2008-2009 ACFR (July 1 - June 30 Annual Comprehensive Financial Report)CITY OF LA QUINTA, CALIFORNIA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED JUNE 30, 2009
203 North Brea Blvd
Suite 203
Brea, CA 92821
Lance Soll & Lunghard, LLP
41185 Golden Gate Circle
Suite 103
Murrieta, CA 92562
CITY OF LA QUINTA, CALIFORNIA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED JUNE 30, 2009
Prepared By
FINANCE DEPARTMENT
JOHN M. FALCONER
Director of Finance
CITY OF LA QUINTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
JUNE 30, 2009
TABLE OF CONTENTS
Page
Number
INTRODUCTORY SECTION
Letter of Transmittal ............................................................................................................................ i
List of Principal Officials .................................................................................................................. viii
Organizational Chart ......................................................................................................................... ix
Certificate of Achievement for Excellence in Financial Reporting (GFOA) ........................................ x
FINANCIAL SECTION
Independent Auditors’ Report ................................................................................................................. 1
Management’s Discussion and Analysis ................................................................................................. 3
Basic Financial Statements:
Government-Wide Financial Statements:
Statement of Net Assets ................................................................................................................. 13
Statement of Activities .................................................................................................................... 14
Fund Financial Statements:
Balance Sheet – Governmental Funds........................................................................................... 16
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Assets ....................................................................................................... 19
Statement of Revenues, Expenditures and Changes in Fund
Balances – Governmental Funds ................................................................................................... 20
Reconciliation of the Statement of Revenues, Expenditures and
Changes in Fund Balances of Governmental Funds to the Statement of Activities ....................... 23
Budgetary Comparison Statement by Department – General Fund .............................................. 24
Budgetary Comparison Statement – Low/Moderate Income Housing PA No. 1 ............................ 25
Budgetary Comparison Statement – Low/Moderate Income Housing PA No. 2 ............................ 26
Statement of Net Assets – Proprietary Funds ................................................................................ 27
Statement of Revenues, Expenses and Changes in Fund Net Assets –
Proprietary Funds ........................................................................................................................... 28
Statement of Cash Flows – Proprietary Funds ............................................................................... 29
Statement of Fiduciary Net Assets - Fiduciary Funds .................................................................... 31
CITY OF LA QUINTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
JUNE 30, 2009
TABLE OF CONTENTS (Continued)
Page
Number
Notes to Financial Statements ........................................................................................................ 33
COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES
Combining Balance Sheet - Non-Major Governmental Funds ....................................................... 72
Combining Statement of Revenues, Expenditures and Changes
in Fund Balance - Non-Major Governmental Funds ....................................................................... 80
Budgetary Comparison Schedules – Special Revenue Funds
State Gas Tax ........................................................................................................................ 87
Library ..................................................................................................................................... 88
Federal Assistance ................................................................................................................. 89
SLEBG .................................................................................................................................... 90
Indian Gaming ........................................................................................................................ 91
Lighting and Landscape ......................................................................................................... 92
RCTC ...................................................................................................................................... 93
Quimby ................................................................................................................................... 94
Public Safety ........................................................................................................................... 95
Arts In Public Places............................................................................................................... 96
South Coast Air Quality .......................................................................................................... 97
AB 939 .................................................................................................................................... 98
CV Violent Crime Task Force ................................................................................................. 99
Proposition 1B Fund ............................................................................................................. 100
Budgetary Comparison Schedules – Capital Projects Funds
Capital Improvement ............................................................................................................ 101
Infrastructure......................................................................................................................... 102
Transportation....................................................................................................................... 103
Parks and Recreation ........................................................................................................... 104
Civic Center .......................................................................................................................... 105
Library Development ............................................................................................................ 106
Community Center ................................................................................................................ 107
Street Facility ........................................................................................................................ 108
Park Facility .......................................................................................................................... 109
Fire Facility ........................................................................................................................... 110
2004 Low/Mod Bond ............................................................................................................. 111
Redevelopment Agency PA No. 1 – Capital Projects .......................................................... 112
Redevelopment Agency PA No. 2 – Capital Projects .......................................................... 113
Budgetary Comparison Schedules – Debt Service Funds
Financing Authority – Debt Service ...................................................................................... 114
Redevelopment Agency PA No. 1 – Debt Service ............................................................... 115
Redevelopment Agency PA No. 2 – Debt Service ............................................................... 116
Combining Statement of Net Assets – Internal Service Funds .................................................... 118
CITY OF LA QUINTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
JUNE 30, 2009
TABLE OF CONTENTS (Continued)
Page
Number
Combining Statement of Revenues, Expenses and Changes
in Fund Net Assets – Internal Service Funds ............................................................................... 119
Combining Statement of Cash Flows – Internal Service Funds ................................................... 120
Combining Balance Sheet – All Agency Funds ............................................................................ 122
Combining Statement of Changes in Assets and Liabilities – All Agency Funds ......................... 123
STATISTICAL SECTION
Net Assets by Component ............................................................................................................ 126
Changes in Net Assets ................................................................................................................. 127
Changes in Net Assets – Governmental Activities ....................................................................... 128
Changes in Net Assets – Business-type Activities ....................................................................... 129
Fund Balances of Governmental Funds ....................................................................................... 130
Changes in Fund Balances of Governmental Funds.................................................................... 131
Assessed Value and Estimated Actual Value of Taxable Property .............................................. 132
Assessed Value and Estimated Actual Value of Taxable Property -
Redevelopment Agency ............................................................................................................... 133
Direct and Overlapping Property Tax Rates ................................................................................. 134
Principal Property Taxpayers ....................................................................................................... 135
Property Tax Levies and Collections ............................................................................................ 136
Ratios of Outstanding Debt by Type ............................................................................................ 137
Ratio of General Bonded Debt Outstanding ................................................................................. 138
Direct and Overlapping Debt ........................................................................................................ 139
Legal Debt Margin Information ..................................................................................................... 140
Pledged-Revenue Coverage ........................................................................................................ 141
Demographic and Economic Statistics ......................................................................................... 142
Principal Employers ...................................................................................................................... 143
Full-time City Employees .............................................................................................................. 144
Operating Indicators ..................................................................................................................... 145
Capital Asset Statistics ................................................................................................................. 146
Schedule of Insurance in Force .................................................................................................... 147
November 17, 2009
To the Honorable Mayor, Members of the Governing Council, and Citizens of the
City of La Quinta, California:
Government Code 26909 (a) requires that the City, as a local agency of the County,
contract with a certified public accountant to perform an annual audit of the accounts
and records of the City and that the audit conform to generally accepted auditing
standards. Further, Government Code 26909 (b) states that an audit report shall be
filed with the State Controller and with the County Auditor of the County in which the
district is located within 12 months of the end of the fiscal year. This report is
published to fulfill these requirements for the fiscal year ended June 30, 2009. In
addition, City Ordinance 2.12.040 requires an annual audit be performed by a
certified public accountant.
Management assumes full responsibility for the completeness and reliability of the
information contained in this report, based upon a comprehensive framework of
internal control that it has established for this purpose. Because the cost of internal
control should not exceed anticipated benefits, the objective is to provide
reasonable, rather than absolute, assurance that the financial statements are free of
any material misstatements.
Lance Soll & Lunghard LLP Certified Public Accountants have issued an unqualified
opinion on the City of La Quinta financial statements for the year ended June 30,
2009. The independent auditor’s report is located at the front of the financial section
of this report.
Management’s discussion and analysis (MD&A) immediately follows the
independent auditor’s report and provides a narrative introduction, overview, and
analysis of the basic financial statements. The MD&A complements the letter of
transmittal and should be read in conjunction with it.
Profile of the Government
The City of La Quinta is located 120 miles east of Los Angeles in the eastern portion
of Riverside County known as the Coachella Valley. The City motto is "The Gem of
the Desert." The City is governed by a five-member City Council under the
Council/Manager form of government. The Mayor is directly elected by the citizens.
The Mayor serves a two-year term and the four Council Members serve four-year
terms, with two Council Members elected every two years. The Mayor and four
Council Members are elected at large.
The City was originally incorporated in 1982 as a general law City and it became a
charter City in November 1996.
The Council appoints the City Manager, who in turn appoints the Assistant City
Managers and the heads of the various departments. The City of La Quinta provides
a range of services which include: construction and maintenance of streets and
other infrastructure; community development and planning; construction and code
compliance; various recreational and cultural activities; and general municipal
services.
Services are also provided to the City and its citizens by contract and by the direct
services of other government agencies and organizations. These services include
police and fire protection through the County of Riverside, library services through
the County of Riverside, visitor and tourist information through Palm Springs Desert
Resort Communities Convention and Visitors Authority, City promotion through the
La Quinta Chamber of Commerce, water and sewer service through the Coachella
Valley Water District, electricity service through the Imperial Irrigation District, refuse
collection through Burrtec Waste Industries, public transit through Sunline Transit
Agency, and cable service through Time Warner.
The City of La Quinta also is financially accountable for a legally separate
Redevelopment Agency and Financing Authority. Additional information on these
two legally separate entities can be found in the notes to the financial statements.
Pursuant to City Ordinance 2.08.060 and 2.12.030, the City Manager and Finance
Director are responsible for the preparation of the annual budget for City Council
consideration prior to the start of the fiscal year. The annual budget serves as the
foundation for the City of La Quinta’s financial planning and control.
The budget is prepared by fund, function, department and line item. Department
heads may transfer line item resources within a division with the approval of the City
Manager. Transfers between divisions and departments need approval from the City
Council and the City Manager.
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Local economy
According to the State of California Economic Development Department (EDD), as
of June 2009, the total workforce for the City of La Quinta was 14,800 of which
13,700 were employed for a 7.4% unemployment rate. This rate is significantly
lower than the Riverside County unemployment rate of 14.0% and the statewide
unemployment rate of 11.6%.
During the last ten years, the City of La Quinta has been in a growth phase with net
assessed values increasing from $2.69 billion in Fiscal Year1999-2000 to $12.52
billion (over 465%). This major increase in assessed value consists primarily of
residential development; however, in the last three years major commercial
development has occurred along the Highway 111 corridor.
The City of La Quinta has transformed itself from a retirement community known as
the “Gem of the Desert” and the western home of golf to a year-round full-service
community. Major employers include the La Quinta Resort and Club, PGA West,
Home Depot, Wal-Mart, Rancho La Quinta, and Lowe’s.
During the past ten years, the City of La Quinta general fund expenditures have
increased 314%. Two Departments that have exceeded the average include
Community Services (389%), and Public Safety (379%). In the case of Community
Services, much of the increase can be attributed to adding library services and park
maintenance functions to the Department. In the case of Public Safety, much of the
increase is reflected in increased police service personnel.
During the same ten-year period, the City of La Quinta general fund revenues
increased 203%. Sources that exceeded the average include intergovernmental
(373%), taxes (233%), and interest earnings (225%). In the case of
intergovernmental revenues, most of the increase is attributable to the way the fire
service contract is accounted for and an increase in motor vehicle fees. In the case
of taxes, the increase is due greatly to the increase in sales tax revenues from the
commercial development along Highway 111. And finally, the increase in interest
earnings is due to greater General Fund reserves and additional advances between
the General Fund and the Redevelopment Agency. Offsetting these increases were
decreases in licenses and permits (-65%) and charges for services (-65%) from the
same period ten years ago. These decreases can be attributed to the rapid slow
down to development related activates experienced in the City of La Quinta in Fiscal
Year 2008-2009.
While the City has experienced record setting growth in the past, the recession of
Fiscal Year 2008-2009 has impacted the City of La Quinta. This downturn has
resulted in our residents and businesses experiencing: (1) a higher level of
unemployment, (2) lower property values; (3) more commercial store closings and
(4) more home foreclosures than in previous years. In addition, the credit crisis has
resulted in fewer new home starts and new businesses delaying their plans to open
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stores in the City. While the City is the home of large and small retailers and hotels,
no significant store openings have occurred in Fiscal Year 2008-2009 and several
large retailers and a hotel have closed their doors. This has resulted in a reduction in
actual tax collections in Fiscal Year 2008-2009 and downward revenue projections
for Fiscal Year 2009-2010. If the recession continues, as it very well might, future
revenue declines past Fiscal Year 2009-2010 may be on the horizon. In Fiscal Year
2008-2009, the City did tighten its fiscal belt at its mid year review and will have to
continue to monitor and possibly further reduce expenditures in Fiscal Year 2009-
2010 given the revenue shortfalls that may continue to occur.
Long-term financial planning
Each year the City embarks on a strategic planning process which begins in the
spring with a discussion of the City Council goals and ends with adoption of the
budget in June.
The documents that are generated in this strategic planning process include a
presentation of the financial achievements for the past fiscal year, a five-year cash
flow projection for each City, Redevelopment Agency and Financing Authority fund,
and a financial management strategies and recommendation report for the coming
fiscal year. W ithin the financial strategies and recommendation report, a “build out”
analysis is included which estimates the annual General Fund revenue (inflows) and
expenditures (outflows) in thirty years. This build out analysis is updated every three
years based upon future land use designations, existing land use and population
projections.
This build out report projects that in twenty (20) years, with an estimated population
of 81,771 versus the current 42,958, the annual revenues into the General Fund will
be $3,276,000 less than expenditures. With this information provided during the
mid-year financial review, the City of La Quinta is attempting to attract revenue-
producing businesses and hotels consistent with its land use planning, while at the
same time providing current and future residents a level of service that makes them
proud to call La Quinta their home.
During Fiscal Year 2008-2009, the General Fund balance decreased by $125,000
consisting of revenue decreases primarily in taxes and intergovernmental offset by
expenditure savings in the police and fire divisions in the Public Safety Department,
the Planning & Development Administration division, and the Street Maintenance
division in Public Works Department.
The General Fund balance as of June 30, 2009 was $92.3 million of which $46.2
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million versus $45.5 million in Fiscal Year 2007-2008 was reserved and $46.1 million
versus $47.0 million in Fiscal Year 2007-2008 was unreserved with designations.
These designations include an emergency reserve set at 35% of the annual budget
plus $4,000,000 and a cash flow reserve of 8.25% of the annual budget. Other
designations of the General Fund balance at year end can be found in the Footnotes
to the Financial Statements. Additional components of the strategic planning
process include the Economic Development Plan, the Capital Improvement
Program, the Annual Budget and the Five-Year Resource Allocation Plan. An
explanation of each of these documents is provided below.
Economic Development Plan
This plan outlines a vision and direction for the City’s economic development
activities. It presents the mission statement, implementation policies, projected
resources, and business plan the City and the La Quinta Redevelopment Agency will
follow to sustain a comprehensive economic development effort. It is goal-oriented
in that the economic development efforts specified in the plan are a key to
generating the financial resources necessary to support both the Resource
Allocation Plan and the Capital Improvement Plan.
Capital Improvement Plan
This plan is primarily a planning document that establishes five-year funding
priorities for capital improvements. This plan also includes a listing of all the other
desired capital improvements that cannot, or need not, be fu nded within the five-year
horizon and totaled $84.5 million.
Five-Year Resource Allocation Plan
This plan is primarily a planning document that provides a five-year horizon for
forecasted operational needs of each department, as well as the City as a whole.
This plan is a cyclical review of all operations expenditures to reassess funding
mechanisms behind personnel responsibilities and the various service levels of all
programs.
Annual Budget
This document is the annual implementation tool for the overall planning process.
The budget will encompass each element of the strategic planning effort and will
implement: the goals of the Economic Development Plan; the resource and demand
allocation outlined in the Five-Year Resource Allocation Plan; and the capital
improvement investment for a given year.
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Relevant Financial Policies
The State of California has mandated in the past that the City of La Quinta, pursuant
to State of California Revenue and Taxation Code Section 97.70 , contribute
$332,000 from the General Fund in Fiscal Year 2005-2006 with a similar amount in
Fiscal Year 2004-2005 to meet the State budget crisis. Again, in Fiscal Year 2009-
2010 the State of California has mandated that $965,000 in General Fund property
taxes be transferred to the State. Also, from Fiscal Year 2002-2003 through Fiscal
Year 2005-2006, the La Quinta Redevelopment Agency has contributed $7.8 million
to the State of California pursuant to State of California Health and Safety Code
33681.12 to meet its budget shortfalls. The $7.8 million of funds that have been
diverted to the State will not be refunded and are not be available for use within the
City of La Quinta. While no State mandated contributions were required from Fiscal
Year 2006-2007 through Fiscal Year 2008-2009, the State budget crisis of Fiscal
Year 2009-2010 will result in an additional diversion of $23.69 million and $4.9
million in Fiscal Year 2010-2011 from the La Quinta Redevelopment Agency for a
total take away of $36.3 million.
Major Initiatives
The La Quinta Redevelopment Agency (Agency) will be spending a considerable
amount of effort to acquire sites and facilitate the development of affordable housing
units in the City. Toward this end, the Agency is working in partnership with the
Coachella Valley Housing Coalition to construct a 218-unit affordable rental housing
project on fifteen acres at the northwest corner of Dune Palms Road and Avenue 48
in the City of La Quinta. The Agency’s financial commitment toward this project is
$30.1 million and land valued at $8.85 million.
The City has a major public facility expansion underway rebuilding Fire Station 32 at
its new location at Avenue 52 and Desert Club. Once completed, this $4.2 million
facility will better serve the residents of the La Quinta Cove and surrounding areas.
The La Quinta Redevelopment Agency has acquired a 525-acre parcel at Avenue 52
and Jefferson Street for the development of two golf courses, a clubhouse, and
future hotel resort development. The first golf course was dedicated in January
2005 with the second course, permanent clubhouse, and infrastructure in the
planning stages. The Agency continues to seek quality development opportunities
for future hotel(s) on the property to generate additional General Fund revenues.
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Awards and Acknowledgements
The Government Finance Officers Association of the United States and Canada
(GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting
to the City of La Quinta for its comprehensive annual financial report (CAFR) for the
fiscal year ended June 30, 2008. This was the thirteenth consecutive year that the
City has received this prestigious award. In order to be awarded a Certificate of
Achievement, the government had to publish an easily readable and efficiently
organized comprehensive annual financial report. This report must satisfy both
generally accepted accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that
our current CAFR continues to meet the Certificate of Achievement Program’s
requirements and we are submitting it to the GFOA to determine its eligibility for
another certificate.
The preparation of this report would not have been possible without the efficient and
dedicated service of the finance department staff. Credit also must be given to the
Mayor and City Council for their support in maintaining the highest standards of
professionalism in the management of the City of La Quinta’s finances.
Respectfully submitted,
Thomas P. Genovese John M. Falconer
City Manager Finance Director
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INDEPENDENT AUDITORS' REPORT
To the Honorable Mayor and Members of the City Council
City of La Quinta, California
We have audited the accompanying financial statements of the governmental activities, the business-type
activities, each major fund, and the aggregate remaining fund information of the City of La Quinta,
California, as of and for the year ended June 30, 2009, which collectively comprise the City's basic
financial statements as listed in the accompanying table of contents. These financial statements are the
responsibility of the City of La Quinta’s management. Our responsibility is to express an opinion on t hese
financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America and the standards applicable to financial audits contained in Government Auditing Standards
issued by the Comptroller General of the United States. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining on a test basis, evidence supporting the amounts
and disclosures in the financial 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 opinions.
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business-type activities, each major fund,
and the aggregate remaining fund information of the City of La Quinta as of June 30, 2009, and the
respective changes in financial position and cash flows, where applicable, and the respective budgetary
comparisons for the General Fund, the Low/Moderate Income Housing PA No. 1 and the Low/Moderate
Income Housing PA No. 2 for the year then ended in conformity with accounting principles generally
accepted in the United States of America.
In accordance with Government Auditing Standards, we have also issued our report dated
September 22, 2009, on our consideration of the City of La Quinta's internal control over financial
reporting and our tests of its compliance with certain laws, regulations, contracts, grant agreements and
other matters. The purpose of that report is to describe the scope of our testing of internal control over
financial reporting and compliance and the results of that testing, and not to provide an opinion on the
internal control over financial reporting or on compliance. That report is an integral part of an audit
performed in accordance with Government Auditing Standards and should be considered in assessing
the results of our audit.
The management's discussion and analysis is not a required part of the basic financial statements, but is
supplementary information required by the Governmental Accounting Standards Board. We have applied
certain limited procedures, which consisted principally of inquiries of management regarding the methods
of measurement and presentation of the required supplementary information. However, we did not audit
the information and express no opinion on it.
Lance, Soll & Lunghard, LLP 203 North Brea Boulevard Suite 203 Brea, CA 92821 TEL: 714.672.0022 Fax: 714.672.0331 www.lslcpas.com
41185 Golden Gate Circle Suite 103 Murrieta, CA 92562 TEL: 951.304.2728 Fax: 951.304.3940
Brandon W. Burrows, C.P.A
Donald L. Parker, C.P.A
Michael K. Chu, C.P.A
David E. Hale, C.P.A, C.F.P.
A Professional Corporation
Donald G. Slater, C.P.A
Richard K. Kikuchi, C.P.A
Susan F. Matz, C.P.A.
To the Honorable Mayor and Members of the City Council
City of La Quinta, California
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the City's basic financial statements. The accompanying introductory section, the combining
and individual fund statements, schedules and statistical tables are presented for purposes of additional
analysis and are not a required part of the basic financial statements. The accompanying combining and
individual nonmajor fund financial statements and schedules have been subjected to the auditing
procedures applied in the audit of the basic financial statements, and, in our opinion, are fairly stated in all
material respects in relation to the basic financial statements taken as a whole. The accompanying
introductory section and statistical tables have not been subjected to the auditing procedures applied in
the audit of the basic financial statements and, accordingly, we express no opinion on them.
September 22, 2009
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Management's Discussion and Analysis
As management of the City of La Quinta, we offer readers of the City of La Quinta’s financial statements
this narrative, overview and analysis of the financial activities for the fiscal year ended June 30, 2009. We
encourage readers to consider the information presented here in conjunction with additional information
that we have furnished in our letter of transmittal, which can be found in an earlier section of this report.
All amounts, unless otherwise indicated, are rounded to the nearest thousands of dollars.
Financial Highlights
• The assets of the City of La Quinta exceeded its liabilities at the close of the most recent fiscal year by
$564,221,000 (net assets). Of this amount, $92,487,000 (unrestricted net assets) may be used to meet
the government's ongoing obligations to citizens and creditors.
• The governmental activities total net assets increased by $16,919,000 and the business-type total net
assets decreased by $1,069,000 attributable to SilverRock Golf Course.
• As of the close of the current fiscal year, the City of La Quinta’s governmental funds reported combined
ending fund balances of $180,428,000, a decrease of $7,397,000 in comparison with the prior year.
Approximately 60 percent of this total amount, $109,087,000, is available for spending at the
government's discretion (unreserved fund balance).
• At the end of the current fiscal year, the operations/projects/transfers designations comprised
$18,988,000 or 41 percent of total general fund budgeted expenditures.
• The City of La Quinta’s total debt decreased by $5,813,000 during the current fiscal year from
$241,665,000 to $237,368,000 through normally scheduled debt service payments.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City of La Quinta’s basic
financial statements. The City of La Quinta’s basic financial statements comprise three components: 1)
government-wide financial statements, 2) fund financial statements, and 3) notes to the financial
statements. This report also contains other supplementary information in addition to the basic financial
statements themselves.
Government-wide financial statements
The government-wide financial statements are designed to provide readers with a broad overview of the
City of La Quinta’s finances, in a manner similar to a private-sector business.
The statement of net assets presents information on all of the City of La Quinta’s assets and liabilities,
with the difference between the two reported as net assets. Over time, increases or decreases in net
assets may serve as a useful indicator of whether the financial position of the City of La Quinta is
improving or deteriorating.
The statement of activities presents information showing how the government's net assets changed
during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event
giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and
expenses are reported in this statement for some items that will only result in cash flows in future fiscal
periods (e.g., earned but unused vacation leave).
3
Both of the government-wide financial statements distinguish functions of the City of La Quinta that are
principally supported by taxes and intergovernmental revenues (governmental activities) from other
functions that are intended to recover all or a significant portion of their costs through user fees and
charges (business-type activities). The governmental activities of the City of La Quinta include general
government, public safety, community services, planning and development and public works. The
business-type activities of the City of La Quinta include the SilverRock Golf course operations.
The government-wide financial statements include not only the City of La Quinta itself (known as the
primary government), but also the La Quinta Redevelopment Agency and the La Quinta Financing
Authority. Although legally separate entities they function for all practical purposes as departments of the
City of La Quinta, and therefore have been included as an integral part of the primary government.
The government-wide financial statements can be found in the table of contents under the Financial
Section of this report.
Fund financial statements
A fund is a grouping of related accounts that is used to maintain control over resources that have been
segregated for specific activities or objectives. The City of La Quinta, like other state and local
governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal
requirements. All of the funds of the City of La Quinta can be divided into three categories: governmental
funds, proprietary funds, and fiduciary funds.
Governmental funds
Governmental funds are used to account for essentially the same functions reported as governmental
activities in the government-wide financial statements. However, unlike the government-wide financial
statements, governmental fund financial statements focus on near-term inflows and outflows of spendable
resources, as well as on balances of spendable resources available at the end of the fiscal year. Such
information may be useful in evaluating a government's near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements. By doing
so, readers may better understand the long-term impact of the government's near-term financing
decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues,
expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between
governmental funds and governmental activities.
The City of La Quinta maintains thirty five (35) individual governmental funds, which are distinguished
between major and non-major funds. Information is presented separately in the governmental fund
balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund
balances for the general fund, two (2) special revenue funds, two (2) debt service funds and three (3)
capital project funds. These seven (7) funds are considered to be major funds. Data from the other
twenty six (26) governmental funds are combined into a single, aggregated presentation. Individual fund
data for each of these non-major governmental funds is provided in the form of combining statements
elsewhere in this report.
The City of La Quinta adopts an annual appropriated budget for its general fund. A budgetary comparison
statement has been provided for the general fund to demonstrate compliance with this budget.
The basic governmental fund financial statements can be found in the table of contents under the heading
Basic Financial Statements.
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Proprietary funds
Proprietary funds can be broken down into enterprise and internal service funds. The City of La Quinta
maintains one (1) proprietary fund. Enterprise funds are used to report the same functions presented as
business-type activities in the government-wide financial statements. The City of La Quinta uses an
enterprise fund to account for its SilverRock Golf Course operations, which is considered to be a major
fund. Internal service funds are an accounting device used to accumulate and allocate costs internally
among the City of La Quinta’s various functions. The City of La Quinta has three (3) internal service funds
to account for its major equipment replacement including vehicles, for its information technology systems,
and for its park equipment and facility needs. Because these three services predominantly benefit
governmental rather than business-type functions, they have been included within governmental activities
in the government-wide financial statements. The internal service funds are combined into a single,
aggregated presentation in the proprietary fund financial statements. Individual fund data for the internal
service funds is provided in the form of combining statements elsewhere in this report
The basic proprietary fund financial statements can be found on the pages listed in the table of contents
for Proprietary Funds: Statement of Net Assets, Statement of Revenues, Expenditures and Changes in
Net Assets, and Statement of Cash Flows.
Fiduciary funds
Fiduciary funds, also called agency funds, are used to account for resources held for the benefit of parties
outside the government. Fiduciary funds are not reflected in the government-wide financial statement
because the resources of those funds are not available to support the City of La Quinta’s own programs.
The accounting used for fiduciary funds is much like that used for proprietary funds.
The basic fiduciary fund financial statements can be found on the pages listed in the table of contents for
Fiduciary Funds: Statement of Fiduciary Assets and Liabilities – Agency Funds.
Notes to the financial statements
The notes provide additional information that is essential to a full understanding of the data provided in
the government-wide and fund financial statements. The notes to the financial statements can be found
on the pages listed in the table of contents for Notes to the Basic Financial Statements.
Other information
In addition to the basic financial statements and accompanying notes, this report also presents certain
required supplementary information concerning the City of La Quinta's General Fund and its budget
appropriations. Required supplementary information can be found in the table of contents under the
section Required Supplemental Information and includes Notes to the Required Supplementary
Information and a General Fund Budgetary Comparison Schedule.
The combining statements referred to earlier in connection with non-major governmental funds, internal
service funds, and agency funds are presented immediately following the required supplementary.
Combining and individual fund statements and schedules can be found in the table of contents under
Supplementary Schedules.
Government-wide financial analysis
As noted earlier, net assets may serve over time as a useful indicator of a govern ment's financial position.
In the case of the City of La Quinta, assets exceeded liabilities by $564,221,000 at the close of the most
recent fiscal year, which is $15,850,000 greater than the previous year.
The largest portion of the City of La Quinta’s net assets, which was 65% this year and 70% last year,
reflects its investment in capital assets (e.g., land, buildings; machinery, and equipment); less any related
debt used to acquire those assets that is still outstanding. The City of La Quinta uses these capital assets
to provide services to citizens; consequently, these assets are not available for future spending.
Although the City of La Quinta’s investment in its capital assets is reported net of related debt, it should
be noted that the resources needed to repay this debt must be provided from other sources, since the
capital assets themselves cannot be used to liquidate these liabilities.
5
City of La Quinta Net Assets
2009 2008 2009 2008 2009 2008
Assets:
Current and other assets 225,009,148$ 233,280,016$ (3,721,932)$ (2,917,790)$ 221,287,216$ 230,362,226$
Capital assets 559,028,995 536,929,916 42,821,825 43,459,062 601,850,820 580,388,978
Total assets 784,038,143$ 770,209,932$ 39,099,893$ 40,541,272$ 823,138,036$ 810,751,204$
Liabilities:
Current liabilities 22,137,899$ 21,364,433$ 215,522$ 191,734$ 22,353,421$ 21,556,167$
Non-current liabilities 236,278,140 240,142,880 285,217 681,047 236,563,357 240,823,927
Total liabilities 258,416,039$ 261,507,313$ 500,739$ 872,781$ 258,916,778$ 262,380,094$
Net assets:
323,669,955$ 343,019,328$ 42,767,282$ 42,778,015$ 366,437,237$ 385,797,343$
Restricted 105,297,168 86,041,189 - - 105,297,168 86,041,189
Unrestricted 96,654,981 79,642,102 (4,168,128) (3,109,524) 92,486,853 76,532,578
Total Net Assets 525,622,104$ 508,702,619$ 38,599,154$ 39,668,491$ 564,221,258$ 548,371,110$
Invested in Capital assets,
net of related debt
Governmental activities Business-type activities Total
An additional portion of the City of La Quinta's net assets (19 percent versus 16 percent in the prior year)
represents resources that are subject to external restrictions on how they may be used. The remaining
balance of unrestricted net assets - $92,487,000 (16 percent) may be used to meet the government's
ongoing obligations to citizens and creditors.
At the end of the current fiscal year, the City of La Quinta is able to report positive balances in all three
categories of net assets, both for the government as a whole, as well as for its separate governmental
activities; however, the business type unrestricted net assets had a deficit of $4,168,000.
Governmental activities
Governmental activities increased net assets by $16,919,000 accounting for a 3 percent change in the
net assets from the previous year. Key elements of these changes are as follows:
City of La Quinta Changes in Net Assets
2009 2008 Change 2009 2008 Change 2009 2008 Change
Revenues:
Program reveues:
Charges for services 3,121,276$ 4,467,560$ (1,346,284)$ 3,368,135$ 3,814,233$ (446,098)$ 6,489,411$ 8,281,793$ (1,792,382)$
Operating grants and contributions 10,725,280 5,905,664 4,819,616 - - - 10,725,280 5,905,664 4,819,616
Capital grants and contributions 10,647,270 50,090,419 (39,443,149) - - - 10,647,270 50,090,419 (39,443,149)
General revenues:
Property taxes 6,653,583 6,014,305 639,278 - - - 6,653,583 6,014,305 639,278
Other taxes 50,735,819 58,641,107 (7,905,288) - - - 50,735,819 58,641,107 (7,905,288)
Investment income 7,387,244 10,230,489 (2,843,245) 3,074 4,310 (1,236) 7,390,318 10,234,799 (2,844,481)
Motor vehicle in lieu 3,940,801 3,803,647 137,154 - - - 3,940,801 3,803,647 137,154
Gain (loss) on sale of capital assets 21,542 57,346 (35,804) - - - 21,542 57,346 (35,804)
Miscellaneous 118,567 1,220,627 (1,102,060) - - - 118,567 1,220,627 (1,102,060)
Total reveues 93,351,382 140,431,164 (47,079,782) 3,371,209 3,818,543 (447,334) 96,722,591 144,249,707 (47,527,116)
Expenses:
General government 7,836,146 6,953,073 883,073 - - - 7,836,146 6,953,073 883,073
Public safety 19,736,941 13,472,036 6,264,905 - - - 19,736,941 13,472,036 6,264,905
Planning and development 16,162,689 35,323,858 (19,161,169) - - - 16,162,689 35,323,858 (19,161,169)
Community services 5,963,850 5,797,116 166,734 - - - 5,963,850 5,797,116 166,734
Public works 11,100,833 11,097,526 3,307 - - - 11,100,833 11,097,526 3,307
Interest on long-term debt 15,631,438 15,522,441 108,997 - - - 15,631,438 15,522,441 108,997
Golf course - - - 4,440,546 4,809,302 (368,756) 4,440,546 4,809,302 (368,756)
Total expenses 76,431,897 88,166,050 (11,734,153) 4,440,546 4,809,302 (368,756) 80,872,443 92,975,352 (12,102,909)
16,919,485 52,265,114 (35,345,629) (1,069,337) (990,759) (78,578) 15,850,148 51,274,355 (35,424,207)
Transfers - - - - - - - -
Contributions - - - 352,687 (352,687) - 352,687 (352,687)
Restatements - - - - - - - -
Increase in net assets 16,919,485 52,265,114 (35,345,629) (1,069,337) (638,072) (431,265) 15,850,148 51,627,042 (35,776,894)
Net assets - 7/1/2008 508,702,619 456,437,505 52,265,114 39,668,491 40,306,563 (638,072) 548,371,110 496,744,068 51,627,042
Net assets - 6/30/2009 525,622,104$ 508,702,619$ 16,919,485$ 38,599,154$ 39,668,491$ (1,069,337)$ 564,221,258$ 548,371,110$ 15,850,148$
Increase in net assets before transfers
and restatements
Governmental activities Business-type activities Total
6
• Revenues decreased by $47,080,000 with the largest category decrease in capital grants and
contributions $39,443,000. Capital grants and contributions decreased primarily as a result of the
acquisition of Highway 111 from Caltrans in the prior fiscal year 2007-2008 for $37,617,000. In addition,
the other taxes category decreased $7,900,000 consisting primarily in decreased property tax increment
(net of pass through payments) ($5,413,000), sales taxes ($1,213,000), and transient occupancy taxes
($847,000).
• Expenses decreased by $11,734,000 with the two largest category changes being a decrease in Planning
and Development ($19,161,000) and an increase in the Public Safety category of $6,265,000. The
decrease in the Planning and Development costs is a result of completion of the Vista Dunes Courtyard
Homes. The increase in the Public Safety costs is a result of higher Police costs and construction
beginning on the Station 32 Fire station.
• There were no contributions in assets from the governmental activities to the
business-type activities.
Expenses and Program Revenues - Government Activities
7,836,146
19,736,941
5,963,850
15,631,43815,846,470
11,100,833
16,162,689
404,592
3,728,554
170,140
4,344,070
-
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
General
government
Public safety Planning and
development
Community services Public works Interest expense
Expenses
Program revenues
Expenses and Program Revenues - Business-type Activities
4,440,546
3,368,135
-
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
4,500,000
5,000,000
Golf
Expenses
Program revenues
7
Business-type activities
This was the fourth full year of operations for the SilverRock Golf fund since the golf course began early
operation in 2005.
Net assets decreased by $ (1,069,000) from the effects of an operating loss.
Charges for services primarily consisted of green fees and totaled $3,368,000 which was $446,000 less
than the previous year with golf course expenses of $4,441,000, which was $369,000 less than the
previous year.
Financial Analysis of the Government's Funds
As noted earlier, the City of La Quinta uses fund accounting to ensure and demonstrate compliance with
finance-related legal requirements.
Governmental funds - The focus of the City of La Quinta’s governmental funds is to provide information
on near-term inflows, outflows, and balances of spendable resources. Such information is useful in
assessing the City of La Quinta's financing requirements. In particular, unreserved fund balance may
serve as a useful measure of a government's net resources available for spending at the end of the fiscal
year.
As of the end of the current fiscal year, the City of La Quinta's governmental funds reported combined
ending fund balances of $180,428,000, a decrease of $7,397,000 in comparison with the prior year. Of
this amount $109,087,000 or 60% constitutes unreserved, which is available for spending at the
government's discretion. The remainder of fund balance ($71,341,000) is reserved or designated to
indicate that it is not available for new spending because it has already been committed to 1) to pay debt
service ($18,729,000), 2) to advance funds to other funds ($50,459,000), or 3) for a variety of other
restricted purposes ($2,153,000).
General Fund
The general fund is the chief operating fund of the City of La Quinta. At the end of the current fiscal year,
unreserved fund balance of the general fund was $46,128,000, while total fund balance reached
$92,327,000. As a measure of the general fund's liquidity, it may be useful to compare the total general
fund balance to budgeted expenditures (including transfers out). The total fund balance represents 200
percent of the total budgeted expenditures.
The City of La Quinta’s general fund balance decreased by $125,000 during the current fiscal year. Key
factors in this slight decrease are as follows:
• Actual expenditures were $9,876,000 less than the final budget. Divisions that were under budget for
the year were Street Maintenance ($2,230,000), Police ($495,000), Fire ($827,000), and Planning &
Development Administration ($775,000). In addition, actual transfers out were $4,276,000 less than
budgeted with $3,749,000 of this amount unspent Fire Station 32 construction costs and $430,000 for the
Avenue 52 and Desert Club traffic signal which will both be carried over to fiscal year 2009-2010.
• Actual revenues were $7,589,000 less than the final budget. Categories that received less than the final
budget were taxes ($2,377,000) and intergovernmental ($5,534,000). Sales taxes were $952,000 less
than budgeted and transient taxes were $1,145,000 less and budgeted. Actual sales tax and transient
occupancy tax collections in fiscal year 2008-2009 were $1,566,000 and $1,018,000, respectively, less
than Fiscal year 2007-2008. Intergovernmental revenues were less than budgeted because drawdowns
from the Fire Tax Credit were not necessary for fire operations ($827,000), Fire Station 32 construction
costs ($3,749,000), and the Avenue 52 Desert Club Traffic Signal ($430,000).
8
Low/Moderate Income Housing PA No. 1 and 2 Fund
The Low/Moderate Income Housing No. 1 and 2 Funds are used to account for the promotion of low and
moderate income capital projects in the La Quinta Redevelopment Project Area 1 and 2 from 20% of the
tax increment property tax generated in these Project Areas.
During fiscal year 2008-2009, PA 1 net changes in fund balance increased by $462,000 and PA 2 net
changes in fund balance increased by $3,374,000 from fiscal year 2007-2008. The fund balance available
in these funds at year end was $6,248,000 and $19,887,000, respectively. During the fiscal year, the
Low/Moderate Income Housing PA No. 1 Fund purchased the Washington Street Apartments for
$6,188,000 and assumed $2,333,000 in debt from the previous owner.
Capital Improvement Fund
The fund is primarily used to record the expenditure of funds for capital projects. Major capital projects
funded during fiscal year 2008-2009 were Wolff Waters Apartments, Highway 111 widening between
Adams Street and Jefferson Street, Fred Waring Drive street improvements, Ave 58 street improvements,
and SilverRock Clubhouse planning expenditures.
Civic Center Fund
The fund is primarily used to collect developer impact fees for the construction of the City Hall expansion
and the repayment of a portion of the debt service on the original City Hall construction. The City Hall
expansion was completed in fiscal year 2007-2008 and the final repayment of the original City Hall
construction bonds is scheduled in fiscal year 2018-2019. A $9.62 million advance from the General
Fund is outstanding at the end of fiscal year 2008-2009.
Redevelopment Agency Project Area 1 Capital Projects Fund
The fund is primarily used to account for the construction of projects in this area within the
Redevelopment Agency Project Area 1 which is generally south of Ave 50. The major funding for these
projects was a $5 million transfer from the Debt Service Fund for capital projects including the permanent
SilverRock Clubhouse and SilverRock infrastructure improvements.
Redevelopment Agency Project Area 1 & 2 Debt Service Funds
The Redevelopment Agency Project Area 1 & 2 Debt Service Funds are used to accumulate resources,
primarily property taxes, to pay debt service.
The fund balance in Project Area 1 increased by $398,000, even with a $5 million transfer to the
Redevelopment Agency Project Area 1 Capital Project Fund and a decrease of $2.96 million of property
tax increment revenues. The Debt Service Project Area 1 Fund did not have to make an estimated $4.85
million payment to the State of California for an Educational Relief Augmentation Fund (ERAF) payment
in fiscal year 2008-2009.
The fund balance in Project Area 2 increased by $1.33 million during the current fiscal year to reduce the
fund balance deficit from -4.46 million to -3.13 million. The key factor in this increase was that even while
property tax increment revenue was $390,000 less than the prior Fiscal year, revenues still continued to
exceed expenditures in the fund.
Proprietary funds
The City of La Quinta's proprietary funds provide the same type of information found in the government-
wide financial statements, but in more detail.
The financial activities of the City enterprise fund have already been addressed in the discussion of the
City of La Quinta’s business-type activities. In addition, the City has three (3) internal service funds to
accumulate resources for equipment and vehicle replacement, information technology activities, and for
park equipment and facility replacement.
9
General Fund Budgetary Highlights
During the year there was a $5,683,000 increase in appropriations and transfers out between the original
($40,554,000) and final amended budget ($46,237,000). Following are the main components of the
changes:
• During the mid-year review, the General Fund budget for various divisions was reduced by $954,000
based upon an estimated decrease of revenues forecasted for fiscal year 2008-2009;
• $4,216,000 for the Fire Station 32 construction and $430,000 for the Avenue 52 traffic signal were
appropriated. These two projects are funded by a combination of Fire Tax credit funds and developer
impact fee funds; and,
• The fiscal year 2007-2008 budget included carryover encumbrances of $161,500 and $2,606,000 in
carryover appropriations into fiscal year 2008-2009.
The budget increases were possible because of additional anticipated revenues and the carryover
encumbrances and appropriations were possible from available net changes in fund balances.
Capital Asset and Debt Administration
Capital assets
The City of La Quinta’s investment in capital assets for its governmental and business-type activities as of
June 30, 2009, amounts to $601,851,000 (net of accumulated depreciation). This investment in capital
assets includes land, right of way, buildings and improvements, machinery and equipment, streets and
bridges, and construction in progress. The investment in capital assets increased this fiscal year from the
purchase of properties which exceeded the depreciation expenses.
The following chart lists the asset categories for governmental and business like activities net of
depreciation.
City of La Quinta Capital Assets (net of depreciation)
2009 2008 2009 2008 2009 2008
Land 75,663,033$ 80,645,874$ 36,840,832$ 36,840,832$ 112,503,865$ 117,486,706$
Buildings and improvements 45,394,528 44,355,498 5,598,377 5,832,933 50,992,905 50,188,431
Equipment and furniture 1,002,533 913,530 378,554 773,115 1,381,087 1,686,645
Vehicles 652,497 655,934 2,036 6,105 654,533 662,039
Software - - 2,026 6,077 2,026 6,077
Infrastructure 393,914,087 370,659,873 - - 393,914,087 370,659,873
Construction in progress 42,402,317 39,699,207 - - 42,402,317 39,699,207
Total 559,028,995$ 536,929,916$ 42,821,825$ 43,459,062$ 601,850,820$ 580,388,978$
Governmental activities Business-type activities Total
Major capital asset events during the current fiscal year included the following:
Governmental activities
• The transfer of $8,845,000 of land held by the Redevelopment Agency to the Coachella Valley Housing
Coalition for the Wolff Waters Affordable Housing Project;
• Recording infrastructure improvements, including developer dedications of $6,364,000, to street
improvements, street right of way, street sidewalks and curbs and gutters, and street medians;
• Completed construction of the Phase 2 Jefferson Street Improvements totaling $15,485,000;
10
• Completed widening of Highway 111 between Adams Street and Jefferson Street to three lanes totaling
$2,952,000;
• Completed construction of Avenue 58 between Madison Street and Jefferson Street totaling $1,128,000;
and,
• The purchase of the land and Washington Street Apartment buildings for affordable housing totaling
$6,183,221.
Business-type activities
• No improvements to the SilverRock Resort were made in fiscal year 2008-2009.
Additional information on the City of La Quinta’s capital assets can be found in Footnote 6 to the financial
statements.
Long-term debt
At the end of the current fiscal year, the City of La Quinta had total bonded debt outstanding of
$240,984,000. $142,265,000 of this debt amount represents bonds secured solely by specified revenue
sources (i.e., tax allocation bonds); while, $91,715,000 of the debt represents revenue bonds that will be
paid from pledged tax increment property tax housing funds. In addition, $681,000 in capital equipment
leases is outstanding in connection with SilverRock Golf Course.
City of La Quinta Outstanding Debt
2009 2008 2009 2008 2009 2008
Debt type:
Capital leases 149,169$ 182,094$ 285,217$ 681,047$ 434,386$ 863,141$
Compensated absences 919,100 833,155 - - 919,100 833,155
Developer agreement 343,814 499,786 - - 343,814 499,786
Pass through agreement 2,874,653 3,660,621 - - 2,874,653 3,660,621
Dut to government agencies 2,330,065 1,828,311 - - 2,330,065 1,828,311
Loans payable 1,556,283 - - - 1,556,283 -
Tax allocation bonds 139,190,000 142,265,000 - - 139,190,000 142,265,000
Revenue bonds 89,720,000 91,715,000 - - 89,720,000 91,715,000
Total 237,083,084$ 240,983,967$ 285,217$ 681,047$ 237,368,301$ 241,665,014$
Governmental activities Business-type activities Total
The total outstanding debt decreased by $4,297,000 during fiscal year 2008-2009.
In conjunction with the purchase of the land and Washington Street Apartment buildings, the La Quinta
Redevelopment Agency assumed a United States Department of Agriculture (USDA) outstanding note of
$761,000 and a loan from Provident Bank of $1,572,000 from the previous owner of the Washington
Street Apartments.
Additional information on the City of La Quinta's long-term debt can be found in notes 7 and 8 of the
financial statements.
Economic Factors and Next Year's Budgets and Rates
These factors were considered in preparing the City of La Quinta’s budget for fiscal year 2009-2010:
• The City of La Quinta had a 7.4 versus 4.3 percent last year unemployment rate. This rate is
significantly lower than the Riverside County unemployment rate of 14.0 versus 8.4 percent last year and
the statewide unemployment rate of 11.6 versus 7.0 percent last year.
• During the last ten years, the City of La Quinta has been in a growth phase with net assessed values
increasing from $2.69 billion in fiscal year 1999-2000 to $12.52 billion or over 465 percent.
11
• During the current fiscal year, the general fund net loss was $(125,000) and $3,447,000 of General fund
balance has been designated for carry over appropriations and encumbrances.
• The State of California fiscal year 2009-2010 and 2010-2011 budgets include a State-wide diversion of
tax increment funding from Redevelopment Agencies. The La Quinta Redevelopment Agency portion of
these take-aways is estimated to be $23,560,000 in fiscal year 2009-2010 and $4,851,000 in fiscal year
2010-2011.
The City of La Quinta adopted a balanced general fund budget for fiscal year 09/10.
Requests for Information
This financial report is designed to provide a general overview of the City of La Quinta’s finances for all
those with an interest in the government's finances. Questions concerning any of the information provided
in this report or requests for additional financial information should be addressed to the City of La Quinta,
John Falconer, Finance Director, P.O. Box 1504, La Quinta, CA, 92247 or by telephone at 760-777-7150.
12
CITY OF LA QUINTA
STATEMENT OF NET ASSETS
Governmental Business-Type
Activities Activities Total
Assets:
Cash and investments 174,164,370$ 237,757$ 174,402,127$
Receivables:
Accounts 200,550 15,356 215,906
Taxes 2,426,472 - 2,426,472
Notes and loans 13,239,548 - 13,239,548
Accrued interest 291,185 231 291,416
Internal balances 4,290,475 (4,290,475) -
Prepaid costs 31,621 1,865 33,486
Deposits 14,370 250,000 264,370
Inventories - 63,334 63,334
Due from other governments 7,380,249 - 7,380,249
Deferred charges 4,241,470 - 4,241,470
Restricted assets:
Cash and investments with fiscal agent 18,728,838 - 18,728,838
Capital assets not being depreciated 401,585,410 36,840,832 438,426,242
Capital assets, net of depreciation 157,443,585 5,980,993 163,424,578
Total Assets 784,038,143 39,099,893 823,138,036
Liabilities:
Accounts payable 3,623,794 161,908 3,785,702
Accrued liabilities 434,287 2,093 436,380
Accrued interest 4,071,598 - 4,071,598
Due to other governments 963,333 - 963,333
Retentions payable 2,322,197 - 2,322,197
Unearned revenue 5,075,887 2,521 5,078,408
Deposits payable 5,538,859 49,000 5,587,859
OPEB Obligation 107,944 - 107,944
Noncurrent liabilities:
Due within one year 7,535,512 230,674 7,766,186
Due in more than one year 228,742,628 54,543 228,797,171
Total Liabilities 258,416,039 500,739 258,916,778
Net Assets:
Invested in capital assets,
net of related debt 323,669,955 42,767,282 366,437,237
Restricted for:
Public safety 245,468 - 245,468
Planning and development 32,755,936 - 32,755,936
Community services 924,450 - 924,450
Public works 65,881,216 - 65,881,216
Debt service 5,490,098 - 5,490,098
Unrestricted 96,654,981 (4,168,128) 92,486,853
Total Net Assets 525,622,104$ 38,599,154$ 564,221,258$
JUNE 30, 2009
Primary Government
See Notes to Financial Statements 13
CITY OF LA QUINTA
STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2009
Operating Capital
Charges for Contributions Contributions
Expenses Services and Grants and Grants
Functions/Programs
Primary Government:
Governmental Activities:
General government 7,836,146$ 25,053$ 145,087$ -$
Public safety 19,736,941 1,373,952 2,333,764 20,838
Planning and development 16,162,689 138,391 3,770,704 434,975
Community services 5,963,850 275,178 129,414 -
Public works 11,100,833 1,308,702 4,346,311 10,191,457
Interest on long-term debt 15,631,438 - - -
Total Governmental Activities 76,431,897 3,121,276 10,725,280 10,647,270
Business-Type Activities:
Golf Course 4,440,546 3,368,135 - -
Total Business-Type Activities 4,440,546 3,368,135 - -
Total Primary Government 80,872,443$ 6,489,411$ 10,725,280$ 10,647,270$
General Revenues:
Taxes:
Property taxes, levied for general purpose
Tax increment
Sales taxes
Transient occupancy taxes
Franchise taxes
Business licenses taxes
Other taxes
Use of money and property
Motor vehicle in lieu - unrestricted
Gain on sale of capital asset
Other
Total General Revenues and Transfers
Change in Net Assets
Net Assets at Beginning of Year
Net Assets at End of Year
Program Revenues
See Notes to Financial Statements 14
Primary Government
Governmental Business-Type
Activities Activities Total
(7,666,006)$ -$ (7,666,006)$
(16,008,387) - (16,008,387)
(11,818,619) - (11,818,619)
(5,559,258) - (5,559,258)
4,745,637 - 4,745,637
(15,631,438) - (15,631,438)
(51,938,071) - (51,938,071)
- (1,072,411) (1,072,411)
- (1,072,411) (1,072,411)
(51,938,071) (1,072,411) (53,010,482)
6,653,583 - 6,653,583
36,702,197 - 36,702,197
7,279,513 - 7,279,513
4,480,467 - 4,480,467
1,533,249 - 1,533,249
285,304 - 285,304
455,089 - 455,089
7,387,244 3,074 7,390,318
3,940,801 - 3,940,801
21,542 - 21,542
118,567 - 118,567
68,857,556 3,074 68,860,630
16,919,485 (1,069,337) 15,850,148
508,702,619 39,668,491 548,371,110
525,622,104$ 38,599,154$ 564,221,258$
Net (Expenses) Revenues and Changes in Net Assets
See Notes to Financial Statements 15
CITY OF LA QUINTA
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2009
Capital
Projects Funds
General
Assets:
Cash and investments 56,267,267$ 4,128,834$ 17,636,140$ 3,133,461$
Receivables:
Accounts 61,958 10,685 42,703 -
Taxes 1,549,215 76,709 101,742 -
Notes and loans - 3,795,746 9,443,802 -
Accrued interest 156,415 3,760 22,805 -
Prepaid costs 12,424 - 19,197 -
Deposits 9,830 - 4,540 -
Due from other governments 6,015,082 - - 442,560
Due from other funds 18,890 - 2,143,702 -
Advances to other funds 46,137,692 - - -
Restricted assets:
Cash and investments with fiscal agents - - - -
Total Assets 110,228,773$ 8,015,734$ 29,414,631$ 3,576,021$
Liabilities and Fund Balances:
Liabilities:
Accounts payable 2,614,562$ 25,838$ 53,911$ 856,772$
Accrued liabilities 431,280 - - -
Due to other governments 11,709 - - -
Retentions payable - - - 2,322,197
Deferred revenues 5,606,812 1,728,718 9,443,802 -
Unearned revenues 4,181,505 - - 182,052
Deposits payable 5,055,524 12,785 29,597 215,000
Due to other funds - - - -
Advances from other funds - - - -
Total Liabilities 17,901,392 1,767,341 9,527,310 3,576,021
Fund Balances:
Reserved:
Reserved for encumbrances 39,214 - - -
Reserved for prepaid costs 12,424 - 19,197 -
Reserved for notes and loans - 2,067,028 - -
Reserved for advances to other funds 46,137,692 - - -
Reserved for deposits 9,830 - 4,540 -
Reserved for debt service - - - -
Unreserved:
Unreserved, reported in:
General Fund 46,128,221 - -
Special revenue funds - 4,181,365 19,863,584 -
Capital projects funds - - - -
Debt service funds - - - -
Total Fund Balances 92,327,381 6,248,393 19,887,321 -
Total Liabilities and Fund Balances 110,228,773$ 8,015,734$ 29,414,631$ 3,576,021$
Special Revenue Fund
Low/Moderate
Income Housing
PA No. 1
Low/Moderate
Income Housing
PA No. 2
Capital
Improvement
See Notes to Financial Statements 16
CITY OF LA QUINTA
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments
Receivables:
Accounts
Taxes
Notes and loans
Accrued interest
Prepaid costs
Deposits
Due from other governments
Due from other funds
Advances to other funds
Restricted assets:
Cash and investments with fiscal agents
Total Assets
Liabilities and Fund Balances:
Liabilities:
Accounts payable
Accrued liabilities
Due to other governments
Retentions payable
Deferred revenues
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
Fund Balances:
Reserved:
Reserved for encumbrances
Reserved for prepaid costs
Reserved for notes and loans
Reserved for advances to other funds
Reserved for deposits
Reserved for debt service
Unreserved:
Unreserved, reported in:
General Fund
Special revenue funds
Capital projects funds
Debt service funds
Total Fund Balances
Total Liabilities and Fund Balances
(Continued)
-$ 29,816,233$ 17,755,276$ 16,191,418$
- - - -
- - 306,837 391,969
- - - -
- 34,557 19,587 20,897
- - - -
- - - -
- - - -
- - - -
- 3,385,401 - -
- 11,729,717 - -
-$ 44,965,908$ 18,081,700$ 16,604,284$
-$ 36,625$ -$ -$
- - - -
- - 599,558 352,066
- - - -
- - - -
- - - -
- - - -
- - - -
9,617,167 - 12,000,000 19,378,966
9,617,167 36,625 12,599,558 19,731,032
- - - -
- - - -
- - - -
- 3,385,401 - -
- - - -
- 11,729,717 - -
- - - -
- - - -
(9,617,167) 29,814,165 - -
- - 5,482,142 (3,126,748)
(9,617,167) 44,929,283 5,482,142 (3,126,748)
-$ 44,965,908$ 18,081,700$ 16,604,284$
Debt Service FundsCapital Projects Funds
Civic Center
Redevelopment
Agency PA No. 1
Redevelopment
Agency PA No. 1
Redevelopment
Agency PA No. 2
See Notes to Financial Statements 17
CITY OF LA QUINTA
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments
Receivables:
Accounts
Taxes
Notes and loans
Accrued interest
Prepaid costs
Deposits
Due from other governments
Due from other funds
Advances to other funds
Restricted assets:
Cash and investments with fiscal agents
Total Assets
Liabilities and Fund Balances:
Liabilities:
Accounts payable
Accrued liabilities
Due to other governments
Retentions payable
Deferred revenues
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
Fund Balances:
Reserved:
Reserved for encumbrances
Reserved for prepaid costs
Reserved for notes and loans
Reserved for advances to other funds
Reserved for deposits
Reserved for debt service
Unreserved:
Unreserved, reported in:
General Fund
Special revenue funds
Capital projects funds
Debt service funds
Total Fund Balances
Total Liabilities and Fund Balances
Other Total
Governmental Governmental
Funds Funds
23,628,283$ 168,556,912$
85,204 200,550
- 2,426,472
- 13,239,548
26,857 284,878
- 31,621
- 14,370
922,607 7,380,249
- 2,162,592
935,718 50,458,811
6,999,121 18,728,838
32,597,790$ 263,484,841$
26,889$ 3,614,597$
- 431,280
- 963,333
- 2,322,197
- 16,779,332
712,330 5,075,887
225,953 5,538,859
2,162,592 2,162,592
5,172,203 46,168,336
8,299,967 83,056,413
2,000 41,214
- 31,621
- 2,067,028
935,718 50,458,811
- 14,370
6,999,121 18,728,838
- 46,128,221
13,804,876 37,849,825
2,548,152 22,745,150
7,956 2,363,350
24,297,823 180,428,428
32,597,790$ 263,484,841$
See Notes to Financial Statements 18
CITY OF LA QUINTA
RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF NET ASSETS
JUNE 30, 2009
Fund balances of governmental funds 180,428,428$
Amounts reported for governmental activities in the Statement of Net Assets are
different because:
Capital assets net of depreciation have not been included as financial resources
in governmental fund activity:
Infrastructure and right-of-way 459,878,794
Other capital assets 158,310,170
Accumulated depreciation (75,271,832)
Long-term debt and compensated absences that have not been included in the
governmental fund activity:
Bonds payable (228,910,000)
Unamortized bond premium/discount 804,944
Unamortized cost of issuance 4,241,470
Other long-term liabilities (7,253,984)
Compensated absences (911,539)
Accrued interest payable for the current portion of interest due on long-term debt
has not been reported in the governmental funds. (4,071,598)
Revenues reported as deferred revenue in the governmental funds and recognized
in the Statement of Activities. These are included in the intergovernmental revenues
in the governmental fund activity.16,779,332
Internal service funds are used by management to charge the costs of certain
activities, such as equipment management and self-insurance, to individual funds.
The assets and liabilities of the internal service funds must be added to the
Statement of Net Assets.21,705,863
The net post-employment benefit liability is recorded in the government-wide
financial statements but not in the fund financial statements.(107,944)
Net assets of governmental activities 525,622,104$
See Notes to Financial Statements 19
CITY OF LA QUINTA
STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Capital
Projects Funds
General
Revenues:
Taxes 20,687,205$ 10,129,845$ 5,695,928$ -$
Assessments - - - -
Licenses and permits 871,167 - - -
Intergovernmental 8,907,566 - 327,205 2,491,732
Charges for services 663,738 - - -
Use of money and property 4,196,101 227,847 406,256 -
Fines and forfeitures 434,635 - - -
Contributions - - - -
Developer participation - - 16,136 900,834
Miscellaneous 121,691 91,632 48,360 -
Total Revenues 35,882,103 10,449,324 6,493,885 3,392,566
Expenditures:
Current:
General government 6,266,263 - - -
Public safety 18,905,111 - - -
Planning and development 1,367,350 1,380,108 1,072,134 -
Community services 2,989,567 - - -
Public works 4,667,193 - - -
Capital outlay 434,241 6,188,260 - 25,665,723
Debt service:
Principal retirement 32,925 - 24,715 205,972
Interest and fiscal charges - - 131,279 42,482
Pass-through agreement payments - - - -
Total Expenditures 34,662,650 7,568,368 1,228,128 25,914,177
Excess (Deficiency) of Revenues
Over (Under) Expenditures 1,219,453 2,880,956 5,265,757 (22,521,611)
Other Financing Sources (Uses):
Transfers in 353,550 - 307,656 22,521,611
Transfers out (1,697,641) (4,752,176) (2,199,766) -
Other debts issued - 2,332,752 - -
Total Other Financing Sources
(Uses)(1,344,091) (2,419,424) (1,892,110) 22,521,611
Net Change in Fund Balances (124,638) 461,532 3,373,647 -
Fund Balances, Beginning of Year 92,452,019 5,786,861 16,513,674 -
Fund Balances, End of Year 92,327,381$ 6,248,393$ 19,887,321$ -$
Special Revenue Funds
Low/Moderate
Income Housing
PA No. 1
Low/Moderate
Income Housing
PA No. 2
Capital
Improvement
See Notes to Financial Statements 20
CITY OF LA QUINTA
STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Taxes
Assessments
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Contributions
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Planning and development
Community services
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Pass-through agreement payments
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Other debts issued
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
(Continued)
-$ -$ 40,519,380$ 22,783,714$
- - - -
- - - -
- - - -
- - - -
- 684,429 220,854 269,131
- - - -
- - - -
145,087 - - -
- - - -
145,087 684,429 40,740,234 23,052,845
205,776 - 484,171 261,348
- - - -
- 1,007,276 - -
- - - -
- - - -
- - - -
- - 3,745,968 315,000
163,478 - 8,350,190 1,961,712
- - 23,240,384 19,186,286
369,254 1,007,276 35,820,713 21,724,346
(224,167) (322,847) 4,919,521 1,328,499
- 5,000,000 4,444,520 1,953,599
- (2,872,058) (8,966,396) (1,953,599)
- - - -
- 2,127,942 (4,521,876) -
(224,167) 1,805,095 397,645 1,328,499
(9,393,000) 43,124,188 5,084,497 (4,455,247)
(9,617,167)$ 44,929,283$ 5,482,142$ (3,126,748)$
Debt Service FundsCapital Projects Funds
Civic Center
Redevelopment
Agency PA No. 1
Redevelopment
Agency PA No. 1
Redevelopment
Agency PA No. 2
See Notes to Financial Statements 21
CITY OF LA QUINTA
STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Taxes
Assessments
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Contributions
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Planning and development
Community services
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Pass-through agreement payments
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Other debts issued
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
Other Total
Governmental Governmental
Funds Funds
-$ 99,816,072$
927,816 927,816
- 871,167
6,952,851 18,679,354
10,041 673,779
1,279,619 7,284,237
- 434,635
- -
1,181,728 2,243,785
23,867 285,550
10,375,922 131,216,395
12,878 7,230,436
41,755 18,946,866
2,434,967 7,261,835
1,709,418 4,698,985
1,656,862 6,324,055
75,635 32,363,859
1,995,000 6,319,580
4,699,457 15,348,598
- 42,426,670
12,625,972 140,920,884
(2,250,050) (9,704,489)
5,921,994 40,502,930
(18,086,294) (40,527,930)
- 2,332,752
(12,164,300) 2,307,752
(14,414,350) (7,396,737)
38,712,173 187,825,165
24,297,823$ 180,428,428$
See Notes to Financial Statements 22
CITY OF LA QUINTA
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
JUNE 30, 2009
Net change in fund balances - total governmental funds (7,396,737)$
Amounts reported for governmental activities in the Statement of Activities are
different because:
Governmental funds report capital outlays as expenditures. However, in the Statement
of Activities, the costs of those assets is allocated over their estimated useful lives
as depreciation expense. This is the amount by which capital outlays exceeded
depreciation in the current period.
Capital outlay 32,363,859
Depreciation expense (9,809,578)
The issuance of long-term liabilities provides current financial resources in the
governmental funds, but issuing debt increases the long-term liabilities in the
Statement of Net Assets. Repayment of principal is an expenditure in the
governmental funds, but the repayment reduces long-term liabilities in the
Statement of Net Assets.
New debt issued (2,332,752)
Repayment of principal 6,319,580
Amortization of issuance costs, premiums and discounts (362,403)
Accrued interest for long-term liabilities. This is the net change in accrued interest
for the current period.79,563
Compensated absences expenses reported in the Statement of Activities do not
require the use of current financial resources and, therefore, are not reported as
expenditures in governmental funds.(190,256)
Revenues reported as deferred revenue in the governmental funds and recognized
in the Statement of Activities. These are included in the intergovernmental revenues
in the governmental fund activity.(2,376,032)
Internal service funds are used by management to charge the costs of certain
activities, such as equipment management and self-insurance, to individual funds.
The net revenues (expenses) of the internal service funds is reported with
governmental activities.624,241
Change in net assets of governmental activities 16,919,485$
See Notes to Financial Statements 23
CITY OF LA QUINTA
BUDGETARY COMPARISON STATEMENT BY DEPARTMENT
GENERAL FUND
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 92,452,019$ 92,452,019$ 92,452,019$ -$
Resources (Inflows):
Taxes 23,410,100 23,064,554 20,687,205 (2,377,349)
Licenses and permits 1,264,080 834,080 871,167 37,087
Intergovernmental 9,240,800 14,441,467 8,907,566 (5,533,901)
Charges for services 722,029 541,609 663,738 122,129
Use of money and property 4,258,078 4,168,078 4,196,101 28,023
Fines and forfeitures 270,000 270,000 434,635 164,635
Miscellaneous 98,776 98,776 121,691 22,915
Transfers in 838,171 405,959 353,550 (52,409)
Amounts Available for Appropriation 132,554,053 136,276,542 128,687,672 (7,588,870)
Charges to Appropriation (Outflow):
General government
Legislative 1,010,322 1,011,422 905,083 106,339
City Manager 452,143 367,992 408,086 (40,094)
Development Services 2,138,497 2,155,076 1,768,500 386,576
Management Services 1,547,699 1,493,899 1,396,937 96,962
City Clerk 715,586 695,783 608,386 87,397
Fiscal Services 926,626 837,824 849,212 (11,388)
Central Services 402,511 402,511 330,059 72,452
Total general government 7,193,384 6,964,507 6,266,263 698,244
Public safety
Police 11,948,610 12,017,952 11,522,687 495,265
Building & Safety Admin.395,318 300,373 356,687 (56,314)
Building 989,516 967,320 942,093 25,227
Code Compliance 997,512 997,975 971,551 26,424
Animal Control 407,510 408,210 380,868 27,342
Civic Center Bldg 585,926 566,416 507,270 59,146
Fire 4,819,375 4,893,085 4,066,235 826,850
Emergency Services 151,274 155,774 157,720 (1,946)
Total public safety 20,295,041 20,307,105 18,905,111 1,401,994
Planning and Development
Administration 1,065,142 1,535,886 761,091 774,795
Current Planning 675,286 753,586 606,259 147,327
Total planning and development 1,740,428 2,289,472 1,367,350 922,122
Community Services
Community Services Admin 1,055,656 1,291,811 971,724 320,087
Senior Center 436,902 364,802 403,145 (38,343)
Parks & Recreation 223,579 230,779 208,331 22,448
Park Maintenance 1,421,031 1,421,331 1,406,367 14,964
Total community services 3,137,168 3,308,723 2,989,567 319,156
Public works
Administration 718,443 685,523 644,425 41,098
Development Services 1,091,168 1,017,350 981,811 35,539
Maintenance/Operations - Street 2,640,789 2,950,373 720,869 2,229,504
Maintenance/Operations - Lighting 1,230,321 1,143,354 989,341 154,013
Traffic 549,479 680,189 564,329 115,860
Construction Management 821,577 256,072 766,418 (510,346)
Total public works 7,051,777 6,732,861 4,667,193 2,065,668
Capital outlay 420,446 660,128 434,241 225,887
Debt service:
Principal retirement - - 32,925 (32,925)
Transfers out 715,454 5,973,790 1,697,641 4,276,149
Total Charges to Appropriations 40,553,698 46,236,586 36,360,291 9,876,295
Budgetary Fund Balance, June 30 92,000,355$ 90,039,956$ 92,327,381$ 2,287,425$
See Notes to Financial Statements 24
CITY OF LA QUINTA
BUDGETARY COMPARISON STATEMENT
LOW/MODERATE INCOME HOUSING PA NO. 1
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 5,786,861$ 5,786,861$ 5,786,861$ -$
Resources (Inflows):
Taxes 11,501,200 11,169,000 10,129,845 (1,039,155)
Use of money and property 53,000 25,000 (12,744) (37,744)
Contributions 225,000 225,000 240,591 15,591
Miscellaneous - 100,650 91,632 (9,018)
Other debts issued - 2,453,458 2,332,752 (120,706)
Proceeds from sale of capital assets 150,000 150,000 - (150,000)
Amounts Available for Appropriation 17,716,061 19,909,969 18,568,937 (1,341,032)
Charges to Appropriation (Outflow):
Planning and development 1,691,131 1,770,240 1,380,108 390,132
Capital outlay - 6,517,255 6,188,260 328,995
Transfers out 4,444,479 4,752,135 4,752,176 (41)
Total Charges to Appropriations 6,135,610 13,039,630 12,320,544 719,086
Budgetary Fund Balance, June 30 11,580,451$ 6,870,339$ 6,248,393$ (621,946)$
See Notes to Financial Statements 25
CITY OF LA QUINTA
BUDGETARY COMPARISON STATEMENT
LOW/MODERATE INCOME HOUSING PA NO. 2
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 16,513,674$ 16,513,674$ 16,513,674$ -$
Resources (Inflows):
Taxes 5,872,700 5,843,250 5,695,928 (147,322)
Intergovernmental - 335,392 327,205 (8,187)
Use of money and property 380,500 431,780 406,256 (25,524)
Developer participation - - 16,136 16,136
Miscellaneous - 47,817 48,360 543
Transfers in - 307,656 307,656 -
Amounts Available for Appropriation 22,766,874 23,479,569 23,315,215 (164,354)
Charges to Appropriation (Outflow):
Planning and development 878,844 1,419,180 1,072,134 347,046
Debt service:
Principal retirement - 22,294 24,715 (2,421)
Interest and fiscal charges - 137,544 131,279 6,265
Transfers out 1,983,598 4,780,742 2,199,766 2,580,976
Total Charges to Appropriations 2,862,442 6,359,760 3,427,894 2,931,866
Budgetary Fund Balance, June 30 19,904,432$ 17,119,809$ 19,887,321$ 2,767,512$
See Notes to Financial Statements 26
CITY OF LA QUINTA
STATEMENT OF NET ASSETS
PROPRIETARY FUNDS
JUNE 30, 2009
Governmental
Activities-
Internal
Service Funds
Assets:
Cash and investments 237,757$ 5,607,458 $
Receivables:
Accounts 15,356 -
Accrued interest 231 6,307
Prepaid costs 1,865 -
Deposits 250,000 -
Inventories 63,334 -
Total Current Assets 568,543 5,613,765
Noncurrent:
Capital assets - net of accumulated depreciation 42,821,825 16,111,863
Total Noncurrent Assets 42,821,825 16,111,863
Total Assets 43,390,368$ 21,725,628$
Liabilities and Net Assets:
Liabilities:
Current:
Accounts payable 161,908$ 9,197$
Accrued liabilities 2,093 3,007
Unearned revenues 2,521 -
Deposits payable 49,000 -
Capital leases payable 230,674 -
Total Current Liabilities 446,196 12,204
Noncurrent:
Advances from other funds 4,290,475 -
Compensated absences - 7,561
Capital leases payable 54,543 -
Total Noncurrent Liabilities 4,345,018 7,561
Total Liabilities 4,791,214 19,765
Net Assets:
Invested in capital assets, net of related debt 42,536,608 16,111,863
Unrestricted (3,937,454) 5,594,000
Total Net Assets 38,599,154 21,705,863
Total Liabilities and Net Assets 43,390,368$ 21,725,628$
Business-Type
Activities -
Enterprise
Funds
Golf Course
See Notes to Financial Statements 27
CITY OF LA QUINTA
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET ASSETS
PROPRIETARY FUNDS
JUNE 30, 2009
Governmental
Activities-
Internal
Service Funds
Operating Revenues:
Sales and service charges 3,368,135$ 1,624,476$
Total Operating Revenues 3,368,135 1,624,476
Operating Expenses:
Salaries and benefits 77,080 113,131
Fuel and oil - 79,531
Maintenance and parts - 101,560
Contract services 3,571,252 135,274
Software and supplies - 106,209
Depreciation 637,237 799,628
Other 65,784 22,428
Total Operating Expenses 4,351,353 1,357,761
Operating Income (Loss)(983,218) 266,715
Nonoperating Revenues (Expenses):
Interest revenue 3,074 103,007
Interest expense (89,193) -
Gain (loss) on disposal of capital assets - 21,542
Total Nonoperating
Revenues (Expenses)(86,119) 124,549
Income (Loss) Before Contributions and Transfers (1,069,337) 391,264
Capital contributions - 207,977
Transfers in - 25,000
Changes in Net Assets (1,069,337) 624,241
Net Assets:
Beginning of Year 39,668,491 21,081,622
Change in Net Assets (1,069,337) 624,241
End of Fiscal Year 38,599,154$ 21,705,863$
Business-Type
Activities -
Enterprise
Funds
Golf Course
See Notes to Financial Statements 28
CITY OF LA QUINTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2009
Governmental
Activities-
Internal
Service Funds
Cash Flows from Operating Activities:
Cash received from customers and users 3,366,124$ -$
Cash received from/(paid to) interfund service provided (11,058) 1,624,476
Cash paid to suppliers for goods and services (3,603,076) (461,072)
Cash paid to employees for services (76,744) (108,822)
Net Cash Provided (Used) by Operating Activities (324,754) 1,054,582
Cash Flows from Non-Capital
Financing Activities:
Cash transfers in - 25,000
Advance from other funds 875,202 -
Net Cash Provided (Used) by
Non-Capital Financing Activities 875,202 25,000
Cash Flows from Capital
and Related Financing Activities:
Acquisition and construction of capital assets - (136,450)
Principal paid on capital debt (395,830) -
Interest paid on capital debt (89,193) -
Proceeds from sales of capital assets - 21,542
Net Cash Provided (Used) by
Capital and Related Financing Activities (485,023) (114,908)
Cash Flows from Investing Activities:
Interest received 3,331 115,187
Net Cash Provided (Used) by
Investing Activities 3,331 115,187
Net Increase (Decrease) in Cash
and Cash Equivalents 68,756 1,079,861
Cash and Cash Equivalents at Beginning of Year 169,001 4,527,597
Cash and Cash Equivalents at End of Year 237,757$ 5,607,458$
Business-Type
Activities -
Enterprise
Funds
Golf Course
See Notes to Financial Statements 29
CITY OF LA QUINTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2009
Governmental
Activities-
Internal
Service Funds
Business-Type
Activities -
Enterprise
Funds
Golf Course
Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:
Operating income (loss)(983,218.00)$ 266,715.00$
Adjustments to reconcile operating income (loss)
net cash provided (used) by operating activities:
Depreciation 637,237 799,628
(Increase) decrease in accounts receivable (3,266) -
(Increase) decrease in inventories 707 -
Increase (decrease) in accounts payable 10,195 (16,070)
Increase (decrease) in accrued liabilities 336 676
Increase (decrease) in deposits payable 12,000 -
Increase (decrease) in unearned revenue 1,255 -
Increase (decrease) in compensated absences - 3,633
Total Adjustments 658,464 787,867
Net Cash Provided (Used) by
Operating Activities (324,754)$ 1,054,582$
Non-Cash Investing, Capital, and Financing Activities:
Capital assets contributed by other funds -$ 207,977$
See Notes to Financial Statements 30
CITY OF LA QUINTA
STATEMENT OF FIDUCIARY NET ASSETS
FIDUCIARY FUNDS
JUNE 30, 2009
Agency
Funds
Assets:
Cash and investments 566,970$
Receivables:
Taxes 11,296
Accrued interest 655
Total Assets 578,921$
Liabilities:
Deposits payable 578,921$
Total Liabilities 578,921$
See Notes to Financial Statements 31
THIS PAGE INTENTIONALLY LEFT BLANK
32
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2009
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Note 1: Summary of Significant Accounting Policies
a. Reporting Entity
The City of La Quinta (“the City”) was incorporated May 1, 1982, under the general laws
of the State of California. In November 1996, the City became a charter City. The City
operates under the Council – Manager form of government.
The City provides many community services including public safety, highway and street
maintenance, health and social services, cultural and leisure services, public
improvements, planning and zoning services, and community development services.
The accounting policies of the City conform to generally accepted accounting principles
as applicable to governments. As required by generally accepted accounting principles,
these financial statements present the government and its component units, which are
entities for which the government is considered to be financially accountable. The City is
considered to be financially accountable for an organization if the City appoints a voting
majority of that organization’s governing body and the City is able to impose its will on
that organization or there is a potential for that organization to provide specific financial
benefits to or impose specific financial burdens on the City. The City is also considered
to be financially accountable if an organization is fiscally dependent (i.e., it is unable to
adopt its budget, levy taxes, set rates or charges, or issue bonded debt without approval
from the City). In certain cases, other organizations are included as component units if
the nature and significance of their relationship with the City are such that their exclusion
would cause the City’s financial statements to be misleading or incomplete.
All of the City’s component units are considered to be blended component units. Blended
component units, although legally separate entities, are, in substance, part of the
government’s operations and so data from these units are reported with the interfund
data of the primary government.
The following organizations are considered to be component units of the City:
La Quinta Redevelopment Agency
The La Quinta Redevelopment Agency (Agency) has established two redevelopment
project areas pursuant to the State of California Health & Safety Code, Section
33000 entitled “Community Redevelopment Law”. On November 29, 1983 and
May 16, 1989, the City Council approved and adopted the Redevelopment Plans for
the La Quinta Redevelopment Project Areas No. 1 and No. 2, respectively. These
plans provide for the elimination of blight and deterioration, which was found to exist
in the project areas. Although the Agency is legally separate, it is reported as if it
were part of the City because the City Council also serves as the governing board of
the Agency. Separate financial statements of the Agency can be obtained at City
Hall.
33
City of La Quinta
Notes to Financial Statements (Continued)
Note 1: Summary of Significant Accounting Policies (Continued)
City of La Quinta Public Financing Authority
The La Quinta Public Financing Authority (Authority) was established pursuant to a
Joint Exercise of Powers Agreement dated November 19, 1991, between the City of
La Quinta and the La Quinta Redevelopment Agency. The purpose of the Authority
is to provide financing necessary for the construction of various public improvements
through the issuance of debt. Although the Authority is legally separate, it is reported
as if it were part of the City because the City Council also serves as the governing
board of the Authority. Separate financial statements of the Authority are not
prepared.
b. Government-Wide and Fund Financial Statements
The basic financial statements of the City are composed of the following:
Government-wide financial statements
Fund financial statements
Notes to the financial statements
Financial reporting is based upon all GASB pronouncements, as well as the FASB
Statements and Interpretations, APB Opinions, and Accounting Research Bulletins that
were issued on or before November 30, 1989, that does not conflict with or contradict
GASB pronouncements.
Government-wide Financial Statements
The government-wide financial statements (i.e., the statement of net assets and the
statement of activities) report information on all of the nonfiduciary activities of the
primary government and its component units. For the most part, the effect of
interfund activity has been removed from these statements. Governmental activities,
which normally are supported by taxes and intergovernmental revenues, are reported
separately from business-type activities, which rely to a significant extent on fees and
charges for support.
The statement of activities demonstrates the degree to which the direct expenses of
a given function or segment are offset by program revenues. Direct expenses are
those that are clearly identifiable with a specific function or segment. Program
revenues include charges for services, special assessments, and payments made by
parties outside of the reporting government’s citizenry if that money is restricted to a
particular program. Program revenues are netted with program expenses in the
statement of activities to present the net cost of each program. Taxes and other items
not properly included among program revenues are reported instead as general
revenues.
Amounts paid to acquire capital assets are capitalized as assets in the
government-wide financial statements, rather than reported as expenditure.
Proceeds of long-term debt are recorded as a liability in the government-wide
financial statements, rather than as other financing source. Amounts paid to reduce
long-term indebtedness of the reporting government are reported as a reduction of
the related liability, rather than as expenditure.
34
City of La Quinta
Notes to Financial Statements (Continued)
Note 1: Summary of Significant Accounting Policies (Continued)
Fund Financial Statements
The underlying accounting system of the City is organized and operated on the basis
of separate funds, each of which is considered to be a separate accounting entity.
The operations of each fund are accounted for with a separate set of self-balancing
accounts that comprise its assets, liabilities, fund equity, revenues and expenditures
or expenses, as appropriate. Governmental resources are allocated to and
accounted for in individual funds based upon the purposes for which they are to be
spent and the means by which spending activities are controlled.
Fund financial statements for the governmental, proprietary, and fiduciary funds are
presented after the government-wide financial statements. These statements display
information about major funds individually and nonmajor funds in the aggregate for
governmental and enterprise funds. Fiduciary statements include financial
information for fiduciary funds and similar component units. Fiduciary funds of the
City primarily represent assets held by the City in a custodial capacity for other
individuals or organizations.
c. Measurement Focus, Basis of Accounting and Financial Statement Presentation
Government-wide Financial Statements
The government-wide financial statements are reported using the economic
resources measurement focus and the accrual basis of accounting, as are the
proprietary fund and fiduciary fund financial statements. Revenues are recorded
when earned and expenses are recorded when a liability is incurred, regardless of
the timing of related cash flows. Property taxes are recognized as revenues in the
year for which they are levied. Grants and similar items are recognized as revenue as
soon as all eligibility requirements imposed by the provider have been met.
Governmental Funds
In the fund financial statements, governmental funds are presented using the
modified-accrual basis of accounting. Their revenues are recognized when they
become measurable and available as net current assets. Measurable means that the
amounts can be estimated, or otherwise determined. Available means that the
amounts were collected during the reporting period or soon enough thereafter to be
available to finance the expenditures accrued for the reporting period. The City uses
a 60 day availability period, with the exception of gas tax which is 120 days.
Revenue recognition is subject to the measurable and availability criteria for the
governmental funds in the fund financial statements. Exchange transactions are
recognized as revenues in the period in which they are earned (i.e., the related
goods or services are provided). Locally imposed delivered tax revenues are
recognized as revenues in the period in which the underlying exchange transaction
on which they are based takes place. Imposed non-exchange transactions are
recognized as revenues in the period for which they were imposed. If the period of
use is not specified, they are recognized as revenues when an enforceable legal
claim to the revenues arises or when they are received, whichever occurs first.
Government-mandated and voluntary non-exchange transactions are recognized as
revenues when all applicable eligibility requirements have been met.
35
City of La Quinta
Notes to Financial Statements (Continued)
Note 1: Summary of Significant Accounting Policies (Continued)
In the fund financial statements, governmental funds are presented using the current
financial resources measurement focus. This means that only current assets and
current liabilities are generally included on their balance sheets. The reported fund
balance (net current assets) is considered to be a measure of “available spendable
resources”. Governmental fund operating statements present increases (revenues
and other financing sources) and decreases (expenditures and other financing uses)
in net current assets. Accordingly, they are said to present a summary of sources
and uses of “available spendable resources” during a period.
Non-current portions of long-term receivables due to governmental funds are
reported on their balance sheets in spite of their spending measurement focus.
Special reporting treatments are used to indicate, however, that they should not be
considered “available spendable resources”, since they do not represent net current
assets. Recognition of governmental fund type revenues represented by noncurrent
receivables are deferred until they become current receivables. Noncurrent portions
of other long-term receivables are offset by fund balance reserve accounts.
Because of their spending measurement focus, expenditure recognition for
governmental fund types excludes amounts represented by noncurrent liabilities.
Since they do not affect net current assets, such long-term amounts are not
recognized as governmental fund type expenditures or fund liabilities.
Amounts expended to acquire capital assets are recorded as expenditures in the
year that resources were expended, rather than as fund assets. The proceeds of
long-term debt are recorded as other financing sources rather than as a fund liability.
Amounts paid to reduce long-term indebtedness are reported as fund expenditures.
When both restricted and unrestricted resources are combined in a fund, expenses
are considered to be paid first from restricted resources, and then from unrestricted
resources.
Proprietary Funds
The City’s enterprise and internal service funds are proprietary funds. In the fund
financial statements, proprietary funds are presented using the accrual basis of
accounting. Revenues are recognized when they are earned and expenses are
recognized when the related goods or services are delivered. In the fund financial
statements, proprietary funds are presented using the economic resources
measurement focus. This means that all assets and all liabilities (whether current or
noncurrent) associated with their activity are included on their balance sheets.
Proprietary fund type operating statements present increases (revenues) and
decreases (expenses) in total net assets.
Amounts paid to acquire capital assets are capitalized as assets in the proprietary
fund financial statements, rather than reported as expenditures. Proceeds of
long-term debt are recorded as a liability in the proprietary fund financial statements,
rather than as another financing source. Amounts paid to reduce long-term
indebtedness of the proprietary funds are reported as a reduction of the related
liability, rather than as expenditures.
Proprietary funds distinguish operating revenues and expenses from nonoperating
items. Operating revenues and expenses generally result from providing services and
producing and delivering goods in connection with a proprietary fund's principal
ongoing operations. The principal operating revenues of the Enterprise Funds are
charges to customers for sales and services.
36
City of La Quinta
Notes to Financial Statements (Continued)
Note 1: Summary of Significant Accounting Policies (Continued)
Operating expenses for Enterprises Funds include the cost of sales and services,
administrative expenses and depreciation on capital assets. All revenues and
expenses not meeting this definition are reported as nonoperating revenues and
expenses.
Private-sector standards of accounting and financial reporting issued prior to
December 1989, generally are followed in both the government-wide and proprietary
fund financial statements to the extent that those standards do not conflict with or
contradict guidance of the Governmental Accounting Standards Board. Governments
also have the option of following subsequent private-sector guidance for their
business-type activities and enterprise funds, subject to this same limitation. The
government has elected not to follow subsequent private-sector guidance.
Fiduciary Funds
The City’s fiduciary funds are agency funds. Agency funds are custodial in nature.
Assets equal liabilities. Agency funds are presented using the accrual basis of
accounting.
d. Major Funds, Internal Service Funds and Fiduciary Fund Types
The City’s major governmental funds are as follows:
General Fund – This fund is the primary fund of the City and is used to account for all
revenue and expenditures of the City not legally restricted as to use. A broad range
of municipal activities are provided through this fund including City Manager, City
Attorney, Finance, City Clerk, Community Development, Police Services, Public
Works, Building and Safety, and Community Services.
Low / Moderate Income Housing – Project Area No. 1 Fund – This fund is used to
account for the required 20% set aside of property tax increments that is legally
restricted for increasing and improving housing for low and moderate income
households.
Low / Moderate Income Housing – Project Area No. 2 Fund – This fund is used to
account for the required 20% set aside of property tax increments that is legally
restricted for increasing and improving housing for low and moderate income
households.
Capital Improvement Fund – This capital projects fund is used to account for the
planning, design and construction of various capital projects throughout the City of
La Quinta and the La Quinta Redevelopment Agency.
Civic Center Fund – To account for the accumulation of resources provided through
developer fees for the acquisition, construction, or improvement of the Civic Center.
Redevelopment Agency Project Area No. 1 – Capital Project Fund – To account for
the bond proceeds, interest and other funding that will be used for development,
planning, construction and land acquisition.
Redevelopment Agency Project Area No. 1 - Debt Service Fund – This debt service
fund is used to account for the accumulation of resources for the payment of debt
service for bond principal and interest and trustee fees for Project Area No. 1.
37
City of La Quinta
Notes to Financial Statements (Continued)
Note 1: Summary of Significant Accounting Policies (Continued)
Redevelopment Agency Project Area No. 2 - Debt Service Fund – This Debt service
fund is used to account for the accumulation of resources for the payment of debt
service for bond principal, interest and trustee fees for Project Area No. 2.
The City’s major proprietary fund is as follows:
Golf Course – To account for the activities of the SilverRock Golf Resort.
Other fund types of the City are as follows:
Internal Service Funds:
Equipment Replacement Fund – This fund accounts for equipment and vehicle
maintenance and replacement services provided to other departments on a
cost-reimbursement basis.
Information Technology Fund – This fund is used to account for the acquisition
for computer equipment, maintenance, and services to support information
systems within the City. Costs are reimbursed by the benefiting departments.
Park Equipment and Facilities Fund – This fund is used to account for the
purchase and replacement of City owned park facility infrastructure. Costs are
reimbursed by the benefiting departments.
Agency Funds: These funds account for assets held by the City as an agency for
assessment district bondholders.
e. Assets, Liabilities and Net Assets or Equity
Investments
For financial reporting purposes, investments are adjusted to their fair value.
Changes in fair value that occur during a fiscal year are recognized as investment
income reported for that fiscal year. Investment income includes interest earnings,
changes in fair value, and any gains or losses realized upon the liquidation or sale of
investments. Some investments are valued on an unamortized cost basis. For these
investments, there is no material difference from fair value.
The City pools cash and investments of all funds, except for assets held by fiscal
agents. Each fund’s share in this pool is displayed in the accompanying financial
statements as cash and investments. Investment income earned by the pooled
investments is allocated to the various funds based on each fund’s average cash and
investment balance.
Cash and Cash Equivalents
For purposes of the statement of cash flows, cash equivalents are defined as
short-term, highly liquid investments that are both readily convertible to known
amounts of cash or so near their maturity that they present insignificant risk of
changes in value because of changes in interest rates. Cash equivalents also
represent the proprietary fund’s share in the cash and investment pool of the City of
La Quinta. Cash equivalents have an original maturity date of three months or less
from the date of purchase. For purposes of the statement of cash flows, the entire
balance of cash and investments on the combined balance sheet for the proprietary
funds is considered cash and cash equivalents.
38
City of La Quinta
Notes to Financial Statements (Continued)
Note 1: Summary of Significant Accounting Policies (Continued)
Inventory
Inventory is valued at cost using the first in / first out (FIFO) method. The City uses
the consumption method of accounting for inventories.
Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and
are recorded as prepaid items in both government-wide and fund financial
statements.
Capital Assets
Capital assets (including infrastructure) are recorded at cost where historical records
are available and at an estimated historical cost where no historical records exist.
Contributed capital assets are valued at their estimated fair market value at the date
of the contribution. Generally, capital asset purchases in excess of $5,000 are
capitalized if they have an expected useful life of three years or more.
Capital Assets include public domain (infrastructure) consisting of certain
improvements including roads, streets, sidewalks, medians, and storm drains.
Capital assets used in operations are depreciated over their estimated useful lives
using the straight-line method in the governm ent-wide financial statements and in the
fund financial statements of the proprietary funds. Depreciation is charged as an
expense against operations and accumulated depreciations is reported on the
respective balance sheet.
The following schedule summarizes capital asset useful lives:
Buildings and improvements 10-30 years
Equipment and furniture 3-20 years
Vehicles 5-10 years
Infrastructure 10-50 years
Software 5-10 years
Compensated Absences
Sick time is vested on a percentage based on number of years employed at the City.
Maximum accumulation of sick and vacation is 30 and 40 days, respectively.
Upon termination or retirement, permanent employees are entitled to receive
compensation at their current base salary for all unused vacation leave. If an
employee terminates with a minimum of two years service, the employee is entitled to
receive 25% of the value of his unused sick leave. The percentage increases by
25% for each five-year period until the employee is entitled to 75% of the value of his
unused sick leave. This will occur upon the completion of ten years of continuous
employment.
Fund Balance
In the fund financial statements, governmental funds report reservations of fund
balance for amounts that are not available for appropriation or are legally restricted
by outside parties for use for a specific purpose.
39
City of La Quinta
Notes to Financial Statements (Continued)
II. STEWARDSHIP
Note 2: Stewardship, Compliance and Accountability
a. Budgetary Data
General Budget Policies
The City adopts an annual budget prepared on the modified accrual basis of
accounting for its governmental funds and on the accrual basis of accounting for its
proprietary funds. The City manager or his designee is authorized to transfer
budgeted amounts between the accounts of any department or funds that are
approved by City Council. Prior year appropriations lapse unless they are approved
for carryover into the following fiscal year. Expenditures may not legally exceed
appropriations at the department level.
Encumbrances
Encumbrances are estimations of costs related to unperformed contracts for goods
and services. These commitments are recorded for budgetary control purposes in
the General, Special Revenue, and similar governmental funds. Encumbrances
outstanding at year-end are reported as a reservation of fund balance. They
represent the estimated amount of the expenditure ultimately to result if unperformed
contracts in process at year end are completed. They do not constitute expenditures
or estimated liabilities.
Budget Basis of Accounting
Budgets for governmental funds are adopted on a basis consistent with generally
accepted accounting principles (GAAP).
b. At June 30, 2009, the following funds had deficit fund balances:
Major Capital Projects Funds:
Civic Center (9,617,167)$
Major Debt Service Funds:
Redevelopment Agency PA No. 2 (3,126,748)
Nonmajor Special Revenue Funds:
Library (131,086)
Nonmajor Capital Projects Funds:
Library (131,086)
Parks and Recreation (1,444,776)
Library Development (1,940,626)
Fire Facility (935,718)
40
City of La Quinta
Notes to Financial Statements (Continued)
Note 2: Stewardship, Compliance and Accountability (Continued)
c. Excess of expenditures over appropriations are as follows:
Expenditures for the year ended June 30, 2009, exceeded the appropriations of the
General Fund and major special revenue funds as follows:
Budget Actual Variance
General Fund:
General Government
City Manager 367,992$ 408,086$ (40,094)$
Fiscal services 837,824 849,212 (11,388)
Public Safety
Building & safety admin 300,373 356,687 (56,314)
Emergency services 155,774 157,720 (1,946)
Community Services
Senior center 364,802 403,145 (38,343)
Public Works
Construction management 256,072 766,418 (510,346)
III. DETAILED NOTES ON ALL FUNDS
Note 3: Cash and Investments
Cash and investments as of June 30, 2009, are classified in the accompanying financial
statements as follows:
Statement of Net Assets:
Cash and investments 174,402,127$
Cash with fiscal agent 18,728,838
Statement of Fiduciary Net Assets:
Cash and investments 566,970
Total cash and investments 193,697,935$
Cash and investments as of June 30, 2009, consist of the following:
Cash on hand 1,565$
Deposits with financial institutions 986,916
Investments 192,709,454
Total cash and investments 193,697,935$
41
City of La Quinta
Notes to Financial Statements (Continued)
Note 3: Cash and Investments (Continued)
Investments Authorized by the California Government Code and the Entity’s Investment
Policy
The table below identifies the investment types that are authorized by the California
Government Code and the City’s investment policy. The table also identifies certain
provisions of the California Government Code (or the City’s investment policy, if more
restrictive) that address interest rate risk, credit risk, and concentration of credit risk. This
table does not address investments of debt proceeds held by bond trustee that are governed
by the provisions of debt agreements of the City, rather than the general provisions of the
California Government Code or the City’s investment policy.
Investment Types
Authorized by State Law
*Maximum
Maturity
*Maximum
Percentage of
Portfolio
*Maximum
Investment
In One
Issuer
U.S. Treasury Obligations 5 years None None
U.S. Agency Securities 3 years None $20 million
Commercial Paper 90 days 15% $5 million
Certificates of Deposit 3 years 60% None
Medium-Term Notes 3 years 10% $5 million
Money Market Mutual Funds 60 days 60%10%
Local Agency Investment Fund (LAIF) N/A 25% $40 million
Investment Agreements N/A N/A N/A
* Based on state law requirements or investment policy requirements,
whichever is more restrictive
Investments Authorized by Debt Agreements
Investments of debt proceeds held by bond trustee are governed by provisions of the debt
agreements, rather than the general provisions of the California Government Code or the
City’s investment policy. The table below identifies the investment types that a re authorized
for investments held by bond trustee. The table also identifies certain provisions of these
debt agreements that address interest rate risk, credit risk, and concentration of credit risk.
Maximum
Maturity
Maximum
Percentage
Allowed
U.S. Treasury Obligations None None
U.S. Agency Securities None None
Banker's Acceptance 360 days None
Commercial Paper 270 days None
Money Market Mutual Funds N/A None
Negotiable Certificates of Deposit 360 days None
Authorized Investment Type
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair
value of an investment. Generally, the longer the maturity of an investment, the greater the
sensitivity of its fair value to changes in market interest rates.
42
City of La Quinta
Notes to Financial Statements (Continued)
Note 3: Cash and Investments (Continued)
One of the ways that the City manages its exposure to interest rate risk is by purchasing a
combination of short term and long term investments and by timing cash flows from maturities
so that a portion of the portfolio is maturing or coming close to maturity evenly over time as
necessary to provide the cash flow and liquidity needed for operations.
Information about the sensitivity of the fair values of the City’s investments (including
investments held by bond trustee) to market interest rate fluctuations is provided by the
following table that shows the distribution of the City’s investments by maturity:
Total
6 Months
or Less
6 Months to 1
Year 1 to 3 Years
U.S. Treasury bills 99,898,396$ 99,898,396$ -$ -$
Certificates of Deposit 969,000 - - 969,000
Commercial paper 4,998,734 4,998,734 - -
Medium term notes 12,119,302 1,997,131 - 10,122,171
State investment pool 55,995,184 55,995,184 - -
Held by bond trustee:
Money market funds 754,621 754,621 - -
U.S. Treasury bills 17,974,217 17,974,217 - -
Total 192,709,454$ 181,618,283$ -$ 11,091,171$
Investment Type
Remaining Maturity (in Months)
Disclosures Relating to Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to
the holder of the investment. This is measured by the assignment of a rating by a nationally
recognized statistical rating organization. The City's investment policy limits investments in
commercial paper to those rated A-1 and P-1 or higher from Standard and Poor’s (S&P) and
Moody’s, respectively; medium term notes that are rated “AA” or higher by S&P; and money
market mutual funds that are rated “AAA”. The quality of U .S. Treasury securities is not
analyzed since they are not deemed to have credit risk.
As of June 30, 2009, the City had investments with a variety of issuers, all of which were
“investment grade” and were legal under state and municipal law. The City’s investments in
commercial paper were all rated A-1 and P-1 or higher from S&P and Moody’s and insured
under the Temporary Loan Guarantee Program (TLGP). The City’s investments in medium
term notes were all rated AA or better by S&P with all but one investment in this category
insured under the TLGP. The City's investments in money market mutual funds were all
rated “AAA” by S&P and Moody’s. As of June 30, 2009, the City’s investments in external
investment pools were unrated.
Concentration of Credit Risk
The investment policy of the City contains no limitations on the amount that can be invested
in any one issuer beyond that stipulated by the California Government Code, except for U.S.
Agency Securities (limited to a face value of $20 million) and Commercial Paper and
Medium-Term Notes (limited to a face value of $5 million). As of June 30, 2009, the City had
no investments in any one issuer (other than U.S. Treasury securities, mutual funds, and
external investment pools) that represent 5% or more of total investments.
43
City of La Quinta
Notes to Financial Statements (Continued)
Note 3: Cash and Investments (Continued)
Custodial Credit Risk
Custodial credit risk for deposits is the risk that, in the event of the failure of a depository
financial institution, a government will not be able to recover its deposits or will not be able to
recover collateral securities that are in the possession of an outside party. The custodial
credit risk for investments is the risk that, in the event of the failure of the counterparty
(e.g., broker-dealer) to a transaction, a government will not be able to recover the value of its
investment or collateral securities that are in the possession of another party. The California
Government Code and the City’s investment policy do not contain legal or policy
requirements that would limit the exposure to custodial credit risk for deposits or investments,
other than the following provision for deposits: The California Government Code requires
that a financial institution secure deposits made by state or local governmental units by
pledging securities in an undivided collateral pool held by a depository regulated under state
law (unless so waived by the governmental unit). The market value of the pledged securities
in the collateral pool must equal at least 110% of the total amount deposited by the public
agencies. California law also allows financial institutions to secure City deposits by pledging
first trust deed mortgage notes having a value of 150% of the secured public deposits.
Investment in State Investment Pool
The Entity is a voluntary participant in the Local Agency Investment Fund (LAIF) that is
regulated by the California Government Code under the oversight of the Treasurer of the
State of California. The fair value of the City’s investment in this pool is reported in the
accompanying financial statements at amounts based upon the City’s pro-rata share of the
fair value provided by LAIF for the entire LAIF portfolio (in relations to the amortized cost of
that portfolio). The balance available for withdrawal is based on the accounting records
maintained by LAIF, which are recorded on an amortized cost basis.
GASB Statement No. 31
The City adopted GASB Statement No. 31, Accounting and Financial Reporting for Certain
Investments and for External Investment Pools, as of July 1, 1997. GASB Statement No. 31
establishes fair value standards (e.g. mark to market) for investments in participating interest
earning investment contracts, external investment pools, equity securities, option contracts,
stock warrants and stock rights that have readily determinable fair values. Accordingly, the
City reports its investments at fair value in the balance sheet. All investment income,
including changes in the fair value of investments, is recognized as revenue in the operating
statement.
Note 4: Property Taxes
Under California law, property taxes are assessed and collected by the counties up to 1% of
assessed value, plus other increases approved by the voters. The property taxes are
recorded initially in a pool, and are then allocated to the cities based on complex formulas.
Accordingly, the City of La Quinta accrues only those taxes that are received from the County
within ninety days after year-end.
Lien date January 1
Levy date July 1
Due dates November 1 and February 1
Collection dates December 10 and April 10
44
City of La Quinta
Notes to Financial Statements (Continued)
Note 4: Property Taxes (Continued)
The La Quinta Redevelopment Agency’s primary source of revenue comes from property
taxes. Property taxes allocated to the Agency are computed in the following manner:
a) The assessed valuation of all property within the project area is determined on the
date of adoption of the Redevelopment Plan.
b) Property taxes related to the incremental increase in assessed values after the
adoption of the Redevelopment Plan are allocated to the Agency; all taxes on the
“frozen” assessed valuation of the propert y are allocated to the City and other
districts.
The Agency has no power to levy and collect taxes and any legislative property tax shift
might reduce the amount of tax revenues that would otherwise be available to pay the
principal of, and interest on, debt. Broadened property tax exemptions could have a similar
effect. Conversely, an increase in the tax rate or assessed valuation, or any reduction or
elimination of present exemptions would increase the amount of tax revenues that would be
available to pay principal and interest on debt.
Note 5: Notes Receivable
Outstanding
Balance at
June 30, 2009
In September 1994, the Redevelopment Agency sold certain real property to
LINC Housing for $2,112,847. The property was used to construct single-family
homes and rental units to increase the City's supply of low and moderate income
housing. The note bears interest at 6% per annum and is due in full on June 15,
2029.3,764,107$
In December 2000, the Redevelopment Agency entered into an agreement with
LINC Housing to receive $9,500,000 as a reimbursement for Agency costs
incurred for the construction of infrastructure related to the development of
senior apartments. Payments are due to the Agency based on annual positive
cash flow generated by the rental of the units. All unpaid principal and interest
on the note are due fifty-five years after the completion of the project. Interest
on the note accrues at 3% per annum.9,443,802
Other notes receivable 31,639
Total notes receivable balance at June 30, 2009 13,239,548$
45
City of La Quinta
Notes to Financial Statements (Continued)
Note 6: Capital Assets
Capital asset activity for governmental activities for the year ended June 30, 2009, is as
follows:
Beginning Ending
Balance at Balance at
July 1, 2008 Additions Deletions Transfers June 30, 2009
Governmental Activities:
Capital assets, not being depreciated:
Land 80,645,874$ 3,862,159$ 8,845,000$ -$ 75,663,033$
Right of way 282,676,426 843,634 - - 283,520,060
Construction-in-progress 39,699,207 25,914,176 1,474,607 (21,736,459) 42,402,317
Total Capital Assets,
Not Being Depreciated 403,021,507 30,619,969 10,319,607 (21,736,459) 401,585,410
Capital assets, being depreciated:
Buildings and improvements 55,127,713 2,934,270 - - 58,061,983
Equipment and furniture 1,983,605 221,896 101,506 64,645 2,168,640
Vehicles 1,584,718 198,515 204,834 - 1,578,399
Infrastructure 151,821,209 5,826,173 2,960,462 21,671,814 176,358,734
Total Capital Assets,
Being Depreciated 210,517,245 9,180,854 3,266,802 21,736,459 238,167,756
Less accumulated depreciation:
Buildings and improvements 10,772,215 1,895,240 - - 12,667,455
Equipment and furniture 1,070,075 197,538 101,506 - 1,166,107
Vehicles 928,784 201,950 204,832 - 925,902
Infrastructure 63,837,762 4,479,392 2,352,447 - 65,964,707
Total Accumulated
Depreciation 76,608,836 6,774,120 2,658,785 - 80,724,171
Total Capital Assets,
Being Depreciated, Net 133,908,409 2,406,734 608,017 21,736,459 157,443,585
Governmental Activities
Capital Assets, Net 536,929,916$ 33,026,703$ 10,927,624$ -$ 559,028,995$
Depreciation expense was charged to the following functions in the Statement of Activities:
General government 124,925$
Public safety 1,048,913
Planning and development 65,571
Community services 921,155
Public works 4,613,556
Total governmental activities 6,774,120$
46
City of La Quinta
Notes to Financial Statements (Continued)
Note 6: Capital Assets (Continued)
Capital asset activity for business-type activities for the year ended June 30, 2009, is as
follows:
Beginning Ending
Balance at Balance at
July 1, 2008 Additions Delet ions Transfers June 30, 2009
Business-Type Activities:
Capital assets, not being depreciated:
Land 36,840,832$ -$ -$ -$ 36,840,832$
Total Capital Assets,
Not Being Depreciated 36,840,832 - - - 36,840,832
Capital assets, being depreciated:
Buildings and improvements 6,636,465 - - - 6,636,465
Equipment and furniture 1,779,148 - - - 1,779,148
Vehicles 20,348 - - - 20,348
Software 20,255 - - - 20,255
Total Capital Assets,
Being Depreciated 8,456,216 - - - 8,456,216
Less accumulated depreciation:
Buildings and improvements 803,532 234,556 - - 1,038,088
Equipment and furniture 1,006,033 394,561 - - 1,400,594
Vehicles 14,243 4,069 - - 18,312
Software 14,178 4,051 - - 18,229
Total Accumulated
Depreciation 1,837,986 637,237 - - 2,475,223
Total Capital Assets,
Being Depreciated, Net 6,618,230 (637,237) - - 5,980,993
Governmental Activities
Capital Assets, Net 43,459,062$ (637,237)$ -$ -$ 42,821,825$
Depreciation expense was charged to the following function in the Statement of Activities:
Golf Course 637,237$
47
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities
a. Changes in Long-Term Debt
The following is a summary of changes in governmental long-term liabilities of the City for
the fiscal year ended June 30, 2009:
Beginning
Balance at
July 1, 2008 Additions Deletions
Balance at June
30, 2009
Due within one
year
City:
Compensated absences payable $ 833,155 1,048,039$ 962,094$ 919,100$ 919,100$
Due to the Coachella Valley
Association of Governments 228,311 - 50,000 178,311 50,000
Developer Agreement Payable 499,786 - 155,972 343,814 169,230
Copier Lease Payable 182,094 - 32,925 149,169 34,586
Redevelopment Agency:
RDA Project Area No. 1:
Tax allocation bonds 136,350,000 - 2,960,000 133,390,000 3,135,000
Pass-through agreements payable:
Coachella Valley
Unified School District 3,660,621 - 785,968 2,874,653 801,688
RDA Project Area No. 2:
Tax allocation bonds 5,915,000 - 115,000 5,800,000 120,000
Due to County of Riverside 1,600,000 - 200,000 1,400,000 200,000
Provident Loan - 1,572,031 15,748 1,556,283 25,325
US Department of Agriculture - 760,721 8,967 751,754 10,583
Financing Authority:
Revenue bonds 91,715,000 - 1,995,000 89,720,000 2,070,000
Total $ 240,983,967 $ 3,380,791 $ 7,281,674 237,083,084 $ 7,535,512
Less: Unamortized premiums/discounts (804,944)
Net Long-Term Debt 236,278,140$
For the governmental activities, accrued employee benefits are generally liquidated by
the general fund.
b. A description of individual issues of debt (excluding defeased bonds) outstanding
as of June 30, 2009, is as follows:
Due to the Coachella Valley Association of the Governments
The City of La Quinta entered into an Interchange Reimbursement Agreement with the
Coachella Valley Association of Governments (CVAG) to finance capital improvements at
the Washington Street I-10 interchange. The City has agreed to reimburse CVAG
$828,311 over a period of seventeen years beginning July 31, 1996. The annual
payments to CVAG range from $28,311 to $50,000. At June 30, 2009, the balance
payable was $178,311.
48
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
The minimum annual requirements to amortize the payable to Coachella Valley
Association of Governments as of June 30, 2009, are as follows:
Principal
2009 - 2010 50,000$
2010 - 2011 50,000
2011 - 2012 50,000
2012 - 2013 28,311
Totals 178,311$
Developer Agreement Payable
In December 1998, the City entered into a tax sharing agreement with Stamko
Development Co. in relation to the development of an auto mall located within the City.
For a period of ten years, the agreement requires the City to make quarterly payments to
the developer in the amount of 33% of the sales and use tax revenues generated by the
site up to a maximum amount of $122,250 in any twelve month period. Additionally, if the
sales and use tax revenues generated exceed $530,000, adjusted annually by the CPI
index, the City is required to pay $76,204 for that year for a maximum of ten years, based
upon a $500,000 note at an interest rate of 8.5%. For the year ended June 30, 2009, the
City paid the developer $122,250 in sales tax reimbursement and $76,204 since the
sales tax generated exceeded the required amount. The balance at June 30, 2009, is
$343,814.
The minimum annual requirements to amortize the developer agreement payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 169,230$ 29,224$
2010 - 2011 174,584 23,870
Totals 343,814$ 53,094$
Copier Lease Payable
In June 2008, the City entered into a 5-year lease agreement for photocopiers for
$182,094 maturing in monthly increments ranging from $2,682 in July 2008 to $3,417 in
June 2013, with interest payable monthly at 4.93%. This lease agreement qualifies as a
capital lease for accounting purposes and therefore, has been recorded at the present
value of the future minimum lease payments at the inception date.
49
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
The minimum future lease obligations and the net present value of the lease payments as
of June 30, 2009 are as follows:
Year Ending
June 30, Total
2010 44,358$
2011 44,358
2012 44,358
2013 44,358
Total Payments 177,432
Less Amount Representing Interest (28,263)
Outstanding Principal 149,169$
Tax Allocation Bonds
As of June 30, 2009, the following issuances of Tax Allocation Bonds were outstanding:
Series 1994, Project Area No. 1
Tax Allocation Refunding Bonds, Series 1994, were issued by the Agency on
May 5, 1994, in the amount of $26,665,000 to refund the outstanding aggregate
principal amount of the Agency’s Tax Allocation Bonds, Series 1989 and 1990. The
remaining proceeds were used to finance certain capital improvements within the
La Quinta Redevelopment Project Area No. 1.
Interest rates on the bonds range from 3.80% to 8% and are payable semi-annually
on March 1 and September 1 of each year until maturity. The interest on and
principal of the bonds are payable solely from pledged tax increment revenues. The
bonds are not just subject to redemption prior to maturity. There are certain
limitations regarding the issuance of parity debt as further described in the official
statement. A portion of the proceeds was used to obtain a surety agreement to
satisfy the bond reserve requirement. The principal balance of outstanding bonds at
June 30, 2009, is $8,920,000.
The minimum annual requirements to amortize the bond payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 2,000,000$ 578,160$
2010 - 2011 2,145,000 426,868
2011 - 2012 2,305,000 264,443
2012 - 2013 2,470,000 90,155
8,920,000$ 1,359,626$
50
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
Series 1998, Project Area No. 1
Tax allocation refunding bonds, Series 1998, in the amount of $15,760,000 were
issued by the Agency to refund the outstanding aggregate principal amount of the
Agency’s Tax Allocation Bonds, Series 1991. The remaining proceeds were used to
finance certain capital improvements within the La Quinta Redevelopment Project
Area No. 1.
Interest rates on the bonds range from 5.20% to 5.25% and are payable
semi-annually on March 1 and September 1 of each year until maturity. The interest
and principal of the bonds are payable solely from pledged tax increment revenues of
Project Area No. 1.
Term Bonds maturing September 1, 2028, are subject to mandatory sinking fund
redemption, in part by lot, on September 1, 2013, and on each September 1
thereafter, through September 1, 2028, at a price equal to the principal amount
thereof plus accrued interest. There are certain limitations regarding the issuance of
parity debt as further described in the official statement. A portion of the proceeds
was used to obtain a surety agreement to satisfy the bond reserve requirement. The
principal balance of outstanding bonds at June 30, 2009, is $15,760,000.
The minimum annual requirements to amortize the bond payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 -$ 819,520$
2010 - 2011 - 819,520
2011 - 2012 - 819,520
2012 - 2013 - 819,520
2013 - 2014 655,000 802,490
2014 - 2019 3,825,000 3,450,070
2019 - 2024 4,935,000 2,317,250
2024 - 2029 6,345,000 857,870
Totals 15,760,000$ 10,705,760$
Series 1998, Project Area No. 2
Tax allocation refunding bonds, Series 1998, in the amount of $6,750,000 were
issued by the Agency to refund the outstanding aggregate principal amount of the
Agency’s Tax Allocation Bonds, Series 1992. The remaining proceeds were used to
finance certain capital improvements within the La Quinta Redevelopment Project
Area No. 2.
Interest rates on the bonds range from 3.75% to 5.28% and are payable
semi-annually on March 1 and September 1 of each year until maturity. The interest
and principal of the bonds are payable solely from pledged tax increment revenues of
Project Area No. 2.
Term Bonds maturing September 1, 2028 and September 1, 2033, are subject to
mandatory sinking fund redemption, in part by lot, on September 1, 2009 and
September 1, 2019, respectively, and on each September 1 thereafter at a price
equal to the principal amount thereof plus accrued interest.
51
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
There are certain limitations regarding the issuance of parity debt as further
described in the official statement. A portion of the proceeds was used to obtain a
surety agreement to satisfy the bond reserve requirement. The principal balance of
outstanding bonds at June 30, 2009, is $5,800,000.
The minimum annual requirements to amortize the bond payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 120,000$ 299,550$
2010 - 2011 125,000 293,272
2011 - 2012 130,000 286,738
2012 - 2013 140,000 279,819
2013 - 2014 145,000 272,516
2014 - 2019 840,000 1,240,731
2019 - 2024 1,085,000 992,381
2024 - 2029 1,405,000 666,881
2029 - 2034 1,810,000 247,275
Totals 5,800,000$ 4,579,163$
Series 2001, Project Area No. 1
On August 15, 2001, the Agency issued tax allocation bonds in the amount of
$48,000,000 to finance capital projects benefiting the La Quinta Redevelopment
Project Area No. 1. The 2001 tax allocation bonds were issued at a discount of
$422,400 and issuance costs of $1,517,325.
The bonds consist of $17,280,000 of term bonds that accrue interest at 5.00% and
mature on September 1, 2021, and $30,720,000 of term bonds that accrue interest at
5.18% and mature on September 1, 2031. The interest and principal on the bonds
are payable from pledged tax increment revenues.
A portion of the proceeds were used to obtain a surety agreement to satisfy the bond
reserve requirement. The principal balance of outstanding bonds at June 30, 2009,
is $48,000,000 with an unamortized discount of $384,497.
The minimum annual requirements to amortize the bond payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 -$ 2,430,720$
2010 - 2011 - 2,430,720
2011 - 2012 - 2,430,720
2012 - 2013 - 2,430,720
2013 - 2014 1,565,000 2,391,595
2014 - 2019 9,095,000 10,669,725
2019 - 2024 11,605,000 8,089,803
2024 - 2029 14,865,000 4,742,618
2029 - 2034 10,870,000 849,915
Totals 48,000,000$ 36,466,536$
52
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
Series 2002, Project Area No. 1
On June 12, 2002, the Agency issued tax allocation bonds in the amount of
$40,000,000 to finance capital projects benefiting the La Quinta redevelopment
Project Area No. 1. The 2002 tax allocation bonds were issued at a discount of
$360,000 and issuance costs of $1,250,096.
The bonds consist of $6,355,000 of serial bonds and $33,645,000 of term bonds.
Interest Rates on serial bonds range from 1.75% and 4.00% and are payable
semi-annually on March 1 and September 1 of each year until maturity. Term bonds
accrue interest at 5.00% and 5.125% and mature on September 1, 2022 and
September 1, 2023. The interest and principal on the bonds are payable from
pledged tax increment revenues.
A portion of the proceeds were used to obtain a surety agreement to satisfy the bond
reserve requirement. The principal balance of outstanding bonds at June 30, 2009,
is $36,425,000 with an unamortized discount of $338,958.
The minimum annual requirements to amortize the bond payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 660,000$ 1,807,556$
2010 - 2011 680,000 1,782,926
2011 - 2012 705,000 1,756,429
2012 - 2013 735,000 1,727,981
2013 - 2014 705,000 1,695,656
2014 - 2019 4,065,000 7,902,281
2019 - 2024 5,190,000 6,749,694
2024 - 2029 6,660,000 5,250,306
2029 - 2034 17,025,000 2,094,459
Totals 36,425,000$ 30,767,288$
Series 2003, Project Area No. 1
On September 1, 2003, the Agency issued tax allocation bonds in the amount of
$26,400,000 to finance capital projects benefiting the La Quinta Redevelopment
Project Area No. 1. The 2003 tax allocation bonds were issued at a discount of
$277,200 and issuance costs of $629,191.
Interest is payable semi-annually on March 1 and September 1 of each year,
commencing March 1, 2004. Interest payments range from 4.24% to 6.44% per
annum. The interest and principal on the bonds are payable from pledged tax
increment revenues.
Term bonds maturing on September 1, 2013 through September 1, 2032, are subject
to mandatory redemption from minimum sinking fund payments, in part by lot, on
September 1, 2004, September 1, 2014, and September 1, 2024, respectively, and
on each September 1 thereafter at a redemption price equal to the principal amount
thereof plus accrued interest to the redemption date.
The principal balance of outstanding bonds at June 30, 2009, is $24,285,000 with an
unamortized discount of $222,076.
53
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
The minimum annual requirements to amortize the bond payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 475,000$ 1,508,106$
2010 - 2011 505,000 1,481,401
2011 - 2012 530,000 1,453,198
2012 - 2013 560,000 1,423,495
2013 - 2014 590,000 1,392,158
2014 - 2019 3,515,000 6,358,580
2019 - 2024 4,770,000 5,076,104
2024 - 2029 6,485,000 3,303,559
2029 - 2034 6,855,000 917,861
Totals 24,285,000$ 22,914,462$
Pass-through Agreements Payable - Coachella Valley Unified School District
An agreement was entered into in 1991 between the Agency, the City of La Quinta
and the Coachella Valley Unified School District (District), which provides for the
payment to the District a portion of tax increment revenue associated with properties
within District confines. Such payments are subordinate to other indebtedness of the
Agency incurred in furtherance of the Redevelopment Plan for Project Area No. 1.
This tax increment is paid to the District over a payment schedule through
August 1, 2012, in amounts ranging from $421,168 to $834,076, for a total amount of
$15,284,042. Tax increment payments outstanding at June 30, 2009, totaled
$2,874,653. The District agrees to use such funds to provide classroom and other
construction costs, site acquisition, school busses, and expansion or rehabilitation of
current facilities.
The minimum annual requirements to amortize payable to Coachella Valley Unified
School District as of June 30, 2009, are as follows:
Principal
2009 - 2010 801,688$
2010 - 2011 817,722
2011 - 2012 834,076
2012 - 2013 421,167
Totals 2,874,653$
Due to County of Riverside - Project Area No. 2
Based on an agreement dated July 5, 1989, between the Agency and the County of
Riverside, until the tax increment reaches $5,000,000 annually in Project Area No. 2,
the Agency will pay to the County 50% of the County portion of tax increment. At the
County’s option, the County’s pass-through portion can be retained by the Agency to
finance new County facilities or land costs that benefit the County and serve the La
Quinta population. Per the agreement, the Agency must repay all amounts withheld
from the County. The tax increment is to be paid to the County in amounts ranging
from $100,000 to $250,000 over a payment schedule through June 30, 2015.
Interest does not accrue on this obligation. The balance at June 30, 2009, is
$1,400,000.
54
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
The minimum annual requirements to amortize amounts due to the County of
Riverside as of June 30, 2009, are as follows:
Principal
2009 - 2010 200,000$
2010 - 2011 200,000
2011 - 2012 250,000
2012 - 2013 750,000
Totals 1,400,000$
1996 Lease Revenue Refunding Bonds
On November 15, 1996, the Authority issued $8,790,000 of 1996 Lease Revenue
Refunding Bonds to defease the remaining 1991 Local Agency Revenue Bonds in
the amount of $8,200,000 and to provide funds for construction of remaining
improvements to the La Quinta Civic Center site.
The bonds consist of $3,630,000 of serial bonds and $5,150,000 of term bonds. The
serial bonds will accrue interest at rates between 3.70% and 5.30% and principal
amounts mature between October 1, 1997 and October 1, 2008, in amounts ranging
from $285,000 to $380,000. The term bonds accrue interest at a rate of 5.55% and
mature on October 1, 2018.
A surety agreement has been purchased to satisfy the bond reserve requirement.
There are certain limitations regarding the issuance of parity debt as further
described in the official statement. The amount of principal outstanding at
June 30, 2009, is $5,160,000.
The minimum annual requirements to amortize the bond payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 400,000$ 275,280$
2010 - 2011 420,000 252,525
2011 - 2012 445,000 228,521
2012 - 2013 470,000 203,130
2013 - 2014 495,000 176,351
2014 - 2019 2,930,000 423,743
Totals 5,160,000$ 1,559,550$
2004 Series A Local Agency Revenue Bonds
On June 29, 2004, the La Quinta Financing Authority issued revenue bonds in the
amount of $90,000,000 to finance projects benefiting low and moderate income
housing in La Quinta Redevelopment Project Area No. 1 and La Quinta
Redevelopment Project Area No. 2 and to advance refund the Agency’s
Redevelopment Project Areas No. 1 and 2, 1995 Housing Tax Allocation Bonds. The
2004 local agency revenue bonds were issued with issuance costs of $2,600,229
and a premium of $476,496.
55
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
Interest is payable semi-annually on March 1 and September 1 of each year,
commencing September 1, 2005. Interest payments range from 3% to 5.25% per
annum. The interest and principal on the bonds are payable from pledged tax
increment revenues.
Term bonds maturing on September 1, 2024, September 1, 2029 and
September 1, 2034, are subject to mandatory redemption from minimum sinking fund
payments, in part by lot, on September 1, 2017, September 1, 2025, and
September 1, 2030, respectively, and on each September 1 thereafter at a
redemption price equal to the principal amount thereof plus accrued interest to the
redemption date.
A portion of the proceeds was used to obtain a surety agreement to satisfy the bond
reserve requirement. There are certain limitations regarding the issuance of parity
debt as further described in the official statement. The principal balance of
outstanding bonds at June 30, 2009, is $84,560,000 with an unamortized premium of
$140,587.
The minimum annual requirements to amortize the bond payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 1,670,000$ 4,243,331$
2010 - 2011 1,740,000 4,175,131
2011 - 2012 1,805,000 4,099,719
2012 - 2013 1,890,000 4,016,581
2013 - 2014 1,975,000 3,924,681
2014 - 2019 11,485,000 17,953,106
2019 - 2024 14,830,000 14,520,756
2024 - 2029 19,090,000 10,163,219
2029 - 2034 24,415,000 4,700,072
2034 - 2039 5,660,000 145,039
Totals 84,560,000$ 67,941,635$
Washington Street Apartments
In October 2008, the La Quinta Redevelopment Agency acquired the Washington
Street Apartments for cash and the assumption of the following debt:
Provident Bank Loan
This loan was originally entered into with the previous owner of the Washington
Street Apartments and Provident Bank for $1,696,000 in August 2001 at an
8.36% interest rate. The loan is amortized on a thirty year basis with the
outstanding balance due in twenty years or August 2021. The outstanding
principal balance in October 2008 when the property was acquired by the Agency
was $1,572,031. The loan is secured by a deed of trust on the property and is
senior to the United States Department of Agriculture (USDA) loan which is also
secured by a deed of trust on the property. Repayment of the monthly loan
amount of $12,873 is made from tenant rent receipts. The source for the final
principal payment due in August 2021 of $1,050,109 will be determined at a
future date. The principal balance of this loan at June 30, 2009, is $1,556,283.
56
City of La Quinta
Notes to Financial Statements (Continued)
Note 7: Changes in Long-Term Liabilities – Governmental Activities (Continued)
The minimum annual requirements to amortize the loan payable as of
June 30, 2009, are as follows:
Principal Interest
2009 - 2010 25,325$ 129,149$
2010 - 2011 27,525 126,949
2011 - 2012 29,917 124,558
2012 - 2013 32,516 121,959
2013 - 2014 35,341 119,134
2014 - 2019 228,453 543,919
2019 - 2022 1,177,206 202,041
Totals 1,556,283$ 1,367,709$
United States Department of Agriculture (USDA) Rural Development Promissory
Note
This promissory note was originally entered into with the previous owner of the
Washington Street Apartments and USDA – Rural Development for $1,500,000
in November 1980 at a 10.00% interest rate. The note is amortized on a fifty
year basis with the outstanding balance due in October 2030. The outstanding
principal balance, in October 2008, when the property was acquired by the
Agency was $760,721. The loan is secured by a deed of trust on the property
and is subordinated to the Provident loan which is also secured by a deed of trust
on the property. Repayment of the monthly loan amount of $7,107 is made from
tenant rent receipts and a rental subsidy from the USDA. Rural Development
has agreed to a 9% interest rate subsidy on the Promissory Note as long as the
Apartment renters meet certain program eligibility requirements. The principal
balance of this note at June 30, 2009, is $751,754.
Principal Interest
2009 - 2010 10,583$ 74,699$
2010 - 2011 11,691 73,591
2011 - 2012 12,915 72,367
2012 - 2013 14,267 71,014
2013 - 2014 15,761 69,520
2014 - 2019 107,303 319,106
2019 - 2024 176,546 249,863
2024 - 2029 290,473 135,936
2029 - 2031 112,215 8,602
Totals 751,754$ 1,074,698$
57
City of La Quinta
Notes to Financial Statements (Continued)
Note 8: Changes in Long-Term Liabilities – Business-type Activities
Changes in business-type long-term liabilities for the year ended June 30, 2009, were as
follows:
Balance at
July 1, 2008 Additions Deletions
Balance at
July 1, 2009
Due within
one year
Golf Course:
Capital leases payable $ 681,047 -$ 395,830$ 285,217$ 230,674$
The City of La Quinta entered into several capital lease agreements for the operation of the
Silver Rock Golf Resort. These lease agreements qualify as capital leases for accounting
purposes and, therefore, have been recorded at the present value of their future minimum
lease payments as of the inception date.
Obligations under capital leases are as follows:
National City Golf Finance
The present value of the minimum lease payment on golf carts was capitalized at using an
incremental borrowing rate of 6.50% at the inception of the lease. The lease is payable in
36 monthly installments of $7,962 which began February 1, 2008.143,382$
The present value of the minimum lease payment on golf equipment was capitalized at
$273,642 using an incremental borrowing interest rate of 9.68% at the inception of the lease.
The lease is payable in 60 monthly installments of $5,771, which began May 1, 2005.33,670
The present value of the minimum lease payment on golf equipment was capitalized at
$543,118 using an incremental borrowing interest rate of 9.0% at the inception of the lease.
The lease is payable in 60 monthly installments of $9,318, which began January 1, 2005.55,746
The present value of the minimum lease payment on lawn equipment was capitalized at
$90,554 using an incremental borrowing interest rate of 6.99% at the inception of the lease.
The lease is payable in 36 monthly installments of $2,796, which began October 1, 2006.8,290
The present value of the minimum lease payment on golf equipment was capitalized at
$21,569 using an incremental borrowing interest rate of 7.5% at the inception of the lease.
The lease is payable in 48 monthly installments of $522, which began December 1, 2005.2,559
VGM Financial Services
The present value of the minimum lease payment on software was capitalized at $63,525
using an incremental borrowing interest rate of 10.74% at the inception of the lease. The
lease is payable in 60 monthly installments of $1,373, which began April 1, 2005.
7,985
TFG-California, L.P.
The present value of the minimum lease payment on a GPS system was capitalized at
$284,650 using an incremental borrowing interest rate of 7.3% at the inception of the lease.
The lease is payable in 48 monthly installments of $6,840, which began November 11, 2005.33,585
Total capital leases payable as of June 30, 2009 285,217$
58
City of La Quinta
Notes to Financial Statements (Continued)
Note 8: Changes in Long-Term Liabilities – Business-type Activities (Continued)
The following schedule summarizes the debt to maturity payments for capital leases:
Year Ending
June 30, Total
2010 239,666$
2011 55,731
Total Payments 295,397
Less Amount Representing Interest (10,180)
Outstanding Principal 285,217$
Note 9: Pledge Tax Revenues
As previously discussed, the City has pledged, as security for bonds it has issued, either
directly or through the Financing Authority, a portion of the tax increment revenue (including
Low and Moderate Income Housing set-aside) that it receives. These bonds were to provide
financing for various capital projects and accomplish Low and Moderate Income Housing
projects. The City has committed to appropriate each year, from these resources amounts
sufficient to cover the principal and interest requirements on the debt. Total principal and
interest remaining on the debt is $398,484,469 with annual debt service requirements as
indicated above. For the current year, the total tax increment revenue, net of pass through
payments, recognized by the City was $36,781,483 and the debt service obligation on the
bonds was $16,630,367.
Note 10: Debt Without Governmental Commitment
The City of La Quinta sold Improvement Bonds issued pursuant to the California State
Improvement Act of 1915. The Bonds are payable from the annual installments collected on
the regular property tax bills sent to owners of property having unpaid assessments levied
against land benefited by the projects. The bonds are neither general obligations of the City
nor any other political subdivision and the full faith and credit of the City is not pledged for
repayment thereof, therefore, they are not included in the long-term liabilities in the
accompanying financial statements. The City is not liable for repayment of the debt, but is
only acting as agent for the property owners in collecting the assessments and forwarding the
collections to bondholders. The following is a summary of Improvement Bonds outstanding
at June 30, 2009:
Proceeds Maturity Date Interest Rate
Amount
Outstanding at
June 30, 2009
Assessment District No. 97-1 705,262$ 9/2/2018 4.10% - 5.20% 410,000$
Assessment District No. 2001-1 2,285,000 9/2/2015 5.00% - 6.60% 940,000
Note 11: Conduit Debt Financing
2002 Series B Multifamily Housing Revenue Bonds
In April 2002, the La Quinta Redevelopment Agency issued $3,000,000 of 2002 Series B
Multifamily Housing Revenue Bonds to provide financing for the acquisition, construction and
equipping of a multifamily senior rental housing project known as Miraflores Apartments
located in the City of La Quinta. The bonds mature on June 1, 2035, and bear interest at
5.5% per annum. Outstanding bonds at June 30, 2009, are $2,830,000.
The bond is secured solely by the credit facility, Fannie Mae, and by a pledge of the trust
estate comprised of bond proceeds and property. The bond is not an obligation of the issue,
but payable solely from the security. 59
City of La Quinta
Notes to Financial Statements (Continued)
Note 12: Interfund Receivables and Payables
The composition of current interfund receivable and payable as of June 30, 2009, are as
follows:
Non-Major
Governmental TOTAL
Due From Other Funds
General Fund 18,890$ 18,890$
RDA PA #2 Debt Service 2,143,702 2,143,702
Total:2,162,592$ 2,162,592$
Due to Other
Funds
The due to the General Fund and RDA PA#2 Debt Service Fund were the results of routine
interfund transactions not cleared prior to year-end.
The composition of non-current interfund receivable and payable as of June 30, 2009, are as
follows:
Civic Center
RDA PA #1
Debt Service
RDA PA #2
Debt Service Golf Course
Non-Major
Governmental TOTAL
Advances to Other Funds
General Fund 9,617,167$ 12,000,000$ 19,378,966$ 4,290,475$ 851,084$ 46,137,692$
Redevelopment Agency
PA No. 1 Capital Projects - - - - 3,385,401 3,385,401
Non-Major Governmental - - - - 935,718 935,718
Total:9,617,167$ 12,000,000$ 19,378,966$ 4,290,475$ 5,172,203$ 50,458,811$
Advances From Other Funds
a) As of June 30, 2009, the amount due to the General Fund from RDA PA No. 1 Debt
Service was $12,000,000. This consists of an outstanding advance of $6,000,000 loaned
to the Redevelopment Agency with repayment beginning in 2030/31 and accrued interest
at 10% per annum. The other outstanding advance of $6,000,000 loaned to the
Redevelopment Agency requires repayments beginning in 2030/31 and accrues interest
at 7% per annum.
b) As of June 30, 2009, the amount due to the General Fund from RDA PA No. 2 Debt
Service was $19,378,966. This consists of a $10,000,000 advance loaned to the
Redevelopment Agency with repayment beginning in 2035/36 and accrued interest at
10% per annum and a $9,378,966 advance loaned to the Redevelopment Agency
accruing interest at 7% on December 4, 2007, with an anticipated repayment date of
2018/2019.
c) As of June 30, 2009, the General Fund has advanced to the Golf Course fund
$4,290,475. The advances accrue interest at the City’s investment pool rate and are to
be repaid by the golf course out of future profits.
d) In July 2002, an advance of $4,167,912 was made from the RDA PA No. 1 Capital
Projects Fund to provide funding for the development of the publicly owned
improvements to the La Quinta Community Park. The advance accrues interest at the
earnings rate of the City’s investment pool fund. As of June 30, 2009, the remaining
balance of the advance for the La Quinta Community Park is $1,444,775.
60
City of La Quinta
Notes to Financial Statements (Continued)
Note 12: Interfund Receivables and Payables (Continued)
e) In April 2005, another advance of $2,490,273 was made from the RDA PA No. 1 Capital
Projects Fund to provide funding for the construction of the public library. The advance
accrues interest at the earnings rate of the City’s investment pool fund. The remaining
balance of this advance at June 30, 2009, is $1,940,626.
f) In February 2003, the Redevelopment Agency Capital Projects – PA No. 2 Fund
advanced $1,350,131 to the Fire Facility Fund to provide funding for the development of
the City’s north fire station. The advance accrues interest equal to the earning rate of the
City’s Investment Pool Funds and is to be repaid by the year 2039. As of June 30, 2009,
the remaining balance of the advances is $935,718.
g) In September 2006, an advance up to $9,615,094 for the City Hall expansion from the
General Fund to the Civic Center Developer Impact Fee Fund was approved. As of
June 30, 2009, the Civic Center expansion was completed and the amount of the
advance was $9,617,167 outstanding. The advance accrues interest that would have
been earned by the Local Agency Investment Fund.
h) In February 2007, an advance up to $1,400,000 for the Museum expansion and Phase II
Library improvements from the General Fund to the Library Fund was approved. As of
June 30, 2009 the amount of the outstanding advance was $851,084. The advance
accrues interest that would have been earned by the Local Agency Investment Fund and
will be repaid from future tax increment funds designated for the Library and Museum
which are anticipated to be received in the next year.
Note 13: Interfund Transfers
General
Fund
Low/
Moderate
Income
Housing
PA #1
Low/
Moderate
Income
Housing
PA #2
RDA PA #1
Capital
Projects
RDA PA #1
Debt Service
RDA PA #2
Debt Service
Non-Major
Governmental TOTAL
TRANSFERS IN
General Fund -$ -$ -$ -$ -$ -$ 353,550$ 353,550$
Low/Moderate Income
Housing PA #2 - 307,656 - - - - - 307,656
Capital Improvement 1,695,642 - 246,167 2,872,058 - - 17,707,744 22,521,611
RDA PA #1 Capital Projects - - - - 5,000,000 - - 5,000,000
RDA PA #1 Debt Service - 4,444,520 - - - - - 4,444,520
RDA PA #2 Debt Service - - 1,953,599 - - - - 1,953,599
Non-Major Governmental 1,999 - - - 3,966,396 1,953,599 - 5,921,994
Internal Service Fund - - - - - - 25,000 25,000
Total:1,697,641$ 4,752,176$ 2,199,766$ 2,872,058$ 8,966,396$ 1,953,599$ 18,086,294$ 40,527,930$
TRANSFERS OUT
The following describes the major transfers in and transfers out included in the financial
statements:
a) $4,444,520 was transferred from the Low/Moderate Housing Project Area No. 1 Fund
to the RDA Project Area No.1 Debt Service Fund to pay a portion of the 2004 Series
A Local Agency Revenue Bond debt service.
b) $246,168 was transferred from the Low/Moderate Housing Project Area No. 2 Fund
to the Capital Improvement Fund to pay for various capital projects. $1,953,599 was
transferred from the Low/Moderate Housing Project Area No. 2 Fund to the RDA
Project Area No. 2 Debt Service Fund to pay a portion of the 2004 Series A Local
Agency Revenue Bond debt service.
61
City of La Quinta
Notes to Financial Statements (Continued)
Note 13: Interfund Transfers (Continued)
c) $3,966,396 and $1,953,599 was transferred from the RDA Project Area No. 1 and 2
Debt Service Funds, respectively, to the Financing Authority Debt Service Fund to
pay a portion of the 2004 Series A Local Agency Revenue Bond debt service.
$5,000,000 was transferred from RDA Project Area No. 1 Debt Service Funds to the
RDA Capital Projects – PA No. 1 Fund to fund various capital projects within the
Project Area.
d) $2,872,058 was transferred to the Capital Improvement Fund from the RDA Capital
Projects – PA No. 1 Fund to fund various capital projects throughout the City.
e) $11,658,462 was transferred to the Capital Improvement Fund from the RDA 2004
Low/Mod Bond Fund for various capital projects funded by bond proceeds.
f) $4,444,520 was transferred from the Low/Moderate Housing Project Area No. 1
Fund to the RDA Project Area No. 1 Debt Service Funds to pay for a portion of the
2004 and 1994 bond issues principal and interest. $307,656 was transferred from the
Low/Moderate Housing Project Area No. 1 Fund to the Low/Moderate Housing
Project Area No. 2 Fund for the Washington Street Apartments Project.
g) $1,695,642 was transferred from the General Fund to the Capital Improvement Fund
to fund various capital projects and sales rebate agreements. The largest Capital
Projects were for the Village Cove Fire Station Phase 1 and for the Ave 58 and
Jefferson St street improvement project. The sales tax rebate agreements were with
Costco, Kohl’s and the AutoMall developer.
h) $1,999 was transferred to the La Quinta Public Safety Officer Fund from the General
Fund for public safety officers disabled or killed in the line of duty.
IV. OTHER INFORMATION
Note 14: Defined Benefit Pension Plan
Plan Description
The City of La Quinta contributes to the California Public Employees Retirement System
(PERS), a cost sharing multiple-employer public employee defined benefit pension plan.
PERS provides retirement and disability benefits, annual cost-of-living adjustments and death
benefits to plan members and beneficiaries. PERS acts as a common investment and
administrative agent for participating public entities within the State of California. Benefit
provisions and all other requirements are established by State statute and City ordinance.
Copies of PERS' annual financial report may be obtained from their executive office:
400 P Street, Sacramento, CA 95814.
Funding Policy
Participants are required to contribute 8% of their annual covered salary. The City makes the
contributions required of City employees on their behalf and for their account. The City is
required to contribute at an actuarially determined rate; the current rate is 12.571% of annual
covered payroll. The contribution requirements of plan members and the City are established
and may be amended by PERS.
62
City of La Quinta
Notes to Financial Statements (Continued)
Note 14: Defined Benefit Pension Plan (Continued)
Annual Pension Cost
For 2009, the City's annual pension cost of $973,515 for PERS was equal to the City's
required and actual contributions.
Required Percentage
Fiscal Year Contributions Contributed
6/30/2007 763,527$ 100%
6/30/2008 902,098 100%
6/30/2009 973,515 100%
Three-Year Trend Information for PERS
Note 15: Post-Employment Health Benefits
Plan Description
The City provides other postemployment benefits (OPEB) through the California Employers’
Retiree Benefit Fund (CERBT), an agent multiple-employer defined benefit healthcare plan
administered by the California Public Employees’ Retirement System (CalPERS), by
contributing on behalf of all eligible retirees $97.00/month for calendar 2008 and
$101.00/month for calendar 2009, increased in all future years according to the rate of
medical inflation. These benefits are provided per contract between the City and the
employee associations. Separate financial statements for the CERBT may be obtained by
writing to CalPERS at Lincoln Plaza North 400 Q Street, Sacramento, CA 95814 or by visiting
the CalPERS website at www.calpers.ca.gov.
Funding Policy
The contribution requirements of plan members and the City are established and may be
amended by the City, City Council and/or the employee associations. Currently, contributions
are not required from plan members. A contribution of $8,877 was made during the
2008-2009 fiscal year to cover current plan premiums.
As a result, the City calculated and recorded a Net OPEB Asset, representing the difference
between the Annual Required Contribution (ARC) and actual contributions, as presented
below:
Annual required contribution (ARC)116,821$
Adjustment to ARC -
Annual OPEB cost 116,821
Contributions made (8,877)
(Decrease) increase in Net OPEB obligation 107,944
Net OPEB obligation (asset) - beginning of year -
Net OPEB obligation (asset) - end of year 107,944$
63
City of La Quinta
Notes to Financial Statements (Continued)
Note 15: Post-Employment Health Benefits (Continued)
The City’s annual OPEB cost, the percentage of annual OPEB cost contributed to the plan
and the net OPEB obligation for 2008-2009 and the two preceding years were as follows:
Actual Percentage
Fiscal Annual Contribution of Annual Net OPEB
Year OPEB (Net of OPEB Cost Obligation
End Cost Adjustments) Contributed (Asset)
6/30/2007 N/A N/A N/A N/A
6/30/2008 N/A N/A N/A N/A
6/30/2009 $116,821 $8,877 7.60% $107,944
Funded Status and Funding Progress
Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts
and assumptions about the probability of occurrence of events far into the future. Examples
include assumptions about future employment, mortality, and the healthcare cost trend.
Amounts determined regarding the funded status of the plan and the annual required
contributions of the City are subject to continual revision as actual results are compared with
past expectations and new estimates are made about the future.
The schedule of funding progress below presents multiyear trend information about whether
the actuarial value of plan assets is increasing or decreasing over time relative to the
actuarial accrued liabilities for benefits. Only one year is presented as this is the first year of
the plan.
Unfunded UAAL as a
Actuarial Actuarial Actuarial Actuarial Percent of
Type of Valuation Value of Accrued Accrued Funded Covered Covered Interest
Valuation Date Assets Liability Liability Ratio Payroll Payroll Rate
Actual 6/30/2009 -$ 590,676$ $590,676 0.0% $7,821,474 7.6% 5.00%
Actuarial Methods and Assumptions
Projections of benefits for financial reporting purposes are based on the substantive plan (the
plan as understood by the employer and the plan members) and include the types of benefits
provided at the time of each valuation and the historical pattern of sharing of benefit costs
between the employer and plan members to that point. The actuarial methods and
assumptions used include techniques that are designed to reduce the effects of short-term
volatility in the actuarial accrued liabilities and the actuarial value of assets, consistent with
the long-term perspective of the calculations.
In the July 1, 2008, actuarial valuation, the level dollar actuarial cost method was used. The
actuarial assumptions include a 5.0% investment rate of return, which is a blended rate of the
expected long-term investment return on plan assets and on the employer’s own investments
calculated based on the funded level of the plan at the valuation date, and annual healthcare
cost trend rate of 7%. The actuarial value of assets is set equal to the reported market value
of assets. The UAAL is being amortized as a level dollar on an open basis. The remaining
amortization period at June 30, 2009, was twenty-nine years. The number of active
participants is 4.
64
City of La Quinta
Notes to Financial Statements (Continued)
Note 16: Self Insurance
The City is a member of the California Joint Powers Insurance Authority (Insurance
Authority). The Insurance Authority is composed of 122 California public entities and is
organized under a joint powers agreement pursuant to California Government Code §6500 et
seq. The purpose of the Insurance Authority is to arrange and administer programs for the
pooling of self-insured losses, to purchase excess insurance or reinsurance, and to arrange
for group purchased insurance for property and other coverages. The Insurance Authority’s
pool began covering claims of its members in 1978. Each member government has an
elected official as its representative on the Board of Directors. The Board operates through a
9-member Executive Committee.
Self-Insurance Programs of the Authority
General Liability
Each member government pays a primary deposit to cover estimated losses for a fiscal
year (claims year). After the close of a fiscal year, outstanding claims are valued. A
retrospective deposit computation is then made for each open claims year. Claims are
pooled separately between police and non-police. Costs are allocated to members by
the following methods within each of the four layers of coverage: (1) the first $30,000 of
each occurrence is charged directly to the member’s primary deposit; (2) costs from
$30,000 to $750,000 and the loss development reserves associated with losses up to
$750,000 are pooled based on the member’s share of losses under $30,000; (3) losses
from $750,000 to $2,000,000 and the associated loss development reserves are pooled
based on payroll; (4a) costs of covered claims from $2,000,000 to $50,000,000 are paid
under reinsurance and excess insurance policies (4b) subject to a $3,000,000 annual
aggregate deductible (4c) and a quota-sharing agreement whereby the Authority is
financially responsible for 40% of losses occurring within the $2,000,000 to $10,000,000
layer. The costs associated with 4a-c are estimated using actuarial models and pre-
funded as part of the primary and retrospective deposits.
The overall policy limit for each member including all layers of coverage is $50,000,000
per occurrence. Costs of covered claims for subsidence losses are paid by excess
insurance with the following sub-limits per member: $25,000,000 per occurrence with a
$15,000,000 annual aggregate.
Workers Compensation
The City also participates in the workers’ compensation pool administered by the
Insurance Authority. Each member pays a primary deposit to cover estimated losses for
a fiscal year (claims year). After the close of a fiscal year, outstanding claims are
valued. A retrospective deposit computation is then made for each open claims year.
Claims are pooled separately between public safety and non-public safety. Costs are
allocated to members by the following methods within each of the four layers of
coverage: (1) the first $50,000 of each loss is charged directly to the member’s primary
deposit; (2) losses from $50,000 to $100,000 and the loss development reserve
associated with losses up to $100,000 are pooled based on the member’s share of
losses under $50,000; (3) losses from $100,000 to $2,000,000 and the loss development
reserves associated with those losses are pooled based on payroll; (4) losses from
$2,000,000 up to statutory limits are paid under an excess insurance policy. Protection is
provided per statutory liability under California Workers’ Compensation law.
Employer’s Liability losses are pooled among members to $2,000,000, coverage from
$2,000,000 to $4,000,000 is purchased as part of an excess insurance policy, and losses
from $4,000,000 to $10,000,000 are pooled among members.
65
City of La Quinta
Notes to Financial Statements (Continued)
Note 16: Self Insurance (Continued)
Environmental Insurance
City of La Quinta participates in the pollution legal liability and remediation legal liability
insurance which is available through the Authority. The policy covers sudden and
gradual pollution of scheduled property, streets, and storm drains owned by City of La
Quinta. Coverage is on a claims-made basis. There is a $50,000 deductible. The
Authority has a limit of $50,000,000 for the 3-year period from July 1, 2008 through
July 1, 2011. Each member of the Authority has a $10,000,000 sub-limit during the
3-year term of the policy.
In addition to coverage with the Authority, the City also carries additional coverage for
earthquake & flood and real and personal property with Pacific Insurance Co. Coverage is
$5,000,000 with a 10% deductible subject to a minimum of $25,000. The total insured value
of real and personal property is $20,000,000. An excess earthquake & flood and real and
personal property policy is held with Endurance American Specialty Insurance Company.
Coverage is $2,500,000 in excess of the $5,000,000 covered by the primary policy.
Employee dishonesty, forgery and computer fraud insurance is held with Hartford Insurance
Company. Coverage is $1,000,000 with a $5,000 deductible.
All risk property insurance, including auto physical damage is held with Lexington Insurance
Company. Coverage is up to $10,000,000 per occurrence with various sublimits depending
on the property. The total insured value of real and personal property is $63,550,220.
During the past three fiscal years none of the above programs of protection have had
settlements or judgments that exceed pooled or insured coverage. There have been no
significant reductions in pooled or insured liability coverage from coverage in the prior year.
Note 17: Contingencies
Various claims and suits have been filed against the City in the normal course of operations.
Although the outcome of these lawsuits is not presently determinable, in the opinion of
management, the resolution of these matters will not have a material adverse effect on the
financial position of the City.
Vista Dunes Court Yard Homes
In October 2007, the La Quinta Redevelopment Agency entered into an agreement
pursuant to which it transferred fee title to a parcel generally located at Adams Street and
Miles Avenue (the “Site”) improved with 80 rental apartment units (the “Housing
Development”) to National CORE. National CORE, in turn transferred the Site and
Housing Development to a limited partnership as a requirement to enter into a 15 year
tax credit bond sale. In the future, National CORE is obligated to (1) exercise its option to
acquire the Site and Housing Development from the limited partnership at the close of the
15 year tax credit period, as set forth in the partnership agreement, and (2) convey fee
title to the Site and Housing Development to the City, as the Agency’s successor, on the
55th anniversary of the permanent loan closing. As of the June 30, 2009, the permanent
loan closing has not occurred.
66
City of La Quinta
Notes to Financial Statements (Continued)
Note 18: Construction Commitments
The following material construction commitments existed at June 30, 2009:
Project Name
Contract
Amount
Expenditures to
date as of June
30, 2009
Remaining
Commitments
Silver Rock Resort Infrastructure 26,358,941$ $ 1,502,001 24,856,940$
Adams Street Bridge Improvements 12,408,001 376,453 12,031,548
Community Park Land Acquisition 8,000,000 16,562 7,983,438
Silver Rock Resort Entry Feature & Roads 5,994,224 157,818 5,836,406
Cove Fire Station Phase 1 4,215,841 467,336 3,748,505
Maintenance Yard 2,585,690 109,292 2,476,398
Note 19: Unreserved Fund Balances
Unreserved fund balances at June 30, 2009, consisted of the following:
General Fund
Low/Moderate
Income
Housing PA
No. 1
Low/Moderate
Income Housing
PA No. 2
RDA PA No. 1
Capital
Projects Civic Center
RDA PA No. 1
Debt Service
RDA PA No. 2
Debt Service
Other
Governmental
Funds TOTAL
Designated for:
Emergency reserves 18,201,948$ -$ -$ -$ -$ -$ -$ -$ 18,201,948$
Cash flows 3,347,602 - - - - - - - 3,347,602
Capital improvements 2,144,085 - - 29,814,165 - - - - 31,958,250
Devt service - - - - - 5,482,142 - - 5,482,142
Carryover appropriations 3,446,533 - - - - - - - 3,446,533
Operations/projects/transfers 18,988,053 4,181,365 19,863,584 - - - - - 43,033,002
Undesignated - - - - (9,617,167) - (3,126,748) 16,360,984 3,617,069
Total unreserved fund
balances (deficit)46,128,221$ 4,181,365$ 19,863,584$ 29,814,165$ (9,617,167)$ 5,482,142$ (3,126,748)$ 16,360,984$ 109,086,546$
Note 20: Golf Course Management Agreement
The City entered into an agreement with Landmark Golf Management LLC (operator) to
manage the golf operations at the city-owned SilverRock Golf Course. The Agreement
entered into on April 6, 2004, sets forth a five year term commencing upon the completion of
the golf course. On January 14, 2005, the golf course was deemed to be complete and
management was turned over to the operator. The contract provides that the operator will
manage the day to day operations, hire employees, provide golf pro shop and food services,
manage all marketing and promotional activities, prepare the annual budget report for Council
consideration, and manage accounting and payroll functions. In addition to the annual
payment for management services, the City has advanced the operator $250,000 to pay for
golf course expenses. Twice a month the operator submits a request for reimbursement to
the City to replenish the City’s advance. In addition, the agreement sets forth the
establishment of a capital reserve fund of 2% of green fees. For the fiscal year ending
June 30, 2009, the Golf Course had an operating loss before contributions and transfers of
$1,069,337.
67
City of La Quinta
Notes to Financial Statements (Continued)
Note 21: Reimbursement Agreements
The City entered into a transient occupancy tax (TOT) revenue reimbursement agreement on
August 31, 2006, with Village Resort LLC, the owner of an Embassy Suites Hotel. The hotel
owner is required to remit on a monthly basis any TOT collected to the City, thirty days after
each month. Under terms of the agreement, the City shall make quarterly payments of 40%
of any TOT generated from the Hotel in an amount not to exceed $1,000,000 over a five year
period. The agreement terminates when either the $1,000,000 limit is reached or in
5 years whichever comes first. In addition, the hotel may not assign or transfer this
agreement without the City’s prior written consent, which it may withhold at its discretion.
The hotel opened in November 2006. As of June 30, 2009, the City made $153,886 in
reimbursement payments to the owner leaving an outstanding balance of $555,585.
The City entered into a sales tax sharing agreement on January 30, 2006, with Costco
Wholesale Corporation. Under the terms of the agreement the City shall make quarterly
payments of 40% of any sales tax generated from Costco in an amount not to exceed
$4,000,000 over a ten year period. Due to the reporting of sales tax information by the State
Board of Equalization to the City, the reimbursement payments by the City will lag by one
quarter. The agreement terminates when either the $4,000,000 limit is reached or in
10 years whichever comes first. The Costco business opened in November 2006. As of
June 30, 2009, the City made $699.912 in reimbursement payments to the owner leaving an
outstanding balance of $3,330,088.
Note 22: Subsequent Events
SERAF Tax Increment Revenue Shift for Fiscal Year 2009-2010 and 2010-2011
On July 23, 2009, the California Legislature passed SB 26, requiring a shift in tax
increment revenues during fiscal years 2009 -2010 and 2010-2011 to be deposited into
the county “Supplemental” Educational Revenue Augmentation Fund (SERAF) and which
is to be distributed to meet the State’s Prop 98 obligations to schools. It is estimated that
the Agency’s share of the SERAF shift for fiscal year 2009-2010 and 2010-2011 will
amount to approximately $23,560,481 and $4,850,687, respectively. It is anticipated that
in October 2009, when this law becomes effective, the California Redevelopment
Association and/or its members will file legal action in an attempt to stop these amounts
from having to be paid.
Local Government Revenues Withheld by the State of California
On July 24, 2009, the legislation approved the “borrowing” of up to 8 percent of the local
property tax under Proposition 1A (2004). For the City of La Quinta this is estimated to
be $964,794. The State of California is required to repay this obligation by
June 30, 2013.
68
OTHER GOVERNMENTAL FUNDS
SPECIAL REVENUE FUNDS
Special revenue funds are used to account for specific revenues (other than expendable trusts and major
capital projects) and the related expenditures that are legally required to be accounted for in a separate
fund. The City of La Quinta has the following Special Revenue Funds:
State Gas Tax Fund – To account for gasoline allocations made by the State of California. Theses
revenues are restricted by the State to expenditures for street-related purposes only.
Library Fund – To account for revenues from property tax increment dedicated library services.
Federal Assistance Fund – To account for revenues from the Community Development Block Grants
received from the Federal Government and the expenditures of those resources.
State Law Enforcements Block Grant (SLEBG) Fund – To account for state funded “Citizens for Public
Safety” (COPS) program activities, as per Assembly Bill 3229, which supplements frontline police
services such as anti-gang community crime prevention.
Indian Gaming Fund – To account for contributions for public safety activities to reduce crime and
increase public safety.
Lighting and Landscape Special Assessment District 89-1 Fund – To account for special assessments
levied on real property and the expenditure thereof from City-wide lighting and landscape maintenance
and improvements.
Riverside County Transportation Commission (RCTC) Fund - To account for grant funds related to
transportation projects.
Quimby Fund – To account for the accumulation of developer fees received under the provisions of the
Quimby Act for park development and improvements. Capital projects to be funded from this source will
be budgeted and expended in a separate capital projects fund.
La Quinta Public Safety Officer Fund – To account for contributions to be distributed to public safety
officers disabled or killed in the line of duty.
Arts in Public Places – To account for development fees paid in lieu of acquisition and installation of
approved artworks in a development with expenditures restricted to acquisition, installation, maintenance
and repair of artworks at approved sites.
South Coast Air Quality Fund – To account for contributions from the South Coast Air Quality
Management District. Use is limited to reduction and control of airborne pollutants.
AB 939 Fund – To account for the State mandated program to reduce waste sent to the landfills through
recycling efforts.
Development Agreement Fund – To account for the proceeds of development agreement revenues
collected and the related expenditures in accordance with State requirements.
69
Coachella Valley Violent Crime Gang Task Force - To account for the revenues and expenditures of this
valley-wide crime prevention program with funding coming from the member agencies and grant revenue.
Proposition 1B Fund - To account for the revenues and expenditures related to Proposition 1B monies.
CAPITAL PROJECT FUNDS
Capital projects funds account for the financial resources to be used for the acquisition, construction or
improvements of major capital facilities and infrastructure.
Infrastructure Fund - To account for the accumulation of resources provided through developer fees for
the acquisition, construction or improvement of the City’s infrastructure, prior to adoption of the new
Developer Impact Fee Structure on August 16, 1999. This fund accounts for all developer resources
received prior to this date, and is budgeted by the Council through adoption of the annual capital
improvement program budget.
Transportation Fund, Parks and Recreations Fund, Civic Center Fund, Library Development Fund,
Community Center Fund, Street Facility Fund, Park Facility Fund, Fire Facility Fund – To account for the
accumulation of resources provided through developer fees for the acquisition, construction, or
improvement of the City’s infrastructure. The Developer Impact Fee was adopted by the City Council on
August 16, 1999. Eight new funds have been established to account for the specific impact areas of these
fees, and are budgeted by the Council through adoption of the annual Capital Improvement Program
budget.
Redevelopment Agency, Capital Projects Fund Area 2 - To account for the bond proceeds, interest and
other funding that will be used for development, planning, construction and land acquisition.
2004 Low/Mod Bond Fund – To account for the 2004 revenue bond proceeds that will be used to finance
projects benefiting low and moderate income housing in La Quinta Redevelopment Project Area No. 1
and Project Area No. 2.
DEBT SERVICE FUNDS
Debt Service Funds are used to account for the accumulation of resources for, and the payment of,
governmental long-term debt principal and interest.
La Quinta Financing Authority Fund – To account for rental activity for the Civic Center and rental income
used to pay the Financing Authority civic Center and 2004 Local Agency Revenue Bond debt obligations.
70
THIS PAGE INTENTIONALLY LEFT BLANK
71
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments 367,840$ -$ -$ -$
Receivables:
Accounts - - - -
Accrued interest 410 - - 64
Due from other governments 146,428 719,997 - 29,456
Advances to other funds - - - -
Restricted assets:
Cash and investments with fiscal agents - - - -
Total Assets 514,678$ 719,997$ -$ 29,520$
Liabilities and Fund Balances:
Liabilities:
Accounts payable -$ -$ -$ -$
Unearned revenues - - - -
Deposits payable - - - -
Due to other funds - - - -
Advances from other funds - 851,083 - -
Total Liabilities - 851,083 - -
Fund Balances:
Reserved:
Reserved for encumbrances - - - -
Reserved for advances to other funds - - - -
Reserved for debt service - - - -
Unreserved:
Undesignated 514,678 (131,086) - 29,520
Total Fund Balances 514,678 (131,086) - 29,520
Total Liabilities and Fund Balances 514,678$ 719,997$ -$ 29,520$
State Gas Tax Library
Federal
Assistance SLEBG
Special Revenue Funds
72
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments
Receivables:
Accounts
Accrued interest
Due from other governments
Advances to other funds
Restricted assets:
Cash and investments with fiscal agents
Total Assets
Liabilities and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
Fund Balances:
Reserved:
Reserved for encumbrances
Reserved for advances to other funds
Reserved for debt service
Unreserved:
Undesignated
Total Fund Balances
Total Liabilities and Fund Balances
(Continued)
105,075$ -$ -$ 10,451,278$
- 25,382 - -
203 - - 11,903
- - 18,890 -
- - - -
- - - -
105,278$ 25,382$ 18,890$ 10,463,181$
-$ -$ -$ -$
105,278 - - -
- - - -
- - 18,890 -
- - - -
105,278 - 18,890 -
- - - -
- - - -
- - - -
- 25,382 - 10,463,181
- 25,382 - 10,463,181
105,278$ 25,382$ 18,890$ 10,463,181$
RCTC Quimby Indian Gaming
Lighting and
Landscaping
Special Revenue Funds
73
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments
Receivables:
Accounts
Accrued interest
Due from other governments
Advances to other funds
Restricted assets:
Cash and investments with fiscal agents
Total Assets
Liabilities and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
Fund Balances:
Reserved:
Reserved for encumbrances
Reserved for advances to other funds
Reserved for debt service
Unreserved:
Undesignated
Total Fund Balances
Total Liabilities and Fund Balances
20,740$ 925,789$ 279,251$ 1,446,869$
- - 38,822 -
24 961 318 1,643
- - - -
- - - -
- - - -
20,764$ 926,750$ 318,391$ 1,448,512$
-$ 2,300$ -$ 2,100$
- - - -
- - - -
- - - -
- - - -
- 2,300 - 2,100
- - - 2,000
- - - -
- - - -
20,764 924,450 318,391 1,444,412
20,764 924,450 318,391 1,446,412
20,764$ 926,750$ 318,391$ 1,448,512$
AB 939 Public Safety
Art in Public
Places
South Coast
Air Quality
Special Revenue Funds
74
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments
Receivables:
Accounts
Accrued interest
Due from other governments
Advances to other funds
Restricted assets:
Cash and investments with fiscal agents
Total Assets
Liabilities and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
Fund Balances:
Reserved:
Reserved for encumbrances
Reserved for advances to other funds
Reserved for debt service
Unreserved:
Undesignated
Total Fund Balances
Total Liabilities and Fund Balances
(Continued)
Capital
Projects Funds
197,893$ 188,233$ 606,886$ 407,040$
- - - -
225 226 166 463
- 7,836 - -
- - - -
- - - -
198,118$ 196,295$ 607,052$ 407,503$
-$ 1,111$ -$ -$
- - 607,052 -
198,118 - - -
- - - -
- - - -
198,118 1,111 607,052 -
- - - -
- - - -
- - - -
- 195,184 - 407,503
- 195,184 - 407,503
198,118$ 196,295$ 607,052$ 407,503$
Infrastructure
Development
Agreement
CV Violent
Crime Task
Force
Proposition
1B
Special Revenue Funds
75
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments
Receivables:
Accounts
Accrued interest
Due from other governments
Advances to other funds
Restricted assets:
Cash and investments with fiscal agents
Total Assets
Liabilities and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
Fund Balances:
Reserved:
Reserved for encumbrances
Reserved for advances to other funds
Reserved for debt service
Unreserved:
Undesignated
Total Fund Balances
Total Liabilities and Fund Balances
5,900,366$ -$ -$ 1,157,584$
- - - -
7,183 - - 1,316
- - - -
- - - -
- - - -
5,907,549$ -$ -$ 1,158,900$
-$ -$ -$ -$
- - - -
- - - -
- - - -
- 1,444,776 1,940,626 -
- 1,444,776 1,940,626 -
- - - -
- - - -
- - - -
5,907,549 (1,444,776) (1,940,626) 1,158,900
5,907,549 (1,444,776) (1,940,626) 1,158,900
5,907,549$ -$ -$ 1,158,900$
Transportation
Parks and
Recreation
Library
Development
Community
Center
Capital Projects Funds
76
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments
Receivables:
Accounts
Accrued interest
Due from other governments
Advances to other funds
Restricted assets:
Cash and investments with fiscal agents
Total Assets
Liabilities and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
Fund Balances:
Reserved:
Reserved for encumbrances
Reserved for advances to other funds
Reserved for debt service
Unreserved:
Undesignated
Total Fund Balances
Total Liabilities and Fund Balances
(Continued)
339,235$ 101,641$ -$ -$
- - - -
385 115 - -
- - - -
- - - -
- - - 6,999,121
339,620$ 101,756$ -$ 6,999,121$
-$ -$ -$ -$
- - - -
- - - -
- - - 2,143,702
- - 935,718 -
- - 935,718 2,143,702
- - - -
- - - -
- - - 6,999,121
339,620 101,756 (935,718) (2,143,702)
339,620 101,756 (935,718) 4,855,419
339,620$ 101,756$ -$ 6,999,121$
2004 Low/Mod
Bond Street Facility Park Facility Fire Facility
Capital Projects Funds
77
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2009
Assets:
Cash and investments
Receivables:
Accounts
Accrued interest
Due from other governments
Advances to other funds
Restricted assets:
Cash and investments with fiscal agents
Total Assets
Liabilities and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
Fund Balances:
Reserved:
Reserved for encumbrances
Reserved for advances to other funds
Reserved for debt service
Unreserved:
Undesignated
Total Fund Balances
Total Liabilities and Fund Balances
Capital Projects
Funds
Total
Governmental
Funds
1,122,857$ 9,706$ 23,628,283$
21,000 - 85,204
1,252 - 26,857
- - 922,607
935,718 - 935,718
- - 6,999,121
2,080,827$ 9,706$ 32,597,790$
19,628$ 1,750$ 26,889$
- - 712,330
27,835 - 225,953
- - 2,162,592
- - 5,172,203
47,463 1,750 8,299,967
- - 2,000
935,718 - 935,718
- - 6,999,121
1,097,646 7,956 16,360,984
2,033,364 7,956 24,297,823
2,080,827$ 9,706$ 32,597,790$
Redevelopment
Agency PA No. 2
Financing
Authority
Debt Service
Funds
78
THIS PAGE INTENTIONALLY LEFT BLANK
79
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Assessments -$ -$ -$ -$
Intergovernmental 1,050,821 2,636,717 26,055 100,306
Charges for services - - - -
Use of money and property 5,272 - - 495
Developer participation - - - -
Miscellaneous - - - -
Total Revenues 1,056,093 2,636,717 26,055 100,801
Expenditures:
Current:
General government - - - -
Public safety - - - -
Planning and development - - - -
Community services - 1,662,397 - -
Public works 722,724 - - -
Capital outlay - - - -
Debt service:
Principal retirement - - - -
Interest and fiscal charges - 21,079 - -
Total Expenditures 722,724 1,683,476 - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 333,369 953,241 26,055 100,801
Other Financing Sources (Uses):
Transfers in - - - -
Transfers out (96,553) - (26,055) (93,859)
Total Other Financing Sources
(Uses)(96,553) - (26,055) (93,859)
Net Change in Fund Balances 236,816 953,241 - 6,942
Fund Balances, Beginning of Year 277,862 (1,084,327) - 22,578
Fund Balances, End of Year 514,678$ (131,086)$ -$ 29,520$
Special Revenue Funds
State Gas Tax Library
Federal
Assistance SLEBG
80
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Assessments
Intergovernmental
Charges for services
Use of money and property
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Planning and development
Community services
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
(Continued)
-$ 927,816$ -$ -$
210,432 - 2,092,206 -
- - - -
- - - 182,718
- - - 53,855
- - - -
210,432 927,816 2,092,206 236,573
- - - -
- - - -
- - - -
- - - 32,130
- 934,138 - -
- - - -
- - - -
- - - -
- 934,138 - 32,130
210,432 (6,322) 2,092,206 204,443
- - - -
(210,432) - (1,773,815) (81,180)
(210,432) - (1,773,815) (81,180)
- (6,322) 318,391 123,263
- 31,704 (318,391) 10,339,918
-$ 25,382$ -$ 10,463,181$
Special Revenue Funds
Indian Gaming
Lighting and
Landscaping RCTC Quimby
81
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Assessments
Intergovernmental
Charges for services
Use of money and property
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Planning and development
Community services
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
-$ -$ -$ -$
- - 136,201 -
- - - -
361 18,852 4,651 25,281
- 105,570 - -
- 23,844 - -
361 148,266 140,852 25,281
- - - -
- - - -
- - 27,711 10,613
- 14,891 - -
- - - -
- 75,635 - -
- - - -
- - - -
- 90,526 27,711 10,613
361 57,740 113,141 14,668
2,000 - - -
- (200,000) (48,203) -
2,000 (200,000) (48,203) -
2,361 (142,260) 64,938 14,668
18,403 1,066,710 253,453 1,431,744
20,764$ 924,450$ 318,391$ 1,446,412$
Special Revenue Funds
Public Safety
Art in Public
Places
South Coast
Air Quality AB 939
82
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Assessments
Intergovernmental
Charges for services
Use of money and property
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Planning and development
Community services
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
(Continued)
Capital
Projects Funds
-$ -$ -$ -$
- 75,808 624,305 -
- - - -
- 3,269 5,552 7,083
- - - -
- - - -
- 79,077 629,857 7,083
- - - -
- 41,755 - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- 41,755 - -
- 37,322 629,857 7,083
- - - -
- - (629,857) -
- - (629,857) -
- 37,322 - 7,083
- 157,862 - 400,420
-$ 195,184$ -$ 407,503$
Special Revenue Funds
Development
Agreement
CV Violent
Crime Task
Force
Proposition
1B Infrastructure
83
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Assessments
Intergovernmental
Charges for services
Use of money and property
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Planning and development
Community services
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
-$ -$ -$ -$
- - - -
- - - -
119,063 - - 20,088
825,304 94,999 42,606 7,884
- - - -
944,367 94,999 42,606 27,972
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- 26,201 34,226 -
- 26,201 34,226 -
944,367 68,798 8,380 27,972
- - - -
(2,930,217) - - -
(2,930,217) - - -
(1,985,850) 68,798 8,380 27,972
7,893,399 (1,513,574) (1,949,006) 1,130,928
5,907,549$ (1,444,776)$ (1,940,626)$ 1,158,900$
Capital Projects Funds
Transportation
Parks and
Recreation
Library
Development
Community
Center
84
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Assessments
Intergovernmental
Charges for services
Use of money and property
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Planning and development
Community services
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
(Continued)
-$ -$ -$ -$
- - - -
- - - -
5,866 1,752 - 165,610
28,747 2,340 20,423 -
- - - -
34,613 4,092 20,423 165,610
- - - -
- - - -
- - - 2,096,000
- - - -
- - - -
- - - -
- - - -
- - 16,507 -
- - 16,507 2,096,000
34,613 4,092 3,916 (1,930,390)
- - - -
(8,165) - - (11,658,462)
(8,165) - - (11,658,462)
26,448 4,092 3,916 (13,588,852)
313,172 97,664 (939,634) 18,444,271
339,620$ 101,756$ (935,718)$ 4,855,419$
Capital Projects Funds
Street Facility Park Facility Fire Facility
2004 Low/Mod
Bond
85
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2009
Revenues:
Assessments
Intergovernmental
Charges for services
Use of money and property
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Planning and development
Community services
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
Capital Projects
Funds
Total
Governmental
Funds
-$ -$ 927,816$
- - 6,952,851
- 10,041 10,041
37,256 676,450 1,279,619
- - 1,181,728
23 - 23,867
37,279 686,491 10,375,922
- 12,878 12,878
- - 41,755
300,643 - 2,434,967
- - 1,709,418
- - 1,656,862
- - 75,635
- 1,995,000 1,995,000
- 4,601,444 4,699,457
300,643 6,609,322 12,625,972
(263,364) (5,922,831) (2,250,050)
- 5,919,994 5,921,994
(329,496) - (18,086,294)
(329,496) 5,919,994 (12,164,300)
(592,860) (2,837) (14,414,350)
2,626,224 10,793 38,712,173
2,033,364$ 7,956$ 24,297,823$
Debt Service
Funds
Redevelopment
Agency PA No. 2
Financing
Authority
86
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
STATE GAS TAX
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 277,862$ 277,862$ 277,862$ -$
Resources (Inflows):
Intergovernmental 982,800 982,800 1,050,821 68,021
Use of money and property 7,600 6,000 5,272 (728)
Amounts Available for Appropriation 1,268,262 1,266,662 1,333,955 67,293
Charges to Appropriation (Outflow):
Public works 643,014 29,480 722,724 (693,244)
Transfers out 424,393 464,393 96,553 367,840
Total Charges to Appropriations 1,067,407 493,873 819,277 (325,404)
Budgetary Fund Balance, June 30 200,855$ 772,789$ 514,678$ (258,111)$
87
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
LIBRARY
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (1,084,327)$ (1,084,327)$ (1,084,327)$ -$
Resources (Inflows):
Intergovernmental 2,628,600 2,628,600 2,636,717 8,117
Amounts Available for Appropriation 1,544,273 1,544,273 1,552,390 8,117
Charges to Appropriation (Outflow):
Community services 1,646,385 1,737,206 1,662,397 74,809
Debt service:
Interest and fiscal charges 15,000 25,000 21,079 3,921
Total Charges to Appropriations 1,661,385 1,762,206 1,683,476 78,730
Budgetary Fund Balance, June 30 (117,112)$ (217,933)$ (131,086)$ 86,847$
88
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
FEDERAL ASSISTANCE
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Intergovernmental 200,000 346,110 26,055 (320,055)
Amounts Available for Appropriation 200,000 346,110 26,055 (320,055)
Charges to Appropriation (Outflow):
Transfers out 195,000 346,110 26,055 320,055
Total Charges to Appropriations 195,000 346,110 26,055 320,055
Budgetary Fund Balance, June 30 5,000$ -$ -$ -$
89
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
SLEBG
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 22,578$ 22,578$ 22,578$ -$
Resources (Inflows):
Intergovernmental 100,000 100,000 100,306 306
Use of money and property 500 500 495 (5)
Amounts Available for Appropriation 123,078 123,078 123,379 301
Charges to Appropriation (Outflow):
Transfers out 100,400 123,078 93,859 29,219
Total Charges to Appropriations 100,400 123,078 93,859 29,219
Budgetary Fund Balance, June 30 22,678$ -$ 29,520$ 29,520$
90
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
INDIAN GAMING
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Intergovernmental 150,600 212,826 210,432 (2,394)
Use of money and property - 2,000 - (2,000)
Amounts Available for Appropriation 150,600 214,826 210,432 (4,394)
Charges to Appropriation (Outflow):
Transfers out 150,600 214,826 210,432 4,394
Total Charges to Appropriations 150,600 214,826 210,432 4,394
Budgetary Fund Balance, June 30 -$ -$ -$ -$
91
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
LIGHTING AND LANDSCAPING
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 31,704$ 31,704$ 31,704$ -$
Resources (Inflows):
Assessments 927,900 927,900 927,816 (84)
Amounts Available for Appropriation 959,604 959,604 959,520 (84)
Charges to Appropriation (Outflow):
Public works 927,900 927,900 934,138 (6,238)
Total Charges to Appropriations 927,900 927,900 934,138 (6,238)
Budgetary Fund Balance, June 30 31,704$ 31,704$ 25,382$ (6,322)$
92
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
RCTC
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (318,391)$ (318,391)$ (318,391)$ -$
Resources (Inflows):
Intergovernmental 1,997,700 4,063,268 2,092,206 (1,971,062)
Amounts Available for Appropriation 1,679,309 3,744,877 1,773,815 (1,971,062)
Charges to Appropriation (Outflow):
Transfers out - 3,744,877 1,773,815 1,971,062
Total Charges to Appropriations - 3,744,877 1,773,815 1,971,062
Budgetary Fund Balance, June 30 1,679,309$ -$ -$ -$
93
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
QUIMBY
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 10,339,918$ 10,339,918$ 10,339,918$ -$
Resources (Inflows):
Use of money and property 79,600 200,000 182,718 (17,282)
Developer participation 950,000 53,900 53,855 (45)
Amounts Available for Appropriation 11,369,518 10,593,818 10,576,491 (17,327)
Charges to Appropriation (Outflow):
Community services 35,000 67,130 32,130 35,000
Transfers out 457,600 8,995,131 81,180 8,913,951
Total Charges to Appropriations 492,600 9,062,261 113,310 8,948,951
Budgetary Fund Balance, June 30 10,876,918$ 1,531,557$ 10,463,181$ 8,931,624$
94
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
PUBLIC SAFETY
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 18,403$ 18,403$ 18,403$ -$
Resources (Inflows):
Use of money and property 500 425 361 (64)
Transfers in 2,000 2,000 2,000 -
Amounts Available for Appropriation 20,903 20,828 20,764 (64)
Charges to Appropriation (Outflow):
Public safety 2,000 2,000 - 2,000
Total Charges to Appropriations 2,000 2,000 - 2,000
Budgetary Fund Balance, June 30 18,903$ 18,828$ 20,764$ 1,936$
95
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
ART IN PUBLIC PLACES
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 1,066,710$ 1,066,710$ 1,066,710$ -$
Resources (Inflows):
Use of money and property 5,200 17,200 18,852 1,652
Developer participation 97,500 110,000 105,570 (4,430)
Miscellaneous - 24,844 23,844 (1,000)
Amounts Available for Appropriation 1,169,410 1,218,754 1,214,976 (3,778)
Charges to Appropriation (Outflow):
Community services 36,200 36,535 14,891 21,644
Capital outlay 260,000 259,665 75,635 184,030
Transfers out - 400,000 200,000 200,000
Total Charges to Appropriations 296,200 696,200 290,526 405,674
Budgetary Fund Balance, June 30 873,210$ 522,554$ 924,450$ 401,896$
96
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
SOUTH COAST AIR QUALITY
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 253,453$ 253,453$ 253,453$ -$
Resources (Inflows):
Intergovernmental 48,900 115,900 136,201 20,301
Use of money and property 7,300 4,500 4,651 151
Amounts Available for Appropriation 309,653 373,853 394,305 20,452
Charges to Appropriation (Outflow):
Planning and development 26,600 26,600 27,711 (1,111)
Transfers out - 67,000 48,203 18,797
Total Charges to Appropriations 26,600 93,600 75,914 17,686
Budgetary Fund Balance, June 30 283,053$ 280,253$ 318,391$ 38,138$
97
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
AB 939
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 1,431,744$ 1,431,744$ 1,431,744$ -$
Resources (Inflows):
Charges for services 100,900 - - -
Use of money and property 40,200 27,500 25,281 (2,219)
Amounts Available for Appropriation 1,572,844 1,459,244 1,457,025 (2,219)
Charges to Appropriation (Outflow):
Planning and development - 60,188 10,613 49,575
Total Charges to Appropriations - 60,188 10,613 49,575
Budgetary Fund Balance, June 30 1,572,844$ 1,399,056$ 1,446,412$ 47,356$
98
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
CV VIOLENT CRIME TASK FORCE
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 157,862$ 157,862$ 157,862$ -$
Resources (Inflows):
Intergovernmental 78,600 77,989 75,808 (2,181)
Use of money and property 5,000 3,500 3,269 (231)
Amounts Available for Appropriation 241,462 239,351 236,939 (2,412)
Charges to Appropriation (Outflow):
Public safety 57,100 52,100 41,755 10,345
Total Charges to Appropriations 57,100 52,100 41,755 10,345
Budgetary Fund Balance, June 30 184,362$ 187,251$ 195,184$ 7,933$
99
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
PROPOSITION 1B
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Intergovernmental 557,171 1,218,713 624,305 (594,408)
Use of money and property - 5,090 5,552 462
Amounts Available for Appropriation 557,171 1,223,803 629,857 (593,946)
Charges to Appropriation (Outflow):
Transfers out 557,171 1,236,742 629,857 606,885
Total Charges to Appropriations 557,171 1,236,742 629,857 606,885
Budgetary Fund Balance, June 30 -$ (12,939)$ -$ 12,939$
100
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
CAPITAL IMPROVEMENT
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Intergovernmental 2,815,841 12,282,997 2,491,733 (9,791,264)
Developer participation 430,000 1,321,633 900,834 (420,799)
Transfers in 6,940,584 91,042,439 22,521,610 (68,520,829)
Amounts Available for Appropriation 10,186,425 104,647,069 25,914,177 (78,732,892)
Charges to Appropriation (Outflow):
Capital outlay - 104,398,515 25,665,723 78,732,792
Debt service:
Principal retirement - 205,972 205,972 -
Interest and fiscal charges - 42,482 42,482 -
Total Charges to Appropriations - 104,646,969 25,914,177 78,732,792
Budgetary Fund Balance, June 30 10,186,425$ 100$ -$ (100)$
101
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
INFRASTRUCTURE
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 400,420$ 400,420$ 400,420$ -$
Resources (Inflows):
Use of money and property - 6,000 7,083 1,083
Amounts Available for Appropriation 400,420 406,420 407,503 1,083
Charges to Appropriation (Outflow):
Transfers out - 397,576 - 397,576
Total Charges to Appropriations - 397,576 - 397,576
Budgetary Fund Balance, June 30 400,420$ 8,844$ 407,503$ 398,659$
102
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
TRANSPORTATION
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 7,893,399$ 7,893,399$ 7,893,399$ -$
Resources (Inflows):
Use of money and property 19,300 143,000 119,063 (23,937)
Developer participation 1,015,100 850,000 825,304 (24,696)
Amounts Available for Appropriation 8,927,799 8,886,399 8,837,766 (48,633)
Charges to Appropriation (Outflow):
Transfers out 1,512,370 8,396,155 2,930,217 5,465,938
Total Charges to Appropriations 1,512,370 8,396,155 2,930,217 5,465,938
Budgetary Fund Balance, June 30 7,415,429$ 490,244$ 5,907,549$ 5,417,305$
103
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
PARKS AND RECREATION
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (1,513,574)$ (1,513,574)$ (1,513,574)$ -$
Resources (Inflows):
Developer participation 356,800 60,000 94,999 34,999
Amounts Available for Appropriation (1,156,774) (1,453,574) (1,418,575) 34,999
Charges to Appropriation (Outflow):
Debt service:
Interest and fiscal charges 37,500 37,500 26,201 11,299
Total Charges to Appropriations 37,500 37,500 26,201 11,299
Budgetary Fund Balance, June 30 (1,194,274)$ (1,491,074)$ (1,444,776)$ 46,298$
104
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
CIVIC CENTER
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (9,393,000)$ (9,393,000)$ (9,393,000)$ -$
Resources (Inflows):
Developer participation 424,200 100,000 145,087 45,087
Amounts Available for Appropriation (8,968,800) (9,293,000) (9,247,913) 45,087
Charges to Appropriation (Outflow):
General government 202,764 202,764 205,776 (3,012)
Debt service:
Interest and fiscal charges 231,250 231,250 163,478 67,772
Total Charges to Appropriations 434,014 434,014 369,254 64,760
Budgetary Fund Balance, June 30 (9,402,814)$ (9,727,014)$ (9,617,167)$ 109,847$
105
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
LIBRARY DEVELOPMENT
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (1,949,006)$ (1,949,006)$ (1,949,006)$ -$
Resources (Inflows):
Developer participation 142,000 30,000 42,606 12,606
Amounts Available for Appropriation (1,807,006) (1,919,006) (1,906,400) 12,606
Charges to Appropriation (Outflow):
Debt service:
Interest and fiscal charges 48,750 48,750 34,226 14,524
Total Charges to Appropriations 48,750 48,750 34,226 14,524
Budgetary Fund Balance, June 30 (1,855,756)$ (1,967,756)$ (1,940,626)$ 27,130$
106
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
COMMUNITY CENTER
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 1,130,928$ 1,130,928$ 1,130,928$ -$
Resources (Inflows):
Use of money and property 39,800 30,000 20,088 (9,912)
Developer participation 29,600 5,000 7,884 2,884
Amounts Available for Appropriation 1,200,328 1,165,928 1,158,900 (7,028)
Budgetary Fund Balance, June 30 1,200,328$ 1,165,928$ 1,158,900$ (7,028)$
107
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
STREET FACILTY
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 313,172$ 313,172$ 313,172$ -$
Resources (Inflows):
Use of money and property 300 5,000 5,866 866
Developer participation 35,300 35,300 28,747 (6,553)
Amounts Available for Appropriation 348,772 353,472 347,785 (5,687)
Charges to Appropriation (Outflow):
Transfers out 2,152,707 2,484,563 8,165 2,476,398
Total Charges to Appropriations 2,152,707 2,484,563 8,165 2,476,398
Budgetary Fund Balance, June 30 (1,803,935)$ (2,131,091)$ 339,620$ 2,470,711$
108
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
PARK FACILITY
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 97,664$ 97,664$ 97,664$ -$
Resources (Inflows):
Use of money and property 2,000 2,000 1,752 (248)
Developer participation 8,800 2,000 2,340 340
Amounts Available for Appropriation 108,464 101,664 101,756 92
Budgetary Fund Balance, June 30 108,464$ 101,664$ 101,756$ 92$
109
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
FIRE FACILITY
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (939,634)$ (939,634)$ (939,634)$ -$
Resources (Inflows):
Developer participation 59,600 20,000 20,423 423
Amounts Available for Appropriation (880,034) (919,634) (919,211) 423
Charges to Appropriation (Outflow):
Debt service:
Interest and fiscal charges 23,125 23,125 16,507 6,618
Transfers out 1,400,000 - - -
Total Charges to Appropriations 1,423,125 23,125 16,507 6,618
Budgetary Fund Balance, June 30 (2,303,159)$ (942,759)$ (935,718)$ 7,041$
110
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
2004 LOW/MOD BOND
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 18,444,271$ 18,444,271$ 18,444,271$ -$
Resources (Inflows):
Use of money and property 102,000 165,000 165,610 610
Amounts Available for Appropriation 18,546,271 18,609,271 18,609,881 610
Charges to Appropriation (Outflow):
Planning and development - 3,052,800 2,096,000 956,800
Transfers out - 12,390,202 11,658,462 731,740
Total Charges to Appropriations - 15,443,002 13,754,462 1,688,540
Budgetary Fund Balance, June 30 18,546,271$ 3,166,269$ 4,855,419$ 1,689,150$
111
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
REDEVELOPMENT AGENCY PA NO. 1 - CAPITAL PROJECTS
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 43,124,188$ 43,124,188$ 43,124,188$ -$
Resources (Inflows):
Use of money and property 300,000 763,000 684,429 (78,571)
Transfers in 15,000,000 5,000,000 5,000,000 -
Amounts Available for Appropriation 58,424,188 48,887,188 48,808,617 (78,571)
Charges to Appropriation (Outflow):
Planning and development 1,198,868 1,231,198 1,007,276 223,922
Capital outlay 9,000 9,000 - 9,000
Transfers out 85,000 43,013,915 2,872,058 40,141,857
Total Charges to Appropriations 1,292,868 44,254,113 3,879,334 40,374,779
Budgetary Fund Balance, June 30 57,131,320$ 4,633,075$ 44,929,283$ 40,296,208$
112
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
REDEVELOPMENT AGENCY PA NO. 2 - CAPITAL PROJECTS
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 2,626,224$ 2,626,224$ 2,626,224$ -$
Resources (Inflows):
Use of money and property 84,000 36,000 37,256 1,256
Miscellaneous - - 23 23
Amounts Available for Appropriation 2,710,224 2,662,224 2,663,503 1,279
Charges to Appropriation (Outflow):
Planning and development 241,086 430,201 300,643 129,558
Transfers out - 399,896 329,496 70,400
Total Charges to Appropriations 241,086 830,097 630,139 199,958
Budgetary Fund Balance, June 30 2,469,138$ 1,832,127$ 2,033,364$ 201,237$
113
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
FINANCING AUTHORITY - DEBT SERVICE
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 10,793$ 10,793$ 10,793$ -$
Resources (Inflows):
Charges for services 15,000 15,000 10,041 (4,959)
Use of money and property 675,880 676,450 676,450 -
Transfers in 5,919,994 5,919,994 5,919,994 -
Amounts Available for Appropriation 6,621,667 6,622,237 6,617,278 (4,959)
Charges to Appropriation (Outflow):
General government 15,800 15,800 12,878 2,922
Debt service:
Principal retirement 1,995,000 1,995,000 1,995,000 -
Interest and fiscal charges 4,601,444 4,601,444 4,601,444 -
Total Charges to Appropriations 6,612,244 6,612,244 6,609,322 2,922
Budgetary Fund Balance, June 30 9,423$ 9,993$ 7,956$ (2,037)$
114
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
REDEVELOPMENT AGENCY PA NO. 1 - DEBT SERVICE
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 5,084,497$ 5,084,497$ 5,084,497$ -$
Resources (Inflows):
Taxes 21,386,188 16,194,332 17,278,996 1,084,664
Use of money and property 173,600 173,600 220,854 47,254
Transfers in 4,444,479 4,444,479 4,444,520 41
Amounts Available for Appropriation 31,088,764 25,896,908 27,028,867 1,131,959
Charges to Appropriation (Outflow):
General government 403,200 563,900 484,171 79,729
Debt service:
Principal retirement 3,745,968 3,745,968 3,745,968 -
Interest and fiscal charges 8,350,190 8,350,190 8,350,190 -
Pass-through agreement payments - - - -
Transfers out 18,966,396 8,966,396 8,966,396 -
Total Charges to Appropriations 31,465,754 21,626,454 21,546,725 79,729
Budgetary Fund Balance, June 30 (376,990)$ 4,270,454$ 5,482,142$ 1,211,688$
115
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
REDEVELOPMENT AGENCY PA NO. 2 - DEBT SERVICE
YEAR ENDED JUNE 30, 2009
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (4,455,247)$ (4,455,247)$ (4,455,247)$ -$
Resources (Inflows):
Taxes 4,242,013 4,219,737 3,597,428 (622,309)
Use of money and property - 280,000 269,131 (10,869)
Transfers in 1,953,598 1,953,598 1,953,599 1
Amounts Available for Appropriation 1,740,364 1,998,088 1,364,911 (633,177)
Charges to Appropriation (Outflow):
General government 209,300 250,525 261,348 (10,823)
Debt service:
Principal retirement 115,000 115,000 315,000 (200,000)
Interest and fiscal charges 1,961,712 1,961,712 1,961,712 -
Pass-through agreement payments - - - -
Transfers out 1,953,599 1,953,599 1,953,599 -
Total Charges to Appropriations 4,239,611 4,280,836 4,491,659 (210,823)
Budgetary Fund Balance, June 30 (2,499,247)$ (2,282,748)$ (3,126,748)$ (844,000)$
116
INTERNAL SERVICE FUNDS
Internal service funds are used to account for activities involved in rendering services to
departments within the City. Costs of materials and services used are accumulated in this fund
and charged to the user departments as such goods are delivered or services rendered.
The City of La Quinta has the following Internal Service Funds:
Equipment Replacement Fund – used to account for the ultimate replacement of City owned
and operated vehicles and equipment
Information Technology Fund – used to account for the purchase and replacement of
information systems.
Park Equipment and Facilities Fund – used to account for the purchase and replacement of City
owned park facility infrastructure.
117
CITY OF LA QUINTA
COMBINING STATEMENT OF NET ASSETS
INTERNAL SERVICE FUNDS
JUNE 30, 2009
Totals
Assets:
Current:
Cash and investments 2,662,736$ 1,294,017$ 1,650,705$ 5,607,458$
Receivables:
Accrued interest 3,018 1,414 1,875 6,307
Total Current Assets 2,665,754 1,295,431 1,652,580 5,613,765
Noncurrent:
Capital assets - net of
accumulated depreciation 1,209,701 443,790 14,458,372 16,111,863
Total Noncurrent Assets 1,209,701 443,790 14,458,372 16,111,863
Total Assets 3,875,455$ 1,739,221$ 16,110,952$ 21,725,628$
Liabilities and Net Assets:
Liabilities:
Current:
Accounts payable 8,989$ 208$ -$ 9,197$
Accrued liabilities - 3,007 - 3,007
Total Current Liabilities 8,989 3,215 - 12,204
Noncurrent:
Accrued compensated absences - 7,561 - 7,561
Total Noncurrent Liabilities - 7,561 - 7,561
Total Liabilities 8,989 10,776 - 19,765
Net Assets:
Invested in capital assets, net of related debt 1,209,701 443,790 14,458,372 16,111,863
Unrestricted 2,656,765 1,284,655 1,652,580 5,594,000
Total Net Assets 3,866,466 1,728,445 16,110,952 21,705,863
Total Liabilities and Net Assets 3,875,455$ 1,739,221$ 16,110,952$ 21,725,628$
Governmental Activities - Internal Service Funds
Equipment
Replacement
Information
Technology
Park
Equipment and
Facilities
118
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET ASSETS
INTERNAL SERVICE FUNDS
JUNE 30, 2009
Totals
Operating Revenues:
Sales and service charges 716,881$ 494,201$ 413,394$ 1,624,476$
Total Operating Revenues 716,881 494,201 413,394 1,624,476
Operating Expenses:
Salaries and benefits - 113,131 - 113,131
Fuel and oil 79,531 - - 79,531
Maintenance and parts 101,560 - - 101,560
Contract services 13,730 31,183 90,361 135,274
Software and supplies - 106,209 - 106,209
Depreciation 271,226 104,843 423,559 799,628
Other 15,104 7,324 - 22,428
Total Operating Expenses 481,151 362,690 513,920 1,357,761
Operating Income (Loss)235,730 131,511 (100,526) 266,715
Nonoperating Revenues (Expenses):
Interest revenue 48,648 24,805 29,554 103,007
Gain (loss) on disposal of capital assets 21,542 - - 21,542
Total Nonoperating
Revenues (Expenses)70,190 24,805 29,554 124,549
Income (Loss) Before
Contributions and Transfers 305,920 156,316 (70,972) 391,264
Capital contributions 127,122 16,210 64,645 207,977
Transfers in 25,000 - - 25,000
Changes in Net Assets 458,042 172,526 (6,327) 624,241
Net Assets:
Beginning of Year 3,408,424 1,555,919 16,117,279 21,081,622
Changes in Net Assets 458,042 172,526 (6,327) 624,241
End of Fiscal Year 3,866,466$ 1,728,445$ 16,110,952$ 21,705,863$
Governmental Activities - Internal Service Funds
Equipment
Replacement
Information
Technology
Park
Equipment and
Facilities
119
CITY OF LA QUINTA
COMBINING STATEMENT OF CASH FLOWS
INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2009
Totals
Cash Flows from Operating Activities:
Cash received from/(paid to) interfund service provided 716,881$ 494,201$ 413,394$ 1,624,476$
Cash paid to suppliers for goods and services (213,755) (156,903) (90,414) (461,072)
Cash paid to employees for services - (108,822) - (108,822)
Net Cash Provided (Used) by Operating Activities 503,126 228,476 322,980 1,054,582
Cash Flows from Non-Capital
Financing Activities:
Cash transfers in 25,000 - - 25,000
Net Cash Provided (Used) by
Non-Capital Financing Activities 25,000 - - 25,000
Cash Flows from Capital
and Related Financing Activities:
Acquisition and construction of capital assets (71,395) (65,055) - (136,450)
Proceeds from sales of capital assets 21,542 - - 21,542
Net Cash Provided (Used) by
Capital and Related Financing Activities (49,853) (65,055) - (114,908)
Cash Flows from Investing Activities:
Interest received 54,858 27,640 32,689 115,187
Net Cash Provided (Used) by
Investing Activities 54,858 27,640 32,689 115,187
Net Increase (Decrease) in Cash
and Cash Equivalents 533,131 191,061 355,669 1,079,861
Cash and Cash Equivalents at Beginning of Year 2,129,605 1,102,956 1,295,036 4,527,597
Cash and Cash Equivalents at End of Year 2,662,736$ 1,294,017$ 1,650,705$ 5,607,458$
Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:
Operating income (loss)235,730$ 131,511$ (100,526)$ 266,715$
Adjustments to reconcile operating income (loss)
net cash provided (used) by operating activities:
Depreciation 271,226 104,843 423,559 799,628
Increase (decrease) in accounts payable (3,830) (12,187) (53) (16,070)
Increase (decrease) in accrued liabilities - 676 - 676
Increase (decrease) in compensated absences - 3,633 - 3,633
Total Adjustments 267,396 96,965 423,506 787,867
Net Cash Provided (Used) by
Operating Activities 503,126$ 228,476$ 322,980$ 1,054,582$
Non-Cash Investing, Capital, and Financing Activities:
Capital assets contributed by other funds 127,122$ 16,210$ 64,645$ 207,977$
Governmental Activities - Internal Service Funds
Equipment
Replacement
Information
Technology
Park
Equipment
and Facilities
120
AGENCY FUNDS
Agency funds are used to account for assets held by the City as an agent for an individual,
private organizations and other governmental units. The agency funds and their purposes are
as follows:
The City of La Quinta has the following agency funds:
Assessment District No. 97-1 and 2001-1 – To account for assessments paid to the City for debt
service payments on bond issues used to finance sewer improvements.
121
CITY OF LA QUINTA
COMBINING BALANCE SHEET
ALL AGENCY FUNDS
JUNE 30, 2009
Totals
Assets:
Cash and investments 138,694$ 428,276$ 566,970$
Receivables:
Taxes 2,396 8,900 11,296
Accrued interest 157 498 655
Total Assets 141,247$ 437,674$ 578,921$
Liabilities:
Deposits payable 141,247$ 437,674$ 578,921$
Total Liabilities 141,247$ 437,674$ 578,921$
Assessment
District No. 97-1
Assessment
District No. 2001-1
122
CITY OF LA QUINTA
COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
ALL AGENCY FUNDS
YEAR ENDED JUNE 30, 2009
Balance Balance
July 1, 2008 Additions Deductions June 30, 2009
Assessment District No. 97-1
Assets:
Cash and investments 151,036$ 67,058$ 79,400$ 138,694$
Receivables:
Taxes 1,567 2,396 1,567 2,396
Accrued interest 553 157 553 157
Total Assets 153,156$ 69,611$ 81,520$ 141,247$
Liabilities:
Deposits payable 153,156$ 67,544$ 79,453$ 141,247$
Total Liabilities 153,156$ 67,544$ 79,453$ 141,247$
Assessment District No. 2001-1
Assets:
Cash and investments 458,128$ 232,607$ 262,459$ 428,276$
Receivables:
Taxes 20,755 8,900 20,755 8,900
Accrued interest 1,696 498 1,696 498
Total Assets 480,579$ 242,005$ 284,910$ 437,674$
Liabilities:
Deposits payable 480,579$ 220,044$ 262,949$ 437,674$
Total Liabilities 480,579$ 220,044$ 262,949$ 437,674$
Totals - All Agency Funds
Assets:
Cash and investments 609,164$ 299,665$ 341,859$ 566,970$
Receivables:
Taxes 22,322 11,296 22,322 11,296
Accrued interest 2,249 655 2,249 655
Total Assets 633,735$ 311,616$ 366,430$ 578,921$
Liabilities:
Deposits payable 633,735$ 287,588$ 342,402$ 578,921$
Total Liabilities 633,735$ 287,588$ 342,402$ 578,921$
123
THIS PAGE INTENTIONALLY LEFT BLANK
124
STATISTICAL SECTION
This part of the City of La Quinta’s comprehensive annual financial report presents
detailed information as a context for understanding what the information in the financial
statements, note disclosures, and required supplementary information says about the
government’s overall financial health.
Contents Page
Financial Trends
These schedules contain trend information to help the reader
understand how the government’s financial performance and
well-being have changed over time. 126
Revenue Capacity
These schedules obtain information to help the reader assess
the government’s most significant local revenue source, the
property tax. 132
Debt Capacity
These schedules present information to help the reader assess
the ability of the government’s current levels of outstanding debt
and the government’s ability to issue additional debt in the
future. 137
Demographic and Economic Information
These schedules offer demographic and economic indicators to
help the reader understand the environment within which the
government’s financial activities that take place. 142
Operating Information
These schedules contain service and infrastructure data to help
the reader understand how the information in the government’s
financial report relates to the services the government provides
and the activities it performs. 145
125
TABLE 1
2001 2002 2003 2004 2005 2006 2007 2008 2009
Governmental activities:
Invested in capital assets,
net of related debt 217,419,724$ 195,474,945 225,818,022 249,059,500 233,361,129 253,559,117 300,220,033 343,019,328 323,669,955
Restricted 45,438,930 74,156,691 40,038,313 44,415,966 43,421,857 65,159,623 49,277,895 86,041,189 105,297,168
Unrestricted 30,698,622 43,025,999 48,290,000 45,169,328 60,361,071 86,129,376 106,939,577 79,642,102 96,654,981
Total governmental activities net assets 293,557,276$ 312,657,635 314,146,335 338,644,794 337,144,057 404,848,116 456,437,505 508,702,619 525,622,104
Business-type activities:
Invested in capital assets,
net of related debt -$ - - - 41,300,846 42,075,172 42,692,025 42,778,015 42,767,282
Restricted - - - - - - - - -
Unrestricted - - - - (626,658) (1,665,646) (2,385,462) (3,109,524) (4,168,128)
Total business-type activities net assets - - - - 40,674,188 40,409,526 40,306,563 39,668,491 38,599,154
Primary government:
Invested in capital assets,
net of related debt 217,419,724$ 195,474,945 225,818,022 249,059,500 274,661,975 295,634,289 342,912,058 385,797,343 366,437,237
Restricted 45,438,930 74,156,691 40,038,313 44,415,966 43,421,857 65,159,623 49,277,895 86,041,189 105,297,168
Unrestricted 30,698,622 43,025,999 48,290,000 45,169,328 59,734,413 84,463,730 104,554,115 76,532,578 92,486,853
Total primary government net assets 293,557,276$ 312,657,635 314,146,335 338,644,794 377,818,245 445,257,642 496,744,068 548,371,110 564,221,258
Source: City of La Quinta
Fiscal Year
CITY OF LA QUINTA
Net Assets by Component
Last Nine Fiscal Years
(accrual basis of accounting)
126
TABLE 2
2001 2002 2003 2004 2005 2006 2007 2008 2009
Expenses:
Governmental activities:
General government 3,146,699$ 3,241,576 3,203,462 4,319,778 3,595,906 4,229,871 6,284,342 6,953,073 7,836,146
Public safety 5,776,628 7,522,532 8,547,005 10,256,463 8,512,875 9,065,244 12,724,100 13,472,036 19,736,941
Community services 940,881 1,411,943 1,321,825 1,446,999 1,157,141 1,426,033 4,299,453 5,797,116 14,808,850
Planning and development 6,146,998 7,110,125 19,083,860 7,526,977 5,752,239 5,906,915 7,736,520 35,323,858 7,317,689
Public works 5,968,911 6,434,239 6,785,759 6,003,013 9,101,582 10,006,335 10,511,874 11,097,526 11,100,833
Interest on long-term debt 5,861,632 7,791,759 8,555,401 9,658,779 15,265,051 15,494,656 15,163,422 15,522,441 15,631,438
Total governmental activities expenses 27,841,749 33,512,174 47,497,312 39,212,009 43,384,794 46,129,054 56,719,711 88,166,050 76,431,897
Business-type activities:
Golf Course - - - - 1,877,291 4,523,146 4,520,173 4,761,581 4,440,546
Total business-type activities expenses - - - - 1,877,291 4,523,146 4,520,173 4,761,581 4,440,546
Total primary government expenses 27,841,749 33,512,174 47,497,312 39,212,009 45,262,085 50,652,200 61,239,884 92,927,631 80,872,443
Program revenues:
Governmental activities:
Charges for services:
General government 214,601 253,891 298,749 337,376 445,663 717,849 60,530 8,328 25,053
Public safety 2,860,434 2,544,528 2,917,866 4,004,621 4,438,115 4,168,206 2,659,515 2,050,492 1,373,952
Planning and development 709,033 565,098 611,278 662,737 754,938 1,873,676 169,643 134,211 138,391
Community services 123,960 170,865 205,806 252,677 252,501 428,947 387,065 374,092 275,178
Public works 1,429,942 1,316,373 1,594,225 1,813,993 2,815,703 3,021,379 2,244,156 1,900,437 1,308,702
Operating grants and contributions 1,601,716 1,699,255 1,797,031 1,799,503 1,935,578 3,603,173 3,796,495 5,905,664 10,725,280
Capital grants and contributions 14,375,463 11,662,424 5,160,405 2 12,090,143 18,591,423 33,918,901 17,601,131 50,090,419 10,647,270
Total governmental activities
program revenues 21,315,149 18,212,434 12,585,360 20,961,050 29,233,921 47,732,131 26,918,535 60,463,643 24,493,826
Business-type activities:
Charges for services:
Golf Course - - - - 1,091,836 3,120,728 3,540,748 3,814,233 3,368,135
Capital grants and contributions - - - - - - - 352,687 -
Total business-type activities
program revenues - - - - 1,091,836 3,120,728 3,540,748 4,166,920 3,368,135
Total primary government
program revenues 21,315,149 18,212,434 12,585,360 20,961,050 30,325,757 50,852,859 30,459,283 64,630,563 27,861,961
(continued) (continued) (continued) (continued) (continued) (continued) (continued) (continued) (continued)
Net revenues (expenses):
Governmental activities (6,526,600) (15,299,740) (34,911,952) (18,250,959) (14,150,873) 1,603,077 (29,801,176) (27,702,407) (51,938,071)
Business-type activities - - - - (785,455) (1,402,418) (979,425) (594,661) (1,072,411)
Total net revenues (expenses)(6,526,600) (15,299,740) (34,911,952) (18,250,959) (14,936,328) 200,659 (30,780,601) (28,297,068) (53,010,482)
General revenues and other changes in net assets:
Governmental activities:
Taxes:
Property taxes 1,162,634 1,450,196 1,800,616 2,198,141 2,579,245 3,679,079 4,999,051 6,014,305 6,653,583
Tax increment 15,324,183 18,899,329 21,191,832 24,450,337 24,443,112 35,168,329 42,583,031 42,114,893 36,702,197
Sales tax 3,778,583 3,093,588 4,345,381 5,240,037 6,773,566 7,613,075 8,896,716 8,492,213 7,279,513
Transient occupancy taxes 4,249,753 3,967,003 4,036,290 4,261,767 4,831,338 5,437,238 5,448,361 5,327,203 4,480,467
Franchise taxes 625,790 654,696 690,544 895,810 1,185,087 1,044,470 1,259,985 1,748,082 1,533,249
Business license taxes 156,026 168,798 186,220 191,062 251,618 276,917 307,032 317,011 285,304
Other taxes 359,284 311,024 513,934 675,996 1,141,177 1,049,701 872,753 641,705 455,089
Investment income 3,578,206 3,006,097 1,353,868 1,738,505 4,336,050 6,319,502 11,854,951 10,230,489 7,387,244
Motor vehicle in lieu, unrestricted 1,496,620 1,473,217 1,768,091 1,608,151 2,453,642 2,740,233 3,291,055 3,803,647 3,940,801
Gain (loss) on sale of capital assets - (21,397) - - 3,717,470 1,967,292 - 57,346 21,542
Miscellaneous 292,036 692,691 513,876 1,489,612 2,397,474 1,943,093 2,052,246 1,220,627 118,567
Transfers - - - - 1 (41,459,643) 1 (1,137,203) 1 (874,645) - -
Total governmental activities 31,023,115 33,695,242 36,400,652 42,749,418 12,650,136 66,101,726 80,690,536 79,967,521 68,857,556
Business-type activities:
Investment income - - - - - 553 1,817 4,310 3,074
Gain (loss) on sale of capital assets - - - - - - - (47,721) -
Transfers - - - - 1 41,459,643 1 1,137,203 1 874,645 - -
Total business-type activities - - - - 41,459,643 1,137,756 876,462 (43,411) 3,074
Total primary government 31,023,115 33,695,242 36,400,652 42,749,418 54,109,779 67,239,482 81,566,998 79,924,110 68,860,630
Changes in net assets
Governmental activities 24,496,515 18,395,502 1,488,700 24,498,459 (1,500,737) 67,704,803 50,889,360 52,265,114 16,919,485
Business-type activities - - - - 40,674,188 (264,662) (102,963) (638,072) (1,069,337)
Total primary government 24,496,515$ 18,395,502 1,488,700 24,498,459 39,173,451 67,440,141 50,786,397 51,627,042 15,850,148
1 The transfer was for land & golf course improvements transferred to the Enterprise Fund.
Fiscal Year
CITY OF LA QUINTA
Changes in Net Assets
Last Nine Fiscal Years
(accrual basis of accounting)
127
TABLE 3
2001 2002 2003 2004 2005 2006 2007 2008 2009
Expenses:
General government 3,146,699$ 3,241,576 3,203,462 4,319,778 3,595,906 4,229,871 6,284,342 6,953,073 7,836,146
Public safety 5,776,628 7,522,532 8,547,005 10,256,463 8,512,875 9,065,244 12,724,100 13,472,036 19,736,941
Community services 940,881 1,411,943 1,321,825 1,446,999 1,157,141 1,426,033 4,299,453 5,797,116 14,808,850
Planning and development 6,146,998 7,110,125 19,083,860 7,526,977 5,752,239 5,906,915 7,736,520 35,323,858 7,317,689
Public works 5,968,911 6,434,239 6,785,759 6,003,013 9,101,582 10,006,335 10,511,874 11,097,526 11,100,833
Interest on long-term debt 5,861,632 7,791,759 8,555,401 9,658,779 15,265,051 15,494,656 15,163,422 15,522,441 15,631,438
Total governmental activities expenses 27,841,749 33,512,174 47,497,312 39,212,009 43,384,794 46,129,054 56,719,711 88,166,050 76,431,897
Program revenues:
Charges for services:
General government 214,601 253,891 298,749 337,376 445,663 717,849 60,530 8,328 25,053
Public safety 2,860,434 2,544,528 2,917,866 4,004,621 4,438,115 4,168,206 2,659,515 2,050,492 1,373,952
Community services 123,960 170,865 205,806 252,677 252,501 428,947 387,065 374,092 275,178
Planning and development 709,033 565,098 611,278 662,737 754,938 1,873,676 169,643 134,211 138,391
Public works 1,429,942 1,316,373 1,594,225 1,813,993 2,815,703 3,021,379 2,244,156 1,900,437 1,308,702
Operating grants and contributions 1,601,716 1,699,255 1,797,031 1,799,503 1,935,578 3,603,173 3,796,495 5,905,664 10,725,280
Capital grants and contributions 14,375,463 11,662,424 5,160,405 12,090,143 18,591,423 33,918,901 17,601,131 50,090,419 10,647,270
Total governmental activities
program revenues 21,315,149 18,212,434 12,585,360 20,961,050 29,233,921 47,732,131 26,918,535 60,463,643 24,493,826
Net program revenues (expenses) (6,526,600) (15,299,740) (34,911,952) (18,250,959) (14,150,873) 1,603,077 (29,801,176) (27,702,407) (51,938,071)
General revenues and other changes in net assets:
Taxes:
Property taxes 1,162,634 1,450,196 1,800,616 2,198,141 2,579,245 3,679,079 4,999,051 6,014,305 6,653,583
Tax increment 15,324,183 18,899,329 21,191,832 24,450,337 24,443,112 35,168,329 42,583,031 42,114,893 36,702,197
Sales tax 3,778,583 3,093,588 4,345,381 5,240,037 6,773,566 7,613,075 8,896,716 8,492,213 7,279,513
Transient occupancy taxes 4,249,753 3,967,003 4,036,290 4,261,767 4,831,338 5,437,238 5,448,361 5,327,203 4,480,467
Franchise tax 625,790 654,696 690,544 895,810 1,185,087 1,044,470 1,259,985 1,748,082 1,533,249
Business license taxes 156,026 168,798 186,220 191,062 251,618 276,917 307,032 317,011 285,304
Other tax 359,284 311,024 513,934 675,996 1,141,177 1,049,701 872,753 641,705 455,089
Motor vehicle in lieu, unrestricted 1,496,620 1,473,217 1,768,091 1,608,151 2,453,642 2,740,233 3,291,055 3,803,647 3,940,801
Investment income 3,578,206 3,006,097 1,353,868 1,738,505 4,336,050 6,319,502 11,854,951 10,230,489 7,387,244
Gain (loss) on sale of capital assets - (21,397) - - 3,717,470 1,967,292 - 57,346 21,542
Miscellaneous 292,036 692,691 513,876 1,489,612 2,397,474 1,943,093 2,052,246 1,220,627 118,567
Transfers - - - - (41,459,643) (1,137,203) (874,645) - -
Total governmental activities 31,023,115 33,695,242 36,400,652 42,749,418 12,650,136 66,101,726 80,690,536 79,967,521 68,857,556
Changes in net assets -
governmental activities 24,496,515$ 18,395,502 1,488,700 24,498,459 (1,500,737) 67,704,803 50,889,360 52,265,114 16,919,485
Source: City of La Quinta
Fiscal Year
CITY OF LA QUINTA
Changes in Net Assets - Governmental Activities
Last Nine Fiscal Years
(accrual basis of accounting)
128
TABLE 4
2005 2006 2007 2008 2009
Expenses:
Golf Course 1,877,291 2 4,523,146 4,520,173 4,761,581 4,440,546
Total business-type activities expenses 1,877,291 4,523,146 4,520,173 4,761,581 4,440,546
Program revenues:
Charges for services:
Golf Course 1,091,836 2 3,120,728 3,540,748 3,814,233 3,368,135
Capital grants and contributions - - - 352,687 -
Total business-type activities
program revenues 1,091,836 3,120,728 3,540,748 4,166,920 3,368,135
Net revenues (expenses)(785,455) (1,402,418) (979,425) (594,661) (1,072,411)
General revenues and other changes in net assets:
Investment income - 553 1,817 4,310 3,074
Gain (loss) on sale of capital assets - - - (47,721) -
Transfers - 164,190 874,645 - -
Capital contributions 1 41,459,643 973,013 979,425
Total business-type activities 41,459,643 1,137,756 1,855,887 (43,411) 3,074
Changes in net assets - business-type activities 40,674,188 (264,662) 876,462 (638,072) (1,069,337)
Fiscal Year
CITY OF LA QUINTA
Changes in Net Assets - Business-type Activities
Last Five Fiscal Years
(accrual basis of accounting)
The City of La Quinta implemented the business type activities in FY
1
2 This was the first full year of operations for the Golf Course
Source: City of La Quinta
The transfer was for land & golf course improvements
transferred to the Enterprise Fund.
The City of La Quinta implemented the business type activities in FY
2004/2005.
129
TABLE 5
2001 2002 2003 2004 2005 2006 2007 2008 2009
General fund:
Reserved 11,746,211$ 12,897,893 21,099,910 29,210,757 32,412,590 23,210,506 28,388,633 45,441,896 46,199,160
Unreserved 23,878,259 27,981,710 26,584,773 25,494,479 31,514,377 53,058,618 56,251,887 47,010,123 46,128,221
Total general fund 35,624,470$ 40,879,603 47,684,683 54,705,236 63,926,967 76,269,124 84,640,520 92,452,019 92,327,381
All other governmental funds:
Reserved 13,480,545$ 45,508,787 38,404,982 98,476,000 1 99,751,862$ 95,515,445 31,211,751 11,568,126 25,142,722
Unreserved, reported in:
Special revenue funds 6,352,995 12,107,305 9,382,431 9,286,459 19,267,394 36,475,093 27,770,552 32,419,068 37,849,825
Capital projects funds 18,712,013 12,423,247 16,368,205 28,600,240 1,831,415 6,499,827 58,370,198 55,831,061 22,745,150
Debt service funds (6,800,030) (5,622,884) (6,182,506) (11,099,245) (7,236,054) 738,590 10,634 (4,445,109) 2,363,350
Total all other governmental funds 31,745,523$ 64,416,455 57,973,112 125,263,454 120,850,671 139,228,955 117,363,135 95,373,146 88,101,047
1 The increase was primarily the result of the issuance of the 2004 Financing Authority bonds.
Source: City of La Quinta
Fiscal Year
CITY OF LA QUINTA
Fund Balances of Governmental Funds
Last Nine Fiscal Years
(modified accrual basis of accounting)
130
TABLE 6
2001 2002 2003 2004 2005 2006 2007 2008 2009
Revenues:
Taxes 36,605,534$ 43,011,931 50,326,811 58,301,082 68,175,347 89,704,947 100,103,324 105,870,933 99,816,072
Special assessments 782,610 757,619 780,259 816,045 825,292 818,526 877,191 909,229 927,816
Licenses and permits 2,057,423 1,857,691 1,982,127 3,096,145 3,226,167 5,145,430 2,788,882 2,107,035 871,167
Intergovernmental 9,400,340 9,583,451 7,194,521 11,858,627 10,242,876 18,585,468 14,803,971 15,382,135 18,679,355
Charges for services 1,998,589 1,757,744 2,302,759 2,619,578 3,402,602 3,367,989 1,821,794 1,334,060 673,779
Use of money and property 5,960,995 5,136,398 4,463,219 4,854,728 9,798,356 12,671,662 14,804,348 12,874,926 7,043,646
Contributions - - - - - - - 37,643,190 240,591
Developer fees 2,592,398 2,298,647 3,021,245 5,718,073 6,091,156 12,473,440 5,310,440 6,537,991 2,243,785
Other 502,717 584,197 483,777 1,359,539 528,903 637,054 412,353 629,471 720,185
Total revenues 59,900,606 64,987,678 70,554,718 88,623,817 102,290,699 143,404,516 140,922,303 183,288,970 131,216,396
Expenditures
Current:
General government 3,275,624 3,161,596 3,344,407 4,099,376 3,970,921 4,644,954 6,150,699 7,367,144 7,230,436
Public safety 5,636,154 7,610,308 8,344,428 9,672,708 12,364,583 13,029,187 15,685,493 17,181,775 18,946,866
Planning and development 6,344,764 10,693,374 7,804,294 7,480,421 5,719,373 5,847,563 28,994,177 15,374,160 7,261,835
Community services 817,460 1,067,837 993,964 1,025,397 1,104,509 1,248,308 4,027,302 5,336,757 4,698,985
Public works 2,613,928 2,897,312 3,685,050 4,536,589 6,206,769 6,987,014 6,755,507 6,563,494 6,324,055
Capital projects 14,456,314 57,342,978 16,057,578 43,331,919 40,012,387 25,445,550 36,420,417 82,883,317 32,363,859
Debt service:
Principal retirement 4,510,420 11,453,487 2,931,952 3,610,538 3,793,660 4,777,748 5,647,940 5,949,311 6,319,580
Interest and fiscal charges 5,942,929 7,017,016 9,469,314 13,961,721 14,355,577 15,554,612 15,059,977 15,424,708 15,348,598
Payment to bond escrow - - - 1,591,107 - - -
Payments under pass-through obligat 10,949,381 13,669,166 17,561,994 21,448,147 25,756,321 35,958,291 36,498,575 42,989,023 42,426,670
Total expenditures 54,546,974 114,913,074 70,192,981 110,757,923 113,284,100 113,493,227 155,240,087 199,069,689 140,920,884
Excess (deficiency) of
revenues over (under)
expenditures 5,353,632 (49,925,396) 361,737 (22,134,106) (10,993,401) 29,911,289 (14,317,784) (15,780,719) (9,704,488)
Other financing sources (uses):
Issuance of tax allocation bonds - 88,000,000 - 26,400,000 - - - - -
Issuance of revenue bonds - - 90,000,000 - - - - -
Payment to bond escrow - - (19,955,000) - - - - -
Transfers in 17,911,515 64,255,590 23,887,256 154,613,662 49,248,081 35,828,335 60,954,576 88,604,682 40,502,929
Transfers out (17,911,515) (65,255,590) (23,887,256) (154,613,662) (49,248,081) (35,992,525) (60,954,576) (87,342,608) (40,527,930)
Other debts issued 2,332,752
Capital leases - - - - - - - 182,094 -
Proceeds from sale of capital assets - 146,603 - - 8,566,295 8,209,396 124,097 158,061 -
Total other financing
sources (uses)- 87,146,603 - 96,445,000 8,566,295 8,045,206 124,097 1,602,229 2,307,751
Net change in fund balances 5,353,632$ 37,221,207 361,737 74,310,894 (2,427,106)$ 37,956,495 (14,193,687) (14,178,490) (7,396,737)
Debt service as a percentage of
noncapital expenditures 49.1% 54.2% 43.5% 57.9% 62.0% 65.5% 61.0% 47.1% 59.0%
Source: City of La Quinta
Fiscal Year
CITY OF LA QUINTA
Changes in Fund Balances of Governmental Funds
Last Nine Fiscal Years
(modified accrual basis of accounting)
131
TABLE 7
Fiscal Year Taxable
Ended Less: Assessed Direct
June 30 Secured Unsecured Exemptions Value Perent Change
2000 2,674,887,437 18756736 -38580062 2,655,064,111 N/A
2001 2,665,520,656 18,712,736 (39,914,784) 2,644,318,608 -0.40%
2002 3,162,945,116 30,599,753 (50,149,068) 3,143,395,801 18.87%
2003 3,789,678,041 32,607,713 (54,726,303) 3,767,559,451 19.86%
2004 5,412,382,710 40,940,877 (95,420,075) 5,357,903,512 42.21%
2005 6,289,493,552 44,014,548 (113,037,003) 6,220,471,097 16.10%
2006 7,856,383,375 72,554,357 (115,071,146) 7,813,866,586 25.62%
2007 9,986,151,525 88,740,840 (99,245,721) 9,975,646,644 27.67%
2008 11,854,669,637 101,433,002 (89,688,505) 11,866,414,134 18.95%
2009 12,410,626,893 113,185,065 (107,777,195) 12,416,034,763 4.63%
Source: County of Riverside Auditor-Controller
Entire City (including Redevelopment Agency)
CITY OF LA QUINTA
Assessed Value and Estimated Actual Value of Taxable Property
Last Ten Fiscal Years
(in dollars)
NOTE:
In 1978 the voters of the State of California passed Proposition 13 which limited
property taxes to a total maximum rate of 1% based upon the assessed value of the
property being taxed. Each year, the assessed value of property may be increased by
an "inflation factor" (limited to a maximum increase of 2%). With few exceptions,
property is only re-assessed at the time that it is sold to a new owner. At that point,
the new assessed value is reassessed at the purchase price of the property sold. The
assessed valuation data shown above represents the only data currently available
with respect to the actual market value of taxable property and is subject to the
limitations described above.
132
TABLE 8
Fiscal Year Taxable
Ended Less: Assessed Base Taxable
June 30 Secured Unsecured Exemptions Value Year Increment
2006 3,962,433,928 29,248,534 (35,653,495) 3,956,028,967 199,398,233 3,756,630,734
2007 4,789,836,901 34,084,343 (36,081,051) 4,787,840,193 199,398,233 4,588,441,960
2008 5,223,508,114 34,250,061 (36,913,004) 5,220,845,171 199,398,233 5,021,446,938
2009 5,259,271,091 31,678,492 (36,844,457) 5,254,105,126 199,398,233 5,054,706,893
Fiscal Year Taxable
Ended Less: Assessed Base Taxable
June 30 Secured Unsecured Exemptions Value Year Increment
2006 2,132,426,502 32,999,788 (54,125,422) 2,111,300,868 95,182,755 2,016,118,113
2007 2,434,082,787 42,914,862 (53,144,959) 2,423,852,690 95,182,755 2,328,669,935
2008 2,764,306,278 50,616,017 (40,774,044) 2,774,148,251 95,182,755 2,678,965,496
2009 2,843,981,136 62,180,440 (57,076,727) 2,849,084,849 95,182,755 2,753,902,094
Source: County of Riverside Auditor-Controller
Redevelopment Agency Project Area 2
Redevelopment Agency Project Area 1
CITY OF LA QUINTA
Assessed Value and Estimated Actual Value of Taxable Property - Redevelopment Agency
Last Four Fiscal Years
(in dollars)
133
TABLE 9
2006 1 2007 1 2008 1 2009 1 2006 3 2007 3 2008 4 2009 4 2006 3 2007 3 2008 4 2009 4
Direct Rates:
City of La Quinta 0.0760 0.0760 0.0760 0.0506 0.0000 0.0000 0.0000 0.5213 0.0000 0.0000 0.0000 0.0016
Redevelopment agency Project Area 1 0.0000 0.0000 0.0000 0.0000 0.5830 0.5880 0.5150 0.0000 0.0000 0.0000 0.0000 0.0000
Redevelopment agency Project Area 2 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.2860 0.2920 0.2910 0.0000
County of Riverside 0.1960 0.1960 0.1960 0.2586 0.3470 0.3460 0.3460 0.2500 0.3470 0.3470 0.3470 0.2501
County Free Library 0.0250 0.0250 0.0250 0.0284 0.0010 0.0010 0.0010 0.0280 0.0010 0.0010 0.0010 0.0285
County Structure Fire Protection 0.0540 0.0540 0.0540 0.0610 0.0030 0.0020 0.0020 0.0601 0.0020 0.0020 0.0020 0.0614
Coachella Valley (CV) Unified School 0.0000 0.0000 0.0000 0.0000 0.0170 0.0150 0.0020 0.0149 0.0000 0.0000 0.0020 0.3090
Desert Sands Unified School 0.4320 0.4320 0.4320 0.3765 0.0160 0.0140 0.0140 0.0695 0.2000 0.1980 0.1970 0.1920
Desert Community College 0.0700 0.0700 0.0700 0.0782 0.0030 0.0030 0.0720 0.0177 0.0420 0.0410 0.0410 0.0400
Riverside County Office of Education 0.0380 0.0380 0.0380 0.0426 0.0030 0.0030 0.0180 0.0093 0.0230 0.0220 0.0220 0.0217
Riverside County Regional Park & Open Space 0.0040 0.0040 0.0040 0.0000 0.0000 0.0000 0.0030 0.0000 0.0000 0.0000 0.0000 0.0000
CV Public Cemetery 0.0032 0.0032 0.0032 0.0035 0.0000 0.0000 0.0000 0.0008 0.0000 0.0000 0.0000 0.0001
CV Mosquito 0.0127 0.0127 0.0127 0.0142 0.0120 0.0120 0.0120 0.0112 0.0150 0.0140 0.0140 0.0141
Desert Recreation District 0.0192 0.0192 0.0192 0.0215 0.0010 0.0020 0.0010 0.0044 0.0060 0.0060 0.0060 0.0058
CV Water District 0.0250 0.0250 0.0250 0.0284 0.0130 0.0130 0.0010 0.0127 0.0770 0.0760 0.0760 0.0742
CV Resource Conservation 0.0003 0.0003 0.0003 0.0004 0.0000 0.0000 0.0130 0.0001 0.0000 0.0000 0.0000 0.0000
CVWD District 1 Debt Service 0.0118 0.0118 0.0118 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0004
CVWD Storm Water Unit 0.0320 0.0320 0.0320 0.0360 0.0010 0.0010 0.0000 0.0000 0.0010 0.0010 0.0010 0.0011
Total Direct Rate 0.9992 0.9992 0.9992 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000
Tax Rate Area 020-005 020-005 020-005 020-005 020-015 020-015 020-089 020-089 020-144 020-144 020-144 020-144
Overlapping Rates 5:
City of La Quinta
County of Riverside
Riverside County Office of Education
Riverside County Pension Obligation
Desert Sands Unified 0.0767 0.0761 0.0799 0.0799 0.0767 0.0761 0.0756 0.0799 0.0767 0.0761 0.0756 0.0799
Coachella Valley Unified School District
Coachella Valley Water District 0.0442 0.0332 0.0462 0.0464 0.0199 0.0208 0.0484 0.0464 0.0442 0.0332 0.0484 0.0464
Coachella Valley Recreation & Park District
Desert Comm College District 0.0199 0.0199 0.0199 0.0199 0.0208 0.0199 0.0199 0.0199 0.0199 0.0199 0.0199 0.0199
Total Overlapping Rate 0.1409 0.1293 0.1461 0.1462 0.1175 0.1169 0.1440 0.1462 0.1409 0.1293 0.1440 0.1462
Total Direct and Overlapping Rate 1.1401 1.1285 1.1453 1.1462 1.1175 1.1169 1.1440 1.1462 1.1409 1.1293 1.1440 1.1462
Source: County of Riverside Auditor Controller's Office
1
2
3
4
5
CITY OF LA QUINTA
Direct and Overlapping Property Tax Rates
(Rate per $100 of assessed value)
Last Four Fiscal Year
Direct rate from Tax Rate Area (TRA) 020-059 provided by Hdl Coren & Cone and
overlapping debt rates from California Municipal Statistics
Direct rate taken from all non-RDA TRA's provided by the County of Riverside and do not
include ERAF deductions and overlapping rates provided by California Municipal Statistics
City
Non-Project Area
Direct rate taken from an analysis by the City of La Quinta Finance Department staff of all
TRA's in the Project area and do not include State ERAF deductions and overlapping rates
provided by California Municipal Statistics
Direct rate taken from an analysis of the TRA in the Project area and do not include State
ERAF deductions and overlapping rates provided by California Municipal Statistics
Overlapping rates are based upon a single tax rate area only.
Redevelopment
Project Area 2
Redevelopment
Project Area 1
134
TABLE 10
Percent of Percent of
Total City Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Rank Value Value Rank Value
KSL Desert Resort, Inc 351,987,688$ 1 2.83% 234,840,723 1 8.85%
TD Desert Development 123,545,144 2 1.00% 31,304,041 3 1.18%
East of Madison 63,848,760 3 0.51%--
Sams Real Estate Trust/Wal Mart 50,062,387 4 0.40% 12,506,912 10 0.47%
ND La Quinta Partners 42,929,365 5 0.35%--
Coral Option I LLC 41,623,109 6 0.34%--
Griffin Ranch 40,240,602 7 0.32%--
Village Resort 33,809,065 8 0.27%--
Inland American LQ Pavillion 32,260,312 9 0.26%--
Toll California V 32,130,633 10 0.26%--
Sunrise Desert Partners -- 58,121,909 2 2.19%
La Quinta Golf Properties -- 17,334,631 4 0.65%
Eagle Hardware and Garden Inc.-- 14,718,050 5 0.55%
Capital Pacific Holdings -- 13,312,797 6 0.50%
M & H Realty Partners II -- 13,018,671 7 0.49%
Merv Griffin Trust -- 12,513,569 8 0.47%
Tradition Club Associates -- 12,513,272 9 0.47%
812,437,065$ 6.54%420,184,575 15.82%
NOTE :The amounts shown above include assessed value data for both the City and the
Redevelopment Agency.
Source: HdL Coren & Cone
CITY OF LA QUINTA
2009 2000
Current Year and Nine Years Ago
Principal Property Taxpayers
(in dollars)
135
TABLE 11
Property Tax Levies and Collections
Fiscal Taxes Levied Collections in
Year Ended for the Percent Subsequent Percent
June 30 Fiscal Year Amount of Levy Years Amount of Levy
2006 61,420,601 73,097,362 119.01% 2,092,062 75,189,424 122.42%
2007 74,170,170 83,797,365 112.98% 1,802,076 85,599,441 115.41%
2008 83,018,429 87,804,912 105.77% 3,216,547 91,021,459 109.64%
2009 83,934,188 86,721,572 103.32% 1,471,940 88,193,512 105.07%
Source: County of Riverside Auditor Controller's Office
Collected within the
Fiscal Year of Levy Total Collections to Date
CITY OF LA QUINTA
Last Four Fiscal Years
( in dollars)
NOTE:
The amounts presented include City property taxes and Redevelopment Agency tax increment. This schedule also in
amounts collected by the City and Redevelopment Agency that were passed-through to other agencies.
136
TABLE 12
Fiscal Year Ended Fiscal Year Ended Fiscal Year Ended Fiscal Year Ended
2006 2007 2008 2009
Governmental Activities
Reimbursement Agreement 328,311$ 278,311$ 228,311$ 178,311$
Compensated Absences 608,266 734,055 829,227 919,100
Capital lease - - - 149,169
USDA Loan - - - 751,754
Provident Savings Loan - - - 1,556,283
Due to Coachella Valley Unified School District 5,186,627 4,431,178 3,675,731 2,874,653
Due to County of Riverside 1,850,000 1,750,000 1,600,000 1,400,000
Developer Agreement 776,030 643,539 511,048 343,814
Tax Allocation Bonds Project Area 1 141,785,000 139,145,000 136,350,000 133,390,000
Tax Allocation Bonds Project Area 2 6,130,000 6,025,000 5,915,000 5,800,000
2004 Local Agency Revenue Bonds 1
89,265,000 87,745,000 86,175,000 84,560,000
City Hall Lease Revenue Bonds 6,245,000 5,900,000 5,540,000 5,160,000
Unamortized Discount and Issuance Costs (877,230) (877,230) (841,087) (804,944)
Total Governmental 251,297,004 245,774,853 239,983,230 236,278,140
Business-type Activities
Capital Leases 1,090,602 825,848 681,048 285,217
Total Business-type activities 1,090,602 825,848 681,048 285,217
Total Primary Government 252,387,606$ 246,600,701$ 240,664,278$ 236,563,357$
Population - State Department of Finance January 1 38,340 41,092 42,958 43,778
Number of Households 18,762 20,176 21,058 21,355
Median Household Income 65,906$ 67,754$ 74,683$ 76,227$
Percentage of Personal Income 20.41%18.04% 15.30% 14.53%
Debt Per Capita 6,583$ 6,001$ 5,602$ 5,404$
1 The debt service payment for the 2004 Lease Revenue Bonds are made from Redevelopment
Project Area 1 & 2 low & moderate income tax increment.
CITY OF LA QUINTA
Ratios of Outstanding Debt by Type
Last Four Fiscal Years
(in dollars)
Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
137
TABLE 13
Fiscal Year City Hall Lease 2004 Tax Percent of Per
Ended Lease Local Agency Allocation Assessed Median
June 30 Obligation Revenue Bonds 1 Bonds Total Value 1 Household Income
2006 6,245,000 89,265,000 147,915,000 243,425,000 2.44% 3,694$
2007 5,900,000 87,745,000 145,170,000 238,815,000 2.01% 3,525$
2008 5,540,000 86,175,000 142,265,000 233,980,000 1.88%3,133$
2009 5,160,000 84,560,000 139,190,000 228,910,000 1.84%3,003$
General bonded debt is debt payable with governmental fund resources and general
obligation bonds recorded in enterprise funds (of which, the City has none).
1 Assessed value has been used because the actual value of taxable property is not
readily available in the State of California.
Source: City of La Quinta
Outstanding General Bonded Debt
CITY OF LA QUINTA
Ratio of General Bonded Debt Outstanding
Last Four Fiscal Years
(In Dollars)
138
TABLE 14
City Assessed Valuation 4,607,425,776$
Redevelopment Agency Incremental Valuation 7,808,608,987
Total Assessed Valuation 12,416,034,763$
Source: Riverside County Auditor Controller
Estimated
Share of
Percentage Outstanding Overlapping
Applicable 1 Debt 6/30/09 Debt
Overlapping Debt Repaid with Property Taxes And Assessments:
Desert Community College District 7.870% 325,869,507$ 25,645,930
Coachella Valley Unified School District 31.509% 92,297,458 29,082,006
Desert Sands Unified School District (DSUSD)7.801% 296,353,845 23,118,563
Coachella Valley County Water District I.D. No. 55 84.351%4,170,000 3,517,437
Coachella Valley County Water District I.D. No. 58 6.628%1,960,000 129,909
DSUSD Community Facilities District No. 1 100.000%1,885,000 1,885,000
City of La Quinta 1915 Act Bonds 100.000%1,350,000 1,350,000
Coachella Valley Water District Assessment District No. 68 86.247%2,185,000 1,884,497
Total overlapping debt repaid with property taxes 726,070,810 86,613,342
Overlapping Other Debt including Certifications of Participation (COP)
Riverside County General Fund Obligations 1.680% 760,794,659$ 12,781,350
Riverside County Pension Obligations 1.680% 382,090,000 6,419,112
Riverside County Board of Education COP 1.680%8,270,000 138,936
Coachella Valley Unified School District COP 31.464% 52,945,000 16,658,615
DSUSD COP 7.801%72,505,000 5,656,115
Coachella Valley County Water District I.D. No. 71 COP 11.581%5,240,000 606,844
Coachella Valley Recreation and Park District COP 13.222%2,455,000 324,600
Total overlapping other debt 1,284,299,659 42,585,572
Total overlapping debt 1,284,299,659$ 129,198,914
City direct debt 236,563,357
Total direct and overlapping debt 365,762,271$
Notes:
1 For debt repaid with property taxes, the percentage of overlapping debt applicable is estimated using taxable assessed
property values. Applicable percentages were estimated by determining the portion of another governmental unit's
taxable assessed value that is within the city's boundaries and dividing it by each unit's total taxable assessed value.
Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City. This
schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents
and businesses of the City. This process recognizes that, when considering the City's ability to issue and repay
long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However,
this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt of each
overlapping government.
Source: California Municipal Statistics, Inc.- overlapping debt
Source: City of La Quinta - City Direct debt
CITY OF LA QUINTA
Direct and Overlapping Debt
June 30, 2009
139
TABLE 15
2001 2002 2003 2004 2005 2006 2007 2008 2009
Assessed valuation 2,644,318,608$ 3,143,395,801 3,767,559,451 5,357,903,512 6,220,471,097 7,813,866,586 9,975,646,644 11,866,414,134 12,416,034,763
Debt limit percentage 15%15%15%15%15%15%15%15%15%
Debt limit 396,647,791 471,509,370 565,133,918 803,685,527 933,070,665 1,172,079,988 1,496,346,997 1,779,962,120 1,862,405,214
Total net debt applicable to limit:
General obligation bonds - - - - - - - - -
Legal debt margin 396,647,791$ 471,509,370 565,133,918 803,685,527 933,070,665 1,172,079,988 1,496,346,997 1,779,962,120 1,862,405,214
Total debt applicable to the limit
as a percentage of debt limit 0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
The City of La Quinta has no general bonded indebtedness.
Last Nine Fiscal Years
( in dollars )
Section 43605 of the Government Code of the State of California limits the amount of indebtedness for public
improvements to 15% of the assessed valuation of all real and personal property of the City.
Fiscal Year
Source: City of La Quinta Finance Department based upon the Assessed valuation received from the County
of Riverside Auditor Controllers Office
CITY OF LA QUINTA
Legal Debt Margin Information
140
TABLE 16
Fiscal Year
Ended Tax Less: Other Net Tax
June 30 Increment Debt Payments Increment 1 Principal Interest Coverage 1
2006 36,506,201 20,638,731 15,867,470 2,500,000 7,805,905 1.54
2007 42,029,503 20,820,149 21,209,354 2,640,000 7,658,900 2.06
2008 43,476,312 25,383,713 18,092,599 2,795,000 7,500,553 1.76
2009 40,519,380 25,046,356 15,473,024 2,960,000 7,330,188 1.50
Fiscal Year
Ended Tax Less: Other Net Tax
June 30 Increment Debt Payments Increment 1 Principal Interest Coverage 1
2006 19,849,893 17,325,411 2,524,482 100,000 319,168 6.02
2007 20,777,158 18,553,875 2,223,283 105,000 314,785 5.30
2008 23,087,750 20,929,512 2,158,238 110,000 310,135 5.14
2009 22,783,714 21,042,814 1,740,900 115,000 305,184 4.14
Fiscal Year
Ended Tax Less: Other Net Tax
June 30 Increment 3 Debt Payments Increment Principal Interest Coverage
2006 14,089,024 - 14,089,024 735,000 4,436,981 2.72
2007 15,701,664 - 15,701,664 1,520,000 4,402,909 2.65
2008 16,641,016 - 16,641,016 1,570,000 4,356,806 2.81
2009 15,825,773 - 15,825,773 1,615,000 4,304,994 2.67
Fiscal Year
Ended Lease Less: Other Net Lease
June 30 Revenue 2 Debt Payments Revenue Principal Interest Coverage
2006 680,575 - 680,575 330,000 350,575 1.00
2007 678,865 - 678,865 345,000 333,865 1.00
2008 675,880 - 675,880 360,000 315,880 1.00
2009 676,450 - 676,450 380,000 296,450 1.00
Note: Details regarding the city's outstanding debt can be found in the notes to the financial
statements.
2 Lease revenues consist of payments from the City General Fund, Civic Center Development Impact Fee Fund and the
Redevelopment Agency Capital Projects Fund
3 Tax increment revenues from both Project Area 1 and Project Area 2 Low & Moderate Income Funds are used to pay
the annual debt service payments.
2004 Local Agency Revenue Bonds
Debt Service
1 Tax increment has been reduced by other debt payments, which may or may not be subordinated to Tax Allocation
Bonds
Tax Allocation Bonds - Project Area 1
Debt Service
Debt Service
Local Agency Revenue Bonds (City Hall Project)
Tax Allocation Bonds - Project Area 2
Debt Service
CITY OF LA QUINTA
Pledged-Revenue Coverage
Last Four Fiscal Years
(In Dollars)
141
TABLE 17
Calendar Calendar Calendar Calendar
Year Year Year Year
2006 2007 2008 2009
City Land (Sq Miles) (3) 35.1 35.1 35.31 35.31
Population (1) 38,340 41,092 42,958 43,778
Median Household Income (in dollars) (4) $65,906 $67,754 $74,683 $76,227
Number of Dwelling Units (3) 18,762 20,176 21,058 21,355
Persons per Household (3) 2.855 2.846 2.851 2.851
Average Income per person per household $23,084 $23,807 $26,195 $26,737
Labor Force (2) 14,500 15,300 15,200 14,800
Employment (2) 14,100 14,900 14,600 13,700
Unemployment Rate (2) 2.76% 2.61% 3.95% 7.43%
Median age (4) 36 36.4 36.4 36.4
Sources: (1) State of California Department of Finance - January 1 of each year
(2) State of California Economic Development Department website
(3) City of La Quinta Building & Safety and Community Development Departments
(4) Desert Wheeler's Newsletter City Overview
CITY OF LA QUINTA
Demographic and Economic Statistics
Last Four Calendar Years
142
TABLE 18
Percent of
Number of Total Number of
Employer Activity Rank Employees Employment Employees Rank
Desert Sands Unified School Distict Government 1 2,415 17.63%525 3
La Quinta Resort & Club Hotel & Golf Resort 2 1,210 8.83%1,500 1
Wal-Mart Super Center Retailer 3 463 3.38%280 4
Rancho La Quinta Golf Resort 4 200 1.46%150 6
Home Depot Retailer 5 190 1.39%185 5
Imperial Irrigation District Public Utility 6 164 1.20%-
Costco Retailer 7 157 1.15%-
Lowe's Home Improvement 2 Retailer 8 140 1.02%125 8
Target Retailer 9 125 0.91%
Stater Brothers Grocery Store 10 120 0.88%150 6
Vons Grocery Store --103 9
City of La Quinta Government 11 107 -74 11
Ralphs Grocery Store --100 10
PGA West Golf Resort -1,100 2
Total employment listed 5,291 37.84%4,292
Total City Employment - July 1 13,700 11,400 1
"Total Employment" as used above represents the total employment of all employers located
within City limits with over 100 employees
Source: 2008-2009 Muniservices, LLC and 1999-2000 City of La Quinta
1 The total City employment and % applicable for 2000 was not available
2 Lowe's Hardware acquired Eagle Hardware
2008-2009 1999-2000
CITY OF LA QUINTA
Principal Employers
Current Year and Nine Years Ago
143
TABLE 19
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
Ending Ending Ending Ending Ending
June 30 June 30 June 30 June 30 June 30
Function 2005 2006 2007 2008 2009
Administration 8.00 9.00 10.00 12.00 12.00
City Clerk 5.00 5.00 5.00 6.00 6.00
Finance 8.00 9.00 9.00 9.00 9.00
Community Services 8.00 10.25 10.25 11.25 11.25
Building and Safety 21.00 22.00 24.00 25.00 25.00
Planning and Development 9.00 12.00 12.00 12.00 12.00
Public Works 23.50 26.25 26.25 28.25 29.25
Golf Course 0.50 0.50 0.50 0.50 0.50
Total 83.00 94.00 97.00 104.00 105.00
Source: City of La Quinta
NOTE: The City of La Quinta contracts with the County of Riverside for Police
Services and with the California Department of Forestry through a contract with
the County of Riverside for Fire Services. In addition the City-owned Golf
Course is operated by Landmark Golf. These positions have not been included
as these positions are not City employees.
CITY OF LA QUINTA
Full-time City Employees
by Function
Last Five Fiscal Years
144
TABLE 20
2006 2007 2008 2009
Finance:
Number of Active Business Licenses 3,208 3,424 3,690 3,523
Number of Animal Licenses Processed 892 1,022 1,272 1,609
Number of Accounts Payable Checks Processed 4,696 4,722 4,840 4,819
Number of investment purchases 39 73 64 36
Par value of investments $327,417,000 $392,729,000 $424,500,000 $229,969,000
Number of cleared checks 5,081 4,837 5,501 5,269
Number of outgoing bank wires 202 158 136 91
Public Works:
Encroachment permits issued 304 218 110 132
Request for services 618 419 1152 1931
Building & Safety:
Permits:
Single family Detached 1,044 526 297 129
Single family Attached 227 38 0 6
Residential Pool 866 612 331 207
Wall/Fence 1,502 963 583 299
Other 1,607 1,404 1,121 908
Total Permits 5,246 3,543 2,332 1,549
Code Compliance:
Animal Control Incidents Handled 1,901 687 2,920 3,630
Vehicle abatements 909 296 351 346
Garage Sale Permits 1,190 1,444 1,519 1,535
Weed abatements 141 76 117 97
Nuisance abatements 1,611 2,032 2,142 3,130
Community Services:
Library activities:
Library Volume 42,050 44,981 66,124 81,124
Library books checked out 55,002 99,659 117,738 215,843
Library Cards Issued 5,550 5,325 3,675 3,684
Number of School Children Visiting Library 745 260 841 1,036
Library Volunteer Hours 1,891 1,583 1,951 2,342
Senior Center:
Number of visits 14,305 12,955 14,013 15,739
Senior Center Volunteer Hours 3,481 4,192 3,332 2,583
Recreation activities:
Participants:
Leisure Classes 1,373 1,192 990 1,140
Special events 4,668 7,809 8,109 11,053
Adult Sports 3,402 6,827 8,550 10,806
Golf course:
Golf rounds played 38,934 40,548 40,516 39,150
Average $ Green fee 71.12 76.97 81.09 76.13
Planning and Development:
Number of residential units approved 1,063 534 338 100
Commercial square footage approved 533,726 124,821 342,502 390,097
Source: City of La Quinta
CITY OF LA QUINTA
Operating Indicators
by Function
Last Four Fiscal Years
145
TABLE 21
Fiscal Year Fiscal Year Fiscal Year Fiscal Year
Ending Ending Ending Ending
June 30 June 30 June 30 June 30
2006 2007 2008 2009
Public works:
Streets (miles)118.40 122 127 127
Bikepaths (miles)22.00 22 22 22
Streetlights 1 73 85 85 261.00
Traffic signals 44 45.25 45.25 49
Traffic Signs 2,799 2,845 2,895 2,899
Bridges 12 12 12 12
Parks and recreation:
Parks 12 12 13 13
Park Acreage 207 207 209 209
Undeveloped Park Acreage 40 40 40 40
Senior Center 1 1 1 1
Museum 1 1 1 1
Library 1 1 1 1
Golf Course:
Municipal golf courses 1 1 1 1
Source: City of La Quinta
1 In Fiscal Year ending 2009 street lights at intersections were included for the first time.
CITY OF LA QUINTA
Capital Asset Statistics
by Function
Last Four Fiscal Years
146
TABLE 22
Company Name Policy Number Coverage Limits Term Premium
Hartford 72BPEEW0254 Employee Dishonesty,$1,000,000 12/3/08 - 09 $3,013
Forgery, Computer Fraud
Lexington 5467276 All Risk Property Insurance 63,550,220 07/01/08 -7/01/09 59,258
Including Auto Physical Damage
(Excluding Earthquake)
Pacific Ins RV0004288 Earthquake;20,000,000 02/07/09 - 10 160,387
Nat'l Fire & Marine CV0004288 Real & Personal Property
Lloyds 04-20221100 Including Contingent Tax Interruption
Travelers Ins Co 213450M0084 Boiler & Machinery 57,728,500 2/7/08-7/1/09 1,579
Earned prem
California Comprehensive General $50 Million 07/01/08 -7/01/09 281,125
Joint Powers Liability Single Limit per Occurrence
Insurance Authority
California Worker's Compensation 10,000,000 07/01/08 -7/01/09 172,941
Joint Powers
Insurance Authority
California Environmental & Liability 10,000,000 07/01/08 -7/01/09 19,215
Joint Powers
Insurance Authority
CITY OF LA QUINTA
Schedule of Insurance in Force
June 30, 2009
147
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