Reso 2011-053 Attachment - Laserfiche WebLink

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Proprietary funds provide the same type of information as the government -wide financial statements, only in more detail. Like the government -wide financial statements, proprietary fund financial statements use the accrual basis of accounting. There is no reconciliation needed between the government -wide financial statements for business -type activities and the proprietary fund financial statements. The basic proprietary fund financial statements can be found on pages 36 through 38 of this report. Fiduciary Funds — Fiduciary funds, which consist solely of trust and agency funds, are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government -wide financial statements because the resources of those funds are not available to support the City's own programs. The fiduciary funds statement of net assets can be found on page 40. Notes to the Basic Financial Statements The notes to the basic financial statements provide additional information that is essential to a full understanding of the data provided in the government -wide and fund financial statements. The notes to the financial statements can be found on pages 43 through 83 of this report. Other Information In addition to the basic financial statements and accompanying notes, this report also presents certain required supplemental information. This information includes budgetary comparison schedules, as well as more detailed information about the City's participation in the California Public Employees Retirement System (Ca1PERS) defined benefit pension plan. The combining statements referred to in connection with non -major governmental funds and internal service funds are presented immediately following the required supplemental information on pages 85 through 88 of this report. GOVERNMENT -WIDE FINANCIAL ANALYSIS Net Assets. As noted earlier, net assets may serve over time as a useful indicator of a government's financial position. In the case of the City, total assets exceeded liabilities by $334.7 million at the close of the fiscal year. By far the largest portion of the City's net assets (86.1%) reflects its investment in capital assets (e.g., infrastructure, land, buildings, machinery, and equipment), less any outstanding related debt used to acquire those assets. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay must be provided from other sources i.e. future income, since the capital assets themselves cannot be used to liquidate these liabilities. An additional portion of the City's net assets, 9.4% represents resources that are subject to external restriction on how they may be used. The remaining balance of $14.9 million or 4.5% represents unrestricted net assets. 16.