HomeMy WebLinkAboutMINUTES - 02132001 - C.13 T �= Contra
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REDEVELOPMENT AGENCY Costa------------------
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FROM: Phil Batchelor. r- J� county
"y
Executive Director
DATE: February 13, 2001
SUBJECT: Audited Financial Report
SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS
ACCEPT the Fiscal Year 2000 Audited Financial Report prepared by Macias, Gini, and
Company.
FISCAL IMPACT
None.
BACKGROUND
The Agency is required to complete an annual independent audit of its financial statements.
The independent auditor, Macias, Gini, and Company, has issued its report and an unqualified
opinion on the Agency's compliance with generally accepted accounting standards.
CONTINUED ON ATTACHMENT: YES SIGNATURE: pG�/
/ C
RECOMMENDATION OF EXECUTIVE DIRECTOR ECOMNDATION OF ENCY
COMMITTEE APPROVE OTHER
i
i
SIGNATURE(S):
ACTION OF AGENCY ON February 13, 2001 APPROVED AS RECOMMENDED x OTHER
VOTE OF COMMISSIONERS
I HEREBY CERTIFY THAT THIS ISA
X UNANIMOUS (ABSENT none ) TRUE AND CORRECT COPY OF AN
AYES: NOES: ACTION TAKEN AND ENTERED ON THE
ABSENT: ABSTAIN: MINUTES OF THE REDEVELOPMENT
AGENCY ON THE DATE SHOWN.
Contact: Jim Kennedy
335-1255 ATTESTED February 13, 2001
orig: Redevelopment
cc: County Administrator's Office PHIL BATCHELOR
County Counsel AGENCY SECRETARY
Auditor-Controller
BY , DEPUTY
W: \BoardOrders. 2 . 6.auditedfinancial.report.RDA
CONTRA COSTA COUNTY
REDEVELOPMENT AGENCY
Independent Auditor's'Report,
General-Purpose Financial Statements,and
Combining and Account Group Statements
For the Fiscal Year Ended June 30,2000
CONTRA COSTA COUNTY
REDEVELOPMENT AGENCY
For the Fiscal Year Ended June 30, 2000
Table of Contents
Page(s)
IndependentAuditor's Report....................................................................................................................................l
General-Purpose Financial Statements:
Combined Balance Sheet-
All Governmental fund Types and Account Group..........................................................:...............................2
Combined Statement of Revenues,Expenditures and
Changes in Fund Balances-All Governmental Fund Types..............................................................................3
Notes to the General-Purpose Financial Statements ......................:..............................................................4- 10
Combining and Account Group Statements:
Capital Projects Funds:
CombiningBalance Sheet.................................................................................................................................11
Combining Statement of Revenues, Expenditures and
Changesin Fund Balances............................................................................................................................12
Special Revenue Funds:
CombiningBalance Sheet................................................................................................................................13
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances(Deficit)..............................................................................................................14
Debt Service Funds:
CombiningBalance Sheet............................................................................................................:...................15
Combining Statement of Revenues, Expenditures and
Changesin Fund Balances............................................................................................................................16
General Long-Terml Obligations Account Group:
Statement of Changes in General Long-Term Obligations Account Group....................................................17
Other Report:
Independent Auditor's Report on Compliance
and on Internal Control over Financial Reporting
Based on an Audit of General-Purpose Financial Statements
Performed in Accordance with Government Auditing Standards......................................................... 18- 19
- Partners Mt. Diablo Plaza
t�AG
Kenneth A.Macias,Maiiagin,;Partner '_175 N.California Boulevard
Ernest J.Gini Suite 620
Kevin J.O'Connell Walnut Creek,CA 94596-3565
Macias,Gini& Company t.tr Richard A.Green
C-td..c!Public Accountants and - 925.274.0190
Management Consultants Jan A.RoCafi
925.27.1.3819 FAX
James V.Godm,y
• ��•w��.maciasgini.com
Directors of the
Contra Costa County Redevelopment Agency
INDEPENDENT AUDITOR'S REPORT
We have audited the accompanying general-purpose financial statements of the Contra Costa County
Redevelopment Agency, California (the Agency), a component unit of Contra Costa County, California, as of and
for the year ended June 30,2000. These general-purpose financial statements are the responsibility of the Agency's
management. Our responsibility is to express an opinion on these general-purpose financial statements based on our
audit.
We conducted our audit in accordance with generally accepted auditing standards and the standards applicable to
financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United
States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the
general-purpose financial statements are free of material misstatement. An audit includes examining,on a test basis,
evidence supporting the amounts and disclosures in the general-purpose financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by management, as well as evaluating the
overall general-purpose financial statement presentation. We believe that our audit provides a reasonable basis for
our opinion.
In our opinion, the general-purpose financial statements referred to above present fairly, in all material respects, the
financial position of the Agency as of June 30, 2000, and the results of its operations for the year then ended in
conformity with generally accepted accounting principles.
In accordance with Government Auditing Standards, we have also issued our report dated November 22, 2000 on
our consideration of the Agency's internal control over financial reporting and our tests of its compliance with
certain provisions of laws, regulations, contracts and grants. That report is an integral part of an audit performed in
accordance with Government Auditing Standards and should be read in conjunction with this report in considering
the results of our audit.
Our audit was made for the purpose of forming an opinion on the general-purpose financial statements taken as a
whole. The combining and account group statements listed in the table of contents are presented for purposes of
additional analysis-and are not a required part of the general-purpose financial.statements of the Agency. Such
information has been subjected to the auditing procedures applied in the audit of the general-purpose financial
statements and, in our opinion, is fairly stated in all material respects in relation to the general-purpose financial
statements taken as a whole. .
�/}�f J✓� n c �P
Certified Public Accountants
Walnut Creek,California
November 22,2000
orric:E LOC AlR)NS
Sacramento Los Angeles Fresno San Francisco Bay Area
1
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Combined Balance Sheet
.All Governmental Fund Types and Account Group
June 30, 2000
Account
Governmental Fund Types Group
General Total
Capital Special Debt Long-Term (Memorandum
Projects Revenue Service Obligations Only) _
ASSETS AND OTHER DEBITS:
Assets:
Cash and investments $ 38,720,437 $ 5,397,497 $ 1,992,507 $ - $ 46,110,441
Restricted cash and investments 4,065,000 - 4,876,332 - 8,941,332
Accrued investment income - - 96,824 - 96,824
Accounts receivable 67,998 - - - 67,998
Due from Contra Costa County 25,645 117,011 - - 142,656
Due from other funds 96,691 13,963 - - 110,654
Prepaid items and deposits - 6,817 - - 6,817
Land held for resale 1,848,891 189,460 - - 2,038,351
Notes receivable 1,259,724 3,533,362 4,793,086
Other debits:
Amount available in debt service funds - - - 5,620,916 5,620,916
Amount to be provided for retirement
of long-term obligations - - - 50,780,704 50,780,704
Total assets and other debits $ 46,084,386 $ 9,258,110 $ 6,965,663 $ 56,401;620 $ 118,709,779
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable and accrued liabilities $ 82,149 $ 39,084 $ 69,488 $ - $ 190,721
Due to Contra Costa County . 321,830 23,403 359 - '345,592
Due to other funds 96,691 13,963 - 110,6.54
Accrued interest - 1,274,900 - 1,274,900
Deferred revenue 1,321,599 3,533,432 - - 4,855,031
Advances from Contra Costa County .776,995 3,806,456 - 251,620 4,835,071
Bonds payable - - - 56,150,000 56,150,000
Total liabilities 2,599,264 7,416,338 1,344,747 56,401,620 67,761;969
Fund balances:
Reserved for:
Debt service - - 51620,916• - 5,620,916
Encumbrances 78,736 - - 78,736
Land held for resale 1,848,891 189,460 - - 2,038,351
Prepaid expenses and deposits - 6,814 - - 6,814
Unreserved:
Designated 41,557,495 4,116,402 - - 45,673,897
Undesignated(deficit) - (2,470,904) - (2,470,904)
Total fund balances 43,485,122 1,841,772 5,620,916 - 50,947,810
Total liabilities and fund balances $ 46,084,386 $ 91258,110 $ 6,965,663 $ 56,401,620 $ 118,709,779
See accompanying notes to the general-purpose financial statements.
2
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Combined Statement of Revenues, Expenditures and Changes in Fund Balances
All Governmental Fund Types
For the Fiscal Year Ended June 30, 2000
Governmental Fund Types
Total
Capital Special Debt (Memorandum
Projects Revenue Service Only)
Revenues:
Property tax increment $ 2,713,525 $ 1,387,549 $ 2,836,672 $ 6,937,746
Aid from other governmental agencies 4,749 164,250 - 168,999
Use of money and property . 2,082,762 225,116 332,808 2,640,686
Other revenue 39,306 - - 39,306
Total revenues 4,840,342 1,776,915 3,169,480 9,786,737
Expenditures:
Current:
General administration 906,648 1,028 11,181 918,857
Fiscal agreement passthroughs 836,538 - - 836,538
County administration fee 64,234 16,017 - 80,251
Operation and management of property 36,635 101,083 - 137,718
Capital outlay:
Purchase of property - 11,000 - 11,000
Project improvements 2,533,334 . 1,230,451 - 3,763,785
Professional services 287,874 - - 287,874
Dcht.service:
Principal repayment 250,000 - 560,000 810,000
Interest 27,154 77,105 3,193,257 3,297,516
Total expenditures 4,942,417 1,436,684 3,764,438 10,143,539
Excess (deficiency) of revenues
over (under) expenditures (102,075) 340,231 (594,958) (356,802)
Other financing sources (uses):
Operating transfers in - 60,773 328,606 389,379
Operating transfers out (211,679) (177,420) (280) (389,379)
Total other financing sources (uses) (211,679) (116,647) 328,326 -
Excess (deficiency) of revenues and
other financing sources over(under)
expenditures and other financing uses (313,754) 223,584 (266,632) (356,802)
Fund balances, beginning of year 43,798,876 1,618,188 5,887,548 51,304,612
Fund balances, end of year $ 43,485,122 $ 1,841,772 $ 5,620,916 $ 50,947,810
See accompanying notes to the general-purpose financial statements.
3
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Notes to the General-Purpose Financial Statements
For the Fiscal Year Ended June 30, 2000
(1) Activities of the Contra Costa County Redevelopment Agency
The Contra .Costa County Redevelopment Agency (the Agency) was created on December 6, 1983, for the
purpose of redeveloping certain areas of Contra Costa County (the County), designated as project areas.
Currently,the members of the County Board of Supervisors serve as the Agency directors.
The County and Agency entered.into a joint exercise of powers agreement dated April 7, 1992 establishing the
County of Contra Costa Public Financing Authority (the Authority). The Authority is also governed by the
Board of Supervisors, and as such, is an integral part of the County and Agency. Accordingly, all of the
Authority's debt activity relating to the Agency is blended within the accompanying general-purpose financial
statements. See the Long-Term Obligations note for debt issued by the Authority.
The accompanying general-purpose financial statements are included as a blended component unit in the
County's General-Purpose Financial Statements.
The principal sources of funding for the Agency's activities are:
• Property tax revenue attributable to increases in assessed valuations in the project areas,
• Proceeds from issuance of debt,
• Advances and loans from the County,
G Aid from oilier governmental agencies, and
• Development fees for services provided to developers in the project areas.
(2) Summary of Significant Accounting Policies
The significant accounting policies of the Agency used in preparation of the accompanying general-purpose
financial statements are as follows:
(a) Basis of Presentation-Fund Accounting
The accounts of the Agency are organized into funds and an account group, each of which is considered to
be a separate accounting entity. The operations of each fund are accounted for within a separate set of self-
balancing accounts that comprise its assets, liabilities, fund balarice, revenues and expenditures. The
following funds and account group are used by the Agency.
Capital Projects Funds are used to account for financial resources designated for the acquisition or
construction of land and capital facilities or significant repairs or improvements thereto.
Special Revenue Funds are used to account for financial resources designated for the improvement of
targeted low to moderate income housing areas.
Debt Service Funds are used to account for the accumulation of resources for, and the payment of,
general long-term debt principal, interest and related costs.
General Long-Term Obligations Account Group accounts for the Agency's long-term obligations and
is expected to be financed with future tax increment.
4
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Notes to the General-Purpose Financial Statements (Continued)
For the Fiscal Year Ended June 30, 2000
(b) Basis of Accounting
The Agency follows the modified accrual basis of accounting. On this basis, revenue is recorded when
cash is received except for revenue susceptible to accrual (that is, measurable and available to finance the
Agency's operations). Revenues considered susceptible to accrual include property taxes and interest
income. Expenditures, other than interest on long-term obligations, are recorded as the liabilities are
incurred, if measurable. Interest on long-term obligations is generally recognized when paid. However,
where resources have been provided during the current year for payment of interest due early in the
following year,the expenditure and related liability are accrued.
(c) Capital Expenditures
Capital expenditures for certain projects, including acquisition of real property, site clearance and project
improvements, are charged to expenditures when incurred. Management of the Agency intends to donate
such land and infrastructure and therefore these assets have not been capitalized in the Agency's financial
statements. However, appropriate records are maintained by the Agency for both management and
accountability purposes.-
(d)
urposes.(d) Property Tax Increment
California Redevelopment Law provides a means for financing and refinancing redevelopment projects
based upon the allocation of taxes collected within a project area. The assessed valuation of a project area
prior to adoption of the redevelopment plan, or base roll, is established and, except for any period during
which the assessed valuation drops below the base roll, the taxing authorities thereafter receive the taxes
produced by the levy of the current tax rate upon the base roll. Property taxes collected upon an increase in
assessed valuation over the base roll are called tax increments. Each year the redevelopment project area
receives this incremental amount. The Agency has elected to pass through a portion of its annual tax
increment to various special districts under agreements with those districts. The annual tax increment may
be pledged by a redevelopment agency for.the repayment of indebtedness incurred in financing or
refinancing the project area. Incremental property taxes are recognized as revenue when claimed and
available from local taxing authorities. Contra Costa County assesses, collects and apportions property
taxes as follows:
Secured Unsecured
Lien dates January 1 January 1
Levy dates January 1 January 1
Due dates 50%on November 1 January 1
50%on February 1
Delinquent as of December 10(for November) August 31
April 10(for February)
Taxes are secured by liens on the property being taxed. The term "unsecured" refers to taxes on personal
property other than land.and buildings. Supplemental property taxes are levied based on changes in
assessed values between the date of real property sales and construction and the'next normal assessment
date.
(e) Encumbrances
Encumbrance accounting, under which purchase orders, contracts and other commitments for the
expenditures of monies are recorded in order to reserve that portion of the applicable appropriation, is
employed by the Agency. Encumbrances outstanding at year-end are reported as a reservation of fund
balance since they do not constitute expenditures or liabilities.
.5
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Notes to.the General-Purpose Financial Statements (Continued)
For the Fiscal Year Ended June 30, 2000
09 Budgetary Data
The budgets of the Agency are primarily long-term project-length budgets which emphasize major
programs and capital outlay plans extending over a number of years. Annual budgetary data is not
presented; as it would not provide a meaningful comparison to actual revenues and expenditures because of
its long-term project-length focus.
(g) Unreserved—Designated Fund Balance
The Agency designates unreserved fund balances in all project areas for capital and housing projects,
except for the Pleasant Hill BART Special Revenue Fund as there is no available fund balance due to
liabilities exceeding its assets.
(!z) Investments
The Agency records investment transactions on the trade date. Investments in nonparticipating interest-
earning investment contracts. (guaranteed investment contracts) are reported at cost, and all other
investments are at fair value. Fair value is defined as the amount that the Agency could reasonably expect
to receive for an investment in a current sale between a willing buyer and seller and is generally measured
by quoted market prices.
(i) Land held for resale
Land acquired by the Agency for future sale is capitalized at cost. Such land is carried at the lower of cost
or estimated net realizable value and is offset by a reservation of fund balance to indicate that the assets do
not constitute available spendable resources.
6) Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles
requires management to make estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of the general-purpose financial
statements and the reported amounts of revenues and expenditures during the reporting period. Actual
results could differ from those estimates.
(k) Total(Memorandum Only) Column
The "Total" column on the general-purpose financial.statements is presented only to facilitate financial
analysis. Data in this column does not present consolidated financial information. Interf ind eliminations
have not been made in the aggregation of this data. .
(3) Cash and Investments
The Agency's cash and investments consist of the following at June 30,2000:
Cash and investments S 46,110,441
Restricted cash and investments 8,941,332
Total cash and investments $ 55,051,773
6
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Notes to the General-Purpose Financial Statements (Continued)
For the Fiscal Year Ended June 30, 2000
As permitted by the Government Code, the Agency directs the County Treasurer to make specific investments
separate from the County pool of investments. Statutes and bond indentures authorize the Agency to invest in
the State Treasurer's Local Agency Investment Fund(LAIF); obligations of the U.S. Treasury or its agencies;
negotiable certificates of deposit; bankers acceptances; commercial paper; mutual funds invested in U.S.
Government securities; and investment agreements in form and substance approved by the Trustee (including
certain guaranteed investment contracts).
The County Treasurer's investment pool,.which encompasses its cash pool, is subject to regulatory oversight by
the Treasury Oversight Committee, as required by the California Government Code Section 27134. The fair
value of the Agency's position in the cash pool is the same as the value of the cash pool shares.
The Local Investment Advisory Board (Board) has oversight responsibility for LAIF. The Board consists of
five members as designated by State Statute. The value of the pool shares in LAIF which may be withdrawn is
determined on the amortized cost basis, which is different from the fair value of the Agency's position in the
pool.
As of June 30, 2000, the Agency's proportionate share of structured notes and asset-backed securities held by
the LAID was $716,353 or 6.228% of the Agency's investment in LAIF. Information is not available on
whether the various mutual funds in which the Agency has invested, used, held, or wrote derivative financial
products during the year ended June 30, 2000.
A summary of the Agency's investments at June 30, 2000 is shown below. For financial reporting purposes,
investments are categorized to give an indication of the level of custodial credit risk assumed by the entity at
year-end. Category 1 includes investments that are insured or registered, or with securities held by the Agency
or its agent in the Agency's name.
Carrying
Amount/Fair
Value
Category 1 investments:
U.S. Government securities $ 10,325,984
Uncategorized cash and investments:
Guaranteed investment contracts 8,546,801
Mutual funds 24,522,870
State Treasurer's Local Agency Investment Fund 11,502,141
County Treasurer's cash pool 153,977
Total cash and investments $ 55,051,773
Under the provisions of the tax allocation bond indentures, a portion of the proceeds were deposited in an
amount required to be held in reserve accounts by the fiscal agent as trustee. These reserve accounts are
reported in debt service funds. As of June 30, 2000, the amount held by the trustee was $4,876,332, which is
equal to or in excess of the amount required at that date.
During the 1999 fiscal year,proceeds from the issuance of the 1999 tax allocation bonds were deposited into an
escrow fund for the. benefit of the.Pleasant Hill BART Project Area. These funds are reported in a capital
projects fund and will be released to the Agency as certain tax increment to debt service ratios are met. Any
funds not released as of June 15, 2002, due to deficient tax increment, will be used to refund certain bonds. As
of June 30, 2000,the amount held by the trustee was$4,065,000.
7
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Notes to the General-Purpose Financial Statements (Continued)
For the Fiscal Year Ended June 30, 2000
(4) Notes Receivable
A summary of notes receivable,by project, in the Special Revenue Funds at June 30, 2000 is shown below. In
addition there is an additional note receivable in the Oakley Capital Project Fund in the amount of$1,259,724.
Capital Special
Projects Fund Revenue Funds
Coggins Square Apartments $ - $ 350,000
Parkway Estates - 733,000
North Richmond Senior Housing Project - 581,660
Golden Oak Manor - 780,000
Oakley Main Street/Silver Oak Apartments - 473,426
Oakley Senior Housing 1,259,724 540,276
Rodeo Senior Housing Project - 75,000
$ 1,259,724 $ 3,533,362
(5) Advances from Contra Costa County
The outstanding advance of$3,230,508 in the Pleasant Hill BART Special Revenue Fund was made for the
purchase of land and subsequent repayment of a note payable related to that land. The advance bears interest at
3% per annum, which was $63,985 for the current year. Repayment of these advances will be made when
sufficient tax increment funds become available.
The outstanding advance of$575,948 in the North Richmond Special Revenue Fund was originally made for
specific project costs related to the North Richmond Senior Center, and increased by another $251,000 during
the year due to the final drawdown. The advance bears interest at 3%per annum, which was $13,120 for the
current year. Repayment of this advance will be made when sufficient tax increment funds become available.
The outstanding advance of$776,995 in the North Richmond Capital Projects Fund was originally made for
specific project costs related to the North Richmond Commercial Center Project, and increased by $70,036
during the year. The advance bears interest at 3% per annum, which was $27,154 for the current year.
Repayment of this advance will be made when sufficient tax increment funds become available.
Advances from the County recorded in the General Long-Term Obligations Account Group at June 30, 2000
represent $251,620 received originally to finance operations and improvements not associated with specific
projects. Repayment of these advances will be made when sufficient.tax increment funds become available.
During the year, a repayment of$250,000 was made from the Pleasant Hill BART Capital Projects Fund.
The pledge of tax increment funds to'the County is subordinated to any such pledge of funds that the Agency
makes in connection with the sale of bonds,notes or similar Agency obligations.
8
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Notes to the General-Purpose Financial Statements.(Continued)
For the Fiscal Year Ended June 30, 2000
(6) Long-Term Obligations
Changes in long-term obligations for the year ended June 30,2000 is presented below:
Balance, Balance,
July 1, 1999 Retirements June 30,2000
Advances from the County $ 501,620 $ 250,000 $ 251,620
Tax Allocation Bonds:
1992 Series A 7,860,000 135,000 7,725,000
1995 Series A 1,580,000 25,000 1,555,000
1995 Series B 2,655,000 40,000 2,615,000
1999 Series A 44,615,000 360,000 44,255,000
Total $57,211,620 $ 810,000 $ 56,401,620
On May 15, 1992, the Authority, on behalf of the Agency, issued $29,315,000 in Tax Allocation Revenue
Bonds with an average interest rate of 7.02%. The proceeds were used to fund on-going project expenditures
and to defease certain tax anticipation notes, which have since been retired. Principal and interest is due
annually each August 1 and matures on August 1,2023.
On July 17, 1995, the Association of Bay Area Governments, on behalf of the Agency, issued $1,645,000 in
Tax Allocation Bonds, Series A, with an average interest rate of 6.41% to fund expenditures for the North
Richmond Project Area. Principal is paid annually on August 1 and matures on August 1,2025.
On December 21; 1995 the Authority, on behalf of the Agency, issued$2,735,000 in Tax Allocation Bonds,
Series B, with an average interest rate of 6.66% to fund expenditures for the Bay Point Project Area. Principal
is paid annually August 1 and matures on August 1,2025.
On May 1, 1999, the Authority, on behalf of the Agency, issued $44,615,000 of Tax Allocation Bonds with
interest rates ranging from 4.00%to 5.125%to finance the acquisition and construction of certain public capital
improvements throughout the Agency. A portion of the proceeds were used to partially defease the 1992 Tax
Allocation Revenue Bonds by the Agency purchasing securities and placing such securities in an irrevocable
trust with an escrow agent to provide for all future debt service payments on the 1992 Tax Allocation Revenue
Bonds. Accordingly, the securities held in escrow and the corresponding liability for the defeased bonds have
been removed from the general-purpose financial statements. On June 30, 2000, the 1992 Tax Allocation
Bonds considered defeased have an outstanding balance of$13,155,000. Principal is due annually each August
1 and matures on August 1,2014.
The schedule of debt service requirements to maturity for the bonds payable, excluding advances from Contra
Costa County, is presented as follows:
June 30:
2001 $. 3,830,714
2002 3,838,496
2003 3,906,882
2004 3,910,870
.2005 3,906,568
Thereafter 92,812,522
Total debt service 112,206,052
Less amounts representing interest (56,056,052)
Total principal outstanding $ 56,150,000
9
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Notes to the General-Purpose Financial Statements (Continued)
For the Fiscal Year Ended June 30, 2000
There are a number of limitations and restrictions contained in the various bond indentures. The Agency
believes it is in compliance with all significant limitations and restrictions.
('n Deficit Fund Balance
At June 30, 2000,the Pleasant Hill BART Special Revenue Fund had a deficit fund balance of$2,470,904.This
deficit is expected to be cured through the collection of future tax increment revenue.
(8) Relationship with Contra Costa County
The Agency and the County are closely related but separate legal entities. The Agency does not have any
employees and does not have facilities separate from the County. Therefore, a portion of the Agency's
expenditures represents services provided to the Agency by the County. In addition, the County performs
project improvements, provides administrative services for projects, and provides operating transfers and
advances. For the year ended June 30, 2000, the Agency paid approximately $1.,989,650 to the County for
project improvements and administrative services incurred by the Agency.
(9) Fiscal Agreement Pass-throughs
The Agency has property tax pass-through agreements with various taxing agencies in existence when the
Agency was formed. Under these agreements, the Agency passes through to these various taxing agencies, a
portion of the property tax increments it would otherwise have received. In fiscal 2000, the County passed
through increments totaling$836,538 directly to these agencies.
(10)Commitments and Contingencies
The Agency is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets;
errors and omissions; and natural disasters. The Agency is included as part of the County's self-insurance
program for public liability. As such, the Agency is obligated to reimburse the County for the unfavorable
outcome of any claims paid on behalf of the Agency. At June 30, 2000, there are no significant claims
outstanding in the self-insurance program for which the Agency is obligated. There have been no claims during
the past three years that have exceeded excess insurance coverage.
10
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Capital Projects Funds
Combining Balance Sheet
June 30, 2000
Pleasant
Hill Bay North
BART Point Richmond Oakley Rodeo _ Total
ASSETS
Cash and investments $ 21,672;433 $ 5,651,837 $ 2,367,467 $ 6,624,501 $2,404,199 $38,720,437
Restricted cash and investments 4,065,000 - - - - 4,065,000
Accounts receivable 66,872 - - 563 563 67,998
Due from Contra Costa County - 16,740 1,302 834 6,769 25,645
Due from other funds - - 96,691 - - 96,691
Land held for resale - - - 1,848,891 - 1,848,891
Notes receivable - - - 1,259,724 - 1,259,724
Total assets $ 25,804,305 $ 5,668,577 $ 2,465,460 $ 9,734,513 $2,411,531 $46,084,386
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable and
accrued liabilities $ 10,466 $ 52,101 $ 2,380 $ 11,188 $ 6,014 $ 82,149
Due to Contra Costa County 23,623 56,135 137,097 38,836 66,139 321,830
Due to other funds - 96,691 - - - 96,691
Accured interest - - - - - -
Deferred revenue 61,875 - - 1,259,724 - 1,321,599
Advances from Contra Costa County - - 776,995 - 776,995
Total liabilities 95,964 204,927 916,472 1,309,748 72,153 2,599,264
Fund balances:
Reserved for:
Encumbrances 10,427 26,979 25,191 - 16,139 78,736
Land held for resale - - - 1,848,891 - 1,848,891
Unreserved:
Designated 25,697,914 5,436,671 1,523,797 6,575,874 2,323,239 41,557,495
Total fund balances 25,708,341 5,463,650 1,548,988 8,424,765 2,339,378 43,485,122
Total liabilities and fund balances $ 25,804,305 $ 5,668,577 $ 2,465,460 $ 9,734,513 $2,411,531 $46,084,386
11
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Capital Projects Funds
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
For the Fiscal Year Ended June 30, 2000
Pleasant
Hill Bay North
BART Point Richmond Oakley Rodeo Total
Revenues:
Property tax increment $ 1,053,784 $ 552,621 $ 117,846 $ 717,944 $ 271,330 $ 2,713,525
Aid from other governmental agencies - 4,749 - - - 4,749
Use of money and property 1,328,338 237,060 101,830 325,582 89,952 2,082,762
Other revenue 39,242 - - 64 - 39,306
Total revenues 2,421,364 794,430 219,676 1,043,590 361,282 4,840,342
Expenditures:
Current:
General administration 195,707 156,088 125,179 313,899 115,775 906,648
Fiscal agreement:pas sthroughs 179,727 204,423 - 328,653 123,735 836,538
County administration fee 32,414 9,111 5,299 13,112 4,298 64,234
Operation and
management of property 14,405 2,423 1,328 16,954 1,525 36,635
Capital outlay:
Project improvements 177,987 830,972 155,570 1,318,368 50,437 2,533,334
Professional services 128,311 54,929 40,922 42,435 21,277 287,874
Debt service:
Principal repayment 250,000 - - - - 250,000
Interest and fiscal charges - - 27,154 - - 27,154
Total expenditures 978,551 1,257,946 355,452 2,033,421. 317,047 4,942,417
Excess(deficiency).of revenues
over(under) expenditures, 1,442,813 (463,516) (135,776) (989,831) 44,235 (102,075)
Other financing uses:
Operating transfers out (150,906) - - (60,773) - (211,679)
Total other financing uses (150,906) - - (60,773) - (211,679)
Excess (deficiency) of revenues
over(under)expenditures
and other financing uses 1,291,907 .(463,516) (135,776) (1,050,604) 44,235 (313,754)
Fund balances, beginning of year 24,416,434 5,927,166 1,684,764 • 9,475,369 2,295,143 43,798,876
Fund balances, end of year $ 25,708,341 $ 5,463,650 $ 1,548,988 $ 8,424,765 $2,339,378 $ 43,485,122
12
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Special Revenue Funds
Combining Balance Sheet
June 30, 2000
Pleasant
Hill Bay North
BART Point Richmond. Oakley Rodeo Total
ASSETS
Cash and investments $ 757,018. . $ 2,755,447 $ 652,494 $ 134,642 $ 1,097,896 $ 5,397,497
Due from Contra Costa County 2,586 - 114,425 - - 117,011
Due from other funds - - 13,963 - - 13,963
Prepaid items and deposits - - 6,817 - - 6,817
Land held for resale - 189,460 - - - 189,460
Loans Receivable 3509000 - 1',314,660 1,793,702 75,000 3,5339362
Total assets $ 1,109,604 $ 2,9449907 $ 2,102,359 $ 1,928,344 $ 1,172,896 $ 9,258,110
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable and
accrued liabilities $ $ - $ - $ 2,500 $ 369584 $ 39,084
Due to Contra Costa County 108 239144 84 67 23,403
Deferred revenue 3509000 - 1,314,730 1,793,702 759000 3,533,432
Due to other funds - 13,963 - - - 13,963
Advances from Contra Costa County 3,230,508 - 575,948 - 3,806,456
Total liabilities 3,5809508 14,071 1,913,822 1,796,286 111,651 T416,338
Fund balances (deficit):
Reserved for:
Land held for resale - 189,460 - - 189,460
Prepaid expenses and deposits - - 6,814 - - 6,814
Unreserved:
Designated - 2,741,376 181,723 132,058 19061,245 4,116,402
Undesignated deficit (2;470,904) - - - - (2,470,904)
Total fund balances(deficits) (2,470,904) 29930,836 188,537 132,058 1,061,245 1,841,772
Total liabilities and fund
balances.(deficit) $ 1,109,604 $ 2,944,907 $ 2,102,359 $ 1,928,344 $ 19172,896 $ 9,258,110
13
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Special Revenue Funds
Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficit)
For the Fiscal Year Ended June 30, 2000
Pleasant
Hill Bay North .
BART Point Richmond Oakley Rodeo Total
Revenues:
Property tax increment $ 672,108 $ 222,305 $ 100,808 $ .288,701 $ 103,627 $ 1,387,549
Aid from other governmental agencies. - 26,250 - - 138,000 164,250
Use of money and.property 36,769 112,947 23,860 17,153 34,387 225,116
Total revenues 708,877 361,502 124,668 305,854 276,014 1,776,915
Expenditures:
Current:
General administration 254 330 97 217 130 1,028
County administration fee 8,104 2,277 1,325 3,236 1,075 16,017
Operation and
management of property - - - 101,083 101,083
Capital outlay:
Purchase of property - 11,000 - - - 11,000
Project improvements 553,150 134,525 - 542,776 - 1,230,451
Debt service:
Interest and fiscal charges 63,985 - 13,120 - - 77,105
Total expenditures 625,493 148,132 14,542 546,229 102,288 1,436,684
Excess (deficiency) of revenues
over (under) expenditures 83,384 213,370 110,126 (240,375) 173,726 340,231
Other rmancing sources (uses):
Operating transfers in - - - 60,773 - 60,773
Operating transfers out - (43,395) (60,522) (39,621) (33,882) (177,420)
Total other financing sources (uses) - (43,395) (60,522) 21,152 (33,882) (116,647)
Excess (deficiency) of revenues and other
financing sources over(under)
expenditures and other financing uses 83,384 169.,975 49,604 (219,223) 139,844 223,584
Fund balances (deficit), beginning of year (2,554,288) 2,760,861 138,933 351,281 921,401 1,618,188
Fund balances (deficit), end of year $(2,470,904) $ 2,930,836 $ 188,537 $. 132,058 $ 1,061,245 $ 1,841,772
14
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Debt Service Funds
Combining Balance Sheet
June 30, 2000
Pleasant
Hill Bay North
BART Point Richmond Oakley Rodeo Total
ASSETS
Cash and investments $ 1,131,030 $ . 313,443 $ 199,449 $ 280,008 $ 68,577 $ 1,992,507
Restricted cash and investments 2,550,831 1,081,177 512,563 507,061 224,700 4,876,332
Accrued investment income 45,277 23,943 10,428 11,902 5,274 96,824
Total assets $ 3,727,138 $ 1,418,563 $ 722,440 $ 798,971 $ 298,551 $ 6,965,663
LIABILITIES AND FUND BALANCES
Liabilities:
Accrued payable and
accrued liabilities $ 61,292 $ 2,049 $ 2,049 $ 2,049 $ 2,049 $ 69,488
Due to Contra Costa County 133 60 141 - 25 359
Accrued interest 688,624 237,829 122,696 157,102 68,649 1,274,900
Total liabilities 750,049 239,938 124,886 159,151 70,723 1,344,747
Fund balances:
Reserved for debt service 2,977,089 1,178,625 597,554 639,820 227,828 5,620,916
Total liabilities and fund balances $ 3,727,138 $ 1,418,563 $ 722,440 $ 798,971 $ 298,551 $ 6,965,663
15
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Debt Service Funds
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
For the Fiscal Year Ended June 30, 2000
Pleasant
Hill Bay North
BART Point Richmond Oakley Rodeo Total
Revenues:
Property tax increment $ 1,634,647 $ 336,598 $ 285,388 $ 436,861 $ 143,178 $2,836,672
Use of money and property. 174,629 81,509' 32,523 31,224 12,923 332,808
Total revenues 1,809,276 418,107 317,911 468,085 156,101 3,169,480
Expenditures:
Current:
General administration 602 3,901 5,379 26 1,273 11,181
Debt service:
Principal repayment 260,000 130,000 65,000 105,000 - 560,000
Interest on bonds and notes 1,768,129 577,188 297,641 383,092 167,207 3,193,257
Total expenditures 2,028,731 711,089 368,020 488,118 168,480 3,764,438
Deficiency of revenues
over expenditures (219,455) (292,982) (50,109) (20,033) (12,379) (594,958)
Other financing sources:
Operating transfers in 151,186 43,395 60,522 39,621 33,882 328,606
Operating transfers out - (129) - (151) - (280)
Total other financing sources (uses): 151,186 43,266 60,522 39,470 33,882 328,326
Excess (deficiency) of revenues and other
financing sources over (under)
expenditures (68,269) (249,716) 10,413 19,437 21,503 (266,632)
Fund balances, beginning of year 3,045,358 1,428,341 587,141 620,383 206,325 5,887,548
Fund balances, end of year $ 2,977,089 $ 1,178,625 $ 597,554 $ 639,820 $ 227,828 $ 5,620,916
16
• CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
Statement of Changes in General Long-Term Obligations Account Group
For the Fiscal Year Ended June 30, 2000
Balance Balance
July 1., 1999 Additions Deletions June 30, 2000
Pleasant Hill BART:
1992 Tax Allocation Bonds $ 7,860,000 $ - $ 135,000 $ 7,725,000
1999 Tax Allocation Bonds 21,675,000 - 125,000 21,550,000
Advance from Contra Costa County 414,337 - 250,000 164,337
29,949,337 - 510,000 29,439,337
Bay Point:
1995-B Tax Allocation Bonds 2,655,000 - 40,000 2,615,000
1999 Tax Allocation Bonds 8,030,000 - 90,000 7,940,000
10,685,000 - 130,000 10,555,000
North Richmond:
1995-A Tax Allocation Bonds 1,580,000 - 25,000 1,555,000
1999 Tax Allocation Bonds 3,970,000 - 40,000 3,930,000
Advance from Contra Costa County 87,283 - - 87,283
5,637,283 - 65,000 5,572,283
Oakley:
1999 Tax Allocation Bonds 7,645,000 - 105,000 7,540,000
Rodeo:
1999 Tax Allocation Bonds 3,295,000 - - 3,295,000
Total long-term obligations $ 57,211,620 $ - $ 810,000 $ 56,401,620
17
Mt. Diablo Plaza
Kenneth A. Macias,Managing Partne-1, 2175 N.California Boulevard
Ernest J.Gini Suite 620
Kevin 1.O'Connell IM-11JILIt Creek,CA 94596-3565
Macias,Gini&Company -,.p Richard A.Green
Certified Public Accountants and 925.274-0190
Management Consultants . . Jan A.Rosati 92-5.274-3819 FAX
James V.Godsev
Directors of the
Contra Costa County Redevelopment Agency
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE AND ON INTERNAL
CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF
GENERAL-PURPOSE FINANCIAL STATEMENTS PERFORMED IN
ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
We have audited the general-purpose financial statements of the Contra Costa County Redevelopment Agency,
California (the Agency), a component unit of the County of Contra Costa, California, as of and for the year ended
June 30, 2000, and have issued our report thereon dated Audit November 22, 2000. We conducted our audit in
accordance with generally accepted auditing standards and the standards applicable to financial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United States.
Compliance
As part of obtaining reasonable assurance about whether the Agency's general-purpose financial statements.are free
of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations and
contracts and grants, noncompliance with which could have a direct and material effect on the determination of
general-purpose financial statement amounts. Such provisions include those provisions of laws and regulations
identified in the'.Guidelines for Compliance Audits of California Redevelopment Agencies, issued by the State
Controller and is interpreted in the Suggested Auditing Procedures for Accomplishing Compliance Audits of
California Redevelopment.Agencies, issued by the Governmental Accounting and Auditing Committee of the
California Society of Certified Public Accountants. However, providing an opinion on compliance with those
provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our
tests disclosed no instances of noncompliance that are required to be reported under Government Auditing
Standards...
Internal Control Over Financial Reporting
In planning and performing our audit, we considered the Agency's internal control over financial reporting in order
to determine our auditing procedures for the purpose of expressing our opinion on the general-purpose financial
statements and not to provide assurance on the internal control over financial reporting. Our consideration of the
internal control over financial reporting would not necessarily disclose all matters in the internal control over
financial reporting that might be material weaknesses. A material weakness is a condition in which the design or
operation of one or more of the internal control components does not reduce to a relatively low level the risk that
misstatements in amounts that would be material in relation to'the general-purpose financial statements being
audited may occur and not be detected within a timely period by employees in the normal course of performing their
assigned functions. We noted no matters involving the internal control over financial reporting and its operation
that we consider to be material weaknesses.
uFFICE LOCA]10NI.)
Sacramento [-.o,, Angeles Fresno San Francisco Bay Area
19
This report is intended solely for the information and use of the members of the Agency's Board of Directors,
management, and the State Controller and is not intended to be and should not be used by anyone other than these
specified parties.
Certified Public Accountants
Walnut Creek,California
November 22,2000
19