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Home My WebLink About01/06/2009UldMonu tsar CityAgendaCouncil Tuesday, January 6, 2009 6:00 p.m. - Closed Session CC -8 6:30 p.m. - Regular Meeting The Government Center South Coast Air Quality Management District/ Main Auditorium 21865 Copley Drive, Diamond Bar, CA 91765 Ron Everett Carol Herrera Mayor Mayor ProTem Wen P. Chang Jack Tanaka Steve Tye Council Member Council Member Council Member City Manager James DeStefano City Attorney Michael Jenkins 0 City Clerk Tommye Cribbins Copies of staff reports or other written documentation relating to agenda items are on file in the Office of the City Clerk, and are available for public inspection. If you have questions regarding an agenda item, please contact the City Clerk at (909) 839-7010 during regular business hours. In an effort to comply with the requirements of Title 11 of the Americans with Disabilities Act of 1990, the City of Diamond Bar requires that any person in need of any type of special equipment, assistance or accommodation(s) in order to communicate at a City public meeting, must inform the City Clerk a minimum of 72 hours prior to the scheduled meeting. Have online access? City Council Agendas are now available on the City of Diamond Bar's web site at www.CityofDiamondBar.com Please refrain from smoking, eating or drinking in the Council Chambers. The City of Diamond Bar uses recycled paper and encourages you to do the same. 111.1.1111111 6,18 THIS MEETING IS BEING BROADCAST LIVE BY TIME -WARNER FOR AIRING ON CHANNEL 3, AS WELL AS BY STREAMING VIDEO OVER THE; INTERNET AND BY REMAINING IN THE ROOM YOU ARE GIVING YOUR PERMISSION TO BE TELEVISED. THIS MEETING WILL BE RE -BROADCAST EVERY SATURDAY AT 9:00 A.M. AND EVERY TUESDAY AT 8:00 P.M. ON CHANNEL 3, AND IS ALSO AVAILABLE ON THE CITY WEB SITE AT WWW.CITYOFDIAMONDBAR.COM CITY OF DIAMOND BAR CITY COUNCIL AGENDA January 6, 2009 Next Resolution No. 2009-01 Next Ordinance No. 01 (2009) CLOSED SESSION: 6:00 p.m., Room CC -8 Public Comments on Closed Session Agenda ► Government Code Section 54956.9(c) Initiation of Litigation One Case. CALL TO ORDER: PLEDGE OF ALLEGIANCE: INVOCATION: ROLL CALL: APPROVAL OF AGENDA: 6:30 p.m. Posting of Colors by Diamond Ranch High School ROTC Ahmad H. Sakr, Ph.D Islamic Education Center Council Members Chang, Tanaka, Tye, Mayor Pro Tem Herrera, Mayor Everett Mayor 1. SPECIAL PRESENTATIONS, CERTIFICATES, PROCLAMATIONS: 1.1 Presentation of Certificates of Recognition to the 2008-09 Diamond Ranch High School Football Team and Coaches for competing in the CIF Southern Section Semi -Final Varsity Football Game - Southeast Division. Written materials distributed to the City Council within 72 hours of the City Council meeting are available for public inspection immediately upon distribution in the City Clerk's Office at 21825 Copley Dr., Diamond Bar, California, during normal business hours. January 6, 2009 PAGE 2 2. CITY MANAGER REPORTS AND RECOMMENDATIONS: 3. PUBLIC COMMENTS: "Public Comments" is the time reserved on each regular meeting agenda to provide an opportunity for members of the public to directly address the Council on Consent Calendar items or matters of interest to the public that are not already scheduled for consideration on this agenda. Although the City Council values your comments, pursuant to the Brown Act, the Council generally cannot take any action on items not listed on the posted agenda. Please complete a Speaker's Card and give it to the City Clerk (completion of this form is voluntary) There is a five-minute maximum time limit when addressing the City Council 4. RESPONSE TO PUBLIC COMMENT: Under the Brown Act, members of the City Council may briefly respond to public comments but no extended discussion and no action on such matters may take place. 5. SCHEDULE OF FUTURE EVENTS: 5.1 Holiday Tree Curbside Collection Program — December 26, 2008 through January 17, 2009. Trees free of decorations and flocking may be left at the curb on trash day for free pickup during this period. Any tree over 6 ft. must be cut in half. 5.2 Traffic and Transportation Commission Meeting — January 8, 2009 — 7:00 p.m., AQMD/Government Center Hearing Board Room, 21865 Copley Dr. 5.3 Planning Commission Meeting — January 13, 2009 — 7:00 p.m., AQMD/Government Center Auditorium, 21865 Copley Dr. 5.4 Winter Snow Fest — Saturday, January 17, 2009 — 10:00 a.m. to 4:00 p.m., at Pantera Park, 738 Pantera Dr. 5.5 City Council Meeting — January 20, 2009 — 6:30 p.m., AQMD/Government Center Auditorium, 21865 Copley Dr. 6. CONSENT CALENDAR: 6.1 City Council Minutes: (a) Study Session of December 16, 2008 — Approve as submitted. (b) Regular Meeting of December 16, 2008 — Approve as submitted. 6.2 Ratification of Check Register — Dated December 11, 2008 through December 30, 2008 totaling $917,670.32. Requested by: Finance Department January 6, 2009 PAGE 3 6.3 Treasurer's Statement - month of November 2008. Recommended Action: Approve. Requested by: Finance Department E3.4 Adopt Resolution No. 2009 -XX: Confirming the Appointment of Specific Representatives to the San Gabriel Valley Council of Governments. Recommended Action: Adopt. Requested by: City Manager 6.5 Transmittal of Comprehensive Annual Financial Report for the Year Ended June 30, 2008. Recommended Action: Receive and File. Requested by: Finance Department 7. PUBLIC HEARINGS: None. 8. COUNCIL CONSIDERATION: None 9. COUNCIL SUB -COMMITTEE REPORTS/COUNCIL MEMBER COMMENTS: 10. ADJOURNMENT: Tonight's meeting will be adjourned in memory of Elsie Fullerton. Agenda No. 6.1(a) CITY OF DIAMOND BAR CITY COUNCIL STUDY SESSION DRAFT DECEMBER 16, 2008 STUDY SESSION: M/Everett called the Study Session to order at 5:20 p.m. in Room CC -8 of the South Coast Air Quality Management District/Government Center„ 21865 Copley Dr., Diamond Bar, CA. Present: Council Member Chang, Tanaka, Tye, Mayor Pro Tem Herrera, Mayor Everett. Staff Present: James DeStefano, City Manager; David Doyle, Assistant City Manager; Michael Jenkins, City Attorney; David Liu, Public Works Director; Bob Rose, Community Services Director; Greg Gubman, Acting Community Development Director; Linda Magnuson, Finance Director; Patrick Gallegos, Management Analyst; Ryan McLean, Assistant to the City Manager; Ken Desforges, IS Director; Rick Yee, Senior Engineer; Kimberly Molina, Associate Engineer; Christian Malpica-Perez, Associate Engineer; Marsha Roa, Public Information Manager; Anthony Santos, Management Analyst, and Tommye Cribbins, City Clerk. Also Present: Traffic & Transportation Commissioners House, Pincher, Shay, City of Industry Representatives and Steve Sasaki, Sasaki Transportation Services. ► UPDATE ON MAJOR IMPROVEMENTS TO SR57 & SR60 CONFLUENCE AREA PWD/Liu announced that tonight's discussion will include an update on the improvements to the SR57 & SR60 as well as a presentation on the City of Industry's proposed Grand Avenue Interchange Improvement Project. PWD Liu then introduced Steve Brown with Fehr and Peers who made the formal presentation. Steve Brown, reported that the MTA Feasibility Study for the "Big Fix" is underway with environmental studies to be undertaken soon and that the Grand Avenue Interchange Project is concurrently moving forward. He further reported that staff's draft Project Study Report has been resubmitted to Caltrans for their review and that the Lemon Ave. Interchange is entering the study and community discussion phase to determine how to move forward. The fourth item is consideration of the NFL stadium in the vicinity of the Grand Ave. Interchange. Mr. Brown provided background on the "Big Fix" project and showed drawings of what the proposed project area would look like. Also using drawings, he followed up with a presentation on the Grand Ave. interchange alternatives being studied. C/Tye recalled that there was a plan to use the Old Brea Canyon Rd for an onramp instead of at the edge of the Honda property. DECEMBER 16, 2008 PAGE 2 CC STUDY SESSION CM/DeStefano said that this proposal in effect uses the same right-of-way. The new ramp would take the same space as Old Brea Canyon Rd. shortly after the Honda property. What has occurred over time is that the ramp is being placed closer and closer to the freeway reducing the impact on the Honda property. Also over time a new intersection of Old Brea Canyon Rd. and Grand Ave. would be created pushing the property north allowing the property to become whole for development purposes regardless of whether there is a stadium based -project or an office -based project behind it and mitigates the loss of the onramp. SOLID WASTE NEGOTIATION SCHEDULE PWD/Liu reported that recently the City retained the services of HF&H to provide Solid Waste contracting assistance. HF&H has a long history of successfully providing their services exclusively to local jurisdictions. PWD Liu introduced L.aith Ezzet who provided the Council with information on the scheduling of the negotiation process. L.aith Ezzet, Senior Vice President, with HF&H, stated that he will serve as project manager. He further stated that HF&H has helped approximately 250 cities in California to plan and manage their solid waste programs and does not work for waste haulers. He then walked the Council through the project schedule. Mr. Ezzet indicated that they had held its kick-off meeting with staff just about a week ago and wanted the Council to understand where the checkpoints would be and when information would be brought back to Council using the printed schedule of events. C/Tanaka wanted to know at what point Mr. Ezzet would propose rates and terms and offer a comparison with other cities? Mr. Ezzet responded by stating that when his company completes the evaluation of the rates proposed by the contractors, then negotiations would take place. As part of that process he will gather comparables from other cities to see how the rates line up and when staff brings the agreements to Council for consideration that information will be provided along with the comparables from other jurisdictions. Mr. Ezzet stated that at this point in time his company has 24 contracts in process. C/Tanaka wanted to know if any of those negotiations addressed the closure of the landfill in 2013 and how that issue would be addressed. Mir. Ezzet said that the Puente Hills landfill closing will occur during the City's next contract period and certainly he will want the proposals to reflect long-term disposal arrangements either with their own landfills or contract landfills. M/Everett asked if there were other similar elements, i.e., landfill closures that might be significant. DECEMBER 16, 2008 PAGE 3 CC STUDY SESSION Mr. Ezzet responded No. There will not be enough permitted daily capacity in the region to accept all of the waste so it will either have to be very long-distance hauling or some other large landfills in the region will have to expand their permitted daily capacity. PUBLIC COMMENTS: Carolyn Anderson with Waste Management stated that her company was concerned that the consultant would provide apples to apples comparisons that included rates and services. John Balas, City Engineer with the City of Industry thanked D.B. for its support. Ile stated that the City of Industry has an uphill battle because the money anticipated for this project is contemplated for the future and not available at this time. ADJOURNMENT: With no further business to conduct, M/Everett adjourned the Study Session at 6:00 p.m. I UMMYE CRIBBINS, City Clerk The foregoing minutes are hereby approved this RON EVERETT, Agenda No. 6.1(b) MINUTES OF THE CITY COUNCIL REGULAR MEETING OF THE CITY OF DIAMOND BAR DECEMBER 16, 2008 CLOSED SESSION: 5:00 p.m. — Room CC -8 Public Comments on Closed Session Agenda — None Offered. ► Government Code Section 54956.9(c) Initiation of Litigation — One Case STUDY SESSION: 5:20 p.m., Room CC -8 ► Update on Major Improvements to SR57 & SR60 Confluence Area — Discussion and Action. No. Solid Waste Franchise - Discussion and Action. M/Everett recessed the Study Session to the Regular Meeting at 6:00 p.m. CALL TO ORDER: Mayor Everett called the regular City Council meeting to order at 6:33 p.m. in the AQMD/Government Center Auditorium, 21865 Copley Dr., Diamond Bar, CA. PLEDGE OF ALLEGIANCE: Council Member Tanaka led the Pledge of Allegiance. INVOCATION: Monsignor James Loughnane, St. Denis Catholic Church, gave the invocation. ROLL CALL: Council Members Chang, Tanaka, Tye, Mayor Pro Tem Herrera and Mayor Everett. Staff Present: James DeStefano, City Manager; David Doyle, Asst. City Manager; Michael Jenkins, City Attorney; Ken Desforges, IS Director; David Liu, Public Works Director; Bob Rose, Community Services Director; Linda Magnuson, Finance Director; Greg Gubman, Acting Community Development Director; Marsha Roa, Public Information Manager; Ryan McLean, Assistant to the City Manager; Rick Yee, Senior Civil Engineer; Kimberly Molina, Associate Engineer; Christian Malpica- Perez, Associate Engineer; Cecilia Arellano, Public Information Coordinator; Lauren Hildago, Public Information Specialist, and Tommye Cribbins, City Clerk. CM/DeStefano reported that there were no reportable actions taken during tonight's Closed Session. He further reported during tonight's Study Session Council received updates on major freeway improvements being contemplated for the SR57/60 Interchange, Grand Ave. and related roadway networks. Also, staff provided the City Council) with a schedule for negotiations with its current solid waste haulers over the next eight months. APPROVAL OF AGENDA: As Presented. DECEMBER 16, 2008 PAGE 2 CITY COUNCIL 1. SPE=CIAL PRESENTATIONS, CERTIFICATES, PROCLAMATIONS: 1.1 C/Tanaka and Diamond Bar Community Foundation Members Jody Roberto, Ling Ling Chang and Carolyn Anderson presented Certificates of Recognition and monetary prizes to "Diamond Bar through My Lens" Photo Contest Winners. The Grand Prize was awarded to Fengyu Shu. 2. CITY MANAGER REPORTS AND RECOMMENDATIONS: None Offered. 3. PUBLIC COMMENTS: Carolyn Anderson announced that the Diamond Bar Foundation Gala Fundraiser has been rescheduled to Sunday, January 4. She further announced that once again Waste Management would be offering free pickup of holiday trees and outlined the criteria for pick up. Also, used gift wrapping and cards may be recycled by placing them in the gray bins. Sandy Wang, 23834 Strange Creek Dr., spoke in opposition to Item 6.4. He felt <a stop sign at Strange Creek Dr. would present a safety hazard because drivers coming down Overlook Dr. would not pay attention and automatically assume the right-of-way. 4. RESPONSE TO PUBLIC COMMENTS: PWD/Liu explained the reason for the recommended action under Item 6.4 using an overhead map. At this intersection, there is a very apparent line -of -site issue ,and concern about the T -Intersection. The proposed recommendation is the first step in reinforcing the California Vehicle Code as well as the installation of additional warning signs along the curvature of Overlook Ridge advising motorists to drive slowly in this residential neighborhood. If after installation of these improvements there continues to be violations, staff will work with the residents to initiate a neighborhood traffic calming project. C/Tye stated that the problem appeared to originate on Overlook Ridge and that the mitigation does not slow the traffic as it approaches the T -Intersection. He stood at the intersection of Strange Creek and Overlook Ridge and it was obvious to him that where the proposed stop sign will be located, cars will stop where their line -of -site will be blocked by the home on the corner and that drivers will have to creep out into the intersection as they do now without a stop sign. Why would the City not put a three-way stop at that intersection instead of a one- way stop? PWD/Liu agreed with C/Tye about the downgrade; however, staff wants to place the stop bar to position vehicles to stop at the proper location. At this time drivers are stopping at any given area behind the prolongation of the curb along the intersecting leg and by having the stop sign installed along with the stop bar, it is hoped that it will help educate drivers to pull up to have a better line -of -site. DECEMBER 16, 2008 PAGE 3 CITY COUNCIL 5. This effort does not stop the speeding issue along Overlook Ridge but at this point based on the most recent traffic data, there is a low volume along the street. PWD/Liu believed that drivers are traveling at speeds greater than 25 mph; however, staff is recommending that the City take an incremental approach. SCHEDULE OF FUTURE EVENTS: 5.1 Planning Commission Meeting — December 23, 2008 — 7:00 p.m., AQMD/Government Center Auditorium, 21865 Copley Dr. — Canceled due to anticipated lack of quorum. 5.2 Christmas Holiday — December 24 and 25, 2008 — City Offices will be closed in observance of the Christmas Holiday. City Offices will reopen Friday, December 26, 2008 at 7:30 a.m. 5.3 Parks and Recreation Commission Meeting — December 25, 2008 — 7:00 p.m., AQMD/Government Center Hearing Board Room, 21865 Copley Dr. — Canceled due to anticipated lack of quorum. —4 Holiday Tree Curbside Collection Program — December 26, 2008 through January 17, 2009. Trees free of decorations and flocking may be left at the curb on trash day for free pickup during this time period. Any tree over 6 feet must be cut in half. 5..5 New Year's Holiday — January 1, 2009 — City Offices will be closed Thursday, January 1, 2009 in observance of the New Year's Holiday — City Offices will reopen Friday, January 2, 2009 at 7:30 a.m. 5.6 City Council Meeting — January 6, 2009 — 6:30 p.m., AQMD/Government Center Auditorium, 21865 Copley Dr. 5.7 Winter Snow Fest — Saturday, January 17, 2009 —10:00 a.m. to 4:00 p.m., at Pantera Park, 738 Pantera Dr. 6. CONSENT CALENDAR: MPT/Herrera moved, C/Chang seconded, to approve the Consent Calendar with the exception of Item 6.4 pulled by C/Tye. Motion carried by the following Roll Call: AYES: COUNCIL MEMBERS: Chang, Tanaka, Tye, MPT/Herrera, M/Everett NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None DECEMBER 16, 2008 PAGE 4 CITY COUNCIL E3.1 CITY COUNCIL MINUTES: (a) Study Session of December 2, 2008 — Approved as submitted. (b) Regular Meeting of December 2, 2008 — Approved as submitted. 6.2 RECEIVED AND FILED PLANNING COMMISSION MINUTES — Regular Meeting of October 14, 2008. 6.3 RATIFIED CHECK REGISTER — dated November 26, 2008 through December 10, 2008 totaling $757,451.95. 6.5 ADOPTED RESOLUTION NO. 2008-44: ACCEPTING AN IRREVOCABLE OFFER OF DEDICATION FOR ROAD PURPOSES FROM EDEN DONGSAN INVESTMENT, INC., OWNERS OF PROPERTY LOCATED AT THE NORTHWEST CORNER OF THE INTERSECTION OF BANNING WAY AND GOLDEN SPRINGS DRIVE (20657 GOLDEN SPRINGS DR.). 6.6 APPROVED NOTICE OF COMPLETION FOR RESIDENTIAL AREA 4 AND ARTERIAL ZONE 2 SLURRY SEAL ROAD MAINTENANCE PROJECT. 6.7 APPROPRIATED $50,000 FROM GENERAL FUND RESERVES FOR SPECIAL LEGAL SERVICES PROVIDED BY SHEPPARD, MULLIN, RICHTER & HAMPTON, LLP. 6.8 ACCEPTED WORK PERFORMED BY EMAD NABIH FOR CONSTRUCTION OF THE TRAIL CONNECTIONS AT STEEP CANYON AND THE DIAMOND BAR CENTER; DIRECTED THE CITY CLERK TO FILE THE NOTICE OF COMPLETION AND RELEASE THE RETENTION THIRTY-FIVE DAYS AFTER THE RECORDATION DATE. 6.9 APPROVED AMENDMENT NO. 8 WITH EXCEL LANDSCAPE TO ADD TWO NEW LOCATIONS TO THEIR LANDSCAPE MAINTENANCE CONTRACT IN THE AMOUNT OF $10,000 FOR FY 2008-09, WHICH INCLUDED A $2,720 CONTINGENCY; PLUS APPROPRIATION OF $5,000 FROM GENERAL FUND RESERVES TO FULLY FUND THE AMENDMENT. ITEMS WITHDRAWN FROM CONSENT CALENDAR: 6.4 ADOPT RESOLUTION NO. 2008-45: APPROVING INSTALLATION OF A STOP SIGN ON STRANGE CREEK DRIVE AT OVERLOOK RIDGE ROAD. C/Tye asked for additional clarification on this recommendation and whether or not a stop sign southbound on Overlook Ridge would be more DECEMBER 16, 2008 PAGE 5 CITY COUNCIL 7 appropriate? PWD/Liu stated that staff had conducted a full three-way stop analysis and determined that the only criterion that was met to consider was visibility. The engineering analysis tells staff that this intersection is not warranted for a three-way stop. However, with the visibility issue identified it suggests an educational effort begin by working with the residents to determine the best method of enforcement while the City continues to investigate the ongoing reported conditions of speeding, etc. C/Tye said he was still at a loss as to how putting a stop sign on Strange Creek would address the speeding issue on Overlook Ridge. PWD/Liu stated that it doesn't address the speeding issue, but is an attempt to educate drivers coming down Overlook who will see signs warning that there is a stop sign at the intersection. Strange Creek does give advance warning that the driver is coming up on an intersection. Additionally, as previously stated, there will be pavement markings (stop bar) that will be painted in a location that could enhance the line -of -site for drivers who intend to make left turns southbound on Overlook Dr. C/Tanaka moved, C/Chang seconded, to Adopt Resolution No. 2008-45: Approving installation of a Stop Sign on Strange Creek Drive at Overlook Ridge Road. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chang, Tanaka, MPT/Herrera, M/Everett NOES: COUNCIL MEMBERS: Tye ABSENT: COUNCIL MEMBERS: None PUBLIC HEARINGS: 7.1 ADOPT RESOLUTION NO. 2008-46: APPROVING THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM ALLOCATION FOR FY 2009/10 IN THE AMOUNT OF $356,033. ACM/Doyle reported that the only change from the current year to next year as proposed is a reduction of $50,000 from the Home Improvement Program which has been reprogrammed into the ADA Retrofitting for Design Services for various parks throughout the City. The reason is that the City has a number of carryover funds and CDBG wants the City to draw those funds down. Putting those funds into the Home Improvement Program would hamper the City's efforts to draw that amount down in an expeditious manner. ACM/Doyle recommended that the City Council open the Public Hearing, Receive Testimony and Adopt Resolution No. 2008-46. DECEMBER 16, 2008 PAGE 6 CITY COUNCIL MPT/Herrera asked what other allocations would be forthcoming if the City were successful in getting the full amount requested. ACM/Doyle responded that staff believes that the pre -determined CDC allocation is $356,033 and it is highly unlikely that it would be more than that amount and more likely it could be less. M/Everett opened the Public Hearing. With no one present who wished to speak on this matter, M/Everett closed the Public Hearing. MPT/Herrera moved, C/Tye seconded, to Adopt Resolution No. 2008-46: Approving the Community Development Block Grant Program Allocation for FY 2009/10 in the amount of $356,033. AYES: COUNCIL MEMBERS: Chang, Tanaka, Tye MPT/Herrera, M/Everett NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 8. COUNCIL CONSIDERATION: 8.1 CITY COUNCIL COMMITTEE APPOINTMENTS — recommended by M/Everett. ORGANIZATION DELEGATE ALTERNATE California Contract Cities Association Foothill Transit Board Four -Corners Transportation Policy Group Greater L.A. County Vector Control District Joint Powers Insurance Authority L.A. County Sanitation District No. 21 L.A. County City Selection Committee League of CA Cities — L.A. County Division San Gabriel Valley Council of Governments San Gabriel Valley Economic Partnership Southern California Assn of Governments (SCAG) Tires Hermanos Conservation Authority Wildlife Corridor Conservation Authority (WCCA) Wildlife Corridor Conservation Authority Advisory Tanaka Herrera Herrera Hamilton Tye Everett Everett Tye Herrera Chang Everett Tye/Herrera Tanaka Rogers STANDING COMMITTEES Tye Everett Everett Everett Tanaka Herrera Everett Tanaka Everett Herrera Chang Chang Davis Economic Development Tye Tanaka Neighborhood Improvement Chang Tanaka Public Safety Committee Everett Herrera DECEMBER 16, 2008 PAGE 7 CITY COUNCIL AD HOC COMMITTEES City Council Goals/City Manager Evaluation Everett Industry East Development Advisory Committee Herrera Legislative Chang Lighting/Landscape Assess Dist subcommittee Tye Sphere of Influence/Annexation Herrera LIAISON Chamber of Commerce Diamond Bar Community Foundation Library F'USD/City Senior Citizen %NNUSD/City Herrera Tye Everett Chang Everett Everett Tanaka Chang Tye Chang Tye Everett Tanaka Chang Tanaka Everett Tye MPT/Herrera moved, C/Tye seconded, to adopt the City Council Committee Appointments as recommended by M/Everett. Motion carried by the following Roll Call vote: AYES: COUNCIL MEMBERS: Chang, Tanaka, Tye, MPT/Herrera, M/Everett NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None 9. COUNCIL SUBCOMMITTEE REPORTS/COUNCIL MEMBER COMMENTS: C/Chang thanked the residents who participated in the first "Diamond Bar through My Lens" Photo Contest. On December 5 the Council held a Holiday Party. He stated that Staff works diligently to make certain that the residents are safe and thanked them for their dedication. He said he appreciated the talent displayed by the D.B.H.S. Brahmas on December 5. Students are talented and academically accomplished with good teachers backing them up. He wished everyone a Merry Christmas and Happy New Year. C/Tye congratulated Diamond Ranch High School for being named, for the second year in a row by US News &World Report, as one of the top 604 high schools out of more than 21,000 high schools in the nation by earning a Silver Medal. D.B. is blessed to have such outstanding schools. He congratulated Diamond Ranch High School football team on playing at Mt. SAC in the CIF finals. He hoped that residents would join the Diamond Bar Community Foundation Gala event on January 4. He wished everyone a Merry Christmas, Happy Hanukkah, Happy Holy Days and a very happy and safe New Year. C/Tanaka reported on his attendance at the Diamond Ranch High School music program breakfast fundraiser; East 180's Ribbon -Cutting Ceremony; Pam Meeker's retirement as executive Director at Lanterman Developmental Center, DECEMBER 16, 2008 PAGE 8 CITY COUNCIL having spent almost 40 years with the Center; D.B. Seniors Christmas Luncheon; Regional Chamber of Commerce Holiday Mixer; Thank you ceremony for former Council Member and newly elected Assembly Member Curt Hagman; Candy Cane Craft Fair at the Diamond Bar Center where the D134 -Youth in Action sold snacks throughout the morning and the D.B.H.S. Performing Arts Showcase. He thanked the photo contest participants and specifically thanked staff members Hildago and Arellano for their assistance with the event. He thanked the D.B.H.S. students who attended tonight's meeting as part of their Civics class requirement. He thanked staff members who helped him as Mayor and the City Council look good during his tenure. He and his wife Wanda wished everyone a Merry Christmas and Happy New Year. MPT/Herrera thanked M/Everett for her committee assignments. She said she appreciated his faith and confidence in her. Many Council Members meet up with each other at City events. She was also at the Candy Cane Fair and had a good time shopping. She congratulated staff on a great job and did not remember the Fair and booths going into all of the other rooms within the Diamond Bar Center. To everyone in the City, she hoped that all would have a great Christmas Holiday and New Year and especially to staff who work very, very hard helping implement the Council's direction and policies and keep the City running smoothly. In these economic times it is sometimes troubling to wonder how the City is doing. She reassured everyone that D.B. is very, very stable in comparison to many of its surrounding neighbors. She hoped that with that news everyone would have a secure and wonderful holiday celebration. M/Everett acknowledged the photo contestant participants and their photos. D.B.'s students are the greatest and the City gets a lot of recognition for student participation and achievement. He acknowledged the students who were present during tonight's meeting and the performance of the students on the field and in the classroom. The Diamond Ranch Panthers went to the CIF finals with a record of 7 and 6 and did very well in competing against a very strong Charter Oak team. He thanked students and parents for creating a team spirited environment. During the fire that covered 30,000 acres he has heard and shared thank yous with the Fire Department and Sheriff's Department officials. The spirit and attitude of staffs support during this time was also outstanding. Let us continue giving thanks, enjoying this season that begins with Thanksgiving and tie thankful that we can share during these difficult economic times. He wished everyone a Merry Christmas and Happy New Year. ADJOURNMENT: With no further business to conduct, M/Everett adjourned the regular City Council meeting at 7:50 p.m. TOMMYE CRIBBINS, CITY CLERK t DECEMBER 16, 2008 PAGE 9 The foregoing minutes are hereby approved this RON EVERETT, MAYOR CITY COUNCIL day of 2009. CITY COUNCIL TO: Honorable Mayor and Members of the City Council Agenda # C, _ 2 Meeting Date: January 5, 2009 AGENDA REPORT FROM: James DeStefano, City Matdat TITLE: Ratification of Check RegisDecember 11, 2008 through December 30, 2008 totaling $917,670.32 RECOMMENDATION: Ratify. FINANCIAL IMPACT: Expenditure of $917,670.32 in City funds. BACKGROUND: The City has established the policy of issuing accounts payable checks on a weekly basis with City Council ratification at the next scheduled City Council meeting. DISCUSSION: The attached check register containing checks dated December 11, 2008 through December 30, 2008 for $917,670.32 is being presented for ratification. All payments have been made in compliance with the City's purchasing policies and procedures. Payments have been reviewed and approved by the appropriate departmental staff and the attached Affidavit affirms that the check register has been audited and deemed accurate by the Finance Director. PREPARED BY: Linda G. Magnuson Finance Director REVIEWED BY: Finan a irector Assistant City 10anager Attachments: Affidavit and Check Register— 12/11/08 through 12/30/08. CITY OF DIAMOND BAR CHECK REGISTER AFFIDAVIT The attached listings of demands, invoices, and claims in the form of a check register including checks dated December 11, 2008 through December 30, 2008 has been audited and is certified as accurate. Payments have been allowed from the following funds in these amounts: Description Amount General Fund $527,198.18 Com Org Support Fund 100.00 Prop A - Transit Fund 180,977.28 Int. Waste Mgt Fund 8,229.30 Park & Facility Development Fd 21,726.44 CDBG Fund 8,286.51 COPS Fund 4,600.00 LLAD 38 Fund 17,786.86 LLAD 39 Fund 14,561.99 LLAD 41 Fund 6,649.51 Capital Improvement Project Fund 127,554.25 $917,670.32 Signed: Linda G. Magnuson Finance Director City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12'11/2008 De -PP" PATROLL'IKANSFEK P/R TRANSFER -08 -PP 25 001 10200 180,625.24 $193,619.44 12/11/2008 PAYROLL TRANSFER P/R TRANSFER -08 -PP 25 112 10200 6,930.20 0014090 12/11/2008 10.73 PAYROLL TRANSFER P/R TRANSFER -08 -PP 25 115 10200 5,136.74 SUPPLIES -DBC 12/11/2008 41200 PAYROLL TRANSFER P/R TRANSFER -08 -PP 25 125 10200 927.26 IKATHY BREAUX 12/11/2008 83056 JAPPLEONE EMPLOYMENT SERVICES ITEMP SVCS -WK 11/22 0014030 1 44000 1 1,012.001 $1,012.00 12/11/2008 83057 JARROWHEAD WATER SUPPLIES -DBC 0015333 41200 79.88 $90.69 12/11/2008 ARROWHEAD 1EQ RENTAL -DBC 0015333 42130 10.81 12/11/2008 83058 NANCY ARROYO FACILITY REFUND -DBC 001 36615 400.00 $400.00 12/11/2008 1 83059 AT & T PH.SVCS-GENERAL 0014090 42125 29.24 $54.20 12/11/2008 AT & T PH.SVCS-GENERAL 0014090 42125 24.96 12/11/2008 83060 AT&T MOBILITY PH.SVCS-GENERAL 0014090 42125 10.73 $32.65 12/11/2008 AT&T MOBILITY PH.SVCS-GENERAL 0014090 42125 11.19 12/11/2008 83062 AT&T MOBILITY PH.SVCS-GENERAL 0014090 42125 10.73 $702.48 12/11/2008 1 83061 IBENESYST IFLEX ADMIN SVCS -3RD QTR 0014060 1 42346 1 174.321 $174.32 12/11/2008 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 200.37 12/11/2008 83062 IBENESYST 12/12/08-P/R DEDUCTIONS 001 21105 702.48 $702.48 12/11/2008 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 129.47 12/11/20D8 83063 IKATHY BREAUX CONTRACT CLASS -FALL 0015350 1 45320 1 2-76.001 $276.00 12/11/2008 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 86.06 12/11/2008 83064 ICASH CHG FD -CRAFT FAIR 0015350 41200 200.001—$200.00 12/11/2008 83065 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 83.72 $1,152.75 12/11/2008 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 200.37 12/11/2008 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 42.80 12/11/2008 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 129.47 12/11/2008 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 567.53 12/11/2008 CATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 86.06 12/11/2008 ICATALINA BALLAST BULB COMPANY SUPPLIES -DBC 0015333 41200 42.80 1. 12/11/2008 1 83066 IKEITH MAN CHEN IPHOTO CONTEST PRIZE 1 001 1 36900 1 100.D0 $100.00 Page 1 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 heck Date P Check Numb�JTINA Vendor Name Transaction Description 2/11/2008 83067�CHANG Amount I . _.. . �14 i ry U i L,LHJJ-�-HLL 12/11/2008 83068 CHARTER OAK GYMNASTICS, INC. CONTRACT CLASS -FALL Fund/ Dept Acct # I Amount I Total Check Amount 0015350 0015350 45320 42.00 $42.00 12/11/2008 83068 CHARTER OAK GYMNASTICS, INC. CONTRACT CLASS -FALL 0015350 45320 429.00 $429.00 12/11/2008 83069 CONSTANCE J. LILLIE CONTRACT CLASS -FALL 0015350 45320 12/11/2008 CONSTANCE J. LILLIE CONTRACT CLASS -FALL 7 72,Op $312.00 0015350 45320 240.00 12/11/2008 83070 VICTORIA CROSS REIMB-CALPERLA CONF 1 0014060 42330 683.75 $683.75 12/11/2008 83071 ICAROL DENNIS PROF.SVCS-SS/CC MTGS 0014030 44000 350.00 $350.00 12/11/2008 83072 DIAMOND BAR POP WARNER COMM ORG SUPPORT FUND 0114010 42355 100.00 $100.00 12/11/2008 83073 IDIANA CHO & ASSOCIATES PROF.SVCS-HIP FROG 0014090 44000 337.50 $337.50 12/11/2008 83074 DMS CONSULTANTS CIVIL ENGINEERS INC N FEE -EN 08-608 12/11/2008 DMS CONSULTANTS CIVIL ENGINEERS INC N FEE -EN 08-608 001 23012 399.00 $10,595.00 12/1112008 DMS CONSULTANTS CIVIL ENGINEERS INC N FEE -EN 08-608 FADMIN 001 34650 -399.00 12/1112008 DMS CONSULTANTS CIVIL ENGINEERS INC FEE -EN 08-608 001 23012 660.50 12/11/2008 DMS CONSULTANTS CIVIL ENGINEERS INC -EN 08-608 001 34650 660.50 12/11/2008 DMS CONSULTANTS CIVIL ENGINEERS INC .SVCS PROF.SVCS-EN 08-608 001 23012 3,990.00 001 1 23012 6,605.00 12/11/2008 83075 EVERGREEN INTERIORS PLANT SVCS -DBC 0015333 45300 12/11/2008 EVERGREEN INTERIORS$552.31 PLANTS -DBC 177.00 12/11/2008 EVERGREEN INTERIORS PLANTS -HERITAGE 0015333 45300 180.24 12/11/2008 EVERGREEN INTERIORS PLANT SVCS -HERITAGE CTR 0015340 45300 60.07 0015340 45300 135.00 12/11/2008 83076 EXCEL LANDSCAPE LANDSCAPE MAINT-NOV 08 1385538 45500 12/11/2008 EXCEL LANDSCAPE LANDSCAPE MAINT-NOV 08 9,428.06 $25,182.88 12/11/2008 EXCEL LANDSCAPE 1395539 45500 11,610.95 LANDSCAPE MAINT-NOV 08 1415541 45500 4,143.87 12/11/2008 1 83077 1EXTERIOR PRODUCTS INC BANNERS -WINTER SNOW FEST 0015350 45300 856.36 $856.36 12/11/2008 83078 FEDEX EXPRESSMAIL-GENERAL 0014090 42120 1 211 1/2 008 FEDEX 94.25 $178.45 12/11/2008 EXPRESS MAIL -GENERAL 0014090 42120 39.09 FEDEX EXPRESS MAIL -GENERAL 0014090 42120 4511 Page 2 Page 3 Fund/ Dept Acct # City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Total Check Amount 112 34850 33.60 $33.60 Check Date Check Number Vendor Name Transaction Description 12/11/2008 83079 GENOVEVA FRANKI IN ., ,�� .,..�.,� _ ..._._ __ ---- - vv cry 1 -FN I-IRANSII PASS PAS 12/11/2008 83080 WILLIAM GIEBE CONTRACT CLASS -FALL 0015350 45320 1,320.00 $1,320.00 12/11/2008 83081 GRAFFITI CONTROL SYSTEMS GRAFFITI REMOVAL-NOV 08 0015230 45520 5,200.00 $5,200.00 12/11/2008 12/11/2008 83082 HALL & FOREMAN, INC. HALL &FOREMAN, INC. PROF.SVCS-EN 04-466 PROF.SVCS-PLAN CHECK $125.00 7_000150551 1 23012 45223 34.27 90.73 12/11/2008 83083 SHARON M HODGES PHOTO CONTEST PRIZE $25.00 001 36900 25.00 12/11/2008 83084 ANNABLE HOU PHOTO CONTEST PRIZE 001 36900 25.00 $25.00 12/11/2008 12/11/2008 12!11/2008 83085 INLAND VALLEY DAILY BULLETIN INLAND VALLEY DAILY BULLETIN INLAND VALLEY DAILY BULLETIN LEGAL AD-CDBG LEGAL AD -FPL 2008-323 LEGAL AD -FPL 2008-327 1255215 001 001 42115 23010 23010 218.75 280.00 331.25 $830.00 12/11/2008 12/11/2008 83086 INTERNATIONAL PAVING SOLUTIONS INTERNATIONAL PAVING SOLUTIONS CONTAINER PAD-PANTERA RETENTION PAYABLE 12/11/2008 83087 JASON FUENTES REIMB-WORK BOOTS $237.04 0015554 41250 237.04 12/11/2008 83088 CHRISTINE JOHNSON FACILITY REFUND -DBC $100.00 001 23002 100.00 12/11/2008 83089 KIDS CAN DO GYMNASTICS CONTRACT CLASS -FALL $99.00 0015350 45320 99.00 12/11/2008 83090 KIMBERLY D MOLINA REIMB-EMPL APPRCTN DNR $609.73 0014090 42325 609.73 12/11/2008 83091 TIMOTHY LAM PHOTO CONTEST PRIZE $100.00 001 36900 100.00 12/11/2008 83092 LANDSCAPE MAINTENANCE UNLIMITED MAINT-HERITAGE PARK $775.00 0015340 42210 775.00 12/11/2008 83093 DEAN LECESNE REIMB-MTG SUPPLIES $115.61 0014415 42325 115.61 12/11/2008 83094 KWANG HO LEE PLNG COMM -10/14 $130.00 0015210 44100 130.00 12/11/2008 83095 LILLEY PLANNING GROUP INC PRnF .qvrc-nrT na Page 3 Fund/ Dept Acct # Amount Total Check Amount 112 34850 33.60 $33.60 2505310 R46415 3,349.90 $4,963.36 250 20300 1,613.46 Page 4 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Transaction DescriptionFund/ Check Date Check Number Vendor Name Dept I Acct # Amount Total Check Amount 12/11/2008 83096 ICOUNTY OF LOS ANGELES Gu inir_ CCCC \/IA o� �r i ��J-v In JVRCLLM UU15510 142110 50.00 $50.00 12/11/2008 83097 MATLOCKASSOCIATES INC CONSULTING SVCS-M/PLAN 1245310 R44300 21,726.441 $21,726.44 12/11/2008 83098 SABRINA MAY PHOTO CONTEST PRIZE 001 36900 25.00 $25.00 12/11/2008 83099 SABRINA MAY PHOTO CONTEST PRIZE 001 36900 25.00 $25.00 12/11/2008 83100 ISURENDRA MEHTA FACILITY REFUND-DBC 001 23002 500.00 $500.00 12/11/2008 83101 METROLINK METROLINK PASSES-OCT O8 1125553 45533 12/11/2008 METROLINK CITY SUBSIDY-OCT 08 77,655.97 $92,524.25 12/11/2008 METROLINK 1125553 45535 18,961.53 PASSES RETURNED-OCT 08 1125553 45535 -4,093.25 12/11/2008 83102 MOBILE RELAY ASSOCIATES INC IRADIO REPEATER-NOV 08 0014090 4624078.75 $78,75 12/11/2008 83103 JEFFERY D MUSA OVER PAYMENT-TRANSIT PASS 112 1 34850 33.60 $33.60 12/11/2008 83104 NADIA NAJERA FACILITY REFUND-DBC 001 23002 500.00 $500.00 12/11/2008 83105 IMARIA NAZARENO FACILITY REFUND-DBC 001 23002 100.00 $100.00 12/11/2008 83106 ISTEVE G NELSON PLNG COMM-10/14 0015210 1 44100 65.00 $65.00 12/1112008 83107 JOAK TREE LANES INC CONTRACT CLASS-FALL 0015350 45320 54.00 $54.00 12/11/2008 83108 IPANTAGES THEATRE EXCURSION-GREASE 3/30/09 0015350 1 45310 1,655.00 $1,655.00 12/11/2008 83109 PERS RETIREMENT FUND SURVIVOR BENEFIT 12/11/2008 PERS RETIREMENT FUND RETIRE CONTRIB-EE 001 21109 46.50 $24,678.90 12/11/2008 PERS RETIREMENT FUND RETIRE CONTRIB-ER 001 21109 9 ,723.51 001 21109 14,908.89 12/11/2008 83110 ALLYSN REGINALDO PHOTO CONTEST PRIZE 001 36900 100.00 $100.00 12/11/2008 83111 ALLYSN REGINALDO PHOTO CONTEST PRIZE 001 36900 100.00 $100.00 12/11/2008 83112 FRANCIS SABADO CONTRACT C CONTRACT LASS rr\LL0015350 45320 1 tan nn c„nn nt) Page 4 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12/1 1/2008 I 83113 LERRYL LYNN SHORT ICONTRACT CLASS -FALL I 0015350 I 45320 1,822.801 $1,8 80 12/11/2008 1 83114 FENGYU SHU PHOTO CONTEST PRIZE 1 001 1 36900 250.00 $250.00 12/11/2008 SOUTHERN CALIFORNIA EDISON ELECT SVCS -DIST 38 1385538 42126 396.95 12/11/2008 1 83115 JFENGYU SHU IPHOTO CONTEST PRIZE 1 001 36900 100.001 $100.00 12/11/2008 SOUTHERN CALIFORNIA EDISON ELECT SVCS -DIST 41 1415541 42126 178.47 12/11/2008 83116 1HEATHER J SMITH IPHOTO CONTEST PRIZE 1 001 1 36900 25.001 $25.00 12/11/2008 83117 SOUTHERN CALIFORNIA EDISON ELECT SVCS -DIST 38 1385538 42126 34.47 $6,154.39 12/11/2008 SOUTHERN CALIFORNIA EDISON ELECT SVCS -DIST 38 1385538 42126 396.95 12/11/2008 83119 SOUTHERN CALIFORNIA EDISON ELECT SVCS -DIST 39 1395539 42126 517.14 $100.00 12/11/2008 SOUTHERN CALIFORNIA EDISON ELECT SVCS -DIST 41 1415541 42126 178.47 12/11/2008 83120 SOUTHERN CALIFORNIA EDISON ELECT SVCS -PARKS 0015340 42126 5,027.36 $212.80 12/11/2008 1 83118 ISTANDARD AND POORS PROF.SVCS-BOND ISSUE 0014090 1 44000 1 2,000.001 $2,000.00 12/1 11200 8 TENNIS ANYONE CONTRACT CLASS -FALL 0015350 1 45320 4,315.50 12/11/2008 83119 ISTATE DISBURSEMENT UNIT SLRY ATTCHMT-BY0426064 001 1 21114 1 100.Ool $100.00 12/11/2008 83120 ISTATE DISBURSEMENT UNIT ISILRY ATTCHMT-000932977 001 1 21114 1 212.801 $212.80 12/11/2008 1 83121 ITANDEM PRIVATE SECURITY SECURITY-EMPL APPRCTN DNR 1 0014090 1 42325 180.001 $180.00 12/11/2008T 83122 TENNIS ANYONE CONTRACT CLASS -FALL 0015350 45320 175.00 $4,490.50 12/1 11200 8 TENNIS ANYONE CONTRACT CLASS -FALL 0015350 1 45320 4,315.50 12/11/2008 83123 DESIREE THOMAS PHOTO CONTEST PRIZE 001 1 36900 1 25.00 $25.00 12/11/2008 TWO HORSE CONSTRUCTION CONSTRUCTION -V -DITCH 2505510 R46416 1 4,968.14 12/11/2008 1 83124 IDESIREE THOMAS PHOTO CONTEST PRIZE 001 1 36900 1 100.00 $100.00 12/11/2008 1 83125 ILIONEL TARIN II IFACILITY REFUND -DBC 001 1 23002 1 700.00 $700.00 12/11/2008 83126 IBENJAMIN TSAI FACILITY REFUND -DBC 001 1 23002 1 100.001 $100.00 12/11/2008 83127 TWO HORSE CONSTRUCTION RETENTION PAYABLE 250 20300 -496.81 $4,471.33 12/11/2008 TWO HORSE CONSTRUCTION CONSTRUCTION -V -DITCH 2505510 R46416 1 4,968.14 12/11/2008 1 83128 JUCN INCLONG DIST SVCS-NOV 08 1 0014090 1 42125 1 50.81 $50.81 Page 5 Page 6 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12/11/2008 I 83129 IVANTAGEPOINT TRNSFR AGNTS-303248 12/12/08-P/R DEDUCTIONS 001 21108 1 25 774 12/1112008 83130 LE HONG WANG CONTRACT CLASS -FALL 0015350 45320 828.00 $828.00 12/11/2008 83131 THERESA WINECKI ICONTRACT CLASS -FALL 0015350 45320 180.00 $180.00 12/11/2008 83132 IPAUL WRIGHT A/V SVCS-CCNCL MTG 12/2 0014090 44000 122.5011 $122.50 12/11/2008 83133 YI TONY TORNG PLNG COMM -10/14 $65.00 0015210 44100 65.00 12/11/2008 83134 BARBARA YODER PHOTO CONTEST PRIZE $100.00 001 36900 100.00 12/18/2008 12/18/2008 12/18/2008 B31135 ADVANTEC CONSULTING ENGINEERS INC ADVANTEC CONSULTING ENGINEERS INC ADVANTEC CONSULTING ENGINEERS INC CONSTRUCTION-B/CYN CONSTRUCTION-G/SPRNGS CONSTRUCTION-PTHFNDR $6,400.00 2505510 2505510 2505510 R46412 R46412 R46412 2,133.33 2,133.33 2,133.34 12/18/2008 83136 JAJAX SIGN GRAPHICS INC. ENGRAVING SVCS -BADGES $27.32 0014090 41200 27.32 12/18/2008 12/18/2008 83137 MARILYN ALLEN MARILYN ALLEN RECREATION REFUND RECREATION REFUND $226.00 001 001 34730 34730 54.00 172.00 12/18/2008 83138 JAMERICOMP GROUP INC SUPPLIES -TONERS $532.59 0014070 45000 532.59 12/18/2008 83139 AMERITECH BUSINESS SYSTEMS INC COPIER MAINT-NOWDEC 08 $860.86 0014090 42100 860.86 12/18/2008 83140 ARCHITERRA DESIGN GROUP INC CONSTRUCTION-SYC CYN PK $2,596.00 2505310 R46415 2,596.00 12/18/2008 83141 ARMIJO NEWSPAPER & PR AD -NOVEMBER 08 $187.50 0014095 42115 187.50 12/18/2008 83142 IBEE REMOVERS BEE REMOVAL-EVERGRN SPRNG $105.00 1385538 1 42210 1105.00 12/18/2008 83143 WILLIAM BRYAN RECREATION REFUND $79.00 001 34740 79.001 12/18/2008 83144 FRANCES CARTY RECREATION REFUND $54.00 001 34730 1 54.00 12/18/2008 83145 ICECILIA ARELLANO REIMB-3CMA runic 2R7 01 I 0014095 1 42330 1 67.011 Page 6 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount 108.001 I Total Check Amount $108 00 12/1131200801311+0 I I CEN I ER ICE SKATING ING ARENA (CONTRACT CLASS -FALL I 0015350 45320 12/18/2008 1 83147 WAYNE CHEN FACILITY REFUND -DBC 001 1 23002 1 500.001 $500.00 12/18/2008 83148 IT:M CHENG FACILITY REFUND -DBC 001 23002 550.0012/18/2008 $344.43 12/18/2008 TM CHENG IFACILITY REFUND -DBC 001 36810 -20.00 $571.56 12/18/2008 83149 ICHINO HILLS FORD IVEH MAINT-ROAD MAINT 1 0015554 1 42200 344.431 $344.43 12/18/2008 VICTORIA CROSS REIMB-CA JPCONF 0014060 42330 3.65 $571.56 12/18/2008 83150 ICHRISTIN J MURPHEY REIMB-TUITION 0015310 1 42340 1,500.00 $1,500.00 12/18/2008 83151 CITY OF WALNUT ITEEN SUPPORT GROUP PRO G 1264411 1 44000 4,600.001 $4,600.00 12/18/2008 1 83152 ICOMLOCK SECURITY GROUP SUPPLIES -PARKS 0015340 1 41200 156.241—$156.24 $64.00 12/18/2008 83153 VICTORIA CROSS REIMB-CALPERS FORUM 0014060 42330 114.74 $118.39 12/18/2008 VICTORIA CROSS REIMB-CA JPCONF 0014060 42330 3.65 $571.56 12/18/2008 83154 DAVID EVANS AND ASSOCIATES INC CONSTRUCTION-SYC CYN PK 2505310 1 R46415 258.56 $258.56 12/1812008 DH MAINTENANCE JANITORIAL SVCS -DBC DEC 0015333 45300 12,250.83 $571.56 12/18/2008 83155 DAY & NITE COPY CENTER IPRINT SVCS -COMM SVCS 0015350 42110 1 318.201 $318.20 12/18/2008 83156 ICAROL DENNIS PROF.SVCS-P&R MTG 0015310 1 44000 1 100.001 $100.00 12118/2008 83157 IDEPARTMENT OF JUSTICE PRE-EMPLOYMENT FINGERPRNT 1 0014060 1 42345 1 64.001 $64.00 12/18/2008 83158 DH MAINTENANCE ADDL MAINT-DBC NOV 0015333 45300 125.00 $13,111.00 12/1812008 DH MAINTENANCE JANITORIAL SVCS -DBC DEC 0015333 45300 12,250.83 $571.56 12/18/2008 DH MAINTENANCE JANITORIAL SVCS -PARKS 0015340 42210 735.17 12/18/2008 83159 DIAMOND BAR HAND CAR WASH CAR WASH-NGHBRHD IMP 0015230 42200 23.98 $139.88 12/18/2008 83161 DIAMOND BAR HAND CAR WASH CAR WASH -POOL VEH 0014090 42200 89.92 $571.56 1 2/1 812 008 DIAMOND BAR HAND CAR WASH CAR WASH -COMM SVCS 0015310 42200 25.98 12/18/2008 83160 DIAMOND BAR INTERNATIONAL DELI JMTG SUPPLIES -GENERAL 0014090 42325 190.00 $190.00 12/18/2008 83161 DIAMOND BAR MOBIL FUEL -COMM SVCS 0015310 42310 476.32 $571.56 Page 7 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name DIAMOND BAR MOBIL Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12/18/2008 12/18/2008 83161.•• IVEH MAIN -POOL VEH I 0014090 I 422 0 I 12.00I $571.56 ... 12/18/2008 83162 DIAMOND BAR PETTY CASH MTG-CMGR 0014030 42325 9.00 $318.82 12/18/2008 DIAMOND BAR PETTY CASH MTG-PLNG 0015210 42325 10.00 12/18/2008 DIAMOND BAR PETTY CASH MTG SUPPLIES -GENERAL 0014090 42325 23.94 12/18/2008 DIAMOND BAR PETTY CASH FUEL -COMM SVCS 0015310 42310 8.31 12/18/2008 DIAMOND BAR PETTY CASH SUPPLIES -DBC 0015333 41200 16.21 12/18/2008 DIAMOND BAR PETTY CASH SUPPLIES -COMM SVCS 0015310 41200 4.32 12/18/2008 DIAMOND BAR PETTY CASH SUPPLIES-P/INFO 0014095 41200 26.46 12/18/2008 DIAMOND BAR PETTY CASH MTGS-P/WORKS 0015510 42325 15.00 12/18/2008 DIAMOND BAR PETTY CASH SUPPLIES -GENERAL 0014090 41200 39.19 12/18/2008 DIAMOND BAR PETTY CASH NOTARY FEE-PM/ORKS 0015510 42340 25.00 12/18/2008 DIAMOND BAR PETTY CASH SUPPLIES -RECYCLE 1155516 41200 40.00 12/18/2008 DIAMOND BAR PETTY CASH MTG-COUNCIL 0014010 42325 5.00 12/18/2008 DIAMOND BAR PETTY CASH MTG-COUNCIL 0014010 42325 5.00 12/18/2008 DIAMOND BAR PETTY CASH SUPPLIES -DBC 0015333 41200 16.77 12/18/2008 DIAMOND BAR PETTY CASH MTG-CITY CLERK 0014030 42325 22.00 12/18/2008 DIAMOND BAR PETTY CASH MTG-P/WORKS 0015510 42325 9.00 12/18/2008 DIAMOND BAR PETTY CASH VEH MAINT-ROAD MAINT 0015554 42200 19.46 12/18/2008 DIAMOND BAR PETTY CASH TRNG-FINANCE 0014050 42340 9.00 12/18/2008 DIAMOND BAR PETTY CASH SUPPLIES -GENERAL 1 0014090 42325 15.16 12/18/2008 83163 DMS CONSULTANTS CIVIL ENGINEERS INC ADMIN FEE -EN 08-608 001 23012 1,672.00 $16,720.00 12/18/2008 DMS CONSULTANTS CIVIL ENGINEERS INC ADMIN FEE -EN 08-608 001 34650 -1,672.00 12/18/2008 DMS CONSULTANTS CIVIL ENGINEERS INC PROF.SVCS-EN 08-608 001 23012 16,720.00 12/18/2008 1 83164 JE J DE LA ROSA AND COMPANY INC IREMARKETING FEES 1 0014090 1 42129 1 6,380.001 $6,380.00 12/18/2008 83165 EXCEL LANDSCAPE ADDL MAINT-DIST 38 1385538 1 42210 1 420.00 !n78 12/18/2008 1EXCELLANDSCAPE 1ADDL MAINT-DIST 41 1415541 42210 452.78 12/18/2008 83166 EXPRESS MAIL CORPORATE ACCOUNT EXPRESS MAIL -GENERAL 0014090 42120 16.00 $64.00 12/18/2008 EXPRESS MAIL CORPORATE ACCOUNT EXPRESS MAIL -FPL 2008-327 001 23010 16.00 12/18/2008 EXPRESS MAIL CORPORATE ACCOUNT EXPRESS MAIL -FPL 2008-327 001 23010 16.00 12/18/2008 EXPRESS MAIL CORPORATE ACCOUNT EXPRESS MAIL -FPL 2008-323 001 23010 16.00 Page 8 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 12/18/2008 83171 HALL & FOREMAN, INC. PROF.SVCS-EN 06-514 001 23012 375.00 $375.00 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12/18/2008 1 83167 IFEDEX HALL & FOREMAN, INC. 1EXPRESS MAIL -GENERAL 0014090 1 42120 1 150.261 $150.26 12/18/2008 1 83168 IGO LIVE TECHNOLOGY INC PROF.SVCS-CITY VIEW 12/12 0014070 1 R44000 1 4,050.001 $4,050.00 12/18/2008 1 83169 GFOA CAFR REVIEW FEE 0014050 1 44000 1 415.001 $415.00 12/18/2008 1 83170 IGOVPARTNER IREQUEST PARTNER -DEC 08 0014070 1 44030 1 850.00 $850.00 12/18/2008 83171 HALL & FOREMAN, INC. PROF.SVCS-EN 06-514 001 23012 375.00 $375.00 12/18/2008 1 HALL & FOREMAN, INC. ADMIN FEE -EN 06-514 001 23012 93.75 12/18/2008 83173 HALL & FOREMAN, INC. ADMIN FEE -EN 06-514 001 34650 -93.75 $4,816.00 12/18/2008 1 83172 ICAROLYN HANSEN IFACILITY REFUND -HERITAGE 1 001 1 34760 1 345.00 $345.00 12/18/2008 1 HINDERLITER, DE LLAMAS & ASSOCIATES AUDIT SVCS -SALES TAX 2ND 0014090 44010 6,225.25 12/18/2008 1 83173 IHARDY & HARPER INC SUPPLIES -ROAD MAINT 1 0015554 1 45504 1 4,816.001 $4,816.00 12/18/2008 1 83174 ISUSAN HARRIS FACILITY REFUND -DBC 1 001 1 36615 1 495.00 $495.00 12/18/2008 83175 HINDERLITER, DE LLAMAS & ASSOCIATES CONTRACT SVCS -4TH QTR'00 0014090 44010 900.00 $8,987.01 12/18/2008 1 HINDERLITER, DE LLAMAS & ASSOCIATES AUDIT SVCS -SALES TAX 2ND 0014090 44010 6,225.25 12/18/2008 83178 HINDERLITER, DE LLAMAS & ASSOCIATES AUDIT SVCS -DOC TAX 0014090 44010 1,861.76 $171.50 12/18/2008 1 83176 HOME DEPOT CREDIT SERVICES SUPPLIES -PARKS 0015340 1 42210 218.44 !n24 12/18/2008 1 HOME DEPOT CREDIT SERVICES SUPPLIES -RECREATION 0015350 1 41200 244.80 12/18/2008 1 83177 1JENNIFER HSU RECREATION REFUND 1 001 1 34780 1 40.001 $40.00 12/18/2008 JINLAND INLAND VALLEY HUMANE SOCIETY FACILITY ASSESSMENT -JAN 0014431 45403 1,458.33 12/18/2008 1 83178 1INDUSTRIAL CLERICAL RECRUITERS INC TEMP SVCS -COMM SVCS 1 0015310 1 44000 1 171.50 $171.50 12/18/2008 1 83179 JINLAND EMPIRE MAGAZINE AD -DBC DEC 08 10014095 1 42115 1 2,095.00 $2,095.00 12/18/2008 1 83180 JINLAND VALLEY DAILY BULLETIN LEGAL AD -FPL 2008-366 1 001 1 23010 1 287.50 $287.50 12/18/2008 83181 VALLEY HUMANE SOCIETY ANIMAL CONTROL SVCS -JAN 0014431 45403 8,314 .75 $9 ,773.08 12/18/2008 JINLAND INLAND VALLEY HUMANE SOCIETY FACILITY ASSESSMENT -JAN 0014431 45403 1,458.33 Page 9 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount I 12/18/2008 83182 JENKINS & HOGIN, LLP GEN LEGAL SVCS-NOV 08 0014020 44020 3,506.60 $6,819.82 12/18/2008 41200 JENKINS & HOGIN, LLP LEGAL SVCS -COM DEV NOV 0014020 44020 124.60 12/18/2008 SUPPLIES -GENERAL JENKINS & HOGIN, LLP LEGAL SVCS-PNVORKS NOV 0014020 44020 3,008.20 1 2/1 812 00 8 JENKINS & HOGIN, LLP LEGAL SVCS -SCRIBBLES 0014020 44021 91.42 1 2/1 812 00 8 JENKINS & HOGIN, LLP LEGAL SVCS -FINANCE NOV 0014020 44020 89.00 12/18/2008 1 83183 JOE A. GONSALVES & SON INC. ILEGISLATIVE SVCS -DEC 08 0014030 1 44000 1 3,000.001$3,000.00 12/18/2008 83184 KENS HARDWARE SUPPLIES -PARKS 0015340 42210 219.62 $394.73 12/18/2008 KENS HARDWARE SUPPLIES -DBC 0015333 41200 116.84 12/18/2008 83186 KENS HARDWARE SUPPLIES -GENERAL 0014090 41200 45.20 $3,430.00 12/18/2008 KENS HARDWARE SUPPLIES -COMM SVCS 0015310 42200 13.07 12/18/2008 1 83185 ILA DATA SECURITY JDATA STORAGE SVCS-NOV 1 0014070 1 45000 1 640.001 $640.00 12/18/2008 LDM ASSOCIATES INC. PROF.SVCS-HIP PROG AUG 1255215 1 44000 1 2,250.00 12/18/2008 1 83186 ILAE ASSOCIATES INC PROF.SVCS-ENGINEERING 1 0015551 1 45221 1 3,430.001 $3,430.00 12/18/2008 83187 LDM ASSOCIATES INC. PROF.SVCS-HIP PROG OCT 1255215 44000 1 4,668.75 $6,918.75 12/18/2008 LDM ASSOCIATES INC. PROF.SVCS-HIP PROG AUG 1255215 1 44000 1 2,250.00 12/18/2008 1 83188 IYUNG JOO LEE IFACILITY REFUND -DBC 001 123002 1 80.001 $80.00 12/18/2008 83189 LEIGHTON & ASSOCIATES, INC. PROF.SVCS-EN 03-397 001 23012 300.00 $2,699.67 12/18/2008 LEIGHTON & ASSOCIATES, INC. ADMIN FEE -EN 03-397 001 23012 54.00 12/18/2008 LEIGHTON & ASSOCIATES, INC. ADMIN FEE -EN 03-397 001 34650 -54.00 12/18/2008 LEIGHTON & ASSOCIATES, INC. PROF.SVCS-EN 08-624 001 23012 396.30 12/18/2008 LEIGHTON & ASSOCIATES, INC. ADMIN FEE -EN 08-624 001 23012 71.33 12/18/2008 LEIGHTON & ASSOCIATES, INC. ADMIN FEE -EN 08-624 001 34650 -71.33 12/18/2008 LEIGHTON & ASSOCIATES, INC. PROF.SVCS-ENGINERRING 0015510 45221 990.80 12/18/2008 LEIGHTON & ASSOCIATES, INC. PROF.SVCS-EN 08-621 001 23012 224.57 12/18/2008 LEIGHTON & ASSOCIATES, INC. ADMIN FEE -EN 08-621 001 23012 40.42 12/18/2008 LEIGHTON & ASSOCIATES, INC. ADMIN FEE -EN 08-621 D01 34650 -40.42 12/18/2008 LEIGHTON & ASSOCIATES, INC. PROF.SVCS-EN 08-621 001 23012 788.00 12/18/20D8 LEIGHTON & ASSOCIATES, INC. ADMIN FEE -EN 08-621 001 23012 141.84 12/18/2008 LEIGHTON & ASSOCIATES, INC. 1ADMIN FEE -EN 08-621 001 34650 -141.84 Page 10 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12/18/2008 8_3190 ILEWIS ENGRAVING INC MTA PASSES -OCT 08 1125553 45535 3,013.10 12/18/2008 LOS ANGELES COUNTY MTA EiJviwViivG SVCS -TILES 0074090 42113 106.63 $153.72 12/18/2008 I ILEWIS ENGRAVING INC. (ENGRAVING SVCS -TILES I 0014090 I 42113 I 47.09I 12/18/2008 1 83191 IDENISE LINDHOLM FACILITY REFUND -DBC 001 23002 1100.001 $100.00 12/18/2008 83192 LOS ANGELES COUNTY MTA MTA PASSES -SEPT 08 1125553 45535 3,272.00 $14,107.50 12/18/2008 LOS ANGELES COUNTY MTA MTA PASSES -OCT 08 1125553 45535 3,013.10 12/18/2008 LOS ANGELES COUNTY MTA MTA PASSES-NOV 08 1125553 45535 2,541.00 12118/2008 LOS ANGELES COUNTY MTA CITY SUBSIDY -DEC 08 1125553 45533 607.85 12118/2008 LOS ANGELES COUNTY MTA MTA PASSES -DEC 08 1125553 45535 1,992.65 12/18/2008 LOS ANGELES COUNTY MTA CITY SUBSIDY -SEPT 08 1125553 45533 998.00 12/18/2008 LOS ANGELES COUNTY MTA CITY SUBSIDY -OCT 08 1125553 45533 893.90 12/18/2008 ILOS ANGELES COUNTY MTA CITY SUBSIDY-NOV 08 1125553 45533 789.00 12/18/2008 83193 ILOS ANGELES COUNTY PUBLIC WORKS ISUMP PUMP MAINT-OCT 08 1 0015340 1 42210 437.671—$437.67 12/18/2008 83194 LOS ANGELES COUNTY SHERIFF'S DEPT. TRANSIT SALES -OCT 08 1125553 45402 136.63 $22,272.30 12/1812008 LOS ANGELES COUNTY SHERIFF'S DEPT. CONTRACT SVCS -OCT 08 0014411 1 45401 1 22,135.67 12/18/2008 83195 MCE CORPORATION ROAD MAINT SVCS -OCT 08 0015554 45502 9,322.19 $11,306.43 12/18/2008 83200 MCE CORPORATION RIGHT-OF-WAY MAINT-OCT 0015554 45522 1,508.56 12/18/2008 MCE CORPORATION STORM DRAIN MAINT-OCT 0015554 45512 475.68 12/18/2008 83196 METROLINK CITY SUBSIDY -DEC 08 1125553 45533 13,746.20 $67,211.50 12/18/2008 83200 METROLINK METROLINK PASSES -DEC 08 1125553 45535 62,172.55 12/18/2008 METROLINK PASSES RETURNED -DEC 08 1125553 45535 -8,707.25 12/18/2008 83197 IMINUTEMAN PRESS R & D BLUEPRINT IPRINT SVCS -EN 08-601 001 1 23012 1 17.671$17.67 12/18/2008 83198 MOBILE INDUSTRIAL SUPPLY INCORP EQ RENTAL -DBC 0015333 41200 85.00 $130.00 12/18/2008 83200 MOBILE INDUSTRIAL SUPPLY INCORP SUPPLIES -DBC 0015333 1 41200 45.00 12/18/2008 I 83199 YOLANDA MURILLO FACILITY REFUND -DBC 001 23002 inn nn Q 100.00 12/18/2008 83200 NATIONAL ARBOR DAY FOUNDATION MEMBERSHIP DUES -2009 0015350 1 42315 1 15.001$15.00 Page 11 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date ICheck Number) Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12/18/2008 1 83201 NFXTEL COMMI IMICATIr1MS - -- - - - - • • IAM nu A nr �� .., N i 1nnvw-ri vv,Cia,CID UU14U90 1 42130 1 510.281 $510.28 12/18/2008 12/18/2008 12/18/2008 12/18/2008 12/18/2008 12/18/2008 12/18/2008 12/18/2008 83202 1 NORRIS REPKE INC NORRIS REPKE INC NORRIS REPKE INC NORRIS REPKE INC NORRIS REPKE INC NORRIS REPKE INC NORRIS REPKE INC INORRIS REPKE INC SLURRY SEAL -AREA 5 PROF.SVCS-EN 08-608 PROF.SVCS-EN 08-608 SLURRY SEAL -AREA 4 ADMIN FEE -EN 08-608 ADMIN FEE -EN 08-608 ADMIN FEE -EN 08-608 ADMIN FEE -EN 08-608 2505510 001 001 2505510 001 001 001 001 46411 23012 23012 R46411 23012 34650 23012 34650 12,955.00 1,000.00 7,335.00 4,405.00 100.00 -100.00 733.50 -733.50 $25,695.00 12/18/2008 12/18/2008 12/18/2008 12/18/2008 12/18/2008 83203 OFFICEMAX INC OFFICEMAX INC OFFICEMAX INC OFFICEMAX INC OFFICEMAX INC SUPPLIES -GENERAL SUPPLIES -GENERAL SUPPLIES -DBC SUPPLIES -DBC SUPPLIES-P/WORKS 0014090 0014090 0015333 0015333 0015510 41200 41200 41200 41200 41200 114.61 61.25 268.80 636.78 4.68 $1,086.12 12/18/2008 83204 OLYMPIC STAFFING SERVICES TEMP SVCS-C/SVCS WK 12/7 0015310 44000 238.321 $238.32 12/18!2008 83205 YOUNG PARK FACILITY REFUND -DBC 001 23002 100.00 $100.00 12/18/2008 1 83206 IPASCO MAINT-DBC 0015333 42210 217.89 $217.89 12/18/2008 12/18/2008 83207 JBINDI PATEL BIND[ PATEL FACILITY REFUND -DBC FACILITY REFUND -DBC 00, 00, 23002 36810 1,800.00 -400.00 $1,400.00 12/18/2008 83208 IROHIT PATEL FACILITY REFUND -DBC 001 1 23002 500.00 $500.00 12/18/2008 12/18/2008 12/18/2008 12/18/2008 83209 POUK & STEINLE INC POUK & STEINLE INC POUK & STEINLE INC POUK &STEINLEINC RETENTION PAYABLE TRFFC SIGNAL -LEMON AVE TRFFC SIGNAL-PTHFNDER RD TRFFC SIGNAL -DB BLVD 250 2505510 2505510 2505510 20300 R46412 R46412 R46412 -10,065.00 36,700.00 56,200.00 7,750.00 $90,585.00 12/18/2008 1 12/18/2008 83210 PROTECTION ONE INC PROTECTION ONE INC ALARM SVCS -DBC ALARM SVCS -HERITAGE 0015333 0015340 42210 42210 52.50 74.76 $127.26 Page 12 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept 920.001 ncoon nn WV�V.VV 1 Acct # Amount Total Check Amount 12/18/200883211 12/18/2008 I 83215 IR F DICKSON COMPANY IR F DICKSON COMPANY (DEBRIS cToam:r elniffooi. " , . .,..ffPING SVCS -OCT SVCS -OCT 08 0015554 I 1155515 45501 I 45500 9,565.85 I 3,052.5 61 $12,618.41 12/18/2008 83212 IREINBERGER PRINTWERKS PRINT SVCS -BUS CARDS 0014095 42110 226.241 $226.24 12/18/2008 12/18/2008 12/18/2008 12/18/2008 83213 REPUBLIC ELECTRIC REPUBLIC ELECTRIC REPUBLIC ELECTRIC REPUBLIC ELECTRIC TRAFFIC MAINT-CARPIO TRAFFIC MAINT-MONTEFINO TRAFFIC MAINT-DBB/TEMPLE TRAFFIC MAINT-PROSPECTORS 0015554 0015554 0015554 0015554 920.001 ncoon nn WV�V.VV 45507 45507 45507 45507 19,989.86 3,159.66 555.75 2,689.52 $26,394.79 12/18/2008 I 83214 IRJM DESIGN GROUP INC CONSTRCTN-PANTERA STRG 2505310 R46415 920.001 ncoon nn WV�V.VV SIMPLEX / GRINNELL INC 12/18/2008 1 12/18/2008 SIMPLEX / GRINNELL INC 12/18/2008 1 12/18/2 83215 S C SIGNS & SUPPLIES LLC IS C SIGNS & SUPPLIES LLC 308.46 ROAD MAINT SUPPLIES ROAD MAINT SUPPLIES RETROFIT SPRINKLER SYSTM 0015554 0015554 20300 -856.80 1 41250 41250 PROF SVCS SPRINKLER SYS 508.58 380.14 $888.72 12/18/2008 1 83216 12/18/2008 1 83217 SAMSON TRANSPORTATION 12/18/2008 I 83218 JSECTRAN SECURITY INC. SIMPSON ADVERTISING INC 12/18/2008 I 12/18/2008 83219 SIMPLEX / GRINNELL INC 12/18/2008 1 12/18/2008 SIMPLEX / GRINNELL INC 12/18/2008 83220 SIMPSON ADVERTISING INC 12/18/2008 I $79.00 SIMPSON ADVERTISING INC 1 001 23012 12/18/2008 83221 SARABDAYAL SINGH IREC REFUND 001 34740 79.00 $79.00 PROF. SVCS -EN -06-514 1 001 23012 1.800 00 $1 800.00 COURIER SVCS. 0014090 44000 308.46 $308.46 RETROFIT SPRINKLER SYSTM 001 20300 -856.80 $7,711.20 PROF SVCS SPRINKLER SYS 0014070 R46250 8,568.00 0015350 DBC -AD 0014095 44000 637.89 $2,262.89 GRAPHIC DESIGN SERVICES - 0014095 44000 1,625.00 GRAND VIEW REFUND -DBC 001 36615 400.00 AAnn nn 12/18/2008 83222 SMART & FINAL SUPPLIES -DB YOUTH 0015350 12/18/2008 SMART & FINAL SUPPLIES -PARK 0015350 12/18/2008 SMART & FINAL SUPPLIES -BINGO 0015350 12/18/2008 SMART & FINAL SUPPLIES -TINY TOTS 0015350 12/18/2008 SMART & FINAL REC-SUPPLIES 0015350 12/18/2008 SMART & FINAL REC-SENIOR EVENTS 0015350 41200 66.78 $792,88 41200 199.60 41200 189.45 41200 12.90 41200 173.90 41200 150.25 12/18/2008 83223 SOUTHERN CALIFORNIA EDISON ELECT SVCS -TRAFFIC CONTRL 0015510 1 42125 935.10 $1,611.88 Page 13 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12/18/2008 83223... I3UU I HERN CALIFORNIA EDISON JELECT SVCS -TRAFFIC CONTRL I 0015510 1 42126 1 676.781 $1,611.88.. 1 12/18/2008 1 83224 ISTUBBIES PROMOTIONS PROMO ITEMS -PUBLIC INFO 1 0014095 1 41400 1 1,382.931$1,382.93 $747.75 12/18/2008 THE SAN GABRIEL VALLEY NEWSPAPER GR LEGAL AD-FPL2008323 001 23010 235.50 12/18/2008 1 83225 IVIRGINIA TALLEY IGRAND VIEW -REFUND 1 001 1 23002 1 500.001 $500.00 12/18/2008 VERIZON CALIFORNIA PH.SVCS-HERITAGE P/PH 0015340 42125 24.47 12/18/2008 1 83226 ITHE COMDYN GROUP INC PROF.SVCS-GIS WK 12/5 1 0014070 1 44000 1 1,411.201 $1,411.20 12/18/2008 83227 THE SAN GABRIEL VALLEY NEWSPAPER GR LEGAL AD-FPL2008327 001 23010 290.50 $747.75 12/18/2008 THE SAN GABRIEL VALLEY NEWSPAPER GR LEGAL AD-FPL2008323 001 23010 235.50 12/18/2008 83231 THE SAN GABRIEL VALLEY NEWSPAPER GR LEGAL AD-CDBG 1255215 42115 221.75 $50.00 12/18/2008 83228 LEONARD THEODORUS FACILITY REFUND-PANTERA 001 23002 200.00 $225.00 12/18/2008 LEONARD THEODORUS FACILITY REFUND-PANTERA 001 36625 25.00 12/18/2008 83229 TIME WARNER CABLE SERVICES (INTERNET 0014070 44030 352.48 $399.43 12/18/2008 TIME WARNER MODEM SVCS 0014010 42130 1 46.95 12/18/2008 83230 TRI -CITIES POOL SERVICE & REPAIR IMTH FOUNTAIN MAINT-DBC 0015333 1 45300 1 160.001 $160.00 12/18/2008 VERIZON CALIFORNIA PH.SVCS-DBC 0015333 42125 87.94 12/18/2008 83231 IBENJAMIN TSAI IFACILITY REFUND -DBC 1 001 1 36615 1 50.001 $50.00 12/18/2008 VERIZON CALIFORNIA PH.SVCS-HERITAGE P/PH 0015340 42125 24.47 12/18/2008 83232 JUNITED PARCEL SERVICE 1EXPRESS MAIL -GENERAL 1 0014090 1 42120 1 21.031 $21.03 12/18/2008 VERIZON CALIFORNIA PH.SVCS-GENERAL 0014090 42125 470.59 12/18/2008 83233 JURBAN FUTURES INC JECON DEV SVCS-NOV 08 1 0014096 1 44000 1 675.001 $675.00 12/18/2008 VERIZON CALIFORNIA PH. SVCS DIAL MODEM 0014090 1 42125 70.96 12/18/2008 1 83234 JUS HEALTHWORKS MEDICAL GROUP PC PRE-EMPLOYMENT PHYSICAL 1 0014060 1 42345 1 123.001 $123.00 12/18/2008 83235 VERIZON CALIFORNIA PH.SVCS-DIAL IN MODEM 0014090 42125 4.06 $827.84 12/18/2008 VERIZON CALIFORNIA PH.SVCS-DBC 0015333 42125 87.94 12118/2008 VERIZON CALIFORNIA PH.SVCS-HERITAGE PK 0015340 42125 52.07 12/18/2008 VERIZON CALIFORNIA PH.SVCS-HERITAGE P/PH 0015340 42125 24.47 12/1812008 VERIZON CALIFORNIA PH.SVCS-PETERSON 0015340 42125 87.94 12/18/2008 VERIZON CALIFORNIA PH.SVCS-GENERAL 0014090 42125 470.59 12/1812008 VERIZON CALIFORNIA PH.SVCS-GENERAL 0014090 42125 29.81 12/18/2008 VERIZON CALIFORNIA PH. SVCS DIAL MODEM 0014090 1 42125 70.96 Page 14 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date I Check Number) Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount 12/18/2008 83236 MYRONVILLANUFVA rnniiM--1—.. --- I I - i nGf VrvU-UD1� UU1 23002 100.00 $100.00 12/18/2008 83237 WALNUT VALLEY UNIFIED SCHOOL DIST FAC. RENTAL -QUAIL SUMMIT 0015350 42140 480.001 $480.00 12/18/2008 12/18/2008 83238 WALNUT VALLEY WATER DISTRICT WALNUT VALLEY WATER DISTRICT WATER SVCS-DIST#38 WATER SVCS-DIST#39 1385538 42126 7,402.38 $18,488.79 12/18/2008 WALNUT VALLEY WATER DISTRICT WATER SVCS-DIST#41 1395539 42126 2,433.90 12/18/2008 WALNUT VALLEY WATER DISTRICT WATER SVCS -PARKS 1415541 0015340 42126 42126 1,874.39 12/18/2008 WALNUT VALLEY WATER DISTRICT WATER SVCS -DBC 0015333 42126 6,531.89 12/18/2008 WALNUT VALLEY WATER DISTRICT UTILITIES -EASE GATE COMM 0014440 42126 167.93 78.30 12/18/2008 83239 WEST COACH CORPORATION ICOUNCIL NAME PLATES 10014090 1 41200 1 43.30 $43.30 Page 15 City of Diamond Bar - Check Register 12/11/08 thru 12/30/08 Check Date Check Number Vendor Name Transaction Description Fund/ Dept Acct # Amount Total Check Amount i 12/30/2008 I 83245 IBENESYS I 112/26/08-P/R DEDUCTIONS 001 I 21105 I 702.481 $702.48 12/30/2008 83246 PERS RETIREMENT SURVIVOR BENEFIT 001 21109 8.00 $537.16 12/30/2008 PERS RETIREMENT RETIRE CONTRIB-EE 001 21109 208.88 12/30/2008 PERS RETIREMENT RETIRE CONTRIB-ER 001 21109 320.28 12/30/2008 83247 PERS RETIREMENT FUND SURVIVOR BENEFIT 001 21109 46.50 $24,511.57 12/30/2008 PERS RETIREMENT FUND RETIRE CONTRIB-EE 001 21109 9,657.45 12/30/2008 PERS RETIREMENT FUND RETIRE CONTRIB-ER 001 21109 14,807.62 12/30/2008 1 83248 IVANTAGEPOINT TRNSFR AGNTS-303248 12/12/08-P/R DEDUCTIONS 001 21108 3,502.051 $3,502.05 $917,670.32 Page 16 CITY COUNCIL regi► TO: Honorable Mayor and Members of the City Council VIA: ,James DeStefano, City Ma a r TITLE: Treasurer's Statement — Novemb r 2008 RECOMMENDATION: Approve the November 2008 Treasurer's Statement. FINANCIAL IMPACT: No Fiscal Impact BACKGROUND: Agenda # 6.3 Meeting Date: Jan. 6, 2009 AGENDA REPORT Per City policy, the Finance Department presents the monthly Treasurer's Statement for the City Council's review and approval. This statement shows the cash balances for the various funds, with a breakdown of bank account balances, investment account balances, and the effective yield earned from investments. This statement also includes a separate investment portfolio report which details the activities of the investments. All investments have been made in accordance with the City's Investment Policy. PREPARED BY: Linda G. Magnuson, Finance Director Depa ent Head Attachments: Treasurer's Statement, Investment Portfolio Report -0Q Assistant City Manager CITY OF DIAMOND BAR TREASURER'S MONTHLY CASH STATEMENT November 30, 2008 TOTAL INVESTMENTS $36,044,555.48 TOTAL CASH $35,573,245.73 Note: The City of Diamond Bar is invested in the State Treasurer's Local Agency Investment Fund. The account's funds are available for withdrawal within 24 hours. In addition, the City has started investing in longer term investments. These investments are detailed on the attached Investment Report. All investments are placed in accordance with the City of Diamond Bar's Investment Policy. The above summary provides sufficient cash flow liquidity to meet the next six month's estima ex n ' res. James DeStefano, reasurer BEGINNING BALANCE RECEIPTS pISSURSEMENTS TRANSFERS OUT ENDING IN BALANCE GENERAL FUND LIBRARY SERVICES FUND $29,862,575.14 842,376.10 $1,352,371.98 $436,792.13 $29,789,371.39 COMMUNITY ORG SUPPORT FD 0.00 2,735.32 0.00 GAS TAX FUND 77,125.22 850.00 1,885.32 TRANSIT TX (PROP A) FD 1,074,401.86 150,959.37 669,958.09 (395,337.66) 13,967.51 TRANSIT TX (PROP C) FD 1,785,408.95 74,044.80 555,403.14 ISTEA Fund 0.00 1,859,453.75 INTEGRATED WASTE MGT FD TRAFFIC IMPROVEMENT FUND 339,319.24 5,373.20 12,180.91 (41,454.47) 0.00 291,057.06 348,257.32 AB2928-TR CONGESTION RELIEF FD 111,844.00 348,257.32 AIR QUALITY IMPRVMNT FD 94,791.75 111,844.00 TRAILS & BIKEWAYS FD 0.00 94,791.75 Prop 1B Bond Fund 933,106.36 0.00 PARK FEES FD 413,617.88 933,106.36 PROP A - SAFE PARKS ACT FUND (17,792.00) 413,617.88 PARK &FACILITIES DEVEL. FD 742,618.69 (17,792.00) COM DEV BLOCK GRANT FD (26,797.64) 80,627.00 26,071.00 3,015.50 716,547.69 CITIZENS OPT -PUBLIC SAFETY FD 75,799.81 50,813.86 NARCOTICS ASSET SEIZURE FD 359,474.29 75,799.81 CA LAW ENFORCEMENT EQUIP PRGI 80,632.98 359,474.29 LANDSCAPE DIST #38 FD LANDSCAPE DIST #39 FD (27,379.36) 4,886.97 26,858.14 80,632.98 (49,350.53) LANDSCAPE DIST #41 FD (41,982.95) 1,876.75 54,293.75 1,031.72 20,341.00 (60,447.71 GRAND AV CONST FUND 0.00 11,993.76 43,331.71 CAP IMPROVEMENT PRJ FD SELF INSURANCE FUND (546.958.56) 1,341,297.01 0.00 (1,888,255.57) EQUIPMENT REPLACEMENT FUND 1,112,965.74 223,843.45 1,112,965.74 COMPUTER REPLACEMENT FUND 357,826.27 223,843.45 PUBLIC FINANCING AUTHORITY FUNI 166,516.86 33,563.23 44,980.34 357,826.27 TOTALS $37 811 299.10 $1 271 864.36155,099.75 $3 509 917.73 $ 0.00 $35 573 245.73 SUMMARY OF CASH: DEMAND DEPOSITS: GENERAL ACCOUNT ($514,164.21) PAYROLL ACCOUNT 41,604.46 CHANGE FUND 250.00 PETTY CASH ACCOUNT 1,000.00 TOTAL DEMAND DEPOSITS ($471,309.75) INVESTMENTS: US TREASURY Money Market Acct. $46.77 LOCAL AGENCY INVESTMENT FD 27,889,408.96 FED HOME LOAN BANK NOTES 8,000,000.00 CASH WITH FISCAL AGENT: US TREASURY Money Market Account 155,099.75 TOTAL INVESTMENTS $36,044,555.48 TOTAL CASH $35,573,245.73 Note: The City of Diamond Bar is invested in the State Treasurer's Local Agency Investment Fund. The account's funds are available for withdrawal within 24 hours. In addition, the City has started investing in longer term investments. These investments are detailed on the attached Investment Report. All investments are placed in accordance with the City of Diamond Bar's Investment Policy. The above summary provides sufficient cash flow liquidity to meet the next six month's estima ex n ' res. James DeStefano, reasurer CITY OF DIAMOND BAR INVESTMENT PORTFOLIO REPORT for the Month of November 2008 InstitutionType of Investment Rating Purchase Date Maturity Amount Current Par / Fair Market State of California Date Term At Cost Original Par Value * Rate Local Agency Inv Fund AAA Wells Fargo Ban a� Bank US Treasury Money Market AAA 27 &°'9,4"8•'0 27,865,359.81 2.568% Union Bank -(Fiscal Agent) US Treasury Money Market AAA $46.77 46.77 0.100% Wells Fargo Inst Securities FHLMC -Freddie Mac Note AAA 05/12/08 05/12/10 155,099.75 155,099.75 0.410% Wells Fargo Inst Securities FHLB - Federal Home Loan N< AAA 08/27/08 08/27/10 2.0 Yrs 1,000,000 1,000,000 1,003,290.00 3.350% Wells Fargo Inst Securities FHLMC - Freddie Mac Note AAA 05/15/08 2.0 Yrs 1,000,000 1,000,000 1,003,750.00 3.400% Wells Fargo Inst Securities FHLMC - Freddie Mac Note AAA 01/21/08 11/15/10 2.5 Yrs 1,000,000 1,000,000 1,003,550.00 3.500% Wells Fargo Inst Securities FFCB -Farm Credit Note AAA 03/18/08 02/21/11 3.0 Yrs 1,000,000 1,000,000 1,003,490.00 3.600% Wells Fargo Inst Securities FHLMC -Freddie Mac Note AAA 04/15/08 03/18/11 3.0 Yrs 1,000,000 1,000,000 1,000,000.00 3.600% Wells Fargo Inst Securities FHLMC - Freddie Mac Note AAA 04/15/11 06/03/11 3.0 Yrs 1,000,000 1,000,000 1,001,650.00 3.500% Wells Fargo Inst Securities FHLB -Federal Home Loan Nr AAA 10114/08 10!14/08 10/14/11 3.0 Yrs 1,000,000 1,000,000 1,000,160.00 4.000% 3.0 Yrs 1,000,000 1,000,000 1,008,130.00 4.000% Totals for month Less Investments matured during the month $ 36,044,555.48 $ 36,044,526.33 Total Investments: 0.00 2007-08 Actual Interest Income 2008-09 Budgeted Interest Income Actual Year -To -Date Interest Income Percent of Interest Received to Budget Allocation of Book Value of Investment by Type (By Percent) Federal Agency Securities 22.19% LAIF 77.; U.S Treasury Money Market 0.43% Total Investment - 36 044 555 ' Source of Fair Market Value: Wells Fargo Institutional Securities, LLC $ 36,044,555.48 $1,702,255.90 $1.015,700.00 $321,734.44 31.676% TYPE OF INVESTMENTS: Local Agency Investment Fund (LAIF) LAIF is an investment pool for local agencies which is managed by the State Treasurer and regulated by the State law. The City Investment Policy places no limit on this type of investment. U.S. Treasury Money Market Fund Money Market Funds are comprised of short term government securities, certificates of deposit and highly rated commercial paper. The City Investment Policy places no limit on this type of investment. Federal Agency Security Federal Agency Securities are issued by direct U.S Government agencies or quasi -government agencies. Many of these issues are guaranteed directly or indirectly by the United States Government. The City Investment Policy places a 40% limit on this type of investment. Note: The fair market value is the value of a security if it was sold on the date of this report. Since interest rates fluctuate from day to day the fair market value may rise or fall accordingly. It is the intention of the City to hold all securities (with the exception of LAIF) to maturity or until called by the issuer rate. . At that time, the security is redeemed at face value regardless of the current interest COUNCIL Agenda # 6.4 Meeting Date: Jan. 6, 2009 AGENDA REPORT TO: Honorable Mayor and Members of the City Council VIA: James DeStefano, City Mang TITLE: A RESOLUTION OF THE CITY CQUNCIL OF THE CITY OF DIAMOND BAR CONFIRMING THE APPOINTMENT OF SPECIFIC REPRESENTATIVES TO THE SAN GABRIEL VALLEY COUNCIL OF GOVERNMENTS RECOMMENDATION: WR•• FINANCIAL SUMMARY: There is no financial impact to the City. BACKGROUND: At the dliscretion of the Mayor, Council Members are appointed to represent the City on the various Boards and outside agencies. At the December 16, 2008 City Council Meeting„ Mayor Pro Tem Herrera was designated as the delegate and Council Member Tanaka was designated as the alternate delegate to the San Gabriel Valley Council of Governments (SGVCOG). According to the bylaws of the SGVCOG, a resolution must be adopted to formalize the new appointments. Resolution No. 2009 -XX is attached, confirming the appointments. PREPARED BY: Tommye Cribbins, City Clerk Attachment: Resolution No. 2009 -XX RW E Y: David Doyle, Asst. City Manager RESOLUTION NO. 2009 -XX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DIAMOND BAR CONFIRMING THE APPOINTMENT OF SPECIFIC REPRESENTATIVES TO THE SAN GABRIEL VALLEY COUNCIL OF GOVERNMENTS A. RECITALS WHEREAS, the City of Diamond Bar has executed the San Gabriel Valley Council of Governments Joint Powers Agreement; and WHEREAS, the Joint Powers Agreement for the San Gabriel Valley Council of Governments requires each member city to appoint a Delegate Government Board Representative and an Alternate Governing Board Representative to represent the City in conducting the affairs of the San Gabriel Valley Council of Governments; and WHEREAS, Mayor Pro Tem Carol Herrera has been designated to serve as the "delegate" from the City to serve as the Governing Board Representative with the San Gabriel Valley Council of Governments; and WHEREAS, Council Member Jack Tanaka has been designated to serve as the "alternate" Governing Board Representative to the San Gabriel Valley Council of Governments. B. RESOLUTION. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DIAMOND BAR DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. That the City Council of the City of Diamond Bar appoints Mayor Pro Tem Carol Herrera to serve as the City of Diamond Bar's delegate to the Governing Board of the San Gabriel Valley Council of Governments. SECTION 2. That the City Council of the City of Diamond Bar appoints Council Member Jack Tanaka to serve as the City of Diamond Bar's alternate delegate to the Governing Board of the San Gabriel Valley Council of Governments. SECTION 3. That the individuals designated in this resolution serve until replaced by resolution or until they become ineligible pursuant to the terms of the Joint Powers Agreement of the San Gabriel Valley Council of Governments. SECTION 4. That the City Clerk shall certify the adoption of this resolution. SECTION 5. That a certified copy of the resolution be circulated to the Sari Gabriel Valley Council of Governments. PASSED, APPROVED AND ADOPTED THIS DAY OF 2009. Ron Everett, Mayor I, Tommye Cribbins, City Clerk of the City of Diamond Bar, do hereby certify that the foregoing Resolution was passed, approved and adopted at a regular meeting of the City Council of the City of Diamond Bar held on the day of , 2009, by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAINED: COUNCIL MEMBERS: Tommye Cribbins, City Clerk TO: Honorable Mayor and Members of the City Council Agenda # 6 4 Meeting Date: Jan. 6, 2009 VIA: James DeStefano, City Man TITLE: A RESOLUTION OF THE CITY C NCIL OF THE CITY OF DIAMOND BAR CONFIRMING THE APPOINTMENT OF SPECIFIC REPRESENTATIVES TO THE SAN GABRIEL VALLEY COUNCIL OF GOVERNMENTS RECOMMENDATION: Adopt. FINANCIAL SUMMARY: There is no financial impact to the City. BACKGROUND: At the discretion of the Mayor, Council Members are appointed to represent the City on the various Boards and outside agencies. At the December 16, 2008 City Council Meeting, Mayor Pro Tem Herrera was designated as the delegate and Council Member Tanaka was designated as the alternate delegate to the San Gabriel Valley Council of Governments (SGVCOG). According to the bylaws of the SGVCOG, a resolution must be adopted to formalize the new appointments. Resolution No. 2009 -XX is attached, confirming the appointments. PREPARED BY: R WE Y: Tommye Cribbins, City Clerk David Doyle, Asst. City Manager Attachment: Resolution No. 2009 -XX RESOLUTION NO. 2009 -XX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DIAMOND BAR CONFIRMING THE APPOINTMENT OF SPECIFIC REPRESENTATIVES TO THE SAN GABRIEL VALLEY COUNCIL OF GOVERNMENTS A. RECITALS WHEREAS, the City of Diamond Bar has executed the San Gabriel Valley Council of Governments Joint Powers Agreement; and WHEREAS, the Joint Powers Agreement for the San Gabriel Valley Council of Governments requires each member city to appoint a Delegate Government Board Representative and an Alternate Governing Board Representative to represent the City in conducting the affairs of the San Gabriel Valley Council of Governments; and WHEREAS, Mayor Pro Tem Carol Herrera has been designated to serve as the "delegate" from the City to serve as the Governing Board Representative with the San Gabriel Valley Council of Governments; and WHEREAS, Council Member Jack Tanaka has been designated to serve as the "alternate" Governing Board Representative to the San Gabriel Valley Council of Governments. B. RESOLUTION. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DIAMOND BAR DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. That the City Council of the City of Diamond Bar appoints Mayor Pro Tem Carol Herrera to serve as the City of Diamond Bar's delegate to the Governing Board of the San Gabriel Valley Council of Governments. SECTION 2. That the City Council of the City of Diamond Bar appoints Council Member Jack Tanaka to serve as the City of Diamond Bar's alternate delegate to the Governing Board of the San Gabriel Valley Council of Governments. SECTION 3. That the individuals designated in this resolution serve until replaced by resolution or until they become ineligible pursuant to the terms of the Joint Powers Agreement of the San Gabriel Valley Council of Governments. SECTION 4. That the City Clerk shall certify the adoption of this resolution. SECTION 5. That a certified copy of the resolution be circulated to the San Gabriel Valley Council of Governments. PASSED, APPROVED AND ADOPTED THIS DAY OF , 2009. Ron Everett, Mayor I, Tommye Cribbins, City Clerk of the City of Diamond Bar, do hereby certify that the foregoing Resolution was passed, approved and adopted at a regular meeting of the City Council of the City of Diamond Bar held on the day of , 2009, by the following vote: AYES: COUNCIL MEMBERS: NOIES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAINED: COUNCIL MEMBERS: Tommye Cribbins, City Clerk Agenda # 6-5 Meeting Date: January 6, 2009 CITY COUNCIL AGENDA REPORT TO: Honorable Mayor and Members of the City Council VIA: James DeStefano, City Mana TITLE: Transmittal of Comprehensive Annual Financial Report for the year ended June 30, 2008. RECOMMENDATION: Receive and fine. FINANCIAL IMPACT: None BACKGROUND: The FY 2007-2008 annual audit has been completed by the City's independent auditing firm of Diehl, Evans and Company L.L.P. Part of the audit contract includes the completion, with staff's assistance, of the Comprehensive Annual Financial Report. DISCUSSION: The City's Finance Department in concert with the City's independent auditing firm of Diehl, Evans and Company L. L. P. has prepared the Fiscal Year 2007-2008 Comprehensive Annual Financial Report (CAFR). This report has been prepared in conformance with the requirements of GASB 34. As a result the report format includes Management Discussion and Analysis, Required Supplementary Information and the Government -wide Financial Statements which include the Statement of Net Assets and Statement of Activities. The Finance Department has submitted the CAFR to the Government Finance Officers Association (GFOA) for review and the certificate of excellence award program. The City has been honored to receive this award for the past thirteen consecutive years. Page Two — City Council Agenda Report Transmittal of Comprehensive Annual Financial Report PREPARED BY: Linda G. Magnuson REVIEWED BY: Dep rt ent Head -a5)0 Assistant City Manager Attachments: FY 07-08 Comprehensive Annual Financial Report 'Comprehensive n"ual F 0 ■ inancial Diamond Bar, California Year ending June 30, 2008 1 1 i CITY OF DIAMOND BAR, CALIFORNIA COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED JUNE 30, 2008 Prepared by: FINANCE DEPARTMENT Linda G Magnuson Director of Finance CITY OF DIAMOND BAR TABLE OF CONTENTS June 30, 2008 Independent Auditors' Report 1 - 2 Management's Discussion and Analysis (Required Supplementary Information) 3 -11 Basic Financial Statements: Government -wide Financial Statements: Statement of Net Assets 13 Statement of Activities 14 Fund Financial Statements: Page INTRODUCTORY SECTION: Number Letter of Transmittal 16-17 GFOA Certificate of Achievement for Excellence in Financial Reporting i -v vi Organization Chart 19 List of Principal Officials vii Reconciliation of the Governmental Funds Statement of Revenues, viii FINANCIAL SECTION: 22 Independent Auditors' Report 1 - 2 Management's Discussion and Analysis (Required Supplementary Information) 3 -11 Basic Financial Statements: Government -wide Financial Statements: Statement of Net Assets 13 Statement of Activities 14 Fund Financial Statements: Governmental Funds: 15 Balance Sheet 16-17 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Assets 19 Statement of Revenues, Expenditures and Changes in Fund Balances 20-21 Reconciliation of the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balances to the Statement of Activities 22 Proprietary Funds: Statement of Net Assets 23 Statement of Revenues, Expenses and Changes in Fund Net Assets 24 Statement of Cash Flows 25 Notes to Basic Financial Statements 27-48 CITY OF DIAMOND BAR TABLE OF CONTENTS (CONTINUED) June 30, 2008 FINANCIAL SECTION (CONTINUED): Page Number Required Supplementary Information: Budgetary Comparison Schedules: 49 General Fund 50 Park and Facility Development Special Revenue Fund 51 Proposition 1 B Bond Special Revenue Fund 52 Note to Required Supplementary Information 53 Supplementary Information: Other Governmental Funds: Combining Balance Sheet 55 Combining Statement of Revenues, Expenditures and Changes in Fund Balances 57 Other Special Revenue Funds: 58-59 Combining Balance Sheet 60-61 Combining Statement of Revenues, Expenditures and 62-63 Changes in Fund Balances Schedules of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual: 64 State Gas Tax Fund 65 Proposition C Transit Fund Intermodal Surface Transportation Enhancement Act (ISTEA) Special Revenue Fund 66 Integrated Waste Management Fund 67 Traffic Improvement Fund 68 69 Traffic Congestion Relief Fund Air Quality Improvement Fund 70 Trails & Bikeways Fund 71 72 California Law Enforcement Equipment Program (CLEEP) Fund Proposition A Transit Fund 73 74 Community Development Block Grant (CDBG) Fund Citizens Option for Public Safety (COPS) Fund 75 Asset Seizure Fund 76 77 Landscape Maintenance District Fund Other Capital Projects Fund: 79 Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual: Capital Improvement Fund 80 ICITY OF DIAMOND BAR TABLE OF CONTENTS (CONTINUED) June 30, 2008 Page FINANCIAL SECTION (CONTINUED): Number J Supplementary Information (Continued): Internal Service Funds: 81 Combining Statement of Net Assets 82 Combining Statement of Revenues, Expenses and Changes in Fund Net Assets 83 ' Combining Statement of Cash Flows 84 STATISTICAL SECTION: ' Description of Statistical Section Contents 85 Financial Trends: ' Net Assets by Component - Last Six Fiscal Years 86-87 Changes in Net Assets - Last Six Fiscal Years 88-89 ' Fund Balances of Governmental Funds - Last Six Fiscal Years 90-91 Changes in Fund Balances of Governmental Funds - Last Six Fiscal Years 92-93 ' Revenue Capacity: Assessed and Estimated Actual Value of Taxable Property - Last Ten Fiscal Years 94 Direct and Overlapping Property Tax Rates - Current Fiscal Year 95 Top 10 Property Taxpayers - Current Fiscal Year and Nine Fiscal Years Ago 96 Secured Property Tax Levies and Collections - Last Ten Fiscal Years 97 ' Debt Capacity: Ratios of Outstanding Debt by Type - Last Ten Fiscal Years 98 Direct and Overlapping Debt 99 Computation of Legal Debt Margin - Last Ten Fiscal Years 100 ' Demographic and Economic Information: Demographic and Economic Statistics Last - Ten Calendar Years 101 Principal Employers - Current Fiscal Year and Nine Fiscal Years Ago 102 Operating Information: Full -Time Equivalent City Employees by Function - Last Ten Fiscal Years 103 ' Operating Indicators by Function - Last Ten Fiscal Years 104 Capital Asset Statistics by Function - Last Five Fiscal Years 105 J 1 ' Ron Everett Mayor Carol Herrera Mayor Pro Tem Wen P. Chang Council Member lack Tanaka Council Member Steve Tye Council Member City of Diamond Bar 21825 Copley Drive • Diamond Bar, CA 91765-4178 (909) 839-7000 • Fax (909) 861-3117 cember 23, 2008 www.CityofDiamondBar.com Honorable Mayor and Members of the City Council City of Diamond Bar Diamond Bar, California It is a pleasure to submit the Comprehensive Annual Financial Report of the City of Diamond Bar for the fiscal year ended June 30, 2008. This report consists of management's representations concerning the finances of the City. Consequently, responsibility for both the accuracy of the presented data and the completeness and fairness of the presentation, including all disclosures, rests with the City's management. To provide a reasonable basis for making these representations, management of the City has established a comprehensive intemal control framework that is designed both to protect the City's assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the City's financial statements in conformance with generally accepted accounting principles (GAAP). Because the cost of internal controls should not outweigh their benefits, the City's comprehensive framework of internal controls has been designed to provide assurance that the financial statements will be free from misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material aspects. The City's financial statements have been audited by Diehl, Evans and Company L.L.P., a firm of certified public accountants. The goal of the independent audit was to provide reasonable assurance that the financial statements of the City for fiscal year ended June 30, 2008, are free of material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditor concluded based upon the audit that there was a reasonable basis for rendering an unqualified opinion that the City's financial statements for the fiscal year ended June 30, 2008, were fairly presented in conformity with GAAP. The independent auditor's report is presented as the first component of the financial section of this report. The independent audit of the financial statements of the City of Diamond Bar was part of a broader, federally mandated "Single Audit" designed to meet the special needs of federal grantor agencies. The standards governing Single Audit engagements require the independent auditor to report not only on the fair presentation of the financial statements, but also on the audited City's internal controls and legal requirements involving the administration of federal awards. These reports are available in the City's separately issued Single Audit Report. GAAP requires that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of transmittal is designed to complement MD&A and should be read in conjunction with it. The City's MD&A can be found immediately following the report of the independent auditors. PROFILE OF THE CITY OF DIAMOND BAR The City, incorporated in 1989, is located at the junction of the 57 and 60 freeways. As a result, the City of Diamond Bar is at the hub of the Los Angeles basin transportation network. A twenty-five mile radius encompasses Pasadena, downtown Los Angeles, Long Beach, Irvine and Riverside. Diamond Bar is a relatively young residential community of about 60,360, situated among the meandering hills and valleys of Brea Canyon. Many desired services can be found in Diamond Bar's shopping and business centers. Recreational opportunities within the City include more than 70 acres of developed park facilities, hiking trails, a new community center, an 18 -hole public golf course and 370 acres of undeveloped publicly owned open space. The City has operated under the council-manager form of government since incorporation. Policy making and legislative authority are vested in a five member City Council. The City Council is responsible, among other things, for passing ordinances, adopting the budget, appointing committees and task forces, and hiring both the City Manager and City Attorney. The City Manager is responsible for overseeing the day -to day operations of the City, and for appointing the heads of the various departments. The Council is elected on a non-partisan basis. Council members serve four-year staggered terms, with elections held every other year. Each December, the City Council selects a mayor and mayor pro tem from its membership. The City of Diamond Bar is a contract city and as such contracts for many of its services. This includes police services, building and safety services, engineering, road maintenance and landscape maintenance. The Los Angeles County Fire District provides fire protection, which is independent of the City. Funds are collected through property tax bills and are disbursed directly to the Los Angeles County Fire District by the Los Angeles County Tax Collector's Office. Water services for the City are provided by the Walnut Valley Water District. Refuse collection is provided by private waste collection companies. Additionally, schools are provided by both the Walnut Valley Unified School District and the Pomona Unified School District. Accordingly, none of these activities are included in this report. ECONOMIC CONDITION AND OUTLOOK During the last few years, the City of Diamond Bar's economy has seen a slight improvement. This fiscal year was no exception as illustrated by higher sales tax and property tax revenues. To spite this growth, the nation's economy is definitely in turmoil. Retail sales are down and unemployment numbers are reaching new heights. This along with the major budget shortfalls experienced by the State, are of a major concern to the City of Diamond Bar. ECONOMIC CONDITION AND OUTLOOK (CONTINUED) Recent headlines have been filled with news about the slowing economy and budget woes at the State tlevel. With the status of State funds as uncertain as ever, it is anticipated that more of the financial burden will fall upon municipal agencies. Although the City has built a strong General Fund reserve, the fiscal year 2008-2009 budget was prepared with the possibility of a reduction in State funds in mind. ' The erosion of the City's sales tax base continues to be a major concern. As a result there continues to be an emphasis on Economic Development within the City. The City has started reaping the rewards of this ' emphasis. In fiscal year 06-07 the City welcomed a new Target Store at the intersection of Grand Avenue and Golden Springs Drive. This fiscal year the City welcomed a Chili's Bar and Grill to the same shopping ' center. In October 2007, Majestic Realty announced its plans to develop a professional football stadium based 1 entertainment, retail and office development in the neighboring city, City of Industry. The NFL stadium is proposed to seat 75,000 people and will be surrounded by retail shops, restaurants, a live theater, movie theater, outpatient medical center, and offices along with necessary parking structures. It is anticipated that Phase 1 which includes the stadium will be open for business in the fall of 2011. This proposed development is of great concern to the City of Diamond Bar. The City will be seriously impacted by major increases in traffic since the primary access to the venue will be at the Orange (SR57) and Pomona (SR -60) ' interchange; located within the City of Diamond Bar. Public Safety in the City will be affected by the increase in population during major events. There are also concerns as to how it will affect the City's air quality, noise levels and aesthetics. The City has responded to the environmental report and will monitor the development's progress. In fiscal year 08-09, the City will continue to explore opportunities to expand its sales tax and property tax ' base with new development opportunities in its commercial areas and continue working on the annexation of the Crestline area. Development opportunities in the City's commercial areas include the Walnut Valley Trailer Park: site; site "D"; and the K -Mart Property. ' The City's future economic health is being secured by building health reserves through fiscally conservative budgets and policies in addition to aggressively pursuing economic development ' opportunities. ' AWARDS The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of Diamond Bar for its comprehensive annual financial report for the fiscal year ended June 30, 2007. The Certificate of Achievement is a prestigious national award recognizing conformance with the highest standards for preparation of state and local financial reports. In order to be awarded a Certificate of Achievement, a government unit must publish an easily readable and efficiently organized comprehensive annual financial report, with contents that conform to program standards. The CAFR must satisfy both generally accepted accounting principles and applicable legal requirements. AWARDS (CONTINUED) A Certificate of Achievement is valid for a period of one year only. The City of Diamond Bar has received the Certificate of Achievement for the last thirteen consecutive years (fiscal years ended 1995 through 2007). We believe our current report continues to meet the Certificate of Achievement Program's requirements and we are submitting it to GFOA to determine its eligibility for another certificate. REPORTING ENTITY AND ITS SERVICES This Comprehensive Annual Financial Report includes all funds of the City. The City directly provides a limited range of services and contracts for several other services. The City's significant reliance on contracted services has the benefit of reducing expenses to the citizens of the City of Diamond Bar while simultaneously providing the City with a high degree of flexibility in responding to changing economic conditions. Contracted services include police protection, building and safety, street maintenance, park maintenance, capital improvement projects, animal control, attorney services and engineering. Staff provided services include: community development (which includes planning, economic development, building and safety management, and neighborhood improvement), public works (which includes engineering, capital projects administration, street maintenance contract management, traffic and transportation matters, engineering contract management, and solid waste contract management), community services (which includes senior services, park maintenance, recreation services, community center operation, and landscape maintenance), community relations, subsidized transit ticket sales, grant administration, financial management, and administrative management. All of these activities are included in this report. Cash Management The City invests temporarily idle funds in accordance with the Government Code and the investment policy approved annually by the City Council. During FY07-08, most of the City funds were invested in the Local Agency Investment Fund (LAIF), which is administered by the State Treasurer's Office. In addition to LAIF, the City diversified its investment portfolio by also investing in U.S. Government Sponsored Enterprise Securities and Money Market Mutual Fund accounts that are in accordance with the City's investment policy. The City manages all of its cash and investments on a pooled basis. Interest earnings are allocated to the various funds based on their share of cash and investment balances. Risk Management The City of Diamond Bar is a member of the California Joint Powers Insurance Authority (CJPIA) for the purpose of pooling its general liability losses and claims with the other member agencies. The City is charged for the first $30,000 of each claim. Claims above $30,000 are shared by all the member agencies up to a maximum of $50,000,000 per occurrence. The City belongs to the CJPIA's Workers' Compensation Insurance Program. The administration of the workers' compensation program is similar to that of the authority's liability program. The City is charged for the first $50,000 of each claim. Losses from $50,001 to $100,000 per claim are pooled based on the member's share of losses under $50,000. Losses between $100,000 and $2,000,000 and employer's liability losses from $5,000,000 to $10,000,000 are pooled based. Costs between $2,000,000 and $300,000,000 are paid by excess insurance purchased by the CJP1A. Costs in excess of $300,000,000 are pooled based on payroll. -iv- REPORTING ENTITY AND ITS SERVICES (CONTINUED) Risk Management (Continued) The City carries Environmental Insurance through the CJPIA. This policy covers sudden ual pollution of property, streets, and storm drains owned by the City. Thee is $50,000 deductible dais on a claims -made basis. Additionally, the City has all risk property insurance through the Authority. The City's property is ' currently insured according to a schedule of covered property submitted to the Authority by the City. There is a $5,000 per loss deductible. Premiums for the coverage are paid annually. ' The City has also established a self-insurance internal service fund to cover the City's share of any potential losses not covered by the CJPIA. The City Council established a policy of annually transferring $100,000 ' to the fund to create a self-insurance reserve. Policy states that when the reserve reaches $1,000,000, the reserves are deemed to be sufficient. No transfer was necessary this fiscal year, since the reserves reached that milestone in fiscal year 1998-99. The self-insurance reserve at June 30, 2008 was $1,025,011. ' Defined Benefit Pension Plan The City has contracted with the California Public Employees Retirement System (PERS) to provide retirement, disability, death and survivor benefits for all eligible full and part-time City employees. The pension benefit obligation varies from year to year and is computed as part of an actuarial valuation. For ' the three years ended June 30, 2006, 2007, and 2008 the employer contribution to PERS was 11.148%, 11.051 % and 10.733% respectively, of the annual covered payroll. The total contribution paid by the City included employer contributions as well as member contributions for which the City is contractually ' obligated to pay on behalf of its employees. The City's total contribution to the system including both the employer and employee's contribution was $613,665 for FY2007-08. ' Acknowledgements The preparation of this Comprehensive Annual Financial Report was made possible by the dedicated ' service of the City's Finance Department staff, and through the cooperation of the entire City staff. Each staff member has my sincere appreciation for the contributions made in the preparation of this Report. I would also like to thank our independent auditor, Diehl, Evans and Company L.L.P., for its expertise and advice in the preparation of the City's Comprehensive Annual Financial Report. In closing, without the leadership and support of the City Council of the City of Diamond Bar, the preparation of this Report would not have been possible. iSincerely, James DeSteiFano City Manager Certificate of Achievement for Excellence in Financial Reporting Presented to City of Diamond Bar California For its Comprehensive Annual Financial Report for the Fiscal Year Ended June 30, 2007 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest standards in government accounting and financial reporting. �o President a, � � Executive Director L L v w O N y U N w O U oa -Q E � p 4-- • � V L c ' � o y U ro�cu Y ■ CL — aQ ix ro V E � O O L � U L v bio c b V o U c � ' C Q ate+ C U ro _c ++ o0 U y O E E o a o v ro a L _ V (, y 0o aci s`E V ='cu L O E > E °° n E `v E o w E o �n V E o ' U � ao C _ � cuw � o m �3 a I -vii- CITY OF DIAMOND BAR FY07-08 ELECTED AND ADMINISTRATIVE OFFICIALS Mayor Jack Tanaka Mayor Pro Tem Ron Everett Councilmember Wen Chang Councilmember Carol Herrera Councilmember Steve Tye City Manager James DeStefano Assistant City Manager David Doyle City Clerk Tommye Cribbins Director of: Community Services Bob Rose Community Development Nancy Fong Finance Linda Magnuson Information Systems Ken Desforges Public Works David Liu - viii - ' DIEHL, EVANS & COMPANY, LLP CERTIFIED PUBLIC ACCOUNTANTS dT CONSULTANTS ' MICHAEL R LUDIN, A PARTNERSHIP DNCLUDAIG ACCOUNTANCY CORPORATIONS CPA CRAIG W. SPRAKER CPA N ITN P. PATEL, CPA ROBERT]. CALLANAN, CPA 5 CORPORATE PARK, SUITE 100 PHILIP H. HOLTKAMP, CPA IRVINE, CALIFORNIA 92606-5165 `THOMAS M. PERLOWSKI, CPA (949) 399-0600 • FAX (949) 399-0610 'HARVEY I. SCHROEDER. CPA KENNETH R AMES, CPA www.diehlevans,.com _ 'WILLIAM C. PENTZ, CPA ' p December 23, 2008 'A PROFESSIONAL CORPORATION 1 INDEPENDENT AUDITORS' REPORT 1 The Honorable Mayor and City Council Of the City of Diamond Bar Diamond Bar, California We have audited the accompanying financial statements of the governmental activities, each major ' fund, and the aggregate remaining fund information of the City of Diamond Bar, California, as of and for the year ended June 30, 2008, which collectively comprise the City's basic financial statements as listed in the table of contents. These financial statements are the responsibility of the City of Diamond Bar's management. 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 of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. ' In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, each major fund, and the aggregate remaining fund information of the City of Diamond Bar, California, as of June 30, 2008, and the respective changes in financial position and cash flows, where applicable, thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. tOTHER OFFICES AT: 11 -1- 2965 ROOSEVELT STREET 613 W. VALLEY PARKWAY, SUITE 330 CARLSBAD, CALIFORNIA 92008-2389 ESCONDIDO, CALIFORNIA 92025-2598 (760) 729-2343 • FAX (760) 729-2234 (760)741-3141 • FAX (760) 741-9890 In accordance with Government Auditing Standards, we have also issued our report dated December 23, 2008 on our consideration of the City of Diamond Bar's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. The management's discussion and analysis and the other required supplementary information identified in the accompanying table of contents are not a required part of the basic financial statements but are supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures to the management's discussion and analysis, which consisted principally of inquiries of management regarding the methods of measurement and presentation of this required supplementary information. However, we did not audit the management's discussion and analysis and express no opinion on it. The budgetary comparison schedules and related note have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City of Diamond Bar's basic financial statements. The introductory section, other supplementary information and statistical section as listed in the table of contents are presented for purposes of additional analysis and are not a required part of the basic financial statements. The other supplementary information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. The introductory section and statistical section have not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we express no opinion on them. o&� 6AA-d A�l &�d�j 1X10 -2- i IMANAGEMENT'S DISCUSSION AND ANALYSIS 1 1 1 1 11 THIS PAGE LEFT BLANK INTENTIONALLY CITY OF DIAMOND BAR Management's Discussion and Analysis June 30, 2008 As management of the City of Diamond Bar, we offer readers of the City of Diamond Bar's financial statements this narrative overview and analysis of the financial activities of the City of Diamond Bar for the fiscal year ended June 30, 2008. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal. 1 Financial Highlights • The assets of the City of Diamond Bar exceeded its liabilities at the close of the fiscal year by $411,296,785 (net assets). Of this amount, $36,236,504 (unrestricted net assets) may be used to meet the City's ongoing obligations to citizens and creditors. • The total governmental fund revenues from all sources equaled $27,932,439. • The total cost of all City governmental fund programs equaled $24,747,763. • As of the close of the current fiscal year, the City of Diamond Bar's governmental funds reported combined ending fund balances of $37,991,462, an increase of $2,842,076 in comparison with the prior year. Approximately $30.3 million of that amount is available for spending at the City's discretion. Although funds haven't been specifically reserved for economic development activities or for future capital projects to benefit the community it is anticipated in the future some of these funds may be used for these purposes. • At the end of the current fiscal year, unreserved fund balance for the general fund was $31,065,127, or over one and three quarters the amount of general fund expenditures. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to the City of Diamond Bar's basic financial statements. The City of Diamond Bar's basic financial statements comprise three components: 1) government - wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves. Government -wide financial statements — The government —wide financial statements are designed to provide readers with a broad overview of the City of Diamond Bar's finances, in a manner similar to a private -sector business. The statement of net assets presents information on all of the City of Diamond Bar's assets and liabilities, with the difference between the two reported as net assets. Over time, increases or decreases in new assets may serve as a useful indicator of whether the financial position of the City of Diamond Bar is improving or deteriorating. The statement of activities presents information showing how the City's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave). 1 See independent auditors' report. -3- CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Overview of the Financial Statements (Continued) Government -wide financial statements (Continued) Both of the government -wide financial statements distinguish functions of the City of Diamond Bar 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 Diamond Bar include general government, public safety, highways and streets, community development, and parks and recreation. The City of Diamond Bar currently has no business -type activities or enterprise funds. The government -wide financial statements include not only the City of Diamond Bar itself, but also a legally separate financing authority. Although legally separate, the Diamond Bar Financing Authority is included because the City is financially accountable for it. 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 Diamond Bar, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. All of the funds of the City can be divided into two categories: governmental funds, and proprietary funds. Governmental Funds — Governmental funds are used to account for essentially the same functions reported as governmental activities in the government -wide financial statements. However, unlike the government -wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, available at the end of the fiscal year. This information helps to determine whether there are more or fewer financial resources that can be spent in the near future to finance the City's programs. 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 impacts of the City'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 Diamond Bar 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. Proprietary Funds — The type of proprietary funds that the City maintains are internal service funds that are used to allocate costs internally among the various functions of the City. The City of Diamond Bar uses these funds to account for its liability insurance costs and vehicle and computer replacement costs. Because these services predominantly benefit governmental rather than business -type functions, they have been included within governmental activities within the government -wide financial statements. See independent auditors' report. -4- CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Overview of the Financial Statements (Continued) Notes to the Financial Statements — The notes provide additional information that is essential to a full understanding of the data provided in the government -wide and fund financial statements. iOther Information — In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning the City's budgetary control and accounting and expenditures in excess of appropriations. Government -wide Financial Analysis As mentioned earlier, net assets may serve over time as a useful indicator of the City's financial position. The City of Diamond Bar's assets exceeded liabilities by $411,296,785 at the close of 2008. (see Table 1) By far the largest component of the City's net assets (90 percent) is its investment in capital assets (e.g., land, buildings, infrastructure, machinery, equipment, and construction in progress), less the related outstanding debt used to acquire those assets. The City of Diamond Bar uses these capital assets to provide services to its citizens; consequently, these assets are not available for future spending. Although the City's investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. Table 1 CITY OF DIAMOND BAR Statement of Net Assets Governmental Activities 2008 2007 Current and other assets $46,289,772 $43,549,754 Capital assets 383,974,296 388,377,190 Total Assets 430,264,068 431,926,944 Long-term debt outstanding 12,806,584 13,126,500 Other Liabilities 6,160,699 4,729,046 Total Liabilities 18,967,283 17,855,546 Net assets: Invested in capital assets, net of debt 370,949,296 375,216,400 Restricted 4,110,985 4,782,114 Unrestricted 36,236,504 34,072,884 Total Net Assets $411,296,785 $414,071,398 Although the City's net assets decreased by $2,774,613 this year there was an increase in the unrestricted portion of the net assets. The total value of capital assets decreased due to the aging and resulting depreciation of the City's capital assets. See independent auditors' report. -5- CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Government -wide Financial Analysis (Continued) At the end of fiscal year 2008 the City is able to report a 6.4 percent or $2,163,620 increase in unrestricted net assets from the prior fiscal year. This is an indication of the City's efforts to continually expend its resources conservatively in anticipation of the future purchase or construction of a city hall and possible revenue shortfalls. Revenues The City's total revenues were $26.5 million, while the total cost of all programs and services was $29.3 million. Revenues this fiscal year were 15.6% lower than those of the prior year. There were decreases in most of the revenue categories. There were however a few increases in the revenue categories which offset some of the revenue reduction. Table 2 City of Diamond Bar's Changes in Net Assets Revenues: Program revenues: Charges for services Operating grants and contributions Capital grants and contributions General Revenues Property taxes Transient occupancy taxes Sales Taxes Property Taxes in Lieu of Sales Taxes Franchise Taxes Property transfer tax Other taxes Motor vehicle in lieu Investment Income Other Total revenues Expenses: General Government Public Safety Highways and Streets Community Development Parks, Recreation and Culture Interest and Fiscal Charges Total expenses Change in net assets Net assets - 07101 Net assets - 06/30 See independent auditors' report. 2008 2007 $ 5,858,619 $ 6,675,619 4,307,074 6,968,824 219,193 1,254,314 8,194,270 7,727,580 800,390 774,757 3,114,562 2,935,703 987,615 1,007,642 1,024,710 1,064,621 283,433 331,096 33,865 33,822 262,064 350,194 1,420,989 1,476,010 4,388 41,362 26,511,172 30,641,544 4,473,666 4,784,314 4,944,729 4,876,435 12,034, 669 14,019, 550 2,251,196 2,292,757 5,188,977 4,779,588 392,548 498,042 29,285,785 31,250,686 (2,774,613) (609,142) 414,071,398 414,680,540 $ 411,296,785 $ 414,071,398 CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Government -wide Financial Analysis (Continued) The following are highlights of some of the major differences: ' Revenues • Charges for services decreased this year primarily due to last year's receipt of traffic mitigation and developer fees related to the construction of the Brookfield homes project. • The dramatic decrease of over $2.7 million in operating grants and contributions is due to several different factors. Last year the City received a one time contribution of $502,600 from the County to assist with the implementation of a traffic management system. During the previous fiscal year there were grants received from both the State and Federal Government which reimbursed the City for various operating expenditures. In addition during the previous fiscal year the City received two years' allocation of traffic congestion relief funds from the State. • Last year the City received Federal Funds for the improvement of Grand Avenue. These funds in the amount of $1,066,605 were reflected in the capital grant and contributions category causing this category to be higher than the current year. • The increase in property tax revenue is primarily due the continuing rise of property values in fiscal year 07-08. Another factor causing the increase is from the addition of new homes from the Brookfield development project. • Sales tax was slightly higher this fiscal year due to the rise in gasoline prices. The City is located at the intersection of several freeways and as a result some of its highest sales tax producers are service stations. ' Expenses This year expenses for the City totaled $29.3 million which is nearly $2 million or 6.3% less than the previous fiscal year. 'There were both increases and decreases in the various categories. The following are the highlights of the major differences: General Government was lower this year due primarily to the decrease in the City's Information Technology Division. This division has been responsible for implementation of several new computer systems. Last fiscal year saw the purchase of hardware and software related to these implementations. • There was a slight increase in Public Safety expenditures (1.4%) this year. Contract rates with the L.A. County Sheriff's Department rose approximately 7% in fiscal year 07-08. This increase was mitigated sincf; the City had vacancies in its contracted law enforcement positions during the year. • Streets and Highways category was lower this year by a little over $2 million. In fiscal year 2006-07 the City completed a major rehabilitation of a portion of Grand Avenue. The cost of this project was $2.1 million. • There was a slight decrease in Community Development. This decrease is due a decrease in Building and Safety expenditures. • Interest rates on the outstanding variable rate lease revenue bonds were lower this year. This along with the lower principal outstanding on the lease revenue bonds is responsible for the decrease in Interest and Fiscal Charges. See independent auditors' report. -7- CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Financial Analysis of the City's Funds As noted earlier the City of Diamond Bar uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. Governmental funds. The focus of the City of Diamond Bar's governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City's financing requirements. In particular, unreserved fund balance may serve as a useful measure of a City'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 Diamond Bar's governmental funds reported combined ending fund balances of $37,991,462, an increase of $2,842,076 in comparison with the prior year. Of this amount, there is $6,458,948 reserved to liquidate contracts and purchase orders outstanding at the end of the year. The general fund is the chief operating fund of the City of Diamond Bar. At the end of the current fiscal year, the unreserved fund balance of the general fund was $31,065,127, while the total fund balance reached $32,929,514. As a measure of the general fund's liquidity, it may be useful to compare both unreserved fund balance and total fund balance to total fund expenditures. Unreserved fund balance represents 184.4% of total general fund expenditures, while total fund balance represents 195.5% of the same amount. Overall the fund balance of the City of Diamond Bar's general fund increased by $2,467,964 during the current year. Since the City's incorporation, the City has been fiscally conservative contributing to healthy fund balance reserves. Other factors contributing to this growth are as follows: • Property tax revenue increased due a slight rise in property values within the Southern California region and a favorable real estate market. • Some of the revenues received from the State for Motor Vehicle in Lieu fees are now based on an allocation of property taxes based on property values. Previously it had been allocated based on population. As a result since the City's property values have increased so has this revenue source. • Traffic mitigation fees were received to fund future traffic improvements. • Rents and concessions continued rise due to the popularity of the City's park facilities including the Diamond Bar Center and cell site leases. • Conservative expenditure budgets also contribute to the growth of the general fund balance. This includes a contract city business model which aides the City in containing costs. Fund balance in the City's Park and Facility Development Fund has been derived primarily from the receipt of developer related fees which have been collected for the purpose of improving the City's parks and facilities. The fund ended the year with a fund balance of $1,302,445, which is a decrease of $405,830. This change in fund balance is due to the fact these funds were used to assist in funding eight different park and facility improvement projects. The improvements ranged from improving ball fields for the City's use at a local middle school to making improvements to City's Sycamore Canyon Park to making trail improvements in the Sycamore Canyon area. See independent auditors' report. -8- CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Financial Analysis of the City's Funds (Continued) General Fund Budgetary Highlights 1 Original revenue budget projections were decreased during the year by 4.66% to reflect more conservative revenue projections. The actual revenue came in 2.5% less than anticipated. There were categories which exceed expectations and some that obviously were less than anticipated. The General Fund taxes category include property taxes, sales tax, franchise tax and property transfer tax. These revenues exceeded expectations by $401,381. The variance between the amount budgeted and the amount received is primarily due to the under estimation of property tax revenue. The City anticipated receiving FEMA reimbursement and over estimated the revenue from the State for vehicle license fees causing the budgeted revenue in the Intergovernmental category to exceed actual revenue received. This has been reflected in the fiscal year 08-09 budget. During fiscal year 07-08 the City had a piece of property which was in escrow for most of the year. It was anticipated that this property sale would be completed by the end of the fiscal year. It was anticipated that this property would sell for $1,225,000. Therefore the Other Revenue budget was not realized. It should be noted that if this sale had been completed the City's General Fund revenues would have exceeded expectations overall. The investment income revenue estimate was much higher than anticipated due to higher investment yields and cash balances. Although there was an increase in General Fund appropriations for the year of 6.4% from the original budget to the amended budget, the final expenditures actually came in 20% or $4.2 million less than budgeted. At the end of the year, were General Fund open encumbrances equaling $958,231 which were carried over into fiscal year 08-09. Reasons for the difference between budget and actual include salary savings from staff vacancies, law enforcement contract savings from contracted position vacancies, various studies and projects which were either postponed or cancelled. 1 C NSee independent auditors' report. F, CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Capital Asset and Debt Administration Capital assets - The City of Diamond Bar's investment in capital assets for its governmental activities as of June 30, 2008 amounts to $383,974,296 (net of accumulated depreciation). This investment in capital assets includes land, buildings and improvements, furniture and fixtures, vehicles and equipment, infrastructure and construction in progress. The total decrease in the City's investment in capital assets was approximate 1.1% from the previous year. Table 3 City of Diamond Bar Capital Assets (net of depreciation) Land Right of Way Buildings and improvements Furniture and fixtures Vehicles and equipment Infrastructure Construction in Progress 2008 2007 $ 6,206,190 $ 6,206,190 256,536,095 256,536,095 15,195,460 16, 502,917 7,692 8,815 653,078 632,903 103, 882, 787 107,168,051 1,492,994 1,322,219 $ 383,974,296 $ 388,377,190 Although there is a net decrease in the value of Building and Improvements there were improvements made to two City parks. Batting cages were constructed and completed at Pantera and Peterson Parks. The decrease is due to depreciation. The decrease in Furniture and Fixtures was due to the depreciation of existing assets. The increase in Vehicles and Equipment is primarily a result of the purchase of several pieces of equipment to either improve efficiency or provide new programs to the citizens of Diamond Bar. The highlights are: • Black out shades for the windows at the Diamond Bar Center to enhance daytime viewing of projected screen images. New computer servers and network hardware for the new computerized traffic management system which is currently under development. • A portable traffic message board was purchased to increase traffic safety by posting construction, traffic congestion or road closure warnings. See independent auditors' report. -10- CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Capital Asset and Debt Administration (Continued) Capital assets (Continued) The overall decrease in the value of the City's capitalized assets is due to the depreciation of the City's infrastructure. Significant additions to capital assets include: • Traffic signal improvements include modifications and improvements to nine intersections including: Intersection of Pathfinder and Peaceful Hills Intersection of Diamond Bar Blvd and Maple Hill Intersection of Diamond Bar Blvd and Sunset Crossing Intersection of Diamond Bar Blvd and North Bound SR 57 Intersection of Diamond Bar Blvd and Cold Spring Intersection of Diamond Bar Blvd and Mountain Laurel Intersection of Brea Canyon Road and Sliver Bullet Intersection of Diamond Bar Blvd and Highland Valley Intersection of Diamond Bar Blvd and Grand Ave • Pavement additions included making Washington Street a cul-de-sac. Construction in progress at the end of the year included twenty three projects in various stages of construction. There were eight park improvement projects in progress totaling $349,382. The rest of the projects were a variety of traffic signal improvements and parkway improvements either in the design phase or under construction at the end of the year. These projects totaled $1,145,683 at the end of the year. Additional information on the City's capital assets can be found in note 4. Long-term debt — At the end of the current fiscal year, the City of Diamond Bar's total long-term debt equaled $13,321,584. The following table shows the breakdown of the debt outstanding. City of Diamond Bar Outstanding Long Term Debt at Year-end Variable Rate Lease Revenue Bonds (backed by the Public Financing Authority) $ 13,025,000 Unamoritzed Bond Discount (114,625) Compensated Absences (backed by the City) 411,209 $ 13,321,584 ' Additional ini:ormation on the City's long-term debt can be found in note 5. ISee independent auditors' report. -11- CITY OF DIAMOND BAR Management's Discussion and Analysis (Continued) June 30, 2008 Economic Factors and Next Year's Budgets and Rates While the City maintains a diverse and upscale housing stock, the City's economy is equally dependent on commercial and retail revenues. The City's concentration on maintaining and attracting new business clientele is of utmost importance. The City's 2008-2009 budget is a fiscally conservative budget. As a result of the slow down in the economy anticipated revenues in the General Fund show a slight rise with the exception of development related fees. At the same time, the expenditure budget is slightly less than last year's appropriations. The City has made a conscientious decision to use some general fund balance reserves for economic development purposes. As a result, the fiscal year 08 budget includes an appropriation for economic development. It is anticipated that these efforts will continue to be rewarded in the near future with the development of several new retail spaces. Contacting the City's Financial Management This financial report is designed to provide our citizens, taxpayers, customers, and creditors with a general overview of the City of Diamond Bar's finances and to show the City's accountability for the money it receives. If you have questions about this report or need additional financial information, contact the City's Finance Department, at the City of Diamond Bar, 21825 Copley Drive, Diamond Bar, California 91765. See independent auditors' report. -12- GOVERNMENT—WIDE FINANCIAL STATEMENTS 1 II 1 1 THIS PAGE LEFT BLANK INTENTIONALLY 1 1 1 1 1 t 1 1 1 1 1 1 CITY OF DIAMOND BAR STATEMENT OF NET ASSETS June 30, 2008 ASSETS: Cash and investments (Note 2) Accounts receivable Interest receivable Due from other governments Due from employees Notes receivable Deferred charges Restricted assets: Cash and investments with fiscal agents (Note 2) Capital assets, not depreciated (Note 4) Capital assets, depreciated, net (Note 4) TOTAL AS SETS LIABILITIES: Accounts payable Accrued payroll Interest payable Deposits payable Retentions payable Unearned revenue Due to other governments Advance from other governments Noncurrent liabilities (Note 5): Due within one year Due in more than one year TOTAL LIABILITIES NET ASSETS: Invested in capital assets, net of related debt Restricted for: Debt service Capital projects Specific programs Unrestricted TOTAL, NET ASSETS See independent auditors' report and notes to basic financial statements. -13- Governmental $ 42,812,278 280,597 292,635 1,821,908 927 230,435 526,459 324,533 264,235,279 119,739,017 430,264,068 2,688,174 106,079 19,320 1,126,633 90,837 931,017 478,650 204,989 515,000 12,806,584 18,967,283 370,949,296 309,533 2,912,276 889,176 36,236,504 $ 411,296,785 CITY OF DIAMOND BAR STATEMENT OF ACTIVITIES For the year ended June 30, 2008 Functions/programs Expenses Governmental activities: Net (Expense) General government $ 4,473,666 Public safety 4,944,729 Highways and streets 12,034,669 Community development 2,251,196 Parks, recreation Program Revenues and culture 5,188,977 Interest on long-term debt 392,548 Total governmental activities $ 29,285,785 1,581,597 1,635,663 174,000 (1,797,717) - - - (392,548) $ 5,858,619 $ 4,307,074 $ 219,193 (18,900,899) General revenues: Taxes: Property taxes Transient occupancy taxes Sales taxes Property taxes in lieu of sales taxes Franchise taxes Property transfer tax Other taxes Unrestricted motor vehicle in lieu Investment income Otherrevenues Total general revenues Change in net assets NET ASSETS - BEGINNING OF YEAR NET ASSETS - END OF YEAR See independent auditors' report and notes to basic financial statements. -14- 8,194,270 800,390 3,114,562 987,615 1,024,710 283,433 33,865 262,064 1,420,989 4,388 16,126,286 (2,774,613) 414,071,398 $ 411,296,785 Net (Expense) Revenue and Changes in Program Revenues Net Assets Charges Operating Capital for Grants and Grants and Governmental Services Contributions Contributions Activities $ 225,553 $ 34,169 $ - $ (4,213,944) 1,176,931 157,735 - (3,610,063) 2,851,187 1,673,027 45,193 (7,465,262) 23,351 806,480 - (1,421,365) 1,581,597 1,635,663 174,000 (1,797,717) - - - (392,548) $ 5,858,619 $ 4,307,074 $ 219,193 (18,900,899) General revenues: Taxes: Property taxes Transient occupancy taxes Sales taxes Property taxes in lieu of sales taxes Franchise taxes Property transfer tax Other taxes Unrestricted motor vehicle in lieu Investment income Otherrevenues Total general revenues Change in net assets NET ASSETS - BEGINNING OF YEAR NET ASSETS - END OF YEAR See independent auditors' report and notes to basic financial statements. -14- 8,194,270 800,390 3,114,562 987,615 1,024,710 283,433 33,865 262,064 1,420,989 4,388 16,126,286 (2,774,613) 414,071,398 $ 411,296,785 IFUND FINANCIAL STATEMENTS r-il Ci J 0 �J THIS PAGE LEFT BLANK INTENTIONALLY IGOVERNMENTAL FUNDS GENERAL FUND The General Fund has been classified as a major fund and is used to account for resources traditionally associated with government, which are not legally or by sound financial management to be accounted for in another fund. SPECIAL REVENUE FUNDS iThe Special Revenue Funds are used to account for the proceeds of specific revenue sources that are restricted by law or administrative action for a specified purpose. The following Special Revenue Funds have been classified as major funds in the accompanying financial statements: Park and ]Facility Development Fund - This fund is used to account for the development and enhancement of the City's parks. Proposition IB Bond Fund - This fund is used to account for the receipt and expenditures of Proposition 1B Bond funds from the State of California. CITY OF DIAMOND BAR BALANCESHEET GOVERNMENTAL FUNDS June 30, 2008 ASSETS ASSETS: Cash and investments Cash and investments with fiscal agents Accounts receivable Interest receivable Due from other funds (Note 3) Due from employees Due from other governments Notes receivable TOTAL ASSETS LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable Accrued payroll Deposits payable Due to other funds (Note 3) Deferred revenue Retentions payable Advances from other governments TOTAL LIABILITIES FUND BALANCES: Reserved for: Encumbrances Bond retirement Debt service Unreserved, Reported in: General Fund Special Revenue Funds Capital Projects Funds TOTAL FUND BALANCES TOTAL LIABILITIES AND FUND BALANCES Special Revenue Funds Park and Facility Proposition General Development 1B Bond Fund Fund Fund $ 34,204,926 $ 1,320,237 $ 938,839 15,000 - - 219,607 - - 292,635 - - 243,660 - - 927 - - 1,255,024 - - $ 36,231,779 $ 1,320,237 $ 938,839 $ 1,603,825 $ 17,792 S 101,565 - - 1,126,633 - 470,242 - 931,017 3,302,265 17,792 931,017 See independent auditors' report and notes to basic financial statements. -16- 958,231 144,586 906,156 - - 31,065,127 - - - 1,157,859 7,822 32,929,514 1,302,445 7,822 $ 36,231,779 $ 11320,237 $ 938,839 Otheir Total Governmental Governmental Funds Funds 1,066,557 $ 2,688,174 4,514 4,266,229 309,533 $ 40,730,231 324,533 1,126,633 60,990 280,597 71,833 - 292,635 243,660 90,837 204,989 927 1,682,390 566,884 1,821,908 230,435 230,435 $ 5,4341071 $ 43,924,926 1,066,557 $ 2,688,174 4,514 106,079 - 1,126,633 243,660 243,660 71,833 1,473,092 90,837 90,837 204,989 204,989 1,682,390 5,933,464 5,356,131 6,458,948 - 906,156 309,533 309,533 - 31,065,127 3,789,871 4,955,552 (5,703,854) (5,703,854) 3,751,681 37,991,462 $ 5,434,071 $ 43,924,926 THIS PAGE LEFT BLANK INTENTIONALLY -18- t 11 CITY OF DIAMOND BAR RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENT OF NET ASSETS June 30, 2008 Fund balances for governmental funds Amounts reported for governmental activities in the Statement of Net Assets are different because: Capital assets, net of depreciation, have not been included as financial resources in governmental fund activity. Long-term liabilities applicable to the City governmental activities are not due and payable in the current period and accordingly are not reported as fund liabilities. Also, bond issuance costs do not provide current financial resources and are not reported in the governmental funds. All liabilities, both current and long-term, are reported in the Statement of Net Assets. Balances at June 30, 2008 are: Bonds payable $(13,025,000) Deferred charges for issuance costs 526,459 Bond discount 114,625 Compensated absences (411,209) Accrued interest payable from the current portion of interest due on bonds payable has not been reported in the governmental funds. Certain amounts due from other governments that are not available to pay for current period expenditures and, therefore, are recorded as deferred revenue in the governmental funds. Internal service funds are used by management to charge the costs of certain activities, such as equipment management, to individual funds. The assets and liabilities of the internal service funds must be added to the Statement of Net Assets. Net assets of governmental activities See independent auditors' report and notes to basic financial statements. -19- $ 37,991,462 383,910,090 (12,795,125) (19,320) 542,075 1,667,603 $ 411,296,785 CITY OF DIAMOND BAR STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS For the year ended June 30, 2008 REVENUES: Taxes Special assessments Intergovernmental revenue Charges for services Fines and forfeitures Licenses, permits and fees Investment income Otherrevenues TOTAL REVENUES EXPENDITURES: Current: General government Public safety Highways and streets Parks, recreation and culture Community development Capital outlay Debt service: Principal Interest and fiscal charges TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES (USES): Transfers in Transfers out TOTAL OTHER FINANCING SOURCES (USES) NET CHANGE IN FUND BALANCES 3,987,656 - 4,927,377 - 2,511,382 - 3,714,762 - 1,702,734 17,791 - 16,843,911 17,791 - 3,687,477 Special Revenue Funds 45,193 Park and Facility Proposition General Development 1B Bond Fund Fund Fund $ 10,165,881 $ (1,692,411) 4,611,368 1,062,895 37,371 637,484 - ' 2,947,476 174,000 - 1,343,002 67,477 7,822 826,177 - - 20,531,388 1,304,372 45,193 3,987,656 - 4,927,377 - 2,511,382 - 3,714,762 - 1,702,734 17,791 - 16,843,911 17,791 - 3,687,477 1,286,581 45,193 1,439,832 26,825 - (2,659,345) (1,719,236) (37,371) (1,219,513) (1,692,411) (37,371) 2,467,964 (405,830) 7,822 FUND BALANCES - BEGINNING OF YEAR 30,461,550 1,708,275 FUND BALANCES - END OF YEAR $ 32,929,514 $ 1,302,445 $ 7,822 See independent auditors' report and notes to basic financial statements. -20- Other Governmental Funds Total Governmental Funds $ - $ 10,165,881 543,561 543,561 4,185,314 9,896,948 1,111,655 1,111,655 - 637,484 - 3,121,476 210,956 1,629,257 826,177 6,051.486 27,932,439 3,987,656 6,581 4,933,958 2,415,036 4,926,418 - 3,714,762 525,971 2,246,496 4,271,890 4,271,890 255,000 255,000 411,583 411,583 7,886,061 24,747,763 (1,834,575) 3,184,676 5,799,492 7,266,149 (3,192,797) (7,608,749) 2,606,6195 (342,600) 772,120 2,842,076 2,979,561 35,149,3 86 $ 3,751,681 $ 37,991,462 CITY OF DIAMOND BAR RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES TO THE STATEMENT OF ACTIVITIES For the year ended June 30, 2008 Amounts reported for governmental activities in the statement of activities are different because: Net change in fund balances - total governmental funds $ 2,842,076 Governmental funds report capital outlays as expenditures. However, in the Statement of Activities, the cost of those assets is allocated over the estimated useful lives as depreciation expense. This is the amount by which depreciation exceeded capital expenses in the current period: $ 1,702,372 Capital expenditures (6,097,833) (4,395,461) Depreciation expense The net effect of various miscellaneous transactions involving capital assets (5,510) (i.e. sales, trade-ins and donations) is to decrease net assets. The issuance of long term debt provides current financial resources to governmental funds, while the repayment of the principal of long-term debt consumes the current financial of governmental funds. Neither transaction, however, has any effects on net assets. Also, governmental funds report the effect of issuance costs, premiums, discounts and similar discounts and similar items when the debt is first issued, whereas these amounts are deferred and amortized in the Statement of Activities. These amounts are the net effect of these differences in the treatment of long-term debt and related items: $ 255,000 Principal payment (4,585) Amortization of bond discount (21,058) Amortization of issuance costs (80,144) 149,213 Compensated absences Some expenses reported in the Statement of Activities do not require the use of current financial resources and therefore are not reported as expenditures in the governmental 23,620 funds: Interest expense Some revenues reported in the governmental funds are for funds that become available in the current year. These funds were already reported as revenues in the Statement of Activities (1,494,262) in prior years. Internal service funds are used by management to charge the costs of certain activities, such as self-insurance, equipment management, and computer management, to individual funds. The net revenues (expenses) of the internal service funds is reported with 105,711 governmental activities. $(2,774,613) Change in net assets of governmental activities See independent auditors' report and notes to basic financial statements. -22- CURRENT ASSETS: Cash and investments NONCURRENT ASSETS: Capital assets: Machinery and equipment Less accumulated depreciation TOTAL NONCURRENT ASSETS TOTAL ASSETS CURRENT LIABILITIES: Accounts payable Invested in capital assets Unrestricted TOTAL NET ASSETS CITY OF DIAMOND BAR STATEMENT OF NET ASSETS PROPRIETARY FUNDS June 30, 2008 ASSETS NET ASSETS See independent auditors' report and notes to basic financial statements. -23- Internal Service Funds $ 2,082,047 211,580 (147,374) 64,206 2,146,253 478,650 64,206 1,603,397 $ 1,667,603 CITY OF DIAMOND BAR STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS PROPRIETARY FUNDS For the year ended June 30, 2008 Internal Service OPERATING EXPENSES: $ 285,105 Insurance premiums 4,898 Maintenance and operations 19,881 Depreciation 309,884 TOTAL OPERATING EXPENSES (309,884) OPERATING LOSS NONOPERATING REVENUES: 72,995 Investment income (236,889) LOSS BEFORE TRANSFERS 342,600 TRANSFERS IN 105,711 CHANGE IN NET ASSETS TOTAL NET ASSETS - BEGINNING OF YEAR 1,561,892 $ 1,667,603 TOTAL NET ASSETS - END OF YEAR See independent auditors' report and notes to basic financial statements. -24- CITY OF DIAMOND BAR STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For the year ended June 30, 2008 CASH FLOWS FROM OPERATING ACTIVITIES: Insurance payments CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES: Cash received from other funds CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES: Purchase of capital assets CASH FLOWS FROM INVESTING ACTIVITIES: Investment income NET INCREASE IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR CASH AND CASH EQUIVALENTS - END OF YEAR RECONCILIATION OF OPERATING LOSS TO NET CASH USED BY OPERATING ACTIVITIES: Operating; loss Adjustments to reconcile operating loss to net cash used by operating activities: Depreciation Changes in operating assets and liabilities: Increase (decrease) in accounts payable NET CASH USED BY OPERATING ACTIVITIES See independent auditors' report and notes to basic financial statements. -25- Internal Service Funds $ (318,280) 342,600 (17,794) 72,995 79,521 2,002,526 $ 2,082,047 19,881 (28,277) $ (318,280) THIS PAGE LEFT BLANK INTENTIONALLY -26- 1 Il 1 t �J i i NOTES TO BASIC FINANCIAL STATEMENTS THIS PAGE LEFT BLANK INTENTIONALLY CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS June 30, 2008 1. REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES: a. Description of Reporting Entity: The City of Diamond Bar (the City) was incorporated April 18, 1989 as a "General Law" City governed by an elected five -member city council. As required by accounting principles generally accepted in the United States of America, these financial statements present the City of Diamond Bar (the primary government) and its component units. The component units discussed below are included in the City's reporting entity because of the significance of their operational or financial relationship with the City. These entities are legally separate from each other. However, the City of Diamond Bar's elected officials have a continuing full or partial accountability for fiscal matters of the other entities. The financial reporting entity consists of: (1) the City (2) organizations for which the City is financially accountable; and, (3) organizations for which the nature and significance of their relationship with the City are such. that exclusion would cause the City's financial statements to be misleading or incomplete. An organization is fiscally dependent on the primary government if it is unable to adopt its budget, levy taxes or set rates or charges, or issue bonded debt without approval by the primary ' govf;rnment. In a blended presentation, a component unit's balances and transactions are reported in a manner similar to the balances and transactions of the City. Component units are presented on a blended basis when the component unit's governing body is substantially the same as the City's or the component unit provides services almost entirely to the City. Blended Co ponent Units: The Diamond Bar Community Redevelopment Agency (the Agency) was established February 6, 1996, pursuant to the State of California Health and Safety Code, Section 33000, entitled "Community Redevelopment Law". Although it is a legally separate entity from the City, the Agency is reported as if it were part of the City because of its purpose to prepare and execute plans for improvement, rehabilitation and redevelopment of blighted areas within the territorial limits of the City. According to the California Supreme Court's decision on August 9, 2000, the Agency's Redevelopment Plan was deemed invalid. No activities occurred during the year ended June 30, 2008. Accordingly, no financial statements of the Agency were issued. The Diamond Bar Public Financing Authority (the Authority) was formed on November 19, 2002. The purpose of the Authority is to issue debt to finance public improvements and other capital purchases for the City and Agency. The activity of the Authority is reported in debt service and capital projects funds. 1 See independent auditors' report. -27- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): b. Government -Wide and Fund Financial Statements: The government -wide financial statements (i.e., the statement of net assets and the statement of changes in net assets) report information on all of the nonfiduciary activities of the City. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business -type activities, which rely to a significant extent on fees and charges for support. The City has no business -type activities. The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds and proprietary funds. Major individual governmental funds are reported as separate columns in the fund financial statements. c. Measurement Focus, Basis of Accounting, and Financial Statement Presentation: The basic financial statements of the City are composed of the following: • Government -wide financial statements 0 Fund financial statements • Notes to basic financial statements See independent auditors' report. -28- L CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 1. REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): c. Measurement Focus, Basis of Accounting, and Financial Statement Presentation (Continued): The government -wide financial statements and proprietary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Under the economic resources measurement focus, all assets and liabilities (current and long-term) are reported. Under the accrual basis of accounting, revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the fiscal year, which the taxes are levied. Revenue from grants, entitlements, and donations is recognized in the fiscal year in which all the eligibility requirements imposed by the provider have been met. 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 City's internal service funds are charges to customers for services. Operating expenses for the proprietary funds include the cost of services, 1 administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under the current financial resources measurement focus, generally only current assets and liabilities are reported in the ' governmental funds. Governmental fund operating statements present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current asserts. Under the modified accrual basis of accounting, revenues are recognized as soon as ' they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected ' within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, except for principal and interest on general long-term liabilities, claims and judgments, and compensated absences which are recognized as expenditures only when 1 payment is due. I See independent auditors' report. -29- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): c. Measurement Focus, Basis of Accounting, and Financial Statement Presentation (Continued): Property taxes, taxpayer -assessed taxes, such as sales taxes, gas taxes, and transient occupancy taxes, 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. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and available only when cash is received by the government. The accounts of the City are organized and operated on the basis of funds, each of which is considered a separate accounting entity with a self -balancing set of accounts, established for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions or limitations. 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. d. Fund Classifications: The City reports the following major governmental funds: The General Fund is the primary operating fund of the City and is used to account for all revenues 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, Public Works, Building and Safety, and Parks and Recreation. The Park and Facility Development Special Revenue Fund - This fund is used to account for the development and enhancement of the City's parks. The Proposition 1B Bond Fund - This fund is used to account for the receipt and expenditures of Proposition 1B Bond funds from the State of California. See independent auditors' report. -30- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 1. REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): ' d. Fund Classifications (Continued): ' The City's fund structure also includes the following fund types: GOVERNMENTAL FUNDS Special Revenue Funds are used to account for the proceeds of specific revenue sources that are restricted by law or administrative action for a specified purpose. Debt Service Fund is used primarily to account for the accumulation of resources for the payment of principal and interest on long-term liabilities of the City. Capital Projects Fund is used to account for financial resources to be used for the acquisition or 1 construction of major capital facilities (other than those financed by Special Revenue Funds). PROPRIETARY FUNDS ' Internal Service Funds have been established to finance and account for goods and services provided by one City department to other City departments or agencies. These activities ' include self-insurance, equipment and computer maintenance. e. Investments: 1 For financial reporting purposes, investments are stated at 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. 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 balances. 1� See independent auditors' report. -31- i CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 I. REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): f. Cash and Cash Equivalents: For purposes of the statement of cash flows, cash and 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 (an original maturity date of three months or less from the date of purchase) that they present insignificant risk of changes in value because of changes in interest rates. Cash and cash equivalents also represent the proprietary funds' share in the cash and investment pool of the City. All cash and investments of the proprietary (internal service) funds are pooled with the City's pooled cash and investments and are therefore considered cash equivalents for purposes of the statement of cash flows. g. Capital Assets: Capital assets (including infrastructure) are recorded at cost where historical records are available and at an estimated original cost where no historical records exist. Contributed capital assets are valued at their estimated fair market value at the date of contribution. Capital asset purchases (other than infrastructure) in excess of $1,500 are capitalized if they have an expected useful life of three years or more. Capital assets include additions to public domain (infrastructure), certain improvements including roads, streets, sidewalks, medians and storm drains within the City. In the fiscal year ended June 30, 2008, the City, with the assistance of an outside consultant, valued and recorded its public domain assets acquired prior to July 1, 2002. The City now has all of its infrastructure asset data valued and recorded in its entirety as of June 30, 2008. Capital assets used in operations are depreciated over their estimated useful lives using the straight-line method in the Government -wide and Proprietary Fund Financial Statements. Depreciation is charged as an expense against operations and accumulated depreciation is reported on the respective balance sheet. The lives used for depreciation purposes of each capital asset class are: Buildings and improvements Furniture and fixtures Vehicles and equipment Infrastructure See independent auditors' report. -32- 10 - 20 years 3-5years 5 years 10 - 50 years CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 1. REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): Ih. Encumbrances: Encumbrance accounting, under which purchase orders, contracts and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation, is employed as an extension of formal budgetary control in the governmental funds. Encumbrances outstanding at year-end do not constitute expenditures or liabilities, but are reported as reservations of fund balance. i. Compensated Absences: ' Vacation and sick leave time begin to accumulate as of the first day of employment to a maximum of 160 hours. Employees who accumulate sick leave in excess of 160 hours are paid for the excess annually at one half the employee's current wage rate. A liability is recorded for unused vacation and similar compensatory leave balances since the employees' entitlement to these balances are attributable to services already rendered and it is ' probable that virtually all of these balances will be liquidated by either paid time off or payments upon termination or retirement. ' A liability is recorded for unused sick leave balances only to the extent that it's probable that the unused balances will result in termination payments. This is estimated by including in the liability the unused balances of employees currently entitled to receive termination payments, ' as well as those who are expected to become eligible to receive termination benefits as a result of continuing their employment with the City. ' If ars employee terminates with a minimum of one year of service, the employee is entitled to receive 10% of the value of his unused sick leave. The percentage increases to 50% for two to three years of service and 100% of the value of his unused sick leave upon the completion of ' more than three years of continuous employment. ' j. Deferred Charges: Deferred charges represent capitalized costs incurred in connection with the issuance of ' long; term debt. These costs are amortized over the life of the debt on a straight-line basis. I See independent auditors' report. -33 - CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 1. REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED): k. 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 go into a pool, and are then allocated to the cities based on complex formulas. Accordingly, the City accrues only those taxes which are received from the County within 60 days after year end. Property taxes are assessed and collected each fiscal year according to the following property tax calendar: Lien date Levy date Due dates Collection dates Delinquent dates 1. Use of Estimates: January 1 July 1 November 1 - 1St installment February 1 - 2nd installment December 10 - 1St installment April 10 - 2nd installment December 11 - 1St installment April 11 - 2nd installment The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenditures during the reporting period. Actual results could differ from those estimates. See independent auditors' report. -34- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 2. CASH AND INVESTMENTS: Cash and Investments: Cash and investments at June 30, 2008 consisted of the following: Statement of Net Assets: Cash and investments $ 42,812,278 Cash and investments with fiscal agents 324,533 $ 43,136,811 Cash and investments held by the City at June 30, 2008 consisted of the following: Imprest cash on hand $ 1,500 Dea►and deposits (overdraft) (65,765) Escrow deposits 15,000 Investments: U.S. Government Sponsored Enterprise Securities 8,000,000 Repurchase agreements 892,584 Local agency investment fund 33,983,959 Held by Bond Trustee: Money Market Mutual Funds 309,533 See independent auditors' report. -35- 43.136.811 CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 2. CASH AND INVESTMENTS (CONTINUED): Investments Authorized by the California Government Code and the City's Investment Policv: The table below identifies the investment types that are authorized for the City by the California Government Code (or the City's investment policy, where more restrictive). The table also identifies certain provisions of the California Government Code (or the City's investment policy, where more restrictive) that address interest rate risk, credit risk, and concentration of credit risk. This table does not address investments of debt proceeds held by bond trustee that are governed by the provisions of debt agreements of the City, rather than the general provisions of the California Government Code or the City's investment policy. Medium -Term Corporate Notes (1) 5 years 30% None Local Agency Investment Fund (LAIF) N/A None $ 40,000,000 * - Excluding amounts held by bond trustee that are not subject to California Government Code restrictions. (1) Notes must be rated "A" or better. N/A - Not Applicable See independent auditors' report. -36- Maximum Maximum Maximum Percentage Investment Authorized Investment Type Maturity_ of Portfolio* in One Issuer United States (U.S.) Treasury Obligations 5 years None None U.S. Government Sponsored Enterprise Securities 5 years 20% None Banker's Acceptances 180 days 40% 30% Time Certificate of Deposits 5 years None None Commercial Paper 270 days 25% 10% Negotiable Certificates of Deposit 5 years 30% None Money Market Mutual Funds N/A 15% None Repurchase Agreements 1 year None None Medium -Term Corporate Notes (1) 5 years 30% None Local Agency Investment Fund (LAIF) N/A None $ 40,000,000 * - Excluding amounts held by bond trustee that are not subject to California Government Code restrictions. (1) Notes must be rated "A" or better. N/A - Not Applicable See independent auditors' report. -36- 1 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 shorter term and longer 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 1 needed for operations. I See independent auditors' report. -37- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS ' (CONTINUED) June 30, 2008 2. CASH AND INVESTMENTS (CONTINUED): Investments Authorized by Debt Agreements: ' Investments of debt proceeds held by bond trustee are governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City's investment policy. The table below identifies the investment types that are authorized for 1 investments held by bond trustee. The table also identifies certain provisions of these debt agreements that address interest rate risk, credit risk, and concentration of credit risk. Maximum Percentage/ Maximum Maximum Amount Investment Authorized Investment Type Maturity Allowed in One Issuer U.S. Treasury Obligations None None None U.S. Government Sponsored Enterprise Securities None 10% None Banker's Acceptances 1 year None None Time Certificate of Deposits None None None Local Agency Investment Fund None None None Money :Market Funds None None None Repurchase Obligations Tax Exempt 30 days None None Taxable Government Money Market Portfolios None Equal to six None months of principal and interest on the bonds 1 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 shorter term and longer 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 1 needed for operations. I See independent auditors' report. -37- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 2. CASH AND INVESTMENTS (CONTINUED): Disclosures Relating to Interest Rate Risk (Continued): 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: Investment Type U.S. Government Sponsored Enterprise Securities Repurchase Agreements Local Agency Investment Fund Held by Bond Trustee: Money Market Mutual Funds Disclosures Relating to Credit Risk: Remaining Maturity (in Months) 12 Months 13-24 25-60 or Less Months Months Total $ - $ 1,000,000 $ 7,000,000 $ 8,000,000 892,584 - - 892,584 33,983,959 - - 33,983,959 309,533 - 309,533 35,186,076 _ 1.000.000 7.000.000 43.186.076 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. Presented below is the minimum rating required by (where applicable) the California Government Code, the City's investment policy, or debt agreements, and the actual rating, as reported by Standard and Poor's, as of year end for each investment type: Investment Tvne U.S. Government Sponsored Enterprise Securities Repurchase Agreements Local Agency Investment Fund Held by Bond Trustee: Money Market Mutual Funds Total N/A - Not Applicable Total Minimum as of Legal _June 30, 2008 Rating__ $ 8,000,000 N/A 892,584 N/A 33,983,959 N/A 309,533 AAA $ 43,18607 See independent auditors' report. -38- AAA Unrated $ 8,000,000 $ - - 892,584 - 33,983,959 309.533 $ 8,309,533 34.876.543 CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 1 2. CASH AND INVESTMENTS (CONTINUED): Disclosures Relating to Custodial Credit Risk: Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for ' investments is the risk that, in the event of the failure of the counterparty (e.g., broker-dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. The California Government Code and the City's investment policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for deposits or investments, other than the following provision for deposits: The California Government Code requires that a financial institution secure deposits made by state or local governmental units by pledging securities in an undivided collateral pool held by a depository regulated under state law (unless so waived by the governmental unit). The market value of the pledged securities in the collateral pool must equal at least 110% of the total amount deposited by the public agencies. California law also allows financial institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150% of the secured public deposits. The City does not accept 150% of the secured public totals. At June 30, 2008, the City deposits (bank balances) were insured by the Federal Depository Insurance Corporation up to $100,000 and the remaining balances were collateralized under California Law. The cash and investments held by Bond Trustee are uninsured and uncollateralized. Investment in State Investment Pool: The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of Califon -iia. 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 fz)r the entire LAIF portfolio (in relation 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. i 1 See independent auditors' report. -39- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 3. INTERFUND RECEIVABLES, PAYABLES AND TRANSFERS: The composition of interfund balances as of June 30, 2008, is as follows: Due To/From Other Funds: Receivable Fund Payable Fund Amount General Fund Other Governmental Funds 243,660 The amounts loaned from the General Fund to the Other Governmental Funds are to provide a short-term loan to fund temporary cash shortfalls. Interfund Transfers: Transfers In Transfers Out Amount General Fund Other Governmental Funds $ 1,439,832 Park and Facility Development Special Revenue Fund Other Governmental Funds 26,825 Other Governmental Funds General Fund 2,316,745 Park and Facility Development Special Revenue Fund 1,719,236 Proposition 1B Bond Special Revenue Fund 37,371 Other Governmental Funds 1,726,140 Internal Service Funds General Fund 342.600 7.608.749 Transfers to the General Fund from the Other Governmental Funds were made to reimburse the General Fund for various capital projects. Transfers from the General Fund to the Other Governmental Funds were made to provide for debt service payments and capital projects costs. Transfers from the General Fund to the Internal Service Funds were made to provide for purchases of a vehicle and equipment and uninsured insurance losses. See independent auditors' report. -40- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS ' (CONTINUED) June 30, 2008 ' 4. CAPITALASSETS: A summary of changes in the Governmental Activities capital assets at June 30, 2008 is as follows: Balance Balance at July 1, 2007 Additions Deletions June 30, 2008 Capital assets, not being depreciated: Land $ 6,206,190 $ $ $ - - 6,206,190 Right of way 256,536,095 - - 256,536,095 ' Construction in progress Totals capital assets, 1,322,219 1,486,532 (1,315,757) 1,492,994 not being depreciated 264,064,504 1,486,532 (1,315,757) _ 264,235,279 Capital assets, being depreciated: Building and improvements 23,931,012 177,143 - 24,108,155 Furniture and fixtures 68,505 1,829 - 70,334 Vehicles and equipment 1,548,567 194,891 (9,195) 1,734,263 Infrastructure 179,389,923 1,175,692 (70,155) 180,495,460 Total capital assets being depreciated 204,938,007 1,549,555 (79,350) 206,408,212 Less accumulated depreciation for: ' Building and improvements (7,428,095) (1,484,600)_ (8,912,695) Furniture and fixtures (59,690) (2,952) (62,642) Vehicles and equipment (915,664) (172,713) 7,192 (1,081,185) 1 Infrastructure (72,221,872) (4,457,449) 66,648 (76,612,673) Total accumulated depreciation (80,625,321) (6,117,714) 73,840 (86,669,195) Total capital assets being depreciated, net 124,312,686 (4,568,159) (5,510) 119.739,017 Total Governmental Activities capital assets, net X388,377,190 (3,081,6 27) (1.321.267) X383,974296 Depreciation expense was charged to functions in the Statement of Activities as follows: General government $ 105,432 ' Public safety Highways and streets 10,771 4,467,086 Community development 12,782 Parks, recreation and culture 1,501,762 Internal Service Funds depreciation charges to program 19,881 6.117.714 See independent auditors' report. -41 - CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 5. LONG-TERM LIABILITIES: Long-term liability activity for the year ended June 30, 2008, was as follows: Bonds Payable: In December 2002, the Diamond Bar Public Financing Authority issued $13,755,000 of 2002 Series A Variable Rate Lease Revenue Bonds to finance the construction of a community/senior center project and other public improvements within the City. The bonds are special limited obligations of the Authority payable solely from revenues, consisting primarily of base rental payments paid by the City. The variable interest rate on the bonds is reset on a bi-weekly basis. As of June 30, 2008, $13,025,000 of the bonds are outstanding. In conjunction with the Bonds, the Authority executed a rate cap agreement on December 2, 2002 (the Agreement) with JPMorgan Chase (Counterparty) to minimize debt service cost on the 2002 Lease Revenue Bonds (the Bonds) by setting a cap on the interest rate on the Bonds. Under the Agreement, the Counterparty will pay the Authority an amount equal to the product of: (i) the amount by which the floating rate exceeds 4.5%, (ii) the notional principal amount and (iii) the actual number of days in the calculation period divided by 365 days. The Agreement is for a notional amount equal to the outstanding principal amount of the Bonds and will decline as the principal amount declines. The Agreement terminates on January 1, 2013. Fair Value: At June 30, 2008 the Agreement had a positive fair value of $71,950. This is the amount that the Authority would receive in the event that the Agreement is terminated. The fair value was estimated by the City's financial advisor. Credit Risk: The Counterparty, JPMorgan Chase, has the following credit ratings of. (i) Standard & Poor's, AA - and (ii) Moody's, Aa2. See independent auditors' report. -42- Beginning Ending Due Within Balance Additions Retirements Balance One Year Bonds payable: Revenue bonds $ 13,280,000 $ - $ (255,000) $ 13,025,000 $ 265,000 Unamortized discount (119,210) - 4,585 (114,625) - Compensated absences 331.065 322,377 (242,233) 411,209 250,000 Total $ 13.491.855 $ 322.377 (492.648) $ 13.321.584 $ 515.000 Bonds Payable: In December 2002, the Diamond Bar Public Financing Authority issued $13,755,000 of 2002 Series A Variable Rate Lease Revenue Bonds to finance the construction of a community/senior center project and other public improvements within the City. The bonds are special limited obligations of the Authority payable solely from revenues, consisting primarily of base rental payments paid by the City. The variable interest rate on the bonds is reset on a bi-weekly basis. As of June 30, 2008, $13,025,000 of the bonds are outstanding. In conjunction with the Bonds, the Authority executed a rate cap agreement on December 2, 2002 (the Agreement) with JPMorgan Chase (Counterparty) to minimize debt service cost on the 2002 Lease Revenue Bonds (the Bonds) by setting a cap on the interest rate on the Bonds. Under the Agreement, the Counterparty will pay the Authority an amount equal to the product of: (i) the amount by which the floating rate exceeds 4.5%, (ii) the notional principal amount and (iii) the actual number of days in the calculation period divided by 365 days. The Agreement is for a notional amount equal to the outstanding principal amount of the Bonds and will decline as the principal amount declines. The Agreement terminates on January 1, 2013. Fair Value: At June 30, 2008 the Agreement had a positive fair value of $71,950. This is the amount that the Authority would receive in the event that the Agreement is terminated. The fair value was estimated by the City's financial advisor. Credit Risk: The Counterparty, JPMorgan Chase, has the following credit ratings of. (i) Standard & Poor's, AA - and (ii) Moody's, Aa2. See independent auditors' report. -42- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 5. LONG-TERM LIABILITIES (CONTINUED): Bonds Payable (Continued): Basis Risk: The Agreement does not expose the Authority to basis risk, which refers to a mismatch between the interest rate cap of 4.5% and the variable rate payments to be made on the debt. Termination Risk: If the rate cap is terminated, the rate on the Bonds that the Authority would prospectively have to pay will not be subject to the cap rate of 4.5%. The termination of the Agreement could therefore increase; the Authority's total debt service in the event that the variable rate is higher than the cap rate of 4.5%. At June 30, 2008, the Agreement had a positive fair value of $71,950. Payments and Associated Debt: Using a variable rate of 2.730% as of June 30, 2008, debt service requirements of the Bonds and the Counterparty's payments, assuming current interest rates remain the same for remainder of the term of the Agreement, are as follows. As rates vary, the variable rate interest payments and net rate cap payments will vary. Variable Rate Debt Counter- Net Year Ending party Debt June 30, Principal Interest Total Pa ents Service 2009 $ 265,000 $ 355,583 $ 620,583 $ 230,542 $ 851,125 2010 280,000 348,348 628,348 225,852 854,200 2011 290,000 340,704 630,704 220,896 851,600 2012 305,000 332,787 637,787 215,763 853,550 2013 320,000 324,461 644,461 210,364 854,825 2014-2018 1,835,000 1,482,937 3,317,937 961,463 4,279,400 2019-2023 2,310,000 1,207,889 3,517,889 783,136 4,301,025 2024-2028 2,910,000 861,180 3,771,180 558,345 4,329,525 2029-2033 3,670,000 424,379 4,094,379 275,146 4,369,525 2034 840,000 22,932 862,932 14,868 877,800 13,025,000 1. 5,701,200 5 18,726,200 S 3,696.375 $ 22.422,575 Compensated Absences: The City's policies relating to compensated absences are described in Note 1. This liability, amounting to $407,988 at June 30, 2008, is expected to be paid in future years from future resources, typically liquidated from the General Fund. See independent auditors' report. -43- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 6. LIABILITY, PROPERTY AND WORKERS' COMPENSATION PROTECTION: The City is a member of the California Joint Powers Insurance Authority (the Insurance Authority). The Insurance Authority is composed of 119 California public entities and is organized under a joint powers agreement pursuant to California Government Code Section 6500 et seq. The purpose of the Insurance Authority is to arrange and administer programs for the pooling of self-insured losses, to purchase excess insurance or reinsurance, and to arrange for group -purchased insurance for property and other coverages. The Insurance Authority's pool began covering claims of its members in 1978. Each member government has an elected official as its representative on the Board of Directors. The Board operates through a 9 -member Executive Committee. a. Self -Insurance Programs of the Authority: General Liability Each member government pays a primary deposit to cover estimated losses for a fiscal year (claims year). After the close of a fiscal year, outstanding claims are valued. A retrospective deposit computation is then made for each open claims year. Claims are pooled separately between police and nonpolice. Costs are spread to members as follows: the first $30,000 of each occurrence is charged directly to the member's primary deposit; costs from $30,000 to $750,000 and the loss development reserves associated with losses up to $750,000 are pooled based on the member's share of losses under $30,000. Losses from $750,000 to $5,000,000 and the associated loss development reserves are pooled based on payroll. Costs of covered claims from $5,000,000 to $50,000,000 are currently paid by excess insurance. Costs of covered claims for subsidence losses from $15,000,000 to $25,000,000 are paid by excess insurance. The protection for each member is $50,000,000 per occurrence and $50,000,000 annual aggregate. Administrative expenses are paid from the Insurance Authority's investment earnings. Workers' Compensation The City also participates in the workers compensation pool administered by the Insurance Authority. Each member pays a primary deposit to cover estimated losses for a fiscal year (claims year). After the close of a fiscal year, outstanding claims are valued. A retrospective deposit computation is then made for each open claims year. Claims are pooled separately between public safety and non-public safety. See independent auditors' report. -44- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) ' June 30, 2008 6. LIABILITY, PROPERTY AND WORKERS' COMPENSATION PROTECTION (CONTINUED): a. Sell" -Insurance Programs of the Authority (Continued): Workers' Compensation (Continued) Each member has a retention level of $50,000 for each loss and this is charged directly to the mernber's primary deposit. Losses from $50,000 to $100,000 and the loss development reserve associated with losses up to $100,000 are pooled based on the member's share of losses under $50,,000. Losses from $100,000 to $2,000,000 and employer's liability losses from $5,000,000 to $10,000,000 and loss development reserves associated with those losses are pooled based on payroll. Losses from $2,000,000 to $5,000,000 are pooled with California State Association of Counties - Excess Insurance Authority members. Costs from $2,000,000 to $300,000,000 are transferred to reinsurance carriers. Costs in excess of $300,000,000 are pooled among the Members based on payroll. Protection is provided per statutory liability under California Workers' Compensation law. Administrative expenses are paid from the Insurance Authority's investment earnings. b. Purchased Insurance: Environmental Insurance The City participates in the pollution legal liability and remediation legal liability insurance which is available through the Insurance Authority. This policy covers sudden and gradual pollution of scheduled property, streets, and storm drains owned by the City. Coverage is on a claims -made basis. There is a $50,000 deductible. The Insurance Authority has a limit of $50,000,000 for the 3 -year period from July 1, 2005 through July 1, 2008. Each member of the Insurance Authority has a $10,000,000 limit during the 3 -year term of the policy. Property Insurance The City participates in the all-risk property protection program of the Insurance Authority. This insurance protection is underwritten by several insurance companies. The City's property is cmTently insured according to a schedule of covered property submitted by the City to the Insurance Authority. The City's property currently has all-risk property insurance protection in the amount of $17,659,518. There is a $5,000 deductible per occurrence except for non -emergency vehicle insurance which has a $1,000 deductible. Premiums for the coverage are paid annually and are not subject to retroactive adjustments. See independent auditors' report. -45- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 6. LIABILITY, PROPERTY AND WORKERS' COMPENSATION PROTECTION (CONTINUED): b. Purchased Insurance (Continued): Crime Insurance The City purchases crime insurance coverage in the amount of $1,000,000 with $2,500 deductible. The fidelity coverage is provided through the Insurance Authority. Premiums are paid annually and are not subject to retroactive adjustments. c. Adequacy of Protection: During the past three fiscal (claims) 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. The aforementioned information is not included in the accompanying financial statements. Complete financial statements for the Authority may be obtained at their administrative office located at 8081 Moody Street, La Palma, California 90623. 7. OTHER REQUIRED INDIVIDUAL FUND DISCLOSURES: Deficit Fund Balance The following fund reported a deficit fund balance at June 30, 2008: Other Governmental Fund: Capital Improvement Capital Projects Fund 361,238 The Capital Improvement Capital Projects Fund deficit will be funded with various government grants in future years. See independent auditors' report. -46- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 8. PENSION PLAN: Plan Description: The City of Diamond Bar participates in the Miscellaneous 2% at 55 Risk Pool of the California Public Employee's Retirement System (PERS), a cost-sharing, multiple -employer defined benefit pension plan administered by PERS. PERS provides retirement and disability benefits, annual cost -of -:living adjustments, and death benefits to plan members and beneficiaries. Benefit provisions and all other requirements are established by State statue and District ordinance. Copies of the PERS' annual financial report may be obtained from the PERS Executive Office - 400 P Street, Sacramento, California 95814. Fundine Policy: The contribution requirements of the plan members are established by State statute and the employer contribution rate is established and may be amended by PERS. Active City employees are required to contribute 7% of their annual covered salary to PERS. The city makes the contributions required of City employees on their behalf and for their account. The City is required to contribute the actuarially determined remaining amounts necessary to fund the benefits for its members. The current rate is 10-91% of covered payroll. The City's contributions to CalPERS for the years ending June 30, 2008, 2007 and 2006 were $373,818, $344,320 and $304,107, respectively and were equal to the required contribution for each year. 9. CONTINGENCIES: The Cit is City presently eptly involved in other matters of litigation that have arisen in the normal course of the City's business. City management believes, based upon consultation with the City Attorney, that these cases, in the aggregate, are not expected to have a material adverse financial impact on the City. ISee independent auditors' report. -47- CITY OF DIAMOND BAR NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED) June 30, 2008 10. CONSTRUCTION COMMITMENTS: The following material construction commitments existed at June 30, 2008: Expenditures as of Remaining Project Name June 30, 2008 Commitments Park Improvements $ 172,189 $ 560,005 Street Improvements 959,445 3,207,660 Miscellaneous Capital Improvements 14,725 56,227 Traffic Signals 656,262 595,871 Landscape and Irrigation Improvements 48,969 103,494 1851.590 $ 4,523.257 11. OPERATING LEASES: The City leases building and office facilities under noncancelable operating leases. The total costs for such leases were $261,727 for the year ended June 30, 2008. The future minimum lease payments for the lease of building and office facilities are as follows: Year Ending June 30, 2009 2010 2011 Total See independent auditors' report. -48- $ 264,151 268,997 179,332 $ 712.480 1 1 IREQUIRED SUPPLEMENTARY INFORMATION 1 1 1 THIS PAGE LEFT BLANK INTENTIONALLY BUDGETARY COMPARISON SCHEDULES GENERAL FUND The General Fund is used to account for resources traditionally associated with government, which are not legally or by sound financial management to be accounted for in another fund. SPECIAL REVENUE FUNDS Special Revenue Funds are used to account for the proceeds of specific revenue sources that are restricted by law or administrative action for a specified purpose. Park and Facility Development Fund - This fund is used to account for the development and enhancement of the City's parks. Proposition IB Bond Fund - This fund is used to account for the receipt and expenditures of Proposition 113 Bond funds from the State of California. 1 1 CITY OF DIAMOND BAR BUDGETARY COMPARISON SCHEDULE GENERAL FUND For the year ended June 30, 2008 See independent auditors' report and note to required supplementary information. -50- 1��1 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) REVENUES: Taxes $ 9,745,000 $ 9,764,500 $ 10,165,881 $ 401,381 Intergovernmental revenue 4,253,525 527,500 4,952,000 508,000 4,611,368 637,484 (340,632) 129,484 Fines and forfeitures Licenses, permits and fees 4,916,303 3,093,143 2,947,476 (145,667) Investment income 750,000 1,882,050 750,000 1,977,730 1,343,002 826,177 593,002 (1,151,553) Otherrevenues TOTAL REVENUES 22,074,378 21,045,373 20,531,388 (513,985) EXPENDITURES: Current: General government: City Council 175,640 195,640 160,924 34,716 City Manager/Clerk 953,690 1,001,325 868,489 132,836 City Attorney 240,000 407,800 250,000 448,423 197,252 427,354 52,748 21,069 Finance Human resources 243,620 255,270 183,622 71,648 Information systems 930,910 1,684,150 1,324,837 1,585,759 942,620 720,124 382,217 865,635 General government Public information 513,290 539,290 487,271 52,019 Subtotal general government 5,149,100 5,600,544 3,987,656 1,612,888 Public safety: Law enforcement 5,342,750 5,379,750 4,809,457 570,293 Fire protection 16,360 105,600 16,360 120,600 2,888 100,909 13,472 19,691 Animal control Emergency preparedness 43,290 43,290 14,123 29,167 Subtotal public safety 5,508,000 5,560,000 4,927,377 632,623 Highways and streets 2,716,310 3,059,460 2,511,382 548,078 Parks, recreation and culture 3,938,745 3,979,975 3,714,762 265,213 Community development 2,467,360 2,843,363 1,702,734 1,140,629 TOTAL EXPENDITURES 19,779,515 21,043,342 16,843,911 4,199,431 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 2,294,863 2,031 3,687,477 3,685,446 OTHER FINANCING SOURCES (USES): 1,518,420 1,666,054 1,439,832 (226,222) Transfers in Transfers out (3,201,042) (3,181,042) (2,659,345) 521,697 TOTAL OTHER FINANCING SOURCES (USES) (1,682,622) (1,514,988) (1,219,513) 295,475 NET CHANGE IN FUND BALANCE 612,241 (1,512,957) 2,467,964 3,980,921 FUND BALANCE - BEGINNING OF YEAR 30,461,550 30,461,550 30,461,550 - FUND BALANCE - END OF YEAR $ 31,073,791 $ 28,948,593 $ 32,929,514 $ 3,980,921 See independent auditors' report and note to required supplementary information. -50- 1��1 ICITY OF DIAMOND BAR BUDGETARY COMPARISON SCHEDULE PARK AND FACILITY DEVELOPMENT SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES w TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES (USES): Transfers in Transfers out TOTAL OTHER FINANCING SOURCES (USES) NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR Variance with Intergovernmental revenue Licenses, permits and fees Budgeted Amounts Investment income Positive TOTAL REVENUES Final EXPENDITURES: Current: $ 123,938 Community development $ 1,062,895 Capital outlay w TOTAL EXPENDITURES EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES (USES): Transfers in Transfers out TOTAL OTHER FINANCING SOURCES (USES) NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR Variance with See independent: auditors' report and note to required supplementary information. -51- Final Budget Budgeted Amounts Positive Original Final Actual(Negative) $ 123,938 $ 1,206,433 $ 1,062,895 $ (143,538) 130,500 130,500 174,000 43,500 86,000 86,000 67,477 (18,523) 340,438 1,422,933 1,304,372 (118,561) 90,000 154,500 17,791 13 6, 709 186,650 186,650 - 186,650 276,650 341,150 17,791 323,359 63,788 1,081,783 1,286,581 204,798 26,825 26,825 26,825 - (503,588) (1,742,956) (1,719,236) 23,720 (476,763) (1,716,131) (1,692,411) 23,720 (412,975) (634,348) (405,830) 228,518 1,708,275 1,708,275 1,708,275 _ $ 1,295,300 $ 1,073,927 $ 1,302,445 $ 228,518 See independent: auditors' report and note to required supplementary information. -51- CITY OF DIAMOND BAR BUDGETARY COMPARISON SCHEDULE PROPOSITION 1B BOND SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES: Intergovernmental revenue Investment income TOTAL REVENUES OTHER FINANCING USES: Transfers out NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ - $ 968,389 $ 37,371 $ (931,018) - 10,000 7,822 (2,178) 978,389 45,193 (933,196) (978,389) (37,371) 941,018 7,822 7,822 See independent auditors' report and note to required supplementary information. -52- 7,822 $ 7,822 CITY OF DIAMOND BAR NOTE TO REQUIRED SUPPLEMENTARY INFORMATION June 30, 2008 1. BUDGETS AND BUDGETARY ACCOUNTING: The City adheres to the following general procedures in establishing its annual budget, which is reflected in the accompanying basic financial statements: a. The annual budget adopted by the City Council provides for the general operation of the City. It includes proposed expenditures and the means of financing them. Budgeted appropriations lapse at the end of the year. b. The City Council approves total budgeted appropriations and amendments to appropriations throughout the year. The City Council must approve budget appropriation transfers between departments within a fund. The departments of the General Fund are considered to be departments for purposes of this requirement. Actual expenditures may not legally exceed budgeted appropriations at the fund level. c. Annual budgets are adopted for the General and Special Revenue Funds on a basis substantially consistent with accounting principles generally accepted in the United States of America. Accordingly, actual revenues and expenditures can be compared with related budgeted amounts without any significant reconciling items. Annual budges are not adopted for the Debt Service ' Funds. d. The budgetary information shown for revenues and expenditures represents the original adopted budget adjusted for any changes made by the City Council. For the year ended June 30, 2008, supplemental appropriations in the amount of $5,825,493 were made. e. Formal budgetary integration is employed as a management control device. Commitments for materials and services, such as purchase orders and contracts, are recorded during the year as encumbrances to assist in controlling expenditures. Appropriations which are encumbered at year end lapse, and then are added to the following year's budgeted appropriations. However, encumbrances at year-end are reported as reservations of fund balance. G [A ISee independent auditors' report. -53- i THIS PAGE LEFT BLANK INTENTIONALLY -54- t r ISUPPLEMENTARY INFORMATION 11 1 t i THIS PAGE LEFT BLANK INTENTIONALLY t i �J ASSETS Cash and investments Cash and investments with fiscal agents Accounts receivable Due from other governments Notes receivable TOTAL ASSETS LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable Accrued payroll Due to other funds Deferred revenue Retentions payable Advances from other governments TOTAL LIABILITIES FUND BALANCES (DEFICIT): Reserved for: Encumbrances Debt service Unreserved. reported in: Special revenue funds Capital projects fund TOTAL FUND BALANCES (DEFICIT) TOTAL LIABILITIES AND FUND BALANCES See independent auditors' report. CITY OF DIAMOND BAR COMBINING BALANCE SHEET OTHER GOVERNMENTAL FUNDS June 30, 2008 $ 583,703 $ Debt Capital 4,514 - - Service Fund Projects Fund Total Special Public Capital Other Revenue Financing Improvement Governmental Funds Authority Fund Funds $ 4,059,689 $ - $ 206,540 $ 4,266,229 - 309,533 - 309,533 60,990 - - 60,990 496,650 - 70,234 566,884 230,435 - - 230,435 $ 4,847,764 $ 309,533 $ 276,774 $ 5,434,071 $ 583,703 $ - $ 482,854 $ 1,066,557 4,514 - - 4,514 243,660 - - 243,660 1,599 - 70,234 71,833 5,913 - 84,924 90,837 204,989 - - 204,989 1,044,378 - 638,012 1,682,390 13,515 - 5,342,616 5,356,131 - 309,533 - 309,533 3,789,871 - 3,789,871 - - (5,703,854) (5,703,854) 3,803,386 309,533 (361,238) 3,751,681 $ 4,847,764 $ 309,533 $ 276,774 $ 5,434,071 -55- THIS PAGE LEFT BLANK INTENTIONALLY -56- ' CITY OF DIAMOND BAR COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANCES IN FUND BALANCES - OTHER GOVERNMENTAL FUNDS For the year ended June 30, 2008 Debt Capital Service Fund _ Project Fund Total Special Public Capital Other Revenue Financing Improvement Governmental REVENUES: Funds Authority Fund Funds Special assessments $ 543,561 $ - $ - $ 543,561 Intergovernmental revenue 3,683,434 - 501,880 4,185,314 Charges for services 1,111,655 Investment income 205,964 - 4,992 - 1,111,655 - 210,956 TOTAL REVENUES 5,544,614 4,992 501,880 6,051,486 EXPENDITURES: Current: Public safety Highways and streets 6,581 2,415,036 - - 6,581 Community development 525,971 2,415,036 Capital outlay - - 525,971 Debt service: - - 4,271,890 4,271,890 Principal Interest and fiscal charges - 255,000 - 255,000 TOTAL EXPENDITURES - 411,583 - 411,583 2,947,588 666,583 4,271,890 7,886,061 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 2,597,026_ (661,591) (3,770,010) (1,834,575) OTHER FINANCING SOURCES (USES): Transfers in Transfers out - 649,377 5,150,115 5,799,492 (3,192,797) (3,192,797) TOTAL, OTHER FINANCING SOURCES (USES) (3,192,797) 649,377 5,150,115 2,606,695 NET CIIANGE IN FUND BALANCES (595,771) (12,214) 1,380,105 772,120 FUND BALANCES (DEFICIT) - BEGINNING OF YEAR 4,399,157 321,747 (1,741,343) 2,979,561 FUND BALANCES (DEFICIT) - END OF YEAR $ 3,803,386 $ 309,533 $ (361,238) $ 3,751,681 1 See independent: auditors' report. -57- OTHER SPECIAL REVENUE FUNDS The following Special Revenue Funds have been classified as other governmental funds in the accompanying financial statements: State Gas Tax Fund - This fund is used to account for state gasoline taxes received under Sections 2105, 2106, 2107 and 2107.5 of the Streets and Highways Code. State law requires that these revenues be utilized solely for street related purposes. Proposition C Transit Fund - This fund is used to account for the receipt and expenditure of Proposition C funds from the Los Angeles County Metropolitan Transportation Authority for the City's transit and transit -related improvement projects. The Intermodal Surface Transportation Enhancement Act (ISTEA) Fund - This fund is used to account for transport related receipts and expenditures. Integrated Waste Management Fund - This fund is used to account for revenues and expenditures related to the City's waste reduction efforts as related to AB939. Traffic Improvement Fund - This fund is used to account for funds received and designated by the City Council specifically for traffic improvements. Traffic Congestion Relief Fund - This fund is used to account for the Governor's transportation congestion policy program revenue received for the repair and construction of streets. Air Quality Improvement Fund - This fund is used to account for motor vehicle registration fees received from the South Coast Air Quality Management District to reduce air pollution from motor vehicles pursuant to the California Clean Air Act of 1988. Trails & Bikeways Fund - This fund is used to account for the State SB821 revenue received for the specific purpose of the construction of bike and pedestrian paths. California Law Enforcement Equipment Program (CLEEP) Fund - This fund is used to account for revenues received from the California CLEEP fund and expenditures made for the purchase of high-technology equipment. -58- OTHER SPECIAL REVENUE FUNDS (CONTINUED) Proposition A Transit Fund - This fund is used to account for the receipt and expenditure of the City's share of the %2 cent sales tax levied in Los Angeles County for local transit purposes. Community Development Block Grant (CDBG) Fund - This fund is used to account for the City's allotment of CDBG funds from the federal government via the County of Los Angeles Community Development Commission. These funds are used to fund community development programs and ' projects benefiting low and moderate income citizens. Citizens Option for Public Safety (COPS) Fund - This fund is used to account for COPS grants received from both the state and federal government. The purpose of these funds is to enhance the City's public safety budget and to fund special public safety related projects. Asset Seizure Fund - This fund is used to account for Narcotics Asset Forfeiture funds received from the federal government. It is required that these funds be used to enhance drug and law enforcement activities. 1 Landscape ]Maintenance District Fund - This fund is used to account of revenues and expenditures related to the special property tax assessments which were set up in accordance with the Landscape and Lighting; Act of 1972. The purpose of these districts is to improve the landscaping of City owned medians and hillsides. D� i -59- CITY OF DIAMOND BAR COMBINING BALANCE SHEET OTHER SPECIAL REVENUE FUNDS June 30, 2008 LIABILITIES AND Proposition Integrated Traffic State C Waste Traffic Congestion Gas Tax Transit ISTEA Management Improvement Relief ASSETS - - - 1,715 - - Due to other funds Cash and investments $ - $ 1,526,646 $ - $ 220,977 $ 370,770 $ - Accounts receivable - - - 46,656 - - Due from other governments 349,037 - 1,599 - - - Notes receivable - - - 25,446 - TOTAL ASSETS $ 349,037 $ 1,526,646 $ 1,599 $ 293,079 $ 370,770 $ - LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ - $ - $ - $ 18,276 $ - $ - Accrued payroll - - - 1,715 - - Due to other funds 182,152 - - Deferred revenue - - 1,599 - - - Retentions payable - - - " Advances from other governments - - - TOTAL LIABILITIES 182,152 1,599 19,991 - - FUND BALANCES: Reserved for: Encumbrances - - - Unreserved 166,885 1,526,646 - 273,088 370,770 - TOTAL FUND BALANCES 166,885 1,526,646 - 273,088 370,770 - TOTAL LIABILITIES AND FUND BALANCES $ 349,037 $ 1,526,646 $ 1,599 $ 293,079 $ 370,770 $ - See independent auditors' report. -60- r] a Air Proposition Landscape Total Other Quality Trails & A Asset Maintenance Special Improvement Bikeways CLEEP Transit CDBG COPS Seizure District Revenue Funds $ 88,161 $ 9,756 $ 80,106 $1,080,928 $ _ $ 76,296 $ 357,126 $ 248,923 $ 4,059,689 ' 14,334 60,990 18,790 - - - 116,501 - - 10,723 496,650 - - - - 204,989 230,435 $ 106,951 $ 9,756 $ 80,106 $1,095,262 $ 321,490 $ 76,296 $ 357,126 $ 259,646 $ 4,847,764 $ 3,398 $ - $ - $ 389,331 $ 48,622 $ 995 $ - $ 123,081 S 583,703 _ = - 2,343 456 - - - 4,514 61,508 243,660 - - - - - - 1,599 ' - - 5,913 - - - 5,913 204,989 - - - 204,989 3,398 _ - - 391,674 321,488995 - 123,081 1,044,378 10,756 _ - - - 2,759 13,515 92,797 _ 9,756 80,106 703,588 2 75,301 357,126 133,806 3,789,871 103,553 _ 9,756 80,106 703,588 2 75,301 357,126 136,565 3,803,386 $ 106,951 $ 9,756 $ 80,106 $1,095,262 --------------i $ 321,490 $ 76,296 $ 357,126 $ 259,646 $ 4,847,764 CITY OF DIAMOND BAR COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - OTHER SPECIAL REVENUE FUNDS For the year ended June 30, 2008 See independent auditors' report. -62- Proposition Integrated Traffic State C Waste Traffic Congestion Gas Tax Transit ISTEA Management Improvement Relief REVENUES: Special assessments $ - $ $ Intergovernmental revenue 1,049,504 794,267 12,340 72,776 Charges for services - - - 208,604 - - Investment income 12,817 70,149 - 14,044 16,336 17,546 TOTAL REVENUES 1,062,321 864,416 12,340 295,424 16,336 17,546 EXPENDITURES: Current: Public safety - - - Highways and streets - - Community development - - - 251,120 - - TOTAL EXPENDITURES - - 251,120 - - EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 1,062,321 864,416 12,340 44,304 16,336 17,546 OTHER FINANCING USES: Transfers out (1,136,695) (869,424) (12,340) (147,866) (28,896) (459,615) NET CHANGE IN FUND BALANCES (74,374) (5,008) - (103,562) (12,560) (442,069) FUND BALANCES (DEFICIT) - BEGINNING OF YEAR 241,259 1,531,654 - 376,650 383,330 442,069 FUND BALANCES - END OF YEAR $ 166,885 $1,526,646 $ - $ 273,088 $ 370,770 $ - See independent auditors' report. -62- 1 I(4,086) 9,756 2,650 2,528 61,212 (37,943) 18,620 (10,935) (595,771) 107,639 - - 77,456 701,060 (61,210) 113,244 338,506 147,500 4,399,157 $ 103,553 -$ 9,756 $ 80,106 $ 703,588 $ 2 $ 75,301 $ 357,126 $ 136,565 $ 3,803,386 -63- - - 660 - - - 1,855,286 - - 5,921 - - - 6,581 559,750 2,415,036 81,251 193,600 - - - 525,971 81,251 - 660 1,855,286 193,600 5,921 - 559,750 2,947,588 (4,086) 36,581 2,650 41,758 Air 116,507 Proposition - (26,825) - (39,230) Landscape Total Other - (3,192,797) Quality Trails & A Asset Maintenance Special Improvement Bikeways CLEEP Transit CDBG COPS Seizure District Revenue Funds $ 71,909 $ $ _ 36,569 $ - $ - 953,944 572,268 $ - 115,773 $ - $ 543,561 $ 543,561 4,084 3,683,434 - - - 903,051 - - - - 1,111,655 5,256 12 3,310 40,049 6,655 14,536 5,254 205,964 77,165 36,581 3,310 1,897,044 572,268 122,428 18,620 > 548 815 5,544,614 I(4,086) 9,756 2,650 2,528 61,212 (37,943) 18,620 (10,935) (595,771) 107,639 - - 77,456 701,060 (61,210) 113,244 338,506 147,500 4,399,157 $ 103,553 -$ 9,756 $ 80,106 $ 703,588 $ 2 $ 75,301 $ 357,126 $ 136,565 $ 3,803,386 -63- - - 660 - - - 1,855,286 - - 5,921 - - - 6,581 559,750 2,415,036 81,251 193,600 - - - 525,971 81,251 - 660 1,855,286 193,600 5,921 - 559,750 2,947,588 (4,086) 36,581 2,650 41,758 378,668 116,507 18,620 (10,935) 2,597,026 - (26,825) - (39,230) (317,456) (154,450) - (3,192,797) I(4,086) 9,756 2,650 2,528 61,212 (37,943) 18,620 (10,935) (595,771) 107,639 - - 77,456 701,060 (61,210) 113,244 338,506 147,500 4,399,157 $ 103,553 -$ 9,756 $ 80,106 $ 703,588 $ 2 $ 75,301 $ 357,126 $ 136,565 $ 3,803,386 -63- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL STATE GAS TAX SPECIAL REVENUE FUND REVENUES: Intergovernmental revenue Investment income TOTAL REVENUES OTHER FINANCING USES: Transfers out NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR For the year ended June 30, 2008 See independent auditors' report. -64- Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ 1,099,050 $ 1,099,050 $ 1,049,504 $ (49,546) 10,000 10,000 12,817 2,817 1,109,050 1,109,050 1,062,321 (46,729) (1,259,970) (1,259,970) (1,136,695) 123,275 (150,920) (150,920) (74,374) 76,546 241.259 241,259 241,259 - $ 90,339 $ 90,339 $ 166,885 $ 76,546 See independent auditors' report. -64- ll CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL PROPOSITION C TRANSIT SPECIAL REVENUE FUND REVENUES: Intergovernmental revenue Investment income TOTAL REVENUES OTHER FINANCING USES: Transfers out NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. For the year ended June 30, 2008 Variance with -65- 11 Final Budget Budgeted Amounts Positive Original _ Final Actual (Negative) $ 810,000 $ 810,000 $ 794,267 $ (15,733) 45,000 45,000 70,149 25,149 855,000 855,000 864,416 9,416 (1,578,400) (1,801,400) (869,424) 931,976 (723,400) (946,400) (5,008) 941,392 1,531,654 1,531,654 1,531,654 - $ 808,254 $ 585,254 $ 1,526,646 $ 941,392 -65- 11 CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL ISTEA SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES: Intergovernmental revenue OTHER FINANCING USES: Transfers out NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. Budgeted Amounts Original Final $ 1,018,000 $ 768,000 $ Variance with Final Budget Positive Actual (Negative) 12,340 $ (755,660) (1,018,000) (768,000) (12,340) 755,660 -66- 1 CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL INTEGRATED WASTE MANAGEMENT SPECIAL REVENUE FUND 1 For the year ended June 30, 2008 Variance with Final Budget Budgeted Amounts Positive REVENUES: Original Final Actual (Negative) Intergovernmental revenue Charges for services $ 45,000 $ 45,000 $ 72,776 $ 27,776 Investment income 230,000 230,000 208,604 (21,396) 15,000 15,000 14,044 (956) TOTAL REVENUES 290,000 290,000 295,424 5,424 EXPENDITURES: Current: Community development 341,990 353,117 251,120 101,997 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (51,990) (63,117) 44,304 107,421 OTHER FINANCING USES: Transfers out 185,000 ( ) (185,000) (147,866) 37,134 NET CHANGE IN FUND BALANCE (236,990) (248,117) (103,562) 144,555 FUND BALANCE - BEGINNING OF YEAR 376,650 376,650 376,650 - FUND BALANCE - END OF YEAR $ 139,660 $ 128,533 $ 273,088 $ 144,555 See independent auditors' report. -67- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL TRAFFIC IMPROVEMENT SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES: Intergovernmental revenue Investment income TOTAL REVENUES OTHER FINANCING USES: Transfers out NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. -68- Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ 100,000 $ 100,000 $ - $ (100,000) 15,000 15,000 16,336 1,336 115,000 115,000 16,336 (98,664) (125,000) (155,000) (28,896) 126,104 (10,000) (40,000) (12,560) 27,440 383.330 383,330 383,330 - $ 373,330 $ 343,330 $ 370,770 $ 27,440 -68- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL TRAFFIC CONGESTION RELIEF SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES: Investment income OTHER FINANCING USES: Transfers out NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. Budgeted Amounts Original Final $ 10,000 $ 10,000 Variance with Final Budget Positive tual (Negative) 17,546 $ 7,546 (438,000) (438,000) (459,615) (21,615) (428,000) (428,000) (442,069) (14,069) 442,069 442,069 442,069 _ $ 14,069 $ 14,069 (14,069) -69- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL AIR QUALITY IMPROVEMENT SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES: Intergovernmental revenue Investment income TOTAL REVENUES EXPENDITURES: Current: Community development EXCESS OF REVENUES OVER (UNDER) EXPENDITURES FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. -70- Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ 73,000 $ 73,000 $ 71,909 $ (1,091) 4,000 4,000 5,256 1,256 77,000 77,000 77,165 165 66,940 95,232 81,251 13,981 10,060 (18,232) (4,086) 14,146 107,639 107,639 107,639 - $ 117,699 $ 89,407 $ 103,553 $ 14,146 -70- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL TRAILS & BIKEWAYS SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES: Intergovernmental revenue Investment income TOTAL REVENUES OTHER FINANCING USES: Transfers out NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. Budgeted Amounts Original Final $ 53,672 $ 53,672 $ 53,672 53,672 Variance with Final Budget Positive tual (Negative) 36,569 $ (17,103) 36,581 (17,091) (53,672) (53,672) (26,825) 26,847 9,756 9,756 -71- 9,756 $ 9,756 CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL CLEEP SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES: Investment income EXPENDITURES: Current: Public safety EXCESS OF REVENUES OVER (UNDER) EXPENDITURES FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. Budgeted Amounts Original Final $ 3,000 $ 3,000 78,688 78,688 Variance with Final Budget Positive Actual (Negative) $ 3,310 $ 310 660 78,028 (75,688) (75,688) 2,650 78,338 77,456 77,456 77,456 - $ 1,768 $ 1,768 $ 80,106 $ 78,338 -72- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL PROPOSITION A TRANSIT SPECIAL REVENUE FUND REVENUES: Intergovernmental revenue Charges for services Investment income TOTAL REVENUES EXPENTDITliRES: Current: Highways and streets EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING USES: Transfers out NET C3ANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. For the year ended June 30, 2008 -73- Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ 970,000 $ 970,000 $ 953,944 $ (16,056) 750,000 915,000 903,051 (11,949) 40,000 40,000 40,049 49 1,760,000 1,925,000 1,897,044 (27,956) 1,606,070 1,906,070 1,855,286 50,784 153,930 18,930 41,758 22,828 (90,000) (90,000) (39,230) 50,770 63,930 (71,070) 2,528 73,598 701,060 701,060 701,060 - $ 764,990 $ 629,990 $ 703,588 $ 73,598 -73- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL CDBG SPECIAL REVENUE FUND For the year ended June 30, 2008 See independent auditors' report. -74- Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) REVENUES: Intergovernmental revenue $ 472,775 $ 472,775 $ 572,268 $ 99,493 EXPENDI'T'URES: Current: Community development 230,944 230,944 193,600 37,344 EXCESS OF REVENUES OVER 241,831 241,831 378,668 136,837 (UNDER) EXPENDITURES OTHER FINANCING USES: (241,831) (241,831) (317,456) (75,625) Transfers out NET CHANGE IN FUND BALANCE - 61,212 61,212 FUND BALANCE (DEFICIT) - (61,210) (61,210) (61,210) - BEGINNING OF YEAR FUND BALANCE - END OF YEAR $ (61,210) $ (61,210) $ 2 $ 61,212 See independent auditors' report. -74- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL COPS SPECIAL REVENUE FUND REVENUES: Intergovernmental revenue Investment. income TOTAL REVENUES EXPENDITURES: Current: Public safety EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING USES: Transfers out NET CHANGE IN FUND BALANCE FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. For the year ended June 30, 2008 Variance with Final Budget Budgeted Amounts Positive Original _Fma_1 Actual (Negative) $ 117,000 $ 117,000 $ 115,773 $ (1,227) 6,000 6,000 6,655 655 123,000 123,000 122,428 (572) 7,900 7,900 5,921 1,979 115,100 115,100 116,507 1,407 (194,450) (194,450) (154,450) 40,000 (79,350) (79,350) (37,943) 41,407 113,244 113,244 113,244 $ 33,894 $ 33,894 $ 75,301 $ 41,407 -75- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL ASSET SEIZURE SPECIAL REVENUE FUND For the year ended June 30, 2008 REVENUES: Intergovernmental revenue Investment income TOTAL REVENUES EXPENDITURES: Current: Public safety EXCESS OF REVENUES OVER (UNDER) EXPENDITURES FUND BALANCE - BEGINNING OF YEAR FUND BALANCE - END OF YEAR See independent auditors' report. Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ - $ - $ 4,084 $ 4,084 20,000 20,000 14,536 (5,464) 20,000 20,000 18,620 (1,380) 50,500 50,500 - 50,500 (30,500) (30,500) 18,620 49,120 338,506 338,506 338,506 - $ 308,006 $ 308,006 $ 357,126 $ 49,120 -76- See independent auditors' report. -77- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND ' CHANGES IN FUND BALANCE - BUDGET AND ACTUAL LANDSCAPE MAINTENANCE DISTRICT SPECIAL REVENUE FUND For the year ended June 30, 2008 Variance with Final Budget Budgeted Amounts Positive REVENUES: Original Final Actual (Negative) Special assessments $ 551,562 $ 551,562 $ 543,561 $ (8,001) Investment: income 7,000 7,000 5,254 (1,746) TOTAL REVENUES 558,562 558 5624 5 8,815 (9,747) EXPENDITURES: Current: Highways and streets 691,009 701,859 559,750 142,109 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (132,447 (143,297) (10,935) 132,362 ' FUND BALANCE BEGINNING - OF YEAR 147,500 147,500 147.500 - ' FUND BALANCE - END OF YEAR $ 15,053 $ 4,203 $ 136,565 $ 132,362 r See independent auditors' report. -77- THIS PAGE LEFT BLANK INTENTIONALLY -78- I OTHER CAPITAL PROJECTS FUND ' The Capital Projects Fund is used to account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by Special Revenue Funds). Ca itU al Improvement Fund - This fund is used to account for the costs of constructing street improvements, park improvements and other public improvements not normally included within the other Capital Projects funds. Financing is provided by developer fees and interfimd transfers from the Special Revenue Funds and the General Fund. iJ t t Fi t t -79- CITY OF DIAMOND BAR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL CAPITAL HvIPROVEMENT CAPITAL PROJECTS FUND REVENUES: Intergovernmental revenue Licenses, permits and fees TOTAL REVENUES EXPENDITURES: Capital outlay EXCESS OF REVENUES OVER (UNDER) EXPENDITURES OTHER FINANCING SOURCES: Transfers in NET CHANGE IN FUND BALANCE FUND BALANCE (DEFICIT) - BEGINNING OF YEAR FUND BALANCE (DEFICIT) - END OF YEAR See independent auditors' report. For the year ended June 30, 2008 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ 1,476,718 $ 1,520,368 $ 501,880 $ (1,018,488) 250,000 255,000 - (255,000) 1,726,718 1,775,368 501,880 (1,273,488) 8,734,651 12,881,548 4,271.890 8,609,658 (7,007,933) (11,106,180) (3,770,010) 7,336,170 7,007,933 9,081,056 5,150,115 (3,930,941) - (2,025,124) 1,380,105 3,405,229 (1,741,343) (1,741,343) (1,741,343) - $ (1,741,343) $ (3,766 467) $ (361,238) $ 3,405,229 -80- ' INTERNAL SERVICE FUNDS ' Internal Service Funds have been established to finance and account for goods and services provided by one City department to other City departments or agencies. Funds included are: ' Self -Insurance Fund - This fund is used to account for the payments made for the City's general liability insurance premiums. Eauipment_Replacement Fund - This fund is used to account for the replacement of the City's rolling equipment stock or vehicles. Computer Replacement Fund - This fund is used to account for the replacement and/or enhancement of the City's computer-related equipment. � a, CITY OF DIAMOND BAR COMBINING STATEMENT OF NET ASSETS INTERNAL SERVICE FUNDS ASSETS CURRENT ASSETS: Cash and investments NONCURRENT ASSETS: Capital assets: Machinery and equipment Less accumulated depreciation TOTAL NONCURRENT ASSETS TOTAL ASSETS LIABILITIES CURRENT LIABILITIES: Accounts payable June 30, 2008 Self- Equipment Computer Insurance Replacement Replacement Totals $ 1,498,599 $ 222,381 1 $ 361,067 $ 2,082,047 182,206 29,374 211,580 (135,958) (11,416) (147,374) 46,248 17,958 64,206 1,498,599 268,629 379,025 2,146,2S3 473,588 - 5,062 478,650 NET ASSETS Invested in capital assets 46,248 17,958 64,206 1,025,011 222,381 356,005 1,603,397 Unrestricted TOTAL NET ASSETS $ 1,025,011 $ 268,629 $ 373,963 $ 1,667,603 See independent auditors' report. -82- ' CITY OF DIAMOND BAR COMBINING STATEMENT OF REVENUES, EXPENSES ' AND CHANGES IN FUND NET ASSETS - INTERNAL SERVICE FUNDS For the year ended June 30, 2008 Self- Equipment Computer 'OPERATING EXPENSES: Insurance Replacement Replacement Totals Insurance premiums $ 285,105 $ _ $ Maintenance and operations $ 285,105 Depreciation - 4,898 4,898 ' 19,881 19,881 TOTAL OPERATING EXPENSES 285,105 19,881 4,898 309,884 OPERATING LOSS (285,105) (19,881) (4,898) (309,884) NONOPERATING REVENUES: Investment income 56,218 8,396 8,381 72,995 INCOME (LOSS) BEFORE TRANSFERS (228,887) (11,485) 3,483 (236,889) TRANSFERS IN 150,000 18,150 174,450 342,600 CHANGE IN NET ASSETS (78,887) 6,665 177,933 105,711 TOTAL NET ASSETS - BEGINNING OF YEAR 1,103,898 261,964 196,030 1,561,892 TOTAL NET ASSETS - END OF YEAR $ 1,025,011 $ 268,629 $ 373,963 $ 1,667,603 ' See independent auditors' report. -83- CITY OF DIAMOND BAR COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS For the year ended June 30, 2008 CASH FLOWS FROM OPERATING ACTIVITIES: Insurance payments CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES: Cash received from other funds CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES: Purchase of capital assets CASH FLOWS FROM INVESTING ACTIVITIES: Investment income NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR CASH AND CASH EQUIVALENTS - END OF YEAR Self- Equipment Computer Insurance Replacement Replacement Totals $ (318,280) $ - $ - $ (318,280) 150,000 18,150 174,450 342,600 - _ (17,794) (17,794) 56,218 8,396 8,381 72,995 (112,062) 26,546 165,037 79,521 1,610,661 195,835 196,030 2,002,526 $ 11498,599 $ 222,381 $ 361,067 $ 2,082,047 RECONCILIATION OF OPERATING LOSS TO NET CASH USED BY OPERATING ACTIVITIES: Operating loss $ (285,105) $ Adjustments to reconcile operating loss to net cash used by operating activities: Depreciation Changes in operating assets and liabilities: Increase (decrease) in accounts payable (33,175) _ (19,881) $ (4,898) $ (309,884) 19.881 - 19,881 4,898 (28,277) NET CASH USED BY $ _ $ (318,280) OPERATING ACTIVITIES $ (318,280) $ See independent auditors' report. -84- DESCRIPTION OF STATISTICAL SECTION CONTENTS June 30, 2008 This part of the City of Diamond Bar'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 say about the government's overall financial health. Contents: Financial Trends - These schedules contain trend information to help the reader understand how the City's financial performance and well-being have ' changed over time. Revenue Capacity - These schedules contain information to help the reader 1 assess the City's most significant local revenue source, the property tax. Debt Capacity - These schedules present information to help the reader assess the affordability of the City's current levels of outstanding debt and the City's ability to issue additional debt in the future. ' Demographic and Economic Information - These schedules offer demographic and economic indicators to help the reader understand the environment within which the City's financial activities take place. Operating Information - These schedules contain service and infrastructure t data to help the reader understand how the information in the City's financial report relates to the services the City provides and the activities it performs. i -85- Pagges 86-93 94-97 98-100 101 -102 103-105 City of Diamond Bar Net Assets by Component Last Six Fiscal Years (accrual basis of accounting) * The City implemented GASB 34 for the fiscal year ended June 30, 2003. Information prior to the implementation of GASB 34 is not available. (1) As allowed by GASB 34, the value of infrastructure placed in service prior to July 1, 2002 was not included in the net assets until the fiscal year ended June 30, 2007. Source: City Finance Department -86- Fiscal Year Ended June 30, 2003 2004 2005 2006 Governmental activities: Invested in capital assets, net of related debt (1) $ 8,237,553 $ 10,844,807 $ 10,692,694 $ 14,593,935 Restricted for: Debt service - - 245,763 243,697 Capital projects 5,988,178 241,767 3,775,552 3,323,474 Specific programs - - 1,398,057 1,296,806 Unrestricted 26,205,849 31,231,827 29,775,169 29,461,178 Total governmental activities net assets $ 40,431,580 $ 42,318,401 $ 45,887,235 $ 48,919,090 * The City implemented GASB 34 for the fiscal year ended June 30, 2003. Information prior to the implementation of GASB 34 is not available. (1) As allowed by GASB 34, the value of infrastructure placed in service prior to July 1, 2002 was not included in the net assets until the fiscal year ended June 30, 2007. Source: City Finance Department -86- 0 -87- Fiscal Year Ended June 30, ' 2007 2008 $ 375,216,400 $ 370,949,296 ' 321,747 309,533 3,446,872 2,912,276 889,176 11,013,495 34,072,884 36,236,504 $ 414,071,398 $ 411,296,785 0 -87- City of Diamond Bar Changes in Net Assets Last Six Fiscal Years (accrual basis of accounting) * The City implemented GASB 34 for the fiscal year ended June 30, 2003. Information prior to the implementation of GASB 34 is not available. Source: City Finance Department -88- Fiscal Year Ended June 30, 2003 2004 2005 2006 Expenses: Governmental activities: General government $ 3,315,082 $ 3,713,530 $ 3,997,319 $ 4,203,123 Public safety 4,988,449 4,875,823 4,969,183 5,418,005 Highways and streets 1,006,768 1,365,737 4,622,014 5,240,568 Community development 3,370,116 5,724,606 1,050,025 2,759,718 Parks, recreation and culture 2,309,150 2,580,454 3,814,887 3,737,071 Interest and fiscal charges 535,752 171,223 270,735 423,320 Total expenses 15,525,317 18,431,373 18,724,163 21,781,805 Program revenues: Governmental activities: Charges for services: General government 74,805 225,656 486,925 707,272 Public safety 813,617 733,902 1,159,264 1,277,170 Highways and streets 517,930 529,330 1,328,637 1,555,993 Community development 908,330 933,985 7,888 16,841 Parks, recreation and culture 558,227 610,772 1,147,088 1,260,849 Operating grants and contributions 4,390,722 4,068,446 4,040,785 5,281,308 Capital grants and contributions 1,779,510 261,994 - 1,150 Total program revenues 9,043,141 7,364,085 8,170,587 10,100,583 General revenues: Taxes: Property taxes 2,692,723 2,682,872 3,155,723 6,769,553 Transient occupancy taxes 578,680 628,564 717,879 718,889 Sales taxes 2,965,292 3,167,901 2,645,096 2,964,877 Property taxes in lieu of sales taxes - - 863,245 984,472 Franchise taxes 828,242 912,531 941,319 996,567 Property transfer tax 367,638 367,464 413,247 416,423 Other taxes 34,989 35,077 35,283 35,522 Unrestricted motor vehicle in lieu 3,370,387 2,716,134 4,386,800 413,230 Investment income 439,455 182,069 532,091 1,051,922 Other revenue 84,795 250,250 676,292 361,622 Total general revenues 11,362,201 10,942,862 14,366,975 14,713,077 Change in net assets $ 4,880,025 $(124,426) $ 3,813,399 $ 3,031,855 * The City implemented GASB 34 for the fiscal year ended June 30, 2003. Information prior to the implementation of GASB 34 is not available. Source: City Finance Department -88- i Fiscal Year Ended June 30, $ 4,784,314 $ 4,473,666 4,876;135 4,944,729 14,019,550 12,034,669 2,292,757 2,251,196 4,779,588 5,188,977 498,042 392,548 31,250,686 29,285,785 262,541 225,553 1,512,195 1,176,931 3,493,798 2,851,187 21,297 23,351 1,385,788 1,581,597 6,968,824 4,307,074 1,254,314 219,193 14,898,757 10,384,886 7,727,580 8,194,270 774,757 800,390 2,935,703 3,114,562 1,007,642 987,615 1,064,621 1,024,710 331,096 283,433 33,822 33,865 350,194 262,064 1,476,010 1,420,989 41,362 4,388 15,742,787 16,126,286 $ (609,142) $ (2,774,613) -89- City of Diamond Bar Fund Balances of Governmental Funds Last Six Fiscal Years (modified accrual basis of accounting) All other governmental funds: Reserved 5,719,861 Fiscal Year Ended June 30, 5,555,988 2,274,829 2003 2004 2005 2006 General fund: Special revenue funds 8,030,278 Reserved $ 440,407 $ 866,843 $ 1,125,918 $ 1,310,172 Unreserved 21,913,219 21,796,659 24,809,721 25,103,444 Total general fund 22,353,626 22,663,502 25,935,639 26,413,616 All other governmental funds: Reserved 5,719,861 105,861 5,555,988 2,274,829 Unreserved, reported in: Special revenue funds 8,030,278 6,043,352 6,111,202 5,772,953 Debt service Fund - 505,915 274,426 - Capital projects funds 268,317 241,767 (5,443,309) (2,612,373) Total all other governmental funds 14,018,456 6,896,895 6,498,307 5,435,409 Total fund balances $ 36,372,082 $ 29,560,397 $ 32,433,946 $ 31,849,025 The City has elected to show only six years of data for this schedule. Source: City Finance Department -90- fl -91- t Fiscal Year Ended June 30, 2007 _ 2008 $ 1,893,287 $ 1,864,387 28,568,263 31,065,127 30,461,550 32,929,514 ' 3,311;451 5,810,250 ' 6,058,113 4,955,552 (4,681,'728) (5,703,854) 4,687,836 5,061,948 $ 35,149,386 $ 37,991,462 fl -91- t City of Diamond Bar Changes in Fund Balances, Governmental Funds Last Six Fiscal Years (modified accrual basis of accounting) Revenues: Taxes Special assessments Intergovernmental Charges for services Fines and forfeitures Licenses and permits Investment income Otherrevenues Total revenues Expenditures: Current: General government Public safety Highway and streets Parks, recreation and culture Community development Capital outlay Debt service: Principal Interest charges Fiscal charges Total expenditures Excess of revenues over (under) expenditures Other financing sources (uses): Bond issued Bonds discount and issuance costs Transfers in Transfers out Total other financing sources (uses) Net changes in fund balances Debt service as a percentage of noncapital expenditures Fiscal Year Ended June 30, 2003 2004 2005 2006 $ 7,432,575 $ 7,759,331 $ 8,632,837 $ 9,508,757 557,601 555,232 593,778 504,908 8,602,856 6,353,152 8,306,557 8,821,141 706,137 709,011 761,040 870,314 813,617 733,903 713,201 589,922 1,467,127 1,457,345 1,732,555 2,389,149 658,922 395,929 654,066 1,250,570 74,818 234,951 480,740 792,216 20,313,653 18,198,854 21,874,774 24,726,977 3,163,516 3,663,055 3,787,005 3,551,659 4,973,248 4,857,179 4,954,630 5,404,259 1,006,768 1,365,737 4,301,146 4,769,497 1,946,025 2,114,090 2,750,815 2,613,834 2,808,613 3,419,856 1,050,025 2,748,539 8,057,482 9,261,289 1,682,830 5,320,597 - - - 235,000 86,562 145,580 237,487 404,075 1,080,940 - - - 23,123,154 24,826,786 18,763,938 25,047,460 (2,809,501) (6,627,932) 3,110,836 (320,483) 13,755,000 - - - (769,300) - - - 10,259,848 9,906,970 2,363,367 6,469,523 (10,453,243) (10,090,723) (2,6001654) (6,733,961) 12,792,305 (183,753) (237,287) (264,438) $ 9,982,804 $ (6,811,685) $ 2,873,549 $ (584,921) 7.48% 0.82% 1.38% 3.18% The City has elected to show only six years of data for this schedule. Source: City Finance Department -92- Fiscal Year Ended June 30, 2007 _ 2008 $ 9,876,760 $ 10,165,881 541,382 543,561 11,169,052 9,896,948 1,002,210 1,111,655 546,902 637,484 4,247,626 3,121,476 1,716,194 1,629,257 767,4.7 826,177 29,867,583 27,932,439 4,402,235 3,987,656 4,880,290 4,933,958 5,114,274 4,926,418 3,475,549 3,714,762 2,292,757 2,246,496 5,344,935 4,271,890 240,000 255,000 493,840 411,583 26,243,880 24,747,763 3,623,703 3,184,676 6,030,764 7,266,149 (6,354,106) (7,608,749) (323,342) (342,600) $ 3,300,361 $ 2,842,076 City of Diamond Bar Assessed and Estimated Actual Values of Taxable Property Last Ten Fiscal Years (unaudited) Fiscal Year Total Ended Net Tax Direct June 30, Secured Unsecured Nonutiitary * Taxable Values Exemptions Rate 1999 $ 3,692,120,496 $ 74,316,958 $ 876,688 $ 3,767,314,142 $ 38,373,706 0.1529% 2000 3,836,874,815 63,750,454 125,921 3,900,751,190 36,494,583 0.1585% 2001 4,058,203,577 67,345,947 116,405 4,125,665,929 40,088,648 0.1704% 2002 4,286,132,334 71,531,889 127,441 4,357,791,664 41,869,703 0.0502% 2003 4,618,700,097 69,981,865 122,697 4,688,804,659 44,188,829 0.0514% 2004 5,003,437,689 77,407,924 140,122 5,080,985,735 47,621,182 0.0513% 2005 5,370,469,396 76,173,121 174,846 5,446,817,363 39,831,091 0.0513% 2006 5,791,564,163 83,223,023 163,090 5,874,950,276 51,408,286 0.0519% 2007 6,331,041,269 90,751,985 134,088 6,421,927,342 28,682,577 0.0519% 2008 6,784,318,579 109,704,881 - 6,894,023,460 39,859,238 0.0519% Net Assessed Value $8,000,000,000 — $7,000,000,000 $6,000,000,000 $5,000,000,000 o $4,000,000,000 2 $3,000,000,000 $2,000,000,000 $1,000,000,00() $- 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Fiscal Year Exempt values are not included in Total Net Taxable Values. 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. * Prior to 2007, all SBE Nonunitary Railroad Properties were taxed at the tax rate area level. As of 2007, there was legislation passed that requires Counties to track this value for the each county in a specific tax rate area and it's distributed differently. Therefore from this year forward, Cities can no longer keep tracking how much value there is on railroad properties within each City. Source: Los Angeles County Auditor/Controller, Hdl Coren & Cone -94- City of Diamond Bar ' Direct and Overlapping Property Tax Rates (Rate per $100 of Assessed Value) 2007/08 Tax Rate Direct Rates: Table Direct Rates: 0.05294 Overlapping Rates: Children's Institutional Tuition Fund 0.00271 ' Consolidated Fire Protection 0.16936 County Lighting Maintenance 0.02016 County Sanitation Dist 21 0.01221 County scholl service - Walnut Valley 0.00894 Development Ctr Handicapped Minor 0.00083 Educational Augmentation Fund 0.21072 LA County Library 0.02237 LA County Capital Outlay 0.00011 ' LA Comity Fire 0.00616 LA County Flood Control 0.01094 LA County General 0.24908 Mt San Antonio Children's Center 0.00028 Mt San Antonio Community College 0.02926 Southeast Mosquito Abatement 0.00035 Three Valley Municipal Water 0.00409 Walnut 'Valley Unified School Dist 0.19057 Walnut 'Valley Water Dist 0.00892 Total Prop. 13 Rate 1.0000 Mt S Antonio Ccd Ds 2005 Ref Bds 0.00781 Mt S Antonio Ccd Ds 01, 06 Ser C 0.00266 Mt San Antonio Ccd Ds 2001 S-A 0.00200 Mt San Antonio Ccd Ds 2004B 0.00503 Three Valley Municipal Water - 1112 0.00450 Pomona Unif Ds Ref 1997 Ser - A 0.04116 Pomona Usd Refdg Ds 2000 Ser - A 0.01450 Pomona Unif Sch Ds 1998 Ser D 0.00128 Pomona Usd Refdg Ds 2001 Ser A 0.01301 ' Pomona Unif Sch Ds 2002 Ser - A 0.00593 Pomona Unif Sch Ds 2002 Ser - B 0.00887 Pomona Unif Sch Ds 2002 Ser - C 0.00896 Pomona Unified Sch Ds 2002 Ser - D 0.00867 Pomona Unif Sch Ds 2002 Ser - E 0.00697 Pomona Unif Sch Ds 2007 Ref Bds 0.00444 Walnut 'Valley Unified Sch Dist 2000 Ser E 0.00033 Walnut 'Valley Unif Ds 2005 Ref Bonds 0.00778 ' Walnut 'Valley Unif Ds Ser 1997 A 0.05642 Walnut 'Valley Usd Ds 2000 Ser A 0.00281 Walnut 'Valley Usd Ds 2000 Ser B 0.00251 Walnut 'Valley Usd Ds 2000 Ser C 0.00691 Walnut 'Valley Usd Ds 2000 Ser D 0.00875 Walnut 'Valley Usd Ds 2000 Ser E 0.00035 Walnut 'Valley Unif Ds 2005 Ref Bds 0.00688 Total Voter Approved Rate 0.2213 Total Tax hate 1.2213 ' In 1978, California voters passed Proposition 13 which sets the property tax rate at a 1.00% fixed amount. This 1.00% is shared by all taxing agencies for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of any voter approved bonds for the Pomona Unified School District or Walnut Valley Unified School Districts in Diamond Bar ' depending on which Scholl district the property is located in. The City has elected to show only one year of data for this schedule. ' Sources: Hdl Coren & Cone, LA County Property Tax Statement -95- City of Diamond Bar Top 10 Property Taxpayers Current Fiscal Year and Nine Fiscal Years Ago Taxuavers Ten Years Ago Diamond Bar Business Associates M & H Realty Partners H Shea Homes Limited Partnership Arden Realty Limited Partnership Martin Brattrud Properties Lakeview Village Corporation HR Banos Family Limited Partnership Diamond Bar Hotel Fund Limited Mark R. Tounat Company Trust Inter Community Health 1998-99 Assessed Valuation Percentage of Total Net Assessed Valuation $ 24,195,400 2007-08 Percentage of Total Current Taxpayers Assessed Valuation Net Assessed Valuation 10,790,000 Behringer Harvard Western Portfolio $ 39,933,000 0.579% Hampton Apartments at Diamond Bar 35,496,990 0.515% Target Corporation 30,593,344 0.444% CRP -2 Holdings CC 28,682,236 0.416% DB Gateway Corporate, Inc. 26,809,313 0.389% Muller Rock 2 Gateway 24,022,387 0.348% Gateway Corporate Center 19,250,000 0.279% Hidden Manna Corporation 19,020,602 0.276% Ari Diamond Bar Limited Partnership 18,783,376 0.272% Millennium Diamond Road Partners, LLC 17,998,919 0.261% $ 260,590,167 3.780% Taxuavers Ten Years Ago Diamond Bar Business Associates M & H Realty Partners H Shea Homes Limited Partnership Arden Realty Limited Partnership Martin Brattrud Properties Lakeview Village Corporation HR Banos Family Limited Partnership Diamond Bar Hotel Fund Limited Mark R. Tounat Company Trust Inter Community Health 1998-99 Assessed Valuation Percentage of Total Net Assessed Valuation $ 24,195,400 0.633% 20,666,119 0.541% 11,384,853 0.298% 10,790,000 0.282% 10,688,485 0.280% 9,433,099 0.247% 8,525,458 0.223% 8,219,594 0.215% 8,183,000 0.214% 7,390,000 0.193% $ 119,476,008 3.126% Source: Hdl Coren & Cone, Los Angeles County Assessor 2007/08 combined tax rolls and the SBE Non Unitary Tax Roll -96- i City of Diamond Bar Secured Property Tax Levies and Collections Last Ten Fiscal Years (unaudited) Fiscal Year Ended Total June 30 Current Levy Amount 1999 $ 1,810,266 2000 1,904,915 2:001 1,954,530 2:002 2,129,310 2:003 2,301,716 2004 2,504,974 2005. 2,698,515 2006. 2,921,267 2007. 3,204,812 2008 3,446,453 Collected within the Delinquent & Fiscal Year of Levy Collections in Amount % to Levy Subsequent Years $ 1,758,764 97.16% $ 51,502 1,813,904 95.22% 91,011 1,847,817 94.54% 106,713 2,017,399 94.74% 111,911 2,211,793 96.09% 89,923 2,390,554 95.43% 114,420 2,568,064 95.17% 130,450 2,615,545 89.53% 305,722 2,948,678 92.01% 256,135 3,128,201 90.77% 318,252 Total Secured Property Tax Collections $3,500,000 $3,000,000 ------- $2,500,000 -- — ---- —_— m $2,000,000 _ t $1,500,000 F- $1, 000,000 $1500,000 $- T T 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Fiscal Year Source: Los Angeles County Auditor/Controller. -97- City of Diamond Bar Ratios of Outstanding Debt by Type Last Ten Fiscal Years Notes: (a) Details regarding the City's outstanding lease revenue bonds can be found in the notes to the financial statements. (b) Details regarding the City's population and per capita income can be found in the Demographic and Economic Statistics Table. Source: City Finance Department -98- Governmental Activities Fiscal Year Lease Other Total Total % of Debt Ended Revenue Bond and Governmental Primary Per Capita Per June 30 Bonds (a) Loans Activities Government Income (b) Capita (b) 1999 S $ $ $ - 0.00% $ - 2000 - 0.00% - 2001 - 0.00% - 2002 13,755,000 13,755,000 13,755,000 0.80% 237 2003 13,755,000 13,755,000 13,755,000 0.78% 233 2004 13,755,000 13,755,000 13,755,000 0.77% 232 2005 13,655,000 - 13,655,000 13,655,000 0.75% 229 2006 13,520,000 - 13,520,000 13,520,000 0.72% 226 2007 13,280,000 13,280,000 13,280,000 0.71% 222 2008 13,025,000 13,025,000 13,025,000 0.69% 216 Notes: (a) Details regarding the City's outstanding lease revenue bonds can be found in the notes to the financial statements. (b) Details regarding the City's population and per capita income can be found in the Demographic and Economic Statistics Table. Source: City Finance Department -98- Net assessed value Add back: Exemptions Gross assessed value Conversion percentage Adjusted assessed valuation Debt limit percentage Debt limit City Debts: Revenue bonds Legal debt margin Net assessed value Add back: Exemptions Gross assessed value Conversion percentage Adjusted assessed valuation Debt limit percentage Debt limit City Debts: Revenue bonds Legal debt margin City of Diamond Bar Computation of Legal Debt Margin Last Ten Fiscal Years (unaudited) Fiscal Year Ended June 30, 1999 2000 2001 2002 2003 $ 3,767,314,142 $ 3,900,751,190 $ 4,125,665,929 $ 4,357,791,664 $ 4,688,804,659 38,373,706 36,494,583 40,088,648 41,869,703 44,188,829 3,805,687,848 3,937,245,773 4,165,754,577 4,399,661,367 4,732,993,488 25% 25% 25% 25% 25% 951,421,962 984,311,443 1,041,438,644 1,099,915,342 1,183,248,372 15% 15% 15% 15% 15% 142,713,294 147,646,716 156,215,797 164,987,301 177,487,256 - - - 13,755,000 13,755,000 $ 142,713,294 $ 147,646,716 $ 156,215,797 $ 151,232,301 $ 163,732,256 Fiscal Year Ended June 30, 2004 2005 2006 2007 2008 $ 5,080,985,735 $ 5,446,817,363 $ 5,874,950,276 $ 6,421,927,342 $ 6,894,023,460 47,621,182 39,831,091 51,408,286 28,682,577 39,859,238 5,128,606,917 5,486,648,454 5,926,358,562 6,450,609,919 6,933,882,698 25% 25% 25% 25% 25% 1,282,151,729 1,371,662,114 1,481,589,641 1,612,652,480 1,733,470,675 15% 15% 15% 15% 15% 192,322,759 205,749,317 222,238,446 241,897,872 260,020,601 13,755,000 13,755,000 13,520,000 13,280,000 13,025,000 $ 178,567,759 $ 191,994,317 $ 208,718,446 $ 228,617,872 $ 246,995,601 The Government Code of the State of California provides for a legal debt limit of 15% of grass assessed valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value. Effective with the 1981-82 fiscal year, each parcel is now assessed at 100% of market value (as of the most recent change in ownership for that parcel). The computations shown above reflect a conversion of assessed valuation data for each fiscal year from the current full valuation the 25% level that was in effect at the time that the legal debt margin was enacted by the State of California for local government located within the state. Sources: Section 43605 of the California Government Code Hdl Coren & Cone City Finance Department -100- i City of Diamond Bar Demographic and Economic Statistics Last Ten Calendar Years General Information Date of Incorporation April 18, 1989 Form of Government Council -Manager Area 14.76 Square Miles Miles of Streets 137 Public Safety Population Police Protection Los Angeles County Sheriff Department Fire Protection Los Angeles County Fire Department Water Services 1,485,017,600 Service Provider Walnut Valley Water District Education 56,287 School District Pomona Unified School District Schools 1 High School, 1 Middle School, & 4 Elementary Schools School District Walnut Valley Unified School District Schools 1 High School, 2 Middle Schools, & 4 Elementary Schools Demographic and Statistical Information (Last Ten Calendar Years) Sources: (1) State Department of Finance (2) California LaborMarketInfo, Data Library ('3) Diamond Bar City, California - Fact Sheet - American FactFinder (4) State of California - Labor Market Info (http://www.labormarketinfo.edd.ca.gov) -101- Unemployment 4.00% 3.70% 3.80% 4.90% 5.10% 4.70% 3.60% 3.20% 3.40% 5.30% Total Per Capita Calendar Personal Personal Total Year Population Income Income Employment 1999 58,300 1,485,017,600 $ 25,472 30,700 2000 56,287 1,435,318,500 25,500 29,700 2001 57,066 1,636,938,210 28,685 30,100 2002 58,115 1,852,125,050 31,870 29,700 2003 58,966 1,779,358,016 30,176 29,900 2004 59,399 1,691,802,318 28,482 29,900 2005 59,595 1,722,653,070 28,906 30,700 2006 59,722 1,737,074,092 29,086 31,400 2007 60,207 1,774,420,704 29,472 31,800 2008 60,360 1,903,995,840 31,544 31,200 Sources: (1) State Department of Finance (2) California LaborMarketInfo, Data Library ('3) Diamond Bar City, California - Fact Sheet - American FactFinder (4) State of California - Labor Market Info (http://www.labormarketinfo.edd.ca.gov) -101- Unemployment 4.00% 3.70% 3.80% 4.90% 5.10% 4.70% 3.60% 3.20% 3.40% 5.30% City of Diamond Bar Principal Employers (unaudited) Current Fiscal Year and Nine Fiscal Years Ago "Total Employment" as used above represents the total employment of all employers located within City limits. Source: InfoUSA - Government Division -102- 2008 1999 Number of % of Total Number of % of Total Employer Employees Employment Employees Employment South Coast Air Quality Management 786 2.52% 710 2.31% St Paul Travelers 401 1.29% Target Store - Diamond Bar 220 0.71% AAA Auto Club of California 200 0.64% Diamond Bar High School 200 0.64% 160 0.52% Lab Support Inc 200 0.64% First Team Real Estate 150 0.48% J.F. Shea Co. Inc 135 0.43% Baybrook Services 120 0.38% Goodrich Hoist & Winch 120 0.38% Southwest Patrol 120 0.38% Starside Security & Investigation 120 0.38% Century 21 Diamond Realty 120 0.38% Administaff Inc 100 0.32% Biosense Webstar Inc 100 0.32% First Mortgage Corp 100 0.32% 75 0.24% Kelley -Clarke Inc 400 1.30% ADP 300 0.98% K Mart 130 0.42% California Compensation Inc 110 0.36% Dail Egg Ranchers Inc 100 0.33% Lucky Food Center 80 0.26% Chaparral Middle School 80 0.26% Diamond Bar Honda 80 0.26% Diamond Bar Country Club 70 0.23% Total Employment 31,200 30,700 "Total Employment" as used above represents the total employment of all employers located within City limits. Source: InfoUSA - Government Division -102- t t City of Diamond Bar Full-time and Part-time City Employees by Function Last Ten Fiscal Years Function General government Community development Community services Public works Total Function General government Community development Community services Public works Total Fiscal Year Ended June 30, 1999 2000 2001 2002 2003 22 21 24 24 24 5 6 4 4 4 12 41 38 37 38 4 4 4 4 5 43 72 70 69 71 Fiscal Year Ended June 30, 2004 2005 2006 2007 2008 25 25 22 21 24 5 7 8 8 6 45 74 77 74 69 6 7 7 8 10 81 113 114 111 109 Note: The City is a contract city and as such contracts for many of its services. This includes police services, fire services, building and safety services, engineering, road maintenance and landscape maintenance. Source: City Finance Department -103- Function Police: (in calendar year) (1) Arrests Street Sweeping Parking Citation Fire: (in calendar year) (2) Number of emergency calls Inspections Public works: (in fiscal year) (3) Street resurfacing (miles) Parks and recreation: (in fiscal year) (4) Number of recreation classes Number of facility rentals City of Diamond Bar Operating Indicators by Function Last Ten Fiscal Years Fiscal Year Ended June 30, 1999 2000 2001 2002 2003 2008 Police: (in calendar year) (1) 723 817 764 571 552 (a) (a) 2,996 7,995 6,662 (a) (a) 2,647 2,666 2,741 (a) (a) (a) (a) (a) 20.6 23.0 24.6 19.7 18.5 740 1,084 1,062 947 915 785 785 785 785 1,021 Fiscal Year Ended June 30, Function 2004 2005 2006 2007 2008 Police: (in calendar year) (1) Arrests 481 520 558 582 543 Street Sweeping Parking Citation 6,710 67250 5,790 5,684 5,200 Fire: (in calendar year) (2) Number of emergency calls 2,755 2,615 2,592 2,612 2,595 Inspections 1,206 1,159 837 1,114 1,085 Public works: (in fiscal year) (3) Street resurfacing (miles) 5.0 18.6 16.8 19.6 18.5 Parks and recreation: (in fiscal year) (4) Number of recreation classes 1,022 1,102 1,376 1,558 1,569 Number of facility rentals 1,736 4,123 4,305 4,555 4,103 (a) Unavailable Note: Indicators are not available for the general government function. Sources: (1) Police Walnut/Diamond Bar Station (2) LA County Fire Dept East Regional Operation Bureau (3) City Public Works Department (4) City Community Services Department -104- City of Diamond Bar Capital Asset Statistics by Function Last Five Fiscal Years Fiscal Year Ended June 30, Function 2004 2005 2006 2007 2008 Public safety: Police (1): Station 1 1 1 Patrol units (all shifts combined) 20 20 19 Fire (2): Stations 3 3 3 Public works: Highways sand streets (3): Streets (miles) 137 137 137 Streetlights (a) (a) (a) Traffic signals (a) (a) (a) Parks and recreation: Culture and recreation (4): Parks acreage (developed) 62.7 62.7 62.7 Parks acreage (undeveloped) 439 439 439 Parks 11 11 11 Public tennis courts 8 8 8 Community centers 3 3 3 Sewer (3): Sanitary sewers (miles) (a) (a) (a) (a) Unavailable Notes: The City is a contract city and as such contracts for many of its services. This includes police services, fire services, building and safety services, engineering, road maintenance and landscape maintenance. No capital asset indicators are available for the general government function. Sources: (1) Police Walnut/Diamond Bar Station (2) LA County Fire Dept East Regional Operation Bureau (3) City Public Works Department (4) City Community Services Department -105- 1 1 19 18 3 3 137 137 233 233 75 76 62.7 62.7 439 439 11 11 8 8 3 3 157 157