2012-2013 ACFR (July 1 - June 30 Annual Comprehensive Financial Report)CITY OF LA QUINTA, CALIFORNIA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED JUNE 30, 2013
CITY OF LA QUINTA, CALIFORNIA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED JUNE 30, 2013
Prepared By
FINANCE DEPARTMENT
CITY OF LA QUINTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
JUNE 30, 2013
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 ................................................................................................. 5
Basic Financial Statements:
Government-Wide Financial Statements:
Statement of Net Position ............................................................................................................... 17
Statement of Activities .................................................................................................................... 18
Fund Financial Statements:
Balance Sheet – Governmental Funds .......................................................................................... 20
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Position ..................................................................................................... 23
Statement of Revenues, Expenditures and Changes in Fund
Balances – Governmental Funds ................................................................................................... 24
Reconciliation of the Statement of Revenues, Expenditures and
Changes in Fund Balances of Governmental Funds to the Statement of Activities ....................... 26
Budgetary Comparison Statement by Department – General Fund .............................................. 27
Budgetary Comparison Statement – Housing Authority PA No. 2 ................................................. 28
Statement of Net Position – Proprietary Funds .............................................................................. 29
Statement of Revenues, Expenses and Changes in Fund Net Position –
Proprietary Funds ........................................................................................................................... 31
Statement of Cash Flows – Proprietary Funds ............................................................................... 32
Statement of Fiduciary Net Position - Fiduciary Funds .................................................................. 34
CITY OF LA QUINTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
JUNE 30, 2013
TABLE OF CONTENTS
Page
Number
Statement of Changes in Fiduciary Net Position - Fiduciary Funds ............................................... 35
Notes to Financial Statements .............................................................................................................. 37
COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES
Combining Balance Sheet - Non-Major Governmental Funds ....................................................... 82
Combining Statement of Revenues, Expenditures and Changes
in Fund Balance - Non-Major Governmental Funds ....................................................................... 90
Budgetary Comparison Schedules – Special Revenue Funds
State Gas Tax ......................................................................................................................... 97
Library ...................................................................................................................................... 98
Federal Assistance ................................................................................................................... 99
SLEBG ................................................................................................................................... 100
Indian Gaming ........................................................................................................................ 101
Lighting and Landscaping ...................................................................................................... 102
Quimby ................................................................................................................................... 103
Public Safety .......................................................................................................................... 104
Art In Public Places ................................................................................................................ 105
South Coast Air Quality .......................................................................................................... 106
AB 939 ................................................................................................................................... 107
Law Enforcement ................................................................................................................... 108
Proposition 1B Fund ............................................................................................................... 109
Justice Assistance Grant........................................................................................................ 110
Measure A .............................................................................................................................. 111
Transportation Uniform Mitigation Fee ................................................................................... 112
Housing Authority PA No. 1 ................................................................................................... 113
Budgetary Comparison Schedules – Capital Projects Funds
Capital Improvement .............................................................................................................. 114
Civic Center ............................................................................................................................ 115
Infrastructure .......................................................................................................................... 116
Transportation ........................................................................................................................ 117
Parks and Recreation ............................................................................................................. 118
Library Development .............................................................................................................. 119
Community Center ................................................................................................................. 120
Street Facility .......................................................................................................................... 121
Park Facility ............................................................................................................................ 122
Fire Facility ............................................................................................................................. 123
Budgetary Comparison Schedules – Debt Service Funds
Financing Authority ................................................................................................................ 124
CITY OF LA QUINTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
JUNE 30, 2013
TABLE OF CONTENTS
Page
Number
Combining Statement of Net Position – Internal Service Funds .................................................. 126
Combining Statement of Revenues, Expenses and Changes
in Fund Net Position – Internal Service Funds ............................................................................. 127
Combining Statement of Cash Flows – Internal Service Funds ................................................... 128
Combining Statement of Net Position – All Agency Funds .......................................................... 130
Combining Statement of Changes in Assets and Liabilities – All Agency Funds ......................... 131
STATISTICAL SECTION
Net Position by Component .......................................................................................................... 134
Changes in Net Position ............................................................................................................... 136
Changes in Net Position – Governmental Activities ..................................................................... 138
Changes in Net Position – Business-type Activities ..................................................................... 141
Fund Balances of Governmental Funds ....................................................................................... 142
Changes in Fund Balances of Governmental Funds .................................................................... 144
Assessed Value and Estimated Actual Value of Taxable Property .............................................. 147
Direct and Overlapping Property Tax Rates ................................................................................. 148
Principal Property Taxpayers ....................................................................................................... 150
Property Tax Levies and Collections ............................................................................................ 151
Ratios of Outstanding Debt by Type............................................................................................. 152
Ratio of General Bonded Debt Outstanding ................................................................................. 154
Direct and Overlapping Debt ........................................................................................................ 155
Legal Debt Margin Information ..................................................................................................... 156
Pledged-Revenue Coverage ........................................................................................................ 158
Demographic and Economic Statistics ......................................................................................... 159
Principal Employers ...................................................................................................................... 160
Full-time City Employees .............................................................................................................. 161
CITY OF LA QUINTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
JUNE 30, 2013
TABLE OF CONTENTS
Page
Number
Operating Indicators ..................................................................................................................... 162
Capital Asset Statistics ................................................................................................................. 163
Schedule of Insurance in Force .................................................................................................... 164
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vi
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viii
ix
x
INDEPENDENT AUDITORS’ REPORT
To the Honorable Mayor and Members of the City Council
City of La Quinta, California
Report on Financial Statements
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 City of La Quinta, California,
(the City) as of and for the year ended June 30, 2013, and the related notes to the financial statements,
which collectively comprise the City’s basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this includes
the design, implementation, and maintenance of internal control relevant to the preparation and fair
presentation of financial statements that are free from material misstatement, whether due to fraud or
error.
Auditors’ Responsibility
Our responsibility is to express opinions on these 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 from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the financial statements. The procedures selected depend on the auditor’s judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the entity’s
preparation and fair presentation of the financial statements in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of
the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating
the appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinions.
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, California, as of June 30, 2013,
To the Honorable Mayor and Members of the City Council
City of La Quinta, California
and, the respective changes in financial position and, where applicable, cash flows thereof and the
respective budgetary comparison for the General Fund and the Housing Authority PA No.2 Fund for the
year then ended in accordance with accounting principles generally accepted in the United States of
America.
Change in Accounting Principle
As discussed in Note 1 to the financial statements, in 2013 the City adopted new accounting guidance,
GASB Statement No. 65, Items Previously Reported as Assets and Liabilities. Our opinion is not modified
with respect to this matter.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management’s
discussion and analysis be presented to supplement the basic financial statements. Such information,
although not a part of the basic financial statements, is required by the Governmental Accounting
Standards Board, who considers it to be an essential part of financial reporting for placing the basic
financial statements in an appropriate operational, economic, or historical context. We have applied
certain limited procedures to the required supplementary information in accordance with auditing
standards generally accepted in the United States of America, which consisted of inquiries of
management about the methods of preparing the information and comparing the information for
consistency with management’s responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not express an opinion
or provide any assurance on the information because the limited procedures do not provide us with
sufficient evidence to express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the City’s basic financial statements. The introductory section, combining and individual
nonmajor fund financial statements and schedules, and statistical section are presented for purposes of
additional analysis and are not a required part of the basic financial statements.
The combining and individual nonmajor fund financial statements and schedules are the responsibility of
management and were derived from and relate directly to the underlying accounting and other records
used to prepare the basic financial statements. Such information has been subjected to the auditing
procedures applied in the audit of the basic financial statements and certain additional procedures,
including comparing and reconciling such information directly to the underlying accounting and other
records used to prepare the basic financial statements or to the basic financial statements themselves,
and other additional procedures in accordance with auditing standards generally accepted in the United
States of America. In our opinion, the combining and individual nonmajor fund financial statements and
schedules are fairly stated, in all material respects, in relation to the basic financial statements as a
whole.
The introductory and statistical sections have not been subjected to the auditing procedures applied in the
audit of the basic financial statements and, accordingly, we do not express an opinion or provide any
assurance on them.
2
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THIS PAGE INTENTIONALLY LEFT BLANK
4
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, 2013. 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 $699,670,000 (net position). Of this amount, $78,649,000
(unrestricted net position) may be used to meet the government's ongoing
obligations to citizens and creditors. Approximately $571,423,000 or 82 percent was
invested in capital assets and is not available to meet ongoing obligations.
• The governmental activities total net position increased by $11,873,000 and the
Business-Type total net position decreased by $369,000 which is attributable to the
SilverRock Golf Course. Of the $11,873,000, the restatement of net position
represented $3,909,000. This restatement of net position is explained more
extensively in this document in Note 18.
• As of the close of the current fiscal year, the City of La Quinta’s governmental funds
reported combined ending fund balances of $98,753,000 a decrease of $8,378,000
in comparison with the prior year. The primary reason for this decrease is due to the
dissolution of the former Redevelopment Agency.
• At the end of the current fiscal year, the unassigned General Fund Balance
comprised $5,927,000 of the total $92,573,000 General Fund Balance or 6 percent
of the total Fund Balance and 17 percent of total General Fund budgeted
expenditures.
• The total governmental activities debt increased by $1,565,000 during the current
fiscal year from $5,378,000 to $6,943,000. This increase is mainly due to the
Provident Loan and US Department of Agriculture loans being transferred from the
Successor Agency of the Former La Quinta Redevelopment Agency to the City.
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.
5
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 position presents information on all of the City of La Quinta’s
assets, deferred outflows of resources, liabilities, and deferred inflows of resources, with
the difference between the two reported as net position. Over time, increases or
decreases in net position 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
position changed during the most recent fiscal year. All changes in net position
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).
Both of the government-wide financial statements mentioned above 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,
community 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 Financing
Authority and the La Quinta Housing 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.
6
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 two (32) 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) capital project funds, and one (1) special
revenue fund. These four (4) funds are considered to be major funds. Data from
the other twenty seven (27) 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.
Proprietary funds
Proprietary funds can be broken down into enterprise and internal service funds.
The City of La Quinta maintains one (1) enterprise 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
7
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 Position, Statement of
Revenues, Expenses and Changes in Fund Net Position, 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 statements 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 Net Position – Fiduciary
Funds.
Notes to the financial statements
The notes to the financial statements provide additional information that is essential to
obtain 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 the combining statements referred to earlier in connection with non-major
governmental funds, internal service funds, and agency funds are presented
immediately following the Notes to the Financial Statements. Combining and individual
fund statements and schedules can be found in the table of contents under Budgetary
Comparison Schedules.
8
Government-wide financial analysis
As noted earlier, net position may serve over time as a useful indicator of a
government's financial position. In the case of the City of La Quinta, assets exceeded
liabilities by $699,670,000 at the close of the most recent fiscal year, which is
$11,504,000 more than the previous year.
The largest portion of the City of La Quinta’s Net Position, which was 82% this year and
84% last year, reflects its investment in capital assets (e.g., land, buildings; machinery,
and equipment). The City of La Quinta uses these capital assets to provide services to
citizens; consequently, these assets are not available for future spending. However, 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.
City of La Quinta Net Position
2013 2012 2013 2012 2013 2012
Current and other assets $157,369,797 $137,676,930 $ (4,457,412) $ (4,535,584) $152,912,385 $133,141,346
Capital assets 529,752,387 534,388,479 41,785,179 42,274,767 571,537,566 576,663,246
Total assets 687,122,184 672,065,409 37,327,767 37,739,183 724,449,951 709,804,592
Current liabilities 17,499,856 15,880,753 293,192 210,308 17,793,048 16,091,061
Non-current liabilities 6,942,844 5,377,984 43,736 169,084 6,986,580 5,547,068
Total liabilities 24,442,700 21,258,737 336,928 379,392 24,779,628 21,638,129
Net position:
Net investment in capital assets
Restricted 49,598,397 26,585,382 - 49,598,397 26,585,382
Unrestricted 83,399,745 89,832,811 (4,750,604) (4,745,892) 78,649,141 85,086,919
Total net position $662,679,484 $650,806,672 $36,990,839 $37,359,791 $699,670,323 $688,166,463
Governmental activities Business-type activities Total
529,681,342 534,388,479 41,741,443 42,105,683 571,422,785 576,494,162
An additional portion of the City of La Quinta's net position (7 percent versus 4 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 Position - $78,649,000
(11 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 Position, both for the government as a whole, as
well as for its separate governmental activities; however, the business type unrestricted
Net Position had a deficit in its net position of $4,751,000, which is approximately
$5,000 more than the previous year.
9
Governmental activities
Governmental activities Net Position increased by $11,873,000 accounting for a 10
percent change in the Net Position from the previous year. Key elements of these
changes are as follows:
City of La Quinta Changes in Net Position
2013 2012 Change 2013 2012 Change 2013 2012 Change
Program revenues:
Charges for services $ 2,533,941 $ 2,504,302 $ 29,639 $ 3,736,879 $ 3,871,898 $ (135,019) $ 6,270,820 $ 6,376,200 $ (105,380)
Operating grants and
contributions 28,068,940 11,289,673 16,779,267 - - - 28,068,940 11,289,673 16,779,267
Capital grants and
contributions 4,115,238 9,990,793 (5,875,555) - - - 4,115,238 9,990,793 (5,875,555)
General revenues:
Property taxes 7,043,604 21,370,476 (14,326,872) - - - 7,043,604 21,370,476 (14,326,872)
Other taxes 16,487,958 15,570,619 917,339 - - - 16,487,958 15,570,619 917,339
Investment income 1,605,718 1,925,255 (319,537) 2,225 1,075 1,150 1,607,943 1,926,330 (318,387)
Motor vehicle in lieu 3,157,330 3,173,826 (16,496) - - - 3,157,330 3,173,826 (16,496)
Extraordinary gain/loss on
dissolution of RDA - 158,654,715 (158,654,715) 158,654,715 (158,654,715)
Gain (loss) on sale of capital
assets (2,189,984) - (2,189,984) - (2,189,984) - (2,189,984)
Miscellaneous 28,551 268,644 (240,093) 100,799 - 100,799 129,350 268,644 (139,294)
Total revenues 60,851,296 224,748,303 (163,897,007) 3,839,903 3,872,973 (33,070) 64,691,199 228,621,276 (163,930,077)
Expenses: -
General government 4,511,023 6,183,712 (1,672,689) - - - 4,511,023 6,183,712 (1,672,689)
Public safety 21,047,691 20,815,454 232,237 - - - 21,047,691 20,815,454 232,237
Community development 2,274,541 6,378,352 (4,103,811) - - - 2,274,541 6,378,352 (4,103,811)
Community services 4,986,104 5,093,402 (107,298) - - - 4,986,104 5,093,402 (107,298)
Public works 11,803,133 13,288,521 (1,485,388) - - - 11,803,133 13,288,521 (1,485,388)
Interest on long-term debt 447,048 3,021,496 (2,574,448) - - - 447,048 3,021,496 (2,574,448)
Golf course - - - 4,208,855 4,085,282 123,573 4,208,855 4,085,282 123,573
Total expenses 45,069,540 54,780,937 (9,711,397) 4,208,855 4,085,282 123,573 49,278,395 58,866,219 (9,587,824)
Increase in net position
before transfers and
restatements
Restatements (3,908,944) - (3,908,944) - - - (3,908,944) - (3,908,944)
Increase in net position 11,872,812 169,967,366 (158,094,554) (368,952) (212,309) (156,643) 11,503,860 169,755,057 (158,251,197)
Net position - 7/1/2012 650,806,672 480,839,306 169,967,366 37,359,791 37,572,100 (212,309) 688,166,463 518,411,406 169,755,057
Net position - 6/30/2013 $ 662,679,484 $ 650,806,672 $ 11,872,812 $ 36,990,839 $ 37,359,791 $ (368,952) $ 699,670,323 $ 688,166,463 $ 11,503,860
Total
Revenues:
Governmental Business-type
activities activities
15,412,804 169,755,057 (154,342,253) 15,781,756 169,967,366 (154,185,610) (368,952) (212,309) (156,643)
• Revenues decreased by $163,897,000 with the largest category decreases of
$158,655,000 in the extraordinary gain on dissolution of the former
Redevelopment Agency that occurred in the previous year and a decrease of
$14,327,000 in property taxes. The decreases in revenues were partially offset
by an increase in operating grants of $16,779,000. The major reason for the net
decrease in property taxes is due to the loss of tax increment as a result of the
dissolution of the former redevelopment agency. During Fiscal Year Ended
June 30, 2012, the former Redevelopment Agency received tax increment for the
first part of that year. The overall decrease in total revenues is primarily due to
the redevelopment agency dissolution which resulted in an extraordinary gain in
the previous year.
• Expenses decreased by $9,711,000 with the two largest category changes being
a decrease in the interest on long-term debt category of $2,574,000 and a
decrease in the Community Development category of $4,104,000. The decrease
10
in the interest on long-term debt category is primarily the result of the debt of the
City transferring to the Successor Agency to the former Redevelopment Agency
resulting in less interest expense on debt in the current year. The decrease in
the Community Development department is a direct result of the slowdown in the
economy. In addition, all departments show reductions in costs in the current
year with the exception of Public Safety, which increased by $232,000. This is
largely due to the City reorganizing and reducing staff by 17 positions in the
current year.
• There were no contributions of assets from the governmental activities to the
business-type activities.
Business-type activities
This was the eighth full year of operations for the SilverRock Golf fund since the
golf course began early operation in 2005.
Net Position decreased by $ (369,000) from the effects of an operating loss.
Charges for services primarily consisted of green fees which totaled $3,737,000,
and was $135,000 less than the previous year, with golf course expenses of
$4,209,000, which was $124,000 more than the previous year.
During Fiscal Year 2012-13, no additional advances were required for the golf course
operations. The total outstanding advance due to the General Fund from the inception
of the Golf Course opening is $5,324,000. It is anticipated that these advances will be
repaid from future income from SilverRock activities such as transient occupancy tax,
sales tax and golf course net income generated on the site in future years.
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 the funds.
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 $98.75 million as follows:
11
Category General Fund Percent All Other Funds Percent Total Funds Percent
Nonspendable 65,225,273$ 71%2,086,499$ 33% 67,311,772$ 68%
Restricted - 0%17,273,511 279% 17,273,511 18%
Committed 20,407,133 22%- 0%20,407,133 21%
Assigned 1,013,533 1%- 0%1,013,533 1%
Unassigned 5,926,651 6% (13,179,196) -212% (7,252,545) -8%
Total 92,572,590$ 6,180,814$ 98,753,404$
Governmental Fund balances
Governmental fund balances ended the year totaling $98,753,000, a decrease of
$8,378,000 in comparison with the prior years ending balance of $107,132,000. Of this
amount $67,312,000 or 68% constitutes non-spendable reserves, which means that
these reserves are not available to fund operating expenditures of the organization,
$17,273,000 or 17% are restricted fund balances which are the result of external
limitations on spending, $20,407,000 or 21% are committed fund balances with has
resulted in self-imposed limitations placed upon the funds by the Governing Board
responsible for adopting the fund budget, assigned reserves of $1,014,000 consist of
carryover appropriations which were budgeted for in Fiscal Year 2012-13, but were
unspent and will be budgeted again in the next budget year. The remainder of fund
balance or $(7,252,000) million represents unassigned fund balances or the residual net
resources after taking into consideration the other classifications.
General Fund
The general fund is the chief operating fund of the City of La Quinta. At the end of the
current fiscal year, unassigned fund balance of the general fund was $5,927,000, while
total fund balance reached $92,573,000. 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 257 percent of the total
budgeted expenditures.
The City of La Quinta’s general fund balance increased by $696,509 in Fiscal Year
2012-2013. Key factors for this increase are as follows:
• Actual expenditures were $2,834,000 less than the final budget. Divisions that were
significantly under budget for the year were Police ($548,000), Fire ($492,000),
Management Services ($228,000), Community Services ($119,000) and Park
Maintenance ($138,000). In addition, actual transfers out were $1,394,000 less than
budgeted.
• Actual revenue collections were $475,000 more than the final adjusted budget.
Overall, taxes were $1,801,000 more than budgeted for in Fiscal Year 2012-13, and
the actual taxes collected in Fiscal Year 2012-13 ($23,388,712) was $2,092,000 more
than the prior year tax actual collections of $21,296,300. Actual transient occupancy
tax collections in Fiscal Year 2012-13 were $5,981,000 or $534,000 more than prior
12
year collections. Actual sales tax collections for Fiscal Year 2012-2013 were
$8,001,000 or $287,000 more than the $7,714,000 collected in Fiscal Year 2011-12.
Motor vehicle in lieu taxes decreased from $3,175,000 in fiscal year 2011-12 to
$3,157,000 in 2012-13.
Housing Authority PA No. 2 Fund
The Housing Authority fund is used to account for the housing activities of the Housing
Authority in Project Area No. 2. The primary purpose of this fund is to promote and to
provide quality housing in the City. The fund balance increased by $6,937,000 to end the
year at $1.1 million.
Capital Improvement Fund
The Capital Improvement fund is primarily used to record the expenditure of funds for
capital projects. The fund had thirty nine (39) active Capital Improvement Projects
budgeted during Fiscal Year 2012-13. The three most active projects during the year
were the Adams Street Bridge Improvements project ($2,603,000), “A” Street Extension
($1,461,000) and the Coral Mountain Apartments project ($3,909,000). Other major
projects budgeted in the future include the Pavement Management and Slurry Seal
Program, the Sports Complex Lighting Rehabilitation and Expansion project, and the
Americans with Disabilities Act (ADA) Improvements for City owned properties.
Civic Center Fund
The Civic Center 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 2007-08 and the final repayment of the original City Hall construction bonds is
scheduled in Fiscal Year 2018-19. A $7.3 million advance from the General Fund is
outstanding at the end of Fiscal Year 2012-13.
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.
General Fund Budgetary Highlights
During the year there was a $420,000 increase in appropriations and transfers out
between the original ($35,233,000) and final amended budget ($35,653,000). Following
are the main components of the changes:
13
• The FY 2012-13 budget included $1,014,000 in carryover appropriations from
FY 2011-12.
• The Fiscal Year included an additional $2,092,807 in appropriations for Capital
Projects funded by the General Fund during the year.
The budget increases were possible because of additional anticipated revenues and
unassigned reserves 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, 2013, amounts to $571,538,000 (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)
2013 2012 2013 2012 2013 2012
Land $ 69,609,372 $ 69,628,685 $36,840,832 $36,840,832 $106,450,204 $106,469,517
Buildings and improvements 47,830,084 50,257,149 4,660,157 4,894,712 52,490,241 55,151,861
Equipment and furniture 546,456 612,134 284,190 539,223 830,646 1,151,356
Vehicles 237,800 328,874 - - 237,800 328 ,875
Infrastructure 392,932,855 398,368,091 - - 411,528,675 413,561,637
Construction in progress 18,595,820 15,193,546 - - - -
Total $529,752,387 $534,388,479 $41,785,179 $42,274,767 $571,537,566 $576,663,246
Governmental Business-type
Description activities activities Total
Major capital asset events during the current fiscal year included the following:
Governmental activities
• Recording infrastructure improvements, street improvements, street right of way,
street sidewalks and curbs and gutters, traffic signals, and street medians;
• Completed the Washington Street Dual Left Turn Lane at Avenue 48 totaling
$681,500;
• Completed Highway 111 Right Turn Lane at Washington in the amount of $4,300;
• Completed the Wells Site Mitigation in the amount of $1,266,875; and,
14
• Completed the Senior Center Heating Ventilation and Air Conditioning system in the
amount of $141,100.
Business-type activities
• The Golf Course capital asset balance at June 30, 2013, was $41,785,000 net of
accumulated depreciation. The entire decrease of $490,000 was due to annual
depreciation of the assets.
Additional information on the City of La Quinta’s capital assets can be found in Footnote 7
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 $6,943,000. Of the total amount, $3,425,000 of this debt amount
represents bonds secured solely by specified revenue sources. In addition, $71,000 in a
copier lease is outstanding in the governmental funds.
City of La Quinta Outstanding Debt
2013 2012 2013 2012 2013 2012
Capital leases $ 71,045 $ 40,088 $ 43,736 $169,084 $ 114,781 $ 209,172
Compensated absences 744,007 941,954 - 744,007 941,954
Post retirement healthcare
liability 559,591 459,644 559,591 459,644
General Liability Retrospective
Deposit - 41,298 - - 41,298
Loans payable 2,143,201 - - 2,143,201 -
Revenue bonds 3,425,000 3,895,000 - 3,425,000 3,895,000
Total $6,942,844 $5,377,984 $ 43,736 $169,084 $6,986,580 $5,547,068
Governmental Business-type
Debt type:
activities activities Total
The total outstanding debt increased by $1,440,000 during Fiscal Year 2012-13. The
increases was due to the addition of Loans Payable that was transferred from the
Successor Agency to the City.
Additional information on the City of La Quinta's long-term debt can be found in notes 8
and 9 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 2013-2014:
• The City of La Quinta had a 5.6 versus 6.6 percent last year unemployment rate.
This rate is significantly lower than the Riverside County and the State-wide
unemployment rate.
• During the last ten years, the City of La Quinta has been in a growth phase with
assessed values increasing from $3.77 billion in Fiscal Year 2001-2002 to $10.33
billion or over 274 percent. It is important to note however, that from Fiscal Year
15
2009-10 to Fiscal Year 2012-2013 assessed values decreased by approximately
12%.
• During the current fiscal year, the general fund net gain was $696,500 and
$1,014,000 of General fund balance has been assigned for carry over
appropriations.
• AB1x26 dissolved California Redevelopment Agencies as of January 31, 2012. Due
to the loss of Tax Increment, the City’s ability to fund future capital projects has been
severely curtailed.
• The Fiscal Year 2013-14 General Fund revenue projections include anticipated
increases for the City becoming a Transportation Uniform Mitigation Fee (TUMF)
collecting organization ($412,500).
• The Fiscal Year 2013-14 budget includes Transient Occupancy Tax increases due to
more focused and successful enforcement of vacation rentals in the community
($300,000).
• The City of La Quinta adopted a balanced general fund budget for Fiscal Year
2013-14.
Requests for Information
This financial report is designed to provide a general overview of the City of La Quinta’s
finances for all those with an interest in the government's finances. Questions
concerning any of the information provided in this report or requests for additional
financial information should be addressed to the City of La Quinta, Robbeyn Bird,
Finance Director, 78-495 Calle Tampico, La Quinta, CA, 92253 or by telephone at 760-
777-7150.
16
CITY OF LA QUINTA
STATEMENT OF NET POSITION
Governmental Business-Type
Activities Activities Total
Assets:
Cash and investments 60,285,917$ 437,557$ 60,723,474$
Receivables:
Accounts 207,796 99,163 306,959
Taxes 2,508,084 - 2,508,084
Notes and loans 33,454,586 - 33,454,586
Accrued interest 145,396 397 145,793
Internal balances 5,323,541 (5,323,541) -
Prepaid costs 22,096 1,865 23,961
Deposits 18,430 250,000 268,430
Due from other governments 46,813,365 - 46,813,365
Inventories - 77,147 77,147
Land held for resale 8,320,000 - 8,320,000
Long-term retrospective refund 270,586 - 270,586
Capital assets not being depreciated 373,133,986 36,840,832 409,974,818
Capital assets, net of depreciation 156,618,401 4,944,347 161,562,748
Total Assets 687,122,184 37,327,767 724,449,951
Liabilities:
Accounts payable 5,581,753 250,751 5,832,504
Accrued liabilities 398,862 2,404 401,266
Accrued interest 63,413 - 63,413
Unearned revenue 343,682 4,537 348,219
Deposits payable 7,715,132 35,500 7,750,632
Due to other governments 3,397,014 - 3,397,014
Noncurrent liabilities:
Due within one year 1,269,030 43,736 1,312,766
Due in more than one year 5,673,814 - 5,673,814
Total Liabilities 24,442,700 336,928 24,779,628
Net Position:
Net investment in capital assets 529,681,342 41,741,443 571,422,785
Restricted for:
Planning and development projects 35,041,886 - 35,041,886
Public safety 258,968 - 258,968
Public works 262,837 - 262,837
Capital projects 1,392,498 - 1,392,498
Debt service 1,015,767 - 1,015,767
Community services 11,626,441 - 11,626,441
Unrestricted 83,399,745 (4,750,604) 78,649,141
Total Net Position 662,679,484$ 36,990,839$ 699,670,323$
JUNE 30, 2013
Primary Government
See Notes to Financial Statements 17
CITY OF LA QUINTA
STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2013
Operating Capital
Charges for Contributions Contributions
Expenses Services and Grants and Grants
Functions/Programs
Primary Government:
Governmental Activities:
General government 4,511,023$ 38,812$ 242,150$ -$
Public safety 21,047,691 927,604 4,486,688 289,664
Planning and development 2,274,541 112,695 21,442,706 122,103
Community services 4,986,104 245,392 49,475 -
Public works 11,803,133 1,209,438 1,847,921 3,703,471
Interest on long-term debt 447,048 - - -
Total Governmental Activities 45,069,540 2,533,941 28,068,940 4,115,238
Business-Type Activities:
Golf Course 4,208,855 3,736,879 - -
Total Business-Type Activities 4,208,855 3,736,879 - -
Total Primary Government 49,278,395$ 6,270,820$ 28,068,940$ 4,115,238$
General Revenues:
Taxes:
Property taxes, levied for general purpose
Transient occupancy taxes
Sales taxes
Franchise taxes
Business licenses taxes
Other taxes
Motor vehicle in lieu - unrestricted
Use of money and property
Other
Gain on sale of capital asset
Extraordinary gain/(loss)
Total General Revenues and Extraordinary Items
Change in Net Position
Net Position at Beginning of Year
Restatement of Net Position
Net Position at End of Year
Program Revenues
See Notes to Financial Statements 18
Primary Government
Governmental Business-Type
Activities Activities Total
(4,230,061)$ -$ (4,230,061)$
(15,343,735) - (15,343,735)
19,402,963 - 19,402,963
(4,691,237) - (4,691,237)
(5,042,303) - (5,042,303)
(447,048) - (447,048)
(10,351,421) - (10,351,421)
- (471,976) (471,976)
- (471,976) (471,976)
(10,351,421) (471,976) (10,823,397)
7,043,604 - 7,043,604
5,980,684 - 5,980,684
7,833,545 - 7,833,545
1,669,476 - 1,669,476
292,966 - 292,966
518,778 - 518,778
3,157,330 - 3,157,330
1,605,718 2,225 1,607,943
192,509 100,799 293,308
28,551 - 28,551
(2,189,984) - (2,189,984)
26,133,177 103,024 26,236,201
15,781,756 (368,952) 15,412,804
650,806,672 37,359,791 688,166,463
(3,908,944) - (3,908,944)
662,679,484$ 36,990,839$ 699,670,323$
Net (Expenses) Revenues and Changes in Net
Position
See Notes to Financial Statements 19
CITY OF LA QUINTA
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2013
Special
Revenue Funds
General
Assets:
Pooled cash and investments 35,558,278$ 1,105,108$ 2,094,200$ 4,958$
Receivables:
Accounts 43,516 43,486 - -
Taxes 2,390,117 - - -
Notes and loans - 29,224,854 - -
Accrued interest 125,760 - - -
Prepaid costs 11,786 10,310 - -
Deposits 4,830 13,600 - -
Due from other governments 46,258,351 - 426,752 -
Due from other funds 26,866 - - -
Advances to other funds 15,509,691 - - -
Land held for resale 8,320,000 - - -
Long-term retrospective refund 270,586 - - -
Total Assets 108,519,781$ 30,397,358$ 2,520,952$ 4,958$
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable 3,916,810$ -$ 1,592,617$ -$
Accrued liabilities 382,758 11,642 - -
Unearned revenues 45,451 - 231,798 -
Deposits payable 6,969,172 28,340 492,433 -
Due to other governments 1,143 - - -
Due to other funds - - - -
Advances from other funds - - - 7,310,447
Total Liabilities 11,315,334 39,982 2,316,848 7,310,447
Deferred Inflows of Resources:
Unavailable revenues 4,631,857 29,224,854 294,765 -
Total Deferred Inflows of Resources 4,631,857 29,224,854 294,765 -
Fund Balances:
Nonspendable:
Prepaid costs 11,786 10,310 - -
Land held for resale 8,320,000 - - -
Notes and loans - - - -
Advances to other funds 15,509,691 - - -
Deposits 4,830 13,600 - -
Due from other Governments 41,378,966 - - -
Restricted for:
Planning and development projects - 1,108,612 - -
Public safety - - - -
Community services - - - -
Public works - - - -
Capital Projects - - - -
Debt service - - - -
Committed to:
Capital Projects 2,848,737 - - -
Emergency reserve 16,034,995 - - -
Post retirement health benefits 1,523,401 - - -
Assigned to:
Continuing appropriations 1,013,533 - - -
Unassigned 5,926,651 - (90,661) (7,305,489)
Total Fund Balances 92,572,590 1,132,522 (90,661) (7,305,489)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 108,519,781$ 30,397,358$ 2,520,952$ 4,958$
Capital Projects Funds
Housing
Authority PA
No. 2
Capital
Improvement Civic Center
See Notes to Financial Statements 20
CITY OF LA QUINTA
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2013
Assets:
Pooled 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
Land held for resale
Long-term retrospective refund
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other governments
Due to other funds
Advances from other funds
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Prepaid costs
Land held for resale
Notes and loans
Advances to other funds
Deposits
Due from other Governments
Restricted for:
Planning and development projects
Public safety
Community services
Public works
Capital Projects
Debt service
Committed to:
Capital Projects
Emergency reserve
Post retirement health benefits
Assigned to:
Continuing appropriations
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Other Total
Governmental Governmental
Funds Funds
16,603,941$ 55,366,485$
120,794 207,796
117,967 2,508,084
4,229,732 33,454,586
15,269 141,029
- 22,096
- 18,430
128,262 46,813,365
- 26,866
- 15,509,691
- 8,320,000
- 270,586
21,215,965$ 162,659,014$
14,320$ 5,523,747$
- 394,400
66,433 343,682
225,187 7,715,132
3,395,871 3,397,014
26,866 26,866
2,875,703 10,186,150
6,604,380 27,586,991
2,167,143 36,318,619
2,167,143 36,318,619
- 22,096
- 8,320,000
2,062,589 2,062,589
- 15,509,691
- 18,430
- 41,378,966
2,621,921 3,730,533
258,968 258,968
11,626,441 11,626,441
262,754 262,754
1,392,581 1,392,581
2,234 2,234
- 2,848,737
- 16,034,995
- 1,523,401
- 1,013,533
(5,783,046) (7,252,545)
12,444,442 98,753,404
21,215,965$ 162,659,014$
See Notes to Financial Statements 21
THIS PAGE INTENTIONALLY LEFT BLANK
22
CITY OF LA QUINTA
RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF NET POSITION
JUNE 30, 2013
Fund balances of governmental funds 98,753,404$
Amounts reported for governmental activities in the statement of net position are
different because:
Capital assets net of depreciation have not been included as financial resources
in governmental fund activity.513,303,842
Long-term debt and compensated absences
that have not been included in the governmental fund activity:
Bonds payable (3,425,000)$
Capital lease payable (71,045)
Loans payable (2,143,201)
Compensated Absences (735,681) (6,374,927)
Governmental funds report all OPEB contributions as expenditures,
however in the statement of net position any excesses or deficiencies
in contributions in relation to the Annual Required Contribution (ARC) are
recorded as a asset or liability.(559,591)
Accrued interest payable for the current portion of interest due on
Bonds has not been reported in the governmental funds. (63,413)
Revenues reported as unavailable revenue in the governmental funds and recognized
in the statement of activities. These are included in the intergovernmental revenues
in the governmental fund activity.36,318,619
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 position.21,301,550
Net Position of governmental activities 662,679,484$
See Notes to Financial Statements 23
CITY OF LA QUINTA
STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
General
Revenues:
Taxes 23,388,712$ -$ -$ -$
Assessments - - - -
Licenses and permits 566,510 - - -
Intergovernmental 8,214,465 433,808 3,101,418 -
Charges for services 620,410 - - -
Use of money and property 211,816 182,706 - -
Fines and forfeitures 235,879 - - -
Contributions from other agencies - 17,939,498 437,755 -
Developer participation - - 446,146 96,322
Miscellaneous 131,408 20,525 - -
Total Revenues 33,369,200 18,576,537 3,985,319 96,322
Expenditures:
Current:
General government 4,378,628 - - 203,557
Public safety 20,110,346 - - -
Planning and development 1,440,482 347,971 25,281,358 -
Community services 2,919,504 - - -
Public works 3,112,474 - - -
Capital outlay 116,045 - 8,463,395 -
Debt service:
Principal retirement 40,088 46,783 - -
Interest and fiscal charges 1,236 145,790 - 28,764
Total Expenditures 32,118,803 540,544 33,744,753 232,321
Excess (Deficiency) of Revenues
Over (Under) Expenditures 1,250,397 18,035,993 (29,759,434) (135,999)
Other Financing Sources (Uses):
Transfers in 75,951 - 29,759,434 -
Transfers out (700,884) (24,972,905) - -
Capital leases 71,045 - - -
Proceeds from sale of capital asset - - - -
Total Other Financing Sources
(Uses)(553,888) (24,972,905) 29,759,434 -
Net Change in Fund Balances 696,509 (6,936,912) - (135,999)
Fund Balances, Beginning of Year 91,876,081 8,069,434 (90,661) (7,169,490)
Fund Balances, End of Year 92,572,590$ 1,132,522$ (90,661)$ (7,305,489)$
Civic Center
Housing
Authority PA
No. 2
Capital
Improvement
Special
Revenue Funds Capital Projects Funds
See Notes to Financial Statements 24
CITY OF LA QUINTA
STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
Revenues:
Taxes
Assessments
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Contributions from other agencies
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
Capital leases
Proceeds from sale of capital asset
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
117,967$ 23,506,679$
954,058 954,058
- 566,510
3,715,251 15,464,942
5,403 625,813
1,188,240 1,582,762
- 235,879
- 18,377,253
684,357 1,226,825
103,455 255,388
6,768,731 62,796,109
5,703 4,587,888
57,692 20,168,038
444,957 27,514,768
1,492,032 4,411,536
1,954,896 5,067,370
43,343 8,622,783
470,000 556,871
261,888 437,678
4,730,511 71,366,932
2,038,220 (8,570,823)
5,668 29,841,053
(4,167,264) (29,841,053)
- 71,045
121,652 121,652
(4,039,944) 192,697
(2,001,724) (8,378,126)
14,446,166 107,131,530
12,444,442$ 98,753,404$
See Notes to Financial Statements 25
CITY OF LA QUINTA
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2013
Net change in fund balances - total governmental funds (8,378,126)$
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 8,912,255$
Depreciation (8,645,018)
Contributed capital assets (145,907)
Gain/(loss) on sale of capital assets (99,076) 22,254
The issuance of long-term debt liabilities provides current financial resources in
the governmental funds, but issuing debt increases the long-term liabilities in
the statement of net position. Repayment of bond principal is an expenditure
in the governmental funds, but the repayment reduces long-term liabilities in the
statement of net position.
Principal repayments 470,000
Capital lease issued (71,045)
General liability retrospective deposit payable 41,298
Capital lease repayments 40,088
Extraordinary gains and losses (2,189,984)
Loan repayments 46,783 (1,662,860)
Accrued interest for long-term liabilities. This is the net change in accrued interest
for the current period.(9,370)
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.196,560
Governmental funds report all contributions in relation to the annual required
contribution (ARC) for OPEB as expenditures, however in the statement
of activities only the ARC is an expense.(99,947)
Revenues reported as unavailable revenue in the governmental funds and recognized
in the statement of activities. These are included in the intergovernmental revenues
in the governmental fund activity.25,380,296
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.332,949
Change in net position of governmental activities 15,781,756$
See Notes to Financial Statements 26
CITY OF LA QUINTA
BUDGETARY COMPARISON STATEMENT BY DEPARTMENT
GENERAL FUND
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 91,876,081$ 91,876,081$ 91,876,081$ -$
Resources (Inflows):
Taxes 21,554,930 21,587,437 23,388,712 1,801,275
Licenses and permits 631,165 641,165 566,510 (74,655)
Intergovernmental 8,846,614 8,918,449 8,214,465 (703,984)
Charges for services 743,569 727,769 620,410 (107,359)
Use of money and property 694,560 694,560 211,816 (482,744)
Fines and forfeitures 307,200 217,200 235,879 18,679
Miscellaneous 118,900 120,900 131,408 10,508
Transfers in 148,308 133,233 75,951 (57,282)
Capital leases --71,045 71,045
Amounts Available for Appropriation 124,921,327 124,916,794 125,392,277 475,483
Charges to Appropriation (Outflow):
General government
Legislative 734,359 745,759 718,631 27,128
City Manager 315,620 392,149 414,113 (21,964)
Development Services 1,081,854 1,004,809 933,547 71,262
Management Services 1,109,477 1,146,936 919,434 227,502
City Clerk 530,432 440,953 360,881 80,072
Fiscal Services 807,086 719,279 828,356 (109,077)
Central Services 298,829 298,829 203,666 95,163
Public safety
Police 12,739,223 12,915,491 12,367,578 547,913
Building & Safety Admin.274,203 236,949 235,985 964
Building & Safety Admin.555,061 522,863 587,382 (64,519)
Code Compliance 1,056,153 975,951 888,988 86,963
Animal Control 458,810 424,198 413,411 10,787
Civic Center Bldg 968,845 1,000,915 931,315 69,600
Fire 5,029,690 5,029,690 4,537,279 492,411
Emergency Services 209,222 181,074 148,408 32,666
Planning and development
Administration 677,470 855,923 867,693 (11,770)
Current Planning 639,204 576,823 566,378 10,445
Low/Mod Housing 6,411 6,411 6,411 -
Parks and recreation
Community Services Admin 947,903 1,031,615 912,464 119,151
Senior Center 418,464 445,006 393,536 51,470
Parks & Recreation 197,709 180,209 173,953 6,256
Park Maintenance 1,588,598 1,577,412 1,439,551 137,861
Public works
Administration 472,951 475,454 515,033 (39,579)
Development Services 638,754 645,596 603,461 42,135
Maintenance/Operations - Street 39,796 65,283 393,022 (327,739)
Maintenance/Operations - Lighting 495,024 486,975 329,423 157,552
Construction Management 1,378,464 1,083,601 1,271,535 (187,934)
Capital outlay 55,300 92,259 116,045 (23,786)
Debt service:
Principal retirement - - 40,088 (40,088)
Interest and fiscal charges --1,236 (1,236)
Transfers out 1,508,094 2,094,807 700,884 1,393,923
Total Charges to Appropriations 35,233,006 35,653,219 32,819,687 2,833,532
Budgetary Fund Balance, June 30 89,688,321$ 89,263,575$ 92,572,590$ 3,309,015$
See Notes to Financial Statements 27
CITY OF LA QUINTA
BUDGETARY COMPARISON STATEMENT
HOUSING AUTHORITY PA NO. 2
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 8,069,434$ 8,069,434$ 8,069,434$ -$
Resources (Inflows):
Intergovernmental 498,200 498,200 433,808 (64,392)
Use of money and property 164,390 164,390 182,706 18,316
Contributions - 18,141,988 17,939,498 (202,490)
Miscellaneous 3,700 3,700 20,525 16,825
Amounts Available for Appropriation 8,735,724 26,877,712 26,645,971 (231,741)
Charges to Appropriation (Outflow):
Planning and development 365,760 365,760 347,971 17,789
Debt service:
Principal retirement 46,782 46,782 46,783 (1)
Interest and fiscal charges 192,973 192,973 145,790 47,183
Transfers out - 24,972,905 24,972,905 -
Total Charges to Appropriations 605,515 25,578,420 25,513,449 64,971
Budgetary Fund Balance, June 30 8,130,209$ 1,299,292$ 1,132,522$ (166,770)$
See Notes to Financial Statements 28
CITY OF LA QUINTA
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
JUNE 30, 2013
Business-Type
Activities -
Enterprise Funds Governmental
Activities-
Internal
Service Funds
Assets:
Current:
Cash and investments 437,557$ 4,919,432 $
Receivables:
Accounts 99,163 -
Accrued interest 397 4,367
Prepaid costs 1,865 -
Deposits 250,000 -
Inventories 77,147 -
Total Current Assets 866,129 4,923,799
Noncurrent:
Capital assets - net of accumulated depreciation 41,785,179 16,448,545
Total Noncurrent Assets 41,785,179 16,448,545
Total Assets 42,651,308$ 21,372,344$
Liabilities and Net Position:
Liabilities:
Current:
Accounts payable 250,751$ 58,006$
Accrued liabilities 2,404 4,462
Unearned revenues 4,537 -
Deposits payable 35,500 -
Accrued compensated absences - 5,469
Bonds, notes, and capital leases 43,736 -
Total Current Liabilities 336,928 67,937
Noncurrent:
Advances from other funds 5,323,541 -
Accrued compensated absences - 2,857
Total Noncurrent Liabilities 5,323,541 2,857
Total Liabilities 5,660,469 70,794
Net Position:
Net investment in capital assets 41,741,443 16,448,547
Unrestricted (4,750,604) 4,853,003
Total Net Position 36,990,839 21,301,550
Total Liabilities and Net Position 42,651,308$ 21,372,344$
Golf Course
See Notes to Financial Statements 29
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30
CITY OF LA QUINTA
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2013
Business-Type
Activities -
Enterprise Funds Governmental
Activities-
Internal
Service Funds
Operating Revenues:
Sales and service charges 3,736,879$ 1,578,926$
Miscellaneous 100,799 -
Total Operating Revenues 3,837,678 1,578,926
Operating Expenses:
Administration and general 61,800 112,025
Fuel and oil - 83,618
Maintenance and parts - 103,764
Contract services 3,469,910 67,722
Software and supplies - 143,651
Depreciation expense 489,588 774,006
Other 164,607 14,727
Total Operating Expenses 4,185,905 1,299,513
Operating Income (Loss)(348,227) 279,413
Nonoperating Revenues (Expenses):
Interest revenue 2,225 22,956
Interest expense (22,950) -
Gain (loss) on disposal of capital assets - 5,975
Total Nonoperating
Revenues (Expenses)(20,725) 28,931
Income (Loss) Before Contributions (368,952) 308,344
Contributions - 24,605
Changes in Net Position (368,952) 332,949
Net Position:
Beginning of Year 37,359,791 20,968,601
End of Fiscal Year 36,990,839$ 21,301,550$
Golf Course
See Notes to Financial Statements 31
CITY OF LA QUINTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2013
Business-Type
Activities -
Enterprise Funds
Governmental
Activities-
Internal
Service Funds
Cash Flows from Operating Activities:
Cash received from customers and users 3,760,421$ 1,579,166$
Cash received from/(paid to) interfund service provided (2,538) (367,246)
Cash paid to suppliers for goods and services (3,558,488) (112,898)
Cash paid to employees for services (61,613) -
Net Cash Provided (Used) by Operating Activities 137,782 1,099,022
Cash Flows from Non-Capital
Financing Activities:
Advance to other funds 10,516 -
Net Cash Provided (Used) by
Non-Capital Financing Activities 10,516 -
Cash Flows from Capital
and Related Financing Activities:
Principal paid on capital debt (125,348) -
Interest paid on capital debt (22,950) -
Proceeds from sales of capital assets - 5,975
Net Cash Provided (Used) by
Capital and Related Financing Activities (148,298) 5,975
Cash Flows from Investing Activities:
Interest received 1,956 19,814
Net Cash Provided (Used) by
Investing Activities 1,956 19,814
Net Increase (Decrease) in Cash
and Cash Equivalents 1,956 1,124,811
Cash and Cash Equivalents at Beginning of Year 435,601 3,794,621
Cash and Cash Equivalents at End of Year 437,557$ 4,919,432$
Golf Course
See Notes to Financial Statements 32
CITY OF LA QUINTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2013
Business-Type
Activities -
Enterprise Funds
Governmental
Activities-
Internal
Service Funds Golf Course
Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:
Operating income (loss)(348,227)$ 279,413$
Adjustments to reconcile operating income (loss)
net cash provided (used) by operating activities:
Depreciation 489,588 774,007
(Increase) decrease in accounts receivable (76,921) -
(Increase) decrease in inventories (9,542) -
(Increase) decrease in prepaid expense - 240
Increase (decrease) in accounts payable 83,033 46,235
Increase (decrease) in accrued liabilities 187 514
Increase (decrease) in unearned revenue (336) -
Increase (decrease) in compensated absences - (1,387)
Total Adjustments 486,009 819,609
Net Cash Provided (Used) by
Operating Activities 137,782$ 1,099,022$
Non-Cash Investing, Capital, and Financing Activities:
There were no non-cash transactions in the current year.
See Notes to Financial Statements 33
CITY OF LA QUINTA
STATEMENT OF FIDUCIARY NET POSITION
FIDUCIARY FUNDS
JUNE 30, 2013
Agency
Funds
Assets:
Pooled cash and investments 589,081$ 175,888$ 59,723,121$
Receivables:
Accounts - - 21,000
Taxes 11,613 - -
Notes and loans - - 3,563,561
Accrued interest 502 160 8,996
Due from other governments - - 3,395,871
Restricted assets:
Cash and investments with fiscal agents - - 43,406,872
Total Assets 601,196$ 176,048 110,119,421
Liabilities:
Accounts payable -$ - 24,464
Accrued interest - - 4,284,473
Deposits payable 601,196 - -
Due to other governments - - 41,804,608
Long-term liabilities:
Due in one year - - 6,190,000
Due in more than one year - - 271,339,821
Total Liabilities 601,196$ - 323,643,366
Net Position:
Held in trust for pension 176,048 -
Held in trust for other purposes - (213,523,945)
Total Net Position 176,048$ (213,523,945)$
Pension Trust
Fund
Private-
Purpose Trust
Fund
Supplemental
Pension Plan
Successor
Agency of the
former RDA
See Notes to Financial Statements 34
CITY OF LA QUINTA
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
FIDUCIARY FUNDS
YEAR ENDED JUNE 30, 2013
Additions:
Taxes -$ 19,993,315$
Interest and change in fair value of investments 894 440,513
Total Additions 894 20,433,828
Deductions:
Administrative expenses 12,833 589,418
Contractual services - 756,622
Interest expense - 13,995,614
Contributions to City - 18,377,253
Contributions to other governments - 41,378,966
Total Deductions 12,833 75,097,873
Extraordinary gain/(loss)- 2,189,984
Changes in Net Position (11,939) (52,474,061)
Net Position - Beginning of the Year 187,987 (156,811,196)
Restatements - (4,238,688)
Beginning of Fiscal Year, as restated 187,987 (161,049,884)
Net Position - End of the Year 176,048$ (213,523,945)$
Pension Trust
Fund
Private-
Purpose Trust
Fund
Successor
Agency of the
former RDA
Supplemental
Pension Plan
See Notes to Financial Statements 35
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36
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2013
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Note 1: Summary of Significant Accounting Policies
a. Reporting Entity
The City of La Quinta (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:
City of La Quinta Public Financing Authority
The La Quinta Public Financing Authority (Financing Authority) was established
pursuant to a Joint Exercise of Powers Agreement dated November 19, 1991,
between the City and the Former Agency. The purpose of the Financing Authority is
to provide financing necessary for the construction of various public improvements
through the issuance of debt. Although the Financing 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 Financing Authority. Separate financial statements of the
Financing Authority are not prepared.
City of La Quinta Housing Authority
The La Quinta Housing Authority (Housing Authority) was established pursuant to
California Housing Authorities Law (Health and Safety Code Sections 34200 et seq.)
on September 15, 2009. The purpose of the Housing Authority is to provide safe and
sanitary housing opportunities for La Quinta residents. Although the Housing
Authority is legally separate, it is reported as if it were part of the City because the
37
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 1: Summary of Significant Accounting Policies (Continued)
City Council also serves as the governing board of the Housing Authority. Separate
financial statements of the Housing 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
Government-wide Financial Statements
The government-wide financial statements (i.e., the statement of net position and the
statement of activities) report information on all of the nonfiduciary activities of the
primary government and its component units. All fiduciary activities are reported only
in the fund financial statements. Governmental activities, which normally are
supported by taxes, intergovernmental revenues, and other nonexchange
transactions, are reported separately from business-type activities, which rely to a
significant extent on fees and charges to external customers for support. Likewise,
the primary government is reported separately from certain legally separate
component units for which the primary government is financially accountable.
The statement of activities demonstrates the degree to which the direct expenses of
a given function or segments 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 expenditures.
Proceeds of long-term debt are recorded as a liability in the government-wide
financial statements, rather than as other financing sources. Amounts paid to reduce
long-term indebtedness of the reporting government are reported as a reduction of
the related liability, rather than as expenditures.
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, deferred outflows of resources, liabilities, deferred
inflows of resources, 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
38
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 1: Summary of Significant Accounting Policies (Continued)
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
While separate government-wide and fund financial statements are presented, they
are interrelated. The governmental activities column incorporates data from
governmental funds and internal service funds, while business-type activities
incorporate data from the government's enterprise funds. Separate financial
statements are provided for governmental funds, proprietary funds, and fiduciary
funds, even though the latter are excluded from the government-wide financial
statements.
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.
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 nonexchange 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.
Property taxes, franchise taxes, licenses and interest associated with the current
fiscal period are all considered to be susceptible to accrual and so have been
recognized as revenues of the current fiscal period. All other revenue items are
considered to be measurable and available only when cash is received by the
government.
In the fund financial statements, governmental funds are presented using the current
financial resources measurement focus. This means that only current assets,
deferred outflows of resources, current liabilities, and deferred inflows of resources
are generally included on their balance sheets. The reported fund balance
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). Accordingly, they are said to
present a summary of sources and uses of “available spendable resources” during a
period.
39
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 1: Summary of Significant Accounting Policies (Continued)
Noncurrent 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, all deferred outflows of resources,
all liabilities, and all deferred inflows of resources (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 position.
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 an Other 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.
Operating expenses for Enterprise 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.
40
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 1: Summary of Significant Accounting Policies (Continued)
Fiduciary Funds
The pension and private-purpose trust funds are reported using the economic
resources measurement focus and the accrual basis of accounting. The agency fund
has no measurement focus but utilizes the accrual basis of accounting for reporting
its assets and liabilities.
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.
Housing Authority Project Area No. 2 – To account for the housing activities of the
Housing Authority in Project Area 2 which is to promote and provide for quality
housing. Revenues will be provided from the receipts and collections of notes and
loans. All monies in the Housing Authority must be used in accordance with the
applicable housing-related provisions of the Community Redevelopment Law.
Capital Improvement Fund – This capital projects fund is used to account for the
planning, design and construction of various capital projects throughout the City.
Civic Center Fund – To account for the accumulation of resources provided through
developer fees for the acquisition, construction, or improvement of the Civic Center.
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.
41
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 1: Summary of Significant Accounting Policies (Continued)
Fiduciary Funds:
Agency Fund – This fund accounts for assets held by the City as an agency for
assessment district bondholders.
Pension Trust Fund – This fund accounts for the activities of the Supplemental
Pension Savings Plan, which accumulates resources for pension benefit
payments to qualified government employees.
Private-Purpose Trust Fund – This fund accounts for the assets and liabilities of
the former redevelopment agency and is allocated revenue to pay estimated
installment payments of enforceable obligations until obligations of the former
redevelopment agency are paid in full and assets have been liquidated.
e. Assets, Deferred Outflow of Resources, Liabilities, Deferred Inflow of Resources,
and Net Position 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.
Inventory
Inventory is valued at cost using the first in/first out (FIFO) method. The City uses
the consumption method of accounting for inventories.
42
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 1: Summary of Significant Accounting Policies (Continued)
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. The City utilizes the consumption method, in which prepaid items are
accounted for in the period that the benefit was received.
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 government-wide financial statements and in the
fund financial statements of the proprietary funds. Depreciation is charged as an
expense against operations and accumulated depreciation 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
Deferred outflows/inflows of resources
In addition to assets, the statement of financial position and governmental fund
balance sheet will sometimes report a separate section for deferred outflows of
resources. This separate financial statement element, deferred outflows of resources,
represents a consumption of net position and fund balance that applies to a future
period(s) and so will not be recognized as an outflow of resources (expense/
expenditure) until then. The City of La Quinta has no items that qualify for reporting in
this category.
In addition to liabilities, the statement of financial position and governmental fund
balance sheet will sometimes report a separate section for deferred inflows of
resources. This separate financial statement element, deferred inflows of resources,
represents an acquisition of net position or fund balance that applies to a future
period(s) and so will not be recognized as an inflow of resources (revenue) until that
time. The government has only one type of item, which arises only under a modified
accrual basis of accounting that qualifies for reporting in this category. Accordingly,
the item, unavailable revenue, is reported only in the governmental funds balance
sheet. The governmental funds report unavailable revenues from three sources:
taxes, loans and grants. These amounts are deferred and recognized as an inflow of
resources in the period that the amounts become available.
43
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 1: Summary of Significant Accounting Policies (Continued)
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. The General Fund resources are used to pay for the accumulated
benefits to employees.
Fund Balance
In the fund financial statements, governmental funds report the following fund
balance classification:
Nonspendable includes amounts that cannot be spent because they are either (a) not
in spendable form or (b) legally or contractually required to be maintained intact.
Restricted includes amounts that are constrained on the use of resources by either
(a) external creditors, grantors, contributors, or laws of regulations of other
governments or (b) by law through constitutional provisions or enabling legislation.
Committed includes amounts that can only be used for specific purposes pursuant to
constraints imposed by formal action of the government’s highest authority, the City
Council. The formal action that is required to be taken to establish, modify, or rescind
a fund balance commitment is by resolution.
Assigned includes amounts that are constrained by the government’s intent to be
used for specific purposes, but are neither restricted nor committed. City Council is
authorized to assign amounts to a specific purpose. The City Council authorizes
assigned amounts for specific purposes pursuant to the policy-making powers
granted through a resolution.
Unassigned includes the residual amounts that have not been restricted, committed,
or assigned to specific purposes.
Fund balance flow assumptions
Sometimes the City of La Quinta will fund outlays for a particular purpose from both
restricted and unrestricted resources (the total of committed, assigned, and
44
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 1: Summary of Significant Accounting Policies (Continued)
unassigned fund balance). In order to calculate the amounts to report as restricted,
committed, assigned, and unassigned fund balance in the governmental fund
financial statements a flow assumption must be made about the order in which the
resources are considered to be applied. It is the City’s policy to consider restricted
fund balance to have been depleted before using any of the components of
unrestricted fund balance. Further, when the components of unrestricted fund
balance can be used for the same purpose, committed fund balance is depleted first,
followed by assigned fund balance. Unassigned fund balance is applied last.
Net position flow assumption
Sometimes the City of La Quinta will fund outlays for a particular purpose from both
restricted (e.g., restricted bond or grant proceeds) and unrestricted resources. In
order to calculate the amounts to report as restricted – net position and
unrestricted – net position in the government-wide and proprietary fund financial
statements, a flow assumption must be made about the order in which the resources
are considered to be applied. It is the City’s policy to consider restricted – net position
to have been depleted before unrestricted – net position is applied.
GASB 65 – Change in Accounting Principle
The City implemented GASB Statement 65, Items Previously Reported as Assets
and Liabilities. GASB 65, among other things, amends prior guidance with respect to
the treatment of debt issuance costs. Debt issuance costs should be recognized in
the period incurred rather than reported on the statement of net position as deferred
charges and recognized systematically over the life of the debt. The accounting
changes of this statement should be applied retroactive and therefore the City has
reported a restatement of beginning net position for any unamortized debt issuance
costs (deferred charges) previously reported on the statement of fiduciary net
position to conform.
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. Budgets were not adopted for the
Development Agreement funds.
45
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 2: Stewardship, Compliance and Accountability (Continued)
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 an unassigned 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, 2013, the following funds had deficit fund balances:
Major Capital Projects Funds:
Capital Improvement 90,661$
Civic Center 7,305,489
Nonmajor Special Revenue Funds:
Federal Assistance 12,914
Nonmajor Capital Projects Funds:
Parks and Recreation 1,052,040
Library Development 1,841,056
Street Facility 2,009,184
Fire Facility 867,852
c. Excess of expenditures over appropriations are as follows:
Expenditures for the year ended June 30, 2013, exceeded the appropriations of the
General Fund as follows:
Budget Actual Variance
General Fund:
General Government
City Manager 392,149$ 414,113$ 21,964$
Fiscal Services 719,279 828,356 109,077
Public Safety
Building & Safety Admin.522,863 587,382 64,519
Community Development
Administration 855,923 867,693 11,770
Public Works
Administration 475,454 515,033 39,579
Maintenance/Operations - Street 65,283 393,022 327,739
Construction management 1,083,601 1,271,535 187,934
46
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
III. DETAILED NOTES ON ALL FUNDS
Note 3: Cash and Investments
Cash and investments as of June 30, 2013, are classified in the accompanying financial
statements as follows:
Statement of Net Position:
Cash and investments 60,723,474$
Statement of Fiduciary Net Position:
Cash and investments 60,488,090
Cash with fiscal agent 43,406,872
Total cash and investments 164,618,436$
Cash and investments as of June 30, 2013, consist of the following:
Cash on hand 1,450$
Deposits with financial institutions 441,709
Investments 164,175,277
Total cash and investments 164,618,436$
The California Government Code requires California banks and savings and loan
associations to secure a City’s deposits by pledging government securities with a value of
110% of a City’s deposits. California law also allows financial institutions to secure City
deposits by pledging first trust deed mortgage notes having a value of 150% of a City’s total
deposits. The City Treasurer may waive the collateral requirement for deposits which are fully
insured up to $250,000 by the FDIC. The collateral for deposits in federal and state chartered
banks is held in safekeeping by an authorized Agent of Depository recognized by the State of
California Department of Banking. The collateral for deposits with savings and loan
associations is generally held in safekeeping by the Federal Home Loan Bank in
San Francisco, California as an Agent of Depository. These securities are physically held in
an undivided pool for all California public agency depositors. Under Government Code
Section 53655, the placement of securities by a bank or savings and loan association with an
“Agent of Depository” has the effect of perfecting the security interest in the name of the local
governmental agency. Accordingly, all collateral held by California Agents of Depository are
considered to be held for, and in the name of, the local governmental agency.
Cash Deposits
At June 30, 2013, the carrying amount of the City’s deposits was $441,709, and the bank
balance was $2,017,879. The $1,576,170 difference represents outstanding checks and
other reconciling items.
Investments Authorized by the California Government Code and the City’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.
47
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 3: Cash and Investments (Continued)
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 10 years None $30 million
U.S. Agency Securities 3 years None 30 million
Local Agency Bonds 10 years None 30 million
California Local Agency Obligations 10 years 30% 30 million
Commercial Paper 90 days 15% 5 million
Certificates of Deposit 3 years 60% 250,000
Medium-Term Notes 3 years 10% 5 million
Money Market Mutual Funds 60 days 20%10%
Local Agency Investment Fund (LAIF) N/A 30% 40 million
Investment Agreements N/A N/A N/A
* Based on state law requirements or investment policy requirements,
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair
value of an investment. Generally, the longer the maturity of an investment, the greater the
sensitivity of its fair value to changes in market interest rates.
One of the ways that the City manages its exposure to interest rate risk is by purchasing a
combination of short term and long term investments and by timing cash flows from maturities
so that a portion of the portfolio is maturing or coming close to maturity evenly over time as
necessary to provide the cash flow and liquidity needed for operations.
Information about the sensitivity of the fair values of the City’s investments (including
investments held by bond trustee) to market interest rate fluctuations is provided by the
following table that shows the distribution of the City’s investments by maturity:
48
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 3: Cash and Investments (Continued)
Total
6 Months
or Less 1 to 3 Years 3 to 5 Years
Certificates of Deposit 1,429,922$ 241,072$ 718,394$ 470,456$
Federal agency securities:
Federal National Mortgage Association 17,741,250 - - 17,741,250
Federal Home Loan Bank 4,969,860 - 4,969,860 -
Federal Farm Credit Bank 19,825,800 - 19,825,800 -
Rabobank - money market funds 39,955,556 39,955,556 - -
State investment pool 36,846,017 36,846,017 - -
Held by bond trustee:
Money market funds 43,406,872 43,406,872 - -
Total 164,175,277$ 120,449,517$ 25,514,054$ 18,211,706$
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
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, 2013, 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
money market mutual funds were all rated “AAA”, federal agency securities were all rated
AA+, and commercial paper were rated A-1 by S&P and Moody’s. As of June 30, 2013, 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 and Commercial Paper. As of June 30, 2013, the City had individual
investments that represent 5% or more of total investments with Federal Farm Credit Bank
and Federal National Mortgage Association.
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
49
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 3: Cash and Investments (Continued)
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.
The City has money market accounts (MMA’s) with Rabobank, N.A. These Accounts are the
financial obligations of the bank, and are collateralized with government securities at 110% of
the balance on deposit. As of June 30, 2013, the City’s investments of $39,955,556 were
collateralized in accordance with the California Government Code.
Investment in State Investment Pool
The City 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
Note 5: Notes Receivable
In September 1994, the Former 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. On February 1, 2012, this receivable was
50
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 5: Notes Receivable (Continued)
transferred to the Housing Authority Project Area No. 1 which took over the housing function
of the Former Agency upon dissolution. The balance at June 30, 2013, including matured,
unpaid interest of $2,167,144 is $4,202,532.
In February 2011, the Former Agency entered into Disposition and Development Agreement
with Coral Mountain Partners L.P. (“Coral Mountain”) to fund up to $29,000,000 for the
construction of a low and moderate income apartment complex with an estimated completion
date of the apartment complex of March 2014. The Former Agency’s $29,000,000 loan is
evidenced by a Promissory Note executed by Coral Mountain (“Note”). Interest on the
outstanding note amount will bear simple interest of 1%. Principal and interest will be repaid
on or before May 1st of each year from annual residual receipts as defined in the Note once
the project is completed and may be repaid early if the property is refinanced, or if the
property is transferred to another entity. On February 1, 2012 this receivable was transferred
to the Housing Authority Project Area No. 2 which took over the housing function of the
Former Agency upon dissolution. As of June 30, 2013, the outstanding principal portion on
the Note is $29,000,000 and the outstanding interest portion is $224,854.
Other notes receivable as of February 1, 2012, were transferred to the Housing Authority
Project Area No. 1 which took over the housing function of the Former Agency upon
dissolution that totaled $27,200 at June 30, 2013.
Note 6: CJPIA Refund Balances Long-term Receivable
Retrospective deposits and refunds are cost allocation adjustments to prior coverage periods.
Some claims take many years to resolve and over time their estimated value changes. The
retrospective adjustments are calculated annually and take into consideration all the changes
in claim values that occurred during the most recent year. The formula is designed to
adequately cover the cost of claims brought against members and to ensure the overall
financial strength and security of the Authority. The formula was developed to be as equitable
as possible by taking into consideration both risk exposure and claims experience of
individual members. CJPIA has temporarily deferred the payment on retrospective deposits
owed to the Authority by members. The payment deferral period extends until July 1, 2013,
for the Liability program and July 1, 2015, for the Workers’ Compensation program.
Retrospective deposit payments are scheduled to resume on these dates. The October 2011
annual retrospective adjustment is included in these balances. The City at June 30, 2013,
had a retrospective refund due to the City in the amount of $270,586.
During the payment deferral period, members with a retrospective refund balance will receive
a portion of the balance as a credit against other charges on the annual contribution invoice.
For the 2012-13 coverage year, the refund amount will be 25%. The percentage to be
refunded in future years will be set on an annual basis by the Executive Committee of CJPIA.
Once the payment deferral period has concluded in each program, subsequent retrospective
refund adjustments will be applied in full (100%) as a credit on the annual contribution
invoice.
More information on the CJPIA retrospective balances can be found on the CJPIA website at
CJPIA.org.
51
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 7: Capital Assets
Capital asset activity for governmental activities for the year ended June 30, 2013, is as
follows:
Beginning Adjusted Ending
Balance at Beginning Balance at
July 1, 2012 Adjustments * Balance Additions Deletions Transfers June 30, 2013
Governmental Activities:
Capital assets, not being depreciated:
Land 69,628,685$ -$ 69,628,685$ -$ 19,313$ - $ 69,609,372$
Right of way 284,904,621 - 284,904,621 24,173 - - 284,928,794
Construction-in-progress 15,193,546 (3,908,944) 11,284,602 7,992,773 - (681,555) 18,595,820
Total Capital Assets,
Not Being Depreciated 369,726,852 (3,908,944) 365,817,908 8,016,946 19,313 (681,555) 373,133,986
Capital assets, being depreciated:
Buildings and improvements 69,147,713 - 69,147,713 - 84,005 - 69,063,708
Equipment and furniture 2,298,592 - 2,298,592 95,648 104,054 - 2,290,186
Vehicles 1,598,538 - 1,598,538 - - - 1,598,538
Infrastructure 197,144,188 - 197,144,188 142,758 - 681,555 197,968,501
Total Capital Assets,
Being Depreciated 270,189,031 - 270,189,031 238,406 188,059 681,555 270,920,933
Less accumulated depreciation:
Buildings and improvements 18,890,564 - 18,890,564 2,347,302 4,242 - 21,233,624
Equipment and furniture 1,686,458 - 1,686,458 161,326 104,054 - 1,743,730
Vehicles 1,269,664 - 1,269,664 91,074 - - 1,360,738
Infrastructure 83,680,718 - 83,680,718 6,283,722 - - 89,964,440
Total Accumulated
Depreciation 105,527,404 - 105,527,404 8,883,424 108,296 - 114,302,532
Total Capital Assets,
Being Depreciated, Net 164,661,627 - 164,661,627 (8,645,018) 79,763 681,555 156,618,401
Governmental Activities
Capital Assets, Net 534,388,479$ (3,908,944) 530,479,535 (628,072)$ 99,076 $ - $ 529,752,387$
* See Note 18 for information on adjustment.
Depreciation expense was charged to the following functions in the Statement of Activities:
General government 116,080$
Public safety 1,148,394
Community services 611,890
Public works 7,007,060
Total governmental activities 8,883,424$
52
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 7: Capital Assets (Continued)
Capital asset activity for business-type activities for the year ended June 30, 2013, is as
follows:
Beginning Ending
Balance at Balance at
July 1, 2012 Additions June 30, 2013
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 2,073,478 - 2,073,478
Vehicles 20,348 - 20,348
Software 20,255 - 20,255
Total Capital Assets,
Being Depreciated 8,750,546 - 8,750,546
Less accumulated depreciation:
Buildings and improvements 1,741,753 234,555 1,976,308
Equipment and furniture 1,534,256 255,032 1,789,288
Vehicles 20,347 1 20,348
Software 20,255 - 20,255
Total Accumulated
Depreciation 3,316,611 489,588 3,806,199
Total Capital Assets,
Being Depreciated, Net 5,433,935 (489,588) 4,944,347
Governmental Activities
Capital Assets, Net 42,274,767$ (489,588)$ 41,785,179$
Depreciation expense was charged to the following function in the Statement of Activities:
Golf Course 489,588$
53
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 8: 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, 2013:
Balance at
July 1, 2012
Transfers from
the Successor
Agency Additions Deletions
Balance at June
30, 2013
Due within
one year
City:
Compensated absences payable $ 941,954 $ - 702,482$ 900,429$ 744,007$ 711,011$
Copier Lease Payable 40,088 - 71,045 40,088 71,045 11,918
OPEB Liability 459,644 - 116,408 16,461 559,591 -
General liability retrospective
deposit payable 41,298 - - 41,298 - -
RDA Project Area No. 2:
Provident Loan - 1,473,612 - 32,516 1,441,096 35,340
US Department of Agriculture - 716,372 - 14,267 702,105 15,761
Financing Authority:
Revenue bonds 3,895,000 - - 470,000 3,425,000 495,000
Total $ 5,377,984 $ 2,189,984 $ 889,935 $ 1,515,059 $ 6,942,844 $ 1,269,030
b. A description of individual issues of debt (excluding defeased bonds) outstanding
as of June 30, 2013, is as follows:
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 to $3,417, 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. This was the last year of the lease and
the balance was paid in June 2013. The City immediately entered into a new 5-year lease
agreement for photocopiers for $71,045 maturing in monthly increments of $1,456, with
interest payable monthly at 8.47%. This new lease agreement qualifies as a capital lease
for accounting purposes and therefore, has been recorded at the present value of the
future minimum lease payments at the inception date.
The minimum future lease obligations and the net present value of the lease payments as
of June 30, 2013, are as follows:
Year Ending
June 30, Total
2014 17,477$
2015 17,477
2016 17,477
2017 17,477
2018 17,477
Total Payments 87,385
Less amount representing interest (16,340)
Outstanding Principal 71,045$
54
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 8: Changes in Long-Term Liabilities – Governmental Activities (Continued)
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, 2013, is $ 3,425,000.
On May 10, 2013, Standard and Poor’s Ratings Services (“S&P”) raised its financial
strength rating on NPFGC to ‘A’ from ‘BBB.’
On May 21, 2013, Moody’s Investors Service raised its financial strength rating on
NPFGC to ‘Baa1’ from ‘Baa2.’
The minimum annual requirements to amortize the bond payable as of
June 30, 2013, are as follows:
Principal Interest
2014 495,000$ 176,351$
2015 525,000 148,046
2016 555,000 118,076
2017 585,000 86,441
2018 615,000 53,141
2019-2023 650,000 18,038
Totals 3,425,000$ 600,093$
CJPIA Retrospective Deposit Liability
Retrospective deposits and refunds are cost allocation adjustments to prior coverage
periods. Some claims take many years to resolve and over time their estimated value
changes. The retrospective adjustments are calculated annually and take into
consideration all the changes in claim values that occurred during the most recent
year. The formula is designed to adequately cover the cost of claims brought against
members and to ensure the overall financial strength and security of the Authority.
The formula was developed to be as equitable as possible by taking into
consideration both risk exposure and claims experience of individual members.
CJPIA has taken the amount owed to the Authority by the City as an offset to the
CJPIA General Liability cumulative refund due to the City by the Authority. More
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CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 8: Changes in Long-Term Liabilities – Governmental Activities (Continued)
information on the CJPIA retrospective balances can be found on the CJPIA website
at CJPIA.org. At June 30, 2013, there was no retrospective amount.
Loans
Washington Street Apartments
In October 2008, the former 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 former redevelopment 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, 2013, is $1,441,096.
The minimum annual requirements to amortize the loan payable as of June 30, 2013,
are as follows:
Principal Interest
2014 35,340$ 119,114$
2015 38,411 116,064
2016 41,748 112,726
2017 45,375 109,099
2018 49,317 105,157
2019-2022 1,230,905 302,913
Totals 1,441,096$ 865,073$
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 former
redevelopment 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, 2013, is $702,105.
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CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 8: Changes in Long-Term Liabilities – Governmental Activities (Continued)
Principal Interest
2014 15,761$ 69,520$
2015 17,412 67,870
2016 19,235 66,047
2017 21,249 64,033
2018 23,474 61,807
2019-2023 159,812 266,597
2024-2028 262,940 163,469
2029-2032 182,222 23,684
Totals 702,105$ 783,027$
Compensated absences
Compensated absences are described in note 1. The liability is typically liquidated by
the general fund.
Other Post-Employment Benefits (OPEB)
OPEB are described in note 15. The liability is typically liquidated by the general
fund.
Note 9: Changes in Long-Term Liabilities – Business-type Activities
Changes in business-type long-term liabilities for the year ended June 30, 2013, were as
follows:
Balance at
July 1, 2012 Deletions
Balance at
June 30, 2013
Due within
one year
Golf Course:
Capital leases payable $ 169,084 125,348$ 43,736$ 43,736$
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:
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CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 9: Changes in Long-Term Liabilities – Business-type Activities (Continued)
Wells Fargo Financial Leasing, Inc.
The present value of the minimum lease payments on golf carts was
capitalized using an incremental borrowing rate of 6.90% at the
inception of the lease. The lease is payable in 33 monthly installments
of $11,166 which began February 1, 2011.43,736$
Total capital leases payable as of June 30, 2013 43,736$
The following schedule summarizes the debt to maturity payments for capital leases:
Year Ending
June 30, Total
2014 44,366$
Total Payments 44,366
Less Amount Representing Interest (630)
Outstanding Principal 43,736$
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, 2013.
Proceeds Maturity Date Interest Rate
Amount
Outstanding at
June 30, 2013
Assessment District No. 97-1 705,262$ 9/2/2018 4.10% - 5.60% 240,000$
Assessment District No. 2001-1 2,285,000 9/2/2015 5.00% - 6.60% 325,000
Note 11: Interfund Receivables and Payables
The composition of current interfund receivable and payable as of June 30, 2013, are as
follows:
Non-Major
Governmental Total
Due From Other Funds
General Fund 26,866$ 26,866$
Total:26,866$ 26,866$
Due to Other
Funds
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CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 11: Interfund Receivables and Payables (Continued)
The interfund balances were made to cover negative cash balances and other temporary
loans at June 30, 2013.
The composition of non-current interfund receivable and payable as of June 30, 2013, are as
follows:
Civic Center
Non-Major
Governmental Golf Course TOTAL
Advances to Other Funds
General Fund 7,310,447$ 2,875,703$ 5,323,541$ 15,509,691$
Advances From Other Funds
a) 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, 2013, the Civic Center expansion was completed and the amount of the
advance was $7,310,447 outstanding. The advance accrues interest that would have
been earned by the Local Agency Investment Fund.
b) As of June 30, 2013, the General Fund has advanced to the Golf Course fund
$5,323,541. The advances accrue interest at the City’s investment pool rate and are to
be repaid by the golf course out of future profits.
c) In October 2009, an advance up to $2,033,687 for the Phase 1 of the Corporate Yard
from the General Fund to the Street and Park Maintenance Facility Funds was approved.
As of June 30, 2013, the amount of the outstanding advance was $2,009,184. The
advance accrues interest at the earnings rate of the City’s investment pool fund.
d) 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 development of the City’s north
Fire Station. On March 1, 2012 the outstanding advance of $925,192 was transferred
from the Redevelopment Agency to the General Fund with the Redevelopment Agency
receiving $925,192 in cash for the outstanding balance. The advance accrues interest
equal to the earnings rate of the City’s Investment Pool Funds. As of June 30, 2013, the
remaining balance of the advance was $866,519.
Note 12: Interfund Transfers
General Fund
Housing
Authority PA 2
Non-Major
Governmental Total
Transfers In
General Fund -$ -$ 75,951$ 75,951$
Capital Improvement 698,884 24,972,905 4,087,645 29,759,434
Non-Major Governmental 2,000 - 3,668 5,668
Total:700,884$ 24,972,905$ 4,167,264$ 29,841,053$
Transfers Out
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CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 12: Interfund Transfers (Continued)
a) $75,951 was transferred to the General Fund from various non-major funds to fund
various program expenses within the City related to operations and grant funded activities.
b) $698,884 was transferred from the General Fund to the Capital Improvement Fund to
transfer various capital projects and sales tax rebate agreements.
c) $24,972,905 was transferred to the Capital Improvement Fund from the Housing Authority
PA No. 2 Fund to fund various capital projects within the project area of the former
redevelopment agency.
d) $4,087,645 was transferred to Capital Improvement Fund from various non-major funds to
fund various capital projects within the City.
e) A combined $5,668 was transferred to various non-major funds from the General Fund,
Capital Improvement, and other non-major funds to support various administrative
operations, capital project, and debt service expenses within the City.
IV. OTHER INFORMATION
Note 13: 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 13.914% of annual
covered payroll. The contribution requirements of plan members and the City are established
and may be amended by PERS. The contribution requirement of plan member and the City
are established and may be amended by CalPERS.
Contributions
For the year ended June 30, 2013, the City’s contribution of $869,462 was equal to the City’s
required and actual contribution. Contributions are made from the General Fund, Golf Course
Fund and Information Technology Fund. The required contribution was determined as part of
the June 30, 2010, actuarial valuation using the entry age normal actuarial cost method. The
actuarial assumptions included (a) 7.75% investment rate of return (net of administrative
expenses) and (b) projected annual salary increases that range from 3.55% to 14.45%
depending on age, service, and type of employment. Both (a) and (b) include inflation
component of 3%. The actuarial value of PERS assets was determined using techniques
60
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 13: Defined Benefit Pension Plan (Continued)
that smooth the effects of short-term volatility in the market value of investments over a three-
year period. PERS unfunded actuarial accrued liability (or surplus) is being amortized as a
level percentage of projected payroll on a closed basis. The remaining amortization period at
June 30, 2013, was 18 years.
Required Percentage
Fiscal Year Contribution Contributed
6/30/2011 801,171$ 100%
6/30/2012 906,917 100%
6/30/2013 869,462 100%
Three-Year Trend Information for
PERS
Note 14: Defined Contribution Plans
Plan Description
The Supplemental Pension Savings Plan is a defined contribution pension plan established
by the City to provide retirement excess benefits to general employees of the City. At
June 30, 2013, there was one plan member. There are no required contributions by plan
members. During the 2012/13 fiscal year the City made no contributions to fund the
Supplemental Pension Savings Plan.
Note 15: Post-Employment Health Benefits
Plan Description
The City of La Quinta provides other postemployment benefits (OPEB) through a
single-employer defined benefit healthcare plan by contributing on behalf of all eligible
retirees’ $112/month for calendar 2012 and $115/month for calendar 2013, 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. A separate financial report is not
available for the plan.
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 association. Currently, contributions
are not required from plan members. A contribution was made during 2012-2013 fiscal year
for $16,461.
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CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 15: Post-Employment Health Benefits (Continued)
As a result, the City calculated and recorded a net OPEB obligation, representing the
difference between the annual required contribution (ARC) and actual contributions, as
presented below:
Annual required contribution (ARC)138,992$
Interest on net OPEB obligation 4,596
Adjustment to ARC (27,180)
Annual OPEB cost 116,408
Contributions made (16,461)
(Decrease) increase in net OPEB obligation 99,947
Net OPEB obligation (asset) - beginning of year 459,644
Net OPEB obligation (asset) - end of year 559,591$
The City’s annual OPEB cost, the percentage of annual OPEB cost contributed to the plan
and the net OPEB obligation for 2012-2013 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)
6/30/2011 119,105$ 4,260$ 3.58%337,311$
6/30/2012 128,493 6,160 4.79%459,644
6/30/2013 116,408 16,461 14.14% 559,591
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. The information is as of the latest actuarial valuation
information available.
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 7/1/2008 -$ 590,676$ 590,676$ 0.0% 7,821,474$ 7.6% 5.00%
Actual 7/1/2011 - 428,328 428,328 0.0% 7,459,445 5.7% 5.00%
62
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 15: Post-Employment Health Benefits (Continued)
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 required contribution was
determined as part of the July 1, 2011, actuarial valuation using the entry age actuarial cost
method. The actuarial assumptions included a 5.0% investment rate of return, projected
salary increases ranging from 5.0% to 8.0%, a 4.0% per year cost-of-living adjustments.
Both include an inflation component of 4%.
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, 2013, was twenty-six years. The number of active participants is 12.
Note 16: Self Insurance
The City of La Quinta is a member of the CALIFORNIA JOINT POWERS INSURANCE
AUTHORITY (Authority). The 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 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 lines of coverage. The California JPIA 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 nine-member
Executive Committee.
General Liability
In the liability program claims are pooled separately between police and non-police
exposures. (1) The payroll of each member is evaluated relative to the payroll of other
members. A variable credibility factor is determined for each member, which establishes
the weight applied to payroll and the weight applied to losses within the formula.
(2) The first layer of losses includes incurred costs up to $30,000 for each occurrence
and is evaluated as a percentage of the pool’s total incurred costs within the first layer.
(3) The second layer of losses includes incurred costs from $30,000 to $750,000 for each
occurrence and is evaluated as a percentage of the pool’s total incurred costs within the
second layer. (4) Incurred costs in excess of $750,000 up to the reinsurance attachment
point of $5 million are distributed based on the outcome of cost allocation within the
first and second loss layers. (5) Costs of covered claims from $5 million to $10 million are
paid under a reinsurance contract subject to a $2.5 million annual aggregate deductible.
The $2.5 million annual aggregate deductible is fully covered under a separate policy; as
such no portion of it is retained by the Authority. Costs of covered claims from $10 million
to $15 million are paid under two reinsurance contracts subject to a combined $3 million
annual aggregate deductible. The $3.0 million annual aggregate deductible is fully
retained by the Authority. (6) Costs of covered claims from $15 million up to $50 million
are covered through excess insurance policies.
The overall coverage limit for each member including all layers of coverage is $50 million
per occurrence.
63
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 16: Self Insurance (Continued)
Costs of covered claims for subsidence losses are paid by reinsurance and excess
insurance with a pooled sub-limit of $25 million per occurrence. This $25 million
subsidence sub-limit is composed of (a) $5 million retained within the pool’s SIR,
(b) $10 million in reinsurance and (c) $10 million in excess insurance. The excess
insurance layer has a $10 million annual aggregate.
Workers Compensation
In the workers’ compensation program claims are pooled separately between public
safety (police and fire) and non-public safety exposures. (1) The payroll of each member
is evaluated relative to the payroll of other members. A variable credibility factor is
determined for each member, which establishes the weight applied to payroll and the
weight applied to losses within the formula. (2) The first layer of losses includes incurred
costs up to $50,000 for each occurrence and is evaluated as a percentage of the pool’s
total incurred costs within the first layer. (3) The second layer of losses includes incurred
costs from $50,000 to $100,000 for each occurrence and is evaluated as a percentage of
the pool’s total incurred costs within the second layer. (4) Incurred costs in excess
$100,000 up to the reinsurance attachment point of $2 million are distributed based on
the outcome of cost allocation within the first and second loss layers. (5) Costs of
covered claims from $2 million up to statutory limits are paid under a reinsurance policy.
Protection is provided per statutory liability under California Workers’ Compensation Law.
Employer’s Liability losses are pooled among members to $2 million. Coverage from
$2 million to $5 million is purchased as part of a reinsurance policy, and Employer’s
Liability losses from $5 million to $10 million are pooled among members.
During the past three fiscal years, none of the above programs of protection experienced
settlements or judgments that exceeded pooled or insured coverage. There were also no
significant reductions in pooled or insured liability coverage in 2012-2013.
Additional Coverage
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 $65,426,900.
During the past three fiscal years none of the above programs of protection have had
settlements or judgments that exceed pooled or insured coverage. There have been no
significant reductions in pooled or insured liability coverage from coverage in the prior
year.
64
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 17: Commitments and Contingencies
The following material construction commitments existed at June 30, 2013:
Project Name Contract Amount
Expenditures
to date as of
June 30, 2013
Remaining
Commitments
Adams Street Bridge Improvements 8,287,990$ 5,246,415$ 3,041,575$
Highway 111 at Washington Street 730,136 - 730,136
Note 18: Net Position and Fund Balances
Fund Balance Commitments
The City has the following committed fund balance shown on the balance sheet:
Committed to emergency reserve - the City established the amount of 35% of the Fiscal
Year 2012-2013 budget plus $4,000,000 which totals $16,034,995 in the General Fund
for the year ended June 30, 2013. The funds would be drawn upon pursuant to the
Municipal Code Section 2.20 which defines an emergency or disaster to mean the actual
or threatened existence of conditions of disaster or of extreme peril to the safety of
persons and property within this city caused by such conditions as air pollution, fire, flood,
storm, epidemic, riot, earthquake or other conditions, including conditions resulting from
war or imminent threat of war but other than conditions resulting from a labor controversy,
which conditions are or are likely to be beyond the control of the services, regular
personnel, equipment and facilities of the city and which may require the combined forces
of other political jurisdictions to combat.
Committed to post retirement health benefits - the City has committed a portion of fund
balance for the payment in future years of their Post retirement health benefits. For the
year ended June 30, 2013, the City has committed $1,523,401 for this purpose.
These committed amounts have been approved by Council based on certain percentages
and will be used only in the event of Council approval.
Additionally, the City has included the following amounts in the unassigned fund balance
amount shown on the balance sheet:
Cash Flow Reserve - the City established the amount of 8.25% of the Fiscal Year
2012-2013 budget which totals $2,836,820 in the General Fund for the year ended
June 30, 2013.
Restatements
Net Position in the government-wide statements have been restated by $3,908,944 to
correct the amount of capitalized expenditures relating to the Coral Mountain Project in
the prior years.
65
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 19: 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, 2013, the Golf Course had an operating loss before contributions and transfers of
$368,952.
Note 20: 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. On January 17, 2012, the City amended the agreement to
extend the termination date by an additional one year period, subject to the $1,000,000
maximum reimbursement. 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, 2013, the City made $1,000,000 in reimbursement
payments to the owner leaving no outstanding balance.
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, 2013, the City made $2,118,783 in reimbursement payments to the owner leaving
an outstanding balance of $1,881,217.
66
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency
On December 29, 2011, the California Supreme Court upheld Assembly Bill 1X 26 (“the Bill”)
that provides for the dissolution of all redevelopment agencies in the State of California. This
action impacted the reporting entity of the City of La Quinta that previously had reported a
redevelopment agency within the reporting entity of the City as a blended component unit.
The Bill provides that upon dissolution of a redevelopment agency, either the city or another
unit of local government will agree to serve as the “successor agency” to hold the assets until
they are distributed to other units of state and local government. On January 3, 2011, the City
Council elected to become the Successor Agency for the former redevelopment agency in
accordance with the Bill as part of City resolution number 2012-002.
After enactment of the law, which occurred on June 28, 2011, redevelopment agencies in the
State of California cannot enter into new projects, obligations or commitments. Subject to the
control of a newly established oversight board, remaining assets can only be used to pay
enforceable obligations in existence at the date of dissolution (including the completion of any
unfinished projects that were subject to legally enforceable contractual commitments).
In future fiscal years, successor agencies will only be allocated revenue in the amount that is
necessary to pay the estimated annual installment payments on enforceable obligations of
the former redevelopment agency until all enforceable obligations of the prior redevelopment
agency have been paid in full and all assets have been liquidated.
In accordance with the timeline set forth in the Bill (as modified by the California Supreme
Court on December 29, 2011) all redevelopment agencies in the State of California were
dissolved and ceased to operate as a legal entity as of February 1, 2012.
The Successor Agency to the former Redevelopment Agency is reported as a fiduciary fund
(private purpose trust fund).
a. Cash and investments
Cash and investments reported in the accompanying financial statements consisted of
the following:
Cash and investments pooled with the City 59,723,121$
Cash and investments with fiscal agent 43,406,872
103,129,993$
b. Loans Receivable
Owner Participation Agreement – Garff Properties, LLC
In July 2010, the former redevelopment agency entered into an Owner Participation
Agreement (OPA) with an Garff Properties-La Quinta, LLC (“Garff”) that provides for the
Former Agency to provide a rehabilitation loan to Garff of up to $2,300,000 for the
construction of a new auto dealership facility and rehabilitation of an existing dealership
facility. In connection with the OPA, Garff has executed a promissory note which is
secured by a deed of trust, and an operating covenant. The loan will be repaid by
crediting future sales and property tax increment taxes generated on the site until the
cumulative taxes collected equals the loan amount. At that time, the note will be
cancelled and the operating covenant will terminate. If, after ten years of operation, a
shortfall exists between the revenues collected and the outstanding loan amount, the
note will be cancelled and the operating covenant will terminate. Further, if at any time
67
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (Continued)
through no fault of the dealership certain future events outside of the dealership control
occur the note will be cancelled and the operating covenant will terminate. The balance
at June 30, 2013, is $2,063,562.
Owner Participation Agreement – Torre Nissan
In June 2011, the former redevelopment agency entered into an Owner Participation
Agreement (OPA) with an autodealer, Mega Dealer, LLC (“Torre Nissan”) that provides
for the Agency to provide a rehabilitation loan to Torre Nissan of up to $1,500,000 for the
remodeling of the existing dealership and an expansion of the dealership facility to
accommodate a new line of electric and commercial vehicles. The new expansion will
also include service and parts sales facilitates. In connection with the OPA, Torre Nissan
has executed a promissory note, which is secured by a subordinated deed of trust, and in
operation of the term of the note Nissan Motor Company ceases to exist, the note will be
cancelled and the operating covenant will terminate. At the end of the ten-year operating
covenant, the operating covenant will terminate and the note will be cancelled, and any
outstanding loan balance will be forgiven. As of June 30, 2013, construction was in
progress and $1,499,999 of the $1,500,000 had been expanded leaving an available
balance of $1.
c. Due from other Governments
La Quinta Community Park
In July 2002, an advance of $4,167,912 was made from the former redevelopment
agency 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, 2013, the remaining balance of the advance
for the La Quinta Community Park is $1,052,040.
La Quinta Library
In April 2005, another advance of $2,490,273 was made from the former redevelopment
agency 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, 2013, is $1,841,056.
Highway 111 Improvements
In June 2012, an advance of $1,276.516 was made from the former redevelopment
agency to the City of La Quinta’s Transportation Development Fund to provide funding for
the Highway 111 median public improvements. The advance accrues interest at 7%. As
of June 30, 2013, the remaining balance of the advance is $502,775.
68
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (Continued)
d. Long-Term Debt
A description of long-term debt outstanding (excluding defeased debt) of the Successor
Agency as of June 30, 2013, follows:
Balance at
July 1, 2012
Transfers to the
City * Additions Deletions
Balance at
June 30, 2013
Due within one
year
Tax allocation bonds $ 134,810,000 $ - $ - $ 3,940,000 130,870,000$ 3,695,000$
Provident Loan 1,473,612 (1,473,612) - - - -
US Department of Agriculture 716,372 (716,372) - - - -
City loans - - 41,378,966 - 41,378,966 -
Revenue bonds 108,195,000 - - 1,890,000 106,305,000 2,495,000
Unamortized premiums/discounts (1,075,595) - - (51,450)(1,024,145) -
Total $ 244,119,389 $ (2,189,984) $ 41,378,966 $ 5,778,550 $ 277,529,821 $ 6,190,000
* The loans were previously reported as enforcable obligations of the Successor Agency. The City determined that these were not enforcable
obligations in the current year since the City was receiving federal funding to pay for the loan repayments.
Tax Allocation Bonds
As of June 30, 2013, the following issuances of Tax Allocation Bonds were outstanding:
Series 1998, Project Area No. 1
Tax allocation refunding bonds, Series 1998, in the amount of $15,760,000 were
issued by the Former Agency to refund the outstanding aggregate principal amount
of the former redevelopment 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, 2013, is
$ 15,760,000.
69
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (Continued)
The minimum annual requirements to amortize the bond payable as of
June 30, 2013, are as follows:
Principal Interest
2014 655,000$ 802,490$
2015 690,000 767,520
2016 725,000 730,730
2017 765,000 691,990
2018 800,000 651,300
2019-2023 4,690,000 2,567,500
2024-2028 6,035,000 1,179,750
2029-2032 1,400,000 36,400
Totals 15,760,000$ 7,427,680$
Series 1998, Project Area No. 2
Tax allocation refunding bonds, Series 1998, in the amount of $6,750,000 were
issued by the former redevelopment agency to refund the outstanding aggregate
principal amount of the Former 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 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, 2013, is $5,285,000.
The minimum annual requirements to amortize the bond payable as of
June 30, 2013, are as follows:
Principal Interest
2014 145,000$ 272,516$
2015 150,000 264,956
2016 160,000 257,013
2017 170,000 248,556
2018 175,000 239,716
2019-2023 1,030,000 1,047,784
2024-2028 1,335,000 738,806
2029-2033 1,720,000 339,938
2034-2037 400,000 10,500
Totals 5,285,000$ 3,419,785$
70
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (Continued)
Series 2001, Project Area No. 1
On August 15, 2001, the former redevelopment 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, 2013,
is $48,000,000 with an unamortized discount of $314,588.
The minimum annual requirements to amortize the bond payable as of
June 30, 2013, are as follows:
Principal Interest
2014 1,565,000$ 2,391,595$
2015 1,645,000 2,311,345
2016 1,730,000 2,226,970
2017 1,815,000 2,138,345
2018 1,905,000 2,045,345
2019-2023 11,050,000 8,659,885
2024-2028 14,145,000 5,482,373
2029-2032 14,145,000 1,487,798
Totals 48,000,000$ 26,743,656$
Series 2002, Project Area No. 2
On June 12, 2002, the former redevelopment 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, 2013,
is $33,645,000 with an unamortized discount of 280,007.
71
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (Continued)
The minimum annual requirements to amortize the bond payable as of
June 30, 2013, are as follows:
Principal Interest
2014 705,000$ 1,695,656$
2015 735,000 1,659,656
2016 770,000 1,622,031
2017 810,000 1,582,531
2018 855,000 1,540,906
2019-2023 4,945,000 7,003,781
2024-2028 6,330,000 5,583,175
2029-2033 18,495,000 3,004,659
Totals 33,645,000$ 23,692,395$
Series 2003, Project Area No. 1
On September 1, 2003, the former redevelopment 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, 2013, is $22,215,000 with an
unamortized discount of $183,871.
The minimum annual requirements to amortize the bond payable as of
June 30, 2013, are as follows:
Principal Interest
2014 590,000$ 1,392,158$
2015 620,000 1,356,736
2016 660,000 1,316,800
2017 700,000 1,274,368
2018 745,000 1,229,284
2019-2023 4,485,000 5,364,860
2024-2028 6,095,000 3,707,560
2029-2033 8,320,000 1,406,496
Totals 22,215,000$ 17,048,262$
72
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (Continued)
Series 2011, Project Area No. 2
On June 6, 2011, the former redevelopment agency issued subordinate taxable tax
allocation bonds in the amount of $6,000,000 to finance capital projects benefiting
the La Quinta Redevelopment Project Area No. 2. The 2001 tax allocation bonds
were issued at a discount of $86,207 and issuance costs of $108,500.
The bonds consist of $190,000 of term bonds that accrue interest at 5.375% and
mature on September 1, 2016, $280,000 of term bonds that accrue interest at
7.125% and mature on September 1, 2021, $380,000 of term bonds that accrue
interest at 7.600% and mature on September 1, 2026, and $5,150,000 of term bonds
that accrue interest at 8.150% 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 fund the bond reserve requirement. The
principal balance of outstanding bonds at June 30, 2013, is $5,965,000 with an
unamortized discount of $79,968.
The minimum annual requirements to amortize the bond payable as of June 30, 2013,
are as follows:
Principal Interest
2014 35,000$ 476,886$
2015 40,000 475,005
2016 40,000 472,855
2017 40,000 470,705
2018 50,000 468,555
2019-2023 295,000 2,285,775
2024-2028 410,000 2,160,945
2029-2033 600,000 1,970,265
2034-2038 2,790,000 1,464,964
2039-2042 1,665,000 206,190
Totals 5,965,000$ 10,452,145$
Revenue Bonds
As of June 30, 2013, the following issuances of Revenue Bonds were outstanding:
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.
73
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (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, 2013, is $77,455,000 with an unamortized premium of
$118,094.
The minimum annual requirements to amortize the bond payable as of
June 30, 2013, are as follows:
Principal Interest
2014 1,975,000$ 3,924,681$
2015 2,075,000 3,823,431
2016 2,175,000 3,714,463
2017 2,290,000 3,597,256
2018 2,410,000 3,473,881
2019-2023 14,090,000 15,279,906
2024-2028 18,165,000 11,107,313
2029-2033 23,235,000 5,912,966
2034-2037 11,040,000 572,975
Totals 77,455,000$ 51,406,872$
2011 Series A Local Agency Subordinate Taxable Revenue Bonds
On June 9, 2011, the La Quinta Financing Authority issued revenue bonds in the
amount of $28,850,000 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. The 2011 local agency subordinate taxable
revenue bonds were issued with issuance costs of $323,375 and a discount of
$308,839.
Interest is payable semi-annually on March 1 and September 1 of each year,
commencing September 1, 2011. Interest payments range from 3.750% to 8.185%
per annum. The interest and principal on the bonds are payable from pledged tax
increment revenues.
Term bonds maturing on September 1, 2026, September 1, 2031 and
September 1, 2036, are subject to mandatory redemption from minimum sinking fund
payments, in part by lot, on September 1, 2022, September 1, 2027, and
September 1, 2032, respectively, and on each September 1 thereafter at a
74
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (Continued)
redemption price equal to the principal amount thereof plus accrued interest to the
redemption date.
A portion of the proceeds was used to fund 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, 2013, is
$28,850,000 with an unamortized discount of $283,085.
The minimum annual requirements to amortize the bond payable as of
June 30, 2013, are as follows:
Principal Interest
2014 520,000$ 2,171,767$
2015 540,000 2,152,267
2016 565,000 2,127,967
2017 590,000 2,099,717
2018 625,000 2,066,677
2019-2023 3,800,000 9,661,240
2024-2028 5,420,000 8,038,565
2029-2033 7,885,000 5,571,830
2034-2037 8,905,000 1,865,785
Totals 28,850,000$ 35,755,815$
Loans from the City of La Quinta
The City of La Quinta loaned money to the former Redevelopment Agency to cover
operating and capital shortfalls. These loans were paid back to the City during the
2010/11 fiscal year. This repayment was disallowed by the California Department of
Finance during their Asset Transfer Review of the former Redevelopment Agency
and demanded that this money be remitted to the State for distribution to the
effecting taxing entities. The City reversed this transaction and the payable to the
State is properly recorded by the Successor Agency as of June 30, 2013. In a letter
dated November 6, 2013 the California Department of Finance approved the loans as
enforceable obligations to be through Successor Agency property tax.
As of June 30, 2013, the amount due to the City of La Quinta was $41,378,966. This
consists of an outstanding loan of:
1) $6,000,000 loaned to the former Redevelopment Agency with repayments
beginning in 2015/16 and accrues interest at the current Local Agency
Investment Fund rate.
2) $6,000,000 loaned to the Redevelopment Agency requires repayments
beginning in 2015/16 and accrues interest at the current Local Agency
Investment Fund rate.
3) $10,000,000 loaned to the Redevelopment Agency requires repayments
beginning in 2015/16 and accrues interest at the current Local Agency
Investment Fund rate.
75
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
Note 21: Successor Agency Trust for Assets of Former Redevelopment Agency (Continued)
4) $10,000,000 loaned to the former Redevelopment Agency with repayments
beginning in 2015/16 and accrues interest at the current Local Agency
Investment Fund rate.
5) $9,378,966 loaned to the former Redevelopment Agency for the acquisition
of nine acres located on south side of Highway 111 and East of Dune Palms
Road with repayments beginning in 2015/16 and accrues interest at the
current Local Agency Investment Fund rate.
e. Pledged Tax Revenues
The City pledged, as security for bonds issued, either directly or through the Financing
Authority, a portion of tax increment revenue (including Low and Moderate Income
Housing set-aside and pass through allocations) that it receives. The bonds issued were
to provide financing for various capital projects, accomplish Low and Moderate Income
Housing projects and to defease previously issued bonds. Assembly Bill 1X 26 provided
that upon dissolution of the Redevelopment Agency, property taxes allocated to
redevelopment agencies no longer are deemed tax increment but rather property tax
revenues and will be allocated first to successor agencies to make payments on the
indebtedness incurred by the dissolved redevelopment agency. Total principal and
interest remaining on the debt is $413,121,610 with annual debt service requirements as
indicated below. For the current year, the total property tax revenue recognized by the
Successor Agency for the payment of indebtedness incurred was $19,993,315 and the
debt service obligation on the bonds was $19,268,806.
f. Conduit Debt Financing
2002 Series B Multifamily Housing Revenue Bonds
In April 2002, the 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, 2013, are $2,650,000.
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.
g. Insurance
The Successor Agency of the former redevelopment agency is covered under the
insurance policy of the City of La Quinta at June 30, 2013.
h. Restatement of Net Position
Net Position in the fiduciary statements have been restated by $4,238,688 to comply with
GASB Statement 65, Items Previously Reported as Assets and Liabilities, that was
implemented in the current year. GASB 65 amends prior guidance with respect to the
treatment of debt issuance costs. Debt issuance costs should be recognized in the
period incurred rather than reported on the statement of net position as deferred charges
and recognized systematically over the life of the debt. The accounting changes of this
statement should be applied retroactive and therefore the Successor Agency has
reported a restatement of beginning net position for unamortized debt issuance costs
(deferred charges) previously reported on the statement of net position to conform.
76
CITY OF LA QUINTA
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2013
i. Extraordinary items
Loans included in long-term debt from Provident and US Department of Agriculture in
the amount of $2,189,984 were included in the transfer of the assets and liabilities of
the former redevelopment agency as of February 1, 2012 due to the dissolution of
the Former Redevelopment Agency. During the current year the California
Department of Finance disallowed these loans as enforceable obligations and as a
result were transferred back to the City. This transaction is shown as an extraordinary
loss in the Government Wide Statement of Activities and an extraordinary gain in the
Statement of Changes in Fiduciary Net Position.
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78
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. These
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.
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.
Law Enforcement – To account for law enforcement grants.
79
Proposition 1B - To account for the revenues and expenditures related to Proposition 1B monies.
Justice Assistance Grant – To account for Federal Bureau of Justice Block Grant program grant funds,
which are used to reduce crime and improve public safety.
Measure A - To account for the revenues and expenditures related to Measure A monies.
Transportation Uniform Mitigation Fee - To account for the revenues and expenditures related to
Transportation Uniform Mitigation Fee monies.
Housing Authority PA No.1 – To account for the housing activities of the Housing Authority in Project Area
1 which is to promote and provide for quality housing.
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, 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.
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.
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81
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2013
Assets:
Pooled cash and investments 41,777$ 2,717,455$ -$ 46,900$
Receivables:
Accounts - - - -
Taxes - - - -
Notes and loans - - - -
Accrued interest 39 1,428 - 45
Due from other governments 87,791 - - -
Total Assets 129,607$ 2,718,883$ -$ 46,945$
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable -$ -$ -$ -$
Unearned revenues - - - -
Deposits payable - - - -
Due to other governments - - - -
Due to other funds - - 12,914 -
Advances from other funds - - - -
Total Liabilities - - 12,914 -
Deferred Inflows of Resources:
Unavailable revenues - - - -
Total Deferred Inflows of Resources - - - -
Fund Balances:
Nonspendable:
Notes and loans - - - -
Restricted for:
Planning and development projects - - - -
Public safety - - - 46,945
Community services - 2,718,883 - -
Public works 129,607 - - -
Capital Projects - - - -
Debt service - - - -
Unassigned - - (12,914) -
Total Fund Balances 129,607 2,718,883 (12,914) 46,945
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 129,607$ 2,718,883$ -$ 46,945$
Special Revenue Funds
State Gas
Tax Library
Federal
Assistance SLEBG
82
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2013
Assets:
Pooled cash and investments
Receivables:
Accounts
Taxes
Notes and loans
Accrued interest
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other governments
Due to other funds
Advances from other funds
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Notes and loans
Restricted for:
Planning and development projects
Public safety
Community services
Public works
Capital Projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
1,188$ -$ 8,234,366$ 29,243$
- - - -
- - - -
- - - -
- - 7,503 27
- 27,779 - -
1,188$ 27,779$ 8,241,869$ 29,270$
-$ -$ -$ -$
1,188 - - -
- - - -
- - - -
- 12,619 - -
- - - -
1,188 12,619 - -
- - - -
- - - -
- - - -
- - - -
- - - 29,270
- - 8,241,869 -
- 15,160 - -
- - - -
- - - -
- - - -
- 15,160 8,241,869 29,270
1,188$ 27,779$ 8,241,869$ 29,270$
Special Revenue Funds
Indian
Gaming
Lighting and
Landscaping Quimby
Public
Safety
83
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2013
Assets:
Pooled cash and investments
Receivables:
Accounts
Taxes
Notes and loans
Accrued interest
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other governments
Due to other funds
Advances from other funds
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Notes and loans
Restricted for:
Planning and development projects
Public safety
Community services
Public works
Capital Projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
664,962$ 99,303$ 850,062$ 201,827$
- - - -
- - - -
- - - -
727 83 777 183
- - - -
665,689$ 99,386$ 850,839$ 202,010$
-$ 9,908$ -$ -$
- - - -
- - - 201,927
- - - -
- - - -
- - - -
- 9,908 - 201,927
- - - -
- - - -
- - - -
- 89,478 850,839 -
- - - -
665,689 - - -
- - - -
- - - 83
- - - -
- - - -
665,689 89,478 850,839 83
665,689$ 99,386$ 850,839$ 202,010$
Special Revenue Funds
Art in Public
Places
South Coast
Air Quality AB 939
Development
Agreement
84
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2013
Assets:
Pooled cash and investments
Receivables:
Accounts
Taxes
Notes and loans
Accrued interest
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other governments
Due to other funds
Advances from other funds
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Notes and loans
Restricted for:
Planning and development projects
Public safety
Community services
Public works
Capital Projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
171,411$ 105$ -$ -$
- - - -
- - - 117,967
- - - -
160 - - -
12,692 - - -
184,263$ 105$ -$ 117,967$
1,510$ -$ -$ -$
- - - -
- - - -
- - - -
- - - -
- - - -
1,510 - - -
- - - -
- - - -
- - - -
- 105 - -
182,753 - - -
- - - -
- - - 117,967
- - - -
- - - -
- - - -
182,753 105 - 117,967
184,263$ 105$ -$ 117,967$
Special Revenue Funds
Law
Enforcement
Proposition
1B
Justice
Assistance
Grant Measure A
85
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2013
Assets:
Pooled cash and investments
Receivables:
Accounts
Taxes
Notes and loans
Accrued interest
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other governments
Due to other funds
Advances from other funds
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Notes and loans
Restricted for:
Planning and development projects
Public safety
Community services
Public works
Capital Projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
1,850$ 1,648,858$ 23,115$ 656,608$
7 55,542 - 65,245
- - - -
- 4,229,732 - -
- 1,424 21 1,752
- - - -
1,857$ 5,935,556$ 23,136$ 723,605$
1,837$ 1,065$ -$ -$
- - - 65,245
- 23,260 - -
- - - 502,775
- - - -
- - - -
1,837 24,325 - 568,020
- 2,167,143 - -
- 2,167,143 - -
- 2,062,589 - -
- 1,681,499 - -
- - - -
- - - -
20 - - -
- - 23,136 155,585
- - - -
- - - -
20 3,744,088 23,136 155,585
1,857$ 5,935,556$ 23,136$ 723,605$
Special Revenue Funds Capital Project Funds
Transportation
Uniform
Mitigation Fee
Housing
Authority PA
No. 1 Infrastructure Transportation
86
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2013
Assets:
Pooled cash and investments
Receivables:
Accounts
Taxes
Notes and loans
Accrued interest
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other governments
Due to other funds
Advances from other funds
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Notes and loans
Restricted for:
Planning and development projects
Public safety
Community services
Public works
Capital Projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
-$ -$ 1,212,677$ -$
- - - -
- - - -
- - - -
- - 1,100 -
- - - -
-$ -$ 1,213,777$ -$
-$ -$ -$ -$
- - - -
- - - -
1,052,040 1,841,056 - -
- - - -
- - - 2,009,184
1,052,040 1,841,056 - 2,009,184
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - 1,213,777 -
- - - -
(1,052,040) (1,841,056) - (2,009,184)
(1,052,040) (1,841,056) 1,213,777 (2,009,184)
-$ -$ 1,213,777$ -$
Community
Center
Capital Projects Funds
Street
Facility
Parks and
Recreation
Library
Development
87
CITY OF LA QUINTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2013
Assets:
Pooled cash and investments
Receivables:
Accounts
Taxes
Notes and loans
Accrued interest
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:
Liabilities:
Accounts payable
Unearned revenues
Deposits payable
Due to other governments
Due to other funds
Advances from other funds
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Notes and loans
Restricted for:
Planning and development projects
Public safety
Community services
Public works
Capital Projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
Debt Service
Funds
Total
Governmental
Funds
-$ -$ 2,234$ 16,603,941$
- - - 120,794
- - - 117,967
- - - 4,229,732
- - - 15,269
- - - 128,262
-$ -$ 2,234$ 21,215,965$
-$ -$ -$ 14,320$
- - - 66,433
- - - 225,187
- - - 3,395,871
- 1,333 - 26,866
- 866,519 - 2,875,703
- 867,852 - 6,604,380
- - - 2,167,143
- - - 2,167,143
- - - 2,062,589
- - - 2,621,921
- - - 258,968
- - - 11,626,441
- - - 262,754
- - - 1,392,581
- - 2,234 2,234
- (867,852) - (5,783,046)
- (867,852) 2,234 12,444,442
-$ -$ 2,234$ 21,215,965$
Capital Projects Funds
Fire Facility
Financing
Authority Park Facility
88
THIS PAGE INTENTIONALLY LEFT BLANK
89
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
Revenues:
Taxes -$ -$ -$ -$
Assessments - - - -
Intergovernmental 999,653 2,197,316 52,628 75,000
Charges for services - - - -
Use of money and property 129 7,206 - 191
Developer participation - - - -
Miscellaneous - - - -
Total Revenues 999,782 2,204,522 52,628 75,191
Expenditures:
Current:
General government - - - -
Public safety - - - -
Planning and development - - - -
Community services - 1,479,616 - -
Public works 994,896 - - -
Capital outlay - - - -
Debt service:
Principal retirement - - - -
Interest and fiscal charges - - - -
Total Expenditures 994,896 1,479,616 - -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 4,886 724,906 52,628 75,191
Other Financing Sources (Uses):
Transfers in - - - -
Transfers out - (12,410) (56,660) (54,709)
Proceeds from sale of capital asset - - - -
Total Other Financing Sources
(Uses)- (12,410) (56,660) (54,709)
Fund Balances, Beginning of Year 124,721 2,006,387 (8,882) 26,463
Fund Balances, End of Year 129,607$ 2,718,883$ (12,914)$ 46,945$
State Gas
Tax Library
Federal
Assistance SLEBG
Special Revenue Funds
90
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
Revenues:
Taxes
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
Proceeds from sale of capital asset
Total Other Financing Sources
(Uses)
Fund Balances, Beginning of Year
Fund Balances, End of Year
(CONTINUED)
-$ -$ -$ -$
- 954,058 - -
- - - -
- - - -
- - 42,163 149
- - - -
- - - -
- 954,058 42,163 149
- - - -
- - - -
- - - -
- - 2,185 -
- 960,000 - -
- - - -
- - - -
- - - -
- 960,000 2,185 -
- (5,942) 39,978 149
- - - 2,000
- - (88,286) -
- - - -
- - (88,286) 2,000
- 21,102 8,290,177 27,121
-$ 15,160$ 8,241,869$ 29,270$
Public Safety
Special Revenue Funds
Indian
Gaming
Lighting and
Landscaping Quimby
91
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
Revenues:
Taxes
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
Proceeds from sale of capital asset
Total Other Financing Sources
(Uses)
Fund Balances, Beginning of Year
Fund Balances, End of Year
-$ -$ -$ -$
- - - -
- 45,622 - -
- - - -
4,295 458 4,446 83
49,475 - - -
- - - -
53,770 46,080 4,446 83
- - - -
- - - -
- 35,360 79,457 -
10,231 - - -
- - - -
43,343 - - -
- - - -
- - - -
53,574 35,360 79,457 -
196 10,720 (75,011) 83
- - - -
(200,000) - - -
- - - -
(200,000) - - -
865,493 78,758 925,850 -
665,689$ 89,478$ 850,839$ 83$
Art in Public
Places
South Coast
Air Quality AB 939
Development
Agreement
Special Revenue Funds
92
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
Revenues:
Taxes
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
Proceeds from sale of capital asset
Total Other Financing Sources
(Uses)
Fund Balances, Beginning of Year
Fund Balances, End of Year
(CONTINUED)
-$ -$ -$ 117,967$
- - - -
48,003 287,307 9,722 -
- - - -
839 105 - -
- - - -
- - - -
48,842 287,412 9,722 117,967
- - - -
57,692 - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
57,692 - - -
(8,850) 287,412 9,722 117,967
- - - -
- (287,307) (9,722) -
- - - -
- (287,307) (9,722) -
191,603 - - -
182,753$ 105$ -$ 117,967$
Special Revenue Funds
Proposition
1B
Justice
Assistance
Grant Measure A
Law
Enforcement
93
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
Revenues:
Taxes
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
Proceeds from sale of capital asset
Total Other Financing Sources
(Uses)
Fund Balances, Beginning of Year
Fund Balances, End of Year
-$ -$ -$ -$
- - - -
- - - -
- - - -
20 437,959 73 10,840
- - - 393,617
- 39,147 - 64,308
20 477,106 73 468,765
- - - -
- - - -
- 330,140 - -
- - - -
- - - -
- - - -
- - - -
- - - 35,194
- 330,140 - 35,194
20 146,966 73 433,571
- - - -
- (309,773) (244,738) (2,899,991)
- 121,652 - -
- (188,121) (244,738) (2,899,991)
- 3,785,243 267,801 2,622,005
20$ 3,744,088$ 23,136$ 155,585$
Infrastructure Transportation
Housing
Authority PA
No. 1
Transportation
Uniform
Mitigation Fee
Special Revenue Funds Capital Projects Funds
94
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
Revenues:
Taxes
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
Proceeds from sale of capital asset
Total Other Financing Sources
(Uses)
Fund Balances, Beginning of Year
Fund Balances, End of Year
(CONTINUED)
-$ -$ -$ -$
- - - -
- - - -
- - - -
- - 6,151 -
136,318 26,674 8,276 16,957
- - - -
136,318 26,674 14,427 16,957
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
4,542 7,400 - 8,037
4,542 7,400 - 8,037
131,776 19,274 14,427 8,920
- - - 3,668
- - - -
- - - -
- - - 3,668
(1,183,816) (1,860,330) 1,199,350 (2,021,772)
(1,052,040)$ (1,841,056)$ 1,213,777$ (2,009,184)$
Capital Projects Funds
Library
Development
Community
Center Street Facility
Parks and
Recreation
95
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2013
Revenues:
Taxes
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
Proceeds from sale of capital asset
Total Other Financing Sources
(Uses)
Fund Balances, Beginning of Year
Fund Balances, End of Year
Debt Service
Funds
Total
Governmental
Funds
-$ -$ -$ 117,967$
- - - 954,058
- - - 3,715,251
- - 5,403 5,403
3 - 673,130 1,188,240
3,665 49,375 - 684,357
- - - 103,455
3,668 49,375 678,533 6,768,731
- - 5,703 5,703
- - - 57,692
- - - 444,957
- - - 1,492,032
- - - 1,954,896
- - - 43,343
- - 470,000 470,000
- 3,585 203,130 261,888
- 3,585 678,833 4,730,511
3,668 45,790 (300) 2,038,220
- - - 5,668
(3,668) - - (4,167,264)
- - - 121,652
(3,668) - - (4,039,944)
- (913,642) 2,534 14,446,166
-$ (867,852)$ 2,234$ 12,444,442$
Capital Projects Funds
Financing
Authority Park Facility Fire Facility
96
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
STATE GAS TAX
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 124,721$ 124,721$ 124,721$ -$
Resources (Inflows):
Intergovernmental 994,700 994,700 999,653 4,953
Use of money and property 200 200 129 (71)
Amounts Available for Appropriation 1,119,621 1,119,621 1,124,503 4,882
Charges to Appropriation (Outflow):
Public works 994,900 994,900 994,896 4
Total Charges to Appropriations 994,900 994,900 994,896 4
Budgetary Fund Balance, June 30 124,721$ 124,721$ 129,607$ 4,886$
97
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
LIBRARY
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 2,006,387$ 2,006,387$ 2,006,387$ -$
Resources (Inflows):
Intergovernmental 2,043,357 2,043,357 2,197,316 153,959
Use of money and property 6,600 6,600 7,206 606
Amounts Available for Appropriation 4,056,344 4,056,344 4,210,909 154,565
Charges to Appropriation (Outflow):
Community services 1,696,598 1,725,998 1,479,616 246,382
Transfers out 221,279 221,279 12,410 208,869
Total Charges to Appropriations 1,917,877 1,947,277 1,492,026 455,251
Budgetary Fund Balance, June 30 2,138,467$ 2,109,067$ 2,718,883$ 609,816$
98
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
FEDERAL ASSISTANCE
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (8,882)$ (8,882)$ (8,882)$ -$
Resources (Inflows):
Intergovernmental 300,350 300,350 52,628 (247,722)
Amounts Available for Appropriation 291,468 291,468 43,746 (247,722)
Charges to Appropriation (Outflow):
Transfers out 175,000 274,985 56,660 218,325
Total Charges to Appropriations 175,000 274,985 56,660 218,325
Budgetary Fund Balance, June 30 116,468$ 16,483$ (12,914)$ (29,397)$
99
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
SLEBG
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 26,463$ 26,463$ 26,463$ -$
Resources (Inflows):
Intergovernmental - 100,000 75,000 (25,000)
Use of money and property - - 191 191
Amounts Available for Appropriation 26,463 126,463 101,654 (24,809)
Charges to Appropriation (Outflow):
Transfers out - 100,000 54,709 45,291
Total Charges to Appropriations - 100,000 54,709 45,291
Budgetary Fund Balance, June 30 26,463$ 26,463$ 46,945$ 20,482$
100
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
INDIAN GAMING
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Intergovernmental 105,844 - - -
Amounts Available for Appropriation 105,844 - - -
Charges to Appropriation (Outflow):
Transfers out 118,308 118,308 - 118,308
Total Charges to Appropriations 118,308 118,308 - 118,308
Budgetary Fund Balance, June 30 (12,464)$ (118,308)$ -$ 118,308$
101
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
LIGHTING AND LANDSCAPING
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 21,102$ 21,102$ 21,102$ -$
Resources (Inflows):
Assessments 960,000 960,000 954,058 (5,942)
Amounts Available for Appropriation 981,102 981,102 975,160 (5,942)
Charges to Appropriation (Outflow):
Public works 960,000 960,000 960,000 -
Total Charges to Appropriations 960,000 960,000 960,000 -
Budgetary Fund Balance, June 30 21,102$ 21,102$ 15,160$ (5,942)$
102
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
QUIMBY
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 8,290,177$ 8,290,177$ 8,290,177$ -$
Resources (Inflows):
Use of money and property 20,000 20,000 42,163 22,163
Amounts Available for Appropriation 8,310,177 8,310,177 8,332,340 22,163
Charges to Appropriation (Outflow):
Community services - 202,000 2,185 199,815
Transfers out 1,443,380 9,062,080 88,286 8,973,794
Total Charges to Appropriations 1,443,380 9,264,080 90,471 9,173,609
Budgetary Fund Balance, June 30 6,866,797$ (953,903)$ 8,241,869$ 9,195,772$
103
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
PUBLIC SAFETY
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 27,121$ 27,121$ 27,121$ -$
Resources (Inflows):
Use of money and property 100 100 149 49
Transfers in 2,000 2,000 2,000 -
Amounts Available for Appropriation 29,221 29,221 29,270 49
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 27,221$ 27,221$ 29,270$ 2,049$
104
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
ART IN PUBLIC PLACES
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 865,493$ 865,493$ 865,493$ -$
Resources (Inflows):
Use of money and property 2,300 2,300 4,295 1,995
Developer participation 97,500 97,500 49,475 (48,025)
Amounts Available for Appropriation 965,293 965,293 919,263 (46,030)
Charges to Appropriation (Outflow):
Community services 24,700 24,700 10,231 14,469
Capital outlay 111,500 111,500 43,343 68,157
Transfers out - 400,000 200,000 200,000
Total Charges to Appropriations 136,200 536,200 253,574 282,626
Budgetary Fund Balance, June 30 829,093$ 429,093$ 665,689$ 236,596$
105
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
SOUTH COAST AIR QUALITY
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 78,758$ 78,758$ 78,758$ -$
Resources (Inflows):
Intergovernmental 416,700 416,700 45,622 (371,078)
Use of money and property 400 400 458 58
Amounts Available for Appropriation 495,858 495,858 124,838 (371,020)
Charges to Appropriation (Outflow):
Planning and development 40,200 40,200 35,360 4,840
Transfers out 375,500 375,500 - 375,500
Total Charges to Appropriations 415,700 415,700 35,360 380,340
Budgetary Fund Balance, June 30 80,158$ 80,158$ 89,478$ 9,320$
106
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
AB 939
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 925,850$ 925,850$ 925,850$ -$
Resources (Inflows):
Use of money and property 4,300 4,300 4,446 146
Amounts Available for Appropriation 930,150 930,150 930,296 146
Charges to Appropriation (Outflow):
Planning and development 101,125 108,509 79,457 29,052
Transfers out - 199,490 - 199,490
Total Charges to Appropriations 101,125 307,999 79,457 228,542
Budgetary Fund Balance, June 30 829,025$ 622,151$ 850,839$ 228,688$
107
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
LAW ENFORCEMENT
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 191,603$ 191,603$ 191,603$ -$
Resources (Inflows):
Intergovernmental 230,247 230,247 48,003 (182,244)
Use of money and property 100 100 839 739
Amounts Available for Appropriation 421,950 421,950 240,445 (181,505)
Charges to Appropriation (Outflow):
Public safety 68,490 68,490 57,692 10,798
Total Charges to Appropriations 68,490 68,490 57,692 10,798
Budgetary Fund Balance, June 30 353,460$ 353,460$ 182,753$ (170,707)$
108
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
PROPOSITION 1B
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Intergovernmental 293,380 287,307 287,307 -
Use of money and property - - 105 105
Amounts Available for Appropriation 293,380 287,307 287,412 105
Charges to Appropriation (Outflow):
Transfers out - 287,307 287,307 -
Total Charges to Appropriations - 287,307 287,307 -
Budgetary Fund Balance, June 30 293,380$ -$ 105$ 105$
109
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
JUSTICE ASSISTANCE GRANT
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Intergovernmental - 12,033 9,722 (2,311)
Amounts Available for Appropriation - 12,033 9,722 (2,311)
Charges to Appropriation (Outflow):
Transfers out - 12,033 9,722 2,311
Total Charges to Appropriations - 12,033 9,722 2,311
Budgetary Fund Balance, June 30 -$ -$ -$ -$
110
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
MEASURE A
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Taxes 412,500 - 117,967 117,967
Amounts Available for Appropriation 412,500 - 117,967 117,967
Budgetary Fund Balance, June 30 412,500$ -$ 117,967$ 117,967$
111
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
TRANSPORTATION UNIFORM MITIGATION FEE
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Taxes - - - -
Use of money and property - - 20 20
Amounts Available for Appropriation - - 20 20
Charges to Appropriation (Outflow):
Transfers out 412,500 412,500 - 412,500
Total Charges to Appropriations 412,500 412,500 - 412,500
Budgetary Fund Balance, June 30 (412,500)$ (412,500)$ 20$ 412,520$
112
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
HOUSING AUTHORITY PA NO. 1
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 3,785,243$ 3,785,243$3,785,243$-$
Resources (Inflows):
Use of money and property 243,800 243,800 437,959 194,159
Miscellaneous 125,000 125,000 39,147 (85,853)
Transfers in 192,876 192,876 - (192,876)
Proceeds from sale of capital asset -- 121,652 121,652
Amounts Available for Appropriation 4,346,919 4,346,919 4,384,001 37,082
Charges to Appropriation (Outflow):
Planning and development 419,550 484,500 330,140 154,360
Transfers out - 118,150 309,773 (191,623)
Total Charges to Appropriations 419,550 602,650 639,913 (37,263)
Budgetary Fund Balance, June 30 3,927,369$ 3,744,269$3,744,088$(181)$
113
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
CAPITAL IMPROVEMENT
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (90,661)$ (90,661)$ (90,661)$ -$
Resources (Inflows):
Intergovernmental - 20,714,717 3,101,418 (17,613,299)
Contributions - - 437,755 437,755
Developer participation - 841,244 446,146 (395,098)
Transfers in 4,036,253 81,077,876 29,759,434 (51,318,442)
Amounts Available for Appropriation 3,945,592 102,543,176 33,654,092 (68,889,084)
Charges to Appropriation (Outflow):
Planning and development - 25,281,358 25,281,358 -
Capital outlay 4,036,253 77,989,932 8,463,395 69,526,537
Total Charges to Appropriations 4,036,253 103,271,290 33,744,753 69,526,537
Budgetary Fund Balance, June 30 (90,661)$ (728,114)$ (90,661)$ 637,453$
114
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
CIVIC CENTER
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (7,169,490)$ (7,169,490)$ (7,169,490)$ -$
Resources (Inflows):
Developer participation 127,600 127,600 96,322 (31,278)
Amounts Available for Appropriation (7,041,890) (7,041,890) (7,073,168) (31,278)
Charges to Appropriation (Outflow):
General government 201,939 201,939 203,557 (1,618)
Debt service:
Interest and fiscal charges 35,000 35,000 28,764 6,236
Total Charges to Appropriations 236,939 236,939 232,321 4,618
Budgetary Fund Balance, June 30 (7,278,829)$ (7,278,829)$ (7,305,489)$ (26,660)$
115
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
INFRASTRUCTURE
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 267,801$ 267,801$ 267,801$ -$
Resources (Inflows):
Use of money and property 100 100 73 (27)
Amounts Available for Appropriation 267,901 267,901 267,874 (27)
Charges to Appropriation (Outflow):
Transfers out - 242,074 244,738 (2,664)
Total Charges to Appropriations - 242,074 244,738 (2,664)
Budgetary Fund Balance, June 30 267,901$ 25,827$ 23,136$ (2,691)$
116
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
TRANSPORTATION
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 2,622,005$ 2,622,005$ 2,622,005$ -$
Resources (Inflows):
Use of money and property 1,800 1,800 10,840 9,040
Developer participation 441,500 441,500 393,617 (47,883)
Miscellaneous 80,000 80,000 64,308 (15,692)
Amounts Available for Appropriation 3,145,305 3,145,305 3,090,770 (54,535)
Charges to Appropriation (Outflow):
Debt service:
Interest and fiscal charges 19,500 19,500 35,194 (15,694)
Transfers out 345,000 2,746,845 2,899,991 (153,146)
Total Charges to Appropriations 364,500 2,766,345 2,935,185 (168,840)
Budgetary Fund Balance, June 30 2,780,805$ 378,960$ 155,585$ (223,375)$
117
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
PARKS AND RECREATION
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (1,183,816)$ (1,183,816)$ (1,183,816)$ -$
Resources (Inflows):
Developer participation 89,200 89,200 136,318 47,118
Amounts Available for Appropriation (1,094,616) (1,094,616) (1,047,498) 47,118
Charges to Appropriation (Outflow):
Debt service:
Interest and fiscal charges 6,000 6,000 4,542 1,458
Total Charges to Appropriations 6,000 6,000 4,542 1,458
Budgetary Fund Balance, June 30 (1,100,616)$ (1,100,616)$ (1,052,040)$ 48,576$
118
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
LIBRARY DEVELOPMENT
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (1,860,330)$ (1,860,330)$ (1,860,330)$ -$
Resources (Inflows):
Developer participation 35,500 35,500 26,674 (8,826)
Amounts Available for Appropriation (1,824,830) (1,824,830) (1,833,656) (8,826)
Charges to Appropriation (Outflow):
Debt service:
Interest and fiscal charges 9,400 9,400 7,400 2,000
Total Charges to Appropriations 9,400 9,400 7,400 2,000
Budgetary Fund Balance, June 30 (1,834,230)$ (1,834,230)$ (1,841,056)$ (6,826)$
119
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
COMMUNITY CENTER
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 1,199,350$ 1,199,350$ 1,199,350$ -$
Resources (Inflows):
Use of money and property 6,000 6,000 6,151 151
Developer participation 7,400 7,400 8,276 876
Amounts Available for Appropriation 1,212,750 1,212,750 1,213,777 1,027
Budgetary Fund Balance, June 30 1,212,750$ 1,212,750$ 1,213,777$ 1,027$
120
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
STREET FACILITY
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (2,021,772)$ (2,021,772)$ (2,021,772)$ -$
Resources (Inflows):
Developer participation 17,800 17,800 16,957 (843)
Transfers in 2,200 2,200 3,668 1,468
Amounts Available for Appropriation (2,001,772) (2,001,772) (2,001,147) 625
Charges to Appropriation (Outflow):
Debt service:
Interest and fiscal charges 10,000 10,000 8,037 1,963
Total Charges to Appropriations 10,000 10,000 8,037 1,963
Budgetary Fund Balance, June 30 (2,011,772)$ (2,011,772)$ (2,009,184)$ 2,588$
121
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
PARK FACILITY
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 -$ -$ -$ -$
Resources (Inflows):
Use of money and property - - 3 3
Developer participation 2,200 2,200 3,665 1,465
Amounts Available for Appropriation 2,200 2,200 3,668 1,468
Charges to Appropriation (Outflow):
Transfers out 2,200 2,200 3,668 (1,468)
Total Charges to Appropriations 2,200 2,200 3,668 (1,468)
Budgetary Fund Balance, June 30 -$ -$ -$ -$
122
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
FIRE FACILITY
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 (913,642)$ (913,642)$ (913,642)$ -$
Resources (Inflows):
Developer participation 29,800 29,800 49,375 19,575
Amounts Available for Appropriation (883,842) (883,842) (864,267) 19,575
Charges to Appropriation (Outflow):
Debt service:
Interest and fiscal charges 4,700 4,700 3,585 1,115
Total Charges to Appropriations 4,700 4,700 3,585 1,115
Budgetary Fund Balance, June 30 (888,542)$ (888,542)$ (867,852)$ 20,690$
123
CITY OF LA QUINTA
BUDGETARY COMPARISON SCHEDULE
FINANCING AUTHORITY
YEAR ENDED JUNE 30, 2013
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 2,534$ 2,534$ 2,534$ -$
Resources (Inflows):
Charges for services 5,000 5,000 5,403 403
Use of money and property 673,130 673,130 673,130 -
Amounts Available for Appropriation 680,664 680,664 681,067 403
Charges to Appropriation (Outflow):
General government 5,000 5,000 5,703 (703)
Debt service:
Principal retirement 470,000 470,000 470,000 -
Interest and fiscal charges 203,130 203,130 203,130 -
Total Charges to Appropriations 678,130 678,130 678,833 (703)
Budgetary Fund Balance, June 30 2,534$ 2,534$ 2,234$ (300)$
124
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.
125
CITY OF LA QUINTA
COMBINING STATEMENT OF NET POSITION
INTERNAL SERVICE FUNDS
JUNE 30, 2013
Totals
Assets:
Current:
Cash and investments 2,437,759$ 1,321,859$ 1,159,814$ 4,919,432$
Receivables:
Accrued interest 2,182 1,170 1,015 4,367
Total Current Assets 2,439,941 1,323,029 1,160,829 4,923,799
Noncurrent:
Capital assets - net of accumulated depreciation 646,096 191,526 15,610,923 16,448,545
Total Noncurrent Assets 646,096 191,526 15,610,923 16,448,545
Total Assets 3,086,037$ 1,514,555$ 16,771,752$ 21,372,344$
Liabilities and Net Position:
Liabilities:
Current:
Accounts payable 13,471$ 44,535$ -$ 58,006$
Accrued liabilities - 4,462 - 4,462
Accrued compensated absences - 5,469 - 5,469
Total Current Liabilities 13,471 54,466 - 67,937
Noncurrent:
Accrued compensated absences - 2,857 - 2,857
Total Noncurrent Liabilities - 2,857 - 2,857
Total Liabilities 13,471 57,323 - 70,794
Net Position:
Net investment in capital assets 646,096 191,528 15,610,923 16,448,547
Unrestricted 2,426,470 1,265,704 1,160,829 4,853,003
Total Net Position 3,072,566 1,457,232 16,771,752 21,301,550
Total Liabilities and Net Position 3,086,037$ 1,514,555$ 16,771,752$ 21,372,344$
Governmental Activities - Internal Service Funds
Equipment
Replacement
Information
Technology
Park
Equipment and
Facilities
126
CITY OF LA QUINTA
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET POSITION
INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2013
Totals
Operating Revenues:
Sales and service charges 584,823$ 491,580$ 502,523$ 1,578,926$
Total Operating Revenues 584,823 491,580 502,523 1,578,926
Operating Expenses:
Administration and general - 112,025 - 112,025
Fuel and oil 83,618 - - 83,618
Maintenance and parts 103,764 - - 103,764
Contract services 17,476 50,246 - 67,722
Software and supplies - 143,651 - 143,651
Depreciation expense 139,766 84,525 549,715 774,006
Other - 14,727 - 14,727
Total Operating Expenses 344,624 405,174 549,715 1,299,513
Operating Income (Loss)240,199 86,406 (47,192) 279,413
Nonoperating Revenues (Expenses):
Interest revenue 11,722 6,180 5,054 22,956
Gain (loss) on disposal of capital assets 5,975 - - 5,975
Total Nonoperating
Revenues (Expenses)17,697 6,180 5,054 28,931
Income (Loss) Before Contributions 257,896 92,586 (42,138) 308,344
Contributions 24,605 - - 24,605
Changes in Net Position 282,501 92,586 (42,138) 332,949
Net Position:
Beginning of Year 2,790,065 1,364,646 16,813,890 20,968,601
End of Fiscal Year 3,072,566$ 1,457,232$ 16,771,752$ 21,301,550$
Governmental Activities - Internal Service Funds
Equipment
Replacement
Information
Technology
Park
Equipment
and Facilities
127
CITY OF LA QUINTA
COMBINING STATEMENT OF CASH FLOWS
INTERNAL SERVICE FUNDS
YEAR ENDED JUNE 30, 2013
Totals
Cash Flows from Operating Activities:
Cash received from customers and users 584,823$ 491,820$ 502,523$ 1,579,166$
Cash received from/(paid to) interfund service provided (202,651) (164,595) - (367,246)
Cash paid to suppliers for goods and services - (112,898) - (112,898)
Net Cash Provided (Used) by Operating Activities 382,172 214,327 502,523 1,099,022
Cash Flows from Capital
and Related Financing Activities:
Proceeds from sales of capital assets 5,975 - - 5,975
Net Cash Provided (Used) by
Capital and Related Financing Activities 5,975 - - 5,975
Cash Flows from Investing Activities:
Interest received 10,193 5,368 4,253 19,814
Net Cash Provided (Used) by
Investing Activities 10,193 5,368 4,253 19,814
Net Increase (Decrease) in Cash
and Cash Equivalents 398,340 219,695 506,776 1,124,811
Cash and Cash Equivalents at Beginning of Year 2,039,419 1,102,164 653,038 3,794,621
Cash and Cash Equivalents at End of Year 2,437,759$ 1,321,859$ 1,159,814$ 4,919,432$
Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:
Operating income (loss)240,199$ 86,406$ (47,192)$ 279,413$
Adjustments to reconcile operating income (loss)
net cash provided (used) by operating activities:
Depreciation 139,766 84,526 549,715 774,007
(Increase) decrease in prepaid expense - 240 - 240
Increase (decrease) in accounts payable 2,207 44,028 - 46,235
Increase (decrease) in accrued liabilities - 514 - 514
Increase (decrease) in compensated absences - (1,387) - (1,387)
Total Adjustments 141,973 127,921 549,715 819,609
Net Cash Provided (Used) by
Operating Activities 382,172$ 214,327$ 502,523$ 1,099,022$
Non-Cash Investing, Capital, and Financing Activities:
There were no non-cash transactions in the current year.
Governmental Activities - Internal Service Funds
Equipment
Replacement
Information
Technology
Park
Equipment
and Facilities
128
AGENCY FUNDS
Agency funds are used to account for assets held by the City as an agent for 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.
129
CITY OF LA QUINTA
COMBINING STATEMENT OF NET POSITION
ALL AGENCY FUNDS
JUNE 30, 2013
Totals
Assets:
Pooled cash and investments 143,592$ 445,489$ 589,081$
Receivables:
Taxes 987 10,626 11,613
Accrued interest 121 381 502
Total Assets 144,700$ 456,496$ 601,196$
Liabilities:
Deposits payable 144,700$ 456,496$ 601,196$
Total Liabilities 144,700$ 456,496$ 601,196$
Assessment
District No. 97-
1
Assessment
District No.
2001-1
130
CITY OF LA QUINTA
COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
ALL AGENCY FUNDS
YEAR ENDED JUNE 30, 2013
Balance Balance
7/1/2012 Additions Deductions 6/30/2013
Assessment District No. 97-1
Assets:
Pooled cash and investments 128,183$ 74,347$ 58,938$ 143,592$
Receivables:
Taxes - 987 - 987
Accrued interest 39 121 39 121
Total Assets 128,222$ 75,455$ 58,977$ 144,700$
Liabilities:
Deposits payable 128,222$ 78,314$ 61,836$ 144,700$
Total Liabilities 128,222$ 78,314$ 61,836$ 144,700$
Assessment District No. 2001-1
Assets:
Pooled cash and investments 422,049$ 202,803$ 179,363$ 445,489$
Receivables:
Taxes 9,041 10,626 9,041 10,626
Accrued interest 125 380 124 381
Total Assets 431,215$ 213,809$ 188,528$ 456,496$
Liabilities:
Deposits payable 431,215$ 226,629$ 201,348$ 456,496$
Total Liabilities 431,215$ 226,629$ 201,348$ 456,496$
Totals - All Agency Funds
Assets:
Pooled cash and investments 550,232$ 277,150$ 238,301$ 589,081$
Receivables:
Taxes 9,041 11,613 9,041 11,613
Accrued interest 164 501 163 502
Total Assets 559,437$ 289,264$ 247,505$ 601,196$
Liabilities:
Deposits payable 559,437$ 304,943$ 263,184$ 601,196$
Total Liabilities 559,437$ 304,943$ 263,184$ 601,196$
131
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132
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.134
Revenue Capacity
These schedules obtain information to help the reader assess the
government’s most significant local revenue source, the property tax. 147
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. 152
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. 159
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. 162
133
2004 2005 2006 2007 2008
Governmental activities:
Net investment in capital assets 249,059,500$ 233,361,129$ 253,559,117$ 300,220,033$ 343,019,328$
Restricted 44,415,966 43,421,857 65,159,623 49,277,895 86,041,189
Unrestricted 45,169,328 60,361,071 86,129,376 106,939,577 79,642,102
Total governmental activities Net Position 338,644,794$ 337,144,057$ 404,848,116$ 456,437,505$ 508,702,619$
Business-type activities:
Net investment in capital assets -$ 41,300,846$ 42,075,172$ 42,692,025$ 42,778,015$
Restricted - - - - -
Unrestricted - (626,658) (1,665,646) (2,385,462) (3,109,524)
Total business-type activities Net Position -$ 40,674,188$ 40,409,526$ 40,306,563$ 39,668,491$
Primary government:
Net investment in capital assets 249,059,500$ 274,661,975$ 295,634,289$ 342,912,058$ 385,797,343$
Restricted 44,415,966 43,421,857 65,159,623 49,277,895 86,041,189
Unrestricted 45,169,328 59,734,413 84,463,730 104,554,115 76,532,578
Total primary government Net Position 338,644,794$ 377,818,245$ 445,257,642$ 496,744,068$ 548,371,110$
Source: City of La Quinta
CITY OF LA QUINTA
Net Position by Component
Last Ten Fiscal Years
(accrual basis of accounting)
Fiscal Year
134
TABLE 1
2009 2010 2011 2012 2013
323,669,955$ 336,459,272$ 276,787,752$ 534,388,479$ 529,681,342$
105,297,168 96,332,870 107,042,126 26,585,382 49,598,397
96,654,981 77,187,433 97,009,428 29,832,811 83,399,745
525,622,104$ 509,979,575$ 480,839,306$ 590,806,672$ 662,679,484$
42,536,608$ 42,879,482$ 42,491,051$ 42,105,683$ 41,741,443$
- - - -
(3,937,454) (4,863,848) (4,918,951) (4,745,892) (4,750,604)
38,599,154$ 38,015,634$ 37,572,100$ 37,359,791$ 36,990,839$
366,206,563$ 379,338,754$ 319,278,803$ 576,494,162$ 571,422,785$
105,297,168 96,332,870 107,042,126 26,585,382 49,598,397
92,717,527 72,323,585 92,090,477 25,086,919 78,649,141
564,221,258$ 547,995,209$ 518,411,406$ 628,166,463$ 699,670,323$
Fiscal Year
135
2004 2005 2006 2007 2008
Expenses:
Governmental activities:
General government 4,319,778$ 3,595,906$ 4,229,871$ 6,284,342$ 6,953,073$
Public safety 10,256,463 8,512,875 9,065,244 12,724,100 13,472,036
Community services 1,446,999 1,157,141 1,426,033 4,299,453 5,797,116
Planning and development 7,526,977 5,752,239 5,906,915 7,736,520 35,323,858
Public works 6,003,013 9,101,582 10,006,335 10,511,874 11,097,526
Contribution to other agencies -----
Interest on long-term debt 9,658,779 15,265,051 15,494,656 15,163,422 15,522,441
Total governmental activities expenses 39,212,009 43,384,794 46,129,054 56,719,711 88,166,050
Business-type activities:
Golf Course -1,877,291 4,523,146 4,520,173 4,761,581
Total business-type activities expenses -1,877,291 4,523,146 4,520,173 4,761,581
Total primary government expenses 39,212,009 45,262,085 50,652,200 61,239,884 92,927,631
Program revenues:
Governmental activities:
Charges for services:
General government 337,376 445,663 717,849 60,530 8,328
Public safety 4,004,621 4,438,115 4,168,206 2,659,515 2,050,492
Planning and development 662,737 754,938 1,873,676 169,643 134,211
Community services 252,677 252,501 428,947 387,065 374,092
Public works 1,813,993 2,815,703 3,021,379 2,244,156 1,900,437
Operating grants and contributions 1,799,503 1,935,578 3,603,173 3,796,495 5,905,664
Capital grants and contributions 12,090,143 18,591,423 33,918,901 17,601,131 50,090,419
Total governmental activities
program revenues 20,961,050 29,233,921 47,732,131 26,918,535 60,463,643
Business-type activities:
Charges for services:
Golf Course -1,091,836 3,120,728 3,540,748 3,814,233
Capital grants and contributions ----352,687
Total business-type activities
program revenues -1,091,836 3,120,728 3,540,748 4,166,920
Total primary government
program revenues 20,961,050 30,325,757 50,852,859 30,459,283 64,630,563
Net revenues (expenses):
Governmental activities (18,250,959) (14,150,873)1,603,077 (29,801,176) (27,702,407)
Business-type activities -(785,455)(1,402,418)(979,425)(594,661)
Total net revenues (expenses)(18,250,959)(14,936,328)200,659 (30,780,601)(28,297,068)
General revenues and other changes in Net Position:
Governmental activities:
Taxes:
Property taxes 2,198,141 2,579,245 3,679,079 4,999,051 6,014,305
Tax increment 24,450,337 24,443,112 35,168,329 42,583,031 42,114,893
Sales tax 5,240,037 6,773,566 7,613,075 8,896,716 8,492,213
Transient occupancy taxes 4,261,767 4,831,338 5,437,238 5,448,361 5,327,203
Franchise taxes 895,810 1,185,087 1,044,470 1,259,985 1,748,082
Business license taxes 191,062 251,618 276,917 307,032 317,011
Other taxes 675,996 1,141,177 1,049,701 872,753 641,705
Investment income 1,738,505 4,336,050 6,319,502 11,854,951 10,230,489
Motor vehicle in lieu, unrestricted 1,608,151 2,453,642 2,740,233 3,291,055 3,803,647
Gain (loss) on sale of capital assets -3,717,470 1,967,292 -57,346
Miscellaneous 1,489,612 2,397,474 1,943,093 2,052,246 1,220,627
Extraordinary gain/loss on dissolution of RDA -----
Transfers -#(41,459,643)#(1,137,203)#(874,645)-
Total governmental activities 42,749,418 12,650,136 66,101,726 80,690,536 79,967,521
Business-type activities:
Investment income --553 1,817 4,310
Gain (loss) on sale of capital assets ----(47,721)
Transfers -#41,459,643 #1,137,203 #874,645 -
Total business-type activities -41,459,643 1,137,756 876,462 (43,411)
Total primary government 42,749,418 54,109,779 67,239,482 81,566,998 79,924,110
Changes in Net Position
Governmental activities 24,498,459 (1,500,737) 67,704,803 50,889,360 52,265,114
Business-type activities -40,674,188 (264,662)(102,963)(638,072)
Total primary government 24,498,459$ 39,173,451$ 67,440,141$ 50,786,397$ 51,627,042$
1 The transfer was for land & golf course improvements transferred to the Enterprise Fund.
Source: City of La Quinta
Fiscal Year
CITY OF LA QUINTA
Changes in Net Position
Last Ten Fiscal Years
(accrual basis of accounting)
136
TABLE 2
2009 2010 2011 2012 2013
7,836,146$ 34,287,068$ 11,283,358$ 6,183,712$ 4,511,023$
19,736,941 21,274,519 21,070,458 20,815,454 21,047,691
14,808,850 15,923,380 4,735,964 5,093,402 4,986,104
7,317,689 5,173,326 18,715,283 6,378,352 2,274,541
11,100,833 12,326,726 10,757,279 13,288,521 11,803,133
-- 31,324,064 --
15,631,438 15,330,603 14,353,359 3,021,496 447,048
76,431,897 104,315,622 112,239,765 54,780,937 45,069,540
4,440,546 4,169,768 4,202,274 4,085,282 4,208,855
4,440,546 4,169,768 4,202,274 4,085,282 4,208,855
80,872,443 108,485,390 116,442,039 58,866,219 49,278,395
25,053 21,439 47,696 86,869 38,812
1,373,952 1,100,491 1,044,399 1,020,822 927,604
138,391 69,391 74,471 68,470 112,695
275,178 250,557 210,151 247,397 245,392
1,308,702 1,124,647 1,086,771 1,080,744 1,209,438
10,725,280 15,363,650 13,152,942 11,289,673 28,068,940
10,647,270 5,974,311 3,157,828 9,990,793 4,115,238
24,493,826 23,904,486 18,774,258 23,784,768 34,718,119
3,368,135 3,584,996 3,756,615 3,871,898 3,736,879
-----
3,368,135 3,584,996 3,756,615 3,871,898 3,736,879
27,861,961 27,489,482 22,530,873 27,656,666 38,454,998
(51,938,071) (80,411,136) (93,465,507) (30,996,169) (10,351,421)
(1,072,411)(584,772)(445,659)(213,384)(471,976)
(53,010,482)(80,995,908)(93,911,166)(31,209,553)(10,823,397)
6,653,583 6,278,470 5,942,353 21,370,476 7,043,604
36,702,197 35,390,317 32,569,795 --
7,279,513 6,927,388 7,323,835 7,713,741 5,980,684
4,480,467 4,265,438 4,737,968 5,446,883 7,833,545
1,533,249 1,585,427 1,607,829 1,687,440 1,669,476
285,304 302,223 285,270 293,592 292,966
455,089 461,957 437,235 428,963 518,778
7,387,244 5,362,684 4,693,974 1,925,255 1,605,718
3,940,801 3,714,437 3,515,395 3,173,826 3,157,330
21,542 2,330 --28,551
118,567 477,936 3,211,584 268,644 192,509
--- 158,654,715 (2,189,984)
-----
68,857,556 64,768,607 64,325,238 200,963,535 26,133,177
3,074 1,252 2,125 1,075 2,225
----100,799
-----
3,074 1,252 2,125 1,075 103,024
68,860,630 64,769,859 64,327,363 200,964,610 26,236,201
16,919,485 (15,642,529) (29,140,269) 169,967,366 15,781,756
(1,069,337)(583,520)(443,534)(212,309)(368,952)
15,850,148$ (16,226,049)$ (29,583,803)$ 169,755,057$ 15,412,804$
137
Fiscal Year
2004 2005 2006 2007 2008
Expenses:
General government 4,319,778$ 3,595,906$ 4,229,871$ 6,284,342$ 6,953,073$
Public safety 10,256,463 8,512,875 9,065,244 12,724,100 13,472,036
Community services 1,446,999 1,157,141 1,426,033 4,299,453 5,797,116
Planning and development 7,526,977 5,752,239 5,906,915 7,736,520 35,323,858
Public works 6,003,013 9,101,582 10,006,335 10,511,874 11,097,526
Contribution to other agencies -----
Interest on long-term debt 9,658,779 15,265,051 15,494,656 15,163,422 15,522,441
Total governmental activities expenses 39,212,009 43,384,794 46,129,054 56,719,711 88,166,050
Program revenues:
Charges for services:
General government 337,376 445,663 717,849 60,530 8,328
Public safety 4,004,621 4,438,115 4,168,206 2,659,515 2,050,492
Community services 252,677 252,501 428,947 387,065 374,092
Planning and development 662,737 754,938 1,873,676 169,643 134,211
Public works 1,813,993 2,815,703 3,021,379 2,244,156 1,900,437
Operating grants and contributions 1,799,503 1,935,578 3,603,173 3,796,495 5,905,664
Capital grants and contributions 12,090,143 18,591,423 33,918,901 17,601,131 50,090,419
Total governmental activities
program revenues 20,961,050 29,233,921 47,732,131 26,918,535 60,463,643
Net program revenues (expenses)(18,250,959) (14,150,873) 1,603,077 (29,801,176) (27,702,407)
General revenues and other changes in net position:
Taxes:
Property taxes 2,198,141 2,579,245 3,679,079 4,999,051 6,014,305
Tax increment 24,450,337 24,443,112 35,168,329 42,583,031 42,114,893
Sales tax 5,240,037 6,773,566 7,613,075 8,896,716 8,492,213
Transient occupancy taxes 4,261,767 4,831,338 5,437,238 5,448,361 5,327,203
Franchise tax 895,810 1,185,087 1,044,470 1,259,985 1,748,082
Business license taxes 191,062 251,618 276,917 307,032 317,011
Other tax 675,996 1,141,177 1,049,701 872,753 641,705
Motor vehicle in lieu, unrestricted 1,608,151 2,453,642 2,740,233 3,291,055 3,803,647
Investment income 1,738,505 4,336,050 6,319,502 11,854,951 10,230,489
Gain (loss) on sale of capital assets - 3,717,470 1,967,292 -57,346
Miscellaneous 1,489,612 2,397,474 1,943,093 2,052,246 1,220,627
Extraordinary gain/loss on dissolution of RDA -----
Transfers -(41,459,643)(1,137,203)(874,645)-
Total governmental activities 42,749,418 12,650,136 66,101,726 80,690,536 79,967,521
Changes in net position -
governmental activities 24,498,459$ (1,500,737)$ 67,704,803$ 50,889,360$ 52,265,114$
Source: City of La Quinta
CITY OF LA QUINTA
Changes in Net Position - Governmental Activities
Last Ten Fiscal Years
(accrual basis of accounting)
138
Table 3
2009 2010 2011 2012 2013
7,836,146$ 34,287,068$ 11,283,358$ 6,183,712$ 4,511,023$
19,736,941 21,274,519 21,070,458 20,815,454 21,047,691
14,808,850 15,923,380 4,735,964 5,093,402 4,986,104
7,317,689 5,173,326 18,715,283 6,378,352 2,274,541
11,100,833 12,326,726 10,757,279 13,288,521 11,803,133
-- 31,324,064 --
15,631,438 15,330,603 14,353,359 3,021,496 447,048
76,431,897 104,315,622 112,239,765 54,780,937 45,069,540
25,053 21,439 47,696 86,869 38,812
1,373,952 1,100,491 1,044,399 1,020,822 927,604
275,178 250,557 210,151 247,397 245,392
138,391 69,391 74,471 68,470 112,695
1,308,702 1,124,647 1,086,771 1,080,744 1,209,438
10,725,280 15,363,650 13,152,942 11,289,673 28,068,940
10,647,270 5,974,311 3,157,828 9,990,793 4,115,238
24,493,826 23,904,486 18,774,258 23,784,768 34,718,119
(51,938,071) (80,411,136) (93,465,507) (30,996,169) (10,351,421)
6,653,583 6,278,470 5,942,353 21,370,476 7,043,604
36,702,197 35,390,317 32,569,795 --
7,279,513 6,927,388 7,323,835 7,713,741 5,980,684
4,480,467 4,265,438 4,737,968 5,446,883 7,833,545
1,533,249 1,585,427 1,607,829 1,687,440 1,669,476
285,304 302,223 285,270 293,592 292,966
455,089 461,957 437,235 428,963 518,778
3,940,801 3,714,437 3,515,395 3,173,826 3,157,330
7,387,244 5,362,684 4,693,974 1,925,255 1,605,718
21,542 2,330 --28,551
118,567 477,936 3,211,584 268,644 192,509
--- 158,654,715 (2,189,984)
-----
68,857,556 64,768,607 64,325,238 200,963,535 26,133,177
16,919,485$ (15,642,529)$(29,140,269)$ 169,967,366$15,781,756$
139
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140
TABLE 4
2005 2006 2007 2008 2009 2010 2011 2012 2013
Expenses:
Golf Course 1,877,291 2 4,523,146 4,520,173 4,761,581 4,440,546 4,169,768 4,202,274 4,085,282 4,208,855
Total business-type activities expenses 1,877,291 4,523,146 4,520,173 4,761,581 4,440,546 4,169,768 4,202,274 4,085,282 4,208,855
Program revenues:
Charges for services:
Golf Course 1,091,836 2 3,120,728 3,540,748 3,814,233 3,368,135 3,584,996 3,756,615 3,871,898 3,736,879
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 3,584,996 3,756,615 3,871,898 3,736,879
Net revenues (expenses)(785,455) (1,402,418) (979,425) (594,661) (1,072,411) (584,772) (445,659) (213,384) (471,976)
General revenues and other changes in Net Position:
Investment income - 553 1,817 4,310 3,074 1,252 2,125 1,075 2,225
Investment expense - - - - - - - - -
Gain (loss) on sale of capital assets - - - - (47,721) - - - - -
Insurance Recoveries - - - - - - - - 100,799
Transfers - 164,190 874,645 - - - - - -
Capital contributions 41,459,643 1 973,013 979,425 - - - - - -
Total business-type activities 41,459,643 1,137,756 1,855,887 (43,411) 3,074 1,252 2,125 1,075 103,024
40,674,188 (264,662) 876,462 (638,072) (1,069,337) (583,520) (443,534) (212,309) (368,952)
1
2 This was the first full year of operations for the Golf Course
Source: City of La Quinta
(accrual basis of accounting)
The transfer was for land & golf course improvements transferred
to the Enterprise Fund.
Changes in Net Position - business-type activities
Fiscal Year
CITY OF LA QUINTA
Changes in Net Position - Business-type Activities
Last Nine Fiscal Years
The City of La Quinta implemented the business type activities in FY
2004/2005.
141
2004 2005 2006 2007 2008
General fund:
Nonspendable:
Prepaid costs 292,816$ 507,931$ 503,642$ 11,774$ 10,601$
Land held for resale - - - - -
Notes and loans - - - - -
Advances to other funds 28,671,083 31,904,659 22,700,961 27,597,329 45,264,966
Deposits 246,858 5,903 4,825
Due from Other Governments
Restricted for:
Debt service - - - - -
Committed:
Emergency reserve 11,915,000 15,067,577 16,905,386 18,722,524 19,651,824
Post retirement health benefits - - - - -
Capital Projects - 589,875 10,877,058 482,718 2,100,000
Educational purposes - 1,000,000 750,000 500,000 250,000
Library - 11,981 - - -
Economic development - 467,072 4,967,072 2,327,430 1,911,131
Assigned:
Continuing appropriations 1,069,667 1,319,787 2,257,200 2,835,297
Unassigned:13,579,479 13,308,205 18,239,315 32,741,545 20,423,375
Total general fund 54,705,236$ 63,926,967$ 76,269,124$ 84,640,520$ 92,452,019$
All other governmental funds:
Nonspendable:
Prepaid costs -$ -$ 7,987$ 7,977$ 5,353$
Land held for resale - - - - -
Notes and loans 2,123,425 2,117,873 2,112,597 2,081,645 2,076,063
Advances to other funds 5,336,158 7,061,027 5,365,097 4,823,543 4,402,213
Deposits - 1,110 - - -
Restricted:
Planning and development projects 7,518,862 16,144,465 26,172,191 15,297,481 21,906,749
Public safety 8,413 154,115 143,846 153,818 198,843
Community services 1,359,723 2,889,245 9,696,885 12,214,375 11,406,628
Public works 409,534 256,881 462,171 104,878 309,566
Capital Projects 124,658,452 1 99,186,105 92,112,917 66,225,066 69,626,275
Debt service 4,093,123 4,605,101 10,288,494 24,309,220 5,094,635
Assigned:
Continuing appropriations - - - - -
Unassigned:(20,244,236) (18,801,305) (7,133,230) (7,854,868) (19,653,179)
Total all other governmental funds 125,263,454$ 113,614,617$ 139,228,955$ 117,363,135$ 95,373,146$
The increase was primarily the result of the issuance of the 2004 Financing Authority bonds.
The increase was primarily the result of the issuance of the 2011 Financing Authority bonds.
Source: City of La Quinta
CITY OF LA QUINTA
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
In Fiscal Year 2009-2010, the City implemented
GASB 54 which changed the reporting
requirements for fund balances in the financial
statements. This table has been updated to
reflect the impact of GASB 54 not only for Fiscal
Year 2009-10 but for all prior years.
Fiscal Year
142
TABLE 5
2009 2010 2011 2012 2013
12,424$ 9,030$ 23,260$ 27,481$ 11,786$
- - 8,320,000 8,320,000 8,320,000
- - - - -
46,137,692 57,897,671 15,373,104 15,417,929 15,509,691
9,830 9,830 9,967 118,516 4,830
41,378,966
- - 169,631 173,426 -
18,201,948 17,774,648 18,018,595 17,516,295 16,034,995
- 1,258,059 1,258,059 1,523,401 1,523,401
2,144,085 - - - 2,848,737
- - - - -
- - - - -
- - - - -
3,485,747 1,555,176 1,768,494 1,657,694 1,013,533
22,335,655 13,525,704 48,140,444 47,121,339 5,926,651
92,327,381$ 92,030,118$ 93,081,554$ 91,876,081$ 92,572,590$
19,197$ 7,740$ 10,563$ -$ -$
- - - - -
2,067,028 2,088,709 2,081,614 2,092,086 2,086,499
4,321,119 4,293,166 4,569,188 - -
4,540 6,400 6,000 - -
25,807,752 31,032,124 34,018,930 10,767,199 3,730,533
245,468 48,852 96,364 245,187 258,968
11,387,631 11,675,417 10,248,314 11,162,057 11,626,441
7,539,181 448,731 396,355 145,823 262,754
50,556,856 53,123,856 58,111,106 3 4,089,156 1,392,581
5,490,098 3,890 4,001,426 2,534 2,234
2,000 - - - -
(19,339,823) (33,626,907) (13,250,398) (13,248,593) (13,179,196)
88,101,047$ 69,101,978$ 100,289,462$ 15,255,449$ 6,180,814$
CITY OF LA QUINTA
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
143
2004 2005 2006 2007 2008
Revenues:
Taxes 58,301,082$ 68,175,347$ 89,704,947$ 100,103,324$ 105,870,933$
Assessments 816,045 825,292 818,526 877,191 909,229
Licenses and permits 3,096,145 3,226,167 5,145,430 2,788,882 2,107,035
Intergovernmental 11,858,627 10,242,876 18,585,468 14,803,971 15,382,135
Charges for services 2,619,578 3,402,602 3,367,989 1,821,794 1,334,060
Use of money and property 4,854,728 9,798,356 12,671,662 14,804,348 12,874,926
Contributions - - - - 37,643,190
Developer participation 5,718,073 6,091,156 12,473,440 5,310,440 6,537,991
Miscellaneous 1,359,539 528,903 637,054 412,353 629,471
Total revenues 88,623,817 102,290,699 143,404,516 140,922,303 183,288,970
Expenditures
Current:
General government 4,099,376 3,970,921 4,644,954 6,150,699 7,367,144
Public safety 9,672,708 12,364,583 13,029,187 15,685,493 17,181,775
Planning and development 7,480,421 5,719,373 5,847,563 28,994,177 15,374,160
Community services 1,025,397 1,104,509 1,248,308 4,027,302 5,336,757
Public works 4,536,589 6,206,769 6,987,014 6,755,507 6,563,494
Capital projects 43,331,919 40,012,387 25,445,550 36,420,417 82,883,317
Debt service:
Principal retirement 3,610,538 3,793,660 4,777,748 5,647,940 5,949,311
Interest and fiscal charges 13,961,721 14,355,577 15,554,612 15,059,977 15,424,708
Payment to bond escrow 1,591,107 - - - -
Payments under pass-through obligations 21,448,147 25,756,321 35,958,291 36,498,575 42,989,023
Total expenditures 110,757,923 113,284,100 113,493,227 155,240,087 199,069,689
Excess (deficiency) of
revenues over (under)
expenditures (22,134,106) (10,993,401) 29,911,289 (14,317,784) (15,780,719)
Other financing sources (uses):
Issuance of tax allocation bonds 26,400,000 - - - -
Issuance of revenue bonds 90,000,000 - - - -
Payment to bond escrow (19,955,000) - - - -
Transfers in 154,613,662 49,248,081 35,828,335 60,954,576 88,604,682
Transfers out (154,613,662) (49,248,081) (35,992,525) (60,954,576) (87,342,608)
Other debts issued - - - - -
Capital leases - - - - 182,094
Proceeds from sale of capital assets - 8,566,295 8,209,396 124,097 158,061
Total other financing
sources (uses)96,445,000 8,566,295 8,045,206 124,097 1,602,229
Extraordinary gain/loss on dissolution
of redevelopment agency - - - - -
Net change in fund balances 74,310,894$ (2,427,106)$ 37,956,495$ (14,193,687)$ (14,178,490)$
Debt service as a percentage of
noncapital expenditures(a)57.9% 62.0% 65.5% 61.0% 47.1%
(a) The capitalizable expenditure was derived from the Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund
Source: City of La Quinta
Fiscal Year
Last Ten Fiscal Years
(modified accrual basis of accounting)
CITY OF LA QUINTA
Changes in Fund Balances of Governmental Funds
144
TABLE 6
2009 2010 2011 2012 2013
99,816,072$ 93,831,918$ 88,498,457$ 53,632,023$ 23,506,679$
927,816 966,639 956,048 950,292 954,058
871,167 472,409 547,071 482,831 566,510
18,679,355 19,473,076 19,005,643 15,875,582 15,464,942
673,779 484,043 501,418 635,111 625,813
7,043,646 5,338,679 4,670,732 1,914,518 1,582,762
240,591 395,823 327,751 303,773 18,377,253
2,243,785 273,739 945,805 903,144 1,226,825
720,185 608,342 319,763 276,327 491,267
131,216,396 121,844,668 115,772,688 74,973,601 62,796,109
7,230,436 30,220,882 10,885,519 4,881,922 4,587,888
18,946,866 20,116,936 19,826,372 19,669,517 20,168,038
7,261,835 6,028,492 8,460,420 4,314,646 27,514,768
4,698,985 4,204,626 4,147,758 4,086,686 4,411,536
6,324,055 6,862,887 4,808,060 6,192,733 5,067,370
32,363,859 14,514,910 21,287,775 13,335,989 8,622,783
6,319,580 6,616,412 7,011,261 7,066,726 556,871
15,348,598 15,357,968 15,037,919 6,701,079 437,678
- - - - -
42,426,670 38,710,894 35,607,089 16,755,441 -
140,920,884 142,634,007 127,072,173 83,004,739 71,366,932
(9,704,488) (20,789,339) (11,299,485) (8,031,138) (8,570,823)
- - 6,000,000 - -
- - 28,850,000 - -
- - - - -
40,502,929 30,386,372 61,657,034 12,554,752 29,841,053
(40,527,930) (28,893,365) (61,652,479) (12,580,120) (29,841,053)
2,332,752 - - - -
- - - - 71,045
- - 8,683,850 875,275 121,652
2,307,751 1,493,007 43,538,405 849,907 192,697
- - - (79,058,255) -
(7,396,737)$ (19,296,332)$ 32,238,920$ (86,239,486)$ (8,378,126)$
59.0% 47.6% 53.0%43.8%1.6%
d Balances of Governmental Funds.
145
THIS PAGE INTENTIONALLY LEFT BLANK
146
TABLE 7
Fiscal Year Taxable
Ended Less:Assessed Direct
June 30 Secured Unsecured Exemptions Value Rate
2004 5,412,382,710$ 40,940,877$ (95,420,075)$ 5,357,903,512$ 0.8300
2005 6,289,493,552 44,014,548 (113,037,003) 6,220,471,097 0.8091
2006 7,856,383,375 72,554,357 (115,071,146) 7,813,866,586 0.9992
2007 9,986,151,525 88,740,840 (99,245,721) 9,975,646,644 0.9992
2008 11,854,669,637 101,433,002 (89,688,505) 11,866,414,134 0.9992
2009 12,410,626,893 113,185,065 (107,777,195) 12,416,034,763 1.0000
2010 11,742,665,902 121,272,880 (110,752,890) 11,753,185,892 1.0000
2011 10,913,083,169 118,972,704 (161,265,140) 10,870,790,733 1.0000
2012 10,400,897,792 107,421,771 (176,887,605) 10,331,431,958 1.0000
2013 10,345,371,473 108,971,608 (179,344,969) 10,274,998,112 1.0000
Source: HDL Coren
CITY OF LA QUINTA
Entire City (including Redevelopment Agency)
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.
147
2006 1 2007 1 2008 1 2009 1 2010 1 2011 1 2012 1 2013 1 2006 3 2007 3 2008 4 2009 4 2010 4 2011 4 2012 4
Direct Rates:
City of La Quinta 0.0760 0.0760 0.0760 0.0506 0.0506 0.0734 0.0760 0.0760 0.0000 0.0000 0.0000 0.0152 0.0036 0.0049 0.0524
Redevelopment agency Project Area 1 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.5830 0.5880 0.5150 0.5245 0.5432 0.5310 0.0000
Redevelopment agency Project Area 2 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000
County of Riverside 0.1960 0.1960 0.1960 0.2586 0.2586 0.2318 0.1957 0.1958 0.2639 0.2619 0.2619 0.2325 0.2501 0.2471 0.2683
County Free Library 0.0250 0.0250 0.0250 0.0284 0.0284 0.0280 0.0252 0.0253 0.0276 0.0276 0.0276 0.0277 0.0276 0.0282 0.0294
County Structure Fire Protection 0.0540 0.0540 0.0540 0.0610 0.0610 0.0602 0.0544 0.0544 0.0595 0.0595 0.0595 0.0595 0.0595 0.0607 0.0633
Coachella Valley (CV) Unified School 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.4322 0.4322 0.0170 0.0150 0.0020 0.0149 0.0167 0.0182 0.0000
Desert Sands Unified School 0.4320 0.4320 0.4320 0.3765 0.3765 0.3716 0.0000 0.0000 0.0160 0.0140 0.0140 0.0695 0.0568 0.0637 0.3905
Desert Community College 0.0700 0.0700 0.0700 0.0782 0.0782 0.0772 0.0698 0.0698 0.0030 0.0030 0.0720 0.0177 0.0152 0.0166 0.0812
Riverside County Office of Education 0.0380 0.0380 0.0380 0.0426 0.0426 0.0420 0.0380 0.0380 0.0030 0.0030 0.0180 0.0093 0.0027 0.0038 0.0442
Riverside County Regional Park & Open Space 0.0040 0.0040 0.0040 0.0000 0.0000 0.0000 0.0040 0.0039 0.0000 0.0000 0.0030 0.0000 0.0000 0.0000 0.0000
CV Public Cemetery 0.0032 0.0032 0.0032 0.0035 0.0035 0.0035 0.0032 0.0031 0.0000 0.0000 0.0000 0.0008 0.0002 0.0003 0.0037
CV Mosquito 0.0127 0.0127 0.0127 0.0142 0.0142 0.0141 0.0127 0.0127 0.0120 0.0120 0.0120 0.0112 0.0111 0.0112 0.0148
Desert Recreation District 0.0192 0.0192 0.0192 0.0215 0.0215 0.0213 0.0192 0.0192 0.0010 0.0020 0.0010 0.0044 0.0014 0.0019 0.0223
CV Water District 0.0250 0.0250 0.0250 0.0284 0.0284 0.0281 0.0254 0.0254 0.0130 0.0130 0.0010 0.0127 0.0120 0.0124 0.0295
CV Resource Conservation 0.0003 0.0003 0.0003 0.0004 0.0004 0.0004 0.0003 0.0003 0.0000 0.0000 0.0130 0.0001 0.0000 0.0000 0.0004
CVWD District 1 Debt Service 0.0118 0.0118 0.0118 0.0000 0.0000 0.0131 0.0118 0.0118 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000
CVWD Storm Water Unit 0.0320 0.0320 0.0320 0.0360 0.0360 0.0355 0.0321 0.0321 0.0010 0.0010 0.0000 0.0000 0.0000 0.0000 0.0000
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 1.0000 1.0000 1.0000
Tax Rate Area 020-005 020-005 020-005 020-005 020-005 020-005 020-005 020-005 020-015 020-015 020-089 020-089 020-089 020-089 020-089
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 0.0811 0.1004 0.0757 0.0767 0.0761 0.0756 0.0799 0.0811 0.1004 0.0757
Coachella Valley Unified School District
Coachella Valley Water District 0.0442 0.0332 0.0462 0.0464 0.0660 0.0860 0.0862 0.0199 0.0208 0.0484 0.0464 0.0660 0.0860 0.0862
Coachella Valley Recreation & Park District
Desert Comm College District 0.0199 0.0199 0.0199 0.0199 0.0200 0.0200 0.0079 0.0208 0.0199 0.0199 0.0199 0.0200 0.0200 0.0079
Total Overlapping Rate 0.1409 0.1293 0.1461 0.1462 0.1671 0.2063 0.1698 0.1175 0.1169 0.1440 0.1462 0.1671 0.2063 0.1698
Total Direct and Overlapping Rate 1.1401 1.1285 1.1453 1.1462 1.1671 1.2063 1.1697 1.1175 1.1169 1.1440 1.1463 1.1671 1.2063 1.1698
Source: County of Riverside Auditor Controller's Office
1
2
3
4
5 Overlapping rates are based upon a single tax rate area only.
Note: The information was first presented in Fiscal Year 2006.
Project Area 1
Redevelopment
CITY OF LA QUINTA
Direct and Overlapping Property Tax Rates
(Rate per $100 of assessed value)
Last Eight Fiscal Years
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
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 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 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
NOTE:
In 1978, California voters passed Proposition 13 which sets the property tax rate at a 1.00% fixed amount for direct
taxes. This 1% is shared by all taxing agencies for which the subject property resides within.
148
TABLE 8
2006 3 2007 3 2008 4 2009 4 2010 4 2011 4 2012 4
0.0000 0.0000 0.0000 0.0000 0.0000 0.0019 0.0499
0.0000 0.0000 0.0000 0.0000 0.0000 0.0000
0.2860 0.2920 0.2910 0.3193 0.3174 0.3059 0.0000
0.2617 0.2617 0.2617 0.2516 0.2537 0.2511 0.2553
0.0280 0.0280 0.0280 0.0280 0.0280 0.0286 0.0280
0.0603 0.0603 0.0603 0.0603 0.0603 0.0616 0.0602
0.0000 0.0000 0.0020 0.0000 0.0000 0.0000 0.0000
0.2000 0.1980 0.1970 0.1860 0.1859 0.1930 0.3716
0.0420 0.0410 0.0410 0.0386 0.0386 0.0401 0.0772
0.0230 0.0220 0.0220 0.0210 0.0210 0.0218 0.0420
0.0000 0.0000 0.0000 0.0000 0.0000 0.0000
0.0000 0.0000 0.0000 0.0000 0.0000 0.0001 0.0035
0.0150 0.0140 0.0140 0.0141 0.0141 0.0141 0.0140
0.0060 0.0060 0.0060 0.0053 0.0053 0.0059 0.0212
0.0770 0.0760 0.0760 0.0757 0.0757 0.0740 0.0281
0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0004
0.0000 0.0000 0.0000 0.0000 0.0000 0.0005 0.0131
0.0010 0.0010 0.0010 0.0000 0.0000 0.0014 0.0355
1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000
020-144 020-144 020-144 020-144 020-144 020-144 020-144
0.0767 0.0761 0.0756 0.0799 0.0811 0.1004 0.0757
0.0442 0.0332 0.0484 0.0464 0.0660 0.0860 0.0862
0.0199 0.0199 0.0199 0.0199 0.0200 0.0200 0.0079
0.1409 0.1293 0.1440 0.1462 0.1671 0.2063 0.1698
1.1409 1.1293 1.1440 1.1462 1.1671 1.2063 1.1698
Project Area 2
Redevelopment
149
TABLE 9
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 151,877,857$ 1 1.40%230,492,822$ 1 4.85%
TD Desert Development 100,155,108 2 0.92%43,414,117 2 0.51%
MSR Resort Golf Course 61,124,895 3 0.56%
East of Madison LLC 45,365,091 4 0.42%-
Inland American La Quinta Pavilion 43,399,514 5 0.40%-
Coral Option I LLC 42,836,010 6 0.39%35,192,155 4 0.51%
IOTA Griffin LLC 35,412,485 7 0.00%-
WRM La Quinta 30,170,000 8 0.28%
Walmart Stores 28,668,169 9 0.26%
Village Resort 24,486,681 10 0.23%
ND La Quinta Partners - 39,494,958 3 0.44%
Toll California V 34,068,168 5 0.72%
Quarry at La Quinta Inc 28,630,587 6 0.33%
Aventine Development --20,675,000 7 0.33%
Prestwick Development --16,915,476 8 0.32%
M and H Realty Partners II --15,053,730 9 0.31%
Merv Griffin 13,545,073 10 0.31%
563,495,810$ 4.86%477,482,086$ 8.63%
Source: HdL Coren & Cone
CITY OF LA QUINTA
2013 2004
Current Year and Ten Years Ago
Principal Property Taxpayers
(in dollars)
150
TABLE 10
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%
2010 78,621,410 80,651,874 102.58% 434,643 81,086,517 103.14%
2011 72,735,079 74,047,640 101.80% 259,209 74,306,849 102.16%
2012 73,462,430 38,125,919 51.90% - 38,125,919 51.90%
2013 5,753,420 6,925,637 120.37%- 6,925,637 120.37%
Note: The information was first presented in Fiscal Year 2006.
Source: County of Riverside Auditor Controller's Office
CITY OF LA QUINTA
Collected within the
Fiscal Year of Levy Total Collections to Date
Property Tax Levies and Collections
Last Eight Fiscal Years
( in dollars)
NOTE:
The amounts presented include City property taxes and Redevelopment Agency tax increment. This schedule also
includes amounts collected by the City and Redevelopment Agency that were passed-through to other agencies.
Effective February 1, 2012, AB1x26 dissolved the Redevelopment Agencies throughout the State of California
which resulted in the reduction of amounts collected during Fiscal Year 2011-2012 and Fiscal Year 2012-2013.
151
2004 2005 2006 2007 2008
Governmental Activities
Reimbursement Agreement 428,311$ 378,311$ 328,311$ 278,311$ 228,311$
Capital lease - - - - -
USDA Loan - - - - -
Provident Savings Loan - - - - -
Due to Coachella Valley Unified School District 6,653,377 5,927,263 5,186,627 4,431,178 3,675,731
Due to County of Riverside 2,050,000 1,950,000 1,850,000 1,750,000 1,600,000
Developer Agreement 1,010,688 898,141 776,030 643,539 511,048
Tax Allocation Bonds Project Area 1 142,507,628 140,263,659 141,785,000 139,145,000 136,350,000
Tax Allocation Bonds Project Area 2 6,325,000 6,230,000 6,130,000 6,025,000 5,915,000
2004 Local Agency Revenue Bonds 1 87,924,343 87,947,058 89,265,000 87,745,000 86,175,000
2011 Local Agency Revenue Bonds 1 - - -
City Hall Lease Revenue Bonds 6,890,000 6,575,000 6,245,000 5,900,000 5,540,000
Unamortized Discount and Issuance Costs (877,230) (877,230) (841,087)
Total Governmental 253,789,347 250,169,432 250,688,738 245,040,798 239,154,003
Business-type Activities
Capital Leases - 801,417 1,090,602 825,848 681,048
Total Business-type activities - 801,417 1,090,602 825,848 681,048
Total Primary Government 253,789,347$ 250,970,849$ 251,779,340$ 245,866,646$ 239,835,051$
Population - State Department of Finance January 1 32,522 36,145 38,340 41,092 42,958
Number of Households 15,942 17,549 18,762 20,176 21,058
Median Household Income (2) (2)$ 65,906$ 67,754$ 74,683$
Percentage of Personal Income (2) -200.00%20.36%17.99%15.25%
Debt Per Capita 7,804$ 6,943$ 6,567$ 5,983$ 5,583$
'Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
1 The debt service payment for the 2004 Lease Revenue Bonds are made from Redevelopment Project Area 1 & 2 low & moderate
income tax increment.
2 Information not collected prior to Fiscal Year 2006
Fiscal Year Ended
(in dollars)
CITY OF LA QUINTA
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
152
TABLE 11
2009 2010 2011 2012 2013
178,311$ 128,311$ -$ -$ -$
149,169 114,583 78,253 40,090 71,045
751,754 741,171 729,480 - 702,105
1,556,283 1,530,958 1,503,433 - 1,441,096
2,874,653 2,072,965 1,255,243 - -
1,400,000 1,200,000 1,000,000 - -
343,814 174,584 - - -
133,390,000 130,255,000 126,925,000 - -
5,800,000 5,680,000 11,555,000 - -
84,560,000 82,890,000 81,150,000 - -
- - 28,850,000 - -
5,160,000 4,760,000 4,340,000 3,895,000 3,425,000
(804,944) (768,801) (1,115,799) - -
235,359,040 228,778,771 256,270,610 3,935,090 5,639,246
285,217 54,543 286,097 169,084 43,736
285,217 54,543 286,097 169,084 43,736
235,644,257$ 228,833,314$ 256,556,707$ 4,104,174$ 5,682,982$
43,778 44,421 37,836 38,075 38,401
21,355 23,489 23,528 23,528 23,612
76,227$ 90,124$ 104,410$ 104,045$ 77,790$
14.48%10.81%10.44%0.17%0.31%
5,383$ 5,151$ 6,781$ 108$ 148$
153
TABLE 12
Fiscal Year City Hall Local Agency Tax Percent of Per
Ended Lease Revenue Allocation Assessed Median
June 30 Obligation Bonds 1 Bonds Total Value 1 Household Income
2004 6,890,000$ 87,924,343$ 148,832,628$ 243,646,971$ 4.55%2
2005 6,575,000 87,947,058 146,493,659 241,015,717 3.87%2
2006 6,245,000 89,265,000 147,915,000 243,425,000 3.12% 3,694
2007 5,900,000 87,745,000 145,170,000 238,815,000 2.39% 3,525
2008 5,540,000 86,175,000 142,265,000 233,980,000 1.97% 3,133
2009 5,160,000 84,560,000 139,190,000 228,910,000 1.84% 3,003
2010 4,760,000 82,890,000 135,935,000 223,585,000 1.90% 2,481
2011 4,340,000 110,000,000 138,480,000 252,820,000 2.33% 2,421
2012 3,895,000 - - 3,895,000 0.04%37
2013 3,425,000 - - 3,425,000 0.03%44
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.
2 Information not collected prior to Fiscal Year 2006
Source: City of La Quinta
Outstanding General Bonded Debt
CITY OF LA QUINTA
Ratio of General Bonded Debt Outstanding
Last Ten Fiscal Years
(In Dollars)
154
TABLE 13
City Assessed Valuation 10,274,998,112$
Total Assessed Valuation 10,274,998,112$
Source: Riverside County Auditor Controller
Estimated
Share of
Percentage Outstanding Overlapping
Applicable 1 Debt 6/30/13 Debt
Overlapping Debt Repaid with Property Taxes And Assessments:
Desert Community College District 16.779% 318,557,917$ 53,450,833$
Coachella Valley Unified School District 52.969% 183,662,102 97,283,979
Desert Sands Unified School District (DSUSD) 20.018% 299,439,872 59,941,874
DSUSD Community Facilities District No. 1 88.912% 1,455,000 1,293,670
City of La Quinta 1915 Act Bonds 100.000% 565,000 565,000
Coachella Valley Water District Assessment District No. 68 86.247% 2,260,000 2,011,071
Total overlapping debt repaid with property taxes 805,939,891 214,546,427
Overlapping Other Debt including Certifications of Participation (COP)
Riverside County General Fund Obligations 5.122% 640,243,149$ 32,793,254$
Riverside County Pension Obligations 5.122% 346,790,000 17,762,584
Riverside County Board of Education COP 5.122% 3,900,000 199,758
Coachella Valley Unified School District COP 52.969% 46,205,000 24,474,326
DSUSD COP 20.018% 51,790,000 10,367,322
Coachella Valley Recreation and Park District COP 26.240% 2,215,000 581,216
Total overlapping other debt 1,091,143,149 86,178,460
Total overlapping debt 1,897,083,040 300,724,887
City direct debt 5,682,982
Total direct and overlapping debt 1 306,407,869$
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
Direct and Overlapping Debt
June 30, 2013
CITY OF LA QUINTA
155
2004 2005 2006 2007 2008
Assessed valuation 5,357,903,512$ 6,220,471,097$ 7,813,866,586$ 9,975,646,644$ 11,866,414,134$
Debt limit percentage 15%15%15%15%15%
Debt limit 803,685,527 933,070,665 1,172,079,988 1,496,346,997 1,779,962,120
Total net debt applicable to limit:
General obligation bonds - - - - -
Legal debt margin 803,685,527$ 933,070,665$ 1,172,079,988$ 1,496,346,997$ 1,779,962,120$
Total debt applicable to the limit
as a percentage of debt limit 0.0%0.0%0.0%0.0%0.0%
The City of La Quinta has no general bonded indebtedness.
Fiscal Year
CITY OF LA QUINTA
Legal Debt Margin Information
Source: City of La Quinta Finance Department based
upon the Assessed valuation received from the County of
Riverside Auditor Controllers Office
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.
Last Ten Fiscal Years
156
TABLE 14
2009 2010 2011 2012 2013
12,416,034,763$ 11,753,185,892$ 10,870,790,733$ 10,331,431,958$ 10,274,998,112$
15%15%15%15%15%
1,862,405,214 1,762,977,884 1,630,618,610 1,549,714,794 1,541,249,717
- - - - -
1,862,405,214$ 1,762,977,884$ 1,630,618,610$ 1,549,714,794$ 1,541,249,717$
0.0%0.0%0.0%0.0%0.0%
157
TABLE 15
Fiscal Year
Ended Lease Less: Other Net Lease
June 30 Revenue 1 Debt Payments Revenue Principal Interest Coverage
2003 679,435$ -$ 679,435$ 285,000$ 394,435$ 1.00
2004 680,830 - 680,830 300,000 380,830 1.00
2005 681,220 - 681,220 315,000 366,220 1.00
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
2010 675,280 - 675,280 400,000 275,280 1.00
2011 672,525 - 672,525 420,000 252,525 1.00
2012 673,521 - 673,521 445,000 228,521 1.00
2013 673,130 - 673,130 470,000 203,130 1.00
Note: Details regarding the city's outstanding debt can be found in the notes to the financial
statements.
Debt Service
1 Lease revenues consist of payments from the City General Fund and Civic Center Development Impact Fee Fund.
Local Agency Revenue Bonds (City Hall Project)
CITY OF LA QUINTA
Pledged-Revenue Coverage
Last Ten Fiscal Years
(In Dollars)
158
TABLE 16
Calendar Calendar Calendar Calendar Calendar Calendar Calendar Calendar Calendar Calendar
Year Year Year Year Year Year Year Year Year Year
Sources: 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013(7)
City Land (Sq Miles)(3) 35.1 35.1 35.10 35.10 35.31 35.31 35.31 35.31 35.16 35.16
Population (1) 32522 36145 38,340 41,092 42,958 43,778 44,421 37,836 38,075 38,401
Median Household Income (in dollars)(4) (4)(4) $65,906 $67,754 $74,683 $76,227 $90,124 $104,410 $104,045 $77,790
Number of Dwelling Units (3) 15,942 17,549 18,762 20,176 21,058 21,355 23,489 23,528 23,528 23,612
Persons per Household (3) 2.848 2.878 2.855 2.846 2.851 2.851 2.865 2.549 2.555 2.57
Average Income per person per household (6) (6)(6) $23,084 $23,807 $26,195 $26,737 $31,457 $40,961 $40,722 $41,200
Labor Force (2) 13700 14300 14,500 15,300 15,200 14,800 14,600 14,400 15,100 17400
Employment (2) 13200 13900 14,100 14,900 14,600 13,700 13,500 13,300 14,100 16,300
Unemployment Rate (2) 3.65% 2.80% 2.76% 2.61% 3.95% 7.43% 7.53% 7.64% 6.62% 6.30%
Median age (4) (4)(4)36 36.4 36.4 36.4 42.2 41.5 42.8 45.6
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 through 2009; HdLCoren & Cone Companies thereafter - data not available before 2006
(5) The population number was updated based upon the 2010 United States Census
(6) The information was not collected before 2006
(7) Five year average 2007-2011 Census
Demographic and Economic Statistics
Last Ten Calendar Years
CITY OF LA QUINTA
159
TABLE 17
Percent of
Number of Total Number of
Employer Activity Rank Employees Employment Employees Rank
La Quinta Resort & Club Hotel & Golf Resort 1 1,246 7.64%1,500 1
Desert Sands Unified School District Government 2 1,176 7.21%550 3
PGA West Golf Resort 3 1,100 6.75%1,100 2
Wal-Mart Super Center Retailer 4 340 2.09%250 4
Costco Retailer 5 244 1.50%- -
Rancho La Quinta Golf Resort 6 209 1.28%200 5
Home Depot Retailer 7 160 0.98%180 6
Lowe's Home Improvement Retailer 8 148 0.91%150 7
Imperial Irrigation District Utility Company 9 140 0.86%110 9
Stater Brothers Grocery Store 10 119 0.73%126 8
Vons Grocery Store 11 98 0.60%103 10
Tradition Golf Club Golf Resort 12 95 0.58%97 12
Total employment listed 5,075 31.13%4,366
Total City Employment - July 1 16,300 12,100
Source: City of La Quinta
CITY OF LA QUINTA
Principal Employers
Current Year and Ten Years Ago
2012-2013 2003-2004
160
TABLE 18
Function 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Administration 8.00 8.00 9.00 10.00 12.00 12.00 13.00 14.00 12.00 11.00
City Clerk 5.00 5.00 5.00 5.00 6.00 6.00 6.00 6.00 5.00 5.00
Finance 8.00 8.00 9.00 9.00 9.00 9.00 9.00 9.00 8.00 8.00
Community Services 7.00 8.00 10.25 10.25 11.25 11.25 10.35 10.35 10.35 10.35
Building and Safety 19.00 21.00 22.00 24.00 25.00 25.00 25.00 21.00 21.00 21.00
Planning and Development 9.00 9.00 12.00 12.00 12.00 12.00 10.00 9.00 8.00 9.00
Public Works 22.00 23.50 26.25 26.25 28.25 29.25 27.25 26.25 24.25 23.25
Golf Course - 0.50 0.50 0.50 0.50 0.50 0.40 0.40 0.40 0.40
Total 78.00 83.00 94.00 97.00 104.00 105.00 101.00 96.00 89.00 88.00
Source: City of La Quinta
Fiscal Year Ended June 30,
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
Last Ten Fiscal Years
CITY OF LA QUINTA
Full-time City Employees
by Function
161
TABLE 19
2006 2007 2008 2009 2010 2011 2012 2013
Finance:
Number of Active Business Licenses 3,208 3,424 3,690 3,523 3,428 3,183 3,310 3,520
Number of Animal Licenses Processed 892 1,022 1,272 1,609 1,768 1,619 1,674 1,505
Number of Accounts Payable Checks Processed 4,696 4,722 4,840 4,819 4,393 4,530 3,766 3,576
Number of investment purchases 39 73 64 36 32 20 27 30
Par value of investments $327,417,000 $392,729,000 $424,500,000 $229,969,000 $267,213,000 $189,810,285 $188,782,874 $164,614,769
Number of cleared checks 5,081 4,837 5,501 5,269 4,984 4,912 5,103 3,899
Number of outgoing bank wires 202 158 136 91 75 87 63 58
Public Works:
Encroachment permits issued 304 218 110 132 78 104 65 124
Request for services 618 419 1152 1931 1306 746 534 740
Building & Safety:
Permits:
Single family Detached 1,044 526 297 129 56 85 39 83
Single family Attached 227 38 0 6 12 0 11 0
Residential Pool 866 612 331 207 152 148 127 162
Wall/Fence 1,502 963 583 299 178 218 149 167
Other 1,607 1,404 1,121 908 790 1,033 916 1,042
Total Permits 5,246 3,543 2,332 1,549 1,188 1,484 1,242 1,454
Code Compliance:
Animal Control Incidents Handled 1,901 687 2,920 3,630 3,984 4,392 4,246 3,206
Vehicle abatements 909 296 351 346 214 263 139 99
Garage Sale Permits 1,190 1,444 1,519 1,535 1,663 1,805 1,430 1,404
Weed abatements 141 76 117 97 125 143 106 1,668
Nuisance abatements 1,611 2,032 2,142 3,130 2,340 2,252 2,433 1,668
Community Services:
Library activities:
Library Volume 42,050 44,981 66,124 81,124 89,060 92,484 109,000 63,955
Library books checked out 55,002 99,659 117,738 215,843 259,711 263,064 275,838 220,690
Library Cards Issued 5,550 5,325 3,675 3,684 3,547 3,822 4,477 2,966
Number of School Children Visiting Library 745 260 841 1,036 772 1,881 962 737
Library Volunteer Hours 1,891 1,583 1,951 2,342 2,723 4,280 2,720 2,226
Senior Center:
Number of visits 14,305 12,955 14,013 15,739 20,326 18,403 16,642 9,350
Senior Center Volunteer Hours 3,481 4,192 3,332 2,583 3,131 3,099 2,690 2,233
Recreation activities:
Participants:
Leisure Classes 1,373 1,192 990 1,140 1,437 1,512 2,016 1,475
Special events 4,668 7,809 8,109 11,053 8,795 8,933 36,305 5,970
Adult Sports 3,402 6,827 8,550 10,806 13,364 13,092 5,647 3,865
Golf course:
Golf rounds played 38,934 40,548 40,516 39,150 43,779 45,269 46,949 46,352
Average $ Green fee 71.12 76.97 81.09 76.13 71.59 70.7 70.4 67.44
Planning and Development:
Number of residential units approved 1,063 534 338 100 255 208 285 228
Commercial square footage approved 533,726 124,821 342,502 390,097 6,200 27,526 61,662 0
Source: City of La Quinta
Note: Information not collected before 2006
Last Eight Fiscal Years
CITY OF LA QUINTA
Operating Indicators
by Function
162
TABLE 20
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Public works:
Streets (miles)118.40 118.40 118.40 122 127 127 127 127 128 128
Bikepaths (miles)22 22 22 22 22 22 22 22 22 22
Streetlights 1 1173 85 85 261 265 265 269 269
Traffic signals 2 2244 45.25 45.25 49 50 50 51 52
Traffic signs 2 222,799 2,845 2,895 2,899 2,909 2,919 2,934 2,984
Bridges 2 2212 12 12 12 12 12 12 12
Parks and recreation:
Parks 12 12 12 12 13 13 13 13 13 13
Park Acreage 207 207 207 207 209 209 218 218 218 218
Undeveloped Park Acreage 2 2240 40 40 40 40 40 40 40
Senior Center 1 1 1 1 1 1 1 1 1 1
Museum 1 1 1 1 1 1 1 1 1 1
Library 1 1 1 1 1 1 1 1 1 1
Golf Course:
Municipal golf courses - - 1 1 1 1 1 1 1 1
Source: City of La Quinta
Fiscal Year Ended June 30,
CITY OF LA QUINTA
2 In Fiscal Year ending 2006 traffic signals , traffic signs, and undeveloped park acreage were
included for the first time.
1 In Fiscal Year ending 2009 street lights at intersections were included for the first time.
Capital Asset Statistics
by Function
Last Ten Fiscal Years
163
TABLE 21
Company Name Policy Number Coverage Limits Term Premium
Hartford FA0267254-11 Employee Dishonesty,$1,000,000 12/3/12 - 12/3/13 $3,375
Forgery, Computer Fraud
Lexington 20412656 All Risk Property Insurance 64,319,900 7/01/12 - 7/01/13 $59,620
20412887 Including Auto Physical Damage,7/1/13 - 7/1/14 $65,215
Terrorism, Boiler & Machinery
(Excluding Earthquake)
Lloyds WB-0009204 Earthquake/Flood 20,000,000 2/07/13 - 2/07/14 $108,193
Real & Personal Property
Including Contingent Tax Interruption
California Comprehensive General $50 Million 6/30/13 - 6/30/14 ($60,876)
Joint Powers Liability Single Limit per Occurrence
Insurance Authority
California Worker's Compensation 10,000,000 6/30/13 - 6/30/14 $166,767
Joint Powers
Insurance Authority
Alliant PEC0011896301 Pollution Liability 10,000,000 7/01/11 - 7/01/14 $26,227
CITY OF LA QUINTA
Schedule of Insurance in Force
June 30, 2012
164