HomeMy WebLinkAbout2025-01-28 FC Regular Meeting Agenda Packet
FINANCE COMMITTEE
CITY OF PALM DESERT
MEETING AGENDA
Tuesday, January 28, 2025
10:00 a.m.
Administrative Conference Room, City Hall
73-510 Fred Waring Drive
Palm Desert, CA 92260
Pursuant to Assembly Bill 2449, this meeting will be conducted as a hybrid meeting and there will be
in-person access to this location.
To participate via Zoom, use the following link: https://palmdesert.zoom.us/j/86292070396 or
call (213) 338-8477, Zoom Meeting ID: 862 9207 0396
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Written public comment may also be submitted to cityclerk@palmdesert.gov. E-mails
received by 4:00 p.m. the day prior to the meeting will be distributed to the Committee. Any
correspondence received during or after the meeting will be distributed to the Committee as
soon as practicable and retained for the official record. Emails will not be read aloud except
as an ADA accommodation.
•
Pages
1.CALL TO ORDER
2.ROLL CALL
3.NONAGENDA PUBLIC COMMENTS
This time has been set aside for the public to address the Finance Committee
on issues that are not on the agenda for up to three minutes. Speakers may
utilize one of the three options listed on the first page of the agenda. Because
the Brown Act does not allow the Finance Committee to act on items not listed
on the agenda, members may briefly respond or refer the matter to staff for a
report and recommendation at a future meeting.
4.PRESENTATIONS
4.a CITY CLERK PRESENTATION
5.CONSENT CALENDAR
All matters listed on the Consent Calendar are considered routine and may be
approved by one motion. The public may comment on any items on the Consent
Agenda within the three-minute time limit. Individual items may be removed by
the Finance Committee for a separate discussion.
RECOMMENDATION:
To approve the consent calendar as presented.
5.a APPROVAL OF MINUTES 5
RECOMMENDATION:
Approve the Minutes of September 24, 2024.
5.b INDEPENDENT ACCOUNTANTS’ REPORT ON AGREED-UPON
PROCEDURES PERFORMED ON THE MEASURE A TRANSPORTATION
FUND FOR THE FISCAL YEAR ENDED JUNE 30, 2024
9
RECOMMENDATION:
Receive and file the Independent Accountants’ Report on Agreed-Upon
Procedures Performed on the Measure A Transportation Fund for the fiscal
year ended June 30, 2024.
5.c CITY OF PALM DESERT AUDITED ANNUAL COMPREHENSIVE
FINANCIAL REPORT (ACFR) FOR THE FISCAL YEAR ENDED JUNE 30,
2024.
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RECOMMENDATION:
Receive and file the audited Annual Comprehensive Financial Report
(ACFR) for the City of Palm Desert for the fiscal year ended June 30, 2024.
6.CONSENT ITEMS HELD OVER
7.ACTION CALENDAR
The public may comment on individual Action Items within the three-minute time
limit. Speakers may utilize one of the three options listed on the first page of the
agenda.
7.a FINANCE DIRECTOR'S REPORT FOR GENERAL FUND FINANCIAL
REPORTS
241
Receive and file the General Fund Financial Reports for the months ending
September 30, 2024 through December 31, 2024.
7.b CITY TREASURER'S INVESTMENT REPORTS 251
RECOMMENDATION:
Receive and file the City Treasurer’s Investment Reports for the months
ending September 30, 2024, through December 31, 2024.
7.c PFM INVESTMENT ADVISOR YEAR IN REVIEW REPORT 415
RECOMMENDATION:
Receive and file the PFM Investment Advisor Year in Review Report for the
year ending December 31, 2024.
Finance Committee Regular Meeting
January 28, 2025
2
7.d DESERT WILLOW GOLF RESORT FINANCIAL REPORTS 431
Receive and file the Desert Willow Golf Resort Financial Reports for the
months ending September 30, 2024 through December 31, 2024.
7.e PARKVIEW OFFICE COMPLEX FINANCIAL AND VACANCY REPORTS 481
RECOMMENDATION:
Receive and file the Parkview Office Complex Financial Reports and
Vacancy Report for the months ending September 30, 2024 through
December 31, 2024.
8.INFORMATIONAL REPORTS & COMMENTS
8.a FINANCE COMMITTEE MEMBERS
8.b CITY STAFF
Measure G update
8.c ATTENDANCE REPORT 497
9.ADJOURNMENT
The next Regular Meeting will be held on March 25, 2025, at 10:00 a.m.
10.PUBLIC NOTICES
Agenda Related Materials: Pursuant to Government Code §54957.5(b)(2) the
designated office for inspection of records in connection with this meeting is the
Office of the City Clerk, Palm Desert Civic Center, 73-510 Fred Waring Drive,
Palm Desert. Staff reports for all agenda items considered in open session, and
documents provided to a majority of the legislative bodies are available for
public inspection at City Hall and on the City’s website at www.palmdesert.gov.
Americans with Disabilities Act: It is the intention of the City of Palm Desert to
comply with the Americans with Disabilities Act (ADA) in all respects. If, as an
attendee or a participant at this meeting, or in meetings on a regular basis, you
will need special assistance beyond what is normally provided, the City will
attempt to accommodate you in every reasonable manner. Please contact the
Office of the City Clerk, (760) 346-0611, at least 48 hours prior to the meeting to
inform us of your needs and to determine if accommodation is feasible.
AFFIDAVIT OF POSTING
I hereby certify under penalty of perjury under the laws of the State of California
that the foregoing agenda for the Finance Committee was posted on the City
Hall bulletin board and City website not less than 72 hours prior to the meeting.
/S/ Michelle Nance
Acting Assistant City Clerk
Finance Committee Regular Meeting
January 28, 2025
3
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FINANCE COMMITTEE
CITY OF PALM DESERT
REGULAR MEETING MINUTES
September 24, 2024, 10:00 a.m.
Present: Committee Member Faith Messenger, Committee Member Jake
Wuest, Committee Member Jan Harnik, Chair Robert Leo
Absent: Committee Member Carlos Garcia, Committee Member Gretchen
Heuring, Committee Member Karina Quintanilla
Staff Present: Finance Director Veronica Chavez, Deputy Director of Finance
John Ramont, Finance Supervisor James Bounds, Recording
Secretary Níamh Ortega, Accounting Manager Austin Yaple
Liaison(s) Present: Desert Willow Golf Resort General Manager Derek White; Desert
Willow Golf Resort Controller Anthony Hernandez
1. CALL TO ORDER
A Regular Meeting of the Finance Committee was called to order by Chair Leo on
Tuesday, September 24, 2024, at 10:00 a.m. in the Administrative Conference Room,
City Hall, located at 73-510 Fred Waring Drive, Palm Desert, California.
2. ROLL CALL
3. ELECTION OF FINANCE COMMITTEE CHAIRPERSON AND VICE-CHAIRPERSON
Committee Member Harnik nominated Chair Leo and Committee Member Wuest to
serve as Chairperson and Vice Chairperson.
Motion by: Committee Member Harnik
Seconded by: Committee Member Messenger
Re-elect Chair Leo to serve as Chairperson and elect Committee Member Wuest to
serve as Vice-Chairperson.
Motion Carried (4 to 0)
4. NON-AGENDA PUBLIC COMMENTS
None.
5
Finance Committee Meeting Minutes
September 24, 2024
2
5. CONSENT CALENDAR
Motion by: Chair Leo
Seconded by: Committee Member Wuest
To approve the consent calendar as presented.
Motion Carried (4 to 0)
5.a APPROVAL OF MINUTES
Motion by: Chair Leo
Seconded by: Committee Member Wuest
Approve the Minutes of May 28, 2024.
Motion Carried (4 to 0)
6. CONSENT ITEMS HELD OVER
7. ACTION CALENDAR
7.a FINANCE DIRECTOR'S REPORT FOR GENERAL FUND FINANCIAL
REPORTS
Finance Director Chavez provided a staff report and responded to Committee
Member inquiries.
Motion by: Committee Member Messenger
Seconded by: Committee Member Harnik
Receive and file the General Fund Financial Reports for the months ending May
31, 2024, June 30, 2024, July 31, 2024, and August 31, 2024.
Motion Carried (4 to 0)
7.b CITY TREASURER'S INVESTMENT REPORTS
Finance Supervisor Bounds provided a staff report and responded to Committee
Member inquiries.
Motion by: Committee Member Wuest
Seconded by: Committee Member Messenger
Receive and file the City Treasurer’s Investment Reports for the months ending
May 31, 2024, June 30, 2024, July 31, 2024, and August 31, 2024.
Motion Carried (4 to 0)
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Finance Committee Meeting Minutes
September 24, 2024
3
7.c DESERT WILLOW GOLF RESORT FINANCIAL REPORTS
Desert Willow Golf Resort General Manager White provided a staff report and
responded to Committee Member inquiries.
Motion by: Committee Member Messenger
Seconded by: Committee Member Harnik
Receive and file the Desert Willow Golf Resort Financial Reports for the months
ending May 31, 2024, June 30, 2024, July 31, 2024, and August 31, 2024.
Motion Carried (4 to 0)
7.d PARKVIEW OFFICE COMPLEX FINANCIAL AND VACANCY REPORTS
Finance Director Chavez provided a staff report and responded to Committee
Member inquiries.
Motion by: Committee Member Wuest
Seconded by: Committee Member Messenger
Receive and file the Parkview Office Complex Financial and Vacancy Reports for
the months ending May 31, 2024, June 30, 2024, July 31, 2024, and August 31,
2024.
Motion Carried (4 to 0)
8. INFORMATIONAL REPORTS & COMMENTS
8.a FINANCE COMMITTEE MEMBERS
There was discussion about the following topics:
• Mixed-use zoning, height limits and retail expansion on El Paseo
• Business types throughout Palm Desert
• Progress and development at the Shops of Palm Desert
8.b CITY STAFF
8.b.1 SALES TAX UPDATE
Finance Director Chavez provided an update on the sales tax trends and
revenue received, noted that information on Measure G was available on
the City's website, and responded to Committee member questions.
Receive and file the Sales Tax update.
8.c ATTENDANCE REPORT
Report provided; no action taken on this item.
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Finance Committee Meeting Minutes
September 24, 2024
4
9. ADJOURNMENT
The Finance Committee adjourned at 10:49 a.m.
Respectfully submitted,
_________________________
Níamh M. Ortega, Assistant City Clerk
Recording Secretary
_________________________
Veronica Chavez, Finance Director
Secretary
_________________________
DATE APPROVED BY FINANCE COMMITTEE
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Page 1 of 1
FINANCE COMMITTEE
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: January 28, 2025
PREPARED BY: Austin Yaple, Accounting Manager
Veronica Chavez, Director of Finance
SUBJECT: RECEIVE AND FILE THE INDEPENDENT ACCOUNTANTS’ REPORT ON
AGREED-UPON PROCEDURES PERFORMED ON THE MEASURE A
TRANSPORTATION FUND FOR THE FISCAL YEAR ENDED JUNE 30,
2024
RECOMMENDATION:
Receive and file the Independent Accountants’ Report on Agreed-Upon Procedures Performed on
the Measure A Transportation Fund for the fiscal year ended June 30, 2024.
BACKGROUND/ANALYSIS:
The Measure A fund is a special revenue fund created to track funds received by the Riverside
County Transportation Commission. In 1988, Riverside County voters approved a half-cent sales
tax, known as Measure A, to fund various highway improvements, local streets and roads
maintenance, commuter assistance, and specialized transit projects.
Conrad LLP performed the procedures that were agreed to by the Riverside County
Transportation Commission, Riverside, California (RCTC) solely to assist RCTC with respect to
an evaluation of the City of Palm Desert’s Measure A Transportation Fund and degree of the
City’s compliance with RCTC requirements for the year ended June 30, 2024.
The agreed-upon procedures report issued by Conrad LLP found the City in compliance with its
Maintenance of Effort (MOE) requirements but noted an accumulated excess fund balance of
$10.4 million from prior-year revenues. The City has budgeted $14.5 million in Measure A
expenditures in Fiscal Year 2024-25, which are anticipated to deplete the $10.4 million excess.
Staff requests that the City Council receive and file the Report on Agreed-Upon Procedures
Performed on the Measure A Transportation Fund for the fiscal year ending June 30, 2024.
Legal Review:
This report has been reviewed by the City Attorney’s Office
FINANCIAL IMPACT:
There is no fiscal impact associated with this action.
ATTACHMENTS:
1. Independent Accountant’s Report on Applying Agreed-Upon Procedures
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10
CITY OF PALM DESERT, CALIFORNIA
Report on Agreed-Upon Procedures
Applied to Measure A – Local Streets and Roads
Fiscal Year Ended June 30, 2024
11
__________________________________________________________________________________________________________________________________________________________________________________
23161 Lake Center Drive, Suite 200, Lake Forest, CA 92630 ■ T: (949) 552-7700 ■ www.conradllp.com
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Independent Accountant’s Report
On Applying Agreed-Upon Procedures
The Board of Commissioners
Riverside County Transportation Commission
Riverside, California
We have performed the procedures enumerated below on Measure A - Local Streets and Roads
Program of the City of Palm Desert, California (“City”) as of and for the year ended June 30, 2024.
Riverside County Transportation Commission (“RCTC”) has agreed to and acknowledged that the
procedures performed are appropriate to meet the intended purpose on whether the City was in
compliance with the Measure A - Local Streets and Roads Program grant terms and conditions
for the year ended June 30, 2024. Additionally, RCTC and the City have agreed to and
acknowledged that the procedures performed are appropriate for their purposes. This report may
not be suitable for any other purpose. The procedures performed may not address all of the items
of interest to a user of this report and may not meet the needs of all users of this report and, as
such, users are responsible for determining whether the procedures performed are appropriate
for their purposes.
The procedures and related findings are as follows:
1. Obtain the 2009 Measure A (“Ordinance 02-001”) compliance requirements. Western
County jurisdictions are required to participate in the Transportation Uniform Mitigation
Fee (“TUMF”) program and in the Multiple Species Habitat Conservation Plan (“MSHCP”)
which are administered by the Western Riverside Council of Governments (“WRCOG”)
and the Western Riverside County Regional Conservation Authority (“RCA”), respectively.
Coachella Valley jurisdictions are required to participate in the TUMF program
administered by the Coachella Valley Association of Governments (“CVAG”). Indicate
participation in TUMF and/or MSHCP programs.
Finding: No exceptions were noted as a result of applying this procedure. The City
participates in the TUMF program administered by CVAG.
2. Obtain the City’s approved 5-Year Capital Improvement Plan (“CIP”) from RCTC for the
fiscal year ended June 30, 2024.
Finding: No exceptions were noted as a result of applying this procedure.
3. Obtain a detailed general ledger and balance sheet from the City for the fiscal year ended
June 30, 2024.
a. Identify the amount of Measure A cash and investments recorded at June 30, 2024.
Compare amount to Measure A fund balance and provide an explanation for any
difference greater than 25% fund balance.
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Board of Commissioners
Riverside County Transportation Commission
Riverside, California
2
Finding: Measure A cash and investments were $23,344,068 at June 30, 2024. The
difference between Measure A cash and investments of $23,344,068 and fund
balance of $23,386,003 is $41,935 or 0.2% of the fund balance.
b. Identify amounts due from other funds.
Finding: There were no amounts due from other funds at June 30, 2024.
c. Identify the components of ending fund balance for Measure A activity.
Finding: Ending fund balance for Measure A activity was restricted in the amount of
$23,386,003 at June 30, 2024.
i. Identify the existence of any restatement of Measure A fund balance and inquire
of management as to the reason for any restatement.
Finding: We noted no restatement of Measure A fund balance at June 30, 2023.
ii. Compare ending fund balance to total revenues for the current year and prior two
years. If ending fund balance is greater than sum of total revenues for the three-
year period, inquire of management as to the reason(s) for the accumulation of
fund balance.
Finding: We noted that the City’s ending fund balance was greater than the
cumulative total revenues for the 3-year period as illustrated below.
Revenue for year ended June 30, 2024 $ 4,816,963
Revenue for year ended June 30, 2023 4,398,556
Revenue for year ended June 30, 2022 3,744,760
Total Revenue for the 3-year period
$ 12,960,279
Fund balance for year ended June 30, 2024 $ 23,386,003
The City management stated that the accumulation of funds will be depleted based
on the city adopting an aggressive 5-year CIP plan that anticipates spending the
majority of the accumulated Measure A funds by FY 2027/28. The City has also
recently established a Capital Projects Department which has been tasked with
the completion of several projects.
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Board of Commissioners
Riverside County Transportation Commission
Riverside, California
3
The City’s plan to use the fund balance of $23,386,003 in the next year is illustrated
below.
Estimated
Measure A
Allocation
Estimated
Measure A
Expenditure
Ending
Fund
Balance
Fund balance at 6/30/2024
$ -
$ -
$ 23,386,003
5-year CIP for 2024/25 3,508,000 23,657,964 3,236,039
5-year CIP for 2025/26 3,578,000 3,700,000 3,114,039
5-year CIP for 2026/27 3,650,000 3,600,000 3,164,039
5-year CIP for 2027/28 3,723,000 3,700,000 3,187,039
5-year CIP for 2028/29 $ 3,797,000 $ 3,700,000 $ 3,284,039
Based on the approved 5-year CIP for FY 2023/24, the City estimated current year
expenditures to be $16,740,879. However, the current year actual expenditure was
$3,029,345, which resulted in a shortfall of estimated expenditures of $13,711,534.
The estimated unspent expenditure of $13,711,534 is primarily due to industry
delays for construction projects due to materials and labor availability, resulting in
some of the anticipated Measure A spending delays.
4. Obtain an operating statement for Measure A activity for the fiscal year ended June 30,
2024 (see Exhibit A), including budget amounts.
a. Review the revenues in the operating statement.
i. Inquire of management as to what fund was used to record Measure A revenues
received from RCTC and document total revenues for the fiscal year ended June
30, 2024.
Finding: The City accounts for Measure A revenues in its Measure A Fund (“Fund
#213”). The City recorded total revenues in the amount of $4,816,963 for the fiscal
year ended June 30, 2024.
ii. Obtain a listing of Measure A payments made from RCTC to the City. Compare
the Measure A revenues recorded by the City to the listing of payments made by
RCTC.
Finding: We identified no variances. The Measure A revenue recorded by the City
and RCTC Measure A payment schedule was $3,469,376 for the fiscal year ended
June 30, 2024.
iii. Determine the amount of interest allocated to Measure A activity for the fiscal year
ended June 30, 2024.
Finding: The City allocated interest in the amount of $1,226,499 to the Measure A
activity for the fiscal year ended June 30, 2024. Allocated interest income of
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Board of Commissioners
Riverside County Transportation Commission
Riverside, California
4
$1,226,499 is made up of interest income of $1,030,678 and Government
Accounting Standard Board (“GASB”) 31 fair market value adjustment of $195,821.
b. Review the expenditures in the operating statement.
i. Inquire of management as to what fund is used to record Measure A expenditures
and document total expenditures for the fiscal year ended June 30, 2024.
Finding: The City accounts for Measure A expenditures in its Measure A Fund
(“Fund #213”). The City recorded total expenditures in the amount of $3,029,345
for the fiscal year ended June 30, 2024.
ii. Select expenditures for testing that comprise at least 20% of total Measure A
expenditures.
Finding: The City recorded Measure A expenditures in the amount of $3,029,345.
We selected $743,504 or 25% for testing.
1. For the expenditures selected for testing, compare the dollar amount recorded
in the general ledger to the supporting documentation.
Finding: No exceptions were noted as a result of applying this procedure.
2. For the expenditures selected for testing, review the 5-Year CIP and note
whether the projects claimed were included in the 5-Year CIP and whether they
constitute allowable costs.
Finding: Expenditures selected for testing were included in the 5-Year CIP and
were allowable costs. No exceptions were noted as a result of applying this
procedure.
iii. Inquire of management as to the nature of any transfers (in and out) recorded in
the Measure A Fund. For any transfers out, determine if nature of transfer out was
included in the 5-Year CIP.
Finding: There were no transfers recorded in the Measure A Fund that were noted
as a result of applying this procedure.
iv. Inquire of management as to the amount of general or non-project-related costs, if
any, included in expenditures. If indirect costs exceed 8% of Measure A revenue,
inquire of management as to the basis for indirect costs charged to Measure A. If
indirect costs are identified, determine if such costs are included in the 5-Year CIP.
Finding: Per discussion with management, there were no indirect costs recorded
for the fiscal year ended June 30, 2024.
v. Inquire of management as to the amount of debt service expenditures recorded in
the Measure A fund and determine if such costs are included in the 5-Year CIP.
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Board of Commissioners
Riverside County Transportation Commission
Riverside, California
5
Finding: There were no debt service expenditures recorded in the Measure A Fund
that were noted as a result of applying this procedure.
1. Compare the debt service expenditures to prior year amount. If debt service
expenditures have increased or decreased at least 25%, inquire of
management as to the reason for the change in debt service expenditures.
Finding: There were no debt service expenditures recorded in the Measure A
Fund that were noted as a result of applying this procedure.
5. Obtain from RCTC a listing of jurisdictions that participate in the Western County or
Coachella Valley TUMF programs.
a. If the jurisdiction is a participant in the TUMF program, select at least one
disbursement for validation as to the amount remitted to WRCOG or CVAG, as
applicable.
Finding: We selected one disbursement of $105,594 for validation. The payment
selected for testing indicated that the TUMF is collected and remitted to CVAG as
required.
b. Indicate the total amount of TUMF fees collected and remitted during the fiscal year
ended June 30, 2024.
Finding: The total amount of TUMF collected and remitted during fiscal year ended
June 30, 2024, were $466,498 and $828,984, respectively. The difference of $362,486
is illustrated below.
Collected Remitted
Total TUMF recorded for FY 2024
$ 466,498
$ 828,984
June 2023 TUMF remitted in July 2023 - (372,090)
May 2024 TUMF remitted in July 2024 - 9,604
TUMF reconciled
$ 466,498
$ 466,498
The $362,486 variance between TUMF collected and remitted was due to the City
remitting June 2023 TUMF payment of $372,090 to CVAG in July 2023 and the City
remitting May 2024 TUMF payment of $9,604 to CVAG in July 2024.
6. Obtain from RCTC a listing of jurisdictions that participate in the Western County MSHCP
program.
a. If the jurisdiction is a participant in the Western County MSHCP program, select at
least one disbursement for validation as to the amount remitted to RCA.
Finding: The City is not a participant in the Western County MSHCP program.
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Board of Commissioners
Riverside County Transportation Commission
Riverside, California
6
b. Inquire of management as to the existence of any fees collected in prior years that
were not remitted to RCA by the end of this fiscal year.
Finding: The City is not a participant in the Western County MSHCP program.
c. Indicate the total amount of Western County MSHCP fees collected and remitted
during the fiscal year.
Finding: The City is not a participant in the Western County MSHCP program.
7. Obtain from RCTC the Maintenance of Effort (“MOE”) base year requirement, including its
supporting detail calculations for the City, and the carryover amount allowed as of the
beginning of the fiscal year.
a. Obtain from the City a calculation of its current year MOE amount in a format similar
to its base year calculation. See Exhibit B.
Finding: No exceptions were noted as a result of applying this procedure.
b. Compare the current year MOE amounts from the General Fund to the general ledger.
Finding: No exceptions were noted as a result of applying this procedure.
c. Scan the General Fund general ledger to determine if there were any transfers in to
fund any MOE amounts.
Finding: No transfers in were noted as a result of applying this procedure.
d. Compare the amount of current year MOE expenditures to the MOE base requirement
and add any excess to, or subtract any deficiency from, the carryover amount.
Finding: We noted that current year MOE expenditures of $5,459,746 were greater
than the MOE base requirement of $2,398,146 resulting in an excess of $3,061,600
for fiscal year ended June 30, 2024.
e. If the amount of discretionary funds spent is less than the MOE base requirement
(“MOE deficiency”), determine the amount of any prior year MOE carryover using the
information obtained from RCTC and reduce the MOE deficiency by any available
MOE carryover to determine an adjusted current year expenditure amount.
Finding: No exceptions were noted as a result of applying this procedure. The City’s
discretionary funds spent in the fiscal year ended June 30, 2024, exceeded the MOE
base year requirement.
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Board of Commissioners
Riverside County Transportation Commission
Riverside, California
7
The City’s MOE carryover at June 30, 2024 is calculated as follows:
MOE excess at July 1, 2023 $ 18,157,121
Current year MOE expenditures 5,459,746
Less: MOE base requirement (2,398,146)
Excess MOE for fiscal year ended June 30, 2024 3,061,600
MOE excess at June 30, 2024 $ 21,218,721
We were engaged by RCTC to perform this agreed-upon procedures engagement and conducted
our engagement in accordance with attestation standards established by the American Institute
of Certified Public Accountants. We were not engaged to and did not, conduct an examination or
review engagement, the objective of which would be the expression of an opinion or conclusion,
respectively on the Measure A - Local Streets and Roads Program compliance. Accordingly, we
do not express such an opinion or conclusion. Had we performed additional procedures, other
matters might have come to our attention that would have been reported to you.
We are required to be independent of RCTC and the City to meet our other ethical responsibilities,
in accordance with the relevant ethical requirements related to our agreed-upon procedures
engagement.
This report is intended solely for the information and use of the Board of Commissioners and
management of RCTC and the City Council and management of the City of Palm Desert and is
not intended to be, and should not be, used by anyone other than these specified parties.
Lake Forest, California
November 1, 2024
18
EXHIBIT A
Variance From
Final Budget
Favorable
Budget Actual (Unfavorable)
Revenues:
Measure A 3,263,000$ 3,469,376$ 206,376$
Reimbursements from other agencies 1,663,000 121,088 (1,541,912)
Interest income 100,000 1,226,499 1,126,499
Total revenues 5,026,000 4,816,963 (209,037)
Expenditures:
Construction and maintenance 14,159,925 3,029,345 11,130,580
Total expenditures 14,159,925 3,029,345 11,130,580
Excess/(deficiency) of revenues over/(under) expenditures (9,133,925)$ 1,787,618$ 10,921,543$
CITY OF PALM DESERT, CALIFORNIA
Measure A Operating Statement
Fiscal Year Ended June 30, 2024
(Unaudited)
8
19
CITY OF PALM DESERT, CALIFORNIA
Measure A MOE Calculation
For the Fiscal Year Ended June 30, 2024
(Unaudited)
EXHIBIT B
FY 2023/24 Construction and Maintenance Expenditures Report as of June 30, 2024
(Round to nearest dollar)
Project Expenditures Included in General Ledger Total Cost General Fund Meas A Federal State
City Funds Special
Revenue Other
Construction:
4250 - Haystack @ Hwy 74 (CST00003)12,615$ -$ 12,615$ -$ -$ -$ -$
4256 - Underground Utilities - Neighborhood (P830-15)801 801
4300 - Safe Routes to School Plan (MST00003)190,427 190,427
4317 - Road Safety Improvements (CTS00004, CTS00005)102,878 102,878
4327 - Haystack Improvements (CST00006)67,081 67,081
4385 - Cook Street Improvements (CTS00001)75,425 75,425
4385 - Vitalia Improvements (CTS00002)51,323 51,323
4565 - Traffic Calming Program (CST00004)139,098 139,098
4565 - Haystack Traffic Calming (CST00005)5,552 5,552
4633 - Bikeway & Pedestrian Improvements (CST00002)360,544 360,544
4633 - Bike Roadway Improvements (MST00004)1,334 1,334
4670 - CV Link (CST00005, CST00021)505,034 138,853 5,910 360,271
4679 - El Paseo Roadway Improvements 536 536
Maintenance:
4250 - Traffic Signal Maintenance 1,370,909 1,370,909
4250 - Traffic Operations & Capacity Imp (P553-20) (MST00001)315,596 315,596
4250 - Traffic Signal Hardware Upgrade Program (569-XX) (MTS00001)1,031,634 1,031,634
4330 - Corporation Yard Facility 196,727 196,727
4310 - Street Maintenance 2,347,262 2,347,262
4311 - Street Resurfacing (CST00021, CST00024)3,791,877 153,446 3,638,431
4314 - Drainage Maintenance (P501-XX, P502-XX, P509-XX)171,135 171,135
4359 - Bridge Maintenance Program (P759-20) (MFA00007)383,003 383,003
4370 - Drainage (CDR00004)289,332 147,723 141,609
4396 - Drainage Maintenance 76,124 76,124
4614 - Median Landscape Maintenance 1,468,724 1,468,724
Expenditure Totals 14,852,259$ 7,357,034$ 3,029,345$ -$ -$ 3,963,199$ 502,681$
Total Project Cost General Fund
Construction:-$ -$
Maintenance:
Deduct Totals 1,897,288$ 1,897,288$
Total GF Expenditures 7,357,034$
Minus Deductions 1,897,288
MOE Current Year 5,459,746
MOE Base Year Requirement (2,398,146)
MOE Excess For Fiscal Year Ended June 30, 2024 3,061,600$
Funding Breakdown
Engineering/Administrative Overhead Not Allocated to Specific
Projects:1,897,288 1,897,288
Engineering/Administrative Overhead Not Allocated to Specific
Projects:1,897,288 1,897,288
Deductions for Special Consideration (Deductions Must Also Be
Included in Project Expenditures Above): State Reason Why Project Expenditure Should Be Deducted from MOE
9 20
Page 1 of 1
FINANCE COMMITTEE
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: January 28, 2025
PREPARED BY: Austin Yaple, Accounting Manager
Veronica Chavez, Director of Finance
SUBJECT: CITY OF PALM DESERT AUDITED ANNUAL COMPREHENSIVE FINANCIAL
REPORT (ACFR) FOR THE FISCAL YEAR ENDED JUNE 30, 2024.
RECOMMENDATION:
Receive and file the audited Annual Comprehensive Financial Report (ACFR) for the City of Palm
Desert for the fiscal year ended June 30, 2024.
BACKGROUND/ANALYSIS:
Lance, Soll & Lunghard, LLP performed and completed the annual independent audit for the fiscal
year ended June 30, 2024, for the City of Palm Desert, which includes the Palm Desert Housing
Authority, in accordance with generally accepted auditing standards. In the auditor’s opinion, the
basic financial statements present fairly, in all material respects, the financial position of the City of
Palm Desert as of June 30, 2024, and the results of its operations and the cash flows of its proprietary
funds for the year then ended in conformity with accounting principles generally accepted in the
United States of America.
In conducting their audit, the auditors test the City’s internal controls. Attached is the Report on
Internal Controls over Financial Reporting and on compliance and other matters based on an audit
of Financial Statements performed in accordance with Government Auditing Standards.
The ACFR was submitted for the Certificate of Achievement for Excellence in Financial Reporting
from the Government Finance Officers Association. In order to be awarded a Certificate of
Achievement, a government must publish an easily readable and efficiently organized annual
comprehensive financial report. This report must satisfy both generally accepted accounting
principles and applicable legal requirements. We believe that our current annual comprehensive
financial report continues to meet the Certificate of Achievement Program’s requirements, as it has
for the past 27 years.
Legal Review:
This report has been reviewed by the City Attorney’s office.
FINANCIAL IMPACT:
There is no fiscal impact associated with this action.
ATTACHMENTS:
1. Audited Annual Comprehensive Financial Report (ACFR) for the City of Palm Desert for the fiscal
year ended June 30, 2024
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ANNUAL COMPREHENSIVE FINANCIAL REPORT
of the
CITY OF PALM DESERT, CALIFORNIA
For the Year Ended
June 30, 2024
Prepared by the Finance Department
City Treasurer/Director of Finance
Veronica Chavez
Deputy Director of Finance
John Ramont
Accounting Manager
Austin Yaple
Finance Staff
(in alphabetical order by positions and last names)
ACCOUNTANT
Arlene Arellano
ACCOUNTANT
Tristan Morales
ACCOUNTANT
Sarah Sullivan
ACCOUNTING TECHNICIAN II
Horacio Celaya
ACCOUNTING TECHNICIAN I
Araceli Castro
ACCOUNTING TECHNICIAN I
Sarah Castro
FINANCE SUPERVISOR
James Bounds
MANAGEMENT ANALYST I
Skky Garcia
MANAGEMENT ANALYST I
Staci Kolbeck
PAYROLL COORDINATOR
Miguel Zepeda
SENIOR MANAGEMENT ANALYST
Cristal Ortega
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CITY OF PALM DESERT, CALIFORNIA
Annual Comprehensive Financial Report
For the Year Ended June 30, 2024
Table of Contents
Page
Number
INTRODUCTORY SECTION
Letter of Transmittal .................................................................................................................................................. i
GFOA Certificate of Achievement for Excellence in Financial Reporting ................................................................ v
List of Principal Officials ........................................................................................................................................ vii
Organizational Chart ............................................................................................................................................. viii
FINANCIAL SECTION
INDEPENDENT AUDITORS’ REPORT ................................................................................................................. 1
MANAGEMENT’S DISCUSSION AND ANALYSIS ................................................................................................ 5
BASIC FINANCIAL STATEMENTS
Statement of Net Position .............................................................................................................................. 17
Statement of Activities .................................................................................................................................... 18
Balance Sheet – Governmental Funds .......................................................................................................... 20
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Position ................................................................................................................. 23
Statement of Revenues, Expenditures and Changes in
Fund Balances – Governmental Funds ...................................................................................................... 24
Reconciliation of the Statement of Revenues, Expenditures
and Changes in Fund Balances of Governmental Funds to
the Statement of Activities .......................................................................................................................... 27
Statement of Net Position – Proprietary Funds .............................................................................................. 28
Statement of Revenues, Expenses and Changes in Fund
Net Position – Proprietary Funds ................................................................................................................ 29
Statement of Cash Flows – Proprietary Funds .............................................................................................. 30
Statement of Fiduciary Net Position – Fiduciary Funds ................................................................................. 32
Statement of Changes in Fiduciary Net Position – Fiduciary Funds.............................................................. 33
Notes to Basic Financial Statements ............................................................................................................. 35
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CITY OF PALM DESERT, CALIFORNIA
Annual Comprehensive Financial Report
For the Year Ended June 30, 2024
Table of Contents
Page
Number
REQUIRED SUPPLEMENTARY INFORMATION
Miscellaneous Plan – Agent Multiple-Employer Schedule of Changes
in Net Pension Liability and Related Ratios ............................................................................................ 88
Schedule of Changes in the Net OPEB Liability/(Asset) and Related Ratios ................................................ 90
Schedule of Plan Contributions – OPEB ........................................................................................................ 93
Budgetary Comparison Schedule by Department – General Fund ............................................................... 94
Budgetary Comparison Schedule – Prop A Fire Tax ..................................................................................... 96
Budgetary Comparison Schedule –Housing Asset Fund ............................................................................... 97
Budgetary Comparison Schedule – Housing Authority .................................................................................. 98
Notes to Required Supplementary Information .............................................................................................. 99
SUPPLEMENTARY SCHEDULES
Combining Balance Sheet – Other Governmental Funds ............................................................................ 102
Combining Statement of Revenues, Expenditures and Changes in
Fund Balances – Other Governmental Funds ............................................................................................. 112
Budgetary Comparison Schedules – Special Revenue Funds:
Traffic Safety .......................................................................................................................................... 121
Gas Tax ................................................................................................................................................. 122
Measure A ............................................................................................................................................. 123
Housing Mitigation Fees ........................................................................................................................ 124
Community Development Block Grant .................................................................................................. 125
Child Care Program ............................................................................................................................... 126
Public Safety Police Grants ................................................................................................................... 127
New Construction Tax ........................................................................................................................... 128
Planned Drainage .................................................................................................................................. 129
Parks and Recreational Facilities .......................................................................................................... 130
Traffic Signals ........................................................................................................................................ 131
Fire Facilities Restoration ...................................................................................................................... 132
Recycling ............................................................................................................................................... 133
Energy Independence Loan .................................................................................................................. 134
Air Quality Management ........................................................................................................................ 135
Aquatic Center ....................................................................................................................................... 136
Cannabis Compliance ........................................................................................................................... 137
El Paseo Assessment District ................................................................................................................ 138
Various Landscape and Lighting District ............................................................................................... 139
Affordable Housing Fund ....................................................................................................................... 140
Permanent Local Housing Allocation Grant .......................................................................................... 141
Opioid Settlement .................................................................................................................................. 142
Library Services ..................................................................................................................................... 143
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CITY OF PALM DESERT, CALIFORNIA
Annual Comprehensive Financial Report
For the Year Ended June 30, 2024
Table of Contents
Page
Number
Schedule of Revenues, Expenditures and Changes in Fund Balances – Budget to Actual
Restricted Capital Project Fund ............................................................................................................. 144
Budgetary Comparison Schedules – Capital Project Funds:
Capital Projects Reserve ....................................................................................................................... 145
Drainage Facilities ................................................................................................................................. 146
Economic Development ......................................................................................................................... 147
Parks and Recreational Facilities .......................................................................................................... 148
Art in Public Places ................................................................................................................................ 149
Signalization .......................................................................................................................................... 150
Capital Golf ............................................................................................................................................ 151
Buildings ................................................................................................................................................ 152
Library .................................................................................................................................................... 153
Budgetary Comparison Schedule – Debt Service Fund:
City Highland Undergrounding .............................................................................................................. 154
Internal Service Funds:
Combining Statement of Net Position – Internal Service Funds ........................................................... 155
Combining Statement of Revenues, Expenses and Changes
In Fund Net Position – Internal Service Fund ................................................................................. 156
Combining Statement of Cash Flows – Internal Service Funds ............................................................ 157
Custodial Funds:
Combining Statement of Net Position – All Custodial Funds ................................................................ 158
Combining Statement of Changes in Fiduciary Net Position – All Custodial Funds ............................. 159
STATISTICAL SECTION
Description of Statistical Section ........................................................................................................................ 161
Financial Trends:
Net Position by Component ......................................................................................................................... 163
Changes in Net Position ............................................................................................................................... 164
Fund Balances of Governmental Funds ...................................................................................................... 167
Changes in Fund Balances of Governmental Funds ................................................................................... 168
Graphs – Changes in Fund Balances of Governmental Funds ................................................................... 169
Supplemental Historical General Fund Revenues ....................................................................................... 170
Supplemental Graph – Historical General Fund Revenues ......................................................................... 171
Supplemental Historical General Fund Expenditures .................................................................................. 172
Supplemental Graph – Historical General Fund Expenditures .................................................................... 173
Supplemental Historical General Revenue and Expenditures Per Capita ................................................... 175
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CITY OF PALM DESERT, CALIFORNIA
Annual Comprehensive Financial Report
For the Year Ended June 30, 2024
Table of Contents
Page
Number
Revenue Capacity:
Assessed Value and Estimated Actual Value of Taxable Property ............................................................. 176
Historical Net Assessed Taxable Values Citywide and Graph – Assessed Valuation Growth .................... 177
Supplemental FY 2020 and 2019 Breakdown of Basic 1% Property
Tax Rate Not In Redevelopment Project Area ......................................................................................... 178
Property Tax Rates Direct and Overlapping Property Tax Rates ................................................................ 179
Principal Property Taxpayers ....................................................................................................................... 180
Property Tax Levies and Collections ........................................................................................................... 181
Supplemental Top 25 Sales Tax Generators and Graph – Historical Sales Tax Trends ............................ 182
Debt Capacity:
Ratios of Outstanding Debt by Type ............................................................................................................ 183
Ratios of General Bonded Debt Outstanding ............................................................................................... 184
Supplemental Special Assessment Information........................................................................................... 185
Direct and Overlapping Government Activities Debt ................................................................................... 186
Legal Debt Margin Information ..................................................................................................................... 187
Pledged-Revenue Coverage ........................................................................................................................ 188
Demographic and Economic Information:
Demographic and Economic Statistics ........................................................................................................ 189
Principal Employers ..................................................................................................................................... 190
Supplemental Miscellaneous Statistics ........................................................................................................ 191
Operating Information:
Full-Time Equivalent City Government Employees by Function/Program ................................................... 192
Operating Indicators by Function/Program .................................................................................................. 193
Capital Asset Statistics by Function/Program .............................................................................................. 194
SUPPLEMENTAL REDEVELOPMENT CUSTODIAL STATISTICAL SECTION
Redevelopment Custodial Project Areas Map ............................................................................................. 196
Tax Allocation Bond Issue Information ........................................................................................................ 197
Historical Tax Increment – Redevelopment Property Tax Trust Fund Summary ........................................ 198
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CITY OF PALM DESERT
73-510 FRED WARING DRIVE
PALM DESERT, CALIFORNIA 92260-2578
TEL: 760 346-0611
INFO@PALM-DESERT.ORG
January xx, 2025
Residents of Palm Desert,
Honorable Mayor and Members of the City Council
The Finance Department is pleased to present the Annual Comprehensive Financial Report (ACFR) of the
City of Palm Desert for the fiscal year ended June 30, 2024.
The financial statements are prepared in accordance with generally accepted accounting principles (GAAP) and
the Governmental Accounting Standards Board (GASB). We believe the data, as presented, is accurate in all
material respects and is presented in a manner that fairly represents the financial position and changes in financial
position of the City as measured by the financial activity of each of its funds. We also believe that all disclosures
necessary to enable the reader to fully understand the City's financial activities have been presented. Responsibility
for the accuracy, completeness and reliability of the information contained in this report rests with the City.
The City of Palm Desert conducts an annual audit, which is performed by an independent certified public
accountant. The independent audit of the City’s financial statements for fiscal year ended June 30, 2024 was
conducted by Lance Soll & Lunghard, LLP. The auditor’s unmodified opinion on the basic financial statements is
included in the Financial Section of this report. This is the most favorable opinion.
As part of the City’s annual audit engagement, the auditors reviewed the City’s internal control structure as well as
compliance with applicable laws and regulations. Because the cost of internal control should not exceed anticipated
benefits, the objective is to provide reasonable, rather than absolute assurance, that the financial statements are
free of any material misstatements. The results of the City’s annual audit for fiscal year ended June 30, 2024
provided no instances of material weaknesses in connection with the internal control structure or significant
violations of applicable laws and regulations.
As recipients of federal, state and county financial resources, the City may be required to undergo an annual single
audit. For the fiscal year ended June 30, 2024, the City will have a single audit performed. Management’s
discussion and analysis (MD&A) immediately follows the independent auditor’s report and provides a narrative
introduction, overview, and analysis of the basic financial statements. MD&A complements this letter of transmittal
and should be read in conjunction with it.
PROFILE OF THE CITY OF PALM DESERT
Located in Riverside County in the geographical center of the Coachella Valley, Palm Desert was incorporated on
November 26, 1973, as a General Law City. On November 4, 1997, voters overwhelmingly approved Measure LL
adopting a city charter.
Under the provisions of the charter, the City of Palm Desert has full authority over its own municipal affairs including:
bidding and contracting procedures; regulation of parks, libraries, and other facilities; certain fees; imposition of
taxes; municipal zoning; salaries of officials and employees; municipal utilities; and municipal election procedures.
The City operates under a Council-Manager form of government. The City Council is comprised of five members
elected to four-year terms every two years by the residents of the City. The City has two-districts, District One
includes neighborhoods in and around the Palm Desert Civic Center core, comprising about 20% of the City’s
population which is represented by one (1) elected City Council member. District Two comprises 80% of the City’s
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population, which is represented by four (4) elected City Council members. Each December, the City Council selects
the Mayor from among its members for a one-year term. The City Council appoints the City Manager and the
City Attorney.
The City operates as a “contract city,” primarily utilizing agreements with other governmental entities,
private firms, and individuals to provide many services. Contracted services include: police protection through the
County of Riverside; fire protection through Cal-Fire; animal control; road maintenance and construction services;
legal services; landscape maintenance; and recreation program services. Palm Desert is a member of the
California Joint Powers Insurance Authority that provides insurance coverage for the City. Water, sewage treatment
and wastewater disposal are provided by the Coachella Valley Water District. Southern California Gas Company
supplies natural gas to the City and electric power is provided by the Southern California Edison Company.
Disposal is provided by Burrtec Waste & Recycling Services. Telephone/Internet service is available through
Frontier Communications. Cable television/Internet service is provided by Time Warner Cable/Spectrum.
The City provides traditional municipal, public enterprise, and housing services as follows:
Municipal Services
Public improvements, infrastructure and maintenance
Public art and community promotion
Planning, zoning, building and engineering
Housing and community development
Code compliance
Economic development and business advocacy
Legislative, city clerk, visitor’s services, public information,
general administration, fiscal services, human resources,
and risk management
Building permitting, inspections and library services
Public Enterprise Services Blended & Discrete Component Units
Golf course Palm Desert Housing Authority
Office complex Palm Desert Financing Authority
Internal service Palm Desert Recreational Facilities Corporation
The City maintains budgetary controls to ensure compliance with legal provisions embodied in the annual
appropriated budget approved by the City Council. Activities of the General, Special Revenue, Debt Service, and
Capital Project Funds are included in the annual appropriated budget. Budgetary amounts for Debt Service, Capital
Projects, and certain Special Revenue Funds are adopted annually; however, these budgets are considered to be
long-term in nature.
The City also maintains an encumbrance accounting system of purchase orders and contracts at the fund level as
a means of accomplishing budgetary control. At each fiscal year end, open encumbrances are carried over to the
new fiscal year. Purchase orders are reviewed to ensure that funds are available and that requests are properly
authorized prior to being released to vendors.
The adopted budget for fiscal year 2023-2024 was prepared in accordance with accounting principles generally
accepted in the United States of America. As reflected in the statements and schedules included in the financial
section of this report, the City continues to meet its responsibility for sound financial management.
LOCAL ECONOMY
The City comprises an area of approximately 26 square miles and, as of January 1, 2024, has a population of
50,889 according to data provided by the California Department of Finance. In addition to permanent residents,
approximately 20,000 seasonal residents make Palm Desert their home for three to six months each year.
The City has cultivated a sound foundation of general fund revenues including sales tax, transient occupancy tax,
licenses and permits, property tax, and investment earnings. The City’s main revenue sources are transient
occupancy taxes and sales tax. Due to the timing of the City’s incorporation, in 1973, and the implementation of
Proposition 13, the City receives less than 7 percent of property taxes; therefore, the City relies heavily on sales
tax and transient occupancy tax.
Palm Desert Civic Center
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As a community where economic, environmental, social, and cultural development flourishes, Palm Desert is a
much sought-after place to visit and reside. Palm Desert is the first city in Riverside County to create a public art
program and is home to numerous cultural attractions including: the McCallum Theatre for the Performing Arts, a
1,127-seat theater that hosts a wide variety of A-list entertainers, touring theatrical productions and arts-related
educational programs; the Living Desert Zoo and Gardens, a 1,200-acre facility containing a wide array of plants
and animals from desert regions around the world; and the Palm Desert Art in Public Places program, a museum
without walls, featuring more than 150 works of art on permanent display throughout the city.
Palm Desert’s active, five-star accredited Chamber of Commerce has more than 1,125 members who work to
promote, support, and enhance business prosperity, civic vitality, and the quality of life within their community.
Noted for its extensive array of retail options, including the world-famous upscale shopping destination of El Paseo,
Palm Desert is home to a variety of malls and retail centers including The Shops at Palm Desert, Desert Crossing,
The Gardens on El Paseo, and El Paseo Village.
The internationally acclaimed Desert Willow Golf Resort,
one of the nation’s premier municipal courses, boasts
36 holes of championship golf and stunning scenery in close
proximity to first-class hotel accommodations and fine dining.
And in 2024, ground was broken for development to build a
five-and-a-half-acre Wavegarden Cove, DSRT Surf, which will
make it the largest of its kind in the United States.
In addition to being the home of the Coachella Valley’s only
community college, College of the Desert, Palm Desert is the
location of satellite campuses for both the University of California,
Riverside, and California State University, San Bernardino, the
region’s only public, four-year university.
The State of California Employment Development Department Labor Market Information Division reported that the
City of Palm Desert had an unemployment rate of 4.8% compared to Riverside County, which had a rate of 5.0%.
Worldwide issues such as inflation and supply-chain
constraints presented a new set of challenges over the course of the COVID-19 pandemic, and the City continues
to face such challenges through the same lens of fiscal responsibility and sound financial practices that have proven
successful in the past. Despite such challenges, the City of Palm Desert continued to provide exceptional services
and amenities to residents throughout the course of the year.
LONG-TERM FINANCIAL PLANNING
In June 2024, the City Council approved a total of $72.4 million in funding for various capital improvement projects
for Fiscal Year 2024-25. Projects include resurfacing streets, sidewalk repairs and construction, accessibility
improvements, street widening, improving drainage areas, park improvements, and improvements at Desert Willow
Golf Resort and Parkview Office Complex.
CERTIFICATES OF AWARDS FOR OUTSTANDING FINANCIAL REPORTING
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 Palm Desert for its comprehensive
annual financial report for the fiscal year ended June 30, 2023. This was the 26th consecutive year that the City
has achieved this prestigious award. To receive the Certificate of Achievement, a government must publish an
easily readable and efficiently organized annual comprehensive financial report. This report must satisfy both
generally accepted accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our current annual comprehensive
financial report continues to meet the Certificate of Achievement Program’s requirements and we are submitting it
to the GFOA to determine its eligibility for another certificate.
Desert Willow Golf Resort
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ACKNOWLEDGEMENTS
The preparation of this report is attributable to the efficient and dedicated staff of the Finance Department who are
individually recognized on the title page. The Mayor and the City Council are credited for their support in planning
and conducting the operations of the City in a prudent, responsible and progressive manner. Recognition is also
given to all employees of the City of Palm Desert who continue to serve our community with commitment and
dedication throughout the year. Our greatest appreciation goes to you, the residents of Palm Desert, for your
continued support, input, and guidance in helping us serve you better, thus preserving our city’s quality of life and
reputation for innovation and leadership.
Respectfully submitted,
L. Todd Hileman Veronica Chavez
City Manager Director of Finance
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v
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7KLVSDJHLQWHQWLRQDOO\OHIWEODQN
vi
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CITY OF PALM DESERT
List of Principal Officials
as of June 30, 2024
City Council - Manager Form of Government
CITY COUNCIL
KARINA QUINTANILLA
Mayor
JAN C. HARNIK
Mayor Pro-Tempore
KATHLEEN KELLY
Council Member
GINA NESTANDE
Council Member
EVAN TRUBEE
Council Member
CITY ADMINISTRATION
TODD HILEMAN
City Manager
Israh Shah Veronica Chavez
City Attorney - Best, Best & Krieger, LLP Director of Finance/City Treasurer
PALM DESERT HOUSING AUTHORITY
TODD HILEMAN
Executive Director
SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY
TODD HILEMAN
Executive Director
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City Manager Executive
Assistant
Public Affairs
Manager
Management
Analyst I/II
(Environmental
)
HR Manager
Director of
Economic
Development
Records
Coordinator
Management
Analyst I/II (2)
Deputy Clerk
I/ II
Management
Analyst I/II
(Art)
Assistant City
Clerk
Admin
Assistant I/II
City Clerk
Senior Deputy
Clerk
Senior Admin
Assistant
Human
Resources
Analyst I/II (2)
Office
Assistant I/ II
Communicatio
ns Analyst I/II
(2)
Marketing
Specialist
Special Events
Coordinator
Admin
Assistant I/II
Deputy
Director of
Economic
Development
Admin Assistant
Special
Programs
I/II
Housing
Manager
Management
Analyst I/II
Housing
Program Tech
Director of
Finance
Deputy
Director of
Finance
Deputy
Director of
Finance
Finance
Supervisor
Senior
Contracts and
Grants Analyst
Purchasing
Coordinator
Admin
Assistant I/II
Senior
Network
Engineer
Accountant (2)
Information
Systems
Manager
Senior
Information
Systems
Admin
Senior GIS
Admin
Biz Systems
Enterprise
Accounting
Technician
Accounting
Technician (5)
Admin
Assistant I/II
Management
Analyst I
Assistant City
Manager
Receptionist
Social Services
Coordinator
Management
Analyst I/II
City EngineerDirector of
Public Works
Director of
Development
Services
Director of
Capital
Projects
CITY OF PALM DESERT ORGANIZATION CHART
viii
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Director of
Public Works
Deputy
Director of
Public Works
Assistant City
Manager
Social Services
Coordinator
Management
Analyst I/II
Director of
Development
ServicesDeputy
Director of
Development
Services
Senior Admin
Assistant
Management
Analyst I/II
Executive
Assistant
Permit Center
Supervior
Code
Compliance
Office I/II (5)
Permit
Specialist I/II
(4)
Principal
Planner
Chief Building
Official
Code
Compliance
Supervisor
Senior
Building
Inspector
Office
Assistant I/II
Building
Inspector I/II
(3)
Office
Assistant I/II
Senior Planner
Associate
Planner I/II
Assistant
Planner I/II
Chief
Inspector
Land
Development
Tech
Director of
Capital
Projects
Admin
Assistant I/II
Capital
Projects
Manager (2)
PW Inspector
(3)
Senior Project
Manager
Project
Manager (2)
Transportation
Manager
Business
Operations
Manager
Project
Manager
Senior
Managment
Analyst
Admin
Assistant I/II
(2)
Traffic Signal
Specialist
Traffic Signal
Tech I/II (2)
Street
Maintenance
Supervisor
Community
Services
Manager
Admin
Assistant I/II
Office
Assistant I/II
Senior
Maintenance
Worker
Maintenance
Worker I/II/III
(10)
Supervising
Landscape
Supervisor
Landscape
Inspector (3)
Project
Manager
Senior
Facilities
Specialist
Project
Technician
Facilities
Specialist
City Engineer
CITY OF PALM DESERT ORGANIZATION CHART
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To the Honorable Mayor and Members of the City Council
City of Palm Desert, California
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise
the City’s basic financial statements. The accompanying combining and individual fund financial statements and
schedules (“supplementary information”) are presented for purposes of additional analysis and are not a required
part of the basic financial statements. Such information is the responsibility of management and was derived from
and relates directly to the underlying accounting and other records used to prepare the basic financial statements.
The information has been subjected to the auditing procedures applied in the audit of the basic financial statements
and certain additional procedures, including comparing and reconciling such information directly to the underlying
accounting and other records used to prepare the basic financial statements or to the basic financial statements
themselves, and other additional procedures in accordance with auditing standards generally accepted in the
United States of America. In our opinion, the supplementary information is fairly stated, in all material respects, in
relation to the basic financial statements as a whole.
Other Information
Management is responsible for the other information included in the annual report. The other information comprises
the introductory and statistical sections but does not include the basic financial statements and our auditor’s report
thereon. Our opinions on the basic financial statements do not cover the other information, and we do not express
an opinion or any form of assurance thereon.
In connection with our audit of the basic financial statements, our responsibility is to read the other information and
consider whether a material inconsistency exists between the other information and the basic financial statements,
or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude
that an uncorrected material misstatement of the other information exists, we are required to describe it in our report.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated [DATE], on our
consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain
provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is
solely 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 effectiveness of the City’s internal control over financial reporting
or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing
Standards in considering the City’s internal control over financial reporting and compliance.
Irvine, California
[DATE]
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CITY OF PALM DESERT
MANAGEMENT’S DISCUSSION AND ANALYSIS
Our discussion and analysis of the City of Palm Desert’s financial performance for the fiscal year ended
June 30, 2024, provides: a comparison of current year to prior year ending results based on the
government-wide financial statements; an analysis of the City’s overall financial position and results of operations
to assist users in evaluating the City’s financial position; a discussion of significant changes that occurred in the
funds; and significant budget variances. In addition, it describes the activities during the year for capital assets and
long-term debt. We end our discussion and analysis with a description of known facts, decisions, and conditions
that are expected to have a significant effect on the financial position or results of operations. Please read it in
conjunction with the transmittal letter and the City’s financial statements.
FINANCIAL HIGHLIGHTS
• The City’s total assets and deferred outflows exceeded its liabilities and deferred inflows by $812.65 million
(net position).
• The City’s governmental activities net position decreased by $12.16 million, and the net position of the
business-type activities decreased by $.27 million.
• During the year, the City’s revenues were $155.47 million and expenses were $167.64 million in its
governmental activities, compared to fiscal year 2023, where revenues were $131.59 million and expenses
were $120.10 million.
• In the City’s business-type activities, expenses were $14.33 million, $1.85 million more than the $12.48 million
in prior year expenses. Revenues generated from golf course green fees, merchandise sales, rental income
and other revenues decreased by $0.99 million compared to prior year, and Parkview Office Complex revenues
for business-type activities revenues decreased $0.25 million from prior year.
• The City’s governmental activities program revenues and general revenues increased by $23.88 million, while
program expenses increased by $47.54 million.
• Business-type activities revenues decreased $ 0.37 million, from $14.43 million to $14.06 million. Expenses
increased from $12.48 million to $14.33 million.
• The City kept its General Fund expenditures within spending limits by $10.23 million. The revenues available
for expenditures exceeded budget by $4.87 million.
USING THIS ANNUAL REPORT
This annual report consists of a series of financial statements. The Statement of Net Position and
Statement of Activities (on pages 17, 18 and 19) provide information about the activities of the City as a whole and
present a long-term view of the City’s finances. The fund financial statements start on page 20. For governmental
activities, these fund statements tell how these services were financed in the short term as well as what remains
for future spending. The fund financial statements also report the City’s operation in more detail than the
government-wide statements by providing information about the City’s most significant funds and other funds. The
remaining fiduciary fund statement provides financial information about activities for which the City acts solely as a
trustee or agent for the benefit of those outside of the government.
REPORTING THE CITY AS A WHOLE
The Statement of Net Position and the Statement of Activities:
Our analysis of the City as a whole begins on page 17. One of the most important questions asked about the City’s
finances is, “Is the City as a whole better off or worse off as a result of the year’s activities?” The Statement of Net
Position and the Statement of Activities report information about the City as a whole and about its activities in a way
that answers this question. These statements include all assets and liabilities of the City using the accrual basis of
accounting, which is similar to the accounting used by most private-sector companies. All of the current year’s
revenues and expenses are taken into account regardless of when cash is received or paid.
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These two statements report the City’s net position and changes in them. Net position is the difference between
total assets and deferred outflows of resources less liabilities and deferred inflows, which is one way to measure
the City’s financial health, or financial position. Over time, increases or decreases in the City’s net position are an
indication of whether its financial health is improving or deteriorating. Other non-financial factors should be
considered, however, such as changes in the economy that could cause a decrease in consumer spending.
In the Statement of Net Position and the Statement of Activities, we separate City activities as follows:
Governmental activities – Most of the City’s basic services are reported in this category, including general
administration (city manager, city clerk, finance, etc.), housing and redevelopment, public safety (police and fire
protection), public works, parks, recreation and culture departments. Property taxes, sales tax, transient occupancy
tax, user fees, interest income, franchise fees, state and federal grants, contributions from other agencies, and
other revenues finance these activities.
Business-type activities – The City charges customers to cover all or most of the cost of certain services it provides.
The City’s municipal golf course, Desert Willow, and the City’s Parkview Office Complex activities are reported in
this category.
Component unit activities – The City includes one separate legal entity in its report – the Palm Desert Recreational
Facilities Corporation. Although legally separate, this “component unit” is important because the City is financially
accountable for it.
REPORTING THE CITY’S MOST SIGNIFICANT FUNDS
Fund Financial Statements:
The fund financial statements provide detailed information about the most significant funds and other funds, not the
City as a whole. Some funds are required to be established by State law and by bond covenants. However,
management established many other funds to help it control and manage money for particular purposes or to show
that it is meeting legal responsibilities for using certain taxes, grants, and other resources. The City has three types
of funds: governmental, proprietary and fiduciary.
Governmental funds – Most of the City’s basic services are reported in governmental funds, which focus on how
money flows in and out of those funds and the balances left at year-end that are available for spending. These
funds are reported using an accounting method called modified accrual accounting, which measures cash and all
other financial assets that can readily be converted to cash. The governmental fund statements provide a detailed
short-term view of the City’s general government operations and the basic services it provides. Governmental fund
information helps determine whether there are more or fewer financial resources that can be spent in the near future
to finance the City’s programs. The differences of results in the Governmental Fund financial statements to those
in the Government-wide financial statements are explained in a reconciliation following each Governmental Fund
financial statement.
Proprietary funds – When the City charges customers for the services it provides, these services are generally
reported in proprietary funds. Proprietary funds are reported in the same way that all activities are reported in the
Statement of Net Position and the Statement of Activities. The City’s enterprise funds are the same as the business-
type activities we report in the government-wide statements, but provide more detail and information such as a
statement of cash flows.
Fiduciary funds – Fiduciary funds are used to account for resources held for the benefit of parties outside the
government. Fiduciary funds are not reflected in the government-wide financial statement because the resources
of those funds are not available to support the City of Palm Desert operations. The accounting used for fiduciary
funds is much like that used for proprietary funds.
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THE CITY AS TRUSTEE
Reporting the City’s Fiduciary Responsibilities:
The City is the trustee, or fiduciary, for the Successor Agency to the Palm Desert Redevelopment Agency’s
(Successor Agency) private-purpose trust fund and for certain custodial funds held on behalf of developers and its
employees’ retiree service stipend fund. The City’s fiduciary activities are reported in separate Statement of
Fiduciary Net Position, Statement of Changes in Fiduciary Net Position, Combining Statement of Statement of
Assets and Liabilities-All Custodial Funds, and Combining Statement of Changes in Fiduciary Net Position-All
Custodial Funds. We exclude these activities from the City’s other financial statements because the City cannot
use these assets to finance its operations. The City is responsible for ensuring that the assets reported in these
funds are used for their intended purposes.
THE CITY AS A WHOLE
During the fiscal year ending June 30, 2024, the City’s combined net position decreased $ 12.43 million from
$825.09 million to $812.66 million. A separate review of the net change in the governmental and business-type
activities is provided for the reader. Our analysis focuses on the net position (Table 1) and changes in net position
(Table 2) of the City’s governmental and business-type activities.
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2024 2023 2024 2023 2024 2023
Current and restricted assets 401.93$ 397.71$ 13.27$ 11.31$ 415.20$ 402.99$
Noncurrent assets
Receivables 3.26 3.44 5.19 5.89 8.44 15.36
Capital assets 412.61 422.26 68.70 69.55 481.31 491.81
TOTAL ASSETS 817.79 823.41 87.16 86.75 904.96 910.16
Deferred outflows of resources 19.41 18.10 - - 19.41 18.10
Current liabilities 44.68 45.70 1.54 1.69 46.22 47.39
Noncurrent liabilities 55.55 45.28 1.54 0.23 57.09 45.51
TOTAL LIABILITIES 100.23 90.98 3.08 1.92 103.31 92.90
Deferred inflows of resources 3.83 5.22 4.58 5.05 8.40 10.27
Net position:
Net investment in capital assets 401.72 416.68 68.47 69.24 470.19 485.92
Restricted 175.67 172.53 - - 175.67 172.53
Unrestricted 155.76 156.10 11.04 10.54 166.79 166.64
TOTAL NET POSITION 733.15$ 745.31$ 79.51$ 79.78$ 812.65$ 825.09$
Activities Activities Total
TABLE 1
NET POSITION
(IN MILLIONS)
As of June 30, 2024 and 2023
Governmental Business-Type
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The City’s governmental activities net position decreased $12.16 million. The City’s net position is made up of three
components: Net investment in capital assets; restricted net position; and unrestricted net position. For
governmental activities, unrestricted net position, which represents the part of net position that can be used to
finance day-to-day operations, accounted for 21 percent of the overall total net position. Unrestricted net position
decreased $0.34 million from $156.10 million in 2023 to $155.76 million in 2024, and restricted net position
increased from $172.53 million to $175.67 million, an increase of $3.14 million. The increase in unrestricted
net position was primarily driven by increases in program revenues, investment earnings and transient occupancy
tax, and the City’s investment portfolio took advantage of high interest rates in both short-term savings vehicles and
longer-term investments. Total charges for services increased from $38.83 million in 2023 compared to
$39.35 million in 2024, an increase of $ 0.52 million; and transient occupancy tax decreased from $23.96 million in
2023 to $23.02 million in 2024, representing a decrease of $ 0.94 million. Investment earnings saw an increase of
$13.93 million from 2023 to 2024 and interest rates remained high through the end of fiscal year 2024.
The increase of $3.14 million in restricted net position was due to restricted special projects increasing by
$34.74 million from the prior year, while restricted capital projects funds decreased by $31.82 million. During the
year, construction on major projects continued; including the completion of the Desert Willow parking lot, Sec 29
Retention Basin, and Fred Waring Street rehabilitation. Investment in capital assets in governmental funds
decreased by $ 14.56 million, slightly over 3 percent of the total balance.
The City’s governmental activities total assets and deferred outflow of resources combined decreased $4.31 million
from $841.51 million in 2023 to $837.20 million in 2024. The majority of the decrease to total assets were in capital
assets, which decreased by $9.65 million over the prior year. This decrease was also offset by increases to cash
and investments by $4.22 million and deferred outflows of resources by $1.31 million due to the OPEB pension
discount rate change.
Total governmental fund liabilities and deferred inflows combined increased by $7.86 million from $96.2 million in
2023 to $104.10 million in 2024. An decrease of $9.25 million in total liabilities, mainly attributable to a pension
liability decrease of $5.32 million, an OPEB liability decrease of $1.03 million, and a decrease in lease liabilities of
$1.78 million.
The net position of the business-type activities recognized a decrease of $.27 million, from $79.78 million during
2023 to $79.51 million during 2024.
Total assets in the business-type activities increased by $0.41 million from $86.75 million in 2023 to $87.16 million
in 2024.
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2024 2023 2024 2023 2024 2023
REVENUES
Program Revenues:
Charges for services 39.35$ 38.83$ 13.42$ 13.63$ 52.77$ 52.46$
Operating grants and contributions 9.90 13.04 - - 9.90 13.04
Capital grants and contributions 17.31 4.67 0.19 0.09 17.50 4.76
General Revenues:
Property taxes 15.33 13.89 - - 15.33 13.89
Transient occupancy tax 23.02 23.96 - - 23.02 23.96
Sales tax 25.39 26.37 - - 25.39 26.37
Other taxes 3.78 3.58 - - 3.78 3.58
Investment earnings 19.10 5.17 0.74 0.45 19.84 5.62
Other revenues 2.00 2.08 - 0.26 2.00 2.34
Transfers 0.29 - (0.29) - - -
TOTAL REVENUES 155.47 131.59 14.06 14.43 169.53 146.02
EXPENSES
General Government 46.41 26.19 - - 46.41 26.19
Housing and redevelopment 27.87 13.25 - - 27.87 13.25
Public safety 43.64 40.76 - - 43.64 40.76
P arks , recreation and culture 20.32 19.11 - - 20.32 19.11
Public works 28.65 20.65 - - 28.65 20.65
Library 0.61 - - - 0.61 -
Interest on long-term debt 0.15 0.15 - - 0.15 0.15
Golf Course - Desert Willow - - 12.97 11.07 12.97 11.07
Office Complex - Parkview - - 1.36 1.41 1.36 1.41
TOTAL EXPENSES 167.64 120.10 14.33 12.48 181.97 132.58
INCREASE (DECREASE) IN NET POSITION (12.17) 11.49 (0.27) 1.95 (12.44) 13.44
BEGINNING NET POSITION 745.31 733.80 79.78 77.83 825.09 811.63
RESTATEMENT OF NET POSITION - 0.02 - - - 0.02
ENDING NET POSITION 733.14$ 745.31$ 79.51$ 79.78$ 812.65$ 825.09$
Activities Activities Total
TABLE 2
CHANGES IN NET POSITION
(IN MILLIONS)
As of June 30, 2024 and 2023
Governmental Business-Type
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Governmental Activities
Total revenue increased by $23.88 million from $131.59 million to $155.47 million. Factors that contributed to the
changes in revenues are as follows:
• Transient occupancy tax decreased from $23.96 million in 2023 to $23.02 million in 2024, a slight decrease of
$0.94 million.
• The City’s sales tax decreased by $0.98 million from $26.37 million in 2023 to $25.39 million in 2024. Despite
the year-over-year decrease, sales tax receipts still exceeded budget expectations by about $0.39 million for
2024.
• In 2024, the City’s investment earnings were $13.93 million more than the prior year, an increase from
$5.17 million in 2023 to $19.10 million in 2024, which was strongly correlated to the high interest rate
environment. The City continued to utilize multiple investment vehicles throughout the year, taking advantage
of high interest rates available in short-term investment pools such as the Local Agency Investment Fund (LAIF),
and the California Asset Management Program (CAMP), along with the reinvestment of maturing investments
into long-term investment products.
• Charges for services saw a slight increase from $38.83 million in 2023 to $39.35 million in 2024.
• Operating contributions and grants recognized a decrease of $3.14 million. Capital contributions and grants
increased by $12.64 million, from $4.67 million in 2023 to $17.31 million in 2024.
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Total governmental expenses increased from $120.10 million in 2023 to $167.64 million in 2024, an increase of
$47.54 million. Factors that contributed to the changes in expenditures are as follows:
• Expenditures in housing and redevelopment increased from $13.25 million in 2023 to $27.87 million in 2024,
an increase of $14.62 million.
• Public safety expenditures increased by $2.88 million, from $40.76 million in 2023 to $43.64 million in 2024,
mainly related to increases in fire protection costs related to the adoption of new memorandums of
understanding for fire protection staff.
• Parks, recreation, and culture saw increases in expenditures of $1.21 million, from $19.11 million in 2023 to
$20.32 million in 2024.
The following schedule represents the net cost of providing services:
Business-type Activities
In the business-type activities, total revenues decreased by 2.5 percent from $14.43 million to $14.06 million, a
$0.37 million decrease.
The Parkview Office Complex revenues decreased slightly from $1.47 million in 2023 to $1.21 million in 2024 due
to increased vacancy.
Operating expenses for business-type activities increased by $1.85 million from $12.48 million to $14.33 million.
The majority of the increase is related to the growth in operations at Desert Golf resort which recognized a
$1.80 million increase in overall expenditures.
2024 2023
General Government (40.64)$ (21.01)$
Housing and Redevelopment (8.65) (1.76)
Public Safety (21.52) (19.18)
Parks, Recreation and Culture (14.70) (14.39)
Public Works (18.82) (7.07)
Library 3.39 -
Interest on Long-Term Debt (0.15) (0.15)
Total (101.09)$ (63.56)$
Governmental Activities
Net (Expense) Revenue
(In Millions)
0%3%
23%
11%
30%
33%
2023 Governmental
Activities Net (Expense)
Revenue
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THE CITY’S FUNDS
On page 20, the governmental funds balance sheet is shown. The combined fund balance of $346.30 million
increased $4.71 million from $341.59 million. This total includes the General Fund balance of $126.35 million, which
increased by $5.44 million from the prior year. The City’s General Fund balance has a non-spendable balance of
$2.89 million, committed balance of $52.31 million, assigned balance of $18.70 million, and $52.46 million of
unassigned fund balance. The increase in the General Fund’s balance was due to increases in taxes collected,
intergovernmental revenues and investment earnings. Other major fund balance changes are noted below:
• The Prop A Fire Tax Special Revenue Fund: The fund balance increased by $6.62 million due to staffing
vacancies that were not fully filled during the period as well as labor cost savings from more efficient staffing
levels and coverage.
• The Housing Asset Fund: The fund had an increase of $1.93 million, mainly due to significant increases in
investment earnings during the fiscal year.
• The Housing Authority Fund: The fund balance had a slight decrease of $2.20 million.
• Capital Project Fund: The fund balance decreased $4.00 million from $51.21 million to $47.23 million mainly
due to increased expenditures and capital outlay in 2024.
• The remaining increase of $3.14 million is spread across multiple non-major funds.
More detailed information about the combined fund balance reserves is presented in Note 16 to the financial
statements.
General Fund Budgetary Highlights
Based upon recommendations from the staff, the City Council revised the budget several times during the year.
Adjustments were made on a monthly basis as City staff requested additional appropriations to cover the cost of
projects that either had change orders for additional work, or were underestimated. At mid-year, some adjustments
were also requested to better meet departmental demands and adjust for any revenue fluctuations. At year-end,
budgets were adjusted for unanticipated approved expenditures. All amendments that either increase or decrease
appropriations are approved by the City Council.
For the City’s General Fund, the actual ending revenues of $84.45 million were $4.87 million more than the final
budgeted revenues of $79.58 million. Sales and transient occupancy taxes continue to be the top two revenue
generators for the City, totaling $48.41 million or 57.31 percent of the total General Fund actual revenues. The
original budget was $75.35 million compared to the final budget of $89.71 million, an increase of $14.36 million.
The City increase in the final budget was related to better-than-expected increases in both building interest earnings
and sales tax revenues.
The General Fund actual ending expenditures of $79.01 million were $10.70 million less than the final budgeted
expenses of $89.71 million. There were changes in the original budget compared to the final budget during the year.
The original expenditure budget was $75.35 million compared to the final budget of $89.71 million, a $14.36 million
increase. During the year, the following represent the major changes between the original budget and the final
budget: the City Manager, General Services, and Information Technology, budgets were increased to accommodate
new staff and expanded city services.
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CAPITAL ASSETS AND DEBT ADMINISTRATION
Capital Assets
At the end of 2024, the City had $481.32 million invested in a broad range of capital assets including land, streets,
bridges, drainage systems, traffic lights, parks, buildings, artwork, vehicles, golf courses and equipment (See Table
3). This amount represents a net decrease (including additions and deductions) of $10.50 million over the prior
year, due mainly to depreciation.
2024 2023 2024 2023 2024 2023
Land 82.70$ 82.29$ 53.31$ 53.31$ 136.01$ 135.60$
Construction-in-progress 11.22 10.12 - - 11.22 10.12
Buildings and improvements 77.10 82.59 - - 77.10 82.59
other than buildings - - 11.71 12.51 11.71 12.51
Machinery and equipment 3.11 3.53 3.69 3.74 6.79 7.27
Infrastructure & right-of-way 236.06 241.19 - - 236.06 241.19
Lease assets 1.90 2.13 - - 1.90 2.13
Subscription assets 0.53 0.41 - - 0.53 0.41
TOTALS 412.61$ 422.26$ 68.71$ 69.56$ 481.32$ 491.82$
Activities Activities Total
TABLE 3
CAPITAL ASSETS AT YEAR-END
(NET OF DEPRECIATION, IN MILLIONS)
For the years ended June 30, 2024 and 2023
Governmental Business-Type
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This year’s major additions included (in millions):
The City’s fiscal year 2025 adopted capital budget calls for an additional $72.43 million to be spent, plus continuing
capital projects of $37.91 million from prior year, with the majority being spent on streets, infrastructure, buildings,
parks, and golf course improvements. Projects will be funded with existing bond proceeds or funds that have been
designated by an outside party for specific use. The City has adopted a bold capital improvement program to make
significant capital improvements throughout the jurisdiction, and to catch up on projects that may have been
deferred in the past. More detailed information about the City’s capital assets is presented in Note 1h and Note 5
to the financial statements.
Debt
At year-end, the City’s governmental activities had $55.56 million in bonds, claims, compensated absences, and
pension liability versus $46.57 million last year, an increase of $8.98 million as shown in Table 4. The major increase
was the City’s Net Pension liability which went from $38.68 million in 2023 to $44.00 million in 2024, an increase of
$5.32 million, related to a change in the discount rate.
The City was able to meet its current year debt obligations in a timely manner. Bonds that were issued in prior years
have been used to finance various capital projects.
Buildings -$
Improvements Other Than Buildings -
Equipment Purchases 0.03
Infrastructure -
Land/Right of Way 0.53
Subscription Assets 0.47
1.03$
2024 2023 2024 2023 2024 2023
Compensated absences 2.67$ 2.60$ -$ -$ 2.67$ 2.60$
Lease liability 1.98 2.20 - - 1.98 2.20
Financed purchase - - 0.23 0.32 0.23 0.32
SBITA liability 0.28 0.40 - - 0.28 0.40
Claims and judgments payable 3.68 0.68 - - 3.68 0.68
Special assesments debt with
government commitment 0.98 1.03 - - 0.98 1.03
Limited obligation improvement
bonds 0.09 0.13 - - 0.09 0.13
OPEB liability (net)1.88 0.86 - - 1.88 0.86
Pension liability (net)44.00 38.68 - - 44.00 38.68
TOTALS 55.56$ 46.57$ 0.23$ 0.32$ 55.79$ 46.89$
Activities Activities Total
TABLE 4
OUTSTANDING DEBT AT YEAR-END
(IN MILLIONS)
For the years ended June 30, 2024 and 2023
Governmental Business-Type
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The City’s business-type activities debt decreased $0.09 million from $0.32 million to $0.23 million. Debt in the
business-type activities is for amounts due back to the City for the financing of capital equipment. The City’s golf
course used a city-funded financing option as an alternative to purchasing golf carts and maintenance equipment
from cash flows derived through day-to-day operations. The City’s business-type activities were able to meet their
current year debt obligation in a timely manner. More detailed information about the City’s long-term liabilities is
presented in Note 6 through Note 10 to the financial statements.
ECONOMIC FACTORS AND NEXT YEAR’S BUDGETS
In preparing the budget for fiscal year 2025, management and the City Council considered many ongoing economic
impacts such as inflation, supply chain constraints, and labor issues associated with contracts. Keeping the
well-being and safety of residents, visitors, and businesses as the highest priority, the City Council has maintained
funding to sustain current service levels and supported efforts to ensure that much of the deferred maintenance
owing to the pandemic is now being addressed. In addition, the City Council established strategic goals and
objectives before the creation of the annual budget, which were given the highest priority during the budget
development process. The City Council’s strategic goals and objectives include both capital and monetary
investments to support the City’s economic stability.
Most notably, the fiscal year 2025 budget includes a robust Capital Improvement Plan. Additionally, for fiscal year
2025, the City has transitioned the local library from a county-run facility to a municipal library with support from a
new Library Services department. These considerations, among others, have been factored into the fiscal year 2025
budget to date.
The City’s 2024-2025 Financial Plan can be found on the City’s website at www.cityofpalmdesert.org.
CONTACTING THE CITY’S FINANCIAL MANAGEMENT
This financial report is designed to provide our residents, taxpayers, customers, investors, and creditors with a
general overview of the City’s finances and serves as a resource to demonstrate the stewardship and accountability
for the public monies it receives.
If you have questions about this report or need additional financial information, please contact the
Finance Department at (760) 346-0611 or info@cityofpalmdesert.org.
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CITY OF PALM DESERT, CALIFORNIA
Statement of Net Position
Component
Unit
Palm Desert
Recreational
Governmental
Activities
Business-Type
Activities Total
Facilities
Corporation
ASSETS
Current assets:
Cash and investments 292,283,474$ 14,604,475$ 306,887,949$ 907,655$
Receivables:
Accounts 3,940,471 287,169 4,227,640 4,000
Assessments 1,017,154 - 1,017,154 -
Notes 980,000 - 980,000 -
Accrued interest 968,456 - 968,456 -
Loans 19,404,764 - 19,404,764 -
Leases 182,375 919,097 1,101,472 -
Internal balances 2,899,202 (2,899,202) - -
Due from other governments 9,400,256 - 9,400,256 1,305,037
Deposits 20,000 - 20,000 -
Prepaid costs 631,220 59,913 691,133 11,452
Inventories 13,710 301,682 315,392 43,797
Land held for resale 61,516 - 61,516 -
Restricted assets:
Cash with fiscal agent 70,124,025 - 70,124,025 -
Noncurrent assets:
Due from component unit 420,000 1,437,644 1,857,644 -
Leases receivable 2,836,447 3,750,307 6,586,754 -
Capital assets (not being depreciated)215,176,109 53,304,965 268,481,074 -
Capital assets (net of accumulated depreciation/amortization)197,432,486 15,397,456 212,829,942 2,422,902
Total Assets 817,791,665 87,163,506 904,955,171 4,694,843
DEFERRED OUTFLOWS OF RESOURCES
Pension-related 14,397,120 - 14,397,120 -
OPEB-related 5,013,842 - 5,013,842 -
Total Deferred Outflows of Resources 19,410,962 - 19,410,962 -
LIABILITIES
Accounts payable 24,426,757 957,306 25,384,063 49,758
Accrued liabilities 683,183 266,561 949,744 114,787
Accrued interest 56,038 - 56,038 3,518
Unearned revenue 15,589,126 290,871 15,879,997 193,389
Deposits payable 3,923,141 26,590 3,949,731 -
Noncurrent liabilities:
Due to component unit - 1,305,037 1,305,037 -
Financed purchases - 88,397 88,397 -
Due within one year: bonds, notes, leases, SBITA, claims,
and compensated absences 2,151,463 - 2,151,463 54,211
Due in more than one year:
Due to primary government - - - 1,857,644
Net pension liability 43,997,360 - 43,997,360 -
Net OPEB liability 1,881,920 - 1,881,920 -
Financed purchases - 144,555 144,555 -
Bonds, notes, leases, SBITA, claims, and
compensated absences 7,521,899 - 7,521,899 2,421,536
Total Liabilities 100,230,887 3,079,317 103,310,204 4,694,843
DEFERRED INFLOWS OF RESOURCES
Pension-related 664,691 - 664,691 -
OPEB-related 189,386 - 189,386 -
Lease-related 2,971,474 4,578,821 7,550,295 -
Total Deferred Inflows of Resources 3,825,551 4,578,821 8,404,372 -
NET POSITION
Net investment in capital assets 401,724,234 68,469,469 470,193,703 -
Restricted:
Capital projects 47,432,023 - 47,432,023 -
Special projects 128,234,012 - 128,234,012 -
Unrestricted 155,755,920 11,035,899 166,791,819 -
Total Net Position 733,146,189$ 79,505,368$ 812,651,557$ -$
June 30, 2024
Primary Government
See accompaning notes to financial statements.17
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CITY OF PALM DESERT, CALIFORNIA
Statement of Activities
For the Year Ended June 30, 2024
Operating Capital
Charges for Contributions Contributions
Expenses Services and Grants and Grants
Functions/Programs:
Primary government:
Governmental activities:
General government 46,406,293$ 2,889,464$ 1,084,357$ 1,789,418$
Public safety 43,639,884 20,828,172 1,129,323 166,938
Housing and redevelopment 27,871,773 9,193,031 - 10,031,800
Parks, recreation and culture 20,317,786 3,578,805 1,212,443 831,005
Public works 28,646,485 2,860,351 6,476,073 491,645
Library 606,561 - - 4,000,000
Interest on long-term debt 153,203 - - -
Total Governmental Activities 167,641,985 39,349,823 9,902,196 17,310,806
Business-type activities:
Desert Willow Golf Course 12,973,341 12,200,236 - 189,931
Parkview Office Complex 1,362,313 1,220,790 - -
Total Business-Type Activities 14,335,654 13,421,026 - 189,931
Total Primary Government 181,977,639$ 52,770,849$ 9,902,196$ 17,500,737$
Component Units:
Palm Desert Recreational Facilities Corp. 4,812,702$ 4,570,976$ 1,305,037$ -$
General Revenues and Transfers:
General revenues:
Property taxes
Sales taxes
Transient occupancy taxes
Franchise taxes
Other taxes
Use of money and property
Other
Transfers
Total General Revenues and Transfers
Change in Net Position
Net Position-Beginning
Net Position-Ending
Program Revenues
See accompaning notes to financial statements.18
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Palm Desert
Recreational
Facilities
Corporation
Unit
Governmental Business-Type
Activities Activities Total
(40,643,054)$ -$ (40,643,054)$ -$
(21,515,451) - (21,515,451) -
(8,646,942) - (8,646,942) -
(14,695,533) - (14,695,533) -
(18,818,416) - (18,818,416) -
3,393,439 - 3,393,439 -
(153,203) - (153,203) -
(101,079,160) - (101,079,160) -
- (583,174) (583,174) -
- (141,523) (141,523) -
- (724,697) (724,697) -
(101,079,160) (724,697) (101,803,857) -
- - - 1,063,311
15,326,607 - 15,326,607 -
25,391,092 - 25,391,092 -
23,019,911 - 23,019,911 -
3,727,659 - 3,727,659 -
56,029 - 56,029 -
19,097,000 743,269 19,840,269 -
1,995,008 - 1,995,008 -
294,105 (294,105) - -
88,907,411 449,164 89,356,575 -
(12,171,749) (275,533) (12,447,282) 1,063,311
745,317,938 79,780,901 825,098,839 (1,063,311)
733,146,189$ 79,505,368$ 812,651,557$ -$
Primary Government
Net (Expenses) Revenues and
Changes in Net Position
See accompaning notes to financial statements.19
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CITY OF PALM DESERT, CALIFORNIA
Balance Sheet
Governmental Funds
June 30, 2024
General
ASSETS
Cash and investments 123,775,600$ 22,516,225$ 33,285,834$ 19,013,312$
Receivables:
Accounts 2,116,538 760,791 198,926 387,939
Assessments - - - -
Notes 980,000 - - -
Interest 614,525 - 311,935 -
Loans 14,978 - 18,413,813 -
Leases Receivable 3,018,822 - - -
Prepaid Cost 583,470 - 660 -
Deposits - - - -
Due from other governments 6,001,905 1,753,914 - -
Due from other funds 3,898,553 - - -
Advances to other funds 1,310,000 - - -
Inventories - - - -
Property held for resale - - 61,516 -
Due from component unit 420,000 - - -
Restricted assets:
Cash and investments with fiscal agent - - - 1,964,076
Total Assets 142,734,391$ 25,030,930$ 52,272,684$ 21,365,327$
LIABILITIES
Accounts payable 8,346,583$ 2,677,203$ 19,035$ 1,448,867$
Accrued liabilities 532,171 - - 84,825
Unearned revenues - - - 25,594
Deposits payable 3,306,556 - - 612,805
Due to other funds - - - 2,095,518
Advances from other funds - - - -
Total Liabilities 12,185,310 2,677,203 19,035 4,267,609
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue 1,223,954 - 311,935 -
Leases 2,971,474 - - -
Total Deferred Inflows of Resources 4,195,428 - 311,935 -
FUND BALANCES (DEFICITS)
Nonspendable 2,888,448 - 660 -
Restricted - 22,353,727 51,941,054 5,222,230
Committed 52,308,943 - - 11,875,488
Assigned 18,698,560 - - -
Unassigned 52,457,702 - - -
Total Fund Balances 126,353,653 22,353,727 51,941,714 17,097,718
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances 142,734,391$ 25,030,930$ 52,272,684$ 21,365,327$
Special Revenue Funds
Prop A Fire
Tax
Housing Asset
Fund
Housing
Authority
See accompanying notes to financial statements.20
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CITY OF PALM DESERT, CALIFORNIA
Balance Sheet
Governmental Funds
June 30, 2024
ASSETS
Cash and investments
Receivables:
Accounts
Assessments
Notes
Interest
Loans
Leases Receivable
Prepaid Cost
Deposits
Due from other governments
Due from other funds
Advances to other funds
Inventories
Property held for resale
Due from component unit
Restricted assets:
Cash and investments with fiscal agent
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenues
Deposits payable
Due to other funds
Advances from other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue
Leases
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances
Capital
Projects Funds
Total Total
Nonmajor Governmental
Funds Funds
1,776$ 85,245,171$ 283,837,918$
- 476,277 3,940,471
- 1,017,154 1,017,154
- - 980,000
- 41,996 968,456
- 975,973 19,404,764
- - 3,018,822
- 47,090 631,220
- 20,000 20,000
- 1,644,437 9,400,256
- - 3,898,553
- 2,399,202 3,709,202
- 13,710 13,710
- - 61,516
- - 420,000
65,488,271 2,671,678 70,124,025
65,490,047$ 94,552,688$ 401,446,067$
1,781,374$ 10,130,544$ 24,403,606$
- 66,187 683,183
14,901,154 662,378 15,589,126
- 3,780 3,923,141
1,574,342 228,693 3,898,553
- 810,000 810,000
18,256,870 11,901,582 49,307,609
- 1,335,410 2,871,299
- - 2,971,474
- 1,335,410 5,842,773
- 80,800 2,969,908
47,233,177 48,915,847 175,666,035
- 8,398,771 72,583,202
- 24,365,783 43,064,343
- (445,505) 52,012,197
47,233,177 81,315,696 346,295,685
65,490,047$ 94,552,688$ 401,446,067$
Restricted
Capital Project
Fund
See accompanying notes to financial statements.21
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7KLVSDJHLQWHQWLRQDOO\OHIWEODQN
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Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Position
June 30, 2024
Amounts reported for governmental activities in the Statement of Net Position are different because:
Total fund balances - governmental funds 346,295,685$
409,727,420
Deferred outflows-pension related 14,397,120$
Deferred outflows-OPEB related 5,013,842
Deferred inflows-pension related (664,691)
Deferred inflows-OPEB related (189,386)
Total deferred outflows and inflows related to postemployment benefits 18,556,885
Long-term receivables 2,871,299
Total other long-term assets 2,871,299
8,630,893
Bonds payable (1,068,000)
Claims and judgments (3,675,340)
Leases and SBITA (2,257,335)
Accrued interest payable on long-term debt (56,038)
Net pension liability (43,997,360)
Net OPEB liability (1,881,920)
Total long-term liabilities (52,935,993)
Net Position of Governmental Activities 733,146,189$
Long-term liabilities that are not due and payable in the current period, and therefore,
are not reported in the funds.
CITY OF PALM DESERT, CALIFORNIA
Capital assets, net of accumulated depreciation/amortization, used in governmental
activities are not financial resources and, therefore, are not reported in the funds.
Differences between expected and actual experiences, assumption changes and net
differences between projected and actual earnings, and contributions subsequent to
the measurement date for the postretirement benefits (pension and OPEB) are
recognized as deferred outflows of resources and deferred inflows of resources on the
Statement of Net Position.
Other long-term assets that are not available to pay for current period expenditures
and, therefore, are either labeled unavailable or not reported in the funds.
Internal service funds provide services to other funds on a cost-reimbursement basis.
The assets, deferred outflows of resources, liabilities, and deferred inflows of
resources of the internal service funds are included in governmental activities in the
Statement of Activities.
See accompaning notes to financial statements.23
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CITY OF PALM DESERT, CALIFORNIA
Statement of Revenues, Expenditures,
and Changes in Fund Balances
Governmental Funds
For the Year Ended June 30, 2024
General
REVENUES
Taxes 70,410,983$ 11,402,490$ -$ -$
Special Assessments collected - 2,154,150 - -
Licenses and permits 1,596,381 - - -
Intergovernmental revenues 1,682,441 1,437,276 - -
Rental Income 136,047 - - 9,158,677
Charges for services 1,874,444 4,158,057 198,926 -
Investment earnings 7,031,574 869,365 1,956,111 989,378
Fines and forfeitures 104,423 - - -
Capital contributions - - - -
Miscellaneous 622,101 - 34,354 -
Total Revenues 83,458,394 20,021,338 2,189,391 10,148,055
EXPENDITURES
Current:
General government 31,942,721 - - -
Public safety 24,181,750 17,377,791 - -
Parks, recreation and culture 5,711,369 - - -
Public works 6,023,503 - - -
Housing - - 157,355 11,854,770
Library - - - -
Capital outlay 720,738 628,451 105,203 -
Debt service:- - - -
Principal Retirement 492,854 - - -
Interest Expense and Fiscal Charges 43,191 - - -
Total Expenditures 69,116,126 18,006,242 262,558 11,854,770
Excess (Deficiency) of Revenues
Over (Under) Expenditures 14,342,268 2,015,096 1,926,833 (1,706,715)
OTHER FINANCING SOURCES (USES)
Transfers In 396,806 4,600,000 - -
Transfers Out (9,480,177) - - (452,997)
Proceeds for Sale of Capital Assets 594,610 - - -
Contribution to other government (890,129) - - -
Proceeds from subscriptions 473,763 - - -
Total Other Financing Sources (Uses) (8,905,127) 4,600,000 - (452,997)
Net Change in Fund Balances 5,437,141 6,615,096 1,926,833 (2,159,712)
Fund Balances-Beginning 120,916,512 15,738,631 50,014,881 19,257,430
Fund Balances-Ending 126,353,653$ 22,353,727$ 51,941,714$ 17,097,718$
Prop A Fire
Tax
Housing Asset
Fund
Housing
Authority
Special Revenue Funds
See accompanying notes to financial statements.24
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CITY OF PALM DESERT, CALIFORNIA
Statement of Revenues, Expenditures,
and Changes in Fund Balances
Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special Assessments collected
Licenses and permits
Intergovernmental revenues
Rental Income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total Revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal Retirement
Interest Expense and Fiscal Charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Proceeds for Sale of Capital Assets
Contribution to other government
Proceeds from subscriptions
Total Other Financing Sources (Uses)
Net Change in Fund Balances
Fund Balances-Beginning
Fund Balances-Ending
Total Total
Nonmajor Governmental
Funds Funds
-$ 5,525,864$ 87,339,337$
- 1,543,516 3,697,666
- 394,251 1,990,632
- 8,251,411 11,371,128
- 168,582 9,463,306
- 4,053,210 10,284,637
3,178,677 4,482,976 18,508,081
- 1,729 106,152
- 10,000,000 10,000,000
- 1,299,493 1,955,948
3,178,677 35,721,032 154,716,887
1,540 2,739,106 34,683,367
1,653,302 237,127 43,449,970
- 13,201,203 18,912,572
176,739 7,902,414 14,102,656
- 1,078,569 13,090,694
- 606,561 606,561
3,524,809 19,530,903 24,510,104
-
- 90,000 582,854
- 110,012 153,203
5,356,390 45,495,895 150,091,981
(2,177,713) (9,774,863) 4,624,906
- 10,060,774 15,057,580
(1,800,000) (3,422,488) (15,155,662)
- - 594,610
- - (890,129)
- - 473,763
(1,800,000) 6,638,286 80,162
(3,977,713) (3,136,577) 4,705,068
51,210,890 84,452,273 341,590,617
47,233,177$ 81,315,696$ 346,295,685$
Capital
Projects Funds
Restricted
Capital Project
Fund
See accompanying notes to financial statements.25
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Reconciliation of the Statement of Revenues, Expenses and Changes in
Fund Balances of Governmental Funds to the Statement of Activities
For the Year Ended June 30, 2024
Amounts reported for governmental activities in the Statement of Activities are different because:
Net change in fund balances - total governmental funds:4,705,068$
Capital outlay 2,197,596$
Loss on disposal and transfer of capital assets (820,345)
Depreciation/amortization expense (11,297,964)
Total adjustment (9,920,713)
Earned but unavailable grant revenues (16,125)
Total adjustment (16,125)
Net change in claims and judgments for the current period (2,995,459)
Subscriptions and lease payments 339,374
Principal payments 90,000
Total adjustment (2,566,085)
(532,277)
Changes in pension liabilities and related deferred outflows and inflows of resources (3,212,665)
Changes in OPEB liabilities and related deferred outflows and inflows of resources (628,952)
Total adjustment (3,841,617)
Change in Net Position of Governmental Activities (12,171,749)$
Internal service funds provide services to other funds on a cost-reimbursement basis.
The net revenue of certain activities of internal service funds is reportedwith
governmental activities.
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 funds.
CITY OF PALM DESERT, CALIFORNIA
Governmental funds report capital outlays are expenditures. However, in the Statement
of Activities, the cost of these assets is allocated over their estimated useful lives and
reported as depreciation/amortization expense. This is the amount by which capital
outlays exceeded depreciation/amortization expense in the current period.
Revenues in the Statement of Activities that do not provide current financial resources
are not reported as revenues in the funds.
Bond and other debt proceeds provide current financial resources to governmental
funds, but issuing debt increases long-term liabilities in the Statement of Net Position.
Repayment of bond and other debt principal is an expenditure in the governmental
funds, but repayment reduces long-term liabilities in the Statement of Net Position.
Also, governmental funds report the effect of premiums, discounts, and similar items
when debt is first issued, whereas these amounts are deferred and amortizedinthe
Statement of Activities.
See accompaning notes to financial statements.27
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CITY OF PALM DESERT, CALIFORNIA
Statement of Net Position
Proprietary Funds
June 30, 2024
Governmental
Activities
Total
Enterprise Internal
Funds Service Funds
ASSETS
Current assets:
Cash and investments 8,498,003$ 6,106,472$ 14,604,475$ 8,445,556$
Receivables:
Accounts 59,756 227,413 287,169 -
Leases 919,097 - 919,097 -
Prepaid costs - 59,913 59,913 -
Inventories - 301,682 301,682 -
Due from component unit - 1,437,644 1,437,644 -
Total current assets 9,476,856 8,133,124 17,609,980 8,445,556
Noncurrent:
Leases Receivable, Noncurrent 3,750,307 - 3,750,307 -
Nondepreciable capital assets - 53,304,965 53,304,965 11,821
Depreciable capital assets, net 4,976,565 10,420,891 15,397,456 2,869,354
Total noncurrent assets 8,726,872 63,725,856 72,452,728 2,881,175
Total Assets 18,203,728 71,858,980 90,062,708 11,326,731
LIABILITIES
Current liabilities:
Accounts payable 147,981 809,325 957,306 23,151
Accrued liabilities - 266,561 266,561 -
Unearned revenues 29,314 261,557 290,871 -
Deposits Received 26,590 - 26,590 -
Due to component unit - 1,305,037 1,305,037 -
Financed purchases - 88,397 88,397 -
Compensated absences - - - 500,000
Total current liabilities 203,885 2,730,877 2,934,762 523,151
Noncurrent liabilities:
Financed purchases - 144,555 144,555 -
Advances from other funds - 2,899,202 2,899,202 -
Compensated absences - - - 2,172,687
Total noncurrent liabilities - 3,043,757 3,043,757 2,172,687
Total Liabilities 203,885 5,774,634 5,978,519 2,695,838
DEFERRED INFLOWS OF RESOURCES
Leases 4,578,821 - 4,578,821 -
Total Deferred Inflows of Resources 4,578,821 - 4,578,821 -
NET POSITION
Net Investment in Capital Assets 4,976,565 63,492,904 68,469,469 2,881,175
Net Position, Unrestricted 8,444,457 2,591,442 11,035,899 5,749,718
Total Net Position 13,421,022$ 66,084,346$ 79,505,368$ 8,630,893$
Business-Type Activities
Parkview
Office
Desert Willow
Golf
See accompanying notes to financial statements.28
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CITY OF PALM DESERT, CALIFORNIA
Statement of Revenues, Expenses and Changes in Net Position
Proprietary Funds
For the Year Ended June 30, 2024
Governmental
Activities
Total
Enterprise Internal
Funds Service Funds
OPERATING REVENUES
Fees and rentals 1,206,190$ 10,277,282$ 11,483,472$ -$
Miscellaneous 14,600 269,876 284,476 -
Merchandise sales - 1,653,078 1,653,078 -
Total Operating Revenues 1,220,790 12,200,236 13,421,026 -
OPERATING EXPENSES
General and administrative 93,030 3,185,818 3,278,848 283,100
Cost of merchandise - 688,371 688,371 -
Maintenance and operations 950,638 6,056,077 7,006,715 317,148
Depreciation 318,645 1,620,450 1,939,095 736,211
Total Operating Expenses 1,362,313 11,550,716 12,913,029 1,336,459
Operating Income (Loss)(141,523) 649,520 507,997 (1,336,459)
NONOPERATING REVENUES (EXPENSES)
Interest Income 535,071 208,198 743,269 475,369
Interest Expense and Fiscal Charges - (117,588) (117,588) -
Contribution to component unit - (1,305,037) (1,305,037) -
Gains (Losses) on Sale of Capital Asset - - - (63,374)
Total Nonoperating Revenues (Expenses)535,071 (1,214,427) (679,356) 411,995
Income (Loss) Before Capital Contributions and Transfers 393,548 (564,907) (171,359) (924,464)
Capital contributions - 189,931 189,931 -
Transfers in - - - 392,187
Transfers out (294,105) - (294,105) -
Change in Net Position 99,443 (374,976) (275,533) (532,277)
Net position-beginning 13,321,579 66,459,322 79,780,901 9,163,170
Net Position-Ending 13,421,022$ 66,084,346$ 79,505,368$ 8,630,893$
Business-Type Activities
Parkview
Office
Desert Willow
Golf
See accompanying notes to financial statements.29
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CITY OF PALM DESERT, CALIFORNIA
Statement of Cash Flows
Proprietary Funds
For the Year Ended June 30, 2024
Governmental
Activities
Internal
Totals Service Funds
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers 1,265,835$ 12,177,480$ 13,443,315$ -$
Payments to suppliers and service providers (1,251,108) (9,760,070) (11,011,178) (503,442)
Net Cash Provided By (Used For)
Operating Activities 14,727 2,417,410 2,432,137 (503,442)
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers from other funds - - - 392,187
Transfers to other funds (294,105) - (294,105) -
Payments to other funds on interfund borrowings - (1,280,686) (1,280,686) -
Net Cash Provided By (Used For)
Noncapital Financing Activities (294,105) (1,280,686) (1,574,791) 392,187
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Capital contributions - 189,931 189,931 -
Acquisition and construction of capital assets - (1,082,784) (1,082,784) (1,071,302)
Principal paid on capital debt - (86,217) (86,217) -
Interest paid on capital debt - (117,588) (117,588) -
Net Cash Provided By (Used For)
Capital and Related Financing Activities - (1,096,658) (1,096,658) (1,071,302)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest on investments 535,071 208,198 743,269 475,369
Net Cash Provided By (Used For)
Investing Activities 535,071 208,198 743,269 475,369
Net increase (decrease) in
Cash and Cash Equivalents 255,693 248,264 503,957 (707,188)
Cash and Cash Equivalents-Beginning 8,242,310 5,858,208 14,100,518 9,152,744
Cash and Cash Equivalents-Ending 8,498,003$ 6,106,472$ 14,604,475$ 8,445,556$
Business-Type Activities
Parkview
Office
Desert Willow
Golf
See accompanying notes to financial statements.30
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CITY OF PALM DESERT, CALIFORNIA
Statement of Cash Flows
Proprietary Funds
For the Year Ended June 30, 2024
Governmental
Activities
Internal
Totals Service Funds
Business-Type Activities
Parkview
Office
Desert Willow
Golf
RECONCILIATION OF OPERATING INCOME (LOSS)
TO NET CASH PROVIDED BY (USED FOR)
OPERATING ACTIVITIES
Operating income (loss)(141,523)$ 649,520$ 507,997$ (1,336,459)$
Adjustments to reconcile operating income (loss) to
net cash provided by (used for) operating activities:
Depreciation/amortization expense 318,645 1,620,450 1,939,095 736,211
(Increase) decrease in accounts receivable 15,754 (120,711) (104,957) -
(Increase) decrease in notes and loans receivable - 140,920 140,920 -
(Increase) decrease in leases receivable 29,291 - 29,291 -
(Increase) decrease in inventories - 12,250 12,250 -
(Increase) decrease in prepaid items - (34,434) (34,434) 1,996
Increase (decrease) in accounts payable (207,440) 158,485 (48,955) 23,151
Increase (decrease) in accrued liabilities - 33,895 33,895 -
Increase (decrease) in deposits payable - (42,965) (42,965) -
Increase (decrease) in compensated absences - - - 71,659
Total adjustments 156,250 1,767,890 1,924,140 833,017
Net Cash Provided By (Used For)
Operating Activities 14,727$ 2,417,410$ 2,432,137$ (503,442)$
SCHEDULE OF NON-CASH NONCAPITAL, CAPITAL,
AND INVESTING ACTIVITIES
Contribution to component unit not paid as of June 30, 2024 -$ 1,305,037$ 1,305,037$ -$
See accompanying notes to financial statements.31
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Private
Purpose Custodial
Trust Funds Funds
ASSETS
Pooled cash and investments 10,366,701$ 9,277,930$
Receivables:
Assessments - 45,569,000
Due from other governments 22,000 35,012
Prepaid costs 1,123,299 -
Restricted assets:
Cash and investments with fiscal agents 19,880,789 4,244,913
Capital assets, not being depreciated 15,939,958 -
Total Assets 47,332,747 59,126,855
LIABILITIES
Accounts payable 782,756 9,576
Accrued interest 1,585,079 164,092
Deposits payable 20,000 45,569,000
Due to external parties/other agencies - 10,223,452
Long-term liabilities:
Long-term debt due in one year 13,600,000 -
Long-term debt due in more than one year 128,821,623 -
Total Liabilities 144,809,458 55,966,120
DEFERRED INFLOWS OF RESOURCES
Deferred charge on debt issuance 232,718 66,892
Total Deferred Inflows of Resources 232,718 66,892
NET POSITION
Restricted for other purposes - 3,093,843
Restricted for dissolution of former RDA (97,709,429) -
Total Net Position (97,709,429)$ 3,093,843$
CITY OF PALM DESERT, CALIFORNIA
Statement of Fiduciary Net Position
Fiduciary Funds
June 30, 2024
See accompanying notes to financial statements.32
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Private
Purpose Custodial
Trust Funds Funds
ADDITIONS
Investment income 33,447$ 330,371$
Gain on sale of capital assets 3,313,560 -
Total investment earnings 3,347,007 330,371
Taxes 19,752,951 -
Intergovernmental - 6,078,090
Contributions from City - 890,129
Total Additions 23,099,958 7,298,590
DEDUCTIONS
Administrative expenses - 515,190
Contractual services 963,295 3,600,971
Interest expense 5,622,769 1,569,645
Principal expense - 1,475,000
Contributions to other governments 4,600,000 -
Total Deductions 11,186,064 7,160,806
Net Increase (Decrease) in Fiduciary Net Position 11,913,894 137,784
Net Position-Beginning (109,623,323) 2,956,059
Net Position-Ending (97,709,429)$ 3,093,843$
CITY OF PALM DESERT, CALIFORNIA
Statement of Changes in Fiduciary Net Position
Fiduciary Funds
For the Year Ended June 30, 2024
See accompanying notes to financial statements.33
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Description Of The Reporting Entity
The City of Palm Desert was originally incorporated on November 26, 1973, as a General Law City. In
December 1997, Measure LL was enacted following a vote by Palm Desert residents, which adopted a City Charter.
The City operates under a Council-Manager form of government and provides the following services: public safety
(police and fire), highways and streets, public improvements, community development (planning, building and
zoning) and general administrative services.
The City has defined its reporting entity in accordance with accounting principles generally accepted in the
United States of America which provides guidance for determining which governmental activities, organizations and
functions should be included in the reporting entity. The Basic Financial Statements present information on the
activities of the reporting entity, which include the City of Palm Desert (the primary government) and its component
units, entities for which the government is considered financially accountable.
Accounting principles generally accepted in the United States of America require that the component units be
separated into blended or discretely presented units for reporting purposes. The following criteria were used in
determination of blended component units: appointment of the governing board and fiscal dependence. Although
legally separate entities, blended component units are, in substance, part of the City’s operations. Therefore, they
are reported as part of the primary government. Discretely presented component units are reported in a separate
column in the basic financial statements to emphasize that they are legally separate from the City.
Blended Component Units
Following are descriptions of legally separate component units for which the City is financially accountable that are
blended with the Primary Government. The governing bodies of these component units are substantially the same
with operational responsibility as the City and provides a financial benefit.
The Palm Desert Housing Authority (Housing Authority) was established by the City Council in January 1998, and
is responsible for the administration of providing affordable housing in the City. The Housing Authority transactions
are reported in the governmental funds balance sheet as a major fund.
The Palm Desert Financing Authority (Financing Authority) was formed on January 26, 1989. The purpose of the
Financing Authority is to issue debt and loan the proceeds to the City and Agency. The Financing Authority’s capital
related transactions are reported in the governmental fund financial statements in the capital projects funds, and
the collection of assessments and payments of debt service is recorded in the fiduciary funds.
The City Council of Palm Desert is the governing body for the Housing Authority and Financing Authority.
Separate financial statements are not issued for the Housing Authority and Financing Authority.
Discretely Presented Component Unit
The Palm Desert Recreational Facilities Corporation (Corporation) was incorporated on February 25, 1997. The
purpose of the Corporation is to lease, operate and manage a restaurant and bar in the Desert Willow Golf Course
in Palm Desert, California. The Board of Directors of the Corporation appoints an executive director to administer
operations.
The Corporation is in a separate column to emphasize that it is legally separate from the City and is financially
accountable to the City. The two-member board governing the Corporation is appointed by the City Council, the
City has authority to approve the Corporation’s budget, and the City must approve any debt issued.
Complete financial statements of the Component Unit can be obtained from the City’s administrative offices.
35
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B. Basis of Presentation
Government-Wide Financial Statements
The government-wide financial statements (i.e., the statement of net position and the statement of activities) report
information on all of the nonfiduciary activities of the primary government and its component units. For the most
part, the effect of interfund activity has been removed from these statements. Interfund services provided and used
are not eliminated in the process of consolidation. 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. Likewise, the primary government is reported separately from certain legally
separate component units for which the primary government is financially accountable.
The statement of activities demonstrates the degree to which the direct and indirect 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. Expenses reported for functional activities include allocated indirect expenses.
Separate financial statements are provided for governmental funds, proprietary funds and fiduciary funds, even
though the latter are excluded from the government-wide financial statements. Major individual governmental funds
and major individual enterprise funds are reported as separate columns in the fund financial statements.
Fund Financial Statements
The accounting system of the City is organized and operated on the basis of separate funds, each of which is
considered to be a separate accounting entity. Each fund is accounted for by providing a separate set of
self-balancing accounts that constitute its assets, liabilities, deferred inflows of resources, fund equity, revenues
and expenditures/expenses. Funds are organized into three major categories: governmental, proprietary and
fiduciary. An emphasis is placed on major funds within the governmental and proprietary categories.
A fund is considered major if it is the primary operation fund of the City or meets the following criteria:
a. Total assets plus deferred outflows of resources, liabilities plus deferred inflows of resources, revenues or
expenditures/expenses of that individual governmental or enterprise fund are at least 10% of the corresponding
total for all funds of that category or type; and;
b. Total assets plus deferred outflows of resources, liabilities plus deferred inflows of resources, revenues or
expenditures/expenses of the individual governmental fund or enterprise fund are at least 5% of the
corresponding total for all governmental and enterprise funds combined; and;
c. The government has determined that a fund is important to the financial statement user.
The funds of the financial reporting entity are described below:
Governmental Fund Types
General Fund - The General Fund is the general operating fund of the City. It is used to account for all financial
resources except those required to be accounted for in another fund.
Special Revenue Funds - Special Revenue Funds are used to account for the proceeds of specific revenue
resources (other than major capital projects) that are legally restricted to expenditures for specified purposes.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Debt Service Funds - Debt Service Funds are used to account for the accumulation of resources for, and the
payment of, general long-term obligation principal, interest and related costs.
Capital Projects Funds - Capital Projects Funds are used to account for financial resources to be used for the
acquisition or construction of major capital facilities.
Proprietary Fund Types
Enterprise Funds - The Enterprise Funds account for operations that are financed and operated in a manner similar
to private business enterprises, where the intent of the City Council is that the costs (expenses including
depreciation) of providing goods and services to the general public on a continuing basis be financed or recovered
primarily through user charges.
The Primary Government’s Enterprise funds consist of the Parkview Office Complex and the Desert Willow Golf
Course. Desert Willow Golf Course is operated by a management company. The discretely presented Component
Unit’s fund consists of the Palm Desert Recreational Facilities Corporation, also operated by a management
company.
Internal Service Funds - The Internal Service Funds account for financial transactions related to replacement of
City-owned vehicles and equipment and to fund compensated absences. These services are provided to other
departments or agencies of the City on a cost reimbursement basis.
Fiduciary Fund Types
Private-Purpose Trust Fund
The Successor Agency to the Palm Desert Redevelopment Agency Private Purpose Trust Fund is used to account
for the activities of the Successor Agency to the Palm Desert Redevelopment Agency.
Custodial Funds
The Custodial, Special Assessment and Treasurers 1911 Bond Act Funds are used to account for assets held by
the City in a custodial capacity as a trustee. These assets include deposits placed with the City by individuals, as
well as deposits from assessment district’s property owners. These deposits are reduced by payments to
individuals.
The City’s Retiree Service Stipend Fund is used to account for assets held to pay for the retiree service stipend.
The Treasures 1991 Bond Act Fund is used to account for assets held for the Bond Act.
The major funds are as follows:
Governmental Funds
The General Fund is the general operating fund of the City. It is used to account for all financial resources except
those required to be accounted for in another fund.
The Prop A Fire Tax Special Revenue Fund is used to account for all revenues derived from tax collected within
the City for upgrading fire protection and prevention. Its use is restricted to obtaining, furnishing, operating and
maintaining fire protection and prevention services (currently under contract with Riverside County Fire Department)
equipment or apparatus. This fund is reported as a major fund because the tax collected is a voter approved
measure.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
The Housing Asset Special Revenue Fund is used to account for any funds generated from housing assets of the
former Redevelopment Agency to be used for projects that benefit low and moderate income families.
The Housing Authority Special Revenue Fund is used to account for revenues and expenditures related to rental
units owned by the Housing Authority, established in January 1998. This fund is determined to be important to the
users of the financial statements and determined to be a major fund.
The Restricted Capital Project Fund is used to account for the cost of city owned properties that will either be sold
or for the construction of public facilities, and the proceeds of bond funds for capital related properties.
Proprietary Fund
The Parkview Office Complex Fund is used to account for rent received from the City owned office complex.
The Desert Willow Golf Course Fund is used to account for the fees collected and expenses incurred in connection
with operating the municipal golf course in the City of Palm Desert.
C. Measurement Focus and Basis of Accounting
Measurement focus is a term used to describe which transactions are recorded within the various financial
statements. Basis of accounting refers to when transactions are recorded regardless of the measurement focus
applied.
On the government-wide Statement of Net Position and the Statement of Activities, both governmental
and business-like activities are presented using the economic resources measurement focus. The accounting
objectives of the economic measurement focus are the determination of operating income, changes in net position
(or cost recovery), financial position and cash flows. All assets, deferred outflows of resources, liabilities and
deferred inflows of resources (whether current or noncurrent) associated with their activities are reported.
In the fund financial statements, the “current financial resources” measurement focus or the “economic resources”
measurement focus is used as appropriate:
1. All governmental funds utilize a “current financial resources” measurement focus. Only current financial assets,
deferred outflows of resources, current liabilities and deferred inflows of resources are generally included on
their balance sheets. Their operating statements present sources and uses of available spendable financial
resources during a given period. These funds use fund balance as their measure of available spendable
financial resources at the end of the period.
2. The proprietary fund and private purpose trust fund and custodial funds utilize an “economic resources”
measurement focus. Proprietary fund and private purpose trust fund equity and custodial funds are classified
as net position.
Basis of Accounting
In the government-wide Statement of Net Position and Statement of Activities, both governmental and
business-like activities are presented using the accrual basis of accounting. Under the accrual basis of accounting,
revenues are recognized when earned and expenses are recorded when the liability is incurred, or economic asset
used.
Revenues, expenses, gains, losses, assets and liabilities resulting from exchange and exchange-like transactions
are recognized when the exchange takes place.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
In the fund financial statements, governmental funds are presented on the modified accrual basis of accounting.
Under this modified accrual basis of accounting, revenues are recognized when “measurable and available.”
Measurable means knowing or being able to reasonably estimate the amount. Available means collectible within
the current period or soon enough thereafter to pay current liabilities.
Revenues that are susceptible to accrual include property taxes and special assessments that are levied for and
due for the fiscal year and collected within 60 days after year-end. Licenses, permits, fines, forfeits, charges for
services and miscellaneous revenues are recorded as governmental fund type revenues when received in cash
because they are not generally measurable until actually received. Revenue from taxpayer assessed taxes, such
as sales taxes, are recognized in the accounting period in which they became both measurable and available to
pay liabilities of the current period. Grants and similar items are recognized as soon as all eligibility requirements
imposed by the provider have been met. Expenditures generally are recorded when a liability is incurred, as under
accrual accounting. However, debt service expenditures as well as expenditures related to compensated absences
and claims and judgments, are recorded only when payment is due.
Interfund activity has been eliminated from the general government function for the government-wide financial
statements except for charges between the government’s Desert Willow Golf Course and Parkview Office Complex
funds and various other functions of the government. Elimination of these charges would distort the direct costs and
program revenues for the various functions considered.
The accrual basis of accounting is followed by the proprietary fund and private purpose trust fund. Under the accrual
basis of accounting, revenues are recognized when earned and expenses are recorded when the liability is incurred,
or economic assets are used.
Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating revenues and
expenses generally result from providing goods and services in connection with a proprietary fund’s principal
ongoing operations. The principal revenue of the Desert Willow Golf Course and Parkview Office Complex
Enterprise Funds are charges to customers for use of the golf course and rental fees. Operating expenses for
enterprise funds include the cost of sales and services, administrative expenses and depreciation on capital assets.
All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses.
D. Appropriations Limit
Under Article XIII-B of the California Constitution (the Gann Spending Limitation Initiative), the City is restricted as
to the amount of annual appropriations from the proceeds of taxes, and if proceeds of taxes exceed allowed
appropriations, the excess must either be refunded to the State Controller or returned to the taxpayers through
revised tax rates, revised fee schedules or other refund arrangements. For the fiscal year ended June 30, 2024,
proceeds of taxes did not exceed appropriations.
E. Cash and Investments
For purposes of the statement of cash flows, the City has defined cash and investments to include cash on hand,
demand deposits, investments held in various instruments, and investments held in the California Local Agency
Investment Fund (LAIF), California Asset Management Program (CAMP) and Riverside County Treasurer’s Pooled
Investment Fund.
F. Investments
Investments are reported in the accompanying financial statements at fair value. Fair value is the price that would
be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the
measurement date. 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, maturity, or sale of investments.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
G. Property Held for Resale
The land held for resale is recorded in the Housing Asset Fund as property held for resale at the lower of cost or
market. At June 30, 2024, the cost of the property held for resale for various housing properties in Palm Desert
totaled $61,516.
H. Capital Assets and Depreciation
Capital assets, which include property, plant, equipment and infrastructure assets (e.g., roads, traffic signals,
drainage systems and similar items), are reported in the applicable governmental or business-type activities column
in the government-wide financial statements. Capital assets are defined by the City as assets with an initial cost
above the amounts described in the table below and an estimated life in excess of one year. Such assets are
recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are
recorded at acquisition value at the date of donation.
The City has reported general infrastructure assets acquired in prior and current years.
The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend asset
lives are not capitalized.
Property, plant and equipment of the primary government, as well as the component units, are depreciated using
the straight-line method over the following estimated useful lives:
I. Inventories, Prepaid Costs and Deposits
Inventory in the amount of $301,682 and $43,797, for the Desert Willow Golf Course Enterprise Fund
(Primary Government) and Palm Desert Recreational Facilities Corporation (Component Unit), respectively, are
reported at lower of cost or market. These inventories are held for resale.
Inventory in the amount of $13,710 in the Other Governmental Funds are also reported at lower of cost or market.
Inventory and prepaid costs are recorded as an expenditure when consumed rather than purchased.
Certain payments to vendors that reflect costs applicable to future accounting periods are recorded as prepaid costs
in the government-wide and fund financial statements.
Deposit of $20,000 in other governmental funds represents security deposit on rental of commercial space.
Asset Type
Capitalization
Threshold Useful Life
Subject to
Depreciation?
Land -$ Infinite No
Buildings 100,000$ 20-50 Years Yes
Infrastructure 100,000$ 10-50 Years Yes
Improvements Other than Buildings 100,000$ 20-50 Years Yes
Equipment, Furniture & Vehicles 10,000$ 3-15 Years Yes
Intangible Assets - Permanent Easements 10,000$ Infinite No
Intangible Assets - Temporary Easements 10,000$ 5 Years Yes
City-Owned or Developed Software 100,000$ 5 Years Yes
Works of Art/Historical Treasures 10,000$ Infinite No
Construction in Progress -$ N/A No
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
J. Property Tax Calendar
Property taxes are assessed and collected each fiscal year according to the following property tax calendar:
Lien date: January 1
Levy date: July 1 to June 30
Due date: November 1 - 1st Installment
March 1 - 2nd Installment
Delinquent date: December 10 - 1st Installment
April 10 - 2nd Installment
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 prescribed by state statutes. The City accrues only those taxes, which are received within
60 days after the year-end. The City is a participant in the Teeter Plan under the California Revenue and Taxation
Code. The County of Riverside has responsibility for the collection of delinquent taxes and the City receives 100%
of the levy.
K. Leases
Lessee
The City is a lessee for a noncancellable lease of buildings and equipment. The City recognizes a lease liability and
an intangible right‐to‐use lease asset (lease asset) in the government‐wide financial statements. The City
recognizes lease liabilities with an initial, individual value of $10,000 or more.
At the commencement of a lease, the City initially measures the lease liability at the present value of payments
expected to be made during the lease term. Subsequently, the lease liability is reduced by the principal portion of
lease payments made. The lease asset is initially measured as the initial amount of the lease liability, adjusted for
lease payments made at or before the lease commencement date, plus certain initial direct costs. Subsequently,
the lease asset is amortized on a straight‐line basis over its useful life. Key estimates and judgments related to
leases include how the City determines (1) the discount rate it uses to discount the expected lease payments to
present value, (2) lease term, and (3) lease payments.
• The City uses the interest rate charged by the lessor as the discount rate. When the interest rate charged by
the lessor is not provided, the City generally uses its estimated incremental borrowing rate as the discount rate
for leases.
• The lease term includes the noncancellable period of the lease. Lease payments included in the measurement
of the lease liability are composed of fixed payments and purchase option price that the City is reasonably
certain to exercise.
The City monitors changes in circumstances that would require a remeasurement of its lease and will remeasure
the lease asset and liability if certain changes occur that are expected to significantly affect the amount of the lease
liability.
Lease assets are reported with other capital assets and lease liabilities are reported with long-term debt on the
statement of net position.
Lessor
The City is a lessor for several noncancellable lease of a building. The City recognizes a lease receivable and a
deferred inflow of resources in the government‐wide and governmental fund financial statements.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
At the commencement of a lease, the City initially measures the lease receivable at the present value of payments
expected to be received during the lease term. Subsequently, the lease receivable is reduced by the principal
portion of lease payments received. The deferred inflow of resources is initially measured as the initial amount of
the lease receivable, adjusted for lease payments received at or before the lease commencement date.
Subsequently, the deferred inflow of resources is recognized as revenue over the life of the lease term.
Key estimates and judgments include how the City determines (1) the discount rate it uses to discount the expected
lease receipts to present value, (2) lease term, and (3) lease receipts.
• The City uses its estimated incremental borrowing rate as the discount rate for leases.
• The lease term includes the noncancellable period of the lease. Lease receipts included in the measurement
of the lease receivable is composed of fixed payments from the lessee.
The City monitors changes in circumstances that would require a remeasurement of its lease, and will remeasure
the lease receivable and deferred inflows of resources if certain changes occur that are expected to significantly
affect the amount of the lease receivable.
L. Subscription-Based Information Technology Arrangements
The City is a subscriber for several noncancellable subscription of information technology services. The City
recognizes a subscription liability and an intangible right‐to‐use subscription asset (subscription asset) in the
government‐wide financial statements. The City recognizes subscription liabilities with an initial, individual value of
$5,000 or more.
At the commencement of a subscription, the City initially measures the subscription liability at the present value of
payments expected to be made during the subscription term. Subsequently, the subscription liability is reduced by
the principal portion of subscription payments made. The subscription asset is initially measured as the
initial amount of the subscription liability, adjusted for subscription payments made at or before the
subscription commencement date, plus certain initial direct costs. Subsequently, the subscription asset is amortized
on a straight‐line basis over its useful life. Key estimates and judgments related to subscriptions include how the
City determines (1) the discount rate it uses to discount the expected subscription payments to present value,
(2) lease term, and (3) subscription payments.
• The City uses the interest rate charged by the vendor as the discount rate. When the interest rate charged by
the vendor is not provided, the City generally uses its estimated incremental borrowing rate as the discount rate
for subscriptions.
• The subscription term includes the noncancellable period of the subscription. Subscription payments included
in the measurement of the subscription liability are composed of fixed payments that the City is reasonably
certain to exercise.
The City monitors changes in circumstances that would require a remeasurement of its subscriptions and will
remeasure the subscription asset and liability if certain changes occur that are expected to significantly affect the
amount of the subscription liability.
Subscription assets are reported with other capital assets and subscription liabilities are reported with long-term
debt on the statement of net position.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
M. Deferred Outflows/Inflows of Resources
In addition to assets, the statement of net position and the governmental funds balance sheet will sometimes report
a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows
of resources, represents a consumption of net assets that applies to future periods and so will not be recognized
as an outflow of resources (expense/expenditure) until that time. The City has the following items that qualify for
reporting in this category:
• Deferred outflows related to pensions and OPEB. This amount is equal to employer contributions made after
the measurement date of the net pension liability and net OPEB liability/(asset).
• Deferred outflows related to pensions and OPEB resulting from the difference in projected and actual earnings
on investments of the pension plan and OPEB fiduciary net position. These amounts are amortized over five
years.
Deferred outflows of resources related to pensions and OPEB arising from a change in assumptions and differences
between expected and actual experience. These amounts are amortized over a closed period equal to the average
of the expected remaining service lives of all employees that are provided with pensions and OPEB through the
plan.
In addition to liabilities, the statement of net position and the governmental funds balance sheet will sometimes
report a separate section for deferred inflows of resources. This separate financial statement element, deferred
inflows of resources, represents an acquisition of net assets that applies to future periods and will not be recognized
as an inflow of resources (revenue) until that time. The City has the following items that qualify for reporting in this
category:
• Deferred amount on refunding. A deferred amount on refunding results from the difference in the carrying value
of the refunded debt and its reacquisition price. This amount is deferred and amortized over the shorter of the
life of the refunded or refunding debt.
• Deferred inflows from unavailable revenue, which arises under a modified accrual basis of accounting is
reported only in the governmental fund balance sheet. The governmental funds report unavailable revenues
from the following sources: rent, investment income, grants, notes receivables collections and reimbursements.
These amounts are unavailable and recognized as an inflow of resources in the period that the amounts become
available.
• Deferred inflows related to pensions and OPEB for differences between expected and actual experience. These
amounts are amortized over a closed period equal to the average of the expected remaining service lives of all
employees that are provided with pensions and OPEB through the plan.
• Deferred inflows from OPEB resulting from changes in assumptions. These amounts are amortized over a
closed period equal to the average expected remaining service lives of all employees that are provided with
OPEB through the plan.
• Deferred inflows from lease related items for the amount of the lease receivable plus any lease payments
related to future periods, less any lease incentives paid to, or on behalf of, the lessee at or before the
commencement of the lease term.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
N. Employee Compensated Absences
It is the government’s policy to permit employees to accumulate earned but unused vacation and sick leave
(compensated absences). Vacation pay and sick leave, which are expected to be liquidated with expendable
available resources, are reported as expenditure and liability of the governmental fund that will pay it only if they
have matured, for example, as a result of employee resignations or retirements.
O. Pensions
For purposes of measuring the net pension liability and deferred outflows/inflows of resources related to pensions,
and pension expense, information about the fiduciary net position of the District’s California Public Employees’
Retirement System (CalPERS) plans (Plans) and additions to/deductions from the Plans’ fiduciary net position have
been determined on the same basis as they are reported by CalPERS. For this purpose, benefit payments
(including refunds of employee contributions) are recognized when due and payable in accordance with the benefit
terms. Investments are reported at fair value.
GASB Statement No. 68 requires that the reported results must pertain to liability and asset information within
certain defined timeframes. For this report, the following timeframes are used.
Valuation Date June 30, 2023
Measurement Date June 30, 2023
Measurement Period July 1, 2022 to June 30, 2023
P. Other Post-Employment Benefits (OPEB)
For purposes of measuring the total OPEB liability, deferred outflows of resources and deferred inflows of resources
related to OPEB, and the OPEB expense have been determined by an independent actuary. For this purpose,
benefit payments are recognized when currently due and payable in accordance with the benefit terms.
Generally accepted accounting principles require that the reported results must pertain to liability and asset
information within certain defined timeframes. For this report, the following timeframes are used:
Valuation Date June 30, 2022
Measurement Date June 30, 2023
Measurement Period June 30, 2022 to June 30, 2023
Q. Fund Balance
The fund balances reported on the fund statements now consist of the following categories:
• Nonspendable - This classification includes amounts that cannot be spent because they are either (a) not in
spendable form or (b) legally or contractually required to be maintained intact.
• Restricted - This classification includes amounts that can be spent only for specific purposes stipulated by
constitution, external resource providers or through enabling legislation.
• Committed - This classification includes amounts that can be used only for the specific purposes determined
by a formal action of the City Council. The City considers the adoption of a resolution to institute a formal action
of City Council for the purpose of establishing, modifying or rescinding committed fund balances.
• Assigned - This classification includes amounts to be used by the government for specific purposes but do
not meet the criteria to be classified as restricted or committed. This includes amounts that are assigned
through adoption of a resolution by City Council. The Council may delegate the ability of an employee or
committee to assign uses of specific funds, for specific purposes. Such delegation of authority occurred on
September 27th, 2018 and will be in effect for future fiscal years.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
• Unassigned - This classification includes the residual balance for the government’s general fund and includes
all spendable amounts not contained in other classifications. In other funds, the unassigned classification is
used only to report a deficit balance resulting from overspending for specific purposes for which amounts had
been restricted, committed or assigned.
When an expenditure is incurred for purposes for which both restricted and unrestricted fund balances are available,
the City’s policy is to apply restricted fund balance first. When an expenditure is incurred for purposes for which
committed, assigned or unassigned fund balances are available, the City’s policy is to apply committed fund balance
first, then assigned fund balance, and finally unassigned fund balance.
R. Net Position
For government‐wide reporting as well as in proprietary funds, the difference between assets and deferred outflows
of resources less liabilities and deferred inflows of resources is called net position. Net position is comprised of
three components: net investment in capital assets, restricted, and unrestricted.
• Net investment in capital assets consists of capital assets, net of accumulated depreciation/amortization and
reduced by outstanding balances of bonds, notes, and other debt that are attributable to the acquisition,
construction, or improvement of those assets. Deferred outflows of resources and deferred inflows of resources
that are attributable to the acquisition, construction, or improvement of those assets or related debt are included
in this component of net position.
• Restricted net position consists of restricted assets reduced by liabilities and deferred inflows of resources
related to those assets. Assets are reported as restricted when constraints are placed on asset use either by
external parties or by law through constitutional provision or enabling legislation.
• Unrestricted net position is the net amount of the assets, deferred outflows of resources, liabilities, and deferred
inflows of resources that does not meet the definition of the two preceding categories.
Sometimes the City will fund outlays for a particular purpose from both restricted (e.g., restricted bond or grant
proceeds) and unrestricted resources. In order to calculate the amounts to report as restricted net position and
unrestricted net position in the government‐wide and proprietary fund financial statements, a flow assumption must
be made about the order in which the resources are considered to be applied. It is the City’s policy to consider
restricted net position to have been depleted before unrestricted net position is applied.
S. Restricted Assets
Certain proceeds of debt issues, as well as certain resources set aside for their repayment, are classified as
restricted assets on the balance sheet because they are maintained in separate trustee bank accounts and their
use is limited to applicable bond covenants. In addition, funds have been restricted for future capital improvements
by City resolution.
T. Deficit Fund Equity
At June 30, 2024, the City reported deficit fund balances/net position in the following funds:
Primary Government
Fund Name Fund Type Deficit
Permanent Local Housing Allocation Grant Nonmajor Special Revenue Fund (170,884)$
Buildings Nonmajor Capital Projects Fund (274,621)
Compensation Benefits Internal Service Fund (155,216)
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
The deficit in the Permanent Local Housing Allocation Grant Fund will be eliminated in future years through
contributions from other funds.
The deficit in the Buildings Fund will be eliminated in future years through contributions from other funds.
The deficit in the Compensation Benefits Fund will be eliminated in future years through contributions from other
funds.
Fiduciary Funds
The deficit in the Successor Agency to the Palm Desert Redevelopment Agency Private-Purpose Trust Fund will
be eliminated through future property taxes collected by the County under the direction of the State. The State of
California is the responsible body for the elimination of this deficit.
U. Use of Estimates
The financial statements are prepared in accordance with accounting principles generally accepted in the
United States of America and, accordingly, include amounts that are based on management’s best estimates and
judgments. The financial statements include estimates for the value of the capital assets (infrastructure),
depreciation expense, the fair value of investments, the amounts reported for the net pension liability and related
items (Note 11), the amounts reported for the net pension liability, net OPEB liability/(asset) and related items
(Note 15), and claims payable (Note 9). Accordingly, actual results could differ from the estimates.
NOTE 2: CASH AND INVESTMENTS
As of June 30, 2024, cash and investments were reported in the accompanying financial statements as follows:
Fund Name Fund Type Deficit
Successor Agency to the Palm Desert
Redevelopment Agency Private-Purpose Trust Fund (97,709,429)$
Governmental activities 362,407,499$
Business-type activities 14,604,475
Component unit 907,655
Fiduciary funds 43,770,333
421,689,962$ Total cash and investments
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 2: CASH AND INVESTMENTS (CONTINUED)
Cash and investments at June 30, 2024, consisted of the following:
The City of Palm Desert maintains a cash and investment pool that is available for use for all funds. Each fund
type’s position in the pool is reported on the combined balance sheet as cash and investments. The City has
adopted an investment policy, which authorizes it to invest in various investments.
A. Deposits
At June 30, 2024, the carrying amount of the deposits was $23,141,162, and the bank balance was $21,338,535.
The $1,802,627 difference represents outstanding checks, deposits in transit and other reconciling items.
The California Government Code requires California banks and savings and loan associations to secure an Entity’s
deposits by pledging government securities with a value of 110% of an Entity’s deposits. California law also allows
financial institutions to secure deposits by pledging first trust deed mortgage notes having a value of 150% of total
deposits. The City Treasurer may waive the collateral requirement for deposits that are fully insured up to $250,000
by the FDIC. The collateral for deposits in federal and state-chartered banks is held in safekeeping by an
authorized Agent of Depository recognized by the State of California Department of Banking. The collateral for
deposits with savings and loan associations is generally held in safekeeping by the Federal Home Loan Bank in
San Francisco, California as an Agent of Depository. These securities are physically held in an undivided pool for
all California public agency depositors.
Under Government Code Section 53655, the placement of securities by a bank or savings and loan association
with an Agent of Depository has the effect of perfecting the security interest in the name of the local governmental
agency. Accordingly, all collateral held by California Agents of Depository are considered to be held for, and in the
name of, the local governmental agency.
B. Investments
Investments Authorized by the California Government Code and the City’s Investment Policy
The table below identifies the investment types that are authorized for the City by the California Government
Code and the City’s investment policy. The table also identifies certain provisions of the California Government
Code (or the City’s investment policy, if more restrictive) that address interest rate risk, credit risk, and concentration
of credit risk. This table does not address investments of debt proceeds held by bond trustee that are governed by
the provisions of debt agreements of the City, rather than the general provisions of the California Government Code
or the City’s investment policy.
Primary Government
Demand accounts 2,675,045$
Petty cash 23,718
Investments 374,313,211
Total cash and investments - Primary Government 377,011,974$
Component Unit
Demand accounts 907,655$
Fiduciary Funds
Demand accounts 19,558,462$
Pooled with primary government 1,341,826
Investments 22,870,045
Total cash and investments - Fiduciary Funds 43,770,333$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 2: CASH AND INVESTMENTS (CONTINUED)
GASB Statement No. 31
The City adopted GASB Statement No. 31, Accounting and Financial Reporting for Certain Investments and for
External Investment Pools, as of July 1, 1997. GASB Statement No. 31 establishes fair value standards for
investments in participating interest earning investment contracts, external investment pools, equity securities,
option contracts, stock warrants and stock rights that have readily determinable fair values.
The City Treasurer is authorized under state and municipal law to invest in various types of securities that meet
specified credit quality standards, based upon credit risk ratings assigned by Standard and Poors (S&P), Fitch,
or by Moody’s Investor Services (Moody’s). Permissible City investments include medium-term notes that are
rated “A” or higher at time of purchase; commercial paper that is rated “A-1” or the equivalent; money market
mutual funds that are rated “AAA”; and United States Government and Federal Agency securities (the quality of
United States Treasury securities is not analyzed since they are not deemed to have credit risk).
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the
investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization.
Presented below is the minimum rating required, when applicable, by the California Government Code, the City’s
investment policy, or debt agreements, and the rating by Standard and Poor’s, Fitch and Moody’s as of year-end
for each investment type.
Primary Government
Authorized by Maximum Maximum
Investment Types Investment Maximum Percentage Investment
Authorized by State Law Policy Maturity * of Portfolio * in One Iss uer *
United States Treasury Bills, Notes, Bonds Yes 5 years 100%none
United States Government-Sponsored Agency
Securities Yes 5 years 100%30%
California State and Local Agency Debt Yes 180 days 25%none
Commercial Paper Yes 270 days 25%10%
Negotiable Certificates of Deposit Yes 5 years 5%none
Time Certificates of Deposit Yes 5 years 5%none
Repurchase Agreements Yes 1 year 10%none
Medium-Term Corporate Notes Yes 5 years 25%10%
Money Market Mutual Funds Yes 5 years 20%none
Local Agency Investment Fund (LAIF)Yes N/A $75M/Acct none
Structured Notes (STRIPS)Yes 5 years 20%none
Local Government Investment Pools Yes N/A 75%none
* Based on state law requirements or City investment policy requirements, whichever is more restrictive.
Minimum Exempt or
Investment Type Total Legal Rating Aaa AAA Other Not Rated
California Local Agency Investment Fund 1,979,111$ N/A -$ -$ -$ 1,979,111$
California Asset Management Program 232,579,739 N/A - 232,579,739 - - y
Fund 2,804,389 N/A 2,804,389 - - -
U.S. Government Sponsored Agency Securities 45,525,237 N/A 45,525,237 - - -
Medium-Term Corporate Notes 16,591,869 N/A - - 16,591,869 -
Money Market Deposit Account 4,708,841 N/A - - - 4,708,841
Held by Fiscal Agent:
Money Market Deposit Account 70,124,025 N/A - - - 70,124,025
Total 374,313,211$ 48,329,626$ 232,579,739$ 16,591,869$ 76,811,977$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 2: CASH AND INVESTMENTS (CONTINUED)
The ratings for the “Other” category above are as follows:
Fiduciary Funds
Custodial Credit Risk
The 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 deposits or will not be able to recover collateral securities that are in the
possession of an outside party. The custodial credit risk for the investments is the risk that, in the event of the failure
of the counterparty to a transaction, a government will not be able to recover the value of investment or collateral
securities that are in the possession of an outside party.
As of June 30, 2024, none of the City’s deposits or investments were exposed to custodial credit risk.
Concentration of Credit Risk
The City’s investment policy imposes restrictions on the percentage the City can invest in certain types of
investments, which the City is in compliance. As of June 30, 2024, in accordance with GASB Statement No. 40, if
the City has invested more than 10% of its total investments in any one issuer then they are exposed to
concentration of credit risk. The City is not invested in any one issuer that is more than 10% of its total investments.
Interest Rate Risk
The City’s investment policy limits investment maturities as a means of managing its exposure to fair value losses
arising from increasing interest rates. The City’s investment policy states that the City shall not invest in securities
with maturities exceeding five years. The City has elected to use the segmented time distribution method of
disclosure for its interest rate risk.
Investment Type A A1 A2 A3 Total
Medium-Term Corporate Notes 1,506,771$ 4,289,368$ 7,944,892$ 2,850,838$ 16,591,869$
Minimum Exempt or
Investment Type Total Legal Rating Aaa AAA Not Rated
California Local Agency Investment Fund 794$ N/A -$ -$ 794$
California Asset Management Program 6,310 N/A - 6,310 - y
Fund 357 N/A 357 - -
Investment in City Bonds 92,000 N/A - - 92,000
Held by Fiscal Agent:
Money Market Deposit Account 22,770,584 N/A - - 22,770,584
Total 22,870,045$ 357$ 6,310$ 22,863,378$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 2: CASH AND INVESTMENTS (CONTINUED)
As of June 30, 2024, the City had the following investments and maturities:
Primary Government
Fiduciary Funds
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 California. The fair value of
the City’s investment in this pool is reported in the accompanying financial statements at amounts based upon the
City’s pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio (in 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.
Investment in California Asset Management Program
The California Asset Management Program (CAMP) is a public joint powers authority which provides California
Public Agencies with investment management services for surplus funds and comprehensive investment
management, accounting and arbitrage rebate calculation services for proceeds of tax-exempt financings. The
CAMP currently offers the Cash Reserve Portfolio, a short-term investment portfolio, as a means for Public Agencies
to invest these funds. Public Agencies that invest in the Pool (Participants) purchase shares of beneficial interest.
Participants may also establish individual, professionally managed investment accounts (Individual Portfolios) by
separate agreement with the Investment Advisor.
Investments in the Pools and Individual Portfolios are made only in investments in which Public Agencies
generally are permitted by California statute. The CAMP may reject any investment and may limit the size of
a Participant’s account. The Pool seeks to maintain, but does not guarantee, a constant net asset value of
$1.00 per share. A Participant may withdraw funds from its Pool accounts at any time by check or wire transfers.
Requests for same-day wire transfers must be made by 11:00 a.m. that day. Fair value of the Pool is determined
by the fair value per share of the Pool’s underlying portfolio.
Less Than 6 Months - 1 Year -Over
Investment Type Total 6 Months 1 Year 3 Years 3 Years
California Local Agency Investment Fund 1,979,111$ 1,979,111$ -$ -$ -$
California Asset Management Program 232,579,739 232,579,739 - - -
Riverside County Treasurer's Pooled Investment Fund 2,804,389 2,804,389 - - -
U.S. Government Sponsored Agency Securities 45,525,237 14,811,560 144,177 20,097,480 10,472,020
Medium-Term Corporate Notes 16,591,869 - - 11,849,025 4,742,844
Money Market Desposit Account 4,708,841 4,708,841 - - -
Held by Fiscal Agent:
Money Market Deposit Account 70,124,025 70,124,025 - - -
Total 374,313,211$ 327,007,665$ 144,177$ 31,946,505$ 15,214,864$
Less Than 6 Months - 1 Year -Over
Investment Type Total 6 Months 1 Year 3 Years 3 Years
California Local Agency Investment Fund 794$ 794$ -$ -$ -$
California Asset Management Program 6,310 6,310 - - -
Riverside County Treasurer's Pooled Investment Fund 357 357 - - -
Investment in City Bonds 92,000 92,000 - - -
Held by Fiscal Agent:
Money Market Deposit Account 22,770,584 22,770,584 - - -
Total 22,870,045$ 22,870,045$ -$ -$ -$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 2: CASH AND INVESTMENTS (CONTINUED)
Investment in Riverside County Treasurer’s Pooled Investment Fund
The City is a voluntary participant in the Riverside County Treasurer’s Pooled Investment Fund (Pooled Fund). 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 that the Riverside County Treasurer’s Office has provided for
the entire Pooled Fund (in relation to the amortized cost of that portfolio). The balance available for withdrawal is
based upon the accounting records that the Riverside County Treasurer’s Office maintains, which are recorded on
an amortized cost basis.
Fair Value Measurements
The City categorizes its fair value measurement within the fair value hierarchy established by generally accepted
accounting principles. The hierarchy is based on the relative inputs used to measure the fair value of the
investments. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical
assets (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements).
The three levels of the fair value hierarchy are described as follows:
Level 1: Inputs to the valuation methodology are unadjusted quoted prices for identical assets in active markets
that the City has the ability to access.
Level 2: Inputs to the valuation methodology include:
• Quoted prices for similar assets in active markets;
• Quoted prices for identical or similar assets in inactive markets;
• Inputs other than quoted prices that are observable for the asset;
• Inputs that are derived principally from or corroborated by observable market data by correlation or other means.
Level 3: Inputs to the valuation methodology are unobservable and significant to the fair value measurement.
Unobservable inputs reflect the City’s own assumptions about the inputs market participants would use in
pricing the asset (including assumptions about risk). Unobservable inputs are developed based on the
best information available in the circumstances and may include the City’s own data.
The asset’s level within the hierarchy is based on the lowest level of input that is significant to the fair value
measurement. Valuation techniques used need to maximize the use of observable inputs and minimize the use of
unobservable inputs.
The determination of what constitutes observable requires judgment by the City’s management. City management
considers observable data to be that market data which is readily available, regularly distributed or updated, reliable,
and verifiable, not proprietary, and provided by multiple independent sources that are actively involved in the
relevant market.
The categorization of an investment within the hierarchy is based upon the relative observability of the inputs to its
fair value measurement and does not necessarily correspond to City management’s perceived risk of that
investment.
The methods described may produce a fair value calculation that may not be indicative of net realizable value or
reflective of future fair values. The use of different methodologies or assumptions to determine the fair value of
certain financial instruments could result in a different fair value measurement at the reporting date.
When available, quoted prices are used to determine fair value. When quoted prices in active markets are available,
investments are classified within Level 1 of the fair value hierarchy. When quoted prices in active markets are not
available, fair values are based on evaluated prices received by City’s asset manager from third party service
provider.
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 2: CASH AND INVESTMENTS (CONTINUED)
The following is a description of the recurring valuation methods and assumptions used by the City to estimate the
fair value of its investments.
For a large portion of the City’s portfolio, the City’s custodian applies their leveling methodology across all securities
in a specific sector (i.e. U.S. Government Sponsored Agency Securities). Inputs to their pricing models are based
on observable market inputs in active markets.
The Successor Agency Former RDA’s investment in City bonds is not tradable and is categorized in Level 3. When
valuing Level 3 securities, the inputs or methodology are not necessarily an indication of the risks associated with
investing in those securities. Changes in valuation techniques may result in transfers into or out of an assigned level
within the disclosure hierarchy.
Primary Government
Fiduciary Funds
NOTE 3: NOTES AND LOANS RECEIVABLE
A. Notes Receivable
On August 8, 2006, the City of Palm Desert issued $3,165,000 of Limited Obligation Bonds. The proceeds of the
Bonds were used to finance the construction of the utility undergrounding and pay the cost of issuance. The debt
service on the bonds is to be paid by assessments secured on the property tax rolls of those properties benefiting
from the improvements. Bond maturities began September 2, 2007, and continue annually through 2036. The
interest rates of the bonds range from 3.85% to 5.15%. The City of Palm Desert is the only bondholder on record
for the bonds and reports a receivable in the general fund that corresponds to the outstanding principal on the
bonds. As of June 30, 2024, the receivable balance was $980,000.
Investment Type Total Level 1 Level 2 Level 3 Uncategorized
California Local Agency Investment Fund 1,979,111$ -$ -$ -$ 1,979,111$
California Asset Management Program 232,579,739 - - - 232,579,739
Riverside County Treasurer's Pooled Investment
Fund 2,804,389 - - - 2,804,389
U.S. Government Sponsored Agency Securities 45,525,237 - 45,525,237 - -
Medium-Term Corporate Notes 16,591,869 - 16,591,869 - -
Money Market Deposit Account 4,708,841 - - - 4,708,841
Held by Fiscal Agent:
Money Market Deposit Account 70,124,025 - - - 70,124,025
Total 374,313,211$ -$ 62,117,106$ -$ 312,196,105$
Input Category
Investment Type Total Level 1 Level 2 Level 3 Uncategorized
California Local Agency Investment Fund 794$ -$ -$ -$ 794$
California Asset Management Program 6,310 - - - 6,310
Riverside County Treasurer's Pooled Investment
Fund 357 - - - 357
Investment in City Bonds 92,000 - - 92,000 -
Held by Fiscal Agent:
Money Market Deposit Account 22,770,584 - - - 22,770,584
Total 22,870,045$ -$ -$ 92,000$ 22,778,045$
Input Category
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 3: NOTES AND LOANS RECEIVABLE (CONTINUED)
B. Loans Receivable
The City entered into several individual loan agreements with residents of the Highlands Utility Undergrounding
Assessment District No. 04-01. The loans were issued by the City to pay off the principal of the respective properties
assessment. In turn, the residents agreed to pay to the City the full cost of the loan amount plus any accrued interest
at a rate of 5.35%. The full amount of the loan along with all accrued interest is due and payable at the earliest of
September 2, 2036 or any change in ownership of the property. As of June 30, 2024, the total receivable from the
Highlands Deferral Loan Program was $14,978.
Pursuant to Health and Safety Code 34176(b), the housing assets of the former RDA have been transferred to the
Housing Asset Fund as the successor housing entity. The Housing Asset Fund has a loan receivable for the
construction of a multi-family affordable housing development dated June 14, 2001 due from the PD Hovley Limited
Partnership. The loan is secured by a Deed of Trust and Regulatory Agreement with Options on the housing
development located in Palm Desert. On April 8, 2021 the Authority Board approved the re-syndication, refinancing
and rehabilitation of the affordable housing development. The existing 2001 loan was modified to extend its maturity
for fifty-five (55) years and provides for a suspension of principal payments for the estimated construction
period. The Authority Loan shall bear interest at the greater of the current applicable federal rate as of the date of
the Promissory Note or one percent (1%) simple interest per annum, and will be repaid from seventy-five percent
(75%) of the developments residual receipts remaining after payment of fees and expenses. As of June 30, 2024,
the total receivable from PD Hovley Limited Partnership was $5,148,813.
The Housing Asset Fund has a loan receivable for the construction of a multi-family affordable housing development
dated December 20, 2022, due from Palm Desert Pacific Associates, a California Limited Partnership. The Authority
Loan shall bear interest at three percent (3%) simple interest per annum, and repayment will commence as follows:
50% of Project Net Cash Flow, as defined in the Loan Agreement shall be paid to PDHA on an annual basis on
June 30th after the first anniversary of issuance of a final certificate of occupancy for the project and each annual
anniversary thereafter (with respect to the Project New Cash Flow for the preceding year ending on June 30th prior
to each such payment date) until the Note has been satisfied in full. As of June 30, 2024, the total receivable from
Palm Desert Pacific Associates was $6,030,000 and management has no reason to believe any allowance for
doubtful accounts should be established for the loan.
On August 28, 2008, the City Council approved through resolution the Energy Independence Program (EIP), which
is supported by Assembly Bill AB811. The EIP program allowed the City to create the funding mechanism to assist
the residents and businesses entering into a loan agreement with the City and providing the money for the borrowers
to acquire and install energy efficient improvements. Assembly Bill AB811 allows the City to lien the properties
through annual property tax assessments for a period not to exceed 20 years. To date, 279 residents and business
owners entered into loan agreements with the City and have completed their improvements through the EIP
program, as of June 30, 2024, 160 loans have been repaid. The loans are payable in two annual installments for a
period of 5 years to 20 years at an interest rate of 7% annually. On June 30, 2024, the outstanding loans receivable
through the EIP Program was $975,973.
On November 1, 2023 The Palm Desert Housing Authority entered into a new loan agreement with A0358 Monterey
L.P., a California limited partnership, in the amount of Seven Million Two Hundred Thirty-Five Thousand Dollars
($7,235,000) from the Authority's Low and Moderate Income Housing Asset Fund to fund the construction of
One-Hundred Thirty Nine (139) of the One-Hundred Seventy Four (174) affordable housing units comprising the
proposed apartment project, Crossings at Palm Desert Apartments.
Pursuant to Health and Safety Code 34176(b), the housing assets of the former RDA have been transferred to the
Palm Desert Housing Authority as the successor housing entity. The Housing Authority has loans for several other
projects, all of which are secured by a deed of trust. An allowance for doubtful accounts equal to the loan balance
has been recognized since there is a significant possibility that these loans will either become uncollectible or
forgiven by the Housing Authority at a future date if all the terms of the loans have been met.
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 3: NOTES AND LOANS RECEIVABLE (CONTINUED)
Detailed information for these loans is as follows:
NOTE 4: INTERFUND RECEIVABLES, PAYABLE, ADVANCES AND TRANSFERS
The composition of interfund balances as of June 30, 2024, was as follows:
A. Due To/From Other Funds
The amounts loaned from the General Fund to non-major governmental funds and capital properties were to cover
cash shortfall at year end as of June 30, 2024.
NOTE 4: INTERFUND RECEIVABLES, PAYABLE, ADVANCES AND TRANSFERS (CONTINUED)
B. Advances To/From Other Funds
Accrued Total
Principal Unpaid Outstanding
Balance Interest as of Interest Maturity
Project Name Outstanding Outstanding June 30, 2024 Rate Date Notes
Home Improvement Loans 324,466$ -$ 324,466$ N/A N/A (1),(2)
Portola Palms Mobile Home Park 62,891 1,887 64,778 3.00% 30 years (3)
Desert Rose 2,465,156 73,955 2,539,111 3.00% 30-45 years* (1),(3)
Falcon Crest 3,003,562 90,107 3,093,669 3.00% 30-45 years* (1),(2)
Acquisition, Rehabilitation, Resale 190,510 5,715 196,225 3.00% 30-45 years (2)
Habitat for Humanity 327,000 9,810 336,810 7.25% 30 years or 2024 (2)
6,373,585$ 181,474$ 6,555,059
Less: Allowance for Doubtful Accounts (6,555,059)
Balance at June 30, 2024 -$
* All properties acquired from the former Redevelopment Agency after June 2009 will have a 45 year
restrictive covenant and are secured by a deed of trust.
(1) Portion of deferred loans are from funding sources other than Housing Authority.
(2) Loan is payable upon change or transfer of title, refinancing or upon the death of the borrower.
(3) Loan balance and interest will be forgiven at maturity if debtor does not breach the terms and
conditions of either the unit regulatory agreement or note.
Receivable Fund Payable Fund Amount
General Fund Housing Authority 2,095,518$
Restricted Capital Project Fund 1,574,342
Other Governmental Funds 228,693
3,898,553$
Receivable Fund Payable Fund Amount
General Fund Other Governmental Funds 810,000$
Desert Willow Golf Course 500,000
Other Governmental Funds Desert Willow Golf Course 2,399,202
3,709,202$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 4: INTERFUND RECEIVABLES, PAYABLE, ADVANCES AND TRANSFERS (CONTINUED)
The General Fund advanced $810,000 to the Energy Independence Special Revenue Fund to payoff the bonds
used to fund energy efficiency, and loaned $500,000 to Desert Willow Golf Course to fund the daily operations,
including the daily operations of the restaurant. The advance to the Energy Independence Special Revenue Fund
is repaid as the Energy Independence Program (EIP) loans are repaid. See Note 3 for more information on these
loans.
The Capital Golf fund advanced $3,627,329 to the Desert Willow Golf Course for the purchases of golf carts totaling
$2,051,890 and golf course equipment totaling $1,575,439. The advance for the golf carts will be repaid over
48 months beginning January 1, 2023 and bears interest at a rate of 2.5%. The advance for the golf course
equipment will be repaid over 60 months beginning November 1, 2022 and bears interest at a rate of 2.5%.
The future payment schedule for these advances are as follows:
C. Due To/From Component Unit
The Palm Desert Recreational Facilities Corporation (the Corporation) owes the General Fund $420,000 in
deferred unpaid rent for various years through FY 2020-2021 associated with the lease between the City and the
Corporation. The Corporation owes the Desert Willow Golf Course Fund $1,437,644 which represents subsidies for
operation, $1,296,724 of which relates to prior fiscal years and $140,040 which relates to the current year. There is
no payment schedule in place for the repayment of these amounts, therefore these transactions have been recorded
as long-term in the accompanying financial statements.
D. Interfund Transfers
The composition of interfund transfers as of June 30, 2024, was as follows:
Fiscal Year
Principal
Payments
Interest
Payments
Total
Payments
2025 800,428$ 50,849$ 851,277$
2026 820,670 30,608 851,278
2027 633,196 10,937 644,133
2028 144,908 756 145,664
Total 2,399,202$ 93,150$ 2,492,352$
Advance to Desert Willow Golf Course Fund
Receivable Fund Payable Fund Amount
General Fund Palm Desert Recreational Facilities Corporation 420,000$
Desert Willow Golf Course Palm Desert Recreational Facilities Corporation 1,437,644
1,857,644$
Transfers Out General Fund
Prop A Fire
Tax Special
Revenue Fund
Other
Governmental
Funds
Internal
Service Fund Totals
General Fund -$ 4,600,000$ 4,607,778$ 272,399$ 9,480,177$
Housing Authority
Special Revenue Fund - - 452,997 - 452,997
Restricted Capital
Project Fund - - 1,800,000 - 1,800,000
Other Governmental Funds 102,701 - 3,199,999 119,788 3,422,488
Parkview Office 294,105 - - - 294,105
Totals 396,806$ 4,600,000$ 10,060,774$ 392,187$ 15,449,767$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 4: INTERFUND RECEIVABLES, PAYABLE, ADVANCES AND TRANSFERS (CONTINUED)
Transfers are used to:
1. Transfer revenues to provide for capital projects.
2. Transfer revenues to provide for additional resources to pay for expenditures.
3. Transfer to cover future cost of assets.
NOTE 5: CAPITAL ASSETS
A summary of changes in capital assets at June 30, 2024, was as follows:
A. Primary Government – Governmental Activities
Balance Balance
July 1, 2023 Additions Deletions June 30, 2024
Governmental activities:
Capital assets, not being depreciated/amortized
Land 82,287,089$ 533,261$ (123,330)$ 82,697,020$
Right-of-way 121,260,045 - - 121,260,045
Construction-in-progress 10,179,700 1,228,864 (189,520) 11,219,044
Total capital assets, not being depreciated/amortized 213,726,834 1,762,125 (312,850) 215,176,109
Capital assets, being depreciated/amortized
Buildings 151,140,855 - - 151,140,855
Improvements other than buildings 63,662,563 - - 63,662,563
Machinery, equipment, and vehicles 11,446,725 25,082 (512,479) 10,959,328
Infrastructure 254,409,656 - - 254,409,656
Lease assets 2,603,284 - - 2,603,284
Subscription assets 543,846 473,763 (204,241) 813,368
Equipment - Internal service fund 8,880,350 1,007,928 (63,373) 9,824,905
Total capital assets, being depreciated/amortized 492,687,279 1,506,773 (780,093) 493,413,959
Less accumulated depreciation/amortization
Buildings (81,621,601) (3,586,447) - (85,208,048)
Improvements other than buildings (50,603,800) (1,894,577) - (52,498,377)
Machinery and equipment (10,516,180) (207,459) - (10,723,639)
Infrastructure (134,534,858) (5,073,845) - (139,608,703)
Lease assets (468,656) (234,738) - (703,394)
Subscription assets (128,714) (300,898) 145,851 (283,761)
Equipment - Internal service fund (6,282,713) (736,211) 63,373 (6,955,551)
Tot al accumulated depreciation/amortization (284,156,522) (12,034,175) 209,224 (295,981,473)
Total capital assets, being depreciated/amortized, net 208,530,757 (10,527,402) (570,869) 197,432,486
Total Governmental Activities Capital Assets 422,257,591$ (8,765,277)$ (883,719)$ 412,608,595$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 5: CAPITAL ASSETS (CONTINUED)
Depreciation/amortization expense was charged to functions/programs as follows:
B. Primary Government – Business-Type Activities
Depreciation/amortization expense was charged to functions/programs as follows:
Governmental Activities:
General government 2,216,673$
Housing and redevelopment 1,600,448
Public safety 189,914
Public works 5,885,715
Parks, recreation and culture 1,405,214
Internal Service Funds 736,211
Total Depreciation/Amortization Expense - Governmental Activities 12,034,176$
Balance Balance
July 1, 2023 Additions Deletions June 30, 2024
Business-type activities:
Capital assets, not being depreciated/amortized
Land 53,304,965$ -$ -$ 53,304,965$
Total capital assets, not being depreciated/amortized 53,304,965 - - 53,304,965
Capital assets, being depreciated/amortized
Buildings and improvements 28,601,893 41,366 - 28,643,259
Machinery and equipment 8,387,811 1,041,418 - 9,429,229
Total capital assets, being depreciated/amortized 36,989,704 1,082,784 - 38,072,488
Less accumulated depreciation/amortization
Buildings and improvements (16,087,016) (844,617) - (16,931,633)
Machinery and equipment (4,648,921) (1,094,478) - (5,743,399)
Total accumulated depreciation/amortization (20,735,937) (1,939,095) - (22,675,032)
Total capital assets, being depreciated/amortized, net 16,253,767 (856,311) - 15,397,456
Total business-type activities capital assets 69,558,732$ (856,311)$ -$ 68,702,421$
Business-Type Activities:
Parkview Office Complex 318,645$
Desert Willow Golf Course 1,620,450
Total depreciation/amortization expense - business-type activit ies 1,939,095$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 5: CAPITAL ASSETS (CONTINUED)
C. Component Unit
NOTE 6: LONG-TERM DEBT
The following is a summary of long-term liability transactions of the City for the year ended June 30, 2024.
A. Primary Government – Governmental Activities
Debt service payments for the special assessment debt with government commitment, tax allocation bonds and
notes payable are made from debt service funds and a special revenue fund.
Special Assessment Debt with Government Commitment
Highlands Undergrounding Assessment District No. 04-01, Limited Obligation Improvement Bonds, Series 2006
On August 8, 2006, the City Palm Desert issued $3,165,000 of Limited Obligation Bonds. The proceeds of the
Bonds were used to finance the construction of the utility undergrounding and pay the cost of issuance. The debt
service on the bonds is to be paid by assessments secured on the property tax rolls of those properties benefiting
from the improvements. In the event that assessment collections are insufficient to pay the debt service, the City
has a potential obligation to provide additional funds to pay the debt service, therefore these bonds are reported as
special assessment debt with government commitment. Bond maturities begin September 2, 2007, and continue
annually through 2036. The interest rates of the bonds range from 3.85% to 5.15%. The City of Palm Desert is the
only bondholder on record of the bonds and the City does not own the constructed assets.
Balance Balance
July 1, 2023 Additions Deletions June 30, 2024
Component Unit:
Capital assets, being amortized
Lease asset 2,636,688$ -$ -$ 2,636,688$
Total capital assets, being amortized 2,636,688 - - 2,636,688
Less accumulated amortization
Lease asset (142,524) (71,262) - (213,786)
Total accumulated amortization (142,524) (71,262) - (213,786)
Total capital assets, being amortized, net 2,494,164 (71,262) - 2,422,902
Total component unit capital assets 2,494,164$ (71,262)$ -$ 2,422,902$
Balance
June 30, 2023 Additions Reductions Bond Calls
Balance
June 30, 2024
Due Within
One Year
Direct Borrowing:
Special assessment debt 1,032,000$ -$ (52,000)$ -$ 980,000$ 55,000$
with government commitment
Limited obligation improvement bonds 126,000 - (26,000) (12,000) 88,000 18,000
Total 1,158,000$ -$ (78,000)$ (12,000)$ 1,068,000$ 73,000$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 6: LONG-TERM DEBT (CONTINUED)
The future debt service requirements on the Highlands Undergrounding Assessment District No. 04-01,
Limited Obligation Improvement Bonds, Series 2006 are as follows:
Limited Obligation Bonds
Limited Obligation Improvement Bonds Series 2009A (Taxable)
On January 29, 2009, the City issued $2,015,000 Limited Obligation Improvement Bonds Series 2009A (Taxable).
The proceeds of the Bonds were used to fund the City’s Energy Independence Program. Concurrent with the
issuance of the Bonds, the City entered into a bond purchase agreement with the Agency whereby the Agency
agreed to purchase the Bonds equal to par value. The bonds bear interest at 3% payable semiannually on
September 2 and March 2. Bond maturities commenced September 2, 2010, and continue annually through
September 2, 2029.
The future debt service requirements on the Limited Obligation Improvement Bonds Series 2009A (Taxable) are as
follows:
Limited Obligation Improvement Bonds Series 2009B (Taxable)
On September 2, 2009, the City issued $1,136,000 Limited Obligation Improvement Bonds Series 2009B (Taxable).
The proceeds of the Bonds were used to fund the City’s Energy Independence Program. Concurrent with the
issuance of the Bonds, the City entered into a bond purchase agreement with the Agency whereby the Agency
agreed to purchase the Bonds equal to par value. The bonds bear interest at 3% payable semiannually on
September 2 and March 2. Bond maturities commenced September 2, 2010, and continue annually through
September 2, 2029.
Year Ending
June 30, Principal Interest Total
2025 55,000$ 48,981$ 103,981$
2026 58,000 46,099 104,099
2027 61,000 43,065 104,065
2028 64,000 39,861 103,861
2029 67,000 36,488 103,488
2030-2034 390,000 125,660 515,660
2035-2038 285,000 22,531 307,531
Total 980,000$ 362,684$ 1,342,684$
Year Ending
June 30, Principal Interest Total
2025 9,000$ 1,410$ 10,410$
2026 7,000 1,140 8,140
2027 7,000 930 7,930
2028 8,000 720 8,720
2029 8,000 480 8,480
2030-2033 8,000 240 8,240
Total 47,000$ 4,920$ 51,920$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 6: LONG-TERM DEBT (CONTINUED)
The future debt service requirements on the Limited Obligation Improvement Bonds Series 2009B (Taxable) are as
follows:
B. Primary Government – Business-Type Activities
The City entered into a 48-month agreement for the purchase of golf cart fleet equipment with Club Car National on
June 12, 2018. Payments are $12,330 monthly commencing on February 1, 2019 and includes interest at 5.75%.
The amount was paid in full as of June 30, 2024.
The City entered into a 48-month agreement for the purchase of golf cart fleet equipment with GPSI Leasing, LLC.
The agreement was amended on December 27, 2018 to extend the payment terms an additional 48 months and
lower the payment to $5,792 beginning on November 1, 2018, including interest at 5.75%. The amount was paid
in full as of June 30, 2024.
The City entered into a 60-month agreement for the purchase of Toro golf course equipment with PNC Equipment
Finance, LLC. Payments are $25,078 monthly commencing on October 1, 2017 and includes interest at 2.95%.
The amount was paid in full as of June 30, 2024.
The City entered into a financed purchase agreement with GPSI Leasing, LLC for the purchase of golf carts. The
financed purchase bears interest at a rate of 5.75%. On December 20, 2022 the finance purchase agreement was
amended to extend additional the term for an 48 months resulting in a revised annual payment of $93,213 beginning
February 1, 2023.
The future debt service requirements on the financed purchases are as follows:
Year Ending
June 30, Principal Interest Total
2025 9,000$ 1,470$ 10,470$
2026 6,000 1,170 7,170
2027 7,000 960 7,960
2028 7,000 720 7,720
2029 7,000 480 7,480
2030-2033 5,000 240 5,240
Total 41,000$ 5,040$ 46,040$
Amount
Balance Balance Due Within
July 1, 2023 Additions Deletions June 30, 2024 One Year
GPSI Leasing, LLC 319,169$ -$ 86,217$ 232,952$ 88,397$
Totals 319,169$ -$ 86,217$ 232,952$ 88,397$
Year Ending
June 30, Principal Interest Total
2025 88,397$ 4,816$ 93,213$
2026 90,632 2,580 93,212
2027 53,923 450 54,373
Total 232,952$ 7,846$ 240,798$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 7: COMPENSATED ABSENCES
The City's policy relating to compensated absences is described in Note 1 of the Notes to Financial Statements.
The City historically allocates costs to liquidate liabilities for compensated absences and pension liability based on
the allocation of the employees earning the respective benefits and their respective payroll expense to various fund
across the City. This liability will be paid in future years from future resources in the internal service fund. The
outstanding liability for compensated absences accrued was $2,672,688.
NOTE 8: LEASES
A. Leases Receivable and Deferred Inflows of Resources
Primary Government – Governmental Activities
On July 1, 2021, the City entered into a 262-month lease as lessor for the Crown Castle Cell Tower - Cook St
at Desert Willow. An initial lease receivable was recorded in the amount of $42,517. As of June 30, 2024, the value
of the lease receivable is $24,729. The lessee is required to make annual fixed payments of $19,243. The lease
has an interest rate of 1.5830%. The value of the deferred inflow of resources as of June 30, 2024 was $36,677,
and the City recognized lease revenue of $1,947 during the fiscal year. The lessee has 2 extension options, each
for 120 months.
On July 1, 2021, the City entered into a 60-month lease as lessor for the use of Soccer Park. An initial lease
receivable was recorded in the amount of $135,241. As of June 30, 2024, the value of the lease receivable is
$54,281. The lessee is required to make annual fixed payments of $27,376. The lease has an interest rate of
0.5770%. The value of the deferred inflow of resources as of June 30, 2024 was $54,900, and the City recognized
lease revenue of $26,780 during the fiscal year.
On July 1, 2021, the City entered into a 136-month lease as lessor for the use of Civic Center Cell Tower. An initial
lease receivable was recorded in the amount of $415,792. As of June 30, 2024, the value of the lease receivable
is $324,792. The lessee is required to make monthly fixed payments of $2,838. The lease has an interest rate of
1.2540%. The value of the deferred inflow of resources as of June 30, 2024 was $305,729, and the City recognized
lease revenue of $36,688 during the fiscal year. The lessee has 2 extension options, each for 60 months.
On July 1, 2021, the City entered into a 66-month lease as lessor for the use of the Vineyards Commercial Center.
An initial lease receivable was recorded in the amount of $332,786. As of June 30, 2024, the value of the lease
receivable is $139,272. The lessee is required to make annual fixed payments of $64,542. The lease has an interest
rate of 0.7030%. The value of the deferred inflow of resources as of June 30, 2024 was $151,266, and the City
recognized lease revenue of $60,507 during the fiscal year.
On July 1, 2021, the City entered into a 444-month lease as lessor for the use of the restaurant at the Desert Willow
Golf Course Clubhouse from the Corporation. An initial lease receivable was recorded in the amount of $2,636,688.
As of June 30, 2024, the value of the lease receivable is $2,475,748. The Corporation is required to make monthly
fixed payments of $8,000. The lease has an interest rate of 1.7050%. The value of the deferred inflow of resources
as of June 30, 2024 was $2,422,902, and the City recognized lease revenue of $71,261 during the fiscal year.
Balance Balance Due Within
June 30, 2023 Additions Deletions June 30, 2024 One Year
2,601,028$ 283,100$ 211,441$ 2,672,687$ 500,000$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 8: LEASES (CONTINUED)
The principal and interest payments that are expected to maturity are as follows:
Primary Government – Business-Type Activities
On January 3, 2023, the City entered into a 24-month lease as lessor for the use of Parkview Office Complex,
Ste 129. An initial lease receivable was recorded in the amount of $40,498. As of June 30, 2024, the value of the
lease receivable is $10,464. The lessee is required to make monthly fixed payments of $1,706. The lease has an
interest rate of 2.707%. The value of the deferred inflow of resources as of June 30, 2024 was $10,237, and the
City recognized lease revenue of $20,249 during the fiscal year. The lessee has 5 extension options, each for
12 months.
On May 1, 2023, the City entered into a 60-month lease as lessor for the use of Parkview Office Complex, Ste 126.
An initial lease receivable was recorded in the amount of $103,212. As of June 30, 2024, the value of the lease
receivable is $81,395. The lessee is required to make monthly fixed payments of $1,716. The lease has an interest
rate of 2.31%. The value of the deferred inflow of resources as of June 30, 2024 was $79,130, and the City
recognized lease revenue of $20,642 during the fiscal year. The lessee has 5 extension options, each for 12 months.
On December 1, 2022, the City entered into a 60-month lease as lessor for the use of Parkview Office Complex,
Ste 120. An initial lease receivable was recorded in the amount of $143,073. As of June 30, 2024, the value of the
lease receivable is $102,340. The lessee is required to make monthly fixed payments of $2,438. The lease has
an interest rate of 3.305%. The value of the deferred inflow of resources as of June 30, 2024 was $97,767, and the
City recognized lease revenue of $28,615 during the fiscal year. The lessee has 5 extension options, each for
12 months.
On December 1, 2022, the City entered into a 24-month lease as lessor for the use of Parkview Office
Complex, Suites 108, 100, 116, and 220. An initial lease receivable was recorded in the amount of $172,400. As
of June 30, 2024, the value of the lease receivable is $37,287. The lessee is required to make monthly fixed
payments of $7,298. The lease has an interest rate of 3.207%. The value of the deferred inflow of resources as of
June 30, 2024 was $35,917, and the City recognized lease revenue of $86,200 during the fiscal year. The lessee
has 1 extension options, for 12 months.
On December 1, 2022, the City entered into a 24-month lease as lessor for the use of Parkview Office Complex
Ste 103. An initial lease receivable was recorded in the amount of $24,118. As of June 30, 2024, the value of the
lease receivable is $4,612. The lessee is required to make monthly fixed payments of $903. The lease has an
interest rate of 3.2070%. The value of the deferred inflow of resources as of June 30, 2024 was $4,202, and the
City recognized lease revenue of $10,085 during the fiscal year. The lessee has 2 extension options, each for
12 months.
Fiscal Year Principal Payments Interest Payments Total Payments
2025 182,375$ 47,358$ 229,733$
2026 187,203 45,373 232,576
2027 91,761 43,336 135,097
2028 94,353 41,916 136,269
2029 97,017 40,460 137,477
2030 - 2034 476,374 179,415 655,789
2035 - 2039 332,641 147,359 480,000
2040 - 2044 362,221 117,779 480,000
2045 - 2049 394,430 85,570 480,000
2050 - 2054 429,504 50,496 480,000
2055 - 2058 370,943 13,056 383,999
Total 3,018,822$ 812,118$ 3,830,940$
Governmental Activities
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 8: LEASES (CONTINUED)
On July 1, 2021, the City entered into a 48-month lease as lessor for the use of 73-720 Fred Waring Dr. An initial
lease receivable was recorded in the amount of $400,629. As of June 30, 2024, the value of the lease receivable
is $109,165. The lessee is required to make monthly fixed payments of $8,139. The lease has an interest rate of
0.5770%. The value of the deferred inflow of resources as of June 30, 2024 was $100,157, and the City recognized
lease revenue of $100,157 during the fiscal year.
On January 1, 2023, the City entered into a 24 month lease as Lessor for the use of 73-720 Fred Waring Drive,
Suite 100 - SWRCB. An initial lease receivable was recorded in the amount of $658,251. As of June 30, 2024, the
value of the lease receivable is $167,691 and the value of the short-term lease receivable is $167,691. The lessee
is required to make monthly fixed payments of $28,181. The lease has an interest rate of 2.8470%. The Buildings
estimated useful life was 0 months as of the contract commencement. The value of the deferred inflow of resources
as of June 30, 2024 was $164,563, and the City recognized lease revenue of $329,126 during the fiscal year.
On July 1, 2021, the City entered into a 132-month lease as lessor for the use of Parkview Suite 112. An initial
lease receivable was recorded in the amount of $223,707. As of June 30, 2024, the value of the lease receivable
is $175,707. The lessee is required to make monthly fixed payments of $1,823. The lease has an interest rate of
2.927%. The value of the deferred inflow of resources as of June 30, 2024 was $162,696, and the City recognized
lease revenue of $20,337 during the fiscal year.
On July 1, 2021, the City entered into a 63-month lease as lessor for the use of Parkview Ste 102. An initial lease
receivable was recorded in the amount of $131,906. As of June 30, 2024, the value of the lease receivable is
$65,932. The lessee is required to make monthly fixed payments of $2,458. The lease has an interest rate of
0.5770%. The value of the deferred inflow of resources as of June 30, 2024 was $65,483, and the City recognized
lease revenue of $28,109 during the fiscal year. The lessee has 3 extension options, each for 12 months.
On January 1, 2022, the City entered into a 120-month lease as lessor for the use of Civic Center Sheriff Substation.
An initial lease receivable was recorded in the amount of $4,710,493. As of June 30, 2024, the value of the lease
receivable is $3,581,915. The lessee is required to make monthly fixed payments of $41,645. The lease has an
interest rate of 1.2050%. The value of the deferred inflow of resources as of June 30, 2024 was $3,532,870,
and the City recognized lease revenue of $471,049 during the fiscal year. The lessee has 1 extension option for
60 months.
On October 1, 2023, the City entered into a 96 month lease as Lessor for the use of Parkview Ste 212 - Dept of
Food and Agriculture. An initial lease receivable was recorded in the amount of $200,081. As of June 30, 2024,
the value of the lease receivable is $185,274. The lessee is required to make monthly fixed payments of $2,178.
The lease has an interest rate of 3.7390%. The Buildings estimated useful life was 0 months as of the contract
commencement. The value of the deferred inflow of resources as of June 30, 2024 was $181,324, and the City
recognized lease revenue of $18,758 during the fiscal year. The lessee had a termination period of 48 months as
of the lease commencement.
On October 1, 2023, the City entered into a 96 month lease as Lessor for the use of Parkview Ste 201 - Dept of
Food and Agriculture . An initial lease receivable was recorded in the amount of $159,420. As of June 30, 2024,
the value of the lease receivable is $147,622. The lessee is required to make monthly fixed payments of $1,736.
The lease has an interest rate of 3.7390%. The Buildings estimated useful life was 0 months as of the contract
commencement. The value of the deferred inflow of resources as of June 30, 2024 was $144,475, and the City
recognized lease revenue of $14,946 during the fiscal year.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 8: LEASES (CONTINUED)
The principal and interest payments that are expected to maturity are as follows:
B. Leases Payable and Lease Assets
Primary Government – Governmental Activities
On July 1, 2021, the City entered into a 51-month lease as lessee for the use of Xerox Financial Services. An initial
lease liability was recorded in the amount of $125,262. As of June 30, 2024, the value of the lease liability is $39,528.
The City is required to make monthly fixed payments of $2,646. The lease has an interest rate of 0.6320%. The
value of the lease asset as of June 30, 2024 of $125,262 with accumulated amortization of $88,420 is included with
equipment on the lease class activities table found below.
On July 1, 2021, the City entered into a 145-month lease as lessee for the use of 37023 Cook Street. An initial lease
liability was recorded in the amount of $2,468,060. As of June 30, 2024, the value of the lease liability is $1,934,285.
The City is required to make monthly fixed payments of $16,621. The lease has an interest rate of 1.2540%. The
value of the lease asset as of June 30, 2024 of $2,468,060 with accumulated amortization of $609,816 is included
with buildings on the lease class activities table found below. The City has one extension options for 84 months.
On November 29, 2021, the City entered into a 60-month lease as lessee for the use of Xerox Financial Services.
An initial lease liability was recorded in the amount of $9,962. As of June 30, 2024, the value of the lease liability is
$4,860. The City is required to make monthly fixed payments of $178. The lease has an interest rate of 2.1840%.
The value of the lease asset as of June 30, 2024 of $9,962 with accumulated amortization of $5,158 is included
with equipment on the lease class activities table found below.
The principal and interest payments that are expected to maturity are as follows:
Fiscal Year Principal Payments Interest Payments Total Payments
2025 919,097$ 64,473$ 983,569$
2026 601,955 53,239 655,195
2027 593,400 43,907 637,307
2028 574,804 34,552 609,356
2029 553,019 26,086 579,105
2030 - 2034 1,427,129 28,158 1,455,286
Total 4,669,404$ 250,415$ 4,919,818$
Business-Type Activities
Lease liability
Balance
June 30,
2023 Additions Reductions
Balance
June 30,
2024
Due
Within
One Year
2,197,126$ -$ (218,453)$ 1,978,673$ 227,383$
Fiscal Year Principal Payments Interest Payments Total Payments
2025 227,383$ 23,394$ 250,777$
2026 212,749 20,718 233,467
2027 207,088 18,104 225,192
2028 208,982 15,498 224,480
2029 211,618 12,862 224,480
2030 - 2034 910,853 24,479 935,332
Total 1,978,673$ 115,055$ 2,093,728$
Governmental Activities
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 8: LEASES (CONTINUED)
Lease assets by class activity at June 30, 2024 are as follows:
Component Unit
On July 1, 2021, the Corporation entered into a 444-month lease as lessee for the use of the restaurant at the
Desert Willow Golf Course Clubhouse from the City. An initial lease liability was recorded in the amount of
$2,636,688. As of June 30, 2024, the value of the lease liability is $2,475,747. The Corporation is required to make
monthly fixed payments of $8,000. The lease has an interest rate of 1.705%. The value of the lease asset as of
June 30, 2024 of $2,636,688 with accumulated amortization of $213,786 is included with buildings on the lease
class activities table found below.
The principal and interest payments that are expected to maturity are as follows:
Lease assets by class activity at June 30, 2024 are as follows:
Amount of
Leased Capital
Assets
Accumulated
Amortization
Lease assets - building 2,468,060$ 609,816$
Lease assets - equipment 135,224 93,578
2,603,284$ 703,394$
Lease Type
Equipment
Building
Major Class of Underlying Asset
Lease liability
Balance
June 30,
2023 Additions Reductions
Balance
June 30,
2024
Due
Within
One Year
2,529,042$ -$ (53,295)$ 2,475,747$ 54,211$
Fiscal Year Principal Payments Interest Payments Total Payments
2025 54,211$ 41,789$ 96,000$
2026 55,142 40,858 96,000
2027 56,090 39,910 96,000
2028 57,054 38,946 96,000
2029 58,034 37,966 96,000
2030 - 2034 305,477 174,523 480,000
2035 - 2039 332,641 147,359 480,000
2040 - 2044 362,221 117,779 480,000
2045 - 2049 394,430 85,570 480,000
2050 - 2054 429,504 50,496 480,000
2055 - 2058 370,943 13,056 383,999
Total 2,475,747$ 788,252$ 3,263,999$
Component Unit
Amount of
Leased Capital
Assets
Accumulated
Amortization
Lease assets - building 2,636,688$ 213,786$
2,636,688$ 213,786$
Lease Type Major Class of Underlying Asset
Building
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 9: SUBSCRIPTIONS
As of June 30, 2024, the City had 10 active subscriptions. The subscriptions have payments that range from $7,850
to $79,805 and interest rates that range from 2.0240% to 3.7640%. As of June 30, 2024 the total combined value
of the subscription liability is $278,662, and the total combined value of the short-term subscription liability is
$135,216. The combined value of the right to use asset, as of June 30, 2024 of $813,368 with accumulated
amortization of $283,761 is included within the Subscription Class activities table found below. The subscriptions
had $0 of Variable Payments and $0 of Other Payments, not included in the Subscription Liability, within the Fiscal
Year.
The principal and interest payments that are expected to maturity are as follows:
Subscription assets include the following at June 30, 2024:
NOTE 10: RISK MANAGEMENT AND CLAIMS PAYABLE
A. Description of Self-Insurance Pool Pursuant to Joint Power Agreement
The City of Palm Desert is a member of the CALIFORNIA JOINT POWERS INSURANCE AUTHORITY (Authority).
The Authority is composed of 126 California public entities and is organized under a joint powers agreement
pursuant to California Government Code §6500 et seq. The purpose of the Authority is to arrange and administer
programs for the pooling of self-insured losses, to purchase excess insurance or reinsurance, and to arrange for
group purchased insurance for property and other lines of coverage. The California JPIA began covering claims of
its members in 1978. Each member government has an elected official as its representative on the Board of
Directors. The Board operates through a nine-member Executive Committee.
B. Primary Self-Insurance Programs of the Authority
Each member pays an annual contribution at the beginning of the coverage period. The total funding requirement
for primary self-insurance programs is based on an actuarial analysis. Costs are allocated to individual agencies
based on payroll and claims history, relative to other members of the risk-sharing pool.
Subscription liability
Balance
June 30, 2023 Additions Reductions
Balance
June 30,
2024
Due
Within
One Year
399,583$ 302,378$ (423,299)$ 278,662$ 135,216$
Fiscal Year Principal Payments Interest Payments Total Payments
2025 135,216$ 8,923$ 144,139$
2026 113,260 4,541 117,801
2027 30,186 810 30,996
Total 278,662$ 14,274$ 292,936$
Governmental Activities
Amount of
Subscription
Assets
Accumulated
Amortization
Subscription assets - software 813,368$ 283,761$
Major Class of Underlying Asset
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 10: RISK MANAGEMENT AND CLAIMS PAYABLE (CONTINUED)
C. Primary Liability Program
Claims are pooled separately between police and general government exposures. (1) The payroll of each member
is evaluated relative to the payroll of other members. A variable credibility factor is determined for each member,
which establishes the weight applied to payroll and the weight applied to losses within the formula. (2) The first
layer of losses includes incurred costs up to $100,000 for each occurrence and is evaluated as a percentage of the
pool’s total incurred costs within the first layer. (3) The second layer of losses includes incurred costs from $100,000
to $500,000 for each occurrence and is evaluated as a percentage of the pool’s total incurred costs within the
second layer. (4) Incurred costs from $500,000 to $50 million, are distributed based on the outcome of cost
allocation within the first and second loss layers.
The overall coverage limit for each member, including all layers of coverage, is $50 million per occurrence.
Subsidence losses also have a $50 million per occurrence limit. The coverage structure is composed of a
combination of pooled self-insurance, reinsurance, and excess insurance. Additional information concerning the
coverage structure is available on the Authority’s website: https://cjpia.org/coverage/risk-sharing-pools/.
D. Primary Workers' Compensation Program
Claims are pooled separately between public safety (police and fire) and general government exposures.
(1) The payroll of each member is evaluated relative to the payroll of other members. A variable credibility factor is
determined for each member, which establishes the weight applied to payroll and the weight applied to losses within
the formula. (2) The first layer of losses includes incurred costs up to $75,000 for each occurrence and is evaluated
as a percentage of the pool’s total incurred costs within the first layer. (3) The second layer of losses includes
incurred costs from $75,000 to $200,000 for each occurrence and is evaluated as a percentage of the pool’s total
incurred costs within the second layer. (4) Incurred costs from $200,000 to statutory limits are distributed based on
the outcome of cost allocation within the first and second loss layers.
For 2023-24 the Authority’s pooled retention is $1 million per occurrence, with reinsurance to statutory limits under
California Workers’ Compensation Law. Employer’s Liability losses are pooled among members to $1 million.
Coverage from $1 million to $5 million is purchased through reinsurance policies, and Employer’s Liability losses
from $5 million to $10 million are pooled among members.
E. Pollution Legal Liability Insurance
The City of Palm Desert participates in the pollution legal liability insurance program which is available through the
Authority. The policy covers sudden and gradual pollution of scheduled property, streets, and storm drains owned
by the City of Palm Desert. Coverage is on a claims-made basis. There is a $250,000 deductible. The Authority has
an aggregate limit of $20 million.
F. Property Insurance
The City of Palm Desert participates in the all-risk property protection program of the Authority. This
insurance protection is underwritten by several insurance companies. City of Palm Desert property is
currently insured according to a schedule of covered property submitted by the City of Palm Desert to the Authority.
City of Palm Desert property currently has all-risk property insurance protection in the amount of $395,707,820.
There is a $10,000 deductible per occurrence except for non-emergency vehicle insurance which has a $2,500
deductible.
G. Crime Insurance
The City of Palm Desert purchases crime insurance coverage in the amount of $10,000,000 with a $2,500
deductible. The fidelity coverage is provided through the Authority.
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 10: RISK MANAGEMENT AND CLAIMS PAYABLE (CONTINUED)
H. Special Event Tenant User Liability Insurance
The City or Palm Desert further protects against liability damages by requiring tenant users of certain property to
purchase low-cost tenant user liability insurance for certain activities on agency property. The insurance premium
is paid by the tenant user and is paid to the City of Palm Desert according to a schedule. The City of Palm Desert
then pays for the insurance. The insurance is facilitated by the Authority.
I. Adequacy of Protection
During the past three fiscal years, none of the above programs of protection experienced settlements or judgments
that exceeded pooled or insured coverage. There were no significant reductions in pooled or insured liability
coverage in the fiscal year 2023-24.
NOTE 10: RISK MANAGEMENT AND CLAIMS PAYABLE (CONTINUED)
J. Claims Payable
Estimates for all workers’ compensation and general liabilities up to the self-insured levels have been recorded as
long-term liabilities.
Changes in claims liabilities during the past two years are as follows:
NOTE 11: DEFERRED COMPENSATION PLAN
The City offers its employees a deferred compensation plan created in accordance with Internal Revenue
Code Section 457. The plan, available to all City employees, permits them to defer a portion of their salary until
future years.
The deferred compensation is not available to employees until termination, retirement, death or unforeseeable
emergency. Pursuant to changes in August 1996, of IRC Section 457, in January 1997, the City established a trust
in which all assets held by Nationwide Retirement Solutions, Inc. (NRS) and ICMA Retirement Corporation (ICMA)
were placed. In June 2023, the City transitioned all 457 accounts from Nationwide and ICMA to Empower. The City
does not have fiduciary responsibility for the plan assets held by NRS, ICMA, or Empower. The assets, all property
and rights purchased with such amounts and all income attributable to such amounts are held in trust for the
exclusive benefit of the participants and the beneficiaries. The assets are no longer the property of the City, and as
such, are no longer subject to the claims of the City’s general creditors. As a result, the assets of the 457 plan in
the amount of $15,873,542 held by NRS, ICMA, and Empower of the 457 Plan are not reflected in the City’s financial
statements.
June 30, 2023 June 30, 2024
Claims payable - Beginning of year 564,473$ 679,881$
Incurred claims (including IBNR) and changes in estimates 299,985 3,987,107
Claims payments (184,577) (991,648)
Claims payable - End of year 679,881$ 3,675,340$
Claims payable - due in one year 224,361$ 1,212,864$
Claims payable - due in more than one year 455,520 2,462,476
679,881$ 3,675,340$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 12: PENSION PLAN
A. General Information about the Pension Plan:
Plan Description
All qualified permanent and probationary employees are eligible to participate in the City’s Miscellaneous Plan,
agent multiple-employer defined benefit pension plans administered by the California Public Employees’ Retirement
System (CalPERS), which acts as a common investment and administrative agent for its participating member
employers. Benefit provisions under the Plan are established by State statute and City resolution. CalPERS issues
publicly available reports that include a full description of the pension plan regarding benefit provisions, assumptions
and membership information that can be found on the CalPERS website.
Benefits Provided
CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits
to plan members, who must be public employees and beneficiaries. Benefits are based on years of credited service,
equal to one year of full-time employment. Members with five years of total service are eligible to retire at age 50
with statutorily reduced benefits. All members are eligible for non-duty disability benefits after 10 years of service.
The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the
Optional Settlement 2W Death Benefit. The cost of living adjustments for the plan are applied as specified by the
Public Employees’ Retirement Law.
The Plan’s provisions and benefits in effect at measurement date, are summarized as follows:
Employees Covered
At June 30, 2023, the following employees were covered by the benefit terms for all Plans:
Contributions
Section 20814(c) of the California Public Employees’ Retirement Law requires that the employer contribution rates
for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1
following notice of a change in the rate. Funding contributions for both Plans are determined annually on an actuarial
basis as of June 30 by CalPERS. The actuarially determined rate is the estimated amount necessary to finance the
costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued
liability. The City is required to contribute the difference between the actuarially determined rate and the contribution
rate of employees.
Prior to On or after
Hire date January 1, 2013 January 1, 2013
Benefit formula 2.7% @ 55 2.0% @ 62
Benefit vesting schedule 5 years of service 5 years of service
Benefit payments monthly for life monthly for life
Retirement age 50-67 52-67
Monthly benefits, as a % of eligible compensation 2.0% - 2.7% 1.0% - 2.5%
Required employee contribution rates 7%-8%7.75%
Required employer contribution rates 13.20%13.20%
Miscellaneous
Inactive employees or beneficiaries currently receiving benefit s196
Inactive employees entitled to but not yet receiving benefits 97
Active employees 128
Total 421
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 12: PENSION PLAN (CONTINUED)
B. Net Pension Liability
The City’s net pension liability for the Plan is measured as the total pension liability, less the pension plan’s fiduciary
net position. The net pension liability of Plan is measured as of June 30, 2023, using an annual actuarial valuation
as of June 30, 2022 rolled forward to June 30, 2023 using standard update procedures. A summary of principal
assumptions and methods used to determine the net pension liability is shown below.
Actuarial Assumptions
The total pension liabilities in the June 30, 2023 actuarial valuations were determined using the following actuarial
assumptions:
*The mortality table used was developed based on CalPERS-specific data. The table includes 15 years of mortality
improvements using the Society of Actuaries Scale 90% of scale MP 2016. For more details on this table, please
refer to the December 2017 experience study report (based on CalPERS demographic data from 1997 to 2015)
that can be found on the CalPERS website.
Discount Rate
The discount rate used to measure the total pension liability was 6.90% for the Plan. To determine whether the
municipal bond rate should be used in the calculation of a discount rate for the plan, CalPERS stress tested plans
that would most likely result in a discount rate that would be different from the actuarially assumed discount rate.
Based on the testing of the Plans, the tests revealed the assets would not run out. Therefore, the current 6.90%
discount rate is appropriate and the use of the municipal bond rate calculation is not deemed necessary. The
long-term expected discount rate of 6.90% is applied to all plans in the Public Employees Retirement Fund (PERF).
The stress test results are presented in a detailed report called “GASB Crossover Testing Report” that can be
obtained from the CalPERS website under the GASB 68 section.
The long-term expected rate of return on pension plan investments was determined using a building-block method
in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan
investment expense and inflation) are developed for each major asset class.
In determining the long-term expected rate of return, CalPERS took into account both short-term and long-term
market return expectations as well as the expected pension fund cash flows. Such cash flows were developed
assuming that both members and employers will make their required contributions on time and as scheduled in all
future years. Using historical returns of all the funds’ asset classes, expected compound (geometric) returns were
calculated over the short-term (first 10 years) and the long-term (11-60 years) using a building-block approach.
Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated
for each fund. The expected rate of return was set by calculating the single equivalent expected return that arrived
at the same present value of benefits for cash flows as the one calculated using both short-term and long-term
returns. The expected rate of return was then set equivalent to the single equivalent rate calculated above and
rounded down to the nearest one quarter of one percent.
Valuation date June 30, 2022
Measurement date June 30, 2023
Actuarial cost method Entry age normal
Actuarial assumptions:
Discount rate 6.90%
Inflation 2.50%
Payroll Growth 2.75%
Projected Salary Increase Varies by Entry
Investment Rate of Return 7.0% Net of Pension Plan Investment and
Administrative Expenses; includes Inflation
Mortality rate table * Derived using CalPERS' membership data for all funds
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 12: PENSION PLAN (CONTINUED)
The table below reflects the long-term expected real rate of return by asset class. The rate of return was calculated
using the capital market assumptions applied to determine the discount rate and asset allocation. The target
allocation shown was adopted by the CalPERS Board effective on July 1, 2014.
C. Changes in the Net Pension Liability
The changes in the net pension liability for the year ended June 30, 2024, with a measurement date of
June 30, 2023, for the Miscellaneous Plan are as follows:
Assumed
Asset
Asset Class Allocation Real Return
1, 2
Global equity-cap-weighted 30.00%4.54%
Global equity-non-cap-weighted 12.00%3.84%
Private equity 13.00%7.28%
Treasury 5.00%0.27%
Mortgage-backed securities 5.00%0.50%
Investment grade corporates 10.00%1.56%
High yield 5.00%2.27%
Emerging market debt 5.00%2.48%
Private debt 5.00%3.57%
Real assets 15.00%3.21%
Leverage -5.00% -0.59%
1 An expected inflation of 2.30% used for this period.
2 Figures are based on the 2021 Asset Liability Management study
Total Pension
Liability
Plan Fiduciary
Net Position
Net Pension
Liability (Asset)
Balance at June 30, 2022 (Measurement Date) 153,948,561$ 115,266,742$ 38,681,819$
Changes in the Year:
Service Cost 2,235,788 - 2,235,788
Interest on the Total Pension Liability 10,733,434 - 10,733,434
Difference between Expected and Actual Experience 4,624,824 - 4,624,824
Changes of Benefit Terms 105,799 - 105,799
Contributions - Employer - 4,539,654 (4,539,654)
Contributions - Employees - 868,122 (868,122)
Net Investment Income - 7,061,290 (7,061,290)
Benefit Payments including Refunds of Employee (8,480,159) (8,480,159) -
Administrative expense - (84,762) 84,762
Net Changes 9,219,686 3,904,145 5,315,541
Balance at June 30, 2023 (Measurement Date) 163,168,247$ 119,170,887$ 43,997,360$
Increase (Decrease)
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 12: PENSION PLAN (CONTINUED)
Sensitivity of the Net Pension Liability to Changes in the Discount Rate
The following presents the net pension liability of the City for the Plan, calculated using the discount rate for the
Plan, as well as what the City’s net pension liability would be if it were calculated using a discount rate that is
1-percentage point lower or 1-percentage point higher than the current rate:
Pension Plan Fiduciary Net Position
Detailed information about the pension plan’s fiduciary net position is available in the separately issued CalPERS
financial reports.
D. Pension Expense and Deferred Outflows/Inflows of Resources Related to Pensions
For the year ended June 30, 2024, the City recognized pension expense of $7,846,692. At June 30, 2024, the City
reported deferred outflows of resources and deferred inflows of resources related to pensions from the following
sources:
$4,669,126 reported as deferred outflows of resources related to contributions subsequent to the measurement
date will be recognized as a reduction of the net pension liability in the year ending June 30, 2025. Other amounts
reported as deferred inflows of resources related to pensions will be recognized as pension expense as follows:
Discount Rate Current Discount Rate
-1 Percent Discount Rate +1 Percent
(5.90%) (6.90%) (7.90%)
Plan's net pension liability/(asset) 65,048,416$ 43,997,360$ 26,543,957$
Deferred Outflows Deferred Inflows
of Resources of Resources
Pension contributions subsequent to the measurement date 4,669,126$ -$
Change in assumptions 1,218,481 -
Differences between expected and actual experience 3,083,216 664,691
Net difference between projected and actual earnings on
pension plan investments 5,426,297 -
Total 14,397,120$ 664,691$
Deferred
Outflows/(Inflows)
Fiscal year ended June 30,of Resources
2025 3,033,435$
2026 2,054,820
2027 3,818,537
2028 156,511
Total 9,063,303$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 13: OTHER POST-EMPLOYMENT BENEFITS
A. Plan Description
In addition to the pension benefits described in Note 11, the City provides other post-employment benefits (OPEB)
through the California Employers’ Retiree Benefit Trust Fund (CERBT), an agent multiple-employer defined benefit
healthcare plan administered by the California Public Employees’ Retirement System (CalPERS).
All full-time or part-time employees who meet the eligibility requirements for this program may continue their
medical coverage through the CalPERS Health Plan and receive reimbursement from the City for a portion
of the costs for the coverage. Separate financial statements for the CERBT may be obtained by writing to
CalPERS at Lincoln Plaza North, 400 Q Street, Sacramento, California 95811, or by visiting the CalPERS website
at www.calpers.ca.gov.
Employees Hired Prior to January 1, 2008
Eligibility for the stipend requires retirement simultaneously from the City and CalPERS on or after age 50 with at
least 10 consecutive years of service with the City. Eligible employees must be covered under the CalPERS Health
Plan at the time of retirement and elect to participate in the stipend program within 30 days of retirement.
The City’s contribution towards the coverage is based on years of service as follows:
Employees Hired On or After January 1, 2008
Eligibility for the stipend requires retirement simultaneously from the City and CalPERS on or after age 50 with at
least 15 consecutive years of service with the City. Eligible employees must be covered under the CalPERS Health
Plan at the time of retirement and elect to participate in the stipend program within 30 days of retirement. The
stipend is discontinued when the retiree reaches Medicare eligibility age. The City’s contribution towards the
coverage will be applied to the lowest cost plan and is based on age at retirement and consecutive years of service
with the City as outlined in the following table:
Employees with at least 5 years of service, not meeting the eligibility requirements for the stipend program, who
retire simultaneously from the City and CalPERS are eligible to continue medical coverage through the CalPERS
Health Plan. The City is required to pay the CalPERS minimum employer contribution ($151 in 2023 and $157 in
2024) for these employees.
Consecutive Years of Service City's Contribution
With the City at Retirement Percentage
10 years of service 50%
11 years of service 55%
12 years of service 60%
13 years of service 65%
14 years of service 70%
15 or more years of service 75%
Age 1516171819202122232425+
50 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
51 10% 15% 20% 25% 30% 35% 40% 45% 50% 50% 50%
52 20% 25% 30% 35% 40% 45% 50% 50% 50% 50% 50%
53 30% 35% 40% 45% 50% 50% 50% 50% 50% 50% 50%
54 40% 45% 50% 50% 50% 50% 50% 50% 50% 50% 50%
55+ 50% 50% 50% 50% 50% 50% 50% 50% 50% 50% 50%
Consecutive Years of Service at Retirement
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 13: OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
Employees Hired On or After January 1, 2015
Employees are not eligible for either of the defined retiree health benefits plan but are instead enrolled in the City’s
ICMA Retirement Health Savings Account. Employees have a mandatory 1% contribution to the Retirement Health
Savings Plan and the City matches the 1% contribution. In addition, an employee can participate in the ICMA 401A
Governmental Money Purchase Plan with a maximum pre-tax dollar contribution of 10%, with the City maximum
match of 2%.
As of June 30, 2023, the date of the most recent actuarial valuation, the City's plan has 128 active employees.
Employees Covered - Plan membership, at June 30, 2023 valuation date, membership consisted of the following:
B. City Contributions to the Plan
City contributions to the Plan occur as benefits are paid to retirees and/or to the OPEB trust.
C. Net OPEB Liability/(Asset)
The City’s Net OPEB Liability/(Asset) was measured as of June 30, 2023 and the Total OPEB Liability used to
calculate the Net OPEB Liability/(Asset) was determined by an actuarial valuation as of June 30, 2023.
Actuarial assumptions. The total OPEB liability was determined using the following actuarial assumptions, applied
to all periods included in the measurement, unless otherwise specified:
D. Discount Rate
GASB 75 requires a discount rate that reflects the following:
a) The long-term expected rate of return on OPEB plan investments – to the extent that the OPEB plan’s fiduciary
net position (if any) is projected to be sufficient to make projected benefit payments and assets are expected to
be invested using a strategy to achieve that return;
b) A yield or index rate for 20-year, tax-exempt general obligation municipal bonds with an average rating of AA/Aa
or higher – to the extent that the conditions in (a) are not met.
Inactive plan members or beneficiaries 94
Active plan members 128
Total 222
Inflation 2.50%
Salary Increase 3.00% per annum
Assumed Wage Inflation 3.00% per annum
Investment Rate of Return 5.50% per annum
Healthcare cost-trend rates Assumed to start at 6.5% and grade down by 0.5% each year to 3.9% in 2075.
Retirement Age The City offers the same plans to its retirees as to its active employees,
with the general exception that upon reaching age 65 and becoming eligible
for Medicare, the retiree must join one of the Medicare Supplement
coverages offered under PEMHCA.
Mortality Mortality rates used were those published by CalPERS under the
2021 Experience study and projected using the MacLeod Watts
Scale 2022 applied generationally.
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 13: OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
E. Changes in the Net OPEB Liability/(Asset)
The changes in the net OPEB liability/(asset) for the Plan are as follows:
F. Sensitivity of the Total OPEB Liability and Net OPEB Liability/(Asset) to Changes in the Discount Rate
The following presents the total OPEB liability and net OPEB liability/(asset), as well as what the total OPEB liability
and net OPEB liability/(asset) would be if they were calculated using a discount rate that is 1-percentage point lower
(5.50 percent) or 1-percentage-point higher (6.50 percent) than the current discount rate:
G. Sensitivity of the Total OPEB Liability and Net OPEB Liability/(Asset) to Changes in the Health Care
Cost Trend Rates
The following presents the total OPEB liability and net OPEB liability/(asset), as well as what the total
OPEB liability and net OPEB liability/(asset) would be if they were calculated using healthcare cost trend rates that
are 1-percentage-point lower (5.70 percent decreasing to 4.70 percent) or 1-percentage-point higher
(5.70 percent increasing to 6.70 percent) than the current healthcare cost trend rates:
Total OPEB
Liability
Plan Fiduciary
Net Position
Net OPEB
Liability (Asset)
Balance at June 30, 2022 (Measurement Date) 21,875,949$ 21,020,110$ 855,839$
Changes in the Year:
Service Cost 357,354 - 357,354
Interest on the Total OPEB Liability 1,193,064 - 1,193,064
Changes in Assumptions 170 - 170
Contributions - Employer - 1,108,988 (1,108,988)
Net Investment Income - 748,799 (748,799)
Benefit Payments (1,082,459) (1,082,459) -
Difference between expected and actual experience 1,327,257 - 1,327,257
Administrative Expenses - (6,023) 6,023
Net Changes 1,795,386 769,305 1,026,081
Balance at June 30, 2022 (Measurement Date) 23,671,335$ 21,789,415$ 1,881,920$
Increase (Decrease)
Discount Rate Current Discount Rate
-1 Percent Discount Rate +1 Percent
(4.50%) (5.50%) (6.50%)
Net OPEB liability/(asset) 4,741,984$ 1,881,920$ (509,730)$
1% Decrease Trend Rate 1% Increase
Net OPEB liability/(asset)(663,004)$ 1,881,920$ 4,940,803$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 13: OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
H. OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB
For the fiscal year ended June 30, 2024, the City recognized OPEB expense (revenue) of $1,935,943. As of fiscal
year ended June 30, 2024, the City reported deferred outflows and inflows of resources related to OPEB from the
following sources:
The City will recognize the contributions made subsequent to the measurement date totaling $1,306,991 in the next
fiscal year. In addition, future recognition of the deferred resources is shown below:
NOTE 14: SPECIAL ASSESSMENT DEBT
Below is a summary of the changes in the special assessment bonds payable:
Deferred Outflows Deferred Inflows
of Resources of Resources
OPEB contributions subsequent to the measurement date 1,306,991$ -$
Change in assumptions 806,060 8,031
Differences between expected and actual experience 902,087 181,355
Net difference between projected and actual earnings on
pension plan investments 1,998,704 -
Total 5,013,842$ 189,386$
Deferred
Outflows/(Inflows)
Fiscal year ended June 30, of Resources
2025 1,594,627$
2026 783,228
2027 999,014
2028 98,106
2029 16,531
Thereafter 25,959
Total 3,517,465$
Amount
Balance Balance Due Within
July 1, 2023 Additions Deletions June 30, 2024 One Year
2003 Assessment Revenue Bonds 780,000$ -$ 115,000$ 665,000$ 120,000$
CFD 2021-1 Special Tax Bonds Series 2021 14,955,000 - 305,000 14,650,000 315,000
CFD 2005-1 Special Tax Bonds Series 2021A 4,915,000 - 270,000 4,645,000 280,000
Section 29 Assessment District 2004-02
Limited Obligation Bonds Series 2021 15,715,000 - 785,000 14,930,000 815,000
Special Tax Bonds, Series 2024 - 11,600,000 - 11,600,000 -
Total 36,365,000$ 11,600,000$ 1,475,000$ 46,490,000$ 1,530,000$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 14: SPECIAL ASSESSMENT DEBT (CONTINUED)
The City has Special Assessment Bonds Payable issued under the 1911 and 1915, Special Improvement Acts and
the 1982 Mello-Roos Community Facilities Act (1982 Bonds). The City has no liability to 1911 Act bondholders until
assessments have been collected from the property owner. Such liability is then recorded in the Custodial Funds.
Therefore, the 1911 Bonds are not recorded as liabilities in the accompanying financial statements.
The City also has no liability to the 1915 Act bondholders, or the bondholders of bonds issued under the 1982
Mello-Roos Community Facilities Act until assessments are collected on the tax rolls. However, the City may take
certain actions to assume secondary liability for all or part of 1915 Act Bonds and the 1982 Bonds until such time
as foreclosure proceedings are consummated.
Special assessment bonds payable, as described below, and are not recorded as long-term liabilities, as these
obligations do not constitute a debt or obligation of the City.
A. 2003 Assessment Revenue Bonds
In June 2003, the Palm Desert Financing Authority issued $4,423,000 in 2003 Assessment Revenue Bonds. The
proceeds were used to purchase three series of limited obligation improvement bonds issued by the City in
connection with the financing and refinancing of certain improvements of benefit to property within the City’s
Assessment District No. 94-2 (Sunterrace), Assessment District No. 94-3 (Merano) and Silver Spur Ranch Utility
Undergrounding Assessment District No. 01-01. These bonds were issued under the 1915 Improvement Bond Act
to provide funds for public improvements in the respective assessment districts.
Debt service requirements to maturity are as follows:
As of June 30, 2024, the principal amounts to be repaid by the Assessment District No. 01-1 to pay off the loans
from the Financing Authority is $665,000.
B. Community Facilities District No. 2005-1, Series 2021A
In July 2021, the City of Palm Desert Community Facilities District No. 2005-1 (University Park) Special Tax
Refunding Bonds, Series 2021A (the “Bonds”) are being issued by City of Palm Desert Community Facilities
District No. 2005-1 (University Park) (the “District”) to provide funds: (i) to refund a portion of the District’s
outstanding Special Tax Bonds, Series 2006A (the “2006 Bonds”); (ii) to fund a Reserve Account for the Bonds;
and (iii) to pay costs incurred in connection with the issuance of the Bonds. The 2006 Bonds were issued for the
purpose of providing funds to pay the costs of acquiring certain public facilities. The Bonds are special obligations
of the District and are payable solely from Net Taxes (as defined herein), and the other assets pledged therefor
under the Indenture, all as further described herein. Special Taxes (as defined herein) are to be levied according to
the rate and method of apportionment approved by the City Council of the City and the qualified electors within the
District. Interest rates vary from 3.00% to 4.00% with interest payable semi-annually on March 1 and September 1,
with principal maturing annually on September 1.
Year Ending
June 30, Principal Interest Total
2025 120,000$ 32,519$ 152,519$
2026 125,000 25,934 150,934
2027 135,000 18,947 153,947
2028 140,000 11,556 151,556
2029 145,000 3,897 148,897
Total 665,000$ 92,853$ 757,853$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 14: SPECIAL ASSESSMENT DEBT (CONTINUED)
Debt service requirements to maturity are as follows:
C. Section 29 Assessment District (No 2004-02), Limited Obligation Improvement Bonds, Series 2021
In July 2021, the City of Palm Desert issued $16,400,000 Limited Obligation Improvement Bonds. The proceeds of
the Bonds will be used to refund previously issued series 2017 bonds that financed certain infrastructure
improvements within the City’s Section 29 Assessment District (No. 2004-02). The debt service on the bonds is to
be paid by assessments secured on the property tax rolls of those properties benefiting from the improvements.
interest ranging from 4.00% to 4.70% payable semiannually on March 2 and September 2. Bond maturities begin
September 2, 2009 and continue annually through 2020. Term bonds in the amount of $2,525,000 carry an interest
rate of 4.75% and mature September 2, 2022. Term bonds in the amount of $5,110,000 carry an interest rate of
5.05% and mature September 2, 2027. Term bonds in the amount of $14,930,000 carry an interest rate of 5.10%
and mature September 2, 2037.
Debt service requirements to maturity are as follows:
D. Community Facilities District No. 2021-1, Series 2021
The City of Palm Desert Community Facilities District No. 2021-1 (University Park) Special Tax Bonds, Series 2021
(the “Bonds”) are being issued by the City of Palm Desert Community Facilities District No. 2021-1 (University Park)
(the “District”) to: (i) pay and defease a pro rata portion of outstanding Series 2006A Special Tax Bonds (the “CFD
2005-1 Pro Rata Bonds”) issued by, and secured by the special taxes of existing City of Palm Desert Community
Facilities District No. 2005-1 (University Park) (“CFD No. 2005-1”); (ii) finance the acquisition of certain
public improvements needed with respect to the development of property located within the District, including
public improvements to be owned by the City and water and sewer facilities to be owned and operated by the
Coachella Valley Water District; (iii) fund a reserve account for the Bonds; and (iv) pay costs of issuance for the
Bonds. Interest rates vary from 3.00% to 4.00% with interest payable semi-annually on March 1 and September 1,
with principal maturing annually on September 1.
Year Ending
June 30, Principal Interest Total
2025 280,000$ 178,800$ 458,800$
2026 290,000 168,800 458,800
2027 300,000 157,000 457,000
2028 315,000 144,700 459,700
2029 330,000 131,800 461,800
2030-2034 1,845,000 447,100 2,292,100
2035-2037 1,285,000 78,500 1,363,500
Total 4,645,000$ 1,306,700$ 5,951,700$
Year Ending
June 30, Principal Interest Total
2024 815,000$ 596,600$ 1,411,600$
2025 850,000 547,600 1,397,600
2026 880,000 513,000 1,393,000
2027 920,000 477,000 1,397,000
2028 955,000 439,500 1,394,500
2029-2033 5,380,000 1,581,000 6,961,000
2034-2038 5,130,000 420,800 5,550,800
Total 14,930,000$ 4,575,500$ 19,505,500$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 14: SPECIAL ASSESSMENT DEBT (CONTINUED)
Debt service requirements to maturity are as follows:
E. Community Facilities District No. 2021-1, Series 2024
The City of Palm Desert Community Facilities District No. 2021-1 (University Park) Special Tax Bonds, Series 2024
(the “Bonds”) are being issued by the City of Palm Desert Community Facilities District No. 2021-1 (University Park)
(the “District”) to: (i) finance the acquisition of certain public improvements needed with respect to the development
of property located within the District, including public improvements to be owned by the City of Palm Desert (the
"City") and water and sewer facilities to be owned and operated by the Coachella Valley Water District ("CVWD");
(ii) fund a reserve account for the Bonds; and (iii) pay costs of issuance for the Bonds; and (iv) fund capitalized
interest to pay debt service on the Bonds through and including September 1, 2024. Interest rates vary from 3.00%
to 4.00% with interest payable semi-annually on March 1 and September 1, with principal maturing annually on
September 1.
Year Ending
June 30, Principal Interest Total
2025 315,000$ 553,275$ 868,275$
2026 325,000 543,675 868,675
2027 335,000 533,775 868,775
2028 345,000 523,575 868,575
2029 355,000 513,075 868,075
2030-2034 1,940,000 2,388,925 4,328,925
2035-2039 2,335,000 1,980,900 4,315,900
2040-2044 2,835,000 1,465,100 4,300,100
2045-2049 3,445,000 839,500 4,284,500
2050-2052 2,420,000 147,800 2,567,800
Total 14,650,000$ 9,489,600$ 24,139,600$
Year Ending
June 30, Principal Interest Total
2025 -$ 531,975$ 531,975$
2026 40,000 570,825 610,825
2027 50,000 568,913 618,913
2028 65,000 566,469 631,469
2029 80,000 563,388 643,388
2030-2034 680,000 2,744,475 3,424,475
2035-2039 1,225,000 2,530,644 3,755,644
2040-2044 2,005,000 2,132,125 4,137,125
2045-2049 3,045,000 1,506,375 4,551,375
2050-2054 4,410,000 583,000 4,993,000
Total 11,600,000$ 12,298,188$ 23,898,188$
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 14: SPECIAL ASSESSMENT DEBT (CONTINUED)
F. Bond Reserve Requirements
At June 30, 2024, the fund balance reserve requirements and actual reserve balances were as follows:
NOTE 16: FUND BALANCES
In the fund financial statements, reserves segregate portions of fund balances that are either not available or have
been earmarked for specific purposes. The various reserves established as of June 30, 2024, were as follows:
Requirement Actual
2003 Financing Authority Revenue Bonds 153,947$ 153,947$
CFD 2021-1 Special Tax Bonds, Series 2021 868,775 868,775
CFD 2005-1 Special Tax Bonds, Series 2021A 461,800 461,800
Section 29 Assessment District 2004-02
Limited Obligation Bonds Series 2021 1,411,600 1,411,600
Special Tax Bonds, Series 2024 1,021,147 1,021,147
General Fund
Prop A Fire
Tax
Housing
Asset Fund
Housing
Authority
Restricted
Capital Project
Fund Total
Nonspendable:
Inventory -$ -$ -$ -$ -$ 13,710$ 13,710$
Prepaid costs and deposits 583,470 - 660 - - 67,090 651,220
994,978 - - - - - 994,978
Advances 1,310,000 - - - - - 1,310,000
Total Nonspendable 2,888,448 - 660 - - 80,800 2,969,908
Restricted for:
Capital projects - - - - 47,233,177 198,846 47,432,023
Debt service - - - - - 142,430 142,430
Low income housing - - 51,941,054 5,222,230 - 4,520,132 61,683,416
Public facilities - - - - - 4,590,140 4,590,140
Public safety - 22,353,727 - - - 2,718,105 25,071,832
Spec ial programs - - - - - 7,657,582 7,657,582
Street related purposes - - - - - 29,088,612 29,088,612
Total Restricted - 22,353,727 51,941,054 5,222,230 47,233,177 48,915,847 175,666,035
Committed to:
Aquatic center - - - - - 2,776,523 2,776,523
Library - - - - - 3,752,866 3,752,866
Capital asset replacement - - - 11,875,488 - - 11,875,488
Capital improvement projects reserve 13,965,065 - - - - - 13,965,065
Facilities maintenance reserve 1,858,919 - - - - - 1,858,919
Liability reserve 4,000,000 - - - - - 4,000,000
Other fund stability reserve 2,556,900 - - - - - 2,556,900
Emergency/contingency reserve 16,623,972 - - - - - 16,623,972
Employment benefits reserve 10,434,732 - - - - - 10,434,732
Equipment replacement reserve 2,869,355 - - - - - 2,869,355
Energy loan program - - - - - 1,869,382 1,869,382
Total Committed 52,308,943 - - 11,875,488 - 8,398,771 72,583,202
Assigned to:
General fund operating reserve 18,254,560 - - - - - 18,254,560
Community contingency 444,000 - - - - - 444,000
Capital projects - - - - - 9,699,897 9,699,897
Property acquisition - - - - - 420,387 420,387
Public facilities - - - - - 8,767,874 8,767,874
Special programs - - - - - 614,323 614,323
Street related purposes - - - - - 4,863,302 4,863,302
Total Assigned 18,698,560 - - - - 24,365,783 43,064,343
Unas signed 52,457,702 - - - - (445,505) 52,012,197
Totals 126,353,653$ 22,353,727$ 51,941,714$ 17,097,718$ 47,233,177$ 81,315,696$ 346,295,685$
Notes and loans
Capital
Projects Fund Special Revenue Funds
Other
Governmental
Funds
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Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 17: CONSTRUCTION AND OTHER SIGNIFICANT COMMITMENTS
Construction Commitments
Primary Government
NOTE 18: SUCCESSOR AGENCY DISCLOSURES
Dissolution of Redevelopment Agency
Pursuant to AB X1 26 (adopted by the California Legislature in June 2011) and the State Supreme Court’s decision
in California Redevelopment Association, et al. v. Ana Matosantos, et al., 53 Cal. 4th 231 (2011), all redevelopment
agencies in the State were dissolved as of February 1, 2012. The City Council adopted Resolution No. 2011-76 on
August 25, 2011, pursuant to Health and Safety Code (“HSC”) Section 34172, electing for the City to serve as the
Successor Agency (‘SARDA”) to the former Palm Desert Redevelopment Agency (the “Dissolved RDA”). SARDA
is tasked with the wind-down of the Dissolved RDA’s affairs. Certain SARDA actions must first be approved by an
oversight board, composed of seven-members representing taxing entities.
HSC Section 34173(g) expressly provides that SARDA is a separate public entity from the City, and the liabilities
and assets of the Dissolved RDA shall not be transferred to the City.
Pursuant to HSC Section 34176, the City Council adopted Resolution No. 2012-07, on February 9, 2012,
electing to have the Palm Desert Housing Authority to serve as the Housing Successor. The Housing Authority
(as the Housing Successor) submitted to the State Department of Finance (“DOF”) a list of housing assets to be
transferred by SARDA to the Housing Successor. On August 31, 2012, the DOF issued a letter indicating that the
DOF had no objection to such housing asset list.
The housing assets (per the housing asset list), obligations, and activities of the Dissolved RDA were transferred
to the Housing Successor and are reported in the Housing Asset Fund beginning in fiscal year 2011-12.
However, outstanding bonds (“Housing Bonds”), secured by a pledge of moneys which would have been deposited
into the Dissolved RDA’s low and moderate income housing fund (known as the “Housing Set Aside”), remain as
Contract Spent Remaining
Amount To Date Commitment
General Fund
Parks/Recreation 1,804,291$ 1,000,901$ 803,390$
Tropical Storm Hilary maintenance and repair 1,320,248 314,092 1,006,156
Measure A
Bridge maintenance program 397,835 165,698 232,138
Traffic operations and capacity improvements 1,463,644 1,194,264 269,380
Intersection modifications - Highway 74 & Haystack Road, 373,245 - 373,245
Haystack traffic calming 206,930 5,348 201,583
CV link enhancement and slurry seal 1,903,952 - 1,903,952
Capital Properties
Design and planning for North Sphere Regional Park 1,000,000 360,272 639,729
Haystack channel improvements 433,143 302,999 130,143
Housing Authority
City owned buildings improvments 3,481,631 3,133,295 348,336
Other Governmental Funds
Equipment ordered, vehicles 1,806,860 228,699 1,578,160
Architectural design and structural engineering services -
Parkview Office Complex 1,142,400 424,373 718,027
Palm Desert Library New Building 642,865 146,648 496,218
15,977,043$ 7,276,588$ 8,700,456$
Project
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 18: SUCCESSOR AGENCY DISCLOSURES (CONTINUED)
the SARDA’s enforceable obligations. See also “Stipulated Judgment” below. All other assets, obligations, and
activities of the Dissolved RDA have been transferred and are reported in a fiduciary fund (private-purpose trust
fund) in the financial statements of the City. The County Auditor-Controller (“CAC”) has established a
Redevelopment Property Tax Trust Fund (the “RPTTF”) for SARDA and is charged with depositing into the RPTTF
the amount of property taxes that would have been redevelopment property tax increment had the Dissolved RDA
not been dissolved.
SARDA is required to prepare an annual recognized obligation payment schedule (the “ROPS”) setting forth the
amounts due for enforceable obligations from each July 1 through the following June 30. The CAC only makes
payments to the SARDA from the RPTTF based on the ROPS amounts approved by the oversight board and the
DOF.
During fiscal year 2012-13, SARDA was required to conduct due diligence reviews of the low and moderate income
housing fund and all other funds to compute the funds (cash) which were not needed to be retained to pay existing
enforceable obligations or otherwise unrestricted, and therefore, must be remitted to the CAC. SARDA paid a total
amount of $40,988,399 to the CAC based on the due diligence reviews per the DOF’s determination.
The DOF issued a Finding of Completion on May 15, 2013 after SARDA remitted such payments.
The Finding of Completion allows the placement of certain loans (“Advances”) made by the City to the Dissolved
RDA (which were previously voided by operation of law upon the Dissolved RDA’s dissolution) on the ROPS. For
each approved repayment 20% of the repayment amount must be allocated to the Housing Asset Fund. The
repayment of the Advances, pursuant to the oversight board’s and the DOF’s approval, began during fiscal year
2019-20. During fiscal year 2023-24, the City received a final determination from the California Department of
Finance that these advances would not be deemed an enforceable obligation. There is no financial statement
impact as these balances were offset by an allowance for doubtful accounts in previous years.
The California State Controller was directed to review the propriety of any transfers of assets between the Dissolved
RDA and other public bodies that occurred after January 1, 2011. The State Controller completed its review on
March 14, 2013 and did not identify any unallowable transfers of assets that occurred between the Dissolved RDA
and the City or other public agencies.
SARDA’s use and disposition of all real properties held (Long Range Property Management Plan (“LRPMP”), was
approved by the DOF on June 2, 2014. The LRPMP allowed the SARDA to transfer property used for government
purposes with a cost basis of $6,390,263 to the City.
Stipulated Judgment
On May 15, 1991, the Riverside County Superior Court entered a final judgment incorporating the terms of a
Stipulation for Entry of Judgment (“Original Stipulation”) in Case No. 51124 and a Stipulation for Entry of Judgment
pursuant to Settlement Agreement and Mutual Release (“Settlement Agreement”) in Case No. 51124, among the
Dissolved RDA, the City, the Western Center on Law and Poverty, Inc., California Rural Legal Assistance, and
others. On June 18, 1997 and on September 20, 2002, the Riverside County Superior Court amended the judgment,
incorporating Stipulations Amending Stipulation for Entry of Judgment.
The judgment, as amended (the “Judgment”), generally required the Dissolved RDA to use 20% of its tax increment
revenues, and additional tax increment revenues if necessary, to develop, rehabilitate, or otherwise financially
assist affordable housing units and to meet certain housing needs of the City. Before dissolution, the Dissolved
RDA used its Housing Set-Aside to fulfill its obligations under the Judgment (including the payment of debt service
on the Housing Bonds issued to finance and refinance affordable housing projects that satisfied the requirements
of both the Judgment and the relevant Redevelopment Law provisions). While the low and moderate income
housing fund and the requirement to deposit the Housing Set-Aside into such fund have been eliminated upon the
Dissolved RDA’s dissolution, SARDA continues to recognize the Judgment as its enforceable obligation. On its
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 18: SUCCESSOR AGENCY DISCLOSURES (CONTINUED)
ROPS, the SARDA has included line items designated as “Stipulation Judgment Case No. 51124,” listing the
amounts necessary to fulfill its obligations under the Judgment (after taking into account the amounts already listed
for the repayment of the Housing Bonds). While the DOF originally approved such line items, the DOF changed its
position beginning with ROPS 14-15A (i.e., covering the period commencing July 1, 2014).
On August 14, 2014, SARDA filed an action, SARDA to the Palm Desert Redevelopment Agency v. Michael Cohen,
Sacramento Superior Court Case No. 34-2014-00167698 (the “Successor Agency Lawsuit”), seeking to compel the
DOF to permit payment of the affordable housing obligations mandated by the Judgment. Subsequently, in view of
the fact that there were similar cases pending in the California Court of Appeal (Third District), the SARDA voluntarily
dismissed its action without prejudice pending resolution of those other cases. To date, none of the other cases
has resulted in a decision that would compel the DOF to permit payment of the obligations under the Judgment as
an enforceable obligation.
The assets and liabilities of the Dissolved RDA (except for those transferred to the Housing Successor and reported
in the Housing Asset Fund) have been transferred to the SARDA. The SARDA is acting in a fiduciary capacity for
the assets and liabilities. Disclosures related to these transactions are as follows:
Capital Assets
During the year ending June 30, 2024, the SARDA sold land with a cost basis of $1,286,439 for a sales price of
$4,600,000. These proceeds are required to be remitted to the County of Riverside for distribution to the taxing
entities in accordance with the Health and Safety Code. As of June 30, 2024, $4,600,000 has been remitted to the
County of Riverside.
Tax Allocation Bonds
A summary of changes in tax allocation bonds at June 30, 2024, was as follows:’
The tax allocation revenues bonds issued before 2011 (i.e., before the dissolution of the Dissolved RDA) were
issued by the Palm Desert Financing Authority, the proceeds of which were loaned to the Dissolved RDA
for financing or refinancing redevelopment projects. Pursuant to the bond documents, the Authority’s bonds were
Balance Balance
July 1, 2023 Additions Deletions June 30, 2024
Capital assets, not being depreciated:
Land 17,226,397$ -$ (1,286,439)$ 15,939,958$
Total capital assets, not being depreciated 17,226,397 - (1,286,439) 15,939,958
Total fuduciary fund capital assets 17,226,397$ -$ (1,286,439)$ 15,939,958$
Amount
Balance Balance Due Within
July 1, 2023 Additions Deletions June 30, 2024 One Year
2003 TARBs, $15,745,000 15,745,000$ -$ 875,000$ 14,870,000$ 910,000$
2017 A TARBs, $52,390,000 36,405,000 - 715,000 35,690,000 6,630,000
2017 B TARBs, $140,130,000 96,345,000 - 11,675,000 84,670,000 5,585,000
2017 H-A TARBs, $7,365,000 5,025,000 - 455,000 4,570,000 475,000
2017 H-B TARBs, $45,815,000 6,195,000 - 6,195,000 - -
Subtotal 159,715,000 - 19,915,000 139,800,000 13,600,000
Add: Unamortized bond premium 4,639,243 - 643,183 3,996,060 -
Less: Unamortized bond discount (1,467,878) - (93,441) (1,374,437) -
Total 162,886,365$ -$ 20,464,742$ 142,421,623$ 13,600,000$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 18: SUCCESSOR AGENCY DISCLOSURES (CONTINUED)
secured by the Dissolved RDA’s (and after dissolution, are secured by the Successor Agency’s) repayment of the
loans were secured by tax increment (after the Dissolved RDA’s dissolution, are secured by certain moneys
deposited in the RPTTF, see Notes 19) and other funds as provided in the bond documents.
In January 2017, the Successor Agency issued four series of bonds: (i) the Tax Allocation Refunding Bonds,
2017 Series A, in the aggregate principal amount of $52,390,000 (the “2017A Bonds”), (ii) the Taxable
Tax Allocation Refunding Bonds, 2017 Series B, in the aggregate principal amount of $140,130,000 (the “2017B
Bonds”), (iii) the Tax Allocation Refunding Bonds, 2017 Series H-A, in the aggregate principal amount of $7,365,000
(the “2017H-A Bonds”); and (iv) the Taxable Tax Allocation Refunding Bonds, 2017 Series H-B, in the aggregate
principal amount of $45,815,000 (the “2017H-B Bonds”). As further described below, the 2017 refunding refunded
all of the outstanding tax allocation revenue bonds, except for the Project Area No. 2 2003 Bonds.
None of these bonds or any interest thereon are a debt of the City, the State of California or any of its political
subdivisions (except for the Successor Agency), and none the City, the State of California nor any of its political
subdivisions (except for the Successor Agency) is liable on the bonds, nor in any event shall the bonds and interest
thereon be payable out of any funds or properties other than those provided under the respective bond documents.
The remaining outstanding Project Area No. 2 2003 Bonds were insured by MBIA Insurance Corporation (“MBIA”).
On February 18, 2009, MBIA announced the restructuring of its financial guaranty insurance operations into two
separately capitalized sister companies, with one entity (MBIA Illinois) assuming the risk associated with its U.S.
municipal exposures, and the other (MBIA Corp) insuring the remainder of the portfolio. Effective March 19, 2009,
MBIA Illinois was renamed National Public Finance Guarantee Corporation (“NPFGC”).
Some (but not all) of the maturities of each series of the 2017 Bonds are insured by Build America Mutual
Assurance Company.
2003 Series Tax Allocation Revenue Bonds (Project Area No. 2)
On March 26, 2003, the Palm Desert Financing Authority issued $15,745,000 of Tax Allocation Revenue Bonds
(Project Area No. 2) 2003 Series. The Palm Desert Financing Authority loaned the bond proceeds to the Dissolved
RDA to fund various redevelopment capital projects in Project Area No. 2.
The future debt service requirements on the 2003 Series Tax Allocation Revenue Bonds (Project Area No. 2) are
as follows:
2017 Series A Tax Allocation Refunding Bonds
On January 31, 2017, the Successor Agency issued the 2017A Bonds, in the principal amount of $52,390,000. The
proceeds from the 2017A Bonds were utilized to refund the Project Area No. 1 2002A Bonds, Project Area No. 1
2003 Bond, Project Area No. 1 2004 Bonds, the Project Area No. 2 2002A Bonds, and the Project Area No. 4 1998
Bonds and pay certain costs associated with the issuance of the bonds.
Year Ending
June 30, Principal Interest Total
2025 910,000$ 709,156$ 1,619,156$
2026 1,145,000 688,681 1,833,681
2027 1,340,000 635,725 1,975,725
2028 1,405,000 573,750 1,978,750
2029 1,475,000 503,500 1,978,500
2030-2033 8,595,000 1,332,500 9,927,500
Total 14,870,000$ 4,443,312$ 19,313,312$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 18: SUCCESSOR AGENCY DISCLOSURES (CONTINUED)
Interest rates on the bonds vary from 2.00% to 5.00% per annum payable semi-annually on April 1 and October 1,
commencing April 1, 2017, with principal maturing annually on October 1. As of June 30, 2024, the outstanding
principal balance on the bonds $35,690,000.
The future debt service requirements on the 2017A Bonds are as follows:
2017 Series B Tax Allocation Refunding Bonds
On January 31, 2017, the Successor Agency issued the 2017B Bonds, in the principal amount of $140,130,000.
The proceeds from the 2017B Bonds were utilized refund the Project Area No. 1 2006A Bonds, the Project
Area No. 2 2006A Bonds, the Project Area No. 2 2006D Bonds, the Project Area No. 3 2003 Bonds, the Project No.
3 2006A Bonds, the Project Area No. 3 2006B Bonds, the Project Area No. 3 2006C Bonds, the Project Area No. 4
2001 Bonds, the Project Area No. 4 2006A Bonds, and the Project Area No. 4 2006B Bonds and pay certain costs
associated with the issuance of the bonds.
Interest rates on the bonds vary from 1.25% to 4.25% per annum payable semi-annually on April 1 and October 1,
commencing April 1, 2017, with principal maturing annually on October 1. As of June 30, 2024, the outstanding
principal balance on the bonds is $84,670,000.
The future debt service requirements on the 2017B Bonds are as follows:
2017 Series H-A Tax Allocation Refunding Bonds
On January 31, 2017, the Successor Agency issued the 2017H-A Bonds, in the principal amount of $7,365,000.
The proceeds from the 2017H-A Bonds were used to refund the 2002 Housing Bonds and pay certain costs
associated with the issuance of the bonds.
Year Ending
June 30, Principal Interest Total
2025 6,630,000$ 1,618,750$ 8,248,750$
2026 6,910,000 1,280,250 8,190,250
2027 5,245,000 976,375 6,221,375
2028 5,495,000 707,875 6,202,875
2029 4,055,000 469,125 4,524,125
2030-2031 7,355,000 372,125 7,727,125
Total 35,690,000$ 5,424,500$ 41,114,500$
Year Ending
June 30, Principal Interest Total
2025 5,585,000$ 3,160,009$ 8,745,009$
2026 5,710,000 2,979,956 8,689,956
2027 8,060,000 2,751,156 10,811,156
2028 4,790,000 2,531,319 7,321,319
2029 5,055,000 2,355,872 7,410,872
2030-2034 32,035,000 8,321,231 40,356,231
2035-2039 21,420,000 1,738,463 23,158,463
2040-2042 2,015,000 130,794 2,145,794
Total 84,670,000$ 23,968,799$ 108,638,799$
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CITY OF PALM DESERT, CALIFORNIA
Notes to Basic Financial Statements
For the Year Ended June 30, 2024
NOTE 18: SUCCESSOR AGENCY DISCLOSURES (CONTINUED)
Interest rates on the bonds vary from 2.00% to 5.00% per annum payable semi-annually on April 1 and October 1,
commencing April 1, 2017, with principal maturing annually on October 1. As of June 30, 2024, the outstanding
principal balance on the bonds is $4,570,000.
The future debt service requirements on the 2017 Series H-A Tax Allocation Refunding Bonds are as follows:
NOTE 19: SUBSEQUENT EVENTS
The City evaluated subsequent events for recognition and disclosure through ________, 2025, the date on which
these financial statements were available to be issued. Management concluded that no material subsequent events
have occurred since June 30, 2024, that required recognition or disclosure in these financial statements.
Year Ending
June 30, Principal Interest Total
2025 475,000$ 192,894$ 667,894$
2026 505,000 168,394 673,394
2027 525,000 142,644 667,644
2028 555,000 115,644 670,644
2029 585,000 87,144 672,144
2030-2033 1,925,000 99,641 2,024,641
Total 4,570,000$ 806,360$ 5,376,360$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Changes in Net Pension Liability and Related Ratios
Miscellaneous Plan
As of June 30, for the Last Ten Fiscal Years
2024 2023 2022 2021 2020
Measurement Date 6/30/2023 6/30/2022 6/30/2021 6/30/2020 6/30/2019
TOTAL PENSION LIABILITY
Service cost 2,235,788$ 1,976,289$ 2,042,043$ 2,086,683$ 1,973,971$
Interest on total pension liability 10,733,434 10,122,299 10,005,168 9,645,145 9,261,660
Changes of benefit terms 105,799 - - - -
Changes of assumptions - 4,699,855 - - -
Difference between expected and actual experience 4,624,824 (2,563,805) 116,967 533,373 1,762,387
Benefit payments, including refunds of employee
contributions (8,480,159) (7,723,744) (7,041,890) (6,540,485) (6,383,377)
Net Change in Total Pension Liability 9,219,686 6,510,894 5,122,288 5,724,716 6,614,641
Total pension liability-beginning 153,948,561 147,437,667 142,315,379 136,590,663 129,976,022
Total Pension Liability-Ending (a)163,168,247 153,948,561 147,437,667 142,315,379 136,590,663
PLAN FIDUCIARY NET POSITION
Contributions-employer 4,539,654 4,020,131 4,729,858 4,521,813 5,963,737
Contributions-employee 868,122 791,130 745,959 805,528 791,794
Net investment income 7,061,290 (9,592,025) 24,010,711 5,102,524 6,322,815
Benefit payments, including refunds of employee
contributions (8,480,159) (7,723,744) (7,041,890) (6,540,485) (6,383,377)
Net plan to plan resource movement - - - - -
Administrative expense (84,762) (79,643) (105,400) (143,465) (67,893)
Other miscellaneous income/(expense)- - - - 222
Net Change in Fiduciary Net Position 3,904,145 (12,584,151) 22,339,238 3,745,915 6,627,298
Plan Fiduciary Net Position-Beginning 115,266,742 127,850,893 105,511,655 101,765,740 95,138,442
Plan Fiduciary Net Position-Ending (b)119,170,887 115,266,742 127,850,893 105,511,655 101,765,740
Net Pension Liability/(Asset) (a) - (b)43,997,360$ 38,681,819$ 19,586,774$ 36,803,724$ 34,824,923$
Plan Fiduciary Net Position as a Percentage of the
Total Pension Liability 73.0%74.9%86.7%74.1%74.5%
Covered payroll 10,601,359$ 9,621,662$ 10,386,791$ 10,353,849$ 9,807,088$
Plan Net Pension Liability/(Asset) as a Percentage of
Covered Payroll 415.0% 402.0% 188.6% 355.5% 355.1%
Notes to Schedule of Changes in the Net Pension Liability and Related Ratios:
Changes of Assumptions : None in 2020-2022. In 2019, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience
Study and Review of Assumptions December 2017. There were no changes in the discount rate. In 2018, the discount rate was reduced from 7.65% to 7.15%.
In 2017, there were no changes. In 2016, amounts reported reflect an adjustment of the discount rate from 7.50% (net of administrative expense) to 7.65%
(without a reduction for pension plan administrative expense). In 2015, amounts reported were based on the 7.50% discount rate.
Benefit Changes : The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the
measurement date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the valuation date are not included
in the figures above, unless the liability impact is deemed to be material by the plan actuary.
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2019 2018 2017 2016 2015
6/30/2018 6/30/2017 6/30/2016 6/29/2016 6/30/2015
2,196,462$ 2,204,265$ 2,076,964$ 2,125,437$ 2,156,598$
8,797,867 8,558,529 8,327,823 8,223,320 7,991,591
- - - - -
(1,148,708) 7,367,723 - (2,091,348) -
(594,882) (1,895,482) (4,259,317) (2,378,254) -
(5,934,338) (5,401,531) (4,801,252) (4,597,025) (4,849,320)
3,316,401 10,833,504 1,344,218 1,282,130 5,298,869
126,659,621 115,826,117 114,481,899 113,199,769 107,900,900
129,976,022 126,659,621 115,826,117 114,481,899 113,199,769
5,407,412 5,303,371 4,257,322 4,065,411 3,320,450
812,447 828,467 870,981 878,171 995,504
7,555,653 8,800,663 448,184 1,682,498 11,290,314
(5,934,338) (5,401,531) (4,801,252) (4,597,025) (4,849,320)
(222) - - - -
(136,651) (115,573) (47,263) (87,279) -
(259,502) - - - -
7,444,799 9,415,397 727,972 1,941,776 10,756,948
87,693,643 78,278,246 77,550,274 75,608,498 64,851,550
95,138,442 87,693,643 78,278,246 77,550,274 75,608,498
34,837,580$ 38,965,978$ 37,547,871$ 36,931,625$ 37,591,271$
73.2%69.2%67.6%67.7%66.8%
10,751,687$ 10,684,238$ 11,342,713$ 11,448,621$ 11,110,759$
324.0% 364.7% 331.0% 322.6% 338.3%
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Changes in Net OPEB Liability and Related Ratios
As of June 30, for the Last Ten Fiscal Years 1
2024 2023 2022 2021
Measurement Date 6/30/2024 6/30/2023 6/30/2022 6/30/2021
TOTAL OPEB LIABILITY
Service cost 357,354 294,337$ 378,897$ 366,971$
Interest on total pension liability 1,193,064 1,205,943 1,161,531 1,117,500
Changes of benefit terms - - (910,834) -
Changes of assumptions 170 1,691,792 1,053,761 -
Difference between expected and actual experience 1,327,257 - - -
Benefit payments, including refunds of employee
contributions (1,082,459) (944,960) (819,968) (752,486)
Net Change in Total OPEB Liability 1,795,386 2,247,112 863,387 731,985
Total OPEB Liability-Beginning 21,875,949 19,628,837 18,765,450 18,033,465
Total OPEB Liability-Ending (a)23,671,335 21,875,949 19,628,837 18,765,450
PLAN FIDUCIARY NET POSITION
Contributions-employer 1,108,988 1,230,895 1,140,548 1,280,453
Net investment income 748,799 (3,022,583) 3,878,532 977,487
Benefit payments, including refunds of employee
contributions (1,082,459) (944,960) (819,968) (752,486)
Administrative expense (6,023) (6,034) (7,193) (9,045)
Other miscellaneous income/(expense)- - - -
Net Change in Fiduciary Net Position 769,305 (2,742,682) 4,191,919 1,496,409
Plan fiduciary net position-beginning 21,020,110 23,762,792 19,570,873 18,074,464
Plan Fiduciary Net Position-Ending (b)21,789,415 21,020,110 23,762,792 19,570,873
Net OPEB Liability/(Asset) (a) - (b)1,881,920$ 855,839$ (4,133,955)$ (805,423)$
Plan Fiduciary Net Position as a Percentage of the
Total OPEB Liability 92.0%96.1% 121.1% 104.3%
Covered-employee payroll 12,780,729$ 11,208,147$ 10,881,697$ 11,382,103$
Plan Net OPEB Liability/(Asset) as a Percentage of
Covered-Employee Payroll 14.7%7.6%-38.0%-7.1%
Notes to Schedule of Changes in the Net OPEB Liability and Related Ratios:
1 Fiscal year 2018 was the first year of GASB Statement No. 75 implementation; therefore only seven years are shown.
Benefit Changes : None
Changes of Assumptions : None
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2020 2019 2018
6/30/2020 6/30/2019 6/30/2018
369,299$ 357,675$ 346,417$
1,256,431 1,199,747 1,144,106
- - -
2,552,767 - -
(4,066,457) - -
(756,759) (696,845) (653,187)
(644,719) 860,577 837,336
18,678,184 17,817,607 16,980,271
18,033,465 18,678,184 17,817,607
2,408,260 1,381,501 1,255,960
1,226,966 843,319 902,331
(756,759) (696,845) (653,187)
(3,515) (7,371) (6,541)
- (18,115) -
2,874,952 1,502,489 1,498,563
15,199,512 13,697,023 12,198,460
18,074,464 15,199,512 13,697,023
(40,999)$ 3,478,672$ 4,120,584$
100.2% 81.4%76.9%
10,546,052$ 10,741,786$ 10,584,400$
-0.4% 32.4% 38.9%
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CITY OF PALM DESERT, CALIFORNIA
Schedules of Plan Contributions
As of June 30, for the Last Ten Fiscal Years
Covered/Contribution as a
Fiscal Year Actuarially Actual Contribution Covered-% of Covered/
Ending Determined Employer Deficiency Employee Covered Employee
June 30,Contribution Contributions (Excess)Payroll Payroll
2024 4,539,654$ (4,669,126)$ (129,472)$ 11,030,033$ 42.3%
2023 4,574,753 (4,574,753) - 10,601,359 43.2%
2022 4,123,142 (4,123,142) - 9,621,662 42.9%
2021 4,936,652 (4,729,797) 206,855 10,386,791 45.5%
2020 4,736,668 (4,521,813) 214,855 10,353,849 43.7%
2019 4,225,204 (5,963,737) (1,738,533) 9,807,088 60.8%
2018 4,219,764 (5,396,908) (1,177,144) 10,751,687 50.2%
2017 3,550,127 (5,303,371) (1,753,244) 10,684,238 49.6%
2016 3,585,082 (4,257,322) (672,240) 11,342,713 37.5%
2015 3,393,171 (4,065,411) (672,240) 11,448,621 35.5%
Note to Schedule:
Valuation Date:
Methods and assumptions used to determine contribution rates:
Actuarial cost method
Amortization method/period
Asset valuation method
Inflation
Salary increases
Payroll growth
Investment rate of return
Retirement age
Mortality
2024 533,751$ 1,306,991$ (773,240)$ 15,090,207$ 8.7%
2023 452,627 1,123,177 (670,550) 12,780,729 8.8%
2022 285,935 1,230,895 (944,960) 11,208,147 11.0%
2021 320,508 1,140,548 (820,040) 10,881,697 10.5%
2020 527,966 1,340,978 (813,012) 11,382,103 11.8%
2019 651,501 2,408,260 (1,756,759) 10,546,052 22.8%
2018 684,656 1,381,501 (696,845) 10,741,786 12.9%
Note to Schedule:
Actuarial Cost Method
Amortization Valuation Method/Period
Asset Valuation Method Market Value
Inflation 2.50%
Payroll Growth
Investment Rate of Return 5.50% per annum
Healthcare cost-trend rates
Retirement Age
Mortality
Entry Age Normal
Level percent of
3.00% per annum, in aggregate
Mortality rates used were those published by CalPERS under the 2017 Experience study and projected using
the MacLeod Watts Scale 2018 applied generationally.
Assumed to start at 6.5% and grade down by 0.5% each year to 5% in 2024
The City offers the same plans to its retirees as to its active employees, with the general exception that upon
reaching age 65 and becoming eligible for Medicare, the retiree must join one of the Medicare Supplement
coverages under PEMHCA.
Miscellaneous Agent, Multiple-Employer Pension Plan
Single Employer OPEB Plan
June 30, 2022
Entry age normal
Level percentage of payroll, closed
Market value
2.50%
Varies by entry age and service
2.75%
6.9% net of pension investment and administrative expenses, including inflation.
The probabilities of retirement are based on the 2017 CalPERS Experience Study for the period from 1997 to
2015.
The probabilities of retirement are based on the 2017 CalPERS Experience Study for the period from 1997 to
2015. Pre-retirement and post-retirement mortality rates include 15 years of projected mortality improvement
using the 90% scale MP 2016 published by the Society of Actuaries.
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CITY OF PALM DESERT, CALIFORNIA
Budgetary Comparison Schedule by Department
General Fund
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Resources (Inflows):
Taxes
Property taxes 7,646,302$ 7,646,302$ 8,768,396$ 1,122,094$
Property transfer tax 1,100,426 1,100,426 918,983 (181,443)
Property tax in lieu 5,000,000 5,000,000 5,419,392 419,392
Timeshare mitigation fee 1,711,324 3,311,324 1,789,418 (1,521,906)
Sales tax 26,623,447 25,000,000 25,391,092 391,092
Business license tax 1,300,000 1,100,000 1,272,634 172,634
Job valuation fees 35,000 35,000 48,642 13,642
Transient occupancy tax 21,005,000 22,505,000 23,006,598 501,598
Franchises 3,200,000 3,200,000 3,727,659 527,659
Penalties and interest on taxes 40,000 40,000 68,169 28,169
Total Taxes 67,661,499 68,938,052 70,410,983 1,472,931
Licenses and Permits
Building permits 1,228,300 1,428,300 1,479,918 51,618
Grading permits 25,000 15,000 11,253 (3,747)
Encroachment permits 150,000 100,000 85,406 (14,594)
Miscellaneous permits - 800 925 125
Business regulatory permits 22,500 12,500 17,094 4,594
Golf cart permits 1,500 1,500 1,310 (190)
Valet parking permits 250 250 475 225
Total Licenses and Permits 1,427,550 1,558,350 1,596,381 38,031
Intergovernmental
State mandate cost - - 68,633 68,633
Motor vehicle in-lieu fees 24,000 50,000 62,620 12,620
Monthly parking bail 5,000 5,000 5,052 52
Reimbursement RDA costs 700,000 700,000 782,473 82,473
Other reimbursements 776,500 776,500 763,663 (12,837)
Total Intergovernmental 1,505,500 1,531,500 1,682,441 150,941
Rental Income 171,000 171,000 136,047 (34,953)
Charges for Services
Subdivision fees 500,000 500,000 492,062 (7,938)
Zoning fees 40,000 50,000 59,941 9,941
Plan check fees 307,768 407,768 471,287 63,519
Sale of maps and publications 5,000 2,500 7,340 4,840
Microfilm fees 500 500 2 (498)
Vehicle impact fee 625,000 625,000 696,611 71,611
Other fees 135,450 135,450 147,201 11,751
Total Charges for Services 1,613,718 1,721,218 1,874,444 153,226
Investment Earnings
Interest income 500,000 3,000,000 6,826,348 3,826,348
Interest on notes receivable 200,000 200,000 205,226 5,226
Total Investment Earnings 700,000 3,200,000 7,031,574 3,831,574
Fines and Forfeitures
Vehicle code fines 35,000 25,000 24,931 (69)
Municipal court fines 25,000 25,000 1,720 (23,280)
VICR fees 75,000 75,000 77,772 2,772
Total Fines and Forfeitures 135,000 125,000 104,423 (20,577)
Miscellaneous
Code compliance 150,000 150,000 71,332 (78,668)
Certificate of compliance fee 500 500 250 (250)
Nuisance abatement tax 20,000 10,000 4,068 (5,932)
Abandoned vehicle abatement 50,000 50,000 31,207 (18,793)
Other revenue 267,000 267,000 515,244 248,244
Total Miscellaneous 487,500 477,500 622,101 144,601
Transfers In 1,852,700 1,852,700 396,806 (1,455,894)
Proceeds from sale of capital asset - - 594,610 594,610
Amounts Available for Appropriations 75,554,467 79,575,320 84,449,810 4,874,490
For the Year Ended June 30, 2024
See Notes to Required Supplementary Information.94
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CITY OF PALM DESERT, CALIFORNIA
Budgetary Comparison Schedule by Department
General Fund
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
For the Year Ended June 30, 2024
Charges to Appropriation (Outflow):
General Government
City Council 310,856 364,043 305,968 58,075
City Clerk 1,098,834 1,232,775 1,134,444 98,331
Legislative Advocacy 40,845 40,845 33,000 7,845
Elections 317,500 167,050 124,031 43,019
City Attorney 313,467 313,467 308,580 4,887
Legal Special Services 318,341 474,451 470,547 3,904
City Manager 1,371,083 2,699,620 2,588,316 111,304
Finance 2,443,261 2,384,251 2,206,100 178,151
Independent Audit 90,000 102,910 73,473 29,437
Human Resources 914,392 1,017,714 904,795 112,919
General Services 5,741,317 12,851,315 8,243,183 4,608,132
Information Technology 2,369,979 5,048,699 3,775,249 1,273,450
Unemployment Insurance 10,000 13,253 13,253 -
Insurance 1,149,000 996,648 991,648 5,000
Community Promotions 504,700 784,700 746,864 37,836
Marketing 1,963,471 2,053,968 1,958,430 95,538
Visitors Information Center 12,930 3,230 988 2,242
Economic Development Center 1,848,981 2,392,233 2,184,235 207,998
Code enforcement 847,877 1,028,119 915,643 112,476
Permit center 589,439 593,758 527,110 66,648
Contributions 1,592,721 1,732,871 1,656,113 76,758
Planning & Community Development 4,454,887 3,981,423 3,309,788 671,635
Total General Government 28,303,881 40,277,344 32,471,758 7,805,585
Public Safety
Police Services 21,519,523 21,637,523 20,909,026 728,497
Animal Regulation 362,000 382,000 364,087 17,913
Traffic Safety 1,237,105 1,439,518 1,370,907 68,611
Building and Safety 1,505,143 1,509,259 1,282,002 227,257
Community Safety 488,000 495,000 255,728 239,272
Total Public Safety 25,111,771 25,463,300 24,181,750 1,281,550
Parks, Recreation, and Culture
Civic Center Park 1,971,200 1,980,858 1,714,194 266,664
Park Maintenance 1,289,500 1,328,724 1,129,303 199,421
Landscaping Service 3,048,691 3,199,005 2,867,872 331,133
Total Parks, Recreation and Culture 6,309,391 6,508,587 5,711,369 797,218
Public Works
Administration 1,748,112 2,094,152 1,897,288 196,864
Street Maintenance 2,351,005 2,516,653 2,342,284 174,369
Street Resurfacing 25,000 25,000 - 25,000
Curb & Gutter 200,000 208,405 37,955 170,450
Corporate Yard 197,700 226,700 170,602 56,098
Auto Fleet / Equipment 337,500 470,403 417,528 52,875
Public Bldg - Opr/Maint.1,324,051 1,158,107 988,206 169,901
Portola Community Center 194,500 194,500 169,640 24,860
Total Public Works 6,377,868 6,893,920 6,023,503 870,417
Capital Outlay 345,000 341,132 720,738 (379,606)
Debt service:
Interest and fiscal charges - - 7,008 (7,008)
Transfers Out 8,906,074 10,227,601 9,480,177 747,424
Contribution to Other Government - - 890,129 (890,129)
Total Charges to Appropriations 75,353,985 89,711,884 79,486,432 10,225,451
Net Change in Fund Balances 200,482$ (10,136,564)$ 4,963,378 15,099,941$
Fund Balances-Beginning 120,916,512
Budgetary Fund Balance, June 30 125,879,890$
See Notes to Required Supplementary Information.95
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Prop A Fire Tax
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
Resources (Inflows)
Taxes 9,169,242$ 9,169,242$ 11,402,490$ 2,233,248$
Assessments 2,400,000 2,400,000 2,154,150 (245,850)
Intergovernmental 1,200,000 1,200,000 1,437,276 237,276
Charges for services 2,900,000 2,900,000 4,158,057 1,258,057
Investment earnings 20,000 20,000 869,365 849,365
Transfers In 4,600,000 4,600,000 4,600,000 -
Amounts Available for Appropriations 20,289,242 20,289,242 24,621,338 4,332,096
Charges to Appropriation (Outflow)
Current:
Public safety 20,343,162 21,228,340 17,377,791 3,850,549
Capital outlay 4,460,000 4,972,262 628,451 4,343,811
Total Charges to Appropriations 24,803,162 26,200,602 18,006,242 8,194,360
Net Change in Fund Balances (4,513,920)$ (5,911,360)$ 6,615,096 12,526,456$
Fund Balances-Beginning 15,738,631
Fund Balances-Ending 22,353,727$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Housing Asset Fund
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
Resources (Inflows)
Charges for services -$ -$ 198,926$ 198,926$
Investment earnings 95,000 1,083,328 1,956,111 872,783
Miscellaneous - - 34,354 34,354
Amounts Available for Appropriations 95,000 1,083,328 2,189,391 1,106,063
Charges to Appropriation (Outflow)
Current:
Housing and redevelopment 443,650 10,233,336 157,355 10,075,981
Capital outlay 300,000 300,000 105,203 194,797
Total Charges to Appropriations 743,650 10,533,336 262,558 10,270,778
Net Change in Fund Balances (648,650)$ (9,450,008)$ 1,926,833 11,376,841$
Fund Balances-Beginning 50,014,881
Fund Balances-Ending 51,941,714$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Housing Authority
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
Resources (Inflows)
Rental Income 9,068,266$ 9,068,266$ 9,158,677$ 90,411$
Investment earnings 20,000 465,000 989,378 524,378
Amounts Available for Appropriations 9,088,266 9,533,266 10,148,055 614,789
Charges to Appropriation (Outflow)
Housing and redevelopment 10,769,155 15,650,683 11,854,770 3,795,913
Transfers out 941,044 941,044 452,997 488,047
Total Charges to Appropriations 11,710,199 16,591,727 12,307,767 4,283,960
Net Change in Fund Balances (2,621,933)$ (7,058,461)$ (2,159,712) 4,898,749$
Fund Balances-Beginning 19,257,430
Fund Balances-Ending 17,097,718$
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CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments 4,315$ 4,078,636$ 23,344,068$ 3,142,586$
Receivables:
Accounts - - - -
Assessments - - - -
Loans - - - -
Interest - - - -
Deposits - - - -
Prepaid costs - - - -
Due from other governments 661 484,744 903,483 -
Advances to other funds - - - -
Property held for resale - - - -
Restricted assets:
Cash and investments with fiscal agents - - - -
Total Assets 4,976 4,563,380 24,247,551 3,142,586
LIABILITIES
Accounts payable - 324,026 580,660 32,464
Accrued liabilities - - - -
Unearned revenue - - - -
Deposits payable - - - -
Due to other funds - - - -
Advances to other funds - - - -
Total Liabilities - 324,026 580,660 32,464
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues - - 280,889 -
Total Deferred Inflows of Resources - - 280,889 -
FUND BALANCES (DEFICITS)
Nonspendable - - - -
Restricted 4,976 4,239,354 23,386,002 3,110,122
Committed - - - -
Assigned - - - -
Unassigned - - - -
Total Fund Balances (Deficits)4,976 4,239,354 23,386,002 3,110,122
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)4,976$ 4,563,380$ 24,247,551$ 3,142,586$
Traffic Safety Gas Tax Measure A
Housing
Mitigation Fee
Special Revenue Funds
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CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments
Receivables:
Accounts
Assessments
Loans
Interest
Deposits
Prepaid costs
Due from other governments
Advances to other funds
Property held for resale
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenue
Deposits payable
Due to other funds
Advances to other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)
(Continued)
-$ 866,922$ 216,183$ 1,939,127$
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
205,857 - - -
- - - -
- - - -
- - - -
205,857 866,922 216,183 1,939,127
144,634 - 10,572 5,500
- - - -
- - 175,852 -
- - - -
22,061 - - -
- - - -
166,695 - 186,424 5,500
- - - -
- - - -
- - - -
39,162 866,922 29,759 1,933,627
- - - -
- - - -
- - - -
39,162 866,922 29,759 1,933,627
205,857$ 866,922$ 216,183$ 1,939,127$
New
Construction
Tax
Community
Development
Block Grant
Child Care
Program
Public Safety
Police Grants
Special Revenue Funds
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CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments
Receivables:
Accounts
Assessments
Loans
Interest
Deposits
Prepaid costs
Due from other governments
Advances to other funds
Property held for resale
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenue
Deposits payable
Due to other funds
Advances to other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)
861,277$ 2,146,130$ 606,215$ 1,271,172$
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
861,277 2,146,130 606,215 1,271,172
9,212 356,539 - 84,867
- - - -
- - - -
- - - -
- - - -
- - - -
9,212 356,539 - 84,867
- - - -
- - - -
- - - -
852,065 1,789,591 606,215 1,186,305
- - - -
- - - -
- - - -
852,065 1,789,591 606,215 1,186,305
861,277$ 2,146,130$ 606,215$ 1,271,172$
Planned
Drainage
Parks and
Recreational
Facilities Traffic Signals
Fire Facilities
Restoration
Special Revenue Funds
104
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CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments
Receivables:
Accounts
Assessments
Loans
Interest
Deposits
Prepaid costs
Due from other governments
Advances to other funds
Property held for resale
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenue
Deposits payable
Due to other funds
Advances to other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)
(Continued)
3,534,217$ 1,720,780$ 51,916$ 3,184,862$
66,073 - - 252,065
- 1,147 - -
- 975,973 - -
- 41,996 - -
- - - -
- - - 8,997
- - - -
- - - -
- - - 13,710
- - - -
3,600,290 2,739,896 51,916 3,459,634
20,805 22,000 20,184 658,004
- - - -
110,143 - - 2,400
- - - -
- - - -
- 810,000 - -
130,948 832,000 20,184 660,404
- 38,514 - -
- 38,514 - -
- - - 22,707
3,469,342 - 31,732 -
- 1,869,382 - 2,776,523
- - - -
- - - -
3,469,342 1,869,382 31,732 2,799,230
3,600,290$ 2,739,896$ 51,916$ 3,459,634$
Recycling
Energy
Independence
Loan
Air Quality
Management
Aquatic
Center
Special Revenue Funds
105
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CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments
Receivables:
Accounts
Assessments
Loans
Interest
Deposits
Prepaid costs
Due from other governments
Advances to other funds
Property held for resale
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenue
Deposits payable
Due to other funds
Advances to other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)
1,409,788$ 107,665$ 2,686,247$ 1,423,062$
88,494 14,729 4,916 -
- - - -
- - - -
- - - -
- - - -
- - - -
- - 30,544 -
- - - -
- - - -
- - - -
1,498,282 122,394 2,721,707 1,423,062
- 19,750 205,696 -
- - - 13,052
- - - -
3,780 - - -
- - 11,557 -
- - - -
3,780 19,750 217,253 13,052
- - - -
- - - -
- - - -
1,494,502 102,644 2,504,454 1,410,010
- - - -
- - - -
- - - -
1,494,502 102,644 2,504,454 1,410,010
1,498,282$ 122,394$ 2,721,707$ 1,423,062$
Affordable
Housing
Cannabis
Compliance
El Paseo
Assessment
District
Various
Landscape
and Lighting
District
Special Revenue Funds
106
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CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments
Receivables:
Accounts
Assessments
Loans
Interest
Deposits
Prepaid costs
Due from other governments
Advances to other funds
Property held for resale
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenue
Deposits payable
Due to other funds
Advances to other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)
(Continued)
-$ 139,814$ 773,392$ 10,986,347$
- - - 50,000
- - - -
- - - -
- - - -
- - - -
- - 20,460 -
- - - -
- - - -
- - - -
- - - -
- 139,814 793,852 11,036,347
9,565 9,565 105,934 664,790
- - 53,135 -
- 122,710 - 251,273
- - - -
161,319 - - -
- - - -
170,884 132,275 159,069 916,063
- - - -
- - - -
- - 20,460 -
- 7,539 - -
- - - -
- - 614,323 10,120,284
(170,884) - - -
(170,884) 7,539 634,783 10,120,284
-$ 139,814$ 793,852$ 11,036,347$
Capital
Projects
Reserve
Permanent
Local Housing
Allocation
Grant
Opioid
Settlement
Library
Services
Special Revenue Funds
107
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146
CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments
Receivables:
Accounts
Assessments
Loans
Interest
Deposits
Prepaid costs
Due from other governments
Advances to other funds
Property held for resale
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenue
Deposits payable
Due to other funds
Advances to other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)
4,775,792$ 1,237,229$ 10,605$ 1,521,638$
- - - -
- - - -
- - - -
- - - -
- 20,000 - -
- 17,633 - -
- - - -
- - - -
- - - -
- - - -
4,775,792 1,274,862 10,605 1,521,638
30,068 62,900 - 11,390
- - - -
- - - -
- - - -
- - - -
- - - -
30,068 62,900 - 11,390
- - - -
- - - -
- 37,633 - -
- - - 1,510,248
- - - -
4,745,724 1,174,329 10,605 -
- - - -
4,745,724 1,211,962 10,605 1,510,248
4,775,792$ 1,274,862$ 10,605$ 1,521,638$
Drainage
Facilities
Economic
Development
Parks and
Recreational
Facilities
Art in Public
Places
Capital Projects Funds
108
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CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments
Receivables:
Accounts
Assessments
Loans
Interest
Deposits
Prepaid costs
Due from other governments
Advances to other funds
Property held for resale
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenue
Deposits payable
Due to other funds
Advances to other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)
(Continued)
117,578$ 8,441,685$ 2,184$ 4,303,711$
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - 17,814
- 2,399,202 - -
- - - -
- - - -
117,578 10,840,887 2,184 4,321,525
- 3,257,947 243,049 568,659
- - - -
- - - -
- - - -
- - 33,756 -
- - - -
- 3,257,947 276,805 568,659
- - - -
- - - -
- - - -
- - - -
- - - 3,752,866
117,578 7,582,940 - -
- - (274,621) -
117,578 7,582,940 (274,621) 3,752,866
117,578$ 10,840,887$ 2,184$ 4,321,525$
Capital Golf Buildings Library Signalization
Capital Projects Funds
109
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CITY OF PALM DESERT, CALIFORNIA
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
ASSETS
Pooled cash and investments
Receivables:
Accounts
Assessments
Loans
Interest
Deposits
Prepaid costs
Due from other governments
Advances to other funds
Property held for resale
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES
Accounts payable
Accrued liabilities
Unearned revenue
Deposits payable
Due to other funds
Advances to other funds
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues
Total Deferred Inflows of Resources
FUND BALANCES (DEFICITS)
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total Fund Balances (Deficits)
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances (Deficits)
Capital
Projects Funds
Debt Service
Funds
Total
Nonmajor
Funds
198,807$ 141,221$ 85,245,171$
- - 476,277
- 1,016,007 1,017,154
- - 975,973
- - 41,996
- - 20,000
- - 47,090
- 1,334 1,644,437
- - 2,399,202
- - 13,710
2,671,678 - 2,671,678
2,870,485 1,158,562 94,552,688
2,671,639 125 10,130,544
- - 66,187
- - 662,378
- - 3,780
- - 228,693
- - 810,000
2,671,639 125 11,901,582
- 1,016,007 1,335,410
- 1,016,007 1,335,410
- - 80,800
198,846 142,430 48,915,847
- - 8,398,771
- - 24,365,783
- - (445,505)
198,846 142,430 81,315,696
2,870,485$ 1,158,562$ 94,552,688$
City Highlands
Undergrounding
Special
Assessment
District
110
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149
7KLVSDJHLQWHQWLRQDOO\OHIWEODQN
111
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150
CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes -$ -$ 3,469,376$ 31,800$
Special assessments collected - - - -
Licenses and permits - - - -
Intergovernmental revenues - 2,811,135 121,088 -
Rental income - - - -
Charges for services - - - -
Investment earnings 237 243,147 1,226,499 169,971
Fines and forfeitures 1,729 - - -
Capital contributions - - - -
Miscellaneous - - - 30,000
Total revenues 1,966 3,054,282 4,816,963 231,771
EXPENDITURES
Current:
General government - - - -
Public safety - - - -
Parks, recreation and culture - - - -
Public works - 3,638,431 153,447 -
Housing - - - 277,592
Library - - - -
Capital outlay - - 2,875,899 -
Debt service:
Principal - - - -
Interest and fiscal charges - - - -
Total expenditures - 3,638,431 3,029,346 277,592
Excess (deficiency) of revenues
over (under) expenditures 1,966 (584,149) 1,787,617 (45,821)
OTHER FINANCING SOURCES (USES)
Transfers In - - - -
Transfers Out (2,700) - - -
Total other financing sources (uses)(2,700) - - -
Net change in fund balances (734) (584,149) 1,787,617 (45,821)
Fund balances-beginning 5,710 4,823,503 21,598,385 3,155,943
Fund balances (deficit)-ending 4,976$ 4,239,354$ 23,386,002$ 3,110,122$
Traffic Safety
Special Revenue Funds
Gas Tax Measure A
Housing
Mitigation Fee
112
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151
CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special assessments collected
Licenses and permits
Intergovernmental revenues
Rental income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Total other financing sources (uses)
Net change in fund balances
Fund balances-beginning
Fund balances (deficit)-ending
(Continued)
-$ 54,200$ -$ 265,447$
- - - -
- - - -
737,446 - 86,487 -
- - - -
- - - -
- 43,654 8,685 95,246
- - - -
- - - -
- - - -
737,446 97,854 95,172 360,693
612,664 - - -
- - 86,487 -
- - - -
- - - -
- - - -
- - - -
124,782 - - 5,911
- - - -
- - - -
737,446 - 86,487 5,911
- 97,854 8,685 354,782
- - - -
- - - -
- - - -
- 97,854 8,685 354,782
39,162 769,068 21,074 1,578,845
39,162$ 866,922$ 29,759$ 1,933,627$
New
Construction
Tax
Special Revenue Funds
Community
Development
Block Grant
Child Care
Program
Public Safety
Police Grants
113
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special assessments collected
Licenses and permits
Intergovernmental revenues
Rental income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Total other financing sources (uses)
Net change in fund balances
Fund balances-beginning
Fund balances (deficit)-ending
54,470$ 427,547$ 50,640$ 166,938$
- - - -
- - - -
- - - -
- - - -
- - - -
47,972 92,047 30,041 86,848
- - - -
- - - -
- - - -
102,442 519,594 80,681 253,786
- - - -
147,724 - - -
- - - -
- - - -
- - - -
- - - -
- 360,272 - 622,933
- - - -
- - - -
147,724 360,272 - 622,933
(45,282) 159,322 80,681 (369,147)
- - - -
- - - (25,248)
- - - (25,248)
(45,282) 159,322 80,681 (394,395)
897,347 1,630,269 525,534 1,580,700
852,065$ 1,789,591$ 606,215$ 1,186,305$
Planned
Drainage
Parks and
Recreational
Facilities
Special Revenue Funds
Traffic Signals
Fire Facilities
Restoration
114
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special assessments collected
Licenses and permits
Intergovernmental revenues
Rental income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Total other financing sources (uses)
Net change in fund balances
Fund balances-beginning
Fund balances (deficit)-ending
(Continued)
-$ -$ -$ -$
- 54,510 - -
- - - -
145,630 - 51,055 -
- - - 55,032
466,258 - - 906,765
179,202 90,020 1,969 55,398
- - - -
- - - -
- - - -
791,090 144,530 53,024 1,017,195
475,941 3,891 52,501 -
- - - -
- - - 2,768,686
- - - -
- - - -
- - - -
- - 1,080 326,471
- 38,000 - -
- 58,560 - -
475,941 100,451 53,581 3,095,157
315,149 44,079 (557) (2,077,962)
- - - 2,976,250
- - - -
- - - 2,976,250
315,149 44,079 (557) 898,288
3,154,193 1,825,303 32,289 1,900,942
3,469,342$ 1,869,382$ 31,732$ 2,799,230$
Special Revenue Funds
Recycling
Energy
Independence
Loan
Air Quality
Management
Aquatic
Center
115
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special assessments collected
Licenses and permits
Intergovernmental revenues
Rental income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Total other financing sources (uses)
Net change in fund balances
Fund balances-beginning
Fund balances (deficit)-ending
1,005,446$ -$ -$ -$
- 297,039 1,060,525 -
- - - -
- - - -
- - - -
- - - -
37,803 5,532 246,818 (537)
- - - -
- - - -
- - - 46,377
1,043,249 302,571 1,307,343 45,840
- 262,142 - 1,760
2,916 - - -
- - - -
- - 3,795,710 -
- - - 436,598
- - - -
- - - 120
- - - -
- - - -
2,916 262,142 3,795,710 438,478
1,040,333 40,429 (2,488,367) (392,638)
- - 110,000 452,997
- - - -
- - 110,000 452,997
1,040,333 40,429 (2,378,367) 60,359
454,169 62,215 4,882,821 1,349,651
1,494,502$ 102,644$ 2,504,454$ 1,410,010$
Special Revenue Funds
Affordable
Housing
Cannabis
Compliance
El Paseo
Assessment
District
Various
Landscape
and Lighting
District
116
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special assessments collected
Licenses and permits
Intergovernmental revenues
Rental income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Total other financing sources (uses)
Net change in fund balances
Fund balances-beginning
Fund balances (deficit)-ending
(Continued)
-$ -$ -$ -$
- - - -
- - - -
- 78,734 - -
- - - -
- - - -
2,716 5,051 14,357 682,681
- - - -
- - - -
- - - 312,321
2,716 83,785 14,357 995,002
- - - 700,000
- - - -
- - - 292,121
- - - -
78,734 78,734 - -
- - 606,561 -
- - - 1,926,338
- - - -
- - - -
78,734 78,734 606,561 2,918,459
(76,018) 5,051 (592,204) (1,923,457)
- - 1,321,527 2,000,000
(100,000) - (94,540) (3,200,000)
(100,000) - 1,226,987 (1,200,000)
(176,018) 5,051 634,783 (3,123,457)
5,134 2,488 - 13,243,741
(170,884)$ 7,539$ 634,783$ 10,120,284$
Special Revenue Funds
Permanent
Local Housing
Allocation
Grant
Opioid
Settlement
Library
Services
Capital
Projects
Reserve
117
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special assessments collected
Licenses and permits
Intergovernmental revenues
Rental income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Total other financing sources (uses)
Net change in fund balances
Fund balances-beginning
Fund balances (deficit)-ending
-$ -$ -$ -$
- - - -
- - - 394,251
- 219,836 - -
- 113,550 - -
- - - -
94,297 73,940 558 77,436
- - - -
- - - -
- 1,500 - 9,207
94,297 408,826 558 480,894
- 450,466 - -
- - - -
- - - 113,750
312,744 2,082 - -
- 206,911 - -
- - - -
- 10,000 - 159,535
- - - -
- - - -
312,744 669,459 - 273,285
(218,447) (260,633) 558 207,609
3,200,000 - - -
- - - -
3,200,000 - - -
2,981,553 (260,633) 558 207,609
1,764,171 1,472,595 10,047 1,302,639
4,745,724$ 1,211,962$ 10,605$ 1,510,248$
Capital Projects Funds
Drainage
Facilities
Economic
Development
Parks and
Recreational
Facilities
Art in Public
Places
118
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special assessments collected
Licenses and permits
Intergovernmental revenues
Rental income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Total other financing sources (uses)
Net change in fund balances
Fund balances-beginning
Fund balances (deficit)-ending
(Continued)
-$ -$ -$ -$
- - - -
- - - -
- - - 4,000,000
- - - -
- 2,680,153 - -
6,173 690,324 70,343 90,926
- - - -
- - - -
- 900,122 - -
6,173 4,270,599 70,343 4,090,926
- - 164,235 -
- - - -
- 10,026,646 - -
- - - -
- - - -
- - - -
- - 2,091,983 1,025,579
- - - -
- - - -
- 10,026,646 2,256,218 1,025,579
6,173 (5,756,047) (2,185,875) 3,065,347
- - - -
- - - -
- - - -
6,173 (5,756,047) (2,185,875) 3,065,347
111,405 13,338,987 1,911,254 687,519
117,578$ 7,582,940$ (274,621)$ 3,752,866$
Capital Projects Funds
Signalization Capital Golf Buildings Library
119
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2024
REVENUES
Taxes
Special assessments collected
Licenses and permits
Intergovernmental revenues
Rental income
Charges for services
Investment earnings
Fines and forfeitures
Capital contributions
Miscellaneous
Total revenues
EXPENDITURES
Current:
General government
Public safety
Parks, recreation and culture
Public works
Housing
Library
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Transfers In
Transfers Out
Total other financing sources (uses)
Net change in fund balances
Fund balances-beginning
Fund balances (deficit)-ending
Capital
Projects Funds
Debt Service
Funds
Total
Nonmajor
Funds
-$ -$ 5,525,864$
- 131,442 1,543,516
- - 394,251
- - 8,251,411
- - 168,582
- - 4,053,210
8,743 4,879 4,482,976
- - 1,729
10,000,000 - 10,000,000
- - 1,299,493
10,008,743 136,321 35,721,032
- 15,506 2,739,106
- - 237,127
- - 13,201,203
- - 7,902,414
- - 1,078,569
- - 606,561
10,000,000 - 19,530,903
- 52,000 90,000
- 51,452 110,012
10,000,000 118,958 45,495,895
8,743 17,363 (9,774,863)
- - 10,060,774
- - (3,422,488)
- - 6,638,286
8,743 17,363 (3,136,577)
190,103 125,067 84,452,273
198,846$ 142,430$ 81,315,696$
Special
Assessment
District
City Highlands
Undergrounding
120
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Traffic Safety
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property -$ -$ 237$ 237$
Fines and forfeitures 2,700 2,700 1,729 (971)
Total Revenues 2,700 2,700 1,966 (734)
OTHER FINANCING SOURCES (USES)
Transfers in - - - -
Transfers out (2,700) (2,700) (2,700) -
Total Other Financing Sources (Uses)(2,700) (2,700) (2,700) -
Net Change in Fund Balances -$ -$ (734) (734)$
Fund Balances (Deficit)-Beginning 5,710
Fund Balances (Deficit)-Ending 4,976$
121
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Gas Tax
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental 2,716,001$ 2,716,001$ 2,811,135$ 95,134$
Use of money and property 14,560 14,560 243,147 228,587
Total Revenues 2,730,561 2,730,561 3,054,282 323,721
EXPENDITURES
Current:
Public works 2,205,000 9,075,897 3,638,431 5,437,466
Total Expenditures 2,205,000 9,075,897 3,638,431 5,437,466
Net Change in Fund Balances 525,561$ (6,345,336)$ (584,149) 5,761,187$
Fund Balances (Deficit)-Beginning 4,823,503
Fund Balances (Deficit)-Ending 4,239,354$
122
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Measure A
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 3,263,000$ 3,263,000$ 3,469,376$ 206,376$
Intergovernmental 1,663,000 1,663,000 121,088 (1,541,912)
Use of money and property 100,000 100,000 1,226,499 1,126,499
Total Revenues 5,026,000 5,026,000 4,816,963 (209,037)
EXPENDITURES
Current:
Public works 2,950,000 3,017,064 153,447 2,863,617
Capital outlay 11,209,925 17,733,824 2,875,899 14,857,925
Total Expenditures 14,159,925 20,750,888 3,029,346 17,721,542
Net Change in Fund Balances (9,133,925)$ (15,724,888)$ 1,787,617 17,512,505$
Fund Balances (Deficit)-Beginning 21,598,385
Fund Balances (Deficit)-Ending 23,386,002$
123
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Housing Mitigation Fee
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 64,000$ 64,000$ 31,800$ (32,200)$
Use of money and property 8,000 8,000 169,971 161,971
Miscellaneous - - 30,000 30,000
Total Revenues 72,000 72,000 231,771 159,771
EXPENDITURES
Housing 404,500 989,216 277,592 711,624
Total Expenditures 404,500 989,216 277,592 711,624
Net Change in Fund Balances (332,500)$ (917,216)$ (45,821) 871,395$
Fund Balances (Deficit)-Beginning 3,155,943
Fund Balances (Deficit)-Ending 3,110,122$
124
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Community Development Block Grant
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental 418,663$ 418,663$ 737,446$ 318,783$
Use of money and property 100 100 - (100)
Total Revenues 418,763 418,763 737,446 318,683
EXPENDITURES
General government 393,904 1,159,920 612,664 547,256
Capital outlay - 329,544 124,782 204,762
Total Expenditures 393,904 1,489,464 737,446 752,018
Net Change in Fund Balances 24,859$ (1,070,701)$ - 1,070,701$
Fund Balances (Deficit)-Beginning 39,162
Fund Balances (Deficit)-Ending 39,162$
125
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Child Care Program
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 90,000$ 90,000$ 54,200$ (35,800)$
Use of money and property 4,000 4,000 43,654 39,654
Total Revenues 94,000 94,000 97,854 3,854
EXPENDITURES
Capital outlay - 684,000 - 684,000
Total Expenditures - 684,000 - 684,000
Net Change in Fund Balances 94,000$ (590,000)$ 97,854 687,854$
Fund Balances (Deficit)-Beginning 769,068
Fund Balances (Deficit)-Ending 866,922$
126
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Public Safety Police Grants
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental 200,000$ 200,000$ 86,487$ (113,513)$
Use of money and property 500 500 8,685 8,185
Total Revenues 200,500 200,500 95,172 (105,328)
EXPENDITURES
Public safety 234,000 142,125 86,487 55,638
Total Expenditures 234,000 142,125 86,487 55,638
Net Change in Fund Balances (33,500)$ 58,375$ 8,685 (49,690)$
Fund Balances (Deficit)-Beginning 21,074
Fund Balances (Deficit)-Ending 29,759$
127
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
New Construction Tax
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 414,200$ 414,200$ 265,447$ (148,753)$
Intergovernmental 3,724,907 3,724,907 - (3,724,907)
Use of money and property 8,000 8,000 95,246 87,246
Total Revenues 4,147,107 4,147,107 360,693 (3,786,414)
EXPENDITURES
Capital outlay 500,000 530,000 5,911 524,089
Total Expenditures 500,000 530,000 5,911 524,089
Net Change in Fund Balances 3,647,107$ 3,617,107$ 354,782 (3,262,325)$
Fund Balances (Deficit)-Beginning 1,578,845
Fund Balances (Deficit)-Ending 1,933,627$
128
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Planned Drainage
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 70,000$ 70,000$ 54,470$ (15,530)$
Use of money and property 2,500 2,500 47,972 45,472
Total Revenues 72,500 72,500 102,442 29,942
EXPENDITURES
Public safety 263,138 500,000 147,724 352,276
Total Expenditures 263,138 500,000 147,724 352,276
Net Change in Fund Balances (190,638)$ (427,500)$ (45,282) 382,218$
Fund Balances (Deficit)-Beginning 897,347
Fund Balances (Deficit)-Ending 852,065$
129
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Parks and Recreational Facilities
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 175,000$ 175,000$ 427,547$ 252,547$
Use of money and property 3,000 3,000 92,047 89,047
Total Revenues 178,000 178,000 519,594 341,594
EXPENDITURES
Capital outlay - 1,000,000 360,272 639,728
Total Expenditures - 1,000,000 360,272 639,728
Net Change in Fund Balances 178,000$ (822,000)$ 159,322 981,322$
Fund Balances (Deficit)-Beginning 1,630,269
Fund Balances (Deficit)-Ending 1,789,591$
130
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Traffic Signals
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 20,000$ 36,000$ 50,640$ 14,640$
Use of money and property 500 500 30,041 29,541
Total Revenues 20,500 36,500 80,681 44,181
EXPENDITURES
Capital outlay 235,075 460,075 - 460,075
Total Expenditures 235,075 460,075 - 460,075
Net Change in Fund Balances (214,575)$ (423,575)$ 80,681 504,256$
Fund Balances (Deficit)-Beginning 525,534
Fund Balances (Deficit)-Ending 606,215$
131
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Fire Facilities Restoration
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 116,100$ 116,100$ 166,938$ 50,838$
Use of money and property 7,000 7,000 86,848 79,848
Total Revenues 123,100 123,100 253,786 130,686
EXPENDITURES
Capital outlay 645,600 1,734,849 622,933 1,111,916
Total Expenditures 645,600 1,734,849 622,933 1,111,916
Excess (Deficiency) of Revenues
Transfers out - (25,248) (25,248) -
Total Other Financing Sources (Uses) - (25,248) (25,248) -
Net Change in Fund Balances (522,500)$ (1,636,997)$ (394,395) 1,242,602$
Fund Balances (Deficit)-Beginning 1,580,700
Fund Balances (Deficit)-Ending 1,186,305$
132
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Recycling
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental 54,130$ 54,130$ 145,630$ 91,500$
Charges for services 430,000 430,000 466,258 36,258
Use of money and property 15,000 15,000 179,202 164,202
Total Revenues 499,130 499,130 791,090 291,960
EXPENDITURES
General government 516,180 572,604 475,941 96,663
Total Expenditures 516,180 572,604 475,941 96,663
Net Change in Fund Balances (17,050)$ (73,474)$ 315,149 388,623$
Fund Balances (Deficit)-Beginning 3,154,193
Fund Balances (Deficit)-Ending 3,469,342$
133
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Energy Independence Loan
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Assessments 300,000$ 300,000$ 54,510$ (245,490)$
Use of money and property 5,000 6,200 90,020 83,820
Total Revenues 305,000 306,200 144,530 (161,670)
EXPENDITURES
General government 15,000 15,000 3,891 11,109
Debt service:
Principal 130,000 130,000 38,000 92,000
Interest and fiscal charges 83,480 83,480 58,560 24,920
Total Expenditures 228,480 228,480 100,451 128,029
Net Change in Fund Balances 76,520$ 77,720$ 44,079 (33,641)$
Fund Balances (Deficit)-Beginning 1,825,303
Fund Balances (Deficit)-Ending 1,869,382$
134
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Air Quality Management
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental 73,400$ 73,400$ 51,055$ (22,345)$
Use of money and property 50 50 1,969 1,919
Total Revenues 73,450 73,450 53,024 (20,426)
EXPENDITURES
General government 63,000 74,000 52,501 21,499
Capital outlay 15,830 15,830 1,080 14,750
Total Expenditures 78,830 89,830 53,581 36,249
Net Change in Fund Balances (5,380)$ (16,380)$ (557) 15,823$
Fund Balances (Deficit)-Beginning 32,289
Fund Balances (Deficit)-Ending 31,732$
135
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Aquatic Center
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Rental income -$ -$ 55,032$ 55,032$
Charges for services 648,000 648,000 906,765 258,765
Use of money and property 16,000 16,000 55,398 39,398
Total Revenues 664,000 664,000 1,017,195 353,195
EXPENDITURES
Current:
Parks and recreation 2,640,250 2,974,671 2,768,686 205,985
Capital outlay 1,250,000 1,576,286 326,471 1,249,815
Total Expenditures 3,890,250 4,550,957 3,095,157 1,455,800
Excess (Deficiency) of Revenues
Over (Under) Expenditures (3,226,250) (3,886,957) (2,077,962) 1,808,995
OTHER FINANCING SOURCES (USES)
Transfers in 2,976,250 2,976,250 2,976,250 -
Total Other Financing Sources (Uses)2,976,250 2,976,250 2,976,250 -
Net Change in Fund Balances (250,000)$ (910,707)$ 898,288 1,808,995$
Fund Balances (Deficit)-Beginning 1,900,942
Fund Balances (Deficit)-Ending 2,799,230$
136
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Cannabis Compliance
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 1,210,000$ 934,700$ 1,005,446$ 70,746$
Use of money and property - - 37,803 37,803
Total Revenues 1,210,000 934,700 1,043,249 108,549
EXPENDITURES
Public safety - 5,000 2,916 2,084
Total Expenditures - 5,000 2,916 2,084
Excess (Deficiency) of Revenues
Over (Under) Expenditures 1,210,000 929,700 1,040,333 110,633
OTHER FINANCING SOURCES (USES)
Transfers out (1,200,000) (1,195,000) - 1,195,000
Total Other Financing Sources (Uses) (1,200,000) (1,195,000) - 1,195,000
Net Change in Fund Balances 10,000$ (265,300)$ 1,040,333 1,305,633$
Fund Balances (Deficit)-Beginning 454,169
Fund Balances (Deficit)-Ending 1,494,502$
137
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
El Paseo Assessment District
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Assessments 250,000$ 411,770$ 297,039$ (114,731)$
Use of money and property - - 5,532 5,532
Total Revenues 250,000 411,770 302,571 (109,199)
EXPENDITURES
General government 250,000 330,000 262,142 67,858
Total Expenditures 250,000 330,000 262,142 67,858
Net Change in Fund Balances -$ 81,770$ 40,429 (41,341)$
Fund Balances (Deficit)-Beginning 62,215
Fund Balances (Deficit)-Ending 102,644$
138
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Various Landscape and Lighting District
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Assessments 895,475$ 933,475$ 1,060,525$ 127,050$
Use of money and property 7,000 7,000 246,818 239,818
Total Revenues 902,475 940,475 1,307,343 366,868
EXPENDITURES
Public works 1,825,362 4,286,986 3,795,710 491,276
Total Expenditures 1,825,362 4,286,986 3,795,710 491,276
Excess (Deficiency) of Revenues
Over (Under) Expenditures (922,887) (3,346,511) (2,488,367) 858,144
OTHER FINANCING SOURCES (USES)
Transfers in 110,000 110,000 110,000 -
Total Other Financing Sources (Uses)110,000 110,000 110,000 -
Net Change in Fund Balances (812,887)$ (3,236,511)$ (2,378,367) 858,144$
Fund Balances (Deficit)-Beginning 4,882,821
Fund Balances (Deficit)-Ending 2,504,454$
139
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Affordable Housing
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property -$ -$ (537)$ (537)$
Miscellaneous - - 46,377 46,377
Total Revenues - - 45,840 45,840
EXPENDITURES
General government - 1,900 1,760 140
Housing 503,922 474,945 436,598 38,347
Capital outlay 1,000 1,000 120 880
Total Expenditures 504,922 477,845 438,478 39,367
Excess (Deficiency) of Revenues
Over (Under) Expenditures (504,922) (477,845) (392,638) 85,207
OTHER FINANCING SOURCES (USES)
Transfers in 504,922 504,922 452,997 (51,925)
Total Other Financing Sources (Uses)504,922 504,922 452,997 (51,925)
Net Change in Fund Balances -$ 27,077$ 60,359 33,282$
Fund Balances (Deficit)-Beginning 1,349,651
Fund Balances (Deficit)-Ending 1,410,010$
140
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Permanent Local Housing Allocation Grant
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental 250,000$ 250,000$ -$ (250,000)$
Use of money and property - - 2,716 2,716
Total Revenues 250,000 250,000 2,716 (247,284)
EXPENDITURES
Housing - 150,000 78,734 71,266
Total Expenditures - 150,000 78,734 71,266
Excess (Deficiency) of Revenues
Over (Under) Expenditures 250,000 100,000 (76,018) (176,018)
OTHER FINANCING SOURCES (USES)
Transfers out (250,000) (100,000) (100,000) -
Total Other Financing Sources (Uses)(250,000) (100,000) (100,000) -
Net Change in Fund Balances -$ -$ (176,018) (176,018)$
Fund Balances (Deficit)-Beginning 5,134
Fund Balances (Deficit)-Ending (170,884)$
141
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Opioid Settlement
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental -$ -$ 78,734$ 78,734$
Use of money and property - - 5,051 5,051
Total Revenues - - 83,785 83,785
EXPENDITURES
Housing - 101,000 78,734 22,266
Total Expenditures - 101,000 78,734 22,266
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (101,000) 5,051 106,051
Net Change in Fund Balances -$ (101,000)$ 5,051 106,051$
Fund Balances (Deficit)-Beginning 2,488
Fund Balances (Deficit)-Ending 7,539$
142
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Library Services
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property -$ -$ 14,357$ 14,357$
Total Revenues - - 14,357 14,357
EXPENDITURES
Library - 1,255,002 606,561 648,441
Total Expenditures - 1,255,002 606,561 648,441
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (1,255,002) (592,204) 662,798
OTHER FINANCING SOURCES (USES)
Transfers in - 1,321,527 1,321,527 -
Transfers out - (94,540) (94,540) -
Total Other Financing Sources (Uses) - 1,226,987 1,226,987 -
Net Change in Fund Balances -$ (28,015)$ 634,783 662,798$
Fund Balances (Deficit)-Beginning -
Fund Balances (Deficit)-Ending 634,783$
143
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Restricted Capital Project Fund
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
Resources (Inflows)
Investment earnings 250,000$ 250,000$ 3,178,677$ 2,928,677$
Amounts Available for Appropriations 250,000 250,000 3,178,677 2,928,677
Charges to Appropriation (Outflow)
General government - - 1,540 (1,540)
Public safety - 1,900,000 1,653,302 246,698
Public works 900,000 10,180,303 176,739 10,003,564
Capital outlay 31,177,730 31,535,153 3,524,809 28,010,344
Transfers out - - 1,800,000 (1,800,000)
Total Charges to Appropriations 32,077,730 43,615,456 7,156,390 36,459,066
Net Change in Fund Balances (31,827,730)$ (43,365,456)$ (3,977,713) 39,387,743$
Fund Balances-Beginning 51,210,890
Fund Balances-Ending 47,233,177$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Capital Projects Reserve
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property 10,000$ 10,000$ 682,681$ 672,681$
Miscellaneous - - 312,321 312,321
Total Revenues 10,000 10,000 995,002 985,002
EXPENDITURES
Current:
General government 3,400,000 3,900,000 700,000 3,200,000
Parks and recreation 3,150,000 574,516 292,121 282,395
Capital outlay 3,630,578 5,918,796 1,926,338 3,992,458
Total Expenditures 10,180,578 10,393,312 2,918,459 7,474,853
Excess (Deficiency) of Revenues
Over (Under) Expenditures (10,170,578) (10,383,312) (1,923,457) 8,459,855
OTHER FINANCING SOURCES (USES)
Transfers in 200,000 200,000 2,000,000 1,800,000
Transfers out (3,200,000) (3,200,000) (3,200,000) -
Total Other Financing Sources (Uses) (3,000,000) (3,000,000) (1,200,000) 1,800,000
Net Change in Fund Balances (13,170,578)$ (13,383,312)$ (3,123,457) 10,259,855$
Fund Balances (Deficit)-Beginning 13,243,741
Fund Balances (Deficit)-Ending 10,120,284$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Drainage Facilities
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property 20,000$ 20,000$ 94,297$ 74,297$
Total Revenues 20,000 20,000 94,297 74,297
EXPENDITURES
Public works 3,200,000 3,824,279 312,744 3,511,535
Total Expenditures 3,200,000 3,824,279 312,744 3,511,535
Excess (Deficiency) of Revenues
Over (Under) Expenditures (3,180,000) (3,804,279) (218,447) 3,585,832
OTHER FINANCING SOURCES (USES)
Transfers in 3,200,000 3,200,000 3,200,000 -
Total Other Financing Sources (Uses)3,200,000 3,200,000 3,200,000 -
Net Change in Fund Balances 20,000$ (604,279)$ 2,981,553 3,585,832$
Fund Balances (Deficit)-Beginning 1,764,171
Fund Balances (Deficit)-Ending 4,745,724$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Economic Development
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental 15,000$ 15,000$ 219,836$ 204,836$
Rental income 64,543 64,543 113,550 49,007
Use of money and property 10,000 10,000 73,940 63,940
Miscellaneous - 1,500 1,500 -
Total Revenues 89,543 91,043 408,826 317,783
EXPENDITURES
General government 492,952 1,208,990 450,466 758,524
Public works 3,600 3,600 2,082 1,518
Housing 234,000 298,000 206,911 91,089
Capital outlay - 15,000 10,000 5,000
Total Expenditures 730,552 1,525,590 669,459 856,131
Net Change in Fund Balances (641,009)$ (1,434,547)$ (260,633) 1,173,914$
Fund Balances (Deficit)-Beginning 1,472,595
Fund Balances (Deficit)-Ending 1,211,962$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Parks and Recreational Facilities
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property 100$ 100$ 558$ 458$
Total Revenues 100 100 558 458
Excess (Deficiency) of Revenues
Over (Under) Expenditures 100 100 558 458
Net Change in Fund Balances 100$ 100$ 558 458$
Fund Balances (Deficit)-Beginning 10,047
Fund Balances (Deficit)-Ending 10,605$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Art in Public Places
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Licenses and permits 328,275$ 328,275$ 394,251$ 65,976$
Use of money and property 400 400 77,436 77,036
Miscellaneous 164,790 164,790 9,207 (155,583)
Total Revenues 493,465 493,465 480,894 (12,571)
EXPENDITURES
Parks and recreation 204,370 252,870 113,750 139,120
Capital outlay 390,000 673,557 159,535 514,022
Total Expenditures 594,370 926,427 273,285 653,142
Excess (Deficiency) of Revenues
Over (Under) Expenditures (100,905) (432,962) 207,609 640,571
OTHER FINANCING SOURCES (USES)
Transfers out (100,000) (100,000) - 100,000
Total Other Financing Sources (Uses)(100,000) (100,000) - 100,000
Net Change in Fund Balances (200,905)$ (532,962)$ 207,609 740,571$
Fund Balances (Deficit)-Beginning 1,302,639
Fund Balances (Deficit)-Ending 1,510,248$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Signalization
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property 300$ 300$ 6,173$ 5,873$
Total Revenues 300 300 6,173 5,873
Excess (Deficiency) of Revenues
Over (Under) Expenditures 300 300 6,173 5,873
Net Change in Fund Balances 300$ 300$ 6,173 5,873$
Fund Balances (Deficit)-Beginning 111,405
Fund Balances (Deficit)-Ending 117,578$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Capital Golf
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Charges for services 2,587,865$ 2,587,865$ 2,680,153$ 92,288$
Use of money and property 30,000 30,000 690,324 660,324
Miscellaneous - - 900,122 900,122
Total Revenues 2,617,865 2,617,865 4,270,599 1,652,734
EXPENDITURES
Parks and recreation 1,850,000 13,701,793 10,026,646 3,675,147
Total Expenditures 1,850,000 13,701,793 10,026,646 3,675,147
Excess (Deficiency) of Revenues
Over (Under) Expenditures 767,865 (11,083,928) (5,756,047) 5,327,881
Net Change in Fund Balances 767,865$ (11,083,928)$ (5,756,047) 5,327,881$
Fund Balances (Deficit)-Beginning 13,338,987
Fund Balances (Deficit)-Ending 7,582,940$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Buildings
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Use of money and property 5,000$ 5,000$ 70,343$ 65,343$
Total Revenues 5,000 5,000 70,343 65,343
EXPENDITURES
Current:
General government 450,000 450,000 164,235 285,765
Parks and recreation 100,000 100,000 - 100,000
Capital outlay 1,400,000 2,787,567 2,091,983 695,584
Total Expenditures 1,950,000 3,337,567 2,256,218 1,081,349
Excess (Deficiency) of Revenues
Over (Under) Expenditures (1,945,000) (3,332,567) (2,185,875) 1,146,692
Net Change in Fund Balances (1,945,000)$ (3,332,567)$ (2,185,875) 1,146,692$
Fund Balances (Deficit)-Beginning 1,911,254
Fund Balances (Deficit)-Ending (274,621)$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
Library
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental -$ -$ 4,000,000$ 4,000,000$
Use of money and property - - 90,926 90,926
Total Revenues - - 4,090,926 4,090,926
EXPENDITURES
Capital outlay - 1,737,797 1,025,579 712,218
Total Expenditures - 1,737,797 1,025,579 712,218
Net Change in Fund Balances -$ (1,737,797)$ 3,065,347 4,803,144$
Fund Balances (Deficit)-Beginning 687,519
Fund Balances (Deficit)-Ending 3,752,866$
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CITY OF PALM DESERT, CALIFORNIA
Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget to Actual
City Highlands Undergrounding
For the Year Ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Assessments 120,391$ 120,391$ 131,442$ 11,051$
Use of money and property 300 300 4,879 4,579
Total Revenues 120,691 120,691 136,321 15,630
EXPENDITURES
Current:
General government 16,684 15,684 15,506 178
Debt service:
Principal 51,000 52,000 52,000 -
Interest and fiscal charges 51,709 51,709 51,452 257
Total Expenditures 119,393 119,393 118,958 435
Net Change in Fund Balances 1,298$ 1,298$ 17,363 16,065$
Fund Balances (Deficit)-Beginning 125,067
Fund Balances (Deficit)-Ending 142,430$
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Net Position
Internal Service Funds
June 30, 2024
Total Internal
Service
Funds
ASSETS
Current assets:
Cash and investments 5,928,085$ 2,517,471$ 8,445,556$
Total current assets 5,928,085 2,517,471 8,445,556
Noncurrent:
Nondepreciable capital assets 11,821 - 11,821
Depreciable capital assets, net 2,869,354 - 2,869,354
Total noncurrent assets 2,881,175 - 2,881,175
Total Assets 8,809,260 2,517,471 11,326,731
LIABILITIES
Current liabilities:
Accounts payable 23,151 - 23,151
Compensated absences - 500,000 500,000
Total current liabilities 23,151 500,000 523,151
Noncurrent liabilities:
Compensated absences - 2,172,687 2,172,687
Total noncurrent liabilities - 2,172,687 2,172,687
Total Liabilities 23,151 2,672,687 2,695,838
NET POSITION
Net invested in capital assets 2,881,175 - 2,881,175
Unrestricted 5,904,934 (155,216) 5,749,718
Total Net Position 8,786,109$ (155,216)$ 8,630,893$
Equipment
Replacement
Compensation
Benefits
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Revenues, Expenses and
Changes in Net Position
Internal Service Funds
For the Year Ended June 30, 2024
Total Internal
Service
Funds
OPERATING EXPENSES
General and administrative -$ 283,100$ 283,100$
Maintenance and operations 317,148 - 317,148
Depreciation 736,211 - 736,211
Total Operating Expenses 1,053,359 283,100 1,336,459
Operating Income (Loss)(1,053,359) (283,100) (1,336,459)
NONOPERATING REVENUES (EXPENSES)
Interest revenue 347,485 127,884 475,369
Gain (loss) on disposal of capital assets (63,374) - (63,374)
Total Nonoperating Revenues (Expenses) 284,111 127,884 411,995
Income (Loss) Before Capital Contributions and Transfers (769,248) (155,216) (924,464)
Transfers in 119,788 272,399 392,187
Change in Net Position (649,460) 117,183 (532,277)
Net Position-Beginning 9,435,569 (272,399) 9,163,170
Net Position-Ending 8,786,109$ (155,216)$ 8,630,893$
Equipment
Replacement
Compensation
Benefits
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CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Cash Flows
Internal Service Funds
For the Year Ended June 30, 2024
Totals
CASH FLOWS FROM OPERATING ACTIVITIES
Payments to suppliers and service providers (292,001)$ (211,441)$ (503,442)$
Net Cash Provided By (Used For)
Operating Activities (292,001) (211,441) (503,442)
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers from other funds 119,788 272,399 392,187
Net Cash Provided By (Used For)
Noncapital Financing Activities 119,788 272,399 392,187
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Acquisition and construction of capital assets (1,071,302) - (1,071,302)
Net Cash Provided By (Used For)
Capital and Related Financing Activities (1,071,302) - (1,071,302)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest on investments 347,485 127,884 475,369
Net Cash Provided By (Used For)
Investing Activities 347,485 127,884 475,369
Net Increase (Decrease) In
Cash and Cash Equivalents (896,030) 188,842 (707,188)
Cash and Cash Equivalents-Beginning 6,824,115 2,328,629 9,152,744
Cash and Cash Equivalents-Ending 5,928,085$ 2,517,471$ 8,445,556$
RECONCILIATION OF OPERATING INCOME (LOSS)
TO NET CASH PROVIDED BY (USED FOR)
OPERATING ACTIVITIES
Operating income (loss)(1,053,359)$ (283,100)$ (1,336,459)$
Adjustments to reconcile operating income (loss) to
net cash provided by (used for) operating activities:
Depreciation/amortization expense 736,211 - 736,211
(Increase) decrease in prepaid items 1,996 - 1,996
Increase (decrease) in accounts payable 23,151 - 23,151
Increase (decrease) in compensated absences - 71,659 71,659
Total adjustments 761,358 71,659 833,017$
Net Cash Provided By (Used For)
Operating Activities (292,001)$ (211,441)$ (503,442)$
Equipment
Replacement
Compensation
Benefits
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Total
Custodial
Funds
ASSETS
Cash and Cash Equivalents 3,102,293$ 6,175,637$ 9,277,930$
Receivables:
Assessments - 45,569,000 45,569,000
Due from other governments - 35,012 35,012
Restricted assets:
Cash and investments with fiscal agents - 4,244,913 4,244,913
Total Assets 3,102,293 56,024,562 59,126,855
LIABILITIES
Trade Accounts Payable 8,450 1,126 9,576
Accrued Interest Payable, Deposits - 164,092 164,092
Deposits Received - 45,569,000 45,569,000
Due to Other Governments, Current - 10,223,452 10,223,452
Total Liabilities 8,450 55,957,670 55,966,120
DEFERRED INFLOWS OF RESOURCES
Deferred charge on debt issuance - 66,892 66,892
Total Deferred Inflows of Resources - 66,892 66,892
NET POSITION
Restricted for other purposes 3,093,843 - 3,093,843
Total Net Position 3,093,843$ -$ 3,093,843$
Special
Assessment
Districts
CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Fiduciary Net Position
Fiduciary Funds - Custodial Funds
June 30, 2024
Retiree Service
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Total
Custodial
Funds
ADDITIONS
Investment income 137,784$ 192,587$ 330,371$
Intergovernmental Revenues - 6,078,090 6,078,090
Contributions from City 890,129 - 890,129
Total Additions 1,027,913 6,270,677 7,298,590
DEDUCTIONS
Administrative expenses 10,400 504,790 515,190
Contractual services 879,729 2,721,242 3,600,971
Interest expense - 1,569,645 1,569,645
Principal expense - 1,475,000 1,475,000
Total Deductions 890,129 6,270,677 7,160,806
Net Increase (Decrease) in Fiduciary Net Position 137,784 - 137,784
Net Position-Beginning 2,956,059 - 2,956,059
Net Position-Ending 3,093,843$ -$ 3,093,843$
CITY OF PALM DESERT, CALIFORNIA
Combining Statement of Changes in Fiduciary Net Position
Fiduciary Funds - Custodial Funds
For the Year Ended June 30, 2024
Retiree
Service
Special
Assessment
Districts
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DESCRIPTION OF STATISTICAL SECTION CONTENTS
For the Year Ended June 30, 2024
This part of the City of Palm Desert’s annual comprehensive 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 city’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 assess the City’s most significant local revenue source.
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 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.
Sources: Unless otherwise noted, the information in these schedules is derived from the annual comprehensive
financial reports for the relevant year.
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City of Palm Desert
Net Position by Component
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Governmental Activities 2024 2023 2022 2021 2020
Net Investment in capital assets 401,724,234$ 416,680,537$ 422,400,639$ 421,568,819$ 424,163,964$
Restricted 175,666,035 172,531,052 164,636,470 197,082,889 196,858,726
Unrestricted 155,755,920 156,106,349 146,766,766 92,557,050 86,017,220
Total Governmental Activities Net Position 733,146,189 745,317,938 733,803,875 711,208,758 707,039,910
Business-Type Activities
Net Investment in capital assets 68,469,469 69,239,563 67,327,809 67,981,326 68,394,059
Unrestricted 11,035,899 10,541,338 10,495,570 8,069,182 6,672,261
Total Business-type Activities Net Position 79,505,368 79,780,901 77,823,379 76,050,508 75,066,320
Primary Government
Net Investment in capital assets 470,193,703 485,920,100 489,728,448 489,550,145 492,558,023
Restricted 175,666,035 172,531,052 164,636,470 197,082,889 196,858,726
Unrestricted 166,791,819 166,647,687 157,262,336 100,626,232 92,689,481
Total Primary Government Net Position 812,651,557$ 825,098,839$ 811,627,254$ 787,259,266$ 782,106,230$
Governmental Activities 2019 2018 2017 2016 2015
Net Investment in capital assets 429,729,549$ 438,184,070$ 449,037,170$ 459,644,720$ 473,722,694$
Restricted 200,536,233 197,349,364 197,824,604 193,298,431 135,900,520
Unrestricted 90,057,306 83,054,707 87,091,894 78,812,066 71,530,456
Total Governmental Activities Net Position 720,323,088 718,588,141 733,953,668 731,755,217 (3) 681,153,670 (2)
Business-Type Activities
Net Investment in capital assets 69,070,734 69,111,797 69,829,772 70,202,487 71,129,743
Unrestricted 6,590,251 5,609,843 4,829,456 4,479,575 4,302,958
Total Business-type Activities Net Position 75,660,985 74,721,640 74,659,228 74,682,062 75,432,701
Primary Government
Net Investment in capital assets 498,800,283 507,295,867 518,866,942 529,847,207 544,852,437
Restricted 200,536,233 197,349,364 197,824,604 193,298,431 135,900,520
Unrestricted 96,647,557 88,664,550 91,921,350 83,291,641 75,833,414
Total Primary Government Net Position 795,984,073$ 793,309,781$ 808,612,896$ 806,437,279$ 756,586,371$
(2) The implementation of GASB Statement No. 68 and Statement No. 71 resulted in a prior year restatement decrease of $37.73 million in the governmental
activities net positons.
(1) On February 1, 2012 the State of California dissolved the City of Palm Desert Redevelopment Agency as part of the Statewide dissolution of all City
Redevelopment Agencies, which in turn created the Successor Agency to the Redevelopment Agency of the City of Palm Desert.
(3) The City's Capital Properties Capital Project Fund received $65,566,963 and the Housing Asset Fund received $6,571,706 for a combined total of
$72,138,669 of capital bond proceeds transferred from the Successor Agency.
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City of Palm Desert
Changes in Net Position
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Governmental Activities:
General government 46,406,293$ 26,185,065$ 24,738,040$ 25,610,212$ 24,297,715$
Public safety 43,639,884 40,753,734 37,396,780 34,280,941 37,286,860
Housing & Redevelopment 27,871,773 13,251,192 9,626,399 10,496,579 8,802,290
Parks, recreation and culture 20,317,786 19,112,483 8,880,984 7,969,386 7,651,094
Public works 28,646,485 20,646,936 22,071,598 24,979,279 28,270,798
Library 606,561 - - - -
Payments to other agencies - - 2,692 - -
Interest on long term debt 153,203 143,521 148,079 176,259 203,183
Total Governmental activities Expenses 167,641,985 120,092,931 102,864,572 103,512,656 106,511,940
Business-Type Activities:
Desert Willow Golf Course 12,973,341 11,073,128 9,910,813 8,960,991 8,603,243
Office Complex - Parkview 1,362,313 1,409,321 951,353 872,212 856,196
Total Business-Type Activities 14,335,654 12,482,449 10,862,166 9,833,203 9,459,439
Total primary government expenses 181,977,639$ 132,575,380$ 113,726,738$ 113,345,859$ 115,971,379$
Program Revenues
Governmental Activities
Charges for services
General government 2,889,464$ 2,678,135$ 2,901,226$ 2,437,840$ 2,343,116$
Housing & Redevelopment 9,193,031 11,016,631 8,060,726 7,455,959 8,446,585
Public safety 20,828,172 18,831,126 17,506,658 18,828,021 16,429,810
Parks, recreation and culture 3,578,805 3,339,445 675,307 325,485 532,543
Public works 2,860,351 2,958,606 3,075,351 2,443,299 2,386,635
Operating grants & contributions 9,902,196 13,039,734 20,328,308 10,617,579 10,416,281
Capital grants & contributions 17,310,806 4,673,498 4,828,197 16,836,560 3,661,487
Total Governmental Activities Program Revenues 66,562,825 56,537,175 57,375,773 58,944,743 44,216,457
Business-Type Activities
Charges for Service:
Desert Willow Golf Course 12,200,236 12,159,419 11,068,847 9,171,607 7,099,985
Office Complex - Parkview 1,220,790 1,473,376 1,340,680 1,291,020 1,311,140
Capital grants & contributions 189,931 99,154 187,083 220,198 183,556
Total Business-type activities program revenue 13,610,957 13,731,949 12,596,610 10,682,825 8,594,681
Total Primary Government program revenue 80,173,782$ 70,269,124$ 69,972,383$ 69,627,568$ 52,811,138$
Net (Expense) / Revenue
Governmental activities (101,079,160)$ (63,555,756)$ (45,488,799)$ (44,567,913)$ (62,295,483)$
Business-type activities (724,697) 1,249,500 1,734,444 849,622 (864,758)
Total Primary Government Net Expense (101,803,857)$ (62,306,256)$ (43,754,355)$ (43,718,291)$ (63,160,241)$
General Revenues & Other Changes in Net Position
Governmental Activities:
Taxes: (Combined/Net Pass-through)67,521,298$ 67,809,190$ 66,204,764$ 47,221,069$ 45,210,477$
Investment Earnings 5,165,176 (1,971,646) 301,330 2,366,204
Gain(loss) on sales of capital assets - 825,294 - - 80,490
Miscellaneous 21,092,008 1,250,480 3,850,798 1,214,362 1,355,134
Special Item (3)- - - - -
Transfers In / (Out) 294,105 - - - -
Total Governmental activities Net Revenues 88,907,411 75,050,140 68,083,916 48,736,761 49,012,305
Business-Type Activities:
Investment Earnings - 450,279 (99,994) 20,283 159,115
Miscellaneous 743,269 257,743 138,421 114,283 110,978
Transfers Out (294,105) - - - -
Total Business-type activities 449,164 708,022 38,427 134,566 270,093
Total primary government 89,356,575$ 75,758,162$ 68,122,343$ 48,871,327$ 49,282,398$
Change in Net Position
Governmental Activities: (12,171,749)$ 11,494,384$ 22,595,117$ 4,168,848$ (13,283,178)$
Business-Type Activities:(275,533) 1,957,522 1,772,871 984,188 (594,665)
Total primary government (12,447,282)$ 13,451,906$ 24,367,988$ 5,153,036$ (13,877,843)$
(3) City established an allowance for advances owed by the Successor Agency.
(2) The City's Capital Properties Capital Project Fund received $65,566,963 and the Housing Asset Fund received $6,571,706 for a combined total of $72,138,669 of
capital bond proceeds transferred from the Successor Agency.
(1) On February 1, 2012 the State of California dissolved the City of Palm Desert Redevelopment Agency as part of the Statewide dissolution of all City
Redevelopment Agencies, which in turn created the Successor Agency to the Redevelopment Agency of the City of Palm Desert.
Expenses 20202021202220232024
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Changes in Net Position
Continued
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Governmental Activities:
General government 23,252,576$ 18,467,097$ 15,708,054$ 14,836,881$ 16,337,393$
Public safety 37,195,732 36,543,050 34,943,220 34,009,984 32,077,635
Housing & Redevelopment 9,067,858 9,605,756 10,954,630 8,162,859 11,666,724
Parks, recreation and culture 8,284,914 8,240,115 9,850,200 9,223,126 8,598,242
Public works 14,836,332 18,358,907 14,892,145 47,044,197 19,144,213
Interest on long term debt 231,228 259,250 271,603 289,000 294,258
Total Governmental Activities Expenses 92,868,640 91,474,175 86,619,852 113,566,047 88,118,465
Business-Type Activities:
Desert Willow Golf Course 8,700,514 8,763,220 8,243,515 8,165,183 8,433,267
Office Complex - Parkview 874,753 930,815 893,125 1,005,918 934,296
Total Business-Type Activities 9,575,267 9,694,035 9,136,640 9,171,101 9,367,563
Total primary government expenses 102,443,907$ 101,168,210$ 95,756,492$ 122,737,148$ 97,486,028$
Program Revenues
Governmental Activities
Charges for services
General government 2,645,724$ 2,388,260$ 2,095,648$ 2,185,123$ 2,088,393$
Housing & Redevelopment 8,180,354 7,551,760 6,861,450 7,029,595 7,971,265
Public safety 14,503,741 10,801,436 10,603,708 10,606,464 9,987,891
Parks, recreation and culture 829,557 821,824 793,527 772,801 772,728
Public works 2,762,045 2,685,831 2,327,521 2,186,153 1,832,241
Operating grants & contributions 10,426,397 8,555,881 7,931,900 9,496,520 7,512,894
Capital grants & contributions 4,016,193 2,442,621 7,710,355 10,839,715 19,297,015
Total Governmental Activities Program Revenues 43,364,011 35,247,613 38,324,109 43,116,371 49,462,427
Business-Type Activities
Charges for Service:
Desert Willow Golf Course 8,743,654 8,432,273 7,497,664 7,240,866 7,894,676
Office Complex - Parkview 1,298,066 1,250,456 1,284,462 1,280,230 1,306,042
Capital grants & contributions 504,217 167,670 605,186 111,942 47,768
Total Business-type activities program revenue 10,545,937 9,850,399 9,387,312 8,633,038 9,248,486
Total Primary Government program revenue 53,909,948$ 45,098,012$ 47,711,421$ 51,749,409$ 58,710,913$
Net (Expense) / Revenue
Governmental Activities (49,504,629)$ (56,226,562)$ (48,295,743)$ (70,449,676)$ (38,656,038)$
Business-type activities 970,670 156,364 250,672 (538,063) (119,077)
Total Primary Government Net Expense (48,533,959)$ (56,070,198)$ (48,045,071)$ (70,987,739)$ (38,775,115)$
General Revenues & Other Changes in Net Position
Governmental Activities:
Taxes: (Combined/Net Pass-through)53,894,917$ 50,150,650$ 47,628,454$ 44,747,151$ 41,931,997$
Investment Earnings 3,170,693 1,901,536 1,041,232 2,074,934 494,452
Gain(loss) on sales of assets 7,452 17,274 2,145 24,292 11,720
Miscellaneous 1,396,514 1,573,106 1,522,363 1,828,677 1,726,007
Special Item (3)(7,530,000) - - - -
Transfers In / (Out) 300,000 300,000 300,000 237,500 437,500
Gain on Transfer to Successor Agency/Extraordinary Gain (2) - - - 72,138,669 -
Total Governmental Activities Net Revenues 51,239,576 53,942,566 50,494,194 121,051,223 44,601,676
Business-Type Activities:
Investment Earnings 181,310 74,873 26,494 24,924 11,774
Gain(loss) on sales of capital assets 87,365 131,175 - - 47,938
Transfers Out (300,000) (300,000) (300,000) (237,500) (437,500)
Total Business-type activities (31,325) (93,952) (273,506) (212,576) (377,788)
Total primary government 51,208,251$ 53,848,614$ 50,220,688$ 120,838,647$ 44,223,888$
Change in Net Position
Governmental Activities: 1,734,947$ (2,283,996)$ 2,198,451$ 50,601,547$ 5,945,638$
Business-Type Activities:939,345 62,412 (22,834) (750,639) (496,865)
Total primary government 2,674,292$ (2,221,584)$ 2,175,617$ 49,850,908$ 5,448,773$
(3) City established an allowance for advances owed by the Successor Agency.
(2) The City's Capital Properties Capital Project Fund received $65,566,963 and the Housing Asset Fund received $6,571,706 for a combined total of $72,138,669 of
capital bond proceeds transferred from the Successor Agency.
(1) On February 1, 2012 the State of California dissolved the City of Palm Desert Redevelopment Agency as part of the Statewide dissolution of all City
Redevelopment Agencies, which in turn created the Successor Agency to the Redevelopment Agency of the City of Palm Desert.
Expenses 20152016201720182019
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Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
General Fund:2024 2023 2022 2021 2020
Nonspendable 2,888,448$ 3,501,822$ 4,050,414$ 4,178,180$ 7,196,092$
Committed 52,308,943 83,424,843 82,741,109 73,856,851 66,012,415
Assigned 18,698,560 19,282,496 18,238,107 16,696,825 16,196,564
Unassigned 52,457,702 14,707,351 32,645,330 5,681,608 3,473,480
Total General Fund 126,353,653 120,916,512 137,674,960 100,413,464 92,878,551
All other Governmental Funds:
Nonspendable 80,800 51,657 19,591 18,427 15,705
Restricted 175,666,695 172,531,603 164,636,470 168,368,520 168,806,454
Committed 20,274,259 15,568,245 15,761,482 16,312,379 16,275,373
Assigned 24,365,783 32,522,600 28,078,039 27,459,735 27,133,815
Unassigned (445,505) - (126,614) - -
Total all other Governmental Funds 219,942,032$ 220,674,105$ 208,368,968$ 212,159,061$ 212,231,347$
General Fund:2019 2018 2017 2016 2015
Nonspendable 10,559,396$ 10,509,094$ 9,067,979$ 9,528,630$ 10,312,261$
Committed 63,197,223 59,666,638 - - -
Assigned 15,964,130 15,492,508 658,817 991,853 1,771,278
Unassigned 3,322,321 4,702,308 74,259,748 71,842,172 67,727,130
Total General Fund 93,043,070 90,370,548 83,986,544 82,362,655 79,810,669
All other Governmental Funds:
Nonspendable 193,189 1,726 1,276 3,052 348
Restricted 175,780,733 169,549,126 171,044,474 165,411,544 (3) 106,261,212
Committed 16,247,652 16,751,821 16,771,055 16,873,834 16,952,887
Assigned 21,238,271 23,258,063 23,250,337 24,172,531
Total all other Governmental Funds 213,459,845$ 209,560,736$ 211,067,142$ 182,288,430$ 147,386,978$
(2) Advances to the Successor Agency reclassified from Nonspendable to Restricted for Special Revenue Funds.
(3) The City's Capital Properties Capital Project Fund received $65,566,963 and the Housing Asset Fund received $6,571,706 for a combined
total of $72,138,669 of capital bond proceeds transferred from the Successor Agency.
(1) On February 1, 2012 the State of California dissolved the City of Palm Desert Redevelopment Agency as part of the Statewide dissolution of
all City Redevelopment Agencies, which in turn created the Successor Agency to the Redevelopment Agency of the City of Palm Desert.
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Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
Revenues:2024 2023 2022 2021 2020
Taxes 87,339,337$ 86,687,919$ 84,037,191$ 65,209,322$ 59,635,918$
Special assessments collected 3,697,666 3,618,972 3,407,107 3,381,657 3,481,924
Licenses & permits 1,990,632 3,111,176 2,622,695 1,504,694 1,268,965
Intergovernmental revenues 11,371,128 6,711,363 12,300,071 20,136,679 6,401,926
Rental income 9,463,306 8,958,960 8,129,025 7,320,419 7,071,648
Charges for services 10,284,637 8,743,794 6,175,500 4,889,634 5,272,577
Investment Earnings 18,508,081 12,129,730 (2,402,801) 1,298,728 10,311,159
Fines & forfeitures 106,152 127,087 105,198 147,671 127,801
Miscellaneous 11,955,948 852,153 7,340,808 3,776,838 4,741,905
Contributions from other government - - 1,974,653 - -
Total Revenues 154,716,887$ 130,941,154$ 123,689,447$ 107,665,642$ 98,313,823$
Expenditures:
General government 34,683,367$ 24,896,946$ 24,079,563$ 23,478,543$ 21,468,512$
Housing & redevelopment 13,090,694 10,310,551 8,232,440 8,839,559 7,090,941
Public safety 43,449,970 40,660,248 37,322,951 34,035,102 37,021,952
Parks, recreation & culture 18,912,572 17,708,634 7,439,687 6,073,015 5,902,166
Public works 14,102,656 15,287,888 17,667,805 18,533,419 21,994,806
Library 606,561 - - - -
Capital outlay 24,510,104 7,835,762 12,110,677 7,840,438 5,117,968
Debt service:
Principal retirement 582,854 263,809 2,294,052 174,000 225,000
Interest and fiscal charges 153,203 135,903 157,462 184,529 210,292
Total Expenditures 150,091,981$ 117,099,741$ 109,304,637$ 99,158,605$ 99,031,637$
Excess(deficiency of Revenues
over(under) expenditures 4,624,906$ 13,841,413$ 14,384,810$ 8,507,037$ (717,814)$
Other financing sources (uses)
Transfers in 15,057,580 26,746,473 11,555,402 10,186,341 10,702,762
Transfers out (15,155,662) (27,707,762) (11,864,512) (11,230,751) (11,377,965)
Extraordinary Gain / (Loss) (2)- - 2,603,284 - -
Sale of property 594,610 (88,163) (1,001,688) - -
Proceeds from subscriptions 473,763 529,156 - - -
Total Other financing sources (uses)80,162 (520,296) 1,292,486 (1,044,410) (675,203)
Net Change In Fund Balance 4,705,068$ 13,321,117$ 15,677,296$ 7,462,627$ (1,393,017)$
Revenues:2019 2018 2017 2016 2015
Taxes 67,102,185$ 61,906,859$ 59,466,545$ 56,735,503$ 52,571,369$
Special assessments collected 3,948,157 3,445,246 3,318,114 3,296,705 3,058,766
Licenses & permits 1,416,829 1,326,049 1,678,709 2,057,843 1,757,250
Intergovernmental revenues 6,194,152 5,682,704 7,249,515 15,429,238 18,981,304
Rental income 6,899,916 6,675,632 6,439,458 5,896,480 5,660,762
Charges for services 5,223,285 2,894,821 2,356,363 2,082,843 1,819,464
Investment Earnings 7,166,097 3,626,892 2,086,224 1,837,319 1,242,662
Fines & forfeitures 273,434 162,370 135,276 295,269 224,612
Miscellaneous 2,892,940 2,886,542 2,594,433 2,317,499 2,377,923
Contributions from other government - - 3,550,991 - 9,168
Contributions from property owners - - - 7,868 -
Total Revenues 101,116,995$ 88,607,115$ 88,875,628$ 89,956,567$ 87,703,280$
Expenditures:
General government 24,269,546$ 19,281,102$ 16,887,293$ 15,783,955$ 15,467,746$
Housing & redevelopment 7,504,119 8,522,801 9,239,680 6,438,849 9,349,021
Public safety 36,901,283 36,247,656 34,674,418 33,750,347 31,819,214
Parks, recreation & culture 6,497,391 6,467,713 7,157,821 6,831,534 6,236,717
Public works 8,728,354 12,183,852 8,794,894 11,031,584 13,082,388
Contributions to property owners - - - 19,584,487 49
Capital outlay 3,396,511 915,422 2,169,035 7,071,738 19,339,987
Debt service:
Principal retirement 587,000 150,000 237,000 257,000 4,944,000
Interest and fiscal charges 244,050 260,971 277,814 296,336 240,219
Total Expenditures 88,128,254$ 84,029,517$ 79,437,955$ 101,045,830$ 100,479,341$
Excess(deficiency of Revenues
over(under) expenditures 12,988,741$ 4,577,598$ 9,437,673$ (11,089,263)$ (12,776,061)$
Other financing sources (uses)
Transfers in 5,319,448 6,613,352 9,406,888 6,030,706 6,132,859
Transfers out (5,736,558) (6,313,352) (12,218,428) (6,075,206) (6,971,359)
Special Item (3)(6,000,000) - - - -
Extraordinary Gain / (Loss) (2)- - - 72,138,669 -
Sale of property - - - 225,000 2,163,222
Total Other financing sources (uses)(6,417,110) 300,000 (2,811,540) 72,319,169 1,324,722
Net Change In Fund Balance 6,571,631$ 4,877,598$ 6,626,133$ 61,229,906$ (11,451,339)$
Debt service as a percentage of noncapital expenditures
For more information on the dissolution of the RDA please see Note 16 and 17.
(3) City established an allowance for advances owed by the Successor Agency.
(1) On February 1, 2012 the State of California dissolved the City of Palm Desert Redevelopment Agency as part of the Statewide dissolution of all City Redevelopment Agencies, which in turn created the
Successor Agency to the Redevelopment Agency of the City of Palm Desert.
(2) The City's Capital Properties Capital Project Fund received $65,566,963 and the Housing Asset Fund received $6,571,706 for a combined total of $72,138,669 of capital bond proceeds transferred from the
Successor Agency.
Debt service as a percentage of noncapital expenditures
0.6%1.0%
0.5%0.4%2.5%0.4%0.6%
0.5% 0.7% 6.4%
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Graphs - Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
(1) Combined Other is a combination of rental income, investment earnings, and charges for services.
(2) Miscellaneous Other is a combination of fines and forfeitures, miscellaneous, contributions from other governments, and contributions from property owners.
(3) Debt Expenditures is a combination of interest/fiscal charges and principal retirement .
(4) Public works is a combination of public works and contributions to property owners.
Note: Graphs excludes Other financing sources and uses.
$0
$50,000,000
$100,000,000
$150,000,000
$200,000,000
$250,000,000
$300,000,000
FY
2
0
2
4
FY
2
0
2
3
FY
2
0
2
2
FY
2
0
2
1
FY
2
0
2
0
FY
2
0
1
9
FY
2
0
1
8
FY
2
0
1
7
FY
2
0
1
6
FY
2
0
1
5
Total Revenues
Combined other (1)
Miscellaneous other (2)
Intergovernmental revenues
Licenses & permits
Taxes & Special Assessments
$0
$50,000,000
$100,000,000
$150,000,000
$200,000,000
$250,000,000
$300,000,000
FY
2
0
2
4
FY
2
0
2
3
FY
2
0
2
2
FY
2
0
2
1
FY
2
0
2
0
FY
2
0
1
9
FY
2
0
1
8
FY
2
0
1
7
FY
2
0
1
6
FY
2
0
1
5
Total Expenditures
Parks, recreation & culture
Pass-through-agreement
Debt Expenditures (3)
Capital outlay
Public works (4)
Public safety
Housing & Redevelopment
General Government
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Supplemental - Historical General Fund Revenues
(including Transfers In)
Last Ten Fiscal Years
FY 2024 2023 2022 2021 2020
Revenue Type:
Sales Tax 25,391,092$ 26,354,774$ 26,193,390$ 21,156,220$ 18,445,806$
Transient Occupancy Tax 23,019,911 23,825,410 22,098,939 10,760,455 11,681,583
Property Tax (3)15,326,607 12,952,007 11,703,419 11,193,276 11,101,584
Investment Earnings 6,767,157 5,025,534 (1,867,595) 284,744 4,181,814
Transfer In 396,806 2,478,731 3,774,873 3,515,966 2,472,976
Franchises 3,727,659 3,574,273 3,334,555 3,066,989 3,025,984
State Subventions (1) (3)131,253 146,957 127,546 38,945 60,593
Building & Grading Permits 1,491,171 2,290,974 2,079,314 1,195,893 953,176
Reimbursements (4)1,531,895 1,464,230 530,474 1,229,484 1,375,770
Business License Tax 1,272,190 1,139,514 1,326,920 962,940 1,038,137
Timeshare Mitigation Fee 1,789,418 1,711,324 1,555,137 1,501,625 1,467,905
Plan Check Fees 471,287 644,448 616,576 480,881 468,180
Property Transfer Tax 918,983 934,735 1,197,951 1,027,833 566,468
Other Revenues (2)1,611,425 3,581,082 8,337,209 8,072,509 3,130,862
Total General Revenue 83,846,855$ 86,123,993$ 81,008,708$ 64,487,760$ 59,970,838$
FY 2019 2018 2017 2016 2015
Revenue Type:
Sales Tax 21,434,387$ 18,627,704$ 18,505,449$ 18,994,779$ 17,565,134$
Transient Occupancy Tax 17,250,843 17,019,034 15,054,259 11,252,997 10,799,680
Property Tax (3)11,074,207 10,777,998 10,157,813 10,461,595 9,710,990
Investment Earnings 2,672,643 1,237,562 644,341 725,015 416,656
Transfer In 937,202 1,610,830 1,472,852 1,390,258 2,179,472
Franchises 3,078,855 3,097,521 3,146,702 3,095,873 3,102,431
State Subventions (1) (3)82,722 38,876 23,101 59,317 155,049
Building & Grading Permits 1,064,071 1,048,973 1,247,390 1,216,115 1,279,706
Reimbursements (4)1,468,351 1,388,654 1,407,811 1,589,511 1,604,707
Business License Tax 1,216,712 1,154,275 1,118,183 1,269,082 1,160,207
Timeshare Mitigation Fee 1,678,375 1,543,762 1,467,028 1,500,683 1,483,158
Plan Check Fees 619,763 691,096 431,115 592,818 505,370
Property Transfer Tax 727,978 664,822 690,975 491,060 558,965
Other Revenues (2)2,352,803 1,951,122 2,185,703 2,189,063 1,713,758
Total General Revenue 65,658,912$ 60,852,229$ 57,552,722$ 54,828,166$ 52,235,283$
(1) State Subventions is any combination of motor vehicle, off-highway in-lieu, and subventions from state.
(3) The State of California reprogramed motor vehicle fees, the City now receives this as property taxes.
(4) Reimbursements is a combination of RDA costs and other reimbursements, due to dissolution in February 2012 the RDA
reimbursement is limited and applies to existing projects.
(2) Other Revenues is any combination of miscellaneous penalties and interest, permits, grants, parking bails, fees, sales of maps and
publications, vehicle and court fines, rental income, other revenues and Federal ARPA-Covid19.
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Supplemental Graph - Historical General Fund Revenues
(Including Transfers In)
Last Ten Fiscal Years
*State Subventions is any combination of motor vehicle, off-highway in-lieu, and subventions from state.
(1) Combined Other is any combination of transfers, franchises, state subventions*, building and grading permits, reimbursements, business license taxes,
timeshare mitigation fees, plan check fees, property transfer taxes. It also may include any combination of miscellaneous bails, fees, fines, grants, incomes,
penalties, permits, sales and taxes.
$0
$10,000,000
$20,000,000
$30,000,000
$40,000,000
$50,000,000
$60,000,000
$70,000,000
$80,000,000
F
Y
2
0
2
4
F
Y
2
0
2
3
F
Y
2
0
2
2
F
Y
2
0
2
1
F
Y
2
0
2
0
F
Y
2
0
1
9
F
Y
2
0
1
8
F
Y
2
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1
7
F
Y
2
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1
6
F
Y
2
0
1
5
Combined Other (1)
Interest
Property Tax
Transient Occupancy Tax
Sales Tax
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Supplemental - Historical General Fund Expenditures
(Including Transfers Out)
Last Ten Fiscal Years
FY 2024 2023 2022 2021 2020
Expenditure:
Public Safety (1)24,181,750$ 23,304,557$ 20,288,195$ 19,326,751$ 21,415,334$
City Administration (2)21,172,587 14,202,930 12,620,102 12,990,562 11,429,468
Public Works Administration 1,897,288 3,026,733 2,265,476 1,886,402 2,457,045
Community Promotions 746,864 1,347,204 1,216,272 420,424 947,370
Street Maintenance 2,342,284 2,156,583 2,421,966 2,317,468 2,212,933
Building Safety 1,282,002 1,366,067 1,751,817 1,461,477 1,661,372
Public Works (4)4,126,215 3,852,469 1,338,520 1,165,671 1,151,447
Other Expenditures (3)23,263,679 35,851,470 18,572,299 17,384,092 18,860,388
Total Expenditures 79,012,669$ 85,108,013$ 60,474,647$ 56,952,847$ 60,135,357$
FY 2019 2018 2017 2016 2015
Expenditure:
Public Safety (1)20,975,032$ 21,088,867$ 20,424,249$ 20,151,237$ 18,784,117$
City Administration (2)12,521,081 11,460,325 8,238,228 7,971,706 7,561,255
Public Works Administration 2,149,715 2,333,897 2,637,630 2,664,871 2,645,443
Community Promotions 1,249,674 1,179,305 1,062,611 791,565 749,631
Street Maintenance 2,185,648 2,020,797 2,418,451 2,709,328 2,631,590
Building Safety 1,828,083 1,579,734 1,849,442 1,888,290 1,847,798
Street Resurfacing - 2,760 25,326 1,083,919 998,463
Public Works (4)1,250,969 1,133,007 970,877 1,004,989 1,067,837
Other Expenditures (3)20,826,188 13,669,533 18,302,019 14,010,275 14,512,426
Total Expenditures 62,986,390$ 54,468,225$ 55,928,833$ 52,276,180$ 50,798,560$
(1) Public Safety is any combination of animal regulation, police services, community safety and traffic safety expenditures, this
does not include the cost for Fire Services. Fire Services are reported in a different fund.
(2) City Administration is any combination of community services, independent audit, City attorney, City clerk, City council, City
manager, information technology, elections, finance, general services, human resources, insurance, legal special services,
legislative advocacy and unemployment insurance expenditures.
(3) Other Expenditures is any combination of acquisitions, committees, contributions, retiree health, planning & community
development, economic development, marketing, interfund transfers, parks, recreation and culture, extraordinary loss and visitor
center, capital outlay, special item, included in the transfer out is transfer to the Fire fund for its shortfall.
(4) Public Works is a combination of curb & gutter, parking lot, auto fleet, corporate yard,public building maintenance, Portola
Community center, storm water permit.
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City of Palm Desert
Supplemental Graph- Historical General Fund Expenditures
(Including Transfers Out)
Last Ten Fiscal Years
(4) Public Works is a combination of curb & gutter, parking lot, auto fleet, corporate yard, public building maintenance, Portola Community center, storm water permit.
(1) Public Safety is any combination of animal regulation, police services, community safety and traffic safety expenditures, this does not include the cost for Fire Services. Fire
Services are reported in a different fund.
(2) City Administration is any combination of community services, independent audit, City attorney, City clerk, City council, City manager, information technology, elections, finance,
general services, human resources, insurance, legal special services, legislative advocacy and unemployment insurance expenditures.
(3) Other Expenditures is any combination of acquisitions, committees, contributions, retiree health, planning & community development, economic development, marketing, interfund
transfers, parks, recreation and culture, extraordinary loss and visitor center, capital outlay, special item, included in the transfer out is transfer to the Fire fund for its shortfall.
$0
$10,000,000
$20,000,000
$30,000,000
$40,000,000
$50,000,000
$60,000,000
$70,000,000
$80,000,000
$90,000,000
F
Y
2
0
2
4
F
Y
2
0
2
3
F
Y
2
0
2
2
F
Y
2
0
2
1
F
Y
2
0
2
0
F
Y
2
0
1
9
F
Y
2
0
1
8
F
Y
2
0
1
7
F
Y
2
0
1
6
F
Y
2
0
1
5
Other Expenditures Comb (3)
Public Works (4)
City Administration (2)
Public Safety (1)
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7KLVSDJHLQWHQWLRQDOO\OHIWEODQN
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City of Palm Desert
Supplemental Historical General Revenue and Expenditures Per Capita
Last Ten Fiscal Years
FY 2024 2023 2022 2021 2020
Total General Revenue (2)83,846,855$ 86,123,993$ 77,168,851$ 60,971,794$ 57,497,862$
Population (1)50,889 50,615 50,889 53,892 52,986
General Revenue Per Capita 1,648$ 1,702$ 1,516$ 1,131$ 1,085$
FY 2019 2018 2017 2016 2015
Total General Revenue (2)64,721,710$ 59,241,399$ 56,079,870$ 53,437,908$ 50,055,811$
Population (1)53,625 52,769 50,740 49,335 51,053
General Revenue Per Capita 1,207$ 1,123$ 1,105$ 1,083$ 980$
FY 2024 2023 2022 2021 2020
Total General Expenditures (2)79,012,669$ 85,108,013$ 52,730,364$ 49,481,094$ 51,498,878$
Population (1)50,889 50,615 50,889 53,892 52,986
General Expenditures Per Capita 1,553$ 1,681$ 1,036$ 918$ 972$
FY 2019 2018 2017 2016 2015
Total General Expenditures (2)57,900,932$ 49,992,388$ 48,427,111$ 48,134,252$ 46,302,187$
Population (1)53,625 52,769 50,740 49,335 51,053
General Expenditures Per Capita 1,080$ 947$ 954$ 976$ 907$
(1) Population figures are as of January start of fiscal year.
(2) Interfund Transfers In/Out, extraordinary loss (gain), and special item are not included in total.
Sources: Population figures from State Department of Finance, City of Palm Desert Finance Department
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City of Palm Desert
Assessed Value and Estimated Actual Value of Taxable Property
Last Ten Fiscal Years
Fiscal Year Ended
June 30
Residential
Property
Commercial
Industrial
Property
Institutional
Property Vacant Land Less: Tax
Exempt
Total Taxable
Assessed Value
Total Direct
Tax Rate
Estimated Actual
Taxable Value (1)
2024 14,806,817,526 3,268,784,947 77,828,213 291,855,799
*- 19,457,053,253 1.00000 19,294,390,764
2023 13,770,177,817 3,039,934,131 72,379,384 271,422,690
*- 18,094,846,015 1.00000 17,895,334,799
2022 12,816,062,846 2,919,685,840 67,899,671 254,623,765
*- 16,974,917,677 1.00000 16,768,080,495
2021 12,277,100,484 2,872,316,290 65,652,944 279,025,011
*- 16,413,235,941 1.00000 16,217,619,993
2020 11,781,804,552 2,771,257,791 63,343,035 300,879,417
*(45,437) 15,835,758,806 1.00000 15,636,583,844
2019 11,231,546,199 2,675,659,205 62,224,633 373,347,796 (326,679,322) 15,556,158,170 1.00000 15,045,226,485
2018 10,757,283,204 2,554,854,761 59,762,684 388,457,449 (313,754,093) 14,940,671,116 1.00000 14,445,331,683
2017 10,555,732,091 2,434,816,656 58,318,962 379,073,252 (306,174,550) 14,579,740,457 1.00000 14,095,158,994
2016 10,174,360,142 2,358,860,033 56,840,001 412,090,006 (312,620,004) 14,210,000,198 1.00000 13,743,682,041
2015 9,636,181,445 2,290,456,630 54,211,991 420,142,932 (298,165,952) 13,552,997,813 1.00000 13,086,962,905
(1) Estimated Actual Taxable Value = Net Taxable Value
Source: Riverside County Assessor thru HDL Coren & Cone
Notes:Property Taxes in Riverside County are subject to the State of California's Proposition 13, Jarvis-Gann Initiative which allows reappraisals of real property only when there is a change
in ownership or new construction takes place. Further, the proposition limits property assessment increase to no more than two(2%) percent annually. Property is assessed at
one hundred percent (100%) of its fair market value at the time of new construction or change in ownership. The tax rate is one (1%) percent of the assessed value.
*Per HDL there was an artifact change in the Riverside County Assessors data that occurred primarily between 2018 and 2019, new vs old system differences,the few properties which are
listed as having asssessed value and being non-taxable are either new to the roll or are newly non-taxable for 2019.
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City of Palm Desert
Historical Net Assessed Taxable Values Citywide
Graph - Assessed Valuation Growth
Last Ten Fiscal Years
Historical Major Additions
Annexations FY Retail Centers FY
Cook Street Area 88/89 Town Center Mall 83/84
Country Club #28 93/94 Desert Springs Marriott 86/87
Price Club/Costco 93/94 One Eleven Town Ctr 88/89
Palm Desert CC #29 94/95 Mervyn's Center 92/93
Palm Desert Greens 04/05 Desert Crossing 95/96
Suncrest 04/05 Lucky's/Albertson Deep Canyon 96/97
Remodel 111 Town Ctr (Best Buy)97/98
Gardens on El Paseo 98/99
Remodel Westfield Mall (Sears, Barnes & Noble) 04/05
Sears Automotive 04/05
Lowes Home Improvement 05/06
Walmart / Sam's Supercenters 05/06
Kohl's 07/08
Golfsmith Extreme 08/09
El Paseo Village 09/10
Best Buy & Ulta 11/12
Remodel Westfield Mall (Dick's/H&M/Restaurants) 12/13
PGA Tour Superstore 12/13
Total Wine & More 13/14
Tesla Motors 15/16
Source: Riverside County Assessor thru HDL Coren & Cone
5.08%
5.02%
2.56%2.48%4.15%3.93%3.72%3.39%
6.72%7.82%
-5.00%
0.00%
5.00%
10.00%
15.00%
20.00%
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
Percent Increase in Assessed Valuation
FY 2015 to FY 2024
$-
$5,000
$10,000
$15,000
$20,000
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
Value in Millions
Net Assessed Valuation - Historical Comparison
FY 2015 to FY 2024
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City of Palm Desert
Supplemental FY 2023 and 2022 Breakdown of Basic 1% Property Tax Rate
Not in Redevelopment Project Area
Taxing Agency FY 2023 Rate FY 2022 Rate
County General 28.177327%28.177327%
County Free Library 2.728242%2.728242%
County Structure Fire Protection 5.873086%5.873086%
City of Palm Desert (1)0.000000%0.000000%
Desert Sands Unified School District 36.221587%36.221587%
Desert Community College 7.526714%7.526714%
Riverside County Reg. Park & Open Space 0.426231%0.426231%
Riverside County Office of Education 4.094919%4.094919%
Desert Hospital 1.996808%1.996808%
Coachella Valley Public Cemetery 0.339927%0.339927%
Desert Recreation District 2.071624%2.071624%
Coachella Valley Mosquito & Vector Control 1.369698%1.369698%
Coachella Valley County Water 2.736607%2.736607%
Coachella Valley County Water Imp. District 80 2.972906%2.972906%
Coachella Valley County Water Storm Water Unit 3.464324%3.464324%
General Purpose Basic 1%100.000000%100.000000%
(1) City of Palm Desert is a No-Low Property Tax City and the 7% represents what the state allocates to No-Low Property Tax
Cities.
Source: County of Riverside, Property Tax Allocation Percentages, TRA 018-041.
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City of Palm Desert
Property Tax Rates
Direct and Overlapping Property Tax Rates
Last Ten Fiscal Years
Fiscal Year
Basic
County-wide
Levy
Total
Direct Tax
Rate
Desert Sands
Unified School
District
Desert
Community
College Dist.
Coachella
Valley Water
District
Coachella
Valley Water
District I.D. 58
Palm Springs
Unified B&I
1192-A Ds
2024 1.00000 1.00000 0.07500 0.03950 0.11000 0.00000 0.14493
2023 1.00000 1.00000 0.07500 0.03950 0.11000 0.00000 0.15187
2022 1.00000 1.00000 0.07500 0.03950 0.11000 0.00000 0.15030
2021 1.00000 1.00000 0.07390 0.03947 0.10000 0.00000 0.10334
2020 1.00000 1.00000 0.07381 0.03983 0.10000 0.00000 0.10542
2019 1.00000 1.00000 0.07418 0.03978 0.10000 0.00000 0.10603
2018 1.00000 1.00000 0.07251 0.04030 0.10000 0.00000 0.11146
2017 1.00000 1.00000 0.08599 0.02036 0.10000 0.00000 0.11802
2016 1.00000 1.00000 0.10915 0.02087 0.10000 0.00000 0.08978
2015 1.00000 1.00000 0.10984 0.02325 0.10000 0.00000 0.10160
Notes: Proposition 13 limits the ability of the city to raise the property tax rate.
Source: CalMuni Statistics Inc
City Direct Overlapping Rates
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City of Palm Desert
Principal Property Taxpayers
Current and Nine Years Ago
2024 2015
Taxpayer Taxable Assessed
Value
Percentage of Total
City Tax Assessed
Value
Taxpayer Taxable Assessed
Value
Percentage of Total
City Tax Assessed
Value
NEWAGE DesertSprings 186,915,372$ 0.97% WEA Palm Desert 144,751,735$ 1.10%
WEA Palm Desert 170,932,097 0.88% DS Hotel 142,417,301 1.09%
Gardens on El Paseo LLC 147,812,500 0.76% Gardens on El Paseo LLC 101,110,901 0.77%
WVC Rancho Mirage Inc 136,944,388 0.71% WVC Rancho Mirage Inc 94,636,672 0.72%
PRU Desert Crossing LLC 109,835,938 0.57%PRU Desert Crossing LLC 85,231,391 0.65%
CC Cimarron LP 72,822,193 0.38%Walmart Real Estate
Business Trust 57,712,366 0.44%
First American Trust 65,528,658 0.34%Marriott Ownership Resorts 56,584,242 0.43%
Walmart /Sams 59,508,979 0.31%Segovia Operations 47,927,486 0.37%
Sunrise Spectrum 55,391,442 0.29%Monarch Sevilla Venture 47,585,410 0.36%
PC APDG Palm Desert 53,060,398 0.27%Sunrise Spectrum 47,054,777 0.36%
Total 1,058,751,965$ 5.47%Total 825,012,281$ 6.29%
Source: HdL Coren & Cone thru Riverside County Assessor 22/23 and HdL Coren & Cone thru Riverside County Assessor 13/14
Note:The estimated property tax revenue stated above is based upon net taxable values, tax ratios and base year values that impact the revenue
calculation. As a result, parcels with the same assessed value that are assigned to different tax rate areas may contribute dissimilar amounts of total
revenue to the City and Redevelopment Agency.
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City of Palm Desert
Property Tax Levies and Collections
Last Ten Fiscal Years
Fiscal
Year Taxes Levied Collections
Ended for the Percentage in Subsequent Percentage
June 30, Fiscal Year Amount of Levy Years (3)Amount (3)(4)of Levy
2015 5,911,501$ 5,523,658$ 93.44%387,843$ 5,911,501$ 100.00%
2016 6,212,993 5,943,252 95.66%269,741 6,212,993 100.00%
2017 6,731,899 6,022,566 89.46%182,652 6,205,218 92.18%
2018 6,729,952 6,553,297 97.38%173,642 6,726,940 99.96%
2019 6,867,405 6,640,656 96.70%207,894 6,848,550 99.73%
2020 7,202,939 6,502,032 90.27%211,602 6,713,634 93.21%
2021 7,332,966 6,391,062 87.16%256,431 6,647,493 90.65%
2022 8,203,212 7,930,195 96.67%273,017 8,203,212 100.00%
2023 8,853,225 8,320,643 93.98%532,582 8,853,225 100.00%
2024 9,685,707 9,074,891 93.69%610,816 9,685,707 100.00%
(3) Includes tax collections accrued as of June 30, 2023.
(4) Includes amounts receivable for tax year 2022-2023 along with prior receivables due for prior tax years.
Source: Riverside County Auditor Controller Office and City of Palm Desert
Collected within the
Fiscal Year of the Levy (1) (2)
Total Collections to Date
(1) City of Palm Desert is on the "Teeter Plan" with the County of Riverside. The first payment was received in the fiscal year 1993/94.
(2) City of Palm Desert is a "No-Low Property Tax City". Proposition 13 rolled the tax rates back to 1973 which is when the City of Palm
Desert incorporated and the Property Tax rates were zero. Based on current state law the County allocates 7% of the 1% assessed
values within the City less the Redevelopment Agency tax increment. Fiscal Year 1992/93 was the first year to receive the No/Low
taxes.
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City of Palm Desert
Supplemental Top 25 Sales Tax Generators
Graph - Historical Sales Tax Trends
June 30, 2024
Top 25 Sales Tax Generators (1)Primary Economic Category
ABC SUPPLY COMPANY BUILDING MATERIALS
ALBERTSON'S FOOD CENTERS GROCERY STORES
APPLE INC ELECTRONICS/APPLIANCE STORES
ARIZONA TILE HOME FURNISHINGS
BEST BUY STORES LP ELECTRONICS/APPLIANCE STORES
CARMAX AUTO SUPERSTORES USED AUTOMOTIVE DEALERS
CIRCLE K CONVENIENCE STORES/LIQUOR
CONSOLIDATED ELECTRICAL DISTRIBUTORS PLUMBING/ELECTRICAL SUPPLIES
COSTCO DISCOUNT DEPT STORES
JW MARRIOTT DESERT SPRINGS HOTELS/MOTELS
LEEDS JEWELERS JEWELRY STORES
LOUIS VUITTON FAMILY APPAREL
LOWES BUILDING MATERIALS
MACY'S DEPARTMENT STORES DEPARTMENT STORES
NORDSTROM RACK DEPARTMENT STORES
PGA TOUR SUPERSTORE SPORTING GOODS/BIKE STORES
SAKS FIFTH AVENUE DEPARTMENT STORES
SAM'S CLUB WITH FUEL DISCOUNT DEPT STORES
SIMPLOT GARDEN/AGRICULTURAL SUPPLIES
SUPERIOR POOL PRODUCTS DRUGS/CHEMICALS
TARGET STORES DISCOUNT DEPT STORES
TJ MAXX FAMILY APPAREL
TOMMY BAHAMA FAMILY APPAREL
TOTAL WINE & MORE CONVENIENCE STORES/LIQUOR
WAL-MART SUPERCENTER DISCOUNT DEPT STORES
(1) Listed in Alphabetical Order
* The State of California exchanged Sales Tax Revenue with Property taxes, this amount represents the portion of sales tax that were exchanged.
Source: SBOE Data, MuniServices LLC. In Lieu given to city from State ERAF Property Taxes, City of Palm Desert
Note : Current California law prohibits production of individual tax information as an effort not to infringe on proprietary information, therefore confidential information which is protected by law is
not disclosed.
$7.0
$9.0
$11.0
$13.0
$15.0
$17.0
$19.0
$21.0
$23.0
$25.0
$27.0
$29.0
20
1
5
20
1
6
20
1
7
20
1
8
20
1
9
20
2
0
20
2
1
20
2
2
20
2
3
20
2
4
Millions
Sales and Use Tax Trends FY 2014 - 2023
0.66%
15.1%
-13.9%
14.7%
0.6%
8.1%
-3.7%
Amounts
in Millions
% = % Change from Prior Year
-2.57%
$17.564 $18.994 $18.505 $18.627 $21.434 $18.445 $21.156 $26.193 $26.354 $25.391
23.8%
-In Lieu *
1.8%
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City of Palm Desert
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
Governmental Activities
Special Assessment/Total Percentage Total Debt
Fiscal Local Obligation Capital Primary of Total Personal Per
Year Bonds b,c,d Leases Government Income
a,f Capita a,f
2015 3,302,000 e 1,435,046 4,737,046 0.19%99
2016 3,045,000 929,860 3,974,860 0.16%83
2017 2,808,000 499,881 3,307,881 0.14%69
2018 2,658,000 1,493,330 4,151,330 0.17%87
2019 2,071,000 1,595,394 3,666,394 0.24%128
2020 1,846,000 1,145,011 2,991,011 0.23%105
2021 1,672,000 675,976 2,347,976 0.20%92
2022 1,294,000 - 1,294,000 0.04%25
2023 1,162,000 - 1,162,000 0.04%23
2024 1,068,000 - 1,068,000 0.03%21
Notes: Details regarding the city's outstanding debt can be found in the notes to the financial statements.
f - Personal income and Per Capita statistic includes government and business type activities combined.
a - Personal income, population and per capita information provided by California Department of Finance, and U.S Census
Bureau and/or estimated by City Finance using 1% growth rate.
b - Special Assessment Government Activities includes Highlands Undergrounding AD No# 04-01, as of June 30, 2023 the
balance was $1.032M.
c - Fiscal Year End 2009 the City issued the Energy Independence Program Limited Obligation Improvement Bonds Series
2009A (Taxable) $2.5 million to fund the Energy Independence Loan Program. The actual Bond Issuance was for $2.015m. At
June 30, 2023 the oustanding balance was $0.071M.
d-The City issued $1.136 million dollars of the Energy Independence Program (AB811 Assessments) Limited Obligation
Improvement Bonds (Taxable). The special assessment collection commenced during the fiscal year 2010-2011. At
June 30, 2023 the outstanding balance was $0.059M.
e - In addition the Palm Desert Financing Authority issued $5.225 million dollars of the Energy Independence Program Variable
Rate Demand Lease Revenue Bonds, Series 2009 (Federally Taxable). On September 2, 2014 the bonds were called in full.
As of June 30, 2017 there were no outstanding bonds.
Business Type Activities
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City of Palm Desert
Ratios of General Bonded Debt Outstanding
Last Ten Fiscal Years
Percentage of Actual
Special Assessment Taxable Value of Per
Bonds Property Capita
Note: There are no General Obligation Bonds from FY 2015 to FY 2024
General Bonded Debt Outstanding
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City of Palm Desert
Supplemental Special Assessment Information
June 30, 2024
District Name\Description
2003 01-01
Revenue Bonds
Silver Spur Ranch
Utility
Undergrounding 5
2004-2 Section 29
Assessment
District
Limited Obligation
Improvement
Bonds Series 2021
Community
Facilities District No.
2005-1 (University
Park) Special Tax
Bonds Series
2021A6
Community
Facilities District
No. 2021-1
(University Park)
Special Tax Bonds
Series 20217
Community
Facilities District
No. 2021-1
(University Park)
Special Tax Bonds
Series 2024
Bond Issue Date 6/25/2003 6/23/2021 7/13/2021 7/13/2021 3/6/2024
Final Maturity Date 9/2/2028 9/2/2037 9/1/2036 9/1/2051 9/1/2053
Highest Interest Rate 5.375%4.000%4.000%4.000%5.000%
Bond Issue Amount 2,340,000$ 16,400,000$ 5,165,000$ 15,200,000$ 11,600,000$
Matured Principal 1,505,000 1,470,000 520,000 550,000 -
Called Principal 175,000 - - - -
Outstanding Bonds (4)660,000 14,930,000 4,645,000 14,650,000 11,600,000
Redemption Premium 3.00%3.00%3.00%3.00%N/A
Original Parcels 201 859 66 243 411
Active Parcels 189 775 49 366 243
Reserve Requirement 155,475 1,415,800 468,400 874,200 1,021,147
Reserve Balance 23/24 (1)168,236 1,415,853 468,408 874,214 1,021,156
Principal Due 24/25 (2)120,000 785,000 280,000 315,000 -
Principal Levied 23/24 (3)115,000 685,000 270,000 550,000 -
Interest Due 24/25 (2)32,250 580,300 178,800 553,275 246,138
Interest Levied 23/24 (3)35,475 612,300 187,050 562,575 -
23/24 Delinquency Rate 0.00%0.13%1.64%0.00%0.00%
Arbitrage Installment Computation Date:
90% Rebate Due 06/25/23 09/02/25 09/01/25 09/01/25 N/A
Arbitrage Yield Rate 4.9129%2.1563%1.9100%3.2391%N/A
Continuing Disclosure Last Report Issued:02/2024 02/2024 02/2024 02/2024 N/A
(1) Reserve Balances are as of 6/30/24.
(2) Outstanding bond balance at June 30, 2024.
(4) Levied amounts reflect adjustments for construction funds, reserve funds, redemption funds and other adjustments.
Source: Willdan Financial Annual Report
(7) Community Facilities District No. 2021-1 (University Park) Special Tax Bonds 2021A were used to pay and defease a pro rata portion of
outstanding Community Faciliites District No. 2005-1 (University Park) Special Tax Bonds Series 2006A
(6) Community Facilities District No. 2005-1 (University Park) Special Tax Bonds 2021A were used to refund Community Faciliites District
No. 2005-1 (University Park) Special Tax Bonds Series 2006A
(5) The schedule presents the information for each individual local obligation bonded district. Assessment Districts 94-3 Merano and 01-01 Silver
Spur were refunded and obligated to pay Debt Service to Series 2003 Assessment Revenue Bonds see note 16 for additional information.
(3) Amount represents principal and interest collected during the FY 23/24 tax roll for Debt Service Payment due in FY 24/25 per debt service
schedule.
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City of Palm Desert
Direct and Overlapping Government Activities Debt
June 30, 2024
2022/23 Assessed Valuation:19,327,379,151$
City's Share of
OVERLAPPING TAX AND ASSESSMENT DEBT:Total Debt 6/30/24 % Applicable (1) Debt 6/30/24
Desert Community College District 664,990,000$ 17.511% 116,446,399$
Desert Sands Unified School District 349,520,000 33.388% 116,697,738
Palm Springs Unified School District 475,359,672 4.356% 20,706,667
City of Palm Desert Limited Obligation Improvement Bonds 157,000 100.000% 157,000
City of Palm Desert Community Facilities District No. 2005-1 4,645,000 100.000% 4,645,000
City of Palm Desert Community Facilities District No. 2021-1 26,250,000 100.000% 26,250,000
City of Palm Desert 1915 Act Bonds 16,585,000 100.000% 16,585,000
TOTAL OVERLAPPING TAX AND ASSESSMENT DEBT 301,487,804
DIRECT AND OVERLAPPING GENERAL FUND DEBT:
Riverside County General Fund Obligations 1,169,217,035 4.871% 56,952,562
Riverside County Pensions Obligations 670,785,000 4.871% 32,673,937
Desert Sands Unified School District Certificates of Participation 7,775,000 33.388% 2,595,917
City of Palm Desert - 100.000% -
Desert Recreation District Certificates of Participation 1,194,811 25.396% 303,434
TOTAL DIRECT AND OVERLAPPING GENERAL FUND DEBT 92,525,850
OVERLAPPING TAX INCREMENT DEBT:(SUCCESSOR AGENCIES)424,890,065 0.189-100%141,037,846
TOTAL OVERLAPPING DEBT 535,051,500
COMBINED TOTAL DEBT 535,051,500$ (2)
(2) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations.
Ratios to 2023-2024 Adjusted Assessed Valuation:
Total Overlapping Tax and Assessment Debt 1.56%
Total Direct Debt ($0)0.00%
Net Combined Total Debt 2.77%
Ratios to Redevelopment Successor Agencies Incremental Valuation (12,925,331,991)$
Total Overlapping Tax Increment Debt 1.09%
Source: California Municipal Statistics, Inc., City of Palm Desert Finance Department
(1) The percentage of overlapping debt applicable to the city is estimated using taxable assessed property value. Applicable percentages were
estimated by determining the portion of the overlapping district's assessed value that is within the boundaries of the city divided by the district's
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City of Palm Desert
Legal Debt Margin Information
Last Ten Fiscal Years
Assessed Value 19,327,379,151$
Debt Limit (15% of Assessed Value) (1)2,899,106,873
Debt Applicable to Limit:
General Obligation Bonds 980,000
Legal debt margin 2,898,126,873$
2015 2016 2017 2018 2019
Debt Limit 1,869,699,132$ 2,059,815,120$ 2,114,442,742$ 2,167,115,649$ 2,256,723,736$
Total Net debt applicable to limit 1,489,000 1,451,000 1,410,000 1,368,000 1,310,000
Legal debt margin 1,868,210,132$ 2,058,364,120$ 2,113,032,742$ 2,165,747,649$ 2,255,413,736$
Total net debt applicable to the limit
as a percentage of debt limit 0.08%0.07%0.07%0.06%0.06%
2020 2021 2022 2023 2024
Debt Limit 2,345,639,686$ 2,432,559,897$ 2,513,282,720$ 2,692,646,137$ 2,899,106,873$
Total Net debt applicable to limit 1,178,000 1,130,000 1,082,000 1,032,000 980,000
Legal debt margin 2,344,461,686$ 2,431,429,897$ 2,512,200,720$ 2,691,614,137$ 2,898,126,873$
Total net debt applicable to the limit
as a percentage of debt limit 0.05%0.05%0.04%0.04%0.03%
(1) Section 43605 of the California Government Code.
Source: California Municipal Statistic, Inc. San Francisco
Legal Debt Margin Calculation for Fiscal Year 2024
FISCAL YEAR
FISCAL YEAR
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City of Palm Desert
Pledged-Revenue Coverage
Last Ten Fiscal Years
Special Special
Fiscal Assessment Assessment
Year Collections a,c Principal Interest Coverage Collections Principal Interest Coverage
2015 10,848,129 g 8,159,000 f 4,543,692 0.8540 32,294,255 e 18,295,000 13,999,255 1.000
2016 8,537,227 25,401,000 h 4,463,786 0.2859 34,810,024 e 18,055,000 16,755,024 1.000
2017 5,896,670 3,192,000 3,233,399 0.9177 37,535,680 e, i 16,255,000 e, i 21,280,680 1.000
2018 5,590,479 3,545,000 3,088,864 0.8427 23,428,001 e, i 14,235,000 e, i 9,193,001 1.000
2019 5,608,312 2,427,000 2,942,348 1.0445 25,986,960 e, i 17,210,000 e, i 8,776,960 1.000
2020 5,280,905 2,080,000 2,818,146 1.0781 27,833,500 e, i 19,475,000 e, i 8,358,500 1.000
2021 5,397,140 2,119,000 2,698,952 1.1202 25,215,056 e, i 17,330,000 e, i 7,885,056 1.000
2022 j, k 3,342,319 488,000 1,072,389 2.1420 25,462,250 e, i 18,115,000 e, i 7,347,250 1.000
2023 3,253,687 1,439,235 1,577,199 1.0787 25,798,956 e, i 19,045,000 e, i 6,753,956 1.000
2024 4,525,650 1,565,000 1,515,565 1.4691 26,032,829 e, i 19,915,000 e, i 6,117,829 1.000
Notes: Details regarding the city's outstanding debt can be found in the notes to the financial statements.
a The City issued $2.015 million dollars of the Energy Independence Program (AB811 Assessments) Limited Obligation Improvement Bonds (Taxable). The special assessment collection will
commence during the fiscal year 2009-2010 with the first interest payment paid on March 2, 2010.
f The City called the $5.225 Million Energy Independence Program Variable Rate Demand Lease Revenue Bonds, Series 2009 (Federally Taxable) in full on September 2, 2014 in the amount of
$4.485 Million. The Energy Fund used the remaining $5.225 Bond Funds in the amount of $2.155 Million in addition to the $2.5 Million loan from the City General Fund as proceeds to call the
bonds.
e The total amount payable for the bonded obligations is disbursed by the State of California Department of Finance to the City of Palm Desert Successor Agency. The annual collection equal the
annual obligations.
d A portion of the $50.51 (2007) and $17.915 (2008) million CFD 2005-1 (University Park) was prepaid in the amount of $6.269 Million. The prepaid $6.269M and $2.280 (2004-1) were called
during on September 2, 2014.
c The City issued $1.136 million dollars of the Energy Independence Program (AB811 Assessments) Limited Obligation Improvement Bonds (Taxable). The special assessment collection will
commence during the fiscal year 2010-2011, in addition, the Palm Desert Financing Authority issued $5.225 million dollars of the Energy Independence Program Variable Rate Demand Lease
Revenue Bonds, Series 2009 (Federally Taxable). Interest is paid monthly commencing August 2009 and Principal is paid annually on September 2. The first princiapl payment was paid on
September 2, 2010.
b Tax increment bonds are backed by property tax increment based on calculation provided by the Riverside County tax assessor office. Additional information on tax increment can be found in
the notes to the financial statements.
k During the Fiscal Year 2021-22, the City of Palm Desert issued Section 29 Assessment District 2004-02 Limited Obligation Refunding Improvement Bonds Series 2021. The purpose of this
issuance is to refund the Section 29 AD 2004-02 Limited Obligation Improvement Bonds Series 2007.
j During the Fiscal Year 2021-22, the City of Palm Desert issued CFD 2021-1 Special Tax Bonds Series 2021 and CFD 2005-1 Special Tax Refunding Bonds Series 2021A. The purpose of these
bonds is to refund the CFD 2005-1 Special Tax Bonds Series 2006A.
i During the Fiscal Year 2016-17 the Successor Agency issued four series of bonds (1) the Tax Allocation Refunding Bonds, 2017 Series A ($52.39M), (ii) Taxable Tax Allocation Refunding
Bonds, 2017 Series B ($140.130M), Tax allocation Refunding Bonds, 2017 Series H-A ($7.365M), and (iv) Taxable Tax Allocation Refunding Bonds, 2017 H-B ($45.815M). See Note 18 Tax
Allocation Bonds. The 2017 Refunding Bonds refunded all of the tax allocation revenue bonds; with the exception of the Project Area No. 1 2007A Bonds, and the Project Area No. 2 2003 Bonds.
h During the Fiscal Year 2015-16 the Communities Facilities District 2005-1 (University Park Series, Special Tax Bonds Series 2006A and Series 2007 defeased $20.885M of the original issued
$67.715M.
g The City of Palm Desert loaned the Energy Fund $2.5 Million to call the $5.225 Million Energy Independence Program Lease Revenue Bonds, Series 2009 (Federally Taxable). The $2.5 Million
is included as Special Assessment Collections.
Tax Increment b
Debt ServiceDebt Service
Special Assessment Bonds
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City of Palm Desert
Demographic and Economic Statistics
Last Ten Calendar Years
Calendar Percentage Per Capita City Riverside Percentage County
Year City Increase Personal Personal Unemployment County Increase Unemployment
End Population (Decrease)Income CY a Income CY Rate b Population (Decrease) Rate b
2024 50,889 0.54% 3,095,589,116$ 60,830$ 5.50%2,442,378 0.13%5.40%
2023 50,615 -0.54% 3,049,841,493 60,256 4.80%2,439,234 0.15%5.00%
2022 50,889 -5.57% 3,004,769,944 59,046 4.10%2,435,525 -0.77%4.00%
2021 53,892 1.71% 2,960,364,477 54,931 7.40%2,454,453 0.50%8.00%
2020 52,986 -1.19% 2,916,615,248 55,045 17.20%2,442,304 0.09% 14.70%
2019 53,625 1.62% 2,873,512,560 53,585 4.90%2,440,124 1.00%4.40%
2018 52,769 4.00% 2,831,046,858 53,650 5.00%2,415,955 1.31%4.80%
2017 50,740 2.85% 2,789,208,727 54,971 4.00%2,384,783 1.57%5.70%
2016 49,335 -3.37% 2,747,988,894 55,701 4.20%2,347,828 1.71%6.70%
2015 51,053 1.26% 2,707,378,221 53,031 4.60%2,308,441 1.25%6.50%
Sources: State Department of Finance, State Employment Development Department
b - Unemployment rate for fiscal year 22/23 is based on annual information from State of California Employment Development Department Labor Market
Information Division (not seasonally adjusted).
a - Personal Income estimated based on average growth rate of previous four years. The growth rate factor used was 1.5%. Income data will be updated
once the actual data is available.
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City of Palm Desert
Principal Employers
Current and Nine Years Ago
Employer Employees Rank
Percentage of
Total City
Employment
Employer Employees Rank
Percentage of
Total City
Employment
JW Marriot-Desert Springs
Resort & DS Villas 2,304 1 10.02%
JW Marriot-Desert Springs
Resort & DS Villas 2,304 1 8.15%
Universal Protection Services 1,500 2 6.52%
Universal Protection Services 1,500 2 5.31%
Securitas-Security Service
USA 700 3 3.04%
Securitas-Security Service USA 700 3 2.48%
Avida Caregivers 550 4 2.39%
Avida Caregivers-P.Desert 550 4 2.15%
Organization of Legal Pro's 501 5 2.18%
Sunshine Landscape 500 5 1.77%
Sunshine Landscape 500 6 2.17%
Bighorn Golf Club 250 6 0.88%
Costco Wholesale 250 7 1.09%
Costco 250 7 0.88%
Bighorn Golf Club 250 8 1.09%
Westin-Desert Willow 248 8 0.88%
Yellow Cab of Desert 160 9 0.70%
Time Warner Cable 236 9 0.83%
Whole Foods Market 150 10 0.65%
Marriott Shadow Rige 208 10 0.74%
Sources: CA Employment Development Department - Federal and State Government not included
* Data based on prior years numbers, at the time of preparation data was not available.
2024*2015
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City of Palm Desert
Supplemental Miscellaneous Statistics
June 30, 2024
City/ Municipal Government
Form of Government:Council - City Manager/Charter City
Date of Incorporation:November 26, 1973
Number of Employees:147 Full-time Employees
Size of City:26.96 Square Miles
Geographic Location:Located 117 miles east of Los Angeles and 515 miles
south of San Francisco.
Streets:170 paved street miles
Number of Business Licenses:5,958 active business licenses
Number of Hotels & Rooms: 19 hotels, 2,822 rooms
CONTRACT SERVICES:
Police Department
Fire Department
Animal Control Riverside County Animal Services
Water & Sewer Coachella Valley Water District
Trash Collection Burrtec - Waste Management
Electric Southern California Edison
Gas Southern California Gas
Telephone Verizon
Airport Palm Springs International Airport
Public Education
Elementary School (grades K - 5) 4
Middle School (grades 6 - 8)1
High School (grades 9 - 12)1
Community College - College of the Desert 1
CSUSB - Palm Desert Campus 1
UCR - Palm Desert Graduate Center 1
Insurance Coverage
General Liability Coverage Calif. Joint Powers Insurance Authority $50 Million/Event
(Excludes Earthquake & Flood)Excess Coverage: from $2 Million up to $50 Million limit
Special Events Calif. Joint Powers Insurance Authority $1 Million
Worker's Compensation Calif. Joint Powers Insurance $10 Million
Property Insurance Calif. Joint Powers Insurance Based on Prop. Value
Health Insurance
Medical California PERS; choice of PPO, HMO, Kaiser, Blue Shield
Dental Delta Dental
Vision Vision Service Plan
Disability Insurance Disability - The Hartford Insurance Company
Life The Hartford Insurance Company
Retirement California PERS - Public Employees' Retirement System
Source: City of Palm Desert
Contract with Riverside County Sheriff - 61 sworn positions plus 19 support
staff (rounded to nearest FTE)
Contract with Riverside County/State Fire 54 positions plus 12 Fire
Prevention staff
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City of Palm Desert
Full-time Equivalent City Government Employees by Function / Program
Last Ten Fiscal Years
Function / Program 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
General Government
City 58 38 35 33 33 31 31 32 32 34
Economic Dev & Housing b 16 17 12 11 11 11 10 11 13 13
Public Safety 30 29 28 30 30 28 29 29 28 26
Police & Fire (1) 146 141 141 140 174 172 179 170 163 169
Public Works 43 39 33 38 38 39 39 39 40 40
Totals 293 264 249 252 286 281 288 281 276 282
a - As of June 2011 realignments were made due to budget cuts, retirements and layoffs, these continued to FY 2013.
Source: City of Palm Desert Financial Plan, California Department of Forestry and Fire Protection, Riverside County Sheriff's Department
b - On February 1, 2012 the State of California dissolved the City of Palm Desert Redevelopment Agency as part of the Statewide dissolution of all City Redevelopment
Agencies, which in turn created the Successor Agency to the Redevelopment Agency of the City of Palm Desert.
(1) The City operates as a "contract city" utilizing, primarily, agreements with other governmental entities, private firms and individuals to provide services. Contracted
services include: Police and Fire protection through the County of Riverside, Cal-Fire, animal control, health services, legal services and landscape maintenance.
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City of Palm Desert
Operating Indicators by Function / Program
Last Ten Fiscal Years
Function / Program 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014
General Government
Business License Inspections *********2433
Contracted Services - Burrtec Waste (1)
Refuse Collected (tons)60,828 60,753 61,932 60,226 58,096 59,154 56,346 54,301 52,772 54,865 57,935
Recyclables Collected 26,843 25,497 22,043 20,964 21,772 27,391 28,119 26,651 23,818 24,611 26,424
Public Safety
Physical Arrests 1,215 1,155 1,198 1,066 621 758 1,654 1,620 1,284 1,946 1,348
Parking Violations 1,315 1,128 769 780 899 375 575 587 712 794 386
Traffic Violations 1,617 1,497 1,398 2,070 1,392 3,525 7,012 6,939 6,223 5,525 5,284
Emergency Responses-Fire Department 11,843 11,136 10,557 9,701 15,088 10,009 9,984 9,617 9,285 8,628 8,235
Fires Extinguished 104 98 138 104 147 93 90 68 103 88 106
Fire Inspections ####3,372 5,397 3,378 1,274 2,118 2,989 2,552
Building Permits Issued 4,165 4,795 5,211 3,651 3,118 3,912 3,644 4,734 4,704 4,909 5,552
Building Inspections Conducted 14,255 21,857 16,802 13,451 13,439 13,965 18,601 23,542 24,756 24,057 24,830
Public Works
Street Resurfacing (miles) (3)0.87 37.6 2.25 1.83 16.9 31.6 7.3 25.8 2.9 8 34
Parks, recreation & culture
Athletic Field Permits Issued 2,244 2,766 2,255 2,262 643 2,990 2,934 3,197 2,997 4,430 6,548
Amphitheater / Pavilions Permits Issued 194 292 350 244 6 119 121 106 104 283 247
Community Center Admissions 11,030 37,048 32,326 15,577 9,746 52,203 60,769 51,694 64,493 53,426 50,204
Aquatic Center Admissions (2) 48,092 38,864 31,320 38,249 32,905 52,102 53,739 58,023 60,359 64,103 43,545
(2) Aquatic Center operations began in June 2011, managed by the YMCA.
(3) New methods of street resurfacing have improved efficiency, therefore equaling more miles resurfaced.
(*) Per Building & Safety Department business license inspections are no longer done.
(#) City discontinued the City Fire Marshal services and contracted with the County for State mandated inspections only.
(1) The City operates as a "contract city" utilizing, primarily, agreement with other governmental entities, private firms and individuals to provide services. Contracted services include:
Police and Fire protection through the County of Riverside, animal control, health services, legal services and landscape maintenance.
Sources: Riverside County Sheriff's Dept., California State Department of Forestry & Fire Protection, City of Palm Desert, Coachella Valley Recreation & Park District, Burrtec Waste
and The YMCA.
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City of Palm Desert
Capital Asset Statistics by Function / Program
Last Ten Fiscal Years
Function / Program 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
General Government
Contracted Services (1)
Collection trucks 39 39 35 29 25 25 24 24 35 30
Public Safety - Police & Fire
Police Stations 1111111111
Police Sub Stations 1111111111
Patrol Units-Cars 26 26 26 26 27 29 30 29 29 29
Patrol Units-Motorcycles 777776991110
Fire Stations 3333333333
Fire Trucks 1 plus 1 reserve 1 plus 1 reserve 1 plus 1 reserve 5 plus 2 reserve 4 plus 1 reserve 4 plus 1 Reserve 4 plus 1 Reserve 4 plus 1 Reserve 4 plus 1 Reserve 4 plus 1 Rsrvd
Ambulance 4 plus 3 reserve 4 plus 2 reserve 4 plus 2 reserve 4 plus 3 reserve 4 plus 3 reserve 4 plus 3 Reserve 4 plus 3 Reserve 4 plus 3 Reserve 4 plus 3 Reserve 4 plus 3 Rsrvd
Fire Prevention Pick-ups - - - -2.543333
Public Works
Streets (miles)170 170 170 170 170 170 170 170 170 170
Traffic Signals 99 99 99 99 99 99 99 99 98 98
Parks, recreation & culture
Acreage 201 201 201 201 201 201 201 201 201 201
Total Parks 13 13 13 13 13 13 13 13 13 13
Playgrounds 16 16 16 16 16 16 16 16 16 16
Baseball/softball diamonds 8888888888
Soccer/football fields 9999999999
Basketball Courts 11 11 11 11 11 11 11 11 11 11
Tennis Courts 10 10 10 10 10 10 10 10 10 10
Volleyball Courts 8888888888
Community Centers 2222222222
Skateboard Parks 2222222222
Aquatic Center 1 1 1 1 1 1 1 1 1 1
Commercial Office Space
(Parkview Office Complex)
Leasable Space (square feet)45,349 47,909 50,322 50,322 50,322 50,322 50,322 50,322 50,322 50,322
Occupancy Rate 85%80%84%84%91%91%82%84%90%90%
Number of Tenants by Type
Government (State, local regional)5577777798
Non-Profit 2244443343
Private 4333332311
Square Footage lease by tenant
Government (State, local regional)23,374 23,374 31,607 31,607 31,607 31,607 30,907 32,287 33,127 30,907
Non-Profit 4,873 4,873 7,339 7,339 7,341 6,621 4,061 4,061 3,561 6,269
Private 5,643 3,083 3,083 3,083 6,693 7,468 6,218 6,938 8,688 8,025
Vacant 14,037 16,597 8,293 8,293 4,681 4,626 9,136 8,416 4,946 5,121
Municipal Golf Course
(Desert Willow Golf Resort)
Courses - Fire Cliff and Mountain View 2222222222
Holes 36 36 36 36 36 36 36 36 36 36
Golf Carts 186 172 172 172 172 172 172 172 172 172
Clubhouse square footage 39,000 39,000 39,000 39,000 39,000 39,000 39,000 39,000 39,000 39,000
Rounds per Course
Fire Cliff 42,617 48,410 52,415 47,695 38,057 48,646 46,620 39,424 39,366 44,845
Mountain View 46,023 50,160 47,949 49,005 35,332 43,523 43,712 39,931 40,910 42,407
Total Annual Rounds 88,640 98,570 100,364 96,700 73,389 92,169 90,332 79,355 80,276 87,252
Sources: Riverside County Sheriff's Dept., California State Department of Forestry & Fire Protection,
City of Palm Desert, Coachella Valley Recreation & Park District, Burrtec Waste
(1) The City operates as a "contract city" utilizing, primarily, agreement with other governmental entities, private firms and individuals to provide services. Contracted services include: Police and Fire protection through the County of Riverside, animal control,
health services, legal services and landscape maintenance.
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Note: This section is not required by GASB No. 44, however, City believes that statistical information is beneficial to the reader.
For more information on the dissolution of the RDA please see note 19 and note 20.
On February 1, 2012 the State of California dissolved the City of Palm Desert Redevelopment Agency as part of the Statewide
dissolution of all City Redevelopment Agencies, which in turn created the Successor Agency to the Redevelopment Agency of the
City of Palm Desert.
City of Palm Desert, California
Supplemental Redevelopment Agency Statistical Section
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Project Area No. 2
Project Area No. 3
Date:
1/2010
Redevelopment Agency
Project Areas IArea 1 - Original (1975)
Area 1 - Added Territory (1982)
Area 2
Area 3
Area 4
City Boundary196
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City of Palm Desert
Redevelopment Agency
Tax Allocation Bond Issue Information
June 30, 2024
DESCRIPTION
$15,745,000
Tax Allocation
Revenue
Bond
Years 30
Bond Issue Date 03/26/03
Final Maturity Date 08/01/33
Highest Interest Rate 5.00%
Bond Issue Amount 15,745,000$
Outstanding Bond Amount 13,960,000
Call Premium 1 - 2.00%
Bond Insurer MBIA
Reserve Requirement (1)1,574,500
Reserve Balance (1)(1)
Principal Due 23/24 1,145,000
Interest Due 23/24 688,681
Arbritage Yield Rate 4.9502%
Arbritage Five Year Due Date:03/26/28
DESCRIPTION
Non-Housing
Tax Allocation
Bond (Exempt)1
Non-Housing
Tax Allocation
Bond (Taxable)2
Years 13 24
Bond Issue Date 01/31/17 01/31/17
Final Maturity Date 10/01/30 10/01/41
Highest Interest Rate 5.000%4.250%
Bond Issue Amount 52,390,000$ 140,130,000$
Outstanding Bond Amount 35,690,000 84,670,000
Bond Insurer BAM BAM
Reserve Requirement (1)5,840,397 9,027,545
Reserve Balance (1)(1) (1)
Principal Due 23/24 6,630,000 5,585,000
Interest Due 23/24 1,784,500 3,247,275
Arbritage Yield Rate 3.659% 3.659%
Arbritage Five Year Due Date:01/31/27 01/31/27
DESCRIPTION
Housing
Tax Allocation
Bond (Exempt)3
Housing
Tax Allocation
Bond (Taxable)4
Years 14 6
Bond Issue Date 01/31/17 01/31/17
Final Maturity Date 10/01/31 10/01/23
Highest Interest Rate 5.000%
Bond Issue Amount 7,365,000$ 45,815,000$
Outstanding Bond Amount 4,570,000 -
Bond Insurer BAM BAM
Reserve Requirement (1)687,519 -
Reserve Balance (1)(1) (1)
Principal Due 23/24 475,000 -
Interest Due 23/24 204,769 -
Arbritage Yield Rate 2.907% 2.907%
Arbritage Five Year Due Date:01/31/27 01/31/27
(1) A surety bond was issued by MBIA Insurance, future reserve balance's will be zero.
3 Refunded Housing tax exempt portion of bonds (12.1M and $86.155M)
4 Refunded Housing taxable portion of bonds (12.1M and $86.155M)
Source: City of Palm Desert and Successor Agency to the Palm Desert Redevelopment Agency
1 Refunded PA 1-4 tax exempt portion of bonds ($22.07M, $19M, $24.945M, $62.3M, $17.31M, $67.6M, $4.745M, $15.05M, $11.02M, $15.695M, and
$19.2M)
2 Refunded PA 1-4 taxable portion of bonds ($22.07M, $19M, $24.945M, $62.3M, $17.31M, $67.6M, $4.745M, $15.05M, $11.02M, $15.695M, and
$19.2M)
197
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City of Palm Desert
Historical Tax Increment/
Redevelopment Property Tax Trust Fund Summary
All Project Areas
Project Area No. 1 FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY 2018/19 FY 2019/20 FY 2020/21 FY 2021/22 FY 2022/23 FY 2023/24
Gross Tax Increment 53,437,088 56,610,029 58,222,677 59,842,517 62,844,689 64,495,840 68,597,410 70,656,513 77,499,942 84,972,724
Less:
Housing Set-Aside*10,687,418 11,322,006 11,644,535 11,968,503 12,568,938 12,899,168 13,719,482 14,131,303 15,499,988 16,994,545
SB 2557 686,944 629,449 725,403 662,238 594,754 570,820 858,150 1,503,453 1,246,470 432,274
Gross Pass-Throughs 21,241,903 22,961,604 25,052,727 22,919,420 25,953,291 26,949,281 28,676,151 29,944,830 33,357,702 35,580,689
Net Tax Increment 20,820,823 21,696,970 20,800,012 24,292,356 23,727,706 24,076,571 25,343,627 25,076,927 27,395,781 31,965,216
RPTTF Amount Deposited 26,530,801 24,696,424 25,131,004 19,923,194 20,331,658 21,672,933 21,069,258 16,915,008 14,831,440 12,600,746
Project Area No. 2 FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY 2018/19 FY 2019/20 FY 2020/21 FY 2021/22 FY 2022/23 FY 2023/24
Gross Tax Increment 15,232,096 16,232,329 16,302,895 16,916,067 17,466,255 18,503,456 19,553,601 19,897,195 21,078,916 25,160,631
Less:
Housing Set-Aside*3,046,419 3,246,466 3,260,579 3,383,213 3,493,251 3,700,691 3,910,720 3,979,439 4,215,783 5,032,126
SB 2557 192,900 180,457 202,348 187,481 165,500 172,557 243,191 188,413 339,023 150,443
Gross Pass-Throughs 5,665,961 6,078,194 6,103,481 6,372,798 6,609,645 7,125,321 7,569,060 7,672,621 8,741,803 10,192,720
Net Tax Increment 6,326,816 6,727,213 6,736,487 6,972,575 7,146,063 7,504,887 7,830,630 8,056,722 7,782,307 9,785,341
RPTTF Amount Deposited 5,441,721 5,547,427 5,887,814 5,516,674 5,629,776 6,106,095 6,005,764 4,763,343 4,033,947 3,731,112
Project Area No. 3 FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY 2018/19 FY 2019/20 FY 2020/21 FY 2021/22 FY 2022/23 FY 2023/24
Gross Tax Increment 3,754,999 4,039,902 4,360,574 4,364,606 4,487,719 4,653,982 4,947,578 5,015,404 5,230,337 5,981,595
Less:
Housing Set-Aside*751,000 807,980 872,115 872,921 897,544 930,796 989,516 1,003,081 1,046,067 1,196,319
SB 2557 48,901 45,175 52,745 8,947 42,853 41,139 62,062 47,593 84,122 36,511
Gross Pass-Throughs 1,371,786 1,510,219 1,656,158 1,662,390 1,730,228 1,813,552 1,937,004 1,985,858 2,179,024 2,438,525
Net Tax Increment 1,583,312 1,676,528 1,779,556 1,820,347 1,817,094 1,868,494 1,958,996 1,978,872 1,921,124 2,310,240
RPTTF Amount Deposited 1,237,930 1,290,623 1,295,156 1,422,709 1,451,877 1,563,906 1,519,617 1,200,676 1,000,948 887,021
Project Area No. 4 FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY 2018/19 FY 2019/20 FY 2020/21 FY 2021/22 FY 2022/23 FY 2023/24
Gross Tax Increment 13,057,891 13,889,272 14,287,533 14,685,301 15,251,204 15,776,294 16,815,458 17,592,461 18,995,874 22,394,351
Less:
Housing Set-Aside*2,611,578 2,777,854 2,857,507 2,937,060 3,050,241 3,155,259 3,363,092 3,518,492 3,799,175 4,478,870
SB 2557 166,634 154,976 178,812 162,715 145,017 139,433 210,710 166,282 305,520 133,556
Gross Pass-Throughs 8,381,422 8,866,804 9,433,947 9,943,062 10,454,725 8,434,713 11,405,344 12,185,263 13,800,057 15,336,829
Net Tax Increment 1,898,257 2,089,637 1,817,267 1,642,464 1,601,222 4,046,890 1,836,312 1,722,424 1,091,122 2,445,095
RPTTF Amount Deposited 3,071,966 2,443,507 2,610,660 4,834,978 4,934,105 5,301,405 5,164,761 4,211,595 3,635,308 3,320,895
*For calculation purposes only - No requirement to deposit Housing Set Aside post Redevelopment Dissolution.
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Page 1 of 1
FINANCE COMMITTEE
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: January 28, 2025
PREPARED BY: Skky Garcia, Management Analyst
SUBJECT: FINANCE DIRECTOR'S REPORT FOR GENERAL FUND FINANCIAL
REPORTS
RECOMMENDATION:
Receive and file the General Fund Financial Reports for the months ending September 30, 2024
through December 31, 2024.
BACKGROUND/ANALYSIS:
City staff will provide an update on the General Fund Financial Reports for the months ending
September 30, 2024 through December 31, 2024.
ATTACHMENTS:
1. General Fund Financial Reports for the months ending September 30, 2024 through December
31, 2024.
241
242
Monthly Financial Report
September 2024
CITY OF PALM DESERT
OVERVIEW
This report summarizes the City’s
financial performance for the
month ending September 30th,
2024. Financial analysis for this
report is provided for the General
Fund
REVENUES TO DATE
EXPLAINED
The first half of every fiscal year presents a
negative cash flow picture as our primary
revenue sources ramp up for the year for the
following reasons:
Property Tax is received in January/June.
Sales Tax is generally highest in Q4 and Q1.
Transient Occupancy Tax is also at its peak
in Q4 and Q1, as those times are considered
“season” for the desert. CY YTD Actual
reflects a slight decrease compared to PY
Actual and CY Budget. This is on trend with
current economic forecasts.
Budgets are approved as an annual total, so
for the purpose of this report YTD Budget is
calculated by percentage of PY YTD Actual.
General Govt costs include costs associated
with disaster/emergency expenditures
related to Tropical Storm Hillary.
Expenditure variances may result from
timing differences in billing.
GENERAL FUND SUMMARY
243
Monthly Financial Report
September 2024
CITY OF PALM DESERT
Page 2
Timing of expenditures vary
throughout the fiscal year.
General Government costs
include General Services and
annual retirement
contributions.
Admin Costs include insurance
and internal department costs.
Police Services include
Community Safety and
Homelessness Services.
EXPENDITURES TO DATE
GENERAL FUND EXPENDITURES
This summary report is
derived from detailed
financial information
generated by the City’s
Finance Department. If
you have questions or
would like additional
information on this report,
please contact the
Finance Department via
email at
vchavez@palmdesert.gov
YEAR OVER YEAR COMPARISON
244
Monthly Financial Report
October 2024
CITY OF PALM DESERT
OVERVIEW
This report summarizes the City’s
financial performance for the
month ending October 31st, 2024.
Financial analysis for this report is
provided for the General Fund
REVENUES TO DATE
EXPLAINED
The first half of every fiscal year presents a
negative cash flow picture as our primary
revenue sources ramp up for the year for the
following reasons:
Property Tax is received in January/June.
Sales Tax is generally highest in Q4 and Q1.
Transient Occupancy Tax is also at its peak
in Q4 and Q1, as those times are considered
“season” for the desert. CY YTD Actual
reflects a slight decrease compared to PY
Actual and CY Budget. This is on trend with
current economic forecasts.
Budgets are approved as an annual total, so
for the purpose of this report YTD Budget is
calculated by percentage of PY YTD Actual.
General Govt costs include costs associated
with disaster/emergency expenditures
related to Tropical Storm Hillary.
Expenditure variances may result from
timing differences in billing.
GENERAL FUND SUMMARY
245
Monthly Financial Report
October 2024
CITY OF PALM DESERT
Page 2
Timing of expenditures vary
throughout the fiscal year.
General Government costs
include General Services and
annual retirement
contributions.
Admin Costs include insurance
and internal department costs.
Police Services include
Community Safety and
Homelessness Services.
Interfund transfers were
completed at the beginning of
the FY
EXPENDITURES TO DATE
GENERAL FUND EXPENDITURES
This summary report is
derived from detailed
financial information
generated by the City’s
Finance Department. If
you have questions or
would like additional
information on this report,
please contact the
Finance Department via
email at
vchavez@palmdesert.gov
YEAR OVER YEAR COMPARISON
246
Monthly Financial Report
November 2024
CITY OF PALM DESERT
OVERVIEW
This report summarizes the City’s
financial performance for the
month ending November 30th,
2024. Financial analysis for this
report is provided for the General
Fund
REVENUES TO DATE
EXPLAINED
The first half of every fiscal year presents a
negative cash flow picture as our primary
revenue sources ramp up for the year for the
following reasons:
Property Tax is received in January/June, and
this year includes a one-time payment of
$1.6 Million from Shadow Ridge Time Share
Mitigation.
Sales Tax is generally highest in Q4 and Q1.
Transient Occupancy Tax is also at its peak
in Q4 and Q1, as those times are considered
“season” for the desert. CY YTD Actual
reflects a slight decrease compared to PY
Actual and CY Budget.
General Govt costs include costs associated
with disaster/emergency expenditures
related to Tropical Storm Hillary.
Expenditure variances may result from
timing differences in billing
GENERAL FUND SUMMARY
247
Monthly Financial Report
November 2024
CITY OF PALM DESERT
Page 2
Expenditures occur at varying
times throughout the fiscal
year.
General Government expenses
include General Services and
annual retirement
contributions.
Admin Costs include insurance
and internal department costs.
Police Services include
Community Safety and
Homelessness Services.
Interfund transfers were made
at the start of the FY, including
a one-time transfer of 12.3
Million to Capital Improvement
Projects, as well as transfers
following the approval of
Measure G.
EXPENDITURES TO DATE
GENERAL FUND EXPENDITURES
This summary report is
derived from detailed
financial information
generated by the City’s
Finance Department. If
you have questions or
would like additional
information on this report,
please contact the
Finance Department via
email at
vchavez@palmdesert.gov
YEAR OVER YEAR COMPARISON
248
Monthly Financial Report
December 2024
CITY OF PALM DESERT
OVERVIEW
This report summarizes the City’s
financial performance for the
month ending December 31st,
2024. Financial analysis for this
report is provided for the General
Fund
REVENUES TO DATE
EXPLAINED
The first half of every fiscal year presents a
negative cash flow picture as our primary
revenue sources ramp up for the year for the
following reasons:
Property Tax is received in January/June, and
this year includes a one-time payment of
$1.6 Million from Shadow Ridge Time Share
Mitigation.
Sales Tax is generally highest in Q4 and Q1.
Transient Occupancy Tax is also at its peak
in Q4 and Q1, as those times are considered
“season” for the desert. CY YTD Actual
reflects a slight decrease compared to PY
Actual and CY Budget.
General Govt costs include costs associated
with disaster/emergency expenditures
related to Tropical Storm Hillary.
Expenditure variances may result from
timing differences in billing.
GENERAL FUND SUMMARY
249
Monthly Financial Report
December 2024
CITY OF PALM DESERT
Page 2
Expenditures occur at varying
times throughout the fiscal
year.
General Government expenses
include General Services and
annual retirement
contributions.
Admin Costs include insurance
and internal department costs.
Police Services include
Community Safety and
Homelessness Services.
Interfund transfers were made
at the start of the FY,including
a one-time transfer of 12.3
Million to Capital Improvement
Projects, as well as transfers
following the approval of
Measure G.
EXPENDITURES TO DATE
GENERAL FUND EXPENDITURES
This summary report is
derived from detailed
financial information
generated by the City’s
Finance Department. If
you have questions or
would like additional
information on this report,
please contact the
Finance Department via
email at
vchavez@palmdesert.gov
YEAR OVER YEAR COMPARISON
250
Page 1 of 1
FINANCE COMMITTEE
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: January 28, 2025
PREPARED BY: James Bounds, Finance Supervisor
SUBJECT: CITY TREASURER’S INVESTMENT REPORTS
RECOMMENDATION:
Receive and file the City Treasurer’s Investment Reports for the months ending September 30,
2024, through December 31, 2024.
BACKGROUND/ANALYSIS:
City staff will provide an update on the City Treasurer’s Investment Reports for the month s
ending September 30, 2024, through December 31, 2024.
ATTACHMENTS:
1. City Investment Summary Report
2. HSG Investment Summary Report
3. SARDA Investment Summary Report
251
252
Monthly Investment Summary Report
September through December 2024
_________________________________________________________________________________
CITY OF PALM DESERT
Y IELD PE RFORMANCE
The City’s performance (in blue) as
decreased over the four months to
4.66%, still above the 5-year T-Bill
benchmark (in green) at 4.38%.
CAMP while decreasing continues to
earn more than LAIF, so the liquid
investments have been left there.
Our managed portfolio is at 4.56%
on 68M substantial higher than the
1.73% on 58M when they started managing our core portfolio.
ACTIVITY
Investment transactions were
executed in accordance with the
California State Government Code,
the City’s Investment Policy, and all
bond indentures.
Key Highlights:
• We continue to draw down
from CAMP to cover
expenditures due to the
timing of revenue received.
OVERVIEW
This report summarizes the City’s
investment activities and Staff analysis
for the 4 months ending December 31,
2024.
INVESTMENT SUMMARY
$ Millions
Beginning Ending
Book Value Purchases &Redemptions & Book Value % of
Asset Class 9/1/2024 Deposits Withdrawals 12/31/2024 Portfolio
Federal Agency 25.04$ 2.19$ (12.99)$ 14.24$ 5.8%
Medium-Term Note 19.80 - (5.21) 14.59 6.0%
US Treasury 16.95 19.31 (1.49) 34.77 14.2%
Commercial Paper 5.62 2.06 (3.60) 4.08 1.7%
Certificate of Deposit - 0.67 - 0.67 0.3%
CAMP Pool 178.96 4.58 (18.50) 165.04 67.5%
LAIF Pool 0.94 0.01 - 0.95 0.4%
County Pool 2.81 0.06 - 2.87 1.2%
Money Market Funds 4.36 36.74 (33.89) 7.21 2.9%
Investments
Total 254.48$ 65.62$ (75.68)$ 244.42$ 100%
Custodian ^63.33 1.02 (3.71) 60.64
Trustee ^7.66 2.73 (6.52) 3.87
Cash 2.08 113.00 (113.35) 1.73
Cash & Cash
w/Fiscal Agents
Total 73.07$ 116.75$ (123.58)$ 66.24$
Total 327.55$ 182.37$ (199.26)$ 310.66$
^ = Restricted funds based upon bond indenture terms.
4.66
4.434
4.38
4.73
3
3.5
4
4.5
5
5.5
6
1-Jul 1-Aug 1-Sep 1-Oct 1-Nov 1-Dec
Yield Performance -Total Portfolio In Percentages
City Yield LAIF Yield 5Y T-Bill CAMP
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
253
Monthly Investment Summary Report
September through December 2024
_________________________________________________________________________________
CITY OF PALM DESERT
CURRENT ASSET ALLOCATION
The City continues to be in line
with our current policy. We are
still heavily invested in the Local
Government Investment Pools
(CAMP, LAIF, and Riv Co) to take
advantage of the better
preforming short term
investments, keeping our cash
liquidity needs in mind while we
continue to work on numerous
Capital Projects.
MANGAGED P OR T F OLI O MA T UR I T I ES
The managed portfolio is
continuing to balance the ladder
of maturities over 0-5 years.
PFM looks at the investments
that are maturing in the 6–12-
month range to determine if
there is more potential gain in
reallocating any of those assets
before they fully mature.
Following a more active
investment strategy was the
City directed,
Federal Agency,
5.83%
Medium-Term
Note, 5.97%
US Treasury,
14.23%
Commercial
Paper, 1.67%
Local Govt,
69.09%
Money Market
Funds, 2.95%
Certificate of
Deposit, 0.27%
0%25%50%75%100%
Federal Agency
Medium-Term Note
US Treasury
Commercial Paper
Local Govt
Money Market Funds
Certificate of Deposit
Investment Allocation Actual to Max
Allocation
Max Allocation Allocation
0.00%
10.00%
20.00%
30.00%
0-6M 6-12M 1-2Y 2-3Y 3-4Y 4-5Y
16.22%
4.15%
16.92%
22.91%23.33%
16.47%
Investment Maturity
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
254
Monthly Investment Summary Report
September through December 2024
_________________________________________________________________________________
CITY OF PALM DESERT
MONTHLY MARKET VALUE CHANGES
For the month of December, there was an overall increase of 7.496% compared to September. This is a result of the PFM
actions to diversify the City’s portfolio.
Market Values September December $ Change
Federal Agency
20,285,237.57
14,248,569.54
(6,036,668.03) *
Medium-Term Note
19,274,111.71
14,648,538.18
(4,625,573.53) *
US Treasury
20,569,664.81
34,942,348.93
14,372,684.12 *
Commercial Paper
3,748,868.86
4,150,827.74
401,958.88
CD -
675,684.45
675,684.45
Total
63,877,882.95
68,665,968.84
4,788,085.89 7.496%
*Changes include the reallocation of assets from Federal Agency and Medium-Term Notes to US Treasury to
benefit from a better longer-term yield.
This investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of
Palm Desert investment policy. Barring unforeseen events, it has sufficient cash to fund city expenditures for the next six
months. US Bank Custody Services has provided market value prices for all corporate securities. All balances are bank
balances. The "% of Portfolio" calculation on the Portfolio Summary page omits demand deposits.
_______________________________________________
Veronica Chavez, Finance Director
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
1/21/2025
255
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
256
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
257
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
258
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Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
October 02, 2024
LAIF Home
PMIA Average Monthly
Yields
CITY OF PALM DESERT
CITY TREASURER
73-510 FRED WARING DRIVE
PALM DESERT, CA 92260-2578
Account Number:
September 2024 Statement
Tran Type Definitions
Account Summary
Total Deposit:0.00 Beginning Balance:940,431.97
Total Withdrawal:0.00 Ending Balance:940,431.97
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
286
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Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
317
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
November 04, 2024
LAIF Home
PMIA Average Monthly
Yields
CITY OF PALM DESERT
CITY TREASURER
73-510 FRED WARING DRIVE
PALM DESERT, CA 92260-2578
Account Number:
October 2024 Statement
Tran Type Definitions
Effective
Date
Transaction
Date
Tran
Type Confirm
Number
Web
Confirm
Number Authorized Caller Amount
10/15/2024 10/14/2024 QRD 1762308 N/A SYSTEM 11,152.53
Account Summary
Total Deposit:11,152.53 Beginning Balance:940,431.97
Total Withdrawal:0.00 Ending Balance:951,584.50
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
318
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California State Treasurer Fiona Ma1 CPA
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916)653-3001CITY OF PALM DESERT CITY TREASURER 73-510 FRED WARING DRIVEPALM DESERT, CA 92260-2578
Account Number: November 2024 Statement Account Summary
Total Deposit:
Total Withdrawal:
December 05, 2024
LAIFHome
PMIA Average Monthly
Yields
Iran.l'ype Definitions
0.00 Beginning Balance:
0.00 Ending Balance:
951,584.50
951,584.50
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349
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351
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352
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353
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California State Treasurer Fiona Ma1 CPA
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916)653-3001CITY OF PALM DESERT CITY TREASURER 73-510 FRED WARING DRIVEPALM DESERT, CA 92260-2578
Account Number:
December 2024 Statement
Account Summary
Total Deposit:
Total Withdrawal:
January 06, 2025
LAIFHome
PMIA Average Monthly
Yields
Iran.l'ype Definitions
0.00 Beginning Balance:
0.00 Ending Balance:
951,584.50
951,584.50
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
381
Docusign Envelope ID: 14648141-11E7-4854-8079-3F0A4343DB88
382
Palm Desert Housing Authority
Monthly Investment Summary Report
September through December 2024
_________________________________________________________________________________
CITY OF PALM DESERT
ACTIVITY
Investment transactions were
executed in accordance with the
California State Government
Code, the City’s Investment
Policy, and all bond indentures.
This investment portfolio complies with the provisions of California Government Code Section 53601 and the City of Palm
Desert investment policy. Barring unforeseen events, it has sufficient cash to fund Housing Authority operations for the next six
months. All balances are bank balances.
_______________________________________________
Veronica Chavez, Finance Director
OVERVIEW
This report summarizes the Palm Desert
Housing Authority investment activities
for the 4 month s ending December 31,
2024.
INVESTMENT SUMMARY
$ Millions
Beginning Ending
Book Value Purchases &Redemptions &Book Value
Asset Class 9/1/2024 Deposits Withdrawals 12/31/2024
CAMP Pool 44.89 0.75 - 45.64
LAIF Pool 1.04 0.01 - 1.05
Investments
Total 45.93$ 0.76$ -$ 46.69$
Cash 2.89 3.21 (2.75) 3.35
Total 48.82$ 3.97$ (2.75)$ 50.04$
^ = Restricted funds based upon bond indenture terms.
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
1/17/2025
383
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
384
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
385
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
October 02, 2024
LAIF Home
PMIA Average Monthly
Yields
PALM DESERT HOUSING AUTHORITY
CITY TREASURER
73-510 FRED WARING DRIVE
PALM DESERT, CA 92260-2578
Account Number:
September 2024 Statement
Tran Type Definitions
Account Summary
Total Deposit:0.00 Beginning Balance:1,039,601.30
Total Withdrawal:0.00 Ending Balance:1,039,601.30
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
386
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
387
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388
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
November 04, 2024
LAIF Home
PMIA Average Monthly
Yields
PALM DESERT HOUSING AUTHORITY
CITY TREASURER
73-510 FRED WARING DRIVE
PALM DESERT, CA 92260-2578
Account Number:
October 2024 Statement
Tran Type Definitions
Effective
Date
Transaction
Date
Tran
Type Confirm
Number
Web
Confirm
Number Authorized Caller Amount
10/15/2024 10/14/2024 QRD 1760840 N/A SYSTEM 12,328.57
Account Summary
Total Deposit:12,328.57 Beginning Balance:1,039,601.30
Total Withdrawal:0.00 Ending Balance:1,051,929.87
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
389
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
390
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
391
California State Treasurer Fiona Ma1 CPA
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916)653-3001PALM DESERT HOUSING AUTHORITY CITY TREASURER 73-510 FRED WARING DRIVEPALM DESERT, CA 92260-2578
Account Number: November 2024 Statement Account Summary
Total Deposit:
Total Withdrawal:
December 05, 2024
LAIFHome
PMIA Average Monthly
Yields
Iran.l'ype Definitions
0.00 Beginning Balance:
0.00 Ending Balance:
1,051,929.87
1,051,929.87
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
392
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
393
Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
394
California State Treasurer Fiona Ma1 CPALocal Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916)653-3001PALM DESERT HOUSING AUTHORI TY CITY TREASURER 73-510 FRED WARING DRIVEPALM DESERT, CA 92260-2578Account Number: December 2024 Statement Account Summary Total Deposit: Total Withdrawal: January 06, 2025 LAIFHome PMIA Average Monthly Yields Iran.l'ype Definitions 0.00 Beginning Balance: 0.00 Ending Balance: 1,051,929.87 1,051,929.87 Docusign Envelope ID: 17891FAA-A931-4BBD-AD19-28F7726C9D6D
395
396
RDA Successor Agency
Monthly Investment Summary Report
September through December 2024
_________________________________________________________________________________
CITY OF PALM DESERT
ACTIVITY
Investment transactions were
executed in accordance with
the California State
Government Code, the City’s
Investment Policy, and all
bond indentures
This investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of
Palm Desert investment policy. Pursuant to ABX126, the availability of cash to fund the Palm Desert RDA Successor Agency's
debt service is dependent upon the County of Riverside and the State of California. All balances are bank balances.
_______________________________________________
Veronica Chavez, Finance Director
OVERVIEW
This report summarizes the RDA
Successor Agency investment activities
for the 4 month s endin g December 31,
2024.
INVESTMENT SUMMARY
Beginning Ending
Book Value Purchases &Redemptions &Book Value
Asset Class 9/1/2024 Deposits Withdrawals 12/31/2024
CAMP Pool 6,368.03 106.32 - 6,474.35
LAIF Pool 794.11 9.42 - 803.53
County Pool 357.65 7.46 - 365.11
Investments
Total 7,519.79$ 123.20$ -$ 7,642.99$
Trustee ^27,918,208.57 18,232,080.99 (31,891,328.17) 14,258,961.39
Cash 198,327.42 43,385.00 (75,109.99) 166,602.43
Cash & Cash
w/Fiscal Agentys
Total 28,116,535.99$ 18,275,465.99$ (31,966,438.16)$ 14,425,563.82$
Total 28,124,055.78$ 18,275,589.19$ (31,966,438.16)$ 14,433,206.81$
^ = Restricted funds based upon bond indenture terms.
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
1/17/2025
397
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398
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
399
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
October 02, 2024
LAIF Home
PMIA Average Monthly
Yields
S/A TO THE PALM DESERT REDEVELOPMENT
AGENCY
FINANCE DIRECTOR
73-510 FRED WARING DRIVE
PALM DESERT, CA 92260-2578
Account Number:
September 2024 Statement
Tran Type Definitions
Account Summary
Total Deposit:0.00 Beginning Balance:794.11
Total Withdrawal:0.00 Ending Balance:794.11
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
400
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
401
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402
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
403
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
November 04, 2024
LAIF Home
PMIA Average Monthly
Yields
S/A TO THE PALM DESERT REDEVELOPMENT
AGENCY
FINANCE DIRECTOR
73-510 FRED WARING DRIVE
PALM DESERT, CA 92260-2578
Account Number:
October 2024 Statement
Tran Type Definitions
Effective
Date
Transaction
Date
Tran
Type Confirm
Number
Web
Confirm
Number Authorized Caller Amount
10/15/2024 10/14/2024 QRD 1761263 N/A SYSTEM 9.42
Account Summary
Total Deposit:9.42 Beginning Balance:794.11
Total Withdrawal:0.00 Ending Balance:803.53
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
404
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
405
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406
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
407
California State Treasurer Fiona Ma1 CPA
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916)653-3001
December 05, 2024
LAIFHome
PMIA Average Monthly
Yields
SI A TO THE PALM DESERT REDEVELOPMENT AGENCY FINANCE DIRECTOR 73-510 FRED WARING DRIVEPALM DESERT, CA 92260-2578
Account Number: November 2024 Statement Account Summary
Total Deposit:
Total Withdrawal:
Iran.l'ype Definitions
0.00 Beginning Balance:
0.00 Ending Balance:
803.53
803.53
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
408
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
409
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410
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
411
California State Treasurer Fiona Ma1 CPA
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916)653-3001
January 06, 2025
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SI A TO THE PALM DESERT REDEVELOPMENT AGENCY FINANCE DIRECTOR 73-510 FRED WARING DRIVEPALM DESERT, CA 92260-2578
Account Number:
December 2024 Statement
Account Summary
Total Deposit:
Total Withdrawal:
Iran.l'ype Definitions
0.00 Beginning Balance:
0.00 Ending Balance:
803.53
803.53
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
412
Docusign Envelope ID: A392D7BE-1442-45AD-B157-312B765850C5
413
414
Page 1 of 1
FINANCE COMMITTEE
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: January 28, 2025
PREPARED BY: James Bounds, Finance Supervisor
SUBJECT: PFM INVESTMENT ADVISOR YEAR IN REVIEW REPORT
RECOMMENDATION:
Receive and file the PFM Investment Advisor Year in Review Report for the year ending
December 31, 2024.
BACKGROUND/ANALYSIS:
City staff will provide an update on the PFM Investment Advisor Year in Review Report for the
year ending December 31, 2024.
ATTACHMENTS:
1. PFM Investment Advisor Year in Review Report for the year ending December 31, 2024.
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416
417
418
419
420
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422
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Page 1 of 1
FINANCE COMMITTEE
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: January 28, 2025
PREPARED BY: Anthony Hernandez, Desert Willow Controller
Derek White, Desert Willow General Manager
SUBJECT: DESERT WILLOW GOLF RESORT FINANCIAL REPORTS
RECOMMENDATION:
Receive and file the Desert Willow Golf Resort Financial Reports for the months ending
September 30, 2024 through December 31, 2024.
BACKGROUND/ANALYSIS:
City staff will provide an update on the Desert Willow Golf Resort Financial Reports for the
months ending September 30, 2024 through December 31, 2024.
ATTACHMENTS:
1. Desert Willow Golf Resort Financial Reports for the months ending September 30, 2024
through December 31, 2024.
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432
433
FINANCE COMMITTEE -SEPTEMBER 2024
Desert Willow Golf Resort
Standard Summary Income Statement
For the Three Months Ending September 30, 2024 MTD -September 2024
MTD MTD ¾of MTD ¾ of
Actual Budget Budget Prior Year PY
REVENUES
Green Fees & Cart Fees $262,129 $216,297 121% $415,180 63"/o
Merchandise 57,330 36,904 155% 73,809 78%
Other Pro Shop 62,231 39,548 151•1. 44,301 140%
Range 1,215 1,145 106% 2,290 53%
Food & Beverage 136,563 140,900 97% 276,131 49%
Academy Merchandise 2,006 1,313 153o/. 1,287 156o/,
Other Academy 19,409 12,062 161o/, 11,825 164°/4,
Other G&A Income 2,233 100% 100o/,
TOTAL REVENUE 543,116 448,167 121% 824,823 66%
COST OF SALES
Merchandise 32,717 20,600 159% 42,462 77'/o
Academy 1,561 1,024 152% 957 163o/,
Food & Beverage 49,136 39,758 124% 87,344 56%
TOTAL COGS 83,414 61,382 136% 130,762 64%
COGS -Merchandise ¾ 57.1% 55.8% 102.2% 57.5% 99.2%
COGS -Academy ¾ 77.8% 78.0% 99.8% 74.4% 104.6%
COGS-F&B% 36.0% 28.2% 127.So/o 31.6% 113.7%
PAYROLL
Course and Grounds 206.857 236,693 87% 180,620 115%
Carts, Range, Starters, Etc. 45,784 34,149 134% 47,990 95%
Food and Beverage 161,997 196,327 83o/, 203,684 80%
Pro Shop 56,848 59,194 96% 58,472 97%
Clubhouse Services 21,534 21.250 101% 22,060 98%
Academy 11,240 8,175 137% 7,580 148%
General and Administrative 47,035 46,810 100% 44,338 106%
Marketing 18,418 17,106 108% 18,272 101%
TOTAL PAYROLL 569,714 619,704 92% 583,016 98%
OPERA TING EXPENSES
Course and Grounds 189,864 176,589 108% 164,482 115%
Carts, Range, Starters, Etc. 4,025 18,877 21% 18,508 22%
Food and Beverage 28,945 41,657 69% 50,656 57%
Pro Shop 5,535 12,714 44•1. 15,332 36%
Clubhouse Services 64,825 55,147 118% 58,052 112¾
Academy 3,271 8,256 40'/4 8,091 40'/4
General and Administrative 46,260 41,951 110% 46,077 100°/,
Marketing 9,922 8,494 117% 7,477 133%
TOTAL OPERATING EXPENSES 352,647 363,684 97¾ 368,675 96%
TOTAL EXPENSES 1,005,775 1,044,770 96¾ 1,082,454 93o/o
EBITDA (462,659) (596,603) 78¾ (257,631) 180o/,
434
435
436
437
438
Category
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
Comp/Employee
Total
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
2024/2025
1,474
493
1,034
553
330
3,884
173
4,057
2024/2025
$ 69
$ 44
$ 81
$ 64
$ 54
$ 67
Rounds
% Budget % Variance
38% 1,229 36% 245
13% 384 11% 109
27% 655 19% 379
14% 660 19% (107}
8% 495 14% (165)
3,423 461
13%
169 4
3,593 464
Average Dollars per Round
Budget 2023/2024
$ 66 $ 65
$ 45 $ 45
$ 77 $ 78
$ 66 $ 64
$ 47 $ 45
$ 63 $ 62
DWGR
Round Mix Analysis
For the Month Ended September 30, 2024
2023/2024 % Variance 2024/2025 %
2,332 3S% (858} $ 102,437 39%
754 11% (261} $ 21,907 8%
1,457 22% (423} $ 84,270 32%
1,145 17% (592} $ 35,490 14% $
970 15% (640} $ 17,750 7% $
6,658 (2,774} $ 261,854 $
-42%
292 1119) $ $
6,950 12,893} $ 261,854 $
G:\Finance\Derek White\My Documents\Analytics\ADR Analysis Monthly Reports\2024-2025\ADR analysis 24-25
FINANCE COMMITTEE -SEPTEMBER 2024
Dollars
Budget % Variance 2023/2024 % Variance
81,431 38% $ 21,006 $ 150,696 36% $ (48,259}
17,334 8% $ 4,573 $ 34,069 8% $ (12,162}
50,738 23% $ 33,532 $ 113,679 27% $ (29,409}
43,371 20% $ (7,881} $ 72,938 18% $ (37,448}
23,198 11% $ (5,448} $ 43,496 10% $ (25,746}
216,072 $ 45,782 $ 414,878 $ (153,024}
21% -37%
$ $
216,072 $ 45,782 $ 414,878 $ (153,024}
439
Category
Public Rack
Residents
Outings
Wholesale
loyalty/Special
Total
Comp/Employee
Total
Public Rack
Residents
Outings
Wholesale
loyalty/Special
Total
2024/2025
2,711
1,263
1,831
1,207
705
7,717
460
8,177
2024/2025
$ 70
$ 43
$ 76
$ 66
$ 52
$ 65
Rounds
% Budget % Variance
35% 2,590 34% 121
16% 980 13% 283
24% 1,299 17% 532
16% 1,168 15% 39
9% 1,519 20% (814)
7,556 161
2%
504 (44)
8,061 116
Average Dollars per Round
Budget 2023/2024
$ 68 $ 64
$ 47 $ 45
$ 74 $ 74
$ 68 $ 65
$ 47 $ 45
$ 62 $ 60
DWGR
Round Mix Analysis
For the Three Months Ending September 30, 2024
2023/2024 % Variance 2024/2025 %
5,008 35% (2,297) $ 190,281 38% $
1,911 13% (648) $54,452 11%
2,563 18% (732) $139,430 28%
2,208 15% (1,001) 79,475 16% $
2,721 19% (2,016) $ 36,402 7% $
14,411 (6,694) $ 500,040 $
-46%
878 (418) $ $
15,289 (7,112) $ 500,040 $
G:\Finance\Oerek White\My Documents\Analytics\ADR Analysis Monthly Reports\2024-2025\ADR analysis 24-25
FINANCE COMMITTEE -SEPTEMBER 2024
Dollars
Budget % Variance 2023/2024 % Variance
175,887 38% $ 14,394 $ 322,830 37% $ (132,549)
45,967 10% $ 8,485 $ 86,019 10% $ (31,567)
96,599 21% $ 42,831 $ 189,351 22% $ (49,921)
79,194 17% 281 143,030 17% (63,555)
71,243 15% $ (34,841) $ 121,905 14% $ (85,503)
468,891 $ 31,149 $ 863,135 $ (363,095)
7% -42%
$ $
468,891 $ 31,149 $ 863,135 $ (363,095)
440
441
442
Dining Covers
Dining Revenue
Dining -Ave Check
Catering Covers
Catering Revenue
Catering Ave Check
Outlet Rounds
Outlet Revenue
Outing Ave Check
Total F&B Revenue
DWGR
F&B Revenue Analysis
Year-to-Date Revenue Analysis
9/30/2024
Dining Analysis
2024.2025 2022.2023 Variance
5,966 7,430 (1,464)
$ 148,517 $ 186,445 (37,928)
$ 24.89 $ 25.09 $ (0.20)
Catering Analysis
2024.2025 2022.2023 Variance
1,064 2,772 $ (1,708)
$ 51,693 $ 182,503 $ (130,810)
$ 48.58 $ 65.84 $ (17.25)
Outlet Analysis
2024.2025 2022.2023 Variance
8,177 14,537 $ (6,360)
$ 51,698 $ 73,279 $ (21,581)
$ 6.32 $ 5.04 $ 1.28
FINANCE COMMITTEE -SEPTEMBER 2024
%
-20%
-20%
-1%
%
-62%
-72%
-26%
%
-44%
-29%
25%
$ 251,908 $ 442,227 $ (190,319) -43%
443
444
Desert j Will� Golf Resort
Total Revenue Revenue Trends $1,520,966 • 9.03% from Previous Year
3.0M I 2.5M 2.0M 1.SM I.OM
-Actual 2025 Actual 2024 -Budge! 2025
Revenue Budget $1,421,661
Budget2024
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25
Actual Expenses
$1,463,622
t?.89 from previous year
1.6M
1.4M
1.2M
I.OM
SOOK
600K
400K
200K
Expenditures
-Actual 2025 -Actual 2024
14K 12K !OK 8K 6K 4K
Total Rounds
6,896
Revenue, Rounds, and ADR
Expenditures and Resident & Resident Platinum Round Comparison
Rounds Rounds Budget 6,786
AUK $134.00 AUK �uoget $128.00
•-0.86% from previous year ta.1% from previous year
-Aelual 2025 Aclual 2024 -Budget 2025 -Budget 2024 -AUii. -ADRHutlqet -ADR(preVIOU5Y AOR Budget tpr
2: -I 1 u Jul 2024 Sep 2024 Nov 2024 Jan 2025 Mar 2025 May 2025 Aug 2024 Oct 2024 Oec 2024 Feb 2025 Apr 2025 Jun 2025 Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25
3.0K
2.5K
2.0K
I.SK
I.OK
500
0 I
Resident & Resident Platinum Round Comparison
-2025 Resident Rounds -2025 Res Platinum --2024 Resident Rounds
I I
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 2024 2024 2024 2024 2024 2024 2025 2025 2025 2025 2025 2025
FINANCE COMMITTEE - OCTOBER 2024
445
Desert Willow Golf Resort
Standard Summary Income Statement
For the Four Months Ending October 31, 2024 MTD • October 2024
MTD MTD %of MTD %of
Actual Budget Budget Prior Year PY
REVENUES
Green Fees & Cart Fees $895,804 $858,453 104°/. $837,416 107%
Merchandise 109,351 105,249 104°/. 112,990 97%
Other Pro Shop 28,661 20,112 143°/. 19,718 145%
Range 3,400 1,652 206°/o 1,620 210%
Food & Beverage 464,132 419,497 111°;. 406,791 114%
Academy Merchandise 2,191 604 363°/o 592 370%
Other Academy 17,428 12,994 134°/. 12,739 137%
Other G&A Income 3,100 0% 0%
TOTAL REVENUE 1,520,966 1,421,661 107°/o 1,394,965 109%
COST OF SALES
Merchandise 57,560 57,299 100°1. 62,605 92%
Academy 1,772 471 376°/o (155) -1143%
Food & Beverage 116,941 113,676 103°/o 93,959 124%
TOTAL COGS 176,273 171,445 103°/. 156,410 113%
COGS -Merchandise % 52.6% 54.4% 96.7% 55.4% 95.0%
COGS • Academy % 80.9% 78.0% 103.7% -26.2% -308.9%
COGS -F&B% 25.2% 27.1% 93.0% 23.1% 109.1%
PAYROLL
Course and Grounds 209,855 245,178 86% 178,924 117%
Carts, Range, Starters, Etc. 55,940 51,552 109°/o 52,585 106%
Food and Beverage 236,731 269,288 88°/. 236,965 100%
Pro Shop 57,071 58,664 97°/. 59,433 96%
Clubhouse Services 23,301 22,457 104°/o 18,423 126%
Academy 15,725 11,474 137°/o 10,807 146%
General and Administrative 47,941 47,120 102°;. 44,252 108%
Marketing 21,258 22,837 93 °/. 21,905 97%
TOTAL PAYROLL 667,822 728,570 92% 623,295 107%
OPERATING EXPENSES
Course and Grounds 337,891 321,922 105°/. 302,571 112%
Carts, Range, Starters, Etc. 26,763 19,492 137°/o 19,108 140%
Food and Beverage 68,480 54,862 125°/o 62,498 110%
Pro Shop 17,492 6,255 280°/o 5,822 300%
Clubhouse Services 54,903 67,180 82°/. 69,949 78%
Academy 6,961 8,914 78°/. 8,737 80%
General and Administrative 62,241 61,868 101°;. 60,243 103%
Marketing 6,970 8,190 85% 7,161 97%
TOTAL OPERATING EXPENSES 581,701 548,684 106°/. 536,089 109%
TOTAL EXPENSES 1,425,796 1,448,699 98% 1,315,793 108%
EBITDA 95,170 (27,037) -352 °/. 79,172 120%
FINANCE COMMITTEE - OCTOBER 2024
446
Desert Willow Golf Resort
Standard Summary Income Statement
For the Four Months Ending October 31, 2024
EBITDA
MANAGEMENT FEES
FINANCING ACITIVITY
Interest Expense -Debt
Interest Expense -Leases
Interest Income
TOTAL FINANCING ACTIVITY
OTHER INCOME (EXPENSE)
Non-Operating Revenue
Facility Rent
Depreciation & Amortization
Taxes
TOTAL OTHER INCOME (EXPENSE)
NET INCOME
Paid Rounds
Other Rounds
Total Rounds
Revenue/Paid Rounds
Revenue/Total Rounds
Green Fees / Cart Fees per Paid Rounds
Green Fees / Cart Fees per Total Rounds
F&B Revenue/Total Rounds
Merchandise Revenue/Total Rounds
MTD
Actual
95,170
(23,333)
(1,667)
(5,025)
14,876
8,184
(8,000)
(139,739)
199
(147,541)
(67,520)
6,700
196
6,896
227
221
134
130
67
18
MTD
Budget
(27,037)
(22,100)
(1,667)
(5,025)
10,448
3,756
(8,000)
(156,193)
19
(164,175)
(209,556)
6,693
92
6,786
212
209
128
127
62
17
MTD • October 2024
%of MTD %of
Budget Prior Year PY
-352°/. 79,172 120%
106°/o (22,500) 104%
100°;. (3,333) 50%
100°;. (6,842) 73%
142°/. 14,911 100%
218°/o 4,735 173%
0% 0 0%
100°1. (8,000) 100%
89% (120,955) 116%
1047°/o (22) -905%
90 °/. (128,977) 114%
32% (67,570) 100%
100% 6,744 99%
213% 93 211%
102% 6,837 101%
107% 207 110%
105% 204 108%
104% 124 108%
103% 122 106%
109% 59 113%
106% 18 100%
FINANCE COMMITTEE - OCTOBER 2024
447
Desert Willow Golf Resort
Standard Summary Income Statement
For the Four Months Ending October 31, 2024 YTD -October 2024
YTD YTD %of YTD %of Annual Rolling
Actual Budget Budget Prior Year PY Budget 12 Months
REVENUES
Green Fees & Cart Fees $1,405,633 $1,330,244 106% $1,709,253 82% $10,117,994 $9,395,599
Merchandise 206,232 172,272 120% 247,035 83% 1,090,937 1,077,794
Other Pro Shop 448,557 456,371 98% 422,209 106% 575,126 560,829
Range 6,465 4,947 131% 8,210 79% 76,480 74,245
Food & Beverage 722,029 691,205 104% 934,305 77% 4,780,039 4,358,700
Academy Merchandise 6,845 4,089 167% 4,009 171% 99,109 98,868
Other Academy 56,901 47,181 121% 46,256 123% 380,853 416,686
Other G&A Income 5,233 11,911 44% 11,911 0% 23,911 31,610
TOTAL REVENUE 2,857,895 2,718,220 105% 3,383,188 84% 17,144,449 16,014,330
COST OF SALES
Merchandise 108,014 94,655 114% 137,754 78% 596,335 590,920
Academy 2,620 3,190 82% 2,688 97% 77,305 67,644
Food & Beverage 214,899 196,641 109% 259,464 83% 1,373,594 1,189,279
TOTAL COGS 325,533 294,486 111% 399,906 81% 2,047,235 1,847,842
COGS -Merchandise % 52.4% 54.9% 95.3% 55.8% 93.9% 54.7% 54.8%
COGS -Academy % 38.3% 78.0% 49.1% 67.0% 57.1% 78.0% 68.4%
COGS-F&B % 29.8% 28.4% 104.6% 27.8% 107.2% 28.7% 27.3%
PAYROLL
Course and Grounds 794,806 957,285 83% 701,237 113% 2,942,019 2,323,996
Carts, Range, Starters, Etc. 176,955 155,976 113% 185,596 95% 634,959 664,560
Food and Beverage 681,564 726,081 94% 748,770 91% 2,982,678 2,740,519
Pro Shop 222,555 230,693 96% 230,222 97% 722,226 718,841
Clubhouse Services 87,477 87,539 100% 79,545 110o/o 263,900 255,001
Academy 49,209 41,666 118% 35,167 140% 353,361 401,646
General and Administrative 187,228 186,420 100% 176,679 106% 589,780 573,296
Marketing 75,288 73,979 102% 74,658 101% 283,552 296,706
TOTAL PAYROLL 2,275,082 2,459,638 92% 2,231,874 102% 8,772,475 7,974,565
OPERATING EXPENSES
Course and Grounds 893,885 835,121 107% 716,934 125% 2,160,018 2,002,084
Carts, Range, Starters, Etc. 42,280 46,909 90% 45,989 92% 121,372 94,659
Food and Beverage 142,087 130,324 109% 151,235 94% 564,360 629,139
Pro Shop 31,964 46,886 68% 33,645 95% 108,887 78,842
Clubhouse Services 263,475 279,910 94% 292,668 90% 663,048 688,921
Academy 20,723 22,919 90% 22,459 92% 41,864 32,576
General and Administrative 200,071 195,560 102% 196,611 102% 761,438 776,768
Marketing 30,074 32,053 94% 27,904 108% 179,519 120,673
TOTAL OPERATING EXPENSES 1,624,558 1,589,682 102% 1,487,445 109% 4,600,506 4,423,661
TOT AL EXPENSES 4,225,173 4,343,806 97% 4,119,225 103% 15,420,216 14,246,068
EBITDA (1,367,278) (1,625,586) 84% (736,037) 186°/o 1,724,233 1,768,262
FINANCE COMMITTEE - OCTOBER 2024
448
Desert Willow Golf Resort
Standard Summary Income Statement
For the Four Months Ending October 31, 2024 YTD -October 2024
YTD YTD ¾of YTD ¾of Annual Rolling
Actual Budget Budget Prior Year PY Budget 12 Months
EBITDA (1,367,278) (1,625,586) 84% (736,037) 186% 1,724,233 1,768,262
MANAGEMENT FEES (93,333) (88,400) 106% (90,000) 104% (478,200) (473,333) ------------------
FINANCING ACITIVITY
Interest Expense -Debt (6,667) (6,668) 100% (13,333) 50% (20,000) (72,294)
Interest Expense -Leases (21,018) (21,018) 100% (28,265) 74% (55,665) (70,341)
Interest Income 71,326 45,784 156% 70,612 101% 123,820 208,909
TOTAL FINANCING ACTIVITY 43,641 18,098 241% 29,013 150% 48,155 66,274
OTHER INCOME (EXPENSE)
Non-Operating Revenue 107,598 26,735 402% 25,956 415% 107,240 313,230
Facility Rent (32,000) (32,000) 100% (32,000) 100% (96,000) (96,000)
Depreciation & Amortization (558,958) (624,772) 89% (483,819) 116% (1,874,316) (1,766,850)
Taxes 29 (5,628) -1% (76) -38% (22,856) (15,183)
TOTAL OTHER INCOME (EXPENSE) (483,331) (635,665) 76% (489,939) 99% (1,885,932) (1,564,803)
NET INCOME (1,900,301) (2,331,552) 82% (1,286,962) 148% (591,744) (203,600)
----------------------------================== --------------================== ---------------------------------
Paid Rounds 14,417 14,250 101% 21,155 68% 86,236 79,872
Other Rounds 656 597 110% 971 68% 2,308 1,715
Total Rounds 15,073 14,847 102% 22,126 68% 88,544 81,587
Revenue/Paid Rounds 198 191 104% 160 124% 199 200
Revenue/Total Rounds 190 183 104% 153 124% 194 196
Green Fees / Cart Fees per Paid Rounds 97 93 104% 81 121% 117 118
Green Fees / Cart Fees per Total Rounds 93 90 104% 77 121% 114 115
F&B Revenue/Total Rounds 48 47 103% 42 113% 54 53
Merchandise Revenue/Total Rounds 17 15 118% 13 132% 17 18
FINANCE COMMITTEE - OCTOBER 2024
449
Category
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
Comp/Employee
Total
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
2024/2025
2,438
1,272
1,433
894
663
6,700
196
6,896
2024/2025
$ 152
$ 65
$ 174
$ 131
$ 113
$ 134
Rounds
% Budget % Variance
36% 2,287 34% 151
19% 1,322 20% (50)
21% 1,527 23% (94)
13% 908 14% (14)
10% 649 10% 14
6,693 7
0%
92 104
6,786 110
Average Dollars per Round
Budget 2023/2024
$ 148 $ 143
$ 69 $ 67
$ 157 $ 152
$ 130 $ 125
$ 111 $ 107
$ 128 $ 124
DWGR
Round Mix Analysis
For the Month Ended October 31, 2024
2023/2024 % Variance 2024/2025 %
2,304 34% 134 $ 370,565 41%
1,332 20% (60) $ 83,243 9%
1,539 23% (106) $ 249,855 28%
915 14% (21) $ 116,942 13%
654 10% 9 $ 74,918 8%
6,744 (44) $ 895,523
-1%
93 103 $ -
6,837 59 $ 895,523
Dollars
Budget % Variance 2023/2024 % Variance
337,990 39% $ 32,575 $ 329,746 39% $ 40,819
90,903 11% $ (7,660) $ 88,686 11% $ (5,443)
239,999 28% $ 9,856 $ 234,145 28% $ 15,710
$ 117,609 14% $ (667) $ 114,740 14% $ 2,202
$ 71,903 8% $ 3,015 $ 70,149 8% $ 4,769
$ 858,403 $ 37,120 $ 837,466 $ 58,057
4% 7%
$ $ $
$ 858,403 $ 37,120 $ 837,466 $ 58,057
FINANCE COMMITTEE - OCTOBER 2024
450
Category
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
Comp/Employee
Total
Public Rack
Residents
Outings
Wholesale
loyalty/Special
Total
2024/2025
5,149
2,535
3,264
2,101
1,368
14,417
656
15,073
2024/2025
$ 109
$ 54
$ 119
$ 93
$ 81
$ 97
Rounds
% Budget % Variance
36% 4,877 34% 272
18% 2,302 16% 233
23% 2,827 20% 437
15% 2,076 15% 25
9% 2,168 15% (800)
14,250 167
1%
597 59
14,846 227
Average Dollars per Round
Budget 2023/2024
$ 105 $ 89
$ 59 $ 54
$ 119 $ 103
$ 95 $ 83
$ 66 $ 57
$ 93 $ 80
DWGR
Round Mix Analysis
For the Four Months Ending October 31, 2024
Dollars
2023/2024 % Variance 2024/2025 % Budget % Variance 2023/2024 % Variance
7,312 35% (2,163) $ 560,846 40% $ 513,877 39% $ 46,969 $ 652,576 38% $ (91,730)
3,243 15% (708) $ 137,695 10% 136,871 10% $ 824 $ 174,705 10% $ (37,010)
4,102 19% (838) $ 389,285 28% 336,598 25% $ 52,687 $ 423,496 25% $ (34,211)
3,123 15% (1,022) 196,417 14% $ 196,802 15% (385) 257,770 15% (61,353)
3,375 16% (2,007) $ 111,320 8% $ 143,146 11% $ (31,826) $ 192,054 11% $ (80,734)
21,155 (6,738) $ 1,395,563 $ 1,327,294 $ 68,269 $ 1,700,601 $ (305,038)
-32% 5% -18%
971 (315) $ $ $ $
22,126 (7,053) $ 1,395,563 $ 1,327,294 $ 68,269 $ 1,700,601 $ (305,038)
FINANCE COMMITTEE - OCTOBER 2024
451
Desert Willow Golf Resort
Budget and Cash Flow Analysis
2020-2021 2021-2022 2022-2023 2023-2024 2024-2025
OPERATIONAL INCOME STATEMENT Actuals Actuals Actuals Actuals Estimated
Beginning Cash Balance 2,374,599 3,817,067 4,911,680 7,074,899 7,014,127
REVENUES
Green Fees & Cart Fees 7,481,139 9,060,713 9,950,274 9,699,219 10,088,009
Merchandise 785,205 1,060,234 1,189,967 1,118,598 1,139,041
Other Pro Shop 491,579 482,003 489,034 534,480 545,534
Range 67,454 77,941 74,730 75,990 74,524
Food & Beverage 2,181,902 3,975,953 4,875,792 4,570,976 4,648,899
Academy Merchandise 77,263 64,932 90,049 96,033 98,689
Other Academy 268,967 323,023 365,365 406,040 416,806
Other G&A Income 14,504 37,621 44,230 38,288 32,788
Transfer in from GF
TOTAL REVENUE 11,368,013 15,082,421 17,079,440 16,539,624 17,044,289
EXPENDITURES
Cost of Good Sold 1,200,530 1,719,241 2,067,673 1,922,215 1,972,627
Payroll 5,410,712 6,661,711 7,736,206 7,931,357 8,642,110
Operating Expenses 2,918,415 3,624,504 4,251,906 4,286,548 4,600,819
Equipment/Leases 469,030 988,548 670,162 866,902 889,009
Other Expense 557,776 518,614 604,061 379,393 552,368
Loan Repayment from City {$0.5M still outstanding) 500,000 500,000 500,000 500,000
Capital Improvement Plan
Golf Course Renovation 9,463,734 2,092,250
Annual DWGR Capital Replacement Expenditures 459,151 414,346 687,227 317,856 78,000
Annual Perimeter & DW Drive Expenditures 187,417 190,454 195,855 192,725 1,560,000
Total CIP 646,568 604,801 883,082 9,974,315 3,730,250
TOTAL EXPENDITURES 11,203,031 14,617,418 16,713,090 25,860,730 20,887,183
Net Surplus/(Deficit) 164,982 465,003 366,3S0 (9,321,106) (3,842,894)
Transfer in from Capitol Reserve
Accrual to Cash Basis Adjustment
OPERATIONS RESERVE PLAN/ANALYSIS
Ending DW Cash Balance/Reserve
Restricted for Outstanding Operational Loan
90 Day Operations Reserve
577,065
700,421
3,817,067
2,000,000
2,639,116
464,767
164,843
4,911,680
1,500,000
3,378,154
883,082
913,787
7,074,899
1,000,000
3,832,502
9,846,390
{564,167}
7,036,016
500,000
2,797,217
3,575,000
{16,421)
6,729,812
4,164,233
Reserve Surplus/(Deficit) * (822,049) 33,525 2,242,397 3,738,799 2,565,579
* -Risk to General Fund
*CIP Reserve is currently fully funded by Amenity Fee /ram Timeshares/Capita/ Reserve Fund Balance is held by the City.
FINANCE COMMITTEE - OCTOBER 2024
452
Desert Willow/PDRFC
Statement of Cash Flows-Combined
Indirect Method Reconciliation
10/31/2024
Cash Flows from Operating Activities
Net Income (Loss)
Adjustments to reconcile net loss to
net cash provided by operating activities
Depreciation & Amortization expense
Bad Debt expense
Gain on disposal of assets
(Increase) Decrease in assets
Accounts Receivable
Due from Employees
Inventories
Prepaid expenses
Increase (Decrease) in liabilities
Accounts Payable
Accrued Liabilities
Deferred Revenue
Interest
Due to Affiliates
Net cash flows from operating activities
558,958
150,027
(144,201)
(214,366)
262,026
13,598
131,125
32,000
(1,900,301)
789,167
(1,111,134)
FINANCE COMMITTEE - OCTOBER 2024
453
Desert Willow/PDRFC
Statement of Cash Flows-Combined
Direct Method
10/31/2024
Cash Flows from Operating Activities
Cash Received From Customers
Interest Received
Other Operating Cash Receipts
Cash Paid to Suppliers and Employees
Interest Paid
Taxes Paid
Net cash flows from operating activities
Cash Flows from Investing Activities
Contributed Capital
Purchases of Property and Equipment
Proceeds from sale of Property and Equipment
Net cash flows from investing activities
Cash Flows from Financing Activities
Loan proceeds-KSM/CITY
Principal payments
Net cash flows from financing activities
Net change in cash
Cash at beginning of period
Cash at end of period
2,986,262
71,326
107,598
(4,248,664)
(27,685)
29
(1,111,134)
(176,209)
(176,209)
(293,812)
(293,812)
(1,581,155)
7,014,127
5,432,972
FINANCE COMMITTEE - OCTOBER 2024
454
Dining Covers
Dining Revenue
Dining -Ave Check
Catering Covers
Catering Revenue
Catering Ave Check
Outlet Rounds
Outlet Revenue
Outing Ave Check
Total F&B Revenue
DWGR
F&B Revenue Analysis
Year-to-Date Revenue Analysis
10/31/2024
Dining Analysis
2024.2025 2023.2024 Variance
11,311 12,422 (1,111)
$ 276,140 $ 331,996 (55,856)
$ 24.41 $ 26.73 $ (2.31)
Catering Analysis
2024.2025 2023.2024 Variance
3,139 4,077 $ (938)
$ 304,357 $ 415,167 $ (110,811)
$ 96.96 $ 101.83 $ (4.87)
Outlet Analysis
2024.2025 2023.2024 Variance
15,073 22,120 $ (7,047)
$ 117,995 $ 159,520 $ (41,524)
$ 7.83 $ 7.21 $ 0.62
%
-9%
-17%
-9%
%
-23%
-27%
-5%
%
-32%
-26%
9%
$ 698,492 $ 906,683 $ (208,191) -23%
FINANCE COMMITTEE - OCTOBER 2024
455
PDRFC COVER ANALYSIS
2024.2025 July August September October
Dining Covers 1,235 1,695 3,036 5,345
Catering Covers 347 140 577 2,075
1,582 1,835 3,613 7,420
Dining Revenue $ 28,459 $ 44,761 $ 75,298 $ 127,623
Catering Revenue $ 14,592 $ 6,290 $ 30,810 $ 252,664
$ 43,051 $ 51,051 $ 106,108 $ 380,287
Dining -Ave Check $ 23.04 $ 26.41 $ 24.80 $ 23.88
Catering -Ave Check $ 42.05 44.93 $ 53.40 $ 121.77
Outlet Revenue $ 7,308 $ 14,798 $ 29,592 $ 66,297
Rounds 1,921 2,199 4,057 6,896
$'s per Round $ 3.80 $ 6.73 $ 7.29 $ 9.61
2023.2024
Dining Covers 1,976 1,745 3,417 5,284
Catering Covers 374 545 1,221 1,937
2,350 2,290 4,638 7,221
Dining Revenue $ 53,982 $ 50,437 $ 96,162 $ 131,415
Catering Revenue $ 26,330 $ 67,215 $ 126,757 $ 194,865
$ 80,312 $ 117,652 $ 222,919 $ 326,280
Dining -Ave Check $ 27.32 $ 28.90 $ 28.14 $ 24.41
Catering -Ave Check $ 70.40 $ 123.33 $ 103.81 $ 129.87
Outlet Revenue $ 22,744 $ 22,032 $ 48,439 $ 66,304
Rounds 4,371 3,962 6,950 6,837
$'s per Round $ 5.20 $ 3.05 $ 6.31 $ 8.61
FINANCE COMMITTEE - OCTOBER 2024
456
Desert ,.,j Will� Golf Resort Total Revenue Revenue Trends Revenue Budget $1,519,217 $1,472,773 •4.77% from Previous Year
3.0M
-Actual2025 AdlJl!lj 2024 -Budget2025 Buclget2024
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Oec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25
Expenditures Actual Expenses
$1,452,831 t 4.49% from previous year
1.6M
1.2M
I.OM
SOOK
600K
400K
200K
K
-Actual 2025 -Actual 2024
Total Rounds
6,269
Revenue, Rounds, and ADR
Expenditures and Resident & Resident Platinum Round Comparison
Rounds Rounds Budget 6,485
AUK AUK t:IUOget $129.0 .... 3.33% from previous year $127.00
14K
12K
!OK
SK
6K
4K • 2K K • -Actual 2025 Act\Jal 2024 -Budget 2025 -Bud!)et2024
• AUR -Al)R�uaget • AlJK (previous AllR �uaget lo Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25
3.0K
2.5K
2.0K
1.5K
I.OK
500
0 I
Resident & Resident Platinum Round Comparison
-2025 Resident Rounds -2025 Res Platinum --2024 Resident Rounds
I I
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 2024 2024 2024 2024 2024 2024 2025 2025 2025 2025 2025 2025
FINANCE COMMITTEE - NOVEMBER 2024
457
Desert Willow Golf Resort
Standard Summary Income Statement
For the Five Months Ending November 30, 2024 MTD -November 2024
MTD MTD %of MTD %of
Actual Budget Budget Prior Year PY
REVENUES
Green Fees & Cart Fees $779,071 $812,263 96% $792,288 98%
Merchandise 92,290 93,409 99% 91,577 101%
Other Pro Shop 14,232 9,750 146% 14,139 101%
Range 11,750 10,241 115% 10,040 117%
Food & Beverage 552,797 497,423 111% 493,320 112%
Academy Merchandise 3,166 4,810 66% 4,716 67%
Other Academy 56,911 44,876 127% 43,997 129%
Other G&A Income 9,000 100% 100%
TOTAL REVENUE 1,519,217 1,472,773 103% 1,450,076 105%
--------------------------------------
COST OF SALES
Merchandise 50,078 51,360 98% 49,804 101%
Academy 2,396 3,752 64% 3,275 73%
Food & Beverage 139,617 145,421 96% 137,331 102% ------------------
TOTAL COGS 192,091 200,533 96% 190,410 101%
------------------------------------------
COGS -Merchandise % 54.3% 55.0% 98.7% 54.4% 99.8%
COGS -Academy % 75.7% 78.0% 97.0% 69.4% 109.0%
COGS-F&B % 25.3% 29.2% 86.4% 27.8% 90.7%
PAYROLL
Course and Grounds 203,486 238,771 85% 185,326 110%
Carts, Range, Starters, Etc. 55,415 50,407 110% 51,816 107%
Food and Beverage 273,560 284,989 96% 285,129 96%
Pro Shop 58,824 57,057 103% 57,546 102%
Clubhouse Services 22,043 21,774 101% 20,665 107%
Academy 46,469 36,154 129% 39,150 119%
General and Administrative 49,269 47,152 104% 46,542 106%
Marketing 24,099 20,355 118% 25,131 96%
TOTAL PAYROLL 733,165 756,659 97% 711,305 103%
OPERATING EXPENSES
Course and Grounds 227,370 252,342 90% 234,170 97%
Carts, Range, Starters, Etc. 13,852 6,404 216% 6,279 221%
Food and Beverage 87,788 61,248 143% 62,541 140%
Pro Shop 4,353 3,784 115% 4,615 94%
Clubhouse Services 49,161 37,239 132% 37,739 130%
Academy 1,537 509 302% 497 309%
General and Administrative 85,809 61,844 139% 76,314 112%
Marketing 10,078 18,187 55% 16,846 60%
TOTAL OPERATING EXPENSES 479,949 441,557 109% 439,001 109%
TOTAL EXPENSES 1,405,205 1,398,748 100% 1,340,716 105%
EBITDA 114,012 74,025 154% 109,360 104% ----------------------------------------------------------
FINANCE COMMITTEE - NOVEMBER 2024
458
Desert Willow Golf Resort
Standard Summary Income Statement
For the Five Months Ending November 30, 2024 MTD -November 2024
MTD MTD %of MTD %of
Actual Budget Budget Prior Year PY
EBITDA 114,012 74,025 154% 109,360 104%
------------------
MANAGEMENT FEES (23,333) (22,100) 106% (22,500) 104%
FINANCING ACITIVITY
Interest Expense -Debt (1,667) (1,667) 100% (3,333) 50%
Interest Expense -Leases (4,872) (4,872) 100% (6,693) 73%
Interest Income 12,509 9,640 130% 14,560 86%
TOTAL FINANCING ACTIVITY 5,971 3,101 193% 4,534 132%
OTHER INCOME (EXPENSE)
Non-Operating Revenue 0% 0 0%
Facility Rent (8,000) (8,000) 100% (8,000) 100%
Depreciation & Amortization (139,739) (156,193) 89% (121,023) 115%
Taxes (9,754) (8,853) 110% (9,201) 106%
TOTAL OTHER INCOME (EXPENSE) (157,494) (173,046) 91% (138,225) 114%
NET INCOME (60,844) (118,020) 52% (46,830) 130% --------------------------------------------------------
Paid Rounds 6,164 6,320 98% 6,368 97%
Other Rounds 105 116 91% 117 90%
Total Rounds 6,269 6,437 97% 6,485 97%
Revenue/Paid Rounds 246 233 106% 228 108%
Revenue/Total Rounds 242 229 106% 224 108%
Green Fees / Cart Fees per Paid Rounds 126 129 98% 124 102%
Green Fees / Cart Fees per Total Rounds 124 126 98% 122 102%
F&B Revenue/Total Rounds 88 77 114% 76 116%
Merchandise Revenue/Total Rounds 24 21 111% 21 114%
FINANCE COMMITTEE - NOVEMBER 2024
459
Desert Willow Golf Resort
Standard Summary Income Statement
For the Five Months Ending November 30, 2024 YTD -November 2024
YTD YTD %of YTD %of Annual Rolling
Actual Budget Budget Prior Year PY Budget 12 Months
REVENUES
Green Fees & Cart Fees $2,184,703 $2,142,507 102% $2,501,541 87% $10,117,994 $9,382,381
Merchandise 298,522 265,681 112% 338,613 88% 1,090,937 1,078,507
Other Pro Shop 462,789 466,121 99% 436,348 106% 575,126 560,921
Range 18,215 15,188 120% 18,250 100% 76,480 75,955
Food & Beverage 1,274,826 1,188,628 107% 1,427,625 89% 4,780,039 4,418,177
Academy Merchandise 10,011 8,900 112% 8,725 115% 99,109 97,319
Other Academy 113,812 92,057 124% 90,252 126% 380,853 429,600
Other G&A Income 14,233 11,911 119% 11,911 0% 23,911 40,610
TOTAL REVENUE 4,377,112 4,190,993 104% 4,833,264 91% 17,144,449 16,083,471
COST OF SALES
Merchandise 158,092 146,015 108% 187,558 84% 596,335 591,193
Academy 5,016 6,942 72% 5,963 84% 77,305 66,766
Food & Beverage 354,516 342,062 104% 396,796 89% 1,373,594 1,191,564
TOTAL COGS 517,624 495,019 105% 590,316 88% 2,047,235 1,849,523
COGS -Merchandise % 53.0% 55.0% 96.4% 55.4% 95.6% 54.7% 54.8%
COGS -Academy % 50.1% 78.0% 64.2% 68.3% 73.3% 78.0% 68.6%
COGS-F&B % 27.8% 28.8% 96.6% 27.8% 100.1% 28.7% 27.0%
PAYROLL
Course and Grounds 998,292 1,196,055 83% 886,563 113% 2,942,019 2,342,156
Carts, Range, Starters, Etc. 232,371 206,382 113% 237,413 98% 634,959 668,160
Food and Beverage 955,123 1,011,071 94% 1,033,899 92% 2,982,678 2,728,949
Pro Shop 281,379 287,750 98% 287,768 98% 722,226 720,118
Clubhouse Services 109,520 109,313 100% 100,210 109o/o 263,900 256,380
Academy 95,678 77,820 123% 74,317 129% 353,361 408,965
General and Administrative 236,497 233,572 101% 223,221 106% 589,780 576,023
Marketing 99,387 94,334 105% 99,789 100% 283,552 295,674
TOTAL PAYROLL 3,008,247 3,216,297 94% 2,943,179 102% 8,772,475 7,996,425
OPERATING EXPENSES
Course and Grounds 1,121,256 1,087,463 103% 951,104 118% 2,160,018 1,995,285
Carts, Range, Starters, Etc. 56,132 53,313 105% 52,268 107% 121,372 102,232
Food and Beverage 229,875 191,571 120% 213,775 108% 564,360 654,386
Pro Shop 36,317 50,670 72% 38,259 95% 108,887 78,581
Clubhouse Services 312,636 317,149 99% 330,407 95% 663,048 700,342
Academy 22,260 23,428 95% 22,956 97% 41,864 33,616
General and Administrative 285,880 257,404 111% 272,926 105% 761,438 786,263
Marketing 40,152 50,240 80% 44,751 90% 179,519 113,905
TOTAL OPERATING EXPENSES 2,104,507 2,031,239 104% 1,926,446 109% 4,600,506 4,464,610
TOT AL EXPENSES 5,630,378 5,742,554 98% 5,459,941 103% 15,420,216 14,310,558
EBITDA (1,253,266) (1,551,561) 81% (626,676) 200°/o 1,724,233 1,772,913
FINANCE COMMITTEE - NOVEMBER 2024
460
Desert Willow Golf Resort
Standard Summary Income Statement
For the Five Months Ending November 30, 2024 YTD -November 2024
YTD YTD ¾of YTD ¾of Annual Rolling
Actual Budget Budget Prior Year PY Budget 12 Months
EBITDA (1,253,266) (1,551,561) 81% (626,676) 200% 1,724,233 1,772,913
MANAGEMENT FEES !116,667) (110,500) 106% (112,500) 104% (478,200) (474,167) ------------------
FINANCING ACITIVITY
Interest Expense -Debt (8,333) (8,335) 100% (16,667) 50% (20,000) (70,627)
Interest Expense -Leases (25,890) (25,890) 100% (34,958) 74% (55,665) (68,520)
Interest Income 83,835 55,424 151% 85,172 98% 123,820 206,857
TOTAL FINANCING ACTIVITY 49,612 21,200 234% 33,548 148% 48,155 67,710
OTHER INCOME (EXPENSE)
Non-Operating Revenue 107,598 26,735 402% 25,956 415% 107,240 313,230
Facility Rent (40,000) (40,000) 100% (40,000) 100% (96,000) (96,000)
Depreciation & Amortization (698,697) (780,965) 89% (604,843) 116% (1,874,316) (1,785,566)
Taxes (9,725) (14,481) 67% (9,277) 105% (22,856) (15,736)
TOTAL OTHER INCOME (EXPENSE) (640,824) (808,711) 79% (628,163) 102% (1,885,932) (1,584,072)
NET INCOME (1,961,145) (2,449,573) 80% (1,333,792) 147% (591,744) (217,615)
----------------------------================== -------------- ================== ---------------------------------
Paid Rounds 20,581 20,570 100% 27,771 74% 86,236 79,668
Other Rounds 761 713 107% 834 91% 2,308 1,703
Total Rounds 21,342 21,283 100% 28,605 75% 88,544 81,371
Revenue/Paid Rounds 213 204 104% 174 122% 199 202
Revenue/Total Rounds 205 197 104% 169 121% 194 198
Green Fees / Cart Fees per Paid Rounds 106 104 102% 90 118% 117 118
Green Fees / Cart Fees per Total Rounds 102 101 102% 87 117% 114 115
F&B Revenue/Total Rounds 60 56 107% 50 120% 54 54
Merchandise Revenue/Total Rounds 19 17 115% 15 129% 17 19
FINANCE COMMITTEE - NOVEMBER 2024
461
Category
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
Comp/Employee
Total
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
2024/2025
1,762
1,529
999
682
1,192
6,164
105
6,269
2024/2025
$ 158
$ 70
$ 163
$ 136
$ 117
$ 127
Rounds
% Budget % Variance
29% 1,735 27% 27
25% 1,688 27% (159)
16% 918 15% 81
11% 728 12% (46)
19% 1,252 20% (60)
6,320 (156)
-2%
116 (11)
6,436 (167)
Average Dollars per Round
Budget 2023/2024
$ 161 $ 156
$ 76 $ 74
$ 167 $ 162
$ 138 $ 133
$ 120 $ 116
$ 129 $ 124
DWGR
Round Mix Analysis
For the Month Ended November 30, 2024
Dollars
2023/2024 % Variance 2024/2025 % Budget % Variance 2023/2024 % Variance
1,748 27% 14 $ 278,199 36% 279,014 34% $ (815) $ 272,209 34% $ 5,990
1,701 27% (172) $ 106,706 14% 129,090 16% $ (22,384) $ 125,941 16% $ (19,235)
925 15% 74 $ 162,825 21% 153,361 19% $ 9,465 $ 149,620 19% $ 13,205
733 12% (51) $ 92,701 12% $ 100,255 12% $ (7,554) $ 97,810 12% $ (5,109}
1,261 20% (69) $ 139,350 18% $ 150,469 19% $ (11,119) $ 146,799 19% $ (7,449)
6,368 (204) $ 779,781 $ 812,188 $ (32,407) $ 792,379 $ (12,S98)
-3% -4% -2%
117 (12) $ -$ $ $
6,485 (216) $ 779,781 $ 812,188 $ (32,407) $ 792,379 $ (12,598)
FINANCE COMMITTEE - NOVEMBER 2024
462
Category
Public Rack
Residents
Outings
Wholesale
loyalty/Special
Total
Comp/Employee
Total
Public Rack
Residents
Outings
Wholesale
loyalty/Special
Total
2024/2025
6,911
4,064
4,263
2,783
2,560
20,581
761
21,342
2024/2025
$ 121
$ 60
$ 130
$ 104
$ 98
$ 106
Rounds
% Budget % Variance
34% 6,612 32% 299
20% 3,990 19% 74
21% 3,745 18% 518
14% 2,803 14% (20)
12% 3,420 17% (860)
20,570 11
0%
713 48
21,283 59
Average Dollars per Round
Budget 2023/2024
$ 120 $ 102
$ 67 $ 61
$ 131 $ 114
$ 106 $ 92
$ 86 $ 73
$ 104 $ 91
DWGR
Round Mix Analysis
For the Five Months Ending November 30, 2024
Dollars
2023/2024 % Variance 2024/2025 % Budget % Variance 2023/2024 % Variance
9,060 33% (2,149) $ 839,045 39% $ 792,891 37% $ 46,154 $ 924,785 37% $ (85,740)
4,944 18% (880) $ 244,401 11% 265,960 12% $ (21,559) $ 300,646 12% $ (56,245)
5,027 18% (764) $ 552,110 25% 489,958 23% $ 62,152 $ 573,116 23% $ (21,006)
3,856 14% (1,073) 289,118 13% $ 297,057 14% (7,939) 355,580 14% (66,462)
4,636 17% (2,076) $ 250,670 12% $ 293,615 14% $ (42,945) $ 338,853 14% $ (88,183)
27,523 (6,942) $ 2,175,344 $ 2,139,482 $ 35,862 $ 2,492,980 $ (317,636)
-25% 2% -13%
1,088 (327) $ $ $ $
28,611 (7,269) $ 2,175,344 $ 2,139,482 $ 35,862 $ 2,492,980 $ (317,636)
FINANCE COMMITTEE - NOVEMBER 2024
463
Desert Willow Golf Resort
Budget and Cash Flow Analysis
2020-2021 2021-2022 2022-2023 2023-2024 2024-2025
OPERATIONAL INCOME STATEMENT Actuals Actuals Actuals Actuals Estimated
Beginning Cash Balance 2,374,599 3,817,067 4,911,680 7,074,899 7,014,127
REVENUES
Green Fees & Cart Fees 7,481,139 9,060,713 9,950,274 9,699,219 10,088,009
Merchandise 785,205 1,060,234 1,189,967 1,118,598 1,139,041
Other Pro Shop 491,579 482,003 489,034 534,480 545,534
Range 67,454 77,941 74,730 75,990 74,524
Food & Beverage 2,181,902 3,975,953 4,875,792 4,570,976 4,648,899
Academy Merchandise 77,263 64,932 90,049 96,033 98,689
Other Academy 268,967 323,023 365,365 406,040 416,806
Other G&A Income 14,504 37,621 44,230 38,288 32,788
Transfer in from GF
TOTAL REVENUE 11,368,013 15,082,421 17,079,440 16,539,624 17,044,289
EXPENDITURES
Cost of Good Sold 1,200,530 1,719,241 2,067,673 1,922,215 1,972,627
Payroll 5,410,712 6,661,711 7,736,206 7,931,357 8,642,110
Operating Expenses 2,918,415 3,624,504 4,251,906 4,286,548 4,600,819
Equipment/Leases 469,030 988,548 670,162 866,902 889,009
Other Expense 557,776 518,614 604,061 379,393 552,368
Loan Repayment from City {$0.5M still outstanding) 500,000 500,000 500,000 500,000
Capital Improvement Plan
Golf Course Renovation 9,463,734 2,092,250
Annual DWGR Capital Replacement Expenditures 459,151 414,346 687,227 317,856 78,000
Annual Perimeter & DW Drive Expenditures 187,417 190,454 195,855 192,725 1,560,000
Total CIP 646,568 604,801 883,082 9,974,315 3,730,250
TOTAL EXPENDITURES 11,203,031 14,617,418 16,713,090 25,860,730 20,887,183
Net Surplus/(Deficit) 164,982 465,003 366,350 (9,321,106) (3,842,894)
Transfer in from Capital Reserve
Accrual ta Cash Basis Adjustment
OPERATIONS RESERVE PLAN/ANALYSIS
Ending DW Cash Balance/Reserve
Restricted for Outstanding Operational Loan
90 Day Operations Reserve
577,065
700,421
3,817,067
2,000,000
2,639,116
464,767
164,843
4,911,680
1,500,000
3,378,154
883,082
913,787
7,074,899
1,000,000
3,832,502
9,846,390
{564,167}
7,036,016
500,000
2,797,217
3,575,000
{16,421)
6,729,812
4,164,233
Reserve Surplus/(Deficit) * (822,049) 33,525 2,242,397 3,738,799 2,565,579
* -Risk to General Fund
*CIP Reserve is currently fully funded by Amenity Fee from Timeshares/Capita/ Reserve Fund Balance is held by the City.
FINANCE COMMITTEE - NOVEMBER 2024
464
Desert Willow/PDRFC
Statement of Cash Flows-Combined
Indirect Method Reconciliation
11/30/2024
Cash Flows from Operating Activities
Net Income (Loss)
Adjustments to reconcile net loss to
net cash provided by operating activities
Depreciation & Amortization expense
Bad Debt expense
Gain on disposal of assets
(Increase) Decrease in assets
Accounts Receivable
Due from Employees
Inventories
Prepaid expenses
Increase (Decrease) in liabilities
Accounts Payable
Accrued Liabilities
Deferred Revenue
Interest
Due to Affiliates
Net cash flows from operating activities
698,697
174,946
(161,691)
(122,250)
201,456
(170,228)
35,999
40,000
(1,961,146)
696,929
(1,264,217)
FINANCE COMMITTEE - NOVEMBER 2024
465
Desert Willow/PDRFC
Statement of Cash Flows-Combined
Direct Method
11/30/2024
Cash Flows from Operating Activities
Cash Received From Customers
Interest Received
Other Operating Cash Receipts
Cash Paid to Suppliers and Employees
Interest Paid
Taxes Paid
Net cash flows from operating activities
Cash Flows from Investing Activities
Contributed Capital
Purchases of Property and Equipment
Proceeds from sale of Property and Equipment
Net cash flows from investing activities
Cash Flows from Financing Activities
Loan proceeds-KSM/CITY
Principal payments
Net cash flows from financing activities
Net change in cash
Cash at beginning of period
Cash at end of period
4,171,344
83,835
107,598
(5,583,046)
(34,223)
(9,725)
(1,264,217)
(197,917)
(197,917)
(367,648)
(367,648)
(1,829,782)
7,014,127
5,184,345
FINANCE COMMITTEE - NOVEMBER 2024
466
Dining Covers
Dining Revenue
Dining -Ave Check
Catering Covers
Catering Revenue
Catering Ave Check
Outlet Rounds
Outlet Revenue
Outing Ave Check
Total F&B Revenue
DWGR
F&B Revenue Analysis
Year-to-Date Revenue Analysis
11/30/2024
Dining Analysis
2024.2025 2023.2024
18,789 20,239
$ 501,777 $ 566,696
$ 26.71 $ 28.00 $
Catering Analysis
2024.2025 2023.2024
5,222 5,638 $
$ 573,764 $ 597,607 $
$ 109.87 $ 106.00 $
Outlet Analysis
2024.2025 2023.2024
21,342 28,605 $
$ 163,171 $ 211,027 $
$ 7.65 $ 7.38 $
Variance %
(1,450) -7%
(64,918) -11 %
(1.29) -5%
Variance
(416)-7%
(23,843) -4%
3.88 4%
Variance %
(7,263) -25%
(47,856) -23%
0.27 4%
$ 1,238,712 $ 1,375,329 $ (136,617) -10%
FINANCE COMMITTEE - NOVEMBER 2024
467
PDRFC COVER ANALYSIS
2024.2025 July August September October November
Dining Covers 1,235 1,695 3,036 5,345 7,478
Catering Covers 347 140 577 2,075 2,083
1,582 1,835 3,613 7,420 9,561
Dining Revenue $ 28,459 $ 44,761 $ 75,298 $ 127,623 $ 225,637
Catering Revenue $ 14,592 $ 6,290 $ 30,810 $ 252,664 $ 269,407
$ 43,051 $ 51,051 $ 106,108 $ 380,287 $ 495,044
Dining -Ave Check $ 23.04 $ 26.41 $ 24.80 $ 23.88 $ 30.17
Catering -Ave Check $ 42.05 44.93 $ 53.40 $ 121.77 $ 129.34
Outlet Revenue $ 7,308 $ 14,798 $ 29,592 $ 66,297 $ 45,176
Rounds 1,921 2,199 4,057 6,896 6,269
$'s per Round $ 3.80 $ 6.73 $ 7.29 $ 9.61 $ 7.21
2023.2024
Dining Covers 1,976 1,745 3,417 5,284 7,817
Catering Covers 374 545 1,221 1,937 1,561
2,350 2,290 4,638 7,221 9,378
Dining Revenue $ 53,982 $ 50,437 $ 96,162 $ 131,415 $ 234,699
Catering Revenue $ 26,330 $ 67,215 $ 126,757 $ 194,865 $ 182,439
$ 80,312 $ 117,652 $ 222,919 $ 326,280 $ 417,139
Dining -Ave Check $ 27.32 $ 28.90 $ 28.14 $ 24.41 $ 27.57
Catering -Ave Check $ 70.40 $ 123.33 $ 103.81 $ 129.87 $ 106.61
Outlet Revenue $ 22,744 $ 22,032 $ 48,439 $ 66,304 $ 51,507
Rounds 4,371 3,962 6,950 6,837 6,485
$'s per Round $ 5.20 $ 3.05 $ 6.31 $ 8.61 $ 6.75
FINANCE COMMITTEE - NOVEMBER 2024
468
Desert j Will� Golf Resort
Total Revenue Revenue Trends $1,321,709 • 8.3% from Previous Year
3.0M
2.5M
2.0M
1.5M
I.OM
SOOK K Revenue Budget $1,242,773
Ju1·24 Aug-24 Sep-24 Oct-24 Nov-24 Oec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25
Actual Expenses $1,230,765 Expenditures
t?.23% from previous year
1.6M
1.4M
1.2M
I.OM
SOOK
600K
400K
200K
-Actual 2025 -Actual 2024
14K
12K
IOK
8K
6K
4K
lK
K
Revenue, Rounds, and ADR
Expenditures and Resident & Resident Platinum Round Comparison
Total Rounds
6,714 t-13.0% from previous year
-�12025
Rounds
117
Rounds Budget
5,943
&ld9M202.4
$160
!140
Sl10
SIOO
$80
S60
$40
$10
$-
Average Daily Rate
-A�201$ -Actui202�
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25 Jul·24 Aug-24 Sep-24 Oct·24 Nov-24 Oec-24 Jan-25 Feb-25 Mar-25 Apr·25 May-25 Jun-25
3.0K
2.5K
2.0K
I.SK
I.OK
500
0 I
Resident & Resident Platinum Round Comparison
-2025 Resident Rounds -2025 Res Platinum --2024 Resident Rounds
I I
Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
2024 2024 2024 2024 2024 2024 2025 2025 2025 2025 2025 2025
FINANCE COMMITTEE - DECEMBER 2024
469
Desert Willow Golf Resort
Standard Summary Income Statement
For the Six Months Ending December 31, 2024 MTD -December 2024
MTD MTD % of MTD %of
Actual Budget Budget Prior Year PY
REVENUES
Green Fees & Cart Fees $780,476 $721,811 108% $703,650 111%
Merchandise 89,499 86,857 103% 85,154 105%
Other Pro Shop 15,932 10,778 148% 8,561 186%
Range 7,650 8,175 94% 8,015 95%
Food & Beverage 368,916 364,634 101% 365,674 101%
Academy Merchandise 4,598 4,578 100% 4,488 102%
Other Academy 33,236 45,940 72% 45,039 74%
Other G&A Income 21,400 100% 100%
TOTAL REVENUE 1,321,709 1,242,773 106% 1,220,580 108%
COST OF SALES
Merchandise 49,415 47,863 103% 45,842 108%
Academy 4,782 3,571 134% 3,187 150%
Food & Beverage 102,392 110,543 93% 93,711 109%
TOTAL COGS 156,589 161,977 97% 142,739 110%
COGS -Merchandise % 55.2% 55.1% 100.2% 53.8% 102.6%
COGS -Academy % 104.0% 78.0% 133.3% 71.0% 146.5%
COGS-F&B % 27.8% 30.3% 91.6% 25.6% 108.3%
PAYROLL
Course and Grounds 210,258 248,549 85% 174,649 120%
Carts, Range, Starters, Etc. 60,880 55,400 110% 49,325 123%
Food and Beverage 268,178 271,208 99% 265,182 101%
Pro Shop 58,022 60,456 96% 67,781 86%
Clubhouse Services 21,375 22,457 95% 15,633 137%
Academy 35,307 42,600 83% 48,681 73%
General and Administrative 47,699 47,473 100% 41,304 115%
Marketing 23,152 18,507 125% 19,434 119%
TOTAL PAYROLL 724,871 766,651 95% 681,989 106%
OPERATING EXPENSES
Course and Grounds 125,765 98,076 128% 88,081 143%
Carts, Range, Starters, Etc. 11,284 5,289 213% 4,906 230%
Food and Beverage 47,282 48,603 97% 41,315 114%
Pro Shop 6,796 7,580 90% 6,323 107%
Clubhouse Services 36,618 45,750 80% 41,249 89%
Academy 678 1,478 46% 1,447 47%
General and Administrative 71,138 75,285 94% 84,851 84%
Marketing 10,974 15,323 72% 14,573 75%
TOTAL OPERATING EXPENSES 310,536 297,384 104% 282,744 110%
TOTAL EXPENSES 1,191,997 1,226,011 97% 1,107,472 108% --------------------
EBITDA 129,712 16,762 774% 113,108 115% -------·-------------·---------------------"·---------·------
FINANCE COMMITTEE - DECEMBER 2024
470
Desert Willow Golf Resort
Standard Summary Income Statement
For the Six Months Ending December 31, 2024
EBITDA
MANAGEMENT FEES
FINANCING ACITIVITY
Interest Expense -Debt
Interest Expense -Leases
Interest Income
TOTAL FINANCING ACTIVITY
OTHER INCOME (EXPENSE)
Non-Operating Revenue
Facility Rent
Depreciation & Amortization
Taxes
TOTAL OTHER INCOME (EXPENSE)
NET INCOME
Paid Rounds
Other Rounds
Total Rounds
Revenue/Paid Rounds
Revenue/Total Rounds
Green Fees I Cart Fees per Paid Rounds
Green Fees / Cart Fees per Total Rounds
F&B Revenue/Total Rounds
Merchandise Revenue/Total Rounds
MTD
Actual
129,712
MTD
Budget
16,762
¾of
Budget
774%
MTD -December 2024
MTD
Prior Year
113,108
%of
PY
115% ------------------------- -----------------------------------------------------------
(23,333) (22,100) 106% (22,500) 104% -------·---------------------------------·----------------------------------------------
(1,667)
(4,718)
12,595
(1,667)
(4,718)
9,672
100%
100%
130%
(3,333)
(6,543)
15,038
50%
72%
84% ------------------------------------------------------------------------------------
6,211 3,287 189% -------------------------------------------------------
26,675 26,735 100%
(8,000) (8,000) 100%
(139,739) (156,193) 89%
(1,050) 371 -283%
(122,115) (137,087) 89%
--------------
(9,524) (139,138) 7%
5,162 120%
153,720 17%
(8,000) 100%
(121,023) 115%
72 -1458%
24,768 -493%
120,538 -8% -----------------------------------------------------------==·==========
6,596 5,790 114% 5,834 113%
118 152 78% 116 102%
6,714 5,943 113% 5,950 113%
200 215 93% 209 96%
197 209 94% 205 96%
118 125 95% 121 98%
116 121 96% 118 98%
55 61 90% 61 89%
18 22 82% 22 84%
FINANCE COMMITTEE - DECEMBER 2024
471
Desert Willow Golf Resort
Standard Summary Income Statement
For the Six Months Ending December 31, 2024 YTD -December 2024
YTD YTD ¾of YTD ¾of Annual Rolling
Actual Budget Budget Prior Year PY Budget 12 Months
REVENUES
Green Fees & Cart Fees $2,965,180 $2,864,318 104% $3,205,190 93% $10,117,994 $9,459,208
Merchandise 388,021 352,538 110% 423,767 92% 1,090,937 1,082,853
Other Pro Shop 478,722 476,899 100% 444,909 108% 575,126 568,293
Range 25,865 23,364 111% 26,265 98% 76,480 75,590
Food & Beverage 1,643,742 1,553,262 106% 1,793,299 92•;, 4,780,039 4,421,419
Academy Merchandise 14,610 13,478 108% 13,213 111% 99,109 97,429
Other Academy 147,048 137,997 107% 135,291 109% 380,853 417,797
Other G&A Income 35,633 11,911 299% 11,911 0% 23,911 62,010
TOTAL REVENUE 5,698,821 5,433,766 105% 6,053,844 94% 17,144,449 16,184,600
COST OF SALES
Merchandise 207,507 193,878 107°/o 233,400 89% 596,335 594,766
Academy 9,798 10,512 93% 9,149 107% 77,305 68,361
Food & Beverage 456,909 452,605 101% 490,506 93% 1,373,594 1,200,246
TOTAL COGS 674,214 656,995 103% 733,054 92% 2,047,235 1,863,373
COGS -Merchandise % 53.5% 55.0% 97.2% 55.1% 97.1% 54.7% 54.9%
COGS -Academy % 67.1% 78.0% 86.0% 69.2% 96.9% 78.0% 70.2%
COGS-F&B % 27.8% 29.1% 95.4% 27.4% 101.6% 28.7% 27.1%
PAYROLL
Course and Grounds 1,208,550 1,444,605 84% 1,061,212 114% 2,942,019 2,377,765
Carts, Range, Starters, Etc. 293,251 261,782 112% 286,738 102% 634,959 679,715
Food and Beverage 1,223,302 1,282,279 95% 1,299,081 94% 2,982,678 2,731,945
Pro Shop 339,401 348,206 97% 355,549 95% 722,226 710,359
Clubhouse Services 130,895 131,770 99% 115,842 113% 263,900 262,122
Academy 130,984 120,420 109% 122,998 106% 353,361 395,590
General and Administrative 284,197 281,045 101% 264,525 107% 589,780 582,419
Marketing 122,539 112,840 109% 119,223 103% 283,552 299,393
TOTAL PAYROLL 3,733,119 3,982,947 94% 3,625,168 103% 8,772,475 8,039,308
OPERATING EXPENSES
Course and Grounds 1,247,021 1,185,539 105% 1,039,184 120% 2,160,018 2,032,969
Carts, Range, Starters, Etc. 67,416 58,602 115% 57,174 118% 121,372 108,610
Food and Beverage 277,157 240,175 115% 255,090 109% 564,360 660,354
Pro Shop 43,113 58,250 74% 44,583 97% 108,887 79,053
Clubhouse Services 349,254 362,899 96% 371,655 94% 663,048 695,712
Academy 22,937 24,906 92% 24,403 94% 41,864 32,847
General and Administrative 357,019 332,689 107% 357,776 100% 761,438 772,551
Marketing 51,126 65,563 78% 59,324 86% 179,519 110,305
TOTAL OPERATING EXPENSES 2,415,043 2,328,623 104% 2,209,190 109% 4,600,506 4,492,401
TOT AL EXPENSES 6,822,375 6,968,565 98% 6,567,413 104% 15,420,216 14,395,082
EBITDA (1,123,554) (1,534,799) 73% (513,569) 219% 1,724,233 1,789,518
FINANCE COMMITTEE - DECEMBER 2024
472
Desert Willow Golf Resort
Standard Summary Income Statement
For the Six Months Ending December 31, 2024 YTD -December 2024
YTD YTD %of YTD %of Annual Rolling
Actual Budget Budget Prior Year PY Budget 12 Months
EBITDA (1,123,554) (1,534,799) 73% (513,569) 219% 1,724,233 1,789,518
MANAGEMENT FEES (140,000) (132,600) 106% (135,000) 104% (478,200) (475,000) -------------------------------------
FINANCING ACITIVITY
Interest Expense -Debt (10,000) (10,002) 100% (20,000) 50% (20,000) (68,961)
Interest Expense -Leases (30,607) (30,607) 100% (41,500) 74% (55,665) (66,695)
Interest Income 96,430 65,097 148% 100,210 96% 123,820 204,415
-------------------------------------
TOTAL FINANCING ACTIVITY 55,823 24,487 228% 38,710 144% 48,155 68,759
OTHER INCOME (EXPENSE)
Non-Operating Revenue 134,273 53,470 251% 179,676 75% 107,240 186,185
Facility Rent (48,000) (48,000) 100% (48,000) 100% (96,000) (96,000)
Depreciation & Amortization (838,436) (937,158) 89% (725,866) 116% (1,874,316) (1,804,282)
Taxes (10,775) (14,110) 76% (9,205) 117% (22,856) (16,857)
TOTAL OTHER INCOME (EXPENSE) (762,938) (945,798) 81% (603,395) 126% (1,885,932) (1,730,954)
NET INCOME (1,970,670) (2,588,710) 76% (1,213,254) 162% (591,744) (347,677)
----------------------------================== --------------================== ---------------------------------
Paid Rounds 27,177 26,360 103% 33,357 81% 86,236 80,430
Other Rounds 879 865 102% 1,204 73% 2,308 1,705
Total Rounds 28,056 27,225 103% 34,561 81% 88,544 82,135
Revenue/Paid Rounds 210 206 102% 181 116% 199 201
Revenue/Total Rounds 203 200 102% 175 116% 194 197
Green Fees / Cart Fees per Paid Rounds 109 109 100% 96 114% 117 118
Green Fees / Cart Fees per Total Rounds 106 105 100% 93 114% 114 115
F&B Revenue/Total Rounds 59 57 103% 52 113% 54 54
Merchandise Revenue/Total Rounds 19 18 106% 16 118% 17 18
FINANCE COMMITTEE - DECEMBER 2024
473
Category
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
Comp/Employee
Total
Public Rack
Residents
Outings
Wholesale
Loyalty/Special
Total
2024/2025
2,204
1,976
448
790
1,178
6,596
118
6,714
2024/2025
$ 156
$ 65
$ 150
$ 137
$ 112
$ 118
Rounds
% Budget % Variance
33% 1,878 32% 326
30% 1,840 32% 136
7% 377 7% 71
12% 748 13% 42
18% 947 16% 231
5,790 806
14%
152 (34)
5,943 771
Average Dollars per Round
Budget 2023/2024
$ 169 $ 163
$ 69 $ 67
$ 152 $ 147
$ 144 $ 140
$ 119 $ 115
$ 125 $ 121
DWGR
Round Mix Analysis
For the Month Ended December 31, 2024
Dollars
2023/2024 % Variance 2024/2025 % Budget % Variance 2023/2024 % Variance
1,892 32% 312 $ 344,406 44% 316,673 44% $ 27,733 $ 308,949 44% $ 35,457
1,854 32% 122 $ 127,945 16% 127,334 18% $ 611 $ 124,228 18% $ 3,717
380 7% 68 $ 67,090 9% 57,190 8% $ 9,900 $ 55,795 8% $ 11,295
754 13% 36 $ 108,111 14% $ 108,124 15% $ (13) $ 105,487 15% $ 2,624
954 16% 224 $ 132,153 17% $ 112,315 16% $ 19,838 $ 109,576 16% $ 22,577
5,834 762 $ 779,705 $ 721,636 $ 58,069 $ 704,035 $ 75,670
13% 8% 11%
116 2 $ $ $ $
5,950 764 $ 779,705 $ 721,636 $ 58,069 $ 704,035 $ 75,670
FINANCE COMMITTEE - DECEMBER 2024
474
Category
Public Rack
Residents
Outings
Wholesale
loyalty/Special
Total
Comp/Employee
Total
Public Rack
Residents
Outings
Wholesale
loyalty/Special
Total
2024/2025
9,115
6,040
4,711
3,573
3,738
27,177
879
28,056
2024/2025
$ 130
$ 62
$ 131
$ 111
$ 102
$ 109
Rounds
% Budget % Variance
34% 8,490 32% 625
22% 5,830 22% 210
17% 4,122 16% 589
13% 3,552 13% 21
14% 4,367 17% (629)
26,360 817
3%
865 14
27,225 831
Average Dollars per Round
Budget 2023/2024
$ 131 $ 113
$ 67 $ 62
$ 133 $ 116
$ 114 $ 100
$ 93 $ 80
$ 109 $ 96
DWGR
Round Mix Analysis
For the Six Months Ending December 31, 2024
Dollars
2023/2024 % Variance 2024/2025 % Budget % Variance 2023/2024 % Variance
10,952 33% (1,837) $ 1,183,451 40% $ 1,109,564 39% $ 73,887 $ 1,233,734 39% $ (50,283)
6,798 20% (758) $ 372,346 13% 393,294 14% $ (20,948) $ 424,874 13% $ (52,528)
5,407 16% (696) $ 619,200 21% 547,148 19% $ 72,052 $ 628,911 20% $ (9,711)
4,610 14% (1,037) 397,229 13% $ 405,181 14% (7,952) 461,067 14% (63,838)
5,590 17% (1,852) $ 382,823 13% $ 405,930 14% $ (23,107) $ 448,429 14% $ (65,606)
33,357 (6,180) $ 2,955,049 $ 2,861,118 $ 93,931 $ 3,197,015 $ (241,966)
-19% 3% -8%
1,204 (325) $ $ $ $
34,561 (6,505) $ 2,955,049 $ 2,861,118 $ 93,931 $ 3,197,015 $ (241,966)
FINANCE COMMITTEE - DECEMBER 2024
475
Desert Willow Golf Resort
Budget and Cash Flow Analysis
2020-2021 2021-2022 2022-2023 2023-2024 2024-2025
OPERATIONAL INCOME STATEMENT Actuals Actuals Actuals Actuals Estimated
Beginning Cash Balance 2,374,599 3,817,067 4,911,680 7,074,899 7,014,127
REVENUES
Green Fees & Cart Fees 7,481,139 9,060,713 9,950,274 9,699,219 10,088,009
Merchandise 785,205 1,060,234 1,189,967 1,118,598 1,139,041
Other Pro Shop 491,579 482,003 489,034 534,480 545,534
Range 67,454 77,941 74,730 75,990 74,524
Food & Beverage 2,181,902 3,975,953 4,875,792 4,570,976 4,648,899
Academy Merchandise 77,263 64,932 90,049 96,033 98,689
Other Academy 268,967 323,023 365,365 406,040 416,806
Other G&A Income 14,504 37,621 44,230 38,288 32,788
Transfer in from GF
TOTAL REVENUE 11,368,013 15,082,421 17,079,440 16,539,624 17,044,289
EXPENDITURES
Cost of Good Sold 1,200,530 1,719,241 2,067,673 1,922,215 1,972,627
Payroll 5,410,712 6,661,711 7,736,206 7,931,357 8,642,110
Operating Expenses 2,918,415 3,624,504 4,251,906 4,286,548 4,600,819
Equipment/Leases 469,030 988,548 670,162 866,902 889,009
Other Expense 557,776 518,614 604,061 379,393 552,368
Loan Repayment from City {$0.5M still outstanding) 500,000 500,000 500,000 500,000
Capital Improvement Plan
Golf Course Renovation 9,463,734 2,092,250
Annual DWGR Capital Replacement Expenditures 459,151 414,346 687,227 317,856 78,000
Annual Perimeter & DW Drive Expenditures 187,417 190,454 195,855 192,725 1,560,000
Total CIP 646,568 604,801 883,082 9,974,315 3,730,250
TOTAL EXPENDITURES 11,203,031 14,617,418 16,713,090 25,860,730 20,887,183
Net Surplus/(Deficit) 164,982 465,003 366,350 (9,321,106) (3,842,894)
Transfer in from Capital Reserve
Accrual ta Cash Basis Adjustment
OPERATIONS RESERVE PLAN/ANALYSIS
Ending DW Cash Balance/Reserve
Restricted for Outstanding Operational Loan
90 Day Operations Reserve
577,065
700,421
3,817,067
2,000,000
2,639,116
464,767
164,843
4,911,680
1,500,000
3,378,154
883,082
913,787
7,074,899
1,000,000
3,832,502
9,846,390
{564,167}
7,036,016
500,000
2,797,217
3,575,000
{16,421)
6,729,812
4,164,233
Reserve Surplus/(Deficit) * (822,049) 33,525 2,242,397 3,738,799 2,565,579
* -Risk to General Fund
*CIP Reserve is currently fully funded by Amenity Fee from Timeshares/Capita/ Reserve Fund Balance is held by the City.
FINANCE COMMITTEE - DECEMBER 2024
476
Desert Willow/PDRFC
Statement of Cash Flows-Combined
Indirect Method Reconciliation
12/31/2024
Cash Flows from Operating Activities
Net Income (Loss)
Adjustments to reconcile net loss to
net cash provided by operating activities
Depreciation & Amortization expense
Bad Debt expense
Gain on disposal of assets
(Increase) Decrease in assets
Accounts Receivable
Due from Employees
Inventories
Prepaid expenses
Increase (Decrease) in liabilities
Accounts Payable
Accrued Liabilities
Deferred Revenue
Interest
Due to Affiliates
Net cash flows from operating activities
838,436
178,243
(164,328)
(111,057)
(168,897)
(163,839)
101,694
48,000
(1,970,669)
558,252
(1,412,417)
FINANCE COMMITTEE - DECEMBER 2024
477
Desert Willow/PDRFC
Statement of Cash Flows-Combined
Direct Method
12/31/2024
Cash Flows from Operating Activities
Cash Received From Customers
Interest Received
Other Operating Cash Receipts
Cash Paid to Suppliers and Employees
Interest Paid
Taxes Paid
Net cash flows from operating activities
Cash Flows from Investing Activities
Contributed Capital
Purchases of Property and Equipment
Proceeds from sale of Property and Equipment
Net cash flows from investing activities
Cash Flows from Financing Activities
Loan proceeds-KSM/CITY
Principal payments
Net cash flows from financing activities
Net change in cash
Cash at beginning of period
Cash at end of period
5,637,897
96,430
134,273
(7,229,635)
(40,607)
(10,775)
(1,412,417)
(217,173)
(217,173)
(441,638)
(441,638)
(2,071,228)
7,014,127
4,942,899
FINANCE COMMITTEE - DECEMBER 2024
478
Dining Covers
Dining Revenue
Dining -Ave Check
Catering Covers
Catering Revenue
Catering Ave Check
Outlet Rounds
Outlet Revenue
Outing Ave Check
Total F&B Revenue
DWGR
F&B Revenue Analysis
Year-to-Date Revenue Analysis
12/31/2024
Dining Analysis
2024.2025 2023.2024
24,659 26,060
$ 643,365 $ 703,739
$ 26.09 $ 27.00 $
Catering Analysis
2024.2025 2023.2024
6,677 7,620 $
$ 731,621 $ 759,908 $
$ 109.57 $ 99.73 $
Outlet Analysis
2024.2025 2023.2024
28,056 34,555 $
$ 208,067 $ 257,071 $
$ 7.42 $ 7.44 $
Variance %
(1,401) -5%
(60,374)
(0.91)
Variance
(943)
(28,287)
9.85
Variance
(6,499)
(49,004)
(0.02)
-9%
-3%
%
-12%
-4%
10%
%
-19%
-19%
0%
$ 1,583,053 $ 1,720,718 $ (137,665) -8%
FINANCE COMMITTEE - DECEMBER 2024
479
PDRFC COVER ANALYSIS
2024.2025 July August September October November December
Dining Covers 1,235 1,695 3,036 5,345 7,478 5,870
Catering Covers 347 140 577 2,075 2,083 1,455
1,582 1,835 3,613 7,420 9,561 7,325
Dining Revenue $ 28,459 $ 44,761 $ 75,298 $ 127,623 $ 225,637 $ 141,588
Catering Revenue $ 14,592 $ 6,290 $ 30,810 $ 252,664 $ 269,407 $ 157,857
$ 43,051 $ 51,051 $ 106,108 $ 380,287 $ 495,044 $ 299,445
Dining -Ave Check $ 23.04 $ 26.41 $ 24.80 $ 23.88 $ 30.17 $ 24.12
Catering -Ave Check $ 42.05 44.93 $ 53.40 $ 121.77 $ 129.34 $ 108.49
Outlet Revenue $ 7,308 $ 14,798 $ 29,592 $ 66,297 $ 45,176 $ 44,896
Rounds 1,921 2,199 4,057 6,896 6,269 6,714
$'s per Round $ 3.80 $ 6.73 $ 7.29 $ 9.61 $ 7.21 $ 6.69
2023.2024
Dining Covers 1,976 1,745 3,417 5,284 7,817 5,821
Catering Covers 374 545 1,221 1,937 1,561 1,982
2,350 2,290 4,638 7,221 9,378 7,803
Dining Revenue $ 53,982 $ 50,437 $ 96,162 $ 131,415 $ 234,699 $ 137,044
Catering Revenue $ 26,330 $ 67,215 $ 126,757 $ 194,865 $ 182,439 $ 162,301
$ 80,312 $ 117,652 $ 222,919 $ 326,280 $ 417,139 $ 299,345
Dining -Ave Check $ 27.32 $ 28.90 $ 28.14 $ 24.41 $ 27.57 $ 22.73
Catering -Ave Check $ 70.40 $ 123.33 $ 103.81 $ 129.87 $ 106.61 $ 77.92
Outlet Revenue $ 22,744 $ 22,032 $ 48,439 $ 66,304 $ 51,507 $ 46,044
Rounds 4,371 3,962 6,950 6,837 6,485 5,950
$'s per Round $ 5.20 $ 3.05 $ 6.31 $ 8.61 $ 6.75 $ 6.25
FINANCE COMMITTEE - DECEMBER 2024
480
Page 1 of 1
FINANCE COMMITTEE
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: January 28, 2025
PREPARED BY: Arlene Arellano, Accountant
Austin Yaple, Accounting Manager
SUBJECT: PARKVIEW OFFICE COMPLEX FINANCIAL REPORTS AND VACANCY
REPORT
RECOMMENDATION:
Receive and file the Parkview Office Complex Financial Reports and Vacancy Report for the
months ending September 30, 2024 through December 31, 2024.
BACKGROUND/ANALYSIS:
City staff will provide an update on the Parkview Office Complex Financial Reports and Vacancy
Report for the months ending September 30, 2024 through December 31, 2024.
ATTACHMENTS:
1. Parkview Office Complex Financial Reports for the months ending September 30, 2024
through December 31, 2024.
2. Parkview Vacancy Report for the month ending December 31, 2024.
481
482
City of Palm Desert
Parkview Office Complex
Vacancy Rate Schedule by Suite
December 31,2024
Rentable Square Feet:51,464
Square Feet Occupied:34,027
% Occupied:66%
% Vacant:34%
Suite No.Tenant Square Ft.
10-101 Medium Conference Room -
10-104 Large Conference Room -
10-110 Advantec 1,250
10-113 Lift to Rise 720
10-117 Lift to Rise 1,227
10-120 State of California 1,000
10-123 Lift to Rise 758
10-126 ACT for Multiple Sclerosis 928
10-129 Congressman Ken Calvert 41st District 875
10-132 Anser Advisory 1,345
10-135 Desert Recreation District 2,560
10-138 Golden Construction 488
10-141 Small Conference Room -
10-201 State of California 890
10-212 State of California 1,117
10-220 Lift to Rise 1,240
Total Occupied Suites 14,398 sq/ft 45%
Suite No.Tenant Square Ft.
10-107 Vacant 1,750
10-205 Vacant 5,730
10-209 Vacant 3,040
10-215 Vacant 5,833
10-219 Vacant 1,084
Total Vacant Suites 17,437 sq/ft 55%
20-100 State of California 15,233
20-102 State of California 4,396
Total Occupied Suites 19,629 sq/ft 100%
Combined Vacancy Rate Summary
Occupied Suites
73-710 Fred Waring Drive- Two (2) Story Building
Occupied Suites
Vacant Suites
73-720 Fred Waring Drive- One (1) Story Building
483
484
Parkview Office Complex
Statement of Activities
Month Ended Septmber 30,2024
September-24 September-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
73-710 Fred Waring Dr. - Two (2) Story Building (17,147)$ (10,105)$ 7,042$ -41.07%58.93%(51,440)$ (14,574)$ 36,866$ -72%28%
73-720 Fred Waring Dr. - One (1) Story Building 17,445$ 13,076$ (4,369)$ -25.04%74.96%52,335$ 21,734$ (30,601)$ -58%42%
Combined Summary of Net Income 298$ 2,971$ 2,673$ 896.01%996.01%895$ 7,160$ 6,265$ 700.01%800.01%
Summary of Net Income
$(20,000)
$(15,000)
$(10,000)
$(5,000)
$-
$5,000
$10,000
$15,000
$20,000
Budget Actual
Monthly Net Income
73-720 Fred Waring Dr. - One (1)
Story Building
73-710 Fred Waring Dr. - Two (2)
Story Building
$(60,000)
$(40,000)
$(20,000)
$-
$20,000
$40,000
$60,000
Budget Actual
YTD Net Income
485
Parkview Office Complex
Statement of Activities
Month Ended Septmber 30,2024
September-24 September-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
Revenues*
Rental 24,020$ 37,333$ 13,313$ 55%155%72,060$ 78,870$ 6,810$ 9%109%
Total Revenues 24,020$ 37,333$ 13,313$ 55%155%72,060$ 78,870$ 6,810$ 9%109%
Expenses**
Tenant Improvements [1]6,717$ -$ (6,717)$ -100%0%20,150$ -$ (20,150)$ -100%0%
Repairs & Maintenance- Building 1,550$ 4,290$ 2,740$ 177%277%4,650$ 5,792$ 1,142$ 25%125%
Repairs & Maintenance- Streets 1,033$ 197$ (837)$ -81%19%3,100$ 393$ (2,707)$ -87%13%
Repairs & Maintenance- Other Equip 1,033$ -$ (1,033)$ -100%0%3,100$ -$ (3,100)$ -100%0%
Utilities-Gas/Electric [2]11,996$ 28,354$ 16,358$ 136%236%35,989$ 45,739$ 9,750$ 27%127%
444 CAM Janitorial Services 13,740$ 11,184$ (2,556)$ -19%81%41,220$ 33,551$ (7,669)$ -19%81%
444 CAM Landscaping Services 2,642$ 2,000$ (642)$ -24%76%7,925$ 4,000$ (3,925)$ -50%50%
444 CAM Alarm 315$ -$ (315)$ -100%0%945$ -$ (945)$ -100%0%
444CAM Pest Control 171$ -$ (171)$ -100%0%512$ 83$ (429)$ -84%16%
444 CAM Utilities-Waste Disposal 820$ 519$ (301)$ -37%63%2,460$ 1,558$ (902)$ -37%63%
444 CAM Utilities-Water 400$ 194$ (206)$ -52%48%1,200$ 379$ (821)$ -68%32%
444 CAM Utilities-Telephone 750$ 701$ (49)$ -7%93%2,250$ 1,951$ (299)$ -13%87%
Total Expenses 41,167$ 47,438$ 6,271$ 15%115%123,500$ 93,444$ (30,056)$ -24%76%
Operating Income (17,147)$ (10,105)$ 7,042$ -41%59%(51,440)$ (14,574)$ 36,866$ -72%28%
Equipment Replacement Reserve -$ -$ -$ 0%0%-$ -$ -$ 0%0%
Net Income (17,147)$ (10,105)$ 7,042$ -41%59%(51,440)$ (14,574)$ 36,866$ -71.67%28%
[1] Tenant Improvements are negotiated as part of the lease agreement - there have been no tenant improvements to date.
[2] Increase in electric bill due to summer weather; amount paid includes August's billing.
R&M work is performed on an as-needed basis
*Revenues do not include interest income, which is allocated at fiscal year-end.
**CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings
in other CAM line items.
Note: This schedule does not include budget or rents received into this enterprise fund for the Sheriff Substation or Henderson Building.
73-710 Fred Waring Drive- Two (2) Story Building
486
Parkview Office Complex
Statement of Activities
Month Ended Septmber 30,2024
September-24 September-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
Revenues*
Rental 38,480$ 28,181$ (10,299)$ -27%73%115,440$ 56,362$ (59,078)$ -51%49%
Total Revenues 38,480$ 28,181$ (10,299)$ -27%73%115,440$ 56,362$ (59,078)$ -51%49%
Expenses**
Tenant Improvements [1]4,117$ -$ (4,117)$ -100%0%12,350$ -$ (12,350)$ -100%0%
Repairs & Maintenance- Building 950$ 2,784$ 1,834$ 193%293%2,850$ 3,299$ 449$ 16%116%
Repairs & Maintenance- Streets 633$ -$ (633)$ -100%0%1,900$ 300$ (1,600)$ -84%16%
Repairs & Maintenance- Other Equip 633$ -$ (633)$ -100%0%1,900$ -$ (1,900)$ -100%0%
Utilities-Gas/Electric 6,107$ 5,247$ (860)$ -14%86%18,321$ 10,397$ (7,924)$ -43%57%
555 CAM Janitorial Services 6,259$ 6,259$ (0)$ 0%100%18,777$ 18,776$ (1)$ 0%100%
555 CAM Landscaping Services 300$ 300$ -$ 0%100%900$ 300$ (600)$ -67%33%
555 CAM Alarm 315$ -$ (315)$ -100%0%945$ -$ (945)$ -100%0%
555 CAM Pest Control 171$ -$ (171)$ -100%0%512$ 88$ (424)$ -83%17%
555 CAM Utilities-Waste Disposal 400$ 373$ (27)$ -7%93%1,200$ 1,119$ (81)$ -7%93%
555 CAM Utilities-Water 400$ 74$ (326)$ -81%19%1,200$ 146$ (1,054)$ -88%12%
555 CAM Utilities-Telephone 750$ 68$ (682)$ -91%9%2,250$ 204$ (2,046)$ -91%9%
Total Expenses 21,035$ 15,105$ (5,930)$ -28%72%63,105$ 34,628$ (28,477)$ -45%55%
Operating Income 17,445$ 13,076$ (4,369)$ -25%75%52,335$ 21,734$ (30,601)$ -58%42%
Equipment Replacement Reserve -$ -$ -$ 0%0%-$ -$ -$ 0%0%
Net Income 17,445$ 13,076$ (4,369)$ -25%75%52,335$ 21,734$ (30,601)$ -58%42%
[1] Tenant Improvements are negotiated as part of the lease agreement.
R&M work is performed on an as-needed basis
*Revenues do not include interest income, which is allocated at fiscal year-end.
**CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings
in other CAM line items.
Note: This schedule does not include budget or rents received into this enterprise fund for the Sheriff Substation or Henderson Building.
73-720 Fred Waring Drive- One (1) Story Building
487
Parkview Office Complex
Statement of Activities
Month Ended October 31,2024
October-24 October-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
73-710 Fred Waring Dr. - Two (2) Story Building (17,147)$ 3,674$ 20,821$ -121.43%-21.43%(68,587)$ (10,900)$ 57,687$ -84%16%
73-720 Fred Waring Dr. - One (1) Story Building (82,980)$ (114,002)$ (31,022)$ 37.39%137.39%(30,645)$ (92,268)$ (61,623)$ 201%301%
Combined Summary of Net Income (100,126)$ (110,328)$ (10,202)$ 10.19%110.19%(99,231)$ (103,168)$ (3,937)$ 3.97%103.97%
Summary of Net Income
$(120,000)
$(100,000)
$(80,000)
$(60,000)
$(40,000)
$(20,000)
$-
$20,000
Budget Actual
Monthly Net Income
73-720 Fred Waring Dr. - One (1)
Story Building
73-710 Fred Waring Dr. - Two (2)
Story Building
$(120,000)
$(100,000)
$(80,000)
$(60,000)
$(40,000)
$(20,000)
$-
Budget Actual
YTD Net Income
488
Parkview Office Complex
Statement of Activities
Month Ended October 31,2024
October-24 October-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
Revenues*
Rental 24,020$ 25,870$ 1,850$ 8%108%96,080$ 104,741$ 8,661$ 9%109%
Total Revenues 24,020$ 25,870$ 1,850$ 8%108%96,080$ 104,741$ 8,661$ 9%109%
Expenses**
Tenant Improvements [1]6,717$ -$ (6,717)$ -100%0%26,867$ -$ (26,867)$ -100%0%
Repairs & Maintenance- Building 1,550$ 1,827$ 277$ 18%118%6,200$ 7,619$ 1,419$ 23%123%
Repairs & Maintenance- Streets 1,033$ -$ (1,033)$ -100%0%4,133$ 393$ (3,740)$ -90%10%
Repairs & Maintenance- Other Equip 1,033$ -$ (1,033)$ -100%0%4,133$ -$ (4,133)$ -100%0%
Utilities-Gas/Electric [2]11,996$ 14,901$ 2,905$ 24%124%47,985$ 60,640$ 12,655$ 26%126%
444 CAM Janitorial Services [3]13,740$ 945$ (12,795)$ -93%7%54,960$ 34,496$ (20,464)$ -37%63%
444 CAM Landscaping Services 2,642$ 2,000$ (642)$ -24%76%10,567$ 6,000$ (4,567)$ -43%57%
444 CAM Alarm 315$ 1,108$ 793$ 252%352%1,260$ 1,108$ (152)$ -12%88%
444CAM Pest Control 171$ -$ (171)$ -100%0%682$ 83$ (600)$ -88%12%
444 CAM Utilities-Waste Disposal 820$ 519$ (301)$ -37%63%3,280$ 2,077$ (1,203)$ -37%63%
444 CAM Utilities-Water 400$ 192$ (208)$ -52%48%1,600$ 571$ (1,029)$ -64%36%
444 CAM Utilities-Telephone 750$ 703$ (47)$ -6%94%3,000$ 2,654$ (346)$ -12%88%
Total Expenses 41,167$ 22,196$ (18,970)$ -46%54%164,667$ 115,640$ (49,026)$ -30%70%
Operating Income (17,147)$ 3,674$ 20,821$ -121%-21%(68,587)$ (10,900)$ 57,687$ -84%16%
Equipment Replacement Reserve -$ -$ -$ 0%0%-$ -$ -$ 0%0%
Net Income (17,147)$ 3,674$ 20,821$ -121%-21%(68,587)$ (10,900)$ 57,687$ -84.11%16%
[1] Tenant Improvements are negotiated as part of the lease agreement - there have been no tenant improvements to date.
[2] Increase in electric bill due to summer weather; amount paid includes September's billing.
[3] Timing Variance - bills paid as received by Public Works
R&M work is performed on an as-needed basis
*Revenues do not include interest income, which is allocated at fiscal year-end.
**CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings
in other CAM line items.
Note: This schedule does not include budget or rents received into this enterprise fund for the Sheriff Substation or Henderson Building.
73-710 Fred Waring Drive- Two (2) Story Building
489
Parkview Office Complex
Statement of Activities
Month Ended October 31,2024
October-24 October-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
Revenues*
Rental 38,480$ 55,294$ 16,814$ 44%144%153,920$ 111,656$ (42,264)$ -27%73%
Total Revenues 38,480$ 55,294$ 16,814$ 44%144%153,920$ 111,656$ (42,264)$ -27%73%
Expenses**
Tenant Improvements [1]104,541$ 160,000$ 55,459$ 53%153%116,891$ 160,000$ 43,109$ 37%137%
Repairs & Maintenance- Building 950$ 2,737$ 1,787$ 188%288%3,800$ 6,036$ 2,236$ 59%159%
Repairs & Maintenance- Streets 633$ -$ (633)$ -100%0%2,533$ 300$ (2,233)$ -88%12%
Repairs & Maintenance- Other Equip 633$ -$ (633)$ -100%0%2,533$ -$ (2,533)$ -100%0%
Utilities-Gas/Electric 6,107$ 3,848$ (2,259)$ -37%63%24,429$ 14,245$ (10,183)$ -42%58%
555 CAM Janitorial Services [2]6,259$ 365$ (5,894)$ -94%6%25,036$ 19,141$ (5,895)$ -24%76%
555 CAM Landscaping Services 300$ 300$ -$ 0%100%1,200$ 600$ (600)$ -50%50%
555 CAM Alarm 315$ 1,604$ 1,289$ 409%509%1,260$ 1,604$ 344$ 27%127%
555 CAM Pest Control 171$ -$ (171)$ -100%0%682$ 88$ (594)$ -87%13%
555 CAM Utilities-Waste Disposal 400$ 373$ (27)$ -7%93%1,600$ 1,492$ (108)$ -7%93%
555 CAM Utilities-Water 400$ -$ (400)$ -100%0%1,600$ 146$ (1,454)$ -91%9%
555 CAM Utilities-Telephone 750$ 68$ (682)$ -91%9%3,000$ 272$ (2,728)$ -91%9%
Total Expenses 121,460$ 169,296$ 47,836$ 39%139%184,565$ 203,924$ 19,359$ 10%110%
Operating Income (82,980)$ (114,002)$ (31,022)$ 37%137%(30,645)$ (92,268)$ (61,623)$ 201%301%
Equipment Replacement Reserve -$ -$ -$ 0%0%-$ -$ -$ 0%0%
Net Income (82,980)$ (114,002)$ (31,022)$ 37%137%(30,645)$ (92,268)$ (61,623)$ 201%301%
[1] New lease includes Tenant Improvements: $602,548.80 work estimated to be completed Dec24/Jan25
[2] Timing Variance - utility bills paid as received by Public Works
R&M work is performed on an as-needed basis
*Revenues do not include interest income, which is allocated at fiscal year-end.
**CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings
in other CAM line items.
Note: This schedule does not include budget or rents received into this enterprise fund for the Sheriff Substation or Henderson Building.
73-720 Fred Waring Drive- One (1) Story Building
490
Parkview Office Complex
Statement of Activities
Month Ended November 30,2024
November-24 November-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
73-710 Fred Waring Dr. - Two (2) Story Building (17,147)$ (1,014)$ 16,133$ -94.09%5.91%(85,733)$ (11,914)$ 73,820$ -86%14%
73-720 Fred Waring Dr. - One (1) Story Building (82,980)$ (88,365)$ (5,385)$ 6.49%106.49%(113,624)$ (178,178)$ (64,553)$ 57%157%
Combined Summary of Net Income (100,126)$ (89,379)$ 10,748$ -10.73%89.27%(199,358)$ (190,092)$ 9,266$ -4.65%95.35%
Summary of Net Income
$(120,000)
$(100,000)
$(80,000)
$(60,000)
$(40,000)
$(20,000)
$-
Budget Actual
Monthly Net Income
73-720 Fred Waring Dr. - One (1)
Story Building
73-710 Fred Waring Dr. - Two (2)
Story Building
$(250,000)
$(200,000)
$(150,000)
$(100,000)
$(50,000)
$-
Budget Actual
YTD Net Income
491
Parkview Office Complex
Statement of Activities
Month Ended November 30,2024
November-24 November-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
Revenues*
Rental 24,020$ 23,344$ (676)$ -3%97%120,100$ 128,085$ 7,985$ 7%107%
Total Revenues 24,020$ 23,344$ (676)$ -3%97%120,100$ 128,085$ 7,985$ 7%107%
Expenses**
Tenant Improvements [1]6,717$ -$ (6,717)$ -100%0%33,583$ -$ (33,583)$ -100%0%
Repairs & Maintenance- Building 1,550$ 3,072$ 1,522$ 98%198%7,750$ 10,691$ 2,941$ 38%138%
Repairs & Maintenance- Streets 1,033$ 393$ (640)$ -62%38%5,167$ 786$ (4,381)$ -85%15%
Repairs & Maintenance- Other Equip 1,033$ -$ (1,033)$ -100%0%5,167$ -$ (5,167)$ -100%0%
Utilities-Gas/Electric 11,996$ 6,938$ (5,058)$ -42%58%59,981$ 67,578$ 7,597$ 13%113%
444 CAM Janitorial Services 13,740$ 11,184$ (2,556)$ -19%81%68,700$ 45,679$ (23,021)$ -34%66%
444 CAM Landscaping Services 2,642$ 2,000$ (642)$ -24%76%13,208$ 8,000$ (5,208)$ -39%61%
444 CAM Alarm 315$ -$ (315)$ -100%0%1,575$ 1,108$ (467)$ -30%70%
444CAM Pest Control 171$ 83$ (88)$ -52%0%853$ 165$ (688)$ -81%19%
444 CAM Utilities-Waste Disposal 820$ 519$ (301)$ -37%63%4,100$ 2,596$ (1,504)$ -37%63%
444 CAM Utilities-Water 400$ -$ (400)$ -100%0%2,000$ 571$ (1,429)$ -71%29%
444 CAM Utilities-Telephone 750$ 170$ (580)$ -77%23%3,750$ 2,824$ (926)$ -25%75%
Total Expenses 41,167$ 24,358$ (16,809)$ -41%59%205,833$ 139,998$ (65,835)$ -32%68%
Operating Income (17,147)$ (1,014)$ 16,133$ -94%6%(85,733)$ (11,914)$ 73,820$ -86%14%
Equipment Replacement Reserve -$ -$ -$ 0%0%-$ -$ -$ 0%0%
Net Income (17,147)$ (1,014)$ 16,133$ -94%6%(85,733)$ (11,914)$ 73,820$ -86.10%14%
[1] Tenant Improvements are negotiated as part of the lease agreement - there have been no tenant improvements to date.
R&M work is performed on an as-needed basis
*Revenues do not include interest income, which is allocated at fiscal year-end.
**CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings
in other CAM line items.
Note: This schedule does not include budget or rents received into this enterprise fund for the Sheriff Substation or Henderson Building.
73-710 Fred Waring Drive- Two (2) Story Building
492
Parkview Office Complex
Statement of Activities
Month Ended November 30,2024
November-24 November-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
Revenues*
Rental 38,480$ 80,487$ 42,007$ 109%209%192,400$ 192,143$ (257)$ 0%100%
Total Revenues 38,480$ 80,487$ 42,007$ 109%209%192,400$ 192,143$ (257)$ 0%100%
Expenses**
Tenant Improvements [1]104,541$ 155,000$ 50,459$ 48%148%221,433$ 315,000$ 93,567$ 42%142%
Repairs & Maintenance- Building 950$ 2,010$ 1,060$ 112%212%4,750$ 8,046$ 3,296$ 69%169%
Repairs & Maintenance- Streets 633$ -$ (633)$ -100%0%3,167$ 300$ (2,867)$ -91%9%
Repairs & Maintenance- Other Equip 633$ -$ (633)$ -100%0%3,167$ -$ (3,167)$ -100%0%
Utilities-Gas/Electric [2]6,107$ 2,455$ (3,652)$ -60%40%30,536$ 16,700$ (13,835)$ -45%55%
555 CAM Janitorial Services 6,259$ 6,259$ (0)$ 0%100%31,295$ 25,399$ (5,896)$ -19%81%
555 CAM Landscaping Services 300$ 300$ -$ 0%100%1,500$ 900$ (600)$ -40%60%
555 CAM Alarm 315$ -$ (315)$ -100%0%1,575$ 1,604$ 29$ 2%102%
555 CAM Pest Control 171$ -$ (171)$ -100%0%853$ 88$ (765)$ -90%10%
555 CAM Utilities-Waste Disposal 400$ 373$ (27)$ -7%93%2,000$ 1,865$ (135)$ -7%93%
555 CAM Utilities-Water 400$ -$ (400)$ -100%0%2,000$ 146$ (1,854)$ -93%7%
555 CAM Utilities-Telephone 750$ -$ (750)$ -100%0%3,750$ 272$ (3,478)$ -93%7%
Total Expenses 121,460$ 168,851$ 47,392$ 39%139%306,024$ 370,321$ 64,296$ 21%121%
Operating Income (82,980)$ (88,365)$ (5,385)$ 6%106%(113,624)$ (178,178)$ (64,553)$ 57%157%
Equipment Replacement Reserve -$ -$ -$ 0%0%-$ -$ -$ 0%0%
Net Income (82,980)$ (88,365)$ (5,385)$ 6%1641%(113,624)$ (178,178)$ (64,553)$ 57%157%
[1] New lease includes Tenant Improvements: $602,548.80 work estimated to be completed Dec24/Jan25
[2] Timing Variance - utility bills paid as received by Public Works
R&M work is performed on an as-needed basis
*Revenues do not include interest income, which is allocated at fiscal year-end.
**CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings
in other CAM line items.
Note: This schedule does not include budget or rents received into this enterprise fund for the Sheriff Substation or Henderson Building.
73-720 Fred Waring Drive- One (1) Story Building
493
Parkview Office Complex
Statement of Activities
Month Ended December 31,2024
December-24 December-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
73-710 Fred Waring Dr. - Two (2) Story Building (17,147)$ (8,404)$ 8,743$ -50.99%49.01%(102,880)$ (20,317)$ 82,563$ -80%20%
73-720 Fred Waring Dr. - One (1) Story Building (82,980)$ (8,356)$ 74,624$ -89.93%10.07%(196,604)$ (186,534)$ 10,071$ -5%95%
Combined Summary of Net Income (100,126)$ (16,759)$ 83,367$ -83.26%16.74%(299,484)$ (206,851)$ 92,633$ -30.93%69.07%
Summary of Net Income
$(120,000)
$(100,000)
$(80,000)
$(60,000)
$(40,000)
$(20,000)
$-
Budget Actual
Monthly Net Income
73-720 Fred Waring Dr. - One (1)
Story Building
73-710 Fred Waring Dr. - Two (2)
Story Building
$(350,000)
$(300,000)
$(250,000)
$(200,000)
$(150,000)
$(100,000)
$(50,000)
$-
Budget Actual
YTD Net Income
494
Parkview Office Complex
Statement of Activities
Month Ended December 31,2024
December-24 December-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
Revenues*
Rental 24,020$ 14,214$ (9,806)$ -41%59%144,120$ 142,298$ (1,822)$ -1%99%
Total Revenues 24,020$ 14,214$ (9,806)$ -41%59%144,120$ 142,298$ (1,822)$ -1%99%
Expenses**
Tenant Improvements [1]6,717$ -$ (6,717)$ -100%0%40,300$ -$ (40,300)$ -100%0%
Repairs & Maintenance- Building 1,550$ 1,571$ 21$ 1%101%9,300$ 12,261$ 2,961$ 32%132%
Repairs & Maintenance- Streets 1,033$ 197$ (837)$ -81%19%6,200$ 983$ (5,218)$ -84%16%
Repairs & Maintenance- Other Equip 1,033$ -$ (1,033)$ -100%0%6,200$ -$ (6,200)$ -100%0%
Utilities-Gas/Electric 11,996$ 6,229$ (5,767)$ -48%52%71,977$ 73,807$ 1,830$ 3%103%
444 CAM Janitorial Services 13,740$ 11,184$ (2,556)$ -19%81%82,440$ 56,863$ (25,577)$ -31%69%
444 CAM Landscaping Services 2,642$ 2,000$ (642)$ -24%76%15,850$ 10,000$ (5,850)$ -37%63%
444 CAM Alarm 315$ -$ (315)$ -100%0%1,890$ 1,108$ (782)$ -41%59%
444CAM Pest Control 171$ -$ (171)$ -100%0%1,023$ 165$ (858)$ -84%16%
444 CAM Utilities-Waste Disposal 820$ 519$ (301)$ -37%63%4,920$ 3,116$ (1,804)$ -37%63%
444 CAM Utilities-Water 400$ 361$ (39)$ -10%90%2,400$ 932$ (1,468)$ -61%39%
444 CAM Utilities-Telephone 750$ 558$ (192)$ -26%74%4,500$ 3,382$ (1,118)$ -25%75%
Total Expenses 41,167$ 22,617$ (18,549)$ -45%55%247,000$ 162,616$ (84,384)$ -34%66%
Operating Income (17,147)$ (8,404)$ 8,743$ -51%49%(102,880)$ (20,317)$ 82,563$ -80%20%
Equipment Replacement Reserve -$ -$ -$ 0%0%-$ -$ -$ 0%0%
Net Income (17,147)$ (8,404)$ 8,743$ -51%49%(102,880)$ (20,317)$ 82,563$ -80.25%20%
[1] Tenant Improvements are negotiated as part of the lease agreement - there have been no tenant improvements to date.
R&M work is performed on an as-needed basis
*Revenues do not include interest income, which is allocated at fiscal year-end.
**CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings
in other CAM line items.
Note: This schedule does not include budget or rents received into this enterprise fund for the Sheriff Substation or Henderson Building.
73-710 Fred Waring Drive- Two (2) Story Building
495
Parkview Office Complex
Statement of Activities
Month Ended December 31,2024
December-24 December-24 $% %YTD YTD $% %
Budget Actual Variance Variance Budget Budget Actual Variance Variance Budget
Revenues*
Rental 38,480$ 9,155$ (29,325)$ -76%24%230,880$ 201,298$ (29,582)$ -13%87%
Total Revenues 38,480$ 9,155$ (29,325)$ -76%24%230,880$ 201,298$ (29,582)$ -13%87%
Expenses**
Tenant Improvements [1]104,541$ -$ (104,541)$ -100%0%325,974$ 315,000$ (10,974)$ -3%97%
Repairs & Maintenance- Building [2]950$ 8,679$ 7,729$ 814%914%5,700$ 16,726$ 11,026$ 193%293%
Repairs & Maintenance- Streets 633$ -$ (633)$ -100%0%3,800$ 300$ (3,500)$ -92%8%
Repairs & Maintenance- Other Equip 633$ -$ (633)$ -100%0%3,800$ -$ (3,800)$ -100%0%
Utilities-Gas/Electric 6,107$ 1,285$ (4,822)$ -79%21%36,643$ 17,986$ (18,657)$ -51%49%
555 CAM Janitorial Services 6,259$ 6,259$ (0)$ 0%100%37,554$ 31,658$ (5,896)$ -16%84%
555 CAM Landscaping Services 300$ 300$ -$ 0%100%1,800$ 1,200$ (600)$ -33%67%
555 CAM Alarm 315$ 394$ 79$ 25%125%1,890$ 1,998$ 108$ 6%106%
555 CAM Pest Control 171$ -$ (171)$ -100%0%1,023$ 88$ (935)$ -91%9%
555 CAM Utilities-Waste Disposal 400$ 373$ (27)$ -7%93%2,400$ 2,237$ (163)$ -7%93%
555 CAM Utilities-Water 400$ 153$ (247)$ -62%38%2,400$ 299$ (2,101)$ -88%12%
555 CAM Utilities-Telephone 750$ 68$ (682)$ -91%9%4,500$ 340$ (4,160)$ -92%8%
Total Expenses 121,460$ 17,511$ (103,949)$ -86%14%427,484$ 387,831$ (39,653)$ -9%91%
Operating Income (82,980)$ (8,356)$ 74,624$ -90%10%(196,604)$ (186,534)$ 10,071$ -5%95%
Equipment Replacement Reserve -$ -$ -$ 0%0%-$ -$ -$ 0%0%
Net Income (82,980)$ (8,356)$ 74,624$ -90%10%(196,604)$ (186,534)$ 10,071$ -5%95%
[1] New lease includes Tenant Improvements: $602,548.80 work estimated to be completed Dec24/Jan25
[2] Air Conditioning and Electrical R/M
R&M work is performed on an as-needed basis
*Revenues do not include interest income, which is allocated at fiscal year-end.
**CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings
in other CAM line items.
Note: This schedule does not include budget or rents received into this enterprise fund for the Sheriff Substation or Henderson Building.
73-720 Fred Waring Drive- One (1) Story Building
496
CITY OF PALM DESERT
ATTENDANCE REPORT
Advisory Body:
Prepared By:
Year 2023 2024 2024 2024 2024 2024 2024
Month Nov Jan Mar May July Sept Nov
Date 28-Nov 22-Jan 26-Mar 28-May N/A 24-Sep N/A
Garcia, Carlos P P P P - E - 1 0
Heuring, Gretchen P P P P - E - 1 0
Leo, Robert P P P P - P - 0 0
Messenger, Faith P P P P - P - 0 0
Wuest, Jake P P P P - P - 0 0
Harnik, Jan*N/A P P P - P - 0 0
Kelly, Kathleen*P N/A N/A N/A N/A N/A N/A 0 0
Quintanilla, Karina*P P P P - E - 1 0
Palm Desert Municipal Code 2.34.010:
P Present
A Absent
E Excused
-No meeting
Bimonthly: Two unexcused absences from regular meetings in any twelve-month period shall constitute an
automatic resignation of members holding office on boards that meet bimonthly.
Total
Absences
Total
Unexcused
Absences
Finance Committee
Michelle Nance
* Mayor and Mayor Pro Tem rotating positions are voting members of this Committee
497