Loading...
HomeMy WebLinkAboutAccountants' Report - 6/30/68 i CITY OF HUNTINGTON BEACH ACCOUNIANTS' REPORT JUNE 30, 1968 I I; f I i CITY OF HUNTINGTON BEACH CONTENTS June 30, 1968 Page Number Accountants' Report 1 - 2 Balance Sheets - All Funds 3 - k Statement of Changes in Fund Balances - All Funds 5 General Fund: Statement of Revenue 6 - 8 • Statement of Expenditures and Encumbrances 9 - 10 Special Revenue Funds: Balance Sheets 11 Statement of Changes of Fund Balances 12 Statement of Revenue 13 Statement of Expenditures and Encumbrances lk -- Capital Outlay Fund: Statement of Revenue 15 Statement of Expenditures and Encumbrances 16 Library Fund: Statement of Revenue 15 Statement of Expenditures and Encumbrances 16 1955 Water Bond Interest and Redemption Fund: Statement of Revenue 15 Special Assessment Fund: Statement of Revenue 15 Water Utility Funds: Balance Sheets 17 i Statement of Changes in Fund Balances lA Statement of Income 19 - 20 �I Note to Financial Statements 21 Supplementary Information 22 - 25 I i i i DIEHL, EVANS AND COMPANY CLLIS C.DI[NL,C.P.A.11D2S•IsiSs) CERTIFIC0 PUBLIC ACCOUNTANTS OTKKR orroCCIS AT: I610 NORTH BUSH STREET SRYN s,CVANS,C.P.A. 705 LAST MAIN STRCCT WIN 0,PLTLRL,C.P.A. SANTA ANA.CALIFORNIA 02706 OrtN1A UONALD N.PCTLRSON,C.P.A. KIr RrRLr 2-14S3 SANTA►IARIA,CWA Rof 6-aJ1lIFLIF DONALD C,CALLAKAN,C.P.A. 579 L.PLTLR fCNCRLR,C./,A. WARD N,OALLACNLR,C.P.A. >!]D NORTH M lTRCCT JOHN A,RAA6CRG,C.P.A. October 30, 1968 LaImpoc.cAwrORNIA Rrocw+o-saga ACCOUNTANTS' REPORT City Council City of Huntington Beach Huntington Beach, California We have examined the balance sheets of the various funds of the City of Huntington Beach at June 30, 1966 and the related statements of changes in fund balances, revenue, and expenditures and encumbrances for the year then ended. Our examination was made in accordance ,pith generally accepted auditing standards, and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances, except that, as described in Note 1 to the financial statements, a substa:tial portion of the cost of Water Plant in service is based on estimates male by I` City personnel, and it Was not within the scope of our examination to verify that portion of the cost. In addition, we did not verify the liability in connection with agreements with subdividers providing for refund of water and sewer acreage fees since accounting records in connection with these refund agreements were not complete. The general fixed assets of the City are not included in the accom- panying financial statements. In our opinion, the accompanying statements present fairly the financial position of the General Fund Special Revenue Funds (except Sewer Fund) Capital Outlay Fund Library Fund 1955 Bond Construction. Fund 1955 Bond Interest and Redemption Fund W.O.C.W.B. Agency Fund Treasurer's Departmental Trust Fund Special Assessment Fund Park and Recreation Facility Fund Treasurer's Special Assessment Fund S General Bonded Debt -1- at June 30, 1968, and the results of fund transactions for the year then ended, in conformity with generally accepted accounting principles applied on a basis con- sistent with that of the preceding year. Since we were unable to satisfy ourselves as to the liability with re- gard to water and sewer refund agreements and, as described in Note 1 to the financial statements, since a substantial portion of the cost of the water plant in service is based on estimates made by City personnel, we are unable to express an opinion on the financial position of the Water Utility and Sewer funds at June 30, 1968 and the results of their transactions for the year then ended. As a result of our examination, however, it is our opinion that the statements present fairly the assets and liabilities (except the liability with regard to water and sewer refund agreements and cost of contributed water plant in service as des- cribed in Note l to the financial statements) of the Water Utility and Sewer Funds at June 30, 1968, and their revenues (oxcept acreage fees) and expenditures (except depreciation expense) for the year then ended, all in conformity with generally accepted accounting principles applied on a basis censistent with that of the preceding year. Because of the omission of general fixed assets as noted above, it is our opinion that the accompanying financial statements do not present the over-all financial position of the City at June 30, 1968. The accompanying supplementary information has been subjected to the tests and other auditing procedures applied in the examination of the financial statements mentioned above and,in our opinion, are fairly stated in all material respects relating to the financial statements taken as a whole. -2- i. i mum., '.�• -'3:�: `i..". r'i�.:``- .+: _ � .,elf..{K ;:f 'raj -_ "a" '..+_ .,q_ _:�s`-• r'; "` :i r a t :.. .. .. � i-,i`f` r_''�`nd a, S�:.-r�w 'tlx__:;xw��M-a�t��..e�` `a.',��• �;^ Ti� U``'r ��+:' ">'g. � •f y •- ... 4 `O! },J-.. ^. � tom..•.�.Yl A {Yip`^i �.'%}<, � .'. 'y�;W,.;. :J� •ei"i'3} ' '�,.�. .�,. 1l6� { e •x_ •� �•.{ r_.ny�',.s ":�'�.-��^i.�. •�d�ys may- yy,.�9'� -en�.J �J 'i_� ASSETS :egar�l`192L gevennis Yvbda -�uti t► d -, iltilir�3, Treasurer's cash $ 2,202,252.58 $ 3,274,034.72 $ 4039884'.22 $ 67,914•.06. $. 546,213..07 j Cash and Investments with fiscal agent - - - - ;c75,448.78 000.00 Petty cash 3, Accounts receivable 31,283.19 - - 50.00 Impounded property taxes receivable 320,063.26 30,731.30 1a-69 125,356-71 Interfund loan receivable 109,928.04 - - Due from (dater Fund for 1955 Bond Interest and Redemption 558,061.75 - 203,053.20 - Due from other Funds 250,075.34 4,775.00 - 1,110.07 Due from County of Orange 27,401.20 - - Deposits - - - 1 29,269.00 Plant in service, net (Note 1) - - - 14,171,391 31 Spare parts inventory . Amount available and to be provided for Bond Interest and Redemption ' TOTAL ASSETS S S02 5. 6 S �_�09 5�1.0� ��dff_ 37_ 27� S i5_i44 339 LIABILITIES AND FUND BALANCE Accounts payable $ 203,675.47 $ 102,283.62 $ 7,575.79 $ 5,815.00 $ 121,122.80 Accrued payroll 194,217.45 19,983.77 - 6,457.35 4,910.54 Natured interest payable - - - 6,368.25 ' Accrued bondprincipal, 1963 water bonde - - - - 40 000.00 Accrued bond interest, 1963 water bonds - - _ 22,404-28 Refundable acreage fees 11,346.00 Refundable deposits 4,554.44 1,559.74 - - - Due to other funds 1,218.07 457,190.76 - 604.78 558,061.75 Due to Assessment District bondholders - - - - - Interfund loans payable - - - - 109,928.04 Prepaid licenses 42,565.25 - - ` Advances for construction - 5,800.97 - - MAtured bond interest payable - - - ` Interest payable in future years - - - ' General bonded debt - - - Revenue bonds payable - - - - 3,640,OW.DO Reserve for encumbrances 37,352.24 60,829.40 24,015.79 1,308.41 Reserve for accounts receivable - 21,000.00 - - - R,eserve for iaponaded property taxes receivable 320,063.26 - - - - Reserve for payment of general obligation bonds - - - - 521,850.00 � Reserve for Pavalon 53,051.56 - - Reserve for amounts due from other funds 569.493.50 - - - - Reserve for interfund loans receivable 209,928.04 - Reserve for future engineering 73,522.77 - Reserve for contingencies 145,388.21 - Reserve for pier repair and maintenance 22,500.00 - Reserve for refuse collection charges 122,928.35 - - Contributions in aid of construction (Note 1) - - - - 8,373,398a45 City contributions to Water Fund - - - 92,607•.51 Investsient in fixed assets - - - 975,527 M Fund balance I.601_M.75.. 2 b29�14b;? AM& ALL& .� TOTAL a.:ABT.LITM AND LM NAhALiCE ! '�:�_86 a is � � •� � � ': •F' See accompaayUg accountants' zaport. and note is linsmial'•r: :�•• �'` "�_{ *� LL�" . . i .'t .:t' �T.w _ �' '�'-.�'t`e.'�� si- •'�� ;r .,r. .�- i'• ti� ,.`yEi' _ `-�'. .S�tr~r• • _ Y _ � • . Y,� •".y`.Wit, a z M. • a Anz gnu" • - h{~ At 34 1+ ai.} C,J•�,Ft:' _ k r r�.�^rr' `i` Y r ` Y.i ivy .v iR�r•.{`:. .-�+. .s l� "1. _..•7 � 1955 Bond : law' ,;` _ � �. � Caa�srreticxiai Iaterest`.aiat ilA ion F�tdd AeailcY �Iffld a ASSETS Fund•_. a'sc Treasurer's cash $ 77,310.38 $ 56,177.70 $' 158964L88 $ 03,250.'00 $ .38,992.66 $ 7,533 '99 - Cash and Investments with fiscal agent - 465.00 - - - Petty cash - - 50.00 - - . - Accounts receivable - - 33,129.-33 - - - Interfund loan receivable - - - - - - Due from Water Fund for 1955 Bond Interest and Redemption - - - - - - - Due from other Funds - - - - - - - Due from other cities - - - - - - Deposits - - - - - - Plant in service, net (Note 1) - - - - - - Spare parts inventory - - 542:62 - - - Amount available and to be provided for Bond Interest . and Redemption - TOTAL ASSETS S TT 37Q_38 S Sb_b42_TO S 142.563:83 S as-go.On S 3R_982.66 S 7_s33.99 S %21.8�0_JO LIABILITIES AND FUND BAL4210E _ Account+ payable $ - $ - $ 29,571-50 $ - $ 14.00 - Accrued payroll - - - - - - Matured interest payable - - - - - - �`' • Accrued bond principal, 1963 Water bonds - - - - - - - Accrurd c-..d interest, 1963 Water bonds - - - - - - Refundable acreage fees - - - - - - - Reiundable deposits - - 9,636.75 - - - - Due to other funds - - - Due to Assessment District bondholders - - - - - 7,533.99 - Interfund loans payable - - - _ - - Prepaid licenses - - Advances for construction - - Matured bond interest payable - 465.00 Interest payable in Future years - - - _ _ _ 66,850.00 General bonded debt - _ _ _ _ _ 455,000.00 Revenue bonds payable. Reserve for encumbra.-ice- Reserve for accounts receivable Reserve for payment of general uu11gation bonds Reserve for Favalon Reserve for amounts due from other funds R^serve for interfund loans receivable Reserve for future engineering - Reserve for contingencies - Reserve for pier repair and maintenance - _ - Contributions In aid of construction (Note 1) - City contributions to Watar Fund - Investment in fixed assets - - Fund balance 77.310.38 SI��1L?.TQ 153.33S.S�. 90.25QG� �.�.��. TOTAL LIABILITIES AND FLfiID BAIANCE See accoManying accountants' report and note to financial statsasats. 1•• �t t F#: f' Y •ate. ~S ; L`F ate.. ._1 Y..:V v._a..._ _____ ___— _ _ _ ... __ _ x�'• ''2L'lti•�OML'r�.`�•i•r_�'- } t., f. i fir •` y:i- _ ` F>y}�S� ..,,yyam,�� - .f t-� - 'L` 's'r Y ;t g, - a .,' cq ^•K:�ei�"% . � 1�5�•gy } a Tj.e ki. -'�-t.. 'i .-` F •t4 !'. ,.l,F _•Z t- •. _v' / .. ... 3I*l � `���� `ice =::...`'+i.'.� :• ,t ._ - � - -„' ' f LL••17••f�..YgI�N.f�� .... •i 1:1�~ .�; -- '�f,•b.-�•_�f.'!.:t .K-'�� '{- _ .1' '"� Far the year ended Judea 30, 1963. 1955 zond Intarest`a d spacial Capitasl water C"Atructioti- 1odewtien .Genal d.. ALUM FundsrLkxtliv lus�d' Lfbr��ltiind �#,c�a. �"ctad Pcr� - ��� .r■r■.■i ■err,. ■ ��r�� ■r_ w■ EAL6NCE, JULY 1, 1967 905,724.79 2,140,421:45 561,572.92 y 14,491.42. $ 50r4,S00.94 • $ 77,310.3$ $ 49,071.09M ADD: Revenues 5,502,039.26 3,312,139.80 431,102.02 272;437.92 1,459,758.13 - 55,006.04 Reimbursements and reftads - - - - - - - Adjustment of prior year encumbrances 1,792.95 - = - - - - Adjustment of prior year revenues 10,018.42 62,980.02 - 3,146.11 - - Reserve for impounded property, taxes receivabl$ July 1, 1967 214,333.72 - - - - - Reserve for interfund loans receivable, July 1, 1968 222,671." - - - - Transfers from other funds 1,20&,308.59 32,529.19 - ; ' '34.64 - - Reserve for encumbrances, July 1, 1967 89,748.28 - 85,730.14 9,792.35 964.76 - - Reserve for smbunt.due to General Furid-.fdr retirement of General..Obliga`ion Bonds, July 1_, 1%7 - - - - - - - Adjustment for prior year revenue transfer from Park and Recreation Facility Fund 164.56I.13 - - - 569.625.2 - - TOTAL BALANCE AND ADDITIONS 8.31 5,191 M 5,54§Q'2 E6 1.078.405.08 . 295 12 L,.64, 2.537,221,58 77.310.38 104.Q 77.13 DEDUCTIONS: - Expenditures 6,035,521_88 1,517,554.79 393,479.67 237,136.05 1,278,180.53 - 47 999.43 Expenditures cn prior years' encumbrances 87,798.28 - 85,563.78 3,488.02 107.69E - - Reserve for encumbrances, June 30, 1968 37,352.24 47,345.00 - 24,015.79 1,308.41 - - Adjust for expenditures of prior period - - - .. 6,918.84 - - Reserve for impounded property taxes receivable, June 30, 1968 320,063.26 Reserve for interfund loans receivable, June 30, 1968 109,928.04 - - - - - Reserve for refuse collection charges 122,928.35 - - - - - Write-off of uncollectible accounts receivable - - - - - Fund for retirement t.f General Obligation Bonds, June 30, 1966 - - - - 521,850.00 - - Transfers to other funds - 1,189,062.78 - - 47,775.00 - Adjustment of prior years revenue - _-- 164,561,;2 - - - TOTAL. DEDilCT10Nr 6.713_592.05 2:918.523.7t} 47_89+2.A3 BAIMCE, JUKE 30, 1968 S t_ba _6tlb_?S 9 2_b�Q �A 76. 8 sa4_3a1.83 S 9i_n�1.B3 ''���� ! 'f' �ZQ_38 9 4!._1T?_7t1 See accompanying accountants, report and note to financial statements. ti CITY OF HUNTINGTON BEACH GENERAL FUND STATEMENT OF REVENUE (BUDGET AND ACTUAL) For the year ended June 30, 1968 Actual Over Budget or (Under) Ellimate Ac Ull Revenue . stun e_.- TAXES: Property taxes $ 2,644,359.00 $ 2,01,175.72 $ (163,183.28) Interest and penalties on delinquent taxes 9,000.00 13,006.17 4,006.17 Solvent credits 1,000.00 714.71 (285.29) Aircraft 100.00 899.41 799.41 *dater utilities in lieu taxes 37,757.00 39,109.68 1,352.68 Franchise, utility 85,000.00 137,755.28 52,755.28 Franchise, dry gas 1,200.00 2,458.32 1,258.32- Franchise, pipeline 18,000.00 14,131.48 (3,868.52) Sales and use taxes 840,000.00 1,016,862.77 176,862.77 Occupancy tax 23,000.00 26,064.20 3,064.20 Cigarette tax i„ 175.000.00 2a2.u� 669 07 57,469.07 TOTAL TAXIS 3.834.416.00 3.964.646.81 1309230,81 L; ENS& AND PERMITS: Business licenses 120,000.00 142,169.99 22,169.99 Bicycle licenses 1,000.00 1,313.00 313.00 Oil derrick licenses 50,000.00 48,593.34 (1,406.66) Building permits 200,000.00 236,132.90 36,132.90 Plumbing permits 65,000.00 79,617.70 14,617.70 Electrical permits 45,000.00 56,214.45 11,214.45 Heating permits 20,000.00 26,043.99 6,043.99 Excavation, streets and curb permits 35,000.00 13,217.26 (21,782.74) Waste water disposal permits and faes 21,000.00 21,168.00 168.00 Other permits and licenses 5.10 LO_O 7;124.25 2,094.31 TOTAL LICENSES AkID PERMITS 562,,100.00 _§3 .61L88 69,56, 4. 88 FINES AND FOREFEITURES: Court fines, non-traffic 55s 000.00 ,.,65_647.54 10 647.54 See accompanying accountants' report and note to financial statements. 1 6-40 j -6- r i I CITY OF IIUNTINGTON BEACH GENERAL FUND I I STATEMENT OF REVENUE (BUDGET AND ACTUAL) (Continued) i For the year ended June 30, 1968 Actual Over I Budget or (Under) Estimatg— Actual Revenue REVENUE FROM USE OF MONEY AND PROPERTY: Interest income $ 60,000.00 $ 65,559.09 $ 5,559.09 Least - Huntington Driftwood 39,60(s.00 39,600.00 - Land rental 3,5!,0.00 2,677.50 (822.50) Building rental 10,U0O.00 13,674.67 3,674.67 Pier rentals and concessions 9,000.00 - (9,000.00) Golf course rental 5,000.00 3,957.74 (1,042.26) Royalties and easements 38,000.00 40,556.34 2,556.34 Other revenue from use of money and property 1,QOO.On 377.61 (622 39) TOTAL CHARGES FOR USE OF MONEY AND _-, PROPERTY ibb.100.00 16.402r�� 302.95 ' REVENUE FROM OTHER AGENCIES: Trailer coach license fees 30,000.00 31,983.80 1,983.80 State alcoholic beverage ` license :fees 40,000.00 28,629.72 (11,370.28) ( , County grants - lifeguard and beach maintenance 75,090.00 50,393.28 (24,696.72) State oil &nd gas lease 65,000.00 52,697.85 (12,302.15) Lifeguard services 30,698.00 20,827.00 (90871.00) Beach maintenance 11,967.00 4,530.4J (7,437.00) Real property transfer tax - 28,103.61 28,103.61 Other revenue from other ag6ncies + 2,.Q_OO20 3.765.90 1,765.90 i TOTAL REVENUE FROM OTHER AGENCIES _ 74.755.O 220.931.18 - 03.823.84) i f Z f i i See accompanying accountants' report and note to financial statements. -7- i 7r- CITY OF HUNTINGTON BEACH GENERAL FUND STATEMENT OF REVENUE (BUDGET AND ACTUAL) (Continued) For the year ended Sur..: 30, 1968 Actual Over Budget or (Under) Estimate.. Actual Raygn_e Estimate.� CHARGES FOR CURRENT SERVICES: Zoning and subdivision fees $ 31,000.00 $ 23,779.50 $ (7,220.50) Sale of maps and publications 1,000.00 2,860.28 1,360.28 Oil well application fees 9,000.00 9,500.00 500.00 Miscellaneous filing and certification fees - 10280.00 1,.280.00 Plan check fees 80,000.00 98,393.25 18,3 93.25 Engineering and inspection fees 95,000.00 950247.53 W.53 Weed abatement 30,000.00 339584.53 3:584.53 Special police department services 6,000.00 7,693.29 1,693.29 Special fire service 100.00 (100.00) Refuse collection - 147,124.02 147,124.02 Other charges for current services 2,550.00 .,..,..,1.77i.23 _.. i7§•D TOTAL CHARGES FOR CURRENT SERVICES 224,650,00-__ 421,223.63 REVENUE FROM SALE OF PROPERTY: Sale of real and personal property y 500^00 - (SOP 00 OTHER REVENUE: i Surfing championship cham ionshi 16,000.00 14,915.40 (1,084.60) Other revenue 12,000.00 13,363.82 1,363.82 Discounts earned 1.500 00 3.231,27 1.J31.07 I TOTAL OTHER REVENUE �,29� 0.00 31.510.24 2,010 29 TOTAL REVENUE L-L.UL 021.c]0 5.52 32 Zfi s 345_Ot 8.26 � I I See accompanying accountants' report and note to financial statements. r 9# • CITY OF HUNTINGTON BEACH to GENERAL FUND STATFMENT OF EXPENDITURES AND ENCUMBRANCES (COMPARED WITH AUTHORIZATIONS) For the year ended June 30, 1968 Expendit Tres Appropriations against Encumbrances Actual (After Current and Projects (Over) Under "Rgyigion`s�_ A_n,,.A_rgyXia� t_ig_ng Authorized_ Estimated City Council $ 29,035.00 $ 29,028.06 $ - $ 6.94 City Administration 57,211.00 57,209.09 - 1.91 City Treasurer 29,804.00 29,801.94 - 2.06 City Attorney 44,119.00 43,199.32 968.65 (48.97) City Clerk 55,853.00 56,042.01 - (189.01) Purchasing Department 23,638.00 23,631.69 - 6.31 Personnel 21,041.00 21,041.34 - (.34) Finance Department 105,305.00 105,122.84 228.82 (46.66) Elections 14,919.00 14,912.35 - 6.65 Planning Department 92,487.00 92,536.22 26.02 (75.24) Celebrations li,245.00 9,903.59 1,400.00 (58.59) Municipal buildings 25,425.00 25,368.66 45.92 10.42 City general - Non-departmental 1,253,988.00 1,009,828.01 773.73 243,386.26 Fire Department 988,659.00 985,375.79 3,496.50 (213.29) Weed abatement 46,493.00 45,893.35 587.60 12.05 Parking meters 8,910.00 8,902.28 - 7.72 Police Department 1,307,897.00 1,296,404.20 12,169.13 (676.33) Lifeguard Department 293,232.00 291,562.75 1,806.37 (137.12) .Civil Defense 7,398.00 6,960.22 411.38 26.40 Building Department 258,644.00 258,597.75 279.26 (33.01) Oil field inspection 28,111.00 28,101.95 - 9.05 1 Engineering Department 329,812.00 329,946.28 .02 (134.30) Maintenance Yard #1 74,110.00 72,044.11 2,045.33 20.56 Building Maintenance 62,458.00 62,438.14 - 19.86 ` Sewer System Maintenance 48,919.00 48,894.72 2.54 21.74 I Pump Station 36,276.00 35,796.43 451.00 28.57 Street Maintenance 322,928.00 322,431.18 459.95 36.87 Street Bridges Maintenance 510.00 506.26 - 3.74 Street Trees 75,407.00 75,300.81 79.38 26.81 , Street cleaning 54,766.00 54,750.81 - 15.19 ! Street marking. 72,407.00 64,786.10 7,593.66 27.24 Street lighting 244,003.00 242,291.86 1,680.00 31.14 { I See accompanying accountants' report and note to financial statements. i r -9- I CITY OF HiNTINGTON BEACH GENERAL FUND STATEMENT OF EXPENDITURES AND ENCUMBRANCES (COMPARED WITH AUTHORIZATIONS) (Continued) For the year ended June 30, 1968 Expenditures Appropriations against Encumbrances Actual (After Current and ProfecCs (Over) Under .Revision ) r, AyRroprigtions Authorized Estimated Traffic signals $ 23,944.00 $ 23,917.06 $ - $ 26.94 Urban land planning 35,.818.00 35,857.21 - (39.21) Harbors 54,346.00 54,300.83 - 45.17 Storm drainage 33,130.00 3;;,?21.41 - 8.59 Beach maintenance 86,510.00 86,24:;.50 224.62 40.88 Municipal Beach parking lot 16,635.00 16,453.76 165.90 15.34 Administrative maintenance 11,641.00 11,624.94 - 16.06 Municipal Pier 9,765.00 9,726.98 13.44 24.58 Municipal Parks maintenance 96,178.00 96,010.45 126.75 40.80 Recreation Department 748,537.00 336,979.32 47,195.75 364,361.93 West Coast Surfing Cahmpionship 16.315,,;00 15-.665.08 62� w 29.37 TOTAL EXPENDITURES AND ENCUMBRANCES 7.158_n29.90 =� 8A52.27 695-6 1 ' i f See accompanying accountants' report and note to financial statements. I i -10- .-. ` - '.: � �:.':-";' 'r?I�t+��{^ a. Fe, -c-�+s•r�:�7t '�a,s �yy�e. .r_ _ _o • .._ ,.. �•�.�.�; :'•�",.,,t:. .,' :ie:� ' "v' �> � �• "�" it r ��;t� �, v' -'� ' _ _` ,.r���._�. .;,y ',�',YL.•, L F�;ti�=.r'= �i4�c •�a�s`�_`�i .�.:' ,�• t�...:.•. s�ti• -.'r I 1 .. .. r d _ ai k. s '#t•s .!•`i:+,"R_'�Lrn.:'?;�:y �.`!4 .a5 "`ice -_ '` _ _ '..£. �; t. ram•_ ,,;.i'•• = ' f .�:.• i:+ `.`'?:'• > +`YS: +z: w{:`} .2" Cr '4�=t. .:h' ,:k' •"' '�:tf{F - pp������pp CITY OF AM}1T AMRE }Ey�� P1 _ 4\JL7Aiiraif M SUn.- airOYLri.ir MS At Jw 30, 1968 Pla6nsd Local Part•:and Drainage Parking Animal Recreation Facilities Parking Authority Special Gas Lidanse Yea: ASSETS Total Facility FuML Fund Samar Fund &ter Fund Ug Tax Find zu1dd Treasurer's cash $ 3,274,034.72 $ 345,129.77 $ 983,571.93 $ 1,068,505.91 $ 4,6b7.00 $ 355,216'.72 $ 507,993.31 $ 8,950-06 Accounts receivable 30,731.30 2,M2.55 22,653.33 5,98S•:42 - - - Due from other funds 4J75.00 :Oa►40 - - 4_667-00 - TOTAL ASSETS 8.4*O�d6 LIABILITIES AND SURPLUS Accounts payable $ 102,2b:,.62 $ 13,221.60 $ 26,591.20 $ 41,290:34 $ - $ 4,993.64 , 11,310.44 $ 2,876.40 Accrued payroll 19,983.77 19,993.77 - - - - - - Advances for construction 5.800.97 - - - - - 5,800.97 Acreage fees refundable 11,346.00 - - 11,346.00 - - - - Due to other funds 457,190.76 1,695.08 31* 711.82 - 4,667.00 203,053.20 210,000.00 6,073.66 -� Reserve for accounts receivable 21,000.03 - 21:000.00 - - - - - Reserse for encumbrances, June 30, 1968 60,829.40 47,345.00: 13,484.40 - - - - Miscellaneous deposits 1,539.74 1,559.74 - - - - - - Fund balances 2J29.546.76 261.535.13 �,-913'437.86 1.021.854.99 - 151.836.88 -- ,0.88 - TOTAL LIABILITIES AND SURPLUS S 3&7.330.32 S i_006.225.28 I a74 4qi.�� S 4_1567 00 $ �4�_ .72 S 4Q7 493_�i $ 8_ 59 0_d6 • 1 t See accompanying accountants' report and note to financial statsments. - .. • - .,f- - a• d - '• to YA. -. • .. w qr ' .. •.O �+t•aaYa��C.�4�—'J�.���y r(•�ii � 4a. h�. Ji �'S;'p�.� :__•y�.^�.}.��1... ;a `:!_ •.y i . .t n;' �s= ' _ •a,. '�'�••"�"'- � '�S = 'iT. a _.°k�9.�Y�,y+S •^!E��.�`� � + ••'4,�.�'�` ", . . '��': i;;:•�1t ,r`�.`^r'''_=!.'- _ :. ,'iiZ L�j_`,is .a•V•. � ��,,,,,, " t .; ir. `Y w' •�i� YI _ �I� ''`=YY^A"�s'e`�'E`'-�*ate '�. 1•�t � -Y _ �v - - .. _ ....r Z - re _ _ _ §;-;e..��4. �� „rs`a -4•-4w�. ` ,{ 't �y CITY OF MLDMN BRACK COINED STATEK.M OF LM&''+1GES IN FUND BALKWES - SPECIAL REVENUE FUNDS t. For the year ended June 30, 1968 Park and Planned Local Music and Recreation Lraiitage Parking Anias2 Promotion Facility Facilities Traffic Parking Auto in Lieu Authority Special License Total Fund Fund Fund Serer Fund 5afe�_und rA er pup Taz Fand Fumi Gets Tarr lamed X2 !'cad BALANCE, JULY 1, 1967 $ 2,140,421.45 $ - $ 255,599.95 $ 593,986.53 $ 921,754.82 $ $ - $ - $ - $ 369,180.15 $ ADD: Revenue 3,312,139.80 141,671.03 650,597.33 491,244.90 210,744.12 170,324.46 32,529.19 628,464.44 132,330.67 808,158.73 46,074.X Transfers from other funds 32,529.19 - - - - - - - 32,529.19 - - Adjustment of prior year*, revenue and expenditures 62,280.02 - - 36,725.60 - - - 96.254,42 TOTAL BALANCE AIM ADDITWAS 5,548,070.46 141,671.03 906,197.28 1,I21,857.03 1,132,498.94 170,324.46 32,529.19 628_45f1.L4 164.ffiF4.86 1_203.543.30 46.a71�'92 DEDUCT: Expenditures 1,517,554.79 - 432,756.02 208,419.17 110,643.95 - - 13,022.98 712,711.40 40,001.27 Transfers to other funds 1,189,062.78 141,671.03 - - - 170,324.46 32,529.19 628,464.44 - 210-000.00 6,073.66 Reserve for encumbrances .Tune 30, 1968 47,345.013 - 47,345.00 - - - - - _ _ _ Adjustment of prior year's revenue 164J61,13 - 164,561.13 TOTAL DEDUCTIONS 2,918,223.10 141,671.03 644,662.15 208.412.17 110.643.95 170,32fA;46 22,529.19 628.464.44 13.022.98 922,711840 46,074.93 BA_Ih1VCB, TUNE 30, 1968 $ 2.624.Zt4.76 j S 9I3.437.8b 0 _021 8 .ag �- S - 5 - 8 lS1.8a6.89 28d_88�.9Lt S - a See accompanying accountantst report and note to financial statements. • '.w fie � ._ ti � � Fr a •'� -� `1'f b •'ram,.. .,y 'k - .. a .1 .. _]ice„ �9t•._ Y - "' .•e -w� . . - - - - " •b •1 •ty�; _xis .t• . �11 .,3 _ � ..Yl • - i w - CITYJF HUnrrINGTOH BBA£o SMI" Raw= FUMDS SThTMGW-r M RRVEM0+ For the year ended Jude 30, 1%8 I Park and lac.:r- Muplc and Recreation Drainage Auto is Pat'kiUB Promotion Facility Facilities Traffic Parking Lieu Tax Autbority Special Animal Tota Fund Fund Fund III&I Fund aa€etv Fund MetRr EyN Fund ZW — Gaz=as Slid _Una roe Property taxes $ 433,395.28 $ 141,671.03 $ 291,724.25 Royalties and easements 1,403.91 - 1,403.91 - - - - - - - - Recreation Department fees and charges 71,203.93 - 71,203.93 - - - - - - - - Rental 50,824.39 - - - - - - 39,524.39 - - Sewer permits 118,095.40 - - - 118,095.40 - - - - - - Parking lots 81,379.00 - - - - - - - 81,379.00 - - Interest 95,274.07 - 8,051.98 29,719.38 47,443.59 - - - 127.29 10,931.34 - Lucal assesaments 507,728.54 - - 462,523.41 43,205.13 - - - - - Vehicle code fines 170,324.46 - - - - 170,324.46 - - - - - '. Parking meter collections 32,529.19 - - - - - 32.529.19 - - - Motor vehicle license fees 628,464.44 - _ _ _ _ _ E28,464.44 _ - _ State gasoline taxes: 797,226.89 - - - - - - - - 797,226.89 - Animal licenses 46,074.93 - - - - - - - - - 46,074.993 Subdivision licenses 268,245.95 - 268,245.95 - - - - - - - - Unit lot fees 9,849.88 - 9,949.88 - - - - - - Other revenue 119.54 TOTAL S J_312_]39_t0 } 343 fin- jw Ste nrcatgaMing accauatauts' report and note to financial ■tatemsnts. ' - - . - ' _sue ; ^ •t.` 1.,. X `nFF� �`_> ♦Z.. `�Y'] .",'` !^'. - .. _ - .r- ....� n! �._... ;.�3i?may •'•' Z.�- �`� :i�=. —`t , _" CITY OF HUNTINGTON BEACH SPECIAL REVENUE FUNDS STATEMENT OF EXPENDITURES AND ENCUMBRANCES (COMPARED WITH AUTHORIZATIONS) For the year ended June 30, 1968 Encumbrances Actual and Projects (Over) Under Agoronriated Exvended. _ Authorized Estimat de Planned Local Drainage Fund S 25U.000.Q.0 S 208."19.17 S - 41.5$ 8 Sevier Fund 1 10_bl�?.95 B S 1 g_356.05 Special Gac Tax Fund S 400.000.QO S 712.711.1,0 S Sf312.711.40) i { Animal License Fee Fund S 39.400.00 91� e � � _ 5 fu01.27) Parking Authority Fund -mz r-r S 13.022.98 Ir See accompanying accountants' report and note to financial statements. � -14- i CITY OF HUNTINGTON BEACH STATEMENT OF REVENUE (BUDGET AND ACTUAL) For the year ended June 30, 1968 CAPITAL OUTLAY FUND Actual Over or (Under) Estimated, ActSial.` Estimate Property taxes $ 419,753.00 $ 409,784.66 $ (9,968.34) Interest 24,000.00 20,607.62 (3,392.38) Ea•-ned discounts - 709.74 709.7i TOTAL LIBRARY FUND Property taxes $ 234,670.00 $ 262,883.68 $ 28,213.68 Library fines and fees 12,000.00 9,545.59 (2,454.41) Ehrnee discounts 100. O 8. 65 — . (91.35 TOTAL 246.77D_OD ,� 272437.,4� S 25.667.92 1955 WATER BOND INTEREST AND REDEMION FUND 1 Froperty taxes $ 47,768.00 $ 54,918.97 $ 7,150.97 ' Interest �4,000.00 87.07 13,912.93) TOTAL 51.768.bt1 55.DOfi.Opt► g 3-Q0.9-4 a SPECIAL ASSESSMENT FUND Incidental costs $ - $ 1,446.64 $ 1,446.64 Interest - 87.07 87.07 Other 81.5.58 615.58 � TOTAL $ :r - s 2,34 9_29 See accompanying accountants' report and note to financial statements. f � -15- 1 i r 140 CITY OF HUNTINGTON BEACH STATEMENT OF EXPENDITURES AND ENCUMBRANCES (COMPARED WITH AUTHORIZATIONS) For the year ended June 30, 1968 CAPITAL OUTLAY FUND Expenditures Against Encumbrances Actual Appropriations Current and Projects (Over) Under (Aa yisL L AuRr,fiat,;onG ,Alt or zed "E� ttiimatP-d Finance Department $ 13,527.36 Land 237,000.00 Building improvements 37,731.68 Telephone service 3,393.89 Benches and trash I recepticles 1,298.00 Equipment 9,978.18 Fire equipment 1,164.24 Parking meters 3,121.91 Beach maintenance yard 46,067.09 Beach parking lots 20,274.47 Traffic signals 1,730.24 Street maintenance 17,098.75 Library 988.28 Recreation 105.58 r TOTAL S V5.O0Q_00 393.4T�67 !1 8-474 6a7) L T;.RARY FUND i Salaries $ 153,885.00 $ 153,872.30 $ - $ 12.70 Book rental - - - - I Materials and supplies 7,721.00 7,347.10 507.30 (133.40) Books 71,245.00 55,475.95 17,536.30 (1,767.25) Utilities 2,822.00 2,819.97 - 2.03 Telephone 1,545.00 1,542.19 - 2.81 Book repairs and binding 1,550.00 1,245.62 300.00 4.38 1 Building maintenance 1,915.00 1,889.84 22.59 2.57 Equipment maintenance 497.00 492.92 - 4.08 1 Vehicle operation 1,465.00 1,464.34 - .66 i Conference expense 200.00 199.80 - .20 Capital outlay - 6,294.47 5,649_60 (11,944.07) Equipment 2,811.00 3,393.32 (582.32) j Building rent 330.00 329.69 - .31 Miscellaneous and sundry, +,,,775,4� 768.54 �_ _ 6.46 TOTAL. al],4-32Q ) See accompanying accountants' report and note to financial statements. -16- . . _ _.. _, _ .. • .. ; .- ` �� =?T•7Sti.."' d:a��<: .. �•r , ;C`_�.77L�1 •'.�'t.; i:• Mz i '~ y'• +. ; of s At June 30, 1968 { 1%3 rater Revenue Bond. 1963 Vater Interest and Revenue Bond 1963 'Water Bonded Debt .,.:biter Redemption Investment Revenue Bond Group of Adjustments Combined ASSETS Utilfty FUTd ,Unger Reserve a Fend Accounts Mal (Note)- Treasurer's cash $ 544,166.31 $ - $ 2,046.26 $ - $ - $ 5469213.07 $ - $ 546,213.07 Cash and investments with fiscal agent - 68,772.52 - 206,726.25 - 275,498,78 - 275,498.70 ' Accounts receivable 125,856.71 - - - - 125,856.71 - 125,856.71 Due from other funds 1,110.07 - - - - 1,110.07 - 1,110.07 Deposits 29,269.00 - - - - 29,269.00 - 29,269.00 Plant in service (less accumulated depreciation of $607,693.90-'Note 1) 14,171,391.31 - - - - 14,171,391.31 - 14,171,391.31 Amount to be provided from future revenue - for bond redemption - - - - 3,640,000.00 3.640,ODD.00 (3,640,000.00) - Amount to be provided from future revenue for bond interest - - - - 1.956,038 2Z _ ,2 038:22 U.9a.03122) - TOTAL ASSETS S Z�87 9 44� b8 772-%3 S 2.046_26 S 2a6.726_25 4s�77_Jfi S t5 4a�_[�3B_ c yea a LIAR;LITIES AND FUND BALANCE Accounts payable $ 121,122.80 121,122.80 $ - $ 121,122.80 Accrued payroll 4,910.54 - - - - 4,910.54 - 4,910..54 Accrued bond principal, 1963 Water bonds - 40,000.00 - - - 40.000.0G - 40,000.00 Accrued bony: interest, 1963 neater bonds - 22,404.28 - - - 22,404.28 - 22,404.28 Matured interest payable - 6,3C8.25 - - - 6,368.25 - or368.25 Due to other funds 558,061.75 - - - - 554,061.75 - 338,061.75 Interfund loans payable 109,928.04 - - - - 109,928.04 - 109,929.04 Reserve fo% encumbrances 1,308.41 - - - - 1,308.41 - •1,306.41 Reserve for payment of general obligation bonds 521,850.00 - - - - 321,830.00 - 321,850 .00 Bonds payable in future years - - - - 3,640,000.00 3,640,000.00 - 3.640,000:OD InteTest payable in future years - - - - 1,956,038.22 1,956,038.22 (1,956,038.22) - Con=:ibutions in aid of construction (Note 1) 8,373,398.45• - - - - 3,373,398.45 - 8,373,399.45 • City contributions to water fund 92,607.51 - - - - 92,607.51 - 91,607.51 Investment in fixed assets 4,615,527.82 - - - - 4,615,527.82 (3,640,000.00) 9751527.E2 Fund balance _473 477 ;58 - 2,046.26 206-726,25. - 68i-aSt.09 - 5R1_SS1_09 TOTAL LLMLITIES AND FUND BA ANCE NOTE: Adjustments remove future revenu: —A_offsett+.ng investment in :ixed assets from combined balance sheet. See accoo►pauyirg bccountants' report and note to financial.statements. Z. .. _ � .I 1 .` 1, ^• Eti ti`�it�l�} •R • _ - - � -' - �. rya- 'c.C;i �4 . s :-r=__ '.-tE- 'a ��•`~�� r„`.F�` . _ •.a ,,_ •C�'i-�"_ '��- .t • �^p3± _ _.; -mot • t. .' _ >:�: . �•_ plc. .. _ . `:�,I�� � - .. _ a.�:•is ~`,`.!�? � Y.i` "T ��•_�:,� e r _ - - Y=-. , V � �•�` ;L� , , 'L.• - !.. -.#' ltj.2y �.•'-':}ay^. `/�f: may. 3 cur or Ruwn=m BRACH CONED STAXMM OF CRAW.95 Ill Fill M3h1iCES - %TER UTILITF FMMS For the year ended June 30, 1968 1963 Water Revenue Bond 1963 Vater F Interest and Revenue road 1963 fluter Water Utility Redemption Investment Revenue bond Fes__ ..__ Tom. _ Yata�lt: '.en= Fwd- 'lain RAIAaCE, DULY 1, 1967 $ 304,164.68 $ - $ 2,046.26 $ 198,290.00 $ SO4.S00.94 ADD: Revenue 1:451,321.88 - - 8,436.25 1,459,758.13 Transfers from other funds 34.64 - - - 34.64 Reserve for amount due General Fund for retirement of general obligation bonds, July 1, 1967 569,625.00 - - - 569,625.00 Reserve for encumbrances, July 1, 1967 964.76 - - - 964.76 Adjustments to prior year's revenues 3.208.E 3.108.11 TOTAL BALANCE AND ADDITIONS _2.324��7 - 2.046.26 106.726.25 2.537_991,SR DEDUCT: ,. Expenditures: Operating 670,756.44 - - - 670,756.44 Non-Operating 484,730.20 - - - 484,730.20 Expenditures on prior years encumbrances !07.69 - - - 107.69- Additions to •Fixed assets 122,69?.91 - - - 122,693.91 Additions to nixed assets transferred to utility fund fixed assets - - - - - Transfers to other funds 47,775.00 - - - 47,775.00 Reserve for encumbrances, June 30, 1%8 1,308.41 - - - 1,3G3.41 Reserve for amount due General Fund for retirement of general obligation bonds, Ju-e 30, 1968 521,850.00 - - - - 521,850.00 . Adjustments to prior year's expenditures 6,918.8k TOTAL DEDUCTIONS 1.856 4 - 1_856.i10. 4. BAIANCE, JUNE 30, 1968 See accompanying accountants' report and Mate to financial statiments. . �=r�. ra_�, `..yam- �,.; �_-"��• r`a����5. i '-} ., - � � .^a�-'< ,* s;i� ��..•'` � -fir `lam ` 11.E h ice,• _ � 1 CITY OF HUNTINGTON BEACH r IA; WATER UTILITY FUND STATEMENT OF INCOME For the year et.ided June 30, 1968 OPERATING REVENUE: Metered soles $ 1,277,862.65 Unmetercd sales 179.85 Municipal sales 7,128.79 Construction sales 12,076.42 Irrigation sales 6,4_20.12 TOTAL OPERATING REVENUE 1,203&Z.83 OPERATING EdPENSES: Source of supply: Operation $ 3,009.50 Maintenance 321.89 Purchased water I57.117 2I 160,448.40 Power and pumping: Operation 10,149.77 Purchased power 550818.91 Maintenance 6,370.10 Pumping tax 149,a51Z.50 221,856.28 Water treatment: Operation 13,020.62 Plant maintenance 33.80 Equipment maintenance - 13,054.42 Transmission and Distribution: Operation 863.78 Maintenance 18,187.97 Meter maintenance 3,172.60 Hydrant maintenance 1,793.37 Valve maintenance 8,355.46 Service maintenance 4,098.68 Meter test and repair 13,643.51 Other 6.641 5_Q 56,756.87 Customer Accounting: Meter reading 13,330.77 Billing 39,181.66 Collection expense 6,306.74 Other 7,021.25 65,840.42 Administration and General Expense: Supervisory salaries 13, 03.06 Conferences and conventions x34.57 Office supplies 411.18 Utilities 882.20 Retirement 7,031.36 Maintenance 159.83 Uniform allowance 122.59 Insurance 5.561.12 Books and periodicals .,.,�. 3�Q 27,835.91 See accompanying accountants' report and note to financial statements. -19- CITY OF HUNTINGTON BEACH WATER UTILITY FUND STATEMENT OF INCOME (Continued) For the year ended June 30, 1968 OPERATING EXPENSES: (Continued) Other expense: Refund SCW contract $ 15,437.43 Lease - San Joaquin Reservoir 100,000.00 Vehicle operation and wintenance 5,406.12 Depreciation (Note 1) 218,992.69 Other 4,120.11 3 3,956 3,�3 TOTAL OPERATING EXPENSES j 89.74 9.13 OPERATING INCOME 413,9U,$ 70 NON-OPERATING REVENUE: Tract fees 47,667.75 Acreage service fees 25,609.61 Fire hydrant rentals 28,800.00 Nev services 31,385.07 Reimbursable services 10.00 Interest earned 12,173.20 4 Discounts earned 254.92 Other _.... l,753,52 I TOTAL NON-OPERATING REVENUE 147,654.05 LESS NON-OPERATING EXPENSE: Fiscal agent fees 1,417.90 Interest transferred to General Fund on G. 0. Bonds 47,775.00 Interest on 1963 Revenue Bonds 188,392.28 { Payments to City in lieu of taxes 39,109.68 W.O.C.W.B. expense 17,219.24 Payments on reimbursable services 19,598.41 TOTAL NON-OPERATING EXPENSE NET NON-OPERATING INCOME (EXPENSE) 16 8 .46 NET INCOME 0 248.060.24 See accompanying accountants' report and note to financial statements. ,r . -20- CITY OF HUNTINGTON BEACH NOTE TO FINANCIAL STATEMENTS June 30, 1968 1. The Water Utility Plant in Service is composed of the following assets: Accumulated Net 06t Dev gciation Book Valge Assets aquired by City at coat $ 6,551,577.19 $ 532,814.30 $ 6,018,762.89 Assets contributed to City by subdividers, at appraised value au estimated by City personnel* 0 227 �0,"..02 74-8-79_60_ $.152,628.ka TOTAL S 1A-179-OAi.ZZL S .-ltZ -90 L.L46J * Assets have been contributed to the City by subdividers and builders as shown above during the past three years. These contributed assets were recognized for financial statement purposes during fiscal year 1967-68. Depreciation on these assets was taken for one half of the annual rate " for fiscal year 1967-68 only. i i See accompanying accountants' report. -21- i I 1 SUPPLEMENTARY INFORMATION I i i i I . I CITY OF HUNTINGTON TEACH SUPPLEMENTARY INFORMATION TREASURER'S CASH: Treasurer's cash balances at June 30, 1968 consist of the following., Demand Deposits: Security First National Bank: General Account $ 1,347,197.26 Trust Account - Water Account 169,732.63 United California Bank: General Account 88,238.95 Special Assessment Fund 7,533.99 Treasurer's Trust Fund 93.25Q,22 Total Demand Deposits $ 1,705,952.83 Time Deposits: Security First National Bank 3,020,442.43 United California Bank 900,000.00 Bank of America 500,000.00 Crocker-Citizens National Bank 300,000.00 Southern California First National Bank Total Time Deposits TOTAL TREASURER'S CASH IN BANKS �, 6.926.395.26 It is required by the Government Code that banks holding funds of pub- lic entities pledge with a trustee agency collateral in the amount of 1107, of the public fuwds on deposit. We determined by direct correspondence with the trustees of each of the City's depositories that adequate collateral had been pledged. P.MNUE: Revenue of the General Fund totalled $5,502,039.26 for the year ended June 30, 1968, an increase of $1,188,698.97 over the previous y::ar. A compar- ative summary statement of revenue follows: See accompanying accountants' report. -22- Increase 1966.•67 1 69 7-68 U crease) Property taxes $ 2,024,519.37 $ 2,495,796.01 $ 471,276.64 Water utility in lieu taxes 35,885.80 39,109.68 3,223.88 Franchise 97,702.67 154,345.08 56,642.41 Sales and use taxes 734,063.98 1,016,862.77 282,798.79 Occupancy tax 19,199.90 26,064.20 6,864.30 Cigarette tax 101,276.88 232,469.07 131,192.19 Business licenses 109,798.20 142,169.99 32,371.79 Other licenses and permits 403,521.14 482,300.64 78,779.50 Pier and rentals and parking lot collections 84,410.39 (84,410.39) Real property transfer tax - 28,103.61 28,103.61 Engineering, inspection and plan check fees 145,002.37 193,640.78 48,638.41 All other sources ,257 959.59 �.� 121:17Z.42 132,,217. TOTAL REVENUE 1963 WATER REVENUE BONDS: Water revenue bonds in the amount of $5,700,000.00 were approved by the voters at an election held April 30, 1963, and on November 1, 1963, the City sold " a portion of the bonds amounting to $3,750,000.00. Under the provisions of Resolution #1844, certain cash accounts were established to sssure the proper disposition of bond proceeds and provide for the repayment of such bonds in a systematic manner. Payments may be made from these accounts only as provided by law and the resolution mentioned above. 1963 WATER REVENUE BOND INTEREST AND RErEHPtION FUND: Payments from this fund are restricted for payment of bond interest and principal of the water revenue bonds. The bond resolution requires that the fiscal agent set aside out of the j bond revenue fund at least one-sixth of the semi-annual interest maturity each month and at least one-twelfth of the bond principal that will mature and be payable within the ensuing year. See accompanying accountants' report. -23- i Honey in this fund may be temporarily Invested in any authorized invest- ments provided that the maturity of such i:.vestments is not later than the date that money is required for the payment of bond interest or redemption. The fiscal agent for the City is authorized to make ouch Investments. 1963 WATER BOND INVESTMENT REVENUE FUND: The cash balance in this fund represents that portion of the interest earned on the Bond Interest and Redemption Fund cash invested by the fiscal agent, not yet paid to the City. This fund is not required by the Bond Indenture and is adjusted to the fiscal agents' records annually. 1963 BOND RESERVE FUND: From the proceeds of the bond issue an amount of $175,000.00 (a sum equal to the mwri=nu annual debt vervice) was required to be set aside in a Bond I i Reserve Fund. This fund is restricted solely to the payment of principal and i interest on the bonds in the event that sufficient monies are not available from the Bond Interest and Redemption Fund. Any monies used out of the Bond Reserve Fund for purposes within its restrictions, are to be replaced iuc-diately from the Bond Surplus Fund or the Bond Revenue Fund. GENERAL COMMENTS ON 1963 WATER BOND FUNDS: Sufficient review and examinations were wade to satisfy ourselves that the necessary steps had been taken by the City for compliance with the provisions of the bond resolutions. Rank balances wera reconciled with balances confirmed directl./ With the bank for each fund. Collateral pledged by the banks as security for City funds on deposit with them was confirmed directly from the trustee agency. See accompanying accountants' report. _24- V Cash was provided to each of the required funds as required by the bond resolution. The Security First National Bank, Plain Off:.ce, Los Angeles, California, is the designated fiscal agent for the City. i I r l { or See accompanying accountants' report. -25-