. Under modified accrual basis of
accounting, revenues are recognized in the accounting period in which they both become measurable
' and available to finance expenditures of the current period. Accordingly, revenues are recorded when
~ 41
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
~ ~ ~ ~ ~~
~
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
B. Basis of Accounting and Measurement Focus, Continued
Governmental Fund Financial Statements, Continued
received in cash, except that revenues subject to accrual (generally 60 days after year-end) such as
Transient Occupancy Taxes, Interest Income, Charges For Services, and Courts Fines. Accruals for the
Property Taxes and Sales Tax revenues are made to account for actual revenues earned during the fiscal
year, notwithstanding timing of receipt. Licenses, Use of Property, and Permit revenues are not
susceptible to accrual because they generally are not measurable until received in cash.
Expenditures are generally recognized under the modified accrual basis of accounting when the related
fund liability is incurred, except for principal and interest on general long term obligations which are
recognized when due. Because of their current financial resources focus, expenditures recognition for
governmental fund types excludes amounts represented by non-current liabilities. Since they do not
affect net current assets, such long-term amounts are not recognized as governmental fund expenditures
or fund liabilities.
The City reports the following major governmental funds:
The General Fund - is the government's primary operating fund. It accounts for all financial
resources of the City, except those required to be accounted for in another fund.
The A~'{ordable Housin~ Special Revenue Fund - is used to account for in-lieu housing fees received
from developers of properties, which can only be used for the design, development, and
construction of citywide affordable housing projects.
The Public Facilities Fees Capital Project Fund - is used to account for the impact fees received from
developers of properties, which can only be used for the design, development, and construction of
new public facilities within the City.
The Tra 'c Impact Fees Capital Pro1ects Fund - is used to account for fees received from developers of
properties, which can only be used for the design, development and construction of street projects
within the City.
The Fire Impact Fees Capital Projects Fund - is used to account for fees received from developers of
properties, which can only be used for the design, development, and construction of fire capital
expansion projects within the City.
The General Improvements Capital Projects Fund - is used to manage the programming of funds and
activities associated with major Capital Improvements Projects. The Fund accumulates resources
for capital expenditures and utilizes those resources to support projects that are general in nature
and are not Streets, Parks, or Community Improvements projects.
The Community Improvements Capital Projects Fund - is used to manage the programming of funds
and activities associated with major the Capital Improvements Projects. The Fund accumulates
resources for capital expenditures and utilizes those resources to support projects that would
promote or enhance redevelopment, revitalization, beautification of the City's community and are
not Streets or Parks related projects.
42
~
City of Dublin 5q ~ Z' Z~
, Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
~
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
~ B. Basis of Accounting and Measurement Focus, Continued
, The Parks Capital Projects Fund - is used to manage the programming of funds and activities
associated with major the Capital Improvements Projects. The Fund accumulates resources for
capital expenditures and utilizes those resources to support projects that would construct, improve,
~ or enhance the City's parks and facilities.
The Streets Capital Projects Fund - is used to manage the programming of funds and activities
~ associated with major the Capital Improvements Projects. The Fund accumulates resources for
capital expenditures and utilizes those resources to support projects that would construct, improve,
or enhance the City's highways, streets, roads, bridges, lighting, or the storm drain systems.
Proprietary Fund Financial Statements
Proprietary Fund Financial Statements include a Statement of Net Assets, a Statement of Revenues,
Expenses, and Changes in Net Assets, and a Statement of Cash Flows. All proprietary funds are
accounted for using the accrual basis of accounting and the "economic resources" measurement focus.
Their revenues are recognized when they are earned, and their expenses are recognized when they are
incurred. All liabilities associated with their activity are also included on the Statement of Net Assets.
, The City's proprietary funds are the Internal Service Funds which are used to account for the financing
of goods or services provided by department or agency to other department or agencies of the City on a
cost-reimbursement basis. The City uses internal service funds to account for asset replacement and
1 internal charges collected for the purpose of funding post-retirement health care activities.
Because the principal users of the internal services are the City's governmental activities, the financial
' information of the internal services funds are consolidated into the governmental activities column
when presented in the government-wide financial statements. To the extent possible, the cost of these
services is reported in the appropriate functional activity.
~ Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating
revenues and expenses generally result from providing services in connection with a proprietary fund's
' principal ongoing operations. The principal operating revenues of the City's proprietary funds are
charges to customers for services. Operating expenses include the cost of services, administrative
expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are
~ reported as nonoperating revenues and expenses.
Fiduciary Fund Financial Statements
( Fiduciary Fund Financial Statements include a Statement of Net Assets. The fiduciary funds are used to
report assets held in a trustee or agency capacity for others and therefore are not available to support
~ City programs. Since these assets are being held for the benefit of a third party, these funds are not
incorporated into the government-wide statements. The City's fiduciary fund consists of one agency
fund.
1 43
~~6 ~~, 1
6
Ci~y of I~ublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
Fiduciary Fund Financial Statements, Continued
The Dublin Boulevard Extension Special Assessment District is an agency fund, which uses the accrual
basis of accounting to account for amounts held for debt service on the Dublin Boulevard Extension
Project. The Agency fund is custodial in nature (assets equal liabilities) and therefore does not involve
measurement of results of operations. The City is not responsible for payment of the bonds and acts
only as an agent to collect assessments, pay bondholders, and initiate foreclosure proceedings.
The Fallon Village and Schaefer Ranch Geological Hazard Abatement District (GHAD) are expendable
trust funds. Each fiscal year, the District Engineer prepares an Engineer's Report which includes the
budget for the GHAD for that year. The annual budget consists of regular site monitoring, annual
inspections, contract services for annual mitigation and repairs, and administrative costs. The funds
collected through special assessment are placed into a dedicated reserve fund. The reserve fund is set
aside to be used to mitigate and repair large, geologic hazards, such as landsides in the Fallon Village
and the Schaefer Ranch Subdivisions.
C. Capital Assets
Capital assets, which include buildings, machinery and equipment, and infrastructure assets (roads,
bridges, curbs and gutters, streets and sidewalks, drainage systems, lighting systems, and park
improvements), are reported in the Governmental Activities columns of the Government-Wide
Financial Statements. Capital assets are defined by the City as assets with an initial, individual cost of
more than $2,500 for general capital assets and $100,000 for infrastructure capital assets. Such assets are
recorded at historical cost or estimated historical cost if actual historical cost is not available. Donated
capital assets are valued at their estimated fair market value on the date donated.
Capital assets are depreciated over their estimated useful lives using the straight-line method. This
means the cost of the asset is divided by its expected useful life in years and the result is charged to
expense each year until the asset is fully depreciated. The purpose of depreciation is to spread the cost
of capital assets over the useful life of these assets. The amount charged to depreciation expense each
year represents that year's pro rata share of the cost of capital assets.
Depreciation of capital assets is charged as an expense against operations each year and the total
amount of depreciation taken over the years, called accumulated depreciation, is reparted on the
Statement of Net Assets of the government-wide financial statements as a reduction in the book value of
the capital assets.
The City has assigned the useful lives listed below to capital assets.
Building and improvements 20-38 Years
Machinery and equipment 3-15 Years
Infrastructure Streets 20-75 Years
44
' City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
,
~
'
r
~
~
1
'
,
~
'
'
'
~
(ol~~~~~
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
D. Use of Restricted IZesources
When both restricted and unrestricted resources are available for use, it is the City's policy to use
restricted resources first, and then unrestricted resources as needed.
E. Cash and Investments
GASB Statement No. 31, "Accounting and Financial Reporting for Certain Investments and External Pools",
requires governmental entities to report certain investments at fair value in the balance sheet and
recognize the corresponding change in the fair value of investments in the year in which the change
occurred. In accordance with GASB Statement No. 31, the City has adjusted investments to fair market
value.
Proprietary fund type cash and investments are used in the preparation of the statement of cash flows
as investments are not allocated to specific funds. Each of these funds' allocation of pooled cash and
investments is considered cash and cash equivalents.
In accordance with GASB Statement No. 40, Deposit and Investment Disclosures (Aniendment of GASB No.
3), certain disclosure requirements for Deposits and Investment Risks were made in the following areas:
' Interest Rate Risk
' Foreign Currency Risk
' Credit Risk
^ Overall
^ Custodial Credit Risk
^ Concentrations of Credit Risk
In addition, other disclosures are specified including use of certain methods to present deposits and
investments, highly sensitive investments, credit quality at year-end and other disclosures.
The City participates in an investment pool managed by the State of California titled Local Agency
Investment Fund (LAIF), which has invested a portion of the pool funds in Structured Notes and Asset-
Backed Securities. LAIF's investments are subject to credit risk with the full faith and credit of the State
of California collateralizing these investments. In addition, these Structured Notes and Asset-Backed
Securities are subject to market risk as to change in interest rates.
F. Deferred Compensation Plan
City employees may defer a portion of their compensation under a City sponsored deferred
compensation plan created in accordance with Internal Revenue Code Section 457. Under this plan,
participants are not taxed on the deferred portion of their compensation until it is distributed to them;
distributions may be made only at termination of employment, retirement, death, or in an emergency as
defined by the Plan. In accordance with GASB Statement No. 32, the funds have been placed in a trust
administered by ICMA Retirement Corporation and are not available to the City's general creditors.
Accordingly, the City does not report the assets or the related liabilites in these financial statements.
45
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
C~Z ~a.~- ~
~
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
G. Property Tax
Alameda County assesses properties and bills, collects, and distributes property taxes to the City. The
County remits the entire amount paid and handles the collection of all delinquencies. The City receives
proportionate shares of prior year collections including interest and penalties. Secured and unsecured
property taxes are levied on January 1 of the preceding fiscal year. The property tax assessments are
formally due on November 1 and February 1, and become delinquent after December 10 and April 10,
respectively. Taxes become a lien on the property effective January 1 of the preeeding year.
H. Post Employment Health Care Benefits
The City provides certain health care benefits for retirees, as required under a contract signed with
PERS. All former employees who retire with the City under PERS are eligible for these benefits.
GASB 45 requires public agencies to estimate their Other Post Employment Benefits (OPEBs) and
account for the future liability. Rather than use the "pay as you go" system and account for retiree
benefits as they are due, GASB 45 requires the agencies to account for the expenses as benefits are
accrued for the employees. The City engaged in an Actuarial Study Update with Bartel Associates, LLC
and based on the 2007 actuarial results, the City uses a CALPERS trust fund to accumulate funds for the
City's contribution towards Retiree Medical Benefits in the future. On June 29, 2007 the City established
an agreement with the California Public Employees' Retirement System (CALPERS) to set aside funds
and deposit into the California Employer's Retiree Benefit Trust (CERBT) fund to accumulate, and
distribute assets for the exclusive benefit of retirees and their beneficiaries. Plan assets are irrevocable
and may not be used for any purpose other than funding post retirement health care. The CERBT fund
is an agent multiple employer plan and in order to ensure that the CERBT fund remains compliant with
all reporting requirements, the CALPERS is responsible for publishing aggregate GASB 43 compliance
Financial Statements, Notes, and Required Supplementary Infarmation (RSI). The information may be
found on CALPERS web site at www.cal ep rs•ca•gov.
The City also provides health care benefits for certain former employees who retired from the
Dougherty Regional Fire Authority (DRFA). The DRFR is a closed Joint Power Authority. The cost of
those retiree health care benefits is recognized as expenditures in the general fund as premiums are
paid. The Cost is recognized on the full accrual basis in the government wide statements. The City of
Dublin and the City of San Ramon share the costs, with Dublin paying 57.51 % and San Ramon paying
42.49% on a"pay as you go" basis.
I. Net Assets
Government-Wide Financial Statements
In the Government-Wide Financial Statements, net assets are classified in the following categories:
Invested in Capital Assets, Net of Related Debt - This amount consists of capital assets net of
accumulated depreciation and reduced by outstanding debt that attributed to the acquisition,
construction, or improvement of the assets.
46
,
~3~ ~~~
' City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
'
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
~ I. Net Assets, Continued
' Government-Wide Financial Statements, Continued
Restricted Net Assets - This amount is restricted by external creditors, grantors, contributors, or laws
' or regulations of other governments.
Unrestricted Net Assets - This amount is all net assets that do not meet the definition of "invested in
' capital assets, net of related debt" or "restricted net assets."
Fund Financial Statements
t Governmental fund balances represent the net eurrent assets of each fund. Net current assets generally
represent a fund's cash and receivables, less its liabilities. Portions of a fund's balance may be reserved
' or designated for future expenditures.
Reserves are restrictions placed by outside entities, such as other governments, which restrict the
' expenditures of the reserved funds to the purpose intended by the entity which provided the funds.
The City cannot modify or remove these restrictions or reserves. In addition, the City Council may
reserve funds by resolution to set aside funds which are not available for current appropriation or
' expenditure.
Designations are imposed by City Council to reflect future spending plans or concerns about the
availability of future resources. Designations may be modified, amended ar removed by City Council
' action.
The City had the following reserves and designations:
' Reserved or Prepaid Expenditures is the portion of fund balance set aside to indicate that these items
do not represent available, spendable resources even though they are a component of assets.
, Reserved for Cemeter~ Endowment is the portion of fund balance to be retained. This represents funds
transferred by the Dublin Cemetery Association, when the City acquired the cemetery.
' Reserved for Long-term Advances is the portion of fund balance set aside to indicate that these items do
not represent available, spendable resources even though they are a component of assets.
Reserved {or Rec~cling Programs is the portion of fund balance set aside for revenue received from the
' Alameda County Waste Management Authority to be used solely for recycling.
Reserved {or Public Sa~~programs represents the net amounts available from grant and other sources
, restricted to use on public safety programs.
Reserved for Street Maintenance and Construction represents amounts available and restricted to use on
projects related to street maintenance and construction.
' Reserved for Health and Welfare programs includes amounts restricted for use on programs including
housing, noise mitigation, and garbage services.
' 47
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
I. Net Assets, Continued
Fund Financial Statements, Continued
~ ~~` ,
~ ~~
Reserved,{or Public Art includes amounts restricted for use on programs that are funded by Public Art
developer impact fees.
Reserved for Noise Mitigation includes amounts restricted for use on Noise Mitigation programs that
are funded by the Housing and Noise Mitigation developer impact fees.
Reserved {or Non Residential Housing In-Lieu includes amounts restricted for use on programs that are
funded by the Housing and Noise Mitigation developer impact fees.
Reserved ~r A{{ordable Housing includes amounts restricted for use on affardable housing programs
that are funded by the Housing and Noise Mitigation developer impact fees.
Reserved {or Capital Improvement Pro~ects represents amounts collected from developers to be spent on
specific projects impacted by the development.
Desi nQ ated for Economic Stability was established to allow for a balanced budget in the event of
economic uncertainty resulting from unforeseen changes in revenues and/or expenditures.
Designated for Catastrophic Facilit~n{rastructure Loss and City Business Recover~ was established for
use in the event of catastrophic losses and for business recovery which are unexpected and more
than $500,000 in costs, or when a Local disaster has been declared.
Desi ng ated.{or Innovations and New Opportunities was established to set aside funding for future needs
that may have an up-front cost, but would provide longer term benefits and/or potential operating
costs reduction.
Designated {or Cash Flow/Operation Stabilitu was established to address cash flow deficiencies
resulting from uneven distribution of revenue collections and required expenditures during a fiscal
year, such as grant funded reimbursable expenditures.
Desi n,~`ated {or Service Continuity Obligations was established to address timing differences in Permit
Revenues that may be collected in one year with a majority of the expenditures occurring in a future
year. The reserve may be used in cases where Building Division expenditures exceed revenues.
Desi ng ated {or Accrued Leave Pa~able represents the value of the City's obligation for accrued leave
benefits at year end.
Designated for Investment Market Value Adjustment represents the mark-to-market value of the City's
investments. The amount is annually adjusted based on the market value at June 30. The form of
this balance can be a positive or negative number and represents an unrealized gain (if positive) or
unrealized loses (if negative).
Designated {or Fire Retiree Health Benefits represents the set aside amount to fund the Dougherty
Regional Fire Authority (a Joint Power Authority established in 1988 by the Cities of San Ramon and
Dublin) retiree's health obligation. Currently the retiree benefits are paid on a pay-as-you-go basis.
The City of Dubliri s share of the cost is 57.51 % and the City of San Ramon's share is 42.49 %.
Designated for authorized expenditures represents the amount not specifically identified with an
individual project.
All Other DesiQnations represents the amount of resources set aside to fund or partially fund the
various projects.
48
City of Dublin
Notes to Basic Financial Statements, Continued
'
'
'
For the year ended June 30, 2010
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
j. Use of Estimates
lD~ ~ ~.~ ~
The preparation of financial statements in conformity with generally accepted accounting principles
requires management to make estimates and assumptions. These estimates and assumptions affect the
reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities. In
addition, estimates affect the reported amount of expenses. Actual results could differ from these
estimates and assumptions.
K. New Pronouncements
In 2010, the City adopted new accounting standards in order to conform to the following Governmental
Accounting Standards Board (GASB) Statements:
- GASB Statement No. 51- Accounting and Financial Reporting for Intangible Assets. This Statement
requires that all intangible assets, such as easements, water rights, timber rights, patents,
trademarks, and computer software, not specifically excluded by its scope provisions be classified as
capital assets. It also provides existing authoritative guidance related to the accounting and
financial reporting for capital assets applied to these intangible assets. There was no impact on the
City's net assets as a result of this implementation during the fiscal year.
- GASB Statement No. 53 - Accounting and Financial Reporting on Derivative Instruments. This
Statement addresses the recognition, measurement, and disclosure of information regarding
derivative instruments entered into by State and Local governments. Derivative instruments are
often complex financial arrangements used by governments to manage specific risks or to make
investments. By entering into these arrangements, governments receive and make payments based
on market prices without actually entering into the related financial or commodity transactions.
Common types of derivative instruments used by governments include interest rate and commodity
swaps, interest rate locks, options (caps, floors, and collars), forward contracts, and future contracts.
The City has not invested in, nor will it invest in, Derivative Instruments.
2. CASH, CASH EQUIVALENTS AND INVESTMENTS
, The City maintains a cash and investment pool, which includes cash balances and authorized investments of
all funds, which the City Treasurer invests to enhance interest earnings. The pooled interest earned is allocated
to the funds based on average monthly cash and investment balances in these funds.
' A. Cash Deposits
' At June 30, 2010, the carrying amount of the City's cash deposits was -$3,309,235. Deposits in transit were
$37,738. The total outstanding checks were $5,998,342. Bank balances before reconciling items were
$2,620,326 at that date, the total amount of which was insured or collateralized with securities held by the
' pledging financial institutions in the City's name as discussed below.
' 49
~ l~ ~~~ '
~
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
2. CASH, CASH EQUIVALENTS AND INVESTMENTS, Continued
A. Cash Deposits, Continued
The California Government Code requires California banks and savings and loan associations to secure the
City's cash deposits by pledging securities as collateral. This Code states that collateral pledged in this
manner shall have the effect of perfecting a security interest in such collateral superior to those of a general
creditor. Thus, collateral for cash deposits is considered to be held in the City's name.
The market value of pledged securities must equal at least 110% of the City's cash deposits. California law
also allows institutions to secure City deposits by pledging first trust deed mortgage notes having a value
of 150% of the City's total cash deposits. The City may waive collateral requirements for cash deposits,
which are fully insured up to $100,000 per depositor by the Federal Deposit Insurance Corporation. The
City, however, has not waived the collateralization requirements.
The City follows the practice of pooling cash and investments of all funds, except for funds required to be
held by fiscal agents under the provisions of bond indentures. Interest income earned on pooled cash and
investments is allocated on an accounting period basis to the various funds based on the period-end cash
and investment balances. Interest income from cash and investments with fiscal agents is credited directly
to the related fund.
B. Investments
Under the provisions of the City's investment policy, and in accordance with Section 53601 of the California
Government Code, the City is autharized to invest or deposit in the following investments:
• United States Treasury Issues
• Federal Agency Obligations
• Bankers' Acceptances
• Commercial Paper.
• Time Certificates of Deposit
• Money Market Funds
• State of California Local Agency Investment Fund (LAIF)
• California Asset Management Program (CAMP)
In accordance with GASB Statement No. 31, Accounting and Financial Reporting for Certain Investments and for
External Investments Pools, investments should be stated at fair value. The City reported its investments at
fair value. For the year ended June 30, 2010, the unrealized gain on investments amounted to $1,516,569.
Interest and investment earnings before recognition of unrealized gain were $2,488,601 as of June 30, 2010.
50
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
, ~~~Z~-~
2. CASH, CASH EQUIVALENTS AND INVESTMENTS, Continued
B. Investments, Continued
The following is a summary of pooled cash and investments, including restricted cash and investments
at June 30, 2010:
Government-Wide
Statement of Fiduciary
Net Assets Funds
Cash and investments
Restricted cash and investments
Total
C. Risks Disclosures
Governmental Statement of
Activities Net Assets
$ 99,594,436 $
146,200
$ 99,740,636 $
368,694 $
164,500
533,194 $
100,273,830
Interest Rate Risk. Interest rate risk is the risk that changes in market interest rates will adversely affect
the fair value of an investment. Generally, the longer the maturity of an investment, the greater the
sensitivity of its fair value to changes in market interest rates. As a means of limiting its exposure to fair
value losses arising from rising interest rates, the City's investment policy provides that final maturities
of securities cannot exceed five years. Specific maturities of investments depend on liquidity needs. At
June 30, 2010, the City's pooled cash and investments had the following maturities:
Maturity
Less than one year
One to three years
Three to five years
Percentage of
Investment
51
62%
28%
10%
Total
99,963,130
310,700
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
!~S ~~.~ ~
~
'
2. CASH, CASH EQUIVALENTS AND INVESTMENTS, Continued
C. Risks Disclosures, Continued '
The average maturity of the total portfolio was 1.12 years and the average life of the federal security
portfolio was 2.12 years. Deposits and investments held by the City at June 30, 2010 are summarized
below:
Inveshnent MaturiHes (in years) ~
Investment Type Fair Market Value 1 year or less 1-5 years
City Treasury '
Deposits:
Cash on hand $ 2,748 $ 2,748 $ -
Deposits with banks
(3,309,235)
(3,309,235) '
-
Total deposits (3,306,487) (3,306,487) -
Investments: ,
California Asset Management Program Fund 8,459,547 8,459,547 -
California Local Agency Investment Fund 45,178,141 45,178,141 -
Federal Farm Credit Bank 4,795,703 4,795,703 -
Federal Home Loan Bank
35,437,705
4,544,070 '
30,893,635
Federal Home Loan Mortgage Corporafion 6,342,450 - 6,342,450
Federal National Mortgage Associarion 3,021,570 - 3,021,570
Money Market/ Mutual Funds
34,501
34,501 '
-
TotalInvestments 103,269,617 9,374,274 93,895,343
Total City Treasury 99,963,130 6,067,787 93,895,343
Cash with fiscal agents 31Q700 - 310,700 ,
Total City and fiscal agents cash and investments $ 100,273,830 $ 6,067,787 $ 94,206,043
Credit Risk. Credit risk is the risk that an issuer of an investment will not fulfill its obligation to the
holder of the investment. The City's policy requires an appropriate risk level be maintained by primarily
purchasing securities that are of high quality, liquid, and marketable. The City's investment policy relating
to credit risk of investments is as follows:
- United States Treasury Issues. United States Treasury notes, bonds, bills, or certificates of
indebtedness, or those for which the faith and credit of the United States are pledged for the
payment of principal and interest. There is no limitation as to the percentage of the portfolio
that may be invested in this category.
- Federal Agency Obligations. Federal agency or United States government-sponsored enterprise
obligations, participations, or other instruments, including those issued by or fully guaranteed
as to principal and interest by federal agencies or United States government-sponsored
enterprises. There is no limitation as to the percentage of the portfolio that may be invested in
this category. However, the Treasurer strives to limit the portfolio's exposure to any one federal
agency issuer to 40 percent of the overall portfolio and limit the portfolio's exposure to callable
federal agency securities to 25 percent of the overall portfolio.
52
~ ..
'`~, ~~
City of Dublin ~0 ~ ~ ~.
' Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
'
2. CASH, CASH EQUIVALENTS AND INVESTMENTS, Continued
' C. Risks Disclosures, Continued
~ - Bankers Acceptances. Bankers' acceptances, otherwise known as bills of exchange or time
drafts that are drawn on and accepted by a commercial bank. Bankers' acceptances must be
secured by the irrevocable primary obligation of the accepting domestic bank. Purchases are
, limited to issuers whose short-term debt is rated "A-1" or higher, or the equivalent, by a
Nationally Recognized Statistical-Rating Organization (NRSRO). Bankers' acceptances cannot
exceed a maturity of 180 days. A maximum of 40 percent of the portfolio may be invested in this
category. The amount invested in bankers' acceptances with any one financial institution in
' combination with any other debt from that financial institution generally cannot exceed 20
percent of the portfolio.
- Commercial P~er. Commercial paper of "prime" quality of the highest ranking or of the
highest letter and number rating as provided for by a NRSRO. The entity that issues the
commercial paper shall meet all of the following conditions in either paragraph (A) or paragraph
(B):
(A) The entity meets the following criteria: (i) Is organized and operating in the United States
' as a general corporation. (ii) Has total assets in excess of five hundred million dollars
($500,000,000). (iii) Has debt other than commercial paper, if any, that is rated "A" or
higher by a nationally recognized statistical-rating organization.
' (B) The entity meets the following criteria: (i) Is organized within the United States as a
special purpose corporation, trust, or limited liability company. (ii) Has program wide
' credit enhancements including, but not limited to, over collateralization, letters of credit, or
surety bond. (iii) Has commercial paper that is rated "A-1" or higher, or the equivalent, by
a nationally recognized statistical-rating organization.
' Eligible commercial paper cannot exceed a maximum maturity of 270 days and cannot represent
more than 10 percent of the outstanding paper of an issuing corporation. A maximum of 25
' percent of the portfolio may be invested in this category. The amount invested in commercial
paper of any one issuer in combination with any other debt from that issuer cannot exceed 20
percent of the portfolio.
' - Negotiable Certificates of Deposit. Negotiable certificates of deposit (NCDs) issued by a
nationally or state-chartered bank, a savings association or a federal association, a state or
' federal credit union, or by a state-licensed branch of a foreign bank. Purchases are limited to
institutions which have long-term debt rated "AA" or better and/or have short-term debt rated
at least "A-1" or higher, or the equivalent by a NRSRO. A maximum of 30 percent of the
' portfolio may be invested in this category. The amount invested in NCDs with any one financial
institution in combination with any other debt from that financial institution can not exceed 20
percent of the portfolio.
'
~ 53
~0~~~.°~- ~
City of I~ublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
2. CASH, CASH EQUIVALENTS AND INVESTMENTS, Continued
C. Risks Disclosures, Continued
- Time Certificates of Deposit. Time Certificates of Deposit (TCDs) placed with commercial
banks and savings and loans. The purchase of TCDs from out-of-state banks or savings and
loans is prohibited. The amount on deposit can not exceed the shareholder's equity in the
financial institution. To be eligible for purchase, the financial institution must have received a
minimum overall satisfactory rating for meeting the credit needs of California Communities in
its most recent evaluation, as provided Government Code Section 53635.2. TCDs are required to
be collateralized as specified under Government Code Section 53630 et. seq. The Treasurer, at
his discretion, may waive the collateralization requirements for any portion that is covered by
federal insurance. The City obtains a signed agreement with the depository per Government
Code Section 53649. TCDs may not exceed one (1) year in maturity. A maximum of 10 percent
of the portfolio may be invested in this category.
- Money Market Funds. Shares of beneficial interest issued by diversified management
companies that are money market funds registered with the Securities and Exchange
Commission under the Investment Company Act of 1940 (15 U.S.C. Sec. 80a-1 and related
sections). The company must meet either of the following criteria: (A) Attained the highest
ranking or the highest letter and numerical rating provided by not less than two NRSROs. (B)
Retained an investment adviser registered ar exempt from registration with the Securities and
Exchange Commission with not less than five years' experience managing money market mutual
funds with assets under management in excess of five hundred million dollars ($500,000,000). A
maximum of 20 percent of the portfolio may be invested in this category. For due diligence, the
Treasurer maintains on file a copy of the current Prospectus for any mutual fund in which the
City has funds invested.
- State of California Local Agen~ Investment Fund (LAIF). A maximum of 75 percent of the
portfolio may be invested in this category. Far due diligence, the Treasurer maintains on file a
copy of LAIF's current Answer Book.
- California Asset Management Program (CAMP). Shares of beneficial interest issued by a joint
powers authority arganized pursuant to Government Code Section 6509.7 that invests in the
securities and obligations authorized in subdivisions (a) to (n), inclusive of to Government Code
Section 53601. For due diligence, the Treasurer maintains on file a copy of CAMP's current
Infarmation Statement. At June 30, 2010, the City had the following investments credit risk
ratings: The Credit Quality Ratings listed below meet or exceed the acceptable credit risk ratings
established in the City's investment policy, where applicable, by the California Government
Code.
54
1 City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
~
1
~~~~~~
2. CASH, CASH EQUIVALENTS AND INVESTMENTS, Continued
C. Risks Disclosures, Continued
~ Credit Quality Ratings
Moody's S&P
Investments:
' Federal Home Loan Bank AAA AAA
Federal Home Loan Mortgage Corporation AAA AAA
Federal National Mortgage Association AAA AAA
' Federal Farm Credit Bureau AAA AAA
Mutual Funds AAA AAA
California Asset Management Program Fund Not Rated AAA
' California Local Agency Investment Fund Not Rated Not Rated
Cash with fiscal agents Not Rated Not Rated
' Concentration of Credit Risk. Within the investments permitted by the Government Code, the City's
investment policy seeks to further restrict eligible investment to the investments listed below. In the event
an apparent discrepancy is found between the City's policy and the Government Code, the more restrictive
~ parameters will take precedence. The portfolio is diversified by security type and institution to avoid
incurring unreasonable and avoidable risks regarding specific security types or individual financial
institutions.
' The primary objectives, in order of priority, of the City's investment activities is be based on: 1) Safety;
2) Liquidity; 3) Yield; 4) Diversification. The table below identifies the investment types that are
1 authorized by the City's investment policy or stipulated by the California Government Code.
Maximum Maximum
, Maximum Percentage of Investment in
Authorized Investment Type Maturity Portfolio One Issuer
United States Treasury None None None
' Federal Agency Obligations None None 40%*
Bankers Acceptances 180 days 40% 20%
Commercial Paper 270 days 25% 10%**
Negotiable Certificates of Deposit None 30% 20%
~ Time Certificates of Deposit 365 days 10% CA only
Money Market Mutual Funds None 20% None
State of CA Local Agency Investment Fund (LAIF) None 75% None
' California Asset Management Program (CAMP) None None None
*There is no limitation as to the percentage of the portfolio that may be invested in this category.
, However, the Treasurer strives to limit the portfolio's exposure to any one federal agency issuer
to 40% of the total portfolio and limit the portfolio's exposure to callable securities to 25% of the overall
portfolio.
, **The amount invested in commercial paper of any one issuer in combination with any other debt from
that issuer does not exceed 20 percent of the portfolio.
' S5
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
2. CASH, CASH EQUIVALENTS AND INVESTMENTS, Continued
C. Risks Disclosures, Continued
'12~~~
~
Custodial Credit Risk. For an investment, custodial credit risk is the risk that, in the event of the failure of
the counterparty, the City will not be able to recover the value of its investments or collateral securities
that are in the possession of an outside party. Of the City's investments, $310,700 of securities are held
by the fiscal agents not in the name of the City. As of June, 2010 there were $164,500 on deposit at US
Bank for the Dublin Boulevard Extension Special Assessment District and $146,200 on deposit with State
Condemnation Fund.
D. Investments in Local Agency Investment Fund
The Local Agency Investment Fund (LAIF) is a voluntary investment program created by statute. It
began in 1977 as an investment alternative for California's local governments and special districts and
continues today under the State Treasurer administration.
The LAIF is part of the Pooled Money Investment Account (PMIA). The PMIA began in 1955 and
oversight is provided by the Pooled Investment Board (PMIB) and an in-house Investment Committee.
The PMIB members are the State Treasurer, Director of Finance, and State Controller.
The Local Investment Advisory Board (LIAB) provides oversight for LAIF. The Board consists of five
members as designated by statute. The Chairman is the State Treasurer or his designated
representative.
Two members qualified by training and experience in the field of investment of finance, and the State
Treasurer appoints two members who are treasurers, finance or fiscal officers or business managers
employed by any county, city or local district, or municipal corporation of the State of California. The
term of each appointment is two years or at the pleasure of the appointing authority.
The City valued its investments in LAIF as of June 30, 2010, at fair value which approximates cost. The
fair value was calculated by multiplying the account balance with LAIF times a fair value factor of
100.1643%, which is determined by LAIF. This fair value factor was determined by dividing all LAIF
participants' total aggregate amortized cost by total aggregate fair value.
The City's investments with Local Agency Investment Funds (LAIF) at June 30, 2010, included a portion of
the pooled funds invested in Structured Notes and Asset-Backed Securities. These investments included
the following:
• Structured Notes are debt securities (other than asset-backed securities) whose cash flow
characteristics (coupon rate, redemption amount, or stated maturity) depend upon one or more
indices and/or that have embedded forwards or options. Typical Structured Notes are issued by
most corporations and government sponsored, for example, the Federal National Mortgage
Association and the Federal Home Loan Bank.
• Asset-Backed Securities, the bulk of which are martgage-backed securities, entitle their purchasers
to receive a share of the cash flows from a pool of assets such as principal and interest repayments
from a pool of mortgages, small business loans, or credit card receivables.
56
-~ 3 ~, ~ ~ ~.
~ City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
'
~
'
~
'
~
,
~~
~
~
~
~
~
~
'
~
~
,
2. CASH, CASH EQUIVALENTS AND INVESTMENTS, Continued
D. Investments in Local Agency Investment Fund, Continued
As of june 30, 2010, the City had a balance of $45,178,141 of market value invested in LAIF, which had
invested 5.42% of the pooled investment funds ($69,385,966,558) in Structured Notes ($625,119,000) and in
Asset-Backed Securities ($3,310,000). The fair value of the City's position in the pool is materially
equivalent to the value of the pool share.
3. NOTES RECEIVABLE
The following table summarizes the notes receivable outstanding as of June 30, 2010:
First Time Homebuyer Loan $ 982,309
Eden Senior Affordable Housing Loan 2,540,183
West Dublin Bart Station Loan 1,250,000
Arroyo Vista Predevelopment Loan 324,936
Total
$ 5,097,428
Revolving Home Loans - As part of the City of Dublin First Time Homebuyer Loan Program (FTHLP), the
City provides financial assistance, in the form of a deferred loan; for first time homebuyers within a certain
income range to buy their first home in Dublin. Monthly payments of principal and interest are generally
deferred until the homes are sold, in default, and in Market Rate homes, when the home owners refinance
their primary mortgage. The total outstanding amount due including accrued simple interest at 3.5 % per
annum due to tl-re City as of June 30, 2010 was $982,309.
57
~~ ~~~. 1
~
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2~10
3. NOTES RECEIVABLE, Continued
LOAN #
ORIGINAL LOAN
LOAN DATE AMOUNT
ACCRUED
INT~1iEST REPAYMIIVT
OF PRINCIPAL
AND INTE[tEST
LOAN
BALANCE
#07-O1 02/16/07 $ 39,915 $ 4,708 $ - $ 44,623
#07-03 OCi/30/07 60,039 6,840 - 66,879
#07-02 04/03/07 36,500 4,144 - 40,644
#07-08 07/24/07 35,596 3,659 - 39,255
#07-10 OS/28/07 49,536 4,R26 - 54,462
#07-09 08/28/07 26,036 2,589 - 28,625
#07-06 09/28/07 35,640 2,522 (38,162) (0)
#07-07 09/28/07 42,886 4,137 - 47,023
#07-12 Q2/16/07 33,051 3,898 - 36,949
#07-14 10/01/07 19,610 1,886 - 21,496
#07-11 10/10/07 38,141 3,635 - 41,776
#07-13 10/11/07 40,253 3,833 - 44,086
#07-04 10/30/07 50,000 4,670 - 54,670
#07-15 12/03/07 24,536 2,212 - 2b,748
#07-16 12/28/07 8,000 702 - 8,702
#07-17 02/04/OS 22,826 1,534 (24,3fi0) 0
#07-18 02/29/08 24,170 1,975 - 2b,145
#07-20 05/30/OS 19,175 1,399 - 20,574
#0~01 OS/15/OS 25,377 1,664 - 7J,041
#0~02 10/20/08 47,200 2,797 - 49,997
#08-06 10/17/08 33,750 2,010 - 35,760
#0~04 11/14/08 41,500 2,360 - 43,860
#0&Q5 01/29/09 2~619 1,121 - 23,740
#0~06 02/11/09 55,404 2,678 - 58,082
#0~07 04/09/09 27,425 1,176 - 28,601
#0~08 06/30/09 39,576 1,389 - 40,965
#09-O1 OB/03/09 33,000 1,047 - 34,047
#O~QZ 09/28/09 36,595 965 - 37,560
T'OTAL $ 968,356 $ 76,475 $ (62,523) $ 982,309
Eden Senior A~{ordable Housing Loan - On September 23, 2002 the City selected Eden Housing, Inc. as the
developer for the affordable senior housing at the site of the former library located at 7606 Amador Valley
Blvd. This site also houses a senior center that the City constructed during fiscal year 2003-2004. On
February 1, 2004, the City entered into an agreement and provided a loan in the amount of $2,248,248 to the
Dublin Senior Limited Partnership to support the senior housing project. The interest on the outstanding
principal balance of the loan is accrued at the rate of 3% simple interest per annum. The entire outstanding
principal balance of fhe Ioan, together with the interest accrued is payable in full on February 8, 2059, the
55th anniversary of the Initial Disbursement Date February, 18 2004. Repayments commenced on June 1,
2006, and on the first day of each June thereafter, 60% of the Surplus Cash generated by the project during
the previous calendar year is remitted to reduce the outstanding indebtedness. Any payment not paid
when due bears interest at a rate equal to 10% annum from the due date until it is paid in full. The
outstanding amount as of June 30, 2010 was $2,540,183.
58
~~~ ~~~
~
1
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
3. NOTES RECEIVABLE, Continued
West Dublin/Pleasanton BART Loan - On December 20, 2005, the City approved a funding agreement
between the City of Dublin, the City of Pleasanton, and the San Francisco Bay Area Rapid Transit District
(BART) established pursuant to Public Utilities Code Section 28500 for the construction of the West
Dublin/Pleasanton BART Station with parking and other facilities. BART intends to issue bonds to finance
all or a portion of the construction of the West Station. In order to issue and sell the bonds, BART must
establish certain debt service reserves. The agreement requires the City of Dublin to contribute $2.5 million
to a Reserve Fund which could be utilized by BART in the event that Operating Revenues were insufficient
to cover Debt Service and Operating Expenses for the West Dublin/Pleasanton BART Station. The City
committed 50% of the obligations at the time that BART issued bonds for the construction. The second
installment is due when BART passenger service begins, which currently is estimated to be mid 2011. The
funding agreement also calls for the return of any unused portion of cash contribution at the end of the fifth
year of Revenue Operations. The outstanding amount as of June 30, 2010 was $1,250,000.
Arroyo Vista Predevelopment Loan - On December 18, 2007, the City approved a loan in the amount of
' $325,000 to Eden Housing for predevelopment activities on the Arroyo Vista Redevelopment project. Total
amount disbursed as of June 30, 2010 was $324,936. The loan was approved to pay for Environmental
Review Costs, the Transaction Costs, and other predevelopment costs incurred by Eden Housing, such as
' architect, legal, and consultant fees. The loan is to be paid in full on December 18, 2010 the third
anniversary date of the loan origination date and interest is not accrued on any portion of the loan provided
that Eden Housing is not in default under the terms of the loan agreement.
4. INTERFUND TRANSACTIONS
Due To/From
During the normal course of business the General Fund may advance to other funds to cover deficit cash
~ balances caused by expenditures for reimbursement type grants and other reimbursements. During the
fiscal year advances were made to the Enforcement Grant fund ($8,510); the SAFETEA-LU (Safe,
Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users) Fund ($1,211,719) the
, Congestion Management Agency Fund ($289,000), the America Recovery and Reinvestment Act Fund
($4,939), the East Bay Regional Park District Fund ($306,536), the Community Development Block Grant
Fund ($51,440), and the Internal Service Retiree Health Reimbursement Fund ($283,176). When the
1 reimbursement is received, normally shortly after year end, the interfund liability is liquidated. The
following interfund balances existed at June 30, 2010:
' Due fromotherfunds
Major Fund
Due to otherfunds General Fund
' Non Major Funds $ 2,155,321
i
~ 59
~~D~ ~ ~~" ~
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
4. INTERFUND TRANSACTIONS, Continued
Advances To/From
During the 2004-2005 and 2005-2006 Fiscal Years, the General Fund advanced funds to the Fire Impact Fees
Capital Projects Fund to aid in the financing of fire station construction projects. The advance will be repaid
through future revenues to the Fire Impact Fees Fund. Interest accrues on the advance at a rate equal to the
City's return on its investment portfolio.
During the Fiscal Year 2007-2008, the General Fund made a long term advance to the Internal Service Fund
- CALPERS Side Fund to prepay CALPERS for the City's Side Fund Obligation. The Side Fund was created
in 2005 when CALPERS assigned agencies with less than 100 participants to a risk sharing pool. The Side
Fund was the City's negative unfunded liability at the time the City was assigned to the pool. As part of
CALPERS Employer Contribution Rate; the City was scheduled to pay 4.319% of payroll for the next 17
years to eliminate the current side fund obligation. The benefit of prepayment resulted in reduction of the
Employer Contribution rate in FY2007/2008 from 15.894% to 11.575%. The advance from General Fund
will be repaid annually, calculated at the rate of 4.319% of the total salary and be recorded as an Internal
Service Fund retirement benefit expenditure with an offset to reduce the General Fund long term advance.
During the Fiscal Year 2009-2010, the General Fund made a long term advance to the Public Facility Fee
Capital Projects Fund to fund the construction of the Fallon Sports Park. The advance will be repaid
through future revenues to the Public Facility Fee Fund. Interest accrues on the advance at a rate equal to
the City's return on its investment portfolio.
The following inter fund balances existed at June 30, 2010:
Advances from other funds
Fire Impact Fees Capital Project Fund
Public Facility Fees Capital Project Fund
Intemal Service Fund
Total
Advances to other funds
Major Fund
GeneralFund
$ 1,808,886
1,376,554
2,642,84b
$ 5,828,286
60
~
City of Dublin ~1 ~ ~ Z~
' Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
~
4. INTERFUND TRANSACTIONS, Continued
' Transfers In/Out
' Interfund transfers for the year ended June 30, 2010 were as follows:
T r a n s f e r s I n
, T Major Funds Nw~ Nlajor Funds
T
a B~ Culvat
~ General Co~nuniry and Stovn
5 Affordable Improvements Lnprwements Water Mgt
' f Housing Capital Projetl Capital Project Pazla Capital StreetsCapital Speaal
e Fund Descriptions: General Fund Fund Fund Fund ProjeR Fund Project Funds Revenue Funds Total
r
S General Fund 742,754 82,333 1,477,454 655,782 439,248 3,427,571
Pu6lic Fa~ility Capital Projed Fund 8,011,675 8,011,675
~ ~ Traffic I~ad Foe Capihal Project Fund 6,848,129 6,848,129
° Non Ma'pr Funds ?8,648 6,596 36,760 1,180,461 6,237,570 7,490,035
t
Total $?8,648 $ 6,596 $ 779,514 $ 82,333 $ 10,669,590 $ 13,771,481 $ 439,248 $ 25,T17,410
0
' Transfers In to the General Fund consists of reimbursement of staff administration costs -$16,421 from the
Vehicle Abatement Special Revenue Fund and $12,227 from the Lighting and Landscaping Maintenance
, Assessment District Special Revenue Funds.
Transfer In to the Affordable Housing Fund in the amount of $6,596 was a reimbursement from the CDBG
~ Special Revenue Fund far staff administrative costs.
Transfer In to the General Improvements Capital Project Fund to fund capital project expenditures -
' $742,754 from the General Fund and $36,760 from the CDBG Special Revenue Fund.
Transfer In from the General Fund to the Community Improvements Capital Project Fund in the amount of
1 $82,333 to fund capital project expenditures.
Transfer In to the Parks Capital Project Fund to fund capital project expenditures -$1,477,454 from the
, General Fund, $1,171,624 from the East Bay Regional Park District Special Revenue Fund, $8,837 from the
Public Art Special Revenue Fund, $8,011,675 from the Public Facility Fees Capital Project Fund.
~ Transfer In to the Streets Capital Project Fund to fund capital project expenditures -$685,782 from the
General Fund, $1,097,337 from the Gas Tax Special Revenue Fund, $2,118,373 from SAFETE-LU (Safe,
Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users) Special Revenue Fund,
$2,237,135 from the Measure B Sales Tax - Local Streets Special Revenue Fund, $52,060 from the Measure B
~ Sales Tax - Bike and Pedestrian Special Revenue Fund, $289,000 from the Congestion Management Special
Revenue Fund, $406,987 from the Traffic Congestion Relief Special Revenue Fund, $36,678 from the Storm
Water Management Special Revenue Fund, and $6,848,129 from the Traffic Impact Fees Capital Project
, Fund.
Transfer In to the Box Culvert Special Revenue Fund $335,728 and to the Dublin/Dougherty Storm Water
' Management Special Revenue Fund $103,520 to segregate funds recorded in the General Fund for specific
Storm Water activities.
1 61
~~~~ ~~ ~
City of Dublin '
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
~
5. CAPITAL ASSETS
A. Government-Wide Financial Statements
Capital assets include land, buildings, and equipment used in City operations. Infrastructure includes
roads, bridges, curbs, sidewalks, drainage systems, street and traffic lights, park improvements and
other improvements used by all citizens. The following is a summary of capital assets for governmental
activities:
Balance July 1, 2009 Additions Deletions Balance June 30, 2010
Capita] assets, not being depreciated:
Land $ 162,556,225 $ - $ - $ 162,556,225
Streets right of way 35,425,288 - - 35,425,288
Construction in progress 8,001,873 14,330,809 (97,690) 22,234,992
Total capital assets, not being depreciated 205,983,385 14,330,809 (97,690) 220,216,505
Capital assets, being depreciated:
Infrastructure 345,149,139 7,752,883 - 352,902,022
Buildings and improvemems 68,517,699 94,515 - 68,612,214
Vehicles and equipment 6,613,085 277,856 - 6,890,941
Total capital assets, being depreciated 420,279,923 8,125,254 - 428,405,177
Less Accumulated depcreciation for
Infrastructure (179,579,578) (5,944,730) - (185,524,308)
Buildings and improvemetns (18,248,114) (2,532,829) - (20,780,943)
Vehicles and equipment (4,961,232) (498,093) - (5,459,325)
Total accumulated depreciation (202,788,924) (8,975,652) - (211,764,576)
Total capital assets being depreciated, net 217,490,999 (850,398) - 216,640,601
Governmental activities capital assets, net $ 423,474,384 $ 13,480,411 $ (97,690) $ 436,857,106
Depreciation expense was charged to functions/programs of the primary government as follows:
General government $ 875,132
Public Safety 599,787
Highways and streets 5,052,928
Communii~~ Development 10,025
Culture and leisure 2,437,780
Total depreciation expense - governmental activifies $ 8,975,652
B. Fund Financial Statements
The fund governmental financial statements do not present general government capital assets but are
shown in the Reconciliation of the Governmental Funds Balance Sheet to the Government-Wide
Statement of Net Assets.
62
~
~~~2Zz
~ City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
i
6. SPECIAL ASSESSMENT CITY DEBT (NON-OBLIGATORY)
The Dublin Boulevard Extension Special Assessment District, formed within City limits, had outstanding
debt with a balance of $573,000 at June 30, 2010. Proceeds of the debt, which was issued in 1991, were used
to finance improvements within City boundaries. The City has no legal, contingent or moral obligation for
the repayment of this debt and acts solely as the collecting and paying agent for the District. Activities of
the District are reported in the Dublin Boulevard Extension Assessment District Agency Fund.
7. JOINT POWERS AGREEMENTS
The City participates in joint ventures with other municipal entities through Joint Powers Agreements
(JPAs) established under the Joint Exercise of Powers Act of the State of California.
. loint Ventures
' The Cities of Dublin, Pleasanton, and Livermore and the County of Alameda have entered a joint venture
agreement, dated September 15, 1992, under which Alameda County constructed an animal shelter facility
on County property. Certificates of Participation were issued to construct the facility. Under the agreement
~ the entities will share in the debt service costs of the project based upon their use of the animal shelter. The
original total principal portion of the scheduled debt was $4,523,877. The City's share for the annual debt
service requirements are based upon the statistics of live animals handled in the shelter. In Fiscal Year
' 2009/2010 the City contributed $31,149 representing 19.48%of the total annual debt service payment. In
addition, the City contributed $192,952 or 19.48% toward the annual operating shelter services and $69,257
or 13.06% of the animal field service expenditures.
, The City has not recorded an equity interest for the animal shelter agreement. As noted above the ongoing
financial interest is limited to the statistics of live animals handled in the appropriate fiscal year. No Joint
Powers Authority was established as part of this agreement therefore, separate financial statements are not
' issued.
S. FUND EQUITY
In the Fund Financial Statements, reserves and designations segregate portions of fund balance that are
' either not available or have been earmarked for specific purposes. The various reserves and designations
are established by actions of the City Council and Management and can be increased, reduced or eliminated
by similar actions.
~
63
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
8. FUND EQUITY, Continued
$~ ~~~ '
~
~
In Governmental Funds, fund reservations and designations are presented as a component of fund balance '
as follows:
Reseve~
Pte~aid ac~ufittaes
CE~ret~y Fncbovrr~ rt
Long~emadvarces~'ublic Facility Fees Fund
Ilmgfamadvarccs-Fire In~ut Fee Fvrd
Long~emadvarces-PII25 5de Fimd
R,t~l;~ ~fetvp~ogans
3ieet ~irrtaiarce and mn.stnrtion
Healdi arci wElfa~e
~S'~T~S P~~~
Non ResideNial Hoising In tieu
AffordableHousng
Capi tal inprovanad projects
Tdalreseved
Chvrseived, desig~ate~
O}~'ation Carrywes
m' Canyo~s
Advan~toTVIDFvnd W. HARI'StationCm~trih
AffunjableHousrig
Gvic Caita Ex~anson
Opm 5pxe
Tbcvntown P~blic Improva~ts
Panaald a m llquatic Caita
tinebaiq' ComrnmimationSysten
Fire Retiree I$]th Ea~efi ts
}-fistoric Padc Ckvelopmart
Iv~Ne~n~ Faality In~vv~atrs
Inc~strnadNfirket Val~ Adjist~i~t
Acavedleave Payal~le
~rvice ContinLrity Cbli~tion
Intaest Rate/Irrvestnait Volatility
Froromic 3abiliiy
Catvstrop}uc Loss & Bisirrss Recovey
Ca~ Flow&O~ration Stalility
Inrovation &NewO~~po~twuties
Authoriad Fx}autihves
Tdal unraaved desig~aled
Unmserved, undesigiated
Tdal fund a~uily
AffoidaUle Streels PublicFaolit~ FueInpxt Trafficltrpact
C~aal Hrnsing Capital Capiial FeesCa}atal FeesCapital NorrIv~jor
Furd Fimd PlojectFimd Av~ A-t~ ProjectFimd Fu~ds ToYal
$ 31,160 $ - $ - $ - $ - $ - $ - $ 31,160
EoAOO - - - - - - 6oAC0
1~76,554 - - - - - - 1,376,551
1,8~,886 - - - - - - 1.8(8,886
z,~z,s~ - - - - - - z6az,sa6
- - - - - - 3D,457 3~,457
- - - - - - 3,877,78~3 3,877,7b3
- - - - - - 119A~ 119A73
- - - - - - 692,793 69L,7A3
- 323,810 - - - - - 323,810
- 10,611,8@ - - - - - 10,611,802
- 1,9Qi,OCr1 9,314 - - 6,3i2,~35 874,397 9,049b~
5,97L,446 12,838,676 9,314 - - 6,3i2~5 5,893,5(X3 30,926,830
171,100 - - - - - - 171,1~
2~,5d7 - - - - - - 2Q3SQ7
1,oooA~ - - - - - - i,oooAOo
lA~A~ - - - - - - i,0oo,ooD
1445,257 - - - - - - 1,945251
1AooA~ - - - - - - ~,ooD,ooo
1AroAOO - - - - - - ~,oaoAro
1~ODACO - - - - - - 1,500,000
lA0oA0D - - - - - - i,00oA00
45ooA~ - - - - - - 450oA00
1,7&1.2H - - - - - - ~,~~~
6C~1b02 - - - - - - 6Cr}b02
1,516,5(fl - - - - - - 1,516,5(fl
802372 - - - - - - 802~72
13~A~ - - - - - - ~,35oA0D
23~AOO - - - - - - z375poD
5863,&17 - - - - - - 5,868,847
8,~A0o - - - - - - 84~AOo
9,3EDAOD - - - - - - 9,3E,oA0D
10,125A~ - - - - - - 10,125A~
3,993 - - - - - - 3,933
~A`-~,~ - - - - - - 55,090,382
- - - (~3E~0,043) (1,E(18,8E6) - - (3,168,9~)
$ 61A12,8?B $ 12,838b76 $ 9,314 $ (1,360,6~3) $ (1,~8,886) $ 6,~i2,~5 $ 5,893$09 $ 82,898,283
64
1
, City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
'
9. RISK MANAGEMENT
, A. Risk Pool
' The City participates in the ABAG PLAN Corporation, which covers general liability claims in an
amount up to $10,000,000 and property insurance coverage for members up to $500,000,000. The City
has a deductible or uninsured liability for general liability of up to $50,000 per claim. The deductible for
~ property claims is $5,000 per occurrence. The deductible for property claims for automobiles is $5,000
for claims under $25,000 and no deductible for claims over $25,000. Once the City's deductible is met
ABAG PLAN becomes responsible for payment of all claims up to the limit. During the fiscal year
, ended June 30, 2010, the City contributed $197,605 toward current year Property Premium, Public
Official Bond, Administrative Premium, General Liability and Excess Liability coverage.
The ABAG PLAN is governed by a board consisting of representatives from member municipalities.
The board controls the operations of the ABAG PLAN including selection of management and approval
of operating budgets, independent of any influence by member municipalities beyond their
representation on the Board.
~1c7~ Z.~~
The City's contributions to the ABAG PLAN for liability coverage are based on a formula which
considers the ratio of the City's payroll to the total payrolls of all entities participating in the same layer
of each program, in each program year's loss history and population. Actual surpluses or losses are
shared according to a formula developed from overall loss costs and spread to member entities on a
percentage basis after a retrospective rating.
There have been no significant reductions in any of the City's areas of insurance coverage and no
settlement amounts have exceeded coverage in the past three years.
Audited financial information for the ABAG PLAN can be obtained from ABAG PLAN, P.O. Box 2050,
Oakland, California 94604-2050.
~' B. Workers Compensation Coverage
~ The City participates in the Cities Group, created by a joint powers agreement to provide workers
compensation coverage paid from the pooled contributions of its membership with no deductible to the
City. Any claim in excess of $1 million is covered up to $10 million through a policy with New York
~ Marine Insurance Corp purchased by the Cities Group. The Cities Group acts as an administrator, claim
adjuster and provides other risk management services as provided by State law. Each member of the
Cities Group pays a premium commensurate with the level of coverage requested and shares surpluses
~ and deficits proportionately to its participation in the Cities Group. During the year ended June 30,
2010, the City paid the Group $20,486 in premiums. At June 30, 2010, the City of Dubliri s share of
equity in the Cities group amounted to $182,143.
Financial Statements may be obtained from the Cities Group, PO Box 111, Burlingame, CA 94011-0111
~ 65
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
9. RISK MANAGEMENT, Continued
C. Liability for Uninsured Claims
~~~ '
~~~
The GASB requires municipalities to record their liability for uninsured claims and reflect the current
portion of this liability as expenditures in their financial statements. As discussed above, the City has
coverage for such claims, but it has retained the risk for the deductible or the uninsured portion of these
claims in the ABAG PLAN and the Cities Group plans. GASB Statement No. 10, "Financial Reporting
for Risk Financing and Related Insurance Issues" require that this amount be separately identified and
recorded as a liability.
The City's liability for uninsured claims, limited to general liability and workers compensation claims as
discussed above, includes a provision for incurred but not reported (IBNR) losses. This amount was
estimated based on claims experience. The liability recorded is adequate to cover 5.43 IBNR claims.
Therefore no adjustment was made in fiscal year 2009-2010 as the City's exposure is for the $50,000
deductible per General Liability claim.
June 30, 2010 June 30,,2009 June 30, 2008
Balance $ 271,916 $ 271,916 $ 271,916
10. COMPENSATED ABSENCES
The City records a long term compensated absences liability to recognize the financial effect of unused
general leave and other accrued compensated leave. The total of vacation and other compensated leave is
$802,312. The liability will be paid from future resources primarily from the general fund.
Due within
July 1, 2009 Additions Deletions June 30, 2010 one year
Accrued General Leave $ 758,913 $ 76,303 $ (63,612) $ 771,604 $ 231,481
Accrued Compensated Leave 32,669 13,262 (15,223) 30,708 9,212
$ 791,582 $ 89,565 $ (78,835) $ 802,312 $ 240,694
11. PENSION PLAN
A. PERS
Plan Description - The City's defined benefit pension plan, (Miscellaneous Plan), provides retirement
and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and
beneficiaries. The Miscellaneous Plan is part of the Public Agency portion of the California Public
Employees Retirement System (Ca1PERS), a cost sharing multiple-employer plan administered by
CaIPERS, which acts as a common investment and administrative agent far participating public
employers within the State of California. A menu of benefit provisions as well as other requirements is
established by State statutes within the Public Employees' Retirement Law. The City selects optional
benefit provisions from the benefit menu by contract with Ca1PERS and adopts those benefits through
local ordinance or resolution. Ca1PERS issues a separate comprehensive annual financial report. Copies
of the CaIPERS's annual financial report may be obtained from the CaIPERS Executive Office, 400 P
Street Sacramento, California 95814.
66
' City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
~~ ~zz~
11. PENSION PLAN, Continued
A. PERS, Continued
' Funding Polict~ - Active plan members in the Miscellaneous Plan are required to contribute 8 percent of
their annual covered salary, 7 percent of which the City pays on behalf of the employees in the amount
of $540,837. The City is required to contribute the actuarially determined remaining amounts necessary
1 to fund the benefits for its members. The actuarial methods and assumptions used are those adopted
the Cal PERS Board of Administration. The required employer contribution rate for fiscal year 2009-
2010 was 11.811% for miscellaneous employees. (The City has only miscellaneous employees.) The
~ contribution requirements of the plan members are established by State statute and the employer
contribution rate is established and may be amended by Ca1PERS.
Annual Pension Cost - For fiscal year 2009-2010, the City's annual pension cost was $1,728,667 and was
equal to the City's required and actual contributions. The required contribution for fiscal year 2009-
2010 was determined in the June 30, 2007, actuarial valuation using the entry age normal actuarial cost
method with the contributions determined as a percent of pay. The actuarial assumptions included (a)
7.75 percent investment rate of return compounded annually net of administrative expenses; (b)
projected salary increases that vary by duration of service ranging from 3.25 percent to 14.45 percent for
miscellaneous members, depending on Age, Service, and type of employment; (c) Inflation component
of 3.0 percent; d) Payroll Growth of 3.25 percent; and e) Individual Salary Growth based on a merit scale
varying by duration of employment coupled with an assumed annual inflation growth of 3 percent and
annual production growth of 025 percent. The actuarial value of Miscellaneous Plari s assets was
determined using a technique that smoothes the effect of short-term volatility in the market value of
investments over a two to five year period depending on the size of investment gains and/or losses.
Miscellaneous Plan's unfunded actuarial accrued liability (or excess assets) is being amortized as a level
percentage of projected payroll on a closed basis. The average remaining amortization period at June
30, 2007 was 17 years for miscellaneous employees for prior and current service unfunded liabilities.
The Asset Valuation Method was 15 Year Smoothed Market.
~ Three Year Trend Information for the Miscellaneous Plan
' Annual Percentage
Pension Cost of APC Net Pension
Fiscal Year (APC) Contributed ObligaHon
' 6/30/2008 $ 1,724,812 100% $ _
6/ 30/2009 1,808,535 100 %
6/ 30/2010 1,728,667 100 % -
~ The City adopted GASB Statement No. 50, Pension Disclosure, an amendment of GASB Statement No.
25 and 27. This Statement aligns the financial ''reporting for pensions with those for other
1 postemployment benefits. It also provides enhancement in the information disclosed in the notes to the
financial statements or presented as required supplementary information.
~ 67
$~ z~~ 1
~
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
11. PENSION PLAN, Continued
B. Social Security/Public Agency Retirement Systems (PARS)
The Omnibus Budget Reconciliation Act of 1990 (OBRA) mandates that public sector employees who
are not members of their employer's existing retirement system as of January 1, 1992, be covered by
either Social Security or an alternate plan. The City's part-time, seasonal and temporary employees
were covered under Social Security, which required these employees and the City to each contribute 6.2
percent of the employees' pay.
The City entered into an agreement with the PARS to provide an alternative retirement system for these
part-time employees. The PARS plan was effective December 25, 2005, and replaced Social Security.
The employees contributed $50,179 or 6% of salary and the City contributed $12,555 or 1.5% of
employee's pay towards PARS for the year ended June 30, 2010.
12. POSTEMPLOYMENT HEALTHCARE PLAN
A. City of Dublin Retiree Health Plan
Plan Description. City of Dublin (City) Retiree Health Plan is a single-employer defined benefit healthcare
plan administered by the California Public Employees Retirement System (Call'ERS). The plan provides
medical insurance benefits to eligible retirees and their eligible dependents. In accardance with Public
Employee Retirement Law (Article 2). The Public Employees Retirement System Board of Administration
has the responsibility to approve health benefit plans and may contract with carriers offering health benefit
plans. The Board of Adininistration is responsible for adopting all rules and regulations, including the scope
and content of basic health plans. The California Government Code also defines certain rules for contract
agencies, such as the City of Dublin, to purchase health insurance benefits.
Funding Policy. There is no requirement imposed by Ca1PER5, to contribute any amount beyond the pay-as-
you-go contributions. The cost of monthly insurance premiums may be shared between the retiree and the
City. The cost sharing varies depending on: date of hire (a vesting schedule is in place for employees hired
after April 1, 2004); the dependent status; and plan selected. A minimum employer monthly contribution
requirement is established and may be amended by the Ca1PERS Board of Adnunistration and applicable
laws. Within the parameters of the law, individual contracting agencies, such as the City, are allowed to
establish and amend the level of contributions made by the employer towards the monthly cost of the plans.
Changes to the employer contribution rate towards retiree benefits are recorded in a resolution adopted by
the City Council.
The City has established a policy to make contributions to an Internal Service Fund, for the purpose of
funding its calculated obligations over a period of time, with the intent the funds will be transferred to
CALPERS periodically at which time the transfers will be recorded as Cash with Fiscal Agent in a Trust
Fund. The amount necessary to fund future benefits is based on projections from the June 30 2009 Actuarial
Study completed by Bartel and Associates, LLC in accordance with GASB Statement 45, Accounting and
Financial Reporting for Postemployment Benefits Other than Pensions.
68
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
1
12. POSTEMPLOYMENT HEALTHCARE PLAN, Continued
A. City of Dublin Retiree Health Plan, Continued
~5~~~~
For fiscal year 2010, the City made a total of $862,828 in contributions, of which $568,261 represented current
contributions and $294,567 represented amounts added to the City's Retiree Health Care Internal Service
Fund to set aside funds for future benefits. There was no premiums contribution paid by the retirees that
exceeded the monthly contribution established by the City.
During Fiscal Year 2006-2007, the City made arrangements with Ca1PERS to retain the OPEB assets to
finance future Retiree Health Benefits. On June 29, 2007 the City transferred $5,468,611 from the
Internal Service Fund into the California Employers' Retiree Benefit Trust Fund (CERBT). During fiscal
year 2009-2010, the City made additional quarterly transfers amounted to $568,984. The City has elected
a one year amortization period for the OPEB plan assets deposited into the CERBT, as permitted under
GASB Statement 45, paragraph 13F, amortization periods allow for a maximum of 30 years with no
minimum years. As of June 30, 2010, the Internal Service Fund held a remaining total of $11,627 to be
transferred to Ca1PERS in Fiscal Year 2010-2011.
Annual OPEB Cost and Net OPEB Obligation. The City's annual Other Post Employment Benefit (OPEB) cost
(expense) is calculated based on the Annual Required Contribution of the employer (ARC), an amount
actuarially determined in accordance with the parameters of GASB Statement 45. The ARC represents a level
of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any
unfunded actuarial liabilities (or funding excess) over a period not to exceed thirty years. The following
table shows the components of the City of Dublin annual OPEB costs for the year, the amount aciually
contributed to the plan, and changes in the City's net OPEB obligation to the City Retiree Health Plan:
Annual required mntribution $ 610,000
Interest on net OPEB obligation (19,000)
Adjustment to aimual i~uired contribution 24,000
Annual OPEB experse (income) 615,000
Contributions made (862,828)
In~ease (decrease) in net OPEB obliRation (247,828)
Net OPEB obligation (asset) -be~nnung of year (516,51~
Net OPEB obli~ation (asset) -end of year $ (764,343)
~ The City Retiree Health annual OPEB cost, the percentage of annual OPEB cost contributed to the plan,
and the net OPEB obligation for 2010, and the preceding years were as follows:.
Fiscal Year Ended OPEB Cost
Cost Contributed
Obligation (Asset)
6/30/2008 $ 511,000 141.37% $ (211,418)
6/30/2009 $ 511,000 159.71% $ (516,515)
6/30/2010 $ 615,000 140.30% $ (764,343)
69
pt~ ~ ~ ~~ '
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
12. POSTEMPLOYMENT HEALTHCARE PLAN, Continued
A. City of Dublin Retiree Health Plan, Continued
Funded Status and Funding Progress. As of June 30, 2009, the most recent actuarial valuation date, the plan
was 76% funded. The Actuarial Accrued Liability (AAL) for benefits was $6,990,000, and the Actuarial
value of Plan Asset was $5,326,000, resulting in an Unfunded Actuarial Accrued Liability (UAAL) of
$1,664,000. The covered payroll (annual payroll of active employees covered by the plan) was 7,618,000,
and the ratio of UAAL to the covered payroll was 21 percent.
Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and
assumptions about the probability of occurrence of events far into the future. Examples include
assumptions about future employment, mortality, and the healthcare cost trend. Amounts determined
regarding the funded status of the plan and the annual required contributions of the employer are
subject to continual revision as actual results are compared with past expectations and new estimates
are made about the future. The Schedule of Funding Progress, presented as Required Supplementary
Information following the notes to the financial statements, presents multi-year trend information about
whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial
accrued liabilities for benefits. Since this is the first year of including this information in the financial
report, the data presented is limited.
Actuarial Methods and Assumptions. Projections of benefits for financial reporting purposes are based on
the substantive plan (the plan as understood by the employer and the plan members) and include the
types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit
costs between the employer and plan members to that point. The actuarial methods and assumptions
used include techniques that are designed to reduce the effects of short-term volatility in actuarial
accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the
calculations.
In the June 30, 2009 actuarial valuation, the actuarial cost method used is Entry Age Normal (EAN) cost
method. Under the EAN cost method, the plan's Normal Cost is developed as a level percent of payroll
throughout the participants' working lifetime. Entry age is based on current age minus years of service.
Actuarial Accrued Liability (AAL) is the cumulative value on the valuation date, of prior Normal Cost.
For the retirees, the AAL is the present value of all projected benefit. The Unfunded AAL is being
amortized as a level dollar closed 30 year basis, as a level percent of payroll with a remaining
amortization period at June 30, 2009 of 30 years.
GASB 45 requires the interest rate to represent the underlying expected return for the source of funds
used to pay benefits. The actuarial methods and assumptions included 7.75 percent interest rate,
representing the long term expected rate of return on the CaIPERS Trust Fund. Annual inflation
assumed to increase at 3 percent per annum and Aggregate Payroll assumed to increase at 3.25 percent
per annum. The study also used assumptions for the salary merit and longevity increases, and
demographic assumptions such as mortality, withdrawal, and disability based on CaIPERS 1997-2002
Experience Study. Retirement assumption was also based on Ca1PERS 1997-2002 Experience Study of
the Miscellaneous Plan 2.7% at 55 years, with expected retirement age of approximate 59 for females
and 60 for males.
70
,
.~~~~~.~.
, City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
'
12. POSTEMPLOYMENT HEALTHCARE PLAN, Continued
' A. City of Dublin Retiree Health Plan, Continued
' The following table includes the annual healthcare cost trend rate used in the Actuarial Valuation:
Year Non-Medicare Medicare
~ HMO PPO HMO PPO
2009 Actual Premiums Actual Premiums
2010 9.1 % 9.8% 9.4% 10.1 %
2011 8.4% 9.0% 8.7% 9.3%
' • + • • •
2017 + 4.5% 4.5% 4.5°/a 4.5%
' B. Dougherty Regional Fire Authority Health Plan
Dougherty Regional Fire Authority Background. In 1988, the cities of Dublin and San Ramon formed
' Dougherty Regional Fire Authority (DRFA), a joint powers agency (JPA). The JPA provided fire
services to all of Dublin and the southern portion of San Ramon. In 1997, the two cities decided to
change how Fire Services would be provided in each City. As a result JPA personnel were absorbed by
, the two new service providers pursuant to a mutual agreement. The JPA has remained intact to
conclude the financial affairs of the entity. This includes residual retiree obligations and workers
compensation liabilities. Dubliri s share of all DRFA close-out expenses, including retiree medical
~ benefits, is 57.51 % of the actual costs, with the City of San Ramon paying 42.49 % of the costs. The two
cities have entered into a binding agreement to share these expenses on this basis. The City of Dublin is
presenting information only for its contractual share of the obligations.
, Plan Description. City of Dublin share of DRFA Retiree Health Plan is a single-employer defined benefit
healthcare plan administered by the California Public Employees Retirement System (Ca1PERS). The
' Plan provides medical insurance benefits to eligible retirees and their eligible dependents. In accordance
with Public Employee Retirement Law (Article 2), the Public Employees Retirement System Board of
Administration has the responsibility to approve health benefit plans and may contract with carriers
' offering health benefit plans. The Board of Administration is responsible for adopting all rules and
regulations, including the scope and content of basic health plans. The California Government Code
also defines certain rules for contract agencies, such as DRFA, to purchase health insurance benefits.
, Funding Policy. There is no requirement imposed by Ca1PERS, to contribute any amount beyond the
pay-as-you-go contributions. The cost of monthly insurance premiums may be shared between the
retiree and DRFA. The cost sharing varies depending on: the bargaining unit; dependent status; and
' plan selected. A minimum employer monthly contribution requirement is established and may be
amended by the Ca1PERS Board of Administration and applicable laws. Within the parameters of the
law, individual contracting agencies, such as the DRFA, are allowed to establish and amend the level of
' contributions made by the employer towards the monthly cost of the plans. Changes to the employer
contribution rate towards retiree benefits are recorded in a resolution adopted by the DRFA
Management Committee.
' For fiscal year 2009-2010, the City contributed $49,800 to the plan, all of which was for current
premiums. No other contributions were made.
, ~ 71
~~~ ~~~. 1
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
12. POSTEMPLOYMENT HEALTHCARE PLAN, Continued
B. Dougherty Regional Fire Authority Health Plan, Continued
Annual OPEB Cost and Net OPEB Obligation. The City of Dubliri s share of the DRFA Retiree Health Plan
annual other post employment benefit (OPEB) cost (expense) is calculated based on the annual required
contribution of the employer (ARC), an amount actuarially determined in accordance with the
parameters of GASB Statement 45, Accounting and Financial Reporting for Postemployment Beneftts Otller
than Pensions. The ARC represents a level of funding that, if paid on an on-going basis, is projected to
cover costs. This plan is in a unique status since there are no active members and no "normal" cost
component. Therefore, 100% of the calculated ARC relates to the amortization of unfunded actuarial
liabilities (or funding excess) over a period not to exceed thirty years.
The following table shows the components of the City of Dublin share of DRFA annual OPEB cost for
the year, the amount actually contributed to the plan and changes in the Dublin Share of DRFA net
OPEB and the City of Dublin share of the obligation to DRFA Retiree Health Plan:
Anrn~al required contribution $ 111,000
Irrterest on net OPEB obligation 2,ppp
Adjustment to armual i~uired cantribution (3,000)
Annual OI'EB expense (income) 110,000
Coritributions made (49,800)
In~ease (decrease) in net OPEB obliRation 60,200
Net OPEB obligation (asset) -begirn~ing of year 151,065
Net OPEB oblip~tion (asset) -end of year $ 211,265
The DRFA Retiree Health (City of Dublin Share) annual OPEB cost, the percentage of annual OPEB cost
contributed to the plan, and the net OPEB obligation for 2010 and the previous years were as follows:
Ended OPEB Cost
6/30/2008 $ 110,000
6/30/2009 110,000
6/30/2010 110,000
Cost Contributed Obligation
60.24% $ 87,746
42.44 % 151,065
45.27% 211,265
Funded Status and Funding Progress. As of June 30, 2009, the most recent actuarial valuation date, the
plan was not funded. Therefore, both the actuarial accrued liability for benefits and the unfunded
actuarial accrued liability (UAAL) equaled $867,658. Since there are no active employees, it is not
possible to calculate a comparison of the liability to the payroll.
Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and
assumptions about the probability of occurrence of events far into the future. Examples include
assumptions about, mortality, and the healthcare cost trend. Amounts determined regarding the funded
72
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
~~~ ~~~
12. POSTEMPLOYMENT HEALTHCARE PLAN, Continued
B. Dougherty Regional Fire Authority Health Plan, Continued
status of the plan and the annual required contributions of the employer are subject to continual
revision as actual results are compared with past expectations and new estimates are made about the
future. The Schedule of Funding Progress, presented as Required Supplementary Information following
the notes to the financial statements, presents multiyear trend information about whether the actuarial
value of plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for
benefits. Since this is the first year of including this information in the financial report, the data
presented is limited.
Actuarial Methods and Assumptions. Projections of benefits for financial reporting purposes are based on
the substantive plan (the plan as understood by the employer and the plan members) and include the
types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit
costs between the employer and plan members to that point. The actuarial methods and assumptions
used include techniques that are designed to reduce the effects of short-term volatility in actuarial
accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the
calculations.
' A sole or agent employer that meets any of the eligibility criteria in paragraph 11 of GASB 45 is
permitted to apply the alternative measurement method set forth in paragraphs 33 through 35 of GASB45,
which allows for certain simplifying modifications to the selection of assumptions for purposes of
' measuring the ARC (Annual Required Contribution) and the plari s actuarial accrued liabilities and
funded status. In the June 30, 2009 actuarial valuation prepared by Vavinek, Trine, Day & Co., LLP the
actuarial used was Alternative Measurement Method with the Entry Age Normal (EAN) cost method.
, Under the EAN cost method, the plan's Normal Cost is developed .as a level percent of payroll
throughout the participants' working lifetime. The actuarial assumptions included a 4.5% investment
rate of return (net of administrative expenses), calculated based on the funded level of the plan at the
' valuation date. The expected rate of increase in healthcare insurance premiums is based on projections
of the Office of the Actuary at the Centers for Medicare and Medicaid Services, as published in National
Health Expenditure Projections: 2009-2019, Table 3. The increases are as follows:
FYE 6/30 RATE
2011 4.00%
2012 3.70%
2013 5.40%
2014 6.70%
2015 7.10%
2016 6.80%
2017 & Later 6.20%
The Actuarial Accrued Liability (AAL) is the cumulative value, on the valuation date, of prior Normal
Costs. For retirees, the AAL is the present value of all projected benefits. Although GASB45 allows an
amortization period not to exceed 30 years, due to the closed status of the plan, the unfunded AAL is
amortized over 20 years as a level of dollar amount.
73
~ o zzz '
~
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
13. COMMITMENT AND CONTINGENT LIABILITIES
A. Grant Programs
The City participates in several Federal and State grant programs. No cost allowances were proposed as
a result of the City's financial audit; however, these programs are still subject to further examination by
the grantors and the amount, if any, of expenditures, which may be disallowed by the granting agencies
cannot be determined at this time. The City expects such amounts, if any, to be immaterial.
B. Litigation
The City is subject to litigation arising in the normal course of business. In the opinion of the City
Attorney there is no pending litigation, which is likely to have a material adverse effect on the financial
position of the City.
C. Reimbursements to the City of Pleasanton
On January 23, 1996, the City adopted a fee for the purpose of reimbursing the City of Pleasanton for the
costs of making improvements to the interchanges on Interstate 580 at Hacienda Drive and Tassajara
Road/Santa Rita Road that benefit development in both Pleasanton and future development in Eastern
Dublin. The Cities entered into an agreement on November 3, 1998, to allow for an automatic annual
escalator factor in the amount of the fee assessed to developers based upon the LAIF interest rate and to
repay the City of Pleasanton. The amount of the contingent liability outstanding at June 30, 2010, was
$4,691,914 which is net of the $58,825 in payments made by the City to reduce this contingent liability
during the year. The accounting for the amount due is not recorded as indebtedness since future
payments are contingent upon the future collection of development fees assessed for reimbursement of
these improvements.
The City has also entered into an agreement with the City of Pleasanton for the reimbursement of the
cost of construction of a two-lane access road and the extension of Hacienda Drive. Interest accrues on
the reimbursement at 7.48 percent per year. The advance as of June 30, 2009, was $183,423. During the
year 2009-2010 unpaid interest incurred was added to the balance owed in the amount of $3,162. The
advance was paid off on July 1, 2009. The reimbursement was repaid from proceeds of assessments,
special taxes or fees imposed on the property east of Dougherty Road with no specific due date. The
City's General Fund shall not be obligated to repay this obligation. The accounting for the amount due
was not recorded as indebtedness since future payments are contingent upon the future collection of
development fees assessed for reimbursement of these improvements.
D. BART Agreement
In 1990, the City and Bay Area Rapid Transit City (BART) entered into a Settlement Agreement
regarding the City's extension of Dublin Boulevard to the extension of Hacienda Drive. BART
advanced the City $2,285,000 to purchase land and construct the road extensions. The advance was
structured with two components: a Short Term and a Long Term Advance. These projects are now
complete.
74
~
~ ~ ~ Z ~~
' City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
'
13. COMMITMENT AND CONTINGENT LIABILITIES, Continued
' D. BART Agreement, Continued
Short Term Advance
The amount provided as a Short Term Advance came due on December 31, 1995. In accordance with a
separate agreement, the Alameda County Surplus Property Authority repaid this amount. See the
related note on the Alameda County Surplus Property Authority below.
LonQ Term Advance
~ BART's long term advance to the City, including accrued interest as of June 30, 2009 was $2,485,522
which has no specific due date. Under the City's agreement with BART, interest on the advance accrues
, at a rate based on BART's average rate of return on its investments. During the year 2009-2010 interest
incurred was added to the balance owed in the amount of $762. On July 1, 2009 the advance was paid
off. The repayments of principal and interest on BART's advance were made from developer fees,
' charges and other non-tax revenues generated by future development in the area of the BART station.
The agreement states that in no event is the advance to be repaid from the City's General Fund or from
general revenues. The accounting for the amount due was not recorded as indebtedness since future
' payments are contingent upon the future collection of development fees assessed for repayment of the
advance.
E. Alameda County Surplus Property Authority
~ The City entered into an agreement with the Alameda County Surplus Property Authority for the
' repayment of the City's Short Term BART Advance by the Authority. Under the terms of the
agreement, interest on the advance accrues at a rate based on the Alameda County Treasurers return on
investments. As of June 30, 2010, the balance was $2,295,491, which includes accrued interest of $18,742
' at 0.72% for the current year. The advance is to be repaid from developer fees, charges, and other non-
tax revenues from the benefiting areas and has no specific due date. The City's General Fund is not
obligated to repay this obligation. The accounting for the amount due is not recorded as indebtedness
since future payments are contingent upon the future collection of development fees assessed for
, repayment of the advance.
F. Other Development Agreements
~ The City entered into several agreements with various developers and merchant builders who are
developing numerous residential and commercial projects throughout the City. The City agreed to
, grant the developers' impact fee credits since the developers constructed certain improvements beyond
what was needed to serve their specific projects. The value of credits does not increase for inflation nor
do they accrue interest. Any unused credits may be used by the developers on other projects located
' within the Traffic Impact Fee area. The value of the credits as of June 30, 2010 was $92,243,846. For the
current year, additions to the credits amounted to $108, 491 and credits used and transferred amounted
to $1,989,608. The accounting for the amounts due are not recorded as indebtedness since the payments
t (the uses of credits) are contingent upon the collection of development fees from building growth that
has not yet occurred.
, 75
~a~j~~~ ~
City of Dublin
Notes to Basic Financial Statements, Continued
For the year ended June 30, 2010
14. DEFICIT FUND BALANCE
The Fire Impact Fees Capital Project Fund and the Public Facility Impact Fees Capital Project Fund ended
the fiscal year with deficit fund balances of $1,808,886 and $1,360,043, respectively. The General Fund has
advanced money to cover current cash flow needs. Repayment of the advance is expected to come from
future revenues to these funds.
15. PRIOR PERIOD ADJUSTIVIENTS
There were no Prior Period Adjustments to be reparted.
16. TERMINATION BENEFITS
There were no Termination Benefits to be recorded.
17. PROPOSITION 1A - STATE BORROWING OF PROPERTY TAX
Under the provisions of Proposition lA and as part of the 2009-10 budget package passed by the California
state legislature on July 28, 2009, the State of California borrowed 8% of the amount of property tax
revenue, including those property taxes associated with the in-lieu motor vehicle license fee, the triple flip
in lieu sales tax, and supplemental property tax, apportioned to cities, counties and special districts
(excluding redevelopment agencies). The state is required to repay this borrowing plus interest by June 30,
2013. After repayment of this initial borrowing, the California legislature may consider only one additional
borrowing within a ten-year period.
The amount of this borrowing pertaining to the City of Dublin was $2,377,598.
Authorized with the 2009-10 State budget package, the Proposition lA Securitization Program was
instituted by the California Statewide Communities Development Authority ("California Communities"), a
joint powers authority sponsored by the California State Association of Counties and the League of
California Cities, to enable local governments to sell their Proposition lA receivables to California
Communities. Under the Securitization Program, California Communities simultaneously purchased the
Proposition lA receivables and issued bonds ("Prop lA Bonds") to provide local agencies with cash proceeds
in two equal installments, on January 15, 2010 and May 3, 2010. The purchase price paid to the local
agencies equaled 100% of the amount of the property tax reduction. All transaction costs of issuance and
interest were paid by the State of California. Participating local agencies have no obligation on the bonds
and no credit exposure to the State. The City participated in the securitization program and accordingly
property taxes have been recorded in the same manner as if the State had not exercised its rights under
Proposition lA. The receivable sale proceeds were equal to the book value and, as a result, no gain or loss
was recorded.
On October 20, 2009 the City Council adopted a resolution authoring participation in the California
Communities financing program. The City received payments of $1,188,799 on January 15, 2010 and on May
3, 2010.
76
1
~1~~ ZZZ-
~ RE UIRED
Q
~ SUPPLEMENTARY INFORMATION
i ~~
City of Dublin
Required Supplementary Information
For the year ended June 30, 2010
~ ~ ~ ~~ ~
~
1. BUDGETS AND BUDGETARY ACCOUNTING
The City follows these procedures in establishing the budgetary data reflected in the basic financial
statements:
- Prior to June 30 the City Manager submits to the City Council a proposed operating budget for
the fiscal year commencing the following July 1. The operating budget includes proposed
expenditures and the means of financing them.
- The public is given an opportunity to comment on the budget at a noticed City Council meeting.
Prior to July 1, the budget is legally enacted through passage of a resolution.
- The City Manager is authorized to transfer budgeted amounts between line items, provided that
the transfer is within the same department and fund. Any revisions, which alter total
departmental expenditures of the City must be approved by City Council except as follows: The
City Manager will be allowed to transfer funds from the contingent reserve to operating
departments salary and benefits accounts when required due to employee turnover or change in
status, City Council approved funding for increases in employees salaries and benefits, and City
Council approved funding for increase in contract or labor rates. Also, the City Manager can
transfer from the Contingent Reserve to address General Fund utility expenditures which exceed
the budget. Expenditures may not exceed budgeted appropriations by fund at the departmental
level, without City Council approval.
- Farmal budgetary integration is employed as a management control device during the year for
the general fund, special revenue funds and capital projects funds.
- Budgets for the general, special revenue and capital projects funds are adopted on a basis
consistent with generally accepted accounting principles in the United States.
- All unexpended operating budget appropriations lapse at the end of the fiscal year, and the City
Council may approve a Budget Change reflecting carry-over items.
- As part of the annual Budget adoption the City Council authorizes Staff to carry-over
unexpended capital project appropriations, for those projects where work and expenditures will
continue in the subsequent year.
78
~~~ ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Required Supplementary Information, Continued
For the year ended June 30, 2010
General Fund
Variance with
Final Budget -
Budget Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES:
Property taxes $ 21,467,750 $ 21,467,750 $ 22,141,003 $ 673,253
'
Sales tax 10,652,100 10,652,100 12,183,268 1,531,168
Other taxes 3,072,000 2,926,000 3,201,220 275,220
Intergovernmental 957,87Q 1,152,200 520,719 (631,481)
~ Licenses and permits 1,625,211 1,639,160 2,260,364 621,204
Charges for service 4,742,524 4,645,615 5,327,968 682,353
Interest 1,236,956 1,236,956 759,469 (477,48'~
Use of property 321,751 351,751 379,645 27,894
'
Fines and forfeitures 140,000 140,000 144,593 4,593
Other revenue 757,481 791,481 1,647,866 856,385
' Total revenues 44,973,643 45,003,013 48,566,115 3,563,102
EXPENDITURES:
Current:
'
General government 5,879,412 6,315,552 8,872,290 (2,556,738)
Public safety 24,742,786 24,223,634 22,998,116 1,225,518
Highways and streets 1,877,783 1,932,837 1,791,084 141,753
'
Health and welfare 57,925 84,180 71,680 12,500
Culture and leisure 7,634,334 7,729,118 7,266,830 462,288
Community development 4,875,843 5,446,310 5,276,269 170,041
' Total expenditures 45,068,083 45,731,631 46,276,269 (544,638)
REVENUES OVER (UNDER) EXPENDITURES (94,440) (728,618) 2,289,846 3,018,464
' OTHER FINANCING SOURCES (USES):
Transfer in - - 28,648 28,648
' Transfer out (4,748,943) (6,192,757) (3,429,024) 2,763,733
Total other financing sources (uses) (4,748,943) (6,192,75~ (3,400,376) 2,792,381
, NET CHANGE IN FUND BALANCES $ (4,843,383) $ (6,921,375) (1,110,530) $ 5,810,845
FUND BALANCES:
' Beginning of year 62,123,358
End of year
' $ 61,012,828
79
~ ~~ ~~ '
City of l~ublin '
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Required Supplementary Information, Continued
For the year ended June 30, 2010 '
Affordable Housing Special Revenue Fund
REVENUES:
Interest
Loan Repayment
Charges for services
Developer fees
Total revenues
EXPENDITURES:
Current:
General Government
Health and welfare
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfers in
Total financing sources (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with '
Final Budget -
Budgeted Amounts Actual Positive
Origina]
Final
Amounts '
(Negative)
$ 237,397 $ 237,397 $ 312,348 $ 74,951 '
- - 1,111,768 1,111,768
40,125 40,125 22,416 (17,709)
184,225 184,225 - (184,225) ~
461,747 461,747 1,446,532 984,785
51,250
113,500
85,455 1
28,045
3,807,296
4,114,513
1,432,282 t
2,682,231
3,858,546 4,228,013 1,517,737 2,710,276
(3,396,799) (3,766,266) (71,205) 3,695,061 ,
- - 6,596 6,596 '
- - 6,596 6,596
$ (3,396,799) $ (3,766,266) (64,609) $ 3,701,657 ,
12,903,285 '
$ 12,838,676 '
'
'
80 '
1
'
'
'
'
'
'
'
'
'
1
'
'
'
'
'
'
1
'
'
'
~~ ~~ ~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Required Supplementary Information, Continued
For the year ended June 30, 2010
Parks Capital Project Fund
Budgeted Amounts
Original Final
REVENUES:
Total revenues
EXPENDITURES:
Capital outlay:
Parks
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfersin
Total financing sources (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
$
Variance with
Final Budget -
Actual Positive
Amounts (Negative)
_ $ -
12,743,393 13,479,777 10,706,350 2,773,427
12,743,393 13,479,777 _ 10,706,350 2,773,427
(12,743,393) (13,479,77~ (10,706,350) 2,773,427
12,743,393 13,479,777 10,706,350 (2,773,427)
12,743,393 13,479,777 10,706,350 (2,773,42~
$ - $ - - $ -
W -
81
~~~z ~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Required Supplementary Information, Continued
For the year ended June 30, 2010
Streets Capital Project Fund
REVENUES:
Total revenues
EXPENDITURES:
Capital outlay:
Streets
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfers in
Total financing sources (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Budgeted Amounts
Original Final
- $ - $
20,639,642 20,641,309
20,639,642 20,641,309
(20,639,642) (20,641,309)
20,639,642 20,641,309 13,771,481 (6,869,828)
20,639,642 20,641,309 13,771,481 (6,869,828)
$ - $ - 9,314 $ 9,314
W l~J1Y
Variance with
Final Budget -
Actual Positive
Amounts (Negative)
- $ -
13,762,167 6,879,142
13,762,167 6,879,142
(13,762,167) 6,879,142
82
,
City of Dublin ~~I ~ ~ ~'~'
, Required Supplementary Information, Continued
For the year ended June 30, 2010
'
Schedule of Funding in Progress
, Miscellaneous Plan of the California Public Employee Retirement System
The City contributes to the California Public Employee's Retirement System (Ca1PERS), as an agent
' multiple - employer public employee defined benefit pension plan. As part of the actuarial valuation date
of June 30, 2003, the City's miscellaneous plan became part of a CaIPERS Risk Pool for employers with less
than 100 active plan members. As part of a cost sharing, multiple-employer defined benefit plan, disclosure
' of the Schedule of Funding progress is not required. Information on the funding schedule for the pool may
be obtained with Ca1PERS.
, Schedule of Fundin ig n Progress
Other Post Employment Benefit (OPEB)
' The City contributes to the California Public Employee's Retirement System became part of a Ca1PERS Risk
Pool for employers with less than 100 active plan members. As part of a cost-sharing multiple-employer
' defined benefit plan, disclosure of the schedule of funding progress is not required
' Actuarial
Accrued
Unfunded
UAAL as a
Actuarial Liability (Overfunded) Percentage of
1 Actuarial
Valuation Value of
Assets (AAL) -
Eniry Age AAL
(UAAL) Funded
Ratio Covered
Payroll Covered
Payroll
Date (A) (B) (B-A) (A/B) (C~ ((B-A)/C~
6/30/2004 - 4,973,780 4,973,780 0.0% 6,320,280 78.7%
' 6/30/2007 5,694,000 6,159,000 465,000 92.5% 6,697,747 6.9%
6/30/2009 5,326,000 6,990,000 1,664,000 76.2% 7,618,000 21.8%
'
'
,
'
,
,
' 83
~oo.~ ~~~
~
This page intentionally left blank. '
J~~
'
,
'
~
84 ,
'
lol D~, ~~
'
SUPPLEMENTARY INFORMATION
r
~
~
~
~
~
~
~
~
~
~
r
t
~
~ 85
~~oZ ~ ~~ ~
~
1
This page intentionally left blank.
'
,
1
~
'
86 ,
,
1~3~ ~~~.
GENERAL FUND
, The General Fund is used to account for all financial resources except those required to be accounted for in
another fund.
'
,
'
'
'
'
'
'
'
'
'
'
' 8~
~o~ ~ a.~~-
City of Dublin
Schedule of Budget Versus Actual Revenues by Sources
General Fund
For the year ended June 30, 2010
Property Taxes:
Current year secured
Current year unsecured
Supplemental property tax
Prior year secured
Prior year unsecured
Property tax penalties
In lieu property tax
Housing Authority Pilot tax
Sub-total
Taxes Other Than Property:
Sales & use tax
In lieu sales tax
Real property transfer tax
Hotel transient occupancy tax
Franchise taxes
Sub-total
License and Permits:
Building permits
Animal licenses
Planning permits
Encroachment permits
Construction and demolition permits
Grading permits
Police permits
Business license
Fire permits
Sub-total
Fines and Forfeitures:
Parking fines
Business license penalties
Other court fines
Other fines & penalties
Sub-total
Revenue From Use of Money and Property:
Interest
Interest designated
Change in Fair Market Value of Investments
Rent & Concession:
Field rentals
Pool
Picnic area
Heritage Center
Facility rentals
Dublin Square Property Rental
Sub-total
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 15,840,000 $ 15,840,000 $ 16,315,061 $ 475,061
950,000 950,000 1,087,500 137,500
505,000 505,000 266,295 (238,705)
600,000 600,000 800,661 200,661
14,550 14,550 3,869 (10,681)
195,000 195,000 248,021 53,021
3,360,000 3,360,000 3,401,946 41,946
3,200 3,200 17,650 14,450
21,467,750 21,467,750 22,141,003 673,253
7,959,600 7,959,600 9,137,451 1,177,851
2,692,500 2,692,500 3,045,817 353,317
282,000 282,000 372,646 90,646
575,000 484,000 557,000 73,000
2,215,000 2,160,000 2,271,574 111,574
13,724,100 13,578,100 15,384,488 1,806,388
1,319,448 1,229,448 1,882,271 652,823
4,000 4,000 4,499 499
- 40,000 37,468 (2,532)
36,770 76,770 50,960 (25,810)
59,828 59,828 58,602 (1,226)
- - 2,504 2,504
- 23,949 23,665 (284)
139,000 139,000 136,004 (2,996)
66,165 66,165 64,391 (1,774)
1,625,211 1,639,160 2,260,364 621,204
85,000 85,000 76,538 (8,462)
- 4,500 3,450 (1,050)
50,000 50,000 64,275 14,275
5,000 500 330 (170)
140,000 140,000 144,593 4,593
1,236,956 1,236,956 1,531,865 294,909
- - 45,097 45,097
- - (817,493) (817,493)
90,745 60,745 59,679 (1,066)
24,125 - 6,800 6,800
- 10,000 12,816 2,816
3,100 3,100 8,696 5,596
161,781 235,906 249,654 13,748
42,000 42,000 42,000 -
1,558,707 1,588,707 1,139,114 (449,593)
(Continued)
88
,
,
~
,
'
1
,
,
'
'
1
,
'
1
'
'
'
'
'
IO~~ ~ ~.~
City of Dublin
Schedule of Budget Versus Actual Revenues by Sources
General Fund, Continued
For the year ended June 30, 2010
Intergovernmental Revenues:
Motor Vehicle In Lieu
Homeowner's property tax relief
Mandated Costs
Federal grant
Other state grants
Sub-total
Charges for Services:
Zoning & subdivision fees
Plan check & inspection fees
Sale of maps and documents
Special police services
Fire plan check and inspection fees
Fire services
Waste management admin fees
Cemetery
Heritage Center
Cultural arts
Special events
Recreation instruction
Preschool
Teens
Building use insurance
Senior Program
Sports Program
Family Program
Aquatics
Zone 7 drainage fees
Local share permit surcharge - SMIP
Engineering plan checking
Green Building fees
Annexation
Cable support fees
Sub-total
Other Revenues:
Contributions
Miscellaneous
Reimbursement - general
Reimbursement - public damage
Reimbursement - Community Benefit Assessment
Sub-total
Total revenues by sources
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 110,000 $ 110,000 $ 141,221 $ 31,221
187,000 187,000 179,728 (7,272)
- - 12,511 12,511
- 200,000 180,647 (19,353)
660,870 655,200 6,612 (648,588)
957,870 1,152,200 520,719 (631,481)
875,273 1,125,273 1,548,854 423,581
1,046,492 - 1,119 1,119
5,000 5,000 3,438 (1,562)
70,500 792,091 793,786 1,695
- 61,725 101,114 39,389
861,725 - 4,280 4,280
148,000 139,500 148,653 9,153
4,695 4,695 - (4,695)
6,270 6,270 6,173 (9~
129,100 129,100 128,436 (664)
103,770 103,770 139,126 35,356
142,305 142,305 169,767 27,462
288,920 388,920 375,451 (13,469)
10,510 10,510 5,119 (5,391)
4,094 4,094 10,976 6,882
98,530 98,530 102,939 4,409
305,750 355,750 375,759 20,009
360,080 320,080 285,857 (34,223)
204,894 174,894 164,621 (10,273)
2,016 2,016 4,899 2,883
- - 1,112 1,112
- 706,492 802,452 95,960
600 600 609 9
- - 73,826 73,826
74,000 74,000 79,602 5,602
4,742,524 4,645,615 5,327,968 682,353
74,850 108,850 61,526 (47,324)
28,930 28,930 78,149 49,219
447,640 447,640 742,768 295,128
15,561 15,561 28,511 12,950
190,500 190,500 736,912 546,412
$ 44,973,643 $ 45,003,013 $ 48,566,115 $ 3,563,102
(Concluded)
89
~~~-~ ~2 ~
City of Dublin
Schedule of Budget Versus Actual Departmental Expenditures
General Fund
For the year ended june 30, 2010
General Government:
City Council
City Manager
Election
Central services
City Attorney
Administrative services
Building management
Non-departmental
Sub-total
Public Safety:
Police
Fire services
Disaster preparedness
Crossing guards
Animal control
Traffic signals and street lighting
Sub-total
Highways and Streets:
Pubiic works administration
Street maintenance
Street landscape maintenance
Sub-total
Health and Welfare:
Child care
Environmental programs
Socialservices
Sub-total
Culture and Leisure:
Community cable television
Library services
Heritage and Culture Arts
Park maintenance
Parks and community services
Parks and facilities management
Sub-total
Community Development:
Development services
Engineering
Economic development
Sub-total
Total expenditures
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Finai Amounts (Negative)
$ 347,643 $ 428,043 $ 353,408 $ 74,635
1,113,464 1,118,464 1,098,683 19,781
3,620 3,620 1,945 1,675
1,029,072 1,260,572 1,187,361 73,211
556,567 750,567 727,015 23,552
1,892,302 1,904,702 1,785,564 116,138
750,103 750,103 703,853 46,250
186,641 99,481 3,011,461 (2,911,980)
5,879,412 6,315,552 8,872,290 (2,556,738)
13,763,076 13,240,191 12,281,022 959,169
10,362,464 10,366,197 10,203, 635 162,562
126,389 126,389 107,025 19,364
100,830 100,830 100,659 171
375,620 375,620 293,357 82,263
14,407 14,407 12,418 1,989
24,742,786 24,223,634 22,998,116 1,225,518
906,820 906,820 784,658 122,162
247,157 152,148 143,562 8,586
723,806 873,869 862,864 11,005
1,877,783 1,932,837 1,791,084 141,753
18,500 18,500 18,500 -
- 26,255 13,755 12,500
39,425 39,425 39,425 -
57,925 84,180 71,680 12,500
81,645 83,659 83,659 -
820,311 820,311 815,019 5,292
486,405 847,602 768,932 78,670
1,936,552 2,023,422 1,753,494 269,928
4,053,696 3,698,899 3,625,582 73,317
255,725 255,225 220,144 35,081
7,634,334 7,729,118 7,266,830 462,288
$ 3,199,892 $ 3,688,468 $ 3,575,840 $ 109,628
1,325,451 1,403,342 1,397,678 5,664
350,500 354,500 299,751 54,749
4,875,843 5,446,310 5,276,269 170,041
~ 45,u6t~,utS3 $ 45,731,631 $ 46,276,269 $ (544,638)
90
'
,
'
'
'
'
1
'
'
'
'
'
1
'
1
1
'
1
'
~fl1~ ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
General Improvements Capital Projects Fund
For the year ended June 30, 2010
REVENUES:
Total revenues
EXPENDITURES:
Capital outlay:
General improvements
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfers in
Total financing sources (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
1,887,725 2,831,010
1,887,725 2,831,010
(1,887,725) (2,831,010)
742,754 2,088,256
742,754 2,085,256 .
(742,754) 2,088,256
1,887,725 2,831,010 742,754 (2,088,256)
1,887,725 2,831,010 742,754 (2,088,256)
$ - $ - - $ -
91
cc~~ ~ ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Community Improvements Capital Project Fund
For the year ended June 30, 2010
Budgeted Amounts
Original Final
REVENUES:
Total revenues
EXPENDITURES:
Capital outlay:
Community improvements
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfers in
Total financing sources (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
$ - $ - $
Variance with
Final Budget -
Actual Positive
Amounts (Negative)
- $ -
214,228 249,741 82,333 167,408
214,228 249,741 82,333 167,408
(214,228) (249,741) (82,333) 167,408
214,228 249,741
214,228 249,741
$ - $ -
82,333 (167,408)
82,333 (167,408)
- $ -
~ -
92
'
1
1
'
1
1
'
'
1
'
'
~
1
'
~
'
1
t
,
I~a~ ~~~
City of Dublin ~
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Public Facilties Impact Fees Capital Project Fund
For the year ended June 30, 2010
REVENUES:
Interest
Developer fees
Otherrevenue
Total revenues
EXPENDITURES:
Current:
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfers out
Total financing sources (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
93
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 49,093 $ 49,093 $ 15,012 $ (34,081)
6,127,426 1,517,976 2,837,617 1,319,641
- - 2,882 2,882
6,176,519 1,567,069 2,855,511 1,288,442
6,176,519 1,567,069
2,855,511
1,288,442
955,434
(8,421,665) (8,967,109) (8,011,675)
$ (2,245,146) $ (7,400,040) (5,156,164) $ 2,243,876
3,796,121
~-,_ _ _,.. _..,
I ~ o .a~2~`~
City of Y~ublin
Schedule of Ilevenues, Expenditures and Changes in Fund Balanees - Budget and Actual
Fire Impact Fees Capital Project Fund
~or the year ended June 30, 2010
REVENUES:
Developer fees
Total revenues
EXPENDITURES:
Current:
Public safety
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Budgeted Amounts
Original Final
227,546 227,546
227,546 227,546
$ 227,546 $ 227,546
Variance with
Final Budget -
Actual Positive
Amounts (Negative)
74,540 $ (153,006)
42,090 (42,090)
32,450 (195,096)
32,450 $ (195,096)
(1,841,336)
$ (1,808,886)
94
1
~
~
'
'
1
~
~
~
~
'
'
t
'
'
~
'
~
,
. I I l p~ Z. :~ ~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Traffic Impact Fees Capital Project Fund
For the year ended June 30, 2010
REVENUES:
Interest
Developer fees
Other revenue
Total revenues
EXPENDITURES:
Current:
Highways and streets
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfers out
Total financing sources (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 5,322 $
1,229,477
1,234,799
2,050
2,050
1,232,749
5,322 $ 205,878 $ 200,556
967,047 1,473,723 506,676
46,408 34,660 (11,748)
1,018,777 1,714,261 695,484
48,458
970,319
495,282 (446,824)
1,218,979 248,660
(12,598,656) (11,761,70'~ (6,848,129) 4,913,578
$ (11,365,90'~ $ (10,791,388)
95
~~ z ~~ . , ~
(5,629,150) $ 5,162,238
11,892,035
1(Z ~~~' ~
~
This page intentionally left blank. `
'
'
~
~
~
96 '
1
i-3.~2~~
~ NON-MAJOR
GOVERNMENTAL FUNDS
~
, Special Revenue Funds are used to account for the proceeds of specific revenue sources (other than major
capital projects) that are legally restricted to expenditures for specific purposes.
~ PUBLIC SAFETY:
' Special Criminal Activity Fund - Established to ac~ount for receipt of funds derived from asset forfeitures.
Vehicle Abatement Fund - Established to account for the use of funds received from vehicle registration of
' Dublin residents for the towing of abandoned vehicles in city limits.
Supplemental Law Enforcement (SLES/COPS) - Established to account for police expenditures funded by a
~ State grant.
Local Law Enforcement Block Grant - Established to account for police expenditures funded by a Federal
~ grant.
1 Traffic Safety Fund - Established to account for the receipt of traffic fines and traffic safety expenditures.
Federal Asset Seizure Fund - Established to account for the receipt of the Federal seizure funds
EMS Fund - Established to account for excise taxes received to fund the costs of providing Emergency
' Medical Services.
Enforcement Grant Fund - Established to account for miscellaneous grants received for Public Safety related
~ expenditures not reported in the above funds.
TRANSPORTATION:
~ State Gas Tax Fund - Established to account for receipt of state gasoline taxes and ex enditures.
p
' SAFETEA-LU Fund - Established to account for the revenue received from the U.S. Department of
Transportation under the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legal for Users
, fund.
Measure B Sales Tax Fund - Local Streets - Established to account for an Alameda County voter approved
~ increase in sales tax used for improvements on streets and roads.
Measure B Sales Tax Fund - Bike and Pedestrian - Established to account for an Alameda County voter
~ approved increase in sales tax used for bike and pedestrian related projects.
' 97
~i~~~~~
NOI~T-MAJOIZ
GOVERNM]ENTAL FUNDS
TRANSPORTATION, Continued:
Congestion Management Agenry Facnr~ - Established to account for funds received from the Alameda County
Congestion Management Agency.
Traffic Congestion Relief Fund - Established to account for traffic congestion relief expenditures funded by a
State grant.
ENVIRONMENTAL:
Measure D Recycling Fund - Established to account for the use of funds received which are levied by the
County pursuant to a charter amendment and are provided for recycling and related activities. This fund
also accounts for other locally derived funds for recycling related activities
Garbage Service Fund - Established to account for the use of funds received which are levied by the county
on behalf of the City for garbage pick-up and removal and recycling services.
Local Recycling Fund - Established to account for locally derived funds collected for a commercial organic
and recycling program and activities retained by the City at the end of the franchise held by Waste
Management Inc. These funds are independent of the funds distributed by Stop Waste pursuant to the
Alameda County Recycling Measure.
American Recovery and Reznvestment Act Fz~nd - Established to account for the use of funds received from
the Federal governments related to environmental activities.
Storm Water Management Fund - Established to account for the funds received from the State and
designated specifically for the use of storm water related activities.
Box Culvert Fund - Established to account for the funds designated for the maintenance and repairs of box
culvert in the East Dublin area.
Dublirr/Dougherty Storm Water Management Fund - Established to account for funds designated for the
management of the Dublin/Dougherty area storm water units.
Village Parkway Storm Water Management Fund - Established to account for funds designated for the
management of the Village Parkway area storm water units.
PARKS, CULTURAL, AND ARTS:
East Bay Regional Park District - Establish to account for the funds received from the East Bay Regional
Park District from the Measure WW - Extend Existing East Bay Regional Park District Bond With No
Increase In Tax Rate approved by voters on November 4, 2008.
98
~ ~~~ a z~
~ NON-MAJOR
GOVERNMENTAL FUNDS
~
PARKS, CULTURAL, AND ARTS, Continued:
Public Art Fund - Establish to account for the fees received from developers of properties, which can only be
used for the purchase design, development, and construction of Public Art projects within the City of
Dublin.
HEALTH AND WELFARE:
Community Development Block Grant (CDBG) Fund - Used to account for grants and expenditures related
to Community Development Block Grants received.
Noise Mitigation Fund - Establish to account for the fees received from developers of properties, which can
only be used for the noise mitigation measures.
MAINTENANCE DISTRICTS:
Established to account for revenue and related expenditures of lighting and landscape districts.
99
City of Dublin ~ ~ ~ ~ ~ ~~
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2010
Special Revenue Funds
Special Supplemental Local Law
Giminal Vehicle Law Enforcement
Activity Abatement Enforcement B1ock Grant Traffic Safety
ASSETS
Cash and investments $ 82,053 $ 186,344 $ 27,720 $ 8,630 $ 85,812
Accounts receivable - - 8,377 - 802
Total assets $ 82,053 $ 186,344 $ 36,097 $ 8,630 $ 86,614
LIABILITIES AND
FUND BALANCES
Liabilities:
Accounts payable $ - $ 225 $ 36,097 $ - $ 47,816
Due to other funds - - - - -
TotalliabiliHes - 225 36,097 - 47,816
Fund Balances:
Reserved for:
Public safety programs 82,053 186,119 - 8,630 38,798
Street maintenance and construction - - - - -
Health and welfare programs - - - - -
Recycling programs - - - - -
Capital improvement projects - - - - -
Total fund balances 82,053 186,119 - 8,630 38,798
Total liabilities and fund balances $ 82,053 $ 186,344 $ 36,097 $ 8,630 $ 86,614
100
,
~
~
~
I
,
~
~
'
~
l~-t~ zzz.
Special Revenue Funds
Emergency Measure B Measure B Congestion
Federal Asset Medical Enforcement Sales Tax Sales Tax Management
Seizure Fund Services Grants State Gas Tax SAFETEA-LU Local Streets Bike/Pedestrian Agency
$ 4,504 $ 51,443 $ - $ 1,318,454 $ 91,466 $ 245,164 $ 482,713 $ -
- 44,136 11,722 - 1,120,254 411,185 16,682 289,000
$ 4,504 $ 95,579 $ 11,722 $ 1,318,454 $ 1,211,720 $ 656,349 $ 499,395 $ 289,000
$ - $ 86,226 $ 3,212 $ 60,122 $ - $ - $ - $ -
- - 8,510 - 1,211,720 - - 289,000
- 86,226 11,722 60,122 1,211,720 - - " 289,000
4,504 9,353 - - - - - _
- - - 1,258,332 - 656,349 - -
- - - - - - 499,395 -
4,504 9,353 - 1,258,332 - 656,349 499,395 -
$ 4,504 $ 95,579 $ 11,722 $ 1,318,454 .$ 1,211,720 $ 656,349 $ 499,395 $ 289,000
(Continued)
101
~~`Z~L~ ~a.~v
City of Dublin
Combining Balance Sheet
Non-Major Governmental Funds, Continued
june 30, 2010
Special Revenue Funds
(TCRF) Traffic American
Congestion Measure D Garbage Local Recovery &
Relief Recycling Service Recycling ReInvestment
ASSETS
Cash and investments $ 323,380 $ 202,676 $ 38,791 $ 440,949 $ -
Accounts receivable 122,263 55,053 18,620 - 4,939
Total assets $ 445,643 $ 257,729 $ 57,411 $ 440,949 $ 4,939
LIABILITIES AND
FUND BALANCES
Liabilities:
Accounts payable $ - $ 5,930 $ - $ (45) $ -
Due to other funds - - - - 4,939
Totalliabilities - 5,930 - (45) 4,939
Fund Balances:
Reserved for:
Public safety programs - - - - -
Street maintenance and construction 445,643 - - - -
Health and welfare programs - - 57,411 - -
Recycling programs - 251,799 - 440,994 -
Capital improvement projects - - - - -
Total fund balances 445,643 251,799 57,411 440,994 -
TotalliabiliHes and fund balances $ 445,643 $ 257,729 $ 57,411 $ 440,949 $ 4,939
102
~
'
,
,
'
~
~
~
~
~
~
'
'
~
~
~
,
~
,
I l°t ~ 2 ~~°
,
Special Revenue Funds
Storm Dublin/ Village East Bay Noise Community
Water pougherty Parkway Regional Public Art Mitigation Development
Management Box Culvert Storm Water Storm Water Park District Fund Fund Block Grant
$ 183,685 $ 343,882 $ 106,034 $ 80,160 $ - $ 375,002 $ 61,662 $ -
- - - - 306,536 - - 51,718
$ 183,685 $ 343,882 $ 106,034 $ 80,160 $ 306,536 $ 375,002 $ 61,662 $ 51,718
$ - $ - $ - $ - $ - $ - $ - $ 278
- - - - 306,536 - - 51,440
- - - - 306,536 - - 51,718
183,685 343,882 106,034 80,160 - - - -
- - - - - - 61,662 -
- - - - - 375,002 - -
183,685 343,882 106,034 80,160 - 375,002 61,662 -
$ 183,685 $ 343,882 $ 106,034 $ 80,160 $ 306,536 $ 375,002 $ 61,662 $ 51,718
(Continued)
103
City of Dublin
Combining Balance Sheet
Non-Major Governmental Funds, Continued
June 30, 2010
~ ~~~ ~ ~~ '
~
Special Revenue Funds
Maintenance Districts Total
1983-1 1983-2 1986-1 1997-1 1999-1 Non-Major
Street Stagecoach Dougherty Santa Rita East Dublin Governmental
Lighting Landscape Landscape Landscape Street Lightin€ Funds
ASSETS
Cash and investments $ 185,536 $ 38,366 $ 94,700 $ 220,875 $ 360,696 $ 5,640,697
Accounts receivable 3,348 312 299 331 1,755 2,467,332
Total assets $ 188,884 $ 38,678 $ 94,999 $ 221,206 $ 362,451 $ 8,108,029
LIABILITIES AND
FUND BALANCES
Liabilities:
Accounts payable $ 37,211 $ 9,318 $ 9,288 $ 29,221 $ 17,476 $ 342,375
Due to other funds - - - - - 1,872,145
Totalliabilities 37,211 9,318 9,288 29,221 17,476 2,214,520
Fnnd Balances:
Reserved for:
Public safety programs - - - - - 329,457
Street maintenance and construction 151,673 29,360 85,711 191,985 344,975 3,877,789
Health and welfare programs - - - - - 119,073
Recycling programs - - - - - 692,793
Capital improvement projects - - - - - 874,397
Total fund balances 151,673 29,360 85,711 191,985 344,975 5,893,509
Total liabilities and fund balances $ 188,884 $ 38,678 $ 94,999 $ 221,206 $ 362,451 $ 8,108,029
(Concluded)
104
i2~~ ~.~~
~
~
,
,
,
~
~
~
~
~
~
This page intentionally left blank.
105
~ aa~j~~~
City of Dublin
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
Non-Major Governmental Funds
For the year ended June 30, 2010
REVENUES:
Property taxes
Taxes other than property
Intergovernmental
Charges for service
Interest
Fines and forfeitures
Developer Fees
Otherrevenue
Special assessments
Total revenues
EXPENDITURES:
Current:
Public safety
Highways and streets
Health and welfare
Cultural and Leisure
Community development
Total expenditures
REVENUES OVER
(UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfer in
Transfer out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCES
FUND BALANCES:
Beginning of year
End of year
Special Revenue Funds
Special Supplemental Local Law
Criminal Vehicle Law Enforcement
Activity Abatement Enforcement Block Grant Traffic Safety
$ - $ - $ - $ - $ -
- 32,176 100,000 36,895 -
1,107 4,387 331 305 $ 2,501
- - - - 168,185
44,883 - - - 25,279
45,990 36,563 100,331 37,200 195,965
3,712 1,295 100,331 28,570 260,754
3,712 1,295 100,331 28,570 260,754
42,278 35,268 - 8,630 (64,789)
- (16,421) - - _
- (16,421) - - _
42,278 18,847 - 8,630 (64,789)
39,775 167,272 - - 103,587
$ 82,053 $ 186,119 $ - $ 8,630 $ 38,798
106
~a3~ ~~~
Special Revenue Funds
Federal Emergency Measure B Measure B Congestion
Asset Medical Enforcement Sales Tax Bike and Management
Seizure Services Grants State Gas Tax SAFETEA-LU Transportation Pedestrian Agency
$ - $ 145,206 $ - $ - $ - $ - $ - $ -
- - - - - 294,477 104,134 -
- 171,573 26,391 716,165 2,118,373 1,726,156 - 289,000
80 1,574 - 67,343 - 23,783 11,305 -
4,424 - - - - - - -
4,504 318,353 26,391 783,508 2,118,373 2,044,416 115,439 289,000
- 380,012 26,391 32,850 - - - -
- - - 306,656 - - 8,770 -
- - - 6,000 - - - -
- 380,012 26,391 345,506 - - 8,770 -
4,504 (61,659) - 438,002 2,118,373 2,044,416 106,669 289,000
- - - (1,076,598) (2,118,373) (2,257,874) (52,060) (289,000)
- - - (1,076,598) (2,118,373) (2,257,874) (52,060) (289,000)
4,504 (61,659) - (638,596) - (213,458) 54,609 -
- 71,012 - 1,896,928 - 869,807 444,786 -
$ 4,504 $ 9,353 $ - $ 1,258,332 $ - $ 656,349 $ 499,395 $ -
(Continued)
107
~a~~~~.~
City of Dublin
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
Non-Major Governmental Funds
For the year ended June 30, 2010
Special Revenue Funds
American
Traffic Recovery
Congestion Measure D Garbage Local and
Relief Recycling Service Recycling Reinvestment
REVENUES:
Property taxes $ - $ - $ - $ - $ _
Taxes otherthan property - - - _ _
Intergovernmental 435,615 202,820 - - 4,939
Charges for service - - 1,750,019 - -
Interest 10,028 4,982 3,276 11,960 -
Fines and forfeitures - - - - -
Developer Fees - - - - _
Other revenue - 12,365 - - -
Special assessments - - - - _
Total revenues 445,643 220,167 1,753,295 11,960 4,939
EXPENDITURES:
Current:
Public safety - - - - _
Highways and streets - 2,394 - - 4,939
Health and welfare - 249,900 1,715,943 128,057 -
Cultural and Leisure - - - - -
Community development - - - - -
Total expenditures - 252,294 1,715,943 128,057 4,939
REVENUESOVER
(UNDER) EXPENDITURES 445,643 (32,127) 37,352 (116,097) -
OTHER FINANCING SOURCES (USES):
Transfer in - - - - -
Transfer out (406,987) - - - -
Total other financing sources (uses) (406,98'~ - - - -
NET CHANGE IN FUND BALANCES 38,656 (32,127) 37,352 (116,097) -
FUND BALANCES:
Beginning of year 406,987 283,926 20,059 557,091 -
End of year $ 445,643 $ 251,799 $ 57,411 $ 440,994 $ -
108
~a~~ ~~-~
~ Special Revenue Funds
East Bay
Storm Dublin/ Village Regional Public Community
~ Water Box Dougherty Parkway Park Art Noise Development
Management Culvert Storm Water Storm Water District Fund Mitigation Block Grant
' $ $ $ $
$ _ $ _ $ _ $ _
_
220,000 _
- _
- _
80,000 1,171,624 - - 98,791
t 363 8,154 2,514 160 - 9,035 1,441 -
~ _ _ _ _ _ = 1,459 =
220,363 8,154 2,514 80,160 1,171,624 9,035 2,900 98,791
1
1 _ _ _ _ _ _ _ _
_ _ - - - - - 55,435
1 - - - - - 975 - -
- - - - - 975 - 55,435
1
~ 220,363 8,154 2,514 80,160 1,171,624 8,060 2,900 43,356
~ -
(36,678) 335,728 103,520 = -
(1,171,624) -
(8,837) _ -
(43,356)
(36,678) 335,728 103,520 - (1,171,624) (8,837) - (43,356)
1 183,685 343,882 106,034 80,160 - (77'~ 2,900 -
~ - - - - - 375,779 58,762 -
$ 183,685 $ 343,882 $ 106,034 $ 80,160 $ - $ 375,002 $ 61,662 $ -
~ (Continued)
'
~ 109
iac~ ~ ~~~
City of Dublin
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
Non-Major Governmental Funds
For the year ended June 30, 2010
Special Revenue Funds
REVENUES:
Property taxes
Taxes other than property
Intergovernmental
Charges for service
Interest
Fines and forfeitures
Developer Fees
Otherrevenue
Special assessments
Total revenues
EXPENDITURES:
Current:
Public safety
Highways and streets
Health and welfare
Cultural and Leisure
Community development
Total expendilures
REVENUESOVER
(UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transferin
Transfer out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCES
FUND BALANCES:
Beginning of year
End of year
Ma~ntenance IJistricts Total
1983-1 1983-2 1986-1 1997-1 1999-1 Non-Major
Street Stagecoach Dougherty Santa Rita East Dublin Governmental
Lighting Landscape Landscape Landscape StreetLighting Funds
$ - $ - $
4,316 403
12 -
265,236 68,301
269,564 68,704
- $ - $
1,817 4,118
100,088 256,771
101,905 260,889
- $ 145,206
- 398,611
- 7,430,518
- 1,750,019
7,318 182,601
- 168,185
- 1,459
6,106 93,069
177,952 868,348
191,376 11,038,016
261,981 -
- 61,737
4,508 3,043
266,489 64,780
3,075 3,924
91,404 223,045
3,037 3,209
94,441 226,254
7,464 34,635
105,058 1,200,954
- 698,945
- 2,149,335
- 975
4,145 23,942
109,203 4,074,151
82,173 6,963,865
- - - - - 439,248
(3,423) (885) (1,299) (2,93~ (2,229) (7,488,581)
(3,423) (885) (1,299) (2,93~ (2,229) (7,049,333)
(348) 3,039 6,165 31,698 79,944 (85,468)
152,021 26,321 79,546 160,287 265,031 5,978,977
$ 151,673 $ 29,360 $ 85,711 $ 191,985 $ 344,975 $ 5,893,509
(Concluded)
110
~
r
~
~
'
'
,
~
~
~
1
~
'
~
~
~
'
~
~
I a--7 ~ ~ ~ ~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Special Criminal Activity Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Interest
Otherrevenue
Total revenues
EXPENDITURES:
Current:
Public safety
Total expenditures
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 710 $ 710 $ 1,107 $ 397
- - 44,883 44,883
710 710 45,990 45,280
5,250 5,250 3,712 1,538
5,250 5,250 3,712 1,538
$ (4,540) $ (4,540) 42,278 $ 46,818
39,775
w
111
- ~g~~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Vehicle Abatement Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Intergovernmental
Interest
Total revenues
EXPENDITURES:
Current:
Public safety
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING (USES):
Transfers out
Total other financing
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Budgeted Amounts
Original Final
$ 29,000 $ 29,000 $
Variance with
Final Budget -
Actual Positive
Amounts (Negative)
32,176 $ 3,176
1,975 1,975 1,295 680
1,975 1,975 1,295 680
30,816 30,816 35,268 4,452
- - (16,421) (16,421)
- - (16,421) (16,421)
$ 30,816 $ 30,816 18,847 $ (11,969)
167,272
112
'
,
~
1
'
r
'
,
~
1
'
'
'
'
,
~
~
'
~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Supplemental Law Enforcement Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Intergovernmental
Interest
Total revenues
EXPENDITURES:
Current:
Public safety
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
I 2~ ~ 2 Z-~
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ ~oo,ooo $ ~oo.ooo $ ~oo.ooo $ _
100,000 100,000 100,331 331
100,000 100,331 100,331 -
100,000 100,331 100,331 -
- (331) - 331
$ - $ (331) - $ 331
113
13~~ ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Local Law Enforcement Block Grant
For the year ended June 30, 2010
REVENUES:
Intergovernmental
Interest
Total revenues
EXPENDITURES:
Current:
Public safety
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Budgeted Amounts
Original Final
$ 36,895 $ 36,895 $
Variance with
Final Budget -
ual Positive
unts (Negative)
36,895 $ -
36,895 36,895 37,200 305
36,895 36,895
36,895 36,895
$ - $ -
28,570 8,325
8,630 (8,020)
8,630 $ 8,630
~
114
~
'
~
~
'
'
'
'
,
~
'
'
'
~
,
,
,
1
'
Budgeted Amounts
Original Final _
$ 485 $ 485 $
181,000 129,000
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Traffic Safety Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Interest
Fines and forfeitures
Otherrevenues
Total revenues
EXPENDITURES:
Current:
Public safety
Total expenditures
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
131~ zaz-
Variance with
Final Budget -
tual Positive
~unts (Negative)
2,501 $ 2,016
168,185 39,185
195,965 66,480
289,802 289,802 260,754 29,048
289,802 289,802 260,754 29,048
$ (108,317) $ (160,31'~ (64,789) $ 95,528
103,587
$ 38,798
115
I 32~ Z~~ ,
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Federal Asset Seizure Fund
For the year ended June 30, 2010
Budgeted Amounts Actual
Original Final Amounts
REVENUES:
Interest
Otherrevenues
Total revenues
EXPENDITURES:
Current:
Total expenditures
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
$ - $
Variance with
Final Budget -
Positive
(Negative)
- $ 80 $ 80 ~
- 4,424 4,424
- 4,504 4,504
- '
- - - - ,
$ - $ - 4,504 $ 4,504
116
~
~ ,
,
'
~
~
~
,
'
i
1
I~~~ zzz
City of Dublin '
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - EMS Special Revenue Fund
For the year ended June 30, 2010
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Fina] Amounts (Negative)
REVENUES:
Property taxes $ 138,150 $ 138,150 $ 145,206 $ 7,056
Intergovernmental 171,572 171,572 171,573 1
Interest 392 392 1,574 1,182
Total revenues 310,114 310,114 318,353 8,239
EXPENDITURES:
Current:
Public safety 384,337 384,337 380,012 4,325
Total expenditures 384,337 384,337 380,012 4,325
Net change in fund balance $ (74,223) $ (74,223) (61,659) $ 12,564
FUND BALANCE:
Beginning of year 71,012
End of year $ 9,353
117
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Enforcement Grants
For the year ended June 30, 2010 i~~~ ~~~
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES:
Intergovernmental $ - $ 35,280 $ 26,391 $ (8,889)
Total revenues - 35,280 26,391 (8,889)
EXPENDITURES:
Current:
Public safety - 35,280 26,391 8,889
Total expenditures - 35,280 26,391 8,889
Net change in fund balance $ - $ _ _ $ _
FUND BALANCE:
Beginning of year _
End of year $ _
118
'
'
,
1
'
'
'
'
'
'
'
'
~
,
,
1
~
'
'
135~ ~ZZ-
City of Dublin ~
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - State Gas Tax Special Revenue Fund
For the year ended June 30, 2010
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES:
Intergovernmental $ 757,300 $ 757,300 $ 716,165 $ (41,135)
Interest 31,663 31,663 67,343 35,680
Total revenues 788,963 788,963 783,508 (5,455)
EXPENDITURES:
Current:
Public safety 44,652 49,652 32,850 16,802
Highways and streets 382,956 382,956 306,656 76,300
Community development 6,000 6,000 6,000 -
Total expenditures 433,608 438,608 345,506 93,102
OTHER FINANCING (USES):
Transfers out (944,848) (1,148,802) (1,076,598) 72,204
Total other financing (944,848) (1,148,802) (1,076,598) 72,204
Net change in fund balance $ (589,493) $ (798,44~ (638,596) $ 159,851
FUND BALANCE:
Beginning of year 1,896,928
End of year $ 1,258,332
119
i3~~ ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances - ,
Budget and Actual - T.E.A Special Revenue Fund
For the year ended June 30, 2010 ,
Variance with ,
Final Budget -
Budgeted Amounts Actual Positive
Original
Final
Amounts
(Negative) '
REVENUES:
Intergovernmental $ 2,763,243 $ 2,188,659 $ 2,118,373 $ (70,286) '
Total revenues 2,763,243 2,188,659 2,118,373 (70,286)
EXPENDITURES: ,
Current: _ _ _ _
Total expenditures _ _ _ _ ,
OTHER FINANCING (USES):
Transfers out (2,763,243) (2,318,827) (2,118,373) 200,454
Total other financing
(2,763,243)
(2,318,82~
(2,118,373)
200,454 '
Net change in fund balance $ - $ (130,168) - $ 130,168 ,
FUND BALANCE:
Beginning of year _ ,
End of year $ _
'
'
'
,
,
'
'
120 ,
'
'
1
1
'
'
'
1
t
'
,
~
1
13~~ 2 ~~
City of Dublin `
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Measure B Sales Tax Transportation Special Revenue Fund
For the year ended June 30, 2010
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES:
Sales tax $ 339,633 $ 339,633 $ 294,477 $ (45,156)
Interest 5,331 5,331 23,783 18,452
Intergovernmental 2,396,287 2,396,287 1,726,156 (670,131)
Total revenues 2,741,251 2,741,251 2,044,416 (696,835)
EXPENDITURES:
Current: - - - -
Total expenditures - - - -
OTHER FINANCING (USES):
Transfers out (2,757,237) (3,367,984) (2,257,874) 1,110,110
Total other financing (2,757,237) (3,367,984) (2,257,874) 1,110,110
Net change in fund balance $ (15,986) $ (626,733) (213,458) $ 413,275
FUND BALANCE:
Beginning of year 869,807
End of year $ 656,349
121
i3~~Za~
r
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Measure B Bike and Pedestrian Special Revenue Fund
For the year ended June 30, 2010
Budgeted Amounts
Original Final
REVENUES:
Sales tax
Interest
Total revenues
EXPENDITURES:
Capital Outlay
Highways and streets
Total expenditures
$ 119,825 $ 119,825 $
9,412 9,412 _
13,568 13,568
13,568 13,568
OTHER FINANCING (USES):
Transfers out
Total other financing
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with ,
Final Budget -
Actual Posirive '
Amounts (Negative)
104,134 $ (15,691)
11,305 ,
1,893
115,439 (13,798)
'
8,770 4,798 ,
8,770 4,798
'
(36,786) (89,796) (52,060) 37,736 '
(36,786) (89,796) (52,060) 37,736
$ 78,883 $ 25,873 54,609 $ 28,736 '
444,786 '
$ 499,395
~
'
'
'
'
~
I22 ,
'
'
~
'
~
,
,
'
'
~
1
'
'
I ~~ zz~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Congestion Management Agency Fund
For the year ended June 30, 2010
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES:
Intergovernmental $ 156,000 $ 156,000 $ 289,000 $ 133,000
Total revenues 156,000 156,000 289,000 133,000
EXPENDITURES:
Current: - - - -
Total expenditures - - - -
OTHER FINANCING (USES):
Transfers out (156,000) (289,000) (289,000) -
Total other financing (156,000) (289,000) (289,000) -
Net change in fund balance $ - $ (133,000) - $ 133,000
FUND BALANCE:
Beginning of year -
End of year $ -
123
~ ~+o ~ ~z ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Traffic Congestion Relief Special Revenue Fund
For the year ended June 30, 2010
Budgeted Amounts
Original Final
REVENUES:
Intergovernmental
Interest
Total revenues
EXPENDITURES:
Current:
Total expenditures
OTHER FINANCING (USES):
$ 443,940 $ 443,940 $
9,469 9,469
453,409 453,409 _
Transfers out
Total other financing
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Actual
Variance with -
Final Budget - ~
Positive
(Negative)
435,615 $ (8,325) '
10,028 559
445,643 (7,766) '
- ~ - '
(404,425) (406,98~ (406,98~
$ 48,984 $ 46,422
38,656 $ (7,766) '
406,987 '
$ 445,643
124
~
'
'
~
'
,
~
'
1
a~
~
~
'
,
~
,
l ~-F L ~ ~ ~z.
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Measure D Recycling Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Intergovernmental
Interest
Otherrevenue
Total revenues
EXPENDITURES:
Current:
Highways and streets
Health and welfare
Total expenditures
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 214,687 $ 232,793 $ 202,820 $ (29,973)
44 44 4,982 4,938
3,000 3,000 12,365 9,365
217,731 235,837 220,167 (15,670)
- 2,394
258,775 289,476
$ (41,044) $ (56,033)
125
2,394 -
252,294 39,576
(32,12'~ $ 23,906
283,926
~~ ~~~~ ~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Garbage Service Special Revenue Fund
For the year ended June 30, 2010
RE V ENUES:
Charges for services
Interest
Total revenues
EXPENDITURES:
Current:
Health and welfare
Total expenditures
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 1,688,500 $ 1,708,500 $ 1,750,019 $ 41,519
- - 3,276 3,276
1,688,500 1,708,500 1,753,295 44,795
1,696,078 1,716,078 1,715,943 135
1,696,078 1,716,078 1,715,943 135
$ (7,578) $ (7,578)
37,352 $ 44,930
20,059
126
W
,
1
'
~
,
1
'
'
~
,
'
'
,
i
~
1
1
1
i
I ~-I-3 ~ Z ~ ~°
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Local Recycling Program Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Interest
Total revenues
EXPENDITURES:
Current:
Health and welfare
Total expendiiures
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ i2,on $ i2,on $ 11,960 $ ~iiz~
149,058 149,058 128,057 21,001
149,058 149,058 128,057 21,001
$ (136,987) $ (136,98~
(116,097) $ 20,889
557,091
12~
w
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - American Recovery & Re-Investment Act
For the year ended June 30, 2010
REVENUES:
Intergovernmental
Total revenues
EXPENDITURES:
Current:
Highways & streets
Total expenditures
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
~~~~~~~ 1
~
,
Variance with ~
Final Budget -
Budgeted Amounts Actual Positive '
Original Final Amounts (Negative)
$ _ $
4,939 $ 4,939 $ - ~
- 4,939
- 4,939
$ - $ -
128
4,939 -
,
4,939 - ~
4,939 -
- $ -
~
$ = r
'
t
'
t
~
'
'
'
i
,
'
~
'
'
~
,
'
~
'
'
'
1
~
~
~
'
~
'
I 45 ~ ~ Z~
City of Dublin ~ ~ ~
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Storm Water Management Fund
For the year ended June 30, 2010
REVENUES:
Intergovernmental
Interest
Total revenues
EXPENDITURES:
Current:
Total expenditures
OTHER FINANCING (USES):
Transfers out
Total other financing
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ - $ - $ 220,000 $ 220,000
- - 363 363
(564,432) (564,432) (36,678) 527,754
(564,432) (564,432) (36,678) 527,754
$ - $ - 183,685 748,117
$ 183,685
129
1 ~ L~~~ "~`~
City of Dublin ,
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Box Culvert
For the year ended June 30, 2010 ~
Budgeted Amounts Actual
Original Final Amounts
REVENUES:
Interest
Total revenues
EXPENDITURES:
Current:
Total expenditures
OTHER FINANCING (USES):
Transfers in
Total other financing
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
$ - $ - $ 8,154
- - 8,154
$ - $ -
130
Variance with ,
Final Budget -
Positive ,
(Negative)
$ 8,154 ,
8,154
~
_ '
335,728 '
JJJ~/LO 335,728
343,882 343,882 ,
_ '
$ 343,882
,
'
~
,
~
'
~
~
i ~~ ~ ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Dublin/Dougherty
For the year ended June 30, 2010
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES:
Interest $ - $ - $ 2,514 $ 2,514
Total revenues - - 2.514 2.514
EXPENDITURES:
Current:
Total expenditures
OTHER FINANCING (USES):
Transfers in
Total other financing
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
- - 103,520 103,520
- - 103,520 103,520
$ - $ -
106,034 106,034
131
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Village Parkway
For the year ended June 30, 2010 i~~~~~~
Variance with
Final Budget -
,. Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES:
Intergovernmental $ - $ - $ 80,000 $ 80,000
Interest - - 160 160
Total revenues - - 80,160 80,160
EXPENDITURES:
Current: - - - -
Total expenditures - - - -
Net change in fund balance $ - $ - 80,160 80,160
FUND BALANCE:
Beginning of year -
End of year $ 80,160
132
'
~
'
~
~
'
~
~
~
'
'
,
r
~
~
~
~
~
~
I ~~t a~ ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - East Bay Regional Park District Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Intergovernmental
Total revenues
EXPENDITURES:
Current:
Culture & leisure
Total expenditures
OTHER FINANCING (USES):
Transfers out
Total other financing
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 2,145,118 $ 2,145,118 $ 1,171,624 $ (973,494)
$ 2,145,118 $ 2,145,118 1,171,624 $ (973,494)
(1,955,419) (1,921,619) (1,171,624) 749,995
$ 2,145,118 $ 2,145,118
- $ (2,145,118)
y -
133
~~~~ ~2~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Public Art Fund
For the year ended June 30, 2010
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Origina] Final Amounts (Negative)
REVENUES:
Interest $ 6,782 $ 6,782 $ 9,035 $ 2,253
Total revenues 6,782 6,782 9,035 2,253
EXPENDITURES:
Current:
Culture & leisure 3,000 3,000 975 2,025
Total expenditures 3,000 3,000 975 2,025
OTHER FINANCING (USES):
Transfers out (133,334) (136,058) (8,837) 127,221
Total other financing (uses) (133,334) (136,058) (8,837) 127,221
Net change in fund balance $ 3,782 $ 3,782 (77~ $ (4,559)
FUND BALANCE:
Beginning of year 375,779
End of year $ 375,002
134
~
~
~
~
~
~
r
'
r
'
,
,
,
~
,
~
'
~
~
I~I~ Z2~-
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Noise Mitigation Fund
For the year ended June 30, 2010
REVENUES:
Interest
Developer fees
Total revenues
EXPENDITURES:
Current:
Total expenditures
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Budgeted Amounts Actual
Original Final Amounts
$ - $ - $ 1,441
- 1,459
- - 2,900
$ - $ -
135
Variance with
Final Budget -
Positive
(Negative)
$ 1,441
1,459
2,900
2,900 $ 2,900
58,762
~ s~~ ~~.~-
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - CDBG Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Intergovernmental
Total revenues
EXPENDITURES:
Current:
Health and welfare
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING (USES):
Transfers out
Total other financing (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 66,308 $ 103,068 $ 98,791 $ (4,27'~
66,308 103,068 98,791 (4,27~
59,708 60,503 55,435 5,068
:J7,/VO OU~,7VJ
6,600 42,565
J:7,'3J:J J,VUb
43,356 791
- (36,760) (43,356) (6,596)
- (36,760) (43,356) (6,596)
$ 6,600 $ 5,805 - $ (5,805)
.v -
136
'
~
~
~
~
r
,
,
'
'
1
'
~
'
'
'
~
r
~
City of Dublin ~ 5~'~ ~~'~
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual -1983-1 Street Lighting Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Interest
Other revenue
Special assessments
Total revenues
EXPENDITURES:
Current:
Public safety
Community development
Total expenditures
OTHER FINANCING (USES):
Transfers out
Total other financing (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Budgeted Amounts
Original Final _
$ 2,602 $ 2,602 $
2,500 2,500
262,810 262,810
Variance with
Final Budget -
Actual Posirive
Amounts (Negative)
4,316 $ 1,714
12 (2,488)
269,564 1,652
270,646 270,646 261,981 8,665
274,916 275,156 266,489 8,667
- - (3,423) (3,423)
- - (3,423) (3,423)
$ (7,004) $ (7,244) (348) $ 6,896
152,021
137
i~~~~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual -1983-2 Stagecoach Landscape Special Revenue Fund
For the year ended June 30, 2010
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
REVENUES:
Interest $ 451 $ 451 $ 403 $ (48)
Special assessments 68,228 68,228 68,301 73
Total revenues 68,679 68,679 68,704 25
EXPENDITURES:
Current:
~Iighways and streets 66,583 69,443 61,737 7,706
Community development 2,705 3,043 3,043 -
Total expenditures 69,288 72,486 64,780 7,706
OTHER FINANCING (USES):
Transfers out - - (885) (885)
Total other financing (uses) - - (885) (885)
Net change in fund balance $ (609) $ (3,50~ 3,039 $ 6,846
FUND BALANCE:
Beginning of year 26,321
End of year $ 29,360
138
- 5~~ Z2a.
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual -1986-1 Dougherty Landscape Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Interest
Special assessments
Total revenues
EXPENDITURES:
Current:
Highways and streets
Community development
Total expenditures
OTHER FINANCING (USES):
Transfers out
Total other financing (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 1,115 $ 1,115 $ 1,817 $ 702
100,992 100,992 101,905 913
102,490 102,490 91,404 11,086
2,705 3,037 3,037 -
105,195 105,527 94,441 11,086
- - (1,299) (1,299)
- - (1,299) (1,299)
$ (4,203) $ (4,535) 6,165 $ 10,700
79,546
139
- ~ ~ ~ ~a~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual -1997-1 Santa Rita Landscape Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Interest
Special assessments
Total revenues
EXPENDITURES:
Current:
Highways and streets
Community development
Total expenditures
OTHER FINANCING (USES):
Transfers out
Total other financing (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Budgeted Amounts
Original Final
$ 2,046 $ 2,046 $
251,187 251,187
Variance with
Final Budget -
tual Positive
ounts (Negative)
4,118 $ 2,072
256,771 5,584
268,140 268,140 223,045 45,095
2,705 3,209 3,209 -
270,845 271,349 226,254 45,095
- - (2,937) (2,93~
- - (2,93~ (2,93'~
$ (17,612) $ (18,116) 31,698 $ 49,814
160,287
140
i~~~ ~~~
City of Dublin
Schedule of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual -1999-1 East Dublin Street Lighting Special Revenue Fund
For the year ended June 30, 2010
REVENUES:
Interest
Otherrevenue
Special assessments
Total revenues
EXPENDITURES:
Current:
Public Safety
Community development
Total expenditures
OTHER FINANCING (USES):
Transfers out
Total other financing (uses)
Net change in fund balance
FUND BALANCE:
Beginning of year
End of year
Variance with
Final Budget -
Budgeted Amounts Actual Positive
Original Final Amounts (Negative)
$ 5,018 $ 5,018 $ 7,318 $ 2,300
- - 6,106 6,106
172,766 172,766 177,952 5,186
177,784 177,784 191,376 13,592
96,352 96,352 105,058 (8,706)
3,750 4,145 4,145 -
100,102 100,447 109,203 (8,706)
- - (2,229) (2,229)
- - (2,229) (2,229)
$ 77,682 $ 77,287 79,944 $ 2,657
265,031
$ 344,975
141
l ~~~ ~~~
'
This page intentionally left blank.
142
15~ 2~~
INTERNAL SERVICE FUNDS
Internal Service Funds are used to account for the financing of goods or services provided by one department
or agency to other departments or agencies of the City on a cost reimbursement basis. The City has
established five of these types of funds:
Vehicles Replacement Fund - this fund is an interest bearing Internal Service Fund established to finance
necessary vehicles replacements.
Buildings Replacement Fund - this fund is an interest bearing Internal Service Fund established to finance
future building development and construction expenditures.
Vehicles Replacement Fund - this fund is an interest bearing Internal Service Fund established to finance
necessary equipments replacements.
Vehicles, Buildings, and Equipment Maintenance and Repair Fund - this fund is an interest bearing Internal
Service Fund established to account for the on-going maintenance and repairs of vehicles, building, and
equipments.
Retiree Health Care Fund - this fund is an interest bearing Internal Service Fund established to account for
the contribution made to the California Employers' Retiree Benefit Trust Fund for future retiree health care
benefits.
' PERS Side Fund - this fund was established to account for the repayment to the general fund for the
advance made in fiscal year 2007-2008 to pay CALPERS for the City's Side Fund obligation. The Side Fund
was created in 2005 when CALPERS assigned agencies with less than 100 participants to a risk sharing
' pool. The City elected to pre-pay its obligation from the General Fund reserves and an internal service
charge is made each year to repay the reserve.
143
~~~ ~ ~~
City of Dublin '
Combining Statement of Net Assets
Internal Service Funds
June 30, 2010 ,
ASSETS
Current assets:
Cash and investments
Receivables:
Accounts
Prepaid items
Total current assets
Noncurrent assets:
OPEB
Land
Construction in progress
Buildings and improvements
Vehicles, machinery and equipment
Less: accumulated depreciation
Total noncurrent assets
Total assets
LIABILITIES
Current liabilities:
Accounts payable
Due to other fund
Total current liabilities
Noncurrent liabilities:
Advances from other funds
Total noncurrent liabilities
Total liabilities
NET ASSETS
Invested in capital assets
Unrestricted
Total net assets
Building,
Vehicles
Buildings
Equipments
Equip & '
Replacement Replacement Replacement Vehicles Retiree
Fund Fund Fund Maint/Repair Health Care
'
$ 2,822,935 $ 6,454,471 $ 2,011,410 $ 93,604 $ 236 ,
- - - - 294,567
- - 13,795 23,880 - '
2,822,935 6,454,471 2,025,205 117,484 294,803
- - - - 764,343 '
- 10,774,792 - - -
- 229,387 - - -
-
62,081,624
-
- ,
-
3,170,605 461,552 2,456,165 - -
(2,140,913) (19,164,474) (2,170,882) - - ,
1,029,692 54,382,881 285,283 - 764,343
3,852,627 60,837,352 2,310,488 117,484 1,059,146
'
- - - 27,498 '
- - - - 283,176
- - - 27,498 283,176
'
- - - - - '
- - - 27,498 283,176
1,029,692
54,382,881
285,283
- ,
-
2,822,935 6,454,471 2,025,205 89,986 775,970
$ 3,852,627
$ 60,837,352
$ 2,310,488
$ 89,986 '
$ 775,970
'
144 '
'
~~~~ ~~~
PERS
Side Fund Total
$ - $ 11,382,656
- 294,567
- 37,675
- 764,343
- 10,774,792
- 229,387
- 62,081,624
- 6,088,322
- (23,476,269)
- 68,177,097
- 27,498
- 283,176
- 310,674
2,642,846 2,642,846
2,642,846 2,642,846
- 55,697,856
(2,642,846) 9,525,721
$ (2,642,846) $ 65,223,577
145
i ~ z~ z~~
City of Dublin '
Combining Statement of Revenues, Expenses and Changes in Net Assets
Internal Service Funds
For the year ended June 30, 2010 ,
OPERATING AEVENUES:
Charges for services
Otherrevenue
Total operating revenues
OPERATING EXPENSES:
Supplies and services
PERS retirement
OPEB expenses
Depreciation
Total operaHng expenses
OperaHng income (loss)
NONOPERATING REVENUES:
Interest income
Contribution from General Fund
Transfers
Total nonoperating revenues
NONOPERATING EXPENSES:
Transfers
Other
Total nonoperating expenses
Non operating income (loss)
Contribution of capital assets
Change in net assets
NET ASSETS:
Beginning of year
End of year
Building,
Vehicles
Buildings
Equipments
Equip & 1
Replacement Replacement Replacement Vehicles Retiree
Fund Fund Fund Maint/Repair Health Care
,
420,414 139,407 314,858 376,502 559,926
25,035 - - 20 302,179 '
445,449 139,407 314,858 376,522 862,105
-
-
80
284,916 ~
-
- - - - 615,000 '
204,563 2,306,546 244,382 - -
204,563 2,306,546 244,462 284,916 615,000 ,
240,886 (2,167,139) 70,396 91,606 247,105
60,669
63,912
63,495
1,057 '
2,356
- 3,000,000 - - -
659,198
1,373,104
-
- ,
-
719,867 4,437,016 63,495 1,057 2,356
1
469,884 - 1,562,419 -
1,219 72,819 - - ,
471,103 - 1,635,238 - -
248,764 4,437,016 (1,571,743) 1,057 2,356 '
- 86,023 - - -
489,650 2,355,900 (1,501,347) 92,663 249,461 '
3,362,977
58,481,452
3,811,835
(2,67'~ t
526,509
3,852,627 60,837,352 2,310,488 59,986 775,970
'
146 ~
,
1
~
~
~
PERS
Side Fund Total
'
302,649 2,113,756
' - 327,234
302,649 2,440,990
t
- 284,996
~ - 615,000
- 2,755,491
~ - 3,655,487
302,649 (1,214,497)
,
- 191,489
3,000,000
~ = 2,032,302
- 5,223,791
'
- 2,032,303
' - 74,038
- 2,106,341
~ - 3,117,450
- 86,023
' 302,649 1,988,976
'
(2,945,495) 63,234,601
(2,642,846) 65,223,577
~
'
'
1f~~~2~~
147
City of Dublin
Combining Statement of Cash Flows
Internal Service Funds
For the year ended June 30, 2010 i ~~~ -~~~
Building,
Vehicles Buildings Equipments Equip &
Replacement Replacement Replacement Vehicles Retiree
Fund Fund Fund Maint/Repair Health Care
CASH FLOWS FROM OPERATING ACTIVITIES:
Receipts from other funds $ 420,413 $ 139,407 $ 318,625 $ 376,502 $ 843,102
Payments to suppliers and service providers - - (25,669) (283,975) (862,828)
Other 25,035 - - 20 7,612
Net cash provided (used) by
operating activities 445,448 139,407 292,956 92,547 (12,114)
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Payments from other funds 189,314 4,373,104 (1,562,419) - -
Net cash provided (used) for noncapital
financing activities 189,314 4,373,104 (1,562,419) - -
CASH FLOWS FROM CAPITAL
AND RELATED FINANCING ACTIVITIES:
Capital assets (144,618) (115,798) - -
Net cash provided (used) for capital
and related financing activities (144,618) - (115,798) - -
CASH FLOWS FROM
INVESTING ACTIVITIES:
Interest received 60,669 63,913 63,495 1,057 2,356
Net cash provided (used) for
investing activities 60,669 63,913 63,495 1,057 2,356
Netincrease(decrease)in
cash and cash equivalents 550,813 4,576,424 (1,321,766) 93,604 (9,758)
CASH AND EQUNALENTS:
Beginning of year 2,272,122 1,878,047 3,333,176 - 9,994
End of year $ 2,822,935 $ 6,454,471 $ 2,011,410 $ 93,604 $ 236
RECONCILIATION OF OPERATING INCOME
(LOSS) TO NET CASH PROVIDED
BY OPERATING ACTIVITIES:
Operating income (loss) $ 240,886 $ (2,167,139) $ 70,396 $ 91,606 $ 247,105
Adjustments to reconcile operating income
(loss) to cash flows from operating activities:
Depreciation 204,563 2,306,546 244,382 - -
Net effect of changes in:
Accounts receivable - 3,765
Prepaid items - (13,131) (23,880)
Accounts payable - - (12,45'~ 24,821 -
OPEB Obligation - - - - (259,219)
Net cash provided (used) by
operating activiries $ 445,449 $ 139,407 $ 292,955 $ 92,547 $ (12,114)
NONCASH CAPITAL AND ItELATED
FINANCING TRANSACTIONS:
Contribution of capital assets $ - $ 86,023 $ - $ -
Total noncash capital and
related financing transacrions $ - $ 86,023 $ - $ - $ -
148
~
~
~
~
'
~
~
~
i
~
,
'
'
,
~
'
~
'
~
I l~ ~ t~j ~ ~~
PERS
Side Fund Total
$ 302,649 $ 2,400,698
- (1,172,472)
- 32,667
302,649 1,260,893
(302,649) 2,697,350
(302,649) 2,697,350
- (260,416)
- (26Q416)
- 191,490
- 191,490
- 3,889,317
- 7,493,339
$ - $ 11,382,656
$ 302,649 $ (1,214,497)
- 2,755,491
3,765
(37,011)
- 12,364
- (259,219)
$ 302,649 $ 1,260,893
$ - $ 86,023
$ ~ tS6,U23
149
~'~ ~
I t~ L~ ~ 2.
~
This page intentionally left blank. ~
150 ~
~
~ ~D~ ~ `~ Z~-
,~
AGENCY FUND
~
~ Agency Funds are used to account for assets held by the City in a fiduciary capacity for individuals,
governmental entities and others. These funds carry out the specifications of trust indentures, ordinance or
other regulations.
, Dublin Boulevard Extension Assessment District Fund - To account for the special assessment established to
fund the improvements to Dublin Boulevard.
~
Geologic Hazard Abatement Districts Fund - Two districts were formed under provisions in the California
, Public Resource Code, which establishes in section 25670 that a District is a politial subdivision of the State
and is not an agency or instrumentality of a local agency. The City acts as a trustee of the funds collected and
may contractually provide or arrange for services paid for by the District. Fiscal Year 2008-2009 was the first
1 year that tax roll assessments were levied by the Districts.
Fallon Village Geologic Hazard Abatement District - This assessment district was established in 2007, in
~ accordance with a condition of approval for the Fallon Village development project. The District was
formed to provide a mechanism for ongoing maintenance of open space areas within the development. The
boundary of this assessment district encompasses approximately 175 acres of land, located generally east of
I Fallon Road.
Schaefer Ranch Geologic Hazard Abatement District - This assessment district was established in 2006, in
' accordance with a condition of approval for the Fallon Village development project. The District was
formed to provide a mechanism for ongoing maintenance of open space areas within the development. The
boundary of this assessment district encompasses approximately 500 acres of land, located at the westerly
I boundery of the City limits north of Interstate 580, and south of the unincorporated area of Alameda
county.
'
151
City of Dublin
Statement of Changes in Net Assets
Agency Fund
For the fiscal year ended June 30, 2010
i ~g ~ ~~~
Balance Balance
Dublin Boulevard Extension Assessment District July 1, 2009 Additions Deletions June 30, 2010
Assets:
Cash and investments $ 195,227 $ 425,747 $ (405,646) $ 215,328
Restricted cash and investments 180,410 - (15,910) 164,500
Interest Receivable - - - _
Total assets $ 375,637 $ 425,747 $ (421,556) $ 379,828
Liabilities:
Due to bondholders $ 375,637 $ 425,747 $ (421,556) $ 379,828
Totalliabilities $ 375,637 $ 425,747 $ (421,556) $ 379,828
Balance Balance
Fallon Village Geological Hazardous Abatement District July 1, 2009 Additions Deletions June 30, 2010
Assets:
Cash and investments 14,199 32,223 (3,200) 43,222
Total assets $ 14,199 $ 32,223 $ (3,200) $. 43,222
Liabilities:
Due to trustee
Total liabilities
14,199 32,223 (3,200) 43,222
$ 14,199 $ 32,223 $ (3,200) $ 43,222
Balance Balance
Schaefer Ranch Geological Hazardous Abatement District July 1, 2009 Additions Deletions June 30, 2010
Assets:
Cash and investments 11,467 103,036 (4,359) 110,144
Interest Receivable 281 889 (281) 889
Total assets $ 11,748 $ 103,925 $ (4,640) $ 111,033
Liabiliries:
Due to trustee 11,748 103,925 (4,640) 111,033
Totalliabilities $ 11,748 $ 103,925 $ (4,640) $ 111,033
152
STATISTICAL SECTION (Unaudited)
'
~ ~~ ~ z~-~
This part of the City of Dublin's comprehensive annual financial report presents detailed information as a
context for understanding what the information in the financial statements, note disclosures and required
supplementary information says about the government's overall financial health.
Contents
' Financial Trends
These schedules contain trend information to help the reader understand how the government's
~ financial performance and well being have changed over time.
Revenue Capacity
~ These schedules contain information to help the reader assess the government's most significant local
revenue source, the property tax.
~ Debt Capacity
I These schedules present information to help the reader assess the affordability of the government's
current levels of outstanding debt and the government's ability to issue additional debt in the future.
I Demographic and Economic Information
~ These schedules offer demographic and economic indicators to help the reader understand the
environment within which the government's financial activities take place.
~ Operating Information
These schedules contain service and infrastructure data to help the reader understand how the
information in the government's financial report relates to the services the government provides and
~ the activities it performs.
'
~
~ 153
~10~ ~~~
City of Dublin
General Governmental Activities Tax Revenues by Source and
Governmental Activities Tax Revenues by Source
Last Ten Fiscal Years
Fiscal
Year
Ended
June 30
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Property Transient
Property Sales Franchise Transfer Occupancy
Tax Tax Tax Tax Tax Total
$7,174,290 $13,204,429 $1,313,087 $575,282 $1,010,799 $23,277,887
8,885,812 13,093,676 1,385,816 434,832 810,220 $24,610,356
10,142,650 13,573,607 1,394,953 379,089 717,083 $26,207,382
11,422,308 14,297,705 1,505,435 571,361 664,309 $28,461,118
14,167,079 14,517,465 1,559,900 831,003 663,632 $31,739,079
16,891,670 14,807,059 1,789,356 690,404 727,612 $34,906,101
20,266,216 14,458,912 2,111,281 596,533 800,773 $38,233,715
22,229,039 14,684,091 2,221,930 493,175 789,396 $40,417,631
23,306,302 12,424,541 2,180,846 254,022 577,057 $38,742,768
22,286,209 12,581,879 2,271,574 372,646 557,000 $38,069,308
Data Source: City of Dublin Administrative Services Department
Notes: The City experienced a dramatic decline in Transient Occupancy Taxes following the September 11, 2001 national
tragedy and the economy down turn that occurred in the San Francisco Bay Area during 2001-2005.
The City has experienced significant growth in other types of taxes due to significant residential and commercial
growth that had occurred during 2006-2007, and 2007-2008.
154
i~~~ ~~~
~
This page intentionally left blank.
155
City of Dublin
Net Assets by Component
Last Nine Fiscal Years
(accrual basis of accounting)
Fiscal Year
2002 2003 2004 2005
Primary government:
Governmental activities:
Invested in capital assets,
net of related debt
Restricted
Unrestricted
Total primary government
$ 42,960,899 $
43,339,073
I ~1 Z ~ ~~ ~
~
~
'
2006 ~
~,
61,016,642 $ 80,050,710 $ 383,667,187 $ 387,888,143 ~
34,110,132 37,455,125 45,288,468 48,480,463
45,579,288 50,413,267 50,943,803 52,176,440 57,766,785
$ 131,879,260 $ 145,540,041 $ 168,449,638 $ 481,132,095 $ 494,135,391 ~
Data Source: City of Dublin Administrative Services Department ,
Notes: The City of Dublin implemented GASB34 for the fiscal year ended June 30, 2002. Information prior to the implementation of
GASB34 is not available. The significant increase in Capital Assets in Fiscal Year 2004-2005 is due to a retroactive valuation
recorded for the City's existing infrastructure in accordance with GASB 34. ~
~
~
l
~
1
~
'
1
1
156 ~
'
~
~
~
~
~
~
~
~
~
~
I ~13 ~ ~ ~~
Fiscal Year
2007 2008 2009 2010
$ 399,631,407 $ 411,619,671 $ 423,474,384 $ 436,857,107
45,647,928 48,572,719 36,906,687 25,004,384
61,789,687 68,456,077 66,597,197 70,203,471
$ 507,069,022 $ 528,648,467 $ 526,978,268 $ 532,064,962
157
i1~~~~~
City of Dublin
Changes in Net Assets
Last Nine Fiscal Years
(accrual basis of accounting)
Fiscal Year
Expenses:
Governmental activities:
General government
Public safety
Highways and streets
Health and welfare
Culture and leisure services
Community development
Total governmental activities
Program revenues:
Governmental activities:
Charges for services:
General government
Public safety
Highways and streets
Health and welfare
Culture and leisure services
Community development
Operating grants and contributions
Capital grants and contributions
Total governmental activities
Net revenues (expenses):
General revenues and other changes in net assets:
Govemmental activities:
Taxes:
Property taxes
Sales tax
Other taxes
Motor vehicle tax, unrestricted
Investment income, unrestricted
Other generalrevenues
Total governmental activities
Changes in net assets
$ 4,658,653 $ 6,135,344 $ 6,288,645 $ 3,081,581 $ 4,940,586
12,449,573 14,026,216 17,135,716 19,047,262 20,314,535
5,277,778 15,187,872 939,260 19,810,590 13,894,865
1,193,542 1,349,228 3,755,564 1,722,224 1,887,417
3,901,126 4,730,430 1,603,494 8,954,495 10,074,239
4,557,634 5,334,646 6,113,171 7,210,558 8,553,887
32,038,306 46,763,736 35,835,850 59,826,710 59,665,529
202,732 202,330 2,603 5,198 4,011
913,612 1,073,145 851,864 1,197,925 1,270,233
28,021 25,609 2,321,473 2,451,377 2,167,740
978,499 1,033,317 1,558,930 1,541,361 2,092,566
848,701 1,009,572 1,252,866 1,617,013 1,751,965
4,803,099 5,182,361 6,135,027 6,969,366 6,629,383
1,503,109 1,824,388 239,094 169,906 238,053
23,150,710 19,424,093 15,364,732 42,585,906 18,900,426
32,428,483 29,774,815 27,726,589 56,538,052 33,054,377
$ 390,177 $ (16,988,921) $ (8,109,261) $ (3,288,658) $ (26,611,152)
9,447,544 10,783,414 11,422,308 14,167,079 16,891,670
12,813,111 13,193,407 13,940,263 14,152,987 14,363,863
2,630,868 2,491,125 2,865,226 3,181,939 3,343,943
1,940,341 2,072,440 1,682,152 413,075 856,766
2,127,156 1,710,903 799,008 2,704,647 2,505,911
511,652 398,413 309,901 199,233 280,386
29,470,672 30,649,702 31,018,858 34,818,960 38,242,539
$ 29,860,849 $ 13,660,781 $ 22,909,597 $ 31,530,302 $ 11,631,387
Data Source: City of Dublin Administrative Services Department
Notes: The City of Dublin implemented GASB34 for the fiscal year ended June 30, 2002. Information prior to the implementation of
GASB34 is not available.
158
i~5 ~ ~ ~~
Fiscal Year
2007 2008 2009 2010
$ 8,866,758 $ 7,790,286 $ 8,721,545 $ 8,396,199
22,306,240 23,282,634 23,880,635 23,797,696
17,182,208 20,196,496 20,368,655 15,969,371
1,816,800 1,689,353 1,869,428 3,615,077
14,080,040 12,200,759 11,563,136 10,757,355
11,157,417 8,276,993 7,175,272 5,112,469
75,409,463 73,436,521 73,578,671 67,648,167
208,247 216,334 215,711 219,386
2,284,955 1,301,328 1,545,935 1,600,890
745,727 13,794 598,542 8,078,369
2,483,619 3,301,877 3,050,719 2,798,092
1,508,752 1,722,627 1,719,501 2,101,867
9,432,854 5,599,417 4,720,221 3,775,102
2,813,079 2,747,497 2,245,945 2,229,043
25,973,730 37,393,930 14,599,068 12,254,443
45,450,963 52,296,804 28,695,642 33,057,192
$ (29,958,500) $ (21,139,717) $ (44,883,029) $ (34,590,975)
20,266,216 22,229,039 23,311,587 22,287,783
14,025,869 14,225,661 12,832,417 12,183,267
3,508,587 3,504,501 2,180,846 3,201,219
261,276 197,245 160,242 141,221
4,053,187 4,399,908 4,266,601 758,016
1,109,734 1,202,074 461,137 1,106,163
43,224,869 45,758,428 43,212,830 39,677,669
$ 13,266,369 $ 24,618,711 $ (1,670,199) $ 5,086,694
159
i ~~ ~zz2-
City of Dublin
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
General Fund
Reserved
Unreserved, designated for:
Advance to TVTD W. BART station contribution
Affordable Housing
Authorized expenditures
Capital improvements
Cash Flow & Operation Stability
Catastrophic Loss & Business Recovery
Capital Improvements Projects Carryover
Compensated Absences
Economic Uncertainty
Emergency Communication System
Fire Retiree Medical
Innovation & New Opportunities
Investment Market Value Adjustment
Operation Carryover
Service Continuity Obligation
Unreserved, undesignated
Total general fund
All Other Governmental Funds
Reserved
Unreserved, designated, reported in:
Special revenue funds
Capital projects funds
Undesignated
Total all other governmental funds
Total All Governmental Funds
zooi zoo2 2oos 2004
$ 65,175 $ 75,221 $ 529,811 $ 1,896,575
- 626,360 - 1,000,000
22,858,588 27,545,240 33,665,113 32,581,785
34,722,647 39,175,619 8,089,385 8,222,723
1,369,133 1,369,133 1,651,965 2,719,008
$ 59,015,543 $ 68,791,573 $ 43,936,274 $ 46,420,091
$ 30,722,073 $ 43,279,073 $ 34,665,390 $ 37,395,125
- - (1,075,338) (1,810,979)
$ 30,722;073 $ 43,279,073 $ 33,590,052 $ 35,584,146
$ 89,737,616 $ 112,070,646 $ 77,526,326 $ 82,004,237
Data Source: City of Dublin Administrative Services Department
Note: All Other Governmental Funds includes the City's Major and Non Major Capital Project and Special
Revenue Funds, excluding General Fund.
160
i9i
£8Z'H~8'Z8 $ 9E~'ZSS~i~6 $ LOL~~9£~ZII $ L£0~£66~66 $ 9~L~£~I'L6 $ ~S9~ZOZ'£Zi $
SS~'S£8'IZ $ 8L0'6ZCZ£ $ 86£'ZS6'8~ $ i~SZ'£69'i~ $ 698'9~Z'9~ $ 6LL'9~CZb $
~6Z6~89I'£) ~9££~L~S~L) ~LZO'G£S~i) ~Z9CL6CI) ~86S'£68~L) ~6SZ'ZOZ~Z)
~S£~~OO~SZ $ ~ib'OLS~~£ $ 6L6~68COS $ 9b0'58~~£6 $ G9~'O~I'8b $ 89~'5~6~~~ $
SZ8~ZIO~L9 $ SS£'£ZL~Z9 $ 60£'ZL~'£9 $ £SL"66Z'HS $ LL8'968'OS $ SL~~9Si~~08 $
000'OS£'L - - - - -
OOi~LLI ~L8~i0£ - - - -
69S"9LS~L i90'~££~Z 906'804'L - - -
000'000'£L - - - - -
000'OOS'~ OOO~OSL 000"OOS - - -
OOO~OOO~L 000'OiZ - - - -
L~8'S9S~S Lb8'898~5 ZZCOL6~Z ZZG~OL6"Z OZCOL6"Z LZL~OL6~Z
Ii£'Z08 ZSS'L6G ibO~bbL - - -
LOS'£OZ - - - - -
000'OZ~'S - - - - -
000"098~8 - - - - -
8H0'~6£'L SGi'660'iI ~££'~88'8 6£S'84Z'~ Oi~i~'S86'4 OOi'6£Z'It
096~£ 60Z~i~Lb"b£ Z6Z~L8L~Z~ OSS'8Z£'~~ 6£0"098'S£ LZZ'LL6~Z£
000'000'i 000~000"I OOO~OOO~I 000'OOO~I 000~000'L OOO~OOO~I
000'000'L - - - - -
9~'ZZ6'S $ Oi9~£6£'S $ ~i0~£Z9"S $ Z~6~I~L~S $ 8L9'OSO'Z $ ££i~~SLZ'Z $
OIOZ 600Z 800Z LOOl 900Z SOOZ
~cZ~Q~L~I
~ -~ g Z 2~. ~
~
City of Dublin ~
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting) ~
Fiscal Year
2004 ~
2001 2002 2003
Revenues:
Property taxes
Taxes other than property
Intergovernmental
Licenses and permits
Charges for services
Investment income
Use of property
Fines and forfeitures
Developer fees
Special assessments
Other revenues
Total revenues
Expenditures
Current:
General govemment
Public safety
Highways and streets
Health and welfare
Culture and leisure services
Community development
Capital outlay:
General
Health and welfare
Community improvements
Parks
Streets
Debt service:
Principal
Total expenditures
Excess (deficiency of revenues over (under)
expenditures
Other financing sources (uses):
Transfers in
Transfers out
Total other financing
sources (uses)
Net change in fund balances
Debt service as a percentage of
noncapital expenditures
Data Source: City of Dublin Administrative Services Department
$ 7,174,290 $ 8,885,812 $ 10,142,650 $ 11,422,308 ~
16,185,183 15,650,789 16,064,732 17,038,810
4,129,090 4,702,126 11,412,577 4,942,167
3,028,655 2,327,251 2,421,885 3,090,992 ~
4,486,440 5,330,051 5,680,902 5,789,970
2,725,077 3,743,415 2,709,459 857,734
114,614 85,937 139,019 130,741
242,363
267,214
274,284 ~
272,153
8,882,375 19,685,682 10,195,565 13,455,274
384,649 431,564 501,424 593,201
2,736,852
526,716
672,895 ,
1,152,096
50,089,588 61,636,557 60,215,392 58,745,446
3,085,725
3,929,919
4,363,241 ~
6,193,881
10,960,752 12,523,197 13,948,110 17,222,501
1,445,943
1,546,347
1,850,944 ~
2,072,806
1,139,399 1,196,457 1,352,083 3,762,260
3,332,421 4,012,730 4,611,564 5,098,102
4,572,981
4,678,311
5,399,648 ~
6,363,727
1,367,829 8,900,230 12,574,726 2,170,910 ~
1,477,404 353,534 478,309 734,113
182,710 226,440 2,370,369 5,425,790
9,099,539 6,925,150 18,345,206 7,045,878 ~
251,004 251,004 - -
36,915,707 44,543,319 65,294,200 56,089,968 ~
13,173,881 17,093,238 (5,078,808) 2,655,478 '
16,202 16,785 18,580 21,905
(2,416,202) (16,785) (18,580) (21,905) ~
(2,400,000) - - -
$ 10,773,881 $ 17,093,238 $ (5,078,808) $ 2,655,478
'
1.0% 0.9% 0.0% 0.0%
162
,
~
~
~
~
r
,
'
~
i
~
~
'
~
~
~
,
~
~
Fiscal Year
2005 2006 2007 2008 2009 2010
$ 14,167,079 $ 16,891,670 $ 20,266,213 $ 22,229,039 $ 23,306,302 $ 22,286,209
17,572,000 18,014,431 17,967,499 18,188,593 15,436,466 15,783,099
3,312,079 2,593,336 2,845,936 3,431,314 2,393,153 7,951,237
3,520,141 3,142,223 2,572,069 1,784,644 1,623,029 2,260,364
6,623,303 7,090,105 9,476,984 8,101,935 7,759,628 7,100,403
2,948,612 2,859,433 5,840,949 6,101,736 5,597,303 1,475,308
125,835 123,154 203,240 335,151 989,081 1,491,413
292,658 340,336 342,098 360,496 318,737 312,778
14,361,337 17,018,274 8,618,271 18,226,041 1,875,841 4,387,339
744,100 645,230 716,144 797,520 826,717 868,348
954,949 826,715 960,534 2,497,249 3,312,774 1,778,477
64,622,093 69,544,907 69,809,937 82,053,718 63,439,031 65,694,975
6,535,408 4,983,006 5,619,088 5,590,247 6,047,115 8,957,744
19,163,929 20,542,375 22,148,312 23,629,954 23,951,223 24,241,160
2,272,310 2,536,127 2,726,599 2,719,532 3,168,513 2,985,311
1, 734, 787 1,906,950 1,626,197 1,706,918 1,888,631 3,653,297
5,377,134 5,948,563 6,874,596 7,207,896 7,621,663 7,267,805
7,404,619 8,199,933 8,173,711 8,335,105 7,364,651 5,300,211
1,250,772 666,160 377,026 411,293 4,221,956 742,754
- - 75,526 - - -
462,751 838,618 95,672 218,058 68,236 82,333
9,237,426 10,189,487 10,711,807 8,820,229 9,409,692 10,706,350
2,828,616 7,102,450 5,532,110 11,042,816 13,742,919 13,762,167
56,267,752 62,913,669 63,960,644 69,682,048 77,484,599 77,699,132
8,354,341 6,631,238 5,849,293 12,371,670 (14,045,568) (12,004,15'~
1,336,275 21,789 90,399 77,528 26,232 25,777,410
(1,336,275) (21,789) (90,399) (77,528) (26,232) (25,777,410)
$ 8,354,341 $ 6,631,238 $ 5,849,293 $ 12,371,670 $ (14,045,568) $ (12,004,157)
0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
163
`~~ ~ ~ ~~'
City of Dublin
Assessed Value and Estimated Actual Value of Taxable Property
Last Ten Fiscal Years
l ~D ~-~~ ~
~
~
Fiscal
Year Taxable
Ended Residential Commercial Industrial Unsecured / Less: Assessed
June 30 Property Property Property Other Property Exemptions Value
2001 $ 1,852,468,604 $ 439,284,508 $ 178,875,023 $ 595,033,189 $ (60,674,335) $ 3,004,986,989
2002 2,437,438,709 653,528,807 141,438,754 556,968,264 (64,396,816) 3,724,977,718
2003 2,825,719,751 877,069,998 140,636,627 534,477,740 (69,498,931) 4,308,405,185
2004 3,233,586,490 998,908,661 147,997,335 561,725,805 (70,891,008) 4,871,327,283
2005 3,730,424,115 1,032,552,391 154,758,355 662,659,500 (72,612,23~ 5,507,782,154
2006 4,520,222,157 1,052,701,438 162,182,398 652,279,788 (77,085,570) 6,310,300,211
2007 5,345,937,692 1,068,813,294 161,909,866 873,737,282 (80,274,178) 7,370,123,956
2008 5,870,526,565 1,112,837,055 171,673,012 1,072,734,321 (78,188,899) 8,149,582,054
2009 6,203,330,781 1,241,301,664 198,082,746 1,032,449,487 (36,478,516) 8,638,686,162
2010 5,868,488,395 1,326,481,267 212,939,326 983,426,713 (49,873,361) 8,341,462,340
Assessed Value of Taxable Property
$1
2 '
. ,
~ ~~, ~
~` ~ ~
~.
~
0
$1 ~ f ~
. > ~ ~ ~.
c ~ ` ~~ ~ ' ~ ~
o
_ $0.8 ~ ~
~ °
# ~
~ ~; :
~ ~
m • ~
~
~ ~ , ,
~,.:
~ ~
~
~. ~ ~
"4
$0.6 ~
"
~
~, ~
~ ~
~. -
~,
. `~
~
r-- ~ ~ :
~ ,
~
~
~
~
$0.4 ~ _
' ~ , = .~
~,.
~ ;
;: ~ `
°
o ~ ~ ~ "~ ~ ~ ` ~
~ ~
' ~~
$0.2
~ ~ < ~ ~t ~
~
~ ~.
'~
; ~ ~~ ~:
~ ~ . ~
$0
0
.
~~
~~
~~
~~ ~~
~~ ~~
~~
~~ ~o
ti~
ti~
ti~
ti~ ti~
ti~ ti~
ti~
ti~ ti~
Fiscal Years
Data Source: HDL Coren & Cone and Alameda County Assessor 2009/10 Combined Tax Rolls
City Wide
Avg Total
Direct Tax
Rate
0.2416%
0.2398%
0.2398%
0.2397%
0.2397%
0.2390%
0.2387%
0.2385%
0.2385%
0.2386%
Notes:
1) In 1978 the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1%
based upon the assessed value of the property being assessed. Each year, the assessed value of property may be increased by an
"inflation factor" (limited to a maximum increase of 2%). With few exceptions, property is only reassessed at the time that it is
sold to a new owner. At that point, the new assessed value is reassessed at the purchase price of the property sold.
2) The assessed valuation data shown above represents the only data currently available with respect to the actual market value
of taxable property.
3) The City-wide Direct Tax Rate is an average, the actual tax rate for each property varies according to its tax rate area. This
average tax rate is net of State Shifts of local property tax revenue to Education and net of admin fees.
164
' I ~ l ~ ~.~
~
~ City of Dublin
Direct and Overlapping Property Tax Rates
(Rate per $100 of assessed value)
~ Last Ten Fiscal Years
, 2000 O1 2001/02 2002/03 2003/04 2004 O5 2005/06 2006/07 2007 OS 2008 09 2009/10
Basic Levy (1) 1.00000 1.00000 1,00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000
Bay Area Rapid Transit 0.00000 0.00000 0.00000 0.00000 0.00000 0.00480 0.00500 0.00760 0.00900 0.00570
~
Castro Valley Unified School Bonds 0.01990 0.03550 0.04980 0.05610 0.05320 0.07180 0.08110 0.09720 0.09690 0.10230
Chabot - Las Positas Community College Bonds 0.00000 0.00000 0.00000 0.00000 O.O1S60 0.01580 0.01590 0.01640 0.01830 0.01950
Dublin Unified Bonds 1A & B 0.05340 0.04510 0.03760 0.04290 0.03990 0.08170 0.08850 0.08500 0.07320 0.08160
~ East Bay Regional Park 0.00650 0.00720 0.00650 0.00570 0.00570 0.00570 0.00850 0.00800 0.01000 0.01080
Flood Zone 7 State Water Bonds 0.01450 0.01570 0.01580 0.01450 0.01140 0.01300 0.01510 0.01500 0.01690 0.02030
Livermore Valley Joint Uni6ed School Bond 0.08630 0.08200 0.09550 0.07930 0.07930 0.08300 0.06920 0.06260 0.06160 0.06740
~ Total Direct & Overlapping Tax Rate 1.18060 1.18550 1.20520 119850 1.20810 127580 1.28330 1.29180 1.28590 1.30760
Tota] Dired Rate (2) 0.24158 0.23978 0.23984 0.23965 0.23965 0.23895 0.23568 0.23849 0.23842 0.23855
City's Share of 1% Levy per Proposition 13 (3) 0.28177 0.28177 0.28177 0.28177 0.28177 0.28177 0.28177 0.28177 0.28177 0.28177
Source: HDL Coren & Cone and Alameda County Assessor 2000/Ol - 2009/10 Tax Rate Table
e Notes:
(1) In 1975, Califwnia voters passed Proposition 13 which sets the property tax rate at a 1% fixed amount. This 1% is shared by alI taxing agencies for which the subject
property resides within. In addition to the 1.00 % fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of voter
~ approved bonds from various agencies.
(2) Total Direct Rate is the weighted average of all individual direct rates.
(3) City's Share of 1% Levy is based on the City's share of the general fund tax rate area with the largest net taxable value within the City.
(4) Overlapping rates are those of local and county governments that apply to property owners within the City. Not all overlapping rates apply to all city property
owners.
, (5) Total Direct Rate is the weighted average of al] individual direct rates applied by the government preparing the staHstical secHon information.
(6) The City has different Tax Rate Areas (TRA) administered by the County Tax Collector. The City's share of Property Tax can vary by each TRA.
165
-~ ~ r3~ 2~.~ ,
City of Dublin
Principal Property Taxpayers
Current, And Nine Years Ago
2000/01 2oo9/io
Percent of Total Percent of Total
Taxpayer (Number of Parcels) Assessed Value Assessed Value Assessed Value Assessed Value
Hong Y. Lin & L. Hong & S. Chang 172,564,071 5.68%
Jefferson at Dublin LP and JJ Sullivan 59,403,820 1.96%
Security Capital Pacific Trust 54,617,400 1.80%
RREEF American REIT Corporation 48,080,500 1.58%
Park Sierra LLC 32,757,538 1.08%
Standard Pacific Corporation 32,660,338 1.08%
US Property Fund GMBH & Company KG 31,110,000 1.02%
Rafanelli & Nahas 30,797,387 1.01 %
Toll California lI LP 30,175,000 0.99%
SHEA Homes 29,682,000 0.98%
ISTAR CTL Dublin, LLC 103,000,000 1.23%
SR Structure LOT Option I 102,999,598 1.23%
Chang S. Lin 92,851,283 1.11 %
Behringer Harvard Waterford PL 87,642,548 1.05%
Dublin Corporate Center LP 85,500,000 1.03%
Avalon at Dublin Station LP 85,324,680 1.02%
Bere Island Properties I LLC 83,540,649 1.00%
Tishman Speyer Archstone Smith Emerald 77,570,564 0.93%
BIT Holding Sixty-Three 71,377,477 0.86%
Kaiser Foundation Hospitals 62,933,922 0.75%
$521,848,054 17.18% $852,740,721 10.21%
Source: HDL Coren & Cone and Alameda County Assessor Combined Tax Rolls ~
166
-$3~~~.~
City of Dublin
Property Tax Levies and Collections
Last Ten Fiscal Years
Fiscal Collected within the
Year Total Tax Fiscal Year of the Levy Collected in Total Collections to Date
Ended Levyfor Percentage Subsequent Percentage
June 30 Fiscal Year Amount of Levy Years Amount of Levy
2001 7,333,215 6,959,769 95.4% 127,641 7,087,410 96.6%
2002 9,187,641 8,655,872 94.9% 215,980 8,871,852 96.6%
2003 10,732,663 10,142,650 94.2% 412,595 10,555,245 98.3%
2004 11,858,495 11,826,609 94.5% 31,886 11,858,495 100.0%
2005 12,626,880 12,354,685 97.8% 245,157 12,599,842 99.8%
2006 13,909,466 13,530,450 97.3% 254,535 13,784,985 99.1%
2007 17,275,854 16,690,262 96.6% 412,481 17,102,743 99.0%
2008 19,072,467 18,100,067 94.9% 778,895 18,878,962 99.0%
2009 19,812,004 18,584,496 93.8% 804,530 19,389,026 97.9%
2010 19,337,680 17,668,857 91.4% N/A 17,668,857 91.4%
Pro ert Tax Collection
.-,
~ ~
~ .
~
~
.
a ,
_ ~~ ,
~ ,
:n~a
o _ ~
~
.
C
~
~
H
l~0
~
..
.... . ~. ..~ ... „ ~ ,
, `wei. w r~..Cx . ~tt,ti',~a? ., ^aYer~~ ,
.s ., : ..a ,,, -
~,., .,. , '~ . , ,;,. _~ ,
a~~~ ' 7 ° w . ° ~lii". ~. ~ "0<.>5~y„t~, aa ~,-. ~ - a,..~+^ .> . t~,' r r^.
~
n ~~ n 0~ n ~~ n~ Dµ n ~~ n 0~ n ~~
VO VO VO VO VO VO VO
Fiscal Year , ~',,.~
.. .
,~,~.; a ,
n 0~
VO ..r,~k'v : ,.~'.~ ~.v,:m.'r s&n ,.
.,,, .. . . . . , <„
n ~~ n ~O
VO VO
Source: Alameda County Office of the Auditor-Controller
Notes:
1) Total Levy includes Secured, Unsecured, and Estimated Unitary Property Taxes
2) Total Collection includes Secured, Unsecured, and Estimate Unitary Property Taxes less County's
administrative cost and Education Revenue Augmentation Fund (taxes shifted to school districts)
167
«~ ~ ~~~
City of Dublin
Direct and Overlapping Debt
June 30, 2010
Total Property Tax Assessed Value of Taxable Property
OVERLAPPING DEBT REPAID WITH PROPERTY TAXES
Bay Area Rapid Transit District
Chabot-Las Positas Community College District
Dublin Joint Unified School District
East Bay Regional Park District
City of Dublin 1915 Act Bonds
California Statewide Communities Development Authority 1915 Act Bonds
Tota1 overlapping debt repaid with property taxes
OVERLAPPING OTHER DEBT
Alameda County General Fund Obligations
Alameda County Pension Obligations
Alameda - Contra Costa Transit District Certificates of Participation
Chabot-Las Positas Community College District General Fund Obligations
Total Overlapping Other Debt
COMBINED TOTAL DEBT
Source: California Municipal Statistics, Inc.
$ 8,341,462,340
Percentage
Outstanding Debt Applicable to Esti mated Share of
6/30/10 City of Dublin Overlapping Debt
$ 420,000,000 1.9100% $ 8,022,000
$ 462,902,125 10.6180% $ 49,150,948
$ 172,583,700 99.9490% $ 172,495,682
$ 196,775,000 2.9050% $ 5,716,314
$ 573,000 100.0000% $ 573,000
$ 1,099,595 100.0000% $ 1,099,595
$ 237,057,539
$ 419,006,000 4.8900% $ 20,489,393
$ 178,386,819 4.8900 % $ 8,723,115
$ 40,335,000 0.0460% $ 18,554
$ 4,665,000 10.6180% $ 495,330
yl L7~/LO~J7J
$ 266,783,931
Notes:
1) For debt repaid with property taxes, the percentage of overlapping debt applicable is estimated using taxable assessed property values. Applicable
percentages were estimated by determining the portion of another governmental unit's taxable assessed value that is within the city's boundaries and
dividing it by each unit's total taxable assessed value.
2) Overlapping governments are those that coincide, generally, within the geographic boundaries of the City.
3) This schedule estimates the portion of the outstanding debt of those over-apping govemments that is borne by the residents and businesses of the
City. This process recognizes that, when considering the City's ability to issue and repay long-term debt, the entire debt burden borne by the residents
and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying
the debt, of each overlapping government.
4) Combined Total Debt excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue, tax allocation bonds, and non-bonded
capital lease obligations.
168
I~~~ ~~~
This page intentionally left blank.
169
City of Dublin
Legal Debt Margin Information
Last Ten Fiscal Years
, ~~ i
~~~
,
'
2001 2002 2003 2004 2005 ,
Assessed valuation $ 3,004,986,989 $ 3,724,977,718 $ 4,308,405,185 $ 4,871,327,283 $ 5,507,782,154 ,
Add back exempted real property 60,674,335 64,396,816 70,891,008 70,891,008 72,612,237
Total assessed valuation $ 3,065,661,324 $ 3,789,374,534 $ 4,379,296,193 $ 4,942,218,291 $ 5,580,394,391 '
Conversion Ratio 25% 25% 25% 25% 25% '
Converted assessed valuation $ 766,415,331 $ 947,343,634 $ 1,094,824,048 $ 1,235,554,573 $ 1,395,098,598
Debt limit percentage 15% 15% 15% 15% 15% ~
Debt limit $ 114,962,300 $ 142,101,545 $ 164,223,607 $ 185,333,186 $ 209,264,790 ~
Total net debt applicable to limit:
General obligation bonds - - - - - ~
Legal debt margin $ 114,962,300 $ 142,101,545 $ 164,223,607 $ 185,333,186 $ 209,264,790
Total debt applicable to the limit ,
as a percentage of debt limit 0.0% 0.0% 0.0% 0.0% 0.0%
Source: City of Dublin Administrative Services Department
Notes: ,
1. The Government Code of the State of California provides far a legal debt limit of 15% of gross assessed valuation. However,
this provision was enacted when assessed valuation was based upon 1981-82 fiscal year, each parcel is now assessed at 100% of '
market value (as of the most recent change in ownership for that parcel). The computations shown above reflect a conversion of
assessed valuation data for each fiscal year from5% of market value. Effective with the current full valuation perspective to the
25% level that was in effect at the time that the legal debt margin was enacted by the State of California for local governments
located within the state. ~
2. Excludes 1915 Act Bonds since they are not General Obligation Debt of the City of Dublin
170
I~b ~~ Z~~
.. ,
Fiscal Year
2006 2007 2008 2009 2010
$ 6,310,300,211 $ 7,370,123,956 $ 8,149,582,054 $ 8,638,686,162 $ 8,341,462,340
77,085,570 80,274,178 78,188,899 36,478,516 49,873,361
$ 6,387,385,781 $ 7,450,398,134 $ 8,227,770,953 $ 8,675,164,678 $ 8,391,335,701
25% 25% 25% 25% 25%
$ 1,596,846,445 $ 1,862,599,534 $ 2,056,942,738 $ 2,168,791,170 $ 2,097,833,925
15% 15% 15% 15% 15%
$ 239,526,967 $ 279,389,930 $ 308,541,411 $ 325,318,675 $ 314,675,089
$ 239,526,967 $ 279,389,930 $ 308,541,411 $ 325,318,675 $ 314,675,089
0.0% 0.0% 0.0% 0.0% 0.0%
171
City of Dublin
Demographic And Economic Statistics
Last Ten Years
i g~ ~z~ ~
~
'
,
Personal Income (in
Year City Population (1) Thousands) (2)
2001 32,570 56,121,667
2002 33,520 55,316,772
2003 35,545 56,424,129
2004 38,330 59,339,211
2005 39,931 62,015,782
2006 41,907 66,998,496
2007 43,630 70,761,435
2008 46,934 73,159,586
2009 47,922 N/ A
2010 48,821 N/ A
Per Capita Personal Unemployment Rate
Income (2) (3)
38,417 2.60%
37,755 4.00%
38,712 4.00%
40,915 3.40%
43,074 3.00%
46,414 2.60%
48,679 2.80%
49,757 3.70%
N/A 6.50%
N/A N/A
Sources:
1) State of California Department of Finance, Population Estimate at January 1 and City Population Rankings.
2) Bureau of Economic Analysis, Personal Income and Per Capita Personal Income, Alameda County (2 years lag)
31 State of California Emrolovment Develonment l~enarhnent Citv's Anm~al AvPravP (1 vaar laol
Rank in Size of ,
California Cities (1)
209 '
209
204
193 ,
192
190 ,
184
180
179 ,
179
~
,
City Population (1)
55,000
50,000
45,000
a~
N
~ 40,000
c
0
~
~ 35,000
a
0
n' 30,000
25,000
20,000
ti~~~ ti~~~ ~~~~ ~~~~ ti~~~ ti~~~
Fiscal Year
172 ,
~~~'` rL~~~ ~L~~~
i~~~bz~z
City of Dublin
Property Value, Construction And Bank Deposits
Last Ten Fiscal Years
Fiscal Year Ended Total Number of
June 30 Permits Issued (1)
2001 1828
2002 1015
2003 1157
2004 1154
2005 1275
2006 1199
2007 1214
2008 1333
2009 1101
2010 1345
Commercial
Construction Value
(1)
113,618,557
63,476,079
46,448,163
18,575,621
56,481,612
96,389,754
56,832,041
18,256,381
23,968,805
17,407,699
Residential
Construction Value
~1)
155,286,401
123,149,627
178,361,169
242,563,776
283,817,542
207,862,999
178,094,884
59,647,886
63,242,418
124,930,163
Bank Deposits (2)
Source: 1) City of Dublin Community Development Department
2) Findley Reports, Inc Bank Deposits represents the amount of cash deposits held by financial institutions
809,281,000
900,670,000
980,220,300
488,343,000
566,441,000
629,684,000
676,681,000
680,695,000
N/A
N/A
173
i~~~~~~
City of Dublin
Principal Employers
Current and Three years prior
Number of
2010 Employees Ranking 2007
United States Government United States Government
& Federal Correction Institute 2100 1 & Federal Correction Institute
Zeiss Meditec 830 2 Zeiss Meditec
Sybase Corporation 730 3 Sybase Corporation
Dublin Unified School District 580 4 Dublin Unified School District
Micro Dental Laboratories 550 5 County of Alameda
County of Alameda 480 6 Safeway
Safeway 400 7 Micro Dental Laboratories
City of Dublin 219 8 City of Dublin
Franklin Templeton Investments 200 9 Franklin Templeton Investments
Avaya 180 10 Target Corporation
Target Corporation 180 10
Source: City of Dublin Economic Development Department.
Note: Information regarding Principal Employers for prior fiscal years was not available.
Number of
Employees Ranking
2133 1
700 2
664 3
583 4
486 5
450 6
319 7
218 8
170 9
150 10
174
I~ ~~~~~
City of Dublin
Full-time Equivalent City and Contract Government Employees by Function
Last Ten Fiscal Years
Fiscal Year
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
General government
City Manager 4.00 5.50 5.50 5.75 6.00 7.17 6.25 6.50 6.50 6.00
Administrative Services 9.30 10.00 10.00 11.00 11.50 11.50 11.50 12.00 12.00 11.50
Central Services &
Building Management 2.85 3.71 3.60 3.65 3.40 3.43 3.75 3.51 3.52 1.34
Public Safety:
Police 47.50 52.50 55.00 54.00 54.00 57.00 59.00 61.00 61.00 61.00
Fire 30.97 30.98 40.00 39.89 40.89 40.25 40.25 40.75 40.78 39.77
Disaster Preparedness 0.50 0.50 0.50 0.50 0.33 0.33 0.33 0.50 0.50 0.50
Transportation
Public Works 6.00 6.50 6.50 6.50 6.50 6.50 7.50 8.50 8.50 6.45
Street Maintenance 5.39 5.55 7.60 9.00 9.46 10.14 10.57 10.73 9.93 9.18
Health and welfare
Environmental - - - - - - - - - 2.50
Housing - 1.00 1.00 1.00 1.75 1.75 1.75 1.75 2.90 3.20
Waste Management - - - - 0.33 0.33 0.33 0.33 1.33 0.33
Culture and leisure services
Parks Community Services 11.75 12.50 12.50 13.00 14.00 14.00 14.00 15.50 16.00 16.60
Park Maintenance 6.38 7.60 7.79 8.48 8.70 9.10 9.53 9.55 9.92 9.65
Parks/Facilities Management 1.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00
Library Services - - 0.20 0.60 0.51 0.51 0.48 0.45 0.43 0.39
Heritage & Cultural Arts 1.15 1.96 1.93 1.93 2.31 2.30 2.32 2.53 2.49 2.47
Community development
Planning & Building 22.50 25.00 25.00 26.00 32.00 34.50 33.90 32.50 27.10 19.05
Economic Development 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.50 1.50
Engineering 13.00 13.00 14.00 13.00 13.35 13.35 13.35 13.35 12.35 9.00
Tota- 163.29 179.30 194.12 197.30 208.03 21516 217.81 222.45 218.75 202.43
Source: City of Dublin Administrative Services Department
Note: Include Full Time, Part Time, Temporary and Contract Employees
175
1 ~ ~ ~~~2~
City of Dublin
Operating Indicators by Function
Last Ten Fiscal Years
Fiscal Year
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Function
Police:
Calls for Service 46,970 50,613 52,708 49,379 48,388 46,197 41,306 41,652 38,983 38,125
Citations Issued 9,624 8,364 10,501 11,081 10,911 10,595 11,676 11,768 7,086 10,101
Arrests 1,272 1,418 1,376 1,614 1,631 2,020 1,668 2,021 1,620 1,556
Fire:
Emergency calls 1,645 1,797 1,872 1,724 1,742 1,771 1,780 1,978 1,969 1,999
Inspections 7,129 5,182 5,021 4,951 3,249 4,122 4,048 2,213 1,952 3,576
Building Plan Reviews and Consultations 989 1,270 1,381 1,249 858 1,006 1,049 922 511 474
Public works:
Bike Path Maintenance(hours) 270 141 230 428 783 726 810 775 775 697
Street Sign Maintenance (number of signs) 317 211 643 308 353 435 427 135 74 325
Curb Painting (linear feet) 1,637 2,749 2,993 1,607 1,404 3,991 4,006 2,468 2,395 6,607
Replace Street Asphalt (square feet) 19,545 12,320 5,500 3,000 7,500 7,950 13,800 33,000 29,000 30,000
Street Sweeping (curb miles) 4,336 4,529 5,116 5,371 5,686 5,730 5,927 6,075 6,341 5,083
Parks and recreation:
Museum Visitors 1,012 793 300 900 800 1,350 2,140 2,225 2,040 3,530
Afterschool Recreation (participants/day) 126 134 140 128 129 138 153 180 167 176
Preschool Classes Participants 177 176 214 268 224 285 254 399 402 690
Youth Basketball League Participants 397 445 476 536 547 580 588 570 591 772
Senior Center Average Daily Attendance 92 97 111 110 110 149 180 185 190 198
Community Development
Planning Applications 44 56 78 71 73 59 55 55 64 62
Building Permits 1,828 1,429 1,617 1,639 1,837 1,855 1,910 1,333 1,101 1,345
Building Inspections 19,073 16,492 24,682 31,571 33,534 34,244 36,071 25,602 12,302 8,933
Source: City of Dublin
176
~~3~ ~~~
City of Dublin
Capital Assets Statistics by Function
Last Ten Fiscal Years
Fiscal Year
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Function
Public Safety
Police Stations 1 1 1 1 1 1 1 1 1 1
Fire Stations 2 2 3 3 3 3 3 3 3 3
Public works:
Street Lights 2,383 2,504 2,872 2,958 3,469 3,752 3,972 4,193 4,479 4,526
Miles of Streets 63 65 81 81 81 81 104 93 103 105
Milesof Curbs 172 180 202 202 202 202 217 217 218 222
Traffic Signals 42 49 55 60 62 67 75 79 Sl 85
City Street Trees 3,174 4,585 5,148 5,401 5,955 6,084 6,084 6,084 6,499 7,054
City Landscape (acres) 22 33 38 38 43 45 45 45 45 57
Parks and recreation:
Number of Community Facilities 5 5 7 7 7 7 7 7 7 7
Number of City Parks 9 9 11 11 11 11 11 16 16 16
Acres of City Parks 77 84 109 109 109 109 121 122 201 201
Acres of Open Space 107 107 122 122 126 126 126 122 125 125
Source: City of Dublin
177
City of Dublin
Top 25 Sales Tax Producers
2009-2010
i~ ~~ ~ ~
~ o~
,
'
BUSINESS NAME BUSINESS CATEGORY
Alameda County Auction '
Motor Vehicle Dealer
Alcosta Shell Service Stations
Arco AM/PM Mini Mart Service Stations
Bed Bath & Beyond Home Furnishings '
Best Buy Electronics/Appliance Stores
Carl Zeiss Ophthalmic System Specialty Stores
Dublin Honda Motor Vehicle Dealer ,
Dublin Kia Motor Vehicle Dealer
Dublin Nissan Motor Vehicle Dealer
Dublin Toyota Motor Vehicle Dealer
Dublin Chevron '
Motor Vehicle Dealer
Dublin Volkswagen Motar Vehicle Dealer
Graybar Electric Co Electrical and Telecommunications Supply Chain
Lowes '
Hardware Store
Marshall Discount Department Stores
Old Navy Department Stores
Orchard Supply Hardware Hardware Store '
Ross Hardware Store
Safeway Grocery Store Liquor
Safeway Gas Sales Service Stations ,
Santa Rita Jail Food Service Food Service
Stoneridge Chrysler Jeep Motor Vehicle Dealer
T J Maxx Discount Department Stores ,
Target Department Stores
Toys R Us Specialty Stores
Source: Hinderliter, de Llamas & Associates, State Board of Equalization
Notes:
State Law does not allow disclosure of the top ten sales tax providers to the City
Top producers listed in alphabetically order
178
i~~~~~~
City of Dublin
Miscellaneous Statistical Data
june 30, 2010
General
Date of Incorporation February 1,1982
Form of Government Council/Manager
Population 48,821
Number of Registered Voters 20,547
Employees, City and Contract (Full Time Equivalent) 202
Area (Square Miles) 14.62
Parks and Recreation
Parks 16.00
Acres in Parks 200.65
Acres in Open Space 124.76
Public Education
Elementary Schools 6
Middle Schools 2
High School 1
Continuation High School 1
School Enrollment 6025
Police Protection
Number of Stations 1
Police Personnel (Full Time Equivalent) 60
Fire Protection
Number of Stations 3
Fire Personnel (Full Time Equivalent) 3g
Community Facilities
Dublin Civic Center 1
Dublin Senior Center 1
Dublin Swim Center 1
Dublin Heritage Center 1
Dublin Public Library 1
Shannon Community Center 1
Emerald Glen Activity Center 1
Source: City of Dublin
179
~ ~~ '
l~ c~ ~
1
Tliis page intentionall~ left blank.
180 '
lq~~ Z~~
SUMMARY - KEY INFORMATION IN DRAFT
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDING JUNE 30, 2010
City Council Meeting December 21, 2010
Attached is the Final Draft document and the Auditor is preparing printed copies.
1. Includes audited financial statements reviewed by Caporicci and Larson, Inc. , a
Subsidiary of Maccum, LLP (C&L)
2. "Clean Opinion" based on testing Financial Statements fairly represent the City's
financial position.
3. Information included in a CAFR exceeds the minimum amount of information required
for a financial audit.
4. CAFR format will allow the City to apply for a Certificate of Achievement from the
Government Finance Officers Association. The goal is to provide financial information
of the highest quality.
5. ORGANIZATION OF DRAFT REPORT
i. Transmittal letter (pages v- ix). (Provides a general overview of the
components which make up the report.
ii. Opinion issued by the Independent Auditor (pages 1-2).
iii. Manaqement Discussion and Analvsis (MD&A) Page 3 and continuing to
page 16, is required by GFOA. Provides and overview of the financial
activities, with a focus on significant trends, as well as major changes
associated with the City's major funds (i.e. General Fund and Impact Fee
funds).
iv. Financial Statements A significant portion of the CAFR is comprised of
financial statements and schedules for the various funds used to account
for the City's revenue and expenditures. Pages 21 - 23, include a
Government Wide Statement of Net Assets which is similar to financial
statements presented by private corporations.
It is important to keep in mind the unique nature of government
services and what is reported as assets. For example, land
dedicated for streets and parks, infrastructure, and public
buildings are reported as part of the Non-current Assets retained
by the City. This category is $436 million (82%) of Total Assets.
These are not liquid assets available to fund programs or on-going
activities.
v. Statistical Section Pages 153 - 179 comprise the unaudited statistical
section of the CAFR includes graphs of relevant historical data.
Page 1 of 2
ATTACHMENT 2
~a~~~~
SUMMARY - KEY INFORMATION IN DRAFT
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDING JUNE 30, 2010
City Council Meeting December 21, 2010
6. Reserves - A complete listing of both fund reserves and designations for all funds is
shown on page 64 of the report.
i. A"Reservation" implies that there is a strong legal basis which restricts the
discretion of the City Council to use the funds for any desired purpose.
ii. A"Designation" is less restrictive and subject to policy decisions by the City
Council.
The format for the presentation of fund balance will be changing based on new
accounting requirements beginning with the June 30, 2011 CAFR. A more detailed
discussion of General Fund Reserves and planning for the new accounting standard is
included in the December 21, 2010 Staff Report.
7. AUDIT RECOMMENDATIONS / DISCLOSURES - As part of the Audit Review the
independent auditors can present recommendations for consideration by the City. The
process allows the Auditors to disclose their observations on certain practices and
policies, and allow Management to respond to the input. This year the Auditors did not
identify any items that are required to be addressed. ~
Page2of2
ATTACHMENT 2
~..~~ ~ ~~~ ~
. .
~=~1 o u 1n
Dublin, Cal~ifornia
;,
Auditors' Communication with
Those Charged with Governance .
For the year ended June 30, 2010
' ATTACHMENT 3
~~~~ za~
December 13, 2010
To the Honorable Mayor and Members of City Council
of the City of Dublin
Dublin, California
We have audited the financial statements of the governmental activities, each major fund, and the aggregate
remaining fund information of the City of Dublin (City) for the year ended June 30, 2010, and have issued
our report thereon dated December 13, 2010. Professional standards require that we provide~ you with the
following information related to our audit. -
Our Res~onsibility under U.S. Generally Acce~ted Auditing Standards
As stated in our engagement letter dated February 8, 2010, our responsibility, as described by professional
standards, is to e~cpress opinions about whether the financial statements prepared by management with
your oversight are fairly presented, in all material respects, in confornlity with U.S. generally. accepted
accounting principles. Our audit of the financial statements does not relieve you or management of your
responsibilities. ~
In planning and performulg our audit, we considered City's internal control over financial reporting in
order to determine our auditing procedures for the ~ purpose of expressing our opinions on the financial
statements and not to provide assurance on the internal control over financial reporting. We also
considered internal control over compliance with requirements that could have a direct and material effect
on a major federal program in order to determine our auditing procedures for the purpose of expressing
our opinion on compliance and to test and report on internal control over compliance in accordance with
OMB Circular A-133.
As part of obtaining reasonable assurance about whether City's financial statements are free of material
misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts,
and .grants, noncompliance with which could have a direct and material effect on the determination of
financial statement amounts. However, providing an opinion on compliance with those provisions was not
an objective of our audit. Also in accordance with OMB Circular A-133, we examuled, on a test basis,
evidence about City's compliance with the types of compliance requirements described in the "U.S. Office
of Management and Budget (OMB) Circialar A-133 Compliance Supplement" applicable to each of its major
federal programs for the purpose of expressing an opinion on City's compliance with those requirements.
While our audit provides a reasonable basis for our opinion, it does not provide a legal determination on
City's compliance with those requirements.
Planned Scope and Timing of the Audit
We performed the audit according to the planned scope and timing previously communicated to you in our
engagement letter dated February 8, 2010.
To the Honorable Mayor and Members of City Council ~ 2~ t p~ ~ Z~
of the City of Dublin ~~
Dublin, California
Page 2
Significant Audit Findin~s
Qualitative Aspects of Accounting Practice
Management is responsible for the selection and use of appropriate accounting policies. In accordance with
the terms of our engagement letter, we will advise management about the appropriateness of accounting
policies and their application. The significant accounting policies used by the City are described in Note 1 to
the financial statements. The City adopted new accounting policies during 2010:
- GASB Statement No. 51, Accounting and Financial Reporting for Intangible Assets - This
Statement establish accounting and financial reporting requirements for intangible assets to
reduce these inconsistencies, thereby enhancing the comparability of the accounting and
financial reporting of such assets among state and local govexnments.
We noted no transactions entered into by the City during the year for which there is a lack of authoritative
guidance or consensus. We noted no significant transactions that have been recognized in the financial
statements in a different period than when the transaction occurred.
Accounting estimates are an integral part of the financial statements prepared by management and are
based on management's knowledge and experience about past and current events and assumptions about
future events. Certain accounting estimates are particularly s~nsitive because of their significance to the
financial statements and because of the possibility that future events affecting them may differ significantly
from those expected. The mosf sensitive estimates affecting the financial statements were:
• Investtnents Valuations
~ Net Other Post-employment Benefits (OPEB) Obligation
• Accrual`for Workers' Compensation, Dental. and General Liability
The disclosures in the financial statements are transparent, consistent, and clear. Certain financial statement
disclosures are particularly sensitive because of their significance to financial statement users. The most
sensitive disclosures affecting.the financial statements were:
• Summary of Significant Accounting Policies
• Cash and Investments
• Notes and Loans Receivable
• Capital Assets
• Employee Retirement Plans
• Other Post Employment Benefits
~ Commitments & Contingencies
~-
To the Honorable Mayor and Members of City Council ~~.~ ~~~~
of the City of Dublin
Dublin, Cahfornia
Page 3
Difficulties Encountered in Performin~ the Audit "
We encountered no significant difficulties in dealing with management in performing and campleting our
audit.
Corrected and Uncorrected Misstatement
Professional standards require us to accumulate all known and likely misstatements identified during the
audit; other. than those that are trivial, and communicate them to the appropriate level of management.
Management has .corrected all such misstatements. The list of corrected misstatements are presented at the
end of the Management Representations letter attache.d.
Disagreements with Mana ement -
For purposes of this letter, professional standards define a disagreement with management as a financial
accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be
significant to the financial statements or the auditor's report. We are pleased to report that no such
disagreements arose during the course of our audit.
Management Representations
We have requested certain representations from management that are included in a management
representation letter dated December 13, 2010. A copy is attached for your information.
ManaQement Consultations with Other Inde~endent Accountants
In some cases, management may decide to consult with other accountants about auditing and accounting
matters, similar to obtaining a"second opinion" in certain situations. If a consultation involves application
of ari accounting principle to the City's financial statements or a determination of the type of audifor's
opinion that may be expressed on those statements, our professional standards require the consulting
accountant to check with us to determirie that the consultant has all the relevant facts. To our knowledge,
there were no such consultations with other accountants.
. ~
To the Honorable Mayor and Members of City Council
of tlie City of Dublin
Dublin, California
Page 4
Other Audit Findiri~s or Issues
Z ~ ~ ~jz Zv
We generally discuss a variety of matters, including the application of accounting principles and auditing
standards, with management each year prior to retention as the. City's auditors. However, these discussions
occurred in the normal course of our professional relationship and our responses were not a condition of
our retention.
This information is intended solely for the use of the City Council and management of the City and is not
intended to be and should not be used by anyone other than these specified parties.
~~~esti ~ ~I.6s~~~ ~~.
San Francisco, California
CITY OF DUBLIN
2 f~~-~ Zay
100 Civic Plaza, Dublin, California 94568
December 13, 2010
Caporicci & Larson, Inc.
101 Ivlontgomery St., Suite 1900
San Francisco, CA 94104
Website: http://www.ci.dublin.ca.us
We are providing this letter in connection with your audit of the financial statements of City of Dublin,
California (City) as of June 30, 2010 and for the year then ended for the purpose of expressing opinions
as to whether the financial statements present fairly, in all material respects, the respective financial
position of the governmental activities, each major fund, and the aggregate remainulg fund information
of the City, and the respective changes in financial position and, where applicable, cash flows thereof in
conformity with U.S. generally accepted accounting principles. We confirm that we are responsible for
the fair presentation of the previously mentioned financial statements in conformity with U.S. generally
accepted accounting principles. We are also responsible for adopting sound accounting policies,
establishing and maintaining effective internal control, and preventing and detecting fraud
We confirm, to the best of our knowledge and belief, as of December 13, 2010, the following
representations made to you during your audit(s):
1. The financial statements referred to above are fairly presented in conformity with U.S. generally
accepted accounting principles and include all properly classified funds and other financial
information of the primary government and all component units required by generally accepted
accounting principles to be included in the financial reporting entity.
2. We have made available to you all-
a. Financial records and related data.
b. Minutes of the meetings of the City Council or summaries of actions of recent meetings for
~
which minutes have not yet been prepared.
3. There have been no commur•ucations from regulatory agencies concerning noncompliance with,
or deficiencies in, financial reporting practices.
4. There are no material transactions that have not been properly recorded in the accounting records
underlying the financial statements or the schedule of expenditures of federal awards
5. We believe the effects of the uncorrected financial statement misstatements summarized in the
attached schedule are immaferial, both individually and in the aggregate, to the financial
statements taken as a whole.
6. We acknowledge our responsibility for the design and implementation of programs and controls
to prevent and detect fraud.
Area Code (925) • City Manager 833-6650 • City Council 833-6650 • Personnel 833-6605 • Economic Development 833-6650
Finance 833-6640 • Public Works/Engineering 833-6630 • Parks & Community Services 833-6645 • Police 833-6670
Planning/Code Enforcement 833-6610 • Building Inspection 833-6620 • Fire Prevention Bureau 833-6606
Printed on Recycled Paper
Management Representation Letter 2~} ~~ ZZ?
December 13, 2010 '
Page 2 of 7
7. We have no knowledge of any fraud or suspected fraud affecting the entity involving:
a. Management,
b. Employees who have significant roles in internal control, or
c. Others where the fraud could have a material effect on the financial statements.
We have no knowledge of any allegations of fraud or suspected fraud affecting the entity
received in communications from employees, former employees, analysts, regulators, or others.
We have taken timely and appropriate steps to remedy fraud, illegal acts, violations of provisions
of contracts or grant agreements, or abuse that you have reported to us.
10. We have a process to track the status of audit findings and recommendations
11. We have identified to you any previous financial audits, attestation engagements, performance
audits, or other studies related to the objectives of the audit being undertaken and corrective
actions taken to address significant findings and recommendations.
12. We have provided our views on reported findings, conclusions, and recommendations, as well as
our planned corrective actions, for the report.
13. The City has no plans or intentions that may materially affect the carrying value or classification
of assets, liabilities, or equity. -
14. The following, if any, have been properly recorded or disclosed in the financial statements:
a. Related party transactions, including revenues, expenditures/expenses, loans, transfers, leasing
arrangements, and guarantees, and amounts receivable from or payable to related parties.
b. Guarantees, whether written or oral, under which the City is contingently liable.
c. All accounting estimates that could be material to the financial statements, including the key
factors and sigivficant assumptions underlying those estimates and measurements. We believe
the estimates and measurements are reasonable in the circumstances, consistently applied, and
adequately disclosed.
d. Pollution cleanup responsibilities of the City.
15. We are responsible for compliance with the laws, regulations, and provisions of contracts and
grant agreements applicable to us, including tax or debt limits and debt contracts; and we have
identified and disclo.sed to you all laws, regulations and provisions of contracts and grant
agreements that we believe have a direct and material effect on the determination of financial
statement amounts, or other financial data significant to the audit objectives, including legal and
contractual provisions for reporting specific activities in separate funds.
Management Representation Letter
December 13, 2010
Page 3 of 7
a~~ ~b~~.~
16. There are no -
a. Violations or possible violations of budget ordinances, laws and regulations (including those
pertaining to adopting, approving, and amencling budgets), provisions of contracts and grant
agreeinents, tax or debt limits, and any related debt covenants whose effects should be
considered for disclosure in the financial statements, or as a basis for recording a loss
contingency, or for reporting on noncompliance.
b. Unasserted claims or assessments that our lawyer has advised us are probable of assertion and
must be disclosed in accordance with Financial Accounting Standards Board (FASB) Statement
No. 5, Accounting for Contingencies
c. Other liabilities or gain or loss contingencies that are required to be accrued or disclosed by
FASB Statement No. 5.
d. Reservations or designation of fund equity that were not properly authorized and approved.
17. As part of your audit, you prepared the draft financial statements and related notes and
schedule of expenditures of federal awards. We have designated a competent management-level
individual to oversee your services and have made all mariagement decisions and performed all
management functions. We have reviewed, approved, and accepted responsibility for those
finaricial statements and related notes and schedule of expenditures of federal awards.
18. The City has satisfactory title to all owned assets, and there are no liens or encumbrances on
such assets nor has any asset been pledged as collateral.
19. The City has complied with all aspects of contractual agreements that would have a material
effect on the financial statements in the event of noncompliance.
20. We have followed all applicable laws and regulations in adopting, approving, and amending
budgets.
21. The financial statements include all component units as well as joint ventures with an equity
interest, and properly disclose all other joint ventures and other related organizations.
22. The financial statements properly classify all funds and activities.
23. All funds that meet the quantitative criteria in GASB Statement Nos. 34 and 37 for presentation
as major are identified and presented as such and all other funds that are presented as major are
particularly unportant to financial statement users.
24. Net asset components (invested in capital assets, net of related debt; rest~icted; and unrestricted)
and fund balance reserves and designations are properly classified and, if applicable, approved.
25. Provisions for uncollectible receivables have been properly identified and recorded.
26. Expenses have been appropriately classified in or allocated to functions and programs in the
statement of activities, and allocations have been made on a reasonable basis.
Management Representation Letter
December 13, 2010
Page 4 of 7
2n~~ z~~
27. Revenues are appropriately classified in the statement of activities within program revenues,
general revenues, contributions to term or permanent endowments, or contributions to permanent
fund principal.
28. Interfund, internal, and intra-entity activity and balances have been appropriately classified and
reported.
29. Deposits and investment securities are properly classified as to risk, and investrnents are properly
valued.
30. Capital assets, including infrastructure assets, are properly capitalized, reported, and, if applicable,
depreciated.
31. Required supplementary information (RSI) is measured and presented within prescribed
guidelines.
32. With respect to federal award programs:
a. We are responsible for complying and have complied with the requirements of OMB Circular
A-133, Audits of States, Local Governments, and Non-Profit Organizc~iions.
b. We have, in accordance with OMB Circular A-133, identified in the schedule of expenditures of
federal awards, expenditures made during the audit period for all awards provided by federal
agencies in the form of grants, federal cost-reimbursement contracts, loans, loan guarantees,
property (including donated surplus property), cooperative agreements, interest subsidies,
insurance, food commodities, direct appropriations, and other assistance.
c. We are responsible for complying with, and have complied with in all material respects, the
requirements of laws, regulations, and the provisions of contracts and grant agreements related
to each of our federal programs and have identified and disclosed to you the requirements of
laws, regulations, and the provisions of contracts.and grant agreements that are considered to
have a direct and material effect on each major federal program.
d. We are responsible for establishing and maintaining, and have established and maintained,
effective internal control over compliance requirements applicable to federal programs that
, provides reasonable assurance that we are managing our federal awards in compliance with
laws, regulations, and the provisions of contracts and b ant agreements that could have a
material effect on our federal programs. We believe the internal control system is adequate and
is functioning as intended. Also, no changes have been made "in internal control over
~ compliance or other factors to the date of this letter that might significantly affect internal
control, including any corrective action taken with regard to reportable conditions (including
material weaknesses) reported in the schedule of findings and questioned costs.
We have made available to you all contracts and grant agreements (including amendments, if
any) and any ot~ler correspondence with federal agencies or pass-through entities relating to
major federal programs.
Management Representation Letter
December 13, 2010
Page 5 of 7
~~~~zZ~.
f. We have received no requests from a federal agency to audit one or more specific programs as a
ma~or program.
g. We have complied, in all material respects, with the compliance requirements, including when
applicable, those set forth in the OMB Circular A-133 Complic~nce Supplement, relating to federal
awards and have identified and disclosed to you all amounts questioned and any known
noncompliance with the requirements of federal awards, including those resulting from other
audits or program reviews.
h. Amounts claimed or used for matching were determined in accordance with relevant
guidelines in OMB .Circular A-87, Cost Principles for Stc~te, Locc~l, c~nd Tribc~l Governments, and
OMB's Uniform Administrative Requirements for Grccnts c~nd Cooperative Agreements to State and
Local Governments.
i. We have disclosed to you our interpretation of compliance requirements that may have varying
interpretations.
j. We have made available to you all documentation related to the compliance requirements, .
including~information related to federal program financial reports and claims for advances and
reimbursements.
k. Federal program financial reports and claims for advances and reimbursements are supported
by the books and records from which the financial statements have been prepared.
l. We have charged costs to federal awards in accordance with applicable cost principles.
m. The copies of federal program financial reports provided you are true copies of the reports
submitted, or electronically transmitted, to the respective federal agency or pass-through entity,
as applicable.
n. We have monitored subrecipients to determine that they have expended pass-through assistance
in accordance with applicable laws and regulations and have met the requirements of OMB
Circular A-133. `
o. We have taken appropriate action, including issuing management decisions, on a timely basis after
receipt of subrecipients' auditor's reports that identified noncompliance with laws, regulations, or
the provisions of contracts or grant agreements and have ensured that subrecipients have taken the
appropriate and timely corrective action on findings.
p. We have considered the results of subrecipient audits and have inade any necessary adjustmerits to
our books and records.
q. We are responsible for and have accurately prepared the stunmary schedule of prior audit findings
to include all findings required to be included by OMB Circular A-133 and we have provided you
with all information on the status of the follow-up on prior audit findings by federal awarding
agencies and pass-through entities, including all management decisions.
r. We are responsible for and have accurately prepared the auditee section of the Data Collection
Form as required by OMB Circular A-133, and we are responsible for preparing and implementing
a corrective action plan for each audit finding.
Management Representation Letter
December 13, 2010
Page 6 of 7
Zo~ ~zz.~
s. We have disclosed to you all contracts or other agreements with service organizations, and we
have disclosed to you all communications from the service organizations relating to
noncompliance at the service organizations.
33. No events, including instances of noncompliance, have occurred subsequent to the balance sheet
date and through the date of this letter that would require adjustment to or disclosure in the
aforementioned financial statements or in the schedule of findings and questioned costs
• V~
Signed. ,
Title: /~ t~i~~n.s~ro.~;.te ~r~;ctS k~ irc~o~
Management Representation Letter
December 13, 2010
Page 7 of 7
City of -Dublin
Summary of Audit Differences
Fiscal Year Ended June 30, 2009
Uncorrected Audit Differences:
NONE
Conected Audit Adjusting Journal Entries:
ZL~ l~2Za--
NONE
~~.~ o~ oU~~ f ?, t l~ Z.~.~.
~,; ~'~ ;~ CITY MANAGERS OFFICE
1`~~-~~Z AUDIT AD-HOC SUBCOMMITTEE INFORMATION
~~ ~ ~ ,
~~LlFOR~~~
MEETING OF DECfMBER 14, 2010
DATE: December 14, 2010
-TO: Ad-Hoc Audit Subcommittee: Mayor Sbranti and Councilmember Hildenbrand
FROM: Joni Pattillo, City Manager
SUBJECT: PROPOSED ALLOCATION OF RESERVES IN JUNE 30, 2010 CAFR
(Prepared By: Paul S. Rankin, Administrative Services Director)
, .....................................................................................
GASB 54 will become effective for the year ending June 30, 2011. In order to start preparing for
the changes, Staff presented the City Council with conceptual designations for allocating
General Fund balance at a meeting on April 20, 2010. Based on that input, attached is a
revised breakdown accommodating the actual June 30, 2010 results. ~
Once GASB 54 becomes effective modifications will need to be in place prior to the close of the
Fiscal Year and where appropriate must be approved by the City Council.
Backqround
The following outline describes the five new classifications which will be allowable for
presentation of reserves in upcoming financial statements:
1) Nonspendable (Inherently nonspendable based on the form of the asset or a requirement
to remain in tact)
^ Resources that by their very nature cannot be spent (e:g., prepaid rent,
Inventory) . .
• Resources that are not yet available for spending (e.g., long-term
portion of loans receivable)
^ Resources externally restricted to a purpose narrower than the fund
(Cemetery Endowment)
2) Restricted (Net fund resources subject to externallv enforceable leqal restrictions~
^ Externally imposed by creditors (such as through debt covenants),
grantors, contributors, or laws or regulations of other governments.
^ Imposed by law through constitutional provisions or e.nabling legislation.
^ Note that there is no need for the limitation to be narrower than the
purpose:of the fund.
ATTACHMENT 4
G:\Audit\PY 09-10 A~uiual Audit~~enda Statements\Ad-Floc Committee\Meetin~\memo_CM_Desi~_Fund_Qa112_b.doc
TO: Ad-Hoc Audit Subcommittee ~~ a_u ~~~
December 14, 2010
RE: PROPOSED ALLOCATION OF RESERVES IN JUNE 30, 2010 CAFR
Page 2
^ Examples would include special revenue funds which have a legal
restriction imposed by external sources (e.g., grant funds, gas tax, etc.)
3) Committed (Self-imposed limitations based on formal action of qoverninq bodv)
^ Must occur before the end of fiscal year.
^ Can only be changed by action of Governing body.
^ Examples in this category would be similar to designations made in the
past by the City Council (e.g. the establishment of a reserve to construct
the Historic Park expansion, or Emerald Glen Aquatic Center scope
change, etc.)
4) Assiqned (A limitation based on intended use authorization to assiqn may be
dele_ atq ed by the City Council - similar to designations expressinq intent)
^ Intent would have to be established at either the highest level of
decision making, or by a body (e.g., finance committee) or an official
(i.e. City Manager) designated for that purpose.
^ Examples in this category would be somewhat of a change since the
designations need to be made before the end of the Fiscal Year. In the
past, the Staff could present recommendations for approval by the City
Council after the close of the Fiscal Year. There may be appropriate
items that could be delegated to Staff (City Manager or Administrative
Services Director (e.g. accrued leave, carry-over appropriations, etc.)
5) Unassiqned (Available for anv purpose)
ALLOCATIONS IN THE JUNE 30, 2010 CAFR
Attached is an outline of the General Fund designations in the same order as the categories
discussed above. General Fund balances do not carry a designation of "Restricted" unless there
were external third party restrictions imposed. None of the current General Fund balances are
subject to that level of restriction.
The attached report includes a description of any special goals or targets for the identified
reserves, along with the June 30, 2010 balance.
KEY ITEMS
The following are key items to note as you review the material with emphasis on changes that
occurred since the preliminary presentation to the City Council April 20, 2010:
a) Stormwater Fund Created - The City has previously retained balances in the General
Fund that are required to be used for certain Stormwater activities. A new fund was
G:\Audit\FY 09-10 Annual Audit~laenda S[atemcnts~Ad-Hoc Committee\Meetin~\memo_CM_Desi~_Fund_Bal l2_6.doc
TO: Ad-Hoc Audit Subcommittee a~~~~~~'
December 14, 2010
RE: PROPOSED ALLOCATION OF RESERVES IN JUNE 30, 2010 CAFR
Page 3
established and $439,248 reported in the General Fund (2009 CAFR) was moved to the
new fund.
b) Internal Service Fund (ISF) Buildinqs Contribution - As part of the April report the need to
account for additional buildings in an ISF was noted and a recommended $3 million
contribution was proposed. This was one-time funds that were allocated to the Internal
Service Fund to provide a funding source for building components over the long term.
The $3 million was moved from the General Fund to the Building ISF. As of June 30,
2010 the Building ISF has $6.5 million in funding available. +
c) Net Chanqe From 2010 Operations - The net change in operations for 2010 resulted in
an additional $2.3 million to be allocated. ~
d) Additional Chanc~es - There are a number of other changes that required adjustments to
the designations (i.e. the actual amount needed for the Fallon Park Advance was less
than projected; Collection of repayments from the Fire Impact Fee and PERS Side Fund
Advance reduced amounts reported in 2009; the unrealized market value adjustment on
investments was less in 2010 than in 2009; etc.)
e) PERS SIDE FUND - As. of June 30, 2010 our PERS Side Fund repayment to the General
Fund is approximately $2.6 million owed. The City is contributing 4.31 % of PERS payroll
annually towards repayment to the General Fund.
fl Economic Stability Reserve - It was not necessary to tap this reserve and it remains in
tact at $5.868 million. The 2011 Budget projected a potential need to tap this reserve for
$1.66 million.
g) Separation of Downtown & Open Space Reserves - For many years the City has had a
reserve of $1,378,235 designated for powntown and Open Space. Staff has presented
the report showing two reserves established at $1 million each. One is labeled
Downtown Public Improvements and the other Open Space.
h) Emerald Glen Recreation & Aquatic Center Increased Scope - The balance includes an
additional of $500,000 to this reserve.
i) Emerqency Communications Svstem - The balance was increased to $1 million as
presented in the April 20, 2010 Staff Report.
j) Increased Fire Retiree Medical - In addition to the $3.5 million recommended in the April
20t" report an additional $1 million was added. This brings the total reserve to $4.5
million and estimates of the obligation are $8.6 million.
~ k) Increased Catastrophic Loss - An additional $1.57 million was added to this designation
beyond the $6.85 million presented in April. This establishes the reserve at $8.42 million.
G:\AuditU~Y 09-10 Annual Audit~Agenda Statements~ld-Hoc Commi[tee\Meetin~a\memo_CM_Desi~_Fund_Ba112_6.doc
TO: Ad-Hoc Audit Subcommittee °~ ~ ~~ ~' ~ ~"°
December 14, 2010
RE: PROPOSED ALLOCATION OF RESERVES IN JUNE 30, 2010 CAFR
Page 4
The targeted funding goal was increased from 10% to 15% of the book value of assets.
At 15% the target for this reserve is approximately $10.29 million.
I) Innovations / New Opportunities Increased -The April Report suggested a total of
$10.125 million, which is what is presented.
m) Fallon Sports Park Advance (Less) - The amount the General Fund was required to
advance was less than the amount reported last year, due to lower construction costs
and higher than expected revenue in the Public Facility Fee Fund.
n) Historic Park Adjusted For July 2010 Appropriation - The existing Historic Park reserve
was reduced based on expenditures in Fiscal Year 2010 and increased by $767,763
appropriated in July 2010 for a replacement contractor.
o) TVTD Advance West BART Station - With the final $1,250,000 payment due to BART
from Local Share TVTD funds, Staff expect a shortfall of approximately $1 million on the
date the payment is due. A reserve of $1 million is established for this advance. This will
be paid back with interest over time, based on the collection of TVTD funds.
p) Civic Center Expansion (Added Funds For Generator) - In addition to reducing the
reserve for design expenses incurred in Fiscal Year 2010, $400,000 was added to this
reserve to allow the replacement Generator project to proceed. The current Civic Center
CIP identifies that the Fiscal Year 2011 expenditures will be related to the security
system and evaluating building systems in preparation for a future expansion.
q) Accrued Leave = Annually the Finance Department examines existing balances for
General Leave and Compensatory Time hours and their value. Depending on employees
who may have left the organization and the use of leave this reserve can fluctuate. The
June 30, 2010 balance only increased by $10,730 (Reserve at June 30, 2010 $802,311).
r) Investment Market Value Adjustment - The reserve is $817,492 less than the prior year.
s) Interest Rate / Investment Volatilitv Protection - This reserve is new and is proposed to
protect against service impacts as a result of underperForming investments. If General
Fund Interest Revenue was less than 95% of the Budget a reduction would be made
(provided the General Fund Expenses exceeded Revenues). The cost of City operations
are also impacted by investment perFormance in terms of PERS contribution rates and
OPEB Retiree Medical contributions. The reserve could be used to fund contributions
when the increase is more than 1%. It is recommended that as part of the use of the
reserve for that purpose, that a long term plan be prepared identifying how long the
reserve will contribute towards retiree obligations.
G:\Audit\~Y 09-10 Annu~l Audit~Qenda StatementsWd-Hoc Committee\Meetina\memo CNI Desia Pund Ba112 6.doc
TO: Ad-Hoc Audit Subcommittee
December 14, 2010
RE: PROPOSED ALLOCATION OF RESERVES IN JUNE 30, 2010 CAFR
Page _5
~~~~~.~
t) Cash Flow Reserve - As presented in April it was suggested that the City identify a
minimum of two months of reserves with a goal to reach four months. As the City shifts
to looking at grant opportunities and delays occur in some state payments (such as gas
tax payments), having cash flow will be important. Based on Operating Expenses in the
Fiscal Year 2011 Budget (All Funds) a 2 Month cushion is $$8.54 million and 4 Month
cushion is $17.08 million. The reserve is proposed at $9,360,000.
u) Service Continuity Obli_qation - This was. proposed in the April 20, 2010 City Council
Report to be established at $1 million. Based on the actual year - end results it was
increased by $350,000. This was calculated looking at the permits issued between April
- June for tract housing (no large commercial or multifamily permits were issued). The
$350,000 represents approximately 50% of the tract housing permit revenue in April and
May and 100% for the month of June. It is proposed that long term the City continue to
develop this reserve with a goal to have a balance which represents 125% of the
budgeted Building and Safety cost.
v) Unassigned - A small amount ($3,960) would be reported as unassigned as of June 30,
2010. In the attached policy.it is proposed to have any unassigned amounts be allocated
to the cash flow reserve, provided the Target has not been met.
How The Chanqes Will Appear In The June 30, 2011 CAFR
The footnote section. of the report can still contain a detailed listing. An example of the
difference in the presentation, using June 30, 2010 numbers is shown below:
CURRENTFORMAT
Fund Balance
Reserved $ 5,922,446
Unreserved, designated reported in:
General Fund $55,012,828
Total fund balance $61,012,828
NEW FORMAT
Fund Balances
Unspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances
$94,160
$0
$38,307,935
$22,606,773
$3,960
$61,012,828
G:\Audit\PY 09-10 Annual Audit~A~endaSta[ementslAd-Hoc Committee\Meeting\memo_CM_Desig_Fund_Ba112_6.doc
TO: Ad-Hoc Audit Subcommittee ~ ~~~~ a~
December 14, 2010
RE: PROPOSED ALLOCATION OF RESERVES IN JUNE 30, 2010 CAFR
Page 6
Next Steps
In preparing for the June 30, 2011 CAFR, Staff will make further refinements to the attached
descriptions of the General Fund designation of reserves. Any input from the Committee will be
helpful. The final document will be presented to the City Council along with the June 30, 2010
CAFR on December 21, 2010 to be formally adopted.
Cc: Chris Foss, Assistant City Manager
Paul Rankin, Administrative Services Director
Vivian Gong, Finance Manager
Attachment: General Fund Balance Analysis Narrative
G:\Audit\FY 09-10 Annual Audit~~enda Statements~Ad-I-loc Commiriee\Meeting\memo_CM_Dcsia_Pund_Ba112_6.doc
GENERAL FUND BALANCE ANALYSIS NARRATIVE - As presented in June 30, 2010 CAFR GENEARAL FUND RESERVE FRAMEWORK
EXPENDITURE
#
ITEM
CATEGORY
DESCRIPTION AUTHORITY TO
AUTHORIZATION SPECIAL NOTES / Goals, Balance
ADJUST Adjustment priority, etc. 6/30/2010
REQUIRED
4
Prepaid
Expenditures Nonspendable Prepaid items recorded in Accounting System City Manager -
Annuall N/A N/A $34,160
Cemeter
y
000 endowment interest earned from this
$60 Interest only on Annual interest is offset by
endowment Nonspendable ,
balance offsets maintenance cost. No change budgeted Cemetery Cemetery Maintenance .$60,000
Maintenance. ex enses.
Use of this reserve shall be
evaluated by Staff and presented
based on a variance in revenues
or expenditures which suggest
severe financiai hardships
resulting from unforeseen
Economic Reserve established to ailow for a balanced changes in revenues and/or
Stability Committed budget during in the event of economic City Council City Council expenditures. The City Council $5,868,847
uncertainty. may appropriate these reserves
to fund operational costs and
other non-emergency capital
costs in order to facilitate the
stable and efficient delivery of
City services or facility
maintenance.
Expenditure from this
Establish designation would occur as a
Downtown Public Reserve established to fund pubiic City Council - Approve result of approved appropriation
Imprvts Seed Committed improvements within the Downtown Specific City Council gud et / CIP
9 ~n the Operating Budget or as a $1,000,000
Funding Plan Area Capital Project. The
appropriation will be at least
$50,000.
sewataw~~-~ O en
P Local funds that can be used to acquire open
City Council - Approve Any proposed use would be
S ace
p Committed space, which may be done in conjunction with City Council
Budget / CIP presented to the City Councii for $1,000,000
other a encies. a ro riatibn.
Prior to establishing the current Affordable
Affordable Committed Housing Fee, the City Council established a City Council City Council - Approve $1
000
000
Housing reserve to be used for future Affordable Budget / CIP ,
,
Housin activities.
Emerald Glen
Rec & Aquatic Reserve for features to be added to a new
City Council - Approve
Goal is $6.93 million
based on
Center Scope Committed aquatic center, beyond what was described in City Council
Budget / CIP ,
2007 estimate of cost. $1,500,000
Chan e the Master Plan and fee program.
Attachment to 6/14/10 Audit Ad-Hoc Committee Report
Page 1 of 6
X~
J
~
~
P~
~
GENERAL FUND BALANCE ANALYSIS NARRATIVE - As presented in June 30, 2010 CAFR GENEARAL FUND RESERVE FRAMEWORK
EXPENDITURE
AUTHORITY TO SPECIAL NOTES / Goals, Balance
# ITEM CATEGORY DESCRIPTION AUTHORIZATION
ADJUST Adjustment priority, etc. 6/30/2010
REQUIRED
10
11
12
13
Reserve for costs for radio replacements and . Backbone infrastructure costs
Emergency backbone infrastructure required with the identified October 2010.
Communications
Committed development of an emergency .
City Council City Council - Approve Replacement radios will occur in
$~.000,000
System communications system (Police, Fire, Public gudget / CIP a future year and will include
Works frequencies in a regional effort to contribution from ISF Equipment
standardize). Replacement.
Current Fire Dept (ACFD & DRFA) retiree Goal is the $8.6 million. Since
Fire Retiree medical benefits are funded ion a pay as you
City Council - Approve the obligation resides with
Medical Committed go basis. As presented in a report to the City City Council
Budget / CIP another agency, no expenditure $4,500,000
Council 7/20/10 estimates of the full cost $8.6 is planned until a long term
million. fundin plan is established.
The reserve is to be used to recover from Goal 15% of book value of
Catastrophic catastrophic losses which are unexpected buildings prior to accumulated
Facility /
f
I
t
t and more than $500,000 in costs, or when a
L
l di
h
l
t
b
d
d
Thi
City Council - Special depreciation. City self- insures
o
uake
100 /
of the risk of earth
n
ras
ruc
ure
Committed oca
sas
er
as
een
ec
are
.
s may
City Council
/ Emergency q
.
o
$$,420,000
Loss & City be used for short term recovery and Appropriation Also have infrastructure other
Business continued business operations pending the than buildings vulnerable to
Recovery reimbursement from insurance or grants - to catastrophic events. Current
the extent insurance or grants exist. Target approx: $10.29 million.
Established for potential needs that may have The presentation of any
Innovations &
an up-front cost , but would provide longer
City Council - Approve proposed use of these funds
New Committed
term benefits and I or potential operating cost City Council
Budget / CIP wouid address the long term cost $10,125,000
Opportunities
reductions ~ benefit. Goai is to maintain at
. least $5 million for this purpose.
. As project expenses are incurred
this will be reduced. The
Historic Park
C
itt
d Reserve for the development of the expanded
Hi
i
k
City Council - Approve Schaeffer Ranch Development
f
f
i
Development omm
e stor
c par
including additional costs for a City Council
Budget / CIP Agreement provides
or
und
ng $1,784,229
replacement contractor. for future phases, which when
collected will be added to the
reserve.
Future
Maintenance
Committed
Reserve to rehabilitate the 84 Lumber site for
City Council
City Council - Approve Reserve established based on
costs to acquire and refurbish
$664,602
Facilit use as a Maintenance Facility. gudget / CIP site.
Attachment to 6/14/10 Audit Ad-Hoc Committee Report
~
OP
~
Page 2 of 6 ~
R-
GENERAL FUND BALANCE ANALYSIS NARRATIVE - As presented in June 30, 2010 CAFR GENEARAL FUND RESERVE FRAMEWORK
#
ITEM
CATEGORY
DESCRIPTION
AUTHORITY TO EXPENDITURE
AUTHORIZATION
SPECIAL NOTES / Goals,
Balance
ADJUST Adjustment priority, etc. 6/30/2010
REQUIRED
14
15
16
17
18
The City Council has studied plans to expand
in order to accommodate the provision of
services to a growing community. Costs to
accommodate new growth may be added to
Civic Center
Committed impact fee programs, a designated General
Fund reserve to fund design and an initial
City Council City Council - Approve As project expenses are incurred
$1
445
257
Ex ansion
p phase of high priority improvements was Budget / CIP this will be reduced. ,
,
established. This was increased by $400k
(less $131,148 in 2010 expenses) to address
the critical need to proceed with insuring the
site has emergency power.
Accounting standards require the financial
statements to show all investments at market Annually adjusted based on
Investment value as of the end of the fiscal year. Any
City Manager - Market Value as of June 30th.
Market Value Assigned difference in Market Value is also recorded on
Annually N/A The form of this balance is an $1,516,569
Adjustment the statement of Net Assets. The City had a unrealized gain and therefore it
gain which was never realized and therefore, cannot be spent.
the funds are not available for expenditure.
Annually interest accrued is
Advance Fire
( Long term advance to fund Fire Station No.
City Manager - added to the balance and Fire
Im act Fees
p ~ Assigned 17 and is repaid with interest based on
Annually N/A Impact Fees collected in the Fire $1,808 886
~
Impact Fees collected. Impact Fee Fund are used to
reduce the balance•outstandin
The current recovery is based on
contributing 4.31 % of PERS
The City elected to pre-pay its Cal-PERS side N/A - The reduction salaries. If the rate is proposed
Advance (PERS
Assigned fund obligation from reserves. An internal City Manager - each year results in a by Staff as part of the annual
642
846
$2
Side Fund) service charge is made each year to repay Annually change in the overall budget to be changed, the ,
,
the Reserves. fund balance. impact will be described and
approved by the City Council as
part of the Budget adoption.
Capital projects started in one Fiscal Year, The City Council would authorize
CIP Carr overs
y Assi ned
9 but not com leted. Chan es are based on
p 9 City Manager - City Council Staff to administratively complete
$203
507
project status at the end of the year. Annually authorizes the carry-over as part of the ,
annual bud et ado tion.
Attachment to 6/14/10 Audit Ad-Hoc Committee Report
~
~
~
Page 3 of 6 ~p~
tv
N
~
GENERAL FUND BALANCE ANALYSIS NARRATIVE - As presented in June 30, 2010 CAFR GENEARAL FUND RESERVE FRAMEWORK
~
AUTHORITY TO EXPENDITURE
SPECIAL NOTES / Goals,
Balance
# ITEM Ci4TEGORY DESCRIPTION
ADJUST AUTHORIZATION
Adjustment priority, etc.
6/30/2010
REQUIRED
19
20
21
22
Provided that at year end an
activity has budgetary savings in
non-personnel accounts, and
Key program expenditures that were unable provided that the total Fund
Operating Carry-
Assigned to be completed in the previous fiscal year. City Manager - City Manager Revenue exceeded
$171,100
overs The carry-over eliminates the need to fund Annually Approval Expenditures, the City Manager
the expenditures from current revenue. may authorize a carry-over,
which will be reported to the City
Council for informational
purposes.
Annually interest accrued is
Fallon Sports N/A - The reduction added to the balance and Public
Park Public
Assigned Advance to the Public Facility Fee Fund to be City Manager - each year results in a Facility Fees collected in the
$1,376,554
Facility Fee repaid as fees are coilected with interest. Annually change in the overall Public Facility Fee Fund are
Advance fund balance. used to reduce the balance
outstandin .
Advance for A payment is due in 2010/11 of
BART West The City will owe $1.25 million when the West $1.25 million. To the extent that
Contribution (To Assigned Dublin / Pleasanton station opens. Until City Manager - N/A MD funds are unavailable the $1,000,000
Be Repaid from sufficient TVTD fees are collected it will be Annually City will advance funds with
local share necessary to advance funds. interest
TVTD) .
-
~ Annually at year end a
The represents the value of the obligation for City Manager - calculation is done based on the
Accrued Leave Assigned accrued leave benefits. Annually N/A current value of 100% of General $802,311
Leave and Compensatory Time
Off.
AJ
~
~
Attachment to 6/14/10 Audit Ad-Hoc Committee Report
Page 4 of 6
~
~
GENERAL FUND BALANCE ANALYSIS NARRATIVE - As presented in June 30, 2010 CAFR GENEARAL FUND RESERVE FRAMEWORK
EXPENDITURE
#
ITEM
CATEGORY
DESCRIPTION AUTHORITY TO
AUTHORIZATION SPECIAL NOTES / Goals, Balance
ADJUST Adjustment priority, etc. 6/30/2010
REQUIRED
23
24
" Minimum of two months
operating expenditures with a
~ goal to build up to 4 months. [
20ll Operating Budget =
$51,253,540 Divided by 12
months = $4,271,128 per mo.
The receipt of City revenue is not evenly 2 Months = approximately
Unrestricted For distributed throughout the year. In addition,
City Manager - ~ $8,54 inillion and 4 months =
Cash Flow Assigned the use of grant funding is often treated on a Annually N~ A approximately $17.08 tnillion $9.360,000
Purposes reimbursement basis making it prudent to
have a cash flow reserve. ]. City Manager shall be
authorized to designate
amounts due to net changes in
operation that would
otherwise appear as
Unassigned, provided the
target is not reached.
Goal will be to ultimately have
125% Building & Safety
Operating Cost in Reserve.
Additions will be made when
In any year in which General Fund revenue exceeds
the General Fund expenses, then Staff will
Due to timing differences Permit Revenue Expenses exceed examine permits issued for tract
Service may be collected in one year with a majority
City Manager- revenue, this fund housing, large commercial, or
Continuity Assigned of the expense occurring in a future year.
Annually may be used to the multi-family residential. Assume $1,350,000
Obligations This reserve may be used in cases where extent that Building 50% of April and May revenue
Building Division expenses exceed revenue. Permit Revenue does from these activities and 100% o
not off-set Building June revenue will be related to
Division Expenses expense in subsequent year.
Reductions will be calculated by
Staff when Building Department
Revenue does not meet 90% of
Division expenses.
Attachment to 6/14/10 Audit Ad-Hoc Committee Report
Page 5 of 6
Xl
7/
•--
~
~
P~
~
GENERAL FUND BALANCE ANALYSIS NARRATIVE - As presented in June 30, 2010 CAFR GENEARAL FUND RESERVE FRAMEWORK
EXPENDITURE
#
ITEM
CATEGORY
DESCRIPTION AUTHORITY TO
AUTHORIZATION SPECIAL NOTES / Goals, Balance
ADJUST Adjustment priority, etc. 6/30/2010
REQUIRED
25
26
Interest rates.and investments impact City If the General Fund
resources both in terms of revenue and Expenses exceed Use of reserve for Interest rate
expenditures. Revenue from reserves is used Revenue and the fluctuations on the general fund
to offset operating costs. Investment results interest received is investments are based on
by CaIPERS impact the City contributions to more than 5°/o below investment performance
Interest Rate / Retirement and Retiree Medical funding. This the Budget, the compared to Budget. Using the
investment reserve can be used to bridge the impact of
City Manager - reserve will contribute reserve to fund PERS or OPEB
Volatility Assi ned
9 lar e swin s in the market.
g 9
Annually to the current ear
y
obligations shall be budgeted.
$2,375,000
Protection financing. Only proposed when the rate
Appropriations increase is more than 1°/o. Shall
towards OPEB or inciude a long term plan
PERS expenses shall identifying the term in which the
be budgeted and reserve is expected to contribute
approved by the City towards the operating budget.
Council.
For June 30, 2010 an amount is
- recorded as Authorized
Per GASB 54 Expenditures. For June 30, 2011
Unassi ned
9 Residual amount not Available for an
y purpose.
N/A
N/A the intent will be to report
960
$3
in another category. residual amounts under the ,
Unrestricted for Cash Flow
purposes provided the target is
not reached.
Reconcilliation To June 30, 2009 Balance
Balance June 30, 2009 62,123,358
Less :
Transfei fo new Stormwater Fund (439,248)
Transfer to Internal Service Fund (3,000,000)
Add:
Net Change In Operations 2,328,718
(Funding Less Expenses)
Ending Balance June 30, 2010 61,012,828
Attachment to 6/14/10 Audit Ad-Hoc Committee Report
Sub-Totals Bv Cateqorv Reauired In 2011 CAFR
Unspendable
Restricted
Committed
Assigned
Unassigned
BALANCE 6/30/2010
General Fund
$94,160
$0
$38,307,935
$22,606,773
$3,960
$61,012,828
~
~
~
Page 6 of 6 ~
~
~l
~