HomeMy WebLinkAbout1995-1996 Comprehensive Annual Financial Report....
(
II' CITY OF SAN RAFAEL
1400 Fifth Avenue
PO Box.151560
San ~~fael, Ca 94915-1560
PHor-;2 (415) 485-3060
FAX (415) 485-3100
TDD (415) 485-3198
. ·············.·.L ······:_,.···· _ •••••••••••••••••••••••••••• .L ••••
'" I
ADMINISTRATIVE SERVICES
DEPARTMENT
Agenda Item No. _1_1 ___ _
Meetin Date: Februa 18, 1997
REPORT TO MAYOR AND CITY COUNCIL
SUBJECT: COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) FOR THE
1995-96 FISCAL YEAR
~ rh
Date: February 12, 1997
File No.:
RECOMMENDATION: ACCEPT THE 1995-96 COMPREHENSIVE ANNUAL
FINANCIAL REPORT
BACKGROUND:
As is required by both local code and State law, the City of San Rafael must complete
an annual audit of its financial activities. Traditionally, the audit work begins prior to
the end of the fiscal year. Once the Administrative Services Department staff have
"closed the books", the auditors complete a final review of the City's financial
transactions. The auditing firm of C. G. Uhlenberg & Company conducted the audit for
the 1995-96 fiscal year. Their work was completed in accordance with accepted
auditing practices and Federal municipal guidelines. In the past, the results of the audit
were presented in an audit report of the City Council. This year, the Administrative
Services Department decided to expand the traditional report to reflect a broader
measurement of the 1995-96 fiscal year results.
Common in many local municipalities is the preparation of a Comprehensive Annual
Financial Report. This report includes not only the standard auditing schedules and
footnotes, but it adds two other major sections of information. Staff have taken this
initiative with the hopes of developing a CAFR worthy of State and National Finance
Officers recognition. This CAFR represents a first pass at building an awarding
winning Report. The major results of the 1995-96 Comprehensive Annual Financial
Report are d7ed below. .
rile N o. _._ ... __ .~ ___ ::.!.. Y-. g -cr
Council Meeti~ ------.:::~Tlii.;.;= .
OiS Dos ition (L,."'-~{)-.4Ir~~ft~-I-/~~Il_ _ /I.A -~-:.=-7~~~~ ~J
'. PAGE 2
ANALYSIS:
As mentioned above, the CAFR is intended to provide the reader information beyond
the required audit information. Two next sections are included in our Report. The first
section, known as "Introductory", provides information about the City's organizational
structure, government entities, economic condition and local leadership. Also, it
provides an analytical summary of the results of operations for the past year and
compares these results to prior year totals.
The last section, referred to as "Statistical", displays trend information. Incorporated
into this section are schedules or revenues and expenses for the past ten years, major
stakeholders (property owners and sales tax generators), and overlapping debt. In
addition, schedules of insurance, construction activity, and assessed valuation changes
are presented. This data can be useful in gaining a historical perspective on financial
trends. It may also be used to forecast anticipated results in the budget development
process.
Overall, the City's performance was better than expected. Economic recovery from the
recession that strapped the City in the early 1990's is evident. General Fund taxes and
assessment, totaling $21,465,335 exceeded prior year totals by $1,773,153 and the
budget forecast by $516,335. Strong auto sales and occupancy tax returns contributed
to this increase. Major capital improvement projects, such as the Merrydale overpass,
caused the Intergovernmental Revenues to climb when compared to the prior year. On
the Expenditure side, the General Fund total was $86,917 below budget.
I feel the direction of moving away from a standard audit report to a Comprehensive
Annual Financial Report is a move in the right direction for San Rafael. It is difficult to
summarize all of the results of 1995-96 into this agenda item. I must say that the
reason for not having the report available until now is that I asked the auditors to make
sUbstantial improvements to the their report contained in the middle of the CAFR.
Specifically, a number of footnotes have been added or improved to provide the reader
a deeper understanding of the numbers contained in the schedules. Now that most of
the footnotes meet standard reporting compliance, I am confident the CAFR for 1996-
97 can be completed by December 1 of this year.
FISCAL IMPACT:
No fiscal impact occurs by having the Council accept this report. The document is
presented as the actual results of the City and Agency financial activities for the 1995-
96 year. No budget adjustments are necessary.
COUNCIL OPTIONS:
The City Council can either choose to:
PAGE 3
1) Accept the 1995-96 Comprehensive Annual Financial Report as presented, or
2) Reject the report. The Council is required under current law to accept the report
and file it with numerous County, State and Federal agencies. Rejecting this report
would leave the City out of compliance with applicable laws.
SUMMARY:
The City Council should accept the 1995-96 Comprehensive Annual Financial Report.
A special thanks goes to Sue Merrill who spearheaded this effort while filling in as
interim Finance Director. Without her direction and leadership, this document would
not have been possible. Also, Victoria DeWitt complied the Statistical Section of the
CAFR. Her assistance is deeply appreciated.
ENCLOSURES
agendareports\9596cafr.agn
CITY OF SAN RAFAEL, CALIFORNIA
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED
JUNE 30, 1996
* * *
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
For The Fiscal Year Ended
June 30, 1996
CITY OF SAN RAFAEL, CALIFORNIA
P. O. Box 151560
1400 Fifth Avenue
San Rafael, California 94915-1560
Prepared by the Administrative Services Department
_ fV OF SAN RAFAEL, CALIFORl\ . . .
GENERAL PURPOSE ,FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
TABLE OF CONTENTS
INTRODUCTORY SECTION:
PAGE NO.
Letter of Transmittal .................................................................................................... i-viii
Organization Chart ....................................................................................................... IX
List of City Officials . ............. ...................................................................................... X
FINANCIAL SECTION:
Independent Auditor's Report....................................................................................... 1 - 2
General Purpose Financial Statements:
Combined Balance Sheet -All Fund Types and Account Groups.......................... 3
Combined Statement of Revenues, Expenditures and
Changes in Fund Balances -All Governmental Fund
Types and Expendable Trust Funds .. ................................. .............................. 4
Combined Statement of Revenues, Expenditures and Changes in
Fund Balances -Budget and Actual (Budget Basis) -General,
Special Revenue and Debt Service Funds......................................................... 5
Proprietary Fund Type -Component Unit:
Statement of Revenues and Expenditures and Changes in
Fund Equity................................................................................................ 6
Statement of Cash Flows ................................................................................. 7
Notes To General Purpose Financial Statements.......................................................... 8 -33
Supplementary Information:
Special Revenue Funds:
Combining Balance Sheet................................................................................. 34 -35
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances.......................................................................... 36 -37
Debt Service Funds:
Combining Balance Sheet................................................................................. 38 -39
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances........ .................................................................. 40 -41
Capital Projects Funds:
Combining Balance Sheet................................................................................. 42 -43
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances ................................................................... 44 -45
Trust and Agency Funds:
Combining Balance Sheet................................................................................. 46
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances -Expendable Trust Funds.... ............................ 47
Statement of Changes in Assets and Liabilities -Agency Fund....................... 48
l. .'Y OF SAN ~FAEL,' CALIFORNL
GENERAL PURPOSE FINAN€IAL STATEMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
TABLE OF CONTENTS
(Continued)
STATISTICAL SECTION:
General Governmental Expenditures by Function ..................................................... ..
General Governmental Revenues by Source ............................................................. ..
Secured Property Tax Levies and Collections ............................................................ .
Assessed Valuation of Taxable Property .................................................................... .
Ratio of Net General Bonded Debt to Assessed Valuation and
Net General Bonded Debt Per Capita ................................................................... .
Ratio of Annual Debt Service to Total General Governmental
Expenditures ......................................................................................................... .
Computation of Direct and Overlapping Debt ............................................................ .
Principal Taxpayers .................................................................................................... .
Construction Activity .................................................................................................. .
Schedule of Insurance in Force ................................................................................... .
Miscellaneous Statistical Data .................................................................................... .
Public Employees Retirement System Analysis of Funding Progress ........................ .
PAGE NO.
49
50
51
52
53
54
55
56
57
58
59 -60
61
, .
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
Year Ended June 30, 1996
INTRODUCTORY SECTION
CITY OF SAN RAFAEL, CALIFORNIA
(
CITY OF
December 31, 1996
MaYDr
Albert..1. Bora
...... '
Council Mamba,..
Paul M . Cohen
Barbara Heller
CyrN. Miller
Gary O . Phillipa
Honorable Mayor, Members of the City Council and Citizens of San Rafael
The comprehensive annual financial report of the City of San Rafael for the year ended
June 30, 1996, is hereby submitted as mandated by both local ordinances and state
statutes. These ordinances and statutes require that the City of San Rafael issue
annually a report on its financial position and activity, and that this report be audited
by an independent firm of certified public accountants. Responsibility for both the
accuracy of the data, and the completeness and fairness of the presentation, including
all disclosures, rests with management. To the best of our knowledge and belief, the
enclosed data are accurate in all material respects and are reported in a manner that
presents fairly the financial position and results of operations of the various funds,
account groups and component units of the City of San Rafael. The financial
statements are prepared in accordance with generally accepted accounting principles
as promulgated by the Governmental Accounting Standards Board (GASB) and include
the report of the independent certified public accounting firm, C.G. Uhlenberg &
Co. LLP.
The comprehensive annual financial report is presented in three sections: introductory,
financial and statistical. The introductory section, which is unaudited, includes this
letter of transmittal, an organizational chart and a list of the City of San Rafael
principal elected and appointed officials. The financial section includes the general
purpose financial statements and the combining and individual fund and account group
financial statements and schedules, as well as the independent auditors' report. The
statistical section, which is unaudited, includes selected financial and demographic
information, generally presented on a multi-year basis.
The City of San Rafael is required to undergo an annual single audit in conformity with
the provisions of the Single Audit Act of 1984 and the Office of Management and
.,400 FIFTH AVE., P.O. SOX .,5.,560, SAN RAFAEL, CA 949.,5·.,560
FACSIMILE: 4.,5459·2242 T.O.O.: 4.,5485·3.,98
Budget's Circular A-128, Audits of State and Local Governments. Information related
to this single audit are in a separately issued single audit report.
The financial reporting entity includes all the funds and account groups of the primary
government (i.e., the City of San Rafael), as well as all of its component units. Under
criteria established by GASB, the San Rafael Redevelopment Agency, and the Child
Development Lachkey Program are considered component uni~s and are combined in
this report. The San Rafael Sanitation District is a component unit of the City of San
Rafael and is discretely presented.
The City provides municipal services required by statute or charter, namely: Fire,
Police, Planning, Public Works, Recreation, Redevelopment, Library and General
Administrative Services.
GOVERNMENTAL STRUCTURE, LOCAL ECONOMIC CONDITION AND OUTLOOK
The Mission San Rafael Archangel was founded in 1817; San Rafael was incorporated
in 1874 and became a Charter City in 1913 by vote within the City. The City Council
is comprised of five members of which four are elected at large to four year terms.
The mayor is also elected separately to a four year term. The City currently has a land
area of 22 square miles which includes 17 square miles of land and five of water and
tide lands and has a population of 53,200.
San Rafael is located 17 miles North of San Francisco in Marin County. Protected by
its Mediterranean like setting along the shores of the San Francisco Bay, the City
enjoys a mild climate year round. As the County seat, San Rafael is considered the
trade, financial and industrial leader of Marin County. Recreational facilities are
available in and around the San Rafael area. In addition to the City's cultural, park
and recreational resources, there are other cultural and recreational resources which
include Muir Woods, five State parks, the San Francisco area, Oakland and the nearby
wine country attractions.
San Rafael is a regional employment center with the majority of positions in the
business service and high-tec sections. The number of jobs within the City exceeds
the number of employed residents. In the years ahead, local governments again could
be targets for fixing the State of California and the Federal government's budget
woes. The State's desire to restructure state and local government is still a possibility
and would have an impact on local revenues. The federal deficit also continues to be
a inescapable reality. Consistent action from the state and federal government to
slash local government revenues to balance their budgets is a reality that cannot be
ii
ignored. As state and federal revenues dry up, San Rafael will need to become more
reliant on local revenue sources.
Controlling Our Destiny -As in years past, many communities are fighting to finance
their operating needs and infrastructure. This action is only the beginning of the
burdens that have been thrust upon the City by other governments. In addition to
reducing local government revenues, state and federal agencies continue to burden
local agencies with mandated programs and legislative restrictions, for which fewer
reimbursements are available each year. Currently there is much debate at the State
level regarding the legality of unfunded mandated programs. For now, compliance is
not yet an option. Given recent experience, it is clear that San Rafael must continue
to work to control its own destiny.
Fortunately, San Rafael is in a position to be proactive rather than reactive in
responding to this difficult environment. City staff will be resolute in practicing
prudent financial management and planning. Particular attention will be given to the
City's master plans to ensure that they have sound financial support. Reliance upon
sound financial principles will surely see the City through these current troubled times .
The City is initiating a comprehensive Municipal Business System which includes a
Cost Allocation Plan and Fee for Service analysis which will evaluate the services the
City provides and will assure the City's capability to provide and to sustain the diverse
level of City services and improvements.
FINANCIAL INFORMATION
The City's management team is responsible for establishing and maintaining internal
controls to ensure that the City's assets are adequately protected from loss, theft or
misuse. In addition, management controls should ensure that proper accounting data
is collected so as to prepare reports in conformance with generally accepted
accounting principles. Internal accounting controls are designed to provide
reasonable, but not absolute, assurance regarding: (1) the safeguarding of assets
against loss from unauthorized use or disposition; and (2) the reliability of financial
records for preparing financial statements and maintaining accountability for assets.
The concept of reasonable assurance recognizes that the cost of a control should not
exceed the benefits likely to be derived. All internal control evaluations occur within
the above framework. We believe the City's internal accounting controls adequately
safeguard assets and provide reasonable assurance that financial transactions are
properly recorded.
iii
Budget Controls -The City maintains a traditional line item budget by major function.
Budget control is accomplished at the functional or division level within each fund.
This budget creates a comprehensive management and fiscal system aimed at
achieving the objectives of each operating level consistent with those that have been
set for the community by the City Council. The department head is responsible for
accomplishing goals within his or her functional area and monitoring the use of their
budget allocation consistent with policies set by the City's Administration and
Administrative Services departments.
General Government -General governmental functions include the General Fund,
Special Revenue funds, Debt Service funds and Capital Projects funds. Revenues for
the general governmental functions totaled $46,928,140 in the 1995/96 fiscal year,
an increase of $7,873,071 or 20 percent from the 1994/95 fiscal year. The increase
in revenues can be attributed to subventions and grants, increased use of money and
property, and increased taxes.
San Rafael's primary governmental revenues are referred to as major revenue sources.
They include: sales taxes, subventions and grants, property taxes and interest
earnings. These major revenues accounted for 82 percent of all the City's general
governmental revenues in the 1995/96 fiscal year. In contrast, non-major revenue
sources, made up approximately 18 percent of fiscal year 1995/96 revenues. Non-
major revenues tend to be much more under local control while the major revenue
sources are generally independent of local government action.
The amount of governmental revenues from the various sources and increase or
decrease over last year are shown in the following schedule:
Percent
Increase Increase
Percent (Decrease) (Decrease)
Revenue Source Amount of Total from 1994/95 from 1994/95
Taxes & Special Assessments $26,276,480 56.0% $1,773,153 7.2%
Licenses and Permits 1,151,547 2.5% 232,313 25.3%
Fines and Forfeitures 422,250 0.9% 51,651 13.9%
Uses of Money and Property 2,535,719 5.4% 639,998 33.8%
Intergovernmental 9,958,206 21.2% 4,696,700 89.3% .
Charges for Current Services 5,172,466 11.0% 577,556 12.6%
Other Revenues 1.411,472 3.0% 98,3001 ( 6.5%1
$46,928,140 100.0% $7,873,071 20.2%
iv
Steady population growth in the community continues, increasing three percent from
51,600 in 1995 to 53,200 in 1996. Licenses and Permits, generated mostly from
building permits, began to show some modest growth with a 25 percent increase from
last year. Fines, forfeitures and fees increased by 14 percent due to an increase in
encroachment permits and increased local ordinance violations. Charges for current
services showed an increase of 12 percent over the past year due to increased
demand for certain services.
Increases or decreases in governmental funds' expenditures for major functions of the
City compared to the prior year are detailed below:
Percent
Increase Increase
Percent (Decrease) (Decrease)
Amount of Total from 1994/95 from 1994/95
General Government $ 6,905,043 14.7% $1,830,858 36.1%
Public Safety 16,365,089 34.9% 716,959 4.6%
Public Works and Parks 10,781,451 23.0% 3,721,230 52.7%
Community Development 2,054,557 4.4% 482,604 30.7%
Culture and Recreation 4,427,669 9.5% 1,138,322 34.6%
Other 175,971 0.4% 134,354 322.8%
Capital Outlay 2,294,518 4.9% ( 1,088,479) ( 32.2%)
Debt Service $ 3,837.491 8.2% ( 382,156) ( 9.1 %)
$46 1 841 1 789 100.0% $6 1 553 1 692 16.3%
Fund Balances -In order to assess the increase or decrease in each governmental
fund's assets, their change in fund balance from June 30, 1995 to June 30, 1996 is
discussed below. Fund balance or fund equity in governmental funds can be
described as the difference between current assets and current liabilities, or
accumulated earnings from operations. Simply stated, it is current spendable
resources of the fund.
The General Fund's change in fund balance was as follows:
June
1995 1996 Increase
General Fund $ 6,847,702 $ 7,904,861 $ 1,057,159
v
The increase in the General Fund ending balance is due to the change in method of
accounting for taxpayer assessed revenue in accordance with GASB Statement
No. 22.
The special revenue funds as a group increased in fund equity. The change in the
special revenue funds' equity is detailed as follows:
Percent
Increase Increase
June 30 (Decrease) (Decrease)
Special Revenue Funds 1996 1995 from 1994/95 from 1994/95
Parking Services Fund $ 247,991 $ 274,833 ($ 26,842) 9.8%
Recreation Revolving Fund ( 64,506) 64,506 (100.0%)
Assessment District Fund 6,004 6,004 100.0%
Gas Tax Fund 710,759 669,748 41,011 6.1%
Childcare Fund 176,577 96,919 79,658 82.2%
Equipment Replacement Fund 1,889,584 1,599,833 289,751 18.1%
Special Revenue Fund 1,043,011 911,651 131,360 14.4%
Miscellaneous Special Revenue Funds 2,034,978 975,778 1,059,200 108.5%
Other Mitigation Funds 8,114,013 8,043,705 70,308 0.9%
Grant Funds 20,232 72,019 51,787) ( 71.9%)
Library Fund 2,877 33,104 30,227) ( 91.3%)
Household Hazardous Facility Fund 5,350) 5,350) 100.0%
Falkirk Grant Fund 39,791 ) 13,473) 26,318) 195.3%
Traffic Mitigation Fund 241,830 229,868 11,962 5.2%
Integrated On-Line
Library System Fund 495 495 0.0%
$14,443,210 $ 1 2,829,974 $ 1,613,236 12.6%
Capital Projects Fund
The deficit in a redevelopment district fund is by design. In order for the district to
collect the tax increment the district must demonstrate the presence of debt. In the
early years of the district, fund equity will be negative because funds borrowed from
the General Fund are expended on redevelopment projects and debt is incurred. As
projects are completed, future incremental property tax revenues generated from the
increased property values on the projects are used to repay their debt.
Cash Management -Income earned on investments represents a significant revenue
source to the City and allows the City to operate effectively with fewer resources
than would otherwise be required.
The investment portfolio at June 3D, 1996 was comprised primarily of U.S. Agency
notes, certificates of deposit, medium term corporate notes and pooled investments
with the State of California's Local Agency Investment Fund.
vi
The City's investments are classified according to their respective credit risk.
Purchases are made following the City's adopted investment policy. Securities must
be rated "A" or better at the time of purchase. The majority of the portfolio's
securities are "AAA" U.S. agency bonds with respect to third party safekeeping.
Substantially, all of the City's investments were classified either as category 1, the
safest risk category according to GASB 3 classifications, or were not categorized as
to risk with respect to the State's investment pool, deferred compensation assets and
investments agreements the City has entered into with various financial institutions
to invest bond proceeds until funds are needed.
City funds are pooled for investment yield purposes. Interest is returned to the
various funds comprising the investment pool based on the fund's cash balance at the
end of each quarter.
The following is a comparison of the 1995/96 and 1994/95 accomplishments of the
City's investment program:
Annualized Funds Invested
Realized Interest
(Including gains and
losses on sales)
June 30, 1996
$38,304,809
4,666,271
June 30. 1995
$32,551,044
3,402,292
The increase is due to interest rate stabilization increased grants and the investments
from the refunding of bond issues.
General Fixed Assets -The general fixed assets of the City are those assets used in
the performance of general government functions. As of June 30, 1996, the property
and equipment is provided for assets capitalized in the general fixed assets account
group. The book value at June 30, 1996 is $33,674,222.
Risk Management Policies
The City of San Rafael maintains a self-insured retention of $500,000 for general
liability and participates in a public agency risk sharing pool, California Joint Powers
Risk Management Authority, for an additional $9,500,000 in excess of $500,000.
A third party claims administrator evaluates liability claims and makes
recommendations to the City.
vii
(
The City's self-insured retention for workers compensation claims is $250,000 with
excess coverage of $10,000,000 with National Union Insurance Company. The City
contracts with a different third-party claims administrators for workers compensation
claims.
OTHER INFORMATION
Independent Audit -An annual audit of the City's financial records and transactions
by an independent certified public accounting firm is required by the Charter of the
City of San Rafael. This year, the audit was performed by the accounting firm of C.G.
Uhlenberg & Co. LLP. The requirement has been complied with and the auditors'
opinion has been included in this report.
Use of Report -the report is published to provide the Citizens of San Rafael, the
Mayor and members of the City Council, investors and creditors and other interested
persons, detailed information concerning the financial condition of the City
government with particular emphasis placed on the utilization of resources during the
past fiscal year. The report should assist in formulating policies and in conducting the
City's day-to-day activities. The information is materially accurate, presented fairly
and enables the reader to gain a complete understanding of the City's financial affairs.
Acknowledgments -The preparation of this document could not have been
accomplished without the diligent, dedicated services of the Administrative Services
Department's staff. Expressed appreciation goes to the entire department who
assisted in the report preparation. Thanks also goes to the Mayor and members of the
City Council for their interest and support in planning and conducting the operations
of the City in a responsible, progressive manner.
Respectfully submitted,
-~
Rod Gould
City Manager
viii
(
OR '"ANIZATION CHAriT
OF THE
CITY OF SAN RAFAEL
ELECTORATE
CITY COUNCIL
r------r------r----
r--I -, r-..l..-, ,_.l._, ----r------r------i
..1 I I
PLANNING PARKS Ii I I CULTURAL I I COMMISSION I I RECREATION AffAIRS ,
\.. ___ J ,-C~~~.J ,-C~~~~
CITY
PERSONNEL
FINANCE
POLICE
PLANNING
---LINE
---ADVISORY
,--, ,---, r-:;--, I LIBRARY I I FIRE I I I!I OAR 0 I
BOARD COMMISSION RE~~EW '-__ ~ '-___ J \.. ___ ....1
MANAGER
PUBLIC
WORkS
ix
RECREATION
GENERAL
SERVICES
FIRE
LIBRARY
CITY OF SAN RAFAEL
CITY COUNCIL
Albert J. Boro -Mayor
Paul M. Cohen -Councilman
Barbara Heller -Councilwoman
Cyr N. Miller -Councilman
Gary O. Phillips -Councilman
ELECTED OFFICIALS
Gary T. Ragghianti -City Attorney
Jeanne M. Leoncini -City Clerk
CITY STAFF
Rod Gould -City Manager
David Bernardi -Public Works Director
Daryl Chandler -Personnel Director
Suzanne Golt -Assistant City Manager
Clark (Gus) Guinan -Assistant City Attorney
Jeanne M. Leoncini -City Clerk
Robert Marcucci -Fire Chief
Sharon McNamee -Recreation Director
Ken Nordhoff -Director of Administrative Services
Jake Ours -Redevelopment Director
Bob Pendoley -Planning Director
Gary Ragghianti -City Attorney
Cam Sanchez -Chief of Police
Vaughn Stratford -Library/Cultural Affairs Director
x
· .
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
Year Ended June 30, 1996
FINANCIAL SECTION
CITY OF SAN RAFAEL, CALIFORNIA
c. G. UHLENBERG & co. LLP
CERTIFIED PUBLIC ACCOUNTANTS
ROBERT E. BARSANTI, C.P.A. PEGGY H. CHEN, C.P.A. JEFFREY J. IRA, C.P.A.
INDEPENDENT AUDITOR'S REPORT
Honorable Mayor and Members of
the City Council of the City of San Rafael
San Rafael, California
We have audited the accompanying general purpose fmancial statements of the City of San
Rafael, California (the City), as of and for the fiscal year ended June 30, 1996, as listed in the
foregoing table of contents. These general purpose fmancial statements are the responsibility
of the City's management. Our responsibility is to express an opinion on these general
purpose fmancial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards;
Government Auditing Standards, issued by the Comptroller General of the United States; and
the provisions of Office of Management and Budget Circular A-128, Audits of State and
Local Governments. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the general purpose financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence supporting the
amounts and disclosures in the general purpose fmancial statements. An audit also includes
assessing the accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe that our audit
provides a reasonable basis for our opinion.
In our opinion, the general purpose financial statements referred to above present fairly, in all
material respects, the fmancial position of the City of San Rafael, California, at June 30, 1996,
and the results of its operations for the fiscal year then ended in conformity with generally
accepted accounting principles.
In accordance with Government Auditing Standards, we have also issued a report dated
September 6, 1996 on our consideration of the City of San Rafael's internal control structure
and a report on September 6, 1996 on its compliance with laws and regulations.
Our audit was made for the purpose of forming an opinion on the general purpose fmancial
statements taken as a whole. The accompanying combining and individual fund and account
group statements and schedules listed in the table of contents are presented for purposes of
additional analysis and are a required part of the general purpose financial statements of the
City of San Rafael. Such information has been subjected to the auditing procedures applied in
the audit of the general purpose financial statements and, in our opinion, is fairly presented in
all material respects in relation to the general purpose financial statements taken as a whole.
647 Veterans Boulevard, Redwood City, CA 94063
Phone (415) 365-2323 • (408) 733-9944 • (510) 353-0330
Fax (415) 365-8394
(
The statistical infonnation listed in the table of contents was not audited by us and,
accordingly, we do not express an opinion thereon.
~.d
September 6, 1996
Redwood City, California
2
ASSETS AND OTIlER DEBITS
Cash and inveslmenls (Nole 2)
Cash wilh fiscal agenl (Nole 2)
Restricled cash
Accounls receivable (Nole 3)
Assessmenls receivable
Loans receivable (Nole 7)
Inleresl receivable
Due from olher funds (Nole 6)
Prepaid expenses
Olher currenl assels
General fixed assels (Nole 4)
Componenl unil fixed assels -nel
COP issuance cosls -nel
Amounl available in debl service funds
Amounl 10 be provided for reliremenl of:
Generallong-Ierrn debl
Vacalion and sick leave obligalions
TOTAL ASSETS AND
OTIlER DEBITS
L~B~ITffiSANDFUNDEQUITY
L~~ITffiS:
Accounls payable
Conneclion fees payable
Inleresl payable
Due 10 olher funds (Nole 6)
Deferred compensalion payable (Nole 14)
Deposils
Deferred revenue
Capital leases (Nole 8)
Compensaled absences (Nole 5)
Certificales of participalion
Bonds payable (Nole 5)
Tolal Liabilities
FUND EQUITY :
Investment in general fixed assels
Conlribuled capital
Relained earnings
Reserved
Unreserved
Total Retained Earnings
Fund Balances (Note 9):
Reserved
Unreserved:
Designated
Undesignated
Total Fund Balances
Tolal Fund Equity
TOTAL LIABILITIES AND
FUND EQUITY
CITY OF SAN RAFAEL, CALIFORNIA
COMBINED BALANCE SHEET -ALL FUND TYPES AND ACCOUNT GROUPS
JUNE 30, 1996
GOVERNMENTAL FUND TYPES
SPECIAL DEHT---CAPITAL
FIDUCIARY
FUND TYPES
EXPENDABLE
TRUST AND
ACCOUNT GROUPS
GENERAL GENERAL
PRIMARY REPORTING
GOVERNMENT ENTITY
TOTALS TOTALS
(MEMORANDUM COMPONENT (MEMORANDUM
GENERAL REVENUE SERVICE PROJECTS AGENCY FIXED ASSETS LONG-TERM DEBT ONLY) UNIT ONLY)
S5,702,738
2,827,747
329,059
40,000
S8.899.544
S 994,683
994.683
2,031,721
SI3,949,804 SI,201,654 $20,488,441 S7,791,614 S
1,451,470
1,731,970 6,040
1,550,851
200,000 297,757
235,122
756,623
33,674,222
$15,881.774 S4.960,598 S21.027.360 S7.791,614 $33,674,222
$ 1,366,064
40,000
32,500
$
1,550,851
S 301,721 $ 2,079 s
7,348,352
S $ 49,134,251 $ 551,379 S 49,685,630
1,451,470 1,451,470
1,471,475 1,471,475
4,565,757 4,565,757
1,550,851 1,550,851
497,757 497,757
564,181 1,776 565,957
40,000 40,000
756,623 17,722 774,345
1,595 1,595
33,674,222 33,674,222
21,837,256 21,837,256
60,335 60,335
3,409,747 3,409,747 3,409,747
30,572,843 30,572,843 30,572,843
2,777,269 __ 2,77V69 2,777,269
$36.759.859
S
39,867
2,777,269
S 128.994.971
S 2,664,547
40,000
7,348,352
32,500
1,550,851
39,867
2,777,269
S23.941.538
$ 78,794
22,000
132,031
4,595,794
33,942,723 33,942,723 140,000
$ 152.936.509 •
S 2,743,341 .
22,000
132,031
40,000
7,348,352
32,500
1,550,851
39,867
2,777,269
4,595,794
34.082.723
1,438,564 1.550.851 301.721 7,350,431 36,759,859 48,396,109 4,968,619 53,364,728
33,674,222 33,674,222
4,454,412 3,396,046 18,998,937 441,183 29,322,299
8,607,514
33,674,222
8,607,514
116,084 116,084
10,249,321 10,249,321
10,365,405 10,365,405
29,322,299
8,872,606 13,701 1,726,702 10,613,009 10,613,009
5,873,140 1,116.192 6.989.332 6,989.332
7,904,861 14,443,210 3.409,747 20,725.639 44 I, I 83 46,924,640 46,924,640
7.904.861 14,443,210 3,409,747 20,725.639 441,183 33,674,222 80.598,862 18.972.919 99,571,781
S8.899.544 SI5.881.774 S4.960.598 S21.027,360 S7 ,79 I ,614 533,674,222 S36,759,859 S 128,994,97 I S23,94 I ,538 5 I 52,936,509
Sec accompanying noles 10 general purpose financial stalemenls.
3
-
CITY OF SAN RAFAEL, CALIFORNIA
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES-
ALL GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUNDS
REVENUES:
Taxes and spccial asscssmcnts
Liccnscs and pcnnits
Fincs and forfeitures
Uscs of money and propcrty
Intcrgovcrnmcntal
Charges for current serviccs
Othcr revcnues
Total Revcnucs
EXPENDITURES:
Current:
Gcneral government
Public safcty
Public works and parks
Community dcvelopment
Culturc and rccrcation
Other
Capital Outlay
Debt Servicc:
Principal rctircmcnt
Intercst and fiscal chargcs
Total Expcnditurcs
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Operating transfers -In
Operating transfcrs -Out
Bond procecds
Bond issuancc cost
GENERAL
$21,511,238
639,770
422,250
475,514
3,775,002
1,956,579
224.629
29.004.982
4,506,273
16,329,751
6,006,839
1,613,139
170,931
28.626.933
378.049
1,076,867
(1,593,389)
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
GOVERNMENTAL FUND TYPES
SPECIAL
REVENUE DEBT SERVICE CAPITAL
FIDUCIARY
FUND TYPES
EXPENDABLE TRUST
TOTALS
(MEMORANDUM
ONLY)
$ 531,890 $3,322,909 $ 910,443 $ $26,276,480
511,777 1,151,547
422,250
801,624 105,780 1,152,801 22,280 2,557,999
6,182,637 567 9,958,206
3,215,887 5,172,466
1.092.667 436 93.740 59.593 1.471.065
12.336,482 3.429,125 _____ 2.157,551 81,873 47,010,013
1,240,197
35,338
4,774,612
2,814,530
175,971
1,422,680
10.463.328
1.873.154
174,629
(434,547)
1,807,000
2.030.491
3.837.491
1,158,573
2,054,557
700,907
3.914.037
37,680
51,278
843
89.801
6,942,723
16,365,089
10,781,451
2,105,835
4,428,512
175,971 -
2,294,518
1,807,000
2.030.491 -
46.931.590
(408,366) (1.756.486) (7.928) 78.423
234,192 902,431 2,388,119
(125,991) (234,192) (2,388,119)
8,895,000 8,895,000
(274,517} (274.517)
Total Other Financing Sources (Uses) (516.522) (259.918) 108.201 9.288.722 8.620.483
EXCESS (DEFICIENCy) OF REVENUES AND
OTHER FINANCING SOURCES OVER (UNDER)
EXPENDITURES AND OTHER FINANCING USES (138,473)
FUND BALANCES AT BEGINNING
1,613,236 (300,165) 7,532,236
., ..,nn n1"'1 11 1n., An., OF YEAR -RESTATED (NOTE 19) 8.043.334 12.829.974 J.IV7.71L IJ.17J."tvJ
11'''1 .tnn "'7 A "'7 lI""'In ..,..,r r"1n FUND BALANCES AT END OF YEAR $ 7.904.861 $14.443.210 oDJ."V7. I .. 1 oD LV. ILJ.U.:J7
Sec accompanying noles 10 general purpose financial sIal em en Is.
4
(7,928) 8,698,906
449.111 38.225,734
$441.183 $46.924.640
-
CITY OF SAN RAFAEL, CALIFORNIA
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -BUDGET AND ACTUAL (BUDGET BASIS)
GENERAL, SPECIAL REVENUE AND DEBT SERVICE FUNDS '
REVENUES:
Taxes and special assessments
Licenses and pennits
Fines and forfeitures
Uses of money and property
Intergovernmental
Charges for current services
Other revenues
Total Revenues
EXPENDITURES:
Current:
General government
Public safety
Public works and parks
Culture and recreation
Other
Capital Outlay
Debt Service:
Principal retirement
Interest and fiscal charges
Total Expenditures
BUDGET
$ 20,940,000
443,000
455,000
325,000
3,483,000
1,667,000
200.000
27.513.000
4,149,201
16,340,428
6,018,275
1,532,898
444,255
28.485.057
FOR THE FISCAL YEAR ENDED JUNE 30,1996
GENERAL FUND SPECIAL REVENUE FUNDS
ACTUAL VARIANCE ACTUAL VARIANCE
{BUDGET FAVORABLE {BUDGET FAVORABLE
BASIS) (UNFAVORABLE) BUDGET BASIS) (UNFAVORABLE)
$ 21,456,335 $ 516,335 $ $ 531,890 $ 531,890
639,770 196,770 510,000 513,230 3,230
429,762 (25,238)
441,172 116,172 44,000 801,624 757,624
3,313,656 (169,344) 1,086,480 5,153,396 4,066,916
1,931,627 264,627 2,469,849 3,217,708 747,859
201.147 1.147 1,082.731 1.082.731
28.413.469 900,469 4.110.329 11,300.579 7.190.250
4,470,727 (321,526) 608,490 1,225,478 (616,988)
16,198,269 142,159 15,860 37,088 (21,228)
5,959,439 58,836 6,003,200 3,570,216 2,432,984
1,600,150 (67 ,252) 1,078,573 2,773,012 (1,694,439)
529,236 (529,236)
169,555 274,700 5,791,408 1,370,257 4,421,151
28.398.140 86.917 13.497.531 9,505.287 3.992.244
DEBT SERVICE FUNDS
ACTUAL VARIANCE
(BUDGET FAVORABLE
BUDGET BASIS) (UNFAVORABLE)
$1,416,346 $3,322,909 $ 1,906,563
608,000 105,780 (502,220)
436 436
2.024.346 3.429.125 1.404.779
960,000 1,807,000 (847,000)
1.055.346 1.824.051 (768.705)
2.015.346 3.631.051 (1.615.705)
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES (972.057) 15.329 987.386 (9.387.202) 1.795.292 11.182.494 9.000 (201.926) (21O.926)
OTHER FINANCING SOURCES (USES):
Operating transfers -In
Operating transfers -Out
Total Other Financing Sources (Uses)
EXCESS (DEFICIENCY) OF REVENUES AND
OTHER FINANCING SOURCES OVER (UNDER)
EXPENDITURES AND OTHER FINANCING USES $ (972.057)
FUND BALANCES AT BEGINNING
OF YEAR -RESTATED (NOTE 19)
ADJUSTMENTS TO BUDGETARY BASIS
FUND BALANCES AT END OF YEAR
1,076,867 1,076,867 174,629 174,629 234,192 234,192
(1,593,389) (1.593,389) (434 .547) (434,547) (125,991) (l25.99 I )
(516.522) (516.522) (259.918) (259.918)
(501.193)
8,043,334
362.720
$ 7.904.861
$ 470.864 $ (9.387.202) 1,535,374
12,829,974
77.862
$14.443 .210
See accompanying nOles 10 general pU'l'ose financial slalemenls.
5
$10.922.576 $ 9 .000
108.201
(93,725)
3,709,912
(206.440)
$3.409.747
108.201
$ 002.725)
CITY OF SAN RAFAE:t, CALIFORNIA
PROPRIETARY FUND TYPE -COMPONENT UNIT
STATEMENT OF REVENUES AND EXPENDITURES AND
CHANGES IN FUND EQUITY
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
OPERATING REVENUES:
Sewer charges
Connection fees
Total Operating Revenues
OPERATING EXPENSES
Sewage collection
Sewage treatment
Depreciation and amortization
General and administrative
Total Operating Expenses
NON-OPERATING REVENUES (EXPENSES):
Property taxes
Special assessments -Bayside Acres
Aid from governmental agencies
Interest income
Interest expense
Other non-operating revenues
Total Non-operating Revenues (Expenses)
Net Income (Loss)
Add: depreciation expense on assets acquired
by contributed capital
Increase in retained earnings
Retained earnings -beginning of year (as restated)
Retained earnings -end of year
Contributed capital -beginning of year
Less: depreciation expense accumulated
Contributed capital -end of year
$ 3,771,822
39,047
3.810,869
1,633,116
1,747,296
679,365
165,340
4.225,117
378,904
52,155
31,612
74,555
(329,026)
1.290
209,490
(204,758)
286,478
81,720
10.283,685
10.365,405
8,893,992
(286,478)
8.607.514
Total Fund Equity $18.972,919
See accompanying notes to general purpose financial statements.
6
CITY OF SAN RAFAEL, CALIFORNIA
PROPRIETARY FUND TYPE -COMPONENT UNIT
STATEMENT OF CASH FLOWS
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
OPERATING ACTIVITIES:
Operating loss
Adjustments to reconcile operating loss to net cash provided
from operating activities:
Depreciation and amortization
Changes in current assets and liabilities:
(Increase) decrease in:
Prepaid expenses and other current assets
Increase (decrease) in:
Accounts payable and other current liabilities
Net Cash Provided from (Used In) Operating Activities
NON CAPITAL FINANCING ACTIVITIES:
Property taxes
Aid from governmental agencies
Net Cash Provided from Noncapital Financing Activities
CAPITAL FINANCING ACTIVITIES:
Additions to collection systems and facilities
Proceeds from sale of fixed assets
Special assessments -Bayside Acres
Interest received from certificates of participation principal
cash
Principal payments on certificates of participation
Interest paid on certificates of participation
Principal payments on Bayside Acres coupon bonds
Interest paid on Bayside Acres coupon bonds
Net Cash Used in Capital Financing Activities
INVESTING ACTIVITIES:
Interest received from Marin County pooled cash and
investments account
Net Cash Provided from Investing Activities
Net Decrease in Cash and Cash Equivalents
Cash and Cash Equivalents -Beginning of Year
Cash and Cash Equivalents -End of Year
$ (414,248)
679,365
(1,630)
(235,339)
28,148
378,904
31,612
410,516
(888,230)
1,290
52,155
23,499
(170,000)
(312,285)
(26,000)
(7,982)
(1,327,553)
51,283
51.283
(837,606)
2,860.460
$ 2,022.854
See accompanying notes to general purpose financial statements.
7
NOTES TO GENERAL PURPOSE
FINANCIAL STATEMENTS
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
1. REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES
The financial statements of the City of San Rafael (the City) have been prepared in confonnity with
generally accepted accounting principles (GAAP) as applied to governmental units. The
Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for
establishing governmental accounting and financial reporting principles.
A. REPORTING ENTITY
The City maintains a Council-Manager fonn of government and provides the following
services: public safety (police and fire), public works, community development, library,
parks, recreation, and general administrative services.
As required by generally accepted accounting principles, these financial statements
present the City (the primary government) and its component units. Component units
generally are legally separate entities for which a primary government is financially
accountable. Financial accountability ordinarily involves meeting both of the following
criteria set forth in GASB Statement No. 14; the primary government is accountable for
the potential component unit, and the primary govemment is able to impose its will upon
the potential component unit, or there is a possibility that the potential component unit
may provide specific financial benefits or impose specific fmancial burdens on the
primary government. The component units discussed in this note are included in the
City's reporting entity because of the significance of its operational or financial
relationships with the City. Each blended component unit has a June 30 year end.
Blended Component Units:
City of San Rafael Redevelopment Agency
The City of San Rafael Redevelopment Agency (the Agency) was established
pursuant to California Community Redevelopment Laws and is reported as if
it were part of the primary government because the City Council has a
continuing oversight responsibility for the Agency. The oversight
responsibility is detennined on the basis of budget adoption, taxing authority,
funding and appointment of the governing board. The Agency's assets,
liabilities, revenues and expenditures (other than those applicable to its fixed
assets and long ternl debt) are blended into the Capital Projects Funds and
Debt Service Funds. The Agency's fixed assets are included in the General
Fixed Assets Account Group. The Agency's long-tenn debts are blended
into the General Long-Tenn Debt Account Group. Separately issued
component unit fmancial statements can be obtained at the City of San
Rafael, Finance Department, 1400 Fifth Avenue, San Rafael, Califomia
94915.
8
L1TY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
City of San Rafael Joint Powers Financing Authority
The City of San Rafael Joint Powers Financing Authority (the Financing
Authority) was created by the City of San Rafael and the Agency pursuant to
Articles 1 and 2 of Chapter 5 of Division 7 of Title 1 of the Govenunent
Code of the State of California for the purpose of assisting the financing and
refinancing of certain redevelopment activities of the Agency. All of the
Financing Authority's assets, liabilities, revenues and expenditures are
blended into the Capital Projects Funds and the Debt Service Funds. The
Financing Authority's long-term debts are blended into the General Long-
Term Debt Account Group.
Discretely Presented Component Unit:
San Rafael Sanitation District
The San Rafael Sanitary District (the District) was formed in 1947 under
Section 4700 of the California Health and Safety Code to provide wastewater
transmission over the southern two-thirds of the City of San Rafael and
adjacent unincorporated areas. The City contracts with the District to
maintain the collection systems in the unincorporated areas.
The District is governed by a three member Board of Directors who are
appointed to four year terms. The City Council of the City of San Rafael
appoints two out of the three board members and has the ability to remove
the two board members at will.
The activities of the District are accounted for in a single enterprise fund.
The District's assets, liabilities, revenues, expenses, results of operation and
cash flows are discretely presented on the City's general purpose fmancial
statements.
B. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Description of Funds and Account Groups -The accounts of the City are organized on
the basis of funds and account groups, each of which is considered a separate
accounting entity with its own self-balancing accounts that comprise its assets,
liabilities, fund equity, revenues and expenditures. These funds and accounts are
established for the purpose of carrying out specific activities or certain objectives in
accordance with specific regulations, restrictions or limitations. Govenunent 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.
9
t.:ITY OF SAN RAF AE'L , CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
The various funds are grouped in the financial statements in this report into categories
as follows:
Governmental Funds
• The General Fund is the general operating fund of the City. It is used to
account for all financial resources except those required to be accounted
for in another fund.
• Special Revenue Funds are used to account for the proceeds of specific
revenue sources (other than expendable trusts or major capital projects)
that are legally or administratively restricted to expenditures for specified
purposes.
• Debt Service Funds are used to account for the accumulation of resources
for, and the payment of, general long-term debt principal, interest and
related costs.
• Capital Projects Funds are used to account for financial resources to be
used for the acquisition or construction of major capital facilities.
Fiduciary Funds
• Expendable Trust Funds are accounted for in the same manner as
governmental funds. (All trust funds of the City of San Rafael are
classified as expendable.)
• Agency Funds are custodial in nature and do not involve the measurement
of the results of operations. They are used to account for monies received
by the City of San Rafael as an agent for individuals, other governments
and other entities.
Account Groups
• The General Fixed Assets Account Group is used to maintain control and
cost information on capital assets acquired to perform general government
functions.
• The General Long-Term Debt Account Group is used to record the
unmatured principal of tax allocation bonds, special assessment bonds,
notes, compensated absences, the principal amount of future lease
payments due under lease purchase agreements and other long-teml
liabilities.
10
<..:ITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
C. MEASUREMENT FOCUS
All governmental funds are accounted for using a current financial resources
measurement focus. With this measurement focus, only current assets and current
liabilities generally are included on the balance sheet. Operating statements of these
funds present increases (i.e., revenues and other financing sources) and decreases (i.e.,
expenditures and other financing uses) in net current assets .
D. BASIS OF ACCOUNTING
All governmental funds, expendable trust funds and agency funds are accounted for
using the modified accrual basis of accounting. Their revenues are recognized when
they become susceptible to accruals, that is, when both are measurable and available.
"Measurable" means the amounts of the transaction can be determined and "available"
means collectible within the current period or soon enough thereafter to be used to pay
liabilities of the current period. Accrued revenues include property taxes, sales taxes,
transient occupancy taxes, gas tax, franchise fees, interest and grants. Grant revenues
which are received as reimbursement for specific purposes or projects, are recognized
based upon when the related expenditures are recorded. Grant revenues which are
virtually unrestricted as to purpose and revocable only for failure to meet prescribed
compliance requirements are reflected as revenues at the time of receipt or earlier if
availability criterion are met. Licenses, fines and penalties and other revenues are
recorded as revenues when received in cash because they are generally not measurable
until actually received. Investment earnings are accrued since they are measurable and
available.
Expenditures under the modified accrual basis of accounting are recognized when the
related fund liability is incurred, except for principal and interest on general long-term
obligations which are recognized when due. Liabilities expected to be paid after the
current period are recorded in the General Long-Term Debt Account Group.
Agency-type funds are custodial in nature (assets equal liabilities) and thus do not
involve measurement of results of operations.
E. BUDGETS AND BUDGETARY ACCOUNTING
The City annually adopts a budget for its general fund (excluding certain workers'
compensation and liability claims) and certain special revenue and debt service funds
to be effective July 1 for the ensuing fiscal year. From the effective date of the budget,
which is adopted at the department level, the amounts stated therein as proposed
expenditures become appropriations to the various City departments. The City
Council may amend the budget by resolution during the fiscal year. The City Manager
I I
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30,1996
is authorized to transfer budgeted amounts between accounts, departments or funds;
the Council must approve any increase in the City's total budget. Several
supplemental appropriations were approved during the course of the year. All
unencumbered appropriations lapse at year end.
The City also adopts budgets annually for its capital projects funds. Such budgets are
based on a project time frame, rather than a fiscal year "operating" time frame,
reappropriating unused appropriations from year to year until project completion. The
City does not adopt budgets for trust and agency funds, certain special revenue grant
funds, the special revenue equipment replacement fund, special assessment debt
service funds and special assessment capital projects funds.
The City's budget is adopted on the cash basis of accounting for certain transactions.
The results of operations are presented in the budget and actual comparison statement
in accordance with the budgetary process (budget basis) to provide a meaningful
comparison to budget. The results of actual operations on a budgetary basis are
reconciled to the results of operations on a generally accepted accounting principles
(GAAP) basis by fund type as follows:
Special Debt
General Revenue Service
Excess (Deficiency) of revenues and
other financing sources over
(under) expenditures and other
financing uses (budget basis) $ (501,193) $ 1,535,374 $ (93,725)
Adjustments arising from
differences between cash basis
and modified accrual basis 362,720 77,862 (206.440)
Excess (Deficiency) of revenues and
other fmancing sources over
(under) expenditures and other
financing uses (GAAP basis) $ (138.473) $ 1,613,236 $ (300,165)
Supplemental appropriations for the fiscal year ended June 30, 1996, were as follows:
Original Supplemental Amended
Fund Budget Appropriations Budget
General Fund $ 28,467,031 $ 18,026 $ 28,485,057
Special Revenue Funds 12,686,746 810,785 13,497,531
Debt Service Funds 2,015,346 2,015,346
12
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
Encumbrance accounting, under which purchase orders, contracts and other
commitments for expenditures are recorded in order to reserve that portion of the
applicable appropriation, is employed as an extension of the budgetary process.
F. INVESTMENTS
Investments are stated at cost except for investments of the Deferred Compensation
Plan Agency Fund, which are stated at current (market) value. When market values
decline below cost, no loss is recorded if such declines are considered temporary. The
City's policy is to hold investments until maturity or until market values equal or
exceed cost. However, if the liquidity needs of the City were to require that
investments be sold at a loss subsequent to year end, the decline in value would be
recorded as a loss at the fiscal year end.
G. RESTRICTED CASH AND INVESTMENTS
Certain proceeds of various special assessment bonds, as well as certain resources set
aside for their repayment, are classified as restricted cash and investments on the
balance sheet because their use is limited to debt service by applicable bond covenants.
H. GENERAL FIXED ASSETS
General Fixed assets are recorded as expenditures of the various governmental funds at
the time of purchase and are subsequently capitalized for memorandum purposes in the
General Fixed Asset Account Group. Such assets include land, buildings, building
improvements, furniture and equipment.
The costs of roads, streets and sidewalks, bridges, curbs and gutters, drainage systems,
lighting systems and similar assets are not capitalized. No depreciation is provided on
general fixed assets.
All fixed assets are valued at historical cost or estimated historical cost if actual
historical cost is not available. Donated fixed assets are valued at their estimated fair
market value on the date donated. Fixed assets acquired by lease obligations are
valued at the present value of future lease payments at the inception of the lease.
1. ACCUMULATED UNP AID VACATION AND SICK LEAVE
The City accounts for compensated absences (unpaid vacation, sick leave,
compensatory time and administrative leave) expected to be currently payable as
accrued payroll and benefits liability in the governmental funds to which they relate.
The balance of the earned and vested, but unused, compensated absences expected to
13
L'ITY OF SAN RAFAEL. CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
be paid subsequent to June 30, 1996, is recorded in the General Long-Term Debt
Account Group. Sick pay vesting was discontinued for employees hired after 1978.
No expenditure was recorded for these amounts.
J. APPROPRIATION LIMITATIONS
Under Article XIIIB of the California Constitution (the Gann Spending Limitation
Initiative), the City is restricted as to the amount of annual appropriations from
proceeds of taxes. For the fiscal year ended June 30, 1995, based on calculations by
City's management, proceeds of taxes did not exceed related appropriations. Further,
Section 5 of the Article XIIIB allows the City to designate a portion of fund balance
for general contingencies to be used for any purpose.
K . PROPERTY TAX LEVY COLLECTION AND MAXIMUM RATES -
The State of California (State) Constitution Article XIII A provides that the combined
maximum property tax rate on any given property may not exceed one percent of its
assessed value unless an additional amount for general obligation debt has been
approved by voters. Assessed value is calculated at 100% of market value as defined
by Article XIII A and may be adjusted by no more than two percent per year unless the
property is sold, transferred or improved. The State Legislature has determined the
method of distribution of receipts from a one percent tax levy among the counties,
cities, school districts and other districts.
Marin County assesses, bills for and collects property taxes as follows:
Lien dates
Levy dates
Due dates
Delinquency as of
March 1
July 1
Secured
50% on November 1
50% on February 1
December 10 (for November)
April 10 (for February)
Unsecured
March 1
July 1
July 1
August 31
The term "unsecured" refers to taxes on personal property other than real estate, land
and buildings . These taxes are secured by liens on the property being taxed .
14
<--tTY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
Property taxes levied are recorded as revenue when received in the fiscal year of levy
because of the adoption of the "alternate method of property tax distribution," known
as the Teeter Plan, by the City and the County of Marin. The Teeter Plan authorizes
the auditor-controller of the County of Marin to allocate 100% of the secured property
taxes billed, but not yet paid. The County of Marin remits tax monies to the City in
three installments, as follows:
50% remitted on December 15
45% remitted on April 15
5% remitted on June 15
L. TAXPAYER-ASSESSED TAXES ACCRUAL
In accordance with Governmental Accounting Standards Board (GASB) Statement
No. 22, the City recognizes taxpayer-assessed taxes in Governmental Funds as
follows:
Sales Taxes -The City accrues actual advances from the State Board of Equalization
received in July and August of the subsequent fiscal year as these amounts are both
measurable and available to the City to meet its financial obligations for the current
period.
Public Safety Sales Tax (Proposition 172 Sales Tax) -The City accrues July and
August receipts of the public safety sales tax on the basis consistent with the accrual of
regular sales taxes.
Transient Occupancy Taxes -The City collects transient occupancy taxes on a
quarterly basis. The taxes assessed for the quarter ended June 30 are due by July 31 of
the subsequent fiscal year. The City accrues all transient occupancy taxes received in
the quarter subsequent to the fiscal year end.
Gas Taxes -The City accrues gas taxes assessed for the month ended June 30 as these
amounts are both measurable and available to the City a month after the fiscal year
end.
Franchise Fees -The City collects franchise fees on a quarterly basis. The taxes
assessed for the quarter ended June 30 are due by July 31 of the subsequent fiscal year.
The City accrues all franchise fees received in the quarter subsequent to the fiscal year
end.
15
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
M. CLAIMS AND JUDGMENTS
Claims and judgments are accounted for in the General Fund in accordance with
Governmental Accounting Standards Board (GASB) Statement No. 10, which requires
that expenditures for claims be recognized when it is probable that the liability has
been incurred and the amount of the loss can be reasonably estimated.
N. "TOTALS (MEMORANDUM ONLY)" INFORMATION
Columns on the accompanying combined financial statements captioned "Totals
(Memorandum Only)" do not present consolidated financial information. They are not
necessary for a fair presentation of the financial statements, but are presented as
additional analytical data. Interfund eliminations have not been made in the
aggregation of this data.
2. CASH AND INVESTMENTS
Cash balances from all funds are combined and invested to the extent possible pursuant to the
City Council approved Investment Policy and Guidelines and California Government Code. The
earnings from these investments are allocated quarterly to each fund based on an average of
quarterly opening and closing balances of cash and investments. Investments are stated at cost
except for those of Deferred Compensation Plans which are shown at the current market value.
The market value information is provided as quoted on June 30, 1996. This is for information
only (except for Deferred Compensation Plans) to assess the actual value if the City were to
liquidate the investments before maturity. The City has no such intentions and will hold the
investments to maturity.
16
CITY OF SAN RAFAEL. CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
Authorized Investments:
Authorized investments per the City's Investment Policy and Section 53601 of the
California Government Code are:
Mutual Funds Composed Entirely of U.S. Governmental Securities or other
allowable investments
Negotiable Certificates of Deposit
U.S. Government Securities
Bankers Acceptances
Commercial Paper
Medium-Term Corporate Notes
California Local Agency Investment Fund (LAIF)
California Arbitrage Management Trust (CAMT)
Repurchase Agreements
Federal Agency Obligations:
Federal Intermediate Credit Bank Debentures (FICB)
Federal Land Bank Bonds (FLB)
Federal Home Loan Bank Notes and Bonds (FHLB)
Federal National Mortgage Association Obligations (FNMA)
Small Business Administration Obligations (SBA)
Government National Mortgage Association Obligations (GNMA)
Tennessee Valley Authority Notes (TVA)
Student Loan Association Notes (SALLIE MAE)
California Local Agency Investment Fund (LAIF):
The LAIF is a special fund of the California State Treasury through which local
governments may pool investments. Each city or agency may invest up to $20,000,000
in the fund. Investments in LAIF are highly liquid, as deposits can be converted to cash
within 24 hours.
California Arbitrage Management Trust (CAMT):
The CAMT is a non-taxable investment fund under provisions of the California Joint
Exercise of Powers Act to provide California Public Agencies with comprehensive
investment management, accounting and arbitrage rebate calculation services for
proceeds of tax-exempt financing. The CAMT currently provides two short-term
investment portfolios, a segregated portfolio and a cash reserve portfolio.
17
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
Cash and investments at June 30, 1996, consisted of the following:
Cash:
Demand accounts at banks
Petty cash
Cash with Fiscal Agent
Investments:
Medium-Term Notes
U. S. Agency Securities
Investments with Fiscal Agent
Restricted cash on deposit with
bank trust departments -
Deferred Compensation
California Local Agency
Investment Fund
California Arbitrage Management
Trust
Total Cash and Investments
Cash Market Value
$ 60,926 $ 60,926
6,700 6,700
78,455 78,455
4,460,308 4,485,500
20,392,133 20,319,158
1,373,015 1,373,015
7,348,352 7,348,352
13,288,368 13,288,368
3,577,464 3,577,464
$ 50,585,721 $ 50,537,938
The distribution of these monies by funds was as follows:
Funds:
General
Special Revenue
Debt Service
Capital Projects
Fiduciary
TOTAL
Pooled Deposits/Credit Risk
$ 5,702,738
13,949,804
2,653,124
20,488,441
7,791,614
$ 50,585,721
All pooled certificates of deposit and bank balances are entirely insured or collateralized. The
California Government Code requires California banks and savings and loan associations to
secure an agency's deposits by pledging government securities as collateral. The market value of
the pledged securities must equal at least 110% of an agency's deposits. California law also
allows financial institutions to secure local agency deposits by pledging first trust deed mortgage
notes leaving a value of 150% ofa local agency's deposits.
18
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
The City may waive collateral requirements for deposits which are fully insured up to $100,000
by the Federal Deposit Insurance Corporation (FDIC) or the Federal Savings and Loan Insurance
Corporation (FSLIC).
Three categories of risk level have been developed by the Government Accounting Standards
Board (GASB) Statement No. 3 to disclose the various risk associated with deposits and
investments of public money:
Category 1 -insured or collateralized with securities held by the City or its agent in the
City's name.
Category 2 -collateralized with securities held by the pledging financial institution's trust
department or agent in the City's name.
CategorY 3 -uncollateralized or collateralized with securities held by the pledging
financial institution's trust department or agent but not in the City's name.
Credit Risk. Carrying Amount and Market Value ofInvestments
Investments made by the City are classified as to credit risk by three categories, as follows:
Category 1 -insured or registered, or securities held by the City or its agent in the City's
name.
Category 2 -insured or registered, with securities held by the counterparty's trust
department or agent in the City's name.
Category 3 -insured or registered, with securities held by the counterparty, or by its trust
department or agent but not in the entity's name.
Investments in pools managed by other governments or in mutual funds are not required to be
categorized pursuant to GASB Statement No.3.
19
LITY OF SAN RAFAEL, CALIFORNiA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
Catego!:y
2 3
Deposits
Pooled Deposits
Demand Accounts:
Bank balances $200,000 $ 668,601 $
Deposits in transit
Outstanding checks
Petty cash
Book balance 200,000 668,601
Deposits with Fiscal Agents
Cash with Marin County 78,455
Total Deposits $200,000 $ 668,601 $ 78,455
Category Carrying
2 3 Amount
Investments
Pooled Investments
Medium-Term Notes $ 4,460,308 $ $ $ 4,460,308
U. S. Agency Securities 20,392,133 20,392,133
California Local Agency
Investment Fund * 13,288,368
California Arbitrage
Management Program * 3,577,464
Total Pooled
Investments 24,852,441 41,718,273
Investments with Fiscal Agents:
Mutual Funds * (I) 8,721,367
Total Investments $ 24,852,441 $ $ $ 50,439,640
* Not subject to categorization
(I) Includes deferred compensation plan investment
Carrying
Amount
$ 868,601
336,514
(1,144,189)
6,700
67,626
78,455
$ 146,081
Market
Value
$ 4,485,500
20,319,158
13,288,368 (2)
3,577,464
41,670,490
8,721,367
$ 50.391,857
(2) At June 30, 1996, market value of LAIF was $26,851,615,144. The city's proportionate share of the value is
$13,295,729. Included in LAIF's investment portfolio are certain derivative securities or similar products in the form
of structured notes totaling $1,100,720,000. LAIF's (and the City's) exposure to risk (credit, market, or legal) is not
currently available.
20
CiTY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
3. ACCOUNTS RECEIVABLE
Accounts receivable at June 30, 1996, consisted of the following:
General Special Revenue Capital Projects
Fund Funds Funds
Property taxes $ 833,487 $ $
Sales taxes 1,046,612
Transient occupancy
taxes 204,471
Franchise fees 83,590
Charges for services 90,522
Intergovernmental 506,291 1,704,965
Other receivables 62,774 27,005 6,040
TOTAL $ 2,827,747 $ 1,731,970 $ 6,040
4. FIXED ASSETS
Totals
$ 833,487
1,046,612
204,471
83,590
90,522
2,211,256
95,819
$4,565,757
A summary of changes in general fixed assets for the fiscal year ended June 30, 1996 is as
follows:
Land and buildings
Rolling equipment
Furniture and equipment
Improvements other
than buildings
Investment in general
fixed assets
Balance at
July 1, 1995
$20,404,436
4,503,398
4,703,695
3,286,732
$ 32.898.261
21
Additions
$ 876,536
434,216
210,888
$1.521.640
Deletions
$550,000
118,312
77,367
$745.679
Balance at
June 30, 1996
$20,730,972
4,819,302
4,837,216
3.286,732
$33,674.222
CITY OF SAN RAFAE:t, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
5. LONG-TERM DEBT
The City records long-term debt of governmental funds in ·the General Long-Term Debt Account
Group. Other governmental fund obligations not expected to be financed with current available
financial resources are also recorded in the general long-term debt account group.
Long-term debt outstanding at June 30, 1996 was as follows:
Interest Authorized Outstanding
Maturitv Rates and Issued June 30, 1996
San Rafael Redevelopment Agency
Tax Allocation Bonds:
Series 1992 2017 3.25 -6.45 18,615,000 $ 16,770,000
Series 1995 2021 4 .00 -6.00 8,895,000 8,575,000
Total Tax Allocation Bonds 25,345,000
Special Assessment Bonds
(with governmental commitment)
Lucas Valley 1998 5.50 -5.75 217,393 48,000
Sun Valley 2006 5.50 -8.50 357,326 206,000
Northgate/Civic Center -
Refunding 2011 5.25 -7.60 3,365,000 2,935,000
Kerner Boulevard Refunding 2005 5.75 -8.00 6,445,000 2,995,000
Peacock Gap Refunding 2005 4.00 -4.75 2,405,000 1,960,000
Mariposa Road Assessments 2008 4.50 -6.90 233,688 195,000
Total Special Assessment
Bonds (with governmental
commitment) 8,339.000
Note payable 2025 8.00 169,000
Accrued interest on note payable 89,723
Total Note Payable 258.723
Total Long-term Debt $ 33,942,723
22
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
Long-term debt transactions during the fiscal year ended June 30, 1996 was as follows:
Tax Special Liability Vacation and
Allocation Assessment Note Lease Sick Leave
Bonds Bonds Payable Total Debt Purchases Obligations
Balance at July I, 1995 $17,740,000 $8,856,000 $169,000 $26,765,000 $61,307 $2,084,467
Additions:
Bond issues 8,895,000 8,895,000
Accrued interest 89,723 89,723
Vacation and sick leave
obligations (net) 692,802
Retirements:
Principal repayments 1.290.000 517.000 1.807.000 21.440
Balance at June 30, 1996 $25.345.000 $8.339.000 $258.723 $33.942.723 $39.867 $2.777.269
Debt service requirements, including interest, follows:
Tax Special Liability
Allocation Assessment Note Lease
Bonds Bonds Payable Purchases Totals
Year Ending June 30:
1997 $ 2,054,834 $ 1,594,243 $ $22,778 $ 3,671,855
1998 2,052,192 1,588,790 20,380 3,661,362
1999 2,057,435 1,591,980 3,649,415
2000 2,050,285 1,566,014 3,616,299
2001 2,055,640 1,565,827 3,621,467
Thereafter 37.168.175 6.484.959 642.200 44.295.334
Total $ 47.438.561 $14.391.813 $642.200 $43.158 $62.515.732
The City is "obligated in some manner" (as defined by GASB Statement No.6) for special
assessment debt (1) because the City must cover delinquencies of special assessment bonds with
other resources until foreclosure proceeds are received or (2) because the City has been indicated
that it may do so.
Long-tenn debt does not include special assessment debt issued under the 1911 Bond Act as the
City is not liable in any manner for repayment. The County of Marin acts as the City's agent for
property owners in collecting the assessments and forwarding the collections to bondholders.
The outstanding balance of the 1911 Bond Act as of June 30, 1996, was $54,017.
At June 30, 1996, the other long-term debt consisted of a $169,000 promissory note bearing
interest at 8% with principal and accrued interest due and payable in November 2024. The note
was assumed to finance the purchase of certain property by the Redevelopment Agency. Accrued
interest at June 30,1996, was $89,723.
23
LITY OF SAN RAFAE~, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
6. DUE FROMIDUE TO OTHER FUNDS
A summary of due from/due to other funds is as follows:
Due From Due To
General Fund $40,000 $
Special Revenue Funds:
Miscellaneous Special Revenue Fund 40,000
Total $40,000 $40,000
7. LOANS RECEIVABLE
The City has the following loans receivable at June 30, 1996:
a. $100,000 loan from Marin Housing Development at 5% interest rate due June 30,
1997.
b. $100,000 loan from One "H" Street Associates at 5% interest rate due May 1, 1999.
c. $303,000 loan from Centertown Associates, Ltd. at 3% interest rate payable semi-
annually. The remaining loan receivable at June 30, 1996 was $297,757. The final
payment is due to the City on July 1,2065.
8. CAPITAL LEASES
The City leases various equipment through capital leasing arrangements in the governn1ental
funds. The assets and obligations for agreements of the governmental funds are recorded in the
General Fixed Asset Account Group and the General Long-Term Debt Account Group,
respectively. The equipment acquired through the capital leases totaled $108,061 at June 30,
1996.
The future minimum lease obligations as of June 30, 1996, were as follows:
Year Ending June 30,
1997
1998
Total minimum lease payments
Less: Amount representing interest
Present value of minimum lease payments
24
$ 22,778
20,380
43,158
(3,291)
$ 39,867
LITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
9. FUND BALANCES, RESERVES AND DESIGNATIONS
Fund balances consist of reserved and umeserved amounts. Reserved fund balances represent
that portion of a fund balance which is not appropriable for expenditure or is legally segregated
for a specific future use. The remaining portion is unreserved fund balance. Portions of
unreserved fund balance may be designated to indicate tentative plans for financial resource
utilization in a future period, such as for general contingencies or capital projects. Such plans or
intent are subject to change, have not been legally authorized and may not result in expenditures.
A detailed schedule of the fund balances at June 30, 1996, is shown as follows:
Fiduciary
Governmental Fund T:tQes Fund T:tQes
Special Debt Capital Trust and
General Revenue Service Projects Agenc:t
Fund balances:
Reserved:
Encumbrances $ 60,826 $ 1,030,638 $ $ 4,434 $
Loans receivable 200,000
Debt service 3,396,046
Refunds and projects 3,223,774 441,183
Redevelopment 18,994,503
Insurance claims 1.970.895
Total Reserved 2.031.721 4.454.412 3.396.046 18.998.937 441.183
Unreserved and Designated:
Construction 716,763 13,701 1,726,702
Traffic mitigation 8.155.843
Total Unreserved and
Designated 8.872.606 13.701 1.726.702
Unreserved and Undesignated 5.873.140 1.116.192
TOTAL FUND
BALANCES $7.904.861 $ 14.443.210 $3.409.747 $20.725.639 $441.183
10. DEFICIT FUND BALANCES
At June 30, 1996, the City has deficit fund balances in the following funds:
Special Revenue Funds:
Household Hazmat Facility Fund
Falkirk Grant Fund
25
$ 5,350
39,791
Totals
$ 1,095,898
200,000
3,396,046
3,664,957
18,994,503
1.970.895
29.122.299
2,457,166
8.155.843
10.613.009
6.989.332
$ 46.924.640
CITY OF SAN lUFAEC, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
11. EMPLOYEES' RETIREMENT PLAN
Plan Description
All permanent employees are eligible to participate in the Marin County Employees' Retirement
Fund (the Fund). The Fund is an agent multiple-employer defined benefit retirement plan that
acts as a common investment and administrative agent for various local governmental agencies
within the County of Marin. The Fund provides retirement, disability, and death benefits based
on the employee's years of service, age and final compensation. Employees vest after five years
of service and are eligible to receive retirement benefits after 10 years of service and have
attained the age of 50, or 30 years of service (20 years for safety employees) regardless of age.
These benefit provisions and all other requirements are established by County ordinance.
The City contributed 27.37% of payroll to the Fund for public safety personnel and 13.43% for
other covered employees for the year ended June 30, 1996. The City's covered payroll for
employees participating in the Fund for the year ended June 30, 1996, was $17,023,475. The
City's 1996 payroll for all employees was $19,047,070. The City, due to a collective bargaining
agreement, also has a legal obligation to contribute half of the employees' contribution up to a
maximum of 7% of payroll for safety employees and 5% of payroll for all other employees.
Employees have an obligation to contribute the remaining portion.
Funding Status and Progress
The "pension benefit obligation" is determined for each participating employer by the Fund's
actuary and is a standardized disclosure measure that results from applying actuarial assumptions
to estimate the present value of pension benefits, adjusted for the effects of projected salary
increases and step rate benefits, to be payable in the future as a result of employee service to date.
The measure is intended to help users assess the funding status of the City's portion of the Fund
to which contributions are made on a going-concern basis, assess progress made in accumulating
sufficient assets to pay benefits when due, and make comparisons among employers. The
measure is the actuarial present value of credited projected benefits and is independent of the
funding method used. The pension benefit obligation was computed as part of an actual
valuation perfonned as of July 1, 1994. The significant actuarial assumptions used in the 1994
actuarial valuation to compute the pension benefit obligation were an assumed rate of return on
investment assets of 8%, and annual payroll increases of 4.5% per year before five years of
service, and 2% per year thereafter for miscellaneous employees under age 40 or 0.5% per year
thereafter for safety employees.
26
CiTY OF SAN RAFAE ~, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
Total unfunded pension benefit obligation applicable to the City's employee groups at July 1,
1995, follows:
Pension Benefit Obligation:
Retirees and beneficiaries
currently receiving benefits
and terminated employees
not yet receiving benefits
Current employees:
Accumulated employee
contributions and allocated
investment earnings
Employer-financed, vested
Employer-financed, nonvested
Total pension benefit obligation
Net assets available for benefits, at cost
Unfunded pension benefit obligation
Actuarially Determined Contributions Required and Contributions Made
$ 42,406,000
10,493,000
28,037,000
17,596,000
98,532,000
84,536,777
$ 13.996,223
The funding policy of the Fund provides for actuarially detemlined periodic contributions by the
City at rates such that sufficient assets will be available to pay Fund benefits when due. The
contribution to the Fund for the year ended June 30, 1996, of $3,640,834 was made in accordance
with the actuarially determined requirements computed as of July 1, 1994. The City contributed
$2,989,846 (20.42% of current covered payroll). The employees' contribution was $650,988
(4.44% of current covered payroll).
The contribution rate for normal cost is determined using the Entry Age Normal Actuarial Cost
Method, a projected benefit cost method. It takes into account those benefits that are expected to
be earned in the future as well as those already accrued. The Fund also uses the level percentage
of payroll method to amortize the unfunded actuarial liability. It is assumed that payroll
increases at an annual inflation rate graded from 3% to an ultimate rate of 5% over 5 years over
the amortization period. As of July 1, 1994, 12 years are left in the amortization period.
Significant actuarial assumptions used in the 1994 valuation to compute the actuarially
detemlined contribution requirement are the same as those used to compute the pension benefit
obligation as described above .
27
<"'1 TY OF SAN RAFAE~, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
Three-Year Historical Trend Information
Trend information gives an indication of the progress made in accumulating sufficient assets to
pay benefits when due. Nine-year trend information for the Fund may be found in the City's
supplementary section of the annual report.
For the City's share of the Fund, trend information for the years ended June 30, 1995, 1994 and
1993 is as follows:
Net assets available for
benefits, at cost
Pension benefit obligation
Net assets available for
benefits as a percentage
of pension benefit obligation
Unfunded pension benefit obligation
Estimated annual covered payroll
Unfunded pension benefit
obligation as a percentage
of annual covered payroll
$ 84,535,777
98,532,000
86%
13,996,223
14,643,000
96%
$ 78,189,294
91,958,000
85%
13,768,706
13,945,000
99%
$ 67,709,149
74,282,100
91%
6,572,951
13,230,660
50%
Employer's contributions, made in accordance with actuarially determined requirements, as a
percentage of annual covered payroll was 20.42%,19.44% and 18.94% for 1995,1994 and 1993,
respectively.
Trend information gives an indication of the progress made in accumulating sufficient assets to
pay benefits when due. The nine-year historical infonnation is shown in the Statistical Section.
12. PUBLIC AGENCY RETIREMENT SYSTEM (DEFINED CONTRIBUTION
RETIREMENT PLAN)
The City contributes to the Public Agency Retirement System (PARS), which is a defined
contribution retirement plan. A defined contribution retirement plan provides retirement benefits
in return for services rendered, provides an individual account for each participant, and specifies
how contributions to the individual's account are to be determined instead of specifying the
amount of benefits the individual is to receive.
Under a defined contribution pension plan, the benefits a participant will receive depend solely on
the amount contributed to the participant's account, the returns earned on investments on those
28
CITY OF SAN RAF AEt" CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
contributions, and forfeitures of other participant's benefits that may be allocated to such
participant's account.
As established by the plan, all eligible employees of the City will become a participant in the plan
from the date they are hired. An eligible employee is any employee who, at any time during
which the employer maintains this plan, is not accruing a benefit under the Marin County
Employees Retirement Fund. (See Note 11).
Contributions made by an employee and the employer vest immediately. As determined by the
plan, each employee must contribute 3.75% of gross earnings to the plan. The City contributes
an additional 3.75% of the employee's gross earnings.
During the year, the City contributed $74,498 (3.75% of current year covered payroll) and
employees contributed $74,497 (3.75% of current year covered payroll). The total covered
payroll of employees participating in the plan for the year ended June 30, 1996 was $1,986,622 .
The total payroll for the year was $19,047,070 .
No changes in plan provisions occurred during the year. The plan held no securities of the City
or other related parties during or at the close ofthe fiscal year.
13. POST-EMPLOYMENT HEALTH CARE BENEFITS
The City provides certain health care benefits for retired employees and their spouses. The
benefit provisions were established under the authority of the 1937 Act, Section 31450, et. seq. of
the Government Code. Substantially all of the City's employees may become eligible for these
benefits if they are receiving a retirement benefit from the Marin County Employees' Retirement
Fund within 120 days of retirement from City employment. At June 30, 1996, 148 retirees
received post-employment health care benefits. Those expenditures are reduced by
reimbursements from the Marin County Retirement Office of the annual amount set forth in the
County Retirement Rules and Regulations 1937 Act as amended and in Sections 31450 et. seq. of
the Government Code. The cost of retiree health care benefits is recognized as an expenditure as
claims are paid. For the fiscal year ended June 30, 1996, those costs totaled $186,092.
14. DEFERRED COMPENSATION PLAN
The City offers its employees a deferred compensation plan created in accordance with Internal
Revenue Code Section 457. The plan, available to all City employees, permits them to defer a
portion of their salary until future years . The deferred compensation is not available to
employees until termination, retirement, death, or unforeseeable emergency.
All amounts of compensation deferred under the plan, all property and rights purchased with
those amounts, and all income attributable to those amounts, property, or rights are (until paid or
made available to the employee or other beneficiary) solely the property and rights of the City
29
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
(without being restricted to the provisions of benefits under the plan), subject only to the claims
of the City's general creditors. Participants' rights under the plan are equal to those of general
creditors of the City in an amount equal to the fair market value of the deferred account for each
participant.
The City has no liability for losses under the plan but does have the fiduciary duty of due care
that would be required of an ordinary prudent investor. The City believes that it is unlikely that it
will use the assets to satisfy the claims of general creditors in the future.
15. RISK MANAGEMENT
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of
assets; errors and omissions; injuries to employees; and natural disasters. The City is self-insured
up to a maximum of $500,000 for each general liability claim, $250,000 for each workers'
compensation claim, and $25,000 for each property damage claim. The City participates in a
public agency risk sharing pool (California Joint Powers Risk Management Authority) for general
liability claims in excess of the self-insured amounts up to $9,500,000. The City purchases
commercial insurance for workers' compensation claims in excess of the self-insured amount up
to $9,750,000. The City also purchases commercial insurance for property damage claims in
excess of the self-insured amount up to $28,853,000. Settled claims have not exceeded this
coverage in any of the past three fiscal years.
The City accounts for and finances its uninsured risks of loss in the General Fund. The City had
established a claims liability of $1,970,895 at June 30, 1996, based on the requirement of
Governmental Accounting Standards Board Statement No. 10, which requires that a liability for
claims be reported if information prior to the issuance of the financial statements indicates that it
is probable that a liability has been incurred at the date of the financial statements and the amount
of the loss can be reasonably estimated.
A reconciliation of changes in the aggregate liabilities for claims for the fiscal year ended June
30, 1995 and 1996 is as follows:
Unpaid claims and claim adjustments at June 30, 1995
Incurred claims and claim adj ustment expenses
Payments and claim adjustments
Total unpaid claims and claim adjustments
expenses at June 30, 1996
$1,221,885
1,483,381
(734.371)
$1.970,895
The California Joint Powers Risk Management Authority which began operations in February
1986, is a governmental self-insurance cooperative organized under a joint power agreement
consisting of 23 members which represent over 120 public agencies in California. The Risk
Management Authority pools self-insurance losses of charter and associate members, develops
30
CITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
risk management programs, and provides for administration of pooled coverage claims. The City
paid $178,524 in premiums to the Risk Management Authority during the fiscal year ended June
30, 1996. Condensed financial information for the California Joint Powers Risk Management
Authority for the fiscal year ended June 30, 1995 is as follows:
Assets
Liabilities
Equity:
Unrealized gain on investment
Retained earnings
Revenues
Expenses
Total Liabilities and Equity
Refunds to members
Net increase in retained earnings
16. JOINT POWER AGREEMENTS
$ 43.014,299
$ 24,869,672
44,238
18,100,389
$ 43,014,299
$ 11,227,483
(5,460,572)
(3,148,202)
$ 2,618,709
The City participates in various organizations through formally organized and separate entities
established under the Joint Exercise of Powers Act of the State of California. As separate legal
entities, these entities exercise full powers and authorities within the scope of the related Joint
Powers Agreement including the preparation of rumual budgets, accountability for all funds, the
power to make and execute contracts, and the right to sue and be sued. Obligations and liabilities
of the separate entities are not those of the City.
Joint Ventures:
The Marin County Integrated On-Line Library System (the System) was formed to provide for
the procurement, ownership, operation, maintenance, and governance of an integrated on-line
library system that is jointly owned and operated by the Cities of San Rafael, Mill Valley,
Sausalito, and the County of Marin. The Governing Board of the System consists of the library
director or designated alternate of each participant in the System. In accordance with the cost
sharing formula developed by the library directors of the participants, the City's share of the
acquisition cost in the amount of $108,007 represents 18.98% of ownership in the System.
Operating costs for the System are also shared by each participant by applying the cost sharing
the fornmla. Financial Statements of the System can be obtained at County Librarian, Marin
County Free Library, Civic Center, Administration Building, San Rafael, CA 94903.
The Marin Street Light Acquisition Joint Powers Authority (MSLAJPA) was forn1ed by the
County of Marin and twelve local agencies to acquire street light facilities, operate the facilities
31
l:lTY OF SAN RAFAEt-, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30,1996
during the pendency of an eminent domain action against PG&E and subsequent transfer of the
facilities to the individual local agencies. The Governing Board consists of five members from
the participating agencies. Each of the local agencies' share of contribution was based on the
number of street lights to be acquired in the local agencies' individual jurisdiction in relation to
the total number of street lights to be acquired by the MSLAJP A.
Jointly Governed Organizations:
The Countywide Plam1ing Agency was established by the County of Marin and ten local cities to
implement countywide performance standards for traffic, housing, water and sewer facilities, and
enviromnental protection to ensure that residential and commercial growth does not exceed local
water, sewer and transportation capacities. The Governing Board of the Countywide Planning
Agency consists of one member of the County Board of Supervisors and one member of the City
Council of each participating city.
The Marin County Cable Rate Regulation Joint Powers Authority was established to regulate the
rates for cable television service and equipment and to advise the participants in their exercise of
their license authority. The Governing Board of the Marin County Cable Rate Regulation Joint
Powers Authority consists of one member from each of the seven participating local cities.
The Marin County Major Crimes Task Force was established by twelve local law enforcement
agencies to provide funding and policy direction of a unit of peace officers and support personnel
to detect, apprehend and prosecute major crimes including highly mobile criminal narcotic
traffickers thus reducing major narcotic activity and combating its influence throughout the
County. The Governing Board of the Marin County Major Crimes Task Force consists of nine
members, one city council member, one member of the Marin County Board of Supervisors, two
city managers, two chief law enforcement officials, two residents of Marin County, and the Marin
County Administrator.
The Marin County Hazardous and Solid Waste Joint Powers Authority was established by the
County, local cities and waste franchising districts to finance, prepare and implement source
reduction and recycling elements on a county-wide integrated waste management plan as required
by State Assembly Bill 939.
32
<..:ITY OF SAN RAFAEL, CALIFORNIA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1996
17. LITIGATION
There are several pending lawsuits in which the City is involved. The City's attorneys estimate
that the potential claims against the City not covered by insurance resulting from such litigation
would not materially affect the financial statements of the City.
18. SUBSEQUENT EVENT AND RELATED PARTY TRANSACTION
On July 15, 1996, the City made a loan to the City Manager in the amount of $392,000 for the
purchase of a home . The loan is secured by the Deed of Trust.
19. PRIOR PERIOD ADJUSTMENTS
The City changed its method of accounting for taxpayer assessed revenue in accordance with
GASB Statement No. 22 for the General Fund. Accordingly, the beginning fund balances were
restated, the effects of which are as follows:
General Fund fund balance as previously reported
To accrue additional sales taxes
To accrue additional transient occupancy taxes
To accrue additional franchise fees
General Fund fund balance at June 30, 1996 as restated
33
$6,847,702
943,849
173,083
78,700
$8,043.334
SUPPLEMENTARY INFORMATION
ASSETS
Cash and investments
Accounts receivable
Loans receivable
TOTAL ASSETS
RECREATION
REVOLVING
FUND
$17,192
CITY OF SAN RAFAEL, CALIFORNIA
SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 1996
ASSESSMENT
DISTRICT
FUND
$6,004
PARKING
SERVICES
FUND
$240,745
14,135
GAS
TAX
FUND
$710,759
CHILDCARE
FUND
$211,943
EQUIPMENT
REPLACEMENT
FUND
$1,931,094
12,870
MISCELLANEOUS
SPECIAL SPECIAL
REVENUE REVENUE
FUND FUNDS
$\,080,866 $2,007,736
63,453
$17,192 $6.004 $254,880 $710,759 $211,943 $1,943,964 $1,080,866 $2,071,189
LIABILITIES AND FUND BALANCES
LIABILITIES:
Accounts payable
Due to other funds
Deposits and advances
Total Liabilities
FUND BALANCES:
Reserved
Unreserved:
Designated
Undesignated
$17,192 $ -$ 6,889 $ $ 35,366 $ 54,380 $ 5,355 $ 36,211
32,500
17,192 6,889 35,366 54,380 37,855 36,211
247,991 176,577 773,887 1,043,011 2,034,978
6,004 710,759
1,115,697
Total Fund Balances 6,004 247,991 710,759 176,577 1,889,584 1,043,011 2,034,978
TOTAL LIABILITIES
AND FUND BALANCES $17,192 $6,004 $254,880 $ 710,759 $211,943 $1,943,964 $1,080,866 $2,071,189
(Continued)
34
ASSETS
Cash and investments
Accounts receivable
Loans receivable
TOTAL ASSETS
LIABILITIES AND FUND BALANCES
LIABILITIES:
Accounts payable
Due to other funds
Deposits
Total Liabilities
FUND BALANCES:
Reserved
Unreserved:
Designated
Undesignated
Total Fund Balances
TOTAL LIABILITIES
AND FUND BALANCES
OTHER
MITIGATION
FUNDS
$7,677,463
1,622,838
CITY OF SAN RAFAIt:L, CALIFORNIA
SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 1996
GRANT
FUNDS
$25,137
18,674
HOUSEHOLD FALKIRK
LIBRARY HAZMATFACILITY GRANT
FUND FUND FUND
$2,877 $ (5, 105) $ 768
TRAFFIC
MITIGATION
FUND
$ 41,830
200.000
INTEGRATED
ON-LINE LIBRARY
SYSTEM FUND
$495
TOTALS
$ 13,949,804
1,731,970
200.000
$9,300.301 $43.811 $2.877 $(5,105) $ 768 $241.830 $495 $15.881.774
$1,186,288 $23,579 $ -$ 245 $ 559 $
40,000
$ -$ 1,366,064
40,000
32.500
1,186.288 23.579 245 40.559 1,438.564
20,232 2,877 (5,350) (39,791)
8,114,013
200,000
41,830
495
4,454,412
8,872,606
1.116.192
8.114.013 20,232 2,877 (5,350) (39,791) 241,830 495 14,443,210
$9.300.301 $43,811 $2.877 $(5,105) $ 768 $241.830 $495 $15.881.774
(Concluded)
35
CITY OF SAN RAFAEL, CALIFORNIA
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
REVENUES:
Taxes and special assessments
Licenses and permits
Uses of money and property
Intergovernmental
Charges for current services
Other
Total Revenues
EXPENDITURES:
Current:
General government
Public safety
Public works and parks
Culture and recreation
Other
Capital Outlay
Total Expenditures
EXCESS (DEFICIENCY) OF
REVENUES OVER (UNDER)
EXPENDITURES
OTHER FINANCING SOURCES
(USES):
Operating transfers -In
Operating transfers -Out
Total Other Financing
Sources (Uses)
EXCESS (DEF[CIENCY) OF
REVENUES AND OTHER
FINANCING SOURCES OVER
(UNDER) EXPENDITURES AND
OTHER FINANCING USES
FUND BALANCES AT BEGINNING
OF YEAR
FUND BALANCES AT END OF
YEAR
RECREATION
REVOLVING
FUND
ASSESSMENT
DISTRICT
FUND
PARKING
SERVICES
FUND
GAS
TAX
FUND
CHILDCARE
FUND
EQUIPMENT
REPLACEMENT
FUND
SPECIAL
REVENUE
FUND
MISCELLANEOUS
SPECIAL REVENUE
FUNDS
$ $27,084 $ $ $ $ $ $ 504,806
511,777
[5,941 38,467 9,219 108,328 39,134 80,621
1,017,499 863 [,246,779
700,873 1,783,006 268,197 39,389
2,408 500 677, 119 360,130
703,281 27,084 528,218 1,055,966 1,793,088 785,447 307,331 2,231,725
555,060 615,479
10,185
21,080 449,680
732,990 1,684,853 7,702
175,971 449,680
1,907 664,955 28,577 495.696 83,439 •
734.897 21,080 555,060 664,955 1,713,430 495,696 175,971 1,166,485
(31,616) 6,004 (26,842) 391,011 79,658 289,751 131,360 1,065,240
96,122 78,507
(350,()00) _-__ (84,547)
96,122 (350,000) (6,040)
64,506 6,004 (26,842) 41,011 79,658 289,751 131,360 1,059,200
(64,506) 274.833 669,748 96.919 1,599,833 911.651 975,778
$ $ 6,004 $247,99[ $ 7[0,759 $ [76.577 $1.8_89,584 ~043,0[ [ $2,034,978
(Continued)
36
CITY OF SAN RAFAEL, CALIFORNIA
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30,1996
REVENUES :
Taxes and special assessments
Licenses and penn its
Uses of money and property
Intergovernmental
Charges for current services
Other
Total Revenues
EXPENDITURES:
Current:
General government
Public safety
Public works and parks
Culture and recreation
Other
Capital Outlay
Total Expenditures
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Operating transfers -In
Operating transfers -Out
Total Other Financing
Sources (Uses)
EXCESS (DEFICIENCY) OF REVENUES AND
OTHER FINANCING SOURCES OVER
(UNDER) EXPENDITURES AND OTHER
FINANCING USES
FUND BALANCES AT BEGINNING
OF YEAR
FUND BALANCES AT END OF YEAR
OTHER
MITIGATION
FUNDS
GRANT
FUNDS
HOUSEHOLD
LIBRARY HAZMAT FACILITY
FUND FUND
FALKIRK
GRANT
FUND
TRAFFIC
MITIGATION
FUND
INTEGRATED
ON-LINE LIBRARY
SYSTEM FUND TOTALS
$ $ $ $ $ $ $ -$ 531,890
511,777
467,294 28,718 1,940 11,962 801,624
3,446,727 349,066 75,404 46,299 6,182,637
424,294 128 3,215,887
47,100 5,410 1,092.667
4.385,415 383.194 128 75,404 48.239 11,962 12.336,482
69,658 1,240,197.
25,153 35,338
4,303,852 4,774,612
284,073 30,355 74,557 2,814,530
175,971'
11,255 81,250 55,60 I 1,422.680
4,315,107 434,981 30.355 80,754 74,557 10,463,328
70,308 (51,787) (30.227) (5,350) (26.318) 11,962 1,873.154
70,308 (51,787) (30,227) (5,350) (26,318) 11,962
174,629
(434.547)
ill9,918)
1,613,236
8,043,705 72,019 33,104 (13,473) 229,868 495 12,829.974
$ 8,114,013 $ 20.232 $ 2.877 $ (5,350) $(39.791) $241,830 $495 $14.443.210
(Concluded)
37
ASSETS
Cash and investments
Cash with fiscal agent
Assessments receivable
Prepaid expenses
TOTAL ASSETS
LIABILITIES AND FUND EQUITY
LIABILITIES:
Deferred revenue
Total Liabilities
FUND BALANCES:
Reserved
Unreserved:
Designated
Undesignated
Total Fund Balances
TOTAL LIABILITIES AND
FUND EQUITY
CITY OF SAN RAFAEL, CALIFORNIA
DEBT SERVICE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 1996
KERNER
ASSESSMENT
REFUNDING
FUND
$196,120
EAST
FRANCISCO
BOULEVARD
FUND
$13,701
KERNER
ASSESSMENT
FUND
$ 166,849
672,528
678,096
SUN
VALLEY
FUND
$ 51,940
33,088
PEACOCK GAP
MARIPOSA REFUNDING
FUND FUND
$38,079 $486,965
23,037 470,249
$196,120 $13,701 $1,517,473 $85,028 $61,116 $957,214
$ $ $ 678,096 $ 33,088 $ 23,037 $ 470,249
678,096 33,088 23,037 470,249
196,120 839,377 51,940 38,079 486,965
13,701
196,120 13,701 839,377 51,940 38,079 486,965
$196,120 $13,701 $1,517,473 $85,028 $61,116 $957,214
(Continued)
38
ASSETS
Cash and investments
Cash with fiscal agent
Assessments receivable
Prepaid expenses
TOTAL ASSETS
LIABILITIES AND FUND EQUITY
LIABILITIES:
Deferred revenue
Total Liabilities
FUND BALANCES:
Reserved
Unreserved:
Designated
Undesignated
Total Fund Balances
TOTAL LIABILITIES AND
FUND EQUITY
CITY OF SAN RAFAEL, CALIFORNIA
DEBT SERVICE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 1996
CIVIC CENTER!
NORTHGATE
FUND
$248,000
174,871
335,313
1915 ACT
BOND
FUND
$
78,455
11,068
REDEVELOPMENT
AGENCY
FUND
$ -
REDEVELOPMENT
AGENCY 1992
REFUNDING FUND
REDEVELOPMENT
AGENCY 1995
REFUNDING FUND TOTALS
$ $ $1,201,654
525,616 1,451,470
1,550,851
525.183 231.440 756,623
$ 758,184 $ 89,523 $ -$ 1.050,799 $ 231,440 $ 4,960,598
$335,313 $11,068 $ -$ $ $1,550,851
335,313 11,068 1,550,851
422,871 78,455 1,050,799 231,440 3,396,046
13,701
422,871 78,455 1,050,799 231,440 3,409,747
$ 758,184 $ 89,523 $ -$ 1.050,799 $ 231 ,440 $ 4,960,598
(Concluded)
39
CITY OF SAN RAFAEL, CALIFORNIA
DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
REVENUES:
Taxes and special assessments
Uses of money and property
Other
Total Revenues
EXPENDITURES:
Debt Service:
Principal retirement
Interest and fiscal charges
Total Expenditures
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Operating transfers -In
Operating transfers -Out
Total Other Financing Sources (Uses)
EXCESS (DEFICIENCY) OF REVENUES
AND OTHER FINANCING SOURCES
OVER (UNDER) EXPENDITURES AND
OTHER FINANCING USES
FUND BALANCES AT BEGINNING OF YEAR
FUND BALANCES AT END OF YEAR
KERNER EAST
ASSESSMENT FRANCISCO KERNER PEACOCK GAP
REFUNDING BOULEVARD ASSESSMENT SUN VALLEY MARIPOSA REFUNDING
FUND FUND FUND FUND FUND FUND
$ $ 1,723 $ 565,430 $29,650 $23,102 $ 300,970
39,459 2,549 1,813 22,687
1,723 604,889 32,199 24,915 323,657
205,000 11,000 10,000 155,009
659 253,588 20,765 13,790 111,410
659 458,588 31,765 23,790 266,410
(659) 1,723 146,301 434 1,125 57,247
(659) 1,723 146,301 434 1,125 57,247
196,778 11,980 693,076 51,506 36,953 429,717
$196,119 $13,703 $839,377 $51,940 $38,078 $486,964
(Continued)
40
CITY OF SAN RAFAEL, CALIFORNIA
DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
REVENUES:
Taxes and special assessments
Uses of money and property
Other
Total Revenues
EXPENDITURES:
Debt Service:
Principal retirement
Interest and fiscal charges
Total Expenditures
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Operating transfers -In
Operating transfers -Out
Total Other Financing Sources (Uses)
EXCESS (DEFICIENCY) OF REVENUES
AND OTHER FINANCING SOURCES
OVER (UNDER) EXPENDITURES AND
OTHER FINANCING USES
CIVIC CENTER! 1915 ACT REDEVELOPMENT REDEVELOPMENT REDEVELOPMENT
NORTHGATE BOND AGENCY AGENCY 1992 AGENCY 1995
FUND FUND FUND REFUNDING FUND REFUNDING FUND TOTALS
$ 350,256 $21,475 $ $1,404,910 $ 625,393 $3,322,909
18,490 15,456 5,326 105,780
436 436
369,182 21,475 1,420,366 630,719 3,429,125
115,000 21,000 600,000 370,000 320,000 1,807,000
229,268 3,076 16,462 1,070,755 310,718 2,030,491
344,268 24,076 616,462 1,440,755 630,718 3,837,491
24,914 (2,601) (616,462) (20,389) (408,366)
713 2,040 231,439 234,192
(125-,221 L (125,991)
(125,278) 2,040 231,439 108,201
24,914 (2,601) (741,740) (18,349) 231,440 (300,165)
FUND BALANCES AT BEGINNING OF YEAR 397,958 81,056 741,740 1,069,148 3,709,912
FUND BALANCES AT END OF YEAR $ 422,872 $ 78,455 $ $ 1,050,799 $ 231 ,440 $ 3,409,747
(Concluded)
41
ASSETS
Cash and investments
Accounts receivable
Loans receivable
Interest receivable
TOTAL ASSETS
LIABILITIES AND FUND EQUITY
LIABILITIES:
Accounts payable
Total Liabilities
FUND BALANCES:
Reserved
Unreserved:
Designated
Total Fund Balances
TOTAL LIABILITIES
CITY OF SAN RAFAEL, CALIFORNIA
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
JUNE 30, 1996
SUN VALLEY
CAPITAL SPECIAL OPEN
SPACE
FUND
EAST FRANCISCO PEACOCK GAP PEACOCK GAP OPEN SPACE
IMPROVEMENT ASSESSMENT
FUND BOND FUND
$ 739,506 $ 375,379 $453,392
ASSESSMENT PARKS ASSESSMENT REFUNDING ASSESSMENT
BOND FUND FUND DISTRICT FUND FUND FUND
$ 6,908 $ -
6,040
$ 163,057 $ 9,283 $ 10,104
$739,506 $375,379 $453,392 $6,908 $6,040 $ 163,057 $9,283 $ 10,104
$ 96,040 $ $ $ -$ -$ $ -$
96,040
2,788
640,678 375,379 453,392 6,908 6,040 163,057 9,283 10,104
643,466 375,379 453,392 6,908 6,040 163,057 9,283 10,104
AND FUND EQUITY $ 739,506 $ 375,379 $ 453,392 $ 6,908 $ 6,040 $ 163,057 $ 9,283 $ 10,104
(Continued)
42
ASSETS
Cash and investments
Accounts receivable
Loans receivable
Interest receivable
TOTAL ASSETS
LIABILITIES AND FUND EQUITY
LIABILITIES:
Accounts payable
Total Liabilities
FUND BALANCES:
Reserved
Unreserved:
Designated
Total Fund Balances
TOTAL LIABILITIES AND
FUND EQUITY
CIVIC CENTER
NORTHGATE
REFUNDING
FUND
$ 49,272
$49.272
$ 150
150
CITY OF SAN RAFAEL, CALIFORNIA
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
JUNE 30, 1996
MARIPOSA
ASSESSMENT
DISTRICT
FUND
$ 12,739
REDEVELOPMENT
AGENCY
ADMINISTRATION
FUND
LOW AND
MODERATE
HOUSING
FUND
REDEVELOPMENT
AGENCY
REFUNDING
FUND
REDEVELOPMENT
AGENCY
1995 BOND
FUND TOTALS
$3,174,778 $1,676,149 $5,223,984 $8,593,890 $20,488,441
6,040
297,757 297,757
42,677 10,914 46,975 134,556 235,122
$12,739 $3,217,455 $1,984,820 $5,270,959 $8,728,446 $21.027,360
$ $ 143,023 $ 1,200 $ 53.949 $ 7.359 $ 301.711
143,023 1,200 53.949 7.359 301.721
3,074,432 1,983,620 5,217,010 8,721,087 18,998,937
49.122 12.739 1.726,70~
49.122 12.739 3.074,432 1.983.620 5.217.010 8.721.087 20.725.639
$ 49.272 $ 12.739 $ 3.217,455 $ 1.984.820 $ 5.270.959 $ 8.728,446 $ 21.027,360
(Concluded)
43
CITY OF SAN RAFAEL, CALIFORNIA
CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
CAPITAL SPECIAL EAST FRANCISCO
SUN VALLEY
PEACOCK GAP OPEN SPACE
IMPROVEMENT ASSESSrvlENT
OPEN
SPACE
FUND
ASSESSMENT PARKS
PEACOCK GAP
ASSESSMENT
DISTRICT FUND
REFUNDING ASSESSMENT
REVENUES :
Taxes and special assessments $
Uses of money and property
Intergovernmental
Other
Total Revenues
EXPENDITURES:
Current:
General government
Community development
Capital Outlay
Total Expenditures
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Operating transfers -In
Operating transfers -Out
Proceeds from issuance of bond
Bond issuance cost
Total Other Financing Sources
(Uses)
EXCESS (DEFICIENCY) OF REVENUES
AND OTHER FINANCING SOURCES
OVER (UNDER) EXPENDITURES
AND OTHER FINANCING USES
FUND BALANCES AT BEGINNING OF
YEAR
FUND BALANCES AT END OF YEAR $
FUND BOND FUND
$ $
50,641 26,310
1.572 1,000
BOND FUND FUND
$ - $ -
541
$
9,450
180
52,213 27,310 541 ~630
1,154,480
FUND FUND
$ $
567
567
2,121 563
1,154,480 _ _-_ __-._ 2,121 563
(1,102,267) 27,310 541 9,630 (1,554) (563)
770,400 6,040
770,400 -. _. 6,040
(331,867) 27,310 541 6,040 9,630 (1,554) (563)
975,334 375,379 426,081 6,367 153,427 10,837 10,667
643,467 $375,379 $453,391 $6,908 $6,040 $163,057 - $ 9,283 $10,104
(Continued)
44
CITY OF SAN RAFAI~L, CALIFORNIA
CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED .TUNE 30, 1996
REVENUES:
Taxes and special assessments
Uses of money and property
Intergovernmental
Other
CIVIC CENTER
NORTHGATE
REFUNDING
FUND
$
2,933
MARIPOSA
ASSESSMENT
DISTRICT
FUND
$
REDEVELOPMENT
AGENCY
ADMINISTRATION
FUND
LOW AND
MODERATE
HOUSING
FUND
REDEVELOPMENT
AGENCY
REFUNDING
FUND
REDEVELOPMENT
AGENCY
1995 BOND
FUND TOTALS
$ $ 910,443 $ $ $ 910,443
172,139 54,953 373,261 463,114 1,152,80.
567
66,761 13,163 _10,523 _ 93,740
Total Revenues 2,933 238,900 978,559 383,784 463,114 2,157,551
EXPENDITURES:
Current:
General government
Community development
Capital Outlay
Total Expenditures
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Operating transfers -In
Operating transfers -Out
Proceeds from issuance of bond
Bond issuance cost
Total Other Financing Sources (Uses)
EXCESS (DEFICIENCY) OF REVENUES AND
OTHER FINANCING SOURCES OVER
(UNDER) EXPENDITURES AND OTHER
FINANCING USES
1,026 383 1,158,573
764,807 99,017 1,059,662 131,071 2,054,557
700,907 _.. 700,907
1,026 383 1,465,714 99,017 1,059,662 131,071 3,914,037
1,907 (383) (1,226,814) 879,542 (675,878) 332,043 (I, 756,486)
1,907 (383)
125,991
(713) (2,040)
902,431
(231,439) (234,19:
8,895,000 8,895,000
(274,517)_ (274,517)
125,278 ~,040) _ 8,389,044 9,288,722
(1,101,536) 879,542 (677,918) 8,721,087 7,532,236
FUND BALANCES AT BEGINNING OF YEAR 47,215 13,122 4,175,968 1,104,078 5,894,928 13,193,403
FUND BALANCES AT END OF YEAR $49,122 $12,739 $ 3,074,432 $1,983,620 $5,217,010 $8,721,087 $20,725,639
(Concluded)
45
ASSETS
Cash and investments
TOTAL ASSETS
LIABILITIES AND FUND EQUITY
LIABILITIES:
Accounts payable
Deferred compensation payable
Total Liabilities
FUND BALANCES:
CITY OF SAN RAFAEL, CALIFORNIA
TRUST AND AGENCY FUNDS
COMBINING BALANCE SHEET
JUNE 30, 1996
AGENCY FUND
DEFERRED
COMPENSATION
FUND
EXPENDABLE TRUST FUNDS
MISCELLANEOUS BUSINESS LIBRARY
FIDUCIARY IMPROVEMENT FIDUCIARY
FUND FUND FUND
DAVIDSON
BEQUEST
FUND TOTALS
$7,348,352 $25,824 $19,969 $20,460 $377,009 $7,791,614
$7,348,352 $25,824 $19,969 $20,460 $377,009 $7,791,614
$ $ $ 2,003 $ 76 $ $ 2,079 .
7,348,352 7,348,352
7,348,352 2,003 76 7,350,431
Reserved 25,824 17,966 20,384 377,009 441,183
Total Fund Balances 25,824 17,966 20,384 377,009 441,183
TOTAL LIABILITIES AND
FUND EQUITY $7,348,352 $25,824 $19,969 $20,460 $377,009 $7,791,614
46
CITY OF SAN RAFAEL, CALIFORNIA
EXPENDABLE TRUST FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
REVENUES:
Uses of money and property
Other
Total Revenues
EXPENDITURES:
Current:
General government
Community development
Culture and recreation
Total Expenditures
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
FUND BALANCES AT BEGINNING OF YEAR
FUND BALANCES AT END OF YEAR
MISCELLANEOUS
FIDUCIARY
FUND
$ -
273
273
273
BUSINESS
IMPROVEMENT
FUND
LIBRARY
FIDUCIARY
FUND
DAVIDSON
BEQUEST
FUND TOTALS
$ $ $ 22,280 $ 22,280
58,077 1,243 59,593
58,077 1,243 22,280 81,873
51,278
843
37,680 37,680
51,278
843
51,278 843 37,680 89,801
6,799 400 (15,400) (7,928)
2,551 11,167 19,984 392,409 449,111
$2,824 $17,966 $20,384 $377,009 $441,183
47
CITY OF SAN RAFAKt, CALIFORNIA
AGENCY FUND
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
FOR THE FISCAL YEAR ENDED JUNE 30, 1996
Balance at Balance at
July 1, 1995 Additions Deductions June 30, 1996
DEFERRED COMPENSATION
ASSETS:
Cash and investments $ 6,145,902 $1,689,887 $ 487,437 $ 7,348,352
TOTAL ASSETS $ 6,145,902 $1,689,887 $487,437 $ 7,348,352
LIABILITIES:
Deferred compensation payable =$ =6,~14...!.,:5::....,9~0=2=-------",$:....!l:.o..!,6=8=9=,8=87-,---_-",,$-,-4=8 7!..-'.,4...!.,:3::...!7 __ $""-!,..O7 ,=34...!..:8::....,3=5::..=2
TOTAL LIABILITIES ~$ =6,=14=5==,9=0=2 ==$====1,6:=8:=9=,8:=87====$ =48=7::::,4:=3=7 ======$ ==:7 ,=34=8=:;,3:=5=:2
48
, I
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
Year Ended June 30, 1996
STATISTICAL SECTION
(Unaudited)
CITY OF SAN RAFAEL, CALIFORNIA
FISCAL
YEAR ENDED GENERAL
JUNE 30 GOVERNMENT
1987 $ 2,794,382
1988 3,401,658
1989 3,693,519
1990 4,066,213
1991 4,021,682
1992 4,271,153
1993 4,604,503
1994 5,185,675
1995 5,074,185
1996 6,905,043
CITY OF 'SAN RAFAEL
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (1)
LAST TEN FISCAL YEARS
PUBLIC
PUBLIC WORKS COMMUNITY CULTURE &
SAFETY AND PARKS DEVELOPMENT RECREATION CLAIMS OTHER
$ 10,473,637 $ 4,474,404 $ -$ 1,729,416 $ 551,243 $ 1,420,868
11,309,728 4,747,719 1,928,360 257,349 1,728,637
11,736,253 4,706,627 2,109,805 200,191 2,050,022
12,585,928 5,210,248 2,310,967 144,912 2,109,093
13,753,388 5,709,862 2,625,727 236,913 2,291,504
14,073,750 5,495,382 2,567,749 245,668 2,618,040
14,268,361 5,386,198 2,597,082 2,592 ,152
13,925,831 6,907,480 1,242,761 3,580,755
15,648,130 5,775,033 3,084,633 3,103,472
16,365,089 10,781,451 2,054,557 4,427,669 175,971
General Governmental Expenditures by Function
Fiscal Year Ended June 10,1996
Community
Development
4%
Capital
Outlay
Other 5%
Public Works
and Parks
23%
Debt
Service
B%
General
Government
15%
CAPITAL
OUTLAY
$ 6,764,019
3,783,485
5,078,794
6,619,955
4,634,882
2,782,335
5,113,752
1,257,281
3,382,997
2,294,518
(1) Includes General, Special Revenue, Debt Service, and Capital Projects Funds
Source : City of San Rafael Audited Financial Statements,
lIlc1udes Rcdcl'C/opment Agency
49
DEBT
SERVICE TOTAL
$ 4,527,714 $ 32,735,683
4,689,221 31,846,157
5,629,141 35,204,352
6,312,830 39,360,146
4,438,768 37,712,726
3,996,296 36,050,373
5,561,241 40,123,289
5,384,283 37,484,066
4,219,647 40,288,097
3,837,491 46,841,789
FISCAL TAXES
YEAR ENDED AND SPECIAL
.JUNEJO ASSESSIIIENTS
1987 $ 19,685,320 $
1988 21,013,621
1989 22,837,599
1990 23,792,3 II
1991 23,558,966
1992 23,694,780
1993 22,802,115
1994 25,171,565
1995 24,503,327
1996 26,137,439
CITY OF·SAN RAFAEL
GENERAL GOVERNMENTi\L REVENUES BY SOURCE (1)
LAST TEN FISCAL YEARS
LICENSES
AND
PERIIIITS
1,349,267
1,194,786
2,628,115
718,168
678,138
804,785
960,746
988,716
919,234
1,151,547
FINES USES OF INTER-CHARGES
AND 1II0NEYAND GOVERN-FOR
FORFEITURES PROPERTY IIIENTAL SERVICES
$ 608,887 $ 2,415,857 $ 6,053,772 $ 2,389,757
580,136 2,535,848 4,123,277 2,719,879
560,322 2,874,658 4,120,535 2,836,278
650,890 2,958,949 4,027,068 4,134,119
642,298 2,612,680 3,902,184 3,863,471
463,451 2,232,264 3,944,927 4,514,698
456,264 3,426,165 4,792,657 4,323,047
476,433 1,733,453 4,962,636 4,092,883
370,599 1,895,721 5,261,506 4,594,9\0
422,250 2,535,719 9,958,206 5,172,466
General Governmental Revenues by Source
Fiscal Year Ended June 10, 1996
Charges for
Services Other
12% 3%
SALE OF
FIXED
lllilli
$ 5,126,796
953,151
341,788
3,263
Intergovernmental ':=t-~·0~--~--'.--
20% -Taxes and Special Assessments
58%
Uses of Money
and Property Licenses and Permits
30/. Fines and 3%
Forfeitures
1%
(I) Includes General, Special Revenue, Debt Service, and Capital Projects Funds
iiource: City of San Rofael Audited Financial Statements,
includes Redevelopment Agency
50
OTHER TOTAL
$ 400,200 $ 38,029,856
275,416 32,442,963
624,005 37,434,663
558,541 37,181,834
365,838 35,626,838
780,3 \0 36,435,215
586,720 37,347,714
2,603,011 40,028,697
1,509,772 39,055,069
1,411,472 46,789,099
CITY OF SAN RAFAEL
SECURED PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
FISCAL
YEAR ENDED
JUNE 30
1987
1988
1989
1990
1991
1992
1993
1994*
1995*
1996*
$
TAX
LEVY
5,755,077
5,949,984
6,049,630
6,451,564
10,939,831
7,394,406
7,862,865
7,672,488
7,539,388
7,516,496
(In Thousands)
TOTAL
TAX
COLLECTIONS
$ 5,557,358
5,769,505
5,884,968
6,254,614
10,532,838
7,116,173
7,590,810
7,672,488
7,539,388
7,516,496
(1) Represents delinquent taxes due for current year only
OUTSTANDING
DELINQUENT
TAXES (1)
$ 197,719
180,480
164,662
196,950
406,993
278,233
272,055
N/A
N/A
N/A
* Beginning FYE 93/94, the City began participating in the Teeter Plan through the County .
OUTSTANDING
DELINQUENT
TAXES AS
A PERCENT OF
CURRENT LEVY
3.44 %
3.03
2.72
3.05
3.72
3.76
3.46
N/A
N/A
N/A
EvelY year, the County distributes the full amount of secured property taxes levied to the City and
the County retains any delinquent taxes collected, including interest and penalties.
In 93/94, the County paid the City a lump-sulll amount for all outstanding delinquencies.
Source : Marin County Auditor-Controller
51
F1SCAL
YEAR ENDED
.TUNE30
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
CITY OF SAN RAFAEL
ASSESSED VALUATION OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
SECURED
1l\1PROVE-PERSONAL
LAND I\IENTS PROPERTY
$ 812,379 S 1,606,455 $ 17,007
889,171 1,763,628 17,563
982,909 1,881,729 18,264
1,132,448 2,043,831 21,264
1,263,730 2,287,255 30,191
1,345,940 2,437,846 35,807
1,430,683 2,532,745 32,012
1,500,340 2,623,503 27,542
1,567,183 2,734,902 30,972
1,621,593 2,806,970 35,979
Alarin County Auditor -Controller and Assessor
includes all property within city limits
(In Thousands)
PUBUC NET
UTILITIES T.A..XABLE
ASSESSED LESS SECURED
DVSDE EXEMPTIONS PROPERTY
$ 141,900 S 136,909 S 2,440,832
154,045 152,434 2,671,973
11,855 157,121 2,737,636
14,509 160,428 3,051,624
22,818 173,927 3,430,067
10,528 182,782 3,647,339
10,015 177,361 3,828,094
7,651 180,954 3,978,082
8,036 220,731 4,120,362
7,154 246,674 4,225,022
SEE = State Board ofEquali=ation
52
NETTAXADLE
UNSECURED TOTAL
REAL AND PROPERTY
PERSONAL SUDJECTTO
PROPERTY TAXATION
$ 211,654 S 2,652,486
252,956 2,924,929
222,969 2,960,605
266,296 3,317,920
236,889 3,666,956
281,444 3,928,783
228,494 4,056,588
249,683 4,227,765
258,813 4,379,175
240,210 4,465,232
(
CITY OF 'SAN RAFAEL
RATIO OF NET GENERAL BONDED DEBT
TO ASSESSED VALUATION
AND NET GENERAL BONDED DEBT PER CAPITA
LAST TEN FISCAL YEARS
(In Thousands)
RATIO OF
NET GENERAL
FISCAL ASSESSED BONDED DEBT
YEAR ENDED ESTIMATED ASSESSED VALUATION NET GENERAL TO ASSESSED
.TUI\'E 30 POPULATION (A) VALUATION (8) PER CAPITA BONDED DEBT (C) VALUATION
1987 46,200 $ 2,652,486 57.41 $ 16,688 0.629
1988 46,550 2,924,929 62.83 14,625 0.500
1989 47,350 2,960,605 62.53 13,948 0.471
1990 48,400 3,317,920 68.55 13,184 0.397
1991 49,500 3,666,956 74.08 11,502 0.314
1992 50,400 3,928,783 77.95 18,645 0.475
1993 51,000 4,056,588 79.54 17,662 0.435
1994 51,700 4,227,765 81.77 16,858 0.399
1995 51,600 4,379,175 84.87 15,929 0.364
1996 53,200 4,465,232 83.93 24,063 0.539
Source :
(A) = CA State Department of Finance
(B) = "Total Property Subject to Taxation "from Schedule of'~4ssessed Valuation of Taxable Propel1y"
(C) = Jncludes General Obligation Bonds and Tax Allocation Bonds (Redevelopment Agency) which are
supported by property taxes
53
NET
GENERAL
BONDED
DEBT PER
CAPITA
$ 361.21
314.18
294.57
272.40
232.36
369.94
346.31
326.07
308.70
452.31
CITY OF" SAN RAFAEL
RATIO OF ANNUAL DEBT SERVICE TO
TOTAL GENERAL GOVERNMENTAL EXPENDITURES
LAST TEN FISCAL YEARS
RA TIO OF DEBT
TOTAL SERVICE TO
FISCAL GENERAL TOTAL GENERAL
YEAR ENDED TOTAL DEBT GOVERNMENTAL GOVERNMENTAL
JUNE 30 PRINCIPAL INTEREST SERVICE EXPENDITURES EXPENDITURES
1987 S 1,199,488 $ 3,328,226 $ 4,527,714 $ 4,527,714 100 .0%
1988 1,481,744 3,207,477 4,689,221 4,689,221 100 .0%
1989 2,497,132 3,132,009 5,629,141 5,629,141 100 .0%
1990 3,486,320 2,826,510 6,312,830 6,312,830 100.0%
1991 1,917,000 2,521,768 4,438,768 4,438,768 100 .0%
1992 2,167,000 1,829,296 3,996,296 3,996,296 100 .0%
1993 2,534,000 3,027,241 5,561,241 5,561,241 100 .0%
1994 2,647,131 2,737,152 5,384,283 5,384,283 100 .0%
1995 2,276,688 1,942,959 4,219,647 4,219,647 100 .0%
1996 1,807,000 2,030,491 3,837,491 3,837,491 100.0%
Source: City of San Rafael Audited Financial Statemellts
54
CITY OF SAN RAFAEL
COMPUTATION OF DIRECT AND OVERLAPPING DEBT
JUNE 30, 1996
PERCENT GROSS
APPLICABLE BONDED
TO CITY DEBT EXCLUSIONS
DIRECT DEBT:
City of San Rafael
1911 Bonds 100% $ 54,017 $ 54,017
1992 Bonds 100% 16,770,000 1,050,799
1995 Bonds 100% 8,575,000 231,440
TOTAL DIRECT DEBT $ 25,399,017 $ 1,336,256
OVERLAPPING DEBT: (1)
TOTAL DIRECT AND OVERLAPPING DEBT (1)
Source: City of San Rafael Audited Financial Statements
(1) Information is currently unavailable
55
NET
BONDED
DEBT
$
15,719,201
8,343,560
$ 24,062,761
COMPANY
Autodesk
Lucas Arts Entertainment Company
Fair, Isaac
Commerce Clearing House, Inc.
Toys "R" Us
Phoenix Leasing
Wells Fargo Bank
Macys Department Store
Wayne Cross Ford
Sears Roebuck & Company
Kaiser Pennanente Medical Group, Inc.
Westarnerica BancoIporation
Mervyn's Department Store
Safeway Stores
Ghilotti Brothers Construction, Inc.
Subtotal Principal Taxpayers
All Others
TOTAL
Source : A1arill Co IIIl ty Assessor
CITY OF SAN 'RAFAEL
PRINCIPAL TAXPAYERS
JUNE 30, 1996
TYPE OF BUSINESS
Computer Software Developer
Film and Entertainment
Computer Software Developer
Professional Publishing
Retail Toy Store
Equipment Leasing
Bank
Retail Department Store
Automobile Dealership
Retail Department Store
Hospital and Health Care Facility
Bank
Retail Department Store
Grocery Store
Construction
56
% OF TOTAL
ASSESSED ASSESSED
VALUATION VALUATION
$ 30,894,069 .69%
25,966,244 .58%
14,676,551 .33%
14,256,203 .32%
12,912,103 .29%
8,118,852 .18%
5,567,436 .12%
2,460,979 .06%
1,983,404 .04%
1,717,610 .04%
1,570,762 .04%
1,312,667 .03%
1,240,152 .03%
1,168,748 .03%
796,080 .02%
124,641,860 2.79%
4,340,590,140 97.21%
$ 4,465,232,000 100.00%
FISCAL
YEAR ENDED COMMERCIAIJ
JUNE 30 INDUSTRIAL
1989 18
1990 10
1991 2
1992 6
1993 3
1994 4
1995 6
1996 3
CITY OF 'SAN RAFAEL
CONSTRUCTION ACTIVITY (1)
LAST EIGHT FISCAL YEARS
NUMBER OF PERMITS ISSUED
NEW
RESIDENTIAL ALTERATIONS
455 1,103
94 1,178
199 1,013
42 982
83 1,030
102 1,117
41 1,109
90 1,147
(1) -Records unavailable for ;iscal years prior to 1989
Source: San Rafael Building Dep0l1ment
57
TOTAL
TOTAL VALUATION
1,576 $ 136,420,777
1,282 58,578,242
1,214 41,335,138
1,030 31,467,041
1,116 29,559,332
1,223 42,077,753
1,156 34,386,454
1,240 64,269,981
COMPANY
J.lachinea. and EgYJ{!.ment Insurance:
Kemper Insurance Companies
Fireman's Fund Insurance Co.
Commercial Pro{!.erO!. Insurance:
Westchester Fire Insurance Co.
Continental Casualty Co.
Lexington Insurance Co.
Federal Insurance Co.
Worker's Com{!.ensation:
~ational Union Fire Insurance Co .
S{!.ecial Event Insurance:
General Star Indemnity Co.
Genesis Indemnity Insurance Co.
Public OfIJ.cial Bonds:
Western Surety Company
Western Surety Company
CNA Insurance
Western Surety Company
LiabiliO!. Insurance :
American Eagle Insurance Co.
California Joint Power.; Risk
Management Authority
~ation.1 Union Fire Insurance Co.
{ (
CITY OF SAN RAFAEL
SCHEDULE OF INSURANCE IN FORCE
JUNE 30,1996
POLICY EXP
NUMBER DATE TYPE OF COVERAGE
3XN-022-370-02 7/1196 Boiler and Machinery Coverage including
Production Machines and Public Utility
Equipment
OV-40131-5 1011196 Hull and Machinery Insurance for Police Boat
FPS 376-961 7/1196 Real and Personal Property, Business
lM 1 40211955 711 /96 Interruption, Extra Expense, Rental value,
8693522 711 196 Transit, Accounts Receivable, Leaseholds
659-30-35 711 196 Excess Property Coverage
X,VC 415-53-08 711 196 Excess Worker's Compensation
IYG-325268 111198 Special Event Liability Insurance -Primary
ZXB300176 11 1/98 Special Event Liability Insurance -Excess
58476738 11 /12199 Elected City Clerk
58476738 11112199 Appointed Deputy Treasurer
BND02106226 811 196 Finance Director
58476740 1115199 Elected City Attorney
.o\FB 26041-05 611 5196 Aircraft Liability -Non-o\\ned
nla 711 /96 Property damage, bodily injury, penonal injury,
public official error.; and omissions
""VC 415-53-08 7/1/96 Emplo)'er's Liability; Industrial Aid Aircraft
coverage
58
LIMITS OF COVERAGE
$ 10,000,000 Covered Property
100,000 Extra Expense
5,000 Deductible -Engine
1,000 Deductible -Other
1,000 Deductible -Extra Exp
$ 250,000 Covered Property
5,000 Deductible
$ 1,666,667 Company's portion
1,666,667 Company's portion
1,666,667 Company's portion
$ 5,000,000 Each occurrence
25,000 Deductible
$ 195,000,000 excess of $ 5,000,000
S 10,000,000 Excess of $250,000
250,000 Self-insured Retention
$ 1,000,000 Aggregate Limit
250,000 Each occurrence
50,000 Fire damage
2,000 Medical, per per.;on
S 1,500,000 Aggregate Limit
750,000 Each occurrence
$ 5,000
S 10,000
$ 50,000
$ 1,000
$ 10,000,000 Each occurrence
S 9,500,000 Excess of S500,OOO
500,000 Self-insured Retention
S I,OOO ,OOll Each occurrence
250,000 Self-insured Retention
t
CITY OF SAN RAFAEL
MISCELLANEOUS STATISTICAL DATA
JUNE 30, 1996
DATE OF INCORPORATION
FORM OF GOVERNMENT
CITY EMPLOYEES
ELECTION (1)
POPULATION (2)
LOCATION
ELEVATION
AREA IN SQUARE MILES
POLICE:
NUMBER OF STATIONS
l'<'UMBER OF SUB-STATIONS
NUMBER OF EMPLOYEES
Sworn
Civilian
RATIO OF SWORN PERSONNEL PER 1,000 POPULATION
PUBLIC WORKS:
MILES OF STREETS
NUMBER OF MAJOR INTERSECTIONS
WITH TRAFFIC SIGNALS
NUMBER OF STREET LIGHTS
RECREATION:
PARKS
NUMBER OF ACRES
RECREATION FACILITIES
LIBRARY SERVICES :
NUMBER OF VOLUMES
HOURS OF SERVICE/WEEK
LIBRARY FACILITIES
59
February 18, 1874
Incorporated as a Charter City, effective July 1, 1913
CouncillManager
City Council consists ofa directly elected Mayor and four (4)
other council members, all elected for four (4) year terms.
513
Registered Voters:
Number of votes cast General Election:
Percentage of registered voters voting:
53,200
San Francisco Bay Area,
17 miles north of San Francisco, in Marin County
Ranges from sea level to 900 feet
22 square miles, consisting of 17 square miles of land
and 5 of water and tidelands
2
68
34
1.3
158
72
4,000
17
128.85
3
130,000
47
HOUSING (3):
SINGLE FAMILY
MULTI FAMILY
EDUCATION:
ELEMENTARY SCHOOLS
MIDDLE SCHOOLS
HIGH SCHOOLS
PAROCHIAL SCHOOLS
COLLEGES
CHURCHES (4)
FINANCIAL INSTITUTIONS (4):
BANKS
SAVINGS & LOANS
CREDIT UNIONS
Sources:
CITY 0'1<' SAN RAFAEL
MISCELLANEOUS STATISTICAL DATA
JUNE 30, 1996
12,758
9,516
9
2
3
11
2
38
15
5
3
(1) = Marin County Registrar of Voters, 1992 General Election
(2) = California Department of Finance Estimates
(3) = Planning Department, San Rafael (Population and Housing Estimates, Department of Finance, State of California)
(4) = Marin County Pacific Bell SMART Yellow Pages, May 1996
60
CITY OF SAN kAFAEL
PUBLIC EMPLOYEES RETIREMENT SYSTEM ANALYSIS OF FUNDING PROGRESS
UNFUNDED PENSION
UNFUNDED ESTIMATED BENEFIT OBLIGATIO
NET ASSETS PENSION PENSION ANNUAL AS A PERCENTAGE
FISCAL AVAILABLE BENEFIT PERCENTAGE BENEFIT COVERED OF COVERED
YEAR FOR BENEFITS OBLIGATIONS FUNDED OBLIGATION PAYROLL PAYROLL
1987 $ 34,270,472 $ 44,443,000 77% $ 10,172,528 $ 10,680,121 95%
1988 38,223,191 47,800,000 80% 9,576,809 11,180,372 86%
1989 42,787,972 57,900,000 82% 9,112,028 12,229,560 75%
1990 52,557,110 57,141,500 92% 4,584,390 12,470,300 37%
1991 53,797,751 62,134,700 87% 8,336,949 13,759,522 61%
1992 59,981,950 68,758,300 87% 8,776,350 13,619,000 64%
1993 67,709,149 74,282,100 91% 6,572,951 13,230,660 50%
1994 78,189,294 91,958,000 85% 13,768,706 13,945,000 99%
1995 84,535,777 98,532,000 86% 13,996,223 14,643,000 96%
Source: Marin County Employees' Retirement System
Note: All available infonl/ation is presented and each preceding fiscal year ended in/onl/ation will be added until
ten years of trend information is reached.
61
Entitled:
SRCC AGENDA ITEM #11
(2/18/97)
Comprehensive Annual Financial Report ("CAFR") 1995/96 Annual Audit
(Admin. Svcs.)
THE ABOVE-LISTED AGENDA ITEM WILL BE SENT UNDER SEPARATE
COVER: FRIDAY, FEBRUARY 14, 1997
City Manager