HomeMy WebLinkAbout111720-07.1 CAFRk
110,
FR.
AW Aw-
TOWN OF DANVILLE, CALIFORNIA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For the Fiscal Year Ended June 30, 2020
TOWN COUNCIL
Karen Stepper, Mayor
Lisa Blackwell, Vice Mayor
Newell Arnerich, Councilmember
Renee Morgan, Councilmember
Robert Storer, Councilmember
TOWN MANAGER
Joseph A. Calabrigo
Prepared by the
Finance Division
Lani Ha, Finance Manager/Treasurer
Danville, CA
(Cover Photo - by Engineering Division)
This page intentionally left blank.
Town of Danville
Comprehensive Annual Financial Report
For the Year Ended June 30, 2020
Table of Contents
INTRODUCTORY SECTION (Unaudited)
Page
Letterof Transmittal..........................................................................................................................................................i
OrganizationalChart ...................................................................................................................................................... xii
Directory of Public Officials ........................................................................................................................................ xiii
Certificate of Achievement for Excellence in Financial Reporting —
Government Finance Officers Association................................................................................................................xiv
Statementof Purpose......................................................................................................................................................xv
FINANCIAL SECTION
Independent Auditors' Reports:
Report on Financial Statements .................
1
Report on Internal Control Over Financial Reporting and on Compliance and
Other Matters Based on an Audit of Financial Statements Performed in
Accordance with Government Auditing Standards.............................................................................................3
Management's Discussion and Analysis (Required Supplementary Information) (Unaudited) .............................5
Basic Financial Statements:
Government -Wide Financial Statements:
Statementof Net Position...........................................................................................................................18
Statementof Activities................................................................................................................................19
Fund Financial Statements:
Governmental Fund Financial Statements:
BalanceSheet.............................................................................................................................................26
Reconciliation of the Governmental Funds Balance Sheet
to the Government -Wide Statement of Net Position.............................................................................29
Statement of Revenues, Expenditures and Changes in Fund Balances.......................................................30
Reconciliation of the Governmental Funds Statement of Revenues,
Expenditures and Changes in Fund Balances to the Government -Wide
Statementof Activities.........................................................................................................................32
Fiduciary Fund Financial Statements:
Statement of Fiduciary Net Position............................................................................................................36
Statement of Changes in Fiduciary Net Position.........................................................................................37
Index to Notes to the Basic Financial Statements....................................................................................................40
Notes to the Basic Financial Statements...................................................................................................................41
Town of Danville
Comprehensive Annual Financial Report
For the Year Ended June 30, 2020
Table of Contents (Continued)
FINANCIAL SECTION (Continued)
Required Supplementary Information (Unaudited):
Budgetary Information.....................................................................
Budgetary Comparison Schedules:
GeneralFund.......................................................................
Lighting and Landscaping Special Revenue Fund ..............
Regional Traffic Impact Fees Special Revenue Fund .........
Modified Approach for Town Street Infrastructure Capital Assets..
Supplemental Information:
Non -Major Governmental Funds:
Page
............................................... 70
......................................................................
71
......................................................................
72
......................................................................
73
......................................................................
74
CombiningBalance Sheet..................................................................................................................................83
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances............................................89
Schedule of Revenues, Expenditures and Changes in Fund Balance — Budget and Actual:
PEGSpecial Revenue Fund.........................................................................................................................94
GasTax Special Revenue Fund..................................................................................................................95
Building and Planning Special Revenue Fund............................................................................................96
Development Engineering Special Revenue Fund......................................................................................
97
ChildCare Special Revenue Fund...............................................................................................................98
Stormwater Pollution Control Program (SPCP) Special Revenue Fund.....................................................99
Measure C/J Special Revenue Fund..........................................................................................................100
Donations and Contributions Special Revenue Fund................................................................................101
General Development Impact Fees Special Revenue Fund.......................................................................102
Public Safety Special Revenue Fund.........................................................................................................103
Old Town Parking In -Lieu Special Revenue Fund...................................................................................104
Solid Waste Vehicle Impact Fee Special Revenue Fund..........................................................................105
Low and Moderate Income Housing Special Revenue Fund....................................................................106
Agency Funds:
Combining Statement of Changes in Assets and Liabilities......................................................................107
Town of Danville
Comprehensive Annual Financial Report
For the Year Ended June 30, 2020
Table of Contents (Continued)
STATISTICAL SECTION (Unaudited)
Financial Trends:
Page
NetPosition by Component...............................................................................................................................110
Changesin Net Position.....................................................................................................................................112
Governmental Activities Tax Revenues by Source............................................................................................117
Fund Balances of Governmental Funds.............................................................................................................118
Changes in Fund Balances of Governmental Funds..........................................................................................120
Revenue Capacity
AssessedValue...................................................................................................................................................123
Direct and Overlapping Property Tax Rates.......................................................................................................124
Property Tax Levies and Collections.................................................................................................................125
Debt Capacity:
Ratios of Outstanding Debt by Type..................................................................................................................126
Ratios of General Bonded Debt Outstanding......................................................................................................127
Direct and Overlapping Governmental Activities Debt......................................................................................128
PrincipalProperty Taxpayers..............................................................................................................................129
LegalDebt Margin Information......................................................................................................................... 130
Pledged -Revenue Coverage................................................................................................................................132
Demographic and Economic Information:
Demographic and Economic Statistics..............................................................................................................133
Principal Employers in the Town of Danville....................................................................................................134
Operating Information:
Full -Time Equivalent Town Government Employees by Function................................................................... 135
OperatingIndicators by Function......................................................................................................................136
Capital Asset Statistics by Function....................................................................................................................137
This page intentionally left blank.
INTRODUCTORY SECTION
(Unaudited)
This page intentionally left blank.
November 17, 2020
Mayor and Town Council
Town of Danville
Subject: Fiscal Year 2019/20 Comprehensive Annual Financial Report
"Small Town Atmosphere
Outstanding Quality of Life"
The Comprehensive Annual Financial Report (CAFR) of the Town of Danville for the fiscal
year (FY) ended June 30, 2020, is submitted in compliance with laws of the State of California
and as prescribed by the Government Accounting Standards Board (GASB) Statement 34.
This report was prepared by the Town of Danville Finance Department, and the
responsibility for the accuracy of the data and the completeness and fairness of the
presentation, including all disclosures, rests with the Town. To the best of our knowledge,
the data included in the report is accurate in all material respects and is reported in a manner
designed to present fairly the financial position and results of operations of the various
funds of the Town. All disclosures necessary to enable the reader to gain an understanding
of the Town's financial activities have been included.
The CAFR represents the culmination of all budgeting and accounting activities of the Town
during FY 2019/20.
GENERAL INFORMATION ABOUT THE TOWN OF DANVILLE
Incorporated in 1982, Danville is located in Contra Costa County, approximately 30 miles
east of San Francisco and lies in the center of the San Ramon Valley. The Town comprises
18.5 square miles and has 44,626 residents.
Danville began as a small rural village during the 1850s. The first post office was established
in 1860. Although the Town is suburban, it still retains its small-town character. Older well-
maintained neighborhoods coexist with new subdivisions and their modern amenities. The
community enjoys natural creeks, hiking and biking trails, and dedicated open space. Mt.
Diablo, at an elevation of 3,849 feet, rises to the east and Las Trampas Regional Wilderness,
elevation 2,049 feet, creates the Town's western boundary.
Danville's primary commercial district lies in the center of the community and offers
resident -serving commercial businesses, boutique shopping, and fine dining. The Old
Town area is the historical center of the Town. It is a source of pride to our residents and is
510 LA GONDA WAY, DANVILLE, CALIFORNIA 94526
Administration Building Engineering & Planning Transportation Maintenance Police Parks and Recreation
(925)314-3388 (925)314-3330 (925)314-3310 (925)314-3320 (925)314-3450 (925)314-3700 (925)314-3400
the site of many holiday and special events which attract visitors throughout the year from
around the Bay Area. While Danville has remained residential, neighboring cities have
developed job centers including major commercial and light industrial business parks
located within minutes from the Town.
The Town operates under the Council -Manager form of government and is governed by a
five -member Town Council elected at large and serving staggered four-year terms. Council
elections are held in November of even -numbered years. The Town Manager and the City
Attorney are appointed by the Town Council. The Town Manager appoints all Department
Directors and through them all other employees of the Town.
Areas of service delivery for the Town include General Government, Police Services,
Administrative Services, Development Services, Maintenance Services and Recreation, Arts
and Community Services. The Town contracts with the Contra Costa County Sheriff's
Office to provide police services. Additional services are provided by other agencies: fire
service by the San Ramon Valley Fire Protection District, water service by the East Bay
Municipal Utility District, wastewater service by the Central Contra Costa Sanitary District,
and primary and secondary education by the San Ramon Valley Unified School District.
The Town also contracts with private companies and individuals to provide portions of its
building inspection and recreation and maintenance services.
REPORTING ENTITY
A preliminary step in preparing the CAFR for the Town was the identification of the
reporting entity. In accordance with Government Accounting Standards Board Statement
No. 14, related governmental entities were evaluated to determine if the Town was
financially accountable for its operations. This report includes all fund types and account
groups of the Town of Danville.
The former Community Development Agency (CDA) of the Town of Danville was dissolved
by AB x126 on January 31, 2012. As a result, all assets and debt liabilities of the former CDA
were transferred to a Fiduciary Trust Fund, the Successor Agency (SA) to the former
Community Development Agency of the Town of Danville, in FY 2011/12. On June 27,
2012, cleanup legislation AB 1484 was passed and directed that the Low and Moderate
Income Housing assets be transferred from the SA to the Town. The SA does not meet the
definition of a "component unit," and its financial activities and assets are therefore not
included in the Town's financial statements. Although the SA is legally a separate entity,
the governing board of the SA has the same membership as the Town Council. The Town
is responsible for day-to-day activities, including the ability to appoint, hire, reassign or
dismiss management. An Oversight Board consisting of seven members was appointed to
the SA for the purpose of overseeing the dissolution and winding down of the CDA. The
Town of Danville Financing Authority (a joint powers authority of the Town of Danville
and the former CDA) is not included as a component unit since it is financially independent.
11
ECONOMIC CONDITION AND OUTLOOK
Current Economic Condition
As of June 30, 20120, the Town of Danville's financial condition continues to be sound. An
indicator of the Town's financial condition is the level of fund balance, reserved and
unreserved, in its Governmental Funds, which include General, Special Revenue, Debt
Service and Capital Projects. The Town has a policy of retaining a minimum of 20% of the
coming year's operating expenditures as an operating reserve against the General Fund
fund balance. As of June 30, 20120, $12,309,768 or 35.87% is designated for this purpose.
Additional reserves against the General Fund include various future operating costs,
including General Fund purchase order encumbrance carryovers; reserves for Certificate of
Participation debt issued by the Town in 2001 and 2005; a contingency for unforeseen
expenditures; compensated absences/ personnel; reward funds to help recover Town
property; a reserve for the receivable for the funds loaned to the former CDA and funds to
be used for maintenance of Town's rental property. An additional $3,585,005 has been
designated as a transfer to the Capital Improvement Program Project Fund.
The Town's conservative Investment Policy and practices continue to protect the principal
of the Town's investment portfolio. The Town's portfolio is invested in U.S. Treasury bonds;
U.S. Agency bonds; the State of California's pooled fund; LAIF; and U.S. Corporate Notes
with ratings of AA- or higher.
The total General Fund fund balance of $26,574,948 represents 112.80% of total FY 2019/20
General Fund operating expenditures and 77.24% of operating expenditures from all funds.
Additionally, the Town has $28,763,532 of Special Revenue funds, and $34,072,908 in Capital
Projects funds.
The Town's five largest revenue sources account for 78.46% of all Town revenues. These
include Property Tax providing 38.63% of revenues; Sales Tax providing 13.84%; Other
Taxes providing 11.38%; Special Assessments providing 8.66% and Development Impact
Fees providing 5.96% of revenues.
Property Tax increased by $670,628 (4.37%) compared to FY 18-19, as assessed values were
increased and the median sales price for a single family residential home increased.
Revenue trends from the past four years illustrate strong growth in assessed valuation.
December 31, 2015 marked the sunset of the sales tax for property tax swap known as "the
triple flip" that was enacted by the passage of Proposition 57 in 2004.
Charges for Services decreased by $845,770 (29.50%), reflecting a decrease in Recreations
classes due to the pandemic, Building and Planning fees, and a slight decrease in
Development Engineering fees.
Sales Tax decreased $384,274 (6.27%) due to the pandemic. Other Taxes and
Intergovernmental Fund Revenues increased a net of $411,893 (9.56%), reflecting higher
iii
revenues from Gas Tax and SPCP, offset with decrease from Regional Traffic Impact Fees
and Measure J funds. LLAD Special Assessments remained essentially flat.
The decrease in Development Fees of $1,815,328 (42.35%), reflects a decrease in the
permitting activity.
Danville's jobless rate as of June 2020 was 10.0 % as compared to 11.1 % nationwide, 15.1 %
in California, and 13.4% in Contra Costa County.
Outlook for the Future
The Town uses a multi-year financial planning process that includes estimates of future
revenue and operating expenditure growth as well as capital needs to be financed from all
funds over the next 10 years. The annual update of this model, the 2020/21 Operating
Budget and Capital Improvement Program, was completed in May 2020 and adopted on
June 16, 2020. General Fund revenues are projected to decrease 11.55% from FY 2019/20 to
FY 2020/21, largely attributable to a 22.20% decrease in sales tax, and a 47.55% decrease in
Recreations. Special Purpose revenues are projected to decrease 14.52%, mostly due to a
decrease in 19.20% in Building and Planning revenue, decrease in Gas Tax and Measure J,
and slight increase or no increase in other Special Revenues funds.
Looking forward 10 years, General Purpose revenues are projected to decrease 11.55% in FY
2020/21 and an average increase of 2.37% thereafter. Special Purpose revenues are projected
to decrease 14.52% in FY 2020/21, and an average increase of 2.94% through FY 2029/30.
The 10 -year projection includes cost increases that average 2.8% annually, reflecting
anticipated adjustments to service demands as well as changes in the Consumer Price Index.
The Town continues to evaluate the impact of current decisions on the long term fiscal
stability of the Town.
By FY 2021/22, all four zones in the Lighting and Landscape Assessment District will
require General Fund subsidies, or an increase in assessments, in order to maintain current
service levels.
Despite the passage of Senate Bill 1- The Road Repair and Accountability Act of 2017, which
significantly increased the local streets and roads funds allocated back to Danville, Gas Tax
revenues alone will not support all of the costs associated with maintaining the Town's street
system over the next 10 years. Additional General Purpose and Special Purpose revenue
resources, will continue to be needed to maintain the current Pavement Condition Index
(PCI) and street maintenance service levels.
Furthermore, the Town's Capital Improvement Program will continue to require an annual
infusion from the General Fund and other available resources in order to maintain the
Town's practice of paying cash for capital projects.
iv
The Town's current funding of service delivery, capital projects, local streets and roads and
long-term fiscal health depends on continued growth of the economy and avoidance of
further negative fiscal actions by the State. The dissolution of the former Community
Development Agency continues to have a major negative impact on the Town by
eliminating a major annual funding source for downtown improvements. While the Town
will be repaid $6.2 million in funds owed by the former Community Development Agency
through annual payments, further action from the State could adversely affect the Towri s
fiscal condition.
Additional financial information on the Town of Danville is provided in The Management
Discussion and Analysis (MD&A). The Transmittal letter and MD&A are intended to
provide complementary information to each other.
MAJOR ACCOMPLISHMENTS AND INITIATIVES
For Fiscal Year 2019/20
Major events took place in the Town during FY 2019/20 that had or will have significant
financial effects on the Town in the years to come. The Town:
1. Received the distinction of "Safest City in California" with a population of 50,000 or
less, in 2020, for the third year in a row by Safewise, an independent review website.
2. Installed upgraded Automated License Plate Reader (ALPR) cameras to replace
aging equipment with an increase from 13 locations to 23 and a 30% reduction in
annual costs resulting in an estimated savings of $150,000 over the next five years.
3. Completed the sale of 115-125 Hartz Avenue property, as shown under "Proceeds
from sale of property"on page 30.
4. Completed purchase of the $12.6 million 500 La Gonda Way property for relocation
of the Danville Town Offices and Police Department.
5. Declared a local state of emergency in response to the COVID-19 pandemic which
involved closing public facilities and implementing cost savings measures to reduce
operating expenses by $2.2 million to offset estimated revenue losses.
6. Adapted and adhered to various COVID-19 related Health Orders issued by the
Contra Costa County Department of Public Health and the State of California.
7. Adopted a balanced post pandemic 2020/21 operating budget through reducing
expenditures and fund transfers without the need to utilize Town reserve funds.
8. Moved ALL public meetings to the remote (ZOOM) format while adhering to the
revised Brown act requirements.
9. Worked with Tri -Valley Cities Coalition, Contra Costa Mayors Conference and state
legislators to advocate for changes to housing legislation in a manner that lessens
their impacts to Danville.
v
10. Continued implementation of the Community Marketing and Branding Plan,
including publication of the Live Locally Guide, marketing material and rebranding
of the Town's quarterly newsletter.
11. Completed the construction of the $3 million project to overlay Danville streets as
part of the 2018/19 Pavement Rehabilitation program.
12. Continued the design of the $2.03 million Sycamore Valley Park and Ride Expansion
Project, which will add 122 new public parking spaces and bicycle parking to serve
commuters and users of the Iron Horse Trail.
13. Completed construction of the $1.6 million One Bay Area Grant (OBAG) Project to
improve EI Cerro Boulevard from El Pintado to La Gonda Way and Sycamore Valley
Road from Camino Ramon to San Ramon Valley Boulevard including the bus loop at
the Park N Ride.
14. Completed construction of the $150,000 Osage Station Park pathway improvements
project.
15. Completed construction of the $752,400 Front Street Creek Bank Stabilization project,
which repaired a creek bank failure caused by heavy rains in 2014.
16. Completed the Town Green and Arts District Concept Master Plan based on feedback
from the Parks, Recreation & Arts Commission, and community input for adoption
by Town Council.
17. Initiated development of a Town -wide Bicycle Master Plan.
18. Continued with various Transportation programs including: Street Smarts traffic
safety education program, Neighborhood Traffic Management Program and
participation in Danville's TRAFFIX Student Transportation Program.
19. Completed replacement of all Railroad Avenue Parking Lot lights with LEDs.
20. Continued the design work for the $6 million project to replace the La Gonda Way
bridge at Danville Boulevard.
21. Continued the design of the storm drain trash racks at Starview Drive, Loch Lomond
Way and Westridge, pending response from FEMA on the Town's grant applications.
Construction phase to proceed after FEMA determination.
22. Completed installation of bicycle video detection cameras at seven intersections (total
of 12 cameras); Rectangular Rapid Flashing Beacons (RRFBs) at ten (10) locations.
23. Completed replacement of traffic signal battery back-up systems at eight (8)
intersections and radar speed display signs at two (2) locations.
24. Completed installation of four (4) wayfinding guide signs on Interstate 680 within
Town limits.
25. Committed $1.45 million to fund 240 additional student parking spaces on campus
and increasing the total supply of student on -campus parking spaces from 275 to 515
spaces, in order to alleviate parking congestion in adjacent neighborhoods and the
north end of the downtown.
vi
26. Expanded the Downtown Street Banner Program to include Railroad Avenue.
27. Increased efficiencies within the MUNIS Financial System by implementing internal
paperless/ contactless/ electronic routing and approval of both credit card and paper
check vendor payments. Greatly expanded and improved online permit application
submission to the Energov Permitting & Land Management System for contractors
and Danville homeowners.
28. Launched 10-8 program, a weekly live video podcast that allows for engagement and
interaction with residents via Facebook and YouTube to replace in person
engagement due to the COVID-19 Pandemic.
29. Renovated the turf in the large dog park at Hap Magee Ranch Park for a total of
$18,615. The dog park at Hap Magee Ranch Park is rated one of the best dog parks in
the area by Diablo Magazine.
30. Completed the annual creek cleaning through in-house and contract efforts ($14,950)
which helps protect the community and prevent damage to public and private
property.
31. Converted four additional landscape areas to the automated underground sensor
irrigation management system (UgMO), doubling the amount of sites the Town
previously had.
32. Integration of arts into programs such as the Danville Dogs Art Program, which
included calling for artists to design and paint ceramic dogs for display throughout
the Town. Other opportunities are being explored with the funds raised by this
successful event.
33. Created a new Senior Advisory Commission.
34. Dissolved the Arts Commission and created an Arts Advisory Board as an adjunct
the Parks, Recreation and Arts Commission.
35. Completed the upgrades to the keycard access system at all town -maintained
buildings and replace A.D.A. doors at the Library and Veteran's Memorial buildings.
For Fiscal Year 2020/21
During the upcoming FY 2020/ 21 the Town will:
1. Continue to operate under a declared a local state of emergency in response to the
COVID-19 pandemic implementing cost savings measures to offset estimated
revenue losses.
2. Continue to adapt to and monitor various COVID-19 related Health Orders issued
by the Contra Costa County Department of Public Health and the State of California.
3. Continue to work with Tri -Valley Cities Coalition, Contra Costa Mayors Conference
and state legislators to advocate for changes to housing legislation in a manner that
lessens their impacts to Danville.
vii
4. Complete the design of the $6 million project to replace the La Gonda Way bridge at
Danville Boulevard.
5. Begin construction of the $2.03 million Sycamore Valley Park and Ride Expansion
Project, which will increase capacity by 122 public parking spaces and enhance
bicycle parking.
6. Complete the design of storm drain trash racks at Starview Drive, Loch Lomond Way
and Westridge, pending response from FEMA on the Town's grant
applications. Construction phase to proceed after FEMA determination
7. Complete installation of Rectangular Rapid Flashing Beacons (RRFBs) at 11 locations
Town -wide.
8. Complete research and selection of new manufacturer for new signal traffic
controllers Townwide, ensuring that they are compliant with the Advance
Transportation Controller (ATC) standards.
9. Complete installation of 40 electronic bicycle locker parking spaces.
10. Complete initiate the development of a Town -wide Bicycle Master Plan.
11. Continue with various Transportation programs including: Street Smarts traffic
safety education program, Neighborhood Traffic Management Program and
participation in Danville's TRAFFIX Student Transportation Program.
12. Renovate the turf in the large dog park at Hap Magee Ranch Park for a total of
$18,870. The dog park at Hap Magee Ranch Park is rated one of the best dog parks in
the area by Diablo Magazine.
13. Award a new landscape maintenance contract for parks - Lighting and Landscape
Assessment District Zone D.
14. Renew the street sweeping services contract for $200,295 to continue providing clean
and safe streets and prevent pollution of creeks.
15. Complete the annual creek cleaning through in-house and contract efforts
(approximately $12,000), which helps prevent damage to public and private
property.
16. Replace the gazebo at Hap Magee Ranch Park (approximately $80,000, with half the
cost being paid by Contra Costa County).
17. Continue the Disaster Preparedness Program to step up readiness efforts aimed at
preparing for and responding to any natural or man-made disasters or emergencies
that could befall the Town.
18. Finalize a five-year rolling strategic plan for Police Services that is updated annually.
19. Research technology solutions to optimize law enforcement strategies.
20. Implementation of the Master Plan for the Town Green as recommended in the Parks,
Recreation and Arts Strategic Plan.
viii
21. Continue to work with the Arts Advisory Board and Parks, Recreation and Arts
Commission to prioritize and begin implementation of recommendations in the
Parks, Recreation and Arts Strategic Plan.
22. Continue to explore potential locations for the multi -use skate park as identified in
the latest feasibility study.
23. Complete the renovation of the children's play area at Hap Magee Ranch Park with
a projected cost of $625,000.
24. Design and planning of the Riverwalk bridge connecting Diablo Road to the Town
Green
25. Expand and improve eSignature (DocuSign) system for contracts and other legal
documents.
26. Continued efforts by the IT Department to implement additional security measures
as warranted and monitor cybersecurity issues to protect the Town from these
ongoing types of attacks.
27. Plan and mitigate the transfer of Town's technologies in preparation of the move to
the newly acquired Town Offices building at 500 La Gonda Way,
28. Work with the Federal State Agencies to get COVID-10 related expenses reimbursed
through FEMA and CARES Act.
FINANCIAL CONTROLS AND INFORMATION
The Town's financial records for general governmental operations are maintained on a
modified accrual basis with revenues recorded when available and measurable and
expenditures recorded when the services or goods are received and the liability incurred.
Town Management is responsible for establishing and maintaining an internal control
structure designed to ensure that assets are protected from loss and theft or misuse; and for
compiling accounting data which is adequate for the preparation of financial statements in
conformity with generally accepted accounting principles. The internal control structure is
designed to provide reasonable, but not absolute, assurance that these objectives are met. The
concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed
the benefits likely to be derived and (2) the valuation of costs and benefits requires estimates
and judgments by management.
Budgeting Controls
The Town maintains budgetary controls. The objective of these budgetary controls is to
ensure compliance with legal provisions embodied in the annual appropriated budget
approved by the Town Council. Activities of all governmental type funds are included in the
annual appropriated budget. For FY 2019/20, the budgetary level of control (that is the level
at which expenditures cannot legally exceed the appropriated amount) for the operating
budget was at the fund level.
ix
For the capital improvement budget, the level of control was the individual capital
improvement project. The Town also utilizes the encumbrance system as a management
control technique to assist in controlling expenditures. All appropriations lapse at year-end.
However, encumbrances and appropriations for unfinished capital and other projects are
reviewed and, when warranted, are reappropriated ("carried over") as part of the following
year's budget.
Risk Management
The Town is a member of the Municipal Pooling Authority (MPA), a consortium of 20
California cities, including 17 in Contra Costa County, one in San Mateo County, one in
Santa Clara County and one in San Joaquin County. The Risk Management Authority is a
risk -sharing, self-insured pool providing insurance benefits to its members. Insurance
activities are financed by charges to member cities, and no long-term debt has been incurred
by the Authority. The Town participates in the Authority's self-insured general and auto
liability programs and purchases commercial property and earthquake insurance through
MPA. Annual premiums are determined based on an actuarial study using a retrospective
method. During FY 2019/20, the Town was responsible for the first $5,000 of general
liability costs and $2,000 and $3,000 for Town and police auto liability respectively, for each
of its own claims.
The Town's limits of coverage per claim are $29 million for general liability and $250,000 for
auto liability. The Town has established in the General Fund $53,990 in liability to finance
anticipated settlement of claims.
The Town is also a member of the Authority's workers' compensation pool. The Authority
is responsible for the first $500,000, per claim. This program carries excess insurance above
$500,000 per claim.
The Town has implemented various risk control techniques and loss prevention and
reduction programs, including employee training and education.
OTHER INFORMATION
Independent Audit
It is the policy of the Town of Danville to have an audit performed annually by an
independent certified public accountant. The independent audit of the June 30, 2020
financial statements was performed by The Pun Group, LLP. Their opinion is included with
the general purpose financial statements.
x
Acknowled rnents
The development of this report would not have been possible without the dedication and
efforts of the entire Finance Division team. We would like to express our appreciation to all
staff members of the Town and our independent auditing firm who made this report
possible.
The Town's prudent fiscal management policies and practices are guided by the leadership
and support of the Danville Town Council. We appreciate the Town Council's support and
continued leadership.
Respectfully submitted,
J septi A. Calabrigc.
Town Manager
'-I-
I a4lN -1-�
Lani Ha
Finance Manager/ Treasurer
xi
Town of Danville
Organizational Chart
Town of Danville Organizational Chart
I
Town of Danville Citizens
DA DANVILLE
CALI FORRIA
Town Council
Parks, Recreation & Heritage Resource Senior Advisory Planning
Arts Commission Commission Commission Commission
Arts Advisory Town City Design Review
Board Manager Attorney Board
General Police Administrative Development Maintenance Recreation, Arts &
Government Services Services Services Services Community Services
Town Council
Administration
Finance
Planning
Building Maintenance
Sports & Fitness
Town Manager
Patrol
Information
Building
Park Maintenance
Facilities
Technology
Management
City Attorney
Traffic
Code Enforcement
Roadside Maint.
Human Resources
Cultural Arts
City Clerk
Investigations
Engineering
Street Maint.
Economic
Youth Services
Community
Youth Services
Development
Capital Project
Street Light Maint.
Teen Service
Outreach
Management
Adult Services
Animal Control
Risk Management
Traffic 5ignal
Senior Services
Emergency
Transportation
Maintenance
P3-eparedness
Internal Services
Library Service
Clean Water
Equipment
Asset Replacement
Program
Maintenance
Community Events
xu
Town of Danville
Directory of Public Officials
TOWN COUNCIL
Karen Stepper
Mayor
Lisa Blackwell
Vice Mayor
Newell Arnerich
Councilmember
Renee Morgan
Councilmember
Robert Storer
Councilmember
TOWN STAFF
Joseph A. Calabrigo
Town Manager
Robert Ewing
City Attorney
Marie Sunseri
City Clerk
Tai Williams
Assistant Town Manager
Allan Shields
Chief of Police
Dave Casteel
Maintenance Services Director
Henry Perezalonso
Recreation, Arts & Community Services Director
Lani Ha
Finance Manager/Treasurer
Town of Danville
Certificate of Achievement for Excellence in Financial Reporting —
Government Finance Officers Association
�0
Govertuuient Finance Officers Association
Cel-tificate of
Achievement
for Excellence
in Financial
i ep rt1li a.
Presented to
Town of Danville
Clifoi-nla
For its Courprebeasive _ mual
Financial Report
for the Fiscal Year Ended
.June 10. 2019
.7%1�
Execudve Director. CEO
xiv
Town of Danville
Statement of Purpose
DANVILLE IS A COMMUNITY DEDICATED TO PROVIDING
AN EXCEPTIONAL QUALITY OF LIFE FOR ITS CITIZENS
To achieve this level of excellence, Danville will:
• Value and enhance its heritage and natural environment;
• Build innovative processes for citizen involvement and stimulate active participation in local government decision
making;
• Foster personal responsibility, ethical standards and commitment among citizens;
• Achieve high quality development in scale with the natural surroundings;
• Deliver superior municipal and educational services;
• Encourage the arts, cultural and recreation activities, and community celebrations; and
• Exercise strong leadership in regional issues.
These goals enhance a sense of positive "small town" values related to the family, neighborhood, and community.
xv
This page intentionally left blank.
xvi
FINANCIAL SECTION
This page intentionally left blank.
THE
PUN GROUP
ACCOUNTANTS & ADVISORS
INDEPENDENT AUDITORS' REPORT
To the Mayor and Members of the Town Council
of the Town of Danville
Danville, California
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, each major fund, and the
aggregate remaining fund information of the Town of Danville, California (the "Town"), as of and for the year ended
June 30, 2020, and the related notes to the basic financial statements, which collectively comprise the Town's basic
financial statements as listed in the table of contents.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with
accounting principles generally accepted in the United States of America; this includes the design, implementation,
and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are
free from material misstatement, whether due to fraud or error.
Auditors' Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in
accordance with auditing standards generally accepted in the United States of America and the standards applicable
to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United
States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial
statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of
material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments,
the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial
statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion.
An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective
financial position of the governmental activities, each major fund, and the aggregate remaining fund information of
the Town, as of June 30, 2020, and the respective changes in financial position, thereof for the year then ended in
accordance with accounting principles generally accepted in the United States of America.
2121 North California Blvd., Suite 290,Walnut Creek, California 94596
Tel: 925-974-3394 • Fax: 949-777-8850
www.pungroup.com
To the Mayor and Members of the Town Council
of the Town of Danville
Danville, California
Page 2
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the Management's Discussion
and Analysis, Budgetary Information, Budgetary Comparison Schedules for General Fund, Lighting and
Landscaping Special Revenue Fund, and Regional Traffic Impact Fee Special Revenue Fund, and Modified
Approach for Town Street Infrastructure Capital Assets be presented to supplement the basic financial statements.
Such information, although not a part of the basic financial statements, is required by the Governmental Accounting
Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial
statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures
to the required supplementary information in accordance with auditing standards generally accepted in the United
States of America, which consisted of inquiries of management about the methods of preparing the information and
comparing the information for consistency with management's responses to our inquiries, the basic financial
statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an
opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient
evidence to express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise
the Town's basic financial statements. The introductory section, combining and individual nonmajor fund financial
statements, and statistical section, are presented for purposes of additional analysis and are not a required part of the
basic financial statements. The combining and individual nonmajor fund financial statements are the responsibility of
management and were derived from and relate directly to the underlying accounting and other records used to
prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the
audit of the basic financial statements and certain additional procedures, including comparing and reconciling such
information directly to the underlying accounting and other records used to prepare the basic financial statements or
to the basic financial statements themselves, and other additional procedures in accordance with auditing standards
generally accepted in the United States of America. In our opinion, the combining and individual nonmajor fund
financial statements and the schedule of expenditures of federal awards are fairly stated in all material respects in
relation to the basic financial statements as a whole.
The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit of the
basic financial statements and, accordingly, we do not express an opinion or provide any assurance on them.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated November 10, 2020, on
our consideration of the Town'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 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 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 Town's
internal control over financial reporting and compliance.
Walnut Creek, California
November 10, 2020
THE
PUN GROUP
ACCOUNTANTS & ADVISORS
REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND
OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN
ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Independent Auditors' Report
To the Mayor and Members of the Town Council
of the Town of Danville
Danville, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and
the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller
General of the United States, the financial statements of the governmental activities, each major fund, and the
aggregate remaining fund information of the Town of Danville, California (the "Town"), as of and for the year ended
June 30, 2020, and the related notes to the basic financial statements, which collectively comprise the Town's basic
financial statements, and have issued our report thereon dated November 10, 2020.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the Town's internal control over
financial reporting (internal control) as a basis for designing the audit procedures that are appropriate in the
circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of
expressing an opinion on the effectiveness of the Town's internal control. Accordingly, we do not express an opinion
on the effectiveness of the Town's internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or
employees, in the normal course of performing their assigned functions, to prevent, or detect and correct,
misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal
control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will
not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a
combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to
merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section and
was not designed to identify all deficiencies in internal control that might be material weaknesses or, significant
deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we
consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the Town's financial statements are free from material
misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant
agreements, noncompliance with which could have a direct and material effect on the financial statements. 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 or other matters that are
required to be reported under Government Auditing Standards.
2121 North California Blvd., Suite 290,Walnut Creek, California 94596
Tel: 925-974-3394 • Fax: 949-777-8850
www.pungroup.com
To the Mayor and Members of the Town Council
of the Town of Danville
Danville, California
Page 2
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the
results of that testing, and not to provide an opinion on the effectiveness of the entity's internal control or on
compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards
in considering the entity's internal control and compliance. Accordingly, this communication is not suitable for any
other purpose.
Walnut Creek, California
November 10, 2020
�I
MANAGEMENT'S DISCUSSION AND ANALYSIS
The Town of Danville's Financial Statements are issued in the format prescribed by the provisions of Government
Accounting Standards Board Statement 34 (GASB No. 34). This discussion and analysis of the Town's financial
performance provides an overview of the Town's financial activities for the fiscal year ended June 30, 2020. Please
read it in conjunction with the accompanying transmittal letter, the Basic Financial Statements and the accompanying
notes to those financial statements.
FINANCIAL HIGHLIGHTS
• The Town's net position as of June 30, 2020 increased $7,702,840 or 3.0% from $255,886,275 to
$263,589,115.
• Total liabilities were $13,217,981. Total assets were $276,807,096. Of this amount $61,659,221 is classified
as unrestricted and, with the future receipt of $6,159,401 of loan receivable from the former Community
Development Agency (CDA), may be used to provide ongoing services and capital projects to residents and
creditors.
• Governmental funds for the Town have combined fund balances of $89,411,388. Of this amount $26,961,172
is restricted by external parties, $53,374,376 is committed for ongoing and future activities and $6,267,108 is
classified as nonspendable reflecting the future of receiving the loan proceeds from the cooperative agreement
to the former Community Development Agency and fund received for services that has not been rendered by
the Town, and $2,808,732 has been assigned for ongoing operations.
• The Town's General Fund fund balance decreased (2.5)% from $27,268,611 to $26,574,948. The fund balance
includes funds reserved or designated for debt service, future capital projects, ongoing operations, and an
operating reserve of $12,309,768 (35.78% of FY 2019/20 operating expenditures).
Subsequent to the end of the fiscal year 2013-14, the Sacramento County Superior Court issued a ruling on September
5, 2014, concluding that the reentered Cooperative Agreement between the Successor Agency and the Town of
Danville was an enforceable obligation. The State appealed the Superior Court decision afterward, and in May 2015,
the State dismissed its appeal, and at the same time, the Department of Finance accepted the Agreement as an
enforceable obligation. The Town has decided to retain the amount that was approved by the Department of Finance,
$6,159,401 as a loan receivable on its books, and reserve an offsetting amount in fund balance.
OVERVIEW OF THE FINANCIAL STATEMENTS
This discussion and analysis is intended to serve as an introduction to the Town's basic financial statements, which
consists of three components: 1) Government -wide Financial Statements, 2) Governmental Fund Financial Statements
and 3) Notes to the Basic Financial Statements. This report also contains supplementary information in addition to the
basic financial statements.
Reporting the Town as a Whole - Government -Wide Financial Statements
The Government -Wide Financial Statements provide a longer-term view of the financial position of the Town as a
whole, including all capital assets and long–term liabilities on the full accrual basis. This presentation is similar to that
of a private -sector business. Over time, increases or decreases in the Town's net position may serve as one useful
indicator of the Town's overall financial health. Other factors to consider are changes in the Town's property tax base
and the condition of the Town's roads.
The Statement ofActivities and Changes in Net Position provides information on how the Town's net position changed
during the fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change
occurs, regardless of the timing of the related cash flows. Therefore, revenues and expenses are reported in this
statement for some items that will only result in cash flows in future fiscal periods (for example, long term debt
payments due and capital asset depreciation). There is an emphasis on measuring net revenues and expenses of each
of the Town's programs.
The Fiduciary Fund Financial Statements provide financial information about activities for which the Town acts solely
as a trustee or agent for the benefit of those outside of the government. Fiduciary funds reported in the CAFR for
Danville include the Deposits fund, Assessment District funds and the Successor Agency Trust Fund.
In the Statement of Net Position and the Statement of Activities and Changes in Net Position, the Town's activities are
separated as follows:
Governmental Activities: All of the Town's basic services are considered to be governmental activities, including
general government, police, maintenance, development, transportation and recreation services. Governmental
activities are generally supported by taxes and intergovernmental revenues.
Reporting the Town's Most Significant Funds - Governmental Fund Financial Statements
The Fund Financial Statements provide detailed information about the most significant funds and group the remaining
funds together under the column heading, "Non -Major Governmental Funds." Some funds are required to be
established by State law and by bond covenants. In addition, the Town Council may establish 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 money.
Governmental Funds—Most of the Town's basic services are reported in governmental funds, which
focus on how money flows into 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 Town's general government operations and the
basic services it provides. Governmental funds information help determine whether there are more or fewer
financial resources that can be spent in the near future to finance the Town's programs. Capital assets and
other long-lived assets, along with long-term liabilities, are not presented in the Governmental Fund
Financial Statements. The relationship (or differences) between governmental activities (reported in the
Statement of Net Position and the Statement of Activities and Changes in Net Position) and Governmental
Funds Financial Statements are explained in a reconciliation schedule following each Governmental Fund
Financial Statement.
Reporting the Town's Fiduciary Responsibilities
The Town is the trustee, or fiduciary, for certain amounts held on behalf of developers, property owners, assessment
district bond holders, the Successor Agency and others. The Town's fiduciary activities are reported in separate
Statements of Fiduciary Net Position and Changes in Fiduciary Net Position. The Town provides a Defined -
Contribution Pension Plan for all qualified employees. We exclude these activities from the Town's other financial
statements because the Town cannot use these assets to finance its operations. The Town is responsible for ensuring
that the assets reported in these funds are used for their intended purposes.
Notes to the Financial Statements
The Notes provide additional information that is essential to a full understanding of the data provided in the
Government -Wide and Governmental Fund Financial Statements.
Other Information
In addition to the Basic Financial Statements and accompanying notes, this report also presents certain Required
Supplementary Information concerning the Town's funding of its obligation to provide pension benefits to its
employees, budgetary comparison schedules for the General Fund, each major Special Revenue Fund and schedules
and disclosure of the modified approach for reporting the Town's infrastructure.
THE TOWN AS A WHOLE - GOVERNMENT -WIDE FINANCIAL ANALYSIS
The Town's combined Net Position for the fiscal years ended June 30, 2020 and 2019 was:
Net position:
Net investment in capital assets
Table 1
166,215,901
8,752,821
Restricted for:
Net Position
Debt service
Governmental Activities
1,634,467
(5,063)
Special projects
25,331,768
22,764,025
Increase
Unrestricted
2020
2019
(Decrease)
Current and other assets
$ 95,583,374
$ 100,224,321
$ (4,640,947)
Capital assets, net
181,223,722
172,950,901
8,272,821
Total assets
276,807,096
273,175,222
3,631,874
Current liabilities
6,523,952
10,161,641
(3,637,689)
Long-term liabilities
6,694,029
7,127,306
(433,277)
Total liabilities
13,217,981
17,288,947
(4,070,966)
Net position:
Net investment in capital assets
174,968,722
166,215,901
8,752,821
Restricted for:
Debt service
1,629,404
1,634,467
(5,063)
Special projects
25,331,768
22,764,025
2,567,743
Unrestricted
61,659,221
65,271,882
(3,612,661)
Total net position
$ 263,589,115
$ 255,886,275
$ 7,702,840
7
The Town's Net Positions from Governmental Activities increased 3.0% from $255,886,275 to $263,589,115. This
increase of $7,702,840 comes from the change in net position as recorded in the Statement of Activities and flows
through the Statement of Net Position. Program expenses by function, general revenues by major source, excess and/or
deficiency of revenues over expenses before contributions to permanent fund principal, special, and extraordinary
items, and total assets are presented in the Statement of Activities and Changes in Net Position.
The following is an explanation of the changes between fiscal years as shown in Table 1:
Total assets increased $3,631,874:
Current and other assets decreased $(4,640,947) reflecting a decrease in cash and investments. Capital assets,
net of depreciation, increased $8,272,821 reflecting expenditures for capital projects during the year.
Total liabilities decreased $4,070,966:
Current liabilities decreased by a net of $(3,637,689), due largely to a decrease in accounts payable, wages
payable, retention (for capital projects), unearned revenue, and deposit payable.
Non-current liabilities decreased a net of $(433,277) reflecting payment of long-term debt principal of
$500,000 that was paid according to schedule, an increase of $66,723 in compensated absences.
Net Position:
• Restricted net position increased a net of $2,562,680. Special Revenue funds were spent for capital projects as
budgeted. Debt Service funds decreased by $(5,063) reflecting the net change in annual RPTTF funds received
for scheduled debt service payments of the Town's COPs. Special Projects funds increased by $2,567,743 as
funds were needed for operations or appropriated for capital expenditures.
Unrestricted net position, which are designated by Council for specific future capital improvements or
economic stability, increased by $(3,612,661), reflecting solid revenues and controlled costs, which enabled
the transfer of $4.69 million of General Fund funds to be transferred to Capital Improvement funds for future
capital projects and Asset Replacement funds and LLAD funds for its operating expenses and Contingency
fund. Capital improvements include park improvements, road maintenance, traffic control measures and
general Town improvements.
Government Activities
Table 2 presents the gross revenues and expenditures for the Town as whole.
Table 2
Revenues and Expenses
Governmental Activities
Increase
2020 2019 (Decrease)
Revenues -Governmental Activities
Program revenues:
1,988,737
1,648,107
340,630
Charges for services
$ 8,188,723
$ 9,908,259
$ (1,719,536)
Operating grants and contributions
1,873,835
2,132,610
(258,775)
Capital grants and contributions
1,358,781
3,880,922
(2,522,141)
Total program revenues
11,421,339
15,921,791
(4,500,452)
General revenues:
Taxes:
1,988,737
1,648,107
340,630
Property
16,025,356
15,354,728
670,628
Sales
5,753,805
6,126,449
(372,644)
Motor vehicle
35,829
21,310
14,519
Franchise
2,836,124
2,609,820
226,304
Other
367,376
390,562
(23,186)
Investment earnings
3,183,434
3,028,554
154,880
Miscellaneous
1,838,208
834,318
1,003,890
Gain on sale of capital assets
345,523
-
345,523
Reimbursement from Successor Agency
812,456
792,456
20,000
Total general revenues
31,198,111
29,158,197
2,039,914
Total revenues
42,619,450
45,079,988
(2,460,538)
Expenses - Governmental Activities
General government
1,988,737
1,648,107
340,630
Police services
9,824,261
9,908,945
(84,684)
Maintenance services
and Lighting and landscape
9,400,476
8,512,749
887,727
Development services
5,769,904
12,589,561
(6,819,657)
Administrative services
3,816,145
3,625,899
190,246
Recreation, arts, & community services
3,794,136
4,273,896
(479,760)
Interest on long-term debt
322,951
325,210
(2,259)
Total expenses
34,916,610
40,884,367
(5,967,757)
Changes in Net Position
$ 7,702,840
$ 4,195,621
$ 3,507,219
Net Position:
Beginning of year
255,886,275
251,690,654
4,195,621
End of year
$ 263,589,115
$ 255,886,275
$ 7,702,840
7
Variances shown above are reflected in the net numbers of Table 3 and are discussed following Table 3.
Table 3 presents each program's net cost (total cost less revenues generated by the activities). The net cost shows the
financial burden that was placed on the Town's taxpayers by each of these functions. The net cost of programs
increased by $3,502,219 reflecting higher change in revenues compare to change in expenses.
Table 3
Cost of Services
Governmental Activities
Revenues:
General revenues
Total general revenues
Net Expenses:
General government
Police services
Maintenance services
and Lighting and landscape
Development services
Administrative services
Recreation, arts, & community services
Interest on long-termdebt
Total net expenses
Net Cost of Services
Increase
2020 2019 (Decrease)
$ 31,198,111 $ 29,158,197 $ 2,039,914
31,198,111 29,158,197 2,039,914
(1,988,737) (1,646,981) (341,756)
(9,341,933) (9,414,305) 72,372
(6,341,146)
(5,466,274)
(874,872)
650,972
(2,289,319)
2,940,291
(3,784,452)
(3,587,773)
(196,679)
(2,367,024)
(2,232,714)
(134,310)
(322,951)
(325,210)
2,259
(23,495,271)
(24,962,576)
1,467,305
$ 7,702,840
$ 4,195,621 $
3,507,219
Variances shown above are reflected in the net numbers of Tables 2 and 3 and are discussed following Table 3.
• Program revenues increased by $4,500,452. A decrease of $(1,719,536) in Charges for Services was largely
due to Recreations classes were canceled due to the pandemic, slight decreased activity in Police Services, and
the decrease in the Development Services activity. Operating Grants decreased a net of $(258,775) as grants
for Police and Development Services decreased. Capital Grants and Contributions decreased a net of
$(2,507,141) as grant funded for capital projects decreased.
• General revenues increased $2,044,330 reflecting the net reported increase $670,628 in property tax revenues,
decrease in net reported _$(372,644) in sales tax revenues, increase $154,880 in investment earning, and
increase $1,003,890 in miscellaneous revenues and increase $349,939 in gain on sale of capital assets .
The Net Direct Cost of Program Services indicates that the overall cost of government is well below the available
general revenues and transfers. This shows that the Town's ongoing revenues cover its operational and capital
expenditures. The services provided by the Town are provided in an cost effective manner and the Town is efficient in
recovering the cost of these services with program revenues from user fees and other contributions. See the Statement
of Activities for further detail on program revenues and general revenues.
10
FINANCIAL ANALYSIS OF THE TOWN'S FUNDS
At year-end, the fund balance for the Town's General Fund was $26,574,948 a net decrease of $(693,663) over last
year. Revenues exceeded expenditures by $7,193,320, and transfers out of $(11,459,475) were made for future capital
projects and additional funding for parks and building maintenance in the Lighting and Landscape Assessment District
($1,000,000). Major revenue sources that exceeded budget include property and transfer taxes of $871,491, offset with
sales taxes of $(175), uses of money and property of $1,556,101, which reported rental revenues, and Investment
earning, which also reflects actual earning and unrealized market adjustments and the effect of discounts and premiums
recognized in the year. These were offset by Other Taxes of $(99,765) and Charges for Services of $(688,759). Across
the board, cost containment resulted in operating expenditures below budget in all programs. Budget to actual cost
savings totaled $2,874,788. Capital outlay for operations was budgeted within each program and is broken out for
year-end reporting on a separate line.
Additional detail comparing the budgeted and actual amounts for the General Fund can be found in the Required
Supplementary Information, Budgetary Comparison Schedule, General Fund.
The Lighting and Landscape Special Revenue Fund decreased by $213,204, which compares favorably to the planned
and previously projected reduction in this fund balance. Cost containment efforts and a budgeted transfer in from the
General Fund of $1,000,000 for park and building maintenance account for this decrease in fund balance.
The Regional Traffic Impact Fees fund balance is reported higher by $432,437 reflecting the increase in revenues, and
decrease in expenditures. The fund balance in the Capital Improvement Projects Fund decreased by a net of
$(2,601,823), reflecting capital expenditures and a transfer in of $10,334,475, helping to offset appropriated capital
expenditures in excess of revenues.
Non -major Special Revenue Funds increased by a net of $2,070,623, reflecting normal revenues and use of these funds
for the operational or capital projects to which they are restricted. Non -major Special Revenue funds with major
changes include: the increased of Gas Tax Fund increase by $938,789 due to more revenues and less expenditures,;
increase of Measure J Fund by $333,651 due to more revenues and less expenditures, the General Development Impact
Fee Fund increased by $124,479 due to more revenues and less expenditures; the Public Safety Fund increased by
$67,371 due to more revenues and less expenditures; the Old Town Parking In -Lieu increased by $187,778 due to more
revenues and less expenditures; and the Solid Waste Vehicle Impact Fee increased by $539,772 due to more revenues
and less expenditures; offset by the Building and Planning Fund decreased by $(76,616) as transfer to Assets
Replacement plus expenditures were higher than revenues collected, the Development Engineering Fund decreased
by $(37,464) as revenues were lower than expenditure; and the SPCP fund decreased by $(33,036) as revenues were
lower than expenditures.
The Non -Major Capital Improvement Funds, decreased by a net of $(385,992) due a decrease of $(153,541) in the
Civic Facilities Fund expenditures higher than revenues; and a decrease of $(517,187) in the Park Facilities Fund due
to more expenditures and no transfer in from General Fund contributions; and a decrease of $(30,170) due to no
contribution from general fund and higher expenditures; offset by an increase in the Asset Replacement General Fund
by $296,225 due to higher transfer in from General Fund, PEG Fund and Building and Planning Fund than expenditures
All activity in the above funds reflects anticipated revenues and appropriated transfers and expenditures for these funds.
General Fund Budgetary Highlights
Actual revenues over expenses exceeded the final budget by $4,513,260. This is primarily due to very conservative
revenue projections, the absence of State raids on local revenues, steady sales tax, and actual 5% increase in average
local property values. Final expenses for the General Fund at year end were less than budgeted by $2,874,788. The
budget to actual variance in appropriations reflects conservation efforts, leaving staffing positions vacant and
postponement of some operational activities by management. These proactive fiscal measures enabled the Town to
transfer $11,459,475 to fund future capital projects throughout the Town.
M
CAPITAL ASSET AND DEBT ADMINISTRATION
Capital Assets
At the end of FY 2020, the Town had a book value of $181,223,722 invested in a broad range of capital assets, including
land, buildings, furniture and equipment, park improvements and infrastructure. (See tables 4 and 5 below.) This
amount represents an increase of $8,272,821, net of additions, retirements and depreciation, resulting in a 4.78%
increase over last year.
Changes reflect construction of capital assets, offset by depreciation expenses.
Depreciation on capital assets is recognized in the Government -Wide Financial Statements. The Town has elected to
use the modified approach for their streets and roads, wherein the value is not depreciated but rather pavement condition
and maintenance expenses are tracked. The pavement condition as of June 30, 2020 was 81, same as last year. This
rating compares favorably with the target rating of 70. The average expense to maintain the streets is estimated by
management to be a minimum of $3,000,000 per year for the next three years. Further detail may be found in Note 1F
to the Financial Statements and in Note 3 of the Required Supplementary Information.
Table 4
Capital Assets (Net of Accumulated Depreciation)
June 30, 2020
Accumulated
Original Cost Depreciation Book Value
Land
$ 31,221,867
$ -
$ 31,221,867
Buildings and parking lots
39,873,605
(12,718,789)
27,154,816
Park improvements
24,041,510
(21,685,367)
2,356,143
Furniture and equipment
4,978,441
(4,547,459)
430,982
Construction in progress
21,660,504
-
21,660,504
Infrastructure
167,832,677
(69,433,267)
98,399,410
Total
$ 289,608,604
$ (108,384,882)
$ 181,223,722
Table 5
Capital Assets (Net of Accumulated Depreciation)
June 30, 2020 ". June 30 2019
12
Increase
2020
2019
(Decrease)
Land
$ 31,221,867
$ 31,239,825
$ (17,958)
Buildings and parking lots
27,154,816
24,796,329
2,358,487
Park improvements
2,356,143
2,653,137
(296,994)
Furniture and equipment
430,982
619,957
(188,975)
Construction in progress
21,660,504
14,902,726
6,757,778
Infrastructure
98,399,410
98,738,927
(339,517)
Total
$ 181,223,722
$ 172,950,901
$ 8,272,821
12
The Town's five-year Capital Improvement Plan projects will cost $38,741,445 through FY 2023/24. No debt financing
is required for these projects. Funding will come from current fund balances and projected revenues over the next five
years. The most significant projects include town -wide park renovations and enhancements with an emphasis on Park
and Ride Expansion Project and Town Office Improvements and infrastructure maintenance including $17,598,401 for
pavement management. Additional details can be found in the Town's 2019/20 Operating Budget and Capital
Improvement Program document available at www.danville.ca.gov/Council_and_Government/Departments/Finance/.
Debt
At year end, the Town had $7,304,029 in Certificates of Participation (COPS) and Compensated Absences outstanding
versus $7,717,306 last year, a net decrease of $(413,277), as shown in Table 6 below.
Table 6
Outstancling Debt
June 30, 2020 Ns. June 30, 2019
Increase
2020 2019 (Decrease)
2001 & 2005 Certificates of Participation
$ 6,255,000 $
6,735,000 $
(480,000)
Compensated absences
1,049,029
982,306
66,723
Total
$ 7,304,029 $
7,717,306 $
(413,277)
The $480,000 decrease in the COP amount is due to scheduled debt service payments, the $67,323 increase in
Compensated Absences is due to personnel earning more leaves hours than used.
Additional information on outstanding debt is presented in Note 8 to the Basic Financial Statements.
CONTACTING THE TOWN'S FINANCIAL MANAGEMENT
This financial report is designed to provide our citizens, taxpayers, customers, investors, and creditors with a general
overview of the Town's finances and to show the Town's accountability for the money it receives. If you have
questions about this report or need additional financial information, contact the Town's Finance Department at the
Town of Danville, 510 La Gonda Way, Danville, California 94526-1740
13
This page intentionally left blank
14
BASIC FINANCIAL STATEMENTS
15
This page intentionally left blank.
16
GOVERNMENT -WIDE FINANCIAL STATEMENTS
17
Town of Danville
Statement of Net Position
June 30, 2020
Governmental
Activities
ASSETS
Current assets:
Cash and investments
$ 60,001,633
Receivables (net of allowances):
Accounts
2,048,951
Due from Successor Agency within one year (Note 6)
1,100,000
Due from Successor Agency in more than one year (Note 6)
5,059,401
Interest
304,515
Total receivables
8,512,867
Prepaid items
107,707
Total current assets
68,622,207
Noncurrent assets:
Restricted cash and investments:
Held with fiscal agent
1,629,404
Held by the Town
25,331,763
Total restricted cash and investments
26,961,167
Capital assets:
Nondepreciable
145,958,256
Depreciable, net
35,265,466
Total capital assets
181,223,722
Total noncurrent assets
208,184,889
Total assets
276,807,096
LIABILITIES
Current liabilities:
Accounts payable
4,682,795
Accrued wages payable
505,697
Retention payable
13,709
Deposit payable
145,310
Interest payable
90,622
Claims liabilities
53,990
Unearned revenue
421,829
Long-term debt - due within one year (Note 8)
610,000
Total current liabilities
6,523,952
Noncurrent liabilities:
Long-term debt - due in more than one year: (Note 8)
Certificates of participation
5,755,000
Compensated absences
939,029
Total noncurrent liabilities
6,694,029
Total liabilities
13,217,981
NET POSITION
Net investment in capital assets
174,968,722
Restricted for:
Debt service
1,629,404
Special projects and programs
25,331,768
Total restricted
26,961,172
Unrestricted
61,659,221
Total net position
$ 263,589,115
See accompanying Notes to the Basic Financial Statements.
18
Town of Danville
Statement of Activities
For the Year Ended June 30, 2020
Net (Expense)
Revenue and
Changes in
General revenues:
Taxes:
Property
16,025,356
Sales
Program Revenues
Motor vehicle license fee
Net Position
Franchise
2,836,124
Other
Operating
Capital
25,018,490
Investment earnings
3,183,434
Charges for
Grants and
Grants and
Governmental
Functions/Programs
Expenses
Services
Contributions
Contributions
Activities
Governmental activities:
255,886,275
Net position - end of year
$ 263,589,115
General government
$ 1,988,737
$ -
$ -
$ -
$ (1,988,737)
Police services
9,824,261
296,126
181,202
5,000
(9,341,933)
Maintenance services
and lighting and landscape
9,400,476
3,059,330
-
-
(6,341,146)
Development services
5,769,904
3,374,462
1,692,633
1,353,781
650,972
Administrative services
3,816,145
31,693
-
-
(3,784,452)
Recreation, arts, & community services
3,794,136
1,427,112
-
(2,367,024)
Interest expense
322,951
-
-
-
(322,951)
Total governmental activities
$ 34,916,610
$ 8,188,723
$ 1,873,835
$ 1,358,781
(23,495,271)
General revenues:
Taxes:
Property
16,025,356
Sales
5,753,805
Motor vehicle license fee
35,829
Franchise
2,836,124
Other
367,376
Total taxes
25,018,490
Investment earnings
3,183,434
Miscellaneous
1,838,208
Gain on sale of capital assets
345,523
Reimbursement from Successor Agency
812,456
Total general revenues
31,198,111
Change in net position
7,702,840
Net position - beginning of year
255,886,275
Net position - end of year
$ 263,589,115
See accompanying Notes to the Basic Financial Statements.
19
This page intentionally left blank.
20
FUND FINANCIAL STATEMENTS
21
This page intentionally left blank.
22
GOVERNMENTAL FUND FINANCIAL STATEMENTS
23
This page intentionally left blank.
24
Town of Danville
Governmental Fund Financial Statements
General Fund
The General Fund is the general operating fund of the Town. It is used to account for all financial resources except those
required to be accounted for in another fund. The major revenue sources for this fund are property taxes, sales taxes,
unrestricted revenues from the State, fines and forfeitures and interest income. Expenditures are made for administration,
legislation, public safety, parks and recreation and other services.
Lighting and Landscaping Special Revenue Fund
Assessments paid by property owners who receive street lighting services and assessments paid by all property owners for
landscape and park maintenance are received into this Fund. The income is used to pay energy costs for the street lighting
system, community roadside, median and park landscape costs.
Regional Traffic Impact Fees Fund
Development impact fees are collected for local, sub -regional and regional traffic improvements. Sub -regional and
regional fees are collected on behalf of other agencies and distributed to the lead agency for project construction.
Capital Improvement Capital Projects Fund
This Fund receives contributions from the General Fund for future capital improvements, in accordance with the Town's
Capital Improvement Program.
25
Town of Danville
Governmental Funds
Balance Sheet
June 30, 2020
(Continued)
See accompanying Notes to the Basic Financial Statements.
26
Major Funds
Regional Traffic
Capital
Lighting and
Impact Fees
Improvement
Landscape Special
Special Revenue
Capital Projects
General Fund
Revenue Fund
Fund
Fund
ASSETS
Cash and investments
$
22,455,274
$ 4,733,539
$ 4,663,956
$ 24,981,287
Cash and investments with fiscal agent
815,484
-
-
-
Receivables (net of allowances):
Accounts
1,754,047
36,287
15,491
-
Due from Successor Agency of former CDA
6,159,401
-
-
-
Interest
156,112
11,043
10,053
59,579
Prepaid items
107,707
-
-
-
Total assets
$
31,448,025
$ 4,780,869
$ 4,689,500
$ 25,040,866
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities:
Accounts payable
$
3,707,387
$ 379,393
$ 684
$ 103,060
Accrued wages payable
325,614
61,135
-
3,533
Retention payable
-
-
-
1,378
Deposits payable
80,140
-
-
-
Claims liabilities
53,990
-
-
Unearned revenue
357,290
36,170
-
-
Total liabilities
41524,421
476,698
684
107,971
Deferred Inflows of Resources:
Unavailable revenue
348,656
-
-
-
Total deferred inflows of resources
348,656
-
-
-
Fund Balances:
Nonspendable
5,167,108
-
-
-
Restricted
815,484
1,686,327
4,688,816
-
Committed
20,401,468
-
-
24,932,895
Assigned
190,888
2,617,844
-
-
Total fund balances
26,574,948
4,304,171
4,688,816
24,932,895
Total liabilities, deferred inflows of resources and
fund balances
$
31,448,025
$ 4,780,869
$ 4,689,500
$ 25,040,866
(Continued)
See accompanying Notes to the Basic Financial Statements.
26
Town of Danville
Governmental Funds
Balance Sheet (Continued)
June 30, 2020
ASSETS
Cash and investments
Cash and investments with fiscal agent
Receivables (net of allowances):
Accounts
Due from Successor Agency of former CDA
Interest
Prepaid items
Total assets
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities:
Accounts payable
Accrued wages payable
Retention payable
Deposits payable
Claims liabilities
Unearned revenue
Total liabilities
Deferred Inflows of Resources:
Unavailable revenue
Total deferred inflows of resources
Fund Balances:
Nonspendable
Restricted
Committed
Assigned
Total fund balances
Total liabilities, deferred inflows of resources and
fund balances
See accompanying Notes to the Basic Financial Statements.
27
Other Total
Governmental Governmental
Funds Funds
$ 28,499,340 $ 85,333,396
813,920 1,629,404
243,126 2,048,951
- 6,159,401
67,728 304,515
- 107,707
$ 29,624,114 $ 95,583,374
$ 492,271 $
4,682,795
115,415
505,697
12,331
13,709
65,170
145,310
-
53,990
28,369
421,829
713,556
5,823,330
-
348,656
-
348,656
-
5,167,108
19,770,545
26,961,172
9,140,013
54,474,376
-
2,808,732
28,910,558
89,411,388
$ 29,624,114
$ 95,583,374
(Concluded)
This page intentionally left blank.
28
Town of Danville
Reconciliation of Governmental Funds Balance Sheet to the
Government -Wide Statement of Net Position
June 30, 2020
Total Fund Balances - Total Governmental Funds $ 89,411,388
Amounts reported for governmental activities in the Statement of Net Position are different because:
Capital assets used in governmental activities are not current financial resources
and therefore are not reported in the Governmental Funds Balance Sheet.
Non -depreciable capital assets 145,958,256
Depreciable capital assets, net 35,265,466
Total capital assets 181,223,722
Interest payable on long-term debt does not require current financial resources. Therefore, interest payable is not (90,622)
reported as a liability in the Governmental Funds Balance Sheet.
Unavailable revenues recorded in Governmental Fund Financial Statements resulting
from activities in which revenues were earned but were not available are
reclassified as revenues in the Government -Wide Financial Statements. 348,656
Long-term liabilities are not due and payable in the current period and therefore
they are not reported in the Governmental Funds Balance Sheet.
Long-term debt due within one year (610,000)
Long-term liabilities - due in more than one year:
- Certificates of participation (5,755,000)
- Compensated absences payable (939,029)
Total long-term debt (7,304,029)
Net Position of Governmental Activities $ 263,589,115
See accompanying Notes to the Basic Financial Statements.
29
Town of Danville
Statement of Revenues, Expenditures, and Changes in Fund Balances
For the Year Ended June 30, 2020
EXPENDITURES:
Major Funds
Current:
Regional Traffic
Capital
General government
Lighting and
Impact Fees
Improvement
-
Police services
Landscape Special
Special Revenue
Capital Projects
-
General Fund
Revenue Fund
Fund
Fund
REVENUES:
Lighting and landscape
-
3,703,613
-
Property taxes
$ 16,025,356
$ -
$ -
$ -
Sales taxes
5,740,046
-
-
-
Special assessments
-
3,038,347
-
-
Other taxes
2,249,988
-
-
-
Charges for services
1,413,021
-
-
-
Licenses and permits
356,849
-
-
-
Development fees
-
-
229,368
-
Intergovernmental
34,107
-
-
48,755
Fines and forfeitures
128,312
-
-
-
Use of money and property
2,563,838
62,164
205,853
871,982
Reimbursement from Successor Agency
812,456
-
-
-
Miscellaneous
218,639
111,318
-
40,500
Total revenues
29,542,612
3,211,829
435,221
961,237
EXPENDITURES:
Current:
General government
1,905,768
-
-
-
Police services
9,527,174
-
-
-
Maintenance services
2,144,361
-
-
114,421
Lighting and landscape
-
3,703,613
-
-
Development services
1,065,708
-
-
1,029,691
Administrative services
3,698,300
2,973
2,784
20,920
Recreation, arts, & community services
3,195,525
-
-
24,586
Capital outlay
-
-
-
12,707,917
Debt service:
Principal
480,000
-
-
-
Interest
332,456
-
-
-
Total expenditures
22,349,292
3,706,586
2,784
13,897,535
REVENUES OVER (UNDER) EXPENDITURES
7,193,320
(494,757)
432,437
(12,936,298)
OTHER FINANCING SOURCES (USES):
Proceeds from sale of property
3,274,939
-
-
-
Transfers in
297,553
1,000,000
-
10,334,475
Transfers out
(11,459,475)
(292,039)
-
-
Total financing sources (uses)
(7,886,983)
707,961
-
10,334,475
NET CHANGE IN FUND BALANCES
(693,663)
213,204
432,437
(2,601,823)
FUND BALANCES:
Beginning of year
27,268,611
4,090,967
4,256,379
27,534,718
End of year
$ 26,574,948 $
4,304,171 $
4,688,816
$ 24,932,895
(Continued)
See accompanying Notes to the Basic Financial Statements.
30
Town of Danville
Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued)
For the Year Ended June 30, 2020
REVENUES:
Property taxes
Sales taxes
Special assessments
Other taxes
Charges for services
Licenses and permits
Development fees
Intergovernmental
Fines and forfeitures
Use of money and property
Reimbursement from Successor Agency
Miscellaneous
Total revenues
EXPENDITURES:
Current:
General government
Police services
Maintenance services
Lighting and landscape
Development services
Administrative services
Recreation, arts, & community services
Capital outlay
Debt service:
Principal
Interest
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Proceeds from sale of property
Transfers in
Transfers out
Total financing sources (uses)
NET CHANGE IN FUND BALANCES
FUND BALANCES:
Beginning of year
End of year
See accompanying Notes to the Basic Financial Statements.
31
Other
Governmental
Funds
Total
Governmental
Funds
$ -
$ 16,025,356
-
5,740,046
556,326
3,594,673
2,472,101
4,722,089
608,541
2,021,562
10,527
367,376
2,241,695
2,471,063
1,125,308
1,208,170
-
128,312
561,891
4,265,728
-
812,456
574,185
944,642
8,150,574
42,301,473
16,246
1,922,014
131,336
9,658,510
2,153,034
4,411,816
-
3,703,613
3,454,003
5,549,402
52,458
3,777,435
288,042
3,508,153
490,313
13,198,230
-
480,000
-
332,456
6,585,432
46,541,629
1,565,142
(4,240,156)
-
3,274,939
300,000
11,932,028
(180,514)
(11,932,028)
119,486
3,274,939
1,684,628
27,225,930
(965,217)
90,376,605
$ 28,910,558 $ 89,411,388
(Concluded)
Town of Danville
Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and Changes in
Fund Balances to Government -Wide Statement of Activities
For the Year Ended June 30, 2020
Net Change in Fund Balances - Total Governmental Funds $ (965,217)
Amounts reported for governmental activities in the Statement of Activities are different because:
Governmental Funds report capital outlay as expenditures. However, in the Government -Wide Statement of Activities the
cost of those assets is allocated over their estimated useful lives as depreciation expense. This is the amount of capital
assets recorded in the current period. 13,198,230
Depreciation expense on capital assets is reported in the Government -Wide Statement of Activities, but they do not require
the use of current financial resources. Therefore, depreciation expense is not reported as expenditures in Governmental
Funds. (1,995,993)
The net effect of various miscellaneous adjustments (i.e. sales and deletions) involving capital assets. (2,929,416)
Revenues that have not met the revenue recognition criteria in the Fund Financial Statements are recognized as revenue in
the Government -Wide Financial Statements. (27,546)
Long-term compensated absences are reported in the Government -Wide Statement of Activities, but they do not require
the use of current financial resources. Therefore, long-term compensated absences are not reported as expenditures in
Governmental Funds. The following amount represents the change in long-term compensated absences from the prior year. (66,723)
Repayment of bond principal reduces long-term liabilities in the Government -Wide Statement of Net Position.
Long-term debt repayments:
- Certificates of participation 480,000
Interest expense on long-term debt is reported in the Government -Wide Statement of Activities but they do not require the
use of current financial resources. Therefore, interest expense is not reported as expenditures in Governmental Funds. The
following amount represents the change in accrued interest from the prior year. 9,505
Change in Net Position of Governmental Activities $ 7,702,840
See accompanying Notes to the Basic Financial Statements.
32
FIDUCIARY FUND FINANCIAL STATEMENTS
33
This page intentionally left blank.
34
Town of Danville
Fiduciary Fund Financial Statements
TRUST FUND
Successor Agency Trust Fund
The Successor Agency to the former Community Development Agency (CDA) of the Town of Danville was established
as a result of the passage of Assembly Bill xl 26, which dissolved all Redevelopment Agencies in the State of California
effective February 1, 2012. On January 10, 2012, pursuant to Health and Safety Code Section 34173, the Town Council
declared that the Town of Danville would act in a special limited capacity as Successor Agency for the dissolved
Community Development Agency of the Town of Danville, effective February 1, 2012. The Successor Agency is
responsible for day to day administration of the former CDA, including identification and payment of enforceable and
recognized obligations of the former CDA, and disbursement of available assets. An Oversight board, consisting of 7
members, was appointed to supervise the Successor Agency's wind down of the former CDA.
AGENCY FUNDS
Deposits Fund
This fund is comprised of money temporarily deposited with the Town. Examples of deposits include cash improvement
bonds posted by developers, performance bonds posted by contractors, third party pass-through fees and employee benefit
allocations.
35
Town of Danville
Fiduciary Fund
Statement of Fiduciary Net Position
June 30, 2020
ASSETS
Cash and investments
Cash and investments with fiscal agents
Total assets
LIABILITIES
Accounts payable
Loan payable to Town
Loan payable, due within one year
Loan payable, due in more than one year
Interest payable
Deposits
Total liabilities
NET POSITION (DEFICIT)
Unrestricted (deficit)
Total net position
See accompanying Notes to the Basic Financial Statements.
36
Successor
Agency
Trust Fund
Agency Funds
$ 798,647 $ 1,147,553
376,122 248,073
1,174,769 $ 1,395,626
5,080 $ 64,924
6,159,401 -
180,000
2,105,000
475,312 -
- 1,330,702
8,924,793 $ 1,395,626
(7,750,024)
$ (7,750,024)
Town of Danville
Fiduciary Fund
Statement of Changes in Fiduciary Net Position
For the Year Ended June 30, 2020
DEDUCTIONS:
Amount allocated to General Fund for principal payment 645,000
Interest 310,283
Other - Staff expenses and miscellaneous 24,369
Total deduction 979,652
Changes in net position 1,317,406
NET POSITION (deficit):
Beginning of year (9,067,430)
End of year $ (7,750,024)
See accompanying Notes to the Basic Financial Statements.
37
Successor
Agency
Trust Fund
ADDITIONS:
Propertytax receipt
$ 2,292,878
Miscellaneous
4,180
Total additions
2,297,058
DEDUCTIONS:
Amount allocated to General Fund for principal payment 645,000
Interest 310,283
Other - Staff expenses and miscellaneous 24,369
Total deduction 979,652
Changes in net position 1,317,406
NET POSITION (deficit):
Beginning of year (9,067,430)
End of year $ (7,750,024)
See accompanying Notes to the Basic Financial Statements.
37
This page intentionally left blank.
38
NOTES TO THE BASIC FINANCIAL STATEMENTS
39
Town of Danville
Index to Notes to the Basic Financial Statements
For the Year Ended June 30, 2020
Table of Contents
Page
Note1— Reporting Entity........................................................................................................................41
Note 2 — Summary of Significant Accounting Policies......................................................................................41
A.
Basis of Presentation, Basis of Accounting, and Measurement Focus.....................................................41
B.
Cash and Investments................................................................................................................................44
C.
Cash and Investments with Fiscal Agent..................................................................................................45
D.
Land Held for Redevelopment..................................................................................................................45
E.
Capital Assets............................................................................................................................................46
F.
Unearned Revenues...................................................................................................................................47
G.
Compensated Absences.............................................................................................................................48
H.
Long -Term Debt.......................................................................................................................................48
I.
Fund Balance............................................................................................................................................48
J.
Net Position...............................................................................................................................................49
K.
Spending Policies......................................................................................................................................49
L.
Property Taxes..........................................................................................................................................49
M.
Use of Accounting Estimates....................................................................................................................49
N.
Implementation of New GASB Pronouncements.....................................................................................50
Note 3
— Cash and Investments...........................................................................................................................50
A.
Demand Deposits......................................................................................................................................51
B.
Investments...............................................................................................................................................52
C.
External Investment Pool..........................................................................................................................53
D.
Restricted Cash and Investments Held with Fiscal Agent........................................................................54
E.
Risk Disclosures........................................................................................................................................54
Note4
— Capital Assets........................................................................................................................................56
A.
Governmental Activities...........................................................................................................................56
Note 5
— Interfund Transactions.........................................................................................................................58
A.
Transfers In/Out........................................................................................................................................58
Note 6
— Loans Receivable from Successor Agency to the
Former Community Development Agency......................................................................................58
A.
Successor Agency (SA) Cooperative Agreement Loan Receivable.........................................................59
Note7
— Unearned Revenue................................................................................................................................59
Note8
— Long -Term Obligations........................................................................................................................60
A.
Governmental Activities...........................................................................................................................60
B.
Fiduciary Fund Financial Statements........................................................................................................62
Note9
— Defined Contribution Pension Plan.....................................................................................................63
Note 10 — Fund Balance Classification...............................................................................................................64
Note11—
Risk Management................................................................................................................................65
Note12 — Commitments and Contingencies......................................................................................................66
40
Town of Danville
Notes to the Basic Financial Statements
For the Year Ended June 30, 2020
Note 1— Reporting Entity
The Town of Danville is a largely residential community located in the San Ramon Valley area of Contra Costa
County, California. The Town was incorporated as a municipal corporation in 1982, and encompasses eighteen
square miles with a population of 44,626.
The Town operates under the Council -Manager form of government, with five elected Council members served by a
full-time Town Manager and staff. The Town's staff of 131.25 employees, as well as 30 County Sheriff's
Department employees under contract with the Town, are responsible for the following Town services:
• Public Safety The Town provides round-the-clock police services from a central station, using trained
personnel provided under contract with the County Sheriff's Department.
• Streets and Roads — The Town builds and maintains its streets, curbs, gutters and related public property
using Town employees. Major projects may be contracted to reduce costs.
• Parks and recreation, public improvements, planning, zoning and other services are provided by Town
employees.
• Maintenance — In addition to Town staff, the Town employs varying numbers of seasonal personnel for
maintenance and recreation services.
The accompanying financial statements include the financial activities of the Town (the primary government) and its
component units. The component units discussed below are included in the Town's reporting entity because of the
significance of their operational or financial relationships with the Town, including the Town Council, which acts as
the governing board. In addition, Town staff performs all administrative and accounting functions for these entities,
and these entities provide their services entirely to the Town. These blended component units, although legally
separate entities, are, in substance, part of the Town's operations.
Note 2 — Summary of Significant Accounting Policies
A. Basis of Presentation, Basis of Accounting, and Measurement Focus
The basic financial statements of the Town have been prepared in conformity with accounting principles general
accepted of the United States of America ("U.S. GAAP") as applied to governmental agencies. The
Governmental Accounting Standards Board ("GASB") is the accepted standard setting body for establishing
governmental accounting and financial reporting principles.
The accounts of the Town are organized on the basis of funds, each of which is considered a separate accounting
entity. The operations of each fund are accounted for with a separate set of self -balancing accounts that comprise
its assets, liabilities, fund equity, revenues, and expenditures or expenses, as appropriate. Governmental
resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be
spent and the means by which spending activities are controlled.
41
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
A. Basis of Presentation, Basis of Accounting, and Measurement Focus (Continued)
The Statement of Net Position/Balance Sheet reports separate sections for deferred outflows of resources and
deferred inflows of resources, when applicable.
Deferred Outflows of Resources represent outflows of resources (consumption of net position) that apply to
future periods and that, therefore, will not be recognized as an expense until that time.
Deferred Inflows of Resources represent inflows of resources (acquisition of net position) that apply to
future periods and that, therefore, are not recognized as revenue until that time.
Government — Wide Financial Statements
The Town's Government -Wide Financial Statements include a Statement of Net Position and a Statement of
Activities and Changes in Net Position. These statements present summaries of governmental activities for the
Town. Fiduciary activities of the Town are not included in these statements.
These financial statements are presented on an "economic resources" measurement focus and the accrual basis
of accounting. Accordingly, all of the Town's assets and liabilities, including capital assets, as well as
infrastructure assets, and long-term liabilities, are included in the accompanying Statement of Net Position. The
Statement of Activities presents changes in net position. Under the accrual basis of accounting, revenues are
recognized in the period in which they are earned while expenses are recognized in the period in which the
liability is incurred.
Certain types of transactions are reported as program revenues for the Town in three categories:
Charges for services
Operating grants and contributions
Capital grants and contributions
Certain eliminations have been made in regards to interfund activities, payables and receivables. All internal
balances in the Statement of Net Position have been eliminated. The following interfund activities have been
eliminated:
• Due To/From Other Funds
• Transfers In/Out
Governmental Funds Financial Statements
All governmental funds are accounted for on a spending or "current financial resources" measurement focus and
the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are included on
the Balance Sheet. The Statement of Revenues, Expenditures and Changes in Fund Balances presents increases
(revenues and other financing sources) and decreases (expenditures and other financing uses) in net current
assets. Under the modified accrual basis of accounting, revenues are recognized in the accounting period in
which they become both measurable and available to finance expenditures of the current period.
42
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
A. Basis of Presentation, Basis of Accounting, and Measurement Focus (Continued)
Revenues are recognized as soon as they are both "measurable" and "available." Revenues are considered to be
available when they are collectible within the current period as soon as enough thereafter to pay liabilities of the
current period. For this purpose, the Town considers revenues to be available if they are collected within 60 days
of the end of the current fiscal period. The primary revenue sources, which have been treated as susceptible to
accrual by the Town, are property tax, sales tax, intergovernmental revenues and other taxes. Expenditures are
recorded in the accounting period in which the related fund liability is incurred.
The Reconciliation of the Fund Financial Statements to the Government -Wide Financial Statements is provided
to explain the differences.
The Town reports the following major Governmental Funds:
General Fund
The General Fund is the general operating fund of the Town. It is used to account for all financial resources
except those required to be accounted for in another fund. The major revenue sources for this fund are
property taxes, sales taxes, unrestricted revenues from the State, licenses and permits, fines and forfeitures
and interest income. Expenditures are made for administration, legislation, public safety, parks and
recreation and other services.
Lighting and Landscaping Special Revenue Fund
Assessments paid by property owners who receive street lighting services and assessments paid by all
property owners for landscape and park maintenance are received into this Fund. The income is used to pay
energy costs for the street lighting system and community roadside, median and park landscape costs.
Regional Traffic Impact Fees Special Revenue Fund
Development impact fees are collected for local, sub -regional and regional traffic improvements. Sub -
regional and regional fees are collected on behalf of other agencies and distributed to the lead agency for
project construction.
Capital Improvement Capital Projects Fund
This Fund receives contributions from the General Fund for future capital improvements, in accordance with
the Town's Capital Improvement Program.
Fiduciary Fund Financial Statements
Fiduciary Fund Financial Statements include a Statement of Fiduciary Net Position and a Statement of Changes
in Fiduciary Net Position. The Town's Fiduciary Funds represent Agency Funds and a Private Purpose Trust
Fund. Agency Funds are custodial in nature (assets equal liabilities) and do not involve measurement of results
of operations. The Fiduciary Funds are accounted for using the accrual basis of accounting.
43
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
A. Basis of Presentation, Basis of Accounting, and Measurement Focus (Continued)
The Town reports the following Private Purpose Trust Fund:
Successor Agency Trust Fund
The Successor Agency to the former Community Development Agency ("CDA") of the Town of Danville was
established as a result of the passage of Assembly Bill xl 26, which dissolved all Redevelopment Agencies in
the State of California effective February 1, 2012. On January 10, 2012 pursuant to Health and Safety Code
Section 34173, the Town Council declared that the Town would act in a special limited capacity as Successor
Agency for the dissolved CDA, effective February 1, 2012. The Successor Agency is responsible for day to
day administration of the former CDA, including identification and payment of enforceable and recognized
obligations of the former CDA, and disbursement of available assets. An Oversight board, consisting of seven
members, was appointed to supervise the Successor Agency's wind down of the former CDA.
The Town reports the following Agency Fund:
Deposits Fund
This Fund is comprised of money temporarily deposited with the Town. Examples of deposits include cash
improvement bonds posted by developers, performance bonds posted by contractors, third party pass-through
fees and employee benefit allocations.
B. Cash and Investments
The Town pools its available cash for investment purposes. The Town's cash and cash equivalents are considered
to be cash on hand, demand deposits, and short-term investments with original maturity of three months or less
from the date of acquisition. Cash and cash equivalents are combined with investments and displayed as cash and
investments.
Certain disclosure requirements for deposits and investment risks were made in the following areas:
• Interest rate risk
• Credit risk
• Overall
• Custodial credit risk
• Concentrations of credit risk
44
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
B. Cash and Investments (Continued)
In addition, other disclosures are specified including use of certain methods to present deposits and investments,
highly sensitive investments, credit quality at year-end and other disclosures.
Highly liquid market investments with maturities of one year or less at time of purchase are stated at amortized
cost. All other investments are stated at fair value. Market value is used as fair value for those securities for
which market quotations are readily available.
U.S. GAAP defines fair value, establishes a framework for measuring fair value and establishes disclosures about
fair value measurement. Investments, unless otherwise specified, recorded at fair value in the Statements of Net
Position, are categorized based upon the level of judgment associated with the inputs used to measure their fair
value. Levels of inputs are as follows:
Level 1 — Inputs are unadjusted, quoted prices for identical the asset or liability in active markets at the
measurement date.
Level 2 — Inputs, other than quoted prices included in Level 1, that are observable for the asset or liability
through corroboration with market data at the measurement date.
Level 3 — Unobservable inputs that reflect management's best estimate of what market participants would
use in pricing the asset or liability at the measurement date.
The Town maintains a cash and investment pool, which includes cash balances and authorized investments of all
funds, which the Town Treasurer invests to enhance interest earnings. The pooled interest earned is allocated to
each fund based on its average monthly cash and investment balances.
The Town participates in an investment pool managed by the State of California titled Local Agency Investment
Fund ("LAIF"), which has invested a portion of the pool funds in structured notes and asset-backed securities.
LAIF's investments are subject to credit risk with the full faith and credit of the State of California collateralizing
these investments. In addition, these structured notes and asset-backed securities are subject to market risk with
changes in interest rates.
C. Cash and Investments with Fiscal Agents
Certain restricted cash and investments are held by fiscal agents for the redemption of bonded debt and for
acquisition and construction of capital projects.
D. Land Held for Redevelopment
The Successor Agency of the Town holds one parcel of land acquired by the former CDA as part of that entity's
primary purpose before dissolution to develop or redevelop Town properties. The property was deeded to the
Town on March 28, 2016 for capital projects.
45
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
E. Capital Assets
Capital assets, which include lands, buildings, improvements, furniture, equipment and infrastructure assets (e.g.,
roads, bridges, signal systems and similar items) are reported in the applicable governmental activities in the
Government -Wide Financial Statements.
The Town defines infrastructure as the primary physical assets that allow the Town to conduct its business. The
Town's infrastructure assets include:
• Street system
• Street signal system
• Park and recreation lands and improvement systems
• Storm water conveyance system
• Bridges
• Buildings combined with site amenities such as parking and landscaped areas
Each major infrastructure system can be divided into subsystems. For example, the street system can be
subdivided into the following:
• Pavement
• Medians
• Curb and gutters
• Landscaping and land
The detail of these subsystems is not presented in the basic financial statements. However, the operating
departments maintain information regarding the subsystems.
Capital assets are recorded at historical cost or estimated historical cost if actual cost was not available. Donated
assets are valued at their estimated acquisition value on the date donated. Town policy has set the capitalization
thresholds for reporting capital assets at the following:
• All buildings (no threshold)
• $20,000 for roads and bridges/box culverts
• $10,000 for traffic signals and storm drain pipes
• $5,000 for furniture, fixtures, equipment, catch basins and manholes
Depreciation is recorded on a straight-line basis over the useful lives of all other assets, except for infrastructure,
as follows:
Building and parking lots 40 years
Park improvements 5 years
Furnitures and equipment 3 - 10 years
Infrastructure 30 - 50 years
46
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
E. Capital Assets (Continued)
The Town elected to use the Modified Approach as defined by GASB Statement No. 34 for infrastructure
reporting of its streets, concrete and asphalt pavements. This condition assessment will be performed every three
years. Each homogeneous segment of Town -owned street was assigned a physical condition based on potential
defects. A Pavement Condition Index (PCI) was assigned to each street segment. The PCI is expressed in a
continuous scale from 0 to 100, where 0 is assigned to the least acceptable physical condition and 100 is assigned
to segments of street that have the physical characteristics of a new street.
The following conditions were defined:
Very good condition 70-100
Good condition 50-69
Poor condition 26-49
Very poor condition 0-25
The Town's policy relative to maintaining the street assets is to achieve an average rating of 65-70 for all street
segments. This acceptable rating allows minor cracking and raveling of the pavement along with minor
roughness that could be noticeable to drivers traveling at the posted speeds.
For all other infrastructure systems, the Town elected to use the Basic Approach as defined by GASB Statement
No. 34. The Town appraised its own infrastructure as of July 1, 2001 and has completed an internal update for
June 30, 2019. The 2001 appraisal determined the original cost, which is defined as the actual cost to acquire new
property in accordance with market prices at the time of first construction/acquisition. Original costs were
developed in one of three ways:
1. Historical records;
2. Standard unit costs appropriate for the construction/acquisition date;
3. Present cost indexed by a reciprocal factor of the price increase from the construction/acquisition date to
the current date.
The accumulated depreciation from the date of construction/acquisition to the current date was computed using
industry accepted life expectancies for each infrastructure subsystem. The book value was then computed by
deducting the accumulated depreciation from the original cost.
F. Unearned Revenues
For the Government -wide Financial Statements, unearned revenue is recognized in connection with a transaction
before the earnings process is completed.
For the Governmental Fund Financial Statements, unearned revenues arise when potential revenues do not meet
both the "measurable" and "available" criteria for recognition in the current period. Unearned revenues also arise
when the government receives resources before it has a legal claim to them, as when grant monies are received
prior to incurring qualifying expenditures. In subsequent periods, when both revenue recognition criteria are met
or when the government has a legal claim to the resources, unearned revenues are removed from the combined
balance sheet and revenue is recognized.
47
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
G. Compensated Absences
Compensated absences include general leave, which covers vacations up to the cap amount based on years of
services and hire date, and is accounted for in accordance with U.S. GAAP. It is the policy of the Town to pay
when an employee retires or terminates. This amount is funded at a level that recognizes each employee's ability
to request leave during employment and is included as a liability in the Government -wide Financial Statements.
Compensated absences liabilities of governmental activities are generally liquidated by the General Fund (75%),
Building and Planning Special Revenue Fund (10%), and Other Special Revenue Funds (15%).
H. Long -Term Debt
In the Government -wide Financial Statements, long-term debt is reported as liabilities. Bonds payable are
reported net of the applicable bond premium or discount.
For Governmental Fund Financial Statements, bond premiums and discounts, as well as bond issuance costs, are
recognized during the current period. Bond proceeds are reported as other financing sources net of the applicable
premium or discount. Issuance costs, whether or not withheld from the actual net proceeds received, are reported
as debt service expenditures.
I. Fund Balance
In the Governmental Fund Financial Statements, fund balances are classified in the following categories:
Nonspendable — Items cannot be spent because they are not in spendable form, such as prepaid items and
inventories, items that are legally or contractually required to be maintained intact, such as principal of an
endowment or revolving loan funds.
Restricted — Restricted fund balances encompass the portion of net fund resources subject to externally
enforceable legal restrictions. This includes externally imposed restrictions by creditors, such as through debt
covenants, grantors, contributors, laws or regulations of other governments, as well as restrictions imposed
by law through constitutional provisions or enabling legislation.
Committed — Committed fund balances encompass the portion of net fund resources, the use of which is
constrained by limitations that the government imposes upon itself at its highest level of decision making
(normally the governing body) and that remain binding unless removed in the same manner. The Town
Council is considered the highest authority for the Town. A Town resolution is required to have fund
balance committed.
Assigned — Assigned fund balances encompass the portion of net fund resources reflecting the government's
intended use of resources. Assignment of resources can be done by the highest level of decision making or by
a committee or official designated for that purpose. The Town Council has authorized the Town Manager
and the Finance Manager/Treasurer for that purpose.
Unassizned — This category is for any balances that have no restrictions placed upon them. The General
Fund is the only fund that reports a positive unassigned fund balance amount. In other governmental funds it
is not appropriate to report a positive unassigned fund balance amount. However, in governmental funds
other than the General Fund, if expenditures incurred for specific purposes exceed the amounts that are
restricted, committed, or assigned to those purposes, it may be necessary to report a negative unassigned fund
balance in that fund.
48
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
J. Net Position
For the Government -Wide Financial Statements, net position is classified in the following categories:
Net Investment in Capital Assets component of net position consists of capital assets net of accumulated
depreciation, reduced by the outstanding balances of bonds, mortgages, notes, or other borrowings that are
attributable to the acquisition, construction, or improvement of those assets.
Restricted component of net position consists of restricted assets reduced by liabilities and deferred inflows
of resources related to those assets.
Unrestricted component of net position is the amount of the assets, deferred outflows of resources,
liabilities, and deferred inflows of resources that are not included in the determination of net investment in
capital assets or the restricted component of net position.
K. Spending Policies
For Government -Wide Financial Statements, when an expense is incurred for purposes for which both restricted
and unrestricted net position are available, the Town's policy is to apply restricted net position first.
For Governmental Fund Financial Statements, the Town's policy is to spend restricted fund balances first,
before spending unrestricted fund balances, for expenditures incurred for purposes for which both restricted and
unrestricted fund balances are available, except for instances wherein a Town ordinance or resolution specifies
the funding source or a fund balance to use.
The Town's policy is that committed and assigned fund balances are considered to have been spent first before
unassigned fund balances have been spent, when expenditures are incurred for purposes for which amounts in
any of those unrestricted fund balance classifications could be used, except for instances wherein a Town
ordinance specifies the fund balance to use.
L. Property Taxes
Revenue is recognized in the fiscal year for which the tax and assessment is levied. The County of Contra Costa
levies, bills and collects property taxes and special assessments for the Town and remits the full assessment
regardless of the amounts received under a Teeter plan arrangement.
Property Tax
Lien Date
Due Date
Delinquent Date
M. Use of Accounting Estimates
Secured
January 1
(Preceding fiscal year)
November 1 & February 1
December 10 & April 10
Unsecured
January 1
(Preceding fiscal year)
August 31
September 1
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates
and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the
disclosure of contingent assets and liabilities. In addition, estimates affect the reported amount of expenses.
Actual results could differ from these estimates and assumptions.
49
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 2 — Summary of Significant Accounting Policies (Continued)
N. Implementation of New GASB Pronouncements
During fiscal year ended June 30, 2020, the Town has implemented the following new GASB Pronouncements:
GASB Statement No. 95
In May 2020, GASB issued Statement No. 95, Postponement of the Effective Dates of Certain Authoritative
Guidance. The primary objective of this Statement is to provide temporary relief to governments and other
stakeholders in light of the COVID-19 pandemic. That objective is accomplished by postponing the effective
dates of certain provisions in Statements and Implementation Guides that first became effective or are
scheduled to become effective for periods beginning after June 15, 2018, and later. Application of this
statement did not have a material effect on the Town's financial statements for the fiscal year ending
June 30, 2020.
Note 3 — Cash and Investments
The following is a summary of pooled cash and investments, including restricted cash and investments held by the
Town, and cash and investments held by fiscal agents, at June 30, 2020:
At June 30, 2020, cash and investments, excluding restricted cash and investments held by fiscal agent, are reported
at fair value based on quoted market prices. The following table presents the fair value measurements of investments
recognized in the accompanying Statement of Net Position measured at fair value on a recurring basis and the level
within GASB 72 fair value hierarchy in which the fair value measurements fall at June 30, 2020:
50
Primary
Government
Fiduciary
Governmental
Fund Financial
Activities
Statements
Total
Cash and investments
$ 60,001,633
$ 1,946,200
$ 61,947,833
Restricted cash and investments:
Held by Town
25,331,763
-
25,331,763
Held by fiscal agents
1,629,404
624,195
2,253,599
Total cash and investments
$ 86,962,800
$ 2,570,395
$ 89,533,195
At June 30, 2020, cash and investments, excluding restricted cash and investments held by fiscal agent, are reported
at fair value based on quoted market prices. The following table presents the fair value measurements of investments
recognized in the accompanying Statement of Net Position measured at fair value on a recurring basis and the level
within GASB 72 fair value hierarchy in which the fair value measurements fall at June 30, 2020:
50
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 3 — Cash and Investments (Continued)
Investment
Demand deposits
Investments:
U.S. Securities:
U.S. Treasury
Federal Securities
Asset Backed Securities
Int'l Bank Recon & Development
International Finance Corp
Inter -American Dev Bank
U.S. Corporate Notes/FDIC:
State Street Bank Note
PNC Bank Callable
Blackrock Inc.
Apple Inc. Callable
Berkshire Hathaway Note
Oracle Corp. Callable Note
Paccar Financial Corp. Note
Chevron Corp Callable Note
Toyota Motor Credit Corp
US Bank NA Callable Note
Bank of NY Mellon Corp Callable Note
Apple Inc. Note
Wal-Mart Stores Callable Note
American Honda Finance Note
Local Agency Investment Fund (LAIF)
Money Market Funds
Total investments
Total cash and investments
802,273
Percentage of
Measurement
Fair Value
Investments
Input
$ 2,201,998
N/A
N/A
761,012
20,792,222
24.44%
Level
31,881,249
37.47%
Level
2,495,900
2.93%
Level
1,503,519
1.77%
Level
1,010,850
1.19%
Level
1,128,516
1.33%
Level
802,273
0.94%
Level
921,925
1.08%
Level
1,033,450
1.21%
Level
761,012
0.89%
Level
1,048,932
1.23%
Level
1,033,979
1.22%
Level
515,771
0.61%
Level
265,462
0.31%
Level 2
1,050,499
1.23%
Level
791,945
0.93%
Level
797,436
0.94%
Level
792,803
0.93%
Level
871,494
1.02%
Level
1,034,824
1.22%
Level
13,872,063
16.31%
N/A
671,474
0.79%
N/A
85,077,598 100.00%
$ 87,279,596
Investments securities classified in Level 2 of the fair value hierarchy are valued using prices determined by the
use of matrix pricing techniques maintained by the pricining vendors for these securities. Matrix pricing is used
to value securities based on the securities' relationship to benchmark quoted prices.
A. Demand Deposits
The carrying amounts of the Town's cash deposits were $2,201,998 at June 30, 2020. Bank balances as of
June 30, 2020, were $3,006,454 which were fully insured and collateralized with securities held by the pledging
financial institutions in the Town's name as discussed in the following.
The California Government Code (Code) requires California banks and savings and loan associations to secure
the Town's cash deposits by pledging securities as collateral. This Code states that collateral pledged in this
manner shall have the effect of perfecting a security interest in such collateral superior to those of a general
creditor. Thus, collateral for cash deposits is considered to be held in the Town's name.
The market value of pledged securities must equal at least 110% of the Town's cash deposits. California law also
allows institutions to secure Town deposits by pledging first trust deed mortgage notes having a value of 150%
of the Town's total cash deposits. The Town has waived collateral requirements for cash deposits that are fully
insured up to $250,000 by the Federal Deposit Insurance Corporation.
51
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 3 — Cash and Investments (Continued)
B. Investments
The Town reviews and refines its Investment Policy (Policy) annually, with the most recent revision approved by
the Town Council on November 19, 2019. The Policy states that the primary investment objective is safety with
investments being legally permitted and sufficiently liquid to meet forecasted needs. Maximization of interest
earnings is a secondary objective.
Further, the Policy states that the Town Treasurer has the ultimate responsibility to protect, preserve and maintain
cash and investments.
The Policy also established internal controls and reporting requirements and stipulates "Permitted Investments
and Limitation on Investments".
The Town is authorized by State statutes (California Government Code 53601) and in accordance with the
Town's Policy to invest in the following:
• U.S. Treasury Securities
• U.S. Government Federal Agencies
• Certificates of Deposit
• Bankers Acceptances
• Commercial Paper (Corporations)
• Medium -Term Corporate Notes
• Repurchase Agreements collateralized by U.S. Securities or U.S. Government Federal Agencies
• California Local Agency Investment Fund (LAIF)
• U.S. Government Mortgage Pass -Through Securities
• Collateralized Mortgage Obligations (CMOs)
• Asset -Backed Securities (ABS)
• Money Market Mutual Funds
• Passbook Savings and Demand Deposits Accounts
Additionally, the Town's Policy specifies the maximum percentage of the total investment portfolio that may be
held in each of the aforementioned securities.
In addition to State statutes, the Town establishes that funds on deposit in banks must be federally insured or
collateralized and investments shall:
(1) have maximum maturity not to exceed five years;
(2) be laddered and based on cash flow forecasts; and
(3) be subject to limitations to a certain percent of the portfolio for each of the authorized investments.
Investments were stated at fair value using the aggregate method in all funds and component units, resulting in
the following investment earnings in all funds and component units:
Interest earnings $ 1,549,749
Unrealized gain on changes in fair value of
investments 1,633,685
Total investment earnings $ 3,183,434
52
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 3 — Cash and Investments (Continued)
B. Investments (Continued)
The Town's investment practices are in compliance with California Government Code 53601 et seq., and the
Town's Policy. Securities that are purchased and maintain their rating are held to maturity with no exception.
Therefore, while GASB Statement No. 31 requires that investments be stated as "fair value" for annual financial
reporting purposes, the Town cannot realize either gains or losses in this valuation of the investments.
C. External Investment Pool
The Town invests in the Local Agency Investment Fund (LAIF), a State of California external investment pool.
The LAIF determines fair value on its investment portfolio based on market quotations for those securities where
market quotations are readily available and based on amortized cost or best estimate for those securities where
market value is not readily available. The Town's investments with the LAIF at June 30, 2020, include a portion
of the pool funds invested in Structured Notes and Asset -Backed Securities.
These investments may include the following:
Structured Notes which are debt securities (other than asset-backed securities) with cash flow characteristics
(coupon rate, redemption amount, or stated maturity) that depend upon one or more indices and/or that have
embedded forwards or options.
Asset -Backed Securities, the bulk of which are mortgage-backed securities, entitle its purchasers to receive a
share of the cash flows from a pool of assets such as principal and interest repayments from a pool of
mortgages (such as CMO's) or credit card receivables.
As of June 30, 2020, the Town had $13,872,063 invested in the LAIF, which had invested 3.37% of the pool
investment funds in structured notes and asset-backed securities.
The fair value of the Town's position in the LAIF pool is the same as the value of the pool shares.
The Pooled Money Investment Board provides oversight to the State Treasurer's pooled investment program.
The purpose of the board is to design and administer an effective cash management and investment program,
using all monies flowing through the State Treasurer's Office bank accounts and keeping all available funds
invested in a manner consistent with the goals of safety, liquidity, and yield. The Pooled Money Investment
Board is comprised of the State Treasurer as chair, the State Controller, and the Director of Finance. The
investment program is not registered with the Securities and Exchange Commission as an investment company.
The State Treasurer's Office reports its investments at fair value. The fair value of securities in the State
Treasurer's pooled investment program generally is based off of quoted market prices. The value of deposits in
the State Treasurer's pooled investment program, including the Local Agency Investment Fund, is equal to the
dollars deposited in the program.
Certain funds have elected to participate in the pooled investment program even though they have the authority
to make their own investments. Others may be required by legislation to participate in the program; as a result,
the deposits of these funds or accounts may be considered voluntary. However, these funds or accounts are part
of the State's reporting entity. The remaining participation in the pool, the Local Agency Investment Fund, is
voluntary.
53
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 3 — Cash and Investments (Continued)
D. Restricted Cash and Investments Held with Fiscal Agent
Restricted cash and investments with fiscal agents, which can be only used for specific capital outlays, payment
of certain long-term debt and maintaining required reserves, consists of $1,629,404 in the Governmental -wide
Statement of Net Position and $624,195 in the Statement of Fiduciary Net Position. These funds have been
invested only as permitted by specific State statutes governing these investments or by applicable Town
ordinance, resolution or bond indenture.
E. Risk Disclosures
Interest Rate Risk
As a means of limiting its exposure to fair value losses arising from rising interest rates, the Town's Policy
provides that final maturities of securities limits as follows:
Specific maturities of investments depend on liquidity needs. At June 30, 2020, the Town's pooled cash and
investments had the following maturities:
Investment Type
Demand deposits
Investments:
U.S. Securities:
U.S. Treasury
Federal Securities
Asset Backed Securities
Int'l Bank Recon & Development
International Finance Corp
Inter -American Dev Bank
U.S. CorporateNotes/FDIC:
State Street Bank Note
PNC Bank Callable
Blackrock Inc.
Apple Inc. Callable
Berkshire Hathaway Note
Oracle Corp. Callable Note
Paccar Financial Corp. Note
Chevron Corp Callable Note
Toyota Motor Credit Corp
US Bank NA Callable Note
Bank of NY Mellon Corp Callable Note
Apple Inc. Note
Wal-Mart Stores Callable Note
American Honda Finance Note
Local Agency Investment Fund (LAIF)
Money Market Funds
Total investments
Total cash and investments
Maturities (in years)
Fair Value I year or less 1-2 years 2-3 years 3-4 years 4-5 years
$ 2,201,998 $ 2,201,998 $ - $ - $ - $ -
20,792,222
Maximum
Maturity
Investment
Up to six months
25%
Six months to five years
75%
Specific maturities of investments depend on liquidity needs. At June 30, 2020, the Town's pooled cash and
investments had the following maturities:
Investment Type
Demand deposits
Investments:
U.S. Securities:
U.S. Treasury
Federal Securities
Asset Backed Securities
Int'l Bank Recon & Development
International Finance Corp
Inter -American Dev Bank
U.S. CorporateNotes/FDIC:
State Street Bank Note
PNC Bank Callable
Blackrock Inc.
Apple Inc. Callable
Berkshire Hathaway Note
Oracle Corp. Callable Note
Paccar Financial Corp. Note
Chevron Corp Callable Note
Toyota Motor Credit Corp
US Bank NA Callable Note
Bank of NY Mellon Corp Callable Note
Apple Inc. Note
Wal-Mart Stores Callable Note
American Honda Finance Note
Local Agency Investment Fund (LAIF)
Money Market Funds
Total investments
Total cash and investments
Maturities (in years)
Fair Value I year or less 1-2 years 2-3 years 3-4 years 4-5 years
$ 2,201,998 $ 2,201,998 $ - $ - $ - $ -
20,792,222
8,746,240
5,425,130 5,049,309 1,571,543
31,881,249
3,365,949
8,127,268 16,973,013 3,415,019 -
2,495,900
-
208,955 501,971 825,986 958,988
1,503,519
1,503,519
- - - -
1,010,850
1,010,850
-
1,128,516
-
1,128,516
802,273
802,273
921,925
921,925
1,033,450
1,033,450
-
761,012
-
761,012
1,048,932
1,048,932
1,033,979
1,033,979
-
515,771
-
515,771
265,462
265,462
1,050,499
1,050,499
791,945
791,945
797,436
797,436
792,803
792,803
871,494
871,494 -
1,034,824
- 1,034,824
13,872,063
13,872,063
-
671,474
671,474
-
- - -
85,077,598
31,927,743
17,733,792
27,609,703 6,847,372 958,988
$ 87,279,596
$ 34,129,741
$ 17,733,792
$ 27,609,703 $ 6,847,372 $ 958,988
54
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 3 — Cash and Investments (Continued)
E. Risk Disclosures (Continued)
Credit Risk
Credit risk is the risk that a security or a portfolio will lose some or all of its value due to a real or perceived
change in the ability of the issuer to repay its debt. According to the Town's Policy, no more than 5% of the total
portfolio may be invested in securities of any single issuer, other than the U.S. Government, its agencies and
instrumentalities and the LAIF. If a security (other than the LAIF) is downgraded by either Moody's or S&P to a
level below the minimum quality required by the Town, the Town will determine whether to retain or liquidate
the security based upon criteria set forth in the Town's Policy.
At June 30, 2020, the Town's investments are rated as follows:
Credit Quality Rating
Moody's S&P
Investments:
U.S. Securities:
U.S. Treasury
Aaa
AA+
Federal Securities
Aaa
AA+
Asset Backed Securities
Aaa
AAA
Int'l Bank Recon & Development
Aaa
AAA
International Finance Corp
Aaa
AAA
Inter -American Dev Bank
Aaa
AAA
U.S. CorporateNotes/FDIC:
State Street Bank Note
Al
A
PNC Bank Callable
A2
A
Blackrock Inc.
Aa3
AA-
AppleInc. Callable
Aal
AA+
Berkshire Hathaway Note
Aa2
AA
Oracle Corp. Callable Note
A3
A
Paccar Financial Corp. Note
Al
A+
Chevron Corp Callable Note
Aa2
AA
Toyota Motor Credit Corp
Al
A+
US Bank NA Callable Note
Al
AA -
Bank of NY Mellon Corp Callable Note
A 1
A
Apple Inc. Note
Aal
AA+
Wal-Mart Stores Callable Note
Aa2
AA
American Honda Finance Note
A3
A -
Local Agency Investment Fund (LAIF)
Not Rated
Not Rated
Money Market Funds
Aaa
AAA
Custodial Credit Risk
For an investment, custodial credit risk is the risk that, in the event of the failure of the counterparty, the Town
will not be able to recover the value of its investments or collateral securities that are in the possession of an
outside party. The Town does not have any custodial credit risk.
55
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 4 — Capital Assets
A. Governmental Activities
Summary of changes in capital assets for the year ended June 30, 2020 was as follows:
Governmental Activities:
Capital assets, not being depreciated
Land
Construction in progress
Infrastructure - streets, concrete & asphalt pavements
Total capital assets not being depreciated
Capital assets being depreciated
Buildings and parking lots/street
Park improvements
Furniture and equipment
Infrastructure:
Drainage system
Bridges
Signal system
Total capital assets being depreciated
Accumulated depreciation
Buildings and parking lots
Park improvements
Furniture and equipment
Infrastructure:
Drainage system
Bridges
Signal system
Total accumulated depreciation
Total capital assets, being depreciated, net
Governmental activities capital assets, net
Balance Transfers/ Balance
July 1, 2019 Additions Retirements Reclassifications June 30, 2020
$ 31,239,825
$ 2,907,042
$ (2,925,000)
$ -
$ 31,221,867
14,902,726
10,169,019
(140,227) - -
(3,411,241)
21,660,504
93,075,885
-
33,732,465
(1,873,824) (4,416) 3,411,241
93,075,885
139,218,436
13,076,061
(2,925,000)
(3,411,241)
145,958,256
36,628,607
-
3,244,998
39,873,605
23,875,267
-
166,243
24,041,510
5,069,577
122,169
(213,305)
-
4,978,441
56,689,603
-
56,689,603
11,069,233
11,069,233
6,997,956
6,997,956
140,330,243
122,169
(213,305)
3,411,241
143,650,348
(11,832,278)
(886,511)
-
(12,718,789)
(21,222,130)
(463,237)
-
(21,685,367)
(4,449,620)
(306,728)
208,889
(4,547,459)
(56,185,483)
(23,728)
(56,209,211)
(7,442,665)
(175,562)
(7,618,227)
(5,465,602)
(140,227) - -
(5,605,829)
(106,597,778)
(1,995,993) 208,889 -
(108,384,882)
33,732,465
(1,873,824) (4,416) 3,411,241
35,265,466
$172,950,901
$11,202,237 $ (2,929,416) $ -
$ 181,223,722
56
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 4 — Capital Assets (Continued)
A. Governmental Activities (Continued)
Depreciation expenses by program for capital assets for the year ended June 30, 2020, were as follows:
Police Services
Building
Furniture & equipment (vehicle)
Subtotal
Maintenance Services
Building
Parking lots
Park improvements
Furniture & equipment (vehicle)
Subtotal
Development Services
Furniture & equipment (vehicle)
Infrastructure - drainage
Infrastructure - bridge
Subtotal
Transportation Services
Furniture & equipment (vehicle)
Infrastructure - signal
Subtotal
Administrative Services
Building
Furniture & equipment (vehicle)
Subtotal
Parks and Recreation Services
Building
Park improvements
Furniture & equipment (vehicle)
Subtotal
Total depreciation expense
57
$ 19,250
146,501
165,751
489,867
249,260
462,265
83,655
1,285,047
21,212
23,728
175,562
220,502
1,362
140,227
141,589
1,212
37,498
38,710
126,922
972
16,500
144,394
$ 1,995,993
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 5 — Interfund Transactions
A. Transfers In/Out
Transfers in/out for the year ended June 30, 2020, were as follows:
Transfers In
Lighting
Capital
Landscape
Improvement
Special
Capital
Non -Major
General Revenue
Projects
Governmental
Fund Fund
Fund
Fund
Transfers Out (1)(4) (2)
(2)
(3)(5) Total
General Fund
Lighting & Landscape
Special Revenue Fund
Non -M ajor Governmental Fund
Total
$ - $ 1,000,000 $ 10,334,475 $ 125,000 $ 11,459,475
292,039 - - 292,039
5,514 - - 175,000 180,514
$ 297,553 $ 1,000,000 $ 10,334,475 $ 300,000 $ 11,932,028
The following are explanations for the transfers in and out:
(1) Transfers in to the General Fund were for overhead expenses chargeable to Special Revenue Funds.
(2) Transfers in to the Capital Improvement Capital Projects Fund and Lighting and Landscape Special
Revenue Fund were to fund various capital projects.
(3) Transfers in to the Non -Major Governmental Funds from other Non -Major Governmental Funds
were to fund various capital projects.
(4) Transfers in to the General Fund from the Non -Major Governmental Funds were for reimbursements
for administration.
(5) Transfers in to Non -Major Governmental Funds from the General Fund were for various projects.
Note 6 — Loans Receivable from Successor Agency to the Former Community Development Agency
In the fiscal year 2012, the Successor Agency Trust Fund was established to replace the Town's Community
Development Agency. Below are the accounts and transactions as of and for the year ended June 30, 2020:
Government -Wide Financial Statements
Loans Receivable
Cooperative Loan Agreement
Total
Transfers from Successor Agency
Funds Financial Statements
General Fund
Due from Successor Agency from
Former Community Development Agency
Total
58
S 6.159.401
I b,IJy,4u1
$ 812,456
$ 6,159,401
$ 6,159,401
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 6 — Loans Receivable from Successor Agency to the Former Community Development Agency
(Continued)
A. Successor Agency (SA) Cooperative Agreement Loan Receivable
Prior to the State of California's (State) dissolution of all redevelopment agencies, the Town of Danville and the
former Community Development Agency (CDA) had entered into a Cooperation Agreement (Agreement), under
which the Town advanced funds to the former CDA that were subject to later repayment by the former CDA.
The Successor Agency to the former CDA and the Successor Agency's Oversight Board approved re-entry into
the Agreement, as provided for in AB 1X 26 (the Dissolution Act).
The State Department of Finance determined that the Agreement was not an enforceable obligation, leading the
Town to file a lawsuit in the Sacramento County Superior Court (Superior Court) against the State challenging
that determination. The Town won its suit in Superior Court, leading to an appeal by the State. In May 2015, the
State dismissed its appeal, and at the same time, the Department of Finance accepted the Agreement as an
enforceable obligation. As a result, the Town received its first payment in June 2015 under the Agreement.
The Agreement incorporated the following payment schedule, which the Successor Agency and the Town will
follow when preparing future Recognized Obligation Payment Schedule (ROPS) statements. However, due to
the fact that the State refused to allow payment for the first several years post -dissolution, those amounts will be
paid in years subsequent to those shown in the Agreement. Therefore, an additional $3,195,604 was approved in
addition to the original amount and was recognized as special item in the basic financial statements.
Fiscal Year Amount
2020-2021
$ 1,100,000
2021-2022
1,100,000
2022-2023
1,100,000
2023-2024
1,100,000
2024-2025
1,100,000
2025-2026
659,401
Total $ 6,159,401
Note 7 — Unearned Revenue
Unearned revenue in Government -Wide Financial Statements and governmental funds statements represents amounts
for which revenues have not been earned. At June 30, 2020, unearned revenues in the Government -Wide Financial
Statements and governmental funds statements were as follows:
Governmental
Activities
Business Licenses $ 112,044
Other Town -reimbursed fees 63,325
Recreation Program Registration 246,460
Total $ 421,829
59
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 8 — Long -Term Obligations
A. Governmental Activities
A summary of changes in long-term debt for the year ended June 30, 2020 is as follows:
Certificates of Participation — 2001 Issue
The Town issued $6,700,000 principal amount of 2001 Certificates of Participation (2001 COPS) on
October 1, 2001. The purpose of the 2001 COPS was to provide funds to refund the outstanding 1992 Certificates
of Participation and to defease the 1994 Tax Allocation Bonds. The 2001 COPS in the amount of $3,745,000
matured on September 1, 2018, and bore interest rates ranging from 3.50% to 4.625%. The 2001 COPS in the
amount of $635,000 mature through September 1, 2020, and bear interest at the rate of 4.75% per annum. The
2001 COPs in the amount of $2,320,000 mature through September 1, 2026, and bear interest at the rate of
5.00% per annum.
The 2001 COPS are payable semiannually on each March 1 and September 1, commencing March 1, 2002 and
are subject to optional and mandatory early redemption provisions.
The annual debt service requirements for the 2001 COPS outstanding at June 30, 2020 are as follows:
For the Years Ending
June 30,
Principal
Interest
Total
Classification
$ 325,000
$ 123,719
$ 448,719
2022
Due
Due in
447,500
Balance
355,000
Balance
Within
More than
Description
July 1, 2019
Additions Retirements
June 30, 2020
One Year
One Year
cops:
2026-2027
850,000
43,000
893,000
Total
2001 issue
$ 2,955,000
$ $ (310,000)
$ 2,645,000
$ 325,000
$ 2,320,000
2005 issue
3,780,000
(170,000)
3,610,000
175,000
3,435,000
Compensated absences
982,306
817,290 (750,567)
1,049,029
110,000
939,029
Total
$ 7,717,306
$ 817,290 $ (1,230,567)
$ 7,304,029
$ 610,000
$ 6,694,029
Certificates of Participation — 2001 Issue
The Town issued $6,700,000 principal amount of 2001 Certificates of Participation (2001 COPS) on
October 1, 2001. The purpose of the 2001 COPS was to provide funds to refund the outstanding 1992 Certificates
of Participation and to defease the 1994 Tax Allocation Bonds. The 2001 COPS in the amount of $3,745,000
matured on September 1, 2018, and bore interest rates ranging from 3.50% to 4.625%. The 2001 COPS in the
amount of $635,000 mature through September 1, 2020, and bear interest at the rate of 4.75% per annum. The
2001 COPs in the amount of $2,320,000 mature through September 1, 2026, and bear interest at the rate of
5.00% per annum.
The 2001 COPS are payable semiannually on each March 1 and September 1, commencing March 1, 2002 and
are subject to optional and mandatory early redemption provisions.
The annual debt service requirements for the 2001 COPS outstanding at June 30, 2020 are as follows:
For the Years Ending
June 30,
Principal
Interest
Total
2021
$ 325,000
$ 123,719
$ 448,719
2022
340,000
107,500
447,500
2023
355,000
90,125
445,125
2024
380,000
71,750
451,750
2025
395,000
52,375
447,375
2026-2027
850,000
43,000
893,000
Total
$ 2,645,000
$ 488,469
$ 3,133,469
60
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 8 — Long -Term Obligations (Continued)
A. Governmental Activities (Continued)
Certificates of Participation — 2005 Issue
The Town issued $5,600,000 principal amount of 2005 Certificates of Participation (2005 COPS) on
March 1, 2005. The purpose of the 2005 COPs was to provide funds to finance the acquisition and improvement
of certain property for use as a public parking facility and other capital improvements with the Town. The 2005
COPS in the amount of $3,155,000 mature through March 1, 2026, and bear interest rates ranging from 4.000%
to 4.625%. The 2005 COPs in the amount of $965,000 mature through March 1, 2030, and bear interest at the
rate of 4.625% per annum.
The 2005 COPs in the amount of $1,480,000 mature through March 1, 2035, and bear interest at the rate of
4.625% per annum. The 2005 COPS are payable semiannually on each March 1 and September 1, commencing
September 1, 2005. The 2005 COPS are subject to optional and mandatory early redemption provisions.
The annual debt service requirements for the 2005 COPS outstanding at June 30, 2020, are as follows:
For the Years Ending
June 30,
Principal
Interest
Total
2021
$ 175,000
$ 165,332
$ 340,332
2022
180,000
157,676
337,676
2023
190,000
149,800
339,800
2024
200,000
141,250
341,250
2025
205,000
132,250
337,250
2026-2030
1,180,000
511,063
1,691,063
2031-2035
1,480,000
211,825
1,691,825
Total
$ 3,610,000
$ 1,469,196
$ 5,079,196
In accordance with the final Recognized Obligation Payment Schedule (ROPS) approved for the Successor
Agency to the the former Community Development Agency by the State Department of Finance, the Town
receives annual repayments from the Successor Agency in an amount equivalent to the annual principal and
interest payments for the 2001 and 2005 COPs.
Compensated Absences
The Town's liability for vested and unpaid compensated absences (accrued vacation and sick pay) has been
accrued and amounts to $1,049,029 at June 30, 2020. It is estimated that $110,000 will be needed to cover
employees who leave employment within one year.
61
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 8 — Long -Term Obligations (Continued)
B. Fiduciary Fund Financial Statements
Summary of changes in long-term obligations for the year ended June 30, 2020 was as follows:
Classification
Due Due in
Balance Balance Within More than
Description July 1, 2019 Additions Retirements June 30, 2020 One Year One Year
Loans payable $ 2,450,000 $ $ (165,000) $ 2,285,000 $ 180,000 $ 2,105,000
Total $ 2,450,000 $ $ (165,000) $ 2,285,000 $ 180,000 $ 2,105,000
Loan Payable
The Authority issued $3,570,000 principal amount of Taxable Revenue Bonds, 2001 Series A (Bonds) on
December 1, 2001. The proceeds of the Bonds were loaned to the former CDA pursuant to a Loan Agreement,
dated as of December 1, 2001 and used to finance low and moderate income housing project within the project
area. The Bonds in the amount of $35,000 matured through August 1, 2006, and bore interest at the rate of
6.15% per annum. The Bonds in the amount of $260,000 mature through August 1, 2011, and bear interest at the
rate of 7.25% per annum. The Bonds in the amount of $1,170,000 mature through August 1, 2020, and bear
interest at the rate of 8.15% per annum. The Bonds in the amount of $2,105,000 mature through August 1, 2028,
and bear interest at the rate of 8.50% per annum.
The Bonds are payable seminannually on each February 1 and August 1, commencing August 1, 2002. The
Bonds are subject to optional and mandatory early redemption provisions.
The Bonds are special obligations of the Authority payable from and secured by loan payments made by the
former CDA under the Loan Agreement and certain other amounts on deposit in the funds and accounts
established under the Indenture. The Loan Agreement is secured by the tax increment revenues of the former
CDA. This loan has been transferred to the Successor Agency Trust Fund.
The annual debt service requirements for the Bonds outstanding at June 30, 2020 are as follows:
For the Years Ending
June 30,
2021
2022
2023
2024
2025
2026-2029
Total
Principal
Interest
Total
$ 180,000
$ 186,261
$ 366,261
195,000
170,638
365,638
210,000
153,425
363,425
230,000
134,725
364,725
250,000
114,325
364,325
1,220,000
218,026
1,438,026
$ 2,285,000
$ 977,400
$ 3,262,400
62
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 9 — Defined Contribution Pension Plan
A. Section 401(a) Qualified Defined Contribution Pension Plan
All qualified Town employees participate in the Section 401(a) qualified defined contribution pension plan as
allowed under the Internal Revenue Code. The plan type sponsored by the Town is the Money Purchase Plan
(Plan), which was last amended on July 1, 2010. The Plan is a defined contribution retirement plan in which the
employer's contribution is nondiscretionary and is based on a formula that is not related to profits. The Plan
sponsor guarantees no benefit and bears no investment risk while the Plan participants bear all investment risk
and have no guaranteed level of benefits.
An administrative committee comprised of Town personnel governs the Plan. The Town Council has the
authority to establish or amend the Plan's provisions. The Plan's provisions and contribution requirements are
established and may be amended by Town Council resolution.
Eligible employees begin participating the first day of the month following their employment date of work. The
Plan is entirely funded by Town contributions of 15% of the participants' gross pay for employees who contribute
5% of their salary to the deferred compensation plan. The Town's contributions vest at 20% per plan year of
uninterrupted employment.
Participants are eligible to begin receiving benefits at age 55 and are required to begin receiving benefits no later
than April after age 70-1/2. The employees may also roll their funds to another retirement plan upon separation
of service.
The Town's payroll for employees covered by the Plan for the year ended June 30, 2020, was $9,038,846. Total
employee contributions paid by the Town amounted to $1,349,311 or 14.93% of covered payroll and of total
payroll.
The Plan's assets are invested with Lincoln National Life, a mutual fund company that offers participants
multiple mutual fund category selections from which they can choose. As of June 30, 2020, the Plan had 157
participants and the market value of the Plan amounted to $22,691,894.
B. Section 415(m) Benefit Restoration Plan
Qualified Town employees may participate in a Section 415(m) benefit restoration plan (415 Plan) as allowed
under the Internal Revenue Code. The 415 Plan is a qualified governmental excess benefit arrangement for
employees who are not able to receive their entire contribution to the Section 401(a) Plan because of the
application of Internal Revenue Code Section 415. The 415 Plan is a defined contribution retirement plan in
which the employer's contribution is nondiscretionary and is based on a formula that is not related to profits. The
Plan sponsor guarantees no benefit and bears no investment risk while the Plan participants bear all investment
risk and have no guaranteed level of benefits.
Participants are eligible to begin receiving benefits at age 55 and are required to begin receiving benefits no later
than April after age 70-1/2.
The Plan's assets are invested with a mutual fund company that offers participants multiple mutual fund category
selections from which they can choose. Total employee contributions paid by the Town amounted to $41,307. As
of June 30, 2020, the Plan had two participants and the market value of the Plan amounted to $285,012.
The Defined Contribution Pension Plan and the Benefit Restoration Plan are not included in the accompanying
financial statements.
63
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 10 — Fund Balance Classification
At June 30, 2020, fund balances are classified as follows:
Operating Reserve
The Town maintains a minimum operating reserve of 20% of the fiscal year operating budget, which may only be
used in the event of a financial emergency, subject to Town Council authorization. Town Resolution No. 35-98
defines the purpose and uses of the General Fund operating reserve.
64
M ajor Funds
Regional Traffic
Lighting
Impact Fee
Capital
and
Special
Improvement Non -Major
General
Landscape
Revenue
Project Governmental
Fund
Fund
Fund
Fund Funds
Total
Fund Balances:
Nonspendable
Due from Successor Agency of Former CDA
$ 5,059,401
$
$
$ $
$ 5,059,401
Prepaid items
107,707
107,707
Total nonspendable
5,167,108
5,167,108
Restricted
Special revenue
-
1,686,327
-
19,770,545
21,456,872
Tri -Valley Transportation - Residential
-
310,857
-
310,857
Tri -Valley Transportation- Commercial
111,960
111,960
SCC Regional
3,133,613
3,133,613
SCC Sub -regional
1,034,856
1,034,856
Dougherty Valley Fee
97,530
97,530
Debt services
815,484
-
-
815,484
Total restricted
815,484
1,686,327
4,688,816
19,770,545
26,961,172
Committed
Capital projects
5,019,915
-
-
24,932,895 9,140,013
39,092,823
Operating reserve
13,409,768
- -
13,409,768
Contingency
766,446
766,446
Reward fund
10,000
10,000
Compensated absences/personnel
1,195,339
-
1,195,339
Total committed
20,401,468
24,932,895 9,140,013
54,474,376
Assigned
Townwide bonus program
26,000
-
-
- -
26,000
Town Council
5,000
-
-
- -
5,000
EBRCS
-
-
-
- -
-
Emergency preparedness COVID-19
115,951
-
-
- -
115,951
Finance temporary salaries
-
-
-
- -
-
Information technology consulting services
10,000
-
-
- -
10,000
Human resources temporary salaries
-
-
-
- -
-
Human resources claims
-
-
-
-
ED retail consultant
21,937
21,937
Transportation equipment maintenance
12,000
12,000
Lighting and landscape
-
2,617,844
2,617,844
Total assigned
190,888
2,617,844
2,808,732
Total fund balance
$ 26,574,948
$ 4,304,171
$ 4,688,816
$ 24,932,895 $ 28,910,558
$ 89,411,388
Operating Reserve
The Town maintains a minimum operating reserve of 20% of the fiscal year operating budget, which may only be
used in the event of a financial emergency, subject to Town Council authorization. Town Resolution No. 35-98
defines the purpose and uses of the General Fund operating reserve.
64
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 11- Risk Management
The Town participates in the Municipal Pooling Authority (MPA), a joint powers agreement between 19 cities,
which provides insurance coverage for liability, auto, property and workers' compensation claims. Claim liabilities
are accrued when it is probable that a loss has occurred and the amount of that loss can be reasonably estimated.
The MPA covers claims in an amount up to $29,000,001. The Town has a deductible of $5,000 per claim for liability
cases and up to these pay for workers' compensation claims. The MPA is self-insured up to $1,000,000 per claim and
has excess coverage to a maximum of $29,000,000.
The MPA is governed by a board consisting of representatives from each member municipality. The Board, which
controls the operations of the MPA, including the selection of management and the approval of operating budgets, is
independent of any influence by member municipalities beyond their representation on the Board.
The Town's net general liability premium payments to the MPA in the amount of $643,321 for fiscal year 2019/2020
are in accordance with formulas established by the MPA. Actual surpluses or losses are shared according to a
formula developed from overall loss costs and spread to member entities on a percentage basis after a retrospective
rating.
Estimates of deductibles for incurred, but not reported, (IBNR) liability claims are included in the Town's claims
estimates and are based upon historical experiences as calculated by the MPA. During the year, the Town did not
receive a dividend from the MPA based on the results of prior years' actitivites. The following provides a
reconciliation of the amount accrued for estimated out of pocket amounts to be paid for IBNR deductibles:
Payments for
Beginning
Claims and
of Year
of Year
Changes in
Fiscal Year
Liability
Estimates
2017-2018
$ 45,746 $
20,040 $
2018-2019
41,919
3,072
2019-2020
34,510
33,060
Payments for
End
Current and
of Year
Prior Years
Liability
(23,867)
$ 41,919
(10,481)
34,510
(13,580)
53,990
The Town has had no settlements that exceeded insurance coverage in the last three fiscal years, and no changes in
insurance coverage from the prior year.
Because dividends cannot be guaranteed and may fluctuate significantly, these types of results should not be used to
forecast future years' results.
Insurance cost $ 643,321
Less: Dividend received -
Net insurance cost $ 643,321
65
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 11 - Risk Management (Continued)
The MPA's audited condensed financial information as of and for the year ended June 30, 2019, are as follows:
Total assets
$
71,223,097
Total deferred outflows of resources
$
452,032
Total liabilities
$
45,604,371
Total deferred inflows of resources
$
57,584
Total net position
$
26,013,174
Total operating revenues
$
29,091,046
Total operating expenses
$
21,684,370
Net operating (loss)
$
7,406,676
Non-operating revenues (expenses)
$
3,150,613
Change in net position
$
10,557,289
Detailed financial information may be obtained from the Municipal Pooling Authority (MPA) in Walnut Creek,
California.
Note 12 - Commitments and Contingencies
1,aW,Q7,1Z t.0
The Town is a defendant in a number of lawsuits which have arisen in the normal course of business. While
substantial damages are alleged in some of these actions, their outcome cannot be predicted with certainty. In the
opinion of the Town Attorney, these actions, when finally adjudicated, will not have a material adverse effect on
the financial position of the Town.
Annual Appropriations
Under Article X11113 of the California Constitution (the Gann Spending Limitation Initiative), the Town is restricted
as to the amount of annual appropriations, and if certain proceeds of taxes exceed allowed appropriations, the
excess must either be refunded to the State Controller or refunded to the taxpayers through revised tax rates or
revised fee schedules. For the fiscal year ended June 30, 2020, the Town's appropriations limit totals $42,044,414
and the Town's appropriations subject to limitation were $21,447,986.
66
Town of Danville
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2020
Note 12 — Commitments and Contingencies (Continued)
2019120 Appropriation Limit
Proposition 4, passed by the voters in 1978, requires that the Town Council adopt an annual appropriation limit for
proceeds of taxes. This limit fixes the amount of general tax revenue that can be appropriated in a given fiscal
year. Any excess must be returned to the taxpayers. The limit is adjusted each year by established adjustment
factors.
Proposition 111, passed by the voters in June 1990, allows each local agency's governing body to annually choose
which adjustment factors are to be used. The Town Council has the discretion to choose one of two inflation
factors: (1) population growth in California per capita income or (2) growth in nonresidential assessed valuation
from new construction within the Town. Additionally, the Town Council may choose from one of two population
adjustment factors: population growth within the Town or population growth within Contra Costa County. The
Town chose to use the population growith within Contra Costa County. The chosen population adjustment factor is
multiplied by the growth in California per capita income.
Construction Commitments
The Town has several outstanding or planned construction projects as of June 30, 2020. These projects are
evidenced by contractual commitments with contractors. As of June 30, 2020, the Town's outstanding contractual
commitments amount were $2,816,385.
67
This page intentionally left blank.
68
REQUIRED SUPPLEMENTARY INFORMATION
(UNAUDITED)
69
Town of Danville
Required Supplementary Information (Unaudited)
For the Year Ended June 30, 2020
Note 1— Budgetary Information
The Town follows these procedures in establishing the budgetary data for all governmental funds except for capital
projects funds:
• Town Council determines community needs, priorities and opportunities for the upcoming year commencing
July 1.
• By June 30, the Town Manager submits to the Town Council a proposed operating budget for the year
commencing July 1. The operating budget includes proposed expenditures and the means of financing them.
• Public hearings are conducted to obtain taxpayer comments.
• The budget is legally enacted through passage of a resolution during a Town Council meeting in the month
of June.
• The Town Manager is authorized to transfer budgeted amounts within an activity, for example, within a
program (legal, finance, etc.). The Town Manager is able to authorize the purchase of office equipment
instead of the original budgeted for expense to pay for consultants, for example. However, any revisions that
alter the total expenditures (increase/decrease budget for a program) must be approved by the Town Council.
• Formal budgeting is employed as a management control device during the year.
• Budgets are adopted on a basis consistent with generally accepted accounting principles (GAAP).
Budgeted amounts are as originally adopted or as amended by the Town Council. Individual amendments were not
material in relation to the original appropriations.
70
Town of Danville
Required Supplementary Information (Unaudited) (Continued)
For the Year Ended June 30, 2020
Note 2 - Budgetary Comparison Schedule
General Fund
OTHER FINANCING SOURCES (USES):
Proceeds from sale of property
Transfers in
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCE
FUND BALANCE:
- - 3,274,939
3,274,939
1,397,554 1,467,554 297,553
(1,170,001)
Variance
(7,311,861)
Original
Final
From Final
Budget
Budget
Actual
Budget
REVENUES:
Property taxes
$ 14,908,865
$ 15,153,865
$ 16,025,356
$ 871,491
Sales taxes
5,740,221
5,740,221
5,740,046
(175)
Other taxes
2,349,753
2,349,753
2,249,988
(99,765)
Charges for services
2,101,780
2,101,780
1,413,021
(688,759)
Licenses and permits
365,150
365,150
356,849
(8,301)
Intergovernmental
1,000
1,000
34,107
33,107
Fines and forfeitures
175,000
175,000
128,312
(46,688)
Use of money and property
1,007,737
1,007,737
2,563,838
1,556,101
Reimbursement from Successor Agency
812,456
812,456
812,456
-
Miscellaneous
197,178
197,178
218,639
21,461
Total revenues
27,659,140
27,904,140
29,542,612
1,638,472
EXPENDITURES:
Current:
General government
1,787,218
2,278,190
1,905,768
372,422
Police services
10,251,608
10,284,796
9,527,174
757,622
Maintenance services
2,421,901
2,515,108
2,144,361
370,747
Development services
1,138,328
1,120,288
1,065,708
54,580
Administrative services
3,786,615
4,008,371
3,698,300
310,071
Recreation, arts, & community services
4,155,463
4,186,771
3,195,525
991,246
Capital outlay
18,100
18,100
-
18,100
Debt service:
Principal
480,000
480,000
480,000
-
Interest
332,456
332,456
332,456
-
Total expenditures
24,371,689
25,224,080
22,349,292
2,874,788
REVENUES OVER(UNDER)EXPENDITURES
3,287,451
2,680,060
7,193,320
4,513,260
OTHER FINANCING SOURCES (USES):
Proceeds from sale of property
Transfers in
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCE
FUND BALANCE:
- - 3,274,939
3,274,939
1,397,554 1,467,554 297,553
(1,170,001)
(4,685,005) (4,147,614) (11,459,475)
(7,311,861)
(3,287,451) (2,680,060) (7,886,983)
(5,206,923)
71
(693,663) $ (693,663)
Town of Danville
Required Supplementary Information (Unaudited) (Continued)
For the Year Ended June 30, 2020
Note 2 — Budgetary Comparison Schedule (Continued)
Lighting and Landscape Special Revenue Fund
REVENUES:
Special assessments
Use of money and property
M iscellaneous
Total revenues
EXPENDITURES:
Current:
Maintenance services
Lighting and landscape
Development services
Administrative services
Recreation, arts, & community services
Capital outlay
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCINGS OURCES (USES)
Transfers in
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
304,756
308,405 -
308,405
Variance
Original
Final
291,209
From Final
Budget
Budget
Actual
Budget
27,504
27,504 -
27,504
31750
$ 3,022,785
$ 3,022,785
$ 3,038,347
$ 15,562
8,999
8,999
62,164
53,165
88,898
88,898
111,318
22,420
3,120,682
3,120,682
3,211,829
91,147
304,756
308,405 -
308,405
4,260,346
4,304,569 3,703,613
600,956
291,209
291,209 -
291,209
2,426
2,426 2,973
(547)
27,504
27,504 -
27,504
31750
3,750 -
3,750
4,889,991
4,937,863 3,706,586
1,231,277
(1,769,309) (1,817,181) (494,757) 1,322,424
900,000 1,000,000 1,000,000 -
(292,039) (292,039) (292,039)
607,961 707,961 707,961 -
$ (1,161,348) $ (1,109,220) 213,204 $ 1,322,424
72
4,090,967
$ 4,304,171
Town of Danville
Required Supplementary Information (Unaudited) (Continued)
For the Year Ended June 30, 2020
Note 2 — Budgetary Comparison Schedule (Continued)
Regional Traffic Impact Fees Special Revenue Fund
REVENUES:
Development fees
Intergovernmental
Use of money and property
M iscellaneous
Total revenues
EXPENDITURES:
Current:
Administrative services
Capital outlay
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
10,398 10,398 2,784 7,614
1,391,049 1,391,049 - 1,391,049
1,401,447 1,401,447 2,784 1,398,663
$ (1,285,505) $ (1,285,505)
73
432,437 $ 1,717,942
a '+,oaa,aio
Variance
Original
Final
From Final
Budget
Budget
Actual
Budget
$ -
$ -
$ 229,368
$ 229,368
114,632
114,632
-
(114,632)
-
-
205,853
205,853
1,310
1,310
-
(1,310)
115,942
115,942
435,221
319,279
10,398 10,398 2,784 7,614
1,391,049 1,391,049 - 1,391,049
1,401,447 1,401,447 2,784 1,398,663
$ (1,285,505) $ (1,285,505)
73
432,437 $ 1,717,942
a '+,oaa,aio
Town of Danville
Required Supplementary Information (Unaudited) (Continued)
For the Year Ended June 30, 2020
Note 3 — Modified Approach for Town Street Infrastructure Capital Assets
The Town defines infrastructure as the basic physical assets including the street system; traffic control
improvements; park and recreation lands and improvement system; storm water conveyance systems; and site
amenities such as parking and landscaped areas used by the Town in the conduct of its business. Each major
infrastructure system can be divided into subsystems. For example, the street system can be divided into asphalt
pavements, concrete curb and gutters, medians, traffic control devices (signs, signals and pavement markings),
landscaping and land. Subsystem detail is not presented in these Basic Financial Statements; however, the Town
maintains detailed information on these subsystems.
The Town has elected to use the "Modified Approach" for infrastructure reporting for its Streets Pavement System.
Eligible infrastructure capital assets are not required to be depreciated under the following requirements:
The Town manages the eligible infrastructure capital assets using an asset management system with
characteristics of: (1) an up-to-date inventory; (2) perform condition assessments and summarize the results
using a measurement scale; and (3) estimate annual amount to maintain and preserve at the established
condition assessment level.
• The Town documents that the eligible infrastructure capital assets are being preserved approximately at or
above the established and disclosed condition assessment level.
In April 2020, the Town commissioned a study to update the physical condition assessment of the arterials and
collector for residential streets. The prior assessment study was completed in December 2017. The streets, primarily
asphalt pavements, were defined as all physical features associated with the operation of motorized vehicles that exist
within the limits of right of way. Town owned streets are classified based on land use, access and traffic utilization
into the following four classifications: arterial/major, secondary, collector and local. This condition assessment will
be performed at least every three years. Street assessments have historically been funded with grants and performed
approximately every three years. Each street was assigned a physical condition based on potential defects. A
Pavement Condition Index (PCI), a nationally recognized index, was assigned to each street and expressed in a
continuous scale from 0 to 100, where 0 is assigned to the least acceptable physical condition and 100 is assigned to
the physical characteristics of a new street.
The following conditions were defined:
PCI
Conditions
PCI
Rating
Very Good
70-100
Good
50-69
Poor
26-49
Very Poor
0-25
74
Town of Danville
Required Supplementary Information (Unaudited) (Continued)
For the Year Ended June 30, 2020
Note 3 — Modified Approach for Town Street Infrastructure Capital Assets (Continued)
The Town's policy is to achieve a minimum average rating of 70 for all streets, which is a "very good" rating. As of
June 30, 2020, the Town's street system was rated at a PCI index of 81 on the average with the detail condition as
follows:
Street Condition %of Streets
Very Good (PCI 70-100)
82%
Good (PCI 50-69)
13%
Poor (PCI 26-49)
4%
Very Poor (PCI 0-25)
1%
100%
The Town's streets are constantly deteriorating as a result of following four factors: (1) traffic using the streets; (2)
the sun's ultra -violet rays drying out and breaking down the top layer of pavement; (3) utility company/private
development interests trenching operations; and (4) water damage from natural precipitation and other urban runoff.
The Town is continuously taking actions to arrest the deterioration through short-term maintenance activities such as
pothole patching, street sweeping, and sidewalk repairs. The Town expended $966,845 of the General Fund monies
on street maintenance for the fiscal year ended June 30, 2020. These expenditures delayed deterioration. The Town
has estimated that the amount of annual expenditures required to maintain the Town's streets at the average PCI
rating of 70 through the year 2020 is a minimum of $3,000,000.
A schedule of estimated annual amount calculated to maintain and preserve its streets at the current level compared
to actual expenditures for street maintenance for the last ten years is presented below. The availability and use of
other funds has enabled the Town to maintain the underlying drainage, associated curbs and gutters and to repair
small but costly pavement areas needing complete replacement.
Fiscal Year
General Fund
Final Budget Actual
Other Funds
Actual
Total
Actual
PCI
Rating
2010-11
$ 2,000,000
$ 1,780,787
$ 4,292,945
$ 6,073,732
73
2011-12
2,000,000
332,348
1,767,382
2,099,730
70
2012-13
2,000,000
3,219,853
1,269,507
4,489,360
72
2013-14
3,000,000
914,271
583,827
1,498,098
74
2014-15
3,000,000
2,800,816
1,359,695
4,160,511
74
2015-16
3,000,000
684,250
708,280
1,392,530
76
2016-17
3,000,000
1,417,001
2,986,762
4,403,763
75
2017-18
3,000,000
6,184,143
1,906,277
8,090,420
80
2018-19
3,000,000
3,629,281
3,865,363
7,494,644
78
2019-20
3,000,000
966,845
140,711
1,107,556
81
The Town also has an on-going street rehabilitation program funded in the Capital Improvement Program that is
intended to improve the condition rating of Town streets. The rehabilitation program is formulated based on
deficiencies identified as a part of its Pavement Management System. As of June 30, 2020, approximately 18% of the
Town's streets were rated below the average standard of 70. The Town will continue to rehabilitate these segments
of the streets. Total deficiencies (deferred maintenance) identified in the Pavement Management System amounted to
approximately $11,700,000 for all streets.
75
This page intentionally left blank.
76
SUPPLEMENTARY INFORMATION
77
This page intentionally left blank.
78
NON -MAJOR GOVERNMENTAL FUNDS
79
Town of Danville
Non -Major Governmental Funds
SPECIAL REVENUE FUNDS
PEG Fund
Any state video franchisee offering service within the Town pays sixty cents ($0.60) per month per subscriber to
support Public, Educational and Governmental ("PEG") channel facilities. This fund is restricted to capital
expenditures allowing the Town to provide PEG programming to residents.
Gas Tax Fund
This fund is used to account for the portion of the taxes paid on the purchase of gasoline, which the Town receives
from the State of California. Use of the fund is restricted to street and related improvements and maintenance costs.
Building/Planning Fund
This fund receives fees for planning applications and permits and building inspection and plan review fees collected
during the building permit process. Use of this fund is restricted to offsetting the costs of providing building and
planning services to permittees.
Development Engineering Fund
This fund receives fees for permits and plan review for engineering and subdivision applications. Use of this fund is
restricted to offsetting the costs of providing these services.
Child Care Fund
This Fund receives child care fees paid by new developments. All funds are restricted to the development or
promotion of child care facilities within Danville.
Stormwater Pollution Control Program (SPCP) Fund
This Fund is used to account for National Pollution Discharge Elimination Services (NPDES) assessments paid by
property owners for administration, inspection and maintenance of storm drain systems, including street sweeping,
necessary to comply with the stormwater pollution permits issued by the Regional Water Quality Control Board.
Measure C/J Fund
Since 1988, Contra Costa County voters have paid a one-half cent sales tax for transportation purposes to be
collected through 2034. Eighteen percent of the funds collected throughout the County are distributed back to each
local jurisdiction on the basis of population and road miles. Receipt of these funds is tied to compliance with the
Town's General Plan Growth Management Element. Use of this fund is restricted to street and pavement
management and transportation planning.
Donations and Contributions Fund
The Town receives donations and contributions for selected programs such as the police K-9 program and downtown
beautification. Use of these funds is restricted to the specific terms of the individual donation.
General Development Impact Fees Fund
The Town levies a number of development impact fees to mitigate the impacts of new development, primarily
transportation impact fees. The use of these funds is limited by the specific purpose of the individual fee and the
impact to be mitigated.
80
Town of Danville
Non -Major Governmental Funds
SPECIAL REVENUE FUNDS
Public Safety Fund
Special revenues for police programs are reported in this fund. Included are SLESF funds provided by the State,
Abandoned Vehicle and Asset Seizure revenues. The use of these funds is limited to use by the Police Department by
the specific purpose of the fee.
Old Town Parking In -Lieu Fund
A development impact mitigation fee imposed on new developments in the Downtown Business District which rely,
at least in part, on off-site public parking. Use of the Fund is restricted to the provision of additional Town -owned
parking.
Solid Waste Vehicle Impact Fee Fund
This fund receives impact fees collected through the solid waste franchise to partially offset the impacts associated
with solid waste, recycling and yard waste refuse vehicles using Town streets. The use of this Fund is restricted to
street and pavement rehabilitation.
Low and Moderate Income Housing Fund
Prior to the State of California's dissolution of redevelopment agencies in 2011, the Town's Community
Development Agency maintained a Low and Moderate Income Housing Fund as required by the law. Upon
dissolution, the Town opted to create a Successor Housing Agency to assume all of the housing assets and liabilities
of the former CDA. The use of this Fund is restricted to the creation, rehabilitation or addition of low or moderate
income housing within the Town.
CAPITAL PROJECTS FUNDS
Asset Replacement General Fund
Contributions are made into this Fund from the General Fund for the eventual replacement and refurbishment of
fixed assets.
Asset Replacement Library Fund
Contributions are made into this Fund from private donations and the General Fund for the eventual replacement and
refurbishment of Library equipment.
Civic Facilities Capital Projects Fund
This Fund receives contributions from the General Fund and is used to account for the construction of community
facilities such as the Danville Library, Community Center, Town Offices, Oak Hill Park Community Center and
future new park and recreation facilities.
Park Facilities Fund
Contributions are made into this Fund from the General Fund for the construction and renovation of parks within the
Town.
Northeast Road Improvements Assessment District Fund
During the period from 1985 to 1990, the Northeast Road Improvements Assessment District (NERIAD) were
formed within the Town of Danville to construct improvements in these areas.
81
Town of Danville
Non -Major Governmental Funds
Tassajara Road Improvements Assessment District Fund
Assessment District formed for the Tassajara Ranch developments to fund the development of Diablo Vista Park,
traffic improvements to mitigate project related impacts, and maintenance of existing improvements for the benefit of
district properties.
Sycamore Valley Assessment District Fund
Development impact fees are collected on residential units in excess of the original 278 units located within the
Sycamore Valley Benefit District. Funds are used for traffic mitigation, projects and maintenance of existing
improvements for the benefit of the benefit district properties.
Technology Fund
This Fund was created in FY 2011/12 and receives contributions from the General Fund for the implementation of
the Town's five-year Technology Master Plan.
82
Town of Danville
Non -Major Governmental Funds
Combining Balance Sheet
June 30, 2020
Special Revenue
(Continued)
83
Building/
Development
PEG
Gas Tax
Planning
Engineering
Child Care
ASSETS
Cash and investments
$ 281,518
$ 3,293,083
$ 3,418,677
$ 1,629,667
$ 296,357
Cash and investments with fiscal agent
-
-
-
-
-
Receivables (net of allowances):
Accounts
20,138
-
-
-
-
Interest
1,215
9,085
-
-
906
Total assets
$ 302,871
$ 3,302,168
$ 31418,677
$ 1,629,667
$ 297,263
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable
81
71,874
54,619
6,478
63
Accrued wages
-
33,850
66,756
5,496
-
Retention payable
-
-
-
-
-
Deposits payable
-
-
-
65,170
-
Unearned revenue
-
-
3,213
-
-
Total liabilities
81
105,724
124,588
77,144
63
Fund Balances:
Restricted
302,790
3,196,444
3,294,089
1,552,523
297,200
Committed
-
-
-
-
-
Total fund balances
302,790
3,196,444
3,294,089
1,552,523
297,200
Total liabilities and fund balances
$ 302,871
$ 3,302,168
$ 3,418,677
$ 1,629,667
$ 297,263
(Continued)
83
Town of Danville
Non -Major Governmental Funds
Combining Balance Sheet (Continued)
June 30, 2020
(Continued)
84
Special Revenue
Stormwater
Pollution
Donation
General
Control
and
Development
Public
Program
Measure C/J
Contributions
Impact Fees
Safety
ASSETS
Cash and investments
$ 2,053,702
$ 2,053,280
$ 175,109
$ 3,896,389
$ 484,906
Cash and investments with fiscal agent
-
-
-
-
-
Receivables (net of allowances):
Accounts
142,076
29,960
-
20,869
4,927
Interest
6,680
6,121
524
11,799
1,821
Total assets
$ 2,202,458
$ 2,089,361
$ 175,633
$ 3,929,057
$ 491,654
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable
20,041
64,192
398
41,106
121
Accrued wages
89
7,940
-
-
1,284
Retention payable
-
-
-
8,615
-
Deposits payable
-
-
-
-
-
Unearned revenue
-
-
-
-
-
Total liabilities
20,130
72,132
398
49,721
1,405
Fund Balances:
Restricted
2,182,328
2,017,229
175,235
3,879,336
490,249
Committed
-
-
-
-
-
Total fund balances
2,182,328
2,017,229
175,235
3,879,336
490,249
Total liabilities and fund balances
$ 2,202,458
$ 2,089,361
$ 175,633
$ 3,929,057
$ 491,654
(Continued)
84
Town of Danville
Non -Major Governmental Funds
Combining Balance Sheet (Continued)
June 30, 2020
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable 113 - 283 438 154
Accrued wages - - - - -
Retention payable - - - - -
Deposits payable - - - - -
Unearned revenue - - - - -
Total liabilities 113 - 283 438 154
Fund Balances:
Restricted 561,101 619,198 1,202,823 - -
Committed - - - 2,860,969 861,407
Total fund balances 561,101 619,198 1,202,823 2,860,969 861,407
Total liabilities and fund balances $ 561,214 $ 619,198 $ 1,203,106 $ 21861,407 $ 861,561
(Continued)
85
Special Revenue
Capital Projects
Low and
Old Town
Solid Waste
Moderate
Asset
Asset
Parking In-
Vehicle Impact
Income
Replacement
Replacement
Lieu
Fees
Housing
General
Library
ASSETS
Cash and investments
$ 559,542
$ 619,198
$ 1,199,056
$ 2,855,303 $
859,384
Cash and investments with fiscal agent
-
-
-
-
-
Receivables (net of allowances):
Accounts
-
-
-
-
-
Interest
1,672
-
4,050
6,104
2,177
Total assets
$ 561,214
$ 619,198
$ 1,203,106
$ 21861,407 $
861,561
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable 113 - 283 438 154
Accrued wages - - - - -
Retention payable - - - - -
Deposits payable - - - - -
Unearned revenue - - - - -
Total liabilities 113 - 283 438 154
Fund Balances:
Restricted 561,101 619,198 1,202,823 - -
Committed - - - 2,860,969 861,407
Total fund balances 561,101 619,198 1,202,823 2,860,969 861,407
Total liabilities and fund balances $ 561,214 $ 619,198 $ 1,203,106 $ 21861,407 $ 861,561
(Continued)
85
Town of Danville
Non -Major Governmental Funds
Combining Balance Sheet (Continued)
June 30, 2020
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable 97 229,706 177 1 2
Accrued wages - - - - -
Retention payable 180 3,536 - - -
Deposits payable - - - - -
Unearned revenue - 25,156 - - -
Total liabilities 277 258,398 177 1 2
Fund Balances:
Restricted - - - - -
Committed 385,736 2,866,917 1,284,517 34,973 22,752
Total fund balances 385,736 2,866,917 1,284,517 34,973 22,752
Total liabilities and fund balances $ 386,013 $ 3,125,315 $ 1,284,694 $ 34,974 $ 22,754
(Continued)
86
Capital Projects
Northeast
Road
Tassajara
Sycamore
Improvements
Ranch
Valley
Civic
Park
Special
Assessment
Assessment
Facilities
Facilities
Assessment
District
Distict
ASSETS
Cash and investments
$ 384,724
$ 3,093,262
$ 463,535
$ 34,854
$ 22,725
Cash and investments with fiscal agent
-
-
813,920
-
-
Receivables (net of allowances):
Accounts
-
25,156
-
-
-
Interest
1,289
6,897
7,239
120
29
Total assets
$ 386,013
$ 3,125,315
$ 11284,694
$ 34,974
$ 22,754
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable 97 229,706 177 1 2
Accrued wages - - - - -
Retention payable 180 3,536 - - -
Deposits payable - - - - -
Unearned revenue - 25,156 - - -
Total liabilities 277 258,398 177 1 2
Fund Balances:
Restricted - - - - -
Committed 385,736 2,866,917 1,284,517 34,973 22,752
Total fund balances 385,736 2,866,917 1,284,517 34,973 22,752
Total liabilities and fund balances $ 386,013 $ 3,125,315 $ 1,284,694 $ 34,974 $ 22,754
(Continued)
86
ASSETS
Cash and investments
Cash and investments with fiscal agent
Receivables (net of allowances):
Accounts
Interest
Total assets
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable
Accrued wages
Retention payable
Deposits payable
Unearned revenue
Total liabilities
Fund Balances:
Restricted
Committed
Total fund balances
Total liabilities and fund balances
Town of Danville
Non -Major Governmental Funds
Combining Balance Sheet (Continued)
June 30, 2020
87
Capital Projects
Total Other
Technology Governmental
Fund Funds
$ 825,069 $ 28,499,340
- 813,920
- 243,126
- 67,728
$ 825,069 $ 29,624,114
2,327 492,271
- 115,415
- 12,331
- 65,170
- 28,369
2,327 713,556
- 19,770,545
822,742 9,140,013
822,742 28,910,558
$ 825,069 $ 29,624,114
(Concluded)
This page intentionally left blank.
88
Town of Danville
Non -Major Governmental Funds
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances
For the Year Ended June 30, 2020
REVENUES:
Special assessments
Other taxes
Charges for services
License and permits
Development fees
Intergovernmental
Use of money and property
Miscellaneous
Total revenues
EXPENDITURES:
Current:
General government
Police services
Maintenance services
Development services
Administrative services
Recreation, arts & community services
Capital outlay
82,193
6,186
1,850,136
53,173
Special Revenue
Building/ Development
Planning Engineering
297,354
10,527
1,845,627
308,177
2,820
6,436
2525,.5/V 1,YU.5,J.5.5 2,1J.5,JU8 .51U,YY/ 0,430
14,464
712,163 - -
- 250,175 2,130,125 348,461 -
321 2,406 - - 264
Total expenditures
14,/8J
VO4,/44 2,1.5U,LGJ .548,401
204
REVENUES OVER (UNDER) EXPENDITURES
73,594
938,789 23,383 (37,464)
6,172
OTHER FINANCING SOURCES (USES):
Transfers in
-
- -
-
Transfers out
(75,000)
(100,000)
(600)
Total other financing sources (uses)
(75,000)
- (100,000)
(600)
NET CHANGE IN FUND BALANCES
(1,406)
938,789 (76,617) (37,464)
5,572
FUND BALANCES:
Beginning of year 304,196 2,257,655 3,370,706 1,589,987 291,628
End ofyear $ 302,790 $ 3,196,444 $ 3,294,089 $ 1,552,523 $ 297,200
(Continued)
89
Town of Danville
Non -Major Governmental Funds
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances (Continued)
For the Year Ended June 30, 2020
EXPENDITURES:
Current:
General government
Special Revenue
-
Police services
Stormwater
9,934
-
121,402
Maintenance services
Pollution
-
Donation
General
-
Development services
Control
Measure
and
Development
Public
Administrative services
Program
C/J
Contributions
Impact Fees
Safety
REVENUES:
-
-
-
60,951
-
Special assessments
$ 556,326
$
$
$
$
Other taxes
-
629,387
22,896
373,385
121,873
Charges for services
3,010
333,650
940
124,484
67,371
License and permits
-
Development fees
217,822
Intergovernmental
-
931,033
14,643
179,632
Use of money and property
39,200
32,004
2,986
123,475
9,612
Miscellaneous
-
-
20,850
141,929
-
Total revenues
598,536
963,037
23,836
497,869
189,244
EXPENDITURES:
Current:
General government
1,782
-
Police services
-
9,934
-
121,402
Maintenance services
314,970
-
11,025
309,016
-
Development services
311,755
413,487
-
-
-
Administrative services
1,947
1,393
155
3,418
471
Recreation, Arts & Community Services
-
-
-
60,951
-
Capital outlay
2,900
214,507
-
-
-
Total expenditures
631,572
629,387
22,896
373,385
121,873
REVENUES OVER (UNDER) EXPENDITURES
(33,036)
333,650
940
124,484
67,371
OTHER FINANCING SOURCES (USES):
Transfers in
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCES (33,036) 333,650 940 124,484 67,371
FUND BALANCES:
Beginning of year 2,215,364 1,683,579 174,295 3,754,852 422,878
End ofyear $ 2,182,328 $ 2,017,229 $ 175,235 $ 3,879,336 $ 490,249
(Continued)
90
Town of Danville
Non -Major Governmental Funds
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances (Continued)
For the Year Ended June 30, 2020
OTHER FINANCING SOURCES (USES):
Transfers in 300,000
Transfers out -
Total other financing sources (uses) - - - 300,000 -
NET CHANGE IN FUND BALANCES 187,778 539,772 20,792 296,225 7,656
FUND BALANCES:
Beginning of year 373,323 79,426 1,182,031 2,564,744 853,751
End ofyear $ 561,101 $ 619,198 $ 1,202,823 $ 2,860,969 $ 861,407
(Continued)
91
Special Revenue
Capital Projects
Low and
Old Town
Solid Waste
Moderate
Asset
Asset
Parking In-
Vehicle Impact
Income
Replacement
Replacement
Lieu
Fees
Housing
General
Library
REVENUES:
Special assessments
$
$ -
$
$
$
Other taxes
539,772
Charges for services
-
License and permits
Development fees
175,426
Intergovernmental
-
Use of money and property
12,803
22,788
112,723
31,632
Miscellaneous
-
-
10,782
-
Total revenues
188,229
539,772
22,788
123,505
31,632
EXPENDITURES:
Current:
General government
-
-
-
-
-
Police services
-
Maintenance services
23,310
Development services
-
-
-
-
Administrative services
451
1,996
5,111
666
Recreation, arts & community services
-
-
-
-
Capital outlay
-
-
122,169
-
Total expenditures
451
-
1,996
127,280
23,976
REVENUES OVER (UNDER) EXPENDITURES
187,778
539,772
20,792
(3,775)
7,656
OTHER FINANCING SOURCES (USES):
Transfers in 300,000
Transfers out -
Total other financing sources (uses) - - - 300,000 -
NET CHANGE IN FUND BALANCES 187,778 539,772 20,792 296,225 7,656
FUND BALANCES:
Beginning of year 373,323 79,426 1,182,031 2,564,744 853,751
End ofyear $ 561,101 $ 619,198 $ 1,202,823 $ 2,860,969 $ 861,407
(Continued)
91
Town of Danville
Non -Major Governmental Funds
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances (Continued)
For the Year Ended June 30, 2020
OTHER FINANCING SOURCES (USES):
Transfers in
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCES
FUND BALANCES:
Beginning of year
End of year
(4,914)
(4,914)
(153,540) (517,189) 5,541 626 4,854
539,276 3,384,106 1,278,976 34,347 17,898
$ 385,736 $ 2,866,917 $ 1,284,517 $ 34,973 $ 22,752
(Continued)
92
Capital Projects
Northeast
Road
Tassajara
Sycamore
Improvements
Ranch
Valley
Civic
Park
Special
Assessment
Assessment
Facilities
Facilities
Assessment
District
District
REVENUES:
Special assessments
$
$
$ $
$
Other taxes
Charges for services
License and permits
Development fees
Intergovernmental
Use of money and property
(55,512)
147,349
11,545
629
4,862
Miscellaneous
400,400
-
-
-
Total revenues
(55,512)
547,749
11,545
629
4,862
EXPENDITURES:
Current:
General government
-
-
-
-
Police services
-
-
Maintenance services
20,222
762,328
Development services
-
-
-
-
-
Administrative services
443
2,145
1,090
3
8
Recreation, arts & community services
-
227,091
-
-
-
Capital outlay
77,363
73,374
-
-
-
Total expenditures
98,028
1,064,938
1,090
3
8
REVENUES OVER (UNDER) EXPENDITURES
(153,540)
(517,189)
10,455
626
4,854
OTHER FINANCING SOURCES (USES):
Transfers in
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCES
FUND BALANCES:
Beginning of year
End of year
(4,914)
(4,914)
(153,540) (517,189) 5,541 626 4,854
539,276 3,384,106 1,278,976 34,347 17,898
$ 385,736 $ 2,866,917 $ 1,284,517 $ 34,973 $ 22,752
(Continued)
92
Town of Danville
Non -Major Governmental Funds
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances (Continued)
For the Year Ended June 30, 2020
Capital Projects
EXPENDITURES:
Current:
General government
Total Other
Police services
Technology Governmental
Maintenance services
Fund Funds
REVENUES:
- 3,454,003
Special assessments
$ $ 556,326
Other taxes
2,472,101
Charges for services
608,541
License and permits
10,527
Development fees
2,241,695
Intergovernmental
1,125,308
Use of money and property
561,891
Miscellaneous
574,185
Total revenues
8,150,574
EXPENDITURES:
Current:
General government
16,246
Police services
131,336
Maintenance services
2,153,034
Development services
- 3,454,003
Administrative services
30,170 52,458
Recreation, arts & community services
- 288,042
Capital outlay
- 490,313
Total expenditures
30,170 6,585,432
REVENUES OVER (UNDER) EXPENDITURES
(30,170) 1,565,142
OTHER FINANCING SOURCES (USES):
Transfers in - 300,000
Transfers out - (180,514)
Total other financing sources (uses) 119,486
NET CHANGE IN FUND BALANCES (30,170) 1,684,628
FUND BALANCES:
Beginning of year 852,912 27,225,930
End of year $ 822,742 $ 28,910,558
(Concluded)
93
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
PEG Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Othertaxes
Use of money and property
Total revenues
EXPENDITURES:
Current:
General government
Administrative services
Capital outlay
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES):
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted Variance From
Original Final Actual Final Budget
$ 91,304 $ 91,304 $ 82,193 $ (9,111)
- - 6,186 6,186
91,304 91,304 88,379 (2,925)
20,376
23,395
14,464 8,931
514
514
321 193
276,566
276,566
- 276,566
297,456
300,475
14,785 285,690
(206,152) (209,171) 73,594 282,765
(100,000) (75,000) (75,000) -
(100,000) (75,000) (75,000) -
$ (306,152) $ (284,171) (1,406) $ 282,765
94
304,196
$ 302,790
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Gas Tax Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Othertaxes
Use of money and property
Miscellaneous
Total revenues
EXPENDITURES:
Current:
Maintenance services
Development services
Administrative services
Capital outlay
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted
906,483
712,163
Variance From
Original
Final
Actual
Final Budget
4,903
4,903
2,406
2,497
$ 1,904,289 $
1,904,289
$ 1,850,136
$ (54,153)
14,828
14,828
53,173
38,345
-
-
224
224
1,919,117
1,919,117
1,903,533
(15,584)
797,233
906,483
712,163
194,320
438,458
1,939,861
250,175
1,689,686
4,903
4,903
2,406
2,497
500
500
-
500
1,241,094
2,851,747
964,744
1,887,003
$ 678,023 $ (932,630)
95
938,789 $ 1,871,419
2,257,655
$ 3,196,444
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Building and Planning Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Charges for services
Licenses and permits
Development fees
Miscellaneous
Total revenues
EXPENDITURES:
Current:
Development services
Capital outlay
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES)
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted
2,670,625 2,130,125
540,500
Variance From
Original
Final
Actual
Final Budget
541,500
$ 351,200 $
351,200
$ 297,354
$ (53,846)
-
-
10,527
10,527
1,856,000
1,856,000
1,845,627
(10,373)
5,000
5,000
-
(5,000)
2,212,200
2,212,200
2,153,508
(58,692)
2,401,099
2,670,625 2,130,125
540,500
1,000
1,000 -
1,000
2,402,099
2,671,625 2,130,125
541,500
(189,899) (459,425) 23,383 482,808
(100,000) (100,000) (100,000) -
(100,000) (100,000) (100,000) -
$ (289,899) $ (559,425) (76,617) $ 482,808
96
3,370,706
$ 3,294,089
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Development Engineering Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Charges for services
Development fees
Total revenues
EXPENDITURES:
Current:
Development services
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted Variance From
Original Final Actual Final Budget
$ 137,350 $ 137,350 $ 308,177 $ 170,827
500 500 2,820 2,320
137,850 137,850 310,997 173,147
404,062 418,862 348,461 70,401
404,062 418,862 348,461 70,401
$ (266,212) $ (281,012)
97
(37,464) $ 243,548
1,589,987
$ 1,552,523
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Child Care Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES
Use of money and property
Total revenues
EXPENDITURES
Current:
Administrative services
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES)
Transfers out
Total other financing sources (uses)
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted Variance From
Original Final Actual Final Budget
$ 1,199 $ 1,199 $ 6,436 $ 5,237
1,199 1,199 6,436 5,237
207 207 264 (57)
207 207 264 (57)
992 992 6,172 5,180
(600) (600) (600) -
(600) (600) (600) -
$ 392 $ 392 5,572 $ 5,180
98
291,628
$ 297,200
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Stormwater Pollution Control Program (SPCP) Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Special assessments
Charges for services
Intergovernmental
Use of money and property
Total revenues
EXPENDITURES:
Current:
Maintenance services
Development services
Administrative services
Recreation, Arts & Community Services
Capital outlay
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted
383,557
314,970
Variance From
Original
Final
Actual
Final Budget
1,383
1,383
1,947
(564)
$ 562,154 $
562,154 $
556,326
$ (5,828)
1,010
1,010
3,010
2,000
(11,780)
(11,780)
-
11,780
9,536
9,536
39,200
29,664
560,920
560,920
598,536
37,616
378,557
383,557
314,970
68,587
270,252
330,631
311,755
18,876
1,383
1,383
1,947
(564)
3,651
3,651
-
3,651
166,000
166,000
2,900
163,100
819,843
885,222
631,572
253,650
$ (258,923) $ (324,302)
99
(33,036) $ 291,266
2,215,364
$ 2,182,328
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Measure C/J Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Intergovernmental
Use of money and property
Total revenues
EXPENDITURES:
Current:
Maintenance services
Development services
Administrative services
Capital outlay
Total expenditures
REVENUES OVER (UNDER) EXPENDITURES
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted
293,603
-
Variance From
Original
Final
Actual
Final Budget
1,518
1,518
1,393
125
$ 6,619,421 $
6,619,421
$ 931,033
$ (5,688,388)
10,139
10,139
32,004
21,865
6,629,560
6,629,560
963,037
(5,666,523)
293,603
293,603
-
293,603
2,783,464
3,873,464
413,487
3,459,977
1,518
1,518
1,393
125
3,869,915
3,899,915
214,507
3,685,408
6,948,500
8,068,500
629,387
7,439,113
(318,940) (1,438,940) 333,650 1,772,590
$ (318,940) $ (1,438,940)
100
333,650 $ 1,772,590
1,683,579
$ 2,017,229
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Donations and Contributions Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Use of money and property
Miscellaneous
Total revenues
EXPENDITURES:
Current:
General government
Police services
Maintenance services
Administrative services
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted Variance From
Original Final Actual Final Budget
$ 974 $ 974 $ 2,986 $ 2,012
3,760 19,760 20,850 1,090
4,734 20,734 23,836 3,102
1,500
1,500
1,782
(282)
-
21,000
9,934
11,066
2,584
12,584
11,025
1,559
275
275
155
120
4,359
35,359
22,896
12,463
$ 375 $ (14,625)
101
940 $ 15,565
174,295
$ 175,235
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
General Development Impact Fees Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Development fees
Intergovernmental
Use of money and property
Miscellaneous
Total revenues
EXPENDITURES:
Current:
Maintenance services
Development services
Administrative services
Recreation, Arts & Community Services
Capital outlay
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted
823,374
309,016
Variance From
Original
Final
Actual
Final Budget
3,371
3,371
3,418
(47)
$ - $
-
$ 217,822
$ 217,822
19,376
19,376
14,643
(4,733)
-
-
123,475
123,475
182,599
182,599
141,929
(40,670)
201,975
201,975
497,869
295,894
823,374
823,374
309,016
514,358
854,927
871,927
-
871,927
3,371
3,371
3,418
(47)
439,125
544,125
60,951
483,174
213,900
213,900
-
213,900
2,334,697
2,456,697
373,385
2,083,312
$ (2,132,722) $ (2,254,722)
102
124,484 $ 2,379,206
3,754,852
$ 3,879,336
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Public Safety Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Intergovernmental
Use of money and property
Total revenues
EXPENDITURES:
Current:
Police services
Administrative services
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted
140,000
121,402
Variance From
Original
Final
Actual
Final Budget
140,263
140,263
121,873
18,390
$ 119,000 $
119,000
$ 179,632
$ 60,632
1,246
1,246
9,612
8,366
120,246
120,246
189,244
68,998
140,000
140,000
121,402
18,598
263
263
471
(208)
140,263
140,263
121,873
18,390
$ (20,017) $ (20,017)
103
67,371 $ 87,388
422,878
$ 490,249
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Old Town Parking In -Lieu Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Development fees
Use of money and property
Total revenues
EXPENDITURES:
Current:
Administrative services
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted Variance From
Original Final Actual Final Budget
$ - $ - $ 175,426 $ 175,426
- 12,803 12,803
- 188,229 188,229
512 512 451 61
512 512 451 61
$ (512) $ (512)
104
187,778 $ 188,290
373,323
$ 561,101
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Solid Waste Vehicle Impact Fee Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Othertaxes
Total revenues
EXPENDITURES:
Current:
Development services
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted Variance From
Original Final Actual Final Budget
$ 482,182 $ 482,182 $ 539,772 $ 57,590
482,182 482,182 539,772 57,590
475,000 - 475,000
475,000 - 475,000
$ 482,182 $ 7,182
105
539,772 $ 532,590
79,426
$ 619,198
Town of Danville
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
Low and Moderate Income Housing Special Revenue Fund
For the Year Ended June 30, 2020
REVENUES:
Use of money and property
Total revenues
EXPENDITURES:
Current:
Administrative services
Total expenditures
NET CHANGE IN FUND BALANCE
FUND BALANCE:
Beginning of year
End of year
Budgeted Variance From
Original Final Actual Final Budget
$ - $ - $ 22,788 $ 22,788
- - 22,788 22,788
- 1,996 (1,996)
- 1,996 (1,996)
$ - $ - 20,792 $ 20,792
106
1,182,031
$ 1,202,823
Town of Danville
Agency Funds
Combining Statement of Changes in Assets and Liabilities
For the Year Ended June 30, 2020
Deposits Fund
ASSETS
Cash and investments
Cash and investments with fiscal agents
Total assets
LIABILITIES
Accounts payable
Deposits
Total liabilities
Total Aeency Funds
ASSETS
Cash and investments
Cash and investments with fiscal agents
Total assets
LIABILITIES
Accounts payable
Deposits
Total liabilities
Balance Balance
July 1, 2019 Additions Deletions June 30, 2020
$ 2,116,446 $ 554,605 $ (1,523,498) $ 1,147,553
231,618 16,455 - 248,073
$ 2,348,064 $ 571,060 $ (1,523,498) $ 1,395,626
$ 828,338
$ 758,104
$ (1,521,518) $
64,924
1,519,726
559,803
(748,827)
1,330,702
$ 2,348,064
$ 1,317,907
$ (2,270,345) $
1,395,626
$ 2,116,446 $ 554,605 $ (1,523,498) $ 1,147,553
231,618 16,455 - 248,073
$ 2,348,064 $ 571,060 $ (1,523,498) $ 1,395,626
$ 828,338
$ 758,104
$ (1,521,518) $
64,924
1,519,726
559,803
(748,827)
1,330,702
$ 2,348,064
$ 1,317,907
$ (2,270,345) $
1,395,626
107
This page intentionally left blank.
108
STATISTICAL SECTION
109
Town of Danville
Net Position by Component
Last Ten Fiscal Years
Accrual Basis of Accounting
Fiscal Year
2011 2012 2013 2014 2015
Governmental Activities:
Net investment in capital assets
$
139,431,946
$
142,812,475
$
144,710,384
$
145,858,981
$
149,697,964
Restricted
40,454,304
49,692,031
50,198,481
48,477,964
23,655,107
Unrestricted
49,520,377
46,716,135
46,009,779
51,728,377
69,968,657
Total Governmental Activities Net Position
$
229,406,627
$
239,220,641
$
240,918,644
$
246,065,322
$
243,321,728
Primary Government:
Net investment in capital assets
$
139,431,946
$
142,812,475
$
144,710,384
$
145,858,981
$
149,697,964
Restricted
40,454,304
49,692,031
50,198,481
48,477,964
23,655,107
Unrestricted
49,520,377
46,716,135
46,009,779
51,728,377
69,968,657
Total Primary Governmental Net Position
$
229,406,627
$
239,220,641
$
240,918,644
$
246,065,322
$
243,321,728
110
Town of Danville
Net Position by Component (Continued)
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Fiscal Year
2016 2017 2018 2019 2020
Governmental Activities:
Net investment in capital assets
$
154,909,051
$
155,792,439
$
162,998,663
$
166,215,901
$
174,968,722
Restricted
26,812,236
24,437,153
23,784,733
24,398,492
26,961,172
Unrestricted
68,822,679
72,257,190
64,907,258
65,271,882
61,659,221
Total Governmental Activities Net Position
$
250,543,966
$
252,486,782
$
251,690,654
$
255,886,275
$
263,589,115
Primary Government:
Net investment in capital assets
$
154,909,051
$
155,792,439
$
162,998,663
$
166,215,901
$
174,968,722
Restricted
23,655,107
24,437,153
23,784,733
24,398,492
26,961,172
Unrestricted
69,968,657
72,257,190
64,907,258
65,271,882
61,659,221
Total Primary Governmental Net Position
$
248,532,815
$
252,486,782
$
251,690,654
$
251,690,654
$
263,589,115
250
N
C
200
.x
150
T
+!
Z
u 100
M
c
50
c
L
0 0
Q 2011 2012
Net Position by Component
2013 2014 20152016 2017 2018 2019
Fiscal Year
■ Net investment in capital assets A Restricted ■ Unrestricted
Note:
The Town of Danville does not have any business -type activities.
iu
2020
pAIYVILLE
Expenses:
Governmental activities:
General Government
Police Services
Maintenance Services & Lighting & Landscape
Development Services
Administrative Services
Recreation Services
Interest on long-term debt
Total governmental activities expenses
Total primary government expenses
Program Revenues:
Governmental Activities:
Charges for Services:
General Government
Police Services
Maintenance Services, Lighting & Landscape
Development Services
Administrative Services
Recreation, Arts & Community Services
Operating grants and contributions
Capital grants and contributions
Total governmental activities program revenues
Total primary government program revenues
Net (Expense)/Revenue
Governmental activities
Total Primary Government, Net Expenses
Town of Danville
Changes in Net Position
Last Ten Fiscal Years
Accrual Basis of Accountil
Fiscal Year
2011 2012 2013 2014 2015
$ 1,727,619 $
1,672,908 $
1,657,519
$ 1,707,946
$ 1,527,466
7,301,762
7,518,544
7,592,846
7,192,736
8,565,667
5,508,781
6,284,672
7,803,026
6,136,448
7,589,476
13,388,097
8,909,136
10,298,111
7,545,035
14,348,084
2,049,307
2,105,205
2,461,355
2,301,375
3,244,813
3,405,850
3,373,081
3,360,852
3,711,977
3,877,829
732,585
367,482
430,191
415,129
369,274
34,114,001
30,231,028
33,603,900
29,010,646
39,522,609
$ 34,114,001 $
30,231,028 $
33,603,900
$ 29,010,646
$ 39,522,609
$ 6,208
S -
$ - $
- $
293,550
323,053
312,873
499,517
429,625
3,028,247
3,040,340
3,021,029
3,110,836
3,033,384
2,757,149
3,028,929
3,757,908
3,686,295
4,196,817
1,645,913
1,754,367
1,810,376
2,178,636
2,433,110
798,926
804,432
748,772
933,466
1,110,167
6,728,897
2,492,782
1,877,029
1,936,672
1,676,661
$ 15,258,890
$ 11,443,903
$ 11,527,987 $
12,345,422 $
12,879,764
$ 15,258,890
$ 11,443,903
$ 11,527,987 $
12,345,422 $
12,879,764
$ (18,855,111) $ (18,787,125) $ (22,075,913) $ (16,665,224) $ (26,642,845)
$ (18,855,111) $ (18,787,125) $ (22,075,913) $ (16,665,224) $ (26,642,845)
Notes:
1. Depreciation was netted against program expenditures beginning in 2004.
2. The Town of Danville does not have any business -type activities.
*FY 2008-09 Transportation Services program was combined with Development Services program
**FY 2014-15: Legislative, Town Manager and Legal Services programs were combined with General Government
Community Development program was combined with Development Services
112
Expenses:
Governmental activities:
General Government
Police Services
Maintenance Services & Lighting & Landscape
Development Services
Administrative Services
Recreation, Arts & Community Services
Interest on long-term debt
Total governmental activities expenses
Total primary government expenses
Program Revenues
Governmental Activities:
Charges for Services:
General Government
Police Services
Maintenance Services, Lighting & Landscape
Development Services
Administrative Services
Recreation, Arts & Community Services
Operating grants and contributions
Capital grants and contributions
Total governmental activities program revenues
Total primary government program revenues
Net (Expense)/Revenue
Governmental activities
Total Primary Government, Net Expenses
Town of Danville
Changes in Net Position (Continued)
Last Ten Fiscal Years
(Accrual Basis of Accounting)
2016
2017
2018
2019
2020
424,470
314,597
295,805
308,210
296,126
$ 1,592,763 $
1,658,023
$ 1,821,906
$ 1,648,107
$ 1,988,737
8,914,297
9,107,939
9,668,148
9,908,945
9,824,261
8,262,373
7,963,358
7,824,106
8,512,749
9,400,476
5,233,296
8,568,817
12,113,185
12,589,561
5,769,904
4,080,262
3,690,675
3,511,181
3,625,899
3,816,145
3,847,434
4,129,417
4,016,368
4,273,896
3,794,136
364,866
345,931
345,473
325,210
322,951
32,295,291
35,464,160
39,300,367
40,884,367
34,916,610
Q 27 ?Qi 1?01 P
'25 a(,d 1(,n
Q 20 Znn '2(,7
P do RRd 2(,7
Q 2d Q I A (,In
$ 10 $
30
$ 30 $
1,126 $
424,470
314,597
295,805
308,210
296,126
3,036,737
3,142,080
3,060,686
3,046,475
3,059,330
4,285,454
3,575,751
3,792,303
4,473,140
3,374,462
35,186
36,308
36,400
38,126
31,693
2,079,801
2,196,610
2,058,014
2,041,182
1,427,112
950,437
911,003
1,205,123
2,132,610
1,873,835
1,276,567
2,591,351
2,521,475
3,880,922
1,358,781
$ 12,088,662 $
12,767,730
$ 12,969,836 $
15,921,791 $
11,421,339
$ 12,088,662 $
12,767,730
$ 12,969,836 $
15,921,791 $
11,421,339
$ (20,206,629) $ (22,696,430) $ (22,696,430) $ (24,962,576) $ (23,495,271)
$ (20,206,629) $ (22,696,430) $ (22,696,430) $ (24,962,576) $ (23,495,271)
Notes:
1. Depreciation was netted against program expenditures beginning in 2004.
2. The Town of Danville does not have any business -type activities.
*FY 2008-09 Transportation Services program was combined with Development Services program
**FY 2014-15: Legislative, Town Manager and Legal Services programs were combined with General Government
Community Development program was combined with Development Services
113
General Revenues and Other
Changes in Net Position
Governmental Activities
Taxes
Property taxes
Sales taxes
Motor Vehicle taxes
Franchise Taxes
Other taxes
Investment earnings
Miscellaneous
Gain (loss) on sale of capital assets
Transfers from Successor Agency
Special item
Total governmental activities
Total primary government
Change in Net Position
Governmental activities
Total primary government
Town of Danville
Changes in Net Position (Continued)
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Fiscal Year
2011 2012 2013 2014 2015
$
13,283,437
$
12,967,656
$
12,242,443
$
12,716,297
$
13,593,483
3,531,936
3,835,342
3,897,260
3,947,577
4,098,412
199,005
21,557
22,337
18,486
17,857
2,039,307
2,067,703
2,098,137
2,155,691
2,215,165
361,872
366,926
374,354
385,044
391,856
1,399,674
915,317
251,901
900,451
636,474
1,605,554
1,470,094
2,360,129
1,514,199
1,559,647
795,191
790,542
769,972
-
6,956,544
1,732,164
-
-
$
22,420,785
$
28,601,139
$
23,773,916
$
22,428,287
$
23,282,866
$
22,420,785
$
28,601,139
$
23,773,916
$
22,428,287
$
23,282,866
$
3,633,660
$
6,525,226
$
7,108,692
$
(4,214,558)
$
3,076,237
$
3,633,660
$
6,525,226
$
7,108,692
$
(4,214,558)
$
3,076,237
Note:
The Town of Danville does not have any business -type activities.
114
General Revenues and Other
Changes in Net Position
Governmental Activities
Taxes
Property taxes
Sales taxes
Motor Vehicle taxes
Franchise Taxes
Other Taxes
Investment earnings
Miscellaneous
Gain (loss) on sale of capital assets
Transfers from Successor Agency
Special item
Total governmental activities
Total primary government
Change in Net Position
Governmental activities
Total primary government
Town of Danville
Changes in Net Position (Continued)
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Fiscal Year
2016 2017 2018 2019 2020
$
14,153,561
$
13,978,818
$
14,629,253
$
15,354,728
$
16,025,356
4,569,470
5,546,298
5,914,835
6,126,449
5,753,805
17,629
19,203
22,821
21,310
35,829
2,299,491
2,419,118
2,588,989
2,609,820
2,836,124
404,744
371,237
362,196
390,562
367,376
1,265,876
296,610
368,995
3,028,554
3,183,434
741,674
1,235,646
854,998
834,318
1,838,208
-
-
-
-
345,523
780,818
772,316
792,316
792,456
812,456
3,195,604
-
-
-
-
$
27,428,867
$
24,639,246
$
25,534,403
$
29,158,197
$
31,198,111
$
27,428,867
$
24,639,246
$
25,534,403
$
29,158,197
$
31,198,111
$
4,732,437
$
1,942,816
$
(7,796,128)
$
4,195,621
$
7,702,840
$
4,732,437
$
1,942,816
$
(7,796,128)
$
4,195,621
$
7,702,840
Note:
The Town of Danville does not have any business -type activities.
115
This page intentionally left blank.
116
Town of Danville
Governmental Activities Tax Revenues By Source
Last Ten Fiscal Years
(Accrual Basis of AccountinO
Note:
1. The State shifted revenues from motor vehicle fees/tax and sales tax to property tax beginning 2005.
2. The former Community Development Agency was dissolved by AB xl 26 on January 31, 2012.
117
Community
Development
Agency Tax
Property
Motor
Business
Fiscal
Property
Sales
Increment
Franchise
Transfer
Vehicle
License &
Year
Tax (1)
Tax
(2)
Tax
Tax
Tax
Other Taxes
Total
2011
$ 10,994,774
$ 3,531,936
$ 1,949,292
$ 2,039,307
$ 339,371
$ 199,005
$ 361,872
$ 18,862,486
2012
11,243,968
3,835,342
1,371,457
2,067,703
352,231
21,557
366,926
19,415,557
2013
11,809,390
3,897,260
-
2,098,137
433,053
22,337
374,354
19,259,184
2014
12,221,986
3,947,577
-
2,155,691
494,311
18,486
385,044
18,634,531
2015
13,076,172
4,098,412
-
2,215,165
517,311
17,857
391,856
19,223,095
2016
12,534,667
4,569,470
-
2,299,491
568,870
17,629
404,744
20,316,773
2017
13,392,392
5,546,298
-
2,419,118
586,426
19,203
371,237
20,394,871
2018
13,980,610
5,914,835
-
2,588,989
648,643
22,821
362,196
22,334,674
2019
14,740,670
6,126,449
-
2,609,820
614,058
21,310
390,562
24,502,869
2020
15,175,356
5,753,805
-
2,836,124
850,000
35,829
367,376
25,018,490
Note:
1. The State shifted revenues from motor vehicle fees/tax and sales tax to property tax beginning 2005.
2. The former Community Development Agency was dissolved by AB xl 26 on January 31, 2012.
117
General Fund
Nonspendable
Restricted
Committed
Assigned
Total General Fund
All Other Governmental Funds
Special revenue funds
Restricted
Committed
Assigned
Debt service fund
Restricted
Unassigned
Capital projects funds
Restricted
Committed
Assigned
Total all other Governmental Funds
Total Governmental Funds
Town of Danville
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
Fiscal Year
2011 2012 2013 2014 2015
30,370,267
28,429,093
27,540,889
28,492,880
- 809,519
809,536
809,635
809,718
18,334,708 17,697,557
17,670,672
17,118,585
17,067,689
8,327,574 8,430,419
9,247,992
9,482,365
9,397,184
26,662,282 26,937,495
27,728,200
27,410,585
27,274,591
30,370,267
28,429,093
27,540,889
28,492,880
24,215,659
1,031,209
808,787
811,282
811,448
813,511
(8,063,814)
-
-
-
-
340,851
-
-
356,953
356,953
16,814,633
40,669,255
39,639,637
42,268,737
39,887,688
22,804,473
-
-
-
2,183,781
63,297,619
69,907,135
67,991,808
71,930,018
67,457,592
$ 89,959,901
$ 96,844,630
$ 95,720,008
$ 99,340,603
$ 94,732,183
Note: Information presented according to GAS13 54 which was implemented in 2010
118
General Fund
Nonspendable
Restricted
Committed
Assigned
Total General Fund
All Other Governmental Funds
Special revenue funds
Restricted
Committed
Assigned
Debt service fund
Restricted
Unassigned
Capital projects funds
Restricted
Committed
Assigned
Total all other Governmental Funds
Total Governmental Funds
Town of Danville
Fund Balances of Governmental Funds (Continued)
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
Fiscal Year
2016 2017 2018 2019 2020
$ 10,427,986
$ 9,427,986
$ 8,427,986
$ 7,325,019
$ 5,167,108
809,504
809,820
813,965
820,547
815,484
18,374,622
17,249,253
17,868,716
19,005,310
20,401,468
344,844
313,036
169,060
117,735
190,888
29,956,956
27,800,095
27,279,727
27,268,611
26,574,948
26,129,555
23,594,077
22,970,768
23,577,945
26,145,688
2,469,321
2,617,844
38,430,064
42,743,649
36,532,398
37,060,728
34,072,908
2,364,889
2,507,297
2,574,079
-
-
66,924,508
68,845,023
62,077,245
63,107,994
62,836,440
$ 96,881,464
$ 96,645,118
$ 89,356,972
$ 90,376,605
$ 89,411,388
Note: Information presented according to GASB 54 which was implemented in 2010
119
Town of Danville
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
Modified Accrual Basis of Accounting)
REVENUES OVER (UNDER)
EXPENDITURES (1,291,269) (872,552) (1,136,469) 3,620,595 (7,408,586)
OTHER FINANCING SOURCES (USES):
Proceeds from sale of assets - - - -
Transfers in 13,547,919 7,385,966 5,272,109 6,248,451 6,300,714
Transfers out (13,547,919) (7,385,966) (5,272,109) (6,248,451) (6,300,714)
Total other financing sources (uses) - - - - -
Extraordinary/Special item* - 7,757,281 11,847 -
NET CHANGE IN FUND BALANCES $ (1,291,269) $ 6,884,729 $ (1,124,622) $ 3,620,595 $ (7,408,586)
Debt service as a percentage of noncapital
expenditures 3.78% 3.39% 0.00% 0.00% 0.00%
Notes:
1. Revenues & expenditures were categorized differently prior to the implementation of GASB 34 in 2002.
2. Assets transferred from the former Community Development Agency (CDA) of the Town of Danville to the Successor Agency Trust Fund
120
Fiscal Year
2011
2012
2013
2014
2015
REVENUES:
Property Taxes
$ 13,283,437
$ 12,967,656
$ 12,242,443
$ 12,716,297
$ 13,593,483
Sales Taxes
3,531,862
3,835,342
3,897,260
3,943,899
4,080,378
Gas & Other Taxes
3,960,259
3,818,359
3,731,881
3,999,378
4,033,766
Special assessments
3,579,045
3,572,176
3,580,120
3,579,918
3,574,570
Charges for services
3,379,595
3,641,623
4,602,791
2,455,673
2,792,321
Licenses and permits
360,957
366,886
374,354
385,033
391,856
Development fees
1,101,893
144,416
1,207,211
2,926,192
3,166,893
Intergovernmental
5,134,660
1,276,852
155,815
181,003
547,347
Fines and forfeitures
219,432
190,982
237,209
248,965
242,325
Uses of money and property
1,943,830
1,463,143
870,157
1,507,294
1,379,939
Miscellaneous
1,079,236
1,802,671
972,999
1,060,380
1,589,780
Reimbursement from Successor Agency
-
-
-
-
-
Total Revenues
37,574,206
33,080,106
31,872,240
33,004,032
35,392,658
EXPENDITURES:
Current:
General Government
1,683,425
1,667,416
1,658,489
1,708,465
1,526,324
Police services
7,128,461
7,300,734
7,374,868
6,980,859
8,356,060
Maintenance services
1,958,607
2,403,824
4,362,329
2,547,337
3,728,641
Lighting and landscape
3,029,522
3,288,256
2,991,535
3,043,620
3,105,346
Development services
11,027,548
7,458,197
9,588,981
6,920,225
14,097,237
Administrative services
1,998,345
1,901,419
2,446,641
2,207,468
3,362,284
Recreation, Arts & Community services
3,307,586
3,245,655
3,242,901
3,593,125
3,523,333
Capital outlay
7,592,460
5,763,393
1,342,965
2,382,338
5,102,019
Debt service:
Principal
395,000
420,000
-
-
-
Interest and fiscal charges
744,521
503,764
-
-
-
Total Expenditures
38,865,475
33,952,658
33,008,709
29,383,437
42,801,244
REVENUES OVER (UNDER)
EXPENDITURES (1,291,269) (872,552) (1,136,469) 3,620,595 (7,408,586)
OTHER FINANCING SOURCES (USES):
Proceeds from sale of assets - - - -
Transfers in 13,547,919 7,385,966 5,272,109 6,248,451 6,300,714
Transfers out (13,547,919) (7,385,966) (5,272,109) (6,248,451) (6,300,714)
Total other financing sources (uses) - - - - -
Extraordinary/Special item* - 7,757,281 11,847 -
NET CHANGE IN FUND BALANCES $ (1,291,269) $ 6,884,729 $ (1,124,622) $ 3,620,595 $ (7,408,586)
Debt service as a percentage of noncapital
expenditures 3.78% 3.39% 0.00% 0.00% 0.00%
Notes:
1. Revenues & expenditures were categorized differently prior to the implementation of GASB 34 in 2002.
2. Assets transferred from the former Community Development Agency (CDA) of the Town of Danville to the Successor Agency Trust Fund
120
Town of Danville
Changes in Fund Balances of Governmental Funds (Continued)
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
Fiscal Year
REVENUES:
Property Taxes
Sales Taxes
Gas & Other Taxes
Special assessments
Charges for services
Licenses and permits
Development fees
Intergovernmental
Fines and forfeitures
Uses of money and property
Miscellaneous
Reimbursement from Successor Agency
Total Revenues
EXPENDITURES:
Current:
General Government
Police services
Maintenance services
Lighting and landscape
Development services
Administrative services
Recreation, Arts & Community services
Capital outlay
Debt service:
Principal
Interest and fiscal charges
Total Expenditures
REVENUES OVER (UNDER)
EXPENDITURES
OTHER FINANCING SOURCES (USES):
2016
2017
2018
2019
2020
$ 14,153,561
$ 13,978,818
$ 14,629,253
$ 15,354,728
$ 16,025,356
4,558,712
5,535,422
5,910,069
6,124,320
5,740,046
3,270,354
3,264,713
3,645,895
3,581,582
3,594,673
3,590,353
3,554,065
3,775,380
4,310,196
4,722,089
2,752,180
2,859,100
2,874,896
2,867,332
2,021,562
404,744
371,237
362,196
396,710
367,376
3,705,128
3,096,371
3,275,723
4,286,391
2,471,063
1,026,474
1,918,820
1,735,441
2,853,143
1,208,170
267,732
163,825
167,822
187,979
128,312
2,024,361
995,448
1,054,042
3,924,193
4,265,728
1,155,013
897,019
279,040
424,954
944,642
-
-
-
-
812,456
36,908,612
36,634,838
37,709,757
44,311,528
42,301,473
1,591,047
1,622,521
1,830,739
1,624,096
1,922,014
8,691,261
8,881,254
9,426,989
9,690,883
9,658,510
4,381,322
3,686,266
3,339,317
3,305,068
4,411,816
3,127,403
3,374,354
3,644,177
4,067,377
3,703,613
4,986,759
8,186,500
11,741,330
12,346,910
5,549,402
4,000,431
3,536,546
3,472,727
3,555,297
3,777,435
3,467,371
3,693,259
3,697,618
3,920,497
3,508,153
6,466,296
2,102,572
8,692,182
4,781,767
13,198,230
480,000
36,711,890 35,083,272 45,845,079 43,291,895 46,541,629
196,722 1,551,566 (8,135,322) 1,019,633 (4,240,156)
Proceeds from sale of assets - - - - 3,274,939
Transfers in 8,710,450 9,937,410 7,276,333 8,765,719 11,932,028
Transfers out (8,710,450) (9,937,410) (7,276,333) (8,765,719) (11,932,028)
Total other financing sources (uses) - - - - 3,274,939
Extraordinary/Special item* 3,195,604 - - -
NET CHANGE IN FUND BALANCES $ 3,392,326 $ 1,551,566 $ (8,135,322) $ 1,019,633 $ (965,217)
Debt service as a percentage of noncapital
expenditures 0.00% 0.00% 0.00% 0.00% 2.50%
Notes:
1. Revenues & expenditures were categorized differently prior to the implementation of GASB 34 in 2002.
2. Assets transferred from the former Community Development Agency (CDA) of the Town of Danville to the Successor Agency Trust Fund
121
This page intentionally left blank.
122
Town of Danville
Assessed Value
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
Fiscal
Year
Assessed Value
Less:
Total Taxable
Total
Ended
Real Property
Personal Property
Tax Exempt
Assessed
Direct
June 30
Secured
Unsecured
Secured
Unsecured
Property
Value
Rate
2011
$ 9,194,600,681
$ 51,396,726
$ 2,863,007
$ 43,431,719
$ 172,439,273
$ 9,119,852,860
0.10367%
2012
9,170,986,676
50,217,076
2,604,516
47,076,779
173,327,421
9,097,557,626
0.10319%
2013
9,236,967,610
52,627,724
2,468,870
41,018,620
172,442,279
9,160,640,545
0.10323%
2014
9,812,406,625
52,547,546
2,315,399
39,737,234
171,279,730
9,735,727,074
0.07827%
2015
10,526,929,712
44,289,615
2,298,728
45,995,923
169,288,561
10,450,225,417
0.07752%
2016
11,231,575,805
49,320,732
3,732,903
42,680,915
170,375,283
11,156,935,072
0.07758%
2017
11,904,105,603
47,645,411
3,290,428
43,296,151
172,930,520
11,825,407,073
0.07763%
2018
12,497,304,292
48,065,757
3,371,837
45,354,774
176,396,870
12,417,699,790
0.07767%
2019
13,131,043,886
53,546,262
5,685,542
48,122,854
184,522,193
13,053,876,351
0.07769%
2020
13,815,833,911
53,545,615
5,301,255
49,668,729
176,668,847
13,747,680,663
0.07772%
Note:
In 1978 the voters of the State of California passed Proposition 13 which limited basic property taxes to a total maximum rate of
1 % based upon the assessed value of the property being taxed. Each year the assessed value of property may be increased by an
"inflation factor" (limited to a maximum increase of 2%). With few exceptions, property is only reassessed at the time that it is
sold to a new owner. At those times, the new assessed value is the purchase price. The estimated market value of taxable
property is not available.
123
Town of Danville
Direct and Overlapping Property Tax Rates
Last Ten Fiscal Years
(Rate Expressed in Percentage)
Note:
1 Countywide rate of 1% is levied with the proceeds distributed to all taxing agencies according to formulas specified by State legislature.
2 Individual agencies' rates are for payments of voter approved indebtedness.
124
Total
San Ramon
Bay Area
Fiscal
Miscellaneous
County
Valley Unified
Rapid Transit
Year
Danville
Wide i
School District
(BART)
2011
0.10367%
1.00%
0.0641%
0.0031%
2012
0.10319%
1.00%
0.0664%
0.0041%
2013
0.10323%
1.00%
0.0705%
0.0043%
2014
0.07827%
1.00%
0.0696%
0.0075%
2015
0.07752%
1.00%
0.0651%
0.0045%
2016
0.07758%
1.00%
0.0624%
0.0026%
2017
0.07763%
1.00%
0.0652%
0.0080%
2018
0.07767%
1.00%
0.0552%
0.0084%
2019
0.07769%
1.00%
0.0750%
0.0070%
2020
0.07720%
1.00%
0.0750%
0.1200%
Note:
1 Countywide rate of 1% is levied with the proceeds distributed to all taxing agencies according to formulas specified by State legislature.
2 Individual agencies' rates are for payments of voter approved indebtedness.
124
Total
Direct &
Overlapping
Miscellaneous
Rate
0.0234%
1.19539%
0.0217%
1.19943%
0.0214%
1.16917%
0.0138%
0.07827%
0.0121%
0.07752%
0.0125%
0.07758%
0.0152%
0.07763%
0.0135%
0.07767%
0.0131%
0.07769%
0.0282%
0.07720%
Note:
1 Countywide rate of 1% is levied with the proceeds distributed to all taxing agencies according to formulas specified by State legislature.
2 Individual agencies' rates are for payments of voter approved indebtedness.
124
Town of Danville
Property Tax Levies and Collections
Last Ten Fiscal Years
Note:
1. The data in this table includes basic and supplemental city property taxes, Redevelopment Agency tax
increments, ERAF refunds, property tax in -lieu of motor vehicle license fees and the sales tax triple flip.
2. Contra Costa County assesses, bills, collects and distributes property taxes to all taxing entities including the Town.
Under a State law, known as the Teeter Plan, the County remits the entire amount levied to the Town. The County
handles all delinquencies and retains all interest and penalties.
Source: County of Contra Costa
125
Collected Within the
Fiscal Year of the Levy
Total Collections To Date
Fiscal
Total Tax
Year
Levied and
Delinquent
Ended
Collected for
Percentage
Tax
Collected
Percentage
June 30
Fiscal Year
of Levy
Collections
Amount
of Levy
2011
$ 12,944,065
100%
n/a
$ 12,944,065
100%
2012
12,967,656
100%
n/a
12,967,656
100%
2013
12,242,443
100%
n/a
12,242,443
100%
2014
13,190,148
100%
n/a
13,190,148
100%
2015
14,171,661
100%
n/a
14,171,661
100%
2016
14,736,156
100%
n/a
14,736,156
100%
2017
14,430,722
100%
n/a
14,430,722
100%
2018
14,629,254
100%
n/a
14,629,254
100%
2019
15,928,730
100%
n/a
15,928,730
100%
2020
16,678,857
100%
n/a
16,678,857
100%
Note:
1. The data in this table includes basic and supplemental city property taxes, Redevelopment Agency tax
increments, ERAF refunds, property tax in -lieu of motor vehicle license fees and the sales tax triple flip.
2. Contra Costa County assesses, bills, collects and distributes property taxes to all taxing entities including the Town.
Under a State law, known as the Teeter Plan, the County remits the entire amount levied to the Town. The County
handles all delinquencies and retains all interest and penalties.
Source: County of Contra Costa
125
Fiscal
Year
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Town of Danville
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
Governmental Activities
Certificate
of
Participation
$ 9,940,000
9,590,000
9,230,000
8,860,000
8,860,000
8,055,000
7,635,000
7,195,000
6,735,000
6,255,000
Taxable
Revenue Bonds
Loan Payable
$ 3,345,000
Total
Primary
Government
$ 13,285,000
9,590,000
9,230,000
8,860,000
8,860,000
8,055,000
7,635,000
7,195,000
6,735,000
6,255,000
Note:
1. COP is paid with property tax increment of the Property Tax Trust Fund.
2. Taxable Revenue Bonds Loan Payable was transferred to the Successor Agency Trust Fund.
3. Bank notes for child care facilities and capital leases.
4. Reliable information is not available.
126
Percentage
of Personal
Per
Income
Capita
**
$ 314.70
**
226.98
* *
216.06
**
205.35
* *
202.79
**
187.92
**
178.12
**
167.85
**
148.77
**
140.16
Town of Danville
Ratios of General Bonded Debt Outstanding
Last Ten Fiscal Years
Outstanding General Bonded Debt
General Tax Less: Amount
Fiscal Obligation Allocation Available in
Year Bonds Bonds Debt Service Fund
2011 $ - $ - $ -
2012 - - -
2013 - - -
2014 - - -
2015 - - -
2016 - - -
2017 - - -
2018 - - -
2019 - - -
2020 - - -
Note: The Town of Danville does not have any General Bonded debt.
127
Total (net)
Town of Danville
Direct and Overlapping Governmental Activities Debt
Current Year
2019-2020 Assessed Valuation:
$
13,815,885,863
1.25%
Total Direct Debt ($7,635,000)
0.05%
Redevelopment Incremental Valuation
$
13,815,885,863
1.54%
Adjusted Assessed Valuation:
Total Debt
Town's Share of
OVERLAPPING TAX AND ASSESSMENT DEBT:
6/30/20
% Applicable (1)
Debt (6/30/20)
Bay Area Rapid Transit District
$
1,282,740,000
1.717%
$
22,024,646
Contra Costa Community College District
513,955,000
6.423%
33,011,330
San Ramon Valley Unified School District
426,630,000
26.547%
113,257,466
East Bay Regional Park District
155,835,000
2.738%
4,266,762
SUBTOTAL OVERLAPPING TAX AND ASSESSMENT DEBT
$
172,560,204
DIRECT AND OVERLAPPING GENERAL FUND DEBT:
Contra Costa County General Fund Obligations
$
232,484,653
6.401%
$
14,881,343
Contra Costa County Pension Obligations
85,690,000
6.401%
5,485,017
San Ramon Valley Unified School District General Fund Obligations
22,869,938
26.547%
6,071,282
San Ramon Valley Fire Protection District - COP
15,356,796
26.691%
4,098,882
Town of Danville Certificates of Participation (COP)
69255,000
100%
6,255,000
SUBTOTAL DIRECT AND OVERLAPPING GENERAL FUND DEBT
$
36,791,524
Less: Contra Costa County obligations supported from revenue funds
(5,934,137)
TOTAL NET DIRECT AND OVERLAPPING GENERAL FUND DEBT
$
30,857,387
OVERLAPPING TAX INCREMENT DEBT (Successor Agency)
$
2,285,000
100%
$
2,285,000
TOTAL DIRECT DEBT
$
6,255,000
TOTAL GROSS OVERLAPPING DEBT
$
205,381,728
TOTAL NET OVERLAPPPING DEBT
$
199,447,591
GRAND TOTAL DIRECT AND OVERLAPPING DEBT $ 211,636,728
NET COMBINED TOTAL DEBT $ 205,702,591
(1) The percentage of overlapping debt applicable to the Town 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 Town divided by the district's total taxable assessed
value.
(2) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non -bonded capital lease obligations.
Ratios to 2019/20 Assessed Valuation:
Total Overlapping Tax and Assessment Debt
1.25%
Total Direct Debt ($7,635,000)
0.05%
Gross Combined Total Debt
1.59%
Net Combined Total Debt
1.54%
Ratios to Redevelopment Successor Agency Incremental Valuation ($405.524,438):
Total Overlapping Tax Increment Debt 0.60%
Note - This schedule presents fiscal capacity and debt for overlapping governments. It is intended to demonstrate the total property tax burden on the
taxpayers within Danville and the total debt that their property taxes will be expected to pay. This schedule excludes tax and revenue anticipation
notes, revenue bonds, mortgage revenue bonds, tax allocation bonds, obligations and capital lease obligations.
Source: California Municipal Statistics, Inc.
128
Town of Danville
Principal Property Taxpayers
Current Year and Nine Fiscal Years Ago
Totals S 288,550,027 1.96% S 215,593,376 2.31%
Note:
The amounts shown above include assessed value data for both the Town and the Successor Agency.
Because of the many ways a business or individual can hold title, the above list is an approximation of the top taxpayers within
the Town of Danville.
Source: HdL
129
2020
2011
Taxable
Percentage of
Taxable
Percentage of
Assessed
Total Taxable
Assessed
Total Taxable
Employer
Value
Rank
Assessed Value
Value
Rank
Assessed Value
Danville Livery & Mercantile
$ 50,412,601
1
0.38%
$ 41,185,731
1
0.44%
ROIC California, LLC
45,695,608
2
0.34%
Reg8 Tassajara Crossing, LLC
40,587,349
3
0.31%
34,876,502
2
0.38%
Costco Wholesale Corporation
29,199,357
4
0.22%
22,147,385
3
0.24%
Rose Garden Associates Danville, LLC
28,027,326
5
0.21%
18,860,000
5
0.20%
MM Danville Apartments, LLC
27,677,490
6
Danville Park RE LLC
19,517,030
7
0.15%
Rassier Properties Danville Medical Ctr.
16,825,099
8
0.13%
Montair Associates, LLC
16,456,167
9
0.12%
14,221,295
9
0.15%
Danville Senior Living, LLC
14,152,000
10
0.10%
12,522,431
10
0.13%
GS Associates - Joint Venture
21,705,309
4
0.23%
Danville 1500, LLC
18,454,000
6
0.20%
Davidon Homes
17,259,123
7
0.19%
Danville Park Investors
14,361,600
8
0.15%
Totals S 288,550,027 1.96% S 215,593,376 2.31%
Note:
The amounts shown above include assessed value data for both the Town and the Successor Agency.
Because of the many ways a business or individual can hold title, the above list is an approximation of the top taxpayers within
the Town of Danville.
Source: HdL
129
Debt Limit
Total net debt
applicable to limit
Legal debt margin
Total net debt applicable to the
limit as a percentage of debt limit
Town of Danville
Legal Debt Margin Information
Last Ten Fiscal Years
Fiscal Year
2011 2012 2013 2014 2015
$ 341,994,482 $ 341,158,411 $ 343,524,020 $ 365,089,765 $ 391,883,453
$ 341,994,482 $ 341,158,411 $ 343,524,020 $ 365,089,765 $ 391,883,453
0.00% 0.00% 0.00% 0.00% 0.00%
Note: The Government Code of the State of California provides for a legal debt limit of 3.75% of gross assessed valuation.
Source: County of Contra Costa
130
Debt Limit
Total net debt
applicable to limit
Legal debt margin
Total net debt applicable to the
limit as a percentage of debt limit
Town of Danville
Legal Debt Margin Information (Continued)
Last Ten Fiscal Years
Fiscal Year
2016 2017 2018 2019 2020
$ 418,385,065 $ 443,452,765 $ 465,663,742 $ 489,520,363 $ 515,538,025
$ 418,385,065 $ 443,452,765 $ 465,663,742 $ 489,520,363 $ 515,538,025
0.00% 0.00% 0.00% 0.00% 0.00%
Legal Debt Margin Calculation for Fiscal Year 2020
Assessed Value $13,747,680,663
Add back: exempt real property 176,668,847
Total assessed value $13,924,349,510
Debt Limit (3.75% of assessed value) $ 515,538,025
Total net debt applicable to limit -
Legal Debt Margin $ 515,538,025
Note: The Government Code of the State of California provides for a legal debt limit of 3.75% of gross assessed valuation.
Source: County of Contra Costa
131
Town of Danville
Pledged -Revenue Coverage
Last Ten Fiscal Years
Note:
1. Fund balance used to cover debt service
132
Certificates of Participation
Taxable Revenue Bond
Fiscal
Tax
Debt Service
Tax
Debt Service
Year
Increment
Principal
Interest
Coverage'
Increment
Principal
Interest
Coverage
2011
$ 1,528,523
$ 335,000
$ 462,991
1.92
$ 420,770
$ 60,000
$ 281,530
1.23
2012
1,099,265
350,000
449,391
1.38
272,192
70,000
276,818
0.78
2013
1,188,645
360,000
435,192
1.49
404,571
80,000
271,020
1.15
2014
-
370,000
420,541
-
-
95,000
263,889
-
2015
-
395,000
404,973
-
105,000
255,739
2016
-
410,000
388,256
-
120,000
246,570
2017
-
420,000
370,819
-
130,000
236,383
-
2018
-
440,000
352,316
-
-
140,000
225,380
-
2019
-
460,000
332,456
-
-
155,000
213,359
-
2020
-
480,000
311,356
-
-
165,000
200,289
-
Note:
1. Fund balance used to cover debt service
132
Town of Danville
Demographic and Economic Statistics
Last Ten Fiscal Years
Note:
Per Capita Income and Personal Income is for County of Contra Costa since reliable Town specific data is not available
Sources:
1. California State Department of Finance
2. For FYE 2007 the actual median household income was projected at a growth rate of .8%.
For FY 2011: SperlingViews; www.bestplaces.net/economy/city/califomia/danville
For FY 2012: US Census Bureau, 2009-2011 American Community Survey: $133,888 +/- $10,705
3. U.S. Department of Commerce Census, Bureau American Community Surveys
4. California Department of Education (Schools within the San Ramon Valley Unified School District)
5. California State Employment Development Department
"Figures not available
133
Unemployment
Rate 5
5.9%
4.9%
3.8%
3.3%
4.1%
3.9%
3.5%
2.9%
2.7%
10.0%
Median
Persons per
Per
Personal
Public
Household
Household
Capita
Income
School
Year
Population 1
Income 2
Unit 3
Income 2
(in thousands)
Enrollment 4
2011
42,215
141,879
2.81
$ 64,412
**
28,987
2012
42,450
133,888
2.73
63,404
**
29,884
2013
42,720
**
2.75
**
**
30,757
2014
43,146
**
2.77
**
**
31,398
2015
43,691
140,809
2.79
**
**
31,954
2016
42,865
**
2.97
**
**
32,255
2017
43,355
**
**
**
**
32,425
2018
44,396
**
**
**
**
32,504
2019
45,270
**
**
**
**
32,138
2020
44,626
**
**
**
**
31,911
Note:
Per Capita Income and Personal Income is for County of Contra Costa since reliable Town specific data is not available
Sources:
1. California State Department of Finance
2. For FYE 2007 the actual median household income was projected at a growth rate of .8%.
For FY 2011: SperlingViews; www.bestplaces.net/economy/city/califomia/danville
For FY 2012: US Census Bureau, 2009-2011 American Community Survey: $133,888 +/- $10,705
3. U.S. Department of Commerce Census, Bureau American Community Surveys
4. California Department of Education (Schools within the San Ramon Valley Unified School District)
5. California State Employment Development Department
"Figures not available
133
Unemployment
Rate 5
5.9%
4.9%
3.8%
3.3%
4.1%
3.9%
3.5%
2.9%
2.7%
10.0%
Town of Danville
Principal Employers in the Town of Danville
Current Year and Previous Year
Total Employees: 1,145
Note:
1. Data complied from Town of Danville Business License Division.
134
2020
2019
Number of
% of
Number of
% of
Employer
Employees 1
Rank
Top 10
Employees 1
Rank
Top 10
Keller Williams Realty
342
1
29.9%
345
1
27.6%
Costco
204
2
17.8%
195
2
15.6%
Safeway, Inc.
98
3
8.6%
101
4
8.1%
Trader Joe's
82
4
7.2%
77
7
6.2%
Brookfield Calwest Builders
80
5
7.0%
Crow Canyon Management Corp.
74
6
6.5%
95
5
7.6%
J. Rockcliff Realtors
72
7
6.3%
89
6
7.1%
Lunardi's Market
67
8
5.9%
63
10
5.0%
Danville Nursing & Rehabilitation Center
66
9
5.8%
66
9
5.3%
Sunrise Assisted Living of Danville
60
10
5.2%
72
8
5.8%
Pacific Gas & Electric
145
3
11.6%
Total Employees: 1,145
Note:
1. Data complied from Town of Danville Business License Division.
134
Function
Legislative
Administration
Legal
Police Services*
Development Services
Transportation Services
Community Services
Maintenance
Recreation, Arts &
Community Services
Finance
Support Services
Community Events**
Human Resources
Total
Town of Danville
Full -Time Equivalent Town Government Employees by Function
Last Ten Fiscal Years
Fiscal Year
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
4.00
4.00
4.00
4.00
6.75
6.50
8.25
8.25
7.75
7.75
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
34.75
35.75
34.75
34.00
36.75
37.75
37.75
37.75
37.75
37.75
25.25
25.25
24.25
25.50
25.50
29.75
27.00
27.00
26.50
25.50
4.50
4.50
4.50
4.25
4.25
3.25
3.75
3.25
3.00
3.00
23.00
23.00
24.00
24.00
29.00
31.00
31.00
31.00
31.00
31.00
15.25
15.50
15.50
15.25
37.75
37.75
38.25
38.25
42.00
42.00
5.50
5.50
5.50
5.50
5.25
5.25
5.25
5.25
5.00
5.00
3.00
3.00
3.00
3.00
4.50
4.50
4.50
4.50
4.50
4.50
1.50
0.25
0.25
0.25
0.50
0.50
0.50
0.50
0.50
0.50
2.00
2.00
2.00
2.00
2.00
2.50
2.50
2.50
2.25
2.25
121.75
120.75
120.75
119.75
119.75
154.25
160.75
160.75
160.25
161.25
Source: Adopted Town Budgets
* includes 30 County contract sworn officers in FY 2016/17
FY 2014-15: Legislative, Administration and Legal were combined with General Government
**Community Services and Special Events were combined with Recreation, Arts & Community Services
135
Function
Police: '
Arrests
Traffic violations
Parking violations
Public works:
Street resurfacing (miles)
Pot holes repaired
Parks and recreation:
Course registration
Facility rentals/permits 2
Picnic rentals
Town of Danville
Operating Indicators by Function
Last Ten Fiscal Years
Fiscal Year
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
745
654
701
574
618
515
500
447
391
281
4,563
2,109
4,220
6,001
5,345
3,875
2,605
3,702
2,786
2,482
1,700
1,398
2,009
2,373
1,619
1,625
1,774
1,367
1,593
1,346
5.72
9.7
24
18.7
14.2
24
15.2
5.9
5.5
10.23
134
110
151
160
111
181
249
84
309
149
18,352 17,396 20,101 22,191 17,176 18,147 20,352 19,174 18,146 13,593
13,401 13,790 13,915 13,894 816 716 804 786 638 538
385 505 511 535 460 241 413 406 354 205
Note:
1. Police Statistics are reported end of calendar year
2. Facility rentals were previously tracked by the number of bookings, which may have included multiple bookings on one rental permit.
As a result of the implementation of Active Network, a new registration software, rentals are now tracked only by rental permit.
Source: Various Town departments
136
Function
Police:
Stations
Patrol units
Public works:
Street (miles)
Street lights
Signalized intersections
Parks and recreation:
Parks acreage
Parks
Swimming pools
Tennis courts
Community centers
Town of Danville
Capital Asset Statistics by Function
Last Ten Fiscal Years
Fiscal Year
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
1 1 1 1 1 1 1 1 1 1
16 16 14 12 13 12 13 13 13 13
144.6
144.6
144.6
144.6
144.6
144.6
144.6
144.6
157.89
158.15
3,207
3,449
1,417
1,417
1,417
1,417
1,417
1,158
1,158
1,158
51
51
51
51
52
51
52
54
54
54
312.45
312.5
312.5
312.5
312.5
312.5
312.5
312.5
312.5
312.5
5
5
5
5
5
5
5
5
5
5
0
0
0
0
0
0
0
0
0
0
0
7
10
10
10
10
10
10
10
10
3
3
3
3
3
3
3
3
3
3
Source: Various Town departments
137
This page intentionally left blank.
138